,i  #aacth ,,congress  #b;d ,session    
,h4 ,r4 #ejjd  ,,in ,,the ,,house ,,of  
,,representatives  ,june #bf1 #bjad ,mr4
 ,himes 7for himself1 ,mr4 ,delaney1    
,mr4 ,welch1 and ,mr4 ,cartwright7      
introduced the following bill2 which was
 referred to the ,committee on          
,financial ,services  ,a ,,bill  ,to    
improve the energy efficiency of        
multifamily housing in the ,united      
,states1 and for other purposes4  #a4   
,short title ,this ,act may be cited as 
the ,multifamily ,housing ,energy       
,efficiency ,improvement ,act of #bjad4 
#b4 ,study of relationship between      
energy savings improvements and mortgage
 performance  7a7 ,study ,not later than
 #ij days after the date of the         
enactment of this ,act1 the ,secretary  
of ,housing and ,urban ,development1 in 
coordination with the ,director of the  
,federal ,housing ,finance ,agency and  
in consultation with the ,secretary of  
,energy1 shall commence a study to      
analyze the relationship between energy 

savings improvements to homes and       
buildings1 utility and energy expenses1 
and mortgage performance1 which shall   
include an analysis of--  7#a7 the      
likely increase in value of homes or    
buildings from energy savings           
improvements2  7#b7 the effect of energy
 savings improvements on mortgage       
default rates2 and  7#c7 the risks of   
financing energy savings improvements   
through property assessments and the    
risks associated with providing energy  
efficiency products with senior liens on
 buildings or homes4  7b7 ,protection of
 information ,in conducting the study   
required under subsection 7a71 the      
,secretary shall ensure that data shared
 with any third-party or published does 
not contain any personally identifiable 
information4  7c7 ,publication ,not     
later than one year after the date of   
the enactment of this ,act1 the         
,secretary of ,housing and ,urban       
,development shall--  7#a7 publish the  
results of the study required under     

subsection 7a7 on the publicly available
 website of the ,department of ,housing 
and ,urban ,development2 and  7#b7      
submit a report regarding the results of
 the study required under subsection 7a7
 to the ,committee on ,financial        
,services of the ,house of              
,representatives and the ,committee on  
,banking1 ,housing1 and ,urban ,affairs 
of the ,senate4  7d7 ,evaluation ,not   
later than #ab months after the         
completion of the study required by     
subsection 7a71 the ,secretary and the  
,director of the ,federal ,housing      
,finance ,agency shall evaluate         
departmental procedures and policies to 
assess if they accurately reflect the   
energy expenses and benefits of energy  
savings improvements for homeowners and 
building owners4  #c4 ,improvements to  
existing multifamily housing energy     
efficiency programs  7a7 ,green         
refinancing ,section #bbc of the        
,national ,housing ,act 7#ab ,u4,s4,c4  
#agaen7 is amended by adding at the end 

the following new subsection3  7h7      
,green refinancing ,the ,secretary      
shall1 by regulation1 establish a green 
refinancing program for multifamily     
housing projects insured under          
subsection 7f7 under which any dollar   
amount limitations which would otherwise
 apply with respect to a project may be 
increased by up to #bj percent for the  
cost of residential energy conservation 
measures for the project1 but the       
,secretary shall only insure residential
 energy conservation measures pursuant  
to this subsection if the ,secretary    
verifies that--  7#a7 a third-party     
assessment procured by the lender or    
borrower has been conducted of the      
project's physical needs1 including an  
energy audit and identification of      
cost-effective opportunities for        
increasing energy and water efficiency  
and achieving a reduction in energy and 
water costs1 and such assessment        
indicates that such energy conservation 
measures will be cost-effective over the

 life of the conservation measure2 and  
7#b7 such energy conservation measures  
will be verified and monitored over the 
life of the mortgage1 using such method 
as the ,secretary determines            
appropriate4  ,for purposes of this     
subsection1 the term energy conservation
 measure has the meaning given such term
 in section #bba7k77#c7 7#ab ,u4,s4,c4  
#agael7k77#c774  4  7b7 ,verification of
 cost-,effectiveness of residential     
energy conservation measures ,subsection
 7k7 of section #bba of the ,national   
,housing ,act 7#ab ,u4,s4,c4 #agael7k77 
is amended--  7#a7 by striking and will 
be cost-effective over the life of the  
measure2  7#b7 by striking 7k7 ,with    
respect to any project and inserting the
 following3  7k7 ,financing of solar    
energy systems and residential energy   
conservation measures  7#a7 ,authority  
,subject to paragraph 7#b71 with respect
 to any project  2 and  7#c7 by adding  
at the end the following new paragraphs3
  7#b7 ,verification regarding          

residential energy conservation measures
 ,the ,secretary may increase the dollar
 amount limitations pursuant to         
paragraph 7#a7 with respect to a project
 due to residential energy conservation 
measures for the project only if the    
,secretary--  7,a7 verifies that in the 
case of a mortgage insured under this   
section financing new construction of   
the project1 such measures will be      
cost-effective over the life of the     
measures2  7,b7 in the case of a        
mortgage insured under this section     
financing repair and rehabilitation of  
the project1 verifies that a third-party
 assessment procured by the lender or   
borrower has been conducted of the      
project's physical needs1 including an  
energy audit and identification of      
cost-effective opportunities for        
increasing energy and water efficiency  
and achieving a reduction in energy and 
water costs1 and such assessment        
indicates that the energy conservation  
measures to be installed will be        

cost-effective over the life of the     
measures2 and  7,c7 ensures that the    
project is provided information that    
will enable the project to verify and   
monitor the energy savings achieved by  
the energy conservation measures on a   
voluntary basis4  7#c7 ,definition of   
energy conservation measure ,for        
purposes of this subsection1 the term   
energy conservation measure means1 with 
respect to a project1 any measure that  
will result in a reduction in energy1   
water1 or gas consumption for the       
project4  4  7c7 ,implementation  7#a7  
,guidance ,the ,secretary of ,housing   
and ,urban ,development shall issue     
guidance to implement the amendments    
made by this section not later than the 
expiration of the #ab-month period      
beginning on the date of the enactment  
of this ,act4  7#b7 ,annual report on   
energy efficiency improvements ,the     
,secretary of ,housing and ,urban       
,development shall1 on an annual basis1 
make available on a publicly available  

website of the ,department a report     
describing the implementation of the    
amendments made by this section and the 
programs for financing residential      
energy conservation measures under      
sections #bba7k7 and #bbc7;h7 of the    
,national ,housing ,act 7#ab ,u4,s4,c4  
#agael7k71 #agaen7h77 as amended by such
 amendments4  #d4 ,multifamily housing  
energy efficiency innovation  7a7       
,multifamily housing energy innovation  
plan ,the ,secretary of ,housing and    
,urban ,development shall carry out a   
program to be known as the ,multifamily 
,housing ,energy ,innovation ,plan to   
make grants to eligible entities to     
establish or expand an energy savings   
plan that uses innovative approaches to 
reduce energy1 water1 and_/or gas       
consumption in multifamily housing4  7b7
 ,submission and selection of           
multifamily housing energy innovation   
plans  7#a7 ,application ,to be eligible
 to receive a grant under this section1 
an eligible entity shall submit an      

application to the ,secretary at such   
time1 in such manner1 and containing    
such information as the ,secretary may  
require1 which shall include--  7,a7 a  
description of the energy savings plan  
established or expanded using amounts   
from a grant under this section that    
includes goals of the plan1 use of grant
 funds1 and the anticipated outcome of  
the plan2  7,b7 the amount of grant     
funds needed for such plan and the      
amount and sources of other funding1    
including matching funds required under 
subsection 7d77#a72 and  7,c7 a         
description of how implementing such    
plan will comply with the energy savings
 requirement under subsection 7c77#b74  
7#b7 ,selection ,the ,secretary shall   
establish criteria for selection of     
applications submitted under paragraph  
7#a7 to receive grants under this       
section and shall select eligible       
entities to receive grants based on such
 criteria4 ,such criteria shall be based
 upon--  7,a7 the relevant experience   

and capacity of the eligible entity to  
carry out the energy savings plan to be 
assisted with grant amounts and to      
achieve the stated goals of such plan2  
7,b7 the extent to which such plan      
provides an innovative approach to      
reducing energy consumption in          
multifamily housing2  7,c7 the ability  
of such plan to be replicated by others2
 and  7,d7 such other factors as the    
,secretary determines to be appropriate4
  7#c7 ,priority ,in awarding grants    
under this section1 the ,secretary shall
 give priority to applications based    
on--  7,a7 the extent of funding for the
 energy savings plan secured by the     
eligible entity from private1 nonprofit1
 or government sources in addition to   
the matching funds required under       
subsection 7d77#a72  7,b7 the extent of 
the proposed benefit of the energy      
savings plan to low-income families2 and
  7,c7 the extent to which the energy   
savings plan would reduce budgetary     
expenses for the ,department of ,housing

 and ,urban ,development4  7c7 ,use of  
grant funds  7#a7 ,eligible energy      
savings plans ,amounts from grants under
 this section may be used only for      
energy savings plans that--  7,a7 are   
financing demonstrations for multifamily
 housing1 including for financing       
through credit enhancements1 revolving  
loan funds1 loan loss reserves1 interest
 rate subsidies1 loan insurance1 or     
other financing methods approved by the 
,secretary2  7,b7 create green jobs1    
including in the fields of construction1
 property management1 and technical     
analysis1 that directly promote the     
adoption of energy savings measures in  
multifamily housing1 including energy   
savings plans that create green jobs for
 low-income families2  7,c7 acquire and 
analyze data on the costs1 benefits1    
challenges1 and opportunities associated
 with retrofitting multifamily housing  
for energy efficiency2 or  7,d7 research
 and implement a demonstration project  
that--  7i7 creates retrofit or repair  

strategies that use readily available   
technologies to reduce or increase the  
efficiency of energy1 water1 and gas    
consumption that are not typically used 
for multifamily housing2  7ii7 addresses
 the split incentive problem1 including 
implementing changes to methods for     
utility metering in multifamily housing2
  7iii7 creates a system for            
benchmarking1 tracking1 and sharing     
energy consumption statistics for       
multifamily housing2 or  7iv7 achieves  
another goal as approved by the         
,secretary4  7#b7 ,energy savings       
requirement ,amounts from a grant under 
this section may be used only to carry  
out an energy savings plan described in 
paragraph 7#a7 that will result in at   
least a #bj-percent reduction in the    
energy1 water1 or gas consumption of    
multifamily housing and a description of
 the methodology to be used to compute  
the reduction in energy consumption4    
7d7 ,other requirements  7#a7 ,matching 
funds ,an eligible entity that receives 

a grant under this section shall        
contribute towards the energy savings   
plan amounts from private1 nonprofit1 or
 government sources that are not less   
than the amount of the grant4  7#b7     
,duration ,grants shall be awarded for a
 period not to exceed #bd months4  7#c7 
,eligible entity report ,not later than 
#ab months after the date on which the  
grant period of an eligible entity that 
received a grant under this section     
ends1 each such eligible entity shall   
submit to the ,secretary a report on the
 performance of energy savings plans    
carried out pursuant to this section    
that shall contain such information as  
the ,secretary shall require4  7e7      
,definitions ,in this section the       
following definitions shall apply3  7#a7
 ,eligible entity ,the term eligible    
entity means a partnership between #b or
 more of the following entities3  7,a7  
,a ,state or unit of local government4  
7,b7 ,a provider of utility services4   
7,c7 ,a community housing development   

organization as defined in section #ajd 
of the ,cranston-,gonzalez ,national    
,affordable ,housing ,act 7#db ,u4,s4,c4
 #abgjd74  7,d7 ,a public housing agency
 as defined in section #c7;b7 of the    
,united ,states ,housing ,act of #aicg  
7#db ,u4,s4,c4 #adcg;a7b774  7,e7 ,a    
non-profit or for-profit entity whose   
primary business is management of       
multifamily housing4  7#b7 ,energy      
savings plan ,the term energy savings   
plan means a program1 project1 or       
activity for energy savings or water and
 gas efficiency in multifamily housing4 
7#c7 ,low-income families ,the term     
low-income families has the meaning     
given that term in section #c7;b7 of the
 ,united ,states ,housing ,act of #aicg 
7#db ,u4,s4,c4 #adcg;a7b774  7#d7       
,multifamily housing ,the term          
multifamily housing means a residence   
consisting of #e or more dwelling units4
  7#e7 ,secretary ,the term ,secretary  
means the ,secretary of ,housing and    
,urban ,development4  7#f7 ,split       

incentive problem ,the term split       
incentive problem means1 with respect to
 multifamily housing1 a situation in    
which--  7,a7 the occupant of a dwelling
 unit in the housing does not pay for   
energy1 water1 or gas consumption for   
such unit and is not incentivized to    
implement an energy savings measure2 or 
7,b7 the owner does not pay for energy1 
water1 or gas consumption for dwelling  
units in the housing and is not         
incentivized to implement an energy     
savings measure4  7#g7 ,state ,the term 
,state means each of the several        
,states1 the ,district of ,columbia1 and
 any territory or possession of the     
,united ,states4  7f7 ,authorization of 
appropriations ,there is authorized to  
be appropriated to the ,secretary       
#be1jjj1jjj for fiscal year #bjae1      
#bj1jjj1jjj for fiscal year #bjaf1      
#ae1jjj1jjj for fiscal year #bjag1 and  
#aj1jjj1jjj for fiscal year #bjah to    
carry out this section4  #e4 ,green     
preservation expansion ,during the      

#e-year period beginning on the date of 
the enactment of this ,act1 the         
,secretary of ,housing and ,urban       
,development may waive any statutory or 
regulatory requirement regarding the    
eligibility of multifamily properties   
for an existing risk-sharing agreement  
entered into under section #edb of the  
,housing and ,community ,development    
,act of #aiib 7#ab ,u4,s4,c4            
#agaez-#bb71 but only if such waiver    
facilitates the adoption of energy or   
water conservation measures in such     
properties4