[Senate Report 112-71]
[From the U.S. Government Publishing Office]
Calendar No. 151
112th Congress Report
SENATE
1st Session 112-71
======================================================================
ENERGY SAVINGS AND INDUSTRIAL
COMPETITIVENESS ACT
_______
September 6, 2011.--Ordered to be printed
_______
Mr. Bingaman, from the Committee on Energy and Natural Resources,
submitted the following
R E P O R T
[To accompany S. 1000]
The Committee on Energy and Natural Resources, to which was
referred the bill (S. 1000) to promote energy savings in
residential and commercial buildings and industry, and for
other purposes, having considered the same, reports favorably
thereon with an amendment and recommends that the bill, as
amended, do pass.
The amendment is as follows:
Strike out all after the enacting clause and insert in lieu
thereof the following:
TITLE I--BUILDINGS
Subtitle A--Building Energy Codes
SEC. 101. GREATER ENERGY EFFICIENCY IN BUILDING 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) Updating National Model Building Energy Codes.--
``(1) In general.--The Secretary shall--
``(A) support the development of national model
building energy codes, including the updating of ASHRAE
and IECC model building energy codes and standards;
``(B) encourage and support the adoption of building
energy codes by States, Indian tribes, and, as
appropriate, by local governments that meet or exceed
the national model building energy codes, or achieve
equivalent or greater energy savings; and
``(C) support full compliance with the State and
local codes.
``(2) Targets.--
``(A) In general.--The Secretary shall support the
updating of the national model building energy codes
for residential buildings and commercial buildings to
enable the achievement of energy savings targets
established under subparagraph (B).
``(B) Targets.--
``(i) In general.--The Secretary shall work
with State, Indian tribes, local governments,
nationally recognized code and standards
developers, and other interested parties to
support the updating of national model building
energy codes by establishing 1 or more
aggregate energy savings targets to achieve the
purposes of this section.
``(ii) Separate targets.--The Secretary may
establish separate targets for commercial and
residential buildings.
``(iii) Baselines.--The baseline for updating
national model codes shall be the 2009 IECC for
residential buildings and ASHRAE Standard 90.1-
2010 for commercial buildings.
``(iv) Specific years.--
``(I) In general.--Targets for
specific years shall be established and
revised by the Secretary through
rulemaking and coordinated with
nationally recognized code and
standards developers at a level that--
``(aa) is at the maximum
level of energy efficiency that
is technologically feasible and
life-cycle cost effective,
while accounting for the
economic considerations under
subparagraph (D);
``(bb) is higher than the
preceding target; and
``(cc) promotes the
achievement of commercial and
residential high-performance
buildings through high
performance energy efficiency
(within the meaning of section
401 of the Energy Independence
and Security Act of 2007 (42
U.S.C. 17061)).
``(II) Initial targets.--Not later
than 1 year after the date of enactment
of this clause, the Secretary shall
establish initial targets under this
subparagraph.
``(III) Different target years.--
Subject to subclause (I), prior to the
applicable year, the Secretary may set
a different target year for any of
model codes described in clause (i) if
the Secretary determines that a higher
target cannot be met.
``(IV) Small business.--When
establishing targets under this
subparagraph through rulemaking, the
Secretary shall ensure compliance with
the Small Business Regulatory
Enforcement Fairness Act of 1996 (5
U.S.C. 601 note; Public Law 104-121).
``(C) Appliance standards and other factors affecting
building energy use.--In establishing building code
targets under subparagraph (B), the Secretary shall
develop and adjust the targets in recognition of
potential savings and costs relating to--
``(i) efficiency gains made in appliances,
lighting, windows, insulation, and building
envelope sealing;
``(ii) advancement of distributed generation
and on-site renewable power generation
technologies;
``(iii) equipment improvements for heating,
cooling, and ventilation systems;
``(iv) building management systems and
SmartGrid technologies to reduce energy use;
and
``(v) other technologies, practices, and
building systems that the Secretary considers
appropriate regarding building plug load and
other energy uses.
``(D) Economic considerations.--In establishing and
revising building code targets under subparagraph (B),
the Secretary shall consider the economic feasibility
of achieving the proposed targets established under
this section and the potential costs and savings for
consumers and building owners, including a return on
investment analysis.
``(3) Technical assistance to model code-setting and standard
development organizations.--
``(A) In general.--The Secretary shall, on a timely
basis, provide technical assistance to model code-
setting and standard development organizations.
``(B) Assistance.--The assistance shall include, as
requested by the organizations, technical assistance
in--
``(i) evaluating code or standards proposals
or revisions;
``(ii) building energy analysis and design
tools;
``(iii) building demonstrations;
``(iv) developing definitions of energy use
intensity and building types for use in model
codes and standards or in evaluating the
efficiency impacts of the codes and standards;
``(v) performance-based standards;
``(vi) evaluating economic considerations
under paragraph (2)(D); and
``(vii) developing model codes by Indian
tribes in accordance with tribal law.
``(C) Amendment proposals.--The Secretary may submit
timely code and standard amendment proposals to the
model code-setting and standard development
organizations, with supporting evidence, sufficient to
enable the model building energy codes and standards to
meet the targets established under paragraph (2)(B).
``(D) Analysis methodology.--The Secretary shall make
publicly available the entire calculation methodology
(including input assumptions and data) used by the
Secretary to estimate the energy savings of code or
standard proposals and revisions.
``(4) Determination and establishment.--
``(A) Revision of model building codes and
standards.--If the provisions of the IECC or ASHRAE
Standard 90.1 regarding building energy use are
revised, the Secretary shall make a preliminary
determination not later than 90 days after the date of
the revision, and a final determination not later than
1 year after the date of the revision, on whether the
revision will--
``(i) improve energy efficiency in buildings
compared to the existing national model
building energy code; and
``(ii) meet the applicable targets under
paragraph (2)(B).
``(B) Codes or standards not meeting targets.--
``(i) In general.--If the Secretary makes a
preliminary determination under subparagraph
(A)(ii) that a code or standard does not meet
the targets established under paragraph (2)(B),
the Secretary may at the same time provide the
model code or standard developer with proposed
changes that would result in a model code that
meets the targets and with supporting evidence,
taking into consideration--
``(I) whether the modified code is
technically feasible and life-cycle
cost effective;
``(II) available appliances,
technologies, materials, and
construction practices; and
``(III) the economic considerations
under paragraph (2)(D).
``(ii) Incorporation of changes.--
``(I) In general.--On receipt of the
proposed changes, the model code or
standard developer shall have an
additional 180 days to incorporate
changes into the model code or
standard.
``(II) Final determination.--A final
determination under subparagraph (A)
shall be on the modified model code or
standard.
``(C) Positive determinations.--If the Secretary
makes positive final determinations under clauses (i)
and (ii) of subparagraph (A) or under clause (i) of
subparagraph (A) if the applicable target has not been
established, the revised IECC or ASHRAE Standard 90.1
shall be established as the relevant national model
building energy code.
``(D) Establishment by secretary.--
``(i) In general.--If the Secretary makes a
negative final determination under subparagraph
(A)(ii), the Secretary shall at the same time
establish a modified national model building
energy code.
``(ii) Codes or standards not updated.--If
the IECC or ASHRAE Standard 90.1 is not revised
by a target date under paragraph (2), the
Secretary shall, not later than 90 days after
the target date, issue a draft of, and not
later than 1 year after the target date,
establish, a modified national model building
energy code.
``(iii) Requirements.--Any national model
building energy code established under this
subparagraph shall--
``(I) meet the targets established
under paragraph (2);
``(II) achieve the maximum level of
energy savings that is technologically
feasible and life-cycle cost-effective,
while accounting for the economic
considerations under paragraph (2)(D);
``(III) be based on the latest
edition of the IECC or ASHRAE Standard
90.1, including any subsequent
amendments, addenda, or additions, but
may also consider other model codes or
standards; and
``(IV) observe and protect the
intellectual property rights of
nationally recognized code and
standards developers.
``(5) Administration.--In carrying out this section, the
Secretary shall--
``(A) publish notice of targets, determinations, and
national model building energy codes under this section
in the Federal Register to provide an explanation of
and the basis for such actions, including any
supporting modeling, data, assumptions, protocols, and
cost-benefit analysis, including return on investment;
and
``(B) provide an opportunity for public comment on
targets, determinations, and national model building
energy codes under this section.
``(b) State and Indian Tribe Certification of Building Energy Code
Updates.--
``(1) Review and updating of codes by each state and indian
tribe.--
``(A) In general.--Not later than 2 years after the
date on which a national model building energy code is
established or revised under subsection (a), each State
and Indian tribe shall certify whether or not the State
and Indian tribe, respectively, has reviewed and
updated the energy provisions of the building code of
the State and Indian tribe, respectively.
``(B) Demonstration.--The certification shall include
a demonstration of whether or not the code provisions
that are in effect throughout the State and Indian
tribe--
``(i) meet or exceed the revised model code;
or
``(ii) achieve equivalent or greater energy
savings.
``(C) No model code update.--If the Secretary fails
to revise a national model building energy code by the
date specified in subsection (a)(4), each State and
Indian tribe shall, not later than 2 years after the
specified date, certify whether or not the State and
Indian tribe, respectively, has reviewed and updated
the energy provisions of the building code of the State
and Indian tribe, respectively, to meet or exceed the
target in subsection (a)(2).
``(2) Validation by secretary.--Not later than 90 days after
a State or Indian tribe certification under paragraph (1), the
Secretary shall--
``(A) determine whether the code provisions of the
State or Indian tribe, respectively, meet the criteria
specified in paragraph (1); and
``(B) if the determination is positive, validate the
certification.
``(c) Improvements in Compliance With Building Energy Codes.--
``(1) Requirement.--
``(A) In general.--Not later than 3 years after the
date of a certification under subsection (b), each
State and Indian tribe shall certify whether or not the
State and Indian tribe, respectively, has--
``(i) achieved full compliance under
paragraph (3) with the applicable certified
State and Indian tribe building energy code or
with the associated national model building
energy code; or
``(ii) made significant progress under
paragraph (4) toward achieving compliance with
the applicable certified State and Indian tribe
building energy code or with the associated
national model building energy code.
``(B) Repeat certifications.--If the State or Indian
tribe certifies progress toward achieving compliance,
the State or Indian tribe shall repeat the
certification until the State or Indian tribe certifies
that the State or Indian tribe has achieved full
compliance, respectively.
``(2) Measurement of compliance.--A certification under
paragraph (1) shall include documentation of the rate of
compliance based on--
``(A) independent inspections of a random sample of
the buildings covered by the code in the preceding
year; or
``(B) an alternative method that yields an accurate
measure of compliance.
``(3) Achievement of compliance.--A State or Indian tribe
shall be considered to achieve full compliance under paragraph
(1) if--
``(A) at least 90 percent of building space covered
by the code in the preceding year substantially meets
all the requirements of the applicable code specified
in paragraph (1), or achieves equivalent or greater
energy savings level; or
``(B) the estimated excess energy use of buildings
that did not meet the applicable code specified in
paragraph (1) in the preceding year, compared to a
baseline of comparable buildings that meet this code,
is not more than 5 percent of the estimated energy use
of all buildings covered by this code during the
preceding year.
``(4) Significant progress toward achievement of
compliance.--A State or Indian tribe shall be considered to
have made significant progress toward achieving compliance for
purposes of paragraph (1) if the State or Indian tribe--
``(A) has developed and is implementing a plan for
achieving compliance during the 8-year-period beginning
on the date of enactment of this paragraph, including
annual targets for compliance and active training and
enforcement programs; and
``(B) has met the most recent target under
subparagraph (A).
``(5) Validation by secretary.--Not later than 90 days after
a State or Indian tribe certification under paragraph (1), the
Secretary shall--
``(A) determine whether the State or Indian tribe has
demonstrated meeting the criteria of this subsection,
including accurate measurement of compliance; and
``(B) if the determination is positive, validate the
certification.
``(d) States or Indian Tribes That Do Not Meet Targets.--
``(1) Reporting.--A State or Indian tribe that has not made a
certification required under subsection (b) or (c) by the
applicable deadline shall submit to the Secretary a report on--
``(A) the status of the State or Indian tribe with
respect to meeting the requirements and submitting the
certification; and
``(B) a plan for meeting the requirements and
submitting the certification.
``(2) Federal support.--Any State or Indian tribe for which
the Secretary has not accepted a certification by a deadline
under subsection (b) or (c) may be ineligible for Federal
support authorized under this section for code adoption and
compliance activities.
``(3) Local government.--In any State or Indian tribe for
which the Secretary has not accepted a certification under
subsection (b) or (c), a local government may be eligible for
Federal support by meeting the certification requirements of
subsections (b) and (c).
``(4) Annual reports by secretary.--
``(A) In general.--The Secretary shall annually
submit to Congress, and publish in the Federal
Register, a report on--
``(i) the status of national model building
energy codes;
``(ii) the status of code adoption and
compliance in the States and Indian tribes;
``(iii) implementation of this section; and
``(iv) improvements in energy savings over
time as result of the targets established under
subsection (a)(2)(B).
``(B) Impacts.--The report shall include estimates of
impacts of past action under this section, and
potential impacts of further action, on--
``(i) upfront financial and construction
costs, cost benefits and returns (using
investment analysis), and lifetime energy use
for buildings;
``(ii) resulting energy costs to individuals
and businesses; and
``(iii) resulting overall annual building
ownership and operating costs.
``(e) Technical Assistance to States and Indian Tribes.--The
Secretary shall provide technical assistance to States and Indian
tribes to implement the requirements of this section, including
procedures and technical analysis for States and Indian tribes--
``(1) to demonstrate that the code provisions of the States
and Indian tribes achieve equivalent or greater energy savings
than the national model building energy codes;
``(2) to document the rate of compliance with a building
energy code; and
``(3) to improve and implement State residential and
commercial building energy codes or otherwise promote the
design and construction of energy efficient buildings.
``(f) Availability of Incentive Funding.--
``(1) In general.--The Secretary shall provide incentive
funding to States and Indian tribes--
``(A) to implement the requirements of this section;
``(B) to improve and implement residential and
commercial building energy codes, including increasing
and verifying compliance with the codes and training of
State, tribal, and local building code officials to
implement and enforce the codes; and
``(C) to promote building energy efficiency through
the use of the codes.
``(2) Additional funding.--Additional funding shall be
provided under this subsection for implementation of a plan to
achieve and document full compliance with residential and
commercial building energy codes under subsection (c)--
``(A) to a State or Indian tribe for which the
Secretary has accepted a certification under subsection
(b) or (c); and
``(B) in a State or Indian tribe that is not eligible
under subparagraph (A), to a local government that is
in eligible under this section.
``(3) Training.--Of the amounts made available under this
subsection, the State may use amounts required, but not to
exceed $750,000 for a State, to train State and local building
code officials to implement and enforce codes described in
paragraph (2).
``(4) Local governments.--States may share grants under this
subsection with local governments that implement and enforce
the codes.
``(g) Stretch Codes and Advanced Standards.--
``(1) In general.--The Secretary shall provide technical and
financial support for the development of stretch codes and
advanced standards for residential and commercial buildings for
use as--
``(A) an option for adoption as a building energy
code by local, tribal, or State governments; and
``(B) guidelines for energy-efficient building
design.
``(2) Targets.--The stretch codes and advanced standards
shall be designed--
``(A) to achieve substantial energy savings compared
to the national model building energy codes; and
``(B) to meet targets under subsection (a)(2), if
available, at least 3 to 6 years in advance of the
target years.
``(h) Studies.--The Secretary, in consultation with building science
experts from the National Laboratories and institutions of higher
education, designers and builders of energy-efficient residential and
commercial buildings, code officials, and other stakeholders, shall
undertake a study of the feasibility, impact, economics, and merit of--
``(1) code improvements that would require that buildings be
designed, sited, and constructed in a manner that makes the
buildings more adaptable in the future to become zero-net-
energy after initial construction, as advances are achieved in
energy-saving technologies;
``(2) code procedures to incorporate measured lifetimes, not
just first-year energy use, in trade-offs and performance
calculations; and
``(3) legislative options for increasing energy savings from
building energy codes, including additional incentives for
effective State and local action, and verification of
compliance with and enforcement of a code other than by a State
or local government.
``(i) Voluntary Codes and Standards.--Nothwithstanding any other
provision of this section, any model building code or standard
established under this section shall not be binding on a State, local
government, or Indian tribe as a matter of Federal law.
``(j) Authorization of Appropriations.--There are authorized to be
appropriated to carry out this section $200,000,000, to remain
available until expended.''.
(b) Definition of IECC.--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.
``(18) Indian tribe.--The term `Indian tribe' has the meaning
given the term in section 4 of the Native American Housing
Assistance and Self-Determination Act of 1996 (25 U.S.C.
4103).''.
(c) Conforming Amendment.--Section 307 of the Energy Conservation and
Production Act (42 U.S.C. 6836) is repealed.
Subtitle B--Worker Training and Capacity Building
SEC. 111. BUILDING TRAINING AND ASSESSMENT CENTERS.
(a) In General.--The Secretary of Energy shall provide grants to
institutions of higher education (as defined in section 101 of the
Higher Education Act of 1965 (20 U.S.C. 1001)) and Tribal Colleges or
Universities (as defined in section 316(b) of that Act (20 U.S.C.
1059c(b)) to establish building training and assessment centers--
(1) to identify opportunities for optimizing energy
efficiency and environmental performance in buildings;
(2) to promote the application of emerging concepts and
technologies in commercial and institutional buildings;
(3) to train engineers, architects, building scientists,
building energy permitting and enforcement officials, and
building technicians in energy-efficient design and operation;
(4) to assist institutions of higher education and Tribal
Colleges or Universities in training building technicians;
(5) to promote research and development for the use of
alternative energy sources and distributed generation to supply
heat and power for buildings, particularly energy-intensive
buildings; and
(6) to coordinate with and assist State-accredited technical
training centers, community colleges, Tribal Colleges or
Universities, and local offices of the National Institute of
Food and Agriculture and ensure appropriate services are
provided under this section to each region of the United
States.
(b) Coordination and Nonduplication.--
(1) In general.--The Secretary shall coordinate the program
with the Industrial Assessment Centers program and with other
Federal programs to avoid duplication of effort.
(2) Collocation.--To the maximum extent practicable,
building, training, and assessment centers established under
this section shall be collocated with Industrial Assessment
Centers.
TITLE II--BUILDING EFFICIENCY FINANCE
SEC. 201. LOAN PROGRAM FOR ENERGY EFFICIENCY UPGRADES TO EXISTING
BUILDINGS.
Title XVII of the Energy Policy Act of 2005 (42 U.S.C. 16511 et seq.)
is amended by adding at the end the following:
``SEC. 1706. BUILDING RETROFIT FINANCING PROGRAM.
``(a) Definitions.--In this section:
``(1) Credit support.--The term `credit support' means a
guarantee or commitment to issue a guarantee or other forms of
credit enhancement to ameliorate risks for efficiency
obligations.
``(2) Efficiency obligation.--The term `efficiency
obligation' means a debt or repayment obligation incurred in
connection with financing a project, or a portfolio of such
debt or payment obligations.
``(3) Project.--The term `project' means the installation and
implementation of efficiency, advanced metering, distributed
generation, or renewable energy technologies and measures in a
building (or in multiple buildings on a given property) that
are expected to increase the energy efficiency of the building
(including fixtures) in accordance with criteria established by
the Secretary.
``(b) Eligible Projects.--
``(1) In general.--Notwithstanding sections 1703 and 1705,
the Secretary may provide credit support under this section, in
accordance with section 1702.
``(2) Inclusions.--Buildings eligible for credit support
under this section include commercial, multifamily residential,
industrial, municipal, government, institution of higher
education, school, and hospital facilities that satisfy
criteria established by the Secretary.
``(c) Guidelines.--
``(1) In general.--Not later than 180 days after the date of
enactment of this section, the Secretary shall--
``(A) establish guidelines for credit support
provided under this section; and
``(B) publish the guidelines in the Federal Register;
and
``(C) provide for an opportunity for public comment
on the guidelines.
``(2) Requirements.--The guidelines established by the
Secretary under this subsection shall include--
``(A) standards for assessing the energy savings that
could reasonably be expected to result from a project;
``(B) examples of financing mechanisms (and
portfolios of such financing mechanisms) that qualify
as efficiency obligations;
``(C) the threshold levels of energy savings that a
project, at the time of issuance of credit support,
shall be reasonably expected to achieve to be eligible
for credit support;
``(D) the eligibility criteria the Secretary
determines to be necessary for making credit support
available under this section; and
``(E) notwithstanding subsections (d)(3) and
(g)(2)(B) of section 1702, any lien priority
requirements that the Secretary determines to be
necessary, in consultation with the Director of the
Office of Management and Budget, which may include--
``(i) mechanisms to preserve prior lien
positions of mortgage lenders and other
creditors in buildings eligible for credit
support;
``(ii) remedies available to the Secretary
under chapter 176 of title 28, United States
Code, in the event of default on the efficiency
obligation by the borrower; and
``(iii) measures to limit the exposure of the
Secretary to financial risk in the event of
default, such as--
``(I) the collection of a credit
subsidy fee from the borrower as a loan
loss reserve, taking into account the
limitation on credit support under
subsection (d);
``(II) minimum debt-to-income levels
of the borrower;
``(III) minimum levels of value
relative to outstanding mortgage or
other debt on a building eligible for
credit support;
``(IV) allowable thresholds for the
percent of the efficiency obligation
relative to the amount of any mortgage
or other debt on an eligible building;
``(V) analysis of historic and
anticipated occupancy levels and rental
income of an eligible building;
``(VI) requirements of third-party
contractors to guarantee energy savings
that will result from a retrofit
project, and whether financing on the
efficiency obligation will amortize
from the energy savings;
``(VII) requirements that the
retrofit project incorporate protocols
to measure and verify energy savings;
and
``(VIII) recovery of payments equally
by the Secretary and the retrofit.
``(3) Efficiency obligations.--The financing mechanisms
qualified by the Secretary under paragraph (2)(B) may include--
``(A) loans, including loans made by the Federal
Financing Bank;
``(B) power purchase agreements, including energy
efficiency power purchase agreements;
``(C) energy services agreements, including energy
performance contracts;
``(D) property assessed clean energy bonds and other
tax assessment-based financing mechanisms;
``(E) aggregate on-meter agreements that finance
retrofit projects; and
``(F) any other efficiency obligations the Secretary
determines to be appropriate.
``(4) Priorities.--In carrying out this section, the
Secretary shall prioritize--
``(A) the maximization of energy savings with the
available credit support funding;
``(B) the establishment of a clear application and
approval process that allows private building owners,
lenders, and investors to reasonably expect to receive
credit support for projects that conform to guidelines;
``(C) the distribution of projects receiving credit
support under this section across States or
geographical regions of the United States; and
``(D) projects designed to achieve whole-building
retrofits.
``(d) Limitation.--Notwithstanding section 1702(c), the Secretary
shall not issue credit support under this section in an amount that
exceeds--
``(1) 90 percent of the principal amount of the efficiency
obligation that is the subject of the credit support; or
``(2) $10,000,000 for any single project.
``(e) Aggregation of Projects.--To the extent provided in the
guidelines developed in accordance with subsection (c), the Secretary
may issue credit support on a portfolio, or pool of projects, that are
not required to be geographically contiguous, if each efficiency
obligation in the pool fulfills the requirements described in this
section.
``(f) Application.--
``(1) In general.--To be eligible to receive credit support
under this section, the applicant shall submit to the Secretary
an application at such time, in such manner, and containing
such information as the Secretary determines to be necessary.
``(2) Contents.--An application submitted under this section
shall include assurances by the applicant that--
``(A) each contractor carrying out the project meets
minimum experience level criteria, including local
retrofit experience, as determined by the Secretary;
``(B) the project is reasonably expected to achieve
energy savings, as set forth in the application using
any methodology that meets the standards described in
the program guidelines;
``(C) the project meets any technical criteria
described in the program guidelines;
``(D) the recipient of the credit support and the
parties to the efficiency obligation will provide the
Secretary with--
``(i) any information the Secretary requests
to assess the energy savings that result from
the project, including historical energy usage
data, a simulation-based benchmark, and
detailed descriptions of the building work, as
described in the program guidelines; and
``(ii) permission to access information
relating to building operations and usage for
the period described in the program guidelines;
and
``(E) any other assurances that the Secretary
determines to be necessary.
``(3) Determination.--Not later than 90 days after receiving
an application, the Secretary shall make a final determination
on the application, which may include requests for additional
information.
``(g) Fees.--
``(1) In general.--In addition to the fees required by
section 1702(h)(1), the Secretary may charge reasonable fees
for credit support provided under this section.
``(2) Availability.--Fees collected under this section shall
be subject to section 1702(h)(2).
``(h) Underwriting.--The Secretary may delegate the underwriting
activities under this section to 1 or more entities that the Secretary
determines to be qualified.
``(i) Report.--Not later than 1 year after commencement of the
program, the Secretary shall submit to the appropriate committees of
Congress a report that describes in reasonable detail--
``(1) the manner in which this section is being carried out;
``(2) the number and type of projects supported;
``(3) the types of funding mechanisms used to provide credit
support to projects;
``(4) the energy savings expected to result from projects
supported by this section;
``(5) any tracking efforts the Secretary is using to
calculate the actual energy savings produced by the projects;
and
``(6) any plans to improve the tracking efforts described in
paragraph (5).
``(j) Funding.--
``(1) Authorization of appropriations.--There is authorized
to be appropriated to the Secretary to carry out this section
$400,000,000 for the period of fiscal years 2012 through 2021,
to remain available until expended.
``(2) Administrative costs.--Not more than 1 percent of any
amounts made available to the Secretary under paragraph (1) may
be used by the Secretary for administrative costs incurred in
carrying out this section.''.
TITLE III--INDUSTRIAL EFFICIENCY AND COMPETITIVENESS
Subtitle A--Manufacturing Energy Efficiency
SEC. 301. STATE PARTNERSHIP INDUSTRIAL ENERGY EFFICIENCY REVOLVING LOAN
PROGRAM.
Section 399A of the Energy Policy and Conservation Act (42 U.S.C.
6371h-1) is amended--
(1) in the section heading, by inserting ``AND INDUSTRY''
before the period at the end;
(2) by redesignating subsections (h) and (i) as subsections
(i) and (j), respectively; and
(3) by inserting after subsection (g) the following:
``(h) State Partnership Industrial Energy Efficiency Revolving Loan
Program.--
``(1) In general.--The Secretary shall carry out a program
under which the Secretary shall provide grants to eligible
lenders to pay the Federal share of creating a revolving loan
program under which loans are provided to commercial and
industrial manufacturers to implement commercially available
technologies or processes that significantly--
``(A) reduce systems energy intensity, including the
use of energy-intensive feedstocks; and
``(B) improve the industrial competitiveness of the
United States.
``(2) Eligible lenders.--To be eligible to receive cost-
matched Federal funds under this subsection, a lender shall--
``(A) be a community and economic development lender
that the Secretary certifies meets the requirements of
this subsection;
``(B) lead a partnership that includes participation
by, at a minimum--
``(i) a State government agency; and
``(ii) a private financial institution or
other provider of loan capital;
``(C) submit an application to the Secretary, and
receive the approval of the Secretary, for cost-matched
Federal funds to carry out a loan program described in
paragraph (1); and
``(D) ensure that non-Federal funds are provided to
match, on at least a dollar-for-dollar basis, the
amount of Federal funds that are provided to carry out
a revolving loan program described in paragraph (1).
``(3) Award.--The amount of cost-matched Federal funds
provided to an eligible lender shall not exceed $100,000,000
for any fiscal year.
``(4) Recapture of awards.--
``(A) In general.--An eligible lender that receives
an award under paragraph (1) shall be required to repay
to the Secretary an amount of cost-match Federal funds,
as determined by the Secretary under subparagraph (B),
if the eligible lender is unable or unwilling to
operate a program described in this subsection for a
period of not less than 10 years beginning on the date
on which the eligible lender first receives funds made
available through the award.
``(B) Determination by secretary.--The Secretary
shall determine the amount of cost-match Federal funds
that an eligible lender shall be required to repay to
the Secretary under subparagraph (A) based on the
consideration by the Secretary of--
``(i) the amount of non-Federal funds matched
by the eligible lender;
``(ii) the amount of loan losses incurred by
the revolving loan program described in
paragraph (1); and
``(iii) any other appropriate factor, as
determined by the Secretary.
``(C) Use of recaptured cost-match federal funds.--
The Secretary may distribute to eligible lenders under
this subsection each amount received by the Secretary
under this paragraph.
``(5) Eligible projects.--A program for which cost-matched
Federal funds are provided under this subsection shall be
designed to accelerate the implementation of industrial and
commercial applications of technologies or processes (including
distributed generation, applications or technologies that use
sensors, meters, software, and information networks, controls,
and drives or that have been installed pursuant to an energy
savings performance contract, project, or strategy) that--
``(A) improve energy efficiency, including
improvements in efficiency and use of water, power
factor, or load management;
``(B) enhance the industrial competitiveness of the
United States; and
``(C) achieve such other goals as the Secretary
determines to be appropriate.
``(6) Evaluation.--The Secretary shall evaluate applications
for cost-matched Federal funds under this subsection on the
basis of--
``(A) the description of the program to be carried
out with the cost-matched Federal funds;
``(B) the commitment to provide non-Federal funds in
accordance with paragraph (2)(D);
``(C) program sustainability over a 10-year period;
``(D) the capability of the applicant;
``(E) the quantity of energy savings or energy
feedstock minimization;
``(F) the advancement of the goal under this Act of
25-percent energy avoidance;
``(G) the ability to fund energy efficient projects
not later than 120 days after the date of the grant
award; and
``(H) such other factors as the Secretary determines
appropriate.
``(7) Authorization of appropriations.--There are authorized
to be appropriated to carry out this subsection, $400,000,000
for each of fiscal years 2012 through 2021.''.
SEC. 302. COORDINATION OF RESEARCH AND DEVELOPMENT OF ENERGY EFFICIENT
TECHNOLOGIES FOR INDUSTRY.
(a) In General.--As part of the research and development activities
of the Industrial Technologies Program of the Department of Energy, the
Secretary shall establish, as appropriate, collaborative research and
development partnerships with other programs within the Office of
Energy Efficiency and Renewable Energy (including the Building
Technologies Program), the Office of Electricity Delivery and Energy
Reliability, and the Office of Science that--
(1) leverage the research and development expertise of those
programs to promote early stage energy efficiency technology
development;
(2) support the use of innovative manufacturing processes and
applied research for development, demonstration, and
commercialization of new technologies and processes to improve
efficiency (including improvements in efficient use of water),
reduce emissions, reduce industrial waste, and improve
industrial cost-competitiveness; and
(3) apply the knowledge and expertise of the Industrial
Technologies Program to help achieve the program goals of the
other programs.
(b) Reports.--Not later than 2 years after the date of enactment of
this Act and biennially thereafter, the Secretary shall submit to
Congress a report that describes actions taken to carry out subsection
(a) and the results of those actions.
SEC. 303. ENERGY EFFICIENT TECHNOLOGIES ASSESSMENT.
(a) In General.--Not later than 60 days after the date of enactment
of this Act, the Secretary shall commence an assessment of commercially
available, cost competitive energy efficiency technologies that are not
widely implemented within the United States for the energy-intensive
industries of--
(1) steel;
(2) aluminum;
(3) forest and paper products;
(4) food processing;
(5) metal casting;
(6) glass;
(7) chemicals;
(8) petroleum refining;
(9) cement;
(10) industrial gases;
(11) information and communication technologies; and
(12) other industries that (as determined by the Secretary)--
(A) use large quantities of energy;
(B) emit large quantities of greenhouse gases; or
(C) use a rapidly increasing quantity of energy.
(b) Report.--Not later than 1 year after the date of enactment of
this Act, the Secretary shall publish a report, in collaboration with
affected energy-intensive industries, based on the assessment conducted
under subsection (a), that contains--
(1) a detailed inventory describing the cost, energy, and
greenhouse gas emission savings of each technology described in
subsection (a);
(2) for each technology, the total cost, energy, water, and
greenhouse gas emissions savings if the technology is
implemented throughout the industry of the United States;
(3) for each industry, an assessment of total possible cost,
energy, and greenhouse gas emissions savings possible if state-
of-the art, cost-competitive, commercial energy efficiency
technologies were adopted;
(4) for each industry, a comparison to the European Union,
Japan, and other appropriate countries of energy efficiency
technology adoption rates, as determined by the Secretary,
including an examination of the policy structures in those
countries that promote investments in energy efficiency
technologies;
(5) recommendations on how to create and retain jobs in the
United States through private sector collaboration of energy
service providers and energy-intensive industries; and
(6) an assessment of energy savings available from increased
use of recycled material in energy-intensive manufacturing
processes.
SEC. 304. FUTURE OF INDUSTRY PROGRAM.
(a) In General.--Section 452 of the Energy Independence and Security
Act of 2007 (42 U.S.C. 17111) is amended by striking the section
heading and inserting the following: ``FUTURE OF INDUSTRY PROGRAM''.
(b) Definition of Energy Service Provider.--Section 452(a) of the
Energy Independence and Security Act of 2007 (42 U.S.C. 17111(a)) is
amended--
(1) by redesignating paragraphs (3) through (5) as paragraphs
(4) through (6), respectively; and
(2) by inserting after paragraph (3):
``(5) Energy service provider.--The term `energy service
provider' means any private company or similar entity providing
technology or services to improve energy efficiency in an
energy-intensive industry.''.
(c) Industry-specific Road Maps.--Section 452(c)(2) of the Energy
Independence and Security Act of 2007 (42 U.S.C. 17111(c)(2)) is
amended--
(1) in subparagraph (E), by striking ``and'' at the end;
(2) by redesignating subparagraph (F) as subparagraph (G);
and
(3) by inserting after subparagraph (E) the following:
``(F) research to establish (through the Industrial
Technologies Program and in collaboration with energy-
intensive industries) a road map process under which--
``(i) industry-specific studies are conducted
to determine the intensity of energy use,
greenhouse gas emissions, and waste and
operating costs, by process and subprocess;
``(ii) near-, mid-, and long-term targets of
opportunity are established for synergistic
improvements in efficiency, sustainability, and
resilience; and
``(iii) public-private actionable plans are
created to achieve roadmap goals; and''.
(d) Industrial Research and Assessment Centers.--
(1) In general.--Section 452(e) of the Energy Independence
and Security Act of 2007 (42 U.S.C. 17111(e)) is amended--
(A) by redesignating paragraphs (1) through (5) as
subparagraphs (A) through (E), respectively, and
indenting appropriately;
(B) by striking ``The Secretary'' and inserting the
following:
``(1) In general.--The Secretary'';
(C) in subparagraph (A) (as redesignated by
subparagraph (A)), by inserting before the semicolon at
the end the following: ``, including assessments of
sustainable manufacturing goals and the implementation
of information technology advancements for supply chain
analysis, logistics, system monitoring, industrial and
manufacturing processes, and other purposes''; and
(D) by adding at the end the following:
``(2) Centers of excellence.--
``(A) In general.--The Secretary shall establish a
Center of Excellence at up to 10 of the highest
performing industrial research and assessment centers,
as determined by the Secretary.
``(B) Duties.--A Center of Excellence shall
coordinate with and advise the industrial research and
assessment centers located in the region of the Center
of Excellence.
``(C) Funding.--Subject to the availability of
appropriations, of the funds made available under
subsection (f), the Secretary shall use to support each
Center of Excellence not less than $500,000 for fiscal
year 2012 and each fiscal year thereafter, as
determined by the Secretary.
``(3) Expansion of centers.--The Secretary shall provide
funding to establish additional industrial research and
assessment centers at institutions of higher education that do
not have industrial research and assessment centers established
under paragraph (1), taking into account the size of, and
potential energy efficiency savings for, the manufacturing base
within the region of the proposed center.
``(4) Coordination.--
``(A) In general.--To increase the value and
capabilities of the industrial research and assessment
centers, the centers shall--
``(i) coordinate with Manufacturing Extension
Partnership Centers of the National Institute
of Standards and Technology;
``(ii) coordinate with the Building
Technologies Program of the Department of
Energy to provide building assessment services
to manufacturers;
``(iii) increase partnerships with the
National Laboratories of the Department of
Energy to leverage the expertise and
technologies of the National Laboratories for
national industrial and manufacturing needs;
``(iv) increase partnerships with energy
service providers and technology providers to
leverage private sector expertise and
accelerate deployment of new and existing
technologies and processes for energy
efficiency, power factor, and load management;
``(v) identify opportunities for reducing
greenhouse gas emissions; and
``(vi) promote sustainable manufacturing
practices for small- and medium-sized
manufacturers.
``(5) Outreach.--The Secretary shall provide funding for--
``(A) outreach activities by the industrial research
and assessment centers to inform small- and medium-
sized manufacturers of the information, technologies,
and services available; and
``(B) a full-time equivalent employee at each center
of excellence whose primary mission shall be to
coordinate and leverage the efforts of the center
with--
``(i) Federal and State efforts;
``(ii) the efforts of utilities and energy
service providers;
``(iii) the efforts of regional energy
efficiency organizations; and
``(iv) the efforts of other centers in the
region of the center of excellence.
``(6) Workforce training.--
``(A) In general.--The Secretary shall pay the
Federal share of associated internship programs under
which students work with or for industries,
manufacturers, and energy service providers to
implement the recommendations of industrial research
and assessment centers.
``(B) Federal share.--The Federal share of the cost
of carrying out internship programs described in
subparagraph (A) shall be 50 percent.
``(C) Funding.--Subject to the availability of
appropriations, of the funds made available under
subsection (f), the Secretary shall use to carry out
this paragraph not less than $5,000,000 for fiscal year
2012 and each fiscal year thereafter.
``(7) Small business loans.--The Administrator of the Small
Business Administration shall, to the maximum practicable,
expedite consideration of applications from eligible small
business concerns for loans under the Small Business Act (15
U.S.C. 631 et seq.) to implement recommendations of industrial
research and assessment centers established under paragraph
(1).''.
SEC. 305. SUSTAINABLE MANUFACTURING INITIATIVE.
(a) In General.--Part E of title III of the Energy Policy and
Conservation Act (42 U.S.C. 6341) is amended by adding at the end the
following:
``SEC. 376. SUSTAINABLE MANUFACTURING INITIATIVE.
``(a) In General.--As part of the Industrial Technologies Program of
the Department of Energy, the Secretary shall carry out a sustainable
manufacturing initiative under which the Secretary, on the request of a
manufacturer, shall conduct onsite technical assessments to identify
opportunities for--
``(1) maximizing the energy efficiency of industrial
processes and cross-cutting systems;
``(2) preventing pollution and minimizing waste;
``(3) improving efficient use of water in manufacturing
processes;
``(4) conserving natural resources; and
``(5) achieving such other goals as the Secretary determines
to be appropriate.
``(b) Coordination.--The Secretary shall carry out the initiative in
coordination with the private sector and appropriate agencies,
including the National Institute of Standards and Technology to
accelerate adoption of new and existing technologies or processes that
improve energy efficiency.
``(c) Research and Development Program for Sustainable Manufacturing
and Industrial Technologies and Processes.--As part of the Industrial
Technologies Program of the Department of Energy, the Secretary shall
carry out a joint industry-government partnership program to research,
develop, and demonstrate new sustainable manufacturing and industrial
technologies and processes that maximize the energy efficiency of
industrial systems, reduce pollution, and conserve natural resources.
``(d) Authorization of Appropriations.--There is authorized to be to
carry out this section $10,000,000 for the period of fiscal years 2012
through 2021.''.
(b) Table of Contents.--The table of contents of the Energy Policy
and Conservation Act (42 U.S.C. prec. 6201) is amended by adding at the
end of the items relating to part E of title III the following:
``Sec. 376. Sustainable manufacturing initiative.''.
SEC. 306. STUDY OF ADVANCED ENERGY TECHNOLOGY MANUFACTURING
CAPABILITIES IN THE UNITED STATES.
(a) In General.--Not later than 60 days after the date of enactment
of this Act, the Secretary shall enter into an arrangement with the
National Academy of Sciences under which the Academy shall conduct a
study of the development of advanced manufacturing capabilities for
various energy technologies, including--
(1) an assessment of the manufacturing supply chains of
established and emerging industries;
(2) an analysis of--
(A) the manner in which supply chains have changed
over the 25-year period ending on the date of enactment
of this Act;
(B) current trends in supply chains; and
(C) the energy intensity of each part of the supply
chain and opportunities for improvement;
(3) for each technology or manufacturing sector, an analysis
of which sections of the supply chain are critical for the
United States to retain or develop to be competitive in the
manufacturing of the technology;
(4) an assessment of which emerging energy technologies the
United States should focus on to create or enhance
manufacturing capabilities; and
(5) recommendations on leveraging the expertise of energy
efficiency and renewable energy user facilities so that best
materials and manufacturing practices are designed and
implemented.
(b) Report.--Not later than 2 years after the date on which the
Secretary enters into the agreement with the Academy described in
subsection (a), the Academy shall submit to the Committee on Energy and
Natural Resources of the Senate, the Committee on Energy and Commerce
of the House of Representatives, and the Secretary a report describing
the results of the study required under this section, including any
findings and recommendations.
SEC. 307. INDUSTRIAL TECHNOLOGIES STEERING COMMITTEE.
The Secretary shall establish an advisory steering committee that
includes national trade associations representing energy-intensive
industries or energy service providers to provide recommendations to
the Secretary on planning and implementation of the Industrial
Technologies Program of the Department of Energy.
Subtitle B--Supply Star
SEC. 311. SUPPLY STAR.
Part B of title III of the Energy Policy and Conservation Act (42
U.S.C. 6291) is amended by inserting after section 324A (42 U.S.C.
6294a) the following:
``SEC. 324B. SUPPLY STAR PROGRAM.
``(a) In General.--There is established within the Department of
Energy a Supply Star program to identify and promote practices,
recognize companies, and, as appropriate, recognize products that use
highly efficient supply chains in a manner that conserves energy,
water, and other resources.
``(b) Coordination.--In carrying out the program described in
subsection (a), the Secretary shall--
``(1) consult with other appropriate agencies; and
``(2) coordinate efforts with the Energy Star program
established under section 324A.
``(c) Duties.--In carrying out the Supply Star program described in
subsection (a), the Secretary shall--
``(1) promote practices, recognize companies, and, as
appropriate, recognize products that comply with the Supply
Star program as the preferred practices, companies, and
products in the marketplace for maximizing supply chain
efficiency;
``(2) work to enhance industry and public awareness of the
Supply Star program;
``(3) collect and disseminate data on supply chain energy
resource consumption;
``(4) develop and disseminate metrics, processes, and
analytical tools (including software) for evaluating supply
chain energy resource use;
``(5) develop guidance at the sector level for improving
supply chain efficiency;
``(6) work with domestic and international organizations to
harmonize approaches to analyzing supply chain efficiency,
including the development of a consistent set of tools,
templates, calculators, and databases; and
``(7) work with industry, including small businesses, to
improve supply chain efficiency through activities that
include--
``(A) developing and sharing best practices; and
``(B) providing opportunities to benchmark supply
chain efficiency.
``(d) Evaluation.--In any evaluation of supply chain efficiency
carried out by the Secretary with respect to a specific product, the
Secretary shall consider energy consumption and resource use throughout
the entire lifecycle of a product, including production, transport,
packaging, use, and disposal.
``(e) Grants and Incentives.--
``(1) In general.--The Secretary may award grants or other
forms of incentives on a competitive basis to eligible
entities, as determined by the Secretary, for the purposes of--
``(A) studying supply chain energy resource
efficiency; and
``(B) demonstrating and achieving reductions in the
energy resource consumption of commercial products
through changes and improvements to the production
supply and distribution chain of the products.
``(2) Use of information.--Any information or data generated
as a result of the grants or incentives described in paragraph
(1) shall be used to inform the development of the Supply Star
Program.
``(f) Training.--The Secretary shall use funds to support
professional training programs to develop and communicate methods,
practices, and tools for improving supply chain efficiency.
``(g) Effect of Impact on Climate Change.--For purposes of this
section, the impact on climate change shall not be a factor in
determining supply chain efficiency.
``(h) Effect of Outsourcing of American Jobs.--For purposes of this
section, the outsourcing of American jobs in the production of a
product shall not count as a positive factor in determining supply
chain efficiency.
``(i) Authorization of Appropriations.--There are authorized to be
appropriated to carry out this section $10,000,000 for the period of
fiscal years 2012 through 2021.''.
Subtitle C--Electric Motor Rebate Program
SEC. 321. ENERGY SAVING MOTOR CONTROL REBATE PROGRAM.
(a) Establishment.--Not later than January 1, 2012, the Secretary of
Energy (referred to in this section as the ``Secretary'') shall
establish a program to provide rebates for expenditures made by
entities for the purchase and installation of a new constant speed
electric motor control that reduces motor energy use by not less than 5
percent.
(b) Requirements.--
(1) Application.--To be eligible to receive a rebate under
this section, an entity shall submit to the Secretary an
application in such form, at such time, and containing such
information as the Secretary may require, including--
(A) demonstrated evidence that the entity purchased a
constant speed electric motor control that reduces
motor energy use by not less than 5 percent; and
(B) the physical nameplate of the installed motor of
the entity to which the energy saving motor control is
attached.
(2) Authorized amount of rebate.--The Secretary may provide
to an entity that meets the requirements of paragraph (1) a
rebate the amount of which shall be equal to the product
obtained by multiplying--
(A) the nameplate horsepower of the electric motor to
which the energy saving motor control is attached; and
(B) $25.
(c) Authorization of Appropriations.--There is authorized to be
appropriated to carry out this section $5,000,000 for each of fiscal
years 2012 and 2013, to remain available until expended.
Subtitle D--Transformer Rebate Program
SEC. 331. ENERGY EFFICIENT TRANSFORMER REBATE PROGRAM.
(a) Definition of Qualified Transformer.--In this section, the term
``qualified transformer'' means a transformer that meets or exceeds the
National Electrical Manufacturers Association (NEMA) Premium Efficiency
designation, calculated to 2 decimal points, as having 30 percent fewer
losses than the NEMA TP-1-2002 efficiency standard for a transformer of
the same number of phases and capacity, as measured in kilovolt-
amperes.
(b) Establishment.--Not later than January 1, 2012, the Secretary of
Energy (referred to in this section as the ``Secretary'') shall
establish a program to provide rebates for expenditures made by owners
of commercial buildings and multifamily residential buildings for the
purchase and installation of a new energy efficient transformers.
(c) Requirements.--
(1) Application.--To be eligible to receive a rebate under
this section, an owner shall submit to the Secretary an
application in such form, at such time, and containing such
information as the Secretary may require, including
demonstrated evidence that the owner purchased a qualified
transformer.
(2) Authorized amount of rebate.--For qualified transformers,
rebates, in dollars per kilovolt-ampere (referred to in this
paragraph as ``kVA'') shall be--
(A) for 3-phase transformers--
(i) with a capacity of not greater than 10
kVA, $15;
(ii) with a capacity of not less than 10 kVA
and not greater than 100 kVA, the difference
between 15 and the quotient obtained by
dividing--
(I) the difference between--
(aa) the capacity of the
transformer in kVA; and
(bb) 10; by
(II) 9; and
(iii) with a capacity greater than or equal
to 100 kVA, $5; and
(B) for single-phase transformers, 75 percent of the
rebate for a 3-phase transformer of the same capacity.
(d) Authorization of Appropriations.--There is authorized to be
appropriated to carry out this section $5,000,000 for each of fiscal
years 2012 and 2013, to remain available until expended.
TITLE IV--FEDERAL AGENCY ENERGY EFFICIENCY
SEC. 401. ADOPTION OF PERSONAL COMPUTER POWER SAVINGS TECHNIQUES BY
FEDERAL AGENCIES.
(a) In General.--Not later than 360 days after the date of enactment
of this Act, the Secretary of Energy, in consultation with the
Secretary of Defense, the Secretary of Veterans Affairs, and the
Administrator of General Services, shall issue guidance for Federal
agencies to employ advanced tools allowing energy savings through the
use of computer hardware, energy efficiency software, and power
management tools.
(b) Reports on Plans and Savings.--Not later than 180 days after the
date of the issuance of the guidance under subsection (a), each Federal
agency shall submit to the Secretary of Energy a report that
describes--
(1) the plan of the agency for implementing the guidance
within the agency; and
(2) estimated energy and financial savings from employing the
tools described in subsection (a).
SEC. 402. AVAILABILITY OF FUNDS FOR DESIGN UPDATES.
Section 3307 of title 40, United States Code, is amended--
(1) by redesignating subsections (d) through (h) as
subsections (e) through (i), respectively; and
(2) by inserting after subsection (c) the following:
``(d) Availability of Funds for Design Updates.--
``(1) In general.--Subject to paragraph (2), for any project
for which congressional approval is received under subsection
(a) and for which the design has been substantially completed
but construction has not begun, the Administrator of General
Services may use appropriated funds to update the project
design to meet applicable Federal building energy efficiency
standards established under section 305 of the Energy
Conservation and Production Act (42 U.S.C. 6834) and other
requirements established under section 3312.
``(2) Limitation.--The use of funds under paragraph (1) shall
not exceed 125 percent of the estimated energy or other cost
savings associated with the updates as determined by a life-
cycle cost analysis under section 544 of the National Energy
Conservation Policy Act (42 U.S.C. 8254).''.
SEC. 403. BEST PRACTICES FOR ADVANCED METERING.
Section 543(e) of the National Energy Conservation Policy Act (42
U.S.C. 8253(e) is amended by striking paragraph (3) and inserting the
following:
``(3) Plan.--
``(A) In general.--Not later than 180 days after the
date on which guidelines are established under
paragraph (2), in a report submitted by the agency
under section 548(a), each agency shall submit to the
Secretary a plan describing the manner in which the
agency will implement the requirements of paragraph
(1), including--
``(i) how the agency will designate personnel
primarily responsible for achieving the
requirements; and
``(ii) a demonstration by the agency,
complete with documentation, of any finding
that advanced meters or advanced metering
devices (as those terms are used in paragraph
(1)), are not practicable.
``(B) Updates.--Reports submitted under subparagraph
(A) shall be updated annually.
``(4) Best practices report.--
``(A) In general.--Not later than 180 days after the
date of enactment of the Energy Savings and Industrial
Competitiveness Act of 2011, the Secretary of Energy,
in consultation with the Secretary of Defense and the
Administrator of General Services, shall develop, and
issue a report on, best practices for the use of
advanced metering of energy use in Federal facilities,
buildings, and equipment by Federal agencies.
``(B) Updating.--The report described under
subparagraph (A) shall be updated annually.
``(C) Components.--The report shall include, at a
minimum--
``(i) summaries and analysis of the reports
by agencies under paragraph (3);
``(ii) recommendations on standard
requirements or guidelines for automated energy
management systems, including--
``(I) potential common communications
standards to allow data sharing and
reporting;
``(II) means of facilitating
continuous commissioning of buildings
and evidence-based maintenance of
buildings and building systems; and
``(III) standards for sufficient
levels of security and protection
against cyber threats to ensure systems
cannot be controlled by unauthorized
persons; and
``(iii) an analysis of--
``(I) the types of advanced metering
and monitoring systems being piloted,
tested, or installed in Federal
buildings; and
``(II) existing techniques used
within the private sector or other non-
Federal government buildings.''.
SEC. 404. FEDERAL ENERGY MANAGEMENT AND DATA COLLECTION STANDARD.
Section 543 of the National Energy Conservation Policy Act (42 U.S.C.
8253) is amended--
(1) by redesignating the second subsection (f) (as added by
section 434(a) of Public Law 110-140 (121 Stat. 1614)) as
subsection (g); and
(2) in subsection (f)(7), by striking subparagraph (A) and
inserting the following:
``(A) In general.--For each facility that meets the
criteria established by the Secretary under paragraph
(2)(B), the energy manager shall use the web-based
tracking system under subparagraph (B)--
``(i) to certify compliance with the
requirements for--
``(I) energy and water evaluations
under paragraph (3);
``(II) implementation of identified
energy and water measures under
paragraph (4); and
``(III) follow-up on implemented
measures under paragraph (5); and
``(ii) to publish energy and water
consumption data on an individual facility
basis.''.
SEC. 405. ELECTRIC VEHICLE CHARGING INFRASTRUCTURE.
Section 804(4) of the National Energy Conservation Policy Act (42
U.S.C. 8287c(4)) is amended--
(1) in subparagraph (A), by striking ``or'' after the
semicolon;
(2) in subparagraph (B), by striking the period at the end
and inserting ``; or''; and
(3) by adding at the end the following:
``(C) a measure to support the use of electric
vehicles or the fueling or charging infrastructure
necessary for electric vehicles.''.
SEC. 406. FEDERAL PURCHASE REQUIREMENT.
Section 203 of the Energy Policy Act of 2005 (42 U.S.C. 15852) is
amended--
(1) in subsections (a) and (b)(2), by striking ``electric
energy'' each place it appears and inserting ``electric and
thermal energy'';
(2) by redesignating subsection (d) as subsection (e); and
(3) by inserting after subsection (c) the following:
``(d) Separate Calculation.--Renewable energy produced at a Federal
facility, on Federal land, or on Indian land (as defined in section
2601 of the Energy Policy Act of 1992 (25 U.S.C. 3501))--
``(1) shall be calculated separately from renewable energy
used; and
``(2) may be used individually or in combination to comply
with subsection (a).''.
SEC. 407. STUDY ON FEDERAL DATA CENTER CONSOLIDATION.
(a) In General.--The Secretary of Energy shall conduct a study on the
feasibility of a government-wide data center consolidation, with an
overall Federal target of a minimum of 800 Federal data center closures
by October 1, 2015.
(b) Coordination.--In conducting the study, the Secretary shall
coordinate with Federal data center program managers, facilities
managers, and sustainability officers.
(c) Report.--Not later than 1 year after the date of enactment of
this Act, the Secretary shall submit to Congress a report that
describes the results of the study, including a description of agency
best practices in data center consolidation.
TITLE V--MISCELLANEOUS
SEC. 501. OFFSETS.
(a) Zero-Net Energy Commercial Buildings Initiative.--Section 422(f)
of the Energy Independence and Security Act of 2007 (42 U.S.C.
17082(f)) is amended by striking paragraphs (2) through (4) and
inserting the following:
``(2) $50,000,000 for each of fiscal years 2009 through 2012;
``(3) $100,000,000 for fiscal year 2013; and
``(4) $200,000,000 for each of fiscal years 2014 through
2018.''.
(b) Energy Sustainability and Efficiency Grants and Loans for
Institutions.--Subsection (j) of section 399A of the Energy Policy and
Conservation Act (42 U.S.C. 6371h-1) (as redesignated by section
301(2)) is amended--
(1) in paragraph (1), by striking ``through 2013'' and
inserting ``and 2010, $100,000,000 for each of fiscal years
2011 and 2012, and $250,000,000 for fiscal year 2013''; and
(2) in paragraph (2), by striking ``through 2013'' and
inserting ``and 2010, $100,000,000 for each of fiscal years
2011 and 2012, and $425,000,000 for fiscal year 2013''.
(c) Waste Energy Recovery Incentive Program.--Section 373(f)(1) of
the Energy Policy and Conservation Act (42 U.S.C. 6343(f)(1)) is
amended--
(1) by redesignating subparagraph (B) as subparagraph (D);
and
(2) by striking subparagraph (A) and inserting the following:
``(A) $100,000,000 for fiscal year 2008;
``(B) $200,000,000 for each of fiscal years 2009 and
2010;
``(C) $100,000,000 for each of fiscal years 2011 and
2012; and''.
(d) Energy-intensive Industries Program.--Section 452(f)(1) of the
Energy Independence and Security Act of 2007 (42 U.S.C. 17111(f)(1)) is
amended--
(1) in subparagraph (D), by striking ``$202,000,000'' and
inserting ``$102,000,000''; and
(2) in subparagraph (E), by striking ``$208,000,000'' and
inserting ``$108,000,000''.
SEC. 502. BUDGETARY EFFECTS.
The budgetary effects of this Act, for the purpose of complying with
the Statutory Pay-As-You-Go-Act of 2010, shall be determined by
reference to the latest statement titled ``Budgetary Effects of PAYGO
Legislation'' for this Act, submitted for printing in the Congressional
Record by the Chairman of the Senate Budget Committee, provided that
such statement has been submitted prior to the vote on passage.
SEC. 503. ADVANCE APPROPRIATIONS REQUIRED.
The authorization of amounts under this Act and the amendments made
by this Act shall be effective for any fiscal year only to the extent
and in the amount provided in advance in appropriations Acts.
Purpose
The purpose of S. 1000 is to promote energy savings in
residential and commercial buildings and industry, and in
Federal, local, and Tribal governments.
Background and Need
Since the 1973 oil embargo and every subsequent energy
crisis, studies have shown that the United States could save
energy and money by investing in energy efficiency. Today,
efficient energy use and energy technologies are critical to
U.S. job creation and competitiveness. In addition, efficient
energy use reduces CO2 emissions and other
pollutants. Yet many existing energy efficiency technologies
and programs have not been installed or implemented.
The National Academies released a study in 2010 on the
potential for energy efficiency in commercial and residential
buildings, transportation, and manufacturing (Real Prospects
for Energy Efficiency in the United States). The study found
that the potential for increasing energy efficiency is enormous
and could more than offset the Energy Information
Administration's projected increases in U.S. consumption
through 2030.
The Energy Savings and Industrial Competitiveness Act of
2011 sets out a national strategy to increase the use of energy
efficiency technologies in the residential, commercial,
federal, and industrial sectors of our economy. The legislation
uses a variety of low-cost tools to reduce barriers for private
sector efficiency investments and drive the adoption of off-
the-shelf technologies that will save money for consumers and
businesses, make America more energy independent, and reduce
emissions. Efficiency technologies are commercially available
today, can be deployed in every state in the nation, and
quickly pay for themselves through energy savings.
Commercial and residential buildings combined consume 40
percent of all energy used. The U.S. industrial sector consumes
more energy than any other sector of our economy and the
Federal Government is the largest single energy consumer in the
U.S. S. 1000 targets these three sectors for an energy-
efficiency upgrade that will drive economic growth across all
regions of the country.
Legislative History
S. 1000 was introduced on May 16, 2011 by Senator Shaheen
and Senator Portman, and cosponsored by Senator Coons and
Senator Landrieu. The Committee on Energy and Natural Resources
held a legislative hearing on S. 1000 on June 9, 2011, and the
bill was ordered favorably reported with an amendment in the
nature of a substitute on July 14, 2011.
Parts of S. 1000 are similar to legislation introduced in
the 111th Congress. Title I, subtitle A, relating to building
energy codes, and subtitle B, relating to worker training and
capacity building, are similar to sections 241 and 243,
respectively, of S. 1462 in the 111th Congress, the American
Clean Energy Leadership Act of 2009, an original bill reported
by the Committee on Energy and Natural Resources on July 16,
2009.
S. Rept. 111-48. Title II, relating to building efficiency
finance, is similar to S. 3780 in the 111th Congress, the
Recovery Through Building Renovation Act of 2010, introduced by
Senator Shaheen on September 14, 2010. Title III, subtitle A,
relating to manufacturing energy efficiency, is similar to
title II, subtitle A, of S. 1462 in the 111th Congress. Title
III, subtitle B, relating to Supply Star, is similar to S. 3396
in the 111th Congress, the Supply Star Act of 2010, introduced
by Senator Bingaman on May 24, 2010. The Committee on Energy
and Natural Resources (subcommittee on Energy) held a hearing
on S. 3396 on June 15, 2010, S. Hrg. 111-699, and reported it
favorably on September 27, 2010. S. Rept. 111-319.
Committee Recommendation and Tabulation of Votes
The Senate Committee on Energy and Natural Resources, in
open business session on July 14, 2011, by majority vote of a
quorum present recommends that the Senate pass S. 1000, if
amended as described herein.
The rollcall vote on reporting the measure was 18 yeas and
3 nays as follows:
YEAS NAYS
Mr. Bingaman Mr. Paul
Mr. Wyden Mr. Heller
Mr. Johnson* Mr. Corker
Ms. Landrieu
Ms. Cantwell
Mr. Sanders
Ms. Stabenow*
Mr. Udall
Mrs. Shaheen
Mr. Franken*
Mr. Manchin
Mr. Coons
Ms. Murkowski
Mr. Barrasso
Mr. Risch*
Mr. Coats
Mr. Portman
Mr. Hoeven
*Indicates voting by Proxy. Mr. Lee did not vote.
Committee Amendment
During its consideration of S. 1000, the Committee approved
an amendment in the nature of a substitute. The substitute
amendment makes numerous changes in the bill as originally
introduced, principally, by deleting subtitle B of title I,
relating to appliance standards (which the Committee separately
reported as S. 398 on May 18, 2011); deleting section 201,
relating to the rural energy savings program; adding a new
subtitle D to title III, establishing an energy efficient
transformer rebate program; adding authorization offsets; and
reducing amounts authorized to be appropriated. In addition,
during the consideration of the substitute, the Committee
adopted an amendment to section 304 of the Energy Conservation
and Production Act (as amended by section 1010(a) of the
substitute), relating to building energy efficiency codes,
which makes it clear that nothing in section 304 requires a
State, local government, or Indian tribe to adopt a national
model building code or standard established under section 304.
Section-By-Section Analysis
TITLE I--BUILDINGS
Subtitle A--Building energy codes
Section 101(a) amends section 304 of the Energy
Conservation and Production Act (ECPA) (42 U.S.C. 6833),
relating to state building energy efficiency codes.
ECPA section 304(a)(1), as amended, directs the Secretary
of Energy to support the development of national model energy
codes to enable the achievement of energy savings targets. The
Secretary is directed to work with States, Indian Tribes,
nationally recognized codes and standards developers, and
others to establish 1 or more aggregate energy savings targets
to achieve the purposes of this section, and to encourage state
and local adoption of the codes and full compliance with the
State and local codes.
ECPA section 304(a)(2) directs the Secretary to support
updating of the model energy codes for residential buildings
and commercial buildings from the baseline of 2009 IECC for
residential buildings and ASHRAE standards 90.1-2010. Targets
for specific years are to be established by the Secretary
though rulemaking and coordinated with nationally recognized
codes and standards and are to promote the achievement of high
performance buildings through high performance efficiency. The
Secretary may consider factors affecting building energy use
and economic considerations including a return on investment
analysis in setting the targets.
ECPA section 304(a)(3) directs the Secretary to provide
technical assistance to model codes and standards
organizations. The assistance is to include evaluating codes or
standards, proposals, or revisions; building energy analysis
and design tools; building demonstrations; developing
definitions of energy use intensity and building types;
performance-based standards; evaluating economic
considerations, and developing model codes by Indian tribes. In
addition, the Secretary may submit amendment proposals to
enable the code or standard to meet its targets.
ECPA section 304(a)(4) sets forth the procedures for
revising model building codes and standards, and for addressing
codes or standards that do not meet the targets, or codes and
standards that have not been updated, and if necessary, the
Secretary may establish a modified national building energy
code.
ECPA section 304(a)(5) requires the Secretary to publish
notice of targets, determinations, and national model building
energy codes in the Federal Register with the explanation of
and the basis for such actions. The Secretary shall also
provide an opportunity for public comment on targets,
determination, and codes under this section.
ECPA section 304(b) requires that, within 2 years of the
establishment of national model building codes, States and
Indian tribes certify whether they have updated their codes,
and whether the codes meet the revised model code or achieve
equivalent of greater energy savings. Within 90 days of the
State or tribe's certification, the Secretary must determine
whether the state or tribal code meets the revised model code,
and if so, validate the certification.
ECPA section 304(c) provides that 3 years after the date of
a certification under subsection (b), each State and Indian
Tribe must certify whether it has achieved full compliance or
made significant progress toward achieving compliance, and
shall repeat the certification until the State or Indian tribe
has achieved full compliance. The section describes measurement
of compliance and the achievement of compliance, including
annual targets for compliance and active training and
enforcement.
ECPA section 304(d)(1) provides that a State or Indian
tribe that does not meet its targets shall submit a report to
the Secretary on the status of meeting the requirements and
submitting the certification and a plan for meeting the
requirements and submitting the certification.
ECPA section 304(d)(2) states that any State or Indian
tribe for which the Secretary has not acted on a certification
by a deadline under subsection (b) or (c) may be ineligible for
Federal support authorized under section 304 for code adoption
and compliance activities.
ECPA section 304(d)(3) provides that a local government may
be eligible for Federal support by meeting the certification
requirements of subsections (b) and (c).
ECPA section 304(e) and (f) direct the Secretary to provide
technical assistance to States and Indian tribes to implement
the requirements of this section.
ECPA section 304(g) directs the Secretary to provide
technical and financial support for Stretch Codes and Advanced
Standards.
ECPA section 304(h) authorizes studies of code
improvements.
ECPA section 304(i) states that notwithstanding any other
purpose of this section, any model building code or standard
established in this section shall not be binding on a state
established on a State, local government, or Indian tribe as a
matter of Federal law.
ECPA section 304(j) authorizes appropriations of
$200,000,000 to carry out the section.
Section 101(b) amends section 303 of the Energy
Conservation and Production Act to add definitions of ``IECC''
(the International Energy Conservation Code) and ``Indian
Tribe,'' which is given the same meaning given the term in
section 4 of the Native American Housing Assistance and Self-
Determination Act of 1996.
Subtitle B--Worker training and capacity building
Section 111 directs the Secretary to establish Building
Training and Assessment Centers at institutions of higher
learning, modeled after the Department of Energy's Industrial
Assessment Centers. These centers would identify and promote
opportunities, concepts, and technologies for enhancing
building energy and environmental performance. They would train
engineers, architects, building scientists, building permitting
and enforcement officials, and technicians; assist other
institutions to train building technicians; promote research
and development in clean energy technologies for buildings; and
coordinate services with technical training centers, community
colleges, and other relevant offices and institutions.
TITLE II--BUILDING EFFICIENCY FINANCE
Section 201 amends Title XVII of the Energy Policy Act of
2005 by adding a new Building Retrofit Financing Program. This
program would provide credit guarantees to reduce financing
risk for commercial and institutional building energy
efficiency projects. The range of financing mechanisms that
could be supported by this program would be very broad and
would include loans, power purchase agreements, energy service
agreements (e.g., energy service performance contracts),
property-assessed clean energy bonds or similar tax assessment-
based programs, and aggregate on-meter agreements. $400 million
would be authorized to be appropriated for the period of fiscal
years 2012-2021, and would remain available until expended.
TITLE III--INDUSTRIAL EFFICIENCY AND COMPETITIVENESS
Subtitle A--Manufacturing energy efficiency
Section 301 directs the Secretary to carry out a revolving
loan program under which loans are provided to commercial and
industrial manufacturers to implement commercially available
technologies or processes that reduce energy intensity and
improve the industrial competitiveness of the United States.
The Secretary would provide grants to eligible lenders to pay
part of the cost of revolving loan programs to enable
commercial and industrial manufacturers to adopt commercially
available technologies. Eligible lenders must be community and
economic development lenders that lead a partnership that
includes a state government agency and a private provider of
capital. Federal funds for an eligible lender will be capped at
$100,000,000 for any fiscal year, and must be cost matched by
non-Federal funds at least dollar-for-dollar.
Section 302 directs the Secretary to establish
collaborative research and development partnerships, as
appropriate, with other research and development programs in
the Department. Such research shall support the use of
innovative manufacturing processes and applied research for new
technologies and processes to improve efficiency, reduce waste,
and improve industrial cost-competitiveness.
Section 303(a) directs the Secretary to begin an assessment
of commercially available, cost-competitive energy efficiency
technologies that are not widely implemented within the United
States for following energy intensive industries: steel,
aluminum, forest and paper products, food processing, metal
casting, glass, chemicals, petroleum refining, cement,
information and communication, and other energy intensive
industries (as determined by the Secretary).
Section 303(b) directs the Secretary to publish a report
based on the assessment in subsection (a) and in collaboration
with the affected energy-intensive industries, not later than 1
year after the date of enactment of this Act. The report shall
include estimates of the benefits of adopting the cost-
competitive technologies, comparisons with other appropriate
countries, recommendations on creating jobs, and energy
savings.
Section 304 amends section 452 of the Energy Independence
and Security Act of 2007 (42 U.S.C. 17111). Subsection (a)
amends the section heading.
Section 304(b) adds a definition of the term ``Energy
Service Provider'' to EISA section 452(a).
Section 304(c) directs the Secretary through the Industrial
Technologies Program and in collaboration with industry to
establish a road mapping process for conducting industry
specific studies on the intensity of energy use, greenhouse gas
emissions, and operating costs.
Section 304(d) directs the Secretary to establish Centers
of Excellence at up to 10 industrial research and assessment
centers (IACs). The IACs would coordinate and partner with the
Manufacturing Extension Partnership at NIST, existing IACs, and
DOE industrial programs. They would perform outreach to small
and medium-sized manufacturers and identify greenhouse gas
reduction opportunities. The Secretary shall pay the Federal
share for internship programs under which students work for
industries and manufacturers. Subject to availability, each
Center would receive funding of not less than $500,000 per
fiscal year.
Section 305(a) amends part E of title III of the Energy
Policy and Conservation Act (42 U.S.C. 6341) by adding a new
section 376, which establishes a sustainable manufacturing
initiative under the Department of Energy Industrial
Technologies program to provide onsite technical assessments to
manufacturers. The assessments would identify opportunities to
maximize energy efficiency, prevent pollution, minimize waste,
and conserve water in the manufacturing process.
Section 306 directs the Secretary to contract with the
National Academy of Sciences to conduct a study of the
development of advanced manufacturing capabilities for
improvements in supply chains. The study would analyze the
history, current trends, and opportunities for improvements in
supply chains. It would analyze for each technology or
manufacturing sector the most critical parts of the supply
chain for competitiveness, assess emerging energy technologies,
and provide recommendations on leveraging energy efficiency and
renewable energy user facilities.
Section 307 directs the Secretary to establish an advisory
steering committee including national trade associations
representing energy-intensive industries to provide
recommendations to the Secretary on planning and implementation
of the Industrial Technologies Program.
Subtitle B--Supply Star
Section 311 amends part B of title III of the Energy Policy
and Conservation Act is amended to establish a Supply Star
program within the Department of Energy to identify practices,
companies, and products that use highly efficient supply
chains. The program would promote existing efficient supply
chain practices in a manner that conserves energy, water, and
other resources. The program would collect and disseminate
relevant data and metrics. The Department would share best
practices, provide benchmarking opportunities, and support
professional training, among other initiatives. The program
would coordinate efforts with the Energy Star program. The
final subsection authorizes the appropriation $10,000,000 for
the period of fiscal years 2012 through 2021 to carry out this
section.
Subtitle C--Electric motor rebate program
Section 321 directs the Secretary to establish a rebate
program to create an incentive for the purchase of new constant
speed electric motor controls that reduce a motor's energy use
by at least 5 percent. The rebate would be worth $25 per
horsepower of the motor. Subsection (c) authorizes
appropriation of $5 million for this provision for each fiscal
year 2012 through 2016.
TITLE IV--FEDERAL AGENCY ENERGY EFFICIENCY
Section 401 requires Federal Agencies to develop a plan for
adopting personal computer power savings techniques.
Section 402 allows the Administrator of General Services to
use appropriated funding to update plans for any project that
has been approved by Congress and for which construction has
not begun. The funds would be used to update the building
design to meet energy efficiency standards established in the
Energy Conservation and Production Act. Funds used for this
purpose could not exceed 125 percent of the estimate energy or
other cost savings resulting from the design changes.
Section 403 requires Federal agencies to create an
implementation plan, updated annually, for how each agency will
achieve the energy conservation requirement under the National
Energy Conservation Policy Act, including designating personnel
responsible for achieving the requirements. The Secretary of
Energy shall develop and issue an annual best-practices report
on advanced metering in Federal Facilities in collaboration
with the Secretary of Defense and the Administrator of General
Services.
Section 404 would, for required facilities, direct energy
managers to use a web-based tracking system to certify
compliance with energy and water requirements and to provide
implementation of energy and water measures to reduce
consumption.
Section 405 would expand the definition of energy or water
conservation measure in the National Energy Conservation Policy
Act to include measures that support the use of electric
vehicles and their necessary fueling and charging
infrastructure as part of an energy savings contract.
Section 406 would amend the Federal renewable purchase
requirement in the Energy Policy Act of 2005 to include thermal
as well as electric renewable electricity. Further, the section
would require calculation of renewable energy production at
Federal facilities, on Federal land, and on Indian lands and
allow such production to count toward compliance with the
Federal renewable purchase requirement.
Section 407 requires the Secretary to coordinate with
program and facility managers to conduct a feasibility study on
government-wide data centers with the intention of closing a
minimum of 800 Federal data centers. The Secretary shall
provide a report to Congress on the results of the study.
TITLE V--MISCELLANEOUS
Section 501 provides offsets for the authorizations in the
bill.
Section 502 states that the budgetary effects of the bill
under the Statutory Pay-as-You-Go regulations shall be
determined by the latest statement on the bill.
Section 503 specifies that authorizations for
appropriations shall apply only if such sums are actually
appropriated.
Cost and Budgetary Considerations
The following estimate of costs of this measure has been
provided by the Congressional Budget Office:
S. 1000--Energy Savings and Industrial Competitiveness Act of 2011
Summary: S. 1000 would authorize appropriations to support
a variety of activities aimed at promoting energy efficiency in
certain sectors of the economy. Assuming appropriation of the
authorized amounts, CBO estimates that implementing S. 1000
would have a net discretionary cost of $1.2 billion over the
2012-2016 period. S. 1000 could affect direct spending;
therefore, pay-as-you-go procedures apply. CBO estimates,
however, that any such effects would be insignificant in any
given year. Enacting S. 1000 would not affect revenues.
S. 1000 would impose an intergovernmental mandate, as
defined in the Unfunded Mandates Reform Act (UMRA), by
requiring states to certify to the Department of Energy (DOE)
whether or not they have updated residential and commercial
building codes to meet standards developed by building
efficiency organizations. CBO estimates that the cost of that
mandate would fall well below the annual threshold established
in UMRA ($71 million in 2011, adjusted annually for inflation).
The bill contains no private-sector mandates as defined in
UMRA.
Estimated cost to the Federal Government: The estimated
budgetary impact of S. 1000 is shown in the following table.
The costs of this legislation fall within budget function 270
(energy).
----------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
------------------------------------------------------------
2012 2013 2014 2015 2016 2012-2016
----------------------------------------------------------------------------------------------------------------
CHANGES IN SPENDING SUBJECT TO APPROPRIATION
New Authorizations:
Estimated Authorization Level.................. 1,080 460 451 452 453 2,896
Estimated Outlays.............................. 313 403 473 513 488 2,190
Reduced Authorizations:
Authorization Level............................ -800 -175 0 0 0 -975
Estimated Outlays.............................. -232 -251 -212 -165 -84 -944
Total Proposed Changes:
Estimated Authorization Level.............. 280 285 451 452 453 1,921
Estimated Outlays.......................... 81 152 261 348 404 1,246
----------------------------------------------------------------------------------------------------------------
Basis of estimate: S. 1000 would have a net discretionary
cost of $1.2 billion over the next five years, assuming
appropriation action consistent with the bill. The bill also
could affect direct spending, but CBO estimates that any such
effects would not be significant in any of the next 10 years.
Spending subject to appropriation
S. 1000 would authorize appropriations for a variety of
programs and activities aimed at promoting energy efficiency,
particularly within residential and commercial buildings and
the industrial sector. The bill also would reduce several
existing authorizations of appropriations for related
activities. Taken as a whole, CBO estimates that implementing
S. 1000 would have a net discretionary cost of $1.2 billion
over the 2012-2016 period.
New Authorizations. S. 1000 would specifically authorize
appropriations totaling $2.7 billion over the 2012-2016 period
for DOE to carry out a variety of activities directed toward
improving the energy efficiency of buildings and industrial
systems. That specified amount includes:
$2 billion for grants to nonfederal lenders
to support efforts by industrial and commercial
manufacturers to improve their energy efficiency;
$400 million to cover the federal
government's cost of providing certain types of credit
support for projects to upgrade the energy efficiency
of existing buildings that are privately owned;
$200 million to establish national
construction codes related to the energy efficiency of
residential and commercial buildings and to provide
technical assistance related to such codes;
$20 million to provide rebates to purchasers
of certain energy-efficient transformers and devices
that reduce energy consumed by motors;
$20 million for grants and other incentives
to improve the efficiency of processes involved in the
production and distribution of products; and
$10 million for onsite assessments of the
energy efficiency of manufacturing processes.
In addition, CBO estimates that implementing other
provisions of S. 1000 that direct DOE to expand ongoing efforts
by DOE and the General Services Administration (GSA) related to
building technologies and industrial energy efficiency would
require appropriations totaling $256 million over the 2012-2016
period. Most of that amount would be used by GSA to update
building designs and implement projects to meet certain energy-
efficiency requirements.
In total, assuming appropriation of amounts specified and
estimated to be necessary, CBO estimates that implementing S.
1000 would have a gross cost of almost $2.2 billion over the
2012-2016 period, with additional outlays occurring in later
years. That estimate is based on historical spending patterns
for activities similar to those authorized under S. 1000.
Reduced Authorizations. To offset a portion of increased
discretionary spending, S. 1000 would reduce some existing
authorizations of appropriations for DOE programs to support a
variety of grants, incentives, and initiatives related to
industrial energy efficiency and building technologies. In
total, S. 1000 would reduce amounts authorized to be
appropriated by $975 million over the 2012-2013 period.
Assuming future appropriations are reduced accordingly, CBO
estimates that implementing S. 1000 would result in $944
million less in discretionary spending for those programs over
the 2012-2016 period.
Direct spending
S. 1000 would amend title 17 of the Energy Policy Act of
2005 (title 17), which authorizes DOE to guarantee loans for
certain types of energy projects. Specifically, the bill would
authorize DOE to provide various forms of credit enhancements
to support projects to install certain types of energy-
efficient or renewable energy technologies in private and
public buildings--including federal buildings. (Credit
enhancements are actions that improve the credit worthiness of
a project.) The bill does not define the types of credit
enhancements that DOE could provide. Any transactions related
to issuing or guaranteeing debt would be subject to provisions
of the Federal Credit Reform Act (FCRA) that would prohibit DOE
from making any obligations without an up-front appropriation
to cover the subsidy cost of such arrangements. For purposes of
this estimate, CBO assumes that any spending for other forms of
credit enhancements--for example, grants or payments to project
sponsors--would also be subject to appropriation.
CBO also estimates, however, that implementing the proposed
program could affect direct spending in two ways. First, S.
1000 would authorize DOE to proceed with loan guarantees in
cases where borrowers pay upfront fees to cover anticipated
subsidy costs. Normally, DOE's authority to guarantee such
loans would be subject to limits specified in annual
appropriation acts; however, previously enacted appropriation
laws have already authorized DOE to guarantee loans under title
17. CBO does not expect all of that authority to be used by
existing programs over the 10-year period covered by this
estimate; therefore, a portion of it could be used to guarantee
loans under S. 1000. Any resulting net change in the timing of
outlays stemming from existing authority would be considered
direct spending. However, based on information from DOE about
the relatively small amount of loan volume remaining--$400
million--CBO estimates that any change in direct spending
resulting from the subsidy cost of using that authority would
be insignificant.
Finally, CBO expects that authorizing DOE to provide credit
enhancements could result in a marginal increase in federal
agencies' use of certain types of contracts and agreements that
support energy-efficiency projects. Under current law, federal
agencies have a variety of long-term contracting tools--
including energy savings performance contracts, power purchase
agreements, and enhanced-use leases--that support projects
undertaken by nonfederal parties. In some cases, the added
benefit of federal credit enhancements provided under S. 1000
could improve the economic viability of marginal projects,
increasing the probability that they proceed. In those cases,
CBO expects that credit enhancements provided under S. 1000
could result in an increased use of agencies' underlying
contracting authorities, which are considered a form of direct
spending. CBO estimates, however, that any additional direct
spending stemming from such marginal changes in agencies'
behavior would be insignificant in any year.
Pay-As-You-Go considerations: Enacting S. 1000 could
increase direct spending; therefore, pay-as-you-go procedures
apply. CBO estimates, however, that any such effects would be
insignificant in each year and over the next 10 years.
Estimated impact on State, local, and tribal governments:
S. 1000 would impose an intergovernmental mandate, as defined
in UMRA, by requiring states to certify to DOE whether or not
they have updated residential and commercial building codes to
meet standards developed by building efficiency organizations.
Because the mandate cost would just be the cost to provide that
certification (regardless of whether building codes are
updated), CBO estimates that the cost of that mandate would
fall well below the annual threshold established in UMRA ($71
million in 2011, adjusted annually for inflation).
Estimated impact on the private sector: This bill contains
no private-sector mandates as defined in UMRA.
Estimate prepared by: Federal costs: Megan Carroll,
Kathleen Gramp, and Matthew Pickford; Impact on State, local,
and tribal governments: Ryan Miller; Impact on the private
sector: Amy Petz.
Estimate approved by: Theresa Gullo, Deputy Assistant
Director for Budget Analysis.
Regulatory Impact Evaluation
In compliance with paragraph 11(b) of rule XXVI of the
Standing Rules of the Senate, the Committee makes the following
evaluation of the regulatory impact which would be incurred in
carrying out S. 1000.
S. 1000 directs the Secretary of Energy to support the
development of national model building energy codes and
encourage and support States and Indian tribes to adopt
building codes that meet or exceed the national model building
energy codes. But the measure does not require individuals or
businesses to comply with the national model codes.
No personal information would be collected in administering
the program. Therefore, there would be no impact on personal
privacy.
S. 1000 requires States and Indian tribes to certify their
compliance or progress toward meeting the national model
building energy codes, and imposes various reporting and data
collecting requirements on the Secretary of Energy and federal
energy managers. The Secretary may also require applicants for
loans and rebates established under the measure to provide such
information as the Secretary may require to implement those
programs, but the Committee does not expect the bill's
information collecting requirements to impose substantial
additional paperwork or recordkeeping burdens, in either time
or financial cost, on private individuals or businesses.
Congressionally Directed Spending
S. 1000, as ordered reported, does not contain any
congressionally directed spending items, limited tax benefits,
or limited tariff benefits as defined in rule XLIV of the
Standing Rules of the Senate.
Executive Communications
The testimony provided by the Department of Energy at the
June 6, 2011 Full Committee hearing on S. 1000 follows:
Statement of Kathleen Hogan, Deputy Assistant Secretary for Energy
Efficiency, Office of Energy Efficiency and Renewable Energy,
Department of Energy
Chairman Bingaman, Ranking Member Murkowski and Members of
the Committee, thank you for the opportunity to discuss the
Department of Energy's (DOE's) energy efficiency and Advanced
Vehicles Technology Programs. The Administration is still
reviewing the Reducing Federal Energy Dollars Act of 2011 (S.
963), the Energy Savings and Industrial Competitiveness Act of
2011 (S. 1000), and the Alternative Fuel Vehicles
Competitiveness and Energy Security Act of 2011 (S. 1001).
While the Administration does not take a position at this time,
my statement will provide you with information on work DOE is
already doing to create jobs, build a new clean energy economy,
and help save consumers and businesses money through improved
energy efficiency.
At EERE, we work to remove the barriers to the rapid
conversion of innovative research into commercial products,
manufacturing, and jobs. And we work with other federal, state,
and local governments to speed the adoption of these American
innovations. The new businesses in clean energy production,
installation, and operation are playing a key role driving
economic growth and job creation.
The market for clean energy technology is growing quickly
and many countries have mounted aggressive national efforts to
capture market share. China, for example, has moved quickly to
dominate the development of next generation clean energy
products through low-cost production and investments in
research infrastructure. As the President said, ``this is our
generation's Sputnik moment.'' To show his clear commitment to
our future, he has asked for a significant increase in funding
for energy efficiency and renewable energy in the FY12 budget
proposal, even in a budget which moves overall domestic
discretionary spending to the lowest levels in a generation.
To win the future, we have to be a nation that makes,
creates, and innovates. Across the country, we are seeing
strong evidence that the out-build and out-innovate pillars the
Administration has put forward are paying off. In October of
last year, for example, manufacturing posted its first twelve-
month gain in more than ten years, and has added close to
250,000 jobs since the December 2009 low. The Administration
continues to be optimistic about the prospects for
manufacturing in the recovery.
Manufacturing remains one of the most globally competitive
economic sectors we have. It also is one of the most visible
economic sectors we have, with middle-class Americans clearly
understanding the impact that strengthened manufacturing has on
their lives and their communities.
The challenges we face mean that we need to move with
unprecedented speed and scale. Success is measured by private
innovation and investment but can begin with well-crafted
federal programs that will help achieve a number of important
goals:
A vigorous and profitable residential and
commercial building retrofit industry, cost-effectively
saving 30-50 percent of the energy used in existing
buildings;
Solar energy, offshore wind energy, and
geothermal plants fully competitive with conventional
sources of electricity;
Fuels that can be drop-in replacements for
gasoline, diesel fuel, or jet fuel priced competitively
with products produced from petroleum;
Large fleets of electric and hybrid cars
supported by a network of charging stations to support
them; and
Trucks with over 50% improvement in fuel
economy.
Small federal investments have led to major breakthroughs
like the invention of the internet and Global Positioning
Systems or ``GPS'' found in most cellular devices today.
Similarly, EERE investments past, present, and future are
critical to achieving these goals. As one example, in 2009, the
U.S. had only two, relatively small, factories manufacturing
advanced vehicle batteries, and produced less than two percent
of the world's hybrid vehicle batteries.\1\ But over the next
few years, thanks to investments from the American Recovery and
Reinvestment Act of 2009 (Recovery Act) in battery and electric
drive component manufacturing, and electric drive demonstration
and infrastructure, the U.S. will be able to produce enough
batteries and components to support 500,000 plug-in and
electric vehicles per year. High volume manufacturing, coupled
with battery technology advances, design optimization, and
material cost reductions, could lead to a drop in battery costs
of 50 percent by 2013 compared to 2009, which will lower the
cost of electric vehicles, making them accessible to more
consumers.
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\1\http://www.whitehouse.gov/sites/default/files/
blueprint_secure_energy_future.pdf
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These kinds of breakthroughs are especially important in
the transportation sector, which alone accounts for
approximately two-thirds of the United States' oil consumption
and contributes to one-third of the Nation's greenhouse gas
(GHG) emissions.\2\ After housing, transportation is the second
biggest monthly expense for most American families.\3\ As the
President said in his recent energy speech, ``In an economy
that relies so heavily on oil, rising prices at the pump affect
everybody.'' Emphasizing that ``there are no quick fixes,'' the
President outlined a portfolio of actions which, taken
together, could cut U.S. oil imports by a third by 2025.
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\2\http://www1.eere.energy.gov/vehiclesandfuels/pdfs/
vehicles_fs.pdf
\3\http://www.bls.gov/news.release/cesan.nr0.htm
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The draft legislation being addressed today focuses on
three areas:
Clean energy in the Federal sector
Energy efficiency in the industrial sector
and building codes
Alternative fuel vehicles
General comments are provided on each of these three areas,
but the Department has no comments on the specific content of
the legislation, as these bills are currently under review by
the Administration.
clean energy in the federal sector
Constructing and operating Federal facilities in a
sustainable manner has numerous well-documented benefits,
including:
Saving taxpayer dollars through optimized
life-cycle cost-effective actions;
Enhancing employee productivity through the
provision of safe, healthy and environmentally
appealing workplaces;
Reducing environmental impacts through
decreased energy, water, and materials use; and
Moving the overall market conditions toward
higher performance, through the Federal demand for
sustainable facilities.
These benefits are sizable, in part, due to the size of the
Federal Government. The Federal Government is estimated to use
about 1.6 percent of the Nation's total energy, occupy nearly
500,000 buildings, operate more than 600,000 vehicles, and
purchase more than $500 billion per year in goods and services.
The Federal government is making substantial progress
toward its sustainability goals mandated in EPAct 2005, EISA
2007, and Executive Order 13514, signed by President Obama in
October, 2009. For example, in FY 2010, the Federal Government
reported a 15 percent decrease in site-delivered Btu per square
foot compared with baseline year 2003. This meets the EISA
statutory reduction goal for FY 2010.
FY 2010 was also the highest level year to date for the use
of Energy Savings Performance Contracting with these contacts
totaling more than $560 million in investment in Federal
facilities. This type of performance-based contracting is
extremely important to meeting the Federal sustainability goals
due to the pressures on Federal appropriations and increasing
goals for reduced energy intensity, energy savings goals that
increase to 30% by 2015.
In FY 2010, Federal agencies also reported purchasing or
producing renewable electric energy representing 5.2 percent of
the Federal Government's electricity use, achieving the EPAct
2005 goal of five percent. This more than doubled renewable
energy use as a percentage of total facility electricity use
since 2003. The five percent goal remains in place until FY
2013, when it will increase to 7.5 percent under current
statute. Not counted in this metric is the significant amount
of non-electric renewable energy produced and purchased by the
Government that displaces the need for additional electric
generation. This includes thermal energy, such as solar hot
water and space heating, geothermal energy, steam from biomass,
and landfill methane.
DOE is also making progress to improve the transparency of
Federal building energy efficiency, as required under EISA
2007, Section 432. DOE expects to have a web-based system that
provides information on the energy efficiency of metered
buildings and on the cost-effective improvement opportunities
that exist in Federal facilities publicly available by Fall
2011.
energy efficiency in the industrial sector and building codes
The Energy Savings and Industrial Competitiveness Act (S.
1000) outlines new provisions for building codes, appliance
standards, and industrial energy efficiency among other areas.
Energy-conserving appliance standards are one of the
significant steps the Administration has taken to save energy
in homes and businesses nationwide, and pave the way toward a
clean energy future for our country.\4\ Since January 2009, the
Department of Energy has finalized new efficiency standards for
more than twenty household and commercial products, which are
projected to cumulatively save consumers between $250 billion
and $300 billion over the next 20 years.\5\ These standards can
provide an immediate and economically responsible way to
increase the nation's energy security while protecting the
environment. Improvements in energy efficiency can be made
today to yield significant near-term and long-term economic and
environmental benefits for the nation.\6\
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\4\http://www.whitehouse.gov/issues/energy-and-environment
\5\http://www.energy.gov/news/9582.htm
\6\See, for example: McKinsey and Company (2007). Reducing U.S.
Greenhouse Gas Emissions: How Much at What Cost? (http://www.epa.gov/
cleanenergy/documents/suca/cost-effectiveness.pdf) and Lazard
Associates. Feb. 2009. Levelized Cost of Energy Analysis Version 3.0.
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In 2007, Congress recognized the importance of negotiated
consensus standards, amending the Energy Policy and
Conservation Act (EPCA) to allow for an expedited rulemaking
process in the event a representative group of stakeholders
could reach agreement. Several DOE rules currently under
development and review overlap with the proposed consensus
standards. Although the agency cannot presuppose the level of
the final standards, it is seriously considering these
consensus recommendations. The agency's preliminary analyses
accompanying the proposed rules for these standards suggest
that the potential net benefits from these recommended levels
could yield tens of billions of dollars in fuel savings and
lower greenhouse gas emissions.
U.S. industry accounts for about one-third of U.S. energy
use while contributing to about 12% of U.S. Gross Domestic
Product.\7\ Improving industrial energy efficiency will result
in saving money and enhancing U.S. competitiveness in the
world's manufacturing sector. By partnering with the private
sector, DOE has already managed to save more than 9.3
quadrillion Btu of energy and reduced carbon emissions by over
206 million metric tons.
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\7\http://www1.eere.energy.gov/industry/about/pdfs/
itp_program_fact_sheet.pdf
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Supply chain energy efforts can make an important
contribution to overall industrial efficiency and the
competitive position of domestic suppliers. Analysis suggests
that a large part of the carbon footprint for many consumer
products can be attributed to the supply chain--from raw
materials, transport, and packaging to the energy consumed in
manufacturing processes--on the order of 40 to 60 percent. DOE
and the Environmental Protection Agency (EPA) both have
existing initiatives that address supply chain efficiency, such
as Save Energy Now' at DOE and ENERGY STAR. For
example, through its national Save Energy Now'
initiative, DOE encourages manufacturing companies to engage
their supply chains in energy and carbon management, while at
EPA, ENERGY STAR has engaged whole industries to support their
customers and supply chains in building effective energy
management programs. Specifically, DOE and EPA develop
processes and resources to assist companies in promoting energy
management to their industrial suppliers and customers. Save
Energy Now' LEADER Companies make a voluntary
commitment to reduce their energy intensity by 25 percent in 10
years. Many of these companies are interested in improving the
efficiency of their supply chains as well. ENERGY STAR boasts a
growing group of corporations that have used ENERGY STAR to
influence key suppliers to effectively manage energy.
DOE is also working with Superior Energy Performance (SEP),
a voluntary certification program helping to provide industrial
facilities with a roadmap for achieving continual improvement
in energy efficiency while maintaining competitiveness. A
central element of SEP is implementation of the International
Organization for Standardization (ISO) 50001 energy management
standard, with additional requirements to achieve and document
energy intensity improvements. DOE is working through SEP to
bring ISO 50001 to the U.S. Upon its publication this American
National Standards Institute-accredited program is anticipated
to provide companies with a framework for fostering energy
efficiency at the plant level and a consistent methodology for
measuring and validating energy efficiency and intensity
improvements. This new framework has the opportunity to be an
important tool to integrate into supply chain efforts.
alternative fuel vehicles
Few technologies hold greater promise for reducing our
dependence on oil than alternative fuel vehicles. The
Administration has set a goal to have the United States become
the first country with a million electric vehicles on the road.
Meeting this goal will help the United States become a leader
in the clean energy economy, while capitalizing on the
ingenuity of American industry. Manufacturing products needed
for the clean energy economy will generate long term economic
strength in the U.S., creating jobs across the country while
reducing air pollution and greenhouse gas emissions. The
Administration supports the goal of utilizing alternative fuel
technologies to break our dependence on oil and to move toward
a clean energy future. The DOE looks forward to working with
Congress to achieve these objectives.
DOE's Vehicle Technologies Program is helping the Nation
lead the way in alternative fuel vehicle innovation. DOE has
helped reduce the cost of PHEV Lithium Ion batteries to $650
per kilowatt-hour, a 35% reduction from the 2008 baseline of
$1,000 per kilowatt-hour. This is making oil alternatives
competitive in general while specifically increasing U.S.
competitiveness in the global market.
conclusion
In conclusion, the Department of Energy thanks the
Subcommittee for the opportunity to comment on these proposed
initiatives. We look forward to working with Congress to
develop strong, effective clean energy policy to ensure U.S.
leadership on these global issues and in the clean energy
economy. I am happy to answer any questions Committee Members
may have.
Changes in Existing Law
In compliance with paragraph 12 of rule XXVI of the
Standing Rules of the Senate, changes in existing law made by
the bill S. 1000, as ordered reported, are shown as follows
(existing law proposed to be omitted is enclosed in black
brackets, new matter is printed in italic, existing law in
which no change is proposed is shown in roman):
TABLE OF LAWS AFFECTED
Energy Conservation and Production Act
Energy Policy Act of 2005
Energy Policy and Conservation Act
Energy Independence and Security Act of
2007
Title 404--Public Buildings, Property,
and Works
National Energy Conservation Policy Act
ENERGY CONSERVATION AND PRODUCTION ACT
Public Law 94-385, as Amended
AN ACT To amend the Federal Energy Administration Act of 1974 to extend
the duration of authorities under such Act; to provide an incentive for
domestic production; to provide for electric utility rate design
initiatives; to provide for energy conservation standards for new
buildings; to provide for energy conservation assistance for existing
buildings and industrial plants; and for other purposes.
* * * * * * *
TITLE III--ENERGY CONSERVATION STANDARDS FOR NEW BUILDINGS
DEFINITIONS
Sec. 303. As used in this title:
(1) The term ``Administrator'' means the
Administrator of the Federal Energy Administration;
except that after such Administration ceases to exist,
such term means any officer of the United States
designated by the President for purposes of this title.
* * * * * * *
(16) The term ``ASHRAE'' means the American Society
of Heating, Refrigerating, and Air-Conditioning
Engineers.
(17) IECC.--The term ``IECC'' means the International
Energy Conservation Code.
(18) Indian tribe.--The term ``Indian tribe'' has the
meaning given the term in section 4 of the Native
American Housing Assistance and Self-Determination Act
of 1996 (25 U.S.C. 4103).
[SEC. 304. UPDATING STATE BUILDING ENERGY EFFICIENCY CODES.
[(a) Consideration and Determination Respecting Residential
Building Energy Codes.--(1) Not later than 2 years after the
date of the enactment o the Energy Policy Act of 1992, each
State shall certify to the Secretary that it has reviewed the
provisions of its residential building code regarding energy
efficiency and made a determination as to whether it is
appropriate for such State to revise such residential building
code provisions to meet or exceed CABO Model Energy Code, 1992.
[(2) The determination referred to in paragraph (1) shall
be--
[(A) made after public notice and hearing;
[(B) in writing;
[(C) based upon findings included in such
determination and upon the evidence presented at the
hearing; and
[(D) available to the public.
[(3) Each State may, to the extent consistent with
otherwise applicable State law, revise the provisions of its
residential building code regarding energy efficiency to meet
or exceed CABO Model Energy Code, 1992, or may decline to make
such revisions.
[(4) If a State makes a determination under paragraph (1)
that it is not appropriate for such State to revise its
residential building code, such State shall submit to the
Secretary, in writing, the reasons for such determination, and
such statement shall be available to the public.
[(5)(A) Whenever CABO Model Energy Code, 1992, (or any
successor of such code) is revised, the Secretary shall, not
later than 12 months after such revision, determine whether
such revision would improve energy efficiency in residential
buildings. The Secretary shall publish notice of such
determination in the Federal Register.
[(B) If the Secretary makes an affirmative determination
under subparagraph (A), each State shall, not later than 2
years after the date of the publication of such determination,
certify that it has reviewed the provisions of its residential
building code regarding energy efficiency and made a
determination as to whether it is appropriate for such State to
revise such residential building code provisions to meet or
exceed the revised code for which the Secretary made such
determination.
[(C) Paragraphs (2), (3), and (4) shall apply to any
determination made under subparagraph (B).
[(b) Certification of Commercial Building Energy Code
Updates.--(1) Not later 2 years after the date of the enactment
of the Energy Policy Act of 1992, each State shall certify to
the Secretary that it has reviewed and updated the provisions
of its commercial building code regarding energy efficiency.
Such certification shall include a demonstration that such
State's code provisions meet or exceed the requirements of
ASHRAE Standard 90.1-1989.
[(2)(A) Whenever the provisions of ASHRAE Standard 90.1-
1989 (or any successor standard) regarding energy efficiency in
commercial buildings are revised, the Secretary shall, not
later than 12 months after the date of such revision, determine
whether such revision will improve energy efficiency in
commercial buildings. The Secretary shall publish a notice of
such determination in the Federal Register.
[(B)(i) If the Secretary makes an affirmative determination
under subparagraph (A), each State shall, not later than 2
years after the date of the publication of such determination,
certify that it has reviewed and updated the provisions of its
commercial building code regarding energy efficiency in
accordance with the revised standard for which such
determination was made. Such certification shall include a
demonstration that the provisions of such State's commercial
building code regarding energy efficiency meet or exceed such
revised standard.
[(ii) If the Secretary makes a determination under
subparagraph (A) that such revised standard will not improve
energy efficiency in commercial buildings, State commercial
building code provisions regarding energy efficiency shall meet
or exceed ASHRAE Standard 90.1-1989, or if such standard has
been revised, the last revised standard for which the Secretary
has made an affirmative determination under subparagraph (A).
[(c) Extensions.--The Secretary shall permit extensions of
the deadlines for the certification requirements under
subsections (a) and (b) if a State can demonstrate that it has
made a good faith effort to comply with such requirements and
that it has made significant progress in doing so.
[(d) Technical Assistance.--The Secretary shall provide
technical assistance to States to implement the requirements of
this section, and to improve and implement State residential
and commercial building energy efficiency codes or to otherwise
promote the design and construction of energy efficient
buildings.
[(e) Availability of Incentive Funding.--(1) The Secretary
shall provide incentive funding to States to implement the
requirements of this section, and to improve and implement
State residential and commercial building energy efficiency
codes, including increasing and verifying compliance with such
codes. In determining whether, and in what amount, to provide
incentive funding under this subsection, the Secretary shall
consider the actions proposed by the State to implement the
requirements of this section, to improve and implement
residential and commercial building energy efficiency codes,
and to promote building energy efficiency through the use of
such codes.
[(2) Additional funding shall be provided under this
subsection for implementation of a plan to achieve and document
at least a 90 percent rate of compliance with residential and
commercial building energy efficiency codes, 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 2004 International Energy Conservation
Code, or any succeeding version of that code
that has received an affirmative determination
from the Secretary under subsection (a)(5)(A);
and
[(ii) a commercial building energy efficiency
code that meets or exceeds the requirements of
the ASHRAE Standard 90.1-2004, or any
succeeding version of that standard that has
received an affirmative determination from the
Secretary under subsection (b)(2)(A); or
[(B) in a State in which there is no statewide energy
code either for residential buildings or for commercial
buildings, to a local government that has adopted and
is implementing residential and commercial building
energy efficiency codes, as described in subparagraph
(A).
[(3) Of the amounts made available under this subsection,
the Secretary may use $500,000 for each fiscal year to train
State and local officials to implement codes described in
paragraph (2).
[(4)(A) There are authorized to be appropriated to carry
out this subsection--
[(i) $25,000,000 for each of fiscal years 2006
through 2010; and
[(ii) such sums as are necessary for fiscal year 2011
and each fiscal year thereafter.
[(B) Funding provided to States under paragraph (2) for
each fiscal year shall not exceed one-half of the excess of
funding under this subsection over $5,000,000 for the fiscal
year.]
SEC. 304. UPDATING STATE BUILDING ENERGY EFFICIENCY CODES.
(a) Updating National Model Building Energy Codes.--
(1) In general.--The Secretary shall--
(A) support the development of national model
building energy codes, including the updating
of ASHRAE and IECC model building energy codes
and standards;
(B) encourage and support the adoption of
building energy codes by States, Indian tribes,
and, as appropriate, by local governments that
meet or exceed the national model building
energy codes, or achieve equivalent or greater
energy savings; and
(C) support full compliance with the State
and local codes.
(2) Targets.--
(A) In general.--The Secretary shall support
the updating of the national model building
energy codes for residential buildings and
commercial buildings to enable the achievement
of energy savings targets established under
subparagraph (B).
(B) Targets.--
(i) In general.--The Secretary shall
work with State, Indian tribes, local
governments, nationally recognized code
and standards developers, and other
interested parties to support the
updating of national model building
energy codes by establishing 1 or more
aggregate energy savings targets to
achieve the purposes of this section.
(ii) Separate targets.--The Secretary
may establish separate targets for
commercial and residential buildings.
(iii) Baselines.--The baseline for
updating national model codes shall be
the 2009 IECC for residential buildings
and ASHRAE Standard 90.1-2010 for
commercial buildings.
(iv) Specific years.--
(I) In general.--Targets for
specific years shall be
established and revised by the
Secretary through rulemaking
and coordinated with nationally
recognized code and standards
developers at a level that--
(aa) is at the
maximum level of energy
efficiency that is
technologically
feasible and lifecycle
cost effective, while
accounting for the
economic considerations
under subparagraph (D);
(bb) is higher than
the preceding target;
and
(cc) promotes the
achievement of
commercial and
residential high-
performance buildings
through high
performance energy
efficiency (within the
meaning of section 401
of the Energy
Independence and
Security Act of 2007
(42 U.S.C. 17061)).
(II) Initial targets.--Not
later than 1 year after the
date of enactment of this
clause, the Secretary shall
establish initial targets under
this subparagraph.
(III) Different target
years.--Subject to subclause
(I), prior to the applicable
year, the Secretary may set a
different target year for any
of model codes described in
clause (i) if the Secretary
determines that a higher target
cannot be met.
(IV) Small business.--When
establishing targets under this
subparagraph through
rulemaking, the Secretary shall
ensure compliance with the
Small Business Regulatory
Enforcement Fairness Act of
1996 (5 U.S.C. 601 note; Public
Law 104-121).
(C) Appliance standards and other factors
affecting building energy use.--In establishing
building code targets under subparagraph (B),
the Secretary shall develop and adjust the
targets in recognition of potential savings and
costs relating to--
(i) efficiency gains made in
appliances, lighting, windows,
insulation, and building envelope
sealing;
(ii) advancement of distributed
generation and on-site renewable power
generation technologies;
(iii) equipment improvements for
heating, cooling, and ventilation
systems;
(iv) building management systems and
SmartGrid technologies to reduce energy
use; and
(v) other technologies, practices,
and building systems that the Secretary
considers appropriate regarding
building plug load--and other energy
uses.
(D) Economic considerations.--In establishing
and revising building code targets under
subparagraph (B), the Secretary shall consider
the economic feasibility of achieving the
proposed targets established under this section
and the potential costs and savings for
consumers and building owners, including a
return on investment analysis.
(3) Technical assistance to model codesetting and
standard development organizations.--
(A) In general--The Secretary shall, on a
timely basis, provide technical assistance to
model code-setting and standard development
organizations.
(B) Assistance.--The assistance shall
include, as requested by the organizations,
technical assistance in--
(i) evaluating code or standards
proposals or revisions;
(ii) building energy analysis and
design tools;
(iii) building demonstrations;
(iv) developing definitions of energy
use intensity and building types for
use in model codes and standards or in
evaluating the efficiency impacts of
the codes and standards;
(v) performance-based standards;
(vi) evaluating economic
considerations under paragraph (2)(D);
and
(vii) developing model codes by
Indian tribes in accordance with tribal
law.
(C) Amendment proposals.--The Secretary may
submit timely code and standard amendment
proposals to the model code-setting and
standard development organizations, with
supporting evidence, sufficient to enable the
model building energy codes and standards to
meet the targets established under paragraph
(2)(B).
(D) Analysis methodology.--The Secretary
shall make publicly available the entire
calculation methodology (including input
assumptions and data) used by the Secretary to
estimate the energy savings of code or standard
proposals and revisions.
(4) Determination and establishment.--
(A) Revision of model building codes and
standards.--If the provisions of the IECC or
ASHRAE Standard 90.1 regarding building energy
use are revised, the Secretary shall make a
preliminary determination not later than 90
days after the date of the revision, and a
final determination not later than 1 year after
the date of the revision, on whether the
revision will--
(i) improve energy efficiency in
buildings compared to the existing
national model building energy code;
and
(ii) meet the applicable targets
under paragraph (2)(B).
(B) Codes or standards not meeting targets.--
(i) In general.--If the Secretary
makes a preliminary determination under
subparagraph (A)(ii) that a code or
standard does not meet the targets
established under paragraph (2)(B), the
Secretary may at the same time provide
the model code or standard developer
with proposed changes that would result
in a model code that meets the targets
and with supporting evidence, taking
into consideration--
(I) whether the modified code
is technically feasible and
life-cycle cost effective;
(II) available appliances,
technologies, materials, and
construction practices; and
(III) the economic
considerations under paragraph
(2)(D).
(ii) Incorporation of changes.--
(I) In general.--On receipt
of the proposed changes, the
model code or standard
developer shall have an
additional 180 days to
incorporate changes into the
model code or standard.
(II) Final determination.--A
final determination under
subparagraph (A) shall be on
the modified model code or
standard.
(C) Positive determinations.--If the
Secretary makes positive final determinations
under clauses (i) and (ii) of subparagraph (A)
or under clause (i) of subparagraph (A) if the
applicable target has not been established, the
revised IECC or ASHRAE Standard 90.1 shall be
established as the relevant national model
building energy code.
(D) Establishment by secretary.--
(i) In general.--If the Secretary
makes a negative final determination
under subparagraph (A)(ii), the
Secretary shall at the same time
establish a modified national model
building energy code.
(ii) Codes or standards not
updated.--If the IECC or ASHRAE
Standard 90.1 is not revised by a
target date under paragraph (2), the
Secretary shall, not later than 90 days
after the target date, issue a draft
of, and not later than 1 year after the
target date, establish, a modified
national model building energy code.
(iii) Requirements.--Any national
model building energy code established
under this subparagraph shall--
(I) meet the targets
established under paragraph
(2);
(II) achieve the maximum
level of energy savings that is
technologically feasible and
life-cycle cost-effective,
while accounting for the
economic considerations under
paragraph (2)(D);
(III) be based on the latest
edition of the IECC or ASHRAE
Standard 90.1, including any
subsequent amendments, addenda,
or additions, but may also
consider other model codes or
standards; and
(IV) observe and protect the
intellectual property rights of
nationally recognized code and
standards developers.
(5) Administration.--In carrying out this section,
the Secretary shall--
(A) publish notice of targets,
determinations, and national model building
energy codes under this section in the Federal
Register to provide an explanation of and the
basis for such actions, including any
supporting modeling, data, assumptions,
protocols, and cost-benefit analysis, including
return on investment; and
(B) provide an opportunity for public comment
on targets, determinations, and national model
building energy codes under this section.
(b) State and Indian Tribe Certification of Building Energy
Code Updates.--
(1) Review and updating of codes by each state and
indian tribe.--
(A) In general.--Not later than 2 years after
the date on which a national model building
energy code is established or revised under
subsection (a), each State and Indian tribe
shall certify whether or not the State and
Indian tribe, respectively, has reviewed and
updated the energy provisions of the building
code of the State and Indian tribe,
respectively.
(B) Demonstration.--The certification shall
include a demonstration of whether or not the
code provisions that are in effect throughout
the State and Indian tribe--
(i) meet or exceed the revised model
code; or
(ii) achieve equivalent or greater
energy savings.
(C) No model code update.--If the Secretary
fails to revise a national model building
energy code by the date specified in subsection
(a)(4), each State and Indian tribe shall, not
later than 2 years after the specified date,
certify whether or not the State and Indian
tribe, respectively, has reviewed and updated
the energy provisions of the building code of
the State and Indian tribe, respectively, to
meet or exceed the target in subsection (a)(2).
(2) Validation by secretary.--Not later than 90 days
after a State or Indian tribe certification under
paragraph (1), the Secretary shall--
(A) determine whether the code provisions of
the State or Indian tribe, respectively, meet
the criteria specified in paragraph (1); and
(B) if the determination is positive,
validate the certification.
(c) Improvements in Compliance With Building Energy
Codes.--
(1) Requirement.--
(A) In general.--Not later than 3 years after
the date of a certification under subsection
(b), each State and Indian tribe shall certify
whether or not the State and Indian tribe,
respectively, has--
(i) achieved full compliance under
paragraph (3) with the applicable
certified State and Indian tribe
building energy code or with the
associated national model building
energy code; or
(ii) made significant progress under
paragraph 4 toward achieving compliance
with the applicable certified State and
Indian tribe building energy code or
with the associated national model
building energy code.
(B) Repeat certifications.--If the State or
Indian tribe certifies progress toward
achieving compliance, the State or Indian tribe
shall repeat the certification until the State
or Indian tribe certifies that the State or
Indian tribe has achieved full compliance,
respectively.
(2) Measurement of compliance.--A certification under
paragraph (1) shall include documentation of the rate
of compliance based on--
(A) independent inspections of a random
sample of the buildings covered by the code in
the preceding year; or
(B) an alternative method that yields an
accurate measure of compliance.
(3) Achievement of compliance.--A state or Indian
tribe shall be considered to achieve full compliance
under paragraph (1) if--
(A) at least 90 percent of building space
covered by the code in the preceding year
substantially meets all the requirements of the
applicable code specified in paragraph (1), or
achieves equivalent or greater energy savings
level; or
(B) the estimated excess energy use of
buildings that did not meet the applicable code
specified in paragraph (1) in the preceding
year, compared to a baseline of comparable
buildings that meet this code, is not more than
5 percent of the estimated energy use of all
buildings covered by this code during the
preceding year.
(4) Significant progress toward achievement of
compliance.--A State or Indian tribe shall be
considered to have made significant progress toward
achieving compliance for purposes of paragraph (1) if
the State or Indian tribe--
(A) has developed and is implementing a plan
for achieving compliance during the 8-year
period beginning on the date of enactment of
this paragraph, including annual targets for
compliance and active training and enforcement
programs; and
(B) has met the most recent target under
subparagraph (A).
(5) Validation by secretary.--Not later than 90 days
after a State or Indian tribe certification under
paragraph (1), the Secretary shall--
(A) determine whether the State or Indian
tribe has demonstrated meeting the criteria of
this subsection, including accurate measurement
of compliance; and
(B) if the determination is positive,
validate the certification.
(d) States or Indian Tribes That Do Not Meet Targets.--
(1) Reporting.--A State or Indian tribe that has not
made a certification required under subsection (b) or
(c) by the applicable deadline shall submit to the
Secretary a report on--
(A) the status of the State or Indian tribe
with respect to meeting the requirements and
submitting the certification; and
(B) a plan for meeting the requirements and
submitting the certification.
(2) Federal support.--Any State or Indian tribe for
which the Secretary has not accepted a certification by
a deadline under subsection (b) or (c) may be
ineligible for Federal support authorized under this
section for code adoption and compliance activities.
(3) Local government.--In any State or Indian tribe
for which the Secretary has not accepted a
certification under subsection (b) or (c), a local
government may be eligible for Federal support by
meeting the certification requirements of subsections
(b) and (c).
(4) Annual reports by secretary.--
(A) In general.--The Secretary shall annually
submit to Congress and publish in the Federal
Register, a report on--
(i) the status of national model
building energy codes;
(ii) the status of code adoption and
compliance in the States and Indian
tribes;
(iii) implementation of this section;
and
(iv) improvements in energy savings
over time as a result of the targets
established under subsection (a)(2)(B).
(B) Impacts.--The report shall include
estimates of impacts of past action under this
section, and potential impacts of further
action, on--
(i) upfront financial and
construction costs, cost benefits and
returns (using investment analysis),
and lifetime energy use for buildings;
(ii) resulting energy costs to
individuals and businesses; and
(iii) resulting overall annual
building ownership and operating costs.
(e) Technical Assistance to States and Indian Tribes.--The
Secretary shall provide technical assistance to States and
Indian tribes to implement the requirements of this section,
including procedures and technical analysis for States and
Indian tribes--
(1) to demonstrate that the code provisions of the
States and Indian tribes achieve equivalent or greater
energy savings than the national model building energy
codes;
(2) to document the rate of compliance with a
building energy code; and
(3) to improve and implement State residential and
commercial building energy codes or otherwise promote
the design and construction of energy efficient
buildings.
(f) Availability of Incentive Funding.--
(1) In general.--The Secretary shall provide
incentive funding to States and Indian tribes--
(A) to implement the requirements of this
section;
(B) to improve and implement residential and
commercial building energy codes, including
increasing and verifying compliance with the
codes and training of State, tribal, and local
building code officials to implement and
enforce the codes; and
(C) to promote building energy efficiency
through the use of the codes.
(2) Additional funding.--Additional funding shall be
provided under this subsection for implementation of a
plan to achieve and document full compliance with
residential and commercial building energy codes under
subsection (c)--
(A) to a State or Indian tribe for which the
Secretary has accepted a certification under
subsection (b) or (c); and
(B) in a State or Indian tribe that is not
eligible under subparagraph (A), to a local
government that is ineligible under this
section.
(3) Training.--Of the amounts made available under
this subsection, the State may use amounts required,
but not to exceed $750,000 for a State, to train State
and local building code officials to implement and
enforce codes described in paragraph (2).
(4) Local governments.--States may share grants under
this subsection with local governments that implement
and enforce the codes.
(g) Stretch Codes and Advance Standards--
(1) In general.--The Secretary shall provide
technical and financial support for the development of
stretch codes and advanced standards for residential
and commercial buildings for use as--
(A) an option for adoption as a building
energy code by local, tribal, or State
governments; and
(B) guidelines for energy-efficient building
design.
(2) Targets.--The stretch codes and advanced
standards shall be designed--
(A) to achieve substantial energy savings
compared to the national model building energy
codes; and
(B) to meet targets under subsection (a)(2),
if available, at least 3 to 6 years in advance
of the target years.
(h) Studies.--The Secretary, in consultation with building
science experts from the National Laboratories and institutions
of higher education, designers and builders of energy-efficient
residential and commercial buildings, code officials, and other
stakeholders, shall undertake a study of the feasibility,
impact, economics, and merit of--
(1) code improvements that would require that
buildings be designed, sited, and constructed in a
manner that makes the buildings more adaptable in the
future to become zero-net-energy after initial
construction, as advances are achieved in energy-saving
technologies;
(2) code procedures to incorporate measured
lifetimes, not just first-year energy use, in trade-
offs and performance calculations; and
(3) legislative options for increasing energy savings
from building energy codes, including additional
incentives for effective State and local action, and
verification of compliance with and enforcement of a
code other than by a State or local government.
(i) Voluntary Codes and Standards.--Nothwithstanding any
other provision of this section, any model building code or
standard established under this section shall not be binding on
a State, local government, or Indian tribe.
(j) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section $200,000,000, to
remain available until expended.
* * * * * * *
[SEC. 307. SUPPORT FOR VOLUNTARY BUILDING ENERGY CODES.
[(a) In General.--Not later than 1 year after the date of
the enactment of the Energy Policy Act of 1992, the Secretary,
after consulting with the Secretary of Housing and Urban
Development, the Secretary of Veterans Affairs, other
appropriate Federal agencies, CABO, ASHRAE, the National
Conference of States on Building Codes and Standards, and
another appropriate building codes and standards organization,
shall support the upgrading of voluntary building energy codes
for new residential and commercial buildings. Such support
shall include--
[(1) a compilation of data and other information
regarding building energy efficiency standards and
codes in the possession of the Federal Government,
State and local governments, and industry
organizations:
[(2) assistance in improving the technical basis for
such standards and codes;
[(3) assistance in determining the cost-effectiveness
and the technical feasibility of the energy efficiency
measures included in such standards and codes; and
[(4) assistance in identifying appropriate measures
with regard to radon and other indoor air pollutants.
[(b) Review.--The Secretary shall periodically review the
technical and economic basis of voluntary building energy codes
and, based upon ongoing research activities--
[(1) recommend amendments to such codes including
measures with regard to radon and other indoor air
pollutants;
[(2) seek adoption of all technologically feasible
and economically justified energy efficiency measures;
and
[(3) otherwise participate in any industry process
for review and modification of codes.]
* * * * * * *
ENERGY POLICY ACT OF 2005
AN ACT To ensure jobs for our future with secure, affordable, and
reliable energy.
* * * * * * *
TITLE II--RENEWABLE ENERGY
Subtitle A--General Provision
* * * * * * *
SEC. 203. FEDERAL PURCHASE REQUIREMENT.
(a) Requirement.--The President, acting through the
Secretary, shall seek to ensure that, to the extent
economically feasible and technically practicable, of the total
amount of [electric energy] electric and thermal energy the
Federal Government consumes during any fiscal year, the
following amounts shall be renewable energy:
(1) Not less than 3 percent in fiscal years 2007
through 2009.
(2) Not less than 5 percent in fiscal years 2010
through 2012.
(3) Not less than 7.5 percent in fiscal year 2013 and
each fiscal year thereafter.
(b) Definitions.--In this section:
* * * * * * *
(2) Renewable energy.--The term ``renewable energy''
means [electric energy] electric and thermal energy
generated from solar, wind, biomass, landfill gas,
ocean (including tidal, wave, current, and thermal),
geothermal, municipal solid waste, or new
hydreoelectric generation capacity achieved from
increased efficiency or additions of new capacity at an
existing hydroelectric project.
* * * * * * *
(c) Calculation.--For purposes of determining compliance
with the requirement of this section, the amount of renewable
energy shall be doubled if--
(1) the renewable energy is produced and used on-site
at a Federal facility;
(2) the renewable energy is produced on Federal lands
and used at a Federal facility; or
(3) the renewable energy is produced on Indian land
as defined in title XXVI or the Energy Policy Act of
1992 (25 U.S.C. 3501 et seq.) and used at a Federal
facility.
(d) Separate Calculation.--Renewable energy produced at a
Federal facility, on Federal land, or on Indian land (as
defined in section 2601 of the Energy Policy Act of 1992 (25
U.S.C. 3501))--
(1) shall be calculated separately from renewable
energy used; and
(2) may be used individually or in combination to
comply with subsection (a).
[(d)] (e) Report.--Not later than April 15, 2007, and every
2 years thereafter, the Secretary shall provide a report to
Congress on the progress of the Federal Government in meeting
the goals established by this section.
* * * * * * *
TITLE XVII--INCENTIVES FOR INNOVATIVE TECHNOLOGIES
* * * * * * *
SEC. 1706. BUILDING RETROFIT FINANCING PROGRAM.
(a) Definitions.--In this section:
(1) Credit support.--The term ``credit support''
means a guarantee or commitment to issue a guarantee or
other forms of credit enhancement to ameliorate risks
for efficiency obligations.
(2) Efficiency obligation.--The term ``efficiency
obligation'' means a debt or repayment obligation
incurred in connection with financing a project, or a
portfolio of such debt or payment obligations.
(3) Project.--The term ``project'' means the
installation and implementation of efficiency, advanced
metering, distributed generation, or renewable energy
technologies and measures in a building (or in multiple
buildings on a given property) that are expected to
increase the energy efficiency of the building
(including fixtures) in accordance with criteria
established by the Secretary.
(b) Eligible Projects.--
(1) In general.--Notwithstanding sections 1703 and
1705, the Secretary may provide credit support under
this section, in accordance with section 1702.
(2) Inclusions.--Buildings eligible for credit
support under this section include commercial,
multifamily residential, industrial, municipal,
government, institution of higher education, school,
and hospital facilities that satisfy criteria
established by the Secretary.
(c) Guidelines.--
(1) In general.--Not later than 180 days after the
date of enactment of this section, the Secretary
shall--
(A) establish guidelines for credit support
provided under this section; and
(B) publish the guidelines in the Federal
Register; and
(C) provide for an opportunity for public
comment on the guidelines.
(2) Requirements.--The guidelines established by the
Secretary under this subsection shall include--
(A) standards for assessing the energy
savings that could reasonably be expected to
result from a project;
(B) examples of financing mechanisms (and
portfolios of such financing mechanisms) that
qualify as efficiency obligations;
(C) the threshold levels of energy savings
that a project, at the time of issuance of
credit support, shall be reasonably expected to
achieve to be eligible for credit support;
(D) the eligibility criteria the Secretary
determines to be necessary for making credit
support available under this section; and
(E) notwithstanding subsections (d)(3) and
(g)(2)(B) of section 1702, any lien priority
requirements that the Secretary determines to
be necessary, in consultation with tip Director
of the Office of Management and Budget, which
may include--
(i) mechanisms to preserve prior lien
positions of mortgage lenders and other
creditors in buildings eligible for
credit support;
(ii) remedies available to the
Secretary under chapter 176 of title
28, United States Code, in the event of
default on the efficiency obligation by
the borrower; and
(iii) measures to limit the exposure
of the Secretary to financial risk in
the event of default, such as--
(I) the collection of a
credit subsidy fee from the
borrower as a loan loss
reserve, taking into account
the limitation on credit
support under subsection (d);
(II) minimum debt-to-income
levels of the borrower;
(III) minimum levels of value
relative to outstanding
mortgage or other debt on a
building eligible for credit
support;
(IV) allowable thresholds for
the percent of the efficiency
obligation relative to the
amount of any mortgage or other
debt on an eligible building;
(V) analysis of historic and
anticipated occupancy levels
and rental income of an
eligible building;
(VI) requirements of third-
party contractors to guarantee
energy savings that will result
from a retrofit project, and
whether financing on the
efficiency obligation will
amortize from the energy
savings;
(VII) requirements that the
retrofit project incorporate
protocols to measure and
verify, energy savings; and
(VIII) recovery of payments
equally by the Secretary and
the retrofit.
(3) Efficiency obligations.--The financing mechanisms
qualified by the Secretary under paragraph(2)(B) may
include--
(A) loans, including loans made by the
Federal Financing Bank;
(B) power purchase agreements, including
energy efficiency power purchase agreements;
(C) energy services agreements, including
energy performance contracts;
(D) property assessed clean energy bonds and
other tax assessment-based financing
mechanisms;
(E) aggregate on-meter agreements that
finance retrofit projects; and
(F) any other efficiency obligations the
Secretary determines to be appropriate.
(4) Priorities.--In carrying out this section, the
Secretary shall prioritize--
(A) the maximization of energy savings with
the available credit support funding;
(B) the establishment of a clear application
and approval process that allows private
building owners, lenders, and investors to
reasonably expect to receive credit support for
projects that conform to guidelines;
(C) the distribution of projects receiving
credit support under this section across States
or geographical regions of the United States;
and
(D) projects designed to achieve whole
building retrofits.
(d) Limitation.--Notwithstanding section 1702(c), the
Secretary shall not issue credit support under this section in
an amount that exceeds--
(1) 90 percent of the principal amount of the
efficiency obligation that is the subject of the credit
support; or
(2) $10,000,000 for any single project.
(e) Aggregation of Projects.--To the extent provided in the
guidelines developed in accordance with subsection (c), the
Secretary may issue credit support on a portfolio, or pool of
projects, that are not required to be geographically
contiguous, if each efficiency obligation in the pool fulfills
the requirements described in this section.
(f) Application.--
(1) In general.--To be eligible to receive credit
support under this section, the applicant shall submit
to the Secretary an application at such time, in such
manner, and containing such information as the
Secretary determines to be necessary.
(2) Contents.--An application submitted under this
section shall include assurances by the applicant
that--
(A) each contractor carrying out the project
meets minimum experience level criteria,
including local retrofit experience, as
determined by the Secretary;
(B) the project is reasonably expected to
achieve energy savings, as set forth in the
application using any methodology that meets
the standards described in the program
guidelines;
(C) the project meets any technical criteria
described in the program guidelines;
(D) the recipient of the credit support and
the parties to the efficiency obligation will
provide the Secretary with--
(i) any information the Secretary
requests to assess the energy savings
that result from the project, including
historical energy usage data, a
simulation-based benchmark, and
detailed descriptions of the building
work, as described in the program
guidelines; and
(ii) permission to access information
relating to building operations and
usage for the period described in the
program guidelines; and
(E) any other assurances that the Secretary
determines to be necessary.
(3) Determination.--Not later than 90 days after
receiving an application, the Secretary shall make a
final determination on the application, which may
include requests for additional information.
(g) Fees.--
(1) In general.--In addition to the fees required by
section 1702(h)(1), the Secretary may charge reasonable
fees for credit support provided under this section.
(2) Availability.--Fees collected under this section
shall be subject to section 170(h)(2).
(h) Underwriting.--The Secretary may delegate the
underwriting activities under this section to 1 or more
entities that the Secretary determines to be qualified.
(i) Report.--Not later than 1 year after commencement of
the program, the Secretary shall submit to the appropriate
committees of Congress a report that describes in reasonable
detail--
(1) the manner in which this section is being carried
out;
(2) the number and type of projects supported;
(3) the types of funding mechanisms used to provide
credit support to projects;
(4) the energy savings expected to result from
projects supported by this section;
(5) any tracking efforts the Secretary is using to
calculate the actual energy savings produced by the
projects; and
(6) any plans to improve the tracking efforts
described in paragraph (5).
(j) Funding.--
(1) Authorization of appropriations.--There is
authorized to be appropriated to the Secretary to carry
out this section $400,000,000 for the period of fiscal
years 2012 through 2021, to remain available until
expended.
(2) Administrative costs.--Not more than 1 percent of
any amounts made available to the Secretary under
paragraph (1) may be used by the Secretary for
administrative costs incurred in carrying out this
section.
* * * * * * *
ENERGY POLICY AND CONSERVATION ACT
Public Law 94-163, as amended
AN ACT TO increase domestic energy supplies and availability; to
restrain energy demand; to prepare for energy emergencies; and for
other purposes.
* * * * * * *
TABLE OF CONTENTS
* * * * * * *
TITLE III--IMPROVING ENERGY EFFICIENCY
* * * * * * *
PART E--INDUSTRIAL ENERGY EFFICIENCY
Sec. 371. Definitions.
Sec. 372. Survey and Registry.
Sec. 373. Waste energy recovery incentive grant program.
Sec. 374. Additional incentives for recovery, utilization and prevention
of industrial waste energy.
Sec. 375. Clean Energy Application Centers.
Sec. 376. Sustainable manufacturing initiative.
* * * * * * *
TITLE III--IMPROVING ENERGY EFFICIENCY
* * * * * * *
PART B--ENERGY CONSERVATION PROGRAM FOR CONSUMER PRODUCTS OTHER THAN
AUTOMOBILES
* * * * * * *
SEC. 324A. ENERGY STAR PROGRAM.
(a) In General.--There is established within the Department
of Energy and the Environmental Protection Agency a voluntary
program to identify and promote energy-efficient products and
buildings in order to reduce energy consumption, improve energy
security, and reduce pollution through voluntary labeling of,
or other forms of communication about, products and buildings
that meet the highest energy conservation standards.
* * * * * * *
SEC. 324B. SUPPLY STAR PROGRAM.
(a) In General.--There is established within the Department
of Energy a Supply Star program to identify and promote
practices, recognize companies, and, as appropriate, recognize
products that use highly efficient supply chains in a manner
that conserves energy, water, and other resources.
(b) Coordination.--In carrying out the program described in
subsection (a), the Secretary shall--
(1) consult with other appropriate agencies; and
(2) coordinate efforts with the Energy Star program
established under section 324A.
(c) Duties.--In carrying out the Supply Star program
described in subsection (a), the Secretary shall--
(1) promote practices, recognize companies, and, as
appropriate, recognize products that comply with the
Supply Star program as the preferred practices,
companies, and products in the marketplace for
maximizing supply chain efficiency;
(2) work to enhance industry and public awareness of
the Supply Star program;
(3) collect and disseminate data on supply chain
energy resource consumption;
(4) develop and disseminate metrics, processes, and
analytical tools (including software) for evaluating
supply chain energy resource use;
(5) develop guidance at the sector level for
improving supply chain efficiency;
(6) work with domestic and international
organizations to harmonize approaches to analyzing
supply chain efficiency, including the development of a
consistent set of tools, templates, calculators, and
databases; and
(7) work with industry, including small businesses,
to improve supply chain efficiency through activities
that include--
(A) developing and sharing best practices;
and
(B) providing opportunities to benchmark
supply chain efficiency.
(d) Evaluation.--In any evaluation of supply chain
efficiency carried out by the Secretary with respect to a
specific product, the Secretary shall consider energy
consumption and resource use throughout the entire lifecycle of
a product, including production, transport, packaging, use, and
disposal.
(e) Grants and Incentives.--
(1) In general.--The Secretary may award grants or
other forms of incentives on a competitive basis to
eligible entities, as determined by the Secretary, for
the purposes of--
(A) studying supply chain energy resource
efficiency; and
(B) demonstrating and achieving reductions in
the energy resource consumption of commercial
products through changes and improvements to
the production supply and distribution chain of
the products.
(2) Use of information.--Any information or data
generated as a result of the grants or incentives
described in paragraph (1) shall be used to inform the
development of the Supply Star Program.
(f) Training.--The Secretary shall use funds to support
professional training programs to develop and communicate
methods, practices, and tools for improving supply chain
efficiency.
(g) Effect of Impact on Climate Change.--For purposes of
this section, the impact on climate change shall not be a
factor in determining supply chain efficiency.
(h) Effect of Outsourcing of American Jobs.--For purposes
of this section, the outsourcing of American jobs in the
production of a product shall not count as a positive factor in
determining supply chain efficiency.
(i) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section $10,000,000 for
the period of fiscal years 2012 through 2021.
* * * * * * *
PART E--INDUSTRIAL ENERGY EFFICIENCY
* * * * * * *
SEC. 373. WASTE ENERGY RECOVERY INCENTIVE GRANT PROGRAM.
* * * * * * *
(f) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary--
(1) to make grants to projects and utilities under
subsection (b)--
[(A) $100,000,000 for fiscal year 2008 and
$200,000,000 for each of fiscal years 2009
through 2012; and]
(A) $100,000 000 for fiscal year 2008;
(B) $200,000,000 for each of fiscal years
2009 and 2010;
(C) $100,000,000 for each of fiscal years
2011 and 2012; and
[(B)] (D) such additional amounts for fiscal
year 2008 and each fiscal year thereafter as
may be necessary for administration of the
waste energy recovery incentive grant program;
and
* * * * * * *
SEC. 375. ENERGY APPLICATION CENTERS.
* * * * * * *
SEC. 376. SUSTAINABLE MANUFACTURING INITIATIVE.
(a) In General.--As part of the Industrial Technologies
Program of the Department of Energy, the Secretary shall carry
out a sustainable manufacturing initiative under which the
Secretary, on the request of a manufacturer, shall conduct
onsite technical assessments to identify opportunities for--
(1) maximizing the energy efficiency of industrial
processes and crosscutting systems;
(2) preventing pollution and minimizing waste;
(3) improving efficient use of water in manufacturing
processes;
(4) conserving natural resources; and
(5) achieving such other goals as the Secretary
determines to be appropriate.
(b) Coordination.--The Secretary shall carry out the
initiative in coordination with the private sector and
appropriate agencies, including the National Institute of
Standards and Technology to accelerate adoption of new and
existing technologies or processes that improve energy
efficiency.
(c) Research and Development Program for Sustainable
Manufacturing and Industrial Technologies and Processes.--As
part of the Industrial Technologies Program of the Department
of Energy, the Secretary shall carry out a joint industry-
government partnership program to research, develop, and
demonstrate new sustainable manufacturing and industrial
technologies and processes that maximize the energy efficiency
of industrial systems, reduce pollution, and conserve natural
resources.
(d) Authorization of Appropriations.--There is authorized
to be to carry out this section $10,000,00 for the period of
fiscal years 2012 through 2021.
* * * * * * *
SEC. 399A. ENERGY SUSTAINABILITY AND EFFICIENCY GRANTS AND LOANS FOR
INSTITUTIONS AND INDUSTRY.
* * * * * * *
(g) Loans for Energy Efficiency Improvement and Energy
Sustainability.--
(1) In general.--Subject to the availability of
appropriated funds, the Secretary shall provide loans
to institutional entities for the purpose of
implementing energy efficiency improvements and
sustainable energy infrastructure.
* * * * * * *
(h) State Partnership Industrial Energy Efficiency
Revolving Loan Program.--
(1) In general.--The Secretary shall carry out a
program under which the Secretary shall provide grants
to eligible lenders to pay the Federal share of
creating a revolving loan program under which loans are
provided to commercial and industrial manufacturers to
implement commercially available technologies or
processes that significantly--
(A) reduce systems energy intensity,
including the use of energy-intensive
feedstocks; and
(B) improve the industrial competitiveness of
the United States.
(2) Eligible lenders.--To be eligible to receive
cost-matched Federal funds under this subsection, a
lender shall--
(A) be a community and economic development
lender that the Secretary certifies meets the
requirements of this subsection;
(B) lead a partnership that includes
participation by, at a minimum--
(i) a State government agency; and
(ii) a private financial institution
or other provider of loan capital;
(C) submit an application to the Secretary,
and receive the approval of the Secretary, for
cost-matched Federal funds to carry out a loan
program described in paragraph (1); and
(D) ensure that non-Federal funds are
provided to match, on at least a dollar-for-
dollar basis, the amount of Federal funds that
are provided to carry out a revolving loan
program described in paragraph (1).
(3) Award.--The amount of cost-matched Federal funds
provided to an eligible lender shall not exceed
$100,000,000 for any fiscal year.
(4) Recapture of awards.--
(A) In general.--An eligible lender that
receives an award under paragraph (1) shall be
required to repay to the Secretary an amount of
cost-match Federal funds, as determined by the
Secretary under subparagraph (B), if the
eligible lender is unable or unwilling to
operate a program described in this subsection
for a period of not less than 10 years
beginning on the date on which the eligible
lender first receives funds made available
through the award.
(B) Determination by secretary.--The
Secretary shall determine the amount of cost-
match Federal funds that an eligible lender
shall be required to repay to the Secretary
under subparagraph (A) based on the
consideration by the Secretary of--
(i) the amount of non-Federal funds
matched by the eligible lender;
(ii) the amount of loan losses
incurred by the revolving loan program
described in paragraph (1); and
(iii) any other appropriate factor,
as determined by the Secretary.
(C) Use of recaptured cost-match federal
funds.--The Secretary may distribute to
eligible lenders under this subsection each
amount received by the Secretary under this
paragraph.
(5) Eligible projects.--A program for which cost-
matched Federal funds are provided under this
subsection shall be designed to accelerate the
implementation of industrial and commercial
applications of technologies or processes (including
distributed generation, applications or technologies
that use sensors, meters, software, and information
networks, controls, and drives or that have been
installed pursuant to an energy savings performance
contract, project, or strategy) that--
(A) improve energy efficiency, including
improvements in efficiency and use of water,
power factor, or load management;
(B) enhance the industrial competitiveness of
the United States; and
(C) achieve such other goals as the Secretary
determines to be appropriate.
(6) Evaluation.--The Secretary shall evaluate
applications for cost-matched Federal funds under this
subsection on the basis of--
(A) the description of the program to be
carried out with the cost-matched Federal
funds:
(B) the commitment to provide non-Federal
funds in accordance with paragraph (2)(D);
(C) program sustainability over a 10-year
period.
(D) the capability of the applicant;
(E) the quantity of energy savings or energy
feedstock minimization;
(F) the advancement of the goal under this
Act of 25-percent energy avoidance;
(G) the ability to fund energy efficient
projects not later than 120 days after the date
of the grant award; and
(H) such other factors as the Secretary
determines appropriate.
(7) Authorization of appropriations.--There are
authorized to be appropriated to carry out this
subsection, $400,000,000 for each of fiscal years 2012
through 2021.
[(h)] (i) Program Procedures.--Not later than 180 days
after the date of enactment of this section, the Secretary
shall establish procedures for the solicitation and evaluation
of potential projects for grant and loan funding and
administration of the grant and loan programs.
[(i)] (j) Authorization.--
(1) Grants.--There is authorized to be appropriated
for the cost of grants authorized in subsections (b),
(c), and (d) $250,000,000 for each of fiscal years 2009
[through 2013] and 2010, $100,000,000 for each of
fiscal years 2011 and 2012, and $250,000,000 for fiscal
year 2013, of which not more than 5 percent may be used
for administrative expenses.
(2) Loans.--There is authorized to be appropriated
for the initial cost of direct loans authorized in
subsection (g) $500,000,000 for each of fiscal years
2009 [through 2013], and 2010, $100,000,000 for each of
fiscal years 2011 and 2012, and $425,000,000 for fiscal
year 2013 of which not more than 5 percent may be used
for administrative expenses.
* * * * * * *
ENERGY INDEPENDENCE AND SECURITY ACT OF 2007
Public Law 110-140
AN ACT To move the United States toward greater energy independence and
security, to increase the production of clean renewable fuels, to
protect consumers, to increase the efficiency of products, buildings,
and vehicles, to promote research on and deploy greenhouse gas capture
and storage options, and to improve the energy performance of the
Federal Government, and for other purposes.
* * * * * * *
TITLE IV--ENERGY SAVINGS IN BUILDING
AND INDUSTRY
* * * * * * *
Subtitle B--High-Performance Commercial Buildings
* * * * * * *
SEC. 422. ZERO NET ENERGY COMMERCIAL BUILDINGS INITIATIVE.
* * * * * * *
(f) Authorization of Appropriations.--There are authorized
to be appropriate to carry out this section--
(1) $20,000,000 for fiscal year 2008;
[(2) $50,000,000 for each of fiscal years 2009 and
2010;
[(3) $100,000,000 for each of fiscal years 2011 and
2012; and
[(4) $200,000,000 for each of fiscal years 2013
through 2018.]
(2) $50,000,000 for each of fiscal years 2009 through
2012;
(3) $100,000,000 for fiscal 2013; and
(4) $200,000,000 for each of fiscal years 2014
through 2018.
* * * * * * *
Subtitle D--Industrial Energy Efficiency
* * * * * * *
SEC. 452. [ENERGY-INTENSIVE INDUSTRIES PROGRAM.] FUTURE OF INDUSTRY
PROGRAM.
(a) Definitions.--In this section:
* * * * * * *
[(3)] (4) Feedstock.--The term ``feedstock'' means
the raw material supplied for use in manufacturing,
chemical, and biological processes.
[(4)] (5) Partnership.--The term ``partnership''
means an energy efficiency partnership established
under subsection (c)(1)(A).
(5) Energy service provider.--The term ``energy
service provider'' means any private company or similar
entity providing technology or services to improve
energy efficiency in an energy-intensive industry.
[(5)] (6) Program.--The term ``program'' means the
energy-intensive industries program established under
subsection (b).
* * * * * * *
(c) Partnerships.--
* * * * * * *
(2) Eligible activities.--Partnership activities
eligible for funding under this subsection include--
* * * * * * *
(E) the incorporation of technologies and
innovations that would significantly improve
the energy efficiency and utilization of
energy-intensive commercial applications; [and]
(F) research to establish (through the
Industrial Technologies Program and in
collaboration with energy-intensive industries)
a roadmap process under which--
(i) industry-specific studies are
conducted to determine the intensity of
energy use, greenhouse gas emissions,
and waste and operating costs, by
process and subprocess;
(ii) near-, and mid-, and long-term
targets of opportunity are established
for synergistic improvements in
efficiency, sustainability, and
resilience; and
(iii) public-private actionable plans
are created to achieve roadmap goals;
and
[(F)] (G) any other activities that the
Secretary determines to be appropriate.
* * * * * * *
(e) Institution of Higher Education-Based Industrial
Research and Assessment Centers.--[The Secretary]
(1) In general.--The Secretary shall provide funding
to institution of higher education-based industrial
research and assessment centers, whose purpose shall
be--
[(1)] (A) to identify opportunities for optimizing
energy efficiency and environmental performance
including assessments of sustainable manufacturing
goals and the implementation of information technology
advancements for supply chain analysis, logistics,
system monitoring, industrial and manufacturing
processes, and other purpose;
[(2)] (B) to promote applications of emerging
concepts and technologies in small- and medium-sized
manufacturers;
[(3)] (C) to promote research and development for the
use of alternative energy sources to supply heat,
power, and new feedstocks for energy-intensive
industries;
[(4)] (D) to coordinate with appropriate Federal and
State research offices, and provide a clearinghouse for
industrial process and energy efficiency technical
assistance resources; and
[(5)] (E) to coordinate with State-accredited
technical training centers and community colleges,
while ensuring appropriate services to all regions of
the United States.
(2) Centers of excellence.--
(A) In general.--The Secretary shall
establish a Center of Excellence at up to 10 of
the highest performing industrial research and
assessment centers, as determined by the
Secretary.
(B) Duties.--A Center of Excellence shall
coordinate with and advise the industrial
research and assessment centers located in the
region of the Center of Excellence.
(C) Funding.--Subject to the availability of
appropriations, of the funds made available
under subsection (f), the Secretary shall use
to support each Center of Excellence not less
than $500,000 for fiscal year 2012 and each
fiscal year thereafter, as determined by the
Secretary.
(3) Expansion of centers.--The Secretary shall
provide funding to establish additional industrial
research assessment centers at institutions of higher
education that do not have industrial research and
assessment centers established under paragraph (1),
taking into account the size of and potential energy
efficiency savings for, the manufacturing base within
the region of the proposed center.
(4) Coordination.--
(A) In general--To increase the value and
capabilities of the industrial research and
assessment centers, the centers shall--
(i) coordinate with Manufacturing
Extension Partnership Centers of the
National Institute of Standards and
Technology;
(ii) coordinate with the Building
Technologies Program of the Department
of Energy to provide building
assessment services to manufacturers;
(iii) increase partnerships with the
National Laboratories of the Department
of Energy to leverage the expertise and
technologies of the National
Laboratories for national industrial
and manufacturing needs;
(iv) increase partnerships with
energy service providers and technology
providers to leverage private sector
expertise and accelerate deployment of
new and existing technologies and
processes for energy efficiency, power
factor, and load management;
(v) identify opportunities for
reducing greenhouse gas emissions; and
(vi) promote sustainable
manufacturing practices for small- and
medium sized manufacturers.
(5) Outreach.--The Secretary shall provide funding
for--
(A) outreach activities by the industrial
research and assessment centers to inform small
and medium-sized manufacturers of the
information, technologies, and services
available; and
(B) a full-time equivalent employee at each
center of excellence whose primary mission
shall be to coordinate and leverage the efforts
of the center with--
(i) Federal and State efforts;
(ii) the efforts of utilities and
energy service providers;
(iii) the efforts of regional energy
efficiency organizations; and
(iv) the efforts of other centers in
the region of the center of excellence.
(6) Workforce training.--
(A) In general.--The Secretary shall pay the
Federal share of associated internship programs
under which students work with or for
industries, manufacturers, and energy service
providers to implement the recommendations of
industrial research and assessment centers.
(B) Federal share.-- The Federal share of the
cost of carrying out internship programs
described in subparagraph (A) shall be 50
percent.
(C) Funding.--Subject to the availability of
appropriations, of the funds made available
under subsection (f), the Secretary shall use
to carry out this paragraph not less than
$5,000,000 for fiscal year 2012 and each fiscal
year thereafter.
(7) Small business loans.--The Administrator of the
Small Business Administration shall, to the maximum
practicable, expedite consideration of applications
from eligible small business concerns for loans under
the Small Business Act (15 U.S.C. 631 et seq.) to
implement recommendations of industrial research and
assessment centers established under paragraph (1).
(f) Authorization of Appropriations.--
(1) In general.--There are authorized to be
appropriated to the Secretary to carry out this
section--
(A) $184,000,000 for fiscal year 2008;
(B) $190,000,000 for fiscal year 2009;
(C) $196,000,000 for fiscal year 2010;
(D) [$202,000,000] $102,000,000 for fiscal
year 2011;
(E) [$208,000,000] $108,000,000 for fiscal
year 2012; and
(F) such sums as are necessary for fiscal
year 2013 and each fiscal year thereafter.
* * * * * * *
TITLE 40--PUBLIC BUILDINGS, PROPERTY, AND WORKS
* * * * * * *
Subtitle II--Public Buildings And Works
PART A--GENERAL
* * * * * * *
CHAPTER 33--ACQUISITION, CONSTRUCTION, AND ALTERATION
* * * * * * *
SEC. 3307. CONGRESSIONAL APPROVAL OF PROPOSED PROJECTS.
* * * * * * *
(c) Increase of Estimated Maximum Cost.--The estimated
maximum cost of any project approved under this section as set
forth in any prospectus may be increased by an amount equal to
any percentage increase, as determined by the Administrator, in
construction or alteration costs from the date the prospectus
is transmitted to Congress. The increase authorized by this
subsection may not exceed 10 percent of the estimated maximum
cost.
(d) Availability of Funds for Design Updates.--
(1) In general.--Subject to paragraph (2), for any
project for which congressional approval is received
under subsection (a) and for which the design has been
substantially completed but construction has not begun,
the Administrator of General Services may use
appropriated funds to update the project design to meet
applicable Federal building energy efficiency standards
established under section 305 of the Energy
Conservation and Production Act (42 U.S.C. 6834) and
other requirements established under section 3312.
(2) Limitation.--The use of funds under paragraph (1)
shall not exceed 125 percent of the estimated energy or
other cost savings associated with the updates as
determined by a life-cycle cost analysis under section
544 of the National Energy Conservation Policy Act (42
U.S.C. 8254).
[(d)] (e) Rescission of Approval.--If an appropriation is
not made within one year after the date a project for
construction, alteration, or acquisition is approved under
subsection (a), the Committee on Environment and Public Works
of the Senate or the Committee on Transportation and
Infrastructure of the House of Representatives by resolution
may rescind its approval before an appropriation is made.
[(e)] (f) Emergency Leases by the Administrator.--This
section does not prevent the Administrator from entering into
emergency leases during any period declared by the President to
require emergency leasing authority. An emergency lease may not
be for more than 180 days without approval of a prospectus for
the lease in accordance with subsection (a).
[(f)] (g) Minimum Performance Requirements for Leased
Space.-- With respect to space to be leased the Administrator
shall include, to the maximum extent practicable, minimum
performance requirements requiring energy efficiency and the
use of renewable energy.
[(g)] (h) Limitation on Leasing Certain Space.--
(1) In general.--The Administrator may not lease
space to accommodate any of the following if the
average rental cost of leasing the space will exceed
$1,500,000:
(A) Computer and telecommunications
operations.
(B) Secure or sensitive activities related to
the national defense or security, except when
it would be inappropriate to locate those
activities in a public building or other
facility identified with the Government.
(C) A permanent courtroom, judicial chamber,
or administrative office for any United States
court.
(2) Exception.--The Administrator may lease space
with respect to which paragraph (1) applies if the
Administrator--
(A) decides, for reasons set forth in
writing, that leasing the space is necessary to
meet requirements which cannot be met in public
buildings; and
(B) submits the reasons to the Committee on
Environment and Public Works of the Senate and
the Committee on Transportation and
Infrastructure of the House of Representatives.
[(h)] (i) Dollar Amount Adjustment.--The Administrator
annually may adjust any dollar amount referred to in this
section to reflect a percentage increase or decrease in
construction costs during the prior calendar year, as
determined by the composite index of construction costs of the
Department of Commerce. Any adjustment shall be expeditiously
reported to the Committee on Environment and Public Works of
the Senate and the Committee on Transportation and
Infrastructure of the House of Representatives.
* * * * * * *
NATIONAL ENERGY CONSERVATION POLICY ACT
Public Law 95-619
AN ACT For the relief of Jack R. Misner.
* * * * * * *
TITLE V--FEDERAL ENERGY INITIATIVES
* * * * * * *
PART B--FEDERAL ENERGY MANAGEMENT 1-1
* * * * * * *
SEC. 543. ENERGY MANAGEMENT REQUIREMENTS.
* * * * * * *
(e) Metering of Energy Use.--
(1) Deadline.--By October 1, 2012, in accordance with
guidelines established by the Secretary under paragraph
(2), all Federal buildings shall, for the purposes of
efficient use of energy and reduction in the cost of
electricity used in such buildings, be metered. Each
agency shall use, to the maximum extent practicable,
advanced meters or advanced metering devices that
provide data at least daily and that measure at least
hourly consumption of electricity in the Federal
buildings of the agency. Not later than October 1,
2016, each agency shall provide for equivalent metering
of natural gas and steam, in accordance with guidelines
established by the Secretary under paragraph (2). Such
data shall be incorporated into existing Federal energy
tracking systems and made available to Federal facility
managers.
* * * * * * *
[(3) Plan.--Not later than 6 months after the date
guidelines are established under paragraph (2), in a
report submitted by the agency under section 548(a),
each agency shall submit to the Secretary a plan
describing how the agency will implement the
requirements of paragraph (1), including (A) how the
agency will designate personnel primarily responsible
for achieving the requirements and (B) demonstration by
the agency, complete with documentation, of any finding
that advanced meters or advanced metering devices, as
defined in paragraph (1), are not practicable.]
(3) Plan.--
(A) In general.--Not later than 180 days
after the date on which guidelines are
established under paragraph (2), in a report
submitted by the agency under section 548(a),
each agency shall submit to the Secretary a
plan describing the manner in which the agency
will implement requirements of paragraph (1),
including--
(i) how the agency will designate
personnel primarily responsible for
achieving the requirements; and
(ii) a demonstration by the agency,
complete with documentation, of any
finding that advanced meters or
advanced metering devices (as those
terms are used in paragraph (1)), are
not practicable.
(B) Updates.--Reports submitted under
subparagraph (A) shall be updated annually.
(4) Best practices report.--
(A) In general.--Not later than 180 days
after the date of enactment of the Energy
Savings and Industrial Competitiveness Act of
2011, the Secretary of Energy, in consultation
with the Secretary of Defense and the
Administrator of General Services, shall
develop, and issue a report on, best practices
for the use of advanced metering of energy use
in Federal facilities, buildings, and equipment
by Federal agencies.
(B) Updating.--The report described under
subparagraph (A) shall be updated annually.
(C) Components.--The report shall include, at
a minimum--
(i) summaries and analysis of the
reports by agencies under paragraph
(3);
(ii) recommendations on standard
requirements or guidelines for
automated energy management systems,
including--
(I) potential common
communications standards to
allow data sharing and
reporting;
(II) means of facilitating
continuous commissioning of
buildings and evidence-based
maintenance of buildings and
building systems; and
(III) standards for
sufficient levels of security
and protection against cyber
threats to ensure systems
cannot be controlled by
unauthorized persons; and
(iii) an analysis of--
(I) the types of advanced
metering and monitoring systems
being piloted, tested, or
installed in Federal buildings;
and
(II) existing techniques used
within the private sector or
other non-Federal government
buildings.
(f) Use of Energy and Water Efficiency Measures in Federal
Buildings.--
* * * * * * *
(7) Web-based certification.--
[(A) In general.--For each facility that
meets the criteria established by the Secretary
under paragraph (2)(B), the energy manager
shall use the web-based tracking system under
subparagraph (B) to certify compliance with the
requirements for--
[(i) energy and water evaluations
under paragraph (3);
[(ii) implementation of identified
energy and water measures under
paragraph (4); and
[(iii) follow-up on implemented
measures under paragraph (5).]
(A) In general.--For each facility that meets
the criteria established by the Secretary under
paragraph (2)(B), the energy manager shall use
the web-based tracking system under
subparagraph (B)--
(i) to certify compliance with the
requirements for--
(I) energy and water
evaluations under paragraph
(3);
(II) implementation of
identified energy and water
measures under paragraph (4);
and
(III) follow-up on
implemented measures under
paragraph (5); and
(ii) to publish energy and water
consumption data on an individual
facility basis.
* * * * * * *
[(f)] (g) Large Capital Energy Investments.--
* * * * * * *
TITLE VII--ENERGY SAVINGS PERFORMANCE CONTRACTS
* * * * * * *
SEC. 804. DEFINITIONS.
For purposes of this title, the following definitions
apply:
* * * * * * *
(4) The term ``energy or water conservation measure''
means--
(A) an energy conservation measure, as
defined in section 551; [or]
(B) a water conservation measure that
improves the efficiency of water use, is life-
cycle cost-effective, and involves water
conservation, water recycling or reuse, more
efficient treatment of wastewater or
stormwater, improvements in operation or
maintenance efficiencies, retrofit activities,
or other related activities, not at a Federal
hydroelectric facility[.]; or
(C) a measure to support the use of electric
vehicles or the fueling or charging
infrastructure necessary for electric vehicles.
* * * * * * *