[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7439 Introduced in House (IH)]
<DOC>
117th CONGRESS
2d Session
H. R. 7439
To promote United States energy security and independence by bolstering
renewable energy supply chains in the United States, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 7, 2022
Ms. Bush (for herself, Mr. Bowman, Ms. Tlaib, Mr. Takano, Mr. Garcia of
Illinois, Mr. Huffman, Mr. Espaillat, Mr. Grijalva, Mr. Jones, Mr.
Khanna, Ms. Pressley, Mr. Levin of Michigan, Ms. Norton, Ms. Ocasio-
Cortez, Mrs. Watson Coleman, Ms. Clarke of New York, Mr. Nadler, Ms.
Newman, Ms. Barragan, Ms. Lee of California, Mr. Crow, Ms. Omar, Ms.
Bass, Ms. Sherrill, Mr. Casten, Ms. Jayapal, Mrs. Carolyn B. Maloney of
New York, Mr. Cohen, Mr. Neguse, and Mr. Carson) introduced the
following bill; which was referred to the Committee on Energy and
Commerce, and in addition to the Committees on Financial Services, and
Education and Labor, for a period to be subsequently determined by the
Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To promote United States energy security and independence by bolstering
renewable energy supply chains in the United States, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Energy Security and Independence Act
of 2022''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Covered energy-efficiency or renewable energy system or
technology.--The term ``covered energy-efficiency or renewable
energy system or technology'' means--
(A) a renewable energy generation system;
(B) a renewable energy storage system;
(C) an energy-efficiency system (including a heat
pump);
(D) an energy-efficiency technology;
(E) an electric transportation system;
(F) a renewable energy technology; and
(G) an energy storage technology utilizing energy
generated from a renewable energy source.
(2) Direct loan.--
(A) In general.--The term ``direct loan'' means a
disbursement of funds by the Federal Government to a
non-Federal borrower under a contract that requires the
repayment of those funds with or without interest.
(B) Inclusion.--The term ``direct loan'' includes
the purchase of, or participation in--
(i) a loan made by another lender; or
(ii) a financing arrangement that defers
payment for more than 90 days, including the
sale of a Government asset on credit terms.
(3) Eligible entity.--The term ``eligible entity'' means a
private entity, including a manufacturer, or a partnership of
private entities.
(4) Environmental justice community.--The term
``environmental justice community'' means a community with
significant representation of 1 or more communities of color,
low-income communities, or Tribal or indigenous communities
that experience, or are at risk of experiencing, higher or more
adverse human health or environmental effects as compared to
other communities.
(5) Heat pump.--The term ``heat pump'' means a device
that--
(A) transfers heat from a colder area to a hotter
area by using mechanical energy; and
(B) is used to maintain a safe, comfortable, and
affordable temperature in a building.
(6) Public heat pump.--The term ``public heat pump'' means
a heat pump that is owned or operated by--
(A) a unit of Federal, State, or local government;
or
(B) a cooperatively owned utility.
(7) Renewable energy.--The term ``renewable energy'' means
energy generated from a renewable energy source.
(8) Renewable energy source.--The term ``renewable energy
source'' means wind, solar, tidal, wave, or geothermal energy.
SEC. 3. FINDING.
Congress finds that it is in the interests of the United States--
(1) to have a viable domestic manufacturing supply chain
for components of covered energy-efficiency and renewable
energy systems and technologies; and
(2) to reduce the reliance of United States manufacturers
on components of covered energy-efficiency and renewable energy
systems and technologies made in foreign countries.
SEC. 4. USE OF DEFENSE PRODUCTION ACT OF 1950 AUTHORITIES TO SUPPORT
DOMESTIC INDUSTRIAL BASE AND MANUFACTURING CAPABILITIES
FOR RENEWABLE ENERGY TECHNOLOGIES.
(a) Renewable Energy Technologies as Strategic and Critical
Materials.--Section 106 of the Defense Production Act of 1950 (50
U.S.C. 4516) is amended--
(1) by inserting ``(a)'' before ``For purposes''; and
(2) by adding at the end the following:
``(b) The designation of energy as a strategic and critical
material under subsection (a) includes the designation of covered
energy-efficiency and renewable energy systems and technologies (as
defined in section 2 of the Energy Security and Independence Act of
2022) as strategic and critical materials.''.
(b) Appropriation.--
(1) In general.--In addition to amounts otherwise
available, there is appropriated for fiscal year 2022, out of
any money in the Treasury not otherwise appropriated,
$100,000,000,000 to the President to carry out subsection (c).
(2) Availability of amounts.--Amounts appropriated under
paragraph (1) shall remain available until September 30, 2032.
(c) Support for Domestic Industrial Base and Manufacturing
Capabilities.--
(1) In general.--The President shall use the authorities
under titles I and III and section 708(c) of the Defense
Production Act of 1950 (50 U.S.C. 4501 et seq.) to establish,
maintain, protect, or restore the domestic industrial base and
manufacturing capabilities for covered energy-efficiency and
renewable energy systems and technologies, including by
providing loan guarantees, loans, purchase agreements, and
grants to manufacturing entities to expand the domestic
productive capacity of those entities and repurpose equipment
to meet the manufacturing demands of such systems and
technologies.
(2) Requirements.--In carrying out paragraph (1), the
President shall--
(A) identify the domestic industrial base needs to
transform the United States domestic energy system into
a 100 percent renewable energy system;
(B) use the authorities under title I of the
Defense Production Act (50 U.S.C. 4501 et seq.)--
(i) to prioritize contracts and allocate
materials, services, and facilities to achieve
the goal described in subparagraph (A); and
(ii) to allocate the strategic and critical
materials described in section 106(b) of that
Act, as added by subsection (a), in a manner
that prioritizes--
(I) environmental justice
communities first;
(II) publicly owned systems of
renewable energy;
(III) systems that reduce utility
and energy costs in the United States;
and
(IV) Federal agencies whose
buildings can be used as public sources
of solar energy for environmental
justice communities;
(C) take the actions described in subparagraph (B)
in tandem with existing financial and technical
assistance programs of the Department of Energy, the
Department of Transportation, and such other agencies
as the President considers appropriate; and
(D) coordinate with the task force established
under section 5.
SEC. 5. DOMESTIC RENEWABLE ENERGY INDUSTRIAL BASE TASK FORCE.
(a) In General.--The President shall establish a domestic renewable
energy industrial base task force that includes--
(1) manufacturers, engineers, scientists, and planning
experts in the fields of--
(A) equitable energy; and
(B) energy democracy and transportation design;
(2) environmental justice community leaders;
(3) labor unions;
(4) the Secretary of Energy, the Secretary of
Transportation, and the Secretary of Labor;
(5) staff of the National Laboratories (as defined in
section 2 of the Energy Policy Act of 2005 (42 U.S.C. 15801));
and
(6) other relevant Federal, State, and local agencies.
(b) Duties.--The task force established under subsection (a) shall
develop a manufacturing and allocation plan--
(1) to establish, maintain, protect, and restore a domestic
industrial base and manufacturing capabilities for covered
energy-efficiency and renewable energy systems and
technologies;
(2) to reach the goal of a 100 percent renewable energy
system as soon as possible, using the best available science
and technologies;
(3) to prioritize distributed energy resources and storage
to boost climate resilience and equity;
(4) to make an equitable allocation of Federal renewable
energy investments and assistance, in partnership with
environmental justice communities and public entities; and
(5) to ensure that the domestic industrial base of covered
energy-efficiency and renewable energy systems and technologies
creates and maintains high-quality jobs that are represented by
labor organizations.
(c) Appropriations.--In addition to amounts otherwise available,
there is appropriated, out of any money in the Treasury not otherwise
appropriated, $25,000,000 to the President to carry out this section
for fiscal year 2022, to remain available until September 30, 2031.
SEC. 6. RENEWABLE ENERGY GENERATION SYSTEM COMPONENT MANUFACTURING
SUPPLY CHAIN ASSISTANCE.
(a) In General.--Not later than 180 days after the date of
enactment of this Act, the Secretary of Energy (referred to in this
section as the ``Secretary'') shall establish a program (referred to in
this section as the ``program'') to provide financial assistance,
including grants, direct loans, and loan guarantees, to eligible
entities to carry out projects--
(1) to construct new facilities that manufacture components
of covered energy-efficiency and renewable energy systems and
technologies; and
(2) to retool, retrofit, or expand existing facilities that
manufacture, or have the ability to manufacture, components of
covered energy-efficiency and renewable energy systems and
technologies.
(b) Application.--To be eligible to receive financial assistance
under the program, an eligible entity shall submit to the Secretary an
application at such time, in such manner, and containing such
information as the Secretary may require.
(c) Priority.--In providing financial assistance under the program,
the Secretary shall give priority to projects that--
(1) have the potential to benefit an environmental justice
community, including by reducing the pollution and emissions
within, and the utility costs of, such a community;
(2) are strategically located near manufacturers of
components of covered energy-efficiency and renewable energy
systems and technologies to create a geographic concentration
of those manufacturers in the manufacturing supply chain;
(3) have potential to directly and indirectly create
domestic jobs, including jobs for low-income communities,
dislocated workers, and workers from groups that are
underrepresented in the manufacturing industry, including
formerly incarcerated workers;
(4) will result in economic development or economic
diversification in economically distressed regions or
localities; and
(5) do not expedite or fast track any applicable
environmental review processes.
(d) Direct Loan Conditions.--A direct loan made under the program
shall--
(1) bear interest at a rate that does not exceed a level
that the Secretary determines to be appropriate; and
(2) be subject to such other terms and conditions as the
Secretary determines to be appropriate.
(e) Cost Sharing for Grants.--Section 988(c) of the Energy Policy
Act of 2005 (42 U.S.C. 16352(c)) shall apply to a grant made under the
program.
(f) Conditions of Receipt of Financial Assistance.--
(1) Required agreement.--An eligible entity awarded
financial assistance under the program shall enter into an
agreement that specifies that, during the 5-year period
immediately following the award of the financial assistance--
(A) the eligible entity will not--
(i) repurchase an equity security of the
eligible entity or any parent company of the
eligible entity that is listed on a national
securities exchange, except to the extent
required under a contractual obligation that is
in effect as of the date of enactment of this
Act;
(ii) outsource or offshore jobs to a
location outside of the United States; or
(iii) abrogate existing collective
bargaining agreements; and
(B) the eligible entity will remain neutral in any
union organizing effort.
(2) Financial protection of government.--
(A) In general.--Financial assistance may not be
awarded under the program to an eligible entity
unless--
(i)(I) the eligible entity has issued
securities that are traded on a national
securities exchange; and
(II) the Secretary of the Treasury receives
a warrant or equity interest in the eligible
entity; or
(ii) in the case of an eligible entity
other than an eligible entity described in
clause (i)(I), the Secretary of the Treasury
receives, in the discretion of the Secretary of
the Treasury--
(I) a warrant or equity interest in
the eligible entity; or
(II) a senior debt instrument
issued by the eligible entity.
(B) Terms and conditions.--The terms and conditions
of any warrant, equity interest, or senior debt
instrument received under subparagraph (A)(ii) shall be
set by the Secretary and shall meet the following
requirements:
(i) Purposes.--Such terms and conditions
shall be designed to provide for reasonable
participation by the Secretary, for the benefit
of taxpayers, in--
(I) equity appreciation in the case
of a warrant or other equity interest;
or
(II) a reasonable interest rate
premium, in the case of a debt
instrument.
(ii) Authority to sell, exercise, or
surrender.--
(I) In general.--For the primary
benefit of taxpayers, the Secretary may
sell, exercise, or surrender a warrant
or any senior debt instrument received
under this paragraph.
(II) No voting.--The Secretary
shall not exercise voting power with
respect to any shares of common stock
acquired under this paragraph.
(iii) Sufficiency.--If the Secretary
determines that an eligible entity cannot
feasibly issue warrants or other equity
interests as required by this paragraph, the
Secretary may accept a senior debt instrument
in an amount and on such terms as the Secretary
determines appropriate.
(g) Free, Prior, and Informed Consent for Indigenous Communities in
the Siting Process.--The Secretary shall establish standards and
procedural requirements to secure free, prior, and informed consent of
Indian Tribes to the siting of projects carried out with financial
assistance under the program that affect Indian land, water,
livelihoods, and culture, including off-reservation treaty-reserved
rights to hunting, fishing, gathering, and protection of, and access
to, sacred sites.
(h) Prohibition.--In carrying out the program, the Secretary may
not provide financial assistance for projects that will source
components of covered energy-efficiency and renewable energy systems
and technologies from, or supply components of covered energy-
efficiency and renewable energy systems and technologies to, entities
that use forced labor (as defined in section 307 of the Tariff Act of
1930 (19 U.S.C. 1307)).
(i) Study and Report.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall conduct, and submit to
Congress a report describing the results of, a study on--
(1) opportunities to convert fossil fuel infrastructure
into renewable energy infrastructure;
(2) gaps in the current United States manufacturing supply
chains for covered energy-efficiency and renewable energy
systems and technologies; and
(3) benefits to the energy security of the United States of
onshoring supply chains for covered energy-efficiency and
renewable energy systems and technologies.
(j) Authorization of Appropriations.--There is authorized to be
appropriated to carry out this section $10,000,000,000 for the period
of fiscal years 2023 through 2032.
SEC. 7. WEATHERIZATION ASSISTANCE PROGRAM.
Section 422 of the Energy Conservation and Production Act (42
U.S.C. 6872) is amended--
(1) by striking the section designation and heading and all
that follows through ``For the'' and inserting the following:
``SEC. 422. APPROPRIATIONS.
``For the''; and
(2) in the matter preceding paragraph (1), by striking
``are authorized to be appropriated--'' and all that follows
through the period at the end of paragraph (2) and inserting
``is appropriated, out of any funds in the Treasury not
otherwise appropriated, $3,000,000,000 for each of fiscal years
2023 through 2032.''.
SEC. 8. PUBLIC HEAT PUMPS.
In addition to amounts otherwise available, there is appropriated
for fiscal year 2022, out of any funds in the Treasury not otherwise
appropriated, $10,000,000,000 to the Secretary of Energy, acting
through the Office of Energy Efficiency and Renewable Energy, to
procure and install public heat pumps, to remain available until
September 30, 2032.
SEC. 9. MINIMUM LABOR STANDARDS.
(a) Definitions.--In this section:
(1) Covered entity.--The term ``covered entity'' means an
entity that directly or indirectly receives funds or assistance
under a covered energy program, without regard to the form,
amount, or type of Federal assistance provided.
(2) Covered energy program.--The term ``covered energy
program'' means--
(A) a program authorized under this Act; or
(B) the Weatherization Assistance Program for Low-
Income Persons established under part A of title IV of
the Energy Conservation and Production Act (42 U.S.C.
6861 et seq.).
(3) Project labor agreement.--The term ``project labor
agreement'' means a pre-hire collective bargaining agreement
with one or more labor organizations that--
(A) establishes the terms and conditions of
employment for a specific construction project; and
(B) is an agreement described in section 8(f) of
the National Labor Relations Act (29 U.S.C. 158(f)).
(b) Labor Standard Requirements.--Notwithstanding any other
provision of law, a covered entity shall comply with the labor
standards under this section.
(c) Prevailing Wages.--A covered entity shall ensure the following:
(1) Laborers and mechanics.--Any laborer or mechanic
employed by the covered entity, or any contractor or
subcontractor in the performance of work funded or assisted, in
whole or in part, under a covered energy program, shall be paid
wages at rates not less than those prevailing on work of a
similar character in the locality, as determined by the
Secretary of Labor under subchapter IV of chapter 31 of title
40, United States Code (commonly known as the ``Davis-Bacon
Act''). With respect to the labor standards in this subsection,
the Secretary of Labor shall have the authority and functions
set forth in Reorganization Plan Numbered 14 of 1950 (64 Stat.
1267; 5 U.S.C. App.) and section 3145 of title 40, United
States Code.
(2) Other workers.--All individuals employed by the covered
entity, or any contractor or subcontractor using funds or other
assistance provided under a covered energy program, in the
manufacture or furnishing of materials, supplies, articles, or
equipment shall be paid wages at rates not less than employees
performing similar work or in the particular or similar
industries or groups of industries currently operating in the
locality in which the materials, supplies, articles, or
equipment are to be manufactured or furnished, as determined by
the Secretary of Labor in accordance with sections 6501 through
6511 of title 41, United States Code (commonly known as the
``Public Contracts Act'').
(d) Labor-Management Cooperation.--
(1) Definitions.--In this subsection:
(A) NLRA definitions.--The terms ``employee'',
``employer'', and ``labor organization'' have the
meanings given the terms in section 2 of the National
Labor Relations Act (29 U.S.C. 152).
(B) Board.--The term ``Board'' means the National
Labor Relations Board.
(2) In general.--Notwithstanding any contrary provision of
law, including the National Labor Relations Act (29 U.S.C. 151
et seq.), paragraphs (3) through (8) shall apply with respect
to any covered entity that is an employer and any labor
organization who represents or seeks to represent employees of
such covered entity.
(3) Labor peace.--Any employer that is a covered entity
shall recognize for purposes of collective bargaining a labor
organization that demonstrates that a majority of the employees
in a unit appropriate for bargaining who perform or will
perform work funded or assisted, in whole or in part, by a
covered energy program have signed valid authorizations
designating the labor organization as their bargaining
representative and that no other labor organization is
currently certified or recognized as the exclusive
representative of any of the employees in the unit pursuant to
the National Labor Relations Act (29 U.S.C. 151 et seq.). Upon
such showing of majority status, the employer shall notify the
labor organization and the Board that the employer has
determined that the labor organization represents a majority of
the employees and that the employer is recognizing the labor
organization as the exclusive representative of the employees
for the purposes of collective bargaining pursuant to section 9
of such Act (29 U.S.C. 159).
(4) Certification.--Should a dispute over majority status
or the appropriateness of the unit arise between the employer
and the labor organization, either party may request that the
Board investigate and resolve the dispute. If the Board finds
that a majority of the employees in a unit appropriate for
bargaining has signed valid authorizations designating the
labor organization as their bargaining representative and that
no other individual or labor organization is currently
certified or recognized as the exclusive representative of any
of the employees in the unit, the Board shall not direct an
election but shall certify the labor organization as the
representative described in section 9(a) of the National Labor
Relations Act (29 U.S.C. 159(a)).
(5) Commencement of bargaining.--Not later than 10 days
after receiving a written request for collective bargaining
from a recognized or certified labor organization, or within
such period as the parties agree upon, the labor organization
and employer shall meet and commence to bargain collectively
and shall make every reasonable effort to conclude and sign a
collective bargaining agreement.
(6) Mediation.--If after the expiration of the 90-day
period beginning on the date on which bargaining is commenced,
or such additional period as the parties may agree upon, the
parties have failed to reach an agreement, either party may
notify the Federal Mediation and Conciliation Service of the
existence of a dispute and request mediation. Whenever such a
request is received, it shall be the duty of the Service
promptly to put itself in communication with the parties and to
use its best efforts, by mediation and conciliation, to bring
them to agreement.
(7) Arbitration.--If after the expiration of the 30-day
period beginning on the date on which the request for mediation
is made under paragraph (6), or such additional period as the
parties may agree upon, the Federal Mediation and Conciliation
Service is not able to bring the parties to agreement by
conciliation, the Service shall refer the dispute to a
tripartite arbitration panel established in accordance with
such regulations as may be prescribed by the Service, with one
member selected by the labor organization, one member selected
by the employer, and one neutral member mutually agreed to by
the parties. The labor organization and employer must each
select the members of the tripartite arbitration panel within
14 days of the Service's referral; if the labor organization or
employer fail to do so, the Service shall designate any members
not selected by the labor organization or the employer. A
majority of the tripartite arbitration panel shall render a
decision settling the dispute as soon as practicable and not
later than within 120 days of the selection of all members of
the panel, absent extraordinary circumstances or by agreement
or permission of the parties, and such decision shall be
binding upon the parties for a period of 2 years, unless
amended during such period by written consent of the parties.
Such decision shall be based on--
(A) the employer's financial status and prospects;
(B) the size and type of the employer's operations
and business;
(C) the employees' cost of living;
(D) the employees' ability to sustain themselves,
their families, and their dependents on the wages and
benefits they earn from the employer; and
(E) the wages and benefits other employers in the
same business provide their employees.
(8) Contractors and subcontractors.--Any employer that is a
covered entity shall require any contractor or subcontractor
whose employees perform or will perform work funded or
assisted, in whole or in part, by a covered energy program to
comply with the requirements set forth in paragraphs (2)
through (7).
(e) Project Labor Agreement.--A covered entity performing any
construction project funded or assisted, in whole or in part, by a
covered energy program shall be a party to, or, as applicable, require
contractors and subcontractors in the performance of such project to be
a party to, a project labor agreement.
(f) Limits on Background Checks.--A covered entity, and each
contractor and subcontractor in the performance of any work funded or
assisted, in whole or in part, by a covered energy program, shall not
request or otherwise consider the criminal history of an applicant for
employment before extending a conditional offer to the applicant,
unless--
(1) a background check is otherwise required by law;
(2) the position is for a Federal law enforcement officer
(as defined in section 115(c) of title 18, United States Code)
position; or
(3) the Secretary of Labor, in consultation with the
Secretary of Energy, certifies that precluding criminal history
prior to the conditional offer would pose a threat to national
security.
(g) Employee Status.--A covered entity, and each contractor and
subcontractor of the covered entity in the performance of any project
funded or assisted, in whole or in part, by a covered energy program,
shall consider an individual performing any service in such performance
as an employee (and not an independent contractor) of the covered
entity, contractor, or subcontractor, respectively, unless--
(1) the individual is free from control and direction in
connection with the performance of the service, both under the
contract for the performance of the service and in fact;
(2) the service is performed outside the usual course of
the business of the covered entity, contractor, or
subcontractor, respectively; and
(3) the individual is customarily engaged in an
independently established trade, occupation, profession, or
business of the same nature as that involved in such service.
SEC. 10. EQUITABLE ALLOCATION OF FUNDS.
The President and the Secretary of Energy shall each ensure that of
the total amount of Federal support and assistance provided under this
Act by the President and the Secretary of Energy, respectively, not
less than 40 percent shall be invested in environmental justice
communities.
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