[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 1733 Introduced in Senate (IS)]

111th CONGRESS
  1st Session
                                S. 1733

To create clean energy jobs, promote energy independence, reduce global 
      warming pollution, and transition to a clean energy economy.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           September 30, 2009

 Mr. Kerry (for himself and Mrs. Boxer) introduced the following bill; 
 which was read twice and referred to the Committee on Environment and 
                              Public Works

_______________________________________________________________________

                                 A BILL


 
To create clean energy jobs, promote energy independence, reduce global 
      warming pollution, and transition to a clean energy economy.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Clean Energy Jobs 
and American Power Act''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Economy-wide emission reduction goals.
Sec. 4. Definitions.
  DIVISION A--AUTHORIZATIONS FOR POLLUTION REDUCTION, TRANSITION, AND 
                               ADAPTATION

Sec. 101. Structure of Act.
               TITLE I--GREENHOUSE GAS REDUCTION PROGRAMS

                    Subtitle A--Clean Transportation

Sec. 111. Emission standards.
                        ``PART B--Mobile Sources

        ``Sec. 821. Greenhouse gas emission standards for mobile 
                            sources.
Sec. 112. Greenhouse gas emission reductions through transportation 
                            efficiency.
                   ``PART C--Transportation Emissions

        ``Sec. 831. Greenhouse gas emission reductions through 
                            transportation efficiency.
Sec. 113. Transportation greenhouse gas emission reduction program 
                            grants.
        ``Sec. 832. Transportation greenhouse gas emission reduction 
                            program grants.
Sec. 114. SmartWay transportation efficiency program.
        ``Sec. 822. SmartWay transportation efficiency program.
              Subtitle B--Carbon Capture and Sequestration

Sec. 121. National strategy.
Sec. 122. Regulations for geological sequestration sites.
        ``Sec. 813. Geological storage sites.
Sec. 123. Studies and reports.
Sec. 124. Performance standards for coal-fueled power plants.
        ``Sec. 812. Performance standards for new coal-fired power 
                            plants.
Sec. 125. Carbon capture and sequestration demonstration and early 
                            deployment program.
             Subtitle C--Nuclear and Advanced Technologies

Sec. 131. Findings and policy.
Sec. 132. Nuclear worker training.
Sec. 133. Nuclear safety and waste management programs.
                      Subtitle D--Water Efficiency

Sec. 141. WaterSense.
Sec. 142. Federal procurement of water-efficient products.
Sec. 143. State residential water efficiency and conservation 
                            incentives program.
                       Subtitle E--Miscellaneous

Sec. 151. Office of Consumer Advocacy.
Sec. 152. Clean technology business competition grant program.
Sec. 153. Product carbon disclosure program.
Sec. 154. State recycling programs.
Sec. 155. Supplemental agriculture and forestry greenhouse gas 
                            reduction and renewable energy program.
Sec. 156. Economic Development Climate Change Fund.
        ``Sec. 219. Economic Development Climate Change Fund.
Sec. 157. Study of risk-based programs addressing vulnerable areas.
           Subtitle F--Energy Efficiency and Renewable Energy

Sec. 161. Renewable energy.
Sec. 162. Advanced biofuels.
Sec. 163. Energy efficiency in building codes.
Sec. 164. Retrofit for energy and environmental performance.
  Subtitle G--Emission Reductions From Public Transportation Vehicles

Sec. 171. Short title.
Sec. 172. State fuel economy regulation for taxicabs.
Sec. 173. State regulation of motor vehicle emissions for taxicabs.
                Subtitle H--Clean Energy and Natural Gas

Sec. 181. Clean Energy and Accelerated Emission Reduction Program.
Sec. 182. Advanced natural gas technologies.
                           TITLE II--RESEARCH

                      Subtitle A--Energy Research

Sec. 201. Advanced energy research.
   Subtitle B--Drinking Water Adaptation, Technology, Education, and 
                                Research

Sec. 211. Effects of climate change on drinking water utilities.
                  TITLE III--TRANSITION AND ADAPTATION

              Subtitle A--Green Jobs and Worker Transition

                           PART 1--Green Jobs

Sec. 301. Clean energy curriculum development grants.
Sec. 302. Development of Information and Resources clearinghouse for 
                            vocational education and job training in 
                            renewable energy sectors.
Sec. 303. Green construction careers demonstration project.
          PART 2--Climate Change Worker Adjustment Assistance

Sec. 311. Petitions, eligibility requirements, and determinations.
Sec. 312. Program benefits.
Sec. 313. General provisions.
           Subtitle B--International Climate Change Programs

Sec. 321. Strategic Interagency Board on International Climate 
                            Investment.
Sec. 322. Emission reductions from reduced deforestation.
               ``PART E--Supplemental Emission Reductions

        ``Sec. 751. Definitions.
        ``Sec. 752. Purposes.
        ``Sec. 753. Emission reductions from reduced deforestation.
Sec. 323. International Clean Energy Deployment Program.
Sec. 324. International climate change adaptation and global security 
                            program.
Sec. 325. Evaluation and reports.
Sec. 326. Report on climate actions of major economies.
                 Subtitle C--Adapting to Climate Change

                      PART 1--Domestic Adaptation

         subpart a--national climate change adaptation program

Sec. 341. National Climate Change Adaptation Program.
Sec. 342. Climate services.
              subpart b--public health and climate change

Sec. 351. Sense of Congress on public health and climate change.
Sec. 352. Relationship to other laws.
Sec. 353. National strategic action plan.
Sec. 354. Advisory board.
Sec. 355. Reports.
Sec. 356. Definitions.
subpart c--climate change safeguards for natural resources conservation

Sec. 361. Purposes.
Sec. 362. Natural resources climate change adaptation policy.
Sec. 363. Definitions.
Sec. 364. Council on Environmental Quality.
Sec. 365. Natural Resources Climate Change Adaptation Panel.
Sec. 366. Natural Resources Climate Change Adaptation Strategy.
Sec. 367. Natural resources adaptation science and information.
Sec. 368. Federal natural resource agency adaptation plans.
Sec. 369. State natural resources adaptation plans.
Sec. 370. Natural Resources Climate Change Adaptation Account.
Sec. 371. National Fish and Wildlife Habitat and Corridors Information 
                            Program.
Sec. 372. Additional provisions regarding Indian tribes.
        subpart d--additional climate change adaptation programs

Sec. 381. Water system mitigation and adaption partnerships.
Sec. 382. Flood control, protection, prevention, and response.
Sec. 383. Wildfire.
Sec. 384. Coastal and Great Lakes State adaptation program.
             DIVISION B--POLLUTION REDUCTION AND INVESTMENT

               TITLE I--REDUCING GLOBAL WARMING POLLUTION

             Subtitle A--Reducing Global Warming Pollution

Sec. 101. Reducing global warming pollution.
 ``TITLE VII--GLOBAL WARMING POLLUTION REDUCTION AND INVESTMENT PROGRAM

     ``PART A--Global Warming Pollution Reduction Goals and Targets

        ``Sec. 701. Findings.
        ``Sec. 702. Economy-wide reduction goals.
        ``Sec. 703. Reduction targets for specified sources.
        ``Sec. 704. Supplemental pollution reductions.
        ``Sec. 705. Review and program recommendations.
        ``Sec. 706. National Academy review.
        ``Sec. 707. Presidential response and recommendations.
       ``PART B--Designation and Registration of Greenhouse Gases

        ``Sec. 711. Designation of greenhouse gases.
        ``Sec. 712. Carbon dioxide equivalent value of greenhouse 
                            gases.
        ``Sec. 713. Greenhouse gas registry.
        ``Sec. 714. Perfluorocarbon regulation.
                        ``PART C--Program Rules

        ``Sec. 721. Emission allowances.
        ``Sec. 722. Prohibition of excess emissions.
        ``Sec. 723. Penalty for noncompliance.
        ``Sec. 724. Trading.
        ``Sec. 725. Banking and borrowing.
        ``Sec. 726. Market Stability Reserve.
        ``Sec. 727. Permits.
        ``Sec. 728. International emission allowances.
                           ``PART D--Offsets

        ``Sec. 731. Offsets Integrity Advisory Board.
        ``Sec. 732. Establishment of offsets program.
        ``Sec. 733. Eligible project types.
        ``Sec. 734. Requirements for offset projects.
        ``Sec. 735. Approval of offset projects.
        ``Sec. 736. Verification of offset projects.
        ``Sec. 737. Issuance of offset credits.
        ``Sec. 738. Audits.
        ``Sec. 739. Program review and revision.
        ``Sec. 740. Early offset supply.
        ``Sec. 741. Environmental considerations.
        ``Sec. 742. Trading.
        ``Sec. 743. Office of Offsets Integrity.
        ``Sec. 744. International offset credits.
Sec. 102. Definitions.
        ``Sec. 700. Definitions.
Sec. 103. Offset reporting requirements.
                 Subtitle B--Disposition of Allowances

Sec. 111. Disposition of allowances for global warming pollution 
                            reduction program.
                  ``PART H--Disposition of Allowances

        ``Sec. 771. Allocation of emission allowances.
        ``Sec. 772. Electricity consumers.
        ``Sec. 773. Natural gas consumers.
        ``Sec. 774. Home heating oil and propane consumers.
        ``Sec. 775. Domestic fuel production.
        ``Sec. 776. Consumer protection.
        ``Sec. 777. Exchange for State-issued allowances.
        ``Sec. 778. Auction procedures.
        ``Sec. 779. Auctioning allowances for other entities.
        ``Sec. 780. Commercial deployment of carbon capture and 
                            sequestration technologies.
        ``Sec. 781. Oversight of allocations.
        ``Sec. 782. Early action recognition.
        ``Sec. 783. Establishment of Deficit Reduction Fund.
            Subtitle C--Additional Greenhouse Gas Standards

Sec. 121. Greenhouse gas standards.
           ``TITLE VIII--ADDITIONAL GREENHOUSE GAS STANDARDS

        ``Sec. 801. Definitions.
                 ``PART A--Stationary Source Standards

        ``Sec. 811. Standards of performance.
Sec. 122. HFC regulation.
        ``Sec. 619. Hydrofluorocarbons (HFCs).
Sec. 123. Black carbon.
                         ``PART E--Black Carbon

        ``Sec. 851. Black carbon.
Sec. 124. States.
Sec. 125. State programs.
                        ``PART F--Miscellaneous

        ``Sec. 861. State programs.
        ``Sec. 862. Grants for support of air pollution control 
                            programs.
Sec. 126. Enforcement.
Sec. 127. Conforming amendments.
Sec. 128. Davis-Bacon compliance.
                  Subtitle D--Carbon Market Assurance

Sec. 131. Carbon market assurance.
      Subtitle E--Ensuring Real Reductions in Industrial Emissions

Sec. 141. Ensuring real reductions in industrial emissions.
       ``PART F--Ensuring Real Reductions in Industrial Emissions

        ``Sec. 761. Purposes.
        ``Sec. 762. Definitions.
        ``Sec. 763. Eligible industrial sectors.
        ``Sec. 764. Distribution of emission allowance rebates.
        ``Sec. 765. International trade.
                     TITLE II--PROGRAM ALLOCATIONS

Sec. 201. Investment in clean vehicle technology.
Sec. 202. State and local investment in energy efficiency and renewable 
                            energy.
Sec. 203. Energy efficiency in building codes.
Sec. 204. Building retrofit program.
Sec. 205. Energy Innovation Hubs.
Sec. 206. ARPA-E research.
Sec. 207. International clean energy deployment program.
Sec. 208. International climate change adaptation and global security.
Sec. 209. Energy efficiency and renewable energy worker training.
Sec. 210. Worker transition.
Sec. 211. State programs for greenhouse gas reduction and climate 
                            adaptation.
Sec. 212. Climate Change Health Protection and Promotion Fund.
Sec. 213. Climate change safeguards for natural resources conservation.
Sec. 214. Nuclear worker training.
Sec. 215. Supplemental agriculture, renewable energy, and forestry.

SEC. 2. FINDINGS.

    Congress finds that--
            (1) the United States can take back control of the energy 
        future of the United States, strengthen economic 
        competitiveness, safeguard the health of families and the 
        environment, and ensure the national security, of the United 
        States by increasing energy independence;
            (2) creating a clean energy future requires a comprehensive 
        approach that includes support for the improvement of all 
        energy sources, including coal, natural gas, nuclear power, and 
        renewable generation;
            (3) efficiency in the energy sector also represents a 
        critical avenue to reduce energy consumption and carbon 
        pollution, and those benefits can be captured while generating 
        additional savings for consumers;
            (4) substantially increasing the investment in the clean 
        energy future of the United States will provide economic 
        opportunities to millions of people in the United States and 
        drive future economic growth in this country;
            (5) the United States is responsible for many of the 
        initial scientific advances in clean energy technology, but, as 
        of September 2009, the United States has only 5 of the top 30 
        leading companies in solar, wind, and advanced battery 
        technology;
            (6) investment in the clean energy sector will allow 
        companies in the United States to retake a leadership position, 
        and the jobs created by those investments will significantly 
        accelerate growth in domestic manufacturing;
            (7) those opportunities also will result in substantial 
        employment gains in construction, a sector in which the median 
        hourly wage is 17 percent higher than the national median;
            (8) those jobs are distributed throughout the United 
        States, and the highest clean energy economy employment growth 
        rates in the last 10 years were in the States of Idaho, 
        Nebraska, South Dakota, Oregon, and New Mexico;
            (9) focusing on clean energy will dramatically reduce 
        pollution and significantly improve the health of families in 
        and the environment of the United States;
            (10) moving to a low-carbon economy must protect the most 
        vulnerable populations in the United States, including low-
        income families that are particularly affected by volatility in 
        energy prices;
            (11) if unchecked, the impact of climate change will 
        include widespread effects on health and welfare, including--
                    (A) increased outbreaks from waterborne diseases;
                    (B) more droughts;
                    (C) diminished agricultural production;
                    (D) severe storms and floods;
                    (E) heat waves;
                    (F) wildfires; and
                    (G) a substantial rise in sea levels, due in part 
                to--
                            (i) melting mountain glaciers;
                            (ii) shrinking sea ice; and
                            (iii) thawing permafrost;
            (12) the most recent science indicates that the changes 
        described in paragraph (11)(G) are occurring faster and with 
        greater intensity than expected;
            (13) military officials, including retired admirals and 
        generals, concur with the intelligence community that climate 
        change acts as a threat multiplier for instability and presents 
        significant national security challenges for the United States;
            (14) massive portions of the infrastructure of the United 
        States, including critical military infrastructure, are at risk 
        from the effects of climate change;
            (15) impacts are already being felt in local communities 
        within the United States as well as by at-risk populations 
        abroad;
            (16) the Declaration of the Leaders from the Major 
        Economies Forum on Energy and Climate, representing 17 of the 
        largest economies in the world, recognizes the need to limit 
        the increase in global average temperatures to within 2 degrees 
        Centigrade, as a necessary step to prevent the catastrophic 
        consequences of climate change; and
            (17) the United States should lead the global community in 
        combating the threat of global climate change and reaching a 
        robust international agreement to address global warming under 
        the United Nations Framework Convention on Climate Change, done 
        at New York on May 9, 1992 (or a successor agreement).

SEC. 3. ECONOMY-WIDE EMISSION REDUCTION GOALS.

    The goals of this Act and the amendments made by this Act are to 
reduce steadily the quantity of United States greenhouse gas emissions 
such that--
            (1) in 2012, the quantity of United States greenhouse gas 
        emissions does not exceed 97 percent of the quantity of United 
        States greenhouse gas emissions in 2005;
            (2) in 2020, the quantity of United States greenhouse gas 
        emissions does not exceed 80 percent of the quantity of United 
        States greenhouse gas emissions in 2005;
            (3) in 2030, the quantity of United States greenhouse gas 
        emissions does not exceed 58 percent of the quantity of United 
        States greenhouse gas emissions in 2005; and
            (4) in 2050, the quantity of United States greenhouse gas 
        emissions does not exceed 17 percent of the quantity of United 
        States greenhouse gas emissions in 2005.

SEC. 4. DEFINITIONS.

    In this Act:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) Indian tribe.--The term ``Indian tribe'' has the 
        meaning given the term in section 302 of the Clean Air Act (42 
        U.S.C. 7602).
            (3) State.--The term ``State'' has the meaning given that 
        term in section 302 of the Clean Air Act (42 U.S.C. 7602).

  DIVISION A--AUTHORIZATIONS FOR POLLUTION REDUCTION, TRANSITION, AND 
                               ADAPTATION

SEC. 101. STRUCTURE OF ACT.

    (a) Authorized and Allocated Programs.--The following programs 
authorized under this division are eligible to receive an allocation 
under title VII of the Clean Air Act:
            (1) The program for greenhouse gas emission reductions 
        through transportation efficiency under part C of title VIII 
        the Clean Air Act (as added by sections 112 and 113 of this 
        division).
            (2) The program for nuclear worker training under section 
        132 of this division and 214 of division B.
            (3) State recycling programs under section 154 of this 
        division and section 211 of division B.
            (4) The supplemental agriculture and forestry greenhouse 
        gas reduction and renewable energy program under section 155 of 
        this division and section 215 of division B.
            (5) The program for energy efficiency in building codes 
        under section 163 of this division and section 203 of division 
        B.
            (6) The program for retrofit for energy and environmental 
        performance under section 164 of this division and section 204 
        of division B.
            (7) The program for worker transition under part 2 of 
        subtitle A of title III of this division and section 210 of 
        division B.
            (8) The program for public health and climate change under 
        subpart B of part 1 of subtitle C of title III of this division 
        and section 212 of division B.
            (9) The program for climate change safeguards for natural 
        resources conservation under subpart C of part 1 of subtitle C 
        of title III of this division and section 213 of division B.
            (10) The program for emission reductions from reduced 
        deforestation under section 753 of the Clean Air Act (as added 
        by section 322 of this division) and section 771(d) of the 
        Clean Air Act (as added by section 111 of division B).
            (11) The International Clean Energy Deployment Program 
        under section 323 of this division and section 207 of division 
        B.
            (12) The international climate change adaptation and global 
        security program under 324 of this division and section 208 of 
        division B.
            (13) The program for water system mitigation and adaptation 
        partnerships under section 381 of this division and section 211 
        of division B.
            (14) The program for flood control, protection, prevention, 
        and response under section 382 of this division and section 211 
        of division B.
            (15) The program for wildfire under section 383 of this 
        division and section 211 of division B.
            (16) The Coastal and Great Lakes State Adaptation Program 
        under section 384 of this division and section 211 of division 
        B.
    (b) Allocated Programs.--The following allocations are provided 
under title VII of the Clean Air Act:
            (1) The Market Stability Reserve Fund under section 726 of 
        the Clean Air Act (as added by section 101 of division B).
            (2) The program to ensure real reductions in industrial 
        emissions under part F of title VII of the Clean Air Act (as 
        added by section 141 of division B).
            (3) The program for electricity consumers pursuant to 
        section 772 of the Clean Air Act (as added by section 111 of 
        division B).
            (4) The program for natural gas consumers pursuant to 
        section 773 of the Clean Air Act (as added by section 111 of 
        division B).
            (5) The program for home heating oil and propane consumers 
        pursuant to section 774 of the Clean Air Act (as added by 
        section 111 of division B).
            (6) The program for domestic fuel production, including 
        petroleum refiners and small business refiners, under section 
        775 of the Clean Air Act (as added by section 111 of division 
        B).
            (7) The program for climate change consumer refunds and 
        low- and moderate-income consumers pursuant to section 776 of 
        the Clean Air Act (as added by section 111 of division B), 
        including--
                    (A) consumer rebates under section 776(a) of the 
                Clean Air Act (as so added); and
                    (B) energy refunds under section 776(b) of the 
                Clean Air Act (as so added).
            (8) The program for commercial deployment of carbon capture 
        and storage technology under section 780 of the Clean Air Act 
        (as added by section 111 of division B).
            (9) The program for early action recognition pursuant to 
        section 782 of the Clean Air Act (as added by section 111 of 
        division B).
            (10) The program for investment in clean vehicle technology 
        under section 201 of division B.
            (11) The program for State and local investment in energy 
        efficiency and renewable energy under section 202 of division 
        B.
            (12) The program for Energy Innovation Hubs pursuant to 
        section 205 of division B.
            (13) The program for ARPA-E research pursuant to section 
        206 of division B.
            (14) The program for energy efficiency and renewable energy 
        worker training under section 209 of division B.
            (15) The State programs for greenhouse gas reduction and 
        climate adaptation pursuant to section 211 of division B.
    (c) Nonallocated Programs.--The following programs are authorized 
under this division:
            (1) The SmartWay Transportation Efficiency Program under 
        section 822 of the Clean Air Act (as added by section 114 of 
        this division).
            (2) The carbon capture and sequestration demonstration and 
        early deployment program under section 125 of this division.
            (3) The nuclear safety and waste management programs under 
        section 133 of this division.
            (4) Water efficiency programs under subtitle D of title I 
        of this division.
            (5) The Office of Consumer Advocacy under section 151 of 
        this division.
            (6) The clean technology business competition grant program 
        under section 152 of this division.
            (7) The product carbon disclosure program under section 153 
        of this division.
            (8) The Economic Development Climate Change Fund under 
        section 219 of the Public Works and Economic Development Act of 
        1965 (as added by section 156 of this division).
            (9) The program for renewable energy under section 161 of 
        this division.
            (10) The program for advanced biofuels under section 162 of 
        this division.
            (11) The program for emission reductions from public 
        transportation vehicles under subtitle G of title I of this 
        division.
            (12) The Clean Energy and Accelerated Emission Reduction 
        Program under section 181 of this division.
            (13) The program for advanced natural gas technologies 
        under section 182 of this division.
            (14) The program for advanced energy research under 
        subtitle A of title II of this division.
            (15) The program for drinking water adaptation, technology, 
        education, and research under subtitle B of title II of this 
        division.
            (16) The program for clean energy curriculum development 
        grants under section 301 of this division.
            (17) The program for Development of Information and 
        Resources clearinghouse for vocational education and job 
        training in renewable energy sectors under section 302 of this 
        division.
            (18) The green construction careers demonstration project 
        under section 303 of this division.

               TITLE I--GREENHOUSE GAS REDUCTION PROGRAMS

                    Subtitle A--Clean Transportation

SEC. 111. EMISSION STANDARDS.

    Title VIII of the Clean Air Act (as added by section 121 of 
division B) is amended by adding at the end the following:

                        ``PART B--MOBILE SOURCES

``SEC. 821. GREENHOUSE GAS EMISSION STANDARDS FOR MOBILE SOURCES.

    ``(a) New Motor Vehicles and New Motor Vehicle Engines.--(1) 
Pursuant to section 202(a)(1), by December 31, 2010, the Administrator 
shall promulgate standards applicable to emissions of greenhouse gases 
from new heavy-duty motor vehicles or new heavy-duty motor vehicle 
engines, excluding such motor vehicles covered by the Tier II standards 
(as established by the Administrator as of the date of the enactment of 
this section). The Administrator may revise these standards from time 
to time.
    ``(2) Regulations issued under section 202(a)(1) applicable to 
emissions of greenhouse gases from new heavy-duty motor vehicles or new 
heavy-duty motor vehicle engines, excluding such motor vehicles covered 
by the Tier II standards (as established by the Administrator as of the 
date of the enactment of this section), shall contain standards that 
reflect the greatest degree of emissions reduction achievable through 
the application of technology which the Administrator determines will 
be available for the model year to which such standards apply, giving 
appropriate consideration to cost, energy, and safety factors 
associated with the application of such technology. Any such 
regulations shall take effect after such period as the Administrator 
finds necessary to permit the development and application of the 
requisite technology, and, at a minimum, shall apply for a period no 
less than 3 model years beginning no earlier than the model year 
commencing 4 years after such regulations are promulgated.
    ``(3) Regulations issued under section 202(a)(1) applicable to 
emissions of greenhouse gases from new heavy-duty motor vehicles or new 
heavy-duty motor vehicle engines, excluding such motor vehicles covered 
by the Tier II standards (as established by the Administrator as of the 
date of the enactment of this section), shall supersede and satisfy any 
and all of the rulemaking and compliance requirements of section 
32902(k) of title 49, United States Code.
    ``(4) Other than as specifically set forth in paragraph (3) of this 
subsection, nothing in this section shall affect or otherwise increase 
or diminish the authority of the Secretary of Transportation to adopt 
regulations to improve the overall fuel efficiency of the commercial 
goods movement system.
    ``(b) Nonroad Vehicles and Engines.--(1) Pursuant to section 
213(a)(4) and (5), the Administrator shall identify those classes or 
categories of new nonroad vehicles or engines, or combinations of such 
classes or categories, that, in the judgment of the Administrator, both 
contribute significantly to the total emissions of greenhouse gases 
from nonroad engines and vehicles, and provide the greatest potential 
for significant and cost-effective reductions in emissions of 
greenhouse gases. The Administrator shall promulgate standards 
applicable to emissions of greenhouse gases from these new nonroad 
engines or vehicles by December 31, 2012. The Administrator shall also 
promulgate standards applicable to emissions of greenhouse gases for 
such other classes and categories of new nonroad vehicles and engines 
as the Administrator determines appropriate and in the timeframe the 
Administrator determines appropriate. The Administrator shall base such 
determination, among other factors, on the relative contribution of 
greenhouse gas emissions, and the costs for achieving reductions, from 
such classes or categories of new nonroad engines and vehicles. The 
Administrator may revise these standards from time to time.
    ``(2) Standards under section 213(a)(4) and (5) applicable to 
emissions of greenhouse gases from those classes or categories of new 
nonroad engines or vehicles identified in the first sentence of 
paragraph (1) of this subsection, shall achieve the greatest degree of 
emissions reduction achievable based on the application of technology 
which the Administrator determines will be available at the time such 
standards take effect, taking into consideration cost, energy, and 
safety factors associated with the application of such technology. Any 
such regulations shall take effect at the earliest possible date after 
such period as the Administrator finds necessary to permit the 
development and application of the requisite technology, giving 
appropriate consideration to the cost of compliance within such period, 
the applicable compliance dates for other standards, and other 
appropriate factors, including the period of time appropriate for the 
transfer of applicable technology from other applications, including 
motor vehicles, and the period of time in which previously promulgated 
regulations have been in effect.
    ``(3) For purposes of this section and standards under section 
213(a)(4) or (5) applicable to emissions of greenhouse gases, the term 
`nonroad engines and vehicles' shall include non-internal combustion 
engines and the vehicles these engines power (such as electric engines 
and electric vehicles), for those non-internal combustion engines and 
vehicles which would be in the same category and have the same uses as 
nonroad engines and vehicles that are powered by internal combustion 
engines.
    ``(c) Averaging, Banking, and Trading of Emissions Credits.--In 
establishing standards applicable to emissions of greenhouse gases 
pursuant to this section and sections 202(a), 213(a)(4) and (5), and 
231(a), the Administrator may establish provisions for averaging, 
banking, and trading of greenhouse gas emissions credits within or 
across classes or categories of motor vehicles and motor vehicle 
engines, nonroad vehicles and engines (including marine vessels), and 
aircraft and aircraft engines, to the extent the Administrator 
determines appropriate and considering the factors appropriate in 
setting standards under those sections. Such provisions may include 
reasonable and appropriate provisions concerning generation, banking, 
trading, duration, and use of credits.
    ``(d) Reports.--The Administrator shall, from time to time, submit 
a report to Congress that projects the amount of greenhouse gas 
emissions from the transportation sector, including transportation 
fuels, for the years 2030 and 2050, based on the standards adopted 
under this section.
    ``(e) Greenhouse Gases.--Notwithstanding the provisions of section 
711, hydrofluorocarbons shall be considered a greenhouse gas for 
purposes of this section.''.

SEC. 112. GREENHOUSE GAS EMISSION REDUCTIONS THROUGH TRANSPORTATION 
              EFFICIENCY.

    (a) Environmental Protection Agency.--Title VIII of the Clean Air 
Act (as amended by section 111 of this division) is amended by adding 
at the end the following:

                   ``PART C--TRANSPORTATION EMISSIONS

``SEC. 831. GREENHOUSE GAS EMISSION REDUCTIONS THROUGH TRANSPORTATION 
              EFFICIENCY.

    ``(a) In General.--The Administrator, in consultation with the 
Secretary of Transportation (referred to in this part as the 
`Secretary'), shall promulgate, and update from time to time, 
regulations to establish--
            ``(1) national transportation-related greenhouse gas 
        emission reduction goals that are commensurate with the 
        emission reduction goals established under the Clean Energy 
        Jobs and American Power Act and amendments made by that Act;
            ``(2) standardized emission models and related methods, to 
        be used by States, metropolitan planning organizations, and air 
        quality agencies to address emission reduction goals, 
        including--
                    ``(A) the development of surface transportation-
                related greenhouse gas emission reduction targets 
                pursuant to sections 134 and 135 of title 23, and 
                sections 5303 and 5304 of title 49, United States Code;
                    ``(B) the assessment of projected surface 
                transportation-related greenhouse gas emissions from 
                transportation strategies;
                    ``(C) the assessment of projected surface 
                transportation-related greenhouse gas emissions from 
                State and regional transportation plans;
                    ``(D) the establishment of surface transportation-
                related greenhouse gas emission baselines at a 
                national, State, and regional level; and
                    ``(E) the measurement and assessment of actual 
                surface transportation-related emissions to assess 
                progress toward achievement of emission targets at the 
                State and regional level;
            ``(3) methods for collection of data on transportation-
        related greenhouse gas emissions; and
            ``(4) publication and distribution of successful strategies 
        employed by States, metropolitan planning organizations, and 
        other entities to reduce transportation-related greenhouse gas 
        emissions.
    ``(b) Role of Department of Transportation.--The Secretary, in 
consultation with the Administrator, shall promulgate, and update from 
time to time, regulations--
            ``(1) to improve the ability of transportation planning 
        models and tools, including travel demand models, to address 
        greenhouse gas emissions;
            ``(2) to assess projected surface transportation-related 
        travel activity and transportation strategies from State and 
        regional transportation plans; and
            ``(3) to update transportation planning requirements and 
        approval of transportation plans as necessary to carry out this 
        section.
    ``(c) Consultation and Models.--In promulgating the regulations, 
the Administrator and the Secretary--
            ``(1) shall consult with States, metropolitan planning 
        organizations, and air quality agencies;
            ``(2) may use existing models and methodologies if the 
        models and methodologies are widely considered to reflect the 
        best practicable modeling or methodological approach for 
        assessing actual and projected transportation-related 
        greenhouse gas emissions from transportation plans and 
        projects; and
            ``(3) shall consider previously developed plans that were 
        based on models and methodologies for reducing greenhouse gas 
        emissions in applying those regulations to the first approvals 
        after promulgation.
    ``(d) Timing.--The Administrator and the Secretary shall--
            ``(1) publish proposed regulations under subsections (a) 
        and (b) not later than 1 year after the date of enactment of 
        this section; and
            ``(2) promulgate final regulations under subsections (a) 
        and (b) not later than 18 months after the date of enactment of 
        this section.
    ``(e) Assessment.--
            ``(1) In general.--At least every 6 years after 
        promulgating final regulations under subsections (a) and (b), 
        the Administrator and the Secretary shall jointly assess 
        current and projected progress in reducing national 
        transportation-related greenhouse gas emissions.
            ``(2) Requirements.--The assessment shall examine the 
        contributions to emission reductions attributable to--
                    ``(A) improvements in vehicle efficiency;
                    ``(B) greenhouse gas performance of transportation 
                fuels;
                    ``(C) reductions in vehicle miles traveled;
                    ``(D) changes in consumer demand and use of 
                transportation management systems; and
                    ``(E) any other greenhouse gas-related 
                transportation policies enacted by Congress.
            ``(3) Results of assessment.--The Secretary and the 
        Administrator shall consider--
                    ``(A) the results of the assessment conducted under 
                this subsection; and
                    ``(B) based on those results, whether technical or 
                other updates to regulations required under this 
                section and sections 134 and 135 of title 23, and 
                sections 5303 and 5304 of title 49, United States Code, 
                are necessary.''.
    (b) Metropolitan Planning Organizations.--
            (1) Title 23.--Section 134 of title 23, United States Code, 
        is amended--
                    (A) in subsection (a)(1)--
                            (i) by striking ``minimizing'' and 
                        inserting ``reducing''; and
                            (ii) by inserting ``, reliance on oil, 
                        impacts on the environment, transportation-
                        related greenhouse gas emissions,'' after 
                        ``consumption'';
                    (B) in subsection (h)(1)(E)--
                            (i) by inserting ``sustainability, and 
                        livability, reduce surface transportation-
                        related greenhouse gas emissions and reliance 
                        on oil, adapt to the effects of climate 
                        change,'' after ``energy conservation,'';
                            (ii) by inserting ``and public health'' 
                        after ``quality of life''; and
                            (iii) by inserting ``, including housing 
                        and land use patterns'' after ``development 
                        patterns'';
                    (C) in subsection (i)--
                            (i) in paragraph (4)(A)--
                                    (I) by striking ``consult, as 
                                appropriate,'' and inserting 
                                ``cooperate'';
                                    (II) by inserting ``transportation, 
                                public transportation, air quality, and 
                                housing, and shall consult, as 
                                appropriate, with State and local 
                                agencies responsible for'' after 
                                ``responsible for''; and
                                    (III) by inserting ``public 
                                health,'' after ``conservation,''; and
                            (ii) in paragraph (5)(C)(iii), by inserting 
                        ``and through the website of the metropolitan 
                        planning organization, including emission 
                        reduction targets and strategies developed 
                        under subsection (k)(6), including an analysis 
                        of the anticipated effects of the targets and 
                        strategies,'' after ``World Wide Web''; and
                    (D) in subsection (k), by adding at the end the 
                following:
            ``(6) Transportation greenhouse gas reduction efforts.--
                    ``(A) In general.--Within a metropolitan planning 
                area serving a transportation management area, the 
                transportation planning process under this section 
                shall address transportation-related greenhouse gas 
                emissions by including emission reduction targets and 
                strategies to meet those targets.
                    ``(B) Eligible organizations.--
                            ``(i) MPOS within tmas.--All provisions and 
                        requirements of this section, including the 
                        requirements of the transportation greenhouse 
                        gas reduction efforts, shall apply to 
                        metropolitan planning organizations that also 
                        serve as transportation management areas.
                            ``(ii) Other mpos.--A metropolitan planning 
                        organization that does not serve as a 
                        transportation management area--
                                    ``(I) may develop transportation 
                                greenhouse gas emission reduction 
                                targets and strategies to meet those 
                                targets; and
                                    ``(II) if those targets and 
                                strategies are developed, shall be 
                                subject to all applicable provisions 
                                and requirements of this section and 
                                the Clean Energy Jobs and American 
                                Power Act, including requirements of 
                                the transportation greenhouse gas 
                                reduction efforts.
                    ``(C) Establishment of targets and criteria.--
                            ``(i) In general.--Not later than 2 years 
                        after the promulgation of the final regulations 
                        required under section 831 of the Clean Air 
                        Act, each metropolitan planning organization 
                        that also serves as a transportation management 
                        area shall develop surface transportation-
                        related greenhouse gas emission reduction 
                        targets, as well as strategies to meet those 
                        targets, in consultation with State air 
                        agencies as part of the metropolitan 
                        transportation planning process under this 
                        section.
                            ``(ii) Multiple designations.--If more than 
                        1 metropolitan planning organization has been 
                        designated within a metropolitan area, each 
                        metropolitan planning organization shall 
                        coordinate with other metropolitan planning 
                        organizations in the same metropolitan area to 
                        develop the targets and strategies described in 
                        clause (i).
                            ``(iii) Minimum requirements.--Each 
                        metropolitan transportation plan developed by a 
                        metropolitan planning organization under clause 
                        (i) shall, within the plan, demonstrate 
                        progress in stabilizing and reducing 
                        transportation-related greenhouse gas emissions 
                        so as to contribute to the achievement of State 
                        targets pursuant to section 135(f)(9).
                            ``(iv) Requirements for targets and 
                        strategies.--The targets and strategies 
                        developed under this subparagraph shall, at a 
                        minimum--
                                    ``(I) be based on the emission and 
                                travel demand models and related 
                                methodologies established in the final 
                                regulations required under section 831 
                                of the Clean Air Act;
                                    ``(II) inventory all sources of 
                                surface transportation-related 
                                greenhouse gas emissions;
                                    ``(III) apply to those modes of 
                                surface transportation that are 
                                addressed in the planning process under 
                                this section;
                                    ``(IV) be integrated and consistent 
                                with regional transportation plans and 
                                transportation improvement programs; 
                                and
                                    ``(V) be selected through scenario 
                                analysis, and include, pursuant to the 
                                requirements of the transportation 
                                planning process under this section, 
                                transportation investment and 
                                management strategies that reduce 
                                greenhouse gas emissions from the 
                                transportation sector over the life of 
                                the plan, such as--
                                            ``(aa) efforts to increase 
                                        public transportation 
                                        ridership, including through 
                                        service improvements, capacity 
                                        expansions, and access 
                                        enhancement;
                                            ``(bb) efforts to increase 
                                        walking, bicycling, and other 
                                        forms of nonmotorized 
                                        transportation;
                                            ``(cc) implementation of 
                                        zoning and other land use 
                                        regulations and plans to 
                                        support infill, transit-
                                        oriented development, 
                                        redevelopment, or mixed use 
                                        development;
                                            ``(dd) travel demand 
                                        management programs (including 
                                        carpool, vanpool, or car-share 
                                        projects), transportation 
                                        pricing measures, parking 
                                        policies, and programs to 
                                        promote telecommuting, flexible 
                                        work schedules, and satellite 
                                        work centers;
                                            ``(ee) surface 
                                        transportation system operation 
                                        improvements, including 
                                        intelligent transportation 
                                        systems or other operational 
                                        improvements to reduce long-
                                        term greenhouse gas emissions 
                                        through reduced congestion and 
                                        improved system management;
                                            ``(ff) intercity passenger 
                                        rail improvements;
                                            ``(gg) intercity bus 
                                        improvements;
                                            ``(hh) freight rail 
                                        improvements;
                                            ``(ii) use of materials or 
                                        equipment associated with the 
                                        construction or maintenance of 
                                        transportation projects that 
                                        reduce greenhouse gas 
                                        emissions;
                                            ``(jj) public facilities 
                                        for supplying electricity to 
                                        electric or plug-in hybrid-
                                        electric vehicles; or
                                            ``(kk) any other effort 
                                        that demonstrates progress in 
                                        reducing transportation-related 
                                        greenhouse gas emissions in 
                                        each metropolitan planning 
                                        organization under this 
                                        subsection.
                    ``(D) Review and approval.--Not later than 180 days 
                after the date of submission of a plan under this 
                section--
                            ``(i) the Secretary and the Administrator 
                        shall review the plan; and
                            ``(ii) the Secretary shall approve a plan 
                        developed by a metropolitan planning 
                        organization pursuant to subparagraph (C) if--
                                    ``(I) the Secretary finds that a 
                                metropolitan planning organization has 
                                developed, submitted, and published the 
                                plan of the metropolitan planning 
                                organization pursuant to this section;
                                    ``(II) the Secretary, in 
                                consultation with the Administrator, 
                                determines that the plan is likely to 
                                achieve the targets established by the 
                                metropolitan planning organization 
                                under this subsection; and
                                    ``(III) the development of the plan 
                                complies with the minimum requirements 
                                established under clauses (iii) and 
                                (iv) of subparagraph (C).
                    ``(E) Certification.--Failure to comply with the 
                requirements under subparagraph (C) shall not impact 
                certification standards under paragraph (5).
            ``(7) Definition of metropolitan planning organization.--In 
        this subsection, the term `metropolitan planning organization' 
        means a metropolitan planning organization described in clause 
        (i) or (ii) of paragraph (6)(B).
            ``(8) Scenario analysis.--The term `scenario analysis' 
        means the use of a planning tool that--
                    ``(A) develops a range of scenarios representing 
                various combinations of transportation and land use 
                strategies, and estimates of how each of those 
                scenarios would perform in meeting the greenhouse gas 
                emission reduction targets based on analysis of various 
                forces (such as health, transportation, economic or 
                environmental factors, and land use) that affect 
                growth;
                    ``(B) may include features such as--
                            ``(i) the involvement of the general 
                        public, key stakeholders, and elected officials 
                        on a broad scale;
                            ``(ii) the creation of an opportunity for 
                        those participants to educate each other as to 
                        growth trends and trade-offs, as a means to 
                        incorporate values and feedback into future 
                        plans; and
                            ``(iii) the use of continuing efforts and 
                        ongoing processes; and
                    ``(C) may include key elements such as--
                            ``(i) identification of the driving forces 
                        behind planning decisions and outcomes;
                            ``(ii) determination of patterns of 
                        interaction;
                            ``(iii) creation of scenarios for 
                        discussion purposes;
                            ``(iv) analysis of implications;
                            ``(v) evaluation of scenarios; and
                            ``(vi) use of monitoring indicators.''.
            (2) Title 49.--Section 5303 of title 49, United States 
        Code, is amended--
                    (A) in subsection (a)(1)--
                            (i) by striking ``minimizing'' and 
                        inserting ``reducing''; and
                            (ii) by inserting ``, reliance on oil, 
                        impacts on the environment, transportation-
                        related greenhouse gas emissions,'' after 
                        ``consumption'';
                    (B) in subsection (h)(1)(E)--
                            (i) by inserting ``sustainability, and 
                        livability, reduce surface transportation-
                        related greenhouse gas emissions and reliance 
                        on oil, adapt to the effects of climate 
                        change,'' after ``energy conservation,'';
                            (ii) by inserting ``and public health'' 
                        after ``quality of life''; and
                            (iii) by inserting ``, including housing 
                        and land use patterns'' after ``development 
                        patterns'';
                    (C) in subsection (i)--
                            (i) in paragraph (4)(A)--
                                    (I) by striking ``consult, as 
                                appropriate,'' and inserting 
                                ``cooperate'';
                                    (II) by inserting ``transportation, 
                                public transportation, air quality, and 
                                housing, and shall consult, as 
                                appropriate, with State and local 
                                agencies responsible for'' after 
                                ``responsible for''; and
                                    (III) by inserting ``public 
                                health,'' after ``conservation,''; and
                            (ii) in paragraph (5)(C)(iii), by inserting 
                        ``and through the website of the metropolitan 
                        planning organization, including emission 
                        reduction targets and strategies developed 
                        under subsection (k)(6), including an analysis 
                        of the anticipated effects of the targets and 
                        strategies,'' after ``World Wide Web''; and
                    (D) in subsection (k), by adding at the end the 
                following:
            ``(6) Transportation greenhouse gas reduction efforts.--
                    ``(A) In general.--Within a metropolitan planning 
                area serving a transportation management area, the 
                transportation planning process under this section 
                shall address transportation-related greenhouse gas 
                emissions by including emission reduction targets and 
                strategies to meet those targets.
                    ``(B) Eligible organizations.--
                            ``(i) In general.--The requirements of the 
                        transportation greenhouse gas reduction efforts 
                        shall apply only to metropolitan planning 
                        organizations within a transportation 
                        management area.
                            ``(ii) Development of plan.--A metropolitan 
                        planning organization that does not serve as a 
                        transportation management area--
                                    ``(I) may develop transportation 
                                greenhouse gas emission reduction 
                                targets and strategies to meet those 
                                targets; and
                                    ``(II) if those targets and 
                                strategies are developed, shall be 
                                subject to all provisions and 
                                requirements of this section, including 
                                requirements of the transportation 
                                greenhouse gas reduction efforts.
                    ``(C) Establishment of targets and criteria.--
                            ``(i) In general.--Not later than 2 years 
                        after the promulgation of the final regulations 
                        required under section 831 of the Clean Air 
                        Act, each metropolitan planning organization 
                        shall develop surface transportation-related 
                        greenhouse gas emission reduction targets, as 
                        well as strategies to meet those targets, in 
                        consultation with State air agencies as part of 
                        the metropolitan transportation planning 
                        process under this section.
                            ``(ii) Multiple designations.--If more than 
                        1 metropolitan planning organization has been 
                        designated within a metropolitan area, each 
                        metropolitan planning organization shall 
                        coordinate with other metropolitan planning 
                        organizations in the same metropolitan area to 
                        develop the targets and strategies described in 
                        clause (i).
                            ``(iii) Minimum requirements.--Each 
                        metropolitan transportation plan developed by a 
                        metropolitan planning organization under clause 
                        (i) shall, within the plan, demonstrate 
                        progress in stabilizing and reducing 
                        transportation-related greenhouse gas emissions 
                        so as to contribute to the achievement of State 
                        targets pursuant to section 135(f)(9) of title 
                        23.
                            ``(iv) Requirements for targets and 
                        strategies.--The targets and strategies 
                        developed under this subparagraph shall, at a 
                        minimum--
                                    ``(I) be based on the emission 
                                models and related methodologies 
                                established in the final regulations 
                                required under section 831 of the Clean 
                                Air Act;
                                    ``(II) inventory all sources of 
                                surface transportation-related 
                                greenhouse gas emissions;
                                    ``(III) apply to those modes of 
                                surface transportation that are 
                                addressed in the planning process under 
                                this section;
                                    ``(IV) be integrated and consistent 
                                with regional transportation plans and 
                                transportation improvement programs; 
                                and
                                    ``(V) be selected through scenario 
                                analysis (as defined in section 134(k) 
                                of title 23), and include, pursuant to 
                                the requirements of the transportation 
                                planning process under this section, 
                                transportation investment and 
                                management strategies that reduce 
                                greenhouse gas emissions from the 
                                transportation sector over the life of 
                                the plan, such as--
                                            ``(aa) efforts to increase 
                                        public transportation 
                                        ridership, including through 
                                        service improvements, capacity 
                                        expansions, and access 
                                        enhancement;
                                            ``(bb) efforts to increase 
                                        walking, bicycling, and other 
                                        forms of nonmotorized 
                                        transportation;
                                            ``(cc) implementation of 
                                        zoning and other land use 
                                        regulations and plans to 
                                        support infill, transit-
                                        oriented development, 
                                        redevelopment, or mixed use 
                                        development;
                                            ``(dd) travel demand 
                                        management programs (including 
                                        carpool, vanpool, or car-share 
                                        projects), transportation 
                                        pricing measures, parking 
                                        policies, and programs to 
                                        promote telecommuting, flexible 
                                        work schedules, and satellite 
                                        work centers;
                                            ``(ee) surface 
                                        transportation system operation 
                                        improvements, including 
                                        intelligent transportation 
                                        systems or other operational 
                                        improvements to reduce long-
                                        term greenhouse gas emissions 
                                        through reduced congestion and 
                                        improved system management;
                                            ``(ff) intercity passenger 
                                        rail improvements;
                                            ``(gg) intercity bus 
                                        improvements;
                                            ``(hh) freight rail 
                                        improvements;
                                            ``(ii) use of materials or 
                                        equipment associated with the 
                                        construction or maintenance of 
                                        transportation projects that 
                                        reduce greenhouse gas 
                                        emissions;
                                            ``(jj) public facilities 
                                        for supplying electricity to 
                                        electric or plug-in hybrid-
                                        electric vehicles; or
                                            ``(kk) any other effort 
                                        that demonstrates progress in 
                                        reducing transportation-related 
                                        greenhouse gas emissions in 
                                        each metropolitan planning 
                                        organization under this 
                                        subsection.
                    ``(D) Review and approval.--Not later than 180 days 
                after the date of submission of a plan under this 
                section--
                            ``(i) the Secretary and the Administrator 
                        shall review the plan; and
                            ``(ii) the Secretary shall approve a plan 
                        developed by a metropolitan planning 
                        organization pursuant to subparagraph (C) if--
                                    ``(I) the Secretary finds that a 
                                metropolitan planning organization has 
                                developed, submitted, and published the 
                                plan of the metropolitan planning 
                                organization pursuant to this section;
                                    ``(II) the Secretary, in 
                                consultation with the Administrator, 
                                determines that the plan is likely to 
                                achieve the targets established by the 
                                metropolitan planning organization 
                                under this subsection; and
                                    ``(III) the development of the plan 
                                complies with the minimum requirements 
                                established under clauses (iii) and 
                                (iv) of subparagraph (C).
                    ``(E) Certification.--Failure to comply with the 
                requirements under subparagraph (C) shall not impact 
                certification standards under paragraph (5).
            ``(7) Definition of metropolitan planning organization.--In 
        this subsection, the term `metropolitan planning organization' 
        means a metropolitan planning organization described in clause 
        (i) or (ii) of paragraph (6)(B).''.
    (c) States.--
            (1) Title 23.--Section 135 of title 23, United States Code, 
        is amended--
                    (A) in subsection (d)(1)(E)--
                            (i) by inserting ``sustainability, and 
                        livability, reduce surface transportation-
                        related greenhouse gas emissions and reliance 
                        on oil, adapt to the effects of climate 
                        change,'' after ``energy conservation,'';
                            (ii) by inserting ``and public health'' 
                        after ``quality of life''; and
                            (iii) by inserting ``, including housing 
                        and land use patterns'' after ``development 
                        patterns''; and
                    (B) in subsection (f)--
                            (i) in paragraph (2)(D)(i)--
                                    (I) by striking ``, as appropriate, 
                                in consultation'' and inserting ``in 
                                cooperation'';
                                    (II) by inserting ``State and local 
                                agencies responsible for 
                                transportation, public transportation, 
                                air quality, and housing and in 
                                consultation with'' before ``State, 
                                tribal''; and
                                    (III) by inserting ``public 
                                health,'' after ``conservation,'';
                            (ii) in paragraph (3)(B)(iii), by inserting 
                        ``and through the website of the State, 
                        including emission reduction targets and 
                        strategies developed under paragraph (9) and an 
                        analysis of the anticipated effects of the 
                        targets and strategies'' after ``World Wide 
                        Web''; and
                            (iii) by adding at the end the following:
            ``(9) Transportation greenhouse gas reduction efforts.--
                    ``(A) In general.--Within a State, the 
                transportation planning process under this section, 
                shall address transportation-related greenhouse gas 
                emissions by including emission reduction targets and 
                strategies to meet those targets.
                    ``(B) Establishment of targets and criteria.--
                            ``(i) In general.--Not later than 2 years 
                        after the promulgation of the final regulations 
                        required under section 831 of the Clean Air 
                        Act, each State shall develop surface 
                        transportation-related greenhouse gas emission 
                        reduction targets, as well as strategies to 
                        meet those targets, in consultation with State 
                        air agencies as part of the transportation 
                        planning process under this section.
                            ``(ii) Minimum requirements.--Each 
                        transportation plan developed by a State under 
                        clause (i) shall, within the plan, demonstrate 
                        progress in stabilizing and reducing 
                        transportation-related greenhouse gas emissions 
                        in the State so as to contribute to the 
                        achievement of national targets pursuant to 
                        section 831(a)(1) of the Clean Air Act.
                            ``(iii) Requirements for targets and 
                        strategies.--The targets and strategies 
                        developed under this subparagraph shall, at a 
                        minimum--
                                    ``(I) be based on the emission 
                                models and related methodologies 
                                established in the final regulations 
                                required under section 831 of the Clean 
                                Air Act;
                                    ``(II) inventory all sources of 
                                surface transportation-related 
                                greenhouse gas emissions;
                                    ``(III) apply to those modes of 
                                surface transportation that are 
                                addressed in the planning process under 
                                this section;
                                    ``(IV) be integrated and consistent 
                                with statewide transportation plans and 
                                statewide transportation improvement 
                                programs; and
                                    ``(V) be selected through scenario 
                                analysis (as defined in section 
                                134(k)), and include, pursuant to the 
                                requirements of the transportation 
                                planning process under this section, 
                                transportation investment and 
                                management strategies that reduce 
                                greenhouse gas emissions from the 
                                transportation sector over the life of 
                                the plan, such as--
                                            ``(aa) efforts to increase 
                                        public transportation 
                                        ridership, including through 
                                        service improvements, capacity 
                                        expansions, and access 
                                        enhancement;
                                            ``(bb) efforts to increase 
                                        walking, bicycling, and other 
                                        forms of nonmotorized 
                                        transportation;
                                            ``(cc) implementation of 
                                        zoning and other land use 
                                        regulations and plans to 
                                        support infill, transit-
                                        oriented development, 
                                        redevelopment, or mixed use 
                                        development;
                                            ``(dd) travel demand 
                                        management programs (including 
                                        carpool, vanpool, or car-share 
                                        projects), transportation 
                                        pricing measures, parking 
                                        policies, and programs to 
                                        promote telecommuting, flexible 
                                        work schedules, and satellite 
                                        work centers;
                                            ``(ee) surface 
                                        transportation system operation 
                                        improvements, including 
                                        intelligent transportation 
                                        systems or other operational 
                                        improvements to reduce 
                                        congestion and improve system 
                                        management;
                                            ``(ff) intercity passenger 
                                        rail improvements;
                                            ``(gg) intercity bus 
                                        improvements;
                                            ``(hh) freight rail 
                                        improvements;
                                            ``(ii) use of materials or 
                                        equipment associated with the 
                                        construction or maintenance of 
                                        transportation projects that 
                                        reduce greenhouse gas 
                                        emissions;
                                            ``(jj) public facilities 
                                        for supplying electricity to 
                                        electric or plug-in hybrid-
                                        electric vehicles; or
                                            ``(kk) any other effort 
                                        that demonstrates progress in 
                                        reducing transportation-related 
                                        greenhouse gas emissions.
                    ``(C) Coordination and consultation with public 
                agencies.--Transportation greenhouse gas targets and 
                plans pursuant to this section shall be developed--
                            ``(i) in coordination with--
                                    ``(I) all metropolitan planning 
                                organizations covered by this section 
                                within the State; and
                                    ``(II) transportation and air 
                                quality agencies within the State; and
                            ``(ii) in consultation with representatives 
                        of State and local housing, economic 
                        development, and land use agencies.
                    ``(D) Enforcement.--Not later than 180 days after 
                the date of submission of a plan under this section--
                            ``(i) the Secretary and the Administrator 
                        shall review the plan; and
                            ``(ii) the Secretary shall approve a plan 
                        developed by a State pursuant to subparagraph 
                        (B) if--
                                    ``(I) the Secretary finds that a 
                                State has developed, submitted, and 
                                published the plan pursuant to this 
                                section;
                                    ``(II) the Secretary, in 
                                consultation with the Administrator, 
                                determines that the plan is likely to 
                                achieve the targets established by the 
                                State under this subsection; and
                                    ``(III) the development of the plan 
                                complies with the minimum requirements 
                                established under clauses (ii) and 
                                (iii) of subparagraph (B).
                    ``(E) Planning finding.--Failure to comply with the 
                requirements under subparagraph (B) shall not impact 
                the planning finding under subsection (g)(7).''.
            (2) Title 49.--Section 5304 of title 49, United States Code 
        is amended--
                    (A) in subsection (d)(1)(E)--
                            (i) by inserting ``sustainability, and 
                        livability, reduce surface transportation-
                        related greenhouse gas emissions and reliance 
                        on oil, adapt to the effects of climate 
                        change,'' after ``energy conservation,'';
                            (ii) by inserting ``and public health'' 
                        after ``quality of life''; and
                            (iii) by inserting ``, including housing 
                        and land use patterns'' after ``development 
                        patterns''; and
                    (B) in subsection (f)--
                            (i) in paragraph (2)(D)(i)--
                                    (I) by striking ``, as appropriate, 
                                in consultation'' and inserting ``in 
                                cooperation'';
                                    (II) by inserting ``State and local 
                                agencies responsible for 
                                transportation, public transportation, 
                                air quality, and housing and in 
                                consultation with'' before ``State, 
                                tribal''; and
                                    (III) by inserting ``public 
                                health,'' after ``conservation,'';
                            (ii) in paragraph (3)(B)(iii), by inserting 
                        ``and through the website of the State, 
                        including emission reduction targets and 
                        strategies developed under paragraph (9) and an 
                        analysis of the anticipated effects of the 
                        targets and strategies'' after ``World Wide 
                        Web''; and
                            (iii) by adding at the end the following:
            ``(9) Transportation greenhouse gas reduction efforts.--
                    ``(A) In general.--Within a State, the 
                transportation planning process under this section, 
                shall address transportation-related greenhouse gas 
                emissions by including emission reduction targets and 
                strategies to meet those targets.
                    ``(B) Establishment of targets and criteria.--
                            ``(i) In general.--Not later than 2 years 
                        after the promulgation of the final regulations 
                        required under section 831 of the Clean Air 
                        Act, each State shall develop surface 
                        transportation-related greenhouse gas emission 
                        reduction targets, as well as strategies to 
                        meet those targets, in consultation with State 
                        air agencies as part of the transportation 
                        planning process under this section.
                            ``(ii) Minimum requirements.--Each 
                        transportation plan developed by a State under 
                        clause (i) shall, within the plan, demonstrate 
                        progress in stabilizing and reducing 
                        transportation-related greenhouse gas emissions 
                        in the State so as to contribute to the 
                        achievement of national targets pursuant to 
                        section 831(a)(1) of the Clean Air Act.
                            ``(iii) Requirements for targets and 
                        strategies.--The targets and strategies 
                        developed under this subparagraph shall, at a 
                        minimum--
                                    ``(I) be based on the emission 
                                models and related methodologies 
                                established in the final regulations 
                                required under section 831 of the Clean 
                                Air Act;
                                    ``(II) inventory all sources of 
                                surface transportation-related 
                                greenhouse gas emissions;
                                    ``(III) apply to those modes of 
                                surface transportation that are 
                                addressed in the planning process under 
                                this section;
                                    ``(IV) be integrated and consistent 
                                with statewide transportation plans and 
                                statewide transportation improvement 
                                programs; and
                                    ``(V) be selected through scenario 
                                analysis (as defined in section 134(k) 
                                of title 23), and include, pursuant to 
                                the requirements of the transportation 
                                planning process under this section, 
                                transportation investment and 
                                management strategies that reduce 
                                greenhouse gas emissions from the 
                                transportation sector over the life of 
                                the plan, such as--
                                            ``(aa) efforts to increase 
                                        public transportation 
                                        ridership, including through 
                                        service improvements, capacity 
                                        expansions, and access 
                                        enhancement;
                                            ``(bb) efforts to increase 
                                        walking, bicycling, and other 
                                        forms of nonmotorized 
                                        transportation;
                                            ``(cc) implementation of 
                                        zoning and other land use 
                                        regulations and plans to 
                                        support infill, transit-
                                        oriented development, 
                                        redevelopment, or mixed use 
                                        development;
                                            ``(dd) travel demand 
                                        management programs (including 
                                        carpool, vanpool, or car-share 
                                        projects), transportation 
                                        pricing measures, parking 
                                        policies, and programs to 
                                        promote telecommuting, flexible 
                                        work schedules, and satellite 
                                        work centers;
                                            ``(ee) surface 
                                        transportation system operation 
                                        improvements, including 
                                        intelligent transportation 
                                        systems or other operational 
                                        improvements to reduce 
                                        congestion and improve system 
                                        management;
                                            ``(ff) intercity passenger 
                                        rail improvements;
                                            ``(gg) intercity bus 
                                        improvements;
                                            ``(hh) freight rail 
                                        improvements;
                                            ``(ii) use of materials or 
                                        equipment associated with the 
                                        construction or maintenance of 
                                        transportation projects that 
                                        reduce greenhouse gas 
                                        emissions;
                                            ``(jj) public facilities 
                                        for supplying electricity to 
                                        electric or plug-in hybrid-
                                        electric vehicles; or
                                            ``(kk) any other effort 
                                        that demonstrates progress in 
                                        reducing transportation-related 
                                        greenhouse gas emissions.
                    ``(C) Coordination and consultation with public 
                agencies.--Transportation greenhouse gas targets and 
                plans pursuant to this section shall be developed--
                            ``(i) in coordination with--
                                    ``(I) all metropolitan planning 
                                organizations covered by this section 
                                within the State; and
                                    ``(II) transportation and air 
                                quality agencies within the State; and
                            ``(ii) in consultation with representatives 
                        of State and local housing, economic 
                        development, and land use agencies.
                    ``(D) Enforcement.--Not later than 180 days after 
                the date of submission of a plan under this section--
                            ``(i) the Secretary and the Administrator 
                        shall review the plan; and
                            ``(ii) the Secretary shall approve a plan 
                        developed by a State pursuant to subparagraph 
                        (B) if--
                                    ``(I) the Secretary finds that a 
                                State has developed, submitted, and 
                                published the plan pursuant to this 
                                section;
                                    ``(II) the Secretary, in 
                                consultation with the Administrator, 
                                determines that the plan is likely to 
                                achieve the targets established by the 
                                State under this subsection; and
                                    ``(III) the development of the plan 
                                complies with the minimum requirements 
                                established under clauses (ii) and 
                                (iii) of subparagraph (B).
                    ``(E) Planning finding.--Failure to comply with the 
                requirements under subparagraph (B) shall not impact 
                the planning finding under subsection (g)(7).''.
    (d) Applicability.--Section 304 of the Clean Air Act (42 U.S.C. 
7604) shall not apply to the planning provisions of this section or any 
amendment made by this section.
    (e) Land Use Authority.--Nothing in this section or an amendment 
made by this section--
            (1) infringes on the existing authority of local 
        governments to plan or control land use; or
            (2) provides or transfers authority over land use to any 
        other entity.

SEC. 113. TRANSPORTATION GREENHOUSE GAS EMISSION REDUCTION PROGRAM 
              GRANTS.

    Part C of title VIII of the Clean Air Act (as amended by section 
112) is amended by adding at the end the following:

``SEC. 832. TRANSPORTATION GREENHOUSE GAS EMISSION REDUCTION PROGRAM 
              GRANTS.

    ``(a) In General.--The Secretary of Transportation (referred to in 
this section as the `Secretary') shall provide grants to States and 
metropolitan planning organizations to carry out the purposes of this 
section for each fiscal year--
            ``(1) to support the developing and updating of 
        transportation greenhouse gas reduction targets and strategies; 
        and
            ``(2) to provide financial assistance to implement plans 
        approved pursuant to--
                    ``(A) sections 134(k)(6) and 135(f)(9) of title 23, 
                United States Code; and
                    ``(B) sections 5303(k)(6) and 5304(f)(9) of title 
                49, United States Code.
    ``(b) Planning Grants.--
            ``(1) In general.--Subject to paragraph (2), the Secretary 
        shall allocate not more than 5 percent of the funds available 
        to carry out this section for a fiscal year for metropolitan 
        planning organizations to develop and update transportation 
        plans, including targets and strategies for greehouse gas 
        emission reduction under--
                    ``(A) sections 134(k)(6) and 135(f)(9) of title 23, 
                United States Code; and
                    ``(B) sections 5303(k)(6) and 5304(f)(9) of title 
                49, United States Code.
            ``(2) Eligible organizations.--The Secretary shall 
        distribute the funds available in (1) to metropolitan planning 
        organizations (as defined in section 134(k)(7) of title 23, 
        United States Code) in the proportion that--
                    ``(A) the population within such a metropolitan 
                planning organization; bears to
                    ``(B) the total population of all such metropolitan 
                planning organizations.
    ``(c) Performance Grants.--
            ``(1) In general.--After allocating funds pursuant to 
        subsection (b)(1), the Secretary shall use the remainder of 
        amounts made available to carry out this section to provide 
        grants to States and metropolitan planning organizations.
            ``(2) Criteria.--In providing grants under this subsection, 
        the Secretary, in consultation with the Administrator, shall 
        develop criteria for providing the grants, taking into 
        consideration, with respect to areas to be covered by the 
        grants--
                    ``(A) the quantity of total greenhouse gas 
                emissions to be reduced as a result of implementation 
                of a plan, within a covered area, as determined by 
                methods established under section 831(a);
                    ``(B) the quantity of total greenhouse gas 
                emissions to be reduced per capita as a result of 
                implementation of a plan, within the covered area, as 
                determined by methods established under section 831(a);
                    ``(C) the cost-effectiveness of reducing greenhouse 
                gas emissions during the life of the plan;
                    ``(D) progress toward achieving emission reductions 
                target established under--
                            ``(i) sections 134(k)(6) and 135(f)(9) of 
                        title 23, United States Code; and
                            ``(ii) sections 5303(k)(6) and 5304(f)(9) 
                        of title 49, United States Code;
                    ``(E) reductions in greenhouse gas emissions 
                previously achieved by States and metropolitan planning 
                organizations during the 5-year period beginning on the 
                date of enactment of this Act;
                    ``(F) plans that increase transportation options 
                and mobility, particularly for low-income individuals, 
                minorities, the elderly, households without motor 
                vehicles, cost-burdened households, and the disabled; 
                and
                    ``(G) other factors, including innovative 
                approaches, minimization of costs, and consideration of 
                economic development, revenue generation, consumer fuel 
                cost-savings, and other economic, environmental and 
                health benefits, as the Secretary determines to be 
                appropriate.
    ``(d) Requirement for Reduced Emissions.--A performance grant under 
subsection (c) may be used only to fund strategies that demonstrate a 
reduction in greenhouse gas emissions that is sustainable over the life 
of the applicable transportation plan.
    ``(e) Cost-Sharing.--The Federal share of the costs of a project 
receiving Federal financial assistance under this section shall be 80 
percent.
    ``(f) Compliance With Applicable Laws.--
            ``(1) In general.--Subject to paragraph (2), a project 
        receiving funds under this section shall comply with all 
        applicable Federal laws (including regulations), including--
                    ``(A) subchapter IV of chapter 31 of title 40, 
                United States Code; and
                    ``(B) applicable requirements of titles 23 and 49, 
                United States Code.
            ``(2) Eligibility.--Project eligibility shall be determined 
        in accordance with this section.
            ``(3) Determination of applicable modal requirements.--The 
        Secretary shall--
                    ``(A) have the discretion to designate the specific 
                modal requirements that shall apply to a project; and
                    ``(B) be guided by the predominant modal 
                characteristics of the project in the event that a 
                project has cross-modal application.
    ``(g) Additional Requirements.--
            ``(1) In general.--As a condition on the receipt of 
        financial assistance under this section, the interests of 
        public transportation employees affected by the assistance 
        shall be protected under arrangements that the Secretary of 
        Labor determines--
                    ``(A) to be fair and equitable; and
                    ``(B) to provide benefits equal to the benefits 
                established under section 5333(b) of title 49, United 
                States Code.
            ``(2) Wages and benefits.--Laborers and mechanics employed 
        on projects funded with amounts made available under this 
        section shall be paid wages and benefits not less than those 
        determined by the Secretary of Labor under subchapter IV of 
        chapter 31 of title 40, United States Code, to be prevailing in 
        the same locality.
    ``(h) Miscellaneous.--
            ``(1) Road-use and congestion pricing measures.--All 
        projects funded by amounts made available under this section 
        shall be eligible to receive amounts collected through road-use 
        and congestion pricing measures.
            ``(2) Limitations.--The Administrator may not approve any 
        transportation plan for a project that would be inconsistent 
        with existing design, procurement, and construction guidelines 
        established by the Department of Transportation.
            ``(3) Subgrantees.--With the approval of the Secretary, 
        recipients of funding under this section may enter into 
        agreements providing for the transfer of funds to noneligible 
        public entities (such as local governments, air quality 
        agencies, zoning commissions, special districts and transit 
        agencies) that have statutory responsibility or authority for 
        actions necessary to implement the strategies pursuant to--
                    ``(A) sections 134(k)(6) and 135(f)(9) of title 23, 
                United States Code; and
                    ``(B) sections 5303(k)(6) and 5304(f)(9) of title 
                49, United States Code.''.

SEC. 114. SMARTWAY TRANSPORTATION EFFICIENCY PROGRAM.

    Part B of title VIII of the Clean Air Act (as amended by section 
111) is amended by adding at the end the following:

``SEC. 822. SMARTWAY TRANSPORTATION EFFICIENCY PROGRAM.

    ``(a) In General.--There is established within the Environmental 
Protection Agency a SmartWay Transportation Efficiency Program to 
quantify, demonstrate, and promote the benefits of technologies, 
products, fuels, and operational strategies that reduce petroleum 
consumption, air pollution, and greenhouse gas emissions from the 
mobile source sector.
    ``(b) General Duties.--Under the program established under this 
section, the Administrator shall carry out each of the following:
            ``(1) Development of measurement protocols to evaluate the 
        energy consumption and greenhouse gas impacts from technologies 
        and strategies in the mobile source sector, including those for 
        passenger transport and goods movement.
            ``(2) Development of qualifying thresholds for certifying, 
        verifying, or designating energy-efficient, low-greenhouse gas 
        SmartWay technologies and strategies for each mode of passenger 
        transportation and goods movement.
            ``(3) Development of partnership and recognition programs 
        to promote best practices and drive demand for energy-
        efficient, low-greenhouse gas transportation performance.
            ``(4) Promotion of the availability of, and encouragement 
        of the adoption of, SmartWay certified or verified technologies 
        and strategies, and publication of the availability of 
        financial incentives, such as assistance from loan programs and 
        other Federal and State incentives.
    ``(c) SmartWay Transport Freight Partnership.--The Administrator 
shall establish a SmartWay Transport Partnership program with shippers 
and carriers of goods to promote energy-efficient, low-greenhouse gas 
transportation. In carrying out such partnership, the Administrator 
shall undertake each of the following:
            ``(1) Verification of the energy and greenhouse gas 
        performance of participating freight carriers, including those 
        operating rail, trucking, marine, and other goods movement 
        operations.
            ``(2) Publication of a comprehensive energy and greenhouse 
        gas performance index of freight modes (including rail, 
        trucking, marine, and other modes of transporting goods) and 
        individual freight companies so that shippers can choose to 
        deliver their goods more efficiently.
            ``(3) Development of tools for--
                    ``(A) carriers to calculate their energy and 
                greenhouse gas performance; and
                    ``(B) shippers to calculate the energy and 
                greenhouse gas impacts of moving their products and to 
                evaluate the relative impacts from transporting their 
                goods by different modes and corporate carriers.
            ``(4) Provision of recognition opportunities for 
        participating shipper and carrier companies demonstrating 
        advanced practices and achieving superior levels of greenhouse 
        gas performance.
    ``(d) Improving Freight Greenhouse Gas Performance Databases.--The 
Administrator shall, in coordination with the Secretary of Commerce and 
other appropriate agencies, define and collect data on the physical and 
operational characteristics of the Nation's truck population, with 
special emphasis on data related to energy efficiency and greenhouse 
gas performance to inform the performance index published under 
subsection (c)(2) of this section, and other means of goods transport 
as necessary, at least every 5 years as part of the economic census 
required under title 13, United States Code.
    ``(e) Establishment of Financing Program.--The Administrator shall 
establish a SmartWay Financing Program to competitively award funding 
to eligible entities identified by the Administrator in accordance with 
the program requirements in subsection (g).
    ``(f) Purposes.--Under the SmartWay Financing Program, eligible 
entities shall--
            ``(1) use funds awarded by the Administrator to provide 
        flexible loan and/or lease terms that increase approval rates 
        or lower the costs of loans and/or leases in accordance with 
        guidance developed by the Administrator;
            ``(2) make such loans and/or leases available to public and 
        private entities for the purpose of adopting low-greenhouse gas 
        technologies or strategies for the mobile source sector that 
        are designated by the Administrator; and
            ``(3) use funds provided by the Administrator for 
        electrification of freight transportation systems in major 
        national goods movement corridors, giving priority to 
        electrification of transportation systems in areas that are 
        gateways for high volumes of international and national freight 
        transport and require substantial criteria pollutant emission 
        reductions in order to attain national ambient air quality 
        standards.
    ``(g) Program Requirements.--The Administrator shall determine 
program design elements and requirements, including--
            ``(1) the type of financial mechanism with which to award 
        funding, in the form of grants and/or contracts;
            ``(2) the designation of eligible entities to receive 
        funding, such as State, tribal, and local governments, regional 
        organizations comprised of governmental units, nonprofit 
        organizations, or for-profit companies;
            ``(3) criteria for evaluating applications from eligible 
        entities, including anticipated--
                    ``(A) cost-effectiveness of loan or lease program 
                on a metric-ton-of-greenhouse gas-saved-per-dollar 
                basis; and
                    ``(B) ability to promote the loan or lease program 
                and associated technologies and strategies to the 
                target audience; and
            ``(4) reporting requirements for entities that receive 
        awards, including--
                    ``(A) actual cost-effectiveness and greenhouse gas 
                savings from the loan or lease program based on a 
                methodology designated by the Administrator;
                    ``(B) the total number of applications and number 
                of approved applications; and
                    ``(C) terms granted to loan and lease recipients 
                compared to prevailing market practices and/or rates.
    ``(h) Authorization of Appropriations.--Such sums as necessary are 
authorized to be appropriated to the Administrator to carry out this 
section.''.

              Subtitle B--Carbon Capture and Sequestration

SEC. 121. NATIONAL STRATEGY.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Administrator, in consultation with the Secretary of 
Energy, the Secretary of the Interior, and the heads of such other 
relevant Federal agencies as the President may designate, shall submit 
to Congress a report establishing a unified and comprehensive strategy 
to address the key legal, regulatory, and other barriers to the 
commercial-scale deployment of carbon capture and storage.
    (b) Barriers.--The report under this section shall--
            (1) identify the regulatory, legal, and other gaps and 
        barriers that--
                    (A) could be addressed by a Federal agency using 
                existing statutory authority;
                    (B) require Federal legislation, if any; or
                    (C) would be best addressed at the State, tribal, 
                or regional level;
            (2) identify regulatory implementation challenges, 
        including challenges relating to approval of State and tribal 
        programs and delegation of authority for permitting; and
            (3) recommend rulemakings, Federal legislation, or other 
        actions that should be taken to further evaluate and address 
        those barriers.
    (c) Finding.--Congress finds that it is in the public interest to 
achieve widespread, commercial-scale deployment of carbon capture and 
storage in the United States and throughout Asia before January 1, 
2030.

SEC. 122. REGULATIONS FOR GEOLOGICAL SEQUESTRATION SITES.

    (a) Coordinated Certification and Permitting Process.--Part A of 
title VIII of the Clean Air Act (as amended by section 124 of this 
division) is amended by adding at the end the following:

``SEC. 813. GEOLOGICAL STORAGE SITES.

    ``(a) Coordinated Process.--
            ``(1) In general.--The Administrator shall establish a 
        coordinated approach to certifying and permitting geological 
        storage, taking into consideration all relevant statutory 
        authorities.
            ``(2) Requirements.--In establishing such approach, the 
        Administrator shall--
                    ``(A) take into account, and reduce redundancy 
                with, the requirements of section 1421 of the Safe 
                Drinking Water Act (42 U.S.C. 300h), including the 
                rulemaking for geological storage wells described in 
                the proposed rule entitled `Federal Requirements Under 
                the Underground Injection Control (UIC) Program for 
                Carbon Dioxide (CO2) Geologic Sequestration (GS) Wells' 
                (73 Fed. Reg. 43492 (July 25, 2008)); and
                    ``(B) to the maximum extent practicable, reduce the 
                burden on certified entities and implementing 
                authorities.
    ``(b) Regulations.--Not later than 2 years after the date of 
enactment of this title, the Administrator shall promulgate regulations 
to protect human health and the environment by minimizing the risk of 
escape to the atmosphere of carbon dioxide injected for purposes of 
geological storage.
    ``(c) Requirements.--The regulations under subsection (b) shall 
include--
            ``(1) a process to obtain certification for geological 
        storage under this section; and
            ``(2) requirements for--
                    ``(A) monitoring, recordkeeping, and reporting for 
                emissions associated with injection into, and escape 
                from, geological storage sites, taking into account any 
                requirements or protocols developed under section 713;
                    ``(B) public participation in the certification 
                process that maximizes transparency;
                    ``(C) the sharing of data among States, Indian 
                tribes, and the Environmental Protection Agency; and
                    ``(D) other elements or safeguards necessary to 
                achieve the purpose described in subsection (b).
    ``(d) Report.--
            ``(1) In general.--Not later than 2 years after the date of 
        promulgation of regulations pursuant to subsection (b), and not 
        less frequently than once every 3 years thereafter, the 
        Administrator shall submit to the Committee on Energy and 
        Commerce of the House of Representatives and the Committee on 
        Environment and Public Works of the Senate a report describing 
        geological storage in the United States, and, to the extent 
        relevant, other countries in North America.
            ``(2) Inclusions.--Each report under paragraph (1) shall 
        include--
                    ``(A) data regarding injection, emissions to the 
                atmosphere, if any, and performance of active and 
                closed geological storage sites, including those at 
                which enhanced hydrocarbon recovery operations occur;
                    ``(B) an evaluation of the performance of relevant 
                Federal environmental regulations and programs in 
                ensuring environmentally protective geological storage 
                practices;
                    ``(C) recommendations on how those programs and 
                regulations should be improved or made more effective; 
                and
                    ``(D) other relevant information.''.
    (b) Safe Drinking Water Act Standards.--Section 1421 of the Safe 
Drinking Water Act (42 U.S.C. 300h) is amended by adding at the end the 
following:
    ``(e) Carbon Dioxide Geological Storage Wells.--
            ``(1) In general.--Not later than 1 year after the date of 
        enactment of this subsection, the Administrator shall 
        promulgate regulations under subsection (a) for carbon dioxide 
        geological storage wells.
            ``(2) Financial responsibility.--
                    ``(A) In general.--The regulations under paragraph 
                (1) shall include requirements for maintaining evidence 
                of financial responsibility, including financial 
                responsibility for emergency and remedial response, 
                well plugging, site closure, and post-injection site 
                care.
                    ``(B) Regulations.--Financial responsibility may be 
                established for carbon dioxide geological wells in 
                accordance with regulations promulgated by the 
                Administrator by any 1, or any combination, of the 
                following:
                            ``(i) Insurance.
                            ``(ii) Guarantee.
                            ``(iii) Trust.
                            ``(iv) Standby trust.
                            ``(v) Surety bond.
                            ``(vi) Letter of credit.
                            ``(vii) Qualification as a self-insurer.
                            ``(viii) Any other method satisfactory to 
                        the Administrator.''.

SEC. 123. STUDIES AND REPORTS.

    (a) Study of Legal Framework for Geological Storage Sites.--
            (1) Establishment of task force.--
                    (A) In general.--As soon as practicable, but not 
                later than 180 days after the date of enactment of this 
                Act, the Administrator shall establish a task force, to 
                be composed of an equal number of--
                            (i) subject matter experts;
                            (ii) nongovernmental organizations with 
                        expertise regarding environmental policy;
                            (iii) academic experts with expertise in 
                        environmental law;
                            (iv) State and tribal officials with 
                        environmental expertise;
                            (v) representatives of State and tribal 
                        attorneys general;
                            (vi) representatives of the Environmental 
                        Protection Agency, the Department of the 
                        Interior, the Department of Energy, the 
                        Department of Transportation, and other 
                        relevant Federal agencies; and
                            (vii) members of the private sector.
                    (B) Study.--The task force established under 
                subparagraph (A) shall conduct a study of--
                            (i) existing Federal environmental 
                        statutes, State environmental statutes, and 
                        State common law that apply to geological 
                        storage sites for carbon dioxide, including the 
                        ability of those laws to serve as risk 
                        management tools;
                            (ii) the existing statutory framework, 
                        including Federal and State laws, that apply to 
                        harm and damage to the environment or public 
                        health at closed sites at which carbon dioxide 
                        injection has been used for enhanced 
                        hydrocarbon recovery;
                            (iii) the statutory framework, 
                        environmental health and safety considerations, 
                        implementation issues, and financial 
                        implications of potential models for Federal, 
                        State, or private sector assumption of 
                        liabilities and financial responsibilities with 
                        respect to closed geological storage sites;
                            (iv) private sector mechanisms, including 
                        insurance and bonding, that may be available to 
                        manage environmental, health, and safety risks 
                        from closed geological storage sites; and
                            (v) the subsurface mineral rights, water 
                        rights, and property rights issues associated 
                        with geological storage of carbon dioxide, 
                        including issues specific to Federal land.
            (2) Report.--Not later than 18 months after the date of 
        enactment of this Act, the task force established under 
        paragraph (1)(A) shall submit to Congress a report describing 
        the results of the study conducted under that paragraph, 
        including any consensus recommendations of the task force.
    (b) Environmental Statutes.--
            (1) Study.--The Administrator shall conduct a study of the 
        means by which, and under what circumstances, the environmental 
        statutes for which the Environmental Protection Agency has 
        responsibility would apply to carbon dioxide injection and 
        geological storage activities.
            (2) Report.--Not later than 1 year after the date of 
        enactment of this Act, the Administrator shall submit to 
        Congress a report describing the results of the study conducted 
        under paragraph (1).

SEC. 124. PERFORMANCE STANDARDS FOR COAL-FUELED POWER PLANTS.

    (a) In General.--Part A of title VIII of the Clean Air Act (as 
added by section 121 of division B) is amended by adding at the end the 
following:

``SEC. 812. PERFORMANCE STANDARDS FOR NEW COAL-FIRED POWER PLANTS.

    ``(a) Definitions.--For purposes of this section:
            ``(1) Covered egu.--The term `covered EGU' means a utility 
        unit that is required to have a permit under section 503(a) and 
        is authorized under State or Federal law to derive at least 30 
        percent of its annual heat input from coal, petroleum coke, or 
        any combination of these fuels.
            ``(2) Initially permitted.--The term `initially permitted' 
        means that the owner or operator has received a preconstruction 
        approval or permit under this Act, for the covered EGU as a new 
        (not a modified) source, but administrative review or appeal of 
        such approval or permit has not been exhausted. A subsequent 
        modification of any such approval or permits, ongoing 
        administrative or court review, appeals, or challenges, or the 
        existence or tolling of any time to pursue further review, 
        appeals, or challenges shall not affect the date on which a 
        covered EGU is considered to be initially permitted under this 
        paragraph.
    ``(b) Standards.--(1) A covered EGU that is initially permitted on 
or after January 1, 2020, shall achieve an emission limit that is a 65 
percent reduction in emissions of the carbon dioxide  produced by the  
unit, as measured on an annual basis, or meet such more stringent 
standard as the Administrator may establish pursuant to subsection (c).
    ``(2) A covered EGU that is initially permitted after January 1, 
2009, and before January 1, 2020, shall, by the applicable compliance 
date established under this paragraph, achieve an emission limit that 
is a 50 percent reduction in emissions of the carbon dioxide produced 
by the  unit, as measured on an annual basis. Compliance with the 
requirement set forth in this paragraph shall be required by the 
earliest of the following:
            ``(A) Four years after the date the Administrator has 
        published pursuant to subsection (d) a report that there are in 
        commercial operation in the United States electric generating 
        units or other stationary sources equipped with carbon capture 
        and sequestration technology that, in the aggregate--
                    ``(i) have a total of at least 4 gigawatts of 
                nameplate generating capacity of which--
                            ``(I) at least 3 gigawatts must be electric 
                        generating units; and
                            ``(II) up to 1 gigawatt may be industrial 
                        applications, for which capture and 
                        sequestration of 3,000,000 tons of carbon 
                        dioxide per year on an aggregate annualized 
                        basis shall be considered equivalent to 1 
                        gigawatt;
                    ``(ii) include at least 2 electric generating 
                units, each with a nameplate generating capacity of 250 
                megawatts or greater, that capture, inject, and 
                sequester carbon dioxide into geologic formations other 
                than oil and gas fields; and
                    ``(iii) are capturing and sequestering in the 
                aggregate at least 12,000,000 tons of carbon dioxide 
                per year, calculated on an aggregate annualized basis.
            ``(B) January 1, 2025.
    ``(3) If the deadline for compliance with paragraph (2) is January 
1, 2025, the Administrator may extend the deadline for compliance by a 
covered EGU by up to 18 months if the Administrator makes a 
determination, based on a showing by the owner or operator of the unit, 
that it will be technically infeasible for the unit to meet the 
standard by the deadline. The owner or operator must submit a request 
for such an extension by no later than January 1, 2022, and the 
Administrator shall provide for public notice and comment on the 
extension request.
    ``(c) Review and Revision of Standards.--Not later than 2025 and at 
5-year intervals thereafter, the Administrator shall review the 
standards for new covered EGUs under this section and shall, by rule, 
reduce the maximum carbon dioxide emission rate for new covered EGUs to 
a rate which reflects the degree of emission limitation achievable 
through the application of the best system of emission reduction which 
(taking into account the cost of achieving such reduction and any 
nonair quality health and environmental impact and energy requirements) 
the Administrator determines has been adequately demonstrated.
    ``(d)  Reports.--Not later than 18 months after the date of 
enactment of this title and semiannually thereafter, the Administrator 
shall publish a report on the nameplate capacity of units (determined 
pursuant to subsection (b)(2)(A)) in commercial operation in the United 
States equipped with carbon capture and sequestration technology, 
including the information described in subsection (b)(2)(A) (including 
the cumulative generating capacity to which carbon capture and 
sequestration retrofit projects meeting the criteria described in 
section 775(b)(1)(A)(ii) and (b)(1)(A)(iv)(II) has been applied and the 
quantities of carbon dioxide captured and sequestered by such 
projects).
    ``(e) Regulations.--Not later than 2 years after the date of 
enactment of this title, the Administrator shall promulgate regulations 
to carry out the requirements of this section.''.

SEC. 125. CARBON CAPTURE AND SEQUESTRATION DEMONSTRATION AND EARLY 
              DEPLOYMENT PROGRAM.

    (a) Definitions.--For purposes of this section:
            (1) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (2) Distribution utility.--The term ``distribution 
        utility'' means an entity that distributes electricity directly 
        to retail consumers under a legal, regulatory, or contractual 
        obligation to do so.
            (3) Electric utility.--The term ``electric utility'' has 
        the meaning provided by section 3 of the Federal Power Act (16 
        U.S.C. 796).
            (4) Fossil fuel-based electricity.--The term ``fossil fuel-
        based electricity'' means electricity that is produced from the 
        combustion of fossil fuels.
            (5) Fossil fuel.--The term ``fossil fuel'' means coal, 
        petroleum, natural gas or any derivative of coal, petroleum, or 
        natural gas.
            (6) Corporation.--The term ``Corporation'' means the Carbon 
        Storage Research Corporation established in accordance with 
        this section.
            (7) Qualified industry organization.--The term ``qualified 
        industry organization'' means the Edison Electric Institute, 
        the American Public Power Association, the National Rural 
        Electric Cooperative Association, a successor organization of 
        such organizations, or a group of owners or operators of 
        distribution utilities delivering fossil fuel-based electricity 
        who collectively represent at least 20 percent of the volume of 
        fossil fuel-based electricity delivered by distribution 
        utilities to consumers in the United States.
            (8) Retail consumer.--The term ``retail consumer'' means an 
        end-user of electricity.
    (b) Carbon Storage Research Corporation.--
            (1) Establishment.--
                    (A) Referendum.--Qualified industry organizations 
                may conduct, at their own expense, a referendum among 
                the owners or operators of distribution utilities 
                delivering fossil fuel-based electricity for the 
                creation of a Carbon Storage Research Corporation. Such 
                referendum shall be conducted by an independent 
                auditing firm agreed to by the qualified industry 
                organizations. Voting rights in such referendum shall 
                be based on the quantity of fossil fuel-based 
                electricity delivered to consumers in the previous 
                calendar year or other representative period as 
                determined by the Secretary pursuant to subsection (f). 
                Upon approval of those persons representing two-thirds 
                of the total quantity of fossil fuel-based electricity 
                delivered to retail consumers, the Corporation shall be 
                established unless opposed by the State regulatory 
                authorities pursuant to subparagraph (B). All 
                distribution utilities voting in the referendum shall 
                certify to the independent auditing firm the quantity 
                of fossil fuel-based electricity represented by their 
                vote.
                    (B) State regulatory authorities.--Upon its own 
                motion or the petition of a qualified industry 
                organization, each State regulatory authority shall 
                consider its support or opposition to the creation of 
                the Corporation under subparagraph (A). State 
                regulatory authorities may notify the independent 
                auditing firm referred to in subparagraph (A) of their 
                views on the creation of the Corporation within 180 
                days after the date of enactment of this Act. If 40 
                percent or more of the State regulatory authorities 
                submit to the independent auditing firm written notices 
                of opposition, the Corporation shall not be established 
                notwithstanding the approval of the qualified industry 
                organizations as provided in subparagraph (A).
            (2) Termination.--The Corporation shall be authorized to 
        collect assessments and conduct operations pursuant to this 
        section for a 10-year period from the date 6 months after the 
        date of enactment of this Act. After such 10-year period, the 
        Corporation is no longer authorized to collect assessments and 
        shall be dissolved on the date 15 years after such date of 
        enactment, unless the period is extended by an Act of Congress.
            (3) Governance.--The Corporation shall operate as a 
        division or affiliate of the Electric Power Research Institute 
        (referred to in this section as ``EPRI'') and be managed by a 
        Board of not more than 15 voting members responsible for its 
        operations, including compliance with this section. EPRI, in 
        consultation with the Edison Electric Institute, the American 
        Public Power Association and the National Rural Electric 
        Cooperative Association shall appoint the Board members under 
        clauses (i), (ii), and (iii) of subparagraph (A) from among 
        candidates recommended by those organizations. At least a 
        majority of the Board members appointed by EPRI shall be 
        representatives of distribution utilities subject to 
        assessments under subsection (d).
                    (A) Members.--The Board shall include at least 1 
                representative of each of the following:
                            (i) Investor-owned utilities.
                            (ii) Utilities owned by a State agency, a 
                        municipality, and an Indian tribe.
                            (iii) Rural electric cooperatives.
                            (iv) Fossil fuel producers.
                            (v) Nonprofit environmental organizations.
                            (vi) Independent generators or wholesale 
                        power providers.
                            (vii) Consumer groups.
                            (viii) The National Energy Technology 
                        laboratory of the Department of Energy.
                            (ix) The Environmental Protection Agency.
                    (B) Nonvoting members.--The Board shall also 
                include as additional nonvoting Members the Secretary 
                of Energy or his designee and 2 representatives of 
                State regulatory authorities as defined in section 3 of 
                the Public Utility Regulatory Policies Act of 1978 (16 
                U.S.C. 2602), each designated by the National 
                Association of State Regulatory Utility Commissioners 
                from States that are not within the same transmission 
                interconnection.
            (4) Compensation.--Corporation Board members shall receive 
        no compensation for their services, nor shall Corporation Board 
        members be reimbursed for expenses relating to their service.
            (5) Terms.--Corporation Board members shall serve terms of 
        4 years and may serve not more than 2 full consecutive terms. 
        Members filling unexpired terms may serve not more than a total 
        of 8 consecutive years. Former members of the Corporation Board 
        may be reappointed to the Corporation Board if they have not 
        been members for a period of 2 years. Initial appointments to 
        the Corporation Board shall be for terms of 1, 2, 3, and 4 
        years, staggered to provide for the selection of 3 members each 
        year.
            (6) Status of corporation.--The Corporation shall not be 
        considered to be an agency, department, or instrumentality of 
        the United States, and no officer or director or employee of 
        the Corporation shall be considered to be an officer or 
        employee of the United States Government, for purposes of title 
        5 or title 31 of the United States Code, or for any other 
        purpose, and no funds of the Corporation shall be treated as 
        public money for purposes of chapter 33 of title 31, United 
        States Code, or for any other purpose.
    (c) Functions and Administration of the Corporation.--
            (1) In general.--The Corporation shall establish and 
        administer a program to accelerate the commercial availability 
        of carbon dioxide capture and storage technologies and methods, 
        including technologies which capture and store, or capture and 
        convert, carbon dioxide. Under such program competitively 
        awarded grants, contracts, and financial assistance shall be 
        provided and entered into with eligible entities. Except as 
        provided in paragraph (8), the Corporation shall use all funds 
        derived from assessments under subsection (d) to issue grants 
        and contracts to eligible entities.
            (2) Purpose.--The purposes of the grants, contracts, and 
        assistance under this subsection shall be to support 
        commercial-scale demonstrations of carbon capture or storage 
        technology projects capable of advancing the technologies to 
        commercial readiness. Such projects should encompass a range of 
        different coal and other fossil fuel varieties, be 
        geographically diverse, involve diverse storage media, and 
        employ capture or storage, or capture and conversion, 
        technologies potentially suitable either for new or for 
        retrofit applications. The Corporation shall seek, to the 
        extent feasible, to support at least 5 commercial-scale 
        demonstration projects integrating carbon capture and 
        sequestration or conversion technologies.
            (3) Eligible entities.--Entities eligible for grants, 
        contracts or assistance under this subsection may include 
        distribution utilities, electric utilities and other private 
        entities, academic institutions, national laboratories, Federal 
        research agencies, State and tribal research agencies, 
        nonprofit organizations, or consortiums of 2 or more entities. 
        Pilot-scale and similar small-scale projects are not eligible 
        for support by the Corporation. Owners or developers of 
        projects supported by the Corporation shall, where appropriate, 
        share in the costs of such projects. Projects supported by the 
        Corporation shall meet the eligibility criteria of section 
        780(b) of the Clean Air Act.
            (4) Grants for early movers.--Fifty percent of the funds 
        raised under this section shall be provided in the form of 
        grants to electric utilities that had, prior to the award of 
        any grant under this section, committed resources to deploy a 
        large scale electricity generation unit with integrated carbon 
        capture and sequestration or conversion applied to a 
        substantial portion of the unit's carbon dioxide emissions.   
        Grant funds shall be provided to defray costs incurred by such 
        electricity utilities for at least 5 such electricity 
        generation units.
            (5) Administration.--The members of the Board of Directors 
        of the Corporation shall elect a Chairman and other officers as 
        necessary, may establish committees and subcommittees of the 
        Corporation, and shall adopt rules and bylaws for the conduct 
        of business and the implementation of this section. The Board 
        shall appoint an Executive Director and professional support 
        staff who may be employees of the Electric Power Research 
        Institute (EPRI). After consultation with the Technical 
        Advisory Committee established under subsection (j), the 
        Secretary, and the Director of the National Energy Technology 
        Laboratory to obtain advice and recommendations on plans, 
        programs, and project selection criteria, the Board shall 
        establish priorities for grants, contracts, and assistance; 
        publish requests for proposals for grants, contracts, and 
        assistance; and award grants, contracts, and assistance 
        competitively, on the basis of merit, after the establishment 
        of procedures that provide for scientific peer review by the 
        Technical Advisory Committee. The Board shall give preference 
        to applications that reflect the best overall value and 
        prospect for achieving the purposes of the section, such as 
        those which demonstrate an integrated approach for capture and 
        storage or capture and conversion technologies. The Board 
        members shall not participate in making grants or awards to 
        entities with whom they are affiliated.
            (6) Uses of grants, contracts, and assistance.--A grant, 
        contract, or other assistance provided under this subsection 
        may be used to purchase carbon dioxide when needed to conduct 
        tests of carbon dioxide storage sites, in the case of 
        established projects that are storing carbon dioxide emissions, 
        or for other purposes consistent with the purposes of this 
        section. The Corporation shall make publicly available at no 
        cost information learned as a result of projects which it 
        supports financially.
            (7) Intellectual property.--The Board shall establish 
        policies regarding the ownership of intellectual property 
        developed as a result of Corporation grants and other forms of 
        technology support. Such policies shall encourage individual 
        ingenuity and invention.
            (8) Administrative expenses.--Up to 5 percent of the funds 
        collected in any fiscal year under subsection (d) may be used 
        for the administrative expenses of operating the Corporation 
        (not including costs incurred in the determination and 
        collection of the assessments pursuant to subsection (d)).
            (9) Programs and budget.--Before August 1 each year, the 
        Corporation, after consulting with the Technical Advisory 
        Committee and the Secretary and the Director of the 
        Department's National Energy Technology Laboratory and other 
        interested parties to obtain advice and recommendations, shall 
        publish for public review and comment its proposed plans, 
        programs, project selection criteria, and projects to be funded 
        by the Corporation for the next calendar year. The Corporation 
        shall also publish for public review and comment a budget plan 
        for the next calendar year, including the probable costs of all 
        programs, projects, and contracts and a recommended rate of 
        assessment sufficient to cover such costs. The Secretary may 
        recommend programs and activities the Secretary considers 
        appropriate. The Corporation shall include in the first 
        publication it issues under this paragraph a strategic plan or 
        roadmap for the achievement of the purposes of the Corporation, 
        as set forth in paragraph (2).
            (10) Records; audits.--The Corporation shall keep minutes, 
        books, and records that clearly reflect all of the acts and 
        transactions of the Corporation and make public such 
        information. The books of the Corporation shall be audited by a 
        certified public accountant at least once each fiscal year and 
        at such other times as the Corporation may designate. Copies of 
        each audit shall be provided to the Congress, all Corporation 
        board members, all qualified industry organizations, each State 
        regulatory authority and, upon request, to other members of the 
        industry. If the audit determines that the Corporation's 
        practices fail to meet generally accepted accounting principles 
        the assessment collection authority of the Corporation under 
        subsection (d) shall be suspended until a certified public 
        accountant renders a subsequent opinion that the failure has 
        been corrected. The Corporation shall make its books and 
        records available for review by the Secretary or the 
        Comptroller General of the United States.
            (11) Public access.--The Corporation Board's meetings shall 
        be open to the public and shall occur after at least 30 days 
        advance public notice. Meetings of the Board of Directors may 
        be closed to the public where the agenda of such meetings 
        includes only confidential matters pertaining to project 
        selection, the award of grants or contracts, personnel matters, 
        or the receipt of legal advice. The minutes of all meetings of 
        the Corporation shall be made available to and readily 
        accessible by the public.
            (12) Annual report.--Each year the Corporation shall 
        prepare and make publicly available a report which includes an 
        identification and description of all programs and projects 
        undertaken by the Corporation during the previous year. The 
        report shall also detail the allocation or planned allocation 
        of Corporation resources for each such program and project. The 
        Corporation shall provide its annual report to the Congress, 
        the Secretary, each State regulatory authority, and upon 
        request to the public. The Secretary shall, not less than 60 
        days after receiving such report, provide to the President and 
        Congress a report assessing the progress of the Corporation in 
        meeting the objectives of this section.
    (d) Assessments.--
            (1) Amount.--(A) In all calendar years following its 
        establishment, the Corporation shall collect an assessment on 
        distribution utilities for all fossil fuel-based electricity 
        delivered directly to retail consumers (as determined under 
        subsection (f)). The assessments shall reflect the relative 
        carbon dioxide emission rates of different fossil fuel-based 
        electricity, and initially shall be not less than the following 
        amounts for coal, natural gas, and oil:


Fuel type                               Rate of assessment per kilowatt
                                         hour
  Coal................................  $0.00043
  Natural Gas.........................  $0.00022
  Oil.................................  $0.00032.
 

            (B) The Corporation is authorized to adjust the assessments 
        on fossil fuel-based electricity to reflect changes in the 
        expected quantities of such electricity from different fuel 
        types, such that the assessments generate not less than $1.0 
        billion and not more than $1.1 billion annually. The 
        Corporation is authorized to supplement assessments through 
        additional financial commitments.
            (2) Investment of funds.--Pending disbursement pursuant to 
        a program, plan, or project, the Corporation may invest funds 
        collected through assessments under this subsection, and any 
        other funds received by the Corporation, only in obligations of 
        the United States or any agency thereof, in general obligations 
        of any State or any political subdivision thereof, in any 
        interest-bearing account or certificate of deposit of a bank 
        that is a member of the Federal Reserve System, or in 
        obligations fully guaranteed as to principal and interest by 
        the United States.
            (3) Reversion of unused funds.--If the Corporation does not 
        disburse, dedicate or assign 75 percent or more of the 
        available proceeds of the assessed fees in any calendar year 7 
        or more years following its establishment, due to an absence of 
        qualified projects or similar circumstances, it shall reimburse 
        the remaining undedicated or unassigned balance of such fees, 
        less administrative and other expenses authorized by this 
        section, to the distribution utilities upon which such fees 
        were assessed, in proportion to their collected assessments.
    (e)  ERCOT.--
            (1) Assessment, collection, and remittance.--(A) 
        Notwithstanding any other provision of this section, within 
        ERCOT, the assessment provided for in subsection (d) shall be--
                    (i) levied directly on qualified scheduling 
                entities, or their successor entities;
                    (ii) charged consistent with other charges imposed 
                on qualified scheduling entities as a fee on energy 
                used by the load-serving entities; and
                    (iii) collected and remitted by ERCOT to the 
                Corporation in the amounts and in the same manner as 
                set forth in subsection (d).
            (B) The assessment amounts referred to in subparagraph (A) 
        shall be--
                    (i) determined by the amount and types of fossil 
                fuel-based electricity delivered directly to all retail 
                customers in the prior calendar year beginning with the 
                year ending immediately prior to the period described 
                in subsection (b)(2); and
                    (ii) take into account the number of renewable 
                energy credits retired by the load-serving entities 
                represented by a qualified scheduling entity within the 
                prior calendar year.
            (2) Administration expenses.--Up to 1 percent of the funds 
        collected in any fiscal year by ERCOT under the provisions of 
        this subsection may be used for the administrative expenses 
        incurred in the determination, collection and remittance of the 
        assessments to the Corporation.
            (3) Audit.--ERCOT shall provide a copy of its annual audit 
        pertaining to the administration of the provisions of this 
        subsection to the Corporation.
            (4) Definitions.--For the purposes of this subsection:
                    (A) The term ``ERCOT'' means the Electric 
                Reliability Council of Texas.
                    (B) The term ``load-serving entities'' has the 
                meaning adopted by ERCOT Protocols and in effect on the 
                date of enactment of this Act.
                    (C) The term ``qualified scheduling entities'' has 
                the meaning adopted by ERCOT Protocols and in effect on 
                the date of enactment of this Act.
                    (D) The term ``renewable energy credit'' has the 
                meaning as promulgated and adopted by the Public 
                Utility Commission of Texas pursuant to section 
                39.904(b) of the Public Utility Regulatory Act of 1999, 
                and in effect on the date of enactment of this Act.
    (f) Determination of Fossil Fuel-Based Electricity Deliveries.--
            (1) Findings.--The Congress finds that:
                    (A) The assessments under subsection (d) are to be 
                collected based on the amount of fossil fuel-based 
                electricity delivered by each distribution utility.
                    (B) Since many distribution utilities purchase all 
                or part of their retail consumer's electricity needs 
                from other entities, it may not be practical to 
                determine the precise fuel mix for the power sold by 
                each individual distribution utility.
                    (C) It may be necessary to use average data, often 
                on a regional basis with reference to Regional 
                Transmission Organization (``RTO'') or NERC regions, to 
                make the determinations necessary for making 
                assessments.
            (2) DOE proposed rule.--The Secretary, acting in close 
        consultation with the Energy Information Administration, shall 
        issue for notice and comment a proposed rule to determine the 
        level of fossil fuel electricity delivered to retail customers 
        by each distribution utility in the United States during the 
        most recent calendar year or other period determined to be most 
        appropriate. Such proposed rule shall balance the need to be 
        efficient, reasonably precise, and timely, taking into account 
        the nature and cost of data currently available and the nature 
        of markets and regulation in effect in various regions of the 
        country. Different methodologies may be applied in different 
        regions if appropriate to obtain the best balance of such 
        factors.
            (3) Final rule.--Within 6 months after the date of 
        enactment of this Act, and after opportunity for comment, the 
        Secretary shall issue a final rule under this subsection for 
        determining the level and type of fossil fuel-based electricity 
        delivered to retail customers by each distribution utility in 
        the United States during the appropriate period. In issuing 
        such rule, the Secretary may consider opportunities and costs 
        to develop new data sources in the future and issue 
        recommendations for the Energy Information Administration or 
        other entities to collect such data. After notice and 
        opportunity for comment the Secretary may, by rule, 
        subsequently update and modify the methodology for making such 
        determinations.
            (4) Annual determinations.--Pursuant to the final rule 
        issued under paragraph (3), the Secretary shall make annual 
        determinations of the amounts and types for each such utility 
        and publish such determinations in the Federal Register. Such 
        determinations shall be used to conduct the referendum under 
        subsection (b) and by the Corporation in applying any 
        assessment under this subsection.
            (5) Rehearing and judicial review.--The owner or operator 
        of any distribution utility that believes that the Secretary 
        has misapplied the methodology in the final rule in determining 
        the amount and types of fossil fuel electricity delivered by 
        such distribution utility may seek rehearing of such 
        determination within 30 days of publication of the 
        determination in the Federal Register. The Secretary shall 
        decide such rehearing petitions within 30 days. The Secretary's 
        determinations following rehearing shall be final and subject 
        to judicial review in the United States Court of Appeals for 
        the District of Columbia.
    (g) Compliance With Corporation Assessments.--The Corporation may 
bring an action in the appropriate court of the United States to compel 
compliance with an assessment levied by the Corporation under this 
section. A successful action for compliance under this subsection may 
also require payment by the defendant of the costs incurred by the 
Corporation in bringing such action.
    (h) Midcourse Review.--Not later than 5 years following 
establishment of the Corporation, the Comptroller General of the United 
States shall prepare an analysis, and report to Congress, assessing the 
Corporation's activities, including project selection and methods of 
disbursement of assessed fees, impacts on the prospects for 
commercialization of carbon capture and storage technologies, adequacy 
of funding, and administration of funds. The report shall also make 
such recommendations as may be appropriate in each of these areas. The 
Corporation shall reimburse the Government Accountability Office for 
the costs associated with performing this midcourse review.
    (i) Recovery of Costs.--
            (1) In general.--A distribution utility whose transmission, 
        delivery, or sales of electric energy are subject to any form 
        of rate regulation shall not be denied the opportunity to 
        recover the full amount of the prudently incurred costs 
        associated with complying with this section, consistent with 
        applicable State or Federal law.
            (2) Ratepayer rebates.--Regulatory authorities that approve 
        cost recovery pursuant to paragraph (1) may order rebates to 
        ratepayers to the extent that distribution utilities are 
        reimbursed undedicated or unassigned balances pursuant to 
        subsection (d)(3).
    (j) Technical Advisory Committee.--
            (1) Establishment.--There is established an advisory 
        committee, to be known as the ``Technical Advisory Committee''.
            (2) Membership.--The Technical Advisory Committee shall be 
        comprised of not less than 7 members appointed by the Board 
        from among academic institutions, national laboratories, 
        independent research institutions, and other qualified 
        institutions. No member of the Committee shall be affiliated 
        with EPRI or with any organization having members serving on 
        the Board. At least one member of the Committee shall be 
        appointed from among officers or employees of the Department of 
        Energy recommended to the Board by the Secretary of Energy.
            (3) Chairperson and vice chairperson.--The Board shall 
        designate one member of the Technical Advisory Committee to 
        serve as Chairperson of the Committee and one to serve as Vice 
        Chairperson of the Committee.
            (4) Compensation.--The Board shall provide compensation to 
        members of the Technical Advisory Committee for travel and 
        other incidental expenses and such other compensation as the 
        Board determines to be necessary.
            (5) Purpose.--The Technical Advisory Committee shall 
        provide independent assessments and technical evaluations, as 
        well as make non-binding recommendations to the Board, 
        concerning Corporation activities, including but not limited to 
        the following:
                    (A) Reviewing and evaluating the Corporation's 
                plans and budgets described in subsection (c)(9), as 
                well as any other appropriate areas, which could 
                include approaches to prioritizing technologies, 
                appropriateness of engineering techniques, monitoring 
                and verification technologies for storage, geological 
                site selection, and cost control measures.
                    (B) Making annual non-binding recommendations to 
                the Board concerning any of the matters referred to in 
                subparagraph (A), as well as what types of investments, 
                scientific research, or engineering practices would 
                best further the goals of the Corporation.
            (6) Public availability.--All reports, evaluations, and 
        other materials of the Technical Advisory Committee shall be 
        made available to the public by the Board, without charge, at 
        time of receipt by the Board.
    (k) Lobbying Restrictions.--No funds collected by the Corporation 
shall be used in any manner for influencing legislation or elections, 
except that the Corporation may recommend to the Secretary and the 
Congress changes in this section or other statutes that would further 
the purposes of this section.
    (l) Davis-Bacon Compliance.--The Corporation shall ensure that 
entities receiving grants, contracts, or other financial support from 
the Corporation for the project activities authorized by this section 
are in compliance with subchapter IV of chapter 31 of title 40, United 
States Code (commonly known as the ``Davis-Bacon Act'').

             Subtitle C--Nuclear and Advanced Technologies

SEC. 131. FINDINGS AND POLICY.

    (a) Findings.--Congress finds that--
            (1) in 2008, 104 nuclear power plants produced 19.6 percent 
        of the electricity generated in the United States, slightly 
        less than the electricity generated by natural gas;
            (2) nuclear energy is the largest provider of clean, low-
        carbon, electricity, almost 8 times larger than all renewable 
        power production combined, excluding hydroelectric power;
            (3) nuclear energy supplies consistent, base-load 
        electricity, independent of environmental conditions;
            (4) by displacing fossil fuels that would otherwise be used 
        for electricity production, nuclear power plants virtually 
        eliminate emissions of greenhouse gases and criteria pollutants 
        associated with acid rain, smog, or ozone;
            (5) nuclear power generation continues to require robust 
        efforts to address issues of safety, waste, and proliferation;
            (6) even if every nuclear plant is granted a 20-year 
        extension, all currently operating nuclear plants will be 
        retired by 2055;
            (7) long lead times for nuclear power plant construction 
        indicate that action to stimulate the nuclear power industry 
        should not be delayed;
            (8) the high upfront capital costs of nuclear plant 
        construction remain a substantial obstacle, despite theoretical 
        potential for significant cost reduction;
            (9) translating theoretical cost reduction potential into 
        actual reduced construction costs remains a significant 
        industry challenge that can be overcome only through 
        demonstrated performance;
            (10) as of January 2009, 17 companies and consortia have 
        submitted applications to the Nuclear Regulatory Commission for 
        26 new reactors in the United States;
            (11) those proposed reactors will use the latest in nuclear 
        technology for efficiency and safety, more advanced than the 
        technology of the 1960s and 1970s found in the reactors 
        currently operating in the United States;
            (12) increased resources for the Nuclear Regulatory 
        Commission and reform of the licensing process have improved 
        the safety and timeliness of the regulatory environment;
            (13) the United States has not built a new reactor since 
        the 1970s and, as a result, will need to revitalize and retool 
        the institutions and infrastructure necessary to construct, 
        maintain, and support new reactors, including improvements in 
        manufacturing of nuclear components and training for the next 
        generation nuclear workforce; and
            (14) those new reactors will launch a new era for the 
        nuclear industry, and translate into tens of thousands of jobs.
    (b) Statement of Policy.--It is the policy of the United States, 
given the importance of transitioning to a clean energy, low-carbon 
economy, to facilitate the continued development and growth of a safe 
and clean nuclear energy industry, through--
            (1) reductions in financial and technical barriers to 
        construction and operation; and
            (2) incentives for the development of a well-trained 
        workforce and the growth of safe domestic nuclear and nuclear-
        related industries.

SEC. 132. NUCLEAR WORKER TRAINING.

    (a) Definition of Applicable Period.--In this section, the term 
``applicable period'' means--
            (1) the 5-year period beginning on January 1, 2012; and
            (2) each 5-year period beginning on each January 1 
        thereafter.
    (b) Use of Funds.--Of amounts made available to carry out this 
section for the calendar years in each applicable period--
            (1) the Secretary of Energy shall use such amounts for each 
        applicable period as the Secretary of Energy determines to be 
        necessary to increase the number and amounts of nuclear science 
        talent expansion grants and nuclear science competitiveness 
        grants provided under section 5004 of the America COMPETES Act 
        (42 U.S.C. 16532); and
            (2) the Secretary of Labor, in consultation with nuclear 
        energy entities and organized labor, shall use such amounts for 
        each applicable period as the Secretary of Labor determines to 
        be necessary to carry out programs expanding workforce training 
        to meet the high demand for workers skilled in nuclear power 
        plant construction and operation, including programs for--
                    (A) electrical craft certification;
                    (B) preapprenticeship career technical education 
                for industrialized skilled crafts that are useful in 
                the construction of nuclear power plants;
                    (C) community college and skill center training for 
                nuclear power plant technicians;
                    (D) training of construction management personnel 
                for nuclear power plant construction projects; and
                    (E) regional grants for integrated nuclear energy 
                workforce development programs.

SEC. 133. NUCLEAR SAFETY AND WASTE MANAGEMENT PROGRAMS.

    (a) Nuclear Facility Long-Term Operations Research and Development 
Program.--
            (1) Establishment.--As soon as practicable after the date 
        of enactment of this Act, the Secretary of Energy (referred to 
        in this section as the ``Secretary'') shall establish a 
        research and development program--
                    (A) to address the reliability, availability, 
                productivity, component aging, safety, and security of 
                nuclear power plants;
                    (B) to improve the performance of nuclear power 
                plants;
                    (C) to sustain the health and safety of employees 
                of nuclear power plants;
                    (D) to assess the feasibility of nuclear power 
                plants to continue to provide clean and economic 
                electricity safely, substantially beyond the first 
                license extension period of the nuclear power plants, 
                which will--
                            (i) significantly contribute to the energy 
                        security of the United States; and
                            (ii) help protect the environment of the 
                        United States; and
                    (E) to support significant carbon reductions, lower 
                overall costs that are required to reduce carbon 
                emissions, and increase energy security.
            (2) Conduct of program.--
                    (A) In general.--In carrying out the program 
                established under paragraph (1), the Secretary shall--
                            (i) build a fundamental scientific basis to 
                        understand, predict, and measure changes in 
                        materials, systems, structures, equipment, and 
                        components as the materials, systems, 
                        structures, equipment, and components age 
                        through continued operations in long-term 
                        service environments;
                            (ii) develop new safety analysis tools and 
                        methods to enhance the performance and safety 
                        of nuclear power plants;
                            (iii) develop advanced online monitoring, 
                        control, and diagnostics technologies to 
                        prevent equipment failures and improve the 
                        safety of nuclear power plants;
                            (iv) establish a technical basis for 
                        advanced fuel designs (including silicon 
                        carbide fuel cladding) to increase the safety 
                        margins of nuclear power plants; and
                            (v) examine issues, including--
                                    (I) issues relating to material 
                                degradation, plant aging, and 
                                technology upgrades; and
                                    (II) any other issue that would 
                                impact decisions to extend the lifespan 
                                of nuclear power plants.
                    (B) Technical support.--In carrying out the program 
                established under paragraph (1), the Secretary shall 
                provide to the Chairman of the Nuclear Regulatory 
                Commission information collected under the program--
                            (i) to help ensure informed decisions 
                        regarding the extension of the life of nuclear 
                        power plants beyond a 60-year lifespan; and
                            (ii) for the licensing and long-term 
                        management, and safe and economical operation, 
                        of nuclear power plants.
    (b) Spent Nuclear Waste Disposal Research and Development 
Program.--
            (1) Establishment.--As soon as practicable after the date 
        of enactment of this Act, the Secretary shall establish a 
        research and development program to improve the understanding 
        of nuclear spent fuel management and the entire nuclear fuel 
        cycle life.
            (2) Conduct of program.--In carrying out the program 
        established under paragraph (1), the Secretary shall carry out 
        science-based research and development activities to pursue 
        dramatic improvements in a range of nuclear spent fuel 
        management options, including short-term and long-term storage 
        and disposal, and proliferation-resistant nuclear spent fuel 
        recycling.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.

                      Subtitle D--Water Efficiency

SEC. 141. WATERSENSE.

    (a) In General.--There is established within the Environmental 
Protection Agency a WaterSense program to identify and promote water-
efficient products, buildings, landscapes, facilities, processes, and 
services, so as--
            (1) to reduce water use;
            (2) to reduce the strain on water, wastewater, and 
        stormwater infrastructure;
            (3) to conserve energy used to pump, heat, transport, and 
        treat water; and
            (4) to preserve water resources for future generations, 
        through voluntary labeling of, or other forms of communications 
        about, products, buildings, landscapes, facilities, processes, 
        and services that meet the highest water efficiency and 
        performance criteria.
    (b) Duties.--The Administrator shall--
            (1) establish--
                    (A) a WaterSense label to be used for certain 
                items; and
                    (B) the procedure by which an item may be certified 
                to display the WaterSense label;
            (2) promote WaterSense-labeled products, buildings, 
        landscapes, facilities, processes, and services in the market 
        place as the preferred technologies and services for--
                    (A) reducing water use; and
                    (B) ensuring product and service performance;
            (3) work to enhance public awareness of the WaterSense 
        label through public outreach, education, and other means;
            (4) preserve the integrity of the WaterSense label by--
                    (A) establishing and maintaining performance 
                criteria so that products, buildings, landscapes, 
                facilities, processes, and services labeled with the 
                WaterSense label perform as well or better than less 
                water-efficient counterparts;
                    (B) overseeing WaterSense certifications made by 
                third parties;
                    (C) conducting reviews of the use of the WaterSense 
                label in the marketplace and taking corrective action 
                in any case in which misuse of the label is identified; 
                and
                    (D) carrying out such other measures as the 
                Administrator determines to be appropriate;
            (5) regularly review and, if appropriate, update WaterSense 
        criteria for categories of products, buildings, landscapes, 
        facilities, processes, and services, at least once every 4 
        years;
            (6) to the maximum extent practicable, regularly estimate 
        and make available to the public the production and relative 
        market shares of, and the savings of water, energy, and capital 
        costs of water, wastewater, and stormwater infrastructure 
        attributable to the use of WaterSense-labeled products, 
        buildings, landscapes, facilities, processes, and services, at 
        least annually;
            (7) solicit comments from interested parties and the public 
        prior to establishing or revising a WaterSense category, 
        specification, installation criterion, or other criterion (or 
        prior to effective dates for any such category, specification, 
        installation criterion, or other criterion);
            (8) provide reasonable notice to interested parties and the 
        public of any changes (including effective dates), on the 
        adoption of a new or revised category, specification, 
        installation criterion, or other criterion, along with--
                    (A) an explanation of the changes; and
                    (B) as appropriate, responses to comments submitted 
                by interested parties and the public;
            (9) provide appropriate lead time (as determined by the 
        Administrator) prior to the applicable effective date for a new 
        or significant revision to a category, specification, 
        installation criterion, or other criterion, taking into account 
        the timing requirements of the manufacturing, marketing, 
        training, and distribution process for the specific product, 
        building and landscape, or service category addressed;
            (10) identify and, if appropriate, implement other 
        voluntary approaches in commercial, institutional, residential, 
        industrial, and municipal sectors to encourage recycling and 
        reuse technologies to improve water efficiency or lower water 
        use; and
            (11) where appropriate, apply the WaterSense label to 
        water-using products that are labeled by the Energy Star 
        program implemented by the Administrator and the Secretary of 
        Energy.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section--
            (1) $7,500,000 for fiscal year 2010;
            (2) $10,000,000 for fiscal year 2011;
            (3) $20,000,000 for fiscal year 2012;
            (4) $50,000,000 for fiscal year 2013; and
            (5) for each subsequent fiscal year, the applicable amount 
        during the preceding fiscal year, as adjusted to reflect 
        changes for the 12-month period ending the preceding November 
        30 in the Consumer Price Index for All Urban Consumers 
        published by the Bureau of Labor Statistics of the Department 
        of Labor.

SEC. 142. FEDERAL PROCUREMENT OF WATER-EFFICIENT PRODUCTS.

    (a) Definitions.--In this section:
            (1) Agency.--The term ``Agency'' has the meaning given the 
        term in section 7902(a) of title 5, United States Code.
            (2) FEMP-designated product.--The term ``FEMP-designated 
        product'' means a product that is designated under the Federal 
        Energy Management Program of the Department of Energy as being 
        among the highest 25 percent of equivalent products for 
        efficiency.
            (3) Product, building, landscape, facility, process, and 
        service.--The terms ``product'', ``building'', ``landscape'', 
        ``facility'', ``process'', and ``service'' do not include--
                    (A) any water-using product, building, landscape, 
                facility, process, or service designed or procured for 
                combat or combat-related missions; or
                    (B) any product, building, landscape, facility, 
                process, or service already covered by the Federal 
                procurement regulations established under section 553 
                of the National Energy Conservation Policy Act (42 
                U.S.C. 8259b).
            (4) WaterSense product, building, landscape, facility, 
        process, or service.--The term ``WaterSense product, building, 
        landscape, facility, process, or service'' means a product, 
        building, landscape, facility, process, or service that is 
        labeled for water efficiency under the WaterSense program.
            (5) WaterSense program.--The term ``WaterSense program'' 
        means the program established by section 141.
    (b) Procurement of Water-Efficient Products.--
            (1) Requirement.--
                    (A) In general.--To meet the requirements of an 
                agency for a water-using product, building, landscape, 
                facility, process, or service, the head of an Agency 
                shall, except as provided in paragraph (2), procure--
                            (i) a WaterSense product, building, 
                        landscape, facility, process, or service; or
                            (ii) a FEMP-designated product.
                    (B) Sense of congress regarding installation 
                preferences.--It is the sense of Congress that a 
                WaterSense irrigation system should, to the maximum 
                extent practicable, be installed and audited by a 
                WaterSense-certified irrigation professional to ensure 
                optimal performance.
            (2) Exceptions.--The head of an Agency shall not be 
        required to procure a WaterSense product, building, landscape, 
        facility, process, or service or FEMP-designated product under 
        paragraph (1) if the head of the Agency finds in writing that--
                    (A) a WaterSense product, building, landscape, 
                facility, process, or service or FEMP-designated 
                product is not cost-effective over the life of the 
                product, building, landscape, facility, process, or 
                service, taking energy, water, and wastewater service 
                cost savings into account; or
                    (B) no WaterSense product, building, landscape, 
                facility, process, or service or FEMP-designated 
                product is reasonably available that meets the 
                functional requirements of the Agency.
            (3) Procurement planning.--
                    (A) In general.--The head of an Agency shall 
                incorporate criteria used for evaluating WaterSense 
                products, buildings, landscapes, facilities, processes, 
                and services and FEMP-designated products into--
                            (i) the specifications for all procurements 
                        involving water-using products, buildings, 
                        landscapes, facilities, processes, and systems, 
                        including guide specifications, project 
                        specifications, and construction, renovation, 
                        and services contracts that include provision 
                        of water-using products, buildings, landscapes, 
                        facilities, processes, and systems; and
                            (ii) the factors for the evaluation of 
                        offers received for the procurement.
                    (B) Listing of water-efficient products in federal 
                catalogs.--WaterSense products, buildings, landscapes, 
                facilities, processes, and systems and FEMP-designated 
                products shall be clearly identified and prominently 
                displayed in any inventory or listing of products by 
                the General Services Administration or the Defense 
                Logistics Agency.
                    (C) Additional measures.--The head of an Agency 
                shall consider, to the maximum extent practicable, 
                additional measures for reducing Agency water use, 
                including water reuse technologies, leak detection and 
                repair, and use of waterless products that perform 
                similar functions to existing water-using products.
    (c) Retrofit Programs.--The head of each Agency, working in 
coordination with the Administrator and the heads of such other 
Agencies as the President may designate, shall develop standards and 
implementation procedures for a building water efficiency retrofit 
program, which shall include the following elements:
            (1) Evaluation of products and systems.--Not later than 270 
        days after the date of enactment of this Act, each Agency shall 
        evaluate water-consuming products and systems in buildings 
        operated by such Agency and identify opportunities for retrofit 
        and replacement of such products and systems with high-
        efficiency equipment, such as zero-water-consumption equipment, 
        high-efficiency toilets, high-efficiency shower heads, and 
        high-efficiency faucets, and other products that are certified 
        as Watersense products or FEMP-designated products.
            (2) Retrofit plan.--Not later than 360 days after the date 
        of enactment of this Act, each Agency shall, in coordination 
        with other appropriate Agencies and officials, prepare a water 
        efficiency retrofit plan that shall, to the maximum extent 
        practicable, maximize retrofitting of water-consuming products 
        and systems and replacement with high-efficiency equipment 
        described in paragraph (1).
    (d) Guidelines.--Not later than 180 days after the date of 
enactment of this Act, the Administrator, working in coordination with 
the Secretary of Energy and the heads of such other Agencies as the 
President may designate, shall issue guidelines to carry out this 
section.

SEC. 143. STATE RESIDENTIAL WATER EFFICIENCY AND CONSERVATION 
              INCENTIVES PROGRAM.

    (a) Definitions.--In this section:
            (1) Eligible entity.--The term ``eligible entity'' means a 
        State government, local or county government, tribal 
        government, wastewater or sewerage utility, municipal water 
        authority, energy utility, water utility, or nonprofit 
        organization that meets the requirements of subsection (b).
            (2) Incentive program.--The term ``incentive program'' 
        means a program for administering financial incentives for 
        consumer purchase and installation of water-efficient products, 
        buildings (including New Water-Efficient Homes), landscapes, 
        processes, or services described in subsection (b)(1).
            (3) Residential water-efficient product, building, 
        landscape, process, or service.--
                    (A) In general.--The term ``residential water-
                efficient product, building, landscape, process, or 
                service'' means a product, building, landscape, 
                process, or service for a residence or its landscape 
                that is rated for water efficiency and performance--
                            (i) by the WaterSense program; or
                            (ii) if a WaterSense specification does not 
                        exist, by the Energy Star program or an 
                        incentive program approved by the 
                        Administrator.
                    (B) Inclusions.--The term ``residential water-
                efficient product, building, landscape, process, or 
                service'' includes--
                            (i) faucets;
                            (ii) irrigation technologies and services;
                            (iii) point-of-use water treatment devices;
                            (iv) reuse and recycling technologies;
                            (v) toilets;
                            (vi) clothes washers;
                            (vii) dishwashers;
                            (viii) showerheads;
                            (ix) xeriscaping and other landscape 
                        conversions that replace irrigated turf; and
                            (x) New Water Efficient Homes certified by 
                        the WaterSense program.
            (4) WaterSense program.--The term ``WaterSense program'' 
        means the program established by section 141.
    (b) Eligible Entities.--An entity shall be eligible to receive an 
allocation under subsection (c) if the entity--
            (1) establishes (or has established) an incentive program 
        to provide financial incentives to residential consumers for 
        the purchase of residential water-efficient products, 
        buildings, landscapes, processes, or services;
            (2) submits an application for the allocation at such time, 
        in such form, and containing such information as the 
        Administrator may require; and
            (3) provides assurances satisfactory to the Administrator 
        that the entity will use the allocation to supplement, but not 
        supplant, funds made available to carry out the incentive 
        program.
    (c) Amount of Allocations.--For each fiscal year, the Administrator 
shall determine the amount to allocate to each eligible entity to carry 
out subsection (d), taking into consideration--
            (1) the population served by the eligible entity during the 
        most recent calendar year for which data are available;
            (2) the targeted population of the incentive program of the 
        eligible entity, such as general households, low-income 
        households, or first-time homeowners, and the probable 
        effectiveness of the incentive program for that population;
            (3) for existing programs, the effectiveness of the program 
        in encouraging the adoption of water-efficient products, 
        buildings, landscapes, facilities, processes, and services;
            (4) any allocation to the eligible entity for a preceding 
        fiscal year that remains unused; and
            (5) the per capita water demand of the population served by 
        the eligible entity during the most recent calendar year for 
        which data are available and the accessibility of water 
        supplies to such entity.
    (d) Use of Allocated Funds.--Funds allocated to an eligible entity 
under subsection (c) may be used to pay up to 50 percent of the cost of 
establishing and carrying out an incentive program.
    (e) Fixture Recycling.--Eligible entities are encouraged to promote 
or implement fixture recycling programs to manage the disposal of older 
fixtures replaced due to the incentive program under this section.
    (f) Issuance of Incentives.--
            (1) In general.--Financial incentives may be provided to 
        residential consumers that meet the requirements of the 
        applicable incentive program.
            (2) Manner of issuance.--An eligible entity may--
                    (A) issue all financial incentives directly to 
                residential consumers; or
                    (B) with approval of the Administrator, delegate 
                all or part of financial incentive administration to 
                other organizations, including local governments, 
                municipal water authorities, water utilities, and non-
                profit organizations.
            (3) Amount.--The amount of a financial incentive shall be 
        determined by the eligible entity, taking into consideration--
                    (A) the amount of any Federal or State incentive 
                available for the purchase of the residential water-
                efficient product or service;
                    (B) the amount necessary to change consumer 
                behavior to purchase water-efficient products and 
                services; and
                    (C) the consumer expenditures for onsite 
                preparation, assembly, and original installation of the 
                product.
    (g) Authorization of Appropriations.--There are authorized to be 
appropriated to the Administrator to carry out this section--
            (1) $100,000,000 for fiscal year 2010;
            (2) $150,000,000 for fiscal year 2011;
            (3) $200,000,000 for fiscal year 2012;
            (4) $150,000,000 for fiscal year 2013;
            (5) $100,000,000 for fiscal year 2014; and
            (6) for each subsequent fiscal year, the applicable amount 
        during the preceding fiscal year, as adjusted to reflect 
        changes for the 12-month period ending the preceding November 
        30 in the Consumer Price Index for All Urban Consumers 
        published by the Bureau of Labor Statistics of the Department 
        of Labor.

                       Subtitle E--Miscellaneous

SEC. 151. OFFICE OF CONSUMER ADVOCACY.

    (a) Office.--
            (1) Establishment.--There is established an Office of 
        Consumer Advocacy to serve as an advocate for the public 
        interest.
            (2) Director.--The Office shall be headed by a Director to 
        be appointed by the President, who is admitted to the Federal 
        Bar, with experience in public utility proceedings, and by and 
        with the advice and consent of the Senate.
            (3) Duties.--The Office may--
                    (A) represent, and appeal on behalf of, energy 
                customers on matters concerning rates or service of 
                public utilities and natural gas companies under the 
                jurisdiction of the Commission--
                            (i) at hearings of the Commission;
                            (ii) in judicial proceedings in the courts 
                        of the United States; and
                            (iii) at hearings or proceedings of other 
                        Federal regulatory agencies and commissions;
                    (B) monitor and review energy customer complaints 
                and grievances on matters concerning rates or service 
                of public utilities and natural gas companies under the 
                jurisdiction of the Commission;
                    (C) investigate independently, or within the 
                context of formal proceedings, the services provided 
                by, the rates charged by, and the valuation of the 
                properties of, public utilities and natural gas 
                companies under the jurisdiction of the Commission;
                    (D) develop means, such as public dissemination of 
                information, consultative services, and technical 
                assistance, to ensure, to the maximum extent 
                practicable, that the interests of energy consumers are 
                adequately represented in the course of any hearing or 
                proceeding described in subparagraph (A);
                    (E) collect data concerning rates or service of 
                public utilities and natural gas companies under the 
                jurisdiction of the Commission; and
                    (F) prepare and issue reports and recommendations.
            (4) Compensation and powers.--The Director may--
                    (A) employ and fix the compensation of such staff 
                personnel as is deemed necessary; and
                    (B) procure temporary and intermittent services as 
                needed.
            (5) Access to information.--Each department, agency, and 
        instrumentality of the Federal Government is authorized and 
        directed to furnish to the Director such reports and other 
        information as he deems necessary to carry out his functions 
        under this section.
    (b) Consumer Advocacy Advisory Committee.--
            (1) Establishment.--The Director shall establish an 
        advisory committee to be known as Consumer Advocacy Advisory 
        Committee (in this section referred to as the ``Advisory 
        Committee'') to review rates, services, and disputes and to 
        make recommendations to the Director.
            (2) Composition.--The Director shall appoint 5 members to 
        the Advisory Committee including--
                    (A) 2 individuals representing State Utility 
                Consumer Advocates; and
                    (B) 1 individual, from a nongovernmental 
                organization, representing consumers.
            (3) Meetings.--The Advisory Committee shall meet at such 
        frequency as may be required to carry out its duties.
            (4) Reports.--The Director shall provide for publication of 
        recommendations of the Advisory Committee on the public website 
        established for the Office.
            (5) Duration.--Notwithstanding any other provision of law, 
        the Advisory Committee shall continue in operation during the 
        period in which the Office exists.
            (6) Application of faca.--Except as otherwise specifically 
        provided, the Advisory Committee shall be subject to the 
        Federal Advisory Committee Act.
    (c) Definitions.--In this section:
            (1) Commission.--The term ``Commission'' means the Federal 
        Energy Regulatory Commission.
            (2) Energy customer.--The term ``energy customer'' means a 
        residential customer or a small commercial customer that 
        receives products or services from a public utility or natural 
        gas company under the jurisdiction of the Commission.
            (3) Natural gas company.--The term ``natural gas company'' 
        has the meaning given the term in section 2 of the Natural Gas 
        Act (15 U.S.C. 717a).
            (4) Office.--The term ``Office'' means the Office of 
        Consumer Advocacy established by subsection (a)(1).
            (5) Public utility.--The term ``public utility'' has the 
        meaning given the term in section 201(e) of the Federal Power 
        Act (16 U.S.C. 824(e)).
            (6) Small commercial customer.--The term ``small commercial 
        customer'' means a commercial customer that has a peak demand 
        of not more than 1,000 kilowatts per hour.
    (d) Authorization of Appropriations.--There are authorized such 
sums as necessary to carry out this section.
    (e) Savings Clause.--Nothing in this section affects the rights or 
obligations of State Utility Consumer Advocates.

SEC. 152. CLEAN TECHNOLOGY BUSINESS COMPETITION GRANT PROGRAM.

    (a) In General.--The Administrator may provide grants to 
organizations to conduct business competitions that provide incentives, 
training, and mentorship to entrepreneurs and early stage start-up 
companies throughout the United States to meet high-priority economic, 
environmental, and energy goals in areas including air quality, energy 
efficiency and renewable energy, transportation, water quality and 
conservation, green buildings, and waste management.
    (b) Purposes.--
            (1) In general.--The competitions described in subsection 
        (a) shall have the purposes of--
                    (A) accelerating the development and deployment of 
                clean technology businesses and green jobs;
                    (B) stimulating green economic development;
                    (C) providing business training and mentoring to 
                early stage clean technology companies; and
                    (D) strengthening the competitiveness of United 
                States clean technology industry in world trade 
                markets.
            (2) Priority.--Priority shall be given to business 
        competitions that--
                    (A) are led by the private sector;
                    (B) encourage regional and interregional 
                cooperation; and
                    (C) can demonstrate market-driven practices and the 
                creation of cost-effective green jobs through an annual 
                publication of competition activities and directory of 
                companies.
    (c) Eligibility.--
            (1) In general.--To be eligible for a grant under this 
        section, an organization shall be any sponsored entity of an 
        organization described in subparagraph (A) that is operated as 
        a nonprofit entity.
            (2) Priority.--In making grants under this section, the 
        Administrator shall give priority to organizations that can 
        demonstrate broad funding support from private and other non-
        Federal funding sources to leverage Federal investment.
    (d) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $20,000,000.

SEC. 153. PRODUCT CARBON DISCLOSURE PROGRAM.

    (a) EPA Study.--The Administrator shall conduct a study to 
determine the feasibility of establishing a national program for 
measuring, reporting, publicly disclosing, and labeling products or 
materials sold in the United States for their carbon content, and 
shall, not later than 18 months after the date of enactment of this 
Act, transmit a report to Congress which shall include the following:
            (1) A determination of whether a national product carbon 
        disclosure program and labeling program would be effective in 
        achieving the intended goals of achieving greenhouse gas 
        reductions and an examination of existing programs globally and 
        their strengths and weaknesses.
            (2) Criteria for identifying and prioritizing sectors and 
        products and processes that should be covered in such program 
        or programs.
            (3) An identification of products, processes, or sectors 
        whose inclusion could have a substantial carbon impact 
        (prioritizing industrial products such as iron and steel, 
        aluminum, cement, chemicals, and paper products, and also 
        including food, beverage, hygiene, cleaning, household 
        cleaners, construction, metals, clothing, semiconductor, and 
        consumer electronics).
            (4) Suggested methodology and protocols for measuring the 
        carbon content of the products across the entire carbon 
        lifecycle of such products for use in a carbon disclosure 
        program and labeling program.
            (5) A review of existing greenhouse gas product accounting 
        standards, methodologies, and practices including the 
        Greenhouse Gas Protocol, ISO 14040/44, ISO 14067, and 
        Publically Available Specification 2050, and including a review 
        of the strengths and weaknesses of each.
            (6) A survey of secondary databases including the 
        Manufacturing Energy Consumption Survey, an evaluation of the 
        quality of data for use in a product carbon disclosure program 
        and product carbon labeling program, an identification of gaps 
        in the data relative to the potential purposes of a national 
        product carbon disclosure program and product carbon labeling 
        program, and development of recommendations for addressing 
        these data gaps.
            (7) An assessment of the utility of comparing products and 
        the appropriateness of product carbon standards.
            (8) An evaluation of the information needed on a label for 
        clear and accurate communication, including what pieces of 
        quantitative and qualitative information need to be disclosed.
            (9) An evaluation of the appropriate boundaries of the 
        carbon lifecycle analysis for different sectors and products.
            (10) An analysis of whether default values should be 
        developed for products whose producer does not participate in 
        the program or does not have data to support a disclosure or 
        label and a determination of the best ways to develop such 
        default values.
            (11) A recommendation of certification and verification 
        options necessary to assure the quality of the information and 
        avoid greenwashing or the use of insubstantial or meaningless 
        environmental claims to promote a product.
            (12) An assessment of options for educating consumers about 
        product carbon content and the product carbon disclosure 
        program and product carbon labeling program.
            (13) An analysis of the costs and timelines associated with 
        establishing a national product carbon disclosure program and 
        product carbon labeling program, including options for a phased 
        approach. Costs should include those for businesses associated 
        with the measurement of carbon footprints and those associated 
        with creating a product carbon label and managing and operating 
        a product carbon labeling program, and options for minimizing 
        these costs.
            (14) An evaluation of incentives (such as financial 
        incentives, brand reputation, and brand loyalty) to determine 
        whether reductions in emissions can be accelerated through 
        encouraging more efficient manufacturing or by encouraging 
        preferences for lower-emissions products to substitute for 
        higher-emissions products whose level of performance is no 
        better.
    (b) Development of National Carbon Disclosure Program.--Upon 
conclusion of the study, and not later than 3 years after the date of 
enactment of this Act, the Administrator shall establish a national 
product carbon disclosure program, participation in which shall be 
voluntary, and which may involve a product carbon label with broad 
applicability to the wholesale and consumer markets to enable and 
encourage knowledge about carbon content by producers and consumers and 
to inform efforts to reduce energy consumption (carbon dioxide 
equivalent emissions) nationwide. In developing such a program, the 
Administrator shall--
            (1) consider the results of the study conducted under 
        subsection (a);
            (2) consider existing and planned programs and proposals 
        and measurement standards (including the Publicly Available 
        Specification 2050, standards to be developed by the World 
        Resource Institute/World Business Council for Sustainable 
        Development, the International Standards Organization, and the 
        bill AB19 pending in the California legislature as of the date 
        of enactment of this Act);
            (3) consider the compatibility of a national product carbon 
        disclosure program with existing programs;
            (4) utilize incentives and other means to spur the adoption 
        of product carbon disclosure and product carbon labeling;
            (5) develop protocols and parameters for a product carbon 
        disclosure program, including a methodology and formula for 
        assessing, verifying, and potentially labeling a product's 
        greenhouse gas content, and for data quality requirements to 
        allow for product comparison;
            (6) create a means to--
                    (A) document best practices;
                    (B) ensure clarity and consistency;
                    (C) work with suppliers, manufacturers, and 
                retailers to encourage participation;
                    (D) ensure that protocols are consistent and 
                comparable across like products; and
                    (E) evaluate the effectiveness of the program;
            (7) make publicly available information on product carbon 
        content to ensure transparency;
            (8) provide for public outreach, including a consumer 
        education program to increase awareness;
            (9) develop training and education programs to help 
        businesses learn how to measure and communicate their carbon 
        footprint and easy tools and templates for businesses to use to 
        reduce cost and time to measure their products' carbon 
        lifecycle;
            (10) consult with the Secretary of Energy, the Secretary of 
        Commerce, the Federal Trade Commission, and other Federal 
        agencies, as necessary;
            (11) gather input from stakeholders through consultations, 
        public workshops, or hearings with representatives of consumer 
        product manufacturers, consumer groups, and environmental 
        groups;
            (12) utilize systems for verification and product 
        certification that will ensure that claims manufacturers make 
        about their products are valid;
            (13) create a process for reviewing the accuracy of product 
        carbon label information and protecting the product carbon 
        label in the case of a change in the product's energy source, 
        supply chain, ingredients, or other factors, and specify the 
        frequency to which data should be updated; and
            (14) develop a standardized, easily understandable carbon 
        label, if appropriate, and create a process for responding to 
        inaccuracies and misuses of such a label.
    (c) Report to Congress.--Not later than 5 years after the program 
is established pursuant to subsection (b), the Administrator shall 
report to Congress on the effectiveness and impact of the program, the 
level of voluntary participation, and any recommendations for 
additional measures.
    (d) Definitions.--In this section:
            (1) The term ``carbon content'' means the quantity of 
        greenhouse gas emissions and the warming impact of those 
        emissions on the atmosphere expressed in carbon dioxide 
        equivalent associated with a product's value chain.
            (2) The term ``carbon footprint'' means the level of 
        greenhouse gas emissions produced by a particular activity, 
        service, or entity.
            (3) The term ``carbon lifecycle'' means the greenhouse gas 
        emissions that are released as part of the processes of 
        creating, producing, processing, manufacturing, modifying, 
        transporting, distributing, storing, using, recycling, or 
        disposing of goods and services.
    (e) Authorization of Appropriations.--There is authorized to be 
appropriated to the Administrator--
            (1) to carry out the study required by subsection (a), 
        $5,000,000; and
            (2) to carry out the program required under subsection (b), 
        $25,000,000 for each of fiscal years 2010 through 2025.

SEC. 154. STATE RECYCLING PROGRAMS.

    (a) Establishment.--The Administrator shall establish a State 
Recycling Program governing the use of funds by States in accordance 
with this Act.
    (b) Use of Funding.--
            (1) In general.--States receiving funding to carry out this 
        section shall use the proceeds to carry out recycling programs 
        in accordance with this section.
            (2) County and municipal programs.--Not less than \1/4\ of 
        the funding made available to a State to carry out this section 
        shall be distributed by the State to county and municipal 
        recycling programs as described in subsection (c)(1), to be 
        used exclusively to support recycling purposes and associated 
        source reduction purposes, including to provide incentives--
                    (A) for recycling-related technology that--
                            (i) reduces or avoids greenhouse gas 
                        emissions;
                            (ii) increases collection rates; and
                            (iii) improves the quality of recyclable 
                        material that is separated from solid waste;
                    (B) for energy-efficiency projects for 
                transportation fleets and recycling equipment used to 
                collect and sort recyclable material separated from 
                solid waste;
                    (C) for recycling program-related expenses, 
                including--
                            (i) education and job training;
                            (ii) development and implementation of 
                        variable rate (commonly referred to as ``pay-
                        as-you-throw'') recycling programs and 
                        anaerobic digestion programs;
                            (iii) promotion of public space recycling 
                        programs;
                            (iv) approaches for assuring compliance 
                        with recycling requirements; and
                            (v) development or implementation of best 
                        practices for municipal solid waste reduction 
                        programs; and
                    (D) to ensure that recyclable material is not sent 
                for disposal or incineration during fluctuating 
                markets.
            (3) Recycling facilities.--Not less than \1/4\ of the 
        funding made available to a State to carry out this section 
        shall be distributed by the State to eligible recycling 
        facilities as described in subsection (c)(2) to be used 
        exclusively to support the recycling purposes and associated 
        source reduction purposes of the facilities, including to 
        provide--
                    (A) incentives for the demonstration or deployment 
                of recycling-related technology and equipment that 
                reduce or avoid greenhouse gas emissions;
                    (B) incentives to facilities that increase the 
                quantity and quality of recyclable material that is 
                recycled versus sent for disposal or incineration;
                    (C) funding for research, management, and removal 
                of impediments to recycling, including--
                            (i) radioactive material; and
                            (ii) devices or materials that contain 
                        polychlorinated biphenyls, mercury, or 
                        chlorofluorocarbons;
                    (D) funding for research on, and development and 
                deployment of, new technologies to more efficiently and 
                effectively recycle items such as automobile shredder 
                residue, cathode ray tubes, plastics, and tires; and
                    (E) incentives to recycle materials identified by 
                the Administrator that are not being recycled at a 
                recycling facility.
            (4) Manufacturing facilities.--Not less than \1/4\ of the 
        funding made available to a State to carry out this section 
        shall be distributed by the State to eligible manufacturing 
        facilities as described in subsection (c)(3) to be used 
        exclusively to support recycling purposes, including to provide 
        incentives for the demonstration or deployment of--
                    (A) manufacturing-related technology and equipment 
                that would increase the use of recyclable material and 
                avoid or reduce greenhouse gas emissions;
                    (B) radiation detection equipment and the costs 
                associated with recovery of detected radiated 
                recyclable material;
                    (C) technologies that will detect and separate 
                contaminants, including mercury-, lead-, and cadmium-
                containing devices;
                    (D) strategies and technologies to remove 
                impediments to recovering recyclable material; and
                    (E) strategies and technologies to improve the 
                energy efficiency of technology and equipment used to 
                manufacture recyclable material.
    (c) Eligibility Requirements.--
            (1) County and municipality programs.--Funds provided under 
        subsection (b)(2) shall be provided on a competitive basis to 
        county and municipal recycling programs that--
                    (A) have within the solid waste management plans of 
                the programs a recycling management plan that includes 
                an education outreach program for the individuals and 
                entities served by the program constituency that 
                highlights the lifecycle benefits of recycling; and
                    (B) collect at least 5 recyclable materials, such 
                as--
                            (i) ferrous and nonferrous metal;
                            (ii) aluminum;
                            (iii) plastic;
                            (iv) tires and rubber;
                            (v) household electronic equipment;
                            (vi) glass;
                            (vii) scrap food;
                            (viii) recoverable fiber or paper; and
                            (ix) textiles;
                    (C) demonstrate, not later than 3 years after the 
                date of receipt of funds under this subtitle, 
                reasonable progress toward achieving--
                            (i) a collection rate goal of at least 30 
                        percent of the total recyclable materials 
                        available from the solid waste stream in the 
                        requesting State, county, or municipal program; 
                        or
                            (ii) a 10-percent increase of collected 
                        recyclable materials compared to the total 
                        solid waste stream in the requesting State, 
                        county, or municipal program; and
                    (D)(i) own, operate, or contract to operate--
                            (I) a curbside recyclables collection 
                        program;
                            (II) a redemption center or drop-off 
                        facility for recyclables; and
                            (III) a materials recovery facility; and
                    (ii) have in place a quality, environmental, 
                health, and safety management system (such as that of 
                the International Standards Organization or an 
                equivalent) that includes goals to reduce the 
                operational carbon baselines of the programs.
            (2) Recycling facility.--Funds provided under subsection 
        (b)(3) shall be provided on a competitive basis to a recycling 
        facility that--
                    (A) processes recyclable material into commercial 
                specification-grade commodities for use as raw material 
                feed stock at recovery facilities, including for use 
                as--
                            (i) a replacement or substitute for a 
                        virgin raw material; or
                            (ii) a replacement or substitute for a 
                        product made, in whole or in part, from a 
                        virgin raw material;
                    (B) has a verifiable carbon baseline; and
                    (C) has an environmental, health and safety, and 
                quality management system (such as that of the 
                International Standards Organization or an equivalent) 
                that includes goals to reduce the operational carbon 
                baseline of the recycling facility per unit of material 
                processed.
            (3) Manufacturing facility.--Funds provided under 
        subsection (b)(4) shall be provided on a competitive basis to a 
        manufacturing facility that--
                    (A) can report on a verifiable carbon baseline that 
                is consistent with applicable reporting requirements; 
                and
                    (B) has an environmental, health and safety, and 
                quality management system (such as that of the 
                International Standards Organization or an equivalent) 
                that includes goals to reduce the operational carbon 
                baseline of the manufacturing facility per unit of 
                material processed.
    (d) Reporting.--Each State that distributes funds under this 
section shall submit to the Administrator, in accordance with such 
requirements as the Administrator may prescribe, a report that 
includes--
            (1) a list of entities receiving funding under this 
        section, including entities receiving such funding from units 
        of local government pursuant to subsection (b)(2);
            (2) the amount of funding received by each such recipient;
            (3) the specific purposes for which the funding was 
        conveyed to each such recipient; and
            (4) documentation of the quantity of net recyclable 
        material that was collected and processed and greenhouse gas 
        emissions that were reduced or avoided accordingly, through use 
        of the funding, based on a lifecycle calculation developed by 
        the Administrator.
    (e) Methodology and Decisionmaking.--The Administrator, as 
appropriate--
            (1) shall develop and periodically update lifecycle methods 
        to quantify the relationship between waste management 
        decisions, including recycling and waste reduction, greenhouse 
        gas reductions, and energy use reductions, for purposes that 
        include--
                    (A) helping to support decisions under Federal, 
                State, and municipal recycling and waste management 
                programs, including--
                            (i) estimating greenhouse gas and energy 
                        benefits of increasing collection or adding new 
                        materials to recycling programs;
                            (ii) comparing the benefits of recycling 
                        and waste reduction to other greenhouse gas and 
                        energy use reduction strategies;
                            (iii) optimizing waste management 
                        strategies to maximize greenhouse gas 
                        reductions and energy use reductions; and
                            (iv) public education; and
                    (B) designing products to optimize waste reduction 
                and recycling opportunities and use of recycled 
                materials in the manufacturing process;
            (2) may collect data to support the development of the 
        methods described in paragraph (1); and
            (3) to improve national consistency, shall, in consultation 
        with appropriate State and local representatives and municipal 
        recycling programs, identify best practices to promote 
        improvement in, and support State efforts in improving, 
        municipal recycling and resource recovery programs.

SEC. 155. SUPPLEMENTAL AGRICULTURE AND FORESTRY GREENHOUSE GAS 
              REDUCTION AND RENEWABLE ENERGY PROGRAM.

    (a) Agricultural Greenhouse Gas Reductions.--
            (1) Establishment.--
                    (A) In general.--The Secretary of Agriculture 
                (referred to in this section as the ``Secretary''), in 
                coordination with the Secretary of the Interior, shall 
                establish a Greenhouse Gas Reduction Incentives Program 
                (referred to in this section as the ``program'') to 
                provide financial assistance to owners and operators of 
                agricultural land (including land on which specialty 
                crops are produced and private or public land used for 
                grazing) and forest land for projects and activities 
                that measurably increase carbon sequestration or reduce 
                greenhouse gas emissions.
                    (B) Shared authority.--The Secretary shall delegate 
                to the Secretary of the Interior the authority to carry 
                out projects on land under the jurisdiction of or 
                operated by the Department of the Interior.
            (2) Priority.--In carrying out the program, the Secretary 
        shall give priority to projects or activities that--
                    (A) reduce greenhouse gas emissions or increase 
                sequestration of greenhouse gases, and achieve 
                significant other environmental benefits, such as the 
                improvements of water or air quality or natural 
                resources; and
                    (B) reduce greenhouse gas emissions or sequester 
                carbon in agricultural and forestry operations where 
                there are limited recognized opportunities to achieve 
                such emission reductions or sequestration.
            (3) Eligible projects and activities.--Eligible projects 
        and payments shall include those that--
                    (A) reflect the comparable amount that the owners 
                or operators would receive in the offset market if not 
                for compliance with environmental laws that preclude 
                the owners and operators from being eligible for 
                receiving an offset credit under a Federal law enacted 
                for the purpose of regulating greenhouse gas emissions;
                    (B) provide greenhouse gas emission benefits, but 
                do not receive an offset credit or qualify for an early 
                action allowance under a Federal law enacted for the 
                purpose of regulating greenhouse gas emissions, 
                including projects and activities that provide an 
                opportunity to demonstrate and test new or uncertain 
                methods to reduce or sequester emissions;
                    (C) reward early adopters, including producers that 
                practice no-till agriculture, and ensure that 
                individuals and entities that took action prior to the 
                implementation of a Federal law enacted for the purpose 
                of regulating greenhouse gas emissions are not placed 
                at a competitive disadvantage, including giving special 
                consideration to owners or operators located in 
                jurisdictions with more stringent environmental laws 
                (including regulations), compliance with which 
                precludes the owners or operators from participating 
                such an offset market;
                    (D) provide incentives for supplemental greenhouse 
                gas emission reductions on private forest land of the 
                United States;
                    (E) prevent any conversion of land, including 
                native grassland, native prairie, rangeland, cropland, 
                or forested land, that would increase greenhouse gas 
                emissions or a loss of carbon sequestration; or
                    (F) support action on Federal, State, or tribal 
                land.
            (4) Requirements.--Financial incentives and support 
        provided by the Secretary for a project or activity under this 
        section shall, to the maximum extent practicable--
                    (A) be directly proportional to the quantity and 
                duration of greenhouse gas emissions reduced or carbon 
                sequestered (except with respect to projects and 
                activities that provide adaptation benefits); and
                    (B) complement and leverage existing conservation, 
                forestry, and energy program expenditures to provide 
                measurable emission reduction and sequestration 
                benefits that otherwise may not take place or continue 
                to exist.
            (5) Eligibility.--An owner or operator shall not be 
        prohibited from participating in the program established under 
        this section due to participation of the owner or operator in 
        other Federal or State conservation or agricultural assistance 
        programs.
            (6) Forms of assistance.--The Secretary may use any of the 
        following to provide assistance under this section:
                    (A) Conservation easements.
                    (B) Carbon sequestration and mitigation contracts 
                between the owner or operator and the Secretary for the 
                performance of projects or activities that reduce 
                greenhouse gas emissions or sequester carbon.
                    (C) Financial incentives through timber harvest 
                contracts.
                    (D) Financial incentives through grazing contracts.
                    (E) Grants.
                    (F) Such other forms of assistance as the Secretary 
                determines to be appropriate.
            (7) Reversals.--The Secretary shall specify methods to 
        address intentional or unintentional reversal of carbon 
        sequestration or greenhouse gas emission reductions that occur 
        during the term of a contract or easement under this section.
            (8) Accounting systems.--In carrying out this section, the 
        Secretary shall develop and implement--
                    (A) a national accounting system for carbon stocks, 
                sequestration, and greenhouse gas emissions that may be 
                used to assess progress in implementing this section at 
                a national level; and
                    (B) credible reporting and accounting systems to 
                ensure that incentives provided under this section are 
                achieving stated objectives.
            (9) Program measurement, monitoring, and verification.--The 
        Secretary, in consultation with the Administrator--
                    (A) shall establish and implement protocols that 
                provide reasonable monitoring and verification of 
                compliance with terms associated with assistance 
                provided under this section, including field sampling 
                of actual performance, to develop annual estimates of 
                emission reductions achieved under the program;
                    (B) shall report annually the total number of tons 
                of carbon dioxide sequestered or the total number of 
                tons of emissions avoided through incentives provided 
                under this section; and
                    (C) not later than 2 years after the date of 
                enactment of this Act, and at least every 18 months 
                thereafter, submit to Congress and make available to 
                the public on the website of the Department of 
                Agriculture a report that includes--
                            (i) an estimate of annual and cumulative 
                        reductions generated through the program under 
                        this section, determined using standardized 
                        measures (including economic efficiency); and
                            (ii) a summary of any changes to the 
                        program, in accordance with this section, that 
                        will be made as a result of program 
                        measurement, monitoring, and verification 
                        conducted under this section.
    (b) Research Program.--The Secretary shall establish by rule a 
program to conduct research to develop additional projects and 
activities for crops to find additional techniques and methods to 
reduce greenhouse gas emissions or sequester greenhouse gases that may 
or may not meet criteria for a Federal law enacted for the purpose of 
regulating greenhouse gas emissions.

SEC. 156. ECONOMIC DEVELOPMENT CLIMATE CHANGE FUND.

    (a) In General.--Title II of the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3141 et seq.) is amended by adding 
at the end the following:

``SEC. 219. ECONOMIC DEVELOPMENT CLIMATE CHANGE FUND.

    ``(a) In General.--On the application of an eligible recipient, the 
Secretary may provide technical assistance, make grants, enter into 
contracts, or otherwise provide amounts for projects--
            ``(1) to promote energy efficiency to enhance economic 
        competitiveness;
            ``(2) to increase the use of renewable energy resources to 
        support sustainable economic development and job growth;
            ``(3) to support the development of conventional energy 
        resources to produce alternative transportation fuels, 
        electricity and heat;
            ``(4) to develop energy efficient or environmentally 
        sustainable infrastructure;
            ``(5) to promote environmentally sustainable economic 
        development practices and models;
            ``(6) to support development of energy efficiency and 
        alternative energy development plans, studies or analysis, 
        including enhancement of new and existing Comprehensive 
        Economic Development Strategies funded under this Act; and
            ``(7) to supplement other Federal grants, loans, or loan 
        guarantees for purposes described in paragraphs (1) through 
        (6).
    ``(b) Federal Share.--The Federal share of the cost of any project 
carried out under this section shall not exceed 80 percent, except that 
the Federal share of a Federal grant, loan, or loan guarantee provided 
under subsection (a)(7) may be 100 percent.
    ``(c) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $50,000,000 for each of fiscal 
years 2009 through 2013, to remain available until expended.''.
    (b) Conforming Amendment.--The table of contents contained in 
section 1(b) of the Public Works and Economic Development Act of 1965 
(42 U.S.C. 3141 et seq.) is amended by inserting after the item 
relating to section 218 the following:

``Sec. 219. Economic Development Climate Change Fund.''.

SEC. 157. STUDY OF RISK-BASED PROGRAMS ADDRESSING VULNERABLE AREAS.

    (a) In General.--The Administrator, or the heads of such other 
Federal agencies as the President may designate, shall conduct a study 
and, not later than 2 years after the date of enactment of this Act, 
submit to Congress a report regarding risk-based policies and programs 
addressing vulnerable areas.
    (b) Requirements.--The report shall
            (1) review and assess Federal predisaster mitigation, 
        emergency response, and flood insurance policies and programs 
        that affect areas vulnerable to the impacts of climate change;
            (2) describe strategies for better addressing such 
        vulnerabilities and provide implementation recommendations;
            (3) assess whether the policies and programs described in 
        paragraph (1) support the State response and adaptation goals 
        and objectives identified under this Act;
            (4) identify, and make recommendations to resolve, 
        inconsistencies in Federal policies and programs in effect as 
        of the date of enactment of this Act that address areas 
        vulnerable to climate change; and
            (5) identify annual cost savings to the Federal Government 
        associated with the implementation of the strategies and 
        recommendations contained in the report.

           Subtitle F--Energy Efficiency and Renewable Energy

SEC. 161. RENEWABLE ENERGY.

    (a) Definitions.--In this section:
            (1) Renewable energy.--The term ``renewable energy'' means 
        electric 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.
            (2) Renewable portfolio standard.--The term ```renewable 
        portfolio standard''' means a State statute that requires 
        electricity providers to obtain a minimum percentage of their 
        power from renewable energy resources by a certain date.
    (b) Grants.--The Administrator, in consultation with the 
Secretaries of Energy, Interior, and Agriculture, may provide grants 
for projects to increase the quantity of energy a State uses from 
renewable sources under State renewable portfolio standard laws.
    (c) Eligibility.--The Administrator shall review for approval 
projects applications that are--
            (1) submitted by State and local governments, Indian 
        tribes, public utilities, regional energy cooperatives, or 
        individual energy producers from states with a binding 
        Renewable Portfolio Standard; or
            (2) submitted by State and local governments, Indian 
        tribes, public utilities, or regional energy cooperatives from 
        States with nonbinding goals for adoption of renewable energy 
        requirements.
    (d) Priority.--The Administrator shall give priority to project 
applications that are--
            (1) submitted by States with a binding renewable portfolio 
        standard;
            (2) cost-effective in achieving greater renewable energy 
        production in each State.
    (e) Certification.--
            (1) In general.--The Administrator shall notify in writing 
        the Governor of each eligible State as described in section (c) 
        at the time at which the Administrator begins review of a 
        project application received from an eligible entity within the 
        State.
            (2) Certification.--The Governor shall certify in writing 
        within 30 days of receipt of the Administrator's notification 
        described in subsection (1) that the project application--
                    (A) will assist the State in reaching renewable 
                portfolio standard targets under applicable state laws; 
                and
                    (B) has secured non-Federal funding sources that, 
                in conjunction with the requested grant amount, will be 
                sufficient to complete the renewable energy project.
    (f) Rulemaking.--
            (1) In general.--Not later than 90 days after the date of 
        enactment of this Act, the Administrator shall initiate 
        rulemaking procedures necessary to implement this section.
            (2) Final rules; acceptance of applications.--Not later 
        than 90 days after the close of the public comment period 
        relating to the rulemaking described in paragraph (1), the 
        Administrator shall--
                    (A) promulgate final regulations to carry out this 
                section; and
                    (B) begin accepting project applications for 
                review.
    (g) Reporting.--Not later than 180 days after the date of enactment 
of this Act, and every 180 days thereafter, the Administrator shall 
submit to the Committee on Energy and Commerce of the House of 
Representatives and the Committee on Environment and Public Works of 
the Senate a report specifying, with respect to the program under this 
section--
            (1) the project applications received;
            (2) the project applications approved;
            (3) the amount of funding allocated per project; and
            (4) the cumulative benefits of the grant program.
    (h) Grant Amount.--A grant provided under this section may be in an 
amount that does not exceed 50 percent of the total cost of the 
renewable energy project to be funded by the grant.
    (i) Authorization.--There are authorized to be appropriated such 
sums as are necessary to carry out this section.

SEC. 162. ADVANCED BIOFUELS.

    (a) Definitions.--In this section:
            (1) Advanced biofuel.--The term ``advanced biofuel'' shall 
        have such meaning as is given the term by the Administrator in 
        regulations promulgated under subsection (c).
            (2) Eligible entity.--The term ``eligible entity'' means an 
        individual, corporate entity, unit of State or local 
        government, Indian tribe, farm cooperative, institution of 
        higher learning, rural electric cooperative, or public utility.
    (b) Grants.--The Administrator, in consultation with the Secretary 
of Agriculture and the Secretary of Energy, may provide grants to 
support research and development of advanced biofuels.
    (c) Regulations.--
            (1) In general.--Not later than 18 months after the date of 
        enactment of this Act, the Administrator shall promulgate 
        regulations to carry out this section (including a definition 
        of the term ``advanced biofuel'' for the purpose of providing 
        assistance under this section).
            (2) Requirements.--The regulations promulgated under 
        paragraph (1) shall--
                    (A) provide that the Administrator shall make 
                grants available to eligible entities to support--
                            (i) research regarding the production of 
                        advanced biofuels;
                            (ii) the development of new advanced 
                        biofuel production and capacity-building 
                        technologies;
                            (iii) the development and construction of 
                        commercial-scale advanced biofuel production 
                        facilities; and
                            (iv) the expanded production of advanced 
                        biofuels;
                    (B) provide that, to receive a grant under this 
                section, an eligible entity shall submit to the 
                Administrator--
                            (i) a project proposal with detailed 
                        project information, as determined by the 
                        Administrator; and
                            (ii) such records as the Administrator may 
                        require as evidence of the production of 
                        advanced biofuels or the importance and 
                        necessity of advanced biofuels research and new 
                        technologies; and
                    (C) include appropriate cost-sharing requirements 
                developed by the Administrator for grant awards for 
                authorized uses of funds under this section.
            (3) Priority.--The Administrator shall give priority to 
        eligible entities based on--
                    (A) technical and economic feasibility of a project 
                proposal;
                    (B) cost-effectiveness of a project proposal;
                    (C) the use of innovative technologies in a project 
                proposal;
                    (D) the availability of non-Federal resources, 
                including private resources, to fund the project 
                proposal; and
                    (E) whether the project proposed can be replicated.

SEC. 163. ENERGY EFFICIENCY IN BUILDING CODES.

    (a) Energy Efficiency Targets.--
            (1) Rulemaking to establish targets.--The Administrator, or 
        such other agency head or heads as may be designated by the 
        President, in consultation with the Director of the National 
        Institute of Standards and Technology, shall promulgate 
        regulations establishing building code energy efficiency 
        targets for the national average percentage improvement of 
        buildings' energy performance. Such regulations shall establish 
        a national building code energy efficiency target for 
        residential buildings and commercial buildings when built to a 
        code meeting the target, beginning not later than January 1, 
        2014 and applicable each calendar year through December 31, 
        2030.
    (b) National Energy Efficiency Building Codes.--
            (1) Rulemaking to establish national codes.--The 
        Administrator, or such other agency head or heads as may be 
        designated by the President, shall promulgate regulations 
        establishing national energy efficiency building codes for 
        residential and commercial buildings. Such regulations shall be 
        sufficient to meet the national building code energy efficiency 
        targets established under subsection (a) in the most cost-
        effective manner, and may include provisions for State adoption 
        of the national building code standards and certification of 
        State programs
    (c) Annual Reports.--The Administrator, or such other agency head 
or heads as may be designated by the President, shall annually submit 
to Congress, and publish in the Federal Register, a report on--
            (1) the status of national energy efficiency building 
        codes;
            (2) the status of energy efficiency building code adoption 
        and compliance in the States;
            (3) the implementation of and compliance with regulations 
        promulgated under this section;
            (4) the status of Federal and State enforcement of building 
        codes; and
            (5) impacts of action under this section, and potential 
        impacts of further action, on lifetime energy use by buildings, 
        including resulting energy and cost savings.

SEC. 164. RETROFIT FOR ENERGY AND ENVIRONMENTAL PERFORMANCE.

    (a) Definitions.--For purposes of this section:
            (1) Assisted housing.--The term ``assisted housing'' means 
        those properties receiving project-based assistance pursuant to 
        section 202 of the Housing Act of 1959 (12 U.S.C. 1701q), 
        section 811 of the Cranston-Gonzalez National Affordable 
        Housing Act (42 U.S.C. 8013), section 8 of the United States 
        Housing Act of 1937 (42 U.S.C. 1437f), or similar programs.
            (2) Nonresidential building.--The term ``nonresidential 
        building'' means a building with a primary use or purpose other 
        than residential housing, including any building used for 
        commercial offices, schools, academic and other public and 
        private institutions, nonprofit organizations including faith-
        based organizations, hospitals, hotels, and other 
        nonresidential purposes. Such buildings shall include mixed-use 
        properties used for both residential and nonresidential 
        purposes in which more than half of building floor space is 
        nonresidential.
            (3) Performance-based building retrofit program.--The term 
        ``performance-based building retrofit program'' means a program 
        that determines building energy efficiency success based on 
        actual measured savings after a retrofit is complete, as 
        evidenced by energy invoices or evaluation protocols.
            (4) Prescriptive building retrofit program.--The term 
        ``prescriptive building retrofit program'' means a program that 
        projects building retrofit energy efficiency success based on 
        the known effectiveness of measures prescribed to be included 
        in a retrofit.
            (5) Public housing.--The term ``public housing'' means 
        properties receiving assistance under section 9 of the United 
        States Housing Act of 1937 (42 U.S.C. 1437g).
            (6) Recommissioning; retrocommissioning.--The terms 
        ``recommissioning'' and ``retrocommissioning'' have the meaning 
        given those terms in section 543(f)(1) of the National Energy 
        Conservation Policy Act (42 U.S.C. 8253(f)(1)).
            (7) Residential building.--The term ``residential 
        building'' means a building whose primary use is residential. 
        Such buildings shall include single-family homes (both attached 
        and detached), owner-occupied units in larger buildings with 
        their own dedicated space-conditioning systems, apartment 
        buildings, multi-unit condominium buildings, public housing, 
        assisted housing, and buildings used for both residential and 
        nonresidential purposes in which more than half of building 
        floor space is residential.
            (8) State energy program.--The term ``State Energy 
        Program'' means the program under part D of title III of the 
        Energy Policy and Conservation Act (42 U.S.C. 6321 et seq.).
    (b) Establishment.--The Administrator shall develop and implement, 
in consultation with the Secretary of Energy, standards for a national 
energy and environmental building retrofit policy for single-family and 
multifamily residences. The Administrator shall develop and implement, 
in consultation with the Secretary of Energy and the Director of 
Commercial High-Performance Green Buildings, standards for a national 
energy and environmental building retrofit policy for nonresidential 
buildings. The programs to implement the residential and nonresidential 
policies based on the standards developed under this section shall 
together be known as the Retrofit for Energy and Environmental 
Performance (REEP) program.
    (c) Purpose.--The purpose of the REEP program is to facilitate the 
retrofitting of existing buildings across the United States to achieve 
maximum cost-effective energy efficiency improvements and significant 
improvements in water use and other environmental attributes.
    (d) Federal Administration.--
            (1) Existing programs.--In creating and operating the REEP 
        program--
                    (A) the Administrator shall make appropriate use of 
                existing programs, including the Energy Star program 
                and in particular the Environmental Protection Agency 
                Energy Star for Buildings program; and
                    (B) the Administrator shall consult with the 
                Secretary of Energy regarding appropriate use of 
                existing programs, including delegating authority to 
                the Director of Commercial High-Performance Green 
                Buildings appointed under section 421 of the Energy 
                Independence and Security Act of 2007 (42 U.S.C. 
                17081).
            (2) Consultation and coordination.--The Administrator shall 
        consult with and coordinate with the and the Secretary of 
        Energy and the Secretary of Housing and Urban Development in 
        carrying out the REEP program with regard to retrofitting of 
        public housing and assisted housing. As a result of such 
        consultation, the Administrator shall establish standards to 
        ensure that retrofits of public housing and assisted housing 
        funded pursuant to this section are cost-effective, including 
        opportunities to address the potential co-performance of repair 
        and replacement needs that may be supported with other forms of 
        Federal assistance. Owners of public housing or assisted 
        housing receiving funding through the REEP program shall agree 
        to continue to provide affordable housing consistent with the 
        provisions of the authorizing legislation governing each 
        program for an additional period commensurate with the funding 
        received, as determined in accordance with guidelines 
        established by the Secretary of Housing and Urban Development.
            (3) Assistance.--The Administrator shall provide 
        consultation and assistance to State and local agencies for the 
        establishment of revolving loan funds, loan guarantees, or 
        other forms of financial assistance under this section.
    (e) State and Local Administration.--
            (1) Designation and delegation.--A State may designate one 
        or more agencies or entities, including those regulated by the 
        State, to carry out the purposes of this section, but shall 
        designate one entity or individual as the principal point of 
        contact for the Administrator regarding the REEP Program. The 
        designated State agency, agencies, or entities may delegate 
        performance of appropriate elements of the REEP program, upon 
        their request and subject to State law, to counties, 
        municipalities, appropriate public agencies, and other 
        divisions of local government, as well as to entities regulated 
        by the State. In making any such designation or delegation, a 
        State shall give priority to entities that administer existing 
        comprehensive retrofit programs, including those under the 
        supervision of State utility regulators. States shall maintain 
        responsibility for meeting the standards and requirements of 
        the REEP program. In any State that elects not to administer 
        the REEP program, a unit of local government may propose to do 
        so within its jurisdiction, and if the Administrator finds that 
        such local government is capable of administering the program, 
        the Administrator may provide assistance to that local 
        government, prorated according to the population of the local 
        jurisdiction relative to the population of the State, for 
        purposes of the REEP program.
            (2) Employment.--States and local government entities may 
        administer a REEP program in a manner that authorizes public or 
        regulated investor-owned utilities, building auditors and 
        inspectors, contractors, nonprofit organizations, for-profit 
        companies, and other entities to perform audits and retrofit 
        services under this section. A State may provide incentives for 
        retrofits without direct participation by the State or its 
        agents, so long as the resulting savings are measured and 
        verified. A State or local administrator of a REEP program 
        shall seek to ensure that sufficient qualified entities are 
        available to support retrofit activities so that building 
        owners have a competitive choice among qualified auditors, 
        raters, contractors, and providers of services related to 
        retrofits. Nothing in this section is intended to deny the 
        right of a building owner to choose the specific providers of 
        retrofit services to engage for a retrofit project in that 
        owner's building.
            (3) Equal incentives for equal improvement.--In general, 
        the States should strive to offer the same levels of incentives 
        for retrofits that meet the same efficiency improvement goals, 
        regardless of whether the State, its agency or entity, or the 
        building owner has conducted the retrofit achieving the 
        improvement, provided the improvement is measured and verified.
    (f) Elements of Reep Program.--The Administrator, in consultation 
with the Secretary of Energy, shall establish goals, guidelines, 
practices, and standards for accomplishing the purpose stated in 
subsection (c), and shall annually review and, as appropriate, revise 
such goals, guidelines, practices, and standards. The program under 
this section shall include the following:
            (1) Residential Energy Services Network (RESNET) or 
        Building Performance Institute (BPI) analyst certification of 
        residential building energy and environment auditors, 
        inspectors, and raters, or an equivalent certification system 
        as determined by the Administrator.
            (2) BPI certification or licensing by States of residential 
        building energy and environmental retrofit contractors, or an 
        equivalent certification or licensing system as determined by 
        the Administrator.
            (3) Provision of BPI, RESNET, or other appropriate 
        information on equipment and procedures, as determined by the 
        Administrator, that contractors can use to test the energy and 
        environmental efficiency of buildings effectively (such as 
        infrared photography and pressurized testing, and tests for 
        water use and indoor air quality).
            (4) Provision of clear and effective materials to describe 
        the testing and retrofit processes for typical buildings.
            (5) Guidelines for offering and managing prescriptive 
        building retrofit programs and performance-based building 
        retrofit programs for residential and nonresidential buildings.
            (6) Guidelines for applying recommissioning and 
        retrocommissioning principles to improve a building's 
        operations and maintenance procedures.
            (7) A requirement that building retrofits conducted 
        pursuant to a REEP program utilize, especially in all air-
        conditioned buildings, roofing materials with high solar energy 
        reflectance, unless inappropriate due to green roof management, 
        solar energy production, or for other reasons identified by the 
        Administrator, in order to reduce energy consumption within the 
        building, increase the albedo of the building's roof, and 
        decrease the heat island effect in the area of the building, 
        without reduction of otherwise applicable ceiling insulation 
        standards.
            (8) Determination of energy savings in a performance-based 
        building retrofit program through--
                    (A) for residential buildings, comparison of before 
                and after retrofit scores on the Home Energy Rating 
                System (HERS) Index, where the final score is produced 
                by an objective third party;
                    (B) for nonresidential buildings, Environmental 
                Protection Agency Portfolio Manager benchmarks; or
                    (C) for either residential or nonresidential 
                buildings, use of an Administrator-approved simulation 
                program by a contractor with the appropriate 
                certification, subject to appropriate software 
                standards and verification of at least 15 percent of 
                all work done, or such other percentage as the 
                Administrator may determine.
            (9) Guidelines for utilizing the Energy Star Portfolio 
        Manager, the Home Energy Rating System (HERS) rating system, 
        Home Performance with Energy Star program approvals, and any 
        other tools associated with the retrofit program.
            (10) Requirements and guidelines for post-retrofit 
        inspection and confirmation of work and energy savings.
            (11) Detailed descriptions of funding options for the 
        benefit of State and local governments, along with model forms, 
        accounting aids, agreements, and guides to best practices.
            (12) Guidance on opportunities for--
                    (A) rating or certifying retrofitted buildings as 
                Energy Star buildings, or as green buildings under a 
                recognized green building rating system;
                    (B) assigning Home Energy Rating System (HERS) or 
                similar ratings; and
                    (C) completing any applicable building performance 
                labels.
            (13) Sample materials for publicizing the program to 
        building owners, including public service announcements and 
        advertisements.
            (14) Processes for tracking the numbers and locations of 
        buildings retrofitted under the REEP program, with information 
        on projected and actual savings of energy and its value over 
        time.
    (g) Requirements.--As a condition of receiving assistance for the 
REEP program pursuant to this Act, a State or qualifying local 
government shall--
            (1) adopt the standards for training, certification of 
        contractors, certification of buildings, and post-retrofit 
        inspection as developed by the Administrator for residential 
        and nonresidential buildings, respectively, except as necessary 
        to match local conditions, needs, efficiency opportunities, or 
        other local factors, or to accord with State laws or 
        regulations, and then only after the Administrator approves 
        such a variance;
            (2) establish fiscal controls and accounting procedures 
        (which conform to generally accepted government accounting 
        principles) sufficient to ensure proper accounting during 
        appropriate accounting periods for payments received and 
        disbursements, and for fund balances;
            (3) agree to make 10 percent of assistance received to 
        carry out this section available on a preferential basis for 
        retrofit projects proposed for public housing and assisted 
        housing, provided that--
                    (A) none of such funds shall be used for demolition 
                of such housing;
                    (B) such retrofits not shall not be used to justify 
                any increase in rents charged to residents of such 
                housing; and
                    (C) owners of such housing shall agree to continue 
                to provide affordable housing consistent with the 
                provisions of the authorizing legislation governing 
                each program for an additional period commensurate with 
                the funding received; and
            (4) the Administrator shall conduct or require each State 
        to have such independent financial audits of REEP-related 
        funding as the Administrator considers necessary or appropriate 
        to carry out the purposes of this section.
    (h) Options To Support Reep Program.--The assistance provided under 
this section shall support the implementation through State REEP 
programs of alternate means of creating incentives for, or reducing 
financial barriers to, improved energy and environmental performance in 
buildings, consistent with this section, including--
            (1) implementing prescriptive building retrofit programs 
        and performance-based building retrofit programs;
            (2) providing credit enhancement, interest rate subsidies, 
        loan guarantees, or other credit support;
            (3) providing initial capital for public revolving fund 
        financing of retrofits;
            (4) providing funds to support utility-operated retrofit 
        programs with repayments over time through utility rates, 
        calibrated to create net positive cash flow to the building 
        owner, and transferable from one building owner to the next 
        with the building's utility services;
            (5) providing funds to local government programs to provide 
        REEP services and financial assistance; and
            (6) other means proposed by State and local agencies, 
        subject to the approval of the Administrator.
    (i) Support for Program.--
            (1) Initial award limits.--Except as provided in paragraph 
        (2), State and local REEP programs may make per-building direct 
        expenditures for retrofit improvements, or their equivalent in 
        indirect or other forms of financial support, from funds made 
        available to carry out this section, in amounts not to exceed 
        the following amounts per unit:
                    (A) Residential building program.--
                            (i) Awards.--For residential buildings--
                                    (I) support for a free or low-cost 
                                detailed building energy audit that 
                                prescribes measures sufficient to 
                                achieve at least a 20 percent reduction 
                                in energy use, by providing an 
                                incentive equal to the documented cost 
                                of such audit, but not more than $200, 
                                in addition to any earned by achieving 
                                a 20 percent or greater efficiency 
                                improvement;
                                    (II) a total of $1,000 for a 
                                combination of measures, prescribed in 
                                an audit conducted under subclause (I), 
                                designed to reduce energy consumption 
                                by more than 10 percent, and $2,000 for 
                                a combination of measures prescribed in 
                                such an audit, designed to reduce 
                                energy consumption by more than 20 
                                percent;
                                    (III) $3,000 for demonstrated 
                                savings of 20 percent, pursuant to a 
                                performance-based building retrofit 
                                program; and
                                    (IV) $1,000 for each additional 5 
                                percentage points of energy savings 
                                achieved beyond savings for which 
                                funding is provided under subclause 
                                (II) or (III).
                        Funding shall not be provided under clauses 
                        (II) and (III) for the same energy savings.
                            (ii) Maximum percentage.--Awards under 
                        clause (i) shall not exceed 50 percent of 
                        retrofit costs for each building. For buildings 
                        with multiple residential units, awards under 
                        clause (i) shall not be greater than 50 percent 
                        of the total cost of retrofitting the building, 
                        prorated among individual residential units on 
                        the basis of relative costs of the retrofit. In 
                        the case of public housing and assisted 
                        housing, the 50 percent contribution matching 
                        the contribution from REEP program funds may 
                        come from any other source, including other 
                        Federal funds.
                            (iii) Additional awards.--Additional awards 
                        may be provided for purposes of increasing 
                        energy efficiency, for buildings achieving at 
                        least 20 percent energy savings using funding 
                        provided under clause (i), in the form of 
                        grants of not more than $600 for measures 
                        projected or measured (using an appropriate 
                        method approved by the Administrator) to 
                        achieve at least 35 percent potable water 
                        savings through equipment or systems with an 
                        estimated service life of not less than 7 
                        years, and not more than an additional $20 may 
                        be provided for each additional one percent of 
                        such savings, up to a maximum total grant of 
                        $1,200.
                    (B) Nonresidential building program.--
                            (i) Awards.--For nonresidential buildings--
                                    (I) support for a free or low-cost 
                                detailed building energy audit that 
                                prescribes, as part of a energy-
                                reducing measures sufficient to achieve 
                                at least a 20 percent reduction in 
                                energy use, by providing an incentive 
                                equal to the documented cost of such 
                                audit, but not more than $500, in 
                                addition to any award earned by 
                                achieving a 20 percent or greater 
                                efficiency improvement;
                                    (II) $0.15 per square foot of 
                                retrofit area for demonstrated energy 
                                use reductions from 20 percent to 30 
                                percent;
                                    (III) $0.75 per square foot for 
                                demonstrated energy use reductions from 
                                30 percent to 40 percent;
                                    (IV) $1.60 per square foot for 
                                demonstrated energy use reductions from 
                                40 percent to 50 percent; and
                                    (V) $2.50 per square foot for 
                                demonstrated energy use reductions 
                                exceeding 50 percent.
                            (ii) Maximum percentage.--Amounts provided 
                        under subclauses (II) through (V) of clause (i) 
                        combined shall not exceed 50 percent of the 
                        total retrofit cost of a building. In 
                        nonresidential buildings with multiple units, 
                        such awards shall be prorated among individual 
                        units on the basis of relative costs of the 
                        retrofit.
                            (iii) Additional awards.--Additional awards 
                        may be provided, for buildings achieving at 
                        least 20 percent energy savings using funding 
                        provided under clause (i), as follows:
                                    (I) Water.--For purposes of 
                                increasing energy efficiency, grants 
                                may be made for whole building potable 
                                water use reduction (using an 
                                appropriate method approved by the 
                                Administrator) for up to 50 percent of 
                                the total retrofit cost, including 
                                amounts up to--
                                            (aa) $24.00 per thousand 
                                        gallons per year of potable 
                                        water savings of 40 percent or 
                                        more;
                                            (bb) $27.00 per thousand 
                                        gallons per year of potable 
                                        water savings of 50 percent or 
                                        more; and
                                            (cc) $30.00 per thousand 
                                        gallons per year of potable 
                                        water savings of 60 percent or 
                                        more.
                                    (II) Environmental improvements.--
                                Additional awards of up to $1,000 may 
                                be granted for the inclusion of other 
                                environmental attributes that the 
                                Administrator, in consultation with the 
                                Secretary, identifies as contributing 
                                to energy efficiency. Such attributes 
                                may include, but are not limited to 
                                waste diversion and the use of 
                                environmentally preferable materials 
                                (including salvaged, renewable, or 
                                recycled materials, and materials with 
                                no or low-VOC content). The 
                                Administrator may recommend that States 
                                develop such standards as are necessary 
                                to account for local or regional 
                                conditions that may affect the 
                                feasibility or availability of 
                                identified resources and attributes.
                            (iv) Indoor air quality minimum.--
                        Nonresidential buildings receiving incentives 
                        under this section must satisfy at a minimum 
                        the most recent version of ASHRAE Standard 62.1 
                        for ventilation, or the equivalent as 
                        determined by the Administrator. A State may 
                        issue a waiver from this requirement to a 
                        building project on a showing that such 
                        compliance is infeasible due to the physical 
                        constraints of the building's existing 
                        ventilation system, or such other limitations 
                        as may be specified by the Administrator.
                    (C) Disaster damaged buildings.--Any source of 
                funds, including Federal funds provided through the 
                Robert T. Stafford Disaster Relief and Emergency 
                Assistance Act, shall qualify as the building owner's 
                50 percent contribution, in order to match the 
                contribution of REEP funds, so long as the REEP funds 
                are only used to improve the energy efficiency of the 
                buildings being reconstructed. In addition, the 
                appropriate Federal agencies providing assistance to 
                building owners through the Robert T. Stafford Disaster 
                Relief and Emergency Assistance Act shall make 
                information available, following a disaster, to 
                building owners rebuilding disaster damaged buildings 
                with assistance from the Act, that REEP funds may be 
                used for energy efficiency improvements.
                    (D) Historic buildings.--Notwithstanding 
                subparagraphs (A) and (B), a building in or eligible 
                for the National Register of Historic Places shall be 
                eligible for awards under this paragraph in amounts up 
                to 120 percent of the amounts set forth in 
                subparagraphs (A) and (B).
                    (E) Supplemental support.--State and local 
                governments may supplement the per-building 
                expenditures under this paragraph with funding from 
                other sources.
            (2) Adjustment.--The Administrator may adjust the specific 
        dollar amounts provided under paragraph (1) in years subsequent 
        to the second year after the date of enactment of this Act, and 
        every 2 years thereafter, as the Administrator determines 
        necessary to achieve optimum cost-effectiveness and to maximize 
        incentives to achieve energy efficiency within the total 
        building award amounts provided in that paragraph, and shall 
        publish and hold constant such revised limits for at least 2 
        years.
    (j) Report to Congress.--The Administrator shall conduct an annual 
assessment of the achievements of the REEP program in each State, shall 
prepare an annual report of such achievements and any recommendations 
for program modifications, and shall provide such report to Congress at 
the end of each fiscal year during which funding or other resources 
were made available to the States for the REEP Program.

  Subtitle G--Emission Reductions From Public Transportation Vehicles

SEC. 171. SHORT TITLE.

    This subtitle may be cited as the ``Green Taxis Act of 2009''.

SEC. 172. STATE FUEL ECONOMY REGULATION FOR TAXICABS.

    Section 32919 of title 49, United States Code, is amended by adding 
at the end the following new subsection:
    ``(d) Taxicabs.--Notwithstanding subsection (a), a State or 
political subdivision of a State may prescribe requirements for fuel 
economy for taxicabs and other automobiles if such requirements are at 
least as stringent as applicable Federal requirements and if such 
taxicabs and other automobiles--
            ``(1) are automobiles that are capable of transporting not 
        more than 10 individuals, including the driver;
            ``(2) are commercially available or are designed and 
        manufactured pursuant to a contract with such State or 
        political subdivision of such State;
            ``(3) are operated for hire pursuant to an operating or 
        regulatory license, permit, or other authorization issued by 
        such State or political subdivision of such State;
            ``(4) provide local transportation for a fare determined on 
        the basis of the time or distance traveled or a combination of 
        time and distance traveled; and
            ``(5) do not exclusively provide transportation to and from 
        airports.''.

SEC. 173. STATE REGULATION OF MOTOR VEHICLE EMISSIONS FOR TAXICABS.

    Section 209 of the Clean Air Act (42 U.S.C. 7543) is amended by 
adding at the end the following new subsection:
    ``(f) Taxicabs.--(1) Notwithstanding subsection (a), a State or 
political subdivision thereof may adopt and enforce standards for the 
control of emissions from new motor vehicles that are taxicabs and 
other vehicles if such standards will be, in the aggregate, at least as 
protective of public health and welfare as applicable Federal standards 
and if such taxicabs and other vehicles--
                    ``(A) are passenger motor vehicles that are capable 
                of transporting not more than 10 individuals, including 
                the driver;
                    ``(B) are commercially available or are designed 
                and manufactured pursuant to a contract with such State 
                or political subdivision thereof;
                    ``(C) are operated for hire pursuant to an 
                operating or regulatory license, permit, or other 
                authorization issued by such State or political 
                subdivision thereof;
                    ``(D) provide local transportation for a fare 
                determined on the basis of the time or distance 
                traveled or a combination of time and distance 
                traveled; and
                    ``(E) do not exclusively provide transportation to 
                and from airports.
    ``(2) If each standard of a State or political subdivision thereof 
is at least as stringent as the comparable applicable Federal standard, 
such standard of such State or political subdivision thereof shall be