175 
shall identify themselves and the regions for which 
they propose to develop plans to the Commission. 
‘‘(3) COORDINATION OF REGIONAL PLANNING 
ENTITIES.—The Commission shall encourage re-
gional planning entities described under paragraph 
(2) to cooperate and coordinate across regions and 
to harmonize regional electric grid planning with 
planning in adjacent or overlapping jurisdictions to 
the maximum extent feasible. The Commission shall 
work with States, Indian tribes, Federal land man-
agement agencies, State energy, environment, nat-
ural resources, and land management agencies and 
commissions, Federal power marketing administra-
tions, electric utilities, transmission providers, load- 
serving entities, transmission operators, regional 
transmission organizations, independent system op-
erators, and other organizations to resolve any con-
flict or competition among proposed planning enti-
ties in order to build consensus and promote the 
Federal policy established under subsection (a). The 
Commission shall seek to ensure that planning that 
is consistent with the national electricity grid plan-
ning principles adopted pursuant to paragraph (1) is 
conducted in all regions of the United States and 
the territories, but in a manner that, to the extent
176 
feasible, avoids uncoordinated planning by more 
than one planning entity for the same area. 
‘‘(4) RELATION TO EXISTING PLANNING POL-
ICY.—In implementing the Federal policy established 
under subsection (a), the Commission shall— 
‘‘(A) incorporate and coordinate with any 
ongoing planning efforts undertaken pursuant 
to section 217 and Commission Order No. 890; 
‘‘(B) coordinate with the Secretary of En-
ergy in providing to the regional planning enti-
ties an annual summary of national energy pol-
icy priorities and goals; 
‘‘(C) coordinate with corridor designation 
and planning functions carried out pursuant to 
section 216 by the Secretary of Energy, who 
shall provide financial support from available 
funds to support the purposes of this section; 
and 
‘‘(D) coordinate with the Secretaries of the 
Interior and Agriculture and Indian tribes in 
carrying out the Secretaries’ or tribal govern-
ments’ existing responsibilities for the planning 
or siting of transmission facilities on Federal or 
tribal lands, consistent with law, policy, and
177 
regulations relating to the management of fed-
eral public lands. 
‘‘(5) ASSISTANCE.— 
‘‘(A) IN GENERAL.—The Commission shall 
provide support to and may participate if in-
vited to do so in the regional grid planning 
processes conducted by regional planning enti-
ties. The Secretary of Energy and the Commis-
sion may provide planning resources and assist-
ance as required or as requested by regional 
planning entities, including system data, cost 
information, system analysis, technical exper-
tise, modeling support, dispute resolution serv-
ices, and other assistance to regional planning 
entities, as appropriate. 
‘‘(B) AUTHORIZATION.—There are author-
ized to be appropriated such sums as may be 
necessary to carry out this paragraph. 
‘‘(6) CONFLICT
RESOLUTION.—In the event 
that regional grid plans conflict, the Commission 
shall assist the regional planning entities in resolving 
such conflicts in order to achieve the objectives of 
the Federal policy established under subsection (a). 
‘‘(7) SUBMISSION OF PLANS.—The Commission 
shall require regional planning entities to submit ini-
178 
tial regional electric grid plans to the Commission 
not later than 18 months after the date the Commis-
sion promulgates national electricity grid planning 
principles pursuant to paragraph (1), with updates 
to such plans not less than every 3 years thereafter. 
The Commission shall review such plans for consist-
ency with the national grid planning principles and 
may return a plan to one or more planning entities 
for further consideration, along with the Commis-
sion’s own recommendations for resolution of any 
conflict or for improvement. 
‘‘(8) INTEGRATION OF PLANS.—Regional elec-
tric grid plans should, in general, be developed from 
sub-regional requirements and plans, including plan-
ning input reflecting individual utility service areas. 
Regional plans may then in turn be combined into 
larger regional plans, up to interconnection-wide and 
national plans, as appropriate and necessary as de-
termined by the Commission. In no case shall a 
multi-regional plan impose inclusion of a facility on 
a region that has submitted a valid plan that, after 
efforts to resolve the conflict, does not include such 
facility. To the extent practicable, all plans sub-
mitted to the Commission shall be public documents 
and available on the Commission’s Web site.
179 
‘‘(9) MULTI-REGIONAL MEETINGS.—As regional 
grid plans are submitted to the Commission, the 
Commission may convene multi-regional meetings to 
discuss regional grid plan consistency and integra-
tion, including requirements for multi-regional 
projects, and to resolve any conflicts that emerge 
from such multi-regional projects. The Commission 
shall provide its recommendations for eliminating 
any inter-regional conflicts. 
‘‘(10) REPORT TO CONGRESS.—Not later than 
3 years after the date of enactment of this section 
and each 3 years thereafter, the Commission shall 
provide a report to Congress containing the results 
of the regional grid planning process, including sum-
maries of the adopted regional plans and the extent 
to which the Federal policy objectives in subsection 
(a) have been successfully achieved. The Commission 
shall provide an electronic version of its report on its 
website with links to all regional and sub-regional 
plans taken into account. The Commission shall note 
and provide its recommended resolution for any con-
flicts not resolved during the planning process. The 
Commission shall make any recommendations to 
Congress on the appropriate Federal role or support 
required to address the needs of the electric grid, in-
180 
cluding recommendations for addressing any needs 
that are beyond the reach of existing State, tribal, 
and Federal authority. 
‘‘SEC. 216B. SITING AND CONSTRUCTION IN THE WESTERN 
INTERCONNECTION. 
‘‘(a) APPLICABILITY.—This section applies only to 
States located in the Western Interconnection and does 
not apply to States located in the Eastern Interconnection, 
to the States of Alaska or Hawaii, or to ERCOT. 
‘‘(b) CERTIFICATE OF PUBLIC CONVENIENCE AND 
NECESSITY.—The Commission may, after notice and op-
portunity for hearing, issue a certificate of public conven-
ience and necessity for the construction or modification 
of a transmission facility if the Commission finds that— 
‘‘(1) the facility was identified and included in 
one or more relevant and final regional or inter-
connection-wide electric grid plans submitted to the 
Commission pursuant to subsection (b) of 216A; 
‘‘(2) any conflict among regional electric grid 
plans concerning the need for the facility was re-
solved; 
‘‘(3) such relevant regional electric grid plans 
are consistent with the national grid planning prin-
ciples adopted by the Commission pursuant to sub-
section (b);
181 
‘‘(4) the facility was identified as needed in sig-
nificant measure to meet demand for renewable en-
ergy in such plans; 
‘‘(5) the facility is a multistate facility; 
‘‘(6) the developer of such facility filed a com-
plete application seeking approval for the siting of 
the facility with a state commission or other entity 
that has authority to approve the siting of the facil-
ity; 
‘‘(7) a State commission or other entity that 
has authority to approve the siting of the facility— 
‘‘(A) did not issue a decision on an appli-
cation seeking approval for the siting of the fa-
cility within 1 year after the date the applicant 
submitted a completed application to the State; 
‘‘(B) denied a complete application seeking 
approval for the siting of the facility; or 
‘‘(C) authorized the siting of the facility 
subject to conditions that unreasonably inter-
fere with the development of the facility; and 
‘‘(8) the siting of the facility can be accom-
plished in a manner consistent with the Federal pol-
icy established in subsection (a) of section 216A and 
the national grid planning principles adopted by the
182 
Commission pursuant to subsection (b) of section 
216A. 
‘‘(c) STATE RECOMMENDATIONS ON RESOURCE PRO-
TECTION.—In issuing a final certificate of public conven-
ience and necessity pursuant to subsection (b), the Com-
mission shall— 
‘‘(1) consider any siting constraints and mitiga-
tion measures based on habitat protection, health 
and safety considerations, environmental consider-
ations, or cultural site protection identified by rel-
evant State or local authorities; and 
‘‘(2) incorporate those identified siting con-
straints or mitigation measures, including rec-
ommendations related to project routing, as condi-
tions in the final certificate of public convenience 
and necessity, or if the Commission determines that 
a recommended siting constraint or mitigation meas-
ure is infeasible, excessively costly, or inconsistent 
with the Federal policy established in subsection (a) 
of section 216A or the national grid planning prin-
ciples adopted by the Commission pursuant to sub-
section (b) of section 216A— 
‘‘(A) consult with State regulatory agencies 
to seek to resolve the issue;
183 
‘‘(B) incorporate as conditions on the cer-
tificate such recommended siting constraints or 
mitigation measures as are determined to be 
appropriate by the Commission, based on con-
sultation by the Commission with State regu-
latory agencies, the Federal policy established 
in subsection (a) of section 216A and the na-
tional grid planning principles adopted by the 
Commission pursuant to subsection (b)of sec-
tion 216A, and the record before the Commis-
sion; and 
‘‘(C) if, after consultation, the Commission 
does not adopt in whole or in part a rec-
ommendation of an agency, publish a finding 
that the adoption of the recommendation is in-
feasible, not cost effective, or inconsistent with 
this section or other applicable provisions of 
law. 
‘‘(d) CERTIFICATE APPLICATIONS.—(1) An applica-
tion for a preliminary or final certificate of public conven-
ience and necessity under this subsection shall be made 
in writing to the Commission. 
‘‘(2) The Commission shall issue rules specifying— 
‘‘(A) the form of the application;
184 
‘‘(B) the information to be contained in the ap-
plication; and 
‘‘(C) the manner of service of notice of the ap-
plication on interested persons. 
‘‘(e) COORDINATION OF FEDERAL AUTHORIZATIONS 
FOR TRANSMISSION FACILITIES.— 
‘‘(1) In this subsection, the term ‘Federal au-
thorization’ shall have the same meaning and include 
the same actions as in section 216(h). 
‘‘(2) The Federal Energy Regulatory Commis-
sion shall act as the lead agency for purposes of co-
ordinating all applicable Federal authorizations and 
related environmental reviews of the facility, pro-
vided, however, that to the extent the facility is pro-
posed to be sited on Federal lands, the Department 
of the Interior will assume such lead-agency duties 
as agreed between the Commission and the Depart-
ment of Interior. 
‘‘(3) To the maximum extent practicable under 
applicable Federal law, the Commission, and to the 
extent agreed, the Secretary of Interior, shall coordi-
nate the Federal authorization and review process 
under this subsection with any Indian tribes, 
multistate entities, and State agencies that are re-
sponsible for conducting any separate permitting
185 
and environmental reviews of the facility, to ensure 
timely and efficient review and permit decisions. 
‘‘(4)(A) As head of the lead agency, the Chair-
man of the Commission, in consultation with the 
Secretary of Interior and with those entities referred 
to in paragraph (3) that are willing to coordinate 
their own separate permitting and environmental re-
views with the Federal authorization and environ-
mental reviews, shall establish prompt and binding 
intermediate milestones and ultimate deadlines for 
the review of, and Federal authorization decisions 
relating to, the proposed facility. 
‘‘(B) The Chairman of the Commission, or the 
Secretary of Interior, as agreed under paragraph 
(2), shall ensure that, once an application has been 
submitted with such data as the lead agency con-
siders necessary, all permit decisions and related en-
vironmental reviews under all applicable Federal 
laws shall be completed— 
‘‘(i) within 1 year; or 
‘‘(ii) if a requirement of another provision 
of Federal law does not permit compliance with 
clause (i), as soon thereafter as is practicable. 
‘‘(C) The Commission shall provide an expedi-
tious pre-application mechanism for prospective ap-
186 
plicants to confer with the agencies involved to have 
each such agency determine and communicate to the 
prospective applicant not later than 60 days after 
the prospective applicant submits a request for such 
information concerning— 
‘‘(i) the likelihood of approval for a poten-
tial facility; and 
‘‘(ii) key issues of concern to the agencies 
and public. 
‘‘(5)(A) As lead agency head, the Chairman of 
the Commission, in consultation with the affected 
agencies, shall prepare a single environmental review 
document, which shall be used as the basis for all 
decisions on the proposed project under Federal law. 
‘‘(B) The Chairman of the Commission and the 
heads of other agencies shall streamline the review 
and permitting of transmission within corridors des-
ignated under section 503 of the Federal Land Pol-
icy and Management Act (43 U.S.C. 1763) by fully 
taking into account prior analyses and decisions re-
lating to the corridors. 
‘‘(C) The document shall include consideration 
by the relevant agencies of any applicable criteria or 
other matters as required under applicable law.
187 
‘‘(6)(A) If any agency has denied a Federal au-
thorization required for a transmission facility, or 
has failed to act by the deadline established by the 
Commission pursuant to this section for deciding 
whether to issue the authorization, the applicant or 
any State in which the facility would be located may 
file an appeal with the President, who shall, in con-
sultation with the affected agency, review the denial 
or failure to take action on the pending application. 
‘‘(B) Based on the overall record and in con-
sultation with the affected agency, the President 
may— 
‘‘(i) issue the necessary authorization with 
any appropriate conditions; or 
‘‘(ii) deny the application. 
‘‘(C) The President shall issue a decision not 
later than 90 days after the date of the filing of the 
appeal. 
‘‘(D) In making a decision under this para-
graph, the President shall comply with applicable re-
quirements of Federal law, including any require-
ments of— 
‘‘(i) the National Forest Management Act 
of 1976 (16 U.S.C. 472a et seq.);
188 
‘‘(ii) the Endangered Species Act of 1973 
(16 U.S.C. 1531 et seq.); 
‘‘(iii) the Federal Water Pollution Control 
Act (33 U.S.C. 1251 et seq.); 
‘‘(iv) the National Environmental Policy 
Act of 1969 (42 U.S.C. 4321 et seq.); and 
‘‘(v) the Federal Land Policy and Manage-
ment Act of 1976 (43 U.S.C. 1701 et seq.). 
‘‘(7)(A) Not later than 18 months after August 
8, 2005, the Commission or, as requested, the Sec-
retary or Interior, shall issue any regulations nec-
essary to implement this subsection. 
‘‘(B)(i) Not later than 1 year after August 8, 
2005, the Commission, the Secretary of Interior, 
and the heads of all Federal agencies with authority 
to issue Federal authorizations shall enter into a 
memorandum of understanding to ensure the timely 
and coordinated review and permitting of electricity 
transmission facilities. 
‘‘(ii) Interested Indian tribes, multistate enti-
ties, and State agencies may enter the memorandum 
of understanding. 
‘‘(C) The head of each Federal agency with au-
thority to issue a Federal authorization shall des-
ignate a senior official responsible for, and dedicate
189 
sufficient other staff and resources to ensure, full 
implementation of the regulations and memorandum 
required under this paragraph. 
‘‘(8)(A) Each Federal land use authorization 
for an electricity transmission facility shall be 
issued— 
‘‘(i) for a duration, as determined by the 
Secretary of Interior, commensurate with the 
anticipated use of the facility; and 
‘‘(ii) with appropriate authority to manage 
the right-of-way for reliability and environ-
mental protection. 
‘‘(B) On the expiration of the authorization (in-
cluding an authorization issued before August 8, 
2005), the authorization shall be reviewed for re-
newal taking fully into account reliance on such elec-
tricity infrastructure, recognizing the importance of 
the authorization for public health, safety, and eco-
nomic welfare and as a legitimate use of Federal 
land. 
‘‘(9) In exercising the responsibilities under this 
section, the Commission shall consult regularly 
with—
190 
‘‘(A) electric reliability organizations (in-
cluding related regional entities) approved by 
the Commission; and 
‘‘(B) Transmission Organizations approved 
by the Commission.’’. 
SEC. 152. NET METERING FOR FEDERAL AGENCIES. 
(a) STANDARD.—Subsection (b) of section 113 of the 
Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 
2623) is amended by adding the following new paragraph 
at the end thereof: 
‘‘(6) NET
METERING
FOR
FEDERAL
AGEN-
CIES.—Each electric utility shall offer to arrange 
(either directly or through a third party) to make 
interconnection and net metering available to Fed-
eral Government agencies, offices, or facilities in ac-
cordance with the requirements of section 115(j). 
The standard under this paragraph shall apply only 
to electric utilities that sold over 4,000,000 mega-
watt hours of electricity in the preceding year to the 
ultimate consumers thereof. In the case of a stand-
ard under this paragraph, a period of 1 year after 
the date of the enactment of this section shall be 
substituted for the 2-year period referred to in other 
provisions of this section.’’.
191 
(b) SPECIAL RULES.—Section 115 of the Public Util-
ity Regulatory Policies Act of 1978 (16 U.S.C. 2625) is 
amended by adding the following new subsection at the 
end thereof: 
‘‘(j) NET METERING FOR FEDERAL AGENCIES.—(1) 
The standard under paragraph (6) of section 113(b) shall 
require that rates and charges and contract terms and 
conditions for the sale of electric energy to the Federal 
Government or agency shall be the same as the rates and 
charges and contract terms and conditions that would be 
applicable if the agency did not own or operate a qualified 
generation unit and use a net metering system. 
‘‘(2)(A) The standard under paragraph (6) of section 
113(b) shall require that each electric utility shall arrange 
to provide to the Government office or agency that quali-
fies for net metering an electrical energy meter capable 
of net metering and measuring, to the maximum extent 
practicable, the flow of electricity to or from the customer, 
using a single meter and single register, the cost of which 
shall be recovered from the customer. 
‘‘(B) In a case in which it is not practicable to provide 
a meter under subparagraph (A), the utility (either di-
rectly or through a third party) shall, at the expense of 
the utility install 1 or more of those electric energy meters.
192 
‘‘(3)(A) The standard under paragraph (6) of section 
113(b) shall require that each electric utility shall cal-
culate the electric energy consumption for the Government 
office or agency using a net metering system that meets 
the requirements of this subsection and paragraph (6) of 
section 113(b) and shall measure the net electricity pro-
duced or consumed during the billing period using the me-
tering installed in accordance with this paragraph. 
‘‘(B) If the electricity supplied by the retail electric 
supplier exceeds the electricity generated by the Govern-
ment office or agency during the billing period, the Gov-
ernment office or agency shall be billed for the net electric 
energy supplied by the retail electric supplier in accord-
ance with normal billing practices. 
‘‘(C) If electric energy generated by the Government 
office or agency exceeds the electric energy supplied by 
the retail electric supplier during the billing period, the 
Government office or agency shall be billed for the appro-
priate customer charges for that billing period and cred-
ited for the excess electric energy generated during the 
billing period, with the credit appearing as a kilowatt-hour 
credit on the bill for the following billing period. 
‘‘(D) Any kilowatt-hour credits provided to the Gov-
ernment office or agency as provided in this subsection 
shall be applied to the Government office or agency elec-
193 
tric energy consumption on the following billing period bill 
(except for a billing period that ends in the next calendar 
year). At the beginning of each calendar year, any unused 
kilowatt-hour credits remaining from the preceding year 
will carry over to the new year. 
‘‘(4) The standard under paragraph (6) of section 
113(b) shall require that each electric utility shall offer 
a meter and retail billing arrangement that has time-dif-
ferentiated rates. The kilowatt-hour credit shall be based 
on the ratio representing the difference in retail rates for 
each time-of-use rate, or the credits shall be reflected on 
the bill of the Government office or agency as a monetary 
credit reflecting retail rates at the time of generation of 
the electric energy by the customer-generator. 
‘‘(5) The standard under paragraph (6) of section 
113(b) shall require that the qualified generation unit, 
interconnection standards, and net metering system used 
by the Government office or agency shall meet all applica-
ble safety and performance and reliability standards estab-
lished by the National Electrical Code, the Institute of 
Electrical and Electronics Engineers, Underwriters Lab-
oratories, and the American National Standards Institute. 
‘‘(6) The standard under paragraph (6) of section 
113(b) shall require that electric utilities shall not make 
additional charges, including standby charges, for equip-
194 
ment or services for safety or performance that are in ad-
dition to those necessary to meet the other standards and 
requirements of this subsection and paragraph (6) of sec-
tion 113(b). 
‘‘(7) For purposes of this subsection and paragraph 
(6) of section 113(b): 
‘‘(A) The term ‘Government’ means any office, 
facility, or agency of the Federal Government. 
‘‘(B) The term ‘customer-generator’ means the 
owner or operator of a electricity generation unit. 
‘‘(C) The term ‘electric generation unit’ means 
any renewable electric generation unit that is owned, 
operated, or sited on a Federal Government facility. 
‘‘(D) The term ‘net metering’ means the proc-
ess of— 
‘‘(i) measuring the difference between the 
electricity supplied to a customer-generator and 
the electricity generated by the customer-gener-
ator that is delivered to a utility at the same 
point of interconnection during an applicable 
billing period; and 
‘‘(ii) providing an energy credit to the cus-
tomer-generator in the form of a kilowatt-hour 
credit for each kilowatt-hour of electricity pro-
195 
duced by the customer-generator from an elec-
tric generation unit.’’. 
(c) SAVINGS PROVISION.—If this section or a portion 
of this section is determined to be invalid or unenforceable, 
that shall not affect the validity or enforceability of any 
other provision of this Act. 
SEC. 153. SUPPORT FOR QUALIFIED ADVANCED ELECTRIC 
TRANSMISSION 
MANUFACTURING 
PLANTS, 
QUALIFIED HIGH EFFICIENCY TRANSMISSION 
PROPERTY, 
AND 
QUALIFIED 
ADVANCED 
ELECTRIC TRANSMISSION PROPERTY. 
(a) LOAN GUARANTEES PRIOR TO SEPTEMBER 30, 
2011.—Section 1705(a) of the Energy Policy Act of 2005 
(42 U.S.C. 16515(a)), as added by section 406 of the 
American Recovery and Reinvestment Act of 2009 (Public 
Law 109–58; 119 Stat. 594) is amended by adding the 
following new paragraph at the end thereof: 
‘‘(5) The development, construction, acquisition, 
retrofitting, or engineering integration of a qualified 
advanced electric transmission manufacturing plant 
or the construction of a qualified high efficiency 
transmission property or a qualified advanced elec-
tric transmission property (whether by construction 
of new facilities or the modification of existing facili-
ties). For purposes of this paragraph:
196 
‘‘(A) The term ‘qualified advanced electric 
transmission property’ means any high voltage 
electric transmission cable, related substation, 
converter station, or other integrated facility 
that— 
‘‘(i) utilizes advanced ultra low resist-
ance superconductive material or other ad-
vanced technology that has been deter-
mined by the Secretary of Energy as— 
‘‘(I) reasonably likely to become 
commercially viable within 10 years 
after the date of enactment of this 
paragraph; 
‘‘(II) capable of reliably transmit-
ting at least 5 gigawatts of high-volt-
age electric energy for distances 
greater than 300 miles with energy 
losses not exceeding 3 percent of the 
total power transported; and 
‘‘(III) not creating an electro-
magnetic field; 
‘‘(ii) has been determined by an ap-
propriate energy regulatory body, upon ap-
plication, to be in the public interest and
197 
thereby eligible for inclusion in regulated 
rates; and 
‘‘(iii) can be located safely and eco-
nomically in a permanent underground 
right of way not to exceed 25 feet in width. 
The term ‘qualified advanced electric trans-
mission property’ shall not include any property 
placed in service after December 31, 2016. 
‘‘(B)(i) The term ‘qualified high efficiency 
transmission property’ means any high voltage 
overhead electric transmission line, related sub-
station, or other integrated facility that— 
‘‘(I) utilizes advanced conductor core 
technology that— 
‘‘(aa) has been determined by the 
Secretary of Energy as reasonably 
likely to become commercially viable 
within 10 years after the date of en-
actment of this paragraph; 
‘‘(bb) is suitable for use on trans-
mission lines up to 765kV; and 
‘‘(cc) exhibits power losses at 
least 30 percent lower than that of 
transmission lines using conventional 
‘ACSR’ conductors;
198 
‘‘(II) has been determined by an ap-
propriate energy regulatory body, upon ap-
plication, to be in the public interest and 
thereby eligible for inclusion in regulated 
rates; and 
‘‘(III) can be located safely and eco-
nomically in a right of way not to exceed 
that used by conventional ‘ACSR’ conduc-
tors; and 
‘‘(ii) The term ‘qualified high efficiency 
transmission property’ shall not include any 
property placed in service after December 31, 
2016. 
‘‘(C) The term ‘qualified advanced electric 
transmission manufacturing plant’ means any 
industrial facility located in the United States 
which can be equipped, re-equipped, expanded, 
or established to produce in whole or in part 
qualified advanced electric transmission prop-
erty.’’. 
(b) ADDITIONAL LOAN GUARANTEE AUTHORITY.— 
Section 1703 of the Energy Policy Act of 2005 (42 U.S.C. 
16513) is amended by adding the following new paragraph 
at the end of subsection (b):
199 
‘‘(12) The development, construction, acquisi-
tion, retrofitting, or engineering integration of a 
qualified advanced electric transmission manufac-
turing plant or the construction of a qualified ad-
vanced electric transmission property (whether by 
construction of new facilities or the modification of 
existing facilities). For purposes of this paragraph, 
the terms ‘qualified advanced electric transmission 
property’ and ‘qualified advanced electric trans-
mission manufacturing plant’ have the meanings 
provided by section 1705(a)(5).’’. 
(c) GRANTS.—The Secretary of Energy is authorized 
to provide grants for up to 50 percent of costs incurred 
in connection with the development, construction, acquisi-
tion of components for, or engineering of a qualified ad-
vanced electric transmission property defined in paragraph 
(5) of section 1705(a) of the Energy Policy Act of 2005 
(42 U.S.C. 16515(a)). Such grants may only be made to 
the first project which qualifies under that paragraph. 
There are authorized to be appropriated for purposes of 
this subsection not more than $100,000,000 for fiscal year 
2010. The United States shall take no equity or other 
ownership interest in the qualified advanced electric trans-
mission manufacturing plant or qualified advanced electric
200 
transmission property for which funding is provided under 
this subsection. 
Subtitle G—Technical Corrections 
to Energy Laws 
SEC. 161. TECHNICAL CORRECTIONS TO ENERGY INDE-
PENDENCE AND SECURITY ACT OF 2007. 
(a) TITLE III—ENERGY SAVINGS THROUGH IM-
PROVED STANDARDS FOR APPLIANCE AND LIGHTING.— 
(1) Section 325(u) of the Energy Policy and Conservation 
Act (42 U.S.C. 6295(u)) (as amended by section 301(c) 
of the Energy Independence and Security Act of 2007 
(121 Stat. 1550)) is amended— 
(A) by redesignating paragraph (7) as 
paragraph (4); and 
(B) in paragraph (4) (as so redesignated), 
by striking ‘‘supplies is’’ and inserting ‘‘supply 
is’’. 
(2) Section 302 of the Energy Independence and Se-
curity Act of 2007 (121 Stat. 1551)) is amended— 
(A) in subsection (a), by striking ‘‘end of the 
paragraph’’ and inserting ‘‘end of subparagraph 
(A)’’; and 
(B) in subsection (b), by striking ‘‘6313(a)’’ 
and inserting ‘‘6314(a)’’.
201 
(3) Section 343(a)(1) of the Energy Policy and Con-
servation Act (42 U.S.C. 6313(a)(1)) (as amended by sec-
tion 302(b) of the Energy Independence and Security Act 
of 2007 (121 Stat. 1551)) is amended— 
(A) by striking ‘‘TEST PROCEDURES’’ and all 
that follows through ‘‘At least once’’ and inserting 
‘‘TEST PROCEDURES.—At least once’’; and 
(B) by redesignating clauses (i) and (ii) as sub-
paragraphs (A) and (B), respectively (and by moving 
the margins of such subparagraphs 2 ems to the 
left). 
(4) Section 342(a)(6) of the Energy Policy and Con-
servation Act (42 U.S.C. 6313(a)(6)) (as amended by sec-
tion 305(b)(2) of the Energy Independence and Security 
Act of 2007 (121 Stat. 1554)) is amended— 
(A) in subparagraph (B)— 
(i) by striking ‘‘If the Secretary’’ and in-
serting the following: 
‘‘(i) IN GENERAL.—If the Secretary’’; 
(ii) by striking ‘‘clause (ii)(II)’’ and insert-
ing ‘‘subparagraph (A)(ii)(II)’’; 
(iii) by striking ‘‘clause (i)’’ and inserting 
‘‘subparagraph (A)(i)’’; and 
(iv) by adding at the end the following:
202 
‘‘(ii) 
FACTORS.—In 
determining 
whether a standard is economically justi-
fied for the purposes of subparagraph 
(A)(ii)(II), the Secretary shall, after receiv-
ing views and comments furnished with re-
spect to the proposed standard, determine 
whether the benefits of the standard ex-
ceed the burden of the proposed standard 
by, to the maximum extent practicable, 
considering— 
‘‘(I) the economic impact of the 
standard on the manufacturers and 
on the consumers of the products sub-
ject to the standard; 
‘‘(II) the savings in operating 
costs throughout the estimated aver-
age life of the product in the type (or 
class) compared to any increase in the 
price of, or in the initial charges for, 
or maintenance expenses of, the prod-
ucts that are likely to result from the 
imposition of the standard; 
‘‘(III) the total projected quan-
tity of energy savings likely to result
203 
directly from the imposition of the 
standard; 
‘‘(IV) any lessening of the utility 
or the performance of the products 
likely to result from the imposition of 
the standard; 
‘‘(V) the impact of any lessening 
of competition, as determined in writ-
ing by the Attorney General, that is 
likely to result from the imposition of 
the standard; 
‘‘(VI) the need for national en-
ergy conservation; and 
‘‘(VII) other factors the Sec-
retary considers relevant. 
‘‘(iii) ADMINISTRATION.— 
‘‘(I) ENERGY
USE
AND
EFFI-
CIENCY.—The Secretary may not pre-
scribe any amended standard under 
this paragraph that increases the 
maximum allowable energy use, or de-
creases the minimum required energy 
efficiency, of a covered product. 
‘‘(II) UNAVAILABILITY.—
204 
‘‘(aa) IN
GENERAL.—The 
Secretary may not prescribe an 
amended standard under this 
subparagraph if the Secretary 
finds (and publishes the finding) 
that interested persons have es-
tablished by a preponderance of 
the evidence that a standard is 
likely to result in the unavail-
ability in the United States in 
any product type (or class) of 
performance characteristics (in-
cluding reliability, features, sizes, 
capacities, and volumes) that are 
substantially the same as those 
generally available in the United 
States at the time of the finding 
of the Secretary. 
‘‘(bb) OTHER
TYPES
OR 
CLASSES.—The failure of some 
types (or classes) to meet the cri-
terion established under this sub-
clause shall not affect the deter-
mination of the Secretary on 
whether to prescribe a standard
205 
for the other types or classes.’’; 
and 
(B) in subparagraph (C)(iv), by striking ‘‘An 
amendment prescribed under this subsection’’ and 
inserting ‘‘Notwithstanding subparagraph (D), an 
amendment prescribed under this subparagraph’’. 
(5) Section 342(a)(6)(B)(iii) of the Energy Policy 
and Conservation Act (as added by section 306(c) of the 
Energy Independence and Security Act of 2007) is trans-
ferred and redesignated as clause (vi) of section 
342(a)(6)(C) of the Energy Policy and Conservation Act 
(as amended by section 305(b)(2) of the Energy Independ-
ence and Security Act of 2007). 
(6) Section 340 of the Energy Policy and Conserva-
tion Act (42 U.S.C. 6311) (as amended by sections 
312(a)(2) and 314(a) of the Energy Independence and Se-
curity Act of 2007 (121 Stat. 1564, 1569)) is amended 
by redesignating paragraphs (22) and (23) (as added by 
section 314(a) of that Act) as paragraphs (23) and (24), 
respectively. 
(7) Section 345 of the Energy Policy and Conserva-
tion Act (42 U.S.C. 6316) (as amended by section 312(e) 
of the Energy Independence and Security Act of 2007 
(121 Stat. 1567)) is amended—
206 
(A) by striking ‘‘subparagraphs (B) through 
(G)’’ each place it appears and inserting ‘‘subpara-
graphs (B), (C), (D), (I), (J), and (K)’’; 
(B) by striking ‘‘part A’’ each place it appears 
and inserting ‘‘part B’’; and 
(C) in subsection (h)(3), by striking ‘‘section 
342(f)(3)’’ and inserting ‘‘section 342(f)(4)’’. 
(8) Section 340(13) of the Energy Policy and Con-
servation Act (42 U.S.C. 6311(13)) (as amended by sec-
tion 313(a) of the Energy Independence and Security Act 
of 2007 (121 Stat. 1568)) is amended— 
(A) by striking subparagraphs (A) and (B) and 
inserting the following: 
‘‘(A) IN
GENERAL.—The term ‘electric 
motor’ means any motor that is— 
‘‘(i) a general purpose T-frame, sin-
gle-speed, foot-mounting, polyphase squir-
rel-cage induction motor of the National 
Electrical Manufacturers Association, De-
sign A and B, continuous rated, operating 
on 230/460 volts and constant 60 Hertz 
line power as defined in NEMA Standards 
Publication MG1–1987; or 
‘‘(ii) a motor incorporating the design 
elements described in clause (i), but is con-
207 
figured to incorporate one or more of the 
following variations— 
‘‘(I) U-frame motor; 
‘‘(II) NEMA Design C motor; 
‘‘(III) close-coupled pump motor; 
‘‘(IV) footless motor; 
‘‘(V) vertical solid shaft normal 
thrust motor (as tested in a horizontal 
configuration); 
‘‘(VI) 8-pole motor; or 
‘‘(VII) poly-phase motor with a 
voltage rating of not more than 600 
volts (other than 230 volts or 460 
volts, or both, or can be operated on 
230 volts or 460 volts, or both).’’; and 
(B) 
by 
redesignating 
subparagraphs 
(C) 
through (I) as subparagraphs (B) through (H), re-
spectively. 
(9)(A) Section 342(b) of the Energy Policy and Con-
servation Act (42 U.S.C. 6313(b)) is amended— 
(i) in paragraph (1), by striking ‘‘paragraph (2)’’ and 
inserting ‘‘paragraph (3)’’; 
(ii) by redesignating paragraphs (2) and (3) as para-
graphs (3) and (4); 
(iii) by inserting after paragraph (1) the following:
208 
‘‘(2) STANDARDS
EFFECTIVE
BEGINNING
DE-
CEMBER 19, 2010.— 
‘‘(A) IN
GENERAL.—Except for definite 
purpose motors, special purpose motors, and 
those motors exempted by the Secretary under 
paragraph (3) and except as provided for in 
subparagraphs (B), (C), and (D), each electric 
motor manufactured with power ratings from 1 
to 200 horsepower (alone or as a component of 
another piece of equipment) on or after Decem-
ber 19, 2010, shall have a nominal full load ef-
ficiency of not less than the nominal full load 
efficiency described in NEMA MG–1 (2006) 
Table 12–12. 
‘‘(B) FIRE PUMP ELECTRIC MOTORS.—Ex-
cept for those motors exempted by the Sec-
retary under paragraph (3), each fire pump 
electric motor manufactured with power ratings 
from 1 to 200 horsepower (alone or as a compo-
nent of another piece of equipment) on or after 
December 19, 2010, shall have a nominal full 
load efficiency that is not less than the nominal 
full load efficiency described in NEMA MG–1 
(2006) Table 12–11.
209 
‘‘(C) NEMA DESIGN
B
ELECTRIC
MO-
TORS.—Except for those motors exempted by 
the Secretary under paragraph (3), each 
NEMA Design B electric motor with power rat-
ings of more than 200 horsepower, but not 
greater than 500 horsepower, manufactured 
(alone or as a component of another piece of 
equipment) on or after December 19, 2010, 
shall have a nominal full load efficiency of not 
less than the nominal full load efficiency de-
scribed in NEMA MG–1 (2006) Table 12–11. 
‘‘(D) MOTORS
INCORPORATING
CERTAIN 
DESIGN ELEMENTS.—Except for those motors 
exempted by the Secretary under paragraph 
(3), each electric motor described in section 
340(13)(A)(ii) manufactured with power rat-
ings from 1 to 200 horsepower (alone or as a 
component of another piece of equipment) on or 
after December 19, 2010, shall have a nominal 
full load efficiency of not less than the nominal 
full load efficiency described in NEMA MG–1 
(2006) Table 12–11.’’; and 
(iv) in paragraph (3) (as redesignated by clause (ii)), 
by striking ‘‘paragraph (1)’’ each place it appears in sub-
210 
paragraphs (A) and (D) and inserting ‘‘paragraphs (1) 
and (2)’’. 
(B) Section 313 of the Energy Independence and Se-
curity Act of 2007 (121 Stat. 1568) is repealed. 
(C) The amendments made by— 
(i) subparagraph (A) shall take effect on De-
cember 19, 2010; and 
(ii) subparagraph (B) shall take effect on De-
cember 19, 2007. 
(10) Section 321(30)(D)(i)(III) of the Energy Policy 
and Conservation Act (42 U.S.C. 6291(30)(D)(i)(III)) (as 
amended by section 321(a)(1)(A) of the Energy Independ-
ence and Security Act of 2007 (121 Stat. 1574)) is 
amended by inserting before the semicolon the following: 
‘‘or, in the case of a modified spectrum lamp, not less than 
232 lumens and not more than 1,950 lumens’’. 
(11) Section 321(30)(T) of the Energy Policy and 
Conservation Act (42 U.S.C. 6291(30)(T) (as amended by 
section 321(a)(1)(B) of the Energy Independence and Se-
curity Act of 2007 (121 Stat. 1574)) is amended— 
(A) in clause (i)— 
(i) by striking the comma after ‘‘household 
appliance’’ and inserting ‘‘and’’; and 
(ii) by striking ‘‘and is sold at retail,’’; and
211 
(B) in clause (ii), by inserting ‘‘when sold at re-
tail,’’ before ‘‘is designated’’. 
(12) Section 325 of the Energy Policy and Conserva-
tion Act (42 U.S.C. 6295) (as amended by sections 
321(a)(3)(A) and 322(b) of the Energy Independence and 
Security Act of 2007 (121 Stat. 1577, 1588)) is amended 
by striking subsection (i) and inserting the following: 
‘‘(i) GENERAL SERVICE FLUORESCENT LAMPS, GEN-
ERAL SERVICE INCANDESCENT LAMPS, INTERMEDIATE 
BASE INCANDESCENT LAMPS, CANDELABRA BASE INCAN-
DESCENT
LAMPS, 
AND
INCANDESCENT
REFLECTOR 
LAMPS.— 
‘‘(1) ENERGY EFFICIENCY STANDARDS.— 
‘‘(A) IN GENERAL.—Each of the following 
general service fluorescent lamps, general serv-
ice incandescent lamps, intermediate base in-
candescent lamps, candelabra base incandescent 
lamps, and incandescent reflector lamps manu-
factured after the effective date specified in the 
tables listed in this subparagraph shall meet or 
exceed the following lamp efficacy, new max-
imum wattage, and CRI standards: 
‘‘FLUORESCENT LAMPS 
Lamp Type 
Nominal 
Lamp 
Wattage 
Minimum 
CRI 
Minimum Average 
Lamp Efficacy 
(LPW) 
Effective 
Date (Pe-
riod of 
Months) 
4-foot medium bi-pin .................
>35 W 
75.0 
....................................................
≤35 W 
75.0
212 
‘‘FLUORESCENT LAMPS—Continued 
Lamp Type 
Nominal 
Lamp 
Wattage 
Minimum 
CRI 
Minimum Average 
Lamp Efficacy 
(LPW) 
Effective 
Date (Pe-
riod of 
Months) 
2-foot U-shaped .........................
>35 W 
68.0 
....................................................
≤35 W 
64.0 
8-foot slimline ............................
65 W 
80.0 
....................................................
≤65 W 
80.0 
8-foot high output ......................
>100 W 
80.0 
....................................................
≤100 W 
80.0 
‘‘INCANDESCENT REFLECTOR LAMPS 
Nominal Lamp Wattage 
Minimum Average 
Lamp Efficacy 
(LPW) 
Effective 
Date (Pe-
riod of 
Months) 
40–50 ......................................................................................
10.5 
51–66 ......................................................................................
11.0 
67–85 ......................................................................................
12.5 
86–115 ....................................................................................
14.0 
116–155 ....................................................................................
14.5 
156–205 ....................................................................................
15.0 
‘‘GENERAL SERVICE INCANDESCENT LAMPS 
Rated Lumen Ranges 
Maximum Rated 
Wattage 
Minimum 
Rated Life-
time 
Effective 
Date 
1490–2600 
1,000 hrs 
1/1/2012 
1050–1489 
1,000 hrs 
1/1/2013 
750–1049 
1,000 hrs 
1/1/2014 
310–749 
1,000 hrs 
1/1/2014 
‘‘MODIFIED SPECTRUM GENERAL SERVICE INCANDESCENT LAMPS 
Rated Lumen Ranges 
Maximum Rated 
Wattage 
Minimum 
Rated Life-
time 
Effective 
Date 
1118–1950 
1,000 hrs 
1/1/2012 
788–1117 
1,000 hrs 
1/1/2013 
563–787 
1,000 hrs 
1/1/2014 
232–562 
1,000 hrs 
1/1/2014 
‘‘(B) APPLICATION.— 
‘‘(i) APPLICATION
CRITERIA.—This 
subparagraph applies to each lamp that—
213 
‘‘(I) is intended for a general 
service or general illumination applica-
tion (whether incandescent or not); 
‘‘(II) has a medium screw base 
or any other screw base not defined in 
ANSI C81.61–2006; 
‘‘(III) is capable of being oper-
ated at a voltage at least partially 
within the range of 110 to 130 volts; 
and 
‘‘(IV) is manufactured or im-
ported after December 31, 2011. 
‘‘(ii) REQUIREMENT.—For purposes 
of this paragraph, each lamp described in 
clause (i) shall have a color rendering 
index that is greater than or equal to— 
‘‘(I) 80 for nonmodified spectrum 
lamps; or 
‘‘(II) 75 for modified spectrum 
lamps. 
‘‘(C) CANDELABRA INCANDESCENT LAMPS 
AND
INTERMEDIATE
BASE
INCANDESCENT 
LAMPS.— 
‘‘(i) CANDELABRA
BASE
INCANDES-
CENT LAMPS.—Effective beginning Janu-
214 
ary 1, 2012, a candelabra base incandes-
cent lamp shall not exceed 60 rated watts. 
‘‘(ii) INTERMEDIATE BASE INCANDES-
CENT LAMPS.—Effective beginning Janu-
ary 1, 2012, an intermediate base incan-
descent lamp shall not exceed 40 rated 
watts. 
‘‘(D) EXEMPTIONS.— 
‘‘(i) STATUTORY
EXEMPTIONS.—The 
standards specified in subparagraph (A) 
shall not apply to the following types of in-
candescent reflector lamps: 
‘‘(I) Lamps rated at 50 watts or 
less that are ER30, BR30, BR40, or 
ER40 lamps. 
‘‘(II) Lamps rated at 65 watts 
that are BR30, BR40, or ER40 
lamps. 
‘‘(III) R20 incandescent reflector 
lamps rated 45 watts or less. 
‘‘(ii) 
ADMINISTRATIVE
EXEMP-
TIONS.— 
‘‘(I) PETITION.—Any person may 
petition the Secretary for an exemp-
tion for a type of general service lamp
215 
from the requirements of this sub-
section. 
‘‘(II) CRITERIA.—The Secretary 
may grant an exemption under sub-
clause (I) only to the extent that the 
Secretary finds, after a hearing and 
opportunity for public comment, that 
it is not technically feasible to serve a 
specialized lighting application (such 
as a military, medical, public safety, 
or certified historic lighting applica-
tion) using a lamp that meets the re-
quirements of this subsection. 
‘‘(III) ADDITIONAL CRITERION.— 
To grant an exemption for a product 
under this clause, the Secretary shall 
include, as an additional criterion, 
that the exempted product is unlikely 
to be used in a general service lighting 
application. 
‘‘(E) EXTENSION OF COVERAGE.— 
‘‘(i) PETITION.—Any person may peti-
tion the Secretary to establish standards 
for lamp shapes or bases that are excluded
216 
from the definition of general service 
lamps. 
‘‘(ii) INCREASED SALES OF EXEMPT-
ED LAMPS.—The petition shall include evi-
dence that the availability or sales of ex-
empted incandescent lamps have increased 
significantly since the date on which the 
standards on general service incandescent 
lamps were established. 
‘‘(iii) CRITERIA.—The Secretary shall 
grant a petition under clause (i) if the Sec-
retary finds that— 
‘‘(I) the petition presents evi-
dence that demonstrates that commer-
cial availability or sales of exempted 
incandescent lamp types have in-
creased significantly since the stand-
ards on general service lamps were es-
tablished and likely are being widely 
used in general lighting applications; 
and 
‘‘(II) significant energy savings 
could be achieved by covering exempt-
ed products, as determined by the 
Secretary based in part on sales data
217 
provided to the Secretary from manu-
facturers and importers. 
‘‘(iv) NO PRESUMPTION.—The grant 
of a petition under this subparagraph shall 
create no presumption with respect to the 
determination of the Secretary with respect 
to any criteria under a rulemaking con-
ducted under this section. 
‘‘(v) 
EXPEDITED
PROCEEDING.—If 
the Secretary grants a petition for a lamp 
shape or base under this subparagraph, 
the Secretary shall— 
‘‘(I) conduct a rulemaking to de-
termine standards for the exempted 
lamp shape or base; and 
‘‘(II) complete the rulemaking 
not later than 18 months after the 
date on which notice is provided 
granting the petition. 
‘‘(F) EFFECTIVE DATES.— 
‘‘(i) IN GENERAL.—In this paragraph, 
except as otherwise provided in a table 
contained in subparagraph (A) or in clause 
(ii), the term ‘effective date’ means the last
218 
day of the month specified in the table 
that follows October 24, 1992. 
‘‘(ii) SPECIAL EFFECTIVE DATES.— 
‘‘(I) 
ER, 
BR, 
AND
BPAR 
LAMPS.—The standards specified in 
subparagraph (A) shall apply with re-
spect to ER incandescent reflector 
lamps, 
BR 
incandescent 
reflector 
lamps, BPAR incandescent reflector 
lamps, and similar bulb shapes on and 
after January 1, 2008, or the date 
that is 180 days after the date of en-
actment of the Energy Independence 
and Security Act of 2007. 
‘‘(II) LAMPS BETWEEN 2.25–2.75 
INCHES
IN
DIAMETER.—The stand-
ards specified in subparagraph (A) 
shall apply with respect to incandes-
cent reflector lamps with a diameter 
of more than 2.25 inches, but not 
more than 2.75 inches, on and after 
the later of January 1, 2008, or the 
date that is 180 days after the date of 
enactment of the Energy Independ-
ence and Security Act of 2007.
219 
‘‘(2) COMPLIANCE WITH EXISTING LAW.—Not-
withstanding section 332(a)(5) and section 332(b), 
it shall not be unlawful for a manufacturer to sell 
a lamp that is in compliance with the law at the 
time the lamp was manufactured. 
‘‘(3) 
RULEMAKING
BEFORE
OCTOBER
24, 
1995.— 
‘‘(A) IN
GENERAL.—Not later than 36 
months after October 24, 1992, the Secretary 
shall initiate a rulemaking procedure and shall 
publish a final rule not later than the end of 
the 54-month period beginning on October 24, 
1992, to determine whether the standards es-
tablished under paragraph (1) should be 
amended. 
‘‘(B) ADMINISTRATION.—The rule shall 
contain the amendment, if any, and provide 
that the amendment shall apply to products 
manufactured on or after the 36-month period 
beginning on the date on which the final rule is 
published. 
‘‘(4) 
RULEMAKING
BEFORE
OCTOBER
24, 
2000.— 
‘‘(A) IN GENERAL.—Not later than 8 years 
after October 24, 1992, the Secretary shall ini-
220 
tiate a rulemaking procedure and shall publish 
a final rule not later than 9 years and 6 months 
after October 24, 1992, to determine whether 
the standards in effect for fluorescent lamps 
and incandescent lamps should be amended. 
‘‘(B) ADMINISTRATION.—The rule shall 
contain the amendment, if any, and provide 
that the amendment shall apply to products 
manufactured on or after the 36-month period 
beginning on the date on which the final rule is 
published. 
‘‘(5) RULEMAKING FOR ADDITIONAL GENERAL 
SERVICE FLUORESCENT LAMPS.— 
‘‘(A) IN
GENERAL.—Not later than the 
end of the 24-month period beginning on the 
date 
labeling 
requirements 
under 
section 
324(a)(2)(C) become effective, the Secretary 
shall— 
‘‘(i) initiate a rulemaking procedure to 
determine whether the standards in effect 
for fluorescent lamps and incandescent 
lamps should be amended so that the 
standards would be applicable to additional 
general service fluorescent lamps; and
221 
‘‘(ii) publish, not later than 18 
months after initiating the rulemaking, a 
final rule including the amended stand-
ards, if any. 
‘‘(B) ADMINISTRATION.—The rule shall 
provide that the amendment shall apply to 
products manufactured after a date which is 36 
months after the date on which the rule is pub-
lished. 
‘‘(6) 
STANDARDS
FOR
GENERAL
SERVICE 
LAMPS.— 
‘‘(A) RULEMAKING
BEFORE
JANUARY
1, 
2014.— 
‘‘(i) IN
GENERAL.—Not later than 
January 1, 2014, the Secretary shall ini-
tiate a rulemaking procedure to determine 
whether— 
‘‘(I) standards in effect for gen-
eral service lamps should be amended; 
and 
‘‘(II) the exclusions for certain 
incandescent lamps should be main-
tained or discontinued based, in part, 
on excluded lamp sales collected by 
the Secretary from manufacturers.
222 
‘‘(ii) SCOPE.—The rulemaking— 
‘‘(I) shall not be limited to incan-
descent lamp technologies; and 
‘‘(II) shall include consideration 
of a minimum standard of 45 lumens 
per watt for general service lamps. 
‘‘(iii) AMENDED STANDARDS.—If the 
Secretary determines that the standards in 
effect for general service lamps should be 
amended, the Secretary shall publish a 
final rule not later than January 1, 2017, 
with an effective date that is not earlier 
than 3 years after the date on which the 
final rule is published. 
‘‘(iv) 
PHASED-IN
EFFECTIVE 
DATES.—The 
Secretary 
shall 
consider 
phased-in effective dates under this sub-
paragraph after considering— 
‘‘(I) the impact of any amend-
ment on manufacturers, retiring and 
repurposing 
existing 
equipment, 
stranded investments, labor contracts, 
workers, and raw materials; and 
‘‘(II) the time needed to work 
with retailers and lighting designers
223 
to revise sales and marketing strate-
gies. 
‘‘(v) BACKSTOP
REQUIREMENT.—If 
the Secretary fails to complete a rule-
making in accordance with clauses (i) 
through (iv) or if the final rule does not 
produce savings that are greater than or 
equal to the savings from a minimum effi-
cacy standard of 45 lumens per watt, effec-
tive beginning January 1, 2020, the Sec-
retary shall prohibit the manufacture of 
any general service lamp that does not 
meet a minimum efficacy standard of 45 
lumens per watt. 
‘‘(vi) STATE
PREEMPTION.—Neither 
section 327(c) nor any other provision of 
law shall preclude California or Nevada 
from adopting, effective beginning on or 
after January 1, 2018— 
‘‘(I) a final rule adopted by the 
Secretary in accordance with clauses 
(i) through (iv); 
‘‘(II) if a final rule described in 
subclause (I) has not been adopted,
224 
the 
backstop 
requirement 
under 
clause (v); or 
‘‘(III) in the case of California, if 
a final rule described in subclause (I) 
has not been adopted, any California 
regulations relating to these covered 
products adopted pursuant to State 
statute in effect as of the date of en-
actment of the Energy Independence 
and Security Act of 2007. 
‘‘(B) RULEMAKING
BEFORE
JANUARY
1, 
2020.— 
‘‘(i) IN
GENERAL.—Not later than 
January 1, 2020, the Secretary shall ini-
tiate a rulemaking procedure to determine 
whether— 
‘‘(I) standards in effect for gen-
eral service lamps should be amended; 
and 
‘‘(II) the exclusions for certain 
incandescent lamps should be main-
tained or discontinued based, in part, 
on excluded lamp sales data collected 
by the Secretary from manufacturers.
225 
‘‘(ii) SCOPE.—The rulemaking shall 
not be limited to incandescent lamp tech-
nologies. 
‘‘(iii) AMENDED STANDARDS.—If the 
Secretary determines that the standards in 
effect for general service lamps should be 
amended, the Secretary shall publish a 
final rule not later than January 1, 2022, 
with an effective date that is not earlier 
than 3 years after the date on which the 
final rule is published. 
‘‘(iv) 
PHASED-IN
EFFECTIVE 
DATES.—The 
Secretary 
shall 
consider 
phased-in effective dates under this sub-
paragraph after considering— 
‘‘(I) the impact of any amend-
ment on manufacturers, retiring and 
repurposing 
existing 
equipment, 
stranded investments, labor contracts, 
workers, and raw materials; and 
‘‘(II) the time needed to work 
with retailers and lighting designers 
to revise sales and marketing strate-
gies. 
‘‘(7) FEDERAL ACTIONS.—
226 
‘‘(A) COMMENTS OF SECRETARY.— 
‘‘(i) IN
GENERAL.—With respect to 
any lamp to which standards are applicable 
under this subsection or any lamp specified 
in section 346, the Secretary shall inform 
any Federal entity proposing actions that 
would adversely impact the energy con-
sumption or energy efficiency of the lamp 
of the energy conservation consequences of 
the action. 
‘‘(ii) CONSIDERATION.—The Federal 
entity shall carefully consider the com-
ments of the Secretary. 
‘‘(B) AMENDMENT OF STANDARDS.—Not-
withstanding section 325(n)(1), the Secretary 
shall not be prohibited from amending any 
standard, by rule, to permit increased energy 
use or to decrease the minimum required en-
ergy efficiency of any lamp to which standards 
are applicable under this subsection if the ac-
tion is warranted as a result of other Federal 
action (including restrictions on materials or 
processes) that would have the effect of either 
increasing the energy use or decreasing the en-
ergy efficiency of the product.
227 
‘‘(8) COMPLIANCE.— 
‘‘(A) IN
GENERAL.—Not later than the 
date on which standards established pursuant 
to this subsection become effective, or, with re-
spect to high-intensity discharge lamps covered 
under section 346, the effective date of stand-
ards established pursuant to that section, each 
manufacturer of a product to which the stand-
ards are applicable shall file with the Secretary 
a laboratory report certifying compliance with 
the applicable standard for each lamp type. 
‘‘(B) CONTENTS.—The report shall include 
the lumen output and wattage consumption for 
each lamp type as an average of measurements 
taken over the preceding 12-month period. 
‘‘(C) OTHER LAMP TYPES.—With respect 
to lamp types that are not manufactured during 
the 12-month period preceding the date on 
which the standards become effective, the re-
port shall— 
‘‘(i) be filed with the Secretary not 
later than the date that is 12 months after 
the date on which manufacturing is com-
menced; and
228 
‘‘(ii) include the lumen output and 
wattage consumption for each such lamp 
type as an average of measurements taken 
during the 12-month period.’’. 
(13) Section 325(l)(4)(A) of the Energy Policy and 
Conservation Act (42 U.S.C. 6295(l)(4)(A)) (as amended 
by section 321(a)(3)(B) of the Energy Independence and 
Security Act of 2007 (121 Stat. 1581)) is amended by 
striking ‘‘only’’. 
(14) Section 327(b)(1)(B) of the Energy Policy and 
Conservation Act (42 U.S.C. 6297(b)(1)(B)) (as amended 
by section 321(d)(3) of the Energy Independence and Se-
curity Act of 2007 (121 Stat. 1585)) is amended— 
(A) in clause (i), by inserting ‘‘and’’ after the 
semicolon at the end; 
(B) in clause (ii), by striking ‘‘; and’’ and in-
serting a period; and 
(C) by striking clause (iii). 
(15) Section 321(e) of the Energy Independence and 
Security Act of 2007 (121 Stat. 1586) is amended— 
(A) in the matter preceding paragraph (1), by 
striking ‘‘is amended’’ and inserting ‘‘(as amended 
by section 306(b)) is amended’’; and 
(B) by striking paragraphs (1) and (2) and in-
serting the following:
229 
‘‘(1) in paragraph (5), by striking ‘or’ after the 
semicolon at the end; 
‘‘(2) in paragraph (6), by striking the period at 
the end and inserting ‘; or’; and’’. 
(16) Section 332(a) of the Energy Policy and Con-
servation Act (42 U.S.C. 6302(a)) (as amended by section 
321(e) of the Energy Independence and Security Act of 
2007 (121 Stat. 1586)) is amended by redesignating the 
second paragraph (6) as paragraph (7). 
(17) Section 321(30)(C)(ii) of the Energy Policy and 
Conservation Act (42 U.S.C. 6291(30)(C)(ii)) (as amend-
ed by section 322(a)(1)(B) of the Energy Independence 
and Security Act of 2007 (121 Stat. 1587)) is amended 
by inserting a period after ‘‘40 watts or higher’’. 
(18) Section 322(b) of the Energy Independence and 
Security Act of 2007 (121 Stat. 1588)) is amended by 
striking ‘‘6995(i)’’ and inserting ‘‘6295(i)’’. 
(19) Section 327(c) of the Energy Policy and Con-
servation Act (42 U.S.C. 6297(c)) (as amended by sec-
tions 324(f) of the Energy Independence and Security Act 
of 2007 (121 Stat. 1594)) is amended— 
(A) in paragraph (6), by striking ‘‘or’’ after the 
semicolon at the end; 
(B) in paragraph (8)(B), by striking ‘‘and’’ 
after the semicolon at the end;
231 
and Security Act of 2007 (42 U.S.C. 17061) is amend-
ed— 
(A) in paragraph (2), by striking ‘‘484’’ and in-
serting ‘‘494’’; and 
(B) in paragraph (13), by striking ‘‘Agency’’ 
and inserting ‘‘Administration’’. 
(2) Section 422 of the Energy Conservation and Pro-
duction Act (42 U.S.C. 6872) (as amended by section 
411(a) of the Energy Independence and Security Act of 
2007 (121 Stat. 1600)) is amended by striking 1 of the 
2 periods at the end of paragraph (5). 
(3) Section 305(a)(3)(D)(i) of the Energy Conserva-
tion and Production Act (42 U.S.C. 6834(a)(3)(D)(i)) (as 
amended by section 433(a) of the Energy Independence 
and Security Act of 2007 (121 Stat. 1612)) is amended— 
(A) in subclause (I)— 
(i) by striking ‘‘in fiscal year 2003 (as 
measured by Commercial Buildings Energy 
Consumption Survey or Residential Energy 
Consumption Survey data from the Energy In-
formation Agency’’ and inserting ‘‘as measured 
by the calendar year 2003 Commercial Build-
ings Energy Consumption Survey or the cal-
endar year 2005 Residential Energy Consump-
232 
tion Survey data from the Energy Information 
Administration’’; and 
(ii) in the table at the end, by striking 
‘‘Fiscal Year’’ and inserting ‘‘Calendar 
Year’’; and 
(B) in subclause (II)— 
(i) by striking ‘‘(II) Upon petition’’ and in-
serting the following: 
‘‘(II) DOWNWARD
ADJUSTMENT 
OF NUMERIC REQUIREMENT.— 
‘‘(aa) IN GENERAL.—On pe-
tition’’; and 
(ii) by striking the last sentence and in-
serting the following: 
‘‘(bb) EXCEPTIONS
TO
RE-
QUIREMENT
FOR
CONCURRENCE 
OF SECRETARY.— 
‘‘(AA) IN
GENERAL.— 
The requirement to petition 
and obtain the concurrence 
of the Secretary under this 
subclause shall not apply to 
any Federal building with 
respect to which the Admin-
istrator of General Services
233 
is required to transmit a 
prospectus 
to 
Congress 
under section 3307 of title 
40, United States Code, or 
to any other Federal build-
ing designed, constructed, or 
renovated by the Adminis-
trator if the Administrator 
certifies, in writing, that 
meeting the applicable nu-
meric 
requirement 
under 
subclause (I) with respect to 
the Federal building would 
be technically impracticable 
in light of the specific func-
tional needs for the building. 
‘‘(BB) ADJUSTMENT.— 
In the case of a building de-
scribed in subitem (AA), the 
Administrator may adjust 
the applicable numeric re-
quirement of subclause (I) 
downward with respect to 
the building.’’.
234 
(4) Section 436(c)(3) of the Energy Independence 
and Security Act of 2007 (42 U.S.C. 17092(c)(3)) is 
amended by striking ‘‘474’’ and inserting ‘‘494’’. 
(5) Section 440 of the Energy Independence and Se-
curity Act of 2007 (42 U.S.C. 17096) is amended by strik-
ing ‘‘and 482’’. 
(6) Section 373(c) of the Energy Policy and Con-
servation Act (42 U.S.C. 6343(c)) (as amended by section 
451(a) of the Energy Independence and Security Act of 
2007 (121 Stat. 1628)) is amended by striking ‘‘Adminis-
trator’’ and inserting ‘‘Secretary’’. 
(c) DATE OF ENACTMENT.—Section 1302 of the En-
ergy Independence and Security Act of 2007 (42 U.S.C. 
17382) is amended in the first sentence by striking ‘‘en-
actment’’ and inserting ‘‘the date of enactment of this 
Act’’. 
(d) REFERENCE.—Section 1306(c)(3) of the Energy 
Independence and Security Act of 2007 (42 U.S.C. 
17386(c)(3)) is amended by striking ‘‘section 1307 (para-
graph (17) of section 111(d) of the Public Utility Regu-
latory Policies Act of 1978)’’ and inserting ‘‘paragraph 
(19) of section 111(d) of the Public Utility Regulatory 
Policies Act of 1978 (16 U.S.C. 2621(d))’’. 
(e) EFFECTIVE DATE.—This section and the amend-
ments made by this section take effect as if included in
235 
the Energy Independence and Security Act of 2007 (Pub-
lic Law 110–140; 121 Stat. 1492). 
SEC. 162. TECHNICAL CORRECTIONS TO ENERGY POLICY 
ACT OF 2005. 
(a) 
TITLE
I—ENERGY
EFFICIENCY.—Section 
325(g)(8)(C)(ii) of the Energy Policy and Conservation 
Act (42 U.S.C. 6295(g)(8)(C)(ii)) (as added by section 
135(c)(2)(B) of the Energy Policy Act of 2005) is amend-
ed by striking ‘‘20°F’’ and inserting ‘‘¥20°F’’. 
(b) EFFECTIVE DATE.—This section and the amend-
ments made by this section take effect as if included in 
the Energy Policy Act of 2005 (Public Law 109–58; 119 
Stat. 594). 
Subtitle H—Energy and Efficiency 
Centers and Research 
SEC. 171. ENERGY INNOVATION HUBS. 
(a) PURPOSE.—The Secretary shall carry out a pro-
gram to establish Energy Innovation Hubs to enhance the 
Nation’s economic, environmental, and energy security by 
promoting commercial application of clean, indigenous en-
ergy alternatives to oil and other fossil fuels, reducing 
greenhouse gas emissions, and ensuring that the United 
States maintains a technological lead in the development 
and commercial application of state-of-the-art energy tech-
nologies. To achieve these purposes the program shall—
236 
(1) leverage the expertise and resources of the 
university and private research communities, indus-
try, venture capital, national laboratories, and other 
participants in energy innovation to support cross- 
disciplinary research and development in areas not 
being served by the private sector in order to develop 
and transfer innovative clean energy technologies 
into the marketplace; 
(2) expand the knowledge base and human cap-
ital necessary to transition to a low-carbon economy; 
and 
(3) promote regional economic development by 
cultivating clusters of clean energy technology firms, 
private research organizations, suppliers, and other 
complementary groups and businesses. 
(b) DEFINITIONS.—For purposes of this section: 
(1) 
ALLOWANCE.—The 
term 
‘‘allowance’’ 
means an emission allowance established under sec-
tion 721 of the Clean Air Act (as added by section 
311 of this Act). 
(2) CLEAN ENERGY TECHNOLOGY.—The term 
‘‘clean energy technology’’ means a technology 
that— 
(A) produces energy from solar, wind, geo-
thermal, biomass, tidal, wave, ocean, and other
237 
renewable energy resources (as such term is de-
fined in section 610 of the Public Utility Regu-
latory Policies Act of 1978); 
(B) more efficiently transmits, distributes, 
or stores energy; 
(C) enhances energy efficiency for build-
ings and industry, including combined heat and 
power; 
(D) enables the development of a Smart 
Grid (as described in section 1301 of the En-
ergy Independence and Security Act of 2007 
(42 U.S.C. 17381)), including integration of re-
newable energy resources and distributed gen-
eration, demand response, demand side man-
agement, and systems analysis; 
(E) produces an advanced or sustainable 
material with energy or energy efficiency appli-
cations; 
(F) enhances water security through im-
proved water management, conservation, dis-
tribution, and end use applications; or 
(G) improves energy efficiency for trans-
portation, including electric vehicles. 
(3) CLUSTER.—The term ‘‘cluster’’ means a 
network of entities directly involved in the research,
238 
development, finance, and commercialization of clean 
energy technologies whose geographic proximity fa-
cilitates utilization and sharing of skilled human re-
sources, infrastructure, research facilities, edu-
cational and training institutions, venture capital, 
and input suppliers. 
(4) HUB.—The term ‘‘Hub’’ means an Energy 
Innovation Hub established in accordance with this 
section. 
(5) PROJECT.—The term ‘‘project’’ means an 
activity with respect to which a Hub provides sup-
port under subsection (e). 
(6) QUALIFYING
ENTITY.—The term ‘‘quali-
fying entity’’ means each of the following: 
(A) A research university. 
(B) A State or Federal institution with a 
focus on the advancement of clean energy tech-
nologies. 
(C) A nongovernmental organization with 
research or commercialization expertise in clean 
energy technology development. 
(7) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Energy. 
(8) TECHNOLOGY DEVELOPMENT FOCUS.—The 
term ‘‘technology development focus’’ means the
239 
unique technology development areas in which a 
Hub will specialize, and may include solar electricity, 
fuels from solar energy, batteries and energy stor-
age, electricity grid systems and devices, energy effi-
cient building systems and design, advanced mate-
rials, modeling and simulation, and other clean en-
ergy technology development areas designated by the 
Secretary. 
(9) TRANSLATIONAL
RESEARCH.—The term 
‘‘translational research’’ means coordination of basic 
or applied research with technical and commercial 
applications to enable promising discoveries or inven-
tions to attract investment sufficient for market pen-
etration and diffusion. 
(10) VINTAGE YEAR.—The term ‘‘vintage year’’ 
has the meaning given that term in section 700 of 
the Clean Air Act (as added by section 312 of this 
Act). 
(c) ROLE
OF
THE
SECRETARY.—The Secretary 
shall— 
(1) have ultimate responsibility for, and over-
sight of, all aspects of the program under this sec-
tion; 
(2) provide for the distribution of allowances al-
located under section 782(h)(1) of the Clean Air Act
240 
(as added by section 321 of this Act) to support the 
establishment of 8 Hubs, each with a unique des-
ignated technology development focus, pursuant to 
this section; 
(3) coordinate the innovation activities of Hubs 
with those occurring through other Department of 
Energy entities, including the National Laboratories, 
the Advanced Research Projects Agency—Energy, 
and Energy Frontier Research Collaborations, and 
within industry, including by annually— 
(A) issuing guidance regarding national 
energy research and development priorities and 
strategic objectives; and 
(B) convening a conference of staff of the 
Department of Energy and representatives from 
such other entities to share research results, 
program plans, and opportunities for collabora-
tion. 
(d) ENTITIES ELIGIBLE FOR SUPPORT.—A consor-
tium shall be eligible to receive allowances to support the 
establishment of a Hub under this section if— 
(1) it is composed of— 
(A) 2 research universities with a com-
bined annual research budget of $500,000,000; 
and
241 
(B) 1 or more additional qualifying enti-
ties; 
(2) its members have established a binding 
agreement that documents— 
(A) the structure of the partnership agree-
ment; 
(B) a governance and management struc-
ture to enable cost-effective implementation of 
the program; 
(C) an intellectual property management 
policy; 
(D) a conflicts of interest policy consistent 
with subsection (e)(4); 
(E) an accounting structure that meets the 
requirements of the Department of Energy and 
can be audited under subsection (f)(5); and 
(F) that it has an Advisory Board con-
sistent with subsection (e)(3); 
(3) it receives financial contributions from 
States, consortium participants, or other non-Fed-
eral sources, to be used to support project awards 
pursuant to subsection (e); 
(4) it is part of an existing cluster or dem-
onstrates high potential to develop a new cluster; 
and
242 
(5) it operates as a nonprofit organization. 
(e) ENERGY INNOVATION HUBS.— 
(1) ROLE.—Hubs receiving allowances under 
this section shall support translational research ac-
tivities leading to commercial application of clean en-
ergy technologies, in accordance with the purposes of 
this section, through issuance of awards to projects 
managed by qualifying entities and other entities 
meeting the Hub’s project criteria, including na-
tional laboratories. Each such Hub shall— 
(A) develop and publish for public review 
and comment proposed plans, programs, project 
selection criteria, and terms for individual 
project awards under this subsection; 
(B) submit an annual report to the Sec-
retary summarizing the Hub’s activities, organi-
zational expenditures, and Board members, 
which shall include a certification of compliance 
with conflict of interest policies and a descrip-
tion of each project in the research portfolio; 
(C) establish policies— 
(i) regarding intellectual property de-
veloped as a result of Hub awards and 
other forms of technology support that en-
courage individual ingenuity and invention
243 
while speeding technology transfer and fa-
cilitating the establishment of rapid com-
mercialization pathways; 
(ii) to prevent resources provided to 
the Hub from being used to displace pri-
vate sector investment otherwise likely to 
occur, including investment from private 
sector entities that are members of the 
consortium; 
(iii) to facilitate the participation of 
private investment firms or other private 
entities that invest in clean energy tech-
nologies to perform due diligence on award 
proposals, to participate in the award re-
view process, and to provide guidance to 
projects supported by the Hub; and 
(iv) to facilitate the participation of 
entrepreneurs with a demonstrated history 
of developing and commercializing clean 
energy technologies; 
(D) oversee project solicitations, review 
proposed projects, and select projects for 
awards; and 
(E) monitor project implementation.
244 
(2) DISTRIBUTION OF AWARDS BY HUBS.—A 
Hub shall distribute awards under this subsection to 
support clean energy technology projects conducting 
translational research and related activities, provided 
that at least 50 percent of such support shall be pro-
vided to projects related to the Hub’s technology de-
velopment focus. 
(3) ADVISORY BOARDS.— 
(A) IN GENERAL.—Each Hub shall estab-
lish an Advisory Board, the members of which 
shall have extensive and relevant scientific, 
technical, industry, financial, or research man-
agement expertise. The Advisory Board shall 
review the Hub’s proposed plans, programs, 
project selection criteria, and projects and shall 
ensure that projects selected for awards meet 
the conflict of interest policies of the Hub. Ad-
visory Board members other than those rep-
resenting consortium members shall serve for 
no more than 3 years. All Advisory Board mem-
bers shall comply with the Hub’s conflict of in-
terest policies and procedures. 
(B) MEMBERS.—Each Advisory Board 
shall consist of—
245 
(i) 5 members selected by the consor-
tium’s research universities; 
(ii) 2 members selected by the consor-
tium’s other qualifying entities; 
(iii) 2 members selected at large by 
other Advisory Board members to rep-
resent the entrepreneur and venture cap-
ital communities; and 
(iv) 1 member appointed by the Sec-
retary. 
(D) COMPENSATION.—Members of an Ad-
visory Board may receive reimbursement for 
travel expenses and a reasonable stipend. 
(4) CONFLICT OF INTEREST.— 
(A) PROCEDURES.—Hubs shall establish 
procedures to ensure that any employee or con-
sortia designee for Hub activities who serves in 
a decisionmaking capacity shall— 
(i) disclose any financial interests in, 
or financial relationships with, applicants 
for or recipients of awards under this sub-
section, including those of his or her 
spouse or minor child, unless such relation-
ships or interests would be considered to 
be remote or inconsequential; and
246 
(ii) recuse himself or herself from any 
funding decision for projects in which he 
or she has a personal financial interest. 
(B) 
DISQUALIFICATION
AND
REVOCA-
TION.—The Secretary may disqualify an appli-
cation or revoke allowances distributed to the 
Hub or awards provided under this subsection, 
if cognizant officials of the Hub fail to comply 
with procedures required under subparagraph 
(A). 
(f) DISTRIBUTION OF ALLOWANCES TO ENERGY IN-
NOVATION HUBS.— 
(1) DISTRIBUTION OF ALLOWANCES.—Not later 
than September 30 of 2011 and each calendar year 
thereafter through 2049, the Secretary shall, in ac-
cordance with the requirements of this section, dis-
tribute to eligible consortia allowances allocated for 
the following vintage year under section 782(h)(1) of 
the Clean Air Act (as added by section 321 of this 
Act). Not less than 10 percent and not more than 
30 percent of the allowances available for distribu-
tion in any given year shall be distributed to support 
any individual Hub under this section. 
(2) SELECTION AND SCHEDULE.—Allowances to 
support the establishment of a Hub shall be distrib-
247 
uted to eligible consortia (as defined in subsection 
(d)) selected through a competitive process. Not 
later than 120 days after the date of enactment of 
this Act, the Secretary shall solicit proposals from 
eligible consortia to establish Hubs, which shall be 
submitted not later than 180 days after the date of 
enactment of this Act. The Secretary shall select the 
program consortia not later than 270 days after the 
date of enactment of this Act. For at least 3 awards 
to consortia under this section, the Secretary shall 
give special consideration to applications in which 1 
or more of the institutions under subsection 
(d)(1)(A) are 1890 Land Grant Institutions (as de-
fined in section 2 of the Agricultural Research, Ex-
tension, and Education Reform Act of 1998 (7 
U.S.C. 7061)), Predominantly Black Institutions (as 
defined in section 318 of the Higher Education Act 
of 1965 (20 U.S.C. 1059e)), Tribal Colleges or Uni-
versities (as defined in section 316(b) of the Higher 
Education Act of 1965 (20 U.S.C. 1059c(b)), or 
Hispanic Serving Institutions (as defined in section 
318 of the Higher Education Act of 1965 (20 
U.S.C. 1059e)). 
(3) AMOUNT AND TERM OF AWARDS.—For each 
Hub selected to receive an award under this sub-
248 
section, the Secretary shall define a quantity of al-
lowances that shall be distributed to such Hub each 
year for an initial period not to exceed 5 years. The 
Secretary may extend the term of such award by up 
to 5 additional years, and a Hub may compete to re-
ceive an increase in the quantity of allowances per 
year that it shall receive during any such extension. 
A Hub shall be eligible to compete for a new award 
after the expiration of the term of any award, in-
cluding any extension of such term, under this sub-
section. 
(4) USE OF ALLOWANCES.—Allowances distrib-
uted under this section shall be used exclusively to 
support project awards pursuant to subsection (e)(1) 
and (2), provided that a Hub may use not more 
than 10 percent of the value of such allowances for 
its administrative expenses related to making such 
awards. Allowances distributed under this section 
shall not be used for construction of new buildings 
or facilities for Hubs, and construction of new build-
ings or facilities shall not be considered as part of 
the non-Federal share of a cost sharing agreement 
under this section. 
(5) AUDIT.—Each Hub shall conduct, in ac-
cordance with such requirements as the Secretary
250 
(1) 
ALLOWANCE.—The 
term 
‘‘allowance’’ 
means an emission allowance established under sec-
tion 721 of the Clean Air Act (as added by section 
311 of this Act). 
(2) DIRECTOR.—The term ‘‘Director’’ means 
Director of the Advanced Research Projects Agency- 
Energy. 
(b) IN GENERAL.—Not later than September 30 of 
2011 and each calendar year thereafter through 2049, the 
Director shall distribute allowances allocated for the fol-
lowing vintage year under section 782(h)(2) of the Clean 
Air Act (as added by section 321 of this Act). Such allow-
ances shall be distributed on a competitive basis to institu-
tions of higher education, companies, research founda-
tions, trade and industry research collaborations, or con-
sortia of such entities, or other appropriate research and 
development entities to achieve the goals of the Advanced 
Research Projects Agency-Energy (as described in section 
5012(c) of the America COMPETES Act) through tar-
geted acceleration of— 
(1) novel early-stage energy research with pos-
sible technology applications; 
(2) development of techniques, processes, and 
technologies, and related testing and evaluation;
251 
(3) development of manufacturing processes for 
technologies; and 
(4) demonstration and coordination with non-
governmental entities for commercial applications of 
technologies and research applications. 
(c) RESPONSIBILITIES.—The Director shall be re-
sponsible for assessing the success of programs and termi-
nating programs carried out under this section that are 
not achieving the goals of the programs, consistent with 
5012(e)(2) and (4) of the America COMPETES Act. The 
Director shall designate program managers whose respon-
sibilities are consistent with 5012(f)(1)(B) of the America 
COMPETES Act. The Director’s reporting and coordina-
tion requirements established through 5012(g) and (h) of 
the America COMPETES Act shall apply to activities 
funded through this section. 
(d) SUPPLEMENT NOT SUPPLANT.—Assistance pro-
vided under this section shall be used to supplement, and 
not to supplant, any other Federal resources available to 
carry out activities described in this section. 
SEC. 173. BUILDING ASSESSMENT CENTERS. 
(a) IN GENERAL.—The Secretary of Energy (in this 
section referred to as the ‘‘Secretary’’) shall provide fund-
ing to institutions of higher education for Building Assess-
ment Centers to—
252 
(1) identify opportunities for optimizing energy 
efficiency and environmental performance in existing 
buildings; 
(2) promote high-efficiency building construc-
tion techniques and materials options; 
(3) promote applications of emerging concepts 
and technologies in commercial and institutional 
buildings; 
(4) train engineers, architects, building sci-
entists, and building technicians in energy-efficient 
design and operation; 
(5) assist local community colleges, trade 
schools, registered apprenticeship programs and 
other accredited training programs in training build-
ing technicians; 
(6) promote research and development for the 
use of alternative energy sources to supply heat and 
power, for buildings, particularly energy-intensive 
buildings; and 
(7) coordinate with and assist State-accredited 
technical training centers and community colleges, 
while ensuring appropriate services to all regions of 
the United States. 
(b) COORDINATION WITH REGIONAL CENTERS FOR 
ENERGY AND ENVIRONMENTAL KNOWLEDGE AND OUT-
253 
REACH.—A Building Assessment Center may serve as a 
Center for Energy and Environmental Knowledge and 
Outreach established pursuant to section 174. 
(c) COORDINATION
AND DUPLICATION.—The Sec-
retary shall coordinate efforts under this section with 
other programs of the Department of Energy and other 
Federal agencies to avoid duplication of effort. 
(d) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated to the Secretary to carry 
out this section $50,000,000 for fiscal year 2010 and each 
fiscal year thereafter. 
SEC. 174. CENTERS FOR ENERGY AND ENVIRONMENTAL 
KNOWLEDGE AND OUTREACH. 
(a) REGIONAL CENTERS FOR ENERGY AND ENVI-
RONMENTAL KNOWLEDGE AND OUTREACH.— 
(1) ESTABLISHMENT.—The Secretary shall es-
tablish not more than 10 regional Centers for En-
ergy and Environmental Knowledge and Outreach at 
institutions of higher education to coordinate with 
and advise industrial research and assessment cen-
ters, Building Assessment Centers, and Clean En-
ergy Application Centers located in the region of 
such Center for Energy and Environmental Knowl-
edge and Outreach.
254 
(2) TECHNICAL ASSISTANCE PROGRAMS.—Each 
Center for Energy and Environmental Knowledge 
and Outreach shall consist of at least one, new or 
existing, high performing, of the following: 
(A) An industrial research and assessment 
center. 
(B) A Clean Energy Application Center. 
(C) A Building Assessment Center. 
(3) SELECTION CRITERIA.—The Secretary shall 
select Centers for Energy and Environmental 
Knowledge and Outreach through a competitive 
process, based on the following: 
(A) Identification of the highest per-
forming industrial research and assessment cen-
ters, Clean Energy Application Centers, and 
Building Assessment Centers. 
(B) The degree to which an institution of 
higher education maintains credibility among 
regional private sector organizations such as 
trade associations, engineering associations, and 
environmental organizations. 
(C) The degree to which an institution of 
higher education is providing or has provided 
technical assistance, academic leadership, and 
market leadership in the energy arena in a
255 
manner that is consistent with the areas of 
focus of industrial research and assessment cen-
ters, Clean Energy Application Centers, and 
Building Assessment Centers. 
(D) The presence of an additional indus-
trial research and assessment center, Clean En-
ergy Application Center, or Building Assess-
ment Center at the institution of higher edu-
cation. 
(4) GEOGRAPHIC DIVERSITY.—In selecting Cen-
ters for Energy and Environmental Knowledge and 
Outreach under this subsection, the Secretary shall 
ensure such Centers are distributed geographically 
in a relatively uniform manner to ensure all regions 
of the Nation are represented. 
(5) REGIONAL LEADERSHIP.—Each Center for 
Energy and Environmental Knowledge and Outreach 
shall, to the extent possible, provide leadership to all 
other industrial research and assessment centers, 
Clean Energy Application Centers, and Building As-
sessment Centers located in the Center’s geographic 
region, as determined by the Secretary. Such leader-
ship shall include— 
(A) developing regional goals specific to 
the purview of the industrial research and as-
256 
sessment centers, Clean Energy Application 
Centers, and Building Assessment Centers pro-
grams; 
(B) developing regionally specific technical 
resources; and 
(C) outreach to interested parties in the 
region to inform them of the information, re-
sources, and services available through the asso-
ciated industrial research and assessment cen-
ters, Clean Energy Application Centers, and 
Building Assessment Centers. 
(6) FURTHER COORDINATION.—To increase the 
value and capabilities of the regionally associated in-
dustrial research and assessment centers, Clean En-
ergy Application Centers, and Building Assessment 
Centers programs, Centers for Energy and Environ-
mental Knowledge and Outreach shall— 
(A) coordinate with Manufacturing Exten-
sion Partnership Centers of the National Insti-
tute of Science and Technology; 
(B) coordinate with the relevant programs 
in the Department of Energy, including the 
Building Technology Program and Industrial 
Technologies Program;
257 
(C) increase partnerships with the Na-
tional Laboratories of the Department of En-
ergy to leverage the expertise and technologies 
of the National Laboratories to achieve the 
goals of the industrial research and assessment 
centers, Clean Energy Application Centers, and 
Building Assessment Centers; 
(D) work with relevant municipal, county, 
and State economic development entities to le-
verage relevant financial incentives for capital 
investment and other policy tools for the protec-
tion and growth of local business and industry; 
(E) partner with local professional and pri-
vate trade associations and business develop-
ment interests to leverage existing knowledge of 
local business challenges and opportunities; 
(F) work with energy utilities and other 
administrators of publicly funded energy pro-
grams to leverage existing energy efficiency and 
clean energy programs; 
(G) identify opportunities for reducing 
greenhouse gas emissions; and 
(H) promote sustainable business practices 
for those served by the industrial research and
258 
assessment centers, Clean Energy Application 
Centers, and Building Assessment Centers. 
(7) WORKFORCE TRAINING.— 
(A) IN GENERAL.—The Secretary shall re-
quire each Center for Energy and Environ-
mental Knowledge and Outreach to establish or 
maintain an internship program for the region 
of such Center, designed to encourage students 
who perform energy assessments to continue 
working with a particular company, building, or 
facility to help implement the recommendations 
contained in any such assessment provided to 
such company, building, or facility. Each Center 
for Energy and Environmental Knowledge and 
Outreach shall act as internship coordinator to 
help match students to available opportunities. 
(B) FEDERAL SHARE.—The Federal share 
of the cost of carrying out internship programs 
described under subparagraph (A) shall be 50 
percent. 
(C) FUNDING.—Subject to the availability 
of appropriations, of the funds made available 
to carry out this subsection, the Secretary shall 
use to carry out this paragraph not less than
259 
$5,000,000 for fiscal year 2010 and each fiscal 
year thereafter. 
(8) SMALL
BUSINESS
LOANS.—The Adminis-
trator of the Small Business Administration shall, to 
the maximum practicable, expedite consideration of 
applications from eligible small business concerns for 
loans under the Small Business Act (15 U.S.C. 631 
et seq.) for loans to implement recommendations of 
any industrial research and assessment center, Clean 
Energy Application Center, or Building Assessment 
Center. 
(9) DEFINITIONS.—In this subsection: 
(A) INDUSTRIAL RESEARCH AND ASSESS-
MENT CENTER.—The term ‘‘industrial research 
and assessment center’’ means a center estab-
lished or maintained pursuant to section 452(e) 
of the Energy Independence and Security Act 
of 2007 (42 U.S.C. 17111(e)). 
(B) CLEAN
ENERGY
APPLICATION
CEN-
TER.—The term ‘‘Clean Energy Application 
Center’’ means a center redesignated and de-
scribed section under section 375 of the Energy 
Policy and Conservation Act (42 U.S.C. 6345). 
(C) BUILDING ASSESSMENT CENTER.—The 
term ‘‘Building Assessment Center’’ means an
260 
institution of higher education-based center es-
tablished pursuant to section 173. 
(D) SECRETARY.—The term ‘‘Secretary’’ 
means the Secretary of Energy. 
(10) FUNDING.—There are authorized to be ap-
propriated to the Secretary to carry out this sub-
section $10,000,000 for fiscal year 2010 and each 
fiscal year thereafter. Subject to the availability of 
appropriations, of the funds made available to carry 
out this subsection, the Secretary shall provide to 
each Center for Energy and Environmental Knowl-
edge and Outreach not less than $500,000 for fiscal 
year 2010 and each fiscal year thereafter. 
(b) INTEGRATION OF OTHER TECHNICAL ASSIST-
ANCE PROGRAMS.— 
(1) CLEAN ENERGY APPLICATION CENTERS.— 
Section 375 of the Energy Policy and Conservation 
Act (42 U.S.C. 6345) is amended— 
(A) by redesignating subsection (f) as sub-
section (g); and 
(B) by adding after subsection (e) the fol-
lowing new subsection: 
‘‘(f) COORDINATION WITH CENTERS FOR ENERGY 
AND ENVIRONMENTAL KNOWLEDGE AND OUTREACH.—A 
Clean Energy Application Center may serve as a Center
261 
for Energy and Environmental Knowledge and Outreach 
established pursuant to section 174 of the American Clean 
Energy and Security Act of 2009.’’. 
(2) INDUSTRIAL RESEARCH AND ASSESSMENT 
CENTERS.—Section 452(e) of the Energy Independ-
ence and Security Act of 2007 (42 U.S.C. 17111(e)) 
is amended— 
(A) by striking ‘‘The Secretary’’ and all 
that follows through ‘‘shall be—’’ and inserting 
the following: 
‘‘(1) IN GENERAL.—The Secretary shall provide 
funding to institution of higher education-based in-
dustrial research and assessment centers, whose pur-
poses shall be—’’; 
(B) 
by 
redesignating 
paragraphs 
(1) 
through (5) as subparagraphs (A) through (E), 
respectively (and by moving the margins of such 
subparagraphs 2 ems to the right); and 
(C) by adding at the end the following new 
paragraph: 
‘‘(2) COORDINATION WITH CENTERS FOR EN-
ERGY AND ENVIRONMENTAL KNOWLEDGE AND OUT-
REACH.—An industrial research and assessment cen-
ter may serve as a Center for Energy and Environ-
mental Knowledge and Outreach established pursu-
262 
ant to section 174 of the American Clean Energy 
and Security Act of 2009.’’. 
(c) ADDITIONAL FUNDING FOR CLEAN ENERGY AP-
PLICATION CENTERS.—Subsection (g) of section 375 of 
the Energy Policy and Conservation Act (42 U.S.C. 
6345(f)), as redesignated by subsection (b)(1) of this sec-
tion, is amended by striking ‘‘$10,000,000 for each of fis-
cal years 2008 through 2012’’ and inserting ‘‘$30,000,000 
for fiscal year 2010 and each fiscal year thereafter’’. 
SEC. 175. HIGH EFFICIENCY GAS TURBINE RESEARCH, DE-
VELOPMENT, AND DEMONSTRATION. 
(a) IN GENERAL.—The Secretary of Energy shall 
carry out a multiyear, multiphase program of research, de-
velopment, and technology demonstration to improve the 
efficiency of gas turbines used in combined cycle power 
generation systems and to identify the technologies that 
ultimately will lead to gas turbine combined cycle effi-
ciency of 65 percent. 
(b) PROGRAM ELEMENTS.—The program under this 
section shall— 
(1) support first-of-a-kind engineering and de-
tailed gas turbine design for utility-scale electric 
power generation, including— 
(A) high temperature materials, including 
superalloys, coatings, and ceramics;
263 
(B) improved heat transfer capability; 
(C) manufacturing technology required to 
construct complex three-dimensional geometry 
parts with improved aerodynamic capability; 
(D) combustion technology to produce 
higher firing temperature while lowering nitro-
gen oxide and carbon monoxide emissions per 
unit of output; 
(E) advanced controls and systems integra-
tion; 
(F) advanced high performance compressor 
technology; and 
(G) validation facilities for the testing of 
components and subsystems; 
(2) include technology demonstration through 
component testing, subscale testing, and full scale 
testing in existing fleets; 
(3) include field demonstrations of the devel-
oped technology elements so as to demonstrate tech-
nical and economic feasibility; and 
(4) assess overall combined cycle system per-
formance. 
(c) PROGRAM GOALS.—The goals of the multiphase 
program established under subsection (a) shall be— 
(1) in phase I—
264 
(A) to develop the conceptual design of ad-
vanced high efficiency gas turbines that can 
achieve at least 62 percent combined cycle effi-
ciency on a lower heating value basis; and 
(B) to develop and demonstrate the tech-
nology required for advanced high efficiency gas 
turbines that can achieve at least 62 percent 
combined cycle efficiency on a lower heating 
value basis; and 
(2) in phase II, to develop the conceptual de-
sign for advanced high efficiency gas turbines that 
can achieve at least 65 percent combined cycle effi-
ciency on a lower heating value basis. 
(d) PROPOSALS.—Within 180 days after the date of 
enactment of this section, the Secretary shall solicit pro-
posals for conducting activities under this section. In se-
lecting proposals, the Secretary shall emphasize— 
(1) the extent to which the proposal will stimu-
late the creation or increased retention of jobs in the 
United States; and 
(2) the extent to which the proposal will pro-
mote and enhance United States technology leader-
ship.
265 
(e) COST SHARING.—Section 988 of the Energy Pol-
icy Act of 2005 (42 U.S.C. 16352) shall apply to an award 
of financial assistance made under this section. 
(f) LIMITS ON PARTICIPATION.—The limits on par-
ticipation applicable under section 999E of the Energy 
Policy Act of 2005 (42 U.S.C. 16375) shall apply to finan-
cial assistance awarded under this section. 
(g) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated to the Secretary for car-
rying out this section $65,000,000 for each of fiscal years 
2011 through 2014. 
Subtitle I—Nuclear and Advanced 
Technologies 
SEC. 181. REVISIONS TO LOAN GUARANTEE PROGRAM AU-
THORITY. 
(a) DEFINITION OF CONDITIONAL COMMITMENT.— 
Section 1701 of the Energy Policy Act of 2005 (42 U.S.C. 
16511), as amended by section 130(a) of this Act, is 
amended by adding after paragraph (7) the following: 
‘‘(8) CONDITIONAL
COMMITMENT.—The term 
‘conditional commitment’ means a final term sheet 
negotiated between the Secretary and a project 
sponsor or sponsors, which term sheet shall be bind-
ing on both parties and become a final loan guar-
antee agreement if all conditions precedent estab-
266 
lished in the term sheet, which shall include the ac-
quisition of all necessary permits and licenses, are 
satisfied.’’. 
(b) SPECIFIC APPROPRIATION OR CONTRIBUTION.— 
Section 1702 of the Energy Policy Act of 2005 (42 U.S.C. 
16512) is amended by striking subsection (b) and insert-
ing the following: 
‘‘(b) SPECIFIC
APPROPRIATION
OR
CONTRIBU-
TION.— 
‘‘(1) IN
GENERAL.—No guarantee shall be 
made unless— 
‘‘(A) an appropriation for the cost has 
been made; 
‘‘(B) the Secretary has received from the 
borrower a payment in full for the cost of the 
obligation and deposited the payment into the 
Treasury; or 
‘‘(C) a combination of appropriations or 
payments from the borrower has been made 
sufficient to cover the cost of the obligation. 
‘‘(2) LIMITATION.—The source of payments re-
ceived from a borrower under paragraph (1)(B) shall 
not be a loan or other debt obligation that is made 
or guaranteed by the Federal Government.’’.
267 
(c) FEES.—Section 1702(h) of the Energy Policy Act 
of 2005 (42 U.S.C. 16512(h)) is amended by striking 
paragraph (2) and inserting the following: 
‘‘(2) AVAILABILITY.—Fees collected under this 
subsection shall— 
‘‘(A) be deposited by the Secretary into a 
special fund in the Treasury to be known as the 
‘Incentives For Innovative Technologies Fund’; 
and 
‘‘(B) remain available to the Secretary for 
expenditure, without further appropriation or 
fiscal year limitation, for administrative ex-
penses incurred in carrying out this title.’’. 
(d) WAGE RATE REQUIREMENTS.—Section 1702 of 
the Energy Policy Act of 2005 (42 U.S.C. 16512) is 
amended by adding at the end the following new sub-
section: 
‘‘(k) WAGE RATE REQUIREMENTS.—No loan guar-
antee shall be made under this title unless the borrower 
has provided to the Secretary reasonable assurances that 
all laborers and mechanics employed by contractors and 
subcontractors in the performance of construction work fi-
nanced in whole or in part by the guaranteed loan will 
be paid wages at rates not less than those prevailing on 
projects of a character similar to the contract work in the
268 
civil subdivision of the State in which the contract work 
is to be performed as determined by the Secretary of 
Labor in accordance with subchapter IV of chapter 31 of 
part A of subtitle II of title 40, United States Code. With 
respect to the labor standards specified in this subsection, 
the Secretary of Labor shall have the authority and func-
tions set forth in Reorganization Plan Numbered 14 of 
1950 (64 Stat. 1267; 5 U.S.C. App.) and section 3145 
of title 40, United States Code.’’. 
(e) SUBROGATION.—Section 1702(g)(2) of the En-
ergy Policy Act of 2005 (42 U.S.C. 16512(g)(2)) is 
amended by striking subparagraphs (B) and (C) and in-
serting the following: 
‘‘(B) SUPERIORITY OF RIGHTS.—Except as 
provided in subparagraph (C), the rights of the 
Secretary, with respect to any property ac-
quired pursuant to a guarantee or related 
agreements, shall be superior to the rights of 
any other person with respect to the property. 
‘‘(C) TERMS AND CONDITIONS.—A guar-
antee agreement shall include such detailed 
terms and conditions as the Secretary deter-
mines appropriate to— 
‘‘(i) protect the financial interests of 
the United States in the case of default;
269 
‘‘(ii) have available all the patents and 
technology necessary for any person se-
lected, including the Secretary, to complete 
and operate the project; 
‘‘(iii) provide for sharing the proceeds 
received from the sale of project assets 
with other creditors or control the disposi-
tion of project assets if necessary to pro-
tect the financial interests of the United 
States in the case of default; and 
‘‘(iv) provide such lien priority in 
project assets as necessary to protect the 
financial interests of the United States in 
the case of a default.’’. 
SEC. 182. PURPOSE. 
The purpose of sections 183 through 189 of this sub-
title is to promote the domestic development and deploy-
ment of clean energy technologies required for the 21st 
century through the establishment of a self-sustaining 
Clean Energy Deployment Administration that will pro-
vide for an attractive investment environment through 
partnership with and support of the private capital market 
in order to promote access to affordable financing for ac-
celerated and widespread deployment of— 
(1) clean energy technologies;
270 
(2) advanced or enabling energy infrastructure 
technologies; 
(3) energy efficiency technologies in residential, 
commercial, and industrial applications, including 
end-use efficiency in buildings; and 
(4) manufacturing technologies for any of the 
technologies or applications described in this section. 
SEC. 183. DEFINITIONS. 
In this subtitle: 
(1) ADMINISTRATION.—The term ‘‘Administra-
tion’’ means the Clean Energy Deployment Adminis-
tration established by section 186. 
(2) ADVISORY COUNCIL.—The term ‘‘Advisory 
Council’’ means the Energy Technology Advisory 
Council of the Administration. 
(3) BREAKTHROUGH TECHNOLOGY.—The term 
‘‘breakthrough technology’’ means a clean energy 
technology that— 
(A) presents a significant opportunity to 
advance the goals developed under section 185, 
as assessed under the methodology established 
by the Advisory Council; but 
(B) has generally not been considered a 
commercially ready technology as a result of
271 
high perceived technology risk or other similar 
factors. 
(4) CLEAN ENERGY TECHNOLOGY.—The term 
‘‘clean energy technology’’ means a technology re-
lated to the production, use, transmission, storage, 
control, or conservation of energy— 
(A) that will contribute to a stabilization of 
atmospheric greenhouse gas concentrations 
thorough reduction, avoidance, or sequestration 
of energy-related emissions and— 
(i) reduce the need for additional en-
ergy supplies by using existing energy sup-
plies with greater efficiency or by transmit-
ting, distributing, or transporting energy 
with greater effectiveness through the in-
frastructure of the United States; or 
(ii) diversify the sources of energy 
supply of the United States to strengthen 
energy security and to increase supplies 
with a favorable balance of environmental 
effects if the entire technology system is 
considered; and 
(B) for which, as determined by the Ad-
ministrator, insufficient commercial lending is
272 
available at affordable rates to allow for wide-
spread deployment. 
(5) COST.—The term ‘‘cost’’ has the meaning 
given the term in section 502 of the Federal Credit 
Reform Act of 1990 (2 U.S.C. 661a). 
(6) DIRECT LOAN.—The term ‘‘direct loan’’ has 
the meaning given the term in section 502 of the 
Federal Credit Reform Act of 1990 (2 U.S.C. 661a). 
(7) FUND.—The term ‘‘Fund’’ means the Clean 
Energy Investment Fund established by section 
184(a). 
(8) GREEN BONDS.—The term ‘‘Green Bonds’’ 
means bonds issued pursuant to section 184. 
(8) LOAN GUARANTEE.—The term ‘‘loan guar-
antee’’ has the meaning given the term in section 
502 of the Federal Credit Reform Act of 1990 (2 
U.S.C. 661a). 
(9) NATIONAL LABORATORY.—The term ‘‘Na-
tional Laboratory’’ has the meaning given the term 
in section 2 of the Energy Policy Act of 2005 (42 
U.S.C. 15801). 
(10) 
SECRETARY.—The 
term 
‘‘Secretary’’ 
means the Secretary of Energy. 
(11) STATE.—The term ‘‘State’’ means— 
(A) a State;
273 
(B) the District of Columbia; 
(C) the Commonwealth of Puerto Rico; 
and 
(D) any other territory or possession of the 
United States. 
(12) TECHNOLOGY
RISK.—The term ‘‘tech-
nology risk’’ means the risks during construction or 
operation associated with the design, development, 
and deployment of clean energy technologies (includ-
ing the cost, schedule, performance, reliability and 
maintenance, and accounting for the perceived risk), 
from the perspective of commercial lenders, that 
may be increased as a result of the absence of ade-
quate historical construction, operating, or perform-
ance data from commercial applications of the tech-
nology. 
SEC. 184. CLEAN ENERGY INVESTMENT FUND. 
(a) ESTABLISHMENT.—There is established in the 
Treasury of the United States a revolving fund, to be 
known as the ‘‘Clean Energy Investment Fund’’, con-
sisting of— 
(1) such amounts as are deposited in the Fund 
under this subtitle; and 
(2) such sums as may be appropriated to sup-
plement the Fund.
274 
(b) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated to the Fund such sums 
as are necessary to carry out this subtitle. 
(c) EXPENDITURES FROM FUND.— 
(1) IN GENERAL.—Amounts in the Fund shall 
be available to the Administrator of the Administra-
tion for obligation without fiscal year limitation, to 
remain available until expended. 
(2) ADMINISTRATIVE EXPENSES.— 
(A) FEES.—Fees collected for administra-
tive expenses shall be available without limita-
tion to cover applicable expenses. 
(B) FUND.—To the extent that adminis-
trative expenses are not reimbursed through 
fees, an amount not to exceed 1.5 percent of 
the amounts in the Fund as of the beginning of 
each fiscal year shall be available to pay the ad-
ministrative expenses for the fiscal year nec-
essary to carry out this subtitle. 
(d) TRANSFERS OF AMOUNTS.— 
(1) IN GENERAL.—The amounts required to be 
transferred to the Fund under this section shall be 
transferred at least monthly from the general fund 
of the Treasury to the Fund on the basis of esti-
mates made by the Secretary of the Treasury.
275 
(2) ADJUSTMENTS.—Proper adjustment shall 
be made in amounts subsequently transferred to the 
extent prior estimates were in excess of or less than 
the amounts required to be transferred. 
(3) CASH FLOWS.—Cash flows associated with 
costs of the Fund described in section 502(5)(B) of 
the Federal Credit Reform Act of 1990 (2 U.S.C. 
661a(5)(B)) shall be transferred to appropriate 
credit accounts. 
(e) GREEN BONDS.— 
(1) INITIAL
CAPITALIZATION.—The Secretary 
of the Treasury shall issue Green Bonds in the 
amount of $7,500,000,000 on the credit of the 
United States to acquire capital stock of the Admin-
istration. Stock certificates evidencing ownership in 
the Administration shall be issued by the Adminis-
tration to the Secretary of the Treasury, to the ex-
tent of payments made for the capital stock of the 
Administration. 
(2) DENOMINATIONS
AND
MATURITY.—Green 
Bonds shall be in such forms and denominations, 
and shall mature within such periods, as determined 
by the Secretary of the Treasury. 
(3) INTEREST.—Green Bonds shall bear inter-
est at a rate not less than the current average yield
276 
on outstanding market obligations of the United 
States of comparable maturity during the month 
preceding the issuance of the obligation as deter-
mined by the Secretary of the Treasury. 
(4) LAWFUL
INVESTMENTS.—Green Bonds 
shall be lawful investments, and may be accepted as 
security for all fiduciary, trust, and public funds, the 
investment or deposit of which shall be under the 
authority or control of the United States or any offi-
cer or officers thereof. 
SEC. 185. ENERGY TECHNOLOGY DEPLOYMENT GOALS. 
(a) GOALS.—Not later than 1 year after the date of 
enactment of this Act, the Secretary, after consultation 
with the Advisory Council, shall develop and publish for 
review and comment in the Federal Register recommended 
near-, medium-, and long-term goals (including numerical 
performance targets at appropriate intervals to measure 
progress toward those goals) for the deployment of clean 
energy technologies through the credit support programs 
established by section 187 to promote— 
(1) sufficient electric generating capacity using 
clean energy technologies to meet the energy needs 
of the United States; 
(2) clean energy technologies in vehicles and 
fuels that will substantially reduce the reliance of
277 
the United States on foreign sources of energy and 
insulate consumers from the volatility of world en-
ergy markets; 
(3) a domestic commercialization and manufac-
turing capacity that will establish the United States 
as a world leader in clean energy technologies across 
multiple sectors; 
(4) installation of sufficient infrastructure to 
allow for the cost-effective deployment of clean en-
ergy technologies appropriate to each region of the 
United States; 
(5) the transformation of the building stock of 
the United States to zero net energy consumption; 
(6) the recovery, use, and prevention of waste 
energy; 
(7) domestic manufacturing of clean energy 
technologies on a scale that is sufficient to achieve 
price parity with conventional energy sources; 
(8) domestic production of commodities and 
materials (such as steel, chemicals, polymers, and 
cement) using clean energy technologies so that the 
United States will become a world leader in environ-
mentally sustainable production of the commodities 
and materials;
278 
(9) a robust, efficient, and interactive electricity 
transmission grid that will allow for the incorpora-
tion of clean energy technologies, distributed genera-
tion, and demand-response in each regional electric 
grid; 
(10) sufficient availability of financial products 
to allow owners and users of residential, retail, com-
mercial, and industrial buildings to make energy ef-
ficiency and distributed generation technology in-
vestments with reasonable payback periods; 
(11) sufficient availability of financial services 
and support to small businesses developing and de-
ploying clean energy technologies through partner-
ships with private entities that have relevant credit 
expertise; and 
(12) such other goals as the Secretary, in con-
sultation with the Advisory Council, determines to be 
consistent with the purpose stated in section 182. 
(b) REVISIONS.—The Secretary shall revise the goals 
established under subsection (a), from time to time as ap-
propriate, to account for advances in technology and 
changes in energy policy. 
SEC. 186. CLEAN ENERGY DEPLOYMENT ADMINISTRATION. 
(a) ESTABLISHMENT.—
279 
(1) ESTABLISHMENT OF CORPORATION.—There 
is established a corporation to be known as the 
Clean Energy Deployment Administration that shall 
be wholly owned by the United States. 
(2) INDEPENDENT CORPORATION.—The Admin-
istration shall be an independent corporation. Nei-
ther the Administration nor any of its functions, 
powers, or duties shall be transferred to or consoli-
dated with any other department, agency, or cor-
poration of the Government unless the Congress pro-
vides otherwise. 
(3) CHARTER.—The Administration shall be 
chartered for 20 years from the date of enactment 
of this section. 
(4) STATUS.— 
(A) INSPECTOR GENERAL.—Section 12 of 
the Inspector General Act of 1978 (5 U.S.C. 
App.) is amended— 
(i) in paragraph (1), by inserting ‘‘the 
Administrator of the Clean Energy Deploy-
ment Administration;’’ after ‘‘Export-Im-
port Bank;’’; and 
(ii) in paragraph (2), by inserting 
‘‘the Clean Energy Deployment Adminis-
tration,’’ after ‘‘Export-Import Bank,’’.
280 
(3) OFFICES.— 
(A) PRINCIPAL OFFICE.—The Administra-
tion shall— 
(i) maintain the principal office of the 
Administration in the national capital re-
gion; and 
(ii) for purposes of venue in civil ac-
tions, be considered to be a resident of the 
District of Columbia. 
(B) OTHER OFFICES.—The Administration 
may establish other offices in such other places 
as the Administration considers necessary or 
appropriate for the conduct of the business of 
the Administration. 
(b) ADMINISTRATOR.— 
(1) IN
GENERAL.—The Administrator of the 
Administration shall be— 
(A) appointed by the President, with the 
advice and consent of the Senate, for a 5-year 
term; and 
(B) compensated at the prevailing rate for 
compensation for similar positions in industry. 
(2) DUTIES.—The Administrator of the Admin-
istration shall—
281 
(A) serve as the Chief Executive Officer of 
the Administration and Chairman of the Board; 
(B) ensure that— 
(i) the Administration operates in a 
safe and sound manner, including mainte-
nance of adequate capital and internal con-
trols (consistent with section 404 of the 
Sarbanes-Oxley Act of 2002 (15 U.S.C. 
7262)); 
(ii) the operations and activities of the 
Administration foster liquid, efficient, com-
petitive, and resilient energy and energy ef-
ficiency finance markets; 
(iii) the Administration carries out the 
purpose stated in section 182 only through 
activities that are authorized under and 
consistent with sections 182 through 189; 
and 
(iv) the activities of the Administra-
tion and the manner in which the Adminis-
tration is operated are consistent with the 
public interest; 
(C) develop policies and procedures for the 
Administration that will—
282 
(i) promote a self-sustaining portfolio 
of investments that will maximize the value 
of investments to effectively promote clean 
energy technologies; 
(ii) promote transparency and open-
ness in Administration operations; 
(iii) afford the Administration with 
sufficient flexibility to meet the purpose 
stated in section 182; and 
(iv) provide for the efficient proc-
essing of applications; and 
(D) with the concurrence of the Board, set 
expected loss reserves for the support provided 
by the Administration consistent with section 
187(c). 
(c) BOARD OF DIRECTORS.— 
(1) IN GENERAL.—The Board of Directors of 
the Administration shall consist of— 
(A) the Secretary or the designee of the 
Secretary, who shall serve as an ex-officio mem-
ber of the Board of Directors; 
(B) the Secretary of the Treasury or the 
designee of the Secretary, who shall serve as an 
ex-officio member of the Board of Directors;
283 
(C) the Secretary of the Interior or the 
designee of the Secretary, who shall serve as an 
ex-officio member of the Board of Directors; 
(D) the Secretary of Agriculture or the 
designee of the Secretary, who shall serve as an 
ex officio member of the Board of Directors; 
(E) the Administrator of the Administra-
tion, who shall serve as the Chairman of the 
Board of Directors; and 
(F) 4 additional members who shall— 
(i) be appointed by the President, 
with the advice and consent of the Senate, 
for staggered 5-year terms; and 
(ii) have experience in banking, finan-
cial services, technology assessment, energy 
regulation, or risk management, including 
individuals with substantial experience in 
the development of energy projects, the 
electricity generation sector, the transpor-
tation sector, the manufacturing sector, 
and the energy efficiency sector. 
(2) DUTIES.—The Board of Directors shall— 
(A) oversee the operations of the Adminis-
tration and ensure industry best practices are
284 
followed in all financial transactions involving 
the Administration; 
(B) consult with the Administrator of the 
Administration on the general policies and pro-
cedures of the Administration to ensure the in-
terests of the taxpayers are protected; 
(C) ensure the portfolio of investments are 
consistent with purpose stated in section 182 
and with the long-term financial stability of the 
Administration; 
(D) ensure that the operations and activi-
ties of the Administration are consistent with 
the development of a robust private sector that 
can provide commercial loans or financing prod-
ucts; and 
(E) not serve on a full-time basis, except 
that the Board of Directors shall meet at least 
quarterly to review, as appropriate, applications 
for credit support and set policies and proce-
dures as necessary. 
(3) REMOVAL.—An appointed member of the 
Board of Directors may be removed from office by 
the President for good cause. 
(4) VACANCIES.—An appointed seat on the 
Board of Directors that becomes vacant shall be
285 
filled by appointment by the President, but only for 
the unexpired portion of the term of the vacating 
member. 
(5) COMPENSATION
OF
MEMBERS.—An ap-
pointed member of the Board of Directors shall be 
compensated at the prevailing rate for compensation 
for similar positions in industry. 
(d) ENERGY TECHNOLOGY ADVISORY COUNCIL.— 
(1) IN
GENERAL.—The Administration shall 
have an Energy Technology Advisory Council con-
sisting of 8 members selected by the Board of Direc-
tors of the Administration. 
(2) QUALIFICATIONS.—The members of the Ad-
visory Council shall— 
(A) have clean energy project development, 
clean energy finance, commercial, and/or rel-
evant scientific expertise; and 
(B) include representatives of— 
(i) the academic community; 
(ii) the private research community; 
(iii) National Laboratories; 
(iv) the technology or project develop-
ment community; and 
(v) the commercial energy financing 
and operations sector.
286 
(3) DUTIES.—The Advisory Council shall— 
(A) develop and publish for comment in 
the Federal Register a methodology for assess-
ment of clean energy technologies that will 
allow the Administration to evaluate projects 
based on the progress likely to be achieved per- 
dollar invested in maximizing the attributes of 
the definition of clean energy technology, taking 
into account the extent to which support for a 
clean energy technology is likely to accrue sub-
sequent benefits that are attributable to a com-
mercial scale deployment taking place earlier 
than that which otherwise would have occurred 
without the support; and 
(B) advise on the technological approaches 
that should be supported by the Administration 
to meet the technology deployment goals estab-
lished by the Secretary pursuant to section 185. 
(4) TERM.— 
(A) IN GENERAL.—Members of the Advi-
sory Council shall have 5-year staggered terms, 
as determined by the Administrator of the Ad-
ministration. 
(B) REAPPOINTMENT.—A member of the 
Advisory Council may be reappointed.
287 
(5) COMPENSATION.—A member of the Advi-
sory Council, who is not otherwise compensated as 
a Federal employee, shall be compensated at a rate 
equal to the daily equivalent of the annual rate of 
basic pay prescribed for level IV of the Executive 
Schedule under section 5315 of title 5, United 
States Code, for each day (including travel time) 
during which the member is engaged in the perform-
ance of the duties of the Advisory Council. 
(e) STAFF.— 
(1) IN
GENERAL.—The Administrator of the 
Administration, in consultation with the Board of 
Directors, may— 
(A) appoint and terminate such officers, 
attorneys, employees, and agents as are nec-
essary to carry out this subtitle; and 
(B) vest those personnel with such powers 
and duties as the Administrator of the Adminis-
tration may determine. 
(f) CONFLICTS OF INTEREST.—No director, officer, 
attorney, agent, or employee of the Administration shall 
in any manner, directly or indirectly, participate in the 
deliberation upon, or the determination of, any question 
affecting such individual’s personal interests, or the inter-
ests of any corporation, partnership, or association in
288 
which such individual is directly or indirectly personally 
interested. 
(g) SUNSET.— 
(1) EXPIRATION OF CHARTER.—The Adminis-
tration shall continue to exercise its functions until 
all obligations and commitments of the Administra-
tion are discharged, even after its charter has ex-
pired. 
(2) PRIOR OBLIGATIONS.—No provisions of this 
subsection shall be construed as preventing the Ad-
ministration from— 
(A) undertaking obligations prior to the 
date of the expiration of its charter which ma-
ture subsequent to such date; 
(B) assuming, prior to the date of the ex-
piration of its charter, liability as guarantor, 
endorser, or acceptor of obligations which ma-
ture subsequent to such date; or 
(C) continuing as a corporation and exer-
cising any of its functions subsequent to the 
date of the expiration of its charter for pur-
poses of orderly liquidation, including the ad-
ministration of its assets and the collection of 
any obligations held by the Administration.
289 
SEC. 187. DIRECT SUPPORT. 
(a) IN GENERAL.—The Administration may issue di-
rect loans, letters of credit, and loan guarantees to deploy 
clean energy technologies if the Administrator of the Ad-
ministration has determined that deployment of the tech-
nologies would benefit or be accelerated by the support. 
(b) ELIGIBILITY CRITERIA.—In carrying out this sec-
tion and awarding credit support to projects, the Adminis-
trator of the Administration shall account for— 
(1) how the technology rates based on an eval-
uation methodology established by the Advisory 
Council; 
(2) how the project fits with the goals estab-
lished under section 185; and 
(3) the potential for the applicant to success-
fully complete the project. 
(c) RISK.— 
(1) EXPECTED LOAN LOSS RESERVE.—The Ad-
ministrator of the Administration shall establish an 
expected loan loss reserve to account for estimated 
losses attributable to activities under this section 
that is consistent with the purposes of— 
(A) developing breakthrough technologies 
to the point at which technology risk is largely 
mitigated;
290 
(B) achieving widespread deployment and 
advancing the commercial viability of clean en-
ergy technologies; and 
(C) advancing the goals established under 
section 185. 
(2) INITIAL EXPECTED LOAN LOSS RESERVE.— 
Until such time as the Administrator of the Admin-
istration determines sufficient data exist to establish 
an expected loan loss reserve that is appropriate, the 
Administrator of the Administration shall consider 
establishing an initial rate of 10 percent for the 
portfolio of investments under this subtitle. 
(3) PORTFOLIO INVESTMENT APPROACH.—The 
Administration shall— 
(A) use a portfolio investment approach to 
mitigate risk and diversify investments across 
technologies and ensure that no particular tech-
nology is provided more than 30 percent of the 
financial support available; 
(B) to the maximum extent practicable and 
consistent with long-term self-sufficiency, weigh 
the portfolio of investments in projects to ad-
vance the goals established under section 185; 
(C) consistent with the expected loan loss 
reserve established under this subsection, the
291 
purpose stated in section 182, and section 
186(b)(2)(B), provide the maximum practicable 
percentage of support to promote breakthrough 
technologies; and 
(D) give the highest priority to investments 
that promote technologies that will achieve the 
maximum greenhouse gas emission reductions 
within a reasonable period of time per dollar in-
vested and the earliest reductions in greenhouse 
gas emissions. 
(4) LOSS RATE REVIEW.— 
(A) IN GENERAL.—The Board of Directors 
shall review on an annual basis the loss rates 
of the portfolio to determine the adequacy of 
the reserves. 
(B) REPORT.—Not later than 90 days 
after the date of the initiation of the review, the 
Administrator of the Administration shall sub-
mit to the Committee on Energy and Natural 
Resources and the Committee on Finance of the 
Senate, and the Committee on Energy and 
Commerce and the Committee on Ways and 
Means of the House of Representatives a report 
describing the results of the review and any rec-
ommended policy changes.
292 
(5) FEDERAL COST SHARE.—Direct loans, let-
ters of credit and loan guarantees by the Adminis-
tration shall not exceed an amount equal to 80 per-
cent of the project cost of the facility that is the 
subject of the loan, letter of credit or loan guar-
antee, as estimated at the time at which the loan, 
letter of credit or loan guarantee is issued. 
(d) APPLICATION REVIEW.— 
(1) IN
GENERAL.—To the maximum extent 
practicable and consistent with sound business prac-
tices, the Administration shall seek to consolidate re-
views of applications for credit support under this 
subtitle such that final decisions on applications can 
generally be issued not later than 180 days after the 
date of submission of a completed application. 
(2) ENVIRONMENTAL REVIEW.—In carrying out 
this subtitle, the Administration shall, to the max-
imum extent practicable— 
(A) avoid duplicating efforts that have al-
ready been undertaken by other agencies (in-
cluding State agencies acting under Federal 
programs); and 
(B) with the advice of the Council on Envi-
ronmental Quality and any other applicable 
agencies, use the administrative records of simi-
293 
lar reviews conducted throughout the executive 
branch to develop the most expeditious review 
process practicable. 
(e) WAGE RATE REQUIREMENTS.— 
(1) IN GENERAL.—No credit support shall be 
issued under this section unless the borrower has 
provided to the Administrator of the Administration 
reasonable assurances that all laborers and mechan-
ics employed by contractors and subcontractors in 
the performance of construction work financed in 
whole or in part by the Administration will be paid 
wages at rates not less than those prevailing on 
projects of a character similar to the contract work 
in the civil subdivision of the State in which the con-
tract work is to be performed as determined by the 
Secretary of Labor in accordance with subchapter 
IV of chapter 31 of part A of subtitle II of title 40, 
United States Code. 
(2) LABOR STANDARDS.—With respect to the 
labor standards specified in this subsection, the Sec-
retary of Labor shall have the authority and func-
tions set forth in Reorganization Plan Numbered 14 
of 1950 (64 Stat. 1267; 5 U.S.C. App.) and section 
3145 of title 40, United States Code.
294 
(f) LIMITATIONS.—(1) The Administration shall not 
provide direct support as defined under this section or in-
direct support as defined under section 188 to an indi-
vidual clean energy technology project that obtained a loan 
guarantee under title XVII of the Energy Policy Act of 
2005. 
(2) No direct or indirect support provided by the Ad-
ministration may be used to pay any part of the cost of 
an obligation or a loan guarantee under title XVII of the 
Energy Policy Act of 2005. 
SEC. 188. INDIRECT SUPPORT. 
(a) IN GENERAL.—For the purpose of enhancing the 
availability of private financing for clean energy tech-
nology deployment, the Administration may— 
(1) provide credit support to portfolios of tax-
able debt obligations originated by state, local, and 
private sector entities that enable owners and users 
of buildings and industrial facilities to— 
(A) significantly increase the energy effi-
ciency of such buildings or facilities; or 
(B) install systems that individually gen-
erate electricity from renewable energy re-
sources and have a capacity of no more than 2 
megawatts;
295 
(2) facilitate financing transactions in tax eq-
uity markets and long-term purchasing of clean en-
ergy by state, local, and non-governmental not-for- 
profit entities, to the degree and extent that the Ad-
ministration determines such financing activity is 
appropriate and consistent with carrying out the 
purposes described in Section 182 of this Act; and 
(3) provide credit support to portfolios of tax-
able debt obligations originated by state, local, and 
private sector entities that enable the deployment of 
energy storage applications for electric drive vehi-
cles, stationary applications, and electricity trans-
mission and distribution. 
(b) DEFINITIONS.—For purposes of the section: 
(1) CREDIT SUPPORT.—The term ‘‘credit sup-
port’’ means— 
(A) direct loans, letters of credit, loan 
guarantees, and insurance products; and 
(B) the purchase or commitment to pur-
chase, or the sale or commitment to sell, debt 
instruments (including subordinated securities). 
(2) RENEWABLE
ENERGY
RESOURCE.—The 
term ‘‘renewable energy resource’’ shall have the 
meaning given that term in section 610 of the Public
296 
Utility Regulatory Policies Act of 1978 (as added by 
section 101 of this Act). 
(c) TRANSPARENCY.—The Administration shall seek 
to foster through its credit support activities— 
(1) the development and consistent application 
of standard contractual terms, transparent under-
writing standards and consistent measurement and 
verification protocols, as applicable; and 
(2) the creation of performance data that pro-
motes effective underwriting and risk management 
to support lending markets and stimulate the devel-
opment of private investment markets. 
(d) EXEMPT SECURITIES.—All securities insured or 
guaranteed by the Administration shall, to the same ex-
tent as securities that are direct obligations of or obliga-
tions guaranteed as to the principal or interest by the 
United States, be considered to be exempt securities with-
in the meaning of the laws administered by the Securities 
and Exchange Commission. 
SEC. 189. FEDERAL CREDIT AUTHORITY. 
(a) PAYMENTS OF LIABILITIES.— 
(1) IN GENERAL.—Any payment made to dis-
charge liabilities arising from agreements under this 
subtitle shall be paid exclusively out of the Fund or 
the associated credit account, as appropriate.
297 
(2) SECURITY.—Subject to paragraph (1), the 
full faith and credit of the United States is pledged 
to the payment of all obligations entered into by the 
Administration pursuant to this subtitle. 
(b) FEES.— 
(1) IN
GENERAL.—Consistent with achieving 
the purpose stated in section 182, the Administrator 
of the Administration shall charge fees or collect 
compensation generally in accordance with commer-
cial rates. 
(2) AVAILABILITY OF FEES.—All fees collected 
by the Administration may be retained by the Ad-
ministration and placed in the Fund and may re-
main available to the Administration, without fur-
ther appropriation or fiscal year limitation, for use 
in carrying out the purpose stated in section 182. 
(3) BREAKTHROUGH TECHNOLOGIES.—The Ad-
ministration shall charge the minimum amount in 
fees or compensation practicable for breakthrough 
technologies, consistent with the long-term viability 
of the Administration, unless the Administration 
first determines that a higher charge will not impede 
the development of the technology. 
(4) ALTERNATIVE FEE ARRANGEMENTS.—The 
Administration may use such alternative arrange-
298 
ments (such as profit participation, contingent fees, 
and other valuable contingent interests) as the Ad-
ministration considers appropriate to compensate the 
Administration for the expenses of the Administra-
tion and the risk inherent in the support of the Ad-
ministration. 
(c) COST TRANSFER AUTHORITY.—Amounts col-
lected by the Administration for the cost of a loan or loan 
guarantee shall be transferred by the Administration to 
the respective credit accounts. 
SEC. 190. GENERAL PROVISIONS. 
(a) IMMUNITY FROM IMPAIRMENT, LIMITATION, OR 
RESTRICTION.— 
(1) IN GENERAL.—All rights and remedies of 
the Administration (including any rights and rem-
edies of the Administration on, under, or with re-
spect to any mortgage or any obligation secured by 
a mortgage) shall be immune from impairment, limi-
tation, or restriction by or under— 
(A) any law (other than a law enacted by 
Congress expressly in limitation of this para-
graph) that becomes effective after the acquisi-
tion by the Administration of the subject or 
property on, under, or with respect to which the
299 
right or remedy arises or exists or would so 
arise or exist in the absence of the law; or 
(B) any administrative or other action that 
becomes effective after the acquisition. 
(2) STATE LAW.—The Administrator of the Ad-
ministration may conduct the business of the Ad-
ministration without regard to any qualification or 
law of any State relating to incorporation. 
(b) USE OF OTHER AGENCIES.—With the consent of 
a department, establishment, or instrumentality (including 
any field office), the Administration may— 
(1) use and act through any department, estab-
lishment, or instrumentality; and 
(2) use, and pay compensation for, information, 
services, facilities, and personnel of the department, 
establishment, or instrumentality. 
(c) FINANCIAL MATTERS.— 
(1) INVESTMENTS.—Funds of the Administra-
tion may be invested in such investments as the 
Board of Directors may prescribe. Earnings from 
such funds, other than fees collected under section 
189, may be spent by the Administration only to 
such extent or in such amounts as are provided in 
advance by appropriation Acts.
300 
(2) FISCAL
AGENTS.—Any Federal Reserve 
bank or any bank as to which at the time of the des-
ignation of the bank by the Administrator of the Ad-
ministration there is outstanding a designation by 
the Secretary of the Treasury as a general or other 
depository of public money, may be designated by 
the Administrator of the Administration as a deposi-
tary or custodian or as a fiscal or other agent of the 
Administration. 
(d) PERIODIC REPORTS.—Not later than 1 year after 
commencement of operation of the Administration and at 
least biannually thereafter, the Administrator of the Ad-
ministration shall submit to the Committee on Energy and 
Natural Resources and the Committee on Finance of the 
Senate and the Committee on Energy and Commerce and 
the Committee on Ways and Means of the House of Rep-
resentatives a report that includes a description of— 
(1) the technologies supported by activities of 
the Administration and how the activities advance 
the purpose stated in section 182; and 
(2) the performance of the Administration on 
meeting the goals established under section 185. 
(g) AUDITS BY THE COMPTROLLER GENERAL.— 
(1) IN GENERAL.—The programs, activities, re-
ceipts, expenditures, and financial transactions of
301 
the Administration shall be subject to audit by the 
Comptroller General of the United States under 
such rules and regulations as may be prescribed by 
the Comptroller General. 
(2) ACCESS.—The representatives of the Gov-
ernment Accountability Office shall— 
(A) have access to the personnel and to all 
books, accounts, documents, records (including 
electronic records), reports, files, and all other 
papers, automated data, things, or property be-
longing to, under the control of, or in use by 
the Administration, or any agent, representa-
tive, attorney, advisor, or consultant retained by 
the Administration, and necessary to facilitate 
the audit; 
(B) be afforded full facilities for verifying 
transactions with the balances or securities held 
by depositories, fiscal agents, and custodians; 
(C) be authorized to obtain and duplicate 
any such books, accounts, documents, records, 
working papers, automated data and files, or 
other information relevant to the audit without 
cost to the Comptroller General; and
302 
(D) have the right of access of the Comp-
troller General to such information pursuant to 
section 716(c) of title 31, United States Code. 
(3) ASSISTANCE AND COST.— 
(A) IN GENERAL.—For the purpose of con-
ducting an audit under this subsection, the 
Comptroller General may, in the discretion of 
the Comptroller General, employ by contract, 
without regard to section 3709 of the Revised 
Statutes (41 U.S.C. 5), professional services of 
firms and organizations of certified public ac-
countants for temporary periods or for special 
purposes. 
(B) REIMBURSEMENT.— 
(i) IN GENERAL.—On the request of 
the Comptroller General, the Administra-
tion shall reimburse the Government Ac-
countability Office for the full cost of any 
audit conducted by the Comptroller Gen-
eral under this subsection. 
(ii) 
CREDITING.—Such 
reimburse-
ments shall— 
(I) be credited to the appropria-
tion account entitled ‘‘Salaries and 
Expenses, Government Accountability
303 
Office’’ at the time at which the pay-
ment is received; and 
(II) remain available until ex-
pended. 
(h) ANNUAL INDEPENDENT AUDITS.— 
(1) IN
GENERAL.—The Administrator of the 
Administration shall— 
(A) have an annual independent audit 
made of the financial statements of the Admin-
istration by an independent public accountant 
in accordance with generally accepted auditing 
standards; and 
(B) submit to the Secretary and to the 
Committee on Energy and Natural Resources 
and the Committee on Finance of the Senate 
and the Committee on Energy and Commerce 
and the Committee on Ways and Means of the 
House the results of the audit. 
(2) CONTENT.—In conducting an audit under 
this subsection, the independent public accountant 
shall determine and report on whether the financial 
statements of the Administration— 
(A) are presented fairly in accordance with 
generally accepted accounting principles; and
304 
(B) comply with any disclosure require-
ments imposed under this subtitle. 
(i) FINANCIAL REPORTS.— 
(1) IN
GENERAL.—The Administrator of the 
Administration shall submit to the Secretary and to 
the Committee on Energy and Natural Resources 
and the Committee on Finance of the Senate and 
the Committee on Energy and Commerce and the 
Committee on Ways and Means of the House annual 
and quarterly reports of the financial condition and 
operations of the Administration, which shall be in 
such form, contain such information, and be sub-
mitted on such dates as the Secretary shall require. 
(2) CONTENTS
OF
ANNUAL
REPORTS.—Each 
annual report shall include— 
(A) financial statements prepared in ac-
cordance with generally accepted accounting 
principles; 
(B) any supplemental information or alter-
native presentation that the Secretary may re-
quire; and 
(C) an assessment (as of the end of the 
most recent fiscal year of the Administration), 
signed by the chief executive officer and chief
306 
(j) SPENDING SAFEGUARDS AND REPORTING.— 
(1) IN GENERAL.—The Administrator— 
(A) shall require any entity receiving fi-
nancing support from the Administration to re-
port quarterly, in a format specified by the Ad-
ministrator, on such entity’s use of such sup-
port and its progress fulfilling the objectives for 
which such support was granted, and the Ad-
ministrator shall make these reports available 
to the public; 
(B) may establish additional reporting and 
information requirements for any recipient of fi-
nancing support from the Administration; 
(C) shall establish appropriate mechanisms 
to ensure appropriate use and compliance with 
all terms of any financing support from the Ad-
ministration; 
(D) shall create and maintain a fully 
searchable database, accessible on the Internet 
(or successor protocol) at no cost to the public, 
that contains at least— 
(i) a list of each entity that has ap-
plied for financing support; 
(ii) a description of each application;
307 
(iii) the status of each such applica-
tion; 
(iv) the name of each entity receiving 
financing support; 
(v) the purpose for which such entity 
is receiving such financing support; 
(vi) each quarterly report submitted 
by the entity pursuant to this section; and 
(vii) such other information sufficient 
to allow the public to understand and mon-
itor the financial support provided by the 
Administration; 
(E) shall make all financing transactions 
available for public inspection, including formal 
annual reviews by both a private auditor and 
the Comptroller General; and 
(F) shall at all times be available to receive 
public comment in writing on the activities of 
the Administration. 
(2) PROTECTION OF CONFIDENTIAL BUSINESS 
INFORMATION.—To the extent necessary and appro-
priate, the Administrator may redact any informa-
tion regarding applicants and borrowers to protect 
confidential business information.
308 
SEC. 191. CONFORMING AMENDMENTS. 
(a) TAX EXEMPT STATUS.—Subsection (l) of section 
501 of the Internal Revenue Code of 1986 is amended by 
adding at the end the following: 
‘‘(4) The Clean Energy Deployment Adminis-
tration established under section 186 of the Amer-
ican Clean Energy and Security Act of 2009.’’. 
(b) WHOLLY
OWNED
GOVERNMENT
CORPORA-
TION.—Paragraph (3) of section 9101 of title 31, United 
States Code, is amended by adding at the end the fol-
lowing: 
‘‘(S) the Clean Energy Deployment Admin-
istration.’’. 
Subtitle J—Miscellaneous 
SEC. 195. INCREASED HYDROELECTRIC GENERATION AT 
EXISTING FEDERAL FACILITIES. 
(a) IN GENERAL.—The Secretary of the Interior, the 
Secretary of Energy, and the Secretary of the Army shall 
jointly update the study of the potential for increasing 
electric power production capability at federally owned or 
operated water regulation, storage, and conveyance facili-
ties required in section 1834 of the Energy Policy Act of 
2005. 
(b) CONTENT.—The update under this section shall 
include identification and description in detail of each fa-
cility that is capable, with or without modification, of pro-
309 
ducing additional hydroelectric power, including esti-
mation of the existing potential for the facility to generate 
hydroelectric power. 
(c) REPORT.—The Secretaries shall submit to the 
Committees on Energy and Commerce, Natural Re-
sources, and Transportation and Infrastructure of the 
House of Representatives and the Committee on Energy 
and Natural Resources of the Senate a report on the find-
ings, conclusions, and recommendations of the update of 
the study under this section by not later than 12 months 
after the date of enactment of this Act. The report shall 
include each of the following: 
(1) The identifications, descriptions, and esti-
mations referred to in subsection (b). 
(2) A description of activities currently con-
ducted or considered, or that could be considered, to 
produce additional hydroelectric power from each 
identified facility. 
(3) A summary of prior actions taken by the 
Secretaries to produce additional hydroelectric power 
from each identified facility. 
(4) The costs to install, upgrade, or modify 
equipment or take other actions to produce addi-
tional hydroelectric power from each identified facil-
310 
ity, and the level of Federal power customer involve-
ment in the determination of such costs. 
(5) The benefits that would be achieved by such 
installation, upgrade, modification, or other action, 
including quantified estimates of any additional en-
ergy or capacity from each facility identified under 
subsection (b). 
(6) A description of actions that are planned, 
underway, or might reasonably be considered to in-
crease hydroelectric power production by replacing 
turbine runners, by performing generator upgrades 
or rewinds, or by construction of pumped storage fa-
cilities. 
(7) The impact of increased hydroelectric power 
production on irrigation, water supply, fish, wildlife, 
Indian tribes, river health, water quality, navigation, 
recreation, fishing, and flood control. 
(8) Any additional recommendations to increase 
hydroelectric power production from, and reduce 
costs and improve efficiency at, federally owned or 
operated water regulation, storage, and conveyance 
facilities.
311 
SEC. 196. CLEAN TECHNOLOGY BUSINESS COMPETITION 
GRANT PROGRAM. 
(a) IN GENERAL.—The Secretary of Energy is au-
thorized to provide grants to organizations to conduct 
business competitions that provide incentives, training, 
and mentorship to entrepreneurs, including minority- 
owned and woman-owned, and early stage start-up compa-
nies throughout the United States to meet high priority 
economic, environmental, and energy security goals in 
areas to include energy efficiency, renewable energy, air 
quality, water quality and conservation, transportation, 
smart grid, green building, and waste management. Such 
competitions shall have the purpose of accelerating the de-
velopment and deployment of clean technology businesses 
and green jobs; stimulating green economic development; 
providing business training and mentoring to early stage 
clean technology companies; and strengthening the com-
petitiveness of United States clean technology industry in 
world trade markets. Priority shall be given to business 
competitions that are private sector led, encourage re-
gional and interregional cooperation, and can demonstrate 
market-driven practices and show the creation of cost-ef-
fective green jobs through an annual publication of com-
petition activities and directory of companies. 
(b) ELIGIBILITY.—An organization eligible for a 
grant under subsection (a) is—
312 
(1) any organization described in section 
501(c)(3) of the Internal Revenue Code of 1986 and 
exempt from tax under section 501(a) of such Code; 
and 
(2) any sponsored entity of an organization de-
scribed in paragraph (1) that is operated as a non-
profit entity. 
(c) PRIORITY.—In making grants under this section, 
the Secretary shall give priority to those organizations 
that can demonstrate broad funding support from private 
and other non-Federal funding sources to leverage Federal 
investment. 
(d) AUTHORIZATION OF APPROPRIATIONS.—For the 
purpose of carrying out this section, there are authorized 
to be appropriated $20,000,000. 
SEC. 197. NATIONAL BIOENERGY PARTNERSHIP. 
(a) IN GENERAL.—The Secretary of Energy shall es-
tablish a National Bioenergy Partnership to provide co-
ordination among programs of State governments, the 
Federal Government, and the private sector that support 
the institutional and physical infrastructure necessary to 
promote the deployment of sustainable biomass fuels and 
bioenergy technologies for the United States. 
(b) PROGRAM.—The National Bioenergy Partnership 
shall consist of five regions, to be administered by the
313 
CONEG Policy Research Center, the Council of Great 
Lakes Governors, the Southern States Energy Board, the 
Western Governors Association, and the Pacific Regional 
Biomass Energy Partnership led by the Washington State 
University Energy Program. 
(c) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated for each of fiscal years 
2010 through 2014 to carry out this section— 
(1) $5,000,000, to be allocated among the 5 re-
gions described in subsection (b) on the basis of the 
number of States in each region, for distribution 
among the member States of that region based on 
procedures developed by the member States of the 
region; and 
(2) $2,500,000, to be allocated equally among 
the 5 regions described in subsection (b) for region- 
wide activities, including technical assistance and re-
gional studies and coordination. 
SEC. 198. OFFICE OF CONSUMER ADVOCACY. 
Section 319 of the Federal Power Act is amended to 
read as follows: 
‘‘SEC. 319. OFFICE OF CONSUMER ADVOCACY. 
‘‘(a) OFFICE.— 
‘‘(1) ESTABLISHMENT.—There is established 
within the Commission an Office of Consumer Advo-
314 
cacy to serve as an advocate for the public interest. 
The Office of Administrative Litigation within the 
Commission shall be incorporated into the Office of 
Consumer Advocacy. 
‘‘(2) DIRECTOR.—The Office shall be headed by 
a Director to be appointed by the President by and 
with the advice and consent of the Senate from 
among individuals who are licensed attorneys admit-
ted to the Bar of any State or of the District of Co-
lumbia and who have experience in public utility pro-
ceedings. 
‘‘(3) DUTIES.—The Office may— 
‘‘(A) represent the interests of energy cus-
tomers— 
‘‘(i) on matters before the Commission 
concerning rates or service of public utili-
ties and natural gas companies under the 
jurisdiction of the Commission; 
‘‘(ii) as amicus curiae, in the review in 
the courts of the United States of rulings 
by the Commission in such matters; and 
‘‘(iii) as amicus, in hearings and pro-
ceedings in other Federal regulatory agen-
cies and commissions related to such mat-
ters;
315 
‘‘(B) monitor and review energy customer 
complaints and grievances on matters con-
cerning rates or service of public utilities and 
natural gas companies under the jurisdiction of 
the Commission; 
‘‘(C) investigate independently, or within 
the context of formal proceedings, the services 
provided by, the rates charged by, and the valu-
ation of the properties of, public utilities and 
natural gas companies under the jurisdiction of 
the Commission; 
‘‘(D) develop means, such as public dis-
semination of information, consultative services, 
and technical assistance, to ensure, to the max-
imum extent practicable, that the interests of 
energy consumers are adequately represented in 
the course of any hearing or proceeding de-
scribed in subparagraph (A); 
‘‘(E) collect data concerning rates or serv-
ice of public utilities and natural gas companies 
under the jurisdiction of the Commission; and 
‘‘(F) prepare and issue reports and rec-
ommendations.
316 
‘‘(4) COMPENSATION AND POWERS.—The Di-
rector shall be compensated at Level IV of the Exec-
utive Schedule. The Director may— 
‘‘(A) employ not more than 25 full-time 
professional employees at appropriate levels in 
the GS Scale and such additional support per-
sonnel as required; and 
‘‘(B) procure temporary and intermittent 
services as needed. 
‘‘(5) INFORMATION
FROM
OTHER
FEDERAL 
AGENCIES.—The Director may request, from any de-
partment, agency, or instrumentality of the United 
States such information as he deems necessary to 
carry out his functions under this section. Upon 
such request, the head of the department, agency, or 
instrumentality concerned shall, to the extent prac-
ticable and authorized by law, provide such informa-
tion to the Office. 
‘‘(b) 
CONSUMER
ADVOCACY
ADVISORY
COM-
MITTEE.— 
‘‘(1) ESTABLISHMENT.—The Director shall es-
tablish an advisory committee to be known as Con-
sumer Advocacy Advisory Committee (in this section 
referred to as the ‘Advisory Committee’) to review
317 
rates, services, and disputes and to make rec-
ommendations to the Director. 
‘‘(2) COMPOSITION.—The Director shall ap-
point 5 members to the Advisory Committee includ-
ing— 
‘‘(A) 2 individuals representing State util-
ity consumer advocates; and 
‘‘(B) 1 individual, from a nongovernmental 
organization representing consumers. 
‘‘(3) MEETINGS.—The Advisory Committee 
shall meet at such frequency as may be required to 
carry out its duties. 
‘‘(4) REPORTS.—The Director shall provide for 
the publication of recommendations of the Advisory 
Committee on the public website established for the 
Office. 
‘‘(5) DURATION.—Notwithstanding any other 
provision of law, the Advisory Committee shall con-
tinue in operation during the period for which the 
Office exists. 
‘‘(c) DEFINITIONS.— 
‘‘(1) ENERGY
CUSTOMER.—The term ‘energy 
customer’ means a residential customer or a small 
commercial customer that receives products or serv-
ices directly or indirectly from a public utility or
318 
natural gas company under the jurisdiction of the 
Commission. 
‘‘(2) NATURAL GAS COMPANY.—The term ‘nat-
ural gas company’ has the meaning given the term 
in section 2 of the Natural Gas Act (15 U.S.C. 
717a), as modified by section 601(a) of the Natural 
Gas Policy Act of 1978 (15 U.S.C. 3431(a)). 
‘‘(3) OFFICE.—The term ‘Office’ means the Of-
fice of Consumer Advocacy established under this 
section. 
‘‘(4) PUBLIC UTILITY.—The term ‘public util-
ity’ has the meaning given the term in section 
201(e) of this Act. 
‘‘(5) SMALL
COMMERCIAL
CUSTOMER.—The 
term ‘small commercial customer’ means a commer-
cial customer that has a peak demand of not more 
than 1,000 kilowatts per hour. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There 
are authorized to be appropriated such sums as necessary 
to carry out this section. 
‘‘(e) SAVINGS CLAUSE.—Nothing in this section af-
fects the rights or obligations of any State utility con-
sumer advocate.’’.
319 
SEC. 199. DEVELOPMENT CORPORATION FOR RENEWABLE 
POWER BORROWING AUTHORITY. 
(a) DETERMINATION.—No later than 6 months after 
the date of enactment of this Act, the Secretary of Energy, 
in coordination with the Secretary of Commerce, shall— 
(1) determine any geographic area within the 
contiguous United States that lacks a Federal power 
marketing agency; 
(2) develop a plan or criteria for the geographic 
areas identified in paragraph (1) regarding invest-
ment in renewable energy and associated infrastruc-
ture within an area identified in paragraph (1); and 
(3) identify any Federal agency within an area 
in paragraph (1) that has, or could develop, the abil-
ity to facilitate the investment in paragraph (2). 
(b) REPORT.—The Secretary of Energy, in coordina-
tion with the Secretary of Commerce, shall provide the de-
terminations made under subsection (a) to the Committee 
on Energy and Commerce of the House of Representa-
tives. 
(c) ESTABLISHMENT.—Based upon the determina-
tions made pursuant to subsection (a), the Secretary of 
Energy, in coordination with the Secretary of Commerce, 
shall recommend to the Committee on Energy and Com-
merce of the House of Representatives the establishment 
of any new Federal lending authority, including authoriza-
320 
tion of additional lending authority for existing Federal 
agencies, not to exceed $3,500,000,000 per geographic 
area identified in subsection (a)(1). 
(d) AUTHORIZATION.—$25,000,000 is authorized to 
be appropriated for fiscal year 2010 to carry out the provi-
sions of this section. 
SEC. 199A. STUDY. 
Not later than February 1, 2011, the Secretary of 
Energy shall transmit to the Congress a report showing 
the results of a study on the use of thorium-fueled nuclear 
reactors for national energy needs. Such report shall in-
clude a response to the International Atomic Energy 
Agency study entitled ‘‘Thorium fuel cycle - Potential ben-
efits and challenges’’ (IAEA–TECDOC–1450). 
TITLE II—ENERGY EFFICIENCY 
Subtitle A—Building Energy 
Efficiency Programs 
SEC. 201. GREATER ENERGY EFFICIENCY IN BUILDING 
CODES. 
Section 304 of the Energy Conservation and Produc-
tion Act (42 U.S.C. 6833) is amended to read as follows: 
‘‘SEC. 304. GREATER ENERGY EFFICIENCY IN BUILDING 
CODES. 
‘‘(a) ENERGY EFFICIENCY TARGETS.—
321 
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2) or (3), the national building code energy 
efficiency target for the national average percentage 
improvement of a building’s energy performance 
when built to a code meeting the target shall be— 
‘‘(A) effective on the date of enactment of 
the American Clean Energy and Security Act of 
2009, 30 percent reduction in energy use rel-
ative to a comparable building constructed in 
compliance with the baseline code; 
‘‘(B) effective January 1, 2014, for resi-
dential buildings, and January 1, 2015, for 
commercial buildings, 50 percent reduction in 
energy use relative to the baseline code; and 
‘‘(C) effective January 1, 2017, for resi-
dential buildings, and January 1, 2018, for 
commercial buildings, and every 3 years there-
after, respectively, through January 1, 2029, 
and January 1, 2030, 5 percent additional re-
duction in energy use relative to the baseline 
code. 
‘‘(2) CONSENSUS-BASED CODES.—If on any ef-
fective date specified in paragraph (1)(A), (B), or 
(C) a successor code to the baseline codes provides 
for greater reduction in energy use than is required
322 
under paragraph (1), the overall percentage reduc-
tion in energy use provided by that successor code 
shall be the national building code energy efficiency 
target. 
‘‘(3) TARGETS ESTABLISHED BY SECRETARY.— 
The Secretary may by rule establish a national 
building code energy efficiency target for residential 
or commercial buildings achieving greater reductions 
in energy use than the targets prescribed in para-
graph (1) or (2) if the Secretary determines that 
such greater reductions in energy use can be 
achieved with a code that is life cycle cost-justified 
and technically feasible. The Secretary may by rule 
establish a national building code energy efficiency 
target for residential or commercial buildings achiev-
ing a reduction in energy use that is greater than 
zero but less than the targets prescribed in para-
graph (1) or (2) if the Secretary determines that 
such lesser target is the maximum reduction in en-
ergy use that can be achieved through a code that 
is life cycle cost-justified and technically feasible. 
‘‘(4) ADDITIONAL
REDUCTIONS
IN
ENERGY 
USE.—Effective on January 1, 2033, and once every 
3 years thereafter, the Secretary shall determine, 
after notice and opportunity for comment, whether
323 
further energy efficiency building code improvements 
for residential or commercial buildings, respectively, 
are life cycle cost-justified and technically feasible, 
and shall establish updated national building code 
energy efficiency targets that meet such criteria. 
‘‘(5) ZERO-NET-ENERGY
BUILDINGS.—In set-
ting targets under this subsection, the Secretary 
shall consider ways to support the deployment of 
distributed renewable energy technology, and shall 
seek to achieve the goal of zero-net-energy commer-
cial buildings established in section 422 of the En-
ergy Independence and Security Act of 2007 (42 
U.S.C. 17082). 
‘‘(6) BASELINE CODE.—For purposes of this 
section, the term ‘baseline code’ means— 
‘‘(A) for residential buildings, the 2006 
International 
Energy 
Conservation 
Code 
(IECC) published by the International Code 
Council (ICC); and 
‘‘(B) for commercial buildings, the code 
published in ASHRAE Standard 90.1–2004. 
‘‘(7) CONSULTATION.—In establishing the tar-
gets required by this section, the Secretary shall 
consult with the Director of the National Institute of 
Standards and Technology.
324 
‘‘(b) NATIONAL ENERGY EFFICIENCY BUILDING 
CODES.— 
‘‘(1) REQUIREMENT.— 
‘‘(A) IN GENERAL.—There shall be estab-
lished national energy efficiency building codes 
under this subsection, for residential and com-
mercial buildings, sufficient to meet each of the 
national building code energy efficiency targets 
established under subsection (a), not later than 
the date that is 1 year after the deadline for es-
tablishment of each such target, except that the 
national energy efficiency building code estab-
lished to meet the target described in subsection 
(a)(1)(A) shall be established by not later than 
15 months after the effective date of that tar-
get. 
‘‘(B) EXISTING
CODE.—If the Secretary 
finds prior to the date provided in subpara-
graph (A) for establishing a national code for 
any target that one or more energy efficiency 
building codes published by a recognized devel-
oper of national energy codes and standards 
meet or exceed the established target, the Sec-
retary shall select the code that meets the tar-
get with the highest efficiency in the most cost-
325 
effective manner, and such code shall be the na-
tional energy efficiency building code. 
‘‘(C) 
REQUIREMENT
TO
ESTABLISH 
CODE.—If the Secretary does not make a find-
ing under subparagraph (B), the national en-
ergy efficiency building code shall be established 
by rule by the Secretary under paragraph (2). 
‘‘(2) ESTABLISHMENT BY SECRETARY.— 
‘‘(A) PROCEDURE.—In order to establish a 
national energy efficiency building code as re-
quired under paragraph (1)(C), the Secretary 
shall— 
‘‘(i) not later than 6 months prior to 
the effective date for each target, review 
existing and proposed codes published or 
under review by recognized developers of 
national energy codes and standards; 
‘‘(ii) determine the percentage of en-
ergy efficiency improvements that are or 
would be achieved in such published or 
proposed code versions relative to the tar-
get; 
‘‘(iii) propose improvements to such 
published or proposed code versions suffi-
cient to meet or exceed the target; and
326 
‘‘(iv) unless a finding is made under 
paragraph (1)(B) with respect to a code 
published by a recognized developer of na-
tional energy codes and standards, adopt a 
code that meets or exceeds the relevant na-
tional building code energy efficiency tar-
get by not later than 1 year after the effec-
tive date of each such target, and by not 
later than 15 months after the target is es-
tablished under subsection (a)(1)(A). 
‘‘(B) CALCULATIONS.—Each national en-
ergy efficiency building code established by the 
Secretary under this paragraph shall be set at 
the maximum level the Secretary determines is 
life cycle cost-justified and technically feasible, 
in accordance with the following: 
‘‘(i) SAVINGS
CALCULATIONS.—Cal-
culations of energy savings shall take into 
account the typical lifetimes of different 
products, measures, and system configura-
tions. 
‘‘(ii) COST-EFFECTIVENESS CALCULA-
TIONS.—Calculations of life cycle cost-ef-
fectiveness shall be based on life cycle cost 
methods and procedures under section 544
327 
of the National Energy Conservation Pol-
icy Act (42 U.S.C. 8254), but shall incor-
porate to the extent feasible externalities 
such as impacts on climate change and on 
peak energy demand that are not already 
incorporated in assumed energy costs. 
‘‘(C) CONSIDERATIONS.—In developing a 
national energy efficiency building code under 
this paragraph, the Secretary shall consider— 
‘‘(i) for residential national energy ef-
ficiency building codes— 
‘‘(I) residential building stand-
ards 
published 
or 
proposed 
by 
ASHRAE; 
‘‘(II) building codes published or 
proposed by the International Code 
Council (ICC); 
‘‘(III) data from the Residential 
Energy Services Network (RESNET) 
on compliance measures utilized by 
consumers to qualify for the residen-
tial energy efficiency tax credits estab-
lished under the Energy Policy Act of 
2005;
328 
‘‘(IV) data and information from 
the Department of Energy’s Building 
America Program; 
‘‘(V) data and information from 
the Energy Star New Homes pro-
gram; 
‘‘(VI) data and information from 
the New Building Institute and simi-
lar organizations; and 
‘‘(VII) standards for practices 
and materials to achieve cool roofs in 
residential buildings, taking into con-
sideration reduced air conditioning en-
ergy use as a function of cool roofs, 
the potential reduction in global 
warming from increased solar reflec-
tance from buildings, and cool roofs 
criteria in State and local building 
codes and in national and local vol-
untary programs, without reduction of 
otherwise applicable ceiling insulation 
standards; and 
‘‘(ii) for commercial national energy 
efficiency building codes—
329 
‘‘(I) commercial building stand-
ards proposed by ASHRAE; 
‘‘(II) building codes proposed by 
the International Code Council (ICC); 
‘‘(III) the Core Performance Cri-
teria published by the New Buildings 
Institute; 
‘‘(IV) data and information de-
veloped by the Director of the Com-
mercial 
High-Performance 
Green 
Building Office of the Department of 
Energy and any public-private part-
nerships established under that Office; 
‘‘(V) data and information from 
the Energy Star for Buildings pro-
gram; 
‘‘(VI) data and information from 
the 
New 
Building 
Institute, 
RESNET, and similar organizations; 
and 
‘‘(VII) standards for practices 
and materials to achieve cool roofs in 
commercial buildings, taking into con-
sideration reduced air conditioning en-
ergy use as a function of cool roofs,
330 
the potential reduction in global 
warming from increased solar reflec-
tance from buildings, and cool roofs 
criteria in State and local building 
codes and in national and local vol-
untary programs, without reduction of 
otherwise applicable ceiling insulation 
standards. 
‘‘(D) CONSULTATION.—In establishing any 
national energy efficiency building code re-
quired by this section, the Secretary shall con-
sult with the Director of the National Institute 
of Standards and Technology. 
‘‘(3) CONSENSUS STANDARD ASSISTANCE.—(A) 
To support the development of consensus standards 
that may provide the basis for national energy effi-
ciency building codes, minimize duplication of effort, 
encourage progress through consensus, and facilitate 
the development of greater building efficiency, the 
Secretary shall provide assistance to recognized de-
velopers of national energy codes and standards to 
develop, and where the relevant code has been adopt-
ed as the national code, disseminate consensus based 
energy efficiency building codes as provided in this 
paragraph.
331 
‘‘(B) Upon a finding by the Secretary that a 
code developed by such a developer meets a target 
established under subsection (a), the Secretary 
shall— 
‘‘(i) send notice of the Secretary’s finding 
to all duly authorized or appointed State, tribal, 
and local code agencies; and 
‘‘(ii) provide sufficient support to such a 
developer to make the code available on the 
Internet, or to accomplish distribution of such 
code to all such State, tribal, and local code 
agencies at no cost to the State, tribal, and 
local code agencies. 
‘‘(C) The Secretary may contract with such a 
developer and with other organizations with exper-
tise on codes to provide training for State, tribal, 
and local code officials and building inspectors in the 
implementation and enforcement of such code. 
‘‘(D) The Secretary may provide grants and 
other support to such a developer to— 
‘‘(i) develop appropriate refinements to 
such code; and 
‘‘(ii) support analysis of options for im-
provements in the code to meet the next sched-
uled target.
332 
‘‘(4) CODE DEVELOPED BY SECRETARY.—If the 
Secretary establishes a national energy efficiency 
building code under paragraph (2), the Secretary 
shall— 
‘‘(A) to the extent that such code is based 
on a prior code developed by a recognized devel-
oper of national energy codes and standards, 
negotiate and provide appropriate compensation 
to such developer for the use of the code mate-
rials that remain in the code established by the 
Secretary; and 
‘‘(B) disseminate the national energy effi-
ciency building codes to State, tribal, and local 
code officials, and support training and provide 
guidance and technical assistance to such offi-
cials as appropriate. 
‘‘(c) STATE ADOPTION
OF ENERGY EFFICIENCY 
BUILDING CODES.— 
‘‘(1) REQUIREMENT.—Not later than 1 year 
after a national energy efficiency building code for 
residential or commercial buildings is established or 
revised under subsection (b), each State— 
‘‘(A) shall— 
‘‘(i) review and update the provisions 
of its building code regarding energy effi-
333 
ciency to meet or exceed the target met in 
the new national energy efficiency building 
code, to achieve equivalent or greater en-
ergy savings; 
‘‘(ii) document, where local govern-
ments establish building codes, that local 
governments representing not less than 80 
percent of the State’s urban population 
have adopted the new national code, or 
have adopted local codes that meet or ex-
ceed the target met in the new national 
code to achieve equivalent or greater en-
ergy savings; or 
‘‘(iii) adopt the new national code; 
and 
‘‘(B) shall provide a certification to the 
Secretary demonstrating that energy efficiency 
building code provisions that apply pursuant to 
subparagraph (A) in that State meet or exceed 
the target met by the new national code, to 
achieve equivalent or greater energy savings. 
‘‘(2) CONFIRMATION.— 
‘‘(A) REQUIREMENT.—Not later than 90 
days after a State certification is provided 
under paragraph (1)(B), the Secretary shall de-
334 
termine whether the State’s energy efficiency 
building code provisions meet the requirements 
of this subsection. 
‘‘(B) ACCEPTANCE BY SECRETARY.—If the 
Secretary determines under subparagraph (A) 
that the State’s energy efficiency building code 
or codes meet the requirements of this sub-
section, the Secretary shall accept the certifi-
cation. 
‘‘(C) DEFICIENCY
NOTICE.—If the Sec-
retary determines under subparagraph (A) that 
the State’s building code or codes do not meet 
the requirements of this subsection, the Sec-
retary shall identify the deficiency in meeting 
the national building code energy efficiency tar-
get, and, to the extent possible, indicate areas 
where further improvement in the State’s code 
provisions would allow the deficiency to be 
eliminated. 
‘‘(D) REVISION OF CODE AND RECERTIFI-
CATION.—A State may revise its code or codes 
and submit a recertification under paragraph 
(1)(B) to the Secretary at any time. 
‘‘(3) COMPLIANT CODE.—For the purposes of 
meeting the target described in subsection (a)(1)(A)
335 
for residential buildings, a State that adopts the 
code represented in California’s Title 24-2009 by the 
date 27 months after the date of enactment of the 
American Clean Energy and Security Act of 2009 
shall be considered to have met the requirements of 
this subsection for the applicable period. 
‘‘(d) APPLICATION OF NATIONAL CODE TO STATE 
AND LOCAL JURISDICTIONS.— 
‘‘(1) IN GENERAL.—Upon the expiration of 18 
months after a national energy efficiency building 
code is established under subsection (b), in any ju-
risdiction where the State has not had a certification 
relating to that code accepted by the Secretary 
under subsection (c)(2)(B), and the local govern-
ment has not had a certification relating to that 
code accepted by the Secretary under subsection 
(e)(5), the national energy efficiency building code 
shall become the applicable energy efficiency build-
ing code for such jurisdiction. 
‘‘(2) CONFLICTS.—In the event of a conflict be-
tween a provision of the national energy efficiency 
building code and a provision of other applicable en-
ergy codes, the national energy efficiency building 
code shall apply. If there is a conflict between a pro-
vision of the national energy efficiency building code
336 
and a provision of any applicable fire code, life safe-
ty code, egress code, or accessibility code, the Sec-
retary shall take appropriate actions to resolve such 
conflict in a manner that does not compromise the 
objectives of such codes. 
‘‘(3) STATE
LEGISLATIVE
ADOPTION.—In a 
State in which the relevant building energy code is 
adopted legislatively, the deadline in paragraph (1) 
shall not be earlier than 1 year after the first day 
that the legislature meets following establishment of 
a national energy efficiency building code. 
‘‘(4) NOTICE
OF
INTENT
TO
ENFORCE.—A 
State or locality that enforces building codes may as-
sume responsibility for enforcing the national energy 
efficiency building code by notifying the Secretary to 
that effect not later than three months after the 
date established under paragraph (1). 
‘‘(5) VIOLATIONS.—Violations of this section 
shall be defined as follows: 
‘‘(A) If the building is subject to the re-
quirements of a State energy efficiency building 
code with respect to which a certification has 
been accepted by the Secretary under sub-
section (c)(2)(B) or a local energy efficiency 
building code with respect to which a certifi-
337 
cation has been accepted by the Secretary pur-
suant to subsection (e)(5), or the requirements 
of the national energy efficiency building code 
in a State where the State or locality has noti-
fied the Secretary of its intent to enforce the 
provisions of the national energy efficiency 
building code, a violation shall be determined 
pursuant to the relevant provisions of State or 
local law. 
‘‘(B) If the building is subject to the re-
quirements of a national energy efficiency build-
ing code made applicable under paragraph (1) 
of this subsection, except as provided in sub-
paragraph (A), a violation shall be defined by 
the Secretary pursuant to subsection (g). 
‘‘(e) STATE ENFORCEMENT OF ENERGY EFFICIENCY 
BUILDING CODES.— 
‘‘(1) IN GENERAL.—Each State, or where appli-
cable under State law each local government, shall 
implement and enforce applicable State or local 
codes with respect to which a certification was ac-
cepted by the Secretary under subsection (c)(2)(B) 
or paragraph (5) of this subsection, or the national 
energy efficiency building codes, as provided in this 
subsection.
339 
‘‘(A) independent inspections of a random 
sample of the new and substantially renovated 
buildings covered by the code in the preceding 
year; or 
‘‘(B) an alternative method that yields an 
accurate measure of compliance as determined 
by the Secretary. 
‘‘(4) SIGNIFICANT PROGRESS.—A State shall be 
considered to have made significant progress toward 
achieving compliance with a code described in para-
graph (2)(A) if— 
‘‘(A) the State has developed a plan, in-
cluding for hiring enforcement staff, providing 
training, providing manuals and checklists, and 
instituting enforcement programs, designed to 
achieve full compliance within 5 years after the 
date of the adoption of the code; 
‘‘(B) the State is taking significant, timely, 
and measurable action to implement that plan; 
‘‘(C) the State has not reduced its expendi-
tures for code enforcement; and 
‘‘(D) at least 50 percent of new and sub-
stantially renovated building space in the State 
in the preceding year upon inspection meets the 
requirements of the code.
340 
‘‘(5) SECRETARY’S DETERMINATION.—Not later 
than 90 days after a State certification under para-
graph (2), the Secretary shall determine whether the 
State has demonstrated that it has complied with 
the requirements of this subsection, including accu-
rate measurement of compliance, or that it has made 
significant progress toward compliance. If such de-
termination is positive, the Secretary shall accept 
the certification. If the determination is negative, 
the Secretary shall identify the areas of deficiency. 
‘‘(6) OUT OF COMPLIANCE.— 
‘‘(A) IN GENERAL.—Any State for which 
the Secretary has not accepted a certification 
under paragraph (5) by the dates specified in 
paragraph (2) is out of compliance with this 
section. 
‘‘(B) LOCAL COMPLIANCE.—In any State 
that is out of compliance with this section as 
provided in subparagraph (A), a local govern-
ment may be in compliance with this section by 
meeting all certification requirements of this 
subsection. 
‘‘(C) NONCOMPLIANCE.—Any State that is 
not in compliance with this section, as provided
341 
in subparagraph (A), shall, until the State re-
gains such compliance, be ineligible to receive— 
‘‘(i) emission allowances pursuant to 
subsection (h)(1); 
‘‘(ii) Federal funding in excess of that 
State’s share (calculated according to the 
allocation formula in section 363 of the 
Energy Policy and Conservation Act (42 
U.S.C. 6323)) of $125,000,000 each year; 
and 
‘‘(iii) for— 
‘‘(I) the first year for which the 
State is out of compliance, 25 percent 
of any additional funding or other 
items of monetary value otherwise 
provided under the American Clean 
Energy and Security Act of 2009; 
‘‘(II) the second year for which 
the State is out of compliance, 50 per-
cent of any additional funding or 
other items of monetary value other-
wise provided under the American 
Clean Energy and Security Act of 
2009;
342 
‘‘(III) the third year for which 
the State is out of compliance, 75 per-
cent of any additional funding or 
other items of monetary value other-
wise provided under the American 
Clean Energy and Security Act of 
2009; and 
‘‘(IV) the fourth and subsequent 
years for which the State is out of 
compliance, 100 percent of any addi-
tional funding or other items of mone-
tary value otherwise provided under 
the American Clean Energy and Secu-
rity Act of 2009. 
‘‘(f) FEDERAL ENFORCEMENT
AND TRAINING.— 
Where a State fails and local governments in that State 
also fail to enforce the applicable State or national energy 
efficiency building codes, the Secretary shall enforce such 
codes, as follows: 
‘‘(1) The Secretary shall establish, by rule, 
within 2 years after the date of enactment of the 
American Clean Energy and Security Act of 2009, 
an energy efficiency building code enforcement capa-
bility.
343 
‘‘(2) Such enforcement capability shall be de-
signed to achieve 90 percent compliance with such 
code in any State within 1 year after the date of the 
Secretary’s determination that such State is out of 
compliance with this section. 
‘‘(3) The Secretary may set and collect reason-
able inspection fees to cover the costs of inspections 
required for such enforcement. Revenue from fees 
collected shall be available to the Secretary to carry 
out the requirements of this section upon appropria-
tion. 
‘‘(4) In any jurisdiction to which this subsection 
applies, the Secretary shall coordinate enforcement 
of the national energy efficiency building code with 
State and local code enforcement of other building 
codes. 
‘‘(5) In any jurisdiction to which this subsection 
applies, the Secretary shall enhance compliance by 
conducting training and education of builders and 
other professionals in the jurisdiction concerning the 
national energy efficiency building code. 
‘‘(6) The Secretary shall coordinate with profes-
sional organizations representing code officials, ar-
chitects, engineers, builders, and other experts to de-
344 
velop training curricula concerning the national en-
ergy efficiency building code. 
‘‘(7) If the Secretary enforces such codes under 
this subsection, the Secretary may, as appropriate, 
redefine violations of such codes. 
‘‘(g) ENFORCEMENT PROCEDURES.—The Secretary 
shall propose and, not later than 3 years after the date 
of enactment of the American Clean Energy and Security 
Act of 2009, shall define by rule violations of the energy 
efficiency building codes to be enforced by the Secretary 
pursuant to this section, and the penalties that shall apply 
to violators, in any jurisdiction in which the national en-
ergy efficiency building code has been made applicable 
under subsection (d)(1). To the extent that the Secretary 
determines that the authority to adopt and impose such 
violations and penalties by rule requires further statutory 
authority, the Secretary shall report such determination 
to Congress as soon as such determination is made, but 
not later than 1 year after the enactment of the American 
Clean Energy and Security Act of 2009. 
‘‘(h) FEDERAL SUPPORT.— 
‘‘(1) ALLOWANCE
ALLOCATION
FOR
STATE 
COMPLIANCE.—For each vintage year from 2012 
through 2050, the Administrator shall distribute al-
lowances allocated pursuant to section 782(g)(2) of
345 
the Clean Air Act to the SEED Account for each 
State. Such allowances shall be distributed according 
to a formula established by the Secretary as follows: 
‘‘(A) One-fifth in an equal amount to each 
of the 50 States and United States territories. 
‘‘(B) Two-fifths as a function of the rel-
ative energy use in all buildings in each State 
in the most recent year for which data is avail-
able. 
‘‘(C) Two-fifths based on the number of 
building construction starts recorded in each 
State, the number of new building permits ap-
plied for in each State, or other relevant avail-
able data indicating building activity in each 
State, in the judgment of the Secretary, for the 
year prior to the year of the distribution. 
‘‘(2) ALLOWANCE ALLOCATION TO LOCAL GOV-
ERNMENTS.—In the instance that the Secretary cer-
tifies that one or more local governments are in com-
pliance with this section pursuant to subsection 
(e)(6)(B), the Administrator shall provide to each 
such local government the portion of the emission al-
lowances that would have been provided to that 
State as a function of the population of that locality
347 
required for enforcement shall be allocated in pro-
portion to the number of building inspections per-
formed by each level of government, and the share 
for local governments shall be distributed as a func-
tion of the relative populations of such localities. 
States shall further ensure that the allowance value 
made available pursuant to section 782 of the Clean 
Air Act and section 132 of the American Clean En-
ergy and Security Act of 2009 is provided to the ap-
plicable State or local governmental entities as nec-
essary to adopt and implement energy efficiency 
building codes, provide training for inspectors, en-
sure compliance, and provide such other functions as 
necessary. Actions taken by local authorities pursu-
ant to this section shall constitute an acceptable use 
of funds authorized pursuant to the Energy Effi-
ciency and Conservation Block Grant program under 
section 544 of the Energy Independence and Secu-
rity Act of 2007 (42 U.S.C. 17154). 
‘‘(i) AUTHORIZATION OF APPROPRIATIONS.—There 
are authorized to be appropriated to the Secretary of En-
ergy $25,000,000, and such additional sums as may be 
necessary to provide enforcement of a national energy effi-
ciency building code, for each of fiscal years 2010 through
348 
2020, and such sums thereafter as may be necessary to 
support the purposes of this section. 
‘‘(j) ANNUAL REPORTS BY SECRETARY.—The Sec-
retary shall annually submit to Congress, and publish in 
the Federal Register, a report on— 
‘‘(1) the status of national energy efficiency 
building codes; 
‘‘(2) the status of energy efficiency building 
code adoption and compliance in the States; 
‘‘(3) the implementation of this section; 
‘‘(4) the status of Federal enforcement of build-
ing codes, including coordination with State and 
local enforcement, and the extent and resolution of 
any conflicts between the national energy efficiency 
building code and other residential and commercial 
building codes in force in the same jurisdictions; and 
‘‘(5) impacts of past action under this section, 
and potential impacts of further action, on lifetime 
energy use by buildings, including resulting energy 
and cost savings.’’. 
SEC. 202. BUILDING RETROFIT PROGRAM. 
(a) DEFINITIONS.—For purposes of this section: 
(1) ASSISTED
HOUSING.—The term ‘‘assisted 
housing’’ means those properties receiving project- 
based assistance pursuant to section 202 of the
349 
Housing Act of 1959 (12 U.S.C. 1701q), section 
811 of the Cranston-Gonzalez National Affordable 
Housing Act (42 U.S.C. 8013), section 8 of the 
United States Housing Act of 1937 (42 U.S.C. 
1437f), or similar programs. 
(2) NONRESIDENTIAL
BUILDING.—The term 
‘‘nonresidential building’’ means a building with a 
primary use or purpose other than residential hous-
ing, including any building used for commercial of-
fices, schools, academic and other public and private 
institutions, nonprofit organizations including faith- 
based organizations, hospitals, hotels, and other non-
residential purposes. Such buildings shall include 
mixed-use properties used for both residential and 
nonresidential purposes in which more than half of 
building floor space is nonresidential. 
(3) PERFORMANCE-BASED BUILDING RETROFIT 
PROGRAM.—The term ‘‘performance-based building 
retrofit program’’ means a program that determines 
building energy efficiency success based on actual 
measured savings after a retrofit is complete, as evi-
denced by energy invoices or evaluation protocols. 
(4) PRESCRIPTIVE
BUILDING
RETROFIT
PRO-
GRAM.—The term ‘‘prescriptive building retrofit pro-
gram’’ means a program that projects building ret-
350 
rofit energy efficiency success based on the known 
effectiveness of measures prescribed to be included 
in a retrofit. 
(5) PUBLIC HOUSING.—The term ‘‘public hous-
ing’’ means properties receiving assistance under 
section 9 of the United States Housing Act of 1937 
(42 U.S.C. 1437g). 
(6) 
RECOMMISSIONING; 
RETROCOMMISSIONING.—The 
terms 
‘‘recommis-
sioning’’ and ‘‘retrocommissioning’’ have the mean-
ing given those terms in section 543(f)(1) of the Na-
tional Energy Conservation Policy Act (42 U.S.C. 
8253(f)(1)). 
(7) RESIDENTIAL BUILDING.—The term ‘‘resi-
dential building’’ means a building whose primary 
use is residential. Such buildings shall include sin-
gle-family homes (both attached and detached), 
owner-occupied units in larger buildings with their 
own dedicated space-conditioning systems, apart-
ment buildings, multi-unit condominium buildings, 
public housing, assisted housing, and buildings used 
for both residential and nonresidential purposes in 
which more than half of building floor space is resi-
dential.
351 
(8) STATE
ENERGY
PROGRAM.—The term 
‘‘State Energy Program’’ means the program under 
part D of title III of the Energy Policy and Con-
servation Act (42 U.S.C. 6321 et seq.). 
(b) ESTABLISHMENT.—The Administrator shall de-
velop and implement, in consultation with the Secretary 
of Energy, standards for a national energy and environ-
mental building retrofit policy for single-family and multi-
family residences. The Administrator shall develop and 
implement, in consultation with the Secretary of Energy 
and the Director of Commercial High-Performance Green 
Buildings, standards for a national energy and environ-
mental building retrofit policy for nonresidential buildings. 
The programs to implement the residential and nonresi-
dential policies based on the standards developed under 
this section shall together be known as the Retrofit for 
Energy and Environmental Performance (REEP) pro-
gram. 
(c) PURPOSE.—The purpose of the REEP program 
is to facilitate the retrofitting of existing buildings across 
the United States to achieve maximum cost-effective en-
ergy efficiency improvements and significant improve-
ments in water use and other environmental attributes. 
(d) FEDERAL ADMINISTRATION.—
352 
(1) EXISTING PROGRAMS.—In creating and op-
erating the REEP program— 
(A) the Administrator shall make appro-
priate use of existing programs, including the 
Energy Star program and in particular the En-
vironmental Protection Agency Energy Star for 
Buildings program; and 
(B) the Secretary of Energy shall make 
appropriate use of existing programs, including 
delegating authority to the Director of Commer-
cial High-Performance Green Buildings ap-
pointed under section 421 of the Energy Inde-
pendence and Security Act of 2007 (42 U.S.C. 
17081), who shall designate and provide fund-
ing to support a high-performance green build-
ing partnership consortium pursuant to sub-
section (f) of such section to support efforts 
under this section. 
(2) CONSULTATION AND COORDINATION.—The 
Administrator and the Secretary of Energy shall 
consult with and coordinate with the Secretary of 
Housing and Urban Development in carrying out the 
REEP program with regard to retrofitting of public 
housing and assisted housing. As a result of such 
consultation, the Administrator shall establish stand-
353 
ards to ensure that retrofits of public housing and 
assisted housing funded pursuant to this section are 
cost-effective, including opportunities to address the 
potential co-performance of repair and replacement 
needs that may be supported with other forms of 
Federal assistance. Owners of public housing or as-
sisted housing receiving funding through the REEP 
program shall agree to continue to provide afford-
able housing consistent with the provisions of the 
authorizing legislation governing each program for 
an additional period commensurate with the funding 
received, as determined in accordance with guide-
lines established by the Secretary of Housing and 
Urban Development. 
(3) ASSISTANCE.—The Administrator and the 
Secretary of Energy shall provide consultation and 
assistance to State and local agencies for the estab-
lishment of revolving loan funds, loan guarantees, or 
other forms of financial assistance under this sec-
tion. 
(e) STATE AND LOCAL ADMINISTRATION.— 
(1) DESIGNATION AND DELEGATION.—A State 
may designate one or more agencies or entities, in-
cluding those regulated by the State, to carry out 
the purposes of this section, but shall designate one
354 
entity or individual as the principal point of contact 
for the Administrator regarding the REEP Pro-
gram. The designated State agency, agencies, or en-
tities may delegate performance of appropriate ele-
ments of the REEP program, upon their request 
and subject to State law, to counties, municipalities, 
appropriate public agencies, and other divisions of 
local government, as well as to entities regulated by 
the State. In making any such designation or delega-
tion, a State shall give priority to entities that ad-
minister existing comprehensive retrofit programs, 
including those under the supervision of State utility 
regulators. States shall maintain responsibility for 
meeting the standards and requirements of the 
REEP program. In any State that elects not to ad-
minister the REEP program, a unit of local govern-
ment may propose to do so within its jurisdiction, 
and if the Administrator finds that such local gov-
ernment is capable of administering the program, 
the Administrator may provide allowances to that 
local government, prorated according to the popu-
lation of the local jurisdiction relative to the popu-
lation of the State, for purposes of the REEP pro-
gram.
355 
(2) EMPLOYMENT.—States and local govern-
ment entities may administer a REEP program in 
a manner that authorizes public or regulated inves-
tor-owned utilities, building auditors and inspectors, 
contractors, nonprofit organizations, for-profit com-
panies, and other entities to perform audits and ret-
rofit services under this section. A State may pro-
vide incentives for retrofits without direct participa-
tion by the State or its agents, so long as the result-
ing savings are measured and verified. A State or 
local administrator of a REEP program shall seek 
to ensure that sufficient qualified entities are avail-
able to support retrofit activities so that building 
owners have a competitive choice among qualified 
auditors, raters, contractors, and providers of serv-
ices related to retrofits. Nothing in this section is in-
tended to deny the right of a building owner to 
choose the specific providers of retrofit services to 
engage for a retrofit project in that owner’s building. 
(3) EQUAL INCENTIVES FOR EQUAL IMPROVE-
MENT.—In general, the States should strive to offer 
the same levels of incentives for retrofits that meet 
the same efficiency improvement goals, regardless of 
whether the State, its agency or entity, or the build-
ing owner has conducted the retrofit achieving the
356 
improvement, provided the improvement is measured 
and verified. 
(f) ELEMENTS OF REEP PROGRAM.—The Adminis-
trator, in consultation with the Secretary of Energy, shall 
establish goals, guidelines, practices, and standards for ac-
complishing the purpose stated in subsection (c), and shall 
annually review and, as appropriate, revise such goals, 
guidelines, practices, and standards. The program under 
this section shall include the following: 
(1) 
Residential 
Energy 
Services 
Network 
(RESNET) or Building Performance Institute 
(BPI) analyst certification of residential building en-
ergy and environment auditors, inspectors, and rat-
ers, or an equivalent certification system as deter-
mined by the Administrator. 
(2) BPI certification or licensing by States of 
residential building energy and environmental ret-
rofit contractors, or an equivalent certification or li-
censing system as determined by the Administrator. 
(3) Provision of BPI, RESNET, or other ap-
propriate information on equipment and procedures, 
as determined by the Administrator, that contractors 
can use to test the energy and environmental effi-
ciency of buildings effectively (such as infrared pho-
357 
tography and pressurized testing, and tests for water 
use and indoor air quality). 
(4) Provision of clear and effective materials to 
describe the testing and retrofit processes for typical 
buildings. 
(5) Guidelines for offering and managing pre-
scriptive building retrofit programs and perform-
ance-based building retrofit programs for residential 
and nonresidential buildings. 
(6) Guidelines for applying recommissioning 
and retrocommissioning principles to improve a 
building’s operations and maintenance procedures. 
(7) A requirement that building retrofits con-
ducted pursuant to a REEP program utilize, espe-
cially in all air-conditioned buildings, roofing mate-
rials with high solar energy reflectance, unless inap-
propriate due to green roof management, solar en-
ergy production, or for other reasons identified by 
the Administrator, in order to reduce energy con-
sumption within the building, increase the albedo of 
the building’s roof, and decrease the heat island ef-
fect in the area of the building, without reduction of 
otherwise applicable ceiling insulation standards. 
(8) Determination of energy savings in a per-
formance-based building retrofit program through—
358 
(A) for residential buildings, comparison of 
before and after retrofit scores on the Home 
Energy Rating System (HERS) Index, where 
the final score is produced by an objective third 
party; 
(B) for nonresidential buildings, Environ-
mental Protection Agency Portfolio Manager 
benchmarks; or 
(C) for either residential or nonresidential 
buildings, use of an Administrator-approved 
simulation program by a contractor with the 
appropriate certification, subject to appropriate 
software standards and verification of at least 
15 percent of all work done, or such other per-
centage as the Administrator may determine. 
(9) Guidelines for utilizing the Energy Star 
Portfolio Manager, the Home Energy Rating System 
(HERS) rating system, Home Performance with En-
ergy Star program approvals, and any other tools 
associated with the retrofit program. 
(10) Requirements and guidelines for post-ret-
rofit inspection and confirmation of work and energy 
savings. 
(11) Detailed descriptions of funding options 
for the benefit of State and local governments, along
359 
with model forms, accounting aids, agreements, and 
guides to best practices. 
(12) Guidance on opportunities for— 
(A) rating or certifying retrofitted build-
ings as Energy Star buildings, or as green 
buildings under a recognized green building rat-
ing system; 
(B) assigning Home Energy Rating Sys-
tem (HERS) or similar ratings; and 
(C) completing any applicable building per-
formance labels. 
(13) Sample materials for publicizing the pro-
gram to building owners, including public service an-
nouncements and advertisements. 
(14) Processes for tracking the numbers and lo-
cations of buildings retrofitted under the REEP pro-
gram, with information on projected and actual sav-
ings of energy and its value over time. 
(g) REQUIREMENTS.—As a condition of receiving al-
lowances for the REEP program pursuant to this Act, a 
State or qualifying local government shall— 
(1) adopt the standards for training, certifi-
cation of contractors, certification of buildings, and 
post-retrofit inspection as developed by the Adminis-
trator for residential and nonresidential buildings,
360 
respectively, except as necessary to match local con-
ditions, needs, efficiency opportunities, or other local 
factors, or to accord with State laws or regulations, 
and then only after the Administrator approves such 
a variance; 
(2) establish fiscal controls and accounting pro-
cedures (which conform to generally accepted gov-
ernment accounting principles) sufficient to ensure 
proper accounting during appropriate accounting pe-
riods for payments received and disbursements, and 
for fund balances; and 
(3) agree to make not less than 10 percent of 
allowance 
value 
received 
pursuant 
to 
section 
132(c)(2) for dedicated funding of its REEP pro-
gram available on a preferential basis for retrofit 
projects proposed for public housing and assisted 
housing, provided that— 
(A) none of such funds shall be used for 
demolition of such housing; 
(B) such retrofits not shall not be used to 
justify any increase in rents charged to resi-
dents of such housing; and 
(C) owners of such housing shall agree to 
continue to provide affordable housing con-
sistent with the provisions of the authorizing
361 
legislation governing each program for an addi-
tional period commensurate with the funding 
received. 
The Administrator shall conduct or require each State to 
have such independent financial audits of REEP-related 
funding as the Administrator considers necessary or ap-
propriate to carry out the purposes of this section. 
(h) OPTIONS TO SUPPORT REEP PROGRAM.—The 
emission allowances provided pursuant to this Act to the 
States SEED Accounts shall support the implementation 
through State REEP programs of alternate means of cre-
ating incentives for, or reducing financial barriers to, im-
proved energy and environmental performance in build-
ings, consistent with this section, including— 
(1) implementing prescriptive building retrofit 
programs and performance-based building retrofit 
programs; 
(2) providing credit enhancement, interest rate 
subsidies, loan guarantees, or other credit support; 
(3) providing initial capital for public revolving 
fund financing of retrofits, with repayments by bene-
ficiary building owners over time through their tax 
payments, calibrated to create net positive cash flow 
to the building owner;
362 
(4) providing funds to support utility-operated 
retrofit programs with repayments over time 
through utility rates, calibrated to create net positive 
cash flow to the building owner, and transferable 
from one building owner to the next with the build-
ing’s utility services; 
(5) providing funds to local government pro-
grams to provide REEP services and financial as-
sistance; and 
(6) other means proposed by State and local 
agencies, subject to the approval of the Adminis-
trator. 
(i) SUPPORT FOR PROGRAM.— 
(1) USE OF ALLOWANCES.—Direct Federal sup-
port for the REEP program is provided through the 
emission allowances allocated to the States’ SEED 
Accounts pursuant to section 132 of this Act. To the 
extent that a State provides allowances to local gov-
ernments within the State to implement elements of 
the REEP Program, that shall be deemed a dis-
tribution of such allowances to units of local govern-
ment pursuant to subsection (c)(1) of that section. 
(2) INITIAL
AWARD
LIMITS.—Except as pro-
vided in paragraph (3), State and local REEP pro-
grams may make per-building direct expenditures
363 
for retrofit improvements, or their equivalent in indi-
rect or other forms of financial support, from funds 
derived from the sale of allowances received directly 
from the Administrator in amounts not to exceed the 
following amounts per unit: 
(A) RESIDENTIAL BUILDING PROGRAM.— 
(i) AWARDS.—For residential build-
ings— 
(I) support for a free or low-cost 
detailed building energy audit that 
prescribes 
measures 
sufficient 
to 
achieve at least a 20 percent reduc-
tion in energy use, by providing an in-
centive equal to the documented cost 
of such audit, but not more than 
$200, in addition to any earned by 
achieving a 20 percent or greater effi-
ciency improvement; 
(II) a total of $1,000 for a com-
bination of measures, prescribed in an 
audit conducted under subclause (I), 
designed to reduce energy consump-
tion by more than 10 percent, and 
$2,000 for a combination of measures 
prescribed in such an audit, designed
364 
to reduce energy consumption by more 
than 20 percent; 
(III) $3,000 for demonstrated 
savings of 20 percent, pursuant to a 
performance-based building retrofit 
program; and 
(IV) $1,000 for each additional 5 
percentage points of energy savings 
achieved beyond savings for which 
funding is provided under subclause 
(II) or (III). 
Funding shall not be provided under 
clauses (II) and (III) for the same energy 
savings. 
(ii) MAXIMUM PERCENTAGE.—Awards 
under clause (i) shall not exceed 50 per-
cent of retrofit costs for each building. For 
buildings with multiple residential units, 
awards under clause (i) shall not be great-
er than 50 percent of the total cost of ret-
rofitting the building, prorated among indi-
vidual residential units on the basis of rel-
ative costs of the retrofit. In the case of 
public housing and assisted housing, the 
50 percent contribution matching the con-
365 
tribution from REEP program funds may 
come from any other source, including 
other Federal funds. 
(iii) 
ADDITIONAL
AWARDS.—Addi-
tional awards may be provided for pur-
poses of increasing energy efficiency, for 
buildings achieving at least 20 percent en-
ergy savings using funding provided under 
clause (i), in the form of grants of not 
more than $600 for measures projected or 
measured (using an appropriate method 
approved by the Administrator) to achieve 
at least 35 percent potable water savings 
through equipment or systems with an es-
timated service life of not less than 7 
years, and not more than an additional 
$20 may be provided for each additional 
one percent of such savings, up to a max-
imum total grant of $1,200. 
(B) NONRESIDENTIAL
BUILDING
PRO-
GRAM.— 
(i) 
AWARDS.—For 
nonresidential 
buildings— 
(I) support for a free or low-cost 
detailed building energy audit that
366 
prescribes, as part of a energy-reduc-
ing measures sufficient to achieve at 
least a 20 percent reduction in energy 
use, by providing an incentive equal to 
the documented cost of such audit, 
but not more than $500, in addition 
to any award earned by achieving a 
20 percent or greater efficiency im-
provement; 
(II) $0.15 per square foot of ret-
rofit area for demonstrated energy use 
reductions from 20 percent to 30 per-
cent; 
(III) $0.75 per square foot for 
demonstrated energy use reductions 
from 30 percent to 40 percent; 
(IV) $1.60 per square foot for 
demonstrated energy use reductions 
from 40 percent to 50 percent; and 
(V) $2.50 per square foot for 
demonstrated energy use reductions 
exceeding 50 percent. 
(ii) 
MAXIMUM
PERCENTAGE.— 
Amounts provided under subclauses (II) 
through (V) of clause (i) combined shall