II 

111TH CONGRESS 

2D SESSION S. 3464 

To establish an energy and climate policy framework to reach measurable 

gains in reducing dependence on foreign oil, saving Americans money, 

improving energy security, and cutting greenhouse gas emissions, and 

for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JUNE 9, 2010 

Mr. LUGAR (for himself, Mr. GRAHAM, and Ms. MURKOWSKI) introduced the 

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

A BILL 

To establish an energy and climate policy framework to reach 

measurable gains in reducing dependence on foreign oil, 

saving Americans money, improving energy security, and 

cutting greenhouse gas emissions, 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 ‘‘Practical Energy and Climate Plan Act of 2010’’. 

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

7 this Act is as follows: 


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Sec. 1. Short title; table of contents. 

TITLE I—REDUCING FOREIGN OIL DEPENDENCE 

Subtitle A—Vehicle Efficiency 

Sec. 101. Fuel efficiency standards. 

Sec. 102. Revenue neutral fuel performance program for motor vehicles. 

Subtitle B—Fuel Choice 

Sec. 111. Production incentives for renewable fuels. 

Sec. 112. Ensuring the availability of dual fueled automobiles and light duty 

trucks. 

TITLE II—ENERGY EFFICIENCY 

Subtitle A—National Building Energy Performance Standards 

Sec. 201. Greater energy efficiency in building codes. 

Subtitle B—Federal Buildings 

Sec. 211. Energy efficient Federal buildings. 

Subtitle C—Homes and Buildings Energy Retrofits Program 

Sec. 221. Definitions. 

Sec. 222. Homes and Buildings Energy Retrofits Program. 

Sec. 223. General provisions. 

Sec. 224. Authorization of appropriations. 

Subtitle D—Rural Energy Savings Program 

Sec. 231. Rural energy savings program. 

Subtitle E—Industrial Energy Efficiency 

Sec. 241. State partnership industrial energy efficiency revolving loan program. 

Subtitle F—Appliance and Equipment Efficiency Standards 

Sec. 251. Appliance and equipment efficiency. 

Sec. 252. Federal procurement of energy efficient products. 

TITLE III—DIVERSE DOMESTIC POWER 

Sec. 301. Federal diverse energy standard. 

Sec. 302. Fossil fuel generating facility retirement program. 

Sec. 303. Funding for loan guarantees for advanced nuclear energy facilities. 

TITLE IV—MEASUREMENT AND REVIEW OF ENERGY AND 

CLIMATE PROGRAMS 

Sec. 401. Measurement and review of energy and climate change programs. 


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1 TITLE I—REDUCING FOREIGN 

2 OIL DEPENDENCE 

3 Subtitle A—Vehicle Efficiency 

4 SEC. 101. FUEL EFFICIENCY STANDARDS. 

5 (a) STANDARDS FOR LIGHT VEHICLES.—Section 

6 32902 of title 49, United States Code, is amended— 

7 (1) in subsection (a), by inserting ‘‘, reflecting 

8 at least a 4 percent annual increase beginning in 

model year 2017 (rounded to the nearest 1 9 ⁄10 mile 

10 per gallon)’’ before the period at the end; 

11 (2) in subsection (b)— 

12 (A) in paragraph (2)— 

13 (i) in subparagraph (A)— 

14 (I) in the subparagraph heading, 

15 by striking ‘‘2020’’ and inserting 

16 ‘‘2016’’; 

17 (II) by striking ‘‘2020’’ and in18 serting ‘‘2016’’; and 

19 (III) by striking ‘‘35’’ and insert20 ing ‘‘34.1’’; 

21 (ii) in subparagraph (B)— 

22 (I) in the subparagraph heading, 

23 by striking ‘‘2021’’ and inserting 

24 ‘‘2017’’; 


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1 (II) by striking ‘‘2021’’ and in2 serting ‘‘2017’’; and 

3 (III) by inserting ‘‘, reflecting at 

4 least a 4 percent annual increase for 

5 each model year’’ before the period at 

6 the end; and 

7 (iii) in subparagraph (C)— 

8 (I) by striking ‘‘subparagraph 

9 (A)’’ and inserting ‘‘subparagraphs 

10 (A) and (B)’’; 

11 (II) by striking ‘‘and ending with 

12 model year 2020’’; and 

13 (III) by adding at the end the 

14 following: ‘‘The projected aggregate 

15 level of average fuel economy for 

16 model year 2017 and each succeeding 

17 model year shall reflect at least a 4 

18 percent increase from the level for the 

19 prior model year (rounded to the 

nearest 1 20 ⁄10 mile per gallon).’’; and 

21 (B) by adding at the end the following: 

22 ‘‘(5) UNIFIED REGULATORY REQUIREMENTS.— 

23 Regulations under this subsection and amendments 

24 to regulations under subsection (c) shall, to the max25 imum extent practicable, be promulgated (including 


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1 through joint rulemaking), coordinated, and imple2 mented in conjunction with pollutant regulations 

3 promulgated by the the Administrator of the Envi4 ronmental Protection Agency.’’; 

5 (3) in subsection (c)— 

6 (A) by inserting ‘‘(1)’’ before ‘‘The Sec7 retary’’; 

8 (B) by striking ‘‘that model year.’’ and in9 serting the following: ‘‘model year, including to 

10 a level lower than a 4 percent annual increase 

11 if the Secretary determines the standards pre12 scribed under subsection (b) for each model 

13 year— 

14 ‘‘(A) are technologically unachievable; 

15 ‘‘(B) cannot be achieved without materially re16 ducing the overall safety of automobiles manufac17 tured or sold in the United States; or 

18 ‘‘(C) is shown, by clear and convincing evidence, 

19 not to be cost effective. 

20 ‘‘(2) If a standard reflecting a level lower than a 4 

21 percent annual increase is prescribed for a model year 

22 under subsection (b), such standard shall be the maximum 

23 standard that— 

24 ‘‘(A) is technologically achievable; 


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1 ‘‘(B) can be achieved without materially reduc2 ing the overall safety of automobiles manufactured 

3 or sold in the United States; and 

4 ‘‘(C) is cost effective.’’; 

5 (C) by striking ‘‘Section 553’’ and insert6 ing the following: 

7 ‘‘(3) Section 553’’; and 

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

9 ‘‘(4) Not later than 90 days before issuing an amend10 ed standard that would lower the fuel economy standards 

11 below the level prescribed under subsection (b), the Sec12 retary shall— 

13 ‘‘(A) provide written notification to the Com14 mittee on Energy and Commerce of the House of 

15 Representatives, the Committee on Commerce, 

16 Science, and Transportation of the Senate, and the 

17 Committee on Energy and Natural Resources of the 

18 Senate, regarding the amendments made to the fuel 

19 economy standards prescribed in subsection (b); and 

20 ‘‘(B) make publicly available non-proprietary 

21 documentation regarding the amendment decision’’; 

22 and 

23 (4) in subsection (f)— 

24 (A) by striking ‘‘When deciding’’ and in25 serting ‘‘(1) In determining’’; 


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1 (B) by striking ‘‘economic practicability’’ 

2 and inserting ‘‘cost effectiveness’’; and 

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

4 ‘‘(2) In determining cost effectiveness under para5 graph (1), the Secretary of Transportation shall take into 

6 account the total value to the Nation of reduced petroleum 

7 use, including the value of reducing external costs of pe8 troleum use, using a value for such costs equal to 50 per9 cent of the value of a gallon of gasoline saved or the 

10 amount determined in an analysis of the external costs 

11 of petroleum use that considers— 

12 ‘‘(A) value to consumers; 

13 ‘‘(B) economic security; 

14 ‘‘(C) national security; 

15 ‘‘(D) foreign policy; 

16 ‘‘(E) the impact of oil use on— 

17 ‘‘(i) sustained cartel rents paid to foreign 

18 suppliers; 

19 ‘‘(ii) long-run potential gross domestic 

20 product due to higher normal-market oil price 

21 levels, including inflationary impacts; 

22 ‘‘(iii) import costs, wealth transfers, and 

23 potential gross domestic product due to in24 creased trade imbalances; 


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1 ‘‘(iv) import costs and wealth transfers 

2 during oil shocks; 

3 ‘‘(v) macroeconomic dislocation and adjust4 ment costs during oil shocks; 

5 ‘‘(vi) the cost of existing energy security 

6 policies, including the management of the Stra7 tegic Petroleum Reserve; 

8 ‘‘(vii) the timing and severity of the oil 

9 peaking problem; 

10 ‘‘(viii) the risk, probability, size, and dura11 tion of oil supply disruptions; 

12 ‘‘(ix) OPEC strategic behavior and long13 run oil pricing; 

14 ‘‘(x) the short term elasticity of energy de15 mand and the magnitude of price increases re16 sulting from a supply shock; 

17 ‘‘(xi) oil imports, military costs, and re18 lated security costs, including intelligence, 

19 homeland security, sea lane security and infra20 structure, and other military activities; 

21 ‘‘(xii) oil imports, diplomatic and foreign 

22 policy flexibility, and connections to geopolitical 

23 strife, terrorism, and international development 

24 activities; 


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1 ‘‘(xiii) all relevant environmental hazards 

2 under the jurisdiction of the Environmental 

3 Protection Agency; and 

4 ‘‘(xiv) well-to-wheels urban and local air 

5 emissions of ‘pollutants’ and their 

6 uninternalized costs; 

7 ‘‘(F) the impact of the oil or energy intensity 

8 of the United States economy on the sensitivity of 

9 the economy to oil price changes, including the mag10 nitude of gross domestic product losses in response 

11 to short-term price shocks or long-term price in12 creases; 

13 ‘‘(G) the impact of United States payments for 

14 oil imports on political, economic, and military devel15 opments in unstable or unfriendly oil exporting 

16 countries; 

17 ‘‘(H) the uninternalized costs of pipeline and 

18 storage oil seepage, and for risk of oil spills from 

19 production, handling, transport, and related land20 scape damage; and 

21 ‘‘(I) additional relevant factors, as determined 

22 by the Secretary in consultation with the Secretary 

23 of Energy, the Administrator of the Environmental 

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1 retary of Defense, the Secretary of Homeland Secu2 rity, and the Director of National Intelligence. 

3 ‘‘(3) In considering the value to consumers of a gallon 

4 of gasoline saved, the Secretary of Transportation may not 

5 use a value that is less than the greatest of— 

6 ‘‘(A) the average national cost of a gallon of 

7 gasoline sold in the United States during the 12- 

8 month period ending on the date on which the new 

9 fuel economy standard is proposed; 

10 ‘‘(B) the most recent weekly estimate by the 

11 Energy Information Administration of the Depart12 ment of Energy of the average national cost of a 

13 gallon of gasoline (all grades) sold in the United 

14 States; or 

15 ‘‘(C) the gasoline prices projected by the En16 ergy Information Administration for the 20-year pe17 riod beginning in the year following the year in 

18 which the standards are established.’’. 

19 (b) STANDARDS FOR MEDIUM- AND HEAVY-DUTY

20 VEHICLES.—Section 32902(k) of title 49, United States 

21 Code, is amended— 

22 (1) in paragraph (1)— 

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

24 ‘‘and’’ at the end; 


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

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

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

4 ‘‘(E) greatest achievable fuel efficiency im5 provement targets for rules pertaining to com6 mercial medium- and heavy-duty vehicles and 

7 work trucks, taking into consideration the na8 tional security and economic benefits of reduced 

9 petroleum consumption and relevant factors in 

10 the manufacture and work accomplished of such 

11 vehicles.’’; 

12 (2) in paragraph (2)— 

13 (A) by striking ‘‘Not later’’ and inserting 

14 the following: 

15 ‘‘(A) IMPLEMENTATION.—Not later’’; 

16 (B) by striking ‘‘fuel economy standards’’ 

17 and inserting ‘‘fuel efficiency standards (taking 

18 into consideration the national security and eco19 nomic benefits of reduced petroleum consump20 tion)’’; 

21 (C) by striking ‘‘The Secretary may’’ and 

22 inserting the following: 

23 ‘‘(B) SEPARATE STANDARDS.—The Sec24 retary may’’; 


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1 (D) in subparagraph (B), as designated by 

2 subparagraph (C) of this paragraph, by adding 

3 at the end the following: ‘‘Recognizing the dif4 ferentiated level of technological development 

5 and data available between classes, as identified 

6 by the National Academy of Sciences report 

7 ‘Technologies and Approaches to Reducing the 

8 Fuel Consumption of Medium- and Heavy-Duty 

9 Vehicles,’ the Secretary may implement regula10 tions for certain vehicle classes and vehicle com11 ponents authorized under this subsection, as 

12 designated by the Secretary, on an accelerated 

13 basis.’’; and 

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

15 ‘‘(C) APPLICABILITY; ADJUSTMENTS.— 

16 Standards issued under this subsection— 

17 ‘‘(i) may apply to— 

18 ‘‘(I) vehicle components; 

19 ‘‘(II) whole vehicles based on 1 

20 or more attributes; or 

21 ‘‘(III) any combination of (I) and 

22 (II); 

23 ‘‘(ii) shall, subject to paragraph (3)— 

24 ‘‘(I) be implemented for vehicles 

25 manufactured for sale in the United 


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1 States during or before model year 

2 2017; and 

3 ‘‘(II) allow for fuel efficiency reg4 ulation of vehicle components or whole 

5 vehicles before such model year; and 

6 ‘‘(iii) shall periodically, but not less 

7 frequently than every 4 model years, be ad8 justed to achieve the maximum techno9 logically feasible fuel efficiency improve10 ments (taking into account considerations 

11 of oil import dependence) which do not 

12 materially affect vehicle safety and that 

13 are cost effective. 

14 ‘‘(D) COST EFFECTIVE CRITERIA.—As 

15 used in subparagraph (C)(iii), the term ‘cost ef16 fective’ shall be subject to considerations estab17 lished under subsection (f) and other criteria 

18 determined by the Secretary; 

19 ‘‘(E) WAIVER; NOTIFICATION; REVIEW.— 

20 The Secretary may waive adjustments to the 

21 standards issued under this subsection if the 

22 Secretary determines that any such adjustment 

23 is not necessary to achieve the maximum tech24 nologically feasible fuel efficiency improvements. 

25 If such a determination is made, the Secretary 


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1 shall provide written notification to the Com2 mittee on Energy and Commerce of the House 

3 of Representatives, the Committee on Com4 merce, Science, and Transportation of the Sen5 ate, and the Committee on Energy and Natural 

6 Resources of the Senate, not later than 180 

7 days before the day that is 4 years after the 

8 day on which the most recent standards came 

9 into effect. The Secretary shall review any de10 termination made under this subparagraph 

11 every 2 years.’’; and 

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

13 ‘‘(4) UNIFIED REGULATORY REQUIREMENTS.— 

14 Regulations issued pursuant to paragraph (2) shall, 

15 to the maximum extent practicable, be established 

16 (including through joint rulemaking), coordinated, 

17 and implemented in conjunction with pollutant regu18 lations administered by the Environmental Protec19 tion Agency.’’. 

20 SEC. 102. REVENUE NEUTRAL FUEL PERFORMANCE PRO21 GRAM FOR MOTOR VEHICLES. 

22 (a) AMENDMENT OF 1986 CODE.—Except as other23 wise expressly provided, whenever in this section or section 

24 103 an amendment or repeal is expressed in terms of an 

25 amendment to, or repeal of, a section or other provision, 


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1 the reference shall be considered to be made to a section 

2 or other provision of the Internal Revenue Code of 1986. 

3 (b) FUEL PERFORMANCE REBATE.—Subpart B of 

4 part IV of subchapter A of chapter 1 (relating to other 

5 credits) is amended by inserting after section 30D the fol6 lowing new section: 

7 ‘‘SEC. 30E. FUEL PERFORMANCE REBATE. 

8 ‘‘(a) ALLOWANCE OF CREDIT.— 

9 ‘‘(1) IN GENERAL.—There shall be allowed as a 

10 credit against the tax imposed by this chapter for 

11 the taxable year an amount equal to the amount de12 termined under paragraph (2) with respect to any 

13 new qualified fuel-efficient motor vehicle placed in 

14 service by the taxpayer during the taxable year. 

15 ‘‘(2) CREDIT AMOUNT.—With respect to each 

16 new qualified fuel-efficient motor vehicle, the amount 

17 determined under this paragraph shall be equal to 

18 the product of— 

19 ‘‘(A) the absolute value of the difference 

20 between the fuel-economy rating and the ref21 erence fuel-economy rating for such motor vehi22 cle for the model year, and 

23 ‘‘(B) 100, and 

24 ‘‘(C) the applicable amount. 


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1 ‘‘(3) APPLICABLE AMOUNT.—For purposes of 

2 paragraph (2)(C), the applicable amount is equal 

3 to— 

4 ‘‘(A) in the case of model year 2011— 

5 ‘‘(i) $1,000, or 

6 ‘‘(ii) $2,000, if the fuel-economy rat7 ing for such motor vehicle is at least 50 

8 percent more efficient than the reference 

9 fuel-economy rating for such motor vehicle 

10 as determined under paragraph (2)(A), 

11 and 

12 ‘‘(B) in the case of any succeeding model 

13 year— 

14 ‘‘(i) $1,500, or 

15 ‘‘(ii) $2,500, if the fuel-economy rat16 ing for such motor vehicle is at least 50 

17 percent more efficient than the reference 

18 fuel-economy rating for such motor vehicle 

19 as determined under paragraph (2)(A), or 

20 ‘‘(iii) $3,500, if the fuel-economy rat21 ing for such motor vehicle is at least 75 

22 percent more efficient than the reference 

23 fuel-economy rating for such motor vehicle 

24 as determined under paragraph (2)(A). 


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1 ‘‘(b) NEW QUALIFIED FUEL-EFFICIENT MOTOR VE2 HICLE.—For purposes of this section, the term ‘new quali3 fied fuel-efficient motor vehicle’ means a passenger auto4 mobile or light truck— 

5 ‘‘(1) which is treated as a motor vehicle for 

6 purposes of title II of the Clean Air Act, 

7 ‘‘(2) which achieves a fuel-economy rating that 

8 is more efficient than the reference fuel-economy 

9 rating for such motor vehicle for the model year, 

10 ‘‘(3) for which standards are prescribed pursu11 ant to section 32902 of title 49, United States Code, 

12 ‘‘(4) the original use of which commences with 

13 the taxpayer, 

14 ‘‘(5) which is acquired for use or lease by the 

15 taxpayer and not for resale, 

16 ‘‘(6) the purchase price of which, less the 

17 amount allowable under subsection (a) with respect 

18 to such vehicle, does not exceed $50,000, and 

19 ‘‘(7) which is made by a manufacturer begin20 ning with model year 2013. 

21 ‘‘(c) APPLICATION WITH OTHER CREDITS.— 

22 ‘‘(1) BUSINESS CREDIT TREATED AS PART OF

23 GENERAL BUSINESS CREDIT.—So much of the credit 

24 which would be allowed under subsection (a) for any 

25 taxable year (determined without regard to this subVerDate Mar 15 2010 02:18 Jun 11, 2010 Jkt 089200 PO 00000 Frm 00017 Fmt 6652 Sfmt 6201 E:\BILLS\S3464.IS S3464

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1 section) that is attributable to property of a char2 acter subject to an allowance for depreciation shall 

3 be treated as a credit listed in section 38(b) for such 

4 taxable year (and not allowed under subsection (a)). 

5 ‘‘(2) REFUNDABLE PERSONAL CREDIT.— 

6 ‘‘(A) IN GENERAL.—For purposes of this 

7 title, the credit allowed under subsection (a) for 

8 any taxable year (determined after application 

9 of paragraph (1)) shall be treated as a credit 

10 allowable under subpart C for such taxable year 

11 (and not allowed under subsection (a)). 

12 ‘‘(B) REFUNDABLE CREDIT MAY BE

13 TRANSFERRED.— 

14 ‘‘(i) IN GENERAL.—A taxpayer may, 

15 in connection with the purchase of a new 

16 qualified fuel-efficient motor vehicle, trans17 fer any refundable credit described in sub18 paragraph (A) to any person who is in the 

19 trade or business of selling new qualified 

20 fuel-efficient motor vehicles and who sold 

21 such vehicle to the taxpayer, but only if 

22 such person clearly discloses to such tax23 payer, through the use of a window sticker 

24 attached to the new qualified fuel-efficient 

25 vehicle— 


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1 ‘‘(I) the amount of the refund2 able credit described in subparagraph 

3 (A) with respect to such vehicle, and 

4 ‘‘(II) a notification that the tax5 payer will not be eligible for any cred6 it under section 30, 30B, or 30D with 

7 respect to such vehicle unless the tax8 payer elects not to have this section 

9 apply with respect to such vehicle. 

10 ‘‘(ii) CERTIFICATION.—A transferee 

11 of a refundable credit described in sub12 paragraph (A) may not claim such credit 

13 unless such claim is accompanied by a cer14 tification to the Secretary that the trans15 feree reduced the price the taxpayer paid 

16 for the new qualified fuel-efficient motor 

17 vehicle by the entire amount of such re18 fundable credit. 

19 ‘‘(iii) CONSENT REQUIRED FOR REV20 OCATION.—Any transfer under clause (i) 

21 may be revoked only with the consent of 

22 the Secretary. 

23 ‘‘(iv) REGULATIONS.—The Secretary 

24 may prescribe such regulations as nec25 essary to ensure that any refundable credit 


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1 described in clause (i) is claimed once and 

2 not retransferred by a transferee. 

3 ‘‘(d) OTHER DEFINITIONS.—For purposes of this 

4 section— 

5 ‘‘(1) FUEL-ECONOMY RATING.—The term ‘fuel6 economy rating’ means, with respect to any motor 

7 vehicle, the combined fuel-economy rating for such 

8 motor vehicle, expressed in gallons per mile, deter9 mined in accordance with section 32904 of title 49, 

10 United States Code. 

11 ‘‘(2) MODEL YEAR.—The term ‘model year’ has 

12 the meaning given such term under section 32901(a) 

13 of such title 49. 

14 ‘‘(3) MOTOR VEHICLE.—The term ‘motor vehi15 cle’ means any vehicle which is manufactured pri16 marily for use on public streets, roads, and highways 

17 (not including a vehicle operated exclusively on a rail 

18 or rails) and which has at least 4 wheels. 

19 ‘‘(4) REFERENCE FUEL-ECONOMY RATING.— 

20 The term ‘reference fuel-economy rating’ means, 

21 with respect to any motor vehicle, the fuel economy 

22 standard for such motor vehicle, expressed in gallons 

23 per mile, calculated by applying the relevant vehicle 

24 attributes to the mathematical function published 


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1 pursuant to section 32902(b)(3)(A) of title 49, 

2 United States Code. 

3 ‘‘(5) OTHER TERMS.—The terms ‘automobile’, 

4 ‘passenger automobile’, ‘light truck’, and ‘manufac5 turer’ have the meanings given such terms in regula6 tions prescribed by the Administrator of the Envi7 ronmental Protection Agency for purposes of the ad8 ministration of title II of the Clean Air Act (42 

9 U.S.C. 7521 et seq.). 

10 ‘‘(e) SPECIAL RULES.— 

11 ‘‘(1) BASIS REDUCTION.—For purposes of this 

12 subtitle, the basis of any property for which a credit 

13 is allowable under subsection (a) shall be reduced by 

14 the amount of such credit so allowed (determined 

15 without regard to subsection (c)). 

16 ‘‘(2) NO DOUBLE BENEFIT.—No other credit 

17 shall be allowable under this chapter for a new 

18 qualified fuel-efficient motor vehicle with respect to 

19 which a credit is allowed under this section. 

20 ‘‘(3) PROPERTY USED BY TAX-EXEMPT ENTI21 TY.—In the case of a vehicle whose use is described 

22 in paragraph (3) or (4) of section 50(b) and which 

23 is not subject to a lease, the person who sold such 

24 vehicle to the person or entity using such vehicle 

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1 hicle in service, but only if such person clearly dis2 closes to such person or entity in a document the 

3 amount of any credit allowable under subsection (a) 

4 with respect to such vehicle (determined without re5 gard to subsection (c)). For purposes of subsection 

6 (c), property to which this paragraph applies shall 

7 be treated as of a character subject to an allowance 

8 for depreciation. 

9 ‘‘(4) PROPERTY USED OUTSIDE UNITED

10 STATES, ETC., NOT QUALIFIED.—No credit shall be 

11 allowable under subsection (a) with respect to any 

12 property referred to in section 50(b)(1) or with re13 spect to the portion of the cost of any property 

14 taken into account under section 179. 

15 ‘‘(5) RECAPTURE.—The Secretary shall, by reg16 ulations, provide for recapturing the benefit of any 

17 credit allowable under subsection (a) with respect to 

18 any property which ceases to be property eligible for 

19 such credit (including recapture in the case of a 

20 lease period of less than the economic life of a vehi21 cle). 

22 ‘‘(6) ELECTION NOT TO TAKE CREDIT.—No 

23 credit shall be allowed under subsection (a) for any 

24 vehicle if the taxpayer elects to not have this section 

25 apply to such vehicle. 


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1 ‘‘(7) INTERACTION WITH AIR QUALITY AND

2 MOTOR VEHICLE SAFETY STANDARDS.—A motor ve3 hicle shall not be considered eligible for a credit 

4 under this section unless such vehicle is in compli5 ance with— 

6 ‘‘(A) the applicable provisions of the Clean 

7 Air Act for the applicable make and model year 

8 of the vehicle (or applicable air quality provi9 sions of State law in the case of a State which 

10 has adopted such provisions under a waiver 

11 under section 209(b) of the Clean Air Act), and 

12 ‘‘(B) the motor vehicle safety provisions of 

13 sections 30101 through 30169 of title 49, 

14 United States Code. 

15 ‘‘(8) INFLATION ADJUSTMENT.—In the case of 

16 any model year beginning in a calendar year after 

17 2011, each dollar amount in subsection (a)(3)(B) 

18 shall be increased by an amount equal to— 

19 ‘‘(A) such dollar amount, multiplied by 

20 ‘‘(B) the cost-of-living adjustment deter21 mined under section 1(f)(3) for the calendar 

22 year in which the model year begins, deter23 mined by substituting ‘2010’ for ‘1992’ in sub24 paragraph (B) thereof. 


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1 Any increase determined under the preceding sen2 tence shall be rounded to the nearest multiple of 

3 $100. 

4 ‘‘(f) REGULATIONS.— 

5 ‘‘(1) IN GENERAL.—Except as provided in para6 graph (2), the Secretary shall promulgate such regu7 lations as necessary to carry out the provisions of 

8 this section. 

9 ‘‘(2) COORDINATION IN PRESCRIPTION OF CER10 TAIN REGULATIONS.—The Secretary of the Treas11 ury, in coordination with the Secretary of Transpor12 tation and the Administrator of the Environmental 

13 Protection Agency, shall prescribe such regulations 

14 as necessary to determine whether a motor vehicle 

15 meets the requirements to be eligible for a credit 

16 under this section.’’. 

17 (c) CREDIT ALLOWED AGAINST ALTERNATIVE MIN18 IMUM TAX.— 

19 (1) BUSINESS CREDIT.—Section 38(c)(4)(B) is 

20 amended— 

21 (A) by redesignating clauses (i) through 

22 (viii) as clauses (ii) through (ix), respectively; 

23 and 

24 (B) by inserting before clause (ii) (as so 

25 redesignated) the following new clause: 


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1 ‘‘(i) the credit determined under sec2 tion 30E,’’. 

3 (2) PERSONAL CREDIT.— 

4 (A) Section 24(b)(3)(B) is amended by 

5 striking ‘‘and 30D’’ and inserting ‘‘30D, and 

6 30E’’. 

7 (B) Section 25(e)(1)(C)(ii) is amended by 

8 inserting ‘‘30E,’’ after ‘‘30D,’’. 

9 (C) Section 25B(g)(2) is amended by strik10 ing ‘‘and 30D’’ and inserting ‘‘30D, and 30E’’. 

11 (D) Section 26(a)(1) is amended by strik12 ing ‘‘and 30D’’ and inserting ‘‘30D, and 30E’’. 

13 (E) Section 904(i) is amended by striking 

14 ‘‘and 30D’’ and inserting ‘‘30D, and 30E’’. 

15 (d) DISPLAY OF CREDIT.—Section 32908(b)(1) of 

16 title 49, United States Code, is amended— 

17 (1) by redesignating subparagraphs (E) and 

18 (F) as subparagraphs (F) and (G); and 

19 (2) by inserting after subparagraph (D) the fol20 lowing new subparagraph: 

21 ‘‘(E) the amount of the fuel-efficient motor 

22 vehicle credit allowable with respect to the sale 

23 of the automobile under section 30E of the In24 ternal Revenue Code of 1986 (26 U.S.C. 

25 30E).’’. 


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1 (e) CONFORMING AMENDMENTS.— 

2 (1) Section 38(a) is amended— 

3 (A) in paragraph (34), by striking ‘‘plus’’ 

4 at the end; 

5 (B) in paragraph (35), by striking the pe6 riod at the end and inserting ‘‘, plus’’; and 

7 (C) by adding at the end the following new 

8 paragraph: 

9 ‘‘(36) the portion of the fuel performance re10 bate to which section 30E(c)(1) applies.’’. 

11 (2) Section 1016(a) is amended— 

12 (A) in paragraph (36), by striking ‘‘and’’ 

13 at the end; 

14 (B) in paragraph (37), by striking the pe15 riod at the end and inserting ‘‘, and’’; and 

16 (C) by adding at the end the following new 

17 paragraph: 

18 ‘‘(38) to the extent provided in section 

19 30E(e)(1).’’. 

20 (3) Section 6501(m) is amended by inserting 

21 ‘‘30E(e)(6),’’ after ‘‘30D(e)(4),’’. 

22 (4) The table of section for subpart C of part 

23 IV of subchapter A of chapter 1 is amended by in24 serting after the item relating to section 30D the 

25 following new item: 

‘‘Sec. 30E. Fuel performance rebate.’’. 


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1 (f) REVENUE NEUTRALITY PROVISIONS FOR FUEL

2 PERFORMANCE CREDIT.—Section 4064 is amended to 

3 read as follows: 

4 ‘‘SEC. 4064. FISCAL OFFSET PROVISIONS FOR FUEL PER5 FORMANCE CREDIT. 

6 ‘‘(a) IMPOSITION OF TAX.— 

7 ‘‘(1) IN GENERAL.—There is hereby imposed on 

8 the sale by the manufacturer of each fuel guzzler 

9 motor vehicle a tax equal to the product of— 

10 ‘‘(A) the absolute value of the difference 

11 between the fuel-economy rating and the ref12 erence fuel-economy rating for such motor vehi13 cle for the model year, and 

14 ‘‘(B) 100, and 

15 ‘‘(C) the applicable amount. 

16 ‘‘(2) APPLICABLE AMOUNT.—For purposes of 

17 paragraph (1)(C), the applicable amount is equal 

18 to— 

19 ‘‘(A) $1,500, or 

20 ‘‘(B) $2,500, if the fuel-economy rating for 

21 such motor vehicle is more than 50 percent less 

22 efficient than the reference fuel-economy rating 

23 for such motor vehicle as determined under 

24 paragraph (1)(A), or 


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1 ‘‘(C) $3,500, if the fuel-economy rating for 

2 such motor vehicle is more than 75 percent less 

3 efficient than the reference fuel-economy rating 

4 for such motor vehicle as determined under 

5 paragraph (1)(A). 

6 ‘‘(b) FUEL GUZZLER MOTOR VEHICLE.—For pur7 poses of this section— 

8 ‘‘(1) IN GENERAL.—The term ‘fuel guzzler 

9 motor vehicle’ means a passenger automobile or light 

10 truck— 

11 ‘‘(A) which is treated as a motor vehicle 

12 for purposes of title II of the Clean Air Act, 

13 ‘‘(B) which achieves a fuel-economy rating 

14 that is less efficient than the reference fuel15 economy rating for such motor vehicle for the 

16 model year, 

17 ‘‘(C) which has a gross vehicle weight rat18 ing of not more than 8,500 pounds, and 

19 ‘‘(D) which is made by a manufacturer be20 ginning with model year 2013. 

21 ‘‘(2) EXCEPTION FOR EMERGENCY VEHICLES.— 

22 The term ‘fuel guzzler motor vehicle’ does not in23 clude any vehicle sold for use and used— 

24 ‘‘(A) as an ambulance or combination am25 bulance-hearse, 


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1 ‘‘(B) by the United States or by a State or 

2 local government for police or other law en3 forcement purposes, or 

4 ‘‘(C) for other emergency uses prescribed 

5 by the Secretary by regulations. 

6 ‘‘(c) OTHER DEFINITIONS.—For purposes of this 

7 section— 

8 ‘‘(1) FUEL-ECONOMY RATING.—The term ‘fuel9 economy rating’ means, with respect to any motor 

10 vehicle, the combined fuel-economy rating for such 

11 motor vehicle, expressed in gallons per mile, deter12 mined in accordance with section 32904 of title 49, 

13 United States Code. 

14 ‘‘(2) MODEL YEAR.—The term ‘model year’ has 

15 the meaning given such term under section 32901(a) 

16 of such title 49. 

17 ‘‘(3) MOTOR VEHICLE.—The term ‘motor vehi18 cle’ means any vehicle which is manufactured pri19 marily for use on public streets, roads, and highways 

20 (not including a vehicle operated exclusively on a rail 

21 or rails) and which has at least 4 wheels. 

22 ‘‘(4) REFERENCE FUEL-ECONOMY RATING.— 

23 The term ‘reference fuel-economy rating’ means, 

24 with respect to any motor vehicle, the fuel economy 

25 standard for such motor vehicle, expressed in gallons 


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1 per mile, calculated by applying the relevant vehicle 

2 attributes to the mathematical function published 

3 pursuant to section 32902(b)(3)(A) of title 49, 

4 United States Code. 

5 ‘‘(5) OTHER TERMS.—The terms ‘automobile’, 

6 ‘passenger automobile’, ‘light truck’, and ‘manufac7 turer’ have the meanings given such terms in regula8 tions prescribed by the Administrator of the Envi9 ronmental Protection Agency for purposes of the ad10 ministration of title II of the Clean Air Act (42 

11 U.S.C. 7521 et seq.). 

12 ‘‘(d) INFLATION ADJUSTMENT.—In the case of any 

13 model year beginning in a calendar year after 2010, each 

14 dollar amount in subsection (a)(2) shall be increased by 

15 an amount equal to— 

16 ‘‘(1) such dollar amount, multiplied by 

17 ‘‘(2) the cost-of-living adjustment determined 

18 under section 1(f)(3) for the calendar year in which 

19 the model year begins, determined by substituting 

20 ‘2009’ for ‘1992’ in subparagraph (B) thereof. 

21 Any increase determined under the preceding sentence 

22 shall be rounded to the nearest multiple of $100.’’. 

23 (g) CONFORMING AMENDMENTS.— 


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1 (1) The heading for part I of subchapter A of 

2 chapter 32 is amended by striking ‘‘GAS’’ and in3 serting ‘‘FUEL’’. 

4 (2) The table of parts for subchapter A of chap5 ter 32 is amended by striking ‘‘Gas’’ in the item re6 lating to part I and inserting ‘‘Fuel’’. 

7 (3) The table of sections for part I of sub8 chapter A of chapter 32 is amended by striking 

9 ‘‘Gas’’ in the item relating to section 4064 and in10 serting ‘‘Fuel’’. 

11 (4) The heading for subsection (d) of section 

12 1016 is amended by striking ‘‘GAS GUZZLER TAX’’ 

13 and inserting ‘‘FUEL PERFORMANCE FEE’’. 

14 (5) The heading for subsection (e) of section 

15 4217 is amended by striking ‘‘GAS GUZZLER TAX’’ 

16 and inserting ‘‘FUEL PERFORMANCE FEE’’. 

17 (6) The heading for subparagraph (B) of sec18 tion 4217(e)(3) is amended by striking ‘‘GAS GUZ19 ZLER TAX’’ and inserting ‘‘FUEL PERFORMANCE

20 FEE’’. 

21 (7) Section 4217(e) is amended by striking 

22 ‘‘gas guzzler tax’’ each place it appears and insert23 ing ‘‘fuel performance fee’’. 

24 (h) EFFECTIVE DATE.—The amendments made by 

25 subsections (a) through (e) shall apply to property placed 


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1 in service after the date of the enactment of this Act. The 

2 amendments made by subsections (f) and (g) shall apply 

3 to sales of vehicles beginning with model year 2013. 

4 Subtitle B—Fuel Choice 

5 SEC. 111. PRODUCTION INCENTIVES FOR RENEWABLE 

6 FUELS. 

7 Section 942 of the Energy Policy Act of 2005 (42 

8 U.S.C. 16251) is amended— 

9 (1) in the section heading, by striking ‘‘CELLU10 LOSIC BIOFUELS’’ and inserting ‘‘RENEWABLE

11 FUELS’’; 

12 (2) by striking ‘‘cellulosic biofuels’’ each place 

13 it appears (other than subsection (b)(1)) and insert14 ing ‘‘renewable fuels’’; 

15 (3) in subsection (a), by striking ‘‘biofuels’’ 

16 each place it appears and inserting ‘‘renewable 

17 fuels’’; 

18 (4) in subsection (b)— 

19 (A) by striking paragraph (1); 

20 (B) by redesignating paragraph (2) as 

21 paragraph (1); and 

22 (C) by inserting after paragraph (1) (as so 

23 redesignated) the following: 

24 ‘‘(2) RENEWABLE FUEL.— 


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1 ‘‘(A) IN GENERAL.—The term ‘renewable 

2 fuel’ has the meaning given the term in section 

3 211(o)(1) of the Clean Air Act (42 U.S.C. 

4 7545(o)(1)). 

5 ‘‘(B) INCLUSION.—The term ‘renewable 

6 fuel’ includes algae. 

7 ‘‘(C) EXCLUSION.—The term ‘renewable 

8 fuel’ does not include grain.’’; and 

9 (5) in subsection (f), by inserting ‘‘for each of 

10 fiscal years 2011 through 2015’’ before the period at 

11 the end. 

12 SEC. 112. ENSURING THE AVAILABILITY OF DUAL FUELED 

13 AUTOMOBILES AND LIGHT DUTY TRUCKS. 

14 (a) IN GENERAL.—Chapter 329 of title 49, United 

15 States Code, is amended by inserting after section 32902 

16 the following: 

17 ‘‘§ 32902A. Requirement to manufacture dual fueled 

18 automobiles and light duty trucks 

19 ‘‘(a) IN GENERAL.—For each model year listed in the 

20 following table, each manufacturer shall ensure that the 

21 percentage of automobiles and light duty trucks manufac22 tured by the manufacturer for sale in the United States 

23 that are dual fueled automobiles and light duty trucks is 

24 not less than the percentage set forth for that model year 

25 in the following table: 


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‘‘Model Year Percentage 

Model years 2013 and 2014 ....................... 50 percent 

Model year 2015 and each subsequent 

model year.

90 percent. 

1 ‘‘(b) EXCEPTION.—Subsection (a) shall not apply to 

2 automobiles or light duty trucks that operate only on elec3 tricity or other non-petroleum based energy sources.’’. 

4 (b) CLERICAL AMENDMENT.—The table of sections 

5 for chapter 329 of title 49, United States Code, is amend6 ed by inserting after the item relating to section 32902 

7 the following: 

‘‘32902A. Requirement to manufacture dual fueled automobiles and light duty 

trucks.’’. 

8 (c) RULEMAKING.—Not later than 1 year after the 

9 date of the enactment of this Act, the Secretary of Trans10 portation shall prescribe regulations to carry out the 

11 amendments made by this Act. 

12 TITLE II—ENERGY EFFICIENCY 

13 Subtitle A—National Building 

14 Energy Performance Standards 

15 SEC. 201. GREATER ENERGY EFFICIENCY IN BUILDING 

16 CODES. 

17 (a) IN GENERAL.—Section 304 of the Energy Con18 servation and Production Act (42 U.S.C. 6833) is amend19 ed to read as follows: 


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1 ‘‘SEC. 304. UPDATING STATE BUILDING ENERGY EFFI2 CIENCY CODES. 

3 ‘‘(a) UPDATING NATIONAL MODEL BUILDING EN4 ERGY CODES.— 

5 ‘‘(1) TARGETS.— 

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

7 support updating the national model building 

8 energy codes and standards at least every 3 

9 years to achieve overall energy savings, com10 pared to the 2006 IECC for residential build11 ings and ASHRAE Standard 90.1–2004 for 

12 commercial buildings. 

13 ‘‘(B) MINIMUM REQUIREMENTS.—The tar14 gets for overall energy savings shall be at least 

15 a— 

16 ‘‘(i) 30 percent reduction in energy 

17 use relative to a comparable building con18 structed in compliance with the 2006 

19 IECC by January 1, 2012; 

20 ‘‘(ii) 30 percent reduction in energy 

21 use relative to a comparable building con22 structed in compliance with the ASHRAE 

23 Standard 90.1–2004 by May 1, 2012; 

24 ‘‘(iii) 50 percent reduction in energy 

25 use relative to a comparable building conVerDate Mar 15 2010 02:18 Jun 11, 2010 Jkt 089200 PO 00000 Frm 00035 Fmt 6652 Sfmt 6201 E:\BILLS\S3464.IS S3464

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1 structed in compliance with the 2006 

2 IECC by January 1, 2015; and 

3 ‘‘(iv) 50 percent reduction in energy 

4 use relative to a comparable building con5 structed in compliance with the ASHRAE 

6 Standard 90.1–2004 by January 1, 2017. 

7 ‘‘(C) SPECIFIC YEARS.— 

8 ‘‘(i) IN GENERAL.—Targets for spe9 cific dates subsequent to the dates estab10 lished under clauses (i) and (ii) of sub11 paragraph (B) shall be set by the Sec12 retary at least 3 years in advance of each 

13 target date, coordinated with the IECC 

14 and ASHRAE Standard 90.1 cycles, at a 

15 level of energy efficiency that is techno16 logically feasible and life-cycle cost effec17 tive and on a path to achieving net-zero18 energy buildings. 

19 ‘‘(ii) DIFFERENT TARGET YEARS.— 

20 ‘‘(I) IN GENERAL.—Subject to 

21 paragraph (2)(D), not later than 3 

22 years prior to implementation of 

23 clauses (iii) and (iv) of subparagraph 

24 (B), the Secretary may set a different 

25 target date for the targets established 


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1 under those clauses if the Secretary 

2 determines that a 50 percent target 

3 cannot be met by the target date. 

4 ‘‘(II) NOTICE.—Not later than 

5 15 days prior to a determination 

6 made under subclause (I), the Sec7 retary shall inform the Committee on 

8 Energy and Natural Resources of the 

9 Senate and the Committee on Energy 

10 and Commerce of the House of Rep11 resentatives of the determination. 

12 ‘‘(D) TECHNICAL ASSISTANCE TO MODEL

13 CODE-SETTING AND STANDARD DEVELOPMENT

14 ORGANIZATIONS.— 

15 ‘‘(i) IN GENERAL.—The Secretary 

16 shall, on a timely basis, provide technical 

17 assistance to model code-setting and stand18 ard development organizations. 

19 ‘‘(ii) ASSISTANCE.—The assistance 

20 shall, to the maximum extent practicable, 

21 include technical assistance identified by 

22 the organizations such as for— 

23 ‘‘(I) evaluating codes or stand24 ards proposals or revisions; 


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1 ‘‘(II) building energy analysis 

2 and design tools; 

3 ‘‘(III) building demonstrations; 

4 and 

5 ‘‘(IV) design assistance and 

6 training. 

7 ‘‘(E) AMENDMENT PROPOSALS.—The Sec8 retary shall submit codes and standards amend9 ment proposals to the model code-setting and 

10 standards development organizations, with sup11 porting evidence, sufficient to enable the na12 tional model building energy codes and stand13 ards to meet the targets established under sub14 paragraph (B). 

15 ‘‘(2) REVISION OF BUILDING ENERGY USE

16 STANDARDS.— 

17 ‘‘(A) IN GENERAL.—If the provisions of 

18 the IECC or ASHRAE Standard 90.1 regard19 ing building energy use are revised, the Sec20 retary shall make a determination not later 

21 than 180 days after the date of the revision, on 

22 whether the revision will— 

23 ‘‘(i) improve energy efficiency in 

24 buildings; and 


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1 ‘‘(ii) meet the targets under para2 graph (1). 

3 ‘‘(B) CODES OR STANDARDS NOT MEETING

4 TARGETS.— 

5 ‘‘(i) IN GENERAL.—If the Secretary 

6 makes a determination under subpara7 graph (A)(ii) that a code or standard does 

8 not meet the targets established under 

9 paragraph (1), not later than 1 year after 

10 the date of the determination, the Sec11 retary shall provide the model code or 

12 standard developer with proposed changes 

13 that would result in a model code or stand14 ard that meets the targets. 

15 ‘‘(ii) INCORPORATION OF CHANGES.— 

16 On receipt of the proposed changes, the 

17 model code or standard developer shall 

18 have an additional 180 days to incorporate 

19 the proposed changes into the model code 

20 or standard. 

21 ‘‘(iii) ESTABLISHMENT BY SEC22 RETARY.—If the proposed changes are not 

23 incorporated into the model code or stand24 ard, the Secretary shall establish a modiVerDate Mar 15 2010 02:18 Jun 11, 2010 Jkt 089200 PO 00000 Frm 00039 Fmt 6652 Sfmt 6201 E:\BILLS\S3464.IS S3464

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1 fied code or standard that meets the estab2 lished targets. 

3 ‘‘(iv) ADMINISTRATION.—Any code or 

4 standard modified under this subparagraph 

5 shall— 

6 ‘‘(I) achieve a level of energy sav7 ings that is technologically feasible 

8 and life-cycle cost-effective; 

9 ‘‘(II) be based on the latest edi10 tion of the IECC or ASHRAE Stand11 ard 90.1, including any subsequent 

12 amendments, addenda, or additions, 

13 but may also consider other model 

14 codes or standards; and 

15 ‘‘(III) serve as the baseline for 

16 the next determination under sub17 paragraph (A)(i). 

18 ‘‘(C) CODES OR STANDARDS NOT UPDATED

19 FOR 3 YEARS.— 

20 ‘‘(i) IN GENERAL.—If the model code 

21 or standard is not revised by a target date 

22 under paragraph (1)(B), the Secretary 

23 shall, not later than 1 year after the target 

24 date, establish a modified code or standard 


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1 that meets the targets under paragraph 

2 (1)(B). 

3 ‘‘(ii) REQUIREMENTS.—Any modified 

4 code or standard shall— 

5 ‘‘(I) achieve a level of energy sav6 ings that is technologically feasible 

7 and life-cycle cost-effective; 

8 ‘‘(II) be based on the latest revi9 sion of the IECC or ASHRAE Stand10 ard 90.1, including any amendments 

11 or additions to the code or standard, 

12 but may also consider other model 

13 codes or standards; and 

14 ‘‘(III) serve as the baseline for 

15 the next determination under sub16 paragraph (A)(i). 

17 ‘‘(D) ADMINISTRATION.—The Secretary 

18 shall— 

19 ‘‘(i) provide an opportunity for public 

20 comment on targets, determinations, and 

21 modified codes and standards under this 

22 subsection; and 

23 ‘‘(ii) publish in the Federal Register 

24 notice of targets, determinations, and 


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1 modified codes and standards under this 

2 subsection. 

3 ‘‘(b) ESTABLISHING MINIMUM BUILDING EFFI4 CIENCY STANDARD.— 

5 ‘‘(1) DETERMINATION OF MINIMUM BUILDING

6 EFFICIENCY STANDARD.— 

7 ‘‘(A) IN GENERAL.—If the Secretary 

8 makes an affirmative determination or estab9 lishes a modified code or standard under para10 graph (2), the Secretary shall establish the 

11 modified code or standard as the Minimum 

12 Building Efficiency Standard. 

13 ‘‘(B) STATE NOTIFICATION.—The Sec14 retary shall notify each State of the determina15 tion of the Minimum Building Efficiency Stand16 ard not later than 30 days after establishing or 

17 modifying the standard. 

18 ‘‘(2) INITIAL MINIMUM BUILDING EFFICIENCY

19 STANDARD.—As of the date of enactment of the 

20 Practical Energy and Climate Plan Act of 2010, the 

21 Minimum Building Efficiency Standard shall be— 

22 ‘‘(A) the 2009 IECC for residential build23 ings; and 

24 ‘‘(B) the ASHRAE Standard 90.1–2007 

25 for commercial buildings. 


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1 ‘‘(c) STATE CERTIFICATION OF BUILDING ENERGY

2 CODE UPDATES.— 

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

4 EACH STATE.— 

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

6 after the date on which the Minimum Building 

7 Efficiency Standard is established under sub8 section (b), each State shall certify to the Sec9 retary whether or not the State has reviewed 

10 and updated the provisions of the residential 

11 and commercial building codes of the State re12 garding energy efficiency. 

13 ‘‘(B) DEMONSTRATION.—For a State to be 

14 in compliance with this section, the certification 

15 under subparagraph (A) shall include a dem16 onstration that the code provisions that are in 

17 effect throughout the State— 

18 ‘‘(i) meet or exceed the Minimum 

19 Building Efficiency Standard; or 

20 ‘‘(ii) achieve equivalent or greater en21 ergy savings. 

22 ‘‘(d) STATE CERTIFICATION OF COMPLIANCE WITH

23 BUILDING CODES.— 

24 ‘‘(1) REQUIREMENT.— 


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

2 after the date of a certification under sub3 section (c), each State shall certify whether or 

4 not the State has— 

5 ‘‘(i) achieved compliance under para6 graph (3) with the certified State building 

7 energy code or the Minimum Building Effi8 ciency Standard; or 

9 ‘‘(ii) made significant progress under 

10 paragraph (4) toward achieving compliance 

11 with the certified State building energy 

12 code or the Minimum Building Efficiency 

13 Standard. 

14 ‘‘(B) REPEAT CERTIFICATIONS.—If a 

15 State certifies progress toward achieving com16 pliance, the State shall repeat the certification 

17 each year until the State certifies that the State 

18 has achieved compliance. 

19 ‘‘(2) MEASUREMENT OF COMPLIANCE.—A cer20 tification under paragraph (1) shall include docu21 mentation of the rate of compliance based on— 

22 ‘‘(A) independent inspections of a random 

23 sample of the new and renovated buildings cov24 ered by the code in the preceding year; or 


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

2 accurate measure of compliance. 

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

4 shall be considered to achieve compliance under 

5 paragraph (1) if— 

6 ‘‘(A) at least 90 percent of new building 

7 space covered by the code in the preceding year 

8 substantially meets all the requirements of the 

9 code regarding energy efficiency, or achieves 

10 equivalent or greater energy savings; or 

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

12 new and renovated buildings that did not meet 

13 the code in the preceding year, compared to a 

14 baseline of comparable buildings that meet the 

15 code, is not more than 5 percent of the esti16 mated energy use of all new and renovated 

17 buildings covered by the code during the pre18 ceding year. 

19 ‘‘(4) SIGNIFICANT PROGRESS TOWARD

20 ACHIEVEMENT OF COMPLIANCE.— 

21 ‘‘(A) IN GENERAL.—For purposes of para22 graph (1), a State shall be considered to have 

23 made significant progress toward achieving 

24 compliance if the State— 


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1 ‘‘(i) has developed and is imple2 menting a plan for achieving compliance 

3 not later than 8 years after the date of en4 actment of the Practical Energy and Cli5 mate Plan Act of 2010, assuming contin6 ued adequate funding, including active 

7 training and enforcement programs; 

8 ‘‘(ii) after 1 or more years of ade9 quate funding, has demonstrated progress, 

10 in conformance with the plan described in 

11 clause (i), toward compliance; 

12 ‘‘(iii) after 5 or more years of ade13 quate funding, meets the requirements of 

14 paragraph (3) if ‘80 percent’ is substituted 

15 for ‘90 percent’ or ‘10 percent’ is sub16 stituted for ‘5 percent’; and 

17 ‘‘(iv) has not had more than 8 years 

18 of adequate funding. 

19 ‘‘(B) ADEQUATE FUNDING.—For purposes 

20 of this paragraph, funding shall be considered 

21 adequate if the Federal Government provides to 

22 the States at least $50,000,000 for a fiscal year 

23 in funding and support for development and im24 plementation of State building energy codes, in25 cluding for training and enforcement. 


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1 ‘‘(C) TECHNICAL ASSISTANCE TO

2 STATES.—The Secretary shall make available 

3 technical assistance to States to implement this 

4 section, including procedures and technical 

5 analysis for States— 

6 ‘‘(i) to demonstrate that the code pro7 visions of the States achieve equivalent or 

8 greater energy savings than the Minimum 

9 Building Efficiency Standard; 

10 ‘‘(ii) to document the rate of compli11 ance with a building energy code; and 

12 ‘‘(iii) to improve and implement State 

13 residential and commercial building energy 

14 efficiency codes. 

15 ‘‘(D) VOLUNTARY ADVANCED CODES AND

16 STANDARDS.— 

17 ‘‘(i) IN GENERAL.—The Secretary 

18 shall support the development of voluntary 

19 advanced model codes and standards for 

20 residential and commercial buildings that 

21 achieve energy savings of at least 30 per22 cent compared to the Minimum Building 

23 Efficiency Standard, for use in— 

24 ‘‘(I) building design; 


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1 ‘‘(II) voluntary and market 

2 transformation programs; 

3 ‘‘(III) incentive criteria; and 

4 ‘‘(IV) voluntary adoption by 

5 States. 

6 ‘‘(ii) UPDATES.—The voluntary ad7 vanced model codes and standards shall be 

8 updated at least once every 3 years. 

9 ‘‘(e) COMPLIANCE.— 

10 ‘‘(1) VALIDATION OF CERTIFICATION.— 

11 ‘‘(A) IN GENERAL.—Subject to subpara12 graph (B), not later than 60 days after the date 

13 of receipt of certification required by subsection 

14 (c), the Secretary shall inform the submitting 

15 State in writing of whether the Secretary vali16 dates the certification and, if not validated, the 

17 reasons for not validating the certification as 

18 submitted. 

19 ‘‘(B) DEFERRAL.—On the request of the 

20 State, the Secretary may defer the validation 

21 decision for an additional 90 days. 

22 ‘‘(C) NONCOMPLIANCE.—Any State for 

23 which the Secretary has not accepted a certifi24 cation by a deadline under subsection (c) or (d) 


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1 shall be considered out of compliance with this 

2 section. 

3 ‘‘(2) LOCAL GOVERNMENT.—In any State that 

4 is out of compliance with this section, a local govern5 ment may be considered in compliance with this sec6 tion by meeting the certification requirements under 

7 subsections (c) and (d). 

8 ‘‘(3) ANNUAL REPORTS BY SECRETARY.— 

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

10 annually submit to Congress, and publish in the 

11 Federal Register, a report that describes— 

12 ‘‘(i) the status of Minimum Building 

13 Efficiency Standards; 

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

15 compliance in the States; and 

16 ‘‘(iii) implementation of this section. 

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

18 estimates of impacts of past action under this 

19 section, and potential impacts of further action, 

20 on lifetime energy use by buildings and result21 ing energy costs to individuals and businesses. 

22 ‘‘(4) CONSIDERATION IN GRANT PROCESS.— 

23 The Secretary shall consider as a factor of any 

24 grants to be awarded by the Department to States 

25 whether or not the State has achieved compliance or 


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1 is making significant progress towards achieving 

2 compliance under paragraphs (3) and (4) of sub3 section (d). 

4 ‘‘(f) AVAILABILITY OF IMPLEMENTATION ASSIST5 ANCE FUNDING.— 

6 ‘‘(1) IN GENERAL.— 

7 ‘‘(A) REQUIREMENT.—The Secretary shall 

8 provide implementation assistance funding to 

9 States and local governments to implement this 

10 section, and to improve and implement State 

11 residential and commercial building energy effi12 ciency codes, including increasing and verifying 

13 compliance with the codes and training of State 

14 and local building code officials. 

15 ‘‘(B) STATE ACTIONS.—In determining 

16 whether, and in what amount, to provide imple17 mentation assistance funding under this sub18 section, the Secretary shall consider the actions 

19 proposed by the State— 

20 ‘‘(i) to implement this section; 

21 ‘‘(ii) to improve and implement resi22 dential and commercial building energy ef23 ficiency codes; and 

24 ‘‘(iii) to promote building energy effi25 ciency through the use of the codes. 


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1 ‘‘(2) ADDITIONAL FUNDING.—Additional fund2 ing shall be provided under this subsection for im3 plementation of a plan to achieve and document at 

4 least a 90-percent rate of compliance with residential 

5 and commercial building energy efficiency codes, 

6 based on energy performance— 

7 ‘‘(A) to a State that has adopted and is 

8 implementing, on a statewide basis— 

9 ‘‘(i) a residential building energy effi10 ciency code that meets or exceeds the re11 quirements of the 2009 IECC, or any suc12 ceeding version of that code that has re13 ceived an affirmative determination from 

14 the Secretary under subsection 

15 (a)(2)(A)(i); and 

16 ‘‘(ii) a commercial building energy ef17 ficiency code that meets or exceeds the re18 quirements of the ASHRAE Standard 

19 90.1–2007, or any succeeding version of 

20 that standard that has received an affirma21 tive determination from the Secretary 

22 under subsection (a)(2)(A)(i); or 

23 ‘‘(B) in a State in which there is no state24 wide energy code for either residential buildings 

25 or commercial buildings, or in which State 


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1 codes fail to comply with subparagraph (A), to 

2 a local government that has adopted and is im3 plementing residential and commercial building 

4 energy efficiency codes, as described in subpara5 graph (A). 

6 ‘‘(3) TRAINING.—Of the amounts made avail7 able under this subsection, the State may use 

8 amounts required, but not to exceed $500,000 per 

9 State, to train State and local building code officials 

10 to implement and enforce codes described in para11 graph (2). 

12 ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.— 

13 There are authorized to be appropriated to carry out 

14 this subsection— 

15 ‘‘(A) $300,000,000 for each of fiscal years 

16 2011 through 2015; and 

17 ‘‘(B) such sums as are necessary for fiscal 

18 year 2016 and each fiscal year thereafter.’’. 

19 (b) DEFINITION OF IECC.—Section 303 of the En20 ergy Conservation and Production Act (42 U.S.C. 6832) 

21 is amended by adding at the end the following: 

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

23 International Energy Conservation Code.’’. 


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1 Subtitle B—Federal Buildings 

2 SEC. 211. ENERGY EFFICIENT FEDERAL BUILDINGS. 

3 Section 543 of the National Energy Conservation 

4 Policy Act (42 U.S.C. 8253) is amended— 

5 (1) by redesignating the second subsection (f) 

6 (relating to large capital energy investments) as sub7 section (g); and 

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

9 ‘‘(h) ENERGY EFFICIENT FEDERAL BUILDINGS.— 

10 ‘‘(1) IN GENERAL.—To the maximum extent 

11 practicable, each Federal agency shall ensure that 

12 any new Federal building is designed in a manner 

13 to enhance energy efficiency, including— 

14 ‘‘(A) by complying with paragraphs (2) 

15 and (3); and 

16 ‘‘(B) by identifying and analyzing impacts 

17 from energy usage and alternative energy 

18 sources in all environmental impact statements 

19 or similar analyses required under the National 

20 Environmental Policy Act of 1969 (42 U.S.C. 

21 4321 et seq.) for proposals covering new or ex22 panded Federal facilities. 

23 ‘‘(2) FIRST STAGE.—To the maximum extent 

24 practicable, each Federal agency shall ensure that 


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1 any Federal building that enters the design phase on 

2 or after January 1, 2012— 

3 ‘‘(A) is designed to exceed national build4 ing performance standards; 

5 ‘‘(B) makes appropriate use of cost-effec6 tive, innovative technologies and strategies to 

7 minimize consumption of energy, water, and 

8 materials; and 

9 ‘‘(C) is located in accordance with a proc10 ess that considers sites with convenient access 

11 to public transportation alternatives. 

12 ‘‘(3) SECOND STAGE.—To the maximum extent 

13 practicable, each Federal agency shall ensure that 

14 any Federal building that enters the design phase on 

15 or after January 1, 2020, is designed to achieve net16 zero energy use by January 1, 2030.’’. 

17 Subtitle C—Homes and Buildings 

18 Energy Retrofits Program 

19 SEC. 221. DEFINITIONS. 

20 In this subtitle: 

21 (1) COST.—The term ‘‘cost’’ has the meaning 

22 given the term in section 502 of the Federal Credit 

23 Reform Act of 1990 (2 U.S.C. 661a). 


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1 (2) DIRECT LOAN.—The term ‘‘direct loan’’ has 

2 the meaning given the term in section 502 of the 

3 Federal Credit Reform Act of 1990 (2 U.S.C. 661a). 

4 (3) LOAN GUARANTEE.—The term ‘‘loan guar5 antee’’ has the meaning given the term in section 

6 502 of the Federal Credit Reform Act of 1990 (2 

7 U.S.C. 661a). 

8 (4) PROGRAM.—The term ‘‘Program’’ means 

9 the Homes and Buildings Energy Retrofits Program 

10 established by section 242. 

11 (5) SECRETARY.—The term ‘‘Secretary’’ means 

12 the Secretary of Energy. 

13 (6) SECURITY.—The term ‘‘security’’ has the 

14 meaning given the term in section 2 of the Securities 

15 Act of 1933 (15 U.S.C. 77b). 

16 (7) STATE.—The term ‘‘State’’ means— 

17 (A) a State; 

18 (B) the District of Columbia; 

19 (C) the Commonwealth of Puerto Rico; 

20 and 

21 (D) any other territory or possession of the 

22 United States. 


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1 SEC. 222. HOMES AND BUILDINGS ENERGY RETROFITS 

2 PROGRAM. 

3 (a) ESTABLISHMENT.—There is established in the 

4 Department of Energy a program to be known as the 

5 Homes and Buildings Energy Retrofits Program, which 

6 shall have annual target energy efficiency retrofit rates 

7 of— 

8 (1) 5 percent for homes; and 

9 (2) 2 percent for commercial buildings. 

10 (b) ELIGIBILITY CRITERIA.— 

11 (1) IN GENERAL.—In administering the Pro12 gram, the Secretary shall establish eligibility criteria 

13 for applicants for financial assistance under sub14 section (c) who can offer financial products and pro15 grams consistent with the purposes of this subtitle. 

16 (2) CRITERIA.—Criteria for applicants shall— 

17 (A) take into account— 

18 (i) expected energy savings; 

19 (ii) percentage electricity rate in20 creases in areas to be served by the appli21 cant that are attributable to implementa22 tion of the Federal diverse energy stand23 ard; 

24 (iii) the number and type of buildings 

25 that can be served by the applicant, the 

26 size of the potential market, and the scope 


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1 of the program (in terms of measures or 

2 technologies to be used); 

3 (iv) the ability of the applicant to suc4 cessfully execute the proposed program 

5 and maintain the performance of the pro6 posed projects and investments; 

7 (v) financial criteria, as applicable, in8 cluding the ability of the applicant to raise 

9 private capital or other sources of funds 

10 for the proposed program; 

11 (vi) criteria that enable the Secretary 

12 to determine sound program design, in13 cluding— 

14 (I) an assurance of credible en15 ergy efficiency or renewable energy 

16 generation performance; and 

17 (II) financial product or program 

18 design that effectively reduces barriers 

19 posed by traditional financing pro20 grams; 

21 (vii) such criteria, standards, guide22 lines, and mechanisms as will enable the 

23 Secretary, to the maximum extent prac24 ticable, to communicate to program spon25 sors and originators, servicers, and sellers 


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1 of financial obligations the eligibility of 

2 loans for resale; 

3 (viii) the ability of the applicant to re4 port relevant data on program perform5 ance; and 

6 (ix) the ability of the applicant to use 

7 incentives or marketing techniques that are 

8 likely to result in successful market pene9 tration; and 

10 (B) encourage— 

11 (i) use of technologies that are either 

12 well-established or new, but demonstrated 

13 to be reliable; 

14 (ii) applicants that can offer building 

15 owners or lessees payment plans generally 

16 designed to permit the combination of en17 ergy payments and assessments or charges 

18 from the installation or payments associ19 ated with financing to be lower than the 

20 energy payments prior to installing energy 

21 efficiency measures or on-site renewable 

22 energy technologies; 

23 (iii) applicants that will use repay24 ment mechanisms convenient for building 

25 owners, such as tax-increment financing, 


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1 special tax districts, on-utility-bill repay2 ment, or other mechanisms; 

3 (iv) applicants that can provide con4 venience for building owners by combining 

5 participation in the lending program 

6 with— 

7 (I) processing for tax credits and 

8 other incentives; and 

9 (II) technical assistance in select10 ing and working with vendors to pro11 vide energy efficiency measures or on12 site renewable energy generation sys13 tems; 

14 (v) applicants the projects of which 

15 will use contractors that hire within a 50- 

16 mile radius of the project, or as close as is 

17 practicable; 

18 (vi) applicants that will use materials 

19 and technologies manufactured in the 

20 United States; 

21 (vii) partnerships with or other in22 volvement of State workforce investment 

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1 prenticeship programs, and other job train2 ing entities; and 

3 (viii) applicants that can provide fi4 nancing programs or financial products 

5 that mitigate barriers other than the initial 

6 expense of installing measures or tech7 nologies, such as unfavorable lease terms. 

8 (3) DIVERSE PORTFOLIO.—In establishing cri9 teria and selecting applicants to receive financial as10 sistance under subsection (c), the Secretary shall se11 lect a portfolio of investments that reaches a diver12 sity of building owners and lessees, including— 

13 (A) individual homeowners or lessees; 

14 (B) multifamily apartment building owners 

15 or lessees; 

16 (C) condominium owners associations; 

17 (D) commercial building owners or lessees, 

18 including multi-tenant commercial properties; 

19 (E) industrial building owners or lessees; 

20 and 

21 (F) schools, hospitals, and other buildings 

22 designated by the Secretary. 

23 (c) FINANCIAL ASSISTANCE.— 

24 (1) IN GENERAL.—For applicants determined 

25 to be eligible under criteria established under subVerDate Mar 15 2010 02:18 Jun 11, 2010 Jkt 089200 PO 00000 Frm 00060 Fmt 6652 Sfmt 6201 E:\BILLS\S3464.IS S3464

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1 section (b), the Secretary may provide financial as2 sistance in the form of direct loans, letters of credit, 

3 loan guarantees, insurance products, other credit en4 hancements or debt instruments (including 

5 securitization or indirect credit support), or other fi6 nancial products to promote the widespread deploy7 ment of, and mobilize private sector support of cred8 it and investment institutions for, energy efficiency 

9 measures and on-site renewable energy generation 

10 systems in buildings. 

11 (2) FINANCIAL PRODUCTS.—The Secretary— 

12 (A) in cooperation with Federal, State, 

13 local, and private sector entities, shall develop 

14 debt instruments that provide for the aggrega15 tion of, or directly aggregate, programs for the 

16 deployment of energy efficiency measures and 

17 on-site renewable energy generation systems on 

18 a scale appropriate for residential, commercial, 

19 or industrial applications; and 

20 (B) may insure, guarantee, purchase, and 

21 make commitments to purchase any debt in22 strument associated with the deployment of 

23 clean energy technologies (including subordi24 nated securities) for the purpose of enhancing 

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1 ployment of energy efficiency measures and on2 site renewable energy generation systems. 

3 (3) APPLICATION REVIEW.— 

4 (A) IN GENERAL.—To the maximum ex5 tent practicable and consistent with sound busi6 ness practices, the Secretary shall seek to expe7 dite reviews of applications for credit support 

8 under this subtitle in order to communicate to 

9 applicants in a timely manner the likelihood of 

10 support so that the applicants can seek private 

11 capital in order to receive final approval. 

12 (B) MECHANISMS.—In carrying out this 

13 paragraph, the Secretary shall consider using 

14 mechanisms such as— 

15 (i) a system for conditional pre-ap16 proval that informs applicants that final 

17 applicants will be approved, if established 

18 conditions are met; 

19 (ii) clear guidelines that communicate 

20 to applicants what level of performance on 

21 eligibility criteria will ensure approval for 

22 credit support or resale; 

23 (iii) in the case of an applicant port24 folio of more than 300 loans or other fi25 nancial arrangement, an expedited review 


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1 based on statistical sampling to ensure 

2 that the loan or other financial arrange3 ment meets the eligibility criteria; and 

4 (iv) in the case of an applicant with a 

5 demonstrated track record with respect to 

6 successfully originating eligible loans or 

7 other financial arrangements and who 

8 meets appropriate other criteria deter9 mined by the Secretary, a system for dele10 gating responsibility for meeting eligibility 

11 criteria that includes appropriate protec12 tions such as buy-back mechanisms in the 

13 event criteria are determined not to have 

14 been met. 

15 (C) DISPOSITION OF DEBT OR INTER16 EST.—The Secretary may acquire, hold, and 

17 sell or otherwise dispose of, pursuant to com18 mitments or otherwise, any debt associated with 

19 the deployment of clean energy technologies or 

20 interest in the debt. 

21 (D) PRICING.— 

22 (i) IN GENERAL.—The Secretary may 

23 establish requirements, and impose charges 

24 or fees, which may be regarded as elements 

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1 cants, originators, sellers, servicers, or 

2 services. 

3 (ii) CLASSIFICATION OF APPLICANTS, 

4 ORIGINATORS, SELLERS AND SERVICERS.— 

5 For the purpose of clause (i), the Secretary 

6 may classify applicants, originators, sellers 

7 and servicers as necessary to promote 

8 transparency and liquidity and properly 

9 characterize the risk of default. 

10 (E) SECONDARY MARKET SUPPORT.— 

11 (i) IN GENERAL.—The Secretary may 

12 lend on the security of, and make commit13 ments to lend on the security of, any debt 

14 that the Secretary has insured, guaran15 teed, issued or is authorized to purchase 

16 under this section. 

17 (ii) AUTHORIZED ACTIONS.—On such 

18 terms and conditions as the Secretary may 

19 prescribe, the Secretary may— 

20 (I) give security; 

21 (II) insure; 

22 (III) guarantee; 

23 (IV) purchase; 

24 (V) sell; 


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1 (VI) pay interest or other return; 

2 and 

3 (VII) issue notes, debentures, 

4 bonds, or other obligations or securi5 ties. 

6 (F) LENDING ACTIVITIES.— 

7 (i) IN GENERAL.—The Secretary shall 

8 determine— 

9 (I) the volume of the lending ac10 tivities of the Program; and 

11 (II) the types of loan ratios, risk 

12 profiles, interest rates, maturities, and 

13 charges or fees in the secondary mar14 ket operations of the Program. 

15 (ii) OBJECTIVES.—Determinations 

16 under clause (i) shall be consistent with 

17 the objectives of— 

18 (I) providing an attractive invest19 ment environment for programs that 

20 install energy efficiency measures or 

21 on-site renewable energy generation 

22 technologies; 

23 (II) making the operations of the 

24 Program self-supporting over a rea25 sonable time frame; 


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1 (III) encouraging, and not crowd2 ing out, reasonably priced private fi3 nancing mechanisms and institutions; 

4 and 

5 (IV) advancing the goals estab6 lished under this subtitle. 

7 (G) EXEMPT SECURITIES.—All securities 

8 issued, insured, or guaranteed by the Secretary 

9 shall, to the same extent as securities that are 

10 direct obligations of or obligations guaranteed 

11 as to principal or interest by the United States, 

12 be considered to be exempt securities within the 

13 meaning of the laws administered by the Secu14 rities and Exchange Commission. 

15 SEC. 223. GENERAL PROVISIONS. 

16 (a) PERIODIC REPORTS.—Not later than 1 year after 

17 commencement of operation of the Program and at least 

18 biannually thereafter, the Secretary shall submit to the 

19 Committee on Energy and Natural Resources of the Sen20 ate and the Committee on Energy and Commerce of the 

21 House of Representatives a report that includes a descrip22 tion of the Program in meeting the purpose and goals es23 tablished by or pursuant to this subtitle. 

24 (b) AUDITS BY THE COMPTROLLER GENERAL.— 


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1 (1) IN GENERAL.—The programs, activities, re2 ceipts, expenditures, and financial transactions of 

3 the Program shall be subject to audit by the Comp4 troller General of the United States under such rules 

5 and regulations as may be prescribed by the Comp6 troller General. 

7 (2) ACCESS.—The representatives of the Gov8 ernment Accountability Office shall— 

9 (A) have access to the personnel and to all 

10 books, accounts, documents, records (including 

11 electronic records), reports, files, and all other 

12 papers, automated data, things, or property be13 longing to, under the control of, or in use by 

14 the Program, or any agent, representative, at15 torney, advisor, or consultant retained by the 

16 Program, and necessary to facilitate the audit; 

17 (B) be afforded full facilities for verifying 

18 transactions with the balances or securities held 

19 by depositories, fiscal agents, and custodians; 

20 (C) be authorized to obtain and duplicate 

21 any such books, accounts, documents, records, 

22 working papers, automated data and files, or 

23 other information relevant to the audit without 

24 cost to the Comptroller General; and 


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1 (D) have the right of access of the Comp2 troller General to such information pursuant to 

3 section 716(c) of title 31, United States Code. 

4 (3) ASSISTANCE AND COST.— 

5 (A) IN GENERAL.—For the purpose of con6 ducting an audit under this subsection, the 

7 Comptroller General may, in the discretion of 

8 the Comptroller General, employ by contract, 

9 without regard to section 3709 of the Revised 

10 Statutes (41 U.S.C. 5), professional services of 

11 firms and organizations of certified public ac12 countants for temporary periods or for special 

13 purposes. 

14 (B) REIMBURSEMENT.— 

15 (i) IN GENERAL.—On the request of 

16 the Comptroller General, the Secretary 

17 shall reimburse the General Accountability 

18 Office for the full cost of any audit con19 ducted by the Comptroller General under 

20 this subsection. 

21 (ii) CREDITING.—Such reimburse22 ments shall— 

23 (I) be credited to the appropria24 tion account entitled ‘‘Salaries and 

25 Expenses, Government Accountability 


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1 Office’’ at the time at which the pay2 ment is received; and 

3 (II) remain available until ex4 pended. 

5 SEC. 224. AUTHORIZATION OF APPROPRIATIONS. 

6 There is authorized to be appropriated to carry out 

7 this subtitle $2,000,000,000. 

8 Subtitle D—Rural Energy Savings 

9 Program 

10 SEC. 231. RURAL ENERGY SAVINGS PROGRAM. 

11 Title VI of the Farm Security and Rural Investment 

12 Act of 2002 (7 U.S.C. 7901 note et seq.) is amended by 

13 adding at the end the following: 

14 ‘‘SEC. 6407. RURAL ENERGY SAVINGS PROGRAM. 

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

16 ‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible en17 tity’ means— 

18 ‘‘(A) any public power district, public util19 ity district, or similar entity, or any electric co20 operative described in sections 501(c)(12) or 

21 1381(a)(2)(C) of the Internal Revenue Code of 

22 1986, that borrowed and repaid, prepaid, or is 

23 paying an electric loan made or guaranteed by 

24 the Rural Utilities Service (or any predecessor 

25 agency); or 


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1 ‘‘(B) any entity primarily owned or con2 trolled by an entity or entities described in sub3 paragraph (A). 

4 ‘‘(2) ENERGY EFFICIENCY MEASURES.—The 

5 term ‘energy efficiency measures’ means, for or at 

6 property served by an eligible entity, structural im7 provements and investments in cost-effective, com8 mercial off-the-shelf technologies to reduce home, 

9 barn, and permanent farm structure energy use. 

10 ‘‘(3) QUALIFIED CONSUMER.—The term ‘quali11 fied consumer’ means a consumer served by an eligi12 ble entity that has the ability to repay a loan made 

13 under subsection (c), as determined by an eligible 

14 entity. 

15 ‘‘(4) SECRETARY.—The term ‘Secretary’ means 

16 the Secretary of Agriculture, acting through the 

17 Rural Utilities Service. 

18 ‘‘(b) LOANS AND GRANTS TO ELIGIBLE ENTITIES.— 

19 ‘‘(1) LOANS AUTHORIZED.—Subject to para20 graph (2), the Secretary shall make loans to eligible 

21 entities that agree to use the loan funds to make 

22 loans to qualified consumers as described in sub23 section (c) for the purpose of implementing energy 

24 efficiency measures. 


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1 ‘‘(2) LIST, PLAN, AND MEASUREMENT AND

2 VERIFICATION REQUIRED.— 

3 ‘‘(A) IN GENERAL.—As a condition to re4 ceiving a loan or grant under this subsection, 

5 an eligible entity shall— 

6 ‘‘(i) establish a list of energy effi7 ciency measures that is expected to de8 crease energy use or costs of qualified con9 sumers; 

10 ‘‘(ii) prepare an implementation plan 

11 for use of the loan funds; and 

12 ‘‘(iii) provide for appropriate measure13 ment and verification to ensure the effec14 tiveness of the energy efficiency loans 

15 made by the eligible entity and that there 

16 is no conflict of interest in the carrying out 

17 of this section. 

18 ‘‘(B) REVISION OF LIST OF ENERGY EFFI19 CIENCY MEASURES.—An eligible entity may up20 date the list required under subparagraph 

21 (A)(i) to account for newly available efficiency 

22 technologies, subject to the approval of the Sec23 retary. 

24 ‘‘(C) EXISTING ENERGY EFFICIENCY PRO25 GRAMS.—An eligible entity that, on or before 


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1 the date of the enactment of this section or 

2 within 60 days after such date, has already es3 tablished an energy efficiency program for 

4 qualified consumers may use an existing list of 

5 energy efficiency measures, implementation 

6 plan, or measurement and verification system of 

7 that program to satisfy the requirements of 

8 subparagraph (A) if the Secretary determines 

9 the list, plans, or systems are consistent with 

10 the purposes of this section. 

11 ‘‘(3) NO INTEREST.—A loan under this sub12 section shall bear no interest. 

13 ‘‘(4) REPAYMENT.—A loan under this sub14 section shall be repaid not more than 10 years from 

15 the date on which an advance on the loan is first 

16 made to the eligible entity. 

17 ‘‘(5) LOAN FUND ADVANCES.—The Secretary 

18 may provide eligible entities with a schedule of not 

19 more than 10 years for advances of loan funds, ex20 cept that any advance of loan funds to an eligible 

21 entity in any single year shall not exceed 50 percent 

22 of the approved loan amount. 

23 ‘‘(6) JUMP-START GRANTS.—The Secretary may 

24 make grants available to eligible entities selected to 

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1 sist an eligible entity to defray costs, including costs 

2 of contractors for equipment and labor, except that 

3 no eligible entity may receive a grant amount that 

4 is greater than four percent of the loan amount. 

5 ‘‘(c) LOANS TO QUALIFIED CONSUMERS.— 

6 ‘‘(1) TERMS OF LOANS.—Loans made by an eli7 gible entity to qualified consumers using loan funds 

8 provided by the Secretary under subsection (b)— 

9 ‘‘(A) may bear interest, not to exceed 3 

10 percent, to be used for purposes that include es11 tablishing a loan loss reserve and to offset per12 sonnel and program costs of eligible entities to 

13 provide the loans; 

14 ‘‘(B) shall finance energy efficiency meas15 ures for the purpose of decreasing energy usage 

16 or costs of the qualified consumer by an 

17 amount such that a loan term of not more than 

18 10 years will not pose an undue financial bur19 den on the qualified consumer, as determined 

20 by the eligible entity; 

21 ‘‘(C) shall not be used to fund energy effi22 ciency measures made to personal property un23 less the personal property— 

24 ‘‘(i) is or becomes attached to real 

25 property as a fixture; or 


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1 ‘‘(ii) is a manufactured home; 

2 ‘‘(D) shall be repaid through charges 

3 added to the electric bill of the qualified con4 sumer; and 

5 ‘‘(E) shall require an energy audit by an 

6 eligible entity to determine the impact of pro7 posed energy efficiency measures on the energy 

8 costs and consumption of the qualified con9 sumer. 

10 ‘‘(2) CONTRACTORS.—In addition to any other 

11 qualified general contractor, eligible entities may 

12 serve as general contractors. 

13 ‘‘(d) MEASUREMENT AND VERIFICATION, TRAINING, 

14 AND TECHNICAL ASSISTANCE.— 

15 ‘‘(1) CONTRACT AUTHORIZED.—Not later than 

16 90 days after the date of enactment of this section, 

17 the Secretary— 

18 ‘‘(A) shall establish a plan for measure19 ment and verification, training, and technical 

20 assistance of the program; and 

21 ‘‘(B) may enter into 1 or more contracts 

22 for the purposes of— 

23 ‘‘(i) providing measurement and 

24 verification activities; and 


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1 ‘‘(ii) developing a program to provide 

2 technical assistance and training to the 

3 employees of eligible entities to carry out 

4 this section. 

5 ‘‘(2) USE OF SUBCONTRACTORS AUTHOR6 IZED.—A qualified entity that enters into a contract 

7 under paragraph (1) may use subcontractors to as8 sist the qualified entity in performing the contract. 

9 ‘‘(e) FAST START DEMONSTRATION PROJECTS.— 

10 ‘‘(1) DEMONSTRATION PROJECTS REQUIRED.— 

11 The Secretary shall enter into agreements with eligi12 ble entities (or groups of eligible entities) that have 

13 energy efficiency programs described in subsection 

14 (b)(2)(C) to establish energy efficiency loan dem15 onstration projects consistent with the purposes of 

16 this section. 

17 ‘‘(2) EVALUATION CRITERIA.—In determining 

18 which eligible entities to award loans under this sec19 tion, the Secretary shall take into consideration enti20 ties that— 

21 ‘‘(A) implement approaches to energy au22 dits or investments in energy efficiency meas23 ures that yield measurable and predictable sav24 ings; 


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1 ‘‘(B) use measurement and verification 

2 processes to determine the effectiveness of en3 ergy efficiency loans made by eligible entities; 

4 ‘‘(C) include training for employees of eli5 gible entities, including any contractors of such 

6 entities, to implement or oversee the activities 

7 described in subparagraphs (A) and (B); 

8 ‘‘(D) provide for the participation of a ma9 jority of eligible entities in a State; 

10 ‘‘(E) reduce the need for generating capac11 ity; 

12 ‘‘(F) provide efficiency loans to— 

13 ‘‘(i) not fewer than 20,000 consumers, 

14 in the case of a single eligible entity; or 

15 ‘‘(ii) not fewer than 80,000 con16 sumers, in the case of a group of eligible 

17 entities; and 

18 ‘‘(G) serve areas where a large percentage 

19 of consumers reside— 

20 ‘‘(i) in manufactured homes; or 

21 ‘‘(ii) in housing units that are more 

22 than 50 years old. 

23 ‘‘(3) DEADLINE FOR IMPLEMENTATION.—The 

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1 tered into not later than 90 days after the date of 

2 enactment of this section. 

3 ‘‘(4) EFFECT ON AVAILABILITY OF LOANS NA4 TIONALLY.—Nothing in this subsection shall delay 

5 the availability of loans to eligible entities on a na6 tional basis beginning not later than 180 days after 

7 the date of enactment of this section. 

8 ‘‘(5) ADDITIONAL DEMONSTRATION PROJECT

9 AUTHORITY.— 

10 ‘‘(A) IN GENERAL.—The Secretary may 

11 conduct demonstration projects in addition to 

12 the project required by paragraph (1). 

13 ‘‘(B) INAPPLICABILITY OF CERTAIN CRI14 TERIA.—The additional demonstration projects 

15 may be carried out without regard to subpara16 graphs (D), (F), or (G) of paragraph (2). 

17 ‘‘(f) ADDITIONAL AUTHORITY.—The authority pro18 vided in this section is in addition to any authority of the 

19 Secretary to offer loans or grants under any other law. 

20 ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.— 

21 ‘‘(1) IN GENERAL.—There is authorized to be 

22 appropriated to the Secretary for fiscal year 2010 

23 $993,000,000 to carry out this section, to remain 

24 available until expended. 


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1 ‘‘(2) AMOUNTS FOR LOANS, GRANTS, STAFF2 ING.—Of the amounts appropriated pursuant to the 

3 authorization of appropriations in paragraph (1), the 

4 Secretary shall make available— 

5 ‘‘(A) $755,000,000 for the purpose of cov6 ering the cost of direct loans to eligible entities 

7 under subsection (b) to subsidize gross obliga8 tions in the principal amount of not to exceed 

9 $4,900,000,000; 

10 ‘‘(B) $27,000,000 for activities under sub11 section (d); 

12 ‘‘(C) $200,000,000 for jump-start grants 

13 authorized by subsection (b)(6); and 

14 ‘‘(D) $1,100,000 for each of fiscal years 

15 2010 through 2019 for 10 additional employees 

16 of the Rural Utilities Service to carry out this 

17 section. 

18 ‘‘(h) EFFECTIVE PERIOD.—Subject to subsection 

19 (h)(1) and except as otherwise provided in this section, 

20 the loans, grants, and other expenditures required to be 

21 made under this section are authorized to be made during 

22 each of fiscal years 2010 through 2015. 

23 ‘‘(i) REGULATIONS.— 

24 ‘‘(1) IN GENERAL.—Except as otherwise pro25 vided in this subsection, not later than 180 days 


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1 after the date of enactment of this section, the Sec2 retary shall promulgate such regulations as are nec3 essary to implement this section. 

4 ‘‘(2) PROCEDURE.—The promulgation of the 

5 regulations and administration of this section shall 

6 be made without regard to— 

7 ‘‘(A) chapter 35 of title 44, United States 

8 Code (commonly known as the ‘Paperwork Re9 duction Act’); and 

10 ‘‘(B) the Statement of Policy of the Sec11 retary of Agriculture effective July 24, 1971 

12 (36 Fed. Reg. 13804), relating to notices of 

13 proposed rulemaking and public participation in 

14 rulemaking. 

15 ‘‘(3) CONGRESSIONAL REVIEW OF AGENCY

16 RULEMAKING.—In carrying out this section, the Sec17 retary shall use the authority provided under section 

18 808 of title 5, United States Code. 

19 ‘‘(4) INTERIM REGULATIONS.—Notwithstanding 

20 paragraphs (1) and (2), to the extent regulations are 

21 necessary to carry out any provision of this section, 

22 the Secretary shall implement such regulations 

23 through the promulgation of an interim rule.’’. 


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1 Subtitle E—Industrial Energy 

2 Efficiency 

3 SEC. 241. STATE PARTNERSHIP INDUSTRIAL ENERGY EFFI4 CIENCY REVOLVING LOAN PROGRAM. 

5 Section 399A of the Energy Policy and Conservation 

6 Act (42 U.S.C. 6371h–1) is amended— 

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

8 INDUSTRY’’ before the period at the end; 

9 (2) by redesignating subsections (h) and (i) as 

10 subsections (i) and (j), respectively; and 

11 (3) by inserting after subsection (g) the fol12 lowing: 

13 ‘‘(h) STATE PARTNERSHIP INDUSTRIAL ENERGY EF14 FICIENCY REVOLVING LOAN PROGRAM.— 

15 ‘‘(1) IN GENERAL.—The Secretary shall carry 

16 out a program under which the Secretary shall pro17 vide grants to eligible lenders to pay the Federal 

18 share of creating a revolving loan program under 

19 which loans are provided to commercial and indus20 trial manufacturers to implement commercially avail21 able technologies or processes that significantly— 

22 ‘‘(A) reduce systems energy intensity, in23 cluding the use of energy intensive feedstocks; 

24 and 


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1 ‘‘(B) improve the industrial competitive2 ness of the United States. 

3 ‘‘(2) ELIGIBLE LENDERS.—To be eligible to re4 ceive cost-matched Federal funds under this sub5 section, a lender shall— 

6 ‘‘(A) be a community and economic devel7 opment lender that the Secretary certifies meets 

8 the requirements of this subsection; 

9 ‘‘(B) lead a partnership that includes par10 ticipation by, at a minimum— 

11 ‘‘(i) a State government agency; and 

12 ‘‘(ii) a private financial institution or 

13 other provider of loan capital; 

14 ‘‘(C) submit an application to the Sec15 retary, and receive the approval of the Sec16 retary, for cost-matched Federal funds to carry 

17 out a loan program described in paragraph (1); 

18 and 

19 ‘‘(D) ensure that non-Federal funds are 

20 provided to match, on at least a dollar-for-dol21 lar basis, the amount of Federal funds that are 

22 provided to carry out a revolving loan program 

23 described in paragraph (1). 


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1 ‘‘(3) AWARD.—The amount of cost-matched 

2 Federal funds provided to an eligible lender shall not 

3 exceed $100,000,000 for any fiscal year. 

4 ‘‘(4) RECAPTURE OF AWARDS.— 

5 ‘‘(A) IN GENERAL.—An eligible lender that 

6 receives an award under paragraph (1) shall be 

7 required to repay to the Secretary an amount 

8 of cost-match Federal funds, as determined by 

9 the Secretary under subparagraph (B), if the 

10 eligible lender is unable or unwilling to operate 

11 a program described in this subsection for a pe12 riod of not less than 10 years beginning on the 

13 date on which the eligible lender first receives 

14 funds made available through the award. 

15 ‘‘(B) DETERMINATION BY SECRETARY.— 

16 The Secretary shall determine the amount of 

17 cost-match Federal funds that an eligible lender 

18 shall be required to repay to the Secretary 

19 under subparagraph (A) based on the consider20 ation by the Secretary of— 

21 ‘‘(i) the amount of non-Federal funds 

22 matched by the eligible lender; 

23 ‘‘(ii) the amount of loan losses in24 curred by the revolving loan program de25 scribed in paragraph (1); and 


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1 ‘‘(iii) any other appropriate factor, as 

2 determined by the Secretary. 

3 ‘‘(C) USE OF RECAPTURED COST-MATCH

4 FEDERAL FUNDS.—The Secretary may dis5 tribute to eligible lenders under this subsection 

6 each amount received by the Secretary under 

7 this paragraph. 

8 ‘‘(5) ELIGIBLE PROJECTS.—A program for 

9 which cost-matched Federal funds are provided 

10 under this subsection shall be designed to accelerate 

11 the implementation of industrial and commercial ap12 plications of technologies or processes that— 

13 ‘‘(A) improve energy efficiency; 

14 ‘‘(B) enhance the industrial competitive15 ness of the United States; and 

16 ‘‘(C) achieve such other goals as the Sec17 retary determines to be appropriate. 

18 ‘‘(6) EVALUATION.—The Secretary shall, to the 

19 maximum extent practicable, evaluate applications 

20 for cost-matched Federal funds under this sub21 section taking into consideration— 

22 ‘‘(A) the description of the program to be 

23 carried out with the cost-matched Federal 

24 funds; 


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1 ‘‘(B) the commitment to provide non-Fed2 eral funds in accordance with paragraph 

3 (2)(D); 

4 ‘‘(C) program sustainability; 

5 ‘‘(D) the capability of the applicant; 

6 ‘‘(E) the quantity of energy savings or en7 ergy feedstock minimization; 

8 ‘‘(F) percentage electricity rate increases 

9 in areas to be served by the applicant that are 

10 attributable to implementation of the Federal 

11 diverse energy standard established under sec12 tion 610 of the Public Utility Regulatory Poli13 cies Act of 1978; 

14 ‘‘(G) the ability to fund energy efficient 

15 projects on a timely basis after the date of the 

16 grant award; and 

17 ‘‘(H) such other factors as the Secretary 

18 determines appropriate. 

19 ‘‘(7) AUTHORIZATION OF APPROPRIATIONS.— 

20 There is authorized to be appropriated to carry out 

21 this subsection $500,000,000 for each of fiscal years 

22 2010 through 2014.’’. 


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1 Subtitle F—Appliance and 

2 Equipment Efficiency Standards 

3 SEC. 251. APPLIANCE AND EQUIPMENT EFFICIENCY. 

4 (a) COVERAGE.—Section 322(a) of the Energy Policy 

5 and Conservation Act (42 U.S.C. 6292(a)) is amended— 

6 (1) by designating paragraph (20) as paragraph 

7 (21); and 

8 (2) by inserting after paragraph (19) the fol9 lowing: 

10 ‘‘(20) Computer monitors and displays.’’. 

11 (b) ENERGY CONSERVATION STANDARDS.—Section 

12 325(l) of the Energy Policy and Conservation Act (42 

13 U.S.C. 6295(l)) is amended— 

14 (1) by striking ‘‘paragraph (19)’’ each place it 

15 appears and inserting ‘‘paragraph (21)’’; 

16 (2) in paragraph (1), in the matter preceding 

17 subparagraph (A), by striking ‘‘may’’ and inserting 

18 ‘‘shall’’; and 

19 (3) in paragraph (3), insert ‘‘and computer 

20 monitors and displays’’ after ‘‘television sets’’. 

21 (c) DEFINITION OF INDUSTRIAL EQUIPMENT.—Sec22 tion 340(2)(B) of the Energy Policy and Conservation Act 

23 (42 U.S.C. 6311(2)(B)) is amended— 

24 (1) in clause (xi), by striking ‘‘and’’ at the end; 


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1 (2) in clause (xii), by striking the period at the 

2 end and inserting ‘‘; and’’; and 

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

4 ‘‘(xiii) other equipment.’’. 

5 (d) COVERED EQUIPMENT.—Section 342 of the En6 ergy Policy and Conservation Act (42 U.S.C. 6313) is 

7 amended by adding at the end the following: 

8 ‘‘(g) COVERED EQUIPMENT.—The Secretary shall es9 tablish an energy conservation standard for each type or 

10 class of covered equipment.’’. 

11 (e) REPORT ON EFFICIENCY STANDARDS FOR ADDI12 TIONAL CONSUMER PRODUCTS AND COMMERCIAL AND IN13 DUSTRIAL EQUIPMENT.—Not later than 1 year after the 

14 date of enactment of this Act, the Secretary of Energy 

15 shall submit to the Committee on Energy and Commerce 

16 of the House of Representatives and the Committee on 

17 Energy and Natural Resources of the Senate a report that 

18 identifies— 

19 (1) consumer products and commercial and in20 dustrial equipment not covered by efficiency stand21 ards (as of the date of enactment of this Act) that 

22 have significant national energy savings potential, as 

23 determined by the Secretary; 

24 (2) levels of potential energy savings for prod25 ucts and equipment identified under paragraph (1); 


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1 (3) which of the products and equipment identi2 fied under paragraph (1) are likely, prima facie, to 

3 qualify as covered under authority of the Secretary 

4 in existence on the date of enactment of this Act, 

5 and a plan for formal review of those products and 

6 equipment under existing authority; and 

7 (4) which of the products identified under para8 graph (1) require additional authority for the Sec9 retary to be covered. 

10 SEC. 252. FEDERAL PROCUREMENT OF ENERGY EFFICIENT 

11 PRODUCTS. 

12 Section 553(b) of the National Energy Conservation 

13 Policy Act (42 U.S.C. 8259b(b)) is amended— 

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

15 following: 

16 ‘‘(1) REQUIREMENT.—Except as provided in 

17 paragraph (2), beginning on the date of enactment 

18 of the Practical Energy and Climate Plan Act of 

19 2010, the head of an agency shall procure, for not 

20 less than 95 percent of the new contract actions, 

21 task orders, and delivery orders for products and 

22 services (other than for weapon systems) for the 

23 agency— 


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1 ‘‘(A) an Energy Star rated product or 

2 product with better energy efficiency than an 

3 Energy Star rated product; 

4 ‘‘(B) a FEMP designated product; 

5 ‘‘(C) if neither an Energy Star product nor 

6 a FEMP designated product exist, a similarly 

7 designated product, as determined by the head 

8 of the agency; or 

9 ‘‘(D) a designated innovative product to 

10 enhance energy savings or production of on-site 

11 energy in furtherance of technology demonstra12 tion and commercialization, as determined by 

13 the head of the agency.’’; and 

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

15 ‘‘(4) BEST MANAGEMENT PRACTICES.—The 

16 head of an agency shall implement best management 

17 practices for the energy-efficient management of 

18 servers and Federal data centers of the agency.’’. 

19 TITLE III—DIVERSE DOMESTIC 

20 POWER 

21 SEC. 301. FEDERAL DIVERSE ENERGY STANDARD. 

22 (a) IN GENERAL.—Title VI of the Public Utility Reg23 ulatory Policies Act of 1978 (16 U.S.C. 2601 et seq.) is 

24 amended by adding at the end the following: 


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1 ‘‘SEC. 610. FEDERAL DIVERSE ENERGY STANDARD. 

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

3 ‘‘(1) ADVANCED COAL GENERATION.—The term 

4 ‘advanced coal generation’ means the generation of 

5 electricity produced from coal by a new or existing 

6 coal generating facility that captures and perma7 nently sequesters, stores (including for enhanced oil 

8 recovery), or reuses (in a manner so that reuse pro9 vides equivalent long-term sequestration as from se10 questration or storage) at least 80 percent of green11 house gases produced by the facility. 

12 ‘‘(2) BASE QUANTITY OF ELECTRICITY.— 

13 ‘‘(A) IN GENERAL.—The term ‘base quan14 tity of electricity’ means the total quantity of 

15 electricity sold by an electric utility to electric 

16 consumers in a calendar year. 

17 ‘‘(B) EXCLUSION.—The term ‘base quan18 tity of electricity’ does not include electricity 

19 generated by a hydroelectric facility (but ex20 cluding qualified hydropower) owned by an elec21 tric utility or sold under contract or rate order 

22 to an electric utility to meet the needs of the re23 tail customers of the utility. 

24 ‘‘(3) DISTRIBUTED GENERATION FACILITY.— 

25 The term ‘distributed generation facility’ means a 

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1 tric energy to 1 or more customers for purposes 

2 other than resale other than to a utility through a 

3 net metering arrangement. 

4 ‘‘(4) DIVERSE ENERGY.—The term ‘diverse en5 ergy’ means electric energy generated at a facility 

6 (including a distributed generation facility) from— 

7 ‘‘(A) advanced coal generation; 

8 ‘‘(B) biomass; 

9 ‘‘(C) coal mine methane; 

10 ‘‘(D) end-user efficiency savings; 

11 ‘‘(E) efficiency savings in power genera12 tion; 

13 ‘‘(F) geothermal energy; 

14 ‘‘(G) landfill and biogas; 

15 ‘‘(H) marine and hydrokinetic renewable 

16 energy (as defined in section 632 of the Energy 

17 Independence and Security Act of 2007 (42 

18 U.S.C. 17211)); 

19 ‘‘(I) qualified hydropower; 

20 ‘‘(J) qualified nuclear energy; 

21 ‘‘(K) solar energy; 

22 ‘‘(L) waste-to-energy; 

23 ‘‘(M) wind energy; and 

24 ‘‘(N) any other energy source that will re25 sult in at least a 80-percent reduction in greenVerDate Mar 15 2010 02:18 Jun 11, 2010 Jkt 089200 PO 00000 Frm 00090 Fmt 6652 Sfmt 6201 E:\BILLS\S3464.IS S3464

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1 house gas emissions compared to average emis2 sions of freely emitting sources in the calendar 

3 year prior to certification of the Secretary, as 

4 determined by the Secretary through rule5 making. 

6 ‘‘(5) END-USER EFFICIENCY SAVINGS.— 

7 ‘‘(A) IN GENERAL.—The term ‘end-user ef8 ficiency savings’ means— 

9 ‘‘(i) the quantity of electricity con10 sumption avoided at a facility of an end11 use consumer of electricity served by an 

12 electric utility that results from energy 

13 savings programs implemented by the elec14 tric utility; as compared to 

15 ‘‘(ii) the average electricity consump16 tion during the preceding 5-year period. 

17 ‘‘(B) REGULATIONS.—Not later than 180 

18 days after the date of enactment of this section, 

19 the Secretary shall issue regulations to estab20 lish— 

21 ‘‘(i) procedures and standards for de22 fining and measuring electricity savings 

23 that will be eligible for meeting require24 ments of the Federal diverse energy stand25 ard established under this subsection; 


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1 ‘‘(ii) procedures to exclude erroneous 

2 attribution of energy savings, such as sav3 ings primarily due to factors exogenous to 

4 electric utility programs; and 

5 ‘‘(iii) procedures for independent mon6 itoring and verification of energy efficiency 

7 savings. 

8 ‘‘(C) RETROFIT PROGRAMS.—The Sec9 retary shall, to the maximum extent practicable, 

10 consider actions taken to obtain end-user effi11 ciency savings as actions for which assistance 

12 may be provided under the programs estab13 lished under sections 222 and 231 of the Prac14 tical Energy and Climate Plan Act of 2010. 

15 ‘‘(D) MEASUREMENT, VERIFICATION, AND

16 CERTIFICATION.—Efficiency improvements de17 scribed in subparagraph (A) shall be certified 

18 by the Secretary and subject to measurement 

19 and verification procedures established under 

20 subparagraph (B). 

21 ‘‘(6) EFFICIENCY SAVINGS IN POWER GENERA22 TION.— 

23 ‘‘(A) IN GENERAL.—The term ‘energy sav24 ings in power generation’ means the quantity of 

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1 sil fuel generation facility that is greater than 

2 the average quantity of electricity generated at 

3 the facility during the preceding 5-year period 

4 that is attributable to permanent efficiency im5 provements (such as the increment of electricity 

6 output of permanent facility upgrades to im7 prove heat rate and resulting from a new com8 bined heat and power system that is attrib9 utable to the facility improvements) made on or 

10 after the date of enactment of this section, if 

11 there is no increase in greenhouse gas emissions 

12 associated with the operation of the efficiency 

13 improvements as compared to the average 

14 greenhouse gas emissions during the preceding 

15 3-year period. 

16 ‘‘(B) MEASUREMENT AND CERTIFI17 CATION.—Efficiency improvements described in 

18 subparagraph (A) shall be certified by the Sec19 retary or the Commission. 

20 ‘‘(7) QUALIFIED HYDROPOWER.— 

21 ‘‘(A) IN GENERAL.—The term ‘qualified 

22 hydropower’ means— 

23 ‘‘(i) additional energy generated as a 

24 result of permanent efficiency improve25 ments or capacity additions made during 


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1 the preceding 3-year period beginning on 

2 or after the date of enactment of this sec3 tion; 

4 ‘‘(ii) additions of capacity made to ex5 isting nonhydroelectric dams; and 

6 ‘‘(iii) new hydroelectric dams. 

7 ‘‘(B) EXCLUSION.—The term ‘qualified hy8 dropower’ does not include additional energy 

9 generated as a result of operational changes not 

10 directly associated with efficiency improvements 

11 or capacity additions. 

12 ‘‘(C) MEASUREMENT AND CERTIFI13 CATION.—Efficiency improvements and capacity 

14 additions described in subparagraph (A) shall 

15 be— 

16 ‘‘(i) in the case of existing hydro17 electric facilities, measured on the basis of 

18 the same water flow information used to 

19 determine a historic average annual gen20 eration baseline; and 

21 ‘‘(ii) in the case of existing hydro22 electric and nonhydroelectric facilities, cer23 tified by the Secretary or the Commission. 

24 ‘‘(8) QUALIFIED NUCLEAR ENERGY.—The term 

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1 clear generating unit placed in service on or after 

2 the date of enactment of this section. 

3 ‘‘(b) DIVERSE ENERGY REQUIREMENT.— 

4 ‘‘(1) REQUIREMENT.— 

5 ‘‘(A) IN GENERAL.—Subject to subpara6 graph (B), each electric utility that sells elec7 tricity to electric consumers for a purpose other 

8 than resale shall obtain a percentage of the 

9 base quantity of electricity the electric utility 

10 sells to electric consumers in any calendar year 

11 from diverse energy. 

12 ‘‘(B) PERCENTAGE.—Except as provided 

13 in section 611, the percentage obtained in a cal14 endar year under subparagraph (A) shall not be 

15 less than the amount specified in the following 

16 table: 

‘‘Calendar year: Minimum annual 

percentage: 

2015 through 2019 ................................................ 15 

2020 through 2024 ................................................ 20 

2025 through 2029 ................................................ 25 

2030 through 2049 ................................................ 30 

2050 ....................................................................... 50. 

17 ‘‘(C) INTERIM REPORTS.—The Secretary 

18 shall make periodic interim reports on deploy19 ment of diverse energy sources, including rec20 ommendations to utilities. 


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1 ‘‘(2) MEANS OF COMPLIANCE.—An electric util2 ity shall meet the requirements of paragraph (1) 

3 by— 

4 ‘‘(A) submitting to the Secretary diverse 

5 energy credits issued under subsection (c); 

6 ‘‘(B) making alternative compliance pay7 ments to the Secretary at a rate determined by 

8 the Secretary but not less than 5.0 cents per 

9 kilowatt hour (as adjusted for inflation under 

10 subsection (f)) if the electric utility does not 

11 elect to petition the Secretary to waive the re12 quirements under subsection (d)(3)(C); or 

13 ‘‘(C) a combination of activities described 

14 in subparagraphs (A) and (B). 

15 ‘‘(3) PHASE-IN.—The Secretary shall prescribe, 

16 by regulation, a reasonable phase-in of the require17 ments of paragraph (1) as the requirements apply to 

18 an electric utility that becomes subject to this sec19 tion on or after January 1, 2013. 

20 ‘‘(c) FEDERAL DIVERSE ENERGY CREDIT TRADING

21 PROGRAM.— 

22 ‘‘(1) IN GENERAL.—Not later than January 1, 

23 2011, the Secretary shall establish a Federal diverse 

24 energy credit trading program under which electric 

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1 verse energy credits to certify the compliance of the 

2 electric utilities with subsection (b)(1). 

3 ‘‘(2) ADMINISTRATION.—As part of the pro4 gram, the Secretary shall— 

5 ‘‘(A) issue diverse energy credits to genera6 tors of electric energy from diverse energy; 

7 ‘‘(B) to the extent that diverse sources of 

8 electricity are used in combination with other 

9 sources of energy, issue credits only to the ex10 tent that the electricity generated is from di11 verse energy resources; 

12 ‘‘(C) issue diverse energy credits to electric 

13 utilities associated with substantially similar 

14 State diverse energy standard compliance mech15 anisms pursuant to subsection (g); 

16 ‘‘(D) ensure that a kilowatt hour, including 

17 the associated diverse energy credit shall be 

18 used only once for purposes of compliance with 

19 this Act; 

20 ‘‘(E) ensure that, with respect to a pur21 chaser that, as of the date of enactment of this 

22 section, has a purchase agreement from a di23 verse energy facility placed in service before 

24 that date, the credit associated with the genera25 tion of diverse energy under the contract is 


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1 issued to the purchaser of the electric energy to 

2 the extent that the contract does not already 

3 provide for the allocation of the Federal credit; 

4 and 

5 ‘‘(F) during any of calendar years 2015 

6 through 2029, issue credits per kilowatt hour 

7 for demonstration coal generation of electricity 

8 produced from coal by a new or existing coal 

9 generating facility that captures and perma10 nently sequesters, stores, or reuses at least 65 

11 percent of greenhouse gases produced by the fa12 cility, which shall be equal to the product ob13 tained by multiplying— 

14 ‘‘(i) the kilowatt hours of electricity 

15 generated by a facility and supplied to the 

16 grid during the prior year; by 

17 ‘‘(ii) during the same year, the ratio 

18 of— 

19 ‘‘(I) the quantity of carbon diox20 ide captured from the facility and se21 questered; bears to 

22 ‘‘(II) the sum of— 

23 ‘‘(aa) the quantity of carbon 

24 dioxide captured from the facility 

25 and sequestered; and 


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1 ‘‘(bb) the quantity of carbon 

2 dioxide emitted from the facility. 

3 ‘‘(G) TEMPORARY WAIVER.—Subject to ap4 proval by the Secretary, grant deferrals for a 

5 maximum of 3 years for submission of diverse 

6 energy credits to comply with subsection (b) 

7 upon approval of a plan— 

8 ‘‘(i) submitted by the Governor of a 

9 State that demonstrates a State program 

10 will achieve equivalent levels of diverse en11 ergy deployment and usage by the end of 

12 the deferral period; or 

13 ‘‘(ii) submitted by a utility that dem14 onstrates, as a consequence of having fa15 cilities under construction at the time the 

16 plan is submitted, will achieve required lev17 els of diverse energy deployment by the 

18 end of the deferral period. 

19 ‘‘(3) CREDIT TRADING.— 

20 ‘‘(A) IN GENERAL.—Subject to subpara21 graph (B), an electric utility that holds clean 

22 diverse credits in excess of the quantity of cred23 its needed to comply with subsection (b) may 

24 transfer or sell the credits to another electric 


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1 utility in the same utility holding company sys2 tem or another electric utility. 

3 ‘‘(B) LIMITATIONS.— 

4 ‘‘(i) END-USER ENERGY SAVINGS.— 

5 Credits issued for end-user energy savings 

6 may not be transferred or sold outside the 

7 State in which qualified electricity savings 

8 occur. 

9 ‘‘(ii) EFFICIENCY SAVINGS IN POWER

10 GENERATION.—Credits issued for effi11 ciency savings in power generation may not 

12 be transferred or sold outside the State in 

13 which the electricity is generated or the 

14 State in which the electricity is sold. 

15 ‘‘(iii) INTRASTATE TRADING.—Noth16 ing in this subparagraph prohibits the 

17 trading or sale of credits within the juris18 diction of a State. 

19 ‘‘(4) DELEGATION OF MARKET FUNCTION.— 

20 ‘‘(A) IN GENERAL.—The Secretary may 

21 delegate to— 

22 ‘‘(i) an appropriate market-making 

23 entity the administration of a national di24 verse energy credit market for purposes of 

25 creating a transparent national market for 


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1 the sale or trade of diverse energy credits; 

2 and 

3 ‘‘(ii) regional entities the tracking of 

4 dispatch of diverse energy generation. 

5 ‘‘(B) ADMINISTRATION.—Any delegation 

6 under subparagraph (A) shall ensure that the 

7 tracking and reporting of information con8 cerning the dispatch of diverse energy genera9 tion is transparent, verifiable, and independent 

10 of any generation or load interests with obliga11 tions under this section. 

12 ‘‘(d) ENFORCEMENT.— 

13 ‘‘(1) CIVIL PENALTIES.—Any electric utility 

14 that fails to meet the requirements of subsection (b) 

15 shall be subject to a civil penalty. 

16 ‘‘(2) AMOUNT OF PENALTY.—The amount of 

17 the civil penalty shall be equal to the product ob18 tained by multiplying— 

19 ‘‘(A) the number of kilowatt-hours of elec20 tric energy sold to electric consumers in viola21 tion of subsection (b); by 

22 ‘‘(B) 200 percent of the value of the alter23 native compliance payment, as adjusted for in24 flation under subsection (f). 

25 ‘‘(3) MITIGATION OR WAIVER.— 


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1 ‘‘(A) PENALTY.— 

2 ‘‘(i) IN GENERAL.—The Secretary 

3 may mitigate or waive a civil penalty under 

4 this subsection if the electric utility is un5 able to comply with subsection (b) due to 

6 a reason outside of the reasonable control 

7 of the electric utility. 

8 ‘‘(ii) AMOUNT.—The Secretary shall 

9 reduce the amount of any penalty deter10 mined under paragraph (2) by the amount 

11 paid by the electric utility to a State for 

12 failure to comply with the requirement of 

13 a State clean or renewable energy program 

14 if the State requirement is greater than 

15 the applicable requirement of subsection 

16 (b). 

17 ‘‘(B) REQUIREMENT.—The Secretary may 

18 waive the requirements of subsection (b) for a 

19 period of up to 5 years with respect to an elec20 tric utility if the Secretary determines that the 

21 electric utility cannot meet the requirements 

22 due to a hurricane, tornado, fire, flood, earth23 quake, ice storm, or other natural disaster or 

24 act of God beyond the reasonable control of the 

25 utility. 


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1 ‘‘(4) PROCEDURE FOR ASSESSING PENALTY.— 

2 The Secretary shall assess a civil penalty under this 

3 subsection in accordance with the procedures pre4 scribed by section 333(d) of the Energy Policy and 

5 Conservation Act (42 U.S.C. 6303(d)). 

6 ‘‘(e) ALTERNATIVE COMPLIANCE PAYMENTS.— 

7 ‘‘(1) IN GENERAL.—An electric utility may sat8 isfy the requirements of subsection (b), in whole or 

9 in part, by submitting in accordance with this sub10 section, in lieu of each Federal diverse energy credit 

11 or megawatt hour of demonstrated total annual elec12 tricity savings that would otherwise be due, a pay13 ment equal to the amount required under subsection 

14 (b) in accordance with such regulations as the Sec15 retary may promulgate. 

16 ‘‘(2) PAYMENT TO STATE FUNDS.—Payments 

17 made under this subsection shall be made directly to 

18 the State in which the electric utility is located, if 

19 the payments are deposited directly into a fund with20 in the treasury of the State for use in accordance 

21 with paragraph (3). 

22 ‘‘(3) USE OF GRANTS.—The Governor of any 

23 State may expend amounts in a State diverse energy 

24 escrow account solely for purposes of— 


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1 ‘‘(A) increasing the quantity of electric en2 ergy produced from a diverse energy source in 

3 the State; and 

4 ‘‘(B) offsetting the costs of carrying out 

5 this section paid by electric consumers in the 

6 State through energy efficiency investments. 

7 ‘‘(4) INFORMATION AND REPORTS.—As a condi8 tion of providing payments to a State under this 

9 subsection, the Secretary may require the Governor 

10 to keep such accounts or records, and furnish such 

11 information and reports, as the Secretary determines 

12 are necessary and appropriate for determining com13 pliance with this subsection. 

14 ‘‘(f) INFLATION ADJUSTMENT.—Not later than De15 cember 31 of each year beginning in 2011, the Secretary 

16 shall adjust for inflation the rate of the alternative compli17 ance payment under subsection (b)(2)(B). 

18 ‘‘(g) STATE PROGRAMS.— 

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

20 nothing in this section diminishes any authority of 

21 a State or political subdivision of a State to adopt 

22 or enforce any law or regulation respecting diverse 

23 energy or energy efficiency, or the regulation of elec24 tric utilities. 


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1 ‘‘(2) COMPLIANCE.—Except as provided in sub2 section (d)(3), no such law or regulation shall relieve 

3 any person of any requirement otherwise applicable 

4 under this section. 

5 ‘‘(3) COORDINATION.—The Secretary, in con6 sultation with States having such diverse energy pro7 grams, shall, to the maximum extent practicable, fa8 cilitate coordination between the Federal program 

9 and State programs. 

10 ‘‘(4) REGULATIONS.— 

11 ‘‘(A) IN GENERAL.—The Secretary, in con12 sultation with States, shall promulgate regula13 tions to ensure that an electric utility that is 

14 subject to the requirements of this section and 

15 is subject to a State renewable energy or di16 verse energy standard receives diverse energy 

17 credits if— 

18 ‘‘(i) the electric utility complies with 

19 the State standard by generating or pur20 chasing diverse energy or renewable energy 

21 certificates or credits representing diverse 

22 energy; or 

23 ‘‘(ii) the State imposes or allows other 

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1 ard, including the payment of taxes, fees, 

2 surcharges, or other financial obligations. 

3 ‘‘(B) AMOUNT OF CREDITS.—The amount 

4 of credits received by an electric utility under 

5 this subsection shall equal— 

6 ‘‘(i) in the case of subparagraph 

7 (A)(i), the quantity of diverse energy re8 sulting from the generation or purchase by 

9 the electric utility of diverse energy; and 

10 ‘‘(ii) in the case of subparagraph 

11 (A)(ii), the pro rata share of the electric 

12 utility, based on the contributions to the 

13 mechanism made by the electric utility or 

14 customers of the electric utility, in the 

15 State, of the quantity of diverse energy re16 sulting from those mechanisms. 

17 ‘‘(C) PROHIBITION ON DOUBLE COUNT18 ING.—The regulations promulgated under this 

19 paragraph shall ensure that a kilowatt-hour as20 sociated with a diverse energy credit issued pur21 suant to this subsection shall not be used for 

22 compliance with this section more than once. 

23 ‘‘(h) RECONSIDERATION.—Not later than January 

24 15, 2017, and every 5 years thereafter, the Secretary shall 


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1 review and make recommendations to Congress on the 

2 program established under this section. 

3 ‘‘(i) REGULATIONS.—Not later than 1 year after the 

4 date of enactment of this section, the Secretary shall pro5 mulgate regulations implementing this section. 

6 ‘‘(j) TERMINATION OF AUTHORITY.—This section 

7 and the authority provided by this section terminate on 

8 December 31, 2051.’’. 

9 (b) TABLE OF CONTENTS AMENDMENT.—The table 

10 of contents of the Public Utility Regulatory Policies Act 

11 of 1978 (16 U.S.C. prec. 2601) is amended by adding at 

12 the end of the items relating to title VI the following: 

‘‘Sec. 610. Federal diverse energy standard.’’. 

13 SEC. 302. FOSSIL FUEL GENERATING FACILITY RETIRE14 MENT PROGRAM. 

15 (a) IN GENERAL.—The Administrator of the Envi16 ronmental Protection Agency (referred to in this section 

17 as the ‘‘Administrator’’), in consultation with the Sec18 retary of Energy, shall establish an incentive program to 

19 permanently retire conventional coal plants with the larg20 est pollution-related liabilities. 

21 (b) RETIREMENT AGREEMENT.— 

22 (1) IN GENERAL.—Any electric generating unit 

23 that voluntarily enters into a binding retirement 

24 agreement with the Administrator to permanently 

25 retire the unit not later than December 31, 2018, 


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1 shall be eligible for regulatory relief described in 

2 subsection (c). 

3 (2) REQUIREMENTS.—The Administrator shall 

4 establish such requirements as are necessary to en5 sure that a retirement agreement described in para6 graph (1) establishes a legally binding requirement 

7 that the electric generating unit subject to the agree8 ment does not operate after January 1, 2019. 

9 (3) PROHIBITIONS.—It shall be unlawful for 

10 any person to operate an electric generating unit 

11 subject to a retirement agreement under this sec12 tion— 

13 (A) after January 1, 2019; or 

14 (B) in excess of the average annual elec15 trical production of the electric generating unit 

16 during the 3-year period ending on the date of 

17 enactment of this Act. 

18 (4) WAIVER.—The Administrator may tempo19 rarily waive any provision of this subsection if the 

20 Administrator determines that national or regional 

21 energy disruptions will occur if a waiver is not pro22 vided. 

23 (c) REGULATORY RELIEF.—The early retirement in24 centive program established under this section shall auVerDate Mar 15 2010 02:18 Jun 11, 2010 Jkt 089200 PO 00000 Frm 00108 Fmt 6652 Sfmt 6201 E:\BILLS\S3464.IS S3464

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1 thorize an alternative compliance mechanism for any regu2 lation of electric generating units pursuant to— 

3 (1) new source review requirements under the 

4 Clean Air Act (42 U.S.C. 7401 et seq.); 

5 (2) existing unit performance standards for 

6 greenhouse gas emissions under section 111(d) of 

7 the Clean Air Act (42 U.S.C. 7411(d)); 

8 (3) regulation of hazardous air pollutants under 

9 section 112 of the Clean Air Act (42 U.S.C. 7412); 

10 (4) the final rule entitled ‘‘Regional Haze Regu11 lations and Guidelines for Best Available Retrofit 

12 Technology (BART) Determinations’’ (70 Fed. Reg. 

13 39104 (July 6, 2005)); 

14 (5) regulation of coal combustion waste water 

15 discharges from thermal generating units under title 

16 III of the Federal Water Pollution Control Act (33 

17 U.S.C. 1311 et seq.); and 

18 (6) regulation of cooling water intake structures 

19 under section 316(b) of the Federal Water Pollution 

20 Control Act (33 U.S.C. 1326(b)). 

21 SEC. 303. FUNDING FOR LOAN GUARANTEES FOR AD22 VANCED NUCLEAR ENERGY FACILITIES. 

23 (a) IN GENERAL.—Section 1704 of the Energy Policy 

24 Act of 2005 (42 U.S.C. 16514) is amended— 


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1 (1) in the section heading, by striking ‘‘AU2 THORIZATION OF APPROPRIATIONS’’ and insert3 ing ‘‘FUNDING’’; 

4 (2) in subsection (a), in the subsection heading, 

5 by striking ‘‘IN GENERAL’’ and inserting ‘‘AUTHOR6 IZATION OF APPROPRIATIONS’’; and 

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

8 ‘‘(c) FUNDING FOR LOAN GUARANTEES FOR AD9 VANCED NUCLEAR ENERGY FACILITIES.— 

10 ‘‘(1) IN GENERAL.—On October 1, 2010, out of 

11 any funds in the Treasury not otherwise appro12 priated, the Secretary of the Treasury shall transfer 

13 to the Secretary for the cost of loan guarantees to 

14 promote the development of advanced nuclear energy 

15 facilities described in section 1703(b)(4) 

16 $360,000,000, to remain available until expended. 

17 ‘‘(2) ADDITIONALITY.—Funds provided under 

18 this subsection are in addition to authorities pro19 vided in any other Act. 

20 ‘‘(3) RECEIPT AND ACCEPTANCE.—The Sec21 retary shall be entitled to receive, shall accept, and 

22 shall use for the cost of the loan guarantees de23 scribed in paragraph (1) the funds transferred under 

24 that paragraph, without further appropriation.’’. 


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1 (b) CONFORMING AMENDMENT.—The table of con2 tents in section 1(b) of the Energy Policy Act of 2005 

3 (Public Law 109–58; 119 Stat. 594) is amended by strik4 ing the item relating to section 1704 and inserting the 

5 following: 

‘‘Sec. 1704. Funding.’’. 

6 TITLE IV—MEASUREMENT AND 

7 REVIEW OF ENERGY AND CLI8 MATE PROGRAMS 

9 SEC. 401. MEASUREMENT AND REVIEW OF ENERGY AND 

10 CLIMATE CHANGE PROGRAMS. 

11 (a) IN GENERAL.—Not later than 90 days after the 

12 date of enactment of this Act, the Secretary of Energy, 

13 in consultation with the Administrator of the Environ14 mental Protection Agency and the Secretary of Transpor15 tation, shall submit to the appropriate committees of Con16 gress a list of Federal programs for which the Comptroller 

17 General of the United States shall carry out a study that 

18 monitors the progress of the programs in meeting the en19 ergy security and greenhouse gas reduction goals under 

20 this Act. 

21 (b) STUDY.— 

22 (1) IN GENERAL.—Not later than 2 years after 

23 the date of enactment of this Act and every 2 years 

24 thereafter, the Comptroller General of the United 

25 States shall— 


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1 (A) carry out a study that monitors the 

2 progress of the programs described in sub3 section (a); and 

4 (B) submit to the appropriate committees 

5 of Congress a report containing the findings of 

6 the study carried out under this subsection. 

7 (2) CONTENTS.—A study and report carried 

8 out under paragraph (1) shall include— 

9 (A) an examination of the effects the pro10 grams described in subsection (a) have had 

11 on— 

12 (i) the consumption, production, and 

13 import of oil and petroleum products; 

14 (ii) national energy production and 

15 demand; 

16 (iii) greenhouse gas emissions; and 

17 (iv) the advancement and deployment 

18 of technology; and 

19 (B) any recommendations of the Comp20 troller General on improving the performance of 

21 the programs. 

Æ 


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