LOWER Energy Bills Act of 2022

To require the Administrator of the Environmental Protection Agency to develop and carry out a benchmarking and transparency initiative for commercial and multifamily properties to advance knowledge about building energy and water use and greenhouse gas emissions and inform efforts to reduce energy and water consumption and greenhouse gas emissions nationwide, and for other purposes. 1. Short title; table of contents (a) Short title This Act may be cited as the Leveraging Our Water and Energy data to Reduce Energy Bills Act of 2022 LOWER Energy Bills Act of 2022 (b) Table of contents The table of contents for this Act is as follows: Sec. 1. Short title; table of contents. Sec. 2. Findings. Sec. 3. Covered property benchmarking and transparency initiative. Sec. 4. National benchmarking requirement. Sec. 5. Exemptions and extensions. Sec. 6. Data transparency and sharing. Sec. 7. Federal assistance. Sec. 8. Penalties. Sec. 9. Report. Sec. 10. Residential benchmarking study. Sec. 11. Regulations. Sec. 12. Definitions. Sec. 13. Authorization of appropriations. 2. Findings Congress finds the following: (1) The climate crisis is raging and is already imposing significant costs on the economy of the United States. (2) The Biden-Harris Administration has committed to reducing harmful climate pollution by 50 to 52 percent below 2005 levels economy-wide by 2030. (3) Increasing energy efficiency will improve energy security, save money on energy bills, create jobs, and reduce harmful climate pollution. (4) Building energy benchmarking and disclosure helps provide transparency in building energy efficiency and has provided substantial benefits at affordable costs to State and local governments who have adopted benchmarking, including reducing energy use and emissions, helping tenants become informed about the utility costs associated with properties, helping tenants experience better health and comfort in properties, helping building owners experience lower vacancy and turnover rates, and allowing policymakers to make more informed decisions about future energy efficiency policies. (5) A Federal benchmarking requirement will reduce harmful climate pollution that crosses State boundaries, provide information for people relocating to other States, and harmonize building energy efficiency and disclosure requirements in metropolitan areas that cross State lines. 3. Covered property benchmarking and transparency initiative (a) Purpose The Administrator shall develop and carry out a benchmarking and transparency initiative for covered properties the purpose of which is to— (1) advance the knowledge of owners and occupants regarding building energy and water use and greenhouse gas emissions; and (2) inform efforts to reduce energy and water use and greenhouse gas emissions nationwide. (b) Consultation and coordination In developing the initiative, the Administrator shall consult with and coordinate with the Secretary, other relevant agencies, and relevant stakeholders, including State and local governments with relevant benchmarking programs and experts from academia, nonprofits, and industry. (c) Existing programs In developing the initiative, the Administrator shall make appropriate use of existing Federal programs. 4. National benchmarking requirement (a) In general In carrying out the initiative, the Administrator shall require each owner of a covered property to, as applicable, submit data annually to the Administrator (in this Act referred to as a benchmarking submission (b) Benchmarking schedule (1) In general The owner of a covered property shall, as applicable, make a benchmarking submission for the covered property with respect to the previous calendar year not later than— (A) for a covered property that is greater than 200,000 square feet in gross floor area— (i) May 1, 2025; and (ii) May 1 of each calendar year thereafter; (B) for a covered property that is greater than 100,000 square feet in gross floor area, but equal to or less than 200,000 square feet in gross floor area— (i) May 1, 2026; and (ii) May 1 of each calendar year thereafter; and (C) for a covered property that is greater than 50,000 square feet in gross floor area, but equal to or less than 100,000 square feet in gross floor area— (i) May 1, 2027; and (ii) May 1 of each calendar year thereafter. (2) Smaller covered properties The Administrator may, as the Administrator determines appropriate, require an owner of a covered property that is equal to or less than 50,000 square feet in gross floor area to make a benchmarking submission for the covered property with respect to the previous calendar year. (c) Notification (1) First submissions Between January 1 and March 1 of each year, for at least the first 3 years during which an owner of a covered property is required to make a benchmarking submission, the Administrator shall attempt to notify such owner of such requirement via direct mail, electronically via email, or through a public posting on a website. (2) Failure to notify Failure of the Administrator to notify an owner of a covered property under this subsection shall not affect the obligation of such owner to make a benchmarking submission. (d) Benchmarking data collection and reporting (1) Requirements (A) In general The Administrator shall develop requirements for benchmarking submissions. (B) Failure to develop requirements If the Administrator fails to develop requirements pursuant to subparagraph (A), the owner of a covered property shall make a benchmarking submission in accordance with paragraphs (2) and (3). (C) Updating requirements The Administrator may periodically update the requirements developed under this paragraph to increase data transparency for the purposes of reducing energy and water use and greenhouse gas emissions of covered properties. (2) Data requirements The requirements developed under paragraph (1) shall include a requirement that each benchmarking submission for a covered property include— (A) descriptive information about the covered property; and (B) information about the operational characteristics of the covered property, including— (i) aggregated whole-building data regarding energy and water use for the covered property compiled or submitted in accordance with subsection (e); and (ii) any other information that is required by the Administrator for purposes of the Energy Star Portfolio Manager. (3) Verification requirement (A) In general The requirements developed under paragraph (1) shall include a requirement that each owner of a covered property verify, not less than once every 3 years, as applicable, that data submitted in each benchmarking submission for the covered property, including data regarding energy and water use for the covered property, is accurate. (B) Requirements The Administrator shall develop requirements for verification of data required under subparagraph (A), including requirements related to third-party data verification, the use of licensed professionals for such verification, and any appropriate waivers for such verification. (e) Aggregated whole-Building data (1) Compilation of data For purposes of meeting the requirements of the initiative, an owner of a covered property may obtain aggregated whole-building data on the energy and water use of the covered property— (A) by obtaining such data from an electric utility, gas utility, or public water system pursuant to paragraph (2); (B) by collecting such data from all tenants pursuant to paragraph (3); or (C) by reading a master meter or reading all meters serving the covered property. (2) Energy and water data (A) Request An owner of a covered property may request, for purposes of meeting the requirements of the initiative, that an electric utility, gas utility, or public water system— (i) provide the owner aggregated whole-building data on the energy or water use of the covered property; and (ii) directly submit to the Administrator aggregated whole-building data on the energy or water use of the covered property. (B) Fulfillment of request (i) In general An electric utility, gas utility, or public water system shall, not later than 10 days after receiving a request from an owner of a covered property under subparagraph (A), provide the owner aggregated whole-building data on the energy or water use of the covered property and submit to the Administrator aggregated whole-building data on the energy or water use of the covered property, provided that— (I) the number of individually metered accounts associated with the covered property is at least 4; or (II) the electric utility, gas utility, or public water system receives consent from tenants, or in the case of a condominium, receives consent from an individual unit owner, for the electric utility, gas utility, or public water system to provide and submit the data. (ii) Exception Clause (i) shall not apply to a public water system, with respect to a covered property, if such public water system does not measure and record water usage of such covered property. (C) Specifications Data provided or submitted under subparagraph (B) shall— (i) be provided in an electronic, automated, machine readable form, without additional charge; (ii) include information on at least 24 months of energy or water use; and (iii) be provided in a manner that provides adequate protections for the security of the information and consumer privacy. (3) Tenant data If an electric utility, gas utility, or public water system does not provide aggregated whole-building data pursuant to this subsection, the owner of a covered property shall request any information that cannot otherwise be acquired by the owner and that is needed by the owner to comply with the requirements of this section from each tenant or, in the case of a condominium, an individual unit owner, located on the covered property. (4) Use of data Nothing in this section shall be construed to relieve covered property owners from compliance with State or local laws governing direct access to utility data by a tenant or, in the case of a condominium, an individual unit owner, from the responsible electric utility, gas utility, or public water system. (5) Unmetered water use In making a benchmarking submission, the owner of a covered property shall not be required to include aggregated whole-building data regarding water use if the covered property does not have a meter that measures and records water usage data. 5. Exemptions and extensions (a) State or local benchmarking (1) Exemption The owner of a covered property shall not be required to make a benchmarking submission to comply with the initiative with respect to the covered property for a calendar year if the owner is required for such calendar year to comply with a benchmarking requirement of a State or local government that the Administrator has determined meets or exceeds the benchmarking submission requirements under section 4. (2) Listing (A) In general For purposes of this section, the Administrator shall list, and update the list periodically, the States and local governments that have benchmarking requirements that meet or exceed the benchmarking submission requirements under section 4. (B) Removal The Administrator may remove a State or local government from the list under subparagraph (A) if the Administrator determines that the benchmarking requirements of such State or local government no longer meet or exceed the benchmarking submission requirements under section 4, including due to low compliance with the benchmarking requirements of such State or local government. (b) Exemptions for certain conditions (1) Conditions The Administrator may grant an exemption from making a benchmarking submission or a time extension for making a benchmarking submission if the request for such exemption or a time extension establishes that due to special circumstances not based on a condition caused by actions of the applicant, compliance with requirements of the initiative would cause undue hardship or would not be in the public interest. (2) Determination The Administrator shall determine and describe the circumstances in which the owner of a covered property may be exempt from making a benchmarking submission or may be granted a time extension for making a benchmarking submission in accordance with this subsection. 6. Data transparency and sharing (a) Data transparency (1) In general In carrying out the initiative, the Administrator shall, to help inform owners, managers, tenants, and the market at large about a covered property’s energy and water use, annually make available, on a publicly accessible website, the subset of data, determined in accordance with paragraph (3), that is submitted to the Administrator as part of a benchmarking submission for the previous calendar year for such covered property. (2) Mapping and automated data access The Administrator shall seek to make data made available under this subsection easily accessible and interpretable, including— (A) through interactive web-based maps, including by city or region; (B) by making the data available for download in 1 or more forms to enable analysis and use of the data; (C) by encouraging real estate listing services to include the data for all listed properties; and (D) if the Administrator determines appropriate, by assigning covered properties letter grades or other categorical ratings based on such data to improve understanding of the data. (3) Shared benchmarking information The Administrator shall determine the subset of data submitted to the Administrator as part of a benchmarking submission to be made publicly available under paragraph (1), which shall include gross floor area and the information described in section 4(d)(2)(B), as the Administrator determines appropriate. (4) Exclusions The Administrator may determine that data be excluded from publication under this subsection because publication of such data is not in the public interest. (b) Sharing of data (1) Sharing of nonanonymized data The Administrator may provide data regarding a covered property that is not anonymized data from benchmarking submissions to any electric utility, gas utility, or public water system serving the covered property or to any Federal, State, county or city-managed energy efficiency or management program, provided that the data will be used only for purposes of offering government regulated programs, services, and incentives related to energy and water efficiency and management. (2) Disclosure of anonymized data The Administrator may disclose any data from benchmarking submissions to a third party for academic or other non-commercial research purposes provided that such data is anonymized data. 7. Federal assistance (a) Energy star portfolio manager support In carrying out the initiative, the Administrator shall improve the Energy Star Portfolio Manager and enhance implementation of the initiative, including by— (1) expanding the types of buildings eligible for Energy Star scores; (2) considering the most effective use of data gathered from the initiative and the Commercial Buildings Energy Consumption Survey in determining timely and accurate Energy Star scores for covered properties; (3) considering greenhouse gas emissions in determining eligibility for Energy Star recognition; and (4) making any other improvements the Administrator determines appropriate. (b) Technical and financial assistance (1) Technical assistance In carrying out the initiative, the Administrator may provide technical assistance to any State or local government that has or intends to establish a building energy and water benchmarking requirement. (2) New benchmarking programs The Administrator may provide financial assistance to States and local governments to help such State and local governments establish building energy and water benchmarking programs. Not later than 180 days after the date of enactment of this Act, the Administrator shall develop application materials for State and local governments to apply for such assistance and funding award limits for such assistance. 8. Penalties (a) Penalties assessed on owners of covered properties (1) Written warning The Administrator shall issue a written warning to an owner of a covered property if the Administrator determines that the owner of the covered property has— (A) failed to submit a benchmarking submission for the covered property by the applicable deadline under section 4(b); (B) misrepresented any material fact in a benchmarking submission; (C) submitted incomplete or inaccurate information in a benchmarking submission; or (D) failed to verify that data submitted in a benchmarking submission for the covered property is accurate in accordance with section 4(d). (2) Notice of violation and initial penalties If an owner of a covered property does not make or appropriately update a benchmarking submission, or verify data, as applicable, within 30 days of the date on which a written warning is issued to such owner under paragraph (1), the Administrator may issue such owner a notice of violation assessing a penalty of not more than 1 cent per square foot of the applicable covered property per month of noncompliance. (3) Subsequent penalties If an owner of a covered property does not make or appropriately update a benchmarking submission, or verify data, as applicable, within 90 days of the date on which a notice of violation is issued to such owner under paragraph (2), the Administrator may, at that time, and every three months thereafter, assess an additional penalty against such owner of not more than 2 cents per square foot of the applicable covered property per month of noncompliance. (b) Penalties assessed on utilities (1) Written warning The Administrator shall issue a written warning to an electric utility, gas utility, or public water system that is, with respect to a covered property, required under section 4(e)(2) to provide the owner of such covered property aggregated whole-building data on the energy or water use of the covered property and to submit to the Administrator such aggregated whole-building data, if the Administrator determines that the electric utility, gas utility, or public water system has failed to provide or submit such aggregated whole-building data in accordance with section 4(e)(2). (2) Notice of violation and initial penalties If an electric utility, gas utility, or public water system that is described in paragraph (1) and issued a written warning under such paragraph does not provide or submit aggregated whole-building data to the applicable owner or to the Administrator within 30 days of the date on which such written warning is issued, the Administrator may issue such electric utility, gas utility, or public water system a notice of violation assessing a penalty of not more than $5,000 per violation. (3) Subsequent penalties If an electric utility, gas utility, or public water system that is described in paragraph (1) and issued a notice of violation under paragraph (2) does not provide or submit aggregated whole-building data to the applicable owner or the Administrator within 90 days of the date on which such notice of violation is issued, the Administrator may, at that time, and every three months thereafter, assess an additional penalty against such electric utility, gas utility, or public water system, of not more than $10,000 per violation. 9. Report Not later than December 1, 2027, the Administrator shall conduct an assessment of the initiative, including an assessment of compliance rates for the initiative, and submit to Congress a report— (1) on the findings of the assessment, including— (A) a summary of energy and water use data submitted under the initiative; (B) an evaluation of the accuracy, and issues affecting the accuracy, of such data; and (C) changes in the energy and water use and greenhouse gas emissions of covered properties over time; and (2) that includes any recommendations for modifications to improve the impact of the assistance provided under section 7(b) to help achieve the purpose of the initiative. 10. Residential benchmarking study (a) In general In carrying out the initiative, the Administrator, in consultation and coordination with the Secretary, shall— (1) conduct a study on energy rating and assessment programs for residential buildings, including— (A) an evaluation of the impacts of State and local energy benchmarking, energy audit, home energy rating, and other related energy benchmarking and transparency policies for residential buildings, including multifamily units and single-family homes, on energy use and emissions of greenhouse gases and other air pollutants; (B) identification of best practice policy approaches studied under subparagraph (A), including approaches for rating systems, that have resulted in the greatest reductions in residential building energy use and emissions of greenhouse gases and other air pollutants; and (C) consideration of the impacts of a Federal residential benchmarking and transparency requirement modeled after best practice policy approaches identified under subparagraph (B), including on— (i) the benefits and costs to homeowners, tenants, landlords, enforcement agencies, and other parties; (ii) residential energy use; (iii) residential emissions of greenhouse gases and other air pollutants; (iv) distributional effects, especially for low-income communities and communities of color; (v) housing affordability; and (vi) energy insecurity; and (2) based on the study conducted under paragraph (1), develop recommendations on changes to existing Federal programs or new Federal policies, programs, or incentives to better provide information on home energy use and emissions of greenhouse gases and other air pollutants to homeowners and tenants for the purposes of reducing residential energy use and emissions of greenhouse gases and other air pollutants and alleviating household energy burdens. (b) Submission to Congress Not later than 12 months after the date of enactment of this Act, the Administrator shall submit to the Committee on Energy and Commerce of the House of Representatives and Committees on Environment and Public Works and Energy and Natural Resources of the Senate a report on the results of the study conducted, and the recommendations developed under subsection (a). 11. Regulations (a) In general The Administrator shall promulgate and revise such regulations as are necessary to carry out the initiative. (b) Initial regulations The Administrator shall promulgate initial regulations under this section not later than 12 months after the date of enactment of this Act. 12. Definitions For purposes of this Act: (1) Administrator The term Administrator (2) Anonymized data The term anonymized data (3) Condominium The term condominium (4) Covered Property (A) In general The term covered property (i) A single building. (ii) One or more buildings held in the condominium form of ownership. (iii) A campus of two or more buildings which are owned and operated by the same party and are— (I) behind a common utility meter, or served by a common mechanical or electrical system (such as a chilled water loop), which would prevent the owner from being able to easily determine the energy use attributable to each of the individual buildings; or (II) used primarily as— (aa) an elementary or secondary school; (bb) a hospital; (cc) a hotel; (dd) multifamily housing; or (ee) a senior care community. (B) Exclusions The term covered property (i) Single family, duplex, triplex, and fourplex residential homes and related accessory structures, or any other residential building with less than 5 units. (ii) Properties classified as manufacturing per designated Standard Industrial Classification (SIC) codes 20 through 39. (iii) Other building types not meeting the purpose of the initiative, as determined by the Administrator. (5) Electric utility The term electric utility 16 U.S.C. 2602 (6) Energy Star Portfolio Manager The term Energy Star Portfolio Manager (7) Energy Star score The term Energy Star score (8) Gas utility The term gas utility 15 U.S.C. 3202 (9) Greenhouse gas The term greenhouse gas (10) Gross floor area The term gross floor area (11) Initiative The term initiative (12) Owner The term owner (A) An individual or entity possessing title to a property. (B) In the case of a condominium, the board of the owners’ association or the master association, as applicable. (C) The board of directors, in the case of a cooperative apartment corporation. (D) An agent authorized to act on behalf of any individual or entity described in subparagraph (A), (B), or (C). (13) Public water system The term public water system 42 U.S.C. 300f(4) (14) State The term State (15) Secretary The term Secretary 13. Authorization of appropriations (a) Initial development and regulations For each of fiscal years 2023 through 2027, there is authorized to be appropriated to develop and carry out the initiative, including to promulgate initial regulations under section 11, $10,000,000, to remain available until expended. (b) Implementation of initiative In addition to amounts authorized to be appropriated under subsection (a), for each of fiscal years 2023 through 2032, there is authorized to be appropriated— (1) $5,000,000 to carry out section 7(a), to remain available until expended; (2) $50,000,000 to provide technical and financial assistance under section 7(b), to remain available until expended; and (3) $5,000,000 to carry out section 8, to remain available until expended.

Summary: Leveraging Our Water and Energy data to Reduce Energy Bills Act of 2022 or the LOWER Energy Bills Act of 2022 This bill requires the Environmental Protection Agency to develop and implement a benchmarking and transparency initiative for certain types of properties (such as commercial or multifamily properties) to (1) advance the knowledge of owners and occupants regarding building energy and water use and greenhouse gas emissions, and (2) inform efforts to reduce energy and water use and greenhouse gas emissions nationwide.