I 
110TH CONGRESS 
2D SESSION 
H. R. 6218 
To provide for loan guarantees for retrofitting high-performance green 
buildings. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 9, 2008 
Mr. WEINER introduced the following bill; which was referred to the Com-
mittee on Energy and Commerce, and in addition to the Committee on 
Science and Technology, for a period to be subsequently determined by 
the Speaker, in each case for consideration of such provisions as fall with-
in the jurisdiction of the committee concerned 
A BILL 
To provide for loan guarantees for retrofitting high- 
performance green buildings. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. HIGH-PERFORMANCE GREEN BUILDINGS RET-
ROFIT LOAN GUARANTEES. 
(a) DEFINITIONS.—In this section: 
(1) COST.—The term ‘‘cost’’ has the meaning 
given the term ‘‘cost of a loan guarantee’’ within the 
meaning of section 502(5)(C) of the Federal Credit 
Reform Act of 1990 (2 U.S.C. 661a(5)(C)). 
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(2) GUARANTEE.— 
(A) IN GENERAL.—The term ‘‘guarantee’’ 
has the meaning given the term ‘‘loan guar-
antee’’ in section 502 of the Federal Credit Re-
form Act of 1990 (2 U.S.C. 661a). 
(B) INCLUSION.—The term ‘‘guarantee’’ 
includes a loan guarantee commitment (as de-
fined in section 502 of the Federal Credit Re-
form Act of 1990 (2 U.S.C. 661a)). 
(3) 
OBLIGATION.—The 
term 
‘‘obligation’’ 
means the loan or other debt obligation that is guar-
anteed under this section. 
(4) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Energy. 
(b) ELIGIBLE PURPOSES.—The Secretary shall make 
loan guarantees under this section for renovation projects 
that are eligible projects within the meaning of section 
1703 of the Energy Policy Act of 2005 and that will result 
in a building achieving the United States Green Building 
Council Leadership in Energy and Environmental Design 
‘‘certified’’ level, or meeting a comparable standard ap-
proved by the Secretary. 
(c) TERMS AND CONDITIONS.— 
(1) IN GENERAL.—The Secretary shall make 
guarantees under this section for projects on such 
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terms and conditions as the Secretary determines, 
after consultation with the Secretary of the Treas-
ury, in accordance with this section, including limi-
tations on the amount of any loan guarantee to en-
sure distribution to a variety of borrowers. 
(2) SPECIFIC
APPROPRIATION
OR
CONTRIBU-
TION.—No guarantee shall be made under this sec-
tion unless— 
(A) an appropriation for the cost has been 
made; or 
(B) the Secretary has received from the 
borrower a payment in full for the cost of the 
obligation and deposited the payment into the 
Treasury. 
(3) LIMITATION.—Not more than $100,000,000 
in loans may be guaranteed under this section at 
any one time. 
(4) AMOUNT.—Unless otherwise provided by 
law, a guarantee by the Secretary under this section 
shall not exceed an amount equal to 80 percent of 
the project cost that is the subject of the guarantee, 
as estimated at the time at which the guarantee is 
issued. 
(5) REPAYMENT.—No guarantee shall be made 
under this section unless the Secretary determines 
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that there is reasonable prospect of repayment of the 
principal and interest on the obligation by the bor-
rower. 
(6) INTEREST RATE.—An obligation shall bear 
interest at a rate that does not exceed a level that 
the Secretary determines appropriate, taking into 
account the prevailing rate of interest in the private 
sector for similar loans and risks. 
(7) TERM.—The term of an obligation shall re-
quire full repayment over a period not to exceed the 
lesser of— 
(A) 30 years; or 
(B) 90 percent of the projected useful life 
of the building whose renovation is to be fi-
nanced by the obligation (as determined by the 
Secretary). 
(8) DEFAULTS.— 
(A) PAYMENT BY SECRETARY.— 
(i) IN GENERAL.—If a borrower de-
faults on the obligation (as defined in reg-
ulations promulgated by the Secretary and 
specified in the guarantee contract), the 
holder of the guarantee shall have the 
right to demand payment of the unpaid 
amount from the Secretary. 
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(ii) 
PAYMENT
REQUIRED.—Within 
such period as may be specified in the 
guarantee or related agreements, the Sec-
retary shall pay to the holder of the guar-
antee the unpaid interest on, and unpaid 
principal of the obligation as to which the 
borrower has defaulted, unless the Sec-
retary finds that there was no default by 
the borrower in the payment of interest or 
principal or that the default has been rem-
edied. 
(iii) FORBEARANCE.—Nothing in this 
paragraph precludes any forbearance by 
the holder of the obligation for the benefit 
of the borrower which may be agreed upon 
by the parties to the obligation and ap-
proved by the Secretary. 
(B) SUBROGATION.— 
(i) IN
GENERAL.—If the Secretary 
makes a payment under subparagraph (A), 
the Secretary shall be subrogated to the 
rights of the recipient of the payment as 
specified in the guarantee or related agree-
ments including, where appropriate, the 
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authority (notwithstanding any other pro-
vision of law) to— 
(I) complete, maintain, operate, 
lease, or otherwise dispose of any 
property acquired pursuant to such 
guarantee or related agreements; or 
(II) permit the borrower, pursu-
ant to an agreement with the Sec-
retary, to continue to pursue the pur-
poses of the project if the Secretary 
determines this to be in the public in-
terest. 
(ii) SUPERIORITY
OF
RIGHTS.—The 
rights of the Secretary, with respect to any 
property acquired pursuant to a guarantee 
or related agreements, shall be superior to 
the rights of any other person with respect 
to the property. 
(iii) TERMS
AND
CONDITIONS.—A 
guarantee agreement shall include such de-
tailed terms and conditions as the Sec-
retary determines appropriate to— 
(I) protect the interests of the 
United States in the case of default; 
and 
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(II) have available all the patents 
and technology necessary for any per-
son selected, including the Secretary, 
to complete and operate the project. 
(C) PAYMENT OF PRINCIPAL AND INTER-
EST BY SECRETARY.—With respect to any obli-
gation guaranteed under this section, the Sec-
retary may enter into a contract to pay, and 
pay, holders of the obligation, for and on behalf 
of the borrower, from funds appropriated for 
that purpose, the principal and interest pay-
ments which become due and payable on the 
unpaid balance of the obligation if the Sec-
retary finds that— 
(i)(I) the borrower is unable to meet 
the payments and is not in default; 
(II) it is in the public interest to per-
mit the borrower to continue to pursue the 
purposes of the project; and 
(III) the probable net benefit to the 
Federal Government in paying the prin-
cipal and interest will be greater than that 
which would result in the event of a de-
fault; 
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(ii) the amount of the payment that 
the Secretary is authorized to pay shall be 
no greater than the amount of principal 
and interest that the borrower is obligated 
to pay under the agreement being guaran-
teed; and 
(iii) the borrower agrees to reimburse 
the Secretary for the payment (including 
interest) on terms and conditions that are 
satisfactory to the Secretary. 
(D) ACTION BY ATTORNEY GENERAL.— 
(i) NOTIFICATION.—If the borrower 
defaults on an obligation, the Secretary 
shall notify the Attorney General of the de-
fault. 
(ii) RECOVERY.—On notification, the 
Attorney General shall take such action as 
is appropriate to recover the unpaid prin-
cipal and interest due from— 
(I) such assets of the defaulting 
borrower as are associated with the 
obligation; or 
(II) any other security pledged to 
secure the obligation. 
(9) FEES.— 
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(A) IN
GENERAL.—The Secretary shall 
charge and collect fees for guarantees in 
amounts the Secretary determines are sufficient 
to cover applicable administrative expenses. 
(B) AVAILABILITY.—Fees collected under 
this paragraph shall— 
(i) be deposited by the Secretary into 
the Treasury; and 
(ii) remain available until expended, 
subject to such other conditions as are con-
tained in annual appropriations Acts. 
(10) RECORDS; AUDITS.— 
(A) IN GENERAL.—A recipient of a guar-
antee shall keep such records and other perti-
nent documents as the Secretary shall prescribe 
by regulation, including such records as the 
Secretary may require to facilitate an effective 
audit. 
(B) ACCESS.—The Secretary and the 
Comptroller General of the United States, or 
their duly authorized representatives, shall have 
access, for the purpose of audit, to the records 
and other pertinent documents. 
(11) FULL FAITH AND CREDIT.—The full faith 
and credit of the United States is pledged to the 
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payment of all guarantees issued under this section 
with respect to principal and interest. 
Æ 
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