[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 2462 Introduced in Senate (IS)]
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116th CONGRESS
1st Session
S. 2462
To help reduce household energy burdens by expanding access to solar
energy for low-income households.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
September 11, 2019
Ms. Duckworth (for herself and Mr. Booker) introduced the following
bill; which was read twice and referred to the Committee on Energy and
Natural Resources
_______________________________________________________________________
A BILL
To help reduce household energy burdens by expanding access to solar
energy for low-income households.
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 ``Low-Income Solar Energy Act''.
SEC. 2. DEFINITIONS.
In this Act, the term ``low-income'', used with respect to a
household, means a household that is eligible for a payment under the
Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 8621 et seq.),
in accordance with--
(1) section 2605(b)(2) of such Act (42 U.S.C. 8624(b)); and
(2) State eligibility guidelines (consistent with such Act)
for that payment.
SEC. 3. LOW-INCOME HOME ENERGY ASSISTANCE.
(a) Authorization of Appropriations.--Section 2602 of the Low-
Income Home Energy Assistance Act of 1981 (42 U.S.C. 8621) is amended--
(1) in the first sentence of subsection (b), by striking
``2607A),'' and all that follows and inserting ``2607A),
$6,075,000,000 for fiscal year 2020 and each subsequent fiscal
year.''; and
(2) in subsection (e), by striking ``(e) of'' and inserting
``(f) of''.
(b) Reservation of Funds.--Section 2604 of the Low-Income Home
Energy Assistance Act of 1981 (42 U.S.C. 8623) is amended--
(1) by redesignating subsection (e) as subsection (f); and
(2) by inserting after subsection (d) the following:
``(e)(1) Of the funds available to a State under subsection (a), a
territory under subsection (b), or a tribal organization or other
entity under subsection (d), up to 25 percent may be reserved by the
State, territory, or organization or entity, for solar projects for
covered housing.
``(2) The Secretary shall expand the program funded under section
2602(b) to include such solar projects, and for purposes of this title
shall consider--
``(A) the funds used for such projects to be assistance for
home energy costs; and
``(B) the projects to be activities that provide assistance
for home energy costs, rather than to residential
weatherization or other energy-related home repair.
``(3) In determining whether to award, under that program, funding
that includes a portion for a solar project to a State, territory, or
tribal organization or entity, the Secretary shall use the application
and request processes specified in this title, with such adjustments as
the Secretary may specify in regulations.
``(4) The Secretary shall issue regulations and guidance for
States, territories, and tribal organizations and entities, that
receive funds under subsection (a), (b), or (d) (referred to
individually in this subsection as a `covered recipient'), to--
``(A) define the solar projects that may be funded through
the reserved funds described in paragraph (1);
``(B) specify the circumstances and process under which a
covered recipient, with an arrangement with a particular type
of local agency or organization to distribute assistance for
home energy costs, may instead enter into an arrangement with a
different local agency or organization with expertise in solar
projects, for such projects; and
``(C) specify how a covered recipient may distribute such
funds in a manner that usefully finances the work of solar
project developers and solar panel installers for such
projects.
``(5) Not later than 6 months after the date of enactment of the
Low-Income Solar Energy Act, the Secretary shall--
``(A) evaluate whether community solar projects could be
administered through the program carried out under this title;
and
``(B) prepare and submit to Congress a report containing
the evaluation.
``(6) In this section, the term `covered housing' means federally
assisted housing as defined in section 683 of the Housing and Community
Development Act of 1992 (42 U.S.C. 13641), and housing occupied by a
low-income household, as defined in section 2 of the Low-Income Solar
Energy Act.''.
(c) Use of Funds.--Section 2605(b)(1)(A) of the Low-Income Home
Energy Assistance Act of 1981 (42 U.S.C. 8624(b)(1)(A)) is amended by
inserting ``, including the costs of solar projects for covered housing
as defined in section 2604(e)'' after ``home energy costs''.
(d) Conforming Amendment.--Section 2609 of the Low-Income Home
Energy Assistance Act of 1981 (42 U.S.C. 8628) is amended by inserting
``, or carrying out solar projects for covered housing or community
solar projects under section 2604(e)'' after ``home repairs''.
SEC. 4. SOLAR FINANCING AND WORKFORCE TRAINING.
(a) Definitions.--In this section:
(1) Community solar project.--The term ``community solar
project'' means a project for the renewable generation of
energy through solar power that has multiple subscribers that
receive benefits on utility bills that are directly
attributable to the project.
(2) Community solar subscription.--The term ``community
solar subscription'' means ownership of a financial share in a
community solar project that serves multiple consumers.
(3) Eligible entity.--The term ``eligible entity'' means a
developer or installer of solar equipment.
(4) Eligible household.--The term ``eligible household''
means a household that includes an eligible individual as
defined in section 32(c)(1) of the Internal Revenue Code of
1986 for purposes of the credit under section 32 of that Code.
(5) Interconnection.--The term ``interconnection'' has the
meaning given the term in section 111(d)(15) of the Public
Utility Regulatory Policies Act of 1978 (16 U.S.C.
2621(d)(15)).
(6) Program.--The term ``program'' means the solar
financing program established under subsection (b)(1).
(7) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(b) Solar Financing Program.--
(1) In general.--The Secretary shall establish a solar
financing program under which the Secretary shall offer a
variety of financing mechanisms, including grants, loans, loan
guarantees, and interest buy-downs, to support the deployment
of solar projects for eligible households, in accordance with
this subsection.
(2) Grants.--
(A) In general.--Under the program, the Secretary
shall award grants to eligible entities for deploying
residential solar projects or community solar
projects--
(i) that benefit eligible households; and
(ii) in which the tariff, net metering,
bill credit, or other valuation of solar energy
generation, or the sale of that solar
generation by a third party, enables a savings-
to-investment ratio of at least 1:1 for an
eligible entity over a period of not more than
10 years.
(B) Use of funds.--An eligible entity that receives
a grant under the program shall use the grant only to
pay for--
(i) the cost and installation of solar
equipment in buildings in which the dwelling
units of eligible households are located,
including the cost of materials, labor, and
permitting;
(ii) repairs or upgrades to the buildings
described in clause (i) that may be needed to
ensure that solar equipment is installed in a
safe manner; and
(iii) the cost of a community solar
subscription.
(3) Solar housing loans.--
(A) In general.--Under the program, the Secretary
shall provide loans at zero percent interest--
(i) to owners of buildings--
(I) that receive assistance under
section 8(o) of the United States
Housing Act of 1937 (42 U.S.C.
1437f(o)); or
(II) with respect to which a credit
is allowable under section 42 of the
Internal Revenue Code of 1986 for the
taxable year in which the loan is
provided; and
(ii) for the purpose of--
(I) installing solar equipment that
benefits the dwelling unit of a tenant;
(II) if necessary for the
installation of solar equipment under
subclause (I), making any upgrade to
the building in which the dwelling unit
is located; and
(III) covering the cost of a
community solar subscription.
(B) Savings.--
(i) In general.--An owner of a building
receiving a loan under this subsection shall--
(I) reduce the rent that each
tenant described in clause (ii) is
required to pay by an amount that is
proportional to the savings obtained
through any solar upgrades described in
subparagraph (A); and
(II) enter into an affordability
agreement with the Secretary to ensure
that the rent of the tenant remains
affordable for the duration of the
tenancy.
(ii) Tenant described.--A tenant referred
to in clause (i) is a low-income tenant
occupying a dwelling unit in the building,
which dwelling unit is affected by a solar
upgrade described in subparagraph (A).
(C) Guidance; regulation.--The Secretary shall--
(i) publish guidance on what constitutes a
benefit to the dwelling unit of a tenant under
subparagraph (A)(ii)(I); and
(ii) promulgate a regulation on the manner
in which a community solar subscription under
subparagraph (A)(ii)(III) shall be managed.
(c) Community Solar Projects.--The Secretary shall establish a
program under which the Secretary shall make grants for community solar
projects--
(1) to be used for costs associated with interconnection of
the community solar project, including application fees,
interconnection fees, engineering reviews, and other associated
costs incurred during the interconnection process;
(2) to be used for costs associated with upgrades to a
distribution system, if the distribution system requires
service or new equipment to accommodate the installation of the
community solar project; and
(3) led by nonprofit organizations to support the
implementation of the projects for low-income households.
(d) Minority and Woman-Owned Businesses.--The Secretary shall, to
the maximum extent practicable, contract with minority or women-owned
businesses for the deployment of solar projects that are financed under
this section.
(e) Solar Workforce Program.--
(1) Definitions.--In this subsection:
(A) Eligible participant.--The term ``eligible
participant'' means an individual who is a member of an
underrepresented group, including--
(i) an individual who is a religious,
racial, or ethnic minority;
(ii) a woman;
(iii) a veteran;
(iv) an individual with a disability;
(v) an unemployed energy worker;
(vi) an energy worker employed by a fossil
fuel industry who is being transitioned away
from that industry because of a State renewable
program or Federal program, as determined by
the Secretary;
(vii) a socioeconomically disadvantaged
individual; and
(viii) a formerly incarcerated individual.
(B) Local workforce development board; state
workforce development board.--The terms ``local
workforce development board'' and ``State workforce
development board'' have the meanings given the terms
``local board'' and ``State board'', respectively, in
section 3 of the Workforce Innovation and Opportunity
Act (29 U.S.C. 3102).
(C) Program partner.--The term ``program partner''
means--
(i) a business;
(ii) an employer or industry association;
(iii) a labor management organization;
(iv) a local workforce development board or
State workforce development board;
(v) a 2- or 4-year institution of higher
education that offers an educational program
leading to an associate's or bachelor's degree
in conjunction with a certificate of completion
of an apprenticeship or other training program;
(vi) the Armed Forces (including the
National Guard and the Army Reserve);
(vii) a nonprofit organization;
(viii) a community-based organization; and
(ix) an economic development agency.
(2) Establishment.--The Secretary shall establish a solar
workforce program to assist eligible participants in pursuing
careers in the solar energy industry, including as--
(A) solar photovoltaic system installers;
(B) solar technicians;
(C) electrical system inspectors; and
(D) other professionals in the solar industry, as
determined by the Secretary.
(3) Courses.--In carrying out the program established under
paragraph (2), the Secretary shall create courses or seek to
administer existing courses that provide--
(A) job training, including through internships and
work-based training in accordance with paragraph (4);
(B) employment skills training; and
(C) comprehensive support services that--
(i) enhance the training experience and
promote the professional development of
participants; and
(ii) help participants transition into the
workforce.
(4) Course partners.--To the maximum extent practicable,
the Secretary shall partner with program partners to provide
internships and work-based training as part of the job training
offered under paragraph (3)(A).
(5) Exam requirement.--As a requirement for completing a
course under paragraph (3), the Secretary shall require each
participant in the course to earn an applicable industry-
recognized entry-level certificate or other credential, as
determined by the Secretary.
(f) Guarantee of Loans for Acquisition of Property.--Section 108 of
the Housing and Community Development Act of 1974 (42 U.S.C. 5308) is
amended by striking ``or (6)'' and inserting ``(6) the installation of
solar energy equipment; or (7)''.
(g) Power Purchase Agreements for Public Housing Agencies.--Section
6 of the United States Housing Act of 1937 (42 U.S.C. 1437d) is amended
by adding at the end the following:
``(u) Power Purchase Agreements.--
``(1) In general.--Each contract for contributions for a
public housing agency shall provide that the agency may enter
into third-party power purchase agreements with third-party
providers for a period of not more than 20 years, in addition
to a 2-year option period, for the installation of solar energy
equipment in public housing projects.
``(2) Utilities.--With respect to tenant-paid utilities,
any solar rate savings from a power purchase agreement that may
result in rebates to a family shall not be used in the
calculation of lower utility allowances for the family that
results in an increase in the rent paid by the family.''.
(h) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out this section and the
amendments made by this section $240,000,000 for each of fiscal years
2020 through 2024.
SEC. 5. RULEMAKING RELATING TO UTILITY ALLOWANCES.
(a) Definitions.--In this section, the term ``covered housing''
means--
(1) public housing, as defined in section 3(b) of the
United States Housing Act of 1937 (42 U.S.C. 1437a(b)); and
(2) tenant-based assistance provided under section 8(o) of
such Act (42 U.S.C. 1437f(o)).
(b) Rulemaking.--The Department of Housing and Urban Development
shall promulgate regulations to provide that, with respect to covered
housing, any solar rate savings for a dwelling unit that is associated
with this Act or an amendment made by this Act shall not be used in the
calculation of lower utility allowances for a family that results in an
increase in the rent paid by the family.
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