166 
(E) can connect to one building or multiple 
interconnected buildings. 
(12) MICRO-HYDROPOWER.—The term ‘‘micro- 
hydropower’’ means hydropower that produces no 
more than 100 kilowatts of electricity using the nat-
ural flow of water. 
(13) PRODUCED IN THE UNITED STATES.—The 
term ‘‘produced in the United States’’ means, in the 
case of iron or steel, that all manufacturing proc-
esses, including the application of a coating, occur in 
the United States. 
(14) REGISTERED
APPRENTICE.—The term 
‘‘registered apprentice’’ means a person in an ap-
prenticeship program that is registered with, and ap-
proved by, the United States Department of Labor 
or a State Apprenticeship Agency in accordance with 
parts 29 and 30 of title 29, Code of Federal Regula-
tions (as in effect on January 1, 2020). 
(15) SMALL BUSINESS.—The term ‘‘small busi-
ness’’ has the meaning given the term ‘‘small busi-
ness concern’’ under section 3 of the Small Business 
Act (15 U.S.C. 632). 
(16) TRIBAL AND INDIGENOUS COMMUNITY.— 
The term ‘‘Tribal and indigenous community’’ 
means a population of people who are members of— 
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(A) a federally recognized Indian Tribe; 
(B) a State-recognized Indian Tribe; 
(C) an Alaska Native or Native Hawaiian 
community or organization; or 
(D) any other community of indigenous 
people located in a State. 
Subtitle E—Clean Electricity 
Generation 
SEC. 241. DISTRIBUTED ENERGY RESOURCES. 
(a) DEFINITIONS.—In this section: 
(1) COMBINED HEAT AND POWER SYSTEM.— 
The term ‘‘combined heat and power system’’ means 
generation of electric energy and heat in a single, in-
tegrated system that meets the efficiency criteria in 
clauses (ii) and (iii) of section 48(c)(3)(A) of the In-
ternal Revenue Code of 1986, under which heat that 
is conventionally rejected is recovered and used to 
meet thermal energy requirements. 
(2) DEMAND RESPONSE.—The term ‘‘demand 
response’’ means changes in electric usage by elec-
tric utility customers from the normal consumption 
patterns of the customers in response to— 
(A) changes in the price of electricity over 
time; or 
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(B) incentive payments designed to induce 
lower electricity use at times of high wholesale 
market prices or when system reliability is jeop-
ardized. 
(3) DISTRIBUTED ENERGY.—The term ‘‘distrib-
uted energy’’ means energy sources and systems 
that— 
(A) produce electric or thermal energy 
close to the point of use using renewable energy 
resources or waste thermal energy; 
(B) generate electricity using a combined 
heat and power system; 
(C) distribute electricity in microgrids; 
(D) store electric or thermal energy; or 
(E) distribute thermal energy or transfer 
thermal energy to building heating and cooling 
systems through a district energy system. 
(4) DISTRICT
ENERGY
SYSTEM.—The term 
‘‘district energy system’’ means a system that pro-
vides thermal energy to buildings and other energy 
consumers from one or more plants to individual 
buildings to provide space heating, air conditioning, 
domestic hot water, industrial process energy, and 
other end uses. 
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(5) ISLANDING.—The term ‘‘islanding’’ means 
a distributed generator or energy storage device con-
tinuing to power a location in the absence of electric 
power from the primary source. 
(6) LOAN.—The term ‘‘loan’’ has the meaning 
given the term ‘‘direct loan’’ in section 502 of the 
Federal Credit Reform Act of 1990 (2 U.S.C. 661a). 
(7) MICROGRID.—The term ‘‘microgrid’’ means 
an integrated energy system consisting of inter-
connected loads and distributed energy resources, in-
cluding generators and energy storage devices, with-
in clearly defined electrical boundaries that— 
(A) acts as a single controllable entity with 
respect to the grid; and 
(B) can connect and disconnect from the 
grid to operate in both grid-connected mode 
and island mode. 
(8) RENEWABLE
ENERGY
RESOURCE.—The 
term ‘‘renewable energy resource’’ includes— 
(A) biomass; 
(B) geothermal energy; 
(C) hydropower; 
(D) landfill gas; 
(E) municipal solid waste; 
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(F) ocean (including tidal, wave, current, 
and thermal) energy; 
(G) organic waste; 
(H) photosynthetic processes; 
(I) photovoltaic energy; 
(J) solar energy; and 
(K) wind. 
(9) RENEWABLE THERMAL ENERGY.—The term 
‘‘renewable thermal energy’’ means heating or cool-
ing energy derived from a renewable energy re-
source. 
(10) 
SECRETARY.—The 
term 
‘‘Secretary’’ 
means the Secretary of Energy. 
(11) THERMAL ENERGY.—The term ‘‘thermal 
energy’’ means— 
(A) heating energy in the form of hot 
water or steam that is used to provide space 
heating, domestic hot water, or process heat; or 
(B) cooling energy in the form of chilled 
water, ice, or other media that is used to pro-
vide air conditioning, or process cooling. 
(12) WASTE
THERMAL
ENERGY.—The term 
‘‘waste thermal energy’’ means energy that— 
(A) is contained in— 
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(i) exhaust gases, exhaust steam, con-
denser water, jacket cooling heat, or lubri-
cating oil in power generation systems; 
(ii) exhaust heat, hot liquids, or flared 
gas from any industrial process; 
(iii) waste gas or industrial tail gas 
that would otherwise be flared, incinerated, 
or vented; 
(iv) a pressure drop in any gas, ex-
cluding any pressure drop to a condenser 
that subsequently vents the resulting heat; 
(v) condenser water from chilled water 
or refrigeration plants; or 
(vi) any other form of waste energy, 
as determined by the Secretary; and 
(B)(i) in the case of an existing facility, is 
not being used; or 
(ii) in the case of a new facility, is not con-
ventionally used in comparable systems. 
(b) DISTRIBUTED ENERGY LOAN PROGRAM.— 
(1) LOAN PROGRAM.— 
(A) IN GENERAL.—Subject to the provi-
sions of this paragraph and paragraphs (2) and 
(3), the Secretary shall establish a program to 
provide to eligible entities— 
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(i) loans for the deployment of distrib-
uted energy systems in a specific project; 
and 
(ii) loans to provide funding for pro-
grams to finance the deployment of mul-
tiple distributed energy systems through a 
revolving loan fund, credit enhancement 
program, or other financial assistance pro-
gram. 
(B) ELIGIBILITY.—Entities eligible to re-
ceive a loan under subparagraph (A) include— 
(i) a State, territory, or possession of 
the United States; 
(ii) a State energy office; 
(iii) a tribal organization (as defined 
in section 4 of the Indian Self-Determina-
tion and Education Assistance Act (25 
U.S.C. 5304)); 
(iv) an institution of higher education 
(as defined in section 101 of the Higher 
Education Act of 1965 (20 U.S.C. 1001)); 
and 
(v) an electric utility, including— 
(I) a rural electric cooperative; 
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(II) a municipally owned electric 
utility; and 
(III) an investor-owned utility. 
(C) SELECTION
REQUIREMENTS.—In se-
lecting eligible entities to receive loans under 
this subsection, the Secretary shall, to the max-
imum extent practicable, ensure— 
(i) regional diversity among eligible 
entities to receive loans under this section, 
including participation by rural States and 
small States; and 
(ii) that specific projects selected for 
loans— 
(I) expand on the existing tech-
nology deployment program of the De-
partment of Energy; and 
(II) are designed to achieve one 
or more of the objectives described in 
subparagraph (D). 
(D) OBJECTIVES.—Each deployment se-
lected for a loan under subparagraph (A) shall 
promote one or more of the following objectives: 
(i) Improved security and resiliency of 
energy supply in the event of disruptions 
caused by extreme weather events, grid 
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174 
equipment or software failure, or terrorist 
acts. 
(ii) Implementation of distributed en-
ergy in order to increase use of local re-
newable energy resources and waste ther-
mal energy sources. 
(iii) 
Enhanced 
feasibility 
of 
microgrids, demand response, or islanding. 
(iv) Enhanced management of peak 
loads for consumers and the grid. 
(v) Enhanced reliability in rural areas, 
including high energy cost rural areas. 
(E) RESTRICTIONS ON USE OF FUNDS.— 
Any eligible entity that receives a loan under 
subparagraph (A) may only use the loan to 
fund programs relating to the deployment of 
distributed energy systems. 
(2) LOAN TERMS AND CONDITIONS.— 
(A) TERMS
AND
CONDITIONS.—Notwith-
standing any other provision of law, in pro-
viding a loan under this subsection, the Sec-
retary shall provide the loan on such terms and 
conditions as the Secretary determines, after 
consultation with the Secretary of the Treasury, 
in accordance with this subsection. 
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(B) SPECIFIC
APPROPRIATION.—No loan 
shall be made unless an appropriation for the 
full amount of the loan has been specifically 
provided for that purpose. 
(C) REPAYMENT.—No loan shall be made 
unless the Secretary determines that there is 
reasonable prospect of repayment of the prin-
cipal and interest by the borrower of the loan. 
(D) INTEREST
RATE.—A loan provided 
under this section shall bear interest at a fixed 
rate that is equal or approximately equal, in the 
determination of the Secretary, to the interest 
rate for Treasury securities of comparable ma-
turity. 
(E) TERM.—The term of the loan shall re-
quire full repayment over a period not to exceed 
the lesser of— 
(i) 20 years; or 
(ii) 90 percent of the projected useful 
life of the physical asset to be financed by 
the loan (as determined by the Secretary). 
(F) USE
OF
PAYMENTS.—Payments of 
principal and interest on the loan shall— 
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(i) be retained by the Secretary to 
support energy research and development 
activities; and 
(ii) remain available until expended, 
subject to such conditions as are contained 
in annual appropriations Acts. 
(G) NO
PENALTY
ON
EARLY
REPAY-
MENT.—The Secretary may not assess any pen-
alty for early repayment of a loan provided 
under this subsection. 
(H) RETURN
OF
UNUSED
PORTION.—In 
order to receive a loan under this subsection, an 
eligible entity shall agree to return to the gen-
eral fund of the Treasury any portion of the 
loan amount that is unused by the eligible enti-
ty within a reasonable period of time after the 
date of the disbursement of the loan, as deter-
mined by the Secretary. 
(I) COMPARABLE WAGE RATES.—Each la-
borer and mechanic employed by a contractor 
or subcontractor in performance of construction 
work financed, in whole or in part, by the loan 
shall be paid wages at rates not less than the 
rates prevailing on similar construction in the 
locality as determined by the Secretary of 
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177 
Labor in accordance with subchapter IV of 
chapter 31 of title 40, United States Code. 
(3) RULES AND PROCEDURES; DISBURSEMENT 
OF LOANS.— 
(A) RULES AND PROCEDURES.—Not later 
than 180 days after the date of enactment of 
this Act, the Secretary shall adopt rules and 
procedures for carrying out the loan program 
under paragraph (1). 
(B) DISBURSEMENT OF LOANS.—Not later 
than 1 year after the date on which the rules 
and procedures under subparagraph (A) are es-
tablished, the Secretary shall disburse the ini-
tial loans provided under this subsection. 
(4) REPORTS.—Not later than 2 years after the 
date of receipt of the loan, and annually thereafter 
for the term of the loan, an eligible entity that re-
ceives a loan under this subsection shall submit to 
the Secretary a report describing the performance of 
each program and activity carried out using the 
loan, including itemized loan performance data. 
(5) AUTHORIZATION
OF
APPROPRIATIONS.— 
There are authorized to be appropriated to carry out 
this subsection such sums as are necessary. 
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178 
(c) TECHNICAL
ASSISTANCE
AND
GRANT
PRO-
GRAM.— 
(1) ESTABLISHMENT.— 
(A) IN GENERAL.—The Secretary shall es-
tablish a technical assistance and grant pro-
gram (referred to in this subsection as the 
‘‘program’’)— 
(i) to disseminate information and 
provide technical assistance directly to eli-
gible entities so the eligible entities can 
identify, evaluate, plan, and design distrib-
uted energy systems; and 
(ii) to make grants to eligible entities 
so that the eligible entities may contract to 
obtain technical assistance to identify, 
evaluate, plan, and design distributed en-
ergy systems. 
(B) TECHNICAL
ASSISTANCE.—The tech-
nical assistance described in subparagraph (A) 
shall include assistance with one or more of the 
following activities relating to distributed en-
ergy systems: 
(i) Identification of opportunities to 
use distributed energy systems. 
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(ii) Assessment of technical and eco-
nomic characteristics. 
(iii) Utility interconnection. 
(iv) Permitting and siting issues. 
(v) Business planning and financial 
analysis. 
(vi) Engineering design. 
(C) INFORMATION
DISSEMINATION.—The 
information disseminated under subparagraph 
(A)(i) shall include— 
(i) information relating to the topics 
described in subparagraph (B), including 
case studies of successful examples; 
(ii) computer software and databases 
for assessment, design, and operation and 
maintenance of distributed energy systems; 
and 
(iii) public databases that track the 
operation and deployment of existing and 
planned distributed energy systems. 
(2) ELIGIBILITY.—Any nonprofit or for-profit 
entity shall be eligible to receive technical assistance 
and grants under the program. 
(3) APPLICATIONS.— 
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(A) IN GENERAL.—An eligible entity desir-
ing technical assistance or grants under the 
program shall submit to the Secretary an appli-
cation at such time, in such manner, and con-
taining such information as the Secretary may 
require. 
(B) APPLICATION
PROCESS.—The Sec-
retary shall seek applications for technical as-
sistance and grants under the program— 
(i) on a competitive basis; and 
(ii) on a periodic basis, but not less 
frequently than once every 12 months. 
(C) PRIORITIES.—In selecting eligible enti-
ties for technical assistance and grants under 
the program, the Secretary shall give priority to 
eligible entities with projects that have the 
greatest potential for— 
(i) facilitating the use of renewable 
energy resources; 
(ii) strengthening the reliability and 
resiliency of energy infrastructure to the 
impact of extreme weather events, power 
grid failures, and interruptions in supply 
of fossil fuels; 
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181 
(iii) 
improving 
the 
feasibility 
of 
microgrids or islanding, particularly in 
rural areas, including high energy cost 
rural areas; 
(iv) minimizing environmental impact, 
including regulated air pollutants and 
greenhouse gas emissions; and 
(v) maximizing local job creation. 
(4) GRANTS.—On application by an eligible en-
tity, the Secretary may award grants to the eligible 
entity to provide funds to cover not more than— 
(A) 100 percent of the costs of the initial 
assessment to identify opportunities; 
(B) 75 percent of the cost of feasibility 
studies to assess the potential for the imple-
mentation; 
(C) 60 percent of the cost of guidance on 
overcoming barriers to implementation, includ-
ing financial, contracting, siting, and permitting 
issues; and 
(D) 45 percent of the cost of detailed engi-
neering. 
(5) RULES AND PROCEDURES.— 
(A) RULES.—Not later than 180 days 
after the date of enactment of this Act, the Sec-
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182 
retary shall adopt rules and procedures for car-
rying out the program. 
(B) GRANTS.—Not later than 120 days 
after the date of issuance of the rules and pro-
cedures for the program, the Secretary shall 
issue grants under this subsection. 
(6) REPORTS.—The Secretary shall submit to 
Congress and make available to the public— 
(A) not less frequently than once every 2 
years, a report describing the performance of 
the program under this subsection, including a 
synthesis and analysis of the information pro-
vided in the reports submitted to the Secretary 
under subsection (b)(4); and 
(B) on termination of the program under 
this subsection, an assessment of the success of, 
and education provided by, the measures car-
ried out by eligible entities during the term of 
the program. 
(7) AUTHORIZATION
OF
APPROPRIATIONS.— 
There is authorized to be appropriated to carry out 
this subsection $250,000,000 for the period of fiscal 
years 2022 through 2031, to remain available until 
expended. 
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SEC. 242. GRANT PROGRAM FOR SOLAR INSTALLATIONS 
LOCATED IN, OR THAT SERVE, LOW-INCOME 
AND UNDERSERVED AREAS. 
(a) DEFINITIONS.—In this section: 
(1) BENEFICIARY.—The term ‘‘beneficiary’’ 
means a low-income household or a low-income 
household in an underserved area. 
(2) COMMUNITY
SOLAR
FACILITY.—The term 
‘‘community solar facility’’ means a solar generating 
facility that— 
(A) through a voluntary program, has mul-
tiple subscribers that receive financial benefits 
that are directly attributable to the facility; 
(B) has a nameplate rating of 5 megawatts 
AC or less; and 
(C) is located in the utility distribution 
service territory of subscribers. 
(3) COMMUNITY
SOLAR
SUBSCRIPTION.—The 
term ‘‘community solar subscription’’ means a share 
in the capacity, or a proportional interest in the elec-
tricity generation, of a community solar facility. 
(4) COVERED
FACILITY.—The term ‘‘covered 
facility’’ means— 
(A) a community solar facility— 
(i) that is located in an underserved 
area; or 
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(ii) at least 50 percent of the capacity 
of which is reserved for low-income house-
holds; 
(B) a solar generating facility located at a 
residence of a low-income household; or 
(C) a solar generating facility located at a 
multi-family affordable housing complex. 
(5) COVERED
STATE.—The term ‘‘covered 
State’’ means a State with processes in place to en-
sure that covered facilities deliver financial benefits 
to low-income households. 
(6) ELIGIBLE ENTITY.—The term ‘‘eligible enti-
ty’’ means— 
(A) a nonprofit organization that provides 
services to low-income households or multi-fam-
ily affordable housing complexes; 
(B) a developer, owner, or operator of a 
community solar facility that reserves a portion 
of the capacity of the facility for subscribers 
who are members of low-income households or 
for low-income households that otherwise finan-
cially benefit from the facility; 
(C) a covered State, or political subdivision 
thereof; 
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(D) an Indian Tribe or a tribally owned 
electric utility; 
(E) a Native Hawaiian community-based 
organization; 
(F) any other national or regional entity 
that has experience developing or installing 
solar generating facilities for low-income house-
holds that maximize financial benefits to those 
households; and 
(G) an electric cooperative or municipal 
electric utility (as such terms are defined in sec-
tion 3 of the Federal Power Act). 
(7) ELIGIBLE
INSTALLATION
PROJECT.—The 
term ‘‘eligible installation project’’ means a project 
to install a covered facility in a covered State. 
(8) ELIGIBLE PLANNING PROJECT.—The term 
‘‘eligible planning project’’ means a project to carry 
out pre-installation activities for the development of 
a covered facility in a covered State. 
(9) ELIGIBLE
PROJECT.—The term ‘‘eligible 
project’’ means— 
(A) an eligible planning project; or 
(B) an eligible installation project. 
(10) FEASIBILITY
STUDY.—The term ‘‘feasi-
bility study’’ means any activity to determine the 
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feasibility of a specific solar generating facility, in-
cluding a customer interest assessment and a siting 
assessment, as determined by the Secretary. 
(11) INDIAN TRIBE.—The term ‘‘Indian Tribe’’ 
means any Indian Tribe, band, nation, or other or-
ganized group or community, including any Alaska 
Native village, Regional Corporation, or Village Cor-
poration (as defined in, or established pursuant to, 
the Alaska Native Claims Settlement Act (43 U.S.C. 
1601 et seq.)), that is recognized as eligible for the 
special programs and services provided by the 
United States to Indians because of their status as 
Indians. 
(12) INTERCONNECTION
SERVICE.—The term 
‘‘interconnection service’’ has the meaning given 
such term in section 111(d)(15) of the Public Utility 
Regulatory Policies Act of 1978 (16 U.S.C. 
2621(d)(15)). 
(13) LOW-INCOME
HOUSEHOLD.—The term 
‘‘low-income household’’ means that income in rela-
tion to family size which— 
(A) is at or below 200 percent of the pov-
erty level determined in accordance with criteria 
established by the Director of the Office of 
Management and Budget, except that the Sec-
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187 
retary may establish a higher level if the Sec-
retary determines that such a higher level is 
necessary to carry out the purposes of this sec-
tion; 
(B) is the basis on which cash assistance 
payments have been paid during the preceding 
12-month period under titles IV and XVI of the 
Social Security Act (42 U.S.C. 601 et seq., 
1381 et seq.) or applicable State or local law; 
or 
(C) if a State elects, is the basis for eligi-
bility for assistance under the Low-Income 
Home Energy Assistance Act of 1981 (42 
U.S.C. 8621 et seq.), provided that such basis 
is at least 200 percent of the poverty level de-
termined in accordance with criteria established 
by the Director of the Office of Management 
and Budget. 
(14) MULTI-FAMILY
AFFORDABLE
HOUSING 
COMPLEX.—The term ‘‘multi-family affordable hous-
ing complex’’ means any federally subsidized afford-
able housing complex in which at least 50 percent of 
the units are reserved for low-income households. 
(15) NATIVE HAWAIIAN COMMUNITY-BASED OR-
GANIZATION.—The term ‘‘Native Hawaiian commu-
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nity-based organization’’ means any organization 
that is composed primarily of Native Hawaiians 
from a specific community and that assists in the 
social, cultural, and educational development of Na-
tive Hawaiians in that community. 
(16) PROGRAM.—The term ‘‘program’’ means 
the program established under subsection (b). 
(17) 
SECRETARY.—The 
term 
‘‘Secretary’’ 
means the Secretary of Energy. 
(18) SOLAR GENERATING FACILITY.—The term 
‘‘solar generating facility’’ means— 
(A) a generator that creates electricity 
from light photons; and 
(B) the accompanying hardware enabling 
that electricity to flow— 
(i) onto the electric grid; 
(ii) into a facility or structure; or 
(iii) into an energy storage device. 
(19) STATE.—The term ‘‘State’’ means each of 
the 50 States, the District of Columbia, Guam, the 
Commonwealth of Puerto Rico, the Northern Mar-
iana Islands, the Virgin Islands, and American 
Samoa. 
(20) SUBSCRIBER.—The term ‘‘subscriber’’ 
means a person who— 
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(A) owns a community solar subscription, 
or an equivalent unit or share of the capacity 
or generation of a community solar facility; or 
(B) financially benefits from a community 
solar facility, even if the person does not own 
a community solar subscription for the facility. 
(21) UNDERSERVED AREA.—The term ‘‘under-
served area’’ means— 
(A) a geographical area with low or no 
photovoltaic solar deployment, as determined by 
the Secretary; 
(B) a geographical area that has low or no 
access to electricity, as determined by the Sec-
retary; 
(C) a geographical area with an average 
annual residential retail electricity price that 
exceeds the national average annual residential 
retail electricity price (as reported by the En-
ergy Information Agency) by 50 percent or 
more; or 
(D) trust land, as defined in section 3765 
of title 38, United States Code. 
(b) ESTABLISHMENT.—The Secretary shall establish 
a program to provide financial assistance to eligible enti-
ties to— 
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(1) carry out planning projects that are nec-
essary to establish the feasibility, obtain required 
permits, identify beneficiaries, or secure subscribers 
to install a covered facility; or 
(2) install a covered facility for beneficiaries in 
accordance with this section. 
(c) APPLICATIONS.— 
(1) IN GENERAL.—To be eligible to receive as-
sistance under the program, an eligible entity shall 
submit to the Secretary an application at such time, 
in such manner, and containing such information as 
the Secretary may require. 
(2) INCLUSION
FOR
INSTALLATION
ASSIST-
ANCE.— 
(A) REQUIREMENTS.—For an eligible enti-
ty to receive assistance for a project to install 
a covered facility, the Secretary shall require 
the eligible entity to include— 
(i) information in the application that 
is sufficient to demonstrate that the eligi-
ble entity has obtained, or has the capacity 
to obtain, necessary permits, subscribers, 
access to an installation site, and any other 
items or agreements necessary to comply 
with an agreement under subsection (g)(1) 
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191 
and to complete the installation of the ap-
plicable covered facility; 
(ii) a description of the mechanism 
through which financial benefits will be 
distributed to beneficiaries or subscribers; 
and 
(iii) an estimate of the anticipated fi-
nancial benefit for beneficiaries or sub-
scribers. 
(B) 
CONSIDERATION
OF
PLANNING 
PROJECTS.—The Secretary shall consider the 
successful completion of an eligible planning 
project pursuant to subsection (b)(1) by the eli-
gible entity to be sufficient to demonstrate the 
ability of the eligible entity to meet the require-
ments of subparagraph (A)(i). 
(d) SELECTION.— 
(1) IN GENERAL.—In selecting eligible projects 
to receive assistance under the program, the Sec-
retary shall— 
(A) prioritize— 
(i) eligible installation projects that 
will result in the most financial benefit for 
subscribers, as determined by the Sec-
retary; 
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(ii) eligible installation projects that 
will result in development of covered facili-
ties in underserved areas; and 
(iii) eligible projects that include ap-
prenticeship, job training, or community 
participation as part of their application; 
and 
(B) ensure that such assistance is provided 
in a manner that results in eligible projects 
being carried out on a geographically diverse 
basis within and among covered States. 
(2) DETERMINATION
OF
FINANCIAL
BEN-
EFIT.—In determining the amount of financial ben-
efit for low-income households of an eligible installa-
tion project, the Secretary shall ensure that all cal-
culations for estimated household energy savings are 
based solely on electricity offsets from the applicable 
covered facility and use formulas established by the 
State or local government with jurisdiction over the 
applicable covered facility for verifiable household 
energy savings estimates that accrue to low-income 
households. 
(e) ASSISTANCE.— 
(1) FORM.—The Secretary may provide assist-
ance under the program in the form of a grant 
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(which may be in the form of a rebate) or a low-in-
terest loan. 
(2) MULTIPLE
PROJECTS
FOR
SAME
FACIL-
ITY.— 
(A) IN GENERAL.—An eligible entity may 
apply for assistance under the program for an 
eligible planning project and an eligible installa-
tion project for the same covered facility. 
(B) SEPARATE SELECTIONS.—Selection by 
the Secretary for assistance under the program 
of an eligible planning project does not require 
the Secretary to select for assistance under the 
program an eligible installation project for the 
same covered facility. 
(f) USE OF ASSISTANCE.— 
(1) ELIGIBLE PLANNING PROJECTS.—An eligi-
ble entity receiving assistance for an eligible plan-
ning project under the program may use such assist-
ance to pay the costs of pre-installation activities as-
sociated with an applicable covered facility, includ-
ing— 
(A) feasibility studies; 
(B) permitting; 
(C) site assessment; 
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(D) on-site job training, or other commu-
nity-based activities directly associated with the 
eligible planning project; or 
(E) such other costs determined by the 
Secretary to be appropriate. 
(2) ELIGIBLE
INSTALLATION
PROJECTS.—An 
eligible entity receiving assistance for an eligible in-
stallation project under the program may use such 
assistance to pay the costs of— 
(A) installation of a covered facility, in-
cluding costs associated with materials, permit-
ting, labor, or site preparation; 
(B) storage technology sited at a covered 
facility; 
(C) interconnection service expenses; 
(D) on-site job training, or other commu-
nity-based activities directly associated with the 
eligible installation project; 
(E) offsetting the cost of a subscription for 
a covered facility described in subparagraph (A) 
of subsection (a)(4) for subscribers that are 
members of a low income household; or 
(F) such other costs determined by the 
Secretary to be appropriate. 
(g) ADMINISTRATION.— 
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195 
(1) AGREEMENTS.— 
(A) IN GENERAL.—As a condition of re-
ceiving assistance under the program, an eligi-
ble entity shall enter into an agreement with 
the Secretary. 
(B) REQUIREMENTS.—An agreement en-
tered into under this paragraph— 
(i) shall require the eligible entity to 
maintain such records and adopt such ad-
ministrative practices as the Secretary may 
require to ensure compliance with the re-
quirements of this section and the agree-
ment; 
(ii) with respect to an eligible installa-
tion project shall require that any solar 
generating facility installed using assist-
ance provided pursuant to the agreement 
comply with local building and safety codes 
and standards; and 
(iii) shall contain such other terms as 
the Secretary may require to ensure com-
pliance with the requirements of this sec-
tion. 
(C) TERM.—An agreement under this 
paragraph shall be for a term that begins on 
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the date on which the agreement is entered into 
and ends on the date that is 2 years after the 
date on which the eligible entity receives assist-
ance pursuant to the agreement, which term 
may be extended once for a period of not more 
than 1 year if the eligible entity demonstrates 
to the satisfaction of the Secretary that such an 
extension is necessary to complete the activities 
required by the agreement. 
(2) USE OF FUNDS.—Of the funds made avail-
able to provide assistance to eligible installation 
projects under this section over the period of fiscal 
years 2022 through 2031, the Secretary shall use— 
(A) not less than 50 percent to provide as-
sistance for eligible installation projects with re-
spect to which low-income households make up 
at least 50 percent of the subscribers to the 
project; and 
(B) not more than 50 percent to provide 
assistance for eligible installation projects with 
respect to which low-income households make 
up at least 25 percent of the subscribers to the 
project. 
(3) REGULATIONS.—Not later than 120 days 
after the date of enactment of this Act, the Sec-
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retary shall publish in the Federal Register regula-
tions to carry out this section, which shall take ef-
fect on the date of publication. 
(h) AUTHORIZATION OF APPROPRIATIONS.— 
(1) IN GENERAL.—There is authorized to be 
appropriated to the Secretary to carry out this sec-
tion $250,000,000 for each of fiscal years 2022 
through 2031, to remain available until expended. 
(2) AMOUNTS FOR PLANNING PROJECTS.—Of 
the amounts appropriated pursuant to this section 
over the period of fiscal years 2022 through 2031, 
the Secretary shall use not more than 15 percent of 
funds to provide assistance to eligible planning 
projects. 
(i) RELATIONSHIP
TO OTHER ASSISTANCE.—The 
Secretary shall, to the extent practicable, encourage eligi-
ble entities that receive assistance under this section to 
leverage such funds by seeking additional funding through 
federally or locally subsidized weatherization and energy 
efficiency programs. 
SEC. 243. HYDROPOWER LICENSING AND PROCESS IM-
PROVEMENTS. 
(a) HYDROPOWER LICENSING
AND PROCESS IM-
PROVEMENTS.—Part I of the Federal Power Act (16 
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198 
U.S.C. 792 et seq.) is amended by adding at the end the 
following: 
‘‘SEC. 37. HYDROPOWER LICENSING AND PROCESS IM-
PROVEMENTS. 
‘‘(a) DEFINITION.—In this section, the term ‘Federal 
authorization’— 
‘‘(1) means any authorization required under 
Federal law with respect to an application for a li-
cense under this part; and 
‘‘(2) includes any conditions, prescriptions, per-
mits, special use authorizations, certifications, opin-
ions, or other approvals as may be required under 
Federal law to approve or implement the license 
under this part. 
‘‘(b) DESIGNATION AS LEAD AGENCY.—The Com-
mission shall act as the lead agency for the purposes of 
complying with the National Environmental Policy Act of 
1969 (42 U.S.C. 4321 et seq.) with respect to an applica-
tion for a license under this part. 
‘‘(c) RULEMAKING TO ESTABLISH PROCESS TO SET 
SCHEDULE.— 
‘‘(1) NEGOTIATED
RULEMAKING.—Not later 
than 90 days after the date of enactment of this sec-
tion the Commission, the Secretary of Agriculture, 
the Administrator of the National Oceanic and At-
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199 
mospheric Administration, and the Secretary of the 
Interior shall enter into a negotiated rulemaking 
pursuant to subchapter III of chapter 5 of title 5, 
United States Code, to develop and publish a rule 
providing a process for the Commission to evaluate, 
and issue a final decision on, a completed applica-
tion for a license under this part. 
‘‘(2) NEGOTIATED RULEMAKING COMMITTEE.— 
The negotiated rulemaking committee established 
pursuant to the negotiated rulemaking process en-
tered into under paragraph (1) shall include rep-
resentatives of State and Indian tribal governments, 
and other stakeholders who will be significantly af-
fected by a rule issued under this subsection. 
‘‘(3) DEADLINES.— 
‘‘(A) PROPOSED RULE.—Not later than 2 
years after the date of enactment of this sec-
tion, the Commission shall publish a proposed 
rule resulting from the negotiated rulemaking 
under this subsection. 
‘‘(B) FINAL
RULE.—Not later than 3 
years after the date of enactment of this sec-
tion, the Commission shall publish a final rule 
resulting from the negotiated rulemaking under 
this subsection. 
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200 
‘‘(4) ELEMENTS
OF
RULE.—In publishing a 
rule under this subsection, the Commission shall en-
sure that— 
‘‘(A) the rule includes a description of the 
Commission’s responsibility as the lead agency 
in coordinating Federal authorizations; 
‘‘(B) the rule includes a process for devel-
opment of a schedule for the review and disposi-
tion of a completed application for a license 
under this part; 
‘‘(C) each schedule developed pursuant to 
such process shall— 
‘‘(i) include deadlines for actions on 
the applicable completed application— 
‘‘(I) that are consistent with the 
duties of each agency under this Act 
and under applicable State, tribal, and 
other Federal laws; and 
‘‘(II) by— 
‘‘(aa) each Federal agency 
responsible for a Federal author-
ization; 
‘‘(bb) each State agency, 
local government, or Indian tribe 
that may consider an aspect of 
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201 
an application for a Federal au-
thorization or is responsible for 
conducting any separate permit-
ting and environmental reviews of 
the applicable project; 
‘‘(cc) the applicant; 
‘‘(dd) the Commission; and 
‘‘(ee) other participants in a 
license proceeding; 
‘‘(ii) facilitate the identification and 
completion of Federal, State, and tribal 
agency-requested studies, reviews, and any 
other procedures required to be conducted 
prior to, or concurrent with, the prepara-
tion of the Commission’s environmental re-
view required under the National Environ-
mental Policy Act of 1969 (42 U.S.C. 
4321 et seq.), to the extent practicable; 
and 
‘‘(iii) provide for a final decision on 
the applicable completed application to be 
made by not later than 3 years after the 
date on which the Commission receives 
such completed application; 
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202 
‘‘(D) the rule includes a mechanism for re-
solving issues of concern that may delay the 
completion of a license application or review of 
a completed application; 
‘‘(E) the rule includes a definition of a 
completed application; and 
‘‘(F) the rule provides for an opportunity 
for public notice and comment on— 
‘‘(i) a completed application; and 
‘‘(ii) the schedule developed for the re-
view and disposition of the application. 
‘‘(d) APPLICATION PROCESSING.—The Commission, 
Federal, State, and local government agencies, and Indian 
tribes may allow an applicant seeking a Federal authoriza-
tion to fund a third-party contractor selected by such an 
agency or tribe to assist in reviewing the application. All 
costs of an agency or tribe incurred pursuant to direct 
funding by the applicant, including all costs associated 
with the third-party contractor, shall not be considered 
costs of the United States for the administration of this 
part under section 10(e). 
‘‘(e) ISSUE RESOLUTION.—The Commission may for-
ward any issue of concern that has delayed either the com-
pletion of the application or the issuance of a license for 
a completed application beyond the deadline set forth in 
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203 
the schedule established under the final rule published 
under subsection (c) to the heads of the relevant State, 
Federal, or Indian tribal agencies for resolution. If the 
Commission forwards an issue of concern to the head of 
a relevant agency, the Commission and the relevant agen-
cy shall enter into a memorandum of understanding to fa-
cilitate interagency coordination and resolution of the 
issue of concern, as appropriate. 
‘‘(f) NO EFFECT ON OTHER LAWS.—Nothing in this 
section— 
‘‘(1) expands or limits the application of any 
power or authority vested in an agency, State, or In-
dian tribe by any applicable law or regulation; 
‘‘(2) shall be construed to affect any require-
ments of State, tribal, or other Federal law (includ-
ing under the Federal Water Pollution Control Act, 
the Fish and Wildlife Coordination Act, the Endan-
gered Species Act of 1973, section 14 of the Act of 
March 3, 1899 (commonly known as the Rivers and 
Harbors Appropriation Act of 1899), the Coastal 
Zone Management Act of 1972, the Magnuson-Ste-
vens Fishery Conservation and Management Act, 
and those provisions in subtitle III of title 54, 
United States Code, commonly known as the Na-
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204 
tional Historic Preservation Act) with respect to an 
application for a license under this part; or 
‘‘(3) abrogates, diminishes, or otherwise affects 
any treaty or other right of any Indian tribe. 
‘‘SEC. 38. LICENSING STUDY IMPROVEMENTS. 
‘‘(a) IN GENERAL.—To facilitate the timely and effi-
cient completion of the license proceedings under this part, 
the Commission shall, in consultation with applicable Fed-
eral and State agencies and interested members of the 
public— 
‘‘(1) compile current and accepted best prac-
tices in performing studies required in such license 
proceedings, including methodologies and the design 
of studies to assess the full range of environmental 
impacts of a project that reflect the most recent 
peer-reviewed science; 
‘‘(2) compile a comprehensive collection of stud-
ies and data accessible to the public that could be 
used to inform license proceedings under this part; 
and 
‘‘(3) encourage license applicants, agencies, and 
Indian tribes to develop and use, for the purpose of 
fostering timely and efficient consideration of license 
applications, a limited number of open-source meth-
odologies and tools applicable across a wide array of 
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205 
projects, including water balance models and 
streamflow analyses. 
‘‘(b) USE OF STUDIES.—To the extent practicable, 
the Commission and other Federal, State, and local gov-
ernment agencies and Indian tribes considering an aspect 
of an application for Federal authorization (as defined in 
section 37) shall use relevant, existing studies and data 
and avoid duplicating such studies that are applicable to 
the project. Studies repeated for the purpose of character-
izing seasonal or annual variation of a relevant char-
acteristic or resource shall not be considered duplicative. 
‘‘SEC. 39. EVALUATION OF EXPEDITED LICENSING FOR 
QUALIFYING PROJECT UPGRADES. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) EXPEDITED LICENSE AMENDMENT PROC-
ESS.—The term ‘expedited license amendment proc-
ess’ means an expedited process for issuing an 
amendment to an existing license issued under this 
part for a project. 
‘‘(2) QUALIFYING
PROJECT
UPGRADE.—The 
term ‘qualifying project upgrade’ means a change— 
‘‘(A) to a project; and 
‘‘(B) that meets the criteria under sub-
section (b). 
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‘‘(b) IN GENERAL.—To improve the regulatory proc-
ess and reduce the time and cost of making upgrades to 
existing projects, the Commission shall investigate the fea-
sibility of implementing an expedited license amendment 
process for a change to a project that meets the following 
criteria: 
‘‘(1) The change to the project— 
‘‘(A) is limited to the power house equip-
ment of the project; or 
‘‘(B) will result in environmental protec-
tion, mitigation, or enhancement measures to 
benefit fish and wildlife resources or other nat-
ural or cultural resources. 
‘‘(2) The change to the project is unlikely to 
adversely affect any species listed as threatened or 
endangered under the Endangered Species Act of 
1973 (16 U.S.C. 1531 et seq.), as determined by the 
Secretary of the Interior. 
‘‘(3) The Commission ensures, in accordance 
with section 7 of the Endangered Species Act of 
1973 (16 U.S.C. 1536), that the change to the 
project will not result in the destruction or modifica-
tion of critical habitat. 
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‘‘(4) The change to the project is consistent 
with any applicable comprehensive plan under sec-
tion 10(a). 
‘‘(5) The change to the project is unlikely to 
adversely affect water quality and water supply, as 
determined in consultation with any applicable State 
or Indian tribe. 
‘‘(6) Any adverse environmental effects result-
ing from the change to the project will be insignifi-
cant. 
‘‘(c) WORKSHOPS
AND PILOTS.—The Commission 
shall— 
‘‘(1) not later than 60 days after the date of 
enactment of this section, hold an initial workshop 
to solicit public comment and recommendations on 
how to implement an expedited license amendment 
process for qualifying project upgrades; 
‘‘(2) evaluate pending applications for an 
amendment to an existing license of a project for a 
qualifying project upgrade that may benefit from an 
expedited license amendment process; 
‘‘(3) not later than 180 days after the date of 
enactment of this section, identify and solicit partici-
pation by project developers in, and begin implemen-
tation of, a 3-year pilot program to evaluate the fea-
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208 
sibility and utility of an expedited license amend-
ment process for qualifying project upgrades; and 
‘‘(4) not later than 3 months after the end of 
the 3-year pilot program under paragraph (3), hold 
a final workshop to solicit public comment on the ex-
pedited license amendment process. 
‘‘(d) MEMORANDUM
OF
UNDERSTANDING.—The 
Commission shall, to the extent practicable, enter into a 
memorandum of understanding with any applicable Fed-
eral, State, or tribal agency to implement the pilot pro-
gram described in subsection (c). 
‘‘(e) REPORTS.—Not later than 3 months after the 
date of the final workshop held pursuant to subsection 
(c)(4), the Commission shall submit to the Committee on 
Energy and Commerce of the House of Representatives 
and the Committee on Energy and Natural Resources of 
the Senate a report that includes— 
‘‘(1) a summary of the public comments re-
ceived as part of the initial workshop held under 
subsection (c)(1); 
‘‘(2) a summary of the public comments re-
ceived as part of the final workshop held under sub-
section (c)(4); 
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‘‘(3) a description of the expedited license 
amendment process for qualifying project upgrades 
evaluated under the pilot program, including— 
‘‘(A) a description of the procedures or re-
quirements that were waived under the expe-
dited license amendment process; and 
‘‘(B) a comparison between— 
‘‘(i) the average amount of time re-
quired to complete the licensing process for 
an amendment to a license under the expe-
dited license amendment process tested 
under the pilot program; and 
‘‘(ii) the average amount of time re-
quired to complete the licensing process for 
a similar amendment to a license under 
current Commission processes; 
‘‘(4) the number of requests received by the 
Commission to participate in the expedited license 
amendment process for qualifying project upgrades; 
‘‘(5) a description of changes to Commission 
rules required to create and standardize an expe-
dited license amendment process for qualifying 
project upgrades; and 
‘‘(6) a description of factors that prevented any 
participant in the pilot program from completing the 
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210 
expedited license amendment process in the expe-
dited timeframe. 
‘‘(f) IMPLEMENTATION.—If the Commission deter-
mines, based upon the workshops and results of the pilot 
program under subsection (c), that an expedited license 
amendment process will reduce the time and costs for 
issuing amendments to licenses for qualifying project up-
grades, the Commission shall revise its policies and regula-
tions, in accordance with applicable law, to establish an 
expedited license amendment process. 
‘‘(g) PUBLIC INPUT.—In carrying out subsection (f), 
the Commission shall solicit and consider public comments 
before finalizing any change to policies or regulations.’’. 
(b) PILOT PROGRAM FOR CONSOLIDATED LICENSING 
PROCESS FOR INTRA-WATERSHED PROJECTS.— 
(1) DEFINITIONS.—In this subsection: 
(A) COMMISSION.—The term ‘‘Commis-
sion’’ means the Federal Energy Regulatory 
Commission. 
(B) PROJECT.—The term ‘‘project’’ has 
the meaning given such term in section 3 of the 
Federal Power Act (16 U.S.C. 796). 
(2) INITIAL
WORKSHOP.—Not later than 3 
months after the date of enactment of this Act, the 
Commission shall hold a workshop to solicit public 
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211 
comment and recommendations on how to implement 
a pilot program described in paragraph (3). 
(3) ESTABLISHMENT OF PILOT PROGRAM.—The 
Commission shall establish a voluntary pilot pro-
gram to enable the Commission to consider multiple 
projects together in a consolidated licensing process 
in order to issue a license under part I of the Fed-
eral Power Act (16 U.S.C. 792 et seq.) for each 
such project. 
(4) CANDIDATE
PROJECT
IDENTIFICATION.— 
Not later than 1 year after the date of enactment 
of this Act, the Commission, in consultation with the 
head of any applicable Federal or State agency or 
Indian Tribe and licensees, shall identify and solicit 
candidate projects to participate in the pilot pro-
gram established under paragraph (3). In order to 
participate in such pilot program a project shall 
meet the following criteria: 
(A) The current license for the project ex-
pires between 2021 and 2030 or the project is 
not licensed under part I of the Federal Power 
Act (16 U.S.C. 792 et seq.). 
(B) The project is located within the same 
watershed as other projects that are eligible to 
participate in the pilot program. 
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212 
(C) The project is located in sufficiently 
close proximity and has environmental condi-
tions that are sufficiently similar to other 
projects that are eligible to participate in the 
pilot program so that watershed-wide studies 
and information may be developed, thereby sig-
nificantly reducing the need for, and scope of, 
individual project-level studies and information. 
(5) DESIGNATION OF INDIVIDUAL PROJECTS AS 
A SINGLE GROUP.—The Commission may designate 
a group of projects to be considered together in a 
consolidated licensing process under the pilot pro-
gram established under paragraph (3). The Commis-
sion may designate such a group only if each li-
censee (or applicant) for a project in the group, on 
a voluntary basis and in writing, agrees— 
(A) to participate in the pilot program; 
and 
(B) to a cost-sharing arrangement with 
other licensees (or applicants) and applicable 
Federal and State agencies with respect to the 
conduct of watershed-wide studies to be consid-
ered in support of the license applications for 
the group of projects. 
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213 
(6) PROJECT LICENSE TERMS.—The Commis-
sion may change the term of any existing license for 
an individual licensee in a group designated under 
paragraph (5) by up to 5 years— 
(A) to provide sufficient time to develop a 
consolidated study plan for— 
(i) studies for individual projects in 
the group, as necessary; and 
(ii) relevant watershed-wide studies 
for purposes of the consolidated licensing 
process under the pilot program estab-
lished under paragraph (3) that will be ap-
plicable to each project in the group; and 
(B) to align the terms of the existing li-
censes such that they expire on the same date. 
(7) MEMORANDUM OF UNDERSTANDING.—The 
Commission shall, to the extent practicable, enter 
into a memorandum of understanding with any ap-
plicable Federal or State agency or Indian Tribe to 
implement the pilot program established under para-
graph (3). 
(8) INITIAL REPORT.—Not later than 3 months 
after the date of the initial workshop held pursuant 
to paragraph (2), the Commission shall submit to 
the Committee on Energy and Commerce of the 
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214 
House of Representatives and the Committee on En-
ergy and Natural Resources of the Senate a report 
that includes— 
(A) a summary of the public comments re-
ceived as part of such initial workshop; and 
(B) a preliminary plan for identifying and 
soliciting participants in the pilot program es-
tablished under paragraph (3). 
(9) INTERIM REPORT.—Not later than 4 years 
after the establishment of the pilot program under 
paragraph (3), the Commission shall submit to the 
Committee on Energy and Commerce of the House 
of Representatives and the Committee on Energy 
and Natural Resources of the Senate a report that 
includes— 
(A) a description of the status of the pilot 
program, including a description of the indi-
vidual projects that are participating in the 
pilot program and the watersheds in which such 
projects are located; or 
(B) if no projects are participating in the 
pilot program, a summary of any barriers the 
Commission has identified to proceeding with 
the pilot program and the reasons provided by 
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215 
potential participants for their preference for 
using an individual license process. 
(c) INTERAGENCY COMMUNICATIONS AND COOPERA-
TION.—Part I of the Federal Power Act (16 U.S.C. 792 
et seq.) is further amended by adding at the end the fol-
lowing new section: 
‘‘SEC. 40. INTERAGENCY COMMUNICATIONS AND COOPERA-
TION. 
‘‘(a) EX
PARTE
COMMUNICATIONS.—Interagency 
communications relating to the preparation of environ-
mental documents under the National Environmental Pol-
icy Act of 1969 (42 U.S.C. 4321 et seq.) with respect to 
an application for a license under this part, or to the li-
censing process for a license under this part, shall not be 
considered to be ex parte communications under Commis-
sion rules. 
‘‘(b) PARTICIPATION IN PROCEEDINGS.—Interagency 
cooperation, at any time, in the preparation of environ-
mental documents under the National Environmental Pol-
icy Act of 1969 (42 U.S.C. 4321 et seq.) with respect to 
an application for a license under this part, or in the li-
censing process for a license under this part, shall not pre-
clude an agency from participating in a licensing pro-
ceeding under this part. 
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216 
‘‘(c) SEPARATION OF STAFF.—Notwithstanding sub-
section (a), to the extent the Commission determines nec-
essary, the Commission may require Federal and State 
agencies participating as cooperating agencies under the 
National Environmental Policy Act of 1969 (42 U.S.C. 
4321 et seq.) to demonstrate a separation of staff that 
are cooperating with the Commission with respect to a 
proceeding under this part from staff that may participate 
in an intervention in the applicable proceeding.’’. 
(d) TECHNICAL AMENDMENTS.— 
(1) 
ALTERNATIVE
CONDITIONS.—Section 
33(a)(2)(B) of the Federal Power Act (16 U.S.C. 
823d(a)(2)(B)) is amended, in the matter preceding 
clause (i), by inserting ‘‘deemed necessary’’ before 
‘‘by the Secretary’’. 
(2) LICENSES.—Section 4(e) of the Federal 
Power Act (16 U.S.C. 797(e)) is amended by strik-
ing ‘‘adequate protection and utilization of such res-
ervation’’ and all that follows through ‘‘That no li-
cense affecting the navigable capacity’’ and inserting 
‘‘adequate protection and utilization of such reserva-
tion. The license applicant and any party to the pro-
ceeding shall be entitled to a determination on the 
record, after opportunity for an agency trial-type 
hearing of no more than 90 days, on any disputed 
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217 
issues of material fact with respect to such condi-
tions. All disputed issues of material fact raised by 
any party shall be determined in a single trial-type 
hearing to be conducted by the relevant resource 
agency in accordance with the regulations promul-
gated under this subsection and within the time-
frame established by the Commission for each li-
cense proceeding. Within 90 days of the date of en-
actment of the Energy Policy Act of 2005, the Sec-
retaries of the Interior, Commerce, and Agriculture 
shall establish jointly, by rule, the procedures for 
such expedited trial-type hearing, including the op-
portunity to undertake discovery and cross-examine 
witnesses, in consultation with the Federal Energy 
Regulatory Commission: Provided further, That no 
license affecting the navigable capacity’’. 
(e) 
IMPROVING
CONSULTATION
WITH
INDIAN 
TRIBES.— 
(1) GUIDANCE DOCUMENT.— 
(A) IN GENERAL.—Not later than one year 
after the date of enactment of this Act, the 
Federal Energy Regulatory Commission and 
the Secretary of the Interior shall prepare, in 
consultation with interested Indian Tribes, li-
censees under part I of the Federal Power Act, 
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218 
and the public, a guidance document that iden-
tifies best practices for the Commission, Fed-
eral and State resource agencies, Indian Tribes, 
and applicants for licenses under part I of the 
Federal Power Act for effective engagement of 
Indian Tribes in the consideration of applica-
tions for licenses under part I of the Federal 
Power Act that may affect an Indian reserva-
tion, a treaty, or other right of an Indian Tribe. 
(B) UPDATES.—The Commission and Sec-
retary shall update the guidance document pre-
pared under subparagraph (A) every 10 years. 
(C) PUBLIC PARTICIPATION.—In preparing 
or updating the guidance document, the Com-
mission and the Secretary shall convene public 
meetings at different locations in the United 
States, and shall provide an opportunity for 
written public comments. 
(2) PUBLIC WORKSHOPS.— 
(A) IN GENERAL.—Not later than one year 
after preparing or updating the guidance docu-
ment under paragraph (1), the Commission 
shall convene public workshops, held at dif-
ferent locations in the United States, to inform 
and educate Commission staff, Federal and 
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219 
State resource agencies, Indian Tribes, appli-
cants for licenses under part I of the Federal 
Power Act, and interested members of the pub-
lic, on the best practices identified in the guid-
ance document. 
(B) CONSULTATION.—In preparing the 
agenda for such workshops, the Commission 
shall consult with the Secretary of the Interior, 
interested Indian Tribes, and licensees under 
part I of the Federal Power Act. 
(f) TRIBAL MANDATORY CONDITIONS.— 
(1) IN
GENERAL.—Section 4 of the Federal 
Power Act (16 U.S.C. 797) is amended— 
(A) in subsection (e), in the first proviso, 
by inserting ‘‘, or, in the case of tribal land, 
subject to subsection (h), the Indian tribe hav-
ing jurisdiction over the tribal land,’’ after 
‘‘under whose supervision such reservation 
falls’’; and 
(B) by adding at the end the following: 
‘‘(h) TRIBAL MANDATORY CONDITIONS.— 
‘‘(1) CRITERIA.—An Indian tribe may deem 
conditions necessary under the first proviso of sub-
section (e) only if the Secretary of the Interior (re-
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220 
ferred to in this subsection as the ‘Secretary’) deter-
mines that the Indian tribe has— 
‘‘(A) confirmed the intent of the Indian 
tribe to deem conditions necessary under the 
first proviso of subsection (e) by resolution or 
other official action by the governing body of 
the Indian tribe; 
‘‘(B) demonstrated financial stability and 
financial management capability over the 3-fis-
cal-year period preceding the date of the deter-
mination of the Secretary under this paragraph; 
and 
‘‘(C) demonstrated the ability to plan, con-
duct, and administer all services, functions, and 
activities that would otherwise be administered 
by the Secretary with respect to deeming condi-
tions necessary on tribal land under the first 
proviso of subsection (e). 
‘‘(2) DETERMINATION
ON
REQUEST.—On re-
quest of an Indian tribe, not later than 1 year after 
the date on which the Secretary receives the request, 
the Secretary shall make the determination under 
paragraph (1). 
‘‘(3) WITHDRAWAL OF DETERMINATION.— 
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221 
‘‘(A) IN
GENERAL.—Subject to subpara-
graph (B), if the Secretary determines that an 
Indian tribe no longer meets the criteria under 
paragraph (1), the Secretary may withdraw the 
determination under paragraph (2). 
‘‘(B) NOTICE AND OPPORTUNITY TO RE-
SPOND.—Before withdrawing a determination 
under subparagraph (A), the Secretary shall 
provide to the Indian tribe— 
‘‘(i) notice of the proposed with-
drawal; and 
‘‘(ii) an opportunity to respond and, if 
necessary, redress the deficiencies identi-
fied by the Secretary.’’. 
(2) ALTERNATIVE CONDITIONS.—Section 33(a) 
of the Federal Power Act (16 U.S.C. 823d(a)) is 
amended— 
(A) in paragraph (1), by inserting ‘‘or an 
Indian tribe’’ before ‘‘deems a condition’’; 
(B) in paragraph (2), by inserting ‘‘or In-
dian tribe’’ after ‘‘the Secretary’’ each place it 
appears; 
(C) in paragraph (3), by inserting ‘‘or In-
dian tribe’’ after ‘‘the Secretary’’ each place it 
appears; 
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222 
(D) in paragraph (4)— 
(i) by inserting ‘‘or Indian tribe’’ be-
fore ‘‘concerned shall submit’’; 
(ii) by inserting ‘‘or Indian tribe’’ be-
fore ‘‘gave equal consideration’’; 
(iii) by inserting ‘‘or Indian tribe’’ 
after ‘‘may be available to the Secretary’’; 
(iv) by inserting ‘‘or Indian tribe’’ be-
fore ‘‘shall also submit,’’; and 
(v) by striking ‘‘available to the Sec-
retary and relevant to the Secretary’s deci-
sion’’ and inserting ‘‘available to the Sec-
retary or Indian tribe and relevant to the 
decision of the Secretary or Indian tribe’’; 
and 
(E) in paragraph (5)— 
(i) by striking ‘‘Secretary’s final con-
dition’’ and inserting ‘‘final condition of 
the Secretary or Indian tribe’’; 
(ii) by inserting ‘‘or Indian tribe’’ 
after ‘‘consult with the Secretary’’; 
(iii) by inserting ‘‘or Indian tribe’’ be-
fore ‘‘may accept the Dispute Resolution’’; 
(iv) by inserting ‘‘or Indian tribe’’ 
after ‘‘advisory unless the Secretary’’; 
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223 
(v) by inserting ‘‘or Indian tribe’’ be-
fore ‘‘shall submit the advisory and’’; and 
(vi) by striking ‘‘Secretary’s final 
written determination’’ and inserting ‘‘final 
written determination of the Secretary or 
Indian tribe’’. 
(g) CONSIDERATION OF INVASIVE SPECIES.—Section 
18 of the Federal Power Act (16 U.S.C. 811) is amended 
by inserting after ‘‘the Secretary of Commerce.’’ the fol-
lowing: ‘‘In prescribing a fishway, the Secretary of Com-
merce or the Secretary of the Interior, as appropriate, 
shall consider the threat of invasive species.’’. 
SEC. 244. LONG-TERM NUCLEAR POWER PURCHASE AGREE-
MENT PILOT PROGRAM. 
(a) ESTABLISHMENT.—The Secretary of Energy 
shall establish a pilot program for a long-term power pur-
chase agreement. 
(b) REQUIREMENTS.—In developing the pilot pro-
gram under this section, the Secretary shall— 
(1) consult with the heads of other Federal de-
partments and agencies that may benefit from pur-
chasing nuclear power for a period of longer than 10 
years; and 
(2) not later than December 31, 2023, enter 
into at least 1 agreement to purchase power pro-
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224 
duced in a nuclear reactor by a person to whom a 
license is issued under section 103 of the Atomic 
Energy Act of 1954 after January 1, 2020. 
(c) FACTORS FOR CONSIDERATION.— 
(1) IN GENERAL.—In carrying out this section, 
the Secretary may only consider power purchase 
agreements for first-of-a-kind or early deployment 
nuclear technologies that can provide reliable and re-
silient power to high-value assets for national secu-
rity purposes or other purposes as the Secretary de-
termines to be in the national interest, especially in 
remote off-grid scenarios or grid-connected scenarios 
that can provide capabilities commonly known as 
‘‘islanding power capabilities’’ during an emergency 
scenario. 
(2) EFFECT ON RATES.—An agreement to pur-
chase power under this section may be at a rate that 
is higher than the average market rate. 
SEC. 245. DISTRIBUTED RENEWABLE ENERGY. 
(a) DEFINITIONS.—In this section: 
(1) AUTHORITY
HAVING
JURISDICTION.—The 
term ‘‘authority having jurisdiction’’ means any 
State, county, local, or Tribal office or official with 
jurisdiction— 
(A) to issue permits; 
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225 
(B) to conduct inspections to enforce the 
requirements of a relevant code or standard; or 
(C) to approve the installation of, or the 
equipment and materials used in the installa-
tion of, qualifying distributed energy systems. 
(2) 
DISTRIBUTED
ENERGY
SYSTEM
IN-
STALLER.—The term ‘‘distributed energy system in-
staller’’ means an entity or individual— 
(A) with knowledge and skills relating to— 
(i) the construction and operation of 
the equipment used in qualifying distrib-
uted energy systems; and 
(ii) the installation of qualifying dis-
tributed energy systems; and 
(B) that has employed safety training to 
recognize and avoid the hazards involved in con-
structing, operating, and installing qualifying 
distributed energy systems. 
(3) QUALIFYING
DISTRIBUTED
ENERGY
SYS-
TEM.—The term ‘‘qualifying distributed energy sys-
tem’’ means any equipment or materials installed in, 
on, or near a residential, commercial, or industrial 
building to support onsite or local energy use, in-
cluding— 
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226 
(A) to generate electricity from distributed 
renewable energy sources, including from— 
(i) solar photovoltaic modules or simi-
lar solar energy technologies; 
(ii) wind power systems; and 
(iii) hydrogen electrolysis and fuel cell 
systems; 
(B) to store and discharge electricity from 
batteries with a capacity of at least 2 kilowatt 
hours; 
(C) to charge a plug-in electric drive vehi-
cle at a power rate of at least 2 kilowatts; 
(D) to refuel a fuel cell electric vehicle; or 
(E) to generate electricity from fuel cell 
systems with a capacity of at least 2 kilowatt 
hours. 
(4) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Energy. 
(b) ESTABLISHMENT OF PROGRAM TO FACILITATE 
VOLUNTARY STREAMLINED PROCESS FOR LOCAL PER-
MITTING
OF QUALIFYING DISTRIBUTED ENERGY SYS-
TEMS.— 
(1) IN
GENERAL.—Not later than 180 days 
after the date of enactment of this Act, the Sec-
retary, in consultation with trade associations and 
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238 
of each proposed revision. If the Secretary de-
termines that the proposed revision would not 
meet the applicable target, the Secretary shall, 
within an additional 90 days, convey to the 
model codes or standards organization proposed 
modifications to the proposed code sufficient to 
meet the target. 
‘‘(B) FINAL
DETERMINATION.—The Sec-
retary shall make a final determination and 
communicate it to the model codes or standards 
organization and the public by not later than 
180 days after the date of publication of the re-
vision. The Secretary may separately make a 
determination on the code or standard with op-
tional appendices, or on other options published 
by the model codes or standards organization. 
‘‘(e) ALTERNATIVE
MODEL
BUILDING
ENERGY 
CODE.— 
‘‘(1) NEGATIVE DETERMINATION.—If the Sec-
retary makes a final determination that a model 
building energy code revision does not meet the ap-
plicable target, the Secretary shall within 6 months 
of the date of the determination and after notice and 
comment— 
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287 
COOLING
COMPONENT
OF
AN
HVAC
SYSTEM.—In 
order to qualify for a partial system rebate described 
in subsection (a)(2)— 
(A) any HVAC system, heating component 
of an HVAC system, or cooling component of 
an HVAC system installed shall be Energy Star 
Most Efficient certified; 
(B) installation of such an HVAC system, 
the heating component of an HVAC system, or 
the cooling component of an HVAC system, 
shall be completed in accordance with standards 
specified by the Secretary that are at least as 
stringent as the applicable guidelines of the Air 
Conditioning Contractors of America that are in 
effect on the date of enactment of this Act; 
(C) if ducts are present, replacement of an 
HVAC system, the heating component of an 
HVAC system, or the cooling component of an 
HVAC system shall include duct sealing; and 
(D) the installation of insulation and air 
sealing shall occur within 6 months of the re-
placement of the HVAC system, the heating 
component of an HVAC system, or the cooling 
component of an HVAC system. 
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301 
ing within a home of the homeowner or the 
household living in a multifamily building shall 
be $1,600; and 
(B) under section 338(a)(2) for the pur-
chase and installation of insulation and air seal-
ing within a home of the homeowner or the 
household living in a multifamily building and 
replacement of an HVAC system, the heating 
component of an HVAC system, or the cooling 
component of an HVAC system, of such home, 
shall be $3,000; 
(2) of a modeled performance rebate under sec-
tion 339 for an energy audit and home energy effi-
ciency retrofit that is projected to reduce home en-
ergy use as described in— 
(A) 
section 
339(d)(2)(B)(i) 
shall 
be 
$4,000; and 
(B) 
section 
339(d)(2)(B)(ii) 
shall 
be 
$8,000; and 
(3) of a measured performance rebate under 
section 339 for a home energy efficiency retrofit that 
reduces home energy use as described in— 
(A) 
section 
339(e)(2)(B)(i) 
shall 
be 
$4,000; and 
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349 
(ii) 
ACCEPTANCE
BY
ADMINIS-
TRATOR.—If the Administrator determines 
under 
clause 
(i) 
that 
a 
State’s 
benchmarking requirement meets or ex-
ceeds the benchmarking submission re-
quirements under section 383, the Admin-
istrator shall approve the certification. 
(iii) DEFICIENCY NOTICE.—If the Ad-
ministrator determines under clause (i) 
that a State’s benchmarking requirement 
does not meet or exceed the benchmarking 
submission requirements under section 
383, the Administrator shall identify any 
deficiencies, and, to the extent possible, in-
dicate how the State’s benchmarking re-
quirement could be updated to eliminate 
any deficiencies identified. 
(iv) 
REVISION
AND
RECERTIFI-
CATION.—A 
State 
may 
revise 
its 
benchmarking requirement and submit a 
recertification under subparagraph (A) to 
the Administrator at any time. 
(C) LOCAL CERTIFICATION.—In any State 
that has not certified a State benchmarking re-
quirement under this subsection, a local govern-
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