‘‘(3) the Secretary determines by regulation 
that expiration is necessary to ensure the authen-
ticity and integrity of carbon permits or the carbon 
permit tracking system. 
‘‘(d) BORROWING FUTURE VINTAGE YEAR CARBON 
PERMITS.— 
‘‘(1) IN GENERAL.—If the auction price for car-
bon permits increases by more than 50 percent 
above the average auction price for carbon permits 
during the preceding two years (or, if before the 
third year for which auctions are conducted, the av-
erage auction price for carbon permits during the 
preceding auctions), the Secretary shall auction as 
many additional carbon permits as are necessary to 
stabilize the auction price. 
‘‘(2) SPECIAL RULES.— 
‘‘(A) COORDINATION WITH RESERVE.—Ad-
ditional permits may not be auctioned under 
paragraph (1) until after all available permits 
in the reserve for carbon permits established 
under subsection (b) have been used. 
‘‘(B) REDUCTION IN VINTAGE YEAR PER-
MITS.—Any carbon permits made available 
under this subsection shall result in an equiva-
lent reduction in the aggregate amount of car-
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bon permits made available in vintage years 
2030 through 2050 as set forth in section 
9902, and the Secretary shall reduce the num-
ber of carbon permits by an equal percentage in 
each of those vintage years. 
‘‘CHAPTER 102—HEALTHY CLIMATE 
DIVIDENDS 
‘‘Sec. 9911. Healthy Climate Trust Fund. 
‘‘Sec. 9912. Healthy Climate Dividend Payments. 
‘‘Sec. 9913. Transparency. 
‘‘SEC. 9911. HEALTHY CLIMATE TRUST FUND. 
‘‘(a) ESTABLISHMENT.—There is established in the 
Treasury of the United States a trust fund to be known 
as the ‘Healthy Climate Trust Fund’, consisting of such 
amounts as may be appropriated to such trust fund as 
provided for in this section. 
‘‘(b) TRANSFERS.— 
‘‘(1) PROCEED
AMOUNTS.—There are appro-
priated to the Healthy Climate Trust Fund amounts 
equivalent to funds received as proceeds under sec-
tion 9903. 
‘‘(2) PENALTY
AMOUNTS.—There are appro-
priated to the Healthy Climate Trust Fund amounts 
equivalent to funds received as penalties under sec-
tion 9905. 
‘‘(c) EXPENDITURES.— 
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‘‘(1) 
ADMINISTRATIVE
EXPENSES.—Such 
amounts as may be necessary from the Healthy Cli-
mate Trust Fund shall be available to pay the ad-
ministrative expenses necessary to carry out this sec-
tion for each month, but not exceeding the amount 
of interest credited to the trust fund under section 
9602. 
‘‘(2) 
HEALTHY
CLIMATE
DIVIDEND
PAY-
MENTS.—Amounts in the Healthy Climate Trust 
Fund not used under paragraph (1) for any month 
shall be available for making Healthy Climate Divi-
dend Payments under section 9912. 
‘‘SEC. 9912. HEALTHY CLIMATE DIVIDEND PAYMENTS. 
‘‘(a) IN GENERAL.—For purposes of this section: 
‘‘(1) 
HEALTHY
CLIMATE
DIVIDEND
PAY-
MENT.—The term ‘Healthy Climate Dividend Pay-
ment’ means the individual pro-rata share, as deter-
mined by the Secretary, of amounts available for any 
quarter in the Healthy Climate Trust Fund under 
section 9911(c)(2). For purposes of the preceding 
sentence, the amounts available for any quarter shall 
be the fraction of the total amount made available 
from an auction conducted under section 9903— 
‘‘(A) the numerator of which is 1, and 
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‘‘(B) the denominator of which is the num-
ber of quarters in the period beginning with the 
quarter in which such auction is conducted and 
ending with the quarter before the quarter in 
which the next such auction is scheduled to be 
conducted. 
‘‘(2) ELIGIBLE INDIVIDUAL.— 
‘‘(A) IN GENERAL.—The term ‘eligible in-
dividual’ means, with respect to any quarter, 
any individual with a valid social security num-
ber (other than a nonresident alien individual) 
who is lawfully present in the United States for 
such quarter, as determined and verified by the 
Secretary in consultation with any other Fed-
eral entity the Secretary determines appro-
priate. 
‘‘(B) OPT OUT.—An individual may elect 
not to be treated as an eligible individual. 
‘‘(b) PAYMENT OF HEALTHY CLIMATE DIVIDEND.— 
From amounts made available under section 9911(c)(2), 
the Secretary shall make a Healthy Climate Dividend Pay-
ment not later than the end of the calendar quarter fol-
lowing the calendar quarter in which such amounts are 
appropriated to the Healthy Climate Trust Fund under 
section 9911 to each individual who is an eligible indi-
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vidual for that quarter. Such payments shall be made by 
electronic means to the maximum extent practicable. 
‘‘(c) EXCLUSION FROM GROSS INCOME.—Gross in-
come shall not include any Healthy Climate Dividend paid 
under this section. 
‘‘(d) REGULATIONS.—The Secretary shall prescribe 
such regulations and other guidance as may be necessary 
or appropriate to carry out this section. 
‘‘SEC. 9913. TRANSPARENCY. 
‘‘(a) REPORT TO CONGRESS.—Not later than Feb-
ruary 1, 2017, and at least annually thereafter, the Sec-
retary shall transmit to Congress a report accounting for 
the disposition of amounts in the Healthy Climate Trust 
Fund in the previous calendar year. 
‘‘(b) HEALTHY CLIMATE TRUST FUND WEBSITE.— 
Not later than 90 days after the date of the enactment 
of this subtitle, the Secretary shall establish and maintain 
a website to provide the public with information on the 
disposition of any amounts in the Healthy Climate Trust 
Fund. 
‘‘CHAPTER 103—BORDER ADJUSTMENTS 
‘‘Sec. 9921. Carbon equivalency fee. 
‘‘Sec. 9922. Definitions. 
‘‘Sec. 9923. Sense of Congress. 
‘‘SEC. 9921. CARBON EQUIVALENCY FEE. 
‘‘(a) IMPORTS.—The Secretary shall impose carbon 
equivalency fees to be collected by the Commissioner re-
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sponsible for U.S. Customs and Border Control on imports 
of carbon-intensive goods. The amount of the carbon 
equivalency fee shall be equal to the cost that domestic 
producers of a comparable carbon-intensive good incur as 
a result of— 
‘‘(1) prices paid in the acquisition of carbon 
permits by covered entities under this subtitle; and 
‘‘(2) carbon equivalency fees paid by importers 
of carbon-intensive goods used in the production of 
the comparable carbon-intensive good. 
‘‘(b) PAYMENTS
TO EXPORTERS.—The Secretary 
shall pay without interest to persons exporting from the 
United States carbon-intensive goods produced in the 
United States. The amount of the payment shall be equal 
to the cost that domestic producers of the carbon-intensive 
good incur as a result of— 
‘‘(1) prices paid in the acquisition of carbon 
permits by covered entities under this subtitle; and 
‘‘(2) carbon equivalency fees paid by importers 
of carbon-intensive goods used in the production of 
the comparable carbon-intensive good. 
‘‘(c) EXPIRATION.—This section shall cease to have 
effect at such time as and to the extent that— 
‘‘(1) an international agreement requiring coun-
tries that emit greenhouse gases and produce car-
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