IB 
Union Calendar No. 461 
116TH CONGRESS 
2D SESSION 
H. R. 3623 
[Report No. 116–563, Part I] 
To amend the Securities Exchange Act of 1934 to require issuers to disclose 
certain activities relating to climate change, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 5, 2019 
Mr. CASTEN of Illinois (for himself and Mr. CARTWRIGHT) introduced the fol-
lowing bill; which was referred to the Committee on Financial Services, 
and in addition to the Committee on Energy and Commerce, for a period 
to be subsequently determined by the Speaker, in each case for consider-
ation of such provisions as fall within the jurisdiction of the committee 
concerned 
OCTOBER 27, 2020 
Additional sponsors: Mr. MCGOVERN, Ms. OCASIO-CORTEZ, Ms. VELA´ZQUEZ, 
Ms. DEAN, Mr. SAN NICOLAS, Ms. BROWNLEY of California, Mr. SOTO, 
Mr. LAWSON of Florida, Mr. NEGUSE, Mr. HUFFMAN, Ms. PRESSLEY, 
Mr. TONKO, Mr. FOSTER, Ms. BARRAGA´N, Mr. LOWENTHAL, Mr. GRI-
JALVA, Mr. CISNEROS, Ms. WILD, Ms. JUDY CHU of California, Mr. 
LEVIN of California, Ms. BONAMICI, Ms. ESHOO, Mr. DESAULNIER, Mr. 
TED LIEU of California, Mr. CLEAVER, Mr. BLUMENAUER, Mr. ROUDA, 
Ms. LOFGREN, Ms. DEGETTE, Mrs. NAPOLITANO, Mr. KIND, Mr. 
GARCI´A of Illinois, Mr. GONZALEZ of Texas, and Ms. ESCOBAR 
OCTOBER 27, 2020 
Reported from the Committee on Financial Services with an amendment 
[Strike out all after the enacting clause and insert the part printed in italic] 
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OCTOBER 27, 2020 
Committee on Energy and Commerce discharged; committed to the Committee 
of the Whole House on the State of the Union and ordered to be printed 
[For text of introduced bill, see copy of bill as introduced on July 5, 2019] 
A BILL 
To amend the Securities Exchange Act of 1934 to require 
issuers to disclose certain activities relating to climate 
change, and for other purposes. 
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Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Climate Risk Disclosure 
Act of 2019’’. 
SEC. 2. DEFINITIONS. 
In this Act— 
(1) the term ‘‘1.5 degree scenario’’ means a wide-
ly recognized, publicly available analysis scenario in 
which human interventions to combat global climate 
change are likely to prevent the global average tem-
perature from reaching 1.5 degrees Celsius above pre- 
industrial levels; 
(2) the terms ‘‘appropriate climate principals’’, 
‘‘climate change’’, and ‘‘appropriate congressional 
committees’’ have the meanings given those terms in 
section 13(s) of the Securities Exchange Act of 1934; 
(3) the term ‘‘baseline scenario’’ means a widely- 
recognized analysis scenario in which levels of green-
house gas emissions, as of the date on which the anal-
ysis is performed, continue to grow, resulting in— 
(A) an increase in the global average tem-
perature of 1.5 degrees Celsius or more above 
pre-industrial levels; and 
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(B) the realization of physical risks relating 
to global climate change; 
(4) the term ‘‘carbon dioxide equivalent’’ means 
the number of metric tons of carbon dioxide emissions 
with the same global warming potential as one metric 
ton of another greenhouse gas, as determined under 
table A-1 of subpart A of part 98 of title 40, Code of 
Federal Regulations, as in effect on the date of enact-
ment of this subsection; 
(5) the term ‘‘Commission’’ means the Securities 
and Exchange Commission; 
(6) the term ‘‘commercial development of fossil 
fuels’’ includes— 
(A) exploration, extraction, processing, ex-
porting, transporting, and any other significant 
action with respect to oil, natural gas, coal, or 
any byproduct thereof; and 
(B) acquiring a license for any activity de-
scribed in subparagraph (A); 
(7) the term ‘‘covered issuer’’ has the meaning 
given the term in section 13(s) of the Securities Ex-
change Act of 1934; 
(8) the term ‘‘direct and indirect greenhouse gas 
emissions’’ includes, with respect to a covered 
issuer— 
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(A) all direct greenhouse gas emissions re-
leased by the covered issuer; 
(B) all indirect greenhouse gas emissions 
with respect to electricity, heat, or steam pur-
chased by the covered issuer; 
(C) significant indirect emissions, other 
than the emissions described in subparagraph 
(B), that occur in the value chain of the covered 
issuer; and 
(D) all indirect greenhouse gas emissions 
that are attributable to assets owned or man-
aged, including assets that are partially owned 
or managed, by the covered issuer; 
(9) the term ‘‘fossil fuel reserves’’ means all pro-
ducing assets, proved reserves, unproved resources, 
and any other ownership stake in sources of fossil 
fuels; 
(10) the term ‘‘greenhouse gas’’— 
(A) 
means 
carbon 
dioxide, 
hydrofluorocarbons, 
methane, 
nitrous 
oxide, 
perfluorocarbons, sulfur hexafluoride, nitrogen 
triflouride, and chlorofluorocarbons; and 
(B) includes any other anthropogenically- 
emitted gas or particulate that the Adminis-
trator of the Environmental Protection Agency 
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(i) separate, to the extent practicable, 
total emissions of each specified greenhouse 
gas by the covered issuer; and 
(ii) include greenhouse gas emissions 
by the covered issuer during the period cov-
ered by the disclosure; 
(C) include reporting standards for dis-
closing, with respect to a covered issuer— 
(i) the total amount of fossil fuel-re-
lated assets owned or managed by the cov-
ered issuer; and 
(ii) the percentage of fossil fuel-related 
assets as a percentage of total assets owned 
or managed by the covered issuer; 
(D) establish a minimum social cost of car-
bon, which— 
(i) shall be considered a minimum 
price with respect to costs associated with 
carbon emissions; 
(ii) a covered issuer shall use in pre-
paring climate-related disclosure statements; 
and 
(iii) the Commission shall make pub-
licly available all assumptions and methods 
used in the calculations; 
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