II 109th CONGRESS 2d Session S. 3698 IN THE SENATE OF THE UNITED STATES July 20, 2006 Mr. Jeffords (for himself, Mrs. Boxer, Mr. Lautenberg, Mr. Kennedy, Mr. Leahy, Mr. Reed, Mr. Akaka, Mr. Dodd, Mr. Sarbanes, and Mr. Menendez) introduced the following bill; which was read twice and referred to the Committee on Environment and Public Works A BILL To amend the Clean Air Act to reduce emissions of carbon dioxide, and for other purposes.

1.

Short title

This Act may be cited as the Global Warming Pollution Reduction Act.

2.

Global warming pollution emission reductions

The Clean Air Act (42 U.S.C. 7401 et seq.) is amended by adding at the end the following: .

3.

Renewable content of gasoline

Section 211(o) of the Clean Air Act (as amended by section 1501 of the Energy Policy Act of 2005 (Public Law 109–58; 119 Stat. 1067)) is amended— (1)in paragraph (1)— (A)by redesignating subparagraph (B) as subparagraph (E); and (B)by inserting after subparagraph (A) the following: (B)

Low-carbon renewable fuel

The term low-carbon renewable fuel means renewable fuel the use of which, on a full fuel cycle, per-mile basis, and as compared with the use of gasoline, achieves a reduction in global warming pollution emissions of 75 percent or more. ; and (2)in paragraph (2)— (A)in subparagraph (A)(i), by inserting and low-carbon renewable fuel after renewable fuel; and (B)in subparagraph (B)— (i)in clause (iv), by striking (iv) Minimum applicable volume.—For the purpose of subparagraph (A), the applicable volume and inserting the following: (iv)

Minimum applicable volume of renewable fuel

For the purpose of subparagraph (A), the minimum applicable volume of renewable fuel ; and (ii)by adding at the end the following: (v)

Minimum applicable volume of low-carbon renewable fuel

For the purpose of subparagraph (A), the minimum applicable volume of low-carbon renewable fuel for calendar year 2015 and each calendar year thereafter shall be 5,000,000,000 gallons. .

4.

Enforcement and judicial review

(a)

Federal enforcement

Section 113 of the Clean Air Act (42 U.S.C. 7413) is amended— (1)in subsection (a)(3), by striking or title VI, and inserting title VI, or title VII,; (2)in subsection (b)(2), by striking or title VI, and inserting title VI, or title VII,; (3)in subsection (c)— (A)in the first sentence of paragraph (1), by striking or title VI (relating to stratospheric ozone control), and inserting title VI (relating to stratospheric ozone control), or title VII (relating to global warming pollution emission reductions),; and (B)in the first sentence of paragraph (3), by striking or VI and inserting VI, or VII; (4)in subsection (d)(1)(B), by striking or VI and inserting VI, or VII; and (5)in the first sentence of subsection (f), by striking or VI and inserting VI, or VII. (b)

Establishment of standards

Section 202 of the Clean Air Act (42 U.S.C. 7521) is amended— (1)by redesignating the second subsection (f) (as added by section 207(b) of Public Law 101–549 (104 Stat. 2482)) as subsection (n); and (2)by inserting after subsection (n) (as redesignated by paragraph (1)) the following: (o)

Global warming pollution emission reductions

(1)

In general

Not later than January 1, 2010, the Administrator shall promulgate regulations in accordance with subsection (a) and section 707 to require manufacturers of motor vehicles to meet the vehicle emission standards established under subsections (a) and (b) of section 707. (2)

Effective date

The regulations promulgated under paragraph (1) shall take effect with respect to motor vehicles sold by a manufacturer beginning in model year 2016. . (c)

Administrative proceedings and judicial review

Section 307 of the Clean Air Act (42 U.S.C. 7607) is amended— (1)in subsection (b)(1)— (A)in the first sentence— (i)by striking section 111,, and inserting section 111,; and (ii)by inserting any emission standard or requirement issued pursuant to title VII, after under section 120,; and (B)in the second sentence, by striking section 112,, and inserting section 112,; and (2)in subsection (d)(1)— (A)in subparagraph (T), by striking , and at the end; (B)in subparagraph (U), by striking the period at the end and inserting ; and; and (C)by adding at the end the following: (V)the promulgation or revision of any regulation under title VII (relating to global warming pollution). .

5.

Federal fleet fuel economy

Section 32917 of title 49, United States Code, is amended by adding at the end the following: (3)

New vehicles

(A)

In general

Except as provided in subparagraph (B), each passenger vehicle purchased, or leased for a period of at least 60 consecutive days, by an Executive agency after the date of enactment of this paragraph shall be as fuel-efficient as practicable. (B)

Waiver

In an emergency situation, an Executive agency may submit to Congress a written request for a waiver of the requirement under paragraph (1). .

6.

International negotiations and trade restrictions

It is the sense of the Senate that the United States should act to reduce the health, environmental, economic, and national security risks posed by global climate change, and foster sustained economic growth through a new generation of technologies, by— (1)participating in negotiations under the United Nations Framework Convention on Climate Change, done at New York May 9, 1992, and leading efforts in other international forums, with the objective of securing participation of the United States in agreements that— (A)advance and protect the economic and national security interests of the United States; (B)establish mitigation commitments by all countries that are major emitters of global warming pollution, in accordance with the principle of common but differentiated responsibilities; (C)establish flexible international mechanisms to minimize the cost of efforts by participating countries; and (D)achieve a significant long-term reduction in global warming pollution emissions; and (2)establishing a bipartisan Senate observation group, the members of which should be designated by the Chairman and Ranking Member of the Committee on Foreign Relations of the Senate, and which should include the Chairman and Ranking Member of the Committee on Environment and Public Works of the Senate— (A)to monitor any international negotiations on climate change; and (B)to ensure that the advice and consent function of the Senate is exercised in a manner to facilitate timely consideration of any applicable treaty submitted to the Senate.

7.

Report on trade and innovation effects

Not later than 2 years after the date of enactment of this Act, and annually thereafter, the Secretary of Commerce, in consultation with the United States Trade Representative, the Secretary of the Treasury, the Secretary of Agriculture, the Secretary of Energy, and the Administrator of the Environmental Protection Agency (referred to in this section as the Secretary), shall prepare and submit to Congress a report on the trade, economic, and technology innovation effects of the failure of the United States to adopt measures that require or result in a reduction in total global warming pollution emissions in the United States, in accordance with the goals for the United States under the United Nations Framework Convention on Climate Change, done at New York on May 9, 1992.

8.

Climate change in environmental impact statements

In any case in which a Federal agency prepares an environmental impact statement or similar analysis required under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), the Federal agency shall consider and evaluate— (1)the impact that the Federal action or project necessitating the statement or analysis would have in terms of net changes in global warming pollution emissions; and (2)the ways in which climate changes may affect the action or project in the short term and the long term.

9.

Corporate environmental disclosure of climate change risks

(a)

Regulations

Not later than 2 years after the date of enactment of this Act, the Securities and Exchange Commission (referred to in this section as the Commission) shall promulgate regulations in accordance with section 13 of the Securities Exchange Act of 1934 (15 U.S.C. 78m) directing each issuer of securities under that Act to inform securities investors of the risks relating to— (1)the financial exposure of the issuer because of the net global warming pollution emissions of the issuer; and (2)the potential economic impacts of global warming on the interests of the issuer. (b)

Uniform format for disclosure

In carrying out subsection (a), the Commission shall enter into an agreement with the Financial Accounting Standards Board, or another appropriate organization that establishes voluntary standards, to develop a uniform format for disclosing to securities investors information on the risks described in subsection (a). (c)

Interim interpretive release

(1)

In general

As soon as practicable after the date of enactment of this Act, the Commission shall issue an interpretive release clarifying that under items 101 and 303 of Regulation S-K of the Commission under part 229 of title 17, Code of Federal Regulations (as in effect on the date of enactment of this Act)— (A)the commitments of the United States to reduce emissions of global warming pollution under the United Nations Framework Convention on Climate Change, done at New York on May 9, 1992, are considered to be a material effect; and (B)global warming constitutes a known trend. (2)

Period of effectiveness

The interpretive release issued under paragraph (1) shall remain in effect until the effective date of the final regulations promulgated under subsection (a).