(2) USE OF FUNDS.—Section 544(9) of the En-
ergy Independence and Security Act of 2007 (42 
U.S.C. 17154(9)) is amended to read as follows: 
‘‘(9) deployment of energy distribution tech-
nologies that significantly increase energy efficiency 
or expand access to alternative fuels, including— 
‘‘(A) distributed resources; 
‘‘(B) district heating and cooling systems; 
and 
‘‘(C) infrastructure for delivering alter-
native fuels;’’. 
(3) COMPETITIVE GRANTS.—Section 546(c)(2) 
of the Energy Independence and Security Act of 
2007 (42 U.S.C. 17156(c)(2)) is amended by insert-
ing ‘‘, including projects to expand the use of alter-
native fuels’’ before the period at the end. 
(4) FUNDING.—Section 548(a) of the Energy 
Independence and Security Act of 2007 (42 U.S.C. 
17158(a)) is amended to read as follows: 
‘‘(a) AUTHORIZATION OF APPROPRIATIONS.— 
‘‘(1) GRANTS.—There is authorized to be ap-
propriated to the Secretary for the provision of 
grants under the program $3,500,000,000 for each 
of fiscal years 2022 through 2026. 
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‘‘(2) ADMINISTRATIVE
COSTS.—There is au-
thorized to be appropriated to the Secretary for ad-
ministrative expenses of the program $35,000,000 
for each of fiscal years 2022 through 2026.’’. 
(5) TECHNICAL AMENDMENTS.—Section 543 of 
the Energy Independence and Security Act of 2007 
(42 U.S.C. 17153) is amended— 
(A) in subsection (c), by striking ‘‘sub-
section 
(a)(2)’’ 
and 
inserting 
‘‘subsection 
(a)(3)’’; and 
(B) in subsection (d), by striking ‘‘sub-
section 
(a)(3)’’ 
and 
inserting 
‘‘subsection 
(a)(4)’’. 
(c) SMART FEDERAL BUILDING PROGRAM.— 
(1) DEFINITIONS.—In this subsection: 
(A) SECRETARY.—The term ‘‘Secretary’’ 
means the Secretary of Energy. 
(B) SMART BUILDING.—The term ‘‘smart 
building’’ means a building, or collection of 
buildings, with an energy system that— 
(i) is flexible and automated; 
(ii) has extensive operational moni-
toring and communication connectivity, al-
lowing remote monitoring and analysis of 
all building functions; 
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(iii) takes a systems-based approach 
in integrating the overall building oper-
ations for control of energy generation, 
consumption, and storage; 
(iv) communicates with utilities and 
other third-party commercial entities, if 
appropriate; 
(v) protects the health and safety of 
occupants and workers; and 
(vi) is cybersecure. 
(2) ESTABLISHMENT.—Not later than 1 year 
after the date of enactment of this Act, the Sec-
retary shall, in consultation with the Administrator 
of General Services, establish a program, to be 
known as the Federal Smart Building Program— 
(A) to implement smart building tech-
nology; and 
(B) to demonstrate the costs and benefits 
of smart buildings. 
(3) SELECTION.— 
(A) IN GENERAL.—The Secretary shall co-
ordinate the selection of not fewer than 1 build-
ing from among each of several key Federal 
agencies, as described in paragraph (5), to com-
pose an appropriately diverse set of smart 
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buildings based on size, type, and geographic lo-
cation. 
(B) INCLUSION OF COMMERCIALLY OPER-
ATED BUILDINGS.—In making selections under 
subparagraph (A), the Secretary may include 
buildings that are owned by the Federal Gov-
ernment but are commercially operated. 
(4) TARGETS.—Not later than 18 months after 
the date of enactment of this Act, the Secretary 
shall establish targets for the number of smart 
buildings to be commissioned and evaluated by key 
Federal agencies described in paragraph (5) by 3 
years and 6 years after the date of enactment of this 
Act. 
(5) FEDERAL
AGENCY
DESCRIBED.—The key 
Federal agencies described in this subsection shall 
include buildings operated by— 
(A) the Department of the Army; 
(B) the Department of the Navy; 
(C) the Department of the Air Force; 
(D) the Department of Energy; 
(E) the Department of the Interior; 
(F) the Department of Veterans Affairs; 
and 
(G) the General Services Administration. 
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(6) REQUIREMENT.—In implementing the pro-
gram established under paragraph (2), the Secretary 
shall leverage existing financing mechanisms includ-
ing energy savings performance contracts, utility en-
ergy service contracts, and annual appropriations. 
(7) EVALUATION.—Using the guidelines of the 
Federal Energy Management Program relating to 
whole-building 
evaluation, 
measurement, 
and 
verification, the Secretary shall evaluate the costs 
and benefits of the buildings selected under para-
graph (3), including an identification of— 
(A) 
which 
advanced 
building 
tech-
nologies— 
(i) are most cost-effective; and 
(ii) show the most promise for— 
(I) increasing energy savings; 
(II) increasing service perform-
ance to building occupants; 
(III) reducing environmental im-
pacts; and 
(IV) establishing cybersecurity; 
and 
(B) any other information the Secretary 
determines to be appropriate. 
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(8) AWARDS.—The Secretary may expand 
awards made under the Federal Energy Manage-
ment Program and the Better Building Challenge to 
recognize specific agency achievements in accel-
erating the adoption of smart building technologies. 
Subtitle C—Zero-Emission 
Electricity Generation Technology 
SEC. 121. DEPLOYMENT OF SOLAR AND WIND TECHNOLOGY 
THROUGH TAX CREDITS. 
(a) ENERGY CREDIT
FOR QUALIFIED OFFSHORE 
WIND FACILITIES.— 
(1) IN GENERAL.—Subsection (a) of section 48 
of the Internal Revenue Code is amended— 
(A) in paragraph (2)(A)(i)— 
(i) in subclause (III), by striking 
‘‘and’’ at the end; and 
(ii) by adding at the end the following 
new subclause: 
‘‘(V) qualified offshore wind property, 
and’’; and 
(B) in paragraph (3)(A)— 
(i) in clause (vi), by striking ‘‘or’’ at 
the end; 
(ii) in clause (vii), by adding ‘‘or’’ at 
the end; and 
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(iii) by adding at the end the fol-
lowing new clause: 
‘‘(viii) qualified offshore wind prop-
erty, but only with respect to property the 
construction of which begins before Janu-
ary 1, 2028,’’. 
(2) QUALIFIED OFFSHORE WIND PROPERTY.— 
Subsection (c) of section 48 of such Code is amend-
ed by adding at the end the following new para-
graph: 
‘‘(5) QUALIFIED OFFSHORE WIND PROPERTY.— 
‘‘(A) IN
GENERAL.—The term ‘qualified 
offshore wind property’ means an offshore facil-
ity using wind to produce electricity. 
‘‘(B) OFFSHORE
FACILITY.—The term 
‘offshore facility’ means any facility located in 
the inland navigable waters of the United 
States, including the Great Lakes, or in the 
coastal waters of the United States, including 
the territorial seas of the United States, the ex-
clusive economic zone of the United States, and 
the outer Continental Shelf of the United 
States. 
‘‘(C) EXCEPTION FOR QUALIFIED SMALL 
WIND ENERGY PROPERTY.—The term ‘qualified 
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offshore wind property’ shall not include any 
property described in paragraph (4). 
‘‘(D) SPECIAL RULE.—In the case of any 
property described in subparagraph (A) which 
was placed in service after December 31, 2016, 
and for which a credit under this section was 
allowed by reason of subsection (a)(5) in any 
taxable year which ends before or includes the 
date of the enactment of the Clean Energy In-
novation and Deployment Act of 2020, notwith-
standing any election under such subsection 
(a)(5), such property may be treated at the 
election of the taxpayer as qualified offshore 
wind property (and not as qualified property 
which is part of a qualified investment credit 
facility) for— 
‘‘(i) taxable years beginning on or 
after such date of enactment, and 
‘‘(ii) any taxable years ending before 
such date of enactment, including by filing 
an amended return. 
Notwithstanding section 6501, an amended re-
turn may be filed for purposes of clause (ii) for 
any taxable year described in such clause.’’. 
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(3) EFFECTIVE DATE.—The amendments made 
by this section shall take effect on the date of the 
enactment of this Act. 
(b) EXTENSION
AND PHASEOUT
OF INVESTMENT 
TAX CREDIT.— 
(1) EXTENSION
OF
INVESTMENT
TAX
CRED-
IT.—Section 48 of the Internal Revenue Code of 
1986 is amended— 
(A) in subsection (a)— 
(i) in paragraph (2)(A)(i)(II), by 
striking ‘‘January 1, 2022’’ and inserting 
‘‘January 1, 2028’’; 
(ii) in paragraph (3)(A)— 
(I) in clause (ii), by striking 
‘‘January 1, 2022’’ and inserting 
‘‘January 1, 2028’’; and 
(II) in clause (vii), by striking 
‘‘January 1, 2022’’ and inserting 
‘‘January 1, 2028’’; and 
(iii) in paragraph (5)(C)— 
(I) in clause (i)— 
(aa) by striking ‘‘(2), (3), 
(4), (6), (7),’’; and 
(bb) by inserting ‘‘and which 
is placed in service after 2008 
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and the construction of which be-
gins before January 1, 2028’’ 
after ‘‘section 45(d)’’; and 
(II) in clause (ii), by inserting at 
the beginning of the clause ‘‘which is 
a qualified facility (within the mean-
ing of section 45) described in para-
graph (2), (3), (4), (6), and (7) and’’; 
and 
(B) in subsection (c)— 
(i) in paragraph (1)(D), by striking 
‘‘January 1, 2022’’ and inserting ‘‘Janu-
ary 1, 2028’’; 
(ii) in paragraph (2)(D), by striking 
‘‘January 1, 2022’’ and inserting ‘‘Janu-
ary 1, 2028’’; 
(iii) in paragraph (3)(A)(iv), by strik-
ing ‘‘January 1, 2022’’ and inserting 
‘‘January 1, 2028’’; and 
(iv) in paragraph (4)(C), by striking 
‘‘January 1, 2022’’ and inserting ‘‘Janu-
ary 1, 2028’’. 
(2) CREDIT TRANSFERABILITY FOR SOLAR IN-
VESTMENT TAX CREDIT.—Section 48 of such Code 
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is further amended by adding at the end the fol-
lowing new subsections: 
‘‘(e) TRANSFERABILITY.—If a taxpayer elects to 
transfer all (or any portion specified in the election) of 
the credit determined under this section for an energy 
property described in subsection (a)(5) or (a)(6) for any 
taxable year to an eligible project partner for a specified 
period, then the eligible project partner specified in such 
election (and not the taxpayer) shall be treated for pur-
poses of this title with respect to such credit (or such por-
tion thereof) as the person entitled to such credit (or por-
tion thereof). 
‘‘(f) ELIGIBLE PROJECT PARTNER.— 
‘‘(1) IN GENERAL.—For purposes of this para-
graph, the term ‘eligible project partner’ means, 
with respect to any energy property described in 
subsection (a)(5) or (a)(6), any person who— 
‘‘(A) has an ownership interest in such en-
ergy property, 
‘‘(B) provided equipment for or services in 
the construction of such energy property, 
‘‘(C) provides electric transmission or dis-
tribution services for such energy property, 
‘‘(D) purchases electricity from such en-
ergy property pursuant to a contract, or 
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