Library / Laws / 113th / s / S. 2262 / Placed on Calendar (Senate)
II
Calendar No. 368
113th CONGRESS
2d Session
S. 2262
IN THE SENATE OF THE UNITED STATES
April 28, 2014
Mrs. Shaheen (for herself, Mr. Portman, Ms. Ayotte, Mr. Bennet, Ms. Collins, Mr. Coons, Mr. Franken, Mr. Hoeven, Mr. Isakson, Ms. Landrieu, Mr. Manchin, Ms. Murkowski, Mr. Warner, and Mr. Wicker) introduced the following bill; which was read the first time
April 29, 2014Read the second time and placed on the calendar
A BILL
To promote energy savings in residential buildings and industry, and for other purposes.
1.
Short title; table of
contents
(a)
Short
title
This Act may be cited
as the Energy Savings and Industrial Competitiveness Act of 2014.
(b)
Table of
contents
The table of contents of this Act is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Definition of Secretary.
TITLE I—Buildings
Subtitle A—Building energy codes
Sec. 101. Greater energy efficiency in building codes.
Subtitle B—Worker training and capacity building
Sec. 111. Building training and assessment centers.
Sec. 112. Career skills training.
Subtitle C—School buildings
Sec. 121. Coordination of energy retrofitting assistance for schools.
Subtitle D—Better buildings
Sec. 131. Energy efficiency in Federal and other buildings.
Sec. 132. Separate spaces with high-performance energy efficiency measures.
Sec. 133. Tenant star program.
Subtitle E—Energy information for commercial buildings
Sec. 141. Energy information for commercial buildings.
TITLE II—Industrial efficiency and competitiveness
Subtitle A—Manufacturing energy efficiency
Sec. 201. Purposes.
Sec. 202. Future of Industry program.
Sec. 203. Sustainable manufacturing initiative.
Sec. 204. Conforming amendments.
Subtitle B—Supply Star
Sec. 211. Supply Star.
Subtitle C—Electric motor rebate program
Sec. 221. Energy saving motor control, electric motor, and advanced motor systems rebate program.
Subtitle D—Transformer rebate program
Sec. 231. Energy efficient transformer rebate program.
TITLE III—Federal agency energy efficiency
Sec. 301. Energy-efficient and energy-saving information technologies.
Sec. 302. Availability of funds for design updates.
Sec. 303. Energy efficient data centers.
Sec. 304. Budget-neutral demonstration program for energy and water conservation improvements at
multifamily residential units.
TITLE IV—Regulatory provisions
Subtitle A—Third-party certification under Energy Star program
Sec. 401. Third-party certification under Energy Star program.
Subtitle B—Federal green buildings
Sec. 411. High-performance green Federal buildings.
Subtitle C—Water heaters
Sec. 421. Grid-enabled water heaters.
Subtitle D—Energy performance requirement for Federal buildings
Sec. 431. Energy performance requirement for Federal buildings.
Sec. 432. Federal building energy efficiency performance standards; certification system and level
for green buildings.
Sec. 433. Enhanced energy efficiency underwriting.
Subtitle E—Third party testing
Sec. 441. Voluntary certification programs for air conditioning, furnace, boiler, heat pump, and
water heater products.
TITLE V—Miscellaneous
Sec. 501. Offset.
Sec. 502. Budgetary effects.
Sec. 503. Advance appropriations required.
2.
Definition of
Secretary
In this Act, the
term Secretary means the Secretary of Energy.
I
Buildings
A
Building
energy codes
101.
Greater energy
efficiency in building codes
(a)
Definitions
Section
303 of the Energy Conservation and Production Act (42 U.S.C. 6832) is
amended—
(1)
by striking
paragraph (14) and inserting the following:
(14)
Model building
energy code
The term model building energy code
means a voluntary building energy code and standards developed and
updated
through a consensus process among interested persons, such as the
IECC or the
code used by—
(A)
the Council of
American Building Officials, or its legal successor, International
Code
Council, Inc.;
(B)
the American
Society of Heating, Refrigerating, and Air-Conditioning Engineers;
or
(C)
other appropriate
organizations.
;
and
(2)
by adding at the
end the following:
(17)
IECC
The
term IECC means the International Energy Conservation Code.
(18)
Indian
tribe
The term Indian tribe has the meaning given
the term in section 4 of the Native American Housing Assistance and
Self-Determination Act of 1996 (25 U.S.C.
4103).
.
(b)
State
building energy efficiency codes
Section 304 of the Energy
Conservation and Production Act (42 U.S.C. 6833) is amended to read as
follows:
304.
Updating
State building energy efficiency codes
(a)
In
general
The Secretary shall—
(1)
encourage and
support the adoption of building energy codes by States, Indian
tribes, and, as
appropriate, by local governments that meet or exceed the model
building energy
codes, or achieve equivalent or greater energy savings; and
(2)
support full
compliance with the State and local codes.
(b)
State and
Indian tribe certification of building energy code updates
(1)
Review and
updating of codes by each State and Indian tribe
(A)
In
general
Not later than 2 years after the date on which a model
building energy code is updated, each State or Indian tribe shall
certify
whether or not the State or Indian tribe, respectively, has
reviewed and
updated the energy provisions of the building code of the State or
Indian
tribe, respectively.
(B)
Demonstration
The
certification shall include a demonstration of whether or not the
energy
savings for the code provisions that are in effect throughout the
State or
Indian tribal territory meet or exceed—
(i)
the energy
savings of the updated model building energy code; or
(ii)
the targets
established under section 307(b)(2).
(C)
No model
building energy code update
If a model building energy code is
not updated by a target date established under section
307(b)(2)(D), each State
or Indian tribe shall, not later than 2 years after the specified
date, certify
whether or not the State or Indian tribe, respectively, has
reviewed and
updated the energy provisions of the building code of the State or
Indian
tribe, respectively, to meet or exceed the target in section
307(b)(2).
(2)
Validation
by Secretary
Not later than 90 days after a State or Indian tribe
certification under paragraph (1), the Secretary shall—
(A)
determine
whether the code provisions of the State or Indian tribe,
respectively, meet
the criteria specified in paragraph (1); and
(B)
if the
determination is positive, validate the certification.
(c)
Improvements
in compliance with building energy codes
(1)
Requirement
(A)
In
general
Not later than 3 years after the date of a certification
under subsection (b), each State and Indian tribe shall certify
whether or not
the State and Indian tribe, respectively, has—
(i)
achieved full
compliance under paragraph (3) with the applicable certified State
and Indian
tribe building energy code or with the associated model building
energy code;
or
(ii)
made
significant progress under paragraph (4) toward achieving
compliance with the
applicable certified State and Indian tribe building energy code or
with the
associated model building energy code.
(B)
Repeat
certifications
If the State or Indian tribe certifies progress
toward achieving compliance, the State or Indian tribe shall repeat
the
certification until the State or Indian tribe certifies that the
State or
Indian tribe has achieved full compliance, respectively.
(2)
Measurement
of compliance
A certification under paragraph (1) shall include
documentation of the rate of compliance based on—
(A)
independent
inspections of a random sample of the buildings covered by the code
in the
preceding year; or
(B)
an
alternative method that yields an accurate measure of compliance.
(3)
Achievement
of compliance
A State or Indian tribe shall be considered to
achieve full compliance under paragraph (1) if—
(A)
at least 90
percent of building space covered by the code in the preceding year
substantially meets all the requirements of the applicable code
specified in
paragraph (1), or achieves equivalent or greater energy savings
level;
or
(B)
the estimated
excess energy use of buildings that did not meet the applicable
code specified
in paragraph (1) in the preceding year, compared to a baseline of
comparable
buildings that meet this code, is not more than 5 percent of the
estimated
energy use of all buildings covered by this code during the
preceding
year.
(4)
Significant
progress toward achievement of compliance
A State or Indian tribe
shall be considered to have made significant progress toward
achieving
compliance for purposes of paragraph (1) if the State or Indian
tribe—
(A)
has developed
and is implementing a plan for achieving compliance during the
8-year-period
beginning on the date of enactment of this paragraph, including
annual targets
for compliance and active training and enforcement programs; and
(B)
has met the
most recent target under subparagraph (A).
(5)
Validation
by Secretary
Not later than 90 days after a State or Indian tribe
certification under paragraph (1), the Secretary shall—
(A)
determine
whether the State or Indian tribe has demonstrated meeting the
criteria of this
subsection, including accurate measurement of compliance; and
(B)
if the
determination is positive, validate the certification.
(d)
States or
Indian tribes that do not achieve compliance
(1)
Reporting
A
State or Indian tribe that has not made a certification required
under
subsection (b) or (c) by the applicable deadline shall submit to
the Secretary
a report on—
(A)
the status of
the State or Indian tribe with respect to meeting the requirements
and
submitting the certification; and
(B)
a plan for
meeting the requirements and submitting the certification.
(2)
Federal
support
For any State or Indian tribe for which the Secretary has
not validated a certification by a deadline under subsection (b) or
(c), the
lack of the certification may be a consideration for Federal
support authorized
under this section for code adoption and compliance activities.
(3)
Local
government
In any State or Indian tribe for which the Secretary
has not validated a certification under subsection (b) or (c), a
local
government may be eligible for Federal support by meeting the
certification
requirements of subsections (b) and (c).
(4)
Annual
reports by Secretary
(A)
In
general
The Secretary shall annually submit to Congress, and
publish in the Federal Register, a report on—
(i)
the status of
model building energy codes;
(ii)
the status
of code adoption and compliance in the States and Indian tribes;
(iii)
implementation
of this section; and
(iv)
improvements
in energy savings over time as result of the targets established
under section
307(b)(2).
(B)
Impacts
The
report shall include estimates of impacts of past action under this
section,
and potential impacts of further action, on—
(i)
upfront
financial and construction costs, cost benefits and returns (using
investment
analysis), and lifetime energy use for buildings;
(ii)
resulting
energy costs to individuals and businesses; and
(iii)
resulting
overall annual building ownership and operating costs.
(e)
Technical
assistance to States and Indian tribes
The Secretary shall
provide technical assistance to States and Indian tribes to
implement the goals
and requirements of this section, including procedures and
technical analysis
for States and Indian tribes—
(1)
to improve and
implement State residential and commercial building energy codes;
(2)
to
demonstrate that the code provisions of the States and Indian
tribes achieve
equivalent or greater energy savings than the model building energy
codes and
targets;
(3)
to document
the rate of compliance with a building energy code; and
(4)
to otherwise
promote the design and construction of energy efficient buildings.
(f)
Availability
of incentive funding
(1)
In
general
The Secretary shall provide incentive funding to States
and Indian tribes—
(A)
to implement
the requirements of this section;
(B)
to improve
and implement residential and commercial building energy codes,
including
increasing and verifying compliance with the codes and training of
State,
tribal, and local building code officials to implement and enforce
the codes;
and
(C)
to promote
building energy efficiency through the use of the codes.
(2)
Additional
funding
Additional funding shall be provided under this
subsection for implementation of a plan to achieve and document
full compliance
with residential and commercial building energy codes under
subsection
(c)—
(A)
to a State or
Indian tribe for which the Secretary has validated a certification
under
subsection (b) or (c); and
(B)
in a State or
Indian tribe that is not eligible under subparagraph (A), to a
local government
that is eligible under this section.
(3)
Training
Of
the amounts made available under this subsection, the State or
Indian tribe may
use amounts required, but not to exceed $750,000 for a State, to
train State
and local building code officials to implement and enforce codes
described in
paragraph (2).
(4)
Local
governments
States may share grants under this subsection with
local governments that implement and enforce the codes.
(g)
Stretch codes
and advanced standards
(1)
In
general
The Secretary shall provide technical and financial
support for the development of stretch codes and advanced standards
for
residential and commercial buildings for use as—
(A)
an option for
adoption as a building energy code by local, tribal, or State
governments;
and
(B)
guidelines for
energy-efficient building design.
(2)
Targets
The
stretch codes and advanced standards shall be designed—
(A)
to achieve
substantial energy savings compared to the model building energy
codes;
and
(B)
to meet targets
under section 307(b), if available, at least 3 to 6 years in
advance of the
target years.
(h)
Studies
The
Secretary, in consultation with building science experts from the
National
Laboratories and institutions of higher education, designers and
builders of
energy-efficient residential and commercial buildings, code
officials, and
other stakeholders, shall undertake a study of the feasibility,
impact,
economics, and merit of—
(1)
code
improvements that would require that buildings be designed, sited,
and
constructed in a manner that makes the buildings more adaptable in
the future
to become zero-net-energy after initial construction, as advances
are achieved
in energy-saving technologies;
(2)
code
procedures to incorporate measured lifetimes, not just first-year
energy use,
in trade-offs and performance calculations; and
(3)
legislative
options for increasing energy savings from building energy codes,
including
additional incentives for effective State and local action, and
verification of
compliance with and enforcement of a code other than by a State or
local
government.
(i)
Effect on other
laws
Nothing in this section or section 307 supersedes or
modifies the application of sections 321 through 346 of the Energy
Policy and
Conservation Act (42 U.S.C. 6291 et seq.).
(j)
Authorization
of appropriations
There are authorized to be appropriated to
carry out this section and section 307 $200,000,000, to remain
available until
expended.
.
(c)
Federal
building energy efficiency standards
Section 305 of the Energy Conservation and
Production Act (42 U.S.C. 6834) is amended by striking voluntary
building energy code each place it appears in subsections (a)(2)(B) and
(b) and inserting model building energy code.
(d)
Model building
energy codes
Section 307 of the Energy Conservation and
Production Act (42 U.S.C. 6836) is amended to read as follows:
307.
Support for
model building energy codes
(a)
In
general
The Secretary shall support the updating of model
building energy codes.
(b)
Targets
(1)
In
general
The Secretary shall support the updating of the model
building energy codes to enable the achievement of aggregate energy
savings
targets established under paragraph (2).
(2)
Targets
(A)
In
general
The Secretary shall work with State, Indian tribes, local
governments, nationally recognized code and standards developers,
and other
interested parties to support the updating of model building energy
codes by
establishing one or more aggregate energy savings targets to
achieve the
purposes of this section.
(B)
Separate
targets
The Secretary may establish separate targets for
commercial and residential buildings.
(C)
Baselines
The
baseline for updating model building energy codes shall be the 2009
IECC for
residential buildings and ASHRAE Standard 90.1–2010 for commercial
buildings.
(D)
Specific
years
(i)
In
general
Targets for specific years shall be established and
revised by the Secretary through rulemaking and coordinated with
nationally
recognized code and standards developers at a level that—
(I)
is at the maximum
level of energy efficiency that is technologically feasible and
life-cycle cost
effective, while accounting for the economic considerations under
paragraph
(4);
(II)
is higher than
the preceding target; and
(III)
promotes the
achievement of commercial and residential high-performance
buildings through
high performance energy efficiency (within the meaning of section
401 of the
Energy Independence and Security Act of 2007 (42 U.S.C. 17061)).
(ii)
Initial
targets
Not later than 1 year after the date of enactment of this
clause, the Secretary shall establish initial targets under this
subparagraph.
(iii)
Different
target years
Subject to clause (i), prior to the applicable year,
the Secretary may set a later target year for any of the model
building energy
codes described in subparagraph (A) if the Secretary determines
that a target
cannot be met.
(iv)
Small
business
When establishing targets under this paragraph through
rulemaking, the Secretary shall ensure compliance with the Small
Business
Regulatory Enforcement Fairness Act of 1996 (5 U.S.C. 601 note;
Public Law
104–121).
(3)
Appliance
standards and other factors affecting building energy use
In
establishing building code targets under paragraph (2), the
Secretary shall
develop and adjust the targets in recognition of potential savings
and costs
relating to—
(A)
efficiency gains
made in appliances, lighting, windows, insulation, and building
envelope
sealing;
(B)
advancement of
distributed generation and on-site renewable power generation
technologies;
(C)
equipment
improvements for heating, cooling, and ventilation systems;
(D)
building
management systems and SmartGrid technologies to reduce energy use;
and
(E)
other
technologies, practices, and building systems that the Secretary
considers
appropriate regarding building plug load and other energy uses.
(4)
Economic
considerations
In establishing and revising building code targets
under paragraph (2), the Secretary shall consider the economic
feasibility of
achieving the proposed targets established under this section and
the potential
costs and savings for consumers and building owners, including a
return on
investment analysis.
(c)
Technical
assistance to model building energy code-Setting and standard
development
organizations
(1)
In
general
The Secretary shall, on a timely basis, provide technical
assistance to model building energy code-setting and standard
development
organizations consistent with the goals of this section.
(2)
Assistance
The
assistance shall include, as requested by the organizations,
technical
assistance in—
(A)
evaluating code
or standards proposals or revisions;
(B)
building energy
analysis and design tools;
(C)
building
demonstrations;
(D)
developing
definitions of energy use intensity and building types for use in
model
building energy codes to evaluate the efficiency impacts of the
model building
energy codes;
(E)
performance-based
standards;
(F)
evaluating
economic considerations under subsection (b)(4); and
(G)
developing model
building energy codes by Indian tribes in accordance with tribal
law.
(3)
Amendment
proposals
The Secretary may submit timely model building energy
code amendment proposals to the model building energy code-setting
and standard
development organizations, with supporting evidence, sufficient to
enable the
model building energy codes to meet the targets established under
subsection
(b)(2).
(4)
Analysis
methodology
The Secretary shall make publicly available the
entire calculation methodology (including input assumptions and
data) used by
the Secretary to estimate the energy savings of code or standard
proposals and
revisions.
(d)
Determination
(1)
Revision of
model building energy codes
If the provisions of the IECC or
ASHRAE Standard 90.1 regarding building energy use are revised, the
Secretary
shall make a preliminary determination not later than 90 days after
the date of
the revision, and a final determination not later than 15 months
after the date
of the revision, on whether or not the revision will—
(A)
improve energy
efficiency in buildings compared to the existing model building
energy code;
and
(B)
meet the
applicable targets under subsection (b)(2).
(2)
Codes or
standards not meeting targets
(A)
In
general
If the Secretary makes a preliminary determination under
paragraph (1)(B) that a code or standard does not meet the targets
established
under subsection (b)(2), the Secretary may at the same time provide
the model
building energy code or standard developer with proposed changes
that would
result in a model building energy code that meets the targets and
with
supporting evidence, taking into consideration—
(i)
whether the
modified code is technically feasible and life-cycle cost
effective;
(ii)
available
appliances, technologies, materials, and construction practices;
and
(iii)
the economic
considerations under subsection (b)(4).
(B)
Incorporation
of changes
(i)
In
general
On receipt of the proposed changes, the model building
energy code or standard developer shall have an additional 270 days
to accept
or reject the proposed changes of the Secretary to the model
building energy
code or standard for the Secretary to make a final determination.
(ii)
Final
determination
A final determination under paragraph (1) shall be
on the modified model building energy code or standard.
(e)
Administration
In
carrying out this section, the Secretary shall—
(1)
publish notice of
targets and supporting analysis and determinations under this
section in the
Federal Register to provide an explanation of and the basis for
such actions,
including any supporting modeling, data, assumptions, protocols,
and
cost-benefit analysis, including return on investment; and
(2)
provide an
opportunity for public comment on targets and supporting analysis
and
determinations under this section.
(f)
Voluntary codes
and standards
Notwithstanding any other provision of this
section, any model building code or standard established under
section 304
shall not be binding on a State, local government, or Indian tribe
as a matter
of Federal
law.
.
B
Worker
training and capacity building
111.
Building
training and assessment centers
(a)
In
general
The Secretary shall
provide grants to institutions of higher education (as defined in section
101
of the Higher Education Act of 1965 (20 U.S.C. 1001)) and Tribal Colleges
or
Universities (as defined in section 316(b) of that Act (20 U.S.C.
1059c(b))) to
establish building training and assessment centers—
(1)
to identify
opportunities for optimizing energy efficiency and environmental
performance in
buildings;
(2)
to promote
the application of emerging concepts and technologies in commercial and
institutional buildings;
(3)
to train
engineers, architects, building scientists, building energy permitting and
enforcement officials, and building technicians in energy-efficient design
and
operation;
(4)
to assist
institutions of higher education and Tribal Colleges or Universities in
training building technicians;
(5)
to promote
research and development for the use of alternative energy sources and
distributed generation to supply heat and power for buildings,
particularly
energy-intensive buildings; and
(6)
to coordinate
with and assist State-accredited technical training centers, community
colleges, Tribal Colleges or Universities, and local offices of the
National
Institute of Food and Agriculture and ensure appropriate services are
provided
under this section to each region of the United States.
(b)
Coordination
and nonduplication
(1)
In
general
The Secretary shall coordinate the program with the
industrial research and assessment centers program and with other Federal
programs to avoid duplication of effort.
(2)
Collocation
To
the maximum extent practicable, building, training, and assessment centers
established under this section shall be collocated with Industrial
Assessment
Centers.
(c)
Authorization
of Appropriations
There is authorized to be appropriated to carry
out this section $10,000,000, to remain available until expended.
112.
Career skills
training
(a)
In
general
The Secretary shall pay grants to eligible entities
described in subsection (b) to pay the Federal share of associated career
skills training programs under which students concurrently receive
classroom
instruction and on-the-job training for the purpose of obtaining an
industry-related certification to install energy efficient buildings
technologies, including technologies described in section 307(b)(3) of the
Energy Conservation and Production Act (42 U.S.C. 6836(b)(3)).
(b)
Eligibility
To
be eligible to obtain a grant under subsection (a), an entity shall be a
nonprofit partnership described in section 171(e)(2)(B)(ii) of the
Workforce
Investment Act of 1998 (29 U.S.C. 2916(e)(2)(B)(ii)).
(c)
Federal
share
The Federal share of the cost of carrying out a career
skills training program described in subsection (a) shall be 50 percent.
(d)
Authorization
of Appropriations
There is authorized to be appropriated to carry
out this section $10,000,000, to remain available until expended.
C
School
buildings
121.
Coordination of energy retrofitting
assistance for schools
(a)
Definition of school
In this section, the term
school means—
(1)
an elementary school or secondary school
(as defined in section 9101 of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 7801));
(2)
an institution of higher education (as
defined in section 102(a) of the Higher Education Act of 1965 (20 U.S.C.
1002(a));
(3)
a school of the defense dependents’
education system under the Defense Dependents’ Education Act of 1978 (20 U.S.C.
921 et seq.) or established under section 2164 of title 10, United States
Code;
(4)
a school operated by the Bureau of Indian
Affairs;
(5)
a tribally controlled school (as defined in
section 5212 of the Tribally Controlled Schools Act of 1988 (25 U.S.C. 2511));
and
(6)
a Tribal College or University (as defined
in section 316(b) of the Higher Education Act of 1965 (20 U.S.C.
1059c(b))).
(b)
Designation of lead agency
The Secretary, acting through the Office of
Energy Efficiency and Renewable Energy, shall act as the lead Federal agency
for coordinating and disseminating information on existing Federal programs and
assistance that may be used to help initiate, develop, and finance energy
efficiency, renewable energy, and energy retrofitting projects for
schools.
(c)
Requirements
In carrying out coordination and outreach
under subsection (b), the Secretary shall—
(1)
in consultation and coordination with the
appropriate Federal agencies, carry out a review of existing programs and
financing mechanisms (including revolving loan funds and loan guarantees)
available in or from the Department of Agriculture, the Department of Energy,
the Department of Education, the Department of the Treasury, the Internal
Revenue Service, the Environmental Protection Agency, and other appropriate
Federal agencies with jurisdiction over energy financing and facilitation that
are currently used or may be used to help initiate, develop, and finance energy
efficiency, renewable energy, and energy retrofitting projects for
schools;
(2)
establish a Federal cross-departmental
collaborative coordination, education, and outreach effort to streamline
communication and promote available Federal opportunities and assistance
described in paragraph (1), for energy efficiency, renewable energy, and energy
retrofitting projects that enables States, local educational agencies, and
schools—
(A)
to use existing Federal opportunities more
effectively; and
(B)
to form partnerships with Governors, State
energy programs, local educational, financial, and energy officials, State and
local government officials, nonprofit organizations, and other appropriate
entities, to support the initiation of the projects;
(3)
provide technical assistance for States,
local educational agencies, and schools to help develop and finance energy
efficiency, renewable energy, and energy retrofitting projects—
(A)
to increase the energy efficiency of
buildings or facilities;
(B)
to install systems that individually
generate energy from renewable energy resources;
(C)
to establish partnerships to leverage
economies of scale and additional financing mechanisms available to larger
clean energy initiatives; or
(D)
to promote—
(i)
the maintenance of health, environmental
quality, and safety in schools, including the ambient air quality, through
energy efficiency, renewable energy, and energy retrofit projects; and
(ii)
the achievement of expected energy savings
and renewable energy production through proper operations and maintenance
practices;
(4)
develop and maintain a single online
resource Web site with contact information for relevant technical assistance
and support staff in the Office of Energy Efficiency and Renewable Energy for
States, local educational agencies, and schools to effectively access and use
Federal opportunities and assistance described in paragraph (1) to develop
energy efficiency, renewable energy, and energy retrofitting projects;
and
(5)
establish a process for recognition of
schools that—
(A)
have successfully implemented energy
efficiency, renewable energy, and energy retrofitting projects; and
(B)
are willing to serve as resources for other
local educational agencies and schools to assist initiation of similar
efforts.
(d)
Report
Not later than 180 days after the date of
enactment of this Act, the Secretary shall submit to Congress a report
describing the implementation of this section.
D
Better buildings
131.
Energy efficiency in Federal and other buildings
(a)
Definitions
In this section:
(1)
Administrator
The term Administrator means the Administrator of General Services.
(2)
Cost-effective energy efficiency measure
The terms cost-effective energy efficiency measure and measure mean any building product, material, equipment, or service and the installing, implementing, or
operating thereof, that provides energy savings in an amount that is not
less than the cost of such installing, implementing, or operating.
(b)
Model provisions, policies, and best practices
(1)
In general
Not later than 180 days after the date of enactment of this Act, the Administrator, in consultation
with the Secretary and after providing the public with an
opportunity for notice and comment, shall develop model leasing provisions
and best practices in accordance with this subsection.
(2)
Commercial leasing
(A)
In general
The model commercial leasing provisions developed under this subsection shall, at a minimum, align
the interests of building owners and tenants with regard to investments in
cost-effective energy efficiency measures to encourage building owners and
tenants to collaborate to invest in such measures.
(B)
Use of model provisions
The Administrator may use the model provisions developed under this subsection in any standard
leasing document that designates a Federal agency (or other client of the
Administrator) as a landlord or tenant.
(C)
Publication
The Administrator shall periodically publish the model leasing provisions developed under this
subsection, along with explanatory materials, to encourage building owners
and tenants in the private sector to use such provisions and materials.
(3)
Realty services
The Administrator shall develop policies and practices to implement cost-effective energy
efficiency measures for the realty services provided by the Administrator
to Federal agencies (or other clients of the Administrator), including
periodic training of appropriate Federal employees and contractors on how
to identify and evaluate those measures.
(4)
State and local assistance
The Administrator, in consultation with the Secretary, shall make available model leasing
provisions and best practices developed under this subsection to State,
county, and municipal governments to manage owned and leased building
space in accordance with the goal of encouraging investment in all
cost-effective energy efficiency measures.
132.
Separate spaces with high-performance energy efficiency measures
Subtitle B of title IV of the Energy Independence and Security Act of 2007 (42 U.S.C. 17081 et
seq.) is amended by adding at the end the following:
424.
Separate spaces with high-performance energy efficiency measures
(a)
Definitions
In this section:
(1)
High-performance energy efficiency measure
The term high-performance energy efficiency measure means a technology, product, or practice that will result in substantial operational cost savings
by reducing energy consumption and utility costs.
(2)
Separate spaces
The term separate spaces means areas within a commercial building that are leased or otherwise occupied by a tenant or
other occupant for a period of time pursuant to the terms of a written
agreement.
(b)
Study
(1)
In general
Not later than 1 year after the date of enactment of this section, the Secretary, acting through
the Assistant Secretary of Energy Efficiency and Renewable Energy, shall
complete a study on the feasibility of—
(A)
significantly improving energy efficiency in commercial buildings through the design and
construction, by owners and tenants, of separate spaces with
high-performance energy efficiency measures; and
(B)
encouraging owners and tenants to implement high-performance energy efficiency measures in separate
spaces.
(2)
Scope
The study shall, at a minimum, include—
(A)
descriptions of—
(i)
high-performance energy efficiency measures that should be considered as part of the initial design
and construction of separate spaces;
(ii)
processes that owners, tenants, architects, and engineers may replicate when designing and
constructing separate spaces with high-performance energy efficiency
measures;
(iii)
policies and best practices to achieve reductions in energy intensities for lighting, plug loads,
heating, cooling, cooking, laundry, and other systems to satisfy the needs
of the commercial building tenant;
(iv)
return on investment and payback analyses of the incremental cost and projected energy savings of
the proposed set of high-performance energy efficiency measures, including
consideration of available incentives;
(v)
models and simulation methods that predict the quantity of energy used by separate spaces with
high-performance energy efficiency measures and that compare that
predicted quantity to the quantity of energy used by separate spaces
without high-performance energy efficiency measures but that otherwise
comply with applicable building code requirements;
(vi)
measurement and verification platforms demonstrating actual energy use of high-performance energy
efficiency measures installed in separate spaces, and whether such
measures generate the savings intended in the initial design and
construction of the separate spaces;
(vii)
best practices that encourage an integrated approach to designing and constructing separate spaces
to perform at optimum energy efficiency in conjunction with the central
systems of a commercial building; and
(viii)
any impact on employment resulting from the design and construction of separate spaces with
high-performance energy efficiency measures; and
(B)
case studies reporting economic and energy saving returns in the design and construction of
separate spaces with high-performance energy efficiency measures.
(3)
Public participation
Not later than 90 days after the date of the enactment of this section, the Secretary shall publish
a notice in the Federal Register requesting public comments regarding
effective methods, measures, and practices for the design and construction
of separate spaces with high-performance energy efficiency measures.
(4)
Publication
The Secretary shall publish the study on the website of the Department of Energy.
.
133.
Tenant star program
Subtitle B of title IV of the Energy Independence and Security Act of 2007 (42 U.S.C. 17081 et
seq.) (as amended by section 132) is amended by adding at the end the
following:
425.
Tenant star program
(a)
Definitions
In this section:
(1)
High-performance energy efficiency measure
The term high-performance energy efficiency measure has the meaning given the term in section 424.
(2)
Separate spaces
The term separate spaces has the meaning given the term in section 424.
(b)
Tenant Star
The Administrator of the Environmental Protection Agency, in consultation with the Secretary of
Energy, shall develop a voluntary program within the Energy Star program
established by section 324A of the Energy Policy and Conservation Act (42
U.S.C. 6294a), which may be known as Tenant Star, to promote energy
efficiency in separate spaces leased by tenants or otherwise occupied
within commercial buildings.
(c)
Expanding survey data
The Secretary of Energy, acting through the Administrator of the Energy Information Administration,
shall—
(1)
collect, through each Commercial Buildings Energy Consumption Survey of the Energy Information
Administration that is conducted after the date of enactment of this
section, data on—
(A)
categories of building occupancy that are known to consume significant quantities of energy, such
as occupancy by data centers, trading floors, and restaurants; and
(B)
other aspects of the property, building operation, or building occupancy determined by the
Administrator of the Energy Information Administration, in consultation
with the Administrator of the Environmental Protection Agency, to be
relevant in lowering energy consumption;
(2)
with respect to the first Commercial Buildings Energy Consumption Survey conducted after the date
of enactment of this section, to the extent full compliance with the
requirements of paragraph (1) is not feasible, conduct activities to
develop the capability to collect such data and begin to collect such
data; and
(3)
make data collected under paragraphs (1) and (2) available to the public in aggregated form and
provide such data, and any associated results, to the Administrator of the
Environmental Protection Agency for use in accordance with subsection (d).
(d)
Recognition of owners and tenants
(1)
Occupancy-based recognition
Not later than 1 year after the date on which sufficient data is received pursuant to subsection
(c), the Administrator of the Environmental Protection Agency shall,
following an opportunity for public notice and comment—
(A)
in a manner similar to the Energy Star rating system for commercial buildings, develop policies and
procedures to recognize tenants in commercial buildings that voluntarily
achieve high levels of energy efficiency in separate spaces;
(B)
establish building occupancy categories eligible for Tenant Star recognition based on the data
collected under subsection (c) and any other appropriate data sources; and
(C)
consider other forms of recognition for commercial building tenants or other occupants that lower
energy consumption in separate spaces.
(2)
Design- and construction-based recognition
After the study required by section 424(b) is completed, the Administrator of the Environmental
Protection Agency, in consultation with the Secretary and following an
opportunity for public notice and comment, may develop a voluntary program
to recognize commercial building owners and tenants that use
high-performance energy efficiency measures in the design and construction
of separate spaces.
.
E
Energy
information for commercial buildings
141.
Energy
information for commercial buildings
(a)
Requirement of
benchmarking and disclosure for leasing buildings without energy star
labels
Section 435(b)(2) of the Energy Independence and Security
Act of 2007 (42 U.S.C. 17091(b)(2)) is amended—
(1)
by
striking paragraph (2) and inserting paragraph
(1); and
(2)
by
striking signing the contract, and all that follows through the
period at the end and inserting the following:
signing the
contract, the following requirements are met:
(A)
The space is
renovated for all energy efficiency and conservation improvements that would be
cost effective over the life of the lease, including improvements in lighting,
windows, and heating, ventilation, and air conditioning systems.
(B)
(i)
Subject to clause (ii),
the space is benchmarked under a nationally recognized, online, free
benchmarking program, with public disclosure, unless the space is a space for
which owners cannot access whole building utility consumption data, including
spaces—
(I)
that are located in States with privacy
laws that provide that utilities shall not provide such aggregated information
to multitenant building owners; and
(II)
for which tenants do not provide energy
consumption information to the commercial building owner in response to a
request from the building owner.
(ii)
A Federal agency that is a tenant
of the space shall provide to the building owner, or authorize the owner to
obtain from the utility, the energy consumption information of the space for
the benchmarking and disclosure required by this
subparagraph.
.
(b)
Department of
Energy study
(1)
In
general
Not later than 2 years after the date of enactment of
this Act, the Secretary shall complete a study, with opportunity for public
comment—
(A)
on the impact
of—
(i)
State
and local performance benchmarking and disclosure policies, and any associated
building efficiency policies, for commercial and multifamily buildings;
and
(ii)
programs and
systems in which utilities provide aggregated information regarding whole
building energy consumption and usage information to owners of multitenant
commercial, residential, and mixed-use buildings;
(B)
that identifies
best practice policy approaches studied under subparagraph (A) that have
resulted in the greatest improvements in building energy efficiency; and
(C)
that
considers—
(i)
compliance rates
and the benefits and costs of the policies and programs on building owners,
utilities, tenants, and other parties;
(ii)
utility
practices, programs, and systems that provide aggregated energy consumption
information to multitenant building owners, and the impact of public utility
commissions and State privacy laws on those practices, programs, and
systems;
(iii)
exceptions to
compliance in existing laws where building owners are not able to gather or
access whole building energy information from tenants or utilities;
(iv)
the
treatment of buildings with—
(I)
multiple
uses;
(II)
uses for which
baseline information is not available; and
(III)
uses that
require high levels of energy intensities, such as data centers, trading
floors, and televisions studios;
(v)
implementation
practices, including disclosure methods and phase-in of compliance;
(vi)
the
safety and security of benchmarking tools offered by government agencies, and
the resiliency of those tools against cyber-attacks; and
(vii)
international
experiences with regard to building benchmarking and disclosure laws and data
aggregation for multitenant buildings.
(2)
Submission to
Congress
At the conclusion of the study, the Secretary shall
submit to Congress a report on the results of the study.
(c)
Creation and
maintenance of databases
(1)
In
general
Not later than 18 months after the date of enactment of
this Act and following opportunity for public notice and comment, the
Secretary, in coordination with other relevant agencies shall, to carry out the
purpose described in paragraph (2)—
(A)
assess existing
databases; and
(B)
as
necessary—
(i)
modify
and maintain existing databases; or
(ii)
create
and maintain a new database platform.
(2)
Purpose
The
maintenance of existing databases or creation of a new database platform under
paragraph (1) shall be for the purpose of storing and making available public
energy-related information on commercial and multifamily buildings,
including—
(A)
data provided
under Federal, State, local, and other laws or programs regarding building
benchmarking and energy information disclosure;
(B)
buildings that
have received energy ratings and certifications; and
(C)
energy-related
information on buildings provided voluntarily by the owners of the buildings,
in an anonymous form, unless the owner provides otherwise.
(d)
Competitive
awards
Based on the results of the research for the portion of
the study described in subsection (b)(1)(A)(ii), and with criteria developed
following public notice and comment, the Secretary may make competitive awards
to utilities, utility regulators, and utility partners to develop and implement
effective and promising programs to provide aggregated whole building energy
consumption information to multitenant building owners.
(e)
Input from
stakeholders
The Secretary shall seek input from stakeholders to
maximize the effectiveness of the actions taken under this section.
(f)
Report
Not
later than 2 years after the date of enactment of this Act, and every 2 years
thereafter, the Secretary shall submit to Congress a report on the progress
made in complying with this section.
(g)
Authorization
of appropriations
There is authorized to be appropriated to carry
out subsection (b) $2,500,000 for each of fiscal years 2014 through 2018, to
remain available until expended.
II
Industrial
efficiency and competitiveness
A
Manufacturing
energy efficiency
201.
Purposes
The purposes of this subtitle are—
(1)
to reform and
reorient the industrial efficiency programs of the Department of Energy;
(2)
to establish a
clear and consistent authority for industrial efficiency programs of the
Department;
(3)
to accelerate the
deployment of technologies and practices that will increase industrial
energy
efficiency and improve productivity;
(4)
to accelerate the
development and demonstration of technologies that will assist the
deployment
goals of the industrial efficiency programs of the Department and increase
manufacturing efficiency;
(5)
to stimulate
domestic economic growth and improve industrial productivity and
competitiveness; and
(6)
to strengthen
partnerships between Federal and State governmental agencies and the
private
and academic sectors.
202.
Future of
Industry program
(a)
In
general
Section 452 of the
Energy Independence and Security Act of 2007 (42 U.S.C. 17111) is amended
by
striking the section heading and inserting the following:
Future of Industry
program.
(b)
Definition of
energy service provider
Section 452(a) of the Energy Independence
and Security Act of 2007 (42 U.S.C. 17111(a)) is amended—
(1)
by redesignating
paragraphs (3) through (5) as paragraphs (4) through (6), respectively;
and
(2)
by inserting
after paragraph (2):
(3)
Energy service
provider
The term energy service provider means any
business providing technology or services to improve the energy
efficiency,
power factor, or load management of a manufacturing site or other
industrial
process in an energy-intensive industry, or any utility operating
under a
utility energy service
project.
.
(c)
Industrial
research and assessment centers
Section 452(e) of the Energy
Independence and Security Act of 2007 (42 U.S.C. 17111(e)) is amended—
(1)
by redesignating
paragraphs (1) through (5) as subparagraphs (A) through (E), respectively,
and
indenting appropriately;
(2)
by striking
The Secretary and inserting the following:
(1)
In
general
The
Secretary
;
(3)
in subparagraph
(A) (as redesignated by paragraph (1)), by inserting before the semicolon
at
the end the following: , including assessments of sustainable
manufacturing goals and the implementation of information technology
advancements for supply chain analysis, logistics, system monitoring,
industrial and manufacturing processes, and other purposes; and
(4)
by adding at the
end the following:
(2)
Coordination
(A)
In
general
To increase the value and capabilities of the industrial
research and assessment centers, the centers shall—
(i)
coordinate with
Manufacturing Extension Partnership Centers of the National
Institute of
Standards and Technology;
(ii)
coordinate with
the Building Technologies Program of the Department of Energy to
provide
building assessment services to manufacturers;
(iii)
increase
partnerships with the National Laboratories of the Department of
Energy to
leverage the expertise and technologies of the National
Laboratories for
national industrial and manufacturing needs;
(iv)
increase
partnerships with energy service providers and technology providers
to leverage
private sector expertise and accelerate deployment of new and
existing
technologies and processes for energy efficiency, power factor, and
load
management;
(v)
identify
opportunities for reducing greenhouse gas emissions; and
(vi)
promote
sustainable manufacturing practices for small- and medium-sized
manufacturers.
(3)
Outreach
The
Secretary shall provide funding for—
(A)
outreach
activities by the industrial research and assessment centers to
inform small-
and medium-sized manufacturers of the information, technologies,
and services
available; and
(B)
coordination
activities by each industrial research and assessment center to
leverage
efforts with—
(i)
Federal and State
efforts;
(ii)
the efforts of
utilities and energy service providers;
(iii)
the efforts of
regional energy efficiency organizations; and
(iv)
the efforts of
other industrial research and assessment centers.
(4)
Workforce
training
(A)
In
general
The Secretary shall pay the Federal share of associated
internship programs under which students work with or for
industries,
manufacturers, and energy service providers to implement the
recommendations of
industrial research and assessment centers.
(B)
Federal
share
The Federal share of the cost of carrying out internship
programs described in subparagraph (A) shall be 50 percent.
(5)
Small business
loans
The Administrator of the Small Business Administration
shall, to the maximum extent practicable, expedite consideration of
applications from eligible small business concerns for loans under
the Small
Business Act (15 U.S.C. 631 et seq.) to implement recommendations
of industrial
research and assessment centers established under paragraph (1).
(6)
Advanced
manufacturing steering committee
The Secretary shall establish an
advisory steering committee to provide recommendations to the
Secretary on
planning and implementation of the Advanced Manufacturing Office of
the
Department of
Energy.
.
203.
Sustainable
manufacturing initiative
(a)
In
general
Part E of title III
of the Energy Policy and Conservation Act (42 U.S.C. 6341) is amended by
adding
at the end the following:
376.
Sustainable
manufacturing initiative
(a)
In
general
As part of the Office of Energy Efficiency and Renewable
Energy, the Secretary, on the request of a manufacturer, shall
conduct onsite
technical assessments to identify opportunities for—
(1)
maximizing
the energy efficiency of industrial processes and cross-cutting
systems;
(2)
preventing
pollution and minimizing waste;
(3)
improving
efficient use of water in manufacturing processes;
(4)
conserving
natural resources; and
(5)
achieving
such other goals as the Secretary determines to be appropriate.
(b)
Coordination
The
Secretary shall carry out the initiative in coordination with the
private
sector and appropriate agencies, including the National Institute
of Standards
and Technology, to accelerate adoption of new and existing
technologies and
processes that improve energy efficiency.
(c)
Research
and development program for sustainable manufacturing and
industrial
technologies and processes
As part of the industrial efficiency
programs of the Department of Energy, the Secretary shall carry out
a joint
industry-government partnership program to research, develop, and
demonstrate
new sustainable manufacturing and industrial technologies and
processes that
maximize the energy efficiency of industrial plants, reduce
pollution, and
conserve natural
resources.
.
(b)
Table of
contents
The table of contents of the Energy Policy and
Conservation Act (42 U.S.C. prec. 6201) is amended by adding at the end of
the
items relating to part E of title III the following:
Sec. 376. Sustainable
manufacturing
initiative.
.
204.
Conforming
amendments
(a)
Section 106 of
the Energy Policy Act of 2005 (42 U.S.C. 15811) is repealed.
(b)
Sections 131,
132, 133, 2103, and 2107 of the Energy Policy Act of 1992 (42 U.S.C. 6348,
6349, 6350, 13453, 13456) are repealed.
(c)
Section 2101(a)
of the Energy Policy Act of 1992 (42 U.S.C. 13451(a)) is amended in the
third
sentence by striking sections 2102, 2103, 2104, 2105, 2106, 2107, and
2108 and inserting sections 2102, 2104, 2105, 2106, and 2108 of
this Act and section 376 of the Energy Policy and Conservation
Act,.
B
Supply
Star
211.
Supply Star
The Energy Policy and Conservation Act is
amended by inserting after section 324A (42 U.S.C. 6294a) the following:
324B.
Supply Star Program
(a)
In general
There is established within the Department
of Energy a Supply Star program to identify and promote practices,
recognize
companies, and, as appropriate, recognize products that use highly
efficient
supply chains in a manner that conserves energy, water, and other
resources.
(b)
Coordination
In carrying out the program described in
subsection (a), the Secretary shall—
(1)
consult with other appropriate agencies;
and
(2)
coordinate efforts with the Energy Star
program established under section 324A.
(c)
Duties
In carrying out the Supply Star program
described in subsection (a), the Secretary shall—
(1)
promote practices, recognize companies,
and, as appropriate, recognize products that comply with the Supply
Star
program as the preferred practices, companies, and products in the
marketplace
for maximizing supply chain efficiency;
(2)
work to enhance industry and public
awareness of the Supply Star program;
(3)
collect and disseminate data on supply
chain energy resource consumption;
(4)
develop and disseminate metrics, processes,
and analytical tools (including software) for evaluating supply
chain energy
resource use;
(5)
develop guidance at the sector level for
improving supply chain efficiency;
(6)
work with domestic and international
organizations to harmonize approaches to analyzing supply chain
efficiency,
including the development of a consistent set of tools, templates,
calculators,
and databases; and
(7)
work with industry, including small
businesses, to improve supply chain efficiency through activities
that
include—
(A)
developing and sharing best practices;
and
(B)
providing opportunities to benchmark supply
chain efficiency.
(d)
Evaluation
In any evaluation of supply chain
efficiency carried out by the Secretary with respect to a specific
product, the
Secretary shall consider energy consumption and resource use
throughout the
entire lifecycle of a product, including production, transport,
packaging, use,
and disposal.
(e)
Grants and Incentives
(1)
In general
The Secretary may award grants or other
forms of incentives on a competitive basis to eligible entities, as
determined
by the Secretary, for the purposes of—
(A)
studying supply chain energy resource
efficiency; and
(B)
demonstrating and achieving reductions in
the energy resource consumption of commercial products through
changes and
improvements to the production supply and distribution chain of the
products.
(2)
Use of information
Any information or data generated as a
result of the grants or incentives described in paragraph (1) shall
be used to
inform the development of the Supply Star Program.
(f)
Training
The Secretary shall use funds to support
professional training programs to develop and communicate methods,
practices,
and tools for improving supply chain efficiency.
(g)
Effect of
outsourcing of American jobs
For purposes of this section, the
outsourcing of American jobs in the production of a product shall
not count as
a positive factor in determining supply chain efficiency.
(h)
Authorization of
Appropriations
There is
authorized to be appropriated to carry out this section $10,000,000
for the
period of fiscal years 2014 through
2023.
.
C
Electric motor
rebate program
221.
Energy saving
motor control, electric motor, and advanced motor systems rebate
program
(a)
Definitions
In
this section:
(1)
Advanced motor
and drive system
The term advanced motor and drive
system means an electric motor and any required associated electronic
control that—
(A)
offers variable
or multiple speed operation;
(B)
offers efficiency
at a rated full load that is greater than the efficiency described for the
equivalent rating in—
(i)
table 12–12 of
National Electrical Manufactures Association (NEMA MG 1–2011); or
(ii)
section 431.446
of National Electrical Manufactures Association (2012); and
(C)
uses—
(i)
permanent magnet
alternating current synchronous motor technology;
(ii)
electronically
commutated motor technology;
(iii)
switched
reluctance motor technology;
(iv)
synchronous
reluctance motor technology; or
(v)
such other motor
that has greater than 1 horsepower and uses a drive systems technology, as
determined by the Secretary.
(2)
Electric
motor
The term electric motor has the meaning given
the term in section 431.12 of title 10, Code of Federal Regulations (as in
effect on the date of enactment of this Act).
(3)
Qualified
product
The term qualified product means—
(A)
a new constant
speed electric motor control that—
(i)
is
attached to an electric motor; and
(ii)
reduces the
energy use of the electric motor by not less than 5 percent; and
(B)
commercial or
industrial machinery or equipment that—
(i)
is
manufactured and incorporates an advanced motor and drive system that has
greater than 1 horsepower into a redesigned machine or equipment that did
not
previously make use of the advanced motor and drive system; or
(ii)
was previously
used and placed back into service in calendar year 2014 or 2015 that
upgrades
the existing machine or equipment with an advanced motor and drive
system.
(b)
Establishment
Not
later than 90 days after the date of enactment of this Act, the Secretary
shall
establish a program to provide rebates for expenditures made by qualified
entities for the purchase and installation of qualified products.
(c)
Qualified
entities
A qualified entity under this section shall be—
(1)
in the case of a
qualified product described in subsection (a)(3)(A), the purchaser of the
qualified product for whom the qualified product is installed; and
(2)
in the case of a
qualified product described in subsection (a)(3)(B)), the manufacturer of
the
machine or equipment that incorporated the advanced motor and drive system
into
the machine or equipment.
(d)
Requirements
(1)
Application
To
be eligible to receive a rebate under this section, a qualified entity
shall
submit to the Secretary or an entity designated by the Secretary an
application
and certification in such form, at such time, and containing such
information
as the Secretary may require, including demonstrated evidence that the
qualified entity purchased a qualified product and—
(A)
in the case of a
qualified product described in subsection (a)(3)(A)—
(i)
demonstrated
evidence that the qualified entity installed the qualified product in
calendar
year 2014 or 2015;
(ii)
demonstrated
evidence that the qualified product reduces motor energy use by not less
than 5
percent, in accordance with procedures approved by the Secretary; and
(iii)
the serial
number, manufacturer, and model number from the nameplate of the installed
motor of the qualified entity on which the qualified product was
installed;
and
(B)
in the case of a
qualified product described in subsection (a)(3)(B)—
(i)
demonstrated
evidence that the manufacturer—
(I)
redesigned a
machine or equipment of a manufacturer that did not previously make use of
an
advanced motor and drive system; or
(II)
upgraded a used
machine or equipment to incorporate an advanced motor and drive system;
(ii)
demonstrated
evidence that the qualified product was sold, installed, or placed back
into
service in calendar year 2014 or 2015; and
(iii)
the serial
number, manufacturer, and model number from the nameplate of the installed
motor of the qualified entity with which the advanced motor and drive
system is
integrated.
(2)
Authorized
amount of rebate
The Secretary may provide to a qualified entity
that has satisfied the requirements of paragraph (1) a rebate the amount
of
which shall be equal to the product obtained by multiplying—
(A)
the nameplate
rated horsepower of—
(i)
the
electric motor to which the new constant speed electric motor control is
attached;
(ii)
the new electric
motor that replaced a previously installed electric motor; or
(iii)
the advanced
electric motor control system; and
(B)
$25.
(3)
Maximum
aggregate amount
No entity shall be entitled to aggregate rebates
under this section in excess of $250,000.
(e)
Authorization
of appropriations
There is authorized to be appropriated to carry
out this section $5,000,000 for each of fiscal years 2014 and 2015, to
remain
available until expended.
D
Transformer
rebate program
231.
Energy
efficient transformer rebate program
(a)
Definition of
qualified transformer
In this section, the term qualified
transformer means a transformer that meets or exceeds the National
Electrical Manufacturers Association (NEMA) Premium Efficiency
designation,
calculated to 2 decimal points, as having 30 percent fewer losses than the
NEMA
TP–1–2002 efficiency standard for a transformer of the same number of
phases
and capacity, as measured in kilovolt-amperes.
(b)
Establishment
Not
later than January 1, 2014, the Secretary shall establish a program under
which
rebates are provided for expenditures made by owners of industrial or
manufacturing facilities, commercial buildings, and multifamily
residential
buildings for the purchase and installation of a new energy efficient
transformers.
(c)
Requirements
(1)
Application
To
be eligible to receive a rebate under this section, an owner shall submit
to
the Secretary an application in such form, at such time, and containing
such
information as the Secretary may require, including demonstrated evidence
that
the owner purchased a qualified transformer.
(2)
Authorized
amount of rebate
For qualified transformers, rebates, in dollars
per kilovolt-ampere (referred to in this paragraph as kVA) shall
be—
(A)
for 3-phase
transformers—
(i)
with a capacity
of not greater than 10 kVA, 15;
(ii)
with a capacity
of not less than 10 kVA and not greater than 100 kVA, the difference
between 15
and the quotient obtained by dividing—
(I)
the difference
between—
(aa)
the
capacity of the transformer in kVA; and
(bb)
10;
by
(II)
9; and
(iii)
with a capacity
greater than or equal to 100 kVA, 5; and
(B)
for single-phase
transformers, 75 percent of the rebate for a 3-phase transformer of the
same
capacity.
(d)
Authorization
of appropriations
There is authorized to be appropriated to carry
out this section $5,000,000 for each of fiscal years 2014 and 2015, to
remain
available until expended.
(e)
Termination of
effectiveness
The authority provided by this section terminates
effective December 31, 2015.
III
Federal agency
energy efficiency
301.
Energy-efficient and
energy-saving information technologies
Section 543 of the National Energy
Conservation Policy Act (42 U.S.C. 8253) is amended—
(1)
by
redesignating the second subsection (f) (relating to large capital energy
investments) as subsection (g); and
(2)
by
adding at the end the following:
(h)
Federal
Implementation Strategy for Energy-efficient and Energy-Saving Information
Technologies
(1)
Definitions
In
this subsection:
(A)
Director
The
term Director means the Director of the Office of Management and
Budget.
(B)
Information
technology
The term information technology has the
meaning given the term in section 11101 of title 40, United States Code.
(2)
Development of
implementation strategy
Not
later than 1 year after the date of enactment of this subsection, each Federal
agency shall collaborate with the Director to develop an implementation
strategy (including best-practices and measurement and verification techniques)
for the maintenance, purchase, and use by the Federal agency of
energy-efficient and energy-saving information technologies.
(3)
Administration
In
developing an implementation strategy, each Federal agency shall
consider—
(A)
advanced metering
infrastructure;
(B)
energy efficient data center strategies and
methods of increasing asset and infrastructure utilization;
(C)
advanced power management tools;
(D)
building information modeling, including
building energy management; and
(E)
secure telework and travel substitution
tools.
(4)
Performance
goals
(A)
In
general
Not later than
September 30, 2014, the Director, in consultation with the Secretary, shall
establish performance goals for evaluating the efforts of Federal agencies in
improving the maintenance, purchase, and use of energy-efficient and
energy-saving information technology systems.
(B)
Best
practices
The Chief Information Officers Council
established under section 3603 of title 44, United States Code, shall
supplement the performance goals established under this paragraph with
recommendations on best practices for the attainment of the performance goals,
to include a requirement for agencies to consider the use of—
(i)
energy savings
performance contracting; and
(ii)
utility energy
services contracting.
(5)
Reports
(A)
Agency
reports
Each Federal agency subject to the requirements of this
subsection shall include in the report of the agency under section 527 of the
Energy Independence and Security Act of 2007 (42 U.S.C. 17143) a description of
the efforts and results of the agency under this subsection.
(B)
OMB Government
efficiency reports and scorecards
Effective beginning not later
than October 1, 2014, the Director shall include in the annual report and
scorecard of the Director required under section 528 of the Energy Independence
and Security Act of 2007 (42 U.S.C. 17144) a description of the efforts and
results of Federal agencies under this subsection.
(C)
Use of existing
reporting structures
The Director may require Federal agencies to
submit any information required to be submitted under this subsection though
reporting structures in use as of the date of enactment of the
Energy Savings and Industrial Competitiveness Act of 2014.
.
302.
Availability
of funds for design updates
Section 3307 of title 40, United States
Code, is amended—
(1)
by redesignating
subsections (d) through (h) as subsections (e) through (i), respectively;
and
(2)
by inserting
after subsection (c) the following:
(d)
Availability of
funds for design updates
(1)
In
general
Subject to paragraph (2), for any project for which
congressional approval is received under subsection (a) and for
which the
design has been substantially completed but construction has not
begun, the
Administrator of General Services may use appropriated funds to
update the
project design to meet applicable Federal building energy
efficiency standards
established under section 305 of the Energy Conservation and
Production Act (42
U.S.C. 6834) and other requirements established under section 3312.
(2)
Limitation
The
use of funds under paragraph (1) shall not exceed 125 percent of
the estimated
energy or other cost savings associated with the updates as
determined by a
life cycle cost analysis under section 544 of the National Energy
Conservation
Policy Act (42 U.S.C.
8254).
.
303.
Energy
efficient data centers
Section
453 of the Energy Independence and Security Act of 2007 (42 U.S.C. 17112) is
amended—
(1)
in subsection (c), by striking paragraph
(1) and inserting the following:
(1)
In
general
Not later than 30
days after the date of enactment of the Energy Savings and Industrial Competitiveness Act of 2014, the Secretary and the Administrator shall—
(A)
designate an established information
technology industry organization to coordinate the program described in
subsection (b); and
(B)
make the designation public, including on
an appropriate website.
;
(2)
by
striking subsections (e) and (f) and inserting the following:
(e)
Study
The Secretary, with assistance from the
Administrator, shall—
(1)
not later than December 31, 2014, make
available to the public an update to the Report to Congress on Server and Data
Center Energy Efficiency published on August 2, 2007, under section 1 of Public
Law 109–431 (120 Stat. 2920), that provides—
(A)
a comparison and
gap analysis of the estimates and projections contained in the original report
with new data regarding the period from 2007 through 2013;
(B)
an analysis considering the impact of
information technologies, to include virtualization and cloud computing, in the
public and private sectors; and
(C)
updated
projections and recommendations for best practices through fiscal year 2020;
and
(2)
collaborate with
the organization designated under subsection (c) in preparing the
report.
(f)
Data center
energy practitioner program
(1)
In
general
The Secretary, in collaboration with the organization
designated under subsection (c) and in consultation with the Administrator for
the Office of E-Government and Information Technology within the Office of
Management and Budget, shall maintain a data center energy practitioner program
that leads to the certification of energy practitioners qualified to evaluate
the energy usage and efficiency opportunities in data centers.
(2)
Evaluations
Each Federal agency shall consider having
the data centers of the agency evaluated every 4 years by energy practitioners
certified pursuant to the program, whenever practicable using certified
practitioners employed by the
agency.
;
(3)
by
redesignating subsection (g) as subsection (j); and
(4)
by
inserting after subsection (f) the following:
(g)
Open data
initiative
(1)
In
general
The Secretary, in collaboration with the organization
designated under subsection (c) and in consultation with the Administrator for
the Office of E-Government and Information Technology within the Office of
Management and Budget, shall establish an open data initiative for Federal data
center energy usage data, with the purpose of making the data available and
accessible in a manner that empowers further data center optimization and
consolidation.
(2)
Administration
In establishing the initiative, the
Secretary shall consider use of the online Data Center Maturity Model.
(h)
International
specifications and metrics
The Secretary, in collaboration with
the organization designated under subsection (c), shall actively participate in
efforts to harmonize global specifications and metrics for data center energy
efficiency.
(i)
Data center
utilization metric
The
Secretary, in collaboration with the organization designated under subsection
(c), shall assist in the development of an efficiency metric that measures the
energy efficiency of the overall data
center.
.
304.
Budget-neutral
demonstration program for energy and water conservation improvements at
multifamily residential units
(a)
Establishment
The
Secretary of Housing and Urban Development (referred to in this section as the
Secretary) shall establish a demonstration program under which,
during the period beginning on the date of enactment of this Act, and ending on
September 30,
2017, the Secretary may enter into budget-neutral, performance-based agreements
that result in a reduction in energy or water costs with such entities as the
Secretary determines to be appropriate under which the entities shall carry out
projects for energy or water conservation improvements at not more than 20,000
residential units in multifamily buildings participating in—
(1)
the
project-based rental assistance program under section 8 of the United States
Housing Act of 1937 (42 U.S.C. 1437f), other than assistance provided under
section 8(o) of that Act;
(2)
the
supportive housing for the elderly program under section 202 of the Housing Act
of 1959 (12 U.S.C. 1701q); or
(3)
the
supportive housing for persons with disabilities program under section
811(d)(2) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C.
8013(d)(2)).
(b)
Requirements
(1)
Payments
contingent on savings
(A)
In
general
The Secretary shall provide to an entity a payment under
an agreement under this section only during applicable years for which an
energy or water cost savings is achieved with respect to the applicable
multifamily portfolio of properties, as determined by the Secretary, in
accordance with subparagraph (B).
(B)
Payment
methodology
(i)
In
general
Each agreement under this section shall include a
pay-for-success provision—
(I)
that
will serve as a payment threshold for the term of the agreement; and
(II)
pursuant to
which the Department of Housing and Urban Development shall share a percentage
of the savings at a level determined by the Secretary that is sufficient to
cover the administrative costs of carrying out this section.
(ii)
Limitations
A
payment made by the Secretary under an agreement under this section
shall—
(I)
be
contingent on documented utility savings; and
(II)
not
exceed the utility savings achieved by the date of the payment, and not
previously paid, as a result of the improvements made under the
agreement.
(C)
Third party
verification
Savings payments made by the Secretary under this
section shall be based on a measurement and verification protocol that includes
at least—
(i)
establishment of
a weather-normalized and occupancy-normalized utility consumption baseline
established preretrofit;
(ii)
annual
third party confirmation of actual utility consumption and cost for owner-paid
utilities;
(iii)
annual third
party validation of the tenant utility allowances in effect during the
applicable year and vacancy rates for each unit type; and
(iv)
annual
third party determination of savings to the Secretary.
(2)
Term
The
term of an agreement under this section shall be not longer than 12
years.
(3)
Entity
eligibility
The Secretary shall—
(A)
establish a
competitive process for entering into agreements under this section; and
(B)
enter into such
agreements only with entities that demonstrate significant experience relating
to—
(i)
financing and
operating properties receiving assistance under a program described in
subsection (a);
(ii)
oversight of
energy and water conservation programs, including oversight of contractors;
and
(iii)
raising capital
for energy and water conservation improvements from charitable organizations or
private investors.
(4)
Geographical
diversity
Each agreement entered into under this section shall
provide for the inclusion of properties with the greatest feasible regional and
State variance.
(c)
Plan and
reports
(1)
Plan
Not
later than 90 days after the date of enactment of this Act, the Secretary shall
submit to the Committees on Appropriations of the House of Representatives and
the Senate a detailed plan for the implementation of this section.
(2)
Reports
Not
later than 1 year after the date of enactment of this Act, and annually
thereafter, the Secretary shall—
(A)
conduct an
evaluation of the program under this section; and
(B)
submit to
Congress a report describing each evaluation conducted under subparagraph
(A).
(d)
Funding
For
each fiscal year during which an agreement under this section is in effect, the
Secretary may use to carry out this section any funds appropriated to the
Secretary for the renewal of contracts under a program described in subsection
(a).
IV
Regulatory provisions
A
Third-party
certification under Energy Star program
401.
Third-party
certification under Energy Star program
Section 324A of the Energy Policy and
Conservation Act (42 U.S.C. 6294a) is amended by adding at the end the
following:
(e)
Third-party
certification
(1)
In
general
Subject to paragraph (2), not later than 180 days after
the date of enactment of this subsection, the Administrator shall revise the
certification requirements for the labeling of consumer, home, and office
electronic products for program partners that have complied with all
requirements of the Energy Star program for a period of at least 18
months.
(2)
Administration
In
the case of a program partner described in paragraph (1), the new requirements
under paragraph (1)—
(A)
shall not require
third-party certification for a product to be listed; but
(B)
may require that
test data and other product information be submitted to facilitate product
listing and performance verification for a sample of products.
(3)
Third
parties
Nothing in this subsection prevents the Administrator
from using third parties in the course of the administration of the Energy Star
program.
(4)
Termination
(A)
In
general
Subject to subparagraph (B), an exemption from
third-party certification provided to a program partner under paragraph (1)
shall terminate if the program partner is found to have violated program
requirements with respect to at least 2 separate models during a 2-year
period.
(B)
Resumption
A
termination for a program partner under subparagraph (A) shall cease if the
program partner complies with all Energy Star program requirements for a period
of at least 3
years.
.
B
Federal green buildings
411.
High-performance
green Federal buildings
Section 436(h) of the Energy Independence
and Security Act of 2007 (42 U.S.C. 17092(h)) is amended—
(1)
in
the subsection heading, by striking system and inserting
systems;
(2)
by
striking paragraph (1) and inserting the following:
(1)
In
general
Based on an ongoing review, the Federal Director shall
identify and shall provide to the Secretary pursuant to section 305(a)(3)(D) of
the Energy Conservation and Production Act (42 U.S.C. 6834(a)(3)(D)), a list of
those certification systems that the Director identifies as the most likely to
encourage a comprehensive and environmentally sound approach to certification
of green buildings.
;
and
(3)
in
paragraph (2)—
(A)
in the matter
preceding subparagraph (A), by striking system and inserting
systems;
(B)
by striking
subparagraph (A) and inserting the following:
(A)
an ongoing review
provided to the Secretary pursuant to section 305(a)(3)(D) of the Energy
Conservation and Production Act (42 U.S.C. 6834(a)(3)(D)), which shall—
(i)
be
carried out by the Federal Director to compare and evaluate standards;
and
(ii)
allow any
developer or administrator of a rating system or certification system to be
included in the
review;
;
(C)
in subparagraph
(E)(v), by striking and after the semicolon at the end;
(D)
in subparagraph
(F), by striking the period at the end and inserting a semicolon; and
(E)
by adding at the
end the following:
(G)
a finding that,
for all credits addressing grown, harvested, or mined materials, the system
does not discriminate against the use of domestic products that have obtained
certifications of responsible sourcing; and
(H)
a finding that
the system incorporates life-cycle assessment as a credit
pathway.
.
C
Water heaters
421.
Grid-enabled water
heaters
Part B of title III of
the Energy Policy and Conservation Act (42 U.S.C. 6291 et seq.) is
amended—
(1)
in
section 325(e), by adding at the end the following:
(6)
Additional
standards for grid-enabled water heaters
(A)
Definitions
In
this paragraph:
(i)
Activation
key
The term activation key means a physical device
or control directly on the water heater, a software code, or a digital
communication means—
(I)
that must be
activated to enable the product to operate continuously and at its designed
specifications and capabilities; and
(II)
without which
activation the product will provide not greater than 50 percent of the rated
first hour delivery of hot water certified by the manufacturer.
(ii)
Grid-enabled
water heater
The term grid-enabled water heater
means an electric resistance water heater—
(I)
with a rated
storage tank volume of more than 75 gallons;
(II)
manufactured on
or after April 16, 2015;
(III)
that
has—
(aa)
an
energy factor of not less than 1.061 minus the product obtained by
multiplying—
(AA)
the
rated storage volume of the tank, expressed in gallons; and
(BB)
0.00168;
or
(bb)
an
efficiency level equivalent to the energy factor under item (aa) and expressed
as a uniform energy descriptor based on the revised test procedure for water
heaters described in paragraph (5);
(IV)
equipped by the
manufacturer with an activation key; and
(V)
that bears a
permanent label applied by the manufacturer that—
(aa)
is
made of material not adversely affected by water;
(bb)
is
attached by means of non-water-soluble adhesive; and
(cc)
advises
purchasers and end-users of the intended and appropriate use of the product
with the following notice printed in 16.5 point Arial Narrow Bold
font:
IMPORTANT INFORMATION:
This water heater is intended only for use as part of an electric thermal
storage or demand response program. It will not provide adequate hot water
unless enrolled in such a program and activated by your utility company or
another program operator. Confirm the availability of a program in your local
area before purchasing or installing this product..
(B)
Requirement
The
manufacturer or private labeler shall provide the activation key only to
utilities or other companies operating electric thermal storage or demand
response programs that use grid-enabled water heaters.
(C)
Reports
(i)
Manufacturers
The
Secretary shall require each manufacturer of grid-enabled water heaters to
report to the Secretary annually the number of grid-enabled water heaters that
the manufacturer ships each year.
(ii)
Operators
The
Secretary shall require utilities and other demand response and thermal storage
program operators to report annually the number of grid-enabled water heaters
activated for their programs using forms of the Energy Information Agency or
using such other mechanism that the Secretary determines appropriate after an
opportunity for notice and comment.
(iii)
Confidentiality
requirements
The Secretary shall treat shipment data reported by
manufacturers as confidential business information.
(D)
Publication of
information
(i)
In
general
In 2017 and 2019, the Secretary shall publish an analysis
of the data collected under subparagraph (C) to assess the extent to which
shipped products are put into use in demand response and thermal storage
programs.
(ii)
Prevention of
product diversion
If the Secretary determines that sales of
grid-enabled water heaters exceed by 15 percent or greater the number of such
products activated for use in demand response and thermal storage programs
annually, the Secretary shall, after opportunity for notice and comment,
establish procedures to prevent product diversion for non-program
purposes.
(E)
Compliance
(i)
In
general
Subparagraphs (A) through (D) shall remain in effect
until the Secretary determines under this section that grid-enabled water
heaters do not require a separate efficiency requirement.
(ii)
Effective
date
If the Secretary exercises the authority described in clause
(i) or amends the efficiency requirement for grid-enabled water heaters, that
action will take effect on the date described in subsection
(m)(4)(A)(ii).
(iii)
Consideration
In
carrying out this section with respect to electric water heaters, the Secretary
shall consider the impact on thermal storage and demand response programs,
including the consequent impact on energy savings, electric bills, electric
reliability, integration of renewable resources, and the environment.
(iv)
Requirements
In
carrying out this subparagraph, the Secretary shall require that grid-enabled
water heaters be equipped with communication capability to enable the
grid-enabled water heaters to participate in ancillary services programs if the
Secretary determines that the technology is available, practical, and
cost-effective.
;
and
(2)
in
section 332—
(A)
in paragraph (5),
by striking or at the end;
(B)
in the first
paragraph (6), by striking the period at the end and inserting a
semicolon;
(C)
by redesignating
the second paragraph (6) as paragraph (7);
(D)
in subparagraph
(B) of paragraph (7) (as so redesignated), by striking the period at the end
and inserting ; or; and
(E)
by adding at the
end the following:
(8)
with respect to
grid-enabled water heaters that are not used as part of an electric thermal
storage or demand response program, for any person knowingly and
repeatedly—
(A)
to distribute
activation keys for those grid-enabled water heaters;
(B)
otherwise to
enable the full operation of those grid-enabled water heaters; or
(C)
to remove or
render illegible the labels of those grid-enabled water
heaters.
.
D
Energy
performance requirement for Federal buildings
431.
Energy
performance requirement for Federal buildings
Section 543 of the National Energy
Conservation Policy Act (42 U.S.C. 8253) is amended—
(1)
by
striking subsection (a) and inserting the following:
(a)
Energy
performance requirement for Federal buildings
(1)
Requirement
Subject
to paragraph (2), each agency shall apply energy conservation measures to, and
shall improve the design for the construction of, the Federal buildings of the
agency (including each industrial or laboratory facility) so that the energy
consumption per gross square foot of the Federal buildings of the agency in
fiscal years 2006 through 2017 is reduced, as compared with the energy
consumption per gross square foot of the Federal buildings of the agency in
fiscal year 2003, by the percentage specified in the following table:
Percentage
Fiscal Year
Reduction
2006
2
2007
4
2008
9
2009
12
2010
15
2011
18
2012
21
2013
24
2014
27
2015
30
2016
33
2017
36
(2)
Exclusion for
buildings with energy intensive activities
(A)
In
general
An agency may exclude from the requirements of paragraph
(1) any building (including the associated energy consumption and gross square
footage) in which energy intensive activities are carried out.
(B)
Reports
Each
agency shall identify and list in each report made under section 548(a) the
buildings designated by the agency for exclusion under subparagraph (A).
(3)
Review
Not
later than December 31, 2017, the Secretary shall—
(A)
review the
results of the implementation of the energy performance requirements
established under paragraph (1); and
(B)
based on the
review conducted under subparagraph (A), submit to Congress a report that
addresses the feasibility of requiring each agency to apply energy conservation
measures to, and improve the design for the construction of, the Federal
buildings of the agency (including each industrial or laboratory facility) so
that the energy consumption per gross square foot of the Federal buildings of
the agency in each of fiscal years 2018 through 2030 is reduced, as compared
with the energy consumption per gross square foot of the Federal buildings of
the agency in the prior fiscal year, by 3
percent.
;
and
(2)
in
subsection (f)—
(A)
in paragraph
(1)—
(i)
by
redesignating subparagraphs (E), (F), and (G) as subparagraphs (F), (G), and
(H), respectively; and
(ii)
by
inserting after subparagraph (D) the following:
(E)
Ongoing
commissioning
The term ongoing commissioning means
an ongoing process of commissioning using monitored data, the primary goal of
which is to ensure continuous optimum performance of a facility, in accordance
with design or operating needs, over the useful life of the facility, while
meeting facility occupancy
requirements.
;
(B)
in paragraph (2),
by adding at the end the following:
(C)
Energy
management system
An energy manager designated under subparagraph
(A) shall consider use of a system to manage energy use at the facility and
certification of the facility in accordance with the International Organization
for Standardization standard numbered 50001 and entitled Energy
Management
Systems.
;
(C)
by striking
paragraphs (3) and (4) and inserting the following:
(3)
Energy and
water evaluations and commissioning
(A)
Evaluations
Except
as provided in subparagraph (B), effective beginning on the date that is 180
days after the date of enactment of the Energy Savings and Industrial Competitiveness Act of 2014, and annually thereafter, each energy manager shall
complete, for each calendar year, a comprehensive energy and water evaluation
and recommissioning or retrocommissioning for approximately 25 percent of the
facilities of each agency that meet the criteria under paragraph (2)(B) in a
manner that ensures that an evaluation of each facility is completed at least
once every 4 years.
(B)
Exceptions
An
evaluation and recommissioning shall not be required under subparagraph (A)
with respect to a facility that—
(i)
has
had a comprehensive energy and water evaluation during the 8-year period
preceding the date of the evaluation;
(ii)
(I)
has been commissioned,
recommissioned, or retrocommissioned during the 10-year period preceding the
date of the evaluation; or
(II)
is under ongoing commissioning;
(iii)
has
not had a major change in function or use since the previous evaluation and
commissioning;
(iv)
has
been benchmarked with public disclosure under paragraph (8) within the year
preceding the evaluation; and
(v)
(I)
based on the
benchmarking, has achieved at a facility level the most recent cumulative
energy savings target under subsection (a) compared to the earlier of—
(aa)
the date of the most recent
evaluation; or
(bb)
the date—
(AA)
of the most recent commissioning,
recommissioning, or retrocommissioning; or
(BB)
on which ongoing commissioning began;
or
(II)
has a long-term contract in place
guaranteeing energy savings at least as great as the energy savings target
under subclause (I).
(4)
Implementation
of identified energy and water efficiency measures
(A)
In
general
Not later than 2 years after the date of completion of
each evaluation under paragraph (3), each energy manager may—
(i)
implement any
energy- or water-saving measure that the Federal agency identified in the
evaluation conducted under paragraph (3) that is life-cycle cost effective;
and
(ii)
bundle
individual measures of varying paybacks together into combined projects.
(B)
Measures not
implemented
The energy manager shall, as part of the
certification system under paragraph (7), explain the reasons why any
life-cycle cost effective measures were not implemented under subparagraph (A)
using guidelines developed by the
Secretary.
;
and
(D)
in paragraph
(7)(C), by adding at the end the following:
(iii)
Summary
report
The Secretary shall make available a report that
summarizes the information tracked under subparagraph (B)(i) by each agency
and, as applicable, by each type of
measure.
.
432.
Federal
building energy efficiency performance standards; certification system and
level for green buildings
(a)
Definitions
Section
303 of the Energy Conservation and Production Act (42 U.S.C. 6832) (as amended by
section 101(a)) is
amended—
(1)
in
paragraph (6), by striking to be constructed and inserting
constructed or altered; and
(2)
by
adding at the end the following:
(19)
Major
renovation
The term major renovation means a
modification of building energy systems sufficiently extensive that the whole
building can meet energy standards for new buildings, based on criteria to be
established by the Secretary through notice and comment
rulemaking.
.
(b)
Federal
Building Efficiency Standards
Section 305 of the Energy
Conservation and Production Act (42 U.S.C. 6834) is
amended—
(1)
in
subsection (a)(3)—
(A)
by striking
(3)(A) Not later than and all that follows through subparagraph
(B) and inserting the following:
(3)
Revised Federal
building energy efficiency performance standards; certification for green
buildings
(A)
Revised federal
building energy efficiency performance standards
(i)
In
general
Not later than 1 year after the date of enactment of the
Energy Savings and Industrial Competitiveness Act of 2014, the Secretary shall
establish, by rule, revised Federal building energy efficiency performance
standards that require that—
(I)
new Federal
buildings and alterations and additions to existing Federal buildings—
(aa)
meet
or exceed the most recent revision of the International Energy Conservation
Code (in the case of residential buildings) or ASHRAE Standard 90.1 (in the
case of commercial buildings) as of the date of enactment of the Energy Savings and Industrial Competitiveness Act of 2014; and
(bb)
meet
or exceed the energy provisions of State and local building codes applicable to
the building, if the codes are more stringent than the International Energy
Conservation Code or ASHRAE Standard 90.1, as applicable;
(II)
unless
demonstrated not to be life-cycle cost effective for new Federal buildings and
Federal buildings with major renovations—
(aa)
the
buildings be designed to achieve energy consumption levels that are at least 30
percent below the levels established in the version of the ASHRAE Standard or
the International Energy Conservation Code, as appropriate, that is applied
under subclause (I)(aa), including updates under subparagraph (B); and
(bb)
sustainable
design principles are applied to the location, siting, design, and construction
of all new Federal buildings and replacement Federal buildings;
(III)
if water is
used to achieve energy efficiency, water conservation technologies shall be
applied to the extent that the technologies are life-cycle cost effective;
(IV)
if life-cycle
cost effective, as compared to other reasonably available technologies, not
less than 30 percent of the hot water demand for each new Federal building or
Federal building undergoing a major renovation be met through the installation
and use of solar hot water heaters; and
(V)
in addition to complying with the other requirements under this paragraph, unless found not to be
life-cycle cost effective, new Federal buildings that are at least 5,000
square feet in size shall comply with the Guiding Principles for
Sustainable New Construction and Major Renovations (as established in the
document entitled High Performance and Sustainable Buildings Guidance
(Final) and dated December 1, 2008).
(ii)
Limitation
Clause
(i)(I) shall not apply to unaltered portions of existing Federal buildings and
systems that have been added to or
altered.
(B)
Updates
Not later than 1 year after the date of approval of each subsequent revision of the ASHRAE Standard
or the International Energy Conservation Code, as appropriate, the
Secretary shall determine whether the revised standards established under
subparagraph (A) should be updated to reflect the revisions, based on the
energy savings and life-cycle cost-effectiveness of the revisions.
;
(B)
in subparagraph
(C), by striking (C) In the budget request and inserting the
following:
(C)
Budget
request
In the budget
request
;
and
(C)
by striking subparagraph (D) and inserting the following:
(D)
Certification for green buildings
(i)
Sustainable design principles
Sustainable design principles shall be applied to the
siting, design, and construction of buildings covered by this subparagraph.
(ii)
Selection of
certification systems
The Secretary, after reviewing the findings
of the Federal Director under section 436(h) of the Energy Independence and
Security Act of 2007 (42 U.S.C. 17092(h)), in consultation with the
Administrator of General Services, and in consultation with the Secretary of
Defense relating to those facilities under the custody and control of the
Department of Defense, shall determine those certification systems for green
commercial and residential buildings that the Secretary determines to be the
most likely to encourage a comprehensive and environmentally sound approach to
certification of green buildings.
(iii)
Basis for
selection
The determination of the certification systems under clause (ii) shall be
based on ongoing review of the findings of the Federal Director under section
436(h) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17092(h))
and the criteria described in clause (v).
(iv)
Administration
In
determining certification systems under this subparagraph, the Secretary
shall—
(I)
make a separate
determination for all or part of each system;
(II)
confirm that the
criteria used to support the selection of building products, materials, brands,
and technologies are fair and neutral (meaning that such criteria are based on
an objective assessment of relevant technical data), do not prohibit, disfavor,
or discriminate against selection based on technically inadequate information
to inform human or environmental risk, and are expressed to prefer performance
measures whenever performance measures may reasonably be used in lieu of
prescriptive measures; and
(III)
use
environmental and health criteria that are based on risk assessment methodology
that is generally accepted by the applicable scientific
disciplines.
(v)
Considerations
In determining the green building certification systems under this subparagraph, the Secretary
shall take into consideration—
(I)
the ability and availability of assessors and auditors to independently verify the criteria and
measurement of metrics at the scale necessary to implement this
subparagraph;
(II)
the ability of the applicable certification organization to collect and reflect public comment;
(III)
the ability of the standard to be developed and revised through a consensus-based process;
(IV)
an evaluation of the robustness of the criteria for a high-performance green building, which shall
give credit for promoting—
(aa)
efficient and sustainable use of water, energy, and other natural resources;
(bb)
use of renewable energy sources;
(cc)
improved indoor environmental quality through enhanced indoor air quality, thermal comfort,
acoustics, day lighting, pollutant source control, and use of low-emission
materials and building system controls; and
(dd)
such other criteria as the Secretary determines to be appropriate; and
(V)
national recognition within the building industry.
(vi)
Review
The Secretary, in consultation with the Administrator of General Services and the Secretary of
Defense, shall conduct an ongoing review to evaluate and compare private
sector green building certification systems, taking into account—
(I)
the criteria described in clause (v); and
(II)
the identification made by the Federal Director under section 436(h) of the Energy Independence and
Security Act of 2007 (42 U.S.C. 17092(h)).
(vii)
Exclusions
(I)
In general
Subject to subclause (II), if a certification system fails to meet the review requirements of
clause (v), the Secretary shall—
(aa)
identify the portions of the system, whether prerequisites, credits, points, or otherwise, that
meet the review criteria of clause (v);
(bb)
determine the portions of the system that are suitable for use; and
(cc)
exclude all other portions of the system from identification and use.
(II)
Entire systems
The Secretary shall exclude an entire system from use if an exclusion under subclause (I)—
(aa)
impedes the integrated use of the system;
(bb)
creates disparate review criteria or unequal point access for competing materials; or
(cc)
increases agency costs of the use.
(viii)
Internal certification processes
The Secretary may by rule allow Federal agencies to develop internal certification processes, using
certified professionals, in lieu of certification by certification
entities identified under clause (ii).
(ix)
Privatized military housing
With respect to privatized military housing, the Secretary of Defense, after consultation with the
Secretary may, through rulemaking, develop
alternative certification systems and levels than the systems and levels
identified under clause (ii) that achieve an equivalent result in terms
of energy savings, sustainable design, and green building performance.
(x)
Water conservation technologies
In addition to any use of water conservation technologies otherwise required by this section, water
conservation technologies shall be applied to the extent that the
technologies are life-cycle cost-effective.
(xi)
Effective date
(I)
Determinations made after December 31, 2015
The amendments made by section 432(b)(1)(C) of the Energy Savings and Industrial Competitiveness
Act of 2014 shall apply to any determination made by a Federal agency
after December 31, 2015.
(II)
Determinations made on or before December 31, 2015
This subparagraph (as in effect on the day before the date of enactment of the Energy Savings and
Industrial Competitiveness Act of 2014) shall apply to any use of a
certification system for green commercial and residential buildings by a
Federal agency on or before December 31, 2015.
; and
(2)
by
striking subsections (c) and (d) and inserting the following:
(c)
Periodic
review
The Secretary shall—
(1)
once every 5
years, review the Federal building energy standards established under this
section; and
(2)
on
completion of a review under paragraph (1), if the Secretary
determines that significant energy savings would
result, upgrade the standards to include
all new energy efficiency and renewable energy measures that are
technologically feasible and economically justified.
.
433.
Enhanced
energy efficiency underwriting
(a)
Definitions
In this section:
(1)
Covered
agency
The term covered agency—
(A)
means—
(i)
an executive agency, as that term is
defined in section 102 of title 31, United States Code; and
(ii)
any other agency of the Federal Government;
and
(B)
includes any enterprise, as that term is
defined under section 1303 of the Federal Housing Enterprises Financial Safety
and Soundness Act of 1992 (12 U.S.C. 4502).
(2)
Covered
loan
The term covered
loan means a loan secured by a home that is issued, insured, purchased,
or securitized by a covered agency.
(3)
Homeowner
The term homeowner means the
mortgagor under a covered loan.
(4)
Mortgagee
The term mortgagee
means—
(A)
an original lender under a covered loan or
the holder of a covered loan at the time at which that mortgage transaction is
consummated;
(B)
any affiliate, agent, subsidiary,
successor, or assignee of an original lender under a covered loan or the holder
of a covered loan at the time at which that mortgage transaction is
consummated;
(C)
any servicer of a covered loan; and
(D)
any subsequent purchaser, trustee, or
transferee of any covered loan issued by an original lender.
(5)
Secretary
The term Secretary means the
Secretary of Housing and Urban Development.
(6)
Servicer
The term servicer means the
person or entity responsible for the servicing of a covered loan, including the
person or entity who makes or holds a covered loan if that person or entity
also services the covered loan.
(7)
Servicing
The term servicing has the
meaning given the term in section 6(i) of the Real Estate Settlement Procedures
Act of 1974 (12 U.S.C. 2605(i)).
(b)
Findings and
purposes
(1)
Findings
Congress finds that—
(A)
energy costs for homeowners are a
significant and increasing portion of their household budgets;
(B)
household energy use can vary substantially
depending on the efficiency and characteristics of the house;
(C)
expected energy cost savings are important
to the value of the house;
(D)
the current test for loan affordability
used by most covered agencies, commonly known as the
debt-to-income test, is inadequate because it does not take into
account the expected energy cost savings for the homeowner of an energy
efficient home; and
(E)
another loan limitation, commonly known as
the loan-to-value test, is tied to the appraisal, which often does
not adjust for efficiency features of houses.
(2)
Purposes
The purposes of this section are to—
(A)
improve the accuracy of mortgage
underwriting by Federal mortgage agencies by ensuring that energy cost savings
are included in the underwriting process as described below, and thus to reduce
the amount of energy consumed by homes and to facilitate the creation of energy
efficiency retrofit and construction jobs;
(B)
require a covered agency to include the
expected energy cost savings of a homeowner as a regular expense in the tests,
such as the debt-to-income test, used to determine the ability of the loan
applicant to afford the cost of homeownership for all loan programs; and
(C)
require a covered agency to include the
value home buyers place on the energy efficiency of a house in tests used to
compare the mortgage amount to home value, taking precautions to avoid
double-counting and to support safe and sound lending.
(c)
Enhanced energy
efficiency underwriting criteria
(1)
In
general
Not later than 1 year
after the date of enactment of this Act, the Secretary shall, in consultation
with the advisory group established in subsection (f)(2), develop and issue
guidelines for a covered agency to implement enhanced loan eligibility
requirements, for use when testing the ability of a loan applicant to repay a
covered loan, that account for the expected energy cost savings for a loan
applicant at a subject property, in the manner set forth in paragraphs (2) and
(3).
(2)
Requirements To
account for energy cost savings
The enhanced loan eligibility requirements
under paragraph (1) shall require that, for all covered loans for which an
energy efficiency report is voluntarily provided to the mortgagee by the
mortgagor, the covered agency and the mortgagee shall take into consideration
the estimated energy cost savings expected for the owner of the subject
property in determining whether the loan applicant has sufficient income to
service the mortgage debt plus other regular expenses. To the extent that a
covered agency uses a test such as a debt-to-income test that includes certain
regular expenses, such as hazard insurance and property taxes, the expected
energy cost savings shall be included as an offset to these expenses. Energy
costs to be assessed include the cost of electricity, natural gas, oil, and any
other fuel regularly used to supply energy to the subject property.
(3)
Determination
of estimated energy cost savings
(A)
In
general
The guidelines to be
issued under paragraph (1) shall include instructions for the covered agency to
calculate estimated energy cost savings using—
(i)
the
energy efficiency report;
(ii)
an
estimate of baseline average energy costs; and
(iii)
additional
sources of information as determined by the Secretary.
(B)
Report
requirements
For the purposes of subparagraph (A), an energy
efficiency report shall—
(i)
estimate the
expected energy cost savings specific to the subject property, based on
specific information about the property;
(ii)
be
prepared in accordance with the guidelines to be issued under paragraph (1);
and
(iii)
be
prepared—
(I)
in
accordance with the Residential Energy Service Network’s Home Energy Rating
System (commonly known as HERS) by an individual certified by the
Residential Energy Service Network, unless the Secretary finds that the use of
HERS does not further the purposes of this section; or
(II)
by
other methods approved by the Secretary, in consultation with the Secretary of
Energy and the advisory group established in subsection (f)(2), for use under
this section, which shall include a third-party quality assurance
procedure.
(C)
Use by
appraiser
If an energy efficiency report is used under paragraph
(2), the energy efficiency report shall be provided to the appraiser to
estimate the energy efficiency of the subject property and for potential
adjustments for energy efficiency.
(4)
Required
disclosure to consumer for a home with an energy efficiency
report
If an energy efficiency report is used under paragraph
(2), the guidelines to be issued under paragraph (1) shall require the
mortgagee to—
(A)
inform the loan
applicant of the expected energy costs as estimated in the energy efficiency
report, in a manner and at a time as prescribed by the Secretary, and if
practicable, in the documents delivered at the time of loan application;
and
(B)
include the
energy efficiency report in the documentation for the loan provided to the
borrower.
(5)
Required
disclosure to consumer for a home without an energy efficiency
report
If an energy efficiency report is not used under paragraph
(2), the guidelines to be issued under paragraph (1) shall require the
mortgagee to inform the loan applicant in a manner and at a time as prescribed
by the Secretary, and if practicable, in the documents delivered at the time of
loan application of—
(A)
typical energy
cost savings that would be possible from a cost-effective energy upgrade of a
home of the size and in the region of the subject property;
(B)
the impact the
typical energy cost savings would have on monthly ownership costs of a typical
home;
(C)
the impact on the
size of a mortgage that could be obtained if the typical energy cost savings
were reflected in an energy efficiency report; and
(D)
resources for
improving the energy efficiency of a home.
(6)
Pricing of
loans
(A)
In
general
A covered agency may price covered loans originated under
the enhanced loan eligibility requirements required under this section in
accordance with the estimated risk of the loans.
(B)
Imposition of
certain material costs, impediments, or penalties
In the absence
of a publicly disclosed analysis that demonstrates significant additional
default risk or prepayment risk associated with the loans, a covered agency
shall not impose material costs, impediments, or penalties on covered loans
merely because the loan uses an energy efficiency report or the enhanced loan
eligibility requirements required under this section.
(7)
Limitations
(A)
In general
A covered agency may price covered loans originated under the enhanced loan eligibility
requirements required under this section in accordance with the estimated
risk of those loans.
(B)
Prohibited actions
A
covered agency shall not—
(i)
modify existing
underwriting criteria or adopt new underwriting criteria that intentionally
negate or reduce the impact of the requirements or resulting benefits that are
set forth or otherwise derived from the enhanced loan eligibility requirements
required under this subsection; or
(ii)
impose greater
buy back requirements, credit overlays, or insurance requirements, including
private mortgage insurance, on covered loans merely because the loan uses an
energy efficiency report or the enhanced loan eligibility requirements required
under this subsection.
(8)
Applicability
and implementation date
Not later than 3 years after the date of
enactment of this Act, and before December 31, 2016, the enhanced loan
eligibility requirements required under this subsection shall be implemented by
each covered agency to—
(A)
apply to any
covered loan for the sale, or refinancing of any loan for the sale, of any
home;
(B)
be available on
any residential real property (including individual units of condominiums and
cooperatives) that qualifies for a covered loan; and
(C)
provide
prospective mortgagees with sufficient guidance and applicable tools to
implement the required underwriting methods.
(d)
Enhanced energy
efficiency underwriting valuation guidelines
(1)
In
general
Not later than 1 year after the date of enactment of this
Act, the Secretary shall—
(A)
in consultation
with the Federal Financial Institutions Examination Council and the advisory
group established in subsection (f)(2), develop and issue guidelines for a
covered agency to determine the maximum permitted loan amount based on the
value of the property for all covered loans made on properties with an energy
efficiency report that meets the requirements of subsection (c)(3)(B);
and
(B)
in consultation
with the Secretary of Energy, issue guidelines for a covered agency to
determine the estimated energy savings under paragraph (3) for properties with
an energy efficiency report.
(2)
Requirements
The
enhanced energy efficiency underwriting valuation guidelines required under
paragraph (1) shall include—
(A)
a
requirement that if an energy efficiency report that meets the requirements of
subsection (c)(3)(B) is voluntarily provided to the mortgagee, such report
shall be used by the mortgagee or covered agency to determine the estimated
energy savings of the subject property; and
(B)
a
requirement that the estimated energy savings of the subject property be added
to the appraised value of the subject property by a mortgagee or covered agency
for the purpose of determining the loan-to-value ratio of the subject property,
unless the appraisal includes the value of the overall energy efficiency of the
subject property, using methods to be established under the guidelines issued
under paragraph (1).
(3)
Determination
of estimated energy savings
(A)
Amount of
energy savings
The amount of estimated energy savings shall be
determined by calculating the difference between the estimated energy costs for
the average comparable houses, as determined in guidelines to be issued under
paragraph (1), and the estimated energy costs for the subject property based
upon the energy efficiency report.
(B)
Duration of
energy savings
The duration of the estimated energy savings shall
be based upon the estimated life of the applicable equipment, consistent with
the rating system used to produce the energy efficiency report.
(C)
Present value
of energy savings
The present value of the future savings shall
be discounted using the average interest rate on conventional 30-year
mortgages, in the manner directed by guidelines issued under paragraph
(1).
(4)
Ensuring
consideration of energy efficient features
Section 1110 of the
Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C.
3339) is amended—
(A)
in paragraph (2),
by striking ; and and inserting a semicolon; and
(B)
in paragraph (3),
by striking the period at the end and inserting ; and and
inserting after paragraph (3) the following:
(4)
that State
certified and licensed appraisers have timely access, whenever practicable, to
information from the property owner and the lender that may be relevant in
developing an opinion of value regarding the energy- and water-saving
improvements or features of a property, such as—
(A)
labels or ratings
of buildings;
(B)
installed
appliances, measures, systems or technologies;
(C)
blueprints;
(D)
construction
costs;
(E)
financial or
other incentives regarding energy- and water-efficient components and systems
installed in a property;
(F)
utility
bills;
(G)
energy
consumption and benchmarking data; and
(H)
third-party
verifications or representations of energy and water efficiency performance of
a property, observing all financial privacy requirements adhered to by
certified and licensed appraisers, including section 501 of the
Gramm-Leach-Bliley Act (15 U.S.C. 6801).
Unless a
property owner consents to a lender, an appraiser, in carrying out the
requirements of paragraph (4), shall not have access to the commercial or
financial information of the owner that is privileged or
confidential.
.
(5)
Transactions
requiring state certified appraisers
Section 1113 of the
Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C.
3342) is amended—
(A)
in paragraph (1),
by inserting before the semicolon the following: , or any real property
on which the appraiser makes adjustments using an energy efficiency
report; and
(B)
in paragraph (2),
by inserting after atypical the following: , or an
appraisal on which the appraiser makes adjustments using an energy efficiency
report..
(6)
Protections
(A)
Authority To
impose limitations
The guidelines to be issued under paragraph
(1) shall include such limitations and conditions as determined by the
Secretary to be necessary to protect against meaningful under or over valuation
of energy cost savings or duplicative counting of energy efficiency features or
energy cost savings in the valuation of any subject property that is used to
determine a loan amount.
(B)
Additional
authority
At the end of the 7-year period following the
implementation of enhanced eligibility and underwriting valuation requirements
under this section, the Secretary may modify or apply additional exceptions to
the approach described in paragraph (2), where the Secretary finds that the
unadjusted appraisal will reflect an accurate market value of the efficiency of
the subject property or that a modified approach will better reflect an
accurate market value.
(7)
Applicability
and implementation date
Not later than 3 years after the date of
enactment of this Act, and before December 31, 2016, each covered agency shall
implement the guidelines required under this subsection, which shall—
(A)
apply to any
covered loan for the sale, or refinancing of any loan for the sale, of any
home; and
(B)
be available on
any residential real property, including individual units of condominiums and
cooperatives, that qualifies for a covered loan.
(e)
Monitoring
Not later than 1 year after the date on
which the enhanced eligibility and underwriting valuation requirements are
implemented under this section, and every year thereafter, each covered agency
with relevant activity shall issue and make available to the public a report
that—
(1)
enumerates the number of covered loans of
the agency for which there was an energy efficiency report, and that used
energy efficiency appraisal guidelines and enhanced loan eligibility
requirements;
(2)
includes the default rates and rates of
foreclosures for each category of loans; and
(3)
describes the
risk premium, if any, that the agency has priced into covered loans for which
there was an energy efficiency report.
(f)
Rulemaking
(1)
In
general
The Secretary shall prescribe regulations to carry out
this section, in consultation with the Secretary of Energy and the advisory
group established in paragraph (2), which may contain such classifications,
differentiations, or other provisions, and may provide for such proper
implementation and appropriate treatment of different types of transactions, as
the Secretary determines are necessary or proper to effectuate the purposes of
this section, to prevent circumvention or evasion thereof, or to facilitate
compliance therewith.
(2)
Advisory
group
To assist in carrying out this section, the Secretary shall
establish an advisory group, consisting of individuals representing the
interests of—
(A)
mortgage
lenders;
(B)
appraisers;
(C)
energy raters and
residential energy consumption experts;
(D)
energy efficiency
organizations;
(E)
real estate
agents;
(F)
home builders and
remodelers;
(G)
State energy
officials; and
(H)
others as
determined by the Secretary.
(g)
Additional
study
(1)
In
general
Not later than 18 months after the date of enactment of
this Act, the Secretary shall reconvene the advisory group established in
subsection (f)(2), in addition to water and locational efficiency experts, to
advise the Secretary on the implementation of the enhanced energy efficiency
underwriting criteria established in subsections (c) and (d).
(2)
Recommendations
The
advisory group established in subsection (f)(2) shall provide recommendations
to the Secretary on any revisions or additions to the enhanced energy
efficiency underwriting criteria deemed necessary by the group, which may
include alternate methods to better account for home energy costs and
additional factors to account for substantial and regular costs of
homeownership such as location-based transportation costs and water costs. The
Secretary shall forward any legislative recommendations from the advisory group
to Congress for its consideration.
E
Third party testing
441.
Voluntary certification programs for air conditioning, furnace, boiler, heat pump, and water heater
products
Section 326(b) of the Energy Policy and Conservation Act (42 U.S.C. 6296(b)) is amended by adding
at the end the following:
(6)
Voluntary certification programs for air conditioning, furnace, boiler, heat pump, and water heater
products
(A)
Definition of basic model group
In this paragraph, the term basic model group means a set of models—
(i)
that share characteristics that allow the performance of 1 model to be generally representative of
the performance of other models within the group; and
(ii)
in which the group of products does not necessarily have to share discrete performance.
(B)
Reliance on voluntary certification programs
For the purpose of testing to verify the performance rating of, or receiving test reports from
manufacturers certifying compliance with energy conservation standards and
Energy Star specifications established under sections 324A, 325, and 342,
the covered products described in paragraphs (3), (4), (5), (9), and (11)
of section 322(a) and covered equipment described in subparagraphs (B),
(C), (D), (F), (I), (J), and (K) of section 340(1), the Secretary and
Administrator shall rely on voluntary certification programs that—
(i)
are nationally recognized;
(ii)
maintain a publicly available list of all certified products and equipment;
(iii)
as determined by the Secretary, annually test not less than 10 percent and not more than 30 percent
of the basic model group of a program participant
(iv)
require the changing of the performance rating or removal of the product or equipment from the
program, if verification testing determines that the performance rating
does not meet the levels the manufacturer has certified to the Secretary;
(v)
require the qualification of new participants in the program through testing and production of test
reports;
(vi)
allow for challenge testing of products and equipment within the scope of the program;
(vii)
require program participants to certify the performance rating of all covered products and
equipment within the scope of the program;
(viii)
are conducted by a certification body that is accredited under International Organization for
Standardization/ International Electrotechnical Commission (ISO/IEC)
Standard 17065;
(ix)
provide to the Secretary—
(I)
an annual report of all test results;
(II)
prompt notification when program testing results in—
(aa)
the rerating of the performance rating of a product or equipment; or
(bb)
the delisting of a product or equipment; and
(III)
test reports, on the request of the Secretary or the Administrator, for Energy Star compliant
products, which shall be treated as confidential business information as
provided for under section 552(b)(4) of title 5, United States Code
(commonly known as the “Freedom of Information Act”);
(x)
use verification testing that—
(I)
is conducted by an independent test laboratory that is accredited under International Organization
for Standardization/International Electrotechnical Commission (ISO/IEC)
Standard 17025 with a scope covering the tested products or equipment;
(II)
follows the test procedures established under this title; and
(III)
notes in each test report any instructions specified by the manufacturer or the representative of
the manufacturer for the purpose of conducting the verification testing;
and
(xi)
satisfy such other requirements as the Secretary has determined—
(I)
are essential to ensure standards compliance; or
(II)
have consensus support achieved through a negotiated rulemaking process.
(C)
Administration
(i)
In general
The Secretary shall not require—
(I)
manufacturers to participate in a voluntary certification program described in subparagraph (B); or
(II)
participating manufacturers to provide information that can be obtained through a voluntary
certification program described in subparagraph (B).
(ii)
List of covered products
The Secretary or the Administrator may maintain a publicly available list of covered products and
equipment certified under a program described in subparagraph (B) that
distinguishes between—
(I)
covered products and equipment verified by the program; and
(II)
products not verified by the program.
(iii)
Reduction of requirements
Any rules promulgated by the Secretary that require testing of products or equipment for
certification of performance ratings shall on average reduce requirements
and burdens for manufacturers participating in a voluntary certification
program described in subparagraph (B) for the products or equipment
relative to other manufacturers.
(iv)
Periodic testing by program nonparticipants
In addition to certification requirements, the Secretary shall require a manufacturer that does not
participate in a voluntary certification program described in subparagraph
(B)—
(I)
to verify the accuracy of the performance rating of the product or equipment through periodic
testing using the testing methods described in clause (iii) or (x) of
subparagraph (B); and
(II)
to provide to the Secretary test results and, on request, test reports verifying the certified
performance for each basic model group of the manufacturer.
(v)
Restrictions on test laboratories
(I)
In general
Subject to subclause (II), with respect to covered products and equipment, a voluntary
certification program described in subparagraph (B) shall not be a test
laboratory that conducts the testing on products or equipment within the
scope of the program.
(II)
Limitation
Subclause (I) shall not apply to Energy Star specifications established under section 324A.
(vi)
Effect on other authority
Nothing in this paragraph limits the authority of the Secretary or the Administrator to test
products or equipment or to enforce compliance with any law (including
regulations).
.
V
Miscellaneous
501.
Offset
Section 422(f) of the Energy Independence
and Security Act of 2007 (42 U.S.C. 17082(f)) is amended—
(1)
in paragraph (3), by striking
and after the semicolon at the end; and
(2)
by striking
paragraph (4) and inserting the following:
(4)
$200,000,000 for
fiscal year 2013; and
(5)
$144,000,000 for
each of fiscal years 2014 through 2018.
.
502.
Budgetary
effects
The budgetary effects
of this Act, for the purpose of complying with the Statutory Pay-As-You-Go
Act
of 2010, shall be determined by reference to the latest statement titled
Budgetary Effects of PAYGO Legislation for this Act, submitted for
printing in the Congressional Record by the Chairman of the Senate Budget
Committee, provided that such statement has been submitted prior to the
vote on
passage.
503.
Advance
appropriations required
The
authorization of amounts under this Act and the amendments made by this
Act
shall be effective for any fiscal year only to the extent and in the
amount
provided in advance in appropriations Acts.
April 29, 2014Read the second time and placed on the calendar