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<bill bill-stage="Introduced-in-House" bill-type="olc" dms-id="H256692AAD4A24A8E9E3B50A7B44F9992" public-private="public">
	<form>
		<distribution-code display="yes">I</distribution-code>
		<congress>111th CONGRESS</congress>
		<session>2d Session</session>
		<legis-num>H. R. 5805</legis-num>
		<current-chamber>IN THE HOUSE OF REPRESENTATIVES</current-chamber>
		<action>
			<action-date date="20100721">July 21, 2010</action-date>
			<action-desc><sponsor name-id="M001143">Ms. McCollum</sponsor> (for
			 herself, <cosponsor name-id="I000026">Mr. Inslee</cosponsor>, and
			 <cosponsor name-id="T000469">Mr. Tonko</cosponsor>) introduced the following
			 bill; which was referred to the <committee-name committee-id="HIF00">Committee
			 on Energy and Commerce</committee-name>, and in addition to the Committees on
			 <committee-name committee-id="HWM00">Ways and Means</committee-name> and
			 <committee-name committee-id="HGO00">Oversight and Government
			 Reform</committee-name>, for a period to be subsequently determined by the
			 Speaker, in each case for consideration of such provisions as fall within the
			 jurisdiction of the committee concerned</action-desc>
		</action>
		<legis-type>A BILL</legis-type>
		<official-title>To encourage the implementation of thermal energy
		  infrastructure, and for other purposes.</official-title>
	</form>
	<legis-body id="H4BD299F780B24AAD90153D5D252F8FCD" style="OLC">
		<section id="HF899A73E1E96427C9EA7B236E534C14E" section-type="section-one"><enum>1.</enum><header>Short title; table of
			 contents</header>
			<subsection id="H533E86654BCE43B98D1C9C36D928F46D"><enum>(a)</enum><header>Short
			 title</header><text display-inline="yes-display-inline">This Act may be cited
			 as the <quote><short-title>Thermal Renewable Energy and
			 Efficiency Act of 2010</short-title></quote>.</text>
			</subsection><subsection id="HB0C164D7739D47CA924B25F8D769B958"><enum>(b)</enum><header>Table of
			 contents</header><text>The table of contents of this Act is as follows:</text>
				<toc>
					<toc-entry idref="HF899A73E1E96427C9EA7B236E534C14E" level="section">Sec. 1. Short title; table of contents.</toc-entry>
					<toc-entry idref="HBE0B1CF2749049B9B0B7C31EF55E9CD3" level="section">Sec. 2. Findings.</toc-entry>
					<toc-entry idref="HAD1871EFB33B478D9636065935EF2B3F" level="section">Sec. 3. Purpose.</toc-entry>
					<toc-entry idref="H88F442857AB6485AAD2BF8EB944A329A" level="section">Sec. 4. Statement of policy.</toc-entry>
					<toc-entry idref="H6902590EEC284442816BC551713D07DC" level="title">TITLE I—Modification of credit for electricity produced from
				certain renewable sources</toc-entry>
					<toc-entry idref="H6728BF6D0FDC46EB97F63609BA8A5E86" level="section">Sec. 101. Extension of renewable electricity credit to thermal
				energy.</toc-entry>
					<toc-entry idref="H96286DBD03E941A28AAC62C15AD25F88" level="section">Sec. 102. Federal purchase requirement amendments.</toc-entry>
					<toc-entry idref="H48D4936C0C7E4B52AC1CDD222DEFC902" level="title">TITLE II—Exempt facility bonds</toc-entry>
					<toc-entry idref="HF9EB238CFF9445DB924C843A064EE944" level="section">Sec. 201. Exempt facility bonds.</toc-entry>
					<toc-entry idref="H25CCC2F6C2EF44DA9CB7BC9309032D46" level="title">TITLE III—Energy sustainability and efficiency grants for
				institutions</toc-entry>
					<toc-entry idref="H52CB947835524D04B876D06D3264B289" level="section">Sec. 301. Definition of institutional entity.</toc-entry>
					<toc-entry idref="H2A6F3E10A88041D6838A5630E2D26B46" level="section">Sec. 302. Availability of grants.</toc-entry>
					<toc-entry idref="H3BF0DCC4F45D49D294E69CC5585D7449" level="section">Sec. 303. Authorization of appropriations for
				grants.</toc-entry>
				</toc>
			</subsection></section><section id="HBE0B1CF2749049B9B0B7C31EF55E9CD3"><enum>2.</enum><header>Findings</header><text display-inline="no-display-inline">Congress finds that—</text>
			<paragraph id="H8DBC0F9411E8411E8F9AAF7BD66595DB"><enum>(1)</enum><text>approximately 30
			 percent of the total quantity of energy consumed in the United States is used
			 to provide thermal energy for heating and cooling building space, domestic hot
			 water, and industrial processes;</text>
			</paragraph><paragraph id="HD525A365A6D549EFA7092B658DC3C300"><enum>(2)</enum><text>thermal energy is
			 an essential, but often overlooked, segment of the national energy mix;</text>
			</paragraph><paragraph id="H4C640048B1B04D439371A1519AB2989F"><enum>(3)</enum><text>district energy
			 systems use 1 or more central plants to provide thermal energy to multiple
			 buildings that range in size from campus applications to systems heating entire
			 towns or cities;</text>
			</paragraph><paragraph id="HF3C9C005D8DE47BABFC3AB40CDCA7B0F"><enum>(4)</enum><text>district energy
			 systems provide sustainable thermal energy infrastructure by producing and
			 distributing thermal energy from combined heat power, sources of industrial or
			 municipal surplus heat, and from renewable sources such as biomass, geothermal,
			 and solar energy;</text>
			</paragraph><paragraph id="HDA16966684A344F597C9BCFA6589E024"><enum>(5)</enum><text>as of 2009, the
			 United States had approximately 2,500 operating district energy systems;</text>
			</paragraph><paragraph id="H83AB3661A2B74E03A63CC635FD618D8D"><enum>(6)</enum><text>district energy
			 systems provide advantages that support secure, affordable, renewable, and
			 sustainable energy for the United States, including—</text>
				<subparagraph id="H1035D95043DA4439BD204577C61C2A54"><enum>(A)</enum><text>use of local fuels
			 or waste heat sources that keep jobs and energy dollars in local
			 economies;</text>
				</subparagraph><subparagraph id="H86D992098C104BAD9EB3D361C77F353F"><enum>(B)</enum><text>stable,
			 predictable energy costs for businesses and industry;</text>
				</subparagraph><subparagraph id="HE557697E998C4C6189B134A26176304A"><enum>(C)</enum><text>reduction in
			 reliance on fossil fuels;</text>
				</subparagraph><subparagraph id="HA55464F1863C41C19719FE9A7CEA0BF0"><enum>(D)</enum><text>reduction in
			 emissions of greenhouse gases; and</text>
				</subparagraph><subparagraph id="H82C190A5F164451AAC2576A138659F0B"><enum>(E)</enum><text>flexibility to
			 modify fuel sources in response to future changes in fuel availability and
			 prices and development of new technologies;</text>
				</subparagraph></paragraph><paragraph id="H9D21B02ED77F4D2E960EAF005630D231"><enum>(7)</enum><text>district energy
			 helps cut peak power demand and reduce power transmission and distribution
			 system constraints by—</text>
				<subparagraph id="HB835D8BF33384D9787D6DA68B07BBA1D"><enum>(A)</enum><text>meeting air
			 conditioning demand through delivery of chilled water produced with heat from
			 combined heat and power or other energy sources; and</text>
				</subparagraph><subparagraph id="H69FF0C48DBDF495A84998074097F81B3"><enum>(B)</enum><text>shifting power
			 demand through thermal storage and, with combined heat and power, generating
			 power near load centers;</text>
				</subparagraph></paragraph><paragraph id="HF8944D6661AC40EE96391A7A65A66140"><enum>(8)</enum><text>combined heat and
			 power systems increase energy efficiency of power plants by capturing thermal
			 energy and using the thermal energy to provide heating and cooling, more than
			 doubling the efficiency of conventional power plants;</text>
			</paragraph><paragraph id="H1D3D2A5232694E059AEC54F841CB7FF8"><enum>(9)</enum><text>according to the
			 Oak Ridge National Laboratory, if the United States was able to increase
			 combined heat and power from approximately 9 percent of total electric
			 generation capacity to 20 percent by 2030, the increase would—</text>
				<subparagraph id="HDC0A9CEE82704AB3ACF89B7E2BD4B1DC"><enum>(A)</enum><text>save as much
			 energy as half of all household energy consumption;</text>
				</subparagraph><subparagraph id="H94074905EE8A4D5085D2EDC400A4993D"><enum>(B)</enum><text>create
			 approximately 1,000,000 new jobs;</text>
				</subparagraph><subparagraph id="H7BD5163392354EB5901D06EFFACFDB03"><enum>(C)</enum><text>avoid more than
			 800,000,000 metric tons of carbon dioxide emissions annually, which is
			 equivalent to taking half of all United States passenger vehicles off the road;
			 and</text>
				</subparagraph><subparagraph id="HB64A3E2FC9D1443BB340CE5D652BA4E9"><enum>(D)</enum><text>save hundreds of
			 millions of barrels of oil equivalent; and</text>
				</subparagraph></paragraph><paragraph id="H9C9B9F57BFD74555BDBFBB08616A4206"><enum>(10)</enum><text>constraints to
			 significant expansion of district energy and combined heat and power
			 include—</text>
				<subparagraph id="H4953CF04D5F74810B830DB57F0CA4BFD"><enum>(A)</enum><text>the lack of
			 economic value in the energy marketplace for the environmental, grid support,
			 energy security, and local economic development benefits of district energy
			 systems;</text>
				</subparagraph><subparagraph id="HC3D4EA85F0EA4345AA353FC4B8C8BA38"><enum>(B)</enum><text>relatively high
			 project development costs due to the variety of institutional, legal, and
			 technical issues that must be addressed; and</text>
				</subparagraph><subparagraph id="HBA29483CD0F94AF3A438F2054E06C531"><enum>(C)</enum><text>the high costs of
			 debt service, particularly in the early years of systems development before a
			 broad base of customers has connected.</text>
				</subparagraph></paragraph></section><section id="HAD1871EFB33B478D9636065935EF2B3F"><enum>3.</enum><header>Purpose</header><text display-inline="no-display-inline">The purpose of this Act is to encourage the
			 implementation of thermal energy infrastructure order to—</text>
			<paragraph id="H628911A4CC604B6292582D158A9EA5CC"><enum>(1)</enum><text>increase energy
			 efficiency;</text>
			</paragraph><paragraph id="HA24A602C3B604CB5BF170E4DD7B163D3"><enum>(2)</enum><text>increase use of
			 renewable energy resources;</text>
			</paragraph><paragraph id="H914E0AC417064B73B002CECC3FDC05E9"><enum>(3)</enum><text>revitalize the
			 infrastructure of the cities and institutions of the United States;</text>
			</paragraph><paragraph id="H654A52069CF54B699FE870B9721CCB61"><enum>(4)</enum><text>reduce local and
			 regional air pollution;</text>
			</paragraph><paragraph id="H5BE387447CB941B9BC8A4FECC133B42E"><enum>(5)</enum><text>reduce emissions
			 of greenhouse gases;</text>
			</paragraph><paragraph id="H80C092EC4A5A4EE2B3443D7DF8342A44"><enum>(6)</enum><text>reduce emissions
			 of ozone-depleting refrigerants; and</text>
			</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H05DE3455534D494881EC7C1F1659F125"><enum>(7)</enum><text>enhance power grid
			 reliability and overall energy supply reliability and energy security.</text>
			</paragraph></section><section id="H88F442857AB6485AAD2BF8EB944A329A"><enum>4.</enum><header>Statement of
			 policy</header><text display-inline="no-display-inline">It is the policy of the
			 United States that, in energy policy development and program implementation,
			 the following factors should be considered:</text>
			<paragraph id="HAFD483B51E45413C9F588985F4F4142B"><enum>(1)</enum><text>Thermal energy
			 represents a significant part of the energy requirements of the United States,
			 providing building heating and cooling, domestic hot water, and industrial
			 process energy.</text>
			</paragraph><paragraph id="H4F11826A41E4405CA221F08B475EB7F3"><enum>(2)</enum><text>There are many
			 opportunities for meeting thermal energy requirements directly through
			 renewable energy sources or recycled energy (such as recovered waste heat),
			 without generation of electricity.</text>
			</paragraph><paragraph id="H4E866B1F6D8146778E66973C64F79B75"><enum>(3)</enum><text>Policies and
			 incentives for encouraging renewable energy and energy efficiency should
			 address thermal energy as well as electricity.</text>
			</paragraph><paragraph id="H12511A94FCBC4AABA79FDBEB39935E94"><enum>(4)</enum><text>District energy
			 systems provide an important means of delivering sustainable thermal energy to
			 consumers, and provide energy security benefits, by—</text>
				<subparagraph id="HD0B7BB756D9F462A8158F669BEDCAE11"><enum>(A)</enum><text>cutting peak power
			 demand;</text>
				</subparagraph><subparagraph id="H302897BACAE44F4AB7CF19353A0BF7F7"><enum>(B)</enum><text>reducing power
			 transmission and distribution system constraints; and</text>
				</subparagraph><subparagraph id="H54DBA9146AD7473A886A1A83288EDBE7"><enum>(C)</enum><text>providing
			 flexibility to modify fuel sources in response to future changes in fuel
			 availabilities and prices and development of new technologies.</text>
				</subparagraph></paragraph></section><title id="H6902590EEC284442816BC551713D07DC"><enum>I</enum><header>Modification of
			 credit for electricity produced from certain renewable sources</header>
			<section id="H6728BF6D0FDC46EB97F63609BA8A5E86"><enum>101.</enum><header>Extension of
			 renewable electricity credit to thermal energy</header>
				<subsection id="H1B0F3109E78D47E290E68428CE944B97"><enum>(a)</enum><header>Credit To
			 include production of thermal energy</header><text>Section 45 of the Internal
			 Revenue Code of 1986 is amended by adding at the end the following new
			 subsection:</text>
					<quoted-block display-inline="no-display-inline" id="H650951774F2B4EC0AFCBEA8F447BF161" style="OLC">
						<subsection id="H1E5CE7E1EE0F4042B22349302F9C00C1"><enum>(f)</enum><header>Credit for
				production of thermal energy</header>
							<paragraph id="H8581F769441B44D995DA642A835486C6"><enum>(1)</enum><header>In
				general</header><text>In the case of a taxpayer who—</text>
								<subparagraph id="HF265406A4F814D2697671F5F7FDD9B6F"><enum>(A)</enum><text>produces thermal
				energy from a qualified energy resource described in subparagraph (B), (C),
				(D), (G), (I), or (J) of subsection (c)(1) at a qualified facility described in
				paragraph (2), (3), (4), (6), (7), (11), or (12) of subsection (d), and</text>
								</subparagraph><subparagraph id="H4C6102DB6E33422FB56C9A8893BD5F36"><enum>(B)</enum><text>makes an election
				under this subsection with respect to such facility,</text>
								</subparagraph><continuation-text continuation-text-level="paragraph">subsection
				(a) shall be applied by substituting <quote>each 3,412 Btus of thermal energy
				(or fraction thereof)</quote> for <quote>the kilowatt hours of
				electricity</quote> in paragraph (2) thereof.</continuation-text></paragraph><paragraph id="H18D0639C3BC84CE9A8F043E0ADEAFF1A"><enum>(2)</enum><header>Thermal
				energy</header><text>For purposes of this section, the term <term>thermal
				energy</term> means heat (in the form of hot water or steam) or cooling (in the
				form of chilled water or ice).</text>
							</paragraph><paragraph id="HB324B484AA0D45CD84BE2FB0DCCFCA61"><enum>(3)</enum><header>Additional
				qualifications</header>
								<subparagraph id="HEFC4489ACE57441BB3A338A12EB24E64"><enum>(A)</enum><header>Combined heat
				and power facility</header><text>In the case of a facility producing both
				electricity and thermal energy, such facility shall not be treated as a
				qualified facility unless such facility—</text>
									<clause id="H45AD221FBD854073A89C52FA6E696C13"><enum>(i)</enum><text>meets the
				requirements of section 48(c)(3)(A) (without regard to clause (iv) thereof);
				and</text>
									</clause><clause id="HD6CE994A97C641179549481EA6CBD169"><enum>(ii)</enum><text>was originally
				placed in service after the date of the enactment of the Thermal Renewable
				Energy and Efficiency Act of 2010, and before the date which is 5 years after
				such date.</text>
									</clause></subparagraph><subparagraph id="HC3FA4BCDD57849FBB31B382E679357C3"><enum>(B)</enum><header>Thermal
				facility</header><text>In the case of a facility producing only thermal energy,
				such facility shall not be treated as a qualified facility unless such
				facility—</text>
									<clause id="HEC2F07C7430E4F5B97E3BF24A0E7DA4A"><enum>(i)</enum><text>has an energy
				efficiency percentage (as determined under section 48(c)(3)(C)) in excess of 60
				percent; and</text>
									</clause><clause id="H9D3C60DB04FB462284ABB4538D6E0E5A"><enum>(ii)</enum><text>was originally
				placed in service after the date of the enactment of the Thermal Renewable
				Energy and Efficiency Act of 2010, and before the date which is 5 years after
				such date.</text>
									</clause></subparagraph></paragraph><paragraph id="H38ECDDAE6B6B42CE9E25935E95FB0E98"><enum>(4)</enum><header>Denial of double
				benefit</header><text>If an election under this subsection is in effect with
				respect to any facility, no credit shall be allowed under subsection (a) with
				respect to the production of electricity at such facility.</text>
							</paragraph><paragraph id="HFA897511FE444D5D9000BA945839232A"><enum>(5)</enum><header>Election</header>
								<subparagraph id="H9BCC1F7FB0704FA2A619540D26B8E59B"><enum>(A)</enum><header>In
				general</header><text>An election under this subsection shall specify the
				facility to which the election applies and shall be in such manner as the
				Secretary may by regulations prescribe.</text>
								</subparagraph><subparagraph id="HD299C07D8C19486CB31FBAD4B9727BF1"><enum>(B)</enum><header>Election
				irrevocable</header><text>Any election made under this subsection may not be
				revoked except with the consent of the
				Secretary.</text>
								</subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="HD95C54BFC4EF4A689D1C6329B4BA6977"><enum>(b)</enum><header>Naturally
			 occurring cold water sources treated as qualified energy
			 resource</header><text>Paragraph (1) of section 45(c) of the Internal Revenue
			 Code of 1986 is amended—</text>
					<paragraph id="HE476FCB9AD524A86B3C395EC4D50CAA1"><enum>(1)</enum><text>by striking
			 <quote>and</quote> at the end of subparagraph (H),</text>
					</paragraph><paragraph id="HA9A38B3985BC4FA69AC299D9AC8173B2"><enum>(2)</enum><text>by striking the
			 period at the end of subparagraph (I) and inserting <quote>, and</quote>,
			 and</text>
					</paragraph><paragraph id="H3320CBBBC4124B90A61555EEB5B8ADF3"><enum>(3)</enum><text>by adding at the
			 end the following new subparagraph:</text>
						<quoted-block display-inline="no-display-inline" id="H533F953F95B3466A95BF13AA11359FEA" style="OLC">
							<subparagraph id="HB5BC712AE685470D93E6915B2178EF84"><enum>(J)</enum><text>naturally
				occurring cold water sources which are used to provide thermal energy for air
				conditioning.</text>
							</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
					</paragraph></subsection><subsection id="H274557BF05C548BBB0F31C52C8698E58"><enum>(c)</enum><header>Qualified
			 facilities</header><text display-inline="yes-display-inline">Section 45(d) of
			 the Internal Revenue Code of 1986 is amended by adding at the end the following
			 new paragraph:</text>
					<quoted-block display-inline="no-display-inline" id="HEB2FF2C266D94F32A82649FB978AB407" style="OLC">
						<paragraph id="HB1873056F19D4E06B7A2444D6A1912FA"><enum>(12)</enum><header>Natural air
				conditioning system facility</header><text>In the case of a facility providing
				thermal energy for air conditioning from naturally occurring cold water
				sources, the term <term>qualified facility</term> means any facility owned by
				the taxpayer which is originally placed in service after the date of the
				enactment of the <short-title>Thermal Renewable Energy and
				Efficiency Act of 2010</short-title>, and before the date which is 5 years
				after such
				date.</text>
						</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="HE0FCB5E8F815474F8EB18CFF65C3A8BC"><enum>(d)</enum><header>Conforming
			 amendments</header>
					<paragraph id="HEE9F7A126D234AF5ADE3CF6246D979C8"><enum>(1)</enum><text>Section
			 45(b)(4)(A) of the Internal Revenue Code of 1986 is amended by inserting
			 <quote>or thermal energy</quote> after <quote>electricity</quote>.</text>
					</paragraph><paragraph id="HB96027C24CA04DA180A072EA632F85CE"><enum>(2)</enum><text>Section 45(c)(2)
			 of such Code is amended by inserting <quote>or thermal energy</quote> after
			 <quote>electricity</quote>.</text>
					</paragraph><paragraph id="HC914B1BA9CF74DEEACE6CCD28ED4D7F2"><enum>(3)</enum><text>Section 45(d) of
			 such Code is amended by inserting <quote>or thermal energy</quote> after
			 <quote>electricity</quote> each place it appears in paragraphs (2), (3), (4),
			 (6), (7), and (11).</text>
					</paragraph><paragraph id="H745B1EB2B3204FF89BD71E789E50162F"><enum>(4)</enum><text>Section 45(e) of
			 such Code is amended by inserting <quote>or thermal energy</quote> after
			 <quote>electricity</quote> each place it appears in paragraphs (1), (4), and
			 (9).</text>
					</paragraph><paragraph id="H3CC3DEE2A23B4661BCCC5C437E2DA1E3"><enum>(5)</enum><text>The heading of
			 section 45 of such Code is amended by inserting <quote><header-in-text level="section" style="OLC">and thermal energy</header-in-text></quote> after
			 <quote><header-in-text level="section" style="OLC">Electricity</header-in-text></quote>.</text>
					</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HA61766B33FB64896B96D866E2713B0B3"><enum>(6)</enum><text>The item relating
			 to section 45 in the table of sections for subpart D of part IV of subchapter A
			 of chapter 1 of such Code is amended by inserting <quote>and thermal
			 energy</quote> after <quote>Electricity</quote>.</text>
					</paragraph></subsection><subsection id="HEBA7DB8E62744E23B630C77F2F49B222"><enum>(e)</enum><header>Modification of
			 definition of open-Loop biomass</header>
					<paragraph id="HEB04992D64824FE7B7BEB8C3210222C4"><enum>(1)</enum><header>In
			 general</header><text display-inline="yes-display-inline">Paragraph (3) of
			 section 45(c) of the Internal Revenue Code of 1986 is amended by adding at the
			 end the following new subparagraph:</text>
						<quoted-block display-inline="no-display-inline" id="H651812CB285E4DAC903C9CDAAFF34B59" style="OLC">
							<subparagraph id="HB24FD53BADD14A748F2BB5E9D18CC1F7"><enum>(C)</enum><header>Special rule for
				thermal facilities</header><text>In the case of a qualified facility which
				produces thermal energy with respect to which the taxpayer makes an election
				under subsection (f), the term <quote>open-loop biomass</quote> has the meaning
				given the term in section 203(b) of the Energy Policy Act of 2005, as
				amended.</text>
							</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
					</paragraph><paragraph id="HB4AC36456C4D4543A7269A6305DA8440"><enum>(2)</enum><header>Conforming
			 amendment</header><text>Subparagraph (A) of section 45(c)(3) of such Code is
			 amended by striking <quote>The</quote> and inserting <quote>Except as provided
			 in subparagraph (C), the</quote>.</text>
					</paragraph></subsection><subsection id="HB8C4D2EA280D40F0928DB9CB16D621C3"><enum>(f)</enum><header>Effective
			 date</header><text>The amendments made by this section shall apply to energy
			 produced and sold after the date of the enactment of this Act.</text>
				</subsection></section><section id="H96286DBD03E941A28AAC62C15AD25F88"><enum>102.</enum><header>Federal
			 purchase requirement amendments</header><text display-inline="no-display-inline">Section 203 of the Energy Policy Act of 2005
			 (42 U.S.C. 15852) is amended by striking subsection (b) and inserting the
			 following:</text>
				<quoted-block display-inline="no-display-inline" id="HA1D9AF0F3F50478A9FD23533898CEC0D" style="OLC">
					<subsection id="HD52E273E0B644329842742B277ABD89C"><enum>(b)</enum><header>Definitions</header><text>In
				this section:</text>
						<paragraph id="H7C78EE0B913C42219E65B1A56E5C7A82"><enum>(1)</enum><header>Biomass</header><text>The
				term <term>biomass</term> means the following types of nonhazardous organic
				materials:</text>
							<subparagraph id="HA548011B76BD4639ACD105957E956098"><enum>(A)</enum><text>Residues and
				byproducts from milled logs.</text>
							</subparagraph><subparagraph id="H7122BBB3AD844A6DBA6A8163C5CB9AE4"><enum>(B)</enum><text>Wood, paper
				products that are not commonly recyclable, and vegetation (including trees and
				trimmings, yard waste, pallets, railroad ties, crates, and solid-wood
				manufacturing and construction debris), if diverted from or separated from
				other waste out of a municipal waste stream.</text>
							</subparagraph><subparagraph id="HACD61D1CE3B24EE5A786DAFD8705F64A"><enum>(C)</enum><text>Hazard trees,
				trimmings, and brush that are necessary to remove in order to maintain a
				utility right-of-way or a public road (not including any unpaved road on
				Federal land).</text>
							</subparagraph><subparagraph id="H9FC8728979D94A75BCB67F62ADD2EC17"><enum>(D)</enum><text>Trees, trimmings,
				and brush harvested from the immediate vicinity of any building, campground, or
				other structure in wildfire prone areas to reduce the risk to the structure or
				campground or to human life from wildfires.</text>
							</subparagraph><subparagraph id="H09BA3FADECA84C938293147984141BB3"><enum>(E)</enum><text>Invasive species
				(as defined in Executive Order 13112 (42 U.S.C. 4321 note; relating to invasive
				species)) removed to control or eradicate the invasive species.</text>
							</subparagraph><subparagraph id="HF5ECFB71070243629EA97545F8C5D127"><enum>(F)</enum><text>Animal waste and
				animal byproducts (including biogas and any solid produced by
				micro-organisms).</text>
							</subparagraph><subparagraph id="H5F69061C6A46466DA969EBEF80B78510"><enum>(G)</enum><text>Food waste.</text>
							</subparagraph><subparagraph id="H23F9C828A39B4D1BBBF10230F6DB240C"><enum>(H)</enum><text>Algae.</text>
							</subparagraph><subparagraph id="H00B0B0B4FD2B422C9B28F527967894D7"><enum>(I)</enum><text>Slash, brush,
				trees, and other vegetation that is harvested from non-Federal land or Indian
				land—</text>
								<clause id="H6752FE6C90464412972CBBA87AD83584"><enum>(i)</enum><text>that is, at the
				time of harvest—</text>
									<subclause id="H35E3CD56FFF94DDAAB6F7492ACBC24A7"><enum>(I)</enum><text>naturally
				regenerated forest land;</text>
									</subclause><subclause id="HC9F80E3413D54035BF3AB9424150A33A"><enum>(II)</enum><text>forest land that
				was planted for the purpose of restoring land to a naturally regenerated
				forest; or</text>
									</subclause><subclause id="H2A6F2862E42746659D8EC80E47C4B831"><enum>(III)</enum><text>if harvested in
				quantities and through practices that maintain or contribute toward the
				restoration of the species, ecological systems, and ecological communities for
				which the conservation forest land was identified, conservation forest land;
				or</text>
									</subclause></clause><clause id="H51BE1E8038C94A4EA60152383E427725"><enum>(ii)</enum><text>that is—</text>
									<subclause id="H1B347A5A30AC4CF6BB64594C6BE20DDF"><enum>(I)</enum><text>at the time of
				harvest, planted forest land; and</text>
									</subclause><subclause id="HBE47125B01394D4B86461D3050211D48"><enum>(II)</enum><text>on the date of
				enactment of the <short-title>Thermal Renewable Energy and
				Efficiency Act of 2010</short-title>, cropland (including fallow land),
				pastureland, or planted forest land.</text>
									</subclause></clause></subparagraph><subparagraph id="HB397F097157C43F78B5C74CDED11C6EE"><enum>(J)</enum><text>Crops, crop
				byproducts, and crop residues from non-Federal land or Indian land that
				is—</text>
								<clause id="H660398D2ED4C4CD7A2127DD754F4CC0B"><enum>(i)</enum><text>at
				the time of harvest, not forest land; and</text>
								</clause><clause id="H3C0CCADF50664D0B98E6BC10EBF9D2FA"><enum>(ii)</enum><text>on the date of
				enactment of the <short-title>Thermal Renewable Energy and
				Efficiency Act of 2010</short-title>—</text>
									<subclause id="HDD25E6A3DD3B4F9FA6CDDCBDA73EF1CB"><enum>(I)</enum><text>cropland
				(including fallow land and not including planted forest land); or</text>
									</subclause><subclause id="H440FD3CB3AB84641930BCA593C4E1E26"><enum>(II)</enum><text>pastureland.</text>
									</subclause></clause></subparagraph><subparagraph id="H0B6EEA3474974D9F8E685722EF12309E"><enum>(K)</enum><text>If harvested from
				Federal land in accordance with applicable law and land management plans and in
				quantities and through practices that maintain or contribute toward the
				restoration of ecological sustainability—</text>
								<clause id="H93F40708555D424791B41B834C8F53B6"><enum>(i)</enum><text>slash; and</text>
								</clause><clause id="HD91EBB3D4DBD4F848BA90E7676576740"><enum>(ii)</enum><text>brush and trees
				that are byproducts of ecological restoration, disease or insect infestation
				control, or hazardous fuels reduction treatments and—</text>
									<subclause id="HB0C7B39AF8564706A779957F5F23267F"><enum>(I)</enum><text>are from stands
				that—</text>
										<item id="H7C0C8B04BDA041FCAA9F83C9FFFA564F"><enum>(aa)</enum><text>were killed by an
				insect or disease epidemic or a natural disaster; and</text>
										</item><item id="H2150001D9BF2435992273850496CAEB7"><enum>(bb)</enum><text>do
				not meet the utilization standards for sawtimber; or</text>
										</item></subclause><subclause id="H45C66E2F1F8E4578B16205AC175F9C48"><enum>(II)</enum><text>do not exceed the
				minimum size standards for sawtimber.</text>
									</subclause></clause></subparagraph></paragraph><paragraph id="H6953471751204254B46223D10F7497EF"><enum>(2)</enum><header>Conservation
				forest land</header>
							<subparagraph id="H43D4DE54DC5C40AEBAFEFDF1B3E27154"><enum>(A)</enum><header>In
				general</header><text>The term <term>conservation forest land</term> means
				forest land that contains a species, or includes all or part of an ecological
				system or community, that is at risk of extinction or elimination within a
				State or globally.</text>
							</subparagraph><subparagraph id="HA0857DFBE0B74CCE9E394C05139B713D"><enum>(B)</enum><header>Identification</header><text>Conservation
				forest land shall be identified based on the best available science and data by
				any of—</text>
								<clause id="HBA6A75CB17E5410782D0904BC58EF038"><enum>(i)</enum><text>the State in which
				the land is located, unless the land is under the jurisdiction of an Indian
				tribe;</text>
								</clause><clause id="HAD1F6D027CE94DB1A703627D57E0BE96"><enum>(ii)</enum><text>an Indian tribe
				with jurisdiction over the land; or</text>
								</clause><clause id="H905E2E95B1FF4B0689FD05B7D99014D4"><enum>(iii)</enum><text>in consultation
				with the State in which the land is located or the Indian tribe with
				jurisdiction over the land—</text>
									<subclause id="H0F63FFD5AE0E4D37956591B7DB4695D1"><enum>(I)</enum><text>the Secretary of
				Agriculture; or</text>
									</subclause><subclause id="HD3A850B4AEA94F14B6691B44D22C0452"><enum>(II)</enum><text>the Secretary of
				the Interior.</text>
									</subclause></clause></subparagraph><subparagraph id="H1563267123014DBBB5C471387AF2CE79"><enum>(C)</enum><header>Exceptions</header><text>A
				tract of conservation forest land may not be removed from conservation forest
				land status under this section as a result of land management practices on the
				tract that—</text>
								<clause id="H6C2CB3026D8C4910A8A2763DB95DD91C"><enum>(i)</enum><text>occurred on or
				after the <short-title>Thermal Renewable Energy and
				Efficiency Act of 2010</short-title>; and</text>
								</clause><clause id="H8C16DEA89EA14F23AE1E6288FFA1658A"><enum>(ii)</enum><text>contributed
				toward the elimination of the species, or all or part of an ecological system
				or ecological community for which the land was identified as conservation
				forest land.</text>
								</clause></subparagraph></paragraph><paragraph id="H22F87E06533642AA847D614F1FC75769"><enum>(3)</enum><header>Federal
				land</header>
							<subparagraph id="HAEF387B1123944D086FDAA23726299B8"><enum>(A)</enum><header>In
				general</header><text>The term <term>Federal land</term> means—</text>
								<clause id="HAD99F01312974C6595D3C177CA2E26A4"><enum>(i)</enum><text>National Forest
				System land; and</text>
								</clause><clause id="H569803F92FD94766A046BDE627228037"><enum>(ii)</enum><text>public lands (as
				defined in section 103 of the Federal Land Policy and Management Act of 1976
				(43 U.S.C. 1702)).</text>
								</clause></subparagraph><subparagraph id="HF49BAC5D84E74E62B0D44445CBB302B6"><enum>(B)</enum><header>Exclusions</header>
								<clause id="HA02337D660B14834A2B2FB9BEB06ED91"><enum>(i)</enum><header>In
				general</header><text>The term <term>Federal land</term> does not
				include—</text>
									<subclause id="H02BCA194629F43E7B31309B47D3D01DF"><enum>(I)</enum><text>any area
				designated by Congress to be administered for conservation purposes; or</text>
									</subclause><subclause id="HF7401B256608475BA4A4A32FAB5A7FF4"><enum>(II)</enum><text>a National
				Monument proclaimed by the President.</text>
									</subclause></clause><clause id="H9016CB07E1ED4B878179EB3940E0361D"><enum>(ii)</enum><header>Old growth or
				late successional forest stands</header><text>The term <term>Federal
				land</term> does not include an old growth or late successional forest stand
				unless biomass from the stand does not exceed the minimum size standards for
				sawtimber and is a byproduct of an ecological restoration treatment that fully
				maintains, or contributes toward the restoration of, the structure and
				composition of an old growth forest stand in accordance with the old growth
				conditions characteristic of the forest type and retains the large trees
				contributing to old growth structure.</text>
								</clause></subparagraph></paragraph><paragraph id="H9BBF463FFF75403E85785CC8DB6414FD"><enum>(4)</enum><header>Indian
				land</header><text>The term <term>Indian land</term> has the meaning given the
				term <term>Indian country</term> in section 1151 of title 18, United States
				Code.</text>
						</paragraph><paragraph id="HDAE4ED9D0DBB4AB48C913DAD3A827DBD"><enum>(5)</enum><header>Indian
				tribe</header><text>The term <term>Indian tribe</term> has the meaning given
				the term in section 4 of the Indian Self-Determination and Education Assistance
				Act (25 U.S.C. 450b).</text>
						</paragraph><paragraph id="H12FB9E254F884649B3BB1851125AD1CD"><enum>(6)</enum><header>Non-Federal
				land</header><text>The term <term>non- Federal land</term> means land that is
				not owned by the Federal Government.</text>
						</paragraph><paragraph id="H3DA3BC471D874CCEAE373587276C7B0A"><enum>(7)</enum><header>Renewable
				energy</header><text>The term <term>renewable energy</term> means energy
				generated from solar, wind, biomass, landfill gas, ocean (including tidal,
				wave, current, and thermal), geothermal, municipal solid waste, or new
				hydroelectric generation capacity achieved from increased efficiency or
				additions of new capacity at an existing hydroelectric project.</text>
						</paragraph><paragraph id="H9DC6F0ABC9F64681A38DCFBC5BB711A0"><enum>(8)</enum><header>Secretary
				concerned</header><text>The term <term>Secretary concerned</term> means—</text>
							<subparagraph id="H6FCCB693534E4A6486FF7F0CFBA9BD75"><enum>(A)</enum><text>the Secretary of
				Agriculture, with regard to—</text>
								<clause id="HB453C305C4A7479BA65CDA10E5D45126"><enum>(i)</enum><text>National Forest
				System land; and</text>
								</clause><clause id="H4A0B9389B50F4685B2380BBE76148BF9"><enum>(ii)</enum><text>except as
				provided by subparagraph (B), non-Federal land; and</text>
								</clause></subparagraph><subparagraph id="HD13775B9556A44028198ACAEE376B22B"><enum>(B)</enum><text>the Secretary of
				the Interior, with regard to—</text>
								<clause id="HC1569AAFAB3D4BECBCF3B30E38E8D968"><enum>(i)</enum><text>public lands (as
				defined in section 103 of the Federal Land Policy and Management Act of 1976
				(43 U.S.C. 1702)); and</text>
								</clause><clause id="H2EBE7C7DEFE440F19CD479EA31704049"><enum>(ii)</enum><text>Indian
				land.</text>
								</clause></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
			</section></title><title id="H48D4936C0C7E4B52AC1CDD222DEFC902"><enum>II</enum><header>Exempt facility
			 bonds</header>
			<section id="HF9EB238CFF9445DB924C843A064EE944"><enum>201.</enum><header>Exempt facility
			 bonds</header>
				<subsection id="HF2D96151FBCC45D285A87EEAF5E714AC"><enum>(a)</enum><header>Definition of
			 local district heating and cooling facilities</header><text>Subparagraph (A) of
			 section 142(g)(2) of the Internal Revenue Code of 1986 is amended by striking
			 <quote>a pipeline or network (which may be connected to a heating or cooling
			 source) providing hot water, chilled water, or steam</quote> and inserting
			 <quote>equipment for producing thermal energy in the form of hot water, chilled
			 water or steam, distributing that thermal energy in pipelines and transferring
			 the thermal energy</quote>.</text>
				</subsection><subsection commented="no" display-inline="no-display-inline" id="H1D5ACC47873C4F319471A59D3455AA4E"><enum>(b)</enum><header>Public use
			 requirement</header><text>The Secretary shall promulgate regulations
			 establishing that a local district heating or cooling facility will be treated
			 in all events as serving a general public use for purposes of the Internal
			 Revenue Code of 1986.</text>
				</subsection></section></title><title id="H25CCC2F6C2EF44DA9CB7BC9309032D46"><enum>III</enum><header>Energy
			 sustainability and efficiency grants for institutions</header>
			<section id="H52CB947835524D04B876D06D3264B289"><enum>301.</enum><header>Definition of
			 institutional entity</header><text display-inline="no-display-inline">Section
			 399A(a)(5) of the Energy Policy and Conservation Act (42 U.S.C. 6371h–1(a)(5))
			 is amended by inserting <quote>a not-for-profit district energy system,</quote>
			 after <quote>utility,</quote>.</text>
			</section><section id="H2A6F3E10A88041D6838A5630E2D26B46"><enum>302.</enum><header>Availability of
			 grants</header><text display-inline="no-display-inline">Section 399A(f) of the
			 Energy Policy and Conservation Act (42 U.S.C. 6371h–1(f)) is amended—</text>
				<paragraph id="H8B3F6F2844554682A93DDDBEFFADEB1E"><enum>(1)</enum><text>in paragraph
			 (2)—</text>
					<subparagraph id="H6B16496FB4E4492190032FC15E078BE2"><enum>(A)</enum><text>in subparagraph
			 (A)(i), by striking <quote>$50,000</quote> and inserting
			 <quote>$90,000</quote>;</text>
					</subparagraph><subparagraph id="HAE4B3C1487D7421C889CF3B6A323FC31"><enum>(B)</enum><text>in subparagraph
			 (B)(i), by striking <quote>$90,000</quote> and inserting
			 <quote>$150,000</quote>; and</text>
					</subparagraph><subparagraph id="H5B60A880D36642A0936828DE366624FE"><enum>(C)</enum><text>in subparagraph
			 (C)(i), by striking <quote>$250,000</quote> and inserting
			 <quote>$600,000</quote>; and</text>
					</subparagraph></paragraph><paragraph id="H2B7EAEC295024DA3A5801ED121F6C60F"><enum>(2)</enum><text>in paragraph
			 (3)—</text>
					<subparagraph id="HB4DD033C7BA548F79D00BA4C1601BCE2"><enum>(A)</enum><text>in subparagraph
			 (A), by striking <quote>$1,000,000</quote> and inserting
			 <quote>$20,000,000</quote>; and</text>
					</subparagraph><subparagraph id="HCF054030CD404191B4BE7F830D9ED3C1"><enum>(B)</enum><text>in subparagraph
			 (B), by striking <quote>60 percent</quote> and inserting <quote>30
			 percent</quote>.</text>
					</subparagraph></paragraph></section><section id="H3BF0DCC4F45D49D294E69CC5585D7449"><enum>303.</enum><header>Authorization
			 of appropriations for grants</header><text display-inline="no-display-inline">Section 399A(i)(1) of the Energy Policy and
			 Conservation Act (42 U.S.C. 6371h–1(i)(1)) is amended by striking
			 <quote>$250,000,000 for each of fiscal years 2009 through 2013</quote> and
			 inserting <quote>$500,000,000 for each of fiscal years 2011 through
			 2015</quote>.</text>
			</section></title></legis-body>
</bill>
