[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 949 Introduced in Senate (IS)]

111th CONGRESS
  1st Session
                                 S. 949

To improve the loan guarantee program of the Department of Energy under 
  title XVII of the Energy Policy Act of 2005, to provide additional 
   options for deploying energy technologies, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 30, 2009

 Mr. Bingaman (for himself, Ms. Murkowski, Mr. Dorgan, Mr. Voinovich, 
  Ms. Stabenow, Mr. Lugar, and Mrs. Shaheen) introduced the following 
bill; which was read twice and referred to the Committee on Energy and 
                           Natural Resources

_______________________________________________________________________

                                 A BILL


 
To improve the loan guarantee program of the Department of Energy under 
  title XVII of the Energy Policy Act of 2005, to provide additional 
   options for deploying energy technologies, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``21st Century Energy Technology 
Deployment Act''.

SEC. 2. PURPOSE.

    The purpose of this Act is to promote the domestic development and 
deployment of clean energy technologies required for the 21st century 
through the improvement of existing programs and the establishment of a 
self-sustaining Clean Energy Deployment Administration that will 
provide for an attractive investment environment through partnership 
with and support of the private capital market in order to promote 
access to affordable financing for accelerated and widespread 
deployment of--
            (1) clean energy technologies;
            (2) advanced or enabling energy infrastructure 
        technologies;
            (3) energy efficiency technologies in residential, 
        commercial, and industrial applications, including end-use 
        efficiency in buildings; and
            (4) manufacturing technologies for any of the technologies 
        or applications described in this section.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Administration.--The term ``Administration'' means the 
        Clean Energy Deployment Administration established by section 
        6.
            (2) Administrator.--The term ``Administrator'' means the 
        Administrator of the Administration.
            (3) Advisory council.--The term ``Advisory Council'' means 
        the Energy Technology Advisory Council of the Administration.
            (4) Breakthrough technology.--The term ``breakthrough 
        technology'' means a clean energy technology that--
                    (A) presents a significant opportunity to advance 
                the goals developed under section 5, as assessed under 
                the methodology established by the Advisory Council; 
                but
                    (B) has generally not been considered a 
                commercially ready technology as a result of high 
                perceived technology risk or other similar factors.
            (5) Clean energy technology.--The term ``clean energy 
        technology'' means a technology related to the production, use, 
        transmission, storage, control, or conservation of energy--
                    (A) that will--
                            (i) reduce the need for additional energy 
                        supplies by using existing energy supplies with 
                        greater efficiency or by transmitting, 
                        distributing, or transporting energy with 
                        greater effectiveness through the 
                        infrastructure of the United States;
                            (ii) diversify the sources of energy supply 
                        of the United States to strengthen energy 
                        security and to increase supplies with a 
                        favorable balance of environmental effects if 
                        the entire technology system is considered; or
                            (iii) contribute to a stabilization of 
                        atmospheric greenhouse gas concentrations 
                        thorough reduction, avoidance, or sequestration 
                        of energy-related emissions; and
                    (B) for which, as determined by the Administrator, 
                insufficient commercial lending is available to allow 
                for widespread deployment.
            (6) Cost.--The term ``cost'' has the meaning given the term 
        in section 502 of the Federal Credit Reform Act of 1990 (2 
        U.S.C. 661a).
            (7) Direct loan.--The term ``direct loan'' has the meaning 
        given the term in section 502 of the Federal Credit Reform Act 
        of 1990 (2 U.S.C. 661a).
            (8) Fund.--The term ``Fund'' means the Clean Energy 
        Investment Fund established by section 4(a).
            (9) Loan guarantee.--The term ``loan guarantee'' has the 
        meaning given the term in section 502 of the Federal Credit 
        Reform Act of 1990 (2 U.S.C. 661a).
            (10) National laboratory.--The term ``National Laboratory'' 
        has the meaning given the term in section 2 of the Energy 
        Policy Act of 2005 (42 U.S.C. 15801).
            (11) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (12) Security.--The term ``security'' has the meaning given 
        the term in section 2 of the Securities Act of 1933 (15 U.S.C. 
        77b).
            (13) State.--The term ``State'' means--
                    (A) a State;
                    (B) the District of Columbia;
                    (C) the Commonwealth of Puerto Rico; and
                    (D) any other territory or possession of the United 
                States.
            (14) Technology risk.--The term ``technology risk'' means 
        the risks during construction or operation associated with the 
        design, development, and deployment of clean energy 
        technologies (including the cost, schedule, performance, 
        reliability and maintenance, and accounting for the perceived 
        risk), from the perspective of commercial lenders, that may be 
        increased as a result of the absence of adequate historical 
        construction, operating, or performance data from commercial 
        applications of the technology.

SEC. 4. IMPROVEMENTS TO EXISTING PROGRAMS.

    (a) Clean Energy Investment Fund.--
            (1) Establishment.--There is established in the Treasury of 
        the United States a revolving fund, to be known as the ``Clean 
        Energy Investment Fund'', consisting of--
                    (A) such amounts as have been appropriated for 
                administrative expenses to carry out title XVII of the 
                Energy Policy Act of 2005 (42 U.S.C. 16511 et seq.);
                    (B) such amounts as are deposited in the Fund under 
                this Act and amendments made by this Act; and
                    (C) such sums as may be appropriated to supplement 
                the Fund.
            (2) Expenditures from fund.--
                    (A) In general.--Notwithstanding section 1705(e) of 
                the Energy Policy Act of 2005 (42 U.S.C. 16516(e)), 
                amounts in the Fund shall be available to the Secretary 
                for obligation without fiscal year limitation, to 
                remain available until expended.
                    (B) Administrative expenses.--
                            (i) Fees.--Fees collected for 
                        administrative expenses shall be available 
                        without limitation to cover applicable 
                        expenses.
                            (ii) Fund.--To the extent that 
                        administrative expenses are not reimbursed 
                        through fees, an amount not to exceed 1.5 
                        percent of the amounts in the Fund as of the 
                        beginning of each fiscal year shall be 
                        available to pay the administrative expenses 
                        for the fiscal year necessary to carry out 
                        title XVII of the Energy Policy Act of 2005 (42 
                        U.S.C. 16511 et seq.).
            (3) Transfers of amounts.--
                    (A) In general.--The amounts required to be 
                transferred to the Fund under this subsection shall be 
                transferred at least monthly from the general fund of 
                the Treasury to the Fund on the basis of estimates made 
                by the Secretary of the Treasury.
                    (B) Adjustments.--Proper adjustment shall be made 
                in amounts subsequently transferred to the extent prior 
                estimates were in excess of or less than the amounts 
                required to be transferred.
    (b) Revisions to Loan Guarantee Program Authority.--
            (1) Definition of commercial technology.--Section 1701(1) 
        of the Energy Policy Act of 2005 (42 U.S.C. 16511(1)) is 
        amended by striking subparagraph (B) and inserting the 
        following:
                    ``(B) Exclusion.--The term `commercial technology' 
                does not include a technology if the sole use of the 
                technology is in connection with--
                            ``(i) a demonstration project; or
                            ``(ii) a project for which the Secretary 
                        approved a loan guarantee.''.
            (2) Specific appropriation or contribution.--Section 1702 
        of the Energy Policy Act of 2005 (42 U.S.C. 16512) is amended 
        by striking subsection (b) and inserting the following:
    ``(b) Specific Appropriation or Contribution.--
            ``(1) In general.--No guarantee shall be made unless 
        sufficient amounts to account for the cost are available--
                    ``(A) in unobligated balances within the Clean 
                Energy Investment Fund established under section 4(a) 
                of the 21st Century Energy Technology Deployment Act;
                    ``(B) as a payment from the borrower and the 
                payment is deposited in the Clean Energy Investment 
                Fund; or
                    ``(C) in any combination of balances and payments 
                described in subparagraphs (A) and (B), respectively.
            ``(2) Limitation.--The source of payments received from a 
        borrower under paragraph (1)(B) shall not be a loan or other 
        debt obligation that is made or guaranteed by the Federal 
        Government.
            ``(3) Relation to other laws.--Section 504(b) of the 
        Federal Credit Reform Act of 1990 (2 U.S.C. 661c(b)) shall not 
        apply to a loan or loan guarantee under this section.''.
            (3) Subrogation.--Section 1702(g)(2) of the Energy Policy 
        Act of 2005 (42 U.S.C. 16512(g)(2)) is amended--
                    (A) by striking subparagraph (B); and
                    (B) by redesignating subparagraph (C) as 
                subparagraph (B).
            (4) Fees.--Section 1702(h) of the Energy Policy Act of 2005 
        (42 U.S.C. 16512(h)) is amended by striking paragraph (2) and 
        inserting the following:
            ``(2) Availability.--Fees collected under this subsection 
        shall--
                    ``(A) be deposited by the Secretary in the Clean 
                Energy Investment Fund established under section 4(a) 
                of the 21st Century Energy Technology Deployment Act; 
                and
                    ``(B) remain available to the Secretary for 
                expenditure, without further appropriation or fiscal 
                year limitation, for administrative expenses incurred 
                in carrying out this title.
            ``(3) Adjustment.--The Secretary may adjust the amount or 
        manner of collection of fees under this title as the Secretary 
        determines is necessary to promote, to the maximum extent 
        practicable, eligible projects under this title.''.
            (5) Processing.--Section 1702 of the Energy Policy Act of 
        2005 (42 U.S.C. 16512) is amended by adding at the end the 
        following:
    ``(k) Accelerated Reviews.--To the maximum extent practicable and 
consistent with sound business practices, the Secretary shall seek to 
consolidate reviews of applications for loan guarantees under this 
title such that decisions as to whether to enter into a commitment on 
an application can be issued not later than 180 days after the date of 
submission of a completed application.''.
            (6) Wage rates.--Section 1705(c) of the Energy Policy Act 
        of 2005 (42 U.S.C. 16516(c)) is amended by striking ``support 
        under this section'' and inserting ``support under this 
        title''.

SEC. 5. ENERGY TECHNOLOGY DEPLOYMENT GOALS.

    (a) Goals.--Not later than 1 year after the date of enactment of 
this Act, the Secretary, after consultation with the Advisory Council, 
shall develop and publish for review and comment in the Federal 
Register near-, medium-, and long-term goals (including numerical 
performance targets at appropriate intervals to measure progress toward 
those goals) for the deployment of clean energy technologies through 
the credit support programs established by this Act (including an 
amendment made by this Act) to promote--
            (1) sufficient electric generating capacity using clean 
        energy technologies to meet the energy needs of the United 
        States;
            (2) clean energy technologies in vehicles and fuels that 
        will substantially reduce the reliance of the United States on 
        foreign sources of energy and insulate consumers from the 
        volatility of world energy markets;
            (3) a domestic commercialization and manufacturing capacity 
        that will establish the United States as a world leader in 
        clean energy technologies across multiple sectors;
            (4) installation of sufficient infrastructure to allow for 
        the cost-effective deployment of clean energy technologies 
        appropriate to each region of the United States;
            (5) the transformation of the building stock of the United 
        States to zero net energy consumption;
            (6) the recovery, use, and prevention of waste energy;
            (7) domestic manufacturing of clean energy technologies on 
        a scale that is sufficient to achieve price parity with 
        conventional energy sources;
            (8) domestic production of commodities and materials (such 
        as steel, chemicals, polymers, and cement) using clean energy 
        technologies so that the United States will become a world 
        leader in environmentally sustainable production of the 
        commodities and materials;
            (9) a robust, efficient, and interactive electricity 
        transmission grid that will allow for the incorporation of 
        clean energy technologies, distributed generation, and demand-
        response in each regional electric grid;
            (10) sufficient availability of financial products to allow 
        owners and users of residential, retail, commercial, and 
        industrial buildings to make energy efficiency and distributed 
        generation technology investments with reasonable payback 
        periods; and
            (11) such other goals as the Secretary, in consultation 
        with the Advisory Council, determines to be consistent with the 
        purposes of this Act.
    (b) Revisions.--The Secretary shall revise the goals established 
under subsection (a), from time to time as appropriate, to account for 
advances in technology and changes in energy policy.

SEC. 6. CLEAN ENERGY DEPLOYMENT ADMINISTRATION.

    (a) Establishment.--
            (1) In general.--There is established in the Department of 
        Energy an administration to be known as the Clean Energy 
        Deployment Administration, under the direction of the 
        Administrator and the Board of Directors.
            (2) Status.--
                    (A) In general.--The Administration (including 
                officers, employees, and agents of the Administration) 
                shall not be responsible to, or subject to the 
                authority, direction, or control of, any other officer, 
                employee, or agent of the Department of Energy other 
                than the Secretary, acting through the Administrator.
                    (B) Exemption from reorganization.--The 
                Administration shall be exempt from the reorganization 
                authority provided under section 643 of the Department 
                of Energy Reorganization Act (42 U.S.C. 7253).
                    (C) Inspector general.--Section 12 of the Inspector 
                General Act of 1978 (5 U.S.C. App.) is amended--
                            (i) in paragraph (1), by inserting ``the 
                        Administrator of the Clean Energy Deployment 
                        Administration;'' after ``Export-Import 
                        Bank;''; and
                            (ii) in paragraph (2), by inserting ``the 
                        Clean Energy Deployment Administration,'' after 
                        ``Export-Import Bank,''.
            (3) Offices.--
                    (A) Principal office.--The Administration shall--
                            (i) maintain the principal office of the 
                        Administration in the District of Columbia; and
                            (ii) for purposes of venue in civil 
                        actions, be considered to be a resident of the 
                        District of Columbia.
                    (B) Other offices.--The Administration may 
                establish other offices in such other places as the 
                Administration considers necessary or appropriate for 
                the conduct of the business of the Administration.
    (b) Administrator.--
            (1) In general.--The Administrator shall be--
                    (A) appointed by the President, with the advice and 
                consent of the Senate, for a 5-year term; and
                    (B) compensated at the annual rate of basic pay 
                prescribed for level II of the Executive Schedule under 
                section 5313 of title 5, United States Code.
            (2) Duties.--The Administrator shall--
                    (A) serve as the Chief Executive Officer of the 
                Administration and Chairman of the Board;
                    (B) ensure that--
                            (i) the Administration operates in a safe 
                        and sound manner, including maintenance of 
                        adequate capital and internal controls 
                        (consistent with section 404 of the Sarbanes-
                        Oxley Act of 2002 (15 U.S.C. 7262));
                            (ii) the operations and activities of the 
                        Administration foster liquid, efficient, 
                        competitive, and resilient energy and energy 
                        efficiency finance markets;
                            (iii) the Administration carries out the 
                        purposes of this Act only through activities 
                        that are authorized under and consistent with 
                        this Act; and
                            (iv) the activities of the Administration 
                        and the manner in which the Administration is 
                        operated are consistent with the public 
                        interest;
                    (C) develop policies and procedures for the 
                Administration that will--
                            (i) promote a self-sustaining portfolio of 
                        investments that will maximize the value of 
                        investments to effectively promote clean energy 
                        technologies;
                            (ii) promote transparency and openness in 
                        Administration operations;
                            (iii) afford the Administration with 
                        sufficient flexibility to meet the purposes of 
                        this Act; and
                            (iv) provide for the efficient processing 
                        of applications; and
                    (D) with the concurrence of the Board, set expected 
                loss reserves for the support provided by the 
                Administration consistent with section 7(a)(1)(C).
    (c) Board of Directors.--
            (1) In general.--The Board of Directors of the 
        Administration shall consist of--
                    (A) the Secretary or the designee of the Secretary, 
                who shall serve as an ex-officio voting member of the 
                Board of Directors;
                    (B) the Administrator, who shall serve as the 
                Chairman of the Board of Directors; and
                    (C) 7 additional members who shall--
                            (i) be appointed by the President, with the 
                        advice and consent of the Senate, for staggered 
                        5-year terms; and
                            (ii) have experience in banking or 
                        financial services relevant to the operations 
                        of the Administration, including individuals 
                        with substantial experience in the development 
                        of energy projects, the electricity generation 
                        sector, the transportation sector, the 
                        manufacturing sector, and the energy efficiency 
                        sector.
            (2) Duties.--The Board of Directors shall--
                    (A) oversee the operations of the Administration 
                and ensure industry best practices are followed in all 
                financial transactions involving the Administration;
                    (B) consult with the Administrator on the general 
                policies and procedures of the Administration to ensure 
                the interests of the taxpayers are protected;
                    (C) ensure the portfolio of investments are 
                consistent with purposes of this Act and with the long-
                term financial stability of the Administration;
                    (D) ensure that the operations and activities of 
                the Administration are consistent with the development 
                of a robust private sector that can provide commercial 
                loans or financing products; and
                    (E) not serve on a full-time basis, except that the 
                Board of Directors shall meet at least quarterly to 
                review, as appropriate, applications for credit support 
                and set policies and procedures as necessary.
            (3) Removal.--An appointed member of the Board of Directors 
        may be removed from office by the President for good cause.
            (4) Vacancies.--An appointed seat on the Board of Directors 
        that becomes vacant shall be filled by appointment by the 
        President, but only for the unexpired portion of the term of 
        the vacating member.
            (5) Compensation of members.--An appointed member of the 
        Board of Directors shall be compensated at a rate equal to the 
        daily equivalent of the annual rate of basic pay prescribed for 
        level III of the Executive Schedule under section 5314 of title 
        5, United States Code, for each day (including travel time) 
        during which the member is engaged in the performance of the 
        duties of the Board of Directors.
    (d) Energy Technology Advisory Council.--
            (1) In general.--The Administration shall have an Energy 
        Technology Advisory Council consisting of--
                    (A) 5 members selected by the Secretary; and
                    (B) 3 members selected by the Board of Directors of 
                the Administration.
            (2) Qualifications.--The members of the Advisory Council 
        shall--
                    (A) have relevant scientific expertise; and
                    (B) in the case of the members selected by the 
                Secretary under paragraph (1)(A), include 
                representatives of--
                            (i) the academic community;
                            (ii) the private research community;
                            (iii) National Laboratories;
                            (iv) the technology or project development 
                        community; and
                            (v) the commercial energy financing and 
                        operations sector.
            (3) Duties.--The Advisory Council shall--
                    (A) develop and publish for comment in the Federal 
                Register a methodology for assessment of clean energy 
                technologies that will allow the Administration to 
                evaluate projects based on the progress likely to be 
                achieved per-dollar invested in maximizing the 
                attributes of the definition of clean energy 
                technology, taking into account the extent to which 
                support for a clean energy technology is likely to 
                accrue subsequent benefits that are attributable to a 
                commercial scale deployment taking place earlier than 
                that which otherwise would have occurred without the 
                support; and
                    (B) advise on the technological approaches that 
                should be supported by the Administration to meet the 
                technology deployment goals established by the 
                Secretary pursuant to section 5.
            (4) Term.--
                    (A) In general.--Members of the Advisory Council 
                shall have 5-year staggered terms, as determined by the 
                Secretary and the Administrator.
                    (B) Reappointment.--A member of the Advisory 
                Council may be reappointed.
            (5) Compensation.--A member of the Advisory Council, who is 
        not otherwise compensated as a Federal employee, shall be 
        compensated at a rate equal to the daily equivalent of the 
        annual rate of basic pay prescribed for level IV of the 
        Executive Schedule under section 5315 of title 5, United States 
        Code, for each day (including travel time) during which the 
        member is engaged in the performance of the duties of the 
        Advisory Council.
    (e) Staff.--
            (1) In general.--The Administrator, in consultation with 
        the Board of Directors, may--
                    (A) appoint and terminate such officers, attorneys, 
                employees, and agents as are necessary to carry out 
                this Act; and
                    (B) vest those personnel with such powers and 
                duties as the Administrator may determine.
            (2) Direct hire authority.--
                    (A) In general.--Notwithstanding section 3304 and 
                sections 3309 through 3318 of title 5, United States 
                Code, the Administrator may, on a determination that 
                there is a severe shortage of candidates or a critical 
                hiring need for particular positions, recruit and 
                directly appoint highly qualified critical personnel 
                with specialized knowledge important to the function of 
                the Administration into the competitive service.
                    (B) Exception.--The authority granted under 
                subparagraph (A) shall not apply to positions in the 
                excepted service or the Senior Executive Service.
                    (C) Requirements.--In exercising the authority 
                granted under subparagraph (A), the Administrator shall 
                ensure that any action taken by the Administrator--
                            (i) is consistent with the merit principles 
                        of section 2301 of title 5, United States Code; 
                        and
                            (ii) complies with the public notice 
                        requirements of section 3327 of title 5, United 
                        States Code.
                    (D) Termination of effectiveness.--The authority 
                provided by this paragraph terminates effective on the 
                date that is 2 years after the date of enactment of 
                this Act.
            (3) Critical pay authority.--
                    (A) In general.--Notwithstanding section 5377 of 
                title 5, United States Code, and without regard to the 
                provisions of that title governing appointments in the 
                competitive service or the Senior Executive Service and 
                chapters 51 and 53 of that title (relating to 
                classification and pay rates), the Administrator may 
                establish, fix the compensation of, and appoint 
                individuals to critical positions needed to carry out 
                the functions of the Administration, if the 
                Administrator certifies that--
                            (i) the positions require expertise of an 
                        extremely high level in a financial, technical, 
                        or scientific field;
                            (ii) the Administration would not 
                        successfully accomplish an important mission 
                        without such an individual; and
                            (iii) exercise of the authority is 
                        necessary to recruit an individual who is 
                        exceptionally well qualified for the position.
                    (B) Limitations.--The authority granted under 
                subparagraph (A) shall be subject to the following 
                conditions:
                            (i) The number of critical positions 
                        authorized by subparagraph (A) may not exceed 
                        20 at any 1 time in the Administration.
                            (ii) The term of an appointment under 
                        subparagraph (A) may not exceed 4 years.
                            (iii) An individual appointed under 
                        subparagraph (A) may not have been an 
                        Administration employee at any time during the 
                        2-year period preceding the date of 
                        appointment.
                            (iv) Total annual compensation for any 
                        individual appointed under subparagraph (A) may 
                        not exceed the highest total annual 
                        compensation payable at the rate determined 
                        under section 104 of title 3, United States 
                        Code.
                            (v) An individual appointed under 
                        subparagraph (A) may not be considered to be an 
                        employee for purposes of subchapter II of 
                        chapter 75 of title 5, United States Code.
                    (C) Notification.--Each year, the Administrator 
                shall submit to Congress a notification that lists each 
                individual appointed under this paragraph.

SEC. 7. ADMINISTRATION FUNCTIONS.

    (a) Operational Units.--
            (1) Direct support.--
                    (A) In general.--The Administration may issue 
                direct loans, letters of credit, loan guarantees, 
                insurance products, or such other credit enhancements 
                or debt instruments (including participation as a co-
                lender or a member of a syndication) as the 
                Administrator considers appropriate to deploy clean 
                energy technologies if the Administrator has determined 
                that deployment of the technologies would benefit or be 
                accelerated by the support.
                    (B) Eligibility criteria.--In carrying out this 
                paragraph and awarding credit support to projects, the 
                Administrator shall account for--
                            (i) how the technology rates based on an 
                        evaluation methodology established by the 
                        Advisory Council;
                            (ii) how the project fits with the goals 
                        established under section 5; and
                            (iii) the potential for the applicant to 
                        successfully complete the project.
                    (C) Risk.--
                            (i) Expected loan loss reserve.--The 
                        Administrator shall establish an expected loan 
                        loss reserve to account for estimated losses 
                        attributable to activities under this section 
                        that is consistent with the purposes of--
                                    (I) developing breakthrough 
                                technologies to the point at which 
                                technology risk is largely mitigated;
                                    (II) achieving widespread 
                                deployment and advancing the commercial 
                                viability of clean energy technologies; 
                                and
                                    (III) advancing the goals 
                                established under section 5.
                            (ii) Initial expected loan loss reserve.--
                        Until such time as the Administrator determines 
                        sufficient data exist to establish an expected 
                        loan loss reserve that is appropriate, the 
                        Administrator shall consider establishing an 
                        initial rate of 10 percent for the portfolio of 
                        investments under this Act.
                            (iii) Portfolio investment approach.--The 
                        Administration shall--
                                    (I) use a portfolio investment 
                                approach to mitigate risk and diversify 
                                investments across technologies;
                                    (II) to the maximum extent 
                                practicable and consistent with long-
                                term self-sufficiency, weigh the 
                                portfolio of investments in projects to 
                                advance the goals established under 
                                section 5; and
                                    (III) consistent with the expected 
                                loan loss reserve established under 
                                this subparagraph, the purposes of this 
                                Act, and section 6(b)(2)(B), provide 
                                the maximum practicable percentage of 
                                support to promote breakthrough 
                                technologies.
                            (iv) Loss rate review.--
                                    (I) In general.--The Board of 
                                Directors shall review on an annual 
                                basis the loss rates of the portfolio 
                                to determine the adequacy of the 
                                reserves.
                                    (II) Report.--Not later than 90 
                                days after the date of the initiation 
                                of the review, the Administrator shall 
                                submit to the Committee on Energy and 
                                Natural Resources of the Senate and the 
                                Committee on Energy and Commerce of the 
                                House of Representatives a report 
                                describing the results of the review 
                                and any recommended policy changes.
                    (D) Application review.--
                            (i) In general.--To the maximum extent 
                        practicable and consistent with sound business 
                        practices, the Administration shall seek to 
                        consolidate reviews of applications for credit 
                        support under this Act such that final 
                        decisions on applications can generally be 
                        issued not later than 180 days after the date 
                        of submission of a completed application.
                            (ii) Environmental review.--In carrying out 
                        this Act, the Administration shall, to the 
                        maximum extent practicable--
                                    (I) avoid duplicating efforts that 
                                have already been undertaken by other 
                                agencies (including State agencies 
                                acting under Federal programs); and
                                    (II) with the advice of the Council 
                                on Environmental Quality and any other 
                                applicable agencies, use the 
                                administrative records of similar 
                                reviews conducted throughout the 
                                executive branch to develop the most 
                                expeditious review process practicable.
                    (E) Wage rate requirements.--
                            (i) In general.--No credit support shall be 
                        issued under this section unless the borrower 
                        has provided to the Administrator reasonable 
                        assurances that all laborers and mechanics 
                        employed by contractors and subcontractors in 
                        the performance of construction work financed 
                        in whole or in part by the Administration will 
                        be paid wages at rates not less than those 
                        prevailing on projects of a character similar 
                        to the contract work in the civil subdivision 
                        of the State in which the contract work is to 
                        be performed as determined by the Secretary of 
                        Labor in accordance with subchapter IV of 
                        chapter 31 of part A of subtitle II of title 
                        40, United States Code.
                            (ii) Labor standards.--With respect to the 
                        labor standards specified in this section, the 
                        Secretary of Labor shall have the authority and 
                        functions set forth in Reorganization Plan 
                        Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. 
                        App.) and section 3145 of title 40, United 
                        States Code.
            (2) Indirect support.--
                    (A) In general.--The Administration shall work to 
                develop financial products and arrangements to both 
                promote the widespread deployment of, and mobilize 
                private sector support of credit and investment 
                institutions for, clean energy technologies through 
                securitization, indirect credit support, or other 
                similar means of credit enhancement.
                    (B) Financial products.--The Administration--
                            (i) in cooperation with Federal, State, 
                        local, and private sector entities, shall 
                        develop debt instruments that provide for the 
                        aggregation of, or directly aggregate, projects 
                        for clean energy technology deployments on a 
                        scale appropriate for residential or commercial 
                        applications; and
                            (ii) may purchase, and make commitments to 
                        purchase, any debt instrument associated with 
                        the deployment of clean energy technologies for 
                        the purposes of enhancing the availability of 
                        private financing for clean energy technology 
                        deployments.
                    (C) Disposition of debt or interest.--The 
                Administration may acquire, hold, and sell or otherwise 
                dispose of, pursuant to commitments or otherwise, any 
                debt associated with the deployment of clean energy 
                technologies or interest in the debt.
                    (D) Pricing.--
                            (i) In general.--The Administrator may 
                        establish requirements, and impose charges or 
                        fees, which may be regarded as elements of 
                        pricing, for different classes of sellers, 
                        servicers, or services.
                            (ii) Classification of sellers and 
                        servicers.--For the purpose of clause (i), the 
                        Administrator may classify sellers and 
                        servicers as necessary to promote transparency 
                        and liquidity and properly characterize the 
                        risk of default.
                    (E) Eligibility.--The Administrator shall 
                establish--
                            (i) eligibility criteria for loan 
                        originators, sellers, and servicers seeking 
                        support for portfolios of financial obligations 
                        relating to clean energy technologies so as to 
                        ensure the capability of the loan originators, 
                        sellers, and servicers to perform the functions 
                        required to maintain the expected performance 
                        of the portfolios; and
                            (ii) such criteria, standards, guidelines, 
                        and mechanisms such that, to the maximum extent 
                        practicable, loan originators and sellers will 
                        be able to determine the eligibility of loans 
                        for resale at the time of initial lending.
                    (F) Secondary market support.--
                            (i) In general.--The Administration may 
                        lend on the security of, and make commitments 
                        to lend on the security of, any debt that the 
                        Administration has issued or is authorized to 
                        purchase under this section.
                            (ii) Authorized actions.--On such terms and 
                        conditions as the Administrator may prescribe, 
                        the Administration may, with the concurrence of 
                        the Board of Directors--
                                    (I) borrow;
                                    (II) give security;
                                    (III) pay interest or other return; 
                                and
                                    (IV) issue notes, debentures, 
                                bonds, or other obligations or 
                                securities.
                    (G) Lending activities.--
                            (i) In general.--The Administrator shall 
                        determine--
                                    (I) the volume of the lending 
                                activities of the Administration; and
                                    (II) the types of loan ratios, risk 
                                profiles, interest rates, maturities, 
                                and charges or fees in the secondary 
                                market operations of the 
                                Administration.
                            (ii) Objectives.--Determinations under 
                        clause (i) shall be consistent with the 
                        objectives of--
                                    (I) providing an attractive 
                                investment environment for clean energy 
                                technologies;
                                    (II) making the operations of the 
                                Administration self-supporting over the 
                                long term; and
                                    (III) advancing the goals 
                                established under section 5.
                    (H) Exempt securities.--All securities issued or 
                guaranteed by the Administration shall, to the same 
                extent as securities that are direct obligations of or 
                obligations guaranteed as to principal or interest by 
                the United States, be considered to be exempt 
                securities within the meaning of the laws administered 
                by the Securities and Exchange Commission.
    (b) Other Authorized Programs.--
            (1) In general.--The Secretary may delegate to the 
        Administration the provision of financial services and program 
        management for grant, loan, and other credit enhancement 
        programs authorized under any other provision of law.
            (2) Administration.--In administering any other program 
        delegated by the Secretary, the Administration shall, to the 
        maximum extent practicable (as determined by the 
        Administrator)--
                    (A) administer the program in a manner that is 
                consistent with the terms and conditions of this Act; 
                and
                    (B) minimize the administrative costs to the 
                Federal Government.

SEC. 8. FEDERAL CREDIT AUTHORITY.

    (a) Transfer of Functions and Authority.--
            (1) In general.--Subject to paragraph (2), on a finding by 
        the Secretary and the Administrator that the Administration is 
        sufficiently ready to assume the functions and that applicants 
        to those programs will not be unduly adversely affected but in 
        no case later than 18 months after the date of enactment of 
        this Act, all of the functions and authority of the Secretary 
        under title XVII of the Energy Policy Act of 2005 (42 U.S.C. 
        16511 et seq.) and authorities established by this Act shall be 
        transferred to the Administration.
            (2) Failure to transfer functions.--If the functions and 
        authorities are not transferred to the Administration in 
        accordance with paragraph (1), the Secretary and the 
        Administrator shall submit to Congress a report on the reasons 
        for delay and an expected timetable for transfer of the 
        functions and authorities to the Administration.
            (3) Effect on existing rights and obligations.--The 
        transfer of functions and authority under this subsection shall 
        not affect the rights and obligations of any party that arise 
        under a predecessor program or authority prior to the transfer 
        under this subsection.
            (4) Transfer of fund authority.--On transfer of functions 
        pursuant to paragraph (1), the Administration shall have all 
        authorities to make use of the Fund reserved for the Secretary 
        before the transfer.
            (5) Use.--Amounts in the Fund shall be available for 
        discharge of liabilities and all other expenses of the 
        Administration, including subsequent transfer to the respective 
        credit program accounts.
            (6) Initial investment.--
                    (A) In general.--On transfer of functions pursuant 
                to paragraph (1), out of any funds in the Treasury not 
                otherwise appropriated, the Secretary of the Treasury 
                shall transfer to the Fund to carry out this Act 
                $10,000,000,000, to remain available until expended.
                    (B) Receipt and acceptance.--The Fund shall be 
                entitled to receive and shall accept, and shall be used 
                to carry out this Act, the funds transferred to the 
                Fund under subparagraph (A), without further 
                appropriation. 
            (7) Authorization of appropriations.--In addition to funds 
        made available by paragraphs (1) through (6), there are 
        authorized to be appropriated to the Fund such sums as are 
        necessary to carry out this Act.
    (b) Payments of Liabilities.--
            (1) In general.--Any payment made to discharge liabilities 
        arising from agreements under this Act shall be paid out of the 
        Fund or the associated credit program account, as appropriate.
            (2) Security.--The full faith and credit of the United 
        States is pledged to the payment of all obligations entered 
        into by the Administration pursuant to this Act.
    (c) Fees.--
            (1) In general.--Consistent with achieving the purposes of 
        this Act, the Administrator shall charge fees or collect 
        compensation generally in accordance with commercial rates.
            (2) Availability of fees.--All fees collected by the 
        Administration may be retained by the Administration and placed 
        in the Fund and may remain available to the Administration, 
        without further appropriation or fiscal year limitation, for 
        use in carrying out the purposes of this Act.
            (3) Breakthrough technologies.--The Administration shall 
        charge the minimum amount in fees or compensation practicable 
        for breakthrough technologies, consistent with the long-term 
        viability of the Administration, unless the Administration 
        first determines that a higher charge will not impede the 
        development of the technology.
            (4) Alternative fee arrangements.--The Administration may 
        use such alternative arrangements (such as profit 
        participation, contingent fees, and other valuable contingent 
        interests) as the Administration considers appropriate to 
        compensate the Administration for the expenses of the 
        Administration and the risk inherent in the support of the 
        Administration.
    (d) Cost Transfer Authority.--Amounts collected by the 
Administration for the cost of a loan or loan guarantee shall be 
transferred by the Administration to the respective credit program 
accounts.
    (e) Supplemental Borrowing Authority.--In order to maintain 
sufficient liquidity for activities authorized under section 7(a)(2), 
the Administration may issue notes, debentures, bonds, or other 
obligations for purchase by the Secretary of the Treasury.
    (f) Public Debt Transactions.--For the purpose of subsection (e)--
            (1) the Secretary of the Treasury may use as a public debt 
        transaction the proceeds of the sale of any securities issued 
        under chapter 31 of title 31, United States Code; and
            (2) the purposes for which securities may be issued under 
        that chapter are extended to include any purchase under this 
        subsection.
    (g) Maximum Outstanding Holding.--The Secretary of the Treasury 
shall purchase instruments issued under subsection (e) to the extent 
that the purchase would not increase the aggregate principal amount of 
the outstanding holdings of obligations under subsection (e) by the 
Secretary of the Treasury to an amount that is greater than 
$2,000,000,000.
    (h) Rate of Return.--Each purchase of obligations by the Secretary 
of the Treasury under this section shall be on terms and conditions 
established to yield a rate of return determined by the Secretary of 
the Treasury to be appropriate, taking into account the current average 
rate on outstanding marketable obligations of the United States as of 
the last day of the month preceding the purchase.
    (i) Sale of Obligations.--The Secretary of the Treasury may at any 
time sell, on terms and conditions and at prices determined by the 
Secretary of the Treasury, any of the obligations acquired by the 
Secretary of the Treasury under this section.
    (j) Public Debt Transactions.--All redemptions, purchases, and 
sales by the Secretary of the Treasury of obligations under this 
section shall be treated as public debt transactions of the United 
States.

SEC. 9. GENERAL PROVISIONS.

    (a) Immunity From Impairment, Limitation, or Restriction.--
            (1) In general.--All rights and remedies of the 
        Administration (including any rights and remedies of the 
        Administration on, under, or with respect to any mortgage or 
        any obligation secured by a mortgage) shall be immune from 
        impairment, limitation, or restriction by or under--
                    (A) any law (other than a law enacted by Congress 
                expressly in limitation of this paragraph) that becomes 
                effective after the acquisition by the Administration 
                of the subject or property on, under, or with respect 
                to which the right or remedy arises or exists or would 
                so arise or exist in the absence of the law; or
                    (B) any administrative or other action that becomes 
                effective after the acquisition.
            (2) State law.--The Administrator may conduct the business 
        of the Administration without regard to any qualification or 
        law of any State relating to incorporation.
    (b) Use of Other Agencies.--With the consent of a department, 
establishment, or instrumentality (including any field office), the 
Administration may--
            (1) use and act through any department, establishment, or 
        instrumentality; or
            (2) use, and pay compensation for, information, services, 
        facilities, and personnel of the department, establishment, or 
        instrumentality.
    (c) Procurement.--The Administrator shall be the senior procurement 
officer for the Administration for purposes of section 16(a) of the 
Office of Federal Procurement Policy Act (41 U.S.C. 414(a)).
    (d) Financial Matters.--
            (1) Investments.--Funds of the Administration may be 
        invested in such investments as the Board of Directors may 
        prescribe.
            (2) Fiscal agents.--Any Federal Reserve bank or any bank as 
        to which at the time of the designation of the bank by the 
        Administrator there is outstanding a designation by the 
        Secretary of the Treasury as a general or other depository of 
        public money, may be designated by the Administrator as a 
        depositary or custodian or as a fiscal or other agent of the 
        Administration.
    (e) Jurisdiction.--Notwithstanding section 1349 of title 28, United 
States Code, or any other provision of law--
            (1) the Administration shall be considered a corporation 
        covered by sections 1345 and 1442 of title 28, United States 
        Code;
            (2) all civil actions to which the Administration is a 
        party shall be considered to arise under the laws of the United 
        States, and the district courts of the United States shall have 
        original jurisdiction of all such actions, without regard to 
        amount or value; and
            (3) any civil or other action, case or controversy in a 
        court of a State, or in any court other than a district court 
        of the United States, to which the Administration is a party 
        may at any time before trial be removed by the Administration, 
        without the giving of any bond or security and by following any 
        procedure for removal of causes in effect at the time of the 
        removal--
                    (A) to the district court of the United States for 
                the district and division embracing the place in which 
                the same is pending; or
                    (B) if there is no such district court, to the 
                district court of the United States for the district in 
                which the principal office of the Administration is 
                located.
    (f) Periodic Reports.--Not later than 1 year after commencement of 
operation of the Administration and at least biannually thereafter, the 
Administrator shall submit to the Committee on Energy and Natural 
Resources of the Senate and the Committee on Energy and Commerce of the 
House of Representatives a report that includes a description of--
            (1) the technologies supported by activities of the 
        Administration and how the activities advance the purposes of 
        this Act; and
            (2) the performance of the Administration on meeting the 
        goals established under section 5.
    (g) Audits by the Comptroller General.--
            (1) In general.--The programs, activities, receipts, 
        expenditures, and financial transactions of the Administration 
        shall be subject to audit by the Comptroller General of the 
        United States under such rules and regulations as may be 
        prescribed by the Comptroller General.
            (2) Access.--The representatives of the Government 
        Accountability Office shall--
                    (A) have access to the personnel and to all books, 
                accounts, documents, records (including electronic 
                records), reports, files, and all other papers, 
                automated data, things, or property belonging to, under 
                the control of, or in use by the Administration, or any 
                agent, representative, attorney, advisor, or consultant 
                retained by the Administration, and necessary to 
                facilitate the audit;
                    (B) be afforded full facilities for verifying 
                transactions with the balances or securities held by 
                depositories, fiscal agents, and custodians;
                    (C) be authorized to obtain and duplicate any such 
                books, accounts, documents, records, working papers, 
                automated data and files, or other information relevant 
                to the audit without cost to the Comptroller General; 
                and
                    (D) have the right of access of the Comptroller 
                General to such information pursuant to section 716(c) 
                of title 31, United States Code.
            (3) Assistance and cost.--
                    (A) In general.--For the purpose of conducting an 
                audit under this subsection, the Comptroller General 
                may, in the discretion of the Comptroller General, 
                employ by contract, without regard to section 3709 of 
                the Revised Statutes (41 U.S.C. 5), professional 
                services of firms and organizations of certified public 
                accountants for temporary periods or for special 
                purposes.
                    (B) Reimbursement.--
                            (i) In general.--On the request of the 
                        Comptroller General, the Administration shall 
                        reimburse the General Accountability Office for 
                        the full cost of any audit conducted by the 
                        Comptroller General under this subsection.
                            (ii) Crediting.--Such reimbursements 
                        shall--
                                    (I) be credited to the 
                                appropriation account entitled 
                                ``Salaries and Expenses, Government 
                                Accountability Office'' at the time at 
                                which the payment is received; and
                                    (II) remain available until 
                                expended.
    (h) Annual Independent Audits.--
            (1) In general.--The Administrator shall--
                    (A) have an annual independent audit made of the 
                financial statements of the Administration by an 
                independent public accountant in accordance with 
                generally accepted auditing standards; and
                    (B) submit to the Secretary the results of the 
                audit.
            (2) Content.--In conducting an audit under this subsection, 
        the independent public accountant shall determine and report on 
        whether the financial statements of the Administration--
                    (A) are presented fairly in accordance with 
                generally accepted accounting principles; and
                    (B) comply with any disclosure requirements imposed 
                under this Act.
    (i) Financial Reports.--
            (1) In general.--The Administrator shall submit to the 
        Secretary annual and quarterly reports of the financial 
        condition and operations of the Administration, which shall be 
        in such form, contain such information, and be submitted on 
        such dates as the Secretary shall require.
            (2) Contents of annual reports.--Each annual report shall 
        include--
                    (A) financial statements prepared in accordance 
                with generally accepted accounting principles;
                    (B) any supplemental information or alternative 
                presentation that the Secretary may require; and
                    (C) an assessment (as of the end of the most recent 
                fiscal year of the Administration), signed by the chief 
                executive officer and chief accounting or financial 
                officer of the Administration, of--
                            (i) the effectiveness of the internal 
                        control structure and procedures of the 
                        Administration; and
                            (ii) the compliance of the Administration 
                        with applicable safety and soundness laws.
            (3) Special reports.--The Secretary may require the 
        Administrator to submit other reports on the condition 
        (including financial condition), management, activities, or 
        operations of the Administration, as the Secretary considers 
        appropriate.
            (4) Accuracy.--Each report of financial condition shall 
        contain a declaration by the Administrator or any other officer 
        designated by the Board of Directors of the Administration to 
        make the declaration, that the report is true and correct to 
        the best of the knowledge and belief of the officer.
            (5) Availability of reports.--Reports required under this 
        section shall be published and made publicly available as soon 
        as is practicable after receipt by the Secretary.
    (j) Scope and Termination of Authority.--
            (1) New obligations.--The Administrator shall not initiate 
        any new obligations under this Act on or after January 1, 2029.
            (2) Reversion to secretary.--The authorities and 
        obligations of the Administration shall revert to the Secretary 
        on January 1, 2029.
                                 <all>