[House Report 115-224]
[From the U.S. Government Publishing Office]
115th Congress } { REPORT
HOUSE OF REPRESENTATIVES
1st Session } { 115-224
======================================================================
ENHANCING STATE ENERGY SECURITY PLANNING AND EMERGENCY PREPAREDNESS ACT
OF 2017
_______
July 17, 2017.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Walden, from the Committee on Energy and Commerce, submitted the
following
R E P O R T
[To accompany H.R. 3050]
The Committee on Energy and Commerce, to whom was referred
the bill (H.R. 3050) to amend the Energy Policy and
Conservation Act to provide Federal financial assistance to
States to implement, review, and revise State energy security
plans, and for other purposes, having considered the same,
report favorably thereon with an amendment and recommend that
the bill as amended do pass.
CONTENTS
Page
Purpose and Summary.............................................. 3
Background and Need for Legislation.............................. 3
Committee Action................................................. 5
Committee Votes.................................................. 5
Oversight Findings and Recommendations........................... 5
New Budget Authority, Entitlement Authority, and Tax Expenditures 5
Congressional Budget Office Estimate............................. 6
Federal Mandates Statement....................................... 6
Statement of General Performance Goals and Objectives............ 6
Duplication of Federal Programs.................................. 6
Committee Cost Estimate.......................................... 6
Earmark, Limited Tax Benefits, and Limited Tariff Benefits....... 6
Disclosure of Directed Rule Makings.............................. 6
Advisory Committee Statement..................................... 6
Applicability to Legislative Branch.............................. 6
Section-by-Section Analysis of the Legislation................... 7
Changes in Existing Law Made by the Bill, as Reported............ 8
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Enhancing State Energy Security
Planning and Emergency Preparedness Act of 2017''.
SEC. 2. STATE ENERGY SECURITY PLANS.
(a) In General.--Part D of title III of the Energy Policy and
Conservation Act (42 U.S.C. 6321 et seq.) is amended by adding at the
end the following:
``SEC. 367. STATE ENERGY SECURITY PLANS.
``(a) In General.--Federal financial assistance made available to a
State under this part may be used for the implementation, review, and
revision of a State energy security plan that assesses the State's
existing circumstances and proposes methods to strengthen the ability
of the State, in consultation with owners and operators of energy
infrastructure in such State, to--
``(1) secure the energy infrastructure of the State against
all physical and cybersecurity threats;
``(2) mitigate the risk of energy supply disruptions to the
State and enhance the response to, and recovery from, energy
disruptions; and
``(3) ensure the State has a reliable, secure, and resilient
energy infrastructure.
``(b) Contents of Plan.--A State energy security plan described in
subsection (a) shall--
``(1) address all fuels, including petroleum products, other
liquid fuels, coal, electricity, and natural gas, as well as
regulated and unregulated energy providers;
``(2) provide a State energy profile, including an assessment
of energy production, distribution, and end-use;
``(3) address potential hazards to each energy sector or
system, including physical threats and cybersecurity threats
and vulnerabilities;
``(4) provide a risk assessment of energy infrastructure and
cross-sector interdependencies;
``(5) provide a risk mitigation approach to enhance
reliability and end-use resilience; and
``(6) address multi-State, Indian Tribe, and regional
coordination planning and response, and to the extent
practicable, encourage mutual assistance in cyber and physical
response plans.
``(c) Coordination.--In developing a State energy security plan under
this section, the energy office of the State shall, to the extent
practicable, coordinate with--
``(1) the public utility or service commission of the State;
``(2) energy providers from the private sector; and
``(3) other entities responsible for maintaining fuel or
electric reliability.
``(d) Financial Assistance.--A State is not eligible to receive
Federal financial assistance under this part, for any purpose, for a
fiscal year unless the Governor of such State submits to the Secretary,
with respect to such fiscal year--
``(1) a State energy security plan described in subsection
(a) that meets the requirements of subsection (b); or
``(2) after an annual review of the State energy security
plan by the Governor--
``(A) any necessary revisions to such plan; or
``(B) a certification that no revisions to such plan
are necessary.
``(e) Technical Assistance.--Upon request of the Governor of a State,
the Secretary may provide information and technical assistance, and
other assistance, in the development, implementation, or revision of a
State energy security plan.
``(f) Sunset.--This section shall expire on October 31, 2022.''.
(b) Authorization of Appropriations.--Section 365(f) of the Energy
Policy and Conservation Act (42 U.S.C. 6325(f)) is amended--
(1) by striking ``$125,000,000'' and inserting
``$90,000,000''; and
(2) by striking ``2007 through 2012'' and inserting ``2018
through 2022''.
(c) Technical and Conforming Amendments.--
(1) Conforming amendments.--Section 363 of the Energy Policy
and Conservation Act (42 U.S.C. 6323) is amended--
(A) by redesignating subsection (f) as subsection
(e); and
(B) by striking subsection (e).
(2) Technical amendment.--Section 366(3)(B)(i) of the Energy
Policy and Conservation Act (42 U.S.C. 6326(3)(B)(i)) is
amended by striking ``approved under section 367''.
(3) Reference.--The item relating to ``Department of Energy--
Energy Conservation'' in title II of the Department of the
Interior and Related Agencies Appropriations Act, 1985 (42
U.S.C. 6323a) is amended by striking ``sections 361 through
366'' and inserting ``sections 361 through 367''.
(4) Table of sections.--The table of sections for part D of
title III of the Energy Policy and Conservation Act is amended
by adding at the end the following:
``Sec. 367. State energy security plans.''.
Purpose and Summary
H.R. 3050, Enhancing State Energy Security Planning and
Emergency Preparedness Act, was introduced by Rep. Fred Upton
(R-MI) and Rep. Bobby Rush (D-IL) on June 23, 2017. H.R. 3050
would provide federal financial assistance to States to
implement, review, and revise State energy security plans. The
legislation would replace the existing energy emergency
planning requirements under section 363 of the Energy and
Policy Conservation Act with provisions that strengthen the
ability of States to secure the energy infrastructure of the
United States against physical and cybersecurity threats and to
mitigate against energy supply disruptions. In addition, the
legislation establishes the elements a State must include when
developing a State energy security plan. A State's energy
security plan must address physical and cybersecurity threats
and vulnerabilities across the energy sector and systems;
include a State energy profile; identify risks to energy
infrastructure; including cross-sector interdependencies;
specify risk mitigation approaches to enhance reliability and
end-use resilience; and address multi-state and regional
coordination and planning.
Background and Need for Legislation
The United States' energy infrastructure is comprised of a
vast network of energy and electricity delivery systems. These
intricate and highly interdependent systems enable almost every
aspect of our daily lives. The nation's economy, security, and
the health and safety of its citizens depend upon the reliable
and uninterrupted delivery of fuels and electricity. Since the
inception of the Department of Energy's State Energy Program in
1975, the manner in which energy and power is generated,
transmitted, and delivered continues to rapidly change and
evolve. Recent cyber-related events have raised concerns about
the security and resiliency of the nation's energy and
electricity systems.\1\ States and Congress recognize the need
to prioritize energy security, emergency planning, and energy
infrastructure protection.
---------------------------------------------------------------------------
\1\See Analysis of the Cyber Attack on the Ukrainian Power Grid by
SANS ICS and E-ISAC, March 18, 2016.
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On June 14, 2017, the Energy and Commerce Committee
scheduled a hearing titled ``States' Perspectives on Energy
Security Planning, Emergency Preparedness, and State Energy
Programs'' and received testimony from the National Association
of State Energy Officials, the National Association of
Regulatory Utility Commissioners, along with representatives of
several state governments including Texas, Washington, Georgia,
and Michigan. Although the hearing was ultimately cancelled due
to extraordinary circumstances, the written testimony of the
witnesses was posted publicly and the witnesses made themselves
available for questions from Committee and Members' staff.
The Department of Energy's State Energy Program
The Department of Energy's (DOE) State Energy Program
provides federal financial and technical assistance to help
States with energy security planning efforts. DOE's State
Energy Program originated as the State Energy Conservation
Program and was first authorized under part D of title III of
the Energy Policy and Conservation Act (EPCA) of 1975.\2\ The
purpose of the program was to promote the conservation of
energy and reduce the rate of growth of energy demand.\3\ EPCA
directed the DOE's Secretary to establish procedures and
guidelines for the development and implementation of specific
State energy conservation programs and to provide financial and
technical assistance to States for these programs.\4\ Section
362 of part D of title III of EPCA invites the Governors of
each State to submit a report to the Secretary of Energy that
includes a plan that outlines a State's energy conservation
goals, including cost of implementation and estimated energy
savings. States are eligible for federal financial assistance
for State Energy Conservation plans if they meet the mandatory
requirements under section 362(c)(1-6) of part D of title III
of EPCA.\5\
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\2\Energy Policy Conservation Act of 1975, 42 U.S.C.
Sec. Sec. 6321-6326.
\3\Energy Policy Conservation Act of 1975, 42 U.S.C.
Sec. Sec. 6321(b).
\4\Id.
\5\Energy Policy Conservation Act of 1975, 42 U.S.C.
Sec. Sec. 6321-6326.
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Throughout the 1980s and early 1990s, several statutes,
including the Energy Policy Act of 1992, amended the State
Energy Conservation Program. In 1996, the DOE's State Energy
Program was established by consolidating the State Energy
Conservation Program and the Institutional Conservation
Program.\6\ The State Energy Conservation Program provided
State funding for energy efficiency and renewable energy
activities.\7\ The Institutional Conservation Program provided
schools and hospitals with technical analysis of their
buildings and installed conservation retrofits based on those
analyses.\8\
---------------------------------------------------------------------------
\6\For more information see U.S. Department of Energy, State Energy
Program: Operations Manual (2014).
\7\Id.
\8\Id.
---------------------------------------------------------------------------
The State Energy Program is administered by DOE's Office of
Energy Efficiency and Renewable Energy and is funded through
several sources, including congressional appropriations, State
matching funds, and income generated by State Energy Program
activities.\9\ Congress appropriates funds annually to support
program activities, which includes funding for formula grants,
competitive awards, and technical assistance.\10\
---------------------------------------------------------------------------
\9\Id.
\10\Id.
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Since the Energy Policy and Conservation Act of 1975,
several subsequent statutes have reauthorized the State Energy
Program, including the Energy Conservation and Production Act
of 1976, the Energy Efficiency Programs Improvement Act of
1990, the Energy Policy Act of 1992, Energy Independence and
Security Act of 2007, and the American Reinvestment and
Recovery Act.
State energy security and emergency preparedness
Since the 1970s, State energy emergency planning, often
called energy assurance, has evolved significantly.\11\
Initially focused on petroleum shortages, these initial
planning efforts were aimed at mitigating the rising cost of
energy and reducing energy demand.\12\ The electricity and
natural gas sectors have addressed shortages and response
planning typically as part of the regulation of electric and
gas utilities.\13\
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\11\For more information see National Association of State Energy
Officials, State Energy Assurance Guidelines (Version 3.1 2009).
\12\Id.
\13\Id.
---------------------------------------------------------------------------
The State Energy Efficiency Programs Improvement Act of
1990\14\ amended the Energy Policy Conservation Act (EPCA) of
1975 by including energy emergency planning requirements as a
supplement to State energy conservation plans. Under this
provision, federal financial assistance for the entire section
was contingent upon a State designing an energy emergency
planning program for an energy supply disruption.\15\ The
energy emergency plan must include an implementation strategy
that included regional coordination.\16\ The submission of
these plans has been for informational purposes and has not
required approval of the Secretary of Energy.\17\
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\14\State Energy Efficiency Programs Improvement Act of 1990, 42
U.S.C. Sec. Sec. 6323(e).
\15\Energy Policy Conservation Act of 1975, 42 U.S.C.
Sec. Sec. 6323(e)(2).
\16\Id.
\17\Id.
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Committee Action
The Committee on Energy and Commerce has not held hearings
on the legislation.
On June 21, 2017, the Subcommittee on Energy met in open
markup session and forwarded a discussion draft similar to H.R.
3050, without amendment, to the full Committee by a voice vote.
On June 28, 2017, the full Committee on Energy and Commerce
met in open markup session and ordered H.R. 3050, as amended,
favorably reported to the House by a voice vote.
Committee Votes
Clause 3(b) of rule XIII requires the Committee to list the
record votes on the motion to report legislation and amendments
thereto. There were no record votes taken in connection with
ordering H.R. 3050 reported.
Oversight Findings and Recommendations
Pursuant to clause 2(b)(1) of rule X and clause 3(c)(1) of
rule XIII, the Committee has not held hearings on this
legislation.
New Budget Authority, Entitlement Authority, and Tax Expenditures
Pursuant to clause 3(c)(2) of rule XIII, the Committee
finds that H.R. 3050 would result in no new or increased budget
authority, entitlement authority, or tax expenditures or
revenues.
Congressional Budget Office Estimate
Pursuant to clause 3(c)(3) of rule XIII, at the time this
report was filed, the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974 was not available.
Federal Mandates Statement
The Committee adopts as its own the estimate of Federal
mandates prepared by the Director of the Congressional Budget
Office pursuant to section 423 of the Unfunded Mandates Reform
Act.
Statement of General Performance Goals and Objectives
Pursuant to clause 3(c)(4) of rule XIII, the general
performance goal or objective of this legislation is to
increase energy emergency planning requirements under the
Energy and Policy Conservation Act to strengthen the ability of
States to secure the energy infrastructure of the United States
against physical and cybersecurity threats and vulnerabilities.
The legislation also aims to mitigate the risk of fuel and
electric supply disruptions.
Duplication of Federal Programs
Pursuant to clause 3(c)(5) of rule XIII, no provision of
H.R. 3050 is known to be duplicative of another Federal
program, including any program that was included in a report to
Congress pursuant to section 21 of Public Law 111-139 or the
most recent Catalog of Federal Domestic Assistance.
Committee Cost Estimate
Pursuant to clause 3(d)(1) of rule XIII, the Committee
adopts as its own the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974. At the time this report was
filed, the estimate was not available.
Earmark, Limited Tax Benefits, and Limited Tariff Benefits
Pursuant to clause 9(e), 9(f), and 9(g) of rule XXI, the
Committee finds that H.R. 3050 contains no earmarks, limited
tax benefits, or limited tariff benefits.
Disclosure of Directed Rule Makings
Pursuant to section 3(i) of H. Res. 5, the Committee finds
that H.R. 3050 contains no directed rule makings.
Advisory Committee Statement
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act were created by this
legislation.
Applicability to Legislative Branch
The Committee finds that the legislation does not relate to
the terms and conditions of employment or access to public
services or accommodations within the meaning of section
102(b)(3) of the Congressional Accountability Act.
Section-by-Section Analysis of the Legislation
Section 1. Short title
This section provides the short title of ``Enhancing State
Energy Security Planning and Emergency Preparedness Act of
2017.''
Section 2(a). State Energy Security Plans
This section amends Part D of title III of the Energy
Policy and Conservation Act (EPCA) by adding at the end a new
``Section 367. State Energy Security Plans.''
EPCA Section 367(a) states that federal financial
assistance made available to a State under this part may be
used for the implementation, review, and revision of a State
energy security plan that assesses the State's existing
circumstances and proposes methods to strengthen the ability of
a State, in consultation with owners and operators of energy
infrastructure in such State to (1) secure the energy
infrastructure of the State against all physical and
cybersecurity threats; (2) mitigate the risk of energy supply
disruptions to the State and enhance response to, and recovery
from energy disruptions; and (3) ensures the State has a
reliable, secure, and resilient energy infrastructure.
EPCA section 367(b) specifies the requirements of a State
energy security plan. The plan shall (1) address all fuels,
including but not limited to petroleum products, other liquid
fuels, coal, electricity, and natural gas, as well as regulated
and unregulated energy providers; (2) provide a State energy
profile, including energy production, distribution, and end-
use; (3) address potential hazards to each energy sector or
system, including physical and cybersecurity threats and
vulnerabilities; (4) provide a risk assessment of energy
infrastructure and cross-sector interdependencies; (5) provide
a risk mitigation approach to enhance reliability and end-use
resilience; and (6) address multi-State, Indian Tribe, and
regional coordination planning and response, and to the extent
practicable, encourage mutual assistance in cyber and physical
response plans.
EPCA section 367(c) requires that State energy offices
shall, to the extent practicable, coordinate with (1) the
public utility or service commission of the State; (2) energy
providers from the private sector; and (3) other entities
responsible for maintaining fuel or electric reliability.
EPCA section 367(d) instructs that a State is not eligible
to receive financial assistance available under this part for
any purpose, for a fiscal year unless the Governor of a State
submits to the Secretary of the Department of Energy with
regards to a certain fiscal year a State energy security plan
described in subsection (a) that meets the requirements of
subsection (b); or after an annual review of the State energy
security plan by the Governor, any necessary revisions to such
plan; or a certification that no revisions to such plan are
necessary.
EPCA section 367(e) states that the Secretary of Energy may
provide information and technical assistance, and other
assistance, in the development, implementation, or revision of
a State energy security plan, upon request of the Governor of a
State.
EPCA section 367(f) specifies that the Energy Secretary's
authority to carry out this section shall expire on October 31,
2022.
Section 2(b). Authorization of appropriations
This section amends section 365(f) of the Energy Policy and
Conservation Act by striking ``$125,000,000'' and inserting
``$90,000,000'' and by striking ``2007 through 2012'' and
inserting ``2018 through 2022''.
Section 2(c). Technical and conforming amendments
This section provides technical and conforming amendments
for the Energy Policy and Conservation Act and for the
Department of the Interior and Related Agencies Appropriations
Act of 1985.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italic, and existing law in which no
change is proposed is shown in roman):
ENERGY POLICY AND CONSERVATION ACT
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled, That this
Act may be cited as the ``Energy Policy and Conservation Act''.
TABLE OF CONTENTS
* * * * * * *
TITLE III--IMPROVING ENERGY EFFICIENCY
* * * * * * *
Part D--State Energy Conservation Programs
* * * * * * *
Sec. 367. State energy security plans.
* * * * * * *
TITLE III--IMPROVING ENERGY EFFICIENCY
* * * * * * *
Part D--State Energy Conservation Plans
* * * * * * *
federal assistance to states
Sec. 363. (a) Upon request of the Governor of any State, the
Secretary shall provide, subject to the availability of
personnel and funds, information and technical assistance,
including model State laws and proposed regulations relating to
energy conservation, and other assistance in--
(1) the preparation of the reports described in
section 362, and
(2) the development, implementation, or modification
of an energy conservation plan of such State submitted
under section 362 (b) or (e).
(b)(1) The Secretary may grant Federal financial assistance
pursuant to this section for the purpose of assisting such
State in the development of any such energy conservation plan
or in the implementation or modification of a State energy
conservation plan or part thereof which has been submitted to
and approved by the Secretary pursuant to this part.
(2) In determining whether to approve a State energy
conservation plan submitted under section 362 (b) or (e), the
Secretary--
(A) shall take into account the impact of local
economic, climatic, geographic, and other unique
conditions and requirements of such State on the
opportunity to conserve and to improve efficiency in
the use of energy in such State; and
(B) may extend the period of time during which a
State energy conservation feasibility report or State
energy conservation plan may be submitted if the
Secretary determines that participation by the State
submitting such report or plan is likely to result in
significant progress toward achieving the purposes of
this Act.
No such plan shall be disapproved without notice and an
opportunity to present views.
(3) In determining the amount of Federal financial assistance
to be provided to any State under this subsection, the
Secretary shall consider--
(A) the contribution to energy conservation which can
reasonably be expected,
(B) the number of people affected by such plan, and
(C) the consistency of such plan with the purposes of
this Act, and such other factors as the Secretary deems
appropriate.
(c) Each recipient of Federal financial assistance under
subsection (b) shall keep such records as the Secretary shall
require, including records which fully disclose the amount and
disposition by each recipient of the proceeds of such
assistance, the total cost of the plan, program, projects,
measures, or systems for which such assistance was given or
used, the source and amount of funds for such plan, program,
projects, measures, or systems not supplied by the Secretary,
and such other records as the Secretary determines necessary to
facilitate an effective audit and performance evaluation. The
Secretary and Comptroller General of the United States, or any
of their duly authorized representatives, shall have access for
the purpose of audit and examination, at reasonable times and
under reasonable conditions to any pertinent books, documents,
papers, and records of any recipient of Federal assistance
under this part.
(d) Each State receiving Federal financial assistance
pursuant to this section shall provide reasonable assurance to
the Secretary that it has established policies and procedures
designed to assure that Federal financial assistance under this
part and under part G of this title will be used to supplement,
and not to supplant, State and local funds, and to the extent
practicable, to increase the amount of such funds that
otherwise would be available, in the absence of such Federal
financial assistance, for those programs set forth in the State
energy conservation plan approved pursuant to subsection (b).
[(e)(1) Effective October 1, 1991, to be eligible for Federal
financial assistance pursuant to this section, a State shall
submit to the Secretary, as a supplement to its energy
conservation plan, an energy emergency planning program for an
energy supply disruption, as designed by the State consistent
with applicable Federal and State law. The contingency plan
provided for by the program shall include an implementation
strategy or strategies (including regional coordination) for
dealing with energy emergencies. The submission of such plan
shall be for informational purposes only and without any
requirement of approval by the Secretary.
[(2) Federal financial assistance made available under this
part to a State may be used to develop and conduct the energy
emergency planning program requirement referred to in paragraph
(1).]
[(f)] (e) If the Secretary determines that a State has
demonstrated a commitment to improving the energy efficiency of
buildings within such State, the Secretary may, beginning in
fiscal year 1994, provide up to $1,000,000 to such State for
deposit into a revolving fund established by such State for the
purpose of financing energy efficiency improvements in State
and local government buildings. In making such determination
the Secretary shall consider whether--
(1) such State, or a majority of the units of local
government with jurisdiction over building energy codes
within such State, has adopted codes for energy
efficiency in new buildings that are at least as
stringent as American Society of Heating,
Refrigerating, and Air-Conditioning Engineers Standard
90.1-1989 (with respect to commercial buildings) and
Council of American Building Officials Model Energy
Code, 1992 (with respect to residential buildings);
(2) such State has established a program, including a
revolving fund, to finance energy efficiency
improvement projects in State and local government
facilities and buildings; and
(3) such State has obtained funding from non-Federal
sources, including but not limited to, oil overcharge
funds, State or local government appropriations, or
utility contributions (including rebates) equal to or
greater than three times the amount provided by the
Secretary under this subsection for deposit into such
revolving fund.
* * * * * * *
general provisions
Sec. 365. (a) The Secretary may prescribe such rules as may
be necessary or appropriate to carry out his authority under
this part.
(b) In carrying out the provisions of sections 362 and 364
and subsection (a) of section 363, the Secretary shall consult
with appropriate departments and Federal agencies.
(c) The Secretary shall, as part of the report required under
section 657 of the Department of Energy Organization Act,
report to the President and the Congress, and shall furnish
copies of such report to the Governor of each State, on the
operation of the program under this part. Such report shall
include an estimate of the energy conservation achieved, the
degree of State participation and achievement, a description of
innovative conservation programs undertaken by individual
States, and the recommendations of the Secretary, if any, for
additional legislation.
(d) The Federal Trade Commission shall (1) cooperate with and
assist State agencies which have primary responsibilities for
the protection of consumers in activities aimed at preventing
unfair and deceptive acts or practices affecting commerce which
relate to the implementation of measures likely to conserve, or
improve efficiency in the use of, energy, including energy
conservation measures and renewable resource energy measures,
and (2) undertake its own program, pursuant to the Federal
Trade Commission Act to prevent unfair or deceptive acts or
practices affecting commerce which relate to the implementation
of any such measures.
(e) Within 90 days after the date of enactment of this
subsection, the Secretary shall--
(1) develop, by rule after consultation with the
Secretary of Housing and Urban Development, and publish
a list of energy conservation measures and renewable-
resource energy measures which are eligible (on a
national or regional basis for financial assistance
pursuant to section 509 of the Housing and Urban
Development Act of 1970 or section 451 of the Energy
Conservation and Production Act;
(2) designate, by rule, the types of, and
requirements for energy audits.
(f) For the purpose of carrying out this part, there are
authorized to be appropriated [$125,000,000] $90,000,000 for
each of fiscal years [2007 through 2012] 2018 through 2022.
(g)(1)(A) There is hereby established within the Department
of Energy a State Energy Advisory Board (hereafter in this
subsection referred to as the ``Board'') which shall consist of
at least 18 and not more than 21 members appointed by the
Secretary as soon as practicable but no later than September
30, 1991. At least eight of the members of the Board shall be
persons who serve as directors of the State agency, or a
division of such agency, responsible for developing State
energy conservation plans pursuant to section 362. At least
four members shall be directors of State or local low income
weatherization assistance programs. Other members shall be
appointed from persons who have experience in energy efficiency
or renewable energy programs from the private sector, consumer
interest groups, utilities, public utility commissions,
educational institutions, financial institutions, local
government energy programs, or research institutions. A
majority of the members of the Board shall be State employees.
(B)(i) Except as provided in clause (ii), the members of the
Board shall serve a term of three years.
(ii) Of the members first appointed to the Board, one-third
shall serve a term of one year, one-third shall serve a term of
two years, and the remainder shall serve a term of three years,
as specified by the Secretary.
(2) The Board shall--
(A) make recommendations to the Assistant Secretary
for Conservation and Renewable Energy within the
Department of Energy with respect to--
(i) the energy efficiency goals and
objectives of the programs carried out under
this part, part G of this title, and under part
A of title IV of the Energy Conservation and
Production Act; and
(ii) programmatic and administrative policies
designed to strengthen and improve the programs
referred to in clause (i), including actions
that should be considered to encourage non-
Federal resources (including private resources)
to supplement Federal financial assistance;
(B) serve as a liaison between the States and such
Department on energy efficiency and renewable energy
resource programs; and
(C) encourage transfer of the results of research and
development activities carried out by the Federal
Government with respect to energy efficiency and
renewable energy resource technologies.
(3) The Secretary shall designate one of the members of the
Board to serve as its chairman and one to serve as its vice-
chairman. The chairman and vice-chairman shall serve in those
offices no longer than two years.
(4) The Secretary shall provide the Board with such
reasonable services and facilities as may be necessary for the
performance of its functions.
(5) The Board shall be nonpartisan.
(6) The Board may adopt administrative rules and procedures
and may elect one of its members secretary of the Board.
(7) Consistent with Federal regulations, the Secretary shall
reimburse members of the Board for expenses (including travel
expenses) necessarily incurred by them in the performance of
their duties.
(8) The Board shall meet at least twice a year and shall
submit an annual report to the Secretary and the Congress on
the activities carried out by the Board in the previous fiscal
year, including an accounting of the expenses reimbursed under
paragraph (7) with respect to the year for which the report is
made and any recommendations it may have for administrative or
legislative changes concerning the matters referred to in
subparagraphs (A), (B), and (C) of paragraph (2).
(9) The Board shall continue until terminated by law.
definitions
Sec. 366. As used in this part--
(1) The term ``appliance'' means any article, such as
a room air-conditioner, refrigerator-freezer, or
dishwasher, which the Secretary classifies as an
appliance for purposes of this part.
(2) The term ``building'' means any structure which
includes provision for a heating or cooling system, or
both, or for a hot water system.
(3) The term ``energy audit'' means any process which
identifies and specifies the energy and cost savings
which are likely to be realized through the purchase
and installation of particular energy conservation
measures or renewable-resource energy measures and
which--
(A) is carried out in accordance with rules
of the Secretary; and
(B) imposes--
(i) no direct costs, with respect to
individuals who are occupants of
dwelling units in any State having a
supplemental State energy conservation
plan [approved under section 367], and
(ii) only reasonable costs, as
determined by the Secretary, with
respect to any person not described in
clause (i).
Rules referred to in subparagraph (A) may include
minimum qualifications for, and provisions with respect
to conflicts of interest of, persons carrying out such
energy audits.
(4) The term ``energy conservation measure'' means a
measure which modifies any building, building system,
energy consuming device associated with the building,
or industrial plant, the construction of which has been
completed prior to May 1, 1989, if such measure has
been determined by means of an energy audit or by the
Secretary, by rule under section 365(e)(1), to be
likely to maintain or improve the efficiency of energy
use and to reduce energy costs (as calculated on the
basis of energy cost reasonably projected over time, as
determined by the Secretary) in an amount sufficient to
enable a person to recover the total cost of purchasing
and installing such measure (without regard to any tax
benefit or Federal financial assistance applicable
thereto) within the period of--
(A) the useful life of the modification
involved, as determined by the Secretary, or
(B) 15 years after the purchase and
installation of such measure,
whichever is less. Such term does not include (i) the
purchase or installation of any appliance, (ii) any
conversion from one fuel or source of energy to another
which is of a type which the Secretary, by rule,
determines is ineligible on the basis that such type of
conversion is inconsistent with national policy with
respect to energy conservation or reduction of imports
of fuels, or (iii) any measure, or type of measure,
which the Secretary determines does not have as its
primary purpose an improvement in efficiency of energy
use.
(5) The term ``industrial plant,'' means any fixed
equipment or facility which is used in connection with,
or as part of, any process or system for industrial
production or output.
(6) The term ``renewable resource energy measure''
means a measure which modifies any building or
industrial plant, the construction of which has been
completed prior to the date of enactment of the Energy
Conservation and Production Act, if such measure has
been determined by means of an energy audit or by the
Secretary by rule under section 365(e)(1), to--
(A) involve changing, in whole or in part,
the fuel or source of the energy used to meet
the requirements of such building or plant from
a depletable source of energy to a
nondepletable source of energy; and
(B) be likely to reduce energy costs (as
calculated on the basis of energy costs
reasonably projected over time, as determined
by the Secretary) in an amount sufficient to
enable a person to recover the total cost of
purchasing and installing such measure (without
regard to any tax benefit or Federal financial
assistance applicable thereto) within the
period of--
(i) the useful life of the
modification involved, as determined by
the Secretary, or
(ii) 25 years after the purchase and
installation of such measure,
whichever is less.
such term does not include the purchase or installation
of any appliance.
(7) The term ``public building'' means any building
which is open to the public during normal business
hours.
(8) The term ``transportation controls'' means any
plan, procedure, method, or arrangement, or any system
of incentives, disincentives, restrictions, and
requirements, which is designed to reduce the amount of
energy consumed in transportation, except that the term
does not include rationing of gasoline or diesel fuel.
SEC. 367. STATE ENERGY SECURITY PLANS.
(a) In General.--Federal financial assistance made available
to a State under this part may be used for the implementation,
review, and revision of a State energy security plan that
assesses the State's existing circumstances and proposes
methods to strengthen the ability of the State, in consultation
with owners and operators of energy infrastructure in such
State, to--
(1) secure the energy infrastructure of the State
against all physical and cybersecurity threats;
(2) mitigate the risk of energy supply disruptions to
the State and enhance the response to, and recovery
from, energy disruptions; and
(3) ensure the State has a reliable, secure, and
resilient energy infrastructure.
(b) Contents of Plan.--A State energy security plan described
in subsection (a) shall--
(1) address all fuels, including petroleum products,
other liquid fuels, coal, electricity, and natural gas,
as well as regulated and unregulated energy providers;
(2) provide a State energy profile, including an
assessment of energy production, distribution, and end-
use;
(3) address potential hazards to each energy sector
or system, including physical threats and cybersecurity
threats and vulnerabilities;
(4) provide a risk assessment of energy
infrastructure and cross-sector interdependencies;
(5) provide a risk mitigation approach to enhance
reliability and end-use resilience; and
(6) address multi-State, Indian Tribe, and regional
coordination planning and response, and to the extent
practicable, encourage mutual assistance in cyber and
physical response plans.
(c) Coordination.--In developing a State energy security plan
under this section, the energy office of the State shall, to
the extent practicable, coordinate with--
(1) the public utility or service commission of the
State;
(2) energy providers from the private sector; and
(3) other entities responsible for maintaining fuel
or electric reliability.
(d) Financial Assistance.--A State is not eligible to receive
Federal financial assistance under this part, for any purpose,
for a fiscal year unless the Governor of such State submits to
the Secretary, with respect to such fiscal year--
(1) a State energy security plan described in
subsection (a) that meets the requirements of
subsection (b); or
(2) after an annual review of the State energy
security plan by the Governor--
(A) any necessary revisions to such plan; or
(B) a certification that no revisions to such
plan are necessary.
(e) Technical Assistance.--Upon request of the Governor of a
State, the Secretary may provide information and technical
assistance, and other assistance, in the development,
implementation, or revision of a State energy security plan.
(f) Sunset.--This section shall expire on October 31, 2022.
* * * * * * *
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DEPARTMENT OF THE INTERIOR AND RELATED AGENCIES APPROPRIATIONS ACT,
1985
* * * * * * *
DEPARTMENT OF ENERGY
* * * * * * *
ENERGY CONSERVATION
For necessary expenses in carrying out energy conservation
activities, $467,969,000 to remain available until expended:
Provided, That for the base State Energy Conservation Program
(part D of the Energy Policy and Conservation Act, [sections
361 through 366] sections 361 through 367, each State will
hereafter match in cash or in kind not less than 20 percent of
the Federal contribution: Provided further, That these funds
may be used for grants to the Commonwealth of the Northern
Mariana Islands, the Federated States of Micronesia, the
Republic of the Marshall Islands, and the Republic of Palau
under part D of title III of the Energy Policy and Conservation
Act (relating to primary and supplemental State energy
conservation programs, 42 U.S.C. 6321-6327) and under the
National Energy Extension Service Act (42 U.S.C. 7001-7011):
Provided further, That pursuant to section 111(b)(1)(B) of the
Energy Reorganization Act of 1974, as amended, 42 U.S.C.
5821(b)(1)(B), of the amount appropriated under this head,
$16,000,000 shall be available for a grant for basic industry
research facilities located at Northwestern University without
section 111(b)(2) of such Act being applicable.
* * * * * * *
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