[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 806 Introduced in House (IH)]
<DOC>
117th CONGRESS
1st Session
H. R. 806
To establish a Clean Energy and Sustainability Accelerator, and for
other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 4, 2021
Mrs. Dingell introduced the following bill; which was referred to the
Committee on Energy and Commerce, and in addition to the Committees on
Financial Services, Transportation and Infrastructure, and Agriculture,
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 establish a Clean Energy and Sustainability Accelerator, 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 ``Clean Energy and Sustainability
Accelerator Act''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Clean Energy and Sustainability Accelerator.
``Subtitle C--Clean Energy and Sustainability Accelerator
``Sec. 1621. Definitions.
``Sec. 1622. Establishment.
``Sec. 1623. Mandate.
``Sec. 1624. Finance and investment division.
``Sec. 1625. Start-up Division.
``Sec. 1626. Zero-emissions fleet and related infrastructure
financing program.
``Sec. 1627. Project prioritization and requirements.
``Sec. 1628. Exploration of accelerated clean energy transition
program.
``Sec. 1629. Board of Directors.
``Sec. 1630. Administration.
``Sec. 1631. Establishment of risk management committee and
audit committee.
``Sec. 1632. Oversight.
SEC. 3. CLEAN ENERGY AND SUSTAINABILITY ACCELERATOR.
Title XVI of the Energy Policy Act of 2005 (Public Law 109-58, as
amended) is amended by adding at the end the following new subtitle:
``Subtitle C--Clean Energy and Sustainability Accelerator
``SEC. 1621. DEFINITIONS.
``In this subtitle:
``(1) Accelerator.--The term `Accelerator' means the Clean
Energy and Sustainability Accelerator established under section
1622.
``(2) Board.--The term `Board' means the Board of Directors
of the Accelerator.
``(3) Chief executive officer.--The term `chief executive
officer' means the chief executive officer of the Accelerator.
``(4) Climate-impacted communities.--The term `climate-
impacted communities' includes--
``(A) communities of color, which include any
geographically distinct area the population of color of
which is higher than the average population of color of
the State in which the community is located;
``(B) communities that are already or are likely to
be the first communities to feel the direct negative
effects of climate change;
``(C) distressed neighborhoods, demonstrated by
indicators of need, including poverty, childhood
obesity rates, academic failure, and rates of juvenile
delinquency, adjudication, or incarceration;
``(D) low-income communities, defined as any census
block group in which 30 percent or more of the
population are individuals with low income;
``(E) low-income households, defined as a household
with annual income equal to, or less than, the greater
of--
``(i) an amount equal to 80 percent of the
median income of the area in which the
household is located, as reported by the
Department of Housing and Urban Development;
and
``(ii) 200 percent of the Federal poverty
line;
``(F) Tribal communities;
``(G) persistent poverty counties, defined as any
county that has had a poverty rate of 20 percent or
more for the past 30 years as measured by the 2000,
2010, and 2020 decennial censuses;
``(H) communities disproportionately affected by
environmental pollution and other hazards that can lead
to negative public health effects; and
``(I) communities that are economically reliant on
fossil fuel-based industries.
``(5) Climate resilient infrastructure.--The term `climate
resilient infrastructure' means any project that builds or
enhances infrastructure so that such infrastructure--
``(A) is planned, designed, and operated in a way
that anticipates, prepares for, and adapts to changing
climate conditions; and
``(B) can withstand, respond to, and recover
rapidly from disruptions caused by these climate
conditions.
``(6) Electrification.--The term `electrification' means
the installation, construction, or use of end-use electric
technology that replaces existing fossil-fuel-based technology.
``(7) Energy efficiency.--The term `energy efficiency'
means any project, technology, function, or measure that
results in the reduction of energy use required to achieve the
same level of service or output prior to the application of
such project, technology, function, or measure, or
substantially reduces greenhouse gas emissions relative to
emissions that would have occurred prior to the application of
such project, technology, function, or measure.
``(8) Fuel switching.--The term `fuel switching' means any
project that replaces a fossil-fuel-based heating system with
an electric-powered system or one powered by biomass-generated
heat.
``(9) Green bank.--The term `green bank' means a dedicated
public or nonprofit specialized finance entity that--
``(A) is designed to drive private capital into
market gaps for low- and zero-emission goods and
services;
``(B) uses finance tools to mitigate climate
change;
``(C) does not take deposits;
``(D) is funded by government, public, private, or
charitable contributions; and
``(E) invests or finances projects--
``(i) alone; or
``(ii) in conjunction with other investors.
``(10) Qualified projects.--The terms `qualified projects'
means the following kinds of technologies and activities that
are eligible for financing and investment from the Clean Energy
and Sustainability Accelerator, either directly or through
State, Territorial, and local green banks funded by the Clean
Energy and Sustainability Accelerator:
``(A) Renewable energy generation, including the
following:
``(i) Solar.
``(ii) Wind.
``(iii) Geothermal.
``(iv) Hydropower.
``(v) Ocean and hydrokinetic.
``(vi) Fuel cell.
``(B) Building energy efficiency, fuel switching,
and electrification.
``(C) Industrial decarbonization.
``(D) Grid technology such as transmission,
distribution, and storage to support clean energy
distribution, including smart-grid applications.
``(E) Agriculture and forestry projects that reduce
net greenhouse gas emissions.
``(F) Clean transportation, including the
following:
``(i) Battery electric vehicles.
``(ii) Plug-in hybrid electric vehicles.
``(iii) Hydrogen vehicles.
``(iv) Other zero-emissions fueled
vehicles.
``(v) Related vehicle charging and fueling
infrastructure.
``(G) Climate resilient infrastructure.
``(H) Any other key areas identified by the Board
as consistent with the mandate of the Accelerator as
described in section 1623.
``(11) Renewable energy generation.--The term `renewable
energy generation' means electricity created by sources that
are continually replenished by nature, such as the sun, wind,
and water.
``SEC. 1622. ESTABLISHMENT.
``(a) In General.--Not later than 1 year after the date of
enactment of this subtitle, there shall be established a nonprofit
corporation to be known as the Clean Energy and Sustainability
Accelerator.
``(b) Limitation.--The Accelerator shall not be an agency or
instrumentality of the Federal Government.
``(c) Full Faith and Credit.--The full faith and credit of the
United States shall not extend to the Accelerator.
``(d) Nonprofit Status.--The Accelerator shall maintain its status
as an organization exempt from taxation under the Internal Revenue Code
of 1986 (26 U.S.C. 1 et seq.).
``SEC. 1623. MANDATE.
``The Accelerator shall make the United States a world leader in
combating the causes and effects of climate change through the rapid
deployment of mature technologies and scaling of new technologies by
maximizing the reduction of emissions in the United States for every
dollar deployed by the Accelerator, including by--
``(1) providing financing support for investments in the
United States in low- and zero-emissions technologies and
processes in order to rapidly accelerate market penetration;
``(2) catalyzing and mobilizing private capital through
Federal investment and supporting a more robust marketplace for
clean technologies, while avoiding competition with private
investment;
``(3) enabling climate-impacted communities to benefit from
and afford projects and investments that reduce emissions;
``(4) providing support for workers and communities
impacted by the transition to a low-carbon economy;
``(5) supporting the creation of green banks within the
United States where green banks do not exist; and
``(6) causing the rapid transition to a clean energy
economy without raising energy costs to end users and seeking
to lower costs where possible.
``SEC. 1624. FINANCE AND INVESTMENT DIVISION.
``(a) In General.--There shall be within the Accelerator a finance
and investment division, which shall be responsible for--
``(1) the Accelerator's greenhouse gas emissions mitigation
efforts by directly financing qualifying projects or doing so
indirectly by providing capital to State, Territorial, and
local green banks;
``(2) originating, evaluating, underwriting, and closing
the Accelerator's financing and investment transactions in
qualified projects;
``(3) partnering with private capital providers and capital
markets to attract coinvestment from private banks, investors,
and others in order to drive new investment into
underpenetrated markets, to increase the efficiency of private
capital markets with respect to investing in greenhouse gas
reduction projects, and to increase total investment caused by
the Accelerator;
``(4) managing the Accelerator's portfolio of assets to
ensure performance and monitor risk;
``(5) ensuring appropriate debt and risk mitigation
products are offered; and
``(6) overseeing prudent, noncontrolling equity
investments.
``(b) Products and Investment Types.--The finance and investment
division of the Accelerator may provide capital to qualified projects
in the form of--
``(1) senior, mezzanine, and subordinated debt;
``(2) credit enhancements including loan loss reserves and
loan guarantees;
``(3) aggregation and warehousing;
``(4) equity capital; and
``(5) any other financial product approved by the Board.
``(c) State, Territorial, and Local Green Bank Capitalization.--The
finance and investment division of the Accelerator shall make capital
available to State, Territorial, and local green banks to enable such
banks to finance qualifying projects in their markets that are better
served by a locally based entity, rather than through direct investment
by the Accelerator.
``(d) Investment Committee.--The debt, risk mitigation, and equity
investments made by the Accelerator shall be--
``(1) approved by the investment committee of the Board;
and
``(2) consistent with an investment policy that has been
established by the investment committee of the Board in
consultation with the risk management committee of the Board.
``SEC. 1625. START-UP DIVISION.
``There shall be within the Accelerator a Start-up Division, which
shall be responsible for providing technical assistance and start-up
funding to States and other political subdivisions that do not have
green banks to establish green banks in those States and political
subdivisions, including by working with relevant stakeholders in those
States and political subdivisions.
``SEC. 1626. ZERO-EMISSIONS FLEET AND RELATED INFRASTRUCTURE FINANCING
PROGRAM.
``Not later than 1 year after the date of establishment of the
Accelerator, the Accelerator shall explore the establishment of a
program to provide low- and zero-interest loans, up to 30 years in
length, to any school, metropolitan planning organization, or nonprofit
organization seeking financing for the acquisition of zero-emissions
vehicle fleets or associated infrastructure to support zero-emissions
vehicle fleets.
``SEC. 1627. PROJECT PRIORITIZATION AND REQUIREMENTS.
``(a) Emissions Reduction Mandate.--In investing in projects that
mitigate greenhouse gas emissions, the Accelerator shall maximize the
reduction of emissions in the United States for every dollar deployed
by the Accelerator.
``(b) Environmental Justice Prioritization.--
``(1) In general.--In order to address environmental
justice needs, the Accelerator shall, as applicable, prioritize
the provision of program benefits and investment activity that
are expected to directly or indirectly result in the deployment
of projects to serve, as a matter of official policy, climate-
impacted communities.
``(2) Minimum percentage.--The Accelerator shall ensure
that over the 30-year period of its charter 40 percent of its
investment activity is directed to serve climate-impacted
communities.
``(c) Consumer Protection.--
``(1) Prioritization.--Consistent with the mandate under
section 1623 to maximize the reduction of emissions in the
United States for every dollar deployed by the Accelerator, the
Accelerator shall prioritize qualified projects according to
benefits conferred on consumers and affected communities.
``(2) Consumer credit protection.--The Accelerator shall
ensure that any residential energy efficiency or distributed
clean energy project in which the Accelerator invests directly
or indirectly complies with the requirements of the Consumer
Credit Protection Act (15 U.S.C. 1601 et seq.), including, in
the case of a financial product that is a residential mortgage
loan, any requirements of title I of that Act relating to
residential mortgage loans (including any regulations
promulgated by the Bureau of Consumer Financial Protection
under section 129C(b)(3)(C) of that Act (15 U.S.C.
1639c(b)(3)(C))).
``(d) Labor.--
``(1) In general.--The Accelerator shall ensure that
laborers and mechanics employed by contractors and
subcontractors in construction work financed directly by the
Accelerator will be paid wages not less than those prevailing
on similar construction in the locality, as determined by the
Secretary of Labor under sections 3141 through 3144, 3146, and
3147 of title 40, United States Code.
``(2) Project labor agreement.--The Accelerator shall
ensure that projects financed directly by the Accelerator with
total capital costs of $100,000,000 or greater utilize a
project labor agreement.
``SEC. 1628. EXPLORATION OF ACCELERATED CLEAN ENERGY TRANSITION
PROGRAM.
``Not later than 1 year after the date on which the Accelerator is
established, the Board shall explore the establishment of an
accelerated clean energy transition program--
``(1) to expedite the transition within the power sector to
zero-emissions power generation facilities or assets; and
``(2) to simultaneously invest in local economic
development in communities affected by this transition away
from carbon-intensive facilities or assets.
``SEC. 1629. BOARD OF DIRECTORS.
``(a) In General.--The Accelerator shall operate under the
direction of a Board of Directors, which shall be composed of 7
members.
``(b) Initial Composition and Terms.--
``(1) Selection.--The initial members of the Board shall be
selected as follows:
``(A) Appointed members.--Three members shall be
appointed by the President, with the advice and consent
of the Senate, of whom no more than two shall belong to
the same political party.
``(B) Elected members.--Four members shall be
elected unanimously by the 3 members appointed and
confirmed pursuant to subparagraph (A).
``(2) Terms.--The terms of the initial members of the Board
shall be as follows:
``(A) The 3 members appointed and confirmed under
paragraph (1)(A) shall have initial 5-year terms.
``(B) Of the 4 members elected under paragraph
(1)(B), 2 shall have initial 3-year terms, and 2 shall
have initial 4-year terms.
``(c) Subsequent Composition and Terms.--
``(1) Selection.--Except for the selection of the initial
members of the Board for their initial terms under subsection
(b), the members of the Board shall be elected by the members
of the Board.
``(2) Disqualification.--A member of the Board shall be
disqualified from voting for any position on the Board for
which such member is a candidate.
``(3) Terms.--All members elected pursuant to paragraph (1)
shall have a term of 5 years.
``(d) Qualifications.--The members of the Board shall collectively
have expertise in--
``(1) the fields of clean energy, electric utilities,
industrial decarbonization, clean transportation, resiliency,
and agriculture and forestry practices;
``(2) climate change science;
``(3) finance and investments; and
``(4) environmental justice and matters related to the
energy and environmental needs of climate-impacted communities.
``(e) Restriction on Membership.--No officer or employee of the
Federal or any other level of government may be appointed or elected as
a member of the Board.
``(f) Quorum.--Five members of the Board shall constitute a quorum.
``(g) Bylaws.--
``(1) In general.--The Board shall adopt, and may amend,
such bylaws as are necessary for the proper management and
functioning of the Accelerator.
``(2) Officers.--In the bylaws described in paragraph (1),
the Board shall--
``(A) designate the officers of the Accelerator;
and
``(B) prescribe the duties of those officers.
``(h) Vacancies.--Any vacancy on the Board shall be filled through
election by the Board.
``(i) Interim Appointments.--A member elected to fill a vacancy
occurring before the expiration of the term for which the predecessor
of that member was appointed or elected shall serve for the remainder
of the term for which the predecessor of that member was appointed or
elected.
``(j) Reappointment.--A member of the Board may be elected for not
more than 1 additional term of service as a member of the Board.
``(k) Continuation of Service.--A member of the Board whose term
has expired may continue to serve on the Board until the date on which
a successor member is elected.
``(l) Chief Executive Officer.--The Board shall appoint a chief
executive officer who shall be responsible for--
``(1) hiring employees of the Accelerator;
``(2) establishing the 2 divisions of the Accelerator
described in sections 1624 and 1625; and
``(3) performing any other tasks necessary for the day-to-
day operations of the Accelerator.
``(m) Advisory Committee.--
``(1) Establishment.--The Accelerator shall establish an
advisory committee (in this subsection referred to as the
`advisory committee'), which shall be composed of not more than
13 members appointed by the Board on the recommendation of the
president of the Accelerator.
``(2) Members.--Members of the advisory committee shall be
broadly representative of interests concerned with the
environment, production, commerce, finance, agriculture,
forestry, labor, services, and State Government. Of such
members--
``(A) not fewer than 3 shall be representatives of
the small business community;
``(B) not fewer than 2 shall be representatives of
the labor community, except that no 2 members may be
from the same labor union;
``(C) not fewer than 2 shall be representatives of
the environmental nongovernmental organization
community, except that no 2 members may be from the
same environmental organization;
``(D) not fewer than 2 shall be representatives of
the environmental justice nongovernmental organization
community, except that no 2 members may be from the
same environmental organization;
``(E) not fewer than 2 shall be representatives of
the consumer protection and fair lending community,
except that no 2 members may be from the same consumer
protection or fair lending organization; and
``(F) not fewer than 2 shall be representatives of
the financial services industry with knowledge of and
experience in financing transactions for clean energy
and other sustainable infrastructure assets.
``(3) Meetings.--The advisory committee shall meet not less
frequently than once each quarter.
``(4) Duties.--The advisory committee shall--
``(A) advise the Accelerator on the programs
undertaken by the Accelerator; and
``(B) submit to the Congress an annual report with
comments from the advisory committee on the extent to
which the Accelerator is meeting the mandate described
in section 1623, including any suggestions for
improvement.
``(n) Chief Risk Officer.--
``(1) Appointment.--Subject to the approval of the Board,
the chief executive officer shall appoint a chief risk officer
from among individuals with experience at a senior level in
financial risk management, who--
``(A) shall report directly to the Board; and
``(B) shall be removable only by a majority vote of
the Board.
``(2) Duties.--The chief risk officer, in coordination with
the risk management and audit committees established under
section 1632, shall develop, implement, and manage a
comprehensive process for identifying, assessing, monitoring,
and limiting risks to the Accelerator, including the overall
portfolio diversification of the Accelerator.
``SEC. 1630. ADMINISTRATION.
``(a) Capitalization.--
``(1) In general.--To the extent and in the amounts
provided in advance in appropriations Acts, the Secretary of
Energy shall transfer to the Accelerator--
``(A) $50,000,000,000 on the date on which the
Accelerator is established under section 1622; and
``(B) $10,000,000,000 on October 1 of each of the 5
fiscal years following that date.
``(2) Authorization of appropriations.--For purposes of the
transfers under paragraph (1), there are authorized to be
appropriated--
``(A) $50,000,000,000 for the fiscal year in which
the Accelerator is established under section 1622; and
``(B) $10,000,000,000 for each of the 5 succeeding
fiscal years.
``(b) Charter.--The Accelerator shall establish a charter, the term
of which shall be 30 years.
``(c) Use of Funds and Recycling.--To the extent and in the amounts
provided in advance in appropriations Acts, the Accelerator--
``(1) may use funds transferred pursuant to subsection
(a)(1) to carry out this subtitle, including for operating
expenses; and
``(2) shall retain and manage all repayments and other
revenue received under this subtitle from financing fees,
interest, repaid loans, and other types of funding to carry out
this subtitle, including for--
``(A) operating expenses; and
``(B) recycling such payments and other revenue for
future lending and capital deployment in accordance
with this subtitle.
``(d) Report.--The Accelerator shall submit on a quarterly basis to
the relevant committees of Congress a report that describes the
financial activities, emissions reductions, and private capital
mobilization metrics of the Accelerator for the previous quarter.
``(e) Restriction.--The Accelerator shall not accept deposits.
``(f) Committees.--The Board shall establish committees and
subcommittees, including--
``(1) an investment committee; and
``(2) in accordance with section 1631--
``(A) a risk management committee; and
``(B) an audit committee.
``SEC. 1631. ESTABLISHMENT OF RISK MANAGEMENT COMMITTEE AND AUDIT
COMMITTEE.
``(a) In General.--To assist the Board in fulfilling the duties and
responsibilities of the Board under this subtitle, the Board shall
establish a risk management committee and an audit committee.
``(b) Duties and Responsibilities of Risk Management Committee.--
Subject to the direction of the Board, the risk management committee
established under subsection (a) shall establish policies for and have
oversight responsibility for--
``(1) formulating the risk management policies of the
operations of the Accelerator;
``(2) reviewing and providing guidance on operation of the
global risk management framework of the Accelerator;
``(3) developing policies for--
``(A) investment;
``(B) enterprise risk management;
``(C) monitoring; and
``(D) management of strategic, reputational,
regulatory, operational, developmental, environmental,
social, and financial risks; and
``(4) developing the risk profile of the Accelerator,
including--
``(A) a risk management and compliance framework;
and
``(B) a governance structure to support that
framework.
``(c) Duties and Responsibilities of Audit Committee.--Subject to
the direction of the Board, the audit committee established under
subsection (a) shall have oversight responsibility for--
``(1) the integrity of--
``(A) the financial reporting of the Accelerator;
and
``(B) the systems of internal controls regarding
finance and accounting;
``(2) the integrity of the financial statements of the
Accelerator;
``(3) the performance of the internal audit function of the
Accelerator; and
``(4) compliance with the legal and regulatory requirements
related to the finances of the Accelerator.
``SEC. 1632. OVERSIGHT.
``(a) External Oversight.--The inspector general of the Department
of Energy shall have oversight responsibilities over the Accelerator.
``(b) Reports and Audit.--
``(1) Annual report.--The Accelerator shall publish an
annual report which shall be transmitted by the Accelerator to
the President and the Congress.
``(2) Annual audit of accounts.--The accounts of the
Accelerator shall be audited annually. Such audits shall be
conducted in accordance with generally accepted auditing
standards by independent certified public accountants who are
certified by a regulatory authority of the jurisdiction in
which the audit is undertaken.
``(3) Additional audits.--In addition to the annual audits
under paragraph (2), the financial transactions of the
Accelerator for any fiscal year during which Federal funds are
available to finance any portion of its operations may be
audited by the Government Accountability Office in accordance
with such rules and regulations as may be prescribed by the
Comptroller General of the United States.''.
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