,i #aafth ,,congress #b;d ,session ,h4 ,r4 #hiie ,,in ,,the ,,house ,,of ,,representatives ,december #af1 #bjbj,mr4 ,veasey 7for himself1 ,mr4 ,mc,kinley1 ,mrs4 ,bustos1 and ,mr4 ,stauber7 introduced the following bill2 which was referred to the ,committee on ,science1 ,space1 and ,technology1 and in addition to the ,committees on ,energy and ,commerce1 and ,transportation and ,infrastructure1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to require the ,secretary of ,energy to establish programs for carbon dioxide capture1 transport1 utilization1 and storage1 and for other purposes4 #a4 ,short title2 table of contents 7a7 ,short title ,this ,act may be cited as the ,storing ,,co#b ,and ,lowering ,emissions ,act or the ,,scale ,act4 7b7 ,table of contents ,the table of contents for this ,act is as follows3 ,sec4 #a4 ,short title2 table of contents4,sec4 #b4 ,findings4,title ,i--,,utilization ,,of ,,carbon ,o,x,i,d,e,s,sec4 #aja4 ,carbon utilization program and carbon-to-value infrastructure development4,title ,,ii--,,transportation ,,of ,,captured ,c,a,r,b,o,n,sec4 #bja4 ,carbon dioxide transportation infrastructure finance and innovation4,title ,,iii--,,geologic ,,storage ,,of ,,captured ,c,a,r,b,o,n,sec4 #cja4 ,secure geologic storage infrastructure development program4,sec4 #cjb4 ,secure geologic storage permitting4 #b4 ,findings ,congress finds that-- 7#a7 the industrial sector is integral to the economy of the ,united ,states1 providing millions of jobs1 essential products1 and demonstrating global leadership in manufacturing and innovation2 7#b7 carbon capture and storage technologies are necessary for reducing hard-to-abate emissions from the industrial sector1 which emits nearly one quarter of the ,united ,states carbon dioxide emissions2 7#c7 carbon removal and storage technologies1 including direct air capture1 must be deployed at large-scale in the coming decades to remove carbon dioxide directly from the atmosphere2 7#d7 large-scale deployment of carbon capture1 removal1 utilization1 transport1 and storage is critical for achieving mid-century climate goals and will drive regional economic development1 technological innovation1 and high-wage employment2 7#e7 carbon capture1 removal1 and utilization technologies require a backbone system of shared carbon dioxide transport and storage infrastructure to enable large-scale deployment1 realize economies of scale1 and create an interconnected carbon management market2 7#f7 carbon dioxide transport infrastructure and permanent geological storage are proven and safe technologies with existing ,federal and ,state regulatory frameworks2 7#g7 carbon dioxide transport and storage infrastructure share similar barriers to deployment previously faced by other types of critical national infrastructure1 such as high capital costs and chicken-and-egg challenges1 that require ,federal and ,state support1 in combination with private investment1 to be overcome2 and 7#h7 each ,state should take into consideration1 with respect to new carbon dioxide transportation infrastructure-- 7,a7 qualifying such infrastructure as pollution control devices under applicable laws 7including regulations7 of the ,state2 and 7,b7 establishing a waiver of ad valorem and property taxes for such infrastructure for a period of not less than #aj years4 ,i ,,utilization ,,of ,,carbon ,,oxides #aja4 ,carbon utilization program and carbon-to-value infrastructure development 7a7 ,in general ,subtitle ,f of title ,,ix of the ,energy ,policy ,act of #bjje 7#db ,u4,s4,c4 #afbia et seq47 is amended by adding at the end the following3 #ifi4 ,carbon utilization program 7a7 ,in general ,the ,secretary shall establish a program of research1 development1 and demonstration for carbon utilization-- 7#a7 to identify and assess technologies and processes to produce products of commercial value1 including chemicals1 materials1 and advanced fuels1 that-- 7,a7 use or are derived from anthropogenic carbon oxides2 and 7,b7 will achieve significant net reductions in lifecycle greenhouse gas emissions compared to incumbent technologies1 processes1 and products2 7#b7 to develop or obtain1 in coordination with the heads of other applicable ,federal agencies and standard-setting organizations1 standards and certifications1 as appropriate1 to facilitate the commercialization of the technologies and products described in paragraph 7#a72 and 7#c7 to assess the lifecycle greenhouse gas emissions associated with the technologies1 processes1 and products described in paragraph 7#a74 7b7 ,carbon-to-,value research1 development1 and demonstration center ,not later than #a year after the date of enactment of this section1 the ,secretary shall establish a research1 development1 and demonstration center to support the program established under subsection 7a74 7c7 ,grant program 7#a7 ,in general ,not later than #a year after the date of enactment of this section1 the ,secretary shall establish a program to provide grants to eligible entities to use in accordance with paragraph 7#d74 7#b7 ,eligible entities ,an entity eligible to receive a grant under this subsection is-- 7,a7 a ,state2 or 7,b7 a unit of local government4 7#c7 ,applications ,to be eligible to receive a grant under this subsection1 an eligible entity shall submit to the ,secretary an application at such time1 in such manner1 and containing such information as the ,secretary determines to be appropriate4 7#d7 ,use of funds ,an eligible entity shall use a grant under this subsection to procure and use products of commercial value1 including chemicals1 materials1 and advanced fuels1 that-- 7,a7 use or are derived from anthropogenic carbon oxides2 and 7,b7 demonstrate significant net reductions in lifecycle greenhouse gas emissions compared to incumbent technologies1 processes1 and products4 7d7 ,authorization of appropriations ,there is authorized to be appropriated to the ,secretary to carry out this section #dj1jjj1jjj for each of fiscal years #bjba through #bjbe4 4 7b7 ,clerical amendment ,the table of contents for the ,energy ,policy ,act of #bjje 7,public ,law #aji-eh2 #aai ,stat4 #fjj7 is amended by adding at the end of the items relating to subtitle ,f of title ,,ix the following3 ,sec4 #ifi4 ,carbon utilization program4 4 ,,ii ,,transportation ,,of ,,captured ,,carbon #bja4 ,carbon dioxide transportation infrastructure finance and innovation 7a7 ,in general ,title ,,ix of the ,energy ,policy ,act of #bjje 7#db ,u4,s4,c4 #afaha et seq47 is amended by adding at the end the following3 ,j ,carbon ,dioxide ,transportation ,infrastructure ,finance and ,innovation #iii;,a4 ,definitions ,in this subtitle3 7#a7 ,,cifia program ,the term ,,cifia program means the carbon dioxide transportation infrastructure finance and innovation program established under section #iii;,b7a74 7#b7 ,common carrier ,the term common carrier means a transportation infrastructure operator that-- 7,a7 publishes a publicly available tariff containing the rates1 terms1 and conditions of non-discriminatory service2 and 7,b7 holds itself out to provide transportation services to the public for a fee4 7#c7 ,contingent commitment ,the term contingent commitment means a commitment to obligate funds from future available budget authority that is-- 7,a7 contingent on those funds being made available in law at a future date2 and 7,b7 not an obligation of the ,federal ,government4 7#d7 ,eligible project costs ,the term eligible project costs means amounts substantially all of which are paid by1 or for the account of1 an obligor in connection with a project1 including the cost of-- 7,a7 development-phase activities1 including planning1 feasibility analysis1 revenue forecasting1 environmental review1 permitting1 preliminary engineering and design work1 and other preconstruction activities2 7,b7 construction1 reconstruction1 rehabilitation1 replacement1 and acquisition of real property 7including land relating to the project and improvements to land71 environmental mitigation1 construction contingencies1 and acquisition and installation of equipment 7including labor72 and 7,c7 capitalized interest necessary to meet market requirements1 reasonably required reserve funds1 capital issuance expenses1 and other carrying costs during construction4 7#e7 ,federal credit instrument ,the term ,federal credit instrument means a secured loan or loan guarantee authorized to be made available under the ,,cifia program with respect to a project4 7#f7 ,lender ,the term lender means any non-,federal qualified institutional buyer 7as defined in section #bcj4add;,a7a7 of title #ag1 ,code of ,federal ,regulations 7or a successor regulation71 commonly known as ,rule #add;,a7a7 of the ,securities and ,exchange ,commission and issued under the ,securities ,act of #aicc 7#ae ,u4,s4,c4 #gg;a et seq4771 including-- 7,a7 a qualified retirement plan 7as defined in section #digd7;c7 of the ,internal ,revenue ,code of #aihf7 that is a qualified institutional buyer2 and 7,b7 a governmental plan 7as defined in section #dad7;d7 of the ,internal ,revenue ,code of #aihf7 that is a qualified institutional buyer4 7#g7 ,letter of interest ,the term letter of interest means a letter submitted by a potential applicant prior to an application for credit assistance in a format prescribed by the ,secretary on the website of the ,,cifia program that-- 7,a7 describes the project and the location1 purpose1 and cost of the project2 7,b7 outlines the proposed financial plan1 including the requested credit and grant assistance and the proposed obligor2 7,c7 provides a status of environmental review2 and 7,d7 provides information regarding satisfaction of other eligibility requirements of the ,,cifia program4 7#h7 ,loan guarantee ,the term loan guarantee means any guarantee or other pledge by the ,secretary to pay all or part of the principal of1 and interest on1 a loan or other debt obligation issued by an obligor and funded by a lender4 7#i7 ,master credit agreement ,the term master credit agreement means a conditional agreement that-- 7,a7 is for the purpose of extending credit assistance for-- 7i7 a project of high priority under section #iii;,b7c77#c77;,a72 or 7ii7 a project covered under section #iii;,b7c77#c77;,b72 7,b7 does not provide for a current obligation of ,federal funds2 and 7,c7 would-- 7i7 make a contingent commitment of a secured loan or other ,federal credit instrument1 or grant at a future date1 subject to-- 7,i7 the availability of future funds being made available to carry out the ,,cifia program2 and 7,,ii7 the satisfaction of all conditions for the provision of credit assistance under the ,,cifia program1 including section #iii;,c7b72 7ii7 establish the maximum amounts and general terms and conditions of the secured loans1 other ,federal credit instruments1 or grants2 7iii7 identify the one or more dedicated revenue sources that will secure the repayment of the secured loans or secured ,federal credit instruments2 7iv7 provide for the obligation of funds for the secured loans1 secured ,federal credit instruments1 or grants after all requirements have been met for the projects subject to the master credit agreement1 including-- 7,i7 an environmental categorical exclusion1 a finding of no significant impact1 or a record of decision under the ,national ,environmental ,policy ,act of #aifi 7#db ,u4,s4,c4 #dcba et seq472 7,,ii7 compliance with all applicable requirements specified under the ,,cifia program1 including sections #iii;,b7d7 and #iii;,c7b77#a72 and 7,,iii7 the availability of funds to carry out the ,,cifia program2 and 7v7 require that contingent commitments shall result in a financial close and obligation of credit or grant assistance by not later than #c years after the date of entry into the master credit agreement or release of the commitment1 as applicable1 unless otherwise extended by the ,secretary4 7#aj7 ,obligor ,the term obligor means a corporation1 partnership1 joint venture1 trust1 governmental entity1 agency1 or instrumentality1 or other entity that is primarily liable for payment of the principal of1 or interest on1 a ,federal credit instrument4 7#aa7 ,produced in the ,united ,states ,the term produced in the ,united ,states means1 in the case of iron or steel1 that all manufacturing processes1 including the application of a coating1 occur in the ,united ,states4 7#ab7 ,project ,the term project means a project for common carrier carbon dioxide transportation infrastructure and associated equipment1 including pipeline1 shipping1 rail1 or other transportation infrastructure and associated equipment1 that will transport or handle carbon dioxide captured from anthropogenic sources or ambient air1 as the ,secretary determines to be appropriate4 7#ac7 ,project obligation ,the term project obligation means any note1 bond1 debenture1 or other debt obligation issued by an obligor in connection with the financing of a project1 other than a ,federal credit instrument4 7#ad7 ,secured loan ,the term secured loan means a direct loan or other debt obligation issued by an obligor and funded by the ,secretary in connection with the financing of a project under section #iii;,c4 7#ae7 ,subsidy amount ,the term subsidy amount means the amount of budget authority sufficient to cover the estimated long-term cost to the ,federal ,government of a ,federal credit instrument-- 7,a7 calculated on a net present value basis2 and 7,b7 excluding administrative costs and any incidental effects on governmental receipts or outlays in accordance with the ,federal ,credit ,reform ,act of #aiij 7#b ,u4,s4,c4 #ffa et seq474 7#af7 ,substantial completion ,the term substantial completion1 with respect to a project1 means the date-- 7,a7 on which the project commences transportation of carbon dioxide2 or 7,b7 of a comparable event to the event described in subparagraph 7,a71 as determined by the ,secretary and specified in the project credit agreement4 #iii;,b4 ,determination of eligibility and project selection 7a7 ,in general ,the ,secretary shall establish and carry out a carbon dioxide transportation infrastructure finance and innovation program1 under which the ,secretary shall provide ,federal credit instruments and grants for eligible projects in accordance with this subtitle4 7b7 ,eligibility 7#a7 ,in general ,a project shall be eligible to receive credit assistance and a grant under the ,,cifia program if-- 7,a7 the entity proposing to carry out the project submits a letter of interest prior to submission of a formal application for the project2 and 7,b7 the project meets the criteria described in this subsection4 7#b7 ,creditworthiness 7,a7 ,in general ,each project and obligor that receives credit assistance or a grant under the ,,cifia program shall be creditworthy1 such that there exists a reasonable prospect of repayment of the principal and interest on the ,federal credit instrument1 as determined by the ,secretary4 7,b7 ,considerations ,in determining the creditworthiness of a project or obligor for purposes of this paragraph1 the ,secretary shall take into consideration relevant factors1 including-- 7i7 the terms1 conditions1 financial structure1 and security features of the applicable proposed financing2 7ii7 the dedicated revenue sources that will contribute to the project obligations2 7iii7 the financial assumptions on which the project is based2 and 7iv7 the financial soundness and credit history of the obligor4 7,c7 ,security features ,the ,secretary shall ensure that any financing provided for a project under the ,,cifia program has in effect appropriate security features supporting the project obligations to ensure repayment4 7#c7 ,application ,to be eligible for assistance under the ,,cifia program1 a ,state1 local government1 public authority1 public-private partnership1 or any other legal entity carrying out the project and authorized by the ,secretary1 shall submit to the ,secretary a project application at such time1 in such manner1 and containing such information as the ,secretary determines to be appropriate4 7#d7 ,eligible project costs ,a project under the ,,cifia program shall have eligible project costs that are reasonably anticipated to equal or exceed #bjj1jjj1jjj4 7#e7 ,dedicated revenue sources ,the applicable ,federal credit instrument shall be repayable1 in whole or in part1 from-- 7,a7 user fees2 7,b7 payments owing to the obligor under a public-private partnership2 or 7,c7 other dedicated revenue sources that also secure or fund the project obligations4 7#f7 ,obligor will be identified later ,a ,state1 local government1 agency1 or instrumentality of a ,state or local government1 or public authority may submit to the ,secretary an application under paragraph 7#c71 under which a private party to a public-private partnership will be-- 7,a7 the obligor2 and 7,b7 identified at a later date through completion of a procurement and selection of the private party4 7#g7 ,beneficial effects ,the ,secretary shall determine that financial assistance for each project under the ,,cifia program will-- 7,a7 foster1 if appropriate1 partnerships that attract public or private investment for the project2 7,b7 enable the project to proceed at an earlier date than the project would otherwise be able to proceed or reduce the lifecycle costs 7including debt service costs7 of the project2 and 7,c7 enable any associated project that-- 7i7 captures carbon dioxide from an anthropogenic source or ambient air2 and 7ii7 uses the transportation infrastructure project supported by the ,,cifia program4 7#h7 ,project readiness ,to be eligible for assistance under the ,,cifia program1 the applicant shall demonstrate a reasonable expectation that the contracting process for construction of the project can commence by not later than #ij days after the date on which a ,federal credit instrument or grant is obligated for the project under the ,,cifia program4 7c7 ,selection among eligible projects 7#a7 ,establishment of application process ,the ,secretary shall establish an application process under which projects that are eligible to receive assistance under subsection 7b7 may-- 7,a7 receive credit assistance on terms acceptable to the ,secretary1 if adequate funds are available 7including any funds provided on behalf of an eligible project under paragraph 7#c77;,b77ii77 to cover the subsidy amount associated with the ,federal credit instrument2 and 7,b7 receive grants under section #iii;,d if-- 7i7 adequate funds are available to cover the amount of the grant2 and 7ii7 the ,secretary determines that the project is eligible under subsection 7b7 of that section4 7#b7 ,priority ,in selecting projects to receive credit assistance under subsection 7b71 the ,secretary shall give priority to projects that-- 7,a7 are large-capacity1 common carrier infrastructure2 7,b7 have demonstrated demand for use of the infrastructure by multiple associated projects that capture carbon dioxide from anthropogenic sources or ambient air2 7,c7 enable geographical diversity in associated projects that capture carbon dioxide from anthropogenic sources or ambient air1 with the goal of enabling projects in all major carbon dioxide-emitting regions of the ,united ,states2 and 7,d7 are located within1 or adjacent to1 existing pipeline or other linear infrastructure corridors1 in a manner that minimizes environmental disturbance and other siting concerns4 7#c7 ,master credit agreements 7,a7 ,priority projects ,the ,secretary may enter into a master credit agreement for a project that the ,secretary determines-- 7i7 will likely be eligible for credit assistance under subsection 7b71 on obtaining-- 7,i7 additional firm commitments from associated carbon capture projects to use the project2 or 7,,ii7 all necessary permits and approvals2 and 7ii7 is a project of high priority1 as determined in accordance with the criteria described in paragraph 7#b74 7,b7 ,adequate funding not available ,if the ,secretary fully obligates funding to eligible projects for a fiscal year and adequate funding is not available to fund a ,federal credit instrument1 a project sponsor 7including a unit of ,state or local government7 of an eligible project may elect-- 7i7 7,i7 to enter into a master credit agreement in lieu of the ,federal credit instrument2 and 7,,ii7 to wait to execute a ,federal credit instrument until the fiscal year for which additional funds are available to receive credit assistance2 or 7ii7 to pay the subsidy amount to fund the ,federal credit instrument4 7d7 ,federal requirements 7#a7 ,in general ,nothing in this subtitle supersedes the applicability of any other requirement under ,federal law 7including regulations74 7#b7 ,,nepa ,federal credit assistance may only be provided under this subtitle for a project that has received an environmental categorical exclusion1 a finding of no significant impact1 or a record of decision under the ,national ,environmental ,policy ,act of #aifi 7#db ,u4,s4,c4 #dcba et seq474 7e7 ,use of ,american iron1 steel1 and manufactured goods 7#a7 ,no ,federal credit instrument or grant authorized to be made available under this section shall be made available with respect to a project unless all of the iron1 steel1 and manufactured goods used in the project are produced in the ,united ,states4 7#b7 ,paragraph 7#a7 shall not apply in any case or category of cases in which the ,secretary finds that-- 7,a7 applying paragraph 7#a7 would be inconsistent with the public interest2 7,b7 iron1 steel1 and the relevant manufactured goods are not produced in the ,united ,states in sufficient and reasonably available quantities and of a satisfactory quality2 or 7,c7 inclusion of iron1 steel1 and manufactured goods produced in the ,united ,states will increase the cost of the overall project by more than #be percent4 7#c7 ,if the ,secretary receives a request for a waiver of applicability of paragraph 7#a7 under this subsection1 the ,secretary shall make available to the public on an informal basis a copy of the request and information available to the ,secretary concerning the request1 and shall allow for informal public input on the request for at least #ae days prior to making a determination based on the request4 ,the ,secretary shall make the request and accompanying information available by electronic means1 including on the official public website of the ,department of ,energy1 and shall make a determination concerning the request for a waiver within #abj days of its receipt4 7#d7 ,this subsection shall be applied in a manner consistent with the ,united ,states obligations under international agreements4 7f7 ,prevailing rate of wage 7#a7 ,in general ,the ,secretary shall ensure that laborers and mechanics employed by contractors and subcontractors on a project financed in whole or in part by credit assistance1 a loan1 or a grant made available under this section1 section #iii;,c1 or section #iii;,d will be paid wages at rates not less than those prevailing on similar construction in the locality1 as determined by the ,secretary of ,labor under subchapter ,,iv of chapter #ca of title #dj4 7#b7 ,authority of the ,secretary of ,labor ,with respect to the labor standards specified in paragraph 7#a71 the ,secretary of ,labor shall have the authority and functions set forth in ,reorganization ,plan ,numbered #ad of #aiej 7#ae ,f4,r4 #cagf7 and section #cade of title #dj1 ,united ,states ,code4 7g7 ,application processing procedures 7#a7 ,notice of complete application ,not later than #cj days after the date of receipt of an application under this section1 the ,secretary shall provide to the applicant a written notice describing whether-- 7,a7 the application is complete2 or 7,b7 additional information or materials are needed to complete the application4 7#b7 ,approval or denial of application ,not later than #fj days after the date of issuance of a written notice under paragraph 7#a71 the ,secretary shall provide to the applicant a written notice informing the applicant whether the ,secretary has approved or disapproved the application4 7h7 ,development-,phase activities ,any ,federal credit instrument secured under the ,,cifia program may be used to finance up to #ajj percent of the cost of development-phase activities1 as described in section #iii;,a7#d77;,a74 #iii;,c4 ,secured loans 7a7 ,agreements 7#a7 ,in general ,subject to paragraphs 7#b7 and 7#c71 the ,secretary may enter into agreements with one or more obligors to make secured loans1 the proceeds of which shall be used-- 7,a7 to finance eligible project costs of any project selected under section #iii;,b2 7,b7 to refinance interim construction financing of eligible project costs of any project selected under section #iii;,b2 or 7,c7 to refinance long-term project obligations or ,federal credit instruments1 if the refinancing provides additional funding capacity for the completion1 enhancement1 or expansion of any project that-- 7i7 is selected under section #iii;,b2 or 7ii7 otherwise meets the requirements of that section4 7#b7 ,limitation on refinancing of interim construction financing ,a loan under paragraph 7#a7 shall not refinance interim construction financing under paragraph 7#a77;,b7 if the maturity of that interim construction financing is later than #a year after the substantial completion of the project4 7#c7 ,risk assessment ,before entering into an agreement under this subsection1 the ,secretary1 in consultation with the ,director of the ,office of ,management and ,budget1 shall determine an appropriate credit subsidy amount for each secured loan1 taking into account all relevant factors1 including the creditworthiness factors in section #iii;,b7b77#b74 7b7 ,terms and limitations 7#a7 ,in general ,a secured loan under this section with respect to a project shall be on such terms and conditions and contain such covenants1 representations1 warranties1 and requirements 7including requirements for audits7 as the ,secretary determines to be appropriate4 7#b7 ,maximum amount ,the amount of a secured loan under this section shall not exceed an amount equal to #hj percent of the reasonably anticipated eligible project costs4 7#c7 ,payment ,a secured loan under this section shall-- 7,a7 be payable1 in whole or in part1 from-- 7i7 user fees2 7ii7 payments owing to the obligor under a public-private partnership2 or 7iii7 other dedicated revenue sources that also secure the senior project obligations2 and 7,b7 include a coverage requirement or similar security feature supporting the project obligations4 7#d7 ,interest rate 7,a7 ,in general ,except as provided in subparagraph 7,b71 the interest rate on a secured loan under this section shall be not less than the yield on ,united ,states ,treasury securities of a similar maturity to the maturity of the secured loan on the date of execution of the loan agreement4 7,b7 ,limited buydowns 7i7 ,in general ,subject to clause 7ii71 the ,secretary may lower the interest rate of a secured loan under this section if the interest rate has increased between the period-- 7,i7 beginning on1 as applicable-- 7aa7 the date on which an application acceptable to the ,secretary is submitted for the applicable project2 or 7bb7 the date on which the ,secretary entered into a master credit agreement for the applicable project2 and 7,,ii7 ending on the date on which the ,secretary executes the ,federal credit instrument for the applicable project4 7ii7 ,limitation ,the interest rate of a secured loan may not be lowered pursuant to clause 7i7 by more than the lower of-- 7,i7 #aa_/b percentage points 7#aej basis points72 and 7,,ii7 an amount equal to the amount of the increase in the interest rate described in that clause4 7#e7 ,maturity date ,the final maturity date of the secured loan shall be the earlier of-- 7,a7 the date that is #ce years after the date of substantial completion of the project2 and 7,b7 if the useful life of the capital asset being financed is of a lesser period1 the date that is the end of the useful life of the asset4 7#f7 ,nonsubordination 7,a7 ,in general ,except as provided in subparagraph 7,b71 the secured loan shall not be subordinated to the claims of any holder of project obligations in the event of bankruptcy1 insolvency1 or liquidation of the obligor4 7,b7 ,preexisting indenture 7i7 ,in general ,the ,secretary shall waive the requirement under subparagraph 7,a7 for a public agency borrower that is financing ongoing capital programs and has outstanding senior bonds under a preexisting indenture1 if-- 7,i7 the secured loan is rated in the ,a category or higher2 and 7,,ii7 the secured loan is secured and payable from pledged revenues not affected by project performance1 such as a tax-backed revenue pledge or a system-backed pledge of project revenues4 7ii7 ,limitation ,if the ,secretary waives the nonsubordination requirement under this subparagraph-- 7,i7 the maximum credit subsidy amount to be paid by the ,federal ,government shall be not more than #aj percent of the principal amount of the secured loan2 and 7,,ii7 the obligor shall be responsible for paying the remainder of the subsidy amount1 if any4 7#g7 ,fees ,the ,secretary may establish a fee1 in an amount equal to not more than #a1jjj1jjj1 to cover all or a portion of the costs to the ,federal ,government of making a secured loan under this section4 7#h7 ,maximum ,federal involvement ,the total ,federal assistance provided for a project under the ,,cifia program1 including any grant provided under section #iii;,d1 shall not exceed an amount equal to #hj percent of the total project cost4 7c7 ,repayment 7#a7 ,schedule ,the ,secretary shall establish a repayment schedule for each secured loan under this section based on-- 7,a7 the projected cash flow from project revenues and other repayment sources2 and 7,b7 the useful life of the project4 7#b7 ,commencement ,scheduled loan repayments of principal or interest on a secured loan under this section shall commence not later than #e years after the date of substantial completion of the project4 7#c7 ,deferred payments 7,a7 ,in general ,if1 at any time after the date of substantial completion of a project1 the project is unable to generate sufficient revenues in excess of reasonable and necessary operating expenses to pay the scheduled loan repayments of principal and interest on the secured loan1 the ,secretary may1 subject to subparagraph 7,c71 allow the obligor to add unpaid principal and interest to the outstanding balance of the secured loan4 7,b7 ,interest ,any payment deferred under subparagraph 7,a7 shall-- 7i7 continue to accrue interest in accordance with subsection 7b77#d7 until fully repaid2 and 7ii7 be scheduled to be amortized over the remaining term of the loan4 7,c7 ,criteria 7i7 ,in general ,any payment deferral under subparagraph 7,a7 shall be contingent on the project meeting criteria established by the ,secretary4 7ii7 ,repayment standards ,the criteria established pursuant to clause 7i7 shall include standards for reasonable assurance of repayment4 7#d7 ,prepayment 7,a7 ,use of excess revenues ,any excess revenues that remain after satisfying scheduled debt service requirements on the project obligations and secured loan and all deposit requirements under the terms of any trust agreement1 bond resolution1 or similar agreement securing project obligations may be applied annually to prepay the secured loan1 without penalty4 7,b7 ,use of proceeds of refinancing ,a secured loan may be prepaid at any time without penalty from the proceeds of refinancing from non-,federal funding sources4 7d7 ,sale of secured loans 7#a7 ,in general ,subject to paragraph 7#b71 as soon as practicable after substantial completion of a project and after notifying the obligor1 the ,secretary may sell to another entity or reoffer into the capital markets a secured loan for the project if the ,secretary determines that the sale or reoffering can be made on favorable terms4 7#b7 ,consent of obligor ,in making a sale or reoffering under paragraph 7#a71 the ,secretary may not change any original term or condition of the secured loan without the written consent of the obligor4 7e7 ,loan guarantees 7#a7 ,in general ,the ,secretary may provide a loan guarantee to a lender in lieu of making a secured loan under this section if the ,secretary determines that the budgetary cost of the loan guarantee is substantially the same as that of a secured loan4 7#b7 ,terms ,the terms of a loan guarantee under paragraph 7#a7 shall be consistent with the terms required under this section for a secured loan1 except that the rate on the guaranteed loan and any prepayment features shall be negotiated between the obligor and the lender1 with the consent of the ,secretary4 #iii;,d4 ,carbon dioxide transportation infrastructure future growth grant program 7a7 ,establishment ,the ,secretary shall establish a program under which the ,secretary may provide grants to pay a portion of the cost differential1 with respect to any projected future increase in demand for carbon dioxide transportation by an infrastructure project described in subsection 7b71 between-- 7#a7 the cost of constructing the infrastructure asset with the capacity to transport an increased flow rate of carbon dioxide1 as made practicable under the project2 and 7#b7 the cost of constructing the infrastructure asset with the capacity to transport carbon dioxide at the flow rate initially required1 based on commitments for the use of the asset4 7b7 ,eligibility ,to be eligible to receive a grant under the program under this section1 an entity shall-- 7#a7 be eligible to receive credit assistance under the ,,cifia program2 7#b7 carry out1 or propose to carry out1 a project for large-capacity1 common carrier infrastructure with a probable future increase in demand for carbon dioxide transportation2 and 7#c7 submit to the ,secretary an application at such time1 in such manner1 and containing such information as the ,secretary determines to be appropriate4 7c7 ,use of funds ,a grant provided under this section may be used only to pay the costs of any additional flow rate capacity of a carbon dioxide transportation infrastructure asset that the project sponsor demonstrates to the satisfaction of the ,secretary can reasonably be expected to be used during the #bj-year period beginning on the date of substantial completion of the project described in subsection 7b77#b74 7d7 ,maximum amount ,the amount of a grant provided under this section may not exceed an amount equal to #hj percent of the cost of the additional capacity described in subsection 7a74 #iii;,e4 ,program administration 7a7 ,requirement ,the ,secretary shall establish a uniform system to service the ,federal credit instruments made available under the ,,cifia program4 7b7 ,fees ,the ,secretary may collect and spend fees1 contingent on authority being provided in appropriations ,acts1 at a level that is sufficient to cover-- 7#a7 the costs of services of expert firms retained pursuant to subsection 7d72 and 7#b7 all or a portion of the costs to the ,federal ,government of servicing the ,federal credit instruments4 7c7 ,servicer 7#a7 ,in general ,the ,secretary may appoint a financial entity to assist the ,secretary in servicing the ,federal credit instruments4 7#b7 ,duties ,a servicer appointed under paragraph 7#a7 shall act as the agent for the ,secretary4 7#c7 ,fee ,a servicer appointed under paragraph 7#a7 shall receive a servicing fee1 subject to approval by the ,secretary4 7d7 ,assistance from expert firms ,the ,secretary may retain the services of expert firms1 including counsel1 in the field of municipal and project finance to assist in the underwriting and servicing of ,federal credit instruments4 7e7 ,expedited processing ,the ,secretary shall implement procedures and measures to economize the time and cost involved in obtaining approval and the issuance of credit assistance under the ,,cifia program4 #iii;,f4 ,state and local permits ,the provision of credit assistance under the ,,cifia program with respect to a project shall not-- 7#a7 relieve any recipient of the assistance of any project obligation to obtain any required ,state or local permit or approval with respect to the project2 7#b7 limit the right of any unit of ,state or local government to approve or regulate any rate of return on private equity invested in the project2 or 7#c7 otherwise supersede any ,state or local law 7including any regulation7 applicable to the construction or operation of the project4 #iii;,g4 ,regulations ,the ,secretary may promulgate such regulations as the ,secretary determines to be appropriate to carry out-- 7#a7 the ,,cifia program2 and 7#b7 the carbon dioxide transportation infrastructure future growth grant program established under section #iii;,d7a74 #iii;,h4 ,funding 7a7 ,funding 7#a7 ,in general ,there are authorized to be appropriated to the ,secretary to carry out this subtitle1 to remain available until expended-- 7,a7 #fjj1jjj1jjj for each of fiscal years #bjba and #bjbb2 and 7,b7 #cjj1jjj1jjj for each of fiscal years #bjbc through #bjbe4 7#b7 ,spending and borrowing authority ,spending and borrowing authority for a fiscal year to enter into ,federal credit instruments shall be promptly apportioned to the ,secretary on a fiscal-year basis4 7#c7 ,reestimates ,if the subsidy amount of a ,federal credit instrument is reestimated1 the cost increase or decrease of the reestimate shall be borne by1 or benefit1 the general fund of the ,treasury1 consistent with section #ejd7;f7 of the ,congressional ,budget ,act of #aigd 7#b ,u4,s4,c4 #ffa;c7f774 7#d7 ,availability ,amounts made available under this subsection shall remain available until expended4 7#e7 ,administrative costs ,of the amounts made available to carry out the ,,cifia program1 the ,secretary may use not more than #h1ejj1jjj 7as indexed for ,united ,states dollar inflation from the date of enactment of the ,storing ,,co#b and ,lowering ,emissions ,act 7as measured by the ,consumer ,price ,index77 for the administration of the ,,cifia program4 7b7 ,contract authority 7#a7 ,in general ,notwithstanding any other provision of law1 execution of a term sheet by the ,secretary of a ,federal credit instrument that uses amounts made available under the ,,cifia program shall impose on the ,united ,states a contractual obligation to fund the ,federal credit investment4 7#b7 ,availability ,amounts made available to carry out the ,,cifia program for a fiscal year shall be available for obligation on ,october #a of the fiscal year4 4 7b7 ,technical amendment ,the table of contents for the ,energy ,policy ,act of #bjje 7,public ,law #aji-eh2 #aai ,stat4 #fjj7 is amended-- 7#a7 in the item relating to section #iag1 by striking ,efficiency2 7#b7 in the items relating to sections #ieg through #iei1 by inserting ,sec4 before #ie each place it appears2 and 7#c7 by striking the items relating to subtitle ,j of title ,,ix 7relating to ultra-deepwater and unconventional natural gas and other petroleum resources7 and inserting the following3 ,subtitle ,j--,carbon ,dioxide ,transportation ,infrastructure ,finance and ,innovation ,sec4 #iii;,a4 ,definitions4 ,sec4 #iii;,b4 ,determination of eligibility and project selection4 ,sec4 #iii;,c4 ,secured loans4 ,sec4 #iii;,d4 ,carbon dioxide transportation infrastructure future growth grant program4 ,sec4 #iii;,e4 ,program administration4 ,sec4 #iii;,f4 ,state and local permits4 ,sec4 #iii;,g4 ,regulations4 ,sec4 #iii;,h4 ,funding4 4 ,,iii ,,geologic ,,storage ,,of ,,captured ,,carbon #cja4 ,secure geologic storage infrastructure development program ,section #ifc of the ,energy ,policy ,act of #bjje 7#db ,u4,s4,c4 #afbic7 is amended by adding at the end the following3 7e7 ,large-,scale carbon storage commercialization program 7#a7 ,in general ,the ,secretary shall establish a program to fund the development of dedicated commercial geologic carbon dioxide storage sites that are designed to store not fewer than #ej1jjj1jjj metric tons of carbon dioxide1 including by funding activities to explore1 characterize1 and develop the storage sites and associated carbon dioxide transport infrastructure4 7#b7 ,priority ,in carrying out the program established under paragraph 7#a71 the ,secretary shall extend subsection 7c77#d77;,b7 to any project concerning a new or existing commercial geological carbon dioxide storage site under this subsection1 and shall give priority to projects-- 7,a7 with the largest carbon dioxide storage capacity2 or 7,b7 that will store carbon dioxide from multiple carbon capture facilities4 7#c7 ,cost share ,the ,secretary shall require cost sharing for projects under the program established under paragraph 7#a7 in accordance with section #ihh4 7#d7 ,funding ,there are authorized to be appropriated to carry out this subsection-- 7,a7 for each of fiscal years #bjba through #bjbe1 #ejj1jjj1jjj2 and 7,b7 for each of fiscal years #bjbf through #bjcj1 such sums as may be necessary4 4 #cjb4 ,secure geologic storage permitting 7a7 ,definitions ,in this section3 7#a7 ,administrator ,the term ,administrator means the ,administrator of the ,environmental ,protection ,agency4 7#b7 ,class ,,vi well ,the term ,class ,,vi well means a well described in section #add4f7;f7 of title #dj1 ,code of ,federal ,regulations 7or successor regulations74 7b7 ,geologic sequestration permitting ,for the permitting of ,class ,,vi wells by the ,administrator for the injection of carbon dioxide for the purpose of geologic sequestration in accordance with the requirements of the ,safe ,drinking ,water ,act 7#db ,u4,s4,c4 #cjj;f et seq47 and the final rule of the ,administrator entitled ,federal ,requirements ,under the ,underground ,injection ,control 7,,uic7 ,program for ,carbon ,dioxide 7,,co#b7 ,geologic ,sequestration 7,,gs7 ,wells 7#ge ,fed4 ,reg4 #ggbcj 7,december #aj1 #bjaj771 there are authorized to be appropriated-- 7#a7 for each of fiscal years #bjba through #bjbe1 #e1jjj1jjj2 and 7#b7 for each of fiscal years #bjbf through #bjcj1 such sums as may be necessary4 7c7 ,state permitting program grants 7#a7 ,establishment ,the ,administrator shall award grants to ,states that1 pursuant to section #adbb of the ,safe ,drinking ,water ,act 7#db ,u4,s4,c4 #cjj;h-#a71 receive the approval of the ,administrator for a ,state underground injection control program for permitting ,class ,,vi wells for the injection of carbon dioxide4 7#b7 ,use of funds ,a ,state that receives a grant under paragraph 7#a7 shall use the amounts received under the grant to defray the expenses of the ,state related to the establishment and operation of a ,state underground injection control program described in paragraph 7#a74 7#c7 ,authorization of appropriations ,there are authorized to be appropriated to carry out this subsection-- 7,a7 for the period of fiscal years #bjba through #bjbe1 #ej1jjj1jjj2 and 7,b7 for the period of fiscal years #bjbf through #bjcj1 such sums as may be necessary4