‘‘(B) submits to the congressional defense com-
mittees a written notification of the waiver, together 
with a justification for the waiver. 
‘‘(2) The period of any waiver under paragraph (1) 
may not exceed 30 days. 
‘‘(3) Any waiver under this subsection may be re-
newed one or more times, in the manner provided for the 
initial such waiver under paragraph (1) and for the period 
provided for in paragraph (2).’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
at the beginning of chapter 137 of title 10, United States 
Code, is amended by inserting after the item relating to 
section 2339c the following new item: 
‘‘2339d. Requirements relating to energy consumption and climate change.’’. 
(c) ENERGY AND CLIMATE RESILIENCY FUND.— 
(1) IN GENERAL.—There is established in the 
Treasury of the United States a fund, to be known 
as the ‘‘Energy and Climate Resiliency Fund’’ (in 
this subsection referred to as the ‘‘Fund’’), to be ad-
ministered by the Secretary of Defense. 
(2) USE OF AMOUNTS.—Amounts deposited in 
the Fund shall be used only for climate-related im-
provements that contribute to the continued oper-
ational viability and the resiliency of the networks, 
systems, installations, facilities, and other assets and 
capabilities of the Department of Defense. 
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(3) 
DEPOSIT
AND
AVAILABILITY
OF 
AMOUNTS.—Notwithstanding section 3302 of title 
31, United States Code, fees collected under section 
2339d(d) of title 10, United States Code, as added 
by subsection (a)— 
(A) shall be deposited into the Fund to 
carry out the activities described in paragraph 
(2); 
(B) to the extent and in the amounts pro-
vided in advance in appropriations Acts, shall 
be available to the Secretary of Defense; and 
(C) shall remain available until expended. 
(4) CLIMATE-RELATED
IMPROVEMENTS
DE-
FINED.—In this subsection, the term ‘‘climate-re-
lated improvements’’ means efforts by the Depart-
ment of Defense to prepare for, or mitigate the ef-
fects of, the following: 
(A) Extreme weather. 
(B) Rising sea tides. 
(C) Increased flooding. 
(D) Drought. 
(E) Desertification. 
(F) Wildfires. 
(G) Thawing permafrost. 
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(H) Such other conditions as the Secretary 
determines necessary. 
(d) CONTRACTING PREFERENCE FOR GREEN MANU-
FACTURING TECHNOLOGY.— 
(1) CONTRACTS FOR GREEN MANUFACTURING 
TECHNOLOGY.—With respect to contracts awarded 
by the Department of Defense, the Department shall 
give a preference to qualified contractors. 
(2) POLICY
ON
CONSIDERATION
OF
CERTAIN 
FACTORS
IN
DETERMINATIONS
TO
AWARD
CON-
TRACTS.—In making any determination to enter into 
a contract described in paragraph (1), the Secretary 
of Defense shall take into account— 
(A) 
whether 
the 
qualified 
contractor 
verifiably produces as much renewable energy 
as the total energy it consumes; 
(B) 
whether 
the 
qualified 
contractor 
verifiably uses green manufacturing technology; 
and 
(C) whether there is any order against the 
qualified contractor by the Environmental Pro-
tection Agency, the Department of Justice, or a 
State attorney general to pay a fine or take re-
medial action for a violation of an environ-
mental law or regulation of the United States. 
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(3) VERIFICATION AND REPORTING OF QUALI-
FIED
CONTRACTORS.—The Secretary of Defense 
shall prescribe such procedures as may be necessary 
for— 
(A) contractors to verify that they are 
qualified contractors; 
(B) qualified contractors meeting the re-
quirements of paragraph (2) to certify that not 
more than 25 percent of the amount paid under 
the contract will be expended on a subcontract 
to a contractor that is not verifiably meeting 
those requirements, subject to such necessary 
and reasonable waivers as the Secretary may 
prescribe; and 
(C) recording information on each use of 
the authority under paragraph (1), including 
details relevant to the nature of the contract 
and the qualified contractor, and providing that 
information to the Comptroller General of the 
United States. 
(4) COMPTROLLER GENERAL OF THE UNITED 
STATES REPORT.— 
(A) IN
GENERAL.—Not later than five 
years after the date of the enactment of this 
Act, the Comptroller General of the United 
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States shall submit to the congressional defense 
committees a report on the individual and ag-
gregate uses of the authority under paragraph 
(1), using such data as may be available up to 
that time. 
(B) ELEMENTS.—The report under sub-
paragraph (A) shall include— 
(i) an assessment of the frequency 
and nature of the use of the authority 
under paragraph (1); and 
(ii) the tendency of contractors to be-
come qualified contractors in order to qual-
ify for the authority under paragraph (1). 
(5) QUALIFIED
CONTRACTOR
DEFINED.—In 
this subsection, the term ‘‘qualified contractor’’ 
means a contractor that uses green manufacturing 
technology. 
(e) SET ASIDE CONTRACTS FOR SMALL BUSINESSES 
THAT USE GREEN MANUFACTURING TECHNOLOGY.— 
(1) CONTRACTS FOR GREEN MANUFACTURING 
TECHNOLOGY.—With respect to contracts awarded 
by the Department of Defense, the Department shall 
award— 
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(A) in fiscal year 2022, not fewer than five 
percent of contracts to qualified small busi-
nesses; 
(B) by fiscal year 2027, not fewer than 20 
percent of contracts to qualified small busi-
nesses; and 
(C) by fiscal year 2030, not fewer than 50 
percent of contracts to qualified small busi-
nesses. 
(2) POLICY
ON
CONSIDERATION
OF
CERTAIN 
FACTORS
IN
DETERMINATIONS
TO
AWARD
CON-
TRACTS.—In making any determination to enter into 
a contract described in paragraph (1), the Secretary 
of Defense shall take into account— 
(A) whether the qualified small business 
verifiably produces as much renewable energy 
as the total energy it consumes; 
(B) whether the qualified small business 
verifiably uses green manufacturing technology 
or operates with net zero energy; and 
(C) whether there is any order against the 
qualified small business by the Environmental 
Protection Agency, the Department of Justice, 
or a State attorney general to pay a fine or 
take remedial action for a violation of an envi-
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ronmental law or regulation of the United 
States. 
(3) VERIFICATION AND REPORTING OF QUALI-
FIED
SMALL
BUSINESSES.—The Secretary of De-
fense shall prescribe such procedures as may be nec-
essary for— 
(A) contractors to verify that they are 
qualified small businesses; 
(B) qualified small businesses meeting the 
requirements of paragraph (2) to certify that 
not more than 25 percent of the amount paid 
under the contract will be expended on a sub-
contract to a contractor that is not verifiably 
meeting those requirements, subject to such 
necessary and reasonable waivers as the Sec-
retary may prescribe; and 
(C) recording information on awards under 
paragraph (1), including details relevant to the 
nature of the contract and the qualified small 
business, and providing that information to the 
Comptroller General of the United States. 
(4) COMPTROLLER GENERAL OF THE UNITED 
STATES REPORT.— 
(A) IN
GENERAL.—Not later than five 
years after the date of the enactment of this 
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Act, the Comptroller General of the United 
States shall submit to the congressional defense 
committees a report on the individual and ag-
gregate awards under paragraph (2), using 
such data as may be available up to that time. 
(B) ELEMENTS.—The report under sub-
paragraph (A) shall include— 
(i) an assessment of the frequency 
and nature of awards under paragraph (1); 
and 
(ii) the tendency of small business 
concerns to become qualified small busi-
nesses in order to qualify for awards under 
paragraph (1). 
(5) DEFINITIONS.—In this subsection: 
(A) QUALIFIED
SMALL
BUSINESS.—The 
term ‘‘qualified small business’’ means a small 
business concern that verifiably uses green 
manufacturing technology or operates with net 
zero energy. 
(B) SMALL
BUSINESS
CONCERN.—The 
term ‘‘small business concern’’ has the meaning 
given that term in section 3 of the Small Busi-
ness Act (15 U.S.C. 632). 
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SEC. 6. ANNUAL REPORT ON EFFECTS OF CLIMATE 
CHANGE ON DEPARTMENT OF DEFENSE. 
(a) IN GENERAL.—Not later than 180 days after the 
date of the enactment of this Act, and annually thereafter, 
the Secretary of Defense shall submit to the congressional 
defense committees a report on vulnerabilities to military 
installations and combatant commander requirements re-
sulting from climate change that builds upon the report 
submitted under section 335(c) of the National Defense 
Authorization Act for Fiscal Year 2018 (Public Law 115– 
91; 131 Stat. 1358). 
(b) ELEMENTS.—The report required by subsection 
(a) shall include the following: 
(1) An explanation of the underlying method-
ology behind the climate vulnerability analysis con-
ducted in preparing the report under section 335(c) 
of the National Defense Authorization Act for Fiscal 
Year 2018. 
(2) An assessment of how climate change af-
fects low-lying military installations, military instal-
lations of the Navy and the Marine Corps, and mili-
tary installations outside the United States. 
(3) An assessment of how climate change af-
fects access of members of the Armed Forces to 
training ranges. 
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(4) With respect to a military installation in a 
country outside the United States, an assessment of 
the collaboration between the Department of De-
fense and the military or civilian agencies of the gov-
ernment of that country or nongovernmental organi-
zations operating in that country to adapt to risks 
from climate change. 
(5) An assessment of how climate change af-
fects housing safety and food security on military in-
stallations. 
(6) An assessment of the strategic benefits de-
rived from isolating infrastructure of the Depart-
ment of Defense in the United States from the na-
tional electric grid and the use of energy-efficient, 
distributed, and smart power grids by the Armed 
Forces in the United States and overseas to ensure 
affordable access to electricity. 
(7) A list of the ten military installations within 
each military department that are most vulnerable to 
climate change based on the effects of the following: 
(A) Geographic location. 
(B) Extreme weather. 
(C) Rising sea tides. 
(D) Increased flooding. 
(E) Drought. 
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(F) Desertification. 
(G) Wildfires. 
(H) Thawing permafrost. 
(I) Such other categories as the Secretary 
determines necessary. 
(8) A climate vulnerability score, determined by 
the Secretary, for each military installation of the 
Department. 
(9) An overview of mitigations, in addition to 
current efforts undertaken by the Department, that 
may be necessary to ensure the continued oper-
ational viability and to increase the resiliency of the 
vulnerable military installations identified under 
paragraph (7), and the estimated costs of those miti-
gations. 
(10) An assessment of how adapting to climate 
change impacts the readiness of the Armed Forces 
to address the threats posed by Russia, China, Iran, 
North Korea, and violent extremism. 
(c) CONSULTATION.—In developing each report 
under subsection (a), the Secretary of Defense shall con-
sult with the Administrator of the Environmental Protec-
tion Agency, the Secretary of Energy, the Administrator 
of the National Oceanic and Atmospheric Administration, 
the Administrator of the Federal Emergency Management 
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