[Congressional Record Volume 156, Number 30 (Thursday, March 4, 2010)]
[Senate]
[Pages S1175-S1180]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. MERKLEY (for himself, Mr. Pryor, Mr. Brown of Ohio, Ms. 
        Stabenow, Mr. Sanders, and Mr. Cardin):
  S. 3079. A bill to assist in the creation of new jobs by providing 
financial incentives for owners of commercial buildings and multifamily 
residential buildings to retrofit their buildings with energy efficient 
building equipment and materials and for other purposes; to the 
Committee on Energy and Natural Resources.
  Mr. MERKLEY. Mr. President, I rise today to introduce legislation to 
help create jobs and lower energy bills for businesses and multi-family 
residences. This bill would create a program called Building Star, 
designed to promote energy-saving commercial building renovations 
through rebates and low-cost financing options.
  I believe, as do many of my colleagues, that energy efficiency should 
be a central component of our national energy policy because energy 
efficiency creates jobs, reduces our dependence on foreign oil, and 
reduces the pollution of our air and water. Central to the program we 
are proposing today is its ability to help businesses afford the up-
front costs of energy-efficient renovations by helping state and local 
programs offer low-interest loans that can be paid back through savings 
on energy bills.
  As we take action to put Americans back to work, we need to set our 
sights on programs that provide the biggest bang for our buck in terms 
of immediate job creation and set our economy up for future growth. 
Clean energy is not only the next great growth industry, but it's an 
engine for job creation today. Energy-efficiency programs like Building 
Star will put Americans to work in construction and manufacturing and 
save small businesses money as we strive for American energy 
independence.
  I would like to thank Senator Pryor for his leadership on this bill 
as well as Senators Stabenow, Brown, and Sanders in joining the push 
for a common-sense idea that can create jobs right away and pave the 
way for future growth in America's clean energy industry.
  I would also like to recognize Senator Warner's great leadership in 
developing Home Star, a parallel program that offers energy-efficiency 
assistance to homeowners. I am proud to stand with my forward-thinking 
colleagues, Senator Bingaman and Senator Sanders in supporting Home 
Star and I look forward to continued discussions about how we can 
maximize the economic benefits of these valuable programs.
  I would like to focus for a moment on the immediate positive impact 
that Building Star will have on our economy.
  Building Star would begin creating jobs immediately and is projected 
to create as many as 150,000 jobs in some of the economy's hardest-hit 
sectors including construction, manufacturing, and distribution over 
the next 2 years.
  Building Star will stimulate new jobs in the 55,000 construction and 
manufacturing firms that deal in building, mechanical and low-slope 
roof insulation, windows, and window films. Eighty-six percent of these 
firms are small businesses employing less than 20 people.
  Building Star will maximize Federal investment by leveraging $2 to $3 
in private investment for every Federal dollar spent, making it an 
excellent model for a public-private partnership and maximizing 
resource efficacy.
  In addition, Building Star is expected to save building owners more 
than $3 billion annually on their energy bills by reducing enough peak 
electricity demand to avoid the need for 33 300-Megawatt power plants.
  It will also reduce the pollution that contributes to climate change 
by 21 million metric tons each year, or the equivalent of nearly 4 
million cars' emissions, according to the American Council for an 
Energy-Efficient Economy.
  I urge my colleagues to recognize the outstanding opportunity that 
energy-efficiency renovations offer in putting Americans back to work, 
saving money for our working families, and moving us toward energy 
independence.
   Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3079

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Building Star Energy 
     Efficiency Act of 2010''.

     SEC. 2. DEFINITIONS.

       In this Act:
       (1) ASHRAE.--The term ``ASHRAE'' means the American Society 
     of Heating, Refrigerating and Air-Conditioning Engineers.
       (2) Building envelope insulation.--The term ``building 
     envelope insulation'' means thermal insulation for a building 
     envelope (other than a low slope roof), as defined in ASHRAE 
     Standard 90.1-2007 or 2009 IECC, as appropriate.
       (3) Chiller tonnage downsizing.--The term ``chiller tonnage 
     downsizing'' means the quantity by which the tonnage rating 
     of a replaced chiller exceeds the tonnage rating of a 
     qualified replacement chiller.
       (4) Climate zone.--The term ``climate zone'' means a 
     climate zone specified in ASHRAE Standard 90.1-2007.
       (5) Commercial building.--
       (A) In general.--The term ``commercial building'' means a 
     building that--
       (i) is located in the United States; and
       (ii) was in existence on December 31, 2009.
       (B) Exclusions.--The term ``commercial building'' does not 
     include--
       (i) a federally owned building; or
       (ii) a residential building.
       (6) Duct.--The term ``duct'' means HVAC ducts with respect 
     to which pressure testing has been performed and, if 
     necessary, leakage remediated, in accordance with sections 
     503.2.7.1.2 and 503.2.7.1.3 of the 2009 IECC.
       (7) Duct insulation.--The term ``duct insulation'' means 
     thermal insulation of a HVAC duct.
       (8) HVAC.--The term ``HVAC'' means heating, ventilation, 
     and air conditioning.
       (9) IECC.--The term ``IECC'' means the International Energy 
     Conservation Code.
       (10) Mechanical insulation.--The term ``mechanical 
     insulation'' means thermal insulation installed, in 
     accordance with applicable Federal, State, and local law, on 
     mechanical piping and mechanical equipment.
       (11) Multifamily residential building.--
       (A) In general.--The term ``multifamily residential 
     building'' means a structure of 5 or more dwelling units 
     that--
       (i) is located in the United States; and
       (ii) was in existence on December 31, 2009.
       (B) Exclusion.--The term ``multifamily residential 
     building'' does not include a federally owned building.
       (12) NFRC.--The term ``NFRC'' means the National 
     Fenestration Rating Council.
       (13) Program.--The term ``program'' means the Building Star 
     Energy Efficiency Rebate Program of 2010 established under 
     section 3.
       (14) Qualified boiler.--The term ``qualified boiler'' means 
     a new natural gas-fired, oil-fired, or wood or wood pellet 
     boiler that--
       (A) has a capacity of not less than 300,000, and not more 
     than 5,000,000, Btu per hour;
       (B) replaces an operational boiler in a commercial building 
     or multifamily residential building; and
       (C) meets or exceeds--
       (i) in the case of a natural gas-fired boiler, 90 percent 
     thermal efficiency;
       (ii) in the case of an oil-fired boiler, 85 percent thermal 
     efficiency; and
       (iii) in the case of a wood or wood pellet boiler, 75 
     percent thermal efficiency.
       (15) Qualified building envelope insulation.--The term 
     ``qualified building envelope insulation'' means the 
     installation or repair of building envelope insulation to 
     meet or exceed ASHRAE Standard 90.1-2007 or 2009 IECC in a 
     commercial building or multifamily residential building.
       (16) Qualified energy audit.--The term ``qualified energy 
     audit'' means an ASHRAE Level II energy audit or equivalent 
     of a commercial building or multifamily residential building 
     that is designed to identify all cost-effective energy 
     efficiency measures.
       (17) Qualified energy-efficient building operation and 
     maintenance training.--The term ``qualified energy-efficient 
     building operation and maintenance training'' means--
       (A) the training of a superintendent or operator of a 
     commercial building or multifamily residential building; and
       (B) resultant--
       (i) Level 1 or Level 2 Building Operator Certification for 
     commercial building operators; or
       (ii) certification as a Multifamily Building Operator by 
     the Building Performance Institute for residential building 
     operators.

[[Page S1176]]

       (18) Qualified energy monitoring and management system.--
     The term ``qualified energy monitoring and management 
     system'' means a system that--
       (A) is installed in a commercial building or multifamily 
     residential building;
       (B) uses a combination of computers, computer software, 
     control equipment, and instrumentation to monitor and manage 
     or submeter the energy use of a building, such as heating, 
     ventilation, air conditioning, and lighting;
       (C) provides reporting of information to the building owner 
     or operator to enable refinement of building operation and 
     energy usage; and
       (D) is covered by a service contract with a duration of not 
     less than 1 year for system monitoring or maintenance, 
     including all maintenance recommended by the equipment 
     manufacturer.
       (19) Qualified exterior lighting.--The term ``qualified 
     exterior lighting'' means exterior lighting that--
       (A) replaces operational exterior lighting at a commercial 
     building or multifamily residential building; and
       (B) achieves a reduction of 20 percent or more in annual 
     energy use as compared to the lighting that was replaced, as 
     determined in accordance with section 3(c)(7)(B).
       (20) Qualified furnace.--The term ``qualified furnace'' 
     means a new natural gas furnace or a wood or wood pellet 
     furnace that--
       (A) replaces an operational furnace in a commercial 
     building or multifamily residential building;
       (B) in the case of natural gas, meets or exceeds 90 percent 
     thermal efficiency; and
       (C) in the case of a wood or wood pellet furnace, meets or 
     exceeds 75 percent thermal efficiency.
       (21) Qualified high-efficiency window films and screens.--
     The term ``qualified high-efficiency window films and 
     screens'' means window films and screens that--
       (A) are permanently affixed to windows or window frames in 
     a commercial building or multifamily residential building;
       (B) have a Luminous Efficacy (which is Visible Light 
     Transmittance, as certified to NRFC standards divided by 
     SHGC) of 1.1 or greater; and
       (C) have a SHGC that meets or is better than the applicable 
     requirements of the following table (as certified to NFRC 
     standards):


----------------------------------------------------------------------------------------------------------------
              Climate Zones                  1        2        3        4        5        6        7        8
----------------------------------------------------------------------------------------------------------------
SHGC....................................      .25      .25      .25      .40      .40      .40      .45      .45
----------------------------------------------------------------------------------------------------------------

       (22) Qualified hvac testing, balancing, and duct sealing.--
     The term ``qualified HVAC testing, balancing, and duct 
     sealing'' means work performed in a commercial building or 
     multifamily residential building by individuals with an ANSI-
     accredited certification in HVAC testing--
       (A) to pressure-test HVAC ducts;
       (B) to balance air flow; and
       (C) to identify all leaking ducts and remediate the leakage 
     to the appropriate leakage class, in accordance with sections 
     503.2.7.1.2 and 503.2.7.1.3 of the 2009 IECC.
       (23) Qualified interior lighting.--The term ``qualified 
     interior lighting'' means new interior lighting that--
       (A) replaces operational interior lighting in a commercial 
     building or multifamily residential building; and
       (B) achieves an installed power reduction of 25 percent or 
     more as compared to the installed power of the lighting that 
     was replaced, as determined in accordance with section 
     3(c)(6)(B).
       (24) Qualified low slope roof insulation.--The term 
     ``qualified low slope roof insulation'' means a retrofit 
     that--
       (A) adds new insulation to a roof on a commercial building 
     or multifamily residential building if the roof insulation is 
     entirely above deck, as defined in ASHRAE Standard 90.1-2007 
     or 2009 IECC; and
       (B) meets or exceeds the R-values for the applicable 
     climate zone in the following table:


----------------------------------------------------------------------------------------------------------------
              Climate Zones                  1        2        3        4        5        6        7        8
----------------------------------------------------------------------------------------------------------------
R-Value.................................       20       25       25       25       25       30       35       35
----------------------------------------------------------------------------------------------------------------

       (25) Qualified mechanical insulation.--The term ``qualified 
     mechanical insulation'' means the installation or repair of 
     mechanical or duct insulation to meet or exceed ASHRAE 
     Standard 90.1-2007 or 2009 IECC in a commercial building or 
     multifamily residential building.
       (26) Qualified replacement chiller.--The term ``qualified 
     replacement chiller'' means a water-cooled chiller that--
       (A) is certified to meet efficiency standards effective on 
     January 1, 2010, as defined in table 6.8.1c in Addendum M to 
     Standard 90.1-2007 of ASHRAE; and
       (B) replaces a chiller that--
       (i) was installed before January 1, 1993;
       (ii) uses chlorofluorocarbon refrigerant; and
       (iii) until replaced by a new chiller, has remained in 
     operation and used for cooling a commercial building.
       (27) Qualified retro commissioning study.--The term 
     ``qualified retro commissioning study'' means a commissioning 
     study of building energy systems that is--
       (A) conducted consistent with the guidelines in the Retro 
     Commissioning Guide for Building Owners prepared for--
       (i) the Environmental Protection Agency; or
       (ii) the document entitled ``California Commissioning 
     Guide: Existing Buildings'' published by the California 
     Commissioning Collaborative; and
       (B) performed by a service provider with--
       (i) an ASHRAE Commissioning Process Management Professional 
     certification; or
       (ii) a Building Commissioning Association Certified 
     Commissioning Professional certification.
       (28) Qualified service on cooling systems.--
       (A) In general.--The term ``qualified service on cooling 
     systems'' means periodic maintenance service on a central air 
     conditioner that--
       (i) is located in a commercial building or multifamily 
     residential building; and
       (ii) has a capacity of not less than 2 tons.
       (B) Inclusions.--The term ``qualified service on cooling 
     systems'' includes--
       (i) a cleaning of a condenser coil;
       (ii) a check of system pressure;
       (iii) an inspection and replacement of a filter;
       (iv) an inspection and replacement of a belt;
       (v) an inspection and repair of an economizer;
       (vi) an inspection of a contractor;
       (vii) an inspection of an evaporator;
       (viii) an evaluation of a compressor ampere draw;
       (ix) an evaluation of supply motor amp draw;
       (x) an evaluation of a condenser fan amp draw;
       (xi) an evaluation of liquid line temperature;
       (xii) an evaluation of suction pressure and temperature;
       (xiii) an evaluation of oil level and pressure;
       (xiv) an inspection of low pressure controls and high 
     pressure controls;
       (xv) an evaluation of crankcase heater operation;
       (xvi) a cleaning of chiller condenser tubes;
       (xvii) a cleaning of chiller evaporator tubes; or
       (xviii) a check, and if necessary, correction of a 
     refrigerant charge and system airflow to conform to 
     manufacturer specifications.
       (29) Qualified service on space heating equipment.--
       (A) In general.--The term ``qualified service on space 
     heating equipment'' means the periodic maintenance service on 
     a boiler, unit heaters make-up air unit, heat pump, furnace, 
     or industrial space heating equipment with forced or induced 
     draft combustion that is located in a commercial or 
     multifamily residential building.
       (B) Inclusions.--The term ``qualified service on space 
     heating equipment'' includes--
       (i) cleaning all heat exchange surfaces and checking and 
     calibrating all system controls; and
       (ii) combustion efficiency tests and stack temperature 
     measurements conducted before and after the service.
       (30) Qualified unitary air conditioner.--The term 
     ``qualified unitary air conditioner'' means a new 3 phase 
     unitary air conditioner that--
       (A) replaces an operational air conditioner or heat pump in 
     a commercial building or multifamily residential building; 
     and
       (B) meets or exceeds Consortium for Energy Efficiency Tier 
     1 efficiency standards as in effect on January 1, 2010.
       (31) Qualified unitary heat pump.--The term ``qualified 
     unitary heat pump'' means a new 3 phase unitary heat pump 
     that--
       (A) replaces an operational air conditioner or heat pump in 
     a commercial building or multifamily residential building; 
     and
       (B) meets or exceeds Consortium for Energy Efficiency Tier 
     1 level of efficiency as in effect on January 1, 2010.
       (32) Qualified variable speed drive.--The term ``qualified 
     variable speed drive'' means a new electronic variable speed 
     drive that--
       (A) is added to an operational motor in a--
       (i) chilled water pump;
       (ii) cooling tower fan;
       (iii) fume hood exhaust or makeup fan;
       (iv) hot water pump;

[[Page S1177]]

       (v) exhaust fan;
       (vi) chiller compressor; or
       (vii) supply, return, or exhaust fan on a variable-air 
     volume unit that is located in a commercial building or 
     multifamily residential building and operates not less than 
     2,000 hours annually;
       (B) is controlled automatically by a building automation 
     system, process control system, or local controller driven by 
     differential pressure, flow, temperature, or another variable 
     signal; and
       (C) incorporates a series reactor for power factor 
     correction.
       (33) Qualified water heater.--The term ``qualified water 
     heater'' means a new natural gas or electric storage water 
     heater with a capacity of 75,000 Btu/hour or greater, or a 
     tankless water heater with a capacity of 200,000 Btu/hour or 
     greater, that replaces an operational water heater in a 
     commercial building or multifamily residential building and 
     meets or exceeds--
       (A) in the case of a natural gas water heater, 90 percent 
     thermal efficiency;
       (B) in the case of an electric water heater--
       (i) a 2.5 Coefficient of Performance; or
       (ii) a 2.0 Energy Factor; and
       (C) in the case of a wood or wood pellet water heater, 75 
     percent thermal efficiency.
       (34) Secretary.--The term ``Secretary'' means the Secretary 
     of Energy.
       (35) SHGC.--The term ``SHGC'' means the Solar Heat Gain 
     Coefficient.
       (36) Tier 1 qualified window.--The term ``tier 1 qualified 
     window'' means a new window that--
       (A) replaces an existing window in a commercial building or 
     multifamily residential building; and
       (B) meets or is better than--
       (i) the applicable U-factor and SHGC requirements (both 
     certified to NFRC standards) in the following table:


----------------------------------------------------------------------------------------------------------------
              Climate Zones                  1        2        3        4        5        6        7        8
----------------------------------------------------------------------------------------------------------------
U-Factor................................      .57      .57      .40      .35      .35      .35      .35      .35
SHGC....................................      .25      .25      .25      .40      .40      .40      .45      .45
----------------------------------------------------------------------------------------------------------------

     ; and
       (ii) in the case of a window with impact-rated glazing in 
     climate zone 1, a U-factor of 1.20.
       (37) Tier 2 qualified window.--The term ``tier 2 qualified 
     window'' means a new window that--
       (A) replaces an existing window in a commercial building or 
     multifamily residential building; and
       (B) meets or is better than--
       (i) the applicable U-factor and SHGC requirements (both 
     certified to NFRC standards) in the following table:


----------------------------------------------------------------------------------------------------------------
              Climate Zones                  1        2        3        4        5        6        7        8
----------------------------------------------------------------------------------------------------------------
U-Factor................................      .32      .32      .30      .30      .30      .30      .30      .30
SHGC....................................      .25      .25      .25      .26      .26      .35      .45      .45
----------------------------------------------------------------------------------------------------------------

     ; and
       (ii) in the case of a window with impact-rated glazing in 
     climate zone 1, a U-factor of 1.20.

     SEC. 3. BUILDING STAR PROGRAM.

       (a) Establishment.--There is established in the Department 
     of Energy a program to be known as the ``Building Star Energy 
     Efficiency Rebate Program of 2010'' under which the 
     Secretary, in accordance with this section, shall issue 
     rebates to building owners to offset a portion of the cost of 
     purchasing and installing qualifying equipment or materials 
     or undertaking qualifying services to enhance the energy 
     efficiency of existing commercial buildings and multifamily 
     residential buildings.
       (b) Rebates for Building Envelope Energy Efficiency 
     Measures.--Rebates for the purchase and installation of 
     qualifying insulation, windows, and qualified high-efficiency 
     window films and screens in commercial or multifamily 
     residential buildings shall be available in the following 
     amounts:
       (1) Building envelope insulation.--For qualified building 
     envelope insulation, a rebate of $0.60 per square foot of 
     insulated area.
       (2) Low slope roofing insulation.--For qualified low slope 
     roofing insulation, a rebate of $0.80 per square foot of 
     insulated roof area over conditioned space.
       (3) Mechanical insulation.--For qualified mechanical 
     insulation, rebates shall be the amounts specified in the 
     following table:


----------------------------------------------------------------------------------------------------------------
      Piping and Equipment Applications                                      Rebate
----------------------------------------------------------------------------------------------------------------
2" Iron Pipe Size and below..................  $2.50 per equivalent lineal foot
2" to 12" Iron Pipe Size.....................  $5.00 per equivalent lineal foot
Above 12" Iron Pipe Size and equipment.......  $5.00 per square foot
HVAC Duct Applications.......................  $1.00 per square foot
----------------------------------------------------------------------------------------------------------------

       (4) Windows.--
       (A) Tier 1 qualified windows.--For Tier 1 qualified 
     windows, a rebate of $150 per window.
       (B) Tier 2 qualified windows.--For Tier 2 qualified 
     windows, a rebate of $300 per window.
       (5) High-efficiency window films and screens.--For 
     qualified high-efficiency window films and screens, a rebate 
     of $1.00 per square foot of treated glass enclosing a 
     mechanically conditioned space.
       (c) Rebates for Eligible Equipment Installation.--Rebates 
     for the purchase and installation of qualifying new energy 
     efficient equipment in commercial buildings or multifamily 
     residential buildings shall be available in the following 
     amounts:
       (1) Boilers.--For qualified boilers, rebates shall be the 
     amounts specified in the following table:


----------------------------------------------------------------------------------------------------------------
                 Boiler Fuel                                                 Rebate
----------------------------------------------------------------------------------------------------------------
Natural Gas-fired............................  $10 per thousand Btu per hour capacity
Oil-fired....................................  $3 per thousand Btu per hour capacity
Wood or wood pellet boiler...................  $__ per thousand Btu per hour capacity
----------------------------------------------------------------------------------------------------------------

       (2) Furnaces.--For qualified furnaces, rebates of $5 per 
     thousand Btu per hour of capacity.
       (3) Water heaters.--For qualified water heaters, rebates 
     shall be the amounts specified in the following table:


----------------------------------------------------------------------------------------------------------------
                Energy Source                                                Rebate
----------------------------------------------------------------------------------------------------------------
Natural Gas..................................  $8 per thousand Btu per hour capacity
Electricity..................................  $20 per thousand Btu per hour of heat pump capacity
Wood or wood pellet water heater.............  $__ per thousand Btu per hour capacity
----------------------------------------------------------------------------------------------------------------

       (4) Unitary air conditioners and heat pumps.--For qualified 
     unitary air conditioners and qualified unitary heat pumps, 
     rebates shall be the amounts specified in the following 
     table:


[[Page S1178]]



----------------------------------------------------------------------------------------------------------------
               Efficiency Level                                              Rebate
----------------------------------------------------------------------------------------------------------------
Consortium on Energy Efficiency Tier 1         $100 per ton cooling capacity
 efficiency standards (as in effect on
 January 1, 2010).
Consortium of Energy Efficiency Tier 2         $200 per ton cooling capacity
 efficiency standards (as in effect on
 January 1, 2010).
----------------------------------------------------------------------------------------------------------------

       (5) Variable speed drives for motors.--For qualified 
     variable speed drives, rebates shall be the amounts specified 
     in the following table:


------------------------------------------------------------------------
       Power Controlled (horsepower)                Rebate Level
------------------------------------------------------------------------
 <10 hp...................................  $120/hp
10-100 hp.................................  $80/hp
>100 hp...................................  $40/hp
------------------------------------------------------------------------

       (6) Interior lighting.--
       (A) In general.--For qualified interior lighting, subject 
     to subparagraphs (B) and (C), rebates based on reduced 
     lighting power shall be the amounts specified in the 
     following table:


25% or greater reduction in installed       $0.25 per square foot of
 lighting power (as adjusted)                illuminated floor area
                                             affected
40% or greater reduction in installed       $0.50 per square foot of
 lighting power (as adjusted)                illuminated floor area
                                             affected
 

       (B) Calculation.--Reductions in installed lighting power 
     resulting from installation of qualified interior lighting 
     shall be calculated by determining the difference between--
       (i) the product obtained by multiplying--

       (I) the quantity of installed power (kW) for existing 
     interior lighting; and
       (II) the applicable control factor; and

       (ii) the product obtained by multiplying--

       (I) the quantity of installed power (kW) of the replacement 
     interior lighting system; and
       (II) the applicable control factor.

       (C) Control factors.--For purposes of subparagraph (B), 
     control factors for installed lighting controls shall be--
       (i) for manual dimming controls, 0.9;
       (ii) for occupancy sensors, 0.9;
       (iii) for programmable multilevel dimming controls, 0.9;
       (iv) for programmable multilevel dimming controls with 
     programmable time scheduling, 0.85; and
       (v) for daylight dimming controls, 0.75.
       (7) Exterior lighting.--
       (A) In general.--For qualified exterior lighting, subject 
     to subparagraphs (B) and (C), rebates based on reduced energy 
     usage shall be the amounts specified in the following table:


 20% or greater reduction in  $0.40 per kWh reduction in calculated
     calculated annual energy  annual energy usage
                        usage
 40% or greater reduction in  $1.00 per kWh reduction in calculated
     calculated annual energy  annual energy usage
                        usage
 

       (B) Calculation.--Reductions in annual energy usage 
     resulting from installation of qualified exterior lighting 
     shall be calculated by determining the difference between--
       (i) the product obtained by multiplying--

       (I) the quantity of installed power (kW) for existing 
     exterior lighting;
       (II) 4,000 operating hours per year; and
       (III) the applicable control factor; and

       (ii) the product obtained by multiplying--

       (I) the quantity of installed power (kW) of the replacement 
     exterior lighting system;
       (II) 4,000 operating hours per year; and
       (III) the applicable control factor.

       (C) Control factors.--For purposes of subparagraph (B), 
     control factors for installed lighting controls shall be--
       (i) for 7-day time controls (with a provision for holiday 
     schedule) if lighting is switched off a minimum of 4 hours 
     per night, 0.75;
       (ii) for motion sensors if lighting power is reduced by at 
     least 40 percent after no activity has been detected for at 
     least 20 minutes, 0.75; and
       (iii) for remote monitoring and multilevel lighting 
     controls, 0.60.
       (8) Qualified replacement chillers.--
       (A) In general.--For qualified replacement chillers, 
     rebates shall be the sum of--
       (i) the product obtained by multiplying--

       (I) $150; and
       (II) the tonnage rating of the replaced chiller; and

       (ii) if all chilled water distribution pumps connected to 
     the qualified replacement chiller include variable frequency 
     drives, the product obtained by multiplying--

       (I) $100; and
       (II) any chiller tonnage downsizing.

       (B) Audits.--As a condition of receiving a rebate for a 
     qualified replacement chiller, an audit with requirements 
     determined by the Secretary (not later than 45 days after the 
     date of enactment of this Act) shall be performed on a 
     building prior to installation of the qualified replacement 
     chiller that identifies cost-effective energy-saving 
     measures, particularly measures that could contribute to 
     chiller tonnage downsizing.
       (d) Rebates for Eligible Energy Efficiency Services.--
     Rebates for qualifying services to enhance the energy 
     efficiency of commercial or multifamily residential buildings 
     shall be available in the following amounts:
       (1) Energy audit and retro commissioning study.--
       (A) In general.--For qualified energy audits or qualified 
     retro commissioning studies, subject to subparagraph (B), a 
     rebate equal to the lesser of--
       (i) $0.05 per square foot of audited or commissioned 
     building space; or
       (ii) 50 percent of the cost of the audit or study.
       (B) Avoidance of duplication.--Rebates shall not be made 
     for energy audits and retro commissioning studies under 
     subparagraph (A) for the same building.
       (2) Energy-efficient building operations and maintenance 
     training.--For qualified energy-efficient building operation 
     and maintenance training, a rebate of $2,000 per individual 
     trained and certified.
       (3) Service on space heating equipment.--For qualified 
     service on space heating equipment, a rebate of $100 per unit 
     serviced.
       (4) Service on cooling systems.--For qualified service on 
     cooling systems, a rebate equal to the lesser of--
       (A) $2 per ton of nameplate capacity of the serviced 
     cooling system; and
       (B) 50 percent of the total service cost.
       (5) Energy monitoring and management systems.--
       (A) Installation.--For qualified energy monitoring and 
     management systems installed in a commercial building or 
     multifamily residential building that have analog controls 
     (pneumatic or electronic), or if no control system exists, a 
     rebate equal to the lesser of--
       (i) $0.45 per square foot of building space covered by the 
     qualified energy monitoring and management system; or
       (ii) 50 percent of the total installation and commissioning 
     costs.
       (B) Upgrading.--For upgrading an existing energy monitoring 
     and management system in a commercial building or multifamily 
     residential building to add submetering to all major 
     individual loads, such as heating, ventilation, air 
     conditioning, and lighting, a rebate equal to the lesser of--
       (i) $0.15 per square foot of building space covered by the 
     energy management system, or
       (ii) 50 percent of the total installation cost.
       (6) HVAC testing, balancing, and duct sealing.--For 
     qualified HVAC testing, balancing, and duct sealing, a rebate 
     of $0.75 per square foot of duct surface tested, balanced, 
     and if necessary, sealed.
       (e) Administration.--
       (1) Eligibility period.--A rebate issued under the program 
     shall be provided only in connection with qualifying 
     equipment installations or services provided during the 
     period beginning on the date of enactment of this Act and 
     ending on December 31, 2011.
       (2) Combination with other incentives.--The availability or 
     use of a Federal, State, local, utility, or other incentive 
     for any qualifying equipment installation or service shall 
     not affect eligibility for rebates under the program.
       (3) Additional fees.--A dealer, equipment installer, or 
     service provider may not charge a person purchasing goods or 
     services any additional fees associated with applying for a 
     rebate under the program.
       (4) Limitation on total rebates issued.--The total value of 
     rebates issued under the program may not exceed the amounts 
     made available for the program.
       (5) Maximum rebate.--The amount of any rebate paid to an 
     applicant for any qualified measure under this section shall 
     be the lesser of--
       (A) the amount determined under subsection (b), (c), or 
     (d); or
       (B) \1/2\ of the cost actually incurred by the applicant 
     building owner to complete the measure that is eligible for 
     the rebate.
       (f) Implementation.--Notwithstanding section 553 of title 
     5, United States Code, not later than 30 days after the date 
     of enactment of this Act, the Secretary shall, in 
     consultation with the Secretary of the Treasury, establish 
     rules and procedures to implement the program, including 
     rules and procedures for--
       (1) building owners or designees to submit applications 
     (including forms) that--
       (A) specify the proposed measures that qualify for a rebate 
     and the total rebate requested; and
       (B) require that the work be completed by licensed 
     contractors or service providers in compliance with all 
     applicable Federal, State and local building codes and 
     standards;
       (2) the Secretary--
       (A) to consider applications; and
       (B) to the extent that the Secretary determines that 
     proposed measures will qualify for rebates under this section 
     if undertaken and that there are sufficient uncommitted

[[Page S1179]]

     funds to carry out the program, to issue confirmations to 
     applicants that rebates will be made if proposed measures are 
     completed;
       (3) an applicant--
       (A) to certify, following completion of the measures 
     identified in the application, that the measures undertaken 
     qualify for rebate under this section; and
       (B) to complete the measures described in the application, 
     and submit a certification, not later than--
       (i) 180 days after the date of receipt of a confirmation; 
     or
       (ii) in the case of a qualified replacement chiller, 360 
     days after the date of receipt of a confirmation;
       (4) appropriate verification by the Secretary of 
     eligibility for a rebate prior to payment;
       (5) verification and payment of rebates by electronic 
     transfer of funds or other means that ensure that the payment 
     occurs not later than 30 days after the date of submission of 
     certification that measures described in the application have 
     been completed;
       (6) certification by the installer, as part of the 
     certification under paragraph (3), that any refrigerants, 
     toxic materials, and other hazards have been removed and 
     disposed of in accordance with all applicable Federal, State, 
     and local laws;
       (7) field inspections by the Federal Government of at least 
     10 percent of the projects for which rebates are received 
     under the program; and
       (8) compliance monitoring and enforcement.
       (g) Civil Penalties.--
       (1) In general.--Any person who knowingly makes a false or 
     misleading statement in an application or certification under 
     this section shall be liable to the United States for a civil 
     penalty in an amount equal to not more than the higher of--
       (A) $15,000 for each violation; or
       (B) the amount that is equal to 3 times the value of any 
     associated rebate received under this section.
       (2) Administration.--In carrying out this subsection, the 
     Secretary--
       (A) may assess and compromise penalties described in 
     paragraph (1);
       (B) may require from any entity the records and inspections 
     necessary to carry out the program; and
       (C) shall consider the severity of the violation and the 
     intent and history of the person committing a violation in 
     determining the amount of a penalty.
       (h) Information to Building Owners, Service Providers, and 
     Equipment Installers.--
       (1) In general.--Not later than 30 days after the date of 
     enactment of this Act, the Secretary shall make available on 
     an Internet website and through other means determined by the 
     Secretary, information about the program, including 
     information on--
       (A) how to determine whether particular efficiency measures 
     are eligible for a rebate;
       (B) how to participate in the program, including how to 
     apply for rebates; and
       (C) the equipment and services meeting the requirements of 
     the program.
       (2) Updating.--The Secretary shall update, as appropriate, 
     the information required under paragraph (1).
       (i) Report to Congress.--Not later than 60 days after the 
     termination date described in subsection (e)(1), the 
     Secretary 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 
     describing the efficacy of the program, including--
       (1) a description of program results, including--
       (A) the total number and value of rebates issued for 
     installation of new energy efficient equipment by category of 
     equipment;
       (B) the total number and value of rebates issued for 
     services rendered by category of service; and
       (C) the geographic distribution of activities for which 
     rebates were issued;
       (2) an estimate of the overall increase in energy 
     efficiency as a result of the program, expressed in terms of 
     percentage improvement by--
       (A) type of equipment;
       (B) total annual energy savings; and
       (C) total annual greenhouse gas reductions; and
       (3) an estimate of the overall jobs created and economic 
     growth achieved as a result of the program.

     SEC. 4. STATE-BASED FINANCING ASSISTANCE FOR COMMERCIAL 
                   BUILDING RETROFITS.

       (a) Definitions.--In this section:
       (1) Building star energy retrofit program.--The term 
     ``Building Star energy retrofit program'' means the Building 
     Star energy retrofit program established under section 3.
       (2) Eligible participant.--The term ``eligible 
     participant'' means a building owner, apartment complex 
     owner, residential cooperative association, or condominium 
     association that--
       (A) meets the eligibility requirements established by a 
     qualified loan program delivery entity designated by the 
     building owner; and
       (B) receives financial assistance from the qualified loan 
     program delivery entity to carry out energy efficiency or 
     renewable energy improvements to an existing building in 
     accordance with the Building Star energy retrofit program 
     established under section 3.
       (3) Program.--The term ``program'' means the Building Star 
     Energy Efficiency Loan Program established under subsection 
     (b).
       (4) Qualified loan program mechanism.--The term ``qualified 
     loan program mechanism'' means a loan program that is--
       (A) administered by a qualified program delivery entity; 
     and
       (B) principally funded--
       (i) by funds provided by or overseen by a State; or
       (ii) through the energy loan program of the Federal 
     National Mortgage Association.
       (5) Qualified program delivery entity.--The term 
     ``qualified program delivery entity'' means a State, 
     political subdivision of a State, tribal government, energy 
     utility, natural gas utility, nonprofit or community-based 
     organization, energy service company, retailer, or any other 
     qualified entity that--
       (A) meets the eligibility requirements of this section; and
       (B) is approved by the State that administers the program 
     in the State.
       (b) Establishment.--The Secretary shall establish a 
     Building Star Energy Efficiency Loan Program under which the 
     Secretary shall make grants to States to support financial 
     assistance provided by qualified program delivery entities 
     for making, to existing buildings, energy efficiency and 
     renewable energy improvements that qualify under the Building 
     Star energy retrofit program.
       (c) Eligibility of Qualified Program Delivery Entities.--To 
     be eligible to participate in the program, a qualified 
     program delivery entity shall--
       (1) offer a financing product under which eligible 
     participants may pay over time for the cost to the eligible 
     participant (after all applicable Federal, State, local, and 
     other rebates or incentives are applied) of making 
     improvements described in section 3;
       (2) require all financed improvements to be performed by 
     contractors in a manner that meets minimum standards that are 
     at least as stringent as the standards established under 
     section 3; and
       (3) establish standard underwriting criteria to determine 
     the eligibility of program applicants, which criteria shall 
     be consistent with commercially recognized best practices 
     applicable to the form of financial assistance being provided 
     (as determined by the designated entity administering the 
     program in the State).
       (d) Allocation.--In making funds available to States for 
     each fiscal year under this section, the Secretary shall use 
     the formula used to allocate funds to States to carry out 
     State energy conservation plans established under part D of 
     title III of the Energy Policy and Conservation Act (42 
     U.S.C. 6321 et seq.).
       (e) Qualified Program Delivery Entities.--Before making a 
     grant to a State under this section, the Secretary shall 
     require the Governor of the State to provide to the Secretary 
     a letter of assurance that the State--
       (1) has 1 or more qualified program delivery entities that 
     meet the requirements of this section;
       (2) has established a qualified loan program mechanism 
     that--
       (A) includes a methodology to ensure credible energy 
     savings or renewable energy generation;
       (B) incorporates an effective repayment mechanism, which 
     may include--
       (i) on-utility-bill repayment;
       (ii) tax assessment or other form of property assessment 
     financing;
       (iii) municipal service charges;
       (iv) energy or energy efficiency services contracts;
       (v) energy efficiency power purchase agreements; or
       (vi) alternative contractual repayment mechanisms that have 
     been demonstrated to have appropriate risk mitigation 
     features; and
       (3) will provide, in a timely manner, all information 
     regarding the administration of the program as the Secretary 
     may require to permit the Secretary to meet the reporting 
     requirements of subsection (h).
       (f) Use of Grant Funds.--Grant funds made available to 
     States under the program may be used to support financing 
     products offered by qualified program delivery entities to 
     eligible participants, by providing----
       (1) interest rate reductions;
       (2) loan loss reserves or other forms of credit 
     enhancement;
       (3) revolving loan funds from which qualified program 
     delivery entities may offer direct loans; or
       (4) other debt instruments or financial products 
     necessary--
       (A) to maximize leverage provided through available funds; 
     and
       (B) to support widespread deployment of energy efficiency 
     and renewable energy finance programs.
       (g) Use of Repayment Funds.--In the case of a revolving 
     loan fund established by a State described in subsection 
     (f)(3), a qualified program delivery entity may use funds 
     repaid by eligible participants under the program to provide 
     financial assistance for additional eligible participants to 
     make improvements described in subsection (b) in a manner 
     that is consistent with this section or other such criteria 
     as are prescribed by the State.
       (h) Program Evaluation.--Not later than 180 days after the 
     date of enactment of this Act, the Secretary shall submit to 
     Congress a program evaluation that describes--
       (1) how many eligible participants have participated in the 
     program;
       (2) how many jobs have been created through the program, 
     directly and indirectly;

[[Page S1180]]

       (3) what steps could be taken to promote further deployment 
     of energy efficiency and renewable energy retrofits;
       (4) the quantity of verifiable energy savings, renewable 
     energy deployment, homeowner energy bill savings, and other 
     benefits of the program; and
       (5) the performance of the programs carried out by 
     qualified program delivery entities under this section, 
     including information on the rate of default and repayment.

     SEC. 5. FEDERAL FINANCING ASSISTANCE FOR COMMERCIAL BUILDING 
                   RETROFITS.

       (a) In General.--Section 1705(a) of the Energy Policy Act 
     of 2005 (42 U.S.C. 16516(a)) is amended by adding at the end 
     the following:
       ``(4) Energy efficiency projects, including projects to 
     retrofit residential, commercial, and industrial buildings, 
     facilities, and equipment, including financing programs that 
     finance the retrofitting of residential, commercial, and 
     industrial buildings, facilities, and equipment.''.
       (b) Credit Support for Financing Programs.--Section 1705 of 
     the Energy Policy Act of 2005 (42 U.S.C. 16516) is amended--
       (1) by redesignating subsection (e) as subsection (f); and
       (2) by inserting after subsection (d) the following:
       ``(e) Credit Support for Financing Programs.--
       ``(1) In general.--In the case of programs that finance the 
     retrofitting of residential, commercial, and industrial 
     buildings, facilities, and equipment described in subsection 
     (a)(4), the Secretary may--
       ``(A) offer loan guarantees for portfolios of debt 
     obligations; and
       ``(B) purchase or make commitments to purchase portfolios 
     of debt obligations.
       ``(2) Term.--Notwithstanding section 1702(f), the term of 
     any debt obligation that receives credit support under this 
     subsection shall require full repayment over a period not to 
     exceed the lesser of--
       ``(A) 30 years; and
       ``(B) the projected weighted average useful life of the 
     measure or system financed by the debt obligation or 
     portfolio of debt obligations (as determined by the 
     Secretary).
       ``(3) Underwriting.--The Secretary may--
       ``(A) delegate underwriting responsibility for portfolios 
     of debt obligations under the subsection to financial 
     institutions that meet qualifications determined by the 
     Secretary; and
       ``(B) determine an appropriate percentage of loans in a 
     portfolio to review in order to confirm sound underwriting.
       ``(4) Administration.--Subsections (c) and (d)(3) of 
     section 1702 shall not apply to loan guarantees made under 
     this subsection.''.
       (c) Termination of Effectiveness.--The authority provided 
     by this section and the amendments made by this section 
     terminates effective on the date that is 2 years after the 
     date of enactment of this Act.

     SEC. 6. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Secretary to 
     carry out this Act and the amendments made by this Act 
     $6,000,000,000 for the period of fiscal years 2010 and 2011, 
     to remain available until expended, of which--
       (1) not less than $600,000,000 or 10 percent of the amount 
     made available for a fiscal year (whichever is less) shall be 
     used to carry out the financing program established under 
     section 4; and
       (2) not more than $360,000,000 or 6 percent of the amount 
     made available for a fiscal year (whichever is less) shall be 
     used to administer this Act and the amendments made by this 
     Act.
                                 ______