Mitigate Methane Now Act
Bill: H.R.2818 | Sponsor: Rep. Sherrill, Mikie (D-NJ)
Policy area: Energy

Summary:
Mitigate Methane Now Act
This bill directs the Department of Energy to establish a program to provide grants to states; the grants may be used to offset rate increases that result from infrastructure improvements to natural gas distribution systems and that are paid by low-income households.

To require the Secretary of Energy to establish a grant program for 
    States to offset incremental rate increases paid by low-income 
households resulting from the implementation of infrastructure programs 
 that are designed to accelerate the necessary replacement, repair, or 
    maintenance of natural gas distribution systems, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Mitigate Methane Now Act''.

SEC. 2. IMPROVING THE NATURAL GAS DISTRIBUTION SYSTEM.

    (a) Program.--The Secretary of Energy shall establish a grant 
program to provide financial assistance to States to offset the 
incremental rate increases paid by low-income households resulting from 
the implementation of infrastructure replacement, repair, and 
maintenance programs that are approved by the rate-setting entity and 
designed to accelerate the necessary replacement, repair, or 
maintenance of natural gas distribution systems.
    (b) Date of Eligibility.--Awards may be provided under this section 
to offset rate increases described in subsection (a) occurring on or 
after the date of enactment of this Act.
    (c) Prioritization.--The Secretary shall collaborate with States to 
prioritize the distribution of grants made under this section. At a 
minimum, the Secretary shall consider prioritizing the distribution of 
grants to States which have--
            (1) authorized or adopted enhanced infrastructure 
        replacement programs or innovative rate recovery mechanisms, 
        such as infrastructure cost trackers and riders, infrastructure 
        base rate surcharges, deferred regulatory asset programs, and 
        earnings stability mechanisms; and
            (2) a viable means for delivering financial assistance to 
        low-income households.
    (d) Auditing and Reporting Requirements.--The Secretary shall 
establish auditing and reporting requirements for States with respect 
to the performance of eligible projects funded pursuant to grants 
awarded under this section.
    (e) Prevailing Wages.--All laborers and mechanics employed by 
contractors or subcontractors in the performance of construction, 
alteration, or repair work assisted, in whole or in part, by a grant 
under this section shall be paid wages at rates not less than those 
prevailing on similar construction in the locality as determined by the 
Secretary of Labor in accordance with subchapter IV of chapter 31 of 
title 40. With respect to the labor standards in this subsection, the 
Secretary of Labor shall have the authority and functions set forth in 
Reorganization Plan Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. App.) 
and section 3145 of title 40.
    (f) Definitions.--In this section:
            (1) Innovative rate recovery mechanisms.--The term 
        ``innovative rate recovery mechanisms'' means rate structures 
        that allow State public utility commissions to modify tariffs 
        and recover costs of investments in utility replacement 
        incurred between rate cases.
            (2) Low-income household.--The term ``low-income 
        household'' means a household that is eligible to receive 
        payments under section 2605(b)(2) of the Low-Income Home Energy 
        Assistance Act of 1981 (42 U.S.C. 8624(b)(2)).
    (g) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary to carry out this section $250,000,000 in 
each of fiscal years 2022 through 2031.
                                 <all>