,,ii  #aaf? ,,congress  #a/ ,session    
,s4 #idj  ,,9 ,,! ,,s5ate ,,( ,,!       
,,unit$ ,,/ates  ,m>* #bh1 #bjai,mr4    
,van ,holl5 introduc$ ! foll[+ bill2 :i*
 0 read twice & ref]r$ to ! ,committee  
on ,f9ance  ,a ,,bill  ,to cap !        
emissions ( gre5h\se gases ?r\gh a      
requirem5t to pur*ase c>bon p]mits1 to  
di/ribute ! proce$s ( su* pur*ases to   
eligible individuals1 & = o!r purposes4 
#a4 ,%ort title ,?is ,act may be cit$ z 
! ,heal?y ,climate & ,family ,security  
,act ( #bjai4  #b4 ,f9d+s ,! ,congress  
f9ds ! foll[+3  7#a7 ,c>bon dioxide &   
o!r gre5h\se gas emissions cont9ue to   
rise4  7#b7 ,! w>m+ ( our planet has l$ 
to m frequ5t1 dang]\s & exp5sive extreme
 wea!r ev5ts1 includ+ heat waves1 /orms1
 fires1 dr\ghts1 floods & tornadoes4    
7#c7 ,a #bjah report by !               
,int]gov]nm5tal ,panel on ,climate      
,*ange 7,,ipcc7 recomm5ds t s]i\s ef=ts 
be made to limit global w>m+ to #a4e;,c1
 :i* w\ld require t ,,co#b emissions    
fall by #de p]c5t bel[ #bjaj levels by  

#bjcj1 :i* w\ld be equival5t to         
approximately #ej p]c5t bel[ #bjje      
levels by #bjcj4  7#d7 ,! atmosph]e is a
 common res\rce t belongs equally to    
all4  7#e7 ,/abiliz+ ! climate c & mu/  
be done 9 a way t supports vibrant      
economic gr[? & a ?riv+ middle class4   
7#f7 ,legislation to address climate    
*ange & accel]ate ! transition to a     
clean en]gy economy mu/ be fair1        
transp>5t & built to la/4  #c4 ,auction 
( c>bon p]mits & di/ribution ( ,heal?y  
,climate ,divid5ds  7a7 ,9 g5]al ,!     
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by add+ at ! end ! foll[+ new subtitle3 
,l ,auction ( ,c>bon ,p]mits &          
,di/ribution ( ,heal?y ,climate         
,divid5ds  ,*apt] #aja4 ,cap & ,divid5d 
,program ,rules4,*apt] #ajb4 ,heal?y    
,climate ,divid5ds4,*apt] #ajc4 ,bord]  
,adju/m5ts4  #aja ,cap & ,divid5d       
,program ,rules  ,sec4 #iija4           
,def9itions4,sec4 #iijb4 ,c>bon         
p]mits4,sec4 #iijc4 ,auctions4,sec4     
#iijd4 ,compliance obligation4,sec4     

#iije4 ,p5alty = noncompliance4,sec4    
#iijf4 ,c>bon capture &                 
seque/ration4,sec4 #iijg4 ,trad+4,sec4  
#iijh4 ,bank+ & borr[+4  #iija4         
,def9itions ,= purposes ( ?is subtitle3 
7#a7 ,adm9i/rator ,! t]m ,adm9i/rator   
means ! ,adm9i/rator ( ! ,environm5tal  
,protection ,ag5cy4  7#b7 ,c>bon p]mit  
,! t]m c>bon p]mit means a c>bon p]mit  
e/abli%$ by ! ,secret>y "u section      
#iijb7;a74  7#c7 ,cov]$ entity ,! t]m   
cov]$ entity means-- 7,a7 9 ! case (    
crude oil--  7i7 a ref9]y op]at+ 9 !    
,unit$ ,/ates :i* is design$ to s]ve !  
prim>y purpose ( process+ liquid fuel f 
crude oil1 &  7ii7 any import] ( any    
petroleum or petroleum product 7n       
includ+ crude oil7 into ! ,unit$ ,/ates1
  7,b7 9 ! case ( coal-- 7i7 any coal   
m9e op]at+ 9 ! ,unit$ ,/ates1 &  7ii7   
any import] ( coal into ! ,unit$ ,/ates1
 &  7,c7 9 ! case ( natural gas--  7i7  
any p]son requir$ to submit a report to 
! ,en]gy ,in=mation ,ag5cy on ,=m #agf  
by reason ( deliv]+ natural gas to an   

end us]1 &  7ii7 any natural gas        
processor n describ$ 9 clause 7i7 )     
respect to sales ( natural gas 9 !      
,unit$ ,/ates4  7#d7 ,cov]$ fuel ,! t]m 
cov]$ fuel means crude oil1 natural gas1
 coal1 or any o!r product d]iv$ !refrom 
= use z a combu/ible fuel (f]$ = sale 9 
,unit$ ,/ates m>kets4  7#e7 ,crude oil  
,! t]m crude oil includes crude oil     
cond5sates1 natural gasol9e1 %ale oil1  
any bitum5 or bitum9\s mixture1 any oil 
d]iv$ f a bitum5 or bitum9\s mixture1 & 
any oil d]iv$ f k]og5-be>+ s\rces4  7#f7
 ,fair m>ket value ,! t]m fair m>ket    
value means ! av]age auction price =    
c>bon p]mits dur+ ! #d qu>t]s imm$iately
 prec$+ a failure to surr5d]1 :5 requir$
 "u section #iijd1 ! requir$ numb] (    
c>bon p]mits "u su* section4  7#g7 ,/ate
 ,! t]m ,/ate means ! sev]al ,/ates1 !  
,di/rict ( ,columbia1 ! ,commonweal? (  
,pu]to ,rico1 ! ,unit$ ,/ates ,virg9    
,isl&s1 ,guam1 ,am]ican ,samoa1 !       
,commonweal? ( ! ,nor!rn ,m>iana ,isl&s1
 & any o!r commonweal?1 t]ritory1 or    

possession ( ! ,unit$ ,/ates4  7#h7     
,v9tage ye> ,! t]m v9tage ye> means !   
cal5d> ye> = :i* a c>bon p]mit is       
e/abli%$ "u section #iijb4  #iijb4      
,c>bon p]mits  7a7 ,9 g5]al ,!          
,secret>y1 9 consultation ) !           
,adm9i/rator1 %all e/abli% a sep>ate    
quantity ( c>bon p]mits = cal5d> ye>    
#bjbj & ea* cal5d> ye> !reaft]1 z set =?
 "u subsection 7b74  7b7 ,emissions     
r$uction s*$ule  7#a7 ,9 g5]al ,!       
quantity ( c>bon p]mits e/abli%$ by !   
,secret>y1 9 consultation ) !           
,adm9i/rator1 "u subsection 7a7 = any   
cal5d> ye> be=e #bjdj t is betwe5 !     
ne>e/ t>get ye>s specifi$ 9 p>agraph    
7#b7 prec$+ & succe$+ su* cal5d> ye>    
%all be ! quantity ( su* p]mits t       
repres5ts an equal1 pro rata r$uction f 
! prec$+ ye> to ! succe$+ ye>4  7#b7    
,t>gets  7,a7 ,initial t>get ,! quantity
 ( c>bon p]mits e/abli%$ = #bjbj %all be
 equal to #ab4e p]c5t less ?an ! numb] (
 metric tons ( c>bon dioxide emitt$ 9 ! 
,unit$ ,/ates 9 #bjje4  7,b7 ,decadal   

t>gets ,! quantity ( c>bon p]mits       
e/abli%$ =-- 7i7 #bjbe %all be equal to 
#ce p]c5t less ?an ! numb] ( metric tons
 ( c>bon dioxide emitt$ 9 ! ,unit$      
,/ates 9 #bjje1  7ii7 #bjcj %all be     
equal to #ej p]c5t less ?an ! numb] (   
metric tons ( c>bon dioxide emitt$ 9 !  
,unit$ ,/ates 9 #bjje1  7iii7 #bjce %all
 be equal to #fj p]c5t less ?an ! numb] 
( metric tons ( c>bon dioxide emitt$ 9 !
 ,unit$ ,/ates 9 #bjje1 &  7iv7 #bjdj   
%all be equal to #hj p]c5t less ?an !   
numb] ( metric tons ( c>bon dioxide     
emitt$ 9 ! ,unit$ ,/ates 9 #bjje4  7#c7 
,reports  7,a7 ,cal5d> ye> #bjch ,9     
#bjch ! ,secret>y1 aft] consultation ) !
 ,adm9i/rator1 %all submit a report to  
,congress mak+ recomm5dations conc]n+ ! 
program e/abli%$ "u ?is subtitle = ye>s 
aft] #bjdj1 includ+ ! quantity ( c>bon  
p]mits to be e/abli%$ & any r$uctions t 
may be necess>y to ensure a heal?y      
climate4  7,b7 ,av]t+ cata/rophic       
climatic impact ,! ,secret>y %all report
 to ,congress if ! ,secret>y1 aft]      

consultation ) ! ,adm9i/rator1 det]m9es 
! emissions r$uctions t>gets "u ?is     
subsection %\ld be revis$ 9 ord] to av]t
 cata/rophic climate impacts4 ,su*      
report %all include recomm5d$ revisions 
to ! exi/+ emissions r$uction s*$ule & !
 basis = ^? recomm5dations4  7c7        
,id5tification numb]s ,! ,secret>y %all 
assign to ea* c>bon p]mit e/abli%$ "u   
subsection 7a7 a unique id5tification   
numb] t includes ! v9tage ye> = t c>bon 
p]mit4  7d7 ,legal /atus ( c>bon p]mits 
7#a7 ,9 g5]al ,a c>bon p]mit does n     
con/itute a prop]ty "r4  7#b7 ,t]m9ation
 or limitation ,no?+ 9 ?is subtitle or  
any o!r provision ( law %all be con/ru$ 
to limit or alt] ! au?ority ( ! ,unit$  
,/ates1 includ+ ! ,secret>y act+        
pursuant to /atutory au?ority1 to       
t]m9ate or limit a c>bon p]mit4  7#c7   
,o!r provisions unaffect$ ,no?+ 9 ?is   
subtitle relat+ to c>bon p]mits issu$ "u
 ?is section %all affect ! application (
 any o!r provision ( law to a cov]$     
entity 7includ+ ! ,clean ,air ,act71 or 

! responsibility = a cov]$ entity to    
comply ) any su* provision ( law4       
,regional & ,/ate gre5h\se gas          
initiatives are n preempt$ by ?is       
subtitle4  7e7 ,regulations ,n lat] ?an 
,decemb] #ca1 #bjbj1 ! ,secret>y %all   
promulgate regulations to c>ry out !    
provisions ( ?is subtitle4  #iijc4      
,auctions  7a7 ,p]iodic auctions ,!     
,secret>y %all conduct p]iodic public   
auctions ( c>bon p]mits e/abli%$ "u     
section #iijb7;a74 ,! ,secret>y %all    
conduct at lea/ #d su* auctions 9 ea*   
ye> = :i* c>bon p]mits are e/abli%$4    
7b7 ,auction rules ,! ,secret>y %all--  
7#a7 limit auction p>ticipation only to 
cov]$ entities1  7#b7 e/abli% a limit on
 ! am\nt ( c>bon p]mits t c be pur*as$  
by a s+le entity at ea* auction & an    
aggregate limit on ! total am\nt (      
p]mits t c be held by a s+le entity at  
any "o "t t--  7,a7 reflects anticipat$ 
sector & p>ticipant dem&1  7,b7 prev5ts 
speculation1 manipulation1 or ho>d+ (   
p]mits1 &  7,c7 does n int]f]e ) normal 

m>ket competition1 &  7#c7 h ! au?ority 
to set a m9imum p]mit price at auction4 
7c7 ,unsold p]mits ,any c>bon p]mit     
unsold at auction may be (f]$ at ! next 
qu>t]ly auction 9 ! cal5d> ye>4 ,any    
c>bon p]mit unsold aft] ! la/ auction = 
a cal5d> ye> %all be transf]r$ to !     
res]ve e/abli%$ "u section #iijh4       
#iijd4 ,compliance obligation  7a7 ,9   
g5]al ,n lat] ?an ,april #a1 #bjba1 &   
,april #a ( ea* ye> !reaft]1 ea* cov]$  
entity %all surr5d] to ! ,secret>y a    
quantity ( c>bon p]mits at lea/ z great 
z ! numb] ( metric tons ( c>bon dioxide 
t ! ,secret>y1 9 consultation ) !       
,adm9i/rator1 det]m9es w\ld be emitt$ by
 ! combu/ion ( cov]$ fuels ) respect to 
:i* ! cov]$ entity made ! fir/ sale 9   
,unit$ ,/ates m>kets dur+ ! previ\s     
cal5d> ye>4  7b7 ,use treat$ z sale ,=  
purposes ( subsection 7a71 consumption =
 an emitt+ use by ! cov]$ entity ( cov]$
 fuels produc$ by ! cov]$ entity %all be
 treat$ z a fir/ sale4  7c7 ,exemption  
,a cov]$ entity %all n h to surr5d] a   

c>bon p]mit = ! sale ( a cov]$ fuel     
consum$ = a non-emitt+ use1 z def9$ &   
v]ifi$ by ! ,secret>y 9 consultation ) !
 ,adm9i/rator1 unless su* cov]$ fuel is 
sold to a p]son issu$ c>bon p]mits "u   
section #iijf4  #iije4 ,p5alty =        
noncompliance  7a7 ,9 g5]al ,any cov]$  
entity t fails = any ye> to surr5d]1 by 
! deadl9e describ$ 9 section #iijd1 "o  
or m ( ! c>bon p]mits due pursuant to   
su* section %all be liable = paym5t to !
 ,secret>y ( a p5alty 9 ! am\nt describ$
 9 subsection 7b74  7b7 ,am\nt ,! am\nt 
( a p5alty requir$ to be paid "u        
subsection 7a7 %all be equal to !       
product obta9$ by multiply+--  7#a7 !   
numb] ( c>bon p]mits t ! cov]$ entity   
fail$ to surr5d] by ! deadl9e1 by  7#b7 
#c times ! fair m>ket value ( c>bon     
p]mits issu$ = emissions occurr+ 9 !    
cal5d> ye> = :i* ! c>bon p]mits 7 due4  
7c7 ,tim+ ,a p5alty requir$ "u ?is      
section %all be imm$iately due & payable
 to ! ,secret>y1 )\t dem&1 9 accordance 
) regulations promulgat$ by ! ,secret>y1

 :i* %all be issu$ n lat] ?an #a ye>    
aft] ! date ( enactm5t ( ?is subtitle4  
7d7 ,no effect on liability ,a p5alty   
due & payable by ! cov]$ entity "u ?is  
section %all n dim9i% ! liability ( !   
cov]$ entity = any f9e1 p5alty1 or      
assessm5t aga9/ ! cov]$ entity = ! same 
violation "u any o!r provision ( law4   
7e7 ,p5alty n d$uctible ,no d$uction    
%all be all[$ "u subtitle ,a = a p5alty 
paid "u ?is section4  #iijf4 ,c>bon     
capture & seque/ration  7a7 ,9 g5]al ,! 
,secret>y %all issue a c>bon p]mit to   
any p]son :o ! ,secret>y1 9 consultation
 ) ! ,adm9i/rator1 det]m9es has safely &
 v]ifiably captur$ & seque/]$ c>bon     
dioxide f ! combu/ion ( cov]$ fuels 9 ! 
,unit$ ,/ates4  7b7 ,quantity ,!        
quantity ( ea* p]mit issu$ "u subsection
 7a7 %all be 9 ! am\nt equival5t to !   
numb] ( metric tons ( c>bon dioxide s   
captur$ & seque/]$4  7c7 ,coord9ation ,!
 quantity ( p]mits issu$ "u ?is section 
%all be 9 addition to ! quantity (      
p]mits e/abli%$ "u section #iijb7;a74   

#iijg4 ,trad+  7a7 ,p]mitt$ transactions
 ,! lawful hold] ( a c>bon p]mit may--  
7#a7 hold ! c>bon p]mit1 subject to !   
limits e/abli%$ by ! ,secret>y "u       
section #iijc7;b77#b71 or  7#b7 sell1   
ex*ange1 or transf] ! c>bon p]mit to a  
cov]$ entity consi/5t ) ! limits        
e/abli%$ by ! ,secret>y "u section      
#iijc7;b77#b74  7b7 ,effectiv5ess (     
c>bon p]mit transf]s ,no transf] ( a    
c>bon p]mit %all be effective until a   
writt5 c]tification ( ! transf]1 sign$  
by a responsible (ficial ( ! transf]or1 
is receiv$ & record$ by ! ,secret>y 9   
accordance ) regulations promulgat$ "u  
section #iijb7;e74  7c7 ,c>bon p]mit    
track+ sy/em ,! regulations promulgat$  
"u section #iijb7;e7 %all include a     
sy/em = issu+1 record+1 hold+1 & track+ 
c>bon p]mits t %all specify all necess>y
 proc$ures & requirem5ts = an ord]ly &  
competitive function+ ( ! c>bon p]mit   
sy/em4 ,su* regulations %all provide =  
appropriate publication ( ! in=mation 9 
! sy/em on ! ,int]net4  #iijh4 ,bank+ & 

borr[+  7a7 ,bank+ ,a c>bon p]mit may be
 us$ to meet ! compliance obligation    
requirem5ts ( section #iijd = emissions 
9--  7#a7 ! v9tage ye> = ! c>bon p]mit1 
or  7#b7 any cal5d> ye> subsequ5t to !  
v9tage ye> = ! c>bon p]mit 9 accordance 
) subsection 7b74  7b7 ,res]ve ,!       
,secret>y %all e/abli% a res]ve = c>bon 
p]mits4 ,c>bon p]mits transf]r$ into !  
res]ve %all be available 9 ! mann]      
det]m9$ by ! ,secret>y :5 ! ,secret>y   
det]m9es t price po9t = c>bon p]mits    
det]m9$ "u subsection 7d7 is met &      
additional c>bon p]mit supply is ne$$ to
 /abilize ! auction price4 ,p]mits 9 !  
res]ve %all be us$ on a fir/ 91 fir/ out
 basis4  7c7 ,expiration ,a c>bon p]mit 
%all n expire unless-- 7#a7 x is        
surr5d]$ to ! ,secret>y "u section #iijd
 or section #iijg7;a77#c71  7#b7 x has  
rema9$ 9 ! res]ve = #e ye>s aft] be+    
transf]r$ into ! res]ve1 or  7#c7 !     
,secret>y det]m9es by regulation t      
expiration is necess>y to ensure !      
au!nticity & integrity ( c>bon p]mits or

 ! c>bon p]mit track+ sy/em4  7d7       
,borr[+ future v9tage ye> c>bon p]mits  
7#a7 ,9 g5]al ,if ! auction price =     
c>bon p]mits increases by m ?an #ej     
p]c5t above ! av]age auction price =    
c>bon p]mits dur+ ! prec$+ two ye>s 7or1
 if be=e ! ?ird ye> = :i* auctions are  
conduct$1 ! av]age auction price = c>bon
 p]mits dur+ ! prec$+ auctions71 !      
,secret>y %all auction z _m additional  
c>bon p]mits z are necess>y to /abilize 
! auction price4  7#b7 ,special rules   
7,a7 ,coord9ation ) res]ve ,additional  
p]mits may n be auction$ "u p>agraph    
7#a7 until aft] all available p]mits 9 !
 res]ve = c>bon p]mits e/abli%$ "u      
subsection 7b7 h be5 us$4  7,b7         
,r$uction 9 v9tage ye> p]mits ,any c>bon
 p]mits made available "u ?is subsection
 %all result 9 an equival5t r$uction 9 !
 aggregate am\nt ( c>bon p]mits made    
available 9 v9tage ye>s #bjcj ?r\gh     
#bjdj z set =? 9 section #iijb1 & !     
,secret>y %all r$uce ! numb] ( c>bon    
p]mits by an equal p]c5tage 9 ea* ( ^?  

v9tage ye>s4  #ajb ,heal?y ,climate     
,divid5ds  ,sec4 #iiaa4 ,heal?y ,climate
 ,tru/ ,fund4,sec4 #iiab4 ,heal?y       
,climate ,divid5d ,paym5ts4,sec4 #iiac4 
,transp>5cy4  #iiaa4 ,heal?y ,climate   
,tru/ ,fund  7a7 ,e/abli%m5t ,!re is    
e/abli%$ 9 ! ,treasury ( ! ,unit$ ,/ates
 a tru/ fund to be kn[n z ! ,heal?y     
,climate ,tru/ ,fund1 consi/+ ( su*     
am\nts z may be appropriat$ to su* tru/ 
fund z provid$ = 9 ?is section4  7b7    
,transf]s  7#a7 ,proce$ am\nts ,!re are 
appropriat$ to ! ,heal?y ,climate ,tru/ 
,fund am\nts equival5t to funds receiv$ 
z proce$s "u section #iijc4  7#b7       
,p5alty am\nts ,!re are appropriat$ to !
 ,heal?y ,climate ,tru/ ,fund am\nts    
equival5t to funds receiv$ z p5alties "u
 section #iije4  7c7 ,exp5ditures  7#a7 
,adm9i/rative exp5ses ,su* am\nts z may 
be necess>y f ! ,heal?y ,climate ,tru/  
,fund %all be available to pay !        
adm9i/rative exp5ses necess>y to c>ry   
out ?is section = ea* mon?1 b n exce$+ !
 am\nt ( int]e/ cr$it$ to ! tru/ fund "u

 section #ifjb4  7#b7 ,heal?y ,climate  
,divid5d ,paym5ts ,am\nts 9 ! ,heal?y   
,climate ,tru/ ,fund n us$ "u p>agraph  
7#a7 = any mon? %all be available = mak+
 ,heal?y ,climate ,divid5d ,paym5ts "u  
section #iiab4  #iiab4 ,heal?y ,climate 
,divid5d ,paym5ts  7a7 ,9 g5]al ,=      
purposes ( ?is section3 7#a7 ,heal?y    
,climate ,divid5d ,paym5t ,! t]m ,heal?y
 ,climate ,divid5d ,paym5t means !      
individual pro-rata %>e1 z det]m9$ by ! 
,secret>y1 ( am\nts available = any     
qu>t] 9 ! ,heal?y ,climate ,tru/ ,fund  
"u section #iiaa7;c77#b74 ,= purposes ( 
! prec$+ s5t5ce1 ! am\nts available =   
any qu>t] %all be ! fraction ( ! total  
am\nt made available f an auction       
conduct$ "u section #iijc--  7,a7 !     
num]ator ( :i* is #a1 &  7,b7 !         
d5om9ator ( :i* is ! numb] ( qu>t]s 9 ! 
p]iod beg9n+ ) ! qu>t] 9 :i* su* auction
 is conduct$ & end+ ) ! qu>t] be=e !    
qu>t] 9 :i* ! next su* auction is s*$ul$
 to be conduct$4  7#b7 ,eligible        
individual  7,a7 ,9 g5]al ,! t]m        

eligible individual means1 ) respect to 
any qu>t]1 any individual ) a valid     
social security numb] 7o!r ?an a        
nonresid5t ali5 individual7 :o is       
lawfully pres5t 9 ! ,unit$ ,/ates = su* 
qu>t]1 z det]m9$ & v]ifi$ by ! ,secret>y
 9 consultation ) any o!r ,f$]al entity 
! ,secret>y det]m9es appropriate4  7,b7 
,opt out ,an individual may elect n to  
be treat$ z an eligible individual4  7b7
 ,paym5t ( ,heal?y ,climate ,divid5d ,f 
am\nts made available "u section        
#iiaa7;c77#b71 ! ,secret>y %all make a  
,heal?y ,climate ,divid5d ,paym5t n lat]
 ?an ! end ( ! cal5d> qu>t] foll[+ !    
cal5d> qu>t] 9 :i* su* am\nts are       
appropriat$ to ! ,heal?y ,climate ,tru/ 
,fund "u section #iiaa to ea* individual
 :o is an eligible individual = t qu>t]4
 ,su* paym5ts %all be made by electronic
 means to ! maximum ext5t practicable4  
7c7 ,exclusion f gross income ,gross    
income %all n include any ,heal?y       
,climate ,divid5d paid "u ?is section4  
7d7 ,regulations ,! ,secret>y %all      

prescribe su* regulations & o!r guidance
 z may be necess>y or appropriate to    
c>ry out ?is section4  #iiac4           
,transp>5cy  7a7 ,report to ,congress ,n
 lat] ?an ,june #cj1 #bjba1 & at lea/   
annually !reaft]1 ! ,secret>y %all      
transmit to ,congress a report acc\nt+ =
 ! disposition ( am\nts 9 ! ,heal?y     
,climate ,tru/ ,fund 9 ! previ\s cal5d> 
ye>4  7b7 ,heal?y ,climate ,tru/ ,fund  
,website ,n lat] ?an #ij days aft] !    
date ( ! enactm5t ( ?is subtitle1 !     
,secret>y %all e/abli% & ma9ta9 a       
website to provide ! public ) in=mation 
on ! disposition ( any am\nts 9 !       
,heal?y ,climate ,tru/ ,fund4  #ajc     
,bord] ,adju/m5ts  ,sec4 #iiba4 ,c>bon  
equival5cy fee4,sec4 #iibb4             
,def9itions4,sec4 #iibc4 ,s5se (        
,congress4  #iiba4 ,c>bon equival5cy fee
  7a7 ,imports ,! ,secret>y %all impose 
c>bon equival5cy fees to be collect$ by 
! ,commission] responsible = ,u4,s4     
,cu/oms & ,bord] ,control on imports (  
c>bon-int5sive goods4 ,! am\nt ( ! c>bon

 equival5cy fee %all be equal to ! co/ t
 dome/ic produc]s ( a comp>able         
c>bon-int5sive good incur z a result (--
  7#a7 prices paid 9 ! acquisition (    
c>bon p]mits by cov]$ entities "u ?is   
subtitle1 &  7#b7 c>bon equival5cy fees 
paid by import]s ( c>bon-int5sive goods 
us$ 9 ! production ( ! comp>able        
c>bon-int5sive good4  7b7 ,paym5ts to   
,export]s ,! ,secret>y %all pay )\t     
int]e/ to p]sons export+ f ! ,unit$     
,/ates c>bon-int5sive goods produc$ 9 ! 
,unit$ ,/ates4 ,! am\nt ( ! paym5t %all 
be equal to ! co/ t dome/ic produc]s ( !
 c>bon-int5sive good incur z a result   
(--  7#a7 prices paid 9 ! acquisition ( 
c>bon p]mits by cov]$ entities "u ?is   
subtitle1 &  7#b7 c>bon equival5cy fees 
paid by import]s ( c>bon-int5sive goods 
us$ 9 ! production ( ! comp>able        
c>bon-int5sive good4  7c7 ,expiration   
,?is section %all cease to h effect at  
su* "t z & to ! ext5t t-- 7#a7 an       
int]national agreem5t requir+ c\ntries t
 emit gre5h\se gases & produce          

c>bon-int5sive goods = export m>kets to 
adopt equival5t measures comes into     
effect1 or  7#b7 ! c\ntry ( export has  
implem5t$ equival5t measures1 z det]m9$ 
by ! ,secret>y1 9 consultation ) !      
,secret>y ( ,/ate4  #iibb4 ,def9itions  
,9 ?is *apt]3 7#a7 ,c>bon-int5sive good 
,! t]m c>bon-int5sive good means a good 
t1 z id5tifi$ by ! ,secret>y1 9         
consultation ) ! ,adm9i/rator1 by rule--
  7,a7 is a prim>y product1 or  7,b7 is 
a manufactur$ item 9 :i* "o or m prim>y 
products are inputs & ! co/ ( production
 ( :i* 9 ! ,unit$ ,/ates is             
significantly increas$ by reason ( !    
requirem5ts "u ?is subtitle4  7#b7      
,prim>y product ,! t]m prim>y product   
means-- 7,a7 iron1 /eel1 /eel mill      
products 7includ+ pipe & tube71 alum9um1
 cem5t1 glass 7includ+ flat1 conta9]1 & 
specialty glass & fib]glass71 pulp1     
pap]1 *emicals1 or indu/rial c]amics1 & 
7,b7 any o!r manufactur$ product t !    
,secret>y1 9 consultation ) !           
,adm9i/rator1 det]m9es--  7i7 is sold = 

purposes ( fur!r manufacture1 &  7ii7   
g5]ates1 9 ! c\rse ( ! manufacture ( !  
product1 direct & indirect gre5h\se gas 
emissions t are comp>able 7on an        
emissions-p]-doll> ( output basis7 to   
emissions g5]at$ 9 ! manufacture or     
production ( a prim>y product id5tifi$ 9
 subp>agraph 7,a74  7#c7 ,equival5t     
measure ,! t]m #8equival5t measure'     
means a tax1 or o!r regulatory          
requirem5t t imposes a co/1 on          
manufactur]s ( c>bon-int5sive goods     
locat$ outside ! ,unit$ ,/ates1 by      
reason ( gre5h\se gas emissions 9 !     
production ( su* goods by su*           
manufactur]s1 approximately equal to !  
co/ impos$ by ?is subtitle on           
manufactur]s ( comp>able c>bon-int5sive 
goods locat$ 9 ! ,unit$ ,/ates4  #iibc4 
,s5se ( ,congress ,x is ! s5se (        
,congress t ! ,unit$ ,/ates %\ld "w     
proactively "u ! ,unit$ ,nations        
,framework ,conv5tion on ,climate ,*ange
 & 9 o!r appropriate =a1 to e/abli% b9d+
 agreem5ts committ+ all major gre5h\se  

gas emitt+ c\ntries & c\ntries )        
globally competitive produc]s (         
c>bon-int5sive goods to contribute      
equitably to ! r$uction ( global        
gre5h\se gas emissions on a s*$ule &    
ord] ( magnitude necess>y to /abilize ! 
climate4  4  7b7 ,cl]ical ,am5dm5t ,!   
table ( subtitles = ! ,int]nal ,rev5ue  
,code ( #aihf is am5d$ by add+ at ! end 
! foll[+ new item3  ,subtitle ,l4       
,auction ( ,c>bon ,p]mits & ,di/ribution
 ( ,heal?y ,climate ,divid5ds4  4  #d4  
,non-auction gre5h\se gases  7a7        
,def9itions ,9 ?is section3 7#a7 ,! t]m 
,adm9i/rator means ! ,adm9i/rator ( !   
,environm5tal ,protection ,ag5cy4  7#b7 
,! t]m non-auction gre5h\se gas ref]s to
 ! gases includ$ on ! li/ 9 effect "u   
subsection 7b74  7b7 ,li/ ( non-,auction
 gre5h\se gases  7#a7 ,initial li/ ,n   
lat] ?an #b ye>s aft] ! date ( !        
enactm5t ( ?is ,act1 ! ,adm9i/rator1 by 
rule1 %all f9alize & publi% a li/ t--   
7,a7 consi/s ( ! an?ropog5ically emitt$ 
gases t are det]m9$ by ! ,adm9i/rator to

 contribute to global w>m+2 &  7,b7     
excludes gases to ! ext5t !y are-- 7i7  
c>bon dioxide emitt$ by ! combu/ion ( a 
cov]$ fuel 7z su* t]m is def9$ 9 section
 #iija ( ! ,int]nal ,rev5ue ,code (     
#aihf1 z add$ by section #c7;a7 ( ?is   
,act72 or  7ii7 directly attributable to
 ! production ( animals = food or food  
products4  7#b7 ,updates ,! ,adm9i/rator
 %all p]iodically review &1 z           
appropriate1 update ! li/ "u p>agraph   
7#a74  7c7 ,regulations  7#a7 ,9 g5]al  
,"u ! au?orities ve/$ 9 ! ,adm9i/rator  
by ! ,clean ,air ,act 7#db ,u4,s4,c4    
#gdja et seq47 & any o!r applicable law 
7o!r ?an ?is section71 ! ,adm9i/rator   
%all promulgate regulations address+ !  
contribution ( non-auction gre5h\se     
gases to global w>m+4  7#b7             
,int]national competitiv5ess ,9         
promulgat+ regulations "u ?is           
subsection1 ! ,adm9i/rator %all take    
into consid]ation ! effect ( su*        
regulations on ! int]national           
competitiv5ess ( bus9esses & indu/ries (

 ! ,unit$ ,/ates4  7d7 ,s*$ule  7#a7 ,9 
g5]al ,! regulations "u subsection 7c7  
%all ensure t-- 7,a7 n lat] ?an #d ye>s 
aft] ! date ( enactm5t ( ?is ,act1      
requirem5ts take effect to regulate     
s\rces :i*1 collectively1 emit n less   
?an #be p]c5t ( non-auction gre5h\se    
gases emitt$ 9 ! ,unit$ ,/ates2  7,b7 n 
lat] ?an #f ye>s aft] ! date ( enactm5t 
( ?is ,act1 requirem5ts take effect to  
regulate s\rces :i*1 collectively1 emit 
n less ?an #ej p]c5t ( non-auction      
gre5h\se gases emitt$ 9 ! ,unit$ ,/ates2
  7,c7 n lat] ?an #h ye>s aft] ! date ( 
enactm5t ( ?is ,act1 requirem5ts take   
effect to regulate s\rces :i*1          
collectively1 emit n less ?an #ge p]c5t 
( non-auction gre5h\se gases emitt$ 9 ! 
,unit$ ,/ates2 &  7,d7 n lat] ?an #aj   
ye>s aft] ! date ( enactm5t ( ?is ,act1 
requirem5ts take effect to regulate     
s\rces :i*1 collectively1 emit #ajj     
p]c5t ( non-auction gre5h\se gases      
emitt$ 9 ! ,unit$ ,/ates4  7#b7 ,basel9e
 ,! p]c5tages specifi$ 9 p>agraph 7#a7  

%all be appli$ relative to ! aggregate  
quantity ( non-auction gre5h\se gases   
emitt$ 9 ! ,unit$ ,/ates dur+ ! cal5d>  
ye> 9 :i* ! initial li/ "u subsection   
7b77#a7 is requir$ to be f9aliz$ by su* 
subsection4  7e7 ,priorities ,9 det]m9+ 
priorities = regulat+ ! emissions (     
non-auction gre5h\se gases "u subsection
 7c71 ! ,adm9i/rator %all consid]--     
7#a7 ! degree to :i* ! gases involv$    
contribute to global w>m+2 &  7#b7 !    
spe$ ) :i* a giv5 r$uction w\ld         
contribute to /abiliz+ ! climate4  7f7  
,citiz5 suits ,! provisions ( section   
#cjd ( ! ,clean ,air ,act 7#db ,u4,s4,c4
 #gfjd7 %all apply ) respect to a       
violation ( a requirem5t "u ?is section1
 or ! failure ( ! ,adm9i/rator to p]=m a
 non-discretion>y act or duty "u ?is    
section1 to ! same ext5t & 9 ! same     
mann] z su* provisions apply ) respect  
to a violation describ$ 9 subsection 7a7
 ( su* section #cjd or a failure to p]=m
 a non-discretion>y act or duty describ$
 9 su* subsection4  7g7 ,report to      

,congress ,n lat] ?an #b ye>s aft] !    
date ( ! enactm5t ( ?is ,act1 !         
,adm9i/rator %all submit a report to !  
,congress id5tify+ any additions or     
modifications to /atutory provisions :i*
 are ne$$ = ! ,adm9i/rator to           
effectively address ! contribution (    
non-auction gre5h\se gases to global    
w>m+4  #e4 ,disclosure ( in=mation  7a7 
,limit$ disclosure ( id5tity ,subsection
 7l7 ( section #fajc ( ! ,int]nal       
,rev5ue ,code ( #aihf is am5d$ by add+  
at ! end ! foll[+ new p>agraph3  7#bc7  
,limit$ disclosure ( id5tity in=mation  
relat+ to ,heal?y ,climate ,divid5d     
,paym5ts  7,a7 ,dep>tm5t ( ! ,treasury  
,individual id5tity in=mation %all1 )\t 
writt5 reque/1 be op5 to inspection by  
or disclosure to (fic]s & employees ( ! 
,dep>tm5t ( ! ,treasury ^: (ficial      
duties require su* inspection or        
disclosure = purposes ( section #iiab4  
7,b7 ,commission] ( ,social ,security ,!
 ,commission] ( ,social ,security %all1 
on writt5 reque/1 disclose to (fic]s &  

employees ( ! ,dep>tm5t ( ! ,treasury   
individual id5tity in=mation :i* has be5
 disclos$ to ! ,social ,security        
,adm9i/ration z provid$ by p>agraph 7#a7
 or 7#e74  7,c7 ,re/riction on          
disclosure ,in=mation disclos$ "u ?is   
p>agraph %all be disclos$ only =        
purposes (1 & to ! ext5t necess>y 91    
c>ry+ out section #iiab4  4  7b7 ,con=m+
 am5dm5ts ,section #fajc7p77#c77;,a7 ( !
 ,int]nal ,rev5ue ,code ( #aihf is am5d$
 by /rik+ or 7#ah7 & ins]t+ 1 7#bc71 or 
7#ba74  #f4 ,effective date ,! am5dm5ts 
made by ?is ,act %all take effect on !  
date ( ! enactm5t ( ?is ,act4