[House Report 111-210]
[From the U.S. Government Publishing Office]


111th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    111-210

======================================================================
 
     AUTHORIZING THE CHIEF ADMINISTRATIVE OFFICER OF THE HOUSE OF 
  REPRESENTATIVES TO CARRY OUT A SERIES OF DEMONSTRATION PROJECTS TO 
     PROMOTE THE USE OF INNOVATIVE TECHNOLOGIES IN REDUCING ENERGY 
  CONSUMPTION AND PROMOTING ENERGY EFFICIENCY AND COST SAVINGS IN THE 
                        HOUSE OF REPRESENTATIVES

                                _______
                                

 July 16, 2009.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

Mr. Brady of Pennsylvania, from the Committee on House Administration, 
                        submitted the following

                              R E P O R T

                             together with

                             MINORITY VIEWS

                        [To accompany H.R. 1196]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on House Administration, to whom was referred 
the bill (H.R. 1196) to authorize the Chief Administrative 
Officer of the House of Representatives to carry out a series 
of demonstration projects to promote the use of innovative 
technologies in reducing energy consumption and promoting 
energy efficiency and cost savings in the House of 
Representatives, having considered the same, report favorably 
thereon without amendment and recommend that the bill do pass.

                       PURPOSE OF THE LEGISLATION

    To authorize the Chief Administrative Officer of the House 
of Representatives to carry out a series of demonstration 
projects to promote the use of innovative technologies in 
reducing energy consumption and promoting energy efficiency and 
cost savings in the House of Representatives.

                   BACKGROUND AND NEED FOR H.R. 1196

    H.R. 1196 promotes innovative technologies for energy 
generation and efficiency to demonstrate the House's leadership 
role for businesses, governments and homeowners in energy use 
and greening efforts. In 2007 Speaker of the House Nancy Pelosi 
launched a 10-year plan to reduce energy consumption in the 
House. This plan calls for a reduction of 5 percent a year, 
which is twice the efficiency required of federal buildings by 
the 2005 Energy Policy Act. H.R. 1196 is also consistent with 
the goals of H.R. 2454, the American Clean Energy and Security 
Act of 2009. Demonstration projects develop and commercialize 
technologies that expand the production of renewable fuels, 
which in turn reduces our dependence on oil, and confronts the 
challenge of global climate change. Such projects increase our 
energy security and make America stronger, safer, and cleaner 
for future generations.
    The legislation is designed to encourage the CAO to pursue 
cutting edge and innovative new technologies for power 
generation as pilot projects. The House can provide leadership 
and encourage new products by piloting technologies in the beta 
testing phase. This should include new technologies that can 
generate power off of the grid. The legislation would also 
support projects that further the goals of the ``Greening of 
the Capitol'' initiative that can reduce energy consumption and 
promote energy efficiency.
    The Committee believes that no aspect of a manufacturing 
process or office building operation should be excluded in the 
efforts to encourage sustainable operations. Reducing energy 
consumption, better management and controls on energy use, and 
similar green practices will result in operating cost 
reductions and savings to taxpayers. Increased energy 
efficiency improvements are available to every company or 
government agency through improvements in lighting, window 
treatments, computer rooms, and heating and cooling systems; 
this legislation will move the House of Representatives forward 
as a leader in all aspects of energy efficiency and renewable 
energy use.

                        COMMITTEE CONSIDERATION

    On Wednesday, June 10th, 2009, the Committee met to mark up 
H.R. 1196, and by a voice vote ordered the bill reported 
favorably to the House without amendment.

                   ANALYSIS OF THE BILL (AS REPORTED)

Section 1. Demonstration projects to promote innovations to reducing 
        energy consumption of the House of Representatives

    (a) Authority to Carry Out Demonstration Projects--
    (1) The Chief Administrative Officer of the House of 
Representatives may carry out a series of demonstration 
projects to promote the use of innovative technologies in 
reducing energy consumption and promoting energy efficiency and 
cost savings.
    (2) Contracts--In carrying out such projects, the Chief 
Administrative Officer may enter into contracts with entities 
which have developed new methods of using energy more 
efficiently, generating electric power in a more sustainable 
manner, or improving the efficiency and lowering the costs of 
existing renewable power systems, consistent with the 
regulations promulgated by the Committee on House 
Administration for contracts entered into by the Chief 
Administrative Officer.
    (b) The Chief Administrative Officer shall submit a report 
to the Committees on House Administration and Appropriations of 
the House of Representatives including analysis of the extent 
to which the project reduced energy consumption and promoted 
energy efficiency and cost savings in the House of 
Representatives.

Section 2. Authorizing appropriations

    There are authorized to be appropriated $25,000,000 for 
fiscal year 2010 to carry out demonstration projects under this 
Act. Amounts appropriated pursuant to the authorization under 
this section shall remain available without fiscal year 
limitation until expended.

             MATTERS REQUIRED UNDER THE RULES OF THE HOUSE


                        CONSTITUTIONAL AUTHORITY

    Clause 3(d)(1) of House Rule XIII requires each committee 
report on a public bill or joint resolution to include a 
statement citing the specific constitutional power(s) granted 
to the Congress on which the Committee relies for enactment of 
the measure under consideration. The Committee cites the 
legislative power granted to Congress in Article I, Section 8, 
Clause 18.

                         COMMITTEE RECORD VOTES

    Clause 3(b) of House Rule XIII requires the results of each 
record vote on an amendment or motion to report, together with 
the names of those voting for and against, to be printed in the 
committee report.
    The Committee then voted on the Harper Amendment which 
would require the Chief Administrative Officer to seek the 
Committee's approval for each demonstration project. The 
amendment was not agreed to, 2 ayes to 4 noes.

------------------------------------------------------------------------
                                            Ayes       Noes     Present
------------------------------------------------------------------------
Ms. Lofgren............................         --          X         --
Mr. Capuano............................         --          X         --
Mr. Gonzalez...........................         --         --         --
Mrs. Davis (CA)........................         --          X         --
Mr. Davis (AL).........................         --         --         --
Mr. Lungren............................         --         --         --
Mr. McCarthy...........................          X         --         --
Mr. Harper.............................          X         --         --
Chairman Brady.........................         --          X         --
                                        --------------------------------
    Total..............................          2          4         --
------------------------------------------------------------------------

    The Committee then considered the McCarthy Amendment which 
would require the Chief Administrative Officer to obtain the 
approval of the Architect of the Capitol before implementing 
any demonstration project that modifies a building or grounds 
under the jurisdiction of the Architect of the Capitol. The 
amendment was not agreed to, 2 ayes to 4 noes.

------------------------------------------------------------------------
                                            Ayes       Noes     Present
------------------------------------------------------------------------
Ms. Lofgren............................         --          X         --
Mr. Capuano............................         --          X         --
Mr. Gonzalez...........................         --         --         --
Mrs. Davis (CA)........................         --          X         --
Mr. Davis (AL).........................         --         --         --
Mr. Lungren............................         --         --         --
Mr. McCarthy...........................          X         --         --
Mr. Harper.............................          X         --         --
Chairman Brady.........................         --          X         --
                                        --------------------------------
    Total..............................          2          4         --
------------------------------------------------------------------------

               CONGRESSIONAL BUDGET OFFICE COST ESTIMATE

    In compliance with clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives, the Committee sets forth, with 
respect to the bill, the following estimate and comparison 
prepared by the Director of the Congressional Budget Office 
under section 402 of the Congressional Budget Act of 1974:

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, June 24, 2009.
Hon. Robert A. Brady,
Chairman, Committee on House Administration,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 1196, a bill to 
authorize the Chief Administrative Officer of the House of 
Representatives to carry out a series of demonstration projects 
to promote the use of innovative technologies in reducing 
energy consumption and promoting energy efficiency and cost 
savings in the House of Representatives.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Deborah Reis.
            Sincerely,
                                              Douglas W. Elmendorf.
    Enclosure.

H.R. 1196--A bill to authorize the Chief Administrative Officer of the 
        House of Representatives to carry out a series of demonstration 
        projects to promote the use of innovative technologies in 
        reducing energy consumption and promoting energy efficiency and 
        cost savings in the House of Representatives

    H.R. 1196 would authorize the Chief Administrative Officer 
(CAO) of the House of Representatives to conduct demonstration 
projects to reduce energy consumption. The CAO would be 
required to submit reports to the Committees on House 
Administration and Appropriations after completing each 
project, detailing how the project affects energy use in the 
House of Representatives. Finally, the bill would authorize the 
appropriation of $25 million for fiscal year 2010.
    Assuming appropriation of the authorized amount, CBO 
estimates that implementing H.R. 1196 would cost the federal 
government $25 million over the 2010-2014 period. Enacting the 
legislation would not affect direct spending or revenues.
    H.R. 1196 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would not affect the budgets of state, local, or tribal 
governments.
    The CBO staff contact for this estimate is Deborah Reis. 
This estimate was approved by Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

                            FEDERAL MANDATES

    Section 423 of the CBA requires a committee report on any 
public bill or joint resolution that includes a federal mandate 
to include specific information about such mandates. The 
Committee states that H.R. 1196 includes no federal mandates.

                        PREEMPTION CLARIFICATION

    Section 423 of the Congressional Budget Act of 1974 
requires the report of any committee on a bill or joint 
resolution to include a committee statement on the extent to 
which the bill or joint resolution is intended to preempt state 
or local law. The Committee states that H.R. 1196 is not 
intended to preempt any state or local law.

                      COMMITTEE OVERSIGHT FINDINGS

    In compliance with clause 3(c)(1) of rule XIII of the Rules 
of the House of Representatives, the Committee states that the 
findings and recommendations of the Committee, based on the 
oversight activities under clause 2(b)(1) of rule X of the 
Rules of the House of Representatives, are incorporated in the 
descriptive portions of this report.

         STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES

    The Committee states, with respect to clause 3(c)(4) of 
rule XIII of the Rules of the House of Representatives, that 
the goal and objective of H.R. 1196 is to increase energy 
efficiency in the House of Representatives and thereby result 
in cost savings to the House.

                       CONGRESSIONAL ``EARMARKS''

    Clause 9 of House Rule XXI requires committee reports on 
public bills and resolutions to contain an identification of 
congressional ``earmarks,'' limited tax benefits, limited 
tariff benefits, and the names of requesting Members. The bill 
contains no such items.

                      CONGRESSIONAL ACCOUNTABILITY

    Section 102(b)(3) of the Congressional Accountability Act 
of 1995 (P. L. 104-1) requires each report on a public bill or 
joint resolution relating to terms and conditions of employment 
or access to public services or accommodations to describe the 
manner in which the legislation applies to the Legislative 
Branch. The Committee finds that H.R. 1196 does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of the Act.

         CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

    H.R. 1196 makes no changes in existing law.

MINORITY VIEWS OF THE HONORABLE DANIEL E. LUNGREN, THE HONORABLE KEVIN 
                MCCARTHY, AND THE HONORABLE GREGG HARPER

                            I. INTRODUCTION

    On Wednesday, June 10, 2009, the Committee ordered H.R. 
1196 reported favorably to the House. H.R. 1196 authorizes the 
Chief Administrative Officer (CAO) of the House of 
Representatives to carry out a series of demonstration projects 
to promote the use of innovative technologies in reducing 
energy consumption and promoting energy efficiency and cost 
savings in the House of Representatives. Further, H.R. 1196 
authorizes a total of $25 million in order to carry out these 
projects. While many activities have been initiated under the 
auspices of the ``Green the Capitol Initiative,'' this is only 
the second instance in which the Committee has publicly 
considered any proposed action, the first being consideration 
of a preceding version of this bill in 2008. We applaud the 
Chairman for engaging on these important matters within the 
Committee's jurisdiction. We look forward to reconvening for a 
public and comprehensive review of Capitol complex energy 
matters, to include how the Congress integrates with other 
operations of the Federal government in the National Capital 
Region. We remain deeply troubled by H.R. 1196, which through 
its structure and purpose illustrates the deeply flawed 
approach of the Majority to matters of energy efficiency and 
sustainability.

                             II. KEY ISSUES

Structure and authority
    The Architect of the Capitol (AOC) is responsible for 
meeting the mandatory energy efficiency requirements for 
Federal Buildings included in the Energy Policy Act of 2005 and 
the energy Independence and Security Act of 2007. These 
mandates include the reduction of energy consumption from an FY 
2003 baseline totaling 30 percent by FY 2015. Additionally, as 
the entity responsible for the Capitol complex energy 
infrastructure, the AOC is also subject to specific statutory 
mandates for use of renewable energy, with a requirement that 
7.5 percent of electricity be from renewable sources by 2015. 
The AOC has incorporated energy savings goals into its regular 
project planning process, and has achieved its annual energy 
reduction goals through a number of initiatives that have 
become the foundation of a successful, long term energy 
reduction program. These combined efforts reduced Capitol 
complex energy consumption by 6.5 percent in FY 2006 and 6.7 
percent in FY 2007, substantially exceeding the minimum 
reduction goals set by the Energy Policy Act of 2005. During FY 
2007, the AOC invested significant effort in developing Energy 
Saving Performance Contracts (ESPC), as well as a prioritized 
list of potential energy saving projects. Through these 
combined initiatives, the AOC identified projects capable of 
reducing energy consumption 30 percent by 2015. The AOC 
estimates that it will cost $300 million to meet this 30 
percent mandate.
    The authority granted to the Chief Administrative Officer 
in H.R. 1196 conflicts with the Architect of the Capitol's 
clear responsibility for energy infrastructure in the Capitol 
complex, including matters of energy efficiency and the 
provision of renewable electricity. The Chief Administrative 
Officer has neither the statutory responsibility nor the 
organizational capacity to manage the capitol complex energy 
infrastructure. Given the nature of business in the House of 
Representatives, it is essential that energy services are 
reliable and operate without unscheduled disruptions. To this 
end, the Representative McCarthy introduced an amendment 
requiring that the Chief Administrative Officer consult with 
and obtain the approval of the AOC prior to engaging in any 
project that would modify Capitol buildings and grounds. This 
amendment was designed to ensure communication across the two 
organizations and to prevent any adverse impact on energy 
services by activities carried out by the CAO organization. The 
amendment was defeated.
Demonstrated shortfalls
    While the Architect of the Capitol has demonstrated a 
capacity to properly identify, document, and measure energy-
saving projects based on clear processes that assign value 
based on costs relative to results, the Chief Administrative 
Officer has demonstrated no such capacity. In the CAO's lone 
foray into executing a project to increase energy efficiency, 
the House sent nearly $700K to study the re-lighting of the 
Capitol dome. An analysis of current energy usage and costs 
related to the Capitol dome lights reveals that, with a top-end 
savings of $12K annually, the CAO's study will not achieve 
economic payback for over 50 years. Factoring in the cost of 
construction and installation, the project has a payback period 
well over a century. It is difficult to identify any processes 
within the CAO that identified this as a priority project, to 
take precedence over other energy-saving projects also in need 
of funding. As such, our confidence in the CAO's ability to 
deliver value to the taxpayer is justifiably weak.
    Further, the CAO's past violations of Committee procurement 
regulations and inability to provide the transparency and 
reporting accuracy expected of his position calls into concern 
the manner in which the CAO will utilize the authority provided 
in H.R. 1196. The degree to which the CAO reports on 
contracting activities, and the degree to which sole source 
contract awards are used to meet the objectives of the 
legislation remain open questions and present obvious concerns. 
To address these concerns, Representative Harper introduced an 
amendment to require Committee approval for all contracts 
entered into under the authority provided by H.R. 1196, not 
just those contracts exceeding $250K in value or one year in 
length. The amendment additionally strengthened the requirement 
that the CAO operate in strict adherence to the Committee's 
procurement regulations in order to ensure open and fair 
competition and achieve best value for the House of 
Representatives. The amendment was defeated.

                            III. CONCLUSION

    We believe that H.R. 1196 is deeply flawed in its 
structure, and that its enactment would result in 
organizational confusion and implementation risks that would 
undermine the collective goal of reducing energy consumption in 
the House. It is essential that the Committee act in a manner 
that sets a proper example for how organizations and 
individuals can achieve cost-effective energy savings. This 
requires processes of the type incorporated into the AOC's 
project planning that ensure that the best value is achieved 
for each project investment. The CAO's demonstrated record of 
engaging in high-profile but poor-value projects undermines the 
credibility of the Congress, and should not continue to be 
encouraged. The Committee minority presented two very simple 
amendments designed to maintain the spirit of the legislation 
while correcting its flaws, but each was defeated by the 
Majority.

                                   Daniel E. Lungren.
                                   Kevin McCarthy.
                                   Gregg Harper.

                                  
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