S.Amdt. 4838Senate110th Congress (2007-2009)
S.Amdt. 4838
Sponsored by 
Sen. Bernard Sanders (I-VT)
Sen. Bernard Sanders (I-VT)Submitted June 4, 2008
Text
Submitted
This amendment's own text couldn't be picked out of its Congressional Record passage, so the passage is shown in full.
TEXT OF AMENDMENTS
SA 4825. Mrs. BOXER (for herself, Mr. Warner, and Mr. Lieberman)
proposed an amendment to the bill S. 3036, to direct the Administrator
of the Environmental Protection Agency to establish a program to
decrease emissions of greenhouse gases, and for other purposes; as
follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Lieberman-
Warner Climate Security Act of 2008''.
(b) Table of Contents.--The table of contents of this Act
is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Purposes.
Sec. 4. Definitions.
TITLE I--IMMEDIATE ACTION
Subtitle A--Tracking Greenhouse Gas Emissions
Sec. 101. Purpose.
Sec. 102. Federal greenhouse gas registry.
Sec. 103. Enforcement.
Sec. 104. No effect on other requirements.
Subtitle B--Early Clean Technology Deployment
Sec. 111. Efficient Buildings Grant Program.
Sec. 112. Super-Efficient Equipment and Appliances Development (SEAD)
Program.
Sec. 113. Clean medium- and heavy-duty hybrid fleets program.
Sec. 114. International clean energy deployment.
Subtitle C--Research
Sec. 121. Research on effects of climate change on drinking water
utilities.
Sec. 122. Rocky Mountain Centers for Study of Coal Utilization.
Sec. 123. Sun grant center for research on compliance with Clean Air
Act.
Sec. 124. Study by Administrator of black carbon emissions.
Sec. 125. Study by Administrator of recycling.
Sec. 126. Retail carbon offsets.
TITLE II--CAPPING GREENHOUSE GAS EMISSIONS
Sec. 201. Emission allowances.
Sec. 202. Compliance obligation.
Sec. 203. Penalty for noncompliance.
Sec. 204. Regulations.
Sec. 205. Report to Congress.
TITLE III--REDUCING EMISSIONS THROUGH OFFSETS AND INTERNATIONAL
ALLOWANCES
Subtitle A--Offsets in the United States
Sec. 301. Outreach initiative on revenue enhancement for agricultural
producers.
Sec. 302. Establishment of a domestic offset program.
Sec. 303. Eligible offset project types.
Sec. 304. Project initiation and approval.
Sec. 305. Offset verification and issuance of allowances.
Sec. 306. Tracking of reversals for sequestration projects.
Sec. 307. Examinations.
Sec. 308. Timing and the provision of offset allowances.
Sec. 309. Offset registry.
Sec. 310. Environmental considerations.
Sec. 311. Program review.
Subtitle B--Offsets and Emission Allowances From Other Countries
Sec. 321. Offset allowances originating from projects in other
countries.
Sec. 322. Emission allowances from other countries.
Subtitle C--Agriculture and Forestry Program in the United States
Sec. 331. Allocation.
Sec. 332. Agriculture and Forestry Program.
Sec. 333. Agricultural and forestry greenhouse gas management research.
TITLE IV--ESTABLISHING A GREENHOUSE GAS EMISSION ALLOWANCE TRADING
MARKET
Subtitle A--Trading
Sec. 401. Sale, exchange, and retirement of allowances.
Sec. 402. No restriction on transactions.
Sec. 403. Allowance transfer and tracking system.
Subtitle B--Market Oversight and Enforcement
Sec. 411. Finding.
Sec. 412. Carbon market oversight and regulation.
Subtitle C--Carbon Market Efficiency Board
Sec. 421. Establishment.
Sec. 422. Composition and administration.
Sec. 423. Duties.
Subtitle D--Climate Change Technology Board
Sec. 431. Establishment.
Sec. 432. Purpose.
Sec. 433. Independence.
Sec. 434. Advance notification of distributions of funds.
Sec. 435. Congressional oversight of board expenditures.
Sec. 436. Requirements.
Sec. 437. Reviews and audits by Comptroller General.
Subtitle E--Auction on Consignment
Sec. 441. Regulations.
TITLE V--FEDERAL PROGRAM TO PREVENT ECONOMIC HARDSHIP
Subtitle A--Banking
Sec. 501. Indication of calendar year.
Sec. 502. Effect of time.
Subtitle B--Borrowing
Sec. 511. Regulations.
Sec. 512. Term.
Sec. 513. Repayment with interest.
Subtitle C--Emergency Off-Ramps
Sec. 521. Emergency off-ramps triggered by Board.
Sec. 522. Cost-containment auctions.
Sec. 523. Cost-containment auction price.
Sec. 524. Regular auction reserve price.
Sec. 525. Pool of emission allowances for the cost-containment
auctions.
Sec. 526. Limit on the quantity of emission allowances sold at any
cost-containment auction.
Sec. 527. Using the proceeds of the annual cost-containment auctions.
Sec. 528. Returning emission allowances not sold at the annual cost-
containment auctions.
Sec. 529. Discontinuing the annual cost-containment auctions.
Subtitle D--Transition Assistance for Workers
Sec. 531. Establishment.
Sec. 532. Auctions.
Sec. 533. Deposits.
Sec. 534. Uses.
Sec. 535. Climate Change Worker Assistance Program.
Sec. 536. Workforce training and safety.
Subtitle E--Transition Assistance for Carbon-Intensive Manufacturers
Sec. 541. Allocation.
Sec. 542. Distribution.
Subtitle F--Transition Assistance for Fossil Fuel-Fired Electricity
Generators
Sec. 551. Allocation.
Sec. 552. Distribution.
[[Page S5050]]
Subtitle G--Transition Assistance for Refiners of Petroleum-Based Fuel
Sec. 561. Allocation.
Sec. 562. Distribution.
Subtitle H--Transition Assistance for Natural-Gas Processors
Sec. 571. Allocation.
Sec. 572. Distribution.
Subtitle I--Federal Program for Energy Consumers
Sec. 581. Establishment.
Sec. 582. Auction.
Sec. 583. Deposits.
Sec. 584. Disbursements from the Climate Change Consumer Assistance
Fund.
Sec. 585. Sense of Senate on tax initiative to protect consumers.
TITLE VI--PARTNERSHIPS WITH STATES, LOCALITIES, AND INDIAN TRIBES
Subtitle A--Partnerships With State Governments to Prevent Economic
Hardship While Promoting Efficiency
Sec. 601. Assisting energy consumers through local distribution
companies.
Sec. 602. Assisting State economies that rely heavily on manufacturing
and coal.
Subtitle B--Partnerships With States, Localities, and Indian Tribes to
Reduce Emissions
Sec. 611. Mass transit.
Sec. 612. Updating State building energy efficiency codes.
Sec. 613. Energy efficiency and conservation block grant program.
Sec. 614. State leaders in reducing emissions.
Subtitle C--Partnerships With States and Indian Tribes to Adapt to
Climate Change
Sec. 621. Allocation.
Sec. 622. Coastal impacts.
Sec. 623. Impacts on water resources and agriculture.
Sec. 624. Impacts on Alaska.
Sec. 625. Impacts on Indian tribes.
Subtitle D--Partnerships With States, Localities, and Indian Tribes to
Protect Natural Resources
Sec. 631. State Wildlife Adaptation Fund.
Sec. 632. Cost-sharing.
Sec. 633. State comprehensive adaptation strategies.
TITLE VII--RECOGNIZING EARLY ACTION
Sec. 701. Regulations.
Sec. 702. Allocation.
Sec. 703. General distribution.
Sec. 704. Distribution to entities holding State emission allowances.
Sec. 705. Distribution to power plants that repowered pursuant to
consent decrees.
Sec. 706. Distribution to carbon capture and sequestration projects.
TITLE VIII--EFFICIENCY AND RENEWABLE ENERGY
Subtitle A--Efficient Buildings
Sec. 801. Allocation.
Sec. 802. Efficient Buildings Allowance Program.
Subtitle B--Efficient Equipment and Appliances
Sec. 811. Allocation.
Sec. 812. Super-Efficient Equipment and Appliances Deployment Program.
Subtitle C--Efficient Manufacturing
Sec. 821. Allocation.
Sec. 822. Efficient manufacturing program.
Subtitle D--Renewable Energy
Sec. 831. Allocation.
Sec. 832. Bonus allowances for renewable energy.
TITLE IX--LOW-CARBON ELECTRICITY AND ADVANCED RESEARCH
Subtitle A--Low- and Zero-Carbon Electricity Technology
Sec. 901. Definitions.
Sec. 902. Low- and Zero-Carbon Electricity Technology Fund.
Sec. 903. Auctions.
Sec. 904. Deposits.
Sec. 905. Use of funds.
Sec. 906. Financial incentives program.
Sec. 907. Requirements.
Sec. 908. Forms of awards.
Sec. 909. Selection criteria.
Subtitle B--Advanced Research
Sec. 911. Auctions.
Sec. 912. Deposits.
Sec. 913. Use of funds.
TITLE X--FUTURE OF COAL
Subtitle A--Kick-Start for Carbon Capture and Sequestration
Sec. 1001. Carbon Capture and Sequestration Technology Fund.
Sec. 1002. Auctions.
Sec. 1003. Deposits.
Sec. 1004. Use of funds.
Sec. 1005. Kick-Start Program.
Subtitle B--Long-Term Carbon Capture and Sequestration Incentives
Sec. 1011. Allocation.
Sec. 1012. Qualifying projects.
Sec. 1013. Distribution.
Sec. 1014. 10-Year limit.
Sec. 1015. Exhaustion of Bonus Allowance Account.
Subtitle C--Legal Framework
Sec. 1021. National drinking water regulations.
Sec. 1022. Assessment of geological storage capacity for carbon
dioxide.
Sec. 1023. Study of feasibility relating to construction and operation
of pipelines and geological carbon dioxide sequestration
activities.
Sec. 1024. Liabilities for closed geological storage sites.
TITLE XI--FUTURE OF TRANSPORTATION
Subtitle A--Kick-Start for Clean Commercial Fleets
Sec. 1101. Purpose.
Sec. 1102. Allocation.
Sec. 1103. Clean medium- and heavy-duty hybrid fleets program.
Subtitle B--Advanced Vehicle Manufacturers
Sec. 1111. Climate Change Transportation Energy Technology Fund.
Sec. 1112. Auctions.
Sec. 1113. Deposits.
Sec. 1114. Use of funds.
Sec. 1115. Manufacturer facility conversion program.
Subtitle C--Cellulosic Biofuel
Sec. 1121. Cellulosic biofuel program.
Subtitle D--Low-Carbon Fuel Standard
Sec. 1131. Findings.
Sec. 1132. Definitions.
Sec. 1133. Establishment.
TITLE XII--FEDERAL PROGRAM TO PROTECT NATURAL RESOURCES
Subtitle A--Auctions
Sec. 1201. Definitions.
Sec. 1202. Auctions.
Subtitle B--Funds
Sec. 1211. Bureau of Land Management Emergency Firefighting Fund.
Sec. 1212. Forest Service Emergency Firefighting Fund.
Subtitle C--National Wildlife Adaptation Strategy
Sec. 1221. Definitions.
Sec. 1222. National strategy.
Sec. 1223. Science Advisory Board.
Sec. 1224. Climate Change and Natural Resource Science Center.
Subtitle D--National Wildlife Adaptation Program
Sec. 1231. National Wildlife Adaptation Fund.
Sec. 1232. Department of the Interior.
Sec. 1233. Forest service.
Sec. 1234. Environmental Protection Agency.
Sec. 1235. Corps of Engineers.
Sec. 1236. Department of Commerce.
Sec. 1237. National Academy of Sciences report.
TITLE XIII--INTERNATIONAL PARTNERSHIPS TO REDUCE EMISSIONS AND ADAPT TO
CLIMATE CHANGE
Subtitle A--Promoting Fairness While Reducing Emissions
Sec. 1301. Definitions.
Sec. 1302. Purposes.
Sec. 1303. International negotiations.
Sec. 1304. International Climate Change Commission.
Sec. 1305. Determinations on comparable action.
Sec. 1306. International reserve allowance program.
Sec. 1307. Adjustment of international reserve allowance requirements.
Subtitle B--International Partnerships to Reduce Deforestation and
Forest Degradation
Sec. 1311. Findings; purpose.
Sec. 1312. Capacity building program.
Sec. 1313. Forest carbon activities.
Sec. 1314. Establishing and distributing offset allowances.
Sec. 1315. Limitation on double counting.
Sec. 1316. Effect of subtitle.
Subtitle C--International Partnerships to Deploy Clean Energy
Technology
Sec. 1321. International Clean Energy Deployment.
Subtitle D--International Partnerships to Adapt to Climate Change and
Protect National Security
Sec. 1331. International Climate Change Adaptation and National
Security Fund.
Sec. 1332. International Climate Change Adaptation and National
Security Program.
Sec. 1333. Monitoring and evaluation of programs.
TITLE XIV--REDUCING THE DEFICIT
Sec. 1401. Deficit Reduction Fund.
Sec. 1402. Auctions.
Sec. 1403. Deposits.
Sec. 1404. Disbursements from Fund.
TITLE XV--CAPPING HYDROFLUOROCARBON EMISSIONS
Sec. 1501. Regulations.
Sec. 1502. National recycling and emission reduction program.
Sec. 1503. Fire suppression agents.
TITLE XVI--PERIODIC REPORTS AND RECOMMENDATIONS
Sec. 1601. National Academy of Sciences reports.
Sec. 1602. Environmental Protection Agency recommendations.
Sec. 1603. Presidential recommendations.
TITLE XVII--MISCELLANEOUS
Subtitle A--Climate Security Act Administrative Fund
Sec. 1701. Establishment.
[[Page S5051]]
Sec. 1702. Auctions.
Sec. 1703. Deposits.
Sec. 1704. Disbursements from Fund.
Sec. 1705. Use of Funds.
Subtitle B--Presidential Emergency Declarations and Proclamations
Sec. 1711. Emergency declaration.
Sec. 1712. Presidential proclamation.
Sec. 1713. Congressional rescission or modification.
Sec. 1714. Report to Federal agencies.
Sec. 1715. Termination.
Sec. 1716. Public comment.
Sec. 1717. Prohibition on delegation.
Subtitle C--Administrative Procedure and Judicial Review
Sec. 1721. Regulatory procedures.
Sec. 1722. Enforcement.
Sec. 1723. Powers of Administrator.
Subtitle D--State Authority
Sec. 1731. Retention of State authority.
Subtitle E--Tribal Authority
Sec. 1741. Tribal authority.
Subtitle F--Clean Air Act
Sec. 1751. Integration.
Subtitle G--State-Federal Interaction and Research
Sec. 1761. Study and research.
SEC. 2. FINDINGS.
Congress finds that--
(1) unchecked global climate change poses a significant
threat to--
(A) the national security of the United States;
(B) the economy of the United States;
(C) public health in the United States;
(D) the well-being of residents of the United States;
(E) the well-being of residents of other countries; and
(F) the global environment;
(2) pursuant to the United Nations Framework Convention on
Climate Change, done at New York on May 9, 1992, the United
States is committed to stabilizing greenhouse gas
concentrations in the atmosphere at a level that will prevent
dangerous interference with the climate system;
(3) according to the Fourth Assessment Report of the
Intergovernmental Panel on Climate Change, stabilizing
greenhouse gas concentrations in the atmosphere at a level
that will prevent dangerous interference with the climate
system will require a global effort to reduce worldwide
anthropogenic greenhouse gas emissions by 50 to 85 percent
below 2000 levels by 2050;
(4) prompt, decisive action is critical, because greenhouse
gases can persist in the atmosphere for more than a century;
(5) global climate change represents a potentially
significant threat multiplier for instability around the
world and is likely to exacerbate competition and conflict
over agricultural, vegetative, marine, and water resources
and displace people, thus increasing hunger and poverty and
causing increased pressure on the most vulnerable developing
countries;
(6) the strategic, social, political, economic, cultural,
and environmental consequences of global climate change are
likely to have disproportionate impacts on the most
vulnerable developing countries, which have fewer industrial
emissions and less economic and financial capacity to
respond;
(7) less developed countries rely to a much greater degree
on the natural and environmental systems likely to be
affected by climate change for sustenance and livelihoods, as
well as economic growth and stability;
(8) the consequences of global climate change, including
increases in poverty and destabilization of economies and
societies, are likely to pose a danger to the security
interest and economic interest of the United States;
(9) it is in the national security and economic interest of
the United States to recognize, plan for, and mitigate the
international strategic, social, political, cultural,
environmental and economic effects of a changing climate and
to assist those in the most vulnerable developing countries
to increase resilience to those effects;
(10) the ingenuity of the people of the United States will
allow the United States to become a leader in curbing global
climate change;
(11) it is possible and desirable--
(A) to cap greenhouse gas emissions, from the sources that
together account for the majority of those emissions in the
United States, at or below the current level in 2012;
(B) to lower the cap each year between 2012 and 2050; and
(C) to include in the system--
(i) measures to contain costs;
(ii) measures providing for periodic reviews of the system;
(iii) an aggressive program for deploying advanced
technology that is developed and manufactured in the United
States;
(iv) programs to assist low- and middle-income energy
consumers; and
(v) programs to mitigate the impacts of that degree of
global climate change that now is unavoidable;
(12) Congress will need to update the system, including the
emission caps, to account for new scientific information and
steps taken or not taken by other countries;
(13) the Federal Government currently possesses adequate
data to support initial steps in the establishment of a
greenhouse gas emission trading market and to support initial
allocations of emission allowances based upon historical
emissions and other historical activities;
(14) the smooth functioning of a national emission trading
market that is based upon a national emissions cap that comes
into effect at the beginning of calendar year 2012
necessitates the establishment, not later than January 1,
2011, of a Federal system for determining, recording, and
reporting greenhouse gas emissions at an entity-specific
level;
(15) prompt and decisive domestic climate change
investments represent an unprecedented economic development
opportunity for the United States;
(16) an environmental economic development policy should
seek to increase the per-capita income and protect the
interests of working families;
(17) the measures in this Act are not the only measures
that Congress will need to enact over the decades-long
program established by this Act in order to avert dangerous
climate change and avoid the imposition of hardship on United
States residents;
(18) State and local government programs, including
incentives, renewable portfolio standards, energy-efficiency
requirements, land-use policies, and other such programs
typically implemented at the State and local levels are
having and will continue to have a substantial and direct
beneficial effect on reducing greenhouse gas emissions;
(19) emissions of sulfur dioxide, nitrogen oxides, and
mercury in the United States continue to inflict harm on the
public health, economy, and natural resources of the United
States;
(20) fossil fuel-fired electric power generating facilities
emit approximately 67 percent of the total sulfur-dioxide
emissions, 23 percent of the total nitrogen-oxide emissions,
40 percent of the total carbon-dioxide emissions, and 40
percent of the total mercury emissions in the United States;
(21) more than half the electricity generated in the United
States is generated through the burning of coal;
(22) the reserve of coal in the United States is larger
than the reserve of coal in any other country;
(23) while the reductions in emissions of sulfur dioxide,
nitrogen oxides, and mercury that will occur in the presence
of a declining cap on the greenhouse gas emissions from coal-
fired electric power generating facilities are larger than
those that would occur in the absence of such a cap, new,
stricter Federal limits on emissions of sulfur dioxide,
nitrogen oxides, and mercury may still be needed to protect
public health; and
(24) many existing fossil fuel-fired electric power
generating facilities in the United States were exempted by
Congress from emission limitations applicable to new and
modified facilities of that type based on an expectation by
Congress that, over time, those facilities would be retired
or updated with new pollution control equipment, but many of
the exempted facilities nevertheless continue to operate and
emit pollution at relatively high rates and without new
pollution control equipment.
SEC. 3. PURPOSES.
The purposes of this Act are--
(1) to establish the core of a Federal program that will
reduce United States greenhouse gas emissions substantially
enough to avert the catastrophic impacts of global climate
change; and
(2) to accomplish that purpose while--
(A) preserving robust growth in the United States economy;
(B) creating new jobs in the United States;
(C) avoiding the imposition of hardship on United States
residents;
(D) reducing the dependence of the United States on
petroleum produced in other countries;
(E) imposing no net cost on the Federal Government;
(F) ensuring that the financial resources provided by the
program established by this Act for technology deployment are
predominantly invested in development, production, and
construction of that technology in the United States; and
(G) encouraging complementary State and local government
policies and programs that promote energy efficiency and
technology deployment or otherwise reduce greenhouse gas
emissions.
SEC. 4. DEFINITIONS.
In this Act:
(1) Additional; additionality.--The terms ``additional''
and ``additionality'' mean the extent to which reductions in
greenhouse gas emissions or increases in sequestration are
incremental to business as usual, with no greenhouse gas
incentives, for a project entity.
(2) Administrator.--The term ``Administrator'' means the
Administrator of the Environmental Protection Agency.
(3) Advanced technology vehicle.--The term ``advanced
technology vehicle'' means an electric vehicle, a fuel cell-
powered vehicle, a hybrid or plug-in hybrid electric vehicle,
an advanced diesel light duty motor vehicle, or a hydrogen-
fueled vehicle that meets--
(A) the Tier II Bin 5 emission standard established in
regulations prescribed by the Administrator under section
202(i) of the Clean Air Act (42 U.S.C. 7521(i)), or a lower-
numbered Bin emission standard;
(B) any new emission standard for fine particulate matter
prescribed by the Administrator under that Act; and
(C) a standard of at least 125 percent of the average base
year combined fuel economy, calculated on an energy-
equivalent basis for
[[Page S5052]]
vehicles other than advanced diesel light-duty motor
vehicles, for vehicles of a substantially similar nature and
footprint.
(4) Allowance.--The term ``allowance'' means--
(A) an emission allowance;
(B) an offset allowance; or
(C) an international allowance.
(5) Aquatic system.--
(A) In general.--The term ``aquatic system'' means any
environment that is wet for at least part of the year in
which plants and animals interact with the chemical and
physical features of the environment.
(B) Inclusions.--The term ``aquatic system'' includes an
environment described in subparagraph (A) with respect to--
(i) any body of freshwater or salt water, such as a pond or
ocean; and
(ii) groundwater.
(6) Baseline.--The term ``baseline'' means the level of
greenhouse gas emissions or a carbon stock scenario that
would occur with respect to a project or activity in the
absence of an offset project.
(7) Biological sequestration; biologically sequestered.--
The terms ``biological sequestration'' and ``biologically
sequestered'' mean--
(A) the capture, separation, isolation, or removal of
greenhouse gases from the atmosphere by terrestrial
biological means, such as by growing plants; and
(B) the storage of those greenhouse gases in plants or
related soils.
(8) Board.--The term ``Board'' means the Carbon Market
Efficiency Board established by section 421.
(9) Carbon content.--The term ``carbon content'' means the
quantity of carbon, per unit of weight or energy value,
contained in a fuel.
(10) Carbon dioxide equivalent.--The term ``carbon dioxide
equivalent'' means, for each HFC or non-HFC greenhouse gas,
the quantity of the gas that the Administrator determines
makes the same contribution to global warming as 1 metric ton
of carbon dioxide.
(11) Climate registry.--The term ``Climate Registry'' means
the greenhouse gas emission registry jointly established and
managed by more than 40 States and Indian tribes to collect
greenhouse gas emission data from entities to support various
greenhouse gas emission reporting and reduction policies for
the member States and Indian tribes.
(12) Combined fuel economy.--The term ``combined fuel
economy'' means--
(A) the combined city-highway miles per gallon values, as
reported in accordance with section 32908 of title 49, United
States Code; and
(B) in the case of an electric drive vehicle with the
ability to recharge from an off-board source, the reported
mileage, as determined in a manner consistent with the
Society of Automotive Engineers recommended practice for that
configuration, or a similar practice recommended by the
Secretary of Energy, using a petroleum equivalence factor for
the off-board electricity (as defined by the Secretary of
Energy).
(13) Convention.--The term ``Convention'' means the United
Nations Framework Convention on Climate Change, done at New
York on May 9, 1992, and entered into force on March 21,
1994.
(14) Cost-containment auction.--The term ``cost-containment
auction'' means an auction of emission allowances conducted
by the Administrator pursuant to section 522.
(15) Cost-containment auction price.--The term ``cost-
containment auction price'' means the single price at which
emission allowances are offered for sale during a cost-
containment auction in a particular year.
(16) Covered entity.--The term ``covered entity'' means--
(A) any entity that, during a 1-year period, uses more than
5,000 metric tons of coal in the United States;
(B) any entity that is a natural gas processing plant in
the United States (other than in the State of Alaska);
(C) any entity that produces natural gas in the State of
Alaska or the Federal waters of the Alaska Outer Continental
Shelf;
(D) any entity that holds title to natural gas, including
liquefied natural gas, at the time the natural gas is
imported into the United States;
(E) any entity that manufactures in the United States
petroleum-based liquid or gaseous fuel, petroleum coke, or
coal-based liquid or gaseous fuel, the combustion of which
will, assuming no sequestration, emit a non-HFC greenhouse
gas;
(F) any entity that holds title, at the time of importation
into the United States, to petroleum-based liquid or gaseous
fuel, petroleum coke, or coal-based liquid or gaseous fuel,
the combustion of which will, assuming no sequestration, emit
a non-HFC greenhouse gas;
(G) any entity that, during a 1-year period, manufactures
more than 10,000 carbon dioxide equivalents of non-HFC
greenhouse gas in the United States;
(H) any entity that, during any 1-year period, holds title,
at the time of importation into the United States, to more
than 10,000 carbon dioxide equivalents of non-HFC greenhouse
gas; or
(I) any entity that manufactures any
hydrochlorofluorocarbon in the United States.
(17) Destruction.--The term ``destruction'' means the
extent to which the conversion of a greenhouse gas to another
gas, by thermal, chemical, or other means, reduces global
warming potential.
(18) Ecological process.--The term ``ecological process''
means a biological, chemical, or physical interaction between
and among the biotic and abiotic components of an ecosystem,
including--
(A) nutrient cycling;
(B) pollination;
(C) a predator-prey relationship;
(D) soil formation;
(E) gene flow;
(F) larval dispersal and settlement;
(G) changes in hydrology;
(H) decomposition; and
(I) a disturbance regime, such as fire or flooding.
(19) Emission allowance.--The term ``emission allowance''
means an allowance established by the Administrator pursuant
to section 201(a).
(20) Engineering integration costs.--The term ``engineering
integration costs'' includes the cost of engineering tasks
performed in the United States relating to--
(A) incorporating qualifying components into the design of
advanced technology vehicles; and
(B) designing new tooling and equipment for production
facilities that produce in the United States qualifying
components or advanced technology vehicles.
(21) Fair market value.--The term ``fair market value''
means the average market price, in a particular calendar
year, of an emission allowance.
(22) Fish and wildlife.--The term ``fish and wildlife''
means--
(A) any species of wild fauna, including fish and other
aquatic species; and
(B) any fauna in a captive breeding program the object of
which is to reintroduce individuals of a depleted indigenous
species into a previously occupied range.
(23) Geological sequestration; geologically sequestered.--
The terms ``geological sequestration'' and ``geologically
sequestered'' mean the permanent isolation of greenhouse
gases, without reversal, in geological formations.
(24) Habitat.--The term ``habitat'' means the physical,
chemical, and biological properties that are used by wildlife
(including aquatic and terrestrial plant communities) for
growth, reproduction, survival, food, water, cover, and
space, on a tract of land, in a body of water, or in an area
or region.
(25) HFC.--The term ``HFC'' means a hydrofluorocarbon.
(26) Indian tribe.--The term ``Indian tribe'' has the
meaning given the term in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b).
(27) International forest carbon activities.--The term
``international forest carbon activities'' means national or
subnational activities in countries other than the United
States that--
(A) are directed at--
(i) reducing greenhouse gas emissions from deforestation
and forest degradation; and
(ii) increasing sequestration of carbon through--
(I) restoration of forests;
(II) restoration of degraded land that has not been
forested prior to restoration;
(III) afforestation, using native species, where
practicable; and
(IV) improved forest management; and
(B) meet the eligibility requirements and quality criteria
promulgated under sections 1313(a) and 1314(b).
(28) Leakage.--The term ``leakage'' means--
(A) a significant unaccounted increase in greenhouse gas
emissions by a facility or entity caused by an offset
project, as determined by the Administrator; or
(B) a significant unaccounted decrease in sequestration
that is caused by an offset project, as determined by the
Administrator.
(29) Local distribution company.--The term ``local
distribution company'' means an entity, whether public or
private--
(A) that has a legal, regulatory, or contractual obligation
to deliver electricity or natural gas to retail consumers;
and
(B) whose rates and costs are, except in the case of a
registered electric cooperative, regulated by a State agency,
regulatory commission, municipality, or public utility
district, or by an Indian tribe pursuant to tribal law.
(30) Manufacture.--
(A) In general.--The term ``manufacture'' means to make an
item, substance, or material, for sale or distribution,
through the application of technology and industrial
processes.
(B) Exclusion.--The term ``manufacture'' does not include
the creation of a greenhouse gas through anaerobic
decomposition.
(31) NAFTA country.--The term ``NAFTA country'' means a
country that is a party to the North American Free Trade
Agreement.
(32) Natural gas processing plant.--
(A) In general.--The term ``natural gas processing plant''
means a facility that is designed--
(i) to separate natural-gas liquids from natural gas; or
(ii) to fractionate mixed natural-gas liquids into natural-
gas products.
(B) Exclusion.--The term ``natural gas processing plant''
does not include a wellhead or pipeline facility that removes
natural-gas liquid condensate for operational or safety
purposes.
(33) Non-HFC greenhouse gas.--The term ``non-HFC greenhouse
gas'' means any of--
(A) carbon dioxide;
[[Page S5053]]
(B) methane;
(C) nitrous oxide;
(D) sulfur hexafluoride; or
(E) a perfluorocarbon.
(34) Offset allowance.--The term ``offset allowance'' means
an allowance allocated by the Administrator pursuant to
subtitle A or subtitle B of title III, or subtitle B of title
XIII.
(35) Offset project.--The term ``offset project'' means a
project that reduces emissions or increases terrestrial
sequestration of greenhouse gases from sources or sinks that
would otherwise not have been covered under the limitation on
the emission of greenhouse gases under this Act.
(36) Plant.--The term ``plant'' means any species of wild
flora.
(37) Project developer.--The term ``project developer''
means an individual or entity implementing an offset project.
(38) Qualifying component.--The term ``qualifying
component'' means a component that the Secretary of Energy
determines to be--
(A) specially designed for advanced technology vehicles;
(B) installed for the purpose of meeting the performance
requirements of advanced technology vehicles; and
(C) manufactured in the United States.
(39) Regional greenhouse gas initiative.--The term
``Regional Greenhouse Gas Initiative'' means the cooperative
effort by, as of the date of enactment of this Act, the
States of Connecticut, Delaware, Maine, Maryland, New
Hampshire, New Jersey, New York, and Vermont, to reduce
carbon dioxide emissions.
(40) Registry.--The term ``Registry'' means the Federal
greenhouse gas registry established under section 102(a).
(41) Regular auction.--The term ``regular auction'' means
an auction of emission allowances conducted by the
Administrator under this Act that is not a cost-containment
auction.
(42) Regular auction reserve price.--The term ``regular
auction reserve price'' means the price below which an
emission allowance may not be sold through a regular auction.
(43) Retail rate for distribution service.--
(A) In general.--The term ``retail rate for distribution
service'' means the rate that a local distribution company
charges for the use of the system of the local distribution
company.
(B) Exclusion.--The term ``retail rate for distribution
service'' does not include any energy component of the rate.
(44) Retire an allowance.--The term ``retire an allowance''
means to disqualify an allowance for any subsequent use,
regardless of whether the use is a sale, exchange, or
submission of the allowance in satisfaction of a compliance
obligation.
(45) Reversal.--The term ``reversal'' means an intentional
or unintentional loss of sequestered carbon dioxide to the
atmosphere in significant quantities, as determined by the
Administrator, in order to accomplish the purposes of the Act
in an effective and efficient manner.
(46) Rural electric cooperative.--The term ``rural electric
cooperative'' means a cooperatively owned association that--
(A) was in existence as of October 18, 2007; and
(B) is eligible to receive loans under section 4 of the
Rural Electrification Act of 1936 (7 U.S.C. 904).
(47) Sequestered and sequestration.--The terms
``sequestered'' and ``sequestration'' mean biological or
geological sequestration.
(48) State.--The term ``State'' means--
(A) a State;
(B) the District of Columbia;
(C) the Commonwealth of Puerto Rico; and
(D) any other territory or possession of the United States.
(49) State regulatory authority.--The term ``State
regulatory authority'' means any State agency that has
ratemaking authority with respect to the retail rate for
electricity or natural-gas distribution service.
(50) Terrestrial ecosystem.--The term ``terrestrial
ecosystem'' means a land-occurring community of organisms,
together with their environment.
(51) Tribal regulatory authority.--The term ``tribal
regulatory authority'' means any Indian tribe that has been
granted statutory authority in accordance with section 301(d)
of the Clean Air Act (42 U.S.C. 7601(d)).
TITLE I--IMMEDIATE ACTION
Subtitle A--Tracking Greenhouse Gas Emissions
SEC. 101. PURPOSE.
The purpose of this title is to establish a Federal
greenhouse gas registry that--
(1) is national in scope;
(2) is complete, consistent, transparent, accurate,
precise, and reliable; and
(3) provides the data necessary to implement the emission
limitations and emission trading market established pursuant
to this Act.
SEC. 102. FEDERAL GREENHOUSE GAS REGISTRY.
(a) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a Federal greenhouse gas registry
that--
(1) achieves the purposes described in section 101; and
(2) requires emission reporting to begin for calendar year
2011.
(b) Climate Registry.--The notice of final agency action
promulgating regulations under subsection (a) shall explain
each consequential inconsistency between those regulations
and the provisions of the Climate Registry.
(c) Requirements.--The regulations promulgated pursuant to
subsection (a) shall--
(1) ensure the completeness, consistency, transparency,
accuracy, precision, and reliability of data on greenhouse
gas emissions in the United States and on the production and
manufacture in the United States, and importation into the
United States, of fuels and other products the uses of which
result in the emission of greenhouse gas;
(2) exceed or conform to the best practices from the most
recent Federal, State, tribal, and international protocols
for the measurement, accounting, reporting, and verification
of greenhouse gas emissions, including, in particular, the
Climate Registry, taking into account the latest scientific
research;
(3) require that, wherever feasible, submitted data are
monitored using monitoring systems for fuel flow or
emissions, such as continuous emission monitoring systems or
systems of equivalent precision, reliability, accessibility,
and timeliness;
(4) require that, if an entity is already using a
continuous emission monitoring system to monitor mass
emissions of a greenhouse gas under a provision of law in
effect as of the date of enactment of this Act that is
consistent with this Act, that system be used to monitor
submitted data;
(5) include methods for avoiding the double-counting of
greenhouse gas emissions;
(6) include protocols to prevent entities from avoiding
reporting requirements;
(7) include protocols for verification of submitted data;
(8) establish a means for electronic reporting;
(9) ensure verification and auditing of submitted data;
(10) establish consistent policies for calculating carbon
content and greenhouse gas emissions for each type of fossil
fuel reported;
(11) provide for public dissemination on the Internet of
all verified data that are not--
(A) vital to the national security of the United States, as
determined by the President; or
(B) confidential business information that cannot be
derived from information that is otherwise publicly available
and that would cause significant calculable competitive harm
if published (except that information relating to greenhouse
gas emissions shall not be considered to be confidential
business information);
(12) prescribe methods by which the Administrator shall, in
cases in which satisfactory data are not submitted to the
Administrator for any period of time--
(A) replace the missing data with a conservative estimate
of the highest emission levels that may have occurred during
the period for which data are missing, in order to ensure
emissions are not under-reported and to create a strong
incentive for meeting data monitoring and reporting
requirements; and
(B) take appropriate enforcement action; and
(13) ensure that no offset allowance distributed to the
government of a foreign country pursuant to subtitle B of
title XIII is transferred both into the greenhouse gas
emission trading market established by this Act and into
another such market.
SEC. 103. ENFORCEMENT.
(a) Civil Actions.--The Administrator may bring a civil
action in a United States district court against any entity
that fails to comply with any requirement promulgated
pursuant to section 102.
(b) Penalty.--Any person that has violated or is violating
regulations promulgated pursuant to section 102 shall be
subject to a civil penalty of not more than $25,000 per day
for each violation.
(c) Penalty Adjustment.--For the fiscal year in which this
Act is enacted and each fiscal year thereafter, the
Administrator shall, by regulation, adjust the penalty
specified in subsection (b) to reflect changes for the 12-
month period ending the preceding November 30 in the Consumer
Price Index for All Urban Consumers published by the Bureau
of Labor Statistics of the Department of Labor.
SEC. 104. NO EFFECT ON OTHER REQUIREMENTS.
Nothing in this subtitle affects any requirement in effect
as of the date of enactment of this Act relating to the
reporting of--
(1) fossil-fuel production, refining, importation,
exportation, or consumption data;
(2) greenhouse gas emission data; or
(3) other relevant data.
Subtitle B--Early Clean Technology Deployment
SEC. 111. EFFICIENT BUILDINGS GRANT PROGRAM.
(a) In General.--The Administrator shall establish and
carry out a program, to be known as the ``Efficient Buildings
Grant Program'', under which the Administrator shall provide
grants to owners of buildings in the United States for use
in--
(1) constructing new, highly-efficient buildings in the
United States; and
(2) increasing the efficiency of existing buildings in the
United States.
(b) Requirements.--The Administrator shall provide grants
under this section to owners of buildings in the United
States based on the extent to which building projects
proposed to be carried out using
[[Page S5054]]
funds from the grants would result in verifiable, additional,
and enforceable reductions in direct and indirect greenhouse
gas emissions--
(1) in new or renovated buildings that demonstrate
exemplary performance by achieving a minimum score of 75 on
the benchmarking tool of the Energy Star program established
by section 324A of the Energy Policy and Conservation Act (42
U.S.C. 6294a), or an equivalent score on an established
energy performance benchmarking metric as determined under
the regulations promulgated pursuant to subsection (d); and
(2) in retrofitted existing buildings that demonstrate
substantial improvement in the score or rating on that
benchmarking tool by a minimum of 30 points, or an equivalent
improvement using an established performance benchmarking
metric as determined under the regulations promulgated
pursuant to subsection (d).
(c) Priority.--In providing grants under this section, the
Administrator shall give priority to projects that--
(1) are completed by building owners with a proven track
record of building efficiency performance; or
(2) result in measurable greenhouse gas reduction benefits
not encompassed within the metrics of the Energy Star program
referred to in subsection (b)(1).
(d) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations to implement this section.
(e) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
(f) Termination of Authority.--The program established
under this section, and all authority provided under this
section, shall terminate on the date on which the Efficient
Buildings Allowance Program is established under section 802.
SEC. 112. SUPER-EFFICIENT EQUIPMENT AND APPLIANCES
DEVELOPMENT (SEAD) PROGRAM.
(a) In General.--The Administrator shall establish and
carry out a program, to be known as the ``Super-Efficient
Equipment and Appliances Development Program'' or ``SEAD
Program'', under which the Administrator shall provide grants
to retailers and distributors in the United States for use in
increasing sales of high-efficiency building equipment, high-
efficiency consumer electronics, and high-efficiency
household appliances through marketing strategies such as
consumer rebates, with the goals of--
(1) minimizing lifecycle costs for consumers; and
(2) maximizing public benefit.
(b) Amount of Individual Grants.--The amount of each grant
for each type of product shall be determined by the
Administrator, in consultation with the Secretary of Energy,
State and utility efficiency program administrators, and
national laboratories.
(c) Reporting.--Each retailer and distributor participating
in the program under this section shall be required to report
to the Administrator, on a confidential basis for the purpose
of program design--
(1) the number of products of the retailer or distributer
sold within each product type; and
(2) wholesale purchase-price data relating to those sales.
(d) Cost-Effectiveness Requirement.--
(1) Definitions.--In this subsection:
(A) Cost-effectiveness.--The term ``cost-effectiveness''
means a value equal to the product obtained by multiplying--
(i) the net number of highly-efficient pieces of equipment,
electronics, and appliances sold by a retailer or distributor
in a calendar year; by
(ii) the savings during the projected useful life, not to
exceed 10 years, obtained by using the pieces of equipment,
electronics, and appliances (including the impact of any
documented measures to retire low-performing devices at the
time of purchase of highly-efficient substitutes).
(B) Savings.--The term ``savings'' means the megawatt-hours
of electricity, or million British thermal units of other
fuels, that are saved by the use of a product, as compared to
the projected energy consumption that would result from the
use of another product, based on the efficiency performance
of displaced new product sales.
(2) Requirement.--Cost-effectiveness shall be a top
priority of the Administrator in providing grants under this
section.
(e) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
(f) Termination of Authority.--The program established
under this section, and all authority provided under this
section, shall terminate on the date on which the Super-
Efficient Equipment and Appliances Deployment Program is
established under section 812.
SEC. 113. CLEAN MEDIUM- AND HEAVY-DUTY HYBRID FLEETS PROGRAM.
(a) In General.--The Administrator shall by regulation
establish and carry out a program under which the
Administrator shall provide grants to entities in the United
States, for the purchase of advanced medium- and heavy-duty
hybrid commercial vehicles, based on demonstrated increases
in fuel efficiency of those commercial vehicles.
(b) Requirements.--The regulations promulgated pursuant to
subsection (a) shall provide that--
(1) only a purchaser of a commercial vehicle weighing at
least 8,500 pounds shall be eligible for receipt of emission
allowances under the program;
(2) the purchaser of a qualifying vehicle shall have
certainty, at the time of purchase of a qualifying vehicle,
of--
(A) the amount of the grant to be provided; and
(B) the time at which grant funds shall be available;
(3) the amount of a grant provided under this section shall
increase in direct proportion to the fuel efficiency of a
commercial vehicle to be purchased using funds from the
grant;
(4) the amounts made available to provide grants under this
section shall be allocated by the Administrator for at least
3 classes of vehicle weight, to ensure--
(A) adequate availability of grant funds for different
categories of commercial vehicles; and
(B) that the amount of a grant provided for the purchase of
a heavier, more expensive vehicle is proportional to the
amount of a grant provided for the purchase of a lighter,
less expensive vehicle; and
(5) the amount provided per grant shall decrease over time
to encourage early purchases of qualifying commercial
vehicles.
(c) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
(d) Termination of Authority.--The program established
under this section, and all authority provided under this
section, shall terminate on the date on which the clean
medium- and heavy-duty hybrid fleets program is established
under section 1103.
SEC. 114. INTERNATIONAL CLEAN ENERGY DEPLOYMENT.
(a) Purpose.--The purpose of this section is to promote and
leverage private financing for the development and
international deployment of technologies that will contribute
to sustainable economic growth and the stabilization of
greenhouse gas concentrations in the atmosphere at a level
that will prevent dangerous anthropogenic interference with
the climate system.
(b) Definitions.--In this section:
(1) Appropriate committees of congress.--The term
``appropriate committees of Congress'' means--
(A) in the Senate--
(i) the Committee on Foreign Relations;
(ii) the Committee on Finance;
(iii) the Committee on Energy and Natural Resources;
(iv) the Committee on Environment and Public Works; and
(v) the Committee on Appropriations; and
(B) in the House of Representatives--
(i) the Committee on Foreign Affairs;
(ii) the Committee on Ways and Means;
(iii) the Committee on Energy and Commerce;
(iv) the Committee on Natural Resources; and
(v) the Committee on Appropriations.
(2) Board.--The term ``Board'' means the International
Clean Energy Deployment Board established under subsection
(c)(1).
(3) Eligible country.--The term ``eligible country'' means
a foreign country that, as determined by the President--
(A) is not a member of the Organization for Economic
Cooperation and Development; and
(B)(i) has made a binding commitment, pursuant to an
international agreement to which the United States is a
party, to carry out actions to produce measurable,
reportable, and verifiable greenhouse gas emission
mitigations; or
(ii) as certified by the Board to the appropriate
committees of Congress, has in force binding national
policies and measures that are capable of producing
measurable, reportable, and verifiable greenhouse gas
emission mitigations.
(4) Qualified entity.--The term ``qualified entity''
means--
(A) the national government of an eligible country;
(B) a regional or local governmental unit of an eligible
country; and
(C) a nongovernmental organization or a private entity
located or operating in an eligible country.
(c) International Clean Energy Deployment Board.--
(1) Establishment.--Not later than 90 days after the date
of enactment of this Act, the President shall establish a
board, to be known as the `` International Clean Development
Technology Board''.
(2) Composition.--The Board shall be composed of--
(A) the Secretary of State, who shall serve as Chairperson
of the Board;
(B) the Secretary of the Treasury;
(C) the Secretary of Energy;
(D) the Secretary of Commerce;
(E) the Administrator;
(F) the Administrator of the United States Agency for
International Development;
(G) the United States Trade Representative; and
(H) such other officials as the President determines to be
appropriate.
(3) Duties.--The Board shall administer the Fund in a
manner that ensures that amounts made available to carry out
the program--
(A) are used in a manner that best promotes the
participation of, and investments by, the private sector;
(B) are allocated in a manner consistent with commitments
by the United States
[[Page S5055]]
under international climate change agreements; and
(C) are expended to achieve the greatest greenhouse gas
emission mitigation with the lowest practicable cost,
consistent with subparagraphs (A) and (B).
(4) Assistance.--The Board shall provide assistance under
this section to qualified entities to support the purposes of
this section.
(5) Form of assistance.--In accordance with international
the Federal and international intellectual property law,
assistance under this subsection shall be provided--
(A) as direct assistance in the form of grants,
congressional loans, cooperative agreements, contracts,
insurance, or loan guarantees to or with qualified entities;
(B) as indirect assistance to qualified entities through--
(i) funding for international clean technology funds
supported by multilateral institutions;
(ii) support from development and export promotion
assistance programs of the Federal Government; or
(iii) support from international technology programs of the
Department of Energy; or
(C) in such other forms as the Board determines to be
appropriate.
(6) Use of assistance.--Assistance provided under this
subsection shall be used for 1 or more of the following
purposes:
(A) Funding for capacity building programs, including--
(i) developing and implementing methodologies and programs
for measuring and quantifying greenhouse gas emissions and
verifying emission reductions;
(ii) assessing technology and policy options for greenhouse
gas emission mitigations; and
(iii) providing other forms of technical assistance to
facilitate the qualification for, and receipt of, program
funding under this section.
(B) Funding for technology programs to mitigate greenhouse
gas emissions through Federal or State engagement in
cooperative research and development activities with eligible
countries, including on the subject of--
(i) transportation technologies;
(ii) coal, including low-rank coal;
(iii) energy efficiency programs;
(iv) renewable energy sources; and
(v) industrial and building activities.
(7) Selection of projects.--
(A) In general.--The Board shall be responsible for
selecting qualified entities to receive assistance under this
subsection.
(B) Notification.--The Board shall not provide assistance
under this subsection until the date that is 30 days after
the date on which the Board submits to the appropriate
committees of Congress a notice of the proposed assistance,
including--
(i) in the case of a capacity building program--
(I) a description of the capacity building program to be
funded using the assistance;
(II) the terms and conditions of the provision of
assistance; and
(III) a description of how the capacity building program
will contribute to achieving the purposes of this section; or
(ii) in the case of a technology program--
(I) a description of the technology program to be funded
using the assistance;
(II) the terms and conditions of the provision of
assistance;
(III) an estimate of the additional quantity of greenhouse
gas emission reductions expected due to the use of the
assistance; and
(IV) a description of how the technology program will
contribute to achieving the purposes of this section.
(d) Reports.--
(1) Initial report.--Not later than 270 days after the date
of enactment of this Act, the President shall submit to the
appropriate committees of Congress a report describing the
criteria to be used to determine whether a country is an
eligible country.
(2) Subsequent reports.--Not later than 1 year after the
date of enactment of this Act, and annually thereafter, the
President shall submit to the appropriate committees of
Congress a report describing the assistance provided under
this section by the Board during the preceding calendar year,
including--
(A) the aggregate amount of assistance provided for
capacity building initiatives and technology deployment
initiatives; and
(B) a description of each initiative funded using the
assistance, including--
(i) the amount of assistance provided;
(ii) the terms and conditions of provision of the
assistance; and
(iii) the anticipated reductions in greenhouse gas
emissions to be achieved as a result of technology deployment
initiatives.
(e) Effect of Section.--Nothing in this section alters or
affects any authority of the Secretary of State under--
(1) title V of the Foreign Relations Authorization Act,
Fiscal Year 1979 (22 U.S.C. 2656a et seq.); or
(2) section 622(c) of the Foreign Assistance Act of 1961
(22 U.S.C. 2382(c)).
(f) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section $2,000,000,000
for the period of fiscal years 2009 through 2011.
(g) Termination of Authority.--The program established
under this section, and all authority provided under this
section, shall terminate on the date on which the
International Clean Energy Technology Program is established
under section 1321.
Subtitle C--Research
SEC. 121. RESEARCH ON EFFECTS OF CLIMATE CHANGE ON DRINKING
WATER UTILITIES.
(a) In General.--The Administrator, in cooperation with the
Secretary of Commerce, the Secretary of Energy, and the
Secretary of the Interior, shall establish and carry out a
program of directed and applied research, to be conducted
through a nonprofit water research foundation and sponsored
by drinking water utilities, to assist suppliers of drinking
water in adapting to the effects of climate change.
(b) Research Areas.--The research conducted under
subsection (a) shall include research relating to--
(1) the impacts of climate change on, and solutions to
problems involving, water quality, including research--
(A) to address probable impacts on raw water quality
resulting from--
(i) erosion and turbidity from extreme precipitation
events;
(ii) watershed vegetation changes; and
(iii) increasing ranges of pathogens, algae, and nuisance
organisms resulting from warmer temperatures; and
(B) relating to the mitigation of increased damage to
watersheds and water quality by evaluating extreme events,
such as wildfires and hurricanes, to learn and develop
management approaches to mitigate--
(i) permanent watershed damage;
(ii) quality and yield impacts on source waters; and
(iii) increased costs of water treatment;
(2) impacts on groundwater supplies from carbon
sequestration, including research to evaluate potential water
quality consequences of carbon sequestration in various
regional aquifers, soil conditions, and mineral deposits;
(3) the impacts of climate change on, and solutions to
problems involving, water quantity, including research--
(A) to evaluate climate change impacts on water resources
throughout hydrological basins of the United States;
(B) to improve the accuracy and resolution of climate
change models at the regional level;
(C) to identify and explore options for increasing
conjunctive use of aboveground and underground storage of
water; and
(D) to optimize the operation of existing and new
reservoirs in diminished and erratic periods of precipitation
and runoff;
(4) infrastructure impacts and solutions for water
treatment facilities and underground pipelines, including
research--
(A) to evaluate and mitigate the impacts of sea level rise
on--
(i) near-shore facilities;
(ii) soil drying and subsidence; and
(iii) reduced flows in water and wastewater pipelines; and
(B) relating to methods of increasing the resilience of
existing infrastructure and development of new design
standards for future infrastructure;
(5) desalination, water reuse, and alternative supply
technologies, including research--
(A) to improve and optimize existing membrane technologies,
and to identify and develop breakthrough technologies, to
enable the use of seawater, brackish groundwater, treated
wastewater, and other impaired sources;
(B) relating to new sources of water through cost-effective
water treatment practices in recycling and desalination; and
(C) to improve technologies for use in--
(i) managing and minimizing the volume of desalination and
reuse concentrate streams; and
(ii) minimizing the environmental impacts of seawater
intake at desalination facilities;
(6) efficiency and the minimization of greenhouse gas
emissions, including research--
(A) relating to optimizing the efficiency of water supply
and improving water efficiency in energy production; and
(B) to identify and develop renewable, carbon-neutral
options for the water supply industry;
(7) regional and hydrological basin cooperative water
management solutions, including research into--
(A) institutional mechanisms for greater regional
cooperation and use of water exchanges, banking, and
transfers; and
(B) the economic benefits of sharing risks of shortage
across wider areas;
(8) utility management, decision support systems, and water
management models, including research--
(A) relating to improved decision support systems and
modeling tools for use by water utility managers to assist
with increased water supply uncertainty and adaptation
strategies posed by climate change;
(B) to provide financial tools, including new rate
structures, to manage financial resources and investments,
due to the fact that increased conservation practices might
diminish revenue and increase investments in infrastructure;
and
(C) to develop improved systems and models for use in
evaluating--
(i) successful alternative methods for conservation and
demand management; and
(ii) climate change impacts on groundwater resources;
(9) reducing greenhouse gas emissions and demand
management, including research--
(A) to improve efficiency in water collection, production,
transmission, treatment, distribution, and disposal to
provide more sustainability; and
(B) relating to means of assisting drinking water utilities
in reducing the production of
[[Page S5056]]
greenhouse gas emissions in the collection, production,
transmission, treatment, distribution, and disposal of
drinking water;
(10) water conservation and demand management, including
research--
(A) to develop strategic approaches to water demand
management that offer the lowest-cost, noninfrastructural
options to serve growing populations or manage declining
supplies, primarily through--
(i) efficiencies in water use and reallocation of saved
water;
(ii) demand management tools;
(iii) economic incentives; and
(iv) water-saving technologies; and
(B) relating to efficiencies in water management through
integrated water resource management that incorporates--
(i) supply-side and demand-side processes;
(ii) continuous adaptive management; and
(iii) the inclusion of stakeholders in decisionmaking
processes; and
(11) communications, education, and public acceptance,
including research--
(A) relating to improved strategies and approaches for
communicating with customers, decisionmakers, and other
stakeholders about the implications of climate change
regarding water supply; and
(B) to develop effective communication approaches to
achieve--
(i) public acceptance of alternative water supplies and new
policies and practices, including conservation and demand
management; and
(ii) public recognition and acceptance of increased costs.
(c) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
SEC. 122. ROCKY MOUNTAIN CENTERS FOR STUDY OF COAL
UTILIZATION.
(a) Designation.--The University of Wyoming and Montana
State University shall be known and designated as the ``Rocky
Mountain Centers of the Study of Coal Utilization''.
(b) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
SEC. 123. SUN GRANT CENTER FOR RESEARCH ON COMPLIANCE WITH
CLEAN AIR ACT.
(a) Designation.--Each sun grant center designated under
section 7526 of the Food, Conservation, and Energy Act of
2008 is designated as a research institution of the
Environmental Protection Agency for the purpose of conducting
studies regarding the effects of biofuels and biomass on
national and regional compliance with the Clean Air Act (42
U.S.C. 7401 et seq).
(b) Funding.--The Administrator shall provide to the sun
grant centers such funds as the Administrator determines to
be necessary to carry out the studies described in subsection
(a).
(c) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
SEC. 124. STUDY BY ADMINISTRATOR OF BLACK CARBON EMISSIONS.
(a) Study.--The Administrator shall conduct a study of
black carbon emissions, including--
(1) an identification of--
(A) the latest scientific data relevant to the climate-
related impacts of black carbon emissions from diesel engines
and other sources;
(B)(i) the major sources of black carbon emissions in the
United States and worldwide; and
(ii) an estimate of black carbon emissions from those
sources;
(C) the diesel and other direct emission control
technologies, operations, or strategies to remove or reduce
emissions of black carbon, including estimates of the costs
and effectiveness of the measures; and
(D) the entire lifecycle and net climate impacts of
installation of diesel particulate filters on existing heavy-
duty diesel engines; and
(2) recommendations of the Administrator regarding--
(A) areas of focus for additional research for
technologies, operations, and strategies with the highest
potential to reduce emissions of black carbon; and
(B) actions the Federal Government could carry out to
encourage or require additional black carbon emission
reductions.
(b) Report.--Not later than 180 days after the date of
enactment of this Act, the Administrator shall submit to
Congress a report describing the results of the study.
(c) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
SEC. 125. STUDY BY ADMINISTRATOR OF RECYCLING.
(a) Study.--The Administrator shall conduct a study of the
lifecycle greenhouse gas emission reductions and other
benefits and issues associated with--
(1) recycling scrap metal, including end-of-life vehicles,
recovered paper and other fiber, scrap electronics, scrap
glass, scrap plastics, scrap tires and other rubber, and
scrap textiles;
(2) using recycled materials in manufactured products;
(3) designing and manufacturing products that increase
recyclable output;
(4) eliminating or reducing the use of substances and
materials in products that decrease recyclable output; and
(5) establishing a standardized system for lifecycle
greenhouse gas emission reduction measurement and
certification for the manufactured products and scrap
recycling sectors, including the potential options for the
structure and operation of such a system.
(b) Report.--Not later than 180 days after the date of
enactment of this Act, the Administrator shall submit to
Congress a report describing the results of the study.
(c) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
SEC. 126. RETAIL CARBON OFFSETS.
(a) Definition of Retail Carbon Offset.--In this section,
the term ``retail carbon offset'' means any carbon credit or
carbon offset that cannot be used in satisfaction of any
mandatory compliance obligation under a regulatory system for
reducing greenhouse gas emissions.
(b) Qualifying Levels and Requirements.--Not later than
January 1, 2009, the Administrator shall establish new
qualifying levels and requirements for Energy Star
certification for retail carbon offsets, effective beginning
January 1, 2010.
TITLE II--CAPPING GREENHOUSE GAS EMISSIONS
SEC. 201. EMISSION ALLOWANCES.
(a) Establishment.--Not later than 60 days after the date
of enactment of this Act, the Administrator shall establish a
quantity of emission allowances for each of calendar years
2012 through 2050, as follows:
------------------------------------------------------------------------
Quantity of
emission
Calendar Year allowances (in
millions)
------------------------------------------------------------------------
2012................................................. 5,775
2013................................................. 5,669
2014................................................. 5,562
2015................................................. 5,456
2016................................................. 5,349
2017................................................. 5,243
2018................................................. 5,137
2019................................................. 5,030
2020................................................. 4,924
2021................................................. 4,817
2022................................................. 4,711
2023................................................. 4,605
2024................................................. 4,498
2025................................................. 4,392
2026................................................. 4,286
2027................................................. 4,179
2028................................................. 4,073
2029................................................. 3,966
2030................................................. 3,860
2031................................................. 3,754
2032................................................. 3,647
2033................................................. 3,541
2034................................................. 3,435
2035................................................. 3,328
2036................................................. 3,222
2037................................................. 3,115
2038................................................. 3,009
2039................................................. 2,903
2040................................................. 2,796
2041................................................. 2,690
2042................................................. 2,584
2043................................................. 2,477
2044................................................. 2,371
2045................................................. 2,264
2046................................................. 2,158
2047................................................. 2,052
2048................................................. 1,945
2049................................................. 1,839
2050................................................. 1,732.
------------------------------------------------------------------------
(b) Identification Numbers.--The Administrator shall assign
to each emission allowance established under subsection (a) a
unique identification number that includes the calendar year
for which that emission allowance was established.
(c) Legal Status.--
(1) In general.--An emission allowance shall not be a
property right.
(2) Termination or limitation.--Nothing in this Act or any
other provision of law shall limit the authority of the
Administrator to terminate or limit an emission allowance.
(3) Other provisions unaffected.--Nothing in this Act
relating to emission allowances shall affect the application
of, or compliance with, any other provision of law to or by a
covered entity.
SEC. 202. COMPLIANCE OBLIGATION.
(a) In General.--Not later than 90 days after the end of
each of calendar years 2012 through 2050, the owner or
operator of a covered entity shall submit to the
Administrator an emission allowance or an offset allowance
for each carbon dioxide equivalent of--
(1) non-HFC greenhouse gas that was emitted by that covered
entity in the United States during the preceding calendar
year through the use of coal;
(2) non-HFC greenhouse gas that will be emitted through the
use of petroleum-based liquid or gaseous fuel, petroleum
coke, or coal-based liquid or gaseous fuel that was, during
the preceding calendar year, manufactured by that covered
entity in the United States or imported into the United
States by that covered entity;
(3) non-HFC greenhouse gas, that was, during the preceding
calendar year, manufactured by that covered entity in the
United States or imported into the United States by
[[Page S5057]]
that covered entity, in each case in which the non-HFC
greenhouse gas is not itself a petroleum- or coal-based
gaseous fuel or natural gas;
(4) each HFC that was, during the preceding calendar year,
emitted as a byproduct of hydrochlorofluorocarbon manufacture
in the United States by that covered entity; and
(5) non-HFC greenhouse gas that will be emitted--
(A) through the use of natural gas that was, during the
preceding calendar year, processed in the United States by
that covered entity, imported into the United States by that
covered entity, or produced in the State of Alaska or the
Federal waters of the outer Continental Shelf off the coast
of that State by that covered entity and not reinjected into
the field; or
(B) through the use of natural gas liquids that were,
during the preceding year, processed in the United States by
that covered entity or imported into the United States by
that covered entity.
(b) Assumption.--
(1) In general.--Subject to paragraph (2), for the purpose
of calculating any submission requirement under subsection
(a), the Administrator shall assume that no sequestration,
destruction, or retention of greenhouse gas has occurred or
will occur.
(2) Exception.--Notwithstanding paragraph (1), neither
paragraph (2) nor paragraph (5) of subsection (a) requires a
covered entity to submit emission allowances or offset
allowances for petroleum- or coal-based liquid or gaseous
fuel imported into the United States, or for natural gas or
natural gas liquids imported into the United States, if the
fuel or liquid the substance was imported solely for use as a
feedstock, and to the extent that no greenhouse gas is
emitted through the use of that fuel or substance as a
feedstock.
(c) Excluding Petroleum-Based Liquid Fuel Imported From a
Capped NAFTA Country.--The regulations promulgated pursuant
to section 204 shall provide for the exclusion from the
compliance obligation under subsection (a)(2) of petroleum-
based liquid fuel imported into the United States from a
NAFTA country in any case in which the Administrator has
determined, after public notice and an opportunity for public
comment, that--
(1) the NAFTA country has enacted national greenhouse gas
emissions reduction requirements that are not less stringent
than those established for the United States by this Act; and
(2) the petroleum-based liquid fuel imported into the
United States from the NAFTA country was produced or
manufactured at or by an entity that was, at the time of the
production or manufacture, directly subject to regulatory
requirements, pursuant to the enacted greenhouse gas emission
reduction requirements of the NAFTA country, to submit
allowances covering any greenhouse gas emitted through the
use of the liquid fuel.
(d) Retirement of Allowances Upon Receipt.--Immediately
upon receiving an allowance under subsection (a), the
Administrator shall retire the allowance.
(e) Destruction Credit.--
(1) In general.--Not later than 90 days after the end of
each of calendar years 2012 through 2050, the Administrator
shall establish and distribute to any entity in the United
States that the Administrator determines destroyed greenhouse
gas in the United States during the calendar year a quantity
of emission allowances equal to the quantity of carbon
dioxide equivalents of non-HFC greenhouse gas that the
Administrator determines the entity destroyed in the United
States during that calendar year.
(2) Destruction of methane through combustion.--Paragraph
(1) shall not apply to the destruction of methane through
combustion.
(f) Sequestration Credit.--Not later than 90 days after the
end of each of calendar years 2012 through 2050, the
Administrator shall establish and distribute to each covered
entity subject to any of paragraphs (2) through (5) of
subsection (a) that the Administrator determines captured and
geologically sequestered carbon dioxide during the calendar
year a quantity of emission allowances equal to the quantity
of metric tons of carbon dioxide that the entity captured and
geologically sequestered in the United States during that
calendar year.
(g) Nonemissive Use Credit.--
(1) In general.--Subject to paragraph (2), not later than
90 days after the end of each of calendar years 2012 through
2050, the Administrator shall establish and distribute to
each entity in the United States that the Administrator
determines used in the United States during that calendar
year a petroleum- or coal-based product, natural gas, or
natural gas liquid as a feedstock, or used a perfluorocarbon
in semiconductor research or manufacturing in the United
States during that calendar year, an emission allowance for
each carbon dioxide equivalent of greenhouse gas that was not
emitted through the use of that feedstock or perfluorocarbon,
notwithstanding the submission of an emission allowance or
offset allowance for that carbon dioxide equivalent under
subsection (a).
(2) Nonapplicability to certain feedstock uses.--Paragraph
(1) shall not apply to any feedstock use to which subsection
(b)(2) applies.
(h) Export Credit.--Not later than 90 days after the end of
each of calendar years 2012 through 2050, the Administrator
shall establish and distribute to each entity that the
Administrator determines exported from the United States a
product described in paragraph (2), (3), or (5) of subsection
(a) during that calendar year a quantity of emission
allowances equal to the quantity of allowances submitted for
that product under 1 of those paragraphs.
(i) International Flight Credit.--Not later than 90 days
after the end of each of calendar years 2012 through 2050,
the Administrator shall establish and distribute to each
entity that the Administrator determines purchased in the
United States fuel for an international flight the greenhouse
gas emissions of which were regulated by the laws of another
country a quantity of emission allowances equal to the
quantity of allowances submitted for that fuel under
subsection (a)(2).
(j) Determination of Compliance.--Not later than 180 days
after the end of each of calendar years 2012 through 2050,
the Administrator shall determine whether the owners and
operators of all covered entities are in full compliance with
subsection (a) for that calendar year.
(k) Prohibition.--A covered entity shall not submit, and
the Administrator shall not accept, any allowance established
pursuant to section 1501 in satisfaction, in whole or in
part, of the compliance obligation under subsection (a).
SEC. 203. PENALTY FOR NONCOMPLIANCE.
(a) Cash Penalty.--
(1) In general.--The owner or operator of any covered
entity that fails for any year to submit to the Administrator
by the applicable deadline described in section 202 1 or more
of the allowances due pursuant to that section shall be
liable for the payment to the Administrator of a cash
penalty.
(2) Amount.--The amount of a cash penalty required to be
paid under paragraph (1) shall be, as determined by the
Administrator, an amount equal to the product obtained by
multiplying--
(A) the quantity of allowances that the owner or operator
failed to submit; and
(B) the greater of--
(i) $200; or
(ii) an amount, in dollars, equal to 3 times the average
market value of an emission allowance during the calendar
year for which the allowances were due.
(3) Timing.--A cash penalty required under this subsection
shall be immediately due and payable to the Administrator,
without demand.
(4) Deposit.--The Administrator shall deposit each cash
penalty paid under this subsection into the Treasury of the
United States.
(5) No effect on liability.--A cash penalty due and payable
by the owner or operator of a covered entity under this
subsection shall not diminish the liability of the owner or
operator for any fine, penalty, or assessment against the
owner or operator for the same violation under any other
provision of this Act or any other law.
(b) Compensation.--The owner or operator of a covered
entity that fails for any year to submit to the
Administrator, by the deadline described in section 202, 1 or
more of the emission allowances due pursuant to that section
shall be liable to compensate for the shortfall with a
submission of excess allowances during--
(1) the following calendar year; or
(2) such longer period as the Administrator may prescribe.
(c) Prohibition.--It shall be unlawful for the owner or
operator of any entity liable under subsections (a) and (b)
to fail to comply with a requirement under either of those
subsections.
(d) No Effect on Other Law.--Nothing in this title limits
or otherwise affects the application of any other enforcement
provision under this Act or under any other law.
SEC. 204. REGULATIONS.
Not later than 2 years after the date of enactment of this
Act, the Administrator shall promulgate regulations to carry
out this title.
SEC. 205. REPORT TO CONGRESS.
(a) In General.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall submit to the
President and Congress a report on the regulation under this
Act of greenhouse gases emitted through the use of natural
gas in the United States.
(b) Requirements.--The report submitted under subsection
(a) shall include options for increasing the percentage of
the natural gas used in the United States that is subject to
greenhouse gas emission-reduction measures while minimizing
regulatory complexity.
TITLE III--REDUCING EMISSIONS THROUGH OFFSETS AND INTERNATIONAL
ALLOWANCES
Subtitle A--Offsets in the United States
SEC. 301. OUTREACH INITIATIVE ON REVENUE ENHANCEMENT FOR
AGRICULTURAL PRODUCERS.
(a) In General.--The Secretary of Agriculture, acting
through the Chief of the Natural Resources Conservation
Service, the Chief of the Forest Service, the Director of the
National Institute of Food and Agriculture, and land-grant
colleges and universities, in consultation with the
Administrator and the heads of other appropriate departments
and agencies, shall establish an outreach initiative to
provide information to agricultural producers, agricultural
organizations, foresters, State and local officials,
[[Page S5058]]
leaders from small businesses, nonprofit groups that may
engage in forest or natural resource projects, forest
workers, Indian tribes, and other landowners (referred to in
this section as ``interested parties'') about opportunities
to earn new revenue under this subtitle.
(b) Components.--The initiative under this section--
(1) shall be designed to ensure, to the maximum extent
practicable, that interested parties receive detailed,
practical information about--
(A) opportunities to earn new revenue under this subtitle;
(B) measurement protocols, monitoring, verifying,
inventorying, registering, insuring, and marketing offsets
under this title;
(C) emerging domestic and international markets for energy
crops, allowances, and offsets; and
(D) local, regional, and national databases and aggregation
networks to facilitate achievement, measurement,
registration, and sales of offsets;
(2) shall provide, in cooperation with other stakeholders--
(A) outreach materials, including the handbook published
under subsection (c), to interested parties;
(B) workshops; and
(C) technical assistance; and
(3) may include the creation and development of regional
marketing centers or coordination with existing centers
(including centers within the Natural Resources Conservation
Service or the National Institute of Food and Agriculture or
at land-grant colleges and universities).
(c) Handbook.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Secretary of Agriculture, in
consultation with the Administrator and after providing an
opportunity for public comment, shall publish a handbook for
use by interested parties that provides easy-to-use guidance
on achieving, reporting, registering, and marketing offsets.
(2) Distribution.--The Secretary of Agriculture shall
ensure, to the maximum extent practicable, that the
handbook--
(A) is made available through the Internet and in other
electronic media;
(B) includes, with respect to the electronic form of the
handbook described in subparagraph (A), electronic forms and
calculation tools to facilitate the petition process for new
methodologies; and
(C) is distributed widely through land-grant colleges and
universities and other appropriate institutions.
(3) Updating.--- The Secretary of Agriculture shall update
the handbook at least every 5 years, or more frequently as
needed to reflect developments in science, practices,
methodologies, measurement protocols, and emerging markets.
SEC. 302. ESTABLISHMENT OF A DOMESTIC OFFSET PROGRAM.
(a) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator, in conjunction with
the Secretary of Agriculture, shall promulgate regulations
authorizing the certification and issuance of offset
allowances in accordance with this subtitle.
(b) Use.--
(1) In general.--Subject to paragraph (3), the quantity of
offset allowances issued pursuant to subsection (d) in a
calendar year shall not exceed 15 percent of the quantity of
emission allowances established for that year pursuant to
section 201(a).
(2) Use of international allowances.--
(A) In general.--If the quantity of offset allowances
issued in a calendar year pursuant to subsection (d) is less
than 15 percent of the quantity of emission allowances
established for that year pursuant to section 201(a), the
Administrator shall allow the use, by covered entities in
that year, of international allowances under section 322 and
international forest carbon credits under section 1313.
(B) Maximum quantity.--The maximum aggregate quantity of
international allowances and international forest carbon
credits the use of which the Administrator shall allow for a
calendar year under subparagraph (A) shall be equal to the
difference between--
(i) 15 percent of the quantity of emission allowances
established for that year pursuant to section 201(a); and
(ii) the quantity of offset allowances issued in that year
pursuant to subsection (d).
(3) Carry-over.--
(A) In general.--If the sum of the quantity of offset
allowances issued for a calendar year pursuant to subsection
(d) and the quantity of international allowances and
international forest carbon credits used in that calendar
year pursuant to paragraph (2) is less than 15 percent of the
quantity of emission allowances established for that calendar
year pursuant to section 201(a), notwithstanding paragraph
(1), the quantity of offset allowances issued pursuant to
subsection (d) in the subsequent calendar year shall not
exceed the sum obtained by adding--
(i) 15 percent of the quantity of emission allowances
established for that subsequent calendar year pursuant to
section 201(a); and
(ii) the difference between--
(I) 15 percent of the quantity of emission allowances
established for that year pursuant to section 201(a); and
(II) the sum obtained by adding the quantity of offset
allowances issued in the preceding calendar year pursuant to
subsection (d) and the quantity of international allowances
and international forest carbon credits used in that year
pursuant to paragraph (2).
(4) Exchange for regional greenhouse gas initiative
offsets.--The Administrator shall--
(A) issue offset allowances, at an appropriate discount
rate, for offset allowances issued under the Regional
Greenhouse Gas Initiative; and
(B) ensure that enough capacity remains within the
limitation under paragraph (1) to carry out exchanges with
all interested parties.
(c) Requirements.--The regulations promulgated pursuant to
subsection (a) shall--
(1) authorize the issuance and certification of offset
allowances only for greenhouse gas emission reductions or
increases in sequestration relative to the offset project
baseline, for offset projects approved pursuant to section
304 in categories on the list issued under section 303;
(2) ensure that those offsets represent real, verifiable,
additional, permanent, and enforceable reductions in
greenhouse gas emissions or increases in sequestration;
(3) require that the project developer for an offset
project establish the project baseline and register emissions
with the Registry;
(4) specify the types of offset projects eligible to
generate offset allowances, in accordance with section 303;
(5) establish procedures to monitor, quantify, and discount
reductions in greenhouse gas emissions or increases in
biological sequestration, in accordance with section 303;
(6) establish procedures for project initiation and
approval, in accordance with section 304;
(7) establish procedures for third-party verification,
registration, and issuance of offset allowances, in
accordance with section 305;
(8) ensure permanence of offsets by mitigating and
compensating for reversals, in accordance with section 306;
and
(9) assign a unique serial number to each offset allowance
issued under this section.
(d) Offset Allowances Awarded.--The Administrator shall
issue to a project developer offset allowances for qualifying
emission reductions and biological sequestrations from offset
projects that satisfy the applicable requirements of this
subtitle, unless an alternative recipient is specified in a
legally-binding contract or agreement.
(e) Transferability; Compensation for Reversals.--
(1) Transferability.--An offset allowance generated
pursuant to this subtitle may be sold, traded, or
transferred, on the condition that the offset allowance has
not expired or been retired or canceled.
(2) Compensation for reversals.--With respect to a
biological sequestration project, a project developer shall
be responsible for mitigating and compensating for reversals
of registered offset allowances unless a different
responsible party is specified in a legally-binding contract
or agreement.
(f) Accounting Period.--
(1) In general.--The Administrator shall issue offset
allowances--
(A) on an annual basis, beginning on the date on which the
initiation of an offset project is approved; and
(B) that equal the verified and certified emission
reductions or increases in sequestration achieved by the
offset project.
(2) Baseline validity.--An emission baseline approved for
an offset project shall be valid for a period of 5 years
before being subject to revision.
SEC. 303. ELIGIBLE OFFSET PROJECT TYPES.
(a) In General.--An offset allowance from an agricultural,
forestry, or other land use-related project shall be provided
only for achieving an offset of 1 or more greenhouse gases by
a method other than a reduction of combustion of greenhouse
gas-emitting fuel.
(b) Categories of Eligible Offset Projects.--
(1) In general.--The Administrator, after providing public
notice and an opportunity for comment, shall issue and
periodically revise a list of categories of offset projects
for the Administrator shall issue an offset methodology.
(2) Categories.--The Administrator shall consider including
on the list under paragraph (1)--
(A) agricultural and rangeland sequestration and management
practices, including--
(i) altered tillage practices;
(ii) winter cover cropping, continuous cropping, and other
means to increase biomass returned to soil in lieu of
planting followed by fallowing;
(iii) conversion of cropland to rangeland or grassland, on
the condition that the land has been in nonforest use for at
least 10 years before the date of initiation of the project;
(iv) reduction of nitrogen fertilizer use or increase in
nitrogen use efficiency;
(v) reduction in the frequency and duration of flooding of
rice paddies; and
(vi) reduction in carbon emissions from organic soils;
(B) changes in carbon stocks attributed to land use change
and forestry activities limited to--
(i) afforestation or reforestation of acreage not forested
as of October 18, 2007; and
(ii) forest management resulting in an increase in forest
stand volume;
(C) manure management and disposal, including--
(i) waste aeration; and
(ii) methane capture and combustion;
[[Page S5059]]
(D) subject to the requirements of this subtitle, any other
terrestrial offset practices identified by the Administrator,
including--
(i) the capture or reduction of fugitive greenhouse gas
emissions for which no covered entity is required under
section 202(a) to submit any emission allowances, offset
allowances, or international allowances;
(ii) methane capture and combustion at nonagricultural
facilities; and
(iii) other actions that result in the avoidance or
reduction of greenhouse gas emissions in accordance with
section 302;
(E) combinations of any of the offset practices described
in subparagraphs (A) through (D); and
(F) any other category proposed to the Administrator by
petition.
(c) Requirements for Offset Methodologies.--
(1) Issuance.--Not later than 3 years after the date of
enactment of this Act, and after public notice and an
opportunity for comment, the Administrator shall issue a
methodology for each category of offset project listed
pursuant to subsection (b).
(2) Specific requirements.--The methodology for each
category issued under paragraph (1) shall--
(A) specify requirements for--
(i) determining the eligibility of an offset project;
(ii) determining additional emission reductions or
sequestrations from an offset project;
(iii) accounting for emission leakage associated with an
offset project;
(iv) accounting for a reversal, and managing for the risk
of reversal, from an offset project; and
(v) monitoring, verifying, and reporting the operation of
an offset project; and
(B) include--
(i) a procedure for determining that--
(I) an offset project does not receive support from an
allowance allocation under this Act or from any other
government incentive, subsidy, or mandate; and
(II) the emission reductions or sequestrations from an
offset project are not double-counted under any other
program;
(ii) a procedure for delineating the boundaries of an
offset project and determining the extent, if any, of
emission leakage from the offset project, based on
scientifically sound methods, as determined by the
Administrator;
(iii) a description of scientifically sound methods, as
determined by the Administrator, for use in monitoring,
measuring, and quantifying changes in emissions or
sequestrations resulting from an offset project, including--
(I) a method for use in quantifying the uncertainty in
those measurements; and
(II) a description of site-specific data that will be used
in that monitoring, measurement, and quantification;
(iv) a procedure for use in establishing the baseline for
an offset project that ensures that offset allowances will be
issued only for emission reductions or sequestrations that
are additional;
(v)(I) a threshold of uncertainty in the quantification of
emission reductions or sequestrations and for baseline
emission levels above which an offset project shall not be
eligible to receive offset allowances; and
(II) a procedure by which a project developer may petition
for use of different uncertainty factors if the project
developer demonstrates to the Administrator that the
measurement methods used by the offset project have less
uncertainty than assumed under the default methodology;
(vi) clear and objective tests specified by the
Administrator that are sufficient to ensure that--
(I) an offset project will be eligible to generate offset
allowances only if, in the judgment of the Administrator, the
project is additional;
(II) no part of the offset project is required by Federal
or State regulations or commonly accepted industry standards,
as determined by the Administrator;
(III) the offset project uses technologies or practices
that are not in common use within a relevant jurisdiction or
industry, as defined by the Administrator; and
(IV) the offset project would not take place in the absence
of the revenue generated by the sale of offset allowances;
(vii) a procedure to quantify leakage and ensure that the
issuance of offset allowances is reduced by an amount
equivalent to the quantity of that leakage;
(viii)(I) a methodology for use in assessing the risk that
a sequestration will be reversed;
(II) a description of measures that will be taken to reduce
that risk; and
(III) a description of procedures that will be followed to
measure, report, and compensate for any reversal that does
occur;
(ix) a procedure for use in--
(I) determining whether the quantity of carbon sequestered
on or in land where a project is carried out was
significantly changed during the 10-year period prior to
initiation of the project; and
(II) excluding the offset project from receiving allowances
under this subtitle, or adjusting the baseline of the offset
project accordingly; and
(x) a protocol for use in reporting emission reductions or
sequestrations (and any reversals) at least annually.
(3) Consultation.--In the case of an offset project
relating to agriculture or forestry, the Administrator shall
consult with the Secretary of Agriculture in carrying out
this subsection.
(4) Revision.--The Administrator shall revise each
methodology issued under paragraph (1), after public notice
and an opportunity for comment, at least every 5 years.
(5) Project conformity.--Beginning 1 year after the date by
which a methodology is required to be revised under paragraph
(4), no further offset allowances shall be issued to an
offset project approved under the methodology unless the
offset project is demonstrated to be in conformity with the
applicable revisions.
(d) Technologies.--
(1) In general.--The Administrator may issue, after notice
and comment, a list of technologies and associated
performance benchmarks the achievement of which the
Administrator has determined shall be considered to be
additional in specific project applications.
(2) Period of validity.--A determination of the
Administrator under paragraph (1) shall be valid for not more
than 5 years after the date of the determination.
(e) Methodology Testing.--The Administrator may not issue a
methodology under this section until the Administrator
determines that--
(1) the methodology has been tested by 3 independent expert
teams on at least 3 different offset projects to which that
methodology applies; and
(2) the emission reductions or sequestrations estimated by
the expert teams for the same offset project do not differ by
more than 10 percent.
SEC. 304. PROJECT INITIATION AND APPROVAL.
(a) Project Approval.--A project developer--
(1) may submit a petition for offset project approval at
any time following the effective date of regulations
promulgated under section 302; but
(2) may not use or distribute offset allowances until such
approval is received and until after the emission reductions
or sequestrations supporting the offset allowances have
actually occurred.
(b) Petition Process.--Prior to offset registration and
issuance of offset allowances, a project developer shall
submit to the Administrator a petition that consists of--
(1) a copy of the monitoring and quantification plan
prepared for the offset project, as described in subsection
(d);
(2) a greenhouse gas initiation certification, as described
in subsection (e); and
(3) subject to this subtitle, any other information
identified by the Administrator in the regulations
promulgated under section 302 as being necessary to meet the
objectives of this subtitle.
(c) Approval and Notification.--
(1) In general.--Not later than 180 days after the date on
which the Administrator receives a complete petition under
subsection (b), the Administrator shall--
(A) determine whether the monitoring and quantification
plan satisfies the applicable requirements of this subtitle;
(B) determine whether the greenhouse gas initiation
certification indicates a significant deviation in accordance
with subsection (e)(3); and
(C) notify the project developer of the determinations
under subparagraphs (A) and (B).
(2) Appeal.--The Administrator shall establish mechanisms
for appeal and review of determinations made under this
subsection.
(d) Monitoring and Quantification.--
(1) In general.--A project developer shall make use of the
standardized tools and methods described in this section to
monitor, quantify, and discount reductions in greenhouse gas
emissions or increases in sequestration.
(2) Monitoring and quantification plan.--A monitoring and
quantification plan shall be used to monitor, quantify, and
discount reductions in greenhouse gas emissions or increases
in sequestration as described in this subsection.
(3) Plan completion and retention.--A monitoring and
quantification plan shall be--
(A) completed for all offset projects prior to offset
project initiation; and
(B) retained by the project developer for the duration of
the offset project.
(4) Plan requirements.--Subject to section 302, the
Administrator, in conjunction with the Secretary of
Agriculture, shall specify the required components of a
monitoring and quantification plan, including--
(A) a description of the offset project, including project
type;
(B) a determination of accounting periods;
(C) an assignment of reporting responsibility;
(D) the contents and timing of public reports, including
summaries of the original data, as well as the results of any
analyses;
(E) a delineation of project boundaries, based on
acceptable methods and formats;
(F) a description of which of the monitoring and
quantification tools developed under subsection (f) are to be
used to monitor and quantify changes in greenhouse gas fluxes
or carbon stocks associated with a project;
(G) a description of which of the standardized methods
developed under subsection (g) are to be used to determine
additionality, estimate the baseline carbon, and discount for
leakage;
(H) based on the selection of tools and standardized
methods described in subparagraphs (F) and (G), a
determination of uncertainty in accordance with subsection
(h);
[[Page S5060]]
(I) what site-specific data, if any, will be used in
monitoring, quantification, and the determination of
discounts;
(J) a description of procedures for use in managing and
storing data, including quality-control standards and
methods, such as redundancy in case records are lost;
(K) subject to the requirements of this subtitle, any other
information identified by the Administrator or the Secretary
of Agriculture as being necessary to meet the objectives of
this subtitle; and
(L) a description of the risk of reversals for the project,
including any way in which the proposed project may alter the
risk of reversal for the project or other projects in the
area.
(e) Greenhouse Gas Initiation Certification.--
(1) In general.--In reviewing a petition submitted under
subsection (b), the Administrator shall seek to exclude each
activity that undermines the integrity of the offset program
established under this subtitle, such as the conversion or
clearing of land, or marked change in management regime, in
anticipation of offset project initiation.
(2) Greenhouse gas initiation certification requirements.--
A greenhouse gas initiation certification developed under
this subsection shall include--
(A) the estimated greenhouse gas flux or carbon stock for
the offset project for each of the 4 complete calendar years
preceding the effective date of the regulations promulgated
under section 302; and
(B) the estimated greenhouse gas flux or carbon stock for
the offset project, averaged across each of the 4 calendar
years preceding the effective date of the regulations
promulgated under section 302.
(3) Determination of significant deviation.--Based on
standards developed by the Administrator, in conjunction with
the Secretary of Agriculture--
(A) each greenhouse gas initiation certification submitted
pursuant to this section shall be reviewed; and
(B) a determination shall be made as to whether, as a
result of activities or behavior inconsistent with the
purposes of this title, a significant deviation exists
between the average annual greenhouse gas flux or carbon
stock and the greenhouse gas flux or carbon stock for a given
year.
(4) Adjustment for projects with significant deviation.--In
the case of a significant deviation, the Administrator shall
adjust the number of allowances awarded in order to account
for the deviation.
(f) Development of Monitoring and Quantification Tools for
Offset Projects.--
(1) In general.--Subject to section 302, the Administrator,
in conjunction with the Secretary of Agriculture, shall
develop standardized tools for use in the monitoring and
quantification of changes in greenhouse gas fluxes or carbon
stocks for each offset project type listed under section
303(b).
(2) Tool development.--The tools used to monitor and
quantify changes in greenhouse gas fluxes or carbon stocks
shall, for each project type, include applicable--
(A) statistically-sound field and remote sensing sampling
methods, procedures, techniques, protocols, or programs;
(B) models, factors, equations, or look-up tables; and
(C) any other process or tool considered to be acceptable
by the Administrator, in conjunction with the Secretary of
Agriculture.
(g) Development of Accounting and Discounting Methods.--
(1) In general.--The Administrator, in consultation with
the Secretary of Agriculture, shall--
(A) develop standardized methods for use in accounting for
additionality and uncertainty, estimating the baseline, and
discounting for leakage for each offset project type listed
under section 303(b); and
(B) require that leakage be subtracted from reductions in
greenhouse gas emissions or increases in sequestration
attributable to a project.
(2) Additionality determination and baseline estimation.--
The standardized methods used to determine additionality and
establish baselines shall, for each project type, at a
minimum--
(A) in the case of a sequestration project, determine the
greenhouse gas flux and carbon stock on comparable land
identified on the basis of--
(i) similarity in current management practices;
(ii) similarity of regional, State, or local policies or
programs; and
(iii) similarity in geographical and biophysical
characteristics;
(B) in the case of an emission reduction project, use as a
basis emissions from comparable land or facilities; and
(C) in the case of a sequestration project or emission
reduction project, specify a selected time period.
(3) Leakage.--The standardized methods used to determine
and discount for leakage shall, at a minimum, take into
consideration--
(A) the scope of the offset system in terms of activities
and geography covered;
(B) the markets relevant to the offset project;
(C) emission intensity per unit of production, both inside
and outside of the offset project; and
(D) a time period sufficient in length to yield a stable
leakage rate.
(h) Uncertainty for Agricultural and Forestry Projects.--
(1) In general.--The Administrator, in conjunction with the
Secretary of Agriculture, shall develop standardized methods
for use in determining and discounting for uncertainty for
each offset project type listed under section 303(b).
(2) Basis.--The standardized methods used to determine and
discount for uncertainty shall be based on--
(A) the robustness and rigor of the methods used by a
project developer to monitor and quantify changes in
greenhouse gas fluxes or carbon stocks;
(B) the robustness and rigor of methods used by a project
developer to determine additionality and leakage; and
(C) an exaggerated proportional discount that increases
relative to uncertainty, as determined by the Administrator,
in conjunction with the Secretary of Agriculture, to
encourage better measurement and accounting.
(i) Acquisition of New Data and Review of Methods for
Agricultural and Forestry Projects.--The Administrator, in
conjunction with the Secretary of Agriculture, shall--
(1) establish a comprehensive field sampling program to
improve the scientific bases on which the standardized tools
and methods developed under this section are based; and
(2) review and revise the standardized tools and methods
developed under this section, based on--
(A) validation of existing methods, protocols, procedures,
techniques, factors, equations, or models;
(B) development of new methods, protocols, procedures,
techniques, factors, equations, or models;
(C) increased availability of field data or other datasets;
and
(D) any other information identified by the Administrator,
in conjunction with the Secretary of Agriculture, that is
necessary to meet the objectives of this subtitle.
(j) Exclusion.--No activity for which any emission
allowances are received under subtitle C shall generate
offset allowances under this subtitle.
SEC. 305. OFFSET VERIFICATION AND ISSUANCE OF ALLOWANCES.
(a) In General.--Offset allowances may be claimed for net
emission reductions or increases in sequestration annually,
after accounting for any necessary discounts in accordance
with section 304, by submitting a verification report for an
offset project to the Administrator.
(b) Offset Verification.--
(1) Scope of verification.--A verification report for an
offset project shall be--
(A) completed by a verifier accredited in accordance with
paragraph (3); and
(B) developed taking into consideration--
(i) the information and methodology contained within a
monitoring and quantification plan;
(ii) data and subsequent analysis of the offset project,
including--
(I) quantification of net emission reductions or increases
in sequestration;
(II) determination of additionality;
(III) calculation of leakage;
(IV) assessment of permanence;
(V) discounting for uncertainty; and
(VI) the adjustment of net emission reductions or increases
in sequestration by the discounts determined under subclauses
(II) through (V); and
(iii) subject to the requirements of this subtitle, any
other information identified by the Administrator as being
necessary to achieve the purposes of this subtitle.
(2) Verification report requirements.--The Administrator
shall specify the required components of a verification
report, including--
(A) the quantity of offsets generated;
(B) the amount of discounts applied;
(C) an assessment of methods (and the appropriateness of
those methods);
(D) an assessment of quantitative errors or omissions (and
the effect of the errors or omissions on offsets);
(E) any potential conflicts of interest between a verifier
and project developer; and
(F) any other provision that the Administrator considers to
be necessary to achieve the purposes of this subtitle.
(3) Verifier accreditation.--
(A) In general.--The regulations promulgated pursuant to
section 302 shall establish a process and requirements for
accreditation by a third-party verifier that has no conflicts
of interest.
(B) Public accessibility.--Each verifier meeting the
requirements for accreditation in accordance with this
paragraph shall be listed in a publicly-accessible database,
which shall be maintained and updated by the Administrator.
(c) Registration and Awarding of Offsets.--
(1) In general.--Not later than 90 days after the date on
which the Administrator receives a verification report
required under subsection (b), the Administrator shall--
(A) determine whether the offsets satisfy the applicable
requirements of this subtitle; and
(B) notify the project developer of that determination.
(2) Affirmative determination.--In the case of an
affirmative determination under paragraph (1), the
Administrator shall--
(A) register the offset allowances in accordance with this
subtitle; and
(B) issue the offset allowances.
[[Page S5061]]
(3) Appeal and review.--The Administrator shall establish
mechanisms for the appeal and review of determinations made
under this subsection.
SEC. 306. TRACKING OF REVERSALS FOR SEQUESTRATION PROJECTS.
(a) Reversal Certification.--
(1) In general.--The regulations promulgated pursuant to
section 302 shall require the submission of a reversal
certification for each offset project on an annual basis
following the registration of offset allowances.
(2) Requirements.--A reversal certification submitted in
accordance with this subsection shall state--
(A) whether any unmitigated reversal relating to the offset
project has occurred in the year preceding the year in which
the certification is submitted; and
(B) the quantity of each unmitigated reversal.
(b) Effect on Offset Allowances.--
(1) Invalidity.--The Administrator shall declare invalid
all offset allowances issued for any offset project that has
undergone a complete reversal.
(2) Partial reversal.--In the case of an offset project
that has undergone a partial reversal, the Administrator
shall render invalid offset allowances issued for the offset
project in direct proportion to the degree of reversal.
(c) Accountability for Reversals.--Liability and
responsibility for compensation of a reversal of a registered
offset allowance under subsection (a) shall lie with the
owner of the offset allowance, as described in section 302.
(d) Compensation for Reversals.--The unmitigated reversal
of 1 or more registered offset allowances that were submitted
for the purpose of compliance with section 202(a) shall
require the submission of--
(1) an equal number of offset allowances; or
(2) a combination of offset allowances and emission
allowances equal to the unmitigated reversal.
(e) Project Termination.--A project developer may cease
participation in the domestic offset program established
under this subtitle at any time, on the condition that any
registered allowances awarded for increases in sequestration
have been compensated for by the project developer through
the submission of an equal number of any combination of
offset allowances and emission allowances.
SEC. 307. EXAMINATIONS.
(a) Regulations.--The regulations promulgated pursuant to
section 302 shall govern the examination and auditing of
offset allowances.
(b) Requirements.--The governing regulations described in
subsection (a) shall specifically consider--
(1) principles for initiating and conducting examinations;
(2) the type or scope of examinations, including--
(A) reporting and recordkeeping; and
(B) site review or visitation;
(3) the rights and privileges of an examined party; and
(4) the establishment of an appeal process.
SEC. 308. TIMING AND THE PROVISION OF OFFSET ALLOWANCES.
(a) Initiation of Offset Projects.--An offset project that
commences operation on or after the effective date of the
governing regulations described in section 307(a) shall be
eligible to generate offset allowances under this subtitle if
the offset project meets the other applicable requirements of
this subtitle.
(b) Pre-Existing Projects.--
(1) In general.--The Administrator shall allow for the
transition into the Registry of offset projects and banked
offset allowances that, as of the effective date of
regulations promulgated under section 307(a), are registered
under or meet the standards of the Climate Registry, the
California Action Registry, the GHG Registry, the Chicago
Climate Exchange, the GHG Clean Projects Registry, or any
other Federal, State, or private reporting programs or
registries, if the Administrator determines that such other
offset projects and banked offset allowances under those
other programs or registries satisfy the applicable
requirements of this subtitle.
(2) Exception.--An offset allowance that is expired,
retired, or canceled under any other offset program,
registry, or market as of the effective date of the governing
regulations described in section 307(a) shall be ineligible
for transition into the Registry.
SEC. 309. OFFSET REGISTRY.
In addition to the requirements established by section 304,
an offset allowance registered under this subtitle shall be
accompanied in the Registry by--
(1) a verification report submitted pursuant to section
305(a);
(2) a reversal certification submitted pursuant to section
306(a); and
(3) subject to the requirements of this subtitle, any other
information identified by the Administrator as being
necessary to achieve the purposes of this subtitle.
SEC. 310. ENVIRONMENTAL CONSIDERATIONS.
(1) Coordination to minimize negative effects.--In
promulgating regulations under this subtitle, the
Administrator, in conjunction with the Secretary of
Agriculture, shall act (including by rejecting projects, if
necessary) to avoid or minimize, to the maximum extent
practicable, adverse effects on human health or the
environment resulting from the implementation of offset
projects under this subtitle.
(2) Report on positive effects.--Not later than 2 years
after the date of enactment of this Act, the Administrator,
in conjunction with the Secretary of Agriculture, shall
submit to Congress a report detailing--
(A) the incentives, programs, or policies capable of
fostering improvements to human health or the environment in
conjunction with the implementation of offset projects under
this subtitle; and
(B) the cost and benefits of those incentives, programs, or
policies.
(3) Coordination to enhance environmental benefits.--In
promulgating regulations under this subtitle, the
Administrator, in conjunction with the Secretary of
Agriculture and the Secretary of Interior, shall--
(A) act to enhance and increase the adaptive capability of
natural systems and resilience of those systems to climate
change, including through the support of biodiversity, native
species, and land management practices that foster natural
ecosystem conditions; and
(B) coordinate actions taken under this paragraph, to the
maximum extent practicable, with existing programs that have
overlapping outcomes to maximize environmental benefits.
(4) Use of native plant species in compliance offset
projects.--Not later than 18 months after the date of
enactment of this Act, the Administrator, in conjunction with
the Secretary of Agriculture, shall promulgate regulations
for the selection, use, and storage of native and nonnative
plant materials--
(A) to ensure native plant materials are given primary
consideration, in accordance with applicable Department of
Agriculture guidance for use of native plant materials;
(B) to prohibit the use of Federal- or State-designated
noxious weeds; and
(C) to prohibit the use of a species listed by a regional
or State invasive plant council within the applicable region
or State.
SEC. 311. PROGRAM REVIEW.
Not later than 5 years after the date of enactment of this
Act, and periodically thereafter, the Administrator, in
conjunction with the Secretary of Agriculture, shall review
and revise, as necessary to achieve the purposes of this Act,
the regulations promulgated under this subtitle.
Subtitle B--Offsets and Emission Allowances From Other Countries
SEC. 321. OFFSET ALLOWANCES ORIGINATING FROM PROJECTS IN
OTHER COUNTRIES.
(a) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a system under which the
Administrator shall register and issue offset allowances for
projects that reduce greenhouse gas emissions or increase
sequestration of carbon dioxide in countries other than the
United States.
(b) Use.--
(1) In general.--Subject to paragraph (3), the quantity of
offset allowances issued pursuant to this section in a
calendar year shall not exceed 5 percent of the quantity of
emission allowances established for that year pursuant to
section 201(a).
(2) Use of international allowances.--
(A) In general.--If the quantity of offset allowances
issued in a calendar year pursuant to this section is less
than 5 percent of the quantity of emission allowances
established for that year pursuant to section 201(a), the
Administrator shall allow the use, by covered entities in
that year, of international allowances under section 322.
(B) Maximum quantity.--The maximum aggregate quantity of
international allowances the use of which use the
Administrator shall allow under subparagraph (A) shall be
equal to the difference between--
(i) 5 percent of the quantity of emission allowances
established for that year pursuant to section 201(a); and
(ii) the quantity of domestic offset allowances issued in
that year pursuant to this section.
(3) Carry-over.--
(A) In general.--If the sum of the quantity of offset
allowances issued in a calendar pursuant to this section and
the quantity of international allowances used in that
calendar year pursuant to paragraph (2) is less than 5
percent of the quantity of emission allowances established
for that year pursuant to section 201(a), notwithstanding
paragraph (1), the quantity of offset allowances issued
pursuant to this section in the subsequent calendar year
shall not exceed the sum of--
(i) 5 percent of the quantity of emission allowances
established for that subsequent calendar year pursuant to
section 201(a); and
(ii) the difference between--
(I) 5 percent of the quantity of emission allowances
established for that year pursuant to section 201(a); and
(II) the sum of the quantity of offset allowances issued in
the preceding calendar year pursuant to this section and the
quantity of international allowances used in that year
pursuant to paragraph (2).
(c) Requirements.--The regulations promulgated pursuant to
subsection (a) shall--
(1) take into consideration protocols adopted in accordance
with the United Nations Framework Convention on Climate
Change, done at New York on May 9, 1992; and
(2) require that, in order to be approved for use under
this subtitle--
(A) a project shall be determined by the Administrator to
meet the requirements under the regulations established
pursuant to subtitle A; and
[[Page S5062]]
(B) the emission allowance shall not be provided for a
project at facility that competes directly with a United
States facility.
(d) Entity Certification.--The owner or operator of a
covered entity that submits an offset allowance issued
pursuant to this section shall certify that the allowance has
not been retired from use in the registry of the applicable
foreign country.
SEC. 322. EMISSION ALLOWANCES FROM OTHER COUNTRIES.
(a) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations, taking into consideration protocols adopted in
accordance with the United Nations Framework Convention on
Climate Change, done at New York on May 9, 1992, approving
the use in the United States of emission allowances issued by
countries other than the United States.
(b) Requirements.--The regulations promulgated pursuant to
subsection (a) shall require that, in order to be approved
for use in the United States--
(1) an emission allowance shall have been issued by a
foreign country pursuant to a governmental program that
imposes mandatory absolute tonnage limits on greenhouse gas
emissions from the foreign country, or 1 or more industry
sectors in that country, pursuant to protocols described in
subsection (a); and
(2) the governmental program be of comparable stringency to
the program established by this Act, including comparable
monitoring, compliance, and enforcement.
(c) Facility Certification.--The owner or operator of a
covered entity that submits an international allowance under
this subtitle shall certify that the allowance has not been
retired from use in the registry of the applicable foreign
country.
Subtitle C--Agriculture and Forestry Program in the United States
SEC. 331. ALLOCATION.
(a) First Period.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2030, the
Administrator shall allocate to the Secretary of Agriculture,
for the program established pursuant to section 332, 4.25
percent of the emission allowances established pursuant to
section 201(a) for that calendar year.
(b) Second Period.--Not later than 330 days before the
beginning of each of calendar years 2031 through 2050, the
Administrator shall allocate to the Secretary of Agriculture,
for the program established pursuant to section 332, 4.5
percent of the emission allowances established pursuant to
section 201(a) for that calendar year.
SEC. 332. AGRICULTURE AND FORESTRY PROGRAM.
(a) In General.--Not later than 2 years after the date of
enactment of this Act, the Secretary of Agriculture shall
promulgate regulations establishing a program for
distributing emission allowances allocated pursuant to
section 331 to entities in the agricultural and forestry
sectors of the United States, including entities engaged in
organic farming, as a reward for--
(1) achieving real, verifiable, additional, permanent, and
enforceable reductions in greenhouse gas emissions from the
operations of the entities;
(2) achieving real, verifiable, additional, permanent, and
enforceable increases in greenhouse gas sequestration on land
owned or managed by the entities; and
(3) conducting pilot projects or other research regarding
innovative practices for use in measuring--
(A) greenhouse gas emission reductions;
(B) sequestration; or
(C) other benefits and associated costs of the pilot
projects.
(b) Nitrous Oxide and Methane.--The Secretary of
Agriculture shall ensure that, during any 5-year period, the
average annual percentage of the quantity of emission
allowances established for a calendar year that is
distributed to entities under the program established under
subsection (a) specifically for achieving real, verifiable,
additional, permanent, and enforceable reductions in nitrous
oxide emissions through soil management or achieving real,
verifiable, additional, permanent, and enforceable reductions
in methane emissions through enteric fermentation and manure
management shall be 0.5 percent.
(c) New Methodology Incubator.--
(1) In general.--The Secretary of Agriculture shall ensure
that, during any 5-year period, the average annual percentage
of the quantity of emission allowances established for a
calendar year that is distributed to entities under the
program established under paragraph (2) specifically for
creating methodologies, tools, and support for the
development and deployment of new project types shall be at
least 0.25 percent.
(2) Support for innovation.--
(A) Acquisition of new data, improvement of methodologies,
and development of new tools for designated offset activity
categories.--The Administrator, in conjunction with the
Secretary of Agriculture, shall establish a comprehensive
field sampling and pilot project program to improve the
scientific data and calibration of standardized tools and
methodologies that--
(i) are used to measure greenhouse gas reductions or
sequestration and baselines for categories of activities not
covered by an emission limitation under this Act; and
(ii) are likely to provide significant emission reductions
or sequestration.
(B) Targeted support for development and deployment of new
technologies.--
(i) In general.--The Administrator shall establish a
program for development and deployment of new technologies
and methods in greenhouse gas reductions or sequestration for
activities not covered by an emission limitation under this
Act.
(ii) Selection; funding.--In carrying out the program under
clause (i), the Administrator shall--
(I) select activities for participation in the program
based on--
(aa) the potential emission reductions or sequestration of
the activities; and
(bb) a market penetration review; and
(II) provide funding for a select number of projects--
(aa) to cover research on technological and other barriers,
prototypes, first-of-the-kind risk coverage, and initial
market barriers; and
(bb) under limited categories of activities that are
dependent on forward progress.
(d) Requirement.--The Secretary of Agriculture shall
distribute emission allowances under this section in a manner
that--
(1) maximizes the avoidance or reduction of greenhouse gas
emissions; and
(2) ensures that entities participating in the program
under this section do not receive more compensation for
emission reductions under this program than the entities
would receive for the same reductions through an offset
project under subtitle A.
(e) Prohibition.--Emission reductions or sequestration
increases generating offset allowances pursuant to subtitle A
shall not be used the basis for a distribution of emission
allowances under this section.
SEC. 333. AGRICULTURAL AND FORESTRY GREENHOUSE GAS MANAGEMENT
RESEARCH.
(a) Report.--Not later than 1 year after the date of
enactment of this Act, the Secretary of Agriculture, in
consultation with the Administrator and scientific,
agricultural, and forestry experts, shall prepare and submit
to Congress a report that describes the status of research on
agricultural and forestry greenhouse gas management,
including a description of--
(1) research on soil carbon sequestration and other
agricultural and forestry greenhouse gas management that has
been carried out;
(2) any additional research that is necessary, including
research into innovative practices to attempt to measure--
(A) greenhouse gas emission reductions;
(B) sequestration; or
(C) other benefits or associated costs;
(3) the proposed priority for additional research;
(4) the most appropriate approaches for conducting the
additional research; and
(5) the extent to which and the manner in which allowances
that are specific to agricultural and forestry operations,
including harvested wood products and the reduction of
hazardous fuels to reduce the risk of uncharacteristically
severe wildfires, should be valued and allotted.
(b) Research.--After the date of submission of the report
described in subsection (a), the President and the Secretary
of Agriculture (in collaboration with the Administrator and
the member institutions of higher education of the Consortium
for Agricultural Soil Mitigation of Greenhouse Gases,
institutions of higher education, and research entities)
shall initiate a program to conduct any additional research
that is necessary.
TITLE IV--ESTABLISHING A GREENHOUSE GAS EMISSION ALLOWANCE TRADING
MARKET
Subtitle A--Trading
SEC. 401. SALE, EXCHANGE, AND RETIREMENT OF ALLOWANCES.
Except as otherwise provided in this Act, and subject to
the regulations promulgated pursuant to subtitle B, the
lawful holder of an allowance may, without restriction--
(1) sell, exchange, or transfer the allowance; or
(2) submit the allowance for compliance in accordance with
section 202.
SEC. 402. NO RESTRICTION ON TRANSACTIONS.
The privilege of purchasing, holding, selling, exchanging,
and retiring allowances shall not be restricted to the owners
and operators of covered entities.
SEC. 403. ALLOWANCE TRANSFER AND TRACKING SYSTEM.
(a) In General.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a system for issuing, recording,
transferring, and tracking allowances.
(b) Requirements.--The regulations promulgated pursuant to
subsection (a) shall--
(1) specify all necessary procedures and requirements for
an orderly and competitive functioning of the allowance
trading system; and
(2) provide that the transfer of allowances shall not be
effective until such date as a written certification of the
transfer, signed by a responsible official of each party to
the transfer, is received and recorded by the Administrator
in accordance with the regulations promulgated pursuant to
subsection (a).
Subtitle B--Market Oversight and Enforcement
SEC. 411. FINDING.
Congress finds that it is necessary to establish an
interagency working group to enhance the integrity,
efficiency, orderliness, fairness, and competitiveness of the
development by the United States of a new financial market
for emission allowances, including by ensuring that--
[[Page S5063]]
(1) the market--
(A) is designed to prevent fraud and manipulation, which
could potentially arise from many sources, including--
(i) the concentration of market power within the control of
a limited number of individuals or entities; and
(ii) the abuse of material, nonpublic information; and
(B)(i) is appropriately transparent, with real-time
reporting of quotes and trades;
(ii) makes information on price, volume, and supply, and
other important statistical information, available to the
public on fair, reasonable, and nondiscriminatory terms;
(iii) is subject to appropriate recordkeeping and reporting
requirements regarding transactions; and
(iv) has the confidence of investors;
(2) the market--
(A) functions smoothly and efficiently, generating prices
that accurately reflect supply and demand for emission
allowances; and
(B) promotes just and equitable principles of trade;
(3) the need of market participants and regulators for
transparency is balanced against legitimate business concerns
regarding the release of confidential, proprietary
information;
(4) the market is subject to effective and comprehensive
oversight and integrates strong enforcement mechanisms,
including mechanisms for cooperation with other national and
international oversight regimes;
(5) an appropriate interagency forum exists--
(A) for ongoing assessment of emerging regulatory matters
and information-sharing; and
(B) to ensure regulatory coordination of the market;
(6) the market establishes an equitable system for best
execution of customer orders; and
(7) the market protects investors and the public interest.
SEC. 412. CARBON MARKET OVERSIGHT AND REGULATION.
(a) Delegation of Authority by President.--The President,
taking into consideration the recommendations of the Working
Group established by subsection (b), shall delegate to
members of the Working Group and the heads of other
appropriate Federal entities the authority to promulgate
regulations to enhance the integrity, efficiency,
orderliness, fairness, and competitiveness of the development
by the United States of a new financial market for emission
allowances, based on the following core principles:
(1) The market shall--
(A) be designed to prevent fraud and manipulation relating
to the trading of emission allowances and related markets,
which could potentially arise from many sources, including--
(i) the concentration of market power within the control of
a limited number of individuals or entities; and
(ii) the abuse of material, nonpublic information;
(B)(i) be appropriately transparent, with real-time
reporting of quotes and trades; and
(ii) make information on price, volume, and supply, and
other important statistical information available to the
public on fair, reasonable, and nondiscriminatory terms;
(C) be subject to appropriate recordkeeping and reporting
requirements regarding transactions; and
(D) have the confidence of investors.
(2) The market shall--
(A) function smoothly and efficiently, generating prices
that accurately reflect supply and demand for emission
allowances;
(B) be designed to prevent excessive speculation that could
cause sudden or unreasonable fluctuations or unwarranted
changes in the price of emission allowances; and
(C) promote just and equitable principles of trade.
(3) The need of market participants and regulators for
transparency shall be balanced against legitimate business
concerns concerning the release of confidential, proprietary
information.
(4) The market shall be subject to effective and
comprehensive oversight, which integrates strong enforcement
mechanisms, including mechanisms for cooperation with other
national and international oversight regimes.
(5) There shall be an appropriate interagency forum--
(A) for ongoing assessment of emerging regulatory matters
and information sharing; and
(B) to ensure regulatory coordination of the market.
(6) The market shall establish an equitable system for best
execution of customer orders.
(7) The market shall protect investors and the public
interest.
(b) Establishment.--There is established an interagency
working group, to be known as the ``Carbon Markets Working
Group'' (referred to in this section as the ``Working
Group'').
(c) Membership.--The Working Group shall be composed of the
following members (or their designees):
(1) The Administrator, who shall serve as Chairperson of
the Working Group.
(2) The Secretary of the Treasury.
(3) The Chairman of the Securities and Exchange Commission.
(4) The Chairman of the Commodity Futures Trading
Commission.
(5) The Chairman of the Federal Energy Regulatory
Commission.
(6) Such other Executive branch officials as may be
appointed by the President.
(d) Duties.--
(1) Identification of issues and appropriate activities.--
(A) In general.--The Working Group shall identify--
(i) the major issues relating to the integrity, efficiency,
orderliness, fairness, and competitiveness of the development
by the United States of a new financial market for emission
allowances under the cap-and-trade system for emission
allowances established under this Act;
(ii) any relevant recommendations provided to the Working
Group by Federal, State, or local governments, organizations,
individuals, and entities; and
(iii) the activities, such as market regulation, policy
coordination, and contingency planning, that are appropriate
to carry out those recommendations.
(B) Consultation.--In identifying appropriate activities
under subparagraph (A)(iii), the Working Group shall consult
with representatives of, as appropriate--
(i) various information exchanges and clearinghouses;
(ii) self-regulatory entities, securities exchanges,
transfer agents, and clearing entities;
(iii) participants in the emission allowance trading
market; and
(iv) other Federal entities, including--
(I) the Federal Reserve; and
(II) the Federal Trade Commission.
(2) Study.--The Working Group shall conduct a study of the
major issues relating to the regulation of the emission
allowance trading market and other carbon markets.
(3) Report.--Not later than 270 days after the date of
enactment of this Act, and annually thereafter, the Working
Group shall submit to the President and Congress a report
describing--
(A) the progress made by the Working Group;
(B) recommendations of the Working Group regarding any
regulations proposed pursuant to subsection (a);
(C) recommendations for additional legislative action, if
necessary; and
(D) a timetable for the implementation of the new
regulations to ensure that the regulations take effect before
the effective date of regulations governing the emission
allowance trading system.
(4) Memoranda of understanding.--Not later than 270 days
after the date of enactment of this Act, the Administrator
shall enter into a memorandum of understanding with the head
of each appropriate Federal entity (including each
appropriate Federal entity represented by a member of the
Working Group, as applicable) relating to regulatory and
enforcement coordination, information sharing, and other
related matters to minimize duplicative or conflicting
regulatory efforts.
(5) Regulations.--Not later than 270 days after the date of
enactment of this Act, the heads of other appropriate Federal
entities to which the President has delegated regulatory
authority under subsection (a) shall promulgate regulations
in accordance with subsection (a).
(e) Authorities.--In promulgating and implementing
regulations pursuant to this section, the promulgating
Federal agencies shall have authorities equivalent to the
authorities of those agencies under existing law.
(f) Enforcement.--Regulations promulgated under this
section shall--
(1) be fully enforceable and subject to such fines and
penalties as are provided under the laws (including
regulations) administered by the Federal agency that
promulgated the regulations under this section; and
(2) for the purpose of enforcement, in accordance with
section 1722, be considered to have been promulgated pursuant
to this Act.
(g) Administration.--
(1) Information from federal agencies.--
(A) In general.--The Working Group may secure directly from
any Federal agency such information as the Working Group
considers necessary to carry out this section.
(B) Provision of information.--On request of the
Chairperson of the Working Group, the head of the agency
shall provide the information to the Working Group.
(2) Compensation of members.--A member of the Working Group
who is an officer or employee of the Federal Government shall
serve without compensation in addition to the compensation
received for the services of the member as an officer or
employee of the Federal Government.
(3) Administrator support.--To the extent permitted by law
and subject to the availability of appropriations, the
Administrator shall provide to the Working Group such
administrative and support services as are necessary to
assist the Working Group in carrying out the duties described
in subsection (d).
(h) Effect of Section.--Nothing in this section limits or
restricts any regulatory or enforcement authority of a
Federal entity as in effect on the date of enactment of this
Act.
(i) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.
Subtitle C--Carbon Market Efficiency Board
SEC. 421. ESTABLISHMENT.
There is established a board, to be known as the ``Carbon
Market Efficiency Board''.
[[Page S5064]]
SEC. 422. COMPOSITION AND ADMINISTRATION.
(a) Membership.--
(1) Composition.--The Board shall be composed of--
(A) 7 members who are citizens of the United States, to be
appointed by the President, by and with the advice and
consent of the Senate; and
(B) an advisor who is a scientist with expertise in climate
change and the effects of climate change on the environment,
to be appointed by the President, by and with the advice and
consent of the Senate.
(2) Requirements.--In appointing members of the Board under
paragraph (1), the President shall--
(A) ensure fair representation of the financial,
agricultural, industrial, and commercial sectors, and the
geographical regions, of the United States, and include a
representative of consumer interests;
(B) appoint not more than 1 member from each such
geographical region; and
(C) ensure that not more than 4 members of the Board
serving at any time are affiliated with the same political
party.
(3) Compensation.--
(A) In general.--A member of the Board shall be compensated
at a rate equal to the daily equivalent of the annual rate of
basic pay prescribed for level II of the Executive Schedule
under section 5313 of title 5, United States Code, for each
day (including travel time) during which the member is
engaged in the performance of the duties of the Board.
(B) Chairperson.--The Chairperson of the Board shall be
compensated at a rate equal to the daily equivalent of the
annual rate of basic pay prescribed for level I of the
Executive Schedule under section 5312 of title 5, United
States Code, for each day (including travel time) during
which the member is engaged in the performance of the duties
of the Board.
(4) Prohibitions.--
(A) Conflicts of interest.--An individual employed by, or
holding any official relationship (including any shareholder)
with, any entity engaged in the generation, transmission,
distribution, or sale of energy, an individual who has any
pecuniary interest in the generation, transmission,
distribution, or sale of energy, or an individual who has a
pecuniary interest in the implementation of this Act, shall
not be appointed to the Board under this subsection.
(B) No other employment.--A member of the Board shall not
hold any other employment during the term of service of the
member.
(b) Term; Vacancies.--
(1) Term.--
(A) In general.--The term of a member of the Board shall be
14 years, except that the members first appointed to the
Board shall be appointed for terms in a manner that ensures
that--
(i) the term of not more than 1 member shall expire during
any 2-year period; and
(ii) no member serves a term of more than 14 years.
(B) Oath of office.--A member shall take the oath of office
of the Board by not later than 15 days after the date on
which the member is appointed under subsection (a)(1).
(C) Removal.--
(i) In general.--A member may be removed from the Board on
determination of the President for cause.
(ii) Notification.--Not later than 30 days before removing
a member from the Board for cause under clause (i), the
President shall provide to Congress an advance notification
of the determination by the President to remove the member.
(2) Vacancies.--
(A) In general.--A vacancy on the Board--
(i) shall not affect the powers of the Board; and
(ii) shall be filled in the same manner as the original
appointment was made.
(B) Service until new appointment.--A member of the Board
the term of whom has expired or otherwise been terminated
shall continue to serve until the date on which a replacement
is appointed under subparagraph (A)(ii), if the President
determines that service to be appropriate.
(c) Chairperson and Vice Chairperson.--Of members of the
Board, the President shall appoint--
(1) 1 member to serve as Chairperson of the Board for a
term of 4 years; and
(2) 1 member to serve as Vice-Chairperson of the Board for
a term of 4 years.
(d) Meetings.--
(1) Initial meeting.--The Board shall hold the initial
meeting of the Board as soon as practicable after the date on
which all members have been appointed to the Board under
subsection (a)(1).
(2) Presiding officer.--A meeting of the Board shall be
presided over by--
(A) the Chairperson;
(B) in any case in which the Chairperson is absent, the
Vice-Chairperson; or
(C) in any case in which the Chairperson and Vice-
Chairperson are absent, a chairperson pro tempore, to be
elected by the members of the Board.
(3) Quorum.--Four members of the Board shall constitute a
quorum for a meeting of the Board.
(4) Open meetings.--The Board shall be subject to section
552b of title 5, United States Code (commonly known as the
``Government in the Sunshine Act'').
(e) Records.--The Board shall be subject to section 552 of
title 5, United States Code (commonly known as the ``Freedom
of Information Act'').
(f) Review by Government Accountability Office.--Not later
than January 1, 2013, and annually thereafter, the
Comptroller General of the United States shall conduct a
review of the efficacy of the Board in fulfilling the
purposes and duties of the Board under this subtitle.
SEC. 423. DUTIES.
The Board shall--
(1) gather such information as the Board determines to be
appropriate regarding the status of the allowance market
established pursuant to this Act, including information
relating to--
(A) allowance allocation and availability;
(B) the price of allowances;
(C) macro- and micro-economic effects of unexpected
significant increases and decreases in allowance prices, or
shifts in the allowance market, should those increases,
decreases, or shifts occur;
(D) the success of the market in promoting achievement of
the purposes of this Act;
(E) economic effect thresholds that could warrant
implementation of 1 or more cost relief measures described in
section 521(a);
(F) in the event any cost relief measure described in
section 521(a) is implemented, the effects of the measure on
the market; and
(G) the minimum levels of cost relief measures that are
necessary to achieve avoidance of economic harm and ensure
achievement of the purposes of this Act;
(2) employ cost relief measures in accordance with section
521; and
(3) submit to the President and the Congress, and publish
on the Internet, quarterly reports--
(A) describing--
(i) the status of the allowance market established under
this Act;
(ii) regional, industrial, and consumer responses to the
market and the economic costs and benefits of the market;
(iii) where practicable, investment responses to the
market;
(iv) any corrective measures that Congress should take to
relieve excessive net costs of the market; and
(v) plans to compensate for any such measures, to ensure
that the long-term emissions reduction goals of this Act are
achieved;
(B) that are timely and succinct, to ensure regular
monitoring of market trends; and
(C) that are prepared independently by the Board.
Subtitle D--Climate Change Technology Board
SEC. 431. ESTABLISHMENT.
There is established, as an agency of the Federal
Government, the Climate Change Technology Board.
SEC. 432. PURPOSE.
The purpose of the board established by section 431 is to
advance the purposes of this Act by using the funds made
available to the board under titles VIII through XI to
accelerate the commercialization and diffusion of low- and
zero-carbon technologies and practices.
SEC. 433. INDEPENDENCE.
The board established by section 431 shall have the
authority to distribute funds made available to the board
under this Act.
SEC. 434. ADVANCE NOTIFICATION OF DISTRIBUTIONS OF FUNDS.
Not less than 60 days before distributing any funds made
available under this Act to the board established by section
431, the board shall--
(1) publish in the Federal Register a detailed notification
of the distribution; and
(2) provide a detailed notification of the distribution
to--
(A) the President;
(B) in the Senate--
(i) the Committee on Appropriations;
(ii) the Committee on Banking, Housing, and Urban Affairs;
(iii) the Committee on Budget;
(iv) the Committee on Commerce, Science, and
Transportation;
(v) the Committee on Energy and Natural Resources;
(vi) the Committee on Environment and Public Works;
(vii) the Committee on Finance;
(viii) the Committee on Homeland Security and Governmental
Affairs; and
(ix) the Committee on Small Business and Entrepreneurship;
(C) in the House of Representatives--
(i) the Committee on Appropriations;
(ii) the Committee on Budget;
(iii) the Committee on Energy and Commerce;
(iv) the Committee on Natural Resources;
(v) the Committee on Oversight and Government Reform;
(vi) the Committee on Science and Technology;
(vii) the Committee on Small Business;
(viii) the Committee on Transportation and Infrastructure;
(ix) the Committee on Ways and Means; and
(x) the Select Committee on Energy Independence and Global
Warming; and
(D) the Joint Economic Committee and Joint Committee on
Taxation of Congress.
SEC. 435. CONGRESSIONAL OVERSIGHT OF BOARD EXPENDITURES.
(a) Disapproval.--An obligation of funds for which a
notification is submitted under section 434 shall not occur
if Congress enacts legislation disapproving the obligation of
funds by not later than 30 days after the date of receipt of
the notification.
(b) Reports.--Not later than 90 days after the end of each
of calendar years 2012
[[Page S5065]]
through 2050, the board established by section 431 shall
submit to each committee of Congress identified in section
434 a report describing, with respect to that calendar year--
(1) the actual amounts obligated during that year;
(2) the purposes for which the amounts were obligated; and
(3) the balance, if any, of the amounts that--
(A) were obligated during that year; but
(B) remain unexpended as of the date of submission of the
report.
SEC. 436. REQUIREMENTS.
(a) Composition.--The board established by section 431
shall be composed of 5 directors who are citizens of the
United States, of whom 1 shall be elected annually by the
board to serve as Chairperson.
(b) Political Affiliation.--Not more than 3 directors
serving on the board at any time may be affiliated with the
same political party.
(c) Appointment and Term.--Each director shall be appointed
by the President, by and with the advice and consent of the
Senate, for a term of 5 years.
(d) Quorum.--Three directors shall constitute a quorum for
a meeting of the board.
(e) Prohibitions.--
(1) Conflicts of interest.--No individual employed by, or
holding any official relationship with (including as a
shareholder), any entity engaged in the sector in which
businesses receive distributions of funds by the board, and
no individual who has a pecuniary interest in the
implementation of this Act, shall be appointed director.
(2) No other employment.--A director shall not hold any
other employment during the term of service of the director.
(f) Vacancies.--
(1) In general.--A vacancy on the board--
(A) shall not affect the powers of the board, subject to
the condition that the board has a sufficient number of
directors to establish a quorum; and
(B) shall be filled in the same manner as the original
appointment was made.
(2) Service until new appointment.--A director whose term
has expired or who has been removed from the board shall
continue to serve until the date on which a replacement is
appointed, if the President determines that service to be
appropriate.
(g) Removal.--
(1) In general.--A director may be removed from the board
for cause, on determination of the President.
(2) Notification.--Not later than 30 days before removing a
director for cause under paragraph (1), the President shall
provide to the Congress an advance notification of the
determination by the President to remove the director.
SEC. 437. REVIEWS AND AUDITS BY COMPTROLLER GENERAL.
The Comptroller General of the United States shall conduct
periodic reviews and audits of the efficacy of the
distributions of funds made by the board established by
section 431.
Subtitle E--Auction on Consignment
SEC. 441. REGULATIONS.
Not later than 2 years after the date of enactment of this
Act, the Administrator shall promulgate regulations under
which the Administrator shall, at the request of a recipient
of a distribution of emission allowances under this Act--
(1) include those emission allowances among the quantity of
emission allowances sold by the Administrator at regular
auction under this Act; and
(2) transfer the proceeds of the sale of those allowances
to the recipient.
TITLE V--FEDERAL PROGRAM TO PREVENT ECONOMIC HARDSHIP
Subtitle A--Banking
SEC. 501. EFFECT OF TIME.
The passage of time shall not, by itself, cause an
allowance to be retired or otherwise diminish the compliance
value of the allowance.
Subtitle B--Borrowing
SEC. 511. REGULATIONS.
(a) In General.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations under which, subject to subsection (b), the owner
or operator of a covered entity may--
(1) borrow emission allowances from the Administrator; and
(2) for a calendar year, submit borrowed emission
allowances to the Administrator in satisfaction of up to 15
percent of the compliance obligation under section 202.
(b) Limitation.--An emission allowance borrowed under
subsection (a) shall be an emission allowance established by
the Administrator for a specific future calendar year
pursuant to section 201(a).
SEC. 512. TERM.
The owner or operator of a covered entity shall not submit,
and the Administrator shall not accept, a borrowed emission
allowance in partial satisfaction of the compliance
obligation under section 202 for any calendar year that is
more than 5 years earlier than the calendar year included in
the identification number of the borrowed emission allowance.
SEC. 513. REPAYMENT WITH INTEREST.
For each borrowed emission allowance submitted in partial
satisfaction of the compliance obligation under section 202
for a particular calendar year (referred to in this section
as the ``use year''), the quantity of emission allowances
that the owner or operator is required to submit under
section 202 for the year from which the borrowed emission
allowance was taken (referred to in this section as the
``source year'') shall be equal to 1.1 raised by an exponent
equal to the difference between the source year and the use
year expressed as a positive whole number.
Subtitle C--Emergency Off-Ramps
SEC. 521. EMERGENCY OFF-RAMPS TRIGGERED BY BOARD.
(a) Powers of Board.--The Board may carry out 1 or more of
the following cost relief measures to ensure functioning,
stable, and efficient markets for emission allowances:
(1) Increase the quantity of emission allowances that
covered entities may borrow from the Administrator.
(2) Expand the period during which a covered entity may
repay the Administrator for an emission allowance borrowed
under paragraph (1).
(3) Increase the quantity of emission allowances obtained
on a foreign greenhouse gas emission trading market that the
owner or operator of any covered entity may use to satisfy
the allowance submission requirement of the covered entity
under section 201, on the condition that the Administrator
has certified the market in accordance with the regulations
promulgated pursuant to section 322.
(4) Increase the quantity of offset allowances generated in
accordance with section 303 that the owner or operator of any
covered entity may use to satisfy the total allowance
submission requirement of the covered entity under section
201.
(b) Subsequent Actions.--On determination by the Board to
carry out a cost relief measure pursuant to subsection (a),
the Board shall--
(1) allow the cost relief measure to be used only during
the applicable allocation year;
(2) exercise the cost relief measure incrementally, and
only as needed to avoid significant economic harm during the
applicable allocation year;
(3) specify the terms of the relief to be achieved using
the cost relief measure;
(4) in accordance with section 423, submit to the President
and Congress a report describing the actions carried out by
the Board; and
(5) evaluate, at the end of the applicable allocation year,
actions that need to be carried out during subsequent years
to compensate for any cost relief measure carried out during
the applicable allocation year.
(c) Limitations.--Nothing in this section gives the Board
the authority--
(1) to consider or prescribe entity-level petitions for
relief from the costs of an emission allowance allocation or
trading program established under Federal law;
(2) to carry out any investigative or punitive process
under the jurisdiction of any Federal or State court;
(3) to interfere with, modify, or adjust any emission
allowance allocation scheme established under Federal law; or
(4) to modify the total quantity of emission allowances
issued under this Act for the period of calendar years 2012
through 2050.
SEC. 522. COST-CONTAINMENT AUCTIONS.
(a) In General.--In December of each of calendar years 2012
through 2027, the Administrator shall conduct a cost-
containment auction of emission allowances that shall be
separate from other auctions of emission allowances conducted
by the Administrator under this Act.
(b) Restriction to Covered Entities.--In any calendar year
referred to in subsection (a), only covered entities that
were required under section 202 to submit emission allowances
for the preceding calendar year shall be eligible to purchase
emission allowances at the cost-containment auction under
that subsection.
(c) Use of Emission Allowances Purchased at a Cost-
Containment Auction.--An emission allowance purchased at a
cost-containment auction shall--
(1) be submitted by the purchaser for compliance under
section 202 not later than 1 calendar year after the date of
purchase of the emission allowance; and
(2) otherwise be valid for compliance under that section
irrespective of the year for which the emission allowance was
established by the Administrator.
SEC. 523. COST-CONTAINMENT AUCTION PRICE.
(a) In General.--At each cost-containment auction, the
Administrator shall offer emission allowances for sale
beginning at a minimum price, which shall be known as the
``cost-containment auction price''.
(b) Cost-Containment Auction Price in 2012.--
(1) In general.--The cost-containment auction price for the
cost-containment auction that takes place in December 2012
shall be the price established under paragraph (2).
(2) Initial cost-containment auction price.--
(A) Presidential determination.--Not later than 2 years
after the date of enactment of this Act, the President shall
establish the cost-containment auction price for calendar
year 2012 from within the range specified in subparagraph
(B), the cost-containment auction price for calendar year
2012.
(B) Range.--The cost-containment auction price per emission
allowance for December 2012 shall be--
(i) not less than $22; and
(ii) not more than $30.
[[Page S5066]]
(C) Economic modeling.--The President shall establish the
cost-containment auction price under this paragraph based on
economic computer modeling relating to this Act conducted
by--
(i) the Administrator; and
(ii) the Administrator of the Energy Information
Administration.
(D) Public input.--The Administrator and the Administrator
of the Energy Information Administration shall provide public
notice of, and an opportunity to comment on, the computer
models, assumptions, and protocols planned to be used in
modeling relating to this Act under subparagraph (C).
(c) Cost-Containment Auction Price in Subsequent Years.--At
the cost-containment auction for each of calendar years 2013
through 2027, the cost-containment auction price per emission
allowance shall be equal to the product obtained by
multiplying--
(1) the cost-containment auction price that applied to the
cost-containment auction that was conducted during the
preceding calendar year; and
(2) the sum of--
(A) the annual rate of United States dollar inflation for
the calendar year (as measured by the Consumer Price Index);
and
(B) 1.05.
SEC. 524. REGULAR AUCTION RESERVE PRICE.
(a) In General.--At any regular auction, there shall be a
regular auction reserve price below which the Administrator
shall not sell any emission allowance.
(b) Regular Auction Reserve Price in 2012.--At any regular
auction that takes place during calendar year 2012, the
regular auction reserve price per emission allowance shall be
$10.
(c) Regular Auction Reserve Price in Subsequent Years.--For
each of calendar years 2013 through 2027, the regular auction
reserve price at any regular auction that takes place during
the calendar year shall be equal to the product obtained by
multiplying--
(1) the regular auction reserve price that applied to each
regular auction conducted during the preceding calendar year;
and
(2) the sum of--
(A) the annual rate of United States dollar inflation for
the calendar year (as measured by the Consumer Price Index);
and
(B) 1.05.
SEC. 525. POOL OF EMISSION ALLOWANCES FOR THE COST-
CONTAINMENT AUCTIONS.
(a) In General.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall establish a
cost-containment auction pool to reserve the emission
allowances that shall be offered for sale at the annual cost-
containment auctions.
(b) Filling the Cost-Containment Auction Pool.--
(1) In general.--Notwithstanding section 201(a), the
Administrator shall, not later than 2 years after the date of
enactment of this Act, reserve a total of 6,000,000,000 of
the emission allowances established for the period of
calendar years 2030 through 2050 pursuant to that section and
transfer the emission allowances to the cost-containment
auction pool.
(2) Graduated removal.--For each of calendar years 2031
through 2050, the quantity of emission allowances reserved
pursuant to paragraph (1) from the quantity established for
that year pursuant to section 201(a) shall be greater, by a
percentage that remains constant from calendar year to
calendar year, than the quantity reserved from the preceding
year.
(c) Supplementing the Cost-Containment Auction Pool.--The
Administrator shall transfer to the cost-containment auction
pool each emission allowance that was not sold at a regular
auction because of the operation of the regular auction
reserve price.
SEC. 526. LIMIT ON THE QUANTITY OF EMISSION ALLOWANCES SOLD
AT ANY COST-CONTAINMENT AUCTION.
(a) In General.--At each cost-containment auction, there
shall be a limit on the quantity of emission allowances that
the Administrator may sell at the auction.
(b) Cost-Containment Auction Limit in 2012.--At the cost-
containment auction that takes place during December 2012,
the cost-containment auction limit described in subsection
(a) shall be 450,000,000 emission allowances.
(c) Cost-Containment Auction Limit in Subsequent Years.--At
the cost-containment auction during each of calendar years
2013 through 2027, the cost-containment auction limit
described in subsection (a) shall be the product obtained by
multiplying--
(1) the cost-containment auction limit that applied to the
cost-containment auction that took place during the preceding
calendar year; and
(2) 0.99.
(d) Per-Entity Purchase Limit.--
(1) In general.--Subject to paragraph (2), the
Administrator shall, by regulation, establish for each cost-
containment auction a limitation on the number of emission
allowances that any single entity may purchase at the cost-
containment auction.
(2) Requirement.--A limitation under paragraph (1) shall be
established at a quantity that ensures fair access to
emission allowances by all covered entities that are eligible
to purchase emission allowances at the cost-containment
auction.
SEC. 527. USING THE PROCEEDS OF THE ANNUAL COST-CONTAINMENT
AUCTIONS.
(a) Achieving Additional Emission Reductions From Un-Capped
Sources.--
(1) In general.--The Administrator shall use 70 percent of
the proceeds from each cost-containment auction to achieve
additional greenhouse gas emission reductions from entities
that are not subject to the compliance obligation under
section 202.
(2) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations to implement this subsection.
(b) Providing Additional Relief to Energy Consumers.--The
Administrator shall deposit 30 percent of the proceeds from
each cost-containment auction in the Climate Change Consumer
Assistance Fund established by section 581.
SEC. 528. RETURNING EMISSION ALLOWANCES NOT SOLD AT THE
ANNUAL COST-CONTAINMENT AUCTIONS.
(a) Order of Sale of Emission Allowances in Cost-
Containment Auction Pool.--The Administrator shall not sell
at a cost-containment auction an emission allowance reserved
pursuant to section 525(b) from the quantity of emission
allowances established for a particular calendar year until
such time as the Administrator has sold all emission
allowances reserved from the quantity of emission allowances
established for earlier calendar years.
(b) Return of Unsold Emission Allowances in the Cost-
Containment Auction Pool.--Immediately prior to the cost-
containment auction during each of calendar years 2022
through 2027, the Administrator shall remove from the cost-
containment auction pool, and make subject again to
allocation or sale at regular auction in accordance with this
Act, each emission allowance that--
(1) has, by that time, remained in the cost-containment
auction pool for more than 9 years; and
(2) was established pursuant to section 201(a) for a
calendar year that is fewer than 10 years subsequent to the
calendar year during which the impending cost-containment
auction will occur.
SEC. 529. DISCONTINUING THE ANNUAL COST-CONTAINMENT AUCTIONS.
(a) In General.--Notwithstanding section 521(a), if the
cost-containment auction pool is exhausted at a cost-
containment auction, the Administrator shall conduct no
further cost-containment auctions.
(b) Retirement of Emission Allowances Not Sold at Regular
Auctions Occurring After Final Cost-Containment Auction.--
Immediately following any regular auction that occurs after
the Administrator has conducted a final cost-containment
auction, the Administrator shall retire any emission
allowances not sold at that regular auction because of the
operation of the regular auction reserve price.
Subtitle D--Transition Assistance for Workers
SEC. 531. ESTABLISHMENT.
There is established in the Treasury a fund, to be known as
the ``Climate Change Worker Training and Assistance Fund.''
SEC. 532. AUCTIONS.
(a) In General.--In accordance with subsections (b) and
(c), to raise funds for deposit in the Climate Change Worker
Training and Assistance Fund, for each of calendar years 2012
through 2050, the Administrator shall--
(1) auction a quantity of the emission allowances
established pursuant to section 201(a) for each calendar
year; and
(2) immediately upon receipt of the auction proceeds,
deposit the auction proceeds in the Climate Change Worker
Training and Assistance Fund.
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
(c) Quantities of Emission Allowances Auctioned.--For each
calendar year of the period described in subsection (a), the
Administrator shall auction a quantity of emission allowances
in accordance with the applicable percentages described in
the following table:
------------------------------------------------------------------------
Percentage for auction for
Climate Change Worker
Calendar Year Training and Assistance
Fund
------------------------------------------------------------------------
2012........................................ 1
2013........................................ 1
2014........................................ 1
2015........................................ 1
2016........................................ 1
2017........................................ 1
2018........................................ 2
2019........................................ 2
2020........................................ 2
2021........................................ 2
2022........................................ 2
2023........................................ 2
2024........................................ 2
2025........................................ 2
2026........................................ 2
2027........................................ 2
2028........................................ 3
2029........................................ 3
2030........................................ 3
2031........................................ 4
2032........................................ 4
[[Page S5067]]
2033........................................ 4
2034........................................ 4
2035........................................ 4
2036........................................ 4
2037........................................ 4
2038........................................ 4
2039........................................ 3
2040........................................ 3
2041........................................ 3
2042........................................ 3
2043........................................ 3
2044........................................ 3
2045........................................ 3
2046........................................ 3
2047........................................ 3
2048........................................ 3
2049........................................ 3
2050........................................ 3.
------------------------------------------------------------------------
SEC. 533. DEPOSITS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to section 532, immediately upon receipt
of those proceeds, in the Climate Change Worker Training and
Assistance Fund.
SEC. 534. USES.
(a) Energy Efficiency and Renewable Energy Worker Training
Program.--For each of calendar years 2012 through 2050, 30
percent of the funds deposited in the Climate Change Worker
Training and Assistance Fund for the preceding year under
section 533 shall be made available, without further
appropriation or fiscal year limitation, to carry out the
Energy Efficiency and Renewable Energy Worker Training
Program established by section 171(e) of the Workforce
Investment Act of 1998 (29 U.S.C. 2916(e)).
(b) Climate Change Worker Adjustment Program.--For each of
calendar years 2012 through 2050, 60 percent of the funds
deposited in the Climate Change Worker Training and
Assistance Fund for the preceding year under section 533
shall be made available, without further appropriation or
fiscal year limitation, to carry out the Climate Change
Worker Assistance Program established pursuant to section
535.
(c) Workforce Training and Safety.--For each of calendars
year 2012 through 2050, 10 percent of the funds deposited in
the Climate Change Worker Training and Assistance Fund for
the preceding year under section 533 shall be made available,
without further appropriation or fiscal year limitation, to
carry out section 536.
SEC. 535. CLIMATE CHANGE WORKER ASSISTANCE PROGRAM.
(a) Purpose.--The purpose of this section is to ensure that
any individual workers and groups of employees that are
adversely affected by Federal policy and climate change
legislation receive the benefits, skill training, retraining,
and job search assistance that will enable the workers and
groups to maintain self-sufficiency and obtain family-
sustaining jobs that contribute to overall economic
productivity, international competitiveness, and the positive
quality of life expected by all individuals in the United
States.
(b) Definitions.--In this section:
(1) Deputy assistant secretary.--The term ``Deputy
Assistant Secretary'' means the Deputy Assistant Secretary
for Climate Change Adjustment Assistance appointed under
subsection (e)(2).
(2) MASC.--The term ``MASC'' means the Multi-Agency
Steering Committee established under subsection (d)(1).
(3) Office.--The term ``Office'' means the Office of
Climate Change Adjustment Assistance established by
subsection (e).
(4) Program.--The term ``Program'' means the Climate Change
Worker Adjustment Assistance Program established under
regulations promulgated under subsection (c).
(5) Secretary.--The term ``Secretary'' means the Secretary
of Labor.
(c) Establishment.--Not later than 180 days after the date
of enactment of this Act, the Secretary, in consultation with
the Administrator, the Secretary of Energy, and the Secretary
of Commerce, shall promulgate regulations to establish a
Climate Change Worker Adjustment Assistance Program to
achieve the purpose of this section.
(d) Multi-Agency Steering Committee.--
(1) In general.--The Secretary shall establish a Multi-
Agency Steering Committee.
(2) Composition.--The MASC shall be--
(A) composed of representatives of the Secretary, the
Secretary of Commerce, and the Secretary of Energy; and
(B) chaired by the Administrator.
(3) Activities.--The MASC shall--
(A) not later than 60 days after the date of enactment of
this Act, negotiate and sign a memorandum of understanding
that affirms the commitment of relevant Federal agencies to
work cooperatively to carry out the activities of the
Program;
(B) not later than 120 days after the date of enactment of
this Act, establish a National Climate Change Advisory
Committee (referred to in this subsection as the ``Advisory
Committee''), which shall be composed of an equal number of
representatives, to be nominated by the Speaker of the House
of Representatives and the Majority Leader of the Senate, of
labor organizations (as defined in section 401.9 of title 29,
Code of Federal Regulations (as in effect on the date of
enactment of this Act)) and business organizations to advise
the MASC on--
(i) the strategic plan and the structure and operation of
the Program;
(ii) the content of applicable regulations; and
(iii) industry trends, workforce developments, and other
matters relating to the impact of Federal climate change
legislation;
(C)(i) not later than 120 days after the date of enactment
of this Act, hold planning meetings; and
(ii) not later than 270 days after the date of enactment of
this Act, formulate a comprehensive strategic plan for
addressing impacts of Federal climate change legislation on
each segment of the workforce;
(D) report the anticipated results of the strategic plan to
the Committee on Ways and Means of the House of
Representatives and the Committee on Finance of the Senate;
(E) submit to the President and Congress an annual report
on the performance, achievements, and challenges of the
Program; and
(F) meet as often as necessary, but not less often than
quarterly, in person--
(i) to monitor the administration of the Program; and
(ii) to ensure that the Program is being carried out by the
Office in a manner consistent with the purpose of the
Program.
(e) Office of Climate Change Adjustment Assistance.--
(1) Establishment.--There is established in the Department
of Labor an office to be known as the ``Office of Climate
Change Adjustment Assistance''.
(2) Head of office.--The head of the Office shall be the
Deputy Assistant Secretary for Climate Change Adjustment
Assistance, who shall be appointed by the President, by and
with the advice and consent of the Senate.
(3) Principal functions.--The principal functions of the
Deputy Assistant Secretary shall be--
(A) to oversee and implement the administration of the
Program; and
(B) to carry out functions delegated to and by the
Secretary under this section.
(f) Program Administration.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall promulgate
regulations for administration of the Program.
(2) Coordination.--The Secretary shall develop the
regulations in consultation with--
(A) the MASC;
(B) the Committee on Ways and Means of the House of
Representatives;
(C) the Committee on Education and Labor of the House of
Representatives;
(D) the Committee on Finance of the Senate; and
(E) the Committee on Health, Education, Labor, and Pensions
of the Senate.
(3) Inclusions.--The regulations shall include definitions
of and procedures for--
(A) the provision of comprehensive information to workers
about the benefit allowances, training, and other employment
services available under this section (including application
procedures, and the appropriate filing dates, for the
allowances, training, and services);
(B) the filing of petitions for certification of
eligibility for workers to apply for climate change
adjustment assistance, including mechanisms to ensure rapid
response to filed petitions;
(C) the establishment of eligibility requirements for
eligible climate change training and assistance benefits and
the terms of the disbursal of any assistance benefits;
(D) requests for a hearing by a petitioner, or any other
person or organization with a substantial interest in the
proceedings;
(E) an appeals process;
(F) termination of any certification eligibility;
(G) certification of eligibility requirements for a group
of workers, adversely affected secondary workers, and
industry-wide certification, including a mechanism by which
the Secretary will notify each Governor of a State in which
workers are located of the certification; and
(H) a means of ensuring publication of any determinations
in the Federal Register and on the website of the Department
of Labor.
(g) Program Benefits.--
(1) Definitions.--In this subsection:
(A) Base replacement wage amount.--The term ``base
replacement wage amount'' means, as determined by the case
manager of an applicant, the total weekly wages or salary of
the applicant at the most recent position held by the
applicant at a firm or public agency before the date on which
the position of the applicant was partially or totally
terminated by the firm or public agency.
(B) Climate change readjustment allowance.--The term
``climate change readjustment allowance'' means a regular
payment made to an applicant that, in combination with
unemployment insurance payments made to the applicant, is
equal to the base replacement wage amount.
(C) Health care benefit replacement amount.--The term
``health care benefit replacement amount'' means, as
determined by the case manager of an applicant who is
eligible to receive a climate change readjustment allowance,
a regular payment made to a health care provider to allow the
applicant to maintain health care benefits, for the applicant
and the family of the applicant, with no loss of service,
during the period for which the applicant is eligible to
receive the climate change readjustment allowance.
[[Page S5068]]
(2) Climate change adjustment assistance.--The Secretary
shall determine, in consultation with the MASC and the
National Climate Change Advisory Committee, the types of
climate change training and assistance benefits that should
be provided under the Program.
(3) Types of eligible assistance.--Benefits eligible to be
disbursed under the Program include a payment of--
(A) a climate change readjustment allowance; and
(B) a health care benefit replacement amount.
(4) Limitations on climate change readjustment
allowances.--An eligible worker may receive the benefits
described in subparagraphs (A) and (B) of paragraph (3) for a
duration of not longer than 3 years.
(5) Payments as a bridge to retirement.--A worker eligible
to receive climate change adjustment assistance may apply for
a lump sum payment to be paid to a retirement plan in order
to qualify for retirement under the rules and regulations of
that plan.
(6) Employment and case management services.--The Secretary
shall provide, through agreements with State employment
services agencies, to adversely affected workers covered by a
certification of eligibility for a climate change
readjustment allowance, the following employment and case
management information and services:
(A) Comprehensive and specialized assessment of skill
levels and service needs, including through--
(i) diagnostic testing and use of other assessment tools;
and
(ii) in-depth interviewing and evaluation to identify
employment barriers and appropriate employment goals.
(B) Development of an individual employment plan to
identify employment goals and objectives, and appropriate
training to achieve those goals and objectives.
(C) Information on--
(i) training available in local and regional areas;
(ii) individual counseling to determine which training is
most suitable; and
(iii) information on how to apply for that training.
(D) Information on how to apply for financial aid,
including--
(i) referring workers to educational opportunity centers
under section 402F of the Higher Education Act of 1965 (20
U.S.C. 1070a-16), where applicable; and
(ii) notifying workers that the workers may ask financial
aid administrators at institutions of higher education to
allow use of their current year income in the financial aid
process.
(E) Short-term provisional services, including development
of learning skills, communications skills, interviewing
skills, punctuality, personal maintenance skills, and
professional conduct to prepare individuals for employment or
training.
(F) Individual career counseling, including job search and
placement counseling, during the period in which the
individual is receiving climate change readjustment
allowances under this section, and for the purpose of job
placement after receiving that training.
(G) Provision of employment statistics information,
including the provision of accurate information relating to
local, regional, and national labor market areas, including--
(i) job vacancy listings in those labor market areas;
(ii) information on job skills necessary to obtain jobs
identified in job vacancy listings described in clause (i);
(iii) information relating to local occupations that are in
demand and earnings potential of those occupations; and
(iv) skill requirements for local occupations described in
clause (iii).
(H) Supportive services, including services relating to
child care, transportation, dependent care, housing
assistance, and need-related payments that are necessary to
enable an individual to participate in training.
(7) State administration of worker assistance.--A State
employment security agency, acting pursuant to an agreement
with the Secretary, shall carry out such administrative
activities (including using State agency personnel employed
in accordance with applicable standards for a merit system of
personnel administration) as are necessary for the proper and
efficient operation of the Program, including--
(A) making determinations of eligibility for, and payment
of, climate change readjustment allowances and health care
benefit replacement amounts;
(B) developing recommendations regarding use of those
payments as a bridge to retirement in accordance with this
subsection; and
(C) the provision of employment and case management
services to eligible workers as described in paragraph (6).
(h) Training.--
(1) In general.--Not later than 120 days after the date of
enactment of this Act, the Secretary shall establish
procedures for the allocation among States, for each fiscal
year, of funds available to pay the costs of training for
climate change adjustment assistance-eligible individuals
under this section.
(2) Inclusion in strategic plan.--The procedures
established under paragraph (1) shall be described in the
strategic plan described in subsection (d)(3)(C)(ii).
(3) Distribution.--In establishing and implementing the
procedures under paragraph (1), the Secretary shall--
(A) provide for at least 3 distributions of funds available
for training during a fiscal year; and
(B) during the first such distribution for a fiscal year,
disburse not more than 50 percent of the total amount of
funds available to a State for training for that fiscal year.
(4) Approval of training.--
(A) In general.--If the Secretary makes a determination
described in subparagraph (B), the Secretary shall approve
training described in that subparagraph for the worker.
(B) Determination.--The determination referred to in
subparagraph (A) is a determination that--
(i) a worker would benefit from appropriate training;
(ii) there is reasonable expectation of employment
following completion of the training;
(iii) training approved by the Secretary is reasonably
available to the worker from government agencies or a private
source;
(iv) the worker is qualified to undertake and complete the
training; and
(v) the training is suitable for the worker and available
at a reasonable cost.
(C) Payment.--A worker approved to receive training under
this paragraph shall be entitled to have payment of the costs
of the training (subject to applicable limitations under this
section) paid on behalf of the Secretary directly or through
a voucher system.
(5) Training programs.--The training programs for which a
worker may be approved under paragraph (4) include--
(A) employer-based training, including on-the-job training,
customized training, and skill upgrading for incumbent
workers;
(B) any training program provided by a State pursuant to
title I of the Workforce Investment Act of 1998 (29 U.S.C.
2801 et seq.);
(C) any training program provided by a workforce investment
board established under section 111 of that Act (29 U.S.C.
2821);
(D) any program of remedial education;
(E) skill development and training for jobs relating to
renewable energy, low- or zero-carbon technologies, energy
efficiency, and the remediation and cleanup of
environmentally distressed areas; and
(F) any other training program approved by the Secretary.
(6) Regulations.--The Secretary shall promulgate
regulations that establish criteria for use in carrying out
this subsection.
(7) Supplemental assistance.--The Secretary may, as
appropriate, authorize supplemental assistance that is
necessary to defray reasonable transportation and subsistence
expenses for separate maintenance in a case in which training
for a worker is provided in a facility that is not within
commuting distance of the regular place of residence of the
worker.
(8) Additional on-the-job training.--Under the Program, the
Secretary may provide funds to be used as job search
allowances and relocation allowances.
(9) Labor consultation.--If a labor organization represents
a substantial number of workers who are engaged in similar
work or training in a geographical area that is the same as
the geographical area that is proposed to be funded under
this section, the labor organization shall be provided an
opportunity to be consulted and to submit comments with
respect to the proposal.
(i) Consistency With Current Labor Laws.--The Secretary
shall determine which Federal worker protection,
nondiscrimination requirements, and labor standards apply to
the Program.
SEC. 536. WORKFORCE TRAINING AND SAFETY.
(a) Definition of Zero- and Low-Emitting Carbon Energy
Technology.--In this section, the term ``zero- and low-
emitting carbon energy technology'' means any technology that
has a rated capacity of at least 750 megawatts of power.
(b) Education Programs.--In order to enhance the
educational opportunities and safety of future generations of
scientists, engineers, heath physicists, and energy workforce
employees, funds made available under section 534(c) shall be
used for programs to assist institutions of education in the
United States--
(1) to remain at the forefront of science education and
research;
(2) to operate advanced energy research facilities and
carry out other related educational activities; and
(3) to conduct climate change science and policy education.
(c) Workforce Training.--
(1) In general.--The Secretary of Labor shall promulgate
regulations--
(A) to implement a program to provide workforce training to
meet the high demand for workers skilled in zero- and low-
emitting carbon energy technologies;
(B) to implement programs for--
(i) electrical craft certification;
(ii) career and technology awareness at the primary and
secondary education levels;
(iii) preapprenticeship career technical education for all
zero- and low-emitting carbon energy technologies relating to
industrial skilled crafts;
(iv) community college and skill center training for zero-
and low-emitting carbon energy technology technicians;
(v) training of construction management personnel for zero-
and low-carbon emitting carbon energy technology construction
projects; and
(vi) regional grants for integrated zero- and low-emitting
carbon energy technology workforce development programs; and
(C) to ensure the safety of workers in the fields described
in subparagraphs (A) and (B).
[[Page S5069]]
(2) Consultation.--In carrying out this subsection, the
Secretary of Labor shall consult with relevant Federal
agencies, representatives of the zero- and low-carbon
emitting technologies industries, and organized labor
regarding the skills and safety measures required in those
industries.
Subtitle E--Transition Assistance for Carbon-Intensive Manufacturers
SEC. 541. ALLOCATION.
(a) In General.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2030, the
Administrator shall allocate a percentage of the quantity of
emission allowances established pursuant to section 201(a)
for that calendar year for distribution among owners and
operators of carbon-intensive manufacturing facilities in the
United States.
(b) Quantities of Emission Allowances Allocated.--The
quantities of emission allowances allocated pursuant to
subsection (a) shall be the quantities represented by the
percentages in the following table:
------------------------------------------------------------------------
Percentage for distribution
among carbon-intensive
Calendar Year manufacturing facilities in
United States
------------------------------------------------------------------------
2012....................................... 11
2013....................................... 11
2014....................................... 11
2015....................................... 11
2016....................................... 11
2017....................................... 11
2018....................................... 11
2019....................................... 11
2020....................................... 11
2021....................................... 11
2022....................................... 10
2023....................................... 9
2024....................................... 7
2025....................................... 6
2026....................................... 5
2027....................................... 4
2028....................................... 3
2029....................................... 2
2030....................................... 1.
------------------------------------------------------------------------
SEC. 542. DISTRIBUTION.
(a) Definitions.--In this section:
(1) Currently operating facility.--The term ``currently
operating facility'' means an eligible manufacturing facility
that had significant operations during the calendar year
preceding the calendar year for which emission allowances are
distributed under this section.
(2) Eligible manufacturing facility.--
(A) In general.--The term ``eligible manufacturing
facility'' means a manufacturing facility located in the
United States that principally manufacturers iron, steel,
pulp, paper, cement, rubber, chemicals, glass, ceramics,
sulfur hexafluoride, or aluminum and other nonferrous metals.
(B) Exclusion.--The term ``eligible manufacturing
facility'' does not include a facility eligible to receive
emission allowances under subtitle F or H.
(3) Indirect carbon dioxide emissions.--The term ``indirect
carbon dioxide emissions'' means the product obtained by
multiplying (as determined by the Administrator)--
(A) the quantity of electricity consumption at an eligible
manufacturing facility; and
(B) the rate of carbon dioxide emission per kilowatt-hour
output for the region in which the manufacturer is located.
(4) New entrant manufacturing facility.--The term ``new
entrant manufacturing facility'', with respect to a calendar
year, means an eligible manufacturing facility that began
operation during or after the calendar year for which
emission allowances are being distributed under this section.
(b) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a system for distributing, for each
of calendar years 2012 through 2030, among owners and
operators of individual carbon-intensive manufacturing
facilities in the United States, the emission allowances
allocated for that year by section 541.
(c) Total Allocation for Currently Operating Facilities.--
As part of the system established under subsection (b), the
Administrator shall, for each calendar year, distribute 96
percent of the total quantity of emission allowances
available for allocation to owners and operators of carbon-
intensive manufacturing facilities under section 541 to
owners and operators currently operating those facilities.
(d) Total Allocation for Currently Operating Facilities in
Each Category of Manufacturing.--The regulations promulgated
under subsection (b) shall provide that the quantity of
emission allowances distributed by the Administrator for a
calendar year to facilities in each category of currently
operating facilities shall be equal to the product obtained
by multiplying--
(1) the total quantity of emission allowances available for
allocation under section 541; and
(2) the ratio that (during the calendar year preceding the
calendar year for which emission allowances are being
distributed under this section)--
(A) the sum of the average annual direct and indirect
carbon dioxide equivalent emissions during the 3-calendar-
year period immediately preceding the year of distribution
under this section by currently operating facilities in the
category; bears to
(B) the sum of the average annual direct and indirect
carbon dioxide equivalent emissions during the 3-calendar-
year period immediately preceding the year of distribution
under this section by all currently operating facilities.
(e) Individual Allocations to Currently Operating
Facilities.--The regulations promulgated under subsection (b)
shall provide that the quantity of emission allowances
distributed by the Administrator for a calendar year to the
owner or operator of a currently operating facility shall be
a quantity equal to the product obtained by multiplying--
(1) the total quantity of emission allowances available for
allocation to owners and operators of currently operating
facilities in the appropriate category, as determined under
subsection (c); and
(2) the proportion that, during the 3-calendar-year period
immediately preceding the calendar year for which emission
allowances are being distributed under this section--
(A) the sum of the average annual direct and indirect
carbon dioxide equivalent emissions during the 3-calendar-
year period immediately preceding the calendar year under
this section by the facility; bears to
(B) the sum of the average annual direct and indirect
carbon dioxide equivalent emissions during the 3-calendar-
year period immediately preceding the calendar year under
this section of all currently operating facilities in the
same category.
(f) Energy Intensity-Based Allocation.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall submit to
Congress a report containing an analysis of the feasibility
of distributing a portion or all of the emission allowances
distributed under this section to single facilities on an
energy-intensity basis.
(2) Regulations.--If the report under paragraph (1)
contains a determination by the Administrator that an energy
intensity-based distribution program would encourage
efficiency, and would not cause undue economic harm, the
Administrator, not later than 18 months after the date of
submission of the report, shall promulgate regulations
establishing a program to supplement or replace the emission
allowance allocations required under subsection (d) for any
industry category or subcategory that the Administrator
determines to be appropriately benchmarked.
(g) Individual Allocation to New Entrant Manufacturing
Facilities.--
(1) In general.--As part of the system established under
subsection (b), the Administrator shall, for each calendar
year, distribute 4 percent of the total quantity of emission
allowances available for allocation to owners and operators
of carbon-intensive manufacturing facilities under section
541 to those manufacturing facilities that are new entrant
manufacturing facilities.
(2) Individual allocation.--Subject to paragraph (3), the
quantity of emission allowances distributed by the
Administrator for a calendar year to the owner or operator of
a new entrant manufacturing facility shall equal the product
obtained by multiplying--
(A) the total quantity of emission allowances available for
allocation under paragraph (1); and
(B) the proportion that--
(i) the estimated direct and indirect carbon dioxide
equivalent emissions of the individual new entrant
manufacturing facility during the preceding calendar year;
bears to
(ii) the sum of the estimated direct and indirect carbon
dioxide equivalent emissions of all new entrant manufacturing
facilities during the preceding calendar year.
(3) Maximum allocation.--In no case may the quantity of
emission allowances allocated to a new entrant manufacturing
facility under this subsection exceed the quantity that would
have been allocated to the new entrant manufacturing facility
if the new entrant manufacturing facility had been a
currently operating facility during the preceding calendar
year.
(h) Facilities That Shut Down.--
(1) In general.--The system established pursuant to
subsection (b) shall ensure, notwithstanding any other
provision of this subtitle, that--
(A) emission allowances are not distributed to an owner or
operator of any facility that has been permanently shut down
at the time of distribution;
(B) the owner or operator of any facility that permanently
shuts down in a calendar year shall promptly return to the
Administrator any emission allowances that the Administrator
has distributed for that facility for any subsequent calendar
years; and
(C) if a facility receives a distribution of emission
allowances under this subtitle for a calendar year and
subsequently permanently shuts down during that calendar
year, the owner or operator of the facility shall promptly
return to the Administrator a number of emission allowances
equal to the number that the Administrator determines is the
portion that the owner or operator will no longer need to
submit for that facility under section 202.
(2) Exemption.--Subparagraphs (B) and (C) of paragraph (1)
shall not apply if an owner or operator of a facility
demonstrates to the Administrator that, not later than 2
years after the date on which the facility shut down, the
owner or operator will open a comparable new facility, or
increase the capacity of an existing facility by a comparable
capacity, within the United States.
[[Page S5070]]
(i) Petroleum Refiners.--The Administrator may include, in
the system established pursuant to subsection (b), provisions
for distributing not more than 10 percent of the emission
allowances allocated pursuant to section 541 for each
calendar year solely among owners and operators of entities
that manufacture in the United States petroleum-based liquid
or gaseous fuel, in recognition of the direct emission of
carbon dioxide by those entities in the manufacture of those
fuels.
Subtitle F--Transition Assistance for Fossil Fuel-Fired Electricity
Generators
SEC. 551. ALLOCATION.
(a) In General.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2030, the
Administrator shall allocate a percentage of the quantity of
emission allowances established pursuant to section 201(a)
for that calendar year for distribution among owners and
operators of fossil fuel-fired electricity generators in the
United States.
(b) Quantities of Emission Allowances Allocated.--The
quantities of emission allowances allocated pursuant to
subsection (a) shall be the quantities represented by the
percentages in the following table:
------------------------------------------------------------------------
Percentage for distribution among fossil
Calendar year fuel-fired electricity generators in
United States
------------------------------------------------------------------------
2012......................... 18
2013......................... 18
2014......................... 18
2015......................... 18
2016......................... 17.75
2017......................... 17.5
2018......................... 17.25
2019......................... 16.25
2020......................... 15
2021......................... 13.5
2022......................... 11.25
2023......................... 10.25
2024......................... 9
2025......................... 8.75
2026......................... 5.75
2027......................... 4.5
2028......................... 4.25
2029......................... 3
2030......................... 2.75.
------------------------------------------------------------------------
SEC. 552. DISTRIBUTION.
(a) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a system for distributing, for each
of calendar years 2012 through 2030, among owners and
operators of individual fossil fuel-fired electricity
generators in the United States, the emission allowances
allocated for that year by section 551.
(b) Calculation.--The regulations promulgated pursuant to
subsection (a) shall provide that the quantity of emission
allowances distributed to the owner or operator of an
individual fossil fuel-fired electricity generator for a
calendar year shall be equal to the product obtained by
multiplying--
(1) the quantity of emission allowances allocated pursuant
to section 551; and
(2) the quotient obtained by dividing--
(A) the average annual quantity of carbon dioxide
equivalents emitted by the fossil fuel-fired electricity
generator during the 3 calendar years preceding the date of
enactment of this Act; by
(B) the average annual quantity of carbon dioxide
equivalents emitted by all fossil fuel-fired electricity
generators during those 3 calendar years.
(c) Rural Electric Cooperatives.--
(1) In general.--The Administrator shall include, in the
regulations promulgated pursuant to subsection (a),
provisions for distributing solely among rural electric
cooperatives not more than 5 percent of the emission
allowances allocated pursuant to section 551 for each
calendar year.
(2) Pilot program.--
(A) In general.--In carrying out paragraph (1), the
Administrator shall establish a pilot program to distribute,
to rural electric cooperatives in the States described in
subparagraph (B), for each of calendar years 2012 through
2029, 15 percent of the total number of emission allowances
allocated for the calendar year to rural electric
cooperatives under section 551.
(B) Description of states.--The States referred to in
subparagraph (A) are--
(i) 1 State located east of the Mississippi River in which
13 rural electric cooperatives sold to consumers in that
State electricity in a quantity of 9,000,000 to 10,000,000
megawatt-hours, according to data of the Energy Information
Administration for calendar year 2005; and
(ii) 1 State located west of the Mississippi River in which
30 rural electric cooperatives sold to consumers in that
State electricity in a quantity of 3,000,000 to 4,000,000
megawatt-hours, according to data of the Energy Information
Administration for calendar year 2005.
(C) Limitation.--No rural electric cooperative that
receives emission allowances under this paragraph shall
receive any additional emission allowance under subtitle A or
the regulations promulgated under subsection (a).
(D) Report.--Not later than January 1, 2015, and every 3
years thereafter, the Administrator shall submit to Congress
a report describing the success of the pilot program
established under this paragraph, including a description
of--
(i) the benefits realized by ratepayers of the rural
electric cooperatives that receive allowances under the pilot
program; and
(ii) the use by those rural electric cooperatives of
advanced, low greenhouse gas-emitting electric generation
technologies, if any.
Subtitle G--Transition Assistance for Refiners of Petroleum-Based Fuel
SEC. 561. ALLOCATION.
(a) First Period.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2017, the
Administrator shall allocate 2 percent of the quantity of
emission allowances established pursuant to section 201(a)
for that calendar year for distribution among owners and
operators of entities that manufacture petroleum-based liquid
or gaseous fuel in the United States.
(b) Second Period.--Not later than 330 days before the
beginning of each of calendar years 2018 through 2030, the
Administrator shall allocate 1 percent of the emission
allowances established pursuant to section 201(a) for that
calendar year for distribution among owners and operators of
entities described in subsection (a).
SEC. 562. DISTRIBUTION.
(a) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a system for distributing, among
owners and operators of individual entities described in
section 561, for each calendar year identified in that
section, the emission allowances allocated for that year by
that section.
(b) Requirements.--The regulations promulgated pursuant to
subsection (a) shall--
(1) provide that the quantity of emission allowances
distributed to the owner or operator of an entity described
in section 561 for a calendar year identified in that section
shall be the product obtained by multiplying--
(A) the quantity of emission allowances allocated for that
year by section 561; by
(B) the quotient obtained by dividing--
(i) the annual average quantity of units of petroleum-based
liquid or gaseous fuel that the entity manufactured in the
United States during the 3 calendar years preceding the date
of distribution of emission allowances; by
(ii) the annual average quantity of petroleum-based liquid
or gaseous fuel that all entities described in section 561
manufactured in the United States during the 3 calendar years
preceding the date of distribution of emission allowances;
and
(2) notwithstanding paragraph (1), provide for appropriate
adjustments to reflect the effects of subsections (b)(2),
(c), and (h) of section 202.
Subtitle H--Transition Assistance for Natural-Gas Processors
SEC. 571. ALLOCATION.
Not later than 330 days before the beginning of each of
calendar years 2012 through 2030, the Administrator shall
allocate 0.75 percent of the quantity of emission allowances
established pursuant to section 201(a) for that calendar year
for distribution among owners and operators of--
(1) natural gas processing plants in the United States
(other than in the State of Alaska);
(2) entities that produce natural gas in the State of
Alaska or the Federal waters of the outer Continental Shelf
off the coast of that State; and
(3) entities that hold title to natural gas, including
liquefied natural gas, or natural-gas liquid at the time of
importation into the United States.
SEC. 572. DISTRIBUTION.
(a) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a system for distributing, among
owners and operators of individual entities described in
section 571, for each calendar year identified in that
section, the emission allowances allocated for that year by
that section.
(b) Requirements.--The regulations promulgated pursuant to
subsection (a) shall--
(1) provide that the quantity of emission allowances
distributed to the owner or operator of an entity described
in section 571 for a calendar year identified in that section
shall be the product obtained by multiplying--
(A) the quantity of emission allowances allocated for that
year by section 571; by
(B) the quotient obtained by dividing--
(i) the annual average quantity, during the 3 calendar
years preceding the date of distribution of emission
allowances, of units of--
(I) natural gas processed in the United States by the
entity (other than in the State of Alaska);
(II) natural gas produced in the State of Alaska or the
Federal waters of the outer Continental Shelf off the coast
of that State by the entity and not reinjected into the
field; and
(III) natural gas, including liquefied natural gas, and
natural-gas liquids to which the entity held title at the
time of importation into the United States; by
(ii) the annual average quantity, over the 3 calendar years
preceding the date of distribution of emission allowances, of
units of--
(I) natural gas processed in the United States by the
entities described in section 571 (other than in the State of
Alaska);
[[Page S5071]]
(II) natural gas produced in the State of Alaska or the
Federal waters of the outer Continental Shelf off the coast
of that State by the entities described in section 571 and
not reinjected into the field; and
(III) natural gas, including liquefied natural gas, and
natural-gas liquids to which the entities described in
section 571 held title at the time of importation into the
United States; and
(2) notwithstanding paragraph (1), provide for appropriate
adjustments to reflect the effects of subsections (b)(2) and
(c) of section 202.
Subtitle I--Federal Program for Energy Consumers
SEC. 581. ESTABLISHMENT.
There is established in the Treasury a fund, to be known as
the ``Climate Change Consumer Assistance Fund''.
SEC. 582. AUCTION.
(a) In General.--In accordance with subsections (b) and
(c), to raise funds for deposit in the Climate Change
Consumer Assistance Fund, for each of calendar years 2012
through 2050, the Administrator shall--
(1) auction a quantity of the emission allowances
established pursuant to section 201(a) for each calendar
year; and
(2) immediately upon receipt of the auction proceeds,
deposit the auction proceeds in the Climate Change Consumer
Assistance Fund.
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
(c) Quantities of Emission Allowances Auctioned.--For each
calendar year of the period described in subsection (a), the
Administrator shall auction a quantity of emission allowances
in accordance with the applicable percentages described in
the following table:
----------------------------------------------------------------------------------------------------------------
Percentage for auction for Climate Change Consumer Assistance
Calendar Year Fund
----------------------------------------------------------------------------------------------------------------
2012........................................... 3.5
2013........................................... 3.75
2014........................................... 3.75
2015........................................... 4
2016........................................... 4.25
2017........................................... 4.5
2018........................................... 5
2019........................................... 6
2020........................................... 6
2021........................................... 6
2022........................................... 7
2023........................................... 7
2024........................................... 8
2025........................................... 8
2026........................................... 9
2027........................................... 10
2028........................................... 10
2029........................................... 11
2030........................................... 12
2031........................................... 14
2032........................................... 14
2033........................................... 14
2034........................................... 15
2035........................................... 15
2036........................................... 15
2037........................................... 15
2038........................................... 15
2039........................................... 15
2040........................................... 15
2041........................................... 15
2042........................................... 15
2043........................................... 15
2044........................................... 15
2045........................................... 15
2046........................................... 15
2047........................................... 15
2048........................................... 15
2049........................................... 15
2050........................................... 15.
----------------------------------------------------------------------------------------------------------------
SEC. 583. DEPOSITS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to section 582, immediately on receipt of
those proceeds, in the Climate Change Consumer Assistance
Fund.
SEC. 584. DISBURSEMENTS FROM THE CLIMATE CHANGE CONSUMER
ASSISTANCE FUND.
No disbursements shall be made from the Climate Change
Consumer Assistance Fund except pursuant to an appropriations
Act.
SEC. 585. SENSE OF SENATE ON TAX INITIATIVE TO PROTECT
CONSUMERS.
It is the sense of the Senate that funds deposited in the
Climate Change Consumer Assistance Fund under section 583
should be used to fund a tax initiative to protect consumers,
especially consumers in greatest need, from increases in
energy costs and other costs.
TITLE VI--PARTNERSHIPS WITH STATES, LOCALITIES, AND INDIAN TRIBES
Subtitle A--Partnerships With State Governments to Prevent Economic
Hardship While Promoting Efficiency
SEC. 601. ASSISTING ENERGY CONSUMERS THROUGH LOCAL
DISTRIBUTION COMPANIES.
(a) Allocation.--
(1) First period.--Not later than 330 days before the
beginning of calendar year 2012, the Administrator shall
allocate--
(A) 9.5 percent of the quantity of emission allowances
established pursuant to section 201(a) for that calendar year
for distribution among electricity local distribution
companies in the United States; and
(B) 3.25 percent of the quantity of emission allowances
established pursuant to section 201(a) for that calendar year
for distribution among natural gas local distribution
companies in the United States.
(2) Second period.--Not later than 330 days before the
beginning of each of calendar years 2013 through 2025, the
Administrator shall allocate--
(A) 9.75 percent of the quantity of emission allowances
established pursuant to section 201(a) for that calendar year
for distribution among electricity local distribution
companies in the United States; and
(B) 3.25 percent of the quantity of emission allowances
established pursuant to section 201(a) for that calendar year
for distribution among natural gas local distribution
companies in the United States.
(3) Third period.--Not later than 330 days before the
beginning of each of calendar years 2026 through 2050, the
Administrator shall allocate--
(A) 10 percent of the quantity of emission allowances
established pursuant to section 201(a) for that calendar year
for distribution among electricity local distribution
companies in the United States; and
(B) 3.5 percent of the quantity of emission allowances
established pursuant to section 201(a) for that calendar year
for distribution among natural gas local distribution
companies in the United States.
(b) Distribution.--
(1) In general.--For each calendar year, the emission
allowances allocated under subsection (a) shall be
distributed by the Administrator to each local distribution
entity based on the proportion that--
(A) the quantity of electricity or natural gas delivered by
the local distribution entity during the 3 calendar years
preceding the calendar year for which the emission allowances
are distributed, adjusted upward for electricity or natural
gas not delivered as a result of consumer energy-efficiency
programs implemented by the local distribution entity and
verified by the regulatory agency of the local distribution
entity; bears to
(B) the total quantity of electricity or natural gas
delivered by all local distribution entities during those 3
calendar years, adjusted upward for the total electricity or
natural gas not delivered as a result of consumer energy-
efficiency programs implemented by all local distribution
entities and verified by the regulatory agencies of the local
distribution entities.
(2) Basis.--The Administrator shall base the determination
of the quantity of electricity or natural gas delivered by a
local distribution entity for the purpose of paragraph (1) on
the most recent data available in annual reports filed with
the Energy Information Administration of the Department of
Energy.
(c) Use.--
(1) Eligible consumer classes.--
(A) Regulation.--Not later than 1 year after the date of
enactment of this Act, the Administrator, in consultation
with the Secretary of Energy, shall establish, by regulation,
the consumer classes to which a local distribution entity
shall direct emission allowance proceeds, including low-
income and middle-income residential energy consumers and
small business commercial consumers that are not allocated
emission allowances pursuant to title V.
(B) Requirement.--The regulation required under
subparagraph (A) shall be promulgated in consultation with--
(i) the Secretary of Health and Human Services;
(ii) the Secretary of Agriculture;
(iii) appropriate State agencies; and
[[Page S5072]]
(iv) local distribution entities, the regulatory agencies
of the local distribution entities, and consumer advocates.
(C) Defining low-income consumers.--
(i) In general.--Subject to clause (ii), the Administrator
shall specify eligibility criteria for low-income residential
energy consumers for purposes of the regulation required
under subparagraph (A).
(ii) Inclusions.--An individual shall be eligible as a low-
income residential energy consumer for purposes of the
regulation required under subparagraph (A) if the individual
(or the household of which the individual is a member)
qualifies for--
(I) benefits under the food stamp program established under
the Food Stamp Act of 1977 (7 U.S.C. 2011 et seq.);
(II) a premium or cost-sharing subsidy under section 1860D-
14 of the Social Security Act (42 U.S.C. 1395w-114); or
(III) a low-income program carried out before December 31,
2011, by an electricity or natural gas local distribution
entity serving the individual.
(2) Climate change impact assistance programs.--
(A) In general.--Each local distribution entity that
receives emission allowances under subsection (b) shall
develop a climate change impact economic assistance program
in accordance with this paragraph.
(B) Regulations.--
(i) In general.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing minimum requirements for the
development of climate change impact economic assistance
programs under subparagraph (A).
(ii) Deadline.--The regulations promulgated pursuant to
clause (i) shall require each local distribution entity that
receives emission allowances under this section to implement
a climate change impact economic assistance program by not
later than December 31, 2011, that--
(I) mitigates increases in electricity or natural gas
costs, as applicable, that are attributable to the
implementation of this Act;
(II) provides to qualifying low-income individuals and
households a timely rebate on electricity or natural gas
bills, as applicable;
(III) provides greater rebates to consumers in the lowest
income classes;
(IV) includes energy efficiency and other programmatic
measures designed to reduce the quantity of electricity or
natural gas, as applicable, consumed by qualifying low-income
households; and
(V) includes economic assistance, energy efficiency, and
other programmatic measures designed to reduce the quantity
of energy consumed by other residential, small business, and
commercial energy consumers that do not receive allowances
under this Act.
(C) Development.--
(i) In general.--A local distribution entity may develop an
assistance program under this paragraph--
(I) in consultation with appropriate State regulatory
authorities; or
(II) for the purpose of supplementing an existing low-
income consumer assistance plan of the entity.
(ii) Lists of eligible consumers.--In developing a list of
consumers eligible to receive assistance pursuant to a
climate change impact economic assistance program under this
paragraph, a local distribution entity--
(I) may use any list maintained by a State or local agency
of eligible recipients of existing public assistance
programs; and
(II) shall strictly maintain the privacy of the eligible
recipients.
(D) Approval.--
(i) In general.--A local distribution entity shall submit
the proposed assistance program of the entity to the
Administrator for approval.
(ii) Approval of existing programs.--On request of a local
distribution entity, the Administrator may approve an
existing, State-approved low-income consumer assistance plan
of the entity as a climate change impact economic assistance
program for purposes of this paragraph, if the Administrator
determines that the plan meets the requirements of this
paragraph.
(E) Implementation.--On approval of an assistance program
by the Administrator under subparagraph (D)(i), a local
distribution entity may implement the program, subject to the
oversight of appropriate State authorities.
(d) Sale of Emission Allowances.--
(1) In general.--A local distribution entity that receives
emission allowances under subsection (b) shall--
(A) sell each emission allowance distributed to the local
distribution entity, through direct sale or pursuant to a
contract with a third party to sell the allowance, by not
later than the date that is 1 year after the date of receipt
of the emission allowance; and
(B) seek fair market value for each emission allowance
sold.
(2) Proceeds.--
(A) In general.--Subject to subparagraph (B), the proceeds
from the sale of emission allowances under paragraph (1)
shall be used solely--
(i) to mitigate economic impacts on the consumer classes
established pursuant to subsection (c)(1)(A), including by
reducing transmission or distribution charges or issuing
rebates;
(ii) to promote the use of zero- and low-carbon distributed
generation technologies and energy efficiency on the part of
consumers; and
(iii) to implement demand response programs and targeted
assistance programs to benefit the consumer classes
established pursuant to subsection (c)(1)(A).
(B) Minimum percentage requirement.--
(i) In general.--Except as provided in clause (ii), each
local distribution entity shall use not less than 30 percent
of the proceeds from the sale of emission allowances under
paragraph (1) to benefit low-income residential energy
consumers.
(ii) Exception.--Notwithstanding clause (i), a regulatory
agency with authority over a local distribution entity
(including a governing board of a municipally owned or
cooperatively owned local distribution entity) may reduce the
percentage requirement under clause (i) if the agency
determines that the increase in electricity or natural gas
costs, as applicable, of eligible low-income consumers served
by the local distribution entity resulting from the
implementation of this Act are mitigated.
(C) Prohibition.--No local distribution entity may use any
proceeds from the sale of emission allowances under paragraph
(1) to provide to any consumer a rebate that is based solely
on the quantity of electricity or natural gas used by the
consumer.
(D) Treatment.--Proceeds from the sale of an emission
allowance under this paragraph shall not be considered to be
income of a local distribution entity if the value of the
proceeds is fully disbursed during the 1-year period
beginning on the date of sale of the emission allowance.
(e) Reports.--
(1) In general.--For each calendar year for which a local
distribution entity receives emission allowances under this
section, the entity shall submit to the Administrator a
report describing, with respect to that calendar year--
(A) the date of each sale of each emission allowance;
(B) the amount of revenue generated from the sale of
emission allowances; and
(C) how, and to what extent, the local distribution entity
used the proceeds of the sale of emission allowances,
including the amount of the proceeds directed to each
consumer class covered in the form of rebates, energy
efficiency, demand response, and distributed generation.
(2) Availability of reports.--The Administrator shall make
available to the public all reports submitted by entities
under paragraph (1), including by publishing those reports on
the Internet.
(f) Opt-Out.--If a local distribution entity elects not to
receive emission allowances under this section or fails to
comply with a requirement of this section, as determined by
the Administrator, the emission allowances that would
otherwise be distributed to the local distribution entity
shall be--
(1) provided to the State served by the local distribution
entity; and
(2) used by the State to carry out the objectives of this
section.
SEC. 602. ASSISTING STATE ECONOMIES THAT RELY HEAVILY ON
MANUFACTURING AND COAL.
(a) Allocation.--
(1) In general.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2050, of the
quantity of emission allowances established pursuant to
section 201(a) for the applicable calendar year, the
Administrator shall allocate a percentage for distribution
among States the economies of which rely heavily on
manufacturing or on coal, as determined by the Administrator,
in accordance with the table contained in paragraph (2).
(2) Percentages for allocation.--For each of calendar years
2012 through 2050, the Administrator shall allocate to States
described in paragraph (1) the percentage of emission
allowances specified in the following table:
----------------------------------------------------------------------------------------------------------------
Percent of emission allowances for allocation among States
Calendar year relying heavily on manufacturing and on coal
----------------------------------------------------------------------------------------------------------------
2012........................................... 3
2013........................................... 3
2014........................................... 3
2015........................................... 3
2016........................................... 3.25
2017........................................... 3.25
2018........................................... 3.25
2019........................................... 3.25
2020........................................... 3.25
2021........................................... 3.25
2022........................................... 3.25
2023........................................... 3.5
2024........................................... 3.5
2025........................................... 3.5
2026........................................... 3.5
2027........................................... 3.5
2028........................................... 3.5
2029........................................... 3.5
2030........................................... 3.5
2031........................................... 4
2032........................................... 4
2033........................................... 4
2034........................................... 4
2035........................................... 4
2036........................................... 4
2037........................................... 4
2038........................................... 4
2039........................................... 4
[[Page S5073]]
2040........................................... 4
2041........................................... 4
2042........................................... 4
2043........................................... 4
2044........................................... 4
2045........................................... 4
2046........................................... 4
2047........................................... 4
2048........................................... 4
2049........................................... 4
2050........................................... 4.
----------------------------------------------------------------------------------------------------------------
(b) Distribution.--The emission allowances available for
allocation to States under subsection (a) for a calendar year
shall be distributed as follows:
(1) For each calendar year, \1/2\ of the quantity of
emission allowances shall be distributed among the States
based on the proportion that--
(A) the average annual per-capita employment in
manufacturing in a State during the period beginning on
January 1, 1988, and ending on December 31, 1992, as
determined by the Secretary of Labor; bears to
(B) the average annual per-capita employment in
manufacturing in all States during the period beginning on
January 1, 1988, and ending on December 31, 1992, as
determined by the Secretary of Labor.
(2) For each calendar year, \1/2\ of the quantity of
emission allowances available for States under subsection (a)
shall be distributed among individual States as follows:
(A) In the case of any State in which the ratio of lignite
(in British thermal units) that was mined from 1988 through
1992 within the boundaries of the State to the total quantity
of coal (in British thermal units) that was consumed from
1988 through 1992 within the boundaries of that State exceeds
0.75, the share of allowances of the State shall be based on
the proportion that--
(i) twice the quantity of carbon contained in the total
quantity of coal that was mined within the boundaries of the
State from 1988 through 1992, as determined by the Secretary
of Energy; bears to
(ii) the sum of twice the quantity of carbon contained in
the total quantity of coal that was mined from 1988 through
1992 within the boundaries of all States described in
subparagraph (A) and the quantity of carbon contained in the
total quantity of coal that was mined from 1988 through 1992
within the boundaries of all other States, as determined by
the Secretary of Energy.
(B) In the case of any State other than a State described
in subparagraph (A), the share of allowances of the State
shall be based on the proportion that--
(i) the quantity of carbon contained in the total quantity
of coal that was mined within the boundaries of the State
from 1988 through 1992, as determined by the Secretary of
Energy; bears to
(ii) the sum of twice the quantity of carbon contained in
the total quantity of coal that was mined from 1988 through
1992 in all States described in subparagraph (A) and the
quantity of carbon contained in the total quantity of coal
that was mined from 1988 through 1992 within the boundaries
of all other States, as determined by the Secretary of
Energy.
(c) Use.--During any calendar year, a State shall retire or
use for 1 or more of the purposes described in section 614(d)
all of the allowances allocated to the State (or proceeds of
sale of those emission allowances) under this section for
that calendar year.
(d) Deadline for Use.--A State shall distribute or sell
emission allowances for use in accordance with subsection (c)
by not later than January 1 of each emission allowance
allocation year.
(e) Return of Allowances.--Not later than 330 days before
the end of each emission allowance allocation year, each
State shall return to the Administrator any emission
allowances allocated to the State for the preceding calendar
year but not distributed or sold by the deadline described in
subsection (d).
(f) Report.--A State receiving allowances under this
section shall annually submit to the appropriate
congressional committees and the appropriate Federal agencies
a report describing the purposes for which the State has
used--
(1) the allowances received under this section; and
(2) the proceeds of the sale by the State of allowances
received under this section.
Subtitle B--Partnerships With States, Localities, and Indian Tribes to
Reduce Emissions
SEC. 611. MASS TRANSIT.
(a) Transportation Sector Emission Reduction Fund.--There
is established in the Treasury of the United States a fund,
to be known as the ``Transportation Sector Emission Reduction
Fund''.
(b) Auction of Allowances.--In accordance with subsections
(c) and (d), to fund awards for public transportation-related
activities, for each of calendar years 2012 through 2050, the
Administrator shall auction a quantity of the emission
allowances established pursuant to section 201(a) for each
calendar year.
(c) Number; Frequency.--For each calendar year during the
period described in subsection (b), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
(d) Quantities of Emission Allowances Auctioned.--For each
calendar year of the period described in subsection (b), the
Administrator shall auction a quantity of emission allowances
in accordance with the applicable percentages described in
the following table:
----------------------------------------------------------------------------------------------------------------
Calendar Year Percentage for auction for public transportation
----------------------------------------------------------------------------------------------------------------
2012........................................... 1
2013........................................... 1
2014........................................... 1
2015........................................... 1
2016........................................... 1
2017........................................... 1
2018........................................... 2
2019........................................... 2
2020........................................... 2
2021........................................... 2
2022........................................... 2.75
2023........................................... 2.75
2024........................................... 2.75
2025........................................... 2.75
2026........................................... 2.75
2027........................................... 2.75
2028........................................... 2.75
2029........................................... 2.75
2030........................................... 2.75
2031........................................... 2.75
2032........................................... 2.75
2033........................................... 2.75
2034........................................... 2.75
2035........................................... 2.75
2036........................................... 2.75
2037........................................... 2.75
2038........................................... 2.75
2039........................................... 2.75
2040........................................... 2.75
2041........................................... 2.75
2042........................................... 2.75
2043........................................... 2.75
2044........................................... 2.75
2045........................................... 2.75
2046........................................... 2.75
2047........................................... 2.75
2048........................................... 2.75
2049........................................... 2.75
2050........................................... 2.75.
----------------------------------------------------------------------------------------------------------------
(e) Deposits.--The Administrator shall deposit all proceeds
of auctions conducted pursuant to subsections (b) and (c),
immediately on receipt of those proceeds, in the
Transportation Sector Emission Reduction Fund established by
subsection (a).
(f) Use of Funds.--For each of calendar years 2012 through
2050, all funds deposited in the Transportation Sector
Emission Reduction Fund in the preceding year pursuant to
subsection (e) shall be made available, without further
appropriation or fiscal year limitation, for grants described
in subsections (g) through (i).
(g) Grants to Provide for Additional and Improved Public
Transportation Service.--
(1) In general.--Of the funds deposited in the
Transportation Sector Emission Reduction Fund each year
pursuant to subsection (e), 65 percent shall be distributed
to designated recipients (as defined in section 5307(a) of
title 49, United States Code) to maintain or improve public
transportation through activities eligible under that
section, including--
(A) improvements to lighting, heating, cooling, or
ventilation systems in stations and other facilities that
reduce direct or indirect greenhouse gas emissions;
(B) adjustments to signal timing or other vehicle
controlling systems that reduce direct or indirect greenhouse
gas emissions;
(C) purchasing or retrofitting rolling stock to improve
efficiency or reduce greenhouse gas emissions; and
(D) improvements to energy distribution systems.
(2) Distribution.--Of the proceeds of auctions conducted
under this section, the Administrator shall distribute under
paragraph (1)--
(A) 60 percent in accordance with the formulas contained in
subsections (a) through (c) of section 5336 of title 49,
United States Code; and
(B) 40 percent in accordance with the formula contained in
section 5340 of that title.
(3) Terms and conditions.--A grant provided under this
subsection shall be subject to the terms and conditions
applicable to a grant provided under section 5307 of title
49, United States Code.
(4) Cost share.--The Federal share of cost of carrying out
an activity using a grant under this subsection shall be
determined in accordance with section 5307(e) of title 49,
United States Code.
(h) Grants for Construction of New Public Transportation
Projects.--
(1) In general.--Of the funds deposited in the
Transportation Sector Emission Reduction Fund each year
pursuant to subsection
[[Page S5074]]
(e), 30 percent shall be distributed to State and local
government authorities for design, engineering, and
construction of new fixed guideway transit projects or
extensions to existing fixed guideway transit systems.
(2) Applications.--Applications for grants under this
subsection shall be reviewed according to the process and
criteria established under section 5309(c) of title 49,
United States Code, for major capital investments and section
5309(d) of title 49, United States Code for other projects.
(3) Terms and conditions.--Grant funds awarded under this
subsection shall be subject to the terms and conditions
applicable to a grant made under section 5309 of title 49,
United States Code.
(i) Grants for Transportation Alternatives and Travel
Demand Reduction Projects.--
(1) In general.--Of the funds deposited into the
Transportation Sector Emission Reduction Fund each year
pursuant to subsection (e), 5 percent shall be awarded to
designated recipients (as defined in section 5307(a) of title
49, United States Code) to assist in reducing the direct and
indirect greenhouse gas emissions of the systems of the
designated recipients, through--
(A) programs to reduce vehicle miles traveled;
(B) bicycle and pedestrian infrastructure, including trail
networks integrated with transportation plans or bicycle
mode-share targets; and
(C) programs to establish or expand telecommuting or car
pool projects that do not include new roadway capacity.
(2) Distribution of funds.--In determining the recipients
of grants under this subsection, applications shall be
evaluated based on the total direct and indirect greenhouse
gas emissions reductions that are projected to result from
the project and projected reductions as a percentage of the
total direct and indirect emissions of an entity.
(3) Government share of costs.--The Federal share of the
cost of an activity funded using amounts made available under
this subsection may not exceed 80 percent of the cost of the
activity.
(4) Terms and conditions.--Except to the extent
inconsistent with the terms of this subsection, grant funds
awarded under this subsection shall be subject to the terms
and conditions applicable to a grant made under section 5307
of title 49, United States Code.
(j) Condition for Receipt of Funds.--To be eligible to
receive funds under this section, projects or activities must
be part of an integrated State-wide transportation plan that
shall--
(1) include all modes of surface transportation;
(2) integrate transportation data collection, monitoring,
planning, and modeling;
(3) report on estimated greenhouse gas emissions;
(4) be designed to reduce greenhouse gas emissions from the
transportation sector; and
(5) be certified by the Administrator as consistent with
the purposes of this Act.
SEC. 612. UPDATING STATE BUILDING ENERGY EFFICIENCY CODES.
(a) In General.--Section 304 of the Energy Conservation and
Production Act (42 U.S.C. 6833) is amended to read as
follows:
``SEC. 304. UPDATING STATE BUILDING ENERGY EFFICIENCY CODES.
``(a) Updates.--
``(1) In general.--Not later than 3 years after the date of
enactment of the Lieberman-Warner Climate Security Act of
2008, and not less frequently every 3 years thereafter, the
Secretary shall support updating the national model building
energy codes and standards to achieve overall energy savings,
as compared to the IECC (2006) for residential buildings and
ASHRAE Standard 90.1 (2004) for commercial buildings, of at
least--
``(A) 30 percent, with respect to each edition of a model
code or standard published during the period beginning on
January 1, 2010, and ending on December 31, 2019;
``(B) 50 percent, with respect to each edition of a model
code or standard published on or after January 1, 2020; and
``(C) targets for intermediate and subsequent years, to be
established by the Secretary not less than 3 years before the
beginning on each target year, in coordination with IECC and
ASHRAE Standard 90.1 cycles, at the maximum level of energy
efficiency that is technologically feasible and lifecycle
cost-effective.
``(2) Revisions to iecc and ashrae.--
``(A) In general.--If the IECC or ASHRAE Standard 90.1
regarding building energy use is revised, not later than 1
year after the date of the revision, the Secretary shall
determine whether the revision will--
``(i) improve energy efficiency in buildings; and
``(ii) meet the energy savings goals described in paragraph
(1).
``(B) Modifications.--
``(i) In general.--If the Secretary makes a determination
under subparagraph (A)(ii) that a code or standard does not
meet the energy savings goals established under paragraph (1)
or if a national model code or standard is not updated for
more than 3 years, not later than 1 year after the
determination or the expiration of the 3-year period, the
Secretary shall establish a modified code or standard that
meets the energy savings goals.
``(ii) Requirements.--
``(I) Energy savings.--A modification to a code or standard
under clause (i) shall--
``(aa) achieve the maximum level of energy savings that is
technically feasible and lifecycle cost-effective;
``(bb) be achieved through an amendment or supplement to
the most recent revision of the IECC or ASHRAE Standard 90.1
and taking into consideration other appropriate model codes
and standards; and
``(cc) incorporate available appliances, technologies, and
construction practices.
``(II) Treatment as baseline.--A modification to a code or
standard under clause (i) shall serve as the baseline for the
next applicable determination of the Secretary under
subparagraph (A)(i).
``(C) Public participation.--The Secretary shall--
``(i) publish in the Federal Register a notice relating to
each goal, determination, and modification under this
paragraph; and
``(ii) provide an opportunity for public comment regarding
the goals, determinations, and modifications.
``(b) State Certification of Building Energy Code
Updates.--
``(1) General certification.--
``(A) In general.--Not later than 2 years after the date of
enactment of the Lieberman-Warner Climate Security Act of
2008, each State shall certify to the Secretary that the
State has reviewed and updated the provisions of the
residential and commercial building codes of the State
regarding energy efficiency.
``(B) Energy savings.--A certification under subparagraph
(A) shall include a demonstration that the applicable
provisions of the State code meet or exceed, as applicable--
``(i)(I) the IECC (2006) for residential buildings; or
``(II) the ASHRAE Standard 90.1 (2004) for commercial
buildings; or
``(ii) the quantity of energy savings represented by the
provisions referred to in clause (i).
``(2) Revision of codes and standards.--
``(A) In general.--If the Secretary makes an affirmative
determination under subsection (a)(2)(A)(i) or establishes a
modified code or standard under subsection (a)(2)(B), not
later than 2 years after the determination or proposal, each
State shall certify that the State has reviewed and updated
the provisions of the residential and commercial building
codes of the State regarding energy efficiency.
``(B) Energy savings.--A certification under subparagraph
(A) shall include a demonstration that the applicable
provisions of the State code meet or exceed--
``(i) the modified code or standard; or
``(ii) the quantity of energy savings represented by the
modified code or standard.
``(C) Failure to determine.--If the Secretary fails to make
a determination under subsection (a)(2)(A)(i) by the date
specified in subsection (a)(2), or if the Secretary makes a
negative determination, not later than 2 years after the
specified date or the date of the determination, each State
shall certify that the State has--
``(i) reviewed the revised code or standard; and
``(ii) updated the provisions of the residential and
commercial building codes of the State as necessary to meet
or exceed, as applicable--
``(I) any provisions of a national code or standard
determined to improve energy efficiency in buildings; or
``(II) energy savings achieved by those provisions through
other means.
``(c) Achievement of Compliance by States.--
``(1) In general.--Not later than 3 years after the date on
which a State makes a certification under subsection (b), the
State shall certify to the Secretary that the State has
achieved compliance with the building energy code that is the
subject of the certification.
``(2) Rate of compliance.--The certification shall include
documentation of the rate of compliance based on independent
inspections of a random sample of the new and renovated
buildings covered by the State code during the preceding
calendar year.
``(3) Compliance.--A State shall be considered to achieve
compliance for purposes of paragraph (1) if--
``(A) at least 90 percent of new and renovated buildings
covered by the State code during the preceding calendar year
substantially meet all the requirements of the code; or
``(B) the estimated excess energy use of new and renovated
buildings that did not meet the requirements of the State
code during the preceding calendar year, as compared to a
baseline of comparable buildings that meet the requirements
of the code, is not more than 10 percent of the estimated
energy use of all new and renovated buildings covered by the
State code during the preceding calendar year.
``(d) Failure to Certify.--
``(1) Extension of deadlines.--The Secretary shall extend a
deadline for certification by a State under subsection (b) or
(c) for not more than 1 additional year, if the State
demonstrates to the satisfaction of the Secretary that the
State has made--
``(A) a good faith effort to comply with the certification
requirement; and
``(B) significant progress with respect to the compliance.
``(2) Noncompliance by state.--
``(A) In general.--A State that fails to submit a
certification required under subsection (b) or (c), and to
which an extension
[[Page S5075]]
is not provided under paragraph (1), shall be considered to
be out of compliance with this section.
``(B) Effect on local governments.--A local government of a
State that is out of compliance with this section may be
considered to be in compliance with this section if the local
government meets each applicable certification requirement of
this section.
``(e) Technical Assistance.--
``(1) In general.--The Secretary shall provide technical
assistance (including building energy analysis and design
tools, building demonstrations, and design assistance and
training) to ensure that national model building energy codes
and standards meet the goals described in subsection (a)(1).
``(2) Assistance to states.--The Secretary shall provide
technical assistance to States--
``(A) to implement this section, including procedures for
States to demonstrate that the codes of the States achieve
equivalent or greater energy savings than the national model
codes and standards;
``(B) to improve and implement State residential and
commercial building energy efficiency codes; and
``(C) to otherwise promote the design and construction of
energy-efficient buildings.
``(f) Incentive Funding.--
``(1) In general.--The Secretary shall provide incentive
funding to States--
``(A) to implement this section; and
``(B) to improve and implement State residential and
commercial building energy efficiency codes, including
increasing and verifying compliance with the codes.
``(2) Amount.--In determining whether, and in what amount,
to provide incentive funding under this subsection, the
Secretary shall take into consideration actions proposed by
the State--
``(A) to implement this section;
``(B) to implement and improve residential and commercial
building energy efficiency codes; and
``(C) to promote building energy efficiency through use of
the codes.
``(3) Additional funding.--The Secretary shall provide
additional funding under this subsection for implementation
of a plan to demonstrate a rate of compliance with applicable
residential and commercial building energy efficiency codes
at a rate of not less than 90 percent, based on energy
performance--
``(A) to a State that has adopted and is implementing, on a
statewide basis--
``(i) a residential building energy efficiency code that
meets or exceeds the requirements of the IECC (2006) (or a
successor code that is the subject of an affirmative
determination by the Secretary under subsection
(a)(2)(A)(i)); and
``(ii) a commercial building energy efficiency code that
meets or exceeds the requirements of the ASHRAE Standard 90.1
(2004) (or a successor standard that is the subject of an
affirmative determination by the Secretary under subsection
(a)(2)(A)(i)); or
``(B) in the case of a State in which no statewide energy
code exists for residential buildings or commercial
buildings, or in which the State code fails to comply with
subparagraph (A), to a local government that has adopted and
is implementing residential and commercial building energy
efficiency codes, as described in subparagraph (A).
``(4) Training.--Of the amounts made available to carry out
this subsection, the Secretary may use not more than $500,000
for each State to train State and local officials to
implement State or local energy codes in accordance with a
plan described in paragraph (3).''.
(b) Conforming Amendment.--Section 303 of the Energy
Conservation and Production Act (42 U.S.C. 6832) is amended
by adding at the end the following:
``(17) IECC.--The term `IECC' means the International
Energy Conservation Code.''.
SEC. 613. ENERGY EFFICIENCY AND CONSERVATION BLOCK GRANT
PROGRAM.
(a) In General.--In accordance with subsection (b), to fund
the Energy Efficiency and Conservation Block Grant Program
under subtitle E of title V of the Energy Independence and
Security Act of 2007 (42 U.S.C. 17151 et seq.), for each of
calendar years 2012 through 2050, the Administrator shall--
(1) auction 2 percent of the emission allowances
established pursuant to section 201(a) for the calendar year;
and
(2) immediately on completion of an auction, transfer the
proceeds of the auction to the Secretary of Energy for use in
carrying out that block grant program.
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
SEC. 614. STATE LEADERS IN REDUCING EMISSIONS.
(a) Allocation.--
(1) In general.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2050, the
Administrator shall allocate a percentage of the quantity of
emission allowances established pursuant to section 201(a)
for the applicable calendar year for distribution among
States that, as determined by the Administrator, are leaders
in the effort of the United States to reduce greenhouse gas
emissions and improve energy efficiency, in accordance with
paragraph (2).
(2) Percentages for allocation.--For each of calendar years
2012 through 2050, the Administrator shall distribute in
accordance with paragraph (1) the percentage of emission
allowances specified in the following table:
----------------------------------------------------------------------------------------------------------------
Percentage for State leaders in reducing greenhouse gas
Calendar Year emissions and improving energy efficiency
----------------------------------------------------------------------------------------------------------------
2012........................................... 4
2013........................................... 4
2014........................................... 4
2015........................................... 4
2016........................................... 4.25
2017........................................... 4.25
2018........................................... 4.55
2019........................................... 4.75
2020........................................... 5
2021........................................... 5
2022........................................... 6
2023........................................... 6.25
2024........................................... 6.5
2025........................................... 6.75
2026........................................... 7
2027........................................... 7.25
2028........................................... 7.5
2029........................................... 7.75
2030........................................... 8
2031........................................... 9
2032........................................... 10
2033........................................... 10
[[Page S5076]]
2034........................................... 10
2035........................................... 10
2036........................................... 10
2037........................................... 10
2038........................................... 10
2039........................................... 10
2040........................................... 10
2041........................................... 10
2042........................................... 10
2043........................................... 10
2044........................................... 10
2045........................................... 10
2046........................................... 10
2047........................................... 10
2048........................................... 10
2049........................................... 10
2050........................................... 10.
----------------------------------------------------------------------------------------------------------------
(b) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a system for annually scoring
historical State investments and achievements in reducing
greenhouse gas emissions and increasing energy efficiency for
purposes of subsection (a).
(c) Distribution.--
(1) In general.--The emission allowances available for
allocation to States under subsection (a) shall be
distributed among the States based on the proportion that,
for a calendar year--
(A) the score of the State, as determined under subsection
(b); bears to
(B) the scores of all States, as determined under
subsection (b).
(2) State cap-and-trade programs.--Allowances under this
section for any calendar year shall be distributed to--
(A) States that have never established State or regional
cap-and-trade programs for greenhouse gas emissions; and
(B) States that did establish State or regional cap-and-
trade programs for greenhouse gas emissions and that, not
later than the beginning of the applicable calendar year--
(i) chose to transition the programs into the national
system established by this Act; and
(ii) completed the transition and discontinued the State or
regional cap-and-trade programs.
(d) Use.--
(1) In general.--During any calendar year, a State shall
retire or use all emission allowances allocated to the State
(or proceeds of sale of those emission allowances) under this
section for that calendar year for 1 or more of the following
purposes:
(A) To mitigate impacts on low-income energy consumers.
(B) To promote energy efficiency (including support of
electricity and natural gas demand reduction, waste
minimization, and recycling programs).
(C) To promote investment in nonemitting electricity
generation technology, including planning for the siting of
facilities employing that technology in States (including in
territorial waters of States).
(D) To improve public transportation and passenger rail
service and otherwise promote reductions in vehicle miles
traveled.
(E) To encourage advances in energy technology that reduce
or sequester greenhouse gas emissions.
(F) To address local or regional impacts of climate change,
including by accommodating, protecting, or relocating
affected communities and public infrastructure.
(G) To collect, evaluate, disseminate, and use information
necessary for affected coastal communities to adapt to
climate change (such as information derived from inundation
prediction systems).
(H) To mitigate obstacles to investment by new entrants in
electricity generation markets and energy-intensive
manufacturing sectors.
(I) To address local or regional impacts of climate change
policy, including providing assistance to displaced workers.
(J) To engage local and municipal governments to provide
capacity building and related technical assistance to local
and municipal low-carbon green job creation and workforce
development programs.
(K) To mitigate impacts on carbon-intensive industries in
internationally competitive markets.
(L) To reduce hazardous fuels and prevent and suppress
wildland fire.
(M) To fund rural, municipal, and agricultural water
projects that are consistent with the sustainable use of
water resources.
(N) To improve recycling infrastructure.
(O) To increase public education on the benefits of
recycling, particularly with respect to greenhouse gases.
(P) To improve residential, commercial, and industrial
collection of recyclables.
(Q) To improve recycling system efficiency.
(R) To increase recycling yields.
(S) To improve the quality and usefulness of recycled
materials.
(T) To promote industry cluster or industry sector
strategies that involve public-private partnerships of State
and local economic and workforce development agencies,
leaders from renewable energy, efficiency and low-carbon
industries, and other community-based stakeholders, in the
development of regional strategies to maximize the creation
of good, career-track jobs.
(U) To develop and implement plans to anticipate and reduce
the potential threats to health resulting from climate
change, including--
(i) development, improvement, and integration of disease
surveillance systems, rapid response systems, and
communication methods and materials; and
(ii) identification and prioritization of vulnerable
communities and populations.
(V) To fund any other purpose the States determine to be
necessary to mitigate any negative economic impacts as a
result of--
(i) global warming; or
(ii) new regulatory requirements as a result of this Act.
(e) Deadline for Use.--A State shall distribute or sell
emission allowances for use in accordance with subsection (c)
by not later than January 1 of each emission allowance
allocation year.
(f) Return of Allowances.--Not later than 330 days before
the end of each emission allowance allocation year, each
State shall return to the Administrator any emission
allowances allocated to the State for the preceding calendar
year but not distributed or sold by the deadline described in
subsection (e).
(g) Recycling.--During any calendar year, a State shall use
not less than 5 percent of the quantity of emission
allowances allocated to the State (or proceeds of sale of
those emission allowances) under this section for increasing
recycling rates through activities such as--
(1) improving recycling infrastructure;
(2) increasing public education on the benefits of
recycling, particularly with respect to greenhouse gases;
(3) improving residential, commercial, and industrial
collection of recyclables;
(4) increasing recycling efficiency;
(5) increasing recycling yields; and
(6) improving the quality and usefulness of recycled
materials.
(h) Home Heating Oil.--During any calendar year, any State
that ranks among the top 20 States in terms of annual usage
of home heating oil, as determined by the Secretary of
Energy, shall use not less than 5 percent of the quantity of
emission allowances allocated to the State (or proceeds of
the sale of those allowances) under this section for
protecting consumers of home heating oil in the State from
suffering hardship as a result of any increases in home
heating oil prices.
[[Page S5077]]
(i) Report.--A State receiving allowances under this
section shall annually submit to the appropriate
congressional committees and the appropriate Federal agencies
a report describing the purposes for which the State has
used--
(1) the allowances received under this section; and
(2) the proceeds of the sale by the State of allowances
received under this section.
Subtitle C--Partnerships With States and Indian Tribes to Adapt to
Climate Change
SEC. 621. ALLOCATION.
(a) In General.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2050, the
Administrator shall allocate a percentage of the quantity of
emission allowances established pursuant to section 201(a)
for the applicable calendar year for distribution among
States and Indian tribes for activities carried out in
response to the impacts of global climate change, in
accordance with subsection (b).
(b) Percentages for Allocation.--For each of calendar years
2012 through 2050, the Administrator shall distribute in
accordance with subsection (a) the percentage of emission
allowances specified in the following table:
------------------------------------------------------------------------
Percentage
for States
and Indian
Calendar Year tribes for
adaptation
activities
------------------------------------------------------------------------
2012........................................................ 3
2013........................................................ 3
2014........................................................ 3
2015........................................................ 3
2016........................................................ 3.25
2017........................................................ 3.25
2018........................................................ 3.25
2019........................................................ 3.25
2020........................................................ 3.25
2021........................................................ 3.25
2022........................................................ 3.25
2023........................................................ 3.25
2024........................................................ 3.25
2025........................................................ 3.25
2026........................................................ 3.5
2027........................................................ 3.5
2028........................................................ 3.5
2029........................................................ 3.5
2030........................................................ 3.5
2031........................................................ 4
2032........................................................ 4
2033........................................................ 4
2034........................................................ 4
2035........................................................ 4
2036........................................................ 4
2037........................................................ 4
2038........................................................ 4
2039........................................................ 4
2040........................................................ 4
2041........................................................ 4
2042........................................................ 4
2043........................................................ 4
2044........................................................ 4
2045........................................................ 4
2046........................................................ 4
2047........................................................ 4
2048........................................................ 4
2049........................................................ 4
2050........................................................ 4.
------------------------------------------------------------------------
SEC. 622. COASTAL IMPACTS.
(a) Definitions.--In this section:
(1) Coastal state.--
(A) In general.--The term ``Coastal State'' means any State
that borders on 1 or more of the Atlantic Ocean, the Gulf of
Mexico, the Pacific Ocean, the Arctic Ocean, or a Great Lake.
(B) Inclusions.--The term ``Coastal State'' includes--
(i) the Commonwealth of Puerto Rico;
(ii) Guam;
(iii) American Samoa;
(iv) the Commonwealth of the Northern Mariana Islands; and
(v) the United States Virgin Islands.
(C) Exclusion.--The term ``Coastal State'' does not include
the State of Alaska.
(2) Coastal watershed.--The term ``coastal watershed''
means a geographical area drained into or contributing water
to an estuarine area, an ocean, or a Great Lake, all or a
portion of which is within the coastal zone (as defined in
section 304 of the Coastal Zone Management Act of 1972 (16
U.S.C. 1453)).
(3) Great lake.--The term ``Great Lake'' means--
(A) Lake Erie;
(B) Lake Huron (including Lake Saint Clair);
(C) Lake Michigan;
(D) Lake Ontario;
(E) Lake Superior; and
(F) the connecting channels of those Lakes, including--
(i) the Saint Marys River;
(ii) the Saint Clair River;
(iii) the Detroit River;
(iv) the Niagara River; and
(v) the Saint Lawrence River to the Canadian border.
(4) Shoreline miles.--The term ``shoreline miles'', with
respect to a Coastal State, means the mileage of tidal
shoreline or Great Lake shoreline of the Coastal State, based
on the most recently available data from or accepted by the
National Ocean Service of the National Oceanic and
Atmospheric Administration.
(b) Allocation.--Of the emission allowances allocated each
year pursuant to section 621, the Administrator shall
allocate 40 percent to Coastal States.
(c) Distribution.--The emission allowances available for
allocation under subsection (b) for a calendar year shall be
distributed among Coastal States, as follows:
(1) 50 percent based on the proportion that--
(A) the number of shoreline miles of a Coastal State; bears
to
(B) the total number of shoreline miles of all Coastal
States.
(2) 30 percent based on the proportion that--
(A) the population of a Coastal State; bears to
(B) the total population of all Coastal States.
(3) 20 percent divided equally among all Coastal States.
(d) Use of Emission Allowances or Proceeds.--
(1) In general.--During any calendar year, a Coastal State
receiving emission allowances under this section shall use
the emission allowances (or proceeds of sale of those
emission allowances) only for projects and activities to plan
for and address the impacts of climate change in the coastal
watershed.
(2) Specific uses.--The projects and activities described
in paragraph (1) shall include projects and activities--
(A) to address the impacts of climate change with respect
to--
(i) accelerated sea level rise and lake level changes;
(ii) shoreline erosion;
(iii) increased storm frequency or intensity;
(iv) changes in rainfall; and
(v) related flooding;
(B) to identify public facilities and infrastructure,
coastal resources of national significance, public energy
facilities, or other public water uses located in the coastal
watershed that are affected by climate change, including the
development of plans to protect, or, as necessary or
applicable, to relocate the facilities or infrastructure;
(C) to research and collect data using, or on matters such
as--
(i) historical shoreline position maps;
(ii) historical shoreline erosion rates;
(iii) inventories of shoreline features and conditions;
(iv) acquisition of high-resolution topography and
bathymetry;
(v) sea level rise inundation models;
(vi) storm surge sea level rise linked inundation models;
(vii) shoreline change modeling based on sea level rise
projections;
(viii) sea level rise vulnerability analyses and
socioeconomic studies; and
(ix) environmental and habitat changes associated with sea
level rise; and
(D) to respond to--
(i) changes in chemical characteristics (including ocean
acidification) and physical characteristics (including
thermal stratification) of marine systems;
(ii) saltwater intrusion into groundwater aquifers;
(iii) increased harmful algae blooms;
(iv) spread of invasive species;
(v) habitat loss (particularly loss of coastal wetland);
(vi) species migrations; and
(vii) marine, estuarine, and freshwater ecosystem changes
associated with climate change.
(3) Coordination.--In carrying out this subsection, a
Coastal State shall coordinate with the Administrator and the
heads of other appropriate Federal agencies to ensure, to the
maximum extent practicable, an efficient and effective use of
emission allowances (or proceeds of sale of those emission
allowances) allocated under this section.
(4) Technical assistance and training.--The Administrator
and the heads of such other Federal agencies as are
appropriate, including the National Oceanic and Atmospheric
Administration, Environmental Protection Agency, United
States Geological Survey, Department of the Interior, Corps
of Engineers, and Department of Transportation, shall provide
technical assistance and training for State and local
officials to assist Coastal States in carrying out this
subsection.
(5) Institutions of higher education participation.--If
appropriate, institutions of higher education should use the
expertise and research capacity of the institutions to carry
out the goals of this subsection, specifically with regard to
conducting the research and planning necessary to respond to
the impacts on coastal areas from climate change.
(e) Return of Unused Emission Allowances.--Any Coastal
State receiving emission allowances under this section shall
return to the Administrator any such emission allowances that
the Coastal State has failed to use in accordance with
subsection (d) by not later than 5 years after the date of
receipt of the emission allowances from the Administrator.
(f) Use of Returned Emission Allowances.--The Administrator
shall, in accordance with subsection (c), distribute any
emission allowances returned to the Administrator under
subsection (e) to States other than the State that returned
those allowances to the Administrator.
(g) Report.--A State receiving allowances under this
section shall annually submit to the appropriate
congressional committees and the appropriate Federal agencies
a report describing the purposes for which the State has
used--
(1) the allowances received under this section; and
[[Page S5078]]
(2) the proceeds of the sale by the State of allowances
received under this section.
SEC. 623. IMPACTS ON WATER RESOURCES AND AGRICULTURE.
(a) In General.--Of the emission allowances allocated each
year pursuant to section 621, the Administrator shall
allocate 25 percent to the States facing the earliest and
most severe impacts on the availability of freshwater and on
agriculture, as determined by the Administrator.
(b) Use.--
(1) In general.--For each calendar year, a State receiving
emission allowances under this section shall use the
allowances, or the proceeds from the sale of the allowances,
only for projects and activities to plan for and address the
impacts of climate change on water resources.
(2) Regionally-specific analysis.--In developing State
programs under paragraph (1), a State shall develop a
regionally-specific analysis of the potential climate-change
impacts on local water resources.
(3) Implementation priorities.--Implementation priorities
shall be developed through an integrated analysis of a full
range of water management alternatives (including urban and
agricultural conservation, habitat and watershed protection
and restoration, wastewater recycling, groundwater cleanup,
nonstructural alternatives, floodplain restoration, and urban
stormwater management) to direct funding to the most cost-
effective strategies that will generate significant net
environmental benefits.
(4) Specific uses.--Projects and activities under this
subsection shall include projects and activities--
(A) to promote investment in research into the impacts of
climate change on water resource planning;
(B) to promote water resource planning;
(C) to develop and implement sustainable strategies for
adapting to climate change; and
(D) to implement measures to reduce the greenhouse gas
emissions of water utilities.
(c) Report.--A State receiving allowances under this
section shall annually submit to the appropriate
congressional committees and the appropriate Federal agencies
a report describing the purposes for which the State has
used--
(1) the allowances received under this section; and
(2) the proceeds of the sale by the State of allowances
received under this section.
SEC. 624. IMPACTS ON ALASKA.
(a) Allocation.--Of the allowances allocated for each year
pursuant to section 621, the Administrator shall allocate 20
percent of the allowances to the State of Alaska for the uses
described in subsection (b).
(b) Use.--
(1) In general.--For each calendar year, emission
allowances distributed to the State of Alaska under this
section, or the proceeds from the sale of the allowances,
shall be used only for projects and activities to plan for
and address the impacts of climate change on the State and
State residents.
(2) State-specific analysis.--In order to receive
allowances under this section, the State of Alaska shall
develop a State-specific analysis of the potential climate-
change impacts on residents of the State.
(3) Implementation priorities.--Implementation priorities
shall be developed through an integrated analysis of impacts
and strategies.
(c) Report.--The State of Alaska shall annually submit to
the appropriate congressional committees and the appropriate
Federal agencies a report describing the purposes for which
the State has used--
(1) the allowances received under this section; and
(2) the proceeds of the sale by the State of allowances
received under this section.
SEC. 625. IMPACTS ON INDIAN TRIBES.
(a) Purposes.--The purposes of this section are--
(1) to demonstrate the commitment of the United States to
maintaining the unique and continuing relationship of the
United States with, and responsibility of the United States
to, Indian tribes;
(2) to recognize the obligation of the United States to
prepare for the likely disproportionate consequences of
global climate change facing Indian tribes located throughout
the United States;
(3) to establish, in accordance with the principles of
self-determination and government-to-government consultation,
cost-efficient mechanisms to provide for meaningful
participation by Indian tribes in the planning,
implementation, and administration of programs and services
authorized by this Act;
(4) to support and assist Indian tribes in the development
of strong and stable tribal governments that are capable of
administering innovative programs and economic development
initiatives in the face of global climate change;
(5) to establish a self-sustaining Tribal Climate Change
Assistance Fund to address local and regional impacts of
climate change affecting Indian tribes, now and in the
future;
(6) to ensure that any proceeds from the sale of emission
allowances allocated for Indian tribes are soundly invested
and distributed by the Administrator through direct
consultation with Indian tribes as beneficiaries; and
(7) to authorize the Administrator to distribute, by
regulation, funds to Indian tribes in accordance with the
principles established by the Indian Self-Determination and
Education Assistance Act (25 U.S.C. 450 et seq.), in
consultation with the Secretary of the Interior and Indian
tribes, not later than 5 years after the date of enactment of
this Act.
(b) Establishment of Program.--
(1) In general.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall establish a
program--
(A) to assist Indian tribes in addressing local and
regional impacts of climate change in accordance with
subsection (a); and
(B) to distribute proceeds from the Tribal Climate Change
Assistance Fund established by subsection (c) on an annual
basis, beginning not later than January 1, 2011.
(2) Regulations.--The Administrator shall promulgate such
regulations as are necessary to establish and carry out the
program described in paragraph (1)--
(A) in accordance with subchapter IV of chapter 5 of title
5, United States Code; and
(B) in consultation with representatives of Indian tribes
located in each region of the Environmental Protection
Agency.
(c) Fund.--There is established in the Treasury of the
United States a fund, to be known as the ``Tribal Climate
Change Assistance Fund''.
(d) Auctions.--
(1) In general.--In accordance with paragraph (2), to raise
funds for deposit in the Tribal Climate Change Assistance
Fund, for each of calendar years 2012 through 2050, the
Administrator shall--
(A) auction 15 percent of the emission allowances allocated
pursuant to section 621 for the calendar year; and
(B) immediately on completion of the auction, deposit
proceeds of the auction in the Tribal Climate Change
Assistance Fund.
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(e) Use of Funds.--
(1) In general.--Amounts deposited in the Tribal Climate
Change Assistance Fund under subsection (d)(1)(B) that are in
excess of amounts appropriated for the applicable fiscal year
to carry out the Indian Environmental General Assistance
Program Act of 1992 (42 U.S.C. 4368b) and sections 103 and
360(d) of the Clean Air Act (42 U.S.C. 7403, 7601(d)) shall
be made available, without further appropriation or fiscal
year limitation, to the Administrator to carry out the
program established under subsection (b) in accordance with
the purposes described in paragraph (2).
(2) Purposes.--The Administrator shall use amounts in the
Tribal Climate Change Assistance Fund--
(A) to provide assistance to Indian tribes that face
disruption or dislocation as a result of climate change;
(B) to assist Indian tribes in planning and designing
agricultural, forestry, and other land use-related projects
in accordance with the Indian Environmental General
Assistance Program Act of 1992 (42 U.S.C. 4368b);
(C) to assist Indian tribes in the collection of greenhouse
gas and other air quality data through the Indian
Environmental General Assistance Program Act of 1992 (42
U.S.C. 4368b) and the Clean Air Act (42 U.S.C. 7401 et seq.);
(D) to mitigate impacts on low-income Indian energy
consumers;
(E) to promote energy efficiency (including support of
electricity and natural gas demand reduction, waste
minimization, and recycling programs);
(F) to promote investment in nonemitting electricity
generation technology, including planning for the siting of
facilities employing that technology on tribal land;
(G) to collect, evaluate, disseminate, and use information
necessary for affected coastal tribal communities to adapt to
climate change (such as information derived from inundation
prediction systems);
(H) to address local or regional impacts of climate change
policy, including providing assistance to displaced workers;
(I) to reduce hazardous fuels and prevent and suppress
wildland fire;
(J) to fund rural, municipal, and agricultural water
projects that are consistent with the sustainable use of
water resources; and
(K) to fund any other purposes an Indian tribe determines
to be necessary to mitigate any negative economic impacts as
a result of--
(i) global warming; or
(ii) new regulatory requirements as a result of this Act.
(f) No Tribal Authority Requirement.--The Administrator
shall not require Indian tribes to obtain tribal authority
under section 360(d) of the Clean Air Act (42 U.S.C. 7601(d))
as a condition of participation in any program authorized by
this subtitle.
(g) Report.--An Indian tribe receiving allowances under
this section shall annually submit to the appropriate
congressional committees and the appropriate Federal agencies
a report describing the purposes for which the Indian tribe
has used--
(1) the allowances received under this section; and
(2) the proceeds of the sale by the Indian tribe of
allowances received under this section
[[Page S5079]]
Subtitle D--Partnerships With States, Localities, and Indian Tribes to
Protect Natural Resources
SEC. 631. STATE WILDLIFE ADAPTATION FUND.
(a) Establishment.--There is established in the Treasury of
the United States a fund, to be known as the ``State Wildlife
Adaptation Fund'' (referred to in this section as the
``Fund'').
(b) Auctions.--
(1) In general.--In accordance with paragraph (2) and
subsection (c), for each of calendar years 2012 through 2050,
the Administrator shall auction a percentage of emission
allowances established for the calendar year pursuant to
section 201(a) to raise funds for deposit in the Fund.
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(c) Quantities of Emission Allowances Auctioned.--For each
calendar year of the period described in subsection (b)(1),
the Administrator shall auction a quantity of emission
allowances in accordance with the applicable percentages
described in the following table:
------------------------------------------------------------------------
Percentage for
Calendar year auction for Fund
------------------------------------------------------------------------
2012................................................ 2
2013................................................ 2
2014................................................ 2
2015................................................ 2
2016................................................ 2
2017................................................ 2
2018................................................ 2
2019................................................ 2
2020................................................ 2
2021................................................ 2
2022................................................ 2
2023................................................ 2
2024................................................ 3
2025................................................ 3
2026................................................ 3
2027................................................ 4
2028................................................ 4
2029................................................ 4
2030................................................ 4
2031................................................ 4
2032................................................ 4
2033................................................ 4
2034................................................ 4
2035................................................ 4
2036................................................ 4
2037................................................ 4
2038................................................ 4
2039................................................ 4
2040................................................ 4
2041................................................ 4
2042................................................ 4
2043................................................ 4
2044................................................ 4
2045................................................ 4
2046................................................ 4
2047................................................ 4
2048................................................ 4
2049................................................ 4
2050................................................ 4.
------------------------------------------------------------------------
(d) Pittman-Robertson Wildlife Restoration Program.--
(1) Deposit.--As soon as practicable after conducting an
auction under subsection (b), the Administrator shall deposit
78 percent of the proceeds of the auction in the Fund.
(2) Use of proceeds.--Amounts deposited in the Fund under
paragraph (1) shall be made available, without further
appropriation or fiscal year limitation, to the Secretary of
the Interior for distribution to States through the Wildlife
Conservation and Restoration Account established under
section 3(a)(2) of the Pittman-Robertson Wildlife Restoration
Act (16 U.S.C. 669b(a)(2)), to carry out adaptation
activities in accordance with comprehensive State adaptation
strategies, as described in section 633.
(e) Land and Water Conservation.--
(1) Deposit.--As soon as practicable after conducting an
auction under subsection (b), the Administrator shall deposit
22 percent of the proceeds of the auction in the Land and
Water Conservation Fund established under section 2 of the
Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l-
5).
(2) Use.--Deposits to the Land and Water Conservation Fund
under paragraph (1) shall--
(A) be supplemental to amounts appropriated pursuant to
section 3 of the Land and Water Conservation Fund Act of 1965
(16 U.S.C. 460l-6), which shall remain available for
nonadaptation needs; and
(B) notwithstanding section 3 of the Land and Water
Conservation Fund Act of 1965 (16 U.S.C. 460l-6), be
available without further appropriation or fiscal year
limitation.
(3) Allocations.--Of the amounts deposited in the Land and
Water Conservation Fund under paragraph (1)--
(A) \1/6\ shall be allocated to the Secretary of the
Interior and made available on a competitive basis to carry
out adaptation activities through the acquisition of land and
interests in land under section 6 of the Land and Water
Conservation Fund Act of 1965 (16 U.S.C. 460l-8)--
(i) to States, in accordance with comprehensive wildlife
conservation strategies, and to Indian tribes;
(ii) notwithstanding section 5 of that Act (16 U.S.C. 460l-
7); and
(iii) in addition to grants provided pursuant to--
(I) annual appropriations Acts;
(II) the Energy Policy Act of 2005 (42 U.S.C. 15801 et
seq.); or
(III) any other authorization for nonadaptation needs;
(B) \1/3\ shall be allocated to the Secretary of the
Interior to carry out adaptation activities through the
acquisition of land and interests in land under section 7 of
the Land and Water Conservation Fund Act of 1965 (16 U.S.C.
460l-9);
(C) \1/6\ shall be allocated to the Secretary of
Agriculture and made available to the States to carry out
adaptation activities through the acquisition of land and
interests in land under section 7 of the Forest Legacy
Program under the Cooperative Forestry Assistance Act of 1978
(16 U.S.C. 2103c); and
(D) \1/3\ shall be allocated to the Secretary of
Agriculture to carry out adaptation activities through the
acquisition of land and interests in land under section 7 of
the Land and Water Conservation Fund Act of 1965 (16 U.S.C.
460l-9).
(4) Expenditure of funds.--In allocating funds under
paragraph (2), the Secretary of the Interior and the
Secretary of Agriculture shall take into consideration
factors including--
(A) the availability of non-Federal contributions from
State, local, or private sources;
(B) opportunities to protect wildlife corridors or
otherwise to link or consolidate fragmented habitats;
(C) opportunities to reduce the risk of catastrophic
wildfires, extreme flooding, or other climate-related events
that are harmful to fish, wildlife, and individuals;
(D) the potential for conservation of species or habitat
types at serious risk due to climate change, ocean
acidification, and other stressors; and
(E) the potential to provide enhanced access to land and
water for fishing, hunting, and other public recreational
uses.
SEC. 632. COST-SHARING.
Notwithstanding any other provision of law, a State or
Indian tribe that receives a grant under section 631 shall
provide 10 percent of the costs of each activity carried out
using the grant.
SEC. 633. STATE COMPREHENSIVE ADAPTATION STRATEGIES.
(a) In General.--Except as provided in subsection (b),
amounts made available to States pursuant to this subtitle
shall be used only for activities that are consistent with a
State strategy that has been approved by--
(1) the Secretary of the Interior; and
(2) for any State with a coastal zone (within the meaning
of the Coastal Zone Management Act of 1972 (16 U.S.C. 1451 et
seq.)), by the Secretary of Commerce, subject to the
condition that approval by the Secretary of Commerce shall be
required only for those portions of the strategy relating to
activities affecting the coastal zone.
(b) Initial Receipt of Funds.--
(1) In general.--Until the earlier of the date that is 3
years after the date of enactment of this Act or the date on
which a State receives approval for a State strategy, a State
shall be eligible to receive funds under this subtitle for
adaptation activities that are--
(A) consistent with the comprehensive wildlife strategy of
the State and, if appropriate, other fish, wildlife, and
conservation strategies; and
(B) in accordance with a workplan developed in coordination
with--
(i) the Secretary of the Interior; and
(ii) for any State with a coastal zone (within the meaning
of the Coastal Zone Management Act (16 U.S.C. 1451 et seq.)),
the Secretary of Commerce, subject to the condition that
coordination with the Secretary of Commerce shall be required
only for those portions of the strategy relating to
activities affecting the coastal zone.
(2) Pending approval.--During the period for which approval
by the applicable Secretary of a State strategy described in
paragraph (1) is pending, the State may continue receiving
funds under this subtitle pursuant to the workplan described
paragraph (1)(B).
(c) Requirements.--A State strategy shall--
(1) describe the impacts of climate change and ocean
acidification on the diversity and health of the fish,
wildlife, and plant populations, habitats, aquatic and
terrestrial ecosystems, and associated ecological processes;
(2) describe and prioritize proposed conservation,
protection, and restoration actions to assist fish, wildlife,
aquatic and terrestrial ecosystems, and plant populations in
adapting to those impacts;
(3) establish programs for monitoring the impacts of
climate change on fish, wildlife, and plant populations,
habitats, aquatic and terrestrial ecosystems, and associated
ecological processes;
(4) include strategies, specific conservation, protection,
and restoration actions, and a timeframe for implementing
conservation actions for fish, wildlife, and plant
populations, habitats, aquatic and terrestrial ecosystems,
and associated ecological processes;
(5) establish methods for--
(A) assessing the effectiveness of conservation,
protection, and restoration actions
[[Page S5080]]
taken to assist fish, wildlife, and plant populations,
habitats, aquatic and terrestrial ecosystems and associated
ecological processes in adapting to those impacts; and
(B) updating those actions to respond appropriately to new
information or changing conditions;
(6) be developed--
(A) with the participation of the State fish and wildlife
agency, the State agency responsible for administration of
Land and Water Conservation Fund grants, the State Forest
Legacy Program coordinator, the State environmental agency,
and the State coastal agency; and
(B) in coordination with the Secretary of the Interior and,
if applicable, the Secretary of Commerce;
(7) provide for solicitation and consideration of public
and independent scientific input;
(8) include strategies that engage youth and young adults
(including youth and young adults working in full-time or
part-time youth service or conservation corps programs) to
provide the youth and young adults with opportunities for
meaningful conservation and community service, and to
encourage opportunities for employment in the private sector
through partnerships with employers;
(9) take into consideration research and information
contained in, and coordinate with and integrate the goals and
measures identified in, as appropriate, other fish, wildlife,
aquatic and terrestrial ecosystems, and habitat conservation
strategies, including--
(A) the national fish habitat action plan;
(B) plans under the North American Wetlands Conservation
Act (16 U.S.C. 4401 et seq.);
(C) the Federal, State, and local partnership known as
``Partners in Flight'';
(D) federally approved coastal zone management plans under
the Coastal Zone Management Act of 1972 (16 U.S.C. 1451 et
seq.);
(E) federally approved regional fishery management plans
and habitat conservation activities under the Magnuson
Fishery Conservation and Management Act (16 U.S.C. 1801 et
seq.);
(F) the national coral reef action plan;
(G) recovery plans for threatened species and endangered
species under section 4(f) of the Endangered Species Act of
1973 (16 U.S.C. 1533(f));
(H) habitat conservation plans under section 10 of that Act
(16 U.S.C. 1539);
(I) other Federal and State plans for imperiled species;
(J) the United States shorebird conservation plan;
(K) the North American waterbird conservation plan;
(L) federally approved watershed plans under the Federal
Water Pollution Control Act (33 U.S.C. 1251 et seq.); and
(M) other State-based strategies that comprehensively
implement adaptation activities to remediate the effects of
climate change and ocean acidification on fish, wildlife,
habitats, and aquatic and terrestrial ecosystems; and
(10) be incorporated into a revision of the comprehensive
wildlife conservation strategy of a State--
(A) that has been submitted to the United States Fish and
Wildlife Service; and
(B)(i) that has been approved by the Service; or
(ii) on which a decision on approval is pending.
(d) Updating.--Each State strategy under this section shall
be updated not less frequently than once every 5 years.
TITLE VII--RECOGNIZING EARLY ACTION
SEC. 701. REGULATIONS.
Not later than 2 years after the date of enactment of this
Act, the Administrator shall promulgate regulations
establishing a program, to be known as the ``Early Action
Program'', for distributing emission allowances to entities
that emit greenhouse gas in the United States, in recognition
of verified greenhouse gas emission reductions that--
(1) occurred before the date of promulgation of the
regulations; and
(2) resulted from actions taken by the entities after
January 1, 1994, and before the date of enactment of this
Act.
SEC. 702. ALLOCATION.
Not later than 2 years after the date of enactment of this
Act, the Administrator shall allocate to the Early Action
Program established under section 701 quantities of the
emission allowances established for calendar years 2012
through 2025 pursuant to section 201(a), in accordance with
the following table:
------------------------------------------------------------------------
Percentage for
allocation to
Calendar year Early Action
Program
------------------------------------------------------------------------
2012................................................ 5
2013................................................ 5
2014................................................ 5
2015................................................ 4
2016................................................ 3
2017................................................ 3
2018................................................ 1
2019................................................ 1
2020................................................ 1
2021................................................ 1
2022................................................ 1
2023................................................ 1
2024................................................ 1
2025................................................ 1.
------------------------------------------------------------------------
SEC. 703. GENERAL DISTRIBUTION.
Not later than 4 years after the date of enactment of this
Act, the Administrator shall complete distribution to
entities described in section 701 of all emission allowances
allocated to the Early Action Program under section 702.
SEC. 704. DISTRIBUTION TO ENTITIES HOLDING STATE EMISSION
ALLOWANCES.
(a) Definition of Eligible Entity.--In this section, the
term ``eligible entity'' means an entity that--
(1) is located in the United States; and
(2) as of December 31, 2011, holds emission allowances
issued--
(A) by the State of California; or
(B) for the Regional Greenhouse Gas Initiative.
(b) Distribution.--Of the quantity of emission allowances
allocated for the Early Action Program under section 702,
each eligible entity shall receive emission allowances
sufficient to compensate the eligible entity for the cost to
the eligible entity of obtaining and holding the emission
allowances under subsection (a)(2).
SEC. 705. DISTRIBUTION TO POWER PLANTS THAT REPOWERED
PURSUANT TO CONSENT DECREES.
(a) Definition of Eligible Facility.--In this section, the
term ``eligible facility'' means an electricity generating
facility that--
(1) is located in the United States; and
(2) repowered from coal before January 1, 2005, pursuant to
a consent decree.
(b) Distribution.--Subject to subsection (c), of the
quantity of emission allowances allocated for the Early
Action Program under section 702, each owner or operator of
an eligible facility shall receive a quantity of emission
allowances equal to the sum of--
(1) the verified quantity of metric tons of carbon dioxide
the emission of which by the eligible facility was avoided as
a result of the repowering, during the period beginning on
the date on which the repowering began and ending on the date
of enactment of this Act; and
(2) the aggregate quantity of emission allowances that, as
a result of the lower annual carbon dioxide emissions
resulting from the repowering, will not be distributed to the
owner or operator of the facility pursuant to subtitle F of
title V.
(c) Limitation.--Notwithstanding subsection (b), the total
quantity of emission allowances distributed pursuant to this
section shall not exceed 80,000,000.
SEC. 706. DISTRIBUTION TO CARBON CAPTURE AND SEQUESTRATION
PROJECTS.
(a) Definition of Eligible Project.--In this section, the
term ``eligible project'' means a carbon capture and
sequestration project associated with an anthropogenic source
of carbon dioxide in the United States, the performance of
which is monitored by a network developed by an international
collaborative government and industry research program.
(b) Distribution.--The regulations established pursuant to
section 701 shall provide for the distribution of emission
allowances to eligible projects.
(c) Limitation.--Notwithstanding subsection (b), the total
quantity of emission allowances distributed pursuant to this
section shall not exceed 25,000,000.
TITLE VIII--EFFICIENCY AND RENEWABLE ENERGY
Subtitle A--Efficient Buildings
SEC. 801. ALLOCATION.
Not later than 330 days before the beginning of each of
calendar years 2012 through 2050, the Administrator shall
allocate to the Climate Change Technology Board established
by section 431 0.75 percent of the emission allowances
established pursuant to section 201(a) for that calendar
year, for the purpose of conducting the Efficient Buildings
Allowance Program established pursuant to section 802.
SEC. 802. EFFICIENT BUILDINGS ALLOWANCE PROGRAM.
(a) In General.--The Climate Change Technology Board shall
establish and carry out a program, to be known as the
``Efficient Buildings Allowance Program,'' for distributing
the emission allowances allocated pursuant to section 801
among owners of buildings in the United States as reward for
constructing highly-efficient buildings in the United States
and for increasing the efficiency of existing buildings in
the United States.
(b) Requirements.--Emission allowances shall be distributed
under this section to owners of buildings in the United
States based on the extent to which projects relating to the
buildings of the owners result in verifiable, additional, and
enforceable improvements in energy performance--
(1) in new or renovated buildings that demonstrate
exemplary performance by achieving a minimum score of 75 on
the benchmarking tool of the Energy Star program established
by section 324A of the Energy Policy and Conservation Act (42
U.S.C. 6294a), or an equivalent score on an established
energy performance benchmarking metric selected by the
Climate Change Technology Board; and
(2) in retrofitted existing buildings that demonstrate
substantial improvement in the score or rating on that
benchmarking tool by a minimum of 30 points, or an equivalent
improvement using an established performance benchmarking
metric selected by the Climate Change Technology Board.
[[Page S5081]]
(c) Priority.--In distributing the allowances, priority
shall given to projects--
(1) completed by building owners with a proven track record
of building energy performance; or
(2) that result in measurable greenhouse gas reduction
benefits not encompassed within the metrics of the Energy
Star program described in subsection (b)(1).
Subtitle B--Efficient Equipment and Appliances
SEC. 811. ALLOCATION.
Not later than 330 days before the beginning of each of
calendar years 2012 through 2050, the Administrator shall
allocate to the Climate Change Technology Board established
by section 431 0.75 percent of the emission allowances
established pursuant to section 201(a) for that calendar
year, for the purpose of conducting the Super-Efficient
Equipment and Appliances Development Program established
pursuant to section 812.
SEC. 812. SUPER-EFFICIENT EQUIPMENT AND APPLIANCES DEPLOYMENT
PROGRAM.
(a) In General.--The Climate Change Technology Board shall
establish and administer a program, to be known as the
``Super-Efficient Equipment and Appliances Deployment
Program'', to distribute the emission allowances allocated
pursuant to section 811 among retailers and distributors in
the United States as reward for increasing the sales by the
retailers and distributors of high-efficiency building
equipment, high-efficiency consumer electronics, and high-
efficiency household appliances through marketing strategies
such as consumer rebates, with the goal of minimizing life-
cycle costs for consumers and maximizing public benefit.
(b) Size of Individual Rewards.--The size of each reward
for each product-type shall be determined by the Climate
Change Technology Board, in consultation with the
Administrator, the Secretary of Energy, State and utility
efficiency program administrators, and national laboratories.
(c) Reporting.--Each retailer and distributor participating
in the program under this section shall be required to report
to the Climate Change Technology Board, on a confidential
basis for program-design purposes--
(1) the number of products sold within each product-type;
and
(2) wholesale purchase-price data.
(d) Cost-Effectiveness Requirement.--
(1) Definitions.--In this subsection:
(A) Cost-effectiveness.--The term ``cost-effectiveness''
means a measure of aggregate savings equal to the product
obtained by multiplying--
(i) the net number of highly-efficient pieces of equipment,
electronics, and appliances sold by a retailer or distributor
in a calendar year; by
(ii) the savings during the projected useful life, but not
to exceed 10 years, of the pieces of equipment, electronics,
and appliances, including the impact of any documented
measures to retire low-performing devices at the time of
purchase of highly-efficient substitutes.
(B) Savings.--The term ``savings'' means megawatt-hours of
electricity or million British thermal units of other fuels
saved by a product, in comparison to projected energy
consumption based on the efficiency performance of displaced
new product sales.
(2) Requirement.--The Climate Change Technology Board shall
make cost-effectiveness a top priority in distributing
emission allowances pursuant to this section.
Subtitle C--Efficient Manufacturing
SEC. 821. ALLOCATION.
Not later than 330 days before the beginning of each of
calendar years 2012 through 2050, the Administrator shall
allocate to the Climate Change Technology Board established
by section 431 0.75 percent of the emission allowances
established pursuant to section 201(a) for that calendar
year, for the purpose of conducting the Efficient
Manufacturing Program established pursuant to section 822.
SEC. 822. EFFICIENT MANUFACTURING PROGRAM.
(a) In General.--The Climate Change Technology Board shall
establish and carry out a program, to be known as the
``Efficient Manufacturing Program,'' to distribute the
emission allowances allocated pursuant to section 821 among
owners and operators of manufacturing facilities in the
United States, as reward for achieving high levels of
efficiency in the operations of the owners and operators.
(b) Requirements.--The Efficient Manufacturing Program
established pursuant to subsection (a) shall provide that--
(1) the rewards of emission allowances under the Program
shall include rewards for use of recycled material in
manufacturing; and
(2) the Climate Change Technology Board shall give priority
in distributing emission allowances to entities that--
(A) document the greatest use of domestically-sourced parts
and components;
(B) return to productive service existing idle
manufacturing capacity;
(C) are located in States with the greatest availability of
unemployed manufacturing workers;
(D) compensate workers, at a minimum, in an amount that is
equal to at least 100 percent of the State average
manufacturing wage, plus health insurance benefits;
(E) demonstrate a high probability of commercial success;
and
(F) achieve other criteria, as the Climate Change
Technology Board determines to be appropriate.
Subtitle D--Renewable Energy
SEC. 831. ALLOCATION.
(a) First Period.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2030, the
Administrator shall allocate to the Climate Change Technology
Board established by section 431 4 percent of the emission
allowances established pursuant to section 201(a) for that
calendar year.
(b) Second Period.--Not later than 330 days before the
beginning of each of calendar years 2031 through 2050, the
Administrator shall allocate to the Climate Change Technology
Board established by section 431 1 percent of the emission
allowances established pursuant to section 201(a) for that
calendar year.
SEC. 832. BONUS ALLOWANCES FOR RENEWABLE ENERGY.
(a) Definition of Renewable-Energy Source.--In this
section, the term ``renewable-energy source'' means energy
from 1 or more of the following sources:
(1) Solar energy.
(2) Wind.
(3) Geothermal energy.
(4) Incremental hydropower.
(5) Biomass.
(6) Ocean waves.
(7) Landfill gas.
(8) Livestock methane.
(9) Fuel cells powered with a renewable-energy source.
(b) Bonus Allowances.--The Climate Change Technology Board
shall distribute the emission allowances allocated pursuant
to section 831 among owners, operators, and developers of
facilities, including distributed-energy and transmission
systems, in the United States that harness a renewable-energy
source, as reward for the start-up, expansion, and operation
of the facilities.
(c) Administration.--In distributing emission allowances
pursuant to this section, the Climate Change Technology Board
shall provide appropriate rewards for regulated investor-
owned utilities, municipal utilities, electric cooperatives,
and independent power producers.
(d) Limitation.--A project may not receive a distribution
of emission allowances under this section if the project--
(1) receives an award under subtitle A of title IX; or
(2) is supported under subtitle A or subtitle C of title
III.
(e) Requirements.--
(1) In general.--A reward of allowances for construction,
alteration, or repair under this subtitle shall be
conditioned on a written assurance of payment, to all
laborers and mechanics employed by contractors or
subcontractors for that work, of wages at rates not less than
those prevailing on the same types of work in the locality,
as determined by the Secretary of Labor in accordance with
sections 3141 through 3144, 3146, and 3147 of title 40,
United States Code.
(2) Authority of secretary of labor.--With respect to the
labor standards described in paragraph (1), the Secretary of
Labor shall have the authority and functions established in
Reorganization Plan Number 14 of 1950 (5 U.S.C. App.) and
section 3145 of title 40, United States Code.
TITLE IX--LOW-CARBON ELECTRICITY AND ADVANCED RESEARCH
Subtitle A--Low- and Zero-Carbon Electricity Technology
SEC. 901. DEFINITIONS.
In this subtitle:
(1) Engineering integration costs.--The term ``engineering
integration costs'' includes the costs of engineering tasks
relating to--
(A) redesigning manufacturing processes to begin producing
qualifying components and zero- or low-carbon generation
technologies;
(B) designing new tooling and equipment for production
facilities that produce qualifying components and zero- or
low-carbon generation technologies; and
(C) establishing or expanding manufacturing operations for
qualifying components and zero- or low-carbon generation
technologies.
(2) Qualifying component.--The term ``qualifying
component'' means a component that the Secretary of Energy
determines to be specially designed for zero- or low-carbon
generation technology.
(3) Savings.--The term ``savings'' means megawatt-hours of
electricity or million British thermal units of natural gas
saved by a product, in comparison to projected energy
consumption under an efficiency standard applicable to the
product.
(4) Zero- or low-carbon generation.--The term ``zero- or
low-carbon generation'' means generation of electricity by an
electric generation unit that--
(A) emits no carbon dioxide into the atmosphere; and
(B) was placed into commercial service after the date of
enactment of this Act.
(5) Zero- or low-carbon generation technology.--The term
``zero- or low-carbon generation technology'' means a
technology used to create zero- or low-carbon generation.
SEC. 902. LOW- AND ZERO-CARBON ELECTRICITY TECHNOLOGY FUND.
There is established in the Treasury of the United States a
fund, to be known as the ``Low- and Zero-Carbon Electricity
Technology Fund''.
SEC. 903. AUCTIONS.
(a) First Period.--
[[Page S5082]]
(1) In general.--For each of calendar years 2012 through
2021, the Administrator shall, in accordance with paragraph
(2), auction 1.75 percent of the quantity of emission
allowances established pursuant to section 201(a) for the
calendar year to raise funds for deposit in the Low- and
Zero-Carbon Electricity Technology Fund.
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(b) Second Period.--
(1) In general.--For each of calendar years 2022 through
2030, the Administrator shall, in accordance with paragraph
(2), auction 2 percent of the quantity of emission allowances
established pursuant to section 201(a) for the calendar year
to raise funds for deposit in the Low- and Zero-Carbon
Electricity Technology Fund.
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(c) Third Period.--
(1) In general.--For each of calendar years 2031 through
2050, the Administrator shall, in accordance with paragraph
(2), auction 1 percent of the quantity of emission allowances
established pursuant to section 201(a) for the calendar year
to raise funds for deposit in the Low- and Zero-Carbon
Electricity Technology Fund.
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
SEC. 904. DEPOSITS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to section 903, immediately on receipt of
those proceeds, in the Low- and Zero-Carbon Electricity
Technology Fund.
SEC. 905. USE OF FUNDS.
For each of calendar years 2012 through 2050, all funds
deposited in the Low- and Zero-Carbon Electricity Technology
Fund during the preceding calendar year pursuant to section
904 shall be made available, without further appropriation or
fiscal year limitation, to the Climate Change Technology
Board established by section 431 to carry out the financial
incentives program established under section 906.
SEC. 906. FINANCIAL INCENTIVES PROGRAM.
For fiscal year 2011 and each fiscal year thereafter, the
Climate Change Technology Board shall competitively award
financial incentives under this subtitle in the technology
categories of--
(1) the production of electricity from new zero- or low-
carbon generation; and
(2) facility establishment or conversion by manufacturers
and component suppliers of zero- or low-carbon generation
technology.
SEC. 907. REQUIREMENTS.
(a) In General.--The Climate Change Technology Board shall
make awards under this section to domestic producers of new
zero- or low-carbon generation, and domestic facilities and
operations of manufacturers and component suppliers of zero-
or low-carbon generation technology--
(1) in the case of producers of new zero- or low-carbon
generation, based on the bid of each generator in terms of
dollars per megawatt-hour of electricity generated; and
(2) in the case of qualifying manufacturers of zero- or
low-carbon generation technology, based on the criteria
described in section 909.
(b) Acceptance of Bids.--
(1) In general.--In making awards under paragraphs (1) and
(2) of subsection (a), the Climate Change Technology Board
shall--
(A) solicit bids for reverse auction from appropriate
producers and manufacturers, as determined by the Climate
Change Technology Board; and
(B) award financial incentives to the producers and
manufacturers that submit the lowest bids that meet the
requirements established by the Climate Change Technology
Board.
(2) Factors for conversion.--
(A) In general.--For the purpose of assessing bids under
paragraph (1), the Climate Change Technology Board shall
specify a factor for converting megawatt-hours of electricity
and million British thermal units of natural gas to common
units.
(B) Requirement.--The conversion factor shall be based on
the relative greenhouse gas emission benefits of electricity
and natural gas conservation.
SEC. 908. FORMS OF AWARDS.
(a) Zero- and Low-Carbon Generators.--
(1) In general.--Subject to paragraph (2), an award for
zero- or low-carbon generation under this subtitle shall be
in the form of a contract to provide a production payment for
commercial service of the generation unit in an amount equal
to the product obtained by multiplying--
(A) the amount of the bid by the producer of the zero- or
low-carbon generation; and
(B) the quantity of net megawatt-hours generated by the
zero- or low-carbon generation unit each year during the
first 10 years following the end of the calendar year of the
award.
(2) Commercial service.--A producer may receive an award
for a generation unit under this subsection only if the first
year of commercial service of the generation unit occurs
within 5 years of the end of the calendar year of the award.
(b) Manufacturing of Zero- or Low-Carbon Generation
Technology.--
(1) In general.--An award for the establishment of a
facility or conversion costs for zero- or low-carbon
generation technology shall be in an amount equal to not more
than 30 percent of the cost of--
(A) establishing, reequipping, or expanding a manufacturing
facility to produce--
(i) qualifying zero- or low-carbon generation technology;
or
(ii) qualifying components;
(B) engineering integration costs of zero- or low-carbon
generation technology and qualifying components; and
(C) property, machine tools, and other equipment acquired
or constructed primarily to enable the recipient to test
equipment necessary for the construction or operation of a
zero- or low-carbon generation facility.
(2) Minimum amount.--The Climate Change Technology Board
shall use not less than \1/4\ of the amounts made available
to carry out this section to make awards to entities for the
manufacturing of zero- or low-carbon generation technology.
SEC. 909. SELECTION CRITERIA.
(a) In General.--In making awards under this subtitle to
qualifying manufacturers of zero- or low-carbon generation
technology and qualifying components, the Climate Change
Technology Board shall select manufacturers that--
(1) document the greatest use of domestically-sourced parts
and components;
(2) return to productive service existing idle
manufacturing capacity;
(3) are located in States with the greatest availability of
unemployed manufacturing workers;
(4) compensate workers in an amount that is at least 100
percent of the State average manufacturing wage, plus health
insurance benefits;
(5) demonstrate a high probability of commercial success;
and
(6) achieve other criteria, as the Climate Change
Technology Board determines to be appropriate.
(b) Requirements.--
(1) In general.--Funding for construction, alteration, or
repair under this subtitle shall be conditioned on a written
assurance of payment, to all laborers and mechanics employed
by contractors or subcontractors for the construction,
alteration, or repair, of wages at rates not less than those
prevailing on the same types of work in the locality, as
determined by the Secretary of Labor in accordance with
sections 3141 through 3144, 3146, and 3147 of title 40,
United States Code.
(2) Authority of secretary of labor.--The Secretary of
Labor shall, with respect to the labor standards described in
paragraph (1), have the authority and functions set forth in
Reorganization Plan Numbered 14 of 1950 (5 U.S.C. App.) and
section 3145 of title 40, United States Code.
Subtitle B--Advanced Research
SEC. 911. AUCTIONS.
(a) In General.--For each of calendar years 2012 through
2050, the Administrator shall, in accordance with subsection
(b), auction 0.25 percent of the quantity of emission
allowances established pursuant to section 201(a) for the
calendar year to raise funds for deposit in the energy
transformation acceleration fund described in section 912.
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
SEC. 912. DEPOSITS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to section 911, immediately on receipt of
those proceeds, in an energy transformation acceleration fund
in the Treasury that is administered by the Director of the
Advanced Research Projects Agency of the Department of
Energy.
SEC. 913. USE OF FUNDS.
No amounts deposited in the energy transformation
acceleration fund pursuant to section 912 shall be disbursed,
except pursuant to an appropriation Act.
[[Page S5083]]
TITLE X--FUTURE OF COAL
Subtitle A--Kick-Start for Carbon Capture and Sequestration
SEC. 1001. CARBON CAPTURE AND SEQUESTRATION TECHNOLOGY FUND.
There is established in the Treasury of the United States a
fund, to be known as the ``Carbon Capture and Sequestration
Technology Fund'' (referred to in this subtitle as the
``Fund''), consisting of such amounts as are deposited in the
Fund under section 1003.
SEC. 1002. AUCTIONS.
Not later than 120 days after the date of enactment of this
Act, and annually thereafter through 2022, the Administrator
shall auction, to raise funds for deposit in the Fund, 1
percent of the quantity of emission allowances established
pursuant to section 201(a) for the calendar year that occurs
3 years after the calendar year during which the auction is
conducted.
SEC. 1003. DEPOSITS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to section 1002, immediately on receipt of
those proceeds, in the Fund.
SEC. 1004. USE OF FUNDS.
(a) Expenditures From Fund.--On request by the Climate
Change Technology Board established by section 431 (referred
to in this subtitle as the ``Board''), the Secretary of the
Treasury shall transfer from the Fund to the Board such
amounts as the Board determines are necessary to carry out
the Kick-Start Program under section 1005.
(b) Availability of Funds.--Funds transferred under
subsection (a) shall be made available to the Board without
further appropriation or fiscal year limitation.
SEC. 1005. KICK-START PROGRAM.
(a) In General.--The Board shall use the amounts in the
Fund to establish and implement a program for early
deployment of carbon capture and sequestration technology in
the United States (referred to in this section as the ``Kick-
Start Program'').
(b) Goal.--The Board shall design and operate the Kick-
Start Program with the goal of rapidly bringing into
operation in the United States not fewer than 5 nor more than
10 commercial facilities that capture and geologically
sequester carbon released when coal is used to generate
electricity.
(c) Basis.--The Board shall base the Kick-Start Program on
the ``Early Deployment Fund'' recommendation contained in the
final report issued by the Advanced Coal Technology Work
Group of the Clean Air Act Advisory Committee of the
Environmental Protection Agency and dated January 29, 2008.
(d) Coal Diversity.--The Kick-Start Program shall ensure
that a range of domestic coal types is employed in facilities
receiving support under the Kick-Start Program.
(e) Priority.--Awards of financial support under the Kick-
Start Program shall be made in a manner that maximizes the
avoidance or reduction of greenhouse gas emissions.
(f) Requirements.--
(1) In general.--As a condition of receiving funding for
construction, alteration, or repair activities under the
Kick-Start Program, an individual or entity shall provide, to
each laborer and mechanic employed by each contractor or
subcontractor for the activity, a written assurance of
payment of wages at rates not less than those prevailing on
the same types of work in the locality, as determined by the
Secretary of Labor in accordance with sections 3141 through
3144, 3146, and 3147 of title 40, United States Code.
(2) Authority of secretary of labor.--With respect to the
labor standards described in paragraph (1), the Secretary of
Labor shall have the authority and functions established in
Reorganization Plan Number 14 of 1950 (5 U.S.C. App.) and
section 3145 of title 40, United States Code.
Subtitle B--Long-Term Carbon Capture and Sequestration Incentives
SEC. 1011. ALLOCATION.
Not later than 2 years after the date of enactment of this
Act, the Administrator shall--
(1) establish an account to be known as the ``Bonus
Allowance Account'' for carbon capture and sequestration
projects in the United States; and
(2) allocate to the Bonus Allowance Account quantities of
the emission allowances established for calendar years 2012
through 2050 pursuant to section 201(a) in accordance with
the following table:
------------------------------------------------------------------------
Percentage for allocation
Calendar Year to Bonus Allowance Account
------------------------------------------------------------------------
2012........................................ 3
2013........................................ 3
2014........................................ 3
2015........................................ 3
2016........................................ 3
2017........................................ 3
2018........................................ 3
2019........................................ 3
2020........................................ 3
2021........................................ 3
2022........................................ 3
2023........................................ 3
2024........................................ 3
2025........................................ 3
2026........................................ 4
2027........................................ 4
2028........................................ 4
2029........................................ 4
2030........................................ 4
2031........................................ 1
2032........................................ 1
2033........................................ 1
2034........................................ 1
2035........................................ 1
2036........................................ 1
2037........................................ 1
2038........................................ 1
2039........................................ 1
2040........................................ 1
2041........................................ 1
2042........................................ 1
2043........................................ 1
2044........................................ 1
2045........................................ 1
2046........................................ 1
2047........................................ 1
2048........................................ 1
2049........................................ 1
2050........................................ 1.
------------------------------------------------------------------------
SEC. 1012. QUALIFYING PROJECTS.
(a) Definitions.--In this section:
(1) Commenced.--The term ``commenced'', with respect to
construction, means that an owner or operator has--
(A) obtained the necessary permits to undertake a
continuous program of construction; and
(B) entered into a binding contractual obligation, with
substantial financial penalties for cancellation, to
undertake a program described in subparagraph (A).
(2) Construction.--The term ``construction'' means the
fabrication, erection, or installation of the technology for
a carbon capture and sequestration project.
(3) New entrant.--The term ``new entrant'' means an
electric generating unit that begins operation after the date
of enactment of this Act.
(b) Eligibility.--To be eligible to receive emission
allowances under this subtitle, a carbon capture and
sequestration project shall--
(1) comply with such criteria and procedures as the
Administrator may establish, including a requirement, as
prescribed in subsection (c), for an annual emission
performance standard for carbon dioxide emissions from any
unit for which allowances are allocated;
(2) sequester, in a geological formation permitted by the
Administrator for that purpose in accordance with regulations
promulgated under part C of the Safe Drinking Water Act (42
U.S.C. 300h et seq.), carbon dioxide captured from any unit
for which allowances are allocated;
(3) have begun operation during the period beginning on
January 1, 2008, and ending on December 31, 2035; and
(4) not produce a transportation fuel that contains more
than 10 kilograms of fossil-based carbon per million British
thermal units, higher heat value.
(c) Emission Performance Standards.--Subject to subsection
(d), a carbon capture and sequestration project shall be
eligible to receive emission allowances under this subtitle
only if the project achieves 1 of the following emission
performance standards for limiting carbon dioxide emissions
from the unit:
(1)(A) An electric generation unit that is not a new
entrant and that commences operation of carbon capture and
sequestration equipment before January 1, 2016, shall--
(i) treat at least the amount of flue gas equivalent to 100
megawatts of the output of the generation unit; and
(ii) be designed to capture and sequester at least 85
percent of the carbon dioxide in that flue gas.
(B) The bonus allowance adjustment ratio under section
1013(b) shall apply only to the megawatt-hours and carbon
dioxide emissions attributable to the treated share of the
flue gas of the generation unit.
(2) An electric generation unit that is not a new entrant
and that commences operation of carbon capture and
sequestration equipment on or after January 1, 2016, shall
achieve an average annual emission rate of not more than
1,200 pounds of carbon dioxide per megawatt-hour of net
electricity generation, after subtracting the carbon dioxide
that is captured and sequestered.
(3) A new entrant electric generation unit for which
construction of the unit commenced before July 1, 2018, shall
achieve an average annual emission rate of not more than 800
pounds of carbon dioxide per megawatt-hour of net electricity
generation, after subtracting the carbon dioxide that is
captured and sequestered.
(4) A new entrant electric generation unit for which
construction of the unit commenced on or after July 1, 2018,
shall achieve an average annual emission rate of not more
than 350 pounds of carbon dioxide per megawatt-hour of net
electricity generation, after subtracting the carbon dioxide
that is captured and sequestered.
(5) Any unit at a covered entity that is not an electric
generation unit shall achieve an average annual emission rate
that is achieved by the capture and sequestration of a
minimum of 85 percent of the total carbon dioxide emissions
produced by the unit.
(d) Adjustment of Performance Standards.--
(1) In general.--The Climate Change Technology Board may
adjust the emission performance standard for a carbon capture
and sequestration project described in subsection (c) for an
electric generation unit that uses subbituminous coal,
lignite, or petroleum coke in significant quantities.
(2) Requirement.--In any case described in paragraph (1),
the performance standard for the project shall prescribe an
annual emission rate that requires the project to achieve
[[Page S5084]]
an equivalent reduction from uncontrolled carbon dioxide
emissions levels from the use of subbituminous coal, lignite,
or petroleum coke, as compared to the emission rate that the
project would have achieved if that unit had combusted only
bituminous coal during the particular year.
SEC. 1013. DISTRIBUTION.
(a) Calculation.--
(1) In general.--Subject to section 1014, for each of
calendar years 2012 through 2039, the Administrator shall
distribute emission allowances from the Bonus Allowance
Account established under section 1011 to each qualifying
project under this subtitle in a quantity equal to the
product obtained by multiplying--
(A) the bonus allowance adjustment factor, as determined
under subsection (b);
(B) the number of metric tons of carbon dioxide emissions
avoided through capture and geological sequestration of
emissions by the project, as determined in accordance with
paragraph (2); and
(C) the bonus allowance rate for the applicable calendar
year, as provided in the following table:
------------------------------------------------------------------------
Bonus Allowance
Calendar Year Rate
------------------------------------------------------------------------
2012................................................ 2
2013................................................ 2
2014................................................ 2
2015................................................ 2
2016................................................ 2
2017................................................ 2
2018................................................ 1.9
2019................................................ 1.8
2020................................................ 1.7
2021................................................ 1.6
2022................................................ 1.3
2023................................................ 1.2
2024................................................ 1.1
2025................................................ 1
2026................................................ 0.9
2027................................................ 0.8
2028................................................ 0.7
2029................................................ 0.6
2030................................................ 0.5
2031................................................ 0.5
2032................................................ 0.5
2033................................................ 0.5
2034................................................ 0.5
2035................................................ 0.5
2036................................................ 0.5
2037................................................ 0.5
2038................................................ 0.5
2039................................................ 0.5.
------------------------------------------------------------------------
(2) Avoided carbon dioxide emissions.--For the purpose of
determining the number of metric tons of carbon dioxide
avoided in paragraph (1)(B), the Administrator shall--
(A) in the first year, count as avoided carbon dioxide
emissions the proportion of carbon dioxide emissions the
owner or operator certifies as the designed level of capture
for the project, subject to verification and adjustment; and
(B) in each subsequent year, count the higher of--
(i) the actual metric tons of carbon dioxide sequestered in
the preceding year; or
(ii) the proportion of emissions the owner or operator
certifies as the result of a modification to the designed
capture level of the project, subject to verification and
adjustment.
(b) Bonus Allowance Adjustment Ratio.--
(1) In general.--Except as provided in paragraph (2), the
Administrator shall determine the bonus allowance adjustment
factor by dividing--
(A) a carbon dioxide emission rate of 350 pounds per
megawatt-hour; by
(B) the annual carbon dioxide emission rate, on a pounds
per megawatt-hour basis, that a qualifying project at the
electric generation unit achieved during a particular year.
(2) Exceptions.--Notwithstanding paragraph (1), the bonus
allowance adjustment factor shall--
(A) in the case of a project that qualifies under section
1012(c)(1), be equal to 1 during the first 4 years that
emission allowances are distributed to the project;
(B) in the case of a project that qualifies under section
1012(c)(2), be equal to 1 during the first 4 years that
emission allowances are distributed to the project;
(C) in the case of a project that qualifies under section
1012(c)(3), be equal to 1 during the first 8 years that
emission allowances are distributed to the project; and
(D) not exceed 1 for any qualifying project.
(c) Non-Electric Generating Units.--
(1) In general.--For a qualifying project other than an
electric generating unit, the Administrator shall by
regulation reduce the bonus allowance rates described in
section 1013(a)(1)(C) so that the bonus allowance rate for
the projects does not exceed the incremental capital and
operating costs for carrying out sequestration of carbon
dioxide from the facility.
(2) Limitation.--In distributing emission allowances under
this subtitle, the Administrator shall distribute not more
than 20 percent of the quantity of emission allowances in the
Bonus Allowance Account for nonelectric generation units
described in section 1012(c)(5).
(d) Enhanced Oil Recovery.--For a carbon capture and
sequestration project sequestering in a geological formation
for purposes of enhanced oil recovery, the Administrator
shall by regulation reduce the bonus allowance rates set
forth in section 1013(a)(1)(C) to reflect the lower cost of
the projects when compared to sequestration into geological
formations solely for purposes of disposal.
SEC. 1014. 10-YEAR LIMIT.
A qualifying project may receive annual emission allowances
under this subtitle only for--
(1) the first 10 years of operation; or
(2) if the unit covered by the qualifying project began
operating before January 1, 2012, the period of calendar
years 2012 through 2021.
SEC. 1015. EXHAUSTION OF BONUS ALLOWANCE ACCOUNT.
If, at the beginning of a calendar year, the Administrator
determines that the number of emission allowances remaining
in the Bonus Allowance Account established under section 1011
will be insufficient to allow the distribution in that
calendar year, of the number of allowances that otherwise
would be distributed under section 1013 for the calendar
year, the Administrator shall, for the calendar year--
(1) distribute the remaining bonus allowances only to
qualifying projects that were already qualifying projects
during the preceding calendar year;
(2) distribute the remaining bonus allowances to those
qualifying projects on a pro rata basis; and
(3) discontinue the program established under this subtitle
as of the date on which the Bonus Allowance Account is
projected to be fully used based on projects already in
operation.
Subtitle C--Legal Framework
SEC. 1021. NATIONAL DRINKING WATER REGULATIONS.
(a) In General.--Section 1421 of the Safe Drinking Water
Act (42 U.S.C.300h) is amended--
(1) in subsection (b)(1), by striking ``subsection (d)(2)''
and inserting ``subsection (e)(2)'';
(2) by redesignating subsection (d) as subsection (e); and
(3) by inserting after subsection (c) the following:
``(d) Carbon Dioxide.--
``(1) Regulations.--Not later than 1 year after the date of
enactment of the Lieberman-Warner Climate Security Act of
2008, the Administrator shall promulgate regulations
establishing standards for permitting commercial-scale
underground injection of carbon dioxide for the purpose of
geological sequestration to address climate change.
``(2) Inclusions.--Standards promulgated under paragraph
(1) shall include requirements--
``(A)(i) to monitor and control the long-term storage of
carbon dioxide;
``(ii) to avoid, to the maximum extent practicable, and
quantify any release of carbon dioxide into the atmosphere;
and
``(iii) to ensure protection of underground sources of
drinking water, human health, and the environment;
``(B) for financial responsibility (including financial
responsibility for well plugging, post-injection site care,
site closure, monitoring, corrective action, and remedial
care), as necessary, allowing for the use of 1 or more
financial instruments, including insurance, surety bond,
letter of credit, financial guarantee, or qualification as a
self-insurer; and
``(C) relating to long-term care and stewardship associated
with commercial-scale geological sequestration, including
financial responsibility, as necessary, consistent with the
degree and duration of risk associated with the geological
sequestration of carbon dioxide for purposes of subparagraph
(A).
``(3) Authorization.--The Administrator may specify the
policy or other contractual terms, conditions, or defenses
that are necessary to establish evidence of financial
responsibility for the purposes of this subsection.''.
(b) Conforming Amendment.--Section 1447(a)(4) of the Safe
Drinking Water Act (42 U.S.C. 300j-6(a)(4)) is amended by
striking ``section 1421(d)(2)'' and inserting ``section
1421(e)(2)''.
SEC. 1022. ASSESSMENT OF GEOLOGICAL STORAGE CAPACITY FOR
CARBON DIOXIDE.
(a) Definitions.--In this section:
(1) Assessment.--The term ``assessment'' means the national
assessment of capacity for carbon dioxide completed under
subsection (f).
(2) Capacity.--The term ``capacity'' means the portion of a
storage formation that can retain carbon dioxide in
accordance with the requirements (including physical,
geological, and economic requirements) established under the
methodology developed under subsection (b).
(3) Engineered hazard.--The term ``engineered hazard''
includes the location and completion history of any well that
could affect a storage formation or capacity.
(4) Risk.--The term ``risk'' includes any risk posed by a
geomechanical, geochemical, hydrogeological, structural, or
engineered hazard.
(5) Secretary.--The term ``Secretary'' means the Secretary
of the Interior, acting through the Director of the United
States Geological Survey.
(6) Storage formation.--The term ``storage formation''
means a deep saline formation, unmineable coal seam, oil or
gas reservoir, or other geological formation that is capable
of accommodating a volume of industrial carbon dioxide.
[[Page S5085]]
(b) Methodology.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall develop a
methodology for conducting an assessment under subsection
(f), taking into consideration--
(1) the geographical extent of all potential storage
formations in all States;
(2) the capacity of the potential storage formations;
(3) the injectivity of the potential storage formations;
(4) an estimate of potential volumes of oil and gas
recoverable by injection and storage of industrial carbon
dioxide in potential storage formations;
(5) the risk associated with the potential storage
formations; and
(6) the work performed to develop the Carbon Sequestration
Atlas of the United States and Canada completed by the
Department of Energy in April 2006.
(c) Coordination.--
(1) Federal coordination.--
(A) Consultation.--The Secretary shall consult with the
Secretary of Energy and the Administrator regarding data
sharing and the format, development of methodology, and
content of the assessment to ensure the maximum usefulness
and success of the assessment.
(B) Cooperation.--The Secretary of Energy and the
Administrator shall cooperate with the Secretary to ensure,
to the maximum extent practicable, the usefulness and success
of the assessment.
(2) State coordination.--The Secretary shall consult with
State geological surveys and other relevant entities to
ensure, to the maximum extent practicable, the usefulness and
success of the assessment.
(d) External Review and Publication.--On completion of the
methodology under subsection (b), the Secretary shall--
(1) publish the methodology and solicit comments from the
public and the heads of affected Federal and State agencies;
(2) establish a panel of individuals with expertise in the
matters described in paragraphs (1) through (5) of subsection
(b) comprised, as appropriate, of representatives of Federal
agencies, institutions of higher education, nongovernmental
organizations, State organizations, industry, and
international geosciences organizations to review the
methodology and comments received under paragraph (1); and
(3) on completion of the review under paragraph (2),
publish in the Federal Register the revised final
methodology.
(e) Periodic Updates.--The methodology developed under this
section shall be updated periodically (including not less
frequently than once every 5 years) to incorporate new data
as the data becomes available.
(f) National Assessment.--
(1) In general.--Not later than 2 years after the date of
publication of the methodology under subsection (d)(3), the
Secretary, in consultation with the Secretary of Energy and
State geological surveys, shall complete a national
assessment of the capacity for carbon dioxide storage in
accordance with the methodology.
(2) Geological verification.--As part of the assessment,
the Secretary shall carry out a characterization program to
supplement the geological data relevant to determining
storage capacity in carbon dioxide in geological storage
formations, including--
(A) well log data;
(B) core data; and
(C) fluid sample data.
(3) Partnership with other drilling programs.--As part of
the drilling characterization under paragraph (2), the
Secretary shall enter into partnerships, as appropriate, with
other entities to collect and integrate data from other
drilling programs relevant to the storage of carbon dioxide
in geological formations.
(4) Incorporation into natcarb.--
(A) In general.--On completion of the assessment, the
Secretary shall incorporate the results of the assessment
using, to the maximum extent practicable--
(i) the NatCarb database of the National Energy Technology
Laboratory of the Department of Energy; or
(ii) a new database developed by the Secretary, as the
Secretary determines to be necessary.
(B) Ranking.--The database shall include the data necessary
to rank potential storage sites--
(i) for capacity and risk;
(ii) across the United States;
(iii) within each State;
(iv) by formation; and
(v) within each basin.
(5) Report.--Not later than 180 days after the date on
which the assessment is completed, the Secretary shall submit
to the Committee on Energy and Natural Resources of the
Senate and the Committee on Science and Technology of the
House of Representatives a report describing the results of
the assessment.
(6) Periodic updates.--The assessment shall be updated
periodically (including not less frequently than once every 5
years) as necessary to support public and private sector
decisionmaking, as determined by the Secretary.
SEC. 1023. STUDY OF FEASIBILITY RELATING TO CONSTRUCTION AND
OPERATION OF PIPELINES AND GEOLOGICAL CARBON
DIOXIDE SEQUESTRATION ACTIVITIES.
(a) In General.--The Secretary of Energy, in coordination
with the Administrator, the Chairman of the Federal Energy
Regulatory Commission, the Secretary of Transportation, and
the Secretary of the Interior, and in consultation with
representatives of industry, financial institutions,
investors, owners and operators of applicable facilities,
regulators, institutions of higher education, and other
stakeholders, shall conduct a study to assess the feasibility
of the construction of--
(1) pipelines to be used for the transportation of carbon
dioxide for the purpose of sequestration or enhanced oil
recovery; and
(2) geological carbon dioxide sequestration facilities.
(b) Scope.--The study shall consider--
(1) any barrier or potential barrier in existence as of the
date of enactment of this Act, including any technical,
siting, financing, or regulatory barrier, relating to--
(A) the construction and operation of pipelines to be used
for the transportation of carbon dioxide for the purpose of
sequestration or enhanced oil recovery; or
(B) the construction and operation of facilities for the
geological sequestration of carbon dioxide;
(2) any market risk (including throughput risk) relating
to--
(A) the construction and operation of pipelines to be used
for the transportation of carbon dioxide for the purpose of
sequestration or enhanced oil recovery; or
(B) the construction and operation of facilities for the
geological sequestration of carbon dioxide;
(3) any regulatory, financing, or siting option that, as
determined by the Secretary of Energy, would--
(A) mitigate any market risk described in paragraph (2); or
(B) help ensure the construction and operation of pipelines
dedicated to the transportation of carbon dioxide for the
purpose of sequestration or enhanced oil recovery;
(4) the means by which to ensure the safe handling,
transportation, and sequestration of carbon dioxide;
(5) any preventive measure to ensure the integrity of
pipelines to be used for the transportation of carbon dioxide
for the purpose of sequestration or enhanced oil recovery;
(6) any other appropriate use, as determined by the
Secretary of Energy, in coordination with the Administrator,
the Chairman of the Federal Energy Regulatory Commission, the
Secretary of Transportation, and the Secretary of the
Interior;
(7) the means by which to ensure that siting is carried out
in a manner that is socioeconomically just and
environmentally and ecologically sound; and
(8) the findings of the task force established under
section 1024, in consultation with industry, financial
institutions, investors, owners and operators, regulators,
academic experts, and stakeholders.
(c) Report.--Not later than 180 days after the date of
enactment of this Act, the Secretary of Energy shall submit
to Congress a report describing the results of the study.
SEC. 1024. LIABILITIES FOR CLOSED GEOLOGICAL STORAGE SITES.
(a) Establishment of Task Force.--As soon as practicable,
but not later than 180 days after the date of enactment of
this Act, the Administrator shall establish a task force,
with equal representation from the public, academic subject
matter experts, and industry, to conduct a study of the
statutory framework, environmental and safety considerations,
and financial implications of potential Federal assumption of
liabilities with respect to closed geological sites.
(b) Charge of Task Force.--At a minimum, the task force
shall consider--
(1) procedures for the certification and approval of
geological storage sites and projects, including siting,
monitoring, and closure standards;
(2) existing statutory authority under the Safe Drinking
Water Act (42 U.S.C. 300f et seq.) and the Clean Air Act (42
U.S.C. 7401 et seq.) to address issues relating to long-term
financial responsibility and long-term liabilities; and
(3) successorship of closed geological storage sites used
to sequester carbon dioxide, including possible transfer of
title and liabilities from the private sector to the public
sector and conditions that might be placed on such a
transfer, transfer of financial responsibility to the public
sector or within the private sector, and possible indemnity
from long-term liabilities.
TITLE XI--FUTURE OF TRANSPORTATION
Subtitle A--Kick-Start for Clean Commercial Fleets
SEC. 1101. PURPOSE.
The purpose of this subtitle is to accelerate the
commercialization and diffusion of fuel-efficient medium- and
heavy-duty hybrid commercial trucks, buses, and vans in the
United States.
SEC. 1102. ALLOCATION.
Not later than 2 years after the date of enactment of this
Act, the Administrator shall allocate to the program
established under section 1103 0.5 percent of the aggregate
quantity of emission allowances established pursuant to
section 201(a) for calendar years 2012 through 2017.
SEC. 1103. CLEAN MEDIUM- AND HEAVY-DUTY HYBRID FLEETS
PROGRAM.
(a) In General.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall--
(1) review and revise, as necessary, regulations
promulgated under section 113; and
(2) promulgate regulations for a program for distributing
emission allowances allocated pursuant to section 1102 to
entities in
[[Page S5086]]
the United States as an immediate reward for purchase by the
entities of advanced medium- and heavy-duty hybrid commercial
vehicles, based on demonstrated increases in fuel efficiency.
(b) Requirements.--The regulations promulgated pursuant to
subsection (a) shall require that--
(1) only purchasers of commercial vehicles weighing at
least 8,500 pounds are eligible for receipt of emission
allowances under the program;
(2) the purchasers of qualifying vehicles are provided
certainty of the magnitude and timeliness of delivery of the
reward at the time at which the purchasers purchase the
vehicles;
(3) rewards increase commensurately with fuel efficiency of
qualifying vehicles;
(4) qualifying vehicles shall be categorized into not fewer
than 3 classes of vehicle weight, in order to ensure--
(A) adequate availability of rewards for different
categories of commercial vehicles; and
(B) that the rewards for heavier, more expensive vehicles
are proportional to the rewards for lighter, less expensive
vehicles;
(5) rewards decrease over time, in order to encourage early
purchases of hybrid vehicles; and
(6) to the maximum extent practicable, all emission
allowances allocated to the program shall have been
distributed as rewards by not later than 5 years after the
date of enactment of this Act.
Subtitle B--Advanced Vehicle Manufacturers
SEC. 1111. CLIMATE CHANGE TRANSPORTATION ENERGY TECHNOLOGY
FUND.
There is established in the Treasury of the United States a
fund, to be known as the ``Climate Change Transportation
Energy Technology Fund'' (referred to in this subtitle as the
``Fund'').
SEC. 1112. AUCTIONS.
(a) In General.--For each of calendar years 2012 through
2050, the Administrator shall, in accordance with subsection
(b), auction 1 percent of the quantity of emission allowances
established pursuant to section 201(a) for the calendar year
in order to raise funds for deposit in the Fund.
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
SEC. 1113. DEPOSITS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to section 1112, immediately on receipt of
those proceeds, into the Fund.
SEC. 1114. USE OF FUNDS.
For each of calendar years 2012 through 2050, all funds
deposited into the Fund during the preceding year pursuant to
section 1113 shall be made available, without further
appropriation or fiscal year limitation, to the Climate
Change Technology Board established by section 431 for making
manufacturer facility conversion awards under section 1115.
SEC. 1115. MANUFACTURER FACILITY CONVERSION PROGRAM.
(a) In General.--The Climate Change Technology Board
established by section 431 shall use all amounts in the Fund
to provide facility funding awards under this section to
manufacturers to pay not more than 30 percent of the cost
of--
(1) reequipping, expanding, or establishing a manufacturing
facility in the United States to produce--
(A) qualifying advanced technology vehicles; or
(B) qualifying components; and
(2) engineering integration performed in the United States
of qualifying vehicles and qualifying components.
(b) Period of Availability.--An award under subsection (a)
shall apply to--
(1) facilities and equipment placed in service during the
period beginning on the date of enactment of this Act and
ending on December 31, 2029; and
(2) engineering integration costs incurred after the date
of enactment of this Act.
(c) CAFE Requirements.--The Climate Change Technology Board
shall not make an award under this section to an automobile
manufacturer or component supplier that, directly or through
a parent, subsidiary, or affiliated entity, is not in
compliance with each corporate average fuel economy standard
under section 32902 of title 49, United States Code, in
effect on the date of the award.
(d) Additional Requirements.--
(1) Definition of prospective recipient.--In this
subsection, the term ``prospective recipient'' means an
automobile manufacturer or component supplier (including any
parent, subsidiary, or affiliated entity) that seeks to
receive an award under this section.
(2) Certification.--To be eligible to receive an award
under this section, a prospective recipient shall certify to
the Climate Change Technology Board that, for the 7-calendar
year period beginning on the date of receipt of the award,
the prospective recipient will maintain in the United States
a number of full-time or full-time-equivalent employees that
is--
(A) equal to 90 percent of the monthly average number of
full-time or full-time-equivalent employees maintained by the
prospective recipient for the 12-month period ending on the
date of receipt of the award;
(B) sufficient to ensure that the proportion that the
workforce of the prospective recipient in the United States
bears to the global workforce of the prospective recipient is
equal to or greater than the average monthly proportion that
the workforce of the prospective recipient in the United
States bears to the global workforce of the prospective
recipient for the 12-month period ending on the date of
receipt of the award; or
(C) sufficient to ensure that any percentage decrease in
the hourly workforce of the prospective recipient in the
United States is not greater than the aggregate of the
percentage decrease in the market share of the prospective
recipient in the United States and the increase in the
productivity of the prospective recipient, calculated during
the period beginning on the date of receipt of the award and
ending on the date of certification under this paragraph.
(3) Recertification.--Not later than 1 year after the date
of receipt of an award under this section, and annually
thereafter, a prospective recipient shall--
(A) recertify to the Climate Change Technology Board that,
during the preceding calendar year, the prospective recipient
has achieved compliance with an applicable requirement
described in paragraph (2); and
(B) provide to the Climate Change Technology Board
sufficient data for verification of the recertification.
(4) Repayment.--A prospective recipient that fails to make
the recertification required by paragraph (3) shall pay to
the Climate Change Technology Board an amount equal to the
difference between--
(A) the amount of the original award to the prospective
recipient; and
(B) the product obtained by multiplying--
(i) an amount equal to \1/7\ of that original amount; and
(ii) the number of years during which the prospective
recipient--
(I) received an award under this section; and
(II) made the recertification required by paragraph (3).
(e) Administration.--The terms and conditions established
for applicants under section 136(d)(2) of the Energy
Independence and Security Act of 2007 (42 U.S.C. 17013(d))
shall apply to prospective recipients under this section.
Subtitle C--Cellulosic Biofuel
SEC. 1121. CELLULOSIC BIOFUEL PROGRAM.
(a) Allocation.--
(1) First period.--Not later than 330 days before the
beginning of each of calendar years 2012 and 2013, the
Administrator shall allocate to the program established under
subsection (b) 1 percent of the emission allowances
established pursuant to section 201(a) for that calendar
year.
(2) Second period.--Not later than 330 days before the
beginning of each of calendar years 2014 through 2017, the
Administrator shall allocate to the program established under
subsection (b) 0.75 percent of the emission allowances
established pursuant to section 201(a) for that calendar
year.
(3) Third period.--Not later than 330 days before the
beginning of each of calendar years 2018 through 2030, the
Administrator shall allocate to the program established under
subsection (b) 1 percent of the emission allowances
established pursuant to section 201(a) for that calendar
year.
(b) Program.--
(1) In general.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations to establish a program for distributing emission
allowances allocated under subsection (a) to entities in the
United States as a reward for production in the United States
of fuel from cellulosic biomass grown in the United States.
(2) Requirements.--The regulations promulgated pursuant to
paragraph (1) shall require that emission allowances shall be
distributed under the program--
(A) among a variety of feedstocks and a variety of regions
of the United States;
(B) on a competitive basis for projects that have produced
in the United States fuels that--
(i) meet United States fuel and emissions specifications;
(ii) help diversify domestic transportation energy
supplies;
(iii) improve or maintain air, water, soil, and habitat
quality and protect scarce water supplies; and
(iv) are cellulosic biofuel (as defined in section
211(o)(1) of the Clean Air Act (42 U.S.C. 7545(o)(1))); and
(C) in a manner that provides priority to projects that
achieve--
(i) low costs to consumers over the medium- and long-terms;
(ii) demonstrably low lifecycle greenhouse gas emissions,
taking into account direct and indirect land-use changes;
(iii) high long-term technological potential, taking into
consideration production volume, feedstock availability, and
process efficiency;
(iv) low environmental impacts, taking into consideration
air, water, and habitat quality; and
(v) fuels with the ability to serve multiple economic
segments of the transportation sector, including the aviation
and marine segments.
[[Page S5087]]
Subtitle D--Low-Carbon Fuel Standard
SEC. 1131. FINDINGS.
Congress finds that--
(1) oil used for transportation contributes significantly
to air pollution, including greenhouse gases, water
pollution, and other adverse impacts on the environment; and
(2) to reduce greenhouse gas emissions, the United States
should rely increasingly on advanced, clean, low-carbon fuels
for transportation.
SEC. 1132. DEFINITIONS.
Section 211(o)(1) of the Clean Air Act (42 U.S.C.
7545(o)(1)) is amended--
(1) by redesignating subparagraphs (G) through (L) as
subparagraphs (J) through (O), respectively;
(2) by inserting after subparagraph (F) the following:
``(G) Cultivated noxious plant.--The term `cultivated
noxious plant' means a plant that is included on--
``(i) the Federal noxious weed list maintained by the
Animal and Plant Health Inspection Service; or
``(ii) any comparable State list.
``(H) Fuel emission baseline.--The term `fuel emission
baseline' means the average lifecycle greenhouse gas
emissions per unit of energy of the aggregate of all
transportation fuels sold or introduced into commerce in
calendar year 2005, as determined by the Administrator under
paragraph (13).
``(I) Fuel provider.--The term `fuel provider' includes, as
the Administrator determines to be appropriate, any
individual or entity that produces, refines, blends, or
imports any transportation fuel in commerce in, or into, the
United States.''; and
(3) by striking subparagraph (O) (as redesignated by
paragraph (1)) and inserting the following:
``(O) Transportation fuel.--The term `transportation fuel'
means fuel for use in motor vehicles, nonroad vehicles,
nonroad engines, or aircraft.''.
SEC. 1133. ESTABLISHMENT.
Section 211(o) of the Clean Air act (42 U.S.C. 7545(o)) is
amended by adding at the end the following:
``(13) Advanced clean fuel performance standard.--
``(A) Standard.--
``(i) In general.--Not later than January 1, 2010, the
Administrator shall, by regulation--
``(I) establish a methodology for use in determining the
lifecycle greenhouse gas emissions per unit of energy of all
transportation fuels in commerce for which the Administrator
has not already established such a methodology;
``(II) determine the fuel emission baseline; and
``(III) in accordance with clause (ii), establish a
requirement applicable to transportation fuel providers to
reduce, on an annual average basis, the average lifecycle
greenhouse gas emissions per unit of energy of the aggregate
quantity of transportation fuel produced, refined, blended,
or imported by the fuel provider to a level that is, to the
maximum extent practicable--
``(aa) by not later than calendar year 2011, at least equal
to or less than the fuel emission baseline;
``(bb) by not later than calendar year 2012, equivalent to
the difference between the fuel emission baseline and the
lifecycle greenhouse gas emissions per unit of energy reduced
by the volumetric renewable fuel requirements of paragraph
(2)(B);
``(cc) by not later than calendar year 2023, at least 5
percent less than the fuel emission baseline; and
``(dd) by not later than calendar year 2028, at least 10
percent less than the fuel emission baseline.
``(ii) Prevention of air quality deterioration.--
``(I) Study.--Not later than 18 months after the date of
enactment of this paragraph, the Administrator shall complete
a study to determine whether the greenhouse gas emission
reductions required under clause (i)(III) will adversely
impact air quality as a result of changes in vehicle and
engine emissions of air pollutants regulated under this Act.
``(II) Considerations.--The study shall include
consideration of--
``(aa) different blend levels, types of transportation
fuels, and available vehicle technologies; and
``(bb) appropriate national, regional, and local air
quality control measures.
``(III) Regulations.--Not later than 3 years after the date
of enactment of this paragraph, the Administrator shall--
``(aa) promulgate fuel regulations to implement appropriate
measures to mitigate, to the maximum extent practicable and
taking into consideration the results of the study conducted
under this clause, any adverse impacts on air quality as a
result of the greenhouse gas emission reductions required by
this subsection; or
``(bb) make a determination that no such measures are
necessary.
``(iii) Calendar year 2033 and thereafter.--For calendar
year 2033, and every 5 years thereafter, the Administrator,
in consultation with the Secretary of Agriculture and the
Secretary of Energy, shall revise the applicable performance
standard under clause (i)(III) to reduce, to the maximum
extent practicable, the average lifecycle greenhouse gas
emissions per unit of energy of the aggregate quantity of
transportation fuel sold or introduced into commerce in the
United States.
``(iv) Revision of regulations.--In accordance with the
purposes of the Lieberman-Warner Climate Security Act of
2008, the Administrator may, as appropriate, revise the
regulations promulgated under clause (i) as necessary to
reflect or respond to changes in the transportation fuel
market or other relevant circumstances.
``(v) Method of calculation.--In calculating the lifecycle
greenhouse gas emissions of hydrogen or electricity (when
used as a transportation fuel) under clause (i)(I), the
Administrator shall--
``(I) include emission resulting from the production of the
hydrogen or electricity; and
``(II) consider to be equivalent to the energy delivered by
1 gallon of ethanol the energy delivered by--
``(aa) 6.4 kilowatt-hours of electricity;
``(bb) 32 standard cubic feet of hydrogen; or
``(cc) 1.25 gallons of liquid hydrogen.
``(vi) Determination of lifecycle greenhouse gas
emissions.--In carrying out this subparagraph, the
Administrator shall use the best available scientific and
technical information to determine the lifecycle greenhouse
gas emissions per unit of energy of transportation fuels
derived from--
``(I) renewable biomass;
``(II) electricity, including the entire lifecycle of the
fuel;
``(III) 1 or more fossil fuels, including the entire
lifecycle of the fuels; and
``(IV) hydrogen, including the entire lifecycle of the
fuel.
``(vii) Equivalent emissions.--In carrying out this
subparagraph, the Administrator shall consider transportation
fuel derived from cultivated noxious plants, and
transportation fuel derived from biomass sources other than
renewable biomass, to have emissions equivalent to the
greater of--
``(I) the lifecycle greenhouse gas emissions; or
``(II) the fuel emission baseline.
``(B) Election to participate.--An electricity provider may
elect to participate in the program under this subsection if
the electricity provider provides and separately tracks
electricity for transportation through a meter that--
``(i) measures the electricity used for transportation
separately from electricity used for other purposes; and
``(ii) allows for load management and time-of-use rates.
``(C) Credits.--
``(i) In general.--The regulations promulgated to carry out
this paragraph shall permit fuel providers to generate
credits for achieving, during a calendar year, greater
reductions in lifecycle greenhouse gas emissions of the fuel
provided, blended, or imported by the fuel provider than are
required under subparagraph (A)(i)(III).
``(ii) Method of calculation.--The number of credits
received by a fuel provider under clause (i) for a calendar
year shall be the product obtained by multiplying--
``(I) the aggregate quantity of fuel produced, distributed,
or imported by the fuel provider during the calendar year;
and
``(II) the difference between--
``(aa) the lifecycle greenhouse gas emissions per unit of
energy of that quantity of fuel; and
``(bb) the maximum lifecycle greenhouse gas emissions per
unit of energy of that quantity of fuel permitted for the
calendar year under subparagraph (A)(i)(III).
``(D) Compliance.----
``(i) In general.--Each fuel provider subject to this
paragraph shall demonstrate compliance with this paragraph,
including, as necessary, through the use of credits banked or
purchased.
``(ii) No limitation on trading or banking.--There shall be
no limit on the ability of any fuel provider to trade or bank
credits pursuant to this subparagraph.
``(iii) Use of banked credits.--A fuel provider may use
banked credits under this subparagraph with no discount or
other adjustment to the credits.
``(iv) Inability to generate or purchase sufficient
credits.--A fuel provider that is unable to generate or
purchase sufficient credits to meet the requirements of
subparagraph (A)(i)(III) may carry the compliance deficit
forward, subject to the condition that the fuel provider, for
the calendar year following the year for which the deficit is
created--
``(I) achieves compliance with subparagraph (A)(i)(III);
and
``(II) generates or purchases additional credits to offset
the deficit from the preceding calendar year.
``(v) Types of credits.--To encourage innovation in
transportation fuels--
``(I) only credits created in the production of
transportation fuels may be used for the purpose of
compliance described in clause (i); and
``(II) credits created by or in other sectors, such as
manufacturing, may not be used for that purpose.
``(E) Impact on food production.--Not later than 18 months
after the date of enactment of this paragraph, the
Administrator shall evaluate and consider promulgating
regulations to address any significant impacts on access to,
and production of, food due to the sourcing and production of
fuels used to comply with this Act.
``(F) No effect on state authority.--Nothing in this
paragraph affects the authority of any State to establish, or
to maintain in effect, any transportation fuel standard that
reduces greenhouse gas emissions.''.
[[Page S5088]]
TITLE XII--FEDERAL PROGRAM TO PROTECT NATURAL RESOURCES
Subtitle A--Auctions
SEC. 1201. DEFINITIONS.
In this subtitle:
(1) Bureau of land management fund.--The term ``Bureau of
Land Management Fund'' means the Bureau of Land Management
Emergency Firefighting Fund established by section 1211(a).
(2) Forest service fund.--The term ``Forest Service Fund''
means the Forest Service Emergency Firefighting Fund
established by section 1212(a).
(3) Wildlife adaptation fund.--The term ``Wildlife
Adaptation Fund'' means the National Wildlife Adaptation Fund
established by section 1231(a).
SEC. 1202. AUCTIONS.
(a) In General.--In accordance with subsections (b) and
(c), to raise funds for deposit in the Bureau of Land
Management Fund, the Forest Service Fund, and the Wildlife
Adaptation Fund, for each of calendar years 2012 through
2050, the Administrator shall--
(1) auction a quantity of the emission allowances
established pursuant to section 201(a) for each calendar
year; and
(2) immediately on receipt of the auction proceeds--
(A) deposit in the Bureau of Land Management Fund the
amount of those proceeds that is sufficient to ensure that
the amount in the Bureau of Land Management Fund equals
$300,000,000;
(B) deposit in the Forest Service Fund the amount of those
proceeds that is sufficient to ensure that the amount in the
Forest Service Fund equals $800,000,000; and
(C) deposit all remaining proceeds from the auctions
conducted under this section in the Wildlife Adaptation Fund.
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the actions in a manner to ensure that--
(A) each auction takes place during the period beginning on
the date that is 35 days after January 1 of the calendar year
and ending on the date that is 60 before December 31 of the
calendar year; and
(B) the interval between each auction is of equal duration.
(c) Quantities of Emission Allowances Auctioned.--For each
calendar year of the period described in subsection (a), the
Administrator shall auction a quantity of emission allowances
in accordance with the applicable percentages described in
the following table:
----------------------------------------------------------------------------------------------------------------
Calendar Year Percentage for auction for funds
----------------------------------------------------------------------------------------------------------------
2012.......................................... 3
2013.......................................... 2.5
2014.......................................... 2.5
2015.......................................... 2.5
2016.......................................... 2.5
2017.......................................... 2.5
2018.......................................... 2.5
2019.......................................... 2.5
2020.......................................... 2.5
2021.......................................... 2.5
2022.......................................... 2.5
2023.......................................... 3
2024.......................................... 3
2025.......................................... 4
2026.......................................... 4
2027.......................................... 4
2028.......................................... 4
2029.......................................... 4
2030.......................................... 4
2031.......................................... 4
2032.......................................... 5
2033.......................................... 5
2034.......................................... 5
2035.......................................... 5
2036.......................................... 5
2037.......................................... 5
2038.......................................... 5
2039.......................................... 5
2040.......................................... 5
2041.......................................... 5
2042.......................................... 5
2043.......................................... 5
2044.......................................... 5
2045.......................................... 5
2046.......................................... 5
2047.......................................... 5
2048.......................................... 5
2049.......................................... 5
2050.......................................... 5.
----------------------------------------------------------------------------------------------------------------
Subtitle B--Funds
SEC. 1211. BUREAU OF LAND MANAGEMENT EMERGENCY FIREFIGHTING
FUND.
(a) Establishment.--There is established in the Treasury of
the United States a fund, to be known as the ``Bureau of Land
Management Emergency Firefighting Fund'', consisting of such
amounts as are deposited in the Bureau of Land Management
Fund under section 1202(a)(2)(A).
(b) Use and Availability of Funds.--Amounts deposited in
the Bureau of Land Management Fund under section
1202(a)(2)(A) shall be--
(1) used to pay for wildland fire suppression activities,
the costs of which are in excess of amounts annually
appropriated to the Secretary of the Interior (referred to in
this section as the ``Secretary'') for normal, nonemergency
wildland fire suppression activities; and
(2) made available without further appropriation or fiscal
year limitation.
(c) Accounting and Reporting.--
(1) Establishment of system.--In accordance with paragraph
(2), not later than 3 years after the date of enactment of
this Act, the Secretary shall establish an accounting and
reporting system for activities carried out under this
section.
(2) Requirements of system.--
(A) National fire plan.--To ensure that the accounting and
reporting system established by the Secretary under paragraph
(1) is compatible with each reporting procedure of the
National Fire Plan, the Secretary shall establish the
accounting and reporting system in accordance with the
National Fire Plan.
(B) Monthly and annual reports.--The accounting and
reporting system under paragraph (1) shall include a
requirement that the Secretary submit to the Committee on
Energy and Natural Resources of the Senate and the Committee
on Natural Resources of the House of Representatives--
(i) not later than the last day of each month, a report
that contains a description of each expenditure made from the
Bureau of Land Management Fund during the preceding month;
and
(ii) not later than September 30 of each fiscal year, a
report that contains a description of each expenditure made
from the Bureau of Land Management Fund during the preceding
fiscal year.
SEC. 1212. FOREST SERVICE EMERGENCY FIREFIGHTING FUND.
(a) Establishment.--There is established in the Treasury of
the United States a fund, to be known as the ``Forest Service
Emergency Firefighting Fund'', consisting of such amounts as
are deposited in the Forest Service Fund under section
1202(a)(2)(B).
(b) Use and Availability of Funds.--Amounts deposited in
the Forest Service Fund under section 1202(a)(2)(B) shall
be--
(1) used to pay for wildland fire suppression activities,
the costs of which are in excess of amounts annually
appropriated to the Secretary of Agriculture (referred to in
this section as the ``Secretary'') for normal, nonemergency
wildland fire suppression activities; and
(2) made available without further appropriation or fiscal
year limitation.
(c) Accounting and Reporting.--
(1) Establishment of system.--In accordance with paragraph
(2), not later than 3 years after the date of enactment of
this Act, the Secretary shall establish an accounting and
reporting system for activities carried out under this
section.
(2) Requirements of system.--
(A) National fire plan.--To ensure that the accounting and
reporting system established by the Secretary under paragraph
(1) is compatible with each reporting procedure of the
National Fire Plan, the Secretary shall establish the
accounting and reporting system in accordance with the
National Fire Plan.
(B) Monthly and annual reports.--The accounting and
reporting system under paragraph (1) shall include a
requirement that the Secretary submit to the Committee on
Energy and Natural Resources of the Senate and the Committee
on Natural Resources of the House of Representatives--
(i) not later than the last day of each month, a report
that contains a description of each expenditure made from the
Forest Service Fund during the preceding month; and
(ii) not later than September 30 of each fiscal year, a
report that contains a description of each expenditure made
from the Forest Service Fund during the preceding fiscal
year.
Subtitle C--National Wildlife Adaptation Strategy
SEC. 1221. DEFINITIONS.
In this subtitle:
(1) Advisory board.--The term ``Advisory Board'' means the
Science Advisory Board established by the Secretary under
section 1223(a).
(2) Great lake.--The term ``Great Lake'' means--
(A) Lake Erie;
(B) Lake Huron (including Lake Saint Clair);
(C) Lake Michigan;
(D) Lake Ontario;
(E) Lake Superior; and
(F) the connecting channels of those Lakes, including--
(i) the Saint Marys River;
(ii) the Saint Clair River;
(iii) the Detroit River;
(iv) the Niagara River; and
(v) the Saint Lawrence River to the Canadian border.
(3) National strategy.--The term ``national strategy''
means the National Wildlife Adaptation Strategy developed by
the President under section 1222(a).
(4) Science center.--The term ``Science Center'' means the
Climate Change and Natural Resource Science Center
established under section 1224(a).
(5) Secretary.--The term ``Secretary'' means the Secretary
of the Interior.
SEC. 1222. NATIONAL STRATEGY.
(a) In General.--Not later than 3 years after the date of
enactment of this Act, the President shall develop and
implement a national strategy to be known as the ``National
Wildlife Adaptation Strategy'' to assist fish and wildlife,
fish and wildlife habitat, plants, aquatic and terrestrial
ecosystems, and associated ecological processes--
[[Page S5089]]
(1) to become more resilient; and
(2) to adapt to the impacts of climate change and ocean
acidification.
(b) Administration.--In establishing and revising the
national strategy, the President shall--
(1) base the national strategy on the best available
science, as provided by the Advisory Board;
(2) develop the national strategy in cooperation with--
(A) State fish and wildlife agencies;
(B) State coastal agencies;
(C) State environmental agencies;
(D) territories and possessions of the United States; and
(E) Indian tribes;
(3) coordinate with--
(A) the Secretary;
(B) the Secretary of Commerce;
(C) the Secretary of Agriculture;
(D) the Secretary of Defense;
(E) the Administrator; and
(F) the head of any other appropriate Federal agency, as
determined by the President;
(4) consult with--
(A) local governments;
(B) conservation organizations;
(C) scientists; and
(D) any other interested stakeholder; and
(5) provide public notice and opportunity for comment.
(c) Contents.--The President shall include in the national
strategy, at a minimum, prioritized goals and measures and a
schedule for implementation--
(1) to identify and monitor fish and wildlife, fish and
wildlife habitat, plants, aquatic and terrestrial ecosystems,
and associated ecological processes that--
(A) are particularly likely to be adversely affected by
climate change and ocean acidification; and
(B) have the greatest need for protection, restoration, and
conservation;
(2) to identify and monitor coastal, estuarine, marine,
terrestrial, and freshwater habitats that are at the greatest
risk of being damaged by climate change and ocean
acidification;
(3) to assist species in adapting to the impacts of climate
change and ocean acidification;
(4) to protect, acquire, maintain, and restore fish and
wildlife habitat to build resilience to climate change and
ocean acidification;
(5) to provide habitat linkages and corridors to facilitate
fish, wildlife, and plant movement in response to climate
change and ocean acidification;
(6) to restore and protect ecological processes that
sustain fish, wildlife, and plant populations that are
vulnerable to climate change and ocean acidification;
(7) to protect, maintain, and restore coastal, marine, and
aquatic ecosystems to ensure that the ecosystems are more
resilient and better able to withstand the additional
stresses associated with climate change, including changes
in--
(A) hydrology;
(B) relative sea level rise;
(C) ocean acidification; and
(D) water levels and temperatures of the Great Lakes;
(8) to protect ocean and coastal species from the impacts
of climate change and ocean acidification;
(9) to incorporate adaptation strategies and activities to
address relative sea level rise and changes in Great Lakes
water levels in coastal zone planning;
(10) to protect, maintain, and restore ocean and coastal
habitats to build healthy and resilient ecosystems (including
through the purchase of aquatic and terrestrial ecosystems
and coastal and island land);
(11) to protect, maintain, and restore floodplains to build
healthy and resilient ecosystems (including through the
purchase of land in floodplains);
(12) to protect, maintain, and restore aquatic and
terrestrial ecosystems to ensure the long-term sustainability
of the ecosystems for human and ecosystem use;
(13) to explore pollution prevention opportunities to
reduce or eliminate the environmental impacts caused by
climate change on aquatic and terrestrial ecosystems; and
(14) to incorporate consideration of climate change and
ocean acidification, and to integrate adaptation strategies
and activities for fish and wildlife, fish and wildlife
habitat, plants, aquatic and terrestrial ecosystems, and
associated ecological processes, in the planning and
management of Federal land and water administered by the
Federal agencies that receive funding under subtitle D.
(d) Coordination With Other Plans.--In developing the
national strategy, the President shall, to the maximum extent
practicable--
(1) take into consideration research and information
contained in--
(A) State comprehensive wildlife conservation plans;
(B) the North American Waterfowl Management Plan;
(C) the National Fish Habitat Action Plan;
(D) coastal zone management plans;
(E) reports published by the Pew Oceans Commission and the
United States Commission on Ocean Policy;
(F) State or local integrated water resource management
plans;
(G) watershed plans developed pursuant to section 208 or
319 of the Federal Water Pollution Control Act (33 U.S.C.
1288 and 1329);
(H) the Great Lakes Regional Collaboration Strategy; and
(I) other relevant plans; and
(2) coordinate and integrate the goals and measures
identified in the national strategy with the goals and
measures identified in those plans.
(e) Revisions.--Not later than 5 years after the date on
which the national strategy is developed, and not less
frequently than every 5 years thereafter, the President shall
review and revise the national strategy in accordance with
the procedures described in this section.
SEC. 1223. SCIENCE ADVISORY BOARD.
(a) Establishment.--Not later than 180 days after the date
of enactment of this Act, the Secretary shall establish and
appoint the members of an Advisory Board that is composed
of--
(1) not fewer than 10, and not more than 20, members who--
(A) are recommended by the President of the National
Academy of Sciences;
(B) have expertise in fish, wildlife, plant, aquatic, and
coastal and marine biology, hydrology, ecology, climate
change, ocean acidification, and other relevant scientific
disciplines; and
(C) represent a balanced membership between Federal, State,
local, and tribal representatives, universities, and
conservation organizations; and
(2) each Director of the Science Center, each of whom shall
be an ex officio member of the Advisory Board.
(b) Duties.--The Advisory Board shall--
(1) advise the President, the Directors of the Science
Center, and relevant Federal agencies and departments on--
(A) the best available science regarding the impacts of
climate change and ocean acidification on fish and wildlife,
habitat, plants, aquatic and terrestrial ecosystems, and
associated ecological processes; and
(B) scientific strategies and mechanisms for adaptation;
(2) identify and recommend priorities for ongoing research
needs regarding those issues; and
(3) review the quality of the research programs carried out
by the Science Center.
(c) Collaboration.--The Advisory Board shall collaborate
with any other climate change or ecosystem research entity of
any other Federal agency.
(d) Public Availability.--The advice and recommendations of
the Advisory Board shall be made available to the public.
(e) Nonapplicability of FACA.--The Advisory Board shall not
be subject to the Federal Advisory Committee Act (5 U.S.C.
App.).
SEC. 1224. CLIMATE CHANGE AND NATURAL RESOURCE SCIENCE
CENTER.
(a) In General.--The Secretary shall establish a Climate
Change and Natural Resource Science Center within the
Department of the Interior.
(b) Functions.--In operating the Science Center, the
Secretary, in coordination with the Secretaries of
Agriculture, Commerce, and Defense, and the Administrator,
and in consultation with State fish and wildlife management
agencies, State coastal management agencies, territories or
possessions of the United States, and Indian tribes, shall--
(1) conduct scientific research on national issues relating
to the impacts of climate change on the respective authority
of each Federal agency over, and mechanisms of each Federal
agency for, adaptation, and avoidance and minimization of,
the impacts on fish, wildlife, and plants, the habitats of
fish, wildlife, and plants, and associated ecological
processes;
(2) consult with and advise Federal land, water, and
natural resource management and regulatory agencies and
Federal fish and wildlife agencies on--
(A) the impacts of climate change on fish, wildlife, and
plants, the habitats of fish, wildlife, and plants, and
associated ecological processes; and
(B) mechanisms for addressing the impacts described in
subparagraph (A);
(3) consult and, to the maximum extent practicable,
collaborate with State and local agencies, territories or
possessions of the United States, Indian tribes,
universities, and other public and private entities regarding
research, monitoring, and other efforts to address the
impacts of climate change on fish, wildlife, and plants, the
habitats of fish, wildlife, and plants, and associated
ecological processes; and
(4) collaborate and, as appropriate, enter into contracts
with Federal and non-Federal climate change research entities
to ensure that the full array of ecosystem types are
appropriately addressed.
Subtitle D--National Wildlife Adaptation Program
SEC. 1231. NATIONAL WILDLIFE ADAPTATION FUND.
(a) Establishment.--There is established in the Treasury of
the United States a fund, to be known as the ``National
Wildlife Adaptation Fund'', consisting of such amounts as are
deposited in the Wildlife Adaptation Fund under section
1202(a)(2)(C).
(b) Use and Availability of Funds.--Amounts deposited in
the Wildlife Adaptation Fund under section 1202(a)(2)(C)
shall be--
(1) used to carry out activities (including research and
education activities) to assist fish and wildlife, fish and
wildlife habitat, plants, aquatic and terrestrial ecosystems,
and associated ecological processes in becoming more
resilient, adapting to, and surviving the impacts of, climate
change and ocean acidification (referred to in this subtitle
as ``adaptation activities'') pursuant to this subtitle; and
[[Page S5090]]
(2) made available without further appropriation or fiscal
year limitation.
(c) Consistency With National Strategy.--
(1) In general.--Subject to paragraph (2), effective
beginning on the date on which the President establishes the
national strategy under section 1222, funds made available
under subsection (b) shall be used only for adaptation
activities that are consistent with the national strategy.
(2) Initial period.--Until the date on which the President
establishes the national strategy, funds made available under
subsection (b) shall be used only for adaptation activities
that are consistent with a work-plan established by the
President.
SEC. 1232. DEPARTMENT OF THE INTERIOR.
Of the amounts made available annually under section
1231(b)--
(1) 34 percent shall be allocated to the Secretary of the
Interior for use in funding--
(A) adaptation activities carried out--
(i) under endangered species, migratory bird, and other
fish and wildlife programs administered by the United States
Fish and Wildlife Service;
(ii) on wildlife refuges and other public land under the
jurisdiction of the United States Fish and Wildlife Service,
the Bureau of Land Management, or the National Park Service;
(iii) within Federal water managed by the Bureau of
Reclamation; or
(iv) to address the requirements of Federal and State
natural resource agencies through coordination,
dissemination, and augmentation of research regarding the
impacts of climate change on fish, wildlife, and plants, the
habitats of fish, wildlife, and plants, and ecological
processes, and the mechanisms to adapt to, mitigate, or
prevent those impacts by the Science Center within the United
States Geological Survey--
(I) in coordination with the Secretaries of Agriculture,
Commerce, and Defense, and the Administrator; and
(II) in consultation with State fish and wildlife
management agencies, State environmental, coastal, and Great
Lakes management agencies, territories or possessions of the
United States, and Indian tribes;
(B) the Advisory Board; and
(C) the Science Center;
(2) 10 percent shall be allocated to the Secretary of the
Interior for adaptation activities carried out under
cooperative grant programs, including--
(A) the cooperative endangered species conservation fund
authorized under section 6(i) of the Endangered Species Act
of 1973 (16 U.S.C. 1535(i));
(B) programs under the North American Wetlands Conservation
Act (16 U.S.C. 4401 et seq.);
(C) the multinational species conservation fund established
under the heading ``multinational species conservation fund''
of title I of the Department of the Interior and Related
Agencies Appropriations Act, 1999 (16 U.S.C. 4246);
(D) the Neotropical Migratory Bird Conservation Fund
established by section 9(a) of the Neotropical Migratory Bird
Conservation Act (16 U.S.C. 6108(a));
(E) the Coastal Program of the United States Fish and
Wildlife Service;
(F) the National Fish Habitat Action Plan;
(G) the Partners for Fish and Wildlife Program;
(H) the Landowner Incentive Program;
(I) the Wildlife Without Borders Program of the United
States Fish and Wildlife Service; and
(J) the Park Flight Migratory Bird Program of the National
Park Service; and
(3) 2 percent shall be allocated to the Secretary of the
Interior and subsequently made available to Indian tribes to
carry out adaptation activities through the tribal wildlife
grants program of the United States Fish and Wildlife
Service.
SEC. 1233. FOREST SERVICE.
Of the amounts made available annually under section
1231(b), 10 percent shall be allocated to the Secretary of
Agriculture for use in funding adaptation activities carried
out--
(1) on National Forests and National Grasslands under the
jurisdiction of the Forest Service; or
(2) pursuant to the cooperative Wings Across the Americas
Program.
SEC. 1234. ENVIRONMENTAL PROTECTION AGENCY.
Of the amounts made available annually under section
1231(b), 12 percent shall be allocated to the Administrator
for use in adaptation activities for restoring and
protecting--
(1) large-scale freshwater aquatic ecosystems, including
the Everglades, the Great Lakes, Flathead Lake, the Missouri
River, the Mississippi River, the Colorado River, the
Sacramento-San Joaquin Rivers, the Ohio River, the Columbia-
Snake River System, the Apalachicola, the Chattahoochee and
Flint River System, the Connecticut River, and the
Yellowstone River;
(2) large-scale estuarine ecosystems, including the
Chesapeake Bay, Long Island Sound, Puget Sound, the
Mississippi River Delta, San Francisco Bay Delta,
Narragansett Bay, and Albemarle-Pamlico Sound; and
(3) other freshwater, estuarine, coastal, and marine
ecosystems, watersheds, basins, and groundwater resources
identified as priorities by the Administrator (including
those identified in accordance with section 320 of the
Federal Water Pollution Control Act (33 U.S.C. 1330)),
working in cooperation with other Federal agencies, States,
local governments, scientists, and other conservation
partners.
SEC. 1235. CORPS OF ENGINEERS.
Of the amounts made available annually under section
1231(b), 15 percent shall be allocated to the Secretary of
the Army for use by the Corps of Engineers to carry out
adaptation activities for protecting and restoring--
(1) large-scale freshwater aquatic ecosystems, including
the ecosystems described in section 1234(1);
(2) large-scale estuarine ecosystems, including the
ecosystems described in section 1234(2);
(3) other freshwater, estuarine, coastal and marine
ecosystems, watersheds, basins, and groundwater resources
identified as priorities by the Corps of Engineers, working
in cooperation with other Federal agencies, States, local
governments, scientists, and other conservation partners; and
(4) habitats or ecosystems under programs such as--
(A) the Estuary Restoration Act of 2000 (33 U.S.C. 2901 et
seq.);
(B) project modifications in accordance with section 1135
of the Water Resources Development Act of 1986 (33 U.S.C.
2309a) for improvement of the environment; and
(C) the program for aquatic restoration under section 206
of the Water Resources Development Act of 1996 (33 U.S.C.
2330).
SEC. 1236. DEPARTMENT OF COMMERCE.
Of the amounts made available annually under section
1231(b), 17 percent shall be allocated to the Secretary of
Commerce for use in funding adaptation activities to protect,
maintain, and restore coastal, estuarine, Great Lakes, and
marine resources, habitats, and ecosystems, including
activities carried out under--
(1) the coastal and estuarine land conservation program;
(2) the community-based restoration program;
(3) the Coastal Zone Management Act of 1972 (16 U.S.C. 1451
et seq.), subject to the condition that State coastal
agencies shall incorporate, and the Secretary of Commerce
shall approve, coastal zone management plan elements that
are--
(A) consistent with the National Wildlife Adaptation
Strategy developed by the President under section 1222(a), as
part of a coastal zone management program established under
this Act; and
(B) specifically designed to strengthen the ability of
coastal, estuarine, and marine resources, habitats, and
ecosystems to adapt to and withstand the impacts of--
(i) global warming; and
(ii) where practicable, ocean acidification;
(4) the Open Rivers Initiative;
(5) the Magnuson Fishery Conservation and Management Act
(16 U.S.C. 1801 et seq.);
(6) the Marine Mammal Protection Act of 1972 (16 U.S.C.
1361 et seq.);
(7) the Endangered Species Act of 1973 (16 U.S.C. 1531 et
seq.);
(8) the Marine Protection, Research, and Sanctuaries Act of
1972 (33 U.S.C. 1401 et seq.); and
(9) the Coral Reef Conservation Act of 2000 (16 U.S.C. 6401
et seq.).
SEC. 1237. NATIONAL ACADEMY OF SCIENCES REPORT.
(a) In General.--Not later than 1 year after the date of
enactment of this Act, the Secretary of the Interior shall
offer to enter into an arrangement with the National Academy
of Sciences, under which the Academy shall establish a
panel--
(1) to convene multiple regional scientific symposia to
examine the ecological impact of climate change on imperiled
species in each region of the United States; and
(2) to examine and analyze the reports, data, documents,
and other information produced by the regional scientific
symposia.
(b) Report.--
(1) In general.--The National Academy of Sciences shall
prepare and submit to the Secretary of the Interior a report
that--
(A) incorporates the information produced through the
symposia described in subsection (a)(1); and
(B) includes each component described in paragraph (2).
(2) Contents.--The report under paragraph (1) shall
include--
(A) an identification and assessment of the impacts of
climate change and ocean acidification on imperiled species,
ecosystems, and waters under the jurisdiction of the United
States (including the possessions and territories of the
United States);
(B) an identification and assessment of different
ecological scenarios that may result from different
intensities, rates, and other critical manifestations of
climate change;
(C) recommendations for the responsibilities of the Federal
Government, State, local, and tribal agencies, and private
parties in assisting imperiled species in adapting to, and
surviving the impacts of, climate change (including a
recommended list of prioritized remediation actions by those
agencies and parties); and
(D) other relevant ecological information.
(3) Public availability.--The report shall be made
available to the public as soon as practicable after the date
on which the report is completed.
(c) Use of Report by Heads of Certain Federal Agencies.--
The Secretaries of Agriculture, Commerce, the Interior, and
Defense, and the Administrator, shall take into account each
recommendation contained in the report under subsection (b).
[[Page S5091]]
TITLE XIII--INTERNATIONAL PARTNERSHIPS TO REDUCE EMISSIONS AND ADAPT TO
CLIMATE CHANGE
Subtitle A--Promoting Fairness While Reducing Emissions
SEC. 1301. DEFINITIONS.
In this subtitle:
(1) Baseline emission level.--
(A) Covered goods.--With respect to a covered good of a
foreign country, the term ``baseline emission level'' means,
as determined by the Commission, the total annual greenhouse
gas emissions attributed to the category of the covered good
of the foreign country during calendar year 2005, based on
the best available information.
(B) Countries.--With respect to the United States or a
foreign country, the term ``baseline emission level'' means,
as determined by the Commission, the total annual nationwide
greenhouse gas emissions attributed to the country during
calendar year 2005, based on the best available information.
(2) Best available information.--The term ``best available
information'' means--
(A) all relevant data that are available for a particular
period; and
(B) to the extent necessary--
(i) economic and engineering models;
(ii) best available information on technology performance
levels; and
(iii) any other useful measure or technique for estimating
the emissions from emissions activities.
(3) Commission.--The term ``Commission'' means the
International Climate Change Commission established by
section 1304(a).
(4) Comparable action.--
(A) In general.--The term ``comparable action'' means any
greenhouse gas regulatory programs, requirements, and other
measures adopted by a foreign country that, in combination,
are comparable in effect to actions carried out by the United
States through Federal, State, and local measures to limit
greenhouse gas emissions, as determined by the Commission in
accordance with subparagraph (B).
(B) Requirements.--For purposes of subparagraph (A), the
Commission shall make a determination on whether a foreign
country has taken comparable action for a particular calendar
year based on the best available information and in
accordance with the following requirements:
(i) A foreign country shall be considered to have taken
comparable action if the Commission determines that the
percentage change in greenhouse gas emissions in the foreign
country during the relevant period is equal to or greater
than the percentage change in greenhouse emissions of the
United States during that period.
(ii) In the case of a foreign country that is not
considered to have taken comparable action under clause (i),
the Commission shall take into consideration, in making a
determination on comparable action for that foreign country,
the extent to which, during the relevant period, the foreign
country has implemented, verified, and enforced each of the
following:
(I) The deployment and use of state-of-the-art technologies
in industrial processes, equipment manufacturing facilities,
power generation and other energy facilities, and consumer
goods (such as automobiles and appliances), and
implementation of other techniques or actions, that have the
effect of limiting greenhouse gas emissions of the foreign
country during the relevant period.
(II) Any regulatory programs, requirements, and other
measures that the foreign country has implemented to limit
greenhouse gas emissions during the relevant periods.
(iii) For determinations under clause (i), the Commission
shall develop rules for taking into account net transfers to
and from the United States and the other foreign country of
greenhouse gas allowances and other emission credits.
(iv) Any determination on comparable action made by the
Commission under this paragraph shall comply with applicable
international agreements.
(5) Compliance year.--The term ``compliance year'' means
each calendar year for which the requirements of this title
apply to a category of covered goods of a covered foreign
country that is imported into the United States.
(6) Covered foreign country.--The term ``covered foreign
country'' means a foreign country that is included on the
covered list prepared under section 1306(b)(3).
(7) Covered good.--The term ``covered good'' means a good
that, as identified by the Administrator by regulation--
(A) is a primary product or manufactured item for
consumption;
(B) generates, in the course of the manufacture of the
good, a substantial quantity of direct greenhouse gas
emissions or indirect greenhouse gas emissions; and
(C) is closely related to a good the cost of production of
which in the United States is affected by a requirement of
this Act.
(8) Enter; entry.--The terms ``enter'' and ``entry'' mean
the point at which a covered good passes into, or is
withdrawn from a warehouse for consumption in, the customs
territory of the United States.
(9) Foreign country.--The term ``foreign country'' means
any country or separate customs territory other than the
United States.
(10) Indirect greenhouse gas emissions.--The term
``indirect greenhouse gas emissions'' means greenhouse gas
emissions resulting from the generation of electricity
consumed in manufacturing a covered good.
(11) International agreement.--The term ``international
agreement'' means any international agreement to which the
United States is a party, including the Marrakesh agreement
establishing the World Trade Organization, done at Marrakesh
on April 15, 1994.
(12) International reserve allowance.--The term
``international reserve allowance'' means an allowance
(denominated in units of metric tons of carbon dioxide
equivalent) that is--
(A) purchased from a special reserve of allowances pursuant
to section 1306(a)(2); and
(B) used for purposes of meeting the requirements of
section 1306.
(13) Manufactured item for consumption.--The term
``manufactured item for consumption'' means any good or
product--
(A) that is not a primary product;
(B) that generates, in the course of the manufacture, a
substantial quantity of direct greenhouse gas emissions or
indirect greenhouse gas emissions, including emissions
attributable to the inclusion of a primary product in the
manufactured item for consumption; and
(C) for which the Commission, in consultation with the
Administrator, determines that the application of an
international reserve allowance requirement under section
1306 to the particular category of goods or products is
administratively feasible and necessary to achieve the
purposes of this subtitle.
(14) Percentage change in greenhouse gas emissions.--The
term ``percentage change in greenhouse gas emissions'', with
respect to a country, means, as determined by the Commission,
the percentage by which greenhouse gas emissions, on a
nationwide basis, have decreased or increased (as the case
may be) as compared to the baseline emission level of the
country, which percentage for the country shall be equal to
the quotient obtained by dividing--
(A) the quantity of the decrease or increase in the total
nationwide greenhouse gas emissions for the country, as
compared to the baseline emission level for the country; by
(B) the baseline emission level for the country.
(15) Primary product.--The term ``primary product'' means--
(A) iron, steel, steel mill products (including pipe and
tube), aluminum, cement, glass (including flat, container,
and specialty glass and fiberglass), pulp, paper, chemicals,
or industrial ceramics; and
(B) any other manufactured product that--
(i) is sold in bulk for purposes of further manufacture or
inclusion in a finished product; and
(ii) generates, in the course of the manufacture of the
product, direct greenhouse gas emissions or indirect
greenhouse gas emissions that are comparable (on an
emissions-per-output basis) to emissions generated in the
manufacture of products by covered entities in the industrial
sector.
SEC. 1302. PURPOSES.
The purposes of this subtitle are--
(1) to promote a strong global effort to significantly
reduce greenhouse gas emissions;
(2) to ensure, to the maximum extent practicable, that
greenhouse gas emissions occurring outside the United States
do not undermine the objectives of the United States in
addressing global climate change; and
(3) to encourage effective international action to achieve
those objectives through--
(A) agreements negotiated between the United States and
foreign countries; and
(B) measures carried out by the United States that comply
with applicable international agreements.
SEC. 1303. INTERNATIONAL NEGOTIATIONS.
(a) Finding.--Congress finds that the purposes described in
section 1302 can be most effectively addressed and achieved
through agreements negotiated between the United States and
foreign countries.
(b) Negotiating Objective.--
(1) Statement of policy.--It is the policy of the United
States to work proactively under the United Nations Framework
Convention on Climate Change and, in other appropriate
forums, to establish binding agreements committing all major
greenhouse gas-emitting nations to contribute equitably to
the reduction of global greenhouse gas emissions.
(2) Intent of congress regarding objective.--To the extent
that the agreements described in subsection (a) involve
measures that will affect international trade in any good or
service, it is the intent of Congress that--
(A) the negotiating objective of the United States shall be
to focus multilateral and bilateral international agreements
on the reduction of greenhouse gas emissions to advance
achievement of the purposes described in section 1302; and
(B) the United States should attempt to achieve that
objective through the negotiation of international agreements
that--
(i) with respect to foreign countries that are not taking
comparable action, promote the adoption of regulatory
programs, requirements, and other measures that are
comparable in effect to the actions carried out by the United
States to limit greenhouse gas emissions on a nationwide
basis; and
(ii) with respect to foreign countries that are taking
comparable action, promote the adoption of requirements
similar in effect to the requirements of this subtitle to
advance the achievement of the purposes described in section
1302.
[[Page S5092]]
(c) Notification to Foreign Countries.--As soon as
practicable after the date of enactment of this Act, the
President shall provide to each applicable foreign country a
notification of the negotiating objective of United States
described in subsection (b), including--
(1) a request that the foreign country take comparable
action to limit the greenhouse gas emissions of the foreign
country, unless that foreign country would otherwise be
excluded under clause (ii) or (iii) of section 1306(b)(2)(A);
and
(2) an estimate of the percentage change in greenhouse gas
emissions that the United States expects to achieve annually
through Federal, State, and local measures during the 10-year
period beginning on January 1, 2012.
(d) Report to Congress.--Not later than 2 years after the
date of enactment of this Act, and every 3 years thereafter,
the President shall submit to Congress a report describing
the progress made by the United States in achieving the
negotiating objective described in subsection (b).
SEC. 1304. INTERNATIONAL CLIMATE CHANGE COMMISSION.
(a) Establishment.--There is established a commission, to
be known as the ``International Climate Change Commission''.
(b) Organization.--
(1) Membership.--
(A) In general.--The Commission shall be composed of 6
commissioners to be appointed by the President, by and with
the advice and consent of the Senate.
(B) Requirements.--Each commissioner shall--
(i) be a citizen of the United States; and
(ii) have the required qualifications for developing
knowledge and expertise relating to international climate
change matters, as the President determines to be necessary
for performing the duties of the Commission under this
subtitle.
(2) Appointment of commissioners.--
(A) In general.--Not later than 90 days after the date of
enactment of this Act, the President shall appoint the
commissioners to the Commission in accordance with this
subsection.
(B) Failure to appoint.--
(i) In general.--If the President fails to appoint 1 or
more commissioners by the deadline described in subparagraph
(A), the International Trade Commission shall appoint the
remaining commissioners by not later than 180 days after the
date of enactment of this Act.
(ii) Termination of authority.--On appointment of a
commissioner by the International Trade Commission under
clause (i), the authority of the President to appoint
commissioners under this subsection shall terminate.
(3) Political affiliation.--
(A) In general.--Not more than 3 commissioners serving at
any time shall be affiliated with the same political party.
(B) Requirement.--In appointing commissioners to the
Commission, the President or the International Trade
Commission, as applicable, shall alternately appoint
commissioners from each political party, to the maximum
extent practicable.
(4) Term of commissioners; reappointment.--
(A) In general.--The term of a commissioner shall be 12
years, except that the commissioners first appointed under
paragraph (2) shall be appointed to the Commission in a
manner that ensures that--
(i) the term of not more than 1 commissioner shall expire
during any 2-year period; and
(ii) no commissioner serves a term of more than 12 years.
(B) Service until new appointment.--The term of a
commissioner shall continue after the expiration of the term
of the commissioner until the date on which a replacement is
appointed by the President and confirmed by the Senate.
(C) Vacancy.--Any commissioner appointed to fill a vacancy
occurring before the expiration of the term for which the
predecessor was appointed shall be appointed for the
remainder of the term.
(D) Reappointment.--An individual who has served as a
commissioner for a term of more than 7 years shall not be
eligible for reappointment.
(5) Chairperson and vice-chairperson.--
(A) Designation.--
(i) In general.--The President shall designate a
Chairperson and Vice Chairperson of the Commission from the
commissioners that are eligible for designation under
subparagraph (C).
(ii) Failure to designate.--If the President fails to
designate a Chairperson under clause (i), the commissioner
with the longest period of continuous service on the
Commission shall serve as Chairperson.
(B) Term of service.--The Chairperson and Vice-Chairperson
shall each serve for a term of 4 years.
(C) Eligibility requirements.--
(i) Chairperson.--The President may designate as
Chairperson of the Commission any commissioner who--
(I) is not affiliated with the political party with which
the Chairperson of the Commission for the immediately
preceding year was affiliated; and
(II) except in the case of the first commissioners
appointed to the Commission, has served on the Commission for
not less than 1 year.
(ii) Vice-chairperson.--The President may designate as the
Vice Chairperson of the Commission any commissioner who is
not affiliated with the political party with which the
Chairperson is affiliated.
(6) Quorum.--A majority of commissioners shall constitute a
quorum.
(7) Voting.--
(A) Requirement.--The Commission shall not carry out any
duty or power of the Commission unless--
(i) a quorum is present at the relevant public meeting of
the Commission; and
(ii) a majority of commissioners comprising the quorum, and
any commissioner voting by proxy, votes to carry out the duty
or function.
(B) Equally divided votes.--With respect to a determination
of the Commission regarding whether a foreign country has
taken comparable action under section 1305, if the votes of
the commissioners are equally divided, the foreign country
shall be considered not to have taken comparable action.
(c) Duties.--The Commission shall--
(1) determine whether foreign countries are taking
comparable action under section 1305;
(2) establish foreign country lists under section 1306(b);
(3) classify categories of goods and products as
manufactured items for consumption in accordance with the
requirements of section 1301(13);
(4) determine the economic adjustment ratio that applies to
covered goods of covered foreign countries under section
1306(d)(4);
(5) adjust the international reserve allowance requirements
pursuant to section 1307; and
(6) carry out such other activities as the Commission
determines to be appropriate to implement this subtitle.
(d) Powers.--
(1) Penalty for noncompliance.--The Commission may impose
an excess emissions penalty on a United States importer of
covered goods if that importer fails to submit the required
number of international reserve allowances, as specified in
section 1306, in an amount equal to the excess emissions
penalty that an owner or operator of a covered entity would
be required to submit for noncompliance under section 203.
(2) Prohibition on importers.--The Commission may prohibit
a United States importer from entering covered goods for a
period not to exceed 5 years, if the importer--
(A) fails to pay a penalty for noncompliance imposed under
paragraph (1); or
(B) submits a written declaration under section 1306(c)
that provides false or misleading information for the purpose
of circumventing the international reserve requirements of
this subtitle.
(3) Delegation to bice.--
(A) In general.--The Commission, as appropriate, may
delegate to the Bureau of Immigration and Customs Enforcement
any power of the Commission under this subsection.
(B) Enforcement.--On delegation by the Commission of a
power under subparagraph (A), the Bureau of Immigration and
Customs Enforcement shall carry out the power in accordance
with such procedures and requirements as the Commission may
establish.
SEC. 1305. DETERMINATIONS ON COMPARABLE ACTION.
(a) In General.--Not later than July 1, 2013, and annually
thereafter, the Commission shall determine whether, and the
extent to which, each foreign country that is not exempted
under subsection (b) has taken comparable action to limit the
greenhouse gas emissions of the foreign country, based on
best available information and a comparison between actions
that--
(1) the foreign country carried out during the calendar
year immediately preceding the calendar year in which the
Commission is making a determination under this subsection;
and
(2) the United States carried out during the calendar year
immediately preceding the calendar year referred to in
paragraph (1).
(b) Exemption.--The Commission shall exempt from a
determination under subsection (a) for a calendar year any
foreign country that is placed on the excluded list pursuant
to clause (ii) or (iii) of section 1306(b)(2)(A) for that
calendar year.
(c) Reports.--The Commission shall, as expeditiously as
practicable--
(1) submit to the President and Congress an annual report
describing the determinations of the Commission under
subsection (a) for the most recent calendar year; and
(2) publish a description of the determinations in the
Federal Register.
SEC. 1306. INTERNATIONAL RESERVE ALLOWANCE PROGRAM.
(a) Establishment.--
(1) In general.--The Administrator shall establish a
program under which the Administrator shall offer for sale to
United States importers international reserve allowances in
accordance with this subsection.
(2) Source.--International reserve allowances under
paragraph (1) shall be issued from a special reserve of
allowances that is separate from, and established in addition
to, the quantity of allowances established pursuant to
section 201(a).
(3) Date of sale.--A United States importer shall be able
to purchase international reserve allowances under this
subsection by not later than the earliest date on which the
Administrator distributes allowances under any of titles V
through XI.
(4) Price.--
(A) In general.--The Administrator shall establish, by
regulation, a methodology for
[[Page S5093]]
determining the daily price of international reserve
allowances for sale under paragraph (1).
(B) Requirement.--The methodology under subparagraph (A)
shall require the Administrator--
(i) not later than the date on which importers may first
purchase international allowances under paragraph (3), and
annually thereafter, to identify 3 leading publicly reported
daily price indices for the sale of emission allowances
established pursuant to section 201(a); and
(ii) for each day on which international reserve allowances
are offered for sale under this subsection, to establish the
price of the allowances in an amount equal to the arithmetic
mean of the market clearing price for an allowance for the
preceding day pursuant to section 201(a) on the indices
identified under clause (i).
(5) Serial number.--The Administrator shall assign a unique
serial number to each international reserve allowance issued
under this subsection.
(6) Trading system.--The Administrator may establish, by
regulation, a system for the sale, exchange, purchase,
transfer, and banking of international reserve allowances.
(7) Covered entities.--International reserve allowances may
not be submitted by covered entities to comply with the
allowance submission requirements of section 202.
(8) Proceeds.--Subject to appropriation, all proceeds from
the sale of international reserve allowances under this
subsection shall be allocated to carry out a program that the
Administrator, in coordination with the Secretary of State,
shall establish to mitigate negative impacts of climate
change on disadvantaged communities in foreign countries.
(b) Foreign Country Lists.--
(1) In general.--Not later than January 1 of the third
calendar year for which emission allowances are required to
be submitted under section 202, and annually thereafter, the
Commission shall develop and publish in the Federal Register
2 lists of foreign countries, in accordance with this
subsection.
(2) Excluded list.--
(A) In general.--The Commission shall identify and publish
in a list, to be known as the ``excluded list'' the name of--
(i) each foreign country determined by the Commission under
section 1305(a) to have taken action comparable to that taken
by the United States to limit the greenhouse gas emissions of
the foreign country;
(ii) each foreign country identified by the United Nations
as among the least-developed developing countries; and
(iii) each foreign country the share of total global
greenhouse gas emissions of which is below the de minimis
percentage described in subparagraph (B).
(B) De minimis percentage.--
(i) In general.--The de minimis percentage referred to in
subparagraph (A)(iii) shall be a percentage of total global
greenhouse gas emissions of not more than 0.5, as determined
by the Commission, for the most recent calendar year for
which emissions and other relevant data are available.
(ii) Requirement.--The Commission shall place a foreign
country on the excluded list under subparagraph (A)(iii) only
if the de minimis percentage is not exceeded in 2 distinct
determinations of the Commission--
(I) 1 of which reflects the annual average deforestation
rate during a representative period for the United States and
each foreign country; and
(II) 1 of which does not reflect that annual average
deforestation rate.
(3) Covered list.--
(A) In general.--The Commission shall identify and publish
in a list, to be known as the ``covered list'', the name of
each foreign country the covered goods of which are subject
to the requirements of this section.
(B) Requirement.--The covered list shall include each
foreign country that is not included on the excluded list
under paragraph (2).
(c) Written Declarations.--
(1) In general.--Effective beginning January 1, 2014, a
United States importer of any covered good shall, as a
condition of entry of the covered good into the United
States, submit to the Administrator and the Bureau of
Immigration and Customs Enforcement a written declaration
with respect to the entry of such good, including a
compliance statement, supporting documentation, and deposit
in accordance with this subsection.
(2) Compliance statement.--A written declaration under
paragraph (1) shall include a statement certifying that the
applicable covered good is--
(A) subject to the international reserve allowance
requirements of this section and accompanied by the
appropriate supporting documentation and deposit, as required
under paragraph (3); or
(B) exempted from the international reserve allowance
requirements of this section and accompanied by a
certification that the good was not manufactured or processed
in any foreign country that is on the covered list under
subsection (b)(3).
(3) Documentation and deposit.--If an importer cannot
certify that a covered good is exempted under paragraph
(2)(B), the written declaration for the covered good shall
include--
(A) an identification of each foreign country in which the
covered good was manufactured or processed;
(B) a brief description of the extent to which the covered
good was manufactured or processed in each foreign country
identified under subparagraph (A);
(C) an estimate of the number of international reserve
allowances that are required for entry of the covered good
into the United States under subsection (d); and
(D) at the election of the importer, the deposit of --
(i) international reserve allowances in a quantity equal to
the estimated number required for entry under subparagraph
(C); or
(ii) a bond, other security, or cash in an amount
sufficient to cover the purchase of the estimated number of
international reserve allowances under subparagraph (C).
(4) Final assessment.--
(A) In general.--Not later than 180 days after the date of
submission of the written declaration and entry of a covered
good under paragraph (1), the Administrator shall make a
final assessment of the international reserve allowance
requirement for the covered good under this section.
(B) Requirement.--A final assessment under subparagraph (A)
with respect to a covered good shall specify--
(i) the total number of international reserve allowances
that are required for entry of the covered good; and
(ii) the difference between--
(I) the amount of the deposit under paragraph (3)(D); and
(II) the final assessment.
(C) Reconciliation.--
(i) Allowance deposit.--
(I) In general.--The Bureau of Immigration and Customs
Enforcement shall--
(aa) promptly reconcile the final assessment under
subparagraph (A) with the quantity of international reserve
allowances deposited under paragraph (3)(D)(i); and
(bb) provide a notification of the reconciliation to the
Administrator and each affected importer.
(II) Excess allowances.--If the quantity of international
reserve allowances deposited under paragraph (3)(D)(i) exceed
the quantity described in the final assessment, the Bureau of
Immigration and Customs Enforcement shall refund the excess
quantity of allowances.
(III) Insufficient allowances.--If the quantity of
international reserve allowances described in the final
assessment exceeds the quantity of allowances deposited under
paragraph (3)(D)(i), the applicable importer shall submit to
the Administrator international reserve allowances sufficient
to satisfy the final assessment by not later than 14 days
after the date on which the notice under subclause (I)(bb) is
provided.
(ii) Bond, security, or cash deposit.--
(I) In general.--If an importer has submitted a bond,
security, or cash deposit under paragraph (3)(D)(ii), the
Bureau of Immigration and Customs Enforcement shall use the
deposit to purchase a sufficient number of international
reserve allowances, as determined in the final assessment
under subparagraph (A).
(II) Insufficient deposit.--To the extent that the amount
of the deposit fails to cover the purchase of sufficient
international reserve allowances under subclause (I), the
importer shall submit such additional allowances as are
necessary to cover the shortage.
(III) Excess deposit.--To the extent that the amount of the
deposit exceeds the price of international reserve allowances
required under the final assessment, the Bureau of
Immigration and Customs Enforcement shall refund to the
importer the unused portion of the deposit.
(5) Inclusion.--A written declaration required under this
subsection shall include the unique serial number of each
emission allowance associated with the entry of the
applicable covered good.
(6) Failure to declare.--A covered good that is not
accompanied by a written declaration that meets the
requirements of this subsection shall not be permitted to
enter the United States.
(7) Corrected declaration.--
(A) In general.--If, after making a declaration required
under this subsection, an importer has reason to believe that
the declaration contains information that is not correct, the
importer shall provide a corrected declaration by not later
than 30 days after the date of discovery of the error, in
accordance with subparagraph (B).
(B) Method.--A corrected declaration under subparagraph (A)
shall be in the form of a letter or other written statement
to the Administrator and the office of the Bureau of
Immigration and Customs Enforcement to which the original
declaration was submitted.
(d) Quantity of Allowances Required.--
(1) Methodology.--
(A) In general.--The Administrator shall establish, by
regulation, a method for calculating the required number of
international reserve allowances that a United States
importer is required to submit, together with a written
declaration under subsection (c), for each category of
covered goods of each covered foreign country.
(B) Requirements.--The method shall--
(i) apply to covered goods that are manufactured and
processed entirely in a single covered foreign country; and
(ii) require submission for a compliance year of the
quantity of international reserve allowances described in
paragraph (2) for calculating the international reserve
allowance requirement on a per-unit basis for each category
of covered goods that are entered into the United States from
that covered foreign country during each compliance year.
[[Page S5094]]
(2) General formula.--The quantity of international reserve
allowances required to be submitted for a compliance year
referred to in paragraph (1) shall be the product obtained by
multiplying--
(A) the national greenhouse gas intensity rate for each
category of covered goods of each covered foreign country for
the compliance year, as determined by the Administrator under
paragraph (3);
(B) the allowance adjustment factor for the industry sector
of the covered foreign country that manufactured the covered
goods entered into the United States, as determined by the
Administrator under paragraph (4); and
(C) the economic adjustment ratio for the covered foreign
country, as determined by the Commission under paragraph (5).
(3) National greenhouse gas intensity rate.--The national
greenhouse gas intensity rate for a covered foreign country
under paragraph (2)(A), on a per-unit basis, shall be the
quotient obtained by dividing--
(A) the total quantity of direct greenhouse gas emissions
and indirect greenhouse gas emissions that are attributable
to a category of covered goods of a covered foreign country
during the most recent calendar year (as adjusted to exclude
those emissions that would not be subject to the allowance
submission requirements of section 202 for the category of
covered goods if manufactured in the United States); by
(B) total number of units of the covered good that are
produced in the covered foreign country during that calendar
year.
(4) Allowance adjustment factor.--
(A) General formula.--The allowance adjustment factor for a
covered foreign country under paragraph (2)(B) shall be equal
to 1 minus the ratio that--
(i) the number of allowances, as determined by the
Administrator under subparagraph (B), that an industry sector
of the covered foreign country would have received at no cost
if the allowances were allocated in the same manner in which
allowances are allocated at no cost under titles V through XI
to that industry sector of the United States; bears to
(ii) the total quantity of direct greenhouse gas emissions
and indirect greenhouse gas emissions that are attributable
to a category of covered goods of a covered foreign country
during a particular compliance year.
(B) Allowances allocated at no cost.--For purposes of
subparagraph (A)(i), the number of allowances that would have
been allocated at no cost to an industry sector of a covered
foreign country shall be equal to the product obtained by
multiplying--
(i) the baseline emission level that the Commission has
attributed to a category of covered goods of the covered
foreign country; and
(ii) the ratio that--
(I) the quantity of allowances that are allocated at no
cost under titles V through XI to entities in the industry
sector that manufactures the covered goods for the compliance
year during which the covered goods were entered into the
United States; bears to
(II) the total quantity of direct greenhouse gas emissions
and indirect greenhouse gas emissions of that sector during
the same compliance year.
(5) Economic adjustment ratio.--The economic adjustment
ratio for a covered foreign country under paragraph (2)(C)
shall be 1, except in any case in which the Commission
determines to decrease the ratio in order to account for the
extent to which, during the relevant period, the foreign
country has implemented, verified, and enforced each of the
following:
(A) The deployment and use of state-of-the-art technologies
in industrial processes, equipment manufacturing facilities,
power generation and other energy facilities, consumer goods
(such as automobiles and appliances) and other techniques or
actions that limit the greenhouse gas emissions of the
covered foreign country during the relevant period.
(B) Any regulatory programs, requirements, and other
measures that the foreign country has implemented to limit
greenhouse gas emissions during the relevant period.
(6) Annual calculation.--The Administrator shall--
(A) calculate the international reserve allowance
requirements for each compliance year based on the best
available information; and
(B) annually revise the applicable international reserve
allowance requirements to reflect changes in the variables of
the formulas described in this subsection.
(7) Publication.--Not later than 90 days before the
beginning of each compliance year, the Administrator shall
publish in the Federal Register a schedule describing the
required number of international reserve allowances for each
category of imported covered goods of each covered foreign
country, as calculated under this subsection.
(8) Covered goods from multiple countries.--
(A) In general.--The Administrator shall establish, by
regulation, procedures for determining the number of the
international reserve allowances that a United States
importer is required to submit under this section for a
category of covered goods that are--
(i) primary products; and
(ii) manufactured or processed in more than 1 foreign
country.
(B) Requirements.--
(i) In general.--Except as provided in clause (ii), the
procedures established under subparagraph (A) shall require
an importer--
(I) to determine, for each covered foreign country listed
in the written declaration of the importer under subsection
(c)(2)(B), the number of international reserve allowances
required under this subsection for the category of covered
goods manufactured and processed entirely in that covered
foreign country for the compliance year; and
(II) of the international reserve allowance requirements
applicable to each relevant covered foreign country, to apply
the requirement that requires the highest number of
international reserve allowances for the category of covered
goods.
(C) Exception.--
(i) In general.--The requirements of clause (i) shall not
apply if, on request by an importer, the Administrator
applies an alternate method for establishing the requirement.
(ii) Requirement for application.--The Administrator shall
apply an alternate method for establishing a requirement
under clause (i) only if the applicable importer demonstrates
in an administrative hearing by a preponderance of evidence
that the alternate method will establish an international
reserve allowance requirement that is more representative
than the requirement that would otherwise apply under clause
(i).
(D) Administrative hearing.--The Administrator shall
establish procedures for administrative hearings under
subparagraph (C)(ii) to ensure that--
(i) all evidence submitted by an importer will be subject
to verification by the Administrator;
(ii) domestic manufactures of the category of covered goods
subject to the administrative hearing will have an
opportunity to review and comment on evidence submitted by
the importer; and
(iii) appropriate penalties will be assessed in cases in
which the importer has submitted information that is false or
misleading.
(e) Foreign Allowances and Credits.--
(1) Foreign allowances.--
(A) In general.--A United States importer may submit, in
lieu of an international reserve allowance issued under this
section, a foreign allowance or similar compliance instrument
distributed by a foreign country pursuant to a cap-and-trade
program that constitutes comparable action.
(B) Commensurate cap-and-trade program.--For purposes of
subparagraph (A), a cap-and-trade program that constitutes
comparable action shall include any greenhouse gas regulatory
program adopted by a covered foreign country to limit the
greenhouse gas emissions of the covered foreign country, if
the Administrator certifies that the program--
(i)(I) places a quantitative limitation on the total
quantity of greenhouse gas emissions of the covered foreign
country (expressed in terms of tons emitted per calendar
year); and
(II) achieves that limitation through an allowance trading
system;
(ii) satisfies such criteria as the Administrator may
establish for requirements relating to the enforceability of
the cap-and-trade program, including requirements for
monitoring, reporting, verification procedures, and allowance
tracking; and
(iii) is a comparable action.
(2) Foreign credits.--
(A) In general.--A United States importer may submit, in
lieu of an international reserve allowance issued under this
section, an international offset that the Administrator has
authorized for use under subtitle B of title III or subtitle
B of this title.
(B) Application.--The limitation on the use of
international reserve allowances by covered entities under
subsection (a)(7) shall not apply to a United States importer
for purposes of this paragraph.
(f) Retirement of Allowances.--The Administrator shall
retire each international reserve allowance, foreign
allowance, and international offset submitted to achieve
compliance with this section.
(g) Termination.--The international reserve allowance
requirements of this section shall cease to apply to a
covered good of a covered foreign country if the Commission
places the covered foreign country on the excluded list under
subsection (b)(2).
(h) Final Regulations.--Not later than January 1, 2013, the
Administrator, in consultation with the Commission, shall
promulgate such regulations as the Administrator determines
to be necessary to carry out this section.
SEC. 1307. ADJUSTMENT OF INTERNATIONAL RESERVE ALLOWANCE
REQUIREMENTS.
(a) In General.--Not later than January 1, 2017, and
annually thereafter, the Commission shall prepare and submit
to the President and Congress a report that assesses the
effectiveness of the international reserve allowance
requirements under section 1306 with respect to--
(1) covered goods entered into the United States from each
foreign country included on the covered list under section
1306(b)(3); and
(2) the production of covered goods in those foreign
countries that are incorporated into manufactured goods that
are subsequently entered into the United States.
(b) Inadequate Requirements.--If the Commission determines
that an applicable international reserve allowance
requirement is not adequate to achieve the purposes of this
subtitle, the Commission shall include in the report under
subsection (a) recommendations--
[[Page S5095]]
(1) to increase the stringency or otherwise improve the
effectiveness of the applicable requirements in a manner that
ensures compliance with all applicable international
agreements;
(2) to address greenhouse gas emissions attributable to the
production of manufactured items for consumption that are not
subject to the international reserve allowance requirements
under section 1306; or
(3) to take such other action as the Commission determines
to be necessary to address greenhouse gas emissions
attributable to the production of covered goods in covered
foreign countries, in compliance with all applicable
international agreements.
(c) Revised Regulations.--The Administrator, in
consultation with the Commission, shall promulgate revised
regulations to implement the recommended changes to improve
the effectiveness of the international reserve allowance
requirements under subsection (b).
(d) Effective Date.--Any revisions made pursuant to
subsection (c) shall take effect on January 1 of the
compliance year immediately following the date on which the
revision is made.
Subtitle B--International Partnerships to Reduce Deforestation and
Forest Degradation
SEC. 1311. FINDINGS; PURPOSE.
(a) Findings.--Congress finds that--
(1) changes in land use patterns and forest sector
emissions account for approximately 20 percent of global
greenhouse gas emissions;
(2) land conversion and deforestation are 2 of the largest
sources of greenhouse gas emissions in the developing world,
comprising approximately 40 percent of the total greenhouse
gas emissions of the developing world;
(3) with sufficient data, deforestation and forest
degradation rates and forest carbon stocks can be measured
with an acceptable degree of uncertainty;
(4) encouraging reduced deforestation and reduced forest
degradation in foreign countries could--
(A) provide critical leverage to encourage voluntary
participation by developing countries in emission limitation
regimes;
(B) facilitate greater overall reductions in greenhouse gas
emissions than otherwise would be practicable; and
(C) substantially benefit biodiversity, conservation, and
indigenous and other forest-dependent people in developing
countries;
(5) in addition to forest carbon activities that can be
readily measured, monitored, and verified through national-
scale programs and projects, there is great value in reducing
emissions and sequestering carbon through forest carbon
projects in countries that lack the institutional
arrangements to support national-scale accounting of forest
carbon stocks; and
(6) providing emission allowances in support of projects in
countries that lack fully developed institutions for
national-scale accounting could help to build capacity in
those countries, sequester additional carbon, and increase
participation by developing countries in international
climate agreements.
(b) Purpose.--The purpose of this subtitle is to reduce
greenhouse gas emissions by reducing deforestation and forest
degradation in foreign countries in a manner that reduces the
costs imposed by this Act on covered entities in the United
States.
SEC. 1312. CAPACITY BUILDING PROGRAM.
(a) Establishment.--Not later than 2 years after the date
of enactment of this Act, the Administrator, in consultation
with the Secretary of the Interior, the Secretary of State,
and the Secretary of Agriculture, shall promulgate
regulations to establish programs under which the
Administrator shall provide emission allowances allocated
pursuant to subsection (b) to individuals and entities
(including foreign governments) carrying out projects in
foreign countries as described in sections 1313 and 1314.
(b) Allocation.--Not later than 330 days before January 1
of each of calendar years 2012 through 2050, the
Administrator shall allocate for distribution under this
section 1 percent of the aggregate quantity of emission
allowances established for the applicable calendar year
pursuant to section 201(a).
SEC. 1313. FOREST CARBON ACTIVITIES.
(a) Eligibility Requirements.--
(1) In general.--Not later than 2 years after the date of
enactment of this Act, the Administrator, in consultation
with the Secretary of the Interior, the Secretary of State,
and the Secretary of Agriculture, shall promulgate
regulations establishing eligibility requirements for the
allocation of emission allowances under this subsection for
forest carbon activities directed at sequestration of carbon
through restoration of forests and degraded land,
afforestation, and improved forest management in countries
other than the United States, including requirements that
those activities shall be--
(A) carried out and managed in accordance with widely-
accepted environmentally sustainable forestry practices; and
(B) designed--
(i) to promote native species and restoration of native
forests, where practicable;
(ii) to avoid the introduction of invasive nonnative
species;
(iii) so as not to adversely impact or undermine the rights
(including internationally recognized rights) of indigenous
and other forest-dependent individuals residing in the
affected areas; and
(iv) in a manner that ensures that local communities--
(I) are provided the right of free, prior, informed consent
regarding projects or other activities;
(II) are able to share equitably in profits or other
benefits of the activities; and
(III) receive fair compensation for any damages resulting
from the activities.
(2) Quality criteria for forest carbon allocations.--The
regulations promulgated pursuant to paragraph (1) shall
include requirements to ensure that the emission reductions
or sequestrations of a forest carbon activity that receives
emission allowances under this section are real, permanent,
additional, verifiable, and enforceable, with reliable
measuring and monitoring and appropriate accounting for
leakage.
(b) Peatland and Other Natural Land That Sequester
Carbon.--The Administrator may provide emission allowances
under this section for a project for storage of carbon in
peatland or other natural land if the Administrator--
(1) determines that--
(A) the peatland or other natural land is capable of
storing carbon; and
(B) the project for storage of carbon in the peatland or
other natural land is capable of meeting the quality criteria
described in subsection (a); and
(2) provides notice and an opportunity for public comment
regarding the project.
(c) Recognition of Forest Carbon Activities.--With respect
to foreign countries other than the foreign countries
described in subsection (a) or (b), the Administrator--
(1) shall recognize any forest carbon activities of the
foreign country, subject to the quality criteria for forest
carbon activities described in subsection (b); and
(2) is encouraged to identify other incentives, including
economic and market-based incentives, to encourage developing
countries with largely intact native forests to protect those
forests.
(d) Other Forest Carbon Activities.--A forest carbon
activity other than a reduction in deforestation or forest
degradation shall be eligible for a distribution of emission
allowances under this section, subject to the eligibility
requirements and quality criteria for forest carbon
activities described in subsection (a) or other regulations
promulgated pursuant to this Act.
SEC. 1314. ESTABLISHING AND DISTRIBUTING OFFSET ALLOWANCES.
(a) Regulations.--Not later than 2 years after the date of
enactment of this Act, the Administrator, in consultation
with the Secretary of the Interior, the Secretary of State,
and the Secretary of Agriculture, shall promulgate
regulations, including quality and eligibility requirements,
for the distribution of offset allowances for international
forest carbon activities.
(b) Quality and Eligibility Requirements.--The regulations
promulgated pursuant to subsection (a) shall require that, in
order to be approved for use under this section, offset
allowances distributed for an international forest carbon
activity shall meet such quality and eligibility requirements
as the Administrator may establish, including a requirement
that--
(1) the activity shall be designed, carried out, and
managed --
(A) in accordance with widely-accepted, environmentally
sustainable forestry practices;
(B) to promote native species and conservation or
restoration of native forests, where practicable, and to
avoid the introduction of invasive nonnative species;
(C) in a manner that does not adversely impact or undermine
the rights (including internationally recognized rights) of
indigenous and other forest-dependent individuals residing in
affected areas; and
(D) in a manner that ensures that local communities--
(i) are provided the right of free, prior, informed consent
regarding projects or other activities;
(ii) are able to share equitably in profits or other
benefits of the activities; and
(iii) receive fair compensation for any damages resulting
from the activities;
(2) the emission reductions or sequestrations are real,
permanent, additional, verifiable, and enforceable, with
reliable measuring and monitoring and appropriate accounting
for leakage; and
(3) eligible offset allowances are provided only from
countries on a list described in subsection (c).
(c) Lists.--
(1) In general.--The Administrator, in consultation with
the Secretary of State, shall identify and periodically
update a list of the names of countries that have--
(A) demonstrated capacity to participate in international
forest carbon activities, including--
(i) sufficient historical data on changes in national
forest carbon stocks;
(ii) technical capacity to monitor and measure forest
carbon fluxes with an acceptable level of uncertainty; and
(iii) institutional capacity to reduce emissions from
deforestation and degradation;
(B) capped greenhouse gas emissions or otherwise
established a credible national baseline or emission
reference scenario that is--
(i) consistent with nationally appropriate mitigation
commitments or actions, taking into consideration the average
annual deforestation and degradation rates of the country
during a period of at least 5 years; and
[[Page S5096]]
(ii) projected to result in zero-net deforestation by not
later than 2050; and
(C)(i) implemented an emission reduction program for the
forest sector; and
(ii) demonstrated those reductions using remote sensing
technology, taking into consideration relevant international
standards.
(2) Periodic review of national-level reductions in
deforestation and degradation.--The Administrator, in
consultation with the Secretary of State, shall identify and
periodically update a list of the names of countries included
in the list under paragraph (1) that have--
(A) achieved national-level reductions of deforestation and
degradation below a historical reference scenario, taking
into consideration the average annual deforestation and
degradation rates of the country, and of all countries,
during a period of at least 5 years; and
(B) demonstrated those reductions using remote sensing
technology, taking into consideration relevant international
standards.
(3) Crediting and additionality.--A verified reduction in
greenhouse gas emissions from deforestation and forest
degradation under a cap or resulting from a nationwide
emissions reference scenario described in paragraph (1)(B)
shall be--
(A) eligible for crediting; and
(B) considered to satisfy the additionality criterion.
(d) Facility Certification.--The owner or operator of a
covered entity that submits an offset allowance generated
under this section shall certify that the offset allowance
has not been retired from use in a registry of the applicable
foreign country.
(e) Use.--
(1) In general.--Subject to paragraph (3), the quantity of
offset allowances distributed pursuant to this section in a
calendar year shall not exceed 10 percent of the quantity of
emission allowances established for that year pursuant to
section 201(a).
(2) Use of international allowances.--
(A) In general.--If the quantity of offset allowances
distributed in a calendar year pursuant to this section is
less than 10 percent of the quantity of emission allowances
established for that calendar year pursuant to section
201(a), the Administrator shall allow the use, by covered
entities during that year, of international allowances under
section 322.
(B) Quantity.--The aggregate quantity of international
allowances the use of which is permitted under subparagraph
(A) for a calendar year shall be equal to the difference
between--
(i) the quantity of offset allowances distributed during
that calendar year pursuant to this section; and
(ii) a value equal to 10 percent of the quantity of
emission allowances established for that year pursuant to
section 201(a).
(3) Carryover.--Notwithstanding paragraph (1), if the sum
of the quantity of offset allowances distributed for a
calendar year pursuant to this section and the quantity of
international allowances permitted to be used during that
year under paragraph (2)(B) is less than a value equal to 10
percent of the quantity of emission allowances established
for that year pursuant to section 201(a), the quantity of
offset allowances distributed pursuant to this section for
the following calendar year shall not exceed a value equal to
the sum of--
(A) 10 percent of the quantity of emission allowances
established for that calendar year pursuant to section
201(a); and
(B) the difference between--
(i) a value equal to the sum of--
(I) the quantity of offset allowances distributed during
the preceding calendar year pursuant to this section; and
(II) the quantity of international allowances used during
that year pursuant to paragraph (2); and
(ii) 10 percent of the quantity of emission allowances
established for that year pursuant to section 201(a).
(f) Limitations.--
(1) Maximum quantity.--The Administrator shall not
distribute to the government of a foreign country a quantity
of offset allowances that exceeds the quantity of metric tons
of carbon dioxide that have been biologically sequestered or
prevented from being emitted as a result of country-wide
reductions in deforestation and forest degradation by the
foreign country.
(2) Maximum use.--The regulations promulgated pursuant to
this section shall ensure that offset allowances are not
issued for sequestration or emission reductions that have
been used or will be used by any other country for compliance
with a domestic or international obligation to limit or
reduce greenhouse gas emissions.
(g) Reviews.--Not later than 3 years after the date of
enactment of this Act, and 5 years thereafter, the
Administrator shall conduct a review of the program under
this section.
(h) Discount.--If, after the date that is 10 years after
the date of enactment of this Act, the Administrator
determines that foreign countries that, in the aggregate,
generate greenhouse gas emissions accounting for more than
0.5 percent of global greenhouse gas emissions have not
capped those emissions, established emissions reference
scenarios based on historical data, or otherwise reduced
total forest emissions of the foreign countries, the
Administrator may apply a discount to distributions of
emission allowances to those countries under this section.
SEC. 1315. LIMITATION ON DOUBLE COUNTING.
Notwithstanding any other provision of this Act, activities
that receive credit under subtitle E of title II shall not be
eligible to receive emission allowances under this subtitle.
SEC. 1316. EFFECT OF SUBTITLE.
Nothing in this subtitle supersedes, limits, or otherwise
affects any restriction imposed by Federal law (including
regulations) on any interaction between an entity located in
the United States and an entity located in a foreign country.
Subtitle C--International Partnerships to Deploy Clean Energy
Technology
SEC. 1321. INTERNATIONAL CLEAN ENERGY DEPLOYMENT.
(a) Purpose.--The purpose of this section is to promote and
leverage private financing for the development and
international deployment of technologies that will contribute
to sustainable economic growth and the stabilization of
greenhouse gas concentrations in the atmosphere at a level
that will prevent dangerous anthropogenic interference with
the climate system.
(b) Definitions.--In this section:
(1) Appropriate committees of congress.--The term
``appropriate committees of Congress'' means
(A) in the Senate--
(i) the Committee on Foreign Relations;
(ii) the Committee on Finance;
(iii) the Committee on Energy and Natural Resources;
(iv) the Committee on Environment and Public Works; and
(v) the Committee on Appropriations; and
(B) in the House of Representatives--
(i) the Committee on Foreign Affairs;
(ii) the Committee on Ways and Means;
(iii) the Committee on Energy and Commerce;
(iv) the Committee on Natural Resources; and
(v) the Committee on Appropriations.
(2) Eligible country.--The term ``eligible country'' means
a foreign country that, as determined by the President--
(A) is not a member of the Organization for Economic
Cooperation and Development; and
(B)(i) has made a binding commitment, pursuant to an
international agreement to which the United States is a
party, to carry out actions to produce measurable,
reportable, and verifiable greenhouse gas emission
mitigations; or
(ii) as certified by the President to the appropriate
committees of Congress, has in force binding national
policies and measures that are capable of producing
measurable, reportable, and verifiable greenhouse gas
emission mitigations.
(3) Fund.--The term ``Fund'' means the International Clean
Energy Deployment Fund established by subsection (c)(1).
(4) Qualified entity.--The term `` qualified entity''
means--
(A) the national government of an eligible country;
(B) a regional or local governmental unit of an eligible
country; and
(C) a nongovernmental organization or a private entity
located or operating in an eligible country.
(c) International Clean Energy Deployment Fund.--
(1) Establishment.--There is established in the Treasury of
the United States a fund, to be known as the ``International
Clean Energy Deployment Fund''.
(2) Auctions.--
(A) In general.--In accordance with subparagraph (B), to
raise funds for deposit in the Fund, for each of calendar
years 2012 through 2017, the Administrator shall auction 0.5
percent of the emission allowances established pursuant to
section 201(a) for the calendar year.
(B) Number; frequency.--For each calendar year during the
period described in subparagraph (A), the Administrator
shall--
(i) conduct not fewer than 4 auctions; and
(ii) schedule the auctions in a manner to ensure that--
(I) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(II) the interval between each auction is of equal
duration.
(C) Deposit of proceeds.--As soon as practicable after
conducting an auction under subparagraph (A), the
Administrator shall deposit the proceeds of the auction in
the Fund.
(d) Use of Funds.--All amounts in the Fund shall be made
available, without further appropriation or fiscal year
limitation, to carry out the International Clean Energy
Deployment Program established by section 114.
Subtitle D--International Partnerships to Adapt to Climate Change and
Protect National Security
SEC. 1331. INTERNATIONAL CLIMATE CHANGE ADAPTATION AND
NATIONAL SECURITY FUND.
(a) Establishment.--There is established in the Treasury of
the United States a fund, to be known as the ``International
Climate Change Adaptation and National Security Fund''
(referred to in this subtitle as the ``Fund'').
(b) Auctions.--
(1) In general.--In accordance with paragraph (2) and
subsection (c), to raise funds for deposit in the Fund, for
each of calendar years 2012 through 2050, the Administrator
shall auction a certain percentage of the emission allowances
established pursuant to section 201(a) for the calendar year.
[[Page S5097]]
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(3) Deposit of proceeds.--As soon as practicable after
conducting an auction under paragraph (1), the Administrator
shall deposit the proceeds of the auction in the Fund.
(c) Percentage for Auction.--For each of calendar years
2012 through 2050, the Administrator shall auction in
accordance with subsection (b) the percentage of emission
allowances specified in the following table:
----------------------------------------------------------------------------------------------------------------
Calendar year Percentage for auction for Fund
----------------------------------------------------------------------------------------------------------------
2012........................................... 1
2013........................................... 1
2014........................................... 1.25
2015........................................... 1.25
2016........................................... 1.25
2017........................................... 1.25
2018........................................... 2
2019........................................... 2
2020........................................... 2
2021........................................... 2
2022........................................... 3
2023........................................... 3
2024........................................... 3
2025........................................... 3
2026........................................... 4
2027........................................... 4
2028........................................... 4
2029........................................... 4
2030........................................... 4
2031........................................... 6
2032........................................... 6
2033........................................... 6
2034........................................... 6
2035........................................... 6
2036........................................... 6
2037........................................... 6
2038........................................... 6
2039........................................... 7
2040........................................... 7
2041........................................... 7
2042........................................... 7
2043........................................... 7
2044........................................... 7
2045........................................... 7
2046........................................... 7
2047........................................... 7
2048........................................... 7
2049........................................... 7
2050........................................... 7.
----------------------------------------------------------------------------------------------------------------
SEC. 1332. INTERNATIONAL CLIMATE CHANGE ADAPTATION AND
NATIONAL SECURITY PROGRAM.
(a) Establishment of Program.--Not later than 2 years after
the date of enactment of this Act, the Secretary of State, in
consultation with the Administrator of the United States
Agency for International Development (referred to in this
subtitle as the ``Administrator of the Agency'') and the
Administrator, shall establish within the Agency a program,
to be known as the `` International Climate Change Adaptation
and National Security Program'' (referred to in this subtitle
as the ``Program'').
(b) Purposes.--The purposes of the Program shall be--
(1) to protect the economic and national security of the
United States by minimizing, averting, or increasing
resilience to potentially destabilizing global climate change
impacts;
(2) to support the development of national and regional
climate change adaptation plans in the most vulnerable
developing countries, including the planning, financing, and
execution of adaptation projects;
(3) to support the identification and deployment of
technologies that would help the most vulnerable developing
countries respond to destabilizing impacts of climate change,
including appropriate low-carbon and energy-efficient
technologies that help reduce greenhouse gas and black carbon
emissions of those countries;
(4) to support investments, capacity-building activities,
and other assistance to reduce vulnerability and promote
community-level resilience relating to climate change and the
impacts of climate change on the most vulnerable developing
countries, including impacts such as--
(A) water scarcity (including drought and reductions in
access to safe drinking water);
(B) reductions in agricultural productivity;
(C) floods;
(D) sea level rise;
(E) shifts in agricultural zones or seasons;
(F) shifts in biodiversity; or
(G) other impacts that--
(i) affect economic livelihoods;
(ii) result in increases in refugees and internally
displaced individuals; or
(iii) otherwise increase social, economic, political,
cultural, or environmental vulnerability;
(5) to support climate change adaptation research in or for
the most vulnerable developing countries; and
(6) to encourage the enhancement and diversification of
agricultural, fishery, and other livelihoods, the reduction
of disaster risk, and the protection and rehabilitation of
natural systems in order to reduce vulnerability and provide
increased resilience to climate change for local communities
and livelihoods in the most vulnerable developing countries.
(c) Duties.--The director of the Program shall--
(1) submit to the President, the Committees on Environment
and Public Works and Foreign Relations of the Senate, the
Committees on Energy and Commerce and Foreign Relations of
the House of Representatives, and any other relevant
congressional committees with national security jurisdiction,
annual reports on the economy and foreign policy that
describe, with respect to the preceding calendar year--
(A) the extent to which other countries are committed to
reducing greenhouse gas emissions through mandatory programs;
(B) the extent to which global climate change, through the
potential negative impacts of climate change on sensitive
populations and natural resources in the most vulnerable
developed countries, might threaten, cause, or exacerbate
political, economic, environmental, cultural, or social
instability or international conflict in those regions;
(C) the ramifications of any potentially destabilizing
impacts climate change might have on the economic and
national security of the United States, including--
(i) the creation of refugees and internally displaced
individuals;
(ii) national or international armed conflicts over water,
food, land, or other resources;
(iii) loss of agricultural and other livelihoods, cultural
stability, and other causes of increased poverty and economic
destabilization;
(iv) decline in availability of resources needed for
survival, including water;
(v) increased impact of natural disasters, including severe
weather events, droughts, and flooding;
(vi) increased prevalence or virulence of climate-related
diseases; and
(vii) intensified urban migration;
(D) the means by which funds derived from proceeds of
auctions under section 1331 were expended to enhance the
economic and national security of the United States and
assist in avoiding the economically, politically,
environmentally, culturally, and socially destabilizing
impacts of climate change in volatile regions of the world,
particularly least-developed countries; and
(E) cooperative activities carried out by the United States
and foreign countries and international organizations to
carry out this subtitle; and
(2) identify and make recommendations regarding the
developing countries--
(A) that are most vulnerable to climate change impacts; and
(B) in which Federal assistance could have the greatest and
most sustainable benefits with respect to reducing
vulnerability to climate change, including in the form of
deploying technologies, investments, capacity-building
activities, and other types of assistance for adaptation to
climate change impacts and approaches to reduce emissions of
greenhouse gases in ways that could also provide community-
level resilience to climate change impacts.
(d) Implementation of Program.--
(1) Recommendations.--Amounts deposited in the Fund under
section 1331(b)(3) shall be made available, without further
appropriation or fiscal year limitation, to carry out--
(A) the Program; and
(B) international activities that meet the requirements
described in paragraph (8).
(2) Oversight.--The Administrator of the Agency shall have
oversight authority with respect to the expenditures of the
Program.
(3) Most vulnerable developing countries.--The director of
the Program shall use amounts in the Fund to carry out
project and programs in the most vulnerable developing
countries, as determined by the Administrator of the Agency,
including--
(A) least-developed countries;
(B) low-lying and other small island developing countries;
(C) developing countries with low-lying coastal, arid, and
semi-arid areas or areas prone to floods, drought, and
desertification; and
(D) developing countries with fragile, mountainous
ecosystems.
(4) Limitation.--Not more than 10 percent of amounts made
available to carry out this subtitle shall be spent in any
single country in any calendar year.
(5) Consultation with local communities and stakeholders.--
The Administrator of the Agency shall ensure that local
communities in areas in which a project is proposed to be
carried out under the Program are involved in the project
through--
(A) full disclosure of information;
(B) consultation with the communities and stakeholders at
international, national, and local levels; and
(C) informed participation.
(6) Development objectives.--The Administrator of the
Agency shall, to the maximum extent practicable, ensure that
projects proposed to be carried out under the Program are
carried out in accordance with broader development, poverty
alleviation, or natural resource management objectives and
initiatives in the countries served by the projects.
(7) International funds.--
(A) In general.--The Secretary of State may distribute not
more than 60 percent of amounts made available to carry out
the
[[Page S5098]]
Program to an international fund that meets the requirements
of paragraph (8).
(B) Notification.--Not later than 15 days before the date
on which the Secretary of State distributes funds to an
international fund under subparagraph (A), the Secretary of
State shall submit to the appropriate congressional
committees a notification of the distribution.
(8) Requirements.--To be eligible to receive funds under
paragraph (7), an international fund shall be established
pursuant to the Convention (or an agreement negotiated under
the Convention) that--
(A) specifies the terms and conditions under which--
(i) the United States will provide amounts to the fund; and
(ii) the international fund will distribute the amounts to
recipient countries;
(B) ensures that United States assistance to the
international fund and the principal and income of the fund
are disbursed only for purposes that are consistent with
subsection (b);
(C) requires a regular meeting of a governing body of the
international fund that provides full public access and
includes members representing the most vulnerable developing
countries;
(D) requires that not more than 10 percent of the amounts
available to the international fund shall be spent for any
single country in any calendar year; and
(E) requires the international fund to prepare and make
public an annual report that--
(i) identifies and recommends the developing countries--
(I) that are most vulnerable to climate change impacts; and
(II) in which assistance can have the greatest and most
sustainable benefit to reducing vulnerability to climate
change;
(ii) describes the process and methodology for selecting
the recipients of assistance or grants from the fund;
(iii) describes specific programs and projects funded by
the international fund and the extent to which the assistance
is addressing the adaptation needs of the most vulnerable
developing countries;
(iv) describes the performance goals for assistance under
the fund and expresses those goals in an objective and
quantifiable form, to the maximum extent practicable;
(v) describes the performance indicators to be used in
measuring or assessing the achievement of the performance
goals described in clause (iv);
(vi) provides a basis for recommendations for adjustments
to assistance under this subtitle to enhance the impact of
the assistance; and
(vii) describes the participation of other countries and
international organizations in funding and administering the
international fund.
SEC. 1333. MONITORING AND EVALUATION OF PROGRAMS.
(a) In General.--The Administrator of the Agency shall
establish and implement a system to monitor and evaluate the
effectiveness and efficiency of assistance provided under
this subtitle on a program-by-program basis in order to
maximize the long-term sustainable developmental impact of
the assistance, including the extent to which the assistance
is--
(1) meeting the purposes of this subtitle in addressing the
climate change adaptation needs of developing countries; and
(2) enhancing the national security of the United States.
(b) Requirements.--In carrying out subsection (a), the
Administrator of the Agency shall--
(1) in consultation with heads of government of recipient
foreign countries--
(A) establish performance goals for assistance under this
subtitle; and
(B) expresses those goals in an objective and quantifiable
form, to the maximum extent practicable;
(2) establish performance indicators for use in assessing
the achievement of the performance goals described in
paragraph (1);
(3) provide a basis for recommendations for adjustments to
assistance under this subtitle to enhance the impact of the
assistance; and
(4) include in the report to Congress under section
1332(c)(1) a description of the results of the monitoring and
evaluation of programs under this section.
(c) Reviews.--Not later than 3 years after the date of
enactment of this Act, and every 3 years thereafter, the
Administrator of the Agency, in cooperation with the National
Academy of Sciences and other research and development
institutions, as appropriate, shall conduct a review of--
(1) the global needs and opportunities for, and costs of,
adaptation assistance in developing countries, especially
least-developed developing countries;
(2) the progress of international adaptation among
developing countries, including an evaluation of--
(A) the impact of expenditures by the Secretary under this
subtitle; and
(B) the extent to which adaptation needs are addressed;
(3) the best practices for adapting to climate change in
terms of promoting community-level resilience and social,
economic, political, environmental, and cultural stability;
and
(4) any guidelines or regulations established by the
Administrator of the Agency to carry out this subtitle.
TITLE XIV--REDUCING THE DEFICIT
SEC. 1401. DEFICIT REDUCTION FUND.
There is established in the Treasury of the United States a
fund, to be known as the ``Deficit Reduction Fund''.
SEC. 1402. AUCTIONS.
(a) In General.--For each of calendar years 2012 through
2050, the Administrator shall auction, in accordance with
subsections (b) and (c), a certain percentage of the emission
allowances established pursuant to section 201(a) for the
calendar year to raise funds for deposit in the Deficit
Reduction Fund.
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
(c) Quantities of Emission Allowances Auctioned.--For each
of calendar years 2012 through 2050, the quantity of emission
allowances auctioned pursuant to subsection (a) shall be the
quantity represented by the percentages specified in the
following table:
------------------------------------------------------------------------
Percentage
for
auction
Calendar year for
Deficit
Reduction
Fund
------------------------------------------------------------------------
2012........................................................ 5.75
2013........................................................ 5.75
2014........................................................ 5.75
2015........................................................ 6.50
2016........................................................ 6.75
2017........................................................ 6.75
2018........................................................ 7.25
2019........................................................ 7
2020........................................................ 8
2021........................................................ 9.5
2022........................................................ 8.75
2023........................................................ 9.75
2024........................................................ 10.75
2025........................................................ 10.75
2026........................................................ 12.75
2027........................................................ 12.75
2028........................................................ 12.75
2029........................................................ 13.75
2030........................................................ 13.75
2031........................................................ 19.75
2032........................................................ 17.75
2033........................................................ 17.75
2034........................................................ 16.75
2035........................................................ 16.75
2036........................................................ 16.75
2037........................................................ 16.75
2038........................................................ 16.75
2039........................................................ 16.75
2040........................................................ 16.75
2041........................................................ 16.75
2042........................................................ 16.75
2043........................................................ 16.75
2044........................................................ 16.75
2045........................................................ 16.75
2046........................................................ 16.75
2047........................................................ 16.75
2048........................................................ 16.75
2049........................................................ 16.75
2050........................................................ 16.75.
------------------------------------------------------------------------
SEC. 1403. DEPOSITS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to section 1402, immediately on receipt of
those proceeds, in the Deficit Reduction Fund.
SEC. 1404. DISBURSEMENTS FROM FUND.
No disbursement shall be made from the Deficit Reduction
Fund, except pursuant to an appropriation Act.
TITLE XV--CAPPING HYDROFLUOROCARBON EMISSIONS
SEC. 1501. REGULATIONS.
(a) In General .--Not later than 2 years after the date of
enactment of this Act, the Administrator shall promulgate
regulations establishing a program requiring reductions in
hydrofluorocarbons consumed in the United States by entities
that--
(1) manufacture HFCs in the United States; or
(2) import HFCs into the United States.
(b) Definition of HFC Consumed.--The regulations
promulgated pursuant to subsection (a) shall provide that the
term ``HFC consumed''--
(1) means--
(A) in the case of an HFC producer, a value equal to the
difference between--
(i) the sum of--
(I) the quantity of HFC produced in the United States; and
(II) the quantity of HFC imported from any source into the
United States, including quantities contained in products or
equipment, or acquired in the United States from another HFC
producer through sale or other transaction; and
(ii) the quantity of HFC exported or transferred to another
HFC producer in the United States through sale or other
transaction; and
(B) in the case of an HFC importer for resale, a value
equal to the difference between--
(i) the quantity of HFC imported for resale from any source
into the United States; and
(ii) the quantity of HFC exported; and
[[Page S5099]]
(2) shall not include the consumption of any quantity of
HFC that is recycled.
(c) Requirements.--The program established under subsection
(a) shall--
(1) be based on, and parallel the major regulatory
structure of, the program established under this Act for
requiring reductions of emissions in the United States of
non-HFC greenhouse gases;
(2) provide that the compliance obligation under this
section shall require the submission of HFC allowances for
any HFC consumed or imported in products or equipment;
(3) provide that the compliance obligation under the
program shall not be satisfied, in whole or in part, by the
submission of any emission allowances or offset allowances
established pursuant to titles II, III, or XIII;
(4) establish annual HFC limitations in accordance with
subsection (d);
(5) take into consideration, in establishing the
limitations, whether the automobile manufacturing industry
will begin selling, before 2012, automobiles the air
conditioning systems of which use a refrigerant with a lower
global warming potential than HFCs currently in use;
(6) require the auction of--
(A) not more than 10 percent of the quantity of HFC
allowances established for calendar year 2012;
(B) for each of calendar years 2013 through 2030, a
percentage of the quantity of HFC allowances established for
the applicable calendar year that is greater than the
percentage auctioned under this section for the preceding
calendar year; and
(C) 100 percent of the quantity of HFC allowances
established for calendar years 2031 through 2050;
(7) for each of calendar years 2012 through 2030, require
the allocation, at no charge, to entities that manufacture
HFCs in the United States and import HFCs into the United
States of--
(A) subject to subparagraph (B), not less than 80 percent
of the HFC allowances established for the applicable calendar
year and not auctioned in accordance with paragraph (6), with
the allocation being based on 100 percent of the HFCs and 60
percent of the hydrochlorofluorocarbons consumed by an HFC
producer or importer for resale during--
(i) a base period covering calendar years 2004 through
2006; or
(ii) as the Secretary determines to be appropriate, an
extended base period covering calendar years 2004 through
2008 with respect to an HFC producer or importer for resale
that commenced operation of a new manufacturing facility in
the United States after 2006; and
(B) not less than 10 percent of the emission allowances
established for the applicable calendar year and not
auctioned to a class of entities, to be defined by the
Administrator, that manufacture in the United States
commercial products containing HFCs, including, at a minimum,
entities that manufactured in the United States during
calendar year 2005 commercial or residential air
conditioning, heat pump, commercial, or residential
refrigeration products or plastic foam products (including
formulated systems) containing HFC or
hydrochlorofluorocarbon, if the HFC or
hydrochlorofluorocarbon was included in the products at the
time of sale;
(8) establish a system under which--
(A) a manufacturer or importer of HFCs may reduce a
compliance obligation under this section for a calendar year
by demonstrating to the Administrator the quantity of HFCs
the manufacturer or importer destroyed during that calendar
year; and
(B) the Administrator establishes and distributes HFC
allowances, on a discounted basis, to entities for
destruction of chlorofluorocarbons or
hydrochlorofluorocarbons; and
(9) require the use of all proceeds from the auction of HFC
allowances under this section to support--
(A) research into commercial alternatives with lower global
warming potential than HFCs currently in use;
(B) the recovery, reclamation, and destruction of HFCs;
(C) manufacturers in the United States the products of
which contain HFCs to transition to manufacturing products
that contain refrigerants or blowing agents with lower global
warming potential than HFCs currently in use; and
(D) the promotion of energy-efficient manufactured products
that contain refrigerants or blowing agents with low global
warming potential.
(d) Annual Limitations.--The Administrator shall establish
HFC allowances for each calendar year in a manner that
establishes limitations on annual consumption of HFCs
pursuant to the program under this section of--
(1) for calendar year 2012, not more than 289,000,000
carbon dioxide equivalents of HFCs;
(2) for each of calendar years 2013 through 2019, a
quantity of carbon dioxide equivalents of HFCs that is less
than the quantity of carbon dioxide equivalents of HFCs
established for the preceding calendar year;
(3) for calendar year 2020, a quantity of carbon dioxide
equivalents of HFCs equal to not more than the product
obtained by multiplying--
(A) 289,000,000; and
(B) 0.85;
(4) for each of calendar years 2021 through 2029, a
quantity of carbon dioxide equivalents of HFCs that is less
than the quantity of carbon dioxide equivalents of HFCs
established for the preceding calendar year;
(5) for calendar year 2030, a quantity of carbon dioxide
equivalents of HFCs equal to not more than the product
obtained by multiplying--
(A) 289,000,000; and
(B) 0.55;
(6) for each of calendar years 2031 through 2036, a
quantity of carbon dioxide equivalents of HFCs that is less
than the quantity of carbon dioxide equivalents of HFCs
established for the preceding calendar year;
(7) for each of calendar years 2037 through 2039, a
quantity of carbon dioxide equivalents of HFCs that does not
exceed the quantity of carbon dioxide equivalents of HFCs
established for the preceding calendar year; and
(8) for each of calendar years 2040 through 2050, a
quantity of carbon dioxide equivalents of HFCs that does not
exceed the product obtained by multiplying--
(A) 289,000,000; and
(B) 0.30.
SEC. 1502. NATIONAL RECYCLING AND EMISSION REDUCTION PROGRAM.
Section 608 of the Clean Air Act (42 U.S.C. 7671g) is
amended--
(1) by redesignating subsections (a) through (c) as
subsections (b) through (d), respectively;
(2) by inserting before subsection (b) (as so redesignated)
the following:
``(a) Definition of Hydrofluorocarbon Substitute.--In this
section, the term `hydrofluorocarbon substitute' means a
hydrofluorocarbon--
``(1) with a global warming potential of more than 150; and
``(2) that is used in or for types of equipment,
appliances, or processes that previously relied on a class I
or class II substance.'';
(3) in subsection (b) (as redesignated by paragraph (1))--
(A) in the matter following paragraph (3), by striking
``Such regulations'' and inserting the following:
``(5) The regulations'';
(B) by redesignating paragraph (3) as paragraph (4); and
(C) by inserting after paragraph (2) the following:
``(3)(A) Not later than 1 year after date of enactment of
the Lieberman-Warner Climate Security Act of 2008, the
Administrator shall promulgate regulations establishing
standards and requirements regarding the sale or
distribution, or offer for sale and distribution in
interstate commerce, use, and disposal of hydrofluorocarbon
substitutes for class I substances and class II substances
not covered by paragraph (1), including the use, recycling,
and disposal of those hydrofluorocarbon substitutes during
the maintenance, service, repair, or disposal of appliances
and industrial process refrigeration equipment.
``(B) The standards and requirements established under
subparagraph (A) shall take effect not later than 1 year
after the date of promulgation of the regulations.'';
(4) in subsection (c) (as redesignated by paragraph (1))--
(A) by redesignating paragraphs (1) through (3) as
subparagraphs (A) through (C), respectively, and indenting
the subparagraphs appropriately;
(B) by striking the subsection designation and heading and
all that follows through ``following--'' and inserting the
following:
``(c) Safe Disposal.--The regulations under subsection (b)
shall--
``(1) establish standards and requirements for the safe
disposal of class I substances and class II substances and
hydrofluorocarbon substitutes for those substances; and
``(2) include each of the following:''; and
(C) in subparagraph (A) (as redesignated by subparagraph
(A)), by inserting ``(or hydrofluorocarbon substitutes for
those substances)'' after ``class I or class II substances''.
SEC. 1503. FIRE SUPPRESSION AGENTS.
Section 605(a) of the Clean Air Act (42 U.S.C. 7671d(a)) is
amended--
(1) by redesignating paragraphs (1) through (3) as
subparagraphs (A) through (C), respectively, and indenting
the subparagraphs appropriately;
(2) in the matter preceding subparagraph (A) (as so
redesignated), by striking ``Effective'' and inserting the
following:
``(1) In general.--Effective'';
(3) in paragraph (1) (as redesignated by paragraphs (1) and
(2))--
(A) in subparagraph (B) (as so redesignated), by striking
``or'' at the end;
(B) in subparagraph (C) (as so redesignated), by striking
the period at the end and inserting ``; or''; and
(C) by inserting after subparagraph (C) the following:
``(D) the Administrator determines that the substance--
``(i) is used as a fire suppression agent for military,
commercial aviation, industrial, space, or national security
applications; and
``(ii) reduces overall risk to human health and the
environment, as compared to alternative substances.''; and
(4) in the second sentence, by striking ``As used in'' and
inserting the following:
``(2) Definition of refrigerant.--In''.
TITLE XVI--PERIODIC REPORTS AND RECOMMENDATIONS
SEC. 1601. NATIONAL ACADEMY OF SCIENCES REPORTS.
(a) In General.--Not later than 1 year after the date of
enactment of this Act, the
[[Page S5100]]
Administrator shall offer to enter into an arrangement with
the National Academy of Sciences, under which the Academy
shall, by not later than January 1, 2012, and every 3 years
thereafter, make public and submit to the Administrator a
report in accordance with this section.
(b) Latest Scientific Information.--Each report submitted
pursuant to subsection (a) shall--
(1) address recent scientific reports on climate change,
including the most recent assessment by the Intergovernmental
Panel on Climate Change; and
(2) include a description of--
(A) trends in, and projections for, total United States
greenhouse gas emissions, including the Inventory of United
States Greenhouse Gas Emissions and Sinks;
(B) trends in, and projections for, total worldwide
greenhouse gas emissions;
(C) current and projected future atmospheric concentrations
of greenhouse gases;
(D) current and projected future global average
temperature, including an analysis of whether an increase of
global average temperature in excess of 3.6 degrees
Fahrenheit (2 degrees Celsius) above the preindustrial
average has occurred or is more likely than not to occur in
the foreseeable future;
(E) current and projected future adverse impacts of global
climate change on human populations, wildlife, and natural
resources; and
(F) trends in, and projections for, the health of the
oceans and ocean ecosystems, including predicted changes in
ocean acidity, temperatures, extent of coral reefs, and other
indicators of ocean ecosystem health, resulting from
anthropogenic carbon dioxide emissions and climate change.
(c) Performance of This Act.--In addition to information
required to be included under subsection (b), each report
submitted pursuant to subsection (a) shall include an
assessment of--
(1) the extent to which this Act, in concert with other
policies, will prevent a dangerous increase in global average
temperature;
(2) the extent to which this Act, in concert with other
policies, will prevent dangerous atmospheric concentrations
of greenhouse gases;
(3) the current and future projected deployment of
technologies and practices that reduce or limit greenhouse
gas emissions, including--
(A) technologies for capturing, transporting, and
sequestering carbon dioxide;
(B) efficiency improvement technologies;
(C) zero- and low-greenhouse gas-emitting energy
technologies, including solar, wind, geothermal, and nuclear
technologies; and
(D) above- and below-ground biological sequestration
technologies;
(4) the extent to which this Act and other policies are
accelerating the development and commercial deployment of
technologies and practices that reduce and limit greenhouse
gas emissions;
(5) the extent to which the allocations and distributions
of emission allowances and auction proceeds under this Act
are advancing the purposes of this Act;
(6) the feasibility of retiring quantities of the emission
allowances established pursuant to section 201(a);
(7) the feasibility of establishing policies for reducing
greenhouse gas emissions in addition to the policies
established by this Act;
(8) whether the use and trading of emission allowances is
resulting in increases in pollutants that are listed as
criteria pollutants under section 108(a)(1) of the Clean Air
Act (42 U.S.C. 7408(a)(1)), defined as toxic air pollutants
in section 211(k)(10)(C) of that Act (42 U.S.C.
7545(k)(10)(C)), or listed as hazardous air pollutants in
section 112(a) of that Act (42 U.S.C. 7412(a)) (referred to
collectively in this title as ``covered pollutants'');
(9) whether the transformation of the market and
technologies deployed in response to carbon controls and
reductions are resulting in increases in covered pollutants;
(10) whether the use and trading of emission allowances and
the transformation of the market and technologies deployed in
response to carbon controls and reductions are resulting in
an increase in covered pollutants in environmental justice
communities, specifically; and
(11) with respect to the offset programs established under
this Act--
(A) the uncertainty and additionality of domestic offsets,
international offsets, and international markets;
(B) the impacts of changing the restrictions on the market
and the economic costs of the offset programs;
(C) the interaction with the cost management efforts of the
Board;
(D) the impacts on deforestation in foreign countries; and
(E) the progress covered entities are making in reducing
emissions from covered activities of the covered entities.
SEC. 1602. ENVIRONMENTAL PROTECTION AGENCY RECOMMENDATIONS.
(a) In General.--Not later than January 1, 2013, and every
3 years thereafter, the Administrator shall submit to
Congress legislative recommendations based in part on the
most recent report submitted by the National Academy of
Sciences pursuant to section 1601.
(b) Categories of Legislation.--The legislative measures
eligible for inclusion in the recommendations required by
subsection (a) shall include measures that would--
(1) expand the definition of the term ``covered entity''
under this Act;
(2) expand the scope of the compliance obligation
established by section 202;
(3) adjust quantities of emission allowances available in 1
or more calendar years;
(4) establish other policies for reducing greenhouse gas
emissions in addition to the policies established by this
Act;
(5) establish policies for reducing nationwide emissions
into the atmosphere of sulfur dioxide, nitrogen oxides, and
mercury in excess of the reductions resulting from the
implementation of this Act; and
(6) prevent or abate any direct, indirect, or cumulative
increases in covered pollutants resulting from the use and
trading of emission allowances or from transformations in
technologies or markets.
(c) Consistency With Reports.--The Administrator shall
include with each submission of recommendations made pursuant
to subsection (a) an explanation for each significant
inconsistency between the recommendations and the reports
submitted by the National Academies of Sciences pursuant to
section 1601.
(d) Ongoing Evaluation of Impacts.--Not later than 90 days
after the date of enactment of this Act, the Administrator
shall establish an advisory committee that includes
representatives of impacted communities to advise the
Administrator on the implementation of Executive Order No.
12898 (59 Fed. Reg. 7629) in implementing this Act.
(e) Effect on Other Authority.--Nothing in this title
limits the authority of the Administrator, a State, or any
person to use any authority under this Act or any other law
to promulgate, adopt, or enforce any regulation.
SEC. 1603. PRESIDENTIAL RECOMMENDATIONS.
(a) Establishment of Task Force.--Not later than January 1,
2018, the President shall establish a task force, to be known
as the ``Interagency Climate Change Task Force''.
(b) Composition.--The members of the Interagency Climate
Change Task Force shall be--
(1) the Administrator;
(2) the Secretary of Energy;
(3) the Secretary of the Treasury;
(4) the Secretary of Commerce; and
(5) such other Cabinet Secretaries as the President may
name to the membership of the Interagency Climate Change Task
Force.
(c) Chairman.--The Administrator shall act as Chairperson
of the Interagency Climate Change Task Force.
(d) Report to President.--
(1) In general.--Not later than April 1, 2019, the
Interagency Climate Change Task Force shall make public and
submit to the President a consensus report making
recommendations, including for specific legislation for the
President to recommend to Congress.
(2) Basis.--The report submitted pursuant to paragraph (1)
shall be based on the third set of recommendations submitted
by the Administrator to Congress under section 1602.
(3) Inclusions.--The Interagency Climate Change Task Force
shall include with the consensus report an explanation for
each significant inconsistency between the consensus report
and the third set of recommendations submitted by the
Administrator to Congress pursuant to section 1602.
(e) Presidential Recommendation to Congress.--Not later
than July 1, 2020, the President shall submit to Congress the
text of a proposed Act based upon the consensus report
submitted to the President pursuant to subsection (d).
TITLE XVII--MISCELLANEOUS
Subtitle A--Climate Security Act Administrative Fund
SEC. 1701. ESTABLISHMENT.
There is established in the Treasury of the United States a
fund, to be known as the ``Climate Security Act
Administrative Fund'' (referred to in this subtitle as the
``Fund'').
SEC. 1702. AUCTIONS.
(a) First Period.--Not later than 120 days after the date
of enactment of this Act, and annually thereafter through
2027, the Administrator shall auction, to raise funds for
deposit in the Fund, 0.75 percent of the quantity of emission
allowances established pursuant to section 201(a) for the
calendar year that is 3 years after the calendar year during
which the auction is conducted.
(b) Second Period.--
(1) In general.--For each of calendar years 2031 through
2050, the Administrator shall auction, in accordance with
paragraph (2), 1 percent of the quantity of emission
allowances established pursuant to section 201(a) for the
calendar year, to raise funds for deposit in the Fund.
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
the calendar year; and
(ii) the interval between each auction is of equal
duration.
SEC. 1703. DEPOSITS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to section 1702, immediately on receipt of
those proceeds, in the Fund.
SEC. 1704. DISBURSEMENTS FROM FUND.
No disbursements shall be made from the Fund, except
pursuant to an appropriation Act.
[[Page S5101]]
SEC. 1705. USE OF FUNDS.
(a) In General.--For each of calendar years 2012 through
2050, the amounts deposited into the Fund during the
preceding calendar year under section 1703 shall be made
available to pay the administrative costs of carrying out
this Act.
(b) Treatment of Amounts in Fund.--Amounts in the Fund--
(1) may be used as an offsetting collection available to
the Administrator, the Secretary of Agriculture, the
Secretary of Labor, the Secretary of the Interior, the
Secretary of Energy, the heads of other Federal departments
or agencies required to carry out activities under this Act,
the Board, or the Climate Change Technology Board to offset
expenses incurred, or amounts made available through an
appropriation Act for use, in carrying out this Act; and
(2) shall remain available until expended.
Subtitle B--Presidential Emergency Declarations and Proclamations
SEC. 1711. EMERGENCY DECLARATION.
(a) In General.--If the President determines that a
national security, energy security, or economic security
emergency exists, and that it is in the paramount interest of
the United States to modify any requirement under this Act to
minimize the effects of the emergency, the President may make
an emergency declaration.
(b) Consultation.--In making an emergency declaration under
subsection (a), the President shall, to the maximum extent
practicable, consult with and take into consideration any
advice received from--
(1) the National Security Advisor;
(2) the Secretary of the Treasury;
(3) the Secretary of Energy;
(4) the Administrator;
(5) relevant committees of Congress; and
(6) the Board.
SEC. 1712. PRESIDENTIAL PROCLAMATION.
After making an emergency declaration under section 1711,
the President shall declare by proclamation each action
required to minimize the emergency.
SEC. 1713. CONGRESSIONAL RESCISSION OR MODIFICATION.
(a) Treatment of Proclamation.--A proclamation issued
pursuant to section 1712 shall be considered to be a final
action by the President.
(b) Action by Congress.--Congress shall rescind or modify a
proclamation issued pursuant to section 1712, if necessary,
not later than 30 days after the date of issuance of the
proclamation.
SEC. 1714. REPORT TO FEDERAL AGENCIES.
Not later than 30 days after the date on which a
proclamation issued pursuant to section 1712 takes effect,
and every 30 days thereafter during the effective period of
the proclamation, the President shall submit to the head of
each appropriate Federal agency a report describing the
actions required to be carried out by the proclamation.
SEC. 1715. TERMINATION.
(a) In General.--Subject to subsection (b), a proclamation
issued pursuant to section 1712 shall terminate on the date
that is 180 days after the date on which the proclamation
takes effect.
(b) Extension.--The President may request an extension of a
proclamation terminated under subsection (a), in accordance
with the requirements of this subtitle.
(c) Congressional Approval.--Congress shall approve or
disapprove a request of the President under subsection (b)
not later than 30 days after the date of receipt of the
request.
SEC. 1716. PUBLIC COMMENT.
(a) In General.--During the 30-day period beginning on the
date on which a proclamation is issued pursuant to section
1712, the President shall accept public comments relating to
the proclamation.
(b) Response.--Not later than 60 days after the date on
which a proclamation is issued, the President shall respond
to public comments received under subsection (a), including
by providing an explanation of--
(1) the reasons for the relevant emergency declaration; and
(2) the actions required by the proclamation.
(c) No Impact on Effective Date.--Notwithstanding
subsections (a) and (b), a proclamation under section 1712
shall take effect on the date on which the proclamation is
issued.
SEC. 1717. PROHIBITION ON DELEGATION.
The President shall not delegate to any individual or
entity the authority--
(1) to make a declaration under section 1711; or
(2) to issue a proclamation under section 1712.
Subtitle C--Administrative Procedure and Judicial Review
SEC. 1721. REGULATORY PROCEDURES.
(a) In General.--Except as provided in subsection (b), any
rule, requirement, regulation, method, standard, program,
determination, or final agency action made or promulgated
pursuant to this Act shall be subject to the regulatory
procedures described in subchapter II of chapter 5 of title
5, United States Code.
(b) Exception.--Subsection (a) does not apply to the
establishment or any allocation of emission allowances under
this Act by the Administrator.
SEC. 1722. ENFORCEMENT.
(a) Violations.--
(1) In general.--It shall be unlawful for any owner or
operator of a covered entity to violate any prohibition,
requirement, or other provision of this Act (including a
regulation promulgated pursuant to this Act).
(2) Operation of covered entities.--The operation of any
covered entity in a manner that results in emissions of
greenhouse gas in excess of the number of emission allowances
submitted for compliance with section 202 by the covered
entity shall be considered to be a violation of this Act.
(3) Treatment.--Each carbon dioxide equivalent of
greenhouse gas emitted by a covered entity in excess of the
number of emission allowances held by the covered entity
shall be considered to be a separate violation of this Act.
(b) Enforcement.--
(1) In general.--Each provision of this Act, and any
regulation promulgated pursuant to this Act, shall be fully
enforceable in accordance with sections 113, 303, and 304 of
the Clean Air Act (42 U.S.C. 7413, 7603, 7604).
(2) Treatment.--For purposes of enforcement under this
subsection, all requirements under this Act shall be
considered to be requirements of the Clean Air Act (42 U.S.C.
7401 et seq.), and, for purposes of enforcement under section
304 of that Act (42 U.S.C. 7604), all requirements of this
Act shall be considered to be emission standards or
limitations under that Act (42 U.S.C. 7401 et seq.).
(3) Mandatory duties.--Any provision of this Act relating
to a mandatory duty of the Administrator or any other Federal
official shall be fully enforceable in accordance with
section 304 of the Clean Air Act (42 U.S.C. 7604).
(4) Jurisdiction of united states district courts.--Each
United States district court shall have jurisdiction to
compel agency action (including discretionary agency action)
required under this Act that, as determined by the United
States district court, has been unreasonably delayed.
(c) Judicial Review.--
(1) In general.--Any individual or entity may submit a
petition for judicial review of any regulation promulgated,
or final action carried out, by the Administrator or any
other Federal official pursuant to this Act.
(2) Court jurisdiction.--
(A) In general.--Subject to subparagraph (B), a petition
under paragraph (1) may be filed in the United States court
of appeals for the appropriate circuit.
(B) Petitions against administrator.--A petition under
paragraph (1) relating to a regulation promulgated, or final
action carried out, by the Administrator shall be filed only
in the United States Court of Appeals for the District of
Columbia Circuit, in accordance with section 307(b) of the
Clean Air Act (42 U.S.C. 7607(b)).
(3) Remedy.--
(A) Correction of deficiencies.--Subject to subparagraph
(B), on a determination by the reviewing court that a final
agency action under this Act is arbitrary, capricious, or
unlawful, the court shall require the agency to correct each
deficiency identified by the court--
(i) as expeditiously as practicable; and
(ii) in no case later than the earlier of--
(I) the date that is 1 year after the date on which the
court makes the determination; and
(II) the applicable deadline under this Act for the
relevant original agency action.
(B) Requirement.--In selecting a remedy for an arbitrary,
capricious, or unlawful action by the agency in carrying out
this Act, the reviewing court shall avoid vacating the action
if vacating the action could jeopardize the full and timely
achievement of the emission reductions required by this Act.
(d) Litigation Costs.--A court of competent jurisdiction
may award costs of litigation (including reasonable attorney
and expert witness fees) for a civil action filed pursuant to
this section in accordance with section 307(f) of the Clean
Air Act (42 U.S.C. 7607(f)).
SEC. 1723. POWERS OF ADMINISTRATOR.
The Administrator shall have the same powers and
authorities provided under sections 114 and 307(a) of the
Clean Air Act (42 U.S.C. 7414, 7607(a)) in carrying out,
administering, and enforcing this Act.
Subtitle D--State Authority
SEC. 1731. RETENTION OF STATE AUTHORITY.
(a) In General.--Except as provided in subsection (b),
nothing in this Act precludes, diminishes, or abrogates the
right of any State to adopt or enforce--
(1) any standard, limitation, or prohibition, or cap
relating to emissions of greenhouse gas; or
(2) any requirement relating to control, abatement,
mitigation, or avoidance of emissions of greenhouse gas.
(b) Exception.--Notwithstanding subsection (a), no State
may adopt a standard, limitation, prohibition, cap, or
requirement that is less stringent than the applicable
standard, limitation, prohibition, or requirements under this
Act.
Subtitle E--Tribal Authority
SEC. 1741. TRIBAL AUTHORITY.
For the purposes of this Act, the Administrator may treat
any Indian tribe as a State in accordance with section 301(d)
of the Clean Air Act (42 U.S.C. 7601(d)).
Subtitle F--Clean Air Act
SEC. 1751. INTEGRATION.
(a) Report.--Not later than 2 years after the date of
enactment of this Act, the President shall submit to Congress
a report describing any direct regulation of carbon dioxide
emissions that has occurred or may occur under the Clean Air
Act (42 U.S.C. 7401 et seq.).
[[Page S5102]]
(b) Recommendations.--The report shall include
recommendations of the President to ensure efficiency and
certainty in the regulation of carbon dioxide emissions by
the Federal Government.
Subtitle G--State-Federal Interaction and Research
SEC. 1761. STUDY AND RESEARCH.
(a) In General.--The Administrator shall enter into an
arrangement with the National Academy of Sciences or an
institution of higher education or collaborative of such
institutions under which the National Academy of Sciences or
institutions shall conduct a study of--
(1) the reasonably foreseeable economic and environmental
benefits and costs to a State and the United States as a
result of the operation by the State of a cap-and-trade
program for greenhouse gases, in addition to the Federal
programs under this Act;
(2) the reasonably foreseeable economic and environmental
benefits and costs to a State and the United States as a
result of the operation by the State, in addition to the
Federal programs under this Act, of a program that achieves
greenhouse gas reductions through mechanisms other than a
cap-and-trade program, including--
(A) efficiency standards for vehicles, buildings, and
appliances;
(B) renewable electricity standards;
(C) land use planning and transportation policy; and
(D) fuel carbon intensity standards; and
(3) the reasonably foreseeable effect on emission allowance
prices and price volatility, costs to businesses and
consumers (including low-income consumers), economic growth,
and total cumulative emissions associated with each State
program described in paragraphs (1) and (2), as compared to a
national greenhouse gas control policy limited to the Federal
programs under this Act.
(b) Great Lakes Center for Green Technology
Manufacturing.--
(1) Designation.--The Administrator, in cooperation with
the Secretary of Commerce and the Secretary of Energy, shall
designate the University of Toledo as the ``Great Lakes
Center for Green Technology Manufacturing'', to recognize the
importance of research, development, and deployment of
manufacturing technology needed to reduce worldwide
greenhouse gas emissions.
(2) Purposes.--The purposes of the Great Lakes Center for
Green Technology Manufacturing shall be--
(A) to carry out activities to increase domestic production
of renewable energy technology and components;
(B) to develop, or assist in the development and
commercialization of, advanced manufacturing processes,
materials, and infrastructure for a low-carbon economy; and
(C) to assist the transition of historically manufacturing-
based economies to the production of renewable energy
technologies.
(3) Funding.--There are authorized to be appropriated such
sums as are necessary to carry out this subsection.
(c) Proceeds From Auctions.--None of the proceeds from any
auction conducted under this Act may be obligated after
fiscal year 2047 except as provided in an appropriations Act.
______
SA 4826. Mr. REID (for Mr. Biden) proposed an amendment to amendment
SA 4825 proposed by Mrs. Boxer (for herself, Mr. Warner, and Mr.
Lieberman) to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; as follows:
At the end of title XIII, insert the following:
SEC. 1334. SENSE OF SENATE REGARDING INTERNATIONAL
NEGOTIATIONS TO ADDRESS GLOBAL CLIMATE CHANGE.
(a) Findings.--The Senate makes the following findings:
(1) There is a scientific consensus, as established by the
Intergovernmental Panel on Climate Change and confirmed by
the National Academy of Sciences, that the continued buildup
of anthropogenic greenhouse gases in the atmosphere threatens
the stability of the global climate.
(2) The 2007 Fourth Assessment Report of the
Intergovernmental Panel on Climate Change concluded that most
of the global warming observed since the mid-20th century is
very likely due to anthropogenic greenhouse gas emissions and
that anthropogenic warming is strongly linked to many
observed physical and biological impacts.
(3) There are significant long-term risks to the economy
and the environment of the United States from the temperature
increases and climatic disruptions that are projected to
result from increased greenhouse gas concentrations.
(4) The potential impacts of global climate change,
including long-term drought, famine, mass migration, and
abrupt climatic shifts, may lead to international tensions
and instability in regions affected and, therefore, have
implications for the national security interests of the
United States.
(5) The United States has the largest economy in the world
and is also the largest historical emitter of greenhouse
gases.
(6) The greenhouse gas emissions of the United States are
projected to continue to rise.
(7) The greenhouse gas emissions of some developing
countries are rising more rapidly than the emissions of the
United States and will soon surpass the greenhouse gas
emissions of the United States and other developed countries.
(8) Reducing greenhouse gas emissions to the levels
necessary to avoid serious climatic disruption requires the
introduction of new energy technologies and other climate-
friendly technologies, the use of which results in low or no
emissions of greenhouse gases or in the capture and storage
of greenhouse gases.
(9) The 2006 Stern Review on the Economics of Climate
Change commissioned by the United Kingdom and the 2008 World
Economic Outlook from the International Monetary Fund each
concluded that the economic costs of addressing climate
change are limited.
(10) The development and sale of climate-friendly
technologies in the United States and internationally present
economic opportunities for workers and businesses in the
United States.
(11) Climate-friendly technologies can improve air quality
by reducing harmful pollutants from stationary and mobile
sources and can enhance energy security by reducing reliance
on imported oil, diversifying energy sources, and reducing
the vulnerability of energy delivery infrastructure.
(12) Other industrialized countries are undertaking
measures to reduce greenhouse gas emissions, which provides
the industries in those countries with a competitive
advantage in the growing global market for climate-friendly
technologies.
(13) Efforts to limit emissions growth in developing
countries in a manner that is consistent with the development
needs of those countries could establish significant markets
for climate-friendly technologies and contribute to
international efforts to address climate change.
(14) The national security of the United States will
increasingly depend on the deployment of diplomatic,
military, scientific, and economic resources for solving the
problem of the overreliance of the United States and the
world on high-carbon energy.
(15) The United States is a party to the United Nations
Framework Convention on Climate Change, done at New York May
9, 1992, and entered into force March 21, 1994 (in this
preamble referred to as the ``Convention'').
(16) The Convention sets a long-term objective of
stabilizing greenhouse gas concentrations in the atmosphere
at a level that would prevent dangerous anthropogenic
interference with the climate system.
(17) The Convention establishes that parties bear ``common
but differentiated responsibilities'' for efforts to achieve
the objective of stabilizing greenhouse gas concentrations.
(18) At the December 2007 United Nations Climate Change
Conference in Bali, the United States and other parties to
the Convention adopted the Bali Action Plan with the aim of
reaching a new global agreement in 2009.
(19) The Bali Action Plan calls for a shared vision on
long-term cooperative action, increased mitigation efforts
from developed and developing countries that are measurable,
reportable, and verifiable, and support for developing
countries in addressing technology transfers, adaptation,
financing, deforestation, and capacity-building.
(20) The Major Economies Process on Energy Security and
Climate Change, initiated by President George W. Bush, seeks
a consensus among the countries with the world's major
economies on how those countries can contribute to a new
agreement under the Convention.
(21) In April 2008, President Bush called for a ``binding
international agreement'' with participation by all countries
with major economies in ``goals and policies that reflect
their unique energy resources and economic circumstances''.
(22) An effective global effort to address climate change
must provide for commitments and actions by all countries
that are major emitters of greenhouse gases, developed and
developing alike, and the widely varying circumstances among
developed and developing countries may require that such
commitments and actions vary.
(23) The latest scientific evidence suggests that
anthropogenic climate change is increasing and the United
States has supported the goal of achieving a new
international agreement during 2009, both lending urgency to
the need for renewed United States leadership in the effort
to counter global climate change.
(b) Sense of the Senate.--It is the sense of the Senate
that--
(1) the United States should act to reduce the health,
environmental, economic, and national security risks posed by
global climate change and to foster sustained economic growth
through a new generation of technologies by participating in
negotiations under the United Nations Framework Convention on
Climate Change, done at New York May 9, 1992, and entered
into force March 21, 1994, and leading efforts in other
international fora, with the objective of securing United
States participation in binding agreements, consistent with
the Bali Action Plan, that--
(A) advance and protect the economic and national security
interests of the United States;
(B) establish mitigation commitments by all countries that
are major emitters of greenhouse gases, consistent with the
principle of common but differentiated responsibilities;
[[Page S5103]]
(C) establish flexible international mechanisms to minimize
the cost of efforts by participating countries; and
(D) achieve a significant long-term reduction in global
greenhouse gas emissions; and
(2) the President should support the establishment of a
bipartisan Senate observer group, the members of which should
be designated by the chairman and ranking member of the
Committee on Foreign Relations of the Senate, to--
(A) monitor any international negotiations on climate
change; and
(B) ensure that the responsibility of the Senate under
article II, section 2 of the Constitution of the United
States to provide advice and consent to the President with
respect to treaties be carried out in a manner to facilitate
timely consideration of any applicable treaty submitted to
the Senate.
______
SA 4827. Mr. REID (for Mr. Biden) proposed an amendment to amendment
SA 4826 proposed by Mr. Reid (for Mr. Biden) to the amendment SA 4825
proposed by Mrs. Boxer (for herself, Mr. Warner, and Mr. Lieberman) to
the bill S. 3036, to direct the Administrator of the Environment
Protection Agency to establish a program to decrease emissions of
greenhouse gases, and for other purposes; as follows:
In the amendment, strike all after the word ``SEC'' on line
2 and insert the following:
1334. SENSE OF SENATE REGARDING INTERNATIONAL NEGOTIATIONS TO
ADDRESS GLOBAL CLIMATE CHANGE.
(a) Findings.--The Senate makes the following findings:
(1) There is a scientific consensus, as established by the
Intergovernmental Panel on Climate Change and confirmed by
the National Academy of Sciences, that the continued buildup
of anthropogenic greenhouse gases in the atmosphere threatens
the stability of the global climate.
(2) The 2007 Fourth Assessment Report of the
Intergovernmental Panel on Climate Change concluded that most
of the global warming observed since the mid-20th century is
very likely due to anthropogenic greenhouse gas emissions and
that anthropogenic warming is strongly linked to many
observed physical and biological impacts.
(3) There are significant long-term risks to the economy
and the environment of the United States from the temperature
increases and climatic disruptions that are projected to
result from increased greenhouse gas concentrations.
(4) The potential impacts of global climate change,
including long-term drought, famine, mass migration, and
abrupt climatic shifts, may lead to international tensions
and instability in regions affected and, therefore, have
implications for the national security interests of the
United States.
(5) The United States has the largest economy in the world
and is also the largest historical emitter of greenhouse
gases.
(6) The greenhouse gas emissions of the United States are
projected to continue to rise.
(7) The greenhouse gas emissions of some developing
countries are rising more rapidly than the emissions of the
United States and will soon surpass the greenhouse gas
emissions of the United States and other developed countries.
(8) Reducing greenhouse gas emissions to the levels
necessary to avoid serious climatic disruption requires the
introduction of new energy technologies and other climate-
friendly technologies, the use of which results in low or no
emissions of greenhouse gases or in the capture and storage
of greenhouse gases.
(9) The 2006 Stern Review on the Economics of Climate
Change commissioned by the United Kingdom and the 2008 World
Economic Outlook from the International Monetary Fund each
concluded that the economic costs of addressing climate
change are limited.
(10) The development and sale of climate-friendly
technologies in the United States and internationally present
economic opportunities for workers and businesses in the
United States.
(11) Climate-friendly technologies can improve air quality
by reducing harmful pollutants from stationary and mobile
sources and can enhance energy security by reducing reliance
on imported oil, diversifying energy sources, and reducing
the vulnerability of energy delivery infrastructure.
(12) Other industrialized countries are undertaking
measures to reduce greenhouse gas emissions, which provides
the industries in those countries with a competitive
advantage in the growing global market for climate-friendly
technologies.
(13) Efforts to limit emissions growth in developing
countries in a manner that is consistent with the development
needs of those countries could establish significant markets
for climate-friendly technologies and contribute to
international efforts to address climate change.
(14) The national security of the United States will
increasingly depend on the deployment of diplomatic,
military, scientific, and economic resources for solving the
problem of the overreliance of the United States and the
world on high-carbon energy.
(15) The United States is a party to the United Nations
Framework Convention on Climate Change, done at New York May
9, 1992, and entered into force March 21, 1994 (in this
preamble referred to as the ``Convention'').
(16) The Convention sets a long-term objective of
stabilizing greenhouse gas concentrations in the atmosphere
at a level that would prevent dangerous anthropogenic
interference with the climate system.
(17) The Convention establishes that parties bear ``common
but differentiated responsibilities'' for efforts to achieve
the objective of stabilizing greenhouse gas concentrations.
(18) At the December 2007 United Nations Climate Change
Conference in Bali, the United States and other parties to
the Convention adopted the Bali Action Plan with the aim of
reaching a new global agreement in 2009.
(19) The Bali Action Plan calls for a shared vision on
long-term cooperative action, increased mitigation efforts
from developed and developing countries that are measurable,
reportable, and verifiable, and support for developing
countries in addressing technology transfers, adaptation,
financing, deforestation, and capacity-building.
(20) The Major Economies Process on Energy Security and
Climate Change, initiated by President George W. Bush, seeks
a consensus among the countries with the world's major
economies on how those countries can contribute to a new
agreement under the Convention.
(21) In April 2008, President Bush called for a ``binding
international agreement'' with participation by all countries
with major economies in ``goals and policies that reflect
their unique energy resources and economic circumstances''.
(22) An effective global effort to address climate change
must provide for commitments and actions by all countries
that are major emitters of greenhouse gases, developed and
developing alike, and the widely varying circumstances among
developed and developing countries may require that such
commitments and actions vary.
(23) The latest scientific evidence suggests that
anthropogenic climate change is increasing and the United
States has supported the goal of achieving a new
international agreement during 2009, both lending urgency to
the need for renewed United States leadership in the effort
to counter global climate change.
(b) Sense of the Senate.--It is the sense of the Senate
that--
(1) the United States should act to reduce the health,
environmental, economic, and national security risks posed by
global climate change and to foster sustained economic growth
through a new generation of technologies by participating in
negotiations under the United Nations Framework Convention on
Climate Change, done at New York May 9, 1992, and entered
into force March 21, 1994, and leading efforts in other
international fora, with the objective of securing United
States participation in binding agreements, consistent with
the Bali Action Plan, that--
(A) advance and protect the economic and national security
interests of the United States;
(B) establish mitigation commitments by all countries that
are major emitters of greenhouse gases, consistent with the
principle of common but differentiated responsibilities;
(C) establish flexible international mechanisms to minimize
the cost of efforts by participating countries; and
(D) achieve a significant long-term reduction in global
greenhouse gas emissions; and
(2) the President should support the establishment of a
bipartisan Senate observer group, the members of which should
be designated by the chairman and ranking member of the
Committee on Foreign Relations of the Senate, to--
(A) monitor any international negotiations on climate
change; and
(B) ensure that the responsibility of the Senate under
article II, section 2 of the Constitution of the United
States to provide advice and consent to the President with
respect to treaties be carried out in a manner to facilitate
timely consideration of any applicable treaty submitted to
the Senate.
The provisions of this section shall become effective in 7
days after enactment.
______
SA 4828. Mr. REID proposed an amendment to the bill S. 3036, to
direct the Administrator of the Environmental Protection Agency to
establish a program to decrease emissions of greenhouse gases, and for
other purposes; as follows:
At the end of the bill, add the following:
The provision of this Act shall become effective 5 days
after enactment.
______
SA 4829. Mr. REID proposed an amendment to amendment SA 4828 proposed
by Mr. Reid to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; as follows:
In the amendment, strike ``5'' and insert ``4''.
______
SA 4830. Mr. REID proposed an amendment to the bill S. 3036, to
direct the Administrator of the Environmental Protection Agency to
establish a program to decrease emissions of greenhouse gases, and for
other purposes; as follows:
[[Page S5104]]
At the end, insert the following:
This section shall become effective 3 days after enactment
of the bill.
______
SA 4831. Mr. REID proposed an amendment to amendment SA 4830 proposed
by Mr. Reid to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; as follows:
On line 2, strike ``3'' and insert ``2''.
______
SA 4832. Mr. REID proposed an amendment to amendment SA 4831 proposed
by Mr. Reid to the amendment SA 4830 proposed by Mr. Reid to the bill
S. 3036, to direct the Administrator of the Environmental Protection
Agency to establish a program to decrease emissions of greenhouse
gases, and for other purposes; as follows:
In the amendment strike ``2'' and insert ``1''.
______
SA 4833. Mr. KERRY (for himself, Mrs. Feinstein, and Ms. Snowe)
submitted an amendment intended to be proposed by him to the bill S.
3036, to direct the Administrator of the Environmental Protection
Agency to establish a program to decrease emissions of greenhouse
gases, and for other purposes; which was ordered to lie on the table;
as follows:
On page 15, line 2, strike ``and''.
On page 15, line 12, strike the period and insert ``;
and''.
On page 15, between lines 12 and 13, insert the following:
(25) a Federal climate program for the United States must
respond in a timely fashion to the most up-to-date science on
climate change, including scientific findings on the
reductions in United States greenhouse gas emissions needed
to avert the worst effects of climate change.
On page 471, strike lines 3 through 5 and insert the
following:
(1) consider and incorporate existing findings and reports,
including the most recent assessments from the U.S. Global
Change Research Program and the Intergovernmental Panel on
Climate Change; and
On page 471, line 24, strike ``and'' at the end.
On page 472, line 7, strike the period at the end and
insert ``; and''.
On page 472, between lines 7 and 8, insert the following:
(G) the potential for abrupt changes in climate that occur
so rapidly or unexpectedly that human or natural systems have
difficulty adapting.
On page 475, between lines 5 and 6, insert the following:
(d) Recommendations on Global and United States Emission
Budgets.--In addition to and taking into account the
information required to be included under subsections (b) and
(c), each report required to be submitted under subsection
(a) shall include recommendations regarding--
(1) a global cumulative emission budget for the period
beginning on the date of submission of the first report under
subsection (a) and ending on December 31, 2050, that would
likely achieve the goals of--
(A) preventing an increase in global average temperature of
more than 2 degrees Celsius above the preindustrial average;
or
(B) preventing an alternate temperature increase above the
preindustrial average, if the Academy finds that such an
alternate average temperature is the threshold above which
warming is likely to cause dangerous interference with the
climate system; and
(2) a range for the emission budget of the United States,
for the period described in paragraph (1), that--
(A) is realistically consistent with remaining within the
global cumulative emission budget recommended under paragraph
(1); and
(B) takes into consideration emission reductions and other
commitments by industrialized and developing nations under
the United Nations Framework Convention on Climate Change,
done at New York on May 9, 1992.
Beginning on page 475, strike line 6 and all that follows
through page 478, line 17, and insert the following:
SEC. 1602. PRESIDENTIAL RECOMMENDATIONS.
(a) In General.--Not later than September 30, 2018, and
every 3 years thereafter, the Administrator shall make public
and submit to the President a report making legislative
recommendations to achieve cumulative United States emission
reductions through calendar year 2050 for the President to
transmit to Congress.
(b) Coordination With Other Agencies.--In developing those
recommendations, the Administrator shall coordinate with--
(1) the Secretary of Energy;
(2) the Secretary of the Treasury;
(3) the Secretary of Commerce;
(4) the Secretary of the Interior; and
(5) other relevant Federal officials, as determined by the
Administrator, appointed to a position at level I of the
Executive Schedule and listed in section 5312 of title 5,
United States Code.
(c) Basis.--The recommendations submitted pursuant to
subsection (a) shall be based on the most recent reports
submitted by the National Academy of Sciences pursuant to
section 1601.
(d) Inclusions.--The report shall include--
(1) recommendations for amendments to this Act to achieve
cumulative United States emission reductions through calendar
year 2050 that are realistically consistent with remaining
within the global cumulative emission budget described in
section 1601(d)(1), including measures that would--
(A) adjust the definition of the term ``covered entity''
under this Act;
(B) adjust the scope of the compliance obligation
established by section 202;
(C) adjust quantities of emission allowances available in 1
or more calendar years;
(D) establish other policies for reducing greenhouse gas
emissions in addition to the policies established by this
Act;
(E) establish policies for reducing nationwide emissions
into the atmosphere of sulfur dioxide, nitrogen oxides, and
mercury in excess of the reductions resulting from the
implementation of this Act; and
(F) prevent or abate any direct, indirect, or cumulative
increases in covered pollutants resulting from the use and
trading of emission allowances or from transformations in
technologies or markets; and
(2) safeguards to achieve all the purposes of this Act in
accordance with paragraph (1), including--
(A) the accomplishment of robust growth and the creation of
new jobs in the United States economy; and
(B) the protection of United States consumers, especially
consumers in greatest need, from hardship.
(e) Consistency With Reports.--The Administrator shall
include with each submission of recommendations made pursuant
to subsection (a) an explanation for each significant
inconsistency between the recommendations and the most recent
reports submitted by the National Academy of Sciences
pursuant to section 1601.
(f) Presidential Recommendation to Congress.--Not later
than January 1, 2019, and every 3 years thereafter, the
President shall submit to Congress the text of proposed
legislation based on the recommendations submitted to the
President pursuant to subsection (a).
(g) Ongoing Evaluation of Impacts.--Not later than 90 days
after the date of enactment of this Act, the Administrator
shall establish an advisory committee that includes
representatives of affected communities to advise the
Administrator on the implementation of Executive Order No.
12898 (59 Fed. Reg. 7629; relating to Federal actions to
address environmental justice in minority populations and
low-income populations) in implementing this Act.
(h) Effect on Other Authority.--Nothing in this title
limits the authority of the Administrator, a State, or any
person to use any authority under this Act or any other law
to promulgate, adopt, or enforce any regulation.
SEC. 1603. CONGRESSIONAL REVIEW OF PRESIDENTIAL
RECOMMENDATIONS.
(a) Definition of Implementing Legislation.--In this
section, the term ``implementing legislation'' means only
legislation introduced in the period beginning on the date on
which recommendations for legislation are submitted to
Congress under section 1602(f), and every third year
thereafter, and ending 60 days after such submission
(excluding days either House of Congress is adjourned for
more than 3 days during a session of Congress), which
proposes the legislative changes recommended by the President
under section 1602.
(b) Referral.--Implementing legislation described in
subsection (a) shall be referred immediately to the Committee
on Energy and Commerce of the House of Representatives and
the Committee on Environment and Public Works of the Senate.
(c) Consideration.--
(1) In general.--Implementing legislation shall be
considered by the committee to which the legislation is
referred under subsection (b).
(2) Senate procedure.--In the Senate--
(A) a committee to which legislation is referred under
subsection (b) may be discharged from further consideration
of the implementing legislation at the end of the period of
30 calendar days after the introduction of the legislation,
upon a petition supported in writing by 30 Members of the
Senate; and
(B) after that 30-calendar-day period, the legislation
shall be placed on the calendar.
(d) Motion to Proceed in Senate.--
(1) In general.--In the Senate, after the committee to
which implementing legislation is referred under subsection
(b) has reported the legislation or been discharged under
subsection (c)(2)(A) from further consideration of the
legislation, it shall be at any time thereafter in order
(even though a previous motion to the same effect has been
disagreed to) for a motion to proceed to the consideration of
the implementing legislation.
(2) Debate and postponement.--A motion to proceed described
in paragraph (1) shall not be debatable or subject to a
motion to postpone, or to a motion to proceed to the
consideration of other business.
(3) Motion to reconsider.--A motion to reconsider the vote
by which a motion to proceed under paragraph (1) is agreed to
or disagreed to shall not be in order.
[[Page S5105]]
(4) Agreement.--If a motion to proceed to the consideration
of the implementing legislation is agreed to, the
implementing legislation shall remain the unfinished business
of the Senate until disposed of.
(e) Procedure in House of Representatives.--In the House of
Representatives--
(1) the committee to which implementing legislation is
referred under subsection (b) may be discharged from further
consideration of the implementing legislation--
(A) at the end of the 60-calendar-day period beginning on
the date of introduction of the legislation in the House of
Representatives; and
(B) upon a petition supported in writing by 130 Members of
the House of Representatives; and
(C) the implementing legislation shall be placed on the
calendar, and called up on the floor of the House of
Representatives, subject to the rules of the House of
Representatives.
(f) Effect of Section on Congressional Rules.--This
section--
(1) is enacted by Congress as an exercise of the rulemaking
power of the Senate and House of Representatives,
respectively;
(2) as such rulemaking power--
(A) is deemed to be part of the rules of each of the Senate
and House of Representatives, respectively;
(B) shall be applicable only with respect to the procedure
to be followed in the Senate or House of Representatives,
respectively, in the case of implementing legislation
described in subsection (a); and
(C) supersedes other rules only to the extent that the
section is inconsistent with those other rules; and
(3) is enacted by Congress with full recognition of the
constitutional right of either the Senate or House of
Representatives to change the rules (so far as relating to
the procedure of that House) at any time, in the same manner,
and to the same extent as in the case of any other rule of
that House.
______
SA 4834. Mr. DURBIN submitted an amendment intended to be proposed by
him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
On page 63, between lines 7 and 8, insert the following:
SEC. 127. FUTUREGEN COOPERATIVE AGREEMENT.
(a) In General.--Subject to subsection (b), the Secretary
of Energy shall continue the cooperative agreement numbered
DE-FC 26-06NT42073, as in effect on the date of enactment of
this Act, through March 30, 2009.
(b) Administration.--During the period beginning on the
date of enactment of this Act and ending on March 30, 2009--
(1) the agreement described in subsection (a) may not be
terminated except by the mutual consent of the parties to the
agreement; and
(2) funds may be expended under the agreement only to
complete and provide information and documentation to the
Department of Energy.
______
SA 4835. Mr. LAUTENBERG submitted an amendment intended to be
proposed by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. ___. PROTECTION OF SCIENTIFIC CREDIBILITY, INTEGRITY,
AND COMMUNICATION.
(a) Short Title.--This section may be cited as the
``Protect Science Act of 2008''.
(b) Definitions.--In this section:
(1) Agency.--The term ``agency'' has the meaning given
under section 551(1) of title 5, United States Code.
(2) Scientific.--The term ``scientific'' means relating to
the natural, physical, environmental, earth, ocean, climate,
atmospheric, mathematical, medical, or social sciences or
engineering.
(c) Findings and Purpose.--
(1) Findings.--Congress finds the following:
(A) Scientific research and innovation is a principal
component to American prosperity.
(B) There have been numerous cases where Federal scientific
studies and reports have been altered by political appointees
and Federal employees to misrepresent or omit information.
(C) Political interference has also resulted in--
(i) the censorship of scientific information and documents
requested by Congress;
(ii) the delayed release of Government science reports; and
(iii) the denial of media access to scientific researchers.
(D) Such political interference with science in the Federal
agencies undermines the credibility, integrity, and
consistency of the United States Government.
(2) Purpose.--The purpose of this section is to protect
scientific credibility, integrity, and communication in
research and policymaking.
(d) Prohibition of Political Interference With Science.--
(1) In general.--Subchapter V of chapter 73 of title 5,
United States Code, is amended by adding at the end the
following:
``Sec. 7354. Interference with science
``(a) Definitions.--In this section--
``(1) the term `censorship' means improper prevention of
the dissemination of valid and nonclassified scientific
findings;
``(2) the term `scientific' means relating to the natural,
physical, environmental, earth, ocean, climate, atmospheric,
mathematical, medical, or social sciences or engineering; and
``(3) the term `tampering' means improperly altering or
obstructing so as to substantially distort, or directing
others to do so.
``(b) In General.--An employee may not engage in any of the
following:
``(1) Tampering with the conduct or findings of federally
funded scientific research or analysis.
``(2) Censorship of findings of federally funded scientific
research or analysis.
``(3) Directing the dissemination of scientific information
known by the directing employee to be false or misleading.''.
(2) Technical and conforming amendment.--The table of
sections for chapter 73 of title 5, is amended by inserting
after the item relating to section 7353 the following:
``7354. Interference with science.''.
(e) Publication Requirement Relating to Scientific Studies
and Reports.--
(1) Definition.--In this subsection, the term ``political
appointee'' means an individual who holds a position that--
(A) requires appointment by the President, by and with the
advice and consent of the Senate;
(B) is within the Executive Office of the President;
(C) is on the Executive Schedule under subchapter II of
chapter 53 of title 5, United States Code;
(D) is a Senior Executive Service position as defined under
section 3132 (2) of title 5, United States Code, and not a
career reserved position as defined under paragraph (8) of
that section; or
(E) is in the executive branch of the Government of a
confidential or policy-determining character under schedule C
of subpart C of part 213 of title 5 of the Code of Federal
Regulations.
(2) Requirements.--
(A) In general.--Not later than 48 hours after an agency
publishes a scientific study or report, including a summary,
synthesis, or analysis of a scientific study or report, that
has been modified to incorporate oral or written comments by
a political appointee that change the force, meaning,
emphasis, conclusions, findings, or recommendations of the
scientific or technical component of the study or report, the
head of that agency shall--
(i) make available on a departmental or agency website, and
on a public docket, if any, that is accessible by the
public--
(I) the final version by the principal scientific
investigators before review;
(II) the final version as published by the agency; and
(III) a version making a comparison of the versions
described under subclauses (I) and (II), that identifies--
(aa) any modifications; and
(bb) the text making those modifications;
(ii) identify any political appointee who made those
comments; and
(iii) provide uniform resource locator links on that
website to both versions and related publications.
(B) Printed publications.--The head of each agency shall
ensure that the printed publication of any summary,
synthesis, or analysis of a scientific study or report
described under subparagraph (A) shall include a reference to
the website described under that paragraph.
(3) Format and ease of comparison.--The versions of any
study or report described under paragraph (2) shall be made
available--
(A) in a format that is generally available to the public;
and
(B) in the same format and accessible on the same page with
equal prominence, or in any other manner that facilitates
comparison of the 2 versions.
(f) State of Scientific Integrity Report.--Not later than 1
year after the date of enactment of this Act, and each year
thereafter, the Comptroller General shall submit a report to
Congress on compliance with the requirements of section 7354
of title 5, United States Code, (as added by subsection (d)
of this section) and section (e) of this section.
______
SA 4836. Mr. BIDEN (for himself, Mr. Lugar, Mr. Kerry, Mr. Warner,
Mr. Menendez, Ms. Snowe, Mr. Cardin, Mr. Casey, Mr. Bayh, Ms. Collins,
Mr. Obama, Mr. Webb, Mr. Feingold, Mr. Whitehouse, Mr. Nelson, of
Florida, Mr. Bingaman, and Mr. McCain) submitted an amendment intended
to be proposed by him to the bill S. 3036, to direct the Administrator
of the Environmental Protection Agency to establish a program to
decrease emissions of greenhouse gases, and for other purposes; which
was ordered to lie on the table; as follows:
At the end of title XIII, insert the following:
SEC. 1334. SENSE OF SENATE REGARDING INTERNATIONAL
NEGOTIATIONS TO ADDRESS GLOBAL CLIMATE CHANGE.
(a) Findings.--The Senate makes the following findings:
[[Page S5106]]
(1) There is a scientific consensus, as established by the
Intergovernmental Panel on Climate Change and confirmed by
the National Academy of Sciences, that the continued buildup
of anthropogenic greenhouse gases in the atmosphere threatens
the stability of the global climate.
(2) The 2007 Fourth Assessment Report of the
Intergovernmental Panel on Climate Change concluded that most
of the global warming observed since the mid-20th century is
very likely due to anthropogenic greenhouse gas emissions and
that anthropogenic warming is strongly linked to many
observed physical and biological impacts.
(3) There are significant long-term risks to the economy
and the environment of the United States from the temperature
increases and climatic disruptions that are projected to
result from increased greenhouse gas concentrations.
(4) The potential impacts of global climate change,
including long-term drought, famine, mass migration, and
abrupt climatic shifts, may lead to international tensions
and instability in regions affected and, therefore, have
implications for the national security interests of the
United States.
(5) The United States has the largest economy in the world
and is also the largest historical emitter of greenhouse
gases.
(6) The greenhouse gas emissions of the United States are
projected to continue to rise.
(7) The greenhouse gas emissions of some developing
countries are rising more rapidly than the emissions of the
United States and will soon surpass the greenhouse gas
emissions of the United States and other developed countries.
(8) Reducing greenhouse gas emissions to the levels
necessary to avoid serious climatic disruption requires the
introduction of new energy technologies and other climate-
friendly technologies, the use of which results in low or no
emissions of greenhouse gases or in the capture and storage
of greenhouse gases.
(9) The 2006 Stern Review on the Economics of Climate
Change commissioned by the United Kingdom and the 2008 World
Economic Outlook from the International Monetary Fund each
concluded that the economic costs of addressing climate
change are limited.
(10) The development and sale of climate-friendly
technologies in the United States and internationally present
economic opportunities for workers and businesses in the
United States.
(11) Climate-friendly technologies can improve air quality
by reducing harmful pollutants from stationary and mobile
sources and can enhance energy security by reducing reliance
on imported oil, diversifying energy sources, and reducing
the vulnerability of energy delivery infrastructure.
(12) Other industrialized countries are undertaking
measures to reduce greenhouse gas emissions, which provides
the industries in those countries with a competitive
advantage in the growing global market for climate-friendly
technologies.
(13) Efforts to limit emissions growth in developing
countries in a manner that is consistent with the development
needs of those countries could establish significant markets
for climate-friendly technologies and contribute to
international efforts to address climate change.
(14) The national security of the United States will
increasingly depend on the deployment of diplomatic,
military, scientific, and economic resources for solving the
problem of the overreliance of the United States and the
world on high-carbon energy.
(15) The United States is a party to the United Nations
Framework Convention on Climate Change, done at New York May
9, 1992, and entered into force March 21, 1994 (in this
preamble referred to as the ``Convention'').
(16) The Convention sets a long-term objective of
stabilizing greenhouse gas concentrations in the atmosphere
at a level that would prevent dangerous anthropogenic
interference with the climate system.
(17) The Convention establishes that parties bear ``common
but differentiated responsibilities'' for efforts to achieve
the objective of stabilizing greenhouse gas concentrations.
(18) At the December 2007 United Nations Climate Change
Conference in Bali, the United States and other parties to
the Convention adopted the Bali Action Plan with the aim of
reaching a new global agreement in 2009.
(19) The Bali Action Plan calls for a shared vision on
long-term cooperative action, increased mitigation efforts
from developed and developing countries that are measurable,
reportable, and verifiable, and support for developing
countries in addressing technology transfers, adaptation,
financing, deforestation, and capacity-building.
(20) The Major Economies Process on Energy Security and
Climate Change, initiated by President George W. Bush, seeks
a consensus among the countries with the world's major
economies on how those countries can contribute to a new
agreement under the Convention.
(21) In April 2008, President Bush called for a ``binding
international agreement'' with participation by all countries
with major economies in ``goals and policies that reflect
their unique energy resources and economic circumstances''.
(22) An effective global effort to address climate change
must provide for commitments and actions by all countries
that are major emitters of greenhouse gases, developed and
developing alike, and the widely varying circumstances among
developed and developing countries may require that such
commitments and actions vary.
(23) The latest scientific evidence suggests that
anthropogenic climate change is increasing and the United
States has supported the goal of achieving a new
international agreement during 2009, both lending urgency to
the need for renewed United States leadership in the effort
to counter global climate change.
(b) Sense of the Senate.--It is the sense of the Senate
that--
(1) the United States should act to reduce the health,
environmental, economic, and national security risks posed by
global climate change and to foster sustained economic growth
through a new generation of technologies by participating in
negotiations under the United Nations Framework Convention on
Climate Change, done at New York May 9, 1992, and entered
into force March 21, 1994, and leading efforts in other
international fora, with the objective of securing United
States participation in binding agreements, consistent with
the Bali Action Plan, that--
(A) advance and protect the economic and national security
interests of the United States;
(B) establish mitigation commitments by all countries that
are major emitters of greenhouse gases, consistent with the
principle of common but differentiated responsibilities;
(C) establish flexible international mechanisms to minimize
the cost of efforts by participating countries; and
(D) achieve a significant long-term reduction in global
greenhouse gas emissions; and
(2) the President should support the establishment of a
bipartisan Senate observer group, the members of which should
be designated by the chairman and ranking member of the
Committee on Foreign Relations of the Senate, to--
(A) monitor any international negotiations on climate
change; and
(B) ensure that the responsibility of the Senate under
article II, section 2 of the Constitution of the United
States to provide advice and consent to the President with
respect to treaties be carried out in a manner to facilitate
timely consideration of any applicable treaty submitted to
the Senate.
______
SA 4837. Mr. SANDERS submitted an amendment intended to be proposed
by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of subtitle F of title V, add the following:
SEC. 553. EXCLUSION OF NEW FOSSIL FUEL-FIRED ELECTRLCITY
GENERATORS.
Notwithstanding any other provision of this subtitle shall
not apply to fossil fuel-fired electricity generators
(including fossil fuel-fired electricity generators owned or
operated by a rural electric cooperative) for 2 which
construction began after January 19, 2007.
At the end of section 614(d), add the following:
(2) Exclusion of Fossil Fuel-fired Electricity Generators.--
Notwithstanding paragraph (1), a State shall not use any
emission allowance (or proceeds of sale of an emission
allowance) to mitigate obstacles to investment by fossil
fuel-fired electricity generators (including fossil fuel-
fired electricity generators owned or operated by a rural
electric cooperative) or fossil fuel-fired electricity
generation markets.
______
SA 4837. Mr. SANDERS (for himself, Mr. Menendez, and Mr. Kerry)
submitted an amendment intended to be proposed by him to the bill S.
3036, to direct the Administrator of the Environmental Protection
Agency to establish a program to decrease emissions of greenhouse
gases, and for other purposes; which was ordered to lie on the table;
as follows:
On page 65, between lines 2 and 3, insert the following:
(d) National Emission Reduction Milestones for 2050.--Not
later than January 1, 2012, after an opportunity for public
notice and comment, the Administrator shall promulgate rules
and take any other actions necessary (including revising the
post-2020 emission allowances in the chart in subsection (a))
to achieve an 80 percent reduction in all United States
global warming emissions by calendar year 2050, as compared
to calendar year 1990.
______
SA 4839. Mr. SANDERS (for himself, Mr. Menendez, and Mr. Kerry)
submitted an amendment intended to be proposed by him to the bill S.
3036, to direct the Administrator of the Environmental Protection
Agency to establish a program to decrease emissions of greenhouse
gases, and for other purposes; which was ordered to lie on the table;
as follows:
At the end of subtitle D of title VIII, add the following:
[[Page S5107]]
SEC. 833. REBATES FOR PURCHASE AND INSTALLATION OF
PHOTOVOLTAIC SYSTEMS FOR 10 MILLION-SOLAR
ROOFS.
(a) Findings.--Congress finds that--
(1)(A) there is huge potential for increasing the quantity
of electricity produced in the United States from distributed
solar photovoltaics; and
(B) the use of photovoltaics on the roofs of 10 percent of
existing buildings could meet 70 percent of peak electric
demand;
(2) investment in solar photovoltaics technology will
create economies of scale that will allow the technology to
deliver electricity at prices that are competitive with
electricity from fossil fuels;
(3) electricity produced from distributed solar
photovoltaics helps to reduce greenhouse gas emissions and
does not emit harmful air pollutants, such as mercury, sulfur
dioxide, and nitrogen oxides;
(4) electricity produced from distributed solar
photovoltaics enhances national energy security;
(5) investments in renewable energy stimulate the
development of green jobs that provide substantial economic
benefits;
(6)(A) rebate programs in several States have been
successful in increasing the quantity of solar energy from
distributed photovoltaics;
(B) the State of California has used rebate programs to
install nearly 190 megawatts of grid-connected photovoltaics
since 2000; and
(C) the State of New Jersey has installed nearly 50
megawatts of grid-connected photovoltaics since 2001,
including 20 megawatts in 2007 alone; and
(7) Germany has installed nearly 4,000 megawatts of
distributed solar photovoltaics and sustained an annual
growth rate approaching 67 percent since enacting aggressive
laws to encourage photovoltaic installations
(b) Program.--The Secretary of Energy (referred to in this
section as the ``Secretary'') shall establish a program under
which the Secretary shall provide rebates to eligible
individuals or entities for the purchase and installation of
photovoltaic systems for residential and commercial
properties in order to install, over the 10-year period
beginning on the date of enactment of this Act, at least an
additional 10,000,000 solar systems in the United States (as
compared to the number of solar systems installed in the
United States as of the date of enactment of this Act) with a
cumulative capacity of at least 30,000 megawatts.
(c) Eligibility.--
(1) In general.--Subject to paragraph (2), to be eligible
for a rebate under this section--
(A) the recipient of the rebate shall be a homeowner,
business, nonprofit entity, or State or local government that
purchased and installed a photovoltaic system for a property
located in the United States;
(B) the total capacity of the photovoltaic system for the
property shall not exceed 4 megawatts;
(C) the buildings on the property for which the
photovoltaic system is installed shall--
(i) in the case of a new or renovated building, achieve a
rating of not less than 75 under the Energy Star program
established by section 324A of the Energy Policy and
Conservation Act (42 U.S.C. 6294a) (or an equivalent rating
under an established benchmarking metric); and
(ii) in the case of any building not described in clause
(i), be retrofitted to achieve a rating improvement of not
less than 30 points under the Energy Star program (or an
equivalent improvement under an established benchmarking
metric); and
(D) the recipient of the rebate shall meet such other
eligibility criteria as are determined to be appropriate by
the Secretary.
(2) Other entities.--After public review and comment, the
Secretary may identify other individuals or entities located
in the United States that qualify for a rebate under this
section.
(d) Amount.--
(1) In general.--Subject to paragraph (2), the amount of a
rebate provided to an eligible individual or entity for the
purchase and installation of a photovoltaic system for a
property under this section shall be at least $3 for each
watt of installed capacity.
(2) Maximum amount.--The total amount of a rebate provided
to an eligible individual or entity for the purchase and
installation of a photovoltaic system for a property under
this section shall not exceed 50 percent of the cost of the
purchase and installation of the system.
(e) Relationship to Other Law.--The authority provided
under this section shall be in addition to any other
authority under which credits or other types of financial
assistance are provided for installation of a photovoltaic
system for a property.
(f) Allocation.--
(1) In general.--Notwithstanding section 551, not later
than 330 days before the beginning of each of calendar years
2012 through 2021, of the quantity of emission allowances
established pursuant to section 201(a) that are made
available under section 551 for each of those calendar years,
the Administrator shall allocate a percentage to provide
rebates under this section.
(2) Quantities of emission allowances allocated.--The
quantities of emission allowances allocated pursuant to
paragraph (1) shall be the quantities represented by the
percentages in the following table:
----------------------------------------------------------------------------------------------------------------
Calendar year Percentage for rebates under 10-million solar roofs program
----------------------------------------------------------------------------------------------------------------
2012........................................... 9.73
2013........................................... 9.19
2014........................................... 8.73
2015........................................... 8.33
2016........................................... 8.06
2017........................................... 7.82
2018........................................... 7.60
2019........................................... 7.42
2020........................................... 7.25
2021........................................... 7.01
----------------------------------------------------------------------------------------------------------------
______
SA 4840. Mr. SANDERS (for himself, Mr. Menendez, and Mr. Kerry)
submitted an amendment intended to be proposed by him to the bill S.
3036, to direct the Administrator of the Environmental Protection
Agency to establish a program to decrease emissions of greenhouse
gases, and for other purposes; which was ordered to lie on the table;
as follows:
At the end of title IX, add the following:
Subtitle C--Renewable Energy Standard
SEC. 921. RENEWABLE PORTFOLIO STANDARD.
(a) In General.--Title VI of the Public Utility Regulatory
Policies Act of 1978 (16 U.S.C. 2601 et seq.) is amended by
adding at the end the following:
``SEC. 610. FEDERAL RENEWABLE PORTFOLIO STANDARD.
``(a) Definitions.--In this section:
``(1) Base amount of electricity.--The term `base amount of
electricity' means the total amount of electricity sold by an
electric utility to electric consumers in a calendar year,
excluding municipal waste and electricity generated by a
hydroelectric facility (including a pumped storage facility,
but excluding incremental hydropower).
``(2) Biomass.--
``(A) In general.--Except as otherwise provided in this
paragraph, the term `biomass' means--
``(i) cellulosic (plant fiber) organic materials from a
plant that is planted for the purpose of being used to
produce energy; or
``(ii) nonhazardous, plant or algal matter that is derived
from any of--
``(I) an agricultural crop, crop byproduct or residue
resource;
``(II) waste such as landscape or right-of-way trimmings
(but not including municipal solid waste, recyclable
postconsumer waste paper, painted, treated, or pressurized
wood, or wood contaminated with plastic or metals);
``(III) gasified animal waste; or
``(IV) landfill methane.
``(B) National forest land and certain other public land.--
With respect to organic material removed from National Forest
System land or from public land administered by the Secretary
of the Interior, the term `biomass' means only organic
material from--
``(i) ecological forest restoration;
``(ii) pre-commercial thinnings;
``(iii) brush;
``(iv) mill residues; and
``(v) slash.
``(C) Exclusion of certain federal land.--Notwithstanding
subparagraph (B), material or matter that would otherwise
qualify as biomass shall not be included in the term
`biomass' if the material or matter is located on--
``(i) Federal land containing old growth forest or late
successional forest, unless the Secretary of the Interior or
the Secretary of Agriculture determines that the removal of
organic material from the Federal land--
``(I) is appropriate for the applicable forest type; and
``(II) maximizes the retention of late-successional and
large and old growth trees, late-successional and old growth
forest structure, and late-successional and old growth forest
composition;
``(ii) Federal land on which the removal of vegetation is
prohibited, including components of the National Wilderness
Preservation System;
``(iii) a Wilderness Study Area;
``(iv) an inventoried roadless area of Federal land;
``(v) any part of the National Landscape Conservation
System; or
``(vi) a National Monument.
``(3) Distributed generation facility.--The term
`distributed generation facility' means a facility at a
customer site.
``(4) Existing renewable energy.--The term `existing
renewable energy' means, except as provided in paragraph
(8)(B), electric energy generated at a facility (including a
distributed generation facility) placed in service prior to
January 1, 2001, from solar, wind, or geothermal energy,
ocean energy, biomass, or landfill gas.
``(5) Geothermal energy.--The term `geothermal energy'
means energy derived from a geothermal deposit (within the
meaning of section 613(e)(2) of the Internal Revenue Code of
1986).
``(6) Incremental geothermal production.--
``(A) In general.--The term `incremental geothermal
production' means for any year the excess of--
``(i) the total kilowatt hours of electricity produced from
a facility (including a distributed generation facility)
using geothermal energy; over
[[Page S5108]]
``(ii) the average annual kilowatt hours produced at such
facility for 5 of the previous 7 calendar years before the
date of enactment of this section after eliminating the
highest and the lowest kilowatt hour production years in such
7-year period.
``(B) Special rule.--A facility described in subparagraph
(A) that was placed in service at least 7 years before the
date of enactment of this section shall, commencing with the
year in which such date of enactment occurs, reduce the
amount calculated under subparagraph (A)(ii) each year, on a
cumulative basis, by the average percentage decrease in the
annual kilowatt hour production for the 7-year period
described in subparagraph (A)(ii) with such cumulative sum
not to exceed 30 percent.
``(7) Incremental hydropower.--
``(A) In general.--The term `incremental hydropower' means
additional energy generated as a result of efficiency
improvements or capacity additions made on or after January
1, 2001, or the effective date of an existing applicable
State renewable portfolio standard program at a hydroelectric
facility that was placed in service before that date.
``(B) Exclusion.--The term `incremental hydropower' does
not include additional energy generated as a result of
operational changes not directly associated with efficiency
improvements or capacity additions.
``(C) Measurement.--Efficiency improvements and capacity
additions shall be measured on the basis of the same water
flow information used to determine a historic average annual
generation baseline for the hydroelectric facility and
certified by the Secretary or the Federal Energy Regulatory
Commission.
``(8) New renewable energy.--The term `new renewable
energy' means--
``(A) electric energy generated at a facility (including a
distributed generation facility) placed in service on or
after January 1, 2001, from--
``(i) solar, wind, or geothermal energy or ocean energy;
``(ii) biomass;
``(iii) landfill gas; or
``(iv) incremental hydropower; and
``(B) for electric energy generated at a facility
(including a distributed generation facility) placed in
service prior to the date of enactment of this section--
``(i) the additional energy above the average generation
during the 3-year period ending on the date of enactment of
this section at the facility from--
``(I) solar or wind energy or ocean energy;
``(II) biomass;
``(III) landfill gas; or
``(IV) incremental hydropower; and
``(ii) incremental geothermal production.
``(9) Ocean energy.--The term `ocean energy' includes
current, wave, tidal, and thermal energy.
``(b) Renewable Energy Requirement.--
``(1) In general.--Each electric utility that sells
electricity to electric consumers shall obtain a percentage
of the base amount of electricity the electric utility sells
to electric consumers in any calendar year from new renewable
energy or existing renewable energy.
``(2) Minimum annual percentage.--The percentage obtained
in a calendar year shall not be less than the amount
specified in the following table:
Minimum annual
``Calendar year: percentage:
2010.............................................................. 1
2011.............................................................. 2
2012.............................................................. 4
2013.............................................................. 6
2014.............................................................. 8
2015.............................................................. 10
2016.............................................................. 12
2017.............................................................. 14
2018.............................................................. 16
2019.............................................................. 18
2020.............................................................. 20
``(3) Means of compliance.--An electric utility shall meet
the requirements of this subsection by--
``(A) submitting to the Secretary renewable energy credits
issued under subsection (c);
``(B) making alternative compliance payments to the
Secretary at the rate of 2 cents per kilowatt hour (as
adjusted for inflation under subsection (h)); or
``(C) conducting a combination of activities described in
subparagraphs (A) and (B).
``(c) Renewable Energy Credit Trading Program--.
``(1) In general.--Not later than July 1, 2009, the
Secretary shall establish a renewable energy credit trading
program under which each electric utility shall submit to the
Secretary renewable energy credits to certify the compliance
of the electric utility with respect to obligations under
subsection (b).
``(2) Administration.--As part of the program, the
Secretary shall--
``(A) issue tradeable renewable energy credits to
generators of electric energy from new renewable energy;
``(B) issue nontradeable renewable energy credits to
generators of electric energy from existing renewable energy;
``(C) issue renewable energy credits to electric utilities
associated with State renewable portfolio standard compliance
mechanisms pursuant to subsection (i);
``(D) ensure that a kilowatt hour, including the associated
renewable energy credit, shall be used only once for purposes
of compliance with this section;
``(E) allow double credits for generation from facilities
on Indian land, and triple credits for generation from small
renewable distributed generators (meaning those no larger
than 1 megawatt); and
``(F) ensure that, with respect to a purchaser that as of
the date of enactment of this section has a purchase
agreement from a renewable energy facility placed in service
before that date, the credit associated with the generation
of renewable energy under the contract is issued to the
purchaser of the electric energy.
``(3) Duration.--A credit described in subparagraph (A) or
(B) of paragraph (2) may only be used for compliance with
this section during the 3-year period beginning on the date
of issuance of the credit.
``(4) Transfers.--An electric utility that holds credits in
excess of the quantity of credits needed to comply with
subsection (b) may transfer the credits to another electric
utility in the same utility holding company system.
``(5) Delegation of market function.--The Secretary may
delegate to an appropriate entity that establishes markets
the administration of a national tradeable renewable energy
credit market for purposes of creating a transparent national
market for the sale or trade of renewable energy credits.
``(d) Enforcement.--
``(1) Civil penalties.--Any electric utility that fails to
meet the compliance requirements of subsection (b) shall be
subject to a civil penalty.
``(2) Amount of penalty.--Subject to paragraph (3), the
amount of the civil penalty shall be equal to the product
obtained by multiplying--
``(A) the number of kilowatt-hours of electric energy sold
to electric consumers in violation of subsection (b); by
``(B) the greater of--
``(i) 2 cents (adjusted for inflation under subsection
(h)); or
``(ii) 200 percent of the average market value of renewable
energy credits during the year in which the violation
occurred.
``(3) Mitigation or waiver.--
``(A) In general.--The Secretary may mitigate or waive a
civil penalty under this subsection if the electric utility
is unable to comply with subsection (b) for reasons outside
of the reasonable control of the utility.
``(B) Reduction.--The Secretary shall reduce the amount of
any penalty determined under paragraph (2) by an amount paid
by the electric utility to a State for failure to comply with
the requirement of a State renewable energy program if the
State requirement is greater than the applicable requirement
of subsection (b).
``(4) Procedure for assessing penalty.--The Secretary shall
assess a civil penalty under this subsection in accordance
with the procedures prescribed by section 333(d) of the
Energy Policy and Conservation Act of 1954 (42 U.S.C. 6303).
``(e) State Renewable Energy Account Program.--
``(1) In general.--Not later than December 31, 2008, the
Secretary of the Treasury shall establish a State renewable
energy account in the Treasury.
``(2) Deposits.--
``(A) In general.--All money collected by the Secretary
from alternative compliance payments and the assessment of
civil penalties under this section shall be deposited into
the renewable energy account established under paragraph (1).
``(B) Separate account.--The State renewable energy account
shall be maintained as a separate account in the Treasury and
shall not be transferred to the general fund of the Treasury.
``(3) Use.--Proceeds deposited in the State renewable
energy account shall be used by the Secretary, subject to
appropriations, for a program to provide grants to the State
agency responsible for developing State energy conservation
plans under section 362 of the Energy Policy and Conservation
Act (42 U.S.C. 6322) for the purposes of promoting renewable
energy production, including programs that promote
technologies that reduce the use of electricity at customer
sites such as solar water heating.
``(4) Administration.--The Secretary may issue guidelines
and criteria for grants awarded under this subsection. State
energy offices receiving grants under this section shall
maintain such records and evidence of compliance as the
Secretary may require.
``(5) Preference.--In allocating funds under this program,
the Secretary shall give preference--
``(A) to States in regions which have a disproportionately
small share of economically sustainable renewable energy
generation capacity; and
``(B) to State programs to stimulate or enhance innovative
renewable energy technologies.
``(f) Rules.--The Secretary shall issue rules implementing
this section not later than 1 year after the date of
enactment of this section.
``(g) Exemptions.--This section shall not apply in any
calendar year to an electric utility--
``(1) that sold less than 4,000,000 megawatt-hours of
electric energy to electric consumers during the preceding
calendar year; or
``(2) in Hawaii.
``(h) Inflation Adjustment.--Not later than December 31,
2008, and December 31 of
[[Page S5109]]
each year thereafter, the Secretary shall adjust for United
States dollar inflation (as measured by the Consumer Price
Index)--
``(1) the price of a renewable energy credit under
subsection (c)(2); and
``(2) the amount of the civil penalty per kilowatt-hour
under subsection (d)(2).
``(i) State Programs.--
``(1) In general.--Nothing in this section diminishes any
authority of a State or political subdivision of a State to
adopt or enforce any law or regulation respecting renewable
energy, but, except as provided in subsection (d)(3), no such
law or regulation shall relieve any person of any requirement
otherwise applicable under this section.
``(2) Coordination.--The Secretary, in consultation with
States having such renewable energy programs, shall, to the
maximum extent practicable, facilitate coordination between
the Federal program and State programs.
``(3) Regulations.--
``(A) In general.--The Secretary, in consultation with
States, shall promulgate regulations to ensure that an
electric utility subject to the requirements of this section
that is also subject to a State renewable energy standard
receives renewable energy credits in relation to equivalent
quantities of renewable energy associated with compliance
mechanisms, other than the generation or purchase of
renewable energy by the electric utility, including the
acquisition of certificates or credits and the payment of
taxes, fees, surcharges, or other financial compliance
mechanisms by the electric utility or a customer of the
electric utility, directly associated with the generation or
purchase of renewable energy.
``(B) Prohibition on double counting.--The regulations
promulgated under this paragraph shall ensure that a kilowatt
hour associated with a renewable energy credit issued
pursuant to this subsection shall not be used for compliance
with this section more than once.
``(j) Recovery of Costs.--
``(1) In general.--The Commission shall issue and enforce
such regulations as are necessary to ensure that an electric
utility recovers all prudently incurred costs associated with
compliance with this section.
``(2) Applicable law.--A regulation under paragraph (1)
shall be enforceable in accordance with the provisions of law
applicable to enforcement of regulations under the Federal
Power Act (16 U.S.C. 791a et seq.).
``(k) Wind Energy Development Study.--The Secretary, in
consultation with appropriate Federal and State agencies,
shall conduct, and submit to Congress a report describing the
results of, a study on methods to increase transmission line
capacity for wind energy development.
``(l) Sunset.--This section expires on December 31,
2040.''.
(b) Table of Contents Amendment.--The table of contents of
the Public Utility Regulatory Policies Act of 1978 (16 U.S.C.
prec. 2601) is amended by adding at the end of the items
relating to title VI the following:
``Sec. 609. Rural and remote communities electrification grants.
``Sec. 610. Federal renewable portfolio standard.''.
______
SA 4841. Mr. SANDERS (for himself and Mr. Kerry) submitted an
amendment intended to be proposed by him to the bill S. 3036, to direct
the Administrator of the Environmental Protection Agency to establish a
program to decrease emissions of greenhouse gases, and for other
purposes; which was ordered to lie on the table; as follows:
At the end of subtitle D of title VIII, add the following:
SEC. 833. GRANTS FOR DEVELOPMENT OR CONSTRUCTION OF
CONCENTRATING SOLAR POWER PLANTS.
(a) Goal.--It is the goal of this section to add, over the
10-year period beginning on the date of enactment of this
Act, at least an additional 200,000 megawatts of renewable
electric power from concentrating solar power plants.
(b) Grants.--The Secretary of Energy, in consultation with
the Administrator, shall establish a program under which the
Secretary shall provide grants to eligible entities to pay
the Federal share of the cost of developing or constructing
concentrating solar power plants.
(c) Federal Share.--The Federal share of a grant under this
section shall be 12.5 percent of the cost of developing or
constructing a concentrating solar power plant.
(d) Relationship to Other Law.--The authority provided
under this section shall be in addition to any other
authority under which credits or other types of financial
assistance are provided for the development or construction
of a concentrating solar power plant.
(e) Allocation.--
(1) In general.--Notwithstanding section 551, not later
than 330 days before the beginning of each of calendar years
2012 through 2021, of the quantity of emission allowances
established pursuant to section 201(a) that are made
available under section 551 for each of those calendar years,
the Administrator shall allocate a percentage to provide
grants under this section.
(2) Quantities of emission allowances allocated.--The
quantities of emission allowances allocated pursuant to
paragraph (1) shall be the quantities represented by the
percentages in the following table:
----------------------------------------------------------------------------------------------------------------
Calendar year Percentage for grants for concentrating solar power plants
----------------------------------------------------------------------------------------------------------------
2012........................................... 9.7
2013........................................... 9.2
2014........................................... 8.7
2015........................................... 8.3
2016........................................... 8.1
2017........................................... 7.8
2018........................................... 7.6
2019........................................... 7.4
2020........................................... 7.3
2021........................................... 7.0.
----------------------------------------------------------------------------------------------------------------
______
SA 4842. Mr. ALLARD submitted an amendment intended to be proposed by
him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
Beginning on page 291, strike line 24 and all that follows
through page 292, line 16.
On page 301, line 12, strike ``(a) In General.--''.
On page 302, strike lines 6 through 22.
Beginning on page 306, strike line 17 and all that follows
through page 307, line 9.
______
SA 4843. Mr. ALLARD submitted an amendment intended to be proposed by
him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
On page 64, strike lines 6 through 12 and insert the
following:
(c) Legal Status.--
(1) In general.--An emission allowance shall constitute a
property right.
(2) Compensation.--The Administrator shall provide to the
holder of an emission allowance just compensation for the
termination or limitation of the emission allowance.
______
SA 4844. Mr. MENENDEZ (for himself and Mr. Kerry) submitted an
amendment intended to be proposed by him to the bill S. 3036, to direct
the Administrator of the Environmental Protection Agency to establish a
program to decrease emissions of greenhouse gases, and for other
purposes; which was ordered to lie on the table; as follows:
At the end of title XVI, add the following:
SEC. 16__. REPORT ON THE ECONOMIC IMPACTS OF CLIMATE CHANGE.
(a) In General.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall enter into an
arrangement with the National Academy of Sciences (referred
to in this section as the ``Academy''), under which the
Academy shall, not later than January 1, 2011, and every 5
years thereafter, submit to the Administrator and make
available to the public a report that assesses the costs of
climate change on the United States economy, including the
costs associated with hurricanes and other storms, drought,
hunger, water shortages, and coastal flooding.
(b) Initial Report.--
(1) Requirements.--The initial report required under
subsection (a) shall--
(A) include an analysis of the economic, social, and
environmental consequences of climate change in the United
States if action is not taken to reduce global greenhouse gas
emissions;
(B) take into account the risks of increased climate
volatility and major irreversible impacts of climate change;
(C) be organized by region of the United States;
(D) identify--
(i) the key economic and environmental effects from climate
change; and
(ii) the main impacts to be expected from climate change,
including impacts on--
(I) agriculture and forestry;
(II) the food supply;
(III) energy;
(IV) transportation;
(V) fisheries;
(VI) coastal impacts and habitability;
(VII) recreation and tourism;
(VIII) public health;
(IX) water quantity and quality;
(X) low-income consumers; and
(XI) ecosystems, such as forests, rivers, and lakes;
(E) include estimates of costs of the main impacts of
climate change identified under subparagraph (D)(ii);
(F) express in monetary terms the cost of climate change on
each sector of the economy on a regional basis and to the
United States as a whole;
(G) make predictions for the economic cost of climate
change in the United States for each decade beginning in 2020
and ending in 2100; and
(H) reference the latest information available from--
(i) the U.S. Global Change Research Program; and
(ii) the Intergovernmental Panel on Climate Change.
[[Page S5110]]
(2) Limitation.--The initial report shall not take into
account any possible adaptations to the effects of climate
change, including the construction of levies or other
infrastructure adjustments.
(c) Subsequent Reports.--In addition to including the
components required under subsection (b)(1), any report
submitted after the date of the initial report shall include
an estimate of the savings to the United States economy
achieved due to any reduced climate change impacts associated
with reductions in greenhouse gas emissions since the
submission of the previous report.
______
SA 4845. Mr. MENENDEZ (for himself, Mr. Lautenberg, and Mr. Sanders)
submitted an amendment intended to be proposed by him to the bill S.
3036, to direct the Administrator of the Environmental Protection
Agency to establish a program to decrease emissions of greenhouse
gases, and for other purposes; which was ordered to lie on the table;
as follows:
Beginning on page 196, strike line 15 and all that follows
through page 198, line 16.
At the end of section 614(d)(1), add the following:
(W) To promote the development of renewable-energy sources,
as defined in section 832(a).
At the end of section 614, add the following:
(e) Additional Allocation.--
(1) In general.--In addition to the allocation made under
subsection (a), not later than 330 days before the beginning
of each of calendar years 2012 through 2030, the
Administrator shall allocate a percentage of the quantity of
emission allowances established pursuant to section 201(a)
that are made available for that calendar year for
distribution to reduce greenhouse gas emissions and promote
renewable electricity generation in accordance with this
subsection.
(2) Quantities of emission allowances allocated.--The
quantities of emission allowances allocated pursuant to
paragraph (1) shall be the quantities represented by the
percentages in the following table:
------------------------------------------------------------------------
Percentage for
Calendar year additional
allocation
------------------------------------------------------------------------
2012................................................ 2
2013................................................ 2
2014................................................ 2
2015................................................ 2
2016................................................ 2
2017................................................ 2
2018................................................ 1
2019................................................ 1
2020................................................ 1
2021................................................ 1
2022................................................ 1
2023................................................ 1
2024................................................ 1
2025................................................ 1
2026................................................ 1
2027................................................ 1
2028................................................ 1
2029................................................ 1
2030................................................ 1
------------------------------------------------------------------------
(3) Use.--During any calendar year, of the total quantity
of allowances allocated to a State under this section, a
State shall use at least 25 percent to promote renewable
electricity generation under subsection (d)(1)(W).
In section 832(b), strike ``start-up, expansion, and
operation of the facilities'' and insert ``start-up or
expansion of the facilities''.
______
SA 4846. Mr. MENENDEZ (for himself and Mr. Kerry) submitted an
amendment intended to be proposed by him to the bill S. 3036, to direct
the Administrator of the Environmental Protection Agency to establish a
program to decrease emissions of greenhouse gases, and for other
purposes; which was ordered to lie on the table; as follows:
Strike the table that appears on page 193, before line 1,
and insert the following:
------------------------------------------------------------------------
Percentage for distribution among fossil
Calendar year fuel-fired electricity generators in
United States
------------------------------------------------------------------------
2012......................... 16.5
2013......................... 16.5
2014......................... 16.5
2015......................... 16.5
2016......................... 16.25
2017......................... 16
2018......................... 15.75
2019......................... 14.75
2020......................... 13.5
2021......................... 12
2022......................... 9.75
2023......................... 8.75
2024......................... 7.5
2025......................... 7.25
2026......................... 4.25
2027......................... 3
2028......................... 2.75
2029......................... 1.5
2030......................... 1.25.
------------------------------------------------------------------------
On page 426, strike lines 14 through 16 and insert the
following:
section--
(1) for each of calendar years 2012 through 2030, 2.5
percent of the aggregate quantity of emission allowances
established for the applicable calendar year pursuant to
section 201(a); and
(2) for each of calendar years 2031 through 2050, 1 percent
of the aggregate quantity of emission allowances established
for the applicable calendar year pursuant to section 201(a).
______
SA 4847. Mr. MENENDEZ (for himself, Mr. Lautenberg, and Mr. Sanders)
submitted an amendment intended to be proposed by him to the bill S.
3036, to direct the Administrator of the Environmental Protection
Agency to establish a program to decrease emissions of greenhouse
gases, and for other purposes; which was ordered to lie on the table;
as follows:
In section 551(a), strike``2030'' and insert ``2022''.
In section 551(b), strike the table and insert the
following:
------------------------------------------------------------------------
Percentage
for
distribution
among fossil
Calendar year fuel-fired
electricity
generators
in United
States
------------------------------------------------------------------------
2012...................................................... 18
2013...................................................... 16.25
2014...................................................... 14.5
2015...................................................... 12.75
2016...................................................... 11
2017...................................................... 9.25
2018...................................................... 7.5
2019...................................................... 5.75
2020...................................................... 4
2021...................................................... 2.25
2022...................................................... 0.5
------------------------------------------------------------------------
In section 552(a), strike``2030'' and insert ``2022''.
At the end of section 614(d)(1), add the following:
(W) To promote the development of renewable-energy sources,
as defined in section 832(a).
(X) To provide funding to pay the costs of training for
climate change adjustment assistance-eligible individuals
under section 535(h).
At the end of section 614, add the following:
(e) Additional Allocation.--
(1) In general.--In addition to the allocation made under
subsection (a), not later than 330 days before the beginning
of each of calendar years 2012 through 2030, the
Administrator shall allocate a percentage of the quantity of
emission allowances established pursuant to section 201(a)
that are made available for that calendar year for
distribution to reduce greenhouse gas emissions, promote
renewable electricity generation, assist low-income
consumers, train workers, and improve energy efficiency in
accordance with this subsection.
(2) Quantities of emission allowances allocated.--The
quantities of emission allowances allocated pursuant to
paragraph (1) shall be the quantities represented by the
percentages in the following table:
------------------------------------------------------------------------
Percentage
for
Calendar year additional
allocation
------------------------------------------------------------------------
2012........................................................ 0
2013........................................................ 1.75
2014........................................................ 3.5
2015........................................................ 5.25
2016........................................................ 6.75
2017........................................................ 8.25
2018........................................................ 9.75
2019........................................................ 10.5
2020........................................................ 11
2021........................................................ 11.25
2022........................................................ 10.75
2023........................................................ 10.25
2024........................................................ 9
2025........................................................ 8.75
2026........................................................ 5.75
2027........................................................ 4.5
2028........................................................ 4.25
2029........................................................ 3
[[Page S5111]]
2030........................................................ 2.75
------------------------------------------------------------------------
(3) Use.--During any calendar year, of the total quantity
of allowances allocated to a State under this section, a
State shall use--
(A) at least 20 percent to promote renewable electricity
generation under subsection (d)(1)(W);
(B) at least 10 percent to promote energy efficiency under
subsection (d)(1)(B);
(C) at least 15 percent to train workers under subsection
(d)(1)(X); and
(D) at least 5 percent to mitigate impacts on low-income
energy consumers under subsection (d)(1)(A).
In section 832(b), strike ``start-up, expansion, and
operation of the facilities'' and insert ``start-up or
expansion of the facilities''.
______
SA 4848. Mr. NELSON of Nebraska submitted an amendment intended to be
proposed by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. ___. NATIONAL COMMISSION ON ENERGY POLICY AND GLOBAL
CLIMATE CHANGE.
(a) Establishment.--There is established a commission, to
be known as the ``National Commission on Energy Policy and
Global Climate Change'' (referred to in this section as the
``Commission'').
(b) Purposes.--The purposes of the Commission are--
(1) to examine all aspects of the national energy situation
and related policies in order to develop a comprehensive,
economy-wide policy approach to energy issues;
(2) to examine relevant data relating to global climate
change, including impacts of human activities; and
(3) to report to Congress and the President the findings,
conclusions, and recommendations of the Commission for
legislation to establish a comprehensive national energy
policy that ensures national energy security and
significantly reduces greenhouse gas emissions in order to
address global climate change without damaging the economy.
(c) Composition.--
(1) Membership.--The Commission shall be composed of 12
members, of whom--
(A) 1 shall be jointly appointed by the Majority Leader of
the Senate and the Speaker of the House of Representatives,
who shall serve as Chairperson of the Commission;
(B) 1 shall be jointly appointed by the Minority Leader of
the Senate and the Minority Leader of the House of
Representatives, who shall serve as Vice-Chairperson of the
Commission;
(C) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Environment and Public
Works of the Senate;
(D) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Natural Resources of the
House of Representatives, in consultation with the Select
Committee on Energy Independence and Global Warming of the
House of Representatives;
(E) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Energy and Natural
Resources of the Senate;
(F) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Energy and Commerce of the
House of Representatives;
(G) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Commerce, Science, and
Transportation of the Senate;
(H) 1 shall be jointly appointed by the Chairpersons and
Ranking Members of the Committees on Science and Technology
and Transportation and Infrastructure of the House of
Representatives;
(I) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Agriculture, Nutrition,
and Forestry of the Senate;
(J) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Agriculture of the House
of Representatives;
(K) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Finance of the Senate; and
(L) 1 shall be jointly appointed by the Chairperson and
Ranking Member of the Committee on Ways and Means of the
House of Representatives.
(2) Qualifications.--
(A) Political party affiliation.--An appointment of a
member of the Commission under paragraph (1) shall be made--
(i) without regard to the political party affiliation of
the member; and
(ii) on a nonpartisan basis.
(B) Nongovernmental appointees.--A member appointed to the
Commission under paragraph (1) shall not be an officer or
employee of--
(i) the Federal Government; or
(ii) any unit of State or local government.
(C) Sense of congress regarding other qualifications.--It
is the sense of Congress that members appointed to the
Commission under paragraph (1) should be prominent,
nationally recognized United States citizens, with a
significant depth of experience in professions such as
governmental service, science, energy, economics, the
environment, agriculture, manufacturing, public
administration, and commerce (including aviation matters).
(3) Deadline for appointments.--All members of the
Commission shall be appointed by not later than 90 days after
the date of enactment of this Act.
(4) Meetings.--
(A) Initial meeting.--The Commission shall hold the initial
meeting of the Commission as soon as practicable, and not
later than 60 days, after the date on which all members of
the Commission are appointed.
(B) Subsequent meetings.--After the initial meeting under
subparagraph (A), the Commission shall meet at the call of--
(i) the Chairperson; or
(ii) a majority of the members of the Commission.
(5) Quorum.--7 members of the Commission shall constitute a
quorum.
(6) Vacancies.--A vacancy on the Commission--
(A) shall not affect the powers of the Commission; and
(B) shall be filled in the same manner in which the
original appointment was made.
(d) Duties.--
(1) In general.--The Commission shall--
(A) study and evaluate relevant data, studies, and
proposals relating to national energy policies and policies
to address global climate change, including any relevant
legislation, Executive order, regulation, plan, policy,
practice, or procedure relating to--
(i) domestic production and consumption of energy from all
sources and imported sources of energy, particularly oil and
natural gas;
(ii) domestic and international oil and gas exploration,
production, refining, and pipelines and other forms of
infrastructure and transportation;
(iii) energy markets, including energy market speculation,
transparency, and oversight;
(iv) the structure of the energy industry, including the
impacts of consolidation, antitrust, and oligopolistic
concerns, market manipulation and collusion concerns, and
other similar matters;
(v) electricity production and transmission issues,
including fossil fuels, renewable energy, energy efficiency,
and energy conservation matters;
(vi) transportation fuels, biofuels and other renewable
fuels, fuel cells, motor vehicle power systems, efficiency,
and conservation; and
(vii) nuclear energy, including matters relating to
permitting, regulation, and legal liability;
(B) examine relevant data relating to global climate change
and the national and global environment, including--
(i) the impacts on the global climate system and the
environment of human activities, particularly greenhouse gas
emissions and pollution; and
(ii) the consequences of global climate change on humans
and other species, particularly consequences to the national
security, economy, and public health and safety of the United
States;
(C) identify, review, and evaluate the lessons of past
energy policies, energy crises, environmental problems, and
attempts to address global climate change;
(D) evaluate proposals for energy and global climate change
policies, including proposals developed by Members of
Congress, congressional Committees, relevant Federal,
regional, and State government agencies, nongovernmental
organizations, independent organizations, and international
organizations, with the goal of expanding those proposals to
develop a blueprint for comprehensive energy and global
climate change legislation; and
(E) submit to Congress and the President the reports
required under subsection (h).
(2) Relationship to efforts of congress.--The Commission
shall--
(A) review the information compiled by, and the findings,
conclusions, and recommendations of, congressional Committees
of relevant jurisdiction; and
(B) based on the results of the review, pursue any
appropriate inquiry that the Commission determines to be
necessary to carry out the duties of the Commission under
paragraph (1).
(e) Powers.--
(1) In general.--
(A) Rules.--The Commission may establish such rules
relating to administrative procedures as are reasonably
necessary to enable the Commission to carry out this section.
(B) Hearings and evidence.--
(i) In general.--The Commission or any subcommittee or
member of the Commission may, for the purpose of carrying out
this section--
(I) hold such hearings and sit and act at such times and
places, take such testimony, receive such evidence, and
administer such oaths as the Commission determines to be
appropriate; and
(II) subject to paragraph (2)(A), require, by subpoena or
otherwise, the attendance and testimony of such witnesses and
the production of such books, records, correspondence,
[[Page S5112]]
memoranda, papers, and documents, as the Commission
determines to be necessary.
(ii) Public requirement.--In accordance with applicable
laws (including regulations) and Executive orders regarding
protection of information acquired by the Commission, the
Commission shall ensure that, to the maximum extent
practicable--
(I) all hearings of the Commission are open to the public,
including by--
(aa) providing live and recorded public access to hearings
on the Internet; and
(bb) publishing all transcripts and records of hearings at
such time and in such manner as is agreed to by the majority
of members of the Commission; and
(II) all findings and reports of the Commission are made
public.
(2) Subpoenas.--
(A) Issuance.--
(i) In general.--A subpoena may be issued under this
subsection only--
(I) on agreement of the Chairperson and Vice-Chairperson of
the Commission; or
(II) on the affirmative vote of at least 6 members of the
Commission.
(ii) Signature.--Subject to clause (i), a subpoena issued
under this paragraph may be--
(I) issued under the signature of the Chairperson of the
Commission (or a designee who is a member of the Commission);
and
(II) served by any individual or entity designated by the
Chairperson or designee.
(B) Enforcement.--
(i) In general.--In the case of contumacy or failure to
obey a subpoena issued under subparagraph (A), the United
States district court for the judicial district in which the
subpoenaed individual or entity resides, is served, or may be
found, or to which the subpoena is returnable, may issue an
order requiring the individual or entity to appear at a
designated place to testify or to produce documentary or
other evidence.
(ii) Failure to obey.--
(I) In general.--A failure to obey the order of a United
States district court under clause (i) may be punished by the
United States district court as a contempt of the court.
(II) Enforcement by commission.--In the case of failure of
a witness to comply with a subpoena, or to testify if
summoned pursuant to this paragraph--
(aa) the Commission, by majority vote, may certify to the
appropriate United States Attorney a statement of fact
regarding the failure; and
(bb) the United States Attorney may bring the matter before
the grand jury for action in accordance with sections 102
through 104 of the Revised Statutes (2 U.S.C. 192 et seq.).
(3) Contracting.--To the extent amounts are made available
in appropriations Acts, the Commission may enter into
contracts to assist the Commission in carrying out the duties
of the Commission under this section.
(4) Information from federal agencies.--
(A) In general.--The Commission may secure directly from a
Federal agency such information as the Commission considers
to be necessary to carry out this section.
(B) Provision of information.--On request of the
Chairperson of the Commission, the head of the agency shall
provide the information to the Commission.
(C) Treatment.--Information provided to the Commission
under this paragraph shall be received, handled, stored, and
disseminated by members and staff of the Commission in
accordance with applicable law (including regulations) and
Executive orders.
(5) Assistance from federal agencies.--
(A) General services administration.--The Administrator of
General Services shall provide to the Commission, on a
reimbursable basis, administrative support and other services
to assist the Commission in carrying out the duties of the
Commission under this section.
(B) Other departments and agencies.--In addition to the
assistance described in subparagraph (A), any other Federal
department or agency may provide to the Commission such
services, funds, facilities, staff, and other support as the
head of the department or agency determines to be
appropriate.
(6) Postal services.--The Commission may use the United
States mails in the same manner and under the same conditions
as other agencies of the Federal Government.
(7) Gifts.--The Commission may accept, use, and dispose of
gifts or donations of services or property only in accordance
with the ethical rules applicable to congressional officers
and employees.
(8) Volunteer services.--
(A) In general.--Notwithstanding section 1342 of title 31,
United States Code, the Commission may accept and use the
services of volunteers serving without compensation.
(B) Reimbursement.--The Commission may reimburse a
volunteer for office supplies, local travel expenses, and
other travel expenses, including per diem in lieu of
subsistence, in accordance with section 5703 of title 5,
United States Code.
(C) Treatment.--A volunteer of the Commission shall be
considered to be an employee of the Federal Government in
carrying out activities for the Commission, for purposes of--
(i) chapter 81 of title 5, United States Code;
(ii) chapter 11 of title 18, United States Code; and
(iii) chapter 171 of title 28, United States Code.
(f) Commission Personnel Matters.--
(1) Compensation of members.--A member of the Commission
shall be compensated at a rate equal to the daily equivalent
of the annual rate of basic pay prescribed for level IV of
the Executive Schedule under section 5315 of title 5, United
States Code, for each day (including travel time) during
which the member is engaged in the performance of the duties
of the Commission.
(2) Travel expenses.--A member of the Commission shall be
allowed travel expenses, including per diem in lieu of
subsistence, at rates authorized for an employee of an agency
under subchapter I of chapter 57 of title 5, United States
Code, while away from the home or regular place of business
of the member in the performance of the duties of the
Commission.
(3) Staff.--
(A) In general.--The Chairperson of the Commission may,
without regard to the civil service laws (including
regulations), appoint and terminate an executive director and
such other additional personnel as are necessary to enable
the Commission to perform the duties of the Commission.
(B) Confirmation of executive director.--The employment of
an executive director shall be subject to confirmation by the
Commission.
(C) Compensation.--
(i) In general.--Except as provided in clause (ii), the
Chairperson of the Commission may fix the compensation of the
executive director and other personnel without regard to the
provisions of chapter 51 and subchapter III of chapter 53 of
title 5, United States Code, relating to classification of
positions and General Schedule pay rates.
(ii) Maximum rate of pay.--The rate of pay for the
executive director and other personnel shall not exceed the
rate payable for level V of the Executive Schedule under
section 5316 of title 5, United States Code.
(D) Status.--The executive director and any employee (not
including any member) of the Commission shall be considered
to be employees under section 2105 of title 5, United States
Code, for purposes of chapters 63, 81, 83, 84, 85, 87, 89,
and 90 of that title.
(E) Consultant services.--The Commission may procure the
services of experts and consultants in accordance with
section 3109 of title 5, United States Code, at rates not to
exceed the daily rate paid to an individual occupying a
position at level IV of the Executive Schedule under section
5315 of title 5, United States Code.
(g) Nonapplicability of FACA.--The Federal Advisory
Committee Act (5 U.S.C. App.) shall not apply to the
Commission.
(h) Reports.--
(1) Interim reports.--Not later than June 1, 2009, and
thereafter as the Commission determines to be appropriate,
the Commission shall submit to Congress and the President an
interim report describing the findings and recommendations
agreed to by a majority of members of the Commission during
the period beginning on the date on which, as applicable--
(A) all members of the Commission are appointed under
subsection (c); or
(B) the most recent interim report was submitted under this
paragraph.
(2) Final report.--Not later than 18 months after the date
on which all members of the Commission are appointed under
subsection (c), the Commission shall submit to Congress and
the President a final report establishing a plan for
development of legislation for a comprehensive national
policy relating to energy security that--
(A) addresses global climate change; and
(B) describes the findings and recommendations agreed to by
a majority of members of the Commission.
(i) Authorization of Appropriations.--There are authorized
to be appropriated to the Commission such sums as are
necessary to carry out this section, to remain available
until the later of--
(1) the date on which the funds are expended; or
(2) the date of termination of the Commission under
subsection (j).
(j) Termination.--
(1) In general.--The Commission shall terminate on the date
that is 60 days after the date on which the final report is
submitted under subsection (h)(2).
(2) Administrative activities before termination.--During
the 60-day period described in paragraph (1), the Commission
may conclude the activities of the Commission, including--
(A) providing testimony to appropriate committees of
Congress regarding the reports of the Commission; and
(B) publishing the final report of the Commission.
______
SA 4849. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of title XVII, add the following:
Subtitle H--Committees of Appropriate Jurisdiction
SEC. 1771. COMMITTEES OF APPROPRIATE JURISDICTION.
No revenue or outlays may be disbursed from any fund
established in the Treasury of the United States by this Act,
except pursuant to legislation reported by the congressional
Committees of appropriate jurisdiction and subsequently
enacted by Congress.
[[Page S5113]]
______
SA 4850. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
On page 31, between lines 9 and 10, insert the following:
(50) Tax relief fund.--The term ``Tax Relief Fund'' means
the fund established by section 581.
On page 31, line 10, strike ``(50)'' and insert ``(51)''.
On page 31, line 14, strike ``(51)'' and insert ``(52)''.
On page 161, strike lines 9 through 12.
On page 161, lines 15 and 16, strike ``Climate Change
Worker Training and Assistance'' and insert ``Tax Relief
Fund''.
On page 161, lines 23 and 24, strike ``Climate Change
Worker Training and Assistance'' and insert ``Tax Relief
Fund''.
In the heading of the right column of the table contained
on page 162, after line 17, strike ``Climate Change Worker
Training and Assistance'' and insert ``Tax Relief Fund''.
On page 163, lines 4 and 5, strike ``Climate Change Worker
Training and Assistance'' and insert ``Tax Relief Fund''.
Beginning on page 163, strike line 6 and all that follows
through page 183, line 3.
On page 201, strike lines 20 through 23 and insert the
following:
SEC. 581. ESTABLISHMENT OF TAX RELIEF FUND.
There is established in the Treasury of the United States a
fund, to be known as the ``Tax Relief Fund''.
On page 202, strike lines 3 and 4 and insert the following:
(b) and (c) and in addition to other auctions conducted
pursuant to this Act, to raise funds for deposit in the Tax
Relief Fund, for each of calendar
On page 202, lines 10 and 11, strike ``Climate Change
Consumer Assistance'' and insert ``Tax Relief Fund''.
In the heading of the right column of the table contained
on page 203, after line 2, strike ``Climate Change Consumer
Assistance'' and insert ``Tax Relief Fund''.
On page 204, lines 1 and 2, strike ``Climate Change
Consumer Assistance'' and insert ``Tax Relief Fund''.
On page 204, strike lines 3 through 14 and insert the
following:
SEC. 584. SENSE OF SENATE REGARDING USE OF AMOUNTS IN TAX
RELIEF FUND.
It is the Sense of the Senate that the Secretary of the
Treasury should use amounts deposited in the Tax Relief Fund
pursuant to this Act for each calendar year to provide tax
relief to consumers in the United States.
Beginning on page 204, strike line 22 and all that follows
through page 217, line 4, and insert the following:
SEC. 601. AUCTIONS FOR TAX RELIEF.
(a) Auction.--
(1) First period.--Not later than 330 days before the
beginning of calendar year 2012, the Administrator shall
auction 12.75 percent of the quantity of emission allowances
established pursuant to section 201(a) for that calendar
year.
(2) Second period.--Not later than 330 days before the
beginning of each of calendar years 2013 through 2025, the
Administrator shall auction 13 percent of the quantity of
emission allowances established pursuant to section 201(a)
for that calendar year.
(3) Third period.--Not later than 330 days before the
beginning of each of calendar years 2026 through 2050, the
Administrator shall auction 13.5 percent of the quantity of
emission allowances established pursuant to section 201(a)
for that calendar year.
(b) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to subsection (a) in
the Tax Relief Fund for use in accordance with section 584.
On page 217, strike lines 8 through 16 and insert the
following:
(1) In general.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2050, the
Administrator shall auction a percentage of the quantity of
emission allowances established pursuant to section 201(a)
for the applicable calendar year, in accordance with the
table contained in paragraph (2).
On page 217, line 19, strike ``allocate to States described
in'' and insert ``auction under''.
In the heading of the right column of the table contained
on page 217, after line 21, strike ``allocation among States
relying heavily on manufacturing and on coal'' and insert
``auction''.
Beginning on page 218, strike line 1 and all that follows
through page 222, line 4, and insert the following:
(b) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to subsection (a) in
the Tax Relief Fund, for use in accordance with section 584.
Beginning on page 222, strike line 8 and all that follows
through page 223, line 11, and insert the following:
SEC. 611. AUCTIONS FOR TAX RELIEF.
(a) Auction of Allowances.--In accordance with subsections
(b) and (c), for each of calendar years 2012 through 2050,
the Administrator shall auction a quantity of the emission
allowances established pursuant to section 201(a) for each
calendar year.
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
(c) Quantities of Emission Allowances Auctioned.--For each
calendar year of the period described in subsection (a), the
Administrator shall auction a quantity of emission allowances
in accordance with the applicable percentages described in
the following table:
In the heading of the right column of the table contained
on page 223, after line 11, strike ``for public
transportation''.
Beginning on page 224, strike line 1 and all that follows
through page 228, line 25, and insert the following:
(d) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
On page 240, strike lines 5 through 17 and insert the
following:
(a) In General.--In accordance with subsection (b), for
each of calendar years 2012 through 2050, the Administrator
shall--
(1) auction 2 percent of the emission allowances
established pursuant to section 201(a) for the calendar year;
and
(2) immediately on completion of an auction, deposit the
proceeds of the auction in the Tax Relief Fund, for use in
accordance with section 584.
On page 241, strike lines 6 through 21 and insert the
following:
(a) Auction.--
(1) In general.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2050, the
Administrator shall auction a percentage of the quantity of
emission allowances established pursuant to section 201(a)
for the applicable calendar year, in accordance with
paragraph (2).
(2) Percentages for auction.--For each of calendar years
2012 through 2050, the Administrator shall auction in
accordance with paragraph (1) the percentage of emission
allowances specified in the following table:
In the heading of the right column of the table contained
on page 241, after line 21, strike ``State leaders in
reducing greenhouse gas emissions and improving energy
efficiency'' and insert ``auction''.
Beginning on page 242, strike line 1 and all that follows
through page 249, line 9, and insert the following:
(b) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
On page 249, strike lines 13 through 24 and insert the
following:
SEC. 621. AUCTIONS.
(a) In General.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2050, the
Administrator shall auction a percentage of the quantity of
emission allowances established pursuant to section 201(a)
for the applicable calendar year, in accordance with
subsection (b).
(b) Percentages for Allocation.--For each of calendar years
2012 through 2050, the Administrator shall auction in
accordance with subsection (a) the per-
In the heading of the right column of the table contained
on page 250, after line 2, strike ``States and Indian tribes
for adaptation activities'' and insert ``auction''.
Beginning on page 250, strike line 3 and all that follows
through page 267, line 11, and insert the following:
SEC. 622. USE OF PROCEEDS.
The Administrator shall deposit all proceeds of auctions
conducted pursuant to this subtitle, immediately on receipt
of those proceeds, in the Tax Relief Fund, for use in
accordance with section 584.
Beginning on page 283, strike line 14 and all that follows
through page 292, line 16, and insert the following:
SEC. 801. AUCTIONS FOR TAX RELIEF.
(a) First Period.--Not later than 330 days before the
beginning of each of calendar years 2012 through 2030, the
Administrator shall auction 6.25 percent of the emission
allowances established pursuant to section 201(a) for that
calendar year.
(b) Second Period.--Not later than 330 days before the
beginning of each of calendar years 2031 through 2050, the
Administrator shall auction 3.25 percent of the emission
allowances established pursuant to section 201(a) for that
calendar year.
(c) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
Beginning on page 292, strike line 22 and all that follows
through page 302, line 22, and insert the following:
SEC. 901. AUCTIONS FOR TAX RELIEF.
(a) First Period.--
(1) In general.--For each of calendar years 2012 through
2021, the Administrator shall auction 1.75 percent of the
quantity of emission allowances established pursuant to
section 201(a) for the calendar year, in accordance with
paragraph (2).
[[Page S5114]]
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(b) Second Period.--
(1) In general.--For each of calendar years 2022 through
2030, the Administrator shall auction 2 percent of the
quantity of emission allowances established pursuant to
section 201(a) for the calendar year, in accordance with
paragraph (2).
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(c) Third Period.--
(1) In general.--For each of calendar years 2031 through
2050, the Administrator shall auction 1 percent of the
quantity of emission allowances established pursuant to
section 201(a) for the calendar year, in accordance with
paragraph (2).
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(d) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
Beginning on page 303, strike line 2 and all that follows
through page 304, line 7, and insert the following:
SEC. 911. AUCTIONS FOR TAX RELIEF.
(a) In General.--For each of calendar years 2012 through
2050, the Administrator shall auction 0.25 percent of the
quantity of emission allowances established pursuant to
section 201(a) for the calendar year, in accordance with
subsection (b).
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
(c) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
Beginning on page 304, strike line 9 and all that follows
through page 307, line 19, and insert the following:
Subtitle A--Auctions for Tax Relief
SEC. 1001. AUCTIONS FOR TAX RELIEF.
(a) In General.--Not later than 120 days after the date of
enactment of this Act, and annually thereafter through 2022,
the Administrator shall auction 1 percent of the quantity of
emission allowances established pursuant to section 201(a)
for the calendar year that occurs 3 years after the calendar
year during which the auction is conducted.
(b) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
SEC. 1002. ADDITIONAL AUCTIONS.
(a) In General.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall auction
In the heading of the right column of the table contained
on page 307, after line 22, strike ``allocation to Bonus
Allowance Account'' and insert ``auction''.
Beginning on page 308, strike line 1 and all that follows
through page 318, line 4, and insert the following:
(b) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
Beginning on page 330, strike line 8 and all that follows
through page 332, line 9, and insert the following:
SEC. 1101. AUCTIONS FOR TAX RELIEF.
(a) In General.--Not later than 2 years after the date of
enactment of this Act, the Administrator shall auction 0.5
percent of the quantity of emission allowances established
pursuant to section 201(a) for calendar years 2012 through
2017.
(b) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
Beginning on page 332, strike line 12 and all that follows
through page 338, line 5, and insert the following:
SEC. 1111. AUCTIONS.
(a) In General.--For each of calendar years 2012 through
2050, the Administrator shall auction 1 percent of the
quantity of emission allowances established pursuant to
section 201(a) for the calendar year, in accordance with
subsection (b).
(b) Number; Frequency.--For each calendar year during the
period described in subsection (a), the Administrator shall--
(1) conduct not fewer than 4 auctions; and
(2) schedule the auctions in a manner to ensure that--
(A) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(B) the interval between each auction is of equal duration.
(c) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
Beginning on page 338, strike line 7 and all that follows
through page 340, line 21, and insert the following:
SEC. 1121. AUCTIONS FOR TAX RELIEF.
(a) Auctions.--
(1) First period.--Not later than 330 days before the
beginning of each of calendar years 2012 and 2013, the
Administrator shall auction 1 percent of the emission
allowances established pursuant to section 201(a) for that
calendar year.
(2) Second period.--Not later than 330 days before the
beginning of each of calendar years 2014 through 2017, the
Administrator shall auction 0.75 percent of the emission
allowances established pursuant to section 201(a) for that
calendar year.
(3) Third period.--Not later than 330 days before the
beginning of each of calendar years 2018 through 2030, the
Administrator shall auction 1 percent of the emission
allowances established pursuant to section 201(a) for that
calendar year.
(b) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
Beginning on page 426, strike line 1 and all that follows
through page 442, line 2, and insert the following:
SEC. 1312. AUCTIONS FOR TAX RELIEF.
(a) Auctions.--For each of calendar years 2012 through
2050, the Administrator shall auction a quantity of
allowances described in subsection (b) established pursuant
to section 201(a) for that calendar year.
(b) Quantity of Allowances.--The quantity of allowances
referred to in subsection (a) is, with respect to each
applicable calendar year--
(1) 1 percent of the quantity of emission allowances
established for that calendar year; and
(2) of the quantity of offset allowances established for
that calendar year--
(A) the number of offset allowances that the Administrator
determines to be appropriate; but
(B) in no case more than 10 percent of the quantity of
emission allowances established for that calendar year.
(c) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
SEC. 1313. ADDITIONAL AUCTIONS.
(a) Auctions.--
(1) In general.--For each of calendar years 2012 through
2017, the Administrator shall auction 0.5 percent of the
emission allowances established pursuant to section 201(a)
for the calendar year, in accordance with paragraph (2).
(2) Number; frequency.--For each calendar year during the
period described in paragraph (1), the Administrator shall--
(A) conduct not fewer than 4 auctions; and
(B) schedule the auctions in a manner to ensure that--
(i) each auction takes place during the period beginning
330 days before, and ending 60 days before, the beginning of
each calendar year; and
(ii) the interval between each auction is of equal
duration.
(b) Use of Proceeds.--The Administrator shall deposit all
proceeds of auctions conducted pursuant to this section,
immediately on receipt of those proceeds, in the Tax Relief
Fund, for use in accordance with section 584.
______
SA 4851. Mr. BARRASSO submitted an amendment intended to be proposed
by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
[[Page S5115]]
At the end of title XII, add the following:
Subtitle E--Carbon Output Reduction Plans for National Forest Land and
Resource Management Areas
SEC. 1241. CARBON OUTPUT REDUCTION PLANS.
(a) Definitions.--In this section:
(1) Management plan.--The term ``management plan'' means--
(A) a National Forest management plan under--
(i) the Forest and Rangeland Renewable Resources Planning
Act of 1974 (16 U.S.C. 1600 et seq.); and
(ii) the National Forest Management Act of 1976 (16 U.S.C.
1600 et seq.); and
(B) a resource management plan under the Federal Land
Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.).
(2) Secretary.--The term ``Secretary'' means--
(A) with respect to subsection (b), the Secretary of
Agriculture (acting through the Chief of the Forest Service);
and
(B) with respect to subsection (c) the Secretary of the
Interior (acting through the Director of the Bureau of Land
Management).
(b) National Forest Land Managed by the Secretary of
Agriculture.--
(1) Carbon output reduction plans.--
(A) In general.--Not later than 1 year after the date of
enactment of this Act, in accordance with subparagraph (B),
the Secretary shall require the forest supervisor of each
National Forest to amend the management plan of the National
Forest under the jurisdiction of the forest supervisor to
develop and carry out a carbon output reduction plan to
reduce the quantity of carbon output generated by hazardous
fuels and wildfires, to the maximum extent practicable, by--
(i) as of January 1, 2015, 10 percent;
(ii) as of January 1, 2020, 25 percent; and
(iii) as of January 1, 2050, 50 percent.
(B) Carbon output baseline.--
(i) In general.--In developing a carbon output reduction
plan under subparagraph (A), the forest supervisor of each
National Forest shall include in the carbon output reduction
plan applicable to the National Forest under the jurisdiction
of the forest supervisor a carbon output baseline developed
in accordance with clause (ii).
(ii) Baseline methodology.--
(I) In general.--In developing a carbon output baseline
under clause (i), each forest supervisor of a National Forest
shall base the carbon output baseline for the National Forest
on the average annual quantity of carbon output generated by
the National Forest during the most recent 5 calendar-year
period for which data are available.
(II) Prescribed burns and wildland fire use fires.--In
developing a carbon output baseline under clause (i), each
forest supervisor of a National Forest shall not consider
carbon output generated as the result of prescribed burns or
wildland fire use fires in the National Forest.
(iii) Use.--Each forest supervisor of a National Forest
shall use the carbon output baseline applicable to the
National Forest to determine the reduction of carbon output
generated by the National Forest for each calendar year.
(2) Authorized forms of payment.--In carrying out a carbon
output reduction plan under paragraph (1), a forest
supervisor of a National Forest may enter into a contract
with an appropriate individual or entity to allow the
individual or entity to perform services in exchange for any
form of payment authorized by the forest supervisor
(including any goods-for-services contract or stewardship
contract).
(c) Resource Management Areas Managed by the Secretary of
the Interior.--
(1) Carbon output reduction plans.--
(A) In general.--Not later than 1 year after the date of
enactment of this Act, in accordance with subparagraph (B),
the Secretary shall require the district director of each
resource management area that the Secretary determines to be
extensively forested to amend the management plan of the
resource management area under the jurisdiction of the
district director to develop and carry out a carbon output
reduction plan to reduce the quantity of carbon output
generated by hazardous fuels and wildfires, to the maximum
extent practicable, by--
(i) as of January 1, 2015, 10 percent;
(ii) as of January 1, 2020, 25 percent; and
(iii) as of January 1, 2050, 50 percent.
(B) Carbon output baseline.--
(i) In general.--In developing a carbon output reduction
plan under subparagraph (A), the district director of each
resource management area described in subparagraph (A) shall
include in the carbon output reduction plan applicable to the
resource management area under the jurisdiction of the
district director a carbon output baseline developed in
accordance with clause (ii).
(ii) Baseline methodology.--
(I) In general.--In developing a carbon output baseline
under clause (i), each district director of a resource
management area described in subparagraph (A) shall base the
carbon output baseline for the resource management area on
the average annual quantity of carbon output generated by the
resource management area during the most recent 5 calendar-
year period for which data are available.
(II) Prescribed burns and wildland fire use fires.--In
developing a carbon output baseline under clause (i), each
district director of a resource management area described in
subparagraph (A) shall not consider carbon output generated
as the result of prescribed burns or wildland fire use fires
in the resource management area.
(iii) Use.--Each district director of a resource management
area described in subparagraph (A) shall use the carbon
output baseline applicable to the resource management area to
determine the reduction of carbon output generated by the
resource management area for each calendar year.
(2) Authorized forms of payment.--In carrying out a carbon
output reduction plan under paragraph (1), a district
director of a resource management area may enter into a
contract with an appropriate individual or entity to allow
the individual or entity to perform services in exchange for
any form of payment authorized by the district director
(including any goods-for-services contract or stewardship
contract).
______
SA 4852. Mr. BARRASSO submitted an amendment intended to be proposed
by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
Strike the table that begins on page 183, after line 18,
and ends on page 184, before line 1, and insert the
following:
------------------------------------------------------------------------
Percentage for distribution
among carbon-intensive
Calendar Year manufacturing facilities in
United States
------------------------------------------------------------------------
2012....................................... 12
2013....................................... 12
2014....................................... 12
2015....................................... 12
2016....................................... 12
2017....................................... 12
2018....................................... 12
2019....................................... 12
2020....................................... 12
2021....................................... 12
2022....................................... 11
2023....................................... 10
2024....................................... 8
2025....................................... 7
2026....................................... 6
2027....................................... 5
2028....................................... 4
2029....................................... 3
2030....................................... 2.
------------------------------------------------------------------------
On page 184, line 16, insert ``and nonfuel minerals'' after
``metals''.
Strike the table that begins on page 458, after line 5, and
insert the following:
------------------------------------------------------------------------
Percentage for auction for Deficit
Calendar year Reduction Fund
------------------------------------------------------------------------
2012......................... 4.75
2013......................... 4.75
2014......................... 4.75
2015......................... 5.50
2016......................... 5.75
2017......................... 5.75
2018......................... 6.25
2019......................... 6
2020......................... 7
2021......................... 8.5
2022......................... 7.75
2023......................... 8.75
2024......................... 9.75
2025......................... 9.75
2026......................... 11.75
2027......................... 11.75
2028......................... 11.75
2029......................... 12.75
2030......................... 12.75
2031......................... 19.75
2032......................... 17.75
2033......................... 17.75
2034......................... 16.75
2035......................... 16.75
2036......................... 16.75
2037......................... 16.75
2038......................... 16.75
2039......................... 16.75
2040......................... 16.75
2041......................... 16.75
2042......................... 16.75
2043......................... 16.75
2044......................... 16.75
2045......................... 16.75
2046......................... 16.75
2047......................... 16.75
2048......................... 16.75
2049......................... 16.75
2050......................... 16.75.
------------------------------------------------------------------------
______
SA 4853. Mr. BARRASSO submitted an amendment intended to be proposed
by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of subtitle B of title X, add the following:
[[Page S5116]]
SEC. 10__. ADVANCED COAL AND SEQUESTRATION TECHNOLOGIES
PROGRAM.
(a) Advanced Coal Technologies.--
(1) Definitions.--In this section:
(A) Advanced coal generation technology.--Subject to
paragraph (2), the term ``advanced coal generation
technology'' means an advanced coal-fueled power plant
technology that meets 1 of the following performance
standards for limiting carbon dioxide emissions from an
electric generation unit on an annual average basis, as
determined by the Climate Change Technology Board:
(i) For an electric generation unit that is not a new
entrant and that commences operation of carbon capture and
sequestration equipment not later than December 31, 2015--
(I) treatment of at least the quantity of flue gas
equivalent to 100 megawatts of the output of the electric
generation unit; and
(II) a capability of capturing and sequestering at least 85
percent of the carbon dioxide in that flue gas.
(ii) For an electric generation unit that is not a new
entrant and that commences operation of carbon capture and
sequestration equipment after December 31, 2016, achievement
of an average annual emission rate of not more than 1,200
pounds of carbon dioxide per megawatt-hour of net electricity
generation, after subtracting the carbon dioxide that is
captured and sequestered.
(iii) For a new entrant electric generation unit for which
construction of the unit commenced prior to July 1, 2018,
achievement of an average annual emission rate of not more
than 800 pounds of carbon dioxide per megawatt-hour of net
electricity generation, after subtracting the carbon dioxide
that is captured and sequestered.
(iv) For a new entrant electric generation unit for which
construction of the unit commenced on or after July 1, 2018,
achievement of an average annual emissions rate of not more
than 350 pounds of carbon dioxide per megawatt-hour of net
electricity generation, after subtracting the carbon dioxide
that is captured and sequestered.
(v) For any unit at a covered entity that is not an
electric generation unit, achievement of an average annual
emission rate that is achieved by the capture and
sequestration of a minimum of 85 percent of the total carbon
dioxide emissions produced by the unit.
(B) Commenced.--The term ``commenced'', with respect to
construction, means that an owner or operator has--
(i) obtained the necessary permits to carry out a
continuous program of construction; and
(ii) entered into a binding contractual obligation, with
substantial financial penalties for cancellation, to
undertake such a program.
(C) Construction.--The term ``construction'', with respect
to a carbon capture and sequestration project, means the
fabrication, erection, or installation of technology for the
project.
(2) Adjustment of performance standards.--
(A) In general.--The Climate Change Technology Board may
adjust the emission performance standards for a carbon
capture and sequestration project under paragraph (1)(A) for
an electric generation unit that uses subbituminous coal,
lignite, or petroleum coke in significant amounts.
(B) Requirement.--If the Climate Change Technology Board
adjusts a standard under subparagraph (A), the adjusted
performance standard for the applicable project shall
prescribe an annual emission rate that requires the project
to achieve an equivalent reduction from uncontrolled carbon
dioxide emissions levels from the use of subbituminous coal,
lignite, or petroleum coke, as compared to the emissions the
project would have achieved if that unit had combusted only
bituminous coal during the particular calendar year.
(C) Applicability of bonus allowance adjustment ratio.--The
bonus allowance adjustment ratio under section 1013(b) shall
apply to an electric generation unit described in paragraph
(1)(A)(i) only with respect to the megawatt-hours and carbon
dioxide emissions attributable to the treated share of the
flue gas of the electric generation unit.
(3) Demonstration projects and deployment incentives.--
(A) In general.--The Climate Change Technology Board shall
use not less than $40,000,000,000 of amounts made available
from the sale of allowances under the program to carry out
this section to support demonstration projects using advanced
coal generation technology, including retrofit technology
that could be deployed on existing coal generation
facilities, and to provide financial incentives to facilitate
the deployment of not more than 20 gigawatts of advanced coal
generation technologies.
(B) Certain projects.--Of the amounts described in
subparagraph (A), the Climate Change Technology Board shall
make available up to 25 percent for projects that meet the
carbon dioxide emission performance standard under paragraph
(1)(A)(i).
(C) Administration.--In providing incentives under this
paragraph, the Climate Change Technology Board shall--
(i) provide appropriate incentives for regulated investor-
owned utilities, municipal utilities, electric cooperatives,
and independent power producers, as determined by the
Secretary of Energy; and
(ii) ensure that a range of the domestic coal types is
employed in the facilities that receive incentives under this
paragraph.
(D) Funding requirements.--
(i) Sequestration activities.--The Climate Change
Technology Board shall provide incentives only to projects
that meet 1 of the emission performance standards for
limiting carbon dioxide described in clause (ii) or (iii) of
paragraph (1)(A).
(ii) Projects using certain coals.--In providing incentives
under this paragraph, the Climate Change Technology Board
shall set aside not less than 25 percent of any amounts made
available to carry out this subsection for projects using
coal with an energy content of not more than 10,000 British
thermal units per pound.
(4) Storage agreement required.--The Climate Change
Technology Board shall require a binding storage agreement
for the carbon dioxide captured in a project under this
subsection in a geological storage project permitted by the
Administrator under regulations promulgated pursuant to
section 1421(d) of the Safe Drinking Water Act (42 U.S.C.
300h(d)).
(5) Distribution of funds.--
(A) Requirement.--The Climate Change Technology Board shall
make awards under this section in a manner that maximizes the
avoidance or reduction of greenhouse gas emissions.
(B) Incentives.--A project that receives an award under
this subsection may elect 1 of the following financial
incentives:
(i) A loan guarantee.
(ii) A cost-sharing grant to cover the incremental cost of
installing and operating carbon capture and storage equipment
(for which utilization costs may be covered for the first 10
years of operation).
(iii) Production payments of not more than 1.5 cents per
kilowatt-hour of electric output during the first 10 years of
commercial service of the project.
(6) Limitation.--A project may not receive an award under
this subsection if the project receives an award under
section 4402.
(b) Sequestration.--
(1) In general.--The Climate Change Technology Board shall
use not less than $10,000,000,000 of amounts made available
from the sale of allowances to carry out this section for
large-scale geological carbon storage demonstration projects
that store carbon dioxide captured from electric generation
units using coal gasification or other advanced coal
combustion processes, including units that receive assistance
under subsection (a).
(2) Project capital and operating costs.--
(A) In general.--The Climate Change Technology Board shall
provide assistance under this subsection to reimburse the
project owner for a percentage of the incremental project
capital and operating costs of the project that are
attributable to carbon capture and sequestration, as the
Secretary determines to be appropriate.
(B) Certain projects.--Of the assistance provided under
subparagraph (A), the Climate Change Technology Board shall
make available up to 25 percent for projects that meet the
carbon dioxide emissions performance standard under
subsection (a)(1)(A)(i).
______
SA 4854. Mr. BARRASSO submitted an amendment intended to be proposed
by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
On page 381, between lines 9 and 10, insert the following:
SEC. 1238. RECOVERY PLANS.
Nothing in this subtitle requires the Secretary of the
Interior (or the Secretary of Commerce, with respect to any
species for which the Secretary of Commerce has program
responsibilities under the Endangered Species Act of 1973 (16
U.S.C. 1531 et seq.)) to update any recovery plan developed
under section 4(f) of the At Act 916 U.S.C. 1533(f0 that was
approved before the date of enactment of this Act.
______
SA 4855. Mr. BARRASSO submitted an amendment intended to be proposed
by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of title V, add the following:
Subtitle J--Small Business Refiners
SEC. 591. DEFINITION OF SMALL BUSINESS REFINER.
In this subtitle:
(1) In general.--The term ``small business refiner'' means
a refiner that meets the applicable Federal refinery capacity
and employee limitations criteria described in section 45H
(c) of the Internal Revenue Code of 1986 (in effect on the
date of enactment of this Act).
(2) Exclusion.--The term ``small business refiner'' does
not include an entity formed by a merger or acquisition
involving a refining entity that--
(A) does not meet the applicable criteria referred to in
paragraph (1); and
(B) occurred after December 31, 2007.
SEC. 592. ALLOCATIONS.
(a) Calendar Years 2012 Through 2017.--Notwithstanding any
other provision of this
[[Page S5117]]
Act, for each of calendar years 2012 through 2017, the
Administrator shall--
(1) adjust the allocations under subtitles E and F to
owners and operators of carbon-intensive manufacturing
facilities and fossil fuel-fired electric power generating
facilities, respectively, by \1/2\ percent; and
(2) allocate 1 percent of the emission allowances
established under section 201(a) for those facilities to
small business refiners in accordance with this subtitle.
(b) Calendar Years 2018 Through 2030.--Notwithstanding any
other provision of this Act, for each of calendar years 2012
through 2017, the Administrator shall--
(1) adjust the allocations under subtitle G to owners and
operators of facilities that manufacture petroleum-based
liquid or gaseous fuel by 1 percent; and
(2) allocate 1 percent of the emission allowances
established under section 201(a) for those facilities to
small business refiners in accordance with this subtitle.
SEC. 593. TREATMENT OF EXPANSIONS.
Emissions of carbon dioxide equivalent from transportation
fuel resulting from an expansion in capacity by a small
business refiner that qualifies under section 179(c) of the
Internal Revenue Code of 1986 shall be added to the 2006
carbon dioxide equivalents of the small business refiner for
the purpose of calculating the quantity of emission
allowances to be distributed to the small business refiner
under this subtitle.
______
SA 4856. Mr. BARRASSO submitted an amendment intended to be proposed
by him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of title XVII, add the following:
Subtitle H--Atmospheric Removal of Greenhouse Gases
SEC. 1771. SHORT TITLE.
This subtitle may be cited as the ``Greenhouse Gas Emission
Atmospheric Removal Act'' or the ``GEAR Act''.
SEC. 1772. STATEMENT OF POLICY.
It is the policy of the United States to provide incentives
to encourage the development and implementation of technology
to permanently remove greenhouse gases from the atmosphere on
a significant scale.
SEC. 1773. DEFINITIONS.
In this subtitle:
(1) Commission.--The term ``Commission'' means the
Greenhouse Gas Emission Atmospheric Removal Commission
established by section 1775(a).
(2) Greenhouse gas.--The term ``greenhouse gas'' means--
(A) carbon dioxide;
(B) methane;
(C) nitrous oxide;
(D) sulfur hexafluoride;
(E) a hydrofluorocarbon;
(F) a perfluorocarbon; and
(G) any other gas that the Commission determines is
necessary to achieve the purposes of this subtitle.
(3) Intellectual property.--The term ``intellectual
property'' means--
(A) an invention that is patentable under title 35, United
States Code; and
(B) any patent on an invention described in subparagraph
(A).
(4) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
SEC. 1774. GREENHOUSE GAS EMISSION ATMOSPHERIC REMOVAL
PROGRAM.
The Secretary, acting through the Commission, shall provide
to public and private entities, on a competitive basis,
financial awards for the achievement of milestones in
developing and applying technology that could significantly
slow or reverse the accumulation of greenhouse gases in the
atmosphere by permanently capturing or sequestrating those
gases without significant countervailing harmful effects.
SEC. 1775. GREENHOUSE GAS EMISSION ATMOSPHERIC REMOVAL
COMMISSION.
(a) Establishment.--There is established within the
Department of Energy a commission to be known as the
``Greenhouse Gas Emission Atmospheric Removal Commission''.
(b) Membership.--
(1) Composition.--The Commission shall be composed of 11
members appointed by the President, by and with the advice
and consent of the Senate, who shall provide expertise in--
(A) climate science;
(B) physics;
(C) chemistry;
(D) biology;
(E) engineering;
(F) economics;
(G) business management; and
(H) such other disciplines as the Commission determines to
be necessary to achieve the purposes of this subtitle.
(2) Term; vacancies.--
(A) Term.--A member of the Commission shall serve for a
term of 6 years.
(B) Vacancies.--A vacancy on the Commission--
(i) shall not affect the powers of the Commission; and
(ii) shall be filled in the same manner as the original
appointment was made.
(3) Initial meeting.--Not later than 30 days after the date
on which all members of the Commission have been appointed,
the Commission shall hold the initial meeting of the
Commission.
(4) Meetings.--The Commission shall meet at the call of the
Chairperson.
(5) Quorum.--A majority of the members of the Commission
shall constitute a quorum, but a lesser number of members may
hold hearings.
(6) Chairperson and vice chairperson.--The Commission shall
select a Chairperson and Vice Chairperson from among the
members of the Commission.
(7) Compensation.--A member of the Commission shall be
compensated at level III of the Executive Schedule.
(c) Duties.--The Commission shall--
(1) subject to subsection (d), develop specific
requirements for--
(A) the competition process;
(B) minimum performance standards;
(C) monitoring and verification procedures; and
(D) the scale of awards for each milestone identified under
paragraph (3);
(2) establish minimum levels for the capture or net
sequestration of greenhouse gases that are required to be
achieved by a public or private entity to qualify for a
financial award described in paragraph (3);
(3) in coordination with the Secretary, offer those
financial awards to public and private entities that
demonstrate--
(A) a design document for a successful technology;
(B) a bench scale demonstration of a technology;
(C) technology described in subparagraph (A) that--
(i) is operational at demonstration scale; and
(ii) achieves significant greenhouse gas reductions; and
(D) operation of technology on a commercially viable scale
that meets the minimum levels described in paragraph (2); and
(4) submit to Congress--
(A) an annual report that describes the progress made by
the Commission and recipients of financial awards under this
section in achieving the demonstration goals established
under paragraph (3); and
(B) not later than 1 year after the date of enactment of
this Act, a report that describes the levels of funding that
are necessary to achieve the purposes of this subtitle.
(d) Public Participation.--In carrying out subsection
(c)(1), the Commission shall--
(1) provide notice of and, for a period of at least 60
days, an opportunity for public comment on, any draft or
proposed version of the requirements described in subsection
(c)(1); and
(2) take into account public comments received in
developing the final version of those requirements.
(e) Peer Review.--No financial award may be provided under
this subtitle until such time as the proposal for which the
award is sought has been peer reviewed in accordance with
such standards for peer review as the Commission shall
establish.
SEC. 1776. INTELLECTUAL PROPERTY CONSIDERATIONS.
(a) In General.--Title to any intellectual property arising
from a financial award provided under this subtitle shall
vest in 1 or more entities that are incorporated in the
United States.
(b) Reservation of License.--The United States--
(1) may reserve a nonexclusive, nontransferable,
irrevocable, paid-up license, to have practiced for or on
behalf of the United States, in connection with any
intellectual property described in subsection (a); but
(2) shall not, in the exercise of a license reserved under
paragraph (1), publicly disclose proprietary information
relating to the license.
(c) Transfer of Title.--Title to any intellectual property
described in subsection (a) shall not be transferred or
passed, except to an entity that is incorporated in the
United States, until the expiration of the first patent
obtained in connection with the intellectual property.
SEC. 1777. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated such sums as are
necessary to carry out this subtitle.
SEC. 1778. TERMINATION OF AUTHORITY.
The Commission and all authority of the Commission provided
under this subtitle terminate on December 31, 2020.
______
SA 4857. Mr. DORGAN submitted an amendment intended to be proposed by
him to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
On page 304, strike line 19 and insert the following:
(a) In General.--Not later than 120 days after the date of
enactment
On page 304, after line 25, add the following:
(b) Additional Funds.--
(1) In general.--For the period of calendar years 2009
through 2018, of the proceeds of the auctions conducted under
section 1402(a), $20,000,000,000 shall be allocated by the
Administrator to the Kick-Start Program in accordance with
the schedule described in paragraph (2).
(2) Schedule.--
(A) In general.--Subject to subparagraph (B), of the
$20,000,000,000 described in paragraph (1), the Administrator
shall allocate--
[[Page S5118]]
(i) $1,200,000,000 in calendar year 2009;
(ii) $1,100,000,000 in calendar year 2010;
(iii) $900,000,000 in calendar year 2011;
(iv) $3,100,000,000 in 2012;
(v) $3,000,000,000 in each of calendar years 2013 and 2014;
and
(vi) $2,000,000,000 in each of calendar years 2015 through
2018.
(B) Increase in allocation.--If any portion of the funds to
be allocated under subparagraph (A) for a calendar year is
unavailable for that allocation, that portion shall be added
to the amount to be allocated in the subsequent calendar
year.
On page 305, line 19, insert ``research, development,
demonstration, and'' before ``early deployment''.
Beginning on page 305, strike line 22 and all that follows
through page 306, line 2, and insert the following:
(b) Goals.--The Board shall design and operate the Kick-
Start Program with the goals of--
(1) advancing additional advanced coal research and
development innovations for capturing and storing carbon
dioxide; and
(2) rapidly bringing into operation in the United States
not fewer than 5 commercial facilities that capture and
geologically sequester carbon released when coal is used to
generate electricity.
(c) Kick-Start Components.--
(1) Research and development.--
(A) In general.--For each fiscal year, the Secretary of
Energy shall use 50 percent of the amounts in the Fund
derived from auctions conducted under section 1002(b) to
carry out the programs established under sections 962 and 963
of the Energy Policy Act of 2005 (42 U.S.C. 16292, 16293).
(B) Requirements.--In carrying out the programs, the
Secretary of Energy shall provide for the investigation of a
wide variety of technologies for carbon capture for--
(i) retrofitting of existing facilities; and
(ii) installation of carbon-capture technology on next-
generation coal-fueled facilities.
(2) Deployment.--The Secretary of Energy shall use 50
percent of the amounts in the Fund derived from auctions
conducted under section 1002(b) to carry out a program to
facilitate the deployment of the technologies described in
paragraph (1)(B).
On page 306, line 3, strike ``(c)'' and insert ``(d)''.
On page 306, strike lines 4 through 9 and insert the
following:
Program on--
(1) the ``Early Deployment Fund'' recommendations contained
in the final report issued by the Advanced Coal Technology
Work Group of the Clean Air Act Advisory Committee of the
Environmental Protection Agency and dated January 29, 2008;
and
(2) the programs established under sections 962 and 963 of
the Energy Policy Act of 2005 (42 U.S.C. 16292, 16293).
(e) Coal Diversity.--The Kick-Start Program
On page 306, line 13, strike ``(e)'' and insert ``(f)''.
On page 306, line 17, strike ``(f)'' and insert ``(g)''.
On page 457, line 13, insert ``and the Carbon Capture and
Sequestration Technology Fund established by section 1001''
before the period at the end.
______
SA 4858. Mrs. DOLE submitted an amendment intended to be proposed by
her to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
On page 341, strike lines 5 through 7 and insert the
following:
(2) to reduce greenhouse gas emissions, the United States
should not rely on ethanol produced from corn and should rely
increasingly on advanced, clean, low-carbon fuels for
transportation.
______
SA 4859. Mrs. DOLE submitted an amendment intended to be proposed by
her to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
On page 84, strike lines 13 and 14 and insert the
following:
(ii) forest management activities inclusive of associated
recognized carbon pools, including--
(I) forest product carbon sequestration;
(II) afforestation; and
(III) forest management activities that contribute to
forest carbon sequestration;
______
SA 4860. Mrs. DOLE submitted an amendment intended to be proposed by
her to the bill S. 3036, to direct the Administrator of the
Environmental Protection Agency to establish a program to decrease
emissions of greenhouse gases, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of title XVII, add the following:
Subtitle H--Sense of the Senate Regarding the Need to Expedite Certain
Outer Continental Shelf Oil and Gas Lease Sales
SEC. 1771. SENSE OF THE SENATE.
(a) Findings.--The Senate finds that--
(1) the citizens of the United States face economic
hardships due to high fuel costs;
(2) the citizens of the United States rely on oil and gas
produced from resources located in the approximately
1,760,000,000 acres of the outer Continental Shelf;
(3) the Secretary of the Interior (referred to in this
section as the ``Secretary''), in accordance with section 18
of the Outer Continental Shelf Lands Act (43 U.S.C. 1344),
has prepared, for calendar years 2007 through 2012, an oil
and gas leasing program (referred to in this section as the
``5-year program'') indicating a 5-year schedule of lease
sales designed to best meet the energy needs of the United
States;
(4) the 5-year program includes 21 lease sales in 8 areas,
including--
(A) 4 areas located off of the coast of the State of
Alaska;
(B) 1 area located off of the Atlantic Coast; and
(C) 3 areas located in the Gulf of Mexico;
(5) the analysis completed for the 5-year program has
indicated that implementation of the 5-year program would
result in--
(A) the production of an estimated 10,000,000,000 barrels
of oil and 45,000,000,000,000 cubic feet of natural gas; and
(B) the generation of $170,000,000,000 in net benefits for
the United States during the 40-year period beginning on the
date of implementation of the 5-year program; and
(6) the United States should--
(A) be less dependent on foreign oil; and
(B) develop more domestic sources of energy.
(b) Sense of the Senate.--It is the sense of the Senate
that, as soon as practicable after the date of enactment of
this Act, the Secretary should expedite each remaining lease
sale included in the 5-year program regardless of the year
for which any particular lease sale is scheduled.
______
SA 4861. Mrs. DOLE (for herself and Mr. Warner) submitted an
amendment intended to be proposed by her to the bill S. 3036, to direct
the Administrator of the Environmental Protection Agency to establish a
program to decrease emissions of greenhouse gases, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning on page 291, strike line 24 and all that follows
through page 292, line 16.
On page 301, strike line 12 and insert the following:
In making awards under this sub-
On page 302, strike lines 6 through 22.
Beginning on page 306, strike line 17 and all that follows
through page 307, line 9.
______
SA 4862. Mrs. DOLE (for herself and Mr. Whitehouse) submitted an
amendment intended to be proposed by her to the bill S. 3036, to direct
the Administrator of the Environmental Protection Agency to establish a
program to decrease emissions of greenhouse gases, and for other
purposes; which was ordered to lie on the table; as follows:
On page 251, strike lines 1 through 13 and insert the
following:
(A) In general.--The term ``Coastal State'' means any State
or territory of the United States with a coastal zone
management plan or program that is approved under the Coastal
Zone Management Act of 1972 (16 U.S.C. 1451 et seq.).
On page 251, line 14, strike ``(C)'' and insert ``(B)''.
On page 254, strike lines 13 through 20 and insert the
following:
(B) to identify and develop plans to protect, or, as
necessary or applicable, to relocate public facilities and
infrastructure, coastal resources of national significance,
public energy facilities, or other public water uses located
in the coastal watershed that are affected by climate change,
including the development of strategies that use natural
resources, such as natural buffer zones, natural shorelines,
and habitat protection or restoration, to mitigate risks and
impacts;
On page 255, strike lines 23 and 24 and insert the
following:
(v) coastal habitat loss;
____________________Legislative Activity
Stay on top of the latest movement without scrolling through every action
Floor
Latest Action
Senate amendment submitted
June 4, 2008