I 
113TH CONGRESS 
2D SESSION 
H. R. 5796 
To give States the option of addressing emissions of greenhouse gases from 
existing stationary sources by pricing emissions. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 4, 2014 
Mr. DELANEY introduced the following bill; which was referred to the 
Committee on Energy and Commerce 
A BILL 
To give States the option of addressing emissions of green-
house gases from existing stationary sources by pricing 
emissions. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘State’s Choice Act of 
2014’’. 
SEC. 2. STATE OPTION TO IMPOSE A CARBON TAX. 
(a) APPLICABILITY.—This section applies with re-
spect to any regulation to address climate change issued 
by the Administrator of the Environmental Protection 
Agency under section 111(d) of the Clean Air Act (42 
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U.S.C. 7411(d)) for emissions of any greenhouse gas from 
an existing stationary source. 
(b) STATE OPTION.— 
(1) OPTION.—Subject to paragraph (2), a regu-
lation described in subsection (a) shall allow a State 
the option to impose a carbon tax with respect to 
greenhouse gas emissions from an existing sta-
tionary source instead of, or in conjunction with, ap-
plying a standard of performance for such emissions 
from such existing stationary source. 
(2) REEVALUATION.—The Administrator of the 
Environmental Protection Agency shall— 
(A) in 2025, conduct an evaluation of any 
carbon tax imposed by a State pursuant to this 
subsection to determine whether such tax, to-
gether with any other relevant measures of the 
State, will, by the end of 2030, achieve the 
greenhouse gas reduction goals of the regula-
tions described in subsection (a) which the tax 
is intended to replace (in whole or in part); and 
(B) if the Administrator determines that 
the tax, together with any other relevant meas-
ures of the State, will not achieve such goals, 
require the State to increase the tax by the 
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amount determined necessary by the Adminis-
trator to achieve such goals. 
(3) LIMITATION.—The option described in 
paragraph (1) shall not be available to a State if the 
Administrator determines that— 
(A) such State is materially undermining 
the effectiveness of the carbon tax in decreasing 
greenhouse gas emissions through other policy 
changes; or 
(B) the Administrator has required the 
State to increase its tax, as described in para-
graph (2)(B), and the State has not complied 
with such requirement. 
(c) DEFINITIONS.—In this Act: 
(1) CARBON DIOXIDE EQUIVALENT.—The term 
‘‘carbon dioxide equivalent’’ means, for each green-
house gas, the quantity of greenhouse gas that the 
Administrator of the Environmental Protection 
Agency determines makes the same contribution to 
global warming as 1 metric ton of carbon dioxide. 
(2) CARBON
TAX.—The term ‘‘carbon tax’’ 
means an excise tax— 
(A)(i) on emissions of any greenhouse gas; 
or 
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(ii) on a fossil fuel based on emissions of 
any greenhouse gas that will result from the 
use of such fossil fuel; 
(B) that in 2015, is not less than $20 per 
metric ton of carbon dioxide equivalent; and 
(C) that in each subsequent year, increases 
by not less than 4 percent above inflation, as 
measured by the Consumer Price Index for all 
urban consumers (all items; United States city 
average). 
(3) EXISTING STATIONARY SOURCE.—The term 
‘‘existing stationary source’’ has the meaning given 
to the term ‘‘existing source’’ in section 111(a)(6) of 
the Clean Air Act (42 U.S.C. 7411(a)(6)). 
(4) 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. 
(5) STATIONARY
SOURCE.—The term ‘‘sta-
tionary source’’ has the meaning given such term in 
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section 111(a)(3) of the Clean Air Act (42 U.S.C. 
7411(a)(3)). 
Æ 
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