1.Short
title; table of contents
(a)This Act may be cited
as the Global Warming Reduction Act of
2007
.
(b)The table of
contents of this Act is as follows:
Sec. 1. Short title; table of
contents.
Sec. 2. Findings.
TITLE I—Comprehensive Global Warming Pollution
Reductions
Sec. 101. Global warming pollution emission
reductions.
Sec. 102. Biofuels infrastructure.
TITLE II—Tax Incentives for Advanced Technology
Vehicles
Subtitle A—Providing consumers with additional advanced
technology vehicle purchase incentives
Sec. 201. Expansion and extension of alternative motor vehicle
credit.
Sec. 202. Plug-in hybrid motor vehicle tax credit.
Subtitle B—Advanced technology motor vehicles manufacturing
credit
Sec. 211. Advanced technology motor vehicles manufacturing
credit.
TITLE III—International and Corporate Obligations
Sec. 301. International negotiations and trade
restrictions.
Sec. 302. Corporate environmental disclosure of climate change
risks.
TITLE IV—National Climate Change Vulnerability and Resilience
Program
Sec. 401. Definitions.
Sec. 402. National Climate Change Vulnerability and Resilience
Program.
2.Congress finds that—
(1)the United States
is a party to the United Nations Framework Convention on Climate Change, done
at New York on May 9, 1992, which has the objective of stabilizing global
warming pollution concentrations in the atmosphere at a level that would
prevent dangerous anthropogenic interference with the climate system;
(2)to achieve this
objective, the increase in global mean surface temperature should not exceed 2
degrees Celsius (3.6 degrees Fahrenheit) above preindustrial
temperatures;
(3)the risks
associated with a temperature increase above 2 degrees Celsius (3.6 degrees
Fahrenheit) are grave, including the disintegration of the Greenland ice sheet,
which, if melted completely, would raise the global average sea level by
approximately 23 feet, devastating many of the coastal areas and population
centers of the world;
(4)the
Intergovernmental Panel on Climate Change projects that, under a range of
expected emissions trends, temperatures will rise between 1.4 degrees Celsius
to 5.8 degrees Celsius (2.5 degrees Fahrenheit to 10.4 degrees Fahrenheit) by
the end of the century;
(5)serious global
warming impacts have already been observed in the United States and worldwide,
including—
(A)increases in heat
waves and other extreme weather events;
(B)a rise in sea
levels;
(C)a retreat of
glaciers and polar ice;
(D)a decline in
mountain snowpacks;
(E)increased drought
and wildfires;
(F)stronger
hurricanes;
(G)ocean
acidification;
(H)extensive coral
bleaching;
(I)migrations and
shifts in the yearly cycles of plants and animals; and
(J)the spread of
infectious diseases;
(6)by 2050,
scientists project that, under a mid-range estimate of global warming,
approximately 25 percent of animal and plant species would be doomed to
extinction;
(7)decisive action
is—
(A)needed to
minimize the many dangers posed by global warming; and
(B)critical since
global warming pollutants can persist in the atmosphere for more than a
century;
(8)reductions in
emissions from current levels should begin within a decade of the date of
enactment of this Act to preserve the ability to stabilize atmospheric global
warming pollution concentrations at levels likely to protect against a
temperature rise above 2 degrees Celsius (3.6 degrees Fahrenheit);
(9)while the United
States has only 5 percent of the world population, the United States—
(A)emits at least 20
percent of the total global warming pollution emissions of the world;
and
(B)needs to be a
leader in addressing global warming; and
(10)existing energy
efficiency and clean, renewable energy technologies would reduce global warming
pollution, while—
(A)saving consumers
money;
(B)reducing the
dependence of the United States on oil;
(C)enhancing
national security;
(D)cleaning the air;
and
(E)protecting
pristine places from drilling and mining.
<enum>I</enum><header>Comprehensive
Global Warming Pollution Reductions</header>
<section id="IDa14a156a594544b2be441719b0596893"><enum>101.</enum><header>Global warming
pollution emission reductions</header><text display-inline="no-display-inline">The Clean Air Act (42 U.S.C. 7401 et seq.)
is amended by adding at the end the following:</text>
<quoted-block display-inline="no-display-inline" id="id22A2893B2C6849BABC2D5408922233D8" style="OLC">
<title commented="no" id="idB95834F00FCB4978B2DC0BC72958B607" level-type="subsequent"><enum>VII</enum><header display-inline="yes-display-inline">Comprehensive Global Warming Pollution
Reductions</header>
<toc>
<toc-entry idref="idA7F27D95D4F9485C8A1848AC667A0F67" level="section">Sec. 701. Definitions.</toc-entry>
<toc-entry idref="ID702ac58bbbb14618bc3d55c915c8e20c" level="section">Sec. 702. Global warming pollution emission
reductions.</toc-entry>
<toc-entry idref="idAF779824DD32406C802027789AAB9A81" level="section">Sec. 703. Market-based cap on emissions.</toc-entry>
<toc-entry idref="id77DA7863AE0A4F37BC2A0D7206E51FFA" level="section">Sec. 704. Global warming pollution emission standards for
passenger vehicles.</toc-entry>
<toc-entry idref="id7957724D301C41AEB28E1AA67A76AE75" level="section">Sec. 705. Research and development.</toc-entry>
<toc-entry idref="id1D1CC3435F3940B9850FBFA002D32AC9" level="section">Sec. 706. Energy efficiency performance standard.</toc-entry>
<toc-entry idref="IDFCEC963B3FE34D7D8DC7AC598754C545" level="section">Sec. 707. Renewable portfolio standard.</toc-entry>
<toc-entry idref="id569328AE7F37466EA0CED9D1BC2132BF" level="section">Sec. 708. Standards to account for biological sequestration of
carbon.</toc-entry>
<toc-entry idref="id1750D54C13CB4A5990B7658078A199E9" level="section">Sec. 709. Global warming pollution reporting.</toc-entry>
<toc-entry idref="id6C3E931A164D4C5C9AED36463E09CB68" level="section">Sec. 710. National Academy of Sciences report.</toc-entry>
<toc-entry idref="id8BC635CA45444AC8991EFA5368AC21F5" level="section">Sec. 711. Additional authority to regulate emissions of global
warming pollutants.</toc-entry>
</toc>
<section id="idA7F27D95D4F9485C8A1848AC667A0F67"><enum>701.</enum><header>Definitions</header><text display-inline="no-display-inline">In this title:</text>
<paragraph id="id10B222FB7449433F99EAD078428EE10A"><enum>(1)</enum><header>Academy</header><text>The
term <term>Academy</term> means the National Academy of Sciences.</text>
</paragraph><paragraph commented="no" id="idB7DA6116AD7942129E44C71A84FAFA85"><enum>(2)</enum><header>Allowance</header><text>The
term <term>allowance</term> means an authorization by the Administrator to
emit—</text>
<subparagraph commented="no" id="id14B17C398F9F4FF9B55DA3996481F050"><enum>(A)</enum><text>1 metric ton of
carbon dioxide; or</text>
</subparagraph><subparagraph commented="no" id="idF64CE57B3F3C45749C91A4874B961F80"><enum>(B)</enum><text>in the case of a
global warming pollutant other than carbon dioxide, a carbon dioxide
equivalent.</text>
</subparagraph></paragraph><paragraph id="id1C18781D049845F680464365A6126A4E"><enum>(3)</enum><header>Carbon dioxide
equivalent</header><text>The term <term>carbon dioxide equivalent</term> means,
for each global warming pollutant, the quantity of the global warming pollutant
that makes the same contribution to global warming as 1 metric ton of carbon
dioxide, as determined by the Administrator.</text>
</paragraph><paragraph id="idB9FE5DD309AD4EACA58D243ADE9810CE"><enum>(4)</enum><header>Covered
entity</header><text>The term <term>covered entity</term> means any individual
or entity subject to the cap on emissions of global warming pollutants imposed
under section 703(a)(1), as determined by the Administrator.</text>
</paragraph><paragraph id="ID2d5a5f28a91749638dcf7dd6d27f7dda"><enum>(5)</enum><header>Facility</header><text>The
term <term>facility</term> means all buildings, structures, or installations
that are—</text>
<subparagraph id="id589C32456CA04C40BDEEE2CE26019B5A"><enum>(A)</enum><text>located on 1 or
more contiguous or adjacent properties under common control of the same
persons; and</text>
</subparagraph><subparagraph id="idB7F6EBA284D74A288C3F4B982109E2A2"><enum>(B)</enum><text>located in the
United States.</text>
</subparagraph></paragraph><paragraph id="id2ABCE4F3931849709E6FF1E68CAF2A5F"><enum>(6)</enum><header>Fund</header><text>The
term <term>Fund</term> means the Climate Reinvestment Fund established by
section 703(g)(1).</text>
</paragraph><paragraph id="idC17B1C9D822E4D809C074A4490157FD3"><enum>(7)</enum><header>Global warming
pollutant</header><text>The term <term>global warming pollutant</term> means
each of—</text>
<subparagraph id="id9D61EE8A0FD54463B856267F7CCAFDA8"><enum>(A)</enum><text>carbon
dioxide;</text>
</subparagraph><subparagraph id="id0D8A51E687E743039232290863E0C61C"><enum>(B)</enum><text>methane;</text>
</subparagraph><subparagraph id="id1673516A0FD94B4D94A4F420D7F955BF"><enum>(C)</enum><text>nitrous
oxide;</text>
</subparagraph><subparagraph id="idF7E693708FD84665960999B8B6ECF652"><enum>(D)</enum><text>hydrofluorocarbons;</text>
</subparagraph><subparagraph id="id269AD2B3B7E9471EA1A8B8B5DB9975C9"><enum>(E)</enum><text>perfluorocarbons;</text>
</subparagraph><subparagraph id="id689732713AE04BD19C4B98C89335CD71"><enum>(F)</enum><text>sulfur
hexafluoride; and</text>
</subparagraph><subparagraph id="IDd28a2b086dcd43c49126ab424d63a27b"><enum>(G)</enum><text>any other
anthropogenically-emitted gas that the Administrator, after notice and comment,
determines to contribute to global warming.</text>
</subparagraph></paragraph><paragraph id="id77024F69D1F44A1F9A9E4C38AA53C27B"><enum>(8)</enum><header>Global warming
pollution</header><text>The term <term>global warming pollution</term> means
any combination of 1 or more global warming pollutants emitted into the ambient
air or atmosphere.</text>
</paragraph><paragraph id="idA8F6590E55E545319CE195666BA53972"><enum>(9)</enum><header>Program</header><text>The
term <term>program</term> means the cap-and-trade program established by the
Administrator under section 703(a).</text>
</paragraph></section><section id="ID702ac58bbbb14618bc3d55c915c8e20c"><enum>702.</enum><header>Global warming
pollution emission reductions</header>
<subsection id="id5F55665DAA1B4228A54811A4E0F9CA32"><enum>(a)</enum><header>Goals</header>
<paragraph id="id35889938A67C48A3A87944C69B0C2D0A"><enum>(1)</enum><header>Emission
reduction goal</header><text>Congress declares that it shall be the goal of the
United States, acting in concert with other countries that emit global warming
pollutants, to achieve a reduction in global warming pollutant
emissions—</text>
<subparagraph id="id0799D6EA7B9B4FDE81A7272E65E9AD48"><enum>(A)</enum><text>to facilitate the
achievement of an average global atmospheric concentration of global warming
pollution that does not exceed 450 parts per million; and</text>
</subparagraph><subparagraph id="id6C61172955754639AE2B21B927F230AF"><enum>(B)</enum><text>beginning not
later than calendar year 2010, to reverse increases in global warming pollution
emissions so as to achieve, by not later than calendar year 2050, a 65-percent
reduction in global warming pollution emissions in the United States (as
compared to those global warming pollution emissions for calendar year
2000).</text>
</subparagraph></paragraph><paragraph id="idA2E4FBF54D4943968A5305E1A86A7725"><enum>(2)</enum><header>Additional
goal</header><text>In addition to the emission reduction goal described in
paragraph (1), Congress declares that, in implementing this title, it shall be
the goal of the United States—</text>
<subparagraph id="id3F4228D6F7DA455F9CFA0808CD06A7F3"><enum>(A)</enum><text>to maximize
public benefits and promote economic growth;</text>
</subparagraph><subparagraph id="ID1a7c848e515944569a3adc1a3d73e0f2"><enum>(B)</enum><text>to mitigate the
effect of any energy cost increases to consumers, particularly low-income
consumers;</text>
</subparagraph><subparagraph id="ID1eaa84306db1435f9e229321e406e27d"><enum>(C)</enum><text>to provide
equitable transition assistance to any employees and regions affected by a
transition away from the use of high carbon-emitting energy sources;</text>
</subparagraph><subparagraph id="ID1d82ca5b23fb4450a9c1c7f7a39a9522"><enum>(D)</enum><text>to encourage
research, development, and commercial deployment of innovative technologies for
avoiding, reducing, or sequestering emissions of global warming
pollutants;</text>
</subparagraph><subparagraph id="ID5d77b7da083141e8b31183276bc14136"><enum>(E)</enum><text>to encourage
reduced carbon emissions from, and enhanced sequestration of, carbon in the
forest and agricultural sectors;</text>
</subparagraph><subparagraph id="ID7458eef93fa146749e0598ea6ad10561"><enum>(F)</enum><text>to recognize and
reward early reductions of greenhouse gases; and</text>
</subparagraph><subparagraph id="ID0fa89fd27b7f4e3c8b421492c754ec01"><enum>(G)</enum><text>to support
activities, including providing support for State activities, to protect
against and mitigate the impacts of climate change, including—</text>
<clause id="idEE82B81AD7A8467DA95EF132DBCBACA8"><enum>(i)</enum><text>the depletion of
snowpack and water supplies;</text>
</clause><clause id="id56316ABE7BE3495FAB8788541DFBB67D"><enum>(ii)</enum><text>droughts;</text>
</clause><clause id="idC2B15BB7A0C64D708CA3D261E8359197"><enum>(iii)</enum><text>wildfires;</text>
</clause><clause id="idA0204BBC62084310899CA67ABD9E0A32"><enum>(iv)</enum><text>enhanced coastal
erosion;</text>
</clause><clause id="id106F9BB9F21147669B0EF8F994B14953"><enum>(v)</enum><text>increases in sea
levels;</text>
</clause><clause id="idA25C3BC034FD4D438A8F00F2D4B997FA"><enum>(vi)</enum><text>higher storm
surges;</text>
</clause><clause id="idBB15789DA7AA4D338904BE5B7EAA0288"><enum>(vii)</enum><text>more intense
precipitation events and hurricanes;</text>
</clause><clause id="idD906CD9245374009853EE36C895E2EAE"><enum>(viii)</enum><text>the spread of
disease;</text>
</clause><clause id="id0C5FE06932E7430F98657C2117886A62"><enum>(ix)</enum><text>damage to fish
and wildlife habitat;</text>
</clause><clause id="id40A66A9916BB47408106BB882F3B47D3"><enum>(x)</enum><text>negative
commercial effects (such as damage to the maple syrup and fishing industries);
and</text>
</clause><clause id="id6C0A0DA7741E4830AB4D551A0AF58231"><enum>(xi)</enum><text>agricultural and
forestry losses resulting from drought, disease, and insect
infestations.</text>
</clause></subparagraph></paragraph></subsection><subsection id="id39F22CD296F8412FB2DAC3A61D38EF46"><enum>(b)</enum><header>Regulations</header>
<paragraph id="id575C60AA837745128B9A76AB88725E40"><enum>(1)</enum><header>Emission
reduction targets</header><text>In order to achieve the goals described in
subsection (a), not later than 2 years after the date of enactment of this
title, the Administrator shall promulgate any regulations that are necessary to
reduce the aggregate net level of global warming pollution emissions of the
United States—</text>
<subparagraph id="id3DDA334B6FDA44B4B39087496988E426"><enum>(A)</enum><text>by calendar year
2020, through appropriate measures taken during the period of calendar years
2010 through 2019, to the aggregate net level of global warming pollution
emissions of the United States for calendar year 1990;</text>
</subparagraph><subparagraph id="id6F8A5EDEF2A6411CB366CD7AF7566A31"><enum>(B)</enum><text>for each of
calendar years 2021 through 2030, by at least an additional 2.5 percent below
the level achieved for the preceding calendar year in accordance with this
paragraph; and</text>
</subparagraph><subparagraph id="id0513A4C6ABBC4161BE16E1C6FCE591C8"><enum>(C)</enum><text>for each of
calendar years 2031 through 2050, by at least an additional 3.5 percent below
the level achieved for the preceding calendar year in accordance with this
paragraph.</text>
</subparagraph></paragraph><paragraph id="ID100921539a6b44c8925da90ca9c59cc4"><enum>(2)</enum><header>Additional
regulations</header><text>The regulations promulgated under this subsection may
include—</text>
<subparagraph id="id9DEB3AFCF00B4617990EE6F72F4F2D5B"><enum>(A)</enum><text>requirements to
reduce emissions of greenhouse gases from any source or sector, regardless of
whether the source or sector is described in section 703(b)(1);</text>
</subparagraph><subparagraph id="idC2F82E5519EF49359BA1DE06CE52336B"><enum>(B)</enum><text>emissions
performance standards;</text>
</subparagraph><subparagraph id="idD6C6E21037C44ECC84AFB72E6D861733"><enum>(C)</enum><text>efficiency
performance standards;</text>
</subparagraph><subparagraph id="idEFC3EFF423554CE98316E69299F778D7"><enum>(D)</enum><text>best management
practices;</text>
</subparagraph><subparagraph id="idE0F1D98301404AE8A599CA36B17DD69B"><enum>(E)</enum><text>technology-based
requirements; and</text>
</subparagraph><subparagraph id="idBECCE1CCDDFD415ABDC993FA0B1E97F6"><enum>(F)</enum><text>such other
requirements as the Administrator determines to be appropriate.</text>
</subparagraph></paragraph></subsection></section><section id="idAF779824DD32406C802027789AAB9A81"><enum>703.</enum><header>Market-based
cap on emissions</header>
<subsection id="ID87618b0bc57342a5a3b31e5aee5866be"><enum>(a)</enum><header>In
general</header><text>In carrying out section 702, the Administrator shall
establish a program that—</text>
<paragraph id="ID99304f8632014286956a55555fa898d8"><enum>(1)</enum><text>imposes a cap on
the emissions of global warming pollutants from sources and sectors described
in subsection (b)(1); and</text>
</paragraph><paragraph id="IDf54740f1da104cdba63df835b7ec46ed"><enum>(2)</enum><text>allows trading of
allowances among covered entities.</text>
</paragraph></subsection><subsection id="IDb0bf348bb36943ed90e24e4c61419b73"><enum>(b)</enum><header>Scope</header><text>The
program established under subsection (a) shall—</text>
<paragraph id="IDbf38c4970a0d468d9785d20962df09ef"><enum>(1)</enum><text>apply the cap
required by subsection (a)(1) to the sources or sectors of the United States
economy with—</text>
<subparagraph id="IDe86fbeef26394e0982c2102e2a777475"><enum>(A)</enum><text>the greatest
global warming pollutant emissions;</text>
</subparagraph><subparagraph id="IDb014deb67b4842ffa0d8cfd77fd521d0"><enum>(B)</enum><text>the most
cost-effective opportunities to reduce global warming pollutant emissions;
or</text>
</subparagraph><subparagraph id="ID1208625c558c4622917fcdfc0906e694"><enum>(C)</enum><text>other
characteristics that the Administrator determines make the source or sector
appropriate for inclusion in the program; and</text>
</subparagraph></paragraph><paragraph id="ID2c8a7bd3127241649b8a71efc0dd2293"><enum>(2)</enum><text>cover a
sufficient proportion of total United States emissions of global warming
pollutants, such that, in combination with other measures adopted under this
title, and under the Global Warming Reduction Act of 2007 and the amendments
made by that Act, the program will ensure, to the maximum extent practicable,
that the aggregate United States emissions of global warming pollutants will
not exceed the emission reduction targets promulgated pursuant to section
702(b)(1).</text>
</paragraph></subsection><subsection id="IDf345132d412447eca4c1cc640befcff8"><enum>(c)</enum><header>Allowances</header>
<paragraph id="ID5eff2f1170dc4371851e783077a9d3ab"><enum>(1)</enum><header>Issuance</header>
<subparagraph id="id1C9B59946129441AA51E3529F1F46F27"><enum>(A)</enum><header>In
general</header><text>The regulations promulgated under section 702(b) shall
provide for the Administrator to issue, for each calendar year, a quantity of
allowances equal to the aggregate emissions allowed under the cap imposed under
subsection (a)(1) for the calendar year.</text>
</subparagraph><subparagraph id="id8A43AD5DBA7446B2995D6074027B257B"><enum>(B)</enum><header>Treatment as
property</header><text>An allowance issued under subparagraph (A) shall not
constitute a property right.</text>
</subparagraph><subparagraph id="idDC70B400EBCD473C8742B83F04894313"><enum>(C)</enum><header>No effect on
authority</header><text>Nothing in this title or any other provision of law
limits or otherwise affects the authority of the United States to terminate or
limit an allowance issued under subparagraph (A).</text>
</subparagraph></paragraph><paragraph id="ID2bcf71b3799e4c67b095b8cd57f7c7ab"><enum>(2)</enum><header>Trading</header><text>An
allowance issued under this subsection may be held and traded by any
person.</text>
</paragraph><paragraph id="ID22a2fd0f8d00441e848848db0690471d"><enum>(3)</enum><header>Flexibility</header><text>An
allowance issued under this subsection may be—</text>
<subparagraph id="idCB7FD1360DA7422E955B7E0E9F03CD5D"><enum>(A)</enum><text>used for the
calendar year in which the allowance was issued; or</text>
</subparagraph><subparagraph id="id8A529BFA31054ADA9847EE0A161EF204"><enum>(B)</enum><text>banked for use in
a calendar year subsequent to the calendar year of issuance.</text>
</subparagraph></paragraph></subsection><subsection id="IDd0b1b100f6dd49e2a5b3216f985c8442"><enum>(d)</enum><header>Distribution of
Allowances</header>
<paragraph id="IDc1c61927157a4539a4ec3c0a11334238"><enum>(1)</enum><header>Submission of
plan by President</header>
<subparagraph id="ID2f98da67d4ec4bf3b8f2fa36d32ad1cf"><enum>(A)</enum><header>In
general</header><text>Not later than 1 year after the date of enactment of this
title, the President, in consultation with the Administrator and heads of other
appropriate Federal agencies, shall develop and submit to Congress a
plan—</text>
<clause id="IDaf1cbbacc8654f78a5b4ab5def2aeb7e"><enum>(i)</enum><text>to distribute the
allowances issued under this section through—</text>
<subclause id="id78A9BE1E71BE430C96DA8005F739FB52"><enum>(I)</enum><text>auctions;
and</text>
</subclause><subclause id="idAF530BCB21754282855F614D1DF7D850"><enum>(II)</enum><text>at the
discretion of the President and subject to subparagraph (B)(iii), allocations
without charge to covered entities or entities that are not covered by the cap
imposed under subsection (a)(1);</text>
</subclause></clause><clause id="ID1578334f26ac4abb988e354f59a7d1fb"><enum>(ii)</enum><text>to deposit the
proceeds of those auctions in the Fund; and</text>
</clause><clause id="IDc80ef42978dc4acc8af61c5eec82b685"><enum>(iii)</enum><text>to ensure, to
the maximum extent practicable, that those allowances are distributed, and
those proceeds are used, in a manner consistent with achieving the goals
described in section 702(a).</text>
</clause></subparagraph><subparagraph id="ID8cadac2ae5244fbcb13cd648664ce533"><enum>(B)</enum><header>Contents</header><text>The
plan submitted under subparagraph (A) shall—</text>
<clause id="IDed53760fc19c4b588070974042cec1a0"><enum>(i)</enum><text>identify each
Federal department or agency responsible for implementing each action
required;</text>
</clause><clause id="IDd17b0c6e0cc04bea9dbb3df90ebe0a3b"><enum>(ii)</enum><text>require that
allowances be distributed not later than January 1, 2010, for calendar year
2010; and</text>
</clause><clause id="ID34cbaef3be2748cd81ded45aa850b466"><enum>(iii)</enum><text>in no case
allow any distribution of allowances without charge, resulting in the creation
of windfall profits for covered entities.</text>
</clause></subparagraph></paragraph><paragraph id="IDfa440ef3841a4967ad30b0987263e9c3"><enum>(2)</enum><header>Plan
implementation</header><text>If, after the 1-year period beginning on the date
of submission of the plan under paragraph (1)(A), Congress has not enacted a
law that implements the plan (or an alternative to the plan), the Administrator
and the head of each Federal department or agency identified in paragraph
(1)(B)(i) shall implement the actions identified in the plan.</text>
</paragraph></subsection><subsection id="ID17606bbdde684093beeebf02455582de"><enum>(e)</enum><header>Monitoring</header><text>The
Administrator shall ensure, to the maximum extent practicable, that—</text>
<paragraph id="idCB4A22ACFBB94BF3BA1F25C9342F17B7"><enum>(1)</enum><text>the emissions of
global warming pollutants and the use of allowances issued under this section
are accurately tracked, reported, and verified; and</text>
</paragraph><paragraph id="id0AA5604DB0C7439683109977FF2695E8"><enum>(2)</enum><text>the cap-and-trade
system established pursuant to this section is robust and enforceable.</text>
</paragraph></subsection><subsection id="ID722072734c5d449494cb8931fda54a1b"><enum>(f)</enum><header>Enforcement</header>
<paragraph id="ID67f09fcc37ac46c3b8248ab61b2bad27"><enum>(1)</enum><header>In
general</header><text>In the case of excess emissions of global warming
pollutants under this section by an covered entity during any calendar year,
the regulations promulgated under section 702(b) shall require the covered
entity—</text>
<subparagraph id="ID0eb3e94125e848dab65effbe40c38392"><enum>(A)</enum><text>to submit
allowances for the emissions during the following calendar year; and</text>
</subparagraph><subparagraph id="ID654bfb767c0c45f684354b7e940f1991"><enum>(B)</enum><text>to pay a civil
penalty in an amount determined under paragraph (2).</text>
</subparagraph></paragraph><paragraph id="ID52b164cc49f44caab17153b807078c8c"><enum>(2)</enum><header>Amount of civil
penalty</header>
<subparagraph id="id296B2A5253E942269FE0A6024CE4AD0F"><enum>(A)</enum><header>In
general</header><text>The amount of a civil penalty for each quantity of excess
emissions of global warming pollutants constituting 1 carbon dioxide equivalent
shall be an amount equal to twice the market price for an allowance as of
December 31 of the calendar year in which the excess emissions occurred.</text>
</subparagraph><subparagraph id="id53E87FFCA8CA4C6694E965A1342E5B85"><enum>(B)</enum><header>Determination
of market price</header><text>The Administrator shall, by regulation, establish
a method of determining the market price of allowances for the purpose of
subparagraph (A).</text>
</subparagraph></paragraph><paragraph id="ID1e87ef8e36b5494b9d0a228ee8f430d4"><enum>(3)</enum><header>No demand
required</header><text>A civil penalty under this subsection shall be due and
payable to the Administrator without demand.</text>
</paragraph><paragraph id="id49EA93468B704E7AB6F2D5571674D4A9"><enum>(4)</enum><header>Deposit and use
of amounts</header><text>A civil penalty paid to the Administrator under this
subsection shall be—</text>
<subparagraph id="id90E677BD7AF649E3ACF6A5FB3210D537"><enum>(A)</enum><text>deposited in the
Fund; and</text>
</subparagraph><subparagraph id="id6BB93B5FEF46446F9EA121503AF869D4"><enum>(B)</enum><text>available for use
by the President, in accordance with subsection (g), without further
appropriation.</text>
</subparagraph></paragraph></subsection><subsection id="ID234c1a3ba119453d8e6da041d569612b"><enum>(g)</enum><header>Climate
Reinvestment Fund</header>
<paragraph id="IDf11c0bda764b41e9be9f006a533f4bb5"><enum>(1)</enum><header>Establishment</header><text>There
is established in the Treasury of the United States a fund, to be known as the
<quote>Climate Reinvestment Fund</quote>, consisting of—</text>
<subparagraph id="id0B0B5B95A8B1405CB2DC93ED32BD6EE2"><enum>(A)</enum><text>amounts collected
pursuant to auctions of allowances issued under this section;</text>
</subparagraph><subparagraph id="id84A48BAFA284407CA578ECE70BDF7679"><enum>(B)</enum><text>amounts received
as civil penalties and deposited in the Fund under subsection (f)(4)(A);
and</text>
</subparagraph><subparagraph id="id1BD62A85E8484F79989D3442C6E78273"><enum>(C)</enum><text>any interest
earned on investment of amounts in the Fund under paragraph (3).</text>
</subparagraph></paragraph><paragraph id="IDd597e62c9b704ab78be705d6c0792b03"><enum>(2)</enum><header>Expenditures
from Fund</header><text>On request by the President, the Secretary of the
Treasury shall transfer from the Fund to the President such amounts as the
President determines to be necessary to carry out projects and activities to
achieve the goals described in section 702(a).</text>
</paragraph><paragraph id="ID5603607AF5D94AF4BC15A9D3321A0821"><enum>(3)</enum><header>Investment of
amounts</header>
<subparagraph id="IDB41A9725093D45BAABBED0F22225BDF4"><enum>(A)</enum><header>In
general</header><text>The Secretary of the Treasury shall invest such portion
of the Fund as is not, in the judgment of the Secretary of the Treasury,
required to meet current withdrawals.</text>
</subparagraph><subparagraph id="id6511CF2C0E1C45378F26AC70920DBAAF"><enum>(B)</enum><header>Interest-bearing
obligations</header><text>Investments may be made only in interest-bearing
obligations of the United States.</text>
</subparagraph><subparagraph id="ID64BE379517894186B89A1201FBFD944E"><enum>(C)</enum><header>Acquisition of
obligations</header><text>For the purpose of investments under subparagraph
(A), obligations may be acquired—</text>
<clause id="ID2FBB30C1FE744A27BAD9FAB522B3731C"><enum>(i)</enum><text>on original issue
at the issue price; or</text>
</clause><clause id="ID119C636409D948D786ECA703681825D8"><enum>(ii)</enum><text>by purchase of
outstanding obligations at the market price.</text>
</clause></subparagraph><subparagraph id="ID41DB13A27611478D8A6149DA3B5D78BE"><enum>(D)</enum><header>Sale of
obligations</header><text>Any obligation acquired by the Fund may be sold by
the Secretary of the Treasury at the market price.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID484E65079F0D4D97AAD686B9EEE029C8"><enum>(E)</enum><header>Credits to
Fund</header><text>The interest on, and the proceeds from the sale or
redemption of, any obligations held in the Fund shall be credited to, and form
a part of, the Fund.</text>
</subparagraph></paragraph><paragraph id="ID31bc73e0407841daad28cf9e7db524de"><enum>(4)</enum><header>Funding</header><text>For
each fiscal year, there are appropriated to the Fund, to remain available until
expended, an amount equal to the sum of, with respect to the preceding fiscal
year—</text>
<subparagraph id="ID5aba4bd0a3984653b088107a032cfbed"><enum>(A)</enum><text>amounts collected
pursuant to auctions of allowances issued under this section; and</text>
</subparagraph><subparagraph id="ID28caaa69dceb451ea1bb257b1f3f3aa2"><enum>(B)</enum><text>the amount of
civil penalties deposited in the Fund under subsection (f)(4)(A).</text>
</subparagraph></paragraph></subsection></section><section id="id77DA7863AE0A4F37BC2A0D7206E51FFA"><enum>704.</enum><header>Global warming
pollution emission standards for passenger vehicles</header>
<subsection id="idF9534DB20B76440DB2AE776872BD2B23"><enum>(a)</enum><header>Definition of
passenger vehicle</header><text>In this section, the term <quote>passenger
vehicle</quote> means—</text>
<paragraph id="idBC069CA9A7DA45BDAC2300412A809B87"><enum>(1)</enum><text>a passenger
automobile (as that term is defined in section 32901 of title 49, United States
Code);</text>
</paragraph><paragraph id="idF3FD76D131904CD390149D52E35E6DEC"><enum>(2)</enum><text>a light truck;
and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idB003AFEA847E429BB9F423F01C0B41D9"><enum>(3)</enum><text>any other vehicle
that the Administrator determines is a vehicle the primary use of which is
noncommercial personal transportation.</text>
</paragraph></subsection><subsection id="ID29b66bc7c44d4804aff3a7dd671c042a"><enum>(b)</enum><header>Standards</header>
<paragraph id="id325EDB5780B948D1B061AFE07BA07D6A"><enum>(1)</enum><header>In
general</header><text>In carrying out section 702(b), the Administrator shall
promulgate regulations that establish standards for global warming pollution
emissions from passenger vehicles.</text>
</paragraph><paragraph id="idA5DD7064795C4EE4BCB649A5CF0F5976"><enum>(2)</enum><header>Requirements</header><text>The
standards established under paragraph (1) shall provide for the reduction of
global warming pollution emissions from passenger vehicles, on an
average-vehicle basis, at a rate and in quantities that are equal to or greater
than the rate and quantity reductions in those emissions achieved under
standards adopted by the California Air Resources Board at the September 23–24,
2004 hearing of that Board (California Code of Regulations, title 13, sec.
1961.1).</text>
</paragraph><paragraph id="IDfbc4a25e9fb948e78ec6d4e2ada78335"><enum>(3)</enum><header>Revisions</header><text>Not
later than January 1, 2014, and every 5 years thereafter, the Administrator
shall promulgate regulations revising the standards described in paragraph (1)
to further reduce global warming pollution emissions from passenger vehicles,
taking into account—</text>
<subparagraph id="id68775AC13CCB4F94A3A98AD2AC66B815"><enum>(A)</enum><text>the reductions
necessary to achieve the emission reduction targets promulgated pursuant to
section 702(b)(1); and</text>
</subparagraph><subparagraph id="id1A9EF289A3A7446C98BD2E16101F4452"><enum>(B)</enum><text>the technological
feasibility of further reducing those emissions.</text>
</subparagraph></paragraph></subsection></section><section id="id7957724D301C41AEB28E1AA67A76AE75"><enum>705.</enum><header>Research and
development</header>
<subsection id="ID317ccda39b6a48d3809492f410bc4206"><enum>(a)</enum><header>In
general</header><text>The Administrator shall carry out a program to perform
and support research on global climate change standards and processes, with the
goals of providing scientific and technical knowledge applicable to the
reduction of global warming pollutants.</text>
</subsection><subsection id="IDa4ec4b8c10b6487ba226d8442c5ee8e4"><enum>(b)</enum><header>Research
program</header>
<paragraph id="IDf14a9224b54d41359cab462263b2391e"><enum>(1)</enum><header>In
general</header><text>The Administrator shall carry out, directly or through
the use of contracts or grants, a global climate change standards and processes
research program.</text>
</paragraph><paragraph id="IDa7cdbcfa30ac453e8ed71df315e36c85"><enum>(2)</enum><header>Research</header>
<subparagraph id="idE2E9FE85A7D6430A8E37FE985DFF294C"><enum>(A)</enum><header>Contents and
priorities</header><text>The specific contents and priorities of the research
program shall be determined in consultation with appropriate Federal agencies,
including—</text>
<clause id="idB4DFCC1A637A4580A995FB591F13D937"><enum>(i)</enum><text>the National
Oceanic and Atmospheric Administration;</text>
</clause><clause id="idA69DEB45AF8A489796DB23B57523A725"><enum>(ii)</enum><text>the National
Aeronautics and Space Administration; and</text>
</clause><clause id="id392B89A32EE34A8D8E9133EF40291CC1"><enum>(iii)</enum><text>the Department
of Energy.</text>
</clause></subparagraph><subparagraph id="id30F5182F3BD24C0CAEE4ACCD82206A37"><enum>(B)</enum><header>Types of
research</header><text>The research program shall include the conduct of basic
and applied research—</text>
<clause id="ID95a08c3a815e42c4b4904e35453ad2b0"><enum>(i)</enum><text>to develop and
provide the enhanced measurements, calibrations, data, models, and reference
material standards necessary to enable the monitoring of global warming
pollution;</text>
</clause><clause id="IDb17d05ccd0924cd5a5a38e654808f172"><enum>(ii)</enum><text>to assist in
establishing a baseline reference point for future trading in global warming
pollutants (including the measurement of progress in emission
reductions);</text>
</clause><clause id="ID5446f6dd01724a1384b4a1ff9735eab9"><enum>(iii)</enum><text>for
international exchange as scientific or technical information for the stated
purpose of developing mutually-recognized measurements, standards, and
procedures for reducing global warming pollution;</text>
</clause><clause id="ID676b1e94ab5f4379aa9f0ac6d6ea8168"><enum>(iv)</enum><text>to assist in
developing improved industrial processes designed to reduce or eliminate global
warming pollution; and</text>
</clause><clause id="id3BBD3958F2EA4E88BDFB2AAA92DA659C"><enum>(v)</enum><text>to assist in
understanding the acidification of the oceans and the ways in which that
process affects ocean ecosystems and fisheries of the United States.</text>
</clause></subparagraph></paragraph><paragraph id="ID2e31939ff7d2445bb3c083c82bb8c91f"><enum>(3)</enum><header>Abrupt climate
change research</header>
<subparagraph id="id3E6C1B46BF2145BAA56FEA5F344F3E15"><enum>(A)</enum><header>Definition of
abrupt climate change</header><text>In this paragraph, the term <term>abrupt
climate change</term> means a change in climate that occurs so rapidly or
unexpectedly that humans or natural systems may have difficulty adapting to the
change.</text>
</subparagraph><subparagraph id="id43D5A2A8FB4041C2AB8D6BF9C67AB12B"><enum>(B)</enum><header>Research</header><text>The
Administrator shall carry out a program of scientific research on potential
abrupt climate change that is designed—</text>
<clause id="ID01555fe899d04700aac409d3713e6057"><enum>(i)</enum><text>to develop a
global array of terrestrial and oceanographic indicators of paleoclimate in
order to identify and describe past instances of abrupt climate change;</text>
</clause><clause id="ID6b0201ccad91443ba36bfaba41b085fd"><enum>(ii)</enum><text>to improve
understanding of thresholds and nonlinearities in geophysical systems relating
to the mechanisms of abrupt climate change;</text>
</clause><clause id="IDe43ea64a88e84d79a34d600ff58b6247"><enum>(iii)</enum><text>to incorporate
those mechanisms into advanced geophysical models of climate change; and</text>
</clause><clause id="IDaf4b0e52e0cd4f2c83903d789c412b29"><enum>(iv)</enum><text>to test the
output of those models against an improved global array of records of past
abrupt climate changes.</text>
</clause></subparagraph></paragraph></subsection><subsection id="idEAA53D760EEF488AB9CF28129B730ED8"><enum>(c)</enum><header>Sense of the
Senate</header><text>It is the sense of the Senate that Federal funds for
clean, low-carbon energy research, development, and deployment should be
increased by at least 100 percent for each year during the 10-year period
beginning on the date of enactment of this title.</text>
</subsection></section><section id="id1D1CC3435F3940B9850FBFA002D32AC9"><enum>706.</enum><header>Energy
efficiency performance standard</header>
<subsection id="id16138240B57B4D64B69015D25928264A"><enum>(a)</enum><header>Definitions</header><text>In
this section:</text>
<paragraph id="id5CBE3425A4ED48B18C00DC7D79B65DFC"><enum>(1)</enum><header>Electricity
savings</header>
<subparagraph id="id243CAD1722D94FFCB827227AA6C06747"><enum>(A)</enum><header>In
general</header><text>The term <term>electricity savings</term> means
reductions in end-use electricity consumption relative to consumption by the
same customer or at the same new or existing facility in a given year, as
defined in regulations promulgated by the Administrator under subsection
(e).</text>
</subparagraph><subparagraph id="IDaa8ffb3e3d0e4c72b7c6c257a7f935dc"><enum>(B)</enum><header>Inclusions</header><text>The
term <term>savings</term> includes savings achieved as a result of—</text>
<clause id="IDd9c4e9703d204560a1019dbee0e1ea8c"><enum>(i)</enum><text>installation of
energy-saving technologies and devices; and</text>
</clause><clause id="IDf9252701fdf14aa993c3736acd6652a4"><enum>(ii)</enum><text>the use of
combined heat and power systems, fuel cells, or any other technology identified
by the Administrator that recaptures or generates energy solely for onsite
customer use.</text>
</clause></subparagraph><subparagraph id="id9BCF95C6B3F64869AFCD723EFB72DCDE"><enum>(C)</enum><header>Exclusion</header><text>The
term <term>savings</term> does not include savings from measures that would
likely be adopted in the absence of energy-efficiency programs, as determined
by the Administrator.</text>
</subparagraph></paragraph><paragraph id="IDafe590fee11a4804ac909290a1df36fe"><enum>(2)</enum><header>Retail
electricity sales</header><text>The term <term>retail electricity sales</term>
means the total quantity of electric energy sold by a retail electricity
supplier to retail customers during the most recent calendar year for which
that information is available.</text>
</paragraph><paragraph id="IDfd4081506c31482794f2bb0ba10d7cd3"><enum>(3)</enum><header>Retail
electricity supplier</header><text>The term <term>retail electricity
supplier</term> means a distribution or integrated utility, or an independent
company or entity, that sells electric energy to consumers.</text>
</paragraph></subsection><subsection id="IDdacbd1876a6042d3b0d86a3ac3e523d4"><enum>(b)</enum><header>Energy
efficiency performance standard</header><text>Each retail electricity supplier
shall implement programs and measures to achieve improvements in energy
efficiency and peak load reduction, as verified by the Administrator.</text>
</subsection><subsection id="IDcaa87bc20c9242218f18b1fb7845ee99"><enum>(c)</enum><header>Targets</header><text>For
calendar year 2009 and each calendar year thereafter, the Administrator shall
ensure, to the maximum extent practicable, that retail electric suppliers
annually achieve electricity savings and reduce peak power demand and
electricity use by retail customers by a percentage that is not less than the
applicable target percentage specified in the following table:</text>
<table align-to-level="section" blank-lines-before="1" frame="topbot" line-rules="hor-ver" rule-weights="4.4.4.4.0.0" subformat="S6211" table-type="3-Generic:-3-text,-even-cols">
<tgroup cols="3" grid-typeface="1.1" thead-tbody-ldg-size="10.10.10" ttitle-size="0"><colspec align="left" coldef="txt" colname="col1" colsep="1" colwidth="155" min-data-value="100" rowsep="0"></colspec><colspec align="left" coldef="txt" colname="col2" colsep="1" colwidth="155" min-data-value="100" rowsep="0"></colspec><colspec align="left" coldef="txt" colname="col3" colsep="1" colwidth="155" min-data-value="100" rowsep="0"></colspec>
<thead>
<row><entry align="center" colname="col1" rowsep="1">Calendar
Year</entry><entry align="center" colname="col2" rowsep="1">Reduction in peak
demand</entry><entry align="center" colname="col3" rowsep="1">Reduction in
electricity use</entry>
</row>
</thead>
<tbody>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2009</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">.25
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">.25 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2010</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">.75 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2011</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">1.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">1.5 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2012</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">2.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">2.25 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2013</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">3.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">3.0 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2014</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">4.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">3.75 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2015</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">5.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">4.5 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2016</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">6.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">5.25 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2017</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">7.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">6.0 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2018</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">8.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">6.75 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2019</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">9.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">7.5 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2020</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">10.75
percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">8.25 percent</entry>
</row>
<row><entry align="left" colname="col1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2021 and each calendar
year thereafter</entry><entry align="left" colname="col2" leader-modify="force-ldr" rowsep="0">11.75 percent</entry><entry align="left" colname="col3" leader-modify="clr-ldr" rowsep="0">9.0 percent</entry>
</row>
</tbody>
</tgroup>
</table>
</subsection><subsection id="IDd1db59bed1e644b6880c18f7efa0423c"><enum>(d)</enum><header>Beginning
date</header><text>For the purpose of meeting the targets established under
subsection (c), electricity savings shall be calculated based on the sum
of—</text>
<paragraph id="id4B8C7B08B54B4F15AEBFA3BC54246EB4"><enum>(1)</enum><text>savings realized
as a result of actions taken by the retail electric supplier during the
specified calendar year; and</text>
</paragraph><paragraph id="id903AB6A8B9F74BCF9E9E2AA7A643A370"><enum>(2)</enum><text>cumulative
savings realized as a result of electricity savings achieved in all previous
calendar years (beginning with calendar year 2007).</text>
</paragraph></subsection><subsection id="IDee4b6a60d5a345e28939a825937376fd"><enum>(e)</enum><header>Implementing
regulations</header>
<paragraph id="idF0E8DEEB125B48AF990F6BE75299C71C"><enum>(1)</enum><header>In
general</header><text>Not later than 1 year after the date of enactment of this
title, the Administrator shall promulgate regulations to implement the targets
established under subsection (c).</text>
</paragraph><paragraph id="id07DFAC2AC1964954B8A4E385C643DFBF"><enum>(2)</enum><header>Requirements</header><text>The
regulations shall establish—</text>
<subparagraph id="IDa1177710b3984c74a7e408ff82f1f044"><enum>(A)</enum><text>a national credit
system permitting credits to be awarded, bought, sold, or traded by and among
retail electricity suppliers;</text>
</subparagraph><subparagraph id="ID7a029c846d8d400cb1d53248b0b65cf0"><enum>(B)</enum><text>a fee equivalent
to not less than 4 cents per kilowatt hour for retail energy suppliers that do
not meet the targets established under subsection (c); and</text>
</subparagraph><subparagraph id="ID2758bb75730f4d0ca7d7913c1bf8fa87"><enum>(C)</enum><text>standards for
monitoring and verification of electricity use and demand savings reported by
the retail electricity suppliers.</text>
</subparagraph></paragraph><paragraph id="id769267ABB1EB48578A83C685BB9E453A"><enum>(3)</enum><header>Consideration
of transmission and distribution efficiency</header><text>In developing
regulations under this subsection, the Administrator shall consider whether
savings, in whole or part, achieved by retail electricity suppliers by
improving the efficiency of electric distribution and use should be eligible
for credits established under this section.</text>
</paragraph></subsection><subsection id="ID92ab7fc8730749cc9beaf51e378d51b5"><enum>(f)</enum><header>Compliance with
State law</header><text>Nothing in this section shall supersede or otherwise
affect any State or local law requiring or otherwise relating to reductions in
total annual electricity consumption, or peak power consumption, by electric
consumers to the extent that the State or local law requires more stringent
reductions than those required under this section.</text>
</subsection><subsection id="id7C9025CAC94442F687A20A0D55EAD0A3"><enum>(g)</enum><header>Voluntary
participation</header><text>The Administrator may—</text>
<paragraph id="id6C0CC080B56F42F18872D8081D2623E4"><enum>(1)</enum><text>pursuant to the
regulations promulgated under subsection (e)(1), issue a credit to any entity
that is not a retail electric supplier if the entity implements electricity
savings; and</text>
</paragraph><paragraph id="id856B967209EF4602868F61CA05BF1FBA"><enum>(2)</enum><text>in a case in
which an entity described in paragraph (1) is a nonprofit or educational
organization, provide to the entity 1 or more grants in lieu of a
credit.</text>
</paragraph></subsection></section><section id="IDFCEC963B3FE34D7D8DC7AC598754C545"><enum>707.</enum><header>Renewable
portfolio standard</header>
<subsection id="ID1697de44d0f94e85937e89f448ab67f7"><enum>(a)</enum><header>Renewable
energy</header>
<paragraph id="id466F8AA0485749A7977721D3F4E20B3A"><enum>(1)</enum><header>In
general</header><text>The Administrator, in consultation with the Secretary of
Energy, shall promulgate regulations defining the types and sources of
renewable energy generation that may be carried out in accordance with this
section.</text>
</paragraph><paragraph id="IDe424267d1bea47c39fa5c24693379faa"><enum>(2)</enum><header>Inclusions</header><text>In
promulgating regulations under paragraph (1), the Administrator shall include
of all types of renewable energy (as defined in section 203(b) of the Energy
Policy Act of 2005 (42 U.S.C. 15852(b))) other than energy generated
from—</text>
<subparagraph id="id602438F09612435F84B5345B0C1EC7A3"><enum>(A)</enum><text>municipal solid
waste;</text>
</subparagraph><subparagraph id="id3C06345448254FED9E59C057A5B99C4D"><enum>(B)</enum><text>wood contaminated
with plastics or metals; or</text>
</subparagraph><subparagraph id="id0E31DFC9C07F4DD7BA7E5C1840792A87"><enum>(C)</enum><text>tires.</text>
</subparagraph></paragraph></subsection><subsection id="IDcea26cd32eee4276a9b725f37dc1748c"><enum>(b)</enum><header>Renewable
energy requirement</header><text>Of the base quantity of electricity sold by
each retail electric supplier to electric consumers during a calendar year, the
quantity generated by renewable energy sources shall be not less than the
following percentages:</text>
<table align-to-level="section" blank-lines-before="1" frame="none" line-rules="no-gen" rule-weights="0.0.0.4.0.0" subformat="S6211" table-type="subformat-2-Flush/hang:-1-text,-1-num,-bold-hds">
<tgroup cols="2"><colspec coldef="txt" colname="col1" colsep="0" colwidth="275" min-data-value="0"></colspec><colspec coldef="txt" colname="col2" colsep="0" colwidth="100" min-data-value="0"></colspec>
<thead>
<row><entry align="left" colname="I49" rowsep="0"><bold>Calendar
year:</bold></entry><entry align="right" colname="I50" rowsep="0"><bold>Minimum
annual percentage:</bold></entry>
</row>
</thead>
<tbody>
<row><entry align="left" colname="I15" rowsep="0" stub-definition="txt-ldr">2009 through 2010</entry><entry align="right" colname="I07" rowsep="0">5</entry>
</row>
<row><entry align="left" colname="I15" rowsep="0" stub-definition="txt-ldr">2011 through 2015</entry><entry align="right" colname="I07" rowsep="0">10</entry>
</row>
<row><entry align="left" colname="I15" rowsep="0" stub-definition="txt-ldr">2016 through 2020</entry><entry align="right" colname="I07" rowsep="0">15</entry>
</row>
<row><entry align="left" colname="I15" rowsep="0" stub-definition="txt-ldr">2021 and subsequent years</entry><entry align="right" colname="I07" rowsep="0">20.</entry>
</row>
</tbody>
</tgroup>
</table>
</subsection><subsection id="ID510A3F7EEA11434BAEFDCF94C21B4F3E"><enum>(c)</enum><header>Renewable
energy credit program</header><text>Not later than 1 year after the date of
enactment of this title, the Administrator shall establish—</text>
<paragraph id="id9002560FD3A44DD591EA85A8F757B47C"><enum>(1)</enum><text>a program to
issue, establish the value of, monitor the sale or exchange of, and track
renewable energy credits; and</text>
</paragraph><paragraph id="id3F6EA5747156486888AC58FE7A8CA87A"><enum>(2)</enum><text>penalties for any
retail electric supplier that does not comply with this section.</text>
</paragraph></subsection><subsection id="ID410854136267498097EB1C9AE08544D9"><enum>(d)</enum><header>Prohibition on
double counting</header><text>A renewable energy credit issued under subsection
(c)—</text>
<paragraph id="id093C65DA3C454B4682B273A359650543"><enum>(1)</enum><text>may be counted
toward meeting the requirements of subsection (b) only once; and</text>
</paragraph><paragraph id="id1ECF994978B34C89BD26E773D4648DA8"><enum>(2)</enum><text>shall vest with
the owner of the system or facility that generates the renewable energy that is
covered by the renewable energy credit, unless the owner explicitly transfers
the renewable energy credit.</text>
</paragraph></subsection><subsection id="ID19E1C9C7AA364BFE9978FAB8E2A8BA27"><enum>(e)</enum><header>Sale under
purpa contract</header><text>If the Administrator, after consultation with the
Secretary of Energy, determines that a renewable energy generator is selling
electricity to comply with this section to a retail electric supplier under a
contract subject to section 210 of the Public Utilities Regulatory Policies Act
of 1978 (16 U.S.C. 824a–3), the retail electric supplier shall be treated as
the generator of the electric energy for the purposes of this title for the
duration of the contract.</text>
</subsection><subsection id="ID6C0C45213A73487DAD66D1D3958F7A65"><enum>(f)</enum><header>State
programs</header><text>Nothing in this section precludes any State from
requiring additional renewable energy generation under any State renewable
energy program.</text>
</subsection><subsection id="ID9BA758BCAEB3470284558D3139E5018B"><enum>(g)</enum><header>Voluntary
participation</header><text>The Administrator may issue a renewable energy
credit pursuant to subsection (c) to any entity that is not subject to this
section only if the entity applying for the renewable energy credit meets the
terms and conditions of this section to the same extent as retail electric
suppliers subject to this section.</text>
</subsection></section><section id="id569328AE7F37466EA0CED9D1BC2132BF"><enum>708.</enum><header>Standards to
account for biological sequestration of carbon</header>
<subsection id="idAF2B6EC9DB5E4D30BB3A3DF7D1FED2E6"><enum>(a)</enum><header>In
general</header><text>Not later than 2 years after the date of enactment of
title, the Secretary of Agriculture, with the concurrence of the Administrator,
shall establish standards for accrediting certified reductions in the emission
of carbon dioxide through above-ground and below-ground biological
sequestration activities.</text>
</subsection><subsection id="idD1F06BF4FD954ECAA8293897DF9DCDE3"><enum>(b)</enum><header>Requirements</header><text>The
standards shall include—</text>
<paragraph id="ID6b008a2a83d3499c933bc97ebe8a4f20"><enum>(1)</enum><text>a national
biological carbon storage baseline or inventory; and</text>
</paragraph><paragraph id="ID7d2627bb979b4866a7e4efa73c4fdc28"><enum>(2)</enum><text>measurement,
monitoring, and verification guidelines based on—</text>
<subparagraph id="IDbe8d3ff44ee74b49b135140fd1eb7f9d"><enum>(A)</enum><text>measurement of
increases in carbon storage in excess of the carbon storage that would have
occurred in the absence of a new management practice designed to achieve
biological sequestration of carbon;</text>
</subparagraph><subparagraph id="IDa3707a65a6e440fa80eeced527d1bd62"><enum>(B)</enum><text>comprehensive
carbon accounting that—</text>
<clause id="ID5f78a51908e4431182d2c31cabec9818"><enum>(i)</enum><text>reflects
sustained net increases in carbon reservoirs; and</text>
</clause><clause id="ID7fb15290277d49359afcf83d92d41c7f"><enum>(ii)</enum><text>takes into
account any carbon emissions resulting from disturbance of carbon reservoirs in
existence as of the date of commencement of any new management practice
designed to achieve biological sequestration of carbon;</text>
</clause></subparagraph><subparagraph id="ID1112d1b0c07742908277f2d7254e3c32"><enum>(C)</enum><text>adjustments to
account for—</text>
<clause id="IDf5afb1a2286548348f5225ba24c993ae"><enum>(i)</enum><text>emissions of
carbon that may result at other locations as a result of the impact of the new
biological sequestration management practice on timber supplies; or</text>
</clause><clause id="ID52ccc2ed98ea49aa96f7e9e9485e6d7e"><enum>(ii)</enum><text>potential
displacement of carbon emissions to other land owned by the entity that carries
out the new biological sequestration management practice; and</text>
</clause></subparagraph><subparagraph id="IDd25cf67543bd4e3d899e359f72af016c"><enum>(D)</enum><text>adjustments to
reflect the expected carbon storage over various time periods, taking into
account the likely duration of the storage of carbon in a biological
reservoir.</text>
</subparagraph></paragraph></subsection><subsection id="idE62BEA8711244061AA6DE7C024275372"><enum>(c)</enum><header>Updating of
standards</header><text>Not later than 3 years after the date of establishment
of the standards under subsection (a), and every 3 years thereafter, the
Secretary of Agriculture shall update the standards to take into account the
most recent scientific information.</text>
</subsection></section><section id="id1750D54C13CB4A5990B7658078A199E9"><enum>709.</enum><header>Global warming
pollution reporting</header>
<subsection id="ID4cba76281b434fb28362758377cf124a"><enum>(a)</enum><header>In
general</header><text>Not later than 2 years after the date of enactment of
this title, and annually thereafter, any entity considered to be a major
stationary source (as defined in section 169A(g)) shall submit to the
Administrator a report describing the emissions of global warming pollutants
from the entity for the preceding calendar year.</text>
</subsection><subsection id="ID3e68a746e7844495bdd85d35fde8b8f0"><enum>(b)</enum><header>Voluntary
reporting</header><text>An entity that is not described in subsection (a) may
voluntarily report the emissions of global warming pollutants from the entity
to the Administrator.</text>
</subsection><subsection id="IDc16eb5c4c43c40f7b27e61524441a4ac"><enum>(c)</enum><header>Requirements
for reports</header>
<paragraph id="id47BFE60F6AAF4E558C183F44721D4B15"><enum>(1)</enum><header>Expression of
measurements</header><text>Each global warming pollution report submitted under
this section shall express global warming pollution emissions in—</text>
<subparagraph id="idCC39186943B3411DB8C4C86D036D7501"><enum>(A)</enum><text>metric tons of
each global warming pollutant; and</text>
</subparagraph><subparagraph id="id3B57A0454137451C8B9583CC80B0BE37"><enum>(B)</enum><text>metric tons of
the carbon dioxide equivalent of each global warming pollutant.</text>
</subparagraph></paragraph><paragraph id="id25159A9AB2CE471EB60BB74F3D1DFE94"><enum>(2)</enum><header>Electronic
format</header><text>The information contained in a report submitted under this
section shall be reported electronically to the Administrator in such form and
to such extent as may be required by the Administrator.</text>
</paragraph><paragraph id="idEE9C4ED4FFC344C88364492F485F0135"><enum>(3)</enum><header>De minimis
exemption</header><text>The Administrator may specify the level of global
warming pollution emissions from a source within a facility that shall be
considered to be a de minimis exemption from the requirement to comply with
this section.</text>
</paragraph></subsection><subsection id="ID183c8cbc63e446eea072cf33d7583ae0"><enum>(d)</enum><header>Public
availability of information</header><text>Not later than March 1 of the year
after which the Administrator receives a report under this subsection from an
entity, and annually thereafter, the Administrator shall make the information
reported under this section available to the public through the
Internet.</text>
</subsection><subsection id="ID38ecbecc6524477fad798c945d90bb41"><enum>(e)</enum><header>Protocols and
methods</header><text>The Administrator shall, by regulation, establish
protocols and methods to ensure completeness, consistency, transparency, and
accuracy of data on global warming pollution emissions submitted under this
section.</text>
</subsection><subsection id="IDb947514835e9477fbaff23b38efa00d0"><enum>(f)</enum><header>Enforcement</header><text>Regulations
promulgated under this section may be enforced pursuant to section 113 with
respect to any person that—</text>
<paragraph id="idDBB55A00BB054DDB8DA64AFD358F2D7F"><enum>(1)</enum><text>fails to submit a
report under this section; or</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idA139100EFF354B2D8E33AC3D870F9D6C"><enum>(2)</enum><text>otherwise fails
to comply with those regulations.</text>
</paragraph></subsection></section><section id="id6C3E931A164D4C5C9AED36463E09CB68"><enum>710.</enum><header>National
Academy of Sciences report</header>
<subsection id="IDdbfc40dd672e4c3d8394edaa7654dd73"><enum>(a)</enum><header>In
general</header><text>Not later than 2 years after the date of enactment of
this title, and every 2 years thereafter, the Academy, acting in coordination
with the National Research Council, shall submit to the Administrator and
Congress a report that assesses—</text>
<paragraph id="idD2D6FAAAF5D246B29EB8A4A97126A5C5"><enum>(1)</enum><text>the probability
of avoiding dangerous anthropogenic interference with the climate system;
and</text>
</paragraph><paragraph id="id17CBC728A2D2498CBAC929B715275A57"><enum>(2)</enum><text>the progress made
by the United States as of the date of the report to avoid that
interference.</text>
</paragraph></subsection><subsection id="idCF7494EE62FD4F24B763EE2658359086"><enum>(b)</enum><header>Contents</header><text>A
report submitted under subsection (a) shall—</text>
<paragraph id="IDa6d3cdf4530044e08d4aa3ace6beb9f3"><enum>(1)</enum><text>evaluate whether
the emission reduction targets promulgated pursuant to section 702(b)(1) are,
after taking into account the actions of the international community, likely to
be sufficient to avoid dangerous climate change;</text>
</paragraph><paragraph id="id2D4A5329DE64452FA88C752589BA206E"><enum>(2)</enum><text>include an
assessment of the occurrence, or probability of occurrence, of—</text>
<subparagraph id="id4C413017548743A59D5C1DDE9C45CE4D"><enum>(A)</enum><text>a concentration
of atmospheric global warming pollution of greater than 450 carbon dioxide
equivalent parts per million;</text>
</subparagraph><subparagraph id="id7E6F7E0ADD0245E8ACCF748AFB4C3420"><enum>(B)</enum><text>a global mean
surface temperature increase of greater than 2 degrees Celsius (3.6 degrees
Fahrenheit) from preindustrial levels;</text>
</subparagraph><subparagraph id="idB20E87DB238745AA8F84CAF8A4FC0827"><enum>(C)</enum><text>a substantial
slowing of the Atlantic thermohaline circulation;</text>
</subparagraph><subparagraph id="idC2D6411542C04D649DBFE3E77E0DD62D"><enum>(D)</enum><text>a sea level rise
of more than 8 inches;</text>
</subparagraph><subparagraph id="idD59F36B334874B218A0F73967BAEDEB9"><enum>(E)</enum><text>an ice-free
Arctic Ocean in the summer;</text>
</subparagraph><subparagraph id="idD202C87327614BC1A52883CCADF2BA86"><enum>(F)</enum><text>a decrease in the
area of permafrost to a level less than 50 percent of the area of permafrost in
existence in 2000;</text>
</subparagraph><subparagraph id="id0E48157414164BFEAEE2FC390C77E4F6"><enum>(G)</enum><text>a loss of more
than 40 percent of the coverage of coral reefs in the world because of
increased ocean temperature or acidity; and</text>
</subparagraph><subparagraph id="idECCCDCA66FCD4F7B9211C0F483091D89"><enum>(H)</enum><text>any other
indicator of significant global warming, as determined by the Academy;</text>
</subparagraph></paragraph><paragraph id="id5C356ABE44EB43AD82DAE838382AC005"><enum>(3)</enum><text>if the Academy
concludes that the emission reduction targets promulgated pursuant to section
702(b)(1) are not likely to be sufficient to avoid dangerous climate change, or
that any event specified in paragraph (2) has occurred or is likely to
occur—</text>
<subparagraph id="idBCC2B3DF921D4003ACD68EDFF60F77EC"><enum>(A)</enum><text>identify the
necessary level of further reductions in atmospheric global warming pollution
concentrations; and</text>
</subparagraph><subparagraph id="id091280EF8DD24CA79B077370739BE4BF"><enum>(B)</enum><text>recommend
additional actions by the United States and the international community to
further reduce atmospheric concentrations of global warming pollution;
and</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID4078c13482c347509a9545f725070929"><enum>(4)</enum><text>if the Academy
concludes that an emission reduction target described in section 702(b)(1)
cannot be achieved due to technological infeasibility, include a notification
of that determination.</text>
</paragraph></subsection></section><section id="id8BC635CA45444AC8991EFA5368AC21F5"><enum>711.</enum><header>Additional
authority to regulate emissions of global warming pollutants</header><text display-inline="no-display-inline">The authority of the Administrator under
this title shall be in addition to the authority of the Administrator to
regulate emissions of global warming pollutants pursuant to any other provision
of law in effect as of the date of enactment of this
title.</text>
</section>.
102.
(a)Section 211(o)(2) of
the Clean Air Act (42 U.S.C. 7545(o)(2)) is amended by striking subparagraph
(B) and inserting the following:
(B)
(i)For the purpose of subparagraph (A), the applicable
volume for calendar year 2010 and each calendar year thereafter shall be
determined, by rule, by the Administrator, in consultation with the Secretary
of Agriculture and the Secretary of Energy, in a manner that ensures, to the
maximum extent practicable, that—
(I)the requirements
described in clause (ii) for specified calendar years are met; and
(II)the applicable
volume for each calendar year not specified in clause (ii) is determined on an
annual basis.
(ii)The
requirements referred to in clause (i) are—
(I)for calendar year
2010, at least 10,000,000,000 gallons of renewable fuel;
(II)for calendar
year 2020, at least 30,000,000,000 gallons of renewable fuel; and
(III)for calendar
year 2030, at least 60,000,000,000 gallons of renewable
fuel.
.
(b)Installation of
E–85 fuel pumps by major oil companies at owned stations and branded
stationsSection 211(o) of
the Clean Air Act (42 U.S.C. 7545(o)) is amended by adding at the end the
following:
(11)Installation
of E–85 fuel pumps by major oil companies at owned stations and branded
stations
(A)In
this paragraph:
(i)The term E–85 fuel means a blend of gasoline
approximately 85 percent of the content of which is derived from ethanol
produced in the United States.
(ii)The term major oil company means any person
that, individually or together with any other person with respect to which the
person has an affiliate relationship or significant ownership interest, has not
less than 4,500 retail station outlets according to the latest publication of
the Petroleum News Annual Factbook.
(iii)The
term Secretary means the Secretary of Energy, acting in
consultation with the Administrator and the Secretary of Agriculture.
(B)The
Secretary shall promulgate regulations to ensure, to the maximum extent
practicable, that each major oil company that sells or introduces gasoline into
commerce in the United States through wholly-owned stations or branded stations
installs or otherwise makes available 1 or more pumps that dispense E–85 fuel
(including any other equipment necessary, such as including tanks, to ensure
that the pumps function properly) at not less than the applicable percentage of
the wholly-owned stations and the branded stations of the major oil company
specified in subparagraph (C).
(C)For the purpose of subparagraph (B), the applicable
percentage of the wholly-owned stations and the branded stations shall be
determined in accordance with the following table:
Applicable percentage of
wholly-owned stations and
Calendar
year:branded
stations (percent):
20085
200910
201015
201120
201225
201330
201435
201540
201645
2017 and each calendar year
thereafter50.
(D)
(i)Subject to clause (ii), in promulgating regulations under
subparagraph (B), the Secretary shall ensure that each major oil company
described in subparagraph (B) installs or otherwise makes available 1 or more
pumps that dispense E–85 fuel at not less than a minimum percentage (specified
in the regulations) of the wholly-owned stations and the branded stations of
the major oil company in each State.
(ii)In
specifying the minimum percentage under clause (i), the Secretary shall ensure
that each major oil company installs or otherwise makes available 1 or more
pumps described in that clause in each State in which the major oil company
operates.
(E)In promulgating regulations under subparagraph
(B), the Secretary shall ensure that each major oil company described in that
subparagraph assumes full financial responsibility for the costs of installing
or otherwise making available the pumps described in that subparagraph and any
other equipment necessary (including tanks) to ensure that the pumps function
properly.
(F)Production
credits for exceeding E–85 fuel pumps installation requirement
(i)Earning and
period for applying creditsIf the percentage of the wholly-owned
stations and the branded stations of a major oil company at which the major oil
company installs E–85 fuel pumps in a particular calendar year exceeds the
percentage required under subparagraph (C), the major oil company earns credits
under this paragraph, which may be applied to any of the 3 consecutive calendar
years immediately after the calendar year for which the credits are
earned.
(ii)Subject to clause (iii), a major oil company that has
earned credits under clause (i) may sell credits to another major oil company
to enable the purchaser to meet the requirement under subparagraph (C).
(iii)A
major oil company may not use credits purchased under clause (ii) to fulfill
the geographic distribution requirement in subparagraph
(D).
.
<enum>II</enum><header>Tax
Incentives for Advanced Technology Vehicles</header>
<subtitle id="id578A4D82D9D549E2BD8514A215807BDC"><enum>A</enum><header>Providing
consumers with additional advanced technology vehicle purchase
incentives</header>
<section id="id28A77DBF8A6D45F8B8D08A94BE82BC20"><enum>201.</enum><header>Expansion and
extension of alternative motor vehicle credit</header>
<subsection id="idFA8A5908F81C4F5CA97F19F159695439"><enum>(a)</enum><header>Increases in
credit</header>
<paragraph id="idBB5E6A0EDCC041AD8AC690C4ED8BF936"><enum>(1)</enum><header>New qualified
fuel cell motor vehicle</header><text>Subsection (b) of section 30B of the
Internal Revenue Code of 1986 (relating to new qualified fuel cell motor
vehicle credit) is amended—</text>
<subparagraph id="id2103FCC32D55425986E257CB67A42F05"><enum>(A)</enum><text>in paragraph
(1)—</text>
<clause id="id70862285ECC343EEA3D3F79DD5CDFD51"><enum>(i)</enum><text>by
striking <quote>$8,000 ($4,000</quote> in subparagraph (A) and inserting
<quote>$16,000 ($8,000</quote>;</text>
</clause><clause id="idE6216AB49EE744F99B0838908441A9A6"><enum>(ii)</enum><text>by
striking <quote>$10,000</quote> in subparagraph (B) and inserting
<quote>$20,000</quote>;</text>
</clause><clause id="id8DFED3FEAD9A4048BC5757218BBC5B28"><enum>(iii)</enum><text>by striking
<quote>$20,000</quote> in subparagraph (C) and inserting
<quote>$40,000</quote>; and</text>
</clause><clause id="idE8800C561A2D4A0999064C7A7A2F9341"><enum>(iv)</enum><text>by
striking <quote>$40,000</quote> in subparagraph (D) and inserting
<quote>$80,000</quote>; and</text>
</clause></subparagraph><subparagraph id="idA4F0FD0F33844064BF63FD3ECAD15415"><enum>(B)</enum><text>in paragraph
(2)(A)—</text>
<clause id="id3C070BCB82C5412E81372A8424B5639D"><enum>(i)</enum><text>by
striking <quote>$1,000</quote> in clause (i) and inserting
<quote>$2,000</quote>;</text>
</clause><clause id="id17AADF69830044DAAAC4C9BE1E5C2385"><enum>(ii)</enum><text>by
striking <quote>$1,500</quote> in clause (ii) and inserting
<quote>$3,000</quote>;</text>
</clause><clause id="id32A18EE7E3694B03B4DF952A2B9E6D0F"><enum>(iii)</enum><text>by striking
<quote>$2,000</quote> in clause (iii) and inserting
<quote>$4,000</quote>;</text>
</clause><clause id="id9E4F43A490A5480CA33EA0BABD3AD8D0"><enum>(iv)</enum><text>by
striking <quote>$2,500</quote> in clause (iv) and inserting
<quote>$5,000</quote>;</text>
</clause><clause id="id06637A6CCDF6408EAE86165F9FAD5357"><enum>(v)</enum><text>by
striking <quote>$3,000</quote> in clause (v) and inserting
<quote>$6,000</quote>;</text>
</clause><clause id="id01CBE59E81D94EE39B9B3179A21EB7D8"><enum>(vi)</enum><text>by
striking <quote>$3,500</quote> in clause (vi) and inserting
<quote>$7,000</quote>; and</text>
</clause><clause id="idB3E875B0B44841E18AF18A535D488762"><enum>(vii)</enum><text>by striking
<quote>$4,000</quote> in clause (vii) and inserting
<quote>$8,000</quote>.</text>
</clause></subparagraph></paragraph><paragraph id="idB271E7EC70F745ACB49B732B6F943DC5"><enum>(2)</enum><header>New advanced
lean burn technology motor vehicle</header>
<subparagraph id="id79C9E0FE21F94B599FA988F317681526"><enum>(A)</enum><header>Fuel
economy</header><text>The table in clause (i) of section 30B(c)(2)(A) of such
Code (relating to fuel economy) is amended—</text>
<clause id="idE3B9B68365CB4DBC8787D09478CC769C"><enum>(i)</enum><text>by
striking <quote>$400</quote> and inserting <quote>$800</quote>;</text>
</clause><clause id="id782BD06121EB461EA4FD6E4EF12F2C85"><enum>(ii)</enum><text>by
striking <quote>$800</quote> and inserting <quote>$1,600</quote>;</text>
</clause><clause id="idD55D9A6C25FC47F18326A680D00DF92F"><enum>(iii)</enum><text>by striking
<quote>$1,200</quote> and inserting <quote>$2,400</quote>;</text>
</clause><clause id="idDE47DE5C4AF64D37931FE56C02983E7C"><enum>(iv)</enum><text>by
striking <quote>$1,600</quote> and inserting <quote>$3,200</quote>;</text>
</clause><clause id="id58652412A2754F3FB92B69A17ED39957"><enum>(v)</enum><text>by
striking <quote>$2,000</quote> and inserting <quote>$4,000</quote>; and</text>
</clause><clause id="idC7E3846C4F0B401BA5476048CB9AF267"><enum>(vi)</enum><text>by
striking <quote>$2,400</quote> and inserting <quote>$4,800</quote>.</text>
</clause></subparagraph><subparagraph id="idF00879A584F34F968BFC762A3AED33C8"><enum>(B)</enum><header>Conservation</header><text>The
table in subparagraph (B) of section 30B(c)(2) of such Code (relating to
conservation credit) is amended—</text>
<clause id="idC49F5729FBF74C8491BD3ABA0BA1FD35"><enum>(i)</enum><text>by
striking <quote>$250</quote> and inserting <quote>$500</quote>;</text>
</clause><clause id="idBDDCACAD950D431EB95BDC111ECDF3DB"><enum>(ii)</enum><text>by
striking <quote>$500</quote> and inserting <quote>$1,000</quote>;</text>
</clause><clause id="idA6278A000B5148FFAFB63C0E6F9BCFF5"><enum>(iii)</enum><text>by striking
<quote>$750</quote> and inserting <quote>$1,500</quote>; and</text>
</clause><clause id="id99BEF4C954634D4FAA689B6CEC09886B"><enum>(iv)</enum><text>by
striking <quote>$1,000</quote> and inserting <quote>$2,000</quote>.</text>
</clause></subparagraph></paragraph></subsection><subsection id="id2CB5D733B8C14344953A02924C2B4BF0"><enum>(b)</enum><header>Expansion of
number of new qualified hybrid and advanced lean burn technology vehicles
eligible for credit</header><text>Paragraph (2) of section 30B(f) of the
Internal Revenue Code of 1986 (relating to phaseout) is amended—</text>
<paragraph id="id47F30A47FAE5493EBC1448CEA2EF42A8"><enum>(1)</enum><text>by striking
<quote>the period</quote> and inserting <quote>any period</quote>,</text>
</paragraph><paragraph id="id451BFB6D86FF4937A8039D45985A937B"><enum>(2)</enum><text>by striking
<quote>United States after December 31, 2005, is at least 60,000</quote> and
inserting</text>
<quoted-block display-inline="yes-display-inline" id="idEFECB343F6EB4EFA95FFD532245DEA29" style="OLC">
<text>United States
is—</text><subparagraph id="id6E9EDCBD9FBA4810902F4154E7F6EC8C"><enum>(A)</enum><text>after December
31, 2005, at least 60,000, and</text>
</subparagraph><subparagraph id="id5A2B69D8039649DDB54DC25D582D957A"><enum>(B)</enum><text>after December
31, 2008, and before January 1, 2013,
60,000.</text>
</subparagraph><after-quoted-block>,
and</after-quoted-block></quoted-block>
</paragraph><paragraph id="idD54E356C1BBB4043A9F2186DC34D4DBD"><enum>(3)</enum><text>by adding at the
end the following new sentence: <quote>For purposes of the preceding sentence,
the Secretary may extend the time period through 2014 if the Secretary
determines that market conditions merit such action.</quote>.</text>
</paragraph></subsection><subsection id="id2630B8B71416497CBFB5D99FCEC42843"><enum>(c)</enum><header>Extension</header><text>Section
30B(j) of the Internal Revenue Code of 1986 (relating to termination) is
amended—</text>
<paragraph id="idC60A61173890478F84215CA13B7E83AD"><enum>(1)</enum><text>by striking
<quote>December 31, 2010</quote> both places it appears and inserting
<quote>December 31, 2014</quote>, and</text>
</paragraph><paragraph id="idF5A22BD72BC040FA81350DF8E24096F1"><enum>(2)</enum><text>by striking
<quote>December 31, 2009</quote> in paragraph (3) and inserting <quote>December
31, 2014</quote>.</text>
</paragraph></subsection><subsection id="id52B98C78BC954263AC0AB5E3A5600A50"><enum>(d)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to property
placed in service after the date of the enactment of this Act, in taxable years
ending after such date.</text>
</subsection></section><section id="ID90c33256fc6a46db9fb65d884f9359f6"><enum>202.</enum><header>Plug-in hybrid
motor vehicle tax credit</header>
<subsection id="IDc41dc0ee4b244a3e815886fa712e6654"><enum>(a)</enum><header>In
general</header><text>Section 30B of the Internal Revenue Code of 1986 is
amended by redesignating subsections (i) and (j) as subsections (j) and (k),
respectively, and by inserting after subsection (h) the following new
subsection:</text>
<quoted-block display-inline="no-display-inline" id="id7F52520F8E884436884FEA09AF25AF8B" style="OLC">
<subsection id="IDd5cc4098dc7a4571915dd8678a721522"><enum>(i)</enum><header>New plug-In
hybrid motor vehicle credit</header>
<paragraph id="ID15659c7097704d2a8ea7a39426184193"><enum>(1)</enum><header>In
general</header><text>For purposes of subsection (a), the new plug-in hybrid
motor vehicle credit determined under this subsection with respect to a new
qualified plug-in hybrid motor vehicle or new qualified flexible-fuel plug-in
hybrid motor vehicle placed in service by the taxpayer during the taxable year
is—</text>
<subparagraph id="ID683e5c2d31794e2593d09765faadee29"><enum>(A)</enum><text>$3,000, if such
vehicle is a new qualified plug-in hybrid motor vehicle with a gross vehicle
weight rating of not more than 8,500 pounds, and</text>
</subparagraph><subparagraph id="id67E33FBBF14B49E7B96F6A05473120CC"><enum>(B)</enum><text>$3,150, if such
vehicle is a new qualified flexible-fuel plug-in hybrid motor vehicle with a
gross vehicle weight rating of not more than 8,500 pounds.</text>
</subparagraph></paragraph><paragraph id="ID6cb5e12d99904b16afed8bfcda60f348"><enum>(2)</enum><header>Increase for
fuel efficiency</header>
<subparagraph id="ID37e2777b7b0f48809b797ea92682ff78"><enum>(A)</enum><header>In
general</header><text>The amount determined under paragraph (1)(A) with respect
to a new qualified plug-in hybrid motor vehicle or new qualified flexible-fuel
plug-in hybrid motor vehicle which is a passenger automobile or light truck
shall be increased by—</text>
<clause id="ID44addc4af2ed484a8a68c944d81d3aae"><enum>(i)</enum><text>$1,000 if such
vehicle achieves at least 250 percent but less than 250 percent of the 2002
model year city fuel economy,</text>
</clause><clause id="ID3b5cb460736747cda4e278891e137b73"><enum>(ii)</enum><text>$1,500 if such
vehicle achieves at least 250 percent but less than 275 percent of the 2002
model year city fuel economy,</text>
</clause><clause id="IDefd0631a155d410195cca71b3f5137a2"><enum>(iii)</enum><text>$2,000 if such
vehicle achieves at least 275 percent but less than 300 percent of the 2002
model year city fuel economy,</text>
</clause><clause id="ID56074d1233914fa7ba62927cac624208"><enum>(iv)</enum><text>$2,500 if such
vehicle achieves at least 300 percent but less than 325 percent of the 2002
model year city fuel economy, and</text>
</clause><clause id="ID406302fe1e48467f892733e5ac86b343"><enum>(v)</enum><text>$3,000 if such
vehicle achieves at least 325 percent of the 2002 model year city fuel
economy,</text>
</clause></subparagraph><subparagraph id="ID8d14881879a74f6abc3d6e8f327bb7f8"><enum>(B)</enum><header>2002 model year
city fuel economy</header><text>For purposes of subparagraph (A), the 2002
model year city fuel economy with respect to a vehicle shall be determined
using the tables provided in subsection (b)(2)(B).</text>
</subparagraph></paragraph><paragraph id="ID74ded314c1ab41de82c32376dc623b0a"><enum>(3)</enum><header>New qualified
plug-in hybrid motor vehicle</header><text>For purposes of this subsection, the
term <term>new qualified plug-in hybrid motor vehicle</term> means a motor
vehicle—</text>
<subparagraph id="idE1112A61DF7C4629BD230CF70B79943E"><enum>(A)</enum><text>which is
propelled by an internal combustion engine or heat engine using —</text>
<clause id="IDddd49b4e38a54f499f95ee81bbfde8ab"><enum>(i)</enum><text>any combustible
fuel,</text>
</clause><clause id="ID6473c0661be8466fb3ea645938e6fe80"><enum>(ii)</enum><text>an on-board,
rechargeable storage device, and</text>
</clause><clause id="ID65b92aee9b60436fadd0396467c03464"><enum>(iii)</enum><text>a means of
using an off-board source of electricity,</text>
</clause></subparagraph><subparagraph id="ID66900f955ae24ac4bb806f24a20ce209"><enum>(B)</enum><text>which, in the
case of a passenger automobile or light truck, has received on or after the
date of the enactment of this section a certificate that such vehicle meets or
exceeds the Bin 5 Tier II emission level established in regulations prescribed
by the Administrator of the Environmental Protection Agency under section
202(i) of the Clean Air Act for that make and model year vehicle,</text>
</subparagraph><subparagraph id="IDaa166bf1975448bdb1b6c867ed6edd9b"><enum>(C)</enum><text>the original use
of which commences with the taxpayer,</text>
</subparagraph><subparagraph id="id3B264E13409541DCAC6A70F95FA4CEF5"><enum>(D)</enum><text>which is acquired
for use or lease by the taxpayer and not for resale, and</text>
</subparagraph><subparagraph id="IDd175c60e09bb4a799cf5c3591bb9143d"><enum>(E)</enum><text>which is made by
a manufacturer.</text>
</subparagraph></paragraph><paragraph id="ID78b2a70efd124d679fb587200a053ed4"><enum>(4)</enum><header>New qualified
flexible-fuel plug-in hybrid motor vehicle</header><text>For purposes of this
subsection, the term <term>new qualified flexible-fuel plug-in hybrid motor
vehicle</term> means a motor vehicle—</text>
<subparagraph id="idD7342E4C2BA94A729733B436E2D1FEF7"><enum>(A)</enum><text>which is
propelled by an internal combustion engine or heat engine using—</text>
<clause id="ID6669c9f33609447cad9b294042002fec"><enum>(i)</enum><text>an on-board,
rechargeable storage device, and</text>
</clause><clause id="IDefa7378ce9a04eb2ac2088bee9499ef2"><enum>(ii)</enum><text>a means of using
an off-board source of electricity,</text>
</clause></subparagraph><subparagraph id="id34F3BDFFD7DF47C9B670EFB6BB590905"><enum>(B)</enum><text>which is
warrantied by its manufacturer to operate on any combination of gasoline and a
fuel blend containing up to 85 percent ethanol and 15 percent gasoline by
volume (E85),</text>
</subparagraph><subparagraph id="IDcaa3272de65e467ab8ef38a89b96602a"><enum>(C)</enum><text>which, in the
case of a passenger automobile or light truck, has received on or after the
date of the enactment of this section a certificate that such vehicle meets or
exceeds the Bin 5 Tier II emission level established in regulations prescribed
by the Administrator of the Environmental Protection Agency under section
202(i) of the Clean Air Act for that make and model year vehicle,</text>
</subparagraph><subparagraph id="IDac9a35ff187246838fd034e396ae1899"><enum>(D)</enum><text>the original use
of which commences with the taxpayer,</text>
</subparagraph><subparagraph id="ID88abfc8dd693467f8629316afae3e2c4"><enum>(E)</enum><text>which is acquired
for use or lease by the taxpayer and not for resale, and</text>
</subparagraph><subparagraph id="IDe0c6f63513f54cd18c85898429063203"><enum>(F)</enum><text>which is made by
a
manufacturer.</text>
</subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="id610257009EE64B49BF10C61A491416B5"><enum>(b)</enum><header>Conforming
amendments</header>
<paragraph id="idFB3F0544A9F44F09B6B9313005854F0E"><enum>(1)</enum><text>Section 30B(a) of
the Internal Revenue Code of 1986 is amended by striking <quote>and</quote> at
the end of paragraph (3), by striking the period at the end of paragraph (4)
and inserting <quote>, and</quote>, and by adding at the end the following new
paragraph:</text>
<quoted-block display-inline="no-display-inline" id="id6E106E01B44244848AB542BE16F73F60" style="OLC">
<paragraph id="id70D9E9743F884776A85A41880698B785"><enum>(5)</enum><text>the new plug-in
hybrid motor vehicle credit determined under subsection
(i).</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="id37C42C5FC61B4CF3AEBD91B0811E1B5E"><enum>(2)</enum><text>Section 30B(k)(2)
of such Code, as redesignated by subsection (a), is amended by striking
<quote>or</quote> and inserting a comma and by inserting <quote>, a new
qualified plug-in hybrid motor vehicle (as described in subsection (i)(3)), or
a new qualified flexible-fuel plug-in hybrid motor vehicle (as described in
subsection (i)(4))</quote> after <quote>subsection (d)(2)(A))</quote>.</text>
</paragraph></subsection><subsection id="id3776C7B89E914152918DFCE15DC2E720"><enum>(c)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to property
placed in service after the date of the enactment of this Act, in taxable years
ending after such date.</text>
</subsection></section></subtitle><subtitle id="id718A5C8BADF6471A9953C5F6E2E67EC1"><enum>B</enum><header>Advanced
technology motor vehicles manufacturing credit</header>
<section id="IDB0FB60EBB40F4A3D8AFD5063F6A5D92B"><enum>211.</enum><header>Advanced
technology motor vehicles manufacturing credit</header>
<subsection id="ID41D328F35E6A4716A6D02517200E5F32"><enum>(a)</enum><header>In
general</header><text>Subpart B of part IV of subchapter A of chapter 1 of the
Internal Revenue Code of 1986 (relating to foreign tax credit, etc.) is amended
by adding at the end the following new section:</text>
<quoted-block id="ID522DC789252E4D83989813556A47BCE2" style="OLC">
<section id="ID4538E780AAF145D5B1CC82A5BC1E3B0F"><enum>30D.</enum><header>Advanced
technology motor vehicles manufacturing credit</header>
<subsection id="ID6A78004A06C44B35937F623E1F1E9C70"><enum>(a)</enum><header>Credit
allowed</header><text>There shall be allowed as a credit against the tax
imposed by this chapter for the taxable year an amount equal to 35 percent of
the qualified investment of an eligible taxpayer for such taxable year.</text>
</subsection><subsection id="ID96209B0628AF40C5A7C6E1D6E9C2F178"><enum>(b)</enum><header>Qualified
investment</header><text>For purposes of this section—</text>
<paragraph id="IDC13705D2FA714B3589FDF8A80A0F5E04"><enum>(1)</enum><header>In
general</header><text>The term <term>qualified investment</term> means, with
respect to any taxable year, the sum of—</text>
<subparagraph id="id351E61F3547747428D77B171D17B80A6"><enum>(A)</enum><text>the costs paid or
incurred by the eligible taxpayer during such taxable year—</text>
<clause id="id950F20DFDF7542FDAAB841200D45A6DC"><enum>(i)</enum><text>to re-equip,
expand, or establish any manufacturing facility of the eligible taxpayer to
produce advanced technology motor vehicles or to produce eligible components,
and</text>
</clause><clause id="ID29B38AE1517B446281ECCB5EC4673EDC"><enum>(ii)</enum><text>for qualified
research (as defined in section 41(d)) related to advanced technology motor
vehicles and eligible components, and</text>
</clause></subparagraph><subparagraph id="ID362C916747504842AAFC7756065E6CE1"><enum>(B)</enum><text>qualified
engineering integration costs.</text>
</subparagraph></paragraph><paragraph id="ID74E51E4393564786997AC0B1C6CB2A0E"><enum>(2)</enum><header>Attribution
rules</header><text>For purposes of paragraph (1)(A)(i), in the case of a
manufacturing facility of the eligible taxpayer which produces both advanced
technology motor vehicles and other motor vehicles, or eligible components and
other components, only the amount paid or incurred for the production of
advanced technology motor vehicles and eligible components shall be taken into
account.</text>
</paragraph></subsection><subsection id="ID605336970095478A9B47C9A84745CFFA"><enum>(c)</enum><header>Eligible
taxpayer</header><text>For purposes of this section, the term <term>eligible
taxpayer</term> means any taxpayer if more than 50 percent of its gross
receipts for the taxable year is derived from the manufacture of motor vehicles
or any component parts of such vehicles.</text>
</subsection><subsection id="IDAAA23EBDAE7B41C9B2701BA3A387EA18"><enum>(d)</enum><header>Definitions</header><text>For
purposes of this section—</text>
<paragraph id="ID0A0629BFDF00486693BC78CA801A5E60"><enum>(1)</enum><header>Advanced
technology motor vehicle</header><text>The term <term>advanced technology motor
vehicle</term> means—</text>
<subparagraph id="id142B3846EE0D41BDA8D992286B5DC570"><enum>(A)</enum><text>any new qualified
fuel cell motor vehicle (as defined in section 30B(b)(3)),</text>
</subparagraph><subparagraph id="IDE1BDB9929EC44D20A719ABB7F29EC60E"><enum>(B)</enum><text>any new advanced
lean burn technology motor vehicle (as defined in section 30B(c)(3)),</text>
</subparagraph><subparagraph id="IDBFEAA92E5E554C2EB5173A76587D7631"><enum>(C)</enum><text>any new qualified
hybrid motor vehicle (as defined in section 30B(d)(3)(A) and determined without
regard to any gross vehicle weight rating),</text>
</subparagraph><subparagraph id="idADAE683765064636BEE74024C7F9628F"><enum>(D)</enum><text>any new qualified
alternative motor fuel vehicle (as defined in section 30B(e)(4)), and</text>
</subparagraph><subparagraph id="id09EC25E46F3B49C0A49D3326FEA5621A"><enum>(E)</enum><text>any new qualified
plug-in hybrid motor vehicle (as defined in section 30B(i)(3)) or any new
qualified flexible-fuel plug-in hybrid motor vehicle (as defined in section
30B(i)(4)).</text>
</subparagraph></paragraph><paragraph id="idDA7EF13957864D269052F1856E13DC87"><enum>(2)</enum><header>Eligible
components</header><text>The term <term>eligible component</term> means any
component inherent to any advanced technology motor vehicle but not inherent to
a motor vehicle which is not an advanced technology motor vehicle,
including—</text>
<subparagraph id="ID05742CC96F3E4EFC9A1EE2D7695F0C79"><enum>(A)</enum><text>with respect to
any gasoline or diesel-electric new qualified hybrid motor vehicle, any—</text>
<clause id="IDD643FE7740CD41E7AA8DC267BC409DF9"><enum>(i)</enum><text>electric motor or
generator,</text>
</clause><clause id="ID413888AF184842A5B0DB3936DDCAF154"><enum>(ii)</enum><text>power split
device,</text>
</clause><clause id="ID1364E781B67E4284B991140D302A74C8"><enum>(iii)</enum><text>power control
unit,</text>
</clause><clause id="ID66A2E0E19A414632B4A1D278492D027F"><enum>(iv)</enum><text>power
controls,</text>
</clause><clause id="ID6D2910D5F48044828896B772BC4FE4A2"><enum>(v)</enum><text>integrated
starter generator, or</text>
</clause><clause id="ID833D388DBFE14CBCB7B5F788E11275B5"><enum>(vi)</enum><text>battery,</text>
</clause></subparagraph><subparagraph id="ID9A4ACC07DFB8416F85A11C83942F0904"><enum>(B)</enum><text>with respect to
any hydraulic new qualified hybrid motor vehicle, any—</text>
<clause id="ID244241F84F1D4050B7688E21B0777F0F"><enum>(i)</enum><text>hydraulic
accumulator vessel,</text>
</clause><clause id="ID77096666727C4F55A017DCB69211E3CF"><enum>(ii)</enum><text>hydraulic pump,
or</text>
</clause><clause id="ID5A8CD666FFDE40EAAB982105AF330598"><enum>(iii)</enum><text>hydraulic
pump-motor assembly,</text>
</clause></subparagraph><subparagraph id="ID994A6934523D42BBB6D98AB52FCB8DA3"><enum>(C)</enum><text>with respect to
any new advanced lean burn technology motor vehicle, any—</text>
<clause id="ID7D44B2BAC33F4FBCB853EB2AC5F7C21B"><enum>(i)</enum><text>diesel
engine,</text>
</clause><clause id="ID8C4E9F692E0D4C3585DD0BC20E79E267"><enum>(ii)</enum><text>turbocharger,</text>
</clause><clause id="ID3FA7572A19664B06A1983DD511B0790C"><enum>(iii)</enum><text>fuel injection
system, or</text>
</clause><clause id="ID31319A4ED0BB4875938765F4769A0AC9"><enum>(iv)</enum><text>after-treatment
system, such as a particle filter or NO<subscript>X</subscript> absorber,
and</text>
</clause></subparagraph><subparagraph id="IDC96B239A62CD4B8587FA9BE99F796C1A"><enum>(D)</enum><text>with respect to
any advanced technology motor vehicle, any other component submitted for
approval by the Secretary.</text>
</subparagraph></paragraph><paragraph id="ID0AF46D856F61498D9728FD80AFEB567B"><enum>(3)</enum><header>Qualified
engineering integration costs</header><text>For purposes of subsection
(b)(1)(B), the term <term>qualified engineering integration costs</term> means,
with respect to any advanced technology motor vehicle, costs incurred prior to
the market introduction of such motor vehicle for engineering tasks related
to—</text>
<subparagraph id="IDA7CC2C8A1A2E412DAE86341BEC22A4D2"><enum>(A)</enum><text>establishing
functional, structural, and performance requirements for components and
subsystems to meet overall vehicle objectives for a specific
application,</text>
</subparagraph><subparagraph id="IDF6D6B3E8463F43528E97A5C14889A565"><enum>(B)</enum><text>designing
interfaces for components and subsystems with mating systems within a specific
vehicle application,</text>
</subparagraph><subparagraph id="IDC808627C18CE44A98CE28038F51569BC"><enum>(C)</enum><text>designing cost
effective, efficient, and reliable manufacturing processes to produce
components and subsystems for a specific vehicle application, and</text>
</subparagraph><subparagraph id="IDDD17C5CE348248189AA3853346511E76"><enum>(D)</enum><text>validating
functionality and performance of components and subsystems for a specific
vehicle application.</text>
</subparagraph></paragraph><paragraph id="id45F5D8847B3F4BB9BD9309EA74A561D3"><enum>(4)</enum><header>Motor
vehicle</header><text>The term <term>motor vehicle</term> has the meaning given
such term by section 30(c)(2).</text>
</paragraph></subsection><subsection id="IDBB58EA7751054D9C83B055734BE79B4F"><enum>(e)</enum><header>Limitation
based on amount of tax</header>
<paragraph id="idD24C0218F68C4944815B9AB267620C96"><enum>(1)</enum><header>In
general</header><text>The credit allowed under subsection (a) for any taxable
year shall not exceed the sum of—</text>
<subparagraph id="id17C84C1838D94F5AB94873AC1B272286"><enum>(A)</enum><text>the taxpayer's
regular tax liability (as defined in section 26(b)) for the taxable year,
plus</text>
</subparagraph><subparagraph id="id3D062EEC53814D6A9AA9D8406DAD2EFB"><enum>(B)</enum><text>the tax imposed
under section 55 for the taxable year.</text>
</subparagraph></paragraph><paragraph id="id8410ECE474214A4C87B4774A621E74EF"><enum>(2)</enum><header>Carryover of
unused credit amounts</header>
<subparagraph id="id3AF3F8DB956F4F7AB6074EA1EE094856"><enum>(A)</enum><header>In
general</header><text>If the credit allowable under subsection (a) for a
taxable year exceeds the limitation under paragraph (1) for such taxable year,
such excess shall be allowed—</text>
<clause id="id51A382F1DCF741769268FF5626BF3C12"><enum>(i)</enum><text>as a credit
carryback to each of the 13 taxable years preceding such year, and</text>
</clause><clause id="idB3335A3D697242A3B0DE3CCE0DC8E938"><enum>(ii)</enum><text>as a credit
carryforward to each of the 20 taxable years following such year.</text>
</clause></subparagraph><subparagraph id="idDDBCEBA7933544FEB514CFDBD20A90D8"><enum>(B)</enum><header>Amount carried
to each year</header><text>For purposes of this paragraph, rules similar to the
rules of section 39(a)(2) shall apply.</text>
</subparagraph></paragraph></subsection><subsection id="ID4D40A562F0714256BE0C811ED42BBB09"><enum>(f)</enum><header>Special
rules</header>
<paragraph id="IDE9DD6DC5FF844A1C90679FA2748D1D9D"><enum>(1)</enum><header>Reduction in
basis</header><text>For purposes of this subtitle, if a credit is allowed under
this section for any expenditure with respect to any property, the increase in
the basis of such property which would (but for this paragraph) result from
such expenditure shall be reduced by the amount of the credit so
allowed.</text>
</paragraph><paragraph id="IDD8A2FCE97AB045689A1D13A48752D1B7"><enum>(2)</enum><header>Investments and
property outside the united states</header><text>No credit shall be allowed
under subsection (a) with respect to—</text>
<subparagraph id="ID74CE764F5EF34C729C367AD52D8D181B"><enum>(A)</enum><text>any manufacturing
facility which is located outside the United States, and</text>
</subparagraph><subparagraph id="ID81C2B0476EF94D9A8423993474C5ED8A"><enum>(B)</enum><text>any engineering
integration or research and development conducted outside the United
States.</text>
</subparagraph></paragraph><paragraph id="IDE07192BEF3A4404893E03F1F98495A27"><enum>(3)</enum><header>Aggregation of
expenditures; allocations</header><text>For purposes of this section, rules
similar to the rules of paragraphs (1) and (2) of section 41(f) shall
apply.</text>
</paragraph><paragraph id="idFB3EB4D195E34FA1AB3A045D42B21EE7"><enum>(4)</enum><header>Recapture</header><text>The
Secretary shall, by regulation, provide for recapturing the benefit of any
credit allowable under subsection (a) with respect to any manufacturing
facility which ceases to produce advanced technology motor vehicles or eligible
components.</text>
</paragraph><paragraph id="id594DB04FF6D4484DA2E6EDEF01441309"><enum>(5)</enum><header>Public
statement</header>
<subparagraph id="id95E22DC201EE4EB18DEA4666958F0C14"><enum>(A)</enum><header>In
general</header><text>No credit shall be allowed under subsection (a) for any
taxable year unless the eligible taxpayer makes publicly available a statement
describing the activities of the eligible taxpayer for which the credit is
allowed and the public benefits of such activities, including the estimated
amount of any reduction in national oil consumption in future years as a result
of such activities.</text>
</subparagraph><subparagraph id="id6899A3C6AC2A461CAFE654BD3B4BF63F"><enum>(B)</enum><header>Time for
publication</header><text>The statement required under subparagraph (A) shall
be made available not later than 90 days after the end of the taxable year for
which the credit under subsection (a) is allowed and shall be in such form as
the Secretary shall prescribe.</text>
</subparagraph></paragraph><paragraph id="IDD629BAD59EE14D8798B2909A67D9C5E9"><enum>(6)</enum><header>No double
benefit</header>
<subparagraph id="ID12BA88B7D2044842A9883FF7503A0371"><enum>(A)</enum><header>Coordination
with other deductions and credits</header><text>Except as provided in
subparagraph (B), the amount of any deduction or other credit allowable under
this chapter for any cost taken into account in determining the amount of the
credit under subsection (a) shall be reduced by the amount of such credit
attributable to such cost.</text>
</subparagraph><subparagraph id="IDEBE6D7AF965F4D959FCE74FDE7443735"><enum>(B)</enum><header>Research and
development costs</header>
<clause id="IDD1FBE4FBC1D54480831AD6108A20306D"><enum>(i)</enum><header>In
general</header><text>Except as provided in clause (ii), any amount described
in subsection (b)(1)(A)(ii) taken into account in determining the amount of the
credit under subsection (a) for any taxable year shall not be taken into
account for purposes of determining the credit under section 41 for such
taxable year.</text>
</clause><clause id="IDF8BB998349894D80B9411872AF3F93F6"><enum>(ii)</enum><header>Costs taken
into account in determining base period research expenses</header><text>Any
amounts described in subsection (b)(1)(A)(ii) taken into account in determining
the amount of the credit under subsection (a) for any taxable year which are
qualified research expenses (within the meaning of section 41(b)) shall be
taken into account in determining base period research expenses for purposes of
applying section 41 to subsequent taxable years.</text>
</clause></subparagraph></paragraph></subsection><subsection id="IDA8344882E2A748638154EC36D0C311B6"><enum>(g)</enum><header>Election not To
take credit</header><text>No credit shall be allowed under subsection (a) for
any property if the taxpayer elects not to have this section apply to such
property.</text>
</subsection><subsection id="IDA227BA5EC3BF4727BD7A09EC4CED406B"><enum>(h)</enum><header>Regulations</header><text>The
Secretary shall prescribe such regulations as necessary to carry out the
provisions of this
section.</text>
</subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="IDF8EF929FF62C4C4480E155782416FE4C"><enum>(b)</enum><header>Conforming
amendments</header>
<paragraph id="ID629F68A03E1042738EF31F6B20F718AA"><enum>(1)</enum><text>Section 1016(a)
of the Internal Revenue Code of 1986 is amended by striking <quote>and</quote>
at the end of paragraph (36), by striking the period at the end of paragraph
(37) and inserting <quote>, and</quote>, and by adding at the end the following
new paragraph:</text>
<quoted-block id="ID7FAD9F8888A34A88B75DC305C03B3691" style="OLC">
<paragraph id="IDC3EA84A3535D443DA2AAB952EA2A20E5"><enum>(38)</enum><text>to the extent
provided in section
30D(f)(1).</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="ID29DB01D2C90B462DB5344106A3DD3941"><enum>(2)</enum><text>Section 6501(m)
of such Code is amended by inserting <quote>30D(g),</quote> after
<quote>30C(e)(5),</quote>.</text>
</paragraph><paragraph id="ID35653230692E46E9B688EFB510DE336B"><enum>(3)</enum><text>The table of
sections for subpart B of part IV of subchapter A of chapter 1 of such Code is
amended by inserting after the item relating to section 30C the following new
item:</text>
<quoted-block id="IDFF4E89C79705497DB897DB954EB0C9C5" style="OLC">
<toc regeneration="no-regeneration">
<toc-entry level="section">Sec. 30D. Advanced technology motor
vehicles manufacturing
credit.</toc-entry>
</toc>
<after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID13E060614EA3410EAB6D7860C8BBCE78"><enum>(c)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to amounts
incurred in taxable years beginning after December 31, 1993.</text>
</subsection></section></subtitle><enum>III</enum><header>International
and Corporate Obligations</header>
<section id="idF38842102AA74929812E5A378375A37B"><enum>301.</enum><header>International
negotiations and trade restrictions</header><text display-inline="no-display-inline">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—</text>
<paragraph id="idE5BC31046F3F45098B3EF2D5B139BC1F"><enum>(1)</enum><text>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—</text>
<subparagraph id="idE55718C9C7E941528F7F634E152A96AF"><enum>(A)</enum><text>advance and
protect the economic and national security interests of the United
States;</text>
</subparagraph><subparagraph id="id010F907AFED04D8685A87E74E73353C1"><enum>(B)</enum><text>establish
mitigation commitments by all countries that are major emitters of global
warming pollution, in accordance with the principle of <quote>common but
differentiated responsibilities</quote>;</text>
</subparagraph><subparagraph id="id1A77AC98435040A5AF17D4C7A6F8B569"><enum>(C)</enum><text>establish
flexible international mechanisms to minimize the cost of efforts by
participating countries; and</text>
</subparagraph><subparagraph id="id847FEDE5CFD5402ABADEF2CD21380DC3"><enum>(D)</enum><text>achieve a
significant long-term reduction in global warming pollution emissions;
and</text>
</subparagraph></paragraph><paragraph id="id49FF12308B8C48589C6669C26F0D232A"><enum>(2)</enum><text>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—</text>
<subparagraph id="id79D34CF61C9C4A978E93E658707D7254"><enum>(A)</enum><text>to monitor any
international negotiations on climate change; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idC27FCC06AF18494B9BF3CFE11DAFA10F"><enum>(B)</enum><text>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.</text>
</subparagraph></paragraph></section><section id="IDc2d46963239442f59aa76b2d8ed38d4d"><enum>302.</enum><header>Corporate
environmental disclosure of climate change risks</header>
<subsection id="IDcabab997c7104e00836c9cce31b16140"><enum>(a)</enum><header>Regulations</header><text>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
<term>Commission</term>) 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 with a market capitalization of more
than $1,000,000,000, regardless of whether the issuer is publicly- or
privately-held, to inform securities investors of the risks relating to—</text>
<paragraph id="IDd1a10da8e06a407fa0af6f1852b242ac"><enum>(1)</enum><text>the financial
exposure of the issuer because of the net global warming pollution emissions of
the issuer; and</text>
</paragraph><paragraph id="IDd2af181bd43f4d5db9791922b721c5eb"><enum>(2)</enum><text>the potential
economic impacts of global warming on the interests of the issuer.</text>
</paragraph></subsection><subsection id="ID556df606ac794f649280acfd707c6c45"><enum>(b)</enum><header>Uniform format
for disclosure</header><text>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).</text>
</subsection><subsection id="IDa3e1abfd411b4f7aaf96aa778b04e674"><enum>(c)</enum><header>Interim
interpretive release</header>
<paragraph id="IDca65b2569027426c9fd4ba08e776d941"><enum>(1)</enum><header>In
general</header><text>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)—</text>
<subparagraph id="IDb8f80ea794d74c23aba8bdc4001215fe"><enum>(A)</enum><text>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</text>
</subparagraph><subparagraph id="IDbd93ab4049e24d6fbee4a2ce782902df"><enum>(B)</enum><text>global warming
constitutes a known trend.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDab450c06cd2c463e8ae3412c7760ade6"><enum>(2)</enum><header>Period of
effectiveness</header><text>The interpretive release issued under paragraph (1)
shall remain in effect until the effective date of the final regulations
promulgated under subsection (a).</text>
</paragraph></subsection></section><enum>IV</enum><header>National Climate
Change Vulnerability and Resilience Program</header>
<section id="id8F7F7238C869441FAA68E0281D0F4F14"><enum>401.</enum><header>Definitions</header><text display-inline="no-display-inline">In this title:</text>
<paragraph id="id5AF47903E2D24ED8BDF9E619DFAA607D"><enum>(1)</enum><header>Office</header><text>The
term <term>Office</term> means the Office of Climate Change Vulnerability and
Resilience Research established under section 402(c).</text>
</paragraph><paragraph id="idA6546F803DE74487AC65299D78BFCE6E"><enum>(2)</enum><header>Program</header><text>The
term <term>Program</term> means the National Climate Change Vulnerability and
Resilience Program established under section 402(a).</text>
</paragraph><paragraph id="id02A5A27380BF4434A958157EE0BB9D60"><enum>(3)</enum><header>Secretary</header><text>The
term <term>Secretary</term> means the Secretary of Commerce.</text>
</paragraph></section><section id="idA7E7F834B06148E8A361FF2E08CE26B7"><enum>402.</enum><header>National
Climate Change Vulnerability and Resilience Program</header>
<subsection id="ID88F2B5893BAA450C8B82934CB1DE168E"><enum>(a)</enum><header>Establishment</header><text>The
Secretary shall establish a National Climate Change Vulnerability and
Resilience Program to evaluate and make recommendations about local, regional,
and national vulnerability and resilience to impacts relating to longer-term
climatic changes and shorter-term climatic variations, including changes and
variations resulting from human activities.</text>
</subsection><subsection id="ID92975E51D02B49A29A5EB0D9B7F2D230"><enum>(b)</enum><header>Consultation</header><text>In
designing the Program, the Secretary shall consult with Federal agencies
participating in the United States Global Change Research Program established
under section 103 of the Global Change Research Act of 1990 (15 U.S.C. 2933)
and any other appropriate Federal, State, or local agency.</text>
</subsection><subsection id="ID9A9699CFBACC405FB793AD7EE766281D"><enum>(c)</enum><header>Office of
Climate Change Vulnerability and Resilience Research</header><text>The
Secretary shall establish an Office of Climate Change Vulnerability and
Resilience Research within the Department of Commerce, which shall—</text>
<paragraph id="id82AB8BABD12245129C3312487D00B537"><enum>(1)</enum><text>be responsible
for managing the Program; and</text>
</paragraph><paragraph id="id8CACC78432D140DEB7590835B5281A0A"><enum>(2)</enum><text>in accordance
with the design of the Program, coordinate climatic change and climatic
variation vulnerability and resilience research in the United States.</text>
</paragraph></subsection><subsection id="IDAD159C734CFC4542A7B3FFE9DCCD8A77"><enum>(d)</enum><header>Vulnerability
Assessments</header><text>The Program shall include—</text>
<paragraph id="ID77C38D2CABDC4CEEA790C567C095A0E9"><enum>(1)</enum><text>evaluations,
based on historical data, current observational data, and, where appropriate,
available predictions, of local, State, regional, and national vulnerability to
phenomena associated with climatic change and climatic variation,
including—</text>
<subparagraph id="ID0639D4DB2D6E433289550C3C0902EC23"><enum>(A)</enum><text>severe weather
events, such as severe thunderstorms, tornadoes, and hurricanes;</text>
</subparagraph><subparagraph id="ID78CDCEC65E16457F9B1D9ABA9B030B66"><enum>(B)</enum><text>annual and
interannual climate events, such as the El Niño Southern Oscillation and the
North Atlantic Oscillation;</text>
</subparagraph><subparagraph id="ID9C2450571E2E47D0A307D1DC004BD7AF"><enum>(C)</enum><text>changes in sea
level and shifts in the hydrological cycle;</text>
</subparagraph><subparagraph id="IDE636C71F163C4AC894810301E16D5E56"><enum>(D)</enum><text>natural hazards,
including tsunamis, droughts, floods, and wildfires; and</text>
</subparagraph><subparagraph id="ID74146FCA85FC41AEAA1B9DF1E5BE3A48"><enum>(E)</enum><text>alterations of
ecological communities as a result of climatic change and climatic variation;
and</text>
</subparagraph></paragraph><paragraph id="IDCF75EA3E71E44EAD9D79B9E8D825D629"><enum>(2)</enum><text>the production of
a vulnerability scorecard, in cooperation with State and local institutions
including university researchers and programs, that assesses the vulnerability
and capacity of each State to respond to climatic change and climatic variation
hazards.</text>
</paragraph></subsection><subsection id="ID685800DBAA9E484EA879D3D70EF5B101"><enum>(e)</enum><header>Preparedness
Recommendations</header><text>Not later than 2 years after the date of
enactment of this Act, the Office shall submit to Congress a report
that—</text>
<paragraph id="ID926CA3A68BA142E29A633FF44FA923A1"><enum>(1)</enum><text>includes the
vulnerability scorecards produced under subsection (d)(2); and</text>
</paragraph><paragraph id="IDFA2D3DBC019140CAA1FC519A3B818D38"><enum>(2)</enum><text>identifies, and
recommends implementation and funding strategies for, short-term and long-term
actions that may be taken at the local, State, regional, or national
level—</text>
<subparagraph id="ID2A2B7BF69C4C468E9A9FB7F063597351"><enum>(A)</enum><text>to minimize
climatic change and climatic variation threats to human life and
property;</text>
</subparagraph><subparagraph id="IDC7167D0D1AFE4675B43C7E1E513A46D8"><enum>(B)</enum><text>to minimize
negative economic impacts of climatic change and climatic variation; and</text>
</subparagraph><subparagraph id="ID80AFEC5B194B4C38B6369DE550B8E8DA"><enum>(C)</enum><text>to improve
resilience to climatic change and climatic variation hazards.</text>
</subparagraph></paragraph></subsection><subsection id="ID9D3D48EE84FD48C4A8A74A45A4C7A345"><enum>(f)</enum><header>Vulnerability
Research</header><text>In addition to other responsibilities under this
section, the Office shall—</text>
<paragraph id="ID43131C58114E4DB58CE857FECC526C6D"><enum>(1)</enum><text>apply the results
of available vulnerability research to develop and improve criteria that
measure resilience to climatic change and climatic variation hazards at the
local, State, regional, and national levels;</text>
</paragraph><paragraph id="ID0C25746BDF124CCFAF62D5D028C4C74D"><enum>(2)</enum><text>coordinate the
implementation of short-term and long-term research programs based on the
recommendations made under subsection (e)(2);</text>
</paragraph><paragraph id="ID25D7FB6D68124F4B850D33D8305E6B49"><enum>(3)</enum><text>measure progress
in increasing the capacity of each State to respond to climatic change and
climatic variation hazards, using the vulnerability scorecards produced under
subsection (d)(2) as a benchmark; and</text>
</paragraph><paragraph id="IDEEE92B3706324C00969353CFB0360123"><enum>(4)</enum><text>not less than
annually, review and, if appropriate due to the availability of additional
information, update the vulnerability scorecards and the recommendations made
under subsection (e)(2).</text>
</paragraph></subsection><subsection id="ID371C9644E88B4CDF8F0A8D95CCD5CF3F"><enum>(g)</enum><header>Information and
Technology Dissemination</header><text>The Secretary shall—</text>
<paragraph id="id27E0E9009E7C46BFB535E74F625D09E1"><enum>(1)</enum><text>make widely
available appropriate information, technologies, and products to assist local,
State, regional, and national efforts to reduce loss of life and property due
to climatic change and climatic variation; and</text>
</paragraph><paragraph id="id41158D02832B4468B8FF07A4DE15D686"><enum>(2)</enum><text>coordinate the
dissemination of the information, technologies, and products through all
appropriate channels.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="IDE5BAED4E5CBA42318E320D569657BAF4"><enum>(h)</enum><header>Authorization
of Appropriations</header><text>There is authorized to be appropriated to the
Secretary to carry out this section $10,000,000.</text>
</subsection></section>