[House Report 118-402]
[From the U.S. Government Publishing Office]


118th Congress }                                          { Report 
                        HOUSE OF REPRESENTATIVES
2nd Session    }                                          { 118-402

======================================================================
 
                    ENERGY EMERGENCY LEADERSHIP ACT

                                _______
                                

 February 29, 2024.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

Mrs. Rodgers of Washington, from the Committee on Energy and Commerce, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 3277]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Energy and Commerce, to whom was referred 
the bill (H.R. 3277) to amend the Department of Energy 
Organization Act with respect to functions assigned to 
Assistant Secretaries, and for other purposes, having 
considered the same, reports favorably thereon without 
amendment and recommends that the bill do pass.

                                CONTENTS

                                                                   Page
Purpose and Summary..............................................     1
Background and Need for Legislation..............................     2
Committee Action.................................................     4
Committee Votes..................................................     4
Oversight Findings and Recommendations...........................     6
New Budget Authority, Entitlement Authority, and Tax Expenditures     6
Congressional Budget Office Estimate.............................     6
Federal Mandates Statement.......................................     7
Statement of General Performance Goals and Objectives............     7
Duplication of Federal Programs..................................     7
Related Committee and Subcommittee Hearings......................     7
Committee Cost Estimate..........................................     7
Earmark, Limited Tax Benefits, and Limited Tariff Benefits.......     8
Advisory Committee Statement.....................................     8
Applicability to Legislative Branch..............................     8
Section-by-Section Analysis of the Legislation...................     8
Changes in Existing Law Made by the Bill, as Reported............     8

                          Purpose and Summary

    H.R. 3277, Energy Emergency Leadership Act, was introduced 
by Rep. Tim Walberg (R-MI) with Rep. Lisa Blunt Rochester (D-
DE-At Large) on May 11, 2023. H.R. 3277 amends the Department 
of Energy Organization (DOE) Act to elevate the leadership of 
DOE's emergency response and cybersecurity functions to the 
Senate-confirmed Assistant Secretary.
    H.R. 3277 provides that the functions to be assigned to an 
Assistant Secretary include responsibilities with respect to 
infrastructure, cybersecurity, emerging threats, supply, and 
emergency planning, coordination, response, and restoration. It 
also provides that these functions include the provision of 
technical assistance, support, and response capabilities with 
respect to energy sector threats, risks, and incidents to 
State, local, and tribal governments and the energy sector.

                  Background and Need for Legislation

    The United States maintains one of the most advanced and 
complex energy infrastructures in the world. This includes an 
extensive system transporting oil, natural gas, and refined 
product to consumers. It involves the storage capacity of more 
than 600 million barrels of oil and the storage of natural gas 
equivalent to nearly 2 months of U.S. consumption. The United 
States energy infrastructure also includes the vast, complex 
bulk-power system that delivers electricity. These intricate 
and highly interdependent systems enable every aspect of our 
daily lives.\1\ Our nation's economy, security, and the health 
and safety of its citizens depend upon the reliable and 
uninterrupted supply of fuels and electricity.
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    \1\See ``Valuation of Energy Security for the United States,'' 
Department of Energy, January 2017.
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    Energy generation and delivery continues to increase in 
complexity and advances in digital and information 
technologies, such as artificial intelligence and connected or 
smart devices, layer onto existing practices and energy 
infrastructures. These complexities and nuances create new 
risks and expose new vulnerabilities. Attempts by foreign 
actors to infiltrate our nation's energy and electric systems 
and infrastructure demonstrate the need for legislation aimed 
at mitigating these significant and growing threats to the 
reliable supply of energy in the United States.
    When the DOE was organized in 1977, energy security 
concerns revolved around oil supply shortages. As a result, 
energy security emergency functions in the Department of Energy 
Organization Act focused on distributing and allocating fuels 
in an emergency. Over time, these functions in DOE's organic 
statute remained largely unchanged, but DOE's responsibilities 
and authorities have evolved substantially beyond what was 
envisioned forty years ago. Energy delivery systems have become 
increasingly interconnected and digitized, while society has 
become more dependent on energy and electricity--expanding the 
opportunities for cybersecurity threats and other hazards that 
may require emergency response.
    Today, DOE's mission to advance the national, economic, and 
energy security of the United States requires it to act as the 
lead agency for the protection of electric power, oil, and 
natural gas infrastructure. DOE has authority and 
responsibilities for the physical and cybersecurity of energy 
delivery systems from laws that Congress has passed and 
Presidential directives. Congress has provided DOE with a wide 
range of emergency response and cybersecurity authorities 
affecting multiple segments of the energy sector, including in 
the Department of Energy Organization Act, the Energy Policy 
and Conservation Act, the Natural Gas Act, the Federal Power 
Act, the Defense Production Act, and most recently the Fixing 
Americas Transportation Act (FAST Act).
    The FAST Act, which was signed into law in 2015, designated 
DOE as the Sector-Specific Agency (SSA) for the energy sector 
and provided the Department with several new energy security 
authorities to respond to physical and cyberattacks to energy 
systems. Section 61003 of the FAST Act amended section 215 of 
the Federal Power Act (FPA) and created a new section 215A 
entitled, ``Critical Electric Infrastructure Security.'' 
Section 215 of the FPA states that when the President issues or 
provides to the Secretary of Energy a written directive or 
determination identifying a grid security emergency, the 
Secretary may, with or without notice, hearing, or report, 
issue orders for emergency measures to protect or restore the 
reliability of critical electric infrastructure or of defense 
critical electric infrastructure during an emergency.\2\
---------------------------------------------------------------------------
    \2\Federal Power Act Sec. 215A, 16 U.S.C. Sec. Sec. 824o-1.
---------------------------------------------------------------------------
    As the Energy SSA and pursuant to its other statutory 
authorities, DOE coordinates with multiple Federal and State 
agencies and collaborates with energy infrastructure owners and 
operators on activities associated with identifying 
vulnerabilities, mitigating incidents that may impact the 
energy sector, and assisting with preparation, recovery or 
restoration to ensure the supply of energy in emergencies.
    In recent presidential administrations, DOE has 
strengthened these energy emergency functions, including for 
preparedness, response, and restoration of energy systems 
against all hazards. However, the growing interconnectedness of 
energy systems and the national importance of ensuring the 
supply and delivery of energy against cyber threats, underscore 
the need to consolidate and elevate the Departments energy 
emergency functions.
    On February 14, 2018, Energy Secretary Rick Perry announced 
the establishment of a new Office of Cybersecurity, Energy 
Security, and Emergency Response (CESER) at DOE, noting ``DOE 
plays a vital role in protecting our nations energy 
infrastructure from cyber threats, physical attacks, and 
natural disasters. This new office best positions the 
Department to address the emerging threats of tomorrow while 
protecting the reliable flow of energy to Americans today.'' 
The CESER office will be led by an Assistant Secretary who will 
focus on energy infrastructure security, support the expanded 
national security responsibilities assigned to DOE, and report 
to the Under Secretary of Energy.\3\
---------------------------------------------------------------------------
    \3\See Press Release, U.S. Department of Energy, ``Secretary of 
Energy Rick Perry Forms New Office of Cybersecurity, Energy Security, 
and Emergency Response.'' (Feb. 14, 2018), https://www.energy.gov/
articles/secretary-energy-rick-perry-forms-new-office-cybersecurity-
energy-security-and-emergency.
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    The Committee finds that H.R. 3277 would further enhance 
the execution of this core energy emergency mission by 
establishing in statute the assistant-secretary-level 
leadership of DOE's emergency response and cybersecurity 
functions. Given the critical role DOE serves for the nation to 
coordinate, prepare for, and respond to all hazards to the 
supply of energy, including cybersecurity, such assistant-
secretary level leadership will strengthen coordination across 
the department, ensure more effective interagency 
collaborations, and increase accountability to Congress.
    The Committee also finds that H.R. 3277, by establishing 
energy emergency leadership explicitly in the Department of 
Energy Organization Act, ensures elevated leadership over the 
relevant missions will endure.

                            Committee Action

    On May 16, 2023, the Subcommittee on Energy, Climate and 
Grid Security met in open markup session and forwarded H.R. 
3277, without amendment, to the full Committee by a record vote 
of 30 yeas and 0 nays.
    On May 24, 2023, the full Committee on Energy and Commerce 
met in open markup session and ordered H.R. 3277, without 
amendment, favorably reported to the House by a record vote of 
48 yeas and 0 nays.

                            Committee Votes

    Clause 3(b) of rule XIII requires the Committee to list the 
record votes on the motion to report legislation and amendments 
thereto. The following reflects the record votes taken during 
the Committee consideration:


                 Oversight Findings and Recommendations

    Pursuant to clause 2(b)(1) of rule X and clause 3(c)(1) of 
rule XIII, the Committee held hearings and made findings that 
are reflected in this report.

   New Budget Authority, Entitlement Authority, and Tax Expenditures

    Pursuant to clause 3(c)(2) of rule XIII, the Committee 
finds that H.R. 3277 would result in no new or increased budget 
authority, entitlement authority, or tax expenditures or 
revenues.

                  Congressional Budget Office Estimate

    Pursuant to clause 3(c)(3) of rule XIII, the following is 
the cost estimate provided by the Congressional Budget Office 
pursuant to section 402 of the Congressional Budget Act of 
1974:




    H.R. 3277 would amend the Department of Energy Organization 
Act to add energy emergency and energy security functions to 
the duties assigned by the Secretary to assistant secretaries 
in the Department of Energy (DOE). Those assistant secretaries 
also would provide energy security-related technical support 
and resonse assitance to state, local, and tribal governments, 
upon request.
    Using information from DOE, CBO estimates that implementing 
H.R. 3277 would not affect the federal budget because the bill 
would not affect the scope or cost of DOE's activities related 
to energy emergencies or security.
    The CBO staff contact for this estimate is Willow Latham-
Proenca. The estimate was reviewed by H. Samuel Papenfuss, 
Deputy Director of Budget Analysis.

                                         Phillip L. Swagel,
                             Director, Congressional Budget Office.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act.

         Statement of General Performance Goals and Objectives

    Pursuant to clause 3(c)(4) of rule XIII, the general 
performance goal or objective of this legislation to ensure 
more effective implementation of the Department of Energy's 
energy emergency and cybersecurity responsibilities.

                    Duplication of Federal Programs

    Pursuant to clause 3(c)(5) of rule XIII, no provision of 
H.R. 3277 is known to be duplicative of another Federal 
program, including any program that was included in a report to 
Congress pursuant to section 21 of Public Law 111-139 or the 
most recent Catalog of Federal Domestic Assistance.

              Related Committee and Subcommittee Hearings

    Pursuant to clause 3(c)(6) of rule XIII, the following 
related hearings were used to develop or consider H.R. 3277:
           On Tuesday, February 7, 2023, the 
        Subcommittee on Energy, Climate, and Grid Security and 
        the Subcomittee on Environment, Manufacturing, and 
        Critical Materials held a hearing to focus on several 
        discussion drafts, including a discussion draft that 
        became H.R. 3277. The title of the hearing was 
        ``Unleashing American Energy, Lowering Energy Costs, 
        and Strengthening Supply Chains.'' The Subcommittees 
        heard testimony from:
                   Mr. Jeffrey Eshelman II, 
                President and Chief Executive Officer, 
                Independent Petroleum Association of America;
                   Mr. Raul Garcia, Legislative 
                Director for Healthy Communities, Earthjustice;
                   The Honorable Bernard McNamee, 
                Former Commissioner, Federal Energy Regulatory 
                Commission;
                   The Honorable Mark W. Menezes, 
                Former United States Deputy Secretary of 
                Energy, Department of Energy;
                   Mr. Tyson Slocum, Director of 
                the Energy Program, Public Citizen; and,
                   Ms. Katie Sweeney, Executive 
                Vice President and Chief Operating Officer, 
                National Mining Association.
           On Thursday, May 11, 2023, the Subcommittee 
        on Energy, Climate, and Grid Security held a hearing 
        related to H.R. 3277. The subject of the hearing was 
        the Fiscal Year 2024 Department of Energy budget 
        request. The Subcommittee heard testimony from:
                   The Honorable Jennifer Granholm, 
                Secretary, U.S. Department of Energy.

                        Committee Cost Estimate

    Pursuant to clause 3(d)(1) of rule XIII, the Committee 
adopts as its own the cost estimate prepared by the Director of 
the Congressional Budget Office pursuant to section 402 of the 
Congressional Budget Act of 1974.

       Earmark, Limited Tax Benefits, and Limited Tariff Benefits

    Pursuant to clause 9(e), 9(f), and 9(g) of rule XXI, the 
Committee finds that H.R. 3277 contains no earmarks, limited 
tax benefits, or limited tariff benefits.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

                  Applicability to Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act.

             Section-by-Section Analysis of the Legislation


Section 1. Short title

    Section 1 provides the short title of ``Energy Emergency 
Leadership Act.''

Section 2. Functions assigned to assistant secretaries

    Section 2 amends the Department of Energy Organization Act 
to include energy emergency and energy security among the 
functions that the Secretary of Energy shall assign to an 
Assistant Secretary; provides that these functions include 
responsibilities with respect to infrastructure, cybersecurity, 
emerging threats, supply and emergency planning, coordination, 
response, and restoration; and provides that these functions 
also include the provision of technical assistance, support, 
and response capabilities with respect to energy security 
threats, risks, and incidents to State, local, and tribal 
governments and the energy sector.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (new matter is 
printed in italics and existing law in which no change is 
proposed is shown in roman):

                 DEPARTMENT OF ENERGY ORGANIZATION ACT




           *       *       *       *       *       *       *
TITLE II--ESTABLISHMENT OF THE DEPARTMENT

           *       *       *       *       *       *       *



                         assistant secretaries

  Sec. 203. (a) There shall be in the Department 8 Assistant 
Secretaries, each of whom shall be appointed by the President, 
by and with the advice and consent of the Senate; who shall be 
compensated at the rate provided for at level IV of the 
Executive Schedule under section 5315 of title 5, United States 
Code; and who shall perform, in accordance with applicable law, 
such of the functions transferred or delegated to, or vested 
in, the Secretary as he shall prescribe in accordance with the 
provisions of this Act. The functions which the Secretary shall 
assign to the Assistant Secretaries include, but are not 
limited to, the following:
          (1) Energy resource applications, including functions 
        dealing with management of all forms of energy 
        production and utilization, including fuel supply, 
        electric power supply, enriched uranium production, 
        energy technology programs, and the management of 
        energy resource leasing procedures on Federal lands.
          (2) Energy research and development functions, 
        including the responsibility for policy and management 
        of research and development for all aspects of--
                  (A) solar energy resources;
                  (B) geothermal energy resources;
                  (C) recycling energy resources;
                  (D) the fuel cycle for fossil energy 
                resources; and
                  (E) the fuel cycle for nuclear energy 
                resources.
          (3) Environmental responsibilities and functions, 
        including advising the Secretary with respect to the 
        conformance of the Department's activities to 
        environmental protection laws and principles, and 
        conducting a comprehensive program of research and 
        development on the environmental effects of energy 
        technologies and programs.
          (4) International programs and international policy 
        functions, including those functions which assist in 
        carrying out the international energy purposes 
        described in section 102 of this Act.
          (6) Intergovernmental policies and relations 
        including responsibilities for assuring that national 
        energy policies are reflective of and responsible to 
        the needs of State and local governments, and for 
        assuring that other components of the Department 
        coordinate their activities with State and local 
        governments, where appropriate, and develop 
        intergovernmental communications with State and local 
        governments.
          (7) Competition and consumer affairs, including 
        responsibilities for the promotion of competition in 
        the energy industry and for the protection of the 
        consuming public in the energy policymaking processes, 
        and assisting the Secretary in the formulation and 
        analysis of policies, rules, and regulations relating 
        to competition and consumer affairs.
          (8) Nuclear waste management responsibilities, 
        including--
                  (A) the establishment of control over 
                existing Government facilities for the 
                treatment and storage of nuclear wastes, 
                including all containers, casks, buildings, 
                vehicles, equipment, and all other materials 
                associated with such facilities;
                  (B) the establishment of control over all 
                existing nuclear waste in the possession or 
                control of the Government and all commercial 
                nuclear waste presently stored on other than 
                the site of a licensed nuclear power electric 
                generating facility, except that nothing in 
                this paragraph shall alter or effect title to 
                such waste;
                  (C) the establishment of temporary and 
                permanent facilities for storage, management, 
                and ultimate disposal of nuclear wastes;
                  (D) the establishment of facilities for the 
                treatment of nuclear wastes;
                  (E) the establishment of programs for the 
                treatment, management, storage, and disposal of 
                nuclear wastes;
                  (F) the establishment of fees or user charges 
                for nuclear waste treatment or storage 
                facilities, including fees to be charged 
                Government agencies; and
                  (G) the promulgation of such rules and 
                regulations to implement the authority 
                described in this paragraph,
        except that nothing in this section shall be construed 
        as granting to the Department regulatory functions 
        presently within the Nuclear Regulatory Commission, or 
        any additional functions than those already conferred 
        by law.
          (9) Energy conservation functions, including the 
        development of comprehensive energy conservation 
        strategies for the Nation, the planning and 
        implementation of major research and demonstration 
        programs for the development of technologies and 
        processes to reduce total energy consumption, the 
        administration of voluntary and mandatory energy 
        conservation programs, and the dissemination to the 
        public of all available information on energy 
        conservation programs and measures.
          (10) Power marketing functions, including 
        responsibility for marketing and transmission of 
        Federal power.
          (11) Public and congressional relations functions, 
        including responsibilities for providing a continuing 
        liaison between the Department and the Congress and the 
        Department and the public.
          (12) Energy emergency and energy security functions, 
        including--
                  (A) responsibilities with respect to 
                infrastructure, cybersecurity, emerging 
                threats, supply, and emergency planning, 
                coordination, response, and restoration; and
                  (B) upon request of a State, local, or tribal 
                government or energy sector entity, and in 
                consultation with other Federal agencies as 
                appropriate, provision of technical assistance, 
                support, and response capabilities with respect 
                to energy security threats, risks, and 
                incidents.
  (b) At the time the name of any individual is submitted for 
confirmation to the position of Assistant Secretary, the 
President shall identify with particularity the function or 
functions described in subsection (a) (or any portion thereof) 
for which such individual will be responsible.

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