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    JAC15A18 S.L.C.

    114TH CONGRESS1ST SESSION  S.

     llTo provide for the modernization of the energy policy of the United States,

    and for other purposes.

    IN THE SENATE OF THE UNITED STATES

     llllllllll

     llllllllll

    introduced the following bill; which was read twiceand referred to the Committee on llllllllll

    A BILL

    To provide for the modernization of the energy policy of

    the United States, and for other purposes.

     Be it enacted by the Senate and House of Representa-1

    tives of the United States of America in Congress assembled,2

    SECTION 1. SHORT TITLE; TABLE OF CONTENTS.3

    (a) SHORT TITLE.—This Act may be cited as the4

    ‘‘Energy Policy Modernization Act of 2015’’.5

    (b) T ABLE OF CONTENTS.—The table of contents for6

    this Act is as follows:7

    Sec. 1. Short title; table of contents.

    Sec. 2. Definitions.

    TITLE I—EFFICIENCY

    Subtitle A—Buildings

    Sec. 1001. Greater energy efficiency in building codes.

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    Sec. 1002. Budget-neutral demonstration program for energy and water con-

    servation improvements at multifamily residential units.

    Sec. 1003. Coordination of energy retrofitting assistance for schools.

    Sec. 1004. Energy efficiency retrofit pilot program.

    Sec. 1005. Utility energy service contracts.

    Sec. 1006. Use of energy and water efficiency measures in Federal buildings.

    Sec. 1007. Building training and assessment centers.Sec. 1008. Career skills training.

    Sec. 1009. Energy-efficient and energy-saving information technologies.

    Sec. 1010. Availability of funds for design updates.

    Sec. 1011. Energy efficient data centers.

    Sec. 1012. Weatherization Assistance Program.

    Sec. 1013. Reauthorization of State energy program.

    Sec. 1014. Smart building acceleration.

    Sec. 1015. Repeal of fossil phase-out.

    Sec. 1016. Federal building energy efficiency performance standards.

    Sec. 1017. Codification of Executive Order.

    Sec. 1018. Certification for green buildings.

    Sec. 1019. High performance green federal buildings.

    Subtitle B—Appliances

    Sec. 1101. Extended product system rebate program.

    Sec. 1102. Energy efficient transformer rebate program.

    Sec. 1103. Standards for certain furnaces.

    Sec. 1104. Third-party certification under Energy Star program.

    Subtitle C—Manufacturing

    Sec. 1201. Manufacturing energy efficiency.

    Sec. 1202. Leveraging existing Federal agency programs to assist small and

    medium manufacturers.

    Sec. 1203. Leveraging smart manufacturing infrastructure at National Labora-

    tories.

    TITLE II—INFRASTRUCTURE

    Subtitle A—Cybersecurity

    Sec. 2001. Cybersecurity threats.

    Sec. 2002. Enhanced grid security.

    Subtitle B—Strategic Petroleum Reserve

    Sec. 2101. Strategic Petroleum Reserve test drawdown and sale notification

    and definition change.

    Sec. 2102. Strategic Petroleum Reserve mission readiness optimization.

    Sec. 2103. Strategic Petroleum Reserve modernization.

    Subtitle C—Trade

    Sec. 2201. Action on applications to export liquefied natural gas.

    Sec. 2202. Public disclosure of liquefied natural gas export destinations.

    Sec. 2203. Energy data collaboration.

    Subtitle D—Electricity and Energy Storage

    Sec. 2301. Grid storage program.

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    Sec. 2302. Electric system grid architecture, scenario development, and mod-

    eling.

    Sec. 2303. Technology demonstration on the distribution system.

    Sec. 2304. Hybrid micro-grid systems for isolated and resilient communities.

    Sec. 2305. Voluntary model pathways.

    Sec. 2306. Performance metrics for electricity infrastructure providers.

    Sec. 2307. State and regional electricity distribution planning.Sec. 2308. Authorization of appropriations.

    Sec. 2309. Electric transmission infrastructure permitting.

    Sec. 2310. Report by transmission organizations on distributed energy re-

    sources and micro-grid systems.

    Sec. 2311. Net metering study guidance.

    Subtitle E—Computing

    Sec. 2401. Exascale computer research program.

    TITLE III—SUPPLY

    Subtitle A—Renewables

    PART I—H YDROELECTRIC 

    Sec. 3001. Hydropower regulatory improvements.

    Sec. 3002. Hydroelectric production incentives and efficiency improvements.

    Sec. 3003. Extension of time for a Federal Energy Regulatory Commission

    project involving Clark Canyon Dam.

    Sec. 3004. Extension of time for a Federal Energy Regulatory Commission

    project involving Gibson Dam.

    PART II—GEOTHERMAL 

    SUBPART A —GEOTHERMAL ENERGY  

    Sec. 3005. National goals for production and site identification.

    Sec. 3006. Priority areas for development on Federal land.

    Sec. 3007. Facilitation of coproduction of geothermal energy on oil and gas

    leases.

    Sec. 3008. Noncompetitive leasing of adjoining areas for development of geo-

    thermal resources.

    Sec. 3009. Large-scale geothermal energy.

    Sec. 3010. Report to Congress.

    Sec. 3011. Authorization of appropriations.

    SUBPART B—GEOTHERMAL EXPLORATION 

    Sec. 3012. Geothermal exploration test projects.

    PART III—M ARINE H YDROKINETIC 

    Sec. 3013. Definition of marine and hydrokinetic renewable energy.

    Sec. 3014. Marine and hydrokinetic renewable energy research and develop-

    ment.

    Sec. 3015. National Marine Renewable Energy Research, Development, and

    Demonstration Centers.

    Sec. 3016. Authorization of appropriations.

    PART IV—BIOMASS 

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    Sec. 3017. Biopower.

    Subtitle B—Oil and Gas

    Sec. 3101. Amendments to the Methane Hydrate Research and Development

     Act of 2000.

    Subtitle C—Helium

    Sec. 3201. Rights to helium.

    Subtitle D—Critical Minerals

    Sec. 3301. Definitions.

    Sec. 3302. Policy.

    Sec. 3303. Critical mineral designations.

    Sec. 3304. Resource assessment.

    Sec. 3305. Permitting.

    Sec. 3306. Federal Register process.

    Sec. 3307. Recycling, efficiency, and alternatives.

    Sec. 3308. Analysis and forecasting.

    Sec. 3309. Education and workforce.

    Sec. 3310. National geological and geophysical data preservation program.

    Sec. 3311. Administration.

    Sec. 3312. Authorization of appropriations.

    Subtitle E—Coal

    Sec. 3401. Fossil energy.

    Subtitle F—Nuclear

    Sec. 3501. Report on fusion and fission reactor prototypes.

    Subtitle G—Workforce Development

    Sec. 3601. 21st Century Energy Workforce Advisory Board.

    Sec. 3602. Energy workforce pilot grant program.

    Subtitle H—Recycling

    Sec. 3701. Recycled carbon fiber.

    TITLE IV—ACCOUNTABILITY

    Subtitle A—Loan Programs

    Sec. 4001. Terms and conditions for incentives for innovative technologies.

    Sec. 4002. State loan eligibility.

    Sec. 4003. GAO Study on fossil loan guarantee incentive program.

    Sec. 4004. Program eligibility for vessels.

    Sec. 4005. Additional reforms.

    Subtitle B—Energy-Water Nexus

    Sec. 4101. Nexus of energy and water for sustainability.

    Sec. 4102. Smart energy and water efficiency pilot program.

    Subtitle C—Innovation

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    Sec. 4201. America COMPETES programs.

    Sec. 4202. Inclusion of early stage technology demonstration in authorized

    technology transfer activities.

    Sec. 4203. Supporting access of small business concerns to National Labora-

    tories.

    Subtitle D—Grid ReliabilitySec. 4301. Bulk-power system reliability impact statement.

    Sec. 4302. Report by transmission organizations on diversity of supply.

    Sec. 4303. Activities carried out during an authorization during war or emer-

    gency.

    Subtitle E—Management

    Sec. 4401. Federal land management.

    Sec. 4402. Quadrennial Energy Review.

    Sec. 4403. State oversight of oil and gas programs.

    Sec. 4404. Under Secretary for Science and Energy.

    Subtitle F—Markets

    Sec. 4501. Enhanced information on critical energy supplies.

    Sec. 4502. Working Group on Energy Markets.

    Sec. 4503. Study of regulatory framework for energy markets.

    Subtitle G—Affordability

    Sec. 4601. E-prize competition pilot program.

    Subtitle H—Code Maintenance

    Sec. 4701. Repeal of off-highway motor vehicles study.

    Sec. 4702. Repeal of methanol study.

    Sec. 4703. Repeal of authorization of appropriations provision.Sec. 4704. Repeal of residential energy efficiency standards study.

    Sec. 4705. Repeal of weatherization study.

    Sec. 4706. Repeal of report to Congress.

    Sec. 4707. Repeal of certain reports.

    Sec. 4708. Repeal of report by General Services Administration.

    Sec. 4709. Repeal of intergovernmental energy management planning and co-

    ordination workshops.

    Sec. 4710. Repeal of Inspector General audit survey and President’s Council on

    Integrity and Efficiency report to Congress.

    Sec. 4711. Repeal of procurement and identification of energy efficient prod-

     ucts program.

    Sec. 4712. Repeal of national action plan for demand response.

    Sec. 4713. Repeal of national coal policy study.Sec. 4714. Repeal of study on compliance problem of small electric utility sys-

    tems.

    Sec. 4715. Repeal of study of socioeconomic impacts of increased coal produc-

    tion and other energy development.

    Sec. 4716. Repeal of study of the use of petroleum and natural gas in combus-

    tors.

    Sec. 4717. Repeal of submission of reports.

    Sec. 4718. Repeal of electric utility conservation plan.

    Sec. 4719. Emergency Energy Conservation repeals.

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    Sec. 4720. Energy Security Act repeals.

    Sec. 4721. Nuclear Safety Research, Development, and Demonstration Act of

    1980 repeals.

    Sec. 4722. Elimination and consolidation of certain America COMPETES pro-

    grams.

    TITLE V—CONSERVATION REAUTHORIZATIONSec. 5001. National Park Service Maintenance and Revitalization Conservation

    Fund.

    Sec. 5002. Land and Water Conservation Fund.

    Sec. 5003. Historic Preservation Fund.

    SEC. 2. DEFINITIONS.1

    In this Act:2

    (1) DEPARTMENT.—The term ‘‘Department’’3

    means the Department of Energy.4

    (2) SECRETARY .—The term ‘‘Secretary’’ means5

    the Secretary of Energy.6

    TITLE I—EFFICIENCY7

    Subtitle A—Buildings8

    SEC. 1001. GREATER ENERGY EFFICIENCY IN BUILDING9

    CODES.10

    (a) DEFINITIONS.—Section 303 of the Energy Con-11

    servation and Production Act (42 U.S.C. 6832) is amend-12

    ed—13

    (1) by striking paragraph (14) and inserting14

    the following:15

    ‘‘(14) MODEL BUILDING ENERGY CODE.—The16

    term ‘model building energy code’ means a voluntary17

     building energy code and standards developed and18

     updated through a consensus process among inter-19

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    ested persons, such as the IECC or the code used1

     by—2

    ‘‘(A) the Council of American Building Of-3

    ficials, or its legal successor, International Code4

    Council, Inc.;5

    ‘‘(B) the American Society of Heating, Re-6

    frigerating, and Air-Conditioning Engineers; or7

    ‘‘(C) other appropriate organizations.’’;8

    and9

    (2) by adding at the end the following:10

    ‘‘(17) IECC.—The term ‘IECC’ means the11

    International Energy Conservation Code.12

    ‘‘(18) INDIAN TRIBE.—The term ‘Indian tribe’13

    has the meaning given the term in section 4 of the14

    Native American Housing Assistance and Self-De-15

    termination Act of 1996 (25 U.S.C. 4103).’’.16

    (b) STATE BUILDING ENERGY  EFFICIENCY  17

    CODES.—Section 304 of the Energy Conservation and18

    Production Act (42 U.S.C. 6833) is amended to read as19

    follows:20

    ‘‘SEC. 304. UPDATING STATE BUILDING ENERGY EFFI-21

    CIENCY CODES.22

    ‘‘(a) IN GENERAL.—The Secretary shall—23

    ‘‘(1) encourage and support the adoption of24

     building energy codes by States, Indian tribes, and,25

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    as appropriate, by local governments that meet or1

    exceed the model building energy codes, or achieve2

    equivalent or greater energy savings; and3

    ‘‘(2) support full compliance with the State and4

    local codes.5

    ‘‘(b) STATE AND INDIAN TRIBE CERTIFICATION OF 6

    BUILDING ENERGY  CODE UPDATES.—7

    ‘‘(1) REVIEW AND UPDATING OF CODES BY  8

    EACH STATE AND INDIAN TRIBE.—9

    ‘‘(A) IN GENERAL.—Not later than 2 years10

    after the date on which a model building energy11

    code is updated, each State or Indian tribe shall12

    certify whether or not the State or Indian tribe,13

    respectively, has reviewed and updated the en-14

    ergy provisions of the building code of the State15

    or Indian tribe, respectively.16

    ‘‘(B) DEMONSTRATION.—The certification17

    shall include a demonstration of whether or not18

    the energy savings for the code provisions that19

    are in effect throughout the State or Indian20

    tribal territory meet or exceed—21

    ‘‘(i) the energy savings of the updated22

    model building energy code; or23

    ‘‘(ii) the targets established under sec-24

    tion 307(b)(2).25

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    ‘‘(C) NO MODEL BUILDING ENERGY CODE 1

    UPDATE.—If a model building energy code is2

    not updated by a target date established under3

    section 307(b)(2)(D), each State or Indian tribe4

    shall, not later than 2 years after the specified5

    date, certify whether or not the State or Indian6

    tribe, respectively, has reviewed and updated7

    the energy provisions of the building code of the8

    State or Indian tribe, respectively, to meet or9

    exceed the target in section 307(b)(2).10

    ‘‘(2) V  ALIDATION BY SECRETARY .—Not later11

    than 90 days after a State or Indian tribe certifi-12

    cation under paragraph (1), the Secretary shall—13

    ‘‘(A) determine whether the code provi-14

    sions of the State or Indian tribe, respectively,15

    meet the criteria specified in paragraph (1);16

    and17

    ‘‘(B) if the determination is positive, vali-18

    date the certification.19

    ‘‘(c) IMPROVEMENTS IN COMPLIANCE  W ITH BUILD-20

    ING ENERGY  CODES.—21

    ‘‘(1) REQUIREMENT.—22

    ‘‘(A) IN GENERAL.—Not later than 3 years23

    after the date of a certification under sub-24

    section (b), each State and Indian tribe shall25

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    certify whether or not the State and Indian1

    tribe, respectively, has—2

    ‘‘(i) achieved full compliance under3

    paragraph (3) with the applicable certified4

    State and Indian tribe building energy5

    code or with the associated model building6

    energy code; or7

    ‘‘(ii) made significant progress under8

    paragraph (4) toward achieving compliance9

     with the applicable certified State and In-10

    dian tribe building energy code or with the11

    associated model building energy code.12

    ‘‘(B) REPEAT CERTIFICATIONS.—If the13

    State or Indian tribe certifies progress toward14

    achieving compliance, the State or Indian tribe15

    shall repeat the certification until the State or16

    Indian tribe certifies that the State or Indian17

    tribe has achieved full compliance, respectively.18

    ‘‘(2) MEASUREMENT OF COMPLIANCE.—A cer-19

    tification under paragraph (1) shall include docu-20

    mentation of the rate of compliance based on—21

    ‘‘(A) independent inspections of a random22

    sample of the buildings covered by the code in23

    the preceding year; or24

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    ‘‘(B) an alternative method that yields an1

    accurate measure of compliance.2

    ‘‘(3) A CHIEVEMENT OF COMPLIANCE.—A State3

    or Indian tribe shall be considered to achieve full4

    compliance under paragraph (1) if—5

    ‘‘(A) at least 90 percent of building space6

    covered by the code in the preceding year sub-7

    stantially meets all the requirements of the ap-8

    plicable code specified in paragraph (1), or9

    achieves equivalent or greater energy savings10

    level; or11

    ‘‘(B) the estimated excess energy use of12

     buildings that did not meet the applicable code13

    specified in paragraph (1) in the preceding14

     year, compared to a baseline of comparable15

     buildings that meet this code, is not more than16

    5 percent of the estimated energy use of all17

     buildings covered by this code during the pre-18

    ceding year.19

    ‘‘(4) SIGNIFICANT PROGRESS TOWARD 20

     ACHIEVEMENT OF COMPLIANCE.—A State or Indian21

    tribe shall be considered to have made significant22

    progress toward achieving compliance for purposes23

    of paragraph (1) if the State or Indian tribe—24

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    ‘‘(A) has developed and is implementing a1

    plan for achieving compliance during the 8-2

     year-period beginning on the date of enactment3

    of this paragraph, including annual targets for4

    compliance and active training and enforcement5

    programs; and6

    ‘‘(B) has met the most recent target under7

    subparagraph (A).8

    ‘‘(5) V  ALIDATION BY SECRETARY .—Not later9

    than 90 days after a State or Indian tribe certifi-10

    cation under paragraph (1), the Secretary shall—11

    ‘‘(A) determine whether the State or In-12

    dian tribe has demonstrated meeting the cri-13

    teria of this subsection, including accurate14

    measurement of compliance; and15

    ‘‘(B) if the determination is positive, vali-16

    date the certification.17

    ‘‘(d) STATES OR INDIAN TRIBES THAT DO NOT 18

     A CHIEVE COMPLIANCE.—19

    ‘‘(1) REPORTING.—A State or Indian tribe that20

    has not made a certification required under sub-21

    section (b) or (c) by the applicable deadline shall22

    submit to the Secretary a report on—23

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    ‘‘(A) the status of the State or Indian tribe1

     with respect to meeting the requirements and2

    submitting the certification; and3

    ‘‘(B) a plan for meeting the requirements4

    and submitting the certification.5

    ‘‘(2) FEDERAL SUPPORT.—For any State or In-6

    dian tribe for which the Secretary has not validated7

    a certification by a deadline under subsection (b) or8

    (c), the lack of the certification may be a consider-9

    ation for Federal support authorized under this sec-10

    tion for code adoption and compliance activities.11

    ‘‘(3) LOCAL GOVERNMENT.—In any State or12

    Indian tribe for which the Secretary has not vali-13

    dated a certification under subsection (b) or (c), a14

    local government may be eligible for Federal support15

     by meeting the certification requirements of sub-16

    sections (b) and (c).17

    ‘‘(4) A NNUAL REPORTS BY SECRETARY .—18

    ‘‘(A) IN GENERAL.—The Secretary shall19

    annually submit to Congress, and publish in the20

    Federal Register, a report on—21

    ‘‘(i) the status of model building en-22

    ergy codes;23

    ‘‘(ii) the status of code adoption and24

    compliance in the States and Indian tribes;25

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    ‘‘(iii) the implementation of this sec-1

    tion; and2

    ‘‘(iv) improvements in energy savings3

    over time as a result of the targets estab-4

    lished under section 307(b)(2).5

    ‘‘(B) IMPACTS.—The report shall include6

    estimates of impacts of past action under this7

    section, and potential impacts of further action,8

    on—9

    ‘‘(i) upfront financial and construction10

    costs, cost benefits and returns (using in-11

     vestment analysis), and lifetime energy use12

    for buildings;13

    ‘‘(ii) resulting energy costs to individ-14

     uals and businesses; and15

    ‘‘(iii) resulting overall annual building16

    ownership and operating costs.17

    ‘‘(e) TECHNICAL  A SSISTANCE TO STATES AND IN-18

    DIAN TRIBES.—The Secretary shall provide technical as-19

    sistance to States and Indian tribes to implement the goals20

    and requirements of this section, including procedures and21

    technical analysis for States and Indian tribes—22

    ‘‘(1) to improve and implement State residential23

    and commercial building energy codes;24

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    ‘‘(2) to demonstrate that the code provisions of1

    the States and Indian tribes achieve equivalent or2

    greater energy savings than the model building en-3

    ergy codes and targets;4

    ‘‘(3) to document the rate of compliance with a5

     building energy code; and6

    ‘‘(4) to otherwise promote the design and con-7

    struction of energy efficient buildings.8

    ‘‘(f) A  VAILABILITY OF INCENTIVE FUNDING.—9

    ‘‘(1) IN GENERAL.—The Secretary shall provide10

    incentive funding to States and Indian tribes—11

    ‘‘(A) to implement the requirements of this12

    section;13

    ‘‘(B) to improve and implement residential14

    and commercial building energy codes, including15

    increasing and verifying compliance with the16

    codes and training of State, local, and tribal17

     building code officials to implement and enforce18

    the codes; and19

    ‘‘(C) to promote building energy efficiency20

    through the use of the codes.21

    ‘‘(2) A DDITIONAL FUNDING.—Additional fund-22

    ing shall be provided under this subsection for im-23

    plementation of a plan to achieve and document full24

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    compliance with residential and commercial building1

    energy codes under subsection (c)—2

    ‘‘(A) to a State or Indian tribe for which3

    the Secretary has validated a certification under4

    subsection (b) or (c); and5

    ‘‘(B) in a State or Indian tribe that is not6

    eligible under subparagraph (A), to a local gov-7

    ernment that is eligible under this section.8

    ‘‘(3) TRAINING.—Of the amounts made avail-9

    able under this subsection, the State or Indian tribe10

    may use amounts required, but not to exceed11

    $750,000 for a State, to train State and local build-12

    ing code officials to implement and enforce codes de-13

    scribed in paragraph (2).14

    ‘‘(4) LOCAL GOVERNMENTS.—States may share15

    grants under this subsection with local governments16

    that implement and enforce the codes.17

    ‘‘(g) STRETCH CODES AND  A DVANCED STAND-18

     ARDS.—19

    ‘‘(1) IN GENERAL.—The Secretary shall provide20

    technical and financial support for the development21

    of stretch codes and advanced standards for residen-22

    tial and commercial buildings for use as—23

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    ‘‘(A) an option for adoption as a building1

    energy code by State, local, or tribal govern-2

    ments; and3

    ‘‘(B) guidelines for energy-efficient build-4

    ing design.5

    ‘‘(2) T ARGETS.—The stretch codes and ad-6

     vanced standards shall be designed—7

    ‘‘(A) to achieve substantial energy savings8

    compared to the model building energy codes;9

    and10

    ‘‘(B) to meet targets under section 307(b),11

    if available, at least 3 to 6 years in advance of12

    the target years.13

    ‘‘(h) STUDIES.—The Secretary, in consultation with14

     building science experts from the National Laboratories15

    and institutions of higher education, designers and build-16

    ers of energy-efficient residential and commercial build-17

    ings, code officials, and other stakeholders, shall under-18

    take a study of the feasibility, impact, economics, and19

    merit of—20

    ‘‘(1) code improvements that would require that21

     buildings be designed, sited, and constructed in a22

    manner that makes the buildings more adaptable in23

    the future to become zero-net-energy after initial24

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    construction, as advances are achieved in energy-sav-1

    ing technologies;2

    ‘‘(2) code procedures to incorporate measured3

    lifetimes, not just first-year energy use, in trade-offs4

    and performance calculations; and5

    ‘‘(3) legislative options for increasing energy6

    savings from building energy codes, including addi-7

    tional incentives for effective State and local action,8

    and verification of compliance with and enforcement9

    of a code other than by a State or local government.10

    ‘‘(i) EFFECT ON OTHER L AWS.—Nothing in this sec-11

    tion or section 307 supersedes or modifies the application12

    of sections 321 through 346 of the Energy Policy and13

    Conservation Act (42 U.S.C. 6291 et seq.).14

    ‘‘(j) A UTHORIZATION OF  A PPROPRIATIONS.—There15

    is authorized to be appropriated to carry out this section16

    and section 307 $200,000,000, to remain available until17

    expended.’’.18

    (c) FEDERAL BUILDING ENERGY  EFFICIENCY  19

    STANDARDS.—Section 305 of the Energy Conservation20

    and Production Act (42 U.S.C. 6834) is amended by strik-21

    ing ‘‘voluntary building energy code’’ each place it appears22

    in subsections (a)(2)(B) and (b) and inserting ‘‘model23

     building energy code’’.24

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    (d) MODEL BUILDING ENERGY  CODES.—Section 3071

    of the Energy Conservation and Production Act (422

    U.S.C. 6836) is amended to read as follows:3

    ‘‘SEC. 307. SUPPORT FOR MODEL BUILDING ENERGY4

    CODES.5

    ‘‘(a) IN GENERAL.—The Secretary shall support the6

     updating of model building energy codes.7

    ‘‘(b) T ARGETS.—8

    ‘‘(1) IN GENERAL.—The Secretary shall sup-9

    port the updating of the model building energy codes10

    to enable the achievement of aggregate energy sav-11

    ings targets established under paragraph (2).12

    ‘‘(2) T ARGETS.—13

    ‘‘(A) IN GENERAL.—The Secretary shall14

     work with States, local governments, and In-15

    dian tribes, nationally recognized code and16

    standards developers, and other interested par-17

    ties to support the updating of model building18

    energy codes by establishing one or more aggre-19

    gate energy savings targets to achieve the pur-20

    poses of this section.21

    ‘‘(B) SEPARATE TARGETS.—The Secretary22

    may establish separate targets for commercial23

    and residential buildings.24

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    ‘‘(C) B ASELINES.—The baseline for updat-1

    ing model building energy codes shall be the2

    2009 IECC for residential buildings and3

     ASHRAE Standard 90.1–2010 for commercial4

     buildings.5

    ‘‘(D) SPECIFIC YEARS.—6

    ‘‘(i) IN GENERAL.—Targets for spe-7

    cific years shall be established and revised8

     by the Secretary through rulemaking and9

    coordinated with nationally recognized code10

    and standards developers at a level that—11

    ‘‘(I) is at the maximum level of12

    energy efficiency that is techno-13

    logically feasible and life-cycle cost ef-14

    fective, while accounting for the eco-15

    nomic considerations under paragraph16

    (4);17

    ‘‘(II) is higher than the preceding18

    target; and19

    ‘‘(III) promotes the achievement20

    of commercial and residential high-21

    performance buildings through high-22

    performance energy efficiency (within23

    the meaning of section 401 of the En-24

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    ergy Independence and Security Act1

    of 2007 (42 U.S.C. 17061)).2

    ‘‘(ii) INITIAL TARGETS.—Not later3

    than 1 year after the date of enactment of4

    this clause, the Secretary shall establish5

    initial targets under this subparagraph.6

    ‘‘(iii) DIFFERENT TARGET YEARS.—7

    Subject to clause (i), prior to the applica-8

     ble year, the Secretary may set a later tar-9

    get year for any of the model building en-10

    ergy codes described in subparagraph (A)11

    if the Secretary determines that a target12

    cannot be met.13

    ‘‘(iv) SMALL BUSINESS.—When estab-14

    lishing targets under this paragraph15

    through rulemaking, the Secretary shall16

    ensure compliance with the Small Business17

    Regulatory Enforcement Fairness Act of18

    1996 (5 U.S.C. 601 note; Public Law 104–19

    121).20

    ‘‘(3) A PPLIANCE STANDARDS AND OTHER FAC-21

    TORS AFFECTING BUILDING ENERGY USE.—In es-22

    tablishing building code targets under paragraph23

    (2), the Secretary shall develop and adjust the tar-24

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    gets in recognition of potential savings and costs re-1

    lating to—2

    ‘‘(A) efficiency gains made in appliances,3

    lighting, windows, insulation, and building enve-4

    lope sealing;5

    ‘‘(B) advancement of distributed genera-6

    tion and on-site renewable power generation7

    technologies;8

    ‘‘(C) equipment improvements for heating,9

    cooling, and ventilation systems;10

    ‘‘(D) building management systems and11

    SmartGrid technologies to reduce energy use;12

    and13

    ‘‘(E) other technologies, practices, and14

     building systems that the Secretary considers15

    appropriate regarding building plug load and16

    other energy uses.17

    ‘‘(4) ECONOMIC CONSIDERATIONS.—In estab-18

    lishing and revising building code targets under19

    paragraph (2), the Secretary shall consider the eco-20

    nomic feasibility of achieving the proposed targets21

    established under this section and the potential costs22

    and savings for consumers and building owners, in-23

    cluding a return on investment analysis.24

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    ‘‘(c) TECHNICAL  A SSISTANCE TO MODEL BUILDING 1

    ENERGY  CODE-SETTING AND STANDARD DEVELOPMENT 2

    ORGANIZATIONS.—3

    ‘‘(1) IN GENERAL.—The Secretary shall, on a4

    timely basis, provide technical assistance to model5

     building energy code-setting and standard develop-6

    ment organizations consistent with the goals of this7

    section.8

    ‘‘(2) A SSISTANCE.—The assistance shall in-9

    clude, as requested by the organizations, technical10

    assistance in—11

    ‘‘(A) evaluating code or standards pro-12

    posals or revisions;13

    ‘‘(B) building energy analysis and design14

    tools;15

    ‘‘(C) building demonstrations;16

    ‘‘(D) developing definitions of energy use17

    intensity and building types for use in model18

     building energy codes to evaluate the efficiency19

    impacts of the model building energy codes;20

    ‘‘(E) performance-based standards;21

    ‘‘(F) evaluating economic considerations22

     under subsection (b)(4); and23

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    ‘‘(G) developing model building energy1

    codes by Indian tribes in accordance with tribal2

    law.3

    ‘‘(3) A MENDMENT PROPOSALS.—The Secretary4

    may submit timely model building energy code5

    amendment proposals to the model building energy6

    code-setting and standard development organiza-7

    tions, with supporting evidence, sufficient to enable8

    the model building energy codes to meet the targets9

    established under subsection (b)(2).10

    ‘‘(4) A NALYSIS METHODOLOGY .—The Secretary11

    shall make publicly available the entire calculation12

    methodology (including input assumptions and data)13

     used by the Secretary to estimate the energy savings14

    of code or standard proposals and revisions.15

    ‘‘(d) DETERMINATION.—16

    ‘‘(1) REVISION OF MODEL BUILDING ENERGY  17

    CODES.—If the provisions of the IECC or ASHRAE18

    Standard 90.1 regarding building energy use are re-19

     vised, the Secretary shall make a preliminary deter-20

    mination not later than 90 days after the date of the21

    revision, and a final determination not later than 1522

    months after the date of the revision, on whether or23

    not the revision will—24

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    ‘‘(A) improve energy efficiency in buildings1

    compared to the existing model building energy2

    code; and3

    ‘‘(B) meet the applicable targets under4

    subsection (b)(2).5

    ‘‘(2) CODES OR STANDARDS NOT MEETING TAR-6

    GETS.—7

    ‘‘(A) IN GENERAL.—If the Secretary8

    makes a preliminary determination under para-9

    graph (1)(B) that a code or standard does not10

    meet the targets established under subsection11

    (b)(2), the Secretary may at the same time pro-12

     vide the model building energy code or standard13

    developer with proposed changes that would re-14

    sult in a model building energy code that meets15

    the targets and with supporting evidence, tak-16

    ing into consideration—17

    ‘‘(i) whether the modified code is tech-18

    nically feasible and life-cycle cost effective;19

    ‘‘(ii) available appliances, technologies,20

    materials, and construction practices; and21

    ‘‘(iii) the economic considerations22

     under subsection (b)(4).23

    ‘‘(B) INCORPORATION OF CHANGES.—24

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    ‘‘(i) IN GENERAL.—On receipt of the1

    proposed changes, the model building en-2

    ergy code or standard developer shall have3

    an additional 270 days to accept or reject4

    the proposed changes of the Secretary to5

    the model building energy code or standard6

    for the Secretary to make a final deter-7

    mination.8

    ‘‘(ii) FINAL DETERMINATION.—A9

    final determination under paragraph (1)10

    shall be on the modified model building en-11

    ergy code or standard.12

    ‘‘(e) A DMINISTRATION.—In carrying out this section,13

    the Secretary shall—14

    ‘‘(1) publish notice of targets and supporting15

    analysis and determinations under this section in the16

    Federal Register to provide an explanation of and17

    the basis for such actions, including any supporting18

    modeling, data, assumptions, protocols, and cost-19

     benefit analysis, including return on investment; and20

    ‘‘(2) provide an opportunity for public comment21

    on targets and supporting analysis and determina-22

    tions under this section.23

    ‘‘(f) V OLUNTARY  CODES AND STANDARDS.—Not-24

     withstanding any other provision of this section, any25

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    model building code or standard established under section1

    304 shall not be binding on a State, local government, or2

    Indian tribe as a matter of Federal law.’’.3

    SEC. 1002. BUDGET-NEUTRAL DEMONSTRATION PROGRAM4

    FOR ENERGY AND WATER CONSERVATION IM-5

    PROVEMENTS AT MULTIFAMILY RESIDEN-6

    TIAL UNITS.7

    (a) ESTABLISHMENT.—The Secretary of Housing8

    and Urban Development (referred to in this section as the9

    ‘‘Secretary’’) shall establish a demonstration program10

     under which, during the period beginning on the date of11

    enactment of this Act, and ending on September 30, 2018,12

    the Secretary may enter into budget-neutral, performance-13

     based agreements that result in a reduction in energy or14

     water costs with such entities as the Secretary determines15

    to be appropriate under which the entities shall carry out16

    projects for energy or water conservation improvements at17

    not more than 20,000 residential units in multifamily18

     buildings participating in—19

    (1) the project-based rental assistance program20

     under section 8 of the United States Housing Act of21

    1937 (42 U.S.C. 1437f), other than assistance pro-22

     vided under section 8(o) of that Act;23

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    (2) the supportive housing for the elderly pro-1

    gram under section 202 of the Housing Act of 19592

    (12 U.S.C. 1701q); or3

    (3) the supportive housing for persons with dis-4

    abilities program under section 811(d)(2) of the5

    Cranston-Gonzalez National Affordable Housing Act6

    (42 U.S.C. 8013(d)(2)).7

    (b) REQUIREMENTS.—8

    (1) P AYMENTS CONTINGENT ON SAVINGS.—9

    (A) IN GENERAL.—The Secretary shall10

    provide to an entity a payment under an agree-11

    ment under this section only during applicable12

     years for which an energy or water cost savings13

    is achieved with respect to the applicable multi-14

    family portfolio of properties, as determined by15

    the Secretary, in accordance with subparagraph16

    (B).17

    (B) P AYMENT METHODOLOGY .—18

    (i) IN GENERAL.—Each agreement19

     under this section shall include a pay-for-20

    success provision—21

    (I) that will serve as a payment22

    threshold for the term of the agree-23

    ment; and24

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    (II) pursuant to which the De-1

    partment of Housing and Urban De-2

     velopment shall share a percentage of3

    the savings at a level determined by4

    the Secretary that is sufficient to5

    cover the administrative costs of car-6

    rying out this section.7

    (ii) LIMITATIONS.—A payment made8

     by the Secretary under an agreement9

     under this section shall—10

    (I) be contingent on documented11

     utility savings; and12

    (II) not exceed the utility savings13

    achieved by the date of the payment,14

    and not previously paid, as a result of15

    the improvements made under the16

    agreement.17

    (C) THIRD PARTY VERIFICATION.—Savings18

    payments made by the Secretary under this sec-19

    tion shall be based on a measurement and20

     verification protocol that includes at least—21

    (i) establishment of a weather-normal-22

    ized and occupancy-normalized utility con-23

    sumption baseline established preretrofit;24

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    (ii) annual third party confirmation of1

    actual utility consumption and cost for2

    owner-paid utilities;3

    (iii) annual third party validation of4

    the tenant utility allowances in effect dur-5

    ing the applicable year and vacancy rates6

    for each unit type; and7

    (iv) annual third party determination8

    of savings to the Secretary.9

    (2) TERM.—The term of an agreement under10

    this section shall be not longer than 12 years.11

    (3) ENTITY ELIGIBILITY .—The Secretary12

    shall—13

    (A) establish a competitive process for en-14

    tering into agreements under this section; and15

    (B) enter into such agreements only with16

    entities that demonstrate significant experience17

    relating to—18

    (i) financing and operating properties19

    receiving assistance under a program de-20

    scribed in subsection (a);21

    (ii) oversight of energy and water con-22

    servation programs, including oversight of23

    contractors; and24

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    (iii) raising capital for energy and1

     water conservation improvements from2

    charitable organizations or private inves-3

    tors.4

    (4) GEOGRAPHICAL DIVERSITY .—Each agree-5

    ment entered into under this section shall provide6

    for the inclusion of properties with the greatest fea-7

    sible regional and State variance.8

    (c) PLAN AND REPORTS.—9

    (1) PLAN.—Not later than 90 days after the10

    date of enactment of this Act, the Secretary shall11

    submit to the Committees on Appropriations of the12

    House of Representatives and the Senate, the Com-13

    mittee on Energy and Natural Resources of the Sen-14

    ate, and the Committee on Energy and Commerce of15

    the House of Representatives a detailed plan for the16

    implementation of this section.17

    (2) REPORTS.—Not later than 1 year after the18

    date of enactment of this Act, and annually there-19

    after, the Secretary shall—20

    (A) conduct an evaluation of the program21

     under this section; and22

    (B) submit to Congress a report describing23

    each evaluation conducted under subparagraph24

    (A).25

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    (d) FUNDING.—For each fiscal year during which an1

    agreement under this section is in effect, the Secretary2

    may use to carry out this section any funds appropriated3

    to the Secretary for the renewal of contracts under a pro-4

    gram described in subsection (a).5

    SEC. 1003. COORDINATION OF ENERGY RETROFITTING AS-6

    SISTANCE FOR SCHOOLS.7

    (a) DEFINITION OF SCHOOL.—In this section, the8

    term ‘‘school’’ means—9

    (1) an elementary school or secondary school10

    (as defined in section 9101 of the Elementary and11

    Secondary Education Act of 1965 (20 U.S.C.12

    7801));13

    (2) an institution of higher education (as de-14

    fined in section 102(a) of the Higher Education Act15

    of 1965 (20 U.S.C. 1002(a));16

    (3) a school of the defense dependents’ edu-17

    cation system under the Defense Dependents’ Edu-18

    cation Act of 1978 (20 U.S.C. 921 et seq.) or estab-19

    lished under section 2164 of title 10, United States20

    Code;21

    (4) a school operated by the Bureau of Indian22

     Affairs;23

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    (5) a tribally controlled school (as defined in1

    section 5212 of the Tribally Controlled Schools Act2

    of 1988 (25 U.S.C. 2511)); and3

    (6) a Tribal College or University (as defined in4

    section 316(b) of the Higher Education Act of 19655

    (20 U.S.C. 1059c(b))).6

    (b) DESIGNATION OF LEAD  A GENCY .—The Sec-7

    retary, acting through the Office of Energy Efficiency and8

    Renewable Energy, shall act as the lead Federal agency9

    for coordinating and disseminating information on exist-10

    ing Federal programs and assistance that may be used11

    to help initiate, develop, and finance energy efficiency, re-12

    newable energy, and energy retrofitting projects for13

    schools.14

    (c) REQUIREMENTS.—In carrying out coordination15

    and outreach under subsection (b), the Secretary shall—16

    (1) in consultation and coordination with the17

    appropriate Federal agencies, carry out a review of18

    existing programs and financing mechanisms (in-19

    cluding revolving loan funds and loan guarantees)20

    available in or from the Department of Agriculture,21

    the Department of Energy, the Department of Edu-22

    cation, the Department of the Treasury, the Internal23

    Revenue Service, the Environmental Protection24

     Agency, and other appropriate Federal agencies with25

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     jurisdiction over energy financing and facilitation1

    that are currently used or may be used to help ini-2

    tiate, develop, and finance energy efficiency, renew-3

    able energy, and energy retrofitting projects for4

    schools;5

    (2) establish a Federal cross-departmental col-6

    laborative coordination, education, and outreach ef-7

    fort to streamline communication and promote avail-8

    able Federal opportunities and assistance described9

    in paragraph (1) for energy efficiency, renewable en-10

    ergy, and energy retrofitting projects that enables11

    States, local educational agencies, and schools—12

    (A) to use existing Federal opportunities13

    more effectively; and14

    (B) to form partnerships with Governors,15

    State energy programs, local educational, finan-16

    cial, and energy officials, State and local gov-17

    ernment officials, nonprofit organizations, and18

    other appropriate entities to support the initi-19

    ation of the projects;20

    (3) provide technical assistance for States, local21

    educational agencies, and schools to help develop22

    and finance energy efficiency, renewable energy, and23

    energy retrofitting projects—24

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    (A) to increase the energy efficiency of1

     buildings or facilities;2

    (B) to install systems that individually3

    generate energy from renewable energy re-4

    sources;5

    (C) to establish partnerships to leverage6

    economies of scale and additional financing7

    mechanisms available to larger clean energy ini-8

    tiatives; or9

    (D) to promote—10

    (i) the maintenance of health, environ-11

    mental quality, and safety in schools, in-12

    cluding the ambient air quality, through13

    energy efficiency, renewable energy, and14

    energy retrofit projects; and15

    (ii) the achievement of expected en-16

    ergy savings and renewable energy produc-17

    tion through proper operations and main-18

    tenance practices;19

    (4) develop and maintain a single online re-20

    source website with contact information for relevant21

    technical assistance and support staff in the Office22

    of Energy Efficiency and Renewable Energy for23

    States, local educational agencies, and schools to ef-24

    fectively access and use Federal opportunities and25

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    assistance described in paragraph (1) to develop en-1

    ergy efficiency, renewable energy, and energy retro-2

    fitting projects; and3

    (5) establish a process for recognition of schools4

    that—5

    (A) have successfully implemented energy6

    efficiency, renewable energy, and energy retro-7

    fitting projects; and8

    (B) are willing to serve as resources for9

    other local educational agencies and schools to10

    assist initiation of similar efforts.11

    (d) REPORT.—Not later than 180 days after the date12

    of enactment of this Act, the Secretary shall submit to13

    Congress a report describing the implementation of this14

    section.15

    SEC. 1004. ENERGY EFFICIENCY RETROFIT PILOT PRO-16

    GRAM.17

    (a) DEFINITIONS.—In this section:18

    (1) A PPLICANT.—The term ‘‘applicant’’ means19

    a nonprofit organization that applies for a grant20

     under this section.21

    (2) ENERGY -EFFICIENCY IMPROVEMENT.—22

    (A) IN GENERAL.—The term ‘‘energy-effi-23

    ciency improvement’’ means an installed meas-24

     ure (including a product, equipment, system,25

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    service, or practice) that results in a reduction1

    in use by a nonprofit organization for energy or2

    fuel supplied from outside the nonprofit build-3

    ing.4

    (B) INCLUSIONS.—The term ‘‘energy-effi-5

    ciency improvement’’ includes an installed6

    measure described in subparagraph (A) involv-7

    ing—8

    (i) repairing, replacing, or installing—9

    (I) a roof or lighting system, or10

    component of a roof or lighting sys-11

    tem;12

    (II) a window;13

    (III) a door, including a security14

    door; or15

    (IV) a heating, ventilation, or air16

    conditioning system or component of17

    the system (including insulation and18

     wiring and plumbing improvements19

    needed to serve a more efficient sys-20

    tem);21

    (ii) a renewable energy generation or22

    heating system, including a solar, photo-23

     voltaic, wind, geothermal, or biomass (in-24

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    cluding wood pellet) system or component1

    of the system; and2

    (iii) any other measure taken to mod-3

    ernize, renovate, or repair a nonprofit4

     building to make the nonprofit building5

    more energy efficient.6

    (3) NONPROFIT BUILDING.—7

    (A) IN GENERAL.—The term ‘‘nonprofit8

     building’’ means a building operated and owned9

     by a nonprofit organization.10

    (B) INCLUSIONS.—The term ‘‘nonprofit11

     building’’ includes a building described in sub-12

    paragraph (A) that is—13

    (i) a hospital;14

    (ii) a youth center;15

    (iii) a school;16

    (iv) a social-welfare program facility;17

    (v) a faith-based organization; and18

    (vi) any other nonresidential and non-19

    commercial structure.20

    (b) ESTABLISHMENT.—Not later than 1 year after21

    the date of enactment of this Act, the Secretary shall es-22

    tablish a pilot program to award grants for the purpose23

    of retrofitting nonprofit buildings with energy-efficiency24

    improvements.25

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    (c) GRANTS.—1

    (1) IN GENERAL.—The Secretary may award2

    grants under the program established under sub-3

    section (b).4

    (2) A PPLICATION.—The Secretary may award a5

    grant under this section if an applicant submits to6

    the Secretary an application at such time, in such7

    form, and containing such information as the Sec-8

    retary may prescribe.9

    (3) CRITERIA FOR GRANT.—In determining10

     whether to award a grant under this section, the11

    Secretary shall apply performance-based criteria,12

     which shall give priority to applications based on—13

    (A) the energy savings achieved;14

    (B) the cost-effectiveness of the energy-ef-15

    ficiency improvement;16

    (C) an effective plan for evaluation, meas-17

     urement, and verification of energy savings;18

    (D) the financial need of the applicant;19

    and20

    (E) the percentage of the matching con-21

    tribution by the applicant.22

    (4) LIMITATION ON INDIVIDUAL GRANT 23

     AMOUNT.—Each grant awarded under this section24

    shall not exceed—25

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    (A) an amount equal to 50 percent of the1

    energy-efficiency improvement; and2

    (B) $200,000.3

    (5) COST SHARING.—4

    (A) IN GENERAL.—A grant awarded under5

    this section shall be subject to a minimum non-6

    Federal cost-sharing requirement of 50 percent.7

    (B) IN-KIND CONTRIBUTIONS.—The non-8

    Federal share may be provided in the form of9

    in-kind contributions of materials or services.10

    (d) A UTHORIZATION OF  A PPROPRIATIONS.—There is11

    authorized to be appropriated to carry out this section12

    $10,000,000 for each of fiscal years 2016 through 2020,13

    to remain available until expended.14

    SEC. 1005. UTILITY ENERGY SERVICE CONTRACTS.15

    Section 546 of the National Energy Conservation16

    Policy Act (42 U.S.C. 8256) is amended by adding at the17

    end the following:18

    ‘‘(f) UTILITY  ENERGY  SERVICE CONTRACTS.—19

    ‘‘(1) IN GENERAL.—Each Federal agency may20

     use, to the maximum extent practicable, measures21

    provided by law to meet energy efficiency and con-22

    servation mandates and laws, including through util-23

    ity energy service contracts.24

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    ‘‘(2) CONTRACT PERIOD.—The term of a utility1

    energy service contract entered into by a Federal2

    agency may have a contract period that extends be-3

     yond 10 years, but not to exceed 25 years.4

    ‘‘(3) REQUIREMENTS.—The conditions of a util-5

    ity energy service contract entered into by a Federal6

    agency shall include requirements for measurement,7

     verification, and performance assurances or guaran-8

    tees of the savings.’’.9

    SEC. 1006. USE OF ENERGY AND WATER EFFICIENCY MEAS-10

    URES IN FEDERAL BUILDINGS.11

    (a) ENERGY  M ANAGEMENT REQUIREMENTS.—Sec-12

    tion 543(f)(4) of the National Energy Conservation Policy13

     Act (42 U.S.C. 8253(f)(4)) is amended—14

    (1) by redesignating subparagraphs (A) and15

    (B) as clauses (i) and (ii), respectively, and indent-16

    ing appropriately;17

    (2) by striking ‘‘Not later than’’ and inserting18

    the following:19

    ‘‘(A) IN GENERAL.—Not later than’’; and20

    (3) by adding at the end the following:21

    ‘‘(B) MEASURES NOT IMPLEMENTED.—22

    Each energy manager, as part of the certifi-23

    cation system under paragraph (7) and using24

    guidelines developed by the Secretary, shall pro-25

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     vide an explanation regarding any life-cycle1

    cost-effective measures described in subpara-2

    graph (A)(i) that have not been implemented.’’.3

    (b) REPORTS.—Section 548(b) of the National En-4

    ergy Conservation Policy Act (42 U.S.C. 8258(b)) is5

    amended—6

    (1) in paragraph (3), by striking ‘‘and’’ at the7

    end;8

    (2) in paragraph (4), by striking the period at9

    the end and inserting ‘‘; and’’; and10

    (3) by adding at the end the following:11

    ‘‘(5)(A) the status of the energy savings per-12

    formance contracts and utility energy service con-13

    tracts of each agency;14

    ‘‘(B) the investment value of the contracts;15

    ‘‘(C) the guaranteed energy savings for the pre-16

     vious year as compared to the actual energy savings17

    for the previous year;18

    ‘‘(D) the plan for entering into the contracts in19

    the coming year; and20

    ‘‘(E) information explaining why any previously21

    submitted plans for the contracts were not imple-22

    mented.’’.23

    (c) DEFINITION OF ENERGY  CONSERVATION MEAS-24

    URES.—Section 551(4) of the National Energy Conserva-25

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    tion Policy Act (42 U.S.C. 8259(4)) is amended by strik-1

    ing ‘‘or retrofit activities’’ and inserting ‘‘retrofit activi-2

    ties, or energy consuming devices and required support3

    structures’’.4

    (d) A UTHORITY  TO ENTER INTO CONTRACTS.—Sec-5

    tion 801(a)(2)(F) of the National Energy Conservation6

    Policy Act (42 U.S.C. 8287(a)(2)(F)) is amended—7

    (1) in clause (i), by striking ‘‘or’’ at the end;8

    (2) in clause (ii), by striking the period at the9

    end and inserting ‘‘; or’’; and10

    (3) by adding at the end the following:11

    ‘‘(iii) limit the recognition of oper-12

    ation and maintenance savings associated13

     with systems modernized or replaced with14

    the implementation of energy conservation15

    measures, water conservation measures, or16

    any combination of energy conservation17

    measures and water conservation meas-18

     ures.’’.19

    (e) MISCELLANEOUS  A UTHORITY .—Section20

    801(a)(2) of the National Energy Conservation Policy Act21

    (42 U.S.C. 8287(a)(2)) is amended by adding at the end22

    the following:23

    ‘‘(H) MISCELLANEOUS AUTHORITY .—Not-24

     withstanding any other provision of law, a Fed-25

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    eral agency may sell or transfer energy savings1

    and apply the proceeds of the sale or transfer2

    to fund a contract under this title.’’.3

    (f) P AYMENT OF COSTS.—Section 802 of the Na-4

    tional Energy Conservation Policy Act (42 U.S.C. 8287a)5

    is amended by striking ‘‘(and related operation and main-6

    tenance expenses)’’ and inserting ‘‘, including related op-7

    erations and maintenance expenses’’.8

    (g) DEFINITION OF ENERGY  S AVINGS.—Section9

    804(2) of the National Energy Conservation Policy Act10

    (42 U.S.C. 8287c(2)) is amended—11

    (1) in subparagraph (A), by striking ‘‘federally12

    owned building or buildings or other federally owned13

    facilities’’ and inserting ‘‘Federal building (as de-14

    fined in section 551)’’ each place it appears;15

    (2) in subparagraph (C), by striking ‘‘; and’’16

    and inserting a semicolon;17

    (3) in subparagraph (D), by striking the period18

    at the end and inserting a semicolon; and19

    (4) by adding at the end the following:20

    ‘‘(E) the use, sale, or transfer of energy in-21

    centives, rebates, or credits (including renew-22

    able energy credits) from Federal, State, or23

    local governments or utilities; and24

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    ‘‘(F) any revenue generated from a reduc-1

    tion in energy or water use, more efficient2

     waste recycling, or additional energy generated3

    from more efficient equipment.’’.4

    SEC. 1007. BUILDING TRAINING AND ASSESSMENT CEN-5

    TERS.6

    (a) IN GENERAL.—The Secretary shall provide7

    grants to institutions of higher education (as defined in8

    section 101 of the Higher Education Act of 1965 (209

    U.S.C. 1001)) and Tribal Colleges or Universities (as de-10

    fined in section 316(b) of that Act (20 U.S.C. 1059c(b)))11

    to establish building training and assessment centers—12

    (1) to identify opportunities for optimizing en-13

    ergy efficiency and environmental performance in14

     buildings;15

    (2) to promote the application of emerging con-16

    cepts and technologies in commercial and institu-17

    tional buildings;18

    (3) to train engineers, architects, building sci-19

    entists, building energy permitting and enforcement20

    officials, and building technicians in energy-efficient21

    design and operation;22

    (4) to assist institutions of higher education23

    and Tribal Colleges or Universities in training build-24

    ing technicians;25

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    (5) to promote research and development for1

    the use of alternative energy sources and distributed2

    generation to supply heat and power for buildings,3

    particularly energy-intensive buildings; and4

    (6) to coordinate with and assist State-accred-5

    ited technical training centers, community colleges,6

    Tribal Colleges or Universities, and local offices of7

    the National Institute of Food and Agriculture and8

    ensure appropriate services are provided under this9

    section to each region of the United States.10

    (b) COORDINATION AND NONDUPLICATION.—11

    (1) IN GENERAL.—The Secretary shall coordi-12

    nate the program with the industrial research and13

    assessment centers program and with other Federal14

    programs to avoid duplication of effort.15

    (2) COLLOCATION.—To the maximum extent16

    practicable, building, training, and assessment cen-17

    ters established under this section shall be collocated18

     with Industrial Assessment Centers.19

    (c) A UTHORIZATION OF  A PPROPRIATIONS.—There is20

    authorized to be appropriated to carry out this section21

    $10,000,000, to remain available until expended.22

    SEC. 1008. CAREER SKILLS TRAINING.23

    (a) IN GENERAL.—The Secretary shall pay grants to24

    eligible entities described in subsection (b) to pay the Fed-25

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    eral share of associated career skills training programs1

     under which students concurrently receive classroom in-2

    struction and on-the-job training for the purpose of ob-3

    taining an industry-related certification to install energy4

    efficient buildings technologies, including technologies de-5

    scribed in section 307(b)(3) of the Energy Conservation6

    and Production Act (42 U.S.C. 6836(b)(3)).7

    (b) ELIGIBILITY .—To be eligible to obtain a grant8

     under subsection (a), an entity shall be a nonprofit part-9

    nership described in section 171(e)(2)(B)(ii) of the Work-10

    force Investment Act of 1998 (29 U.S.C.11

    2916(e)(2)(B)(ii)).12

    (c) FEDERAL SHARE.—The Federal share of the cost13

    of carrying out a career skills training program described14

    in subsection (a) shall be 50 percent.15

    (d) A UTHORIZATION OF  A PPROPRIATIONS.—There is16

    authorized to be appropriated to carry out this section17

    $10,000,000, to remain available until expended.18

    SEC. 1009. ENERGY-EFFICIENT AND ENERGY-SAVING IN-19

    FORMATION TECHNOLOGIES.20

    Section 543 of the National Energy Conservation21

    Policy Act (42 U.S.C. 8253) is amended by adding at the22

    end the following:23

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    ‘‘(h) FEDERAL IMPLEMENTATION STRATEGY FOR 1

    ENERGY -EFFICIENT AND ENERGY -S AVING INFORMATION 2

    TECHNOLOGIES.—3

    ‘‘(1) DEFINITIONS.—In this subsection:4

    ‘‘(A) DIRECTOR.—The term ‘Director’5

    means the Director of the Office of Manage-6

    ment and Budget.7

    ‘‘(B) INFORMATION TECHNOLOGY .—The8

    term ‘information technology’ has the meaning9

    given the term in section 11101 of title 40,10

    United States Code.11

    ‘‘(2) DEVELOPMENT OF IMPLEMENTATION 12

    STRATEGY .—Not later than 1 year after the date of13

    enactment of this subsection, each Federal agency14

    shall collaborate with the Director to develop an im-15

    plementation strategy (including best-practices and16

    measurement and verification techniques) for the17

    maintenance, purchase, and use by the Federal18

    agency of energy-efficient and energy-saving infor-19

    mation technologies.20

    ‘‘(3) A DMINISTRATION.—In developing an im-21

    plementation strategy, each Federal agency shall22

    consider—23

    ‘‘(A) advanced metering infrastructure;24

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    ‘‘(B) energy efficient data center strategies1

    and methods of increasing asset and infrastruc-2

    ture utilization;3

    ‘‘(C) advanced power management tools;4

    ‘‘(D) building information modeling, in-5

    cluding building energy management; and6

    ‘‘(E) secure telework and travel substi-7

    tution tools.8

    ‘‘(4) PERFORMANCE GOALS.—9

    ‘‘(A) IN GENERAL.—Not later than Sep-10

    tember 30, 2015, the Director, in consultation11

     with the Secretary, shall establish performance12

    goals for evaluating the efforts of Federal agen-13

    cies in improving the maintenance, purchase,14

    and use of energy-efficient and energy-saving15

    information technology systems.16

    ‘‘(B) BEST PRACTICES.—The Chief Infor-17

    mation Officers Council established under sec-18

    tion 3603 of title 44, United States Code, shall19

    supplement the performance goals established20

     under this paragraph with recommendations on21

     best practices for the attainment of the per-22

    formance goals, to include a requirement for23

    agencies to consider the use of—24

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    ‘‘(i) energy savings performance con-1

    tracting; and2

    ‘‘(ii) utility energy services con-3

    tracting.4

    ‘‘(5) REPORTS.—5

    ‘‘(A) A GENCY REPORTS.—Each Federal6

    agency subject to the requirements of this sub-7

    section shall include in the report of the agency8

     under section 527 of the Energy Independence9

    and Security Act of 2007 (42 U.S.C. 17143) a10

    description of the efforts and results of the11

    agency under this subsection.12

    ‘‘(B) OMB GOVERNMENT EFFICIENCY RE-13

    PORTS AND SCORECARDS.—Effective beginning14

    not later than October 1, 2015, the Director15

    shall include in the annual report and scorecard16

    of the Director required under section 528 of17

    the Energy Independence and Security Act of18

    2007 (42 U.S.C. 17144) a description of the ef-19

    forts and results of Federal agencies under this20

    subsection.21

    ‘‘(C) USE OF EXISTING REPORTING STRUC-22

    TURES.—The Director may require Federal23

    agencies to submit any information required to24

     be submitted under this subsection though re-25

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    porting structures in use as of the date of en-1

    actment of the Energy Policy Modernization2

     Act of 2015.’’.3

    SEC. 1010. AVAILABILITY OF FUNDS FOR DESIGN UPDATES.4

    Section 3307 of title 40, United States Code, is5

    amended—6

    (1) by redesignating subsections (d) through (h)7

    as subsections (e) through (i), respectively; and8

    (2) by inserting after subsection (c) the fol-9

    lowing:10

    ‘‘(d) A  VAILABILITY OF FUNDS FOR DESIGN UP-11

    DATES.—12

    ‘‘(1) IN GENERAL.—Subject to paragraph (2),13

    for any project for which congressional approval is14

    received under subsection (a) and for which the de-15

    sign has been substantially completed but construc-16

    tion has not begun, the Administrator of General17

    Services may use appropriated funds to update the18

    project design to meet applicable Federal building19

    energy efficiency standards established under section20

    305 of the Energy Conservation and Production Act21

    (42 U.S.C. 6834) and other requirements estab-22

    lished under section 3312.23

    ‘‘(2) LIMITATION.—The use of funds under24

    paragraph (1) shall not exceed 125 percent of the25

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    estimated energy or other cost savings associated1

     with the updates as determined by a life cycle cost2

    analysis under section 544 of the National Energy3

    Conservation Policy Act (42 U.S.C. 8254).’’.4

    SEC. 1011. ENERGY EFFICIENT DATA CENTERS.5

    Section 453 of the Energy Independence and Security6

     Act of 2007 (42 U.S.C. 17112) is amended—7

    (1) in subsection (b)—8

    (A) in paragraph (2)(D)(iv), by striking9

    ‘‘the organization’’ and inserting ‘‘an organiza-10

    tion’’; and11

    (B) by striking paragraph (3); and12

    (2) by striking subsections (c) through (g) and13

    inserting the following:14

    ‘‘(c) STAKEHOLDER INVOLVEMENT.—15

    ‘‘(1) IN GENERAL.—The Secretary and the Ad-16

    ministrator shall carry out subsection (b) in con-17

    sultation with the information technology industry18

    and other key stakeholders, with the goal of pro-19

    ducing results that accurately reflect the best knowl-20

    edge in the most pertinent domains.21

    ‘‘(2) CONSIDERATIONS.—In carrying out con-22

    sultation described in paragraph (1), the Secretary23

    and the Administrator shall pay particular attention24

    to organizations that—25

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     benchmarks described in subsection (b) for use by the1

    Federal Energy Management Program, the Energy Star2

    Program, and other efficiency programs of the Depart-3

    ment of Energy or the Environmental Protection Agency.4

    ‘‘(e) STUDY .—The Secretary, in consultation with the5

     Administrator, not later than 18 months after the date6

    of enactment of the Energy Policy Modernization Act of7

    2015, shall make available to the public an update to the8

    report submitted to Congress pursuant to section 1 of the9

     Act of December 20, 2006 (Public Law 109–431; 12010

    Stat. 2920), entitled ‘Report to Congress on Server and11

    Data Center Energy Efficiency’ and dated August 2,12

    2007, that provides—13

    ‘‘(1) a comparison and gap analysis of the esti-14

    mates and projections contained in the original re-15

    port with new data regarding the period from 200716

    through 2014;17

    ‘‘(2) an analysis considering the impact of in-18

    formation technologies, including virtualization and19

    cloud computing, in the public and private sectors;20

    ‘‘(3) an evaluation of the impact of the com-21

     bination of cloud platforms, mobile devices, social22

    media, and big data on data center energy usage;23

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    ‘‘(4) an evaluation of water usage in data cen-1

    ters and recommendations for reductions in such2

     water usage; and3

    ‘‘(5) updated projections and recommendations4

    for best practices through fiscal year 2020.5

    ‘‘(f) D ATA  CENTER ENERGY  PRACTITIONER PRO-6

    GRAM.—7

    ‘‘(1) IN GENERAL.—The Secretary, in consulta-8

    tion with key stakeholders and the Director of the9

    Office of Management and Budget, shall maintain a10

    data center energy practitioner program that pro-11

     vides for the certification of energy practitioners12

    qualified to evaluate the energy usage and efficiency13

    opportunities in Federal data centers.14

    ‘‘(2) E VALUATIONS.—Each Federal agency15

    shall consider having the data centers of the agency16

    evaluated once every 4 years by energy practitioners17

    certified pursuant to the program, whenever prac-18

    ticable using certified practitioners employed by the19

    agency.20

    ‘‘(g) OPEN D ATA  INITIATIVE.—21

    ‘‘(1) IN GENERAL.—The Secretary, in consulta-22

    tion with key stakeholders and the Director of the23

    Office of Management and Budget, shall establish24

    an open data initiative for Federal data center en-25

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    ergy usage data, with the purpose of making the1

    data available and accessible in a manner that en-2

    courages further data center innovation, optimiza-3

    tion, and consolidation.4

    ‘‘(2) CONSIDERATION.—In establishing the ini-5

    tiative under paragraph (1), the Secretary shall con-6

    sider using the online Data Center Maturity Model.7

    ‘‘(h) INTERNATIONAL SPECIFICATIONS AND 8

    METRICS.—The Secretary, in consultation with key stake-9

    holders, shall actively participate in efforts to harmonize10

    global specifications and metrics for data center energy11

    and water efficiency.12

    ‘‘(i) D ATA  CENTER UTILIZATION METRIC.—The Sec-13

    retary, in collaboration with key stakeholders, shall facili-14

    tate in the development of an efficiency metric that meas-15

     ures the energy efficiency of a data center (including16

    equipment and facilities).17

    ‘‘(j) PROTECTION OF PROPRIETARY  INFORMATION.—18

    The Secretary and the Administrator shall not disclose19

    any proprietary information or trade secrets provided by20

    any individual or company for the purposes of carrying21

    out this section or the programs and initiatives established22

     under this section.’’.23

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    SEC. 1012. WEATHERIZATION ASSISTANCE PROGRAM.1

    (a) REAUTHORIZATION OF  W EATHERIZATION  A S-2

    SISTANCE PROGRAM.—Section 422 of the Energy Con-3

    servation and Production Act (42 U.S.C. 6872) is amend-4

    ed by striking ‘‘appropriated—’’ and all that follows5

    through the period at the end and inserting ‘‘appropriated6

    $350,000,000 for each of fiscal years 2016 through7

    2020.’’.8

    (b) GRANTS FOR NEW , SELF-SUSTAINING LOW -IN-9

    COME, SINGLE-FAMILY AND MULTIFAMILY  HOUSING EN-10

    ERGY  RETROFIT MODEL PROGRAMS TO ELIGIBLE 11

    MULTISTATE HOUSING AND ENERGY  NONPROFIT ORGA -12

    NIZATIONS.—The Energy Conservation and Production13

     Act is amended by inserting after section 414B (42 U.S.C.14

    6864b) the following:15

    ‘‘SEC. 414C. GRANTS FOR NEW, SELF-SUSTAINING LOW-IN-16

    COME, SINGLE-FAMILY AND MULTIFAMILY17

    HOUSING ENERGY RETROFIT MODEL PRO-18

    GRAMS TO ELIGIBLE MULTISTATE HOUSING19

     AND ENERGY NONPROFIT ORGANIZATIONS.20

    ‘‘(a) PURPOSES.—The purposes of this section are—21

    ‘‘(1) to expand the number of low-income, sin-22

    gle-family and multifamily homes that receive energy23

    efficiency retrofits;24

    ‘‘(2) to promote innovation and new models of25

    retrofitting low-income homes through new Federal26

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    partnerships with covered organizations that lever-1

    age substantial donations, donated materials, volun-2

    teer labor, homeowner labor equity, and other pri-3

     vate sector resources;4

    ‘‘(3) to assist the covered organizations in dem-5

    onstrating, evaluating, improving, and replicating6

     widely the model low-income energy retrofit pro-7

    grams of the covered organizations; and8

    ‘‘(4) to ensure that the covered organizations9

    make the energy retrofit programs of the covered or-10

    ganizations self-sustaining by the time grant funds11

    have been expended.12

    ‘‘(b) DEFINITIONS.—In this section:13

    ‘‘(1) COVERED ORGANIZATION.—The term ‘cov-14

    ered organization’ means an organization that—15

    ‘‘(A) is described in section 501(c)(3) of16

    the Internal Revenue Code of 1986 and exempt17

    from taxation under 501(a) of that Code; and18

    ‘‘(B) has an established record of con-19

    structing, renovating, repairing, or making en-20

    ergy efficient a total of not less than 25021

    owner-occupied, single-family or multifamily22

    homes per year for low-income households, ei-23

    ther directly or through affiliates, chapters, or24

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    other direct partners (using the most recent1

     year for which data are available).2

    ‘‘(2) LOW -INCOME.—The term ‘low-income’3

    means an income level that is not more than 2004

    percent of the poverty level (as determined in ac-5

    cordance with criteria established by the Director of6

    the Office of Management and Budget) applicable to7

    a family of the size involved, except that the Sec-8

    retary may establish a higher or lower level if the9

    Secretary determines that a higher or lower level is10

    necessary to carry out this section.11

    ‘‘(3) W EATHERIZATION ASSISTANCE PROGRAM 12

    FOR LOW -INCOME PERSONS.—The term ‘Weatheriza-13

    tion Assistance Program for Low-Income Persons’14

    means the program established under this part (in-15

    cluding part 440 of title 10, Code of Federal Regu-16

    lations, or successor regulations).17

    ‘‘(c) COMPETITIVE GRANT PROGRAM.—The Sec-18

    retary shall make grants to covered organizations through19

    a national competitive process for use in accordance with20

    this section.21

    ‘‘(d) A  WARD F ACTORS.—In making grants under this22

    section, the Secretary shall consider—23

    ‘‘(1) the number of low-income homes the appli-24

    cant—25

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    ‘‘(A) has built, renovated, repaired, or1

    made more energy efficient as of the date of the2

    application; and3

    ‘‘(B) can reasonably be projected to build,4

    renovate, repair, or make energy efficient dur-5

    ing the 10-year period beginning on the date of6

    the application;7

    ‘‘(2) the qualifications, experience, and past8

    performance of the applicant, including experience9

    successfully managing and administering Federal10

    funds;11

    ‘‘(3) the number and diversity of States and cli-12

    mates in which the applicant works as of the date13

    of the application;14

    ‘‘(4) the amount of non-Federal funds, donated15

    or discounted materials, discounted or volunteer16

    skilled labor, volunteer unskilled labor, homeowner17

    labor equity, and other resources the applicant will18

    provide;19

    ‘‘(5) the extent to which the applicant could20

    successfully replicate the energy retrofit program of21

    the applicant and sustain the program after the22

    grant funds have been expended;23

    ‘‘(6) regional diversity;24

    ‘‘(7) urban, suburban, and rural localities; and25

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    ‘‘(8) such other factors as the Secretary deter-1

    mines to be appropriate.2

    ‘‘(e) A PPLICATIONS.—3

    ‘‘(1) IN GENERAL.—Not later than 180 days4

    after the date of enactment of this section, the Sec-5

    retary shall request proposals from covered organiza-6

    tions.7

    ‘‘(2) A DMINISTRATION.—To be eligible to re-8

    ceive a grant under this section, an applicant shall9

    submit to the Secretary an application at such time,10

    in such manner, and containing such information as11

    the Secretary may require.12

    ‘‘(3) A  WARDS.—Not later than 90 days after13

    the date of issuance of a request for proposals, the14

    Secretary shall award grants under this section.15

    ‘‘(f) ELIGIBLE USES OF GRANT FUNDS.—A grant16

     under this section may be used for—17

    ‘‘(1) energy efficiency audits, cost-effective ret-18

    rofit, and related activities in different climatic re-19

    gions of the United States;20

    ‘‘(2) energy efficiency materials and supplies;21

    ‘‘(3) organizational capacity—22

    ‘‘(A) to significantly increase the number23

    of energy retrofits;24

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    ‘‘(B) to replicate an energy retrofit pro-1

    gram in other States; and2

    ‘‘(C) to ensure that the program is self-3

    sustaining after the Federal grant funds are ex-4

    pended;5

    ‘‘(4) energy efficiency, audit and retrofit train-6

    ing, and ongoing technical assistance;7

    ‘‘(5) information to homeowners on proper8

    maintenance and energy savings behaviors;9

    ‘‘(6) quality control and improvement;10

    ‘‘(7) data collection, measurement, and11

     verification;12

    ‘‘(8) program monitoring, oversight, evaluation,13

    and reporting;14

    ‘‘(9) management and administration (up to a15

    maximum of 10 percent of the total grant);16

    ‘‘(10) labor and training activities; and17

    ‘‘(11) such other activities as the Secretary de-18

    termines to be appropriate.19

    ‘‘(g) M AXIMUM A MOUNT.—20

    ‘‘(1) IN GENERAL.—The amount of a grant21

    provided under this section shall not exceed—22

    ‘‘(A) if the amount made available to carry23

    out this section for a fiscal year is24

    $225,000,000 or more, $5,000,000; and25

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    ‘‘(B) if the amount made available to carry1

    out this section for a fiscal year is less than2

    $225,000,000, $1,500,000.3

    ‘‘(2) TECHNICAL AND TRAINING ASSISTANCE.—4

    The total amount of a grant provided under this sec-5

    tion shall be reduced by the cost of any technical6

    and training assistance provided by the Secretary7

    that relates to the grant.8

    ‘‘(h) GUIDELINES.—9

    ‘‘(1) IN GENERAL.—Not later than 90 days10

    after the date of enactment of this section, the Sec-11

    retary shall issue guidelines to implement the grant12

    program established under this section.13

    ‘‘(2) A DMINISTRATION.—The guidelines—14

    ‘‘(A) shall not apply to the Weatherization15

     Assistance Program for Low-Income Persons,16

    in whole or major part; but17

    ‘‘(B) may rely on applicable provisions of18

    law governing the Weatherization Assistance19

    Program for Low-Income Persons to estab-20

    lish—21

    ‘‘(i) standards for allowable expendi-22

    tures;23

    ‘‘(ii) a minimum savings-to-investment24

    ratio;25

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    ‘‘(iii) standards—1

    ‘‘(I) to carry out training pro-2

    grams;3

    ‘‘(II) to conduct energy audits4

    and program activities;5

    ‘‘(III) to provide technical assist-6

    ance;7

    ‘‘(IV) to monitor program activi-8

    ties; and9

    ‘‘(V) to verify energy and cost10

    savings;11

    ‘‘(iv) liability insurance requirements;12

    and13

    ‘‘(v) recordkeeping requirements,14

     which shall include reporting to the Office15

    of Weatherization and Intergovernmental16

    Programs of the Department of Energy17

    applicable data on each home retrofitted.18

    ‘‘(i) REVIEW AND E VALUATION.—The Secretary shall19

    review and evaluate the performance of any covered orga-20

    nization that receives a grant under this section (which21

    may include an audit), as determined by the Secretary.22

    ‘‘(j) COMPLIANCE  W ITH STATE AND LOCAL L AW .—23

    Nothing in this section or any program carried out using24

    a grant provided under this section supersedes or other-25

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     wise affects any State or local law, to the extent that the1

    State or local law contains a requirement that is more2

    stringent than the applicable requirement of this section.3

    ‘‘(k) A NNUAL REPORTS.—The Secretary shall submit4

    to Congress annual reports that provide—5

    ‘‘(1) findings;6

    ‘‘(2) a description of energy and cost savings7

    achieved and actions taken under this section; and8

    ‘‘(3) any recommendations for further action.9

    ‘‘(l) FUNDING.—Of the amount of funds that are10

    made available to carry out the Weatherization Assistance11

    Program for each of fiscal years 2016 through 2020 under12

    section 422, the Secretary shall u