I 
113TH CONGRESS 
2D SESSION 
H. R. 5360 
To enhance the competitiveness of American manufacturers and exports in 
the global marketplace by providing tax relief, regulatory relief, liability 
relief, and ensuring access to abundant and affordable supplies of energy, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 31, 2014 
Mr. MULVANEY (for himself, Mr. HENSARLING, Mr. PRICE of Georgia, Mr. 
LAMBORN, Mr. CHABOT, Mr. LAMALFA, Mr. HULTGREN, Mr. ROE of 
Tennessee, Mr. MCCLINTOCK, Mr. SCHWEIKERT, Mr. DESANTIS, Mr. 
BROOKS of Alabama, Mr. JORDAN, Mr. HUIZENGA of Michigan, Mr. 
DUNCAN of Tennessee, and Mr. CRAWFORD) introduced the following bill; 
which was referred to the Committee on Energy and Commerce, and in 
addition to the Committees on Ways and Means, the Budget, the Judici-
ary, Rules, Natural Resources, Transportation and Infrastructure, and 
Science, Space, and Technology, for a period to be subsequently deter-
mined by the Speaker, in each case for consideration of such provisions 
as fall within the jurisdiction of the committee concerned 
A BILL 
To enhance the competitiveness of American manufacturers 
and exports in the global marketplace by providing tax 
relief, regulatory relief, liability relief, and ensuring ac-
cess to abundant and affordable supplies of energy, and 
for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘American Renaissance in Manufacturing Act’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
TITLE I—CREATING A MORE COMPETITIVE TAX CODE 
Sec. 1001. Dropping corporate tax rate. 
Sec. 1002. Reduced recognition period for built-in gains of S corporations made 
permanent. 
Sec. 1003. Permanent rule regarding basis adjustment to stock of S corpora-
tions making charitable contributions of property. 
Sec. 1004. Expensing certain depreciable business assets for small business. 
Sec. 1005. Research credit simplified and made permanent. 
Sec. 1006. Bonus depreciation modified and made permanent. 
Sec. 1007. Budgetary effects. 
TITLE II—REINING IN JOB-KILLING WASHINGTON RED TAPE 
Subtitle A—Regulations From the Executive in Need of Scrutiny Act 
Sec. 2001. Purpose. 
Sec. 2002. Congressional review of agency rulemaking. 
Sec. 2003. Budgetary effects of rules subject to section 802 of title 5, United 
States Code. 
Sec. 2004. Government Accountability Office study of rules. 
Subtitle B—Energy Consumers Relief Act 
Sec. 2201. Prohibition against finalizing certain energy-related rules that will 
cause significant adverse effects to the economy. 
Sec. 2202. Reports and determinations prior to promulgating as final certain 
energy-related rules. 
Sec. 2203. Definitions. 
Sec. 2204. Prohibition on use of social cost of carbon in analysis. 
Subtitle C—Electricity Security and Affordability Act 
Sec. 2301. Standards of performance for new fossil fuel-fired electric utility 
generating units. 
Sec. 2302. Congress to set effective date for standards of performance for exist-
ing, modified, and reconstructed fossil fuel-fired electric utility 
generating units. 
Sec. 2303. Repeal of earlier rules and guidelines. 
Sec. 2304. Definitions. 
Subtitle D—Coal Residuals Reuse and Management 
Sec. 2401. Management and disposal of coal combustion residuals. 
Sec. 2402. 2000 regulatory determination. 
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Sec. 2403. Technical assistance. 
Sec. 2404. Federal Power Act. 
TITLE III—REDUCING FRIVOLOUS LEGAL COSTS 
Subtitle A—Lawsuit Abuse Reduction Act 
Sec. 3101. Attorney accountability. 
Subtitle B—Furthering Asbestos Claim Transparency in Bankruptcy 
Sec. 3201. Amendments. 
Sec. 3202. Effective date; application of amendments. 
Subtitle C—Innovation Act 
Sec. 3301. Definitions. 
Sec. 3302. Patent infringement actions. 
Sec. 3303. Transparency of patent ownership. 
Sec. 3304. Customer-suit exception. 
Sec. 3305. Procedures and practices to implement recommendations of the Ju-
dicial Conference. 
Sec. 3306. Small business education, outreach, and information access. 
Sec. 3307. Studies on patent transactions, quality, and examination. 
Sec. 3308. Improvements and technical corrections to the Leahy-Smith America 
Invents Act. 
Sec. 3309. Effective date. 
Subtitle D—Resolving Environmental and Grid Reliability Conflicts 
Sec. 3401. Amendments to the Federal Power Act. 
TITLE IV—PRESERVING ACCESS TO ABUNDANT AND 
AFFORDABLE SOURCES OF ENERGY 
Subtitle A—Northern Route Approval 
Sec. 4101. Findings. 
Sec. 4102. Keystone XL permit approval. 
Sec. 4103. Judicial review. 
Sec. 4104. American burying beetle. 
Sec. 4105. Right-of-way and temporary use permit. 
Sec. 4106. Permits for activities in navigable waters. 
Sec. 4107. Migratory Bird Treaty Act permit. 
Sec. 4108. Oil spill response plan disclosure. 
Subtitle B—Natural Gas Pipeline Permitting Reform 
Sec. 4201. Regulatory approval of natural gas pipeline projects. 
Subtitle C—North American Energy Infrastructure 
Sec. 4301. Finding. 
Sec. 4302. Authorization of certain energy infrastructure projects at the na-
tional boundary of the United States. 
Sec. 4303. Importation or exportation of natural gas to Canada and Mexico. 
Sec. 4304. Transmission of electric energy to Canada and Mexico. 
Sec. 4305. No Presidential permit required. 
Sec. 4306. Modifications to existing projects. 
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Sec. 4307. Effective date; rulemaking deadlines. 
Sec. 4308. Definitions. 
Subtitle D—Protecting States’ Rights To Promote American Energy Security 
Act 
CHAPTER 1—STATE AUTHORITY FOR HYDRAULIC FRACTURING REGULATION 
Sec. 4411. State authority for hydraulic fracturing regulation. 
Sec. 4412. Government Accountability Office study. 
Sec. 4413. Tribal authority on trust land. 
CHAPTER 2—EPA HYDRAULIC FRACTURING RESEARCH 
Sec. 4421. EPA hydraulic fracturing research. 
CHAPTER 3—MISCELLANEOUS PROVISIONS 
Sec. 4431. Review of State activities. 
Subtitle E—Offshore Energy and Jobs 
CHAPTER 1—OUTER CONTINENTAL SHELF LEASING PROGRAM REFORMS 
Sec. 4511. Outer Continental Shelf leasing program reforms. 
Sec. 4512. Domestic oil and natural gas production goal. 
Sec. 4513. Development and submittal of new 5-year oil and gas leasing pro-
gram. 
Sec. 4514. Rule of construction. 
CHAPTER 2—DIRECTING THE PRESIDENT TO CONDUCT NEW OCS SALES IN 
VIRGINIA, SOUTH CAROLINA, AND CALIFORNIA 
Sec. 4521. Requirement to conduct proposed oil and gas Lease Sale 220 on the 
Outer Continental Shelf offshore Virginia. 
Sec. 4522. South Carolina lease sale. 
Sec. 4523. Southern California existing infrastructure lease sale. 
Sec. 4524. Environmental impact statement requirement. 
Sec. 4525. National defense. 
Sec. 4526. Eastern Gulf of Mexico not included. 
CHAPTER 3—EQUITABLE SHARING OF OUTER CONTINENTAL SHELF 
REVENUES 
Sec. 4531. Disposition of Outer Continental Shelf revenues to coastal States. 
CHAPTER 4—REORGANIZATION OF MINERALS MANAGEMENT AGENCIES OF 
THE DEPARTMENT OF THE INTERIOR 
Sec. 4541. Establishment of Under Secretary for Energy, Lands, and Minerals 
and Assistant Secretary of Ocean Energy and Safety. 
Sec. 4542. Bureau of Ocean Energy. 
Sec. 4543. Ocean Energy Safety Service. 
Sec. 4544. Office of Natural Resources revenue. 
Sec. 4545. Ethics and drug testing. 
Sec. 4546. Abolishment of Minerals Management Service. 
Sec. 4547. Conforming amendments to Executive Schedule pay rates. 
Sec. 4548. Outer Continental Shelf Energy Safety Advisory Board. 
Sec. 4549. Outer Continental Shelf inspection fees. 
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Sec. 4550. Prohibition on action based on National Ocean Policy developed 
under Executive Order No. 13547. 
CHAPTER 5—UNITED STATES TERRITORIES 
Sec. 4551. Application of Outer Continental Shelf Lands Act with respect to 
territories of the United States. 
CHAPTER 6—MISCELLANEOUS PROVISIONS 
Sec. 4561. Rules regarding distribution of revenues under Gulf of Mexico En-
ergy Security Act of 2006. 
Sec. 4562. Amount of distributed qualified outer Continental Shelf revenues. 
CHAPTER 7—JUDICIAL REVIEW 
Sec. 4571. Time for filing complaint. 
Sec. 4572. District court deadline. 
Sec. 4573. Ability to seek appellate review. 
Sec. 4574. Limitation on scope of review and relief. 
Sec. 4575. Legal fees. 
Sec. 4576. Exclusion. 
Sec. 4577. Definitions. 
TITLE I—CREATING A MORE 
COMPETITIVE TAX CODE 
SEC. 1001. DROPPING CORPORATE TAX RATE. 
(a) IN GENERAL.—Subsection (b) of section 11 of the 
Internal Revenue Code of 1986 is amended to read as fol-
lows: 
‘‘(b) AMOUNT OF TAX.—The amount of the tax im-
posed by subsection (a) shall be 25 percent of taxable in-
come.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Paragraphs (2)(B) and (6)(A)(ii) of section 
860E(e) of the Internal Revenue Code of 1986 are 
each amended by striking ‘‘highest rate of tax speci-
fied in section 11(b)(1)’’ and inserting ‘‘rate of tax 
specified in section 11(b)’’. 
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(2)(A) Part I of subchapter P of chapter 1 of 
such Code is amended by striking section 1201 (and 
by striking the item relating to such section in the 
table of sections for such part). 
(B) Section 12 of such Code is amended by 
striking paragraphs (4) and (6), and by redesig-
nating paragraph (5) as paragraph (4). 
(C) Section 527(b) of such Code is amended— 
(i) by striking paragraph (2), 
(ii) by striking all that precedes ‘‘is hereby 
imposed’’ and inserting: 
‘‘(b) TAX IMPOSED.—A tax’’; and 
(iii) by striking ‘‘highest’’. 
(D) Sections 594(a) of such Code is amended 
by striking ‘‘taxes imposed by section 11 or 
1201(a)’’ and inserting ‘‘tax imposed by section 11’’. 
(E) Section 691(c)(4) of such Code is amended 
by striking ‘‘1201,’’. 
(F) Section 801(a) of such Code is amended— 
(i) by striking paragraph (2), and 
(ii) by striking all that precedes ‘‘is hereby 
imposed’’ and inserting: 
‘‘(a) TAX IMPOSED.—A tax’’. 
(G) Section 831(d) of such Code is amended by 
striking paragraph (1) and by redesignating para-
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graphs (2) and (3) as paragraphs (1) and (2), re-
spectively. 
(H) Sections 832(c)(5) and 834(b)(1)(D) of 
such Code are each amended by striking ‘‘sec. 1201 
and following,’’. 
(I) Section 852(b)(3)(A) of such Code is 
amended by striking ‘‘section 1201(a)’’ and inserting 
‘‘section 11(b)’’. 
(J) Section 857(b)(3) of such Code is amend-
ed— 
(i) by striking subparagraph (A) and re-
designating subparagraphs (B) through (F) as 
subparagraphs (A) through (E), respectively, 
(ii) in subparagraph (C), as so redesig-
nated— 
(I) by striking ‘‘subparagraph (A)(ii)’’ 
in clause (i) thereof and inserting ‘‘para-
graph (1)’’, and 
(II) by striking ‘‘the tax imposed by 
subparagraph (A)(ii)’’ in clauses (ii) and 
(iv) thereof and inserting ‘‘the tax imposed 
by paragraph (1) on undistributed capital 
gain’’, 
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(iii) in subparagraph (E), as so redesig-
nated, by striking ‘‘subparagraph (B) or (D)’’ 
and inserting ‘‘subparagraph (A) or (C)’’, and 
(iv) by adding at the end the following new 
subparagraph: 
‘‘(F) UNDISTRIBUTED
CAPITAL
GAIN.— 
For purposes of this paragraph, the term ‘un-
distributed capital gain’ means the excess of the 
net capital gain over the deduction for divi-
dends paid (as defined in section 561) deter-
mined with reference to capital gain dividends 
only.’’. 
(K) Section 882(a)(1) of such Code is amended 
by striking ‘‘, or 1201(a)’’. 
(L) Section 1374(b) of such Code is amended 
by striking paragraph (4). 
(M) Section 1381(b) of such Code is amended 
by striking ‘‘taxes imposed by section 11 or 1201’’ 
and inserting ‘‘tax imposed by section 11’’. 
(N) 
Sections 
6425(c)(1)(A)(i) 
and 
6655(g)(1)(A)(i) of such Code are each amended by 
striking ‘‘or 1201(a),’’. 
(3)(A) Section 1445(e)(1) of such Code is 
amended by striking ‘‘35 percent’’ and inserting ‘‘25 
percent’’. 
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(B) Section 1445(e)(2) of such Code is amend-
ed by striking ‘‘35 percent’’ and inserting ‘‘25 per-
cent’’. 
(C) Section 1445(e)(6) of such Code is amend-
ed by striking ‘‘35 percent’’ and inserting ‘‘25 per-
cent’’. 
(D) Section 1446(b)(2)(B) of such Code is 
amended by striking ‘‘section 11(b)(1)’’ and insert-
ing ‘‘section 11(b)’’. 
(4) Section 852(b)(1) of such Code is amended 
by striking the last sentence. 
(5)(A) Part I of subchapter B of chapter 5 of 
such Code is amended by striking section 1551 (and 
by striking the item relating to such section in the 
table of sections for such part). 
(B) Section 535(c)(5) of such Code is amended 
to read as follows: 
‘‘(5) CROSS
REFERENCE.—For limitation on 
credit provided in paragraph (2) or (3) in the case 
of certain controlled corporations, see section 
1561.’’. 
(6) Section 7874(e)(1)(B) of such Code is 
amended by striking ‘‘section 11(b)(1)’’ and insert-
ing ‘‘section 11(b)’’. 
(c) EFFECTIVE DATE.— 
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(1) IN
GENERAL.—Except as otherwise pro-
vided in this subsection, the amendments made by 
this section shall apply to taxable years beginning 
after December 31, 2014. 
(2) WITHHOLDING.—The amendments made by 
subsection (b)(3) shall apply to distributions made 
after December 31, 2014. 
(3) CERTAIN
TRANSFERS.—The amendments 
made by subsection (b)(5) shall apply to transfers 
made after December 31, 2014. 
SEC. 1002. REDUCED RECOGNITION PERIOD FOR BUILT-IN 
GAINS OF S CORPORATIONS MADE PERMA-
NENT. 
(a) IN GENERAL.—Paragraph (7) of section 1374(d) 
of the Internal Revenue Code of 1986 is amended to read 
as follows: 
‘‘(7) RECOGNITION PERIOD.— 
‘‘(A) IN GENERAL.—The term ‘recognition 
period’ means the 5-year period beginning with 
the 1st day of the 1st taxable year for which 
the corporation was an S corporation. For pur-
poses of applying this section to any amount in-
cludible in income by reason of distributions to 
shareholders pursuant to section 593(e), the 
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preceding sentence shall be applied without re-
gard to the phrase ‘5-year’. 
‘‘(B) INSTALLMENT SALES.—If an S cor-
poration sells an asset and reports the income 
from the sale using the installment method 
under section 453, the treatment of all pay-
ments received shall be governed by the provi-
sions of this paragraph applicable to the taxable 
year in which such sale was made.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years beginning after 
December 31, 2013. 
SEC. 1003. PERMANENT RULE REGARDING BASIS ADJUST-
MENT TO STOCK OF S CORPORATIONS MAK-
ING CHARITABLE CONTRIBUTIONS OF PROP-
ERTY. 
(a) IN GENERAL.—Section 1367(a)(2) of the Internal 
Revenue Code of 1986 is amended by striking the last sen-
tence. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to contributions made in taxable 
years beginning after December 31, 2013. 
SEC. 1004. EXPENSING CERTAIN DEPRECIABLE BUSINESS 
ASSETS FOR SMALL BUSINESS. 
(a) IN GENERAL.— 
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(1) DOLLAR
LIMITATION.—Paragraph (1) of 
section 179(b) of the Internal Revenue Code of 1986 
is amended by striking ‘‘shall not exceed—’’ and all 
that follows and inserting ‘‘shall not exceed 
$500,000.’’. 
(2) REDUCTION
IN
LIMITATION.—Paragraph 
(2) of section 179(b) of such Code is amended by 
striking ‘‘exceeds—’’ and all that follows and insert-
ing ‘‘exceeds $2,000,000.’’. 
(b) COMPUTER SOFTWARE.—Clause (ii) of section 
179(d)(1)(A) of such Code is amended by striking ‘‘, to 
which section 167 applies, and which is placed in service 
in a taxable year beginning after 2002 and before 2014’’ 
and inserting ‘‘and to which section 167 applies’’. 
(c) ELECTION.—Paragraph (2) of section 179(c) of 
such Code is amended— 
(1) by striking ‘‘may not be revoked’’ and all 
that follows through ‘‘and before 2014’’, and 
(2) by striking ‘‘IRREVOCABLE’’ in the heading 
thereof. 
(d) AIR CONDITIONING
AND HEATING UNITS.— 
Paragraph (1) of section 179(d) of such Code is amended 
by striking ‘‘and shall not include air conditioning or heat-
ing units’’. 
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(e) QUALIFIED REAL PROPERTY.—Subsection (f) of 
section 179 of such Code is amended— 
(1) by striking ‘‘beginning in 2010, 2011, 2012, 
or 2013’’ in paragraph (1), and 
(2) by striking paragraphs (3) and (4). 
(f) INFLATION ADJUSTMENT.—Subsection (b) of sec-
tion 179 of such Code is amended by adding at the end 
the following new paragraph: 
‘‘(6) INFLATION ADJUSTMENT.— 
‘‘(A) IN
GENERAL.—In the case of any 
taxable year beginning after 2014, the dollar 
amounts in paragraphs (1) and (2) shall each 
be increased by an amount equal to— 
‘‘(i) such dollar amount, multiplied by 
‘‘(ii) the cost-of-living adjustment de-
termined under section 1(c)(2)(A) for such 
calendar year, determined by substituting 
‘calendar year 2013’ for ‘calendar year 
2012’ in clause (ii) thereof. 
‘‘(B) ROUNDING.—The amount of any in-
crease under subparagraph (A) shall be round-
ed to the nearest multiple of $10,000.’’. 
(g) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2013. 
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SEC. 1005. RESEARCH CREDIT SIMPLIFIED AND MADE PER-
MANENT. 
(a) IN GENERAL.—Subsection (a) of section 41 of the 
Internal Revenue Code of 1986 is amended to read as fol-
lows: 
‘‘(a) IN GENERAL.—For purposes of section 38, the 
research credit determined under this section for the tax-
able year shall be an amount equal to the sum of— 
‘‘(1) 20 percent of so much of the qualified re-
search expenses for the taxable year as exceeds 50 
percent of the average qualified research expenses 
for the 3 taxable years preceding the taxable year 
for which the credit is being determined, 
‘‘(2) 20 percent of so much of the basic re-
search payments for the taxable year as exceeds 50 
percent of the average basic research payments for 
the 3 taxable years preceding the taxable year for 
which the credit is being determined, plus 
‘‘(3) 20 percent of the amounts paid or in-
curred by the taxpayer in carrying on any trade or 
business of the taxpayer during the taxable year (in-
cluding as contributions) to an energy research con-
sortium for energy research.’’. 
(b) REPEAL OF TERMINATION.—Section 41 of such 
Code is amended by striking subsection (h). 
(c) CONFORMING AMENDMENTS.— 
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(1) Subsection (c) of section 41 of such Code 
is amended to read as follows: 
‘‘(c) DETERMINATION OF AVERAGE RESEARCH EX-
PENSES FOR PRIOR YEARS.— 
‘‘(1) SPECIAL RULE IN CASE OF NO QUALIFIED 
RESEARCH EXPENDITURES IN ANY OF 3 PRECEDING 
TAXABLE YEARS.—In any case in which the taxpayer 
has no qualified research expenses in any one of the 
3 taxable years preceding the taxable year for which 
the credit is being determined, the amount deter-
mined under subsection (a)(1) for such taxable year 
shall be equal to 10 percent of the qualified research 
expenses for the taxable year. 
‘‘(2) 
CONSISTENT
TREATMENT
OF
EX-
PENSES.— 
‘‘(A) 
IN
GENERAL.—Notwithstanding 
whether the period for filing a claim for credit 
or refund has expired for any taxable year 
taken into account in determining the average 
qualified research expenses, or average basic re-
search payments, taken into account under sub-
section (a), the qualified research expenses and 
basic research payments taken into account in 
determining such averages shall be determined 
on a basis consistent with the determination of 
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qualified research expenses and basic research 
payments, respectively, for the credit year. 
‘‘(B) PREVENTION OF DISTORTIONS.—The 
Secretary may prescribe regulations to prevent 
distortions in calculating a taxpayer’s qualified 
research expenses or basic research payments 
caused by a change in accounting methods used 
by such taxpayer between the current year and 
a year taken into account in determining the 
average qualified research expenses or average 
basic research payments taken into account 
under subsection (a).’’. 
(2) Section 41(e) of such Code is amended— 
(A) by striking all that precedes paragraph 
(6) and inserting the following: 
‘‘(e) BASIC RESEARCH PAYMENTS.—For purposes of 
this section— 
‘‘(1) IN GENERAL.—The term ‘basic research 
payment’ means, with respect to any taxable year, 
any amount paid in cash during such taxable year 
by a corporation to any qualified organization for 
basic research but only if— 
‘‘(A) such payment is pursuant to a writ-
ten agreement between such corporation and 
such qualified organization, and 
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‘‘(B) such basic research is to be per-
formed by such qualified organization. 
‘‘(2) EXCEPTION TO REQUIREMENT THAT RE-
SEARCH BE PERFORMED BY THE ORGANIZATION.— 
In the case of a qualified organization described in 
subparagraph (C) or (D) of paragraph (3), subpara-
graph (B) of paragraph (1) shall not apply.’’, 
(B) by redesignating paragraphs (6) and 
(7) as paragraphs (3) and (4), respectively, and 
(C) in paragraph (4) as so redesignated, 
by striking subparagraphs (B) and (C) and by 
redesignating subparagraphs (D) and (E) as 
subparagraphs (B) and (C), respectively. 
(3) Section 41(f)(3) of such Code is amended— 
(A)(i) by striking ‘‘, and the gross re-
ceipts’’ in subparagraph (A)(i) and all that fol-
lows through ‘‘determined under clause (iii)’’, 
(ii) by striking clause (iii) of subparagraph 
(A) and redesignating clauses (iv), (v), and (vi), 
thereof, as clauses (iii), (iv), and (v), respec-
tively, 
(iii) by striking ‘‘and (iv)’’ each place it 
appears in subparagraph (A)(iv) (as so redesig-
nated) and inserting ‘‘and (iii)’’, 
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(iv) by striking subclause (IV) of subpara-
graph (A)(iv) (as so redesignated), by striking 
‘‘, and’’ at the end of subparagraph (A)(iv)(III) 
(as so redesignated) and inserting a period, and 
by adding ‘‘and’’ at the end of subparagraph 
(A)(iv)(II) (as so redesignated), 
(v) by striking ‘‘(A)(vi)’’ in subparagraph 
(B) and inserting ‘‘(A)(v)’’, and 
(vi) by striking ‘‘(A)(iv)(II)’’ in subpara-
graph (B)(i)(II) and inserting ‘‘(A)(iii)(II)’’, 
(B) by striking ‘‘, and the gross receipts of 
the predecessor,’’ in subparagraph (A)(iv)(II) 
(as so redesignated), 
(C) by striking ‘‘, and the gross receipts 
of,’’ in subparagraph (B), 
(D) by striking ‘‘, or gross receipts of,’’ in 
subparagraph (B)(i)(I), and 
(E) by striking subparagraph (C). 
(d) EFFECTIVE DATE.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), the amendments made by this section 
shall apply to taxable years beginning after Decem-
ber 31, 2013. 
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(2) SUBSECTION (b).—The amendment made 
by subsection (b) shall apply to amounts paid or in-
curred after December 31, 2013. 
SEC. 1006. BONUS DEPRECIATION MODIFIED AND MADE 
PERMANENT. 
(a) MADE PERMANENT; INCLUSION OF QUALIFIED 
RETAIL IMPROVEMENT PROPERTY.—Section 168(k)(2) of 
the Internal Revenue Code of 1986 is amended to read 
as follows: 
‘‘(2) QUALIFIED PROPERTY.—For purposes of 
this subsection— 
‘‘(A) IN
GENERAL.—The term ‘qualified 
property’ means property— 
‘‘(i)(I) to which this section applies 
which has a recovery period of 20 years or 
less, 
‘‘(II) which is computer software (as 
defined in section 167(f)(1)(B)) for which 
a deduction is allowable under section 
167(a) without regard to this subsection, 
‘‘(III) which is water utility property, 
‘‘(IV) which is qualified leasehold im-
provement property, or 
‘‘(V) which is qualified retail improve-
ment property, and 
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‘‘(ii) the original use of which com-
mences with the taxpayer. 
‘‘(B) EXCEPTION FOR ALTERNATIVE DE-
PRECIATION
PROPERTY.—The term ‘qualified 
property’ shall not include any property to 
which the alternative depreciation system under 
subsection (g) applies, determined— 
‘‘(i) without regard to paragraph (7) 
of subsection (g) (relating to election to 
have system apply), and 
‘‘(ii) after application of section 
280F(b) (relating to listed property with 
limited business use). 
‘‘(C) SPECIAL RULES.— 
‘‘(i) 
SALE-LEASEBACKS.—For 
pur-
poses of clause (ii) and subparagraph 
(A)(ii), if property is— 
‘‘(I) originally placed in service 
by a person, and 
‘‘(II) sold and leased back by 
such person within 3 months after the 
date such property was originally 
placed in service, 
such property shall be treated as originally 
placed in service not earlier than the date 
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on which such property is used under the 
leaseback referred to in subclause (II). 
‘‘(ii) SYNDICATION.—For purposes of 
subparagraph (A)(ii), if— 
‘‘(I) property is originally placed 
in service by the lessor of such prop-
erty, 
‘‘(II) such property is sold by 
such lessor or any subsequent pur-
chaser within 3 months after the date 
such property was originally placed in 
service (or, in the case of multiple 
units of property subject to the same 
lease, within 3 months after the date 
the final unit is placed in service, so 
long as the period between the time 
the first unit is placed in service and 
the time the last unit is placed in 
service does not exceed 12 months), 
and 
‘‘(III) the user of such property 
after the last sale during such 3- 
month period remains the same as 
when such property was originally 
placed in service, 
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such property shall be treated as originally 
placed in service not earlier than the date 
of such last sale. 
‘‘(D) 
COORDINATION
WITH
SECTION 
280F.—For purposes of section 280F— 
‘‘(i) AUTOMOBILES.—In the case of a 
passenger automobile (as defined in section 
280F(d)(5)) which is qualified property, 
the Secretary shall increase the limitation 
under section 280F(a)(1)(A)(i) by $8,000. 
‘‘(ii) LISTED PROPERTY.—The deduc-
tion allowable under paragraph (1) shall be 
taken into account in computing any re-
capture amount under section 280F(b)(2). 
‘‘(iii) INFLATION
ADJUSTMENT.—In 
the case of any taxable year beginning in 
a calendar year after 2014, the $8,000 
amount in clause (i) shall be increased by 
an amount equal to— 
‘‘(I) such dollar amount, multi-
plied by 
‘‘(II) the automobile price infla-
tion adjustment determined under sec-
tion 280F(d)(7)(B)(i) for the calendar 
year in which such taxable year begins 
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by substituting ‘2013’ for ‘1987’ in 
subclause (II) thereof. 
If any increase under the preceding sen-
tence is not a multiple of $100, such in-
crease shall be rounded to the nearest mul-
tiple of $100. 
‘‘(E) DEDUCTION ALLOWED IN COMPUTING 
MINIMUM
TAX.—For purposes of determining 
alternative minimum taxable income under sec-
tion 55, the deduction under section 167 for 
qualified property shall be determined without 
regard to any adjustment under section 56.’’. 
(b) EXPANSION OF ELECTION TO ACCELERATE AMT 
CREDITS IN LIEU OF BONUS DEPRECIATION.—Section 
168(k)(4) of such Code is amended to read as follows: 
‘‘(4) ELECTION TO ACCELERATE AMT CREDITS 
IN LIEU OF BONUS DEPRECIATION.— 
‘‘(A) IN GENERAL.—If a corporation elects 
to have this paragraph apply for any taxable 
year— 
‘‘(i) paragraphs (1)(A), (2)(D)(i), and 
(5)(A)(i) shall not apply for such taxable 
year, 
‘‘(ii) the applicable depreciation meth-
od used under this section with respect to 
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any qualified property shall be the straight 
line method, and 
‘‘(iii) the limitation imposed by section 
53(c) for such taxable year shall be in-
creased by the bonus depreciation amount 
which is determined for such taxable year 
under subparagraph (B). 
‘‘(B) BONUS
DEPRECIATION
AMOUNT.— 
For purposes of this paragraph— 
‘‘(i) IN GENERAL.—The bonus depre-
ciation amount for any taxable year is an 
amount equal to 20 percent of the excess 
(if any) of— 
‘‘(I) the aggregate amount of de-
preciation which would be allowed 
under this section for qualified prop-
erty placed in service by the taxpayer 
during such taxable year if paragraph 
(1) applied to all such property, over 
‘‘(II) the aggregate amount of 
depreciation which would be allowed 
under this section for qualified prop-
erty placed in service by the taxpayer 
during such taxable year if paragraph 
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(1) did not apply to any such prop-
erty. 
The aggregate amounts determined under 
subclauses (I) and (II) shall be determined 
without regard to any election made under 
subsection (b)(2)(D), (b)(3)(D), or (g)(7) 
and 
without 
regard 
to 
subparagraph 
(A)(ii). 
‘‘(ii) LIMITATION.—The bonus depre-
ciation amount for any taxable year shall 
not exceed the lesser of— 
‘‘(I) 50 percent of the minimum 
tax credit under section 53(b) for the 
first taxable year ending after Decem-
ber 31, 2013, or 
‘‘(II) the minimum tax credit 
under section 53(b) for such taxable 
year determined by taking into ac-
count only the adjusted net minimum 
tax for taxable years ending before 
January 1, 2014 (determined by 
treating credits as allowed on a first- 
in, first-out basis). 
‘‘(iii) AGGREGATION RULE.—All cor-
porations which are treated as a single em-
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ployer under section 52(a) shall be treat-
ed— 
‘‘(I) as 1 taxpayer for purposes 
of this paragraph, and 
‘‘(II) as having elected the appli-
cation of this paragraph if any such 
corporation so elects. 
‘‘(C) CREDIT
REFUNDABLE.—For pur-
poses of section 6401(b), the aggregate increase 
in the credits allowable under part IV of sub-
chapter A for any taxable year resulting from 
the application of this paragraph shall be treat-
ed as allowed under subpart C of such part 
(and not any other subpart). 
‘‘(D) OTHER RULES.— 
‘‘(i) ELECTION.—Any election under 
this paragraph may be revoked only with 
the consent of the Secretary. 
‘‘(ii) PARTNERSHIPS WITH ELECTING 
PARTNERS.—In the case of a corporation 
which is a partner in a partnership and 
which makes an election under subpara-
graph (A) for the taxable year, for pur-
poses of determining such corporation’s 
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distributive share of partnership items 
under section 702 for such taxable year— 
‘‘(I) 
paragraphs 
(1)(A), 
(2)(D)(i), and (5)(A)(i) shall not 
apply, and 
‘‘(II) the applicable depreciation 
method used under this section with 
respect to any qualified property shall 
be the straight line method. 
‘‘(iii) CERTAIN
PARTNERSHIPS.—In 
the case of a partnership in which more 
than 50 percent of the capital and profits 
interests are owned (directly or indirectly) 
at all times during the taxable year by 1 
corporation (or by corporations treated as 
1 taxpayer under subparagraph (B)(iii)), 
each partner shall compute its bonus de-
preciation amount under clause (i) of sub-
paragraph (B) by taking into account its 
distributive share of the amounts deter-
mined by the partnership under subclauses 
(I) and (II) of such clause for the taxable 
year of the partnership ending with or 
within the taxable year of the partner.’’. 
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(c) SPECIAL RULES FOR TREES AND VINES BEARING 
FRUITS
AND NUTS.—Section 168(k) of such Code is 
amended— 
(1) by striking paragraph (5), and 
(2) by inserting after paragraph (4) the fol-
lowing new paragraph: 
‘‘(5) SPECIAL RULES FOR TREES AND VINES 
BEARING FRUITS AND NUTS.— 
‘‘(A) IN
GENERAL.—In the case of any 
tree or vine bearing fruits or nuts which is 
planted, or is grafted to a plant that has al-
ready been planted, by the taxpayer in the ordi-
nary course of the taxpayer’s farming business 
(as defined in section 263A(e)(4))— 
‘‘(i) a depreciation deduction equal to 
50 percent of the adjusted basis of such 
tree or vine shall be allowed under section 
167(a) for the taxable year in which such 
tree or vine is so planted or grafted, and 
‘‘(ii) the adjusted basis of such tree or 
vine shall be reduced by the amount of 
such deduction. 
‘‘(B) ELECTION
OUT.—If a taxpayer 
makes an election under this subparagraph for 
any taxable year, this paragraph shall not apply 
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to any tree or vine planted or grafted during 
such taxable year. An election under this sub-
paragraph may be revoked only with the con-
sent of the Secretary. 
‘‘(C) ADDITIONAL DEPRECIATION MAY BE 
CLAIMED ONLY ONCE.—If this paragraph ap-
plies to any tree or vine, such tree or vine shall 
not be treated as qualified property in the tax-
able year in which placed in service. 
‘‘(D) COORDINATION WITH ELECTION TO 
ACCELERATE AMT CREDITS.—If a corporation 
makes an election under paragraph (4) for any 
taxable year, the amount under paragraph 
(4)(B)(i)(I) for such taxable year shall be in-
creased by the amount determined under sub-
paragraph (A)(i) for such taxable year. 
‘‘(E) DEDUCTION ALLOWED IN COMPUTING 
MINIMUM TAX.—Rules similar to the rules of 
paragraph (2)(E) shall apply for purposes of 
this paragraph.’’. 
(d) CONFORMING AMENDMENTS.— 
(1) Section 168(e)(8) of such Code is amended 
by striking subparagraph (D). 
(2) Section 168(k) of such Code is amended by 
adding at the end the following new paragraph: 
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‘‘(6) ELECTION OUT.—If a taxpayer makes an 
election under this paragraph with respect to any 
class of property for any taxable year, this sub-
section shall not apply to all property in such class 
placed in service (or, in the case of paragraph (5), 
planted or grafted) during such taxable year. An 
election under this paragraph may be revoked only 
with the consent of the Secretary.’’. 
(3) Section 168(l)(5) of such Code is amended 
by striking ‘‘section 168(k)(2)(G)’’ and inserting 
‘‘section 168(k)(2)(E)’’. 
(4) Section 263A(c) of such Code is amended 
by adding at the end the following new paragraph: 
‘‘(7) 
COORDINATION
WITH
SECTION 
168(k)(5).—This section shall not apply to any 
amount allowable as a deduction by reason of section 
168(k)(5) (relating to special rules for trees and 
vines bearing fruits and nuts).’’. 
(5) Section 460(c)(6)(B) of such Code is 
amended by striking ‘‘which—’’ and all that follows 
and inserting ‘‘which has a recovery period of 7 
years or less.’’. 
(6) Section 168(k) of such Code is amended by 
striking ‘‘ACQUIRED AFTER DECEMBER 31, 2007, 
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AND BEFORE JANUARY 1, 2014’’ in the heading 
thereof. 
(e) EFFECTIVE DATES.— 
(1) IN
GENERAL.—Except as otherwise pro-
vided in this subsection, the amendments made by 
this section shall apply to property placed in service 
after December 31, 2013. 
(2) EXPANSION OF ELECTION TO ACCELERATE 
AMT CREDITS IN LIEU OF BONUS DEPRECIATION.— 
(A) IN GENERAL.—The amendment made 
by subsection (b) (other than so much of such 
amendment 
as 
relates 
to 
section 
168(k)(4)(D)(iii) of such Code, as added by 
such amendment) shall apply to taxable years 
ending after December 31, 2013. 
(B) TRANSITIONAL RULE.—In the case of 
a taxable year beginning before January 1, 
2014, and ending after December 31, 2013, the 
bonus depreciation amount determined under 
section 168(k)(4) of such Code for such year 
shall be the sum of— 
(i) such amount determined without 
regard to the amendments made by this 
section and— 
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(I) by taking into account only 
property placed in service before Jan-
uary 1, 2014, and 
(II) by multiplying the limitation 
under section 168(k)(4)(C)(ii) of such 
Code (determined without regard to 
the amendments made by this section) 
by a fraction the numerator of which 
is the number of days in the taxable 
year before January 1, 2014, and the 
denominator of which is the number 
of days in the taxable year, and 
(ii) such amount determined after 
taking into account the amendments made 
by this section and— 
(I) by taking into account only 
property placed in service after De-
cember 31, 2013, and 
(II) by multiplying the limitation 
under section 168(k)(4)(B)(ii) of such 
Code (as amended by this section) by 
a fraction the numerator of which is 
the number of days in the taxable 
year after December 31, 2013, and 
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the denominator of which is the num-
ber of days in the taxable year. 
(3) SPECIAL RULES FOR CERTAIN TREES AND 
VINES.—The amendment made by subsection (c)(2) 
shall apply to trees and vines planted or grafted 
after December 31, 2013. 
SEC. 1007. BUDGETARY EFFECTS. 
(a) STATUTORY PAY-AS-YOU-GO SCORECARDS.—The 
budgetary effects of this title shall not be entered on either 
PAYGO scorecard maintained pursuant to section 4(d) of 
the Statutory Pay-As-You-Go Act of 2010. 
(b) SENATE PAYGO SCORECARDS.—The budgetary 
effects of this title shall not be entered on any PAYGO 
scorecard maintained for purposes of section 201 of S. 
Con. Res. 21 (110th Congress). 
TITLE II—REINING IN JOB-KILL-
ING WASHINGTON RED TAPE 
Subtitle A—Regulations From the 
Executive in Need of Scrutiny Act 
SEC. 2001. PURPOSE. 
The purpose of this title is to increase accountability 
for and transparency in the Federal regulatory process. 
Section 1 of article I of the United States Constitution 
grants all legislative powers to Congress. Over time, Con-
gress has excessively delegated its constitutional charge 
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while failing to conduct appropriate oversight and retain 
accountability for the content of the laws it passes. By 
requiring a vote in Congress, this subtitle will result in 
more carefully drafted and detailed legislation, an im-
proved regulatory process, and a legislative branch that 
is truly accountable to the American people for the laws 
imposed upon them. Moreover, as a tax on carbon emis-
sions increases energy costs on consumers, reduces eco-
nomic growth and is therefore detrimental to individuals, 
families and businesses, this subtitle includes in the defini-
tion of a major rule, any rule that implements or provides 
for the imposition or collection of a tax on carbon emis-
sions. 
SEC. 2002. CONGRESSIONAL REVIEW OF AGENCY RULE-
MAKING. 
Chapter 8 of title 5, United States Code, is amended 
to read as follows: 
‘‘CHAPTER 8—CONGRESSIONAL REVIEW 
OF AGENCY RULEMAKING 
‘‘Sec. 
‘‘801. Congressional review. 
‘‘802. Congressional approval procedure for major rules. 
‘‘803. Congressional disapproval procedure for nonmajor rules. 
‘‘804. Definitions. 
‘‘805. Judicial review. 
‘‘806. Exemption for monetary policy. 
‘‘807. Effective date of certain rules. 
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‘‘§ 801. Congressional review 
‘‘(a)(1)(A) Before a rule may take effect, the Federal 
agency promulgating such rule shall submit to each House 
of the Congress and to the Comptroller General a report 
containing— 
‘‘(i) a copy of the rule; 
‘‘(ii) a concise general statement relating to the 
rule; 
‘‘(iii) a classification of the rule as a major or 
nonmajor rule, including an explanation of the clas-
sification specifically addressing each criteria for a 
major rule contained within clauses (i) through (iii) 
of section 804(2)(A) or within section 804(2)(B); 
‘‘(iv) a list of any other related regulatory ac-
tions taken by or that will be taken by the Federal 
agency promulgating the rule that are intended to 
implement the same statutory provision or regu-
latory objective as well as the individual and aggre-
gate economic effects of those actions; 
‘‘(v) a list of any other related regulatory ac-
tions taken by or that will be taken by any other 
Federal agency with authority to implement the 
same statutory provision or regulatory objective that 
are intended to implement such provision or objec-
tive, of which the Federal agency promulgating the 
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rule is aware, as well as the individual and aggre-
gate economic effects of those actions; and 
‘‘(vi) the proposed effective date of the rule. 
‘‘(B) On the date of the submission of the report 
under subparagraph (A), the Federal agency promulgating 
the rule shall submit to the Comptroller General and make 
available to each House of Congress— 
‘‘(i) a complete copy of the cost-benefit analysis 
of the rule, if any, including an analysis of any jobs 
added or lost, differentiating between public and pri-
vate sector jobs; 
‘‘(ii) the agency’s actions pursuant to sections 
603, 604, 605, 607, and 609 of this title; 
‘‘(iii) the agency’s actions pursuant to sections 
202, 203, 204, and 205 of the Unfunded Mandates 
Reform Act of 1995; and 
‘‘(iv) any other relevant information or require-
ments under any other Act and any relevant Execu-
tive orders. 
‘‘(C) Upon receipt of a report submitted under sub-
paragraph (A), each House shall provide copies of the re-
port to the chairman and ranking member of each stand-
ing committee with jurisdiction under the rules of the 
House of Representatives or the Senate to report a bill 
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to amend the provision of law under which the rule is 
issued. 
‘‘(2)(A) The Comptroller General shall provide a re-
port on each major rule to the committees of jurisdiction 
by the end of 15 calendar days after the submission or 
publication date. The report of the Comptroller General 
shall include an assessment of the agency’s compliance 
with procedural steps required by paragraph (1)(B) and 
an assessment of whether the major rule imposes any new 
limits or mandates on private-sector activity. 
‘‘(B) Federal agencies shall cooperate with the Comp-
troller General by providing information relevant to the 
Comptroller General’s report under subparagraph (A). 
‘‘(3) A major rule relating to a report submitted 
under paragraph (1) shall take effect upon enactment of 
a joint resolution of approval described in section 802 or 
as provided for in the rule following enactment of a joint 
resolution of approval described in section 802, whichever 
is later. 
‘‘(4) A nonmajor rule shall take effect as provided 
by section 803 after submission to Congress under para-
graph (1). 
‘‘(5) If a joint resolution of approval relating to a 
major rule is not enacted within the period provided in 
subsection (b)(2), then a joint resolution of approval relat-
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ing to the same rule may not be considered under this 
chapter in the same Congress by either the House of Rep-
resentatives or the Senate. 
‘‘(b)(1) A major rule shall not take effect unless the 
Congress enacts a joint resolution of approval described 
under section 802. 
‘‘(2) If a joint resolution described in subsection (a) 
is not enacted into law by the end of 70 session days or 
legislative days, as applicable, beginning on the date on 
which the report referred to in section 801(a)(1)(A) is re-
ceived by Congress (excluding days either House of Con-
gress is adjourned for more than 3 days during a session 
of Congress), then the rule described in that resolution 
shall be deemed not to be approved and such rule shall 
not take effect. 
‘‘(c)(1) Notwithstanding any other provision of this 
section (except subject to paragraph (3)), a major rule 
may take effect for one 90-calendar-day period if the 
President makes a determination under paragraph (2) and 
submits written notice of such determination to the Con-
gress. 
‘‘(2) Paragraph (1) applies to a determination made 
by the President by Executive order that the major rule 
should take effect because such rule is— 
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‘‘(A) necessary because of an imminent threat 
to health or safety or other emergency; 
‘‘(B) necessary for the enforcement of criminal 
laws; 
‘‘(C) necessary for national security; or 
‘‘(D) issued pursuant to any statute imple-
menting an international trade agreement. 
‘‘(3) An exercise by the President of the authority 
under this subsection shall have no effect on the proce-
dures under section 802. 
‘‘(d)(1) In addition to the opportunity for review oth-
erwise provided under this chapter, in the case of any rule 
for which a report was submitted in accordance with sub-
section (a)(1)(A) during the period beginning on the date 
occurring— 
‘‘(A) in the case of the Senate, 60 session days, 
or 
‘‘(B) in the case of the House of Representa-
tives, 60 legislative days, 
before the date the Congress is scheduled to adjourn a 
session of Congress through the date on which the same 
or succeeding Congress first convenes its next session, sec-
tions 802 and 803 shall apply to such rule in the suc-
ceeding session of Congress. 
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‘‘(2)(A) In applying sections 802 and 803 for pur-
poses of such additional review, a rule described under 
paragraph (1) shall be treated as though— 
‘‘(i) such rule were published in the Federal 
Register on— 
‘‘(I) in the case of the Senate, the 15th 
session day, or 
‘‘(II) in the case of the House of Rep-
resentatives, the 15th legislative day, 
after the succeeding session of Congress first con-
venes; and 
‘‘(ii) a report on such rule were submitted to 
Congress under subsection (a)(1) on such date. 
‘‘(B) Nothing in this paragraph shall be construed 
to affect the requirement under subsection (a)(1) that a 
report shall be submitted to Congress before a rule can 
take effect. 
‘‘(3) A rule described under paragraph (1) shall take 
effect as otherwise provided by law (including other sub-
sections of this section). 
‘‘§ 802. Congressional approval procedure for major 
rules 
‘‘(a)(1) For purposes of this section, the term ‘joint 
resolution’ means only a joint resolution addressing a re-
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port classifying a rule as major pursuant to section 
801(a)(1)(A)(iii) that— 
‘‘(A) bears no preamble; 
‘‘(B) bears the following title (with blanks filled 
as appropriate): ‘Approving the rule submitted by 
lll relating to lll.’; 
‘‘(C) includes after its resolving clause only the 
following (with blanks filled as appropriate): ‘That 
Congress approves the rule submitted by lll re-
lating to lll.’; and 
‘‘(D) is introduced pursuant to paragraph (2). 
‘‘(2) After a House of Congress receives a report 
classifying a rule as major pursuant to section 
801(a)(1)(A)(iii), the majority leader of that House (or 
his or her respective designee) shall introduce (by request, 
if appropriate) a joint resolution described in paragraph 
(1)— 
‘‘(A) in the case of the House of Representa-
tives, within three legislative days; and 
‘‘(B) in the case of the Senate, within three ses-
sion days. 
‘‘(3) A joint resolution described in paragraph (1) 
shall not be subject to amendment at any stage of pro-
ceeding. 
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consideration of the joint resolution) are waived. The mo-
tion is not subject to amendment, or to a motion to post-
pone, or to a motion to proceed to the consideration of 
other business. A motion to reconsider the vote by which 
the motion is agreed to or disagreed to shall not be in 
order. If a motion to proceed to the consideration of the 
joint resolution is agreed to, the joint resolution shall re-
main the unfinished business of the Senate until disposed 
of. 
‘‘(2) In the Senate, debate on the joint resolution, 
and on all debatable motions and appeals in connection 
therewith, shall be limited to not more than 2 hours, which 
shall be divided equally between those favoring and those 
opposing the joint resolution. A motion to further limit 
debate is in order and not debatable. An amendment to, 
or a motion to postpone, or a motion to proceed to the 
consideration of other business, or a motion to recommit 
the joint resolution is not in order. 
‘‘(3) In the Senate, immediately following the conclu-
sion of the debate on a joint resolution described in sub-
section (a), and a single quorum call at the conclusion of 
the debate if requested in accordance with the rules of the 
Senate, the vote on final passage of the joint resolution 
shall occur. 
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‘‘(4) Appeals from the decisions of the Chair relating 
to the application of the rules of the Senate to the proce-
dure relating to a joint resolution described in subsection 
(a) shall be decided without debate. 
‘‘(e) In the House of Representatives, if any com-
mittee to which a joint resolution described in subsection 
(a) has been referred has not reported it to the House 
at the end of 15 legislative days after its introduction, 
such committee shall be discharged from further consider-
ation of the joint resolution, and it shall be placed on the 
appropriate calendar. On the second and fourth Thursdays 
of each month it shall be in order at any time for the 
Speaker to recognize a Member who favors passage of a 
joint resolution that has appeared on the calendar for at 
least 5 legislative days to call up that joint resolution for 
immediate consideration in the House without intervention 
of any point of order. When so called up a joint resolution 
shall be considered as read and shall be debatable for 1 
hour equally divided and controlled by the proponent and 
an opponent, and the previous question shall be considered 
as ordered to its passage without intervening motion. It 
shall not be in order to reconsider the vote on passage. 
If a vote on final passage of the joint resolution has not 
been taken by the third Thursday on which the Speaker 
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may recognize a Member under this subsection, such vote 
shall be taken on that day. 
‘‘(f)(1) If, before passing a joint resolution described 
in subsection (a), one House receives from the other a 
joint resolution having the same text, then— 
‘‘(A) the joint resolution of the other House 
shall not be referred to a committee; and 
‘‘(B) the procedure in the receiving House shall 
be the same as if no joint resolution had been re-
ceived from the other House until the vote on pas-
sage, when the joint resolution received from the 
other House shall supplant the joint resolution of 
the receiving House. 
‘‘(2) This subsection shall not apply to the House of 
Representatives if the joint resolution received from the 
Senate is a revenue measure. 
‘‘(g) If either House has not taken a vote on final 
passage of the joint resolution by the last day of the period 
described in section 801(b)(2), then such vote shall be 
taken on that day. 
‘‘(h) This section and section 803 are enacted by 
Congress— 
‘‘(1) as an exercise of the rulemaking power of 
the Senate and House of Representatives, respec-
tively, and as such is deemed to be part of the rules 
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of each House, respectively, but applicable only with 
respect to the procedure to be followed in that 
House in the case of a joint resolution described in 
subsection (a) and superseding other rules only 
where explicitly so; and 
‘‘(2) with full recognition of the Constitutional 
right of either House to change the rules (so far as 
they relate to the procedure of that House) at any 
time, in the same manner and to the same extent as 
in the case of any other rule of that House. 
‘‘§ 803. 
Congressional 
disapproval 
procedure 
for 
nonmajor rules 
‘‘(a) For purposes of this section, the term ‘joint res-
olution’ means only a joint resolution introduced in the 
period beginning on the date on which the report referred 
to in section 801(a)(1)(A) is received by Congress and 
ending 60 days thereafter (excluding days either House 
of Congress is adjourned for more than 3 days during a 
session of Congress), the matter after the resolving clause 
of which is as follows: ‘That Congress disapproves the 
nonmajor rule submitted by the lll relating to 
lll, and such rule shall have no force or effect.’ (The 
blank spaces being appropriately filled in). 
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‘‘(b) A joint resolution described in subsection (a) 
shall be referred to the committees in each House of Con-
gress with jurisdiction. 
‘‘(c) In the Senate, if the committee to which is re-
ferred a joint resolution described in subsection (a) has 
not reported such joint resolution (or an identical joint 
resolution) at the end of 15 session days after the date 
of introduction of the joint resolution, such committee may 
be discharged from further consideration of such joint res-
olution upon a petition supported in writing by 30 Mem-
bers of the Senate, and such joint resolution shall be 
placed on the calendar. 
‘‘(d)(1) In the Senate, when the committee to which 
a joint resolution is referred has reported, or when a com-
mittee is discharged (under subsection (c)) from further 
consideration of a joint resolution described in subsection 
(a), it is at any time thereafter in order (even though a 
previous motion to the same effect has been disagreed to) 
for a motion to proceed to the consideration of the joint 
resolution, and all points of order against the joint resolu-
tion (and against consideration of the joint resolution) are 
waived. The motion is not subject to amendment, or to 
a motion to postpone, or to a motion to proceed to the 
consideration of other business. A motion to reconsider the 
vote by which the motion is agreed to or disagreed to shall 
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not be in order. If a motion to proceed to the consideration 
of the joint resolution is agreed to, the joint resolution 
shall remain the unfinished business of the Senate until 
disposed of. 
‘‘(2) In the Senate, debate on the joint resolution, 
and on all debatable motions and appeals in connection 
therewith, shall be limited to not more than 10 hours, 
which shall be divided equally between those favoring and 
those opposing the joint resolution. A motion to further 
limit debate is in order and not debatable. An amendment 
to, or a motion to postpone, or a motion to proceed to 
the consideration of other business, or a motion to recom-
mit the joint resolution is not in order. 
‘‘(3) In the Senate, immediately following the conclu-
sion of the debate on a joint resolution described in sub-
section (a), and a single quorum call at the conclusion of 
the debate if requested in accordance with the rules of the 
Senate, the vote on final passage of the joint resolution 
shall occur. 
‘‘(4) Appeals from the decisions of the Chair relating 
to the application of the rules of the Senate to the proce-
dure relating to a joint resolution described in subsection 
(a) shall be decided without debate. 
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‘‘(e) In the Senate the procedure specified in sub-
section (c) or (d) shall not apply to the consideration of 
a joint resolution respecting a nonmajor rule— 
‘‘(1) after the expiration of the 60 session days 
beginning with the applicable submission or publica-
tion date, or 
‘‘(2) if the report under section 801(a)(1)(A) 
was submitted during the period referred to in sec-
tion 801(d)(1), after the expiration of the 60 session 
days beginning on the 15th session day after the 
succeeding session of Congress first convenes. 
‘‘(f) If, before the passage by one House of a joint 
resolution of that House described in subsection (a), that 
House receives from the other House a joint resolution 
described in subsection (a), then the following procedures 
shall apply: 
‘‘(1) The joint resolution of the other House 
shall not be referred to a committee. 
‘‘(2) With respect to a joint resolution described 
in subsection (a) of the House receiving the joint 
resolution— 
‘‘(A) the procedure in that House shall be 
the same as if no joint resolution had been re-
ceived from the other House; but 
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‘‘(B) the vote on final passage shall be on 
the joint resolution of the other House. 
‘‘§ 804. Definitions 
‘‘For purposes of this chapter— 
‘‘(1) The term ‘Federal agency’ means any 
agency as that term is defined in section 551(1). 
‘‘(2) The term ‘major rule’ means any rule, in-
cluding an interim final rule, that the Administrator 
of the Office of Information and Regulatory Affairs 
of the Office of Management and Budget finds— 
‘‘(A) has resulted in or is likely to result 
in— 
‘‘(i) an annual effect on the economy 
of $50,000,000 or more; 
‘‘(ii) a major increase in costs or 
prices for consumers, individual industries, 
Federal, State, or local government agen-
cies, or geographic regions; or 
‘‘(iii) significant adverse effects on 
competition, employment, investment, pro-
ductivity, innovation, or on the ability of 
United States-based enterprises to compete 
with foreign-based enterprises in domestic 
and export markets; 
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‘‘(B) is made by the Administrator of the 
Environmental Protection Agency and that 
would have a significant impact on a substan-
tial number of agricultural entities, as deter-
mined by the Secretary of Agriculture (who 
shall publish such determination in the Federal 
Register); 
‘‘(C) is a rule that implements or provides 
for the imposition or collection of a carbon tax; 
or 
‘‘(D) is made under the Patient Protection 
and Affordable Care Act (Public Law 111– 
148). 
‘‘(3) The term ‘nonmajor rule’ means any rule 
that is not a major rule. 
‘‘(4) The term ‘rule’ has the meaning given 
such term in section 551, except that such term does 
not include any rule of particular applicability, in-
cluding a rule that approves or prescribes for the fu-
ture rates, wages, prices, services, or allowances 
therefore, corporate or financial structures, reorga-
nizations, mergers, or acquisitions thereof, or ac-
counting practices or disclosures bearing on any of 
the foregoing. 
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‘‘(5) The term ‘submission date or publication 
date’, except as otherwise provided in this chapter, 
means— 
‘‘(A) in the case of a major rule, the date 
on which the Congress receives the report sub-
mitted under section 801(a)(1); and 
‘‘(B) in the case of a nonmajor rule, the 
later of— 
‘‘(i) the date on which the Congress 
receives the report submitted under section 
801(a)(1); and 
‘‘(ii) the date on which the nonmajor 
rule is published in the Federal Register, if 
so published. 
‘‘(6) The term ‘agricultural entity’ means any 
entity involved in or related to agricultural enter-
prise, including enterprises that are engaged in the 
business of production of food and fiber, ranching 
and raising of livestock, aquaculture, and all other 
farming and agricultural related industries. 
‘‘(7) The term ‘carbon tax’ means a fee, levy, 
or price on— 
‘‘(A) emissions, including carbon dioxide 
emissions generated by the burning of coal, nat-
ural gas, or oil; or 
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‘‘(B) coal, natural gas, or oil based on 
emissions, including carbon dioxide emissions 
that would be generated through the fuel’s com-
bustion. 
‘‘§ 805. Judicial review 
‘‘(a) No determination, finding, action, or omission 
under this chapter shall be subject to judicial review. 
‘‘(b) Notwithstanding subsection (a), a court may de-
termine whether a Federal agency has completed the nec-
essary requirements under this chapter for a rule to take 
effect. 
‘‘(c) The enactment of a joint resolution of approval 
under section 802 shall not be interpreted to serve as a 
grant or modification of statutory authority by Congress 
for the promulgation of a rule, shall not extinguish or af-
fect any claim, whether substantive or procedural, against 
any alleged defect in a rule, and shall not form part of 
the record before the court in any judicial proceeding con-
cerning a rule except for purposes of determining whether 
or not the rule is in effect. 
‘‘§ 806. Exemption for monetary policy 
‘‘Nothing in this chapter shall apply to rules that con-
cern monetary policy proposed or implemented by the 
Board of Governors of the Federal Reserve System or the 
Federal Open Market Committee. 
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‘‘§ 807. Effective date of certain rules 
‘‘Notwithstanding section 801— 
‘‘(1) any rule that establishes, modifies, opens, 
closes, or conducts a regulatory program for a com-
mercial, recreational, or subsistence activity related 
to hunting, fishing, or camping; or 
‘‘(2) any rule other than a major rule which an 
agency for good cause finds (and incorporates the 
finding and a brief statement of reasons therefore in 
the rule issued) that notice and public procedure 
thereon are impracticable, unnecessary, or contrary 
to the public interest, 
shall take effect at such time as the Federal agency pro-
mulgating the rule determines.’’. 
SEC. 2003. BUDGETARY EFFECTS OF RULES SUBJECT TO 
SECTION 802 OF TITLE 5, UNITED STATES 
CODE. 
Section 257(b)(2) of the Balanced Budget and Emer-
gency Deficit Control Act of 1985 is amended by adding 
at the end the following new subparagraph: 
‘‘(E) BUDGETARY
EFFECTS
OF
RULES 
SUBJECT TO SECTION 802 OF TITLE 5, UNITED 
STATES CODE.—Any rules subject to the con-
gressional approval procedure set forth in sec-
tion 802 of chapter 8 of title 5, United States 
Code, affecting budget authority, outlays, or re-
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ceipts shall be assumed to be effective unless it 
is not approved in accordance with such sec-
tion.’’. 
SEC. 2004. GOVERNMENT ACCOUNTABILITY OFFICE STUDY 
OF RULES. 
(a) IN GENERAL.—The Comptroller General of the 
United States shall conduct a study to determine, as of 
the date of the enactment of this subtitle— 
(1) how many rules (as such term is defined in 
section 804 of title 5, United States Code) were in 
effect; 
(2) how many major rules (as such term is de-
fined in section 804 of title 5, United States Code) 
were in effect; and 
(3) the total estimated economic cost imposed 
by all such rules. 
(b) REPORT.—Not later than one year after the date 
of the enactment of this subtitle, the Comptroller General 
of the United States shall submit a report to Congress 
that contains the findings of the study conducted under 
subsection (a). 
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Subtitle B—Energy Consumers 
Relief Act 
SEC. 2201. PROHIBITION AGAINST FINALIZING CERTAIN EN-
ERGY-RELATED RULES THAT WILL CAUSE 
SIGNIFICANT ADVERSE EFFECTS TO THE 
ECONOMY. 
Notwithstanding any other provision of law, the Ad-
ministrator of the Environmental Protection Agency may 
not promulgate as final an energy-related rule that is esti-
mated to cost more than $1 billion if the Secretary of En-
ergy determines under section 2202(3) that the rule will 
cause significant adverse effects to the economy. 
SEC. 2202. REPORTS AND DETERMINATIONS PRIOR TO PRO-
MULGATING AS FINAL CERTAIN ENERGY-RE-
LATED RULES. 
Before promulgating as final any energy-related rule 
that is estimated to cost more than $1 billion: 
(1) REPORT TO CONGRESS.—The Administrator 
of the Environmental Protection Agency shall sub-
mit to Congress a report (and transmit a copy to the 
Secretary of Energy) containing— 
(A) a copy of the rule; 
(B) a concise general statement relating to 
the rule; 
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(C) an estimate of the total costs of the 
rule, including the direct costs and indirect 
costs of the rule; 
(D)(i) an estimate of the total benefits of 
the rule and when such benefits are expected to 
be realized; 
(ii) a description of the modeling, the cal-
culations, the assumptions, and the limitations 
due to uncertainty, speculation, or lack of infor-
mation associated with the estimates under this 
subparagraph; and 
(iii) a certification that all data and docu-
ments relied upon by the Agency in developing 
such estimates— 
(I) have been preserved; and 
(II) are available for review by the 
public on the Agency’s Web site, except to 
the extent to which publication of such 
data and documents would constitute dis-
closure of confidential information in viola-
tion of applicable Federal law; 
(E) an estimate of the increases in energy 
prices, including potential increases in gasoline 
or electricity prices for consumers, that may re-
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sult from implementation or enforcement of the 
rule; and 
(F) a detailed description of the employ-
ment effects, including potential job losses and 
shifts in employment, that may result from im-
plementation or enforcement of the rule. 
(2) INITIAL
DETERMINATION
ON
INCREASES 
AND IMPACTS.—The Secretary of Energy, in con-
sultation with the Federal Energy Regulatory Com-
mission and the Administrator of the Energy Infor-
mation Administration, shall prepare an independent 
analysis to determine whether the rule will cause— 
(A) any increase in energy prices for con-
sumers, including low-income households, small 
businesses, and manufacturers; 
(B) any impact on fuel diversity of the Na-
tion’s electricity generation portfolio or on na-
tional, regional, or local electric reliability; 
(C) any adverse effect on energy supply, 
distribution, or use due to the economic or tech-
nical infeasibility of implementing the rule; or 
(D) any other adverse effect on energy 
supply, distribution, or use (including a short-
fall in supply and increased use of foreign sup-
plies). 
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(3) SUBSEQUENT DETERMINATION ON ADVERSE 
EFFECTS TO THE ECONOMY.—If the Secretary of 
Energy determines, under paragraph (2), that the 
rule will cause an increase, impact, or effect de-
scribed in such paragraph, then the Secretary, in 
consultation with the Administrator of the Environ-
mental Protection Agency, the Secretary of Com-
merce, the Secretary of Labor, and the Adminis-
trator of the Small Business Administration, shall— 
(A) determine whether the rule will cause 
significant adverse effects to the economy, tak-
ing into consideration— 
(i) the costs and benefits of the rule 
and limitations in calculating such costs 
and benefits due to uncertainty, specula-
tion, or lack of information; and 
(ii) the positive and negative impacts 
of the rule on economic indicators, includ-
ing those related to gross domestic prod-
uct, 
unemployment, 
wages, 
consumer 
prices, and business and manufacturing ac-
tivity; and 
(B) publish the results of such determina-
tion in the Federal Register. 
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SEC. 2203. DEFINITIONS. 
In this subtitle: 
(1) The terms ‘‘direct costs’’ and ‘‘indirect 
costs’’ have the meanings given such terms in chap-
ter 8 of the Environmental Protection Agency’s 
‘‘Guidelines for Preparing Economic Analyses’’ 
dated December 17, 2010. 
(2) The term ‘‘energy-related rule that is esti-
mated to cost more than $1 billion’’ means a rule of 
the Environmental Protection Agency that— 
(A) regulates any aspect of the production, 
supply, distribution, or use of energy or pro-
vides for such regulation by States or other gov-
ernmental entities; and 
(B) is estimated by the Administrator of 
the Environmental Protection Agency or the 
Director of the Office of Management and 
Budget to impose direct costs and indirect 
costs, 
in 
the 
aggregate, 
of 
more 
than 
$1,000,000,000. 
(3) The term ‘‘rule’’ has the meaning given to 
such term in section 551 of title 5, United States 
Code. 
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SEC. 2204. PROHIBITION ON USE OF SOCIAL COST OF CAR-
BON IN ANALYSIS. 
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law or any Executive order, the Administrator of 
the Environmental Protection Agency may not use the so-
cial cost of carbon in order to incorporate social benefits 
of reducing carbon dioxide emissions, or for any other rea-
son, in any cost-benefit analysis relating to an energy-re-
lated rule that is estimated to cost more than $1 billion 
unless and until a Federal law is enacted authorizing such 
use. 
(b) DEFINITION.—In this section, the term ‘‘social 
cost of carbon’’ means the social cost of carbon as de-
scribed in the technical support document entitled ‘‘Tech-
nical Support Document: Technical Update of the Social 
Cost of Carbon for Regulatory Impact Analysis Under Ex-
ecutive Order 12866’’, published by the Interagency 
Working Group on Social Cost of Carbon, United States 
Government, in May 2013, or any successor or substan-
tially related document, or any other estimate of the mone-
tized damages associated with an incremental increase in 
carbon dioxide emissions in a given year. 
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Subtitle C—Electricity Security 
and Affordability Act 
SEC. 2301. STANDARDS OF PERFORMANCE FOR NEW FOS-
SIL FUEL-FIRED ELECTRIC UTILITY GENER-
ATING UNITS. 
(a) LIMITATION.—The Administrator of the Environ-
mental Protection Agency may not issue, implement, or 
enforce any proposed or final rule under section 111 of 
the Clean Air Act (42 U.S.C. 7411) that establishes a 
standard of performance for emissions of any greenhouse 
gas from any new source that is a fossil fuel-fired electric 
utility generating unit unless such rule meets the require-
ments under subsections (b) and (c). 
(b) REQUIREMENTS.—In issuing any rule under sec-
tion 111 of the Clean Air Act (42 U.S.C. 7411) estab-
lishing standards of performance for emissions of any 
greenhouse gas from new sources that are fossil fuel-fired 
electric utility generating units, the Administrator of the 
Environmental Protection Agency (for purposes of estab-
lishing such standards)— 
(1) shall separate sources fueled with coal and 
natural gas into separate categories; and 
(2) shall not set a standard based on the best 
system of emission reduction for new sources within 
a fossil-fuel category unless— 
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(A) such standard has been achieved on 
average for at least one continuous 12-month 
period (excluding planned outages) by each of 
at least 6 units within such category— 
(i) each of which is located at a dif-
ferent electric generating station in the 
United States; 
(ii) which, collectively, are representa-
tive of the operating characteristics of elec-
tric generation at different locations in the 
United States; and 
(iii) each of which is operated for the 
entire 12-month period on a full commer-
cial basis; and 
(B) no results obtained from any dem-
onstration project are used in setting such 
standard. 
(c) COAL HAVING A HEAT CONTENT OF 8300 OR 
LESS BRITISH THERMAL UNITS PER POUND.— 
(1) SEPARATE SUBCATEGORY.—In carrying out 
subsection (b)(1), the Administrator of the Environ-
mental Protection Agency shall establish a separate 
subcategory for new sources that are fossil fuel-fired 
electric utility generating units using coal with an 
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average heat content of 8300 or less British Ther-
mal Units per pound. 
(2) STANDARD.—Notwithstanding subsection 
(b)(2), in issuing any rule under section 111 of the 
Clean Air Act (42 U.S.C. 7411) establishing stand-
ards of performance for emissions of any greenhouse 
gas from new sources in such subcategory, the Ad-
ministrator of the Environmental Protection Agency 
shall not set a standard based on the best system of 
emission reduction unless— 
(A) such standard has been achieved on 
average for at least one continuous 12-month 
period (excluding planned outages) by each of 
at least 3 units within such subcategory— 
(i) each of which is located at a dif-
ferent electric generating station in the 
United States; 
(ii) which, collectively, are representa-
tive of the operating characteristics of elec-
tric generation at different locations in the 
United States; and 
(iii) each of which is operated for the 
entire 12-month period on a full commer-
cial basis; and 
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(B) no results obtained from any dem-
onstration project are used in setting such 
standard. 
(d) TECHNOLOGIES.—Nothing in this section shall be 
construed to preclude the issuance, implementation, or en-
forcement of a standard of performance that— 
(1) is based on the use of one or more tech-
nologies that are developed in a foreign country, but 
has been demonstrated to be achievable at fossil 
fuel-fired electric utility generating units in the 
United States; and 
(2) meets the requirements of subsections (b) 
and (c), as applicable. 
SEC. 2302. CONGRESS TO SET EFFECTIVE DATE FOR STAND-
ARDS 
OF 
PERFORMANCE 
FOR 
EXISTING, 
MODIFIED, AND RECONSTRUCTED FOSSIL 
FUEL-FIRED ELECTRIC UTILITY GENERATING 
UNITS. 
(a) APPLICABILITY.—This section applies with re-
spect to any rule or guidelines issued by the Administrator 
of the Environmental Protection Agency under section 
111 of the Clean Air Act (42 U.S.C. 7411) that— 
(1) establish any standard of performance for 
emissions of any greenhouse gas from any modified 
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or reconstructed source that is a fossil fuel-fired 
electric utility generating unit; or 
(2) apply to the emissions of any greenhouse 
gas from an existing source that is a fossil fuel-fired 
electric utility generating unit. 
(b) CONGRESS TO SET EFFECTIVE DATE.—A rule 
or guidelines described in subsection (a) shall not take ef-
fect unless a Federal law is enacted specifying such rule’s 
or guidelines’ effective date. 
(c) REPORTING.—A rule or guidelines described in 
subsection (a) shall not take effect unless the Adminis-
trator of the Environmental Protection Agency has sub-
mitted to Congress a report containing each of the fol-
lowing: 
(1) The text of such rule or guidelines. 
(2) The economic impacts of such rule or guide-
lines, including the potential effects on— 
(A) economic growth, competitiveness, and 
jobs in the United States; 
(B) electricity ratepayers, including low-in-
come ratepayers in affected States; 
(C) required capital investments and pro-
jected costs for operation and maintenance of 
new equipment required to be installed; and 
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(D) the global economic competitiveness of 
the United States. 
(3) The amount of greenhouse gas emissions 
that such rule or guidelines are projected to reduce 
as compared to overall global greenhouse gas emis-
sions. 
(d) CONSULTATION.—In carrying out subsection (c), 
the Administrator of the Environmental Protection Agen-
cy shall consult with the Administrator of the Energy In-
formation Administration, the Comptroller General of the 
United States, the Director of the National Energy Tech-
nology Laboratory, and the Under Secretary of Commerce 
for Standards and Technology. 
SEC. 2303. REPEAL OF EARLIER RULES AND GUIDELINES. 
The following rules and guidelines shall be of no force 
or effect, and shall be treated as though such rules and 
guidelines had never been issued: 
(1) The proposed rule— 
(A) entitled ‘‘Standards of Performance 
for Greenhouse Gas Emissions for New Sta-
tionary Sources: Electric Utility Generating 
Units’’, published at 77 Fed. Reg. 22392 (April 
13, 2012); and 
(B) withdrawn pursuant to the notice enti-
tled ‘‘Withdrawal of Proposed Standards of 
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Performance for Greenhouse Gas Emissions for 
New Stationary Sources: Electric Utility Gener-
ating Units’’, signed by the Administrator of 
the Environmental Protection Agency on Sep-
tember 20, 2013, and identified by docket ID 
number EPA–HQ–OAR–2011–0660. 
(2) The proposed rule entitled ‘‘Standards of 
Performance for Greenhouse Gas Emissions from 
New Stationary Sources: Electric Utility Generating 
Units’’, signed by the Administrator of the Environ-
mental Protection Agency on September 20, 2013, 
and identified by docket ID number EPA–HQ– 
OAR–2013–0495. 
(3) With respect to the proposed rule described 
in paragraph (1), any successor or substantially 
similar proposed or final rule that— 
(A) is issued prior to the date of the enact-
ment of this Act; 
(B) is applicable to any new source that is 
a fossil fuel-fired electric utility generating unit; 
and 
(C) does not meet the requirements under 
subsections (b) and (c) of section 2. 
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(4) Any proposed or final rule or guidelines 
under section 111 of the Clean Air Act (42 U.S.C. 
7411) that— 
(A) are issued prior to the date of the en-
actment of this Act; and 
(B) establish any standard of performance 
for emissions of any greenhouse gas from any 
modified or reconstructed source that is a fossil 
fuel-fired electric utility generating unit or 
apply to the emissions of any greenhouse gas 
from an existing source that is a fossil fuel-fired 
electric utility generating unit. 
SEC. 2304. DEFINITIONS. 
In this subtitle: 
(1) DEMONSTRATION
PROJECT.—The term 
‘‘demonstration project’’ means a project to test or 
demonstrate the feasibility of carbon capture and 
storage technologies that has received Federal Gov-
ernment funding or financial assistance. 
(2) EXISTING
SOURCE.—The term ‘‘existing 
source’’ has the meaning given such term in section 
111(a) of the Clean Air Act (42 U.S.C. 7411(a)), 
except such term shall not include any modified 
source. 
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(3) GREENHOUSE GAS.—The term ‘‘greenhouse 
gas’’ means any of the following: 
(A) Carbon dioxide. 
(B) Methane. 
(C) Nitrous oxide. 
(D) Sulfur hexafluoride. 
(E) Hydrofluorocarbons. 
(F) Perfluorocarbons. 
(4) MODIFICATION.—The term ‘‘modification’’ 
has the meaning given such term in section 111(a) 
of the Clean Air Act (42 U.S.C. 7411(a)). 
(5) MODIFIED SOURCE.—The term ‘‘modified 
source’’ means any stationary source, the modifica-
tion of which is commenced after the date of the en-
actment of this Act. 
(6) NEW SOURCE.—The term ‘‘new source’’ has 
the meaning given such term in section 111(a) of 
the Clean Air Act (42 U.S.C. 7411(a)), except that 
such term shall not include any modified source. 
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Subtitle D—Coal Residuals Reuse 
and Management 
SEC. 2401. MANAGEMENT AND DISPOSAL OF COAL COMBUS-
TION RESIDUALS. 
(a) IN GENERAL.—Subtitle D of the Solid Waste Dis-
posal Act (42 U.S.C. 6941 et seq.) is amended by adding 
at the end the following: 
‘‘SEC. 4011. MANAGEMENT AND DISPOSAL OF COAL COM-
BUSTION RESIDUALS. 
‘‘(a) STATE PERMIT PROGRAMS FOR COAL COMBUS-
TION RESIDUALS.—Each State may adopt, implement, 
and enforce a coal combustion residuals permit program 
if such State provides the notification required under sub-
section (b)(1), and the certification required under sub-
section (b)(2). 
‘‘(b) STATE ACTIONS.— 
‘‘(1) NOTIFICATION.—Not later than 6 months 
after the date of enactment of this section (except 
as provided by the deadline identified under sub-
section (d)(3)(B)), the Governor of each State shall 
notify the Administrator, in writing, whether such 
State will adopt and implement a coal combustion 
residuals permit program. 
‘‘(2) CERTIFICATION.— 
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‘‘(A) IN
GENERAL.—Not later than 36 
months after the date of enactment of this sec-
tion 
(except 
as 
provided 
in 
subsection 
(f)(1)(A)), in the case of a State that has noti-
fied the Administrator that it will implement a 
coal combustion residuals permit program, the 
head of the lead State implementing agency 
shall submit to the Administrator a certification 
that such coal combustion residuals permit pro-
gram meets the requirements described in sub-
section (c). 
‘‘(B) CONTENTS.—A certification sub-
mitted under this paragraph shall include— 
‘‘(i) a letter identifying the lead State 
implementing agency, signed by the head 
of such agency; 
‘‘(ii) identification of any other State 
agencies involved with the implementation 
of the coal combustion residuals permit 
program; 
‘‘(iii) an explanation of how the State 
coal combustion residuals permit program 
meets the requirements of this section, in-
cluding a description of the State’s— 
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‘‘(I) process to inspect or other-
wise determine compliance with such 
permit program; 
‘‘(II) process to enforce the re-
quirements of such permit program; 
‘‘(III) public participation proc-
ess for the promulgation, amendment, 
or repeal of regulations for, and the 
issuance of permits under, such per-
mit program; 
‘‘(IV) statutes, regulations, or 
policies pertaining to public access to 
information, such as groundwater 
monitoring data; and 
‘‘(V) statutes, regulations, or 
policies pertaining to structural integ-
rity or dam safety that may be ap-
plied to structures through such per-
mit program; 
‘‘(iv) a certification that the State has 
in effect, at the time of certification, stat-
utes or regulations necessary to implement 
a coal combustion residuals permit pro-
gram that meets the requirements de-
scribed in subsection (c); 
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‘‘(v) copies of State statutes and regu-
lations described in clause (iv); and 
‘‘(vi) an emergency action plan for 
State response to a leak or spill at a struc-
ture that receives coal combustion residu-
als. 
‘‘(C) UPDATES.—A State may update the 
certification as needed to reflect changes to the 
coal combustion residuals permit program. 
‘‘(3) MAINTENANCE OF 4005(c) OR 3006 PRO-
GRAM.—In order to adopt or implement a coal com-
bustion residuals permit program under this section 
(including pursuant to subsection (f)), the State im-
plementing agency shall maintain an approved per-
mit program or other system of prior approval and 
conditions under section 4005(c) or an authorized 
program under section 3006. 
‘‘(c) REQUIREMENTS FOR A COAL COMBUSTION RE-
SIDUALS PERMIT PROGRAM.—A coal combustion residuals 
permit program shall consist of the following: 
‘‘(1) GENERAL REQUIREMENTS.— 
‘‘(A) IN
GENERAL.—The implementing 
agency shall— 
‘‘(i) apply the subset of the revised 
criteria described in paragraph (2) to own-
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ers or operators of structures, including 
surface impoundments, that receive coal 
combustion residuals on or after the date 
of enactment of this section; 
‘‘(ii) with respect to structures that 
are receiving coal combustion residuals as 
of the date of enactment of this section, 
take the actions required under paragraph 
(3); 
‘‘(iii) impose requirements for surface 
impoundments that do not meet certain 
criteria pursuant to paragraph (4); and 
‘‘(iv) require that closure of structures 
occur in accordance with paragraph (5). 
‘‘(B) STRUCTURAL INTEGRITY.— 
‘‘(i) ENGINEERING CERTIFICATION.— 
The implementing agency shall require 
that an independent registered professional 
engineer certify that— 
‘‘(I) the design of each structure 
that receives coal combustion residu-
als on or after the date of enactment 
of this section is in accordance with 
recognized and generally accepted 
good engineering practices for con-
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tainment of the maximum volume of 
coal combustion residuals and liquids 
which can be impounded therein; and 
‘‘(II) the construction and main-
tenance of the structure will ensure 
structural stability. 
‘‘(ii) EMERGENCY
ACTION
PLAN.— 
The implementing agency shall require 
that the owner or operator of any structure 
that is a surface impoundment that re-
ceives coal combustion residuals on or after 
the date of enactment of this section and 
that is classified by the State as posing a 
high hazard potential pursuant to the 
guidelines published by the Federal Emer-
gency Management Agency entitled ‘Fed-
eral Guidelines for Dam Safety: Hazard 
Potential Classification System for Dams’ 
(FEMA Publication Number 333) prepare 
and maintain an emergency action plan 
that identifies responsible persons and ac-
tions to be taken in the event of a dam 
safety emergency. 
‘‘(iii) INSPECTION.— 
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‘‘(I) IN
GENERAL.—The imple-
menting agency shall require that 
structures that are surface impound-
ments that receive coal combustion re-
siduals on or after the date of enact-
ment of this section be inspected not 
less than annually by an independent 
registered professional engineer to as-
sure that the design, operation, and 
maintenance of the surface impound-
ment is in accordance with recognized 
and generally accepted good engineer-
ing practices for containment of the 
maximum volume of coal combustion 
residuals and liquids which can be im-
pounded therein, so as to ensure dam 
stability. 
‘‘(II) POTENTIALLY HAZARDOUS 
CONDITIONS.—The 
implementing 
agency shall require that if an inspec-
tion under subclause (I), or a periodic 
evaluation under clause (iv), reveals a 
potentially hazardous condition, the 
owner or operator of the structure 
shall immediately take action to miti-
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gate the potentially hazardous condi-
tion and notify appropriate State and 
local first responders. 
‘‘(iv) PERIODIC
EVALUATION.—The 
implementing agency shall require that 
structures that are surface impoundments 
that receive coal combustion residuals on 
or after the date of enactment of this sec-
tion be periodically evaluated for appear-
ances of structural weakness. 
‘‘(v) DEFICIENCY.— 
‘‘(I) IN GENERAL.—If the head 
of the implementing agency deter-
mines that a structure is deficient 
with respect to the requirements in 
clause (i), (iii), or (iv), the head of the 
agency has the authority to require 
action to correct the deficiency accord-
ing to a schedule determined by the 
agency. 
‘‘(II) 
UNCORRECTED
DEFI-
CIENCIES.—If a deficiency is not cor-
rected according to the schedule, the 
head of the implementing agency has 
the authority to require that the 
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structure close in accordance with 
paragraph (5). 
‘‘(III) DAM
SAFETY
CONSULTA-
TION.—In the case of a structure that 
is a surface impoundment, the head of 
the implementing agency shall, in 
making a determination under sub-
clause (I), consult with appropriate 
State dam safety officials. 
‘‘(C) LOCATION.—The implementing agen-
cy shall require that structures that first receive 
coal combustion residuals on or after the date 
of enactment of this section shall be constructed 
with a base located a minimum of 2 feet above 
the upper limit of the water table, unless it is 
demonstrated to the satisfaction of the imple-
menting agency that— 
‘‘(i) the hydrogeologic characteristics 
of a structure and surrounding land would 
preclude such a requirement; and 
‘‘(ii) the function and integrity of the 
liner system will not be adversely impacted 
by contact with the water table. 
‘‘(D) WIND DISPERSAL.— 
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‘‘(i) IN GENERAL.—The implementing 
agency shall require that owners or opera-
tors of structures that receive coal combus-
tion residuals on or after the date of enact-
ment of this section address wind dispersal 
of dust by requiring cover, or by wetting 
coal combustion residuals with water to a 
moisture content that prevents wind dis-
persal, facilitates compaction, and does not 
result in free liquids. 
‘‘(ii) ALTERNATIVE METHODS.—Sub-
ject to the review and approval by the im-
plementing agency, owners or operators of 
structures that receive coal combustion re-
siduals on or after the date of enactment 
of this section may propose alternative 
methods to address wind dispersal of dust 
that will provide comparable or more effec-
tive control of dust. 
‘‘(E) PERMITS.—The implementing agency 
shall require that owners or operators of struc-
tures that receive coal combustion residuals on 
or after the date of enactment of this section 
apply for and obtain permits incorporating the 
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requirements of the coal combustion residuals 
permit program. 
‘‘(F) PUBLIC AVAILABILITY OF INFORMA-
TION.—Except for information with respect to 
which disclosure is prohibited under section 
1905 of title 18, United States Code, the imple-
menting agency shall ensure that— 
‘‘(i) documents for permit determina-
tions are made available for public review 
and comment under the public participa-
tion 
process 
described 
in 
subsection 
(b)(2)(B)(iii)(III) or in subsection (e)(6), 
as applicable; 
‘‘(ii) final determinations on permit 
applications are made known to the public; 
and 
‘‘(iii) groundwater monitoring data 
collected under paragraph (2) is publicly 
available. 
‘‘(G) AGENCY AUTHORITY.— 
‘‘(i) IN GENERAL.—The implementing 
agency has the authority to— 
‘‘(I) obtain information necessary 
to determine whether the owner or op-
erator of a structure is in compliance 
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with the requirements of this sub-
section; 
‘‘(II) conduct or require moni-
toring and testing to ensure that 
structures are in compliance with the 
requirements of this subsection; and 
‘‘(III) enter, at reasonable times, 
any site or premise subject to the coal 
combustion residuals permit program 
for the purpose of inspecting struc-
tures and reviewing records relevant 
to the design, operation, and mainte-
nance of structures. 
‘‘(ii) MONITORING AND TESTING.—If 
monitoring or testing is conducted under 
clause (i)(II) by or for the implementing 
agency, the implementing agency shall, if 
requested, provide to the owner or oper-
ator— 
‘‘(I) a written description of the 
monitoring or testing completed; 
‘‘(II) at the time of sampling, a 
portion of each sample equal in vol-
ume or weight to the portion retained 
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by or for the implementing agency; 
and 
‘‘(III) a copy of the results of 
any analysis of samples collected by or 
for the implementing agency. 
‘‘(2) REVISED CRITERIA.—The subset of the re-
vised criteria referred to in paragraph (1)(A)(i) are 
as follows: 
‘‘(A) DESIGN
REQUIREMENTS.—For new 
structures, and lateral expansions of existing 
structures, that first receive coal combustion re-
siduals on or after the date of enactment of this 
section, the revised criteria regarding design re-
quirements described in section 258.40 of title 
40, Code of Federal Regulations, except that 
the leachate collection system requirements de-
scribed in section 258.40(a)(2) of title 40, Code 
of Federal Regulations, do not apply to struc-
tures that are surface impoundments. 
‘‘(B) GROUNDWATER
MONITORING
AND 
CORRECTIVE ACTION.—For all structures that 
receive coal combustion residuals on or after the 
date of enactment of this section, the revised 
criteria regarding groundwater monitoring and 
corrective action requirements described in sub-
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part E of part 258 of title 40, Code of Federal 
Regulations, except that, for the purposes of 
this subparagraph, the revised criteria shall also 
include— 
‘‘(i) for the purposes of detection 
monitoring, the constituents boron, chlo-
ride, conductivity, fluoride, mercury, pH, 
sulfate, sulfide, and total dissolved solids; 
and 
‘‘(ii) for the purposes of assessment 
monitoring, establishing a groundwater 
protection standard, and assessment of 
corrective measures, the constituents alu-
minum, boron, chloride, fluoride, iron, 
manganese, molybdenum, pH, sulfate, and 
total dissolved solids. 
‘‘(C) CLOSURE.—For all structures that 
receive coal combustion residuals on or after the 
date of enactment of this section, in a manner 
consistent with paragraph (5), the revised cri-
teria for closure described in subsections (a) 
through (c) and (h) through (j) of section 
258.60 of title 40, Code of Federal Regulations. 
‘‘(D) POST-CLOSURE.—For all structures 
that receive coal combustion residuals on or 
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after the date of enactment of this section, the 
revised criteria for post-closure care described 
in section 258.61 of title 40, Code of Federal 
Regulations, except for the requirement de-
scribed in subsection (a)(4) of that section. 
‘‘(E) LOCATION
RESTRICTIONS.—The re-
vised criteria for location restrictions described 
in— 
‘‘(i) for new structures, and lateral ex-
pansions of existing structures, that first 
receive coal combustion residuals on or 
after the date of enactment of this section, 
sections 258.11 through 258.15 of title 40, 
Code of Federal Regulations; and 
‘‘(ii) for existing structures that re-
ceive coal combustion residuals on or after 
the date of enactment of this section, sec-
tions 258.11 and 258.15 of title 40, Code 
of Federal Regulations. 
‘‘(F) AIR
QUALITY.—For all structures 
that receive coal combustion residuals on or 
after the date of enactment of this section, the 
revised criteria for air quality described in sec-
tion 258.24 of title 40, Code of Federal Regula-
tions. 
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‘‘(G) FINANCIAL
ASSURANCE.—For all 
structures that receive coal combustion residu-
als on or after the date of enactment of this 
section, the revised criteria for financial assur-
ance described in subpart G of part 258 of title 
40, Code of Federal Regulations. 
‘‘(H) SURFACE WATER.—For all structures 
that receive coal combustion residuals on or 
after the date of enactment of this section, the 
revised criteria for surface water described in 
section 258.27 of title 40, Code of Federal Reg-
ulations. 
‘‘(I) RECORDKEEPING.—For all structures 
that receive coal combustion residuals on or 
after the date of enactment of this section, the 
revised criteria for recordkeeping described in 
section 258.29 of title 40, Code of Federal Reg-
ulations. 
‘‘(J) RUN-ON AND RUN-OFF CONTROL SYS-
TEMS FOR LAND-BASED UNITS.—For all land-
fills and other land-based units, other than sur-
face impoundments, that receive coal combus-
tion residuals on or after the date of enactment 
of this section, the revised criteria for run-on 
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and run-off control systems described in section 
258.26 of title 40, Code of Federal Regulations. 
‘‘(K) RUN-OFF
CONTROL
SYSTEMS
FOR 
SURFACE IMPOUNDMENTS.—For all surface im-
poundments that receive coal combustion re-
siduals on or after the date of enactment of this 
section, the revised criteria for run-off control 
systems described in section 258.26(a)(2) of 
title 40, Code of Federal Regulations. 
‘‘(3) PERMIT PROGRAM IMPLEMENTATION FOR 
EXISTING STRUCTURES.— 
‘‘(A) NOTIFICATION.—Not later than the 
date on which a State submits a certification 
under subsection (b)(2), not later than 30 
months after the Administrator receives notice 
under subsection (e)(1)(A), or not later than 36 
months after the date of enactment of this sec-
tion with respect to a coal combustion residuals 
permit program that is being implemented by 
the Administrator under subsection (e)(3), as 
applicable, the implementing agency shall notify 
owners or operators of structures that are re-
ceiving coal combustion residuals as of the date 
of enactment of this section within the State 
of— 
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‘‘(i) the obligation to apply for and 
obtain a permit under subparagraph (C); 
and 
‘‘(ii) the requirements referred to in 
subparagraph (B). 
‘‘(B) COMPLIANCE
WITH
CERTAIN
RE-
QUIREMENTS.—Not later than 12 months after 
the date on which a State submits a certifi-
cation under subsection (b)(2), not later than 
42 months after the Administrator receives no-
tice under subsection (e)(1)(A), or not later 
than 48 months after the date of enactment of 
this section with respect to a coal combustion 
residuals permit program that is being imple-
mented by the Administrator under subsection 
(e)(3), as applicable, the implementing agency 
shall require owners or operators of structures 
that are receiving coal combustion residuals as 
of the date of enactment of this section to com-
ply with— 
‘‘(i) the requirements under para-
graphs (1)(B) (ii) and (iii), (1)(D), (2)(B), 
(2)(F), (2)(H), (2)(J), and (2)(K); and 
‘‘(ii) the groundwater recordkeeping 
requirement 
described 
in 
section 
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258.29(a)(5) of title 40, Code of Federal 
Regulations. 
‘‘(C) PERMITS.— 
‘‘(i) PERMIT
DEADLINE.—Not later 
than 48 months after the date on which a 
State submits a certification under sub-
section (b)(2), not later than 78 months 
after the Administrator receives notice 
under subsection (e)(1)(A), or not later 
than 84 months after the date of enact-
ment of this section with respect to a coal 
combustion residuals permit program that 
is being implemented by the Administrator 
under subsection (e)(3), as applicable, the 
implementing agency shall issue, with re-
spect to a structure that is receiving coal 
combustion residuals as of the date of en-
actment of this section, a final permit in-
corporating the requirements of the coal 
combustion residuals permit program, or a 
final denial for an application submitted 
requesting such a permit. 
‘‘(ii) APPLICATION
DEADLINE.—The 
implementing agency shall identify, in col-
laboration with the owner or operator of a 
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structure described in clause (i), a reason-
able deadline by which the owner or oper-
ator shall submit a permit application 
under such clause. 
‘‘(D) INTERIM OPERATION.— 
‘‘(i) PRIOR TO DEADLINES.—With re-
spect to any period of time on or after the 
date of enactment of this section but prior 
to the applicable deadline in subparagraph 
(B), the owner or operator of a structure 
that is receiving coal combustion residuals 
as of the date of enactment of this section 
may continue to operate such structure 
until such applicable deadline under the 
applicable authority in effect. 
‘‘(ii) PRIOR TO PERMIT.—Unless the 
implementing agency determines that the 
structure should close pursuant to para-
graph (5), if the owner or operator of a 
structure that is receiving coal combustion 
residuals as of the date of enactment of 
this section meets the requirements re-
ferred to in subparagraph (B) by the appli-
cable deadline in such subparagraph, the 
owner or operator may operate the struc-
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ture until such time as the implementing 
agency issues, under subparagraph (C), a 
final permit incorporating the requirements 
of the coal combustion residuals permit 
program, or a final denial for an applica-
tion submitted requesting such a permit. 
‘‘(4) REQUIREMENTS FOR SURFACE IMPOUND-
MENTS THAT DO NOT MEET CERTAIN CRITERIA.— 
‘‘(A) SURFACE IMPOUNDMENTS THAT RE-
QUIRE ASSESSMENT OF CORRECTIVE MEASURES 
WITHIN 10 YEARS OF THE DATE OF ENACT-
MENT.— 
‘‘(i) IN GENERAL.—In addition to the 
groundwater monitoring and corrective ac-
tion requirements described in paragraph 
(2)(B), the implementing agency shall re-
quire a surface impoundment that receives 
coal combustion residuals on or after the 
date of enactment of this section to comply 
with the requirements in clause (ii) of this 
subparagraph and clauses (i) and (ii) of 
subparagraph (D) if the surface impound-
ment— 
‘‘(I) does not— 
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‘‘(aa) have a liner system 
described in section 258.40(b) of 
title 40, Code of Federal Regula-
tions; and 
‘‘(bb) meet the design cri-
teria 
described 
in 
section 
258.40(a)(1) of title 40, Code of 
Federal Regulations; and 
‘‘(II) within 10 years after the 
date of enactment of this section, is 
required under section 258.56(a) of 
title 40, Code of Federal Regulations, 
to undergo an assessment of correc-
tive measures for any constituent cov-
ered under subpart E of part 258 of 
title 40, Code of Federal Regulations, 
or otherwise identified in paragraph 
(2)(B)(ii) of this subsection, for which 
assessment groundwater monitoring is 
required. 
‘‘(ii) DEADLINE
TO
MEET
GROUND-
WATER
PROTECTION
STANDARD.—Except 
as provided in subparagraph (C), the im-
plementing agency shall require that the 
groundwater protection standard, for sur-
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face impoundments identified in clause (i) 
of this subparagraph, established by the 
implementing 
agency 
under 
section 
258.55(h) or 258.55(i) of title 40, Code of 
Federal Regulations, for any constituent 
for which corrective measures are required 
shall be met— 
‘‘(I) as soon as practicable at the 
relevant point of compliance, as de-
scribed in section 258.40(d) of title 
40, Code of Federal Regulations; and 
‘‘(II) not later than 10 years 
after the date of enactment of this 
section. 
‘‘(B) SURFACE
IMPOUNDMENTS
SUBJECT 
TO
A
STATE
CORRECTIVE
ACTION
REQUIRE-
MENT AS OF THE DATE OF ENACTMENT.— 
‘‘(i) IN GENERAL.—In addition to the 
groundwater monitoring and corrective ac-
tion requirements described in paragraph 
(2)(B), the implementing agency shall re-
quire a surface impoundment that receives 
coal combustion residuals on or after the 
date of enactment of this section to comply 
with the requirements in clause (ii) of this 
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subparagraph and clauses (i) and (ii) of 
subparagraph (D) if the surface impound-
ment— 
‘‘(I) does not— 
‘‘(aa) have a liner system 
described in section 258.40(b) of 
title 40, Code of Federal Regula-
tions; and 
‘‘(bb) meet the design cri-
teria 
described 
in 
section 
258.40(a)(1) of title 40, Code of 
Federal Regulations; and 
‘‘(II) as of the date of enactment 
of this section, is subject to a State 
corrective action requirement. 
‘‘(ii) DEADLINE
TO
MEET
GROUND-
WATER
PROTECTION
STANDARD.—Except 
as provided in subparagraph (C), the im-
plementing agency shall require that the 
groundwater protection standard, for sur-
face impoundments identified in clause (i) 
of this subparagraph, established by the 
implementing 
agency 
under 
section 
258.55(h) or 258.55(i) of title 40, Code of 
Federal Regulations, for any constituent 
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for which corrective measures are required 
shall be met— 
‘‘(I) as soon as practicable at the 
relevant point of compliance, as de-
scribed in section 258.40(d) of title 
40, Code of Federal Regulations; and 
‘‘(II) not later than 8 years after 
the date of enactment of this section. 
‘‘(C) EXTENSION OF DEADLINE.— 
‘‘(i) IN
GENERAL.—Except as pro-
vided in clause (ii) of this subparagraph, 
the deadline for meeting a groundwater 
protection standard under subparagraph 
(A)(ii) or (B)(ii) may be extended by the 
implementing agency, after opportunity for 
public notice and comment under the pub-
lic participation process described in sub-
section (b)(2)(B)(iii)(III), or in subsection 
(e)(6) based on— 
‘‘(I) the effectiveness of any in-
terim measures implemented by the 
owner or operator of the facility under 
section 258.58(a)(3) of title 40, Code 
of Federal Regulations; 
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‘‘(II) the level of progress dem-
onstrated in meeting the groundwater 
protection standard; 
‘‘(III) the potential for other ad-
verse human health or environmental 
exposures attributable to the contami-
nation from the surface impoundment 
undergoing corrective action; and 
‘‘(IV) the lack of available alter-
native management capacity for the 
coal combustion residuals and related 
materials managed in the impound-
ment at the facility at which the im-
poundment is located if the owner or 
operator has used best efforts, as nec-
essary, to design, obtain any nec-
essary permits, finance, construct, and 
render operational the alternative 
management capacity during the time 
period for meeting a groundwater pro-
tection 
standard 
in 
subparagraph 
(A)(ii) or (B)(ii). 
‘‘(ii) 
EXCEPTION.—The 
deadline 
under subparagraph (A)(ii) or (B)(ii) shall 
not be extended if there has been contami-
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nation of public or private drinking water 
systems attributable to a surface impound-
ment undergoing corrective action, unless 
the contamination has been addressed by 
providing a permanent replacement water 
system. 
‘‘(D) ADDITIONAL REQUIREMENTS.— 
‘‘(i) CLOSURE.—If the deadline under 
subparagraph (A)(ii), (B)(ii), or (C) is not 
satisfied, the surface impoundment shall 
cease receiving coal combustion residuals 
and initiate closure under paragraph (5). 
‘‘(ii) INTERIM MEASURES.— 
‘‘(I) IN
GENERAL.—Except as 
provided in subclause (II), not later 
than 90 days after the date on which 
the assessment of corrective measures 
is initiated, the owner or operator of 
a surface impoundment described in 
subparagraph (A) or (B) shall imple-
ment interim measures, as necessary, 
under 
the 
factors 
in 
section 
258.58(a)(3) of title 40, Code of Fed-
eral Regulations. 
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‘‘(II) IMPOUNDMENTS
SUBJECT 
TO
STATE
CORRECTIVE
ACTION
RE-
QUIREMENT AS OF THE DATE OF EN-
ACTMENT.—Subclause (I) shall only 
apply to surface impoundments sub-
ject to a State corrective action re-
quirement as of the date of enactment 
of this section if the owner or oper-
ator has not implemented interim 
measures, as necessary, under the fac-
tors in section 258.58(a)(3) of title 
40, Code of Federal Regulations. 
‘‘(E) SURFACE IMPOUNDMENTS THAT RE-
QUIRE ASSESSMENT OF CORRECTIVE MEASURES 
MORE THAN 10 YEARS AFTER DATE OF ENACT-
MENT.— 
‘‘(i) IN GENERAL.—In addition to the 
groundwater monitoring and corrective ac-
tion requirements described in paragraph 
(2)(B), the implementing agency shall re-
quire a surface impoundment that receives 
coal combustion residuals on or after the 
date of enactment of this section to comply 
with the requirements in clause (ii) if the 
surface impoundment— 
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‘‘(I) does not— 
‘‘(aa) have a liner system 
described in section 258.40(b) of 
title 40, Code of Federal Regula-
tions; and 
‘‘(bb) meet the design cri-
teria 
described 
in 
section 
258.40(a)(1) of title 40, Code of 
Federal Regulations; and 
‘‘(II) more than 10 years after 
the date of enactment of this section, 
is required under section 258.56(a) 
title 40, Code of Federal Regulations, 
to undergo an assessment of correc-
tive measures for any constituent cov-
ered under subpart E of part 258 of 
title 40, Code of Federal Regulations, 
or otherwise identified in paragraph 
(2)(B)(ii) of this subsection, for which 
assessment groundwater monitoring is 
required. 
‘‘(ii) REQUIREMENTS.— 
‘‘(I) CLOSURE.—The surface im-
poundments identified in clause (i) 
shall cease receiving coal combustion 
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100 
residuals and initiate closure in ac-
cordance with paragraph (5) after al-
ternative management capacity at the 
facility is available for the coal com-
bustion residuals and related mate-
rials managed in the impoundment. 
‘‘(II) BEST
EFFORTS.—The al-
ternative management capacity shall 
be developed as soon as practicable 
with the owner or operator using best 
efforts to design, obtain necessary 
permits for, finance, construct, and 
render operational the alternative 
management capacity. 
‘‘(III) ALTERNATIVE
CAPACITY 
MANAGEMENT
PLAN.—The owner or 
operator shall, in collaboration with 
the implementing agency, prepare a 
written plan that describes the steps 
necessary to develop the alternative 
management capacity and includes a 
schedule for completion. 
‘‘(IV) PUBLIC PARTICIPATION.— 
The plan described in subclause (III) 
shall be subject to public notice and 
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101 
comment under the public participa-
tion process described in subsection 
(b)(2)(B)(iii)(III) or in subsection 
(e)(6), as applicable. 
‘‘(5) CLOSURE.— 
‘‘(A) IN GENERAL.—If it is determined by 
the implementing agency that a structure 
should close because the requirements of a coal 
combustion residuals permit program are not 
being satisfied with respect to such structure, 
or if it is determined by the owner or operator 
that a structure should close, the time period 
and method for the closure of such structure 
shall be set forth in a closure plan that estab-
lishes a deadline for completion of closure as 
soon as practicable and that takes into account 
the nature and the site-specific characteristics 
of the structure to be closed. 
‘‘(B) SURFACE
IMPOUNDMENT.—In the 
case of a surface impoundment, the closure plan 
under subparagraph (A) shall require, at a min-
imum, the removal of liquid and the stabiliza-
tion of remaining waste, as necessary to sup-
port the final cover. 
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102 
‘‘(d) FEDERAL REVIEW
OF STATE PERMIT PRO-
GRAMS.— 
‘‘(1) IN
GENERAL.—The Administrator shall 
provide to a State written notice and an opportunity 
to remedy deficiencies in accordance with paragraph 
(3) if at any time the State— 
‘‘(A) does not satisfy the notification re-
quirement under subsection (b)(1); 
‘‘(B) has not submitted a certification re-
quired under subsection (b)(2); 
‘‘(C) does not satisfy the maintenance re-
quirement under subsection (b)(3); 
‘‘(D) is not implementing a coal combus-
tion residuals permit program, with respect to 
which the State has submitted a certification 
under subsection (b)(2), that meets the require-
ments described in subsection (c); 
‘‘(E) is not implementing a coal combus-
tion residuals permit program, with respect to 
which the State has submitted a certification 
under subsection (b)(2)— 
‘‘(i) that is consistent with such cer-
tification; and 
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103 
‘‘(ii) for which the State continues to 
have in effect statutes or regulations nec-
essary to implement such program; or 
‘‘(F) does not make available to the Ad-
ministrator, within 90 days of a written re-
quest, specific information necessary for the 
Administrator to ascertain whether the State 
has satisfied the requirements described in sub-
paragraphs (A) through (E). 
‘‘(2) REQUEST.—If a request described in para-
graph (1)(F) is proposed pursuant to a petition to 
the Administrator, the Administrator shall only 
make the request if the Administrator does not pos-
sess the information necessary to ascertain whether 
the State has satisfied the requirements described in 
subparagraphs (A) through (E) of such paragraph. 
‘‘(3) CONTENTS OF NOTICE; DEADLINE FOR RE-
SPONSE.—A notice provided under paragraph (1) 
shall— 
‘‘(A) include findings of the Administrator 
detailing any applicable deficiencies described in 
subparagraphs (A) through (F) of paragraph 
(1); and 
‘‘(B) identify, in collaboration with the 
State, a reasonable deadline by which the State 
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104 
shall remedy such applicable deficiencies, which 
shall be— 
‘‘(i) in the case of a deficiency de-
scribed in subparagraphs (A) through (E) 
of paragraph (1), not earlier than 180 
days after the date on which the State re-
ceives the notice; and 
‘‘(ii) in the case of a deficiency de-
scribed in paragraph (1)(F), not later than 
90 days after the date on which the State 
receives the notice. 
‘‘(4) CRITERIA FOR DETERMINING DEFICIENCY 
OF STATE PERMIT PROGRAM.—In making a deter-
mination whether a State has failed to satisfy the re-
quirements described in subparagraphs (A) through 
(E) of paragraph (1), or a determination under sub-
section (e)(1)(B), the Administrator shall consider, 
as appropriate— 
‘‘(A) whether the State’s statutes or regu-
lations to implement a coal combustion residu-
als permit program are not sufficient to meet 
the requirements described in subsection (c) be-
cause of— 
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105 
‘‘(i) failure of the State to promulgate 
or enact new statutes or regulations when 
necessary; or 
‘‘(ii) action by a State legislature or 
court striking down or limiting such State 
statutes or regulations; 
‘‘(B) whether the operation of the State 
coal combustion residuals permit program fails 
to comply with the requirements of subsection 
(c) because of— 
‘‘(i) failure of the State to issue per-
mits as required in subsection (c)(1)(E); 
‘‘(ii) repeated issuance of permits by 
the State which do not meet the require-
ments of subsection (c); 
‘‘(iii) failure of the State to comply 
with the public participation requirements 
of this section; or 
‘‘(iv) failure of the State to implement 
corrective action requirements as described 
in subsection (c)(2)(B); and 
‘‘(C) whether the enforcement of a State 
coal combustion residuals permit program fails 
to comply with the requirements of this section 
because of— 
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106 
‘‘(i) failure to act on violations of per-
mits, as identified by the State; or 
‘‘(ii) repeated failure by the State to 
inspect or otherwise determine compliance 
pursuant to the process identified in sub-
section (b)(2)(B)(iii)(I). 
‘‘(e) IMPLEMENTATION BY ADMINISTRATOR.— 
‘‘(1) FEDERAL
BACKSTOP
AUTHORITY.—The 
Administrator shall implement a coal combustion re-
siduals permit program for a State only if— 
‘‘(A) the Governor of the State notifies the 
Administrator under subsection (b)(1) that the 
State will not adopt and implement a permit 
program; 
‘‘(B) the State has received a notice under 
subsection (d) and the Administrator deter-
mines, after providing a 30-day period for no-
tice and public comment, that the State has 
failed, by the deadline identified in the notice 
under subsection (d)(3)(B), to remedy the defi-
ciencies detailed in the notice under subsection 
(d)(3)(A); or 
‘‘(C) the State informs the Administrator, 
in writing, that such State will no longer imple-
ment such a permit program. 
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107 
‘‘(2) REVIEW.—A State may obtain a review of 
a determination by the Administrator under this 
subsection as if the determination was a final regu-
lation for purposes of section 7006. 
‘‘(3) OTHER
STRUCTURES.—For structures 
that receive coal combustion residuals on or after 
the date of enactment of this section located on 
property within the exterior boundaries of a State 
that the State does not have authority or jurisdiction 
to regulate, the Administrator shall implement a coal 
combustion residuals permit program only for those 
structures. 
‘‘(4) REQUIREMENTS.—If the Administrator 
implements a coal combustion residuals permit pro-
gram for a State under paragraph (1) or (3), the 
permit program shall consist of the requirements de-
scribed in subsection (c). 
‘‘(5) ENFORCEMENT.— 
‘‘(A) IN GENERAL.—If the Administrator 
implements a coal combustion residuals permit 
program for a State under paragraph (1)— 
‘‘(i) the authorities referred to in sec-
tion 4005(c)(2)(A) shall apply with respect 
to coal combustion residuals and structures 
for which the Administrator is imple-
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108 
menting the coal combustion residuals per-
mit program; and 
‘‘(ii) the Administrator may use those 
authorities to inspect, gather information, 
and enforce the requirements of this sec-
tion in the State. 
‘‘(B) OTHER STRUCTURES.—If the Admin-
istrator implements a coal combustion residuals 
permit program under paragraph (3)— 
‘‘(i) the authorities referred to in sec-
tion 4005(c)(2)(A) shall apply with respect 
to coal combustion residuals and structures 
for which the Administrator is imple-
menting the coal combustion residuals per-
mit program; and 
‘‘(ii) the Administrator may use those 
authorities to inspect, gather information, 
and enforce the requirements of this sec-
tion for the structures for which the Ad-
ministrator is implementing the coal com-
bustion residuals permit program. 
‘‘(6) PUBLIC PARTICIPATION PROCESS.—If the 
Administrator implements a coal combustion residu-
als permit program for a State under this sub-
section, the Administrator shall provide a 30-day pe-
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109 
riod for the public participation process required in 
paragraphs (1)(F)(i), (4)(C)(i), and (4)(E)(ii)(IV) of 
subsection (c). 
‘‘(f) STATE CONTROL AFTER IMPLEMENTATION BY 
ADMINISTRATOR.— 
‘‘(1) STATE CONTROL.— 
‘‘(A) NEW ADOPTION, OR RESUMPTION OF, 
AND IMPLEMENTATION BY STATE.—For a State 
for which the Administrator is implementing a 
coal combustion residuals permit program 
under 
subsection 
(e)(1)(A), 
or 
subsection 
(e)(1)(C), the State may adopt and implement 
such a permit program by— 
‘‘(i) notifying the Administrator that 
the State will adopt and implement such a 
permit program; 
‘‘(ii) not later than 6 months after the 
date of such notification, submitting to the 
Administrator a certification under sub-
section (b)(2); and 
‘‘(iii) receiving from the Adminis-
trator— 
‘‘(I) a determination, after pro-
viding a 30-day period for notice and 
public comment, that the State coal 
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110 
combustion residuals permit program 
meets the requirements described in 
subsection (c); and 
‘‘(II) a timeline for transition of 
control of the coal combustion residu-
als permit program. 
‘‘(B) REMEDYING DEFICIENT PERMIT PRO-
GRAM.—For a State for which the Adminis-
trator is implementing a coal combustion re-
siduals 
permit 
program 
under 
subsection 
(e)(1)(B), the State may adopt and implement 
such a permit program by— 
‘‘(i) remedying only the deficiencies 
detailed in the notice pursuant to sub-
section (d)(3)(A); and 
‘‘(ii) receiving from the Adminis-
trator— 
‘‘(I) a determination, after pro-
viding a 30-day period for notice and 
public comment, that the deficiencies 
detailed in such notice have been rem-
edied; and 
‘‘(II) a timeline for transition of 
control of the coal combustion residu-
als permit program. 
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111 
‘‘(2) REVIEW OF DETERMINATION.— 
‘‘(A) DETERMINATION
REQUIRED.—The 
Administrator shall make a determination 
under paragraph (1) not later than 90 days 
after the date on which the State submits a cer-
tification under paragraph (1)(A)(ii), or notifies 
the Administrator that the deficiencies have 
been remedied pursuant to paragraph (1)(B)(i), 
as applicable. 
‘‘(B) REVIEW.—A State may obtain a re-
view of a determination by the Administrator 
under paragraph (1) as if such determination 
was a final regulation for purposes of section 
7006. 
‘‘(3) IMPLEMENTATION DURING TRANSITION.— 
‘‘(A) EFFECT ON ACTIONS AND ORDERS.— 
Program requirements of, and actions taken or 
orders issued pursuant to, a coal combustion re-
siduals permit program shall remain in effect 
if— 
‘‘(i) a State takes control of its coal 
combustion residuals permit program from 
the Administrator under paragraph (1); or 
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112 
‘‘(ii) the Administrator takes control 
of a coal combustion residuals permit pro-
gram from a State under subsection (e). 
‘‘(B) CHANGE
IN
REQUIREMENTS.—Sub-
paragraph (A) shall apply to such program re-
quirements, actions, and orders until such time 
as— 
‘‘(i) the implementing agency changes 
the requirements of the coal combustion 
residuals permit program with respect to 
the basis for the action or order; or 
‘‘(ii) the State or the Administrator, 
whichever took the action or issued the 
order, certifies the completion of a correc-
tive action that is the subject of the action 
or order. 
‘‘(4) SINGLE
PERMIT
PROGRAM.—If a State 
adopts and implements a coal combustion residuals 
permit program under this subsection, the Adminis-
trator shall cease to implement the permit program 
implemented under subsection (e)(1) for such State. 
‘‘(g) EFFECT ON DETERMINATION UNDER 4005(c) 
OR 3006.—The Administrator shall not consider the im-
plementation of a coal combustion residuals permit pro-
gram by the Administrator under subsection (e) in making 
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113 
a determination of approval for a permit program or other 
system of prior approval and conditions under section 
4005(c) or of authorization for a program under section 
3006. 
‘‘(h) AUTHORITY.— 
‘‘(1) STATE AUTHORITY.—Nothing in this sec-
tion shall preclude or deny any right of any State to 
adopt or enforce any regulation or requirement re-
specting coal combustion residuals that is more 
stringent or broader in scope than a regulation or 
requirement under this section. 
‘‘(2) AUTHORITY OF THE ADMINISTRATOR.— 
‘‘(A) IN GENERAL.—Except as provided in 
subsections (d) and (e) and section 6005, the 
Administrator shall, with respect to the regula-
tion of coal combustion residuals, defer to the 
States pursuant to this section. 
‘‘(B) IMMINENT HAZARD.—Nothing in this 
section shall be construed as affecting the au-
thority of the Administrator under section 7003 
with respect to coal combustion residuals. 
‘‘(C) ENFORCEMENT
ASSISTANCE
ONLY 
UPON REQUEST.—Upon request from the head 
of a lead State agency that is implementing a 
coal combustion residuals permit program, the 
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114 
Administrator may provide to such State agen-
cy only the enforcement assistance requested. 
‘‘(D) CONCURRENT
ENFORCEMENT.—Ex-
cept as provided in subparagraph (C), the Ad-
ministrator shall not have concurrent enforce-
ment authority when a State is implementing a 
coal combustion residuals permit program, in-
cluding during any period of interim operation 
described in subsection (c)(3)(D). 
‘‘(E) OTHER AUTHORITY.—The Adminis-
trator shall not have authority to finalize the 
proposed rule published at pages 35128 
through 35264 of volume 75 of the Federal 
Register (June 21, 2010). 
‘‘(F) OTHER
RESPONSE
AUTHORITY.— 
Nothing in this section shall be construed as af-
fecting the authority of the Administrator 
under the Comprehensive Environmental Re-
sponse, Compensation, and Liability Act of 
1980 (42 U.S.C. 9601 et seq.) with respect to 
coal combustion residuals. 
‘‘(3) CITIZEN SUITS.—Nothing in this section 
shall be construed to affect the authority of a person 
to commence a civil action in accordance with sec-
tion 7002. 
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115 
‘‘(i) MINE RECLAMATION ACTIVITIES.—A coal com-
bustion residuals permit program implemented by the Ad-
ministrator under subsection (e) shall not apply to the uti-
lization, placement, and storage of coal combustion residu-
als at surface mining and reclamation operations. 
‘‘(j) DEFINITIONS.—In this section: 
‘‘(1) 
COAL
COMBUSTION
RESIDUALS.—The 
term ‘coal combustion residuals’ means— 
‘‘(A) the solid wastes listed in section 
3001(b)(3)(A)(i), including recoverable mate-
rials from such wastes; 
‘‘(B) coal combustion wastes that are co- 
managed with wastes produced in conjunction 
with the combustion of coal, provided that such 
wastes are not segregated and disposed of sepa-
rately from the coal combustion wastes and 
comprise a relatively small proportion of the 
total wastes being disposed in the structure; 
‘‘(C) fluidized bed combustion wastes; 
‘‘(D) wastes from the co-burning of coal 
with non-hazardous secondary materials, pro-
vided that coal makes up at least 50 percent of 
the total fuel burned; and 
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116 
‘‘(E) wastes from the co-burning of coal 
with materials described in subparagraph (A) 
that are recovered from monofills. 
‘‘(2) COAL
COMBUSTION
RESIDUALS
PERMIT 
PROGRAM.—The term ‘coal combustion residuals 
permit program’ means all of the authorities, activi-
ties, and procedures that comprise the system of 
prior approval and conditions implemented by or for 
a State to regulate the management and disposal of 
coal combustion residuals. 
‘‘(3) CODE OF FEDERAL REGULATIONS.—The 
term ‘Code of Federal Regulations’ means the Code 
of Federal Regulations (as in effect on the date of 
enactment of this section) or any successor regula-
tions. 
‘‘(4) IMPLEMENTING AGENCY.—The term ‘im-
plementing agency’ means the agency responsible for 
implementing a coal combustion residuals permit 
program for a State, which shall either be the lead 
State implementing agency identified under sub-
section (b)(2)(B)(i) or the Administrator pursuant 
to subsection (e). 
‘‘(5) PERMIT; PRIOR
APPROVAL
AND
CONDI-
TIONS.—Except as provided in subsections (b)(3) 
and (g), the terms ‘permit’ and ‘prior approval and 
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117 
conditions’ mean any authorization, license, or equiv-
alent control document that incorporates the re-
quirements of subsection (c). 
‘‘(6) REVISED
CRITERIA.—The term ‘revised 
criteria’ means the criteria promulgated for munic-
ipal solid waste landfill units under section 4004(a) 
and under section 1008(a)(3), as revised under sec-
tion 4010(c). 
‘‘(7) STRUCTURE.— 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraph (B), the term ‘structure’ means a 
landfill, surface impoundment, or other land- 
based unit which receives, or is intended to re-
ceive, coal combustion residuals. 
‘‘(B) DE
MINIMIS
RECEIPT.—The term 
‘structure’ does not include any land-based unit 
that receives only de minimis quantities of coal 
combustion residuals if the presence of coal 
combustion residuals is incidental to the mate-
rial managed in the unit.’’. 
(b) CONFORMING AMENDMENT.—The table of con-
tents contained in section 1001 of the Solid Waste Dis-
posal Act is amended by inserting after the item relating 
to section 4010 the following: 
‘‘Sec. 4011. Management and disposal of coal combustion residuals.’’. 
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118 
SEC. 2402. 2000 REGULATORY DETERMINATION. 
Nothing in this subtitle, or the amendments made by 
this subtitle, shall be construed to alter in any manner 
the Environmental Protection Agency’s regulatory deter-
mination entitled ‘‘Notice of Regulatory Determination on 
Wastes From the Combustion of Fossil Fuels’’, published 
at 65 Fed. Reg. 32214 (May 22, 2000), that the fossil 
fuel combustion wastes addressed in that determination 
do not warrant regulation under subtitle C of the Solid 
Waste Disposal Act (42 U.S.C. 6921 et seq.). 
SEC. 2403. TECHNICAL ASSISTANCE. 
Nothing in this subtitle, or the amendments made by 
this subtitle, shall be construed to affect the authority of 
a State to request, or the Administrator of the Environ-
mental Protection Agency to provide, technical assistance 
under the Solid Waste Disposal Act (42 U.S.C. 6901 et 
seq.). 
SEC. 2404. FEDERAL POWER ACT. 
Nothing in this subtitle, or the amendments made by 
this subtitle, shall be construed to affect the obligations 
of an owner or operator of a structure (as defined in sec-
tion 4011 of the Solid Waste Disposal Act, as added by 
this subtitle) under section 215(b)(1) of the Federal 
Power Act (16 U.S.C. 824o(b)(1)). 
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119 
TITLE III—REDUCING 
FRIVOLOUS LEGAL COSTS 
Subtitle A—Lawsuit Abuse 
Reduction Act 
SEC. 3101. ATTORNEY ACCOUNTABILITY. 
(a) SANCTIONS UNDER RULE 11.—Rule 11(c) of the 
Federal Rules of Civil Procedure is amended— 
(1) in paragraph (1), by striking ‘‘may’’ and in-
serting ‘‘shall’’; 
(2) in paragraph (2), by striking ‘‘Rule 5’’ and 
all that follows through ‘‘motion.’’ and inserting 
‘‘Rule 5.’’; and 
(3) in paragraph (4), by striking ‘‘situated’’ 
and all that follows through the end of the para-
graph and inserting ‘‘situated, and to compensate 
the parties that were injured by such conduct. Sub-
ject to the limitations in paragraph (5), the sanction 
shall consist of an order to pay to the party or par-
ties the amount of the reasonable expenses incurred 
as a direct result of the violation, including reason-
able attorneys’ fees and costs. The court may also 
impose additional appropriate sanctions, such as 
striking the pleadings, dismissing the suit, or other 
directives of a nonmonetary nature, or, if warranted 
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120 
for effective deterrence, an order directing payment 
of a penalty into the court.’’. 
(b) RULE OF CONSTRUCTION.—Nothing in this sub-
title or an amendment made by this subtitle shall be con-
strued to bar or impede the assertion or development of 
new claims, defenses, or remedies under Federal, State, 
or local laws, including civil rights laws, or under the Con-
stitution of the United States. 
Subtitle B—Furthering Asbestos 
Claim Transparency in Bankruptcy 
SEC. 3201. AMENDMENTS. 
Section 524(g) of title 11, United States Code, is 
amended by adding at the end the following: 
‘‘(8) A trust described in paragraph (2) shall, subject 
to section 107— 
‘‘(A) file with the bankruptcy court, not later 
than 60 days after the end of every quarter, a report 
that shall be made available on the court’s public 
docket and with respect to such quarter— 
‘‘(i) describes each demand the trust re-
ceived from, including the name and exposure 
history of, a claimant and the basis for any 
payment from the trust made to such claimant; 
and 
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121 
‘‘(ii) does not include any confidential med-
ical record or the claimant’s full social security 
number; and 
‘‘(B) upon written request, and subject to pay-
ment (demanded at the option of the trust) for any 
reasonable cost incurred by the trust to comply with 
such request, provide in a timely manner any infor-
mation related to payment from, and demands for 
payment from, such trust, subject to appropriate 
protective orders, to any party to any action in law 
or equity if the subject of such action concerns li-
ability for asbestos exposure.’’. 
SEC. 3202. EFFECTIVE DATE; APPLICATION OF AMEND-
MENTS. 
(a) EFFECTIVE DATE.—Except as provided in sub-
section (b), this subtitle and the amendments made by this 
subtitle shall take effect on the date of the enactment of 
this subtitle. 
(b) APPLICATION OF AMENDMENTS.—The amend-
ments made by this subtitle shall apply with respect to 
cases commenced under title 11 of the United States Code 
before, on, or after the date of the enactment of this sub-
title. 
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122 
Subtitle C—Innovation Act 
SEC. 3301. DEFINITIONS. 
In this subtitle: 
(1) DIRECTOR.—The term ‘‘Director’’ means 
the Under Secretary of Commerce for Intellectual 
Property and Director of the United States Patent 
and Trademark Office. 
(2) OFFICE.—The term ‘‘Office’’ means the 
United States Patent and Trademark Office. 
SEC. 3302. PATENT INFRINGEMENT ACTIONS. 
(a) PLEADING REQUIREMENTS.— 
(1) AMENDMENT.—Chapter 29 of title 35, 
United States Code, is amended by inserting after 
section 281 the following: 
‘‘§ 281A. Pleading requirements for patent infringe-
ment actions 
‘‘(a) PLEADING REQUIREMENTS.—Except as pro-
vided in subsection (b), in a civil action in which a party 
asserts a claim for relief arising under any Act of Con-
gress relating to patents, a party alleging infringement 
shall include in the initial complaint, counterclaim, or 
cross-claim for patent infringement, unless the informa-
tion is not reasonably accessible to such party, the fol-
lowing: 
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123 
‘‘(1) An identification of each patent allegedly 
infringed. 
‘‘(2) An identification of each claim of each pat-
ent identified under paragraph (1) that is allegedly 
infringed. 
‘‘(3) For each claim identified under paragraph 
(2), an identification of each accused process, ma-
chine, manufacture, or composition of matter (re-
ferred to in this section as an ‘accused instrumen-
tality’) alleged to infringe the claim. 
‘‘(4) For each accused instrumentality identi-
fied under paragraph (3), an identification with par-
ticularity, if known, of— 
‘‘(A) the name or model number of each 
accused instrumentality; or 
‘‘(B) if there is no name or model number, 
a description of each accused instrumentality. 
‘‘(5) For each accused instrumentality identi-
fied under paragraph (3), a clear and concise state-
ment of— 
‘‘(A) where each element of each claim 
identified under paragraph (2) is found within 
the accused instrumentality; and 
‘‘(B) with detailed specificity, how each 
limitation of each claim identified under para-
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124 
graph (2) is met by the accused instrumen-
tality. 
‘‘(6) For each claim of indirect infringement, a 
description of the acts of the alleged indirect in-
fringer that contribute to or are inducing the direct 
infringement. 
‘‘(7) A description of the authority of the party 
alleging infringement to assert each patent identified 
under paragraph (1) and of the grounds for the 
court’s jurisdiction. 
‘‘(8) A clear and concise description of the prin-
cipal business, if any, of the party alleging infringe-
ment. 
‘‘(9) A list of each complaint filed, of which the 
party alleging infringement has knowledge, that as-
serts or asserted any of the patents identified under 
paragraph (1). 
‘‘(10) For each patent identified under para-
graph (1), whether a standard-setting body has spe-
cifically declared such patent to be essential, poten-
tially essential, or having potential to become essen-
tial to that standard-setting body, and whether the 
United States Government or a foreign government 
has imposed specific licensing requirements with re-
spect to such patent. 
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125 
‘‘(b) INFORMATION NOT READILY ACCESSIBLE.—If 
information required to be disclosed under subsection (a) 
is not readily accessible to a party, that information may 
instead be generally described, along with an explanation 
of why such undisclosed information was not readily acces-
sible, and of any efforts made by such party to access such 
information. 
‘‘(c) CONFIDENTIAL INFORMATION.—A party re-
quired to disclose information described under subsection 
(a) may file, under seal, information believed to be con-
fidential, with a motion setting forth good cause for such 
sealing. If such motion is denied by the court, the party 
may seek to file an amended complaint. 
‘‘(d) EXEMPTION.—A civil action that includes a 
claim for relief arising under section 271(e)(2) shall not 
be subject to the requirements of subsection (a).’’. 
(2) CONFORMING AMENDMENT.—The table of 
sections for chapter 29 of title 35, United States 
Code, is amended by inserting after the item relating 
to section 281 the following new item: 
‘‘281A. Pleading requirements for patent infringement actions.’’. 
(b) FEES AND OTHER EXPENSES.— 
(1) AMENDMENT.—Section 285 of title 35, 
United States Code, is amended to read as follows: 
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126 
‘‘§ 285. Fees and other expenses 
‘‘(a) AWARD.—The court shall award, to a prevailing 
party, reasonable fees and other expenses incurred by that 
party in connection with a civil action in which any party 
asserts a claim for relief arising under any Act of Con-
gress relating to patents, unless the court finds that the 
position and conduct of the nonprevailing party or parties 
were reasonably justified in law and fact or that special 
circumstances (such as severe economic hardship to a 
named inventor) make an award unjust. 
‘‘(b) CERTIFICATION AND RECOVERY.—Upon motion 
of any party to the action, the court shall require another 
party to the action to certify whether or not the other 
party will be able to pay an award of fees and other ex-
penses if such an award is made under subsection (a). If 
a nonprevailing party is unable to pay an award that is 
made against it under subsection (a), the court may make 
a party that has been joined under section 299(d) with 
respect to such party liable for the unsatisfied portion of 
the award. 
‘‘(c) COVENANT NOT TO SUE.—A party to a civil ac-
tion that asserts a claim for relief arising under any Act 
of Congress relating to patents against another party, and 
that subsequently unilaterally extends to such other party 
a covenant not to sue for infringement with respect to the 
patent or patents at issue, shall be deemed to be a nonpre-
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133 
arising under any Act of Congress relating to pat-
ents will necessarily affect the rights of a party with 
respect to the patent, the court shall permit dis-
covery, in addition to the discovery authorized under 
subsection (a), before the ruling described in sub-
section (a) is issued as necessary to ensure timely 
resolution of the action. 
‘‘(2) RESOLUTION
OF
MOTIONS.—When nec-
essary to resolve a motion properly raised by a party 
before a ruling relating to the construction of terms 
described in subsection (a) is issued, the court may 
allow limited discovery in addition to the discovery 
authorized under subsection (a) as necessary to re-
solve the motion. 
‘‘(3) SPECIAL CIRCUMSTANCES.—In special cir-
cumstances that would make denial of discovery a 
manifest injustice, the court may permit discovery, 
in addition to the discovery authorized under sub-
section (a), as necessary to prevent the manifest in-
justice. 
‘‘(4) ACTIONS SEEKING RELIEF BASED ON COM-
PETITIVE HARM.—The limitation on discovery pro-
vided under subsection (a) shall not apply to an ac-
tion seeking a preliminary injunction to redress 
harm arising from the use, sale, or offer for sale of 
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