[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7977 Introduced in House (IH)]
<DOC>
119th CONGRESS
2d Session
H. R. 7977
To provide relief from high energy bills, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 18, 2026
Mr. Casten (for himself, Mr. Levin, Ms. Ansari, Ms. Balint, Ms.
Barragan, Mr. Bell, Mr. Beyer, Ms. Bonamici, Ms. Brownley, Ms.
Budzinski, Ms. Bynum, Mr. Carbajal, Mr. Carson, Mr. Case, Ms. Castor of
Florida, Mrs. Cherfilus-McCormick, Ms. Chu, Mr. Cisneros, Ms. Clarke of
New York, Mr. Cleaver, Mr. Clyburn, Mr. Cohen, Ms. Craig, Ms. Dean of
Pennsylvania, Ms. DelBene, Mr. DeSaulnier, Ms. Dexter, Mrs. Dingell,
Mr. Doggett, Ms. Elfreth, Mr. Espaillat, Mr. Evans of Pennsylvania,
Mrs. Foushee, Mr. Frost, Mr. Garcia of Illinois, Mr. Goldman of New
York, Mrs. Grijalva, Mr. Hernandez, Mr. Horsford, Ms. Hoyle of Oregon,
Mr. Huffman, Ms. Jacobs, Ms. Jayapal, Mr. Johnson of Georgia, Ms.
Kamlager-Dove, Ms. Kelly of Illinois, Mr. Krishnamoorthi, Mr. Landsman,
Mr. Latimer, Ms. Lee of Pennsylvania, Ms. Lee of Nevada, Ms. Leger
Fernandez, Mr. Lieu, Ms. Lofgren, Mr. Lynch, Mr. Magaziner, Mr.
Mannion, Ms. Matsui, Ms. McBride, Mrs. McClain Delaney, Ms. McClellan,
Ms. McCollum, Ms. McDonald Rivet, Mr. McGarvey, Mr. McGovern, Mr.
Menefee, Ms. Meng, Mr. Mfume, Mr. Min, Mr. Morelle, Ms. Morrison, Mr.
Moulton, Mr. Mrvan, Mr. Mullin, Mr. Nadler, Mr. Neguse, Ms. Norton, Ms.
Ocasio-Cortez, Mr. Olszewski, Ms. Omar, Ms. Pettersen, Ms. Pingree, Mr.
Pocan, Mr. Quigley, Mrs. Ramirez, Ms. Rivas, Ms. Ross, Mr. Ruiz, Ms.
Salinas, Ms. Scanlon, Ms. Schakowsky, Mr. Schneider, Ms. Scholten, Mr.
Scott of Virginia, Mr. David Scott of Georgia, Ms. Simon, Mr. Smith of
Washington, Mr. Sorensen, Ms. Stansbury, Mr. Stanton, Ms. Stevens, Mr.
Subramanyam, Mr. Suozzi, Mr. Takano, Mr. Thanedar, Mr. Thompson of
Mississippi, Ms. Titus, Ms. Tlaib, Ms. Tokuda, Mr. Tonko, Mr. Torres of
New York, Mrs. Trahan, Mr. Tran, Ms. Underwood, Mr. Vargas, Mr.
Vasquez, Mr. Vindman, Mr. Walkinshaw, Ms. Waters, Mrs. Watson Coleman,
Mr. Whitesides, and Ms. Wilson of Florida) introduced the following
bill; which was referred to the Committee on Energy and Commerce, and
in addition to the Committees on Agriculture, Ways and Means, Natural
Resources, Financial Services, Transportation and Infrastructure,
Education and Workforce, Oversight and Government Reform, and Science,
Space, and Technology, for a period to be subsequently determined by
the Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To provide relief from high energy bills, 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; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Energy Bills
Relief Act''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
TITLE I--REVERSING ATTACKS ON LOW-COST, CLEAN ENERGY
Subtitle A--Restoring Tax Credits for Low-Cost, Clean Energy
Sec. 101. Repealing H.R. 1 rollbacks of low-cost, clean energy tax
credits.
Subtitle B--Stopping Administration Overreach Against Low-Cost, Clean
Energy
Sec. 111. Reversing grant terminations for low-cost, clean energy.
Sec. 112. Prevention of administrative abuse of Federal permitting of
low-cost, clean energy.
Sec. 113. Ratepayer protection against uneconomic power generation.
TITLE II--CUTTING ENERGY BILLS FOR AMERICAN FAMILIES
Sec. 201. Lowering household heating and cooling bills.
Sec. 202. Home weatherization.
Sec. 203. Reflective roofing.
Sec. 204. Domestic natural gas price protection.
Sec. 205. Rural energy savings.
TITLE III--UNCLOGGING THE LOW-COST, CLEAN ENERGY BOTTLENECK
Sec. 301. Expedited generator interconnection.
Sec. 302. Advanced transmission technologies.
Sec. 303. Electricity transformers.
Sec. 304. Streamlining permitting of distributed energy.
Sec. 305. Community solar.
Sec. 306. Low-cost, clean energy in United States territories.
TITLE IV--BUILDING OUT A 21ST CENTURY ELECTRICITY GRID
Subtitle A--Amendments to the Federal Power Act
Sec. 401. Definitions.
Sec. 402. Interregional electric transmission planning.
Sec. 403. Allocation of costs of electric transmission facilities of
national significance.
Sec. 404. Minimum interregional transfer capability.
Sec. 405. Increased FERC transmission siting authority.
Sec. 406. Prohibiting expensive, unjust queue jumping.
Subtitle B--Tax and Grants
Sec. 411. Transmission investment tax credit.
Sec. 412. Reduced wildfire risks to the grid.
Subtitle C--Transmission Governance Reform
Sec. 421. FERC staffing.
Sec. 422. FERC fee assessments.
Sec. 423. State public utility commission capacity grants.
Sec. 424. Independent transmission monitors.
Sec. 425. Aggregator bidding into organized wholesale electric markets.
Sec. 426. RTO and ISO governance and participation.
Sec. 427. Modernized grid data and analytics.
TITLE V--DEPLOYING LOW-COST, CLEAN ENERGY RESPONSIBLY ON PUBLIC LANDS
AND WATERS
Subtitle A--Public Land Renewable Energy Development
Sec. 501. Public land renewable energy development.
Sec. 502. Geothermal cost recovery.
Sec. 503. Geothermal Gold Book development.
Subtitle B--Offshore Renewable Deployment
Sec. 511. Responsible development of offshore renewable energy.
Sec. 512. Compensation for offshore renewable energy projects.
Sec. 513. Interoperability of offshore electric transmission
infrastructure.
TITLE VI--PROTECTING CONSUMERS IN ELECTRICITY REGULATION
Sec. 601. Utility earnings tied to ratepayer benefits.
Sec. 602. Consumer protection from energy market manipulation.
Sec. 603. Avoiding cost shifts onto families.
Sec. 604. True costs and value of energy for economic and public
benefit.
Sec. 605. Grid performance disclosure.
TITLE VII--COLLABORATING WITH COMMUNITIES FOR SUCCESSFUL DEPLOYMENT
Sec. 701. Federal permitting capacity.
Sec. 702. Interagency environmental data system.
Sec. 703. Timely public release of NEPA documentation.
Sec. 704. Community benefits agreements.
Sec. 705. Intervenor funding at FERC Office of Public Participation.
Sec. 706. Senior community engagement officers and Tribal community
engagement officers.
Sec. 707. Capacity grants for permitting and community engagement.
TITLE I--REVERSING ATTACKS ON LOW-COST, CLEAN ENERGY
Subtitle A--Restoring Tax Credits for Low-cost, Clean Energy
SEC. 101. REPEALING H.R. 1 ROLLBACKS OF LOW-COST, CLEAN ENERGY TAX
CREDITS.
(a) Repeal.--Subchapter A of chapter 5 of subtitle A of title VII
of Public Law 119-21 is hereby repealed.
(b) Amendments.--Each provision of law amended by such subchapter
is amended to read as such provision would read if such subchapter had
never been enacted.
(c) Effects.--Each amendment made by subsection (b) shall take
effect as if included in the provision of such subchapter to which such
amendment relates.
Subtitle B--Stopping Administration Overreach Against Low-Cost, Clean
Energy
SEC. 111. REVERSING GRANT TERMINATIONS FOR LOW-COST, CLEAN ENERGY.
(a) The Department of Energy, the Environmental Protection Agency,
and the Department of Transportation may not terminate a Federal award
in part or its entirety, require a renegotiation or rescoping of the
Federal award, or decide not to fund a future budget period of a
Federal award on the basis that the Federal award no longer effectuates
the program goals or agency priorities, including pursuant to section
200.340(a)(4) of title 2, Code of Federal Regulations.
(b) Any Federal award that was terminated, renegotiated, rescoped,
or not progressed to future budget periods by the Department of Energy,
the Environmental Protection Agency, or the Department of
Transportation after January 19, 2025, for no longer effectuating the
program goals or agency priorities, including pursuant to section
200.340(a)(4) of title 2, Code of Federal Regulations, shall be
reinstated by such agency or entity under its previous terms and
conditions.
SEC. 112. PREVENTION OF ADMINISTRATIVE ABUSE OF FEDERAL PERMITTING OF
LOW-COST, CLEAN ENERGY.
(a) Requirement for Parity.--The Council on Environmental Quality,
in consultation with all applicable Federal agencies, shall ensure, via
subsection (b), that the processing of applications, authorizations, or
related approvals as well as denials and the activities referenced in
subsection (g) for wind, solar, storage, or related electric
transmission projects on Federal and non-Federal land and waters is not
subject to more restrictive or burdensome procedural requirements than
those applied to applications for oil, gas, or coal projects on Federal
and non-Federal land and waters and does not bias Federal decision
making in favor of oil, gas, or coal projects, including--
(1) requirements for elevated or discretionary review by
the Secretary, Deputy Secretary, other political appointees, or
career employees;
(2) additional documentation or review not required for
oil, gas, or coal projects;
(3) withholding, delaying, or reversing decisions by local
or regional entities for wind, solar, storage, or related
electric transmission projects for reasons not applied to oil,
gas or coal projects; and
(4) denial of routine administrative approvals, such as
testing permits or cost recovery agreements, or notices to
proceed once all criteria have been met for approval, based on
underlying technology.
(b) Policy Review.--
(1) Review.--Not later than 90 days after the date of
enactment of this section, the Council on Environmental
Quality, in consultation with all applicable Federal agencies,
shall--
(A) review all applicable regulations, guidance
documents, policy manuals, departmental directives,
Secretarial orders, and other procedures regarding
energy development; and
(B) identify any provision of such regulations,
documents, manuals, directives, orders, and procedures
not otherwise required in statute that do not comply
with the requirements in subsection (a).
(2) Rescission.--Not later than 120 days after the date of
enactment of this section, the applicable Secretary or
Administrator shall rescind or amend as necessary any provision
identified under subsection (a).
(c) Accountability in Permitting.--Not later than 180 days after
the date of enactment of this section and annually thereafter, the
Comptroller General of the United States shall submit to Congress a
report on actions taken by all applicable Federal agencies related to
permitting for energy projects, which shall include--
(1) an analysis of the procedures used by all applicable
Federal agencies for processing applications, authorizations,
or approvals for wind, solar, storage, or related electric
transmission projects on Federal and non-Federal land and
waters and how those procedures compare to those used for oil,
gas, or coal projects;
(2) an analysis of the number of days applicable Federal
agencies took during the previous calendar year to process
applications, authorizations or approvals for wind, solar,
storage, or related electric transmission projects on Federal
and non-Federal land and waters compared to the number of days
to process applications, authorizations or approvals for oil,
gas, or coal projects; and
(3) an assessment of whether applicable Federal agencies
treated wind, solar, storage, or related electric transmission
projects the same as oil, gas, or coal projects during the
previous calendar year.
(d) Ensuring Energy Security.--
(1) Limitation on issuance of certain approvals.--Beginning
on the date of enactment of this Act--
(A) the Secretary of the Interior may not approve a
permit to extract coal or to drill on an onshore oil or
gas lease on Federal land unless an approval for
onshore wind or solar development has been issued
during the 120-day period ending on the date of the
issuance of the approval for oil or gas development;
and
(B) the Secretary of the Interior may not approve a
permit to drill on an offshore oil or gas lease on the
Outer Continental Shelf under section 2(a) of the Outer
Continental Shelf Lands Act (43 U.S.C. 1331(a)) unless
an approval for offshore wind development on the Outer
Continental Shelf of similar scope has been issued
during the 120-day period ending on the date of the
issuance of the approval for oil or gas development.
(2) Rules of construction.--Nothing in this section shall
be construed to require the Secretary to approve applications
for a permit to drill for onshore or offshore oil or gas
development or a permit to extract coal.
(e) Timely Federal Review.--
(1) Deadlines to complete environmental reviews under
nepa.--With respect to any proposed wind, solar, storage, or
related electric transmission development on Federal land or
waters, including the Outer Continental Shelf, requiring an
environmental impact statement or environmental assessment
pursuant to the National Environmental Policy Act of 1969 (42
U.S.C. 4321 et seq.), the Secretary shall complete such
environmental impact statement or environmental assessment
within the deadlines established under section 107(g) of the
National Environmental Policy Act of 1969 (42 U.S.C. 4336a(g)).
(2) Deadline for determination of right-of-way.--Not later
than 180 days after completion of the environmental impact
statement or environmental assessment, as applicable, for wind,
solar, storage, or related electric transmission development on
Federal land or waters, including the Outer Continental Shelf,
the Secretary shall issue a right-of-way, except in the event
that a no action alternative is selected.
(f) Judicial Review.--
(1) Reviewability.--
(A) In general.--If a Federal agency suspends
construction or operations of a wind, solar, storage,
or related electric transmission project, or otherwise
prevents a wind, solar, storage, or related electric
transmission project from commencing and completing
construction, operation, or related ancillary
activities, including by revoking, rescinding,
withdrawing, terminating, suspending, amending,
altering, or otherwise rendering ineffective any
authorization for a project or the final environmental
document the authorization relies on, shall be
considered final agency action subject to judicial
review under chapter 7 of title 5, United States Code.
(B) Venue.--A person seeking judicial review for an
action described in subparagraph (A) shall obtain
review of such action in the United States Court of
Appeals for any circuit wherein the project is located.
(2) Timing.--For any claim brought regarding an action in
paragraph (A), the court of competent jurisdiction shall issue
a decision for such challenge--
(A) as expeditiously as practicable; and
(B) not later than the date that is 30 days after
the date on which the civil action is filed, unless the
court determines that additional time is required in
the interests of justice.
(3) Applicability.--This section shall apply to any actions
in paragraph (1) that occurred after January 19, 2025.
(g) Ensuring Fairness on Federal Lands and Waters.--
(1) FLPMA amendments.--The Federal Land Policy and
Management Act of 1976 is amended--
(A) in section 103(c) (43 U.S.C. 1702(c)), by
striking ``historical values;'' and inserting
``historical values, including the generation,
transmission, and storage of renewable energy sources
such as wind, solar, and geothermal energy;''; and
(B) in section 302 (43 U.S.C. 1732), by inserting
at the end ``(e) The Secretary shall manage the public
lands to facilitate the generation, transmission, and
storage of renewable energy resources, consistent with
the principles of multiple use and sustained yield
under this Act. For the purposes of this Act, such
activities are deemed to be consistent with multiple-
use management.''.
(2) OCSLA amendments.--Section 8(p) of the Outer
Continental Shelf Lands Act (43 U.S.C. 1337(p)) is amended by
striking paragraph (4) and inserting the following:
``(4) Requirements.--The Secretary shall ensure that any
activity under this subsection is carried out in a manner that
provides for a balance of--
``(A) safety;
``(B) the protection of the environment;
``(C) the prevention of waste;
``(D) the conservation of the natural resources of
the outer Continental Shelf;
``(E) coordination with relevant Federal agencies
and Tribal, State, and local governments;
``(F) the protection of the national security
interests of the United States, including energy
security;
``(G) the protection of correlative rights in the
outer Continental Shelf, including the energy
generation potential of other offshore renewable energy
leases;
``(H) a fair return to the United States for any
lease, easement, or right-of-way under this subsection;
``(I) prevention of unreasonable interference with
other uses of the exclusive economic zone, the high
seas, and the territorial seas, as determined by the
Secretary;
``(J) consideration of--
``(i) the location of, and any schedule
relating to, a lease, easement, or right-of-way
for an area of the outer Continental Shelf; and
``(ii) any other use of the sea or seabed,
including use for a fishery or fishery survey,
a sealane, a regional coastal observing system
or other scientific observation platform such
as a buoy, a potential site of a deepwater
port, or navigation;
``(K) public notice and comment on any proposal
submitted for a lease, easement, or right-of-way under
this subsection;
``(L) the oversight, inspection, research,
monitoring, and enforcement relating to a lease,
easement, or right-of-way under this subsection; and
``(M) the consideration of any applicable Federal,
Tribal, and State renewable energy mandates, targets,
and goals.''.
SEC. 113. RATEPAYER PROTECTION AGAINST UNECONOMIC POWER GENERATION.
Section 202(c) of the Federal Power Act (16 U.S.C. 824a) is
amended--
(1) in paragraph (1)--
(A) by striking ``Commission'' after ``During the
continuance of any war in which the United States is
engaged, or whenever the'' and inserting ``Secretary of
Energy (referred to in this subsection as the
`Secretary')'';
(B) by striking ``exists'' after ``determines that
an emergency'' and inserting ``currently exists or will
occur within 6 months'';
(C) by striking ``Commission'' after ``or other
causes, the'' and inserting ``Secretary'';
(D) by inserting ``As part of the order, the
Secretary shall explain why such order best meets the
emergency and serves the public interest.'' after
``serve the public interest.''; and
(E) by striking ``Commission'' after ``carrying out
such order, the'' and inserting ``Federal Energy
Regulatory Commission (referred to in this subsection
as the `Commission')'';
(2) in paragraph (2)--
(A) by striking ``Commission'' after ``law or
regulation, the'' and inserting ``Secretary''; and
(B) by adding at the end the following: ``The
Secretary shall state in such orders--
``(A) that are in effect for 96 or fewer hours, the
specific hours that are necessary to meet the emergency
and serve the public interest; or
``(B) that are in effect for more than 96 hours,
the specific methodology by which such hours that are
necessary to meet the emergency and serve the public
interest were determined.''.
(3) in paragraph (4)--
(A) by striking ``Commission'' wherever it appears
and inserting ``Secretary'';
(B) in subparagraph (A), by striking ``that may
result in a conflict with a requirement of any Federal,
State, or local environmental law or regulation'';
(C) in subparagraph (B)--
(i) by inserting ``that may result in a
conflict with a requirement of any Federal,
State, or local environmental law or
regulation'' after ``In renewing or reissuing
an order under subparagraph (A)''; and
(ii) by inserting ``The Secretary shall
make available to the public the primary
Federal agency consulted.'' after
``practicable.''; and
(D) by adding at the end--
``(C) Before renewing or reissuing an order under
subparagraph (A), the Secretary shall undertake a
robust study of available alternatives that would
reduce the net costs as compared to renewing or
reissuing the order.
``(D) In the event the Secretary issues a renewed
or reissued order under this paragraph, a petition for
judicial review of such renewed or reissued order may
be filed under section 313(b) without filing a request
for rehearing or otherwise complying with any
requirements of section 313(a).''; and
(4) by adding at the end the following:
``(6)(A) Not later than 30 days after the date on which the
Secretary issues an order under paragraph (1), the Commission
shall publish--
``(i) estimates of the costs that are
expected to be incurred by any electric utility
and customers of such electric utility as a
result of the order; and
``(ii) other expected impacts of the order.
``(B) Not later than 60 days after the date on
which the Secretary issues an order under paragraph
(1), an electric utility that has been, or is expected
to be, affected as a result of the order, including any
electric utility described in subparagraph (A)(i),
shall provide in writing to customers of the electric
utility a description of the costs incurred due to the
order, or costs expected to be incurred as a result of
the order, including any information relevant to the
electric utility and the customers of the electric
utility published under subparagraph (A).''.
TITLE II--CUTTING ENERGY BILLS FOR AMERICAN FAMILIES
SEC. 201. LOWERING HOUSEHOLD HEATING AND COOLING BILLS.
(a) Funding.--Section 2602 of the Low-Income Home Energy Assistance
Act of 1981 (42 U.S.C. 8621) is amended--
(1) in subsection (b)--
(A) by striking ``section 2607A)'' and inserting
``section 2604(e), 2605(u), 2607A, 2607B, or 2607C)'';
and
(B) by striking ``$2,000,000,000'' and all that
follows and inserting ``such sums as may be necessary,
including such sums as may be necessary to enable the
States to assist all households that meet the
eligibility requirements established under this title
and to enable States to implement home energy
affordability measures described in section
2605(b)(3).'';
(2) in subsection (e), in the first sentence--
(A) by striking ``in each fiscal year'';
(B) by striking ``$600,000,000'' and inserting
``$2,000,000,000 for fiscal year 2026, and
$2,000,000,000 plus such additional sums as may be
necessary for each fiscal year thereafter,''; and
(C) by inserting ``, or arising from a major
disaster, as defined in section 2604(e)(1)'' before the
period at the end; and
(3) by adding at the end the following:
``(f) There is authorized to be appropriated to carry out section
2607C, including making grants under that section, $1,000,000,000 for
fiscal year 2026, and $1,000,000,000 plus such additional sums as may
be necessary for each fiscal year thereafter.''.
(b) Definitions.--Section 2603 of the Low-Income Home Energy
Assistance Act of 1981 (42 U.S.C. 8622) is amended--
(1) by redesignating paragraphs (4) through (6), (7)
through (10), and (11), as paragraphs (6) through (8), (10)
through (13), and (15), respectively;
(2) by inserting after paragraph (3) the following:
``(4) The terms `extreme heat' and `extreme cold', used
with respect to a period, means a period in which there is an
increased risk of--
``(A) heat-related or cold-related, respectively,
illness, hospitalization, or death; or
``(B) failures or energy shutoffs of home cooling
or heating, respectively.
``(5) The term `HEAP coordinator' means an employee--
``(A) who administers a program funded under
section 2602(b); and
``(B) whose salary is paid, partly or wholly, with
funds made available under that section.'';
(3) by inserting after paragraph (8), as so redesignated,
the following:
``(9) The term `local coordinating agency' means any local
organization or local office that receives funds under section
2602(b) to perform customer intake, or approval of benefits, on
behalf of the State agency.''; and
(4) by inserting after paragraph (13), as so redesignated,
the following:
``(14) The term `State agency' means any State agency that
administers the program funded under section 2602(b).''.
(c) Assistance for Emergencies and Major Disasters, Including
Extreme Heat and Cold.--Section 2604 of the Low-Income Home Energy
Assistance Act of 1981 (42 U.S.C. 8623) is amended--
(1) in subsection (a)(1)(B), by striking ``section
2605(b)(9)(B)'' and inserting ``section 2605(b)(10)(B)''; and
(2) in subsection (e)--
(A) by striking ``(e)'' and inserting the
following:
``(e)(1) In this subsection:
``(A) The term `covered household' means an eligible
household in an area where the President, or the Secretary, as
the case may be, has declared or determined the occurrence of a
natural disaster, emergency, or major disaster.
``(B) The term `major disaster' means--
``(i) a major disaster or emergency declared under
section 401 or 501, respectively, of the Robert T.
Stafford Disaster Relief and Emergency Assistance Act
(42 U.S.C. 5170, 5191);
``(ii) a public health emergency determined under
section 319 of the Public Health Service Act (42 U.S.C.
247d); or
``(iii) a period of extreme heat or extreme cold,
as determined by the Secretary.
``(2)'';
(B) in paragraph (2), as so designated, by striking
``natural disaster or other emergency involved'' and
inserting ``natural disaster, emergency, or major
disaster involved''; and
(C) by adding at the end the following:
``(3) Upon a declaration or a determination of a natural
disaster, emergency, or major disaster, for an area, the
Secretary and the Administrator of the Federal Emergency
Management Agency shall, to the extent practicable, provide
heating or cooling assistance through such an allotment to a
State for covered households in that area.
``(4) To receive assistance under this subsection, the
State that has jurisdiction over the covered households shall
provide assurances to the Secretary that the State--
``(A) will not preclude a household that receives
heating assistance or cooling assistance under this
title during a calendar year, on the basis of obtaining
that assistance, from receiving cooling assistance or
heating assistance, respectively, under this title
during that year;
``(B) will not require a household to indicate that
a household member has a medical need for assistance
under this title, to be eligible for that assistance;
and
``(C) will allow use of such assistance for
purposes for which heating or cooling assistance is
available under the program funded under section
2602(b), including for providing energy-efficient air
conditioners, and other equipment needed for home
cooling, to eligible households.''.
(d) Eligible Households.--Section 2605 of the Low-Income Home
Energy Assistance Act of 1981 (42 U.S.C. 8624) is amended--
(1) in subsection (b)--
(A) in paragraph (1)(A), by striking ``paragraph
(5)'' and inserting ``paragraph (6)'';
(B) in paragraph (2)--
(i) in the matter preceding subparagraph
(A), by inserting ``, subject to subsection
(c)(1)(A),'' after ``only'';
(ii) in subparagraph (B), by striking
``(B)'' and all that follows through clause
(ii) and inserting the following:
``(B) households with incomes which do not exceed
the greater of--
``(i) an amount equal to 250 percent of the
poverty level; or
``(ii) an amount equal to 80 percent of the
State median income,''; and
(iii) in the matter following subparagraph
(B)--
(I) by striking ``may give'' and
inserting ``shall give''; and
(II) by inserting before the
semicolon the following: ``, and the
State may not exclude a household from
eligibility on the basis of citizenship
of 1 or more of the household
members'';
(C) by redesignating paragraphs (3) through (16) as
paragraphs (4) through (17), respectively;
(D) by inserting after paragraph (2) the following:
``(3) Energy burden limits.--To the extent practicable, the
Secretary shall work with States using funding under section
2602(b) (supplemented by funding available through State-level
energy programs, utility affordability initiatives, or other
mechanisms as determined by the State in consultation with the
Secretary) to implement home energy affordability measures--
``(A) to ensure that no household eligible under
paragraph (2) experiences an energy burden for which
the expenditures of the household for home energy
exceed 3 percent of household income; and
``(B) to prioritize the further reduction of energy
burdens for such eligible households with the lowest
incomes.''; and
(E) in subparagraph (B) of paragraph (10), as so
redesignated, by striking ``paragraph (16)'' and
inserting ``paragraph (17)'';
(2) in subsection (c)(1)--
(A) in subparagraph (A), by striking ``assistance
to be provided under this title, including criteria''
and inserting ``assistance to be provided under this
title, including--
``(i) certifying that the State and local
coordinating agencies in the State--
``(I) shall, to the greatest extent
possible, use data sharing agreements
with Federal and State low-income
assistance programs, including the
supplemental nutrition assistance
program established under the Food and
Nutrition Act of 2008 (7 U.S.C. 2011 et
seq.), the Medicaid program established
under title XIX of the Social Security
Act (42 U.S.C. 1396 et seq.), and the
supplemental security income program
established under title XVI of the
Social Security Act (42 U.S.C. 1381 et
seq.), to verify eligibility;
``(II) shall implement simplified
re-enrollment procedures for households
with fixed incomes or households
already determined to be eligible under
other Federal and State low-income
assistance programs, to reduce
administrative burdens on applicants
and agencies;
``(III) shall not require
applicants to submit proof of
citizenship to establish status as an
eligible household; and
``(IV) if neither the verification
process described in subclause (I) nor
the re-enrollment process described in
subclause (II) apply to a household,
shall allow applicants to self-attest
that the applicants meet the criteria
established under this title for an
eligible household, to the extent
necessary to facilitate access to
assistance and prevent undue hardship
for applicants; and
``(ii) describing criteria.'';
(B) in subparagraph (E), by striking ``paragraph
(5)'' and inserting ``paragraph (6)''; and
(C) in subparagraph (F), by striking ``clauses (3),
(4), (5), (6), (7), (8), (10), (12), (13), and (15) of
subsection (b)'' and inserting ``paragraphs (4), (5),
(6), (7), (8), (9), (11), (13), (14), and (16) of
subsection (b)'';
(3) in subsection (e), by striking ``subsection (b)(10)''
and inserting ``subsection (b)(11)'';
(4) in subsection (f), by adding at the end the following:
``(3) For purposes of section 401(c), and the remainder of
title IV, of the Personal Responsibility and Work Opportunity
Reconciliation Act of 1996 (8 U.S.C. 1611(a), 1601 et seq.),
assistance under this title shall not be considered to be a
Federal public benefit.''; and
(5) in subsection (j), by striking ``the State may apply''
and inserting ``the State may, subject to subsection
(c)(1)(A)(i), apply''.
(e) Conditions for Funding.--Section 2605 of the Low-Income Home
Energy Assistance Act of 1981 (42 U.S.C. 8624) is amended--
(1) in subsection (b)--
(A) in paragraph (1)(C), by inserting before the
semicolon the following: ``, using toxics-free
materials that do not contain asthmagens or respiratory
sensitizers, giving priority in the use of those funds
under this subparagraph, to the greatest extent
practicable, to supporting emergency home repairs that
foster energy efficiency, decarbonization, and
household resilience, including through beneficial
electrification of heating and cooling'';
(B) in paragraph (8), as so redesignated--
(i) in subparagraph (C), by striking
``and'' at the end; and
(ii) by adding at the end the following:
``(E) ensure that--
``(i) the home energy supplier will not
charge late fees for any payment, by a
household receiving assistance through the
program funded under section 2602(b), during
the period beginning 6 months before and ending
6 months after a date on which the supplier
receives funds through the program for the
household; and
``(ii) if the supplier receives funds
through the program for such a household and
charged such late fees during that period, the
supplier shall refund the fees to the household
not later than 7 days after the date the
supplier receives the funds;
``(F) ensure that the home energy supplier will not
shut off home energy from a household that received
assistance through the program funded under section
2602(b), within the 2-year period beginning on the date
the household received the assistance;
``(G) ensure that the home energy supplier, in
return for receiving funds through the program funded
under section 2602(b)--
``(i) will provide to the State data on
households that have not paid their home energy
bills, to enable the State and the supplier to
carry out coordinated outreach concerning
assistance available through the program funded
under section 2602(b); and
``(ii) will, when sending a notice of late
payments to such households, include
information on such assistance, on how to
access such assistance through the program, and
on eligibility criteria for the program; and
``(H) ensure that the home energy supplier will,
not later than 2 years after the date of enactment of
the Energy Bills Relief Act, in return for receiving
assistance under the program funded under section
2602(b) and through a partnership with the State, offer
a low-income energy affordability payment program;'';
and
(C) in paragraph (10), as so redesignated--
(i) in subparagraph (A)--
(I) by striking ``10 percent'' and
inserting ``15 percent''; and
(II) by striking ``and'' at the
end; and
(ii) by adding at the end the following:
``(C) in planning and administering that program,
the State shall use the portion of the amount described
in subparagraph (A), that exceeds 10 percent of the
funds described in subparagraph (A), to expand the
State program funded under section 2602(b) so that the
State operates the program on a year-round basis; and
``(D) in planning and administering that program,
the State--
``(i) shall make technological changes to
allow, not later than 5 years after the date of
enactment of the Energy Bills Relief Act, for
online submission of applications for
assistance through that program; and
``(ii) shall, to the extent practicable--
``(I) conduct outreach activities,
including activities to increase
enrollment as described in subsection
(p);
``(II) ensure that all HEAP
coordinators in the State receive
wages, for administration funded under
section 2602(b), at not less than the
greater of $15 per hour or the
applicable Federal, State, or local
minimum wage rate;
``(III) conduct training for HEAP
coordinators, State agency staff, and
community partners on best practices
for outreach, application processing,
and assisting eligible households;
``(IV) as needed, conduct outreach
relating to the program funded under
section 2602(b) to rural electric
cooperatives, home energy suppliers
owned by a political subdivision of a
State, such as a municipally owned
electric utility, and home energy
suppliers owned by any agency,
authority, corporation, or
instrumentality of a political
subdivision of a State; and
``(V) ensure autoenrollment of
eligible households into the program
funded under section 2602(b), and in
the process document any potential
barriers to autoenrollment that need to
be clarified or otherwise addressed at
the Federal level;'';
(2) in subsection (c)(1)--
(A) in subparagraph (G), by striking ``and'' at the
end;
(B) by redesignating subparagraph (H) as
subparagraph (I); and
(C) by inserting after subparagraph (G) the
following:
``(H) describes how the State will expand the State program
funded under section 2602(b) so that the State operates the
program on a year-round basis in accordance with subsection
(b)(10)(C) and the measures the State has taken so far to carry
out that expansion; and''; and
(3) by adding at the end the following:
``(m) The Secretary shall allow, to the greatest extent possible,
eligible households to obtain assistance with minimal administrative
burden, by carrying out subsection (c)(1)(A)(i).
``(n) The Secretary shall, by grant or contract, provide for a
study that examines the rates of home energy shutoffs and assessments
of late fees among eligible households, relative to those rates for
households that are not eligible households, over a period of several
years.
``(o) The Secretary shall provide technical assistance to States to
support partnerships described in subsection (b)(8)(H).
``(p)(1) The Secretary, in consultation with the Secretary of
Education, shall issue guidance for use of funds for administrative
activities described in subsection (b)(10) to increase, through
partnerships with elementary schools, secondary schools, and local
educational agencies, enrollment in the program funded under section
2602(b) among eligible households that include children and that have
high energy burdens.
``(2) The Secretary shall issue guidance for use by States on
outreach relating to assistance through the program funded under
section 2602(b) to high-risk individuals, with relevant medical
conditions, that benefit from the use of medical equipment that
requires electricity, including a ventilator, an oxygen concentrator,
or another medical device that requires electricity.
``(3) The Secretary shall issue guidance for use by States on how
to ensure that eligible households are aware of additional grants, tax
credits, and rebates, made available under Public Law 117-169, or an
amendment made by such law.
``(q) Not later than 1 year after the date of enactment of the
Energy Bills Relief Act, the Secretary shall require each State
receiving funds under this title, including allotments under subsection
(a) or (e) of section 2604, to develop and update as necessary, an
action plan for a period of extreme heat, which shall describe how the
State will use its allotments under this title to assist eligible
households in covering cooling costs and mitigating heat-related health
risks.
``(r) Not later than 1 year after the date of enactment of the
Energy Bills Relief Act, the Secretary shall conduct a review of
eligibility criteria for assistance under this title and identify
additional vulnerable populations to include under such criteria, such
as pregnant women, children, and individuals with medical conditions
exacerbated by a period of extreme heat.
``(s) The Secretary, in consultation with the Secretary of Energy,
shall require State energy offices receiving Federal funds under this
title to develop plans--
``(1) to retrofit low-income housing stock to adapt to
rising temperatures and address environmental hazards,
including--
``(A) deploying highly efficient cooling systems,
including heat pumps;
``(B) expanding weatherization and passive cooling
strategies;
``(C) addressing structural and health hazards,
including mold, lead, asbestos, and pest infections;
and
``(D) ensuring that necessary electrical panel and
wiring upgrades are completed to support the
installation of cooling systems and energy efficiency
improvements; and
``(2) to assess and adapt existing (as of the date of
development of the plan) shutoff policies to protect all
households while considering the impact on energy affordability
and energy grid reliability.
``(t)(1) Not later than 1 year after the date of enactment of the
Energy Bills Relief Act, the Secretary, in consultation with the
Secretary of Housing and Urban Development, shall submit a report to
Congress that--
``(A) identifies safe residential temperature standards for
federally assisted dwelling units, considering risks of periods
of extreme heat and extreme cold and regional climate
variations; and
``(B) proposes strategies to ensure compliance with the
standards, including permitting covered utility allowances to
be used for cooling assistance where feasible, taking into
account regional climate variations and housing stock
differences.
``(2) In this subsection, the term `covered utility allowance'
means a utility allowance--
``(A) applicable to public housing dwelling units under
section 3 of the United States Housing Act of 1937 (42 U.S.C.
1437a); or
``(B) under the housing choice voucher program under
section 8(o)(2)(D) of the United States Housing Act of 1937 (42
U.S.C. 1437f(o)(2)(D)).''.
(f) Weatherization.--Section 2605(k) of the Low-Income Home Energy
Assistance Act of 1981 (42 U.S.C. 8624(k)) is amended--
(1) in paragraph (1), by striking ``15 percent'' and
inserting ``25 percent''; and
(2) in paragraph (2)--
(A) in subparagraph (A), in the matter preceding
clause (i)--
(i) by striking ``subparagraph (B)'' and
inserting ``subparagraph (C)''; and
(ii) by striking ``the greater of 25
percent'' and inserting ``a portion equal to
the greater of 35 percent'';
(B) by redesignating subparagraph (B) as
subparagraph (C); and
(C) by inserting after subparagraph (A) the
following:
``(B) The State--
``(i) shall, to the extent practicable--
``(I) use the portion described in subparagraph (A)
for energy-related home repair that reduces dependence
on fossil fuel energy sources; and
``(II) use the portion to facilitate the use of
funds made available under section 2602(b) to increase
the participation of eligible households in community
solar programs, or to otherwise increase access to and
ownership of distributed renewable energy
infrastructure among eligible households; and
``(ii) shall if possible give the highest priority to using
the portion for home repair that replaces appliances that rely
on fossil fuels with appliances that use electric heating or
cooling technology, powered by renewable energy.''.
(g) Home Energy Payment Arrears Data Collection.--Section 2605 of
the Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 8624), as
amended by subsection (e), is further amended by adding at the end the
following:
``(u)(1)(A) The Secretary, in consultation with the Secretary of
Energy, shall develop a standardized template for States and home
energy suppliers to use to track and report data on eligible households
in arrears in home energy payments, including data on the related fees
and disconnections for such households.
``(B) The template developed under subparagraph (A) shall--
``(i) include a definition of an eligible household in
arrears, with respect to home energy payments, as an eligible
household that has not made payment on a home energy bill for
more than 60 to 90 days, as determined by the State agency or
local coordinating agency, unless otherwise specified by State
law;
``(ii) include metrics on related disconnections, late
fees, reconnections, and arrearage balances for eligible
households; and
``(iii) align with existing (as of the date of the
development) Federal and State reporting mechanisms where
applicable.
``(2) Not later than 1 year after the date of enactment of the
Energy Bills Relief Act, the Secretary shall, in consultation with the
Secretary of Energy, issue guidance on best practices for States
(including through partnerships with home energy suppliers) to pay for
home energy payment arrearages with assistance provided through the
program funded under section 2602(b), including by paying for such
arrearages at the time of dissemination of assistance through that
program. Such guidance shall prohibit any home energy supplier
receiving funds through the program from recovering arrearage
assistance costs through rate increases or other charges to customers,
including cost recovery mechanisms that disproportionately impact low-
income households.
``(3) To the extent practicable, the Secretary and the Secretary of
Energy shall jointly--
``(A) implement a data tracking system, aligned with the
standardized reporting template developed under paragraph (1),
to collect aggregate data regarding the number of eligible
households in arrears and their respective energy burdens and
develop recommendations to HEAP coordinators on how to minimize
energy burdens for the households; and
``(B) issue guidance to home energy suppliers with
recommendations for working with State agencies to address home
energy payment arrearages of eligible households.
``(4) The Secretary, in consultation with the Secretary of Energy,
may make grants to States to assist the States in implementing data
tracking and reporting requirements under this subsection.
``(5) There are authorized to be appropriated to carry out this
subsection such sums as may be necessary.''.
(h) Program Name Change.--
(1) LIHEAP.--The Low-Income Home Energy Assistance Act of
1981 is amended--
(A) in section 2607A(b) (42 U.S.C. 8626a(b)), in
the matter preceding paragraph (1), by striking ``low-
income'' the first place it appears; and
(B) in section 2607B(e)(2)(B)(ii) (42 U.S.C.
8626b(e)(2)(B)(ii)), by striking ``Low-Income''.
(2) Other law.--A reference in any other Federal law (other
than that Act), Executive order, rule, regulation, or
delegation of authority, or any document, of or relating to the
Low-Income Home Energy Assistance Program, shall be deemed to
refer to the Home Energy Assistance Program.
(i) Just Transition Grants.--The Low-Income Home Energy Assistance
Act of 1981 is amended by inserting after section 2607B (42 U.S.C.
8626b) the following:
``SEC. 2607C. HEAP ENERGY AFFORDABILITY AND RESILIENCE GRANTS.
``(a) Grant Program.--The Secretary and the Secretary of Energy
shall jointly carry out a grant program under this section. In carrying
out the program, the Secretaries shall make grants for a period of 3
years to States, Tribes, and local governments to support the
development and implementation of interagency plans to reduce energy
burdens for eligible households with high home energy use. The plans
shall promote the reduction of those burdens in a manner that supports
sustained reductions in household energy costs through improved energy
efficiency, reliability, and access to cost-saving technologies. The
Secretaries shall make the grants for a period of 3 years.
``(b) Preferences.--In making the grants, the Secretary shall give
a preference to States, Tribes, and local governments, who set up
coordination systems--
``(1) to identify eligible households, that are recipients
of assistance through the program funded under section 2602(b),
with high home energy use;
``(2) to prioritize eligible households with the highest
energy burdens and lowest incomes, in alignment with the
priority provisions in paragraphs (2) and (3) of section
2605(b), to receive emergency repair, weatherization, and
retrofit assistance that results in decarbonization and
reductions in energy use; and
``(3) to partner with entities carrying out workforce
development initiatives, unions, or business enterprises owned
by individuals that are socially disadvantaged to provide
emergency repairs, weatherization, and retrofit assistance.
``(c) Report to Congress.--At the conclusion of the 3-year grant
period, the Secretaries shall--
``(1) conduct an evaluation of the program's outcomes; and
``(2) prepare and submit to Congress a report containing
the results of the evaluation and policy recommendations.''.
(j) Conforming Amendments.--The Low-Income Home Energy Assistance
Act of 1981 (42 U.S.C. 8621 et seq.) is amended--
(1) in section 2607B(e)(2)(K) (42 U.S.C. 8626b(e)(2)(K)) by
striking ``paragraphs (2), (3), (4), (5), (7), (9), (10), (11),
(12), (13), and (14) of section 2605(b)'' and inserting
``paragraphs (2), (4), (5), (6), (8), (10), (11), (12), (13),
(14), and (15) of section 2605(b)''; and
(2) in section 2610(b)(1) (42 U.S.C. 8629) by striking
``clauses (2), (5), (8), and (15) of section 2605(b)'' and
inserting ``paragraphs (2), (6), (9), and (16) of section
2605(b)''.
SEC. 202. HOME WEATHERIZATION.
(a) Enhancement and Innovation.--Section 414D of the Energy
Conservation and Production Act (42 U.S.C. 6864d) is amended by
striking subsection (k).
(b) Average Cost per Dwelling Unit.--Section 415(c)(1) of the
Energy Conservation and Production Act (42 U.S.C. 6865(c)(1)) is
amended by striking ``$6,500'' and inserting ``$12,000''.
(c) Clarification of Reweatherization Limitation.--Section
415(c)(2) of the Energy Conservation and Production Act (42 U.S.C.
6865(c)(2)) is amended--
(1) by striking ``, or under other Federal programs'';
(2) by striking ``, may'' and inserting ``may''; and
(3) by striking ``or under other Federal programs, or from
receiving non-Federal assistance for weatherization''.
(d) Renewable Energy Systems.--Section 415(c) of the Energy
Conservation and Production Act (42 U.S.C. 6865(c)) is amended by
striking paragraph (4).
(e) Weatherization Readiness Program.--
(1) In general.--The Energy Conservation and Production Act
is amended by adding after section 414E (42 U.S.C. 6864e) the
following section:
``SEC. 414F. WEATHERIZATION READINESS PROGRAM.
``(a) In General.--Not later than 1 year after the date of
enactment of this section, the Secretary shall establish a
weatherization readiness program to provide grants to States, Indian
tribes, and tribal organizations to implement measures to make dwelling
units occupied by low-income persons ready to receive weatherization
measures pursuant to the weatherization program conducted under this
part by addressing structural, plumbing, roofing, and electrical issues
and environmental hazards, and implementing other measures that the
Secretary determines to be appropriate, to reduce the frequency of
deferrals of such weatherization measures when the condition of a
dwelling unit renders delivery of weatherization measures unsafe or
ineffective.
``(b) Alignment of Requirements.--Except as otherwise provided in
this section, to the extent possible, the Secretary shall, in
establishing the weatherization readiness program under this section--
``(1) align the requirements of such weatherization
readiness program with the requirements of the weatherization
program conducted under this part; and
``(2) seek to reduce barriers to leveraging other sources
of funding for weatherization readiness measures.
``(c) Savings-to-Investment Ratio.--The weatherization readiness
program established under this section shall not include a savings-to-
investment ratio requirement.
``(d) Previous Weatherization.--Weatherization readiness measures
implemented pursuant to the weatherization readiness program
established under this section shall not be considered previous
weatherization for purposes of section 415(c)(2).
``(e) Average Cost per Dwelling Unit.--The Secretary shall
establish, or require a State grantee to establish, a limit for
expenditures for weatherization readiness measures, including labor,
materials, and related matters, to be implemented with respect to a
dwelling unit, on an average cost per unit basis, pursuant to the
weatherization readiness program established under this section.
``(f) Allocation of Funds.--
``(1) In general.--The Secretary shall allocate funding
made available under this section to States and tribal
organizations in a manner consistent with the allocation of
financial assistance for weatherization assistance under the
weatherization program conducted under this part.
``(2) Updated allocation.--Not sooner than October 1, 2029,
the Secretary, in consultation with States and tribal
organizations, may, by rule, update the method to allocate
funding to States and tribal organizations under this section
to more accurately reflect the relative need for funding for
weatherization readiness measures among low-income persons
throughout the States and Indian tribes.
``(g) Administrative Expenses.--Not more than an amount equal to 15
percent of any grant made by the Secretary under this section may be
used for administrative purposes, except that not more than one-half of
such amount may be used by any State for such purposes.
``(h) Authorization of Appropriations.--There is authorized to be
appropriated $50,000,000 for each of fiscal years 2026 through 2030 to
carry out this section.''.
(2) Table of contents amendment.--The table of contents for
the Energy Conservation and Production Act is amended by adding
after the item relating to section 414E the following:
``Sec. 414F. Weatherization readiness program.''.
(f) Reauthorization of Weatherization Assistance Program.--
Paragraph (2) of section 422 of the Energy Conservation and Production
Act (42 U.S.C. 6872) is amended by striking ``2025'' and inserting
``2030''.
SEC. 203. REFLECTIVE ROOFING.
(a) Establishment.--The Secretary shall establish and carry out a
program to provide rebates to eligible households for the purchase and
installation of eligible cool roof products.
(b) Rebate Amount.--The amount of a rebate provided under the
program established under subsection (a) shall be--
(1) with respect to an eligible cool roof product installed
on a low-sloped roof--
(A) $0.25 per square foot if such eligible cool
roof product has--
(i) a minimum 3-year aged solar reflectance
of 0.65 and a minimum 3-year-aged thermal
emittance of 0.75; or
(ii) a minimum 3-year aged Solar
Reflectance Index of 78; and
(B) $0.75 per square foot if such eligible cool
roof product has--
(i) a minimum 3-year aged solar reflectance
of 0.75 and a minimum 3-year-aged thermal
emittance of 0.75; or
(ii) a minimum 3-year aged Solar
Reflectance Index of 92; and
(2) with respect to an eligible cool roof product installed
on a steep-sloped roof--
(A) $0.25 per square foot if such eligible cool
roof product has--
(i) a minimum 3-year aged solar reflectance
of 0.25 and a minimum 3-year-aged thermal
emittance of 0.75; or
(ii) a minimum 3-year aged Solar
Reflectance Index of 23; and
(B) $0.75 per square foot if such eligible cool
roof product has--
(i) a minimum 3-year aged solar reflectance
of 0.40 and a minimum 3-year-aged thermal
emittance of 0.75; or
(ii) a minimum 3-year aged Solar
Reflectance Index of 43.
(c) Combining Rebates.--Nothing in this section shall be construed
to prohibit an eligible household from receiving any other grant,
rebate, or other financial assistance with respect to the same eligible
cool roof product for which a rebate is provided under the program
established under subsection (a).
(d) Low-Income and High Energy Burden Households.--In implementing
this section, the Secretary shall ensure that not less that 40 percent
of total incremental energy savings achieved under this program in a
given year shall accrue to households that in the determination of the
Secretary are low-income or experience a disproportionately high energy
burden.
(e) Participation Statements.--Each State and each retail
electricity supplier shall publish on an annual basis an impact
statement that disaggregates participation under this section by income
and demographic characteristics, savings, and health outcomes.
(f) Termination Date.--The program established under subsection (a)
shall terminate on September 30, 2030.
(g) Reporting Requirement.--Not later than 6 months after the
program established under subsection (a) terminates, the Secretary
shall submit to Congress a report describing, for each program
participant--
(1) whether the participant used the rebate to help
retrofit an old roof or install a new roof;
(2) if the participant retrofitted an old roof, which older
roof product the new eligible cool roof product replaced or
covered; and
(3) what eligible cool roof product the participant
purchased using the rebate.
(h) Authorization of Appropriations.--There is authorized to be
appropriated to carry out this section $25,000,000 for each of fiscal
years 2026 through 2030.
(i) Definitions.--In this Act:
(1) 3-year aged.--The term ``3-year aged'' means, with
respect to solar reflectance or thermal emittance of an
eligible cool roof product, the solar reflectance or thermal
emittance is tested after completing 3 years of field exposure,
or tested after laboratory exposure that has replicated the
effects of 3 years of natural exposure if the eligible cool
roof product has begun but not yet completed field exposure, in
accordance with the most recent standard issued by the American
National Standard Institute and Cool Roof Rating Council, S100-
2021.
(2) Eligible cool roof product.--The term ``eligible cool
roof product'' means a product that has a rating from the Cool
Roof Rating Council.
(3) Eligible household.--
(A) In general.--Except as provided in subparagraph
(B), the term ``eligible household'' means an
individual or family--
(i) residing in a single-family or multi-
family building;
(ii) the total annual income of which is
less than 200 percent of the median income of
the ZIP Code in which the individual or family
resides (as reported by the Department of
Housing and Urban Development); and
(iii) residing in a ZIP Code Tabulation
Area that is in the 75th percentile or higher
of the Heat and Health Index of the Centers for
Disease Control and Prevention.
(B) Alaska, hawaii, and territories.--With respect
to an individual or family residing in Alaska, Hawaii,
or a territory of the United States, until the date
that their respective State or territory is added to
the Heat and Health Index of the Centers for Disease
Control and Prevention, the term ``eligible household''
means that such individual or family--
(i) resides in a single-family or multi-
family building; and
(ii) has a total annual income that is less
than 200 percent of the median income of the
ZIP Code in which the individual or family
resides (as reported by the Department of
Housing and Urban Development).
(4) Incident solar flux.--The term ``incident solar flux''
means the solar power per unit area that strikes a surface.
(5) Low-sloped roof.--The term ``low-sloped roof'' means a
roof with a slope (ratio of rise to run) of 2:12 or less.
(6) Radiant heat flux.--The term ``radiant heat flux''
means the radiant power per unit area.
(7) Reflected solar flux.--The term ``reflected solar
flux'' means the solar power per unit area reflected from a
surface.
(8) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(9) Solar reflectance.--The term ``solar reflectance''
means the ratio of reflected solar flux to the incident solar
flux.
(10) Solar reflectance index.--The term ``Solar Reflectance
Index'' means a calculated value that combines solar
reflectance with thermal emittance into a single metric, in
accordance with section 2.2.9. of the Cool Roof Rating
Council's Roof Product Rating Program Manual.
(11) Steep-sloped roof.--The term ``steep-sloped roof''
means a roof with a slope (ratio of rise to run) greater than
2:12.
(12) Thermal emittance.--The term ``thermal emittance''
means the ratio of the radiant heat flux emitted by a material
tested at a temperature near 300 kelvin.
SEC. 204. DOMESTIC NATURAL GAS PRICE PROTECTION.
(a) Exportation of Natural Gas.--
(1) Exportation of natural gas.--Section 3 of the Natural
Gas Act (15 U.S.C. 717b) is amended by adding at the end the
following:
``(g) Exportation of Natural Gas.--
``(1) Order required.--No person shall export any natural
gas from the United States to a foreign country without first
having secured an order of the Secretary of Energy authorizing
it to do so. The Secretary of Energy may issue such order upon
application only if, after opportunity for hearing, the
Secretary of Energy finds that the proposed exportation will be
consistent with the public interest. The Secretary of Energy
may by its order grant such application, in whole or in part,
with such modification and upon such terms and conditions as
the Secretary of Energy may find necessary or appropriate, and
may from time to time, after opportunity for hearing, and for
good cause shown, issue such supplemental order for such
exportation as it may find necessary or appropriate.
``(2) Deadline.--The Secretary of Energy shall find whether
proposed exportation of natural gas will be consistent with the
public interest under paragraph (1) by not later than the date
that is 1 year after the later of--
``(A) the date on which the Secretary of Energy
receives the final environmental impact statement for
such proposed exportation from the Federal Energy
Regulatory Commission; and
``(B) the date on which the Secretary completes
each assessment required by paragraph (4).
``(3) Public interest finding.--The Secretary of Energy may
find that proposed exportation of natural gas for which an
application is submitted under paragraph (1) will be consistent
with the public interest under such paragraph only if the
Secretary of Energy determines, based on the applicable
assessment under paragraph (4), that the proposed exportation
of natural gas will not be likely to--
``(A) significantly contribute to climate change,
including by slowing the global energy transition
needed to achieve deep reductions of global greenhouse
gas emissions within the next decade and net-zero
global greenhouse gas emissions not later than 2050;
``(B) materially increase energy prices or energy
price volatility for any segment of United States
consumers; or
``(C) create a disproportionate cumulative burden
of adverse human or environmental impacts on Tribes and
communities with environmental justice concerns,
including in rural and urban low-income areas.
``(4) Assessments.--
``(A) Climate change assessment.--A determination
under paragraph (3)(A) shall be based on an assessment
of the expected impact of the proposed exportation of
natural gas on climate change. Such assessment shall be
based on the latest scientific information and use the
20-year global warming potential of methane, and shall
include--
``(i) quantified estimates of the
greenhouse gas emissions associated with the
full lifecycle of the natural gas proposed for
exportation, including emissions associated
with the extraction, transportation,
liquefaction, storage, regasification, and
consumption of such natural gas;
``(ii) a comparison of the estimated
greenhouse gas emissions in clause (i) to a
baseline that is consistent with the need to
achieve deep reductions of global greenhouse
gas emissions within the next decade and deep
decarbonization pathways toward net-zero global
greenhouse gas emissions not later than 2050;
``(iii) an assessment of the potential
effects of the proposed exportation of natural
gas on clean energy alternatives, including--
``(I) any decrease in global
investment in and deployment of
renewable energy, electrification, and
energy efficiency and conservation
technologies; and
``(II) any decrease in United
States exports of clean energy
technologies;
``(iv) quantified estimates of the social
cost of the estimated greenhouse gas emissions
in clause (i); and
``(v) an identification of the extent to
which climate change is accelerating the loss
of economic value in the United States and,
separately, in other countries, due to rising
sea levels, more intense storms, eroding
coasts, increased risk and severity of
wildfires, and other impacts associated with
climate change.
``(B) Economic assessment.--A determination under
paragraph (3)(B) shall be based on an assessment of the
expected economic impact of the proposed exportation of
natural gas, including an assessment of the impact of
the proposed exportation on all United States
consumers, with specific estimates regarding each of
the following consumer subgroups:
``(i) Low-income consumers.
``(ii) Working families.
``(iii) Small businesses.
``(iv) Manufacturers.
``(v) State, Tribal, and local governments.
``(vi) Producers and users of fertilizer.
``(vii) Facilities with high electricity
demand, including data centers.
``(C) Environmental justice assessment.--A
determination under paragraph (3)(C) shall be based on
an assessment of the expected impact of the proposed
exportation of natural gas on environmental justice
(which shall be consistent with Executive Order 14096
(42 U.S.C. 4321 note; relating to revitalizing our
Nation's commitment to environmental justice for all),
as published April 21, 2023), including assessments of
impacts on--
``(i) the preexisting cumulative
environmental burdens and social and health
risks posed to Tribes and communities with
environmental justice concerns, including in
rural and urban low-income areas;
``(ii) local fisheries and the economic
livelihood of the people employed by local
fisheries;
``(iii) racial and socioeconomic
disparities in impacted communities; and
``(iv) compliance with civil rights laws.
``(5) Public participation.--The Secretary of Energy
shall--
``(A) provide to the public an opportunity to
meaningfully participate, including by providing
comments, in--
``(i) the finding of the Secretary of
Energy on whether proposed exportation will be
consistent with the public interest under
paragraph (1); and
``(ii) any study by the Department of
Energy intended to inform such finding; and
``(B) ensure that opportunities to meaningfully
participate under subparagraph (A) address barriers
that affect members of communities with environmental
justice concerns, including those related to
disability, language access, and lack of resources.
``(6) Major federal action.--Issuing an order authorizing
the exportation of natural gas under this subsection shall be
considered a major Federal action under section 102(2)(C) of
the National Environmental Policy Act of 1969 (42 U.S.C.
4332(2)(C)).''.
(2) Conforming amendments.--Section 3 of the Natural Gas
Act (15 U.S.C. 717b) is amended--
(A) in subsection (a)--
(i) by striking ``export any natural gas
from the United States to a foreign country
or'';
(ii) by inserting ``to the United States''
after ``from a foreign country''; and
(iii) by striking ``exportation or''; and
(B) in subsection (c)--
(i) by striking ``, or the exportation of
natural gas to a nation with which there is in
effect a free trade agreement requiring
national treatment for trade in natural gas,'';
and
(ii) by striking ``or exportation''.
(b) Process Coordination; Hearings; Rules of Procedure.--Section
15(b)(1) of the Natural Gas Act (15 U.S.C. 717n(b)(1)) is amended by
striking ``Commission'' and inserting ``Federal Energy Regulatory
Commission''.
(c) Termination of Categorical Exclusion for Approval or
Disapproval of the Exportation of Natural Gas.--The categorical
exclusion under B5.7 of appendix B to subpart D of part 1021 of title
10, Code of Federal Regulations (relating to export of natural gas and
associated transportation by marine vessel), shall have no force or
effect.
(d) Rulemaking.--Not later than 1 year after the date of enactment
of this Act, the Secretary of Energy shall, after public notice and
comment, issue a rule to carry out this Act and the amendments made by
this Act.
SEC. 205. RURAL ENERGY SAVINGS.
Section 6407 of the Farm Security and Rural Investment Act of 2002
(7 U.S.C. 8107a) is amended--
(1) in subsection (b)--
(A) in paragraph (1)--
(i) in subparagraph (B), by striking ``or''
at the end;
(ii) by redesignating subparagraph (C) as
subparagraph (D); and
(iii) by inserting after subparagraph (B)
the following:
``(C) any Indian Tribe (as defined in section 4 of
the Indian Self-Determination and Education Assistance
Act (25 U.S.C. 5304));'';
(2) in subsection (c)--
(A) in the subsection heading, by inserting ``and
Grants'' after ``Loans'';
(B) by striking paragraph (1) and inserting the
following:
``(1) In general.--Subject to the requirements of this
subsection, the Secretary shall provide--
``(A) loans to eligible entities that agree to use
the loan funds to make loans under subsection (d) to
qualified consumers for the purpose of implementing
energy efficiency measures; and
``(B) at the election of any eligible entity that
receives a loan under subparagraph (A), a grant in
accordance with paragraph (10).'';
(C) in paragraph (2)--
(i) in the paragraph heading, by inserting
``for loans'' after ``Requirements''; and
(ii) in subparagraph (A)(i), by striking
``that is'';
(D) in paragraph (5)--
(i) by redesignating subparagraphs (A) and
(B) as clauses (i) and (ii), respectively, and
indenting the clauses appropriately;
(ii) in the matter preceding clause (i) (as
so redesignated), by striking ``With respect to
a loan under paragraph (1)'' and inserting the
following:
``(A) In general.--Subject to subparagraph (B),
with respect to a loan under paragraph (1)(A)''; and
(iii) by adding at the end the following:
``(B) Extensions.--The Secretary may extend the
term of a loan under subparagraph (A)(i), or the
deadline for the repayment of an advance under
subparagraph (A)(ii), as the Secretary determines to be
appropriate.'';
(E) in paragraph (7)--
(i) in subparagraph (B), by striking
``paragraph (1)'' and inserting ``paragraph
(1)(A)''; and
(ii) in subparagraph (C), in the matter
preceding clause (i), by striking ``Repayment
of the special advance'' and inserting
``Subject to an applicable extension under
paragraph (5)(B), repayment of a special
advance under this paragraph'';
(F) in paragraph (8), by striking ``paragraph (1)''
and inserting ``paragraph (1)(A)''; and
(G) by adding at the end the following:
``(10) Grants.--
``(A) In general.--At the election of an eligible
entity that receives a loan under this subsection, the
Secretary shall provide to the eligible entity a grant
to pay for a portion of the costs incurred in--
``(i) applying for the loan;
``(ii) making a loan to a qualified
consumer under subsection (d);
``(iii) making repairs to the property of a
qualified consumer that facilitate the energy
efficiency measures for the property financed
through a loan provided to the qualified
consumer under subsection (d);
``(iv) entering into a contract under
subsection (e); or
``(v) carrying out any other duties of the
eligible entity under this section.
``(B) Amount.--
``(i) In general.--Except as provided in
clause (ii), the amount of a grant provided to
an eligible entity under this paragraph shall
be equal to not more than 5 percent of the
amount of the loan provided to the eligible
entity under this subsection.
``(ii) Persistent poverty counties.--The
amount of a grant provided under this paragraph
to an eligible entity that will use the grant
to make loans under subsection (d) to qualified
consumers located in a persistent poverty
county (as determined by the Secretary) shall
be equal to 10 percent of the amount of the
loan provided to the eligible entity under this
subsection.'';
(3) in subsection (d)--
(A) in paragraph (1)--
(i) in the matter preceding subparagraph
(A), by inserting ``or grant'' before
``funds''; and
(ii) in subparagraph (B)--
(I) by striking ``(B) shall
finance'' and inserting the following:
``(B)(i) may have a term and amortization schedule
the length of which is the useful life of the energy
efficiency measures implemented using the loan,
provided that the loan to the qualified consumer does
not exceed 20 years; and
``(ii) shall finance''; and
(II) in clause (ii) (as so
designated), by striking ``a loan term
of not more than 10 years'' and
inserting ``the applicable loan term
described in clause (i)'';
(4) in subsection (e)--
(A) in the subsection heading, by inserting
``Outreach,'' after ``Training,'';
(B) in paragraph (1)--
(i) in subparagraph (A), by striking ``and
technical assistance of the program'' and
inserting ``outreach, and technical assistance
relating to the program under this section'';
and
(ii) in subparagraph (B)(ii), by inserting
``, outreach,'' after ``technical assistance'';
and
(C) by adding at the end the following:
``(3) Funding.--Of the amounts made available under
subsection (i), the Secretary may use such sums as are
necessary to provide outreach, training, and technical
assistance under this subsection.''; and
(5) in subsection (i), by striking ``2023'' and inserting
``2030''.
TITLE III--UNCLOGGING THE LOW-COST, CLEAN ENERGY BOTTLENECK
SEC. 301. EXPEDITED GENERATOR INTERCONNECTION.
(a) Definitions.--In this section:
(1) Advanced transmission technology.--The term ``advanced
transmission technology'' means any hardware or software that--
(A) increases the capacity, efficiency,
reliability, resilience, or safety of transmission
facilities and transmission technologies;
(B) is installed in addition to new or existing
transmission facilities and transmission technologies--
(i) to give operators of the transmission
facilities and transmission technologies more
situational awareness and control over the
electric grid;
(ii) to make the transmission facilities
and transmission technologies more efficient;
or
(iii) to increase the transfer capacity of
the transmission facilities and transmission
technologies; and
(C) includes, but is not limited to, dynamic line
ratings, advanced conductors, topology optimization,
advanced power-flow controls, and other digital or
physical systems that increase the usable transfer
capability of the grid.
(2) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(3) Energy storage project.--The term ``energy storage
project'' means--
(A) any equipment that receives, stores, and
delivers energy-using batteries, compressed air, pumped
hydropower, hydrogen storage (including hydrolysis),
thermal energy storage, regenerative fuel cells,
flywheels, capacitors, superconducting magnets, or
other technologies identified by the Commission; and
(B) any project for the construction or
modification of equipment described in subparagraph (A)
as part of an effort to build-out transmission
interconnection opportunities.
(4) Generation project.--The term ``generation project''
means--
(A) any facility--
(i) that generates or injects electricity;
and
(ii) for which an interconnection request
is subject to the jurisdiction of the
Commission; and
(B) any project for the construction or
modification of a facility described in subparagraph
(A).
(5) Interconnection customer.--The term ``interconnection
customer'' means a person or entity that has submitted an
interconnection request.
(6) Interconnection request.--The term ``interconnection
request'' means a request submitted to a public utility to
interconnect a new generation project or energy storage project
to the electric system of a public utility for the purposes of
transmission of electric energy in interstate commerce or the
sale of electric energy at wholesale.
(7) 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)).
(8) Transmission facility.--The term ``transmission
facility'' means a facility that is used for the transmission
of electric energy in interstate commerce.
(9) Transmission provider.--The term ``transmission
provider'' means a public utility that owns, operates, or
controls 1 or more transmission facilities.
(10) Transmission system.--The term ``transmission system''
means a network of transmission facilities used for the
transmission of electric energy in interstate commerce.
(b) Rulemaking To Expedite Generator Interconnection Procedures.--
(1) In general.--Not later than 180 days after the date of
enactment of this Act, the Commission shall initiate a
rulemaking--
(A) to address the inefficiencies and
ineffectiveness of existing procedures for processing
interconnection requests to ensure that new generation
projects and energy storage projects can interconnect
quickly, cost-effectively, and reliably;
(B) to invalidate expedited interconnection
processes, using its section 206 authority, that have
been adopted in 2025 or 2026 and which are not in the
pro forma interconnection agreement and which use
eligibility criteria that have disproportionately
selected natural gas and coal projects in comparison to
other projects such as, wind, solar and electric
battery storage projects; and
(C) to revise the pro forma Large Generator
Interconnection Procedures and, as appropriate, the pro
forma Large Generator Interconnection Agreement,
promulgated pursuant to section 35.28(f) of title 18,
Code of Federal Regulations (or successor regulations),
to require transmission providers--
(i) to develop and employ modeling
assumptions for each resource type based on
actual operating abilities and practices, for
the purposes of studying an interconnection
request, provided that the Commission shall not
rely on such modeling assumptions to study
projects out of queue priority;
(ii) to study interconnection requests in a
manner consistent with the risk tolerance of
the interconnection customer;
(iii) to establish simplified and
standardized study pathways for small-scale or
community-based generation projects, including
distributed energy resources and projects
serving low-income communities;
(iv) to select, as appropriate, 1 or more
cost-effective solutions to address network
reliability needs that may be identified while
studying an interconnection request;
(v) to provide sufficient information to
interconnection customers for the
interconnection customers to understand how a
transmission provider has implemented the
assumptions and solutions described in clauses
(i) and (iv);
(vi) to share and employ, as appropriate,
queue management best practices, including with
respect to the use of computing technologies,
such as artificial intelligence, machine
learning, and automation, as well as
standardized study criteria, in evaluating and
processing interconnection requests, in order
to expedite study results with respect to those
requests; and
(vii) to implement transparency and
performance-enhancing measures and requirements
that transmission providers consider advanced
transmission technologies to ensure timely and
cost-conscious construction of necessary
network upgrades once an interconnection
agreement has been executed.
(2) Deadline for final rule.--Not later than 12 months
after the date of enactment of this Act, the Commission shall
promulgate a final rule to complete the rulemaking initiated
under paragraph (1).
(3) Deadline for compliance filings.--The Commission shall
require each applicable Transmission Provider subject to the
final rule issued pursuant to this rulemaking to submit their
compliance filings within 60 days of the issuance of the final
order, and the Commission shall have 60 days thereafter to
approve or reject the compliance filing. Any subsequent
compliance filing thereafter shall be subject to these same
timing requirements.
(4) Savings clause.--Nothing in this section alters, or may
be construed to alter, the allocation of costs of the
transmission system pursuant to the ratemaking authority of the
Commission under section 205 of the Federal Power Act (16
U.S.C. 824d).
SEC. 302. ADVANCED TRANSMISSION TECHNOLOGIES.
(a) Definitions.--In this section:
(1) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(2) Advanced transmission technology.--The term ``advanced
transmission technology'' means any hardware or software that--
(A) increases the capacity, efficiency,
reliability, resilience, or safety of transmission
facilities and transmission technologies;
(B) is installed in addition to new or existing
transmission facilities and transmission technologies--
(i) to give operators of the transmission
facilities and transmission technologies more
situational awareness and control over the
electric grid;
(ii) to make the transmission facilities
and transmission technologies more efficient;
or
(iii) to increase the transfer capacity of
the transmission facilities and transmission
technologies; and
(C) includes, but is not limited to, dynamic line
ratings, advanced conductors, topology optimization,
advanced power-flow controls, and other digital or
physical systems that increase the usable transfer
capability of the grid.
(3) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(b) Shared Savings Incentive for Advanced Transmission
Technologies.--
(1) Definition of developer.--In this subsection, the term
``developer'', with respect to advanced transmission
technology, means the entity that pays to install the advanced
transmission technology.
(2) Establishment of shared savings incentive.--Not later
than 18 months after the date of enactment of this Act, the
Commission shall promulgate a final rule to implement section
219(b)(3) of the Federal Power Act (16 U.S.C. 824s(b)(3)) by
providing a shared savings incentive that returns a portion of
the savings attributable to an investment in advanced
transmission technology to the developer of that advanced
transmission technology, in accordance with this subsection.
The Commission may also establish alternative incentive
mechanisms, including performance-based rate adjustments,
accelerated depreciation, or return-on-equity adders, for
utilities or transmission owners for which a shared-savings
approach is impracticable.
(3) Requirements.--
(A) In general.--The Commission shall determine the
percentage of savings attributable to an investment in
advanced transmission technology that can be returned
to the developer of that advanced transmission
technology pursuant to the shared savings incentive
established under paragraph (2), subject to the
conditions that the percentage--
(i) is not less than 10 percent and not
more than 25 percent;
(ii) is not determined on a per-project,
per-investment, or case-by-case basis; and
(iii) is applied consistently to all
investments in advanced transmission technology
eligible for the shared savings incentive,
regardless of the type of advanced transmission
technology installed.
(B) Time period for recovery.--The shared savings
incentive established under paragraph (2) shall return
a percentage, determined in accordance with
subparagraph (A), of the applicable savings to the
developer of the applicable advanced transmission
technology over a period of 10 years.
(4) Eligibility.--Subject to paragraph (5), the shared
savings incentive established under paragraph (2) shall apply
with respect to--
(A) any developer, with respect to the investment
of that developer in advanced transmission technology
that is installed as described in subsection (a)(2)(B);
and
(B) any advanced transmission technology,
including--
(i) advanced transmission technology that
relates to new transmission facilities or
transmission technologies; and
(ii) advanced transmission technology that
relates to existing transmission facilities or
transmission technologies.
(5) Limitations.--
(A) Minimum savings.--
(i) In general.--The shared savings
incentive established under paragraph (2) shall
apply with respect to an investment in advanced
transmission technology only if the expected
savings attributable to the investment over the
3-year period described in paragraph (3)(B), as
determined by the Commission and appropriately
adjusted to reflect net present value of the
expected savings, are at least 2 times the cost
of the investment.
(ii) Determination.--
(I) In general.--The Commission
shall determine how to quantify the
cost of an investment and the expected
savings attributable to an investment
for purposes of clause (i).
(II) Costs.--For purposes of clause
(i), the cost of an investment may
include any costs associated with the
permitting, installation, or purchase
of the applicable advanced transmission
technology.
(B) Already installed advanced transmission
technologies.--The shared savings incentive established
under paragraph (2) may not be applied with respect to
advanced transmission technology that is already
installed as of the date of enactment of this Act.
(C) Consumer protection.--The Commission shall
determine appropriate consumer protections for the
shared savings incentive established under paragraph
(2).
(6) Evaluation and sunset of shared savings incentive.--
(A) Evaluation.--Not earlier than 7 years, and not
later than 10 years, after the shared savings incentive
is established under paragraph (2), the Commission
shall--
(i) evaluate the necessity and efficacy of
the shared savings incentive; and
(ii) determine whether to maintain, revise,
or suspend the shared savings incentive.
(B) Consideration of order no. 1920.--In conducting
the evaluation under subparagraph (A)(i), the
Commission shall consider--
(i) how the shared savings incentive aligns
with the requirement that advanced transmission
technologies be considered in long-term
regional transmission planning under Order No.
1920 of the Commission, entitled ``Building for
the Future Through Electric Regional
Transmission Planning and Cost Allocation'' (89
Fed. Reg. 49280 (June 11, 2024)) (or a
successor order);
(ii) whether and how the shared savings
incentive should be revised to further align
with that requirement; and
(iii) whether, in light of that
requirement, the shared savings incentive
should be maintained or suspended.
(C) Public comment.--In conducting the evaluation
under subparagraph (A)(i), the Commission shall provide
an opportunity for public comment, including by
stakeholders.
(c) Congestion Reporting.--
(1) Annual reports.--
(A) In general.--Beginning on the date that is 1
year after the effective date of the rule promulgated
under paragraph (2), all operators of transmission
facilities or transmission technologies shall submit to
the Commission annual reports containing data on the
costs associated with congestion management with
respect to the transmission facilities or transmission
technologies, including all relevant constraints.
(B) Requirement.--Each annual report submitted
under subparagraph (A) shall identify--
(i) with respect to each reported
constraint that caused more than $500,000 in
associated costs--
(I) the cause of the constraint,
including physical infrastructure and
transient disruptions; and
(II) the next limiting element type
and its identified rating limit; and
(ii) each constraint that will be addressed
by planned future upgrades to infrastructure
and facilities.
(2) Rulemaking.--Not later than 18 months after the date of
enactment of this Act, the Commission shall promulgate a final
rule establishing a universal metric and protocol for the
measuring and reporting of data under paragraph (1).
(3) Uses of data.--
(A) Analyses.--
(i) In general.--The Commission and the
Secretary shall each use the data submitted
under paragraph (1) to conduct analyses, as the
Commission or the Secretary, as applicable,
determines to be appropriate.
(ii) Coordination.--The Commission and the
Secretary may coordinate with respect to any
analyses conducted using the data submitted
under paragraph (1).
(B) Map.--The Commission and the Secretary, acting
jointly, shall--
(i) use the data submitted under paragraph
(1) to create a map of costs associated with
congestion management in the transmission
system; and
(ii) update that map not less frequently
than once each year.
(4) Publication of data and map.--The Commission and the
Secretary shall make the data submitted under paragraph (1) and
the map described in paragraph (3)(B) publicly available on the
websites of--
(A) the Commission; and
(B) the Department of Energy.
(d) Advanced Transmission Technology Application Guide.--
(1) Definition of developer.--In this section, the term
``developer'' means a developer of transmission facilities or
transmission technologies, including a developer of
transmission facilities or transmission technologies that pays
to install advanced transmission technology with respect to
those transmission facilities or transmission technologies.
(2) Establishment of application guide.--Not later than 18
months after the date of enactment of this Act, the Secretary
shall establish an application guide for utilities and
developers seeking to implement advanced transmission
technologies.
(3) Updates.--The guide established under paragraph (2)
shall be reviewed and updated annually.
(4) Technical assistance.--
(A) In general.--On request of a utility or
developer using the guide established under paragraph
(2), the Secretary shall provide technical assistance
to that utility or developer with respect to the use of
advanced transmission technologies for particular
applications.
(B) Clearinghouse.--In carrying out subparagraph
(A), the Secretary shall establish a clearinghouse of
previously completed advanced transmission technology
projects that the Secretary, utilities, and developers
may use to identify issues and solutions relating to
the use of advanced transmission technologies for
particular applications.
(5) Authorization of appropriations.--There are authorized
to be appropriated to carry out this Act, to remain available
until expended--
(A) $5,000,000 for fiscal year 2026; and
(B) $1,000,000 for each of fiscal years 2027
through 2037.
SEC. 303. ELECTRICITY TRANSFORMERS.
(a) Defense Production Act.--There is authorized to be appropriated
$2,100,000,000 for the President, acting through the Secretary of
Energy, under the authority of title III of the Defense Production Act
of 1950 (50 U.S.C. 4531 et seq.), to expand domestic manufacturing of
transformers and grid components, including amorphous steel, grain-
oriented electrical steel, flexible transformers, circuit breakers,
switchgear and substations to serve load and interconnect generation,
and inverters and optimizers to integrate the influx of distributed
generators.
(b) Strategic Transformer Resilience Program.--
(1) Definitions.--In this section:
(A) Bulk-power system; electric reliability
organization.--The terms ``bulk-power system'' and
``Electric Reliability Organization'' have the meanings
given those terms in section 215(a) of the Federal
Power Act (16 U.S.C. 824o(a)).
(B) Independent system operator; regional
transmission organization; state regulatory
authority.--The terms ``Independent System Operator'',
``Regional Transmission Organization'', and ``State
regulatory authority'' have the meanings given those
terms in section 3 of the Federal Power Act (16 U.S.C.
796).
(C) Secretary.--The term ``Secretary'' means the
Secretary of Energy.
(2) Strategy and report.--
(A) In general.--Not later than 18 months after the
date of enactment of this Act, the Secretary shall
develop a strategy, and 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 identifying methods--
(i) to ensure that large power
transformers, generator step-up transformers,
power conversion equipment, grain-oriented
electrical steel, and other critical electric
grid equipment is strategically located to
ensure timely replacement of that equipment as
necessary to rapidly restore operation and
proper functioning of the electric grid in the
event of severe damage to the electric grid due
to physical attack, cyber attack,
electromagnetic pulses, geomagnetic
disturbances, severe weather, climate change,
or seismic events; and
(ii) to facilitate the transportation of
large power transformers, generator step-up
transformers, power conversion equipment,
grain-oriented electrical steel, and other
critical electric grid equipment.
(B) Considerations.--
(i) In general.--In developing the strategy
under paragraph (1), the Secretary shall
consider the need for, and the feasibility of
establishing, 1 or more federally owned
strategic equipment reserves, as appropriate,
to ensure nationwide access to large power
transformers, generator step-up transformers,
power conversion equipment, grain-oriented
electrical steel, and other critical electric
grid equipment.
(ii) Existing programs.--In carrying out
subparagraph (A), the Secretary may consider
existing spare transformer and equipment
programs and requirements established by the
private sector, Regional Transmission
Organizations, Independent System Operators,
and State regulatory authorities.
(C) Consultation required.--In carrying out this
subsection, the Secretary shall consult with--
(i) the Federal Energy Regulatory
Commission;
(ii) the Electricity Subsector Coordinating
Council;
(iii) the Electric Reliability
Organization;
(iv) manufacturers of large power
transformers, generator step-up transformers,
power conversion equipment, grain-oriented
electrical steel, and other critical electric
grid equipment;
(v) owners and operators of critical
electric infrastructure (as defined in section
215A(a) of the Federal Power Act (16 U.S.C.
824o-1(a))); and
(vi) owners and operators of military
installations (as defined in section 2801(c) of
title 10, United States Code) and defense sites
(as defined in section 2710(e) of that title),
including facilities designated as critical
defense facilities under section 215A(c) of the
Federal Power Act (16 U.S.C. 824o-1(c));
(3) Transformer resilience program.--In addition to the
strategy developed under subsection (b), the Secretary shall
establish a program--
(A) to improve large power transformers, generator
step-up transformers, power conversion equipment,
grain-oriented electrical steel, and other critical
electric grid equipment by reducing vulnerabilities
identified with respect to that equipment;
(B) to develop, test, and deploy innovative
equipment designs, including modular designs, that are
more flexible and offer greater resiliency with respect
to the operation and functioning of the electric grid;
(C) to coordinate with industry and manufacturers
to standardize large power transformers, generator
step-up transformers, power conversion equipment, and
other critical electric grid equipment;
(D) to monitor and test large power transformers,
generator step-up transformers, power conversion
equipment, and other critical electric grid equipment
that the Secretary determines may pose a risk to the
bulk-power system or national security; and
(E) to facilitate the domestic manufacturing of
large power transformers, generator step-up
transformers, power conversion equipment, grain-
oriented electrical steel, and other critical electric
grid equipment through--
(i) the issuance of grants and loans; and
(ii) the provision of technical support.
(4) Requirement.--
(A) In general.--All laborers and mechanics
employed by contractors or subcontractors in the
performance of construction, alteration, or repair work
carried out, in whole or in part, with financial
assistance made available under this section shall be
paid wages at rates not less than those prevailing on
projects of a character similar in the locality as
determined by the Secretary of Labor in accordance with
subchapter IV of chapter 31 of title 40, United States
Code.
(B) Authority.--With respect to the labor standards
specified in this subsection, 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.
(5) Authorization of appropriations.--There is authorized
to be appropriated to carry out this subsection $75,000,000 for
each of fiscal years 2026 through 2030, to remain available
until expended.
SEC. 304. STREAMLINING PERMITTING OF DISTRIBUTED ENERGY.
(a) Definitions.--In this section:
(1) Authority having jurisdiction.--The term ``authority
having jurisdiction'' means any State, county, local, or Tribal
office or official with jurisdiction--
(A) to issue permits relating to qualifying
distributed energy systems;
(B) to conduct inspections to enforce the
requirements of a relevant code or standard relating to
qualifying distributed energy systems; or
(C) to approve the installation of, or the
equipment and materials used in the installation of,
qualifying distributed energy systems.
(2) Qualifying distributed energy system.--The term
``qualifying distributed energy system'' means any equipment or
materials installed in, on, or near a residential building to
support onsite or local energy use, including--
(A) to generate electricity from distributed
renewable energy sources, including from--
(i) solar photovoltaic systems or similar
solar energy technologies; and
(ii) wind power systems;
(B) to store and discharge electricity from
batteries with a capacity of at least 2 kilowatt hours;
(C) to charge a plug-in electric drive vehicle at a
power rate of at least 2 kilowatts; or
(D) to refuel a hydrogen fuel cell electric
vehicle.
(3) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(b) Program.--Not later than 180 days after the date of enactment
of this Act, the Secretary, in consultation with trade associations and
other entities representing distributed energy system installers and
organizations representing State, local, and Tribal governments engaged
in permitting, shall carry out a program to further develop, expand,
and support the adoption of a voluntary streamlined permitting and
inspection process for authorities having jurisdiction to use for the
permitting of qualifying distributed energy systems.
(c) Activities of the Program.--In carrying out the program
established under subsection (b), the Secretary shall--
(1) further develop and expand an exemplary streamlined
permitting process that includes an online permitting
platform--
(A) for expediting, standardizing, and streamlining
permitting; and
(B) that authorities having jurisdiction may
voluntarily use to receive, review, and approve permit
applications relating to qualifying distributed energy
systems;
(2) establish targets for the adoption of a streamlined,
expedited permitting process by authorities having
jurisdiction;
(3) provide technical assistance and training directly or
indirectly to authorities having jurisdiction on using and
adopting the exemplary streamlined permitting process described
in paragraph (1), including the adoption of any necessary
building codes;
(4) develop a voluntary inspection protocol and related
tools to expedite, standardize, and streamline the inspection
of qualifying distributed energy systems, including--
(A) by investigating the potential for using remote
inspections;
(B) by investigating the potential for sample-based
inspection for distributed energy system installers
with a demonstrated track record of high-quality work;
and
(C) by investigating opportunities to integrate the
voluntary inspection protocol into the online
permitting platform described in paragraph (1) and the
platforms of government software providers; and
(5) take any other action to expedite, standardize,
streamline, or improve the process for permitting, inspecting,
or interconnecting qualifying distributed energy systems.
(d) Support Services.--The Secretary shall--
(1) support the provision of technical assistance to
authorities having jurisdiction, any administrator of the
online permitting platform described in subsection (c)(1),
government software providers, and any other entity determined
appropriate by the Secretary in carrying out the activities
described in subsection (c); and
(2) provide such financial assistance as the Secretary
determines appropriate from any funds appropriated to carry out
this section.
(e) Authority Having Jurisdiction Certification Program.--
(1) In general.--The Secretary may certify authorities
having jurisdiction that implement the exemplary streamlined
permitting process described in subsection (c)(1).
(2) Process.--The Secretary may confer a certification
under paragraph (1) through existing programs within the
Department of Energy.
(3) Prizes.--The Secretary may award prizes to authorities
having jurisdiction, using funds appropriated to the Secretary
to carry out this section, to encourage authorities having
jurisdiction to adopt the exemplary streamlined permitting
process or the voluntary inspection protocol established under
paragraphs (1) and (4) of subsection (c), respectively.
(f) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out this section $20,000,000 for
each of fiscal years 2027 through 2030.
SEC. 305. COMMUNITY SOLAR.
(a) Establishment of Community Solar Consumer Choice Program.--
(1) In general.--Not later than 12 months after the date of
enactment of this Act, the Secretary shall establish a program
to increase the opportunities for participation in community
solar programs by--
(A) individuals, prioritizing individuals that do
not have regular access to onsite solar, including low-
and moderate-income individuals and individuals living
in energy communities;
(B) businesses;
(C) nonprofit organizations; and
(D) States and local and Tribal governments.
(2) Alignment with existing federal programs.--The
Secretary shall align the program established under paragraph
(1) with existing Federal programs that serve low-income
communities.
(3) Assistance to state, tribal, and local governments.--In
carrying out the program established under paragraph (1), the
Secretary shall--
(A) provide technical assistance to eligible
entities for projects to increase the number of
community solar facilities;
(B) assist eligible entities in the development of
new and innovative financial and business models that
leverage competitive processes in order to serve
community solar subscribers; and
(C) use National Laboratories to collect and
disseminate data to assist private entities in the
financing of, subscription to, and operation of
community solar programs.
(b) Federal Government Participation in Community Solar Programs.--
The Secretary shall, as the Secretary determines appropriate, expand
the existing grant, loan, and financing programs of the Department of
Energy to include community solar programs.
(c) Establishment of Community Solar Programs.--
(1) In general.--Section 111(d) of the Public Utility
Regulatory Policies Act of 1978 (16 U.S.C. 2621(d)) is amended
by adding at the end the following:
``(22) Community solar programs.--
``(A) In general.--Each electric utility shall
offer a community solar program that provides all
ratepayers, including low-income ratepayers, equitable
and demonstrable access to such community solar
program. Such programs may include community solar
facilities owned or operated by non-utility entities
and shall not restrict participation to utility-owned
facilities.
``(B) Definitions.--For the purposes of this
paragraph:
``(i) Community solar program.--The term
`community solar program' means a service
provided to any electric consumer that the
electric utility serves through which the value
of electricity generated by a community solar
facility may be used to reduce total charges
billed to the electric consumer.
``(ii) Community solar facility.--The term
`community solar facility' means a solar
photovoltaic system that--
``(I) allocates electricity to
multiple electric consumers of an
electric utility;
``(II) is interconnected with the
electric grid; and
``(III) is located either on or off
the property of the electric consumers
described in subclause (I).''.
(2) Compliance.--
(A) Time limitations.--Section 112(b) of the Public
Utility Regulatory Policies Act of 1978 (16 U.S.C.
2622(b)) is amended by adding at the end the following:
``(9)(A) Not later than 12 months after the date of
enactment of this paragraph, each State regulatory authority
(with respect to each electric utility for which the State has
ratemaking authority) and each nonregulated electric utility
shall commence consideration under section 111, or set a
hearing date for consideration, with respect to the standard
established by paragraph (22) of section 111(d).
``(B) Not later than 24 months after the date of enactment
of this paragraph, each State regulatory authority (with
respect to each electric utility for which the State has
ratemaking authority), and each nonregulated electric utility
shall complete the consideration and make the determination
under section 111 with respect to the standard established by
paragraph (22) of section 111(d).''.
(B) Failure to comply.--Section 112(c) of the
Public Utility Regulatory Policies Act of 1978 (16
U.S.C. 2622(c)) is amended--
(i) by striking ``subsection (b)(2)'' and
inserting ``subsection (b)''; and
(ii) by adding at the end the following:
``In the case of the standard established by
paragraph (22) of section 111(d), the reference
contained in this subsection to the date of
enactment of this Act shall be deemed to be a
reference to the date of enactment of that
paragraph (22).''.
(C) Prior state actions.--
(i) In general.--Section 112 of the Public
Utility Regulatory Policies Act of 1978 (16
U.S.C. 2622) is amended by adding at the end
the following:
``(i) Prior State Actions.--Subsections (b) and (c) shall not apply
to the standard established by paragraph (22) of section 111(d) in the
case of any electric utility in a State if, before the date of
enactment of this subsection--
``(1) the State has implemented for the electric utility
the standard (or a comparable standard);
``(2) the State regulatory authority for the State or the
relevant nonregulated electric utility has conducted a
proceeding to consider implementation of the standard (or a
comparable standard) for the electric utility; or
``(3) the State legislature has voted on the implementation
of the standard (or a comparable standard) for the electric
utility.''.
(ii) Cross-reference.--Section 124 of the
Public Utility Regulatory Policies Act of 1978
(16 U.S.C. 2634) is amended by adding at the
end the following: ``In the case of the
standard established by paragraph (22) of
section 111(d), the reference contained in this
subsection to the date of enactment of this Act
shall be deemed to be a reference to the date
of enactment of that paragraph (22).''.
(d) Federal Contracts for Public Utility Services.--Section
501(b)(1) of title 40, United States Code, is amended by amending
subparagraph (B) to read as follows:
``(B) Public utility contracts.--A contract under
this paragraph for public utility services may be for a
period of not more than 30 years.''.
(e) Definitions.--In this section:
(1) Community solar facility; community solar program.--The
terms ``community solar facility'' and ``community solar
program'' have the meaning given such terms in paragraph (22)
of section 111(d) of the Public Utility Regulatory Policies Act
of 1978 (16 U.S.C. 2621(d)), as added by subsection (c) of this
section.
(2) Community solar subscriber.--The term ``community solar
subscriber'' means an electricity customer that receives or
purchases a proportional share of the output of a community
solar facility under an ownership, subscription, or power
purchase arrangement approved by the applicable regulatory
authority.
(3) Eligible entity.--The term ``eligible entity'' means--
(A) a State or political subdivision of a State;
(B) a unit of local government;
(C) an Indian Tribe (as defined in section 4 of the
Indian Self-Determination and Education Assistance Act
(25 U.S.C. 5304));
(D) a territory of the United States; or
(E) an authority, agency, or instrumentality of, or
an entity owned by, 1 or more entities described in
subparagraphs (A) through (D).
(4) Energy community.--The term ``energy community'' has
the meaning given such term in section 45(b)(11) of the
Internal Revenue Code of 1986 (26 U.S.C. 45(b)(11)).
(5) National laboratories.--The term ``National
Laboratories'' has the meaning given the term in section 2 of
the Energy Policy Act of 2005 (42 U.S.C. 15801).
(6) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
SEC. 306. LOW-COST, CLEAN ENERGY IN UNITED STATES TERRITORIES.
(a) Clean Energy Grant Program.--
(1) Establishment.--Not later than 180 days after the date
of enactment of this Act, the Secretary of Agriculture shall
establish a renewable energy program (in this section referred
to as the ``program'') under which the Secretary may award
grants to covered entities to facilitate projects, in
territories of the United States, described in paragraph (3).
(2) Applications.--To be eligible for a grant under the
program, a covered entity shall submit to the Secretary an
application at such time, in such form, and containing such
information as the Secretary may require.
(3) Grant uses.--
(A) In general.--A covered entity receiving a grant
under the program may use grant funds for a project, in
a territory of the United States--
(i) to develop or construct a renewable
energy system;
(ii) to carry out an activity to increase
energy efficiency or demand flexibility;
(iii) to develop or construct an energy
storage system or device for--
(I) a system developed or
constructed under clause (i); or
(II) an activity carried out under
clause (ii);
(iv) to develop or construct--
(I) a smart grid; or
(II) a microgrid; or
(v) to train residents of the territory of
the United States to develop, construct,
maintain, or operate a renewable energy system.
(B) Limitation.--A covered entity receiving a grant
under the program may not use grant funds to develop or
construct a facility that generates electricity using
energy derived from fossil fuels.
(4) Technical assistance.--The Secretary of Energy shall
ensure that Department of Energy national laboratories offer to
provide technical assistance to each covered entity carrying
out a project assisted with a grant under the program.
(5) Report.--Not later than 2 years after the establishment
of the program, and on an annual basis thereafter, the
Secretary shall submit to Congress a report containing--
(A) an estimate of the amount of funds disbursed
under the program;
(B) an estimate of the energy conservation achieved
as a result of the program;
(C) a description of challenges encountered in
implementing projects described in paragraph (3)(A);
(D) recommendations as to additional legislative
measures to increase the use of renewable energy in
territories of the United States, as appropriate;
(E) recommendations for improving resilience and
dependability of projects described in paragraph
(3)(A);
(F) recommendations for furthering the long-term
energy independence of U.S. territories covered by this
program; and
(G) findings regarding the effect of this program
on consumer energy prices and how it can be improved to
continue lowering those prices.
(6) Authorization of appropriations.--There are authorized
to be appropriated such sums as may be necessary to carry out
this section.
(b) GAO Study and Report.--
(1) In general.--
(A) Study and report.--Not later than 180 days
after the date of enactment of this Act, the
Comptroller General of the United States shall--
(i) conduct a study regarding renewable
energy, energy efficiency, and demand
flexibility in territories of the United
States; and
(ii) submit to Congress a report
containing--
(I) the findings of the study; and
(II) related recommendations.
(B) Components.--The study conducted under
subparagraph (A) shall consider, in relation to each
territory of the United States, the potential--
(i) to modify existing electric power
systems to use renewable energy sources;
(ii) to expand the use of microgrids; and
(iii) to improve energy resiliency.
(2) Authorization of appropriations.--There is authorized
to be appropriated $1,500,000 to carry out this section.
(c) Definitions.--In this Act, the following definitions apply:
(1) Covered entity.--The term ``covered entity'' means a
not-for-profit organization determined eligible by the
Secretary of Agriculture for purposes of this Act.
(2) Department of energy national laboratories.--The term
``Department of Energy national laboratories'' has the same
meaning as the term ``National Laboratory'' under section 2 of
the Energy Policy Act of 2005 (42 U.S.C. 15801).
(3) Microgrid.--The term ``microgrid'' means an electric
system--
(A) that serves the local community with a power
generation and distribution system; and
(B) that has the ability--
(i) to disconnect from a traditional
electric grid; and
(ii) to operate autonomously when
disconnected.
(4) Renewable energy; renewable energy system.--The terms
``renewable energy'' and ``renewable energy system'' have the
meanings given those terms in section 9001 of the Farm Security
and Rural Investment Act of 2002 (7 U.S.C. 8101).
(5) Smart grid.--The term ``smart grid'' means an
intelligent electric grid that uses digital communications
technology, information systems, and automation to, while
maintaining high system reliability--
(A) detect and react to local changes in usage;
(B) improve system operating efficiency; and
(C) reduce spending costs.
(6) Territory of the united states.--The term ``territory
of the United States'' means the Commonwealth of Puerto Rico,
Guam, the United States Virgin Islands, American Samoa, and the
Commonwealth of the Northern Mariana Islands.
TITLE IV--BUILDING OUT A 21ST CENTURY ELECTRICITY GRID
Subtitle A--Amendments to the Federal Power Act
SEC. 401. DEFINITIONS.
Section 3 of the Federal Power Act (16 U.S.C. 796) is amended by
adding at the end the following:
``(30) Energy storage project.--The term `energy storage
project' means equipment that receives, stores, and delivers
energy-using batteries, compressed air, pumped hydropower,
hydrogen storage (including hydrolysis), thermal energy
storage, regenerative fuel cells, flywheels, capacitors,
superconducting magnets, or other technologies identified by
the Secretary of Energy.
``(31) Generating facility.--The term `generating facility'
means any facility that generates electricity.
``(32) Generator tie line.--The term `generator tie line'
means a dedicated transmission line that is used to transmit
power from a generating facility or an energy storage project
to a transmission facility or a transmission system.
``(33) Greenhouse gas.--The term `greenhouse gas' includes
each of the following:
``(A) Carbon dioxide.
``(B) Methane.
``(C) Nitrous oxide.
``(D) Sulfur hexafluoride.
``(E) Any hydrofluorocarbon.
``(F) Any perfluorocarbon.
``(G) Nitrogen trifluoride.
``(H) Any fully fluorinated linear, branched, or
cyclic--
``(i) alkane;
``(ii) ether;
``(iii) tertiary amine; or
``(iv) aminoether.
``(I) Any perfluoropolyether.
``(J) Any hydrofluoropolyether.
``(K) Any other fluorocarbon, except for a
fluorocarbon with a vapor pressure of less than 1 mm of
Hg absolute at 25 degrees Celsius.
``(34) Advanced transmission technology.--The term
`advanced transmission technology' means any hardware or
software that--
``(A) increases the capacity, efficiency,
reliability, resilience, or safety of transmission
facilities and transmission technologies;
``(B) is installed in addition to new or existing
transmission facilities and transmission technologies--
``(i) to give operators of the transmission
facilities and transmission technologies more
situational awareness and control over the
electric grid;
``(ii) to make the transmission facilities
and transmission technologies more efficient;
or
``(iii) to increase the transfer capacity
of the transmission facilities and transmission
technologies; and
``(C) includes, but is not limited to, dynamic line
ratings, advanced conductors, topology optimization,
advanced power-flow controls, and other digital or
physical systems that increase the usable transfer
capability of the grid.
``(35) Interconnection customer.--The term `interconnection
customer' means an entity, or any affiliates or subsidiaries of
an entity, that proposes to interconnect a generating facility
or an energy storage project to a transmission facility or
transmission system.
``(36) Transmission benefits.--The term `transmission
benefits' means the broad range of economic, operational,
safety, resilience, public policy, and environmental benefits
(as assessed by the Commission in accordance with section
224(e)) and other reasonably anticipated benefits of
constructing, modifying, or operating a transmission facility,
including--
``(A) improved reliability;
``(B) improved resilience;
``(C) improved safety;
``(D) reduced congestion;
``(E) reduced power losses;
``(F) greater carrying capacity;
``(G) reduced operating reserve requirements;
``(H) improved access to lower-cost electricity
generation;
``(I) improved access to electricity generating
facilities with no direct emissions of greenhouse
gases;
``(J) improved public health from the closure of
electricity generation facilities that emit harmful
pollution;
``(K) increased competition and market liquidity in
electricity markets;
``(L) improved energy resilience and resilience of
Department of Defense installations;
``(M) improved ability to integrate new sources of
electrical demand; and
``(N) other potential benefits of increasing the
interconnectedness of the electric grid.
``(37) Network upgrade.--The term `network upgrade' means--
``(A) any addition to or expansion of any
transmission facility or transmission system;
``(B) the construction of a new transmission
facility that will become part of a transmission
system;
``(C) the addition of an energy storage project to
a transmission facility or a transmission system; or
``(D) any construction, deployment, or addition of
an advanced transmission technology to a transmission
facility or a transmission system that eliminates or
reduces the need to carry out any of the activities
described in subparagraphs (A) through (C).
``(38) Participant funding.--The term `participant funding'
means any cost allocation method under which an interconnection
customer is required to pay, without reimbursement, all or a
disproportionate amount of the costs of a network upgrade that
is determined by the Commission to be necessary to ensure the
reliable interconnection of the interconnection customer's
generating facility or energy storage project.
``(39) Transmission planning region.--The term
`transmission planning region' means--
``(A) when used in a geographical sense, a region
for which the Commission determines that electric
transmission planning is appropriate, such as a region
established in accordance with Order No. 1000 of the
Commission, entitled `Transmission Planning and Cost
Allocation by Transmission Owning and Operating Public
Utilities' (76 Fed. Reg. 49842 (August 11, 2011)); and
``(B) when used in a corporate sense, means the
Transmission Organization or other entity responsible
for planning or operating electric transmission
facilities within a region described in subparagraph
(A).
``(40) Transmission system.--For purposes of sections 224
and 227, the term `transmission system' means a network of
transmission facilities used for the transmission of electric
energy in interstate commerce.''.
SEC. 402. INTERREGIONAL ELECTRIC TRANSMISSION PLANNING.
Part II of the Federal Power Act (16 U.S.C. 824 et seq.) is amended
by adding at the end the following:
``SEC. 224. IMPROVING INTERREGIONAL ELECTRIC TRANSMISSION PLANNING.
``(a) In General.--Not later than 6 months after the date of
enactment of this section, the Commission shall issue regulations that
require each pair or grouping of neighboring transmission planning
regions to jointly develop and file with the Commission a process by
which they will develop an interregional transmission plan to identify
and to facilitate the construction or upgrade of onshore and offshore
electric transmission facilities that are efficient, cost-effective,
and broadly beneficial. Such process must address the considerations in
subsection (b) and be filed within 6 months after the regulations
required by this paragraph are finalized. Such process must require
development of an interregional transmission plan within at least 3
years of the promulgation of the regulations and that a new plan be
developed at least every 3 years thereafter, in alignment with long-
term regional transmission plans developed under Orders 1920 and 1920-A
(89 Fed. Reg. 49280 and 89 Fed. Reg. 97174).
``(b) Considerations.--In determining the requirements for a
process described in subsection (a), the Commission shall require that
such process advance--
``(1) the development of transmission systems that can
operate for a minimum of 20 years and across a wide range of
scenarios, including scenarios that take into account--
``(A) Federal, State, and local laws and
regulations, and other factors that affect electricity
demand and the current and future generation resource
mix;
``(B) trends in technology and fuel costs;
``(C) the retirement of generation facilities,
energy storage projects, and transmission facilities;
``(D) generator interconnection requests and
withdrawals; and
``(E) extreme weather events, including in
anticipation of how the frequency and intensity of
these events are projected to change over the planning
period due to climate change;
``(2) the public interest;
``(3) the integrity of electricity markets;
``(4) the protection of consumers;
``(5) the optimization of transmission benefits;
``(6) the need for an individual interregional transmission
project to secure approvals based on a comprehensive assessment
of the multiple benefits provided;
``(7) the importance of synchronization of planning
processes in neighboring transmission planning regions, such as
using a joint model on a consistent timeline with a single set
of needs, input assumptions, and benefit metrics;
``(8) the need for an individual interregional transmission
project that is identified in the interregional transmission
plan of a pair of transmission planning regions not to be
subject to any subsequent planning process by other
transmission planning regions;
``(9) that evaluation of long-term scenarios should align
with the expected life of an element of a transmission system;
``(10) that a pair of transmission planning regions should
allow for the identification and joint evaluation of
alternatives proposed by stakeholders, and ensure meaningful
opportunities for States, Tribes, consumer advocates, labor
organizations, and environmental justice communities to
participate;
``(11) the need to eliminate arbitrary project voltage,
size, or cost requirements for transmission projects;
``(12) the applicability of a broad range of alternatives
to the construction of transmission facilities, including
advanced transmission technologies, demand side flexibility,
distributed storage, load management, dynamic line rating, and
power flow control; and
``(13) the use of data and analyses provided by the
Secretary of Energy, including as provided by the National
Laboratories, regarding any of the items described in
paragraphs (1) through (12).
``(c) Report.--Not later than 12 months after the issuance of
regulations under subsection (a) and annually thereafter, the
Commission shall publish in the Federal Register a report on the
progress by each pair of transmission planning regions in identifying
and facilitating the construction of interregional electric
transmission projects, including a description of the transmission
benefits associated with such projects.
``(d) Environmental Benefits.--In assessing the environmental
benefits associated with any activity undertaken pursuant to this Act,
the Commission may use any relevant analysis or other information
conducted or provided by the Council on Environmental Quality and the
Environmental Protection Agency.''.
SEC. 403. ALLOCATION OF COSTS OF ELECTRIC TRANSMISSION FACILITIES OF
NATIONAL SIGNIFICANCE.
Part II of the Federal Power Act (16 U.S.C. 824 et seq.) is further
amended by adding at the end the following:
``SEC. 225. ALLOCATION OF COSTS OF TRANSMISSION FACILITIES OF NATIONAL
SIGNIFICANCE.
``(a) Allocation of Costs.--
``(1) In general.--Any transmitting utility that owns,
controls, or operates a transmission facility of national
significance, or proposes to own, control, or operate a
transmission facility of national significance, may file a
tariff with the Commission in accordance with section 205
allocating the costs of constructing, modifying, and operating
such transmission facility of national significance in
accordance with paragraph (2).
``(2) Cost allocation principle.--The Commission shall
require that any tariff described in paragraph (1) allocate the
cost to construct, modify, and operate a transmission facility
of national significance to customers within the applicable
transmission planning region or regions in a manner that is
roughly commensurate with the reasonably anticipated
transmission benefits. Additionally, the Commission shall
require that any proposed calculation of reasonably anticipated
transmission benefits make the assumptions and calculations
behind such calculation public and included in any tariff
described in paragraph (1).
``(3) Commission authority.--If the Commission determines
that no tariff filed under paragraph (1) provides for a just,
reasonable, and not unduly discriminatory allocation of costs
for a transmission facility of national significance, the
Commission may, after notice and opportunity for hearing,
establish or modify such allocation under section 206,
provided, however, that nothing in this section shall prevent a
transmitting utility from recovering such costs through
voluntary agreement with its customers.
``(b) Definition of Transmission Facility of National
Significance.--In this section, the term `transmission facility of
national significance' means--
``(1) an interstate or interregional electric power
transmission line (and any facilities necessary for the
operation of such electric power transmission line)--
``(A) that has a transmission capacity of not less
than 1,000 megawatts; and
``(B) the construction of which is completed on or
after the date of enactment of this section;
``(2) an electric power transmission line or network,
located in whole or in part offshore (including any radial,
meshed, or shared facilities necessary for its operation), the
construction of which is completed on or after the date of
enactment of this section; or
``(3) an expansion of, or upgrade to, an interstate
electric power transmission line (and any facilities necessary
for the operation of such electric power transmission line)
that--
``(A) increases the transmission capacity of such
electric power transmission line by at least 500
megawatts; and
``(B) the construction of which is completed on or
after the date of enactment of this section.
``(c) Savings Provision.--This section does not affect the
authority of the Commission to approve the allocation of costs of
transmission facilities other than transmission facilities of national
significance.''.
SEC. 404. MINIMUM INTERREGIONAL TRANSFER CAPABILITY.
Part II of the Federal Power Act (16 U.S.C. 824 et seq.) is further
amended by adding at the end the following:
``SEC. 226. PROTECTING ELECTRICITY RELIABILITY BY IMPROVING
INTERREGIONAL TRANSFER CAPABILITY.
``(a) Rulemaking.--Notwithstanding the requirements of section 322
of the Fiscal Responsibility Act (Public Law 118-5), not later than 24
months after the date of enactment of the Energy Bills Relief Act, the
Commission shall, pursuant to section 206, issue regulations that
establish requirements for minimum transfer capability, as described
under subsection (b), between transmission planning regions.
``(b) Minimum Transfer Capability.--The aggregate minimum
interregional transfer capability for each transmission planning region
and its neighboring transmission planning region shall be not less than
30 percent of its own peak electricity demand, or in the case of a
transmission planning region that borders only 1 other transmission
planning region, not less than 15 percent of its own peak electricity
demand, unless the Commission finds, upon a showing by a transmission
planning region, that a lower transfer capability can achieve the same
or greater transmission benefits.
``(c) Report.--Not later than 5 years after the date of enactment
of this section and every 5 years thereafter, the Commission shall
report to Congress on the status of interregional transfer capability,
including on risks to reliability associated with a lack of
interregional transfer capability.''.
SEC. 405. INCREASED FERC TRANSMISSION SITING AUTHORITY.
(a) In General.--Part II of the Federal Power Act (16 U.S.C. 824 et
seq.) is further amended by adding at the end the following:
``SEC. 227. SITING OF CERTAIN INTERSTATE ELECTRIC TRANSMISSION
FACILITIES.
``(a) Certificate of Public Convenience and Necessity.--
``(1) In general.--On receipt of an application under
subsection (b)(1) relating to a transmission facility of
national significance described in paragraph (2), the
Commission, after making the finding described in paragraph (3)
with respect to such transmission facility of national
significance, shall, by order which is published in the Federal
Register, issue to the person who submitted such application a
certificate of public convenience and necessity for the
construction, modification, or operation of such transmission
facility of national significance, subject to such reasonable
terms and conditions as the Commission determines to be
appropriate.
``(2) Transmission facility of national significance
described.--A transmission facility of national significance
referred to in paragraph (1) is an interstate or interregional
electric power transmission line (and any facilities necessary
for the operation of such electric power transmission line)--
``(A) that has a transmission capacity of not less
than 1,000 megawatts; and
``(B) the construction of which is completed on or
after the date of enactment of this section.
``(3) Finding described.--The finding referred to in
paragraph (1) is a finding that--
``(A) the applicant for a certificate of public
convenience and necessity is able and willing--
``(i) to carry out the activities and
perform the services proposed in the
application in a manner determined to be
appropriate by the Commission; and
``(ii) to achieve compliance with the
applicable requirements of--
``(I) this part; and
``(II) any rules and regulations
promulgated by the Commission pursuant
to this part;
``(B) the transmission facility of national
significance to be constructed, modified, or operated
under the certificate of public convenience and
necessity will--
``(i) be interstate or interregional;
``(ii) be used for the transmission of
electric energy in interstate commerce; and
``(iii) have a transmission capacity of not
less than 1,000 megawatts.
``(4) Rulemaking.--Not later than 18 months after the date
of enactment of this section, the Commission shall issue
regulations specifying--
``(A) a pre-filing process during which a person
described in subsection (b)(1) and the Commission shall
consult with--
``(i) the State commission for each State
through which the applicable transmission
facility of national significance will
traverse;
``(ii) appropriate Federal agencies;
``(iii) each Indian Tribe that may be
affected by the proposed project to construct,
modify, or operate a transmission facility of
national significance; and
``(iv) the appropriate Transmission
Organization;
``(B) the form of, and information to be contained
in, an application submitted under subsection (b)(1);
``(C) requirements for determining whether the
applicable transmission facility of national
significance will--
``(i) traverse not fewer than 2 States;
``(ii) be used for the transmission of
electric energy in interstate commerce; and
``(iii) have a power capacity of not less
than 1,000 megawatts;
``(D) criteria for determining the reasonable and
economical use of--
``(i) existing rights-of-way; and
``(ii) the transmission capabilities of
existing towers or structures;
``(E) the manner in which an application submitted
under subsection (b)(1) shall be considered, which, to
the extent practicable, shall be consistent with State
statutory and regulatory policies concerning generation
and retail sales of electricity in the States in which
the electric energy transmitted by the transmission
facility of national significance will be generated or
sold; and
``(F) the manner in which the Commission will
consider the needs of communities that will be impacted
directly by the applicable transmission facility of
national significance, including how any impacts of the
transmission facility of national significance could be
mitigated or offset.
``(5) Publication, public comment, and hearings for certain
notice of intent and draft environmental impact statements.--
``(A) Publication.--The Commission shall publish in
the Federal Register a notice of intent to prepare an
environmental document under the National Environmental
Policy Act of 1969 (42 U.S.C. 4321 et seq.) with
respect to an application for a certificate of public
convenience and necessity that has been submitted under
subsection (b)(1).
``(B) Public comment.--The Commission shall provide
not less than 60 days for public comment on each notice
of intent and draft environmental impact statement
published under subparagraph (A).
``(C) Hearing.--The Commission shall provide to the
individuals and entities described in paragraph (6)(B)
a reasonable opportunity for presentation, in at least
1 public hearing, of any views and recommendations on
each notice of intent and each draft environmental
impact statement published under subparagraph (A). The
Commission shall publish in the Federal Register notice
of any hearing held under this subparagraph.
``(6) Notice and opportunity for a hearing on
applications.--
``(A) In general.--In any proceeding before the
Commission to consider an application for a certificate
of public convenience and necessity under this section,
the Commission shall--
``(i) publish a notice of the application
in the Federal Register;
``(ii) provide written notice of such
application to all affected landowners in
accordance with subsection (c); and
``(iii) provide to the individuals and
entities described in subparagraph (B) a notice
and reasonable opportunity for the presentation
in at least 1 public hearing of any views and
recommendations with respect to the need for,
and impact of, the construction, modification,
or operation of the transmission facility of
national significance proposed to be
constructed, modified, or operated under the
certificate.
``(B) Individuals and entities described.--The
individuals and entities referred to in subparagraph
(A) are--
``(i) an agency, selected by the Governor
(or equivalent official) of the applicable
State, of each State in which the transmission
facility of national significance proposed to
be constructed, modified, or operated under the
applicable certificate of public convenience
and necessity is or will be located;
``(ii) each affected landowner; and
``(iii) as determined by the Commission--
``(I) each affected Federal agency;
and
``(II) each Indian Tribe that may
be affected by the proposed
construction, modification, or
operation.
``(C) Prohibition.--The Commission may not--
``(i) require an applicant for a
certificate of public convenience and necessity
under this section to provide any notice
required under this section; or
``(ii) enter into a contract to provide any
notice required under this section with--
``(I) the applicant for the
applicable certificate of public
convenience and necessity; or
``(II) any other person that has a
financial interest in the project
proposed in the application for such
certificate.
``(b) Applications.--
``(1) In general.--A person desiring a certificate of
public convenience and necessity under this section shall
submit to the Commission an application at such time, in such
manner, and containing such information as the Commission may
require.
``(2) Requirement.--An application submitted to the
Commission under paragraph (1) shall include all information
necessary for the Commission to make the finding described in
subsection (a)(3).
``(c) Notice to Affected Landowners.--
``(1) In general.--The Commission shall provide written
notice of an application submitted under subsection (b)(1) to
all affected landowners with respect to the transmission
facility of national significance for which such application
was submitted in accordance with this subsection.
``(2) Requirements.--Any notice provided to an affected
landowner under paragraph (1) shall include the following:
``(A) The following statement in 14-point bold
typeface:
```The [name of applicant] has proposed building power
lines that will cross your property, and may also
require building transmission towers on your property.
If the Federal Energy Regulatory Commission approves
[applicant]'s proposed project, then [applicant] may
have the right to build transmission towers on, and
power lines over, your property, or use your property
to construct the proposed project, subject to paying
you just compensation for the loss of your property.
```If you want to raise objections to, offer support
for, or otherwise comment on this, or otherwise comment
on this project, you can do so by submitting written
comments to the Federal Energy Regulatory Commission
Docket No. [___]. You can do this electronically or by
mail. To do so electronically [to be inserted by the
Commission]. To do so by mail [to be inserted by the
Commission].'.
``(B) A description of the proposed project to
construct, modify, or operate a transmission facility
of national significance, including--
``(i) the location of the proposed project
(including a general location map);
``(ii) the purpose of the proposed project;
and
``(iii) the timing of the proposed project.
``(C) The name of, and the location in the docket
of the Commission at which may be found, each
submission by the applicant to the Commission relating
to the proposed project.
``(D) A general description of what the applicant
will need from the landowner if the proposed project is
approved, including the activities the applicant may
undertake and the facilities that the applicant may
seek to construct on the property of the landowner.
``(E) A description of how the landowner may
contact the applicant, including--
``(i) a website;
``(ii) an email address;
``(iii) a local or toll-free telephone
number; and
``(iv) the name of a specific person to
contact who is knowledgeable about the proposed
project.
``(F) A description of how the landowner may
contact the Commission, including--
``(i) a website;
``(ii) an email address;
``(iii) a local or toll-free telephone
number; and
``(iv) the name of a specific person to
contact who is knowledgeable about the proposed
project.
``(G) A summary of the rights that the landowner
has--
``(i) before the Commission; and
``(ii) in other proceedings under--
``(I) the Federal Rules of Civil
Procedure; and
``(II) the eminent domain rules of
the relevant State.
``(H) Any other information that the Commission
determines to be appropriate.
``(3) Obligation of applicant.--An applicant for a
certificate of public convenience and necessity under this
section shall submit to the Commission, together with the
application for the certificate, the name and address of each
affected landowner.
``(d) Regulatory Jurisdiction.--
``(1) In general.--Except as provided in paragraph (2) and
notwithstanding section 216(i), no State shall regulate any
aspect of the siting or permitting of a transmission facility
of national significance constructed, modified, or operated
under a certificate of public convenience and necessity issued
under this section.
``(2) Savings clause.--Nothing in this section affects the
rights of States under--
``(A) the Coastal Zone Management Act of 1972 (16
U.S.C. 1451 et seq.);
``(B) the Federal Water Pollution Control Act (33
U.S.C. 1251 et seq.);
``(C) the Clean Air Act (42 U.S.C. 7401 et seq.);
or
``(D) division A of subtitle III of title 54,
United States Code (formerly known as the `National
Historic Preservation Act').
``(3) Tribal consent for certain rights-of-way.--No right-
of-way over or across Tribal land may be granted pursuant to
this section unless consent for the right-of-way has been
obtained from the proper Tribal official in a manner consistent
with the requirements of section 2 of the Act of February 5,
1948 (62 Stat. 18, chapter 45; 25 U.S.C. 324).
``(e) Judicial Review.--
``(1) In general.--Any person aggrieved by an order of the
Commission issued under this section may obtain review of the
order in--
``(A) the court of appeals of the United States for
any judicial circuit in which the transmission facility
of national significance to be constructed, modified,
or operated under the applicable certificate of public
convenience and necessity is or will be located; or
``(B) the United States Court of Appeals for the
District of Columbia Circuit.
``(2) Petition for review.--
``(A) In general.--A person may obtain review under
paragraph (1) by filing in the applicable court a
written petition praying that the order of the
Commission be modified or set aside in whole or in
part.
``(B) Timing.--A petition under subparagraph (A)
shall be filed by not later than 60 days after the date
on which the applicable order of the Commission is
published in the Federal Register.
``(3) Person aggrieved.--Notwithstanding any other
provision of this Act, a person aggrieved by an order of the
Commission issued under this section need not--
``(A) have been a party to the proceedings before
the Commission in which that order was issued in order
to obtain judicial review of the order under this
subsection; or
``(B) have requested rehearing before the
Commission prior to seeking judicial review.
``(f) Right of Eminent Domain for Electric Transmission
Facilities.--
``(1) In general.--The holder of a certificate of public
convenience and necessity may acquire through the exercise of
the right of eminent domain in a court described in paragraph
(2) any right-of-way, land, or other property that is necessary
to construct, modify, or operate a transmission facility of
national significance in accordance with such certificate if
the holder has, in the determination of the Commission, made
good faith efforts to engage with landowners and other
stakeholders early in the permitting process established under
this section, and--
``(A) cannot acquire the necessary right-of-way,
land, or other property by contract;
``(B) is unable to agree with the owner of the
right-of-way, land, or other property with respect to
the compensation to be paid for that right-of-way,
land, or other property; or
``(C) cannot clear defective title with respect to
the right-of-way, land, or other property.
``(2) Court described.--A court referred to in paragraph
(1) is--
``(A) the district court of the United States for
the district in which the applicable right-of-way,
land, or other property is located; or
``(B) the appropriate State court.
``(3) Notice of order issuing certificate.--The holder of a
certificate of public convenience and necessity may not
exercise the right of eminent domain under this subsection with
respect to any property covered by the certificate unless the
Commission has first, in addition to publishing the notice of
certificate of public convenience and necessity in the Federal
Register, provided all affected landowners with notice of--
``(A) the order; and
``(B) the procedures for obtaining judicial review
of such order under subsection (e), including a
description of the time period for seeking judicial
review under that subsection.
``(g) Condemnation Procedures.--
``(1) Appraisals.--
``(A) In general.--A holder of, or applicant for, a
certificate of public convenience and necessity shall
have any property that the holder or applicant seeks to
acquire through the exercise of the right of eminent
domain under subsection (f) appraised in accordance
with generally accepted appraisal standards by an
appraiser selected by the owner of the property,
subject to subparagraph (D).
``(B) Requirements.--
``(i) Costs.--The applicable holder of, or
applicant for, a certificate of public
convenience and necessity shall pay for each
appraisal carried out under subparagraph (A).
``(ii) Inspections.--The owner of the
applicable property (or a designated
representative of the owner) shall be given the
opportunity to accompany the appraiser during
any inspection of the property that is part of
an appraisal under subparagraph (A).
``(C) Timing.--An appraisal under subparagraph (A)
shall be carried out before--
``(i) the holder of, or applicant for, the
certificate of public convenience and necessity
makes an offer of just compensation under
paragraph (2); or
``(ii) the holder of the certificate of
public convenience and necessity commences an
action or proceeding to exercise the right of
eminent domain under subsection (f).
``(D) Selection of appraiser.--If the owner of the
applicable property does not select an appraiser under
subparagraph (A) by the date that is 60 days after the
date on which the holder of, or applicant for, the
applicable certificate of public convenience and
necessity requests that the owner do so, the holder or
applicant shall have the right to select the appraiser.
``(2) Offers of just compensation.--
``(A) In general.--Any offer of just compensation
made to an affected landowner of property that is or
will be covered by a certificate of public convenience
and necessity--
``(i) shall be made in writing;
``(ii) may not be for an amount less than
the fair market value of the property, as
determined by an appraisal carried out under
paragraph (1); and
``(iii) shall include compensation for--
``(I) any lost income from the
property; and
``(II) any damages to any other
property of the owner.
``(B) Timing.--The holder of a certificate of
public convenience and necessity may not make an offer
of just compensation to an affected landowner until the
date that is 30 days after the date on which the
Commission provides a notice to the affected landowner
under subsection (f)(3).
``(3) Jurisdictional limitations.--
``(A) Minimum jurisdictional amount.--A district
court of the United States shall only have jurisdiction
of an action or proceeding to exercise the right of
eminent domain under subsection (f) if the amount
claimed by the owner of the property to be condemned
exceeds $3,000.
``(B) Tribal land.--A district court of the United
States shall have no jurisdiction to condemn any
interest in Tribal land.
``(4) Limitation on condemnation.--In any action or
proceeding to exercise the right of eminent domain under
subsection (f), a court--
``(A) may condemn an interest in property only to
the extent necessary for the specific facilities
described in the applicable certificate of public
convenience and necessity; and
``(B) may not--
``(i) condemn any other interest; or
``(ii) condemn an interest for any purpose
not described in that certificate.
``(5) Right of possession.--With respect to any action or
proceeding to exercise the right of eminent domain under
subsection (f), an owner of property that is covered by the
applicable certificate of public convenience and necessity
shall not be required to surrender possession of that property
unless the holder of the certificate--
``(A) has paid to the owner the award of
compensation in the action or proceeding; or
``(B) has deposited the amount of that award with
the court.
``(6) Litigation costs.--
``(A) In general.--A holder of a certificate of
public convenience and necessity that commences an
action or proceeding to exercise the right of eminent
domain under subsection (f) shall be liable to the
owner of any property condemned in that proceeding for
the costs described in subparagraph (B) if the amount
awarded to that owner for the property condemned is
more than 125 percent of the amount offered to the
owner by the holder before the commencement of that
action or proceeding.
``(B) Costs described.--The costs referred to in
subparagraph (A) are litigation costs incurred for the
action or proceeding described in that subparagraph by
the owner of the property condemned, including--
``(i) reasonable attorney fees;
``(ii) expert witness fees and costs; and
``(iii) reasonable travel costs to
participate in proceedings.
``(h) Enforcement of Conditions.--
``(1) In general.--An affected landowner the property of
which has been acquired by eminent domain under subsection (f)
shall have the right--
``(A) to enforce any condition in the applicable
certificate of public convenience and necessity; and
``(B) to seek damages for a violation of any
condition described in subparagraph (A).
``(2) Jurisdiction.--The district courts of the United
States shall have jurisdiction over any action arising under
paragraph (1).
``(i) Other Landowner Rights and Protections.--
``(1) Failure to timely complete projects.--
``(A) Surrender of condemned property.--
``(i) In general.--An individual or entity
from which an interest in property is acquired
through the exercise of the right of eminent
domain under subsection (f) by the holder of a
certificate of public convenience and necessity
that is issued for the construction,
modification, or operation of a transmission
facility of national significance may demand
that the holder of the certificate surrender
that interest to that individual or entity if--
``(I)(aa) the transmission facility
of national significance is not in
operation (as modified, in the case of
a modification of a transmission
facility of national significance) by
the date specified in the certificate
(including any modification of the
certificate by the Commission); and
``(bb) there is no request for the
extension of that date pending before
the Commission; or
``(II) subject to clause (ii), the
holder of the certificate, with the
approval of the Commission, abandons
the portion of the transmission
facility of national significance that
is located on the applicable property
relating to that interest.
``(ii) Requirement.--The Commission may not
approve in a certificate of public convenience
and necessity issued under this section or in
any subsequent proceeding the abandonment of
all or any part of a transmission facility of
national significance unless the Commission
requires the holder of the applicable
certificate of public convenience and necessity
to offer to each individual or entity described
in clause (i) the option of having the property
acquired from that individual or entity as
described in that clause restored to the
condition that the property was in prior to the
issuance of the certificate.
``(B) Repayment of condemnation award.--If an
individual or entity described in subparagraph (A)(i)
demands the surrender of an interest under that
subparagraph, the holder of the applicable certificate
of public convenience and necessity shall be entitled
to repayment of an amount equal to not more than 50
percent of the condemnation award relating to the
interest.
``(C) Jurisdiction.--The district courts of the
United States shall have jurisdiction over any action
arising under this paragraph.
``(2) Material misrepresentations.--
``(A) Rescission of transaction.--
``(i) In general.--An individual or entity
from which an interest in property is acquired
through the exercise of the right of eminent
domain under subsection (f) that proves, by a
preponderance of the evidence, that the
individual or entity has granted a right-of-way
or any other property interest based on a
material misrepresentation made by or on behalf
of an applicant for, or holder of, a
certificate of public convenience and necessity
under this section concerning the transmission
facility of national significance to be
constructed, modified, or operated under the
certificate shall have the right to rescind the
transaction.
``(ii) Jurisdiction.--The district courts
of the United States shall have jurisdiction
over any action arising under clause (i).
``(B) Civil penalties.--A material
misrepresentation made by an applicant for, or holder
of, a certificate of public convenience and necessity,
or on behalf of such an applicant or holder, to an
affected landowner concerning the transmission facility
of national significance to be constructed, modified,
or operated under the certificate, shall be considered
to be a violation of this part for purposes of section
316A and such applicant or holder shall be assessed a
civil penalty by the Commission in accordance with such
section 316A, except the amount of such civil penalty
may not exceed $10,000 per affected landowner to whom
the misrepresentation was made.
``(j) Definitions.--In this section:
``(1) Affected landowner.--
``(A) In general.--The term `affected landowner'
includes each owner of a property interest in land or
other property described in subparagraph (B),
including--
``(i) the Federal Government;
``(ii) a State or local government; and
``(iii) each owner noted in the most recent
county or city tax record as receiving the
relevant tax notice with respect to that
interest.
``(B) Land and other property described.--The land
or other property described in this subparagraph is any
land or other property--
``(i) that is directly affected by the
proposed construction, modification, or
operation of a transmission facility of
national significance, including all facility
sites;
``(ii) that is located within the greater
of--
``(I) 0.25 miles from a proposed
facility site for a transmission
facility of national significance; or
``(II) a minimum distance from the
proposed transmission facility of
national significance as specified by
State law; or
``(iii) contains a residence that is within
3,000 feet of a proposed facility site for a
transmission facility of national significance.
``(2) Alternating current transmission facility.--The term
`alternating current transmission facility' means a
transmission facility that uses alternating current for the
bulk transmission of electric energy.
``(3) Electric power transmission line.--The term `electric
power transmission line' means, as applicable--
``(A) an alternating current transmission facility;
``(B) a high-voltage, direct current transmission
facility; or
``(C) infrastructure associated with an alternating
current transmission facility or a high-voltage, direct
current transmission facility, including substations
and switchyards.
``(4) Facility site.--The term `facility site' includes--
``(A) an area covered by a right-of-way;
``(B) an access road;
``(C) a contractor yard where equipment and
material are stored or where assembly work is
conducted; and
``(D) any temporary workspace.
``(5) High-voltage, direct current transmission facility.--
The term `high-voltage, direct current transmission facility'
means a transmission facility that uses direct current for the
bulk transmission of electric energy.
``(6) Tribal land.--The term `Tribal land' has the meaning
given the term `Indian land' in section 2601 of the Energy
Policy Act of 1992 (25 U.S.C. 3501).''.
(b) Conforming Changes to the Federal Power Act.--
(1) Siting of interstate electric transmission
facilities.--Section 216 of the Federal Power Act (16 U.S.C.
824p) is amended--
(A) in subsection (b)(2), by inserting ``(including
transmission of electric energy from the outer
Continental Shelf to a State)'' after ``interstate
commerce''; and
(B) in subsection (h)--
(i) by amending paragraph (2) to read as
follows:
``(2) Lead agency.--For the purposes of coordinating all
applicable Federal authorizations and related environmental
reviews--
``(A) the Commission shall act as the lead agency
in the case of--
``(i) except as provided in subparagraph
(B), a transmission facility of national
significance in a national interest electric
transmission corridor designated by the
Secretary under subsection (a); or
``(ii) a transmission facility of national
significance for which an application has been
submitted for a certificate of public
convenience and necessity under section 227;
``(B) the Department of the Interior shall act as
the lead agency in the case of a transmission facility
of national significance in a national interest
electric transmission corridor designated by the
Secretary under subsection (a) that is located on a
lease, easement, or right-of-way granted by the
Secretary of the Interior under section 8(p)(1)(C) of
the Outer Continental Shelf Lands Act (43 U.S.C.
1337(p)(1)(C)); and
``(C) the Department of Energy shall act as the
lead agency in the case of any other transmission
facility of national significance.'';
(ii) in each of paragraphs (3), (4)(B),
(4)(C), (5)(B), (6)(A), (7)(A), (8)(A)(i), and
(9), by striking ``Secretary'' each place it
appears and inserting ``applicable lead
agency'';
(iii) in paragraph (4)(A), by striking ``As
head of the lead agency, the Secretary'' and
inserting ``The applicable lead agency'';
(iv) in paragraph (5)(A), by striking ``As
lead agency head, the Secretary'' and inserting
``The applicable lead agency''; and
(v) in paragraph (7)--
(I) in subparagraph (A), by
striking ``after the date of enactment
of this section'' and inserting ``after
the date of enactment of the Energy
Bills Relief Act''; and
(II) in subparagraph (B), by
amending clause (i) to read as follows:
``(i) Not later than six months after the date of enactment
of the Energy Bills Relief Act, the Secretary, the Commission,
and the heads of all Federal agencies with authority to issue
Federal authorizations shall enter into a memorandum of
understanding to ensure the timely and coordinated review and
permitting of electric transmission facilities.''.
(2) Transmission infrastructure investment.--Section
219(b)(4)(B) of the Federal Power Act (16 U.S.C. 824s(b)(4)(B))
is amended by striking ``section 216'' and inserting ``sections
216 and 227''.
SEC. 406. PROHIBITING EXPENSIVE, UNJUST QUEUE JUMPING.
Part II of the Federal Power Act (16 U.S.C. 824 et seq.) is further
amended by adding at the end the following:
``SEC. 228. LIMITATION ON CERTAIN PROCEDURES TO EXPEDITE
INTERCONNECTION REQUESTS.
``(a) Limitation.--The Commission may not establish or authorize a
covered procedure unless--
``(1) the Commission finds, by clear and convincing
evidence and in accordance with subsection (b), that reliance
upon existing procedures for processing interconnection
requests would jeopardize the reliable operation of the bulk-
power system by failing to address predicted demand for
electric energy;
``(2) such covered procedure--
``(A) provides only for a one-time opportunity to
submit applications for generators to interconnect with
the bulk power system;
``(B) only allows for the adjustment of a generator
interconnection queue to prioritize an interconnection
on the basis of the potential for such interconnection
to address the continued reliable operation of the
bulk-power system, as determined by the Commission
consistent with subsection (c); and
``(C) does not provide for the prioritization of
generating facilities or energy storage systems based
upon the means by which the energy is generated or
stored, respectively.
``(b) Finding Requirements.--In making the finding under subsection
(a)(1), the Commission shall--
``(1) use predictions of growth in the demand for electric
energy that are based on the best available data and account
for the possibility of duplicative load interconnection
requests by customers with high demand for electric energy,
including by averaging such predictions if there is a range;
and
``(2) account for the energy generation and storage
capacity likely to enter commercial operation by using surplus
interconnection service and generator replacement or
interconnection right transfer processes.
``(c) Determinations for Priority.--To make a determination
referred to in subsection (a)(2)(B), the Commission must determine--
``(1) the adjustment of a generator interconnection queue
has the demonstrated ability to allow a prioritized energy
generating facility or storage system to commence operation
prior to the potential unreliable operation of the bulk-power
system, taking into consideration factors such as if such
prioritized facility or system--
``(A) has signed an engineering agreement;
``(B) has signed contracts for procurement or
construction relating to such prioritized facility or
system;
``(C) has access to any equipment necessary to be
procured in advance;
``(D) has access to any fuel necessary for the
operation of such prioritized facility or system;
``(E) has obtained any necessary permits for the
construction or operation of such prioritized facility
or system; and
``(F) would require extensive construction or
modification to relevant electric transmission or
distribution infrastructure.
``(d) Definitions.--In this section:
``(1) Bulk-power system; reliable operation.--The terms
`bulk-power system' and `reliable operation' have the meanings
given those terms in section 215.
``(2) Covered procedure.--
``(A) Except as provided in subparagraph (B), the
term `covered procedure' means a procedure to expedite
the study and processing of generator interconnection
requests for certain generating facilities or energy
storage systems that--
``(i) previously submitted such a request;
and
``(ii) but for such procedure, would
otherwise be assigned a higher position in the
generator interconnection queue.
``(B) The term `covered procedure' shall not
include any procedure to expedite requests for
generator interconnection relating to requests for
energy-resource interconnection service, connect-and-
manage approaches, reassigning surplus interconnection
service, or reassigning generator interconnection
rights after the retirement of a generating facility or
energy storage system.''.
Subtitle B--Tax and Grants
SEC. 411. TRANSMISSION INVESTMENT TAX CREDIT.
(a) In General.--Subpart E of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986 is amended by inserting after
section 48E the following:
``SEC. 48F. QUALIFYING ELECTRIC POWER TRANSMISSION LINE CREDIT.
``(a) Allowance of Credit.--For purposes of section 46, the
qualifying electric power transmission line credit for any taxable year
is an amount equal to 6 percent of the qualified investment for such
taxable year with respect to any qualifying electric power transmission
line property of the taxpayer.
``(b) Qualified Investment.--
``(1) In general.--For purposes of subsection (a), the
qualified investment for any taxable year is the basis of any
qualifying electric power transmission line property placed in
service by the taxpayer during such taxable year.
``(2) Certain qualified progress expenditures rules made
applicable.--Rules similar to the rules of subsections (c)(4)
and (d) of section 46 (as in effect on the day before the date
of the enactment of the Revenue Reconciliation Act of 1990)
shall apply for purposes of this section.
``(c) Qualifying Electric Power Transmission Line Property.--For
purposes of this section, the term `qualifying electric power
transmission line property' means any overhead, submarine, or
underground property--
``(1) which is a qualifying electric power transmission
line that transmits electricity--
``(A) across no fewer than 2 States or not less
than 150 continuous miles, or
``(B) across the Outer Continental Shelf (as
defined in section 2 of the Outer Continental Lands Act
(43 U.S.C. 1331)), or
``(2) which is related transmission property.
``(d) Qualifying Electric Power Transmission Line.--For purposes of
this section--
``(1) In general.--The term `qualifying electric power
transmission line' means any applicable new transmission
property and any modified existing transmission property.
``(2) Applicable new transmission property.--
``(A) In general.--The term `applicable new
transmission property' means any electric power
transmission line which is--
``(i) originally placed in service after
the date of the enactment of this section,
``(ii) primarily used for 1 or more
purposes described in subparagraph (B), and
``(iii) described in subparagraph (C).
``(B) Purposes described.--The purposes described
in this subparagraph are--
``(i) enhancing resilience to prepare for,
withstand, and recover rapidly from disruptions
from the impact of weather events, wildfires,
or natural disasters,
``(ii) addressing clearance concerns,
``(iii) facilitating the interconnection of
electric power generation capacity to the bulk-
power system (as defined in section 215 of the
Federal Power Act), or
``(iv) addressing high load needs of 2,000
ampere and above.
``(C) Additional requirements for new transmission
property.--An electric power transmission line is
described in this subparagraph if--
``(i) such transmission line--
``(I) includes an advanced
transmission conductor, and
``(II) is capable of transmitting
electricity at a voltage of not less
than 100 kilovolts, or
``(ii) such transmission line--
``(I) is a superconducting
transmission line or is capable of
transmitting electricity at a voltage
of at least 345 kilovolts, and
``(II) has a transmission capacity
of not less than 750 megawatts or is a
transmission line described in
subparagraph (D).
``(D) Multiple transmission lines located in the
same right-of-way.--A transmission line is described in
this subparagraph if such a transmission line--
``(i) is co-located in the same right-of-
way or adjacent right-of-way as 1 or more other
overhead, submarine, or underground
transmission lines, and
``(ii) together with the other transmission
lines described in subparagraph (A), has a
transmission capacity of not less than 1,000
megawatts.
``(3) Modified existing transmission property.--The term
`modified existing transmission property' means any electric
power transmission line which--
``(A) was placed in service before the date of the
enactment of this section,
``(B) is modified after the date of enactment of
this Act in a manner that--
``(i) increases the transmission capacity
of such transmission line by not less than 500
megawatts, or
``(ii) includes an advanced transmission
conductor that transmits electricity at a
voltage of not less than 100 kilovolts, and
``(C) after the completion of such modification, is
an electric power transmission line which satisfies the
requirements under subclauses (ii) and (iii) of
paragraph (2)(A).
``(4) Advanced transmission conductor.--The term `advanced
transmission conductor' means a transmission conductor
technology that uses recently developed technology or materials
such as a composite core and such other future advances as
determined by the Secretary, in consultation with the Secretary
of Energy.
``(5) Superconducting transmission line.--The term
`superconducting transmission line' means a transmission line
that conducts all of its current over a super-conducting
material.
``(e) Related Transmission Property.--For purposes of this
section--
``(1) In general.--The term `related transmission property'
means any of the following:
``(A) Transmission property used for
interconnection or generator tie-line.--Any electric
power transmission line which is--
``(i) placed in service after the date of
enactment of this section,
``(ii) primarily used--
``(I) as a generator
interconnection tie line at an
associated facility that extends from
the secondary (high) side of a
generator step-up transformer to the
point of interconnection with the host
transmission owner from interconnecting
new generation resources or facilities
to the electric grid, or
``(II) for network upgrades
associated with the interconnection of
new generation resources or facilities
to the electric grid,
``(iii) primarily used for 1 or more
purposes described in subsection (d)(2)(B), and
``(iv) capable of transmitting electricity
at a voltage of not less than 230 kilovolts.
``(B) Grid enhancing technology.--Any grid
enhancing technology property used in the operation of
the electric power transmission line described in
paragraph (2) or (3) of subsection (d).
``(C) Subcomponents.--Any conductors or cables,
towers, insulators, reactors, capacitors, circuit
breakers, static VAR compensators, static synchronous
compensators, power converters, transformers,
synchronous condensers, braking resistors, and any
ancillary facilities and equipment necessary for the
proper operation of the electric power transmission
line described in paragraph (2) or (3) of subsection
(d) or for the proper operation of any property
described in subsection (d)(2).
``(2) Grid enhancing technology property.--The term `grid
enhancing technology property' means power flow controls and
transmission switching equipment, storage technology, and
hardware or software that enables dynamic line ratings,
advanced line rating management technologies, on new or
existing transmission property for the purpose of enhancing the
capacity, efficiency, resiliency, or reliability of an electric
power transmission system and such other similar property
determined by the Secretary, in consultation with the Secretary
of Energy.
``(f) Increased Credit Amount for Certain Transmission Line
Property.--
``(1) In general.--In the case of any qualifying electric
power transmission line property which meets the requirements
of paragraph (2), the amount of credit determined under
subsection (a) (determined without regard to this subsection)
shall be equal to such amount multiplied by 5.
``(2) Facility requirements.--Qualifying electric power
transmission line property shall be treated as meeting the
requirements of this paragraph if--
``(A) the construction of such property meets rules
similar to the rules of section 48(a)(10) (relating to
prevailing wage requirements) and section 45(b)(8)
(relating to apprenticeship requirements), or
``(B) the construction of such property begins
before the date that is 60 days after the Secretary
publishes guidance with respect to the requirements
under subparagraph (A).
``(g) Termination.--This section shall not apply to any property
the construction of which begins after December 31, 2035.''.
(b) Public Utility Property.--Paragraph (2) of section 50(d) of the
Internal Revenue Code is amended--
(1) by striking ``(as defined in section 48(c)(6))'' and
inserting ``(as defined in section 48(c)(6), except that
subparagraph (D) of such section shall not apply) or any
qualifying electric power transmission line property (as
defined by section 48F(c))'', and
(2) in subparagraph (B)--
(A) by inserting ``or qualifying electric power
transmission line property'' after ``each energy
storage technology'', and
(B) by inserting ``or the qualifying electric power
transmission line property'' after ``the energy storage
technology''.
(c) Transfer of Certain Credits.--Section 6418(f)(1)(A) of the
Internal Revenue Code of 1986 is amended by adding at the end the
following:
``(xiii) The qualifying electric power
transmission line credit under section 48F.''.
(d) Conforming Amendments.--
(1) Section 46 of the Internal Revenue Code of 1986 is
amended--
(A) in paragraph (6), by striking ``and'' at the
end,
(B) in paragraph (7), by striking the period at the
end and inserting ``, and'', and
(C) by adding at the end the following:
``(8) the qualifying electric power transmission line
credit.''.
(2) Section 49(a)(1)(C) of such Code is amended--
(A) in clause (vii), by striking ``and'' at the
end,
(B) in clause (viii), by striking the period at the
end and inserting ``, and'', and
(C) by adding at the end the following:
``(ix) the basis of any qualifying electric
power transmission line property under section
48F.''.
(3) The table of sections for subpart E of part IV of
subchapter A of chapter 1 of such Code is amended by inserting
after the item relating to section 48E the following new item:
``Sec. 48F. Qualifying electric power transmission line credit.''.
(e) Effective Date.--The amendments made by this section shall
apply to property placed in service after December 31, 2025.
SEC. 412. REDUCED WILDFIRE RISKS TO THE GRID.
(a) Definitions.--In this section:
(1) Eligible entity.--The term ``eligible entity'' means--
(A) an electric grid operator;
(B) an electricity storage operator;
(C) an electricity generator;
(D) a transmission owner or operator;
(E) a distribution provider;
(F) a fuel supplier; and
(G) any other relevant entity, as determined by the
Secretary.
(2) Power line.--The term ``power line'' includes a
transmission line or a distribution line, as applicable.
(3) Program.--The term ``program'' means the program
established under subsection (b).
(b) Establishment of Program.--Not later than days after the date
of enactment of this Act, the Secretary shall establish a program under
which the Secretary shall make grants to eligible entities, States, and
Indian Tribes in accordance with this section.
(c) Grants to Eligible Entities.--
(1) In general.--The Secretary may make a grant under the
program to an eligible entity to carry out activities that--
(A) are supplemental to existing hardening efforts
of the eligible entity planned for any given year; and
(B)(i) reduce the risk of any power lines owned or
operated by the eligible entity causing a wildfire; or
(ii) increase the ability of the eligible
entity to reduce the likelihood and
consequences of wildfires.
(2) Application.--
(A) In general.--An eligible entity desiring a
grant under the program shall submit to the Secretary
an application at such time, in such manner, and
containing such information as the Secretary may
require.
(B) Requirement.--As a condition of receiving a
grant under the program, an eligible entity shall
submit to the Secretary, as part of the application of
the eligible entity submitted under subparagraph (A), a
report detailing past, current, and future efforts by
the eligible entity to reduce the likelihood and
consequences of wildfires.
(3) Limitation.--The Secretary may not award a grant to an
eligible entity in an amount that is greater than the total
amount that the eligible entity has spent in the previous 3
years on efforts to reduce the likelihood and consequences of
wildfires.
(4) Priority.--In making grants to eligible entities under
the program, the Secretary shall give priority to projects
that, in the determination of the Secretary, will generate the
greatest community benefit (whether rural or urban) in reducing
the likelihood and consequences of wildfires.
(5) Small utilities set aside.--The Secretary shall ensure
that not less than 30 percent of the amounts made available to
eligible entities under the program are made available to
eligible entities that sell not more than 4,000,000 megawatt
hours of electricity per year.
(d) Grants to States and Indian Tribes.--
(1) In general.--The Secretary, in accordance with this
subsection, may make grants under the program to States and
Indian Tribes, which each State or Indian Tribe may use to
award grants to eligible entities.
(2) Annual application.--
(A) In general.--For each fiscal year, to be
eligible to receive a grant under this subsection, a
State or Indian Tribe shall submit to the Secretary an
application that includes a plan described in
subparagraph (B).
(B) Plan required.--A plan prepared by a State or
Indian Tribe for purposes of an application described
in subparagraph (A) shall--
(i) describe the criteria and methods that
will be used by the State or Indian Tribe to
award grants to eligible entities;
(ii) be adopted after notice and a public
hearing; and
(iii) describe the proposed funding
distributions and recipients of the grants to
be provided by the State or Indian Tribe.
(3) Distribution of funds.--
(A) In general.--The Secretary shall provide grants
to States and Indian Tribes under this subsection based
on a formula determined by the Secretary, in accordance
with subparagraph (B).
(B) Requirement.--The formula referred to in
subparagraph (A) shall be based on the following
factors:
(i) The total population of the State or
Indian Tribe.
(ii)(I) The total area of the State or the
land of the Indian Tribe; or
(II) the areas in the State or on
the land of the Indian Tribe with a low
ratio of electricity customers per
mileage of power lines.
(iii) The Wildfire Risk Index score and
rating as calculated by the Federal Emergency
Management Agency.
(iv) The probability of wildfires in the
State or on the land of the Indian Tribe during
the previous 10 years, as determined based on
the number of federally declared disasters or
emergencies related to wildfires in the State
or on the land of the Indian Tribe, as
applicable, including--
(I) disasters for which Fire
Management Assistance Grants are
provided under section 420 of the
Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C.
5187);
(II) major disasters declared by
the President under section 401 of that
Act (42 U.S.C. 5170);
(III) emergencies declared by the
President under section 501 of that Act
(42 U.S.C. 5191); and
(IV) any other federally declared
disaster or emergency in the State or
on the land of the Indian Tribe.
(v) The number and severity, measured by
population and economic impacts, of wildfires
experienced by the State or Indian Tribe on or
after January 1, 2015.
(vi) The total amount, on a per capita
basis, of public and private expenditures
during the previous 10 years to carry out
mitigation efforts to reduce the likelihood and
consequences of wildfires in the State or on
the land of the Indian Tribe, with States or
Indian Tribes with higher per capita
expenditures receiving additional weight or
consideration as compared to States or Indian
Tribes with lower per capita expenditures.
(C) Annual update of data used in distribution of
funds.--Beginning 1 year after the date of enactment of
this Act, the Secretary shall annually update--
(i) all data relating to the factors
described in subparagraph (B); and
(ii) all other data used in distributing
grants to States and Indian Tribes under this
subsection.
(4) Oversight.--The Secretary shall ensure that each grant
provided to a State or Indian Tribe under the program is
allocated, pursuant to the applicable plan of the State or
Indian Tribe, to eligible entities for projects within the
State or on the land of the Indian Tribe.
(5) Priority.--In making grants to eligible entities using
funds made available to the applicable State or Indian Tribe
under the program, the State or Indian Tribe shall give
priority to projects that, in the determination of the State or
Indian Tribe, will generate the greatest community benefit
(whether rural or urban) in reducing the likelihood and
consequences of wildfires.
(6) Small utilities set aside.--A State or Indian Tribe
receiving a grant under the program shall ensure that, of the
amounts made available to eligible entities from funds made
available to the State or Indian Tribe under the program, the
percentage made available to eligible entities that sell not
more than 4,000,000 megawatt hours of electricity per year is
not less than the percentage of all customers in the State or
Indian Tribe that are served by those eligible entities.
(7) Technical assistance and administrative expenses.--Of
the amounts made available to a State or Indian Tribe under the
program each fiscal year, the State or Indian Tribe may use not
more than 5 percent for--
(A) providing technical assistance under subsection
(g)(1)(A); and
(B) administrative expenses associated with the
program.
(8) Matching requirement.--Each State and Indian Tribe
shall be required to match 15 percent of the amount of each
grant provided to the State or Indian Tribe under the program.
(e) Use of Grants.--
(1) In general.--A grant awarded to an eligible entity
under the program may be used for activities, technologies,
equipment, and hardening measures to reduce the likelihood and
consequences of wildfires, including--
(A) weatherization technologies and equipment;
(B) fire-resistant technologies and fire prevention
systems;
(C) monitoring and control technologies, including
digital tools;
(D) the undergrounding of electrical equipment;
(E) utility pole management;
(F) the relocation of power lines or the
reconductoring of power lines with low-sag, advanced
conductors;
(G) vegetation and fuel-load management;
(H) the use or construction of distributed energy
resources for enhancing system adaptive capacity during
wildfires, including--
(i) microgrids; and
(ii) battery-storage subcomponents;
(I) adaptive protection technologies;
(J) advanced modeling technologies;
(K) hardening of power lines, facilities,
substations, of other systems;
(L) the replacement of old overhead conductors and
underground cables; and
(M) the removal or replacement of old power lines.
(2) Prohibitions and limitations.--
(A) In general.--A grant awarded to an eligible
entity under the program may not be used for--
(i) construction of a new--
(I) electric generating facility;
or
(II) large-scale battery-storage
facility that is not used for enhancing
system adaptive capacity during
wildfires; or
(ii) cybersecurity.
(B) Certain investments eligible for recovery.--
(i) In general.--An eligible entity may not
seek cost recovery for the portion of the cost
of any system, technology, or equipment that is
funded through a grant awarded under the
program.
(ii) Savings provision.--Nothing in this
subparagraph prohibits an eligible entity from
recovering through traditional or incentive-
based ratemaking any portion of an investment
in a system, technology, or equipment that is
not funded by a grant awarded under the
program.
(C) Application limitations.--An eligible entity
may not submit an application for a grant provided by
the Secretary under subsection (c) and a grant provided
by a State or Indian Tribe pursuant to subsection (d)
during the same application cycle.
(f) Distribution of Funding.--Of the amounts made available to
carry out the program for a fiscal year, the Secretary shall ensure
that--
(1) 50 percent is used to award grants to eligible entities
under subsection (c); and
(2) 50 percent is used to make grants to States and Indian
Tribes under subsection (d).
(g) Technical and Other Assistance.--
(1) In general.--The Secretary, States, and Indian Tribes
may--
(A) provide technical assistance and facilitate the
distribution and sharing of information to reduce the
likelihood and consequences of wildfires; and
(B) promulgate consumer-facing information and
resources to inform the public of best practices and
resources relating to reducing the likelihood and
consequences of wildfires.
(2) Use of funds by the secretary.--Of the amounts made
available to the Secretary to carry out the program each fiscal
year, the Secretary may use not more than 5 percent for--
(A) providing technical assistance under paragraph
(1)(A); and
(B) administrative expenses associated with the
program.
(h) Matching Requirement.--
(1) In general.--Except as provided in paragraph (2), an
eligible entity that receives a grant under this section shall
be required to match 100 percent of the amount of the grant.
(2) Exception for small utilities.--An eligible entity that
sells not more than 4,000,000 megawatt hours of electricity per
year shall be required to match \1/3\ of the amount of the
grant.
(i) Biennial Report to Congress.--
(1) In general.--Not later than 2 years after the date of
enactment of this Act, and every 2 years thereafter through,
the Secretary 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 program.
(2) Requirements.--The report under paragraph (1) shall
include information and data on--
(A) the costs of the projects for which grants are
awarded to eligible entities;
(B) the types of activities, technologies,
equipment, and hardening measures funded by those
grants; and
(C) the extent to which the ability of the power
grid to withstand and reduce the likelihood of
wildfires has increased.
(j) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out the program $3,000,000,000
for the period of fiscal years 2026 through 2030.
(k) Continued Activities.--The Secretary shall carry out the
program, in addition to any activities authorized under Section 40103
of the Infrastructure Investment and Jobs Act (Public Law 117-58).
(l) Davis-Bacon.--All laborers and mechanics employed by
contractors or subcontractors in the performance of construction,
alteration, or repair work on a project assisted in whole or in part by
funds made available under this section (or any amendment made by this
section) shall be paid wages at rates not less than those prevailing on
similar projects in the locality as determined by the Secretary of
Labor in accordance with subchapter IV of chapter 31 of title 40,
United States Code (commonly referred to as the ``Davis-Bacon Act''),
and the regulations issued thereunder at 29 CFR Part 5 (Davis-Bacon and
Related Acts regulations). Compliance with these labor standards shall
be a condition of receiving assistance under this section, and the
Secretary concerned shall require that all contracts and subcontracts
include the labor standards clauses prescribed by the Secretary of
Labor.
Subtitle C--Transmission Governance Reform
SEC. 421. FERC STAFFING.
(a) Ensuring Timely Review of Infrastructure.--Section 401(k) of
the Department of Energy Organization Act (42 U.S.C. 7171(k)) is
amended--
(1) in paragraph (1), by striking ``subchapter III of'';
(2) in paragraph (2)--
(A) by striking subparagraph (A); and
(B) by redesignating subparagraphs (B) through (E)
as subparagraphs (A) through (D), respectively; and
(3) in paragraph (6)--
(A) by striking ``The Chairman'' and inserting the
following:
``(A) In general.--The Chairman''; and
(B) by adding at the end the following:
``(B) Implementation plan.--Not later than 90 days
after the date of enactment of this subparagraph, the
Chairman shall submit to the Director of the Office of
Personnel Management a plan to implement this
subsection. The Director of the Office of Personnel
Management shall take final action on the plan not
later than 120 days after the submission of such
plan.''.
(b) Direct Hire Authority.--Section 401 of the Department of Energy
Organization Act (42 U.S.C. 7171) is amended by adding at the end the
following:
``(l) Direct Hire Authority.--
``(1) In general.--Notwithstanding section 3304 of title 5,
United States Code, and without regard to the provisions of
sections 3309 through 3318 of such title 5, if the Chairman of
the Commission issues a certification that there is as severe
shortage of candidates or a critical hiring need for covered
positions to carry out the Commission's responsibilities and
activities, the Chairman may, subject to paragraph (3), recruit
and directly appoint highly qualified individuals into the
competitive service.
``(2) Limitation.--Any action authorized pursuant to
paragraph (1) shall be consistent with the merit principles of
section 2301 of title 5, United States Code, and the Commission
shall comply with the public notice requirements of section
3327 of such title 5.
``(3) Termination.--
``(A) In general.--A certification issued or
renewed under this subsection shall terminate on the
earlier of--
``(i) the date that is 5 years after the
certification is issued or renewed; or
``(ii) the date on which the Chairman
determines that there is no longer a severe
shortage of candidates or a critical hiring
need for covered positions to carry out the
Commission's responsibilities and activities.
``(B) Renewal.--The Chairman may renew a
certification issued or renewed under this subsection
for an additional 5-year period if the Chairman
determines there is still a severe shortage of
candidates or a critical hiring need for covered
positions to carry out the Commission's
responsibilities and activities.
``(4) Covered position.--In this subsection, the term
`covered position' means a position in which an employee is
responsible for conducting work of a scientific, technical,
engineering, mathematical, legal, or otherwise highly
specialized or skilled nature.''.
(c) Elimination of Reporting Sunset.--Section 11004(b) of the
Energy Act of 2020 (42 U.S.C. 7171 note; Public Law 116-260) is
amended--
(1) in paragraph (1), by striking ``thereafter for 10
years'' and inserting ``thereafter''; and
(2) in paragraph (2)(B), by striking ``or mathematical''
and inserting ``mathematical, or otherwise highly specialized
or skilled''.
SEC. 422. FERC FEE ASSESSMENTS.
Section 3401 of the Omnibus Budget Reconciliation Act of 1986 (42
U.S.C. 7178) is amended by adding at the end the following:
``(h) Review.--Not less often than once every 5 years, the
Commission shall undertake a review to determine if the fees and
charges it assesses under this section and other laws are sufficient to
allow the Commission to handle its workload in an expedient manner.''.
SEC. 423. STATE PUBLIC UTILITY COMMISSION CAPACITY GRANTS.
(a) Establishment.--Not later than 2 years following the enactment
of this title, the Secretary of Energy shall establish a program under
which the Secretary shall award grants to State regulatory authorities
to increase the capacity of said authorities to evaluate filings made
by utilities related to transmission and integrated resource plans,
including through the hiring of economic modelers, engineers, and
others with relevant expertise.
(b) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Energy such sums as may be necessary
to carry out this section.
SEC. 424. INDEPENDENT TRANSMISSION MONITORS.
(a) In General.--Not later than 180 days after the date of
enactment of this section, the Commission shall--
(1) require each transmission planning region to establish
an independent entity to monitor the planning for, and
operation of, transmission facilities in the transmission
planning region; or
(2) establish an independent entity to monitor the planning
for, and operation of, transmission facilities in all
transmission planning regions.
(b) Role of Transmission Monitor.--An independent entity described
in subsection (a) shall provide independent analysis of transmission
planning and ratemaking processes by the Commission and Transmission
Organizations to inform Commission proceedings, including by, as
applicable--
(1) reviewing the operation and practices of transmission
facilities in the applicable transmission planning region for
inefficiency;
(2) investigating whether any rate, charge, or
classification for transmission facilities in the applicable
transmission planning region, or any rule, regulation,
practice, or contract affecting such a rate, charge, or
classification, is unjust, unreasonable, unduly discriminatory
or preferential;
(3) reviewing the transmission planning process for the
applicable transmission planning region, including processes
for planning new and upgraded local transmission projects;
(4) reviewing transmission facility costs in the applicable
transmission planning region;
(5) providing examples and advice to Transmission
Organizations in the applicable transmission planning region on
regional transmission operations, planning, and cost-allocation
processes;
(6) identifying situations in which it is cost-effective or
otherwise appropriate to construct or deploy advanced
transmission technologies, demand-side energy efficiency
measures, demand response, and distributed energy resources,
including rooftop and community solar, microgrids, and storage;
(7) coordinating and sharing information with State
regulatory authorities in the applicable transmission planning
region; and
(8) identifying reliable data sets and methodologies for
use in regional planning and providing access to data to
stakeholders.
(c) Savings Clause.--Nothing in this section shall be construed to
alter the sole power of the Commission to, under sections 205 and 206
of the Federal Power Act (16 U.S.C. 824d; 824e), determine if any
rates, charges, or classifications are unjust, unreasonable, or unduly
discriminatory or preferential.
(d) Definitions.--In this section:
(1) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(2) Advanced transmission technology; state regulatory
authority; transmission organization; transmission planning
region.--The terms ``advanced transmission technology'',
``State regulatory authority'', ``Transmission Organization'',
and ``transmission planning region'' have the meanings given
such terms in section 3 of the Federal Power Act (16 U.S.C.
796).
SEC. 425. AGGREGATOR BIDDING INTO ORGANIZED WHOLESALE ELECTRIC MARKETS.
(a) In General.--Notwithstanding any prohibition established by a
relevant electric retail regulatory authority with respect to who may
bid into an organized wholesale electric market, each Transmission
Organization shall, with respect to the organized wholesale electric
market controlled by the Transmission Organization, allow any bid from
an aggregator of retail customers that aggregates the demand
flexibility of the customers of utilities that distributed more than 4
million megawatt-hours in the previous fiscal year. Such flexibility
may be achieved through demand response, distributed generation,
distributed storage, and community-based or municipal aggregation
programs.
(b) Rulemaking.--Not later than 12 months after the date of
enactment of this section, the Commission shall promulgate a final rule
pursuant to subsection (a).
(c) Standard Procedures.--Each Transmission Organization shall
establish standardized registration, telemetry, and settlement
procedures for aggregators of distributed energy resources to ensure
non-discriminatory participation and data access.
(d) Definitions.--In this section:
(1) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(2) Electric retail regulatory authority.--The term
``electric retail regulatory authority'' means an entity that
establishes retail electricity prices and retail competition
policies for customers.
(3) Transmission organization.--The term ``Transmission
Organization'' has the meaning given such term in section 3 of
the Federal Power Act (16 U.S.C. 796).
SEC. 426. RTO AND ISO GOVERNANCE AND PARTICIPATION.
(a) Technical Conference.--Not later than 120 days after the date
of enactment of this section, the Federal Energy Regulatory Commission
shall convene a technical conference to consider Regional Transmission
Organization and Independent System Operator independence from their
members interests, the responsiveness of RTOs and ISOs to consumers and
other stakeholders, and ways for RTOs and ISOs to increase the
equitable treatment of consumers and other stakeholders, including the
effectiveness of stakeholder policies and procedures adopted in
compliance with the final rule entitled ``Wholesale Competition in
Regions With Organized Electric Markets'' published in the Federal
Register on October 28, 2008 (73 Fed. Reg. 64100).
(b) Participation.--The technical conference convened under
subsection (a) shall be led by members of the Commission, and the
Commission shall invite participation from representatives of each RTO
and ISO, owners and operators of transmission facilities,
representatives of entities that develop advanced transmission
technologies, owners and operators of electric generation facilities
that interconnect at either the transmission or distribution system
level, including energy storage, end-use customers, electric power
marketers, publicly owned electric utilities, consumer advocates,
environmental justice advocates, environmental groups, State public
utility commissions, State governors, and such other stakeholders as
the Commission determines appropriate.
(c) Topics.--In conducting the technical conference convened under
subsection (a), the Commission shall seek to identify policies and
procedures that maintain RTO and ISO independence, and enhance the
responsiveness of RTOs and ISOs to their customers and other
stakeholders, taking into consideration--
(1) the benefits of greater transparency in RTO and ISO
stakeholder processes, including access by stakeholders to
relevant data and written background materials;
(2) barriers to participation in such stakeholder processes
for new market participants and other non-incumbent
stakeholders;
(3) the need for periodic, independent review of RTO and
ISO stakeholder policies and procedures;
(4) power imbalances between incumbent and non-incumbent
stakeholders, including whether current RTO and ISO membership
rules, sectoral designations, and voting procedures allow for
adequate representation of all stakeholder views;
(5) how RTOs and ISOs should take State public policy
objectives into consideration as part of such stakeholder
processes;
(6) whether existing RTO and ISO decision-making processes
are sufficiently independent from the control of any market
participant or class of participants;
(7) the role of the Office of Public Participation of the
Commission in facilitating greater stakeholder participation in
RTOs and ISOs; and
(8) such other subjects as the Commission considers
appropriate.
(d) Public Comment.--The Commission shall provide an opportunity
for public comment on the technical conference convened under
subsection (a).
(e) Rulemaking.--Not later than 18 months after the conclusion of
the technical conference convened under subsection (a), and after
public notice and comment, the Commission shall promulgate a final rule
adopting such policies and procedures as the Commission determines
necessary to maintain the independence of RTOs and ISOs, and to enhance
the transparency and responsiveness of RTOs and ISOs to their customers
and other stakeholders.
(f) Definitions.--In this section:
(1) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(2) Federal power act definitions.--The terms ``electric
utility'', ``Independent System Operator'', ``ISO'', ``Regional
Transmission Organization'', ``RTO'', and ``State commission''
have the meanings given such terms in section 3 of the Federal
Power Act (16 U.S.C. 796).
SEC. 427. MODERNIZED GRID DATA AND ANALYTICS.
(a) Modernization of Reporting Information and Data Under the
Federal Power Act.--
(1) In general.--The Commission shall, by rule, standardize
the manner in which information and data is reported by
transmitting utilities and Transmission Organizations to the
Commission under the Federal Power Act (16 U.S.C. 972 et seq.)
in accordance with this subsection.
(2) Content of reports requirements.--In carrying out
paragraph (1), the Commission shall require the information and
data that will be reported, as it applies to projects, existing
assets, or systems owned or operated by a transmitting utility
or Transmission Organization, to include the following:
(A) Information and data relating to a project and
the lifecycle of such project, including--
(i) project milestones, including proposed,
approved, and actual in-service dates;
(ii) project classification information,
including whether the project represents new
construction, an upgrade, or a rebuild of
existing infrastructure;
(iii) major development history, including
original construction and last major upgrade
dates;
(iv) the location of any applicable
project;
(v) the project nameplate capacity, length,
voltage, and conductor material and
specifications; and
(vi) an identification of the applicable
planning process through which the applicable
project originated.
(B) The costs and economic justifications of a
project, existing asset, or system owned or operated by
a transmitting utility or Transmission Organization, as
applicable, including--
(i) original projected and actual final
costs of all new projects;
(ii) original projected and actual final
costs of renewals and replacements of project
works;
(iii) original projected and actual
maintenance and operations expenses of the
projects and existing assets on a current-year
and five-year rolling average basis;
(iv) cost allocation shares where
applicable, including identification of
entities responsible for shared investments in
projects;
(v) cost-benefit analyses of projects;
(vi) whether the project was subject to a
competitive solicitation process and, if
applicable, the outcome of that process; and
(vii) classification of the project based
on benefits provided, under the relevant
transmission planning framework.
(C) The capital structure and the rate of return of
a project, existing asset, or system owned or operated
by a transmitting utility or Transmission Organization,
including--
(i) the allowed return on equity (ROE),
return on debt, and return on preferred stock;
(ii) the utility's authorized or actual
capital structure, including the percentage of
debt, equity, and preferred stock used in
ratemaking;
(iii) the resulting overall weighted
average rate of return;
(iv) any FERC-approved incentive adders
applied to the base ROE, including rationale
and duration; and
(v) where applicable, information necessary
to assess potential double leveraging effects
arising from a holding company structure, as
defined by the Commission.
(D) For information and data relating to a system
owned or operated by a transmitting utility or
Transmission Organization, as applicable, congestion-
related costs or the costs incurred by ratepayers,
power supplies, or distribution customers as a result
of transmission system constraints that prevent the
dispatch of least-cost generation resources.
(E) Technical and non-technical losses and
inefficiencies.
(F) A complete accounting of interconnection-
related costs incurred by interconnection customers,
transmitting utilities, or other entities,
disaggregated by cost type and responsible party,
including--
(i) study fees;
(ii) milestones or reservation payments;
(iii) costs of local interconnection
attachment facilities;
(iv) grid network upgrade costs; and
(v) estimates of costs to a larger system.
(G) The projected and actual capacity and load of a
system owned or operated by a transmitting utility or
Transmission Organization and the projected and actual
amount of energy delivered by such system.
(H) Information and data on the use of capital-
efficient advanced technologies, including information
on--
(i) hourly usage;
(ii) the location of the technologies; and
(iii) the types of technologies deployed.
(I) Any additional metrics the Commission
determines necessary to improve ratepayer affordability
and understanding of the transmission sector.
(3) Content of interconnection reports.--In carrying out
paragraph (1), the Commission shall require a transmitting
utility or Transmission Organization to report, no less than
quarterly, to the Commission information and data on
interconnection queues and details relating to interconnection
study models used. Data reported under this paragraph shall
include both historical and real time information to allow
trend analysis and retrospective validation of study timelines.
(4) Format of reports.--
(A) In general.--Pursuant to paragraph (1), the
Commission shall ensure the completeness, accuracy, and
accessibility of information and data reported to the
Commission under the Federal Power Act, as the
Commission determines necessary, by--
(i) establishing standardized reporting
requirements that specify standards for
describing and recording such information and
data, and, if the Commission determines
appropriate, providing templates or other tools
to reduce administrative burden;
(ii) providing a format for such
information and data to be submitted in a
manner that is fully searchable and machine-
readable;
(iii) requiring any form filed by a
transmitting utility or a Transmission
Organization contains no blank cells, unless
clearly marked as exempt pursuant to
subparagraph (B);
(iv) requiring any projections required
under paragraph (1) are defined, including key
assumptions, methodologies, and any other
information that could influence the result of
the projection; and
(v) requiring data reported under this
subsection is also made available to the public
through a single, user-friendly web interface
that allows users to search, filter, and
download the data in a machine-readable format.
(B) Exemption.--A transmitting utility or a
Transmission Organization may request an exemption from
a requirement under subparagraph (A)(iii) if--
(i) such transmitting utility or
Transmission Organization submits to the
Commission a written statement explaining why
such an exemption is needed; and
(ii) the Commission determines that the
exemption is justified based on the written
statement submitted under clause (i).
(5) FERC form no 1.--
(A) Refiling.--Not later than 1 year after the date
on which the Commission issues a rule under paragraph
(1), with respect to a covered form, in the event the
Commission determines that such covered form is
incomplete, the Commission shall require the relevant
transmitting utility or Transmission Organization to
file a revised FERC Form No. 1 in a manner that
complies with the requirements of paragraph (4) and the
requirements under section 141.1 of title 18, Code of
Federal Regulations (or any successor regulations).
(B) Covered form defined.--In this subsection, the
term ``covered form'' means a FERC Form No. 1 filed
with the Commission by a transmitting utility or
Transmission Organization during the 5-year period
immediately preceding the date of enactment of this
Act.
(C) Modernization and centralization of ferc form
no. 1.--Not later than 2 years after the date of
enactment of this Act, the Commission, in collaboration
with the Administrator, shall make all historical and
future FERC Form No. 1 filings publicly available
through the centralized data repository established
under subsection (b).
(b) Development of Centralized Data Repository.--
(1) In general.--The Commission, in collaboration with the
Administrator, shall develop and maintain a searchable and
publicly accessible data repository containing information and
data the Commission determines necessary to carry out the
requirements of this Act, including information and data
reported or filed by a transmitting utility or Transmission
Organization--
(A) in FERC Form Nos. 1, 1-F, 3-Q, 714, 715, and
730, including information or data from these forms
reported prior to the date of enactment of this Act;
and
(B) pursuant to the requirements of this Act.
(2) EIA expertise.--In collaborating with the Commission
under this subsection with respect to the data repository
developed under paragraph (1), the Administrator shall--
(A) develop and maintain schemas and metadata for
Form No. 1 data consistent with section 3506(b)(6) of
title 44, United States Code;
(B) provide user-friendly tools to explore,
download, and analyze such data, including filtering by
utility, year, region, and data category; and
(C) ensure such data is accessible to the public in
both bulk and disaggregated forms, with Application
Programming Interfaces and visualization tools where
feasible.
(3) Requirements.--The Commissioner shall ensure that the
data repository developed and maintained under paragraph (1)--
(A) includes the data in fully searchable and
machine-readable format;
(B) is capable of including high-quality data
through schemas and accompanying metadata;
(C) ensures consistent identification of data
elements or assets that satisfy regulatory requirements
for data, established by the Commission, as reflected
in machine-readable metadata;
(D) uses standardized data formats across all
Transmission Organizations and transmitting utilities;
(E) is used by Transmission Organizations and
transmitting utilities to file reports required under
the Federal Power Act and this Act;
(F) enables uploading of reports filed under the
Federal Power Act or this Act;
(G) is optimized for operability by Transmission
Organizations and transmitting utilities to limit the
administrative burden of, and ensure consistency in,
such filings;
(H) includes interactive tools and visualization
interfaces to allow users to explore trends in
transmission buildout, interconnection timelines, and
associated ratepayer costs;
(I) incorporates Application Programming Interfaces
or bulk download functionality to support third-party
analysis and research; and
(J) ensures that publicly accessible data is
aligned with the security of guidelines for Critical
Energy/Electric Infrastructure Information, and
includes appropriate data anonymization and
cybersecurity protections, based on Commission
guidance.
(c) Grid Research and Analytics.--
(1) Research and policy analysis.--The Secretary, in
collaboration with the Commission, using standardized
methodologies and anonymized queue data collected under this
Act, shall conduct research and publish periodic reports on the
following topics:
(A) Primary drivers of increased costs to
ratepayers associated with transmission and
interconnection, including--
(i) transmission capital expenditures;
(ii) interconnection-related upgrade costs;
(iii) interconnection study delays;
(iv) regional variations in cost allocation
methodologies; and
(v) cost recovery practices by utilities
and grid operators.
(B) Value delivered to ratepayers from transmission
and interconnection investments, including through--
(i) improvements to electric system
reliability;
(ii) avoided emissions or emissions
reductions; and
(iii) enhancements to long-term system
resilience and grid flexibility.
(C) Mechanisms to enhance ratepayer affordability,
including--
(i) evaluation of performance-based
regulation frameworks applied to transmission
and interconnection-related investments;
(ii) assessment of alternative
interconnection solutions such as advanced
transmission technologies, shared
infrastructure models, or consolidated
upgrades; and
(iii) evaluation of demand-side
interventions that reduce the need for costly
transmission or interconnection investments.
(D) Comparative scenario modeling of potential
energy futures, to--
(i) identify lowest-cost pathways to
national grid expansion;
(ii) assess trade-offs among investment
strategies; and
(iii) inform decision-making by utilities,
regional planning entities, and Federal
agencies.
(E) Systemic cost impacts from interconnection
inefficiencies, including analysis of how study delays,
queue withdrawals, and increased construction periods
contribute to higher system costs for ratepayers or
generators.
(F) Opportunities to increase system efficiency and
unlock latent capacity through improved operational
practices and deployment of advanced technologies,
including--
(i) assessment of unused or underutilized
grid capacity due to outdated planning
assumptions or lack of dynamic optimization;
(ii) evaluation of technologies such as
dynamic line ratings, topology optimization,
flexible interconnection, or flow control
devices; and
(iii) quantification of benefits to
ratepayers and system operators from unlocking
this capacity relative to traditional capital-
intensive buildout.
(2) Interconnection transparency and dashboard.--
(A) In general.--The Secretary shall, through 1 or
more National Laboratories, develop, maintain, and
continuously improve an Interconnection Data Dashboard
that presents real-time and historical information
relevant to interconnection of generators, loads, and
other utilities or transmission systems.
(B) Purpose.--The Dashboard shall provide public
stakeholders, regulators, utilities, developers, and
researchers with transparent, up-to-date insights into
the effectiveness, efficiency, affordability, and
reliability of interconnection processes across all
transmission planning regions.
(C) Data sources.--The Dashboard shall incorporate
data collected under subsection (b) of this Act and
from FERC Form No. 1 filings, relevant Commission
filings, publicly available interconnection queue data,
and additional datasets, as determined appropriate by
the Secretary or the Commission.
(D) Capabilities.--The Secretary shall develop the
Dashboard to be able to--
(i) present anonymized interconnection
queue data, including application volumes,
withdrawal rates, project timelines, and
milestones;
(ii) provide visualization of average and
median interconnection study durations,
disaggregated by region and project type;
(iii) show aggregated system upgrade costs,
study backlogs, and queue performance metrics;
(iv) allow filtering by geographic location
(e.g., State, balancing authority, latitude/
longitude coordinate), utility, fuel type, and
project size;
(v) present each interconnection project's
current development status, such as application
submitted, study phase, approved, under
construction, or in-service;
(vi) display physical asset characteristics
for each interconnection project and system
segment, including nameplate generation
capacity, peak load served, and conductor
capacity ratings;
(vii) identify trends in queue reform
outcomes, including impacts on throughput,
delay reduction, and project completion rates;
(viii) support export of underlying data in
machine-readable formats for public analysis;
and
(ix) perform any other function the
Secretary determines appropriate.
(E) Reporting.--The Secretary, in collaboration
with National Laboratories and the Commission, shall
publish annual reports summarizing findings from the
Dashboard, based on data collected pursuant to
subsection (b), without substituting for the more
comprehensive cost-driver analysis required under
paragraph (1), including--
(i) interregional comparisons of queue
efficiency and project success rates;
(ii) systemic drivers of delay or cost
escalation;
(iii) estimated ratepayer impacts
associated with interconnection bottlenecks;
and
(iv) recommendations for improving
interconnection transparency and system
performance.
(F) Public access.--The Dashboard shall be made
available on a public website and designed for use by a
broad range of users, including through visualizations,
downloadable datasets, and API access, while
maintaining protections for CEII.
(d) Definitions.--In this section:
(1) Administrator.--The term ``Administrator'' means the
Administrator of the Energy Information Administration of the
Department of Energy.
(2) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(3) Ferc form no. 1.--The term ``FERC Form No. 1'' means
the Form of Annual Report for Major electric utilities,
licensees, and others, designated as FERC Form No. 1 and
prescribed under section 141.1 of title 18, Code of Federal
Regulations (as in effect on the date of enactment of this
Act).
(4) Metadata.--The term ``metadata'' has the meaning given
such term in section 3502 of title 44, United States Code.
(5) Project.--The term ``project'' refers exclusively to
transmission infrastructure projects planned, proposed, or
undertaken by the transmitting utility. This includes projects
initiated through--
(A) regional or local transmission planning
processes;
(B) interconnection studies;
(C) reliability-driven upgrades; and
(D) other applicable pathways as determined by the
Commission.
(6) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(7) Transmitting utility; transmission organization.--The
terms ``transmitting utility'', and ``Transmission
Organization'' have the meanings given those terms in section 3
of the Federal Power Act (16 U.S.C. 796).
TITLE V--DEPLOYING LOW-COST, CLEAN ENERGY RESPONSIBLY ON PUBLIC LANDS
AND WATERS
Subtitle A--Public Land Renewable Energy Development
SEC. 501. PUBLIC LAND RENEWABLE ENERGY DEVELOPMENT.
(a) Definitions.--In this Act:
(1) Covered land.--The term ``covered land'' means land
that is--
(A) Federal land;
(B) not excluded from the development of
geothermal, solar, or wind energy under--
(i) a land use plan; or
(ii) other Federal law; and
(C) not included in an area--
(i) that is subject to the Desert Renewable
Energy Conservation Plan developed by the
California Energy Commission, the California
Department of Fish and Wildlife, the Bureau of
Land Management, and the United States Fish and
Wildlife Service; or
(ii) for which the Secretary determines
existing wind and solar energy land use
planning meets or exceeds the standards
established under section 3.
(2) Energy storage project.--The term ``energy storage
project'' means equipment that--
(A) receives, stores, and delivers energy-using
batteries, compressed air, pumped hydropower, hydrogen
storage (including hydrolysis), thermal energy storage,
regenerative fuel cells, flywheels, capacitors,
superconducting magnets, or other technologies
identified by the Secretary of Energy; and
(B) has a storage capacity of not less than 5
kilowatt hours.
(3) Exclusion area.--The term ``exclusion area'' means
covered land that is identified by the Bureau of Land
Management as not suitable for development of renewable energy
projects.
(4) Federal land.--The term ``Federal land'' means--
(A) public land; and
(B) National Forest System lands administered by
the Department of Agriculture through the Forest
Service where the Secretary has authority to issue
leases for the development and utilization of
geothermal resources under section 3 and section 15 of
the Geothermal Steam Act of 1970 (30 U.S.C. 1002,
1014).
(5) Fund.--The term ``Fund'' means the Renewable Energy
Resource Conservation Fund established by section 6(c)(1).
(6) Land use plan.--The term ``land use plan'' means--
(A) with respect to public land, a land use plan
established under the Federal Land Policy and
Management Act of 1976 (43 U.S.C. 1701 et seq.); and
(B) with respect to National Forest System land, a
land management plan approved, amended, or revised
under section 6 of the Forest and Rangeland Renewable
Resources Planning Act of 1974 (16 U.S.C. 1604).
(7) National forest system.--The term ``National Forest
System'' has the meaning given the term in section 11(a) of the
Forest and Rangeland Renewable Resources Planning Act of 1974
(16 U.S.C. 1609(a)).
(8) Priority area.--The term ``priority area'' means
covered land identified by the land use planning process of the
Bureau of Land Management as being a preferred location for a
renewable energy project, including an area that is identified
as a designated leasing area under the rule of the Bureau of
Land Management entitled ``Competitive Processes, Terms, and
Conditions for Leasing Public Lands for Solar and Wind Energy
Development and Technical Changes and Corrections'' (81 Fed.
Reg. 92122 (December 19, 2016)) (or a successor regulation).
(9) Public land.--The term ``public land'' has the meaning
given the term ``public lands'' in section 103 of the Federal
Land Policy and Management Act of 1976 (43 U.S.C. 1702).
(10) Renewable energy project.--The term ``renewable energy
project''--
(A) means a project carried out on covered land
that--
(i) uses wind, solar, or geothermal energy
to generate energy; or
(ii) transmits electricity to support wind,
solar, or geothermal energy generation; and
(B) may include an associated energy storage
project.
(11) Secretary.--The term ``Secretary'' means the Secretary
of the Interior.
(b) Updating National Goals for Renewable Energy Production on
Federal Land.--Section 3104 of the Energy Act of 2020 (43 U.S.C. 3004)
is amended--
(1) in subsection (b)--
(A) by striking ``seek to'';
(B) by striking ``25'' and inserting ``60''; and
(C) by striking ``2025'' and inserting ``December
31, 2035''; and
(2) by adding at the end the following:
``(c) Update.--Not later than 18 months after the date of enactment
of this subsection, the Secretary, in consultation with the Secretary
of Agriculture and the heads of other relevant Federal agencies, shall
update the national goals for renewable energy production on Federal
land established under subsection (a).''.
(c) Land Use Planning and Updates to Programmatic Environmental
Impact Statements.--
(1) Priority areas.--
(A) Establishment of priority areas; designation of
areas eligible for the submission of renewable energy
project applications.--
(i) In general.--For purposes of renewable
energy planning, the Secretary, consistent with
the requirements described in clause (ii),
shall--
(I) update completed land use plans
that, with respect to covered lands,
have designated areas as eligible for
the submission of renewable energy
project applications; and
(II) establish priority areas on
covered land for renewable energy
projects.
(ii) Requirements.--In carrying out
activities under clauses (i) and (ii) of
subparagraph (A), the Secretary shall--
(I) after an opportunity for public
comment, review the adequacy of public
lands for renewable energy projects for
the purposes of--
(aa) encouraging and
facilitating new renewable
energy projects; and
(bb) ensuring consistency
with a mitigation sequence of
avoiding, minimizing, and
compensating for adverse
impacts to other public uses
and values of covered land,
including--
(AA) wildlife
habitat;
(BB) species listed
as threatened or
endangered under the
Endangered Species Act
of 1973 (16 U.S.C. 1531
et seq.);
(CC) water
resources;
(DD) cultural
resources;
(EE) recreational
uses;
(FF) land with
wilderness
characteristics;
(GG) land with
special management
designations; and
(HH) areas of
Tribal importance; and
(II) comply with--
(aa) the principles of
multiple use (as defined in
section 103 of the Federal Land
Policy and Management Act of
1976 (43 U.S.C. 1702)); and
(bb) the national goals for
renewable energy production
established under section 3104
of the Energy Act of 2020 (43
U.S.C. 3004), including the
minimum production goal
described in subsection (b) of
that section.
(B) Priority for certain applications.--In
considering applications for renewable energy projects
on covered land, with respect to an application for a
proposed renewable energy project on covered land that
is to be carried out in a priority area, the Secretary
shall--
(i) prioritize the application to be
carried out in any identified priority area;
and
(ii) on approval of the application,
provide to the applicant who submitted the
application the opportunity to participate in
any regional mitigation plan developed for the
applicable priority area.
(C) Programmatic planning.--
(i) Solar energy.--As soon as practicable,
but not later than 18 months after the Record
of Decision entitled ``Approved Record of
Decision and Amendments/Record of Decision for
Utility-Scale Solar Energy Development'' dated
December 2024 was issued, the Secretary shall
consider establishing priority areas on covered
land for Solar energy projects in the planning
area (as defined in the Record of Decision).
(ii) Wind energy.--As soon as practicable,
but not later than 1 year after the date of
enactment of this Act, the Secretary shall
initiate a review of the final programmatic
Environment Impact Statement referenced in the
notice of availability entitled ``Notice of
Availability of the Final Programmatic
Environmental Impact Statement on Wind Energy
Development on BLM-Administered Lands in the
Western United States, Including Proposed
Amendments to Selected Land Use Plans'' (70
Fed. Reg. 36651 (June 24, 2005)), that
considers establishment of wind application and
priority areas on covered lands, and complete
that review within 3 years of issuing a notice
of intent.
(iii) Geothermal energy.--As soon as
practicable, the Secretary shall initiate and
complete a review or update of existing
programmatic analyses for geothermal energy
development on covered lands, identifying areas
suitable for leasing and development, and
aligning such analyses with current land use
plans and transmission planning efforts.
(iv) Electric transmission.--As soon as
practicable, the Secretary shall initiate and
complete a programmatic analysis for electric
transmission development on covered lands,
identifying priority and corridor areas that
support renewable energy buildout and grid
reliability, and coordinating with regional
transmission planning processes and existing
right-of-way designations.
(2) Review and modification.--
(A) In general.--Subject to paragraph (2), not less
frequently than once every 10 years, the Secretary
shall--
(i) after an opportunity for public
comment, review the adequacy of all land
allocations for renewable energy projects under
the requirements in clause (ii) of subparagraph
(A); and
(ii) based on the review carried out under
subparagraph (A), add, modify, or eliminate
priority areas, exclusion areas, and areas on
covered land open or closed to solar or wind
energy right-of-way applications or to
geothermal leasing.
(B) Limitation.--Paragraph (1) shall not apply to
any covered land that the Secretary determines, after
seeking public input, is subject to an existing land
use plan that meets the purposes described in paragraph
(1)(A).
(C) Report.--If the Secretary determines, in an
annual report required under subsection (g) of section
3102 of the Energy Act of 2020 (43 U.S.C. 3002) (as
redesignated by subsection (d)(1)(A)), that the
national goal for renewable energy production
established under subsection (a) of section 3104 of
that Act (43 U.S.C. 3004), including the minimum
production goal established under subsection (b) of
that section, may not be met, the Secretary shall act
more frequently than otherwise required by this
subsection to designate areas eligible for the
submission of renewable energy project applications and
establish additional priority areas for renewable
energy projects.
(3) Compliance with the national environmental policy act
of 1969.--For purposes of this section, compliance with the
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.) shall be accomplished--
(A) for geothermal energy--
(i) by updating the document entitled
``Final Programmatic Environmental Impact
Statement for Geothermal Leasing in the Western
United States'' and dated October 2008; and
(ii) by incorporating into the updated
document under clause (i) any additional
regional analyses completed by Federal agencies
after the date on which the document described
in that subparagraph was finalized;
(B) for solar energy--
(i) by updating the document entitled
``Approved Record of Decision and Amendments/
Record of Decision for Utility-Scale Solar
Energy Development'' and dated December 2024,
10 years after the publication of the document;
and
(ii) by incorporating into the updated
document under clause (i) any additional
regional analyses completed by Federal agencies
after the date on which the document described
in that subparagraph was finalized; and
(C) for wind energy--
(i) by updating the document entitled
``Final Programmatic Environmental Impact
Statement on Wind Energy Development on BLM-
Administered Lands in the Western United
States'' and dated June 2005; and
(ii) by incorporating into the updated
document under clause (i) any additional
regional analyses completed by Federal agencies
after the date on which the document described
in that subparagraph was finalized.
(4) No effect on processing site-specific applications.--
Nothing in this section modifies any requirement to conduct
site-specific environmental reviews or process permits for
proposed renewable energy projects during preparation of an
updated programmatic environmental impact statement, land use
plan, or amendment to a land use plan.
(5) Coordination.--In developing any update required under
this section, the Secretary shall coordinate, on an ongoing
basis, with appropriate State, Tribal, and local governments,
transmission infrastructure owners, operators, and developers,
renewable energy developers, and other appropriate entities to
ensure that priority areas established by the Secretary under
this section take into account--
(A) economic viability (including having access to
existing or planned transmission lines);
(B) consistency with a mitigation sequence to
avoid, minimize, and compensate for impacts to--
(i) fish, wildlife, or plants;
(ii) fish, wildlife, or plant habitat;
(iii) recreational uses;
(iv) land with wilderness characteristics;
(v) land with special management
designations;
(vi) cultural resources;
(vii) areas of Tribal importance; and
(viii) other uses of covered land;
(C) feasibility of siting on previously disturbed
land, including commercial and industrial land, mine
land, and previously contaminated sites; and
(D) consistency with section 202 of the Federal
Land Policy and Management Act of 1976 (43 U.S.C.
1712), including subsection (c)(9) of that section (43
U.S.C. 1712(c)(9)).
(6) Transmission.--In carrying out this section, the
Secretary shall--
(A) determine whether adequate transmission exists
for renewable energy projects on covered land; and
(B) if a determination is made in the negative
under subparagraph (A), in coordination with the heads
of other relevant Federal agencies, review existing
land use plans to determine if amendments to those land
use plans would be appropriate to support adequate
transmission capability.
(d) Improving Wind and Solar Energy Project Permitting.--
(1) Role of renewable energy coordination offices.--Section
3102 of the Energy Act of 2020 (43 U.S.C. 3002) is amended--
(A) by redesignating subsections (e) and (f) as
subsections (f) and (g), respectively; and
(B) by inserting after subsection (d) the
following:
``(e) Processing of Wind and Solar Energy Applications.--
``(1) Delegation to state renewable energy coordination
offices.--
``(A) In general.--Notwithstanding any other
provision of law, the Secretary may delegate to a State
Renewable Energy Coordination Office the authority to
process applications for eligible projects proposed to
be carried out on land managed by the Bureau of Land
Management in the applicable State.
``(B) Roles and responsibilities of managers.--For
purposes of processing applications described in
subparagraph (A), the manager of the applicable State
Renewable Energy Coordination Office--
``(i) shall have the authority to issue
grants or leases for eligible projects;
``(ii) with the approval of the State
Director of the applicable Bureau of Land
Management State Office, may use other
employees in field and district offices of the
applicable Bureau of Land Management State
Office, or hire additional experts, to assist
with timely processing of applications, with
the costs of hiring additional experts to be
charged to applicants; and
``(iii) shall report to the State Director
of the applicable Bureau of Land Management
State Office.
``(2) Prohibition of delegation to employees of field or
district offices.--Except as provided in paragraph (1)(B)(ii),
the Secretary may not delegate to employees of field or
district offices of the Bureau of Land Management the authority
to process applications for eligible projects proposed to be
carried out on land managed by the Bureau of Land
Management.''.
(2) Cost recovery agreements.--
(A) In general.--Not later than 30 days after the
date on which an applicant submits a complete
application for a right-of-way for a wind or solar
energy project, including submission of the filing fee
required under section 2804.12 of title 43, Code of
Federal Regulations (or a successor regulation), the
Secretary shall provide a cost recovery agreement with
respect to the application.
(B) Effect.--Issuance of a cost recovery agreement
under subparagraph (A) and payment of cost recovery
fees shall preclude any new claims to the use of the
applicable covered land during any period in which the
application is active.
(C) Conflicts; studies.--
(i) Conflicts.--To be considered complete
under subparagraph (A), an application
described in that paragraph shall address any
known conflicts with respect to the use of the
applicable covered land, as identified in
scientific literature or other studies.
(ii) Additional studies.--Additional
studies shall not be required for purposes of
considering an application to be complete under
subparagraph (A).
(3) Environmental requirements.--
(A) Notice of intent.--
(i) In general.--Not later than 180 days
after the date on which the agency notifies the
applicant that the application to establish a
right-of-way is complete, or a later date to be
established by the Secretary under clause (ii),
if an environmental impact statement is
determined to be necessary, the Secretary shall
issue a notice of intent to prepare an
environmental impact statement with respect to
the application.
(ii) Extension.--The Secretary shall
establish a later date by which the notice
under clause (i) shall be issued, if the
Secretary determines that the 180-day period
under that paragraph should be extended due
to--
(I) the application being
considered a low priority under section
2804.35 of title 43, Code of Federal
Regulations (or a successor
regulation);
(II) project-specific
circumstances, including the need for
further studies, making the 180-day
deadline insufficient; or
(III) the application not meeting
the requirements for approval.
(B) Categorical exclusion.--
(i) Preliminary work.--As the Secretary
determines to be appropriate, the Secretary may
promulgate regulations providing that
preliminary geotechnical work and
meteorological monitoring relating to renewable
energy projects shall be categorically excluded
from the requirements for an environmental
assessment or environmental impact statement
under section 1501.4 of title 40, Code of
Federal Regulations (or a successor
regulation).
(ii) Deadline.--For any energy projects
eligible for a categorical exclusion under
paragraph 1, the Secretary shall issue a
decision within 90 days of the submission of a
complete application.
(4) Processing priority.--In processing applications
described in paragraph (2)(A), the Secretary shall--
(A) give priority to applications for renewable
energy projects in priority areas; and
(B) process applications for renewable energy
projects in areas that are not priority areas in the
order in which the applications are received.
(5) Use of competitive process.--
(A) In general.--Subject to subparagraph (B), the
Secretary shall not use a competitive process for the
review of an application described in paragraph (2)(A),
except--
(i) in a case in which 2 or more applicants
file an application for the same site (or
portions of the same site) not more than 15
days apart; or
(ii) as otherwise established by the
Secretary through a subsequent rulemaking
process delineating the instances in which the
Secretary will use the competitive process.
(B) Limitation.--Subparagraph (A) shall not apply
to applications for competitive right-of-way leases in
priority areas.
(e) Increasing Economic Certainty.--
(1) Rents and fees.--
(A) In general.--In determining rental rates and
other fees for renewable energy project leases or
right-of-way grants, the Secretary shall ensure that
the total rental rates and other fees charged do not
exceed the average amount charged for similar
activities on private land in the State or county in
which the rental rates and other fees are charged.
(B) Individual appraisals not required.--For
purposes of determining rental rates for renewable
energy projects, the Secretary--
(i) shall not be required to conduct
individual appraisals; and
(ii) may use average cash rents included in
the Pastureland Rents Survey prepared by the
National Agricultural Statistics Service, as
determined for the 5-year period ending on the
date on which the rental rate is determined.
(C) Increases in base rental rates.--After a base
rental rate is established for a lease or right-of-way
grant authorization for a renewable energy project, any
increase in the base rental rate shall be limited to
the Implicit Price Deflator-Gross Product Index
published by the Bureau of Economic Analysis of the
Department of Commerce on the date of issuance of the
lease or right-of way grant authorization.
(D) Capacity fees.--The Secretary may consider
charging a capacity fee for a renewable energy project
only if the Secretary determines that capacity fees are
charged within the region or State in which the
renewable energy project is carried out, as part of
leaseholds on State or private land.
(2) Bonds.--The Secretary shall adopt a process for
establishing bond requirements for decommissioning renewable
energy projects that--
(A) do not establish a minimum per acre amount; and
(B) are based on the difference between--
(i) the estimated, site-specific net costs
of reclamation of the covered land; and
(ii) the salvage value of materials
available after decommissioning the renewable
energy project.
(f) Disposition of Revenues; Renewable Energy Resource Conservation
Fund.--
(1) Disposition of revenues.--
(A) Availability.--Except as provided in
subparagraph (C), without further appropriation or
fiscal year limitation, of amounts collected from wind
and solar energy projects as bonus bids, rentals, fees,
or other payments under a right-of-way, permit, lease,
or other authorization--
(i) for the period beginning on January 1,
2027, and ending on December 31, 2046--
(I) 25 percent shall be paid by the
Secretary of the Treasury to the State
within the boundaries of which the
revenue is derived;
(II) 25 percent shall be paid by
the Secretary of the Treasury to the 1
or more counties within the boundaries
of which the revenue is derived, to be
allocated among the counties based on
the percentage of land from which the
revenue is derived;
(III) 15 percent shall be deposited
in the Treasury and credited to the
Bureau of Land Management's Renewable
Energy Management account to be made
available to the Secretary to carry out
sections 3 and 4 (including amendments
made by those sections), including the
transfer of the funds by the Bureau of
Land Management to other Federal
agencies and State agencies to
facilitate the processing of permits
for renewable energy projects, with
priority given to using the amounts, to
the maximum extent practicable, without
detrimental impacts to emerging
markets, expediting the issuance of
permits required for the development of
wind and solar energy projects in the
States from which the revenues are
derived; and
(IV) 35 percent shall be deposited
in the Fund; and
(ii) beginning on January 1, 2047--
(I) 25 percent shall be paid by the
Secretary of the Treasury to the State
within the boundaries of which the
revenue is derived;
(II) 25 percent shall be paid by
the Secretary of the Treasury to the 1
or more counties within the boundaries
of which the revenue is derived, to be
allocated among the counties based on
the percentage of land from which the
revenue is derived;
(III) 10 percent shall be deposited
in the Treasury and be made available
to the Secretary to carry out sections
3 and 4 (including amendments made by
those sections), including the transfer
of the funds by the Bureau of Land
Management to other Federal agencies
and State agencies to facilitate the
processing of permits for wind and
solar energy projects, with priority
given to using the amounts, to the
maximum extent practicable, without
detrimental impacts to emerging
markets, expediting the issuance of
permits required for the development of
renewable energy projects in the States
from which the revenues are derived;
and
(IV) 40 percent shall be deposited
in the Fund.
(B) Rule for projects located in multiple states.--
Not later than 180 days after the date of enactment of
this Act, the Secretary shall issue a proposed rule
establishing a formula for the disposition of revenues
under clauses (i)(I) and (ii)(I) of subparagraph (A) in
a case in which a wind and solar energy project is
located in more than 1 State.
(C) Filing fees.--With respect to wind and solar
energy projects--
(i) subparagraph (A) does not apply to
amounts collected from application filing fees
authorized under section 304 of the Federal
Land Policy and Management Act of 1976 (43
U.S.C. 1734); and
(ii) such application filing fees may be
retained by the applicable agency to recover
costs associated with issuing the right-of-way,
permit, or other authorization associated with
the application.
(2) Payments to states and counties.--
(A) In general.--Amounts paid to States and
Counties under paragraph (1)(A) shall be used
consistent with section 35 of the Mineral Leasing Act
(30 U.S.C. 191).
(B) Payments in lieu of taxes.--A payment to a
County under clause (i)(II) or (ii)(II) of paragraph
(1)(A) shall be in addition to a payment in lieu of
taxes received by the County under chapter 69 of title
31, United States Code.
(3) Renewable energy resource conservation fund.--
(A) In general.--There is established in the
Treasury a fund, to be known as the ``Renewable Energy
Resource Conservation Fund'', which shall be
administered by the Secretary.
(B) Use of funds.--
(i) In general.--The Secretary may make
amounts in the Fund available to Federal,
State, local, and Tribal agencies for
distribution in regions in which renewable
energy projects are located on Federal land,
for the purposes described in clause (ii).
(ii) Purposes.--The purposes referred to in
clause (i) are--
(I) restoring and protecting--
(aa) fish and wildlife
habitat for species affected by
renewable energy projects;
(bb) fish and wildlife
corridors for species affected
by renewable energy projects;
and
(cc) wetlands, streams,
rivers, and other natural water
bodies in areas affected by
renewable energy projects; and
(II) preserving and improving
recreational access to Federal land and
water in the applicable region through
an easement, right-of-way, or other
instrument from willing landowners for
the purpose of enhancing public access
to existing Federal land and water that
is inaccessible or restricted due to
renewable energy projects.
(C) Cooperative agreements.--The Secretary may
enter into cooperative agreements with State and Tribal
agencies, nonprofit organizations, and other
appropriate entities to carry out the activities
described in subparagraph (B).
(D) Investment of fund.--
(i) In general.--Any amounts deposited in
the Fund shall earn interest in an amount
determined by the Secretary of the Treasury on
the basis of the current average market yield
on outstanding marketable obligations of the
United States of comparable maturities.
(ii) Use.--Any interest earned under clause
(i) may be deposited into the Fund and used
without further appropriation.
(E) Report to congress.--At the end of each fiscal
year, the Secretary shall submit to the Committee on
Energy and Natural Resources of the Senate and the
Committee on Natural Resources of the House of
Representatives a report identifying--
(i) the amounts described in paragraph (1)
that were collected during that fiscal year,
organized by source;
(ii) the amount and purpose of payments
made to each Federal, State, local, and Tribal
agency under subparagraph (B) during that
fiscal year; and
(iii) the amount remaining in the Fund at
the end of the fiscal year.
(F) Intent of congress.--It is the intent of
Congress that the revenues deposited and expended from
the Fund shall supplement (and not supplant) annual
appropriations for activities described in subparagraph
(B).
(g) In General.--The Secretary of the Interior shall include in its
annual budget requests staffing, contracting and technological
resources necessary to meet the permitting timelines required in this
Act and in 42 U.S.C. 4336a.
(h) Savings Clause.--Notwithstanding any other provision of this
Act, the Secretary and the Secretary of Agriculture shall continue to
manage public land under the principles of multiple use and sustained
yield in accordance with title I of the Federal Land Policy and
Management Act of 1976 (43 U.S.C. 1701 et seq.) or the Forest and
Rangeland Renewable Resources Planning Act of 1974 (16 U.S.C. 1600 et
seq.), as applicable, for the purposes of land use planning, permit
processing, and conducting environmental reviews.
SEC. 502. GEOTHERMAL COST RECOVERY.
(a) Cost Recovery From Geothermal Leasing, Permitting, and
Inspections.--Section 6 of the Geothermal Steam Act of 1970 (30 U.S.C.
1005) is amended by adding at the end the following:
``(j) Cost Recovery.--
``(1) In general.--During the period that begins on the
date of enactment of this subsection and ends September 30,
2033, the Secretary may require an applicant for, or a holder
of, a geothermal lease to reimburse the United States for all
reasonable administrative and other costs incurred by the
United States from--
``(A) processing the application for the geothermal
lease, including any application for an operations
plan, geothermal drilling permit, utilization plan,
site license, facility construction permit, commercial
use permit, and any other approval associated with a
geothermal lease; and
``(B) inspecting and monitoring--
``(i) geophysical exploration activities;
``(ii) the drilling, plugging, and
abandonment of wells; and
``(iii) the construction, operation,
termination, and reclamation of any well site
or facility for the utilization of geothermal
resources pursuant to the geothermal lease.
``(2) Considerations.--In determining whether to require
reimbursement under paragraph (1), the Secretary shall consider
whether there is in existence a cooperative cost share
agreement between the United States and the holder of a
geothermal lease.
``(3) Adjustments.--The Secretary may reduce the amount to
be reimbursed under paragraph (1) if the Secretary determines--
``(A) that full reimbursement would impose an
economic hardship on the applicant; or
``(B) that a less than full reimbursement is
necessary to promote the greatest use of geothermal
resources.
``(4) Use.--The amounts reimbursed under this subsection
shall be credited to the currently applicable appropriation,
account, or fund of the Department of the Interior as
discretionary offsetting collections, and shall be available
only to the extent provided in advance in appropriations Acts
for--
``(A) processing the application for geothermal
leases, including any application for operations plans,
geothermal drilling permits, utilization plans, site
licenses, facility construction permits, commercial use
permits, and any other approval associated with
geothermal leases; and
``(B) inspecting and monitoring--
``(i) geophysical exploration activities;
``(ii) the drilling, plugging, and
abandonment of wells; and
``(iii) the construction, operation,
termination, and reclamation of any well site
or facility for the utilization of geothermal
resources pursuant to geothermal leases.''.
(b) Report.--
(1) Report.--Not later than 5 years after the date of
enactment of this Act, the Secretary of the Interior, in
consultation with the geothermal industry and other
stakeholders, shall submit to the Committee on Natural
Resources of the House of Representatives and the Committee on
Energy and Natural Resources of the Senate, and make publicly
available on the website of the Department of the Interior, a
report that includes--
(A) an assessment of how the amendments made by
subsection (b) of this Act affected the Bureau of Land
Management's geothermal program;
(B) any recommendations for reauthorization of
section 6(j) of the Geothermal Steam Act of 1970, as
added by this Act; and
(C) any other recommendations for updates to such
section and the Bureau of Land Management's geothermal
program.
(2) Considerations.--In developing the report required in
paragraph (1), the Secretary of the Interior shall solicit
facts or information from the geothermal industry and other
stakeholders.
SEC. 503. GEOTHERMAL GOLD BOOK DEVELOPMENT.
(a) Identification.--Not later than 1 year after the date of
enactment of this section, the Department of the Interior, in
consultation with other relevant Federal agencies, shall identify
standard procedures and guidelines for efficient and environmentally
responsible geothermal leasing and permitting.
(b) Publication.--Not later than 180 days after identifying
standard procedures and guidelines under subsection (a), the Department
of the Interior shall publish a ``Gold Book'' containing such standard
procedures and guidelines for use by the field offices of the Bureau of
Land Management and geothermal operators.
(c) Consultation.--Before publishing the Gold Book, the Department
of the Interior shall consult with--
(1) other relevant Federal agencies, including field
offices of the Bureau of Land Management; and
(2) outside stakeholders, including developers and other
experts.
(d) Inclusions.--The Gold Book shall include standard procedures
and guidelines for--
(1) land use planning and geothermal lease sales; and
(2) ensuring the efficient review and approval of
environmentally responsible geothermal development, including--
(A) exploration and geophysical operations;
(B) permitting lease operations;
(C) compliance with all applicable laws and
regulations;
(D) construction and maintenance;
(E) drilling and production operations;
(F) appeals; and
(G) relevant categorical exclusions available at
each stage.
(e) Periodic Revision.--The Department of the Interior shall--
(1) at least once every five years, review the Gold Book;
and
(2) as necessary, revise the Gold Book.
Subtitle B--Offshore Renewable Deployment
SEC. 511. RESPONSIBLE DEVELOPMENT OF OFFSHORE RENEWABLE ENERGY.
(a) Definitions.--Section 2 of the Outer Continental Shelf Lands
Act (43 U.S.C. 1331) is amended--
(1) in the second subsection (r), as added by section
50251(b)(1)(A)(iv) of Public Law 117-169--
(A) by redesignating such subsection (r) as
subsection (t); and
(B) by inserting after the enumerator ``State.--'';
and
(2) by adding at the end the following:
``(u) Offshore Renewable Energy Project.--The term `offshore
renewable energy project' means a project to carry out an activity
described in section 8(p)(1)(C) related to wind, solar, wave, or tidal
energy.''.
(b) National Policy for the Outer Continental Shelf.--Section 3 of
the Outer Continental Shelf Lands Act (43 U.S.C. 1332) is amended--
(1) by amending paragraph (3) to read as follows:
``(3) the outer Continental Shelf is a vital national
resource reserve held by the Federal Government for the public,
which can be made available for orderly development, subject to
environmental safeguards and coexistence with other ocean
users, in a manner which includes--
``(A) supporting the generation, transmission, and
storage of zero-emission electricity; and
``(B) the maintenance of competition and other
national needs, including the need to achieve State and
Federal zero-emission electricity or renewable energy
mandates, targets, and goals;'';
(2) by redesignating paragraphs (5) and (6) as paragraphs
(6) and (7), respectively; and
(3) by inserting after paragraph (4) the following:
``(5) the identification and development of lease areas for
offshore renewable energy projects should be determined by a
robust and transparent stakeholder process that incorporates
engagement and input from a diverse group of ocean users and
other impacted stakeholders, and Federal, State, Tribal, and
local governments;''.
(c) Leases, Easements, and Rights-of-Way on the Outer Continental
Shelf.--Section 8(p) of the Outer Continental Shelf Lands Act (43
U.S.C. 1337(p)) is amended--
(1) in paragraph (2)--
(A) in subparagraph (B)--
(i) by striking ``27'' and inserting
``17'';
(ii) by striking ``three'' and inserting
``100''; and
(iii) by striking ``15'' and inserting
``100''; and
(B) by adding at the end the following:
``(C) Payments for conservation and mitigation
activities.--
``(i) In general.--Notwithstanding section 9, the
Secretary shall, without appropriation or fiscal year
limitation, use 10 percent of the revenue received by
the Federal Government from royalties, fees, rents,
bonuses, and other payments from any lease, easement,
or right-of-way granted under this subsection to
provide grants to--
``(I) State, local, and Tribal governments,
and regional partnerships thereof, including
Regional Ocean Partnerships, Regional Wildlife
Science Collaboratives, and other similar
organizations; and
``(II) nonprofit organizations.
``(ii) Use of grants.--Grants provided under clause
(i) shall be used for carrying out activities related
to marine and coastal habitat protection and
restoration, mitigation of damage to natural resources
and marine life that results from activities authorized
by this subsection, relevant research and data sharing
initiatives, or increasing the organizational capacity
of an entity described in subclause (I) or (II) of
clause (i) to increase the effectiveness of entities
that carry out such activities.
``(D) Offshore renewable energy compensation fund.--
Notwithstanding section 9, the Secretary shall, without
appropriation or fiscal year limitation, deposit 10 percent of
the revenue received by the Federal Government from royalties,
fees, rents, bonuses, and other payments from any lease,
easement, or right-of-way granted under this subsection into
the Offshore Renewable Energy Compensation Fund established
under section 34.'';
(2) by amending paragraph (3) to read as follows:
``(3) Leasing.--
``(A) Competitive or noncompetitive basis.--The
Secretary shall issue a lease, easement, or right-of-
way under paragraph (1) on a competitive basis unless
the Secretary determines after public notice of a
proposed lease, easement, or right-of-way that there is
no competitive interest.
``(B) Schedule of offshore renewable energy lease
sales.--The Secretary shall, after providing an
opportunity for public notice and comment, publish and
periodically update a schedule not less frequently than
every 5 years of areas that may be available for
leasing in the future for offshore renewable energy
projects, indicating, to the extent possible, the
timing of site identification activities, the timing of
designation of any area to be leased, the anticipated
size of such areas, the timing of lease sales, and the
location of leasing activities.
``(C) Multi-factor bidding.--
``(i) In general.--The Secretary may
consider non-monetary factors when
competitively awarding leases under paragraph
(1), which may include commitments made by the
bidder to--
``(I) support educational,
training, and skills development,
including supporting or increasing
access to registered apprenticeship
programs and pre-apprenticeship
programs that have an articulation
agreement with a registered
apprenticeships program for offshore
renewable energy projects;
``(II) support development of
domestic supply chains for offshore
renewable energy projects, including
development of ports and other energy
infrastructure necessary to facilitate
offshore renewable energy projects;
``(III) establish a community
benefit agreement with 1 or more
community or stakeholder groups that
may be impacted by the development and
operation of an offshore renewable
energy project, which may include
covered entities;
``(IV) make investments to
evaluate, monitor, improve, and
mitigate impacts to the health and
biodiversity of ecosystems and wildlife
from the development and operation of
an offshore renewable energy project;
``(V) support the development and
use of shared transmission
infrastructure connecting to offshore
renewable energy projects; and
``(VI) make other investments
determined appropriate by the
Secretary.
``(ii) Contractual commitments.--When
considering non-monetary factors under this
subparagraph, the Secretary may--
``(I) evaluate the quality of
commitments made by the bidder; and
``(II) reward finalized binding
agreements above assurances for future
commitments.
``(iii) Definitions.--In this subparagraph:
``(I) Covered entity.--The term
`covered entity' has the meaning given
such term in section 34(k).
``(II) Registered apprenticeship
program.--The term `registered
apprenticeship program' means an
apprenticeship program registered under
the Act of August 16, 1937 (commonly
known as the National Apprenticeship
Act; 50 Stat. 664, chapter 663; 29
U.S.C. 50 et seq.).'';
(3) by amending paragraph (4) to read as follows:
``(4) Requirements.--
``(A) In general.--The Secretary shall ensure that
any activity under this subsection is carried out in a
manner that provides for--
``(i) safety;
``(ii) protection of the environment, which
includes facilitation of the generation,
transmission, and storage of zero-emission
electricity;
``(iii) prevention of waste;
``(iv) conservation of the natural
resources of the outer Continental Shelf;
``(v) coordination with relevant Federal
agencies and State, Tribal, and local
governments;
``(vi) protection of national security
interests of the United States;
``(vii) protection of correlative rights in
the outer Continental Shelf;
``(viii) a fair return to the United States
for any lease, easement, or right-of-way under
this subsection;
``(ix) reasonable uses (as determined by
the Secretary) of the exclusive economic zone,
the high seas, and the territorial seas;
``(x) consideration of--
``(I) the location of, and any
schedule relating to, a lease,
easement, or right-of-way for an area
of the outer Continental Shelf; and
``(II) any other use of the sea or
seabed, including use for a fishery, a
sealane, a potential site of a
deepwater port, or navigation;
``(xi) public notice and comment on any
proposal submitted for a lease, easement, or
right-of-way under this subsection;
``(xii) oversight, inspection, research,
monitoring, and enforcement relating to a
lease, easement, or right-of-way under this
subsection; and
``(xiii) satisfaction of any applicable
State and Federal renewable and clean energy
mandates, targets, and goals.
``(B) Project labor agreements.--
``(i) In general.--Beginning not later than
January 1, 2026, the Secretary shall require,
as a term or condition of each lease, right-of-
way, and easement, as applicable, for an
offshore renewable energy project that the
holder of the lease, right-of-way, or easement,
(and any successor or assignee) and its agents,
contractors, and subcontractors engaged in the
construction of any facilities for such
offshore renewable energy project agree, for
purposes of such construction, to negotiate and
become a party to a project labor agreement
with 1 or more labor organizations. A project
labor agreement shall bind all contractors and
subcontractors on the project through the
inclusion of appropriate specifications in all
relevant solicitation provisions and contract
documents. The Secretary shall not approve a
construction and operations plan with respect
to any offshore renewable energy project until
being assured by the lessee that such project
labor agreement will be maintained for the
duration of the project.
``(ii) Definitions.--In this subparagraph:
``(I) Construction.--The term
`construction' includes reconstruction,
rehabilitation, modernization,
alteration, conversion, extension,
repair, or improvement of any facility,
structure, or other real property
(including any onshore facilities) for
an offshore renewable energy project.
``(II) Labor organization.--The
term `labor organization' means a labor
organization as defined in section 2(5)
of the National Labor Relations Act (29
U.S.C. 152(5))--
``(aa) of which building
and construction employees are
members; and
``(bb) that directly, or
through its affiliates,
sponsors a registered
apprenticeship program.
``(III) Project labor agreement.--
The term `project labor agreement'
means a pre-hire collective bargaining
agreement with 1 or more labor
organizations that establishes the
terms and conditions of employment for
a specific construction project and is
an agreement described in section 8(e)
and (f) of the National Labor Relations
Act (29 U.S.C. 158(f)).
``(IV) Registered apprenticeship
program.--The term `registered
apprenticeship program' means an
apprenticeship program registered under
the Act of August 16, 1937 (commonly
known as the National Apprenticeship
Act; 50 Stat. 664, chapter 663; 29
U.S.C. 50 et seq.).
``(C) Domestic content.--
``(i) In general.--With respect to the
construction of facilities for an offshore
renewable energy project that begins after
January 1, 2033, the Secretary shall require
that--
``(I) all structural iron and steel
products that are (upon completion of
construction) components of such
facilities for an offshore renewable
energy project shall be produced in the
United States; and
``(II) not less than 80 percent of
the total costs of all manufactured
products that are (upon completion of
construction) components of such
facilities shall be attributable to
manufactured products which are mined,
produced, or manufactured in the United
States.
``(ii) Waiver.--The Secretary may waive the
requirements of clause (i) in any case or
category of cases in which the Secretary finds
that--
``(I) applying clause (i) would be
inconsistent with the public interest;
``(II) such products are not
produced in the United States in
sufficient and reasonably available
quantities and of a satisfactory
quality; or
``(III) the use of such products
will increase the cost of the overall
project by more than 25 percent.
``(iii) Public notification.--If the
Secretary receives a request for a waiver under
this subparagraph, the Secretary shall make
available to the public a copy of the request
and information available to the Secretary
concerning the request, and shall allow for
informal public input on the request for at
least 15 business days prior to making a
finding based on the request. The Secretary
shall make the request and accompanying
information available to the public by
electronic means, including on the official
public Internet site of the Department of the
Interior.
``(iv) International agreements.--This
paragraph shall be applied in a manner
consistent with United States obligations under
international agreements.'';
(4) by amending paragraph (7) to read as follows:
``(7) Coordination and consultation.--The Secretary shall
provide for coordination and consultation with--
``(A) the Governor of any State or the executive of
any local government that may be affected by a lease,
easement, or right-of-way under this subsection; and
``(B) Indian Tribes (following the procedures of
the President's Memorandum of Uniform Standards for
Tribal Consultation, issued on November 30, 2022 (87
Fed. Reg. 74479), or any subsequent order) before
undertaking any activities under this subsection that
may have a direct, indirect, or cumulative impact on--
``(i) the land, including allotted, ceded,
or traditional land, or interests in such land
of an Indian Tribe or member of an Indian
Tribe;
``(ii) Tribal land, cultural practices,
resources, or access to traditional areas of
cultural or religious importance;
``(iii) any part of any Federal land that
shares a border with Indian country, as such
term is defined in section 1151 of title 18,
United States Code;
``(iv) the protected rights of an Indian
Tribe, whether or not such rights are
enumerated in a treaty, including water,
hunting, gathering, and fishing rights;
``(v) the ability of an Indian Tribe to
govern or provide services to members of the
Indian Tribe;
``(vi) the relationship between the Federal
Government and an Indian Tribe; or
``(vii) the trust responsibility of the
Federal Government to an Indian Tribe.'';
(5) by amending paragraph (10) to read as follows:
``(10) Applicability.--
``(A) In general.--This subsection does not apply
to any area on the outer Continental Shelf within the
exterior boundaries of any unit of the National Park
System, National Wildlife Refuge System, or National
Marine Sanctuary System, or any National Monument.
``(B) Certain transmission infrastructure.--
``(i) In general.--Notwithstanding
subparagraph (A), if otherwise authorized
pursuant to the National Marine Sanctuaries Act
(16 U.S.C. 1431 et seq.), the Secretary may
issue a lease, easement, or right-of-way to
enable the transmission of electricity
generated by an offshore renewable energy
project.
``(ii) Terms and conditions.--In issuing a
lease, easement, or right-of-way under clause
(i), the Secretary may approve and regulate the
construction and operation of such transmission
facilities (including electrical substations
and other related infrastructure) for the
transmission of electricity generated by such
projects in a manner that minimizes
environmental impacts.
``(iii) Coordination.--In regulating the
construction and operation of transmission
facilities and related infrastructure under
clause (ii), the Secretary shall coordinate
with the Secretary of Commerce to ensure the
duration of any necessary authorizations of
such facilities under the National Marine
Sanctuaries Act aligns with the duration of the
relevant leases, easements, or rights-of-way
issued under clause (i).''; and
(6) by adding at the end the following:
``(11) Planning area impact studies.--
``(A) In general.--Beginning three years after the
date of enactment of this paragraph, before holding any
lease sale pursuant to paragraph (1) for an area, the
Secretary shall conduct a study of such area, or the
wider planning area that includes such area, in order
to establish information needed for assessment and
management of the environmental impacts on the human,
marine, and coastal environments of the outer
Continental Shelf and the coastal areas which may be
affected by offshore renewable energy projects in such
area or planning area.
``(B) Inclusions.--A study conducted under
subparagraph (A) shall--
``(i) incorporate the best available
existing science and data;
``(ii) identify areas for which there is
insufficient science and data; and
``(iii) include consideration of the
cumulative impacts (including potential
navigational impacts) of offshore renewable
energy projects on human, marine, and coastal
environments.
``(C) Use of data and assessments.--The Secretary
shall use the data and assessments included in studies
conducted under this paragraph, as appropriate, when
deciding--
``(i) which portions of an area or region
are most appropriate to make available for
leasing; and
``(ii) whether to issue any permit or other
authorization that is necessary to carry out an
offshore renewable energy project.
``(D) NEPA applicability.--The Secretary shall not
consider a study conducted under subparagraph (A) to be
a major Federal action under section 102(2)(C) of the
National Environmental Policy Act of 1969 (42 U.S.C.
4332(2)(C)).
``(12) Capacity building and community engagement.--
``(A) In general.--The Secretary, in consultation
with the Secretary of Commerce, may award grants to
entities to build organizational capacity and enhance
engagement opportunities related to offshore renewable
energy project development, including environmental
reviews and permitting activities of such projects.
``(B) Purposes.--Grants awarded under subparagraph
(A) shall be used by entities to--
``(i) enable States, Indian Tribes,
affected ocean users, and nonprofit
associations that represent affected ocean
users to compile data, conduct analyses,
educate stakeholders, and complete other
activities relating to offshore renewable
energy project development;
``(ii) engage in planning activities and in
the development of offshore wind projects for
the purposes of--
``(I) determining potential
economic, social, public health, and
environmental benefits and impacts; and
``(II) identifying opportunities to
mitigate such impacts;
``(iii) facilitate siting of offshore
renewable energy projects and associated
electric transmission infrastructure; and
``(iv) hire and train personnel, and other
activities designed to increase the capacity of
States, Indian Tribes, and nonprofit
associations, as applicable, to carry out
activities described in clauses (i) through
(iii).
``(C) Prioritization.--When awarding grants under
subparagraph (A), the Secretary shall prioritize
awarding grants that will be used to build
organizational capacity and enhance community
engagement opportunities of Indian Tribes.
``(D) Authorization of appropriations.--There are
authorized to be appropriated to the Secretary to carry
out this paragraph $25,000,000 for each of fiscal years
2026 through 2030.''.
(d) Reservations.--Section 12(a) of the Outer Continental Shelf
Lands Act (43 U.S.C. 1341(a)) is amended to read as follows--
``(a) Withdrawal of Unleased Lands by the President.--
``(1) In general.--The President of the United States may,
from time to time, withdraw from disposition any of the
unleased lands of the outer Continental Shelf.
``(2) Reversal for certain offshore renewable energy
projects.--With respect to a withdrawal under paragraph (1) of
unleased lands from disposition, the President may reverse such
a withdrawal only to allow for leasing under section
(8)(p)(1)(C) and only if the President determines that
environmental, national security, or national or regional
energy conditions or demands have changed such that a reversal
would be in the public interest.''.
(e) Citizen Suits, Court Jurisdiction, and Judicial Review.--
Section 23(c)(2) of the Outer Continental Shelf Lands Act (43 U.S.C.
1349(c)(2)) is amended to read as follows:
``(2) Any action of the Secretary to approve, require modification
of, or disapprove any exploration plan or development and production
plan under this Act, or any plan, final lease, easement, or right-of-
way granted pursuant to section (8)(p)(1) (and any related final
Federal agency actions), shall be subject to judicial review only in a
United States court of appeals for a circuit in which an affected State
is located.''.
(f) Report on Decommissioning of Offshore Renewable Energy
Projects.--Not later than 10 years after the date of enactment of this
Act, the Secretary of the Interior shall submit to Congress, and make
publicly available, a report evaluating decommissioning options for
offshore renewable energy projects (and associated electric
transmission infrastructure), including an assessment of the potential
for the holder of a lease, easement, or right-of-way to keep facilities
in place or otherwise convert such facilities to artificial reefs to
support marine habitats, provided that such facilities will not
adversely impact navigation, national security, the marine environment,
Tribal uses, or other competing uses of the outer Continental Shelf.
(g) Updating Regulations.--Not later than 270 days after the date
of enactment of this section, the Secretary of the Interior shall issue
any necessary regulations to carry out this section and the amendments
made by this section.
SEC. 512. COMPENSATION FOR OFFSHORE RENEWABLE ENERGY PROJECTS.
The Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) is
amended by adding at the end the following:
``SEC. 34. OFFSHORE RENEWABLE ENERGY COMPENSATION FUND.
``(a) Establishment.--There is established in the Treasury of the
United States the Offshore Renewable Energy Compensation Fund, which
shall be used by the Secretary, or a third-party the Secretary enters
into a contract with, to provide to covered entities--
``(1) payments for claims--
``(A) described under subsection (f)(1); and
``(B) verified pursuant to subsection (d)(1); and
``(2) grants to carry out mitigation activities described
in subsection (f)(2).
``(b) Availability of Fund.--The Fund shall be available to the
Secretary without fiscal year limitations for the purpose of providing
payments and grants under subsection (a).
``(c) Accounts.--The Fund shall--
``(1) consist of the royalties, fees, rents, bonuses, and
other payments deposited under section 8(p)(2)(D); and
``(2) be divided into separate area accounts from which
payments and grants shall be provided based on the area in
which damages occur.
``(d) Regulations.--The Secretary shall establish, by regulation, a
process to--
``(1) file, process, and verify claims for purposes of
providing payments under subsection (a)(1); and
``(2) apply for a grant provided under subsection (a)(2).
``(e) Payment Amount.--Payments provided under subsection (a)(1)
shall--
``(1) be based on the scope of the verified claim;
``(2) be fair and provided efficiently and in a transparent
manner; and
``(3) if the covered entity receiving the payment has or
will receive direct compensation for the verified claim
pursuant to a community benefit agreement or other agreement
between such covered entity and a holder of a lease, easement,
or right-of-way, be reduced by an amount that is equal to the
amount of such direct compensation.
``(f) Claims; Mitigation Grants.--
``(1) Claims.--A payment may be provided under subsection
(a)(1) for a verified claim to--
``(A) replace or repair gear that was lost or
damaged by the development, construction, operation, or
decommissioning of an offshore renewable energy
project; or
``(B) replace income that was lost from the
development, construction, operation, or
decommissioning of an offshore renewable energy
project.
``(2) Mitigation grants.--If the Secretary determines that
there are sufficient amounts in an area account of the Fund to
provide payments for all verified claims at any given time, the
Secretary may use amounts in the Fund to provide grants to
covered entities, and other entities determined appropriate by
the Secretary, to mitigate the potential effects of
development, construction, operation, and decommissioning of an
offshore renewable energy project, including by paying for gear
changes, navigation technology improvements, and other measures
to enhance the safety and resiliency of the covered entities
near an offshore renewable energy project.
``(g) Advisory Group.--
``(1) In general.--The Secretary shall establish and
regularly convene an advisory group that shall provide
recommendations on the development and administration of this
section.
``(2) Membership.--The advisory group shall--
``(A) be comprised of individuals--
``(i) appointed by the Secretary; and
``(ii) representing the geographic
diversity of areas impacted by the development,
construction, operation, or decommissioning of
offshore renewable energy projects; and
``(B) include representatives from--
``(i) recreational fishing interests;
``(ii) commercial fishing interests;
``(iii) Tribal fishing interests;
``(iv) the National Marine Fisheries
Services;
``(v) the fisheries science community; and
``(vi) other fields of expertise necessary
to effectively develop and administer this
section, as determined by the Secretary.
``(3) Travel expenses.--The Secretary may provide amounts
to any member of the advisory group to pay for travel expenses,
including per diem in lieu of subsistence, at rates authorized
for an employee of an agency under section 5703 of title 5,
United States Code, while away from the home or regular place
of business of the member in the performance of the duties of
the advisory group.
``(h) Insufficient Funds.--
``(1) In general.--If the Secretary determines that an area
account does not contain a sufficient amount to provide
payments under subsection (a)(1), the Secretary may, not more
than once each calendar year, require any holder of an offshore
renewable energy lease located within the area covered by the
area account to pay an amount specified by the Secretary, which
shall be deposited into such area account.
``(2) Amount.--No holder of an offshore renewable energy
lease shall be required to pay an amount under paragraph (1) in
excess of $3 per acre of the leased land described in paragraph
(1).
``(i) Administrative Expenses.--The Secretary may use up to 15
percent of the amount deposited into the Fund under section 8(p)(2)(D)
during a given fiscal year for administrative expenses to carry out
this section.
``(j) Annual Report.--The Secretary shall submit to Congress, and
make publicly available, an annual report on activities carried out
under this section, including a description of claims filed and the
amount of payments and grants provided.
``(k) Definitions.--In this section:
``(1) Covered entity.--The term `covered entity' means--
``(A) a community, stakeholder, or Tribal
interest--
``(i) that uses a geographic space of a
lease area, or uses resources harvested from a
geographic space of a lease area; and
``(ii) for which such use is directly and
adversely impacted by the development,
construction, operation, or decommissioning of
an offshore renewable energy project located in
such leased area; or
``(B) a regional association, cooperative, non-
profit organization, commission, or corporation that--
``(i) serves a community, stakeholder, or
Tribal interest described in subparagraph (A);
and
``(ii) acts on behalf of such a community,
stakeholder, or Tribal interest for purposes of
this section, including by submitting a claim
for a covered entity.
``(2) Fund.--The term `Fund' means the Offshore Renewable
Energy Compensation Fund established under subsection (a).
``(3) Lease area.--The term `lease area' means an area
covered by an offshore renewable energy lease.
``(4) Offshore renewable energy lease.--The term `offshore
renewable energy lease' means a lease, easement, or right-of-
way granted under section 8(p)(1)(C).''.
SEC. 513. INTEROPERABILITY OF OFFSHORE ELECTRIC TRANSMISSION
INFRASTRUCTURE.
(a) Study.--Not later than 2 years after the date of enactment of
this Act, the Secretary of Energy shall complete and publish on the
website of the Department of Energy a study that assesses the need to,
and challenges of, developing and standardizing interoperable electric
grid components, systems, and technologies in support of shared
offshore transmission networks. Such study shall include
recommendations for Congress, State, Tribal, and local governments,
manufacturers of electric grid components, systems, and technologies,
Transmission Organizations, offshore electricity generation project
developers, and appropriate standards organizations to help ensure
interoperability of electric grid components, systems, and technologies
between offshore electricity generation projects and shared offshore
infrastructure connecting to onshore transmission systems.
(b) Interoperability Standard Development Program.--
(1) In general.--The Secretary of Energy shall establish
and implement a program to identify, develop, support,
document, and encourage the adoption of standards necessary to
maximize the interoperability of electric grid components,
systems, and technologies to accelerate the implementation and
delivery of electricity generated by offshore electricity
generation projects through shared electricity transmission
infrastructure.
(2) Goals.--The goals of establishing and implementing the
program under paragraph (1) shall be--
(A) to harmonize and standardize functional
specifications of electric grid components, systems,
and technologies to maximize the interoperability of
electric grid components, systems, and technologies
across types and manufacturers;
(B) to hasten adoption of shared electric
transmission infrastructure, including interregional
transmission infrastructure, for offshore electricity
generation by encouraging cooperation among
manufacturers of electric grid components, systems, or
technologies in order to--
(i) maximize interoperability of such
manufacturers' electric grid components,
systems, or technologies;
(ii) reduce offshore electricity generation
project delays and cost overruns;
(iii) manage power grid complexity; and
(iv) enhance electric grid resilience,
reliability, and cybersecurity; and
(C) to identify common technical specifications to
effectively and securely measure, monitor, control, and
protect offshore electricity generation and electric
transmission infrastructure from the point of
generation to load centers.
(3) Financial assistance.--Under the program established
and implemented under paragraph (1), the Secretary may provide
grants to--
(A) engage equipment manufacturers and industry
stakeholders in collaborative platforms, including
workshops and forums;
(B) identify current challenges and propose
solutions to improve interoperability of electric grid
components, systems, and technologies;
(C) develop a set of voluntary industry standards
to maximize interoperability of electric grid
components, systems, and technologies that meet the
goals described in paragraph (2); and
(D) promote data sharing alignment with the
Department of Energy, the National Oceanic and
Atmospheric Administration, and the Bureau of Ocean
Energy Management to integrate oceanographic, wildlife,
and grid planning data relevant to offshore
transmission corridors.
(c) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Energy to carry out this section
$5,000,000, to remain available until expended.
(d) Definition.--In this section, the term ``Transmission
Organization'' has the meaning given such term in section 3(29) of the
Federal Power Act (16 U.S.C. 796).
TITLE VI--PROTECTING CONSUMERS IN ELECTRICITY REGULATION
SEC. 601. UTILITY EARNINGS TIED TO RATEPAYER BENEFITS.
(a) Amendments to the Federal Power Act.--
(1) In general.--Section 219 of the Federal Power Act (16
U.S.C. 824s) is amended--
(A) in subsection (a)--
(i) by striking ``Not later than 1 year
after the date of enactment of this section,
the Commission shall establish, by rule,'' and
inserting ``The Commission shall issue such
rules as may be necessary to establish''; and
(ii) by inserting ``, improving
efficiency,'' after ``ensuring reliability'';
(B) in subsection (b)--
(i) in the matter preceding paragraph (1),
by striking ``The rule shall'' and inserting
``The rules issued under this section shall'';
(ii) in paragraph (1), by inserting ``, and
operational improvements for,'' after ``capital
investment in'';
(iii) in paragraph (2)--
(I) by inserting ``or other
incentive mechanism'' after ``return on
equity''; and
(II) by inserting ``or incentivizes
improvements that increase the
efficiency of the transmission of
electric energy and reduce costs for
consumers'' after ``(including related
transmission technologies)'';
(iv) in paragraph (3), by inserting ``,
including performance-based measures,'' after
``other measures''; and
(v) in paragraph (4)--
(I) in subparagraph (A), by
striking ``; and'' and inserting a
semicolon;
(II) in subparagraph (B), by
striking the period and inserting ``;
and''; and
(III) by adding at the end the
following new subparagraph:
``(C) amounts determined pursuant to shared savings
frameworks or other incentive mechanisms prescribed in
such rules.''; and
(C) by amending subsection (c) to read as follows:
``(c) Transmission Organization-Based Incentives.--
``(1) Transmission organization membership.--In a rule
issued under this section, the Commission shall, to the extent
within its jurisdiction, provide for incentives to each
transmitting utility or electric utility that joins a
Transmission Organization.
``(2) Initial membership incentive.--In carrying out
paragraph (1), the Commission shall provide for an electric
utility to yield a return on equity incentive--
``(A) of not more than 50 basis points for the 3-
year period beginning on the date on which the electric
utility joins a Transmission Organization; and
``(B) the transfer of a transmitting utility from 1
transmission organization to another shall not trigger
a new period under subparagraph (A).
``(3) Regional and interregional facility incentive.--After
the expiration of the period under paragraph (2)(A), the
Commission may provide a return on equity incentive of not more
than 75 basis points with respect to transmission facilities of
such utility that--
``(A) provide demonstrable benefits to customers on
a regional or interregional basis, as determined by the
Commission; and
``(B) are selected in a transmission planning
process conducted by a Transmission Organization or by
2 or more such organizations on an interregional basis.
``(4) Incentives for non-members.--In the case of an
electric utility that is not a member of a Transmission
Organization, the Commission may provide an additional return
on equity incentive of not more than 25 basis points with
respect to transmission facilities that satisfy the criteria
set forth in paragraph (3).
``(5) Guardrails.--In determining whether, and at what
level, to provide incentives under this subsection, the
Commission may consider--
``(A) measurable customer benefits, including
reliability, resilience, and congestion cost
reductions;
``(B) cost discipline, including consistency with
least-cost planning and mitigation of excessive capital
bias; and
``(C) the persistence and magnitude of expected
benefits.
``(6) Duration and review.--The Commission may establish
time limits for incentives under this subsection and shall
provide for periodic review and adjustment or termination of
such incentives if the underlying bases for the incentives no
longer exist.
``(7) Method of cost recovery.--The Commission shall ensure
that any costs recoverable pursuant to this subsection may be
recovered by such utility through the transmission rates
charged by such utility or through the transmission rates
charged by the Transmission Organization that provides
transmission service to such utility.''.
(2) Rulemakings.--
(A) Deadline.--Not later than 1 year after the date
of the enactment of this section, the Commission shall
revise the rule issued under section 219 of the Federal
Power Act (16 U.S.C. 824s) to implement the amendment
made by paragraph (1)(C).
(B) Considerations.--In revising the rule specified
in paragraph (1)(C) with respect to the implementation
of the return on equity incentive under section 219(c)
of the Federal Power Act, as amended by such paragraph,
the Commission shall take into consideration the
following:
(i) The Notice of Proposed Rulemaking
titled ``Electric Transmission Incentives
Policy Under Section 219 of the Federal Power
Act'', published in the Federal Register on
April 2, 2020 (85 Fed. Reg. 18784).
(ii) The Supplemental Notice of Proposed
Rulemaking titled ``Electric Transmission
Incentives Policy Under Section 219 of the
Federal Power Act'', published in the Federal
Register on April 26, 2021 (86 Fed. Reg.
21972).
(b) Rulemaking on Shared Savings Framework for Transmitting
Utilities Subject to Federal Energy Regulatory Commission
Jurisdiction.--
(1) Rule required.--Not later than one year after the date
of the enactment of this section, the Commission shall issue a
final rule under section 219(b)(3) of the Federal Power Act (16
U.S.C. 824s(b)(3)), as amended by subsection (a), that
establishes a framework under which a covered transmitting
utility may recover a portion of verified cost savings
attributable to a qualifying action of such transmitting
utility as an incentive (in this subsection referred to as the
``shared savings framework'').
(2) Methodologies.--The Commission shall develop and
include in the rule under paragraph (1) standardized
methodologies, applicable across similarly situated
transmission segments, as follows:
(A) Baseline performance methodologies.--
Methodologies, developed in consultation with the
Secretary, for covered transmitting utilities to
determine the annual baseline performance of
transmission facilities or transmission segments absent
qualifying actions--
(i) by measuring the baseline performance
of such a transmission facility or transmission
segment--
(I) through the actual amount of
electrical energy entering and leaving
such facility or segment (commonly
referred to as ``direct metering''); or
(II) if the method under subclause
(I) is not feasible, through an
estimation of such amount consistent
with modeling methodologies prescribed
by the Commission; and
(ii) by normalizing data to ensure such
baseline performance accounts for variability
in exogenous factors determined by the
Commission, such as variability in--
(I) weather;
(II) demand over time;
(III) upgrades, interconnections,
or operational changes made by other
utilities, Independent System Operators
or Regional Transmission Organizations,
or other entities determined relevant
by the Commission; or
(IV) other conditions affecting
demand or generation.
(B) Methodologies relating to cost savings.--
Methodologies for covered transmitting utilities to
estimate and calculate, and for independent evaluators
to verify, the cost savings attributable to qualifying
actions under the shared savings framework, taking into
account--
(i) the baseline performance of any
transmission facility or transmission segment
with respect to which a qualifying action is
conducted; and
(ii) price proxies, determined according to
a methodology prescribed by the Commission, for
the value of electric energy transmitted (which
may include, for a region managed by an
Independent System Operator or Regional
Transmission Organization, the locational
marginal price corresponding to the location on
the electric grid where an injection or
withdrawal of power is modeled (commonly
referred to as a ``pricing node'')).
(C) Methodologies relating to recoverable
percentage and rate recovery timeline.--
(i) In general.--Methodologies for covered
transmitting utilities to determine, taking
into account the factors described in clause
(ii), the following:
(I) The total percentage of cost
savings attributable to a qualifying
action that such a utility may recover
as an incentive under the shared
savings framework, which may not be
less than 10 percent or greater than 60
percent of such total attributable cost
savings (in this subsection referred to
as the ``recoverable percentage'' of
such savings).
(II) The period of time during
which such a utility may recover
amounts as an incentive for such an
action, which may not be shorter than a
2-year period or longer than a 5-year
period (in this subsection referred to
as the ``rate recovery timeline'' for
such action).
(ii) Factors.--The factors described in
this clause are the following:
(I) The extent of financial or
operational risk to be assumed by a
covered transmitting utility in
conducting a qualifying action.
(II) The baseline performance for
transmission facilities or transmission
segments with respect to which such
action is to be conducted.
(III) The replicability or
demonstration value of such action.
(IV) The duration of cost savings
predicted to result from such action
and whether such cost savings will
remain consistent over such duration.
(V) The extent to which such action
is expected to result in additional
benefits, such as improvements to the
resilience or the reliable operation of
the bulk-power system, reductions to
transmission congestion, or reductions
to greenhouse gas emissions.
(VI) Such other factors as the
Commission may determine relevant to
ensure the incentive is performance-
based, transparent, and cost-effective.
(3) Initial filing required.--To be considered for an
incentive under the shared savings framework for the conduct of
a qualifying action, a covered transmitting utility shall
submit to the Commission an initial filing, the contents of
which shall be verified by an independent evaluator determined
appropriate by the Commission, that includes the following:
(A) An identification of the baseline performance
of any transmission facility or transmission segment
with respect to which such action is to be conducted
for the 1-year period preceding the date on which such
conduct is to be commenced, determined by such utility
pursuant to an applicable methodology under paragraph
(2)(A) (including the data underlying such
calculation).
(B) A description of such action, including an
analysis of improvements expected to result from such
action.
(C) The rate recovery timeline for such action and
the recoverable percentage of cost savings attributable
to such action, determined pursuant to an applicable
methodology under paragraph (2)(C).
(D) An estimate, developed pursuant to an
applicable methodology under paragraph (2)(B), of the
cost savings to result from such action for--
(i) the 1-year period beginning on the date
on which the conduct of such action commences;
and
(ii) the duration of the rate recovery
timeline for such action.
(E) A claim for 50 percent of the recoverable
percentage of cost savings estimated under subparagraph
(D)(i).
(F) An agreement by such utility to file with the
Commission the annual reports required under paragraph
(4), the contents of which shall be verified by an
independent evaluator determined appropriate by the
Commission.
(4) Annual reporting required.--Beginning 1 year after the
date on which a covered transmitting utility submits an initial
filing for a qualifying action under paragraph (3), and on an
annual basis thereafter until the end of the rate recovery
timeline for such action determined under subparagraph (C) of
such paragraph or until such action no longer results in cost
savings, whichever occurs first, such utility shall file with
the Commission a report containing, with respect to the
qualifying action of such utility, the following:
(A) Data on the performance during the preceding
year of any transmission facility or transmission
segment with respect to which such action was
conducted, and a comparison of such performance to the
baseline performance of that transmission facility or
transmission segment determined pursuant to an
applicable methodology under paragraph (2)(A) for such
year.
(B) The actual cost savings attributable to the
qualifying action for the preceding year, calculated
pursuant to an applicable methodology under paragraph
(2)(B).
(C) If such utility expects cost savings to result
from the qualifying action during the following year,
an estimate, developed pursuant to an applicable
methodology under paragraph (2)(B), of the cost savings
for such following year.
(D) A claim for the following:
(i) An amount that is the recoverable
percentage of the actual cost savings for the
preceding year calculated under subparagraph
(B) minus any amount previously recovered based
on an estimate of cost savings for such year
under paragraph (5)(A) or paragraph (5)(B)(ii),
as the case may be.
(ii) If the report includes an estimate of
cost savings for the following year under
paragraph (5), an amount that is 50 percent of
the recoverable percentage of such estimated
cost savings.
(E) If such utility finds that the total amount
recovered for a year under paragraph (5) exceeds the
amount equal to the total recoverable percentage of the
actual cost savings for that year under subparagraph
(B), an identification of the excess amount.
(5) Recovery mechanism.--
(A) Rate adjustment based on initial filing.--Not
later than 60 days after receiving an initial filing of
a covered transmitting utility under paragraph (3), the
Commission shall provide to such utility a rate
adjustment under which such utility may recover the
amount claimed under paragraph (3)(D).
(B) Rate adjustment based on annual reports.--Not
later than 60 days after receiving an annual report of
a covered transmitting utility under paragraph (4), the
Commission shall provide to such utility a rate
adjustment under which--
(i) subject to subparagraph (C), such
utility may recover the amount claimed under
paragraph (4)(D)(i); and
(ii) if the report included a claim under
paragraph (4)(D)(ii), such utility may recover
the amount so claimed.
(C) Reconciliation.--If a utility identifies an
excess amount under paragraph (4)(E), or the Commission
determines the information reported for that year under
paragraph (4) is insufficient for purposes of this
paragraph, the Commission shall credit the difference
to ratepayers through a rate adjustment.
(6) Sense of congress regarding additional rulemakings.--It
is the sense of Congress that--
(A) following the issuance of the rule under
paragraph (1), the Commission should revise such rule,
or issue additional rules under the authority of
section 219(b)(3) of the Federal Power Act (16 U.S.C.
824s(b)(3)), as amended by subsection (a), to expand
the shared savings framework to additional categories
of measurable, demonstrable, and verifiable covered
transmission actions;
(B) any such rule should include a version of the
methodologies developed under paragraph (2) adapted for
such additional categories; and
(C) any such rule should take into account the
findings of the most recently conducted study under
subsection (e).
(c) Guidance for Electric Utilities Not Subject to Federal Energy
Regulatory Commission Jurisdiction.--
(1) In general.--Not later than 2 years after the date of
enactment of this section, the Secretary, in coordination with
the Commission and State regulatory authorities, shall develop
and publish on a publicly available website of the Department
of Energy guidance to support State regulatory authorities in
establishing frameworks under which covered electric utilities
may recover a portion of verified cost savings attributable to
a covered utility action as an incentive.
(2) Minimum elements.--The guidance under paragraph (1)
shall include--
(A) guidance, developed in accordance with
paragraph (3), for determining the baseline performance
of a covered electric utility absent a covered utility
action;
(B) guidance, developed in accordance with
paragraph (4), for determining the cost savings
attributable to a covered utility action;
(C) guidance for the measurement and verification
of a covered utility action, and any cost savings
attributable to such action, by an independent
evaluator determined appropriate by the State
regulatory authority concerned;
(D) guidance on potential mechanisms by which
covered electric utilities may recover a portion of the
verified cost savings attributable to a covered utility
action, including through the provision of rate
adjustments by State regulatory authorities; and
(E) such other elements as the Secretary determines
appropriate to ensure the framework specified in
paragraph (1) is transparent, performance-based, cost-
effective, and consistent with State ratemaking
practices.
(3) Methodology for determining baseline performance.--
(A) In general.--In developing the guidance under
paragraph (2)(A), the Secretary, acting through the
heads of the Grid Deployment Office, Office of
Electricity, and Office of Energy Efficiency and
Renewable Energy of the Department of Energy, in
coordination with the Commission, shall--
(i) consult with State regulatory
authorities, Independent System Operators,
Regional Transmission Organizations, and
independent evaluators determined appropriate
by the Secretary regarding such guidance;
(ii) include in such guidance technical
guidance for normalizing data to ensure the
baseline performance of a covered electric
utility accounts for variability in exogenous
factors, such as variability in--
(I) weather;
(II) demand over time;
(III) upgrades, interconnections,
or operational changes made by other
utilities, Independent System Operators
or Regional Transmission Organizations,
or other entities determined relevant
by the Commission; or
(IV) other conditions affecting
demand or generation, as determined by
the Secretary; and
(iii) ensure such guidance supports
consistent treatment across covered electric
utilities within each category described in
paragraph (5).
(B) Support from national laboratories.--The
National Laboratories shall provide such technical
support as the Secretary determines necessary to carry
out this paragraph.
(4) Guidance on determining cost savings.--In developing
the guidance under paragraph (2)(B), the Secretary shall--
(A) include in such guidance--
(i) principles to ensure that cost savings
attributable to a covered utility action are
calculated in a manner that takes into account
price proxies for the value of electric energy
and the baseline performance of the covered
electric utility; and
(ii) tools, technical support, and
reference data to assist State regulatory
authorities in applying the principles
specified in clause (i); and
(B) ensure such guidance supports consistent
treatment across covered electric utilities within each
category described in paragraph (5).
(5) Applicability to utility market structures.--In
carrying out paragraph (1), the Secretary shall develop
separate guidance for each category of covered electric
utilities as follows:
(A) Vertically integrated utilities.
(B) Covered electric utilities that own or operate
transmission infrastructure but not distribution or
generation infrastructure.
(C) Covered electric utilities that own or operate
distribution infrastructure but not transmission or
generation infrastructure.
(D) Covered electric utilities that own or operate
distribution and transmission infrastructure but not
generation infrastructure.
(6) Revisions.--Upon the publication of each report under
subsection (e), the Secretary shall determine whether to revise
the guidance under paragraph (1), taking into account the
contents of such report and the recommendations included
therein.
(d) Grant Program for State Regulatory Authorities.--
(1) Establishment.--Not later than 2 years after the date
of the enactment of this section, the Secretary shall establish
a program under which the Secretary may award grants to State
regulatory authorities to support the development,
implementation, and oversight by such State regulatory
authorities of frameworks under which covered electric
utilities may recover a portion of verified cost savings
attributable to a covered utility action as an incentive (in
this subsection referred to as the ``grant program'').
(2) Authorized uses of funds.--Amounts awarded under the
grant program may only be used to conduct the following
activities:
(A) The development of a framework referred to in
paragraph (1), or revision of an existing such
framework, such that the framework is consistent with
the guidance developed under subsection (c), including
the following:
(i) The development, including the design
or modeling, of methodologies consistent with
the methodologies set forth under such
guidance.
(ii) The development of data systems or
other tools necessary for the development of
the framework.
(iii) The issuance or revision of
regulations necessary for the development of
the framework.
(iv) The engagement with stakeholders with
respect to the development of the framework.
(B) The implementation or oversight of a framework
consistent with such guidance.
(3) Prohibited use of funds.--No amounts awarded under the
grant program may be used to pay a covered electric utility.
(4) Grant recipient reporting requirement.--
(A) In general.--As a condition of receiving
amounts under the grant program, a State regulatory
authority shall agree to submit to the Secretary, on an
annual basis for the duration of the period in which
such State regulatory authority expends such amounts, a
report describing the activities carried out using such
amounts.
(B) Effect of noncompliance.--If a grant recipient
fails to submit a report required under subparagraph
(A), such recipient shall be ineligible for additional
awards under this subsection until the report is
submitted.
(5) Administration of program.--
(A) Technical support; public registry.--In
carrying out the grant program, the Secretary shall--
(i) provide to grant recipients technical
assistance in support of activities conducted
using amounts awarded under the grant program;
and
(ii) maintain a publicly accessible
registry of the activities so conducted.
(B) Reporting by secretary.--Not later than 2 years
after the date of enactment of this section, and
biennially thereafter for the duration of the grant
program, the Secretary shall submit to the appropriate
congressional committees a report containing--
(i) a summary of the activities conducted
using amounts awarded under the grant program;
(ii) an assessment of the effectiveness of
any framework implemented using such amounts;
and
(iii) an identification of any barrier to
the development, implementation, or oversight
of a framework consistent with the guidance
developed under subsection (c) and
recommendations for addressing such barrier, as
applicable.
(C) Allocation of funds.--Of the amounts authorized
to be appropriated or otherwise made available to the
Secretary to carry out the grant program--
(i) not more than 70 percent may be awarded
for the conduct of activities under paragraph
(2)(A);
(ii) not less than 30 percent may be
awarded for the conduct of activities under
paragraph (2)(B); and
(iii) not more than 5 percent may be
obligated or expended for Federal
administrative expenses.
(e) Studies on Effects of Certain Rate Treatments and Alternative
Frameworks.--
(1) Studies required.--Not later than 3 years after the
date of enactment of this section, and every 5 years
thereafter, the Secretary, in consultation with the Commission,
shall--
(A) conduct a study on--
(i) inefficiencies in the electric power
sector incentivized by existing rate treatments
for the transmission of electric energy and any
economic, environmental, or societal effect of
such inefficiencies, including with respect to
the customers of electric utilities, the
reliable operation of the bulk-power system,
and the deployment of cost-effective advanced
transmission technologies; and
(ii) alternative frameworks for incentive-
based, including performance-based, rate
treatments for such transmission, such as the
alternative frameworks described in paragraph
(2); and
(B) publish on a publicly available website of the
Department of Energy, and submit to the appropriate
congressional committees, a report that includes--
(i) a detailed description of the findings
of such study; and
(ii) recommendations of the Secretary to
align rate treatments for the transmission of
electric energy with the goals of lowering
costs for the customers of electric utilities,
enhancing the reliable operation of the bulk-
power system, reducing transmission congestion
and other inefficiencies in the transmission or
delivery of electric energy, and encouraging
the deployment of cost-effective advanced
transmission technologies.
(2) Examples of alternative frameworks.--The alternative
frameworks described in this paragraph are the following:
(A) Shared savings frameworks.
(B) Revenue decoupling models, under which
authorized revenues of utilities are separated from
volumetric sales of electricity to reduce disincentives
for energy efficiency and programs to reduce the
consumption of, or peak demand for, electric energy.
(C) Return on equity adjustments, under which
authorized utility returns are increased or decreased
based on measurable factors such as risk profile,
performance outcomes, or efficiency improvements.
(D) Multi-year rate plans, under which revenue
requirements and performance expectations for utilities
are established for a fixed multi-year period rather
than through single-year rate cases.
(E) Earnings sharing mechanisms, under which
earnings of utilities falling outside an authorized
range as compared to the return on equity are shared
between shareholders and ratepayers.
(F) Total expenditure models, under which capital
and operating expenditures of utilities are treated on
an equivalent basis to reduce bias toward capital
investment.
(G) Performance scorecards, under which utilities
are evaluated against transparent outcome-based metrics
such as reliability, affordability, equity, or the
reduction of emissions, with results informing
regulatory decisions or incentive adjustments.
(3) Sources.--The Secretary shall ensure that each study
under paragraph (1) is informed by--
(A) reports filed with the Commission pursuant to
subsections (b) and (d) of this section, and section
304 of the Federal Power Act (16 U.S.C. 825c);
(B) relevant reports issued by the National
Laboratories; and
(C) such other studies, reports, and other data
sources as the Secretary may determine appropriate.
(f) Definitions.--In this section:
(1) Advanced conductor.--The term ``advanced conductor''
means an electric transmission conductor that, relative to a
conductor being replaced on a given transmission or
distribution line, is designed to substantially improve
electrical or mechanical performance through the achievement of
the following criteria, as determined by the Commission:
(A) A substantial increase in current-carrying
capacity under normal operating conditions.
(B) A substantial reduction in electrical
resistance or line losses under normal operating
conditions.
(C) Operation at materially higher continuous
allowable operating temperatures.
(D) A reduction in thermal sag or mechanical
constraints that enables increased use of a
transmission segment or facility.
(2) Advanced transmission technology.--The term ``advanced
transmission technology'' means any hardware or software that--
(A) increases the capacity, efficiency,
reliability, resilience, or safety of transmission
facilities and transmission technologies;
(B) is installed in addition to new or existing
transmission facilities and transmission technologies--
(i) to give operators of the transmission
facilities and transmission technologies more
situational awareness and control over the
electric grid;
(ii) to make the transmission facilities
and transmission technologies more efficient;
or
(iii) to increase the transfer capacity of
the transmission facilities and transmission
technologies; and
(C) includes, but is not limited to, dynamic line
ratings, advanced conductors, topology optimization,
advanced power-flow controls, and other digital or
physical systems that increase the usable transfer
capability of the grid.
(3) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Energy and Commerce of the
House of Representatives; and
(B) the Committee on Energy and Natural Resources
of the Senate.
(4) Bulk-power system; electric utility; independent system
operator; regional transmission organization; state regulatory
authority; transmitting utility.--The terms ``bulk-power
system'', ``electric utility'', ``Independent System
Operator'', ``Regional Transmission Organization'', ``State
regulatory authority'', and ``transmitting utility'' have the
meanings given such terms in section 3 of the Federal Power Act
(16 U.S.C. 796).
(5) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(6) Covered electric utility.--The term ``covered electric
utility'' means an electric utility not subject to the
jurisdiction of the Commission for ratemaking purposes under
Part II of the Federal Power Act (16 U.S.C. 824 et seq.).
(7) Covered action.--The term ``covered action''--
(A) means an action that would generate cost
savings for ratepayers; and
(B) does not include the construction of a new
facility or the complete reconstruction of an existing
facility.
(8) Covered transmission action.--The term ``covered
transmission action'' means a covered action to improve the
efficiency, capacity, reliability, or resilience of 1 or more
transmission facilities or transmission segments, including
through--
(A) the replacement of a conductor on a
transmission line within such a facility or segment
with an advanced conductor; or
(B) the deployment of an advanced transmission
technology.
(9) Covered transmitting utility.--The term ``covered
transmitting utility'' means a transmitting utility subject to
the jurisdiction of the Commission for ratemaking purposes
under part II of the Federal Power Act (16 U.S.C. 824 et seq.).
(10) Covered utility action.--The term ``covered utility
action'' means a covered action taken by an electric utility
to--
(A) improve the efficiency of the generation,
transmission, or distribution of electric energy,
including by reducing the proportion of electrical
energy lost during such generation, transmission, or
distribution (including through the deployment of
energy storage systems or other technologies); or
(B) reduce the consumption of, or peak demand for,
electric energy, including through--
(i) a technological improvement, such as
the deployment of high-efficiency appliances,
smart thermostats, distributed energy
resources, or building retrofits;
(ii) the establishment of a pricing
mechanism to encourage customers of the
electric utility to reduce such consumption or
shift such demand to non-peak hours; or
(iii) any other action or program to
incentivize or otherwise produce such a
reduction or shift in demand.
(11) Qualifying action.--The term ``qualifying action''
means a covered transmission action achieved through the
reduction of transmission physical losses.
(12) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(13) Similarly situated.--The term ``similarly situated'',
with respect to transmission segments, means transmission
segments that the Commission determines share comparable
characteristics, such as voltage class, geography, load
profile, or historical performance.
(14) Transmission physical loss.--The term ``transmission
physical loss'' means the amount of electrical energy that
enters a transmission segment but does not exit such
transmission segment, as measured over a prescribed period of
time.
(15) Transmission segment.--The term ``transmission
segment'' means a functionally distinct portion of an
interconnected transmission system (such as a single
transmission line or multiple transmission lines within a
prescribed zone, such as between prescribed substations), for
which the amount of electrical energy transmitted and the
amount of electrical energy lost during such transmission may
be independently measured, as determined by the Commission.
(16) Vertically integrated electric utility.--The term
``vertically integrated electric utility'' means a covered
electric utility that--
(A) owns and operates generation, transmission, and
distribution facilities; and
(B) directly provides retail electric service to
end-use customers.
SEC. 602. CONSUMER PROTECTION FROM ENERGY MARKET MANIPULATION.
(a) Amendments to the Federal Power Act.--
(1) Enforcement of certain provisions.--Section 316A of the
Federal Power Act (16 U.S.C. 825o-1) is amended by adding at
the end the following:
``(c) Prohibition or Suspension for Violations.--The Commission may
prohibit, conditionally or unconditionally, permanently or for such
period of time as the Commission determines to be appropriate, any
person who is engaged or has engaged in practices constituting a
violation of section 221 or 222 (and related rules and regulations)
from engaging, directly or indirectly, in the business of purchasing or
selling--
``(1) electric energy;
``(2) electric energy products, including financial
transmission rights; or
``(3) transmission services subject to the jurisdiction of
the Commission.''.
(2) Conforming amendments.--Section 314(d) of the Federal
Power Act (16 U.S.C. 825m(d)) is amended--
(A) in the matter preceding paragraph (1)--
(i) by striking ``individual'' and
inserting ``person''; and
(ii) by inserting ``or 222'' after
``section 221'';
(B) in paragraph (1), by inserting ``with respect
to a person who is an individual,'' before ``acting'';
and
(C) in paragraph (2)--
(i) in the matter preceding subparagraph
(A), by inserting ``, directly or indirectly,''
after ``engaging'';
(ii) in subparagraph (A), by striking ``;
or'' and inserting a semicolon;
(iii) by redesignating subparagraph (B) as
subparagraph (C); and
(iv) by inserting after subparagraph (A)
the following:
``(B) electric energy products, including financial
transmission rights; or''.
(b) Amendments to Natural Gas Act.--
(1) Prohibition on filing false information.--The Natural
Gas Act (15 U.S.C. 717 et seq.) is amended by inserting after
section 4A the following:
``SEC. 4B. PROHIBITION ON FILING FALSE INFORMATION.
``No person shall willfully and knowingly report to a Federal
agency or private-sector price-reporting agency, with intent to
fraudulently affect the data being compiled by the Federal agency or
private-sector price-reporting agency, any information relating to the
transportation or sale of natural gas subject to the jurisdiction of
the Commission (including information relating to the availability and
prices of natural gas sold at wholesale and in interstate commerce and
information relating to the operation of facilities for the
transportation and sale of natural gas at wholesale and in interstate
commerce) that the person knows to be false at the time of the
reporting.''.
(2) Civil penalty authority.--Section 22 of the Natural Gas
Act (15 U.S.C. 717t-1) is amended by adding at the end the
following:
``(d) Prohibition or Suspension for Violations.--The Commission may
prohibit, conditionally or unconditionally, permanently or for such
period of time as the Commission determines to be appropriate, any
person who is engaged or has engaged in practices constituting a
violation of section 4A or 4B (including related rules and regulations)
from engaging, directly or indirectly, in the business of purchasing or
selling--
``(1) natural gas; or
``(2) transmission services subject to the jurisdiction of
the Commission.''.
(3) Conforming amendments.--Section 20(d) of the Natural
Gas Act (15 U.S.C. 717s(d)) is amended--
(A) in the matter preceding paragraph (1), by
striking ``individual'' and inserting ``person'';
(B) in paragraph (1), by inserting ``with respect
to a person who is an individual,'' before ``acting'';
and
(C) in paragraph (2), in the matter preceding
subparagraph (A), by inserting ``, directly or
indirectly,'' after ``engaging''.
SEC. 603. AVOIDING COST SHIFTS ONTO FAMILIES.
(a) In General.--Section 111(d) of the Public Utility Regulatory
Policies Act of 1978 (16 U.S.C. 2621(d)) is amended by adding at the
end the following:
``(22) Large load facility class.--
``(A) Classification.--Large load facilities shall
be considered a class of electric consumers.
``(B) Cost recovery relating to large load facility
class.--Each electric utility that provides electric
service to a class of electric consumers described in
subparagraph (A) shall fully recover from such class
all costs associated with any upgrade made to the
generation, transmission, or distribution facilities of
the electric grid, including local facilities, in order
to meet the demand for electric energy from such class,
including in the event that a large load facility
ceases operations or uses less electric energy than
projected at the time of such upgrade.
``(23) Grid reliability for large load facilities.--Each
electric utility shall prioritize, among requests from owners
or operators of large load facilities for electric service,
such a request under which the owner or operator agrees to
employ--
``(A) features that reduce the demand for electric
energy from the electric grid during times of peak
demand, including--
``(i) energy efficiency or energy
conservation measures;
``(ii) onsite energy storage; or
``(iii) demand response or load flexibility
technologies; and
``(B) zero-emission electric energy generated
onsite or procured within the same balancing authority
through a power purchase agreement to meet all of the
demand of the large load facility for electric
energy.''.
(b) Definitions.--Section 111 of the Public Utility Regulatory
Policies Act of 1978 (16 U.S.C. 2621) is amended by adding at the end
the following:
``(e) Definitions.--For the purposes of subsection (d):
``(1) Large load facility.--The term `large load
facility'--
``(A) means a facility, or an aggregation of
facilities at a single site, with respect to which the
peak demand of such facility or such aggregation of
facilities exceeds 75 megawatts; and
``(B) does not include an existing facility with
respect to which any increased demand is predominantly
caused by electrification or measures to reduce
greenhouse gas emissions.
``(2) Zero-emission electric energy.--The term `zero-
emission electric energy' means electric energy generated
without emitting greenhouse gases, including from solar, wind,
geothermal, hydroelectric, tidal, fission, or fusion energy.''.
(c) Conforming Amendments.--
(1) Obligations to consider and determine.--Section 112 of
the Public Utility Regulatory Policies Act of 1978 (16 U.S.C.
2622) is amended--
(A) in subsection (b), by adding at the end the
following:
``(9)(A) Not later than 1 year after the date of enactment
of this paragraph, each State regulatory authority (with
respect to each electric utility for which the State has
ratemaking authority) and each nonregulated utility shall
commence consideration under section 111, or set a hearing date
for consideration, with respect to each standard established by
paragraphs (22) and (23) of section 111(d).
``(B) Not later than 2 years after the date of
enactment of this paragraph, each State regulatory
authority (with respect to each electric utility for
which the State has ratemaking authority), and each
nonregulated electric utility shall complete the
consideration and make the determination under section
111 with respect to each standard established by
paragraphs (22) and (23) of section 111(d).
``(C) Not later than 30 days after completing the
determination and making a determination under section
111 with respect to each standard established by
paragraphs (22) and (23) of section 111(d), each State
regulatory authority (with respect to each electric
utility for which the State has ratemaking authority),
and each nonregulated electric utility shall submit to
the Committee on Energy and Commerce of the House of
Representatives and the Committee on Energy and Natural
Resources of the Senate a report detailing the process
used for consideration and an explanation for the
determination.'';
(B) in subsection (c)--
(i) by striking ``subsection (b)(2)'' and
inserting ``subsection (b)''; and
(ii) by inserting ``In the case of the
standard established by paragraphs (22) and
(23) of section 111(d), the reference contained
in this subsection to the date of enactment of
this Act shall be deemed to be a reference to
the date of enactment of such paragraphs (22)
and (23).'' after ``paragraph (21).''; and
(C) by adding at the end the following:
``(i) Other prior state actions.--
Subsections (b) and (c) shall not apply to the
standards established by paragraphs (22) and
(23) of section 111(d) in the case of any
electric utility in a State if, before the date
of enactment of this subsection--
``(I) the State has implemented for
the electric utility the standard
concerned (or a comparable standard);
``(II) the State regulatory
authority for the State or the relevant
nonregulated electric utility has
conducted a proceeding to consider
implementation of the standard
concerned (or a comparable standard)
for the electric utility; or
``(III) the State legislature has
voted on the implementation of the
standard concerned (or a comparable
standard) for the electric utility
during the 3-year period ending on that
date of enactment.''.
(2) Prior and pending proceedings.--Section 124 of the
Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 2634)
is amended by inserting ``In the case of each standard
established by paragraphs (22) and (23) of section 111(d), the
reference contained in this section to the date of enactment of
this Act shall be deemed to be a reference to the date of
enactment of such paragraphs (22) and (23).'' after ``paragraph
(21).''.
SEC. 604. TRUE COSTS AND VALUE OF ENERGY FOR ECONOMIC AND PUBLIC
BENEFIT.
(a) Energy Productivity Assessments.--
(1) Baseline assessment.--Not later than 2 years after the
date of enactment of this Act, the Secretary of Energy, in
consultation with the Task Force established under subsection
(c) of this Act, shall publish a comprehensive baseline
assessment of energy productivity in the United States, which
shall, at a minimum--
(A) define a framework and methodology for
measuring energy productivity as the relationship
between energy inputs and the economic or societal
value of the work performed by those inputs, at the
national, regional, and sectoral levels;
(B) evaluate current energy productivity
performance at the national, regional, and sectoral
levels;
(C) identify barriers to improved energy
productivity across economic sectors; and
(D) highlight opportunities for improvement through
technology, policy, behavioral, or structural
interventions.
(2) Periodic national energy productivity reporting.--Not
later than 6 months after the publication of the baseline
assessment under paragraph (1), and at least quarterly
thereafter, the Administrator of the Energy Information
Administration shall publish a report on energy productivity in
the United States using the same measures of economic output in
each sector and nationally as those used in the estimates of
labor productivity published by the Bureau of Labor Statistics.
The Administrator of the Energy Information Administration
shall coordinate with the Secretary of Labor on such energy
productivity reports so the publication of such energy
productivity reports is on the same timeline as the reporting
of labor productivity by the Bureau of Labor Statistics.
(3) National energy productivity modeling.--Not later than
18 months after the date of enactment of this Act, and every
three years thereafter, the Secretary of Energy shall produce a
comprehensive National Energy Productivity Assessment using
existing Federal modeling tools and data systems. The
assessment shall--
(A) quantify the direct and indirect economic,
environmental, health, and societal impacts of
achieving accelerated energy productivity improvements,
relative to a business-as-usual scenario, at the
national, regional, and sectoral levels;
(B) analyze potential policy pathways to enhance
competitiveness, reduce energy costs, increase
resilience, and support job creation;
(C) evaluate how such improvements affect national
and regional well-being, including reductions in
pollution, energy costs, public health burdens, water
use, and economic vulnerability;
(D) evaluate risks associated with delayed action,
including stranded asset exposure and competitiveness
losses; and
(E) include, as appropriate, recommendations for
Federal policies, programs, and research priorities to
support sustained energy productivity gains.
(4) Reports on energy productivity and competitiveness.--
Not later than 2 years after the date of enactment of this Act,
the Secretary of Energy shall submit to Congress a report
detailing how improvements in energy productivity in the United
States affects United States competitiveness in key economic
sectors, including manufacturing, services, and energy-
intensive industries. The report shall include modeling
scenarios, investment implications, and policy options to
maximize national economic benefits from improved energy
productivity.
(b) Improving Energy Indicators.--
(1) Standardized reporting on energy indicators.--
(A) In general.--Not later than 18 months after the
date of enactment of this Act, the Task Force
established under subsection (c) of this Act shall
develop standardized methodologies for collecting,
evaluating, assembling, analyzing, and disseminating
data and other information on the following indicators:
(i) National energy potential, where the
term ``national energy potential'' means the
theoretical maximum amount of energy physically
present within a country's geographic boundary,
including the country's Exclusive Economic
Zone, across all energy forms, including--
(I) energy stocks for--
(aa) oil and gas, in units
of chemical energy, which
includes--
(AA) proven
reserves as determined
by the Energy
Information
Administration;
(BB) probable
reserves as determined
by the Energy
Information
Administration;
(CC) undiscovered
technically recoverable
resources as determined
by the United States
Geological Survey; and
(DD) undiscovered
unrecoverable resources
as determined by the
United States
Geological Survey;
(bb) coal, in units of
chemical energy, which includes
identified and undiscovered
resources, as determined by the
United States Geological
Survey; and
(cc) nuclear fuel, in units
of fissionable energy from
reasonably assured, estimated
additional, and speculative
uranium and thorium resources,
as determined by the Energy
Information Administration; and
(II) energy flows for--
(aa) solar energy, in units
of annual total Global
Horizontal Irradiance;
(bb) wind energy, in units
of annual kinetic energy from
wind at hub heights and
atmospheric conditions
consistent with commercial wind
energy applications, as
determined by the Department of
Energy;
(cc) hydropower energy, in
units of annual gravitational
potential energy from inland
water flows that, at a minimum,
could power a micro hydropower
plant, as determined by the
Department of Energy;
(dd) geothermal energy, in
units of annual subsurface
thermal energy at a subsurface
depth of 10 kilometers or less,
or under temperature, pressure,
and geological conditions
suitable for energy extraction,
as determined by the Department
of Energy;
(ee) biomass-based energy,
in units of annual chemical
energy, including primary
resources, and secondary and
tertiary residues, as
determined by the Department of
Energy; and
(ff) marine energy, in
units of annual mechanical,
thermal, and chemical potential
energy in the Exclusive
Economic Zone of the United
States.
(ii) Technically-accessible energy
potential, where the term ``technically-
accessible energy potential'' means the
theoretical maximum amount of national energy
potential that can be accessed and converted
into usable energy using existing commercially-
available technologies and industry-standard
practices, without regard to cost or policy.
(iii) Cost-qualified energy potential,
where the term ``cost-qualified energy
potential'' means the theoretical maximum
amount of technically-accessible energy
potential that could be profitably developed
and delivered as usable energy under current or
anticipated near-term economic conditions, as
determined using prevailing market prices,
technology costs, and industry-standard
practices, considering existing ordinances and
regulations and current industry practices for
siting for energy stocks and energy flows.
(iv) Market-viable energy potential, where
the term ``market-viable energy potential''
means the amount of cost-qualified energy
potential that is already online or likely to
be developed and brought online in practice, at
the time of reporting in subsection
(b)(1)(B)(ii).
(v) Secondary energy, where the term
``secondary energy''--
(I) means the amount of energy
resources that have been converted into
intermediate carriers electricity
generation;
(II) represents energy forms that
can be stored, transported,
distributed, or further converted
before final consumption; and
(III) includes, but is not limited
to, electricity, refined fuels (such as
refined petroleum products, hydrogen,
or synthetic fuels), and district heat.
(vi) Final energy, where the term ``final
energy''--
(I) means the amount of secondary
energy in the form delivered for end-
use consumption for consumption in
buildings, transportation, industrial
processes, or other sectors or
applications; and
(II) includes, but is not limited
to, electricity, refined fuels (such as
refined petroleum products, hydrogen,
or synthetic fuels), and district heat.
(vii) Useful energy, where the term
``useful energy''--
(I) means the amount of final
energy that is effectively converted
into the desired service or output
after accounting for energy losses
during end-use conversion; and
(II) includes lighting, mechanical
work and motion, heating and cooling,
chemical process energy, and any other
end-use services delivered to meet a
desired function.
(viii) Exergy, where term ``exergy'' means
the amount of usable energy and resulting work
obtainable from a system or energy stream,
accounting for both the quantity and quality of
energy.
(ix) Exergy efficiency, where the term
``exergy efficiency'' means the extent to which
the exergy is preserved and converted into
valuable economic or societal services during
their use for a given system, sector, or
economy.
(B) Incorporation of new indicators in department
reporting.--
(i) In general.--Not later than 2 years
after the initial development of the
standardized methodologies under paragraph (1),
the Secretary of Energy shall, as part the
Department of Energy's modeling frameworks,
scenario analysis tools, and energy outlooks,
collect, evaluate, assemble, analyze, and
disseminate data and other information related
to the indicators listed in clauses (i) through
(ix) of subparagraph (A).
(ii) Covered reporting.--The modeling
frameworks, scenario analysis tools, and energy
outlooks described in clause (i) include--
(I) the Annual Energy Outlook;
(II) to the maximum extent
possible--
(aa) the Monthly Energy
Review;
(bb) the International
Energy Outlook;
(cc) the State Energy Data
System; and
(dd) the Short-Term Energy
Outlook; and
(III) any successor model or
analysis to a model or analysis
described in subclauses (I) and (II).
(C) Transparency and documentation.--The
Administrator of the Energy Information Administration
shall publish and maintain detailed documentation on
how the Task Force developed the methodologies under
subparagraph (A).
(2) Study on primary energy indicators.--
(A) Required study.--The Secretary of Energy, with
support from the Administrator of the Energy
Information Administration, relevant offices within the
Department of Energy, and the Task Force, shall conduct
a comprehensive study on the validity, limitations, and
potential alternatives to the use of the indicators for
primary energy in national energy accounting.
(B) Scope of study.--The study shall include--
(i) an evaluation of the conceptual basis
and historical rationale for the current
indicator for primary energy calculated and
reported by the Energy Information
Administration;
(ii) an assessment of the limitations of
primary energy accounting in accurately
reflecting energy efficiency, energy
transitions, and the value and comparability of
combustible and non-combustible energy sources;
(iii) an analysis of alternative
indicators, including secondary energy, final
energy, useful energy, and exergy, and their
suitability for integration into national
energy statistics;
(iv) a review of international best
practices for energy accounting, including
methodologies used by the International Energy
Agency and peer nations; and
(v) recommendations for improvements or
replacements to the primary energy indicator
that better align with national goals for
energy efficiency, electrification,
decarbonization, and economic productivity.
(C) Report to congress.--Not later than 18 months
after the date of enactment of this Act, the Secretary
of Energy shall submit to the Committee on Energy and
Commerce of the House of Representatives and the
Committee on Energy and Natural Resources of the Senate
a report containing the findings and recommendations of
the study required under subparagraph (A).
(c) Establishment of Energy Productivity and Cost Task Force.--
(1) Establishment.--Not later than 180 days after the date
of enactment of this Act, the Secretary of Energy shall
establish an advisory group, to be known as the ``Energy
Productivity and Value Task Force'' (in this Act referred to as
the ``Task Force''), which shall be led by the Secretary of
Energy.
(2) Membership.--
(A) Federal agencies.--The following heads of
Federal agencies shall serve as members of the Task
Force:
(i) The Secretary of Energy.
(ii) The Secretary of Commerce.
(iii) The Administrator of the
Environmental Protection Agency.
(iv) The Administrator of the Energy
Information Administration.
(v) The Chairman of the Federal Energy
Regulatory Commission.
(vi) The Administrator of the National
Oceanic and Atmospheric Administration.
(vii) The Director of the United States
Geological Survey.
(viii) The Assistant Secretary for Health
of the Department of Health and Human Services.
(ix) The Director of the Office of Science
and Technology Policy.
(B) Independent technical experts.--
(i) In general.--The Secretary of Energy,
in consultation with the other heads of Federal
agencies listed in subparagraph (A), shall
appoint independent technical experts as
members of the Task Force, which shall consist
of independent technical experts with a
demonstrated expertise in--
(I) environmental and energy
economics;
(II) energy technologies, including
renewables, fossil fuel systems,
bioenergy, and energy storage;
(III) public health and
environmental epidemiology;
(IV) ecology and ecosystem
services;
(V) industrial engineering and
lifecycle assessment; and
(VI) any other field the Oversight
Board determines relevant for the
purposes of this Act.
(ii) Number of experts.--Under subparagraph
(A), the Secretary of Energy shall appoint--
(I) at least 1 independent
technical expert for each field under
subclauses (I) through (VI) of such
subparagraph; and
(II) separate independent technical
experts for each such field.
(C) Stakeholder representatives.--The Secretary of
Energy, in consultation with the other heads of Federal
agencies listed in subparagraph (A), shall appoint
stakeholders as members of the Task Force, which shall
consist of at least 1, but not more than two,
stakeholders that represent each of--
(i) the electric power sector;
(ii) the renewable energy sector;
(iii) the non-renewable energy sector;
(iv) consumer advocacy groups;
(v) energy-intensive industries;
(vi) environmental and public interest
advocacy organizations;
(vii) the National Academies of Sciences,
Engineering, and Medicine;
(viii) academic- and National Laboratory-
based researchers with expertise in--
(I) energy and economics;
(II) climate and economics; or
(III) environmental systems and
economics; and
(ix) any other sectors or organizations the
Secretary of Energy determines relevant for the
purposes of this Act.
(3) Termination.--Notwithstanding section 1013 of title 5,
United States Code, the Task Force shall terminate on the date
that is 3 years after the date of enactment of this section.
(d) Lifecycle Impact and Costs of Energy Technologies.--
(1) Comprehensive analytical framework and dataset.--The
Secretary of Energy shall develop and maintain a comprehensive
analytical framework and dataset based on the methodology and
guiding principles submitted to the Secretary of Energy by the
Task Force under paragraph (3).
(2) Assessment of lifecycle impacts and costs.--
(A) Development and maintenance.--The Secretary of
Energy shall use the comprehensive analytical framework
and dataset developed and maintained under subsection
(a) to prepare an assessment of the full lifecycle
impacts and costs of producing and delivering energy
services from each major energy resource or technology,
including impacts and costs from upstream, operational,
and downstream stages from extraction to end-use and
waste management.
(B) Scope of assessment.--The assessment prepared
under paragraph (1) shall include, for each major
energy resource or technology, a complete
quantification and characterization of the lifecycle
impacts associated with producing and delivering energy
services using the resource or technology, including,
impacts from--
(i) energy inputs and losses, from
extraction through end use and waste
management, including embodied energy;
(ii) material use, including chemical use,
and waste generation;
(iii) water use, including withdrawals,
consumption, quality impacts, and other risks
to water availability, quality, and ecosystem
function;
(iv) pollution and emissions, including
emissions of greenhouse gases and other air
pollutants, water pollutants, and land
disturbance; and
(v) indirect and direct costs to social,
environmental, and economic well-being
resulting from such impacts.
(C) Uses of assessment.--The Secretary of Energy
shall use the assessment prepared under paragraph (1)--
(i) to develop strategic planning,
investment prioritization, policies and
programs, and regulatory analysis to limit the
social, environmental, and economic costs of
energy production and use;
(ii) to inform the allocation of grants and
making loans and loan guarantees for Federal
energy research, development, State and local
programs, and demonstrations; and
(iii) as a resource for future reports and
analyses of energy productivity, recognizing
the link between resource impacts and social,
economic, and environmental well-being.
(D) Updates and availability.--The Secretary of
Energy shall--
(i) update the assessment at regular
intervals, but not less frequently than once
every 3 years;
(ii) make the results of the assessment
publicly available in a transparent, machine-
readable format, including documentation of
assumptions, data sources, and methodologies
used; and
(iii) publish a report describing the
lifecycle social, economic, and environmental
impacts and costs of producing and delivering
energy services from each major renewable or
nonrenewable energy resource or technology.
(3) Task force methodology and guiding principles.--
(A) In general.--Not later than the date that is 12
months after the date on which the Task Force is
established, the Task Force shall submit to the
Secretary of Energy a methodology and guiding
principles for the analytical framework and dataset
developed and maintained by the Secretary of Energy
under paragraph (2), including definitions, the scope
of the analytical framework and dataset, data sources,
and procedures for periodic review, validation, and
updates to such methodology and guiding principles.
(B) Reconvening task force for review, validation,
and updates.--If the Secretary of Energy determines
that the methodology and guiding principles submitted
to the Secretary of Energy under subparagraph (A) are
no longer suitable or otherwise require revision,
including in response to new data, advances in
analytical methods, or changes in statutory or
regulatory requirements, the Secretary of Energy may
reconvene the Task Force for the sole purpose of
submitting to the Secretary of Energy an updated
methodology and guiding principles by not later than 90
days after the date on which the Task Force is
reconvened. Any reconvened Task Force shall terminate
on the earlier of the date on which it submits the
updated methodology and guiding principles to the
Secretary or the date that is 90 days after the date on
which it is reconvened.
(e) Definitions.--In this section:
(1) Energy productivity.--The term ``energy productivity''
means a measure of how efficiently an economy, region, or
industry uses energy to generate economic value.
(2) Major energy resource or technology.--The term ``major
energy resource or technology''--
(A) means an energy resource, carrier, or
technology and any associated systems for producing,
converting, storing, transmitting, or delivering energy
services that contribute significantly to the national
energy supply, demand, or infrastructure and materially
affect energy system performance, emissions, or
economic outcomes; and
(B) includes--
(i) fossil fuels (including coal,
petroleum, and natural gas);
(ii) nuclear energy;
(iii) renewable energy (including solar,
wind, geothermal, hydroelectric, marine, and
biomass);
(iv) hydrogen and other chemical energy
carriers and associated systems;
(v) energy storage technologies; and
(vi) any other energy resources, carriers,
or technologies that the Secretary determines
may materially affect the performance,
emissions, resilience, reliability, or economic
outcomes of the national energy system.
SEC. 605. GRID PERFORMANCE DISCLOSURE.
(a) Electricity Transmission Scorecard Elements and Verification.--
(1) Reporting requirements.--
(A) Covered transmission owner scorecards.--
(i) In general.--The Commission shall
require each covered transmission owner to
annually develop, publish, and submit to the
Commission and the Secretary a report, to be
known as a transmission owner scorecard, that
includes metrics that are standardized as
required under paragraph (2) and evaluate the
following:
(I) Ratepayer affordability, which
shall assess the cost of transmission
services per unit of energy transmitted
or other metrics that can be used to
assess affordability of energy provided
to ratepayers.
(II) Financing costs, which shall
assess the financing structure and cost
of capital for a covered transmission
owner, and may include consideration of
capital structure and leverage ratios,
reliance on formula rates or other
automatic adjustment mechanisms,
allowed and earned returns on equity,
the cost of debt and preferred stock,
the presence and magnitude of incentive
rate adders, and other related metrics.
(III) Investment prudency and cost
recovery, which shall assess the
prudency of capital investments and the
transparency and structure of
associated cost recovery mechanisms,
and may include the frequency and
magnitude of cost disallowances in rate
proceedings, the types of facilities or
investments associated with disallowed
costs, the degree of cost recovery from
ratepayers relative to shareholder
contributions, and the transparency and
accountability of cost allocation
frameworks.
(IV) Investment effectiveness,
which shall assess the value delivered
by covered transmission owner
investments relative to their costs,
including how effectively the covered
transmission owner considered and
deployed the most economically
efficient solutions to reduce cost
burden on ratepayers and the accuracy
of project cost estimates, and may
include metrics such as benefit-cost
ratios, investments in advanced
technology deployment, non-wires
alternatives, advanced transmission
technologies, or other operational
upgrades that avoid higher cost capital
investment, estimated and actual cost
for new or updated assets, and other
indicators of prudent capital
deployment.
(V) Capital expenditure tilt, which
shall assess the covered transmission
owner's balance of spending on capital
investment versus operational and
maintenance activities.
(VI) System reliability and
availability, which shall assess the
operational performance of the
transmission facilities of the covered
transmission owner over the reporting
year, including information related to
outages, equipment availability, and
resilience to system disturbances, and
may be expressed using existing
transmission-specific reliability
indicators, as described by the North
American Electric Reliability
Corporation or other entity established
to oversee and administer reliability
standards and procedures for the bulk-
power system, metrics regarding the
economic costs of outages or lost
reliability, or other related metrics.
(VII) Physical system performance,
which shall assess how effectively the
transmission facilities owned,
operated, or controlled by the covered
transmission owner are used to deliver
electricity, including both physical
and economic performance, and may
include technical and non-technical
losses, utilization relative to rated
capacity and design constraints, age of
system components, and other indicators
of transmission system utilization,
performance, and efficiency.
(VIII)(aa) Interconnection and
access fairness, which shall assess the
extent to which the interconnection
process for interregional
interconnections and new facilities
(including generators, energy storage,
load, and merchant transmission
projects) is conducted in a timely and
impartial manner consistent with
Commission regulations, including
comparisons between affiliated entities
and unaffiliated entities, and may be
expressed as the difference in the
number of days from initial
interconnection request to execution of
an Interconnection Agreement, or
through related measures of procedural
equity.
(bb) For purposes of this
subclause:
(AA) The term
``affiliated entity''
means any entity that
has a direct or
indirect relationship
with a covered
transmission owner or
its parent entity that
could reasonably
influence
interconnection
treatment, including an
entity that shares
common ownership or
controlling interest
with the covered
transmission owner or
its parent entity; is a
direct or indirect
subsidiary of the
covered transmission
owner or its parent
entity; is engaged in a
joint venture,
contractual
partnership, or
strategic alliance with
the covered
transmission owner or
its parent entity,
where such partnership
includes shared
financial interest,
revenue sharing, or
asset co-development;
or is otherwise
determined by the
Commission to have a
financial, governance,
or operational
relationship that may
reasonably be expected
to influence
interconnection
prioritization.
(BB) The term
``unaffiliated entity''
means any entity that
has logged an
interconnection request
with the covered
transmission owner and
is not an affiliated
entity.
(IX) Non-operational cost recovery,
which shall assess the amount of
covered transmission owner spending on
lobbying, advertising, penalties, and
advocacy activities recovered through
customer rates, and may be expressed as
a total sum of expenditures on such
activities, or related metrics.
(X) Interregional and regional
planning integration, which shall
assess the extent to which the covered
transmission owner participates in
coordinated regional and interregional
transmission planning processes and
infrastructure development, and may be
expressed as the number and capacity of
interregional transmission ties, the
share of projects subject to regional
or interregional planning review, or
related metrics.
(XI) Co-location and reuse of
rights-of-way, which shall report the
percentage of new circuit-miles placed
in service that are--
(aa) sited within the
existing corridor of linear
infrastructure, including
transmission, pipeline, rail,
and highway infrastructure; and
(bb) reconductored or
right-sized on existing
structures.
(XII) Any additional matters that
may be evaluated using outcome-based
performance metrics the Commission
determines necessary to improve
transparency, affordability,
reliability, equity, or environmental
performance of the facilities owned,
operated, or controlled by the covered
transmission owner.
(ii) Exemptions.--The Commission may, by
rule, exempt any category of covered
transmission owners from the requirement to
include a metric described in clause (i) if the
Commission determines that the metric is
inapplicable to the covered transmission owners
in the category.
(iii) Coordination.--In preparing and
developing a transmission owner scorecard
pursuant to this subparagraph, a covered
transmission owner shall coordinate, as
necessary to obtain or estimate data required
to be included in a scorecard under this
subsection, with any relevant entity,
including--
(I) regional grid operators,
including Independent System Operators,
Regional Transmission Organizations,
transmission planning entities, and
balancing authorities;
(II) interconnected electric
utilities, including load serving
entities and other transmission
providers;
(III) owners of generation
facilities, including utility-scale and
merchant generators seeking
interconnection or operating within the
service territory of the covered
transmission owner; and
(IV) regulatory and oversight
entities, including State public
utility commissions, and applicable
Federal or State energy, reliability,
or environmental agencies.
(B) Regional transmission scorecards.--The
Commission shall require each Independent System
Operator, Regional Transmission Organization, and
transmission planning entity to annually develop,
publish, and submit to the Commission and the Secretary
a report, to be known as a regional transmission
scorecard, that uses metrics that are standardized as
required under paragraph (2) and includes the
following:
(i) Aggregation of the metrics reported for
the year in the transmission owner scorecards
of the covered transmission owners within the
jurisdiction of the applicable ISO, RTO, or
transmission planning entity, which shall
consist of a summary of such metrics that--
(I) reflects weighted or capacity-
adjusted averages of covered
transmission owner-reported metrics, as
appropriate; and
(II) highlights significant intra-
regional variation or performance
outliers.
(ii) Regional-specific metrics, which shall
consist of reporting on metrics specific to
operational responsibilities of the ISO, RTO,
or transmission planning entity, including the
following:
(I) Market efficiency, which shall
assess the extent to which the ISO,
RTO, or transmission planning entity is
successful in operating efficient
wholesale electricity markets,
minimizing system congestion, and
maximizing the use of existing grid
infrastructure to deliver cost-
effective outcomes for consumers, and
may be expressed as average energy and
ancillary service costs (system-wide
and by major zone), system and zonal
capacity costs where applicable,
congestion costs, out-of-market
payments, frequency of redispatch,
implementation of congestion-relieving
technologies, or related metrics.
(II) Regional interconnection
performance, which shall assess the
effectiveness and efficiency of
interconnection processes, and may
include metrics that measure the
duration of queue processing, the rate
of project withdrawals, and the share
of projects that successfully reach
commercial operation, or related
metrics.
(III) Regional and interregional
development, which shall assess the
extent and effectiveness of regional
and interregional transmission planning
and buildout, and may be expressed in
relation to the number and total
capacity of transmission lines
developed through regional and
interregional planning processes, the
proportion of new transmission projects
selected through regional planning
processes versus those advanced outside
of such processes (including local or
supplemental projects), the number of
projects selected through competitive
processes, the use and outcomes of
benefit-cost analysis in project
selection and development, the
frequency of stakeholder engagement,
the ratio of total investment in
interregional and regional transmission
to investment in local transmission, or
other related metrics.
(IV) Greenhouse gas emissions
intensity, which shall assess the
emissions profile of electricity
delivered within the service territory
of the ISO, RTO, or transmission
planning entity in the reporting year,
and may be expressed as the emissions
intensity of delivered electricity in
carbon dioxide equivalents per
megawatt-hour, or related metrics.
(V) Any additional outcome-based
performance metrics the Commission
determines necessary to improve
transparency, affordability,
reliability, equity, or environmental
performance of the transmission system
overseen by the RTO, ISO, or
transmission planning entity.
(C) Data disclosure.--Each reporting entity shall
publish and submit to the Secretary, with each
scorecard published under this paragraph, all non-
confidential underlying data supporting the metrics
included in the scorecard, in a machine-readable, open-
data format.
(D) Initial reporting.--Each reporting entity shall
publish and submit to the Secretary its first annual
scorecard not later than 2 years after the date of
enactment of this Act.
(2) Metric and methodology standardization.--Not later than
1 year after the date of enactment of this Act, the Commission,
with input from the Secretary, the Administrator, the National
Laboratories, and other stakeholders shall issue guidance that,
where appropriate, standardizes the metrics required to be
included in a scorecard under paragraph (1) and the
methodologies for calculating such metrics.
(3) Verification requirements.--
(A) In general.--The Commission shall establish a
process by which scorecards required to be developed
under paragraph (1) are verified by independent
evaluators to ensure accuracy, consistency, and
credibility prior to publication under such paragraph.
The Commission shall include in such process--
(i) requirements for the approval by the
Commission of independent evaluators, including
requirements that an independent evaluator--
(I) possess demonstrated expertise
in electric transmission planning, data
validation, engineering analysis, or
grid performance evaluation; and
(II) be independent from the entity
being verified and have no financial,
contractual, or governance conflicts of
interest;
(ii) procedures for auditing the
assumptions and methodologies used in applying
performance metrics, including to detect
selective reporting and ensure alignment with
Commission-defined protocols;
(iii) requirements to ensure that no single
independent evaluator, or their parent company
or subsidiary, may evaluate a reporting entity
more than 4 years in a row, and not more than 7
times in any 10-year period;
(iv) requirements under which an
independent evaluator approved by the
Commission may verify the information in the
scorecard of the reporting entity, by reviewing
supporting documentation, conducting project
inspections, and applying standardized
evaluation, measurement, and verification
protocols for the metrics included in the
scorecard;
(v) requirements for public disclosure of
the results of such verification, including any
adjustments to reported values, methodologies
used in the verification process, and
justifications for material discrepancies; and
(vi) a process for reviewing and refining
verification protocols at regular intervals, in
consultation with any relevant stakeholder
advisory group convened under subsection (c),
to incorporate advances in data analytics,
energy system modeling, and grid performance
assessment.
(B) Role of national laboratories.--In carrying out
this paragraph, the Commission shall--
(i) collaborate with National Laboratories
that have the necessary expertise, in
coordination with the Secretary, to design and
publish standardized verification protocols,
including templates, analytical tools, and
calibration datasets;
(ii) utilize the technical expertise of
National Laboratories to assist in the
training, evaluation, or approval of
independent evaluators;
(iii) engage National Laboratories in
conducting selective audits or quality
assurance reviews of verified scorecards during
initial implementation of the scorecard
reporting and verification process and
implementation of any subsequent updates to
such scorecards; and
(iv) consult National Laboratories during
periodic updates to the verification process,
in coordination with any relevant stakeholder
advisory group convened under subsection (c).
(4) Independent audits.--
(A) In general.--The Commission, in consultation
with the Secretary, shall designate National
Laboratories with necessary expertise, or other
qualified institutions, to conduct independent audits
of scorecards published under paragraph (1) on a
periodic or as-needed basis to ensure the accuracy,
completeness, and integrity of reported data,
methodologies, and performance metrics.
(B) Initiation.--An audit under this paragraph may
be initiated--
(i) at the discretion of the Secretary;
(ii) upon identification of material
discrepancies in reported metrics;
(iii) in response to concerns raised by a
stakeholder advisory group convened under
subsection (c); or
(iv) as part of a randomized, rotating
sample of reporting entities to support
continuous oversight.
(C) Results.--The results of an audit conducted
under this paragraph shall be made publicly available
not later than 2 months after completion of the audit.
(5) Rulemaking.--
(A) In general.--Not later than 1 year after the
date of enactment of this Act, the Commission shall
issue a final rule to carry out this subsection.
(B) Department of energy support.--Upon request by
the Commission, the Secretary shall provide technical
assistance, subject-matter expertise, and access to
relevant data and tools to the Commission in developing
the rule required to be published under this paragraph.
(C) Inclusions.--The Commission shall include in
the rule issued under this paragraph--
(i) requirements to ensure timely and
consistent reporting, which may include
requirements for data-sharing agreements,
protocols for data access, and other mechanisms
as necessary to facilitate the completion of
scorecards;
(ii) allowance for the use of reasonable
proxies, estimates, or approximations based on
best available data and transparent
methodologies where direct data is unavailable;
and
(iii) requirements that all reported
metrics reflect a good-faith effort to provide
reasonably accurate representations of
transmission facility and system performance,
subject to Commission review and oversight.
(D) Revisions.--In issuing any revisions to the
rule under this subsection, the Commission shall ensure
that--
(i) such revisions are based on the
outcomes of any applicable technical conference
held under subsection (c);
(ii) the period for public comment on such
revisions is not less than 90 days; and
(iii) the final rulemaking such revisions
is issued not later than 180 days after the
close of such period for public comment.
(6) Enforcement.--With respect to any Independent System
Operator, Regional Transmission Organization, or covered
transmission owner subject to the requirements of part II of
the Federal Power Act that is required to publish a scorecard
under paragraph (1), a violation of a requirement of this
subsection shall be considered a violation of a provision of
such part II for purposes of section 316A of such Act (16
U.S.C. 825o-1).
(7) Report.--The Secretary shall annually publish a report
that compiles and analyzes scorecards submitted to the
Secretary under paragraph (1) and, for each metric--
(A) ranks the performance of reporting entities,
grouped by market type and governance structure; and
(B) explains the metric and describes any changes
over time in the affordability, reliability, equity, or
environmental performance of the transmission system,
as evidenced by changes in the information included by
reporting entities in such scorecards with respect to
the metric.
(8) Scorecard review.--Not later than 3 years after the
date of enactment of this Act, and every 3 years thereafter,
the Secretary, in coordination with the Commission shall
conduct a comprehensive review of the implementation of this
subsection, including the administration of the subsection,
data collection and coordination, reporting entity compliance,
stakeholder engagement, and the effectiveness of the
information included in scorecards as a policy tool and issue a
public report that includes--
(A) an assessment and comparison of the annual
changes in utility performance regarding the metrics
required to be included in the scorecards;
(B) evaluation of data quality, availability,
methodologies, and verification practices relevant to
the scorecards; and
(C) findings and recommendations regarding the
scorecards provided by the technical conferences held
and stakeholder advisory group convened under
subsection (c).
(b) Accessibility and Public Transparency.--
(1) Establishment of public-facing scorecard portal.--
(A) Initiation.--Not later than 12 months after the
date of enactment of this Act, the Secretary, in
collaboration with the Commission and the
Administrator, shall initiate the establishment of a
public, searchable online portal housing scorecards and
underlying data submitted to the Secretary under this
Act.
(B) Portal availability.--Not later than 27 months
after the date of enactment of this Act, the Secretary
shall establish and make available a public, searchable
online portal housing scorecards and underlying data
submitted to the Secretary under this Act.
(2) Inclusion in portal.--The Secretary shall make public
through the searchable online portal established under this
subsection each scorecard, together with the underlying data
associated with each scorecard, that is submitted to the
Secretary under this Act.
(c) Scorecard Improvement.--
(1) Technical conferences.--The Commission shall hold
public technical conferences not less often than once every 3
years to solicit stakeholder feedback on--
(A) the effectiveness of scorecard metrics in
conveying the performance of a given reporting entity;
(B) the sufficiency and quality of the data
disclosed in scorecards;
(C) the alignment of scorecards with Federal and
State priorities, including affordability and
reliability of transmitted electricity; and
(D) opportunities to refine metrics in light of
emerging technologies, grid conditions, and energy
markets.
(2) Stakeholder advisory groups.--For purposes of a
rulemaking under subsection (a) and each technical conference
held under paragraph (1), the Commission shall convene a
stakeholder advisory group to provide advice to the Commission.
Each such stakeholder advisory group shall be composed of 17
members, as follows:
(A) 2 members representing State public utility
commissions.
(B) 2 members representing covered transmission
owners.
(C) 1 member representing independent power
producers.
(D) 2 members representing Regional Transmission
Organizations.
(E) 2 members representing Independent System
Operators.
(F) 2 members representing transmission planning
entities that are not Regional Transmission
Organizations or Independent System Operators.
(G) 2 members representing ratepayer advocacy
organizations.
(H) 2 members with expertise in energy data and
grid analytics.
(I) 2 members with expertise in energy systems
performance, representing academic or research
institutions, including the National Laboratories.
(3) Response required.--Not later than 60 days after
receiving any advice from a stakeholder group convened under
paragraph (2), the Commission shall respond in writing to such
advice.
(d) Definitions.--In this section:
(1) Administrator.--The term ``Administrator'' means the
Administrator of the Energy Information Administration of the
Department of Energy.
(2) Advanced transmission technology.--The term ``advanced
transmission technology'' means any hardware or software that--
(A) increases the capacity, efficiency,
reliability, resilience, or safety of transmission
facilities and transmission technologies;
(B) is installed in addition to new or existing
transmission facilities and transmission technologies--
(i) to give operators of the transmission
facilities and transmission technologies more
situational awareness and control over the
electric grid;
(ii) to make the transmission facilities
and transmission technologies more efficient;
or
(iii) to increase the transfer capacity of
the transmission facilities and transmission
technologies; and
(C) includes, but is not limited to, dynamic line
ratings, advanced conductors, topology optimization,
advanced power-flow controls, and other digital or
physical systems that increase the usable transfer
capability of the grid.
(3) Bulk-power system.--The term ``bulk-power system'' has
the meaning given that term in section 215 of the Federal Power
Act (16 U.S.C. 824o).
(4) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(5) Covered transmission owner.--The term ``covered
transmission owner'' means any entity, other than an
Independent System Operator, Regional Transmission
Organization, or transmission planning entity, that--
(A) owns, operates, or controls transmission
facilities that are part of, or connected to, the bulk-
power system;
(B) provides, or is capable of providing,
transmission service for the movement of electric
energy, whether in interstate or intrastate commerce;
and
(C) if the entity owns, operates, or controls
transmission facilities that are not part of, or
connected to, the bulk-power system, the total
transmission capacity under peak demand conditions of
all transmission facilities owned, operated, or
controlled by the entity is 100 megawatts or greater.
(6) Independent system operator; iso; regional transmission
organization; rto; transmitting utility.--The terms
``Independent System Operator'', ``ISO'', ``Regional
Transmission Organization'', ``RTO'', and ``transmitting
utility'' have the meanings given those terms in section 3 of
the Federal Power Act (16 U.S.C. 796).
(7) Interregional interconnection.--The term
``interregional interconnection'' means a transmission facility
or interconnection project that enables the transfer of
electric energy between 2 or more transmission planning
regions, including connections between any of the Western
Interconnection, the Eastern Interconnection, and the Electric
Reliability Council of Texas.
(8) Reporting entity.--The term ``reporting entity'' means
an entity required to submit a scorecard under this Act.
(9) Scorecard.--The term ``scorecard'' means an annual
report required to be submitted by a covered transmission
owner, Independent System Operator, Regional Transmission
Organization, or transmission planning entity pursuant to
subsection (a).
(10) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(11) Transmission planning entity.--The term ``transmission
planning entity'' means an entity, other than a RTO or an ISO,
that is responsible for planning for the deployment of electric
transmission for a transmission planning region.
(12) Transmission planning region.--The term ``transmission
planning region'' means a geographic area determined by the
Commission to satisfy the requirements for the scope of
regional transmission planning, as established in or in
compliance with the following orders issued by the Commission:
(A) ``Transmission Planning and Cost Allocation by
Transmission Owning and Operating Public Utilities''
published in the Federal Register on October 24, 2012
(77 Fed. Reg. 64890).
(B) ``Building for the Future Through Electric
Regional Transmission Planning and Cost Allocation''
published in the Federal Register on June 11, 2024 (89
Fed. Reg. 49280).
TITLE VII--COLLABORATING WITH COMMUNITIES FOR SUCCESSFUL DEPLOYMENT
SEC. 701. FEDERAL PERMITTING CAPACITY.
(a) In General.--To the maximum extent practicable, the head of
each agency listed under section 41002(b)(2)(B) of the FAST Act (42
U.S.C. 4370m-1(b)(2)(B)), including the head of any agency invited
pursuant to clause (xiv) of such subparagraph (B), shall maintain
adequate personnel capacity and expertise to process authorizations and
environmental documents for projects in a timely manner, including in
compliance with sections 107(g) and 112(a)(4) of the National
Environmental Policy Act of 1969 (42 U.S.C. 4336a(g) and 4336f(a)(4)).
(b) Assessment.--Not later than 90 days after the date of enactment
of this section, the head of each agency described in subsection (a)
shall submit to the Director of the Office of Personnel Management, the
Committee on Natural Resources, and the Environment and Public Works
Committee a report on the personnel capacity of the agency to process
authorizations and environmental documents for projects in a timely
manner, which shall include--
(1) the number of employees--broken down by field office--
responsible for processing such authorizations and
environmental documents as of the date on which the report is
submitted;
(2) the number of employees--broken down by field office--
responsible for processing such authorizations and
environmental documents as of January 1, 2025;
(3) the number of employees--broken down by field office--
necessary for the agency to complete environmental documents in
compliance with sections 107(g) and 112(a)(4) of the National
Environmental Policy Act of 1969 (42 U.S.C. 4336a(g) and
4336f(a)(4));
(4) the capacity of the agency--broken down by field
office--to engage with communities affected by projects when
preparing environmental documents, including dedicated Tribal
consultation capacity, language access services, and designated
community engagement personnel as described in section 706;
(5) the adequacy of the training available to employees
related to processing such authorizations and environmental
documents; and
(6) a finding by the agency whether there are a sufficient
number of employees of the agency to comply with sections
107(g) and 112(a)(4) of the National Environmental Policy Act
of 1969 (42 U.S.C. 4336a(g) and 4336f(a)(4)) and engage with
communities.
(c) Implementation Plan.--Upon receipt of the report, if an agency
finds under subsection (b)(5) that there are an insufficient number of
employees--broken down by field office--of the agency to comply with
sections 107(g) and 112(a)(4) of the National Environmental Policy Act
of 1969 (42 U.S.C. 4336a(g) and 4336f(a)(4)) and engage with
communities, or insufficient training opportunities available, the
Director of the Office of Personnel Management shall develop and
execute a plan to increase personnel capacity and expertise at the
agency.
(d) Direct Hire Authority.--
(1) In general.--Notwithstanding section 3304 of title 5,
United States Code, and without regard to the provisions of
sections 3309 through 3318 of such title 5, if the head of an
agency described in subsection (a) issues or renews a
certification that there is a severe shortage of candidates or
a critical hiring need for covered positions to carry out the
responsibilities and activities of the agency with respect to
processing authorizations and environmental documents for
infrastructure projects in a timely manner, the agency head
may, subject to paragraphs (2) and (3), recruit and directly
appoint highly qualified individuals into the competitive
service.
(2) Limitation.--The recruiting and appointment of highly
qualified individuals under paragraph (1) shall be consistent
with the merit principles of section 2301 of title 5, United
States Code, and the agency shall comply with the public notice
requirements of section 3327 of such title 5.
(3) Termination.--A certification issued or renewed under
this subsection shall terminate on the earlier of--
(A) the date that is 5 years after the
certification is issued or renewed; or
(B) the date on which the agency head determines
that there is no longer a severe shortage of candidates
or a critical hiring need for covered positions to
carry out the responsibilities and activities of the
agency related to permitting.
(e) Authorization of Appropriations.--In addition to amounts
otherwise available, there is authorized to be appropriated such sums
as is necessary to conduct more efficient, accurate, and timely reviews
for planning, permitting and approval processes through the hiring and
training of personnel, and the purchase of technical and scientific
services and new equipment, and to improve agency transparency,
accountability, and public engagement.
(f) Definitions.--In this section:
(1) Authorization.--The term ``authorization'' means any
license, permit, approval, finding, determination, or other
administrative decision issued by an agency and any interagency
consultation that is required or authorized under Federal law
in order to site, construct, reconstruct, or commence
operations of an infrastructure project.
(2) Covered position.--The term ``covered position'' means
a position in which an employee is responsible for conducting
work of a scientific, technical, engineering, mathematical,
legal, or otherwise highly specialized or skilled nature
related to processing authorizations and environmental
documents for infrastructure projects in a timely manner.
(3) Environmental document.--The term ``environmental
document'' has the meaning given such term in section 111 of
the National Environmental Policy Act of 1969 (42 U.S.C.
4336e).
SEC. 702. INTERAGENCY ENVIRONMENTAL DATA SYSTEM.
(a) Establishment of Data Standards.--
(1) In general.--Not later than 60 days after the date of
enactment of this section, the Chair of the Council on
Environmental Quality, in consultation with the Federal
Permitting Improvement Steering Council, the Chief Information
Officers Council, the Office of Management and Budget, and
other relevant stakeholders and Federal agencies, shall
develop, publish, and iteratively update data standards for the
collection and curation of authorization data by Federal
agencies, which shall be used to--
(A) assist with environmental reviews and
authorizations;
(B) organize, define, and standardize various
concepts, formats, and protocols that are included in
environmental reviews and authorizations; and
(C) reduce the need for redundant environmental
reviews by creating a shared vocabulary and software
systems that will support vendor neutrality, data
interoperability, workflow automation, and automatic
data exchange between Federal agencies.
(2) Inclusions.--The data standards developed, published,
and iteratively updated under paragraph (1) shall include the
following:
(A) A standardized taxonomy that allows Federal
agencies to identify and track data types,
relationships, and values.
(B) Comprehensive categories for data, such as--
(i) projects;
(ii) processes;
(iii) environmental documents;
(iv) public comments;
(v) geospatial information;
(vi) public engagement events, as
applicable by process or Federal agency;
(vii) case events; and
(viii) milestones to ensure clarity and
uniformity.
(b) Development of Prototype Tools.--The Chair of the Council on
Environmental Quality, in consultation with the Administrator of
General Services, the Federal Permitting Improvement Steering Council,
the Chief Information Officers Council, the Director of the Office of
Management and Budget, and other relevant stakeholders and Federal
agencies, shall design, test, and build prototype tools for
environmental reviews and authorizations that will assist Federal
agencies in implementing the minimum functional requirements described
in subsection (c). The Chair of the Council on Environmental Quality
shall prioritize designing, testing, and building tools under this
subsection that--
(1) support authorization case or project management
systems that manage tasks, milestones, and activities
associated with environmental reviews and authorizations, and
provide Federal agencies more data and insight into such
reviews and authorizations;
(2) enable--
(A) application submission and tracking portals
used by project sponsors, enabling greater
transparency; and
(B) public comment opportunity tracking portals to
increase transparency;
(3) facilitate automated applications, environmental
reviews, and authorizations;
(4) allow data exchange between Federal agency systems; and
(5) accelerate complex environmental reviews.
(c) Publication of Guidance for Implementation of Data Standards
and Minimum Functional Requirements.--
(1) Publication.--Not later than 120 days after the date of
enactment of this section, the Chair of the Council on
Environmental Quality shall publish guidance for how each
Federal agency responsible for environmental reviews or
authorizations implements--
(A) the data standards published under subsection
(a); and
(B) the following minimum functional requirements:
(i) Application data sharing that enables
automated transfer of relevant environmental
review and authorization data among Federal
agencies.
(ii) Automated project screening to assist
frontline staff with reviewing project sponsor
provided information for completeness and
accuracy and determining if a categorical
exclusion or other general authorization
applies to an action. Automated project
screening may not be used by the Council on
Environmental Quality or a Federal agency to
unlawfully restrict any activities on Federal
lands.
(iii) Public availability of screening
criteria and related decision models.
(iv) Automated case or project management
tools which include a repository of relevant
data and metadata that enable advanced
tracking, reporting, and optimization to aid
workflows.
(v) Integrated geographic information
system analysis tools which incorporate
geospatial data layers and models for each
resource analyzed as part of an environmental
review or authorization for a given study area.
(vi) Document management tools that
preserve metadata associated with geospatial
analysis, modeling, and other analytic
processes conducted during an environmental
review or authorization, to support future
reviews and enable Artificial Intelligence-
assisted analysis of past decisions.
(vii) Automated comment compilation and
analysis tools, including services for comment
categorization and response that handle the
lifecycle of comment submission, analysis,
categorization and response with Artificial
Intelligence support where appropriate.
(viii) Administrative record management
tools that maintain both portable document
formats and data-rich repositories accessible
to both machine and human users.
(ix) Common or interoperable Federal agency
services that integrate shared services, shared
applications, and common user experiences for
Federal agency staff, project sponsors, and the
public.
(2) Inclusions.--The guidance published under this
subsection shall include the following:
(A) Guidelines for cloud-based storage, data
sharing protocols, and application programming
interfaces to enable the Council on Environmental
Quality to work with Federal agencies to use
authorization data to aid Federal agencies in
modernizing their environmental reviews and
authorizations and for iterative development of the
authorization portal.
(B) Provisions that support scalability and
adaptability of the minimum requirements to emerging
technologies.
(d) Implementation of Data Standards and Minimum Functional
Requirements.--
(1) Implementation.--The head of each Federal agency
responsible for environmental reviews or authorizations shall--
(A) not later than 90 days after the date of
enactment of this section--
(i) compare existing Federal agency systems
for environmental reviews and authorizations
under their authority with the data standards
published under subsection (a) and the minimum
functional requirements described in subsection
(c)(1)(B) and report findings from such
comparison to the Council on Environmental
Quality;
(ii) assess whether existing Federal agency
technological capabilities are consistent with
the data standards published under subsection
(a) and the minimum functional requirements
described in subsection (c)(1)(B);
(iii) submit to the Council on
Environmental Quality a report that estimates
the completion dates for implementing the data
standards published under subsection (a) and
the minimum functional requirements described
in subsection (c)(1)(B); and
(iv) submit to the Council on Environmental
Quality, in consultation with the Council on
Environmental Quality, an implementation plan
that--
(I) describes how the Federal
agency will implement the data
standards published under subsection
(a) and the minimum functional
requirements described in subsection
(c)(1)(B); and
(II) describes how, to the extent
the Federal agency determines necessary
to meet relevant statutory
requirements, the Federal agency will
adopt or implement the prototype tools
tested, designed, and built under
subsection (b); and
(B) not later than 180 days after the date of
enactment of this section, begin implementing the data
standards published under subsection (a) and the
minimum functional requirements described in subsection
(c)(1)(B).
(2) Report.--Not less frequently than twice each year, the
Chief Information Officer of each Federal agency, in
consultation with the Chief Environmental Review and Permitting
Officer of each Federal agency, shall submit to the Council on
Environmental Quality and the Director of the Office of
Management and Budget a report on the progress of the Federal
agency towards meeting the requirements of paragraph (1).
(e) Unified Interagency Data System.--
(1) In general.--
(A) Unified interagency data system.--To the
maximum extent practicable, the Chair of the Council of
Environmental Quality and the head of each Federal
agency responsible for environmental reviews or
authorizations shall iteratively develop and maintain a
unified interagency data system consisting of
interconnected Federal agency systems and shared
services for environmental reviews and authorizations.
(B) Authorization portal.--
(i) In general.--The shared services
developed and maintained under subparagraph (A)
shall include a common interactive, digital,
cloud-based authorization portal, which shall--
(I) be designed in a manner
consistent with--
(aa) the recommendations of
the Council on Environmental
Quality included in the study
submitted pursuant to section
110 of the National
Environmental Policy Act of
1969 (42 U.S.C. 4336d) entitled
``Council on Environmental
Quality Report to Congress on
the Potential for Online and
Digital Technologies to Address
Delays in Reviews and Improve
Public Accessibility and
Transparency under 42 U.S.C.
4332(2)(C)''; and
(bb) the minimum functional
requirements described in
subsection (c)(1)(B);
(II) serve as a platform for
tracking and displaying real-time data
on environmental reviews and
authorizations made available through
application programming interfaces or
other reporting mechanisms from Federal
agency systems that are compliant with
the data standards and data
architecture described in this section;
(III) be supported by a
decentralized, cross-network digital
infrastructure software that ensures
vendor neutrality and interoperability
of data and models across Federal
agencies;
(IV) include a mechanism for the
dissemination of relevant information
(such as a notice of intent for public
comment, public meetings, project
statuses, or a notice of intent to
begin an environmental review) to local
communities, as applicable;
(V) allow a project sponsor to
submit all necessary documentation for
environmental reviews and
authorizations in 1 unified and secure
portal;
(VI) support interactive, digital,
and cloud-based tools enabling
applicants to edit documents and
collaborate with relevant Federal
agencies in real time;
(VII) support visual features,
including video, animation, geographic
information system displays,
interactive maps, and three-dimensional
renderings;
(VIII) provide for the exchange of
information to and from Federal agency
data systems via an application
programming interface or another
reporting mechanisms;
(IX) allow for the submission of
geospatial data associated with project
location, footprint, and impact;
(X) support automatic documentation
of submission and process timelines;
and
(XI) allow the following metrics to
be tracked over time--
(aa) estimates of achieved
efficiencies, such as
reductions in the time between
receipt of applications and
final authorization decisions;
(bb) comparisons of
authorization timelines before
and after the implementation of
this section;
(cc) usage of the
authorization portal and other
statistics from the Digital
Analytics Program;
(dd) metrics on the number
of public comments received,
responses provided, and
community meetings held;
(ee) the number of projects
subject to litigation based on
authorization deficiencies or
inefficiencies;
(ff) a list of Federal
agencies that are not yet fully
compliant with the data
standards published under
subsection (a) and the minimum
functional requirements
described in subsection
(c)(1)(B), along with their
progress toward compliance; and
(gg) examples or
repositories of Federal agency-
developed digital workflows
enabled by the implementation
of this section, including
visualizations of data sharing,
authorizations and decision
logic, and environmental
reviews.
(ii) Administrative support.--The
Administrator of General Services shall host
the authorization portal as a shared service
for Congress, Federal agencies, and the public.
(iii) Accessability.--The authorization
portal shall be accessible to Congress, Federal
agencies, and the public, with appropriate
safeguards to protect sensitive or classified
information and information restricted by user
type as appropriate.
(iv) Public accessibility.--To the extent
practicable and consistent with other law, the
authorization portal shall provide public
access to non-sensitive data, including
authorization timelines, location, project
type, environmental reviews, and mitigation
measures.
(v) Congressional access and oversight.--
(I) In general.--The authorization
portal shall provide Congress with
direct access to aggregated performance
data and other analytics to enable
real-time oversight of Federal
agencies.
(II) Artificial intelligence
support systems and training
materials.--Congress shall have access
to the data, fine-tuning procedures,
and prompt configurations specifically
created or adapted for Artificial
Intelligence systems used to support
environmental review or authorization
activities, excluding proprietary or
general pretraining materials unrelated
to such agency-specific customization.
(III) Technical assistance.--The
Council on Environmental Quality shall
provide to Congress technical
assistance upon request to ensure
effective use of the authorization
portal and Artificial Intelligence
systems for oversight purposes.
(C) Cybersecurity and compliance considerations.--
The authorization portal shall be designed to promote
vendor neutral interoperability, reduce redundancy, and
ensure compliance and coordination with other laws,
including--
(i) section 552a of title 5, United States
Code (commonly referred to as the Privacy Act
of 1974), and subchapter II of chapter 35 of
title 44, United States Code;
(ii) the Federal Risk and Authorization
Management Program established under section
3608 of title 44, United States Code; and
(iii) the Cybersecurity and Infrastructure
Security Agency of the Department of Homeland
Security, for a case in which the project is in
coordination with a Federal agency with
stringent security requirements.
(2) Deadlines.--
(A) Shared services pilot.--Not later than 1 year
after the date of enactment of this section, the
Council on Environmental Quality shall oversee piloting
of shared services for environmental reviews and
authorizations, including the authorization portal
under paragraph (1)(B).
(B) Unified system development and
implementation.--To the maximum extent practicable, not
later than December 1, 2027, the Chair of the Council
on Environmental Quality shall develop and implement
the unified interagency data system required under
paragraph (1)(A).
(3) Report.--Not less frequently than annually, the Chair
of the Council on Environmental Quality, in consultation with
the Federal Permitting Improvement Steering Council, the Chief
Information Officers Council, and other relevant stakeholders
and Federal agencies, shall submit to the Committee on Natural
Resources of the House of Representatives and the Committee on
Environment and Public Works of the Senate a report on the
Council on Environmental Quality's progress on developing a
unified interagency data system under paragraph (1).
(f) Authority To Enter Into Contracts.--Subject to the availability
of appropriations, the Council on Environmental Quality may enter into
contracts and other arrangements for analyses, services, and products
with Federal agencies, private organizations, and businesses, and make
such payments as determined necessary by the Council on Environmental
Quality to carry out the provisions of this section.
(g) Clarifying Rulemaking Authority.--Nothing in this section shall
be construed to authorize the Council on Environmental Quality or a
Federal agency to impose additional regulatory processes or
requirements beyond those expressly stipulated under the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) or any other
law.
(h) Savings Clause.--To the extent that a data system, technology,
or tool developed or incorporated into a unified interagency data
system under this section is not limited by project type, the data
system, technology, or tool shall not have its use be restricted by
project type.
(i) Definitions.--In this section:
(1) Authorization.--The term ``authorization'' means any
license, permit, approval, finding, determination, or other
administrative decision issued by an agency and any interagency
consultation that is required or authorized under Federal law
in order to site, construct, reconstruct, or commence
operations of a project administered by a Federal agency.
(2) Authorization data.--The term ``authorization data''
means--
(A) any data relevant for a Federal agency to--
(i) determine the effect on the environment
of an action for which an authorization is
required by the Federal agency; and
(ii) determine whether to issue such
authorization; and
(B) any community input or public comment on such
determinations.
(3) Data architecture.--The term ``data architecture''
means the design and organization of data systems, including
frameworks for data storage, processing, and exchange.
(4) Data standards.--The term ``data standards'' means
agreed-upon specifications for data formats, structures, and
definitions to ensure consistency and vendor neutral
interoperability.
(5) Environmental review.--The term ``environmental
review'' means any Federal agency procedures or processes for--
(A) applying a categorical exclusion; or
(B) preparing an environmental assessment, an
environmental impact statement, or another document
required under the National Environmental Policy Act of
1969 (42 U.S.C. 4321 et seq.).
(6) Federal agency.--The term ``Federal agency'' has the
meaning given the term ``agency'' in section 551 of title 5,
United States Code.
(7) Federal permitting improvement steering council.--The
term ``Federal Permitting Improvement Steering Council'' has
the meaning given the term ``Council'' in section 41001 of the
FAST Act (42 U.S.C. 4370m).
SEC. 703. TIMELY PUBLIC RELEASE OF NEPA DOCUMENTATION.
(a) In General.--To achieve the goals described in section 1507.4
of title 40, Code of Federal Regulations (or a successor regulation),
to allow agencies and the public to efficiently and effectively access
timely information relating to environmental reviews required under the
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), the
lead agency for a proposed major Federal action shall make the
documents identified under subsection (b) with respect to such proposed
major Federal action available to the public in a searchable, digital
format when such documents are completed by the lead agency, or in the
case of final documents, finalized by the agency. The lead agency shall
make such documents available to the public in a searchable, digital
format by--
(1) publishing and maintaining such documents on the public
website or websites of the applicable agency or agencies; and
(2) uploading such documents to the E-NEPA online
permitting portal established under subsection (b) of section
110 of the National Environmental Policy Act of 1969 (as added
by section 702(b) of this Act).
(b) Documents.--The documents identified under this subsection are
the following:
(1) Any notice of intent and other scoping notices.
(2) Any draft and final environmental assessments and
findings of no significant impacts.
(3) Any draft, final, and supplemental environmental impact
statements.
(4) Any records of decision.
(5) Any documentation associated with a determination to
proceed with the proposed major Federal action under a
categorical exclusion.
(6) Any additional related documentation.
(c) Timing.--The lead agency shall make the documents identified
under subsection (b) available to the public in a searchable, digital
format under subsection (a) by not later than the earlier of--
(1) 3 days after the date on which the lead agency
completes the document; and
(2) 3 days after the date on the document is published in
the Federal Register.
(d) Cooperating Agencies.--A cooperating agency shall publish a
link to the location on the website of the lead agency to the documents
identified under subsection (b) on which the agency was a cooperating
agency.
SEC. 704. COMMUNITY BENEFITS AGREEMENTS.
(a) Prioritization in NEPA.--If a project sponsor has entered into
a community benefits agreement described in subsection (b) with respect
to an eligible project, the applicable lead agency shall prioritize the
completion of the required environmental documents for the eligible
project.
(b) Community Benefits Agreement (CBA).--A project sponsor and a
CBA partner may enter into an agreement that--
(1) relates to an eligible project for which an
authorization is sought;
(2) may include the disbursement of funds, including
commitments, for social, economic, or environmental benefits
that will--
(A) ensure benefits from the construction,
modification, and operation of the eligible project are
shared with nearby residents;
(B) offset adverse impacts resulting from such
construction, modification, or operation; or
(C) address legacy or historical harm or adverse
cumulative social, economic, or environmental impacts
in the location in which the eligible project is to be
carried out;
(3) includes commitments by a project sponsor to hire
members of the local workforce during construction,
modification, operation, or maintenance of the eligible
project;
(4) includes commitments to provide educational
opportunities and training for workforce and skills
development, if it is determined that there is an insufficient
local workforce;
(5) may include commitments by a project sponsor to procure
materials and services from local businesses, when possible;
(6) is negotiated through a process that includes
meaningful engagement by the project sponsor with the CBA
partner;
(7) details specific, measurable, and legally enforceable
CBA commitments;
(8) includes a detailed plan, with clear metrics,
milestones, and timelines for accomplishing such commitments;
(9) establishes specific roles, responsibilities, and
processes for tracking and reporting progress with respect to
commitments agreed to in the CBA;
(10) establishes clear enforcement processes to address a
failure to fulfill a commitment that was agreed to;
(11) addresses the mechanism through which any disbursement
agreed to in the CBA will be held and dispersed, such as
through a trust fund or similar instrument; and
(12) if the CBA involves tribal lands or interests--
(A) it must be negotiated on a government-to-
government basis, in recognition of trust obligations
and tribal sovereignty; and
(B) the CBA may include compensation to a Tribe for
legal costs incurred during negotiation (including
legal, staffing, and consulting expenses).
(c) Technical Assistance.--
(1) Upon request by a CBA partner, the lead agency may
provide technical assistance to the CBA partner in developing
and negotiating a community benefits agreement.
(2) In providing technical assistance, the agency must
utilize technical assistance providers who are neutral,
culturally competent, third parties with experience developing
CBAs.
(d) Definitions.--In this section:
(1) Authorization.--The term ``authorization'' means any
license, permit, approval, finding, determination, or other
administrative decision issued by an agency and any interagency
consultation that is required or authorized under Federal law
in order to site, construct, reconstruct, or commence
operations of an infrastructure project.
(2) CBA partner.--The term ``CBA partner'' means a State, a
local unit of government, an Indian Tribe, a labor
organization, or a community benefits organization.
(3) Community benefits organization.--The term ``community
benefits organization'' means an organization that--
(A) is described in section 501(c)(3) of the
Internal Revenue Code of 1986 and is exempt from
taxation under section 501(a) of such Code; and
(B) is formed to protect the human health and
environment of communities in the area in which a
proposed the eligible project is to be carried out.
(4) Eligible project.--The term ``eligible project'' means
a project for the construction, modification, or operation of a
clean energy facility.
(5) Environmental document; lead agency.--The terms
``environmental document'' and ``lead agency'' have the
meanings given such terms, respectively, in section 111 of the
National Environmental Policy Act of 1969 (42 U.S.C. 4336e).
(6) Clean energy facility.--The term ``clean energy
facility'' means a facility that--
(A) uses wind, solar, or geothermal energy to
generate energy;
(B) transmits electricity to support wind, solar,
or geothermal energy generation; or
(C) stores energy.
SEC. 705. INTERVENOR FUNDING AT FERC OFFICE OF PUBLIC PARTICIPATION.
(a) In General.--Section 319(b)(2) of the Federal Power Act (16
U.S.C. 825q-l(b)(2)) is amended by striking ``The Commission may'' and
inserting ``The Commission shall''.
(b) Rulemaking.--Not later than 180 days after the date of
enactment of this Act, the Federal Energy Regulatory Commission shall
promulgate a final rule to provide compensation under section 319(b)(2)
of the Federal Power Act (16 U.S.C. 825q-1(b)(2)), as amended by this
section. Under such rule the Commission shall require that each
intervenor or participant file a disclosure form of earned and unearned
income to identify conflicts of interest. Such form shall not be overly
burdensome.
SEC. 706. SENIOR COMMUNITY ENGAGEMENT OFFICERS AND TRIBAL COMMUNITY
ENGAGEMENT OFFICERS.
(a) Designation of Senior Community Engagement Officers and Tribal
Community Engagement Officers.--
(1) In general.--The head of each Federal agency required
or authorized to complete an environmental document or an
authorization for a major Federal action shall designate--
(A) 1 or more appropriate employees or officials of
the applicable Federal agency to serve as a senior
community engagement officer (referred to in this
section as an ``SCO''); and
(B) 1 or more appropriate employees or officials of
the applicable Federal agency (other than an employee
or official designated as an SCO under subparagraph
(A)) to serve as a Tribal community engagement officer
(referred to in this section as a ``TEO'').
(2) Responsibilities of an sco and teo.--An SCO and a TEO
shall--
(A) oversee community or Tribal, as applicable,
engagement in environmental review and authorization
processes carried out by the Federal agency;
(B) advise the applicable head of the Federal
agency on matters relating to community or Tribal, as
applicable, engagement in such reviews and processes;
(C) identify, recommend, and implement approaches
to expand and improve early, meaningful community or
Tribal, as applicable, engagement relating to the
environmental review and authorization processes
carried out by the Federal agency, including to ensure
timely public access to all information relevant to
inform such engagement;
(D) identify and avoid or resolve conflicts with
communities or Indian Tribes affected by the
environmental review or authorization processes, as
applicable--
(i) to align Federal actions with the needs
and interests of those communities or Indian
Tribes, as applicable; and
(ii) to minimize the potential for delay of
environmental review and authorization
processes carried out by the Federal agency;
(E) identify opportunities with affected
communities or Indian Tribes to accelerate the
environmental review and authorization processes
carried out by the Federal agency;
(F) provide technical support and capacity
building, on request of a community or an Indian Tribe
to enhance the ability of communities and Indian Tribes
to engage constructively in Federal agency decision
making;
(G) assist in developing and negotiating community
benefits agreements consistent with section 704; and
(H) coordinate with the Council on Environmental
Quality to develop interagency training modules, data
sharing protocols, and community engagement standards
to ensure consistency and accountability across Federal
agencies.
(3) Reporting.--An SCO and a TEO shall report directly to a
Deputy Secretary (or equivalent) or higher position in the
Federal agency in which the SCO or TEO serves.
(4) Guidance.--The Director of the Office of Management and
Budget shall establish any guidance necessary to establish SCO
and TEO positions not later than 2 years of the date of
enactment of this Act.
(b) Regional Community Engagement Officers.--A Federal agency may
appoint regional community engagement officers to support community and
Tribal engagement in environmental review and authorization processes
carried out by the Federal agency within a region impacted by a
proposed major Federal project, including by carrying out activities--
(1) to identify and implement approaches to expand and
improve early, meaningful community and Tribal engagement
relating to the environmental review and authorization
processes carried out by the Federal agency;
(2) to identify and avoid or resolve conflicts with
affected communities and Indian Tribes that have the potential
to delay environmental review and authorization processes
carried out by the Federal agency;
(3) to identify opportunities with affected communities and
Indian Tribes to accelerate the environmental review and
authorization processes carried out by the Federal agency;
(4) to provide technical support and capacity building, on
request of a community or an Indian Tribe, to enhance the
ability of communities or Indian Tribes to engage
constructively in Federal agency decision making; and
(5) to assist in developing and negotiating community
benefits agreements consistent with section 704.
(c) Application.--Notwithstanding any other provision of law,
chapter 10 of title 5, United States Code (commonly known as the
``Federal Advisory Committee Act''), shall not apply to stakeholder
engagement processes or public comment activities that are required
under or proceeding from a Federal environmental permitting process and
led by an SCO, a TEO, or a regional community engagement officer
appointed under subsection (b).
(d) FAST 41.--
(1) Definition of agency sco.--Section 41001 of the FAST
Act (42 U.S.C. 4370m) is amended--
(A) by redesignating paragraphs (2) through (18) as
paragraphs (3) through (19), respectively; and
(B) by inserting after paragraph (1) the following:
``(2) Agency sco.--The term `agency SCO' means the senior
community engagement officer of an agency, as designated by the
head of the agency under section 706(a)(1)(A) of the Energy
Bills Relief Act.''.
(2) Dispute resolution.--Section 41003(c)(2)(C)(i) of the
FAST Act (42 U.S.C. 4370m-2(c)(2)(C)(i)) is amended by striking
``agency CERPOs'' and inserting ``agency CERPOs, agency
SCOs,''.
(3) Environmental review improvement fund.--Section
41009(d)(3) of the FAST Act (42 U.S.C. 4370m-8(d)(3)) is
amended--
(A) by striking ``facilitate timely'' and inserting
``facilitate early, meaningful community engagement and
timely''; and
(B) by inserting ``and agency SCOs'' after ``agency
CERPOs''.
(e) Definitions.--In this section:
(1) Authorization.--The term ``authorization'' means any
license, permit, approval, finding, determination, or other
administrative decision issued by an agency and any interagency
consultation that is required or authorized under Federal law
in order to site, construct, reconstruct, or commence
operations of an infrastructure project.
(2) Environmental document.--The term ``environmental
document'' has the meaning given such term in section 111 of
the National Environmental Policy Act of 1969 (42 U.S.C.
4336e).
SEC. 707. CAPACITY GRANTS FOR PERMITTING AND COMMUNITY ENGAGEMENT.
(a) In General.--The Administrator of the Environmental Protection
Agency shall make grants to States, units of local government, and
Indian Tribes which shall be used for purposes of--
(1) increasing the capacity of such organizations to
conduct activities related to proposed major Federal actions,
and State, local, and Tribal environmental reviews, permits,
and consultations, including by--
(A) compiling data and conducting analyses,
planning, and environmental review;
(B) determining potential economic, social, public
health, and environmental impacts; or
(C) identifying opportunities to mitigate such
impacts;
(2) coordinating with relevant Federal agencies in order to
establish shared permitting information portals in association
with the linked interagency environmental data collection
systems established under section 702 through which project
developers can--
(A) acquire all relevant information regarding
pertinent Federal, State and local permitting
requirements;
(B) submit all required permit applications; and
(C) request and receive assistance in completing
relevant permit applications;
(3) identifying and minimizing redundancy between relevant
Federal, State and local permitting requirements;
(4) enhancing community engagement opportunities related to
environmental reviews;
(5) identifying zones for renewable energy development;
(6) facilitating the siting of renewable energy-related
facilities and infrastructure;
(7) establishing local zoning ordinances that promote the
development of renewable energy; and
(8) training and hiring personnel, and other activities to
increase the capacity of States, units of local government,
Indian Tribes, and nonprofit associations, as applicable, to
carry out activities described in paragraphs (1) through (7).
(b) Funding.--There is authorized to be appropriated to the
Administrator of the Environmental Protection Agency to make grants
under subsection (a) $500,000,000 for each of fiscal years 2026 through
2031.
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