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[Discussion Draft]
[Discussion Draft]
October 28, 2021
117th CONGRESS 1st Session
Rules Committee Print 117–17
Text of H.R. 5376, Build Back Better Act
Offered by M_. ______
[Showing the text of H.R. 5376, as reported by the Committee on the Budget, with modifications.]
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10001.In this title:
(1)The term insular area has the meaning given such term in section 1404 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103).
(2)The term Secretary means the Secretary of Agriculture.
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11001.National forest system restoration and fuels reduction projects
(a)In addition to amounts otherwise available, there are appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$10,000,000,000 for hazardous fuels reduction projects on National Forest System land within the wildland-urban interface;
(2)$4,000,000,000 for, on a determination made solely by the Secretary that hazardous fuels reduction projects within the wildland-urban interface described in paragraph (1) have been planned to protect, to the extent practicable, at-risk communities, hazardous fuels reduction projects on National Forest System land outside the wildland-urban interface that are—
(A)primarily noncommercial in nature, provided that, in accordance with the best available science, the harvest of merchantable materials shall be ecologically appropriate for restoration and to enhance ecological health and function, and any sale of merchantable materials under this paragraph shall be limited to small diameter trees or biomass that are a byproduct of hazardous fuel reduction projects;
(B)collaboratively developed; and
(C)carried out in a manner that enhances the ecological integrity and achieves the restoration of a forest ecosystem; maximizes the retention of old-growth and large trees, as appropriate for the forest type; and prioritizes prescribed fire as the primary means to achieve modified wildland fire behavior;
(3)$1,000,000,000 for vegetation management projects carried out solely on National Forest System land that the Secretary shall select following the receipt of proposals submitted in accordance with subsections (a), (b), and (c) of section 4003 of the Omnibus Public Land Management Act of 2009 (16 U.S.C. 7303);
(4)$400,000,000 for vegetation management projects on National Forest System land carried out in accordance with a water source management plan or a watershed protection and restoration action plan;
(5)$400,000,000 for vegetation management projects on National Forest System land that—
(A)maintain, or contribute toward the restoration of, reference old growth characteristics, including structure, composition, function, and connectivity;
(B)prioritize small diameter trees and prescribed fire to modify fire behavior; and
(C)maximize the retention of large trees, as appropriate for the forest type;
(6)$450,000,000 for the Legacy Roads and Trails program of the Forest Service;
(7)$350,000,000 for National Forest System land management planning and monitoring, prioritized on the assessment of watershed, ecological, and carbon conditions on National Forest System land and the revision and amendment of older land management plans that present opportunities to protect, maintain, restore, and monitor ecological integrity, ecological conditions for at-risk species, and carbon storage;
(8)$100,000,000 for maintenance of trails on National Forest System land, with a priority on trails that provide to underserved communities access to National Forest System land;
(9)$100,000,000 for capital maintenance and improvements on National Forest System land, with a priority on maintenance level 3, 4, and 5 roads and improvements that restore ecological integrity and conditions for at-risk species;
(10)$100,000,000 to provide for more efficient and more effective environmental reviews by the Chief of the Forest Service in satisfying the obligations of the Chief of the Forest Service under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 through 4370m–12);
(11)$50,000,000 to develop and carry out activities and tactics for the protection of older and mature forests on National Forest System land, including completing an inventory of older and mature forests within the National Forest System;
(12)$50,000,000 to develop and carry out activities and tactics for the maintenance and restoration of habitat conditions necessary for the protection and recovery of at-risk species on National Forest System land;
(13)$50,000,000 to carry out post-fire recovery plans on National Forest System land that emphasize the use of locally adapted native plant materials to restore the ecological integrity of disturbed areas and do not include salvage logging; and
(14)$50,000,000 to develop and carry out nonlethal activities and tactics to reduce human-wildlife conflicts on National Forest System land.
(b)For projects described in paragraphs (1) through (5) of subsection (a), the Secretary shall prioritize for implementation projects—
(1)for which an environmental assessment or an environmental impact statement required under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 through 4370m–12) has been completed;
(2)that are collaboratively developed; or
(3)that include opportunities to restore sustainable recreation infrastructure or access or accomplish other recreation outcomes on National Forest System lands, if the opportunities are compatible with the primary restoration purposes of the project.
(c)None of the funds made available by this section may be used for any activity—
(1)conducted in a wilderness area or wilderness study area;
(2)that includes the construction of a permanent road or permanent trail;
(3)that includes the construction of a temporary road, except in the case of a temporary road that is decommissioned by the Secretary not later than 3 years after the earlier of—
(A)the date on which the temporary road is no longer needed; and
(B)the date on which the project for which the temporary road was constructed is completed;
(4)inconsistent with the applicable land management plan;
(5)inconsistent with the prohibitions of the rule of the Forest Service entitled Special Areas; Roadless Area Conservation
(66 Fed. Reg. 3244 (January 12, 2001)), as modified by subparts C and D of part 294 of title 36, Code of Federal Regulations; or
(6)carried out on any land that is not National Forest System land, including other forested land on Federal, State, Tribal, or private land.
(d)In this section:
(1)The term at-risk community has the meaning given the term in section 101 of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6511).
(2)Collaboratively developedThe term collaboratively developed means, with respect to a project located exclusively on National Forest System land, that the project is developed and implemented through a collaborative process that—
(A)includes multiple interested persons representing diverse interests, except such persons shall not be employed by the Federal government or representatives of foreign entities; and
(B)
(i)is transparent and nonexclusive; or
(ii)meets the requirements for a resource advisory committee under subsections (c) through (f) of section 205 of the Secure Rural Schools and Community Self-Determination Act of 2000 (16 U.S.C. 7125).
(3)The term decommission means, with respect to a road—
(A)reestablishing native vegetation on the road;
(B)restoring any natural drainage, watershed function, or other ecological processes that were disrupted or adversely impacted by the road by removing or hydrologically disconnecting the road prism and reestablishing stable slope contours; and
(C)effectively blocking the road to vehicular traffic, where feasible.
(4)The term ecological integrity has the meaning given the term in section 219.19 of title 36, Code of Federal Regulations (as in effect on the date of enactment of this Act).
(5)Hazardous fuels reduction projectThe term hazardous fuels reduction project means an activity, including the use of prescribed fire, to protect structures and communities from wildfire that is carried out on National Forest System land.
(6)The term restoration has the meaning given the term in section 219.19 of title 36, Code of Federal Regulations (as in effect on the date of enactment of this Act).
(7)Vegetation management projectThe term vegetation management project means an activity carried out on National Forest System land to enhance the ecological integrity and achieve the restoration of a forest ecosystem through the removal of vegetation, the use of prescribed fire, the restoration of aquatic habitat, or the decommissioning of an unauthorized, temporary, or system road.
(8)Water source management planThe term water source management plan means a plan developed under section 303(d)(1) of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6542(d)(1)).
(9)Watershed protection and restoration action planThe term watershed protection and restoration action plan means a plan developed under section 304(a)(3) of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6543(a)(3)).
(10)The term wildland-urban interface has the meaning given the term in section 101 of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6511).
(e)Nothing in this section shall be interpreted to authorize funds of the Commodity Credit Corporation for activities under this section if such funds are not expressly authorized or currently expended for such purposes.
(f) Any partnership agreements, including cooperative agreements and mutual interest agreements, using funds made available under this section shall be subject to a non-Federal cost-share requirement of not less than 20 percent of the project cost, which may be waived at the discretion of the Secretary.
11002.Non-Federal land forest restoration and fuels reduction projects and research
(a)In addition to amounts otherwise available, there are appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$2,000,000,000 to award grants to Tribal, State, or local governments or the government of the District of Columbia, regional organizations, special districts, or nonprofit organizations to support, on non-Federal land, forest restoration and resilience projects, including projects to reduce the risk of wildfires and establish defensible space around structures within at-risk communities (as defined in section 101 of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6511));
(2)$1,000,000,000 to award grants to Tribal, State, or local governments or the government of the District of Columbia, regional organizations, special districts, or nonprofit organizations to implement community wildfire protection plans (as defined in section 101 of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6511)) in existence on the date of the enactment of this Act, purchase firefighting equipment, provide firefighter training, and increase the capacity for planning, coordinating, and monitoring projects on non-Federal land to protect at-risk communities (as defined in section 101 of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6511));
(3)$250,000,000 to award grants to Tribal, State, or local governments or the government of the District of Columbia, regional organizations, special districts, or nonprofit organizations for projects on non-Federal land to aid in the recovery and rehabilitation of burned forested areas, including reforestation;
(4)$175,000,000 to award grants to Tribal, State, or local governments or the government of the District of Columbia, regional organizations, special districts, or nonprofit organizations for projects on non-Federal land to expand equitable outdoor access and promote tourism on non-Federal forested land for members of underserved groups;
(5)$150,000,000 for the State Fire Assistance and Volunteer Fire Assistance programs established under the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2101 through 2114) to be distributed at the discretion of the Secretary;
(6)$150,000,000 for the implementation of State-wide forest resource strategies under section 2A of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2101a);
(7)$250,000,000 for the competitive grant program under section 13A of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2109a) for providing through that program a cost share to carry out climate mitigation or forest resilience practices in the case of underserved forest landowners, subject to the condition that subsection (h) of that section shall not apply;
(8)$250,000,000 for the competitive grant program under section 13A of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2109a) for providing through that program grants to support the participation of underserved forest landowners in emerging private markets for climate mitigation or forest resilience, subject to the condition that subsection (h) of that section shall not apply;
(9)$250,000,000 for the competitive grant program under section 13A of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2109a) for providing through that program grants to support the participation of forest landowners who own less than 2,500 acres of forest land in emerging private markets for climate mitigation or forest resilience, subject to the condition that subsection (h) of that section shall not apply;
(10)$500,000,000 for the competitive grant program under section 13A of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2109a) to provide grants to states and other eligible entities to provide payments to owners of private forest land for implementation of forestry practices on private forest land, that are determined by the Secretary, based on the best available science, to provide measurable increases in carbon sequestration and storage beyond customary practices on comparable land, subject to the conditions that—
(A)those payments shall not preclude landowners from participation in other public and private sector financial incentive programs; and
(B)subsection (h) of that section shall not apply;
(11)$50,000,000 for the forest inventory and analysis program established under section 3(e) of the Forest and Rangeland Renewable Resources Research Act of 1978 (16 U.S.C. 1642(e)) for activities and tactics to accelerate and expand existing research efforts to improve forest carbon monitoring technologies to better predict changes in forest carbon due to climate change;
(12)$100,000,000 for the forest inventory and analysis program established under section 3(e) of the Forest and Rangeland Renewable Resources Research Act of 1978 (16 U.S.C. 1642(e)) to carry out recommendations from a panel of relevant experts convened by the Secretary that has reviewed and, based on the review, issued recommendations regarding the current priorities and future needs of the forest inventory and analysis program with respect to climate change, forest health, sustainable wood products, and increasing carbon storage in forests;
(13)$50,000,000 for the forest inventory and analysis program established under section 3(e) of the Forest and Rangeland Renewable Resources Research Act of 1978 (16 U.S.C. 1642(e)) to provide enhancements to the technology managed and used by the forest inventory and analysis program, including cloud computing and remote sensing for purposes such as small area estimation;
(14)$775,000,000 to provide grants under the wood innovation grant program under section 8643 of the Agriculture Improvement Act of 2018 (7 U.S.C. 7655d), including for the construction of new facilities that advance the purposes of the program, subject to the conditions that the amount of such a grant shall be not more than $5,000,000; notwithstanding subsection (d) of that section, a recipient of such a grant shall provide funds equal to not less than 50 percent of the amount received under the grant, to be derived from non-Federal sources; and a priority shall be placed on projects that create a financial model for addressing forest restoration needs on public or private forest land; and
(15)$50,000,000 for the research mission area of the Forest Service to carry out greenhouse gas life cycle analyses of domestic wood products.
(b)Funding for restoration on non-Federal areas by StatesThe Secretary may use amounts made available by this section to carry out eligible projects as determined by the Secretary, authorized in subsection (a) on non-Federal land upon the request of the Governor of that State.
(c)Any partnership agreements, including cooperative agreements and mutual interest agreements, using funds made available under this section shall be subject to a non-Federal cost-share requirement of not less than 20 percent of the project cost, which may be waived at the discretion of the Secretary.
(d)Nothing in this section shall be interpreted to authorize funds of the Commodity Credit Corporation for activities under this section if such funds are not expressly authorized or currently expended for such purposes.
11003.State and private forestry conservation programs
(a)In addition to amounts otherwise available, there are appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$1,250,000,000 to provide competitive grants to States through the Forest Legacy Program established under section 7 of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2103c) to acquire land and interests in land, with priority given to grant applications that offer significant natural carbon sequestration benefits, contribute to the resilience of community infrastructure, local economies, or natural systems, or provide benefits to underserved populations;
(2)$2,500,000,000 to provide multi-year, programmatic, competitive grants to a State agency, a local governmental entity, and agency or governmental entity of the District of Columbia, an Indian Tribe, or a nonprofit organization through the Urban and Community Forestry Assistance program established under section 9(c) of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2105(c)) for tree planting and related activities to increase tree equity and community tree canopy and associated societal and climate co-benefits, with a priority for projects that benefit underserved populations; and
(3)$100,000,000 for the acquisition of urban and community forests through the Community Forest and Open Space Program of the Forest Service.
(b)Any non-Federal cost-share requirement otherwise applicable to projects carried out under this section may be waived at the discretion of the Secretary.
11004.The funds made available under this subtitle are subject to the condition that the Secretary shall not—
(1)enter into any agreement—
(A)that is for a term extending beyond September 30, 2031; or
(B)under which any payment could be outlaid or funds disbursed after September 30, 2031; or
(2)use any other funds available to the Secretary to satisfy obligations initially made under this subtitle.
11005.In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $200,000,000 to remain available until September 30, 2031, for administrative costs of the agencies and offices of the Department of Agriculture for costs related to implementing this subtitle.
CRural development and agricultural credit and outreach
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12001.Additional support for USDA rural water programsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, and notwithstanding sections 381E through 381H and 381N of the Consolidated Farm and Rural Development Act (7 U.S.C. 2009d through 2009g and 2009m), $97,000,000, to remain available until September 30, 2031, for the cost of grants for rural water and waste water programs authorized by sections 306, 306C, and 306D and described in sections 306C(a)(2) and 306D of the Consolidated Farm and Rural Development Act in persistent poverty counties (or, notwithstanding any population limits specified in section 343 of the Consolidated Farm and Rural Development Act, a county seat of a persistent poverty county with a population that does not exceed the authorized population limit by more than 10 percent), Tribal lands, colonias, and insular areas, subject to the condition that the performance of any construction work completed with amounts provided under this section meet the condition described in section 9003(f) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8103(f)).
12002.USDA rural water grants for lead remediationIn addition to amounts otherwise made available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated and notwithstanding sections 381E through 381H and 381N of the Consolidated Farm and Rural Development Act (7 U.S.C. 2009d through 2009g and 2009m), $970,000,000, to remain available until September 30, 2031, notwithstanding section 306C(a)(2)(A) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1926c(a)(2)(A)), for grants under sections 306C(a)(1)(A) and 306(a)(2) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1926c(a)(1)(A) and 1926(a)(2)) for the purpose of replacement of service lines that contain lead, subject to the condition that the performance of any construction work completed with amounts provided under this section meet the condition described in section 9003(f) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8103(f)).
12003.Additional funding for electric loans for renewable energy
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,880,000,000, to remain available until September 30, 2031, for making loans under section 317 of the Rural Electrification Act of 1936 (7 U.S.C. 940g), including for projects that store electricity that supports the types of eligible projects under such section, which shall be forgiven in whole or in part based on how the borrower and the project meets the terms and conditions for loan forgiveness consistent with the purposes of such section established by the Secretary, subject to the condition that the performance of any construction work completed with amounts provided under this section meet the condition described in section 9003(f) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8103(f)).
(b)The Secretary shall not enter into any loan agreement pursuant to this section that could result in disbursements after September 30, 2031.
12004.Rural energy savings program
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $200,000,000, to remain available until September 30, 2031, to carry out section 6407 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8107a) and this section, subject to the condition that the performance of any construction work completed with amounts provided under this section meet the condition described in section 9003(f) of such Act (7 U.S.C. 8103(f)).
(b)
(1)Except as provided in paragraph (2) of this subsection, at the election of an eligible entity (as defined in section 6407(b) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8107a(b))) to which a loan is made under section 6407(c) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8107a(c)), the Secretary shall make a grant to the eligible entity in an amount equal to not more than 5 percent of the loan amount for the purposes of costs incurred in—
(A)applying for a loan received under section 6407(c) of such Act;
(B)making a loan under section 6407(d) of such Act;
(C)making repairs to the property of a qualified consumer that facilitate the energy efficiency measures for the property financed through a loan under section 6407(d) of such Act;
(D)entering into a contract under section 6407(e) of such Act; or
(E)carrying out the duties of an eligible entity under section 6407 of such Act.
(2)Persistent poverty countiesIn the case that the grant is for the purpose of making a loan under section 6407(d) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8107a(d)) to a qualified consumer (as defined in section 6407(b) of such Act) in a persistent poverty county (as determined by the Secretary), the percentage limitation in paragraph (1) of this subsection shall be 10 percent.
(c)The Secretary shall not enter into any loan agreement pursuant to this section that could result in disbursements after September 30, 2031, or any grant agreement pursuant to this section that could result in any outlays after September 30, 2031.
12005.Rural Energy for America Program
(a)In addition to amounts otherwise available, there is appropriated to the Secretary, out of any money in the Treasury not otherwise appropriated, for eligible projects under section 9007 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8107) and subject to the conditions that the performance of any construction work completed with amounts provided under this subsection meet the condition described in section 9003(f) of such Act, and notwithstanding section 9007(c)(3)(A) of such Act, the amount of a grant shall not exceed 50 percent of the cost of the activity carried out using the grant funds—
(1)$820,250,000 for fiscal year 2022, to remain available until September 30, 2031; and
(2)$170,000,000 for each of fiscal years 2023 through 2027, to remain available until September 30, 2031.
(b)Underutilized renewable energy technologiesIn addition to amounts otherwise available, there is appropriated to the Secretary, out of any money in the Treasury not otherwise appropriated, to provide grants and loans guaranteed by the Secretary (including the costs of such loans) under the program described in subsection (a) of this section relating to underutilized renewable energy technologies, and to provide technical assistance for applying to such program (as determined by the Secretary), subject to the conditions that the performance of any construction work completed with amounts provided under this subsection meet the condition described in section 9003(f) of such Act and, notwithstanding section 9007(c)(3)(A) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8107(c)(3)(A)), the amount of a grant shall not exceed 50 percent of the cost of the activity carried out using the grant funds, and to the extent the following amounts remain available at the end of each fiscal year, the Secretary shall use such amounts in accordance with subsection (a) of this section—
(1)$144,750,000 for fiscal year 2022, to remain available until September 30, 2031; and
(2)$30,000,000 for each of fiscal years 2023 through 2027, to remain available until September 30, 2031.
(c)The Secretary shall not enter into any loan agreement pursuant to this section that could result in disbursements after September 30, 2031 or any grant agreement pursuant to this section that could result in any outlays after September 30, 2031.
12006.Biofuel infrastructure and agriculture product market expansion
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $960,000,000, to remain available until September 30, 2031, to carry out this section.
(b)The Secretary shall use the amounts made available by subsection (a) to provide grants, for which the Federal share shall be not more than 75 percent of the total cost of carrying out a project for which the grant is provided, on a competitive basis, to transportation fueling facilities and distribution facilities, including fueling stations, convenience stores, hypermarket retailer fueling stations, fleet facilities, as well as fuel terminal operations, mid-stream partners, and heating oil distribution facilities or equivalent entities, subject to the condition that the performance of any construction work completed with amounts provided under this section shall meet the condition described in section 9003(f) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8103(f))—
(1)to install, retrofit, or otherwise upgrade fuel dispensers or pumps and related equipment, storage tank system components, and other infrastructure required at a location related to dispensing certain biofuels blends to ensure the increased sales of fuels with high levels of commodity-based ethanol and biodiesel that are at or greater than the levels required in the Notice of Funding Availability for the Higher Blends Infrastructure Incentive Program for Fiscal Year 2020, published in volume 85 of the Federal Register (85 Fed. Reg. 26656), as determined by the Secretary; and
(2)to build and retrofit distribution systems for ethanol blends, traditional and pipeline biodiesel terminal operations (including rail lines), and home heating oil distribution centers or equivalent entities—
(A)to blend biodiesel; and
(B)to carry ethanol and biodiesel.
(c)The Secretary may not limit the amount of funding an eligible entity may receive under this section.
12007.USDA assistance for rural electric cooperatives
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $9,700,000,000, to remain available until September 30, 2031, for the long-term resiliency, reliability, and affordability of rural electric systems, by providing to an eligible entity (defined as an electric cooperative described in section 501(c)(12) or 1381(a)(2) of the Internal Revenue Code of 1986 and is or has been a Rural Utilities Service electric loan borrower pursuant to the Rural Electrification Act of 1936 or serving a predominantly rural area) assistance under paragraphs (1) and (2) by awarding such assistance to eligible entities for purposes described in section 310B(a)(2)(C) of the Consolidated Farm and Rural Development Act (provided that the term renewable energy system in that paragraph has the meaning given such term in section 9001(16) of the Farm Security and Rural Investment Act of 2002) that will achieve the greatest reduction in greenhouse gas emissions associated with rural electric systems using such assistance and that will otherwise aid disadvantaged rural communities (as determined by the Secretary), subject to the condition that any construction work completed with amounts provided under this section shall meet the condition described in section 9003(f) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8103(f)), when—
(1)making grants and loans (including the cost of loans and modifications thereof) to purchase renewable energy or renewable energy systems (as defined in section 9001(15) and (16) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8101(15) and (16))), deploy renewable energy systems, or make energy efficiency improvements after the date of enactment of this Act; and
(2)making grants for debt relief and other costs associated with terminating, after the date of enactment of this Act or up to one year prior to the date of enactment, the use of—
(A)facilities operating on nonrenewable energy; and
(B)related transmission assets.
(b)No eligible entity may receive an amount equal to more than 10 percent of the total amount made available by this section.
(c)Nothing in this section shall be interpreted to authorize funds of the Commodity Credit Corporation for activities under this section if such funds are not expressly authorized or currently expended for such purposes.
12008.Rural partnership program
(a)Rural prosperity development grants
(1)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $873,000,000, to remain available until September 30, 2031, to provide grants to support rural development under this subsection, subject to the condition that the recipient of a grant under this subsection shall contribute a non-Federal match of 25 percent of the amount of the grant, which may be satisfied through an in-kind contribution, except that the Secretary may waive such matching requirement on a finding that the recipient of the applicable grant is economically distressed.
(2)
(A)The Secretary shall establish a formula pursuant to which the Secretary shall allocate, for each State and for Indian Tribes, an amount to be provided under this subsection to eligible applicants described in paragraph (3).
(B)
(i)The formula established under subparagraph (A) shall include a graduated scale for the amount to be allocated under this subsection for eligible applicants in each State and eligible applicants of Indian Tribes, with higher amounts provided based on lower populations and lower income levels, as determined by the Secretary.
(ii)In awarding grants under this subsection to eligible applicants in each State and eligible applicants of Indian Tribes, the Secretary shall give priority to eligible applicants representing a micropolitan statistical area (as defined by the Office of Management and Budget in OMB Bulletin No. 20-01 (effective March 2020) and any subsequent updates) and 1 or more rural areas contiguous to that micropolitan statistical area or eligible applicants representing high poverty areas (as determined by the Secretary) provided that the Secretary may award additional grants or funding under this subsection to implement activities pursuant to a rural development plan upon the Secretary’s approval of the recipient’s plan and report on the use of each grant provided to the recipient under this subsection.
(3)The Secretary may make a grant under this subsection to a partnership no member of which has received a grant under subsection (b) and that—
(A)is composed of entities representing a region composed of 1 or more rural areas, including—
(i)except as provided in subparagraph (B), 1 or more of—
(I)a unit of local government;
(II)a Tribal government; or
(III)an authority, agency, or instrumentality of an entity described in subclauses (I) or (II); and
(ii)a qualified nonprofit or for-profit organization, as determined by the Secretary;
(B)does not include a member described in subparagraph (A)(i), but demonstrates significant community support sufficient to support a likelihood of success on the proposed projects, as determined by the Secretary; and
(C)demonstrates, as determined by the Secretary, cooperation among the members of the partnership necessary to complete comprehensive rural development, through aligning government investment, leveraging nongovernmental resources, building economic resilience, and aiding economic recovery, including in communities impacted by economic transitions and climate change.
(4)The use of grant funds provided under this subsection may be used for the following purposes, provided that, where applicable, the performance of any construction work completed with the grant funds shall meet the condition described in section 9003(f) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8103(f)):
(A)Conducting comprehensive rural development and pre-development activities and planning.
(B)Supporting organizational operating expenses relating to the rural development activities for which the grant was provided.
(C)Implementing planned rural development activities and projects.
(5)Not more than 25 percent of amounts received by a recipient of a grant under this subsection may be used to satisfy a Federal matching requirement.
(b)Rural prosperity innovation grantsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $97,000,000, to remain available until September 30, 2031, to provide grants to entities that have not received a grant under subsection (a) and that is a qualified nonprofit corporation that serves rural areas (as determined by the Secretary) or an institution of higher education that serves rural areas (as determined by the Secretary), subject to the condition that the recipient of such grant shall contribute a non-Federal match of 20 percent of the amount of the grant, which may be used—
(1)to support activities of the recipient relating to—
(A)development and predevelopment planning aspects of rural development; and
(B)organizational capacity-building necessary to support the rural development activities funded by the grant; and
(2)to support the recipient of a grant under subsection (a) in carrying out activities for which that grant was provided.
(c)In this section:
(1)The term rural area has the meaning given the term in section 343(a)(13)(C) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1991(a)(13)(C)).
(2)The term State has the meaning given the term in section 1404 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103).
12009.Additional USDA rural development administrative fundsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $553,000,000, to remain available until September 30, 2031, for administrative costs and salaries and expenses for the Rural Development mission area and expenses of the agencies and offices of the Department for costs related to implementing this part.
2Agricultural credit and outreach
12101.Assistance for certain farm loan borrowersSection 1005 of the American Rescue Plan Act of 2021 (Public Law 117–2) is amended to read as follows:
1005.Assistance for certain farm loan borrowers
(a)In addition to amounts otherwise available, there are appropriated to the Secretary for fiscal year 2022, out of amounts in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)such sums as may be necessary for the cost of payments under subsection (b); and
(2)$1,020,000,000 to provide payments or loan modifications or otherwise carry out the authorities under section 331(b)(4) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1981(b)(4)), using a centralized process administered from the national office, for Farm Service Agency direct loan and loan guarantee borrowers, focusing on borrowers who are at risk (as determined by the Secretary of Agriculture using factors that may include whether the borrower is a limited resource farmer or rancher, the amount of payments received by the borrower during calendar years 2020 and 2021 under the Coronavirus Food Assistance Program of the Department of Agriculture, and other factors, as determined by the Secretary).
(b)
(1)The Secretary shall provide a payment in an amount up to 100 percent of the outstanding indebtedness of each economically distressed borrower on eligible farm debt.
(2)
(A)For each farmer and rancher with outstanding indebtedness on eligible farm debt that does not qualify for a payment under paragraph (1), the Secretary shall provide a payment that is equal to, subject to subparagraph (B), the lesser of—
(i)the amount of the outstanding indebtedness of the farmer or rancher on eligible farm debt; and
(ii)$150,000.
(B)A payment determined under subparagraph (A) shall be reduced by the amount equal to the sum obtained by adding—
(i)the total of the payments received by the farmer or rancher during calendar year 2020 pursuant to the Coronavirus Food Assistance Program of the Department of Agriculture; and
(ii)the total of the payments received by the farmer or rancher during calendar years 2018 and 2019 pursuant to the Market Facilitation Program of the Department of Agriculture.
(c)In this section:
(1)Economically distressed borrowerThe term economically distressed borrower
means a farmer or rancher that, as determined by the Secretary—
(A)was 90 days or more delinquent with respect to an eligible farm debt as of April 30, 2021;
(B)was 90 days or more delinquent with respect to an eligible farm debt as of December 31, 2020;
(C)operates a farm or ranch whose headquarters of operation, as determined by the Secretary, location is—
(i)in a county with a poverty rate of not less than 20 percent, as determined—
(I)in the 1990 or 2000 decennial census; or
(II)in the Small Area Income and Poverty Estimates of the Bureau of the Census for the most recent year for which the Estimates are available as of the date of enactment of the Act entitled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
;
(ii)in a ZIP Code with a poverty rate of not less than 20 percent, as determined by the Secretary; or
(iii)on land held in trust by the United States for the benefit of an Indian Tribe or an individual Indian;
(D)owes more interest than principal with respect to an eligible farm debt as of July 31, 2021;
(E)is undergoing bankruptcy or foreclosure or is in other financially distressed categories, as determined by the Secretary, as of July 31, 2021;
(F)received a Department of Agriculture disaster set aside after January 1, 2020;
(G)has restructured an eligible farm debt 3 or more times as of July 31, 2021; or
(H)has restructured an eligible farm debt on or after January 1, 2020.
(2)
(A)The term eligible farm debt
means a debt owed to the United States by a farmer or rancher that was issued as a direct loan administered by the Farm Service Agency under subtitle A, B, or C of the Consolidated Farm and Rural Development Act (7 U.S.C. 1922 through 1970) and was outstanding or otherwise not paid as of December 31, 2020, or July 31, 2021.
(B)The amount of eligible farm debt with respect to a borrower shall be equal to the amount of eligible farm debt outstanding as of a date determined by the Secretary, but no sooner than the date of enactment of the Act entitled An Act to provide for reconciliation pursuant to title II of S. Con Res. 14
, plus the total of all loan payments on eligible farm debt made by the borrower in calendar year 2021.
(3)The term Secretary
means the Secretary of Agriculture.
(d)The Secretary shall not enter into any loan agreement pursuant to this section that could result in disbursements after September 30, 2031 or any grant agreement pursuant to this section that could result in any outlays after September 30, 2031..
12102.USDA assistance and support for underserved farmers, ranchers, and forestersSection 1006 of the American Rescue Plan Act of 2021 (Public Law 117–2) is amended to read as follows:
1006.USDA assistance and support for underserved farmers, ranchers, foresters
(a)Technical and other assistanceIn addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022, to remain available until September 30, 2031, out of any money in the Treasury not otherwise appropriated, $200,000,000 to provide outreach, mediation, financial training, capacity building training, cooperative development and agricultural credit training and support, and other technical assistance on issues concerning food, agriculture, agricultural credit, agricultural extension, rural development, or nutrition to underserved farmers, ranchers, or forest landowners, including veterans, limited resource producers, beginning farmers and ranchers, and farmers, ranchers, and forest landowners living in high poverty areas.
(b)In addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022, to remain available until September 30, 2031, out of any money in the Treasury not otherwise appropriated, $200,000,000 to provide grants and loans to eligible entities, as determined by the Secretary, to improve land access (including heirs’ property and fractionated land issues) for underserved farmers, ranchers, and forest landowners, including veterans, limited resource producers, beginning farmers and ranchers, and farmers, ranchers, and forest landowners living in high poverty areas.
(c)In addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022, to remain available until September 30, 2031, out of any money in the Treasury not otherwise appropriated, $10,000,000 to fund the activities of one or more equity commissions that will address racial equity issues within the Department of Agriculture and the programs of the Department of Agriculture.
(d)Research, education, and extensionIn addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022, to remain available until September 30, 2031, out of any money in the Treasury not otherwise appropriated, $189,000,000 to support and supplement agricultural research, education, and extension, as well as scholarships and programs that provide internships and pathways to agricultural sector or Federal employment, at 1890 Institutions (as defined in section 2 of the Agricultural, Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 7601)), 1994 Institutions (as defined in section 532 of the Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public Law 103–382)), Alaska Native serving institutions and Native Hawaiian serving institutions eligible to receive grants under subsections (a) and (b), respectively, of section 1419B of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3156), Hispanic-serving institutions eligible to receive grants under section 1455 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3241), and the insular area institutions of higher education located in the territories of the United States, as referred to in section 1489 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3361).
(e)Discrimination financial assistanceIn addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022, to remain available until September 30, 2031, out of any money in the Treasury not otherwise appropriated, $750,000,000 for a program to provide financial assistance to farmers, ranchers, or forest landowners determined to have experienced discrimination prior to January 1, 2021, in Department of Agriculture farm lending programs, under which the amount of financial assistance provided to a recipient may be not more than $500,000 as appropriate in relation to any consequences experienced from the discrimination, which program shall be administered through 1 or more qualified nongovernmental entities selected by the Secretary subject to standards set and enforced by the Secretary, subject to the condition that any selected entity administering the program shall return the funds to the Secretary on the request of the Secretary if the standards are not adequately carried out or the administration of the program is not otherwise sufficient or if any funds provided to the selected entity are not distributed on the date that is 5 years after the date of enactment of the Act entitled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
, and any such returned funds shall be available for obligation for any activity authorized under this section, except subsections (c) and (f).
(f)In addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022, to remain available until September 30, 2031, out of any money in the Treasury not otherwise appropriated, $35,000,000 for administrative costs, including training employees, of the agencies and offices of the Department of Agriculture to carry out this section.
(g)The funds made available under subsection (d) are subject to the condition that the Secretary shall not—
(1)enter into any agreement—
(A)that is for a term extending beyond September 30, 2031; or
(B)under which any payment could be outlaid or funds disbursed after September 30, 2031; or
(2)use any other funds available to the Secretary to satisfy obligations initially made under subsection (d)..
DResearch and Urban Agriculture
13001.Department of Agriculture research funding
(a)In addition to amounts otherwise available, there are appropriated to the Secretary, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)to the National Agricultural Statistics Service, $5,000,000 for fiscal year 2022, for measurements, a survey, and data collection to conduct the study required under section 7212(b) of the Agriculture Improvement Act of 2018 (Public Law 115–334; 132 Stat. 4812), which shall be completed not later than December 31, 2022;
(2)to the National Institute of Food and Agriculture—
(A)to fund agricultural education, extension, and research relating to climate change—
(i)through the Agriculture and Food Research Initiative established by subsection (b) of the Competitive, Special, and Facilities Research Grant Act (7 U.S.C. 3157(b)), $210,000,000 for fiscal year 2022;
(ii)through the sustainable agriculture research education program established under sections 1619, 1621, 1622, 1628, and 1629 of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5801, 5811, 5812, 5831, 5832), $120,000,000 for fiscal year 2022;
(iii)through the organic agriculture research and extension initiative established under section 1672B of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5925b), $60,000,000 for fiscal year 2022;
(iv)through the urban, indoor, and other emerging agricultural production research, education, and extension initiative established under section 1672E of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5925g), $5,000,000 for fiscal year 2022;
(v)through the centers of excellence led by 1890 Institutions established under section 1673(d) of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5926(d)), $5,000,000 for fiscal year 2022;
(vi)through the specialty crop research and extension initiative established by section 412 of the Agricultural Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 7632), $60,000,000 for fiscal year 2022;
(vii)through the cooperative extension under the Smith-Lever Act (7 U.S.C. 341 through 349) for agricultural extension activities and research relating to climate change, technical assistance, and technology adoption, $80,000,000 for fiscal year 2022;
(viii)through the cooperative extension at 1994 Institutions in accordance with section 3(b)(3) of the Smith-Lever Act (7 U.S.C. 343(b)(3)), $35,000,000 for fiscal year 2022; and
(ix)through the cooperative extension at 1890 Institutions under section 1444 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3221), $40,000,000 for fiscal year 2022;
(B)$1,000,000,000 for fiscal year 2022, for grants to covered institutions for construction, alteration, acquisition, modernization, renovation, or remodeling of agricultural research facilities, including related building costs associated with compliance with applicable Federal and State law, under section 4 of the Research Facilities Act (7 U.S.C. 390b), subject to the condition that notwithstanding section 3(c)(2)(A) of that Act (7 U.S.C. 390a(c)(2)(A)), the recipient of a grant provided using those amounts shall not be required to provide any non-Federal share of total funding provided under this subparagraph;
(C)for the scholarships for students at 1890 Institutions grant program under section 1446 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3222a), $100,000,000 for fiscal year 2024;
(D)$15,000,000 for fiscal year 2022, for grants to land-grant colleges and universities to support Tribal students under section 1450 of that Act (7 U.S.C. 3222e) and for purposes of this subparagraph, section 1450(b)(4) of such Act shall not apply; and
(E)$15,000,000 for fiscal year 2022, for the Higher Education Multicultural Scholars Program carried out pursuant to section 1417 of that Act (7 U.S.C. 3152);
(3)to the Office of the Chief Scientist, to carry out advanced research and development relating to climate through the Agriculture Advanced Research and Development Authority under section 1473H of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319k), $30,000,000 for fiscal year 2022;
(4)to the Foundation for Food and Agriculture Research, to carry out activities relating to climate change in accordance with section 7601 of the Agricultural Act of 2014 (7 U.S.C. 5939), to be considered as provided pursuant to subsection (g)(1)(A) of such section, $210,000,000 for fiscal year 2022;
(5)to the Office of Urban Agriculture and Innovative Production, $10,000,000 for fiscal year 2022, to carry out activities in accordance with section 222 of the Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 6923).
(b)In this section:
(1)The term covered institution means—
(A)an 1890 Institution (as defined in section 2 of the Agricultural Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 7601));
(B)a 1994 Institution (as defined in section 532 of the Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public Law 103–382));
(C)an Alaska Native serving institution or Native Hawaiian serving institution eligible to receive grants under subsections (a) and (b), respectively, of section 1419B of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3156);
(D)Hispanic-serving agricultural colleges and universities and Hispanic-serving institutions (as those terms are defined in section 1404 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103));
(E)an eligible institution (as defined in section 1489 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3361) (relating to institutions of higher education in insular areas)); and
(F)the University of the District of Columbia established pursuant to the Act of July 2, 1862 (commonly known as the First Morrill Act
) (7 U.S.C. 301 through 309).
(2)The term State has the meaning given the term in section 1404 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103).
13002.The funds made available under this subtitle are subject to the condition that the Secretary shall not—
(1)enter into any agreement—
(A)that is for a term extending beyond September 30, 2031; or
(B)under which any payment could be outlaid or funds disbursed after September 30, 2031; or
(2)use any other funds available to the Secretary to satisfy obligations initially made under this subtitle.
E
14001.Additional Support for USDA Office of the Inspector GeneralIn addition to amounts otherwise made available, there is appropriated to the Office of the Inspector General of the Department of Agriculture for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000 to remain available until September 30, 2031, for audits, investigations, and other oversight activities of projects and activities carried out with funds made available to the Department of Agriculture under this title.
14002.Additional support for Farmworker and Food Worker Relief Grant ProgramIn addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022 to remain available until September 30, 2031, out of any money in the Treasury not otherwise appropriated, $200,000,000 to provide additional funds to the Secretary for the Farmworker and Food Worker Relief Grant Program of the Agricultural Marketing Service to provide additional COVID–19 assistance relief payments for frontline grocery workers.
F
15001.Soil conservation assistance
(a)In addition to amounts otherwise available, there are appropriated to the Secretary of Agriculture (referred to in this section as the Secretary) for each of fiscal years 2022 through 2028, out of any money in the Treasury not otherwise appropriated, such sums as are necessary to carry out this section, to remain available until expended, subject to the conditions that, for purposes of providing payments under subsections (b), (c), and (d), the Secretary shall not—
(1)enter into any agreement—
(A)that is for a term extending beyond September 30, 2031; or
(B)under which any payment could be outlaid or funds disbursed after September 30, 2031;
(2)use any other funds available to the Secretary to satisfy obligations initially made under this section; or
(3)interpret this section to authorize funds of the Commodity Credit Corporation for such payments if such funds are not expressly authorized or currently expended for such purposes.
(b)Availability of payments to producers
(1)Of the funds made available under subsection (a), for each of the 2022 through 2026 crop years, the Secretary shall make payments to the producers on a farm for which the producer establishes 1 or more cover crop practices with respect to the applicable crop year, as determined by the Secretary, in accordance with this subsection, subject to the condition that a producer receiving a payment shall not receive a payment under any other provision of law for the same practices on the same acres.
(2)The payment rate used to make payments with respect to a producer who establishes 1 or more cover crop practices under paragraph (1) shall be $25 per acre of cover crop established.
(3)The acres for which a producer receives the payment rate under paragraph (2) shall be equal to the total number of acres on which the producer establishes 1 or more cover crop practices, not to exceed 1,000 acres per producer.
(c)Availability of payments to farm owners
(1)Of the funds made available under subsection (a), for each of the 2022 through 2026 crop years, the Secretary shall make payments to the owners of a farm with respect to which a producer establishes 1 or more cover crop practices pursuant to subsection (b), in accordance with this subsection, subject to the condition that an owner of a farm may not receive a payment under this subsection and subsection (b) for the same farm or acres, as determined by the Secretary.
(2)The payment rate used to make payments under paragraph (1) with respect to the owner of a farm shall be $5 per acre of cover crop established.
(3)The acres for which the owner of a farm receives the payment rate under paragraph (2) shall be equal to the total number of acres for which the applicable producer establishes 1 or more cover crop practices, not to exceed 1,000 acres per owner.
(d)Availability of payments for prevented planting
(1)Of the funds made available under subsection (a) and in addition to any other payments or assistance, for the 2022 through 2026 crop years, the Secretary shall make payments in accordance with this subsection to producers on farms who establish 1 or more cover crop practices pursuant to subsection (b).
(2)To receive a payment under this subsection, a producer—
(A)shall have—
(i)purchased a crop insurance policy or plan of insurance under section 508(c) of the Federal Crop Insurance Act (7 U.S.C. 1508(c)) for the applicable crop year following the establishment of the cover crop practice, as determined by the Secretary;
(ii)established a cover crop practice pursuant to subsection (b) on the farm for which the insurance described in clause (i) was purchased, as determined by the Secretary; and
(iii)been unable to plant the crop for which insurance was purchased; and
(B)as determined by the Secretary, shall not—
(i)harvest the cover crop for market or sale;
(ii)harvest the cover crop for seed for purposes of marketing or sale, except that a quantity may be harvested for seed for on-farm usage only; or
(iii)otherwise use the acres for which payments are received under this subsection for any unapproved uses or other uses that seek to defeat or undermine the purposes of this section.
(3)The Secretary shall make payments to producers under this subsection in an amount equal to the product obtained by multiplying—
(A)the total number of acres for which the producer is eligible to receive a payment under this subsection; and
(B)the difference between—
(i)100 percent of the prevented planting guarantee, calculated without regard to the establishment of the cover crop practices pursuant to subsection (b), applicable for the insurance policy purchased by the producer under section 508A of the Federal Crop Insurance Act (7 U.S.C. 1508a), as determined by the Secretary; and
(ii)the prevented planting indemnity payment received by the producer under that section and the policy purchased by the producer for the applicable crop, as determined by the Secretary.
15002.Additional agricultural conservation investments
(a)In addition to amounts otherwise available (and subject to subsection (b)), there are appropriated to the Secretary of Agriculture (referred to in this section as the Secretary), out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031 (subject to the condition that no such funds may be disbursed after September 30, 2031)—
(1)to carry out, using the facilities and authorities of the Commodity Credit Corporation, the environmental quality incentives program under subchapter A of chapter 4 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3839aa through 3839aa–8)—
(A)
(i)$300,000,000 for fiscal year 2022;
(ii)$500,000,000 for fiscal year 2023;
(iii)$1,750,000,000 for fiscal year 2024;
(iv)$3,000,000,000 for fiscal year 2025; and
(v)$3,450,000,000 for fiscal year 2026; and
(B)subject to the conditions on the use of the funds that—
(i)section 1240B(f)(1) of the Food Security Act of 1985 (16 U.S.C. 3839aa–2(f)(1)) shall not apply;
(ii)section 1240H(c)(2) of the Food Security Act of 1985 (16 U.S.C. 3839aa–8(c)(2)) shall be applied—
(I)by substituting $50,000,000
for $25,000,000
; and
(II)with the Secretary prioritizing proposals that utilize diet and feed management to reduce enteric methane emissions from ruminants;
(iii)the funds shall be available for 1 or more agricultural conservation practices or enhancements that the Secretary determines directly improve soil carbon or reduce nitrogen losses or greenhouse gas emissions, or capture or sequester greenhouse gas emissions, associated with agricultural production; and
(iv)the Secretary shall prioritize projects and activities that mitigate or address climate change through the management of agricultural production, including by reducing or avoiding greenhouse gas emissions;
(2)to carry out, using the facilities and authorities of the Commodity Credit Corporation, the conservation stewardship program under subchapter B of that chapter (16 U.S.C. 3839aa–21 through 3839aa–25)—
(A)
(i)$250,000,000 for fiscal year 2022;
(ii)$500,000,000 for fiscal year 2023;
(iii)$850,000,000 for fiscal year 2024;
(iv)$1,000,000,000 for fiscal year 2025; and
(v)$1,500,000,000 for fiscal year 2026; and
(B)subject to the conditions on the use of the funds that—
(i)the funds shall only be available for—
(I)1 or more agricultural conservation practices or enhancements that the Secretary determines directly improve soil carbon or reduce nitrogen losses or greenhouse gas emissions, or capture or sequester greenhouse gas emissions, associated with agricultural production; or
(II)State-specific or region-specific groupings or bundles of agricultural conservation activities for climate change mitigation appropriate for cropland, pastureland, rangeland, nonindustrial private forest land, and producers transitioning to organic or perennial production systems; and
(ii)the Secretary shall prioritize projects and activities that mitigate or address climate change through the management of agricultural production, including by reducing or avoiding greenhouse gas emissions;
(3)to carry out, using the facilities and authorities of the Commodity Credit Corporation, the agricultural conservation easement program under subtitle H of title XII of that Act (16 U.S.C. 3865 through 3865d)—
(A)
(i)$100,000,000 for fiscal year 2022;
(ii)$200,000,000 for fiscal year 2023;
(iii)$300,000,000 for fiscal year 2024;
(iv)$500,000,000 for fiscal year 2025; and
(v)$600,000,000 for fiscal year 2026; and
(B)subject to the condition on the use of the funds that the Secretary shall prioritize projects and activities that mitigate or address climate change through the management of agricultural production, including by reducing or avoiding greenhouse gas emissions; and
(4)to carry out, using the facilities and authorities of the Commodity Credit Corporation, the regional conservation partnership program under subtitle I of title XII of that Act (16 U.S.C. 3871 through 3871f)—
(A)
(i)$200,000,000 for fiscal year 2022;
(ii)$500,000,000 for fiscal year 2023;
(iii)$1,500,000,000 for fiscal year 2024;
(iv)$2,250,000,000 for fiscal year 2025; and
(v)$3,050,000,000 for fiscal year 2026; and
(B)subject to the conditions on the use of the funds that the Secretary—
(i)shall prioritize partnership agreements under section 1271C(d) of the Food Security Act of 1985 (16 U.S.C. 3871c(d)) that support the implementation of conservation projects that assist agricultural producers and nonindustrial private forestland owners in directly improving soil carbon or reducing nitrogen losses or greenhouse gas emissions, or capturing or sequestering greenhouse gas emissions, associated with agricultural production;
(ii)shall prioritize projects and activities that mitigate or address climate change through the management of agricultural production, including by reducing or avoiding greenhouse gas emissions; and
(iii)may prioritize projects that—
(I)leverage corporate supply chain sustainability commitments; or
(II)utilize models that pay for outcomes from targeting methane and nitrous oxide emissions associated with agricultural production systems.
(b)The funds made available under this section are subject to the conditions that the Secretary shall not—
(1)enter into any agreement—
(A)that is for a term extending beyond September 30, 2031; or
(B)under which any payment could be outlaid or funds disbursed after September 30, 2031; or
(2)use any other funds available to the Secretary to satisfy obligations initially made under this section.
(c)
(1)Section 1240B of the Food Security Act of 1985 (16 U.S.C. 3839aa–2) is amended—
(A)in subsection (a), by striking 2023
and inserting 2031
; and
(B)in subsection (f)(2)(B)—
(i)in the subparagraph heading, by striking 2023
and inserting 2031
; and
(ii)by striking 2023
and inserting 2031
.
(2)Section 1240H of the Food Security Act of 1985 (16 U.S.C. 3839aa–8) is amended by striking 2023
each place it appears and inserting 2031
.
(3)Section 1240J(a) of the Food Security Act of 1985 (16 U.S.C. 3839aa–22(a)) is amended, in the matter preceding paragraph (1), by striking 2023
and inserting 2031
.
(4)Section 1240L(h)(2)(A) of the Food Security Act of 1985 (16 U.S.C. 3839aa–24(h)(2)(A)) is amended by striking 2023
and inserting 2031
.
(5)Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) is amended—
(A)in subsection (a)—
(i)in the matter preceding paragraph (1), by striking 2023
and inserting 2031
;
(ii)in paragraph (1), by striking 2023
each place it appears and inserting 2031
;
(iii)in paragraph (2)(F), by striking 2023
and inserting 2031
; and
(iv)in paragraph (3), by striking fiscal year 2023
each place it appears and inserting each of fiscal years 2023 through 2031
;
(B)in subsection (b), by striking 2023
and inserting 2031
; and
(C)in subsection (h)—
(i)in paragraph (1)(B), in the subparagraph heading, by striking 2023
and inserting 2031
; and
(ii)by striking 2023
each place it appears and inserting 2031
.
(6)Section 1244(n)(3)(A) of the Food Security Act of 1985 (16 U.S.C. 3844(n)(3)(A)) is amended by striking 2023
and inserting 2031
.
(7)Section 1271D(a) of the Food Security Act of 1985 (16 U.S.C. 3871d(a)) is amended by striking 2023
and inserting 2031
.
15003.Conservation technical assistance
(a)In addition to amounts otherwise available (and subject to subsection (b)), there are appropriated to the Secretary of Agriculture (referred to in this section as the Secretary) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031 (subject to the condition that no such funds may be disbursed after September 30, 2031)—
(1)$200,000,000 to provide conservation technical assistance through the Natural Resources Conservation Service;
(2)$50,000,000 to carry out climate change adaptation and mitigation activities through the Natural Resources Conservation Service by working with the Regional Climate Hubs designed to provide information and technical support on climate smart agriculture and forestry to agricultural producers, landowners, and resource managers, as determined by the Secretary; and
(3)$600,000,000 to carry out a carbon sequestration and greenhouse gas emissions quantification program through which the Natural Resources Conservation Service, including through technical service providers and other partners, shall collect field-based data to assess the carbon sequestration and greenhouse gas emissions reduction outcomes associated with activities carried out pursuant to this section and use the data to monitor and track greenhouse gas emissions and carbon sequestration trends through the Greenhouse Gas Inventory and Assessment Program of the Department of Agriculture.
(b)The funds made available under this section are subject to the conditions that the Secretary shall not—
(1)enter into any agreement—
(A)that is for a term extending beyond September 30, 2031; or
(B)under which any payment could be outlaid or funds disbursed after September 30, 2031;
(2)use any other funds available to the Secretary to satisfy obligations initially made under this section; or
(3)interpret this section to authorize funds of the Commodity Credit Corporation for activities under this section if such funds are not expressly authorized or currently expended for such purposes.
(c)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2028, for administrative costs of the agencies and offices of the Department of Agriculture for costs related to implementing this section.
IICommittee on Education and Labor
A
1Elementary and Secondary Education
20001.
(a)In addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $112,684,000, to remain available through September 30, 2025, to award grants for the development and support of Grow Your Own Programs, as described in section 202(g) of the Higher Education Act of 1965.
(b)Section 202 of the Higher Education Act of 1965 is amended—
(1)in subsection (b)(6)(C), by striking subsection (f) or (g)
and inserting subsection (f) or (h)
;
(2)in subsection (c)(1), by inserting a Grow Your Own program under subsection (g),
after subsection (e),
;
(3)by redesignating subsections (g), (h), (i), (j), and (k), as subsections (h), (i), (j), (k), and (l), respectively; and
(4)by inserting after subsection (f) the following:
(g)Partnership grants for the establishment of grow your own
programs
(1)An eligible partnership that receives a grant under this section shall carry out an effective Grow Your Own
program to address shortages of teachers in high-need subjects, fields, schools, and geographic areas, or shortages of school leaders in high-need schools, and to increase the diversity of qualified individuals entering into the teacher, principal, or other school leader workforce.
(2)Requirements of a grow your own programIn addition to carrying out each of the activities described in paragraphs (1) through (6) of subsection (d), an eligible partnership carrying out a Grow Your Own program under this subsection shall—
(A)integrate courses on education topics with a year-long school-based clinical experience in which candidates teach or lead alongside an expert mentor teacher or school leader who is the teacher or school leader of record in the same local educational agencies in which the candidates expect to work;
(B)provide opportunities for candidates to practice and develop teaching skills or school leadership skills;
(C)support candidates as they complete their associate (in furtherance of their baccalaureate), baccalaureate, or master’s degree or earn their teaching or school leadership credential;
(D)work to provide academic, counseling, and programmatic supports to candidates;
(E)provide academic and nonacademic supports, including advising and financial assistance, to candidates to enter and complete teacher or school leadership preparation programs, to access and complete State licensure exams, and to engage in school-based clinical placements;
(F)include efforts to recruit individuals with experience in high-need subjects or fields who are not certified to teach or lead, with a specific focus on recruiting individuals—
(i)from groups or populations that are underrepresented; and
(ii)who live in and come from the communities the schools serve; and
(G)require candidates to complete all State requirements to become fully certified..
20002.In addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $112,266,000, to remain available through September 30, 2025, to award grants for the development and support of high-quality teaching residency programs, as described in section 202(e) of the Higher Education Act of 1965 (20 U.S.C. 1022a(e)), except that amounts available under this section shall also be available for residency programs for prospective teachers in a bachelor’s degree program.
20003.Support school principalsIn addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $112,266,000, to remain available through September 30, 2025, to award grants for the development and support of school leadership programs, as described in section 2243 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6673).
20004.In addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $112,266,000, to remain available through September 30, 2025, to award grants for the Augustus F. Hawkins Centers of Excellence Program, as described in section 242 of the Higher Education Act of 1965 (20 U.S.C. 1033a).
20005.Funding for the Individuals with Disabilities Education Part D personnel developmentIn addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $160,776,000, to remain available until September 30, 2025, for personnel development described in section 662 of the Individuals with Disabilities Education Act (20 U.S.C. 1462).
20006.Grants for Native American language teachers and educatorsThe Native American Programs Act of 1974 is amended by inserting after section 803C the following:
803D.Grants for Native American language teachers and educators
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031, $200,000,000 for the Secretary, in carrying out section 803C, to award grants to carry out activities relating to preparing, training, and offering professional development to Native American language teachers and Native American language early childhood educators to ensure the survival and continuing vitality of Native American languages.
(b)The Secretary shall not impose a cost sharing or matching fund requirement with respect to grants awarded under subsection (a)..
2
20021.Increasing the maximum Federal Pell Grant
(a)Section 401(b)(7) of the Higher Education Act of 1965 is amended—
(1)in subparagraph (A)(iii), by inserting and such sums as may be necessary for fiscal year 2022 to carry out the $550 increase for enrollment at institutions of higher education defined in section 101 or 102(a)(1)(B) provided under subparagraph (C)(iii)
before ; and
; and
(2)in subparagraph (C)(iii), by inserting before the period at the end the following: , except that, for award year 2022–2023, such amount shall be equal to the amount determined under clause (ii) for award year 2017–2018, increased by $550 for enrollment at institutions of higher education defined in section 101 or 102(a)(1)(B)
.
(b)Subsequent award years through 2025–2026Section 401(b) of the Higher Education Act of 1965, as amended by section 703 of the FAFSA Simplification Act (title VII of division FF of Public Law 116–260), is amended—
(1)in paragraph (5)(A)—
(A)in clause (i), by striking and
after the semicolon;
(B)by redesignating clause (ii) as clause (iii); and
(C)by inserting after clause (i) the following:
(ii)for each of award years 2023–2024 through 2025–2026, an additional $550 for enrollment at institutions of higher education defined in section 101 or 102(a)(1)(B); and; and
(2)in paragraph (6)(A)—
(A)in clause (i)—
(i)by striking appropriated) such
and inserting the following:
appropriated)—
(I)such; and
(ii)by adding at the end the following:
(II)such sums as are necessary to carry out paragraph (5)(A)(ii) for each of fiscal years 2023 through 2025; and; and
(B)in clause (ii), by striking (5)(A)(ii)
and inserting (5)(A)(iii)
.
20022.Expanding Federal Student Aid eligibilitySection 484(a)(5) of the Higher Education Act of 1965 is amended by inserting , or, with respect to any grant, loan, or work assistance received under this title for award years 2022–2023 through 2029–2030, be subject to a grant of deferred enforced departure or have deferred action pursuant to the Deferred Action for Childhood Arrivals policy of the Secretary of Homeland Security or temporary protected status
after becoming a citizen or permanent resident
.
20023.Increase in Pell grants for recipients of means-tested benefitsSection 473 of the Higher Education Act of 1965, as amended by section 702(b) of the FAFSA Simplification Act (title VII of division FF of Public Law 116–260), is amended by adding at the end the following:
(d)Special rule for means-tested benefit recipientsDuring award years 2024–2025 through 2029–2030, and notwithstanding subsection (b), for an applicant (or, as applicable, an applicant and spouse, or an applicant’s parents) who is not described in subsection (c) and who, at any time during the previous 24-month period, received a benefit under a means-tested Federal benefit program (or whose parent or spouse received such a benefit, as applicable) described in clauses (i) through (vi) of section 479(b)(4)(H), the Secretary shall for the purposes of this title consider the student aid index as equal to –$1,500 for the applicant..
20024.Retention and completion grantsTitle VII of the Higher Education Act of 1965 is amended by adding at the end the following:
FRetention and Completion Grants
791.Retention and completion grants
(a)From amounts appropriated to carry out this section for a fiscal year, the Secretary shall carry out a program to make grants (which shall be known as retention and completion grants
) to eligible entities to enable the such entities to carry out the activities described in the applications submitted under subsection (b).
(b)To be eligible to receive a grant under this section, an eligible entity shall submit an application to the Secretary that includes a description of—
(1)how the eligible entity will use the funds to implement or expand evidence-based reforms or practices to improve student outcomes at institutions of higher education in the State or system of institutions of higher education, or at the Tribal College or University, as applicable; and
(2)how the eligible entity will sustain such reforms or practices after the grant period.
(c)In awarding grants under this section to eligible entities, the Secretary shall give priority to eligible entities that propose to use a significant share of grant funds to, among students of color, low-income students, students with disabilities, students in need of remediation, first generation college students, student parents, and other underserved student populations in such eligible entity, improve enrollment, retention, transfer, or completion rates or labor market outcomes.
(d)As a condition of continuing to receive funds under this section, for each year in which an eligible entity participates in the program under this section, such eligible entity shall demonstrate to the satisfaction of the Secretary that the entity has made adequate progress in implementing or expanding evidence-based reforms or practices, and, among students of color, low-income students, students with disabilities, students in need of remediation, first generation college students, student parents, and other underserved student populations in such eligible entity, improving enrollment, retention, transfer, or completion rates or labor market outcomes.
(e)As a condition of receiving a grant under this section for the applicable year described in paragraphs (1) through (3), an eligible entity that is not a Tribal College or University shall provide matching funds for such applicable year toward the cost of the activities described in the application submitted under subsection (b). Such matching funds shall be in the amount of—
(1)in the second year of a grant, not less than 10 percent of the grant amount awarded to such eligible entity for such year;
(2)in the third year of a grant, not less than 15 percent of the grant amount awarded to such eligible entity for such year; and
(3)in the fourth year and each subsequent year of a grant, not less than 20 percent of the grant amount awarded to such eligible entity for such year.
(f)An eligible entity shall use a grant under this section only to carry out activities described in the application for such year under subsection (b).
(g)Evidence-based reforms or practicesAn eligible entity receiving a grant under this section shall, directly or in collaboration with institutions of higher education and other non-profit organizations, use the grant funds to implement one or more of the following evidence-based reforms or practices:
(1)Providing comprehensive academic, career, and student support services, including mentoring, advising, or case management services.
(2)Providing assistance in applying for and accessing direct support services, financial assistance, or means-tested benefit programs to meet the basic needs of students.
(3)Providing accelerated learning opportunities, including dual or concurrent enrollment programs and early college high school programs.
(4)Reforming remedial or developmental education, course scheduling, or credit-awarding policies.
(5)Improving transfer pathways between—
(A)in the case of an eligible entity that is a State, community colleges and 4-year institutions of higher education in the State;
(B)in the case of an eligible entity that is a system of institutions of higher education, institutions within such system and other institutions of higher education in the State in which the system is located; or
(C)in the case of a Tribal College or University, between the Tribal College or University and other institutions of higher education.
(h)Funds made available under this part shall be used to supplement, and not supplant, other Federal, State, local, Tribal, and institutional funds that would otherwise be expended to carry out activities described in this section.
(i)In this section:
(1)The term eligible entity
means a State, a system of institutions of higher education, or a Tribal College or University.
(2)
(A)The term evidence tier 1
, when used with respect to a reform or practice, means a reform or practice that meets the criteria for receiving an expansion grant from the education innovation and research program under section 4611(a)(2)(C) of the Elementary and Secondary Education Act of 1965, as determined by the Secretary in accordance with such section.
(B)The term evidence tier 2
, when used with respect to a reform or practice, means a reform or practice that meets the criteria for receiving a mid-phase grant from the education innovation and research program under section 4611(a)(2)(B) of the Elementary and Secondary Education Act of 1965, as determined by the Secretary in accordance with such section.
(3)First generation college studentThe term first generation college student
has the meaning given the term in section 402A(h)(3).
(4)Institution of higher educationThe term institution of higher education
has the meaning given the term in section 101 or 102(a)(1)(B).
(5)The term State
means each of the 50 States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, American Samoa, Guam, the United States Virgin Islands, the Commonwealth of the Northern Mariana Islands, and the Freely Associated States.
(6)Tribal college or universityThe term Tribal College or University
has the meaning given the term in section 316(b)(3).
(j)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$310,000,000 to remain available until September 30, 2030, to award competitive grants to eligible entities that are not Tribal Colleges and Universities to carry out the approved activities described in the applications submitted under subsection (b);
(2)$37,500,000 to remain available until September 30, 2030, to award competitive grants to Tribal Colleges and Universities to carry out the approved activities described in the applications submitted under subsection (b);
(3)$95,000,000 to remain available until September 30, 2030, to supplement the competitive grant amounts awarded to eligible entities with funds available under paragraph (1) and (2) to implement reforms or practices that meet evidence tier 1;
(4)$47,500,000 to remain available until September 30, 2030, to supplement the competitive grant amounts awarded to eligible entities with funds available under paragraphs (1) and (2) to implement reforms or practices that meet evidence tier 1 or evidence tier 2, or a combination of such reforms or practices; and
(5)$10,000,000 to remain available until September 30, 2030, to evaluate the effectiveness of the activities carried out under this section.
(k)The authority to make grants under this section shall expire at the end of award year 2026–2027.
(l)Inapplicability of GEPA contingent extension of programsSection 422 of the General Education Provisions Act shall not apply to this part..
20025.
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(B) of the Higher Education Act of 1965 in fiscal year 2022;
(2)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(B) of the Higher Education Act of 1965 in fiscal year 2023;
(3)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(B) of the Higher Education Act of 1965 in fiscal year 2024;
(4)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(B) of the Higher Education Act of 1965 in fiscal year 2025;
(5)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(B) of the Higher Education Act of 1965 in fiscal year 2026;
(6)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(C) of the Higher Education Act of 1965 in fiscal year 2022;
(7)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(C) of the Higher Education Act of 1965 in fiscal year 2023;
(8)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(C) of the Higher Education Act of 1965 in fiscal year 2024;
(9)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(C) of the Higher Education Act of 1965 in fiscal year 2025;
(10)$470,640,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(C) of the Higher Education Act of 1965 in fiscal year 2026;
(11)$141,120,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(i) of the Higher Education Act of 1965 in fiscal year 2022;
(12)$141,120,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(i) of the Higher Education Act of 1965 in fiscal year 2023;
(13)$141,120,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(i) of the Higher Education Act of 1965 in fiscal year 2024;
(14)$141,120,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(i) of the Higher Education Act of 1965 in fiscal year 2025;
(15)$141,120,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(i) of the Higher Education Act of 1965 in fiscal year 2026;
(16)$70,560,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(ii) of the Higher Education Act of 1965 in fiscal year 2022;
(17)$70,560,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(ii) of the Higher Education Act of 1965 in fiscal year 2023;
(18)$70,560,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(ii) of the Higher Education Act of 1965 in fiscal year 2024;
(19)$70,560,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(ii) of the Higher Education Act of 1965 in fiscal year 2025;
(20)$70,560,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(ii) of the Higher Education Act of 1965 in fiscal year 2026;
(21)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iii) of the Higher Education Act of 1965 in fiscal year 2022;
(22)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iii) of the Higher Education Act of 1965 in fiscal year 2023;
(23)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iii) of the Higher Education Act of 1965 in fiscal year 2024;
(24)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iii) of the Higher Education Act of 1965 in fiscal year 2025;
(25)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iii) of the Higher Education Act of 1965 in fiscal year 2026;
(26)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iv) of the Higher Education Act of 1965 in fiscal year 2022;
(27)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iv) of the Higher Education Act of 1965 in fiscal year 2023;
(28)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iv) of the Higher Education Act of 1965 in fiscal year 2024;
(29)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iv) of the Higher Education Act of 1965 in fiscal year 2025; and
(30)$23,520,000, to remain available until September 30, 2028, for carrying out section 371(b)(2)(D)(iv) of the Higher Education Act of 1965 in fiscal year 2026.
(b)
(1)An institution of higher education receiving funds made available under this section shall use such funds in accordance with the uses of funds described under subparagraphs (B), (C), and clauses (i) through (iv) of subparagraph (D) of section 371(b)(2) of the Higher Education Act of 1965, as applicable, and to award need-based financial aid (including emergency financial aid grants) to low-income students enrolled in an eligible program (as defined in section 481(b) of the Higher Education Act of 1965) at such institution.
(2)Distribution requirementsThe Secretary of Education shall distribute each of the amounts appropriated under paragraphs (6) through (10) of subsection (a) in accordance with section 371(b)(2)(C), except that in clause (ii) of such section, 25
and of $600,000 annually
shall not apply.
(c)No additional eligibility requirementsNo individual shall be determined by the Secretary of Education to be ineligible for benefits provided under subsection (b)(1) except on the basis of not being a low-income student enrolled in an eligible program (as defined in section 481(b) of the Higher Education Act of 1965).
20026.Research and development infrastructure competitive grant programTitle III of the Higher Education Act of 1965 is amended—
(1)by redesignating part G as part H; and
(2)by inserting after section 371 the following:
GImproving Research & Development Infrastructure for Historically Black Colleges and Universities, Tribal Colleges and Universities, and Minority-Serving Institutions
381.Improving research & development infrastructure for historically black colleges and universities, tribal colleges and universities, and minority-serving institutions
(a)In this section, the term eligible institution
means—
(1)an institution that—
(A)is described in section 371(a);
(B)is a 4-year institution; and
(C)is not an institution classified as very high research activity
by the Carnegie Classification of Institutions of Higher Education; or
(2)an institution described in paragraph (1) acting on behalf of a consortium, which may include institutions classified as very high research activity
by the Carnegie Classification of Institutions of Higher Education, 2-year institutions of higher education (as defined in section 101), and other academic partners, philanthropic organizations, and industry partners, provided that the eligible institution is the lead member and fiscal agent of the consortium.
(b)Authorization of grant programsFor the purpose of supporting research and development infrastructure at eligible institutions, the Secretary shall award, on a competitive basis, to eligible institutions—
(1)planning grants for a period of not more than 2 years; and
(2)implementation grants for a period of not more than 5 years.
(c)
(1)An eligible institution that desires to receive a planning grant under subsection (b)(1) or an implementation grant under subsection (b)(2) shall submit an application to the Secretary that includes a description of the activities that will be carried out with grant funds.
(2)No comprehensive development planThe requirement under section 391(b)(1) shall not apply to grants awarded under this section.
(d)
(1)In awarding planning and implementation grants under this section, the Secretary shall administer separate competitions for each of the categories of institutions listed in paragraphs (1) through (7) of section 371(a).
(2)In awarding implementation grants under this section, the Secretary shall give priority to eligible institutions that have received a planning grant under this section.
(e)
(1)An eligible institution that receives a planning grant under subsection (b)(1) shall use the grant funds to develop a strategic plan for improving institutional research and development infrastructure that includes—
(A)an assessment of the existing institutional research capacity and research and development infrastructure; and
(B)a detailed description of how the institution would use research and development infrastructure funds provided by an implementation grant under this section to increase the institution’s research capacity and support research and development infrastructure.
(2)An eligible institution that receives an implementation grant under subsection (b)(2) shall use the grant funds to support research and development infrastructure, which shall include carrying out at least one of the following activities:
(A)Providing for the improvement of infrastructure existing on the date of the grant award, including deferred maintenance, or the establishment of new physical infrastructure, including instructional program spaces, laboratories, research facilities or furniture, fixtures, and instructional research-related equipment and technology relating to the fields of science, technology, engineering, the arts, mathematics, health, agriculture, education, medicine, law, and other disciplines.
(B)Hiring and retaining faculty, students, research-related staff, or other personnel, including research personnel skilled in operating, using, or applying technology, equipment, or devices used to conduct or support research.
(C)Creating and supporting inter- and intra-institutional research centers (including formal and informal communities of practice) in fields of research for which research and development infrastructure funds have been awarded under this section, including hiring staff and purchasing supplies and equipment.
(f)Funds made available under this section shall be used to supplement, and not supplant, other Federal, State, tribal, and local funds that would otherwise be expended to carry out the activities described in this section.
(g)
(1)The authority to make—
(A)planning grants under subsection (b)(1) shall expire at the end of fiscal year 2025; and
(B)implementation grants under subsection (b)(2) shall expire at the end of fiscal year 2027.
(2)Inapplicability of GEPA contingent extension of programsSection 422 of the General Education Provisions Act shall not apply to this section.
(h)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,000,000,000, to remain available until September 30, 2028, for carrying out this section..
20027.Northern Mariana Islands, American Samoa, United States Virgin Islands, Guam, and freely associated States college accessTitle VII of the Higher Education Act of 1965, as amended by this Act, is further amended by adding at the end the following:
GCollege Access for Students in Outlying Areas
792.Northern Mariana Islands, American Samoa, United States Virgin Islands, Guam, and freely associated states college access grants
(a)
(1)
(A)Beginning with award year 2023–2024, from amounts appropriated to carry out this section, the Secretary shall award grants to the Governors of each outlying area for such Governors to award grants to eligible institutions that enroll eligible students to pay the difference between the tuition and fees charged for in-State students and the tuition and fees charged for out-of-State students on behalf of each eligible student enrolled in the eligible institution.
(B)The amount paid on behalf of an eligible student under this section shall be—
(i)not more than $15,000 for any one award year (as defined in section 481(a)(1)); and
(ii)not more than $75,000 in the aggregate.
(C)The Governor shall prorate payments under this section with respect to eligible students who attend an eligible institution on less than a full-time basis.
(2)Each Governor desiring a grant under this section shall enter into an agreement with the Secretary for the purposes of administering the grant program.
(3)The authority to make grants under this section shall expire at the end of award year 2029–2030.
(b)Inapplicability of GEPA contingent extension of programsSection 422 of the General Education Provisions Act shall not apply to this section.
(c)No additional eligibility requirementsNo individual shall be determined, by a Governor, an eligible institution, or the Secretary, to be ineligible for benefits provided under this section except on the basis of eligibility requirements under this section.
(d)In this section:
(1)The term eligible institution
means an institution that—
(A)is a public four-year institution of higher education located in one of the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, or an outlying area;
(B)enters into an agreement with the Governor of an outlying area, or with two or more of such Governors (except that such institution may not enter into an agreement with the Governor of the outlying area in which such institution is located), to carry out the grant program under this section; and
(C)submits an assurance to the Governor and to the Secretary that the institution shall use funds made available under this section to supplement, and not supplant, assistance that otherwise would be provided to eligible students from outlying areas.
(2)The term eligible student
means a student who—
(A)was domiciled in an outlying area for not less than 12 consecutive months preceding the commencement of the freshman year at an institution of higher education supported by a grant awarded under this section;
(B)has not completed an undergraduate baccalaureate course of study; and
(C)is enrolled as an undergraduate student in an eligible program (as defined in section 481(b)) on at least a half-time basis.
(3)Institution of higher educationThe term institution of higher education
has the meaning given the term in section 101.
(4)The term Governor
means the chief executive of an outlying area.
(5)The term outlying area
means the Northern Mariana Islands, American Samoa, the United States Virgin Islands, Guam, and the Freely Associated States.
(e)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary, to remain available until September 30, 2030, for carrying out this section..
3Department of Education implementation
20031.In addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $91,742,000, to remain available until expended, for necessary administrative expenses associated with carrying out this subtitle and sections 22101 and 22102.
20032.Student aid administrationIn addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $85,000,000, to remain available through September 30, 2030, for Student Aid Administration within the Department of Education for necessary administrative expenses associated with carrying out this subtitle and for additional Federal administrative expenses.
20033.Office of Inspector GeneralIn addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until expended, for the Office of Inspector General of the Department of Education, for salaries and expenses necessary for oversight, investigations, and audits of programs, grants, and projects funded under this subtitle and sections 22101 and 22102 carried out by the Office of Inspector General.
B
21001.In addition to amounts otherwise available, out of any money in the Treasury not otherwise appropriated, there are appropriated to the Department of Labor for fiscal year 2022, to remain available until September 30, 2026, the following amounts:
(1)$195,000,000 to the Employee Benefits Security Administration for carrying out enforcement activities.
(2)$707,000,000 to the Occupational Safety and Health Administration for carrying out enforcement, standards development, whistleblower investigations, compliance assistance, funding for State plans, and related activities within the Occupational Safety and Health Administration.
(3)$133,000,000 to the Mine Safety and Health Administration for carrying out enforcement, standard setting, technical assistance, and related activities.
(4)$405,000,000 to the Wage and Hour Division for carrying out activities.
(5)$121,000,000 to the Office of Workers’ Compensation Programs for carrying out activities of the Office.
(6)$201,000,000 to the Office of Federal Contract Compliance Programs for carrying out audit, investigation, enforcement, and compliance assistance, and other activities.
(7)$176,000,000 to the Office of the Solicitor for carrying out necessary legal support for activities carried out by the Office related to and in support of the activities of those Department of Labor agencies receiving additional funding in this section.
21002.National Labor Relations BoardIn addition to amounts otherwise available, out of any money in the Treasury not otherwise appropriated, there are appropriated to the National Labor Relations Board for fiscal year 2022, $350,000,000, to remain available until September 30, 2026, for carrying out the activities of the Board.
21003.Equal Employment Opportunity CommissionIn addition to amounts otherwise available, out of any money in the Treasury not otherwise appropriated, there are appropriated to the Equal Employment Opportunity Commission for fiscal year 2022, $321,000,000, to remain available until September 30, 2026, for carrying out investigation, enforcement, outreach, and related activities.
21004.Adjustment of civil penalties
(a)Occupational Safety and Health Act of 1970Section 17 of the Occupational Safety and Health Act of 1970 (29 U.S.C. 666) is amended—
(1)in subsection (a)—
(A)by striking $70,000
and inserting $700,000
; and
(B)by striking $5,000
and inserting $50,000
;
(2)in subsection (b), by striking $7,000
and inserting $70,000
; and
(3)in subsection (d), by striking $7,000
and inserting $70,000
.
(b)Fair Labor Standards Act of 1938Section 16(e) of the Fair Labor Standards Act of 1938 (29 U.S.C. 216(e)) is amended—
(1)in paragraph (1)(A)—
(A)in clause (i), by striking $11,000
and inserting $132,270
; and
(B)in clause (ii), by striking $50,000
and inserting $601,150
; and
(2)in paragraph (2)—
(A)in the first sentence, by striking $1,100
and inserting $20,740
; and
(B)in the second sentence, by striking $1,100
and inserting $11,620
.
(c)Migrant and Seasonal Agricultural Worker Protection ActSection 503(a)(1) of the Migrant and Seasonal Agricultural Worker Protection Act (29 U.S.C. 1853(a)(1)) is amended by striking $1,000
and inserting $25,790
.
(d)The amendments made by this section shall take effect on January 1, 2022.
21005.Civil monetary penalties for parity violations
(a)Civil monetary penalties relating to parity in mental health and substance use disordersSection 502(c)(10) of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1132(c)(10)(A)) is amended—
(1) in the heading, by striking use of genetic information
and inserting use of genetic information and parity in mental health and substance use disorder benefits
; and
(2) in subparagraph (A)—
(A)by striking any plan sponsor of a group health plan
and inserting any plan sponsor or plan administrator of a group health plan
; and
(B)by striking for any failure
and all that follows through in connection with the plan.
and inserting
for any failure by such sponsor, administrator, or issuer, in connection with the plan—
(i)to meet the requirements of subsection (a)(1)(F), (b)(3), (c), or (d) of section 702 or section 701 or 702(b)(1) with respect to genetic information; or
(ii)to meet the requirements of subsection (a) of section 712 with respect to parity in mental health and substance use disorder benefits..
(b)Exception to the general prohibition on enforcementSection 502 of such Act (29 U.S.C. 1132) is amended—
(1)in subsection (a)(6), by striking or (9)
and inserting (9), or (10)
; and
(2)in subsection (b)(3)—
(A)by striking subsections (c)(9) and (a)(6)
and inserting subsections (c)(9), (c)(10), and (a)(6)
;
(B)by striking under subsection (c)(9))
and inserting under subsections (c)(9) and (c)(10)), and except with respect to enforcement by the Secretary of section 712
; and
(C)by striking 706(a)(1)
and inserting 733(a)(1)
.
(c)The amendments made by subsection (a) shall apply with respect to group health plans, or any health insurance issuer offering health insurance coverage in connection with such plan, for plan years beginning after the date that is 1 year after the date of enactment of this Act.
21006.Penalties under the National Labor Relations Act
(a)Section 12 of the National Labor Relations Act (29 U.S.C. 162) is amended—
(1)by striking Sec. 12. Any person
and inserting the following:
12.
(a)Violations for interference with boardAny person; and
(2)by adding at the end the following:
(b)Civil penalties for unfair labor practicesAny employer who commits an unfair labor practice within the meaning of section 8(a) affecting commerce shall be subject to a civil penalty in an amount not to exceed $50,000 for each such violation, except that, with respect to such an unfair labor practice within the meaning of paragraph (3) or (4) of section 8(a) or such a violation of section 8(a) that results in the discharge of an employee or other serious economic harm to an employee, the Board shall double the amount of such penalty, to an amount not to exceed $100,000, in any case where the employer has within the preceding 5 years committed another such violation of such paragraph (3) or (4) or such violation of section 8(a) that results in such discharge or other serious economic harm. A civil penalty under this paragraph shall be in addition to any other remedy ordered by the Board.
(c)In determining the amount of any civil penalty under this section, the Board shall consider—
(1)the gravity of the actions of the employer resulting in the penalty, including the impact of such actions on the charging party or on other persons seeking to exercise rights guaranteed by this Act;
(2)the size of the employer;
(3)the history of previous unfair labor practices or other actions by the employer resulting in a penalty; and
(4)the public interest.
(d)Director and officer liabilityIf the Board determines, based on the particular facts and circumstances presented, that a director or officer’s personal liability is warranted, a civil penalty for a violation described in this section may also be assessed against any director or officer of the employer who directed or committed the violation, had established a policy that led to such a violation, or had actual or constructive knowledge of and the authority to prevent the violation and failed to prevent the violation..
(b)The amendments made by this section shall take effect on January 1, 2022.
CWorkforce Development Matters
1
22001.Dislocated worker employment and training activities
(a)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,000,000,000, to remain available until September 30, 2026, which shall be allotted in accordance with subsection (b)(2) of section 132 and reserved under subsection (a) of section 133 of the Workforce Innovation and Opportunity Act, and allocated under subsection (b)(1)(B) of section 133 of such Act for each local area to provide—
(1)career services authorized under subsection (c)(2) of section 134 of the Workforce Innovation and Opportunity Act, including individualized career services described in section 134(c)(2)(A)(xii) of such Act;
(2)supportive services and needs-related payments authorized under paragraphs (2) and (3) of section 134(d) of the Workforce Innovation and Opportunity Act, except that the requirements of subparagraphs (B) and (C) of paragraph (3) of such section shall not apply; and
(3)training services, including through individual training accounts, authorized under section 134(c)(3) of the Workforce Innovation and Opportunity Act, except that for purposes of providing transitional jobs as part of those services under this section, section 134(d)(5) of such Act shall be applied by substituting 40 percent
for 10 percent
.
(b)Amounts made available to carry out this section shall be used to supplement and not supplant other Federal, State, and local public funds expended to provide employment and training activities for dislocated workers, including funds provided under the Workforce Innovation and Opportunity Act.
22002.Adult worker employment and training activities
(a)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2026, which shall be allotted in accordance with subsection (b)(1) of section 132 and reserved under subsection (a) of section 133 of the Workforce Innovation and Opportunity Act, and allocated under subsection (b)(1)(A) of section 133 of such Act for each local area to provide—
(1)career services authorized under subsection (c)(2) of section 134 of the Workforce Innovation and Opportunity Act, including individualized career services described in section 134(c)(2)(A)(xii) of such Act;
(2)supportive services and needs-related payments authorized under paragraphs (2) and (3) of section 134(d) of the Workforce Innovation and Opportunity Act, except that the requirements of subparagraphs (B) and (C) of paragraph (3) of such section shall not apply; and
(3)training services, including through individual training accounts, authorized under section 134(c)(3) of the Workforce Innovation and Opportunity Act, except that for purposes of providing incumbent worker training as part of those services under this section, if such training is provided to low-wage workers, section 134(d)(4)(A)(i) of such Act shall be applied by substituting 40 percent
for 20 percent
.
(b)Amounts made available to carry out this section shall be used to supplement and not supplant other Federal, State, and local public funds expended to provide adult employment and training activities, including funds provided under the Workforce Innovation and Opportunity Act.
22003.Youth workforce investment activities
(a)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,500,000,000, to remain available until September 30, 2026, which shall be allotted in accordance with subparagraphs (B) and (C) of section 127(b)(1) and reserved under subsection (a) of section 128 of the Workforce Innovation and Opportunity Act, and allocated under subsection (b) of section 128 of such Act for each local area to—
(1)carry out the youth workforce investment activities authorized under section 129 of the Workforce Innovation and Opportunity Act;
(2)provide opportunities for in-school youth and out-of-school youth to participate in paid work experiences described in subsection (c)(2)(C) of section 129 of the Workforce Innovation and Opportunity Act; and
(3)partner with community-based organizations to support out-of-school youth, including those residing in high-crime or high-poverty areas.
(b)Amounts made available to carry out this section shall be used to supplement and not supplant other Federal, State, and local public funds expended for youth workforce investment activities, including funds provided under the Workforce Innovation and Opportunity Act.
22004.In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, the following amounts, to remain available until September 30, 2026:
(1)$400,000,000 for carrying out the State grant activities authorized under section 7 of the Wagner-Peyser Act, which shall be allotted in accordance with section 6 of such Act, except that, for purposes of this section, funds shall also be reserved and used for the Commonwealth of the Northern Mariana Islands and American Samoa in amounts the Secretary determines appropriate prior to the allotments being made in accordance with section 6 of such Act.
(2)$100,000,000 for carrying out improvements to State workforce and labor market information systems.
22005.Re-entry employment opportunitiesIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, the following amounts, to remain available until September 30, 2026:
(1)$375,000,000, for carrying out the Reentry Employment Opportunities program.
(2)$125,000,000, for competitive grants to national and regional intermediaries to carry out Reentry Employment Opportunity programs that prepare for employment young adults with criminal records, young adults who have been justice system-involved, or young adults who have dropped out of school or other educational programs, made with a priority for projects serving high-crime, high-poverty areas.
22006.Registered apprenticeships, youth apprenticeships, and pre-apprenticeshipsIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, the following amounts, to remain available until September 30, 2026:
(1)$500,000,000 for carrying out activities through grants, cooperative agreements, contracts, or other arrangements, including arrangements with States, equity intermediaries, and business and labor industry partner intermediaries, to create or expand only—
(A)registered apprenticeship programs;
(B)pre-apprenticeship programs that articulate to registered apprenticeship programs; and
(C)youth apprenticeship programs that—
(i)provide participants with high-quality, classroom-based related instruction and training, and employment opportunities with progressively increasing wages; and
(ii)prepare participants for enrollment in an institution of higher education (as defined in section 101 or 102(c) of the Higher Education Act of 1965), a registered apprenticeship program, and employment.
(2)$500,000,000 for carrying out activities through arrangements described in paragraph (1) to support programs described in such paragraph that serve a high number or high percentage of individuals with barriers to employment (as defined in section 3(24) of the Workforce Innovation and Opportunity Act), including individuals with disabilities, or nontraditional apprenticeship populations.
22008.Industry or sector partnership grants
(a)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $4,600,000,000, to remain available until September 30, 2026, for the Secretary to award, on a competitive basis, grants, contracts, or cooperative agreements to eligible partnerships for the purposes of expanding employment and training activities for high-skill, high-wage, or in-demand industry sectors or occupations.
(b)To be eligible to receive funds under this section, an eligible partnership shall submit to the Secretary an application that includes a description of programs to be supported with such funds, the recognized postsecondary credentials participants in such programs will earn, and related employment opportunities for which participants in such programs will be prepared.
(c)An eligible partnership awarded funds under this section shall use such funds to—
(1)regularly engage and convene stakeholders to develop, or expand, employment and training activities for the high-skill, high-wage, or in-demand industry sector or occupation on which such partnership is focused;
(2)directly provide, or arrange for the provision of, high-quality, evidence-based training that leads to the attainment of nationally or regionally portable and stackable recognized postsecondary credentials for the industry sector or occupation described in paragraph (1), which shall include—
(A)
(i)training services described in any clause of subparagraph (D) of section 134(c)(3) of the Workforce Innovation and Opportunity Act provided through contracts that meet the requirements of that section 134(c)(3); or
(ii)training provided through—
(I)registered apprenticeship programs;
(II)pre-apprenticeship programs that articulate to registered apprenticeship programs;
(III)youth apprenticeship programs that—
- (aa)provide participants with high-quality, classroom-based related instruction and training, and employment opportunities with progressively increasing wages; and
- (bb)prepare participants for enrollment in an institution of higher education (as defined in section 101 or 102(c)) of the Higher Education Act of 1965), a registered apprenticeship program, and employment; or
(IV)joint labor-management organizations; and
(B)the provision of information on related skills or competencies that may be attained through such training or credentials;
(3)directly provide, or arrange for the provision of, services to help individuals with barriers to employment prepare for, complete, and successfully transition out of training described in paragraph (2), which services shall include career services, supportive services, or provision of needs-related payments authorized under subsections (c)(2), (d)(2), and (d)(3) of section 134 of the Workforce Innovation and Opportunity Act, except that, for purposes of this section, subparagraphs (B) and (C) of section 134(d)(3) of that Act shall not apply; and
(4)establish or implement plans for providers of programs supported with such funds to meet the criteria and carry out the procedures to be included on the eligible training services provider list described in section 122(d) of the Workforce Innovation and Opportunity Act.
(d)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $150,000,000, to remain available until September 30, 2026, for—
(1)targeted outreach and support to eligible partnerships serving local areas with high unemployment rates or high percentages of dislocated workers or individuals with barriers to employment, to provide guidance and assistance in the application process under this section;
(2)administration of the program described in this section, including providing comprehensive technical assistance and oversight to support eligible partnerships; and
(3)evaluating and reporting on the performance and impact of programs funded under this section.
(e)State board or local board fundsIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $250,000,000, to remain available until September 30, 2026, to provide direct assistance to State boards or local boards to support the creation or expansion of industry or sector partnerships in local areas with high unemployment rates or high percentages of dislocated workers or individuals with barriers to employment, as compared to State or national averages for such rates or percentages.
(f)Amounts made available to carry out this section shall be used to supplement and not supplant other Federal, State, and local public funds expended to support activities described in this section.
22009.
(a)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $500,000,000, to remain available until September 30, 2026—
(1)to provide funds to operators and service providers to—
(A)carry out the activities and services described in sections 148 and 149 of the Workforce Innovation and Opportunity Act; and
(B)improve and expand access to allowances and services described in section 150 of such Act; and
(2)for the construction, rehabilitation, and acquisition of Job Corps centers, notwithstanding section 158(c) of the Workforce Innovation and Opportunity Act.
(b)Eligibility of operators and service providersFor the purposes of carrying out subsection (a), an entity in a State or outlying area (as such term is defined in section 3(45) of the Workforce Innovation and Opportunity Act) may be eligible to be selected as an operator or service provider.
22010.In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2026, to carry out activities described in section 166(d)(2)(A) of the Workforce Innovation and Opportunity Act.
22011.Migrant and seasonal farmworker programsIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $70,000,000, to remain available until September 30, 2026, to carry out activities described in section 167(d) of the Workforce Innovation and Opportunity Act, except that, for purposes of providing services as part of such activities to low-income individuals under this section, section 3(36)(A)(ii)(I) of such Act shall be applied by substituting 150 percent of the poverty line
for the poverty line
.
22012.In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $15,000,000, to remain available until September 30, 2026, to carry out activities described in section 171(c)(2) of the Workforce Innovation and Opportunity Act, including for the purposes of improving and expanding access to services, stipends, wages, and benefits described in subparagraphs (A)(vii) and (F) of section 171(c)(2) of such Act.
22013.Senior community service employment programIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $35,000,000, to remain available until September 30, 2026, for the Senior Community Service Employment program authorized under section 502 of the Older Americans Act of 1965.
22014.For purposes of determinations of the eligibility of individuals to participate in activities funded under this subtitle, the provision of information for such determinations by Federal agencies other than the Department of Labor or the Department of Education shall not be required.
22015.In this part:
(1)The term community college
means—
(A)a degree-granting public institution of higher education (as defined in section 101 of the Higher Education Act of 1965) at which—
(i)the highest degree awarded is an associate degree; or
(ii)an associate degree is the most frequently awarded degree;
(B)a 2-year Tribal College or University (as defined in section 316(b)(3) of the Higher Education Act of 1965);
(C)a degree-granting Tribal College or University (as defined in section 316(b)(3) of the Higher Education Act of 1965) at which—
(i)the highest degree awarded is an associate degree; or
(ii)an associate degree is the most frequently awarded degree; or
(D)a branch campus of a 4-year public institution of higher education (as defined in section 101 of the Higher Education Act of 1965), if, at such branch campus—
(i)the highest degree awarded is an associate degree; or
(ii)an associate degree is the most frequently awarded degree.
(2)The term eligible institution
means a community college, a postsecondary vocational institution (as defined in section 102(c) of the Higher Education Act of 1965), or a consortium of such colleges or institutions, that is working directly with an industry or sector partnership, or in the process of establishing such partnership, to carry out a grant under section 22007.
(3)The term eligible partnership
means—
(A)an industry or sector partnership, which shall include multiple representatives described in each of clauses (i) through (iii) of paragraph (26)(A) of section 3 of the Workforce Innovation and Opportunity Act; or
(B)a State board or local board, a joint labor-management organization, or an entity eligible to be a representative under clause (i), (ii), or (iii) of paragraph (26)(A) of section 3 of the Workforce Innovation and Opportunity Act, that is in the process of establishing an industry or sector partnership described in subparagraph (A), to carry out a grant, contract, or cooperative agreement under section 22008.
(4)The terms career guidance and academic counseling
, dual or concurrent enrollment program
, evidence-based
, and work-based learning
have the meanings given the terms in paragraphs (7), (15), (23), and (55), respectively, of section 3 of the Carl D. Perkins Career and Technical Education Act of 2006.
(5)Registered apprenticeship programThe term registered apprenticeship program
means an apprenticeship program registered with the Office of Apprenticeship of the Employment and Training Administration of the Department of Labor or a State apprenticeship agency recognized by the Office of Apprenticeship pursuant to the Act of August 16, 1937 (commonly known as the National Apprenticeship Act
; 50 Stat. 664, chapter 663).
(6)The term Secretary
means the Secretary of Labor.
(7)
(A)The terms career pathway
, in-demand industry sector or occupation
, individual with a barrier to employment
, industry or sector partnership
, local area
, local board
, recognized postsecondary credential
, State board
, and supportive services
have the meanings given the terms in paragraphs (7), (23), (24), (26), (32), (33), (52), (57), and (59), respectively, of section 3 of the Workforce Innovation and Opportunity Act.
(B)The term career services
means services described in section 134(c)(2) of the Workforce Innovation and Opportunity Act.
2
22101.Adult education and literacy
(a)In addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $700,000,000, to remain available until September 30, 2027, to carry out the program of adult education and literacy activities authorized under the Workforce Innovation and Opportunity Act, except that, for each fiscal year for which an eligible agency receives funds appropriated under this section, section 222(a)(1) of the Workforce Innovation and Opportunity Act shall be applied by substituting not less than 10 percent
for not more than 20 percent
, and section 222(b) of such Act shall not apply.
(b)Amounts made available to carry out this section shall be used to supplement and not supplant other Federal, State, and local public funds expended to support adult education and literacy activities, including funds provided under the Workforce Innovation and Opportunity Act.
22102.Career and technical education
(a)In addition to amounts otherwise available, there is appropriated to the Department of Education for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, the following amounts, to remain available until September 30, 2027:
(1)$600,000,000 for carrying out career and technical education programs authorized under section 124 and section 135 of the Carl D. Perkins Career and Technical Education Act of 2006, which shall be allotted in accordance with section 111 and section 112 of such Act, except that subsection (b) of section 112 shall not apply.
(2)$100,000,000 for carrying out the innovation and modernization program in subsection (e) of section 114 of the Carl D. Perkins Career and Technical Education Act of 2006, except that, for purposes of this paragraph, paragraph (2) of such subsection and the 20 percent limitation in paragraph (1) of such subsection shall not apply and eligible agencies, as defined in section 3(18) of such Act, shall be eligible to receive grants under such program.
(b)Amounts made available to carry out this section shall be used to supplement and not supplant other Federal, State, and local public funds expended for career and technical education programs, including funds provided under the Carl D. Perkins Career and Technical Education Act of 2006.
3Competitive integrated employment transformation grant program
22201.Competitive integrated employment transformation grant program
(a)In addition to amounts otherwise made available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, the following amounts, to remain available through fiscal year 2029, for the Secretary of Labor to award grants to covered States in accordance with this section to assist employers in such States who were issued special certificates under section 14(c) of the Fair Labor Standards Act of 1938 (29 U.S.C. 214(c)) (referred to in this part as special certificates
) in transforming their business and program models from providing employment using special certificates to business and program models that employ and support people with disabilities in competitive integrated employment:
(1)$189,000,000 for subsection (d)(2)(B).
(2)$81,000,000 for subsection (d)(2)(C).
(b)
(1)To be eligible to receive a grant under this section, a covered State shall submit an application to the Secretary at such time, in such manner, and including such information as the Secretary may reasonably require.
(2)Each application submitted under paragraph (1) shall include—
(A)a description of the status of the employers in the covered State providing employment using special certificates, including—
(i)the number of employers in the covered State using special certificates to employ and pay people with disabilities;
(ii)the number of employees in the covered State employed under a special certificate;
(iii)the average number of hours such employees work per week; and
(iv)the average hourly wage for such employees;
(B)a description of activities to be funded under the grant, and the goals of such activities, including the activities of the covered State with respect to competitive integrated employment for people with disabilities; and
(C)assurances that—
(i)the activities carried out under the grant will result in—
(I)each employer in the covered State that, on the date of enactment of this Act, provides employment using special certificates transforming its business and program models as described in subsection (c)(1); and
(II)each employer in the covered State ceasing to use special certificates by the end of the 5-year grant period and no longer applying for or renewing such certificates;
(ii)each individual in the covered State who is employed under a special certificate will, as a result of such a transformation, be employed in competitive integrated employment or a combination of competitive integrated employment and integrated services, including by compensating all employees of the employer for all hours worked at a rate that is—
(I)not less than the higher of—
- (aa)the rate specified in section 6(a)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 206(a)(1));
- (bb)the rate specified in an applicable State or local minimum wage law; or
- (cc)in the case of work on a contract that is subject to chapter 67 of title 41, United States Code, the applicable prevailing wage rate under such chapter; and
(II)not less than the rate paid by the employer for the same or similar work performed by other employees who are not people with disabilities, and who are similarly situated in similar occupations by the same employer and who have similar training, experience, and skills; and
(iii)the covered State will establish an advisory council to monitor and guide the process of transforming business and program models of employers in the covered State as described in subsection (c)(1).
(c)A covered State receiving a grant under this section shall use the grant funds for each of the following activities:
(1)Identifying each employer in the State that will transform its business and program models from employing people with disabilities using special certificates to employing people with disabilities in competitive integrated employment settings, or a setting involving a combination of competitive integrated employment and integrated services.
(2)Implementing a service delivery infrastructure to support people with disabilities who have been employed under special certificates through such a transformation, including providing enhanced integrated services to support people with the most significant disabilities.
(3)Expanding competitive integrated employment and integrated services to be provided to such people as a result of transformations described in paragraph (1).
(d)
(1)Not later than 18 months after the date of enactment of this Act, the Secretary shall—
(A)determine the number of covered States; and
(B)
(i)in a case in which the Secretary determines that there are 15 or more covered States, award each covered State a grant under paragraph (2); or
(ii)in a case in which the Secretary determines that there are 14 or fewer covered States, award each covered State a grant under paragraph (3) for the first 5-year grant period under such paragraph.
(2)15 or more covered States
(A)In a case in which the Secretary determines under paragraph (1) that there are 15 or more covered States, from the funds appropriated under subsection (a), the Secretary shall allot to each covered State a grant under this section in an amount equal to the sum of—
(i)the allotment made to the covered State in accordance with subparagraph (B); and
(ii)the allotment made to the covered State in accordance with subparagraph (C).
(B)Allotment based on the number of employees employed under special certificatesFrom the total amount of the funds appropriated under subsection (a)(1), the Secretary shall allot to each covered State an amount that bears the same relationship to such total amount as the number of people with disabilities who are employed under a special certificate in the covered State bears to the total number of people with disabilities who are employed under a special certificate in all covered States.
(C)Allotment based on the number of employers with special certificatesFrom the total amount of the funds appropriated under subsection (a)(2), the Secretary shall allot to each covered State an amount that bears the same relationship to such total amount as the number of employers in the covered State who have in effect a special certificate bears to the total number of employers in all covered States who have in effect such a certificate.
(D)In determining the number of people with disabilities who are employed under a special certificate for purposes of subparagraph (B) and the number of employers who have in effect a special certificate for purposes of subparagraph (C), the Secretary shall use the most accurate data available to the Secretary on the date of enactment of this Act.
(E)A grant under this paragraph shall be awarded for a period of 5 years.
(3)14 or fewer covered States
(A)In a case in which the Secretary determines under paragraph (1) that there are 14 or fewer covered States, from the funds appropriated under subsection (a), the Secretary shall award a grant to each covered State in an amount that the Secretary determines necessary for the covered State to accomplish the purpose of the grant described in such subsection and for the Secretary to meet the requirements of this paragraph.
(B)
(i)The Secretary shall award grants under this paragraph for 2 separate, 5-year grant periods.
(ii)Second 5-year grant periodGrants for the second 5-year grant period shall be awarded—
(I)not earlier than the end of the second year of the first 5-year grant period described in paragraph (1)(B)(ii); and
(II)not later than September 30, 2025.
(C)Limit on number of grantsNo State may receive more than 1 grant under this paragraph.
(e)Definition of covered StateIn this section, the term covered State means a State (as defined in section 3 of the Fair Labor Standards Act of 1938 (29 U.S.C. 203)) that—
(1)as of the date of enactment of this Act, has not phased out, or is not in the process of phasing out, the use of special certificates in the State; and
(2)submits an application under subsection (b) that meets the requirements under such subsection.
22202.Grants for States to expand competitive integrated employment
(a)In addition to amounts otherwise made available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $24,000,000, to remain available through fiscal year 2029, for the Secretary of Labor to award grants to covered States in accordance with this section to assist employers in such States who were issued special certificates in continuing to transform their business and program models from providing employment using special certificates to business and program models that employ and support people with disabilities in competitive integrated employment.
(b)To be eligible to receive a grant under this section, a covered State shall submit an application to the Secretary at such time, in such manner, and include such information as the Secretary may reasonably require, including a description of activities to be funded under the grant and the activities of the covered State with respect to competitive integrated employment for people with disabilities.
(c)A covered State that receives a grant under this section shall use the grant funds for activities to expand competitive integrated employment and integrated services to be provided to people with disabilities.
(d)Not later than 18 months after the date of enactment of this Act, the Secretary shall award each covered State a grant in an amount that bears the same relationship to the total amount appropriated under subsection (a) as the population of the covered State bears to the total population of all covered States.
(e)A grant under this section shall be awarded for a period of 5 years.
(f)Definition of covered StateIn this section, the term covered State means a State (as defined in section 3 of the Fair Labor Standards Act of 1938 (29 U.S.C. 203)) that—
(1)as of the date of enactment of this Act, has phased out, or is the process of phasing out, the use of special certificates in the State; and
(2)submits an application under subsection (b) that meets the requirements under such subsection.
22203.In addition to amounts otherwise made available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $6,000,000, to remain available through fiscal year 2029, for the Secretary to, in partnership with the Office of Special Education and Rehabilitative Services of the Department of Education, establish, either directly or through grants, contracts, or cooperative agreements, a national technical assistance center to—
(1)provide technical assistance to employers who are transforming from employing people with disabilities using special certificates to employing people with disabilities in competitive integrated employment settings; and
(2)collect and disseminate information on evidence-based practices for such transformations and for providing competitive integrated employment and integrated services.
22204.Supplement and not supplantAny funds made available to a State under this part shall be used to supplement and not supplant any Federal, State, or local public funds expended—
(1)to assist employers in such State who were issued a special certificate in transforming (or continuing to transform) their business and program models from providing employment using special certificates to business and program models that employ and support people with disabilities in competitive integrated employment; or
(2)to support the employment of people with disabilities in competitive integrated employment.
22205.In this part:
(1)Competitive integrated employmentThe term competitive integrated employment has the meaning given such term in section 7(5) of the Rehabilitation Act of 1973 (29 U.S.C. 705(5)).
(2)The terms employee and employer have the meanings given such terms in section 3 of the Fair Labor Standards Act of 1938 (29 U.S.C. 203).
(3)The term integrated services means services for people with disabilities that are—
(A)designed to assist such people in developing skills and abilities to reside successfully in home and community-based settings;
(B)provided in accordance with a person-centered written plan of care;
(C)created using evidence-based practices that lead to such people—
(i)maintaining competitive integrated employment;
(ii)achieving independent living; or
(iii)maximizing socioeconomic self-sufficiency, optimal independence, and full participation in the community;
(D)provided in a community location that is not specifically intended for people with disabilities;
(E)provided in a location that—
(i)allows the people receiving the services to interact with people without disabilities to the fullest extent possible; and
(ii)makes it possible for the people receiving the services to access community resources that are not specifically intended for people with disabilities and to have the same opportunity to participate in the community as people who do not have a disability; and
(F)provided in multiple locations to allow the individual receiving the services to have options, thereby—
(i)optimizing individual initiative, autonomy, and independence; and
(ii)facilitating choice regarding services and supports, and choice regarding the provider of such services.
(4)The term people with disabilities includes individuals described in section 14(c)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 214(c)(1)).
(5)The term Secretary
means the Secretary of Labor.
4Recruitment, Education and Training, Retention, and Career Advancements for the Direct Care Workforce
22301.In this part:
(1)The terms area career and technical education school, evidence-based, and work-based learning have the meanings given such terms in paragraphs (3), (23), and (55), respectively, of section 3 of the Carl D. Perkins Career and Technical Education Act of 2006 (20 U.S.C. 2302).
(2)The terms career pathway, career planning, individual with a barrier to employment, local board, older individual, on-the-job training, recognized postsecondary credential, and State board have the meanings given such terms paragraphs (7), (8), (24), (33), (39), (44), (52), and (57), respectively, of section 3 of the Workforce Innovation and Opportunity Act (29 U.S.C. 3102).
(3)
(A)The term direct support worker means—
(i)a direct support professional;
(ii)a worker providing direct care services, which may include palliative care, in a home or community-based setting;
(iii)a respite care provider who provides short-term support and care to an individual in order to provide relief to a family caregiver;
(iv)a direct care worker, as defined in section 799B of the Public Health Service Act (42 U.S.C. 295p); or
(v)an individual in any other position or job related to those described in clauses (i) through (iv), as determined by the Secretary in consultation with the Secretary of Health and Human Services acting through the Administrator for the Administration for Community Living.
(B)The term eligible entity means an entity that is—
(i)a State;
(ii)a labor organization or a joint labor-management organization;
(iii)a nonprofit organization with experience in aging, disability, supporting the rights and interests of direct support workers, or training or educating direct support workers;
(iv)an Indian Tribe or Tribal organization (as defined in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304));
(v)an urban Indian organization (as defined in section 4 of the Indian Health Care Improvement Act (25 U.S.C. 1603));
(vi)a State board or local board;
(vii)an area agency on aging (as defined in section 102 of the Older Americans Act of 1965 (42 U.S.C. 3002));
(viii)when in partnership with an entity described in any of clauses (i) through (vii) or with a consortium described in clause (ix)—
(I)an institution of higher education (as defined in section 101 of the Higher Education Act of 1965 (20 U.S.C. 1001) or section 102(a)(1)(B) of such Act (20 U.S.C. 1002(a)(1)(B))); or
(II)an area career and technical education school; or
(ix)a consortium of entities listed in any of clauses (i) through (vii).
(C)The term family caregiver means a paid or unpaid adult family member or other individual who has a significant relationship with, and who provides a broad range of assistance to, an individual with a chronic or other health condition, disability, or functional limitation.
(D)Home and community-based servicesThe term home and community-based services has the meaning given such term in section 9817(a)(2) of the American Rescue Plan Act of 2021 (Public Law 117–2).
(E)The term person with a disability means an individual with a disability as defined in section 3 of the Americans with Disabilities Act of 1990 (42 U.S.C. 12102).
(F)Pre-apprenticeship programThe term pre-apprenticeship program means a program that articulates to a registered apprenticeship program.
(G)Registered apprenticeship programThe term registered apprenticeship program means an apprenticeship program registered with the Office of Apprenticeship of the Employment Training Administration of the Department of Labor or a State apprenticeship agency recognized by the Office of Apprenticeship pursuant to the Act of August 16, 1937 (commonly known as the National Apprenticeship Act
; 50 Stat. 664, chapter 663).
(H)The term Secretary means the Secretary of Labor.
(I)The term State means each of the 50 States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, American Samoa, Guam, the United States Virgin Islands, and the Commonwealth of the Northern Mariana Islands.
22302.Grants to support the direct care workforce
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2031, for awarding, on a competitive basis, grants to eligible entities to carry out the activities described in subsection (c) with respect to direct support workers.
(b)Applications; award basis
(1)
(A)An eligible entity seeking a grant under subsection (a) shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary, in coordination with the Secretary of Health and Human Services acting through the Administrator of the Administration for Community Living, may require.
(B)Each application under subparagraph (A) shall include—
(i)a description of the type or types of direct support workers the entity plans to serve through the activities supported by the grant;
(ii)a description of the one or more eligible entities collaborating to carry out the activities described in subsection (c);
(iii)an assurance that—
(I)the eligible entity will consult on the development and implementation of the grant, with direct support workers, their representatives, and recipients of direct care services and their families; and
(II)the eligible entity will consult on the implementation of the grant, or coordinate the activities of the grant, with the agencies in the State that are responsible for developmental disability services, aging, education, workforce development, and Medicaid, to the extent that each such entity is not the eligible entity; and
(iv)a plan for ensuring that the eligible entity will remain neutral in any organizing effort involving direct support workers served by the grant who seek to form, join, or assist a labor organization.
(2)A grant awarded under this section shall be for a period of 3 years, and may be renewed. The Secretary, in coordination with the Secretary of Health and Human Services acting through the Administrator of the Administration for Community Living, shall award grants (including any renewals) under this section in 3-year cycles subject to the limits set forth in subsection (a).
(c)
(1)Each eligible entity receiving a grant under subsection (a) shall use the grant funds to provide competitive wages, benefits, and other supportive services, including transportation, child care, dependent care, workplace accommodations, and workplace health and safety protections, to the direct support workers served by the grant that are necessary to enable such workers to participate in the activities supported by the grant.
(2)In addition to the requirement described in paragraph (1), each eligible entity receiving a grant under subsection (a) shall use the grant funds for one or more of the following activities:
(A)Developing and implementing a strategy for the recruitment of direct support workers.
(B)Developing and implementing a strategy for the retention of direct support workers using evidence-based best practices, such as providing mentoring to such workers, including a strategy that can also support family caregivers.
(C)Developing or implementing an education and training program for the direct support workers served by the grant, which shall include—
(i)education and training on—
(I)the rights of direct support workers under applicable Federal, State, or local employment law on—
- (aa)wages and hours, including under sections 3, 6, 7, 12, and 13 of the Fair Labor Standards Act of 1938 (29 U.S.C. 203, 206, 207, 212, 213);
- (bb)safe working conditions, including under section 5 of the Occupational Safety and Health Act of 1970 (29 U.S.C. 654); and
- (cc)forming, joining, or assisting a labor organization, including under sections 7 and 8 of the National Labor Relations Act (29 U.S.C. 157, 158); and
(II)relevant Federal and State laws (including regulations) on the provision of home and community-based services; and
(ii)providing a progressively increasing, clearly defined schedule of hourly wages to be paid to each direct support worker served by the grant for each hour the worker spends on education or training provided through the program described in this subparagraph, with a schedule of hourly wages that—
(I)is consistent with measurable skill gains or attainment of a recognized postsecondary credential received as a result of participation in or completion of such education or training program; and
(II)ensures that each such worker is compensated for each hour the worker spends on education or training through such program at an entry rate that is not less than the greater of the applicable minimum wage required by other applicable Federal, State, or local law, or a collective bargaining agreement;
(iii)developing and implementing a strategy for the retention and career advancement of the direct support workers served by the grant, including providing career planning for the direct support workers served by the grant to support the identification of advancement opportunities, and career pathways in the direct care or home care sectors; and
(iv)using evidence-based models and standards for achievement for the attainment of any associated recognized postsecondary credentials, which include—
(I)supporting opportunities to participate in pre-apprenticeship or registered apprenticeship programs, work-based learning, or on-the-job training;
(II)providing on-the-job supervision or mentoring to support the development of related skills and competencies throughout completion of such credentials; and
(III)training on the in-demand skills and competencies of direct support workers served by the grant, including the provision of culturally competent and disability competent supports and services.
(d)Supplement and not supplantAn eligible entity receiving a grant under this section shall use such grant only to supplement, and not supplant, the amount of funds that, in the absence of such grant, would be available to the eligible entity to address the recruitment, education and training, retention, or career advancement of direct support workers in the State served by the grant.
5Department of Labor Inspector General and Program Administration Funding
22401.Department of Labor Inspector GeneralIn addition to amounts otherwise available, there is appropriated to the Office of Inspector General of the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $40,000,000, to remain available until expended, for salaries and expenses necessary for oversight, investigations, and audits of programs, grants, and projects of the Department of Labor funded under this subtitle and subtitle B of this title.
22402.In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $90,000,000, to remain available until September 30, 2029, for program administration within the Department of Labor for salaries and expenses necessary to implement part 1 (other than sections 22007 and 22008), and parts 3 and 4, of this subtitle.
DChild care and universal pre-kindergarten
23001.Birth through five child care and early learning entitlement
(a)The definitions in section 658P of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858n) shall apply to this section, except as provided in subsection (b) and as otherwise specified.
(b)In this section:
(1)
(A)The term child care certificate means a certificate (that may be a check or other disbursement) that is issued by a State, Tribal, territorial, or local government under this section directly to a parent who shall use such certificate only as payment for child care services or as a deposit for child care services if such a deposit is required of other children being cared for by the provider.
(B)Nothing in this section shall preclude the use of such certificates for sectarian child care services if freely chosen by the parent. For the purposes of this section, child care certificates shall be considered Federal financial assistance to the provider.
(2)Child experiencing homelessnessThe term child experiencing homelessness means an individual who is a homeless child or youth under section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a).
(3)The term eligible activity, with respect to a parent, shall include, at minimum, activities consisting of—
(A)full-time or part-time employment;
(B)self-employment;
(C)job search activities;
(D)job training;
(E)secondary, postsecondary, or adult education, including education through a program of high school classes, a course of study at an institution of higher education, classes towards an equivalent of a high school diploma recognized by State law, or English as a second language classes;
(F)health treatment (including mental health and substance use treatment) for a condition that prevents the parent from participating in other eligible activities;
(G)activities to prevent child abuse and neglect, or family violence prevention or intervention activities;
(H)employment and training activities under the supplemental nutrition assistance program established under section 6(d)(4) the Food and Nutrition Act of 2008 (7 U.S.C. 2015(d)(4));
(I)employment and training activities under the Workforce Innovation and Opportunity Act;
(J)a work activity described in subsection (d) of section 407 of the Social Security Act (42 U.S.C. 607) for which, consistent with clauses (ii) and (iii) of section 402(a)(1)(A) of such Act (42 U.S.C. 602(a)(1)(A)), a parent or caretaker is treated as being engaged in work for a month in a fiscal year for purposes of the program of block grants to States for temporary assistance for needy families established under part A of title IV of the Social Security Act; and
(K)taking leave under the Family and Medical Leave Act of 1993 (or equivalent provisions for Federal employees), a State or local paid or unpaid leave law, or a program of employer-provided leave.
(4)The term eligible child means an individual, subject to subsection (g)(1)(C)(i)(III)—
(A)who is less than 6 years of age;
(B)who is not yet in kindergarten;
(C)whose family income—
(i)does not exceed 100 percent of the State median income for a family of the same size for fiscal year 2022;
(ii)does not exceed 125 percent of such State median income for fiscal year 2023;
(iii)does not exceed 150 percent of such State median income for fiscal year 2024; and
(iv)does not exceed 250 percent of such State median income for each of the fiscal years 2025 through 2027; and
(D)who—
(i)resides with a parent or parents who are participating in an eligible activity;
(ii)is included in a population of vulnerable children identified by the lead agency involved, which at a minimum shall include children with disabilities, infants and toddlers with disabilities, children experiencing homelessness, children in foster care, children in kinship care, and children who are receiving, or need to receive, child protective services; or
(iii)resides with a parent who is more than 65 years of age.
(5)Eligible child care provider
(A)The term eligible child care provider means a center-based child care provider, a family child care provider, or other provider of child care services for compensation that—
(i)is licensed to provide child care services under State law or, in the case of an Indian Tribe or Tribal organization, meets the rules set by the Secretary;
(ii)participates in the State’s tiered system for measuring the quality of eligible child care providers described in subsection (f)(4)(B), or, in the case of an Indian Tribe or Tribal organization, meets the rules set by the Secretary—
(I)not later than the last day of the third fiscal year for which the State receives funds under this section; and
(II)for the remainder of the period for which the provider receives funds under this section; and
(iii)satisfies the State and local requirements applicable to eligible child care providers under the Child Care and Development Block Grant Act of 1990, including those requirements described in section 658E(c)(2)(I) of such Act (42 U.S.C. 9858c(c)(2)(I)).
(B)A child care provider who is eligible to provide child care services in a State for children receiving assistance under the Child Care and Development Block Grant Act of 1990 on the date the State submits an application for funds under this section, and remains in compliance with any licensing or registration standards, or regulations, of the State, shall be deemed to be an eligible child care provider under this section for 3 years after the State receives funding under this section.
(6)The term FMAP has the meaning given the term Federal medical assistance percentage in the first sentence of section 1905(b) of the Social Security Act (42 U.S.C. 1396d(b)).
(7)Family child care providerThe term family child care provider means one or more individuals who provide child care services, in a private residence other than the residences of the children involved, for less than 24 hours per day per child, or for 24 hours per day per child due to the nature of the work of the parent involved.
(8)The term inclusive, with respect to care (including child care), means care provided by an eligible child care provider—
(A)for whom the percentage of children served by the provider who are children with disabilities or infants or toddlers with disabilities reflects the prevalence of children with disabilities and infants and toddlers with disabilities (whichever the provider serves) among children within the State involved; and
(B)that provides care and full participation for children with disabilities and infants and toddlers with disabilities (whichever the provider serves) alongside children who are—
(i)not children with disabilities; and
(ii)not infants and toddlers with disabilities.
(9)The term infant or toddler means an individual who is less than 3 years of age.
(10)Infant or toddler with a disabilityThe term infant or toddler with a disability has the meaning given the term in section 632 of the Individuals with Disabilities Education Act (20 U.S.C. 1432).
(11)The term lead agency means the agency designated under subsection (e).
(12)The term State means any of the 50 States and the District of Columbia.
(13)The term territory means the Commonwealth of Puerto Rico, the Virgin Islands of the United States, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands.
(c)
(1)
(A)In addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(i)
(I)$11,460,000,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(1)(A)(i) in fiscal year 2022;
(II)$5,730,000,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(2)(C) in fiscal year 2022;
(III)$4,125,600,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(1)(A)(i) or subsection (h)(2)(C), as determined by the State or Commonwealth, in fiscal year 2022; and
(IV)$1,604,400,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (g)(2)(A)(iii) in fiscal year 2022;
(ii)
(I)$16,235,000,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(1)(A)(i) in fiscal year 2023;
(II)$8,117,500,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(2)(C) in fiscal year 2023;
(III)$5,844,600,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(1)(A)(i) or subsection (h)(2)(C), as determined by the State or Commonwealth, in fiscal year 2023; and
(IV)$2,272,900,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (g)(2)(A)(iii) in fiscal year 2023; and
(iii)
(I)$20,055,000,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(1)(A)(i) in fiscal year 2024;
(II)$10,027,500,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(2)(C) in fiscal year 2024;
(III)$7,219,800,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (h)(1)(A)(i) or subsection (h)(2)(C), as determined by the State or Commonwealth, in fiscal year 2024; and
(IV)$2,807,700,000, to remain available until September 30, 2027, for States and the Commonwealth of Puerto Rico, to carry out the activities described in subsection (g)(2)(A)(iii) in fiscal year 2024.
(B)In addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary for each of fiscal years 2025 through 2027, for payments to States, to remain available for 1 additional fiscal year for carrying out this section (other than carrying out subsections (i), (k), and (l) or activities described in paragraph (2) or (3)).
(2)Indian Tribes and Tribal organizations
(A)Indian Tribe and Tribal organization appropriationsIn addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, for grants to Indian Tribes and Tribal organizations for the purpose of carrying out the child care program described in this section, consistent, to the extent practicable as determined by the Secretary, with the requirements applicable to States—
(i)$960,000,000, to remain available until September 30, 2027, to carry out the child care program in fiscal year 2022;
(ii)$1,360,000,000, to remain available until September 30, 2027, to carry out the child care program in fiscal year 2023; and
(iii)$1,680,000,000 to remain available until September 30, 2027, to carry out the child care program in fiscal year 2024.
(B)Indian Tribe and Tribal organization entitlementIn addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary for each of fiscal years 2025 through 2027, for payments to Indian Tribes and Tribal organizations, for the purpose of carrying out the child care program described in this section, consistent, to the extent practicable as determined by the Secretary, with the requirements applicable to States.
(3)
(A)In addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, for grants to Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, and the United States Virgin Islands for the purpose of carrying out the child care program described in this section, consistent, to the extent practicable as determined by the Secretary, with the requirements applicable to States—
(i)$120,000,000, to remain available until September 30, 2027, to carry out the child care program in fiscal year 2022;
(ii)$170,000,000, to remain available until September 30, 2027, to carry out the child care program in fiscal year 2023; and
(iii)$210,000,000, to remain available until September 30, 2027, to carry out the child care program in fiscal year 2024.
(B)In addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary for each of fiscal years 2025 through 2027, for payments to territories, for the purpose of carrying out the child care program described in this section, consistent, to the extent practicable as determined by the Secretary, with the requirements applicable to States.
(4)In addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(A)$1,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (i)(2) in fiscal year 2023;
(B)$1,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (i)(2) in fiscal year 2024;
(C)$1,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (i)(2) in fiscal year 2025;
(D)$1,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (i)(2) in fiscal year 2026; and
(E)$1,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (i)(2) in fiscal year 2027.
(5)Head Start expansion in nonparticipating StatesIn addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(A)$3,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (i)(3) in fiscal year 2023;
(B)$3,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (i)(3) in fiscal year 2024;
(C)$3,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (i)(3) in fiscal year 2025;
(D)$3,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (i)(3) in fiscal year 2026; and
(E)$3,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (i)(3) in fiscal year 2027.
(6)
(A)Fiscal years 2022 through 2025In addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(i)$130,000,000, to remain available until September 30, 2027, to carry out subsections (k) and (l) in fiscal year 2022;
(ii)$130,000,000, to remain available until September 30, 2027, to carry out subsections (k) and (l) in fiscal year 2023;
(iii)$130,000,000, to remain available until September 30, 2027, to carry out subsections (k) and (l) in fiscal year 2024; and
(iv)$130,000,000, to remain available until September 30, 2027, to carry out subsections (k) and (l) in fiscal year 2025.
(B)Fiscal years 2026 through 2027In addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services, out of any money in the Treasury not otherwise appropriated, for each of fiscal years 2026 and 2027, an amount equal to 1.06 percent of the prior year’s appropriation under paragraph (1)(B), to carry out subsections (k) and (l).
(d)Establishment of birth through five child care and early learning entitlement program
(1)The Secretary is authorized to administer a child care and early learning entitlement program under which an eligible child, in a State, territory, or Indian Tribe, or served by a Tribal organization, with an approved application under subsection (f) or (g), shall be provided an opportunity to obtain high-quality child care services, subject to the requirements of this section.
(2)Assistance for every eligible childBeginning on October 1, 2024, every child who applies for assistance under this section in a State with an approved application under subsection (g), or in a territory or Indian Tribe or served by a Tribal organization with an approved application under subsection (f), and who is determined, by a lead agency (or other entity designated by a lead agency) following standards and procedures established by the Secretary by rule, to be an eligible child, shall be offered assistance for direct child care services in accordance with and subject to the requirements and limitations of this section.
(e)The Governor of a State or the head of a territory or Indian Tribe, desiring for the State, territory, or Indian tribe or a related tribal organization to receive a payment under this section, shall designate a lead agency (such as a State agency or joint interagency office) to administer the child care program carried out under this section.
(f)Applications and state plans
(1)To be eligible to receive assistance under this section, a State shall prepare and submit to the Secretary for approval an application containing a State plan that—
(A)for a transitional State plan, meets the requirements under paragraph (3) and contains such information as the Secretary may require, to demonstrate the State will meet the requirements of this section; and
(B)for a full State plan, meets the requirements under paragraph (4) and contains that information.
(2)A State plan contained in the application shall be designed to be implemented—
(A)for a transitional State plan, during a period of not more than 3 years; and
(B)for a full State plan, during a period of not more than 3 years.
(3)Requirements for transitional state plansFor a period of not more than 3 years following the date of enactment of this Act, the Secretary shall award funds under this section to States with an approved application that contains a transitional State plan, submitted under paragraph (1)(A) that includes, at a minimum—
(A)an assurance that the State will submit a State plan under paragraph (4); and
(B)a description of how the funds received by the State under this section will be spent to expand access to assistance for direct child care services and increase the supply and quality of child care providers within the State, in alignment with the requirements of this section.
(4)Requirements for full state plansThe Secretary shall award funds under this section to States with an approved application that contains a full State plan, submitted under paragraph (1)(B), that includes, at a minimum, the following:
(A)Payment rates and cost estimation
(i)The State plan shall certify that payment rates for the provision of direct child care services for which assistance is provided in accordance with this section for the period covered by the plan, within 3 years after the State receives funds under this section—
(I)will be sufficient to meet the cost of child care, and set in accordance with a cost estimation model or cost study described in clause (ii) that is approved by the Secretary; and
(II)will correspond to differences in quality (including improved quality) based on the State’s tiered system for measuring the quality of eligible child care providers described in subparagraph (B).
(ii)Such State plan shall—
(I)demonstrate that the State has, after consulting with relevant entities and stakeholders, developed and uses a statistically valid and reliable cost estimation model or cost study for the payment rates for direct child care services in the State that reflect rates for providers at each of the tiers of the State’s tiered system for measuring the quality of eligible child care providers described in subparagraph (B), and variations in the cost of direct child care services by geographic area, type of provider, and age of child, and the additional costs associated with providing inclusive care;
(II)certify that the State’s payment rates for direct child care services for which assistance is provided in accordance with this section—
- (aa)are set in accordance with the most recent estimates from the most recent cost estimation model or cost study under subclause (I), so that providers at each tier of the tiered system for measuring provider quality described in subparagraph (B) receive a payment that is sufficient to meet the requirements of such tier;
- (bb)are set so as to provide payments to providers not at the top tier of the tiered system that are sufficient to enable the providers to increase quality to meet the requirements for the next tier;
- (cc)ensure adequate wages for staff of child care providers providing such direct child care services that—
(AA)at a minimum, provide a living wage for all staff of such child care providers; and
(BB)are equivalent to wages for elementary educators with similar credentials and experience in the State; and
- (dd)are adjusted on an annual basis for cost of living increases to ensure those payment rates remain sufficient to meet the requirements of this section; and
(III)certify that the State will update, not less often than once every 3 years, the cost estimation model or cost study described in subclause (I).
(iii)Such State plan shall include an assurance that the State will implement payment practices that support the fixed costs of providing direct child care services.
(B)Tiered system for measuring the quality of eligible child care providersSuch State plan shall certify that the State has implemented, or assure that the State will implement within 3 years after receiving funds under this section, a tiered system for measuring the quality of eligible child care providers who provide child care services for which assistance is made available under this section. Such tiered system shall—
(i)include a set of standards, for determining the tier of quality of a child care provider, that—
(I)uses standards for a highest tier that at a minimum are equivalent to Head Start program performance standards described in section 641A(a)(1)(B) of the Head Start Act (42 U.S.C. 9836a(a)(1)(B)) or other equivalent evidence-based standards approved by the Secretary; and
(II)includes quality indicators and thresholds that are appropriate for child development in different types of child care provider settings, including child care centers and the settings of family child care providers, and are appropriate for providers serving different age groups (including mixed age groups) of children;
(ii)include a different set of standards that includes indicators, when appropriate, for care during nontraditional hours of operation; and
(iii)provide for sufficient resources and supports for child care providers at tiers lower than the highest tier to facilitate progression toward meeting higher quality standards.
(C)Achieving high quality for all childrenSuch State plan shall certify the State has implemented, or will implement within 3 years after receiving funds under this section, policies and financing practices that will ensure all eligible children can choose to attend child care at the highest quality tier within 6 years after the date of enactment of this Act.
(D)Such plan shall provide a certification that the State has or will have within 3 years after receiving funds under this section, a wage ladder for staff of eligible child care providers receiving assistance under this section, including a certification that wages for such staff, at a minimum, will meet the requirements of subparagraph (A)(ii)(II)(cc).
(E)Sliding fee scale for copayments
(i)Except as provided in clause (ii)(I), the State plan shall provide an assurance that the State will for the period covered by the plan use a sliding fee scale described in clause (ii) to determine a copayment for a family receiving assistance under this section (or, for a family receiving part-time care, a reduced copayment that is the proportionate amount of the full copayment).
(ii)A full copayment described in clause (i) shall use a sliding fee scale that provides that, for a family with a family income—
(I)of not more than 75 percent of State median income for a family of the same size, the family shall not pay a copayment, toward the cost of the child care involved for all eligible children in the family;
(II)of more than 75 percent but not more than 100 percent of State median income for a family of the same size, the copayment shall be more than 0 but not more than 2 percent of that family income, toward such cost for all such children;
(III)of more than 100 percent but not more than 125 percent of State median income for a family of the same size, the copayment shall be more than 2 but not more than 4 percent of that family income, toward such cost for all such children;
(IV)of more than 125 percent but not more than 150 percent of State median income for a family of the same size, the copayment shall be more than 4 but not more than 7 percent of that family income, toward such cost for all such children; and
(V)of more than 150 percent but not more than 250 percent of the State median income for a family of the same size, the copayment shall be 7 percent of that family income, toward such cost for all such children.
(F)Prohibition on charging more than copaymentThe State plan shall certify that the State will not permit a child care provider receiving financial assistance under this section to charge, for child care for an eligible child, more than the total of—
(i)the financial assistance provided for the child under this section; and
(ii)any applicable copayment pursuant to subparagraph (E).
(G)The State plan shall assure that each child who receives assistance under this section will be considered to meet all eligibility requirements for such assistance, and will receive such assistance, for not less than 12 months unless the child has aged out of the program, and the child’s eligibility determination and redetermination, including any determination based on the State’s definition of eligible activities, shall be implemented in a manner that supports child well-being and reduces barriers to enrollment, including continuity of services.
(H)Policies to support access to child care for underserved populationsThe State plan shall demonstrate that the State will prioritize increasing access to, and the quality and the supply of, child care in the State for underserved populations, including at a minimum, low-income children, children in underserved areas, infants and toddlers, children with disabilities and infants and toddlers with disabilities, children who are dual language learners, and children who receive care during nontraditional hours.
(I)The State plan shall include a certification that the State will apply, under this section, the policies and procedures described in subparagraphs (A), (B), (I), (J), (K)(i), (R), and (U) of section 658E(c)(2) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858c(c)(2)), and the policies and procedures described in section 658H of such Act (42 U.S.C. 9858f), to child care services provided under this section.
(J)The State plan shall demonstrate that the State has consulted or will consult with organizations (including labor organizations) representing child care directors, teachers, or other staff, early childhood education and development experts, and families to develop, within 3 years after receiving funds under this section, licensing standards appropriate for child care providers and a pathway to such licensure that is available to and appropriate for child care providers in a variety of settings, that will offer providers eligible under the Child Care and Development Block Grant Act of 1990 a reasonable pathway to become eligible providers under this section, and that will assure an adequate supply of child care.
(g)
(1)Transition payments for fiscal years 2022 through 2024
(A)For purposes of this paragraph—
(i)the term State means the 50 States, the District of Columbia, and the Commonwealth of Puerto Rico; and
(ii)the term territory means Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, and the United States Virgin Islands.
(B)For each of fiscal years 2022 through 2024, the Secretary shall, from the amount appropriated under subsection (c)(1)(A) for such fiscal year, make allotments to each State with an application approved under subsection (f) in the same manner as the Secretary makes such allotments using the formula under section 658O(b) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858n(b)).
(C)
(i)Indian tribes and tribal organizations
(I)For each of fiscal years 2022 through 2024, from the amount appropriated for Indian Tribes and Tribal organizations under subsection (c)(2)(A), the Secretary shall make payments to Indian Tribes and Tribal organizations with an application approved under subclause (II), and the Tribes and Tribal organizations shall be entitled to such payments for the purpose of carrying out the child care program described in this section, consistent, to the extent practicable as determined by the Secretary, with the requirements applicable to States.
(II)An Indian Tribe or Tribal organization seeking a payment under this clause shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may specify, including the agreement described in subsection (j)(7).
(III)The Secretary shall determine eligibility criteria for children from Indian tribes.
(ii)
(I)For each of fiscal years 2022 through 2024, from the amount appropriated for territories under subsection (c)(3)(A), the Secretary shall make payments to the territories with an application approved under subclause (II), and the territories shall be entitled to such payments, for the purpose of carrying out the child care program described in this section, consistent, to the extent practicable as determined by the Secretary, with the requirements applicable to States.
(II)A territory seeking a payment under this clause shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may specify, including the agreement described in subsection (j)(7).
(iii)For each of fiscal years 2022 through 2024, each State that has an application approved under subsection (f) shall be entitled to a payment under this clause in the amount equal to its allotment under subparagraph (B) for such fiscal year.
(D)Notwithstanding any other provision of this paragraph, for each of fiscal years 2022 through 2024, the Secretary shall have the authority to reallot funds that were allotted under subparagraph (B) from any State without an approved application under subsection (f), Indian Tribe or Tribal organization without an approved application under subparagraph (C)(i)(II), and any territory without an approved application under subparagraph (C)(ii)(II) by the date required by the Secretary, to States with an approved application under that subsection, to Tribes or Tribal organizations with an approved application under subparagraph (C)(i)(II), and to territories with an approved application under subparagraph (C)(ii)(II).
(2)Payments for fiscal years 2025 through 2027
(A)For each of fiscal years 2025 through 2027:
(i)Child care assistance for eligible children
(I)The Secretary shall pay to each State with an approved application under subsection (f), and that State shall be entitled to, an amount for each quarter equal to 95.440 percent of expenditures (which shall be the Federal share of such expenditures) in the quarter for direct child care services described under subsection (h)(2)(B) for eligible children.
(II)Funds reserved from the total under subsection (h)(2)(C) shall be subject to clause (ii).
(III)Activities described in clause (ii) and clause (iii) may not be included in the cost of direct child care services described in this clause.
(ii)Activities to improve the quality and supply of child care servicesThe Secretary shall pay to each State with such an approved application, and that State shall be entitled to, an amount equal to the product of 1.06045 and the FMAP of expenditures (which product shall be the Federal share of such expenditures) to carry out activities to improve the quality and supply of child care services under subsection (h)(2)(C) subject to the limit specified in clause (i) of such subsection.
(iii)The Secretary shall pay to each State with such an approved application, and that State shall be entitled to, an amount equal to 53.022 percent of expenditures (which shall be the Federal share of such expenditures) for the costs of administration incurred by the State—
(I)which shall include costs incurred by the State in carrying out the child care program established in this section; and
(II)which may include, at the option of the State, costs associated with carrying out requirements, policies, and procedures described in section 658H of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858f).
(B)Advance payment; retrospective adjustmentFor each of fiscal years 2025 through 2027, the Secretary shall make payments under this paragraph for a period on the basis of advance estimates of expenditures submitted by the State and such other investigation as the Secretary may find necessary, and shall reduce or increase the payments as necessary to adjust for any overpayment or underpayment for previous periods. No interest shall be charged or paid on any amount due because of an overpayment or underpayment for previous periods.
(C)For each of fiscal years 2025 through 2027, from the amounts appropriated under paragraph (2)(B) or (3)(B) of subsection (c) the Secretary shall make payments to territories, and Indian Tribes and Tribal organizations, as the case may be, with applications submitted as described in paragraph (1), and approved by the Secretary for the purpose of carrying out the child care program described in this section, consistent, to the extent practicable as determined by the Secretary (subject to subsection (d)(2)), with the requirements applicable to States. Each entity that is such a territory, Indian Tribe, or Tribal organization shall be entitled to such a payment as may be necessary to carry out the activities described in subsection (h)(2), and to pay for the costs of administration incurred by the entity, which shall include costs incurred by the entity in carrying out the child care program, and which may include, at the option of the entity, costs associated with carrying out requirements, policies, and procedures described in section 658H of the Child Care and Development Block Grant Act of 1990.
(h)
(1)Use of funds for transition years
(A)For each of fiscal years 2022 through 2024, a State (as defined in subsection (g)(1)) that receives a payment under subsection (g)(1) shall use such payment for—
(i)assistance for direct child care services, which shall consist only of—
(I)expanding access to assistance for direct child care services for eligible children through grants and contracts, and child care certificates;
(II)increasing child care provider payment rates to support the cost of providing high-quality direct child care services, including rates sufficient to support increased wages for staff of eligible child care providers; and
(III)waiving or reducing copayments, to ensure that the families of children receiving assistance under this section do not pay more than 7 percent of family income toward the cost of the child care involved for all eligible children in the family;
(ii)activities described in paragraph (2)(C); and
(iii)activities described in subsection (g)(2)(A)(iii).
(B)A State that receives an amount through the payments for a fiscal year for activities described in subparagraph (A)(iii), and uses only part of that amount for those activities, shall use the remainder for activities described in clause (i) or (ii) of subparagraph (A) for that fiscal year.
(C)
(i)In this subparagraph, the term covered child means a child—
(I)who meets the requirements of subparagraphs (A), (B), and (D) of subsection (b)(4); and
(II)whose family income, for the fiscal year, exceeds the percentage specified in subsection (b)(4)(C) (but does not exceed 250 percent) of State median income for a family of the same size for that fiscal year.
(ii)A State may use the payments under subsection (g)(1) for fiscal year 2022, 2023, or 2024, to provide direct child care services described in subparagraph (A)(i) to covered children if the State has appropriately prioritized enrollment to receive such services based on family income, as determined by the Secretary. A child who is eligible to receive such services under this subparagraph shall be treated as an eligible child for the other provisions of this section.
(2)Use of funds for fiscal years 2025 through 2027
(A)Starting on October 1, 2024, a State shall use amounts provided to the State under subsection (g)(2) for direct child care services (provided on a sliding fee scale basis), activities to improve the quality and supply of child care services consistent with paragraph (C), and State administration consistent with subsection (g)(2)(A)(iii).
(B)Child care assistance for eligible children
(i)For each of fiscal years 2025 through 2027, from payments made to the State under subsection (g)(2) for that particular fiscal year, the State shall ensure that parents of eligible children can access direct child care services provided by an eligible child care provider under this section through a grant or contract as described in clause (ii) or a certificate as described in clause (iii).
(ii)The State shall award grants or contracts to eligible child care providers, consistent with the requirements under this section, for the provision of child care services for eligible children under this section that, at a minimum—
(I)support providers’ operating expenses to meet and sustain health, safety, quality, and wage standards required under this section; and
(II)address underserved populations described in subsection (f)(4)(H).
(iii)The State shall issue a child care certificate directly to a parent who shall use such certificate only as payment for direct child care services or as a deposit for direct child care services if such a deposit is required of other children being cared for by the provider, consistent with the requirements under this section.
(C)Activities to improve the quality and supply of child care services
(i)Quality child care activities
(I)For each of fiscal years 2025 through 2027, from the total of the payments made to the State for a particular fiscal year, the State shall reserve and use a quality child care amount equal to not less than 5 percent and not more than 10 percent of the amount made available to the State through such payments for the previous fiscal year.
(II)Use of quality child care amountEach State shall use the quality child care amount described in subclause (I) to implement activities described in this subparagraph to improve the quality and supply of child care services by eligible child care providers, and increase the number of available slots in the State for child care services funded under this section, prioritizing assistance for child care providers who are in underserved communities and who are providing, or are seeking to provide, child care services for underserved populations identified in subsection (f)(4)(H).
(III)Assistance provided under this subparagraph may be administered—
- (aa)directly by the lead agency; or
- (bb)through other State government agencies, local or regional child care resource and referral organizations, community development financial institutions, other intermediaries with experience supporting child care providers, or other appropriate entities that enter into a contract with the State to provide such assistance.
(ii)Activities funded under the quality child care amount described in clause (i) shall include each of the following:
(I)Startup grants and supply expansion grants
- (aa)From a portion of the quality child care amount, a State shall make startup and supply expansion grants to support child care providers who are providing, or seeking to provide, child care services to children receiving assistance under this section, with priority for providers providing or seeking to provide child care in underserved communities and for underserved populations identified in subsection (f)(4)(H), to—
(AA)support startup and expansion costs; and
(BB)assist such providers in meeting health and safety requirements, achieving licensure, and meeting requirements in the State’s tiered system for measuring the quality of eligible child care providers.
- (bb)As a condition of receiving a startup or supply expansion grant under this subclause, a child care provider shall commit to meeting the requirements of an eligible provider under this section, and providing child care services to children receiving assistance under this section on an ongoing basis.
(II)From a portion of the quality child care amount, a State shall provide quality grants to support eligible child care providers in providing child care services to children receiving assistance under this section to improve the quality of such providers, including—
- (aa)supporting such providers in meeting or making progress toward the requirements for the highest tier of the State’s tiered system for measuring the quality of eligible child care providers under subsection (f)(4)(B); and
- (bb)supporting such providers in sustaining child care quality, including supporting increased wages for staff and supporting payment of fixed costs.
(III)
- (aa)From a portion of the quality child care amount, a State shall provide support, including through awarding facilities grants, for remodeling, renovation, or repair of a building or facility to the extent permitted under section 658F(b) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858).
- (bb)For fiscal years 2022 through 2024, and in subsequent years with approval from the Secretary, a State may award such facilities grants for construction, permanent improvement, or major renovation of a building or facility primarily used for providing direct child care services, in accordance with the following:
(AA)Federal interest provisions will not apply to the renovation or rebuilding of privately-owned family child care homes under this subclause.
(BB)Eligible child care providers may not use funds for buildings or facilities that are used primarily for sectarian instruction or religious worship.
(CC)The Secretary shall develop parameters on the use of funds under this subclause for family child care homes.
(DD)The Secretary shall not retain Federal interest after a period of 10 years in any facility built, renovated, or repaired with funds awarded under this subclause.
(IV)For purposes of subclause (III), the Secretary shall not—
- (aa)enter into any agreement related to funds for activities carried out under subclause (III)—
(AA)that is for a term extending beyond September 30, 2031; and
(BB)under which any payment could be outlaid after September 30, 2031; or
- (bb)use any other funds available to the Secretary, other than funds provided under this section, to satisfy obligations initially made for activities carried out under subclause (III).
(V)State activities to improve the quality of child care servicesA State shall use a portion of the quality child care amount to improve the quality of child care services available for this program, which shall include—
- (aa)supporting the training and professional development of the early childhood workforce, including supporting degree attainment and credentialing for early childhood educators;
- (bb)developing, implementing, or enhancing the State’s tiered system for measuring the quality of eligible child care providers under subsection (f)(4)(B);
- (cc)improving the supply and quality of developmentally appropriate and inclusive child care programs and services for underserved populations described in subsection (f)(4)(H); and
- (dd)improving access to child care services for children experiencing homelessness and children in foster care.
(VI)From a portion of the quality child care amount, the State shall provide technical assistance to increase the supply and quality of eligible child care providers who are providing, or seeking to provide, child care services to children receiving assistance under this section, including providing support to enable providers to achieve licensure.
(i)Grants to localities and awards to Head Start programs
(1)Eligible locality definedIn this subsection, the term eligible locality means a city, county, or other unit of general local government.
(2)
(A)The Secretary shall use funds appropriated under subsection (c)(4) to award local Birth Through Five Child Care and Early Learning Grants to eligible localities located in States that have not received payments under subsection (g). The Secretary shall award the grants to eligible localities in such a State from the allotment made for that State under subparagraph (B).
(B)
(i)In this subparagraph, the term poverty line means the poverty line defined and revised as described in section 673 of the Community Services Block Grant Act (42 U.S.C. 9902).
(ii)For each State described in subparagraph (A), the Secretary shall allot for the State for a fiscal year an amount that bears the same relationship to the funds appropriated under subsection (c)(4) for the fiscal year as the number of children from families with family incomes that are below 200 percent of the poverty line, and who are under the age of 6, in the State bears to the total number of all such children in all States described in subparagraph (A).
(C)To receive a grant from the corresponding State allotment under subparagraph (B), an eligible locality shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. The requirements for the application shall, to the greatest extent practicable, be consistent with the State plan requirements applicable to States under subsection (f).
(D)The Secretary shall specify the requirements for an eligible locality to provide access to child care, which child care requirements shall, to the greatest extent practicable, be consistent with the requirements applicable to States under this section.
(E)Recoupment of unused fundsNotwithstanding any other provision of this section, for each of fiscal years 2023 through 2027, the Secretary shall have the authority to recoup any unused funds allotted under subparagraph (B) for awards under paragraph (3)(A) to Head Start agencies in accordance with paragraph (3).
(3)Head Start expansion in nonparticipating States
(A)If the Secretary determines that an area of a State described in paragraph (2)(A) will not be adequately served under this subsection, either because no eligible locality applied to serve the area or because no application submitted by an eligible locality was considered sufficient, then the Secretary shall use funds appropriated under subsection (c)(5) to make an award to a Head Start agency to carry out the purposes of the Head Start Act in that area.
(B)For purposes of carrying out the Head Start Act in circumstances not involving awards under this paragraph, funds awarded under subparagraph (A) shall not be included in the calculation of a base grant
as such term is defined in section 640(a)(7)(A) of the Head Start Act (42 U.S.C. 9835(a)(7)(A)).
(4)Priority for serving underserved populationsIn making determinations to award a grant or make an award under this subsection, the Secretary shall give priority to entities serving a high percentage of individuals from underserved populations described in subsection (f)(4)(H).
(j)
(1)The following provisions of law shall apply to any program or activity that receives funds provided under this section:
(A)Title IX of the Education Amendments of 1972.
(B)Title VI of the Civil Rights Act of 1964.
(C)Section 504 of the Rehabilitation Act of 1973.
(D)The Americans with Disabilities Act of 1990.
(E)Section 654 of the Head Start Act.
(2)Prohibition on additional eligibility requirementsNo individual shall be determined, by the Secretary, a State, or another recipient of funds under this section, to be ineligible for child care services provided under this section, except on the basis of eligibility requirements specified in or under this section.
(3)
(A)A State that receives payments under this section for a fiscal year, in using the funds made available through the payments, shall maintain the expenditures of the State for child care services at the average level of such expenditures by the State for the 3 preceding fiscal years.
(B)State expenditures counted for purposes of meeting the requirement in subparagraph (A) may also be counted for purposes of meeting the requirement to provide a non-Federal share under clause (i), (ii), or (iii), as appropriate, of subsection (g)(2)(A).
(4)Funds received under this section shall be used to supplement and not supplant other Federal, State, and local public funds expended to provide child care services in the State.
(5)Allowable sources of non-federal shareFor purposes of providing the non-Federal share required under subsection (g)(2), a State’s non-Federal share—
(A)for direct child care services described in subsection (g)(2)(A)(i)—
(i)shall not include contributions being used as a non-Federal share or match for another Federal award; and
(ii)shall be provided from State or local sources, contributions from philanthropy or other private organizations, or a combination of such sources and contributions; and
(B)for activities to improve the quality and supply of child care services described in subsection (g)(2)(A)(ii), and administration described in subsection (g)(2)(A)(iii)—
(i)shall not include contributions being used as a non-Federal share or match for another Federal award;
(ii)shall be provided from State or local sources, contributions from philanthropy or other private organizations, or a combination of such sources and contributions; and
(iii)may be in cash or in kind, fairly evaluated, including facilities or property, equipment, or services.
(6)Information for determinationsFor purposes of determinations of participation in an eligible activity, the provision of information for such determinations by Federal agencies other than the Department of Health and Human Services shall not be required.
(7)The State plan described in subsection (f) shall include an agreement to provide to the Secretary such periodic reports, providing a detailed accounting of the uses of the funds received under this section, as the Secretary may require for the administration of this section. The State shall begin to provide the reports beginning not later than 60 days after its initial receipt of a payment under subsection (g)(1).
(k)Monitoring and enforcement
(1)Review of compliance with requirements and state planThe Secretary shall review and monitor compliance of States, territories, Tribal entities, and local entities with this section and State compliance with the plan described in subsection (f)(4).
(2)The Secretary shall establish by rule procedures for—
(A)receiving, processing, and determining the validity of complaints or findings concerning any failure of a State to comply with the State plan or any other requirement of this section;
(B)notifying a State when the Secretary has determined there has been a failure by the State to comply with a requirement of this section; and
(C)imposing sanctions under this subsection for such a failure.
(l)Using funds reserved under subsection (c)(6), the Secretary shall carry out administration of this section, shall provide (including through the use of grants or cooperative agreements) technical assistance to States, territories, Indian Tribes, and Tribal organizations, and shall carry out research, and evaluations related to this section.
(m)
(1)Treatment of child care and development block grant fundsFor each of fiscal years 2025, 2026, and 2027, a State receiving assistance under this section shall not use more than 10 percent of any funds received under the Child Care and Development Block Grant Act of 1990 to provide assistance for direct child care services to children under the age of 6, who are eligible under that Act.
(2)Special rules regarding eligibilityAny child who is less than 6 years of age, is not yet in kindergarten, and is receiving assistance under the Child Care and Development Block Grant Act of 1990 on the date funding is first allocated to the lead agency for the State, territory, Indian Tribe, or Tribal organization involved under this section—
(A)shall be deemed immediately eligible to receive assistance under this section; and
(B)may continue to use the child care provider of the family’s choice.
(3)The Secretary is authorized to institute procedures for implementing this section, including issuing guidance for States receiving funds under subsection (g)(1).
23002.
(a)In this section:
(1)Child experiencing homelessnessThe term child experiencing homelessness means an individual who is a homeless child or youth under section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a).
(2)The term child with a disability has the meaning given the term in section 602 of the Individuals with Disabilities Education Act (20 U.S.C. 1401).
(3)The term comprehensive services means services that are provided to low-income children and their families, and that are health, educational, nutritional, social, and other services that are determined, based on family needs assessments, to be necessary, within the meaning of section 636 of the Head Start Act (42 U.S.C. 9831).
(4)The term dual language learner means a child who is learning 2 or more languages at the same time, or a child who is learning a second language while continuing to develop the child's first language.
(5)The term eligible child means a child who is age 3 or 4, on the date established by the applicable local educational agency for kindergarten entry.
(6)The term eligible provider means—
(A)a local educational agency, acting alone or in a consortium or in collaboration with an educational service agency (as defined in section 8101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801)), that is licensed by the State or meets comparable health and safety standards;
(B)a Head Start agency or delegate agency funded under the Head Start Act;
(C)a licensed center-based child care provider, licensed family child care provider, or community– or neighborhood–based network of licensed family child care providers; or
(D)a consortium of entities described in any of subparagraphs (A), (B), and (C).
(7)The term Indian Tribe has the meaning given the term in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304).
(8)The term local educational agency has the meaning given the term in section 8101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801).
(9)The term poverty line means the poverty line defined and revised as described in section 673 of the Community Services Block Grant Act (42 U.S.C. 9902).
(10)The term Secretary means the Secretary of Health and Human Services.
(11)The term State means each of the several States and the District of Columbia.
(12)The term territory means each of the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands.
(13)The term Tribal organization has the meaning given the term tribal organization in section 658P of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858n).
(b)
(1)Appropriations for States
(A)In addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(i)$4,000,000,000, to remain available until September 30, 2027, for payments to States, for carrying out this section (except provisions and activities covered by paragraph (2)) in fiscal year 2022;
(ii)$6,000,000,000, to remain available until September 30, 2027, for payments to States, for carrying out this section (except provisions and activities covered by paragraph (2)) in fiscal year 2023; and
(iii)$8,000,000,000, to remain available until September 30, 2027, for payments to States, for carrying out this section (except provisions and activities covered by paragraph (2)) in fiscal year 2024.
(B)Additional appropriationsIn addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary for each of fiscal years 2025 through 2027, to remain available for 1 additional fiscal year, for payments to States, for carrying out this section (except provisions and activities covered by paragraph (2)).
(2)Additional appropriationsIn addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(A)$2,500,000,000 for carrying out payments to Indian Tribes and Tribal organizations for activities described in this section in fiscal years 2022 through 2027;
(B)$1,000,000,000 for carrying out payments to the territories, to be distributed among the territories on the basis of their relative need, as determined by the Secretary in accordance with the objectives of this section, for activities described in this section in fiscal years 2022 through 2027;
(C)$300,000,000 for carrying out payments to eligible local entities that serve children in families who are engaged in migrant or seasonal agricultural labor, for activities described in this section, in fiscal years 2022 through 2027;
(D)
(i)$165,000,000, to remain available until September 30, 2027, for carrying out Federal activities to support the activities funded under this section, including administration, monitoring, technical assistance, and research, in fiscal year 2022;
(ii)$200,000,000 to remain available until September 30, 2027, for carrying out Federal activities to support the activities funded under this section, including administration, monitoring, technical assistance, and research, in fiscal year 2023;
(iii)$200,000,000, to remain available until September 30, 2027, for carrying out Federal activities to support the activities funded under this section, including administration, monitoring, technical assistance, and research, in fiscal year 2024;
(iv)$208,000,000, to remain available until September 30, 2027, for carrying out Federal activities to support the activities funded under this section, including administration, monitoring, technical assistance, and research, in fiscal year 2025;
(v)$212,000,000, to remain available until September 30, 2027, for carrying out Federal activities to support the activities funded under this section, including administration, monitoring, technical assistance, and research, in fiscal year 2026; and
(vi)$216,000,000, to remain available until September 30, 2027, for carrying out Federal activities to support the activities funded under this section, including administration, monitoring, technical assistance, and research, in fiscal year 2027;
(E)
(i)$2,500,000,000, to remain available until September 30, 2027, to improve compensation of Head Start staff consistent with subparagraphs (A)(i) and (B)(viii) of section 640(a)(5) of the Head Start Act (42 U.S.C. 9835(a)(5)), notwithstanding section 653(a) of such Act (42 U.S.C. 9848(a)), in fiscal year 2022;
(ii)$2,500,000,000, to remain available until September 30, 2027, to improve compensation of Head Start staff consistent with subparagraphs (A)(i) and (B)(viii) of section 640(a)(5) of the Head Start Act (42 U.S.C. 9835(a)(5)), notwithstanding section 653(a) of such Act (42 U.S.C. 9848(a)), in fiscal year 2023;
(iii)$2,500,000,000, to remain available until September 30, 2027, to improve compensation of Head Start staff consistent with subparagraphs (A)(i) and (B)(viii) of section 640(a)(5) of the Head Start Act (42 U.S.C. 9835(a)(5)), notwithstanding section 653(a) of such Act (42 U.S.C. 9848(a)), in fiscal year 2024;
(iv)$2,500,000,000, to remain available until September 30, 2027, to improve compensation of Head Start staff consistent with subparagraphs (A)(i) and (B)(viii) of section 640(a)(5) of the Head Start Act (42 U.S.C. 9835(a)(5)), notwithstanding section 653(a) of such Act (42 U.S.C. 9848(a)), in fiscal year 2025;
(v)$2,500,000,000, to remain available until September 30, 2027, to improve compensation of Head Start staff consistent with subparagraphs (A)(i) and (B)(viii) of section 640(a)(5) of the Head Start Act (42 U.S.C. 9835(a)(5)), notwithstanding section 653(a) of such Act (42 U.S.C. 9848(a)), in fiscal year 2026; and
(vi)$2,500,000,000, to remain available until September 30, 2027, to improve compensation of Head Start staff consistent with subparagraphs (A)(i) and (B)(viii) of section 640(a)(5) of the Head Start Act (42 U.S.C. 9835(a)(5)), notwithstanding section 653(a) of such Act (42 U.S.C. 9848(a)), in fiscal year 2027;
(F)
(i)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (e)(2) in fiscal year 2023;
(ii)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (e)(2) in fiscal year 2024;
(iii)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (e)(2) in fiscal year 2025;
(iv)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (e)(2) in fiscal year 2026; and
(v)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of grants to localities described in subsection (e)(2) in fiscal year 2027; and
(G)
(i)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (e)(3) in fiscal year 2023;
(ii)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (e)(3) in fiscal year 2024;
(iii)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (e)(3) in fiscal year 2025;
(iv)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (e)(3) in fiscal year 2026; and
(v)$2,000,000,000, to remain available until September 30, 2027, to carry out the program of awards to Head Start agencies described in subsection (e)(3) in fiscal year 2027.
(c)Payments for state universal preschool services
(1)A State that has submitted, and had approved by the Secretary, the State plan described in paragraph (5) is entitled to a payment under this subsection.
(2)
(A)Transition payments for fiscal years 2022 through 2024From amounts made available under subsection (b)(1) for any of fiscal years 2022 through 2024, the Secretary, in collaboration with the Secretary of Education, shall allot for the fiscal year, to each State that has a State plan under paragraph (5) or transitional State plan under paragraph (7) that is approved for a period including that fiscal year, an amount for the purpose of providing grants to eligible providers to provide high-quality preschool, using a formula that considers—
(i)the proportion of the number of children who are below the age of 6 and whose families have a family income at or below 200 percent of the poverty line for the most recent year for which satisfactory data are available, residing in the State, as compared to the number of such children, who reside in all States with approved plans for the fiscal year for which the allotment is being made; and
(ii)the existing Federal preschool investments in the State under the Head Start Act, as of the date of the allotment.
(B)Payments for fiscal years 2025 through 2027
(i)For each of fiscal years 2025 through 2027, the Secretary shall pay to each State with an approved State plan under paragraph (5), an amount for that year equal to—
(I)95.440 percent of the State’s expenditures in the year for preschool services provided under subsection (d), for fiscal year 2025;
(II)79.534 percent of the State’s expenditures in the year for such preschool services, for fiscal year 2026; and
(III)63.627 percent of the State’s expenditures in the year for such preschool services, for fiscal year 2027.
(ii)The Secretary shall pay to each State with an approved State plan under paragraph (5) an amount for a fiscal year equal to 53.022 percent of the amount of the State’s expenditures for the activities described in paragraph (3), except that in no case shall a payment for a fiscal year under this clause exceed the amount equal to 10 percent of the State’s expenditures described in clause (i) for such fiscal year.
(iii)The remainder of the cost paid by the State for preschool services, that is not provided under clause (i), shall be considered the non-Federal share of the cost of those services. The remainder of the cost paid by the State for State activities, that is not provided under clause (ii), shall be considered the non-Federal share of the cost of those activities.
(iv)Advance payment; retrospective adjustmentThe Secretary shall make a payment under clause (i) or (ii) for a year on the basis of advance estimates of expenditures submitted by the State and such other investigation as the Secretary may find necessary, and shall reduce or increase the payment as necessary to adjust for any overpayment or underpayment for a previous year.
(C)Notwithstanding any other provision of this paragraph, for each of fiscal years 2022 through 2024, the Secretary shall have the authority to reallot funds that were allotted under subparagraph (A) from any State without an approved State plan under paragraph (5) by the date required by the Secretary, to States with an approved application under that paragraph.
(3)A State that receives a payment under paragraph (2) shall carry out all of the following activities:
(A)State administration of the State preschool program described in this section.
(B)Supporting a continuous quality improvement system for providers of preschool services participating, or seeking to participate, in the State preschool program, through the use of data, researching, monitoring, training, technical assistance, professional development, and coaching.
(C)Providing outreach and enrollment support for families of eligible children.
(D)Supporting data systems building.
(E)Supporting staff of eligible providers in pursuing credentials and degrees, including baccalaureate degrees.
(F)Supporting activities that ensure access to inclusive preschool programs for children with disabilities.
(G)Providing age-appropriate transportation services for children, which at a minimum shall include transportation services for children experiencing homelessness and children in foster care.
(H)Conducting or updating a statewide needs assessment of access to high-quality preschool services.
(4)The Governor of a State desiring to receive a payment under this subsection shall designate a State lead agency (such as a State agency or joint interagency office) for the administration of the State preschool program under this section.
(5)In order to be eligible for payments under this section, the Governor of a State shall submit a State plan to the Secretary for approval by the Secretary, in collaboration with the Secretary of Education, at such time, in such manner, and containing such information as the Secretary shall by rule require, that includes a plan for achieving universal, high-quality, free, inclusive, and mixed-delivery preschool services. Such plan shall include, at a minimum, each of the following:
(A)A certification that—
(i)the State has in place developmentally appropriate, evidence-based preschool standards that, at a minimum, are as rigorous as the standards specified in subparagraph (B) of section 641A(a)(1) of the Head Start Act (42 U.S.C. 9836a(a)(1)) and include program standards for class sizes and ratios; and
(ii)the State will coordinate such standards with other early learning standards in the State.
(B)An assurance that the State will ensure—
(i)all preschool services in the State funded under this section will—
(I)be universally available to all children in the State without any additional eligibility requirements;
(II)be high-quality, free, and inclusive; and
(III)by not later than 1 year after the State receives such funding, meet the State’s preschool education standards described in subparagraph (A); and
(ii)that the local preschool programs in the State funded under this section will—
(I)offer programming that meets the duration requirements of at least 1,020 annual hours;
(II)adopt policies and practices to conduct outreach and provide expedited enrollment, including prioritization, to—
- (aa)children experiencing homelessness;
- (bb)children in foster care or kinship care;
- (cc)children in families who are engaged in migrant or seasonal agricultural labor;
- (dd)children with disabilities, including eligible children who are served under part C of the Individuals with Disabilities Education Act; and
- (ee)dual language learners;
(III)provide for salaries, and set schedules for salaries, for staff of providers in the State preschool program that are equivalent to salaries of elementary school staff with similar credentials and experience;
(IV)at a minimum, provide a living wage for all staff of such providers; and
(V)require educational qualifications for teachers in the preschool program including, at a minimum, requiring that lead teachers in the preschool program have a baccalaureate degree in early childhood education or a related field by not later than 6 years after the date on which the State first receives funds under this Act, except that—
- (aa)subject to item (bb), the requirements under this subclause shall not apply to individuals who were employed by an eligible provider or early education program for a cumulative 3 of the 5 years immediately preceding the date of enactment of this Act and have the necessary content knowledge and teaching skills for early childhood educators, as demonstrated through measures determined by the State; and
- (bb)nothing in this section shall require the State to lessen State requirements for educational qualifications, in existence on the date of enactment of this Act, to serve as a teacher in a State preschool program.
(C)For States with existing publicly funded State preschool programs (as of the date of submission of the State plan), a description of how the State plans to use funding provided under this section to ensure that such existing programs in the State meet the requirements of this section for a State preschool program.
(D)A description of how the State, in establishing and operating the State preschool program supported under this section, will—
(i)support a mixed-delivery system for any new slots funded under this section, including by facilitating the participation of Head Start programs and programs offered by licensed child care providers;
(ii)ensure the State preschool program does not disrupt the stability of infant and toddler child care throughout the State;
(iii)ensure adequate consultation with the State Advisory Council on Early Childhood Education and Care designated or established in section 642B(b)(1)(A)(i) of the Head Start Act (42 U.S.C. 9837b(b)(1)(A)(i)) in the development of its plan, including consultation in how the State intends to distribute slots under clause (v);
(iv)partner with Head Start agencies to ensure the full utilization of Head Start programs within the State; and
(v)distribute new preschool slots equitably among child care (including family child care) providers, Head Start agencies, and schools within the State.
(E)A certification that the State, in operating the program described in this section for a fiscal year—
(i)will not reduce the total preschool slots provided in State-funded preschool programs from the number of such slots in the previous fiscal year; or
(ii)if the number of eligible children identified in the State declines from the previous fiscal year, will maintain at least the previous year's ratio of the total preschool slots described in clause (i) to eligible children so identified.
(F)An assurance that the State will use funding provided under this section to ensure children with disabilities have access to and participate in inclusive preschool programs consistent with provisions in the Individuals with Disabilities Education Act, and a description of how the State will collaborate with entities carrying out programs under section 619 or part C of the Individuals with Disabilities Education Act, to support inclusive preschool programs.
(G)A certification that the State will support the continuous quality improvement of programs providing preschool services under this section, including support through technical assistance, monitoring, and research.
(H)A certification that the State will ensure a highly qualified early childhood workforce to support the requirements of this section.
(I)An assurance that the State will meet the requirements of clauses (ii) and (iii) of section 658E(c)(2)(T) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858c(c)(2)(T)), with respect to funding and assessments under this section.
(J)A certification that subgrant and contract amounts provided as described in subsection (d) will be sufficient to enable eligible providers to meet the requirements of this section, and will provide for increased payment amounts based on the criteria described in subclauses (III) and (IV) of subparagraph (B)(ii).
(K)An agreement to provide to the Secretary such periodic reports, providing a detailed accounting of the uses of funding received under this section, as the Secretary may require for the administration of this section.
(6)Each State plan shall remain in effect for a period of 3 years. Amendments to the State plan shall remain in effect for the duration of the plan.
(7)
(A)The Secretary shall develop parameters for, and allow a State to submit for purposes of this subsection for a period of not more than 3 years, a transitional State plan, at such time, in such manner and containing such information as the Secretary shall by rule require.
(B)The transitional plan shall—
(i)demonstrate that the State will meet the requirements of such plan as determined by the Secretary; and
(ii)include, at a minimum—
(I)an assurance that the State will submit a State plan under paragraph (5);
(II)a description of how the funds received by the State under this section will be spent to expand access to universal, high-quality, free, inclusive, and mixed-delivery preschool in alignment with the requirements of this section; and
(III)such data as the Secretary may require on the provision of preschool services in the State.
(d)Subgrants and contracts for local preschool programs
(1)
(A)A State that receives a payment under subsection (c)(2) for a fiscal year shall use amounts provided through the payment to pay the costs of subgrants to, or contracts with, eligible providers to operate universal, high-quality, free, and inclusive preschool programs (which State-funded programs may be referred to in this section as local preschool programs
) through the State preschool program in accordance with paragraph (3). A State shall reduce or increase the amounts provided under such subgrants or contracts if needed to adjust for any overpayment or underpayment described in subsection (c)(2)(B)(iv).
(B)A State shall award a subgrant or contract under this subsection in a sufficient amount to enable the eligible provider to operate a local preschool program that meets the requirements of subsection (c)(5)(B), which amount shall reflect variations in the cost of preschool services by geographic area, type of provider, and age of child, and the additional costs associated with providing inclusive preschool services for children with disabilities.
(C)The State shall award a subgrant or contract under this subsection for a period of not less than 3 years, unless the subgrant or contract is terminated or suspended, or the subgrant period is reduced, for cause.
(2)Enhanced payments for comprehensive servicesIn awarding subgrants or contracts under this subsection and in addition to meeting the requirements of paragraph (1)(B), the State shall award subgrants or contracts with enhanced payments to eligible providers that offer local preschool programs funded under this subsection to a high percentage of low-income children to support comprehensive services.
(3)Establishing and expanding universal preschool programs
(A)Establishing and expanding universal preschool programs in high-need communitiesIn awarding subgrants or contracts under this subsection, the State shall first prioritize establishing and expanding universal local preschool programs within and across high-need communities by awarding subgrants or contracts to eligible providers operating within and across, or with capacity to operate within and across, such high-need communities. The State shall—
(i)use a research-based methodology approved by the Secretary to identify such high-need communities, as determined by—
(I)the rate of poverty in the community;
(II)rates of access to high-quality preschool within the community; and
(III)other indicators of community need as required by the Secretary; and
(ii)distribute funding for preschool services under this section within such a high-need community so that a majority of children in the community are offered such preschool services before the State establishes and expands preschool services in communities with lower levels of need.
(B)Subgrants or contracts awarded under subparagraph (A) shall be used to enroll and serve children in such a local preschool program involved, including by paying the costs—
(i)of personnel (including classroom and administrative personnel), including compensation and benefits;
(ii)associated with implementing the State’s preschool standards, providing curriculum supports, and meeting early learning and development standards;
(iii)of professional development, teacher supports, and training;
(iv)of implementing and meeting developmentally appropriate health and safety standards (including licensure, where applicable), teacher to child ratios, and group size maximums;
(v)of materials, equipment, and supplies; and
(vi)of rent or a mortgage, utilities, building security, indoor and outdoor maintenance, and insurance.
(4)Establishing and expanding universal preschool programs in additional communitiesOnce a State that receives a payment under subsection (c)(2) meets the requirements of paragraph (3) with respect to establishing and expanding local preschool programs within and across high-need communities, the State shall use funds from such payment to enroll and serve children in local preschool programs, as described in such paragraph, in additional communities in accordance with the metrics described in paragraph (3)(A)(i). Such funds shall be used for the activities described in clauses (i) through (vi) of paragraph (3)(B).
(e)Grants to localities and Head Start expansion in nonparticipating States
(1)Eligible locality definedIn this subsection, the term eligible locality means a city, county, or other unit of general local government, a local educational agency, or a Head Start agency designated under the Head Start Act.
(2)
(A)The Secretary shall use funds reserved in subsection (b)(2)(F) to award local universal preschool grants, in accordance with rules established by the Secretary, to eligible localities located in States that have not received payments under subsection (c)(2)(A). The Secretary shall award the grants to eligible localities in a State from the allotment made for that State under subparagraph (B). The Secretary shall specify the requirements for an eligible locality to conduct a preschool program under this subsection which shall, to the greatest extent practicable, be consistent with the requirements applicable to States under this section, for a universal, high-quality, free, and inclusive preschool program.
(B)For each State described in subparagraph (A), the Secretary shall allot for the State for a fiscal year an amount that bears the same relationship to the funds appropriated under subsection (b)(2)(F) for the fiscal year as the number of children from families with family incomes at or below 200 percent of the poverty line, and who are under the age of 6, in the State bears to the total number of all such children in all States described in subparagraph (A).
(C)To receive a grant from the corresponding State allotment under this subsection, an eligible locality shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. The requirements for the application shall, to the greatest extent practicable, be consistent with the State plan requirements applicable to States under this section.
(D)Recoupment of unused fundsNotwithstanding any other provision of this section, for each of fiscal years 2023 through 2027, the Secretary shall have the authority to recoup any unused funds allotted under subparagraph (B) for awards under paragraph (3)(A) to Head Start agencies in accordance with paragraph (3).
(3)Head Start expansion in nonparticipating States
(A)If the Secretary determines that an area of a State described in paragraph (2)(A) will not be adequately served under this subsection, either because no eligible locality applied to serve the area or because no application submitted by an eligible locality was considered sufficient, then the Secretary shall use funds appropriated under subsection (b)(2)(G) to make an award to a Head Start agency to carry out the purposes of the Head Start Act in that area.
(B)For purposes of carrying out the Head Start Act in circumstances not involving awards under this paragraph, funds awarded under subparagraph (A) shall not be included in the calculation of a base grant
as such term is defined in section 640(a)(7)(A) of the Head Start Act (42 U.S.C. 9835(a)(7)(A)).
(4)Priority for serving underserved communitiesIn making determinations to award a grant or make an award under this subsection, the Secretary shall give priority to entities serving communities with a high percentage of low-income children as described in subsection (d)(2).
(f)Allowable sources of non-Federal shareFor purposes of calculating the amount of the non-Federal share, as determined under subsection (c)(2)(B)(iii), relating to a payment under subsection (c)(2)(B), a State’s non-Federal share—
(1)may be in cash or in kind, fairly evaluated, including facilities or property, equipment, or services;
(2)shall include any increase in amounts spent by the State to expand half-day kindergarten programs in the State, as of the day before the date of enactment of this Act, into full-day kindergarten programs;
(3)shall not include contributions being used as a non-Federal share or match for another Federal award;
(4)shall be provided from State or local sources, contributions from philanthropy or other private organizations, or a combination of such sources and contributions; and
(5)shall count not more than 100 percent of the State’s current spending on prekindergarten programs, calculated as the average amount of such spending by the State for fiscal years 2019, 2020, and 2021, toward the State’s non-Federal share.
(g)
(1)If a State reduces its combined fiscal effort per child for the State preschool program (whether a publicly funded preschool program or a program under this section) or through State supplemental assistance funds for Head Start programs assisted under the Head Start Act, or through any State spending on preschool services for any fiscal year that a State receives payments under subsection (c)(2) (referred to in this paragraph as the reduction fiscal year
) relative to the previous fiscal year, the Secretary, in collaboration with the Secretary of Education, shall reduce support for such State under such subsection by the same amount as the total reduction in that State fiscal effort for such reduction fiscal year.
(2)The Secretary, in collaboration with the Secretary of Education, may waive the requirements of paragraph (1) if—
(A)the Secretaries determine that a waiver would be appropriate due to a precipitous decline in the financial resources of a State as a result of unforeseen economic hardship, or a natural disaster, that has necessitated across-the-board reductions in State services during the 5-year period preceding the date of the determination, including for early childhood education programs; or
(B)due to the circumstance of a State requiring reductions in specific programs, including early childhood education programs, the State presents to the Secretaries a justification and demonstration why other programs could not be reduced and how early childhood education programs in the State will not be disproportionately harmed by such State reductions.
(h)Funds received under this section shall be used to supplement and not supplant other Federal, State, and local public funds expended on prekindergarten programs in the State on the date of enactment of this Act.
(i)Nondiscrimination provisionsThe following provisions of law shall apply to any program or activity that receives funds provided under this section:
(1)Title IX of the Education Amendments of 1972.
(2)Title VI of the Civil Rights Act of 1964.
(3)Section 504 of the Rehabilitation Act of 1973.
(4)The Americans with Disabilities Act of 1990.
(5)Section 654 of the Head Start Act.
(j)Monitoring and enforcement
(1)Review of compliance with requirements and state planThe Secretary shall review and monitor compliance of States, territories, Tribal entities, and local entities with this section and State compliance with the State plan described in subsection (c)(5).
(2)The Secretary shall establish by rule procedures for—
(A)receiving, processing, and determining the validity of complaints or findings concerning any failure of a State to comply with the State plan or any other requirement of this section;
(B)notifying a State when the Secretary has determined there has been a failure by the State to comply with a requirement of this section; and
(C)imposing sanctions under this subsection for such a failure.
EChild Nutrition and Related Programs
24001.Expanding community eligibility
(a)Multiplier and threshold adjusted
(1)Clause (vii) of section 11(a)(1)(F) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1759a(a)(1)(F)) is amended to read as follows:
(vii)
(I)Implementation in 2022–2026For each school year beginning on or after July 1, 2022, and ending before July 1, 2026, the Secretary shall use a multiplier of 2.5.
(II)Implementation after 2026For each school year beginning on or after July 1, 2026, the Secretary shall use a multiplier of 1.6..
(2)Clause (viii) of section 11(a)(1)(F) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1759a(a)(1)(F)) is amended to read as follows:
(viii)
(I)Implementation in 2022–2026For each school year beginning on or after July 1, 2022, and ending before July 1, 2026, the threshold shall be not more than 25 percent.
(II)Implementation after 2026For each school year beginning on or after July 1, 2026, the threshold shall be not more than 40 percent..
(b)Statewide community eligibilitySection 11(a)(1)(F) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1759a(a)(1)(F)) is amended by adding at the end the following:
(xiv)Statewide community eligibilityFor each school year beginning on or after July 1, 2022, and ending before July 1, 2026, the Secretary shall establish a statewide community eligibility program under which, in the case of a State agency that agrees to provide funding from sources other than Federal funds to ensure that local educational agencies in the State receive the free reimbursement rate for 100 percent of the meals served at applicable schools—
(I)the multiplier described in clause (vii) shall apply;
(II)notwithstanding clause (viii), the threshold shall be zero; and
(III)the percentage of enrolled students who were identified students shall be calculated across all applicable schools in the State regardless of local educational agency..
24002.Summer electronic benefits transfer for children programThe Richard B. Russell National School Lunch Act is amended by inserting after section 13 (42 U.S.C. 1761) the following:
13A.Summer electronic benefits transfer for children program
(a)The Secretary shall establish a program under which States and covered Indian Tribal organizations participating in such program shall, for summer 2023 and summer 2024 issue to eligible households summer EBT benefits—
(1)in accordance with this section; and
(2)for the purpose of providing nutrition assistance through electronic benefits transfer during the summer months for eligible children, to ensure continued access to food when school is not in session for the summer.
(b)Summer EBT benefits requirements
(1)
(A)Benefits issued by States
(i)In the case of a State that participated in a demonstration program under section 749(g) of the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2010 (Public Law 111–80; 123 Stat. 2132) during calendar year 2018 using a WIC model, summer EBT benefits issued pursuant to subsection (a) by such a State may only be used by the eligible household that receives such summer EBT benefits to purchase—
(I)supplemental foods from retailers that have been approved for participation in—
- (aa)the special supplemental nutrition program for women, infants, and children under section 17 of the Child Nutrition Act of 1966 (42 U.S.C. 1786); or
- (bb)the program under this section; or
(II)food (as defined in section 3(k) of the Food and Nutrition Act of 2008 (7 U.S.C. 2012(k))) from retail food stores that have been approved for participation in the supplemental nutrition assistance program established under such Act, in accordance with section 9 of such Act (7 U.S.C. 2018).
(ii)Summer EBT benefits issued pursuant to subsection (a) by a State not described in clause (i) may only be used by the eligible household that receives such summer EBT benefits to purchase food (as defined in section 3(k) of the Food and Nutrition Act of 2008 (7 U.S.C. 2012(k))) from retail food stores that have been approved for participation in the supplemental nutrition assistance program established under such Act, in accordance with section 9(b) of such Act (7 U.S.C. 2018) or retail food stores that have been approved for participation in a Department of Agriculture grant funded nutrition assistance program in the Commonwealth of the Northern Mariana Islands, Puerto Rico, or American Samoa.
(B)Benefits issued by covered Indian Tribal organizationsSummer EBT benefits issued pursuant to subsection (a) by a covered Indian Tribal organization may only be used by the eligible household that receives such summer EBT benefits to purchase supplemental foods from retailers that have been approved for participation in—
(i)the special supplemental nutrition program for women, infants, and children under section 17 of the Child Nutrition Act of 1966 (42 U.S.C. 1786); or
(ii)the program under this section.
(2)Summer EBT benefits issued pursuant to subsection (a)—
(A)shall be—
(i)for calendar year 2023, in an amount equal to $65 for each child in the eligible household per month during the summer; and
(ii)for calendar year 2024, in an amount equal to the amount described in clause (i), adjusted to the nearest lower dollar increment to reflect changes to the cost of the thrifty food plan (as defined in section 3(u) of the Food and Nutrition Act of 2008 (7 U.S.C. 2012(u)) for the 12-month period ending on November 30 of the preceding calendar year; and
(B)may be issued—
(i) in the form of an EBT card; or
(ii)through electronic delivery.
(c)
(1)States participating in the program under this section shall—
(A)with respect to a summer, automatically enroll eligible children in the program under this section without further application; and
(B)require local educational agencies to allow eligible households to opt out of participation in the program under this section and establish procedures for opting out of such participation.
(2)Covered Indian Tribal organization requirementsCovered Indian Tribal organizations participating in the program under this section shall, to the maximum extent practicable, meet the requirements under subparagraphs (A) through (C) of paragraph (1).
(d)On and after January 1, 2022, the Secretary shall carry out a program to make grants to States and covered Indian Tribal organizations to build capacity for implementing the program under this section.
(e)Alternate plans in the case of continuous school calendarThe Secretary shall establish an alternative method for determining the schedule and number of days during which summer EBT benefits may be issued pursuant to subsection (a) in the case of children who are under a continuous school calendar.
(f)
(1)In addition to amounts otherwise available, there is appropriated for each of fiscal years 2022 through 2024, out of any money in the Treasury not otherwise appropriated, such sums, to remain available for the 2-year period following the date such amounts are made available, as may be necessary to carry out this section, including for administrative expenses incurred by the Secretary, States, covered Indian Tribal organizations, and local educational agencies.
(2)Implementation grant fundingIn addition to amounts otherwise available, including under paragraph (1), there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, to carry out subsection (d).
(g)The authority under this section shall terminate on September 30, 2024.
(h)In this section:
(1)Covered Indian Tribal organizationThe term covered Indian Tribal organization means an Indian Tribal organization that participates in the special supplemental nutrition program for women, infants, and children under section 17 of the Child Nutrition Act of 1966 (42 U.S.C. 1786).
(2)The term eligible child means, with respect to a summer, a child who was, during the school year immediately preceding such summer—
(A)certified to receive free or reduced price lunch under the school lunch program under this Act;
(B)certified to receive free or reduced price breakfast under the school breakfast program under section 4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773); or
(C)enrolled in a school described in subparagraph (B), (C), (D), (E), or (F) of section 11(a)(1).
(3)The term eligible household means a household that includes at least 1 eligible child. .
24003.Healthy food incentives demonstration
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $250,000,000, to remain available until expended, to provide—
(1)technical assistance and evaluation with respect to the activities described in subparagraphs (A) through (D) of paragraph (2); and
(2)grants and monetary incentives to carry out 1 or more of the following:
(A)Improving the nutritional quality of meals and snacks served under a child nutrition program.
(B)Enhancing the nutrition and wellness environment of institutions participating in a child nutrition program, including by reducing the availability of less healthy foods during the school day.
(C)Increasing the procurement of fresh, local, regional, and culturally appropriate foods and foods produced by underserved or limited resource farmers, as defined by the Secretary of Agriculture, to be served as part of a child nutrition program.
(D)Funding a statewide nutrition education coordinator—
(i)to support individual school food authority nutrition education efforts; and
(ii)to facilitate collaboration with other nutrition education efforts in the State.
(b)In this section, the term State has the meaning given the term in section 12(d) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1760(d)).
24004.School kitchen equipment grantsIn addition to amounts otherwise available, there is appropriated to the Secretary of Agriculture for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $30,000,000, to remain available until expended through fiscal year 2030, for training and technical assistance to support scratch cooking and to award grants to States (as defined in section 12(d) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1760(d))) to make competitive subgrants to local educational agencies and schools to purchase equipment with a value of greater than $1,000 that, with respect to the school lunch program established under the Richard B. Russell National School Lunch Act (42 U.S.C. 1751–1769j) and the school breakfast program established under section 4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773), is necessary to serve healthier meals, improve food safety, and increase scratch cooking.
FHuman Services and Community Supports
25001.In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until expended, to carry out the Assistive Technology Act of 1998 (29 U.S.C. 3003(a)).
25002. Family violence prevention and services fundingIn addition to amounts otherwise available, there is appropriated to the Secretary of Health and Human Services, for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $30,000,000, to remain available until expended, for necessary administrative expenses to carry out subsections (c) and (d) of section 2204 of the American Rescue Plan Act of 2021 (Public Law 117–2).
25003.Pregnancy assistance fundSection 10214 of the Patient Protection and Affordable Care Act (42 U.S.C. 18204) is amended by striking the period and inserting , and $25,000,000 for each of fiscal years 2022 through 2024, to remain available until expended, to carry out this part.
.
25004.Funding for the aging network and infrastructure
(a)In addition to amounts otherwise available, there are appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Department of Health and Human Services—
(1)$75,000,000 for the Research, Demonstration, and Evaluation Center for the Aging Network to carry out the activities of the Center under section 201(g) of the Older Americans Act of 1965 (OAA) (42 U.S.C. 3011(g));
(2)$655,000,000 to carry out part B of title III of the OAA (42 U.S.C. 3030d), including for—
(A)supportive services of the type made available for fiscal year 2021 and authorized under such part;
(B)investing in the aging services network for the purposes of improving the availability of supportive services, including investing in the aging services network workforce;
(C)the acquisition, alteration, or renovation of facilities, including multipurpose senior centers and mobile units; and
(D)construction or modernization of facilities to serve as multipurpose senior centers;
(3)$140,000,000 to carry out part C of title III of the OAA (42 U.S.C. 3030d–21–3030g–23), including to support the modernization of infrastructure and technology, including kitchen equipment and delivery vehicles, to support the provision of congregate nutrition services and home delivered nutrition services under such part;
(4)$150,000,000 to carry out part E of title III of the OAA (42 U.S.C. 3030s–3030s-2), including section 373(e) of such part (42 U.S.C. 3030s– 1(e));
(5)$50,000,000 to carry out title VI of the OAA (42 U.S.C. 3057–3057o), including part C of such title (42 U.S.C. 3057k-11);
(6)$50,000,000 to carry out the long-term care ombudsman program under title VII of the OAA (42 U.S.C. 3058–3058ff);
(7)$59,000,000 for technical assistance centers or national resource centers supported under the OAA, including all such centers that received funding under title IV of the OAA (42 U.S.C. 3031– 3033a) for fiscal year 2021, in order to support technical assistance and resource development related to culturally appropriate care management and services for older individuals with the greatest social need, including racial and ethnic minority individuals;
(8)$15,000,000 for technical assistance centers or national resource centers supported under the OAA that are focused on providing services for older individuals who are underserved due to their sexual orientation or gender identity;
(9)$1,000,000 for efforts of national training and technical assistance centers supported under the OAA to—
(A)support expanding the reach of the aging services network to more effectively assist older individuals in remaining socially engaged and active;
(B)provide additional support in technical assistance and training to the aging services network to address the social isolation of older individuals;
(C)promote best practices and identify innovation in the field; and
(D)continue to support a repository for innovations designed to increase the ability of the aging services network to tailor social engagement activities to meet the needs of older individuals; and
(10)$5,000,000 to carry out section 417 of the OAA (42 U.S.C. 3032f).Amounts appropriated by this subsection shall remain available until expended.
(b)Nonapplicability of certain requirementsThe non-Federal contribution requirements under sections 304(d)(1)(D) and 431(a) of the Older Americans Act of 1965 (42 U.S.C. 3024(d)(1)(D), 3033(a)), and section 373(h)(2) of such Act (42 U.S.C. 3030s–1(h)(2)), shall not apply to—
(1)any amounts made available under this section; or
(2)any amounts made available under section 2921 of the American Rescue Plan Act of 2021 (Public Law 117–2).
25005.Technical assistance center for supporting direct care and caregiving
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Health and Human Services, acting through the Administrator for the Administration for Community Living, for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2031, to establish, directly or through grants, contracts, or cooperative agreements, a national technical assistance center (referred to in this section as the Center
) to—
(1)provide technical assistance for supporting direct care workforce recruitment, education and training, retention, career advancement, and for supporting family caregivers and caregiving activities;
(2)develop and disseminate a set of replicable models or evidence-based or evidence-informed strategies or best practices for—
(A)recruitment, education and training, retention, and career advancement of direct support workers;
(B)reducing barriers to accessing direct care services; and
(C)increasing access to alternatives to direct care services, including assistive technology, that reduce reliance on such services;
(3)provide recommendations for education and training curricula for direct support workers; and
(4)provide recommendations for activities to further support paid and unpaid family caregivers, including expanding respite care.
(b)Direct support worker definedThe term direct support worker has the meaning given such term in section 22301.
25006.Funding to support unpaid caregivers
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Health and Human Services (referred to in this section as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $40,000,000, to remain available until expended, for carrying out the purpose described in subsection (b).
(b)The Secretary, acting through the Assistant Secretary for Aging, shall use amounts appropriated by subsection (a) to make awards, pursuant to section 373(i) of the Older Americans Act of 1965 (42 U.S.C. 3030s–1(i)), to States, public agencies, private nonprofit agencies, institutions of higher education, and organizations, including Tribal organizations, for initiatives to address the behavioral health needs of unpaid caregivers of older individuals and older relative caregivers.
(c)Amounts appropriated by this section shall be used to supplement and not supplant other Federal, State, or local public funds to support unpaid caregivers.
25007.Funding to support individuals with intellectual and developmental disabilities
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Health and Human Services (referred to in this section as the Secretary
), for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until expended, for carrying out the purpose described in subsection (b).
(b)The Secretary, acting through the Administrator of the Administration for Community Living, shall use amounts appropriated by subsection (a) to award grants, contracts, or cooperative agreements to public or private nonprofit entities pursuant to section 162 of the Developmental Disabilities Assistance and Bill of Rights Act of 2000 (42 U.S.C. 15082) for initiatives to address the behavioral health needs of individuals with intellectual and developmental disabilities.
(c)Amounts appropriated by this section shall be used to supplement and not supplant other Federal, State, or local public funds to support individuals with intellectual and developmental disabilities.
25008.Office of the Inspector General of the Department of Health and Human ServicesIn addition to amounts otherwise available, there is appropriated to the Department of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, for the Office of Inspector General of the Department of Health and Human Services, for salaries and expenses necessary for oversight, investigations, and audits of programs, grants, and projects funded under subtitles D and F of this title.
GNational Service and Workforce Development in Support of Climate Resilience and Mitigation
26001.Corporation for national and community service and the National Service Trust
(a)AmeriCorps State and national
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $3,200,000,000, to remain available until September 30, 2026, which shall be used to make funding adjustments to existing (as of the date of enactment of this Act) awards and make new awards to entities to support national service programs described in paragraphs (1)(B), (2)(B), (3)(B), (4)(B), and (5)(B) of subsection (a), and subsection (b)(2), of section 122 of the National and Community Service Act of 1990 (whether or not such entities are already recipients of a grant or other agreement on the date of enactment of this Act) to increase living allowances and improve benefits of participants in such programs.
(2)For the purposes of carrying out paragraph (1)—
(A)the Corporation shall waive the requirements described in section 121(e)(1) of the National and Community Service Act of 1990, in whole or in part, if a recipient of a grant or other agreement for such a national service program demonstrates—
(i)the recipient will serve underserved or low-income communities, and a significant percentage of participants in such program are low-income individuals; and
(ii)without such waiver, the recipient cannot meet the requirements of this section;
(B)section 189(a) of such Act shall be applied by substituting 125 percent of the amount of the minimum living allowance of a full-time participant per full-time equivalent position
for $18,000 per full-time equivalent position
; and
(C)section 140(a)(1) of such Act shall be applied by substituting 200 percent of the poverty line
for the average annual subsistence allowance provided to VISTA volunteers under section 105 of the Domestic Volunteer Service Act of 1973 (42 U.S.C. 4955)
.
(b)
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $400,000,000, to remain available until September 30, 2026, which shall be used to make funding adjustments to existing (as of the date of enactment of this Act) awards and make new awards to States to establish or operate State Commissions on National and Community Service.
(2)For the purposes of carrying out paragraph (1), the Corporation shall waive the matching requirement described in section 126(a)(2) of the National and Community Service Act of 1990, in whole or in part, for a State Commission, if such State Commission demonstrates need for such waiver.
(c)National civilian community corpsIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $80,000,000, to remain available until September 30, 2029, which shall be used to increase the living allowance and benefits of participants in the National Civilian Community Corps authorized under section 152 of the National and Community Service Act of 1990.
(d)
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $600,000,000 to remain available until September 30, 2029, which shall be used to increase the subsistence allowances and improve benefits of participants in the Volunteers in Service to America program authorized under section 102 of the Domestic Volunteer Service Act of 1973.
(2)For purposes of carrying out paragraph (1)—
(A)section 105(b)(2)(A) of the Domestic Volunteer Service Act of 1973 shall be applied by substituting 200 percent
for 95 percent
; and
(B)section 105(b)(2)(B) of the Domestic Volunteer Service Act of 1973 shall be applied by substituting 210 percent
for 105 percent
.
(e)National service in support of climate resilience and mitigation
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $6,915,000,000, which shall be used for the purposes specified in paragraph (3).
(2)Amounts appropriated under paragraph (1) shall—
(A)be available until September 30, 2026, for national service programs described in paragraphs (1)(B), (2)(B), (3)(B), (4)(B), and (5)(B) of subsection (a), and subsection (b)(2), of section 122 of the National and Community Service Act of 1990; and
(B)be available until September 30, 2029, for National Civilian Community Corps programs authorized under section 152 of the National and Community Service Act of 1990 and Volunteers in Service to America programs authorized under section 102 of the Domestic Volunteer Service Act of 1973.
(3)
(A)The Corporation shall use amounts appropriated under paragraph (1) to fund programs described in subparagraph (B) to carry out projects or activities described in section 122(a)(3)(B) of the National and Community Service Act of 1990.
(B)The programs described in subparagraph (A) shall include—
(i)national service programs described in paragraphs (1)(B), (2)(B), (3)(B), (4)(B), and (5)(B) of subsection (a), and subsection (b)(2), of section 122 of the National and Community Service Act of 1990;
(ii)National Civilian Community Corps programs authorized under section 152 of the National and Community Service Act of 1990; and
(iii)Volunteers in Service to America programs authorized under section 102 of the Domestic Volunteer Service Act of 1973.
(C)In funding programs described in subparagraph (A), the Corporation shall ensure—
(i)awards are made to entities that serve, and have representation from, low-income communities or communities experiencing (or at risk of experiencing) adverse health and environmental conditions;
(ii)such programs utilize culturally competent and multilingual strategies;
(iii)projects carried out through such programs are planned with community input, and implemented by diverse participants who are from communities being served by such programs; and
(iv)such programs provide participants with workforce development opportunities, such as pre-apprenticeships that articulate to registered apprenticeship programs, and pathways to post-service employment in high-quality jobs, including registered apprenticeships.
(4)For the purposes of carrying out paragraph (1)—
(A)in implementing national service programs described in paragraph (3)(B)(i) and funded by the appropriations specified in paragraph (1)—
(i)the Corporation shall waive the requirements described in section 121(e)(1) of the National and Community Service Act of 1990, in whole or in part, if a recipient of a grant or other agreement for the national service program involved demonstrates—
(I)the recipient will serve underserved or low-income communities, and a significant percentage of participants in such program are low-income individuals; and
(II)without such waiver, the recipient cannot meet the requirements of this section;
(ii)section 189(a) of the National and Community Service Act of 1990 shall be applied by substituting 125 percent of the amount of the minimum living allowance of a full-time participant per full-time equivalent position
for $18,000 per full-time equivalent position
;
(iii)section 140(a)(1) of the National and Community Service Act of 1990 shall be applied by substituting 200 percent of the poverty line
for the average annual subsistence allowance provided to VISTA volunteers under section 105 of the Domestic Volunteer Service Act of 1973 (42 U.S.C. 4955)
; and
(iv)the Corporation shall waive the matching requirement described in section 126(a)(2) of the National and Community Service Act of 1990, in whole or in part, for a State Commission, if such State Commission demonstrates need for such waiver; and
(B)in implementing national service programs described in paragraph (3)(B)(iii) and funded by the appropriations specified in paragraph (1)—
(i)section 105(b)(2)(A) of the Domestic Volunteer Service Act of 1973 shall be applied by substituting 200 percent
for 95 percent
; and
(ii)section 105(b)(2)(B) of the Domestic Volunteer Service Act of 1973 shall be applied by substituting 210 percent
for 105 percent
.
(f)
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $1,010,400,000, to remain available until September 30, 2029, which shall be used for Federal administrative expenses to carry out programs and activities funded under this section, including—
(A)corrective actions to address recommendations arising from audits of the financial statements of the Corporation and the National Service Trust, and, in consultation with the Inspector General of the Corporation, the development of fraud prevention and detection controls and risk-based anti-fraud monitoring for grants and other financial assistance funded under this section; and
(B)coordination of efforts and activities with the Departments of Labor and Education to support the national service programs funded under subsections (a), (c), (d), and (e) in improving the readiness of participants to transition to high-quality jobs or further education.
(2)Fiscal year 2030 program administrationIn addition to amounts otherwise available, there is appropriated for fiscal year 2030, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $79,800,000, to remain available until September 30, 2030, which shall be used, in fiscal year 2030, for Federal administrative expenses to carry out programs and activities funded under this section.
(3)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation, $300,000, to remain available until September 30, 2023, which shall be used by the Chief Executive Officer of the Corporation to—
(A)develop, publish, and implement, not later than 180 days after the date of enactment of this Act, a project, operations, and management plan for funds appropriated under this section; and
(B)consult with the Secretary of Labor and the Inspector General of the Corporation in developing the plan under subparagraph (A).
(4)In addition to amounts otherwise made available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $49,500,000, to remain available until September 30, 2030, for outreach to and recruitment of members from communities traditionally underrepresented in national service programs and members of a community experiencing a significant dislocation of workers, including energy transition communities.
(g)Office of Inspector GeneralIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Corporation for National and Community Service, $75,000,000, to remain available until September 30, 2030, which shall be used for the Office of Inspector General of the Corporation for salaries and expenses necessary for oversight and audit of programs and activities funded under this section.
(h)
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the National Service Trust, $1,150,000,000, to remain available until September 30, 2030, for—
(A)administration of the National Service Trust; and
(B)payment to the Trust for the provision of national service educational awards and interest expenses—
(i)for participants, for a term of service supported by funds made available under subsection (e); and
(ii)pursuant to section 145(a)(1)(A) of the National and Community Service Act of 1990.
(2)Supplemental educational awards
(A)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the National Service Trust, $1,660,000,000, to remain available until September 30, 2030, for payment to the National Service Trust for the purpose of providing a supplemental national service educational award to an individual eligible to receive a national service educational award pursuant to section 146(a), and the individual's transferee pursuant to section 148(f), of the National and Community Service Act of 1990, for a term of service that began after the date of enactment of this Act in a national service program (including a term of service supported by funds made available under subsection (e)).
(B)The supplemental educational award referred to in subparagraph (A) shall be available to an individual or their transferee described in subparagraph (A) in accordance with the paragraph (3).
(C)The amount of the supplemental educational award that shall be available to an individual or their transferee described in subparagraph (A) shall be calculated as follows:
(i)Amount for full-time national serviceFor an individual who completes a required term of full-time national service, or the individual’s transferee—
(I)in a case in which the award year for which the national service position is approved by the Corporation is award year 2022-2023, 50 percent of the maximum amount of a Federal Pell Grant under section 401 of the Higher Education Act of 1965 that a student eligible for such Grant may receive in the aggregate for such award year; and
(II)in a case in which the award year for which the national service position is approved by the Corporation is award year 2023-2024 or a subsequent award year, 50 percent of the total maximum Federal Pell Grant under section 401 of the Higher Education Act of 1965 that a student eligible for such Grant may receive in the aggregate for such award year.
(ii)Amount for part-time national serviceFor an individual who completes a required term of part-time national service, or the individual's transferee, 50 percent of the amount determined under clause (i).
(iii)Amount for partial completion of national serviceFor an individual released from completing the full-time or part-time term of service agreed to by the individuals, or the individual's transferee, the portion of the amount determined under clause (i) that corresponds to the portion of the term of service completed by the individual.
(3)Period of availability for national service educational awards
(A)Notwithstanding section 146(d) of the National and Community Service Act of 1990, relating to a period of time for use of a national service educational award, or any extensions to such time period granted under section 146(d)(2) of such Act, an individual eligible to receive a national service educational award for a term of service supported by funds made available under subsection (e), or the individual's transferee, and an individual eligible to receive a supplemental educational award described in paragraph (2) for a term of service, or the individual's transferee, shall not use, after September 30, 2030, the national service educational award or supplemental educational award for the term of service involved, and the national service educational award and supplemental educational award shall be available for the lengths of time described in subparagraph (B).
(B)The lengths of time described in this subparagraph are as follows:
(i)For an individual who completes the term of service involved by September 30, 2023 or the individual's transferee, until the end of the 7-year period beginning on that date.
(ii)For an individual who completes such term of service by September 30, 2024 or the individual's transferee, until the end of the 6-year period beginning on that date.
(iii)For an individual who completes such term of service by September 30, 2025 or the individual's transferee, until the end of the 5-year period beginning on that date.
(iv)For an individual who completes such term of service by September 30, 2026 or the individual's transferee, until the end of the 4-year period beginning on that date.
(v)For an individual who completes such term of service by September 30, 2027 or the individual's transferee, until the end of the 3-year period beginning on that date.
(vi)For an individual who completes such term of service by September 30, 2028 or the individual's transferee, until the end of the 2-year period beginning on that date.
(vii)For an individual who completes such term of service by September 30, 2029 or the individual's transferee, until the end of the 1-year period beginning on that date.
(i)The funds made available under this section are subject to the condition that the Corporation shall not—
(1)use such funds to make any transfer to the National Service Trust for any use, or enter into any agreement involving such funds—
(A)that is for a term extending beyond September 30, 2031; or
(B)for which or under which any payment could be outlaid after September 30, 2031; and
(2)use any other funds available to the Corporation to liquidate obligations made under this section.
(j)For purposes of this section, the term registered apprenticeship program means an apprenticeship program registered with the Office of Apprenticeship of the Employment and Training Administration of the Department of Labor, or a State apprenticeship agency recognized by the Office of Apprenticeship, pursuant to the Act of August 16, 1937 (commonly known as the National Apprenticeship Act
; 50 Stat. 664, chapter 663).
26002.Workforce development in support of climate resilience and mitigation
(a)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $450,000,000, to remain available until September 30, 2026, to support activities aligned with high-quality employment opportunities in industry sectors or occupations related to climate resilience or mitigation and aligned with the activities described in subsection (e)(3) of section 26001 by—
(1)carrying out activities described in section 171(c)(2) of the Workforce Innovation and Opportunity Act; and
(2)improving and expanding access to services, stipends, wages, and benefits described in subparagraphs (A)(vii) and (F) of section 171(c)(2) of such Act.
(b)
(1)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $450,000,000, to remain available until September 30, 2026, to support activities aligned with high-quality employment opportunities in industry sectors or occupations related to climate resilience or mitigation and aligned with the activities described in subsection (e)(3) of section 26001 by—
(A)providing funds to operators and service providers to—
(i)carry out the activities and services described in sections 148 and 149 of the Workforce Innovation and Opportunity Act; and
(ii)improve and expand access to allowances and services described in section 150 of such Act; and
(B)notwithstanding section 158(c) of such Act, constructing, rehabilitating, and acquiring Job Corps centers to support activities described in subparagraphs (A) and (B).
(2)For the purposes of carrying out paragraph (1), an entity in a State or outlying area may be eligible to be selected as an operator or service provider.
(c)Pre-apprenticeship, and Registered Apprenticeship Programs
(1)Pre-apprenticeship programsIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2026, to carry out activities through grants, cooperative agreements, contracts, or other arrangements, to create or expand pre-apprenticeship programs that articulate to registered apprenticeship programs, are aligned with high-quality employment opportunities in industry sectors or occupations related to climate resilience or mitigation, and are aligned with the activities described in subsection (e)(3) of section 26001.
(2)Pre-apprenticeship partnershipsIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $150,000,000, to remain available until September 30, 2026, to support partnerships between entities carrying out pre-apprenticeship programs that articulate to registered apprenticeship programs and entities funded under subsection (e) of section 26001 to ensure past and current participants in programs funded under subsection (e)(1) of section 26001 have access to such pre-apprenticeship programs.
(3)Registered apprenticeship programsIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $450,000,000, to remain available until September 30, 2026, to carry out activities through grants, cooperative agreements, contracts, or other arrangements, to create or expand registered apprenticeship programs in climate-related nontraditional apprenticeship occupations.
(4)Participants with Barriers to Employment and nontraditional apprenticeship populationsIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $350,000,000, to remain available until September 30, 2026, for entities to carry out pre-apprenticeship programs described in paragraph (1), and registered apprenticeship program described in paragraph (3), serving a high number or high percentage of individuals with barriers to employment, including individuals with disabilities, or nontraditional apprenticeship populations.
(d)Reentry employment opportunities programIn addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2026, for the Reentry Employment Opportunities program, which amount shall be used to support activities aligned with high-quality employment opportunities in industry sectors or occupations related to climate resilience or mitigation and aligned with the activities described in subsection (e)(3) of section 26001.
(e)Paid youth employment opportunitiesIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Department of Labor, $350,000,000, to remain available until September 30, 2026, to carry out activities through grants, contracts, or cooperative agreements, for the purposes of providing in-school youth and out-of-school youth with paid work experiences authorized under section 129(c)(2)(C) of the Workforce Innovation and Opportunity Act, notwithstanding section 194(10) of such Act, that are—
(1)carried out by public agencies or private nonprofit entities, including community-based organizations;
(2)provided in conjunction with supportive services and other elements described in section 129(c)(2) of such Act;
(3)aligned with the activities described in subsection (e)(3) of section 26001; and
(4)designed to prepare participants for—
(A)high-quality, unsubsidized employment opportunities in industry sectors or occupations related to climate resilience or mitigation;
(B)enrollment in an institution of higher education (as defined in section 101 or 102(c) of the Higher Education Act of 1965); and
(C)registered apprenticeship programs.
(f)Department of Labor Inspector GeneralIn addition to amounts otherwise available, there is appropriated to the Office of Inspector General of the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until expended, for salaries and expenses necessary for oversight, investigations, and audits of programs, grants, and projects of the Department of Labor funded under this section.
(g)
(1)In addition to amounts otherwise available, there is appropriated to the Department of Labor for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $69,800,000, to remain available until September 30, 2029, for program administration within the Department of Labor for salaries and expenses necessary to implement this section.
(2)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to the Department of Labor, $200,000, to remain available until September 30, 2023, which shall be used by the Secretary to—
(A)develop, publish, and implement, not later than 180 days after the date of enactment of this Act, a project, operations, and management plan for funds appropriated under this section; and
(B)consult with the Chief Executive Officer of the Corporation for National and Community Service in developing the plan under subparagraph (A).
(h)For purposes of this section:
(1)Climate-related nontraditional apprenticeship occupationThe term climate-related nontraditional apprenticeship occupation means an apprenticeable occupation—
(A)that aligns with the activities described in subsection (e)(3) of section 26001;
(B)in an industry sector that trains less than 10 percent of all civilian registered apprentices as of the date of the enactment of this Act; and
(C)that is related to climate resilience or mitigation.
(2)Registered apprenticeship program The term registered apprenticeship program means an apprenticeship program registered with the Office of Apprenticeship of the Employment and Training Administration of the Department of Labor, or a State apprenticeship agency recognized by the Office of Apprenticeship, pursuant to the Act of August 16, 1937 (commonly known as the National Apprenticeship Act
; 50 Stat. 664, chapter 663).
(3)The terms community-based organization, individual with a barrier to employment, in-school youth, outlying area, and out-of-school youth have the meanings given such terms in paragraphs (10), (24), (27), (45), and (46), respectively, of section 3 of the Workforce Innovation and Opportunity Act.
IIICommittee on Energy and Commerce
A
30101.Clean heavy-duty vehiclesThe Clean Air Act is amended by inserting after section 131 of such Act (42 U.S.C. 7431) the following:
132.Clean heavy-duty vehicles
(a)
(1)In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,000,000,000, to remain available until September 30, 2031, to carry out this section.
(2)In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,000,000,000, to remain available until September 30, 2031, to make awards under this section to eligible recipients and to eligible contractors that propose to replace eligible vehicles to serve 1 or more communities located in an air quality area designated pursuant to section 107 as nonattainment for any air pollutant.
(3)Of the funds appropriated by paragraph (1), the Administrator shall reserve 3 percent for administrative costs necessary to carry out this section.
(b)Beginning not later than 180 days after the date of enactment of this section, the Administrator shall implement a program to make awards of grants and rebates to eligible recipients, and to make awards of contracts to eligible contractors for providing rebates, for up to 100 percent of costs for—
(1)replacing eligible vehicles with zero-emission vehicles;
(2)purchasing, installing, operating, and maintaining infrastructure needed to charge, fuel, or maintain zero-emission vehicles;
(3)workforce development and training to support the maintenance, charging, fueling, and operation of zero-emission vehicles; and
(4)planning and technical activities to support the adoption and deployment of zero-emission vehicles.
(c)To seek an award under this section, an eligible recipient or eligible contractor shall submit to the Administrator an application at such time, in such manner, and containing such information as the Administrator shall prescribe.
(d)For purposes of this section:
(1)The term eligible contractor means a contractor that is a for-profit or nonprofit entity that has the capacity—
(A)to sell zero-emission vehicles, or charging or other equipment needed to charge, fuel, or maintain zero-emission vehicles, to individuals or entities that own an eligible vehicle; or
(B)to arrange financing for such a sale.
(2)The term eligible recipient means—
(A)a State;
(B)a municipality;
(C)an Indian tribe;
(D)a nonprofit school transportation association; or
(E)an eligible contractor.
(3)The term eligible vehicle means a Class 6 or Class 7 heavy-duty vehicle as defined in section 1037.801 of title 40, Code of Federal Regulations (as in effect on the date of enactment of this section).
(4)The term zero-emission vehicle means a vehicle that has a drivetrain that produces, under any possible operational mode or condition, zero exhaust emissions of—
(A)any air pollutant that is listed pursuant to section 108(a) (or any precursor to such an air pollutant); and
(B)any greenhouse gas..
30102.Grants to reduce air pollution at portsThe Clean Air Act is amended by inserting after section 132 of such Act, as added by section 30101 of this Act, the following:
133.Grants to reduce air pollution at ports
(a)
(1)In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,625,000,000, to remain available until September 30, 2031, to award rebates and grants to eligible recipients on a competitive basis—
(A)to purchase or install zero-emission port equipment or technology for use at, or to directly serve, one or more ports;
(B)to conduct any relevant planning or permitting in connection with the purchase or installation of such zero-emission port equipment or technology; and
(C)to develop qualified climate action plans.
(2)In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $875,000,000, to remain available until September 30, 2031, to award rebates and grants to eligible recipients to carry out activities described in paragraph (1) with respect to ports located in air quality areas designated pursuant to section 107 as nonattainment for an air pollutant.
(b)Funds awarded under this section shall not be used by any recipient or subrecipient to purchase or install zero-emission port equipment or technology that will not be located at, or directly serve, the one or more ports involved.
(c)Of the funds made available by this section, the Administrator shall reserve 2 percent for administrative costs necessary to carry out this section.
(d)In this section:
(1)The term eligible recipient means—
(A)a port authority;
(B)a State, regional, local, or Tribal agency that has jurisdiction over a port authority or a port;
(C)an air pollution control agency; or
(D)a private entity (including a nonprofit organization) that—
(i)applies for a grant under this section in partnership with an entity described in any of subparagraphs (A) through (C); and
(ii)owns, operates, or uses the facilities, cargo-handling equipment, transportation equipment, or related technology of a port.
(2)Qualified climate action planThe term qualified climate action plan means a detailed and strategic plan that—
(A)establishes goals, implementation strategies, and accounting and inventory practices (including practices used to measure progress toward stated goals) to reduce emissions at one or more ports of—
(i)greenhouse gases;
(ii)an air pollutant that is listed pursuant to section 108(a) (or any precursor to such an air pollutant); and
(iii)hazardous air pollutants;
(B)includes a strategy to collaborate with, communicate with, and address potential effects on stakeholders that may be affected by implementation of the plan, including low-income and disadvantaged near-port communities; and
(C)describes how an eligible recipient has implemented or will implement measures to increase the resilience of the one or more ports involved, including measures related to withstanding and recovering from extreme weather events.
(3)Zero-emission port equipment or technologyThe term zero-emission port equipment or technology
means human-operated equipment or human-maintained technology that—
(A)produces zero emissions of any air pollutant that is listed pursuant to section 108(a) (or any precursor to such an air pollutant) and any greenhouse gas other than water vapor; or
(B)captures 100 percent of the emissions described in subparagraph (A) that are produced by an ocean-going vessel at berth..
30103.Greenhouse gas reduction fundThe Clean Air Act is amended by inserting after section 133 of such Act, as added by section 30102 of this Act, the following:
134.Greenhouse gas reduction fund
(a)
(1)Zero-emission technologiesIn addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $7,000,000,000, to remain available until September 30, 2024, to make grants, on a competitive basis and beginning not later than 180 calendar days after the date of enactment of this section, to States, municipalities, Tribal governments, and eligible recipients for the purposes of providing grants, loans, or other forms of financial assistance, as well as technical assistance, to enable low-income and disadvantaged communities to deploy zero-emission technologies, including distributed technologies on residential rooftops, and to carry out other greenhouse gas emission reduction activities, as determined appropriate by the Administrator in accordance with this section.
(2)Zero-emission vehicle supply equipmentIn addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,000,000,000, to remain available until September 30, 2024, to make grants, on a competitive basis and beginning not later than 180 calendar days after the date of enactment of this section, to States, municipalities, Tribal governments, and eligible recipients to support the purchase, installation, or operation of publicly available equipment to charge or fuel light-duty zero-emission vehicles, including in low-income and disadvantaged communities, through grants, rebates, or other forms of financial assistance, and to carry out related greenhouse gas emission reduction activities, as determined appropriate by the Administrator in accordance with this section.
(3)In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $11,970,000,000, to remain available until September 30, 2024, to make grants, on a competitive basis and beginning not later than 180 calendar days after the date of enactment of this section, to eligible recipients for the purposes of providing financial assistance and technical assistance in accordance with subsection (b).
(4)Low-income and disadvantaged communitiesIn addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $8,000,000,000, to remain available until September 30, 2024, to make grants, on a competitive basis and beginning not later than 180 calendar days after the date of enactment of this section, to eligible recipients for the purposes of providing financial assistance and technical assistance in low-income and disadvantaged communities in accordance with subsection (b).
(5)In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $30,000,000, to remain available until September 30, 2031, for the administrative costs necessary to carry out activities under this section.
(b)An eligible recipient that receives a grant pursuant to subsection (a) shall use the grant in accordance with the following:
(1)The eligible recipient shall—
(A)use a broad range of finance and investment tools to provide financial assistance to qualified projects at the national, regional, State, and local levels, including, as applicable, through both concessionary and market rate financing;
(B)prioritize investment in qualified projects that would otherwise lack access to financing;
(C)retain, manage, recycle, and monetize all repayments and other revenue received from fees, interest, repaid loans, and all other types of financial assistance provided using grant funds under this section to ensure continued operability; and
(D)meet any requirements set forth by the Administrator to ensure accountability and proper management of funds appropriated by this section.
(2)The eligible recipient shall provide funding and technical assistance to establish new or support existing public, quasi-public, or nonprofit entities that provide financial assistance to qualified projects at the State, local, territorial, or Tribal level or in the District of Columbia, including community- and low-income-focused lenders and capital providers.
(c)In this section:
(1)The term eligible recipient means a nonprofit organization that—
(A)is designed to provide capital, including by leveraging private capital, and other forms of financial assistance for the rapid deployment of low- and zero-emission products, technologies, and services;
(B)does not take deposits other than deposits from repayments and other revenue received from financial assistance provided using grant funds under this section;
(C)is funded by public or charitable contributions; and
(D)invests in or finances projects alone or in conjunction with other investors.
(2)The term qualified project includes any project, activity, or technology that—
(A)reduces or avoids greenhouse gas emissions and other forms of air pollution in partnership with, and by leveraging investment from, the private sector; or
(B)assists communities in the efforts of those communities to reduce or avoid greenhouse gas emissions and other forms of air pollution.
(3)Publicly available equipmentThe term publicly available equipment
means equipment that—
(A)is located at a multi-unit housing structure;
(B)is located at a workplace and is available to employees of such workplace or employees of a nearby workplace; or
(C)is at a location that is publicly accessible for a minimum of 12 hours per day at least 5 days per week and networked or otherwise capable of being monitored remotely.
(4)The term zero-emission technology means any technology that produces zero emissions of—
(A)any air pollutant that is listed pursuant to section 108(a) (or any precursor to such an air pollutant); and
(B)any greenhouse gas.
(5)The term zero-emission vehicle
means a vehicle that has a drivetrain that produces, under any possible operational mode or condition, zero exhaust emissions of—
(A)any air pollutant that is listed pursuant to section 108(a) (or any precursor to such an air pollutant); and
(B)any greenhouse gas..
30104.Collaborative community wildfire air grants
(a)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $150,000,000, to remain available until September 30, 2031, for grants authorized under subsections (a) through (c) of section 103 of the Clean Air Act (42 U.S.C. 7403(a)–(c)) to assist eligible entities in developing and implementing collaborative community plans to prepare for smoke from wildfires, reduce risks of smoke exposure due to wildfires, and mitigate the health and environmental effects of smoke from wildfires.
(b)The Administrator of the Environmental Protection Agency may use amounts made available under subsection (a) to provide technical assistance to any eligible entity in—
(1)submitting an application for a grant to be made pursuant to this section; or
(2)carrying out a project using a grant made pursuant to this section.
(c)Of the amounts made available under subsection (a), the Administrator of the Environmental Protection Agency shall reserve 5 percent for administrative costs to carry out this section.
(d)In this section, the term eligible entity means a State, a territory, a unit of local government (including any special district, such as an air quality management district), or an Indian Tribe.
30105.Diesel emissions reductions
(a)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $60,000,000, to remain available until September 30, 2031, for grants, rebates, and loans under section 792 of the Energy Policy Act of 2005 (42 U.S.C. 16132) to identify and reduce diesel emissions resulting from goods movement facilities, and vehicles servicing goods movement facilities, in low-income and disadvantaged communities to address the health impacts of such emissions on such communities.
(b)The Administrator of the Environmental Protection Agency shall reserve 2 percent of the amounts made available under this section for the administrative costs necessary to carry out activities pursuant to this section.
30106.Funding to address air pollution
(a)
(1)Fenceline air monitoring and screening air monitoringIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $117,500,000, to remain available until September 30, 2031, for grants and other activities authorized under subsections (a) through (c) of section 103 and section 105 of the Clean Air Act (42 U.S.C. 7403(a)–(c), 7405) to deploy, integrate, support, and maintain fenceline air monitoring, screening air monitoring, national air toxics trend stations, and other air toxics and community monitoring.
(2)Multipollutant monitoring stationsIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, for grants and other activities authorized under subsections (a) through (c) of section 103 and section 105 of the Clean Air Act (42 U.S.C. 7403(a)–(c), 7405)—
(A)to expand the national ambient air quality monitoring network with new multipollutant monitoring stations; and
(B)to replace, repair, operate, and maintain existing monitors.
(3)Air quality sensors in low-income and disadvantaged communitiesIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,000,000, to remain available until September 30, 2031, for grants and other activities authorized under subsections (a) through (c) of section 103 and section 105 of the Clean Air Act (42 U.S.C. 7403(a)–(c), 7405) to deploy, integrate, and operate air quality sensors in low-income and disadvantaged communities.
(4)Emissions from wood heatersIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available until September 30, 2031, for grants and other activities authorized under subsections (a) through (c) of section 103 and section 105 of the Clean Air Act (42 U.S.C. 7403(a)–(c), 7405) for testing and other agency activities to address emissions from wood heaters.
(5)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2031, for grants and other activities authorized under subsections (a) through (c) of section 103 and section 105 of the Clean Air Act (42 U.S.C. 7403(a)–(c), 7405) for monitoring emissions of methane.
(6)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until September 30, 2031, for grants and other activities authorized under subsections (a) through (c) of section 103 and section 105 of the Clean Air Act (42 U.S.C. 7403(a)–(c), 7405).
(7)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $45,000,000, to remain available until September 30, 2031, to carry out, with respect to greenhouse gases, sections 111, 115, 165, 177, 202, 211, 213, 231, and 612 of the Clean Air Act (42 U.S.C. 7411, 7415, 7475, 7507, 7521, 7545, 7547, 7571, and 7671k).
(8)Greenhouse gas and zero-emission standards for mobile sourcesIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2031, to provide grants to States to adopt and implement greenhouse gas and zero-emission standards for mobile sources pursuant to section 177 of the Clean Air Act (42 U.S.C. 7507).
(b)Of the funds made available pursuant to paragraphs (1), (2), (5) and (6) of subsection (a), the Administrator of the Environmental Protection Agency shall reserve 5 percent for activities funded pursuant to such subsection other than grants.
30107.Funding to address air pollution at schools
(a)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $37,500,000, to remain available until September 30, 2031, for grants and other activities to monitor and reduce air pollution and greenhouse gas emissions at schools in low-income and disadvantaged communities under subsections (a) through (c) of section 103 of the Clean Air Act (42 U.S.C. 7403(a)–(c)) and section 105 of that Act (42 U.S.C. 7405).
(b)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $12,500,000, to remain available until September 30, 2031, for providing technical assistance to schools in low-income and disadvantaged communities under subsections (a) through (c) of section 103 of the Clean Air Act (42 U.S.C. 7403(a)–(c)) and section 105 of that Act (42 U.S.C. 7405)—
(1)to address environmental issues;
(2)to develop school environmental quality plans that include standards for school building, design, construction, and renovation; and
(3)to identify and mitigate ongoing air pollution hazards.
30108.Low Emissions Electricity ProgramThe Clean Air Act is amended by inserting after section 134 of such Act, as added by section 30103 of this Act, the following:
135.Low Emissions Electricity Program
(a)In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$17,000,000 for consumer-related education and partnerships with respect to reductions in greenhouse gas emissions that result from domestic electricity generation and use;
(2)$17,000,000 for education, technical assistance, and partnerships within low-income and disadvantaged communities with respect to reductions in greenhouse gas emissions that result from domestic electricity generation and use;
(3)$17,000,000 for industry-related outreach and technical assistance, including through partnerships, with respect to reductions in greenhouse gas emissions that result from domestic electricity generation and use;
(4) $17,000,000 for outreach and technical assistance to State and local governments, including through partnerships, with respect to reductions in greenhouse gas emissions that result from domestic electricity generation and use;
(5) $1,000,000 to assess, not later than 1 year after the date of enactment of this section, the reductions in greenhouse gas emissions that result from changes in domestic electricity generation and use that are anticipated to occur on an annual basis through fiscal year 2031; and
(6)$18,000,000 to carry out this section to ensure that the anticipated reductions in greenhouse gas emissions from domestic electricity generation and use as assessed under paragraph (5) are achieved through use of the authorities of this Act, including through the establishment of requirements under this Act.
(b)Of the amounts made available under subsection (a), the Administrator shall reserve 2 percent for the administrative costs necessary to carry out activities pursuant to that subsection..
30109.Funding for section 211(o) of the Clean Air Act
(a)Test and protocol developmentIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2031, to carry out section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)) with respect to—
(1)the development and establishment of tests and protocols regarding the environmental and public health effects of a fuel or fuel additive;
(2)internal and extramural data collection and analyses to regularly update applicable regulations, guidance, and procedures for determining lifecycle greenhouse gas emissions of a fuel; and
(3)the review, analysis and evaluation of the impacts of all transportation fuels, including fuel lifecycle implications, on the general public and on low-income and disadvantaged communities.
(b)Investments in advanced biofuelsIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until September 30, 2031, for new grants to industry and other related activities under section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)) to support investments in advanced biofuels.
30110.Funding for implementation of the American Innovation and Manufacturing Act
(a)
(1)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2026, to carry out subsections (a) through (i) and subsection (k) of section 103 of division S of Public Law 116–260 (42 U.S.C. 7675).
(2)Implementation and compliance toolsIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,500,000, to remain available until September 30, 2026, to deploy new implementation and compliance tools to carry out subsections (a) through (i) and subsection (k) of section 103 of division S of Public Law 116–260 (42 U.S.C. 7675).
(3)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available until September 30, 2026, for competitive grants for reclaim and innovative destruction technologies under subsections (a) through (i) and subsection (k) of section 103 of division S of Public Law 116–260 (42 U.S.C. 7675).
(b)Of the funds made available pursuant to subsection (a)(3), the Administrator of the Environmental Protection Agency shall reserve 5 percent for administrative costs necessary to carry out activities pursuant to such subsection.
30111.Funding for enforcement technology and public information
(a)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $37,000,000, to remain available until September 30, 2031, to update the Integrated Compliance Information System of the Environmental Protection Agency and any associated systems, necessary information technology infrastructure, or public access software tools to ensure access to compliance data and related information.
(b)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $7,000,000, to remain available until September 30, 2031, for grants to States, Indian tribes, and air pollution control agencies (as such terms are defined in section 302 of the Clean Air Act (42 U.S.C. 7602)) to update their systems to ensure communication with the Integrated Compliance Information System of the Environmental Protection Agency and any associated systems.
(c)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $6,000,000, to remain available until September 30, 2031—
(1)to acquire or update inspection software for use by the Environmental Protection Agency, States, Indian tribes, and air pollution control agencies (as such terms are defined in section 302 of the Clean Air Act (42 U.S.C. 7602)); or
(2)to acquire necessary devices on which to run such inspection software.
30112.Greenhouse gas corporate reportingIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2031, for the Environmental Protection Agency to support—
(1)enhanced standardization and transparency of corporate climate action commitments and plans to reduce greenhouse gas emissions;
(2)enhanced transparency regarding progress toward meeting such commitments and implementing such plans; and
(3)progress toward meeting such commitments and implementing such plans.
30113.Environmental product declaration assistance
(a)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $250,000,000, to remain available until September 30, 2031, to develop and carry out a program to support the development, and enhanced standardization and transparency, of environmental product declarations for construction materials and products, including by—
(1)providing grants to businesses that manufacture construction materials and products for developing and verifying environmental product declarations;
(2)providing technical assistance to businesses that manufacture construction materials and products in developing and verifying environmental product declarations; and
(3)carrying out other activities that assist in measuring and steadily reducing the quantity of embodied carbon of construction materials and products.
(b)Of the amounts made available under this section, the Administrator of the Environmental Protection Agency shall reserve 5 percent for administrative costs necessary to carry out this section.
(c)In this section:
(1)The term embodied carbon means the quantity of greenhouse gas emissions associated with all relevant stages of production of a material or product, measured in kilograms of carbon dioxide-equivalent per unit of such material or product.
(2)Environmental product declarationThe term environmental product declaration means a document that reports the environmental impact of a material or product that—
(A)includes measurement of the embodied carbon of the material or product;
(B)conforms with international standards, such as a Type III environmental product declaration, as defined by the International Organization for Standardization standard 14025; and
(C)is developed in accordance with any standardized reporting criteria specified by the Administrator of the Environmental Protection Agency.
30114.Methane emissions reduction programThe Clean Air Act is amended by inserting after section 135 of such Act, as added by section 30108 of this Act, the following:
136.Methane emissions and waste reduction incentive program for petroleum and natural gas systems
(a)Incentives for methane mitigation and monitoringIn addition to amounts otherwise available, there is appropriated for fiscal year 2022 , out of any money in the Treasury not otherwise appropriated, $775,000,000, to remain available until September 30, 2028—
(1)for grants, rebates, contracts, loans, and other activities of the Environmental Protection Agency for the purposes of providing financial and technical assistance to owners and operators of applicable facilities preparing and submitting greenhouse gas reports under subpart W of part 98 of title 40, Code of Federal Regulations (or successor regulations);
(2)for grants, rebates, contracts, loans, and other activities of the Environmental Protection Agency authorized under subsections (a) through (c) of section 103 for methane emissions monitoring;
(3)for grants, rebates, contracts, loans, and other activities of the Environmental Protection Agency for the purposes of providing financial and technical assistance to reduce methane and other greenhouse gas emissions from petroleum and natural gas systems, mitigate legacy air pollution from petroleum and natural gas systems, and provide support for communities, including funding for—
(A)improving climate resiliency of communities and petroleum and natural gas systems;
(B)improving and deploying industrial equipment and processes that reduce methane and other greenhouse gas emissions and waste;
(C)supporting innovation in reducing methane and other greenhouse gas emissions and waste from petroleum and natural gas systems;
(D)mitigating health effects of methane and other greenhouse gas emissions, and legacy air pollution from petroleum and natural gas systems in low-income and disadvantaged communities; and
(E)supporting environmental restoration; and
(4)to cover all direct and indirect costs required to administer this section, including the costs of implementing the waste emissions charge, preparing inventories, gathering empirical data, and tracking emissions.
(b)The Administrator shall impose and collect a charge on methane emissions that exceed an applicable waste emissions threshold under subsection (e) from an owner or operator of an applicable facility that is required to report methane emissions pursuant to subpart W of part 98 of title 40, Code of Federal Regulations (or any successor regulations).
(c)For purposes of this section, the term applicable facility
means a facility within the following industry segments, as defined in subpart W of part 98 of title 40, Code of Federal Regulations (or any successor regulations):
(1)Offshore petroleum and natural gas production.
(2)Onshore petroleum and natural gas production.
(3)Onshore natural gas processing,
(4)Onshore natural gas transmission compression.
(5)Underground natural gas storage.
(6)Liquefied natural gas storage.
(7)Liquefied natural gas import and export equipment.
(8)Onshore petroleum and natural gas gathering and boosting.
(9)Onshore natural gas transmission pipeline.
(d)The amount of a charge under subsection (b) for an applicable facility shall be equal to the product obtained by multiplying—
(1)the number of tons of methane reported for the applicable facility emitted above the applicable annual waste emissions thresholds listed in (e), pursuant to subpart W of part 98 of title 40, Code of Federal Regulations (or any successor regulations), during the previous reporting period; and
(2)
(A)$900 for emissions reported for calendar year 2023;
(B)$1200 for emissions reported for calendar year 2024; or
(C)$1500 for emissions reported for calendar year 2025 and each year thereafter.
(e)Waste emissions threshold
(1)Petroleum and natural gas productionWith respect to imposing and collecting the charge under subsection (b) for an applicable facility in an industry segment listed in paragraph (1) or (2) of subsection (c), the Administrator shall impose and collect the charge on the reported tons of methane emissions that exceed—
(A)0.20 percent of the natural gas sent to sale from such facility; or
(B)10 metric tons of methane per million barrels of oil sent to sale from such facility, if such facility sent no natural gas to sale.
(2)Nonproduction petroleum and natural gas systemsWith respect to imposing and collecting the charge under subsection (b) for an applicable facility in an industry segment listed in paragraph (3), (6), (7), or (8) of subsection (c), the Administrator shall impose and collect the charge on the reported tons of methane emissions that exceed 0.05 percent of the natural gas sent to sale from such facility.
(3)With respect to imposing and collecting the charge under subsection (b) for an applicable facility in an industry segment listed in paragraph (4), (5), or (9) of subsection (c), the Administrator shall impose and collect the charge on the reported tons of methane emissions that exceed 0.11 percent of the natural gas sent to sale from such facility.
(4)Charges under paragraph (1) shall not be imposed with respect to emissions caused by unreasonable delay in environmental permitting of gathering infrastructure.
(f)The charge under subsection (b) shall be imposed and collected beginning with respect to emissions reported for calendar year 2023 and for each year thereafter.
(g)In addition to other authorities in this Act addressing air pollution from the oil and natural gas sectors, the Administrator may issue guidance or regulations as necessary to carry out this section.
(h)Not later than 2 years after the date of enactment of this section, and as necessary thereafter, the Administrator shall revise the requirements of subpart W of part 98 of title 40, Code of Federal Regulations—
(1)to reduce the facility emissions threshold for reporting under such subpart and for paying the charge imposed under this section to 10,000 metric tons of carbon dioxide equivalent of greenhouse gases emitted per year; and
(2)to ensure the reporting under such subpart, and calculation of charges under subsections (d) and (e) of this section, are based on empirical data and accurately reflect the total methane emissions and waste emissions from the applicable facilities.
(i)Liability for charge paymentA facility owner or operator’s liability for payment of the charge under subsection (b) is not affected in any way by emission standards, permit fees, penalties, or other requirements under this Act or any other legal authorities..
30115.Funding for the Office of the Inspector General of the Environmental Protection AgencyIn addition to amounts otherwise made available, there is appropriated to the Office of the Inspector General of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, for oversight of activities supported with funds appropriated to the Environmental Protection Agency in this Act.
30116.Climate Pollution Reduction GrantsThe Clean Air Act is amended by inserting after section 136 of such Act, as added by section 30114 of this Act, the following:
137.Greenhouse Gas Air Pollution Plans and Implementation Grants
(a)
(1)Greenhouse gas air pollution planning grantsIn addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $250,000,000, to remain available until September 30, 2031, to carry out subsection (b).
(2)Greenhouse gas air pollution implementation grantsIn addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, $4,750,000,000, to remain available until September 30, 2031, to carry out subsection (c).
(3)Of the funds made available under paragraph (2), the Administrator shall reserve 3 percent for administrative costs necessary to carry out this section, including providing technical assistance to eligible entities, developing a plan that could be used as a model by grantees in developing a plan under subsection (b), and modeling the effects of plans described in this section.
(b)Greenhouse gas air pollution planning grantsThe Administrator shall make a grant to at least one eligible entity in each State for the costs of developing a plan for the reduction of greenhouse gas air pollution to be submitted with an application for a grant under subsection (c). Each such plan shall include programs, policies, measures, and projects that will achieve or facilitate the reduction of greenhouse gas air pollution. Not later than 270 days after the date of enactment of this section, the Administrator shall publish a funding opportunity announcement for grants under this subsection.
(c)Greenhouse gas air pollution reduction implementation grants
(1)The Administrator shall competitively award grants to eligible entities to implement plans developed under subsection (b).
(2)To apply for a grant under this subsection, an eligible entity shall submit to the Administrator an application at such time, in such manner, and containing such information as the Administrator shall require, which such application shall include information regarding—
(A)the degree to which greenhouse gas air pollution is projected to be reduced, including with respect to low-income and disadvantaged communities; and
(B)the quantifiability, specificity, additionality, permanence, and verifiability of such projected greenhouse gas air pollution reduction.
(3)The Administrator shall make funds available to a grantee under this subsection in such amounts, upon such a schedule, and subject to such conditions based on its performance in implementing its plan submitted under this section and in achieving projected greenhouse gas air pollution reduction, as determined by the Administrator.
(d)In this section, the term eligible entity means—
(1)a State;
(2)an air pollution control agency;
(3)a municipality;
(4)an Indian tribe; and
(5)a group of one or more entities listed in paragraphs (1) through (4)..
30117.Environmental Protection Agency efficient, accurate, and timely reviews In addition to amounts otherwise available, there is appropriated to the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2026, to provide for the development of efficient, accurate, and timely reviews for permitting and approval processes through the hiring and training of personnel, the development of programmatic documents, the procurement of technical or scientific services for reviews, the development of environmental data or information systems, stakeholder and community engagement, the purchase of new equipment for environmental analysis, and the development of geographic information systems and other analysis tools, techniques, and guidance to improve agency transparency, accountability, and public engagement.
30118.Low-embodied carbon labeling for construction materials for transportation projects
(a)In addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2026, to develop and carry out a program, in consultation with the Administrator of the Federal Highway Administration, to identify and label, based on environmental product declarations, low-embodied carbon construction materials and products used for transportation projects, and for necessary administrative costs of the Administrator of the Environmental Protection Agency to carry out this section.
(b)In this section:
(1)The term embodied carbon
means the quantity of greenhouse gas emissions associated with all relevant stages of production of a material or product, measured in kilograms of carbon dioxide-equivalent per unit of such material or product.
(2)Environmental product declarationThe term environmental product declaration
means a document that reports the environmental impact of a material or product that—
(A)includes measurement of the embodied carbon of the material or product;
(B)conforms with international standards, such as a Type III environmental product declaration as defined by the International Organization for Standardization standard 14025; and
(C)is developed in accordance with any standardized reporting criteria specified by the Administrator of the Environmental Protection Agency.
(3)Low-embodied carbon construction materials and productsThe term low-embodied carbon construction materials and products
means construction materials and products identified by the Administrator of the Environmental Protection Agency as having substantially lower levels of embodied carbon as compared to estimated industry averages of similar materials or products.
B
30201.Grants to reduce waste in communitiesThe Solid Waste Disposal Act is amended by inserting after section 7010 (42 U.S.C. 6979b) the following:
7011.Grants to reduce waste in communities
(a)
(1)Organics recycling and food wasteIn addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $95,000,000, to remain available until expended, to make grants, on a competitive basis, to eligible recipients for projects in, or directly serving, low-income or disadvantaged communities to—
(A)construct, expand, or modernize infrastructure for recycling and reuse of organic material, including any facility, machinery, or equipment used to collect and process organic material; or
(B)measure, reduce, and prevent food waste.
(2)Other waste reduction activitiesIn addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $95,000,000, to remain available until expended, to make grants, on a competitive basis, to eligible recipients for projects in, or directly serving, low-income or disadvantaged communities to—
(A)reduce the amount of waste generated from manufacturing processes or when consumer products are disposed of, including by encouraging product or manufacturing redesign or redevelopment that reduces packaging and waste byproducts;
(B)create market demand or manufacturing capacity for recovered, recyclable, or recycled commodities and products, including compost; or
(C)support the development and implementation of activities that reduce the amount of waste disposed of in landfills or prevent the disposal of waste in landfills, including—
(i)expanding the availability of source-separated organic waste collection;
(ii)encouraging diversion of organic waste from landfills; or
(iii)increasing fees imposed on the disposal of waste, including organic waste, at landfills.
(b)Of the amounts made available under subsection (a), the Administrator shall reserve 5 percent for the administrative costs necessary to carry out activities pursuant to that subsection.
(c)Definition of eligible recipientIn this section, the term eligible recipient means—
(1)a single unit of State, local, or Tribal government; or
(2)a nonprofit organization..
30202.Environmental and climate justice block grantsThe Clean Air Act is amended by inserting after section 136, as added by subtitle A of this title, the following:
137.Environmental and climate justice block grants
(a)In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$2,800,000,000 to remain available until expended, to award grants for the activities described in subsection (b); and
(2)$200,000,000 to remain available until expended, to provide technical assistance to eligible entities related to grants awarded under this section.
(b)
(1)The Administrator shall use amounts made available under subsection (a)(1) to award grants for periods of up to 3 years to eligible entities to carry out activities described in paragraph (2) that benefit disadvantaged communities, as defined by the Administrator.
(2)An eligible entity may use a grant awarded under this subsection for—
(A)community-led air and other pollution monitoring, prevention, and remediation, and investments in low- and zero-emission and resilient technologies and related infrastructure and workforce development that help reduce greenhouse gas emissions and other air pollutants;
(B)mitigating climate and health risks from urban heat islands, extreme heat, wood heater emissions, and wildfire events;
(C)climate resiliency and adaptation;
(D)reducing indoor toxics and indoor air pollution; or
(E)facilitating engagement of disadvantaged communities in State and Federal public processes, including facilitating such engagement in advisory groups, workshops, and rulemakings.
(3)In this subsection, the term eligible entity means—
(A)a partnership between—
(i)an Indian Tribe, a local government, or an institution of higher education; and
(ii)a community-based nonprofit organization;
(B)a community-based nonprofit organization; or
(C)a partnership of community-based nonprofit organizations.
(c)The Administrator shall reserve 7 percent of the amounts made available under subsection (a) for administrative costs to carry out this section. .
30203.Funding for data collection on national recycling effortsIn addition to amounts otherwise available, there is appropriated to the Administrator of the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until expended, to support data collection activities with respect to recycling efforts throughout the nation, with a particular focus on recycling efforts in disadvantaged, low-income, and rural communities that lack access to recycling services.
C
30301.Lead remediation projects
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $9,000,000,000, to remain available until September 30, 2026, for—
(1)grants under the lead reduction grant program under section 1459B(b) of the Safe Drinking Water Act (42 U.S.C. 300j–19b(b)) to entities eligible for grants under that program that serve communities determined to be disadvantaged communities pursuant to paragraph (3)(A) of such subsection, for full service line replacement within those disadvantaged communities;
(2)grants for the installation and maintenance of lead filtration stations at schools and child care programs (as defined in section 1464(d)(1) of that Act (42 U.S.C. 300j–24(d)(1)) that serve disadvantaged communities; and
(3)grants under subsection (d) of section 1464 of that Act (42 U.S.C. 300j–24)—
(A)to pay the costs of replacement of drinking water fountains in schools and child care programs that serve disadvantaged communities;
(B)for lead remediation projects in buildings operated by entities eligible for grants under that subsection that serve disadvantaged communities; and
(C)for compliance monitoring in disadvantaged communities.
(b)An entity receiving assistance pursuant to this section shall not be required to provide a share of the costs of carrying out the project or activity funded by that assistance.
(c)Of the amounts made available under subsection (a), the Administrator of the Environmental Protection Agency shall reserve 7 percent for the administrative costs of carrying out this section.
30302.Funding for water assistance program
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $225,000,000, to remain available until expended, to provide grants to States, Indian Tribes, and Tribal organizations to assist low-income households that pay a high proportion of household income for drinking water and wastewater (including stormwater) services, particularly households with an annual income that is less than or equal to 150 percent of the Federal poverty line, by providing amounts to community water systems (as defined in section 1401 of the Safe Drinking Water Act (42 U.S.C. 300f)) or publicly owned treatment works (as defined in section 212 of the Federal Water Pollution Control Act (33 U.S.C. 1292)) to reduce the arrearages of and rates charged to those households for those services by up to 100 percent.
(b)Of the amounts made available under subsection (a), the Administrator of the Environmental Protection Agency shall reserve not more than 3 percent to provide the assistance described in that subsection to Indian Tribes and Tribal organizations.
(c)An entity receiving assistance pursuant to this section shall not be required to provide a share of the costs of carrying out the activity funded by that assistance.
(d)Of the amounts made available under subsection (a), the Administrator of the Environmental Protection Agency shall reserve 7 percent for the administrative costs of carrying out this section.
(e)In this section, the term State means—
(1)each of the 50 States;
(2)the District of Columbia;
(3)the Commonwealth of Puerto Rico;
(4)American Samoa;
(5)Guam;
(6)the United States Virgin Islands; and
(7)the Commonwealth of the Northern Mariana Islands.
D
1Residential Efficiency and Electrification Rebates
30411.Home energy performance-based, whole-house rebates and training grants
(a)Home on-line performance-based energy efficiency (HOPE) contractor training grants
(1)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $360,000,000, to remain available until September 30, 2030, to award grants to States to develop and implement a State program described in section 362(d)(13) of the Energy Policy and Conservation Act (42 U.S.C. 6322(d)(13)), which shall partner with nonprofit organizations to fund qualifying programs described in paragraph (2) that provide training courses and opportunities to support home energy efficiency upgrade construction services to train workers, both on-line and in-person, to support and provide for the home energy efficiency retrofits under subsection (b), and for administrative expenses associated with carrying out this subsection.
(2)For the purposes of this paragraph, qualifying programs are programs that—
(A)provide the equivalent of at least 30 hours in total course time;
(B)are provided by a provider that is accredited by the Interstate Renewable Energy Council or has other accreditation determined to be equivalent by the Secretary;
(C)are, with respect to a particular job, aligned with the relevant National Renewable Energy Laboratory Job Task Analysis, or other credentialing program foundation that helps identify the necessary core knowledge areas, critical work functions, or skills, as approved by the Secretary;
(D)have established learning objectives;
(E)include, as the Secretary determines appropriate, an appropriate assessment of such learning objectives that may include a final exam, to be proctored on-site or through remote proctoring, or an in-person field exam; and
(F)include training related to—
(i)contractor certification;
(ii)energy auditing or assessment;
(iii)home energy systems (including Energy Star-qualified HVAC systems and Wi-Fi-enabled home energy communications technology, or any future technology that achieves the same goals);
(iv)insulation installation and air leakage control;
(v)health and safety regarding the installation of energy efficiency measures or health and safety impacts associated with energy efficiency retrofits;
(vi)indoor air quality;
(vii)energy efficiency retrofits in manufactured housing; and
(viii)residential electrification training and conversion training.
(3)State energy program providersA State energy office may use not more than 10 percent of the amounts made available to the State energy office under this subsection to administer a qualifying program described in paragraph (2), including for the conduct of design and operations activities.
(4)
(A)Of the amounts made available to a State under this subsection, 85 percent shall be used by the State—
(i)to support the operations of qualifying programs, including establishing, modifying, or maintaining the online systems, staff time, and software and online program management, through a course that meets the applicable criteria;
(ii)to reimburse the contractor company for training costs for employees;
(iii)to provide any home technology support needed for an employee to receive training pursuant to this subsection; and
(iv)to support wages of employees during training.
(B)Amounts made available under this subsection shall be used, as necessary, to cover or reimburse allowable costs incurred after the date of enactment of this Act.
(C)Amounts made available under this subsection which are not accepted, are voluntarily returned, or otherwise recaptured for any reason shall be used to fund grants under subsection (b).
(b)Home owner managing energy savings (HOMES) rebates
(1)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,890,000,000, to remain available until September 30, 2030, to award grants, in accordance with the formula for the State Energy Program under part D of title III of the Energy Policy and Conservation Act in effect on January 1, 2021, to State energy offices to establish Home Owner Managing Energy Savings (HOMES) Rebate Programs pursuant to section 362(d)(5) of such Act (42 U.S.C. 6322(d)(5)), and for administrative expenses associated with carrying out this subsection.
(2)In carrying out this subsection, the Secretary shall coordinate with State energy offices to ensure that programs that receive awards are formulated to achieve maximum greenhouse gas emissions reductions and household energy and costs savings.
(3)In order to receive a grant under this subsection, a State shall submit to the Secretary an application that includes a plan to implement a qualifying State program that includes—
(A)a plan to ensure that each home energy efficiency retrofit under the program—
(i)is completed by a contractor who meets minimum training requirements, certification requirements, and other requirements established by the Secretary; and
(ii)includes installation of 1 or more home energy efficiency retrofit measures that are modeled to achieve, or are shown to achieve, the minimum reduction required in home energy use, or with respect to a portfolio of home energy efficiency retrofits, in aggregated home energy use for such portfolio;
(B)a plan—
(i)to utilize, for purposes of modeled performance home rebates, modeling software, methods, and procedures for determining and documenting the reductions in home energy use resulting from the implementation of a home energy efficiency retrofit that is calibrated to historical energy usage for a home consistent with BPI 2400, that are approved by the Secretary, that can provide evidence for necessary improvements to a State program, and that can help to calibrate models for accuracy;
(ii)to utilize, for purposes of measured performance home rebates, open-source advanced measurement and verification software approved by the Secretary for determining and documenting the monthly and hourly (if available) weather-normalized baseline energy use of a home, the reductions in monthly and hourly (if available) weather-normalized energy use of a home resulting from the implementation of a home energy efficiency retrofit, and open-source advanced measurement and verification software approved by the Secretary; and
(iii)to value savings based on time, location, or greenhouse gas emissions;
(C)procedures for a homeowner to transfer the right to claim a rebate to the contractor performing the applicable home energy efficiency retrofit or to an aggregator, if the State program will utilize aggregators;
(D)if the State program will utilize aggregators to facilitate delivery of rebates to homeowners or contractors, requirements for an entity to be eligible to serve as an aggregator;
(E)quality monitoring to ensure that each installation that receives a rebate is documented in a certificate, provided by the contractor to the homeowner, that details the work, including information about the characteristics of equipment and materials installed, as well as projected energy savings or energy generation, in a way that will enable the homeowner to clearly communicate the value of the high-performing features funded by the rebate to buyers, real estate agents, appraisers and lenders; and
(F)a procedure for providing the contractor performing a home energy efficiency retrofit or an aggregator who has the right to claim such rebate with $200 for each home located in an underserved community that receives a home efficiency retrofit for which a rebate is provided under the program.
(4)Amount of rebates for single family and multifamily homesOf the amounts provided to a State energy office under this subsection, 85 percent shall be used to provide Home Owner Managing Energy Savings (HOMES) Rebates to—
(A)individuals and aggregators for the energy efficiency upgrades of single-family homes of not more than 4 units—
(i)$2,000 for a retrofit that achieves at least 20 percent modeled energy system savings or 50 percent of the project cost, whichever is lower;
(ii)$4,000 for a retrofit that achieves at least 35 percent modeled energy system savings or 50 percent of the project cost, whichever is lower; or
(iii)for measured energy savings, a payment per kilowatt hour saved, or kilowatt hour-equivalent saved, equal to $2,000 for a 20 percent reduction of energy use for the average home in the State, for homes or portfolios of homes that achieve at least 15 percent energy savings, or 50 percent of the project cost, whichever is lower;
(B) multifamily building owners and aggregators for the energy efficiency upgrades of multifamily buildings—
(i)$2,000 per dwelling unit for a retrofit that achieves at least 20 percent modeled energy system savings up a maximum of $200,000 per multifamily building;
(ii)$4,000 per dwelling unit for a retrofit that achieves at least 35 percent modeled energy system savings up to a maximum of $400,000 per multifamily building; or
(iii)for measured energy savings, a payment rate per kilowatt hours saved, or kilowatt hour-equivalent saves, equal to $2,000 for a 20 percent reduction of energy use for the average multifamily building in the State, for multifamily buildings or portfolios of buildings that achieve at least 15 percent energy savings, or 50 percent of the project cost, whichever is lower; or
(C)individuals and aggregators for the energy efficiency upgrades of single family homes of 4 units or less or multifamily buildings that are occupied by residents with an annual income of less than 80 percent of the area median income as published publicly by the Department of Housing and Urban Development—
(i)$4,000 for a retrofit that achieves at least 20 percent modeled energy system savings or 80 percent of the project cost, whichever is lower;
(ii)$8,000 for a retrofit that achieves at least 35 percent modeled energy system savings or 80 percent of the project cost, whichever is lower; or
(iii)for measured energy savings, a payment rate per kilowatt hour saved, or kilowatt hour-equivalent saved, equal to $4,000 for a 20 percent reduction of energy use for the average multifamily building in the State, for multifamily buildings or portfolios of buildings that achieve at least 15 percent energy savings, or 80 percent of the project cost, whichever is lower.
(5)Not less than 25 percent of the funds provided to a State energy office under this subsection shall be used for the purposes of each of subparagraphs (A), (B), and (C) of paragraph (4).
(6)Eligibility of certain appliancesIn calculating total energy savings for single family or multifamily homes under this subsection, a program may include savings from the purchase of high-efficiency natural gas HVAC systems and water heaters certified under the Energy Star program until the date that is 6 years after the date of enactment of this Act.
(7)Not to exceed 20 percent of any grant made with funds made available under this subsection shall be expended for planning and management development and administration.
(8)Amounts made available under this subsection shall be used for single family, multifamily, and manufactured housing rebates and the Secretary shall, in consultation with States, contractors, and other local technical experts design support, methodology, and contractor criteria as appropriate for the different building stock.
(9)Rebate amounts made available through the High-Efficiency Electric Home Rebate Program established under subsection (b)(1) of section 124 of the Energy Policy Act of 2005 (as amended by this subtitle) may be used in conjunction with the funds made available under this subsection.
(c)In this section:
(1)The term aggregator means a gas utility, electric utility, commercial entity, nonprofit entity, or State or local government entity that may receive rebates provided under a State program under this section for 1 or more portfolios consisting of 1 or more energy efficiency retrofits.
(2)The term contractor certification means—
(A)an industry recognized certification that may be obtained by a residential contractor to advance the expertise and education of the contractor in energy efficiency retrofits of residential buildings; and
(B)any other certification the Secretary determines appropriate for purposes of the HOMES Rebate Program established under subsection (b).
(3)The term contractor company means a company—
(A)the business of which is to provide services to residential building owners with respect to HVAC systems, insulation, air sealing, or other services that are approved by the Secretary;
(B)that holds the licenses and insurance required by the State in which the company provides services; and
(C)that provides services for which a rebate may be provided pursuant to the HOMES Rebate Program established under subsection (b).
(4)The term Energy Star program means the program established by section 324A of the Energy Policy and Conservation Act (42 U.S.C. 6294a).
(5)The term home means a building with not more than 4 dwelling units or a manufactured housing unit (including a unit built before June 15, 1976), that—
(A)is located in the United States;
(B)was constructed before the date of enactment of this Act;
(C)is occupied at least 6 months out of the year; and
(D)is not on a military base.
(6)The term HVAC system means a system—
(A)is certified under the Energy Star program;
(B)consisting of a heating component, a ventilation component, and an air-conditioning component; and
(C)the components of which may include central air conditioning, a heat pump, a furnace, a boiler, a rooftop unit, and a window unit.
(7)The term multifamily building means a building—
(A)with 5 or more dwelling units; and
(B)that is not on a military base.
(8)The term Secretary means the Secretary of Energy.
(9)The term State energy office has the meaning given the term State energy agency in section 391(10) of the Energy Policy and Conservation Act (42 U.S.C. 6371(10)).
(10)The term underserved community means—
(A)a community located in a ZIP Code that includes 1 or more census tracts that are identified as—
(i)a low-income community; or
(ii)a community of racial or ethnic minority concentration; or
(B)any other community that the Secretary determines is disproportionately vulnerable to, or bears a disproportionate burden of, any combination of economic, social, and environmental stressors.
30412.High-Efficiency Electric Home Rebate Program
(a)Section 124 of the Energy Policy Act of 2005 (42 U.S.C. 15821) is amended to read as follows:
124.High-Efficiency Electric Home Rebate Program
(a)
(1)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(A)$2,226,000,000, to remain available until September 30, 2031, to provide rebates under this section;
(B)$4,000,000, to remain available until September 30, 2031, for community and consumer education and outreach related to carrying out this section; and
(C)$220,000,000, to remain available until September 30, 2031, to administer this section and to provide administrative and technical support to certified contractor companies, qualified providers, States, and Indian Tribes.
(2)Additional funding for Tribal communities and low- or moderate-income householdsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,800,000,000, to remain available until September 30, 2031, for—
(A)rebates under this section relating to qualified electrification projects carried out in Tribal communities or for low- or moderate-income households; and
(B)any necessary administrative or technical support for those qualified electrification projects.
(b)High-efficiency electric home rebates for qualified electrification projects
(1)High-efficiency electric home rebatesThe Secretary shall establish a program within the Department, to be known as the High-Efficiency Electric Home Rebate Program
, under which the Secretary shall provide to homeowners and owners of multifamily buildings high-efficiency electric home rebates, in accordance with this subsection, for qualified electrification projects carried out at, or relating to, the homes or multifamily buildings, as applicable.
(2)
(A)Subject to subsection (c)(1)(A), a high-efficiency electric home rebate under paragraph (1) shall be equal to—
(i)in the case of a qualified electrification project described in subsection (d)(11)(A)(i)(II) that installs a heat pump used for water heating, not more than $1,250;
(ii)in the case of a qualified electrification project described in subsection (d)(11)(A)(i)(II) that installs a heat pump HVAC system—
(I)
- (aa)not more than $3,000 if the heat pump HVAC system has a heating capacity of not less than 27,500 Btu per hour; or
- (bb)not more than $4,000 if the heat pump HVAC system meets Energy Star program cold climate criteria and is installed in a cold climate, as determined by the Secretary;
(II)
- (aa)not more than $1,500 if the heat pump HVAC system has a heating capacity of less than 27,500 Btu per hour; or
- (bb)not more than $2,000 if the heat pump HVAC system meets Energy Star program cold climate criteria and is installed in a cold climate, as determined by the Secretary; and
(III)$250, in addition to the amount described in subclause (I) or (II), if a qualified electrification project described in subsection (d)(11)(A)(i)(V) that installs insulation, air sealing, and ventilation in accordance with clause (v) is completed within 6 months before or after the qualified electrification project described in that subclause;
(iii)in the case of a qualified electrification project described in subclause (III) or (IV) of subsection (d)(11)(A)(i), not more than $600;
(iv)in the case of a qualified electrification project described in subsection (d)(11)(A)(i)(I) that installs an electric load or service center panel that enables the installation and use of any upgrade, appliance, system, equipment, infrastructure, component, or other item installed pursuant to any other qualified electrification project, not more than $3,000;
(v)in the case of a qualified electrification project described in subsection (d)(11)(A)(i)(V) that installs insulation and air sealing, not more than $800; and
(vi)in the case of any other qualified electrification project, including a qualified electrification project described in any of subclauses (I) through (III) of subsection (d)(11)(A)(ii), for which the Secretary provides a high-efficiency electric home rebate, not more than an amount determined by the Secretary for that qualified electrification project, subject to subparagraph (B).
(B)Limitations on amount of rebate
(i)Subject to subsection (c)(1)(B), the maximum total amount that may be awarded as high-efficiency electric home rebates under this subsection shall be $10,000 with respect to each home for which a high-efficiency electric home rebate is provided.
(ii)
(I)Subject to subsection (c)(1)(C), the amount of a high-efficiency electric home rebate provided to a homeowner under this subsection shall not exceed 50 percent of the total cost of the applicable qualified electrification project.
(II)Subject to subsection (c)(1)(C), not more than 50 percent of the labor costs associated with a qualified electrification project may be included in the 50 percent of total costs for which a high-efficiency electric home rebate is provided under this subsection, as described in subclause (I), subject to the condition that labor costs account for not more than 50 percent of the amount of the high-efficiency electric home rebate.
(3)
(A)A high-efficiency electric home rebate may be provided for a qualified electrification project carried out by a contractor company only if that contractor company is a certified contractor company.
(B)A high-efficiency electric home rebate may be provided for a qualified electrification project that installs or enables the installation of a heat pump HVAC system only if the heat pump HVAC system—
(i)replaces—
(I)a nonelectric HVAC system;
(II)an electric resistance HVAC system; or
(III)an air conditioning unit that—
- (aa)does not have a reversing valve; and
- (bb)has a lower seasonal energy-efficiency ratio than the heat pump HVAC system; or
(ii)is part of new construction, as determined by the Secretary.
(C)Heat pumps for water heatingA high-efficiency electric home rebate may be provided for a qualified electrification project that installs or enables the installation of a heat pump used for water heating only if the heat pump—
(i)replaces—
(I)a nonelectric heat pump water heater;
(II)a nonelectric water heater; or
(III)an electric resistance water heater; or
(ii)is part of new construction, as determined by the Secretary.
(D)Electric stoves, cooktops, ranges, and ovensA high-efficiency electric home rebate may be provided for a qualified electrification project described in subsection (d)(11)(A)(i)(III) only if the applicable electric stove, cooktop, range, or oven—
(i)replaces a nonelectric stove, cooktop, range, or oven; or
(ii)is part of new construction, as determined by the Secretary.
(E)Electric heat pump clothes dryersA high-efficiency electric home rebate may be provided for a qualified electrification project described in subsection (d)(11)(A)(i)(IV) only if the applicable electric heat pump clothes dryer—
(i)replaces a nonelectric clothes dryer; or
(ii)is part of new construction.
(4)Additional incentives for contractors and qualified providers
(A)
(i)With respect to each qualified electrification project described in clause (ii), the Secretary shall provide a payment of $100 to the certified contractor company or qualified provider carrying out the qualified electrification project.
(ii)Qualified electrification project describedA qualified electrification project referred to in clause (i) is a qualified electrification project—
(I)that is carried out at a home or multifamily building;
(II)for which a rebate is provided under this subsection; and
(III)with respect to which the certified contractor company or qualified provider is not eligible for a higher payment under any of subparagraphs (B) through (D).
(B)Incentive for QEPs in certain communities and households
(i)With respect to each qualified electrification project described in clause (ii), the Secretary shall provide a payment of $200 to the certified contractor company or qualified provider carrying out the qualified electrification project.
(ii)Qualified electrification project describedA qualified electrification project referred to in clause (i) is a qualified electrification project—
(I)that is carried out at a home or multifamily building that—
- (aa)is located in an underserved community or a Tribal community; or
- (bb)is certified, or the household of the homeowner of which is certified, as applicable, as low- or moderate-income;
(II)for which a rebate is provided under this subsection; and
(III)with respect to which the certified contractor company or qualified provider is not eligible for a higher payment under subparagraph (C) or (D).
(C)Incentive for certain labor practices
(i)With respect to each qualified electrification project described in clause (ii), the Secretary shall provide a payment of $250 to the certified contractor company or qualified provider carrying out the qualified electrification project.
(ii)Qualified electrification project describedA qualified electrification project referred to in clause (i) is a qualified electrification project—
(I)that is carried out—
- (aa)at a home or multifamily building; and
- (bb)by a certified contractor company or qualified provider that allows for the use of collective bargaining agreements;
(II)for which a rebate is provided under this subsection; and
(III)with respect to which—
- (aa)all laborers and mechanics employed on the qualified electrification project are paid wages at rates not less than those prevailing on projects of a character similar in the locality; and
- (bb)the certified contractor company or qualified provider is not eligible for a higher payment under subparagraph (D).
(D)
(i)With respect to each qualified electrification project described in clause (ii), the Secretary shall provide a payment of $500 to the certified contractor company or qualified provider carrying out the qualified electrification project.
(ii)Qualified electrification project describedA qualified electrification project referred to in clause (i) is a qualified electrification project—
(I)that is carried out—
- (aa)at a home or multifamily building that—
(AA)is located in an underserved community or a Tribal community; or
(BB)is certified, or the household of the homeowner of which is certified, as applicable, as low- or moderate-income; and
- (bb)by a certified contractor company or qualified provider that allows for the use of collective bargaining agreements;
(II)for which a rebate is provided under this subsection; and
(III)with respect to which all laborers and mechanics employed on the qualified electrification project are paid wages at rates not less than those prevailing on projects of a character similar in the locality.
(E)An amount provided to a certified contractor company or qualified provider under any of subparagraphs (A) through (D) shall be in addition to the amount of any high-efficiency electric home rebate received by the certified contractor company or qualified provider.
(5)
(A)Subject to paragraph (2)(B), a homeowner, a certified contractor company, or a qualified provider may claim a separate high-efficiency electric home rebate under this subsection for each qualified electrification project carried out at a home.
(B)The Secretary shall establish and publish procedures pursuant to which a homeowner or owner of a multifamily building may transfer the right to claim a rebate under this subsection to the certified contractor company or qualified provider carrying out the applicable qualified electrification project.
(6)
(A)Subject to subparagraph (B), the owner of a multifamily building may combine the amounts of high-efficiency electric home rebates for each dwelling unit in the multifamily building into a single rebate, subject to—
(i)the condition that the applicable qualified electrification projects benefit each dwelling unit with respect to which the rebate is claimed; and
(ii)any maximum per-dwelling unit rate established by the Secretary.
(B)
(i)Subject to clause (ii), the amount of a rebate under subparagraph (A) shall not exceed 50 percent of the total cost, including labor costs, of the applicable qualified electrification projects.
(ii)Low- or moderate-income buildingsIn the case of a multifamily building that is certified by the Secretary as low- or moderate-income, the amount of a rebate under subparagraph (A) shall not exceed 100 percent of the total cost of the applicable qualified electrification projects.
(C)The Secretary shall establish and publish procedures—
(i)pursuant to which the owner of a multifamily building may combine rebate amounts in accordance with this subsection; and
(ii)for the enforcement of any limitations under this subsection.
(7)
(A)Not later than July 1, 2022, the Secretary shall establish a rebate processing system that provides immediate price relief for consumers who purchase and have installed qualified electrification projects, in accordance with this section.
(B)Qualified electrification project list
(i)Not later than July 1, 2022, the Secretary shall publish a list of qualified electrification projects for which a high-efficiency electric home rebate may be provided under this subsection that includes, at a minimum, the qualified electrification projects described in subsection (d)(11)(A).
(ii)The list published under clause (i) shall include specifications for each qualified electrification project included on the list, including—
(I)appropriate certifications under the Energy Star program; and
(II)other applicable requirements, such as requirements relating to grid-interactive capability.
(iii)
(I)Not less frequently than once every 3 years and subject to subclause (II), the Secretary shall publish an updated list of qualified electrification projects for which a high-efficiency electric home rebate may be provided under this subsection.
(II)An updated list under subclause (I) shall not allow for any reductions in efficiency levels for qualified electrification projects included on the updated list that are below an efficiency level provided in a previously published version of the list.
(c)Special provisions for low- and moderate-income households and multifamily buildings
(1)With respect to a qualified electrification project carried out at a location described in paragraph (2)—
(A)a high-efficiency electric home rebate shall be equal to—
(i)in the case of a qualified electrification project described in subsection (b)(2)(A)(i), not more than $1,750;
(ii)in the case of a qualified electrification project described in subsection (b)(2)(A)(ii)—
(I)
- (aa)not more than $6,000 if the applicable heat pump HVAC system has a heating capacity of not less than 27,500 Btu per hour; or
- (bb)not more than $7,000 if the applicable heat pump HVAC system meets Energy Star program cold climate criteria and is installed in a cold climate, as determined by the Secretary; and
(II)
- (aa)not more than $3,000 if the applicable heat pump HVAC system has a heating capacity of less than 27,500 Btu per hour; or
- (bb)not more than $3,500 if the applicable heat pump HVAC system meets Energy Star program cold climate criteria and is installed in a cold climate, as determined by the Secretary;
(iii)in the case of a qualified electrification project described in subsection (b)(2)(A)(iii), not more than $840;
(iv)in the case of a qualified electrification project described in subsection (b)(2)(A)(iv), not more than $4,000;
(v)in the case of a qualified electrification project described in subsection (b)(2)(A)(v) that installs insulation and air sealing, not more than $1,600; and
(vi)in the case of a qualified electrification project described in subsection (b)(2)(A)(vi), not more than an amount determined by the Secretary for that qualified electrification project, subject to subparagraph (B);
(B)the maximum total amount of high-efficiency electric home rebates that may be awarded with respect to each home of a homeowner shall be $14,000; and
(C)the amount of a high-efficiency electric home rebate may be used to cover not more than 100 percent of the costs, including labor costs, of the applicable qualified electrification project.
(2)The maximum amounts described in paragraph (1) shall apply to—
(A)a home—
(i)with respect to which the household of the homeowner is certified as low- or moderate-income;
(ii)that is located in a Tribal community; or
(iii)in the case of a home that is rented, with respect to which the household of the renter is certified as low- or moderate-income; or
(B)a multifamily building—
(i)that—
(I)is certified as low- or moderate-income; or
(II)is located in a Tribal community; and
(ii)with respect to which more than more than ½ of the dwelling units in the multifamily building—
(I)are occupied by households the annual household incomes of which do not exceed 80 percent of the median annual household income for the area in which the multifamily building is located; and
(II)have average monthly rental prices that are equal to, or less than, an amount that is equal to 30 percent of the average monthly household income for the area in which the multifamily building is located.
(3)The Secretary may provide a rebate in an amount described in paragraph (1) to the owner of a multifamily building or home (in the case of a home that is rented) that meets the requirements of this section if the owner agrees in writing to provide commensurate benefits of future savings to renters in the multifamily building or home.
(d)In this section:
(1)The term certified contractor means a contractor with a certification reflecting training, education, or other technical expertise relating to qualified electrification projects for residential buildings, as identified by the Secretary.
(2)Certified contractor companyThe term certified contractor company means a company—
(A)the business of which is to provide services—
(i)to residential building owners; and
(ii)for which a rebate may be provided pursuant to this section;
(B)that holds the licenses and insurance required by the State in which the company provides services; and
(C)that employs 1 or more certified contractors that perform the services for which a rebate may be provided under this section.
(3)Electric load or service center upgradeThe term electric load or service center upgrade means an improvement to a circuit breaker panel that enables the installation and use of—
(A)a QEP described in any of subclauses (II) through (IV) of paragraph (9)(A)(i); or
(B)a QEP described in any of subclauses (I) through (III) of paragraph (9)(A)(ii).
(4)The term Energy Star program means the program established by section 324A of the Energy Policy and Conservation Act (42 U.S.C. 6294a).
(5)The term heat pump means a heat pump used for water heating, space heating, or space cooling that—
(A)relies solely on electricity for its source of power; and
(B)is air-sourced, geothermal- or ground-sourced, or water-sourced.
(6)High-efficiency electric home rebateThe term high-efficiency electric home rebate means a rebate provided in accordance with subsection (b).
(7)The term home means each of—
(A)a building with not more than 4 dwelling units, individual condominium units, or manufactured housing units, that—
(i)is located in a State; and
(ii)
(I)is the primary residence of—
- (aa)the owner of that building, condominium unit, or manufactured housing unit, as applicable; or
- (bb)a renter; or
(II)is a new-construction single-family residential home; and
(B)a unit of a multifamily building that—
(i)is owned by an individual who is not the owner of the multifamily building;
(ii)is located in a State, the District of Columbia, or a territory of the United States; and
(iii)is the primary residence of—
(I)the owner of that unit; or
(II)a renter.
(8)The term HVAC means heating, ventilation, and air conditioning.
(9)The term low- or moderate-income, with respect to a household, means a household—
(A)with an annual income that is less than 80 percent of the annual median income of the area in which the household is located, which such annual median income of the area is determined according to publicly available data; or
(B)that is low-income as determined by the Secretary.
(10)The term multifamily building means any building—
(A)with 5 or more dwelling units that—
(i)are built on top of one another or side-by-side; and
(ii)may share common facilities; and
(B)that is not a home.
(11)Qualified electrification project; QEP
(A)The terms qualified electrification project and QEP mean a project that, as applicable—
(i)installs, or enables the installation and use of, in a home or multifamily building—
(I)an electric load or service center upgrade;
(II)an electric heat pump;
(III)an induction or noninduction electric stove, cooktop, range, or oven;
(IV)an electric heat pump clothes dryer; or
(V)insulation, air sealing, and ventilation, in accordance with requirements established by the Secretary; or
(ii)installs, or enables the installation and use of, in a home or multifamily building described in subparagraph (B)—
(I)a solar photovoltaic system, including any electrical equipment, wiring, or other components necessary for the installation and use of the solar photovoltaic system, including a battery storage system;
(II)electric vehicle charging infrastructure or electric vehicle support equipment necessary to recharge an electric vehicle on-site; or
(III)electrical rewiring, power sharing plugs, or other installation tasks directly related to and necessary for the safe and effective functioning of a QEP in a home or multifamily building.
(B)Home or multifamily building describedA home or multifamily building referred to in subparagraph (A)(ii) is a home or multifamily building that is certified, or the household of the homeowner of which is certified, as applicable, as low- or moderate-income.
(C)The terms qualified electrification project and QEP do not include any project with respect to which the appliance, system, equipment, infrastructure, component, or other item described in clause (i) or (ii) of subparagraph (A) is not certified under the Energy Star program if, as of the date on which the project is carried out, the item is of a category for which a certification is provided under that program.
(12)The term qualified provider means an electric utility, Tribal-owned entity or Tribally Designated Housing Entity (TDHE), or commercial, nonprofit, or government entity, including a retailer and a certified contractor company, that provides services for which a rebate may be provided pursuant to this section for 1 or more portfolios that consist of 1 or more qualified electrification projects.
(13)Solar photovoltaic systemThe term solar photovoltaic system means a system—
(A)placed on-site at a home or multifamily building, or as part of the community of the home or multifamily building; and
(B)that generates electricity from the sun specifically for the home, multifamily building, or community.
(14)The term Tribal community means a Tribal tract or Tribal block group.
(15)The term underserved community means a community located in a census tract that is identified by the Secretary as—
(A)a low- or moderate-income community; or
(B)a community of racial or ethnic minority concentration..
(b)
(1)The table of contents for the Energy Policy Act of 2005 (Public Law 109–58; 119 Stat. 594) is amended by striking the item relating to section 124 and inserting the following:
Sec. 124. High-Efficiency Electric Home Rebate Program..
(2)Section 3201(c)(2)(A)(i) of the Energy Act of 2020 (42 U.S.C. 17232(c)(2)(A)(i)) is amended by striking (a)
each place it appears.
2Building Efficiency and Resilience
30421.Critical facility modernization
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $500,000,000, to remain available until September 30, 2031, to carry out a program under which the Secretary of Energy provides funds to States to be used in accordance with subsection (c).
(b)The Secretary of Energy shall allocate funds made available under subsection (a) to States in accordance with the formula used to allocate Federal financial assistance granted pursuant to section 363 of the Energy Policy and Conservation Act (42 U.S.C. 6323) (as of January 1, 2021), except that no matching requirement shall apply.
(c)
(1)A State that receives funds under this section shall use such funds to—
(A)provide technical assistance for carrying out a covered project;
(B)facilitate carrying out a covered project, including by providing a grant, loan, or other financial assistance to another entity;
(C)carry out a covered project; or
(D)pay for any administrative expenses related to any activity described in subparagraphs (A) through (C).
(2)Limit on technical assistanceA State that receives funds under this section may not use more than 10 percent of such funds to provide technical assistance under paragraph (1)(A) related to the development, facilitation, management, oversight, or measurement of results of covered projects.
(d)In this section:
(1)The term covered project means a building project at an eligible facility that—
(A)increases—
(i)the resiliency of an eligible facility;
(ii)energy efficiency;
(iii)the use of renewable energy; or
(iv)grid integration; and
(B)may include a combined heat and power, microgrid, or energy storage component.
(2)The term eligible facility means a public or nonprofit building described in section 362(d)(5)(B) of the Energy Policy and Conservation Act (42 U.S.C. 6322(d)(5)(B)).
(3)The term State has the meaning given the term in section 3 of the Energy Policy and Conservation Act (42 U.S.C. 6202).
30422.Assistance for latest and zero building energy code adoption
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$100,000,000, to remain available until September 30, 2031, to carry out activities under part D of title III of the Energy Policy and Conservation Act (42 U.S.C. 6321 through 6326) in accordance with subsection (b); and
(2)$200,000,000, to remain available until September 30, 2031, to carry out activities under part D of title III of the Energy Policy and Conservation Act (42 U.S.C. 6321 through 6326) in accordance with subsection (c).
(b)Latest building energy codeThe Secretary of Energy shall use funds made available under subsection (a)(1) for grants to assist States, and units of local government that have authority to adopt building codes, to—
(1)adopt—
(A)a building energy code (or codes) for residential buildings that meets or exceeds the 2021 International Energy Conservation Code, or achieves equivalent or greater energy savings;
(B)a building energy code (or codes) for commercial buildings that meets or exceeds the ANSI/ASHRAE/IES Standard 90.1–2019, or achieves equivalent or greater energy savings; or
(C)any combination of building energy codes described in subparagraph (A) or (B); and
(2)implement a plan for the jurisdiction to achieve full compliance with any building energy code adopted under paragraph (1) in new and renovated residential or commercial buildings, as applicable, which plan shall include active training and enforcement programs and measurement of the rate of compliance each year.
(c)The Secretary of Energy shall use funds made available under subsection (a)(2) for grants to assist States, and units of local government that have authority to adopt building codes, to—
(1)adopt a building energy code (or codes) for residential and commercial buildings that meets or exceeds the zero energy provisions in the 2021 International Energy Conservation Code or an equivalent stretch code; and
(2)implement a plan for the jurisdiction to achieve full compliance with any building energy code adopted under paragraph (1) in new and renovated residential and commercial buildings, which plan shall include active training and enforcement programs and measurement of the rate of compliance each year.
(d)The State cost share requirement under the item relating to Department of Energy—Energy Conservation
in title II of the Department of the Interior and Related Agencies Appropriations Act, 1985 (42 U.S.C. 6323a; 98 Stat. 1861) shall not apply to assistance provided under this section.
(e)In this section, the term State has the meaning given that term in section 3 of the Energy Policy and Conservation Act (42 U.S.C. 6202).
(f)Of the amounts made available under this section, the Secretary shall reserve 5 percent for administrative costs necessary to carry out this section.
3Zero-emissions vehicle infrastructure
30431.Zero-emissions vehicle infrastructure grants
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available through September 30, 2028—
(1)$600,000,000 to provide financial assistance to States to develop and implement State programs described in subsection (d)(5) of section 362 of the Energy Policy and Conservation Act (42 U.S.C. 6322), as part of an approved State energy conservation plan under that section, to carry out projects to build out publicly accessible level 2 electric vehicle supply equipment in rural communities or underserved or disadvantaged communities;
(2)$200,000,000 to provide financial assistance to States to develop and implement State programs described in subsection (d)(5) of section 362 of the Energy Policy and Conservation Act (42 U.S.C. 6322), as part of an approved State energy conservation plan under that section, to carry out projects to build out publicly accessible networked direct current fast electric vehicle supply equipment in rural communities or underserved or disadvantaged communities; and
(3)$200,000,000 to provide financial assistance to States to develop and implement State programs described in subsection (d)(5) of section 362 of the Energy Policy and Conservation Act (42 U.S.C. 6322), as part of an approved State energy conservation plan under that section, to carry out projects to build out hydrogen fueling stations in rural communities or underserved or disadvantaged communities.
(b)
(1)
(A)Not later than 180 days after the date of enactment of this Act, the Secretary shall issue regulations for measures required to be included in any State program that receives financial assistance under this section.
(B)The regulations issued under this paragraph shall require a State receiving financial assistance under this section to use not more than 5 percent of such financial assistance for administrative purposes.
(C)No matching funds requirementThe regulations issued under this paragraph shall not require a State receiving financial assistance under this section to provide a share of the costs of projects carried out pursuant to this section.
(2)Financial assistance provided by a State using funds made available under this section shall only be available to eligible entities.
(3)A State or eligible entity may enter into a contract with a private third-party entity for the build out of electric vehicle supply equipment or hydrogen fueling stations under subsection (a).
(4)A State or eligible entity may enter into an agreement for the use of publicly accessible private property.
(5)The Secretary shall ensure that no entity receives a profit for access to or hosting of electric vehicle supply equipment or hydrogen fueling stations built out under a contract entered into under paragraph (3) or pursuant to an agreement entered into under paragraph (4), except that the Secretary shall determine an appropriate amount of profit that an entity may receive for the sale of electricity or hydrogen and the operation and maintenance of such electric vehicle supply equipment or hydrogen fueling stations.
(6)A State shall return to the Secretary any funds received under subsection (a) that the State does not award within 3 years of receiving such funds, and the Secretary shall reallocate such funds to other States.
(c)In this section:
(1)Electric vehicle supply equipmentThe term electric vehicle supply equipment means any conductors, including ungrounded, grounded, and equipment grounding conductors, electric vehicle connectors, attachment plugs, and all other fittings, devices, power outlets, electrical equipment, off-grid charging installations, or apparatuses installed specifically for the purpose of delivering energy to an electric vehicle or to a battery intended to be used in an electric vehicle.
(2)The term eligible entity means a local, Tribal, or territorial government, a not-for-profit entity, a nonprofit entity, a metropolitan planning organization, or an entity with fewer than 50 employees, as determined by the Secretary.
(3)Level 2 electric vehicle supply equipmentThe term level 2 electric vehicle supply equipment means electric vehicle supply equipment that provides an alternating current power source at a minimum of 208 volts.
(4)Networked direct current fast electric vehicle supply equipmentThe term networked direct current fast electric vehicle supply equipment means electric vehicle supply equipment that is capable of providing a direct current power source at a minimum of 50 kilowatts and is enabled to connect to a network to facilitate data collection and access.
(5)Private third-party entityThe term private third-party entity means a non-governmental entity, including a private business, that is able to contract with the State or an eligible entity to carry out projects to build out electric vehicle supply equipment or hydrogen fueling stations.
(6)The term publicly accessible means available to members of the public, including within or around—
(A)public sidewalks and streets;
(B)public parks;
(D)multiunit housing structures;
(C)public buildings;
(D)public parking;
(E)shopping centers;
(F)commuter transit hubs;
(G)workplaces;
(H)commercial locations that are accessible for a minimum of 12 hours per day at least 5 days a week, and capable of being monitored remotely; or
(I)other locations that are accessible for a minimum of 12 hours per day at least 5 days a week, and capable of being monitored remotely.
(7)The term Secretary
means the Secretary of Energy.
(8)Underserved or disadvantaged communityThe term underserved or disadvantaged community means a community or geographic area that is identified by the Secretary as—
(A)a low-income community;
(B)a Tribal community;
(C)having a disproportionately low number of electric vehicle charging stations per capita, compared to similar areas; or
(D)disproportionately vulnerable to, or bearing a disproportionate burden of, any combination of economic, social, environmental, or climate stressors.
4DOE Loan and Grant Programs
30441.Funding for Department of Energy Loan Programs Office
(a)In addition to commitment authority otherwise available and previously provided, the Secretary of Energy may make commitments to guarantee loans for eligible projects under section 1703 of the Energy Policy Act of 2005 up to a total principal amount of $40,000,000,000, to remain available until September 30, 2026: Provided, That for amounts collected pursuant to section 1702(b)(2) of the Energy Policy Act of 2005, the source of such payment received from borrowers may not be a loan or other debt obligation that is guaranteed by the Federal Government: Provided further, That none of the loan guarantee authority made available by this section shall be available for any project unless the President has certified in advance in writing that the loan guarantee and the project comply with the provisions under this section: Provided further, That none of such loan guarantee authority made available by this section shall be available for commitments to guarantee loans for any projects where funds, personnel, or property (tangible or intangible) of any Federal agency, instrumentality, personnel, or affiliated entity are expected to be used (directly or indirectly) through acquisitions, contracts, demonstrations, exchanges, grants, incentives, leases, procurements, sales, other transaction authority, or other arrangements, to support the project or to obtain goods or services from the project: Provided further, That the previous proviso shall not be interpreted as precluding the use of the loan guarantee authority provided by this section for commitments to guarantee loans for—
(1)projects as a result of such projects benefitting from otherwise allowable Federal tax benefits;
(2)projects as a result of such projects benefitting from being located on Federal land pursuant to a lease or right-of-way agreement for which all consideration for all uses is—
(A)paid exclusively in cash;
(B)deposited in the Treasury as offsetting receipts; and
(C)equal to the fair market value;
(3)projects as a result of such projects benefitting from the Federal insurance program under section 170 of the Atomic Energy Act of 1954 (42 U.S.C. 2210); or
(4)electric generation projects using transmission facilities owned or operated by a Federal Power Marketing Administration or the Tennessee Valley Authority that have been authorized, approved, and financed independent of the project receiving the guarantee.
(b)In addition to amounts otherwise available and previously provided, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,600,000,000, to remain available until September 30, 2026, for the costs of guarantees made under section 1703 of the Energy Policy Act of 2005, using the loan guarantee authority provided under subsection (a) of this section.
(c)Of the amount made available under subsection (b), the Secretary of Energy shall reserve 3 percent for administrative expenses to carry out title XVII of the Energy Policy Act of 2005 and for carrying out section 1702(h)(3) of such Act.
30442.Advanced technology vehicle manufacturing
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,000,000,000, to remain available until September 30, 2028, for the costs of—
(1)providing direct loans under section 136(d) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17013(d)); and
(2)providing direct loans, in accordance with section 136 of such Act, for reequipping, expanding, or establishing a manufacturing facility in the United States to produce, or for engineering integration performed in the United States of—
(A)a medium duty vehicle or a heavy duty vehicle; or
(B)any of the following that emit, under any possible operational mode or condition, zero exhaust emissions of any greenhouse gas:
(i)A train or locomotive.
(ii)A maritime vessel.
(iii)An aircraft.
(iv)Hyperloop technology.
(b)The Secretary shall reserve $25,000,000 of amounts made available under subsection (a) for administrative costs of providing loans as described in subsection (a).
(c)Elimination of loan program capSection 136(d)(1) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17013(d)(1)) is amended by striking a total of not more than $25,000,000,000 in
.
30443.Domestic Manufacturing Conversion Grants
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,500,000,000, to remain available until expended, for grants relating to domestic production of plug-in electric hybrid, plug-in electric drive, and hydrogen fuel cell electric vehicles, in accordance with section 712 of the Energy Policy Act of 2005 (42 U.S.C. 16062).
(b)The Secretary shall reserve 2 percent of amounts made available under subsection (a) for administrative costs of making grants described in such subsection (a) pursuant to section 712 of the Energy Policy Act of 2005 (42 U.S.C. 16062).
30444.Energy community reinvestment financingTitle XVII of the Energy Policy Act of 2005 is amended by inserting after section 1705 (42 U.S.C. 16516) the following:
1706.Energy community reinvestment financing program
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000,000, to remain available until September 30, 2026, for the cost of providing financial support under this section.
(b)Notwithstanding section 1702(f) and section 1703, and not later than 180 days after the date of enactment of this section, the Secretary shall establish a program to provide financial support, in such form and on such terms and conditions as the Secretary determines appropriate, to eligible entities for the purpose of making or enabling low-carbon reinvestments in energy communities, which such reinvestments may include—
(1)supporting workers who are or have been engaged in providing, or have been affected by the provision of, energy-intensive goods or services by helping such workers find employment opportunities, including by providing training and education;
(2)redeveloping a community that is or was engaged in providing, or has been affected by the provision of, energy-intensive goods or services;
(3)accelerating remediation of environmental damage caused by the provision of energy-intensive goods or services; and
(4)mitigating the effects on customers of any significant reduction in the carbon intensity of goods or services provided by the eligible entity, including by the cost-effective abatement of greenhouse gas emissions from continuing operations and the repowering, retooling, repurposing, redeveloping, or remediating of any long-lived assets, lands, or infrastructure currently or previously used by the eligible entity primarily to support the provision of energy-intensive goods or services.
(c)To apply for financial support provided under this section, an eligible entity shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, which such application shall include—
(1)a detailed plan describing the activities to be carried out in accordance with subsection (b), including activities for the measurement, monitoring, and verification of emissions of greenhouse gases; and
(2)if the eligible entity is a utility subject to regulation by a State commission or other State regulatory authority, assurances, as determined appropriate by the Secretary, that such eligible entity shall pass through any financial benefit from the provision of any financial support under this section to its customers or energy communities.
(d)
(1)Notwithstanding section 1702(h)(1), the Secretary shall charge and collect a fee from each eligible entity that received financial support provided under this section in an amount the Secretary determines sufficient to cover applicable administrative expenses (including any costs associated with third party consultants engaged by the Secretary).
(2)Use of appropriated fundsAny cost for any financial support provided under this section shall be paid by the Secretary using appropriated funds.
(e)In this section:
(1)Notwithstanding section 1701, the term cost has the meaning given such term in section 502 of the Federal Credit Reform Act of 1990 (2 U.S.C. 661a).
(2)The term eligible entity means any entity that is directly affiliated with the provision of energy-intensive goods or services.
(3)The term energy community means a community whose members are or were engaged in providing, or have been affected by the provision of, energy-intensive goods and services.
(4)The term financial support means any credit product or support the Secretary determines appropriate to implement this section, including—
(A)a line of credit; and
(B)a guarantee, including of a letter of credit for the purposes of subsection (b)(3)..
30445.Tribal Energy Loan Guarantee Program
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $200,000,000, to remain available until September 30, 2028, to carry out section 2602(c) of the Energy Policy Act of 1992 (25 U.S.C. 3502(c)).
(b)Inclusions in title XVII definition of guaranteeSection 1701(4)(B) of the Energy Policy Act of 2005 (42 U.S.C. 16511(4)(B)) is amended by striking the period at the end and inserting and, for purposes of minimizing financing costs, includes a guarantee by the Secretary of 100 percent of the unpaid principal and interest due on any obligation to the Federal Financing Bank.
.
(c)Department of Energy Tribal Energy Loan Guarantee Program Section 2602(c) of the Energy Policy Act of 1992 (25 U.S.C. 3502(c)) is amended—
(1)in paragraph (1), by striking (as defined in section 502 of the Federal Credit Reform Act of 1990 (2 U.S.C. 661a)) for an amount equal to not more than 90 percent of
and inserting (as defined in section 1701 of the Energy Policy Act of 2005 (42 U.S.C. 16511)) for
; and
(2)in paragraph (4), by striking $2,000,000,000
and inserting $20,000,000,000
.
5
30451.Transmission line and intertie grants and loans
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2030, $1,500,000,000 for purposes of providing grants under subsection (b) and for administrative expenses associated with carrying out this section, and $500,000,000 for the costs of providing direct loans under subsection (b): Provided, That the Secretary shall not enter into any loan agreement pursuant to this section that could result in disbursements after September 30, 2031, or any grant agreement pursuant to this section that could result in any outlays after September 30, 2031: Provided further, That none of such loan authority made available by this section shall be available for loans for any projects where funds, personnel, or property (tangible or intangible) of any Federal agency, instrumentality, personnel, or affiliated entity are expected to be used (directly or indirectly) through acquisitions, contracts, demonstrations, exchanges, grants, incentives, leases, procurements, sales, other transaction authority, or other arrangements to support the project or to obtain goods or services from the project: Provided further, That the previous proviso shall not be interpreted as precluding the use of the loan authority provided by this section for commitments to loans for: (1) projects benefitting from otherwise allowable Federal tax benefits; (2) projects benefitting from being located on Federal land pursuant to a lease or right-of-way agreement for which all consideration for all uses is: (A) paid exclusively in cash; (B) deposited in the Treasury as offsetting receipts; and (C) equal to the fair market value; (3) projects benefitting from the Federal insurance program under section 170 of the Atomic Energy Act of 1954 (42 U.S.C. 2210); or (4) electric generation projects using transmission facilities owned or operated by a Federal Power Marketing Administration or the Tennessee Valley Authority that have been authorized, approved, and financed independent of the project receiving the guarantee: Provided further, That none of the loan authority made available by this section shall be available for any project unless the President has certified in advance in writing that the loan and the project comply with the provisions under this section.
(b)Except as provided in subsection (c), the Secretary of Energy may provide grants and direct loans to eligible entities to construct new, or make upgrades to existing, eligible transmission lines or eligible interties, including the related facilities thereof, if the Secretary of Energy determines that such construction or upgrade would support—
(1)a more robust and resilient electric grid; and
(2)the integration of electricity from a clean energy facility into the electric grid.
(c)
(1)The Secretary of Energy shall determine the rate of interest to charge on direct loans provided under subsection (b) by taking into consideration market yields on outstanding marketable obligations of the United States of comparable maturities as of the date the loan is disbursed.
(2)Recovery of costs for grantsA grant provided under this section may not be used to cover the portion of costs for the construction of new, or for making upgrades to existing, eligible transmission lines or eligible interties, including the related facilities thereof, that are approved for recovery through a Transmission Organization, regional planning authority, governing or ratemaking body of an electric cooperative, State commission, or another similar body.
(3)No eligible entity may receive both a grant and a direct loan for the same construction of, or upgrade to, an eligible transmission line or eligible intertie under this section.
(d)In this section:
(1)The term clean energy facility means any electric generating unit that does not emit carbon dioxide.
(2)The term direct loan means a disbursement of funds by the Government to a non-Federal borrower under a contract that requires the repayment of such funds with or without interest. The term includes the purchase of, or participation in, a loan made by another lender and financing arrangements that defer payment for more than 90 days, including the sale of a government asset on credit terms.
(3)The term eligible entity means a non-Federal entity.
(4)The term eligible intertie means—
(A)any interties across the seam between the Western Interconnection and the Eastern Interconnection;
(B)the Pacific Northwest-Pacific Southwest Intertie;
(C)any interties between the Electric Reliability Council of Texas and the Western Interconnection or the Eastern Interconnection; or
(D)such other interties that the Secretary determines contribute to—
(i)a more robust and resilient electric grid; and
(ii)the integration of electricity from a clean energy facility into the electric grid.
(5)Eligible transmission lineThe term eligible transmission line means an electric power transmission line that—
(A)in the case of new construction under subsection (b), has a transmitting capacity of not less than 1,000 megawatts;
(B)in the case of an upgrade made under subsection (b), the upgrade to which will increase its transmitting capacity by not less than 500 megawatts; and
(C)is capable of transmitting electricity—
(i)across any eligible intertie;
(ii)from an offshore wind generating facility; or
(iii)along a route, or in a corridor, determined by the Secretary of Energy to be necessary to meet interregional or national electricity transmission needs.
(6)State commission; Transmission OrganizationThe terms State commission and Transmission Organization have the meanings given such terms in section 3 of the Federal Power Act (16 U.S.C. 796).
30452.Grants to facilitate the siting of interstate electricity transmission lines
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $800,000,000, to remain available until September 30, 2029, for making grants in accordance with this section and for administrative expenses associated with carrying out this section.
(b)
(1)The Secretary may make a grant under this section to a siting authority for, with respect to a covered transmission project, any of the following activities:
(A)Studies and analyses of the impacts of the covered transmission project.
(B)Examination of up to 3 alternate siting corridors within which the covered transmission project feasibly could be sited.
(C)Hosting and facilitation of negotiations in settlement meetings involving the siting authority, the covered transmission project applicant, and opponents of the covered transmission project, for the purpose of identifying and addressing issues that are preventing approval of the application relating to the siting or permitting of the covered transmission project.
(D)Participation by the siting authority in regulatory proceedings or negotiations in another jurisdiction, or under the auspices of a Transmission Organization (as defined in section 3 of the Federal Power Act (16 U.S.C. 796)) that is also considering the siting or permitting of the covered transmission project.
(E)Participation by the siting authority in regulatory proceedings at the Federal Energy Regulatory Commission or a State regulatory commission for determining applicable rates and cost allocation for the covered transmission project.
(F)Other measures and actions that may improve the chances of, and shorten the time required for, approval by the siting authority of the application relating to the siting or permitting of the covered transmission project, as the Secretary determines appropriate.
(2)The Secretary may make a grant under this section to a siting authority, or other State, local, or Tribal governmental entity, for economic development activities for communities that may be affected by the construction and operation of a covered transmission project, provided that the Secretary shall not enter into any grant agreement pursuant to this section that could result in any outlays after September 30, 2031.
(c)
(1)Final decision on applicationIn order to receive a grant for an activity described in subsection (b)(1), the Secretary shall require a siting authority to agree, in writing, to reach a final decision on the application relating to the siting or permitting of the applicable covered transmission project not later than 2 years after the date on which such grant is provided, unless the Secretary authorizes an extension for good cause.
(2)The Federal share of the cost of an activity described in subparagraph (D) or (E) of subsection (b)(1) shall not exceed 50 percent.
(3)The Secretary may only disburse grant funds for economic development activities under subsection (b)(2)—
(A)to a siting authority upon approval by the siting authority of the applicable covered transmission project; and
(B)to any other State, local, or Tribal governmental entity upon commencement of construction of the applicable covered transmission project in the area under the jurisdiction of the entity.
(d)If a siting authority that receives a grant for an activity described in subsection (b)(1) fails to use all grant funds within 2 years of receipt, the siting authority shall return to the Secretary any such unused funds.
(e)In this section:
(1)Covered transmission projectThe term covered transmission project means a high-voltage interstate or offshore electricity transmission line—
(A)that is proposed to be constructed and to operate at a minimum of 275 kilovolts of either alternating-current or direct-current electric energy by an entity; and
(B)for which such entity has applied, or informed a siting authority of such entity’s intent to apply, for regulatory approval.
(2)The term siting authority means a State, local, or Tribal governmental entity with authority to make a final determination regarding the siting, permitting, or regulatory status of a covered transmission project that is proposed to be located in an area under the jurisdiction of the entity.
(3)The term State means a State, the District of Columbia, or any territory or possession of the United States.
30453.Organized wholesale electricity market technical assistance grants
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until fiscal year 2031, for purposes of providing technical assistance and grants under subsection (b).
(b)Technical assistance and grantsThe Secretary shall use amounts made available under subsection (a) to—
(1)provide grants to States to pay for—
(A)technical assistance for any of the activities described in subsection (c); or
(B)the procurement of data or technology systems related to any of the activities described in subsection (c); and
(2)provide technical assistance for the activities described in subsection (c).
(c)The activities described in this subsection are—
(1)forming, expanding, or improving an organized wholesale electricity market, including with respect to—
(A)market governance assistance;
(B)planning and policy assistance; and
(C)regulatory development assistance;
(2)aligning the policies of an organized wholesale electricity market with relevant State policies; and
(3)evaluating the economic, operational, reliability, environmental, and other benefits of organized wholesale electricity markets.
(d)
(1)To apply for technical assistance or a grant provided under this section, a State shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.
(2)An application for a grant submitted under paragraph (1) shall certify how the State will use the grant in accordance with subsection (b).
(e)In this section:
(1)Independent System Operator; Regional Transmission OrganizationThe terms Independent System Operator and Regional Transmission Organization have the meanings given such terms in section 3 of the Federal Power Act (16 U.S.C. 796).
(2)Organized wholesale electricity marketThe term organized wholesale electricity market means an Independent System Operator or a Regional Transmission Organization.
(3)The term Secretary means the Secretary of Energy.
(4)The term State means a State, the District of Columbia, or any territory or possession of the United States.
30454.Interregional and offshore wind electricity transmission planning, modeling, and analysis
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2031, to carry out this section.
(b)The Secretary of Energy shall use amounts made available under subsection (a) to—
(1)pay expenses associated with convening relevant stakeholders, including States, generation and transmission developers, regional transmission organizations, independent system operators, environmental organizations, electric utilities, and other stakeholders the Secretary determines appropriate, to address the development of interregional electricity transmission and transmission of electricity that is generated by offshore wind; and
(2)conduct planning, modeling, and analysis regarding interregional electricity transmission and transmission of electricity that is generated by offshore wind, taking into account the local, regional, and national economic, reliability, resilience, security, public policy, and environmental benefits of interregional electricity transmission and transmission of electricity that is generated by offshore wind, including planning, modeling, and analysis, as the Secretary determines appropriate, pertaining to—
(A)clean energy integration into the electric grid, including the identification of renewable energy zones;
(B)the effects of changes in weather due to climate change on the reliability and resilience of the electric grid;
(C)cost allocation methodologies that facilitate the expansion of the bulk power system;
(D)the benefits of coordination between generator interconnection processes and transmission planning processes;
(E)the effect of increased electrification on the electric grid;
(F)power flow modeling;
(G)the benefits of increased interconnections or interties between or among the Western Interconnection, the Eastern Interconnection, the Electric Reliability Council of Texas, and other interconnections, as applicable;
(H)the cooptimization of transmission and generation, including variable energy resources, energy storage, and demand-side management;
(I)the opportunities for use of nontransmission alternatives, energy storage, and grid-enhancing technologies;
(J)economic development opportunities for communities arising from development of interregional electricity transmission and transmission of electricity that is generated by offshore wind;
(K)evaluation of existing rights-of-way and the need for additional transmission corridors; and
(L)a planned national transmission grid, which would include a networked transmission system to optimize the existing grid for interconnection of offshore wind farms.
6
30461.In addition to amounts otherwise available, there is appropriated to the Department of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $125,000,000, to remain available until September 30, 2031, to provide for the development of more efficient, accurate, and timely reviews for planning, permitting, and approval processes through the hiring and training of personnel, the development of programmatic documents, the procurement of technical or scientific services for reviews, the development of data or information systems, stakeholder and community engagement, the purchase of new equipment for analysis, and the development of geographic information systems and other analysis tools, techniques, and guidance to improve agency transparency, accountability, and public engagement.
30462.Federal Energy Regulatory Commission
(a)In addition to amounts otherwise available, there is appropriated to the Federal Energy Regulatory Commission for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $75,000,000, to provide for the development of more efficient, accurate, and timely reviews for planning, permitting, and approval processes through the hiring and training of personnel, the development of programmatic documents, the procurement of technical or scientific services for reviews, the development of data or information systems, stakeholder and community engagement, the purchase of new equipment for analysis, and the development of geographic information systems and other analysis tools, techniques, and guidance to improve agency transparency, accountability, and public engagement.
(b)Section 3401(a) of the Omnibus Budget Reconciliation Act of 1986 (42 U.S.C. 7178(a)) shall not apply to the costs incurred by the Federal Energy Regulatory Commission in carrying out this section.
7
30471.Advanced industrial facilities deployment program
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $4,000,000,000, to remain available until September 30, 2026, to carry out this section.
(b)The Secretary shall use funds appropriated by subsection (a) to establish a program to provide financial assistance, on a competitive basis, to eligible entities to carry out projects for—
(1)the purchase and installation, or implementation, of advanced industrial technology at an eligible facility;
(2)retrofits, upgrades to, or operational improvements at an eligible facility to install or implement advanced industrial technology; or
(3)engineering studies and other work needed to prepare an eligible facility for activities described in paragraph (1) or (2).
(c)To be eligible to receive financial assistance under the program established under subsection (b), an eligible entity shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, including the expected greenhouse gas emissions reductions to be achieved by carrying out the project.
(d)In providing financial assistance under the program established under subsection (b), the Secretary shall give priority consideration to projects on the basis of, as determined by the Secretary—
(1)the expected greenhouse gas emissions reductions to be achieved by carrying out the project;
(2)the extent to which the project would provide the greatest benefit for the greatest number of people within the area in which the eligible facility is located; and
(3)whether the eligible entity participates or would participate in a partnership with purchasers of the output of the eligible facility.
(e)The Federal share of the cost of a project carried out pursuant to this section shall not exceed 50 percent.
(f)The Secretary shall reserve $200,000,000 of amounts made available under subsection (a) for administrative costs of carrying out this section.
(g)
(1)Advanced industrial technologyThe term advanced industrial technology
means technology or processes designed to accelerate greenhouse gas emissions reduction progress to net-zero at an eligible facility, as determined by the Secretary, including—
(A)industrial energy efficiency technologies;
(B)equipment to electrify industrial processes;
(C)equipment to utilize low- or zero-carbon fuels, feedstocks, and energy sources;
(D)low- or zero-carbon process heat systems; and
(E)carbon capture, transport, utilization, and storage systems.
(2)The term eligible entity
means the owner or operator of an eligible facility.
(3)The term eligible facility
means a domestic, non-Federal, nonpower industrial or manufacturing facility engaged in energy-intensive industrial processes, including production processes for iron, steel, steel mill products, aluminum, cement, concrete, glass, pulp, paper, and industrial ceramics.
(4)The term financial assistance
means a grant, rebate, direct loan, or cooperative agreement.
(5)The term Secretary
means the Secretary of Energy.
8
30481.In addition to amounts otherwise available, there is appropriated to the Department of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2031, for oversight by the Department of Energy Office of Inspector General of the Department of Energy activities for which funding is appropriated in this subtitle.
EAffordable Health Care Coverage
30601.Ensuring affordability of coverage for certain low-income populations
(a)Reducing cost sharing under qualified health plansSection 1402 of the Patient Protection and Affordable Care Act (42 U.S.C. 18071) is amended—
(1)in subsection (b)—
(A)in paragraph (2), by inserting (or, with respect to plan years 2023, 2024, and 2025, whose household income does not exceed 400 percent of the poverty line for a family of the size involved)
before the period; and
(B)in the matter following paragraph (2), by adding at the end the following new sentence: In the case of an individual who, at any point during 2022, has a household income that does not exceed 138 percent of the poverty line for a family of the size involved, such individual shall, for each month during such year, be treated as having household income equal to 100 percent for purposes of applying this section.
; and
(2)in subsection (c)—
(A)in paragraph (1)(A), in the matter preceding clause (i), by inserting , with respect to eligible insureds (other than, with respect to plan years 2023, 2024, and 2025, specified enrollees (as defined in paragraph (6)(C))),
after first be achieved
;
(B)in paragraph (2), in the matter preceding subparagraph (A), by inserting with respect to eligible insureds (other than, with respect to plan years 2023, 2024, and 2025, specified enrollees)
after under the plan
;
(C)in paragraph (3)—
(i)in subparagraph (A), by striking this subsection
and inserting paragraph (1) or (2)
; and
(ii)in subparagraph (B), by striking this section
and inserting paragraphs (1) and (2)
; and
(D)by adding at the end the following new paragraph:
(6)Special rule for specified enrollees
(A)The Secretary shall establish procedures under which the issuer of a qualified health plan to which this section applies shall reduce cost-sharing under the plan with respect to months occurring during plan years 2023, 2024, and 2025 for enrollees who are specified enrollees (as defined in subparagraph (C)) in a manner sufficient to increase the plan’s share of the total allowed costs of benefits provided under the plan to 99 percent of such costs.
(B)Methods for reducing cost sharing
(i)An issuer of a qualified health plan making reductions under this paragraph shall notify the Secretary of such reductions and the Secretary shall, out of funds made available under clause (ii), make periodic and timely payments to the issuer equal to 12 percent of the total allowed costs of benefits provided under each such plan to specified enrollees during plan years 2023, 2024, and 2025.
(ii)In addition to amounts otherwise available, there are appropriated, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary to the Secretary to make payments under clause (i).
(C)Specified enrollee definedFor purposes of this section, the term specified enrollee
means, with respect to a plan year, an eligible insured who, at any point during such plan year, has a household income that does not exceed 138 percent of the poverty line for a family of the size involved. Such insured shall be deemed to be a specified enrollee for each month in such plan year..
(b)Open enrollments applicable to certain lower-income populationsSection 1311(c) of the Patient Protection and Affordable Care Act (42 U.S.C. 18031(c)) is amended—
(1)in paragraph (6)—
(A)in subparagraph (C), by striking at the end and
;
(B)in subparagraph (D), by striking the period at the end and inserting ; and
; and
(C)by adding at the end the following new subparagraph:
(E)with respect to a qualified health plan with respect to which section 1402 applies, for months occurring during the period beginning on January 1, 2022, and ending on December 31, 2025, enrollment periods described in subparagraph (A) of paragraph (8) for individuals described in subparagraph (B) of such paragraph.; and
(2)by adding at the end the following new paragraph:
(8)Special enrollment period for certain low-income populations
(A)The enrollment period described in this paragraph is, in the case of an individual described in subparagraph (B), the continuous period beginning on the first day that such individual is so described.
(B)For purposes of subparagraph (A), an individual described in this subparagraph is an individual—
(i)with a household income that does not exceed 138 percent of the poverty line for a family of the size involved; and
(ii)who is not eligible for minimum essential coverage (as defined in section 5000A(f) of the Internal Revenue Code of 1986), other than for coverage described in any of subparagraphs (B) through (E) of paragraph (1) of such section..
(c)Additional benefits for certain low-income individuals for plan years 2024 and 2025Section 1301(a) of the Patient Protection and Affordable Care Act (42 U.S.C. 18021(a)) is amended—
(1)in paragraph (1)—
(A)in subparagraph (B), by striking and
at the end;
(B)in subparagraph (C)(iv), by striking the period and inserting ; and
; and
(C)by adding at the end the following new subparagraph:
(D)provides, with respect to a plan offered in the silver level of coverage to which section 1402 applies during plan year 2024 and 2025, for benefits described in paragraph (5) in the case of an individual who has a household income that does not exceed 138 percent of the poverty line for a family of the size involved, and who is eligible to receive cost-sharing reductions under section 1402.; and
(2)by adding at the end the following new paragraph:
(5)Additional benefits for certain low-income individuals for plan year 2024 and 2025
(A)
(i)For purposes of paragraph (1)(D), the benefits described in this paragraph to be provided by a qualified health plan are benefits consisting of—
(I)non-emergency medical transportation services (as described in section 1902(a)(4) of the Social Security Act) for which Federal payments would have been available under title XIX of the Social Security Act had such services been furnished to an individual enrolled under a State plan (or waiver of such plan) under such title; and
(II)services described in subsection (a)(4)(C) of section 1905 of such Act for which Federal payments would have been so available;which are not otherwise provided under such plan as part of the essential health benefits package described in section 1302(a).
(ii)Condition on provision of benefitsBenefits described in this paragraph shall be provided—
(I)without any restriction on the choice of a qualified provider from whom an individual may receive such benefits; and
(II)without any imposition of cost sharing.
(B)Payments for additional benefits
(i)An issuer of a qualified health plan making payments for services described in subparagraph (A) furnished to individuals described in paragraph (1)(D) during plan year 2024 or 2025 shall notify the Secretary of such payments and the Secretary shall, out of funds made available under clause (ii), make periodic and timely payments to the issuer equal to payments for such services so furnished.
(ii)In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary to the Secretary to make payments under clause (i)..
(d)Education and outreach activities—
(1)Section 1321(c) of the Patient Protection and Affordable Care Act (42 U.S.C. 18041(c)) is amended by adding at the end the following new paragraph:
(3)Outreach and educational activities
(A)In the case of an Exchange established or operated by the Secretary within a State pursuant to this subsection, the Secretary shall carry out outreach and educational activities for purposes of informing individuals described in section 1902(a)(10)(A)(i)(VIII) of the Social Security Act who reside in States that have not expended amounts under a State plan (or waiver of such plan) under title XIX of such Act for all such individuals about qualified health plans offered through the Exchange, including by informing such individuals of the availability of coverage under such plans and financial assistance for coverage under such plans. Such outreach and educational activities shall be provided in a manner that is culturally and linguistically appropriate to the needs of the populations being served by the Exchange (including hard-to-reach populations, such as racial and sexual minorities, limited English proficient populations, individuals residing in areas where the unemployment rates exceeds the national average unemployment rate, individuals in rural areas, veterans, and young adults).
(B)Limitation on use of fundsNo funds appropriated under this paragraph shall be used for expenditures for promoting non-ACA compliant health insurance coverage.
(C)Non-aca compliant health insurance coverageFor purposes of subparagraph (B):
(i)The term non-ACA compliant health insurance coverage means health insurance coverage, or a group health plan, that is not a qualified health plan.
(ii)Such term includes the following:
(I)An association health plan.
(II)Short-term limited duration insurance.
(D)In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, to remain available until expended, $105,000,000 for fiscal year 2022 to carry out this paragraph, of which—
(i)$15,000,000 shall be used to carry out this paragraph in fiscal year 2022; and
(ii)$30,000,000 shall be used to carry out this paragraph for each of fiscal years 2023 through 2025..
(2)Section 1311(i)(6) of the Patient Protection and Affordable Care Act (42 U.S.C. 18031(i)(6)) is amended—
(A)by striking Funding.—Grants under
and inserting
Funding.—
(A)Grants under; and
(B)by adding at the end the following new subparagraph:
(B)For purposes of carrying out this subsection, with respect to an Exchange established and operated by the Secretary within a State pursuant to section 1321(c), the Secretary shall obligate not less than $10,000,000 out of amounts collected through the user fees on participating health insurance issuers pursuant to section 156.50 of title 45, Code of Federal Regulations (or any successor regulations) for fiscal year 2022, and not less than $20,000,000 for each of fiscal years 2023, 2024, and 2025. Such amount so obligated for a fiscal year shall remain available until expended..
(e)In addition to amounts otherwise available, there is appropriated to the Secretary of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $65,000,000, to remain available until expended, for purposes of carrying out the provisions of, and the amendments made by, this section, section 30602, and section 30603.
30602.Establishing a health insurance affordability fund
(a)Subtitle D of title I of the Patient Protection and Affordable Care Act is amended by inserting after section 1343 (42 U.S.C. 18063) the following new part:
6Improve Health Insurance Affordability Fund
1351.There is hereby established the Improve Health Insurance Affordability Fund
to be administered by the Secretary of Health and Human Services, acting through the Administrator of the Centers for Medicare & Medicaid Services (in this section referred to as the Administrator
), to provide funding, in accordance with this part, to the 50 States and the District of Columbia (each referred to in this section as a State
) beginning on January 1, 2023, for the purposes described in section 1352.
1352.
(a)A State shall use the funds allocated to the State under this part for one of the following purposes:
(1)To provide reinsurance payments to health insurance issuers with respect to individuals enrolled under individual health insurance coverage (other than through a plan described in subsection (b)) offered by such issuers.
(2)To provide assistance (other than through payments described in paragraph (1)) to reduce out-of-pocket costs, such as copayments, coinsurance, premiums, and deductibles, of individuals enrolled under qualified health plans offered on the individual market through an Exchange and of individuals enrolled under standard health plans offered through a basic health program established under section 1331.
(b)Exclusion of certain grandfathered plans, transitional plans, student health plans, and excepted benefitsFor purposes of subsection (a), a plan described in this subsection is the following:
(1)A grandfathered health plan (as defined in section 1251).
(2)A plan (commonly referred to as a transitional plan
) continued under the letter issued by the Centers for Medicare & Medicaid Services on November 14, 2013, to the State Insurance Commissioners outlining a transitional policy for coverage in the individual and small group markets to which section 1251 does not apply, and under the extension of the transitional policy for such coverage set forth in the Insurance Standards Bulletin Series guidance issued by the Centers for Medicare & Medicaid Services on March 5, 2014, February 29, 2016, February 13, 2017, April 9, 2018, March 25, 2019, January 31, 2020, and January 19, 2021, or under any subsequent extensions thereof.
(3)Student health insurance coverage (as defined in section 147.145 of title 45, Code of Federal Regulations, or any successor regulation).
(4)Excepted benefits (as defined in section 2791(c) of the Public Health Service Act).
1353.State eligibility and approval; Default safeguard
(a)Encouraging State options for allocations
(1)Subject to subsection (b), to be eligible for an allocation of funds under this part for a year (beginning with 2023), a State shall submit to the Administrator an application at such time (but, in the case of allocations for 2023, not later than 120 days after the date of the enactment of this part and, in the case of allocations for a subsequent year, not later than January 1 of the previous year) and in such form and manner as specified by the Administrator containing—
(A)a description of how the funds will be used; and
(B)such other information as the Administrator may require.
(2)An application so submitted is approved (as outlined in the terms of the plan) unless the Administrator notifies the State submitting the application, not later than 90 days after the date of the submission of such application, that the application has been denied for not being in compliance with any requirement of this part and of the reason for such denial.
(3)Subsequent year application approvalIf an application of a State is approved for a purpose described in section 1352 for a year, such application shall be treated as approved for such purpose for each of subsequent year through 2025.
(4)Oversight authority and authority to revoke approval
(A)The Secretary may conduct periodic reviews of the use of funds provided to a State under this section, with respect to a purpose described in section 1352, to ensure the State uses such funds for such purpose and otherwise complies with the requirements of this section.
(B)The approval of an application of a State, with respect to a purpose described in section 1352, may be revoked if the State fails to use funds provided to the State under this section for such purpose or otherwise fails to comply with the requirements of this section.
(b)Default Federal safeguard for 2023, 2024, and 2025 for certain States
(1)For 2023, 2024, and 2025, in the case of a State described in paragraph (5), with respect to such year, the State shall not be eligible to submit an application under subsection (a), and the Administrator, in consultation with the applicable State authority, shall from the amount calculated under paragraph (3) for such year, carry out the purpose described in paragraph (2) in such State for such year.
(2)The amount described in paragraph (3), with respect to a State described in paragraph (5) for 2023, 2024, or 2025, shall be used to carry out the purpose described in section 1352(a)(1) in such State for such year, as applicable, by providing reinsurance payments to health insurance issuers with respect to attachment range claims (as defined in section 1354(b)(2), using the dollar amounts specified in subparagraph (B) of such section for such year) in an amount equal to, subject to paragraph (4), the percentage (specified for such year by the Secretary under such subparagraph) of the amount of such claims.
(3)The amount described in this paragraph, with respect to 2023, 2024, or 2025, is the amount equal to the total sum of amounts that the Secretary would otherwise estimate under section 1354(b)(2)(A)(i) for such year for each State described in paragraph (5) for such year, as applicable, if each such State were not so described for such year.
(4)For purposes of this subsection, the Secretary may apply a percentage under paragraph (3) with respect to a year that is less than the percentage otherwise specified in section 1354(b)(2)(B) for such year, if the cost of paying the total eligible attachment range claims for States described in paragraph (5) for such year at such percentage otherwise specified would exceed the amount calculated under paragraph (3) for such year.
(5)A State described in this paragraph, with respect to years 2023, 2024, and 2025, is a State that, as of January 1 of 2022, 2023, or 2024, respectively, was not expending amounts under the State plan (or waiver of such plan) for all individuals described in section 1902(a)(10)(A)(i)(VIII) during such year.
1354.
(a)In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, $10,000,000,000 for 2023 and each subsequent year through 2025 to provide allocations for States under subsection (b) and payments under section 1353(b).
(b)
(1)
(A)From amounts appropriated under subsection (a) for a year, the Secretary shall, with respect to a State not described in section 1353(b) for such year and not later than the date specified under subparagraph (B) for such year, allocate for such State the amount determined for such State and year under paragraph (2).
(B)For purposes of subparagraph (A), the date specified in this subparagraph is—
(i)for 2023, the date that is 90 days after the date of the enactment of this part; and
(ii)for 2024 or 2025, January 1 of the previous year.
(C)Notifications of allocation amountsFor 2024 and 2025, the Secretary shall notify each State of the amount determined for such State under paragraph (2) for such year by not later than January 1 of the previous year.
(2)Allocation amount determinations
(A)For purposes of paragraph (1), the amount determined under this paragraph for a year for a State described in paragraph (1)(A) for such year is the amount equal to—
(i)the amount that the Secretary estimates would be expended under this part for such year on attachment range claims of individuals residing in such State if such State used such funds only for the purpose described in paragraph (1) of section 1352(a) at the dollar amounts and percentage specified under subparagraph (B) for such year; minus
(ii)the amount, if any, by which the Secretary determines—
(I)the estimated amount of premium tax credits under section 36B of the Internal Revenue Code of 1986 that would be attributable to individuals residing in such State for such year without application of this part; exceeds
(II)the estimated amount of premium tax credits under section 36B of the Internal Revenue Code of 1986 that would be attributable to individuals residing in such State for such year if section 1353(b) applied for such year and applied with respect to such State for such year.For purposes of the previous sentence and section 1353(b)(3), the term attachment range claims means, with respect to an individual, the claims for such individual that exceed a dollar amount specified by the Secretary for a year, but do not exceed a ceiling dollar amount specified by the Secretary for such year, under subparagraph (B).
(B)For purposes of subparagraph (A) and section 1353(b)(3), the Secretary shall determine the dollar amounts and the percentage to be specified under this subparagraph for a year in a manner to ensure that the total amount of expenditures under this part for such year is estimated to equal the total amount appropriated for such year under subsection (a) if such expenditures were used solely for the purpose described in paragraph (1) of section 1352(a) for attachment range claims at the dollar amounts and percentage so specified for such year.
(3)Funds allocated to a State under this subsection for a year shall remain available through the end of the subsequent year..
(b)Basic Health Program funding adjustmentsSection 1331 of the Patient Protection and Affordable Care Act (42 U.S.C. 18051) is amended—
(1)in subsection (a), by adding at the end the following new paragraph:
(3)Provision of information on qualified health plan premiums
(A)For plan years beginning on or after January 1, 2023, the program described in paragraph (1) shall provide that a State may not establish a basic health program unless such State furnishes to the Secretary, with respect to each qualified health plan offered in such State during a year that receives any reinsurance payment from funds made available under part 6 for such year, the adjusted premium amount (as defined in subparagraph (B)) for each such plan and year.
(B)Adjusted premium amount definedFor purposes of subparagraph (A), the term adjusted premium amount
means, with respect to a qualified health plan and a year, the monthly premium for such plan and year that would have applied had such plan not received any payments described in subparagraph (A) for such year.; and
(2)in subsection (d)(3)(A)(ii), by adding at the end the following new sentence: In making such determination, the Secretary shall calculate the value of such premium tax credits that would have been provided to such individuals enrolled through a basic health program established by a State during a year using the adjusted premium amounts (as defined in subsection (a)(3)(B)) for qualified health plans offered in such State during such year.
.
(c)The Secretary of Health and Human Services may implement the provisions of, and the amendments made by, this section by subregulatory guidance or otherwise.
30603.Funding for the provision of health insurance consumer informationSection 2793(e) of the Public Health Service Act (42 U.S.C. 300gg–93(e)) is amended by adding at the end the following new paragraph:
(3)Funding for 2022 through 2025In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, $100,000,000 for 2022, to remain available until expended, of which $25,000,000 shall be used for each of 2022 through 2025 to carry out this section..
30605.Cost-sharing reductions for individuals receiving unemployment compensationSection 1402(f) of the Patient Protection and Affordable Care Act (42 U.S.C. 18071(f)) is amended—
(1)in the header, by striking 2021
and inserting certain years
;
(2)in the matter preceding paragraph (1), by striking 2021
and inserting any of years 2021 through 2025
; and
(3)in paragraph (2), by striking 133 percent
and inserting 150 percent
.
F
1Investments in Home and Community-Based Services
30711.HCBS improvement planning grants
(a)
(1)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $130,000,000, to remain available until expended, for carrying out this section.
(2)Technical assistance and guidanceIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, for purposes of issuing guidance and providing technical assistance to States intending to apply for, or which are awarded, a planning grant under this section, and for other administrative expenses related to awarding planning grants under this section.
(b)
(1)Deadline for award of grantsFrom the amount appropriated under subsection (a)(1), the Secretary, not later than 12 months after the date of enactment of this Act, shall solicit State requests for HCBS improvement planning grants and award such grants to all States that meet such requirements as determined by the Secretary.
(2)Subject to paragraph (3), a State awarded a planning grant under this section shall use the grant to carry out planning activities for purposes of developing and submitting to the Secretary an HCBS improvement plan for the State that meets the requirements of subsections (c) and (d). A State may use planning grant funds to support activities related to the implementation of the HCBS improvement plan for the State, collect and report information described in subsection (c), identify areas for improvement to the service delivery systems for home and community-based services, carry out activities related to evaluating payment rates for home and community-based services and identifying improvements to update the rate setting process, and make related infrastructure investments (such as case management or other information technology systems).
(3)Limitation on use of fundsNone of the funds awarded to a State under this section may be used by a State as the source of the non-Federal share of expenditures under the State plan (or waiver of such plan).
(c)HCBS improvement plan requirementsIn order to meet the requirements of this subsection, an HCBS improvement plan developed using funds awarded to a State under this section shall include, with respect to the State and subject to subsection (d), the following:
(1)Existing Medicaid HCBS landscape
(A)A description of the existing standards, pathways, and methodologies for eligibility for home and community-based services pursuant to the State plan (or waiver of such plan), including limits on assets and income, the home and community-based services available under the State Medicaid program and the types of settings in which they may be provided, and utilization management standards for such services.
(B)
(i)A description of the barriers to accessing home and community-based services in the State identified by Medicaid eligible individuals, the families of such individuals, and direct care workers and home care agencies, or other similar organizations.
(ii)A summary, in accordance with guidance issued by the Secretary and as able to be practicably determined by the State, of the extent to which home and community-based services are available to all individuals in the State who would be eligible for such services under the State Medicaid program (including individuals who are on a waiting list for such services).
(C)An assessment of the utilization of home and community-based services in the State (including the number of individuals receiving such services) during such period specified by the Secretary.
(D)Service delivery structures and supportsA description of the service delivery structures for providing home and community-based services in the State.
(E)A description of the direct care workforce, including estimates of the number of full- and part-time direct care workers, the average and range of direct care worker wages, the benefits provided to direct care workers, and the turnover and vacancy rates of direct care worker positions.
(F)
(i)A description of the payment rates for home and community-based services, including, to the extent applicable, how payments for such services are factored into the development of managed care capitation rates, when the State last updated payment rates for home and community-based services, and an estimate of the portion of the payment rate that goes toward direct care worker compensation.
(ii)An assessment of the relationship between payment rates for such services and workforce shortages, average beneficiary wait times for such services, and provider-to-beneficiary ratios in the geographic region.
(G)A description of how the quality of home and community-based services is measured and monitored.
(H)Long-term services and supports provided in institutional settingsA description of the number of individuals enrolled in the State Medicaid program in a year who receive items and services furnished by an institution for greater than 30 days in an institutional setting.
(I)HCBS share of overall Medicaid LTSS spendingFor the most recent State fiscal year for which complete data is available, the percentage of expenditures made by the State under the State Medicaid program for long-term services and supports that are for home and community-based services.
(J)To the extent available and as applicable with respect to the information required under subparagraphs (B), (C), and (H), demographic data for such information, disaggregated by age groups, primary disability, income brackets, gender, race, ethnicity, geography, primary language, and type of service setting.
(2)Goals for HCBS improvementsA description of how the State will do the following:
(A)Conduct the activities required under subsection (jj) of section 1905 of the Social Security Act (as added under section 30712).
(B)Reduce barriers to and disparities in access or utilization of home and community-based services in the State.
(C)Monitor and report on access to home and community-based services under the State Medicaid program, disparities in access to such services, and the utilization of such services.
(D)Monitor and report the amount of State Medicaid expenditures for home and community-based services under the State Medicaid program as a proportion of the total amount of State expenditures under the State Medicaid program for long-term services and supports.
(E)Monitor and report on wages, benefits, and vacancy and turnover rates for direct care workers.
(F)Assess and monitor the sufficiency of payment rates under the State Medicaid program, in a manner specified by the Secretary, for the specific types of home and community-based services available under such program for purposes of supporting direct care worker recruitment and retention and ensuring the availability of home and community-based services.
(G)Coordinate implementation of the HCBS improvement plan among the State Medicaid agency, agencies serving individuals with disabilities, and agencies serving the elderly.
(d)Development and approval requirements
(1)In order to meet the requirements of this subsection, a State awarded a planning grant under this section shall develop an HCBS improvement plan for the State through a public notice and comment process that includes consultation with Medicaid eligible individuals who are recipients of home and community-based services, family caregivers of such recipients, providers, health plans, direct care workers, chosen representatives of direct care workers, and aging, disability, and workforce advocates.
(2)Authority to adjust certain plan content requirementsThe Secretary may modify the requirements for any of the information specified in subsection (c)(1) if a State requests a modification and demonstrates to the satisfaction of the Secretary that it is impracticable for the State to collect and submit the information.
(3)Not later than 24 months after the date on which a State is awarded a planning grant under this section, the State shall submit an HCBS improvement plan for approval by the Secretary, along with assurances by the State that the State will implement the plan in accordance with the requirements of the HCBS Improvement Program established under subsection (jj) of section 1905 of the Social Security Act (42 U.S.C. 1396d) (as added by section 30712). The Secretary shall approve and make publicly available the HCBS improvement plan for a State after the plan and such assurances are submitted to the Secretary for approval and the Secretary determines the plan meets the requirements of subsection (c). A State may amend its HCBS improvement plan, subject to the approval of the Secretary that the plan as so amended meets the requirements of subsection (c). The Secretary may withhold or recoup funds provided under this section to a State, if the State fails to comply with the requirements of this section.
(e)In the part:
(1)The term direct care worker means, with respect to a State, any of the following individuals who are paid to provide directly to Medicaid eligible individuals home and community-based services available under the State Medicaid program:
(A)A registered nurse, licensed practical nurse, nurse practitioner, or clinical nurse specialist, or a licensed nursing assistant who provides such services under the supervision of a registered nurse, licensed practical nurse, nurse practitioner, or clinical nurse specialist.
(B)A direct support professional.
(C)A personal care attendant.
(D)A home health aide.
(E)Any other paid health care professional or worker determined to be appropriate by the State and approved by the Secretary.
(2)HCBS program improvement StateThe term HCBS program improvement State means a State that is awarded a planning grant under subsection (b) and has an HCBS improvement plan approved by the Secretary under subsection (d)(3).
(3)The term health plan means any of the following entities that provide or arrange for home and community-based services for Medicaid eligible individuals who are enrolled with the entities under a contract with a State:
(A)A medicaid managed care organization, as defined in section 1903(m)(1)(A) of the Social Security Act (42 U.S.C. 1396b(m)(1)(A)).
(B)A prepaid inpatient health plan or prepaid ambulatory health plan, as defined in section 438.2 of title 42, Code of Federal Regulations (or any successor regulation).
(4)Home and community-based servicesThe term home and community-based services means any of the following (whether provided on a fee-for-service, risk, or other basis):
(A)Home health care services authorized under paragraph (7) of section 1905(a) of the Social Security Act (42 U.S.C. 1396d(a)).
(B)Private duty nursing services authorized under paragraph (8) of such section, when such services are provided in a Medicaid eligible individual’s home.
(C)Personal care services authorized under paragraph (24) of such section.
(D)PACE services authorized under paragraph (26) of such section.
(E)Home and community-based services authorized under subsections (b), (c), (i), (j), and (k) of section 1915 of such Act (42 U.S.C. 1396n), authorized under a waiver under section 1115 of such Act (42 U.S.C. 1315), or provided through coverage authorized under section 1937 of such Act (42 U.S.C. 1396u–7).
(F)Case management services authorized under section 1905(a)(19) of the Social Security Act (42 U.S.C. 1396d(a)(19)) and section 1915(g) of such Act (42 U.S.C. 1396n(g)).
(G)Rehabilitative services, including those related to behavioral health, described in section 1905(a)(13) of such Act (42 U.S.C. 1396d(a)(13)).
(H)Such other services specified by the Secretary.
(5)The term institutional setting means—
(A)a skilled nursing facility (as defined in section 1819(a) of the Social Security Act (42 U.S.C. 1395i–3(a)));
(B)a nursing facility (as defined in section 1919(a) of such Act (42 U.S.C. 1396r(a)));
(C)a long-term care hospital (as described in section 1886(d)(1)(B)(iv) of such Act (42 U.S.C. 1395ww(d)(1)(B)(iv)));
(D)a facility described in section 1905(d) of such Act (42 U.S.C. 1396d(d)));
(E)an institution which is a psychiatric hospital (as defined in section 1861(f) of such Act (42 U.S.C. 1395x(f))) or that provides inpatient psychiatric services in a residential setting specified by the Secretary; and
(F)an institution described in section 1905(i) of such Act (42 U.S.C. 1396d(i)).
(6)Medicaid eligible individualThe term Medicaid eligible individual means an individual who is eligible for and receiving medical assistance under a State Medicaid plan or a waiver of such plan. Such term includes an individual who is on a waiting list and who would become eligible for medical assistance and enrolled under a State Medicaid plan, or waiver of such plan, upon receipt of home and community-based services.
(7)The term State Medicaid program means, with respect to a State, the State program under title XIX of the Social Security Act (42 U.S.C. 1396 through 1396w-6) (including any waiver or demonstration under such title or under section 1115 of such Act (42 U.S.C. 1315) relating to such title).
(8)The term Secretary means the Secretary of Health and Human Services.
(9)The term State means each of the 50 States, the District of Columbia, Puerto Rico, the Virgin Islands, Guam, the Northern Mariana Islands, and American Samoa.
30712.
(a)Increased FMAP for HCBS program improvement StatesSection 1905 of the Social Security Act (42 U.S.C. 1396d) is amended—
(1)in subsection (b), by striking and (ii)
and inserting (ii), and (jj)
; and
(2)by adding at the end the following new subsection:
(jj)Additional support for HCBS program improvement States
(1)
(A)Subject to paragraph (5), in the case of a State that is an HCBS program improvement State, for each fiscal quarter that begins on or after the first date on which the State is an HCBS program improvement State—
(i)and for which the State meets the requirements described in paragraphs (2) and (4), notwithstanding subsection (b) or (ff), subject to subparagraph (B), with respect to amounts expended during the quarter by such State for medical assistance for home and community-based services, the Federal medical assistance percentage for such State and quarter (as determined for the State under subsection (b) and, if applicable, increased under subsection (y), (z), (aa), or (ii), section 6008(a) of the Families First Coronavirus Response Act), or section 1915(k)(2) shall be increased by 6 percentage points in addition to any percentage point increases pursuant to either such subsection (y), (z), (aa), or (ii), such section 6008(a), or such section 1915(k)(2); and
(ii)with respect to the State meeting the requirements described in paragraphs (2) and (4), notwithstanding sections 1903(a)(7) and 1903(a)(3), with respect to amounts expended during the quarter and before October 1, 2031, for administrative costs for expanding and enhancing home and community-based services, including for enhancing Medicaid data and technology infrastructure, modifying rate setting processes, adopting or improving training programs for direct care workers and family caregivers, home and community-based services ombudsman office activities, developing processes to identify direct care workers and assign such workers unique identifiers, and adopting, carrying out, or enhancing programs that register direct care workers or connect beneficiaries to direct care workers, the per centum specified in such sections 1903(a)(7) and 1903(a)(3) shall be increased to 80 percent.In no case may the application of clause (i) result in the Federal medical assistance percentage determined for a State being more than 95 percent with respect to such expenditures. In no case shall the application of clause (ii) result in a reduction to the per centum otherwise specified without application of such clause. Any increase pursuant to clause (ii) shall be available to a State before the State meets the requirements of paragraphs (2) and (4).
(B)Additional HCBS improvement effortsSubject to paragraph (5), in addition to the increase to the Federal medical assistance percentage under subparagraph (A)(i) for amounts expended during a quarter for medical assistance for home and community-based services by an HCBS program improvement State that meets the requirements of paragraphs (2) and (4) for the quarter, the Federal medical assistance percentage for amounts expended by the State during the quarter for medical assistance for home and community-based services shall be further increased by 2 percentage points (but not to exceed 95 percent) during the first 6 fiscal quarters throughout which the State has implemented and has in effect a program that meets the requirements of paragraph (3).
(C)Nonapplication of territorial funding capsAny payment made to Puerto Rico, the Virgin Islands, Guam, the Northern Mariana Islands, or American Samoa for expenditures that are subject to an increase in the Federal medical assistance percentage under subparagraph (A)(i) or (B), or an increase in an applicable Federal matching percentage under subparagraph (A)(ii), shall not be taken into account for purposes of applying payment limits under subsections (f) and (g) of section 1108.
(D)Nonapplication to CHIP EFMAPAny increase described in subparagraph (A) (or payment made for expenditures on medical assistance that are subject to such increase) shall not be taken into account in calculating the enhanced FMAP of a State under section 2105.
(2)Subject to the last sentence of paragraph (1)(A), as conditions for receipt of the increase under paragraph (1) to the Federal medical assistance percentage determined for a State, with respect to a fiscal year quarter, the State shall meet each of the following requirements:
(A)The State uses the Federal funds attributable to the increase in the Federal medical assistance percentage for amounts expended during a quarter for medical assistance for home and community-based services under paragraph (1)(A) and paragraph (1)(B) (if applicable) to supplement, and not supplant, the level of State funds expended for home and community-based services for eligible individuals through programs in effect as of the date the State is awarded a planning grant under section 30711 of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
. In applying this subparagraph, the Secretary shall provide that a State shall have a 3-year period, as specified by the Secretary, to spend any accumulated unspent State funds attributable to the increase described in clause (i) in the Federal medical assistance percentage.
(B)
(i)The State does not—
(I)reduce the amount, duration, or scope of home and community-based services available under the State plan (or waiver of such plan) relative to the home and community-based services available under the plan or a waiver of such plan as of the date on which the State was awarded a planning grant under section 30711 of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
;
(II)reduce payment rates for home and community-based services lower than such rates that were in place as of the date described in subclause (I), including, to the extent applicable, assumed payment rates for such services that are included in managed care capitation rates as such rates are being prospectively built; or
(III)except to the extent permitted under clause (ii), adopt more restrictive standards, methodologies, or procedures for determining eligibility for or the scope of medical assistance of home and community-based services, including with respect to cost-sharing, than the standards, methodologies, or procedures applicable as of the date described in subclause (I).
(ii)Conditions for flexibilityA State may make modifications that would otherwise violate the maintenance of effort described in clause (i) if the State demonstrates to the satisfaction of the Secretary that such modifications shall not result in—
(I)home and community-based services that are less comprehensive or lower in amount, duration, or scope;
(II)fewer individuals (overall and within particular eligibility groups) receiving home and community-based services, the calculation of which may be adjusted for demographic changes since the date described in clause (i)(I); or
(III)increased cost-sharing (other than resulting from the rate of inflation) for home and community-based services.
(C)Not later than an implementation date as specified by the Secretary (which may vary for each of the following clauses) after the first day of the first fiscal quarter for which a State receives an increase to the Federal medical assistance percentage or other applicable Federal matching percentage under paragraph (1), the State does all of the following to improve access to services:
(i)Reduce access barriers and disparities in access or utilization of home and community-based services, as described in the State HCBS improvement plan.
(ii)Provides coverage of personal care services authorized under subsection (a)(24) for all individuals eligible for and enrolled in medical assistance in the State.
(iii)Provides for navigation of home and community-based services through no wrong door
programs, provides expedited eligibility for home and community-based services, and improves home and community-based services counseling and education programs.
(iv)Expands access to behavioral health services furnished in home and community-based settings.
(v)Improves coordination of home and community-based services with employment, housing, and transportation supports.
(vi)Provides supports to family caregivers.
(vii)Newly provides coverage under, or expands existing eligibility criteria for, 1 or more of the eligibility categories authorized under subclause (XIII), (XV), or (XVI) of section 1902(a)(10)(A)(ii).
(D)
(i)The State strengthens and expands the direct care workforce that provides home and community-based services by—
(I)adopting processes to ensure that payment rates for home and community-based services are sufficient (as defined by the Secretary) to ensure that care and services are available to the extent described in the State HCBS improvement plan; and
(II)updating qualification standards as appropriate, and developing and adopting training opportunities for direct care workers and family caregivers, at such time as the Secretary shall prescribe.
(ii)In carrying out clause (i)(I), the State shall—
(I)update and, as appropriate, increase payment rates for home and community-based services to support recruitment and retention of the direct care workforce by not later than 2 years after approval of the HCBS improvement plan and, at least every 3 years thereafter, using, through existing or other processes to determine provider payment, a transparent process involving meaningful input from nongovernmental stakeholders; and
(II)ensure that increases in the payment rates for home and community-based services—
- (aa)at a minimum, result in a proportionate increase to payments for direct care workers and in a manner that is determined with input from the stakeholders described in subclause (I); and
- (bb)are incorporated into provider payment rates for home and community-based services provided under this title by a health plan, under a contract and paid through capitation rates with the State.
(3)Self-directed models for the delivery of servicesAs conditions for receipt of the increase under paragraph (1)(B) to the Federal medical assistance percentage determined for a State, with respect to a fiscal year quarter, the State shall establish directly, or by contract with 1 or more entities, including an agency with choice or a similar service delivery model, a program for the performance of all of the following functions to facilitate beneficiary use of self-directed care in the case the State covers home and community-based services under authorities that permit self-direction:
(A)Registering qualified direct care workers and assisting beneficiaries in finding direct care workers.
(B)Undertaking activities to recruit and train independent providers to enable beneficiaries to direct their own care, including by providing or coordinating training for beneficiaries on self-directed care.
(C)Ensuring the safety of, and supporting the quality of, care provided to beneficiaries.
(D)Facilitating coordination between State and local agencies and direct care workers for matters of public health, training opportunities, changes in program requirements, workplace health and safety, or related matters.
(E)Supporting beneficiary hiring, if selected by the beneficiary, of independent providers of home and community-based services, including by processing applicable tax information, collecting and processing timesheets, submitting claims and processing payments to such providers.
(F)To the extent a State permits beneficiaries to hire a family member or individual with whom they have an existing relationship to provide home and community-based services, providing support to beneficiaries who wish to hire a caregiver who is a family member or individual with whom they have an existing relationship.
(G)Ensuring that the program under this paragraph does not promote or prevent the ability of workers to form a labor organization or discriminate against workers who may join or decline to join such an organization.
(4)As conditions for receipt of the increase under paragraph (1) to the Federal medical assistance percentage determined for a State, with respect to a fiscal year quarter, the State shall meet each of the following requirements:
(A)The State designates (by a date specified by the Secretary) an HCBS ombudsman (or a long-term care ombudsman program office) that—
(i)operates independently from the State Medicaid agency and managed care entities;
(ii)provides direct assistance to recipients of home and community-based services available under the State Medicaid program and their families; and
(iii)identifies and reports systemic problems to State officials, the public, and the Secretary.
(B)Beginning with the last day of the 5th fiscal quarter for which the state is an HCBS program improvement State, and annually thereafter, the State reports to the Secretary, in a manner the Secretary shall prescribe, on the progress of implementation of the activities described in subparagraphs (C) and (D) of paragraph (2), paragraph (3) (if applicable), the use of enhanced Federal funding provided under this subsection, and progress with respect to service availability, utilization, disparities in access and use of services, spending on HCBS, and the status of the direct care workforce.
(5)Benchmarks for demonstrating improvementsAn HCBS program improvement State shall cease to be eligible for an increase in the Federal medical assistance percentage under paragraph (1)(A)(i) or (1)(B) or an increase in an applicable Federal matching percentage under paragraph (1)(A)(ii) on or after the first date on which a State is an HCBS program improvement State if the State is found to be out of compliance with the requirements of this subsection and unless, at the end of the 29th fiscal quarter, the State demonstrates the following in the annual report required in paragraph (4) for such quarter:
(A)Increased availability (above a marginal increase) of home and community-based services in the State relative to such availability as reported in the State HCBS improvement plan and adjusted for demographic changes in the State since the submission of such plan.
(B)With respect to the percentage of expenditures made by the State for long-term services and supports that are for home and community-based services, in the case of an HCBS program improvement State for which such percentage (as reported in the State HCBS improvement plan) was—
(i)less than 50 percent, the State demonstrates that the percentage of such expenditures has increased to at least 50 percent since the plan was approved; and
(ii)at least 50 percent, the State demonstrates that such percentage has not decreased since the plan was approved.
(6)In this subsection, the terms State Medicaid plan
, direct care worker, HCBS program improvement State, health plan
; and home and community-based services have the meaning given those terms in section 30711(e) of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
..
30713.Funding for Federal activities related to Medicaid HCBSIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available until expended, to carry out section 30712 (including the amendments made by such section), including by issuing necessary guidance and technical assistance to States, conducting program integrity and oversight efforts, and preparing and submitting to the Committee on Energy and Commerce of the House of Representatives and the Committee on Finance of the Senate, beginning 5 years after the date of the enactment of this Act and every three years thereafter, a report describing the progress of the HCBS planning and improvement activities undertaken by States as applicable and as described in sections 30711 and 30712 (including the amendments made by such sections), and describing the impact of such activities on access to care, including with respect to disparities in access and utilization, and the direct care workforce.
30714.Funding for HCBS quality measurement and improvement
(a)Increased Federal matching rate for adoption and reporting of HCBS quality measures
(1)Section 1903(a)(3) of the Social Security Act (42 U.S.C. 1396b(a)(3)) is amended—
(A)in subparagraph (F)(ii), by striking plus
after the semicolon and inserting and
; and
(B)by inserting after subparagraph (F), the following:
(G)80 percent of so much of the sums expended during such quarter as are attributable to the reporting of information regarding the quality of home and community-based services in accordance with sections 1139A(a)(4)(B)(ii) and 1139B(b)(3)(C); and.
(2)Exemption from territories’ payment limitsSection 1108(g)(4) of the Social Security Act is amended by adding at the end the following new subparagraph:
(C)Additional exemption relating to HCBS quality reportingPayments under section 1903(a)(3)(G) shall not be taken into account in applying payment limits under subsections (f) and (g) of this subsection. .
(b)HCBS quality measures for increaseTitle XI of the Social Security Act (42 U.S.C. 1301 through 1320e–3) is amended—
(1)in section 1139A—
(A)in subsection (a)(4)(B)—
(i)by striking Beginning with the annual State report on fiscal year 2024
and inserting the following:
(i)Subject to clause (ii), beginning with the annual State report on fiscal year 2024; and
(ii)by adding at the end the following new clause:
(ii)Reporting HCBS quality measuresWith respect to reporting on information regarding the quality of home and community-based services provided to children under title XIX or title XXI, beginning with the annual State report required under subsection (c)(1) for the first fiscal year that begins on or after the date that is 2 years after the date that the Secretary publishes the home and community-based services quality measures developed under subsection (b)(5)(B) the Secretary shall require States to report such information using the standardized format for reporting information and procedures developed under subparagraph (A) and using all such home and community-based quality measures developed under subsection (b)(5) (including any updates or changes to such measures).; and
(B)in subsection (b)(5)—
(i)by striking Beginning no later than January 1, 2013
and inserting the following:
(A)Beginning no later than January 1, 2013; and
(ii)by adding at the end the following new subparagraph:
(B)Beginning with the first year that begins on the date that is 2 years after the date of enactment of this subparagraph (or, in the case of measures that require development and testing prior to availability, not later than 4 years after the date of enactment of this subparagraph), the requirements of subparagraph (A) shall apply, and the core measures described in subsection (a) (and any updates or changes to such measures) shall include home and community-based services, and quality measures developed by the Secretary. The Secretary shall ensure that such measures reflects the full array of home and community-based services, and consult with nongovernmental stakeholders with expertise in home and community-based services (including recipients and providers of such services).;
(C)in subsection (b)(6)—
(i)by inserting or support services
before that is capable of
;
(ii)by striking and ambulatory health care settings
and inserting , ambulatory health care, and home and community-based settings
; and
(iii)by inserting and home and community-based
before care system
; and
(D)in subsection (c)(1), in the matter preceding subparagraph (A), by inserting , subject to subsection (a)(4)(B)(ii),
before annually report
; and
(2)in section 1139B—
(A)in subsection (b)—
(i)in paragraph (3), by adding at the end the following new subparagraph:
(C)Mandatory reporting with respect to HCBS quality measuresBeginning with the State report required under subsection (d)(1) for the first year that begins on or after the date that is 2 years after the date that the Secretary publishes the home and community-based quality measures developed under paragraph (5)(D), the Secretary shall require States to report information, using the standardized format for reporting information and procedures developed under subparagraph (A), regarding the quality of home and community-based services for Medicaid eligible adults using all of the home and community-based services quality measures included in the core set of adult health quality measures under paragraph (5)(D), and any updates or changes to such measures.; and
(ii)in paragraph (5), by adding at the end the following new subparagraph:
(D)
(i)In addition to amounts otherwise available, there is appropriated to the Secretary, for fiscal year 2022, to be available until expended, out of any money in the Treasury not otherwise appropriated, $22,000,000, for carrying out this subparagraph.
(ii)Inclusion of HCBS quality measuresBeginning with respect to State reports required under subsection (d)(1) for the first year that begins on or after the date that is 2 years after the date of enactment of this subparagraph (or, in the case of measures that require development and testing prior to availability, not later than 4 years after the date of enactment of this subparagraph) the core set of adult health quality measures maintained under this paragraph (and any updates or changes to such measures) shall include home and community-based services quality measures developed in accordance with this subparagraph.
(iii)
(I)In developing, reviewing and updating the home and community-based services quality measures included in the core set of adult health quality measures maintained under this paragraph, the Secretary shall consult with nongovernmental stakeholders with expertise in home and community-based services (including recipients and providers of such services) and ensure such measures reflect the full array of home and community-based services and recipients of such services
(II)For purposes of this section and section 1139A, the terms home and community-based services, and direct care worker have the meanings given those terms in section 30711(e) of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
.; and
(B)in subsection (d)(1)(A), by striking ; and
and inserting and, beginning with the report for the first year that begins after the date that is 2 years after the Secretary publishes the home and community-based quality measures developed under subsection (b)(5)(D), all home and community-based services quality measures included in the core set of adult health quality measures maintained under subsection (b)(5) and any updates or changes to such measures; and
.
30715.Permanent extension of Medicaid protections against spousal impoverishment for recipients of home and community-based services
(a)Section 1924(h)(1)(A) of the Social Security Act (42 U.S.C. 1396r–5(h)(1)(A)) is amended by striking (at the option of the State) is described in section 1902(a)(10)(A)(ii)(VI)
and inserting the following: is eligible for medical assistance for home and community-based services provided under subsection (c), (d), or (i) of section 1915 or under a waiver approved under section 1115, or who is eligible for such medical assistance by reason of being determined eligible under section 1902(a)(10)(C) or by reason of section 1902(f) or otherwise on the basis of a reduction of income based on costs incurred for medical or other remedial care, or who is eligible for medical assistance for home and community-based attendant services and supports under section 1915(k)
.
(b)Section 2404 of the Patient Protection and Affordable Care Act (42 U.S.C. 1396r–5 note) is amended by striking September 30, 2023
and inserting the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
.
30716.Permanent extension of Money Follows the Person Rebalancing demonstration
(a)Subsection (h) of section 6071 of the Deficit Reduction Act of 2005 (42 U.S.C. 1396a note) is amended—
(1)in paragraph (1)—
(A)in subparagraph (I), by inserting and
after the semicolon;
(B)by amending subparagraph (J) to read as follows:
(J)$450,000,000 for each fiscal year after fiscal year 2021.; and
(C)by striking subparagraph (K);
(2)in paragraph (2), by striking September 30, 2023
and inserting September 30 of the subsequent fiscal year
; and
(3)by adding at the end the following new paragraph:
(3)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022 and for each subsequent 3-year period, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until expended, for carrying out subsections (f), (g), and (i)..
(b)Redistribution of unexpended grant awardsSubsection (e)(2) of section 6071 of the Deficit Reduction Act of 2005 (42 U.S.C. 1396a note) is amended by adding at the end the following new sentence: Any portion of a State grant award for a fiscal year under this section that is unexpended by the State at the end of the fourth succeeding fiscal year shall be rescinded by the Secretary and added to the appropriation for the fifth succeeding fiscal year.
.
2
30721.Investments to ensure continued access to health care for children, pregnant individuals, and other individuals
(a)Extending continuous coverage for pregnant and postpartum individuals
(1)
(A)Requiring full benefits for pregnant and postpartum individuals for 12-month period post pregnancy
(i)Paragraph (5) of section 1902(e) of the Social Security Act (42 U.S.C. 1396a(e)) is amended—
(I)by striking (5) A woman who
and inserting (5)(A) For any fiscal year quarter (beginning with the first fiscal year quarter beginning one year after the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
) with respect to which subparagraph (B) does not apply, an individual who
; and
(II)by adding at the end the following new subparagraph:
(B)For any fiscal year quarter (beginning with the first fiscal year quarter beginning one year after the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
), any individual who, while pregnant, is eligible for and received medical assistance under the State plan or a waiver of such plan (regardless of the basis for the individual’s eligibility for medical assistance and including during a period of retroactive eligibility under subsection (a)(34)), shall remain eligible, notwithstanding section 1916(c)(3) or any other limitation under this title, for medical assistance through the end of the month in which the 12-month period (beginning on the last day of pregnancy of the individual) ends, and such medical assistance shall be in accordance with clauses (i) and (ii) of paragraph (16)(B). .
(ii)Title XIX of the Social Security Act (42 U.S.C. 1396 through 1396w-6) is amended—
(I)in section 1902(a)(10), in the matter following subparagraph (G), by striking (VII) the medical assistance
and all that follows through , (VIII)
and inserting (VIII)
;
(II)in section 1902(e)(6), by striking In the case of
and inserting For any fiscal year quarter with respect to which paragraph (5)(B) does not apply, in the case of
;
(III)in section 1902(l)(1)(A), by striking 60-day period
and inserting 12-month period (or, for any fiscal year quarter with respect to which subsection (e)(5)(B) does not apply and for which the State has not adopted the option under section 1902(e)(16)(A), 60-day period)
;
(IV)in section 1903(v)(4)—
- (aa)in subparagraph (A)(i), by striking
the 60-day period
and inserting the applicable period (as described in subparagraph (D))
;
- (bb)in subparagraph (A)(ii), by striking the period at the end and inserting the following:
and including—
(I)for any fiscal year quarter (beginning with the first fiscal year quarter beginning one year after the date of the enactment of the American Rescue Plan of 2021) with respect to which section 1902(e)(5)(B) does not apply, an individual to whom section 1902(e)(5)(A) applies, in accordance with such section 1902(e)(5)(A), as applicable pursuant to section 1902(e)(16)(A); and;
- (cc)in subparagraph (A)(ii), as amended by item (bb), by adding at the end the following new subclause:
(II)for any fiscal year quarter (beginning with the first fiscal year quarter beginning one year after the date of the enactment of the Act titled
An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
), an individual to whom section 1902(e)(5)(B) applies, in accordance with such section, through the end of the month in which the 12-month period (beginning on the last day of pregnancy of the individual) ends.;
- (dd)by adding at the end the following new subparagraph:
(D)For purposes of subparagraph (A), the applicable period described in this subparagraph is—
(i)beginning with the first fiscal year quarter that begins one year after the date of the enactment of the American Rescue Plan of 2021, for a State that has adopted the option under section 1902(e)(16)(A), the 12-month period;; and
- (ee)in the subparagraph (D) added by item (dd), by adding at the end the following new clauses:
(ii)beginning with the first fiscal year quarter beginning one year after the date of the enactment of the Act titled
An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
, the 12-month period; and
(iii)for any fiscal year quarter (beginning with such first fiscal year quarter) with respect to which section 1902(e)(5)(B) does not apply and for which the State has not adopted the option under section 1902(e)(16)(A), the 60-day period.;
(V)in section 1905(a), in the 4th sentence in the matter following paragraph (31), by striking 60-day period
and inserting 12-month period (or, for any fiscal year quarter with respect to which section 1902(e)(5)(B) does not apply and for which the State has not adopted the option under section 1902(e)(16)(A), 60-day period)
; and
(VI)in section 1905(y)(2), by adding at the end the following new subparagraph:
(C)Treatment for certain indvidualsNotwithstanding subparagraph (A) of this paragraph, section 1902(a)(10)(A)(i)(III), and section 1902(a)(10)(A)(i)(IV), the term newly eligible
shall apply to individuals who but for the amendment made by section 30721(a)(1)(A)(i)(II) of the Act titled ‘An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14’ would be eligible under the State plan (or waiver) for medical assistance under section 1902(a)(10)(A)(i)(VIII) for the period beginning on the first day occurring after the end of such 60-day period and ending on the last day of the month in which the 12-month period (beginning on the last day of her pregnancy) ends..
(B)Transition from State option
(i)Section 1902(e)(16)(A) of the Social Security Act (42 U.S.C. 1396a(e)(16)(A)) is amended by striking At the option of the State
and inserting For any fiscal year quarter with respect to which paragraph (5)(B) does not apply, at the option of the State
.
(ii)Section 9812 of the American Rescue Plan of 2021 (Public Law 117–2) is amended by striking during the 5-year period
.
(C)
(i)Subject to clauses (i) and (ii), the amendments made by this paragraph shall take effect on the 1st day of the 1st fiscal year quarter that begins one year after the date of the enactment of this Act and shall apply with respect to medical assistance provided on or after such date.
(ii)Exception for certain American Rescue Plan of 2021 conforming amendmentsThe amendments made by items (aa), (bb), and (dd) of subparagraph (A)(ii)(IV) shall take effect on the first day of the first fiscal year quarter that begins one year after the date of the enactment of the American Rescue Plan of 2021 and shall apply with respect to medical assistance provided on or after such date.
(iii)Exception for State legislationIn the case of a State plan under title XIX of the Social Security Act (42 U.S.C. 1396 through 1396w-6) that the Secretary of Health and Human Services determines requires State legislation in order for the plan to meet any requirement imposed by amendments made by this paragraph, the plan shall not be regarded as failing to comply with the requirements of such title solely on the basis of its failure to meet such a requirement before the first day of the first calendar quarter beginning after the close of the first regular session of the State legislature that begins after the date of the enactment of this Act. For purposes of the previous sentence, in the case of a State that has a 2-year legislative session, each year of the session shall be considered to be a separate regular session of the State legislature.
(2)
(A)Requiring full benefits for pregnant and postpartum women for 12-month period post pregnancy
(i)Section 2107(e)(1)(J) of the Social Security Act (42 U.S.C. 1397gg(e)(1)(J)) is amended—
(I)by striking Paragraphs (5) and (16)
and inserting (i) For any fiscal year quarter with respect to which paragraph (5)(B) does not apply, paragraphs (5)(A) and (16)
; and
(II)by adding at the end the following new clause:
(ii)For any fiscal year quarter (beginning with the first fiscal year quarter beginning one year after the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
), section 1902(e)(5)(B) (requiring, notwithstanding section 2103(e)(3)(C)(ii)(I) or any other limitation under this title, continuous coverage for pregnant and postpartum individuals, including 12 months postpartum, of medical assistance) if the State provides child health assistance for targeted low-income children or to targeted low-income pregnant women, under the State child health plan or waiver, including coverage of all items or services provided to a targeted low-income child or targeted low-income pregnant woman (as applicable) under the State child health plan or waiver)..
(ii)Section 2112 of the Social Security Act (42 U.S.C. 1397ll) is amended—
(I)in subsection (d)—
- (aa)in paragraph (1), by inserting
and includes, through application of section 1902(e)(5)(B) pursuant to section 2107(e)(1)(J)(ii), continuous coverage for pregnant and postpartum individuals, including 12 months postpartum, of assistance
before the period at the end; and
- (bb)in paragraph (2)(A), by striking
60-day period
and all that follows through ends
and inserting 12-month period (or, for any fiscal year quarter (beginning with the first fiscal year quarter beginning one year after the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
) with respect to which section 2107(e)(1)(J)(ii) does not apply and for which the State has not adopted the option under section 1902(e)(16)(A), 60-day period) ends
; and
(II)in subsection (f)(2), by striking 60-day period
and inserting 12-month period (or, for any fiscal year quarter (beginning with the first fiscal year quarter beginning one year after the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
) with respect to which section 2107(e)(1)(J)(ii) does not apply and for which the State has not adopted the option under section 1902(e)(16)(A), 60-day period)
.
(B)Transition from State plan optionSection 9822(b) of the American Rescue Plan Act of 2021 (Public Law 117–2) is amended by striking 5-year period
.
(C)
(i)Subject to clause (ii), the amendments made by this paragraph shall take effect on the 1st day of the 1st fiscal year quarter that begins one year after the date of the enactment of this Act and shall apply with respect to child health assistance and pregnancy-related assistance, as applicable, provided on or after such date.
(ii)Exception for State legislationIn the case of a State child health plan under title XXI of the Social Security Act (42 U.S.C. 1397aa through 1397mm) that the Secretary of Health and Human Services determines requires State legislation in order for the plan to meet any requirement imposed by amendments made under this paragraph, the plan shall not be regarded as failing to comply with the requirements of such title solely on the basis of its failure to meet such a requirement before the first day of the first calendar quarter beginning after the close of the first regular session of the State legislature that begins after the date of the enactment of this Act. For purposes of the previous sentence, in the case of a State that has a 2-year legislative session, each year of the session shall be considered to be a separate regular session of the State legislature.
(b)Providing for 1 year of continuous eligibility for children
(1)Under the Medicaid program
(A)Section 1902(e) of the Social Security Act (42 U.S.C. 1396a(e)) is amended—
(i)in paragraph (12), by inserting before the date that is one year after the date of the enactment of paragraph (17)
after subsection (a)(10)(A)
; and
(ii)by adding at the end following new paragraph:
(17)1 year of continuous eligibility for childrenThe State plan (or waiver of such State plan) shall provide that an individual who is under the age of 19 and who is determined to be eligible for benefits under a State plan (or waiver of such plan) approved under subsection (a)(10)(A) shall remain eligible for such benefits until the earlier of—
(A)the end of the 12-month period beginning on the date of such determination;
(B)the time that such individual attains the age of 19; or
(C)the date that such individual ceases to be a resident of such State..
(B)
(i)Subject to clause (ii), the amendments made by subparagraph (A)(ii) shall take effect one year after the date of enactment of this Act.
(ii)Exception for State legislationIn the case of a State plan under title XIX of the Social Security Act (42 U.S.C. 1396 through 1396w-6) that the Secretary of Health and Human Services determines requires State legislation in order for the plan to meet any requirement imposed by amendments made under subparagraph (A)(ii), the plan shall not be regarded as failing to comply with the requirements of such title solely on the basis of its failure to meet such a requirement before the first day of the first calendar quarter beginning after the close of the first regular session of the State legislature that begins after the date of the enactment of this Act. For purposes of the previous sentence, in the case of a State that has a 2-year legislative session, each year of the session shall be considered to be a separate regular session of the State legislature.
(2)Under the children’s health insurance programSection 2107(e)(1) of the Social Security Act (42 U.S.C. 1397gg(e)(1)) is amended—
(A)by redesignating subparagraphs (K) through (T) as subparagraphs (L) through (U), respectively; and
(B)by inserting after subparagraph (J) the following new subparagraph:
(K)Section 1902(e)(17) (relating to 1 year of continuous eligibility for children)..
(c)Revisions to temporary increase of Medicaid FMAP under the Families First Coronavirus Response ActSection 6008 of the Families First Coronavirus Response Act (42 U.S.C. 1396d note) is amended—
(1)in subsection (a)—
(A)by striking In general.—Subject to
and inserting
Temporary increase.—
(1)Subject to;
(B)in the paragraph (1) inserted by subparagraph (A)—
(i)by striking the last day of the calendar quarter in which the last day of such emergency period occurs
and inserting September 30, 2022
; and
(ii)by striking 6.2 percentage points
and inserting the number of percentage points specified in paragraph (2) with respect to such calendar quarter
; and
(C)by adding at the end the following new paragraph:
(2)Percentage points specifiedFor purposes of paragraph (1), the number of percentage points specified in this paragraph is—
(A)6.2 percentage points with respect to each calendar quarter occurring during the period beginning on the first day of the emergency period defined in paragraph (1)(B) of section 1135(g) of the Social Security Act (42 U.S.C. 1320b-5(g)) and ending March 31, 2022;
(B)3.0 percentage points with respect to the calendar quarter beginning on April 1, 2022, and ending on June 30, 2022; and
(C)1.5 percentage points with respect to the calendar quarter beginning on July 1, 2022, and ending on September 30, 2022.;
(2)in subsection (b)(3)—
(A)by striking the State fails
and inserting subject to subsection (f), the State fails
;
(B)by striking and ending the last day of the month in which the emergency period described in subsection (a) ends
and inserting and ending on March 31, 2022,
; and
(C)by striking through the end of the month in which such emergency period ends
and inserting through September 30, 2022,
;
(3)by redesignating the second subsection (d), as added by section 11 of division X of the Consolidated Appropriations Act, 2021 (Public Law 116–260), as subsection (e); and
(4)by adding at the end the following new subsection:
(f)Special rule for enrollments as of April 1, 2022For calendar quarters during the period described in subsection (a) that begin on or after April 1, 2022, a State described in such subsection may, in accordance with paragraph (3), terminate coverage for an individual who is determined to be no longer eligible for medical assistance and who has been enrolled for at least 12 consecutive months under the State plan of such State under title XIX of the Social Security Act (42 U.S.C. 1396) (or waiver of such plan), and such State shall not be ineligible for the increase to the Federal medical assistance percentage of the State described in such subsection on the basis that the State is in violation of the requirement of subsection (b)(3), if the State, with respect to such terminations of coverage conducted through September 30, 2022, for such individuals, is in compliance with each of the following:
(1)The State shall conduct such eligibility redeterminations, with respect to such an individual, in accordance with the provisions of section 435.916 of title 42 of the Code of Federal Regulations (or any successor regulation), based on the current circumstances of such individual.
(2)In the case of such an individual, the State shall assess whether the individual is eligible for all categories under the State plan (or waiver).
(3)In the case of such an individual determined ineligible pursuant to such a redetermination of medical assistance under the State plan (or waiver) for all eligibility categories under the State plan (or waiver), the State shall comply with the requirements of section 1943 of the Social Security Act (42 U.S.C. 1396w–3), including that the State shall determine potential eligibility for, and as appropriate, transfer via a secure electronic interface the individual’s electronic account to, other insurance affordability programs.
(4)Prior to terminating coverage for an individual, the State shall undertake a good faith effort to ensure that the State has contact information (including an up-to-date mailing address, phone number, or email address) for such individuals by confirming with Medicaid managed care organizations (where applicable), and other applicable State health and human services agencies.
(5)The State may not disenroll from the State plan (or waiver) such an individual determined ineligible pursuant to such a redetermination for medical assistance under the State plan (or waiver) on the basis of returned mail unless—
(A)there have been at least two failed attempts to contact such individual; and
(B)after the second attempt, the individual had 30 days notice before such disenrollment takes effect.
(6)The State may not initiate such eligibility redeterminations for more than 1/12 of such individuals enrolled in the State plan (or waiver) with respect to any month during the period beginning on April 1, 2022, and ending on September 30, 2022.
(7)The State shall submit to the Secretary monthly reports during the period described in subsection (a) that begin on or after April 1, 2022 which the State receives an increase pursuant to such subsection period on the activities of the State, including, with respect to the period for which the report is submitted—
(A)the number of cases of such eligibility redeterminations conducted by the State during such period in which the eligibility of such an individual for medical assistance under the State plan (or waiver) was renewed and the number of cases of such eligibility redeterminations so conducted during such period in which the eligibility of such an individual for medical assistance under the State plan (or waiver) was terminated;
(B)the number of such cases in which eligibility for medical assistance under the State plan (or waiver) were so terminated pursuant to such a redetermination due to insufficient documentation related to verification of eligibility;
(C)the number of such cases in which eligibility for medical assistance under the State plan (or waiver) were so terminated pursuant to such a redetermination due to a known change in circumstance;
(D)the number of individuals whose coverage was terminated pursuant to such a redetermination who, during such period, transferred to a qualified health plan through an Exchange, CHIP, or basic health program pursuant to paragraph (3); and
(E)with respect to eligibility redeterminations, the average volume, wait times, and abandonment rate (as determined by the Secretary) for each call center during such month..
(d)Allowing for medical assistance under Medicaid for inmates during 30-day period preceding release
(1)The subdivision (A) following paragraph (31) of section 1905(a) of the Social Security Act (42 U.S.C. 1396d(a)) is amended by inserting and, beginning on the first day of the first fiscal year quarter that begins two years after the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
, except during the 30-day period preceding the date of release of an inmate of a public institution
after medical institution
.
(2)Section 1902(a) of the Social Security Act (42 U.S.C. 1396a(a)) is amended—
(A)in paragraph (74), by striking at the end and
; and
(B)in paragraph (84)—
(i)in subparagraph (A), by inserting , except, beginning on the first day of the first fiscal year quarter that begins two years after the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
, the State may not suspend coverage during the 30-day period preceding the expected date of release of the juvenile
after during the period the juvenile is such an inmate
; and
(ii)in subparagraph (C), by striking upon release
and inserting 30 days prior to release
.
(e)Extension of certain provisions
(1)Express lane eligibility optionSection 1902(e)(13) of the Social Security Act (42 U.S.C. 1396a(e)(13)) is amended by striking subparagraph (I).
(2)Conforming amendments for assurance of affordability standard for children and familiesSection 1902(gg)(2) of the Social Security Act (42 U.S.C. 1396a(gg)(2)) is amended—
(A)in the paragraph heading, by striking through September 30, 2027
; and
(B)by striking through September 30
and all that follows through ends on September 30, 2027
and inserting (but beginning on October 1, 2019,
.
(f)State option to provide coordinated care through a maternal health home for pregnant and postpartum individualsTitle XIX of the Social Security Act (42 U.S.C. 1396a) is amended by inserting after section 1945A the following new section:
1945B.State option to provide coordinated care through a maternal health home for pregnant and postpartum individuals
(a)Notwithstanding section 1902(a)(1) (relating to statewideness) and section 1902(a)(10)(B) (relating to comparability), beginning 24 months after the date of enactment of this section, a State, at its option as a State plan amendment, may provide for medical assistance under this title to eligible individuals who choose to enroll in a maternal health home under this section and receive maternal health home services from a designated provider, a team of health professionals operating with such a provider, or a health team.
(b)Maternal health home qualification standardsA maternal health home under this section shall demonstrate to the State the ability to do the following:
(1)Develop an individualized comprehensive care plan for each eligible individual, working in a culturally and linguistically appropriate manner with such individual to develop and incorporate such care plan in a manner consistent with such individual’s needs and choices, including—
(A)primary care;
(B)inpatient care;
(C)social support services;
(D)local hospital emergency care;
(E)care management and planning related to a change in an eligible individual’s eligibility for medical assistance or a change in health insurance coverage as needed; and
(F)behavioral health services.
(2)Coordinate all necessary services to support prenatal, labor and delivery, and postpartum care for eligible individuals.
(3)Coordinate access to specialists, behavioral health providers, early intervention services, and pediatricians.
(4)Collect and report information under subsection (d).
(c)
(1)A State shall provide a designated provider, a team of health professionals operating with such a provider, or a health team with payments for the provision of maternal health home services to each eligible individual enrolled in a maternal health home. Payments for maternal health home services made to a designated provider, a team of health professionals operating with such a provider, or a health team shall be treated as payments for medical assistance for purposes of section 1903(a), except that, during the first 8 fiscal quarters that the State plan amendment is in effect, the Federal medical assistance percentage otherwise applicable to such payments shall be increased by 15 percentage points, not to exceed 90 percent.
(2)
(A)The State shall specify in the State plan amendment the methodology the State will use for determining payment for the provision of maternal health home services. Such methodology for determining payment—
(i)may be tiered or adjusted to reflect, with respect to each individual provided such services by a designated provider, a team of health care professionals operating with such a provider, or a health team, the acuity of each individual receiving care, or the specific capabilities of the provider, team of health care providers, or health team; and
(ii)shall be established consistent with section 1902(a)(30)(A).
(B)Alternate model of paymentThe methodology for determining payment for provision of maternal health home services under this section shall not be limited to a fee-for-service or per-member per-month payment model, and may provide for alternate models of payment that reflect the needs of a State, subject to the approval of the Secretary.
(3)
(A)Beginning 12 months after the date of enactment of this section, the Secretary may award planning grants to States for purposes of developing a State plan amendment under this section. A planning grant awarded to a State under this paragraph shall remain available until expended.
(B)A State awarded a planning grant shall contribute an amount equal to the State percentage determined under section 1905(b) for each fiscal year for which the grant is awarded.
(C)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until expended, to carry out this paragraph, $5,000,000 for awarding grants under this section.
(d)Data collection and reporting
(1)Provider reporting requirements
(A)In order to receive payments from a State under subsection (c), a designated provider, a team of health professionals operating with such a provider, or a health team shall report to the State, in accordance with such requirements as the Secretary shall specify, the following:
(i)With respect to each such designated provider, team of health professionals, or health team, the name, national provider identification number, address, and specific maternal health home services offered to be provided to eligible individuals who have selected such designated provider, team of health professionals, or health team as the maternal health home of such eligible individuals.
(ii)Information on all applicable measures for determining the quality of maternal health home services provided by such designated provider, team of health professionals, or health team, including, to the extent applicable, the core set of child health quality measures published under section 1139A, the core set of adult health quality measures for Medicaid eligible adults published under section 1139B, and maternal health quality measures.
(B)Use of health information technologyA designated provider, a team of health professionals operating with such a provider, or a health team shall use, to the extent practicable, health information technology to provide a State with the information required under subparagraph (A) and to improve care coordination for eligible individuals, such as by—
(i)facilitating the review of person-centered care plans;
(ii)monitoring service delivery and identifying gaps in treatment; and
(iii)communicating with eligible individuals and with primary, behavioral health and specialty care providers.
(2)State reporting requirementsA State with a State plan amendment approved under this section shall collect and report to the Secretary, at such time and in such form and manner as required by the Secretary, the following information:
(A)The number of maternal health homes in a State in which individuals are enrolled pursuant to a State plan amendment under this section.
(B)The number of individuals served who selected a maternal health home, disaggregated by race and ethnicity, pursuant to a State plan amendment under this section.
(C)Information on the quality measures applicable for maternal health home services, including, to the extent applicable, the core set of child health quality measures published under section 1139A, and the core set of adult health quality measures for Medicaid eligible adults published under section 1139B, and maternal health quality measures.
(D)The type of delivery systems and payment models used to provide health home services to eligible individuals enrolled in a maternal health home under a State plan amendment under this section.
(E)The number and characteristics of designated providers, teams of health professionals, and health teams selected as maternal health homes pursuant to a State plan amendment under this section.
(F)Information on hospitalizations, morbidity, and mortality of eligible individuals and their infants enrolled in a maternal health home in such State alongside comparable data from a State’s maternal mortality review committee.
(G)A report on best practices for effective strategies in coordinating care to support access to comprehensive maternal health services.
(H)Information reported to the State under paragraph (1).
(e)
(1)A State plan amendment submitted pursuant to this section shall include—
(A)eligibility criteria for maternal health homes;
(B)services available to eligible individuals through the maternal health home;
(C)a description of providers that may provide care through a maternal health home, and that include how such State will ensure any provider arrangement offered includes a person-centered planning approach to determining necessary services and supports and providing the appropriate care coordination to meet clinical and non-clinical needs of eligible individuals; and
(D)reimbursement methodologies (as described in subsection (c)(2)).
(2)A State with a State plan amendment approved under this section shall require each hospital that is a participating provider under the State plan (or a waiver of such plan) to establish procedures for, in the case of an individual who is enrolled in a maternal health home pursuant to this section and seeks treatment in the emergency department of such hospital, notifying the health home of such individual of such treatment.
(3)Education with respect to availability of maternal health home servicesIn order for a State plan amendment to be approved under this section, a State shall include in the State plan amendment—
(A)a description of the State’s process for educating providers participating in the State plan (or a waiver of such plan) on the availability of maternal health home services, including the process by which such providers can refer individuals to a designated provider, team of health care professionals operating such a provider, or health team for the purpose of establishing a maternal health home through which such individuals may receive such services; and
(B)a description of the State’s process for educating individuals on the availability of such services.
(4)A State with a State plan amendment approved under this section shall establish confidentiality protections to ensure, at a minimum, that the State does not disclose any identifying information with respect to any specific mortality case (including pursuant to the reporting of information required under subsection (d)(2)(F)).
(f)Nothing in this section shall be construed—
(1)to require an eligible individual to enroll in, or prohibit an eligible individual from disenrolling at any time from, a maternal health home under this section; or
(2)to require a designated provider, team of health professionals, or health team to act as a maternal health home and provide services in accordance with this section if the designated provider, team of health professionals, or health team does not voluntarily agree to act as a maternal health home.
(g)In this section:
(1)The term designated provider means a physician, clinical practice or clinical group practice, rural health clinic, freestanding birth center, community health center, obstetrician gynecologist, midwife who meets at a minimum the international definition of the midwife and global standards for midwifery education as established by the International Confederation of Midwives, or any other entity or provider determined by the State and approved by the Secretary to be qualified to act as a maternal health home.
(2)The term eligible individual means an individual eligible for medical assistance under the State plan or under a waiver of such plan who—
(A)is pregnant or in the postpartum period that begins on the last day of the pregnancy and ends on the last day of the month in which the 12-month period (beginning on the last day of the pregnancy of the individual) ends (or, if the State provides for a longer period of postpartum coverage period under such plan or waiver, on the last day of such longer period); and
(B)is not enrolled in a health home under section 1945 or 1945A.
(3)The term health team has the meaning given such term for purposes of section 3502 of Public Law 111–148.
(4)The term maternal health home means a designated provider (including a provider that operates in coordination with a team of health care professionals), or a health team selected by a State to provide maternal health home services to pregnant and postpartum individuals.
(5)Maternal health home services
(A)The term maternal health home services means comprehensive and timely high-quality services described in subparagraph (B) that are provided by a designated provider, a team of health professionals operating with such a provider, or a health team.
(B)The services described in this subparagraph shall include—
(i)a standardized risk assessment for all participants to determine needs;
(ii)comprehensive care management;
(iii)care coordination and health promotion;
(iv)comprehensive transitional care, including arranging appropriate follow-up, for individuals transitioning from inpatient care to other settings;
(v)individual and family support (including authorized representatives);
(vi)making referrals to other medical, community, and social support services, if relevant; and
(vii)the use of health information technology to link services and coordinate care, to the extent practicable.
(6)Standardized risk assessmentThe term standardized risk assessment means an assessment to determine the needs of an eligible individual, and shall include an assessment of medical, obstetric, behavioral health, and social needs performed at the initial prenatal or postpartum visit.
(7)Team of health professionalsThe term team of health professionals means a team of health professionals (as described in the State plan amendment under this section) that may—
(A)include physicians, midwives who meet at a minimum the international definition of the midwife and global standards for midwifery education as established by the International Confederation of Midwives, nurses, nurse care coordinators, nutritionists, social workers, doulas, behavioral health professionals, community health workers, translators and interpreters, and other professionals determined to be appropriate by the State;
(B)a health care entity or individual who is designated to coordinate such a team; and
(C)provide care at a facility that is freestanding, virtual, or based at a hospital, freestanding birth center, community health center, community mental health center, rural clinic, clinical practice or clinical group practice, academic health center, children’s hospital, or any entity determined to be appropriate by the State and approved by the Secretary..
(g)Funding for implementation and administrationIn addition to amounts otherwise available, there is appropriated to the Secretary, for fiscal year 2022, to be available until expended, out of any money in the Treasury not otherwise appropriated, $20,000,000, to provide technical assistance and guidance and cover administrative costs associated with implementing the amendments made by this section.
30722.Investments to expand access to behavioral health
(a)Expansion of community mental health services demonstration program
(1)Section 223 of the Protecting Access to Medicare Act of 2014 (42 U.S.C. 1396a note) is amended—
(A)in subsection (c), by adding at the end the following new paragraph:
(3)Additional planning grantsIn addition to the planning grants awarded under paragraph (1), the Secretary shall award planning grants to States (other than States selected to conduct demonstration programs under paragraph (1) or (8) of subsection (d)) for the purpose of developing proposals to participate in time-limited demonstration programs described in subsection (d).;
(B)in subsection (d)—
(i)in paragraph (3), by striking Subject to paragraph (8)
and inserting Subject to paragraphs (8) and (9)
;
(ii)in paragraph (5)(C)(iii)(II), by inserting or paragraph (9)
after paragraph (8)
;
(iii)in paragraph (7)(B)—
(I)by striking December 31, 2021
and inserting March 31, 2026
;
(II)by striking recommendations concerning
and all that follows through the period and inserting recommendations concerning whether and how the demonstration programs under this section should be modified.
; and
(III)by adding at the end the following new sentence: Such recommendations shall be based on data collected from States selected to conduct demonstration programs under paragraph (1) and, to the extent available, data collected from States selected to conduct demonstration programs under paragraphs (8) and (9).
; and
(iv)by adding at the end the following new paragraph:
(9)Further additional programs
(A)In addition to the States selected under paragraphs (1) and (8) and without regard to paragraph (4), the Secretary shall select any State that meets the requirements described in subparagraph (B) to conduct a demonstration program that meets the requirements of this subsection for 2 years.
(B)The requirements described in this subparagraph with respect to a State are that the State—
(i)was awarded a planning grant under paragraph (1) or (3) of subsection (c); and
(ii)submits an application (in addition to any application that the State may have previously submitted under this section) that meets the requirements of paragraph (2)(B).
(C)Requirements for selected StatesThe requirements applicable to States selected under paragraph (8) pursuant to subparagraph (C) of such paragraph shall apply in the same manner to States selected under this paragraph.;
(C)in subsection (e), by amending paragraph (4) to read as follows:
(4)The term State means each of the 50 States, the District of Columbia, Puerto Rico, the Virgin Islands, Guam, the Northern Mariana Islands, and American Samoa.; and
(D)in subsection (f)(1)—
(i)in subparagraph (A), by striking ; and
and inserting a semicolon;
(ii)in subparagraph (B), by striking the period and inserting , and $40,000,000 for fiscal year 2022; and
; and
(iii)by adding at the end the following new subparagraph:
(C)for purposes of updating the criteria under subsection (a) as needed for certified community behavioral health clinics and carrying out subsections (c)(3), (d)(7), and (d)(9) (including the provision of technical assistance to States applying for planning grants under subsection (c)(3), and to conduct demonstration projects under subsection (d)(9)), $5,000,000 for fiscal year 2022..
(2)Exclusion of amounts attributable to increased FMAP from territorial capsSection 1108 of the Social Security Act (42 U.S.C. 1308) is amended—
(A)in subsection (f), in the matter preceding paragraph (1), by striking subsections (g) and (h)
and inserting subsections (g), (h), and (i)
; and
(B)by adding at the end the following:
(i)Exclusion from caps of amounts attributable to enhanced FMAP for community mental health servicesAny additional amount paid to Puerto Rico, the Virgin Islands, Guam, the Northern Mariana Islands, and American Samoa for expenditures for medical assistance that is attributable to an enhanced Federal medical assistance percentage applicable to such expenditures under section 223(d)(5) of the Protecting Access to Medicare Act of 2014 shall not be taken into account for purposes of applying payment limits under subsections (f) and (g)..
(b)Making permanent a State option to provide qualifying community-based mobile crisis intervention servicesSection 1947 of the Social Security Act (42 U.S.C. 1396w–6) is amended—
(1)in subsection (a), by striking during the 5-year period
;
(2)in subsection (c), by striking occurring during the period described in subsection (a) that a State
and inserting in which a State provides medical assistance for qualifying community-based mobile crisis intervention services under this section and
; and
(3)in subsection (d)(2)—
(A)in subparagraph (A), by striking for the fiscal year preceding the first fiscal quarter occurring during the period described in subsection (a)
and inserting for the fiscal year preceding the first fiscal quarter in which the State provides medical assistance for qualifying community-based mobile crisis intervention services under this section
; and
(B)in subparagraph (B), by striking occurring during the period described in subsection (a)
and inserting occurring during a fiscal quarter
.
30723.Extension of 100 percent Federal medical assistance percentage for Urban Indian Health Organizations and Native Hawaiian Health Care SystemsThe third sentence of section 1905(b) of the Social Security Act (42 U.S.C. 1396d(b)) is amended—
(1)by striking for the 8 fiscal year quarters beginning with the first fiscal year quarter beginning after the date of the enactment of the American Rescue Plan Act of 2021
and inserting for the 16-quarter period that begins on April 1, 2021
; and
(2)by striking such 8 fiscal year quarters
and inserting such 16-quarter period
.
30724.Adjustments to uncompensated care pools and disproportionate share hospital payments
(a)Adjustments to uncompensated care poolsSection 1903 of the Social Security Act (42 U.S.C. 1396b) is amended by adding at the end the following new subsection:
(cc)Excluding expenditures for expansion population from assistance under waivers relating to uncompensated careWith respect to a State with a State plan (or waiver of such plan) that does not provide, with respect to a fiscal year (beginning with fiscal year 2023), to all individuals described in section 1902(a)(10)(A)(i)(VIII) benchmark coverage described in section 1937(b)(1) or benchmark equivalent coverage described in section 1937(b)(2), in the case of any experimental, pilot, or demonstration project undertaken under section 1115(a), with respect to such State and fiscal year, that provides for Federal assistance with respect to payments for expenditures associated with uncompensated care that is furnished for low-income individuals, uninsured individuals, or underinsured individuals, such project shall exclude from the determination of such expenditures any care that is furnished with respect to such fiscal year to individuals described in section 1902(a)(10)(A)(i)(VIII)..
(b)Adjustments to disproportionate share hospital paymentsSection 1923(f) of the Social Security Act (42 U.S.C.1396r–4(f)) is amended—
(1)in paragraph (3)(A), by striking paragraphs (6), (7), and (8)
and inserting paragraphs (6), (7), (8), and (10)
;
(2)in paragraph (6)(A)(vi), by inserting (except paragraph (10))
before , any other provision of law
;
(3)in paragraph (7)(A), by inserting without regard to the allotment cap under paragraph (10),
before the Secretary
; and
(4)by adding at the end the following new paragraph:
(10)Allotment cap for non-expansion States
(A)For fiscal year 2023 and each subsequent fiscal year—
(i)in the case of a State with a State plan (or waiver of such plan) that, with respect to such fiscal year, does not provide to all individuals described in section 1902(a)(10)(A)(i)(VIII) benchmark coverage described in section 1937(b)(1) or benchmark equivalent coverage described in section 1937(b)(2), the DSH allotment for such State for such fiscal year is equal to 87.5 percent of the DSH allotment that would (without application of paragraphs (6), (7), (8), or this paragraph) be determined under this subsection for the State for fiscal year 2023;
(ii)in the case of a State with a State plan (or waiver of such plan) that, with respect to such fiscal year, is revised to not include the providing to all individuals described in section 1902(a)(10)(A)(i)(VIII) benchmark coverage described in section 1937(b)(1) or benchmark equivalent coverage described in section 1937(b)(2), the DSH allotment for such State for such fiscal year is equal to the product of—
(I)87.5 percent of the DSH allotment that would (without application of paragraphs (6), (7), (8), or this paragraph) be determined under this subsection for the State for fiscal year 2023; and
(II)expressed as a percentage, the number of days of a fiscal year during which such State plan (or waiver of such plan) includes, with respect to a fiscal year, the providing to such individuals such benchmark coverage or such benchmark equivalent coverage; or
(iii)in the case of a State with a State plan (or waiver of such plan) that, with respect to such fiscal year, is revised to include the providing to all individuals described in section 1902(a)(10)(A)(i)(VIII) benchmark coverage described in section 1937(b)(1) or benchmark equivalent coverage described in section 1937(b)(2), the DSH allotment for such State for such fiscal year is equal to the DSH allotment that would (without application of paragraphs (6), (7), (8), or this paragraph) be determined under this subsection for the State for fiscal year 2023.
(B)No application on DSH allotment for fiscal years after expansionThe DSH allotments determined under subparagraph (A) for a State for a fiscal year shall not be taken into account in determining DSH allotments under this subsection for such State for any fiscal year with respect to which such subparagraph does not apply to such State..
3
30731.Increasing Medicaid cap amounts and the Federal medical assistance percentage for the territories
(a)Section 1108(g)(2) of the Social Security Act (42 U.S.C. 1308(g)(2)) is amended—
(1)in subparagraph (A)—
(A)in clause (i)—
(i)by striking except as provided in clause (ii)
and inserting for each of fiscal years 1999 through 2019
; and
(ii)by striking and
at the end; and
(B)by adding at the end the following new clauses:
(iii)for fiscal year 2022, $3,600,000,000; and
(iv)for fiscal year 2023 and each subsequent year, the sum of the amount provided in this subsection for the preceding fiscal year, increased by the percentage increase, if any, in Medicaid spending under title XIX during the preceding year (as determined based on the most recent National Health Expenditure data with respect to such year), rounded to the nearest $100,000;;
(2)in subparagraph (B)—
(A)in clause (i), by striking except as provided in clause (ii),
and inserting for each of fiscal years 1999 through 2019,
;
(B)in clause (ii), by striking and
at the end;
(C)by adding at the end the following:
(iv)for fiscal year 2022, $135,000,000; and
(v)for fiscal year 2023 and each subsequent year, the sum of the amount provided in this subsection for the preceding fiscal year, increased by the percentage increase described in subparagraph (A)(iv) for the preceding year, rounded to the nearest $10,000;;
(3)in subparagraph (C)—
(A)in clause (i), by striking except as provided in clause (ii),
and inserting for each of fiscal years 1999 through 2019,
;
(B)in clause (ii), by striking and
at the end;
(C)by adding at the end the following:
(iv)for fiscal year 2022, $140,000,000; and
(v)for fiscal year 2023 and each subsequent year, the sum of the amount provided in this subsection for the preceding fiscal year, increased by the percentage increase described in subparagraph (A)(iv) for the preceding year, rounded to the nearest $10,000;;
(4)in subparagraph (D)—
(A)in clause (i), by striking except as provided in clause (ii),
and inserting for each of fiscal years 1999 through 2019,
;
(B)in clause (ii), by striking and
at the end;
(C)in clause (iii), by striking and
at the end; and
(D)by adding at the end the following new clauses:
(iv)for fiscal year 2022, $70,000,000; and
(v)for fiscal year 2023 and each subsequent year, the sum of the amount provided in this subsection for the preceding fiscal year, increased by the percentage increase described in subparagraph (A)(iv) for the preceding year, rounded to the nearest $10,000; and;
(5)in subparagraph (E)—
(A)in clause (i), by striking except as provided in clause (ii),
and inserting for each of fiscal years 1999 through 2019,
;
(B)in clause (ii), by striking and
at the end;
(C)in clause (iii), by striking the period and inserting a semicolon; and
(D)by adding at the end the following:
(iv)for fiscal year 2022, $90,000,000; and
(v)for fiscal year 2023 and each subsequent year, the sum of the amount provided in this subsection for the preceding fiscal year, increased by the percentage increase described in subparagraph (A)(iv) for the preceding year, rounded to the nearest $10,000.; and
(6)by striking the flush matter following subparagraph (E).
(b)Section 1905(ff) of the Social Security Act (42 U.S.C. 1396d(ff)) is amended—
(1)by redesignating paragraphs (1) through (3) as subparagraphs (A) through (C), respectively, and adjusting the margins accordingly;
(2)by striking Notwithstanding
and inserting the following:
(1)Notwithstanding;
(3)in paragraph (1), as so inserted—
(A)in the matter preceding subparagraph (A), as so redesignated, by inserting paragraph (2) and
after subject to
;
(B)in subparagraph (B), as so redesignated—
(i)by striking December 3, 2021,
and inserting September 30, 2021
; and
(ii)by striking and
at the end;
(C)in subparagraph (C), as so redesignated, by striking December 3, 2021,
and inserting September 30, 2021
;
(D)by adding at the end the following:
(D)for fiscal year 2022 and each subsequent fiscal year, the Federal medical assistance percentage for the Virgin Islands, Guam, the Northern Mariana Islands, and American Samoa shall be equal to 83 percent;
(E)for fiscal year 2022, the Federal medical assistance percentage for Puerto Rico shall be equal to 76 percent; and
(F)for fiscal year 2023 and each subsequent fiscal year, the Federal medical assistance percentage for Puerto Rico shall be equal to 83 percent.; and
(4)by adding at the end the following new paragraph:
(2)Special rule for Puerto Rico relating to establishing a payment floor
(A)For each fiscal quarter (beginning with the first fiscal quarter beginning on or after the date of the enactment of this paragraph), Puerto Rico’s State plan (or waiver of such plan) shall establish a reimbursement floor, implemented through a directed payment arrangement plan, for physician services that are covered under the Medicare part B fee schedule in the Puerto Rico locality established under section 1848(b) that is not less than 70 percent of the payment that would apply to such services if they were furnished under part B of title XVIII during such fiscal quarter.
(B)Application to managed careIn determining whether Puerto Rico has established a reimbursement floor under a directed payment arrangement plan that satisfies the requirements of subparagraph (A) for a fiscal quarter occurring during fiscal year 2022 or a subsequent fiscal year—
(i)the Secretary shall disregard payments made under sub-capitated arrangements for services such as primary care case management; and
(ii)if the reimbursement floor for physician services applicable under a managed care contract satisfies the requirements of subparagraph (A) for a fiscal quarter occurring during a year in which the contract is entered into or renewed, such reimbursement floor shall be deemed to satisfy such requirements for each subsequent fiscal quarter occurring during such year and for each fiscal quarter occurring during the subsequent fiscal year.
(C)FMAP reduction for failure to establish payment floor
(i)In the case that the Secretary determines that Puerto Rico has failed to meet the requirement of subparagraph (A) with respect to a fiscal quarter, the Federal medical assistance percentage otherwise determined under this subsection for Puerto Rico shall be reduced for such quarter by the applicable number of percentage points described in clause (ii).
(ii)Applicable number of percentage pointsFor purposes of clause (i), the applicable number of percentage points described in this clause is, with respect to a fiscal quarter, the following:
(I)In the case no reduction was made under this subparagraph for the preceding fiscal quarter, 0.5 percentage points.
(II)In the case a reduction was made under this subparagraph for the preceding fiscal quarter, the number of percentage points of such reduction for such preceding fiscal quarter, plus 0.25 percentage points, except that in no case may the application of this subclause result in a reduction of more than 5 percentage points..
4Maintenance of Effort; Other Matters
30741.Encouraging continued access after the end of the public health emergencySection 6008 of the Families First Coronavirus Response Act (42 U.S.C. 1396d note), as amended by section 30721(c), is further amended—
(1)by redesignating the second subsection (d) added by section 11 of division X of Public Law 116–260 as subsection (e); and
(2)by adding at the end the following new subsection:
(g)Encouraging continued access after the end of the public health emergency
(1)Subject to paragraph (2), if, between September 1, 2022 and December 31, 2025, a State puts into effect for any calendar quarter occurring during such period eligibility standards for individuals (except individuals described in subparagraph (D) of section 1902(e)(14)) who are applying for or receiving medical assistance, methodologies, or procedures under the State plan of such State under title XIX of the Social Security Act (42 U.S.C. 1396 through 1396w-6) (including any waiver under such title or section 1115 of such Act (42 U.S.C. 1315)) that are more restrictive than the eligibility standards, methodologies, or procedures, respectively, under the State plan (or waiver of such plan) that are in effect on October 1, 2021, the Federal medical assistance percentage otherwise determined under section 1905(b) of the Social Security Act (42 U.S.C. 1396d(b)) for that State shall be reduced by 3.1 percentage points for such calendar quarter.
(2)During the period described in paragraph (1), at the option of the a State, the condition under such paragraph may not apply to the State with respect to nonpregnant, nondisabled adults who are eligible for medical assistance under the State plan (or waiver such plan) whose income exceeds 133 percent of the poverty line (as defined in section 2110(c)(5)) applicable to a family of the size involved if, on or after December 31, 2010, the State had certified or certifies to the Secretary that, with respect to the State fiscal year during which the certification is made, the State has a budget deficit, or with respect to the succeeding State fiscal year, the State is projected to have a budget deficit. Upon submission of such a certification to the Secretary, the condition under paragraph (1) shall not apply to the State with respect to any remaining portion of the period described in the preceding sentence..
30742.Ensuring accurate payments to pharmacies under Medicaid
(a)Section 1927(f) of the Social Security Act (42 U.S.C. 1396r–8(f)) is amended—
(1)by striking and
after the semicolon at the end of paragraph (1)(A)(i) and all that precedes it through (1)
and inserting the following:
(1)Determining pharmacy actual acquisition costsThe Secretary shall conduct a survey of retail community pharmacy drug prices, to determine the national average drug acquisition cost, as follows:
(A)The Secretary may contract services for—
(i)with respect to retail community pharmacies, the determination of retail survey prices of the national average drug acquisition cost for covered outpatient drugs based on a monthly survey of such pharmacies, net of all discounts and rebates (to the extent any information with respect to such discounts and rebates is available), the average reimbursement received for such drugs by such pharmacies from all sources of payment and, to the extent available, the usual and customary charges to consumers for such drugs; and;
(2)by adding at the end of paragraph (1) the following:
(F)A State shall require that any retail community pharmacy in the State that receives any payment, reimbursement, administrative fee, discount, or rebate related to the dispensing of covered outpatient drugs to individuals receiving benefits under this title or title XXI, regardless of whether such payment, fee, discount, or rebate is received from the State or a managed care entity directly or from a pharmacy benefit manager or another entity that has a contract with the State or a managed care entity or other specified entity (as such terms are defined in section 1903(m)(9)(D)), shall respond to surveys of retail prices conducted under this subsection with the specific information requested by the vendor.
(G)Information on retail community actual acquisition prices obtained under this paragraph shall be made publicly available and shall include at least the following:
(i)The monthly response rate of the survey, including a list of pharmacies not in compliance with subparagraph (F) and the identification numbers for such pharmacies.
(ii)The sampling frame and number of pharmacies sampled monthly.
(iii)Characteristics of reporting pharmacies, including type (such as independent or chain), geographic or regional location, and dispensing volume.
(iv)Reporting of a separate national average drug acquisition cost for each drug for independent retail pharmacies and chain pharmacies.
(v)Information on price concessions including on and off invoice discounts, rebates, and other price concessions.
(vi)Information on average professional dispensing fees paid.
(H)
(i)Failure to provide timely informationA retail community pharmacy that knowingly fails to respond to a survey conducted under this subsection on a timely basis may be subject to a civil monetary penalty in an amount not to exceed $10,000 for each day in which such information has not been provided. A retail community pharmacy shall not be subject to such penalty if the pharmacy makes a good faith effort to provide the information requested by the survey on a timely basis.
(ii)A retail community pharmacy that knowingly provides false information in response to a survey conducted under this subsection may be subject to a civil money penalty in an amount not to exceed $100,000 for each item of false information.
(iii)Any civil money penalties imposed under this subparagraph shall be in addition to other penalties as may be prescribed by law. The provisions of section 1128A (other than subsections (a) and (b)) shall apply to a civil money penalty under this subparagraph in the same manner as such provisions apply to a penalty or proceeding under section 1128A(a).; and
(3)in paragraph (4), by inserting , and $7,000,000 for fiscal year 2023 and each fiscal year thereafter,
after 2010
.
(b)Condition for federal financial participationSection 1903(i)(10) of the Social Security Act (42 U.S.C. 1396b(i)(10)) is amended—
(1)in subparagraph (D), by striking and
after the semicolon;
(2)in subparagraph (E), by striking or
after the semicolon and inserting and
; and
(3)by inserting after subparagraph (E), the following new subparagraph:
(F)with respect to any amount expended for reimbursement to a retail community pharmacy under this title unless the State requires the retail community pharmacy to respond to surveys of retail prices conducted under section 1927(f) in accordance with paragraph (1)(F) of such section; or.
(c)The amendments made by this section take effect on the 1st day of the 1st quarter that begins on or after the date that is 18 months after the date of enactment of this Act.
30743.Further increase in FMAP for Medical Assistance for Newly Eligible Mandatory IndividualsSection 1905(y)(1) of the Social Security Act (42 U.S.C. 1396d(y)(1)) is amended—
(1)in subparagraph (D), by striking at the end and
;
(2)in subparagraph (E), by striking 2020 and each year thereafter.
and inserting 2020, 2021, and 2022; and
; and
(3)by adding at the end the following new subparagraphs:
(F)93 percent for calendar quarters in 2023, 2024, and 2025; and
(G)90 percent for calendar quarters in 2026 and each year thereafter..
GChildren’s Health Insurance Program
30801.Investments to strengthen CHIP
(a)Permanent extension of children’s health insurance program
(1)Section 2104(a)(28) of the Social Security Act (42 U.S.C. 1397dd(a)(28)) is amended to read as follows:
(28)for fiscal year 2027 and each subsequent year, such sums as are necessary to fund allotments to States under subsection (m)..
(2)
(A)Section 2104(m) of the Social Security Act (42 U.S.C. 1397dd(m)) is amended—
(i)in paragraph (2)(B)(i), by striking , 2023, and 2027
and inserting and 2023
;
(ii)in paragraph (5)—
(I)by striking (10), or (11)
and inserting or (10)
;
(II)by striking for a fiscal year
and inserting for a fiscal year before 2027
; and
(III)by striking 2023, or 2027
and inserting or 2023
;
(iii)in paragraph (7)—
(I)in subparagraph (A), by striking and ending with fiscal year 2027,
; and
(II)in the flush left matter at the end, by striking or fiscal year 2026
and inserting fiscal year 2026, or a subsequent even-numbered fiscal year
;
(iv)in paragraph (9)—
(I)by striking (10), or (11)
and inserting or (10)
; and
(II)by striking 2023, or 2027,
and inserting or 2023
; and
(v)by striking paragraph (11).
(B)Section 50101(b)(2) of the Bipartisan Budget Act of 2018 (Public Law 115–123) is repealed.
(b)Other related CHIP policies
(1)Pediatric quality measures programSection 1139A(i)(1) of the Social Security Act (42 U.S.C. 1320b–9a(i)(1)) is amended—
(A)in subparagraph (C), by striking at the end and
;
(B)in subparagraph (D), by striking the period at the end and inserting a semicolon; and
(C)by adding at the end the following new subparagraphs:
(E)for fiscal year 2028, $15,000,000 for the purpose of carrying out this section (other than subsections (e), (f), and (g)); and
(F)for each subsequent fiscal year, the amount appropriated under this paragraph for the previous fiscal year, increased by the percentage increase in the consumer price index for all urban consumers (all items; United States city average, as published by the Bureau of Labor Statistics) rounded to the nearest $100,000 over such previous fiscal year, for the purpose of carrying out this section (other than subsections (e), (f), and (g))..
(2)Assurance of eligibility standards for childrenSection 2105(d)(3) of the Social Security Act (42 U.S.C. 1397ee(d)(3)) is amended—
(A)in the paragraph heading, by striking through September 30, 2027
; and
(B)in subparagraph (A)—
(i)in the matter preceding clause (i)—
(I)by striking During the period that begins on the date of enactment of the Patient Protection and Affordable Care Act and ends on September 30, 2027
and inserting Beginning on the date of the enactment of the Patient Protection and Affordable Care Act
;
(II)by striking During the period that begins on October 1, 2019, and ends on September 30, 2027
and inserting Beginning on October 1, 2019
; and
(III)by striking The preceding sentences shall not be construed as preventing a State during any such periods from
and inserting The preceding sentences shall not be construed as preventing a State from
;
(ii)in clause (i), by striking the semicolon at the end and inserting a period;
(iii)by striking clauses (ii) and (iii); and
(iv)as amended by subclause (I)(cc), by striking as preventing a State from
and all that follows through applying eligibility standards
and inserting as preventing a State from applying eligibility standards
.
(3)Section 2105(g)(4) of the Social Security Act (42 U.S.C. 1397ee(g)(4)) is amended—
(A)in the paragraph heading, by striking for fiscal years 2009 through 2027
and inserting after fiscal year 2008
; and
(B)in subparagraph (A), by striking for any of fiscal years 2009 through 2027
and inserting for any fiscal year after fiscal year 2008
.
(4)Outreach and enrollment programSection 2113 of the Social Security Act (42 U.S.C. 1397mm) is amended—
(A)in subsection (a)—
(i)in paragraph (1), by striking during the period of fiscal years 2009 through 2027
and inserting , beginning with fiscal year 2009,
;
(ii)in paragraph (2)—
(I)by striking 10 percent of such amounts
and inserting 10 percent of such amounts for the period or the fiscal year for which such amounts are appropriated
; and
(II)by striking during such period
and inserting , during such period or such fiscal year,
; and
(iii)in paragraph (3), by striking For the period of fiscal years 2024 through 2027, an amount equal to 10 percent of such amounts
and inserting Beginning with fiscal year 2024, an amount equal to 10 percent of such amounts for the period or the fiscal year for which such amounts are appropriated
; and
(B)in subsection (g)—
(i)by striking 2017,,
and inserting 2017,
;
(ii)by striking and $48,000,000
and inserting $48,000,000
; and
(iii)by inserting after through 2027
the following: , $60,000,000 for fiscal years 2028, 2029, and 2030, and for each 3 fiscal years after fiscal year 2030, the amount appropriated under this subsection for the previous fiscal year, increased by the percentage increase in the consumer price index for all urban consumers (all items; United States city average, as published by the Bureau of Labor Statistics) rounded to the nearest $100,000 over such previous fiscal year
.
(5)Child enrollment contingency fundSection 2104(n) of the Social Security Act (42 U.S.C. 1397dd(n)) is amended—
(A)in paragraph (2)—
(i)in subparagraph (A)(ii)—
(I)by striking 2024 through 2026
and inserting beginning with fiscal year 2024
; and
(II)by striking 2023, and 2027
and inserting and 2023
; and
(ii)in subparagraph (B)—
(I)by striking 2024 through 2026
and inserting beginning with fiscal year 2024
; and
(II)by striking 2023, and 2027
and inserting and 2023
; and
(B)in paragraph (3)(A)—
(i)by striking fiscal years 2024 through 2026
and inserting fiscal year 2024 or any subsequent fiscal year
; and
(ii)by striking 2023, or 2027
and inserting or 2023
.
(c)
(1)Section 2107 of the Social Security Act (42 U.S.C. 1397gg), as amended by section 30721(b)(2), is further amended—
(A)in subsection (e)(1) by adding at the end the following new subparagraph:
(V)Beginning January 1, 2024, section 1927 (relating to covered outpatient drugs), in accordance with subsection (h) of this section, with respect to covered outpatient drugs (as defined in section 1927) for which child health assistance or pregnancy-related assistance (as defined in section 2112(d)(1)) is provided under the State child health plan, including such drugs dispensed to individuals enrolled with a managed care organization that meets the requirements of subpart L of part 457 of title 42, Code of Federal Regulations (or a successor regulation) if the organization is responsible for coverage of such drugs. ; and
(B)by adding at the end the following new subsection:
(h)For purposes of subsection (e)(1)(U), in applying section 1927—
(1)the Secretary shall take such actions as are necessary and develop or adapt such processes and mechanisms as are necessary, including to report and collect data to bill and track rebates under section 1927, as applied pursuant to subsection (e)(1)(V) for covered outpatient drugs (as defined in such section 1927) for which child health assistance or pregnancy-related assistance (as defined in section 2112(d)(1)) is provided under the State child health plan;
(2)the requirements of such section 1927 shall apply to any drug or biological product described in paragraph (1)(A) of section 1905(ee) that is—
(A)furnished as child health assistance or pregnancy-related assistance under the State child health plan; and
(B)a covered outpatient drug (as defined in section 1927(k), except that, in applying paragraph (2)(A) of such section to a drug described in such paragraph (1)(A) of such section 1905(ee), such drug shall be deemed a prescribed drug for purposes of subsection (a)(12))
; and
(3)in order for payment to be available under section 2105 with respect to child health assistance or pregnancy-related assistance for covered outpatient drugs of a manufacturer, the manufacturer must have entered into and have in effect a single rebate agreement to—
(A)provide rebates under section 1927 to a State Medicaid program under title XIX as well as a State program under this title; and
(B)provide such rebates to a State program under this title in the same form and manner as the manufacturer is required to provide rebates under an agreement described in section 1927(b) to a State Medicaid program under title XIX.Nothing in this subsection or subsection (e)(1)(V) shall be construed as limiting Federal financial participation for prescription drugs and biological products that do not satisfy the definition of a covered outpatient drug and for which there is not a rebate agreement in effect..
(2)Drug rebate conforming amendmentSection 1927(a)(1) of the Social Security Act (42 U.S.C. 1396r–8(a)(1)) is amended in the first sentence—
(A)by striking or under part B of title XVIII
and inserting , under part B of title XVIII, or, beginning with the first full calendar quarter with respect to which section 2107(e)(1)(V) applies, under section 2105 with respect to child health assistance or pregnancy-related assistance under title XXI
;
(B)by striking a rebate agreement described in subsection (b)
and inserting a single rebate agreement described in subsection (b) with respect to payment under section 1903(a) and, beginning January 1, 2024, title XXI,
; and
(C)by inserting and including as such subsection (b) is applied pursuant to subsections (e)(1)(V) and (h) of section 2107 with respect to child health assistance and pregnancy-related assistance under a State child health plan under title XXI,
before , and must meet
.
(3)Non-duplication of rebates conforming amendmentSection 340B(a)(5)(A) of the Public Health Service Act (42 U.S.C. 256b(a)(5)(A)) is amended—
(A)in clause (i), by inserting before the period the following: and shall not request payment under title XXI of such Act for child health assistance or pregnancy-related assistance (as defined in section 2112(d)(1) of such Act) under a State child health plan under title XXI of such Act with respect to a drug that is subject to an agreement under this section if the drug is subject to the payment of a rebate to the State under section 1927 of such Act, as applied pursuant to subsections (e)(1)(V) and (h) of section 2107 of such Act
; and
(B)in clause (ii), by inserting , including as applied pursuant to subsections (e)(1)(V) and (h) of section 2107 of such Act,
after the requirements of section 1927(a)(5)(C) of the Social Security Act
.
(4)Exclusion of rebates from best price conforming amendmentSection 1927(c)(1)(C)(i) of the Social Security Act (42 U.S.C. 1396r–8(c)(1)(C)(i)) is amended—
(A)in subclause (V), by striking and
at the end;
(B)in subclause (VI), by striking the period and inserting ; and
; and
(C)by adding at the end the following new subclause:
(VII)any rebates paid pursuant to section 2107(e)(1)(V)..
(d)State option to expand children’s eligibility for medicaid and chip
(1)Section 2110(b)(1)(B)(ii) of the Social Security Act (42 U.S.C. 1397jj(b)(1)(B)(ii)) is amended—
(A)in subclause (II), by striking or
at the end;
(B)in subclause (III), by striking and
at the end and inserting or
; and
(C)by inserting after subclause (III) the following new subclause:
(IV)at the option of the State, whose family income exceeds the maximum income level otherwise established for children under the State child health plan as of the date of the enactment of this subclause; and.
(2)Section 2104(m)(7) of the Social Security Act (42 U.S.C. 1397dd(m)(7)) is amended—
(A)in the matter preceding subparagraph (A), by striking the 50 States or the District of Columbia
and inserting a State (including the District of Columbia and each commonwealth and territory)
;
(B)in subparagraph (B)(ii), by striking or District
; and
(C)in the matter following subparagraph (B), by striking each place it occurs or District
(3)Removal of sunset for increases in allotmentsSection 2107(a)(7)(A) of the Social Security Act (42 U.S.C. (a)(7)(A)) is amended by striking and ending with fiscal year 2027,
.
HMedicare Coverage of Hearing Services
30901.Providing coverage for hearing care under the Medicare program
(a)Provision of audiology services by qualified audiologists and qualified hearing aid professionals
(1)Section 1861(ll) of the Social Security Act (42 U.S.C. 1395x(ll)) is amended—
(A)in paragraph (3)—
(i)by inserting (and, beginning January 1, 2024, such aural rehabilitation and treatment services)
after assessment services
;
(ii)by inserting , and, beginning January 1, 2024, such hearing assessment services furnished by a qualified hearing aid professional,
after by a qualified audiologist
; and
(iii)by striking the audiologist
and inserting the audiologist or qualified hearing aid professional
; and
(B)in paragraph (4), by adding at the end the following new subparagraph:
(C)The term qualified hearing aid professional
means, with respect to hearing assessment services described in paragraph (3), an individual who—
(i)is licensed as a hearing aid dispenser, hearing aid specialist, hearing instrument dispenser, or related professional by the State in which the individual furnishes such services; and
(ii)meets such other requirements as the Secretary determines appropriate, taking into account any additional requirements for hearing aid specialists, hearing aid dispensers, and hearing instrument dispensers established by Medicare Advantage organizations under part C, State plans (or waivers of such plans) under title XIX, and the group health plans and health insurance issuers (as such terms are defined in section 2791 of the Public Health Service Act)..
(2)Payment for qualified hearing aid professionalsSection 1833(a)(1) of the Social Security Act (42 U.S.C. 1395l(a)(1)), as amended by section 139101(b), is further amended—
(A)by striking and
before (EE)
; and
(B)by inserting before the semicolon at the end the following: and (FF) with respect to hearing assessment services (as described in paragraph (3) of section 1861(ll)) furnished by a qualified hearing aid professional (as defined in paragraph (4)(C) of such section), the amounts paid shall be equal to 80 percent of the lesser of the actual charge for such services or 85 percent of the amount for such services determined under the payment basis determined under section 1848
.
(b)
(1)Inclusion of hearing aids as prosthetic devicesSection 1861(s)(8) of the Social Security Act (42 U.S.C. 1395x(s)(8)) is amended by inserting , and including hearing aids (as described in section 1834(h)(7)) furnished on or after January 1, 2024, to individuals diagnosed with profound or severe hearing loss
before the semicolon at the end.
(2)Payment limitations for hearing aidsSection 1834(h) of the Social Security Act (42 U.S.C. 1395m(h)) is amended by adding at the end the following new paragraphs:
(6)Payment only on an assignment-related basisPayment for hearing aids for which payment may be made under this part may be made only on an assignment-related basis. The provisions of section 1842(b)(18)(B) shall apply to hearing aids in the same manner as they apply to services furnished by a practitioner described in subsection (b)(18)(C).
(7)Limitations for hearing aidsPayment may be made under this part with respect to an individual, with respect to hearing aids furnished on or after January 1, 2024—
(A)not more than once per ear during a 5-year period;
(B)only for types of such hearing aids that are not over-the-counter hearing aids (as defined in section 520(q)(1) of the Federal Food, Drug, and Cosmetic Act) and that are determined appropriate by the Secretary; and
(C)only if furnished pursuant to a written order of a physician, qualified audiologist (as defined in section 1861(ll)(4)), qualified hearing aid professional (as so defined), physician assistant, nurse practitioner, or clinical nurse specialist..
(3)Application of competitive acquisition
(A)Section 1834(h)(1)(H) of the Social Security Act (42 U.S.C. 1395m(h)(1)(H)) is amended—
(i)in the header, by inserting and hearing aids
after orthotics
;
(ii)by inserting , or of hearing aids described in paragraph (2)(D) of such section,
after 2011,
; and
(iii)in clause (i), by inserting or such hearing aids
after such orthotics
.
(B)
(i)Section 1847(a)(2) of the Social Security Act (42 U.S.C. 1395w–3(a)(2)) is amended by adding at the end the following new subparagraph:
(D)Hearing aids described in section 1861(s)(8) for which payment would otherwise be made under section 1834(h)..
(ii)Exemption of certain items from competitive acquisitionSection 1847(a)(7) of the Social Security Act (42 U.S.C. 1395w–3(a)(7)) is amended by adding at the end the following new subparagraph:
(C)Those items and services described in paragraph (2)(D) if furnished by a physician or other practitioner (as defined by the Secretary) to the physician’s or practitioner’s own patients as part of the physician’s or practitioner’s professional service..
(4)Inclusion of qualified audiologists and qualified hearing aid professionals as certain practitioners to receive payment on an assignment-related basisSection 1842(b)(18)(C) of the Social Security Act (42 U.S.C. 1395u(b)(18)(C)), is amended by adding at the end the following new clauses:
(vii)Beginning January 1, 2024, a qualified audiologist (as defined in section 1861(ll)(4)(B)).
(viii)A qualified hearing aid professional (as defined in section 1861(ll)(4)(C))..
(c)Section 1862(a)(7) of the Social Security Act (42 U.S.C. 1395y(a)(7)) is amended by inserting (except such hearing aids or examinations therefor as described in and otherwise allowed under section 1861(s)(8))
after hearing aids or examinations therefor
.
(d)Inclusion as excepted medical treatmentSection 1821(b)(5)(A) of the Social Security Act (42 U.S.C. 1395i–5(b)(5)(A)) is amended—
(1)in clause (i), by striking or
;
(2)in clause (ii), by striking the period and inserting , or
; and
(3)by adding at the end the following new clause:
(iii)consisting of items or services described in section 1861(ll)(3) that are payable under part B as a result of the amendments made by An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14..
(e)Rural health clinics and Federally qualified health centers
(1)Clarifying coverage of audiology services as physicians’ servicesSection 1861(aa)(1)(A) of the Social Security Act (42 U.S.C. 1395x(aa)(1)(A)) is amended by inserting (including audiology services (as defined in subsection (ll)(3)))
after physicians’ services
.
(2)Inclusion of qualified audiologists and qualified hearing aid professionals as RHC and FQHC practitionersSection 1861(aa)(1)(B) of the Social Security Act (42 U.S.C. 1395x(aa)(1)(B)) is amended by inserting or by a qualified audiologist or a qualified hearing aid professional (as such terms are defined in subsection (ll)),
after (as defined in subsection (hh)(1)),
.
(3)Temporary payment rates for certain services under the RHC AIR and FQHC PPS
(A)Section 1833 of the Social Security Act (42 U.S.C. 1395l) is amended—
(i)in subsection (a)(3)(A), by inserting (which shall, in the case of audiology services (as defined in section 1861(ll)(3)), in lieu of any limits on reasonable charges otherwise applicable, be based on the rates payable for such services under the payment basis determined under section 1848 until such time as the Secretary determines sufficient data has been collected to otherwise apply such limits)
after may prescribe in regulations
; and
(ii)by adding at the end the following new subsection:
(ee)Disregard of costs attributable to certain services from calculation of RHC AIRPayments for rural health clinic services other than audiology services (as defined in section 1861(ll)(3)) under the methodology for all-inclusive rates (established by the Secretary) under subsection (a)(3) shall not take into account the costs of such services while rates for such services are based on rates payable for such services under the payment basis established under section 1848..
(B)Section 1834(o) of the Social Security Act (42 U.S.C. 1395m(o)) is amended by adding at the end the following new paragraph:
(5)Temporary payment rates based on PFS for certain servicesThe Secretary shall, in establishing payment rates for audiology services (as defined in section 1861(ll)(3)) that are Federally qualified health center services under the prospective payment system established under this subsection, in lieu of the rates otherwise applicable under such system, base such rates on rates payable for such services under the payment basis established under section 1848 until such time as the Secretary determines sufficient data has been collected to otherwise establish rates for such services under such system. Payments for Federally qualified health center services other than such audiology services under such system shall not take into account the costs of such services while rates for such services are based on rates payable for such services under the payment basis established under section 1848..
(f)In addition to amounts otherwise available, there is appropriated to the Secretary of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $370,000,000, to remain available until expended, for purposes of implementing the amendments made by this section during the period beginning on January 1, 2022, and ending on September 30, 2031.
I
1Health care infrastructure and workforce
31001.Funding to support core public health infrastructure for State, territorial, local, and Tribal health departments at the Centers for Disease Control and Prevention
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Health and Human Services (in this subtitle referred to as the Secretary
), acting through the Director of the Centers for Disease Control and Prevention (in this section referred to as the Director
), for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, and to remain available until expended—
(1)for the purposes of carrying out subsection (c)(1)(A)—
(A)$200,000,000 in fiscal year 2022;
(B)$300,000,000 in fiscal year 2023; and
(C)$1,000,000,000 in each of fiscal years 2024 through 2026;
(2)for the purposes of carrying out subsection (c)(1)(B)—
(A)$100,000,000 in fiscal year 2022;
(B)$150,000,000 in fiscal year 2023; and
(C)$500,000,000 in each of fiscal years 2024 through 2026; and
(3)for the purposes of carrying out subsection (d)—
(A)$100,000,000 in fiscal year 2022;
(B)$150,000,000 in fiscal year 2023; and
(C)$500,000,000 in each of fiscal years 2024 through 2026.
(b)Amounts made available pursuant to subsection (a) shall be used to support core public health infrastructure activities to strengthen the public health system of the United States, including by awarding grants under this section and expanding and improving activities of the Centers for Disease Control and Prevention under subsections (c) and (d).
(c)
(1)For the purpose of addressing core public health infrastructure needs, the Secretary shall award—
(A)a grant to each State or territorial health department, and to local health departments that serve counties with a population of at least 2,000,000 or cities with a population of at least 400,000 people; and
(B)grants on a competitive basis to State, territorial, local, or Tribal health departments.
(2)
(A)Reallocation to local health departmentsA State health department receiving funds under subparagraph (A) or (B) of paragraph (1) shall allocate at least 25 percent of the such funds to local health departments, as applicable, within the State to support contributions of the local health departments to core public health infrastructure.
(B)Progress in meeting accreditation standardsA health department receiving funds under this section that is not accredited shall report to the Secretary on an annual basis how the department is working to meet accreditation standards.
(3)Formula grants to health departmentsIn awarding grants under paragraph (1), the Secretary shall award funds to each health department in accordance with a formula which considers population size, the Social Vulnerability Index of the Centers for Disease Control and Prevention, and other factors as determined by the Secretary.
(4)Competitive grants to State, territorial, local, and Tribal health departmentsIn making grants under paragraph (1)(B), the Secretary shall give priority to applicants demonstrating core public health infrastructure needs for public health agencies in the applicant’s jurisdiction.
(5)
(A)The Secretary may make available a subset of the funds available for grants under paragraph (1) for purposes of awarding grants to State, territorial, local, and Tribal health departments for planning or to support public health accreditation.
(B)Recipients of such grants may use the grant funds to assess core public health infrastructure needs and report to the Centers for Disease Control and Prevention on efforts to achieve accreditation, as applicable.
(6)To be eligible for a grant under this section, an entity shall—
(A)submit an application in such form and containing such information as the Secretary shall require;
(B)demonstrate to the satisfaction of the Secretary that—
(i)funds received through the grant will be expended only to supplement, and not supplant, non-Federal and Federal funds otherwise available to the entity for the purpose of addressing core public health infrastructure needs; and
(ii)with respect to activities for which the grant is awarded, the entity will maintain expenditures of non-Federal amounts for such activities at a level not less than the level of such expenditures maintained by the entity for fiscal year 2019; and
(C)agree to report annually to the Director regarding the use of the grant funds.
(d)Core public health infrastructure and activities for the CDCThe Secretary, acting through the Director, shall expand and improve the core public health infrastructure and activities of the Centers for Disease Control and Prevention to support activities necessary to address unmet, ongoing, and emerging public health needs, including prevention, preparation for, and response to public health emergencies.
(e)In this section, the term core public health infrastructure includes—
(1)health equity activities;
(2)workforce capacity and competency;
(3)all hazards public health and preparedness;
(4)testing capacity, including test platforms, mobile testing units, and personnel;
(5)health information, health information systems, and health information analysis (including data analytics);
(6)epidemiology and disease surveillance;
(7)contact tracing;
(8)policy and communications;
(9)financing;
(10)community partnership development; and
(11)relevant components of organizational capacity.
(f)Amounts made available by this section shall be used to supplement, and not supplant, amounts otherwise made available for the purposes described in this Act.
31002.Funding for health center capital grants
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until expended, for necessary expenses for awarding grants and entering into cooperative agreements for capital projects to health centers funded under section 330 of the Public Health Service Act (42 U.S.C. 254b) to be awarded without regard to the time limitation in subsection (e)(3) and subsections (e)(6)(A)(iii), (e)(6)(B)(iii), and (r)(2)(B) of such section 330, and for necessary expenses for awarding grants and cooperative agreements for capital projects to Federally qualified health centers, as described in section 1861(aa)(4)(B) of the Social Security Act (42 U.S.C. 1395x(aa)(4)(B)). The Secretary shall take such steps as may be necessary to expedite the awarding of such grants to Federally qualified health centers for capital projects.
(b)Amounts made available to a recipient of a grant or cooperative agreement pursuant to subsection (a) shall be used for health center facility alteration, renovation, remodeling, expansion, construction, and other capital improvement costs, including the costs of amortizing the principal of, and paying interest on, loans for such purposes.
31003.Funding for teaching health center graduate medical education
(a)In addition to amounts otherwise available, and notwithstanding the limitations referred to in subsections (b)(2) and (d)(2) of section 340H of the Public Health Service Act (42 U.S.C. 256h), there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,370,000,000, to remain available until expended, for—
(1)the program of payments to teaching health centers that operate graduate medical education programs under such section; and
(2)the award of teaching health center development grants pursuant to section 749A of the Public Health Service Act (42 U.S.C. 293l–1).
(b)Exemption From Amount and Duration LimitationsSubsection (b) of section 749A of the Public Health Service Act (42 U.S.C. 293l–1) shall not apply with respect to amounts awarded under such section out of amounts appropriated under subsection (a) or under section 2604 of the American Rescue Plan Act (Public Law 117–2).
(c)Amounts made available pursuant to subsection (a) shall be used for the following activities:
(1)For making payments to establish new approved graduate medical residency training programs pursuant to section 340H(a)(1)(C) of the Public Health Service Act (42 U.S.C. 256h(a)(1)(C)).
(2)For making payments under section 340H(a)(1)(A) of the Public Health Service Act (42 U.S.C. 256h(a)(1)(A))) to qualified teaching health centers for maintenance of filled positions at existing approved graduate medical residency training programs.
(3)For making payments under section 340H(a)(1)(B) of the Public Health Service Act (42 U.S.C. 256h(a)(1)(B)) for the expansion of existing approved graduate medical residency training programs.
(4)For making awards under section 749A of the Public Health Service Act (42 U.S.C. 293l–1) to teaching health centers for the purpose of establishing new accredited or expanded primary care residency programs.
(5)To provide an increase to the per resident amount described in section 340H(a)(2) of the Public Health Service Act (42 U.S.C. 256h(a)(2)).
(d)In making payments and awards under subsection (c), the Secretary shall, in addition to the requirements of paragraphs (3)(A) and (3)(B) of section 340H of the Public Health Service Act (42 U.S.C. 256h), make payments and awards to eligible entities in a manner that accounts for States or territories in which there is no existing qualified teaching health center funded by payments under such section 340H.
31004.Funding for children’s hospitals that operate graduate medical education programsIn addition to amounts otherwise available, and notwithstanding the caps on awards specified in paragraphs (1) and (2) of subsection (b) and (h)(1) of section 340E of the Public Health Service Act (42 U.S.C. 256e), there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $150,000,000, to remain available until expended, for carrying out such section 340E of the Public Health Service Act (42 U.S.C. 256e).
31005.Funding for National Health Service CorpsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $650,000,000, to remain available until expended, for carrying out sections 338A, 338B, and 338I of the Public Health Service Act (42 U.S.C. 254l, 254l–1, 254q–1).
31006.Funding for the Nurse CorpsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $200,000,000, to remain available until expended, for carrying out section 846 of the Public Health Service Act (42 U.S.C. 297n).
31007.Funding for palliative care and hospice education and training
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $30,000,000, to support the establishment or operation of programs that—
(1)support training of health professionals in palliative and hospice care (including through traineeships or fellowships); and
(2)foster patient and family engagement, integration of palliative and hospice care with primary care and other appropriate specialties, and collaboration with community partners to address gaps in health care for individuals in need of palliative or hospice care.
(b)The Secretary shall, giving priority to applicants proposing to carry out programs or activities that demonstrate coordination with other Federal or State programs and are expected to substantially benefit rural populations, medically underserved populations, medically underserved communities, Indian Tribes or Tribal organizations, or Urban Indian organizations, use amounts appropriated by subsection (a) to carry out a program to award grants or contracts to entities defined in paragraph (1), (3), or (4) of section 799B of the Public Health Service Act (42 U.S.C. 295p) or section 801(2) of such Act (42 U.S.C. 296) for purposes of carrying out the following activities:
(1)Clinical training on providing integrated palliative and hospice care and primary care delivery services.
(2)Interprofessional or interdisciplinary training to practitioners from multiple disciplines and specialties, including training on the provision of care to individuals with palliative or hospice care needs.
(3)Establishing or maintaining training-related community-based programs for individuals with palliative or hospice care needs and caregivers to improve quality of life, and where appropriate, health outcomes for individuals who have palliative or hospice care needs.
31008.Funding for palliative medicine physician training
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to carry out a program to award grants and contracts to accredited schools of medicine, schools of osteopathic medicine, teaching hospitals, and graduate medical education programs for the purpose of providing support for projects that fund the training of physicians or specialists who plan to teach or practice palliative medicine.
(b)Amounts made available to an awardee pursuant to subsection (a) shall be used to—
(1)provide training in interprofessional or interdisciplinary team-based palliative medicine through a variety of service rotations, such as rotations with respect to consultation services or acute and chronic care services, and rotations in other health care settings, including extended care facilities, ambulatory care and comprehensive evaluation units, hospices, home care, and community care programs;
(2)develop specific performance-based measures to evaluate the competency of trainees; and
(3)provide training in interprofessional or interdisciplinary, team-based palliative medicine.
(c)Graduate medical education program definedIn this section, the term graduate medical education program
means a program sponsored by an accredited school of medicine, an accredited school of osteopathic medicine, a hospital, or a public or private institution that—
(1)offers postgraduate medical training in the specialties and subspecialties of medicine; and
(2)has been accredited by—
(A)the Accreditation Council for Graduate Medical Education; or
(B)the American Osteopathic Association through its Committee on Postdoctoral Training (or a successor committee).
31009.Funding for palliative care and hospice academic career awardsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to establish a program, consistent with section 753(b) of the Public Health Service Act (42 U.S.C. 294c(b)), including paragraphs (5)(A) and (5)(B) of such section 753(b) concerning the maximum amount and duration of awards, respectively, except that such program shall be to provide awards to accredited schools of medicine, osteopathic medicine, nursing, social work, psychology, allied health, dentistry, or chaplaincy applying on behalf of board-certified or board-eligible individuals in hospice and palliative medicine that have an early-career junior (non-tenured) faculty appointment at an accredited school of medicine, or osteopathic medicine, nursing, social work, psychology, allied health, dentistry, or chaplaincy, to promote the academic career development of individuals as hospice and palliative care specialists.
31010.Funding for hospice and palliative nursing
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to establish a program to award grants and contracts to accredited schools of nursing, health care facilities, programs leading to certification as a certified nurse assistant, partnerships of such schools and facilities, or partnerships of such programs and facilities to develop and implement, in coordination with other hospice and palliative care programs administered by the Department of Health and Human Services, programs and initiatives to train and educate individuals in providing interprofessional, interdisciplinary, team-based palliative care in health-related educational, hospital, hospice, home, or long-term care settings.
(b)Amounts made available to an awardee pursuant to subsection (a) shall be used to—
(1)provide training to individuals who will provide palliative care in health-related educational, hospital, home, hospice, or long-term care settings;
(2)develop and disseminate curricula relating to palliative care in health-related educational, hospital, home, hospice, or long-term care settings;
(3)train faculty members in palliative care in health-related educational, hospital, home, hospice, or long-term care settings; and
(4)provide continuing education to individuals who provide palliative care in health-related educational, home, hospice, or long-term care settings.
31011.Funding for dissemination of palliative care information
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until expended, for the purpose described in subsection (b).
(b)The Secretary, after consultation with appropriate medical and other health professional societies and palliative care and hospice stakeholders, shall use amounts appropriated by subsection (a) to award grants or contracts to public and nonprofit private entities to disseminate information to inform patients, families, caregivers, direct care workers, and health professionals about the benefits of palliative care throughout the continuum of care for patients with serious or life-threatening illness. Such awareness campaign shall include—
(1)information, resources, communication, and education materials about palliative care for patients and families facing serious or life-threatening illnesses;
(2)information regarding hospice and palliative care services, including information on how such services may—
(A)incorporate age-friendly, patient-centered, and family-centered support throughout the continuum of care for serious and life-threatening illness;
(B)anticipate, prevent, and treat pain;
(C)optimize quality of life; and
(D)facilitate and support the goals and values of patients and families;
(3)materials that explain the role of professionals trained in hospice and palliative care in providing team-based care for patients and families throughout the continuum of care for serious or life-threatening illness; and
(4)materials for specific populations, including patients with serious or life-threatening illness who are among medically underserved populations (as defined in section 330(b)(3) of the Public Health Service Act (42 U.S.C. 254b(b)(3)) and families of such patients or health professionals serving medically underserved populations.
2
31021.Funding for laboratory activities at the Centers for Disease Control and Prevention
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,400,000,000 to remain available until expended, for purposes of carrying out activities consistent with subsection (b).
(b)The Secretary, acting through the Director of the Centers for Disease Control and Prevention, shall use amounts made available pursuant to subsection (a) for the following activities:
(1)Supporting renovation, improvement, expansion, and modernization of State and local public health laboratory infrastructure (as the term laboratory is defined in section 353 of the Public Health Service Act (42 U.S.C. 263a)), including—
(A)the improvement and enhancement of testing and response capacity;
(B)improvements and expansion of the Laboratory Response Network for rapid outbreak detection;
(C)the improvement and expansion of genomic sequencing capabilities to detect emerging diseases and variant strains; and
(D)the improvement and expansion of biosafety and biosecurity capacity.
(2)Enhancing the capacity of the laboratories of the Centers for Disease Control and Prevention as described in subparagraphs (A) through (D) of paragraph (1).
(3)Enhancing the ability of the Centers for Disease Control and Prevention to monitor and exercise oversight over the biosafety and biosecurity of State and local public health laboratories.
31022.Funding for public health and preparedness research, development, and countermeasure capacity
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,300,000,000, to carry out activities to prepare for, and respond to, public health emergencies declared under section 319 of the Public Health Service Act (42 U.S.C. 247d), as described in subsection (b), to remain available until expended.
(b)The Secretary, acting through the Assistant Secretary for Preparedness and Response, shall use amounts made available pursuant to subsection (a)—
(1)to support surge capacity, including through construction, expansion, or modernization of facilities, to respond to a public health emergency, and for development, procurement, and domestic manufacture of drugs, active pharmaceutical ingredients, vaccines and other biological products, diagnostic technologies and products, medical devices (including personal protective equipment), vials, syringes, needles, and other components or supplies for the Strategic National Stockpile under section 319F–2 of the Public Health Service Act (42 U.S.C. 247d–6b);
(2)to support expanded global and domestic vaccine production capacity and capabilities, including by developing or acquiring new technology and expanding manufacturing capacity through construction, expansion, or modernization of facilities;
(3)to support activities to mitigate supply chain risks and enhance supply chain elasticity and resilience for critical drugs, active pharmaceutical ingredients, and supplies (including essential medicines, medical countermeasures, and supplies in shortage or at risk of shortage), drug and vaccine raw materials, and other supplies, as the Secretary determines appropriate, including construction, expansion, or modernization of facilities, adoption of advanced manufacturing processes, and other activities to support domestic manufacturing of such supplies;
(4)to support activities conducted by the Biomedical Advanced Research and Development Authority for advanced research, standards development, and domestic manufacturing capacity for drugs, including essential medicines, diagnostics, vaccines, therapeutics, and personal protective equipment; and
(5)to support increased biosafety and biosecurity in research on infectious diseases, including by modernization or improvement of facilities.
31023.Funding for infrastructure modernization and innovation at the Food and Drug AdministrationIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until expended, with respect to improving and modernizing infrastructure at the Food and Drug Administration and enhancing food and medical product safety—
(1)$150,000,000 for improving technological infrastructure, including through developing integrated systems and improving the interoperability of information technology systems; and
(2)$150,000,000 for modernizing laboratory infrastructure of, or used by, the Food and Drug Administration, including modernization of facilities related to, and supporting, such laboratory infrastructure, including through planning for, and the construction, repair, improvement, extension, alteration, demolition, and purchase of, fixed equipment or facilities.
3
31031.Funding for local entities addressing social determinants of maternal health
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until expended, for carrying out a program to award grants or contracts to community-based organizations, Indian Tribes and Tribal organizations, Urban Indian organizations, Native Hawaiian organizations, or other nonprofit organizations working with a community-based organization, or consortia of any such entities, operating in areas with high rates of adverse maternal health outcomes or with significant racial or ethnic disparities in maternal health outcomes.
(b)Amounts made available by subsection (a) shall be used for the following activities:
(1)Addressing social determinants of health (as described in Healthy People 2030), including social determinants of maternal health, for pregnant and postpartum individuals and eliminating racial and ethnic disparities in maternal health outcomes by—
(A)hiring, training, or retaining staff;
(B)developing or distributing culturally and linguistically appropriate resources for social services programs;
(C)offering programs and resources to address social determinants of health;
(D)conducting demonstration projects to address social determinants of health;
(E)establishing a culturally and linguistically appropriate resource center that provides multiple social services programs in a single location; and
(F)consulting with pregnant and postpartum individuals to conduct an assessment of the activities conducted under this section.
(2)Promoting evidence-based health literacy and pregnancy, childbirth, and parenting education for pregnant and postpartum individuals, and individuals seeking to become pregnant.
(3)Providing support from perinatal health workers, including clinical and community-based staff members that provide direct care and support services to pregnant and postpartum individuals.
(4)Providing culturally congruent, linguistically appropriate, and trauma-informed training to perinatal health workers, including clinical and community-based staff members that provide direct care and support services to pregnant and postpartum individuals.
(c)Using amounts made available under subsection (a), the Secretary shall—
(1)conduct outreach to eligible entities to apply for grants or contracts under subsection (a); and
(2)provide technical assistance, including through a grant or contract, to eligible entities receiving funding pursuant to subsection (a).
31032.Funding for the Office of Minority Health
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $75,000,000, to remain available until expended, for carrying out a program to award grants or contracts to community-based organizations operating in areas with high rates of adverse maternal health outcomes or with significant racial or ethnic disparities in maternal health outcomes.
(b)The Secretary, acting through the Deputy Assistant Secretary for Minority Health, shall use amounts made available under subsection (a) to award grants for the following activities:
(1)Addressing social determinants of health, including social determinants of maternal health, for pregnant and postpartum individuals and eliminating racial and ethnic disparities in maternal health outcomes by—
(A)hiring, training, or retaining staff;
(B)developing or distributing culturally and linguistically appropriate resources for social services programs;
(C)offering programs and resources to address social determinants of health;
(D)conducting demonstration projects to address social determinants of health;
(E)establishing a culturally and linguistically appropriate resource center that provides multiple social services programs in a single location; and
(F)consulting with pregnant and postpartum individuals to conduct an assessment of the activities conducted under this section.
(2)Promoting evidence-based health literacy and pregnancy, childbirth, and parenting education for pregnant and postpartum individuals, and individuals seeking to become pregnant.
(3)Providing support from perinatal health workers, including clinical and community-based staff members that provide direct care and support services to pregnant and postpartum individuals.
(4)Providing culturally congruent, linguistically appropriate, and trauma-informed training to perinatal health workers, including clinical and community-based staff members that provide direct care and support services to pregnant and postpartum individuals.
(c)Using amounts made available under subsection (a), the Secretary shall—
(1)conduct outreach to eligible entities to apply for grants or contracts under subsection (a); and
(2)provide technical assistance, including through a grant or contract, to eligible entities receiving funding pursuant to subsection (a).
31033.Funding to grow and diversify the nursing workforce in maternal and perinatal health
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $170,000,000, to remain available until expended, for carrying out a program to award grants or contracts to accredited schools of nursing for the purpose of growing and diversifying the perinatal nursing workforce, including through improving the capacity and supply of health care providers.
(b)
(1)Prioritizing students and registered nurses who plan to practice or currently practice in a health professional shortage area designated under section 332 of the Public Health Service Act (42 U.S.C. 254e), amounts made available to awardees by subsection (a) shall be used for the following activities:
(A)Providing scholarships to students, including those from racial and ethnic groups underrepresented in the health professions, seeking to become nurse practitioners whose education includes a focus on maternal and perinatal health.
(B)Providing scholarships to students seeking to become clinical nurse specialists whose education includes a focus on maternal and perinatal health.
(C)Providing scholarships to students seeking to become certified nurse midwives.
(D)Providing scholarships to registered nurses seeking certification as an obstetrics and gynecology registered nurse.
(2)The Secretary shall use amounts made available pursuant to subsection (a) for the following activities:
(A)Developing and implementing strategies to recruit and retain a diverse pool of students seeking to enter careers focused on maternal and perinatal health.
(B)Developing partnerships with practice settings in a health professional shortage area designated under such section for the clinical placements of students at the schools receiving such grants.
(C)Developing curriculum for students seeking to enter careers focused on maternal and perinatal health that includes training programs on bias, racism, discrimination, providing culturally competent care, or trauma-informed care.
(D)Carrying out other activities under title VIII of the Public Health Service Act for the purpose under subsection (a).
31034.Funding for perinatal quality collaborativesIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, for carrying out a program to establish or support perinatal quality collaboratives to improve perinatal care and perinatal health outcomes for pregnant and postpartum individuals and their infants.
31035.Funding to grow and diversify the doula workforce
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, for carrying out a program to award grants or contracts to health professions schools, academic health centers, State or local governments, territories, Indian Tribes and Tribal organizations, Urban Indian organizations, Native Hawaiian organizations, or other appropriate public or private nonprofit entities (or consortia of any such entities, including entities promoting multidisciplinary approaches), to establish or expand programs to grow and diversify the doula workforce, including through improving the capacity and supply of health care providers.
(b)Amounts made available by subsection (a) shall be used for the following activities:
(1)Establishing programs that provide education and training to individuals seeking appropriate training or certification as doulas.
(2)Expanding the capacity of existing programs described in paragraph (1), for the purpose of increasing the number of students enrolled in such programs, including by awarding scholarships for students who agree to work in underserved communities after receiving such education and training.
(3)Developing and implementing strategies to recruit and retain students from underserved communities, particularly from demographic groups experiencing high rates of maternal mortality and severe maternal morbidity, including racial and ethnic minority groups, into programs described in paragraphs (1) and (2).
31036.Funding to grow and diversify the maternal mental health and substance use disorder treatment workforce
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $75,000,000, to remain available until expended, for carrying out a program to award grants or contracts to health professions schools, academic health centers, State or local governments, territories, Indian Tribes and Tribal organizations, Urban Indian organizations, Native Hawaiian organizations, or other appropriate public or private nonprofit entities (or consortia of any such entities, including entities promoting multidisciplinary approaches), to establish or expand programs to grow and diversify the maternal mental health and substance use disorder treatment workforce, including through improving the capacity and supply of health care providers.
(b)Amounts made available by subsection (a) shall be used for the following activities:
(1)Establishing programs that provide education and training to individuals seeking appropriate licensing or certification as mental health or substance use disorder treatment providers who plan to specialize in maternal mental health conditions or substance use disorders.
(2)Expanding the capacity of existing programs described in paragraph (1), for the purposes of increasing the number of students enrolled in such programs, including by awarding scholarships for students.
(3)Developing and implementing strategies to recruit and retain students from underserved communities into programs described in paragraphs (1) and (2).
31037.Funding for maternal mental health equity grant programs
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until expended, for carrying out a program to award grants or contracts to community-based organizations, Indian Tribes and Tribal organizations, Urban Indian organizations, Native Hawaiian organizations, health care providers, accredited medical schools, accredited schools of nursing, teaching hospitals, accredited midwifery programs, physician assistant education programs, residency or fellowship programs, or other nonprofit organizations, schools, or programs determined appropriate by the Secretary, or consortia of any such entities, to address maternal mental health conditions and substance use disorders with respect to pregnant, lactating, and postpartum individuals in areas with high rates of adverse maternal health outcomes or with significant racial or ethnic disparities in maternal health outcomes.
(b)Amounts made available pursuant to subsection (a), prioritizing community-based organizations, shall be for the following activities:
(1)Establishing or expanding maternity care programs to improve—
(A)the integration of mental health and substance use disorder treatment services into primary care settings where pregnant individuals regularly receive health care services; and
(B)the coordination between such primary care settings and mental health and substance use disorder professionals who treat maternal mental health conditions and substance use disorders.
(2)Establishing or expanding programs that improve maternal mental health and substance use disorder treatment from the preconception through the postpartum periods, with a focus on individuals from racial and ethnic minority groups with high rates of maternal mortality and morbidity.
(3)Establishing or expanding programs to prevent suicide or self-harm among pregnant, lactating, and postpartum individuals.
(4)Establishing or expanding programs to provide education and training to maternity care providers, with respect to identifying potential warning signs for maternal mental health conditions or substance use disorders in pregnant, lactating, and postpartum individuals, with a focus on individuals from racial and ethnic minority groups and offering referrals to mental health substance use disorder treatment professionals;
(5)Carrying out other evidence-based or evidence-informed programs to address maternal mental health conditions and substance use disorders for pregnant and postpartum individuals from racial and ethnic minority groups.
(6)Raising awareness of, and addressing stigma associated with, maternal mental health conditions and substance use disorders, with a focus on pregnant, lactating, and postpartum individuals from racial and ethnic minority groups.
31038.Funding for education and training at health professions schools to identify and address health risks associated with climate change
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $85,000,000, to remain available until expended, for carrying out a program to award grants or contracts to accredited medical schools, accredited schools of nursing, teaching hospitals, accredited midwifery programs, physician assistant education programs, residency or fellowship programs, or other schools or programs determined appropriate by the Secretary, or consortia of any such entities, to support the development and integration of education and training programs for identifying and addressing health risks associated with climate change for pregnant, lactating, and postpartum individuals.
(b)Amounts made available by subsection (a) shall be used for developing, integrating, and implementing curriculum and continuing education that focuses on the following:
(1)Identifying health risks associated with climate change for pregnant, lactating, and postpartum individuals and individuals with the intent to become pregnant.
(2)How health risks associated with climate change affect pregnant, lactating, and postpartum individuals and individuals with the intent to become pregnant.
(3)Racial and ethnic disparities in exposure to, and the effects of, health risks associated with climate change for pregnant, lactating, and postpartum individuals and individuals with the intent to become pregnant.
(4)Patient counseling and mitigation strategies relating to health risks associated with climate change for pregnant, lactating, and postpartum individuals.
(5)Relevant services and support for pregnant, lactating, and postpartum individuals relating to health risks associated with climate change and strategies for ensuring such individuals have access to such services and support.
(6)Implicit and explicit bias, racism, and discrimination in providing care to pregnant, lactating, and postpartum individuals and individuals with the intent to become pregnant.
31039.Funding for minority-serving institutions to study maternal mortality, severe maternal morbidity, and adverse maternal health outcomes
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended for carrying out a program to award grants or contracts to minority-serving institutions described in section 371 of the Higher Education Act of 1965 (20 U.S.C. 1067q) to study maternal mortality, severe maternal morbidity, and maternal health outcomes.
(b)Amounts made available to an awardee under subsection (a) shall be used for the purpose specified in such subsection, including the following activities:
(1)Developing and implementing systematic processes of listening to the stories of pregnant and postpartum individuals from racial and ethnic minority groups, and perinatal health workers supporting such individuals, to fully understand the causes of, and inform potential solutions to, the maternal mortality and severe maternal morbidity crisis within their respective communities.
(2)Assessing the potential causes of relatively low rates of maternal mortality among Hispanic individuals and foreign-born Black women.
(3)Assessing differences in rates of adverse maternal health outcomes among subgroups identifying as Hispanic.
(4)Conducting research on maternal morbidity and mortality, with a focus on health disparities.
(c)Using amounts made available by subsection (a), the Secretary shall conduct outreach to minority-serving institutions (as described in section 371 of the Higher Education Act of 1965 (20 U.S.C. 1067q))—
(1)to inform and raise awareness of the availability funding through a grant or contract awarded pursuant to this section;
(2)to provide technical assistance, including through a grant or contract, on the application process for grants or contracts awarded pursuant to subsection (a); and
(3)to promote capacity building to eligible entities for grant applications pursuant to subsection (a).
31040.Funding for identification of maternity care health professional target areasIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until expended, for carrying out section 332(k) of the Public Health Service Act (42 U.S.C. 254e(k)).
31041.Funding for maternal mortality review committees to promote representative community engagementIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, for carrying out section 317K(d) of the Public Health Service Act (42 U.S.C. 247b–12(d)) to promote community engagement in maternal mortality review committees to increase the diversity of a committee’s membership with respect to race and ethnicity, location, and professional background.
31042.Funding for the surveillance for emerging threats to mothers and babies
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until expended, for carrying out section 317C of the Public Health Service Act (42 U.S.C. 247b–4) with respect to conducting surveillance for emerging threats to mothers and babies.
(b)Amounts made available by subsection (a) shall be used for the following activities:
(1)Expanding the Surveillance for Emerging Threats to Mothers and Babies activities of the Centers for Disease Control and Prevention.
(2)Working with public health, clinical, and community-based organizations to provide timely, continually updated, evidence-based guidance to families and health care providers on ways to reduce risk to pregnant and postpartum individuals and their newborns and tailor interventions to improve their long-term health.
(3)Partnering with more State, Tribal, territorial, and local public health programs in the collection and analysis of clinical data on the impact of COVID–19 on pregnant and postpartum patients and their newborns, particularly among patients from racial and ethnic minority groups.
(4)Establishing regionally based centers of excellence to offer medical, public health, and other knowledge (in coordination with State and Tribal public health authorities) to ensure that communities, especially communities with large populations of individuals from racial and ethnic minority groups, can help pregnant and postpartum individuals and newborns get the care and support they need.
31043.Funding for enhancing reviews and surveillance to eliminate maternal mortality program
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $30,000,000, to remain available until expended, for carrying out the Enhancing Reviews and Surveillance to Eliminate Maternal Mortality program established under section 317K of the Public Health Service Act (42 U.S.C. 247b–12).
(b)Amounts made available by subsection (a) shall be used for the following activities:
(1)Expanding the Enhancing Reviews and Surveillance to Eliminate Maternal Mortality program (commonly known as the ERASE MM program
) of the Centers for Disease Control and Prevention.
(2)Expanding partnerships with States, territories, Indian Tribes, and Tribal organizations to support Maternal Mortality Review Committees.
(3)Providing technical assistance to existing maternal mortality review committees.
31044.Funding for the pregnancy risk assessment monitoring system
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available until expended, for carrying out section 317K of the Public Health Service Act (42 U.S.C. 247b–12) with respect to the Pregnancy Risk Assessment Monitoring System.
(b)Amounts made available by subsection (a) shall be used for the following activities:
(1)Supporting COVID–19 supplements to the Pregnancy Risk Assessment Monitoring System questionnaire.
(2)Conducting a rapid assessment of COVID–19 awareness, impact on care and experiences, and use of preventive measures among pregnant, laboring and birthing, and postpartum individuals.
(3)Supporting the transition of the questionnaire described in paragraph (1) to an electronic platform and expanding the distribution of the questionnaire to a larger population, with a special focus on reaching underrepresented communities.
31045.Funding for the National Institute of Child Health and Human DevelopmentIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available until expended, for carrying out section 301 of the Public Health Service Act (42 U.S.C. 241), with respect to child health and human development and activities of the Eunice Kennedy Shriver National Institute of Child Health and Human Development described in section 448 of the Public Health Service Act (42 U.S.C. 285g), to conduct or support research for interventions to mitigate the effects of COVID–19 on pregnant, lactating, and postpartum individuals, with a particular focus on individuals from racial and ethnic minority groups.
31046.Funding for expanding the use of technology-enabled collaborative learning and capacity building models for pregnant and postpartum individuals
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $30,000,000, to remain available until expended, for carrying out a program to award grants or contracts to community-based organizations, Indian Tribes and Tribal organizations, Urban Indian organizations, health care providers, accredited medical schools, accredited schools of nursing, teaching hospitals, accredited midwifery programs, physician assistant education programs, residency or fellowship programs, or other schools or programs determined appropriate by the Secretary, or consortia of any such entities, that are operating in health professional shortage areas designated under section 332 of the Public Health Service Act (42 U.S.C. 254e) with high rates of adverse maternal health outcomes or significant racial and ethnic disparities in maternal health outcomes, to evaluate, develop, and expand the use of technology-enabled collaborative learning and capacity building models (as defined in section 330N of the Public Health Service Act (42 U.S.C. 254c–20)).
(b)
(1)A recipient of a grant or contract awarded pursuant to subsection (a) shall use such amounts to—
(A)train maternal health care providers, students, staff of community-based organizations, and other entities described in subsection (a) through the use and expansion of technology-enabled collaborative learning and capacity building models, including hardware and software that—
(i)enables distance learning and technical support; and
(ii)supports the secure exchange of electronic health information; and
(B)conduct evaluations on the use of technology-enabled collaborative learning and capacity building models to improve maternal health outcomes.
(2)The Secretary shall use amounts made available pursuant to subsection (a) to provide technical assistance to recipients of grants awarded pursuant to subsection (a) on the development, use, and sustainability of technology-enabled collaborative learning and capacity building models to expand access to maternal health services provided by such entities.
31047.Funding for promoting equity in maternal health outcomes through digital tools
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $30,000,000, to remain available until expended, for carrying out a program to award grants or contracts to community-based organizations, Indian Tribes and Tribal organizations, Urban Indian organizations, health care providers, accredited medical schools, accredited schools of nursing, teaching hospitals, accredited midwifery programs, physician assistant education programs, residency or fellowship programs, or other schools or programs determined appropriate by the Secretary, or consortia of any such entities, that are operating in health professional shortage areas designated under section 332 of the Public Health Service Act (42 U.S.C. 254e) with high rates of adverse maternal health outcomes or significant racial and ethnic disparities in maternal health outcomes to reduce racial and ethnic disparities in maternal health outcomes by increasing access to digital tools related to maternal health care.
(b)Amounts made available to an awardee pursuant to subsection (a) shall be used for the purpose specified in such subsection, including for increasing access to telehealth technologies (as defined in section 330I of the Public Health Service Act (42 U.S.C. 254c–14)) and digital tools that could improve maternal health outcomes, such as wearable technologies, patient portals, telehealth services, and web-based and mobile phone applications, digital health services, secure text messaging, online provider communities, mobile clinical decision support services, and clinical tools to increase diagnostic accuracy.
(c)Using amounts made available under subsection (a), the Secretary shall provide technical assistance, including through a grant or contract, to eligible entities receiving funding pursuant to subsection (a) on the development, use, evaluation, and post-grant sustainability of digital tools designed to promote equity and reduce disparities in maternal health outcomes.
31048.Funding for antidiscrimination and bias training
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, for the purpose described in subsection (b).
(b)The Secretary shall, with a focus on maternal health providers, use amounts appropriated under subsection (a) to carry out a program to award competitive grants or contracts to national nonprofit organizations focused on improving health equity, accredited schools of medicine or nursing, and other health professional training programs to develop, disseminate, review, research, and evaluate training for health professionals and all staff who interact with patients to reduce discrimination and bias in the provision of health care, with a focus on maternal health care.
4Other public health investments
31051.Funding for mental health and substance use disorder professionalsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, for purposes of carrying out section 597 of the Public Health Service Act (42 U.S.C. 290ll).
31052.Funding to support peer recovery specialistsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until expended, to carry out section 509 of the Public Health Service Act (42 U.S.C. 290bb–2) with respect to strengthening recovery community organizations and their statewide network of recovery stakeholders.
31053.Funding for Project AwareIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available until expended, for carrying out section 520A of the Public Health Service Act (42 U.S.C. 290bb–32) with respect to advancing wellness and resiliency in education.
31054.Funding for the National Suicide Prevention LifelineIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $75,000,000, to remain available until expended, for advancing infrastructure for the National Suicide Prevention Lifeline program under section 520E–3 of the Public Health Service Act (42 U.S.C. 290bb–36c) in order to expand existing capabilities for response in a manner that avoids duplicating existing capabilities for text-based crisis support.
31055.Funding for community violence and trauma interventions
(a)In addition to amounts otherwise available, there is appropriated to the Secretary, for fiscal year 2022, out of any money in the Treasury not otherwise appropriated $2,500,000,000, to remain available until expended, for the purposes described in subsection (b):
(b)The Secretary, acting through the Director of the Centers for Disease Control and Prevention, and in consultation with the Assistant Secretary for Mental Health and Substance Use, the Administrator of the Health Resources and Services Administration, the Deputy Assistant Secretary for Minority Health, and the Assistant Secretary for the Administration for Children and Families, shall use amounts appropriated by subsection (a) to support public health-based interventions to reduce community violence and trauma, taking into consideration the needs of communities with high rates of, and prevalence of risk factors associated with, violence-related injuries and deaths, by—
(1)awarding competitive grants or contracts to local governmental entities, States, territories, Indian Tribes and Tribal organizations, Urban Indian organizations, hospitals and community health centers, nonprofit community-based organizations, culturally specific organizations, victim services providers, or other entities as determined by the Secretary (or consortia of such entities) to support evidence-informed, culturally competent, and developmentally appropriate strategies to reduce community violence, including outreach and conflict mediation, hospital-based violence intervention, violence interruption, and services for victims and individuals and communities at risk for experiencing violence, such as trauma-informed mental health care and counseling, social-emotional learning and school-based mental health services, workforce development services, and other services that prevent or mitigate the impact of trauma, build appropriate skills, or promote resilience; and
(2)supporting training, technical assistance, research, evaluation, surveillance systems, data collection, and coordination among relevant stakeholders, to facilitate support for strategies to reduce community violence and ensure safe and healthy communities.
(c)Amounts appropriated under this section shall be used to supplement and not supplant any Federal, State, or local funding otherwise made available for the purposes described in this section.
(d)All expenditures made pursuant to subsection (a) shall be made on or before September 30, 2031.
31056.Funding for the National Child Traumatic Stress NetworkIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until expended, for carrying out section 582 of the Public Health Service Act (42 U.S.C. 290hh–1) with respect to addressing the problem of high-risk or medically underserved persons who experience violence-related stress.
31057.Funding for HIV health care services programsIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $75,000,000, to remain available until expended, for necessary expenses for modifications to existing contracts, and supplements to existing grants and cooperative agreements under parts A, B, C, and D of title XXVI of the Public Health Service Act and section 2692(a) of such Act (42 U.S.C. 300ff–111(a)).
31058.Funding for clinical services demonstration projectIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until expended, to, acting through the Administrator of the Health Resources and Services Administration, carry out a program to award grants or contracts to public and private nonprofit clinics for the provision of clinical services, pursuant to a demonstration project under section 318(b)(2) of the Public Health Service Act (42 U.S.C. 247c(b)(2)).
31059.Funding to support the lifespan respite care programIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until expended, for carrying out title XXIX of the Public Health Service Act.
31060.Funding to increase research capacity at certain institutions
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $75,000,000, to remain available until expended, for the purposes described in subsection (b).
(b)The Secretary, acting through the Director of the National Institutes of Health, shall use amounts made available under subsection (a) to—
(1)maintain and expand programs to increase research capacity at minority-serving institutions (as described in section 371 of the Higher Education Act of 1965 (20 U.S.C. 1067q)), including by supporting the Path to Excellence and Innovation program of the National Institutes of Health;
(2)support centers of excellence under sections 464z–4 and 736 of the Public Health Service Act (42 U.S.C. 285t–1, 293);
(3)support efforts to diversify the national scientific workforce and expand recruitment and retention of individuals who are—
(A)underrepresented in the biomedical, clinical, behavioral, and social sciences; and
(B)from disadvantaged backgrounds; and
(4)support and expand the activities of the Scientific Workforce Diversity Office of the National Institutes of Health.
31061.Funding for research related to developmental delays
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until expended, for the purpose described in subsection (b).
(b)The Secretary, acting through the Director of the National Institutes of Health, shall use amounts appropriated by subsection (a) to conduct or support research related to developmental delays, including speech and language delays in infants and toddlers, characterizing speech and language development and outcomes in infants and toddlers through early adolescence. Such research shall include studies, including longitudinal studies, conducted or supported by the National Institute on Deafness and Other Communication Disorders, the Eunice Kennedy Shriver National Institute of Child Health and Human Development, and other relevant institutes and centers of the National Institutes of Health.
(c)Amounts made available to carry out this section shall be used to supplement and not supplant other Federal, State, and local public funds expended to conduct or support research related to developmental delays, including speech and language delays, in infants, toddlers, and children.
31062.Supplemental funding for the World Trade Center Health Program
(a)Title XXXIII of the Public Health Service Act is amended by adding at the end the following:
3352.
(a)There is established a fund to be known as the World Trade Center Health Program Supplemental Fund (referred to in this section as the Supplemental Fund), consisting of amounts deposited into the Supplemental Fund under subsection (b).
(b)Out of any money in the Treasury not otherwise appropriated, there is appropriated for fiscal year 2022, $2,860,000,000, for deposit into the Supplemental Fund, which amounts shall remain available through fiscal year 2031.
(c)Amounts deposited into the Supplemental Fund under subsection (b) shall be available, without further appropriation and without regard to any spending limitation under section 3351(c), to the WTC Program Administrator as needed at the discretion of such Administrator for carrying out any provision in this title, including sections 3303 and 3341(c).
(d)Any amounts that remain in the Supplemental Fund on September 30, 2031, shall be deposited into the Treasury as miscellaneous receipts..
(b)Title XXXIII of the Public Health Service Act is amended—
(1)in section 3311(a)(4)(B)(i)(II) (42 U.S.C. 300mm–21(a)(4)(B)(i)(II)), by striking section 3351
and inserting sections 3351 and 3352
;
(2)in section 3321(a)(3)(B)(i)(II) (42 U.S.C. 300mm–31(a)(3)(B)(i)(II)), by striking section 3351
and inserting sections 3351 and 3352
;
(3)in section 3331 (42 U.S.C. 300mm–41)—
(A)in subsection (a), by inserting and the World Trade Center Health Program Supplemental Fund
before the period at the end; and
(B)in subsection (d)—
(i)in paragraph (1)(B), by inserting (excluding any expenditures from amounts in the World Trade Center Health Program Supplemental Fund under section 3352)
before the period at the end; and
(ii)in paragraph (2), in the flush text following subparagraph (C), by inserting (excluding any expenditures from amounts in the World Trade Center Health Program Supplemental Fund under section 3352)
before the period at the end; and
(4)in section 3351(b) (42 U.S.C. 300mm–61(b))—
(A)in paragraph (2), by inserting or as available from the World Trade Center Health Program Supplemental Fund under section 3352
before the period at the end; and
(B)in paragraph (3), by inserting or as available from the World Trade Center Health Program Supplemental Fund under section 3352
before the period at the end.
5Native Hawaiian Provisions
31071.Native Hawaiian health care systems
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, for the Secretary, not later than 180 days after the date of enactment of this Act, to award grants to, or enter into contracts with, Papa Ola Lokahi to support services described in section 6(c) of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11705(c)) in accordance with this section.
(b)Amounts made available to an awardee pursuant to subsection (a) shall be used for—
(1)the purchase, construction, alteration, renovation, or equipping of health facilities;
(2)maintenance and improvement projects;
(3)information technology, telehealth infrastructure, electric health records systems, and medical equipment; and
(4)awarding grants to, or entering into contracts with, Native Hawaiian health care systems (directly, or through subgrants or subcontracts) to support services described in section 6(c) of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11705(c)), on the condition that such grants or contracts may only be used for the purposes and uses described in paragraphs (1) through (3).
(c)Waiver of certain restrictionsSubsections (e) and (f)(4) of section 6 of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11705(e), 11705(f)(4)) shall not apply to grants (or subgrants) made using amounts made available under subsection (a).
(d)In this section:
(1)Native Hawaiian health care systemThe term Native Hawaiian health care system has the meaning given the term in section 12 of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11711).
(2)The term Papa Ola Lokahi has the meaning given the term in section 12 of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11711).
31072.Native Hawaiian health improvement grants
(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $224,000,000, to remain available until September 30, 2031, to award grants to eligible Native Hawaiian entities to improve the health status of Native Hawaiians, including by providing to Native Hawaiians comprehensive health promotion services, disease prevention services, and primary health services, as described in section 6(c) of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11705(c)).
(b)Definition of eligible Native Hawaiian entityIn this section, the term eligible Native Hawaiian entity means—
(1)Papa Ola Lokahi (as defined in section 12 of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11711));
(2)a Native Hawaiian health care system (as defined in section 12 of that Act (42 U.S.C. 11711));
(3)a Native Hawaiian organization (as defined in section 12 of that Act (42 U.S.C. 11711));
(4)a consortium of 2 or more entities described in paragraphs (1) through (3); and
(5)a consortium that contains at least 1 entity described in any of paragraphs (1) through (3).
31073.Native Hawaiian health care systems liability coverage
(a)Subject to subsections (b) and (c), the Secretary shall apply section 102(d) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5321(d)) to—
(1)a Native Hawaiian health care system that receives a grant from or enters into a contract with the Secretary under section 6 of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11705) to the same extent as section 102(d) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5321(d)) applies to an Indian Tribe, a Tribal organization, and an Indian contractor that carries out a contract, grant agreement, or cooperative agreement, as applicable, under section 102 or 103 of that Act (25 U.S.C. 5321, 5322); and
(2)the employees of a Native Hawaiian health care system that receives a grant from or enters into a contract with the Secretary under section 6 of the Native Hawaiian Health Care Improvement Act (42 U.S.C. 11705) to the same extent as section 102(d) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5321(d)) applies to the employees of an Indian Tribe, a Tribal organization, or an Indian contractor that carries out a contract, grant agreement, or cooperative agreement, as applicable, under section 102 or 103 of that Act (25 U.S.C. 5321, 5322).
(b)For purposes of subsection (a), each reference to December 22, 1987, and the reference to the date of enactment of the Indian Self-Determination and Education Assistance Act Amendments of 1990 contained in section 102(d) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5321(d)) shall be deemed to be a reference to the date of enactment of this section.
(c)This section shall cease to have force or effect on October 1, 2031.
J
31101.Deployment of Next Generation 9–1–1
(a)
(1)In addition to amounts otherwise available, there is appropriated to the Assistant Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $470,000,000, to remain available until September 30, 2030, to make grants to eligible entities for implementing and maintaining Next Generation 9–1–1 in accordance with subsection (b).
(2)In addition to amounts otherwise available, there is appropriated to the Assistant Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2030, to administer this section.
(b)An eligible entity may use grant funds received under this section for—
(1)reasonable costs associated with planning, implementation, and development activities, including such activities related to the grant application;
(2)deployment, operation, and maintenance of interoperable and reliable Next Generation 9–1–1, including ensuring the cybersecurity of Next Generation 9–1–1; and
(3)training of personnel related to Next Generation 9–1–1.
(c)The Assistant Secretary shall recover some or all of the grant funds made available to an eligible entity under this section if—
(1)the eligible entity uses the funds for any other purpose than those set forth in subsection (b);
(2)the eligible entity fails to establish a funding mechanism for Next Generation 9–1–1 sufficient to cover operations, maintenance, and upgrade costs within 3 years of the establishment of the grant program;
(3)the eligible entity engages in the diversion of any 9–1–1 fee or charge imposed by the eligible entity; or
(4)the eligible entity uses funds to purchase, rent, lease, or otherwise obtain covered communications equipment or services (as defined in section 9 of the Secure and Trusted Communications Networks Act of 2019 (47 U.S.C. 1608)).
31102.Establishment of Next Generation 9–1–1 Cybersecurity CenterIn addition to amounts otherwise available, there is appropriated to the National Telecommunications and Information Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $9,000,000, to remain available until September 30, 2030, for the establishment of a Next Generation 9–1–1 Cybersecurity Center to coordinate with State, local, and regional governments on the sharing of cybersecurity information about, the analysis of cybersecurity threats to, and strategies to detect and prevent cybersecurity intrusions relating to, Next Generation 9–1–1.
31103.Public Safety Next Generation 9–1–1 Advisory BoardIn addition to amounts otherwise available, there is appropriated to the National Telecommunications and Information Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000, to remain available until September 30, 2030, to establish a 16-member Public Safety Next Generation 9–1–1 Advisory Board, consisting of public safety officials and 9–1–1 professionals from diverse backgrounds and with the necessary technical expertise, to provide recommendations to the Assistant Secretary with respect to carrying out the duties and responsibilities of the Assistant Secretary related to Next Generation 9–1–1, including with respect to the grant program established under section 31101.
31104.In this subtitle:
(1)The term 9–1–1 fee or charge has the meaning given the term in section 6(f)(3)(D) of the Wireless Communications and Public Safety Act of 1999 (47 U.S.C. 615a–1(f)(3)(D)).
(2)The term Assistant Secretary means the Assistant Secretary of Commerce for Communications and Information.
(3)Commonly accepted standardsThe term commonly accepted standards means the technical standards followed by the communications industry for network, device, and Internet Protocol connectivity that—
(A)ensure interoperability by enabling emergency communications centers to receive, process, and analyze all types of 9–1–1 requests for emergency assistance (including multimedia and data) and share such requests with other emergency communications centers and emergency response providers without the need for proprietary interfaces and regardless of jurisdiction, equipment, device, software, service provider, or any other factor; and
(B)are developed and approved by a standards development organization that is accredited by a United States or international standards body through a process—
(i)that is consensus-based and open for participation, provides conflict resolution, and invites comment; and
(ii)through which standards are made publicly available once approved.
(4)The term eligible entity means a State or a Tribal organization that has—
(A)named a single point of contact to coordinate the implementation of Next Generation 9–1–1; and
(B)developed and submitted a plan for the coordination and implementation of Next Generation 9–1–1 consistent with any requirements of the Assistant Secretary.
(5)The term Next Generation 9–1–1 means an interoperable, secure, Internet Protocol-based system that—
(A)employs commonly accepted standards;
(B)enables emergency communications centers to receive, process, and analyze all types of 9–1–1 requests for emergency assistance;
(C)acquires and integrates additional information useful to handling 9–1–1 requests for emergency assistance;
(D)supports sharing information related to 9–1–1 requests for emergency assistance among emergency communications centers and emergency response providers without the need for proprietary interfaces and regardless of jurisdiction, equipment, device, software, service provider, or any other factor; and
(E)ensures reliability by enabling ongoing operation, including through the use of geo-diverse device and network agnostic elements that provide more than 1 physical route between end points with no common points where a single failure at that point would cause the operation of Next Generation 9–1–1 to fail.
(6)The term State means any State of the United States, the District of Columbia, Puerto Rico, American Samoa, Guam, the United States Virgin Islands, the Northern Mariana Islands, and any other territory or possession of the United States.
KOther Matters Related to Connectivity
31201.In addition to amounts otherwise available, there is appropriated to the Federal Communications Commission for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2031, to conduct outreach and provide education to the public regarding the broadband and communications affordability programs of the Federal Communications Commission to raise awareness about the programs and help consumers access the programs.
31202.Future of Telecommunications CouncilIn addition to amounts otherwise available, there is appropriated to the Secretary of Commerce for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $7,000,000, to remain available until September 30, 2031, to establish a council of 14 members in coordination with the Committee on Commerce, Science, and Transportation of the Senate, the Committee on Energy and Commerce of the House of Representatives, the Deputy Secretary of Commerce, the Assistant Secretary of Commerce for Communications and Information, the Under Secretary of Commerce for Standards and Technology, the Chair of the Federal Communications Commission, the Director of the National Science Foundation, the Majority Leader of the Senate, and the Speaker of the House of Representatives, to be known as the Future of Telecommunications Council
, to advise Congress on the development and adoption of 6G and other advanced wireless communications technologies, including ensuring equity in access to those technologies for communities of color and rural communities.
31203.
(a)In this section:
(1)Broadband; broadband serviceThe term broadband
or broadband service
has the meaning given the term broadband internet access service
in section 8.1 of title 47, Code of Federal Regulations, or any successor regulation.
(2)Covered broadband serviceThe term covered broadband service
means broadband service being delivered through a broadband network that can easily scale speeds over time to—
(A)meet the evolving connectivity needs of households and businesses; and
(B)support the deployment of 5G, successor wireless technologies, and other advanced services.
(3)Covered public-private partnershipThe term covered public-private partnership
means a partnership between—
(A)a State, 1 or more political subdivisions of a State, a utility (including a utility cooperative), a public utility district, a nonprofit organization, a regional planning council, or an economic development authority; and
(B)a provider of covered broadband service.
(4)The term State means any State of the United States, the District of Columbia, Puerto Rico, American Samoa, Guam, the United States Virgin Islands, the Northern Mariana Islands, and any other territory or possession of the United States.
(b)
(1)In addition to amounts otherwise available, there is appropriated to the National Telecommunications and Information Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $295,000,000, to remain available until September 30, 2031, for grants to covered public-private partnerships for pilot projects to increase access to affordable covered broadband service in urban communities, including communities of color and for low- and middle-income consumers, through long-term solutions for such affordability.
(2)In addition to amounts otherwise available, there is appropriated to the National Telecommunications and Information Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2031, to establish an advisory committee of 12 members consisting of experts on broadband affordability from diverse backgrounds, to be known as the Affordable Urban and Suburban Broadband Advisory Committee
, to advise the National Telecommunications and Information Administration, the Federal Communications Commission, and Congress on ways to make broadband more affordable for urban and suburban broadband subscribers, including for communities of color and low- and middle-income consumers, through long-term solutions for such affordability.
31204.
(a)In this section:
(1)The term Assistant Secretary
means the Assistant Secretary of Commerce for Communications and Information.
(2)The term connected device
means any of the following devices that meets minimum standards established by the Assistant Secretary:
(A)A WiFi-enabled desktop computer.
(B)A WiFi-enabled laptop computer.
(C)A WiFi-enabled tablet computer.
(D)Any similar WiFi-enabled device (except for a telephone or smartphone).
(3)Connected device distribution programThe term connected device distribution program
means a program approved by the Assistant Secretary that makes available connected devices for free or at a low cost to an eligible household.
(4)The term eligible household
means a household in which—
(A)at least one member of the household meets the qualifications for the Lifeline program of the Federal Communications Commission, except that a household shall be deemed to meet the income component of those qualifications if the household’s income is at or below 200 percent of the Federal Poverty Guidelines for a household of that size;
(B)at least one member of the household has applied for and been approved to receive benefits under the free and reduced price lunch program or the school breakfast program;
(C)at least one member of the household has received a Federal Pell Grant in the current award year, if such award is verifiable through the National Verifier or National Lifeline Accountability Database or a connected device distribution program verifies eligibility; or
(D)at least one member of the household receives assistance through the special supplemental nutritional program for women, infants, and children.
(b)Connected device grant program
(1)
(A)In addition to amounts otherwise available, there is appropriated to the Assistant Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $475,000,000, to remain available until September 30, 2031, for the awarding of grants to connected device distribution programs in accordance with this section.
(B)In addition to amounts otherwise available, there is appropriated to the Assistant Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2031, to administer this section, including providing technical assistance to a connected device distribution program.
(C)In addition to amounts otherwise available, there is appropriated to the Assistant Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2031, to conduct outreach related to the availability of grants under this section.
(2)
(A)A connected device distribution program shall use grant funds received under this section for—
(i)the reasonable purchase or refurbishment cost of connected devices for distribution to eligible households consistent with this section; and
(ii)the reasonable administrative costs associated with the distribution of connected devices described in clause (i).
(B)A connected device distribution program may use grant funds received under this section to provide not more than—
(i)1 connected device to an eligible household that includes not more than 2 members over the age of 6; or
(ii)2 connected devices to an eligible household that includes not fewer than 3 members over the age of 6.
(3)If a connected device distribution program is found to have used grant funds awarded under this section in a manner not permitted under this section or is found to have otherwise violated a requirement under this section, the Assistant Secretary shall recover from the program some or all of the grant funds awarded to the program.
L
31301.Additional support for distance learning
(a)In addition to amounts otherwise available, there is appropriated to the Emergency Connectivity Fund established under subsection (c)(1) of section 7402 of the American Rescue Plan Act of 2021 (Public Law 117–2) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $300,000,000, to remain available until September 30, 2030, to provide support under the covered regulations promulgated under subsection (a) of that section, except that that amount shall be used to provide support under the covered regulations for costs incurred after the date of enactment of this Act but before June 30, 2030, regardless of whether those costs are incurred during a COVID–19 emergency period (as defined in subsection (d) of that section).
(b)None of the funds appropriated under subsection (a) may be used to purchase, rent, lease, or otherwise obtain any covered communications equipment or service (as defined in section 9 of the Secure and Trusted Communications Networks Act of 2019 (47 U.S.C. 1608)).
MManufacturing Supply Chain and Tourism
31401.Manufacturing supply chain resilienceIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000,000, to remain available until September 30, 2026, to the Office of the Secretary of Commerce, to support the resilience of manufacturing supply chains affecting interstate commerce and related administrative costs, by—
(1)mapping and monitoring manufacturing supply chains;
(2)facilitating and supporting the establishment of voluntary standards, guidelines, and best practices;
(3)identifying, accelerating, promoting, demonstrating, and deploying technological advances for manufacturing supply chains; and
(4)providing grants, loans, and loan guarantees to maintain and improve manufacturing supply chain resiliency.
31402.Destination marketing organization grant program to promote safe domestic travel
(a)Grants for Domestic Marketing OrganizationsIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $47,500,000, to remain available until September 30, 2024, to the Secretary of Commerce to award grants to destination marketing organizations, including public or public-private entities that perform the functions of a destination marketing organization as determined by the Secretary, to conduct marketing activities to promote domestic travel within the United States, including with respect to current travel requirements and safe travel practices, with preference to destination marketing organizations promoting a town, city, State, or region where the civilian labor force in the accommodation, leisure, and hospitality sector has suffered, and continues to suffer, significant job losses as a result of the COVID–19 pandemic, as determined by the Secretary.
(b)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,500,000, to remain available until September 30, 2027, to the Secretary of Commerce for administrative costs associated with providing grants under subsection (a).
(c)Data on domestic travel and tourismIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000, to remain available until September 30, 2027, to the Secretary of Commerce to collect data on domestic travel and tourism in the United States, including the impact of the COVID–19 pandemic on domestic travel and tourism.
N
31501.Federal Trade Commission funding for a privacy bureau and related expensesIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $500,000,000, to remain available until September 30, 2029, to the Federal Trade Commission to create and operate a bureau, including by hiring and retaining technologists, user experience designers, and other experts as the Commission considers appropriate, to accomplish its work related to unfair or deceptive acts or practices relating to privacy, data security, identity theft, data abuses, and related matters.
ODepartment of Commerce Inspector General
31601.Funding for the Office of Inspector General of the Department of CommerceIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2030, to the Office of Inspector General of the Department of Commerce for oversight of activities supported with funds appropriated to the Department of Commerce in this Act.
IVCommittee on Financial Services
ACreating and Preserving Affordable, Equitable and Accessible Housing for the 21st Century
40001.Public housing investments
(a)In addition to amounts otherwise made available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$10,000,000,000, to remain available until September 30, 2031, for the Capital Fund under section 9(d) of the United States Housing Act of 1937 (42 U.S.C. 1437g(d)) pursuant to the same formula as in fiscal year 2021, to be made available within 60 days of the date of the enactment of this Act;
(2)$53,000,000,000, to remain available until September 30, 2026, for eligible activities under section 9(d)(1) of the United States Housing Act of 1937 (42 U.S.C. 1437g(d)(1)) for priority investments as determined by the Secretary to repair, replace, or construct properties assisted under such section 9;
(3)$1,200,000,000, to remain available until September 30, 2026, for competitive grants under section 24 of the United States Housing Act of 1937 (42 U.S.C. 1437v) (in this section referred to as section 24
), under the terms and conditions in subsection (b), for transformation, rehabilitation, and replacement housing needs of public and assisted housing, and to transform neighborhoods of poverty into functioning, sustainable mixed-income neighborhoods;
(4)$750,000,000, to remain available until September 30, 2031, for the costs to the Secretary of administering and overseeing the implementation of this section and the Public Housing Capital Fund and the section 24 grant program generally, including information technology, financial reporting, research and evaluation, other cross-program costs in support of programs administered by the Secretary in this title, and other costs; and
(5)$50,000,000, to remain available until September 30, 2031, to make new awards or increase prior awards to existing technical assistance providers to provide an increase in capacity building and technical assistance available to entities eligible for funding for activities or projects consistent with this section.
(b)Terms and conditions for section 24 grantsGrants awarded under subsection (a)(3) shall be subject to terms and conditions determined by the Secretary, which shall include the following:
(1)Grant funds may be used for resident and community services, community development and revitalization, and affordable housing needs in the community.
(2)Eligible recipients of grants shall include lead applicants and joint applicants, as follows:
(A)A lead applicant shall be a local government, a public housing agency, or an owner of an assisted housing property.
(B)A nonprofit organization or a for-profit developer may apply jointly as a joint applicant with such public entities specified in subparagraph (A).
(3)Grantees shall commit to a period of affordability determined by the Secretary of not fewer than 20 years, but the Secretary may specify a period of affordability that is fewer than 20 years with respect to homeownership units developed with section 24 grants.
(4)For purposes of environmental review, a grantee shall be treated as a public housing agency under section 26 of the United States Housing Act of 1937 (42 U.S.C. 1437x).
(5)Low-income and affordable housingAmounts made available under this section shall be used for low-income housing (as such term is defined under section 3(b) of the United States Housing Act of 1937 (42 U.S.C. 1437a(b))), assisted housing, and affordable housing, which shall be housing for which the owner of the project shall record an affordability use restriction approved by the Secretary for households earning up to 120 percent of the area median income and is subject to the period of affordability under paragraph (3) of this subsection.
(c)Other terms and conditionsGrants awarded under this section shall be subject to the following terms and conditions:
(1)Amounts provided pursuant to this section may not be used for operating costs or rental assistance.
(2)Paragraph (3) of section 9(g) of the United States Housing Act of 1937 (42 U.S.C. 1437g(g)(3)) shall not apply to new funds made available under this section.
(3)Amounts made available under this section shall be used to address health, safety, and environmental hazards, including lead, fire, carbon monoxide, mold, asbestos, radon, pest infestation, and other hazards as defined by the Secretary.
(4)Energy efficiency and resilienceAmounts made available under this section shall advance improvements to energy and water efficiency or climate and disaster resilience in housing assisted under this section.
(5)If the Secretary recaptures funding allocated by formula from a public housing agency under subsection (a)(1), such recaptured amounts shall be added to the amounts available under subsection (a)(2), and shall be obligated by the Secretary prior to the expiration of such funds.
(6)The Secretary shall ensure that amounts provided pursuant to this section shall serve to supplement and not supplant other amounts generated by a recipient of such amounts or amounts provided by other Federal, State, or local sources.
(7)Waivers and alternative requirementsThe Secretary may waive or specify alternative requirements for subsections (d)(1), (d)(2), (e), and (j) of section 9 of the United States Housing Act of 1937 (42 U.S.C. 1437g) and associated regulations in connection with the use of amounts made available under this section other than requirements related to tenant rights and protections, fair housing, nondiscrimination, labor standards, and the environment, upon a finding that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(d)The Secretary shall have authority to issue such regulations or notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40002.Investments in affordable and accessible housing production
(a)In addition to amounts otherwise made available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$9,925,000,000, to remain available until September 30, 2026, for activities and assistance for the HOME Investment Partnerships Program (in this section referred to as the HOME program
), as authorized under sections 201 through 253 and 255 through 290 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12721-12753, 42 U.S.C. 12755-12840) (in this section referred to as NAHA
), subject to the terms and conditions paragraph (1)(A) of subsection (b);
(2)$14,925,000,000, to remain available until September 30, 2026, for activities and assistance for the HOME Investment Partnerships Program, as authorized under sections 201 through 253 and 255 through 290 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12721-12753, 42 U.S.C. 12755-12840), subject to the terms and conditions in paragraphs (1)(B) and (2) of subsection (b);
(3)$50,000,000, to remain available until September 30, 2031, to make new awards or increase prior awards to existing technical assistance providers to provide an increase in capacity building and technical assistance available to any grantees implementing activities or projects consistent with this section; and
(4)$100,000,000, to remain available until September 30, 2031, for the costs to the Secretary of administering and overseeing the implementation of this section and the HOME and Housing Trust Fund programs generally, including information technology, financial reporting, research and evaluations, and other cross-program costs in support of programs administered by the Secretary in this title, and other costs.
(b)
(1)
(A)The Secretary shall allocate amounts made available under subsection (a)(1) pursuant to section 217 of NAHA (42 U.S.C. 12747) to grantees that received allocations pursuant to that same formula in fiscal year 2021 and shall make such allocations within 60 days of the enactment of this Act.
(B)The Secretary shall allocate amounts made available under subsection (a)(2) pursuant to the formula specified in section 1338(c)(3) of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4568(c)(3)) to grantees that received Housing Trust Fund allocations pursuant to that same formula in fiscal year 2021 and shall make such allocations within 60 days of the date of the enactment of this Act.
(2)Other than as provided in paragraph (5) of this subsection, funds made available under subsection (a)(2) may only be used for eligible activities described in subparagraphs (A) through (B)(i) of section 1338(c)(7) of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4568(c)(7)), except that not more than 10 percent of funds made available may be used for activities under such subparagraph (B)(i).
(3)The commitment requirements in section 218(g) (42 U.S.C. 12748(g)) of NAHA, the matching requirements in section 220 (42 U.S.C. 12750) of NAHA, and the set-aside for housing developed, sponsored, or owned by community housing development organizations required in section 231 of NAHA (42 U.S.C. 12771) shall not apply for amounts made available under this section.
(4)For funds provided under paragraphs (1) and (2) of subsection (a), the Secretary may recapture certain amounts remaining available to a grantee under this section or amounts declined by a grantee, and reallocate such amounts to other grantees under that paragraph to ensure fund expenditure, geographic diversity, and availability of funding to communities within the State from which the funds have been recaptured.
(5) Notwithstanding subsections (c) and (d)(1) of section 212 of NAHA (42 U.S.C. 12742), grantees may use not more than 15 percent of their allocations under this section for administrative and planning costs.
(c)The Secretary may waive or specify alternative requirements for any provision of subsection (a)(1) or (a)(2) or regulation for the administration of the amounts made available under this section other than requirements related to tenant rights and protections, fair housing, nondiscrimination, labor standards, and the environment, upon a finding that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(d)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40003.
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2026—
(1)$200,000,000 to the Department of the Treasury to establish the Housing Investment Fund established by this section within the Community Development Financial Institutions Fund (in this section referred to as the CDFI Fund
) to make grants to increase investment in the development, preservation, rehabilitation, financing, or purchase of affordable housing primarily for low-, very-low, and extremely low-income families who are renters, and for homeowners with incomes up to 120 percent of the area median income, and for economic development and community facilities related to such housing and to further fair housing; and
(2)$50,000,000 for the costs to the CDFI Fund of administering and overseeing the implementation of this section, including information technology, financial reporting, research and evaluations, and other costs.
(b)A grant under this section may be made, pursuant to such requirements as the CDFI Fund shall establish, only to—
(1)a CDFI Fund certified community development financial institution, as such term is defined in section 103 of the Riegle Community Development and Regulatory Improvement Act of 1994 (12 U.S.C. 4702);
(2)a nonprofit organization having as one of its principal purposes the creation, development, or preservation of affordable housing and that is not found to be out of compliance with the obligation to affirmatively further fair housing, as applicable, including a subsidiary of a public housing authority; or
(3)a consortium comprised of certified community development financial institutions, eligible nonprofit housing organizations, or a combination of both.
(c)Eligible uses for grant amounts awarded from the Housing Investment Fund pursuant to this section shall—
(1)be reasonably expected to result in eligible affordable housing activities that support or sustain affordable housing funded by a grant under this section and capital from other public and private sources; and
(2)include activities—
(A)to capitalize an acquisition fund to acquire residential, industrial, or commercial property and land for the purpose of the preservation, development, or rehabilitation of affordable housing, including to support the creation, preservation, or rehabilitation of resident-owned manufactured housing communities;
(B)to capitalize an affordable housing fund, for development, preservation, rehabilitation, or financing of affordable housing and economic development activities, including community facilities, if part of a mixed-use project, or activities described in this paragraph related to transit-oriented development, which may also be designated as a focus of such a fund; and
(C)to capitalize an affordable housing mortgage fund, to facilitate the origination of mortgages to buyers that may experience significant barriers to accessing affordable mortgage credit, including mortgages having low original principal obligations;
(D)for risk-sharing loans;
(E)to provide loan guarantees; and
(F)to fund rental housing operations.
(d)The CDFI Fund shall have the authority to issue such regulations, notice, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40004.Section 811 supportive housing for people with disabilities
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$450,000,000 for capital advances, including amendments to capital advance contracts, for supportive housing for persons with disabilities, as authorized by section 811(b)(2) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8013(b)(2)) (in this section referred to as the Act
), and subject to subsections (a) through (h)(4), (h)(6) through (i)(1)(C), and (i)(2) through (m) of such section 811 (42 U.S.C. 8013(a)-42 U.S.C. 8013(h)(4), 42 U.S.C. 8013(h)(6)-42 U.S.C. 8013(i)(1)(C), 42 U.S.C. 8013(i)(2)-42 U.S.C. 8013(m)), and for project rental assistance for supportive housing for persons with disabilities under section 811(d)(2) of the Act and for project assistance contracts pursuant to section 202(h) of the Housing Act of 1959 (Public Law 86–372; 73 Stat. 667), for project rental assistance to State housing finance agencies and other appropriate entities as authorized under section 811(b)(3) of the Act, for State housing finance agencies;
(2)$7,500,000 for providing technical assistance to support State-level efforts to integrate housing assistance and voluntary supportive services for residents of housing receiving such assistance, which funding may also be used to provide technical assistance to applicants and potential applicants to understand program requirements and develop effective applications, and the Secretary may use amounts made available under this paragraph to increase prior awards to existing technical assistance providers to provide an immediate increase in capacity building and technical assistance; and
(3)$42,500,000 for the costs to the Secretary of administering and overseeing the implementation of this section and the Supportive Housing for Persons with Disabilities program generally, including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)When awarding grants under paragraph (1) of subsection (a), the Secretary shall establish and assess reasonable development cost limitations by market area for various types and sizes of supportive housing for persons with disabilities. The Secretary shall not count owner or sponsor contributions of other funding or assistance against the overall cost of a project.
(c)The owner or sponsor of housing assisted with funds provided under this section may, with the approval of the Secretary, limit occupancy with the housing to persons with disabilities who can benefit from the supportive services offered in connection with the housing.
(d)The Secretary may waive or specify alternative requirements for subsection (c) or (bb) of section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f (c), 1437f(bb)) upon a finding that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(e)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40005.Section 202 supportive housing for the elderly program
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$450,000,000 for the Supportive Housing for the Elderly Program authorized under section 202 of the Housing Act of 1959, and subject to subsections (a) through (g), (h)(2) through (h)(5), and (i) through (m) of such section 202 (12 U.S.C. 1701q(a)-12 U.S.C. 1701q(g), 12 U.S.C. 1701q(h)(2)-12 U.S.C. 1701q(h)(5), 12 U.S.C. 1701q(i)-12 U.S.C. 1701q(m)) (in this section referred to as the Act
), which shall be used—
(A)for capital advance awards in accordance with section 202(c)(1) of the Act to recipients that are eligible under the Act;
(B)for new section 8 project-based rental assistance contracts under section 8(b) of the United States Housing Act of 1937 Act (42 U.S.C. 1437f(b)), subject to subsection (c) of this section, with the Secretary setting the terms of such project-based rental assistance contracts, including the duration and provisions regarding rent setting and rent adjustment, to support the capital advance projects funded under this section; and
(C)for service coordinators;
(2)$7,500,000, to provide technical assistance to support State-level efforts to improve the design and delivery of voluntary supportive services for residents of any housing assisted under the Act and other housing supporting low-income older adults, in order to support residents to age-in-place and avoid institutional care, as well as to assist applicants and potential applicants with project-specific design, and the Secretary may use amounts made available under this paragraph to increase prior awards to existing technical assistance providers to provide an immediate increase in capacity building and technical assistance; and
(3)$42,500,000 for the costs to the Secretary of administering and overseeing the implementation of this section and the Supportive Housing for the Elderly program generally, including information technology, financial reporting, research and evaluation, other cross-program costs in support of programs administered by the Secretary in this title, and other costs.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)When awarding grants under paragraph (1) of subsection (a), the Secretary shall establish and assess reasonable development cost limitations by market area for various types and sizes of supportive housing for the elderly. The Secretary shall not count owner or sponsor contributions of other funding or assistance against the overall cost of a project.
(c)The Secretary may waive or specify alternative requirements for any provision of subsection (c) or (bb) of section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f (c), 1437f(bb)) upon a finding that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(d)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40006.Improving energy efficiency or water efficiency or climate resilience of affordable housing
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$1,770,000,000, to remain available until September 30, 2028, for the cost of providing direct loans, including the costs of modifying such loans, and for grants, as provided for and subject to terms and conditions in subsection (b), including to subsidize gross obligations for the principal amount of direct loans, not to exceed $4,000,000,000, to fund projects that improve the energy or water efficiency, indoor air quality and sustainability improvements, implement low-emission technologies, materials, or processes, including zero-emission electricity generation, energy storage, or building electrification, electric car charging station installations, or address climate resilience of multifamily properties;
(2)$25,000,000, to remain available until September 30, 2030, for the costs to the Secretary of administering and overseeing the implementation of this section, including information technology, financial reporting, research and evaluation, other cross-program costs in support of programs administered by the Secretary in this title, and other costs;
(3)$120,000,000, to remain available until September 30, 2029, for expenses of contracts administered by the Secretary, including to carry out property climate risk, energy, or water assessments, due diligence, and underwriting functions for such grant and direct loan program; and
(4)$85,000,000, to remain available until September 30, 2028, for energy and water benchmarking of properties eligible to receive grants or loans under this section, regardless of whether they actually received such grants, along with associated data analysis and evaluation at the property and portfolio level, including the development of information technology systems necessary for the collection, evaluation, and analysis of such data.
(b)Loan and grant terms and conditionsAmounts made available under this section shall be for direct loans, grants, and direct loans that can be converted to grants to eligible recipients that agree to an extended period of affordability for the property.
(c)As used in this section—
(1)the term eligible recipient
means any owner or sponsor of an eligible property; and
(2)the term eligible property
means a property receiving—
(A)project-based assistance pursuant to section 202 of the Housing Act of 1959 (12 U.S.C. 1701q);
(B)section 811 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8013); or
(C)section 8(b) of the United States Housing Act of 1937 (42 U.S.C. 1437f(b))
(d)The Secretary may waive or specify alternative requirements for any provision of subsection (c) or (bb) of section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f(c), 1437f(bb)) upon a finding that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(e)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40007.Revitalization of distressed multifamily properties
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$1,450,000,000 for providing direct loans, which may be forgivable, to owners of distressed properties for the purpose of making necessary physical improvements, including to subsidize gross obligations for the principal amount of direct loans not to exceed $6,000,000,000, subject to the terms and conditions in subsection (b); and
(2)$50,000,000 for the costs to the Secretary of administering and overseeing the implementation of this section and the Office of Housing programs generally, including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs. Amounts appropriated by this section shall remain available until September 30, 2029.
(b)Loan terms and conditions
(1)Owners or sponsors of multifamily housing projects who meet each of the following requirements shall be eligible for loan assistance under this section:
(A)The multifamily housing project, including any project from which assistance has been approved to be transferred has deficiencies that cause the project to be at risk of physical obsolescence or economic non-viability.
(B)The actual rents received by the owner or sponsor of the distressed property would not adequately sustain the debt needed to make necessary physical improvements.
(C)The owner or sponsor meets any such additional eligibility criteria as the Secretary determines to be appropriate, considering factors that contributed to the project’s deficiencies.
(2)Each recipient of loan assistance under this section may only use such loan assistance to make necessary physical improvements.
(3)The Secretary shall only provide loan assistance to an owner or sponsor of a multifamily housing project when such assistance, considered with other financial resources available to the owner or sponsor, is needed to make the necessary physical improvements.
(4)Interest rates and lengthLoans provided under this section shall bear interest at 1 percent, and at origination shall have a repayment period coterminous with the affordability period established under paragraph (6), with the frequency and amount of repayments to be determined by requirements established by the Secretary.
(5)Loan modifications or forgivenessWith respect to loans provided under this section, the Secretary may take any of the following actions if the Secretary determines that doing so will preserve affordability of the project:
(A)Waive any due on sale or due on refinancing restriction.
(B)Consent to the terms of new debt to which the loans may be subordinate, even if such new debt would impact the repayment of the loans.
(C)Extend the term of the loan.
(D)Forgive the loan in whole or in part.
(6)Extended affordability periodEach recipient of loan assistance under this section shall agree to an extended affordability period for the project that is subject to the loan by extending any existing affordable housing use agreements for an additional 30 years or, if the project is not currently subject to a use agreement establishing affordability requirements, by establishing a use agreement for 30 years.
(7)Each recipient of loan assistance under this section shall secure at least 20 percent of the total cost needed to make the necessary physical improvements from non-Federal sources, except in cases where the Secretary determines that a lack of financial resources qualifies a loan recipient for—
(A)a reduced contribution below 20 percent; or
(B)an exemption to the matching contribution requirement.
(8)Additional loan conditionsThe Secretary may establish additional conditions for loan eligibility provided under this section as the Secretary determines to be appropriate.
(9)Properties insured by the SecretaryIn the case of any property with respect to which assistance is provided under this section that has a mortgage insured by the Secretary, the Secretary may use funds available under this section as necessary to pay for the costs of modifying such loan.
(c)As used in this section—
(1)the term multifamily housing project
means a project consisting of five or more dwelling units assisted or approved to receive a transfer of assistance, insured, or with a loan held by the Secretary or a State or State agency in part or in whole pursuant to—
(A)section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f), not including subsection (o)(13) of such section;
(B)section 202 of the Housing Act of 1959 (12 U.S.C. 1701q), as amended by section 801 of the Cranston-Gonzalez National Affordable Housing Act;
(C)section 202 of the Housing Act of 1959 (former 12 U.S.C. 1701q), as such section existed before the enactment of the Cranston-Gonzalez National Affordable Housing Act;
(D)section 811 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8013); or
(E)section 236 of the National Housing Act (12 U.S.C. 1715z-1); and
(2)the term necessary physical improvements
means new construction or capital improvements to an existing multifamily housing project that the Secretary determines are necessary to address the deficiencies or that rise to such a level that delaying physical improvements to the project would be detrimental to the longevity of the project as suitable housing for occupancy.
(d)The Secretary may waive or specify alternative requirements for any provision of subsection (c) or (bb) of section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f(c), 1437f(bb)) upon a finding that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(e)The Secretary shall have the authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40008.Investments in rural rental housing
(a)In addition to amounts otherwise available, there is appropriated to the Rural Housing Service of the Department of Agriculture for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$1,800,000,000, to remain available until September 30, 2029, for carrying out new construction, improvements to energy and water efficiency or climate resilience, the removal of health and safety hazards, and the preservation and revitalization of housing authorized under section 514 of the Housing Act of 1949 (42 U.S.C. 1484), subsections (a)(1) through (a)(2), (b)(1) through (b)(3), (b)(5) through (aa)(2)(A), and (aa)(4) of section 515 of such Act (42 U.S.C. 1485(a)(1)-42 U.S.C. 1485(a)(2), 42 U.S.C. 1485(b)(1)-(b)(3), 42 U.S.C. 1485(b)(5)-42 U.S.C. 1485(aa)(2)(A), 42 U.S.C. 1485(aa)(4)), and 516 of such act (42 U.S.C. 1486), subject to the terms and conditions in subsection (b);
(2)$100,000,000, to remain available until September 30, 2029, to provide continued assistance pursuant to section 3203 of the American Rescue Plan Act of 2021; and
(3)$100,000,000, to remain available until September 30, 2030, for the costs to the Rural Housing Service of the Department of Agriculture of administering and overseeing the implementation of this section, including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs.
(b)Preservation and revitalization terms and conditions
(1)Loans and grants and other assistanceThe Administrator of the Rural Housing Service of the Department of Agriculture shall provide direct loans and grants, including the cost of modifying loans, to restructure existing Department of Agriculture multi-family housing loans expressly for the purposes of ensuring the project has sufficient resources to preserve the project for the purpose of providing safe and affordable housing for low-income residents and farm laborers, including—
(A)reducing or eliminating interest;
(B)deferring loan payments;
(C)subordinating, reducing, or re-amortizing loan debt; and
(D)providing other financial assistance, including advances, payments, and incentives (including the ability of owners to obtain reasonable returns on investment) required by the Secretary, including such assistance to non-profit entities and public housing authorities.
(2)Restrictive use agreementThe Administrator of the Rural Housing Service of the Department of Agriculture shall as part of the preservation and revitalization agreement obtain a restrictive use agreement consistent with the terms of the restructuring.
(c)The Administrator of the Rural Housing Service of the Department of Agriculture shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40009.
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$15,000,000,000 for—
(A)incremental tenant-based rental assistance for extremely low-income families under section 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o));
(B)renewals of such tenant-based rental assistance; and
(C)fees for the costs of administering tenant-based rental assistance and other eligible expenses, which may include the cost of facilitating the use of voucher assistance provided under paragraph (5);
(2)$7,100,000,000 for—
(A)incremental tenant-based rental assistance under section 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)) for households experiencing or at risk of homelessness, survivors of domestic violence, dating violence, sexual assault, and stalking, and survivors of trafficking;
(B)renewals of such tenant-based rental assistance; and
(C)fees for the costs of administering tenant-based rental assistance and other eligible expenses, which may include the cost of facilitating the use of voucher assistance provided under paragraph (5);
(3)$1,000,000,000 for—
(A)tenant protection vouchers for relocation and replacement of public housing units demolished or disposed as part of a public housing preservation or project-based replacement transaction using funds made available under this title;
(B)renewals of such tenant-based rental assistance; and
(C)fees for the costs of administering tenant-based rental assistance and other eligible expenses, which may include the cost of facilitating the use of voucher assistance provided under paragraph (5);
(4)$300,000,000 for competitive grants, subject to terms and conditions determined by the Secretary, to public housing agencies for mobility-related services for voucher families, including families with children, and service coordination;
(5)$230,000,000 for eligible expenses to facilitate the use of voucher assistance under this section and for other voucher assistance under section 8(o) of the United States Housing Act of 1937, as determined by the Secretary, in addition to amounts otherwise available for such expenses, including property owner outreach and retention activities such as incentive payments, security deposit payments and loss reserves, landlord liaisons, and other uses of funds designed primarily—
(A)to recruit owners of dwelling units, particularly dwelling units in census tracts with a poverty rate of less than 20 percent, to enter into housing assistance payment contracts; and
(B)to encourage owners that enter into housing assistance payment contracts as described in subparagraph (A) to continue to lease their dwelling units to tenants assisted under section 8(o) of the United States Housing Act of 1937;
(6)$300,000,000 for the costs to the Secretary of administering and overseeing the implementation of this section and the Housing Choice Voucher program generally, including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs; and
(7)$70,000,000 for making new awards or increasing prior awards to existing technical assistance providers to provide an increase in capacity building and technical assistance available to public housing agencies.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)
(1)The Secretary shall allocate initial incremental assistance provided for rental assistance under subsection (a)(1) and (2) in each fiscal year commencing in 2022 and ending in 2026 in accordance with a formula or formulas that include measures of severe housing need among extremely low-income renters and public housing agency capacity, and ensures geographic diversity among public housing agencies administering the Housing Choice Voucher program.
(2)The Secretary shall establish a procedure for public housing agencies to accept or decline the incremental vouchers made available under this section.
(3)Failure to use vouchers promptlyIf a public housing agency fails to lease the authorized vouchers it has received under this subsection on behalf of eligible families within a reasonable period of time, the Secretary may offset the agency’s voucher renewal allocations and may revoke and redistribute any unleased vouchers and associated funds, which may include administrative fees and amounts allocated under subsections (a)(3) and (a)(4), to other public housing agencies.
(4)Limitation of use of funds Public housing agencies may use funds received under this section only for the activities listed in subsection (a) for which the funds were provided to such agency.
(5)Cap on project-based vouchers for vulnerable populationsUpon request by a public housing agency, the Secretary may designate a number of the public housing agency’s vouchers allocated under this section as excepted units that do not count against the percentage limitation on the number of authorized units a public housing agency may project-base under section 8(o)(13)(B) of the United States Housing Act of 1937, in accordance with the conditions established by the Secretary. This paragraph may not be construed to waive, limit, or specify alternative requirements, or permit such waivers, limitations, or alternative requirements, related to fair housing and nondiscrimination, including the requirement to provide housing and services to individuals with disabilities in integrated settings.
(6)Homeless waiver authority In administering the voucher assistance targeted for households experiencing or at risk of homelessness, survivors of domestic violence, dating violence sexual assault, and stalking, and survivors of trafficking under subsection (a)(1), the Secretary may, upon a finding that a waiver or alternative requirement is necessary to facilitate the use of such assistance, waive or specify alternative requirements for—
(A)section 8(o)(6)(A) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(6)(A)) and regulatory provisions related to the administration of waiting lists and local preferences;
(B)section 214(d)(2) of the Housing and Community Development Act of 1980 (42 U.S.C. 1436a(d)(2)), section 576(a), (b), and (c) of the Quality Housing and Work Responsibility Act of 1998 (42 U.S.C. 13661(a), (b),and (c)), and regulatory provisions related to the verification of eligibility, eligibility requirements, and the admissions process;
(C)section 8(o)((7)(A) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(7)(A)) and regulatory provisions related to the initial lease term;
(D)section 8(r)(B)(i) of the United States Housing Act of 1937 (42 U.S.C. 1437f(r)(B)(i)) and regulatory provisions related to portability moves by non-resident applicants; and
(E)regulatory provisions related to the establishment of payment standards.
(c)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40010.Project-based rental assistance
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$880,000,000 for the project-based rental assistance program, as authorized under section 8(b) of the United States Housing Act of 1937 (42 U.S.C. 1437f(b)), (in this section referred to as the “Act”), subject to the terms and conditions of subsection (b) of this section;
(2)$20,000,000 for providing technical assistance to recipients of or applicants for project-based rental assistance or to States allocating the project-based rental assistance; and
(3)$100,000,000 for the costs to the Secretary of administering and overseeing the implementation of this section and the section 8 project-based rental assistance program generally, including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)
(1)Notwithstanding section 8(a) the Act (42 U.S.C. 1437f(a)), the Secretary may use amounts made available under this section to provide assistance payments with respect to newly constructed housing, existing housing, or substantially rehabilitated non-housing structures for use as new multifamily housing in accordance with this section and the provisions of section 8 of the Act. In addition, the Secretary may use amounts made available under this section for performance-based contract administrators for section 8 project-based assistance, for carrying out this section and section 8 of the Act.
(2)Project-based rental assistanceThe Secretary may make assistance payments using amounts made available under this section pursuant to contracts with owners or prospective owners who agree to construct housing, to substantially rehabilitate existing housing, to substantially rehabilitate non-housing structures for use as new multifamily housing, or to attach the assistance to newly constructed housing in which some or all of the units shall be available for occupancy by very low-income families in accordance with the provisions of section 8 of the Act. In awarding contracts pursuant to this section, the Secretary shall give priority to owners or prospective owners of multifamily housing projects located or to be located in areas of high opportunity, as defined by the Secretary, in areas experiencing economic growth or rising housing prices to prevent displacement or secure affordable housing for low-income households, or that serve people at risk of homelessness or that integrate additional units that are accessible for persons with mobility impairments and persons with hearing or visual impairments beyond those required by applicable Federal accessibility standards.
(3)The Secretary shall make awards with amounts made available under this section using the following mechanisms, alone or in combination:
(A)A competitive process, which the Secretary may carry out in multiple rounds of competition, each of which may have its own selection, performance, and reporting criteria as established by the Secretary.
(B)Selecting proposals submitted through FHA loan applications that meet specified criteria.
(C)Delegating to States the awarding of contracts, including related determinations such as the maximum monthly rent, subject to the requirements of section 8 of the Act, as determined by the Secretary.
(4)Contract term, rent setting, and rent adjustmentsThe Secretary may set the terms of the contract, including the duration and provisions regarding rent setting and rent adjustments.
(c)The Secretary may waive or specify alternative requirements for any provision of subsection (c) or (bb) of section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f(c), 1437f(bb)) upon a finding that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(d)The Secretary shall have the authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40011.Investments in Native American Communities
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$277,500,000 for grants authorized under of section 101(a) of the Native American Housing Assistance and Self-Determination Act of 1996 (in this section referred to as NAHASDA
) (25 U.S.C. 4111(a)), and the Secretary shall distribute such amount according to the same funding formula used in fiscal year 2021;
(2)$200,000,000 for grants authorized under section 802(a) of NAHASDA (25 U.S.C. 4222 (a));
(3)$277,500,000 for competitive grants to eligible recipients authorized under section 101(a) of NAHASDA (25 U.S.C. 4111(a)), which may be used for—
(A)new construction and rehabilitation of affordable housing;
(B)improving water or energy efficiency or increasing resilience to natural hazards for housing assisted by amounts made available under this subsection; or
(C)other eligible affordable housing activities under NAHASDA;
(4)$200,000,000 for—
(A)competitive single-purpose Indian community development block grants for Indian tribes under section 106(a)(1) of the Housing and Community Development Act of 1974 (42 U.S.C. 5306(a)(1)); and
(B)imminent threat Indian community development block grants under section 106(a)(1) of the Housing and Community Development Act of 1974 (42 U.S.C. 5306(a)(1)) for Indian tribes, or a tribal organization, governmental entity, or nonprofit organization designated by the Indian tribe to apply for a grant on its behalf, which may be used to—
(i)address environmental threats, including long-term environmental threats;
(ii)assist Indian tribes with relocating a portion of or entire communities due to changes to the local environment; or
(iii)assist Indian tribes with addressing other threats to health and safety;
(5)$25,000,000 for the costs to the Secretary of administering and overseeing the implementation of this section and Native American and Native Hawaiian programs generally, including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs; and
(6)$20,000,000 to make new awards or increase prior awards to existing technical assistance providers to provide an immediate increase in capacity building and technical assistance to grantees.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)
(1)Use of imminent threat grant amountsOf any amounts made available in subsection (a)(4)(B), and in consultation with the Department of the Interior, the Secretary may award preliminary grants of up to $2,000,000 each to applicants that have applied for a grant under subsection (a)(4)(B) before making a final determination as to whether to award a grant under subsection (a)(4)(B) to such applicant.
(2)Prior to awarding a preliminary grant under this subsection, the Secretary must determine, based on a preliminary assessment of need and administrative capacity, that the applicant is likely able to carry out the grant successfully but would need additional administrative and planning resources to develop a comprehensive implementation plan and additional administrative capacity in order to successfully administer a grant under subsection (a)(4)(B).
(3)Such preliminary grants are not subject to administrative and planning caps.
(c)Amounts made available under subsection (a)(1) that are not accepted within a time specified by the Secretary, are voluntarily returned, or are otherwise recaptured for any reason may be used to fund grants under paragraph (3) or (4) of subsection (a).
(d)Amounts provided under this Act that remain undisbursed may not be used as a basis to reduce any grant allocation under section 302 of NAHASDA (25 U.S.C. 4152) to an Indian tribe in any fiscal year.
(e)Prohibition on investmentsAmounts made available under this section may not be invested in investment securities and other obligations.
(f)With respect to amounts made available under this section, the Secretary may, upon a finding that a waiver or alternative requirement is necessary to facilitate the use of such amounts, waive or specify alternative requirements for—
(1)sections 101(b), 102, and 103 of NAHASDA (25 U.S.C. 4111(b), 4112, 4113) and regulatory provisions related to the submission and review of Indian Housing Plans;
(2)regulatory provisions related to exceeding the maximum caps on total development costs; and
(3)with respect to amounts made available under subsection (a)(4)—
(A)regulatory provisions related to the application process and funding criteria necessary to facilitate the use of such amounts; and
(B)section 105(a) of the Housing and Community Development Act of 1974 (42 U.S.C. 5305(a)) and regulatory provisions related to new housing construction and the purchase of equipment.
(g)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
B21st Century Sustainable and Equitable Communities
40101.Community development block grant funding for affordable housing and infrastructure
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$1,685,000,000 for grants under sections 101, 102, 103, 104(a) through 104(i), 104(l), 104(m), 105(a) through 105(g), 106(a)(2), 106(a)(4), 106(b) through 106(f), 109, 110, 111, 113, 115, 116, 120, and 122 of the Housing and Community Development Act of 1974 (42 U.S.C. 5301, 5302, 5303, 5304(a)-(i), 5304(l), 5304(m), 5305(a)-(g), 5306(a)(2), 5306(a)(4), 5306(b)-(f), 5309, 5310, 5311, 5313, 5314, 5315, 5316, 5319, and 5321) to grantees under subsections (a)(2) and (4) of section 106 of such Act (42 U.S.C.5306(a)(2), (4)), subject to subsection (b) of this section, except that for purposes of amounts made available by this paragraph, paragraph (2) of such section 106(a) shall be applied by substituting $70,000,000
for $7,000,000
;
(2)$700,000,000 for grants under sections 101, 102, 103, 104(a) through 104(i), 104(l), 104(m), 105(a) through 105(g), 106(a)(2), 106(a)(4), 106(b) through 106(f), 109, 110, 111, 113, 115, 116, 120, and 122 of title I of the Housing and Community Development Act of 1974 (42 U.S.C. 5301, 5302, 5303, 5304(a)-(i), 5304(l), 5304(m), 5305(a)-(g), 5306(a)(2), 5306(a)(4), 5306(b)-(f), 5309, 5310, 5311, 5313, 5314, 5315, 5316, 5319, and 5321) for assistance under the community development block grant program under title I of the Housing and Community Development Act of 1974 to community development block grant grantees, as determined by the Secretary, under subsections (a)(2), (a)(4), and (b) through (f) of section 106 of such Act (5306(a)(2), 5306(a)(4), and 5306(b)-(f)), only for colonias, to address the community and housing infrastructure needs of existing colonia residents based on a formula that takes into account persons in poverty in the colonia areas, except that grantees may use funds in colonias outside of the 150-mile border area upon approval of the Secretary;
(3)$500,000,000 for grants under sections 101, 102, 103, 104(a) through 104(i), 104(l), 104(m), 105(a) through 105(g), 106(a)(2), 106(a)(4), 106(b) through 106(f), 109, 110, 111, 113, 115, 116, 120, and 122 of title I of the Housing and Community Development Act of 1974 (42 U.S.C. 5301, 5302, 5303, 5304(a)-(i), 5304(l), 5304(m), 5305(a)-(g), 5306(a)(2), 5306(a)(4), 5306(b)-(f), 5309, 5310, 5311, 5313, 5314, 5315, 5316, 5319, and 5321), to eligible recipients under subsection (c) of this section for manufactured housing infrastructure improvements in eligible manufactured home communities;
(4)$87,500,000 for the costs to the Secretary of administering and overseeing the implementation of this section, the Community Development Block Grant program, and the manufactured home construction and safety standards program generally, including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs; and
(5)$27,500,000 for providing technical assistance to recipients of or applicants for grants under this section.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)Expenditures on new construction of housing shall be an eligible expense for a recipient of funds made available under this section that is not a recipient of funds under section 40002 of this title.
(c)Manufactured housing community improvement grant program
(1)The Secretary of Housing and Urban Development shall carry out a competitive grant program to award funds appropriated under subsection (a)(3) to eligible recipients to carry out eligible projects for improvements in eligible manufactured home communities.
(2)Amounts from grants under this subsection shall be used to assist in carrying out a project for construction, reconstruction, repair, or clearance of housing, facilities and improvements in or serving a manufactured housing community that is necessary to protect the health and safety of the residents of the manufactured housing community and the long-term sustainability of the community.
(d)The Secretary may waive or specify alternative requirements for any provision of subsection (a)(1), (a)(2), or (a)(3), or regulation that the Secretary administers in connection with use of amounts made available under this section other than requirements related to fair housing, nondiscrimination, labor standards, and the environment, upon a finding that the waiver or alternative requirement is not inconsistent with the overall purposes of such Act and that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(e)For purposes of this section, the following definitions shall apply:
(1)The term colonia area
means any census tract that—
(A)is an area of the United States within 150 miles of the contiguous border between the United States and Mexico, except as otherwise determined by the Secretary; and
(B)lacks potable water supply, adequate sewage systems, or decent, safe, sanitary housing, or other objective criteria as approved by the Secretary.
(2)Eligible manufactured home communityThe term eligible manufactured home community
means a community that—
(A)is affordable to low- and moderate-income persons (as such term is defined in section 102(a) of the Housing and Community Development Act of 1974 (42 U.S.C. 5302(a))); and
(B)
(i)is owned by the residents of the manufactured housing community through a resident-controlled entity, as defined by the Secretary, in which at least two-thirds of residents are member-owners of the land-owning entity; or
(ii)will be maintained as such a community, and remain affordable for low- and moderate-income families, to the maximum extent practicable and for the longest period feasible.
(3)The term eligible recipient
means a partnership of—
(A)a grantee under paragraph (2) or (4) of section 106(a) of the Housing and Community Development Act of 1974 (42 U.S.C. 5306(a)); and
(B)an eligible manufactured home community, a nonprofit entity, or a consortia of nonprofit entities working with an eligible manufactured home community.
(4)Manufactured home communityThe term manufactured home community
means any community, court, or park equipped to accommodate manufactured homes for which pad sites, with or without existing manufactured homes or other allowed homes, or other suitable sites, are used primarily for residential purposes, with any additional requirements as determined by the Secretary, including any manufactured housing community as such term is used for purposes of the program of the Federal National Mortgage Association for multifamily loans for manufactured housing communities and the program of the Federal Home Loan Mortgage Corporation for loans for manufactured housing communities.
(f)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40102.Lead-based paint hazard control and housing-related health and safety hazard mitigation in housing of families with lower incomes
(a)In addition to amounts otherwise made available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$3,425,000,000 for grants to States, units of general local government, Indian tribes or their tribally designated housing entities, and nonprofit organizations for the activities under subsection (c) in target housing units that do not receive Federal housing assistance other than assistance provided under subsection 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)), excluding paragraph (o)(13) of such section, and common areas servicing such units, where low-income families reside or are expected to reside;
(2)$250,000,000 for grants to States or units of general local government or nonprofit entities for the activities in subsection (c) in target housing units, and common areas servicing such units, that are being assisted under the Weatherization Assistance Program authorized under part A of title IV of the Energy Conservation and Production Act (42 U.S.C. 6861-6872) but are not assisted under any other Federal housing program other than subsection 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)), excluding paragraph 8(o)(13) of such section;
(3)$1,000,000,000 for grants to owners of a property receiving project-based rental assistance under section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f), including under subsection (o)(13) of such section, that meets the definition of target housing and that has not received a grant for similar purposes under this Act for the activities in subsection (c), except for abatement of lead-based paint by enclosure or encapsulation, or interim controls of lead-based paint hazards in target housing units receiving such assistance and common areas servicing such units;
(4)$75,000,000 for costs related to training and technical assistance to support identification and mitigation of lead and housing-related health and safety hazards, research, and evaluation; and
(5)$250,000,000 for the costs to the Secretary of administering and overseeing the implementation of this section, and the Secretary’s lead hazard reduction and related programs generally including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)
(1)Income eligibility determinationsThe Secretary may make income determinations of eligibility for enrollment of housing units for assistance under this section that are consistent with eligibility requirements for grants awarded under other Federal means-tested programs, provided such determination does not require additional action by other Federal agencies.
(2)Housing families with young childrenAn owner of rental property that receives assistance under subsection (a)(3) shall give priority in renting units for which the lead-based paint has been abated pursuant to subsection (a)(3), for not less than 3 years following the completion of lead abatement activities, to families with a child under the age of 6 years.
(3)A recipient of a grant under this section may use up to 10 percent of the grant for administrative expenses associated with the activities funded by this section.
(c)Grants awarded under this section shall be used for purposes of building capacity and conducting activities relating to testing, evaluating, and mitigating lead-based paint, lead-based paint hazards, and housing-related health and safety hazards; outreach, education, and engagement with community stakeholders, including stakeholders in disadvantaged communities; program evaluation and research; grant administration, and other activities that directly or indirectly support the work under this section, as applicable, that without which such activities could not be conducted.
(d)For purposes of this section, the following definitions, and definitions in paragraphs (1), (2), (3), (5), (6), (7), (10) through (17), and (20) through (27) of section 1004 of the Residential Lead-Based Paint Hazard Reduction Act of 1992 (42 U.S.C. 4851b(1)-(3), 42 U.S.C. 4851b(5)-(7), 42 U.S.C. 4851b(10)-(17). 42 U.S.C. 4851b(20)-(27), shall apply:
(1)Nonprofit; nonprofit organizationThe terms nonprofit
and nonprofit organization
mean a corporation, community chest, fund, or foundation not organized for profit, but organized and operated exclusively for religious, charitable, scientific, testing for public safety, literary, or educational purposes; or an organization not organized for profit but operated exclusively for the promotion of social welfare.
(2)Public housing; public housing agency; low-income familyThe terms public housing
, public housing agency
, and low-income family
have the same meaning given such terms in section 3(b) of the United States Housing Act of 1937 (42 U.S.C. 1437a(b)).
(3)State; unit of general local governmentThe terms State
and unit of general local government
have the same meaning given such terms in section 102 of the Housing and Community Development Act of 1974 (42 U.S.C. 5302).
(4)Tribally designated housing entity; Indian tribeThe terms tribally designated housing entity
and Indian tribe
have the same meaning given such terms in section 4 of the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4103).
(e)For any grant of assistance under this section, a State or unit of general local government may assume responsibilities for elements of grant compliance, regardless of whether it is the grant recipient, if the State or unit of general local government is permitted to assume responsibility for the applicable element of grant compliance for grants for which it is the recipient under section 1011 of the Residential Lead-Based Paint Hazard Reduction Act of 1992 (42 U.S.C. 4852).
(f)The Secretary shall have the authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40103.Unlocking possibilities program
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$1,646,000,000 for awarding grants under section 101, 102, 103, 104(a) through 104(i), 104(l), 104(m), 105(a) through 105(g), 106(a)(2), 106(a)(4), 106(b) through 106(f), 109, 110, 111, 113, 115, 116, 120, and 122 of the Housing and Community Development Act of 1974 (42 U.S.C. 5301, 5302, 5303, 5304(a)-(i), 5304(l), 5304(m), 5305(a)-(g), 5306(a)(2), 5306(a)(4), 5306(b)-(f), 5309, 5310, 5311, 5313, 5314, 5315, 5316, 5319, and 5321) awarded on a competitive basis to eligible recipients to carry out grants under subsection (c) of this section;
(2)$8,000,000 for research and evaluation related to housing planning and other associated costs;
(3)$30,000,000 to provide technical assistance to grantees or applicants for grants made available by this section; and
(4)$66,000,000 for the costs to the Secretary of administering and overseeing the implementation of this section and community and economic development programs overseen by the Secretary generally, including information technology, financial reporting, research and evaluations, and other cross-program costs in support of programs administered by the Secretary in this title, and other costs.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)The Secretary of Housing and Urban Development shall establish a competitive grant program for—
(1)planning grants to develop and evaluate housing plans and substantially improve housing strategies;
(2)streamlining regulatory requirements and shorten processes, reform zoning codes, increasing capacity to conduct housing inspections, or other initiatives that reduce barriers to housing supply elasticity and affordability;
(3)developing and evaluating local or regional plans for community development to substantially improve community development strategies related to sustainability, fair housing, and location efficiency;
(4)implementation and livable community investment grants; and
(5)research and evaluation.
(c)
(1)The Secretary shall, under selection criteria determined by the Secretary, award grants under this paragraph on a competitive basis to eligible entities to assist planning activities, including administration of such activities, engagement with community stakeholders and housing practitioners, to—
(A)develop housing plans;
(B)substantially improve State or local housing strategies;
(C)develop new regulatory requirements and processes, reform zoning codes, increasing capacity to conduct housing inspections, or undertake other initiatives to reduce barriers to housing supply elasticity and affordability;
(D)develop local or regional plans for community development; and
(E)substantially improve community development strategies, including strategies to increase availability and access to affordable housing, to further access to public transportation or to advance other sustainable or location-efficient community development goals.
(2)Implementation and livable community investment grantsThe Secretary shall award implementation grants under this paragraph on a competitive basis to eligible entities for the purpose of implementing and administering—
(A)completed housing strategies and housing plans and any planning to affirmatively further fair housing within the meaning of subsections (d) and (e) of section 808 of the Fair Housing Act (42 U.S.C. 608) and applicable regulations and for community investments that support the goals identified in such housing strategies or housing plans;
(B)new regulatory requirements and processes, reformed zoning codes, increased capacity to conduct housing inspections, or other initiatives to reduce barriers to housing supply elasticity and affordability that are consistent with a plan under subparagraph (A);
(C)completed local or regional plans for community development and any planning to increase availability and access to affordable housing, access to public transportation and other sustainable or location-efficient community development goals.
(d)Coordination with FTA AdministratorTo the extent practicable, the Secretary shall coordinate with the Federal Transit Administrator in carrying out this section.
(e)For purposes of this section, the following definitions apply:
(1)The term eligible entity
means—
(A)a State, insular area, metropolitan city, or urban county, as such terms are defined in section 102 of the Housing and Community Development Act of 1974 (42 U.S.C. 5302); or
(B)for purposes of grants under subsection (b)(1), a regional planning agency or consortia.
(2)Housing plan; housing strategy
(A)The term housing plan
means a plan of an eligible entity to, with respect to the area within the jurisdiction of the eligible entity—
(i)match the creation of housing supply to existing demand and projected demand growth in the area, with attention to preventing displacement of residents, reducing the concentration of poverty, and meaningfully reducing and not perpetuating housing segregation on the basis of race, color, religion, natural origin, sex, disability, or familial status;
(ii) increase the affordability of housing in the area, increase the accessibility of housing in the area for people with disabilities, including location-efficient housing, and preserve or improve the quality of housing in the area;
(iii)reduce barriers to housing development in the area, with consideration for location efficiency, affordability, and accessibility; and
(iv)coordinate with the metropolitan transportation plan of the area under the jurisdiction of the eligible entity, or other regional plan.
(B)The term housing strategy
means the housing strategy required under section 105 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12705).
(f)Up to 15 percent of a recipient’s grant may be used for administrative costs.
(g)
(1) Except as otherwise provided by this section, amounts appropriated or otherwise made available under this section shall be subject to the community development block grant program requirements under title I of the Housing and Community Development Act of 1974 (42 U.S.C. 5301-5321).
(2)
(A)Expenditures on new construction of housing shall be an eligible expense under this section.
(B)Buildings for General Conduct of GovernmentExpenditures on building for the general conduct of government, other than the Federal Government, shall be eligible under this section when necessary and appropriate as a part of a natural hazard mitigation project.
(h)The Secretary may waive or specify alternative requirements for any provision of subsection (a)(1) or regulation for the administration of the amounts made available under this section other than requirements related to fair housing, nondiscrimination, labor standards, and the environment, upon a finding that the waiver or alternative requirement is not inconsistent with the overall purposes of such Act and that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(i)The Secretary shall have the authority to issue such regulations notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40104.Strengthening resilience under national flood insurance program
(a)
(1)All indebtedness of the Administrator of the Federal Emergency Management Agency under any notes or other obligations issued pursuant to section 1309(a) of the National Flood Insurance Act of 1968 (42 U.S.C. 4016(a)) and section 15(e) of the Federal Insurance Act of 1956 (42 U.S.C. 2414(e)), and outstanding as of the date of the enactment of this Act, is hereby cancelled, the Administrator and the National Flood Insurance Fund are relieved of all liability to the Secretary of the Treasury under any such notes or other obligations, including for any interest due, including capitalized interest, and any other fees and charges payable in connection with such notes and obligations, and the total amount of notes and obligations issued by the Administrator pursuant to such section shall be considered to be reduced by such amount for purposes of the limitation on such total amount under section 1309(a) (42 U.S.C. 4016(a)).
(2)Use of savings for flood mappingIn addition to amounts otherwise available, for each of fiscal years 2022 and 2023, an amount equal to the interest the National Flood Insurance Program would have accrued from servicing the canceled debt under paragraph (1) in that fiscal year, which shall be derived from offsetting amounts collected under section 1310(d) of the National Flood Insurance Act of 1968 (42 U.S.C. 4017(d)), shall remain available until expended for activities identified in section 100216 (b)(1)(A) of the Biggert-Waters Flood Insurance Reform Act of 2012 (42 U.S.C. 4101b(b)(1)(A)) and related salaries and administrative expenses.
(b)Means-tested assistance for National Flood Insurance Program policyholders
(1)In addition to amounts otherwise available, there is appropriated to the Administrator of the Federal Emergency Management Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $600,000,000, to remain available until September 30, 2026, to provide assistance to eligible policyholders in the form of graduated discounts for insurance costs with respect to covered properties.
(2)
(A)The Administrator shall use funds provided under this subsection to establish graduated discounts available to eligible policyholders under this subsection, with respect to covered properties, which may be based on the following factors:
(i)The percentage by which the household income of the eligible policyholder is equal to, or less than, 120 percent of the area median income for the area in which the property to which the policy applies is located.
(ii)The number of eligible policyholders participating in the program authorized under this subsection.
(iii)The availability of funding.
(B)With respect to the amount of the discounts provided under this subsection in a fiscal year, and any administrative expenses incurred in carrying out this subsection for that fiscal year, the Administrator shall, from amounts made available to carry out this subsection for that fiscal year, deposit in the National Flood Insurance Fund established under section 1310 of the National Flood Insurance Act of 1968 (42 U.S.C. 4017) an amount equal to those discounts and administrative expenses, except to the extent that section 1310A of the National Flood Insurance Act of 1968 (42 U.S.C. 4017a) applies to any portion of those discounts or administrative expenses, in which case the Administrator shall deposit an amount equal to those amounts to which such section 1310A applies in the National Flood Insurance Reserve Fund established under such section 1310A.
(C)Not later than 21 months after the date of the enactment of this section, the Administrator shall issue interim guidance to implement this subsection which shall expire on the later of—
(i)the date that is 60 months after the date of the enactment of this section; or
(ii)the date on which a final rule issued to implement this subsection takes effect.
(3)In this subsection:
(A)The term Administrator
means the Administrator of the Federal Emergency Management Agency.
(B)The term covered property
means—
(i)a primary residential dwelling designed for the occupancy of from 1 to 4 families; or
(ii)personal property relating to a dwelling described in clause (i) or personal property in the primary residential dwelling of a renter.
(C)The term eligible policyholder
means a policyholder with a household income that is not more than 120 percent of the area median income for the area in which the property to which the policy applies is located.
(D)The term insurance costs
means insurance premiums, fees, and surcharges charged under the National Flood Insurance Program, with respect to a covered property for a year.
40105.Community Restoration and Revitalization Fund
(a)In addition to amounts otherwise available, there is appropriated to the Community Restoration and Revitalization Fund established under subsection (b) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$2,000,000,000 for awards of planning and implementation grants under section 101, 102, 103, 104(a) through 104(i), 104(l), 104(m), 105(a) through 105(g), 106(a)(2), 106(a)(4), 106(b) through 106(f), 109, 110, 111, 113, 115, 116, 120, and 122 of the Housing and Community Development Act of 1974 (42 U.S.C. 5301, 5302, 5303, 5304(a)-(i), 5304(l), 5304(m), 5305(a)-(g), 5306(a)(2), 5306(a)(4), 5306(b)-(f), 5309, 5310, 5311, 5313, 5314, 5315, 5316, 5319, and 5321), awarded on a competitive basis to eligible recipients, as defined under subsection (c)(2) of this section, to carry out community-led projects to create equitable civic infrastructure and create or preserve affordable, accessible housing, including creating, expanding, and maintaining community land trusts and shared equity homeownership programs;
(2)$500,000,000 for planning and implementation grants under section 101, 102, 103, 104(a) through 104(i), 104(l), 104(m), 105(a) through 105(g), 106(a)(2), 106(a)(4), 106(b) through 106(f), 109, 110, 111, 113, 115, 116, 120, and 122 of the Housing and Community Development Act of 1974 (42 U.S.C. 5301, 5302, 5303, 5304(a)-(i), 5304(l), 5304(m), 5305(a)-(g), 5306(a)(2) 5306(a)(4), 5306(b)-(f), 5309, 5310, 5311, 5313, 5314, 5315, 5316, 5319, and 5321), awarded on a competitive basis to eligible recipients to create, expand, and maintain community land trusts and shared equity homeownership, including through the acquisition, rehabilitation, and new construction of affordable, accessible housing;
(3)$400,000,000 for the Secretary to provide technical assistance, capacity building, and program support to applicants, potential applicants, and recipients of amounts appropriated for grants under this section; and
(4)$100,000,000 for the costs to the Secretary of administering and overseeing the implementation of this section and community and economic development programs overseen by the Secretary generally, including information technology, financial reporting, research and evaluations, and other cross-program costs in support of programs administered by the Secretary in this title, and other costs.
(b)The Secretary of Housing and Urban Development (in this section referred to as the Secretary
) shall establish a Community Restoration and Revitalization Fund (in this section referred to as the Fund
) to award planning and implementation grants on a competitive basis to eligible recipients as defined in this section for activities authorized under subsections (a) through (g) of section 105 of the Housing and Community Development Act of 1974 (42 U.S.C. 5305) and under this section for community-led affordable housing and civic infrastructure projects.
(c)Eligible geographical areas, recipients, and applicants
(1)The Secretary shall award grants from the Fund to eligible recipients within geographical areas at the neighborhood, county, or census tract level, including census tracts adjacent to the project area that are areas in need of investment, as demonstrated by two or more of the following factors:
(A)High and persistent rates of poverty.
(B)Population at risk of displacement due to rising housing costs.
(C)Dwelling unit sales prices that are lower than the cost to acquire and rehabilitate, or build, a new dwelling unit.
(D)High proportions of residential and commercial properties that are vacant due to foreclosure, eviction, abandonment, or other causes.
(E)Low rates of homeownership by race and ethnicity, relative to the national homeownership rate.
(2)An eligible recipient of a planning or implementation grant under subsection (b)(1) or an implementation grant under subsection (b)(2) shall be a local partnership of a lead applicant and one or more joint applicants with the ability to administer the grant. An eligible recipient of a planning grant under subsection (b)(2) shall be a lead applicant with the ability to administer the grant, including a regional, State, or national nonprofit.
(d)Eligible recipients and applicants
(1)An eligible lead applicant for a grant awarded under this section shall be—
(A)
(i)a nonprofit organization that is located within or serves the geographical area of the project or that derives its mission and operational priorities from the needs of the geographical area of the project, demonstrates a commitment to anti-displacement efforts, and has expertise in community planning, engagement, organizing, housing and community development;
(ii)if the geographical area of the project is located in any area where no such local nonprofit organization exists, a national nonprofit organization with such expertise;
(B)a community development corporation, that is located within or serves the geographical area of the project and can demonstrate a track record of making investments in the geographical area of the project, and demonstrates a commitment to anti-displacement efforts;
(C)a community housing development organization, defined in section 104 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12704) or a community-based development organization, that is located within or serves the geographical area of the project and experienced in neighborhood revitalization, community-based economic development, housing development activities, and demonstrates a commitment to anti-displacement efforts; or
(D)a community development financial institution, as defined by section 103 of the Riegle Community Development and Regulatory Improvement Act of 1994 (12 U.S.C. 4702), that is located within or serves the geographical area of the project, demonstrates a commitment to anti-displacement efforts, and has a track record of making investments in the geographic project area.
(2)A joint applicant shall be a local, regional or national entity that is an eligible lead applicant or a local, regional, or national nonprofit, governmental, special purpose nonprofit, or public housing entity.
(e)
(1)Planning and implementation grants awarded under this section shall be used to support civic infrastructure and housing-related activities.
(2)Implementation grants awarded under this section may be used for activities eligible under subsections (a) through (g) of section 105 of the Housing and Community Development Act of 1974 (42 U.S.C. 5305) and other activities to support civic infrastructure and housing-related activities, including—
(A)new construction of housing;
(B)demolition of abandoned or distressed structures, but only if such activity is part of a strategy that incorporates rehabilitation or new construction, anti-displacement efforts such as tenants’ right to return and right of first refusal to purchase, and efforts to increase affordable, accessible housing and homeownership, except that not more than 10 percent of any grant made under this section may be used for activities under this subparagraph unless the Secretary determines that such use is to the benefit of existing residents;
(C)facilitating the creation, maintenance, or availability of rental units, including units in mixed-use properties, affordable and accessible to a household whose income does not exceed 80 percent of the median income for the area, as determined by the Secretary, for a period of not less than 30 years;
(D)facilitating the creation, maintenance, or availability of homeownership units affordable and accessible to households whose incomes do not exceed 120 percent of the median income for the area, as determined by the Secretary;
(E)establishing or operating land banks; and
(F)providing assistance to existing residents experiencing economic distress or at risk of displacement, including purchasing nonperforming mortgages and clearing and obtaining formal title.
(3)Community Land Trust grants and shared equity homeownership grantsAn eligible recipient of a community land trust grant awarded for establishing and operating a community land trust or shared equity homeownership program; creation, subsidization, construction, acquisition, rehabilitation, and preservation of housing in a community land trust or shared equity homeownership program, and expanding the capacity of the recipient to carry out the grant.
(f)The Secretary may waive or specify alternative requirements for any provision of subsection (a)(1) or (a)(2), or regulation for the administration of the amounts made available under this section other than requirements related to fair housing, nondiscrimination, labor standards, and the environment, upon a finding that the waiver or alternative requirement is not inconsistent with the overall purposes of such Act and that the waiver or alternative requirement is necessary to expedite or facilitate the use of amounts made available under this section.
(g)For purposes of this section, the following definitions shall apply:
(1)The term community land trust
’ means a nonprofit organization or State or local governments or instrumentalities that—
(A)use a ground lease or deed covenant with an affordability period of at least 30 years or more to—
(i)make rental and homeownership units affordable to households; and
(ii)stipulate a preemptive option to purchase the affordable rentals or homeownership units so that the affordability of the units is preserved for successive income-eligible households; and
(B)monitor properties to ensure affordability is preserved.
(2)The term land bank
means a government entity, agency, or program, or a special purpose nonprofit entity formed by one or more units of government in accordance with State or local land bank enabling law, that has been designated by one or more State or local governments to acquire, steward, and dispose of vacant, abandoned, or other problem properties in accordance with locally-determined priorities and goals.
(3)Shared equity homeownership programThe term shared equity homeownership program
means a program to facilitate affordable homeownership preservation through a resale restriction program administered by a community land trust, other nonprofit organization, or State or local government or instrumentalities and that utilizes a ground lease, deed restriction, subordinate loan, or similar mechanism that includes provisions ensuring that the program shall—
(A) maintain the home as affordable for subsequent very low-, low-, or moderate-income families for an affordability term of at least 30 years after recordation;
(B)apply a resale formula that limits the homeowner’s proceeds upon resale; and
(C) provide the program administrator or such administrator’s assignee a preemptive option to purchase the homeownership unit from the homeowner at resale.
(h)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40106.Fair housing activities and investigations
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Housing and Urban Development (in this section referred to as the Secretary
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$540,000,000, to remain available until September 30, 2026, for the Fair Housing Initiatives Program under section 561 of the Housing and Community Development Act of 1987 (42 U.S.C. 3616a) to ensure existing and new fair housing organizations have expanded and strengthened capacity to address fair housing inquiries and complaints, conduct local, regional, and national testing and investigations, conduct education and outreach activities, and address costs of delivering or adapting services to meet increased housing market activity and evolving business practices in the housing, housing-related, and lending markets. Amounts made available under this section shall support greater organizational continuity and capacity, including through up to 10-year grants; and
(2)$160,000,000, to remain available until September 30, 2031, for the costs to the Secretary of administering and overseeing the implementation of this section and the Fair Housing Initiatives and Fair Housing Assistance Programs generally, including information technology, financial reporting, research and evaluations, other cross-program costs in support of programs administered by the Secretary in this title, and other costs.
(b)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
CHomeownership Investments
40201.First-Generation Downpayment Assistance
(a)In addition to amounts otherwise available, there is appropriated to the First Generation Downpayment Fund to increase equal access to homeownership, established under subsection (b) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$6,825,000,000, to remain available until September 30, 2026, for the First-Generation Downpayment Assistance Fund under this section for allocation among States in accordance with a formula established by the Secretary, which shall take into consideration best available data to approximate the number of potential qualified homebuyers as defined in subsection (e)(5) as well as median area home prices, to carry out the eligible uses of the Fund as described in subsection (c);
(2)$2,275,000,000, to remain available until September 30, 2026, for the First-Generation Downpayment Assistance Program under this section for competitive grants to eligible entities to carry out the eligible uses of the Fund as described in subsection (d);
(3)$500,000,000, to remain available until September 30, 2031, for the costs of providing housing counseling required under the First-Generation Downpayment Assistance Program under subsection (c)(1); and
(4)$400,000,000, to remain available until September 30, 2031, for the costs to the Secretary of Housing and Urban Development of administering and overseeing the implementation of the First-Generation Downpayment Assistance Program, including information technology, financial reporting, programmatic reporting, ensuring fair housing and fair lending compliance, research and evaluations, which shall include the program’s impact on racial and ethnic disparities in homeownership rates, technical assistance to recipients of amounts under this section, and other cross-program costs in support to programs administered by the Secretary in this Act, and other costs.
(b)The Secretary of Housing and Urban Development shall establish and manage a fund to be known as the First Generation Downpayment Fund (in this section referred to as the Fund
) for the uses set forth in subsection (d).
(c)
(1)The Secretary shall allocate and award funding provided by subsection (a) as provided under such subsection not later than 12 months after the date of the enactment of this section.
(2)If a State or eligible entity does not demonstrate the capacity to expend grant funds provided under this section, the Secretary may recapture amounts remaining available to a grantee that has not demonstrated the capacity to expend such funds in a manner that furthers the purposes of this section and shall reallocate such amounts among any other States or eligible entities that have demonstrated to the Secretary the capacity to expend such amounts in a manner that furthers the purposes of this section.
(d)Terms and conditions of grants allocated or awarded from Fund
(1)States and eligible entities receiving grants from the Fund shall use such grants to provide assistance to or on behalf of a qualified homebuyer who has completed a program of housing counseling provided through a housing counseling agency approved by the Secretary or other adequate homebuyer education before entering into a sales purchase agreement for—
(A)costs in connection with the acquisition, involving an eligible mortgage loan, of an eligible home, including downpayment costs, closing costs, and costs to reduce the rates of interest on eligible mortgage loans;
(B)subsidies to make shared equity homes affordable to eligible homebuyers; and
(C)pre-occupancy home modifications to accommodate qualified homebuyers or members of their household with disabilities;
(2)Assistance under this section—
(A)may be provided to or on behalf of any qualified homebuyer only once in the form of forgivable grants or non-amortizing, non-interest-bearing loans; and
(B)may not exceed the greater of $20,000 or 10 percent of the purchase price in the case of a qualified homebuyer, not to include assistance received under subsection (d)(1)(A)(iii) for disability related home modifications, except that the Secretary may increase such maximum limitation amounts in the case of a qualified homebuyer who is economically disadvantaged.
(3)In selecting qualified homebuyers for assistance with grant amounts under this section, a State or eligible entity may not provide any priority or preference for homebuyers who are acquiring eligible homes with a mortgage loan made, insured, guaranteed, or otherwise assisted by the State housing finance agency for the State, any other housing agency of the State, or an eligible entity when applicable.
(4)
(A)The Secretary shall require that, if a homebuyer to or on behalf of whom assistance is provided from grant amounts under this section fails or ceases to occupy the property acquired using such assistance as the primary residence of the homebuyer, except in the case of assistance provided in connection with the purchase of a principal residence through a shared equity homeownership program, the homebuyer shall repay to the State or eligible entity, as applicable, in a proportional amount of the assistance the homebuyer receives based on the number of years they have occupied the eligible home up to 5 years, except that no assistance shall be repaid if the qualified homebuyer occupies the eligible home as a primary residence for 5 years or more.
(B)Notwithstanding subparagraph (A), a homebuyer to or on behalf of whom assistance is provided from grant amounts under this section shall not be liable to the State or eligible entity for the repayment of the amount of such shortage if the homebuyer fails or ceases to occupy the property acquired using such assistance as the principal residence of the homebuyer at least in part because of a hardship, or sells the property acquired with such assistance before the expiration of the 60-month period beginning on such date of acquisition and the capital gains from such sale to a bona fide purchaser in an arm’s length transaction are less than the amount the homebuyer is required to repay the State or eligible entity under subparagraph (A).
(5)Reliance on borrower attestationsNo additional documentation beyond the borrower’s attestation shall be required to demonstrate eligibility under subparagraphs (B) and (C) of subsection (e)(6) and no State, eligible entity, or creditor shall be subject to liability based on the accuracy of such attestation.
(e)For purposes of this section, the following definitions shall apply:
(1)The term eligible entity
means—
(A)a minority depository institution, as such term is defined in section 308 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1463 note);
(B)a community development financial institution, as such term is defined in section 103 of the Riegle Community Development and Regulatory Improvement Act of 1994 (12 U.S.C. 4702), that is certified by the Secretary of the Treasury and targets services to low-income and socially disadvantaged populations and provides services in neighborhoods having high concentrations of minority, low-income, or socially disadvantaged populations;
(C)any other nonprofit entity that the Secretary finds has a track record of providing assistance to homeowners, targets services to low-income and socially disadvantaged populations, and provides services in neighborhoods having high concentrations of minority, low-income, or socially disadvantaged populations; and
(D)a unit of general local government, as such term is defined in section 102 of the Housing and Community Development Act of 1974 (42 U.S.C. 5302).
(2)The term eligible home
means a residential dwelling that—
(A)consists of 1 to 4 dwelling units; and
(B)will be occupied by the qualified homebuyer as the primary residence of the homebuyer.
(3)The term eligible mortgage loan
means a single-family residential mortgage loan that—
(A)meets the underwriting requirements and dollar amount limitations for acquisition by the Federal National Mortgage Association or the Federal Home Loan Mortgage Corporation;
(B)is made, insured, or guaranteed under any program administered by the Secretary;
(C)is made, insured, or guaranteed by the Rural Housing Administrator of the Department of Agriculture;
(D)is a qualified mortgage, as such term is defined in section 129C(b)(2) of the Truth in Lending Act (15 U.S.C. 1639c(b)(2)); or
(E)is made, insured, or guaranteed for the benefit of a veteran.
(4)First generation homebuyerThe term first-generation homebuyer
means a homebuyer that is, as attested by the homebuyer—
(A)an individual—
(i)whose parents or legal guardians do not, or did not at the time of their death, to the best of the individual’s knowledge, have any present ownership interest in a principal residence in any State, excluding ownership of heir property; and
(ii)whose spouse or domestic partner has not, during the 3-year period ending upon acquisition of the eligible home to be acquired using such assistance, had any present ownership interest in a principal residence in any State, excluding ownership of heir property, whether the individual is a co-borrower on the loan or not; or
(B)an individual who has at any time been placed in foster care or institutional care whose spouse or domestic partner has not, during the 3-year period ending upon acquisition of the eligible home to be acquired using such assistance, had any ownership interest in a principal residence in any State, excluding ownership of heir property, whether such individuals are co-borrowers on the loan or not.
(5)The term heir property
means residential property for which title passed by operation of law through intestacy and is held by two or more heirs as tenants in common.
(6)The term ownership interest
means any ownership, excluding any interest in heir property, in—
(A)real estate in fee simple;
(B)a leasehold on real estate under a lease for not less than ninety-nine years which is renewable; or
(C)a fee interest in, or long-term leasehold interest in, real estate consisting of a one-family unit in a multifamily project, including a project in which the dwelling units are attached, or are manufactured housing units, semi-detached, or detached, and an undivided interest in the common areas and facilities which serve the project.
(7)The term qualified homebuyer
means a homebuyer—
(A)having an annual household income that is less than or equal to—
(i)120 percent of median income, as determined by the Secretary, for—
(I)the area in which the home to be acquired using such assistance is located; or
(II)the area in which the place of residence of the homebuyer is located; or
(ii)140 percent of the median income, as determined by the Secretary, for the area within which the eligible home to be acquired using such assistance is located if the homebuyer is acquiring an eligible home located in a high-cost area;
(B)who is a first-time homebuyer, as such term is defined in section 104 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12704), except that for the purposes of this section the reference in such section 104 to title II shall be considered to refer to this section, and except that ownership of heir property shall not be treated as owning a home for purposes of determining whether a borrower qualifies as a first-time homebuyer; and
(C)who is a first-generation homebuyer.
(8)The term Secretary
means the Secretary of Housing and Urban Development.
(9)Shared equity homeownership program
(A)The term shared equity homeownership program
means affordable homeownership preservation through a resale restriction program administered by a community land trust, other nonprofit organization, or State or local government or instrumentalities.
(B)Affordability requirementsAny such program under subparagraph (A) shall—
(i)provide affordable homeownership opportunities to households; and
(ii)utilize a ground lease, deed restriction, subordinate loan, or similar mechanism that includes provisions ensuring that the program shall—
(I)maintain the homeownership unit as affordable for subsequent very low-, low-, or moderate-income families for an affordability term of at least 30 years after recordation;
(II)apply a resale formula that limits the homeowner’s proceeds upon resale; and
(III)provide the program administrator or such administrator’s assignee a preemptive option to purchase the homeownership unit from the homeowner at resale.
(10)The term State
means any State of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, the Commonwealth of the Northern Mariana Islands, and American Samoa.
(f)The Secretary shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40202.
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any amounts in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$4,000,000,000 to the Secretary of Housing and Urban Development for the cost of guaranteed or insured loans and other obligations, including the cost of modifying such loans, under subsection (e)(1)(A);
(2)$500,000,000 to the Secretary of Housing and Urban Development for costs of carrying out the program under paragraph (1) and programs of the Federal Housing Administration and the Government National Mortgage Association generally, including information technology, financial reporting, and other cross-program costs;
(3)$150,000,000 to the Secretary of Agriculture for the cost of guaranteed and insured loans and other obligations, including the cost of modifying such loans, under subsection (e)(1)(B);
(4)$50,000,000 to the Secretary of Agriculture for the costs of carrying out the program under paragraph (3) and programs of the Rural Housing Service generally, including information technology and financial reporting in support of the Program administered by the Secretary of Agriculture in this title; and
(5)$300,000,000 to the Secretary of Treasury for the costs of carrying out the program under this section.
(b)
(1)
(A)The Secretary of Housing and Urban Development and the Secretary of Agriculture shall use the funds provided under subsections (a)(1), (a)(2), (a)(3), and (a)(4) to carry out the programs under subsections (a)(1) and (a)(3) to make covered mortgage loans.
(B)The Secretary of the Treasury shall use the funds provided under subsections (a)(5) and (b)(2) to—
(i)purchase, on behalf of the Secretary of Housing and Urban Development, securities that are secured by covered mortgage loans, and sell, manage, and exercise any rights received in connection with, any financial instruments or assets acquired pursuant to the authorities granted under this section, including, as appropriate, establishing and using vehicles to purchase, hold, and sell such financial instruments or assets;
(ii)designate one or more banks, security brokers or dealers, asset managers, or investment advisers, as a financial agent of the Federal Government to perform duties related to authorities granted under this section; and
(iii)use the services of the Department of Housing and Urban Development on a reimbursable basis, and the Secretary of Housing and Urban Development is authorized to provide services as requested by the Secretary of Treasury using all authorities vested in or delegated to the Department of Housing and Urban Development.
(2)Transfer of amounts to TreasurySuch portions of the appropriation to the Secretary of Housing and Urban Development shall be transferred by the Secretary of Housing and Urban Development to the Department of the Treasury from time-to-time in an amount equal to, as determined by the Secretary of the Treasury in consultation with the Secretary of Housing and Urban Development, the amount necessary for the purchase of securities under the Program during the period for which the funds are intended to be available.
(3)Revenues of and proceeds from the sale, exercise, or surrender of assets purchased or acquired under the Program under this section shall be available to the Secretary of the Treasury through September 30, 2031, for purposes of purchases under subsection (b)(1)(B)(i).
(c)Limitation on aggregate loan insurance or guarantee authorityThe aggregate original principal obligation of all covered mortgage loans insured or guaranteed under subsection (e)(1)(A) of this section may not exceed $48,000,000,000, and under section (e)(1)(B) may not exceed $12,000,000,000.
(d)GNMA guarantee authority and feeTo carry out the purposes of this section, the Government National Mortgage Association may enter into new commitments to issue guarantees of securities based on or backed by mortgages insured or guaranteed under this section, not exceeding $60,000,000,000, and shall collect guaranty fees consistent with section 306(g)(1) of the National Housing Act (12 U.S.C. 1721(g)(1)) that are paid at securitization.
(e)In this section:
(1)
(A)The term covered mortgage loan
means, for purposes of the Program established by the Secretary of Housing and Urban Development, a mortgage loan that—
(i)is insured by the Federal Housing Administration pursuant to section 203(b) of the National Housing Act, subject to the eligibility criteria set forth in this subsection, and has a case number issued on or before December 31, 2029;
(ii)is made for an original term of 20 years with a monthly mortgage payment of principal and interest that is not more than 110 percent and not less than 100 percent of the monthly payment of principal, interest, and periodic mortgage insurance premium associated with a newly originated 30-year mortgage loan with the same loan balance insured by the agency as determined by the Secretary;
(iii)subject to subparagraph (C) of this paragraph and notwithstanding section 203(c)(2) of the National Housing Act (12 U.S.C. 1709(c)(2)), has a mortgage insurance premium of not more than 4 percent of the loan balance that is paid at closing, financed into the principal balance of the loan, paid through an annual premium, or a combination thereof;
(iv)involves a rate of interest that is fixed over the term of the mortgage loan; and
(v)is secured by a single-family residence that is the principal residence of an eligible homebuyer.
(B)The term covered mortgage loan
means, for purposes of the Program established by the Secretary of Agriculture, a loan guaranteed under section 502(h) of the Housing Act of 1949 (42 U.S.C. 1472(h)) that—
(i)notwithstanding section 502(h)(7)(A) of the Housing Act of 1949 (42 U.S.C. 1472(h)(7)(A)), is made for an original term of 20 years with a monthly mortgage payment of principal and interest that is not more than 110 percent and not less than 100 percent of the monthly payment of principal, interest, and loan guarantee fee associated with a newly originated 30-year mortgage loan with the same loan balance guaranteed by the agency as determined by the Secretary; and
(ii)subject to subparagraph (C) of this paragraph and notwithstanding section 502(h)(8)(A) of the Housing Act of 1949 (42 U.S.C. 1472(h)(8)(A)), has a loan guarantee fee of not more than 4 percent of the principal obligation of the loan.
(C)Waiver and alternative requirementsThe Secretary of Housing and Urban Development and the Secretary of Agriculture, in consultation with the Secretary of the Treasury, and notwithstanding paragraph (8)(A) of section 502(h) of the Housing Act of 1949 (42 U.S.C. 1472(h)(8)(A)) for purposes of the Program established by the Secretary of Agriculture, may waive or specify alternative requirements for subsection (e)(1)(A)(ii) for covered mortgage loans in connection with the use of amounts made available under this section upon a finding that the waiver or alternative requirement is necessary to facilitate the use of amounts made available under this section.
(2)The term eligible homebuyer
means an individual who—
(A)for purposes of the Program established by the Secretary of Housing and Urban Development—
(i) has an annual household income that is less than or equal to—
(I)120 percent of median income for the area, as determined by the Secretary of Housing and Urban Development for—
- (aa)the area in which the home to be acquired using such assistance is located; or
- (bb)the area in which the place of residence of the homebuyer is located; or
(II)if the homebuyer is acquiring an eligible home that is located in a high-cost area, 140 percent of the median income, as determined by the Secretary, for the area within which the eligible home to be acquired using assistance provided under this section is located;
(ii)is a first-time homebuyer, as defined in paragraph (4) of this subsection; and
(iii)is a first-generation homebuyer as defined in paragraph (3) of this subsection;
(B)for purposes of the Program established by the Secretary of Agriculture—
(i)meets the applicable requirements in section 502(h) of the Housing Act of 1949 (42 U.S.C. 1472(h)); and
(ii)is a first-time homebuyer as defined in paragraph (4) of this subsection and a first-generation homebuyer as defined in paragraph (3) of this subsection.
(3)First-generation homebuyerThe term first-generation homebuyer
means a homebuyer that, as attested by the homebuyer, is—
(A)an individual—
(i)whose parents or legal guardians do not, or did not at the time of their death, to the best of the individual’s knowledge, have any present ownership interest in a principal residence in any State, excluding ownership of heir property; and
(ii)whose spouse, or domestic partner has not, during the 3-year period ending upon acquisition of the eligible home to be acquired using such assistance, have any present ownership interest in a principal residence in any State, excluding ownership of heir property, whether the individual is a co-borrower on the loan or not; or
(B)an individual who has at any time been placed in foster care or institutional care whose spouse or domestic partner has not, during the 3-year period ending upon acquisition of the eligible home to be acquired using such assistance, had any ownership interest in a principal residence in any State, excluding ownership of heir property, whether such individuals are co-borrowers on the loan or not.
(4)The term first-time homebuyer
means a homebuyer as defined in section 104 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12704), except that for the purposes of this section the reference in such section 12704(14) to title II shall be considered to refer to this section, and except that ownership of heir property shall not be treated as owning a home for purposes of determining whether a borrower qualifies as a first-time homebuyer.
(5)The term heir property
means residential property for which title passed by operation of law through intestacy and is held by two or more heirs as tenants in common.
(6)The term ownership interest
means any ownership, excluding any interest in heir property, in—
(A)real estate in fee simple;
(B)a leasehold on real estate under a lease for not less than ninety-nine years which is renewable; or
(C)a fee interest in, or long-term leasehold interest in, real estate consisting of a one-family unit in a multifamily project, including a project in which the dwelling units are attached, or are manufactured housing units, semi-detached, or detached, and an undivided interest in the common areas and facilities which serve the project.
(7)The term State
means the States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana Islands, Guam, the Virgin Islands, American Samoa, the Trust Territory of the Pacific Islands, and any other territory or possession of the United States.
(f)Reliance on borrower attestationsNo additional documentation beyond the borrower’s attestation shall be required to demonstrate eligibility under clauses (ii) and (iii) of subsection (e)(2)(A) and clause (ii) of subsection (e)(2)(B) and no State, eligible entity, or creditor shall be subject to liability based on the accuracy of such attestation.
(g)The Secretary of Housing and Urban Development, the Secretary of Agriculture, and the Secretary of Treasury shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
40203.Investments in rural homeownership
(a)In addition to amounts otherwise available, there is appropriated to the Rural Housing Service of the Department of Agriculture, out of any money in the Treasury not otherwise appropriated, to remain available until expended—
(1)$90,000,000 for providing single family housing repair grants under section 504 of the Housing Act of 1949 (42 U.S.C. 1474), subject to the terms and conditions in subsection (b) of this section;
(2)$10,000,000 for administrative expenses of the Rural Housing Service of the Department of Agriculture that in whole or in part support activities funded by this section and related activities.
(b)
(1)Eligibility for grants from amounts made available by subsection (a)(1) shall not be subject to the limitations in section 3550.103(b) of title 7, Code of Federal Regulations.
(2)Notwithstanding the limitations in section 3550.102(a) of title 7, Code of Federal Regulations, grants from amounts made available by subsection (a)(2) shall be available for the eligible purposes in section 3550.102(b) of title 7, Code of Federal Regulations.
(c)The Administrator of the Rural Housing Service shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
DHUD Administration, Capacity Building, Technical Assistance, and Agency Oversight
40301.Program administration, training, technical assistance, capacity building, and oversight
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated,—
(1)$949,250,000 to the Secretary of Housing and Urban Development for—
(A)the costs to the Secretary of administering and overseeing the implementation of this title and the Department’s programs generally, including information technology, inspections of housing units, research and evaluation, financial reporting, and other costs; and
(B)new awards or increasing prior awards to provide training, technical assistance, and capacity building related to the Department’s programs, including direct program support to program recipients throughout the country, including insular areas, that require such assistance with daily operations;
(2)$43,250,000 to the Office of Inspector General of the Department of Housing and Urban Development for necessary salaries and expenses for conducting oversight of amounts provided by this title;
(3)$5,000,000 to the Office of Inspector General of the Department of the Treasury for necessary salaries and expenses for conducting oversight of amounts provided by this title; and
(4)$2,500,000 to the Office of Inspector General of the Department of the Agriculture for necessary salaries and expenses for conducting oversight of amounts provided by this title.Amounts appropriated by this section shall remain available until September 30, 2031.
(b)The Secretary of Housing and Urban Development shall have authority to issue such regulations, notices, or other guidance, forms, instructions, and publications to carry out the programs, projects, or activities authorized under this section to ensure that such programs, projects, or activities are completed in a timely and effective manner.
E
40401.Minority Business Development AgencyIn addition to amounts otherwise available, there is appropriated to the Minority Business Development Agency of the Department of Commerce for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$200,000,000, to remain available until September 30, 2026, for entering into agreements with minority-serving institutions of higher education or consortiums of institutions of higher education that are led by minority-serving institutions of higher education to operate a rural business center to assist minority business enterprises located in rural areas, priority for which shall be given to institutions that have financial need and are located in areas that have a significant population of socially or economically disadvantaged individuals; and
(2)$1,000,000,000, to remain available until September 30, 2026, for entering into grants and agreements to—
(A)assist the formation and growth of minority business enterprises;
(B)establish and provide Federal assistance to minority business centers, specialty centers, and minority business enterprises;
(C)make grants to private, nonprofit organizations that can demonstrate that a primary activity of the organization is to provide services to minority business enterprises, priority for which shall be given to organizations located in a Federally recognized area of economic distress; and
(D)provide grants and assistance to minority-serving institutions of higher education to develop and implement entrepreneurship curricula and participate in the business center program of the Minority Business Development Agency; and
(3)$400,000,000, to remain available until September 30, 2029, to—
(A)establish not less than 5 regional offices of the Minority Business Development Agency, 1 of which shall be established in each region of the United States, as determined by the Secretary;
(B)assist the formation and growth of minority business enterprises;
(C)collect data relating to the needs and development of minority business enterprises; and
(D)annually review the status of problems and programs relating to capital formation by minority business enterprises.
40402.Enhanced use of Defense Production Act of 1950
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money at the Treasury not otherwise appropriated, $500,000,000, to remain available until September 30, 2025, to carry out the Defense Production Act of 1950 in accordance with subsection (b).
(b)Amounts appropriated by subsection (a) shall be used to create, maintain, protect, expand, or restore the domestic industrial base capabilities essential for the national defense.
VCommittee on Homeland Security
50001.Cybersecurity and Infrastructure Security Agency
(a)Improving Federal System CybersecurityIn addition to amounts otherwise made available, there is appropriated to the Cybersecurity and Infrastructure Security Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2031, for improving the cybersecurity of Federal information systems that are not national security systems (as defined in paragraph (6) of section 3552 of title 44, United States Code) and necessary mission support activities.
(b)In addition to amounts otherwise made available, there is appropriated to the Cybersecurity and Infrastructure Security Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available until September 30, 2031, for the Cybersecurity Education and Training Assistance Program, Federal assistance grants under the Cybersecurity Education and Training Assistance Program, and necessary mission support activities.
(c)Cybersecurity Awareness, Training, and Workforce DevelopmentIn addition to amounts otherwise made available, there is appropriated to the Cybersecurity and Infrastructure Security Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2031, for improving cybersecurity awareness, training, and workforce development, including necessary mission support activities.
(d)Multi-State Information Sharing and Analysis CenterIn addition to amounts otherwise made available, there is appropriated to the Cybersecurity and Infrastructure Security Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $35,000,000, to remain available until September 30, 2031, for Federal assistance through cooperative agreements with the Multi-State Information Sharing and Analysis Center.
(e)In addition to amounts otherwise made available, there is appropriated to the Cybersecurity and Infrastructure Security Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, for the purpose of protecting critical infrastructure industrial control systems and the CyberSentry program.
(f)In addition to amounts otherwise made available, there is appropriated to the Cybersecurity and Infrastructure Security Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, for the purpose of executing the secure cloud architecture activities, migration advisory services, and cloud threat hunting capabilities of the Cybersecurity and Infrastructure Security Agency.
(g)Industrial control systems securityIn addition to amounts otherwise made available, there is appropriated to the Cybersecurity and Infrastructure Security Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, for the purpose of researching and developing the means by which to secure operational technology and industrial control systems against security vulnerabilities (as such term is defined in section 102(17) of the Cybersecurity Information Sharing Act of 2015 (6 U.S.C. 1501(17)).
50002.
(a)State and local cybersecurity recruitment and trainingIn addition to amounts otherwise made available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $80,000,000, to remain available until September 30, 2031, to the Administrator of the Federal Emergency Management Agency, in consultation with the Cybersecurity and Infrastructure Security Agency, to award grants, contracts, or cooperative agreements to State, local, Tribal, and territorial governments for cybersecurity recruitment and training to enhance efforts to address cybersecurity risks (as defined in paragraph (2) of section 2201 of the Homeland Security Act) and cybersecurity threats (as defined in paragraph (3) of section 2201 of the Homeland Security Act).
(b)In addition to amounts otherwise made available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2031, to the Administrator of the Federal Emergency Management Agency, in consultation with the Cybersecurity and Infrastructure Security Agency, to award grants, contracts, or cooperative agreements to State, local, Tribal, and territorial governments to carry out activities to migrating the online services of such governments to the .gov internet domain.
(c)The Administrator of the Federal Emergency Management Agency may not use amounts appropriated under this section for activities under the National Flood Insurance Act of 1968 or a function of the Federal Emergency Management Agency relating to that Act.
50003.Nonprofit security grant program
(a)In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, to the Administrator of Federal Emergency Management Agency for the Nonprofit Security Grant Program for grants to nonprofits under the Urban Area Security Initiative.
(b)In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, to the Administrator of the Federal Emergency Management Agency for the Nonprofit Security Grant Program for grants to nonprofits under the State Homeland Security Grant Program.
(c)The Administrator of the Federal Emergency Management Agency may not use amounts appropriated under this section for activities under the National Flood Insurance Act of 1968 or a function of the Federal Emergency Management Agency relating to that Act.
50004.Office of Chief Readiness Support OfficerIn addition to the amounts otherwise available, there is appropriated to the Secretary of Homeland Security for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $900,000,000, to remain available until September 30, 2028, for the Office of the Chief Readiness Support Officer to carry out sustainability and environmental programs.
VICommittee on the Judiciary
A
60001.
(a)Section 249 of the Immigration and Nationality Act (8 U.S.C. 1259) is amended—
(1)in the heading, by striking 1972
; and inserting 2010
; and
(2)in paragraph (a), by striking 1972
and inserting 2010
.
(b)In addition to any administrative processing fee collected in connection with an application described in section 249 of the Immigration and Nationality Act (8 U.S.C. 1259), the Secretary of Homeland Security shall collect, in the case of any alien who entered the United States during the period beginning on January 1, 1972, and ending on December 31, 2009, a supplemental fee of $1,500 in connection with each such application.
(c)This section and the amendments made by this section shall take effect on the earlier of the date that is—
(1)180 days after the date of the enactment of this Act; or
(2)May 1, 2022.
60002.Recapture of unused immigrant visa numbers
(a)Ensuring future use of all immigrant visasSection 201(c)(1)(B)(ii) of the Immigration and Nationality Act (8 U.S.C. 1151(c)(1)(B)(ii)) is amended to read as follows:
(ii)In no case shall the number computed under subparagraph (A) be less than the sum of—
(I)226,000; and
(II)the number computed under paragraph (3)..
(b)Section 201 of the Immigration and Nationality Act (8 U.S.C. 1151) is amended by adding at the end the following:
(g)
(1)
(A)Notwithstanding the numerical limitations set forth in this section or in sections 202 or 203, beginning in fiscal year 2022, the number of family-sponsored immigrant visas that may be issued under section 203(a) shall be increased by the number computed under subparagraph (B).
(B)The number computed under this subparagraph is the difference, if any, between—
(i)the difference, if any, between—
(I)the number of visas that were originally made available to family-sponsored immigrants under section 201(c)(1) for fiscal years 1992 through 2021, setting aside any unused visas made available to such immigrants in such fiscal years under section 201(c)(3); and
(II)the number of visas described in subclause (I) that were issued under section 203(a), or, in accordance with section 201(d)(2)(C), under section 203(b); and
(ii)the number of visas resulting from the calculation under clause (i) issued under section 203(a) after fiscal year 2021.
(2)
(A)Notwithstanding the numerical limitations set forth in this section or in sections 202 or 203, beginning in fiscal year 2022, the number of employment-based immigrant visas that may be issued under section 203(b) shall be increased by the number computed under subparagraph (B).
(B)The number computed under this paragraph is the difference, if any, between—
(i)the difference, if any, between—
(I)the number of visas that were originally made available to employment-based immigrants under section 201(d)(1) for fiscal years 1992 through 2021, setting aside any unused visas made available to such immigrants in such fiscal years under section 201(d)(2); and
(II)the number of visas described in subclause (I) that were issued under section 203(b), or, in accordance with section 201(c)(3)(C), under section 203(a); and
(ii)the number of visas resulting from the calculation under clause (i) issued under section 203(b) after fiscal year 2021.
(3)Notwithstanding section 204(a)(1)(I)(ii)(II), an immigrant visa for an alien selected in accordance with section 203(e)(2) in fiscal year 2017, 2018, 2019, 2020, or 2021 shall remain available to such alien (and the spouse and children of such alien) if—
(A)the alien was refused a visa, prevented from seeking admission, or denied admission to the United States solely because of Executive Order 13769, Executive Order 13780, Presidential Proclamation 9645, or Presidential Proclamation 9983; or
(B)because of restrictions or limitations on visa processing, visa issuance, travel, or other effects associated with the COVID–19 public health emergency—
(i)the alien was unable to receive a visa interview despite submitting an Online Immigrant Visa and Alien Registration Application (Form DS–260) to the Secretary of State; or
(ii)the alien was unable to seek admission or was denied admission to the United States despite being approved for a visa under section 203(c)..
60003.Section 245 of the Immigration and Nationality Act (8 U.S.C. 1255) is amended by adding at the end the following:
(n)
(1)Notwithstanding subsection (a)(3), the Secretary of Homeland Security may accept for filing an application for adjustment of status from an alien (and the spouse and children of such alien), if such alien—
(A)is the beneficiary of an approved petition under section 204(a)(1);
(B)pays a supplemental fee of $1,500, plus $250 for each derivative beneficiary; and
(C)is otherwise eligible for such adjustment.
(2)The Secretary of State shall exempt an alien (and the spouse and children of such alien) from the numerical limitations described in sections 201, 202, and 203, and the Secretary of Homeland Security may adjust the status of such alien (and the spouse and children of such alien) to lawful permanent resident, if such alien submits or has submitted an application for adjustment of status and—
(A)such alien—
(i)is the beneficiary of an approved petition under subparagraph (A)(i) or (B)(i)(I) of section 204(a)(1) that bears a priority date that is more than 2 years before the date the alien requests an exemption from the numerical limitations; and
(ii)pays a supplemental fee of $2,500;
(B)such alien—
(i)is the beneficiary of an approved petition under subparagraph (E) or (F) of section 204(a)(1) that bears a priority date that is more than 2 years before the date the alien requests an exemption from the numerical limitations; and
(ii)pays a supplemental fee of $5,000; or
(C)such alien—
(i)is the beneficiary of an approved petition under subparagraph (H) of section 204(a)(1) that bears a priority date that is more than 2 years before the date the alien requests an exemption from the numerical limitations; and
(ii)pays a supplemental fee of $50,000.
(3)
(A)The provisions of this subsection—
(i)shall take effect on the earlier of the date that is—
(I)180 days after the date of the enactment of this subsection; or
(II)May 1, 2022; and
(ii)except as provided in subparagraph (B), shall cease to have effect on September 30, 2031.
(B)Paragraph (2) shall continue in effect with respect to an alien who requested an exemption of the numerical limitations and paid the requisite fee prior to the date described in subparagraph (A)(ii), until the Secretary of Homeland Security renders a final administrative decision on such application..
60004.Additional supplemental fees
(a)The fees described in this section, section 60001, and section 245(n) of the Immigration and Nationality Act, as added by this subtitle—
(1)shall be deposited in the general fund of the Treasury; and
(2)may not be waived, in whole or in part, by the Secretary of Homeland Security.
(b)In addition to any other fee collected in connection with a petition described in this subsection, the Secretary of Homeland Security shall collect a supplemental fee in the amount of—
(1)$100 in connection with each petition filed under—
(A)section 204(a)(1)(A)(i) of the Immigration and Nationality Act (8 U.S.C. 1154(a)(1)(A)(i)) for classification by reason of a relationship described under paragraph (1), (3), or (4) of section 203(a) of such Act (8 U.S.C. 1153(a)); and
(B)section 204(a)(1)(B)(i)(I) of such Act (8 U.S.C. 1154(a)(1)(B)(i)(I));
(2)$800 in connection with each petition filed under subparagraph (E) or (F) of section 204(a)(1) of the Immigration and Nationality Act (8 U.S.C. 1154(a)(1)); and
(3)$15,000 in connection with each petition filed under subparagraph (H) of section 204(a)(1) of the Immigration and Nationality Act (8 U.S.C. 1154(a)(1)).
(c)The Secretary of Homeland Security shall collect from each individual who is admitted to the United States as a nonimmigrant, and is issued an electronic or paper arrival/departure record (Form I-94 or Form I-94W, or any successor form), a fee of $19.
(d)Student and exchange visitorsIn addition to any other fee collected from an approved institution of higher education, other approved educational institution, or designated exchange visitor program in the United States, in connection with nonimmigrants described in subparagraph (F), (J), or (M) of section 101(a)(15) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(15)) enrolled in such institution or program, the Secretary of Homeland Security shall collect a supplemental fee of $250 for each such nonimmigrant.
(e)Permanent resident card replacementIn addition to any other fee collected in connection with each Application to Replace Permanent Resident Card (Form I-90, or any successor form), filed for purposes of replacing an expired or expiring permanent resident card, the Secretary of Homeland Security shall collect a supplemental fee of $500.
(f)Nonimmigrant visa petitionsIn addition to any other fee collected in connection with a petition filed under section 214 of the Immigration and Nationality Act (8 U.S.C. 1184), the Secretary of Homeland Security shall collect a supplemental fee of $500 in connection with each such petition for classification as a nonimmigrant under subparagraph (E), (H)(i)(b), (L), (O), or (P) of section 101(a)(15) of such Act (8 U.S.C. 1101(a)(15)).
(g)In addition to any other fee collected in connection with each Application to Extend/Change Nonimmigrant Status (Form I-539, or any successor form), the Secretary of Homeland Security shall collect a supplemental fee of $500.
(h)In addition to any other fee collected in connection with an application for employment authorization (Form I-765, or any successor form), the Secretary of Homeland Security shall collect a supplemental fee of $500 for each such application filed by an individual seeking such authorization as—
(1)the spouse of a nonimmigrant described in subparagraph (E), (H), or (L) of section 101(a)(15) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(15));
(2)a nonimmigrant described in section 101(a)(15)(F) of such Act (8 U.S.C. 1101(a)(15)(F)) to engage in optional practical training; or
(3)as an applicant for adjustment of status under section 245(a) of such Act (8 U.S.C. 1255(a)).
(i)In addition to any other fee collected in connection with the issuance of a nonimmigrant visa, the Secretary of State shall collect a supplemental fee in the amount of $75 in connection with each such visa that is issued for a classification under section 101(a)(15) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(15)).
(j)The fees authorized by this section shall take effect on the earlier of the date that is—
(1)180 days after the date of the enactment of this Act; and
(2)May 1, 2022.
60005.U.S. Citizenship and Immigration ServicesIn addition to amounts otherwise available, there is appropriated to U.S. Citizenship and Immigration Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,800,000,000, to remain available until expended, for the purpose of increasing the capacity of U.S. Citizenship and Immigration Services to adjudicate efficiently applications described in sections 249 of the Immigration and Nationality Act (8 U.S.C. 1259), as amended by section 60001 of this Act, and section 245(n) of the Immigration and Nationality Act (8 U.S.C. 1255(n)), as added by 60003 of this Act, and to reduce case processing backlogs.
BCommunity Violence Prevention
61001.Funding for community-based violence intervention initiatives
(a)In addition to amounts otherwise available, there is appropriated to the Attorney General for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,500,000,000, to remain available until September 30, 2031, for the purposes described in subsection (b).
(b)The Attorney General, acting through the Assistant Attorney General of the Office of Justice Programs, the Director of the Office of Community Oriented Policing Services, and the Director of the Office on Violence Against Women, shall use amounts appropriated by subsection (a)—
(1)to award competitive grants or contracts to units of local government, States, the District of Columbia, Indian Tribes, nonprofit community-based organizations, victim services providers, or other entities as determined by the Attorney General, to support evidence-informed intervention strategies to reduce community violence;
(2)to support training, technical assistance, research, evaluation, and data collection on strategies to effectively reduce community violence and ensure public safety; and
(3)to support research, evaluation, and data collection on the differing impact of community violence on demographic categories.
C
62001.In addition to amounts otherwise available, there is appropriated to the Attorney General for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $900,000,000, to remain available until September 30, 2031, for necessary expenses for the Department of Justice Antitrust Division for carrying out work of the Division related to competition or enforcement of the antitrust laws.
62002.Federal trade commission funding for unfair competition and antitrust enforcement workIn addition to amounts otherwise available, there is appropriated to the Federal Trade Commission for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000 to remain available until September 30, 2031, for carrying out work of the Commission related to unfair methods of competition or enforcement of the antitrust laws.
VIICOMMITTEE ON NATURAL RESOURCES
ANative American and Native Hawaiian Affairs
70101.Tribal climate resilience
(a)Tribal climate resilience and adaptationIn addition to amounts otherwise available, there is appropriated to the Director of the Bureau of Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $441,000,000, to remain available until September 30, 2031, for Tribal climate resilience and adaptation programs.
(b)Bureau of Indian Affairs fish hatcheriesIn addition to amounts otherwise available, there is appropriated to the Director of the Bureau of Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $19,600,000, to remain available until September 30, 2031, for fish hatchery operations and maintenance programs of the Bureau of Indian Affairs.
(c)In addition to amounts otherwise available, there is appropriated to the Director of the Bureau of Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $9,400,000, to remain available until September 30, 2031, for the administrative costs of carrying out this section. None of the funds provided by this section shall be subject to cost-sharing or matching requirements
(d)Amounts made available under this section shall be excluded from the calculation of funds received by those Tribal governments that participate in the Small and Needy
program.
(e)Distribution; use of fundsAmounts made available under this section that are distributed to Indian Tribes and Tribal organizations—
(1)shall be distributed on a 1-time basis; and
(2)shall only be used for the purposes identified under the applicable subsection.
70102.Native Hawaiian climate resilience
(a)Native Hawaiian climate resilience and adaptationIn addition to amounts otherwise available, there is appropriated to the Senior Program Director of the Office of Native Hawaiian Relations for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $49,000,000, to remain available until September 30, 2031, to carry out, through financial assistance, technical assistance, direct expenditure, grants, contracts, or cooperative agreements, climate resilience and adaptation activities that serve the Native Hawaiian Community.
(b)In addition to amounts otherwise available, there is appropriated to the Senior Program Director of the Office of Native Hawaiian Relations for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000, to remain available until September 30, 2031, for the administrative costs of carrying out this section. None of the funds provided by this section shall be subject to cost-sharing or matching requirements.
70103.Tribal electrification program
(a)Tribal electrification programIn addition to amounts otherwise available, there is appropriated to the Director of the Bureau of Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $294,000,000, to remain available until September 30, 2031, for—
(1)the provision of electricity to unelectrified Tribal homes through renewable energy systems;
(2)transitioning electrified Tribal homes to renewable energy systems; and
(3)associated home repairs and retrofitting necessary to install the renewable energy systems authorized under paragraphs (1) and (2).
(b)In addition to amounts otherwise available, there is appropriated to the Director of the Bureau of Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $6,000,000, to remain available until September 30, 2031, for the administrative costs of carrying out this section.
(c)Amounts made available under this section shall be excluded from the calculation of funds received by those Tribal governments that participate in the Small and Needy
program.
(d)Distribution; use of fundsAmounts made available under this section that are distributed to Indian Tribes and Tribal organizations—
(1)shall be distributed on a 1-time basis; and
(2)shall only be used for the purposes identified under the applicable subsection.
70104.Emergency drought relief for TribesIn addition to amounts otherwise available, there is appropriated to the Commissioner of the Bureau of Reclamation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until September 30, 2026, for near-term drought relief actions to mitigate drought impacts for Indian Tribes that are impacted by the operation of a Bureau of Reclamation water project, including through direct financial assistance to address drinking water shortages and to mitigate the loss of Tribal trust resources.
70105.Native American Consultation Resource Center
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of the Interior for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $33,000,000, to remain available until September 30, 2031, to establish and administer a Native American Consultation Resource Center (the authority for which shall expire on September 30, 2031) to provide training and technical assistance to support Federal consultation and coordination responsibilities relating to—
(1)the protection of the natural and cultural resources of Native Americans;
(2)land use planning and development that impacts Indian Tribes and the Native Hawaiian Community; and
(3)infrastructure projects that impact Indian Tribes and the Native Hawaiian Community.
(b)In this section, the term Native American
means—
(1)an Indian;
(2)a Native Hawaiian (as defined in paragraph (10) of section 2 of the Native American Graves Protection and Repatriation Act (25 U.S.C. 3001)); and
(3)a Native (as defined in subsection (b) of section 3 of the Alaska Native Claims Settlement Act (43 U.S.C. 1602)).
70106.
(a)Maintenance and improvementIn addition to amounts otherwise available, there is appropriated to the Director of the Indian Health Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $945,000,000, to remain available until September 30, 2031, for maintenance and improvement of facilities operated by the Indian Health Service or an Indian Tribe or Tribal organization.
(b)Mental health and substance use disordersIn addition to amounts otherwise available, there is appropriated to the Director of the Indian Health Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $123,716,000, to remain available until September 30, 2031, for mental health and substance use prevention and treatment services, including facility renovation, construction, or expansion relating to mental health and substance use prevention and treatment services.
(c)Priority health care facilitiesIn addition to amounts otherwise available, there is appropriated to the Director of the Indian Health Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2031, for projects identified through the health care facility priority system.
(d)In addition to amounts otherwise available, there is appropriated to the Director of the Indian Health Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $40,000,000, to remain available until September 30, 2031, for small ambulatory construction.
(e)Urban Indian organizationsIn addition to amounts otherwise available, there is appropriated to the Director of the Indian Health Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2031, for the renovation, construction, expansion, equipping, and improvement of facilities owned or leased by an Urban Indian organization.
(f)In addition to amounts otherwise available, there is appropriated to the Director of the Indian Health Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until September 30, 2031, for the epidemiology centers.
(g)Environmental health and facilities support activitiesIn addition to amounts otherwise available, there is appropriated to the Director of the Indian Health Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $113,284,000, to remain available until September 30, 2031, for environmental health and facilities support activities of the Indian Health Service.
(h)Distribution; use of fundsAmounts appropriated under this section that are distributed to Indian Tribes and Tribal organizations—
(1)shall be distributed on a 1-time basis; and
(2)shall only be used for the purposes identified under the applicable subsection.
70107.
(a)Public safety and justiceIn addition to amounts otherwise available, there is appropriated to the Assistant Secretary for Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $490,000,000, to remain available until September 30, 2031, for public safety and justice programs and construction.
(b)In addition to amounts otherwise available, there is appropriated to the Assistant Secretary for Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until September 30, 2031, for the administrative costs of carrying out this section.
(c)Amounts made available under this section shall be excluded from the calculation of funds received by those Tribal governments that participate in the Small and Needy
program.
(d)Distribution; use of fundsAmounts made available under this section that are distributed to Indian Tribes and Tribal organizations—
(1)shall be distributed on a 1-time basis; and
(2)shall only be used for the purposes identified under the applicable subsection.
70108.Bureau of Indian Affairs and Tribal roads
(a)In addition to amounts otherwise available, there is appropriated to the Director of the Bureau of Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $715,400,000, to remain available until September 30, 2026, for the Bureau of Indian Affairs Road System and Tribal transportation facilities—
(1)for road maintenance;
(2)for planning, design, construction, and reconstruction activities; and
(3)to address the deferred road maintenance backlog at the Bureau of Indian Affairs.
(b)In addition to amounts otherwise available, there is appropriated to the Director of the Bureau of Indian Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $14,600,000, to remain available until September 30, 2026, for the administrative costs of carrying out this section.
BNational Oceanic and Atmospheric Administration
70201.Investing in coastal communities and climate resilienceIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $6,000,000,000, to remain available until September 30, 2026, to provide funding through direct expenditure, contracts, grants, cooperative agreements, or technical assistance to coastal states (as defined in paragraph (4) of section 304 of the Coastal Zone Management Act of 1972 (16 U.S.C. 1453(4))), the District of Columbia, Indian Tribes, nonprofit organizations, local governments, and institutions of higher education (as defined in subsection (a) of section 101 of the Higher Education Act of 1965 (20 U.S.C. 1001(a))), for the conservation, restoration, and protection of coastal and marine habitats and resources, including fisheries, to enable coastal communities to prepare for extreme storms and other changing climate conditions, and for projects that support natural resources that sustain coastal and marine resource dependent communities, and for related administrative expenses. None of the funds provided by this section shall be subject to cost-sharing or matching requirements.
70202.Pacific salmon restoration and conservationIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2026, for the purposes of supporting the restoration and conservation of Pacific salmon and steelhead populations and the habitat of those populations, including by improving climate resilience and climate adaptation, and for related administrative expenses.
70203.Marine fisheries infrastructureIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $400,000,000, to remain available until September 30, 2026, for grants to States and Indian Tribes, to repair, replace, and upgrade hatchery infrastructure for the production of a fishery (as defined in paragraph (13) of section 3 of the Magnuson-Stevens Fishery Conservation and Management Act (16 U.S.C. 1802(13))) that is included in a fishery management plan or plan amendment approved by the Secretary of Commerce under subsection (a) of section 301 of the Magnuson-Stevens Fishery Conservation and Management Act (16 U.S.C. 1851(a)), and for related administrative expenses.
70204.Marine fisheries and marine mammal stock assessments, surveys, and research and managementIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $500,000,000, to remain available until September 30, 2026, for purposes of Federal fisheries management, marine fisheries conservation, and marine mammal research, including fisheries and marine mammal stock assessments, marine fisheries data collection, surveys, scientific research, and management, acquisition of electronic monitoring equipment for fishery participants, transitional gear research, and ecosystem-based assessments in support of marine fish species, including fisheries managed under section 303 of the Magnuson-Stevens Fishery Conservation and Management Act (16 U.S.C. 1853) and subsection (a) of section 117 of the Marine Mammal Protection Act of 1972 (16 U.S.C. 1386(a)).
70205.Facilities of the National Oceanic and Atmospheric Administration and National Marine Sanctuaries
(a)National Oceanic and Atmospheric Administration FacilitiesIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $300,000,000, to remain available until September 30, 2026, for the construction of new facilities (including facilities in need of replacement) including piers, marine operations facilities, fisheries laboratories, and other laboratory facilities.
(b)National marine sanctuaries facilitiesIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2026, for the construction of facilities to support the National Marine Sanctuary System established under subsection (c) of section 301 of the National Marine Sanctuaries Act (16 U.S.C. 1431(c)).
70206.NOAA Efficient and Effective ReviewsIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2026, to provide for the development of more efficient, accurate, and timely reviews for planning, permitting and approval processes through the hiring and training of personnel, the development of programmatic documents, the procurement of technical or scientific services for reviews, the development of environmental data or information systems, stakeholder and community engagement, the purchase of new equipment for environmental analysis, and the development of geographic information systems and other analysis tools, techniques, and guidance to improve agency transparency, accountability, and public engagement.
70207.Seafood import monitoring programIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,000,000, to remain available until September 30, 2026, to implement the seafood import monitoring program of the National Oceanic and Atmospheric Administration.
CUnited States Fish and Wildlife Service
70301.Endangered Species Act recovery plansIn addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $180,000,000, to remain available until expended, for the purposes of developing and implementing recovery plans under paragraphs (1), (3), and (4) of subsection (f) of section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533(f)).
70302.Island plant conservation
(a)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $4,850,000, to remain available until expended, to make direct expenditures, award grants, and enter into contracts and cooperative agreements for the purposes of conserving endangered species and threatened species of plants in the Hawaiian Islands and the Pacific Island Territories of the United States under paragraphs (1), (3), and (4) of subsection (f) of section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533(f)).
(b)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $150,000, for necessary administrative expenses associated with carrying out this section.
70303.
(a)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $4,850,000, to remain available until expended, to make direct expenditures, award grants, and enter into contracts and cooperative agreements for the purposes of conserving endangered species and threatened species of pollinators in the United States under paragraphs (1), (3), and (4) of subsection (f) of section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533(f)).
(b)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $150,000, for necessary administrative expenses associated with carrying out this section.
70304.
(a)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $4,850,000, to remain available until expended, to make direct expenditures, award grants, and enter into contracts and cooperative agreements for the purposes of conserving endangered species and threatened species of freshwater mussels in the United States under paragraphs (1), (3), and (4) of subsection (f) of section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533(f)).
(b)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $150,000, for necessary administrative expenses associated with carrying out this section.
70305.
(a)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $4,850,000, to remain available until expended, to make direct expenditures, award grants, and enter into contracts and cooperative agreements for the purposes of conserving endangered species and threatened species of desert fish in the United States under paragraphs (1), (3), and (4) of subsection (f) of section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533(f)).
(b)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $150,000, for necessary administrative expenses associated with carrying out this section.
70306.Funding for the United States Fish and Wildlife Service to address climate-induced weather events
(a)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $242,500,000, to remain available until September 30, 2026, to make direct expenditures, award grants, and enter into contracts and cooperative agreements for the purposes of rebuilding and restoring units of the National Wildlife Refuge System and State wildlife management areas, including by—
(1)addressing the threat of invasive species;
(2)increasing the resiliency and capacity of habitats and infrastructure to withstand climate-induced weather events; and
(3)reducing the amount of damage caused by climate-induced weather events.The United States Fish and Wildlife Service may provide grants under this subsection with no cost-share requirement.
(b)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $7,500,000, to remain available until September 30, 2026, for necessary administrative expenses associated with carrying out this section.
70307.Wildlife corridor conservation
(a)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $9,700,000, to remain available until expended, to carry out, through direct expenditures, contracts, grants, and cooperative agreements, activities necessary for—
(1)mapping wildlife corridors;
(2)the conservation and restoration of wildlife corridors; and
(3)addressing the conservation and restoration of wildlife corridors—
(A)on land included in the National Wildlife Refuge System; and
(B)on private land through—
(i)the Partners for Fish and Wildlife Program of the United States Fish and Wildlife Service;
(ii)the Coastal Program of the United States Fish and Wildlife Service; and
(iii)Migratory Bird Joint Ventures.
(b)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $300,000, for necessary administrative expenses associated with carrying out this section.
70308.
(a)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $38,800,000, to remain available until expended to make direct expenditures, award grants, and enter into contracts and cooperative agreements for carrying out the protection and restoration of grassland habitats.
(b)In addition to amounts otherwise available, there is appropriated to the United States Fish and Wildlife Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,200,000, for necessary administrative expenses associated with carrying out this section.
DWater Resources Research and Technology Institutes
70401.Water Resources Research and Technology InstitutesIn addition to amounts otherwise available, there is appropriated to the United States Geological Survey for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, for grants and other financial assistance to water resources research and technology institutes, centers, and equivalent agencies.
ECouncil on Environmental Quality
70501.Environmental and climate data collectionIn addition to amounts otherwise available, there is appropriated to the Chair of the Council on Environmental Quality for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $65,000,000, to remain available until September 30, 2026—
(1)to support data collection efforts relating to—
(A)disproportionate negative environmental harms and climate impacts; and
(B)cumulative impacts of pollution and temperature rise;
(2)to establish, expand, and maintain efforts to track disproportionate burdens and cumulative impacts, including academic and workforce support for analytics and informatics infrastructure and data collection systems; and
(3)to support efforts to ensure that any mapping or screening tool is accessible to community-based organizations and community members.
70502.Council on environmental quality efficient and effective environmental reviewsIn addition to amounts otherwise available, there is appropriated to the Chair of the Council on Environmental Quality for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available until September 30, 2026, to carry out the Council on Environmental Quality’s functions and for the purposes of training personnel, developing programmatic environmental documents, and developing tools, guidance, and techniques to improve stakeholder and community engagement.
FDepartment of the Interior Efficient and Effective Reviews
70601.Department of the Interior Efficient and Effective ReviewsIn addition to amounts otherwise available, there is appropriated to the Department of the Interior for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2026, to provide for the development of more efficient, accurate, and timely reviews for planning, permitting, and approval processes for the National Park Service, the Bureau of Land Management, the Bureau of Ocean Energy Management, the Bureau of Reclamation, the Bureau of Safety and Environmental Enforcement, and the Office of Surface Mining Reclamation and Enforcement through the hiring and training of personnel, the development of programmatic documents, the procurement of technical or scientific services for reviews, the development of environmental data or information systems, stakeholder and community engagement, the purchase of new equipment for environmental analysis, and the development of geographic information systems and other analysis tools, techniques, and guidance to improve agency transparency, accountability, and public engagement.
G
70701.National parks and public lands ecosystem resilienceIn addition to amounts otherwise available, there is appropriated to the Secretary of the Interior for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,250,000,000, to remain available until September 30, 2031, to carry out projects for the protection and resiliency of lands and resources on lands administered by the National Park Service and Bureau of Land Management. None of the funds provided under this section shall be subject to cost-share or matching requirements.
70702.National parks and public lands ecosystem restorationIn addition to amounts otherwise available, there is appropriated to the Secretary of the Interior for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $750,000,000, to remain available until September 30, 2031, to carry out ecosystem and habitat restoration projects on lands administered by the National Park Service and Bureau of Land Management. None of the funds provided under this section shall be subject to cost-share or matching requirements.
70703.
(a)With regard to this section:
(1)Appropriate conservation projectsThe term appropriate conservation projects means any project for the conservation, restoration, construction, or rehabilitation of natural, cultural, historic, archaeological, recreational, or scenic resources on public lands administered by the National Park Service or Bureau of Land Management.
(2)The term corps programs means a program established by a Federal, State, Tribal, Territorial, or local government, the District of Columbia, or nonprofit organization that performs appropriate conservation projects.
(3)Resiliency or restoration projectsThe term restoration or resiliency projects means any project funded under sections 70701 and 70702.
(b)In addition to amounts otherwise available, there is appropriated to the Secretary of the Interior for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $500,000,000, to remain available until September 30, 2031, to provide funding, including all expenses necessary to provide funding, through direct expenditure, grants or contracts to, or cooperative agreements with, corps programs to perform appropriate conservation projects or resiliency or restoration projects, including all expenses necessary to carry out such projects, on public lands administered by the National Park Service and Bureau of Land Management. None of the funds provided under this section shall be subject to cost-share or matching requirements.
70704.In addition to amounts otherwise available, there is appropriated to the Secretary of the Interior for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $500,000,000, to remain available until September 30, 2031, for wildland fire management by the Bureau of Land Management or National Park Service, including improvement, relocation, renovation, or construction of firefighting facilities; reduction of wildfire hazards to communities through fuels projects within the wildland-urban interface; burned area rehabilitation; rural fire assistance; wildfire-related information technology and geospatial analysis; deployment of remote sensing technologies; wildfire science and research, including fireshed mapping; purchase, lease or contract of fixed-wing aircraft; assessment and deployment of technologies to limit disruptions to firefighting operations at night, in a degraded visual environment, or by unauthorized unmanned aircraft system, including the feasibility of optionally-piloted rotor-wing aircraft and containerized retardant-delivery systems; and for salaries and expenses for wildland firefighters.
70705.National Park Service Deferred Maintenance and Department of the Interior HousingIn addition to amounts otherwise available, there is appropriated to the Secretary of the Interior for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $400,000,000, to remain available until September 30, 2026, for carrying out priority deferred maintenance projects, which may include resolving directly-related infrastructure deficiencies, including through direct expenditures or transfer authority, within the boundaries of the National Park System and to provide housing, including expenses necessary to provide housing, for—
(1)field employees of the National Park Service pursuant to subchapter III of chapter 1013 of title 54, United States Code;
(2)field employees of the Bureau of Land Management in a manner similar to the provision of housing under paragraph (1); and
(3)participants in corps programs performing appropriate conservation projects or resiliency and restoration projects under grants, contracts, or cooperative agreements with the National Park Service or the Bureau of Land Management in a manner similar to the provision of housing under paragraph (1).
70706.
(a)In addition to amounts otherwise available, there is appropriated to the Director of the National Park Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2026, to carry out direct, competitive grants to localities for acquisition of land or interests in land, or for development of recreation facilities to create or significantly enhance access to parks or outdoor recreation in urban areas, subject to the conditions that no property acquired or developed with funding under this section shall be converted to uses other than public outdoor recreation without the approval of the Secretary. Such approval shall require assurances as the Secretary considers necessary to ensure the substitution of other recreational properties of equivalent or greater fair market value and of equivalent usefulness and accessibility.
(b)In addition to amounts otherwise available, there is appropriated to the Director of the National Park Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until September 30, 2026, for necessary administrative expenses associated with carrying out this section.
70707.In addition to amounts otherwise available, there is appropriated to the Director of the National Park Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until September 30, 2026, to provide funding through direct expenditure, contracts, grants, cooperative agreements, or technical assistance to States, Indian Tribes, the District of Columbia, and Territories to carry out preservation or historic preservation as defined by section 300315 of title 54, United States Code.
70708.In addition to amounts otherwise available, there is appropriated to the Director of the National Park Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2026, to carry out funding for National Heritage Area Partnerships, including funding in fiscal year 2022 for any national heritage area, national heritage corridor, cultural heritage corridor, national heritage partnership, national heritage canalway, national heritage route, and battlefields national historic district authorized to receive Federal funds as of September 1, 2021.
70709. The Secretary of the Interior shall, on or before June 30, 2024, withdraw, permanently or for a set term and subject to valid existing rights, lands or interest in lands administered by the Bureau of Land Management from entry, appropriation, disposal, location, and patent. Withdrawals made under this section shall result in an aggregate reduction of receipts payable to the Treasury between the date of the enactment of this section and the end of fiscal year 2031 of $10,000,000.
HDrought Response and Preparedness
70801.Bureau of Reclamation potable water supply projects
(a)Funding for potable water supply projectsIn addition to amounts otherwise available, there is appropriated to the Commissioner of the Bureau of Reclamation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $550,000,000, to remain available until expended, for grants, contracts, or financial assistance agreements to disadvantaged communities (identified according to criteria adopted by the Commissioner) in a manner as determined by the Commissioner for up to 100 percent of the cost of the planning, design, or construction of water projects the primary purpose of which is to provide potable water supplies to communities or households that do not have reliable access to potable water in a State or territory described in the first section of the Act of June 17, 1902 (43 U.S.C. 391; 32 Stat. 388, chapter 1093).
(b)In addition to amounts otherwise available, there is appropriated to the Commissioner of the Bureau of Reclamation for fiscal year 2032 and each fiscal year thereafter, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until expended, for grants, contracts, or financial assistance agreements to disadvantaged communities (identified according to criteria adopted by the Commissioner) in a manner as determined by the Commissioner for up to 100 percent of the cost of the planning, design, or construction of water projects the primary purpose of which is to provide potable water supplies to communities or households that do not have reliable access to potable water in a State or territory described in the first section of the Act of June 17, 1902 (43 U.S.C. 391; 32 Stat. 388, chapter 1093).
70802.
(a)In this section:
(1)The term eligible entity means—
(A)a State, Indian Tribe, municipality, irrigation district, water district, wastewater district, or other organization with water or power delivery authority;
(B)a State, regional, or local authority, the members of which include 1 or more organizations with water or power delivery authority; or
(C)an agency established under State law for the joint exercise of powers or a combination of entities described in subparagraphs (A) and (B).
(2)The term Reclamation State means a State or territory described in the first section of the Act of June 17, 1902 (32 Stat. 388, chapter 1093; 43 U.S.C. 391).
(b)In addition to amounts otherwise available, there is appropriated to the Bureau of Reclamation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2031, to provide nonreimbursable grants on a competitive basis to eligible entities that shall not exceed 25 percent of the total cost of an eligible project unless the project advances at least a proportionate share of authorized nonreimbursable benefits (including benefits provided through measurable reductions in water diversions from a river basin that is associated with or affected by, or located within the same river basin as a Federal reclamation project) up to a maximum 75 percent of the total costs of an eligible project, to carry out the planning, design, and construction of projects to reclaim and reuse municipal, industrial, domestic, or agricultural wastewater or impaired ground or surface waters that have a total estimated cost of more than $500,000,000 and that provide benefits to drought stricken regions within the Reclamation States for the purposes of—
(1)helping to advance water management plans across a multi-state area, such as drought contingency plans in the Colorado River Basin; and
(2)providing multiple benefits, including water supply reliability benefits for drought-stricken States, Tribes, and communities, and benefits from measurable reductions in water diversions.
(c)The Bureau of Reclamation shall not impose a total dollar cap on Federal contributions that applies to all individual projects funded under this section.
(d)An eligible project shall not be considered ineligible for assistance under this section because the project has received assistance authorized under title XVI of Public Law 102–575 or section 4009 of Public Law 114–322.
(e)The Bureau of Reclamation shall consider the planning, design, and construction of an eligible project’s conveyance system to be eligible for grant funding under this section.
70803.Addressing reduced water availability for inland water bodiesIn addition to amounts otherwise available, there is appropriated to the Bureau of Reclamation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2031, to provide grants and enter into contracts and cooperative agreements to carry out projects to mitigate the impact of reduced water inflows into inland water bodies associated with, affected by, or located within the same river basin as a Bureau of Reclamation water project, up to 50 percent of the total cost of the project, in partnership with a State, Indian Tribe, municipality, irrigation district, water district, wastewater district, nonprofit organization, institution of higher learning, or an agency established under State law for the joint exercise of powers.
70804.Canal repair and improvement projects
(a)In addition to amounts otherwise available, there is appropriated to the Bureau of Reclamation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until September 30, 2031, to provide nonreimbursable grants in a manner as determined by the Secretary of the Interior (in this section referred to as the Secretary
) on a competitive basis to eligible entities that in aggregate shall not exceed 33 percent of the total cost of an eligible project to carry out the planning, design, and construction of projects to make major, non-recurring maintenance repairs to water conveyance facilities that do not enlarge the carrying capacity of a conveyance facility beyond the capacity as previously constructed for conveyance facilities in need of emergency capacity restoration due to subsidence and experiencing exceptional drought for the purposes of increasing drought resiliency, primarily through groundwater recharge.
(b)In addition to amounts otherwise available, there is appropriated to the Bureau of Reclamation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until September 30, 2031, for the design, study, and implementation of projects (including pilot and demonstration projects) to cover conveyance facilities receiving grants under subsection (a) with solar panels to generate renewable energy in a manner as determined by the Secretary or for other solar projects associated with Bureau of Reclamation projects that increase water efficiency and assist in implementation of clean energy goals.
I
70901.Insular affairs critical infrastructure fundingIn addition to amounts otherwise available, there is appropriated to the Department of the Interior Office of Insular Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2031, for critical infrastructure in the territories. Amounts made available under this section shall be distributed under paragraph (3) of subsection (c) of section 4 of Public Law 94–241 (110 Stat. 1321–178) as amended by section 118 of Public Law 104–134 (48 U.S.C. 1804(C)(3)).
70902.Office of insular affairs climate change technical assistance
(a)In addition to amounts otherwise available, there is appropriated to the Department of the Interior Office of Insular Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $29,100,000, to remain available until September 30, 2026, to provide technical assistance for climate change planning, mitigation, adaptation, and resilience to United States Insular Areas under the Office of Insular Affairs.
(b)In addition to amounts otherwise available, there is appropriated to the Department of the Interior Office of Insular Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $900,000, to remain available until September 30, 2026, for necessary administrative expenses associated with carrying out this section.
70903.For the purposes of this subtitle:
(1)The term territories means American Samoa, the Commonwealth of the Northern Mariana Islands, Guam, Puerto Rico, and the Virgin Islands of the United States.
(2)The term territory means American Samoa, the Commonwealth of the Northern Mariana Islands, Guam, Puerto Rico, or the Virgin Islands of the United States.
J
71001.Renewable energy leasing on the outer continental shelfThe Secretary of the Interior shall grant leases, easements, and rights of way to produce or support production, transportation, or transmission of electricity from renewable energy facilities on the Outer Continental Shelf in the Mid Atlantic Planning Area, the South Atlantic Planning Area, the Straits of Florida Planning Area, and the Eastern Gulf of Mexico Planning Area identified on the map entitled Outer Continental Shelf Lower 48 States Planning Areas
and dated October 18, 2021.
71002.Offshore wind for the territoriesThe Secretary of the Interior shall grant leases, easements, and rights-of-way to produce or support production, transportation, or transmission of electricity from renewable energy facilities in submerged lands seaward from the coastline of Puerto Rico, Guam, American Samoa, the Virgin Islands of the United States, and the Commonwealth of the Northern Mariana Islands and of which the subsoil and seabed appertain to the United States and are subject to its jurisdiction and control. The Secretary of the Interior shall conduct wind lease sales in said submerged lands if the Secretary of the Interior has determined that a wind lease sale is feasible and issued a call for information and nominations, determined there is sufficient interest in leasing the area, and consulted with the Governor of the territory regarding the suitability of the area for wind energy development.
KHardrock Mining Reclamation
71101.
(a)Except as provided in subsection (b) and subject to subsection (c), production of all locatable minerals from any mining claim or mineral concentrates or products derived from locatable minerals from any such mining claim on Federal lands, as the case may be, shall be subject to a royalty of 4 percent of the gross income from mining. The claim holder or any operator to whom the claim holder has assigned the obligation to make royalty payments under the claim and any person who controls such claim holder or operator shall be liable for payment of such royalties.
(b)Royalty for Federal lands subject to approved plan of operationsThe royalty under subsection (a) shall be 2 percent in the case of any Federal land that is subject to an approved plan of operations on the date of enactment of this section.
(c)Federal land added to existing plans of operationsAny Federal land added through a plan modification to a mining plan of operations that is submitted after the date of enactment of this section shall be subject to the royalty that applies to Federal land under subsection (a).
(d)Limitation on application
(1)Any royalty under this section shall not apply to small miners. In this paragraph, the term small miner
means a person (including all related parties thereto) that certifies to the Secretary of the Interior in writing that the person had annual gross income in the preceding calendar year from mineral production in an amount less than $100,000.
(2)For the purposes of this paragraph, the term related parties
means, with respect to a person—
(A)the spouse and all dependents (as defined in section 152 of the Internal Revenue Code of 1986 (26 U.S.C. 152)) of the person; or
(B)another person who is affiliated with the person, including—
(i)another person who controls, is controlled by, or is under common control with the person; and
(ii)a subsidiary or parent company or corporation of the person.
(3)For purposes of this paragraph, the term control
includes actual control, legal control, and the power to exercise control, through or by common directors, officers, stock holders, a voting trust, or a holding company or investment company, or any other means.
(e)Duties of claim holders, operators, and transportersThe Secretary of the Interior shall prescribe by rule the time and manner in which—
(1)a person who is required to make a royalty payment under this section shall make such payment; and
(2)a person is subject to fines or forfeiture of mining claims for failure to comply with said rule.
(f)Gross income from mining definedFor the purposes of this section, the term gross income from mining
has the same meaning as the term gross income
in the Internal Revenue Code of 1986 (26 C.F.R. 61) for any hardrock mineral sources.
(g)Royalties under this section shall take effect with respect to the production of hardrock minerals after the enactment of this section, but any royalty payments attributable to production during the first 12 calendar months after the enactment of this section shall be payable at the expiration of such 12-month period.
(h)In addition to amounts otherwise appropriated for fiscal year 2022, $997,000,000 shall remain available until September 30, 2031 to the Secretary of the Interior from all amounts collected as royalties in subsections (a), (b) and (c) for all activities necessary to inventory, assess, decommission, reclaim, respond to hazardous substance releases on, and remediate abandoned locatable minerals mine land, including to revise rules and regulations to prevent undue degradation of public lands due to hardrock mining activities.
LArctic National Wildlife Refuge
71201.Repeal of the arctic national wildlife refuge oil and gas programSection 20001 of Public Law 115–97 is repealed and any leases issued pursuant to section 20001 of Public Law 115–97 are hereby cancelled and all payments related to the leases shall be returned to the lessee(s) within 30 days of enactment of this section.
MOuter Continental Shelf Oil and Gas Leasing
71301.Protection of the eastern gulf, Atlantic, and pacific coastsThe Secretary of the Interior may not issue a lease or any other authorization for the exploration, development, or production of oil or natural gas in any of the planning areas on the Outer Continental Shelf in the Pacific Region Planning Areas, in the Atlantic Region Planning Areas, or in the Eastern Gulf of Mexico Planning Area identified on the map entitled Outer Continental Shelf Lower 48 States Planning Areas
and dated October 18, 2021.
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71401.Onshore fossil fuel royalty ratesAll new onshore oil, gas, and coal leases issued by the Secretary of the Interior shall be conditioned upon the payment of a royalty at a rate of 18.75 percent in amount or value of the production from the lease. Before a terminated or cancelled oil, gas, or coal lease may be reinstated by the Secretary of the Interior, back royalties must be paid, and future royalties shall be at a rate of 25 percent in amount or value of the production from the lease.
71402.Offshore oil and gas royalty rateAll new offshore oil and gas leases on submerged lands of the outer Continental Shelf granted by the Secretary of the Interior shall be conditioned upon the payment of a royalty at a rate of not less than 14 percent in amount or value of the production from the lease.
71403.The onshore minimum acceptable bid charged by the Secretary of the Interior shall be $10 per acre on Federal lands in the contiguous United States authorized to be leased by the Secretary for production of oil and gas. The Secretary of the Interior shall by regulation, at least once every 4 years, adjust the dollar amount to reflect the change in inflation.
71404.Deferred coal bonus paymentsThe Secretary of the Interior may not offer Federal coal leases under a system of deferred bonus payment.
71405.The Secretary of the Interior shall require all onshore oil and gas leases in the contiguous United States to be conditioned upon payment by the lessee of a rental of $3 per acre per year during the 2-year period beginning on the date the lease begins for new leases, and after the end of such two-year period $5 per acre per year. The Secretary of the Interior shall by regulation, at least once every 4 years, adjust the dollar amounts to reflect the change in inflation. A terminated onshore oil and gas lease may not be reinstated without the payment of back rentals and a requirement that future rentals be at a rate of $20 per acre per year.
71406.Fossil fuel lease term length
(a)A coal lease issued by the Secretary of the Interior shall be for a term of ten years. Any lease which is not producing in commercial quantities at the end of 5 years shall be terminated. The aggregate number of years during the period of any lease for which advance royalties may be accepted in lieu of the condition of continued operation shall not exceed 10 years.
(b)Leases for exploration for and development of oil or gas in the contiguous United States issued by the Secretary of the Interior shall be for a primary term of 5 years.
71407.Expression of interest fee
(a)The Secretary of the Interior shall charge any person who submits an expression of interest in leasing land in the contiguous United States available for disposition for exploration and development of oil or gas a fee in an amount determined by the Secretary of the Interior under subsection (b).
(b)The fee authorized under subsection (a) shall be established by the Secretary of the Interior in an amount that is determined by the Secretary of the Interior to be appropriate to cover the aggregate cost of processing an expression of interest under this section, but not less than $15 per acre and not more than $50 per acre of the area covered by the applicable expression of interest.
(c)The Secretary of the Interior shall, by regulation at least every 4 years, establish a higher expression of interest fee to reflect the change in inflation.
71408.Elimination of noncompetitive leasingThe Secretary of the Interior may not issue an oil or gas lease noncompetitively. Land made available by the Secretary of the Interior for oil and gas leasing for which no bid is accepted or received, or the land for which a lease terminates, expires, is cancelled, or is relinquished, may only be made available by the Secretary of the Interior for a new round of sealed, competitive bidding.
71409.Oil and gas bonding requirementsNot later than 18 months after the date of enactment of this subtitle, the Secretary of the Interior shall publish a final rule in the Federal Register requiring that an adequate bond, surety, or other financial arrangement be provided by an oil or gas lessee prior to the commencement of surface-disturbing activities on an onshore oil and gas lease issued by the Secretary to ensure the complete and timely restoration and reclamation of any land, water, or other resources (including resources with recreation, range, mineral, watershed, fish or wildlife, natural, scenic, scientific, or historical value) adversely affected by lease activities or operations after the abandonment or cessation of oil and gas operations on the lease. The Secretary of the Interior shall find that a bond, surety or other financial arrangement required by rule or regulation is inadequate if it is for less than the complete and timely reclamation of the least tract, the restoration of any lands or surface waters adversely affected by lease operations, and, in the case of an idled well, the total plugging and reclamation costs for each idled well controlled by the same operator.
71410.
(a)The Secretary of the Interior shall charge onshore and offshore oil and gas leaseholders the following annual, non-refundable fees:
(1)Conservation of resources feeThere is established a Conservation of Resources Fee of $4 per acre per year on new producing Federal onshore and offshore oil and gas leases.
(2)There is established a Speculative Leasing Fee of $6 per acre per year on new nonproducing Federal onshore and offshore oil and gas leases.
(b)All funds collected pursuant to subsection (a) shall be deposited into the United States Treasury General Fund.
(c)The Secretary of the Interior shall, by regulation at least once every four years, adjust each fee created by subsection (a) to reflect any increase in inflation.
71411.Offshore oil and gas inspection fees
(a)
(1)The Secretary of the Interior shall collect inspection fees from the operators of oil and gas facilities on the outer continental shelf subject to any environmental or safety regulation to prevent or ameliorate blowouts, fires, spills, spillages, or major accidents—
(A)at an aggregate level to offset the annual expenses of such inspections; and
(B)using a schedule that reflect the differences in complexity among the classes of facilities to be inspected.
(2)For each fiscal year beginning after fiscal year 2022, the Secretary of the Interior shall adjust the amount of the fees collected under this section for inflation.
(3)Fees for fiscal year 2022
(A)For fiscal year 2022, the Secretary of the Interior shall collect annual fees from the operator of facilities that are above the waterline, excluding drilling rigs, and are in place at the start of the fiscal year in the following amounts:
(i)$11,725 for facilities with no wells, but with processing equipment or gathering lines.
(ii)$18,984 for facilities with 1 to 10 wells, with any combination of active or inactive wells.
(iii)$35,176 for facilities with more than 10 wells, with any combination of active or inactive wells.
(B)For fiscal year 2022, the Secretary of the Interior shall collect fees for each inspection from the operators of drilling rigs in the following amounts:
(i)$34,059 per inspection for rigs operating in water depths of 500 feet or more.
(ii)$18,649 per inspection for rigs operating in water depths of less than 500 feet.
(C)For fiscal year 2022, the Secretary of the Interior shall collect fees for each inspection from the operators of well operations conducted via non-rig units in the following amounts:
(i)$13,260 per inspection for non-rig units operating in water depths of 2,500 feet or more.
(ii)$11,530 per inspection for non-rig units operating in water depths between 500 and 2,499 feet.
(iii)$4,470 per inspection for non-rig units operating in water depths of less than 500 feet.
(b)Amounts collected as fees under subsection (a) shall be deposited into the general fund of the Treasury.
(c)
(1)The Secretary of the Interior shall bill designated operators under subsection (a)(3)(A) annually, with payment required not later than 30 days after such billing.
(2)The Secretary of the Interior shall bill designated operators under subsection (a)(3)(B) not later than 30 days after the end of the month in which the inspection occurred, with payment required not later than 30 days after such billing.
71412.Onshore oil and gas inspection fees
(a)The designated operator under each oil and gas lease on Federal land or each unit and communitization agreement that includes one or more such Federal leases that is subject to inspection and that is in force at the start of the fiscal year 2021, shall pay a nonrefundable annual inspection fee in an amount that, except as provided in subsection (b), is established by the Secretary of the Interior by regulation and is sufficient to recover the full costs incurred by the United States for inspection and enforcement with respect to such leases.
(b)Until the effective date of regulations under subsection (a)—
(1)the amount of the fee for all States shall be $1,000 for each lease, unit, or communitization agreement; and
(2)the Secretary of the Interior may increase the fees based upon the actual costs incurred for inspections.
(c)Assessment for fiscal year 2022For fiscal year 2022, the Secretary of the Interior shall assess the fee described under this section at $1,000 for each lease, unit, or communitization agreement, and shall provide notice of such assessment to each designated operator who is liable for such fee, by not later than 60 days after the date of enactment of this section.
71413.The Secretary of the Interior shall collect annual, non-refundable fees on fossil fuels produced from new leases on Federal lands and the Outer Continental Shelf and deposit the funds into the United States Treasury General Fund. Such fees shall be—
(1)$0.50 per barrel of oil equivalent on oil and natural gas produced from Federal lands and the Outer Continental Shelf; and
(2)$2 per metric ton of coal produced from Federal lands.
71414.
(a)The Secretary of the Interior shall, not later than 180 days after the date of enactment of this section, issue regulations to require each operator of an idled well on Federal land and the Outer Continental Shelf to pay an annual, nonrefundable fee for each such idled well in accordance with this subsection.
(b)Except as provided in subsection (d), the amount of the fee shall be as follows:
(1)$500 for each well that has been considered an idled well for at least 1 year, but not more than 5 years.
(2)$1,500 for each well that has been considered an idled well for at least 5 years, but not more than 10 years.
(3)$3,500 for each well that has been considered an idled well for at least 10 years, but not more than 15 years.
(4)$7,500 for each well that has been considered an idled well for at least 15 years.
(c)An owner of an idled well that is required to pay a fee under this section shall submit to the Secretary of the Interior such fee by not later than October 1 of each year.
(d)The Secretary of the Interior shall, by regulation not less than once every 4 years, adjust each fee under this section to account for inflation.
(e)All funds collected pursuant to subsection (a) shall be deposited into the United States Treasury General Fund.
(f)For the purposes of this section, the term idled well means a well that has been non-operational for at least two consecutive years and for which there is no anticipated beneficial future use.
71415.Annual pipeline owners fee
(a)Not later than 180 days after the date of enactment of this section, the Bureau of Safety and Environmental Enforcement shall issue regulations to assess an annual fee on owners of existing and new offshore oil and gas pipelines defined as DOI pipelines
under 30 C.F.R. 250.1001. No portion of such fee that is passed on to a lessee may be deducted as part of a lessee’s transportation allowance when calculating royalties due to the United States.
(b)Fees established under this paragraph shall be—
(1)$10,000 per mile for pipelines in water with a depth of 500 feet or greater; and
(2)$1,000 per mile for pipelines in water depth of under 500 feet.
71416.Royalties on all extracted methane
(a)Except as provided in subsection (b), royalties paid for gas produced from Federal lands and on the Outer Continental Shelf shall be assessed on all gas produced, including—
(1)gas used or consumed within the area of the lease tract for the benefit of the lease; and
(2)all gas that is consumed or lost by venting, flaring, or fugitive releases through any equipment during upstream operations.
(b)Subsection (a) shall not apply with respect to gas vented or flared for not longer than 48 hours in an acute emergency situation that poses a danger to human health.
71417.Elimination of royalty relief
(a)The Secretary of the Interior may not reduce, eliminate, or suspend royalties or net profit share for any oil and gas leases on the Outer Continental Shelf. Royalty relief may not be permitted on any future oil and gas leases on the Outer Continental Shelf.
(b)Section 39 of the Mineral Leasing Act (30 U.S.C. 209) is repealed.
OUnited States Geological Survey
71501.United States geological survey 3d elevation programIn addition to amounts otherwise available, there is appropriated to the Director of the United States Geological Survey for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, to carry out subsection 5(d) of the National Landslide Preparedness Act (43 U.S.C. 3104(d)).
71502.Climate adaptation science centersIn addition to amounts otherwise available, there is appropriated to the United States Geological Survey for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2031, for the Regional and National Climate Adaptation Science Centers to provide localized information to help communities respond to climate change.
VIIICommittee on Oversight and Reform
80001.General Services Administration Clean FleetsIn addition to amounts otherwise available, there is appropriated to the Administrator of General Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,995,000,000, to remain available until September 30, 2026, for the procurement of zero-emission and electric vehicles and related costs.
80002.Funding for General Services Administration Office of Inspector GeneralIn addition to amounts otherwise available, there is appropriated to the Office of Inspector General of the General Services Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2031, to support oversight of General Services Administration activities implemented pursuant to this Act.
80003.United States Postal Service Clean FleetsIn addition to amounts otherwise available, there is appropriated to the United States Postal Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, the following amounts, to be deposited into the Postal Service Fund established under section 2003 of title 39, United States Code:
(1)$2,573,550,000, to remain available through September 30, 2031, for the purchase of electric delivery vehicles.
(2)$3,411,450,000, to remain available through September 30, 2031, for the purchase, design, and installation of the requisite infrastructure to support electric delivery vehicles at facilities that the United States Postal Service owns or leases from non-Federal entities.
80004.United States Postal Service Office of Inspector GeneralIn addition to amounts otherwise available, there is appropriated to the Office of Inspector General of the United States Postal Service for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $15,000,000, to remain available through September 30, 2031, to support oversight of United States Postal Service activities implemented pursuant to this Act.
80005.Government Accountability Office OversightIn addition to amounts otherwise available, there is appropriated to the Comptroller General of the United States for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until September 30, 2031, for necessary expenses of the Government Accountability Office to support the oversight of—
(1)the distribution and use of funds appropriated under this Act; and
(2)whether the economic, social, and environmental impacts of the funds described in paragraph (1) are equitable.
80006.Office of Management and Budget OversightIn addition to amounts otherwise available, there are appropriated to the Director of the Office of Management and Budget for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $25,000,000, to remain available until September 30, 2026, for necessary expenses to—
(1)support the implementation of this Act and the Justice40 Initiative; and
(2)track labor, equity, and environmental standards and performance.
80007.General Services Administration Emerging TechnologiesIn addition to amounts otherwise available, there is appropriated to the Administrator of General Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $975,000,000, to remain available until September 30, 2031, for emerging and sustainable technologies, and related sustainability and environmental programs.
80008.General Services Administration Procurement and TechnologyIn addition to amounts otherwise available, there is appropriated to the Administrator of General Services for fiscal year 2022 out of any money in the Treasury not otherwise appropriated, $3,250,000,000, to remain available until September 30, 2031, for the purchase of goods, services, and systems to improve energy efficiency, promote the purchase of lower-carbon materials, and reduce the carbon footprint.
IXCommittee on Science, Space, and Technology
90001.Department of energy research, development, and demonstration activities
(a)Office of Energy Efficiency and Renewable EnergyIn addition to amounts otherwise available, there is appropriated to the Department of Energy Office of Energy Efficiency and Renewable Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2026, to carry out demonstration projects, including demonstration of advanced—
(1)building technologies;
(2)solar energy technologies;
(3)geothermal energy technologies;
(4)wind energy technologies;
(5)water power technologies;
(6)bioenergy technologies; and
(7)vehicle technologies.
(b)In addition to amounts otherwise available, there is appropriated to the Office of Science of the Department of Energy for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2026—
(1)$100,000,000 to carry out the low-dose radiation research program established under section 306(c) of the Department of Energy Research and Innovation Act (42 U.S.C. 18644(c)(1));
(2)$200,000,000 to carry out the fusion materials research and development program established under section 307(b) of the Department of Energy Research and Innovation Act (42 U.S.C. 18645(b));
(3)$200,000,000 to carry out the alternative and enabling fusion energy concepts program established under section 307(e) of the Department of Energy Research and Innovation Act (42 U.S.C. 18645(e));
(4)$325,000,000 to carry out the milestone-based fusion energy development program established under section 307(i) of the Department of Energy Research and Innovation Act (42 U.S.C. 18645(i));
(5)$140,000,000 to carry out the program of research and technology development in inertial fusion for energy applications established under section 307(d) of the Department of Energy Research and Innovation Act (42 U.S.C. 18645(d)); and
(6)$20,000,000 to carry out the fusion reactor system design activities authorized in section 307(j) of the Department of Energy Research and Innovation Act (42 U.S.C. 18645(j).
(c)Office of fossil energy and carbon managementIn addition to amounts otherwise available, there is appropriated to the Department of Energy Office of Fossil Energy and Carbon Management for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000, to remain available until September 30, 2026, to carry out on-site demonstration projects on the reduction of environmental impacts of produced water.
(d)In addition to amounts otherwise available, there is appropriated to the Department of Energy Office of Economic Impact and Diversity for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2026, to support programs across the Department’s civilian research, development, demonstration, and commercial application activities.
90002.Air quality and climate researchIn addition to amounts otherwise available, there is appropriated to the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2026, for air quality and climate research under section 103 of the Clean Air Act (42 U.S.C. 7403) in support of research related to climate change mitigation, adaptation and resilience activities to help reduce the impacts of climate change on human health and welfare; the issuance of award grants for the collection of regional and local climate data to better estimate the economic impacts of climate change and support community-based responses to climate change to better anticipate, prepare for, adapt to, and recover from climate-driven extreme events; research on the impacts of climate change, and the cumulative impacts of pollution exposure, in low-income and disadvantaged communities.
90003.PFAS replacement assistance to firefighters grants
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $95,000,000, to remain available until September 30, 2030, to the Federal Emergency Management Agency for grants for personal protective firefighting equipment and firefighting foam that does not contain perfluoroalkyl or polyfluoroalkyl substances.
(b)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2030, to the Federal Emergency Management Agency for the administration and management of this section.
(c)With respect to the grant program described in subsection (a), the Administrator of the Federal Emergency Management Agency shall—
(1)require eligible applicants to submit an application at such time, in such form, and containing such information and assurances as the Administrator of the Federal Emergency Management Agency may require; and
(2)establish appropriate review and delivery mechanisms for an application submitted under paragraph (1).
90004.National aeronautics and space administration infrastructureIn addition to amounts otherwise available, there are appropriated to the National Aeronautics and Space Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $750,000,000, to remain available until September 30, 2028, for repair, recapitalization, modification, modernization, and construction of physical infrastructure and facilities, including related administrative expenses, consistent with the responsibilities under sections 31502 and 31503 of title 51, United States Code.
90005.National aeronautics and space administration climate research and developmentIn addition to amounts otherwise available, there are appropriated to the National Aeronautics and Space Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2028—
(1)$85,000,000 for research and development on subseasonal to seasonal models and observations, climate resilience and sustainability, and for airborne instruments, campaigns, and surface networks to understand, observe, and mitigate climate change and its impacts, consistent with NASA’s mission to expand human knowledge of the Earth, as carried out through programs under the Earth Science Division, and for research and development activities on upper atmospheric research, and for related administrative expenses;
(2)$30,000,000 for investments in data management and processing to support research, development, and applications to understand, observe, and mitigate climate change and its impacts, consistent with NASA’s mission to expand human knowledge of the Earth, as carried out through programs under the Earth Science Division, and for related administrative expenses;
(3)$25,000,000 for research and development to support the wildfire fighting community and improve wildfire fighting operations through new and existing programs under the authority of the Administrator of the National Aeronautics and Space Administration, and for related administrative expenses; and
(4)$225,000,000 for aeronautics research and development on sustainable aviation, consistent with sections 40701 and 40702 of title 51, United States Code, and for related administrative expenses.
90006.National institute of standards and technology researchIn addition to amounts otherwise available, there is appropriated to the National Institute of Standards and Technology for fiscal year 2022, out of any money in the Treasury not otherwise appropriated $100,000,000, to remain available until September 30, 2028, for research on the impact of fire on structures and communities located at the Wildland Urban Interface under the direction of the Institute, and for related administrative expenses.
90007.National institute of standards and technology hollings manufacturing extension partnershipIn addition to amounts otherwise available, there is appropriated to the National Institute of Standards and Technology for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $260,000,000, to remain available until September 30, 2028, for the Hollings Manufacturing Extension Partnership of the National Institute of Standards and Technology and for related administrative expenses.
90008.National institute of standards and technology manufacturingIn addition to amounts otherwise available, there is appropriated to the National Institute of Standards and Technology for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$220,000,000, to remain available until September 30, 2028, to provide funds for advanced manufacturing research, development, and testbeds, through new and existing programs and public private partnerships, and for related administrative expenses; and
(2)$20,000,000, to remain available until September 30, 2028, for the development and execution of a cybersecurity workforce training center, and for related administrative expenses.
90009.National institute of standards and technology research infrastructureIn addition to amounts otherwise available, there is appropriated to the National Institute of Standards and Technology for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $650,000,000, to remain available until September 30, 2028, for the upgrade, replacement, maintenance, or renovation of facilities and equipment as necessary to conduct laboratory activities, and for related administrative expenses.
90010.Oceanic and atmospheric research and forecasting for weather and climate
(a)In addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $200,000,000, to remain available until September 30, 2026, to accelerate advances and improvements in research, observation systems, modeling, forecasting, assessments, and dissemination of information to the public as it pertains to ocean and atmospheric processes related to weather, coasts, oceans, and climate, and to carry out section 102(a) of the Weather Research and Forecasting Innovation Act of 2017 (15 U.S.C. 8512(a)), and for related administrative expenses.
(b)Research grants and science information, products, and servicesIn addition to amounts otherwise available, there are appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2026—
(1)$100,000,000 for competitive grants to fund climate research as it relates to weather, ocean, coastal, and atmospheric processes and conditions, and impacts to marine species and coastal habitat, and for related administrative expenses; and
(2)$100,000,000 for education and training pursuant to section 4002(b)(2) of the America COMPETES Act (33 U.S.C. 893a(b)(2)), and for increased development and dissemination of climate science information, products, and services, in support of climate adaptation preparedness as it relates to weather, ocean, coastal, and atmospheric processes and conditions, impacts to marine species and coastal habitat, and for related administrative expenses.
90011.In addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2026, for contracts, grants, and technical assistance for education activities and materials under section 4002(b)(2) of the America COMPETES Act (33 U.S.C. 893a(b)(2)) related to improving public understanding of climate change as it relates to weather, ocean, coastal, and atmospheric processes and conditions and marine fisheries and resources, and for related administrative expenses. None of the funds provided by this subsection shall be subject to cost-sharing or matching requirements.
90012.Computing capacity and research for weather, oceans, and climateIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $200,000,000, to remain available until September 30, 2026, for the procurement of additional high-performance computing, data processing capacity, data management, and storage assets, to carry out section 204(a)(2) of the High-Performance Computing Act of 1991 (15 U.S.C. 5524(a)(2)), and for transaction agreements authorized under section 301(d)(1)(A) of the Weather Research and Forecasting Innovation Act of 2017 (15 U.S.C. 8531(d)(1)(A)), and for related administrative expenses.
90013.Acquisition of hurricane forecasting aircraftIn addition to amounts otherwise available, there is appropriated to the National Oceanic and Atmospheric Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $139,000,000, to remain available until September 30, 2026, for the acquisition of hurricane hunter aircraft under section 413(a) of the Weather Research and Forecasting Innovation Act of 2017 (15 U.S.C. 8549(a)).
90014.National Science Foundation core researchIn addition to amounts otherwise available, there is appropriated to the National Science Foundation (referred to in this section as the Foundation
) for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$675,000,000, to remain available until September 30, 2026, to fund or extend new and existing research awards, traineeships, scholarships, and fellowships administered by the National Science Foundation, across all science, technology, engineering, and mathematics disciplines supported by the National Science Foundation, and for related administrative expenses;
(2)$25,000,000, to remain available until September 30, 2028, for activities and research to ensure broad demographic participation in the activities of the Foundation, consistent with the goals under section 526(a)(7) of the America COMPETES Reauthorization Act of 2010 (42 U.S.C. 1862p-14(a)(7)) and section 3(e) of the National Science Foundation Act of 1950 (42 U.S.C. 1862(e)), and for related administrative expenses; and
(3)$500,000,000, to remain available until September 30, 2028, for climate change research as it relates to fundamental understanding of physical, chemical, biological, and human systems and the interactions among them, and for related administrative expenses.
90015.National Science Foundation technology, innovation, and partnerships directorateIn addition to amounts otherwise available, there is appropriated to the National Science Foundation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$1,520,000,000, to remain available until September 30, 2026, to fund and administer the Directorate for Technology, Innovation, and Partnerships, which shall accelerate use-inspired and translational research and the development, commercialization, and use of technologies and innovations of national importance, including technologies and innovations relevant to natural disaster mitigation and other societal challenges, through programs of the National Science Foundation, and for related administrative expenses;
(2)$25,000,000, to remain available until September 30, 2028, for research security activities;
(3)$200,000,000, to remain available until September 30, 2028, for research capacity building at historically Black colleges and universities, Tribal Colleges and Universities, Hispanic-serving institutions, and other minority-serving institutions, administered through the Directorate for Technology, Innovation, and Partnerships, and for related administrative expenses; and
(4)$55,000,000, to remain available until September 30, 2028, to fund cybersecurity education and training, including scholarships, through programs of the National Science Foundation, and for related administrative expenses.
90016.National Science Foundation research infrastructureIn addition to amounts otherwise available, there is appropriated to the National Science Foundation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$200,000,000 to remain available until September 30, 2026, for the repair, renovation, or, in exceptional cases, replacement of obsolete science and engineering facilities primarily devoted to research and research training, and for related administrative expenses;
(2)$200,000,000, to remain available until September 30, 2026, for additional mid-scale and major research instrumentation, equipment, and infrastructure awards under the direction of the National Science Foundation, and for related administrative expenses; and
(3)$100,000,000, to remain available until September 30, 2028, for academic research facilities modernization and research instrumentation, including construction, upgrade, renovation, or repair of research infrastructure, at historically Black colleges and universities, Tribal Colleges and Universities, Hispanic-serving institutions, and other minority-serving institutions, through programs of the National Science Foundation, and for related administrative expenses.
XCommittee on Small Business
AIncreasing Federal Contracting Opportunities for Small Businesses
100101.Veteran Federal procurement entrepreneurship training program
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $35,000,000, to remain available until September 30, 2030, for carrying out subsection (h) of section 32 of the Small Business Act (15 U.S.C. 657b), as added by this section.
(b)Section 32 of the Small Business Act (15 U.S.C. 657b) is amended by adding at the end the following:
(h)Veteran Federal procurement entrepreneurship training programThe Administrator, acting through the Associate Administrator, shall make grants to, or enter into cooperative agreements with, nonprofit entities to operate a Federal procurement entrepreneurship training program to provide assistance to small business concerns owned and controlled by veterans regarding how to increase the likelihood of being awarded contracts with the Federal Government. A grant or cooperative agreement under this subsection—
(1)shall be made to or entered into with nonprofit entities that have a track record of successfully providing educational and job training services to veteran populations from diverse locations; and
(2)shall include terms under which the nonprofit entities shall use a diverse group of professional service experts, such as Federal, State, and local contracting experts and private sector industry experts with first-hand experience in Federal Government contracting, to provide assistance to small business concerns owned and controlled by veterans through a program operated under this section..
100102.Expanding surety bond program
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$85,000,000 for additional capital for the fund established under section 412 of the Small Business Investment Act of 1958 (15 U.S.C. 694c); and
(2)$15,000,000 for administrative expenses and oversight costs related to carrying out this section, and any amendments made by this section.
(b)Expanding surety bond programPart B of title IV of the Small Business Investment Act of 1958 is amended—
(1)in section 411—
(A)in subsection (a)(1)—
(i)in subparagraph (A), by striking $6,500,000
and inserting $10,000,000
; and
(ii)by amending subparagraph (B) to read as follows:
(B)The Administrator may guarantee a surety under subparagraph (A) for a total work order or contract in an amount that does not exceed $20,000,000.; and
(B)in subsection (e)(2), by striking $6,500,000
and inserting the amount described in subparagraph (A) or (B) of subsection (a)(1), as applicable
; and
(2)in section 412(a) (15 U.S.C. 694c(a)), in the third sentence, by striking , excluding administrative expenses,
.
BEmpowering Small Business Creation and Expansion in Underrepresented Communities
100201.Funding for uplift incubators
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$850,000,000 for carrying out section 49 of the Small Business Act, as added by subsection (b); and
(2)$150,000,000 for administrative expenses and costs related to carrying out section 49 of the Small Business Act, as added by subsection (b).
(b)The Small Business Act is amended—
(1)by redesignating section 49 (15 U.S.C. 631 note) as section 54; and
(2)by inserting after section 48 the following:
49.
(a)In this section:
(1)Economic development organizationThe term economic development organization
—
(A)means a regional, State, tribal, or local private nonprofit organization established for purposes of promoting or otherwise facilitating economic development; and
(B)includes community financial institutions, as defined in section 7(a)(36)(A).
(2)The term eligible applicant
means—
(A)an economic development organization;
(B)an SBA partner organization;
(C)a historically Black college or university;
(D)an institution of higher education, as defined in section 101 of the Higher Education Act of 1965, which primarily educates students who are Black or African American, Hispanic or Latino, American Indian, Alaska Native, Asian, Native Hawaiian, or other Pacific Islander; or
(E)a junior or community college, as defined in section 312(f) of the Higher Education Act of 1965.
(3)Eligible small business concernThe term eligible small business concern
means a business concern that—
(A)is organized or incorporated in the United States;
(B)is operating primarily in the United States;
(C)meets—
(i)the applicable industry-based size standard established under section 3; or
(ii)the alternate size standard applicable to the program under section 7(a) or the loan programs under title V of the Small Business Investment Act of 1958;
(D)is—
(i)in the planning stages or has been in business for not more than 5 years as of the date on which assistance under this section commences; or
(ii)a small government contractor; and
(E)is—
(i)owned and controlled by 1 or more members of an underrepresented community; or
(ii)a Native Entity.
(4)Historically black college or universityThe term historically Black college or university
means a part B institution
, as defined in section 322 of the Higher Education Act of 1965.
(5)Member of an underrepresented communityThe term member of an underrepresented community
means an individual—
(A)who is a resident of—
(i)a low-income community, as defined in section 45D(e) of the Internal Revenue Code of 1986;
(ii)a low-income rural community; or
(iii)a HUBZone, as defined in section 31(b);
(B)who is a member of an Indian or Alaska Native tribe, band, nation, pueblo, village, community, component band, or component reservation, individually identified (including parenthetically) in the most recent list published pursuant to section 104 of the Federally Recognized Indian Tribe List Act of 1994;
(C)with a disability, as defined in section 3 of the Americans with Disabilities Act of 1990;
(D)who is a veteran;
(E)who completed a term of imprisonment; or
(F)who is otherwise identified by the Administrator.
(6)The term Native Entity
means—
(A)an Indian tribe, as defined in section 4 of the Indian Self-Determination and Education Assistance Act, including an Alaska Native village or Regional or Village Corporation; and
(B)a Native Hawaiian organization, as defined in section 6207 of the Elementary and Secondary Education Act of 1965.
(7)The term SBA partner organization
means any organization awarded financial assistance in the form of a grant, prize, cooperative agreement, or contract for the purpose of conducting a public project funded, either in whole or in part, under a program of the Administration.
(8)Small government contractorThe term small government contractor
means a small business concern that is performing a government contract or subcontract.
(9)The term uplift incubator
means an organization that is designed to accelerate the growth and success of startups and small business concerns through a variety of business support resources and services, including—
(A)access to physical workspace and facilities;
(B)access to capital, business education, and counseling;
(C)networking opportunities;
(D)mentorship opportunities;
(E)assistance in becoming prime contractors and submitting bids for prime contracts;
(F)conducting market research, drafting statements, and identifying acquisition authorities under which eligible small business concerns assisted under this section may enter into Federal contracts or agreements; and
(G)other services intended to aid in developing a business.
(b)The Administrator may provide financial assistance on a competitive basis in the form of a grant, prize, cooperative agreement, or contract to an eligible applicant for purposes of—
(1)providing the services of a uplift incubator to eligible small business concerns; or
(2)expanding or establishing a network of the eligible applicant to provide the services of a uplift incubator to eligible small business concerns.
(c)An eligible applicant that receives assistance under this section—
(1)shall support areas that serve members of an underrepresented community by providing the services of a uplift incubator; and
(2)shall not impose or otherwise collect a fee or other compensation from eligible small business concerns in connection with the provision of such services.
(d)Penalties for failure to abide by terms or conditions of awardAt the discretion of the Administrator and in addition to any other civil or criminal consequences, the Administrator shall withhold payments to an eligible applicant or order the eligible applicant to return any assistance provided under this section for failure to abide by the terms and conditions of such assistance..
100202.Office of Native American Affairs
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration, out of any money in the Treasury not otherwise appropriated for fiscal year 2022, $10,000,000, to remain available until September 30, 2029, to carry out section 50 of the Small Business Act, as added by subsection (b).
(b)The Small Business Act is amended by inserting after section 49, as added by section 100201 of this title, the following:
50.Office of Native American Affairs
(a)In this section:
(1)The term Indian Tribe
has the meaning given in section 4 of the Indian Self-Determination and Education Assistance Act.
(2)The term Native American
means a member of an Indian Tribe.
(3)Native hawaiian organizationThe term Native Hawaiian Organization
has the meaning given in section 6207 of the Elementary and Secondary Education Act of 1965.
(4)The term resource partners
means—
(A)small business development centers;
(B)women’s business centers described in section 29;
(C)chapters of the Service Corps of Retired Executives established under section 8(b)(1)(B); and
(D)Veteran Business Outreach Centers described in section 32.
(b)There is established in the Administration an Office of Native American Affairs, in this section referred to as the Office
, which shall provide entrepreneurship outreach and development assistance to Native Americans, Native Hawaiian Organizations and members thereof, and Indian Tribes, through the Native American Outreach Program established under subsection (c).
(c)Native American Outreach Program
(1)The Administrator shall establish and administer a Native American Outreach Program within the Office—
(A)to ensure that small business concerns owned and controlled by Native Americans, Native Hawaiian Organizations, and Indian Tribes, and Native American entrepreneurs have access to programs and services of the Administration;
(B)to provide information to State, local, and tribal governments and other interested persons about Federal assistance available to small business concerns owned and controlled by Native Americans, Native Hawaiian Organizations, and Indian Tribes, and Native American entrepreneurs; and
(C)to ensure access to in-person and virtual counseling and training services to small business concerns owned and controlled by Native Americans, Native Hawaiian Organizations, and Indian Tribes, and Native American entrepreneurs.
(2)The services described in paragraph (1) shall include—
(A)financial education on applying for and securing credit, loan guarantees, surety bonds, and investment capital, managing financial operations, and preparing and presenting financial statements and business plans;
(B)education on management of a small business concern, including planning, organizing, staffing, and marketing;
(C)identifying market opportunities; and
(D)implementing economic and business development strategies to improve long-term job growth..
100203.
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration, out of any money in the Treasury not otherwise appropriated for fiscal year 2022, $10,000,000, to remain available until September 30, 2029, to carry out subsection (d) of section 26 of the Small Business Act (15 U.S.C. 653), as added by subsection (b).
(b)Section 26 of the Small Business Act (15 U.S.C. 653) is amended by adding at the end the following:
(d)Rural small business conferencesThe Office shall administer 1 or more annual Rural Small Business Conferences, to be held in various regions of the United States. The purpose of such Conferences shall be to—
(1)promote policies and programs of the Administration specific to small business concerns located in rural areas, and make publicly available information about such policies and programs;
(2)coordinate with all offices of the Administration, resource partners, lenders, and other interested persons to ensure that the needs of small business concerns located in rural area are being met; and
(3)analyze data on the effectiveness of programs of the Administration that benefit small business concerns located in rural areas..
100204.Office of Emerging Markets
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration, out of any money in the Treasury not otherwise appropriated in fiscal year 2022, $10,000,000, to remain available until September 30, 2029, to carry out subsection (o) of section 7 of the Small Business Act (15 U.S.C. 636), as added by subsection (b).
(b)Section 7 of the Small Business Act (15 U.S.C. 636) is amended by adding at the end the following:
(o)Office of Emerging Markets
(1)In this subsection—
(A)the term Director
means the Director of the Office of Emerging Markets;
(B)the term microloan program
means the program described in subsection (m);
(C)the term small business concern in an emerging market
means a small business concern—
(i)that is located in—
(I)a low-income or moderate-income area for purposes of the Community Development Block Grant Program under title I of the Housing and Community Development Act of 1974; or
(II)a HUBZone, as that term is defined in section 31(b);
(ii)that is growing, newly established, or a startup;
(iii)owned and controlled by veterans;
(iv)owned and controlled by individuals with a disability, as defined in section 3 of the Americans with Disabilities Act of 1990; or
(v)owned and controlled by other individuals or groups identified by the Administrator.
(2)There is established within the Office of Capital Access of the Administration an office to be known as the Office of Emerging Markets
. The Office of Emerging Markets shall be administered by a Director who shall be responsible for the planning, coordination, implementation, evaluation, and improvement of the efforts of the Administrator to enhance the economic well-being of small business concerns in an emerging market..
100205.State Trade Expansion ProgramIn addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated—
(1)$31,710,000, to remain available until September 30, 2027, to carry out section 22(l) of the Small Business Act (15 U.S.C. 649(l)) in fiscal year 2023, and
(2)$31,710,000, to remain available until September 30, 2027, to carry out section 22(l) of the Small Business Act (15 U.S.C. 649(l)) in fiscal year 2024.
CEncouraging Small Businesses to Fully Engage in the Innovation Economy
100301.Growth accelerator competition
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$190,000,000 for carrying out section 51 of the Small Business Act, as added by subsection (b); and
(2)$10,000,000 for administrative expenses and oversight costs related to carrying out section 51 of the Small Business Act, as added by subsection (b).
(b)The Small Business Act is amended by inserting after section 50, as added by section 100202 of this title, the following:
51.Growth accelerator competition
(a)In this section:
(1)The term award
means a grant, prize, contract, cooperative agreement, or other cash or cash equivalent.
(2)The term disability
has the meaning given the term in section 3 of the Americans with Disabilities Act of 1990.
(3)The term eligible entity
means—
(A)an eligible applicant, as defined in section 49; or
(B)an organization that is a growth accelerator located in the United States.
(4)The term growth accelerator
means an organization that—
(A)supports new small business concerns that have a focus on technology, research, and development;
(B)works with a new small business concern for a predetermined amount of time;
(C)provides mentorship and instruction to small business concerns to grow the business concern; or
(D)offers startup capital or the opportunity to raise capital from outside investors to small business concerns.
(5)New small business concernThe term new small business concern
means a small business concern that has been in operation for not more than 5 years.
(b)The Administrator shall make competitive awards of not less than $100,000 to eligible entities to accelerate the growth of new small business concerns by providing—
(1)assistance to small business concerns to access capital and find mentors and networking opportunities; and
(2)advice to small business concerns, including advising on market analysis, company strategy, revenue growth, commercialization, and securing funding.
(c)An award under this section—
(1)may be used by an eligible entity recipient for construction costs, acquisition of physical workspace and facilities, and programmatic purposes to benefit new small business concerns; and
(2)may not be used by an eligible entity recipient to provide capital to new small business concerns directly or through the subaward of funds.
(d)Penalties for failure to abide by terms or conditions of awardAt the discretion of the Administrator and in addition to any other civil or criminal consequences, the Administrator shall withhold payments to an eligible entity or order the eligible entity to return an award made under this section for failure to abide by the terms and conditions of the award..
DIncreasing Equity Opportunities
100401.Increasing equity investment in the SBIC program
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $20,000,000, to remain available until September 30, 2031, for carrying out this section.
(b)The Small Business Investment Act of 1958, is amended—
(1)in section 103 (15 U.S.C. 662)—
(A)in paragraph (9)(B)(iii)—
(i)in subclause (II), by striking and
at the end;
(ii)in subclause (III), by adding and
at the end; and
(iii)by adding at the end the following:
(IV)funds obtained from any financial institution identified under section 302(b);; and
(B)in paragraph (13)(C), by striking in an aggregate amount that does not exceed 33 percent of the private capital of the applicant or licensee
; and
(2)in section 304 (15 U.S.C. 684), by adding at the end the following:
(e)Notwithstanding section 310(c)(6), a licensee under section 321 may, subject to rules to be issued by the Administration, invest equity capital in investment funds that—
(1)are majority controlled by members of an underrepresented community, as defined in section 49 of the Small Business Act;
(2)receive annual assistance provided by such licensee; or
(3)meet additional criteria as determined by the Administration.; and
(3)by adding at the end of the following:
321.Emerging managers program
(a)In this section:
(1)The term covered investments
means investments in—
(A)infrastructure, including—
(i)roads, bridges, and mass transit;
(ii)water supply and sewer;
(iii)the electrical grid;
(iv)broadband and telecommunications;
(v)clean energy; or
(vi)child care and elder care;
(B)manufacturing;
(C)low-income communities, as that term is defined in section 45D(e) of the Internal Revenue Code of 1986;
(D)HUBZones, as defined in section 31(b) of the Small Business Act;
(E)small business concerns owned and controlled by a member of an Indian tribe individually identified (including parenthetically) in the most recent list published pursuant to section 104 of the Federally Recognized Indian Tribe List Act of 1994;
(F)small business concerns owned and controlled by an individual with a disability, as defined in section 3 of the Americans with Disabilities Act of 1990;
(G)small business concerns owned and controlled by a veteran; or
(H)industries identified by the Administrator.
(2)The term emerging manager company
means an investment management firm that is focused on investing private equity and that meets not less than 2 of the following criteria:
(A)The partners of the firm have—
(i)an investment track record of less than 10 years of combined investment experience; or
(ii)a documented record of successful business experience.
(B)The firm has a focus on underserved markets.
(C)The firm is not less than 50 percent owned, managed, or controlled by members of an underrepresented community (as defined in section 49 of the Small Business Act).
(b)The Administrator shall establish an emerging managers program pursuant to which managers with substantial experience in operating small business investment companies—
(1)may enter into a written agreement approved by the Administrator to provide guidance and assistance to an applicant for a license for a small business investment company that is to be managed by an emerging manager company; and
(2)may hold a minority financial interest in the small business investment company described in paragraph (1).
(c)An applicant described in subsection (b)(1) shall apply for a license under section 301(c) and shall—
(1)have private capital not to exceed $100,000,000;
(2)be managed by not less than two individuals;
(3)be a second generation fund or earlier; and
(4)focus its investment strategy on covered investments.
(d)Waiver of maximum leverageThe approval of a written agreement under subsection (b) by the Administrator shall operate as a waiver of the requirements of section 303(b)(2)(B) to the extent that such section would otherwise apply.
(e)Increased leverage maximumAn existing small business investment company that enters into a written agreement under subsection (b) may receive an increase in the maximum leverage cap of the company under section 303(b)(2)—
(1)under subparagraph (A) of such section, with respect to a single license, by not more than $17,500,000; and
(2)under subparagraph (B) of such section, with respect to multiple licenses under common control, by not more than $35,000,000..
100402.Microcap small business investment company license
(a)In addition to amounts otherwise available, there is appropriated to the Administration for fiscal year 2022, out of amounts in the Treasury not otherwise appropriated, $40,000,000, to remain available until September 30, 2031, to carry out paragraph (5) of section 301(c) of the Small Business Investment Act of 1958 (15 U.S.C. 681(c)), as added by subsection (b).
(b)Microcap small business investment company licenseSection 301(c) of the Small Business Investment Act of 1958 (15 U.S.C. 681(c)) is amended by adding at the end the following:
(5)Microcap small business investment company license
(A)The Administrator may issue licenses under this subsection to applicants—
(i)that do not satisfy the qualification requirements under paragraph (3)(A)(ii) to the extent that such requirements relate to investment experience and track record, including any such requirements further set forth in section 107.305 of title 13, Code of Federal Regulations, or any successor regulation;
(ii)that would otherwise be issued a license under this subsection, except that the management of the applicant does not satisfy the requirements under paragraph (3)(A)(ii) to the extent that such requirements relate to investment experience and track record, including any such requirements further set forth in section 107.305 of title 13, Code of Federal Regulations, or any successor regulation;
(iii)for which the managers of such applicant have—
(I)a documented record of successful business experience;
(II)a record of business management success; or
(III)knowledge in the particular industry or business for which the applicant is pursuing an investment strategy; and
(iv)that have demonstrated appropriate qualifications for the license, based on factors determined by the Administrator.
(B)A licensee under this paragraph shall invest not less than 50 percent of the total financings of the licensee in covered investments (as defined in section 321), of which not more than 33 percent of those investments are in small business concerns in infrastructure or manufacturing.
(C)A company licensed pursuant to this paragraph shall—
(i)not be eligible to receive leverage in an amount that is more than $50,000,000; and
(ii)be able to access leverage in an amount that is not more than 200 percent of the private capital of the company.
(D)If a company licensed pursuant to this paragraph has investment committee members or control persons who are principals approved by the Administrator or control persons of licensed small business investment companies not licensed under this paragraph, such licensee or licensees shall not be deemed to be under common control with the company licensed pursuant to this paragraph solely for the purpose of section 303(b)(2)(B).
(E)In addition to the fees authorized under sections 301(e) and 310(b), the Administration may prescribe fees to be paid by each company designated to operate under this paragraph..
100403.Funding for SBIC outreach and education
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,500,000, to remain available until September 30, 2031, for carrying out this section.
(b)The Administrator shall develop and implement a program to promote to, conduct outreach to, and educate prospective licensees on the licensing procedures and other programs of small business investment companies under title III of the Small Business Investment Act of 1958.
EIncreasing Access to Lending and Investment Capital
100501.Funding for Community Advantage Loan Program
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$224,800,000 for carrying out paragraph (38) of section 7(a) of the Small Business Act (15 U.S.C. 636(a)), as added by subsection (b);
(2)$4,000,000 for the Administrator of the Small Business Administration to develop a training course and provide free or low-cost training to covered institutions making loans under the program established under such paragraph (38); and
(3)$47,100,000 for administrative expenses related to carrying out such paragraph (38), including issuing interim final rules.
(b)Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended by adding at the end the following:
(38)Community Advantage Loan Program
(A)In this paragraph—
(i)the term covered institution
means—
(I)a development company, as defined in section 103 of the Small Business Investment Act of 1958, participating in the loan program established under title V of such Act;
(II)a non-Federally regulated entity certified as a community development financial institution under the Community Development Banking and Financial Institutions Act of 1994;
(III)an intermediary, as defined in subsection (m)(11), that is a nonprofit organization and is participating in the microloan program under subsection (m); and
(IV)an eligible intermediary, as defined in subsection (l)(1), participating in the small business intermediary lending pilot program established under subsection (l)(2);
(ii)the term new business
means a small business concern that has been in business for not more than 2 years on the date on which a loan is made to the small business concern under the program;
(iii)the term program
means the Community Advantage Loan Program established under subparagraph (B);
(iv)the term small business concern in an underserved market
means a small business concern—
(I)that is located in—
- (aa)a low- to moderate-income community;
- (bb)a HUBZone, as that term is defined in section 31(b);
- (cc)a rural area; or
- (dd)any area for which a disaster declaration or determination described in subparagraph (B), (C), or (E) of subsection (b)(2) has been made that has not terminated more than 2 years (or later, as determined by the Administrator) before the date on which a loan is made to such concern under such subsection, or in any area for which a major disaster described in subsection (b)(2)(A) has been declared, that period shall be 5 years; or
(II)that is a new business;
(III)owned and controlled by veterans;
(IV)owned and controlled by an individual who has completed a term of imprisonment;
(V)owned and controlled by an individual with a disability, as that term is defined in section 3 of the Americans with Disabilities Act of 1990;
(VI)owned and controlled by a member of an Indian tribe individually identified (including parenthetically) in the most recent list published pursuant to section 104 of the Federally Recognized Indian Tribe List Act of 1994; or
(VII)otherwise identified by the Administrator.
(B)There is established a Community Advantage Loan Program under which the Administration may guarantee loans made by covered institutions under this subsection, with an emphasis on loans made to small business concerns in an underserved market.
(C)Requirement to make loans to underserved marketsNot less than 60 percent of loans made by a covered institution under the program shall consist of loans made to small business concerns in an underserved market.
(D)
(i)Except as provided in clause (ii), the maximum loan amount for a loan guaranteed under the program is $250,000.
(ii)
(I)
- (aa)Upon request by a covered institution, the Administrator may guarantee a loan under the program that is more than $250,000 and not more than $350,000.
- (bb)As soon as practicable and not later than 14 business days after receiving a request under item (aa), the Administration shall—
(AA)review the request; and
(BB)provide a decision regarding the request to the covered institution making the loan.
(II)The maximum loan amount for a loan guaranteed under the program that is made to a small business concern located in an area affected by a major disaster described in subsection (b)(2)(A) is $350,000.
(E)The maximum interest rate for a loan guaranteed under the program shall not exceed the maximum interest rate, as determined by the Administration, applicable to other loans guaranteed under this subsection..
100502.Funding for credit enhancement and small dollar loan funding
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031—
(1)$1,480,600,000 to carry out paragraph (39) of section 7(a) of the Small Business Act (15 U.S.C. 636(a)), as added by subsection (b); and
(2)$484,000,000 for administrative expenses related to carrying out such paragraph (39), including issuing interim final rules within 90 days after the date of the enactment of this title, of which $25,000,000 is reserved for grants to conduct outreach to entities eligible to receive a loan under such paragraph (39).
(b)Small dollar loan fundingSection 7(a) of the Small Business Act (15 U.S.C. 636(a)), as amended by section 100501, is further amended—
(1)in paragraph (1)(A)(i), in the third sentence, by striking ; and
and all that follows through the period at the end and inserting a period;
(2)in paragraph (4)(A), by striking the comma after prescribed by the Administration
and all that follows through the period at the end and inserting a period;
(3)in paragraph (26), by inserting (except for those collected under paragraph (39))
after profits
; and
(4)by adding at the end the following:
(39)Small dollar loan funding
(A)In this paragraph:
(i)Small government contractorThe term small government contractor
means a small business concern that is performing a government contract.
(ii)The term small manufacturer
means a small business concern that is assigned a North American Industry Classification System code beginning with 31, 32, or 33 at the time at which the small business concern receives loan under this subsection.
(B)The Administrator is authorized to originate and disburse direct loans, including through partnerships with third parties, to small business concerns.
(C)Notwithstanding paragraph (3)(C) of this subsection, a loan made in accordance with this paragraph shall be—
(i)except as provided in clause (ii), not more than $150,000; or
(ii)not more than $1,000,000, if the borrower is a small manufacturer or a small government contractor.
(D)With respect to each loan made in accordance with this paragraph, the Administrator, an authorized third party, or an agent may—
(i)impose, collect, retain, and utilize fees, which may be charged to the borrower, to cover any costs associated with referring applications or originating, making, underwriting, disbursing, closing, servicing, or liquidating the loan, including any direct lending agent costs, other program or contract costs, or other agent administrative expenses;
(ii)impose, collect, retain, and use fees (including unused fees and draw fees), which may be charged to the borrower on loans for revolving lines of credit; and
(iii)pay third parties, including direct lending agents and financial institutions, with which the Administration partners for assistance in referring applicants or promoting, originating, making, underwriting, disbursing, closing, servicing, or liquidating loans in accordance with this paragraph on behalf of the Administration.
(E)Not later than 90 days after the date of the enactment of this paragraph, the Administrator shall issue interim final rules and revise any relevant rules to establish the terms and conditions for a direct loan, including repayment, underwriting criteria, interest rate, maturity, and other terms of a loan made in accordance with this paragraph..
100503.Extension of temporary fee reductions
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $950,000,000, to remain available until September 30, 2026, for carrying out this section and any amendments made by this section.
(b)Section 326 of the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (title III of division N of Public Law 116–260; 134 Stat. 2036; 15 U.S.C. 636 note) is amended—
(1)in subsection (a)(2), by striking October 1, 2021
and inserting October 1, 2026
; and
(2)in subsection (b)(2), by striking October 1, 2021
and inserting October 1, 2026
.
(c)Section 327 of the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (title III of division N of Public Law 116–260; 134 Stat. 2037; 15 U.S.C. 636 note) is amended—
(1)in subsection (a)(1), by striking September 30, 2021
and inserting September 30, 2026
; and
(2)in subsection (b)(1), by striking September 30, 2021
and inserting September 30, 2026
.
100504.
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2031, for carrying out paragraph (40) of section 7(a) of the Small Business Act (15 U.S.C. 636(a)), as added by subsection (b).
(b)Cooperative lending pilotSection 7(a) of the Small Business Act (15 U.S.C. 636(a)), as amended by section 100502, is further amended by adding at the end the following:
(40)Cooperative lending pilot
(A)In this paragraph:
(i)Community financial institutionThe term community financial institution
has the meaning given in paragraph (36)(A).
(ii)The term cooperative
—
(I)means an entity determined by the Administrator to be a cooperative; and
(II)includes an entity owned by employees or consumers of the entity.
(iii)Eligible employee-owned business concernThe term eligible employee-owned business concern
means—
(I)a cooperative in which the employees of the cooperative are eligible for membership;
(II)a qualified employee trust; or
(III)other employee-owned entities as determined by the Administrator.
(iv)The term pilot program
means the pilot program established under subparagraph (B).
(B)There is established a pilot program under which the Administrator shall guarantee loans (including loans made by community financial institutions), without the requirement of a personal or entity guarantee, where such loans shall be made to cooperatives or eligible employee-owned business concerns.
(C)The pilot program shall terminate on the date that is 5 years after the date of enactment of this paragraph..
(c)Delegated lending authority for preferred lendersSection 5(b)(7) of the Small Business Act (15 U.S.C. 634(b)(7)) is amended by striking paragraph (15) or (35)
and inserting paragraph (15), (35), or (40)
.
FSupporting Entrepreneurial Second Chances
100601.Reentry entrepreneurship counseling and training for incarcerated and formerly incarcerated individuals
(a)Reentry entrepreneurship counseling and training for incarcerated individuals
(1)In addition to amounts otherwise available, there is appropriated to the Small Business Administration, out of money in the Treasury not otherwise appropriated for fiscal year 2022, 35,000,000, to remain available until September 30, 2029, to carry out section 52 of the Small Business Act, as added by paragraph (2).
(2)The Small Business Act is amended by inserting after section 51, as added by section 100301 of this title, the following:
52.Reentry entrepreneurship counseling and training for incarcerated individuals
(a)In this section:
(1)The term covered individual
means an individual who is completing a term of imprisonment in a facility designated as a minimum, low, or medium security.
(2)The term resource partners
means a small business development center (defined in section 3) or a women’s business center (described under section 29).
(b)The Administrator shall coordinate with resource partners and associations formed to pursue matters of common concern to resource partners to provide entrepreneurship counseling and training services to covered individuals pursuant to subsection (c).
(c)Amounts made available under this section shall be used to—
(1)develop and deliver a curriculum, including classroom instruction and in-depth training to develop skills related to business planning and financial literacy;
(2)train mentors and instructors;
(3)establish public-private partnerships to support covered individuals; and
(4)identify opportunities to access capital..
(b)Reentry entrepreneurship counseling and training for formerly incarcerated individuals
(1)In addition to amounts otherwise available, there is appropriated to the Small Business Administration, out of any money in the Treasury not otherwise appropriated for fiscal year 2022, $35,000,000, to remain available until September 30, 2029, to carry out section 53 of the Small Business Act, as added by paragraph (2).
(2)The Small Business Act is amended by inserting after section 52, as added by subsection (a), the following:
53.Reentry entrepreneurship counseling and training for formerly incarcerated individuals
(a)Covered individual definedIn this section, the term covered individual
means an individual who completed a term of imprisonment.
(b)The Administrator shall establish a program under which the Service Corps of Retired Executives authorized by section 8(b)(1)(B) shall provide entrepreneurship counseling and training services to covered individuals on a nationwide basis.
(c)Amounts made available under this section shall be used by the Service Corps of Retired Executives for providing to covered individuals the following services:
(1)Regular individualized mentoring sessions to identify and support development of the business plans of covered individuals.
(2)Workshops on topics specifically tailored to meet the needs of covered individuals.
(3)Instructional videos designed specifically for covered individuals on how to start or expand a small business concern..
100602.New start entrepreneurial development program for formerly incarcerated individuals
(a)In addition to amounts otherwise available, there is appropriated to the Small Business Administration, out of any money in the Treasury not otherwise appropriated for fiscal year 2022, $35,000,000, to remain available until September 30, 2029, for carrying out this section.
(b)In this section—
(1)The term covered individual
means an individual who—
(A)completed a term of imprisonment; and
(B)meets the offense eligibility requirements set forth in any applicable policy notice or other guidance issued by the Small Business Administration for the program established under section 7(m) of the Small Business Act (15 U.S.C. 636(m)).
(2)The terms intermediary
and microloan
have the meanings given those terms, respectively, in section 7(m)(11) of the Small Business Act (15 U.S.C. 636(m)(11)).
(3)The term participating lender
means a participating lender described under section 7(a) of the Small Business Act (15 U.S.C. 636(a)).
(4)The term pilot program
means the pilot program established under subsection (b).
(5)The term resource partner
means—
(A)a small business development center (defined in section 3 of the Small Business Act (15 U.S.C. 632));
(B)a women’s business center (described under section 29 of such Act (15 U.S.C. 656));
(C)a chapter of the Service Corps of Retired Executives (established under section 8(b)(1)(B) of such Act ((15 U.S.C. 637(b)(1)(B))); and
(D)a Veteran Business Outreach Center (described under section 32 of such Act (15 U.S.C. 657b)).
(c)The Administrator shall establish a pilot program to award grants to organizations, or partnerships of organizations, to provide assistance to covered individuals throughout the United States.
(d)
(1)An organization or partnership of organizations desiring a grant under the pilot program shall submit an application to the Administrator in such form, in such manner, and containing such information as the Administrator may reasonably require.
(2)An application submitted under paragraph (1) shall—
(A)demonstrate that the applicant has a partnership with, or is, an intermediary that shall make microloans to covered individuals;
(B)demonstrate an ability to provide a full range of entrepreneurial development programming on an ongoing basis;
(C)include a plan for reaching covered individuals, including by identifying particular target populations within the community in which a covered individual lives;
(D)include a plan to refer covered individuals who have completed participation in the pilot program to existing resource partners and participating lenders;
(E)include a comprehensive plan for the use of grant funds, including estimates for administrative expenses and outreach costs; and
(F)any other requirements, as determined by the Administrator.
(e)
(1)As a condition of a grant provided under the pilot program, the Administrator shall require the recipient of the grant to contribute an amount equal to 25 percent of the amount of the grant, obtained solely from non-Federal sources.
(2)In addition to cash or other direct funding, the contribution required under paragraph (1) may include indirect costs or in-kind contributions paid for under non-Federal programs.
G
100701.
(a)In addition to amounts otherwise available, there is appropriated to the Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $125,000,000, to remain available until September 30, 2030, for administrative expenses related to carrying out this title (or any amendments made by this title), except as otherwise provided in this title.
(b)Using amounts made available under subsection (a), not later than 30 days after the date of the enactment of this Act, the Administrator may issue rules, including interim final rules, as necessary to carry out this title and the amendments made by this title.
100702.Office of Inspector General of the Small Business AdministrationIn addition to amounts otherwise available, there is appropriated to the Office of Inspector General of the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $12,500,000, to remain available until September 30, 2030, for audits, investigations, and other oversight of projects and activities carried out with funds made available by this title to the Small Business Administration.
XICommittee on Transportation and Infrastructure
110001.Affordable housing access program
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $9,750,000,000, to remain available until September 30, 2026, to the Secretary of Housing and Urban Development and the Administrator of the Federal Transit Administration to make competitive grants under sections 5307, 5311, and 5339(c) of title 49, United States Code, to support—
(1)access to affordable housing;
(2)enhanced mobility for residents and riders, including those in disadvantaged communities and neighborhoods, persistent poverty communities, or for low-income riders generally; and
(3)other community benefits for residents of disadvantaged communities or neighborhoods, persistent poverty communities, or for low-income riders generally identified by the Secretary and the Administrator related to enhanced transit service, including—
(A)access to job and educational opportunities;
(B)better connections to medical care; and
(C)enhanced access to grocery stores with fresh foods to help eliminate food deserts.
(b)Funds made available under this section—
(1)shall not be subject to any prior restriction on the total amount of funds available for implementation or execution of programs authorized under sections 5307, 5311, 5312, 5314, or 5339(c) of title 49, United States Code;
(2)notwithstanding requirements related to Government share under such sections, shall be available for up to 100 percent of the net cost of a project;
(3)notwithstanding section 5307(a)(1) of such title, may be used for operating costs of equipment and facilities in an urbanized area with a population equal to or greater than 200,000 individuals; and
(4)shall be expended in compliance with the requirements of part 26 of title 49, Code of Federal Regulations.
(c)Eligible activities for funds made available under subsection (a) shall be—
(1)construction of a new fixed guideway capital project;
(2)construction of a bus rapid transit project or a corridor-based bus rapid transit project that utilizes zero-emission vehicles, or a collection of such projects;
(3)the establishment or expansion of high-frequency bus service that utilizes zero-emission buses;
(4)the acquisition of zero-emission vehicles or related infrastructure under section 5339(c) of title 49, United States Code, to expand service in urban areas and the acquisition of vehicles under section 5311 of such title to expand service in non-urban areas;
(5)an expansion of the service area or the frequency of service of recipients or subrecipients under sections 5307 or 5311 of such title, including the provision of fare-free or reduced-fare service;
(6)renovation or construction of facilities and incidental expenses related to transit service in disadvantaged communities or neighborhoods or service that benefits low-income riders generally;
(7)additional assistance to project sponsors of new fixed guideway capital projects, core capacity improvement projects, or corridor-based bus rapid transit projects not yet open to revenue service, notwithstanding applicable requirements regarding Government share of contributions toward net project cost of the project or the share of contributions provided by the Administrator of the Federal Transit Administration, if—
(A)the applicant demonstrates that the availability of funding under this section provides additional support for transit services consistent with the requirements in subsection (a); and
(B)assistance under this paragraph does not increase by more than 10 percentage points—
(i)the Government share of contributions toward net project cost; or
(ii)the Government share of assistance from a program carried out by the Administrator of the Federal Transit Administration;
(8)fleet transition, route, or other public transportation planning, including planning related to economic development; and
(9)projects to upgrade the accessibility of bus or rail public transportation services for persons with disabilities, including individuals who use wheelchairs.
(d)Research, technical assistance, and trainingIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $150,000,000, to remain available until September 30, 2026, for grants under sections 5312 or 5314 of title 49, United States Code, (excluding grants related to any activities or agreements with international entities or foreign nationals) for—
(1)activities under section 5312 of such title that support efforts to reduce barriers to the deployment of zero-emission transit vehicles in disadvantaged communities or neighborhoods and rural areas, including barriers related to the cost of such vehicles; and
(2)activities under section 5314 of such title for training and development activities to support the provision of service to disadvantaged communities or neighborhoods and rural areas.
(e)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $100,000,000, to remain available until September 30, 2026, for administrative expenses and oversight costs of carrying out this section and to make new awards or to increase prior awards to provide technical assistance and capacity building for eligible recipients or subrecipients under this section.
(f)Any funds provided from the general fund of the Treasury to carry out grants under section 5339(c) of title 49, United States Code, for fiscal years 2025 and 2026 shall remain available until September 30, 2028.
110002.Community climate incentive grant program
(a)Chapter 1 of title 23, United States Code, is amended by adding at the end the following:
177.Community climate incentive grant program
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2026, to the Administrator of the Federal Highway Administration—
(1)to establish a greenhouse gas performance measure that requires States to set performance targets to reduce greenhouse gas emissions;
(2)to establish an incentive structure to reward States that demonstrate the most significant progress toward achieving reductions in greenhouse gas emissions;
(3)to establish consequences for States that do not achieve reductions in greenhouse gas emissions;
(4)to issue guidance and regulations and provide technical assistance as necessary to implement this section; and
(5)for operations and administration of the Federal Highway Administration in carrying out this section.
(b)Incentive grants to statesIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $950,000,000, to remain available until September 30, 2026, to the Administrator of the Federal Highway Administration for incentive grants for carbon reduction projects, to be awarded to States that—
(1)qualify for a reward under the incentive structure established by the Administrator of the Federal Highway Administration under subsection (a)(2); or
(2)have incorporated carbon reduction strategies that contribute to achieving net zero greenhouse gas emissions by 2050 into the transportation plans required under section 135.
(c)Community climate grants to other eligible entities
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,000,000,000, to remain available until September 30, 2026, to the Administrator of the Federal Highway Administration to award grants, on a competitive basis, for carbon reduction projects to eligible entities that are not States.
(2)The Federal share of the cost of a project carried out with a grant under this subsection may be up to 100 percent.
(d)
(1)A project carried out under subsection (b) or (c) shall be treated as a project on a Federal-aid highway.
(2)Compliance with existing requirementsFunds made available for a grant under subsection (b), and funds made available for a grant under subsection (c) that are administered by or through a State department of transportation, shall be expended in compliance with the requirements of part 26 of title 49, Code of Federal Regulations.
(e)Funds made available under this section shall not—
(1)be subject to any restriction or limitation on the total amount of funds available for implementation or execution of programs authorized for Federal-aid highways; or
(2)be used for projects that result in additional through travel lanes for single occupant passenger vehicles.
(f)In this section:
(1)The term carbon reduction project
means a project—
(A)that is eligible under this title; and
(B)that—
(i)will result in significant reductions in greenhouse gas emissions related to a surface transportation facility or project;
(ii)provides zero-emission transportation options;
(iii)reduces dependence on single-occupant vehicle trips; or
(iv)advances carbon reduction strategies adopted by an eligible entity that contribute to achieving net-zero greenhouse gas emissions by 2050.
(2)The term eligible entity
means—
(A)a unit of local government;
(B)a political subdivision of a State;
(C)a territory;
(D)a metropolitan planning organization (as defined in section 134(b));
(E)a special purpose district or public authority with a transportation function;
(F)an entity described in section 207(m)(1)(E); or
(G)a State..
(b)The analysis for chapter 1 of title 23, United States Code, is amended by adding at the end the following:
177. Community climate incentive grant program..
110003.Neighborhood access and equity grant program
(a)Chapter 1 of title 23, United States Code, is further amended by adding at the end the following:
178.Neighborhood access and equity grant program
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,370,000,000, to remain available until September 30, 2026, to the Administrator of the Federal Highway Administration for competitive grants to eligible entities described in subsection (b)—
(1)to improve walkability, safety, and affordable transportation access through construction of projects that are context-sensitive—
(A)to remove, remediate, or reuse a facility described in subsection (c)(1);
(B)to replace a facility described in subsection (c)(1) with a facility that is at-grade or lower speed;
(C)to retrofit or cap a facility described in subsection (c)(1);
(D)to build or improve complete streets, multiuse trails, regional greenways, or active transportation networks and spines; or
(E)to provide affordable access to essential destinations, public spaces, or transportation links and hubs;
(2)to mitigate or remediate negative impacts on the human or natural environment resulting from a facility described in subsection (c)(2) in a disadvantaged or underserved community, including construction of—
(A)noise barriers to reduce impacts resulting from a facility described in subsection (c)(2);
(B)technologies, infrastructure, and activities to reduce surface transportation-related air pollution, including greenhouse gas emissions;
(C)infrastructure or protective features to reduce or manage stormwater run-off resulting from a facility described in subsection (c)(2), including through natural infrastructure and pervious, permeable, or porous pavement;
(D)infrastructure and natural features to reduce or mitigate urban heat island hot spots in the transportation right-of-way or on surface transportation facilities; or
(E)safety improvements for vulnerable road users; and
(3)for planning and capacity building activities in disadvantaged or underserved communities to—
(A)identify, monitor, or assess local and ambient air quality, emissions of transportation greenhouse gases, hot spot areas of extreme heat or elevated air pollution, gaps in tree canopy coverage, or flood prone transportation infrastructure;
(B)assess transportation equity or pollution impacts and develop local anti-displacement policies and community benefit agreements;
(C)conduct predevelopment activities for projects eligible under this subsection;
(D)expand public participation in transportation planning by individuals and organizations in disadvantaged or underserved communities; or
(E)administer or obtain technical assistance related to activities described in this subsection.
(b)Eligible entities describedAn eligible entity referred to in subsection (a) is—
(1)a State;
(2)a unit of local government;
(3)a political subdivision of a State;
(4)an entity described in section 207(m)(1)(E);
(5)a territory of the United States;
(6)a special purpose district or public authority with a transportation function;
(7)a metropolitan planning organization (as defined in section 134(b)); or
(8)with respect to a grant described in subsection (a)(3), in addition to an eligible entity described in paragraphs (1) through (7), a nonprofit organization or institution of higher education that has entered into a partnership with an eligible entity described in paragraphs (1) through (7).
(c)A facility referred to in subsection (a) is—
(1)a surface transportation facility for which high speeds, grade separation, or other design factors create an obstacle to connectivity within a community; or
(2)a surface transportation facility which is a source of air pollution, noise, stormwater, or other burden to a disadvantaged or underserved community.
(d)Investment in economically disadvantaged communities
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,580,000,000, to remain available until September 30, 2026, to the Administrator of the Federal Highway Administration to provide grants for projects in communities described in paragraph (2) for the same purposes and administered in the same manner as described in subsection (a).
(2)A community referred to in paragraph (1) is a community that—
(A)is economically disadvantaged, including an underserved community or a community located in an area of persistent poverty;
(B)has entered or will enter into a community benefits agreement with representatives of the community;
(C)has an anti-displacement policy, a community land trust, or a community advisory board in effect; or
(D)has demonstrated a plan for employing local residents in the area impacted by the activity or project proposed under this section.
(e)
(1)A project carried out under subsection (a) or (d) shall be treated as a project on a Federal-aid highway.
(2)Compliance with existing requirementsFunds made available for a grant under this section and administered by or through a State department of transportation shall be expended in compliance with the requirements of part 26 of title 49, Code of Federal Regulations.
(f)The Federal share of the cost of an activity carried out using a grant awarded under this section shall be not more than 80 percent, except that the Federal share of the cost of a project in a disadvantaged or underserved community may be up to 100 percent.
(g)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2026, to the Administrator of the Federal Highway Administration for—
(1)guidance, technical assistance, templates, training, or tools to facilitate efficient and effective contracting, design, and project delivery by units of local government;
(2)subgrants to units of local government to build capacity of such units of local government to assume responsibilities to deliver surface transportation projects; and
(3)operations and administration of the Federal Highway Administration.
(h)Amounts made available under this section shall not—
(1)be subject to any restriction or limitation on the total amount of funds available for implementation or execution of programs authorized for Federal-aid highways; and
(2)be used for a project for additional through travel lanes for single-occupant passenger vehicles..
(b)The analysis for chapter 1 of title 23, United States Code, is further amended by adding at the end the following:
178. Neighborhood access and equity grant program..
110004.Territorial highway program funding
(a)In addition to amounts otherwise made available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $320,000,000, to remain available until September 30, 2026, to the Administrator of the Federal Highway Administration for distribution under section 165(c) of title 23, United States Code.
(b)Funds made available under this section shall not be subject to any restriction or limitation on the total amount of funds available for implementation or execution of programs authorized for Federal-aid highways.
110005.Traffic safety clearinghouse
(a)In addition to amounts otherwise made available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $47,500,000 to remain available until September 30, 2026, for the Administrator of the National Highway Traffic Safety Administration to make 1 or more grants, cooperative agreements, or contracts with 1 or more qualified institutions to—
(1)operate a national clearinghouse for fair and equitable traffic safety enforcement programs;
(2)conduct research relating to, and develop, systems for States to collect traffic safety enforcement data, and provide technical assistance to States collecting such data, including the sharing of data to a national database;
(3)develop recommendations and best practices to help States collect and use traffic safety enforcement data to promote equity and reduce traffic-related fatalities and injuries; and
(4)develop information and educational programs relating to implementing equitable traffic safety enforcement best practices to assist States and local communities.
(b)In addition to amounts otherwise made available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,500,000 to remain available until September 30, 2026, for the Administrator of the National Highway Traffic Safety Administration for the salaries, expenses, and costs of administering this section.
(c)In this section the term State
has the meaning given the term in section 401 of title 23, United States Code.
110006.Passenger rail improvement, modernization, and emissions reduction grants
(a)In addition to amounts otherwise available, there is appropriated to the Secretary of Transportation for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $10,000,000,000, to remain available until September 30, 2026, for financial assistance under chapter 261 of title 49, United States Code, to eligible entities for eligible projects.
(b)In this section:
(1)The term corridor
means an existing, modified, or proposed intercity passenger rail service (as defined in section 26106(b)(5) of title 49, United States Code).
(2)The term eligible entity
means—
(A)an entity that is eligible to receive financial assistance under section 26101 of title 49, United States Code; and
(B)an applicant that is eligible to receive a grant under section 26106 of title 49, United States Code.
(3)The term eligible project
means—
(A)a planning project for high-speed rail corridor development that consists of planning activities eligible to receive financial assistance under section 26101(b)(1) of title 49, United States Code; and
(B)a capital project for high-speed rail corridor development that—
(i)is eligible to receive a grant for a capital project (as defined in section 26106(b)(3) of title 49, United States Code); and
(ii)directly serves rail stations within urban areas (as published by the Bureau of the Census) that are located in close proximity to a census tract (as published by the Bureau of the Census) within the urban area that has a greater density population than the urban area as a whole.
(4)The term high-speed rail
means non-highway ground transportation that is owned or operated by an eligible entity and reasonably expected to reach speeds of—
(A)160 miles per hour or faster on a shared use right-of-way; or
(B)186 miles per hour or faster on a dedicated right-of-way.
(c)Not less than $1,000,000,000 of the amounts appropriated by subsection (a) shall be used for eligible projects described in subsection (b)(3)(A).
(d)For any financial assistance and grants provided pursuant to this section, the Federal share may not exceed 90 percent of the total cost of the eligible project.
(e)Not more than $100,000,000 of the amounts appropriated by subsection (a) may be used by the Secretary of Transportation for the costs of award and project management of financial assistance provided under this section.
110007.Alternative fuel and low-emission aviation technology program
(a)Appropriation and establishmentFor purposes of establishing a competitive grant program to provide grants to eligible entities to carry out projects located in the United States that produce, transport, blend, or store sustainable aviation fuel, or develop, demonstrate, or apply low-emission aviation technologies, in addition to amounts otherwise available, there are appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2026—
(1)$247,000,000 for projects relating to the production, transportation, blending, or storage of sustainable aviation fuel;
(2)$47,000,000 for projects relating to low-emission aviation technologies; and
(3)$6,000,000 to fund the award of grants under this section, and oversight of the program, by the Secretary.
(b)In carrying out subsection (a), the Secretary shall consider, with respect to a proposed project—
(1)the capacity for the eligible entity to increase the domestic production and deployment of sustainable aviation fuel or the use of low-emission aviation technologies among the United States commercial aviation and aerospace industry;
(2)the projected greenhouse gas emissions from such project, including emissions resulting from the development of the project, and the potential the project has to reduce or displace, on a lifecycle basis, United States greenhouse gas emissions associated with air travel;
(3)the capacity to create new jobs and develop supply chain partnerships in the United States;
(4)for projects related to the production of sustainable aviation fuel, the projected lifecycle greenhouse gas emissions benefits from the proposed project, which shall include feedstock and fuel production and potential direct and indirect greenhouse gas emissions (including resulting from changes in land use); and
(5)the benefits of ensuring a diversity of feedstocks for sustainable aviation fuel, including the use of waste carbon oxides and direct air capture.
(c)The Federal share of the cost of a project carried out using grant funds under subsection (a) shall be a maximum of 90 percent of the proposed total cost of the project, and the Secretary shall consider the extent to which a proposed project meets the considerations described in subsection (b) in determining the Federal share under this subsection.
(d)Fuel emissions reduction testFor purposes of clause (ii) of subsection (e)(7)(E), the Secretary shall, not later than 2 years after the date of enactment of this section, adopt at least 1 methodology for testing lifecycle greenhouse gas emissions that meets the requirements of such clause.
(e)In this section:
(1)The term eligible entity
means—
(A)a State or local government, including the District of Columbia, other than an airport sponsor;
(B)an air carrier;
(C)an airport sponsor;
(D)an accredited institution of higher education;
(E)a research institution;
(F)a person or entity engaged in the production, transportation, blending, or storage of sustainable aviation fuel in the United States or feedstocks in the United States that could be used to produce sustainable aviation fuel;
(G)a person or entity engaged in the development, demonstration, or application of low-emission aviation technologies; or
(H)nonprofit entities or nonprofit consortia with experience in sustainable aviation fuels, low-emission aviation technologies, or other clean transportation research programs.
(2)The term feedstock
means sources of hydrogen and carbon not originating from unrefined or refined petrochemicals.
(3)Induced land-use change valuesThe term induced land-use change values
means the greenhouse gas emissions resulting from the conversion of land to the production of feedstocks and from the conversion of other land due to the displacement of crops or animals for which the original land was previously used.
(4)Lifecycle greenhouse gas emissionsThe term lifecycle greenhouse gas emissions
means the combined greenhouse gas emissions from feedstock production, collection of feedstock, transportation of feedstock to fuel production facilities, conversion of feedstock to fuel, transportation and distribution of fuel, and fuel combustion in an aircraft engine, as well as from induced land-use change values.
(5)Low-emission aviation technologiesThe term low-emission aviation technologies
means technologies, produced in the United States, that significantly—
(A)improve aircraft fuel efficiency;
(B)increase utilization of sustainable aviation fuel; or
(C)reduce greenhouse gas emissions produced during operation of civil aircraft.
(6)The term Secretary
means the Secretary of Transportation.
(7)Sustainable aviation fuelThe term sustainable aviation fuel
means liquid fuel, produced in the United States, that—
(A)consists of synthesized hydrocarbons;
(B)meets the requirements of—
(i)ASTM International Standard D7566; or
(ii)the co-processing provisions of ASTM International Standard D1655, Annex A1 (or such successor standard);
(C)is derived from biomass (in a similar manner as such term is defined in section 45K(c)(3) of the Internal Revenue Code of 1986), waste streams, renewable energy sources, or gaseous carbon oxides;
(D)is not derived from palm fatty acid distillates; and
(E)achieves at least a 50 percent lifecycle greenhouse gas emissions reduction in comparison with petroleum-based jet fuel, as determined by a test that shows—
(i)the fuel production pathway achieves at least a 50 percent reduction of the aggregate attributional core lifecycle emissions and the induced land use change values under a lifecycle methodology for sustainable aviation fuels similar to that adopted by the International Civil Aviation Organization with the agreement of the United States; or
(ii)the fuel production pathway achieves at least a 50 percent reduction of the aggregate attributional core lifecycle greenhouse gas emissions values and the induced land-use change values under another methodology that the Secretary determines is—
(I)reflective of the latest scientific understanding of lifecycle greenhouse gas emissions; and
(II)as stringent as the requirement under clause (i).
110008.Assistance to update and enforce hazard resistant codes and standards
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $145,500,000, to remain available until expended, to the Administrator of the Federal Emergency Management Agency for the Building Resilient Infrastructure and Communities Program for activities and grants that provide technical assistance and capacity building, for which the Federal cost share shall be 100 percent, to State, local, Indian Tribal, or territorial governments for establishing, implementing, and carrying out enforcement activities of the latest published editions of relevant performance-based and consensus-based codes, specifications, and standards, including amendments made by State, local, Indian Tribal, or territorial governments during the adoption process, that incorporate—
(1)the latest hazard-resistant designs; and
(2)the latest requirements for the maintenance and inspection of existing buildings to address hazard risk.
(b)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise available, $4,500,000 to the Administrator of the Federal Emergency Management Agency, to remain available until expended, for administrative expenses of carrying out this section.
110009.Economic Development Administration
(a)Economic development assistance for regional economic growth clustersIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,360,000,000, to remain available until September 30, 2031, to the Secretary of Commerce (referred to in this section as the Secretary
) for grants under section 209 of the Public Works and Economic Development Act of 1965 (42 U.S.C. 3149) to develop regional economic growth clusters, including grants for technical assistance, planning, and predevelopment activities, subject to the condition that sections 204 and 301 of such Act (42 U.S.C. 3144 and 3161) shall not apply to grants made with amounts made available under this subsection.
(b)Recompete grants for persistently distressed communities
(1)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,200,000,000, to remain available until September 30, 2031, to the Secretary of Commerce for economic adjustment assistance as authorized by section 209 of the Public Works and Economic Development Act of 1965 (42 U.S.C. 3149) to provide grants to eligible recipients (as defined in section 3 of such Act) to alleviate economic distress and support long-term comprehensive economic development and job creation in persistently distressed local labor markets and local communities, except that sections 204 and 301 of such Act (42 U.S.C. 3144 and 3161) shall be inapplicable to such grants.
(2)As a condition of receipt of a grant described under paragraph (1), an eligible recipient shall submit a comprehensive 10-year economic development plan for approval by the Secretary that includes—
(A)proposed programs and activities to be carried out with a grant awarded under this subsection to address the economic challenges of the local labor market or local community in a manner that promotes long-term, sustained economic growth, quality job creation, and local prime-age employment growth;
(B)projected costs, annual expenditures, and a proposed grant disbursement schedule; and
(C)other local economic information and periodic benchmarking criteria as the Secretary determines appropriate.
(3)In determining the maximum amount of a grant that may be awarded under paragraph (1) for the purposes of implementing and carrying out the programs and activities identified in an approved recompete plan described in paragraph (2), the Secretary shall use the product obtained by multiplying—
(A)the difference in the prime-age employment rate between the United States and the local labor market or local community;
(B)the prime-age population of the local labor market or local community; and
(C)either—
(i)$70,585 for local labor markets with a prime-age employment rate not less than 2.5 percent below the United States; or
(ii)$53,600 for local communities with a prime-age employment rate not less than 5 percent below the United States.
(4)In this subsection:
(A)The term local labor market
means any of the following areas that contains 1 or more recipients eligible under paragraph (1):
(i)A metropolitan statistical area or micropolitan statistical area, excluding any area described in clause (iii).
(ii)A commuting zone, excluding any areas described in clauses (i) and (iii).
(iii)Tribal land subject to the jurisdiction of an Indian Tribe.
(B)The term local community
means the area served by a unit of general local government that is located within, but does not cover the entire area of, a local labor market that does not meet the criteria described in paragraph (3)(C)(i).
(c)Economic adjustment assistance for energy and industrial transition communitiesIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $240,000,000, to remain available until September 30, 2027, to the Secretary of Commerce for economic adjustment assistance as authorized by section 209 of the Public Works and Economic Development Act of 1965 (42 U.S.C. 3149) to provide assistance, including grants for technical assistance, planning, and predevelopment activities, to energy and industrial transition communities, including oil, gas, coal, nuclear, and biomass transition communities, and manufacturing transition communities.
(d)Economic adjustment assistance for technical assistance, project predevelopment, and capacity buildingIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $240,000,000, to remain available until September 30, 2027, to the Secretary of Commerce for economic adjustment assistance as authorized by section 209 of the Public Works and Economic Development Act of 1965 (42 U.S.C. 3149) to provide grants for technical assistance, project predevelopment, and capacity building activities, including activities relating to the writing of grant applications (consistent with section 213 of the Public Works and Economic Development Act of 1965 (42 U.S.C. 3153)) and stipends to local community organizations for planning participation, community outreach and engagement activities, subject to the conditions that—
(1)sections 204 and 301 of such Act shall not apply to grants made with amounts made available under this subsection; and
(2)not less than 50 percent of the amounts made available under this subsection shall be for activities that are carried out in underserved communities.
(e)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $210,000,000, to remain available until September 30, 2031, for the administrative expenses of carrying out this section.
110010.Assistance for Federal buildingsIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $500,000,000, to remain available until September 30, 2031, to be deposited in the Federal Buildings Fund established under section 592 of title 40, United States Code, for measures necessary to convert facilities of the Administrator of General Services to high-performance green buildings (as defined in section 401 of the Energy Independence and Security Act of 2007 (42 U.S.C. 17061)).
110011.Climate resilient Coast Guard infrastructureIn addition to amounts otherwise available, there is appropriated to the Coast Guard for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $650,000,000, to remain available until September 30, 2031, for the acquisition, design, and construction of new, or replacement of existing, climate resilient facilities, including personnel readiness facilities such as family support services facilities, that are threatened by or have been impacted by climate change, as authorized under sections 504(e) and 1101(b)(1) of title 14, United States Code.
110012.Great Lakes icebreaker acquisition
(a)In addition to amounts otherwise available, there is appropriated to the Coast Guard for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $350,000,000, to remain available until September 30, 2031, for acquisition, design, and construction of a Great Lakes heavy icebreaker, as authorized under section 8107 of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021 (Public Law 116–283).
(b)The funds made available under this section are subject to the condition that the Coast Guard shall not—
(1)enter into an agreement involving funds made available under subsection (a) if such agreement—
(A)is for a term extending beyond September 30, 2031; or
(B)involves any payment that could be made or funds disbursed using amounts made available under subsection (a) after September 30, 2031; or
(2)use any other funds available to the Coast Guard to satisfy obligations initially made under subsection (a).
110013.Port infrastructure and supply chain resilience
(a)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $600,000,000, to remain available until September 30, 2026, to the Maritime Administration for the purposes of making grants for projects to support supply chain resilience, reduction in port congestion, and the development of offshore wind through the program under section 50302(c) of title 46, United States Code.
(b)The funds made available under this section are subject to the condition that the Secretary of Transportation shall not—
(1)enter into an agreement involving funds made available under subsection (a) if such agreement—
(A)is for a term extending beyond September 30, 2031; or
(B)involves any payment that could be made or funds disbursed using amounts made available under subsection (a) after September 30, 2031; or
(2)use any other funds available to the Secretary to satisfy obligations initially made under subsection (a).
110014.Alternative water source project grants
(a)In addition to amounts otherwise available, there is appropriated to the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $125,000,000, to remain available until expended, for carrying out section 220 of the Federal Water Pollution Control Act (33 U.S.C. 1300), in accordance with subsection (b), which funds may be used to make grants under such section on the condition that—
(1)a project carried out using such funds shall, to the maximum extent practicable, maximize the avoidance, minimization, or mitigation of climate change impacts on, and of, any constructed part of the project (including through the implementation of technologies to recover and reuse energy produced in the treatment of wastewater); and
(2)all of the iron and steel used in the project are produced in the United States in accordance with section 608 of such Act (33 U.S.C. 1388).
(b)For purposes of subsection (a)—
(1)the limitation in section 220(d)(1) of the Federal Water Pollution Control Act (as in effect on September 1, 2021), as it applies to the receipt of planning or design funds, shall not apply with respect to eligibility for a grant under this section; and
(2)the requirements of sections 220(d)(2) and (e) of such Act (as in effect on September 1, 2021) shall not apply to the making of a grant under this section.
(c)Of the amounts made available under subsection (a), the Administrator of the Environmental Protection Agency shall reserve 4 percent for the administrative costs of carrying out this section.
110015.Sewer overflow and stormwater reuse municipal grants
(a)In addition to amounts otherwise available, there is appropriated to the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $500,000,000, to remain available until expended, for carrying out section 221 of the Federal Water Pollution Control Act (33 U.S.C. 1301), which funds may be used to make grants under such section on the condition that any activity carried out using such funds shall, to the maximum extent practicable, maximize the avoidance, minimization, or mitigation of climate change impacts on, and of, any constructed part of the activity (including through the implementation of technologies to recover and reuse energy produced in the treatment of wastewater).
(b)Financially distressed communities
(1)In addition to amounts otherwise available, there is appropriated to the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,350,000,000, to remain available until expended, for carrying out section 221 of the Federal Water Pollution Control Act (33 U.S.C. 1301), which funds may be used to make grants under such section to a financially distressed community (as defined in such section), or an Indian tribe or other entity described in section 518(c)(3) of such Act, on the condition that any activity carried out using such funds shall, to the maximum extent practicable, maximize the avoidance, minimization, or mitigation of climate change impacts on, and of, any constructed part of the activity (including through the implementation of technologies to recover and reuse energy produced in the treatment of wastewater).
(2)In carrying out paragraph (1), the Administrator of the Environmental Protection Agency may not require a financially distressed community, Indian tribe, or entity receiving a grant pursuant to this subsection to provide, as a condition of eligibility to receive such grant, a share of the cost of the activity for which the grant was made.
(c)Of the amounts made available under each of subsections (a) and (b), the Administrator of the Environmental Protection Agency shall reserve 4 percent for the administrative costs of carrying out this section.
110016.Individual household decentralized wastewater treatment system grants
(a)In addition to amounts otherwise available, there is appropriated to the Environmental Protection Agency for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until expended—
(1)$75,000,000 to make grants to States, municipalities, and nonprofit entities under the Federal Water Pollution Control Act for the construction, repair, or replacement of individual household decentralized wastewater treatment systems of eligible individuals (as such term is defined in section 603(j) of the Federal Water Pollution Control Act (33 U.S.C. 1383(j))); and
(2)$75,000,000 to make grants to States, municipalities, and nonprofit entities under such Act for the construction, repair, or replacement of individual household decentralized wastewater treatment systems of eligible individuals (as so defined) residing in households that are not connected to a system or technology designed to treat domestic sewage, including eligible individuals using household cesspools.
(b)Of the amounts made available under subsection (a), the Administrator of the Environmental Protection Agency shall reserve 7 percent for the administrative costs of carrying out this section.
110017.The Administrator of the Federal Emergency Management Agency may provide financial assistance through September 30, 2026, pursuant to section 203(h), 404(a), and 406(b) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5133(h); 42 U.S.C. 5170c(a); 42 U.S.C. 5172(b)) for—
(1)costs associated with low-carbon materials; and
(2)incentives that encourage low-carbon and net-zero energy projects, which may include an increase in the Federal cost share.
110018.Environmental review implementation funds
(a)Chapter 1 of title 23, United States Code, is further amended by adding at the end the following:
179.Environmental review implementation funds
(a)In addition to amounts otherwise available, for fiscal year 2022, there is appropriated to the Administrator, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2026, for the purpose of facilitating the development and review of documents for the environmental review process for proposed projects, including through—
(1)the provision of guidance, technical assistance, templates, training, or tools to facilitate an efficient and effective environmental review process for surface transportation projects, including any administrative expenses of the Federal Highway Administration to conduct such activities; and
(2)providing funds made available under this subsection to eligible entities—
(A)to build capacity of such eligible entities and facilitate the environmental review process for proposed projects, including—
(i)defining the scope or study areas;
(ii)identifying impacts, mitigation measures, and reasonable alternatives;
(iii)preparing planning and environmental studies and other documents prior to and during the environmental review process, for potential use in the environmental review process in accordance with applicable statutes and regulations;
(iv)conducting public engagement activities; and
(v)carrying out other activities, including permitting activities, as the Administrator determines to be appropriate, to support the timely completion of an environmental review process required for a proposed project; and
(B)for administrative expenses of the eligible entity to conduct any of the activities described in subparagraph (A).
(b)
(1)The Federal share of the cost of an activity carried out under this section by an eligible entity shall be not more than 80 percent.
(2)The non-Federal share of the cost of an activity carried out under this section by an eligible entity may be satisfied using funds made available to the eligible entity under any other Federal, State, or local grant program, including funds made available to the eligible entity under this section or title 49.
(c)In this section:
(1)The term Administrator
means the Administrator of the Federal Highway Administration.
(2)The term eligible entity
means—
(A)a State;
(B)a unit of local government;
(C)a political subdivision of a State;
(D)a territory of the United States;
(E)an entity described in section 207(m)(1)(E);
(F)a recipient of funds under section 203; or
(G)a metropolitan planning organization (as defined in section 134(b)).
(3)Environmental review processThe term environmental review process
has the meaning given the term in section 139.
(4)The term proposed project
means a surface transportation project for which an environmental review process is required..
(b)The analysis for chapter 1 of title 23, United States Code, is further amended by adding at the end the following:
179. Environmental review implementation funds..
110019.Low-carbon transportation materials grants
(a)Chapter 1 of title 23, United States Code, is further amended by adding at the end the following:
180.Low-carbon transportation materials grants
(a)Federal highway administration appropriationIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $900,000,000, to remain available until September 30, 2026, to the Administrator to reimburse eligible recipients for the incremental costs of using low-embodied carbon construction materials and products in projects and for the administrative costs of carrying out this section.
(b)Reimbursement of incremental costs; incentives
(1)Reimbursement of incremental costs
(A)The Administrator shall, subject to the availability of funds, reimburse eligible recipients that use low-embodied carbon construction materials and products on a project funded under this title.
(B)The amount of reimbursement under subparagraph (A) shall be the incrementally higher cost of using such materials relative to the cost of using traditional materials, as determined by the eligible recipient and verified by the Administrator.
(2)If a reimbursement is provided under paragraph (1), the total Federal share payable for the project for which the reimbursement is provided shall be up to 100 percent.
(3)
(A)The Administrator shall only provide a reimbursement under paragraph (1) for a project on a—
(i)Federal-aid highway;
(ii)tribal transportation facility;
(iii)Federal lands transportation facility; or
(iv)Federal lands access transportation facility.
(B)Amounts made available under this section shall not be subject to any restriction or limitation on the total amount of funds available for implementation or execution of programs authorized for Federal-aid highways.
(C)Single occupant passenger vehiclesFunds made available under this section shall not be used for projects that result in additional through travel lanes for single occupant passenger vehicles.
(4)The Administrator shall review the low-embodied carbon construction materials and products identified by the Administrator of the Environmental Protection Agency and shall identify low-embodied carbon construction materials and products—
(A)appropriate for use in projects eligible under this title; and
(B)eligible for reimbursement under this section.
(c)In this section:
(1)The term Administrator
means the Administrator of the Federal Highway Administration.
(2)The term eligible recipient
means—
(A)a State;
(B)a unit of local government;
(C)a political subdivision of a State;
(D)a territory of the United States;
(E)an entity described in section 207(m)(1));
(F)a recipient of funds under section 203; or
(G)a special purpose district or public authority with a transportation function.
(3)The term embodied carbon
means the quantity of greenhouse gas emissions associated with all relevant stages of production of a material or product, measured in kilograms of carbon dioxide-equivalent per unit of such material or product.
(4)Low-embodied carbon construction materials and productsThe term low-embodied carbon construction materials and products
means materials and products identified by the Administrator of the Environmental Protection Agency as having substantially lower levels of embodied carbon compared to estimated industry averages of similar products or materials..
(b)The analysis for chapter 1 of title 23, United States Code, is further amended by adding at the end the following:
180. Low-carbon transportation materials grants..
XIICommittee on Veterans Affairs
120001.Department of Veterans Affairs infrastructure improvementsIn addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,417,000,000, to remain available until September 30, 2031, for facilities under the jurisdiction of, or for the use of, the Department of Veterans Affairs to carry out sections 2400, 2403, 2404, 2406, 2407, 2412, 8101, 8102 (except for section 8102(d)), 8103 (except for super construction projects as defined in section 8103(e)(3)), 8104 through 8110, 8122, and 8161 through 8169 of title 38, United States Code, taking into consideration the integration of climate resiliency into infrastructure as well as the needs of underserved areas and underserved veteran populations.
120002.Modifications to enhanced-use lease authority of department of veterans affairs
(a)Modifications to authorityParagraph (2) of section 8162(a) of title 38, United States Code, is amended to read as follows:
(2)
(A)The Secretary may enter into an enhanced-use lease on or after the date of the enactment of this paragraph only if the Secretary determines—
(i)that the lease will not be inconsistent with, and will not adversely affect—
(I)the mission of the Department; or
(II)the operation of facilities, programs, and services of the Department in the local area; and
(ii)that—
(I)the lease will enhance the use of the leased property by directly or indirectly benefitting veterans; or
(II)the leased property will provide supportive housing.
(B)The Secretary shall give priority to enhanced-use leases that, on the leased property—
(i)provide supportive housing for veterans;
(ii)provide direct services or benefits targeted to veterans; or
(iii)provide services or benefits that indirectly support veterans..
(b)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $455,000,000 for the Department of Veterans Affairs, to remain available until expended, to enter into enhanced-use leases pursuant to section 8162 of title 38, United States Code, as amended by this section.
(c)Section 8169 of such title is amended by striking December 31, 2023
and inserting September 30, 2026
.
120003.Major medical facility leases of the Department of Veterans Affairs
(a)Authority to enter into major medical facility leasesParagraph (2) of subsection (a) of section 8104 of title 38, United States Code, is amended—
(1)by striking No funds
and inserting (A) No funds
;
(2)by striking or any major medical facility lease
;
(3)by striking or lease
; and
(4)by adding at the end the following new subparagraph:
(B)Funds may be appropriated for a fiscal year, and the Secretary may obligate and expend funds, including for advance planning and design, for any major medical facility lease..
(b)Modification of definition of major medical facility leaseSubparagraph (B) of paragraph (3) of such subsection is amended to read as follows:
(B)The term major medical facility lease
—
(i)means a lease for space for use as a new medical facility approved through the General Services Administration under section 3307(a)(2) of title 40 at an average annual rent equal to or greater than the dollar threshold described in such section, which shall be subject to annual adjustment in accordance with section 3307(h) of such title; and
(ii)does not include a lease for space for use as a shared Federal medical facility for which the Department’s estimated share of the lease costs does not exceed such dollar threshold..
(c)Such section is further amended by adding at the end the following new subsection:
(i)
(1)The Secretary may carry out interim leasing actions for major medical facility leases (as defined in subsection (a)(3)(B)).
(2)In this subsection, the term interim leasing actions
has the meaning given that term by the Administrator of the General Services Administration..
(d)The amendments made by this section shall apply with respect to a major medical facility lease of the Department of Veterans Affairs that has not been specifically authorized by law on or before the date of the enactment of this Act and is included as part of the annual budget submission of the Department of Veterans Affairs for fiscal year 2022, 2023, or 2024.
(e)The Secretary of Veterans Affairs may obligate and expend funds to exercise a purchase option included in any major medical facility lease described in subsection (d).
(f)In addition to amounts otherwise available, there is appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $1,805,000,000, to remain available until expended, for major medical facility leases pursuant to subchapter I of chapter 81 of title 38, United States Code, as amended by this section, as requested in the annual budget submission of the Department of Veterans Affairs for fiscal year 2022, 2023, or 2024.
(g)Termination and restoration
(1)Effective upon the date of execution of the final lease award for leases described in subsection (d), subsections (a) through (e) of this section and the amendments made by those subsections are repealed and any provision of law amended by those subsections is restored as if those subsections had not been enacted into law.
(2)The Secretary of Veterans Affairs shall submit to Congress and the Law Revision Counsel of the House of Representatives written notification of the date specified in paragraph (1) not later than 30 days before such date.
120004.Increase in number of health professions residency positions at Department of Veterans Affairs medical facilities
(a)In carrying out section 7302(a)(1) of title 38, United States Code, during the seven-year period beginning on the day that is one year after the date of the enactment of this Act, the Secretary of Veterans Affairs shall increase the number of health professions residency positions at medical facilities of the Department of Veterans Affairs by not more than 500 positions (which shall be allocated among occupations included in the most current determination published in the Federal Register pursuant to section 7412(a) of such title, or allocated pursuant to a prioritization by the Secretary of occupations in primary care, mental health care, and any other health professions occupation the Secretary determines appropriate) through the establishment of such new positions at—
(1)medical facilities where the Secretary established such positions pursuant to section 301(b)(2) of the Veterans Access, Choice, and Accountability Act of 2014 (Public Law 113–146; 38 U.S.C. 7302 note); or
(2)any medical facility—
(A)the director of which expresses an interest in establishing or expanding a health professions residency program at the medical facility; or
(B)that is located in a community that has a high concentration of veterans or is experiencing a shortage of health care professionals.
(b)In addition to amounts otherwise available, there is appropriated to the Department of Veterans Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $268,000,000, to remain available until September 30, 2029, for the purpose of carrying out this section.
120005.In addition to amounts otherwise available, there is appropriated to the Veterans Benefits Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $50,000,000, to remain available until September 30, 2023, for costs of record scanning and claims processing, to carry out sections 7701 and 7703 of title 38, United States Code.
120006.Funding for Department Of Veterans Affairs Office of Inspector GeneralIn addition to amounts otherwise available, there is appropriated to the Office of Inspector General of the Department of Veterans Affairs for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, to remain available until September 30, 2031, for audits, investigations, and other oversight of projects and activities carried out with funds made available to the Department of Veterans Affairs.
XIIICommittee on Ways and Means
A
1Provisions Relating to Pathways to Health Careers
134101.Pathways to Health CareersEffective October 1, 2021, title XX of the Social Security Act (42 U.S.C. 1397-1397n–13) is amended by adding at the end the following:
DCareer pathways through health profession opportunity grants
2071.Career pathways through health profession opportunity grants
(a)An eligible entity desiring a grant under this section for a project shall submit to the Secretary an application for the grant, that includes the following:
(1)A description of how the applicant will use a career pathways approach to train eligible individuals for health professions that will put eligible individuals on a career path to an occupation that pays well, under the project.
(2)A description of the adult basic education and literacy activities, work readiness activities, training activities, and case management and career coaching services that the applicant will use to assist eligible individuals to gain work experience, connection to employers, and job placement, and a description of the plan for recruiting, hiring, and training staff to provide the case management, mentoring, and career coaching services, under the project directly or through local governmental, apprenticeship, educational, or charitable institutions.
(3)A demonstration that the applicant has experience working with low-income populations, or a description of the plan of the applicant to work with a partner organization that has the experience.
(4)A plan for providing post-employment support and ongoing training as part of a career pathway under the project.
(5)A description of the support services that the applicant will provide under the project, including a plan for how child care and transportation support services will be guaranteed and, if the applicant will provide a cash stipend or wage supplement, how the stipend or supplement would be calculated and distributed.
(6)A certification by the applicant that the project development included—
(A)consultation or commitment to consult with a local workforce development board;
(B)consideration of registered apprenticeship and pre-apprenticeship models;
(C)consideration of career pathway programs in the State in which the project is to be conducted; and
(D)a review of the State plan under section 102 or 103 of the Workforce Innovation and Opportunity Act.
(7)A description of the availability and relevance of recent labor market information and other pertinent evidence of in-demand jobs or worker shortages.
(8)A certification that the applicant will directly provide or contract for the training services described in the application.
(9)A commitment by the applicant that, if the grant is made to the applicant, the applicant will—
(A)during the planning period for the project, provide the Secretary with any information needed by the Secretary to establish adequate data reporting and administrative structure for the project;
(B)hire a person to direct the project not later than the end of the planning period applicable to the project;
(C)accept all technical assistance offered by the Secretary with respect to the grant;
(D)participate in peer technical assistance conferences as are regularly scheduled by the Secretary; and
(E)provide all data required by the Secretary under subsection (g).
(b)Additional application elementIn considering applications for a grant under this section, the Secretary shall require qualified applicants to have at least 1 of the following application elements—
(1)applications submitted by applicants to whom a grant was made under this section or any predecessor to this section;
(2)applications submitted by applicants who have business and community partners in each of the following categories:
(A)State and local government agencies and social service providers, including a State or local entity that administers a State program funded under part A of this title;
(B)institutions of higher education, apprenticeship programs, and local workforce development boards; and
(C)health care employers, health care industry or sector partnerships, labor unions, and labor-management partnerships;
(3)applications that include opportunities for mentoring or peer support, and make career coaching available, as part of the case management plan;
(4)applications which describe a project that will serve a rural area in which—
(A)the community in which the individuals to be enrolled in the project reside is located;
(B)the project will be conducted; or
(C)an employer partnership that has committed to hiring individuals who successfully complete all activities under the project is located;
(5)applications that include a commitment to providing project participants with a cash stipend or wage supplement; and
(6)applications which have an emergency cash fund to assist project participants financially in emergency situations.
(c)
(1)
(A)
(i)The Secretary shall make a grant in accordance with this paragraph to an eligible entity whose application for the grant is approved by the Secretary, to conduct a project designed to train low-income individuals for allied health professions, health information technology, physician assistants, nursing assistants, registered nurse, advanced practice nurse, and other professions considered part of a health care career pathway model.
(ii)Guarantee of grantees in each state and the district of columbiaFor each grant cycle, the Secretary shall award a grant under this paragraph to at least 2 eligible entities in each State that is not a territory, to the extent there are a sufficient number of applications that have a high likelihood of success and that are submitted by the entities that meet the requirements applicable with respect to such a grant. If, for a grant cycle, there are fewer than 2 such eligible entities in a State that have submitted applications with a high likelihood of success, the Secretary shall identify qualified eligible applicants located elsewhere, that are otherwise approved but un-funded, and issue a Substitution of Grant and tailored technical assistance. In the preceding sentence, the term issue a Substitution of Grant
means, in a case in which an approved grantee does not complete its full project period, or in which there are fewer than 2 qualified grantees per State with a high likelihood of success, substitute an applicant located in another State that was approved but un-funded during the competition for the award for the award recipient.
(B)Guarantee of grants for indian populationsThe Secretary shall award a grant under this paragraph to at least 10 eligible entities that are an Indian tribe, a tribal organization, or a tribal college or university, to the extent there are a sufficient number of applications submitted by the entities that meet the requirements applicable with respect to such a grant.
(C)Guarantee of grantees in the territoriesThe Secretary shall award a grant under this paragraph to at least 2 eligible entities that are located in a territory, to the extent there are a sufficient number of applications submitted by the entities that meet the requirements applicable with respect to such a grant.
(2)The grant cycle under this section shall be not less than 5 years, with a planning period of not more than the first 12 months of the grant cycle. During the planning period, the amount of the grant shall be in such lesser amount as the Secretary determines appropriate.
(d)
(1)An entity to which a grant is made under this section shall use the grant in accordance with the approved application for the grant.
(2)
(A)A project for which a grant is made under this section shall include the following:
(i)An assessment for adult basic skill competency, and provision of adult basic skills education if necessary for lower-skilled eligible individuals to enroll in the project and go on to enter and complete post-secondary training, through means including the following:
(I)Establishing a network of partners that offer pre-training activities for project participants who need to improve basic academic skills or English language proficiency before entering a health occupational training career pathway program.
(II)Offering resources to enable project participants to continue advancing adult basic skill proficiency while enrolled in a career pathway program.
(III)Embedding adult basic skill maintenance as part of ongoing post-graduation career coaching and mentoring.
(ii)A guarantee that child care is an available and affordable support service for project participants through means such as the following:
(I)Referral to, and assistance with, enrollment in a subsidized child care program.
(II)Direct payment to a child care provider if a slot in a subsidized child care program is not available or reasonably accessible.
(III)Payment of co-payments or associated fees for child care.
(iii)Case management plans that include career coaching (with the option to offer appropriate peer support and mentoring opportunities to help develop soft skills and social capital), which may be offered on an ongoing basis before, during, and after initial training as part of a career pathway model.
(iv)A plan to provide project participants with transportation through means such as the following:
(I)Referral to, and assistance with enrollment in, a subsidized transportation program.
(II)If a subsidized transportation program is not reasonably available, direct payments to subsidize transportation costs.For purposes of this clause, the term transportation includes public transit, or gasoline for a personal vehicle if public transit is not reasonably accessible or available.
(B)The goods and services provided under a project for which a grant is made under this section may include the following:
(i)A cash stipend.
(ii)A reserve fund for financial assistance to project participants in emergency situations.
(iii)Tuition, certification exam fees, and training materials such as books, software, uniforms, shoes, connection to the internet, hair nets, and personal protective equipment.
(iv)In-kind resource donations such as interview clothing and conference attendance fees.
(v)Assistance with accessing and completing high school equivalency or adult basic education courses as necessary to achieve success in the project and make progress toward career goals.
(vi)Assistance with programs and activities, including legal assistance, deemed necessary to address arrest or conviction records as an employment barrier.
(vii)Other support services as deemed necessary for family well-being, success in the project, and progress toward career goals.
(3)The number of hours of training provided to an eligible individual under a project for which a grant is made under this section, for a recognized postsecondary credential (including an industry-recognized credential, and a certificate awarded by a local workforce development board), which is awarded in recognition of attainment of measurable technical or occupational skills necessary to gain employment or advance within an occupation, shall be—
(A)not less than the number of hours of training required for certification in that level of skill by the State in which the project is conducted; or
(B)if there is no such requirement, such number of hours of training as the Secretary finds is necessary to achieve that skill level.
(4)Inclusion of TANF recipientsIn the case of a project for which a grant is made under this section that is conducted in a State that has a program funded under part A of title IV, at least 10 percent of the eligible individuals to whom support is provided under the project shall meet the income eligibility requirements under that State program, without regard to whether the individuals receive benefits or services directly under that State program.
(5)An entity to which a grant is made under this section shall not use the grant to provide support to a person who is not an eligible individual.
(6)An entity to which a grant is made under this section shall not use the grant for purposes of entertainment, except that case management and career coaching services may include celebrations of specific career-based milestones such as completing a semester, graduation, or job placement.
(e)
(1)The Secretary shall provide technical assistance—
(A)to assist eligible entities in applying for grants under this section;
(B)that is tailored to meet the needs of grantees at each stage of the administration of projects for which grants are made under this section;
(C)that is tailored to meet the specific needs of Indian tribes, tribal organizations, and tribal colleges and universities;
(D)that is tailored to meet the specific needs of the territories;
(E)that is tailored to meet the specific needs of applicants, eligible entities, and grantees, in carrying out dedicated career pathway projects pursuant to subsections (h) and (i); and
(F)to facilitate the exchange of information among eligible entities regarding best practices and promising practices used in the projects.
(2)Continuation of peer technical assistance conferencesThe Secretary shall continue to hold peer technical assistance conferences for entities to which a grant is made under this section or was made under the immediate predecessor of this section. The preceding sentence shall not be interpreted to require any such conference to be held in person.
(f)Evaluation of dedicated career pathways
(1)The Secretary shall, by grant, contract, or interagency agreement, conduct rigorous and well-designed evaluations of the dedicated career pathway projects carried out pursuant to subsections (h) and (i).
(2)Requirement applicable to second chance career pathwayIn the case of a project of the type described in subsection (i), the evaluation shall include identification of successful activities for creating opportunities for developing and sustaining, particularly with respect to low-income individuals with arrest or conviction records, a health professions workforce that has accessible entry points, that meets high standards for education, training, certification, and professional development, and that provides increased wages and affordable benefits, including health care coverage, that are responsive to the needs of the workforce.
(3)Requirement applicable to maternal mortality career pathwayIn the case of a project of the type described in subsection (h), the evaluation shall include identification of successful activities for creating opportunities for developing and sustaining, particularly with respect to low-income individuals and other entry-level workers, a career pathway that has accessible entry points, that meets high standards for education, training, certification, and professional development, and that provides increased wages and affordable benefits, including health care coverage, that are responsive to the needs of the birth, pregnancy, and post-partum workforce.
(g)As a condition of funding, an eligible entity awarded a grant to conduct a project under this section shall submit interim reports to the Secretary on the activities carried out under the project, and, on the conclusion of the project, a final report on the activities.
(h)Maternal mortality career pathway
(1)The Secretary shall award grants in accordance with this subsection to eligible entities to conduct career pathway projects for the purpose of providing education for professions such as doulas, lactation consultants, childbirth educators, infant massage therapists, newborn care specialists, midwives, and other community health worker professions, for individuals to enter and follow a dedicated career pathway in the field of pregnancy, childbirth, or post-partum services in a State that recognizes doulas or midwives as health care providers and that provides payment for services provided by doulas or midwives, as the case may be, under the State plan approved under title XIX.
(2)A grant awarded under this subsection shall have the same grant cycle as is provided in subsection (c)(2), and as a condition of funding the grantee shall comply with all data reporting requirements associated with the grant cycle.
(3)An entity seeking a grant under this subsection for a project shall submit to the Secretary an application for the grant, that includes the following:
(A)A description of the partnerships, strategic staff hiring decisions, tailored program activities, or other programmatic elements of the project that are designed to support a strong career pathway in pregnancy, birth, or post-partum services.
(B)A demonstration that the State in which the project is to be conducted recognizes and permits doulas and midwives to practice in the State.
(C)A demonstration that the applicant has experience working with low-income populations, or a description of the plan of the applicant to work with a partner that has the experience.
(4)The recipient of a grant under this subsection for a project shall provide required supportive services described in subsection (d)(2)(A) to project participants who need the services, and may expend the funding on eligible supportive services described in subsection (d)(2)(B).
(i)Second chance career pathway
(1)The Secretary shall award grants in accordance with this subsection to eligible entities to conduct career pathway projects for the purpose of providing education and training for eligible individuals with arrest or conviction records to enter and follow a career pathway in the health professions through occupations that are expected to experience a labor shortage or be in high demand.
(2)A grant awarded under this subsection shall have the same grant cycle as is provided in subsection (c)(2), and as a condition of funding the grantee shall comply with all data reporting requirements associated with the grant cycle.
(3)An entity seeking a grant under this subsection for a project shall submit to the Secretary an application for the grant, that includes the following:
(A)A demonstration that the State in which the project is to be conducted has in effect policies or laws that permit certain allied health and behavioral health care credentials to be awarded to people with certain arrest or conviction records (which policies or laws shall include appeals processes and other opportunities to demonstrate rehabilitation to obtain licensure and approval to work in the proposed health careers), and a plan described in the application which will use a legally permitted career pathway to train people with such a record to be trained and employed in such a career.
(B)A discussion of how the project or future strategic hiring decisions will demonstrate the experience and expertise of the project in working with job seekers who have arrest or conviction records or employers with experience working with people with arrest or conviction records.
(C)A demonstration that the applicant has experience working with low-income populations, or a description of the plan of the applicant to work with a partner that has the experience.
(D)An identification of promising innovations or best practices that can be used to provide the training.
(E)A proof of concept or demonstration that the applicant has done sufficient research on workforce shortage or in-demand jobs for which people with certain types of criminal records can be hired.
(F)A plan for recruiting students who are eligible individuals into the project.
(G)A plan for providing post-employment support and ongoing training as part of a career pathway under the project.
(4)
(A)A recipient of a grant under this subsection for a project shall provide—
(i)access to legal assistance for project participants for the purpose of addressing arrest or conviction records and associated workforce barriers;
(ii)assistance with programs and activities deemed necessary to address arrest or conviction records as an employment barrier;
(iii)required supportive services described in subsection (d)(2)(A) to participants who need the services, and may expend funds on eligible supportive services described in subsection (d)(2)(B).
(j)In this section:
(1)The term allied health profession has the meaning given in section 799B(5) of the Public Health Service Act.
(2)The term career pathway has the meaning given that term in section 3(7) of the Workforce Innovation and Opportunity Act.
(3)The term doula means an individual who—
(A)is certified by an organization that has been established for not less than 5 years and that requires the completion of continuing education to maintain the certification, to provide non-medical advice, information, emotional support, and physical comfort to an individual during the individual’s pregnancy, childbirth, and post-partum period; and
(B)maintains the certification by completing the required continuing education.
(4)The term eligible entity means any of the following entities that demonstrates in an application submitted under this section that the entity has the capacity to fully develop and administer the project described in the application:
(A)A local workforce development board established under section 107 of the Workforce Innovation and Opportunity Act.
(B)A State or territory, a political subdivision of a State or territory, or an agency of a State, territory, or such a political subdivision, including a State or local entity that administers a State program funded under part A of this title.
(C)An Indian tribe, a tribal organization, or a tribal college or university.
(D)An institution of higher education (as defined in the Higher Education Act of 1965).
(E)A hospital (as defined in section 1861(e)).
(F)A high-quality skilled nursing facility.
(G)A Federally qualified health center (as defined in section 1861(aa)(4)).
(H)A nonprofit organization described in section 501(c)(3) of the Internal Revenue Code of 1986, a labor organization, or an entity with shared labor-management oversight, that has a demonstrated history of providing health profession training to eligible individuals.
(I)In the case of a project of the type provided for in subsection (h) of this section, an entity recognized by a State, Indian tribe, or tribal organization as qualified to train doulas or midwives, if midwives or doulas, as the case may be, are permitted to practice in the State involved.
(J)An opioid treatment program (as defined in section 1861(jjj)(2)), and other high quality comprehensive addiction care providers.
(5)The term eligible individual means an individual whose family income does not exceed 200 percent of the Federal poverty level.
(6)The term Federal poverty level means the poverty line (as defined in section 673(2) of the Omnibus Budget Reconciliation Act of 1981, including any revision required by such section applicable to a family of the size involved).
(7)Indian tribe; tribal organizationThe terms Indian tribe and tribal organization have the meaning given the terms in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450b).
(8)Institution of higher educationThe term institution of higher education has the meaning given the term in section 101 or 102(a)(1)(B) of the Higher Education Act of 1965.
(9)The term territory means the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, the Northern Mariana Islands, and American Samoa.
(10)Tribal college or universityThe term tribal college or university has the meaning given the term in section 316(b) of the Higher Education Act of 1965.
(k)In addition to amounts otherwise available, there is appropriated to the Secretary—
(1)$318,750,000 for grants under subsection (c)(1)(A) for each of fiscal years 2022 through 2026;
(2)$17,000,000 for grants under subsection (c)(1)(B) for each of fiscal years 2022 through 2026;
(3)$21,250,000 for grants under subsection (c)(1)(C) for each of fiscal years 2022 through 2026;
(4)$25,500,000 for projects conducted under subsections (h) and (i) for each of fiscal years 2023 through 2026;
(5)$25,500,000, plus all amounts referred to in paragraphs (1) through (4) of this subsection that remain unused after all grant awards are made for the fiscal year, for each of fiscal years 2022 through 2026, for the provision of technical assistance and administration; and
(6)$17,000,000 for each of fiscal years 2022 through 2026 for studying the effects of the projects for which a grant is made under this section, and for administration, for the purpose of supporting the rigorous evaluation of the projects, and supporting the continued study of the short-, medium-, and long-term effects of all such projects, including the effectiveness of new or added elements of the projects..
2Provisions Relating to Elder Justice
134201.Reauthorization of funding for programs to prevent and investigate elder abuse, neglect, and exploitation
(a)Long-term care staff training grantsSection 2041 of the Social Security Act (42 U.S.C. 1397m) is amended to read as follows:
2041.Nursing home worker training grants
(a)Out of any funds in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there is appropriated to the Secretary for each of fiscal years 2023 through 2026—
(1)$392,000,000 for grants under subsection (b)(1); and
(2)$8,000,000 for grants under subsection (b)(2).
(b)
(1)
(A)Each State shall be entitled to receive from the Secretary for each fiscal year specified in subsection (a) a grant in an amount equal to the amount allotted to the State under subparagraph (B) of this paragraph.
(B)The amount allotted to a State under this subparagraph for a fiscal year shall be—
(i)the amount made available by subsection (a) for the fiscal year that is not required to be reserved by subsection (a); multiplied by
(ii)
(I)the number of State residents who have attained 65 years of age or are individuals with a disability, as determined by the Secretary using the most recent version of the American Community Survey published by the Bureau of the Census or a successor data set; divided by
(II)the total number of such residents of all States.
(2)Grants to Indian tribes and tribal organizations
(A)The Secretary, in consultation with the Indian tribes and tribal organizations, shall make grants in accordance with this section to Indian tribes and tribal organizations who operate at least 1 eligible setting.
(B)The Secretary, in consultation with the Indian tribes and tribal organizations, shall devise a formula for distributing among Indian tribes and tribal organizations the amount required to be reserved by subsection (a) for each fiscal year.
(3)A State, Indian tribe, or tribal organization to which an amount is paid under this paragraph may use the amount to make sub-grants to local organizations, including community organizations, local non-profits, elder rights and justice groups, and workforce development boards for any purpose described in paragraph (1) or (2) of subsection (c).
(c)
(1)A State to which an amount is paid under subsection (b) shall use the amount to—
(A)provide wage subsidies to eligible individuals;
(B)provide student loan repayment or tuition assistance to eligible individuals for a degree or certification in a field relevant to their position referred to in subsection (f)(1)(A);
(C)guarantee affordable and accessible child care for eligible individuals, including help with referrals, co-pays, or other direct assistance; and
(D)provide assistance where necessary with obtaining appropriate transportation, including public transportation if available, or gas money or transit vouchers for ride share, taxis, and similar types of transportation if public transportation is unavailable or impractical based on work hours or location.
(2)A State to which an amount is paid under subsection (b) may use the amount to—
(A)establish a reserve fund for financial assistance to eligible individuals in emergency situations;
(B)provide in-kind resource donations, such as interview clothing and conference attendance fees;
(C)provide assistance with programs and activities, including legal assistance, deemed necessary to address arrest or conviction records that are an employment barrier;
(D)support employers operating an eligible setting in the State in providing employees with not less than 2 weeks of paid leave per year; or
(E)provide other support services the Secretary deems necessary to allow for successful recruitment and retention of workers.
(3)Provision of funds only for the benefit of eligible individuals in eligible settingsA State to which an amount is paid under subsection (b) may provide the amount to only an eligible individual or a partner organization serving an eligible individual.
(4)A State to which an amount is paid under subsection (b) shall not use the amount to supplant the expenditure of any State funds for recruiting or retaining employees in an eligible setting.
(d)A State to which a grant is made under subsection (b) shall reserve not more than 10 percent of the grant to—
(1)administer subgrants in accordance with this section;
(2)provide technical assistance and support for applying for and accessing such a subgrant opportunity;
(3)publicize the availability of the subgrants;
(4)carry out activities to increase the supply of eligible individuals; and
(5)provide technical assistance to help subgrantees find and train individuals to provide the services for which they are contracted.
(e)In this section:
(1)The term eligible individual means an individual who—
(A)
(i)is a qualified home health aide, as defined in section 484.80(a) of title 42, Code of Federal Regulations;
(ii)is a nurse aide approved by the State as meeting the requirements of sections 483.150 through 483.154 of such title, and is listed in good standing on the State nurse aide registry;
(iii)is a personal care aide approved by the State, and furnishes personal care services, as defined in section 440.167 of such title;
(iv)is a qualified hospice aide, as defined in section 418.76 of such title; or
(v)is a licensed practical nurse or a licensed or certified social worker; or
(vi)is receiving training to be certified or licensed as such an aide, nurse, or social worker; and
(B)provides (or, in the case of a trainee, intends to provide) services as such an aide, nurse, or social worker in an eligible setting.
(2)The term eligible setting means—
(A)a skilled nursing facility, as defined in section 1819;
(B)a nursing facility, as defined in section 1919;
(C)a home health agency, as defined in section 1891;
(D)a facility provider approved to deliver home or community-based services authorized under State options described in subsection (c) or (i) of section 1915 or, as relevant, demonstration projects authorized under section 1115;
(E)a hospice, as defined in section 1814; or
(F)a tribal assisted living facility.
(3)The term tribal organization has the meaning given the term in section 4 of the Indian Self-Determination and Education Assistance Act..
(b)Adult protective services functions and grant programs
(1)Direct funding; State entitlementSection 2042 of the Social Security Act (42 U.S.C. 1397m–1) is amended—
(A)in subsection (a)—
(i)in paragraph (1)(A)—
(I)by striking offices
and inserting programs
; and
(II)by inserting and adults who are under a disability (as defined in section 216(i)(1))
before the semicolon; and
(ii)by striking paragraph (2) and inserting the following:
(2)Out of any money in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there are appropriated to the Secretary $8,000,000 for each of fiscal years 2023 through 2025 to carry out this subsection.;
(B)in subsection (b)—
(i)in paragraph (2)—
(I)in subparagraph (A), by striking the availability of appropriations and
; and
(II)in subparagraph (B)—
- (aa)in the heading for clause (i), by inserting
and the district of columbia
after States
; and
- (bb)in clause (ii), by inserting
or the District of Columbia
after States
; and
(ii)by striking paragraph (5) and inserting the following:
(5)Out of any money in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there are appropriated to the Secretary for each of fiscal years 2023 through 2025—
(A)$392,000,000 for grants to States under this subsection; and
(B)$8,000,000 for grants to Indian tribes and tribal organizations under this subsection.; and
(C)in subsection (c), by striking paragraph (6) and inserting the following:
(6)Out of any money in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there are appropriated to the Secretary $75,000,000 for each of fiscal years 2023 through 2025 to carry out this subsection..
(2)State entitlement; grants to Indian tribes and tribal organizationsSection 2042 of such Act (42 U.S.C. 1397m–1) is amended—
(A)in subsection (a)(1)(A), by striking State and local
and inserting State, local, and tribal
;
(B)in subsection (b)(1), by striking the Secretary shall annually award grants to States in the amounts calculated under paragraph (2)
and inserting each State shall be entitled to annually receive from the Secretary in the amounts calculated under paragraph (2), and the Secretary may annually award to each Indian tribe and tribal organization in accordance with paragraph (3), grants
;
(C)in subsection (b)(2)—
(i)in the paragraph heading, by inserting for a State
after payment
;
(ii)in subparagraph (A), by striking to carry out
and inserting for grants to States under
; and
(iii)in subparagraph (B)(i), by striking such year
and inserting for grants to States under this subsection for the fiscal year
; and
(D)in subsection (b), by redesignating paragraphs (3) through (5) as paragraphs (4) through (6), respectively, and inserting after paragraph (2) the following:
(3)Amount of payment to Indian tribe or tribal organizationThe Secretary, in consultation with Indian tribes and tribal organizations, shall determine the amount of any grant to be made to each Indian tribe and tribal organization under this subsection. Paragraphs (4) and (5) shall apply to grantees under this paragraph in the same manner in which the paragraphs apply to States.;
(E)in subsection (c)—
(i)in paragraph (1), by striking to States
and inserting to States, Indian tribes, and tribal organizations
;
(ii)in paragraph (2)—
(I)in the matter preceding subparagraph (A), by inserting and Indian tribes and tribal organizations
after government
; and
(II)in subparagraph (D), by inserting or Indian tribe or tribal organization, as the case may be
after government
;
(iii)in paragraph (4), by inserting or Indian tribe or tribal organization
after a State
the 1st place it appears; and
(iv)in paragraph (5)—
(I)by inserting or Indian tribe or tribal organization
after Each State
; and
(II)by inserting or Indian tribe or tribal organization, as the case may be
after the State
; and
(F)by adding at the end the following:
(d)Definitions of Indian tribe and tribal organizationIn this section, the terms Indian tribe and tribal organization have the meanings given the terms in section 419..
(3)Section 2011(2) of such Act (42 U.S.C. 1397j(2)) is amended by striking such services provided to adults as the Secretary may specify
and inserting services provided by an entity authorized by or under State law address neglect, abuse, and exploitation of older adults and people with disabilities
.
(c)Long-term care ombudsman program grants and trainingSection 2043 of the Social Security Act (42 U.S.C. 1397m–2) is amended—
(1)in subsection (a), by striking paragraph (2) and inserting the following:
(2)Out of any money in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there are appropriated to the Secretary to carry out this subsection—
(A)$22,500,000 for fiscal year 2023; and
(B)$30,000,000 for each of fiscal years 2024 and 2025.; and
(2)in subsection (b), by striking paragraph (2) and inserting the following:
(2)Out of any money in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there are appropriated to the Secretary $30,000,000 for each of fiscal years 2023 through 2025 to carry out this subsection..
(d)Incentives for developing and sustaining structural competency in providing health and human servicesPart II of subtitle B of title XX of the Social Security Act (42 U.S.C. 1397m-1397m–5) is amended by adding at the end the following:
2047.Incentives for developing and sustaining structural competency in providing health and human services
(a)Grants to States to support linkages to legal services and medical legal partnerships
(1)Out of any money in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there are appropriated to the Secretary $500,000,000 for fiscal year 2023, to remain available for the purposes of this subsection through fiscal year 2028.
(2)Within 2 years after the date of the enactment of this section, the Secretary shall establish and administer a program of grants to States to support the adoption of evidence-based approaches to establishing or improving and maintaining real-time linkages between health and social services and supports for vulnerable elders or in conjunction with authorized representatives of vulnerable elders, including through the following:
(A)Medical-legal partnershipsThe establishment and support of medical-legal partnerships, the incorporation of the partnerships in the elder justice framework and health and human services safety net, and the implementation and operation of such a partnership by an eligible grantee—
(i)at the option of a State, in conjunction with an area agency on aging;
(ii)in a solo provider practice in a health professional shortage area (as defined in section 332(a) of the Public Health Service Act), a medically underserved community (as defined in section 399V of such Act), or a rural area (as defined in section 330J of such Act);
(iii)in a minority-serving institution of higher learning with health, law, and social services professional programs;
(iv)in a federally qualified health center, as described in section 330 of the Public Health Service Act, or look-alike, as described in section 1905(l)(2)(B) of this Act; or
(v)in certain hospitals that are critical access hospitals, Medicare-dependent hospitals, sole community hospitals, rural emergency hospitals, or that serve a high proportion of Medicare or Medicaid patients.
(B)Legal hotlines development or expansionThe provision of incentives to develop, enhance, and integrate platforms, such as legal assistance hotlines, that help to facilitate the identification of older adults who could benefit from linkages to available legal services such as those described in subparagraph (A).
(3)Each State to which a grant is made under this subsection shall submit to the Secretary biannual reports on the activities carried out by the State pursuant to this subsection, which shall include assessments of the effectiveness of the activities with respect to—
(A)the number of unique individuals identified through the mechanism outlined in paragraph (2)(B) who are referred to services described in paragraph (2)(A), and the average time period associated with resolving issues;
(B)the success rate for referrals to community-based resources; and
(C)other factors determined relevant by the Secretary.
(4)The Secretary shall, by grant, contract, or interagency agreement, evaluate the activities conducted pursuant to this subsection, which shall include a comparison among the States.
(5)Support provided to area agencies on aging, State units on aging, eligible entities, or other community-based organizations pursuant to this subsection shall be used to supplement and not supplant any other Federal, State, or local funds expended to provide the same or comparable services described in this subsection.
(b)Grants and training to support area agencies on aging or other community-based organizations to address social isolation among vulnerable older adults and people with disabilities
(1)Out of any money in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there are appropriated to the Secretary $250,000,000 for fiscal year 2023, to remain available for the purposes of this subsection through fiscal year 2028.
(2)The Secretary shall make grants to eligible area agencies on aging or other community-based organizations for the purpose of—
(A)conducting outreach to individuals at risk for, or already experiencing, social isolation or loneliness, through established screening tools or other methods identified by the Secretary;
(B)developing community-based interventions for the purposes of mitigating loneliness or social isolation (including evidence-based programs, as defined by the Secretary, developed with multi-stakeholder input for the purposes of promoting social connection, mitigating social isolation or loneliness, or preventing social isolation or loneliness) among at-risk individuals;
(C)connecting at-risk individuals with community social and clinical supports; and
(D)evaluating the effect of programs developed and implemented under subparagraphs (B) and (C).
(3)The Secretary shall establish programs to provide and improve training for area agencies on aging or community-based organizations with respect to addressing and preventing social isolation and loneliness among older adults and people with disabilities.
(4)Not later than 3 years after the date of the enactment of this section and at least once after fiscal year 2025, the Secretary shall submit to the Congress a written report which assesses the extent to which the programs established under this subsection address social isolation and loneliness among older adults and people with disabilities.
(5)The Secretary shall coordinate with resource centers, grant programs, or other funding mechanisms established under section 411(a)(18) of the Older Americans Act (42 U.S.C. 3032(a)(18)), section 417(a)(1) of such Act (42 U.S.C. 3032F(a)(1)), or other programs as determined by the Secretary.
(c)In this section:
(1)The term area agency on aging means an area agency on aging designated under section 305 of the Older Americans Act of 1965.
(2)The term social isolation means objectively being alone, or having few relationships or infrequent social contact.
(3)The term loneliness means subjectively feeling alone, or the discrepancy between one’s desired level of social connection and one’s actual level of social connection.
(4)The term social connection means the variety of ways one can connect to others socially, through physical, behavioral, social–cognitive, and emotional channels.
(5)Community-based organizationThe term community-based organization includes, except as otherwise provided by the Secretary, a nonprofit community-based organization, a consortium of nonprofit community-based organizations, a national nonprofit organization acting as an intermediary for a community-based organization, or a community-based organization that has a fiscal sponsor that allows the organization to function as an organization described in section 501(c)(3) of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code..
(e)Section 2011(12)(A) of the Social Security Act (42 U.S.C. 1397j(12)(A)) is amended by striking 450b
and inserting 5304
.
134202.Appropriation for assessmentsOut of any money in the Treasury not otherwise appropriated, in addition to amounts otherwise available, there are appropriated to the Secretary of Health and Human Services $5,000,000 for each of fiscal years 2023 through 2026 to prepare and submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate, not later than 3 years after the date of enactment of this Act, and at least once after fiscal year 2025, reports on the programs, coordinating bodies, registries, and activities established or authorized under subtitle B of title XX of the Social Security Act or section 6703(b) of the Patient Protection and Affordable Care Act (42 U.S.C. 1395i–3a), which shall assess the extent to which such programs, coordinating bodies, registries, and activities have improved access to, and the quality of, resources available to aging Americans and their caregivers to ultimately prevent, detect, and treat abuse, neglect, and exploitation, and shall include, as appropriate, recommendations to Congress on funding levels and policy changes to help these programs, coordinating bodies, registries, and activities better prevent, detect, and treat abuse, neglect, and exploitation of aging Americans.
3Skilled Nursing Facilities
134301.Funding to improve the accuracy and reliability of certain skilled nursing facility dataSection 1888 of the Social Security Act (42 U.S.C. 1395yy) is amended—
(1)in subsection (h)(12)—
(A)in subparagraph (A), by striking and the data submitted under subsection (e)(6) a process to validate such measures and data
and inserting , the data submitted under subsection (e)(6), and, during the period beginning with fiscal year 2024 and ending with fiscal year 2031, the resident assessment data described in section 1819(b)(3) and the direct care staffing information described in section 1128I(g) a process to validate such measures, data, and information
; and
(B)in subparagraph (B)—
(i)by striking Funding.—For purposes
and inserting
Funding.—
(i)Fiscal years 2023 through 2025For purposes; and
(ii)by adding at the end the following new clause:
(ii)Fiscal years 2026 through 2031There is appropriated to the Secretary, out of any monies in the Treasury not otherwise appropriated, $50,000,000 for the period of fiscal years 2026 through 2031 for purposes of carrying out this paragraph.; and
(2)in subsection (e)(6)(A)—
(A)in the header, by striking for failure to report
; and
(B)in clause (i)—
(i)by striking For fiscal years beginning with fiscal year 2018, in the case of a skilled nursing facility that does not submit
and inserting the following:
(I)For fiscal years beginning with fiscal year 2018, in the case of a skilled nursing facility that does not submit quality measure data specified by the Secretary and; and
(ii)by adding at the end the following new subclause:
(II)Reporting of inaccurate informationFor fiscal years during the period beginning with fiscal year 2026 and ending with fiscal year 2031, in the case of a skilled nursing facility that submits data under this paragraph, measures under subsection (h), resident assessment data described in section 1819(b)(3), or direct care staffing information described in section 1128I(g) with respect to such fiscal year that is inaccurate (as determined by the Secretary through the validation process described in section 1888(h)(12) or otherwise), after determining the percentage described in paragraph (5)(B)(i), and after application of clauses (ii) and (iii) of paragraph (5)(B) and of subclause (I) of this clause (if applicable), the Secretary shall reduce such percentage for payment rates during such fiscal year by 2 percentage points..
134302.Ensuring accurate information on cost reportsSection 1888(f) of the Social Security Act (42 U.S.C. 1395yy(f)) is amended by adding at the end the following new paragraph:
(5)There is appropriated to the Secretary, out of any monies in the Treasury not otherwise appropriated, $250,000,000 for fiscal year 2023 to remain available until expended, for purposes of conducting an annual audit (beginning with 2023 and ending with 2031) of cost reports submitted under this title for a representative sample of skilled nursing facilities..
134303.Section 1819 of the Social Security Act (42 U.S.C. 1395i–3) is amended by adding at the end the following new subsection:
(l)
(1)There is appropriated to the Secretary, out of any monies in the Treasury not otherwise appropriated, $325,000,000, for the period of fiscal years 2023 through 2031, for purposes of—
(A)conducting reviews and identifying plans under paragraph (2); and
(B)providing training, tools, technical assistance, and financial support in accordance with paragraph (3).
(2)The Secretary shall conduct reviews, during the period specified in paragraph (1), of (and, as appropriate, identify plans to improve) the following:
(A)The extent to which surveys conducted under subsection (g) and the enforcement process under subsection (h) result in increased compliance with requirements under this section and subpart B of part 483 of title 42, Code of Federal Regulations, with respect to skilled nursing facilities (in this subsection referred to as facilities
).
(B)The timeliness and thoroughness of State agency verification of deficiency corrections at facilities.
(C)The accuracy of the identification and appropriateness of the scope and severity of deficiencies cited at facilities.
(D)The accuracy of the identification and appropriateness of the scoping and severity of life safety, infection control, and emergency preparedness deficiencies cited at facilities.
(E)The timeliness of State agency investigations of—
(i)complaints at facilities;
(ii)facility-reported incidents at facilities; and
(iii)reported allegations of abuse, neglect, and exploitation at facilities.
(F)The consistency of facility reporting of substantiated complaints to law enforcement.
(G)The ability of the State agency to sufficiently hire, train, and retain individuals who conduct surveys.
(H)Any other area related to surveys of facilities, or the individuals conducting such surveys, determined appropriate by the Secretary.
(3)Based on the review under paragraph (2), the Secretary shall, during the period specified in paragraph (1), provide training, tools, technical assistance, and financial support to State and Federal agencies that perform surveys of facilities for the purpose of improving the surveys conducted under subsection (g) and the enforcement process under subsection (h) with respect to the areas reviewed under paragraph (2). .
134304.Nurse staffing requirementsSection 1819(d) of the Social Security Act (42 U.S.C. 1395i–3(d)) is amended—
(1)in paragraph (4)(A), by inserting and any regulations promulgated under paragraph (5)(C)
after section 1124
; and
(2)by adding at the end the following new paragraph:
(5)Nurse staffing requirements
(A)There is appropriated to the Secretary, out of any monies in the Treasury not otherwise appropriated, $50,000,000 for the period of fiscal years 2023 through 2031 for purposes of carrying out this paragraph.
(B)Not later than 3 years after the date of the enactment of this paragraph, and not less frequently than once every 5 years thereafter, the Secretary shall, out of funds appropriated under subparagraph (A), conduct a study and submit to Congress a report on the appropriateness of establishing minimum staff to resident ratios for nursing staff for skilled nursing facilities. Each such report shall include—
(i)with respect to the first such report, recommendations regarding appropriate minimum ratios of registered nurses (and, if practicable, licensed practical nurses (or licensed vocational nurses) and certified nursing assistants) to residents at such skilled nursing facilities; and
(ii)with respect to each subsequent such report, recommendations regarding appropriate minimum ratios of registered nurses, licensed practical nurses (or licensed vocational nurses), and certified nursing assistants to residents at such skilled nursing facilities.
(C)Promulgation of regulations
(i)Not later than 1 year after the Secretary first submits a report under subparagraph (B), the Secretary shall, out of funds appropriated under subparagraph (A)—
(I)specify through regulations, consistent with such report, appropriate minimum ratios (if any) of registered nurses (and, if practicable, licensed practical nurses (or licensed vocational nurses) and certified nursing assistants) to residents at skilled nursing facilities; and
(II)except as provided in clause (ii), require such skilled nursing facilities to comply with such ratios.
(ii)
(I)In addition to the authority to waive the application of clause (i)(II) under section 1135, the Secretary may waive the application of such clause with respect to a skilled nursing facility if the Secretary finds that—
- (aa)the facility is located in a rural area and the supply of skilled nursing facility services in such area is not sufficient to meet the needs of individuals residing therein;
- (bb)the Secretary provides notice of the waiver to the State long-term care ombudsman (established under section 307(a)(12) of the Older Americans Act of 1965) and the protection and advocacy system in the State for the mentally ill; and
- (cc)the facility that is granted such a waiver notifies residents of the facility (or, where appropriate, the guardians or legal representatives of such residents) and members of their immediate families of the waiver.
(II)Any waiver in effect under this clause shall be subject to annual renewal.
(iii)Not later than 1 year after the submission of each subsequent report under subparagraph (B), the Secretary shall, out of funds appropriated under subparagraph (A) and consistent with such report, update the regulations described in clause (i)(I) to reflect appropriate minimum ratios (if any) of registered nurses, licensed practical nurses (or licensed vocational nurses), and certified nursing assistants to residents at skilled nursing facilities. .
BInfrastructure Financing and Community Development
135001.Except as otherwise expressly provided, whenever in this subtitle an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.
135002.Possessions Economic Activity Credit
(a)Subpart D of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is amended by adding at the end the following new section:
45V.Possessions Economic Activity Credit
(a)For purposes of section 38, in the case of a qualified domestic corporation the possessions economic activity credit determined under this section for a taxable year is an amount equal to 20 percent of the sum of the qualified possession wages and allocable employee fringe benefit expenses paid or incurred by the taxpayer for the taxable year.
(b)Qualified domestic corporation; qualified corporationFor purposes of this section—
(1)The term qualified domestic corporation means any domestic corporation which is—
(A)a qualified corporation, or
(B)a United States shareholder of a foreign corporation which—
(i)is a qualified corporation, and
(ii)is wholly owned by the United States shareholder together with any corporations which are members of the same affiliated group (within the meaning of section 1504(a)) as such United States shareholder.
(2)The term qualified corporation means any corporation if such corporation meets the following requirements:
(A)80 percent or more of the gross income of the corporation for the 3-year period immediately preceding the close of the taxable year (or for such part of such period immediately preceding the close of such taxable year as may be applicable) was derived from sources within a possession of the United States (determined without regard to section 904(f)).
(B)Trade or business qualification75 percent or more of the gross income of the corporation for such period or such part thereof was derived from the active conduct of a trade or business within a possession of the United States.
(3)Special rule for separate and clearly identified units of foreign corporations
(A)In the case of a United States shareholder of a foreign corporation which—
(i)is not a qualified corporation but with respect to which the ownership requirements of paragraph (1)(B)(ii) are met, and
(ii)has an eligible foreign business unit which, if such unit were a corporation, would be a qualified corporation with respect to which such ownership requirements would be met,then, for purposes of this section, the United States shareholder may elect to treat such unit as a separate foreign corporation which meets the requirements of paragraph (1)(B) and with respect to which such shareholder is a United States shareholder.
(B)Eligible foreign business unitFor purposes of this paragraph, the term eligible foreign business unit means a separate and clearly identified foreign unit of a trade or business, including a partnership or an entity treated as disregarded as a separate entity from its owner (under section 7701 or other provision under this title), which maintains separate books and records.
(C)Special election for affiliated groupsIn the case of an affiliated group described in paragraph (1)(B)(ii), the election under subparagraph (A) with respect to any eligible foreign business unit shall be made by the common parent of such group and shall apply uniformly to all members of such group which are United States shareholders with respect to the foreign corporation which has such unit.
(c)Qualified possession wagesFor purposes of this section—
(1)The term qualified possession wages means wages paid or incurred by the qualified corporation during the taxable year in connection with the active conduct of a trade or business within a possession of the United States to any employee for services performed in such possession, but only if such services are performed while the principal place of employment of such employee is within such possession.
(2)Limitation on amount of wages taken into account
(A)The amount of wages which may be taken into account under paragraph (1) with respect to any employee for any taxable year shall not exceed $50,000.
(B)Treatment of part-time employees, etcIf—
(i)any employee is not employed by the qualified corporation on a substantially full-time basis at all times during the taxable year, or
(ii)the principal place of employment of any employee with the qualified corporation is not within a possession at all times during the taxable year,the limitation applicable under paragraph (1) with respect to such employee shall be the appropriate portion (as determined by the Secretary) of the limitation which would otherwise be in effect under paragraph (1).
(C)
(i)Except as provided in clause (ii), the term wages has the meaning given to such term by subsection (b) of section 3306 (determined without regard to any dollar limitation contained in such section). For purposes of the preceding sentence, such subsection (b) shall be applied as if the term United States included all possessions of the United States.
(ii)Special rule for agricultural labor and railway laborIn any case to which subparagraph (A) or (B) of paragraph (1) of section 51(h) applies, the term wages has the meaning given to such term by section 51(h)(2).
(3)Allocable employee fringe benefit expenses
(A)The allocable employee fringe benefit expenses of any qualified corporation for any taxable year is an amount which bears the same ratio to the amount determined under subparagraph (B) for such taxable year as—
(i)the aggregate amount of the qualified corporation’s qualified possession wages for such taxable year, bears to
(ii)the aggregate amount of the wages paid or incurred by such qualified corporation during such taxable year.In no event shall the amount determined under the preceding sentence exceed 15 percent of the amount referred to in clause (i).
(B)Expenses taken into accountFor purposes of subparagraph (A), the amount determined under this subparagraph for any taxable year is the aggregate amount allowable (or, in the case of a foreign corporation, which would be allowable if such foreign corporation were a domestic corporation) as a deduction under this chapter to the qualified corporation for such taxable year with respect to—
(i)employer contributions under a stock bonus, pension, profit-sharing, or annuity plan,
(ii)employer-provided coverage under any accident or health plan for employees, and
(iii)the cost of life or disability insurance provided to employees.Any amount treated as wages under paragraph (2)(C) shall not be taken into account under this subparagraph.
(d)Special rule for qualified small domestic corporationFor purposes of this section—
(1)Increased credit percentageIn the case of a qualified small domestic corporation, subsection (a) shall be applied by substituting 50 percent
for 20 percent
.
(2)Qualified small domestic corporation
(A)The term qualified small domestic corporation
means a qualified domestic corporation that meets the requirements of subparagraphs (B) and (C).
(B)A qualified domestic corporation meets the requirements of this subparagraph if the qualified corporation which is the qualified domestic corporation under subsection (b)(1)(A) or the foreign corporation under subsection (b)(1)(B)(i)—
(i)has at least 5 full-time employees in a possession of the United States for each year in the 3-year period immediately preceding the close of the taxable year (or for such part of such period immediately preceding the close of such taxable year as may be applicable), and
(ii)has not more than a total of 30 full-time employees for each year in such 3-year period.
(C)A qualified domestic corporation meets the requirements of this subparagraph if the annual gross receipts of the qualified domestic corporation (and all persons related thereto) for each year in such 3-year period is not more than $50,000,000.
(3)In determining whether the limitations under subparagraphs (B)(ii) and (C) of paragraph (2) are met, all persons who are treated as a single employer for purposes of subsection (a) or (b) of section 52 shall be taken into account.
(4)Amount of wages taken into accountSubsection (c)(2)(A) shall be applied by substituting $142,800
for $50,000
.
(e)Possession of the United States
(1)The term possession of the United States means American Samoa, the Commonwealth of the Northern Mariana Islands, the Commonwealth of Puerto Rico, Guam, and the Virgin Islands.
(2)In the case of any possession of the United States with a mirror code tax system (as defined in section 24(k)), this section shall not be treated as part of the income tax laws of the United States for purposes of determining the income tax law of such possession unless such possession elects to have this section be so treated.
(f)Separate application to each possessionFor purposes of determining the amount of the credit allowed under this section, this section shall be applied separately with respect to each possession of the United States.
(g)No credit shall be allowed under this section for any taxable year beginning after December 31, 2031..
(b)Credit made part of general business creditSubsection (b) of section 38, as amended by the preceding provisions of this Act, is amended by striking plus
at the end of paragraph (34), by striking the period at the end of paragraph (35) and inserting , plus
, and by adding at the end the following new paragraph:
(36)the possessions economic activity credit determined under section 45V..
(c)The table of sections for subpart B of part IV of subchapter A of chapter 1 is amended by adding at the end the following:
Sec. 45V. Possessions Economic Activity Credit..
(d)The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act, and in the case of a qualified corporation that is a foreign corporation, to taxable years beginning after the date of enactment and to taxable years of United States shareholders in which or with which such taxable years of foreign corporations end.
135003.Tax treatment of assistance to certain farm loan borrowers
(a)For purposes of the Internal Revenue Code of 1986, in the case of any payment described in section 1005(b) of the American Rescue Plan Act of 2021 (as amended by this Act)—
(1)such payment shall not be included in the gross income of the person on whose behalf, or to whom, such payment is made,
(2)no deduction shall be denied, no tax attribute shall be reduced, and no basis increase shall be denied, by reason of the exclusion from gross income provided by paragraph (1), and
(3)in the case of a partnership or S corporation on whose behalf, or to whom, such a payment is made—
(A)any amount excluded from income by reason of paragraph (1) shall be treated as tax exempt income for purposes of sections 705 and 1366 of such Code, and
(B)except as provided by the Secretary of the Treasury (or the Secretary’s delegate), any increase in the adjusted basis of a partner’s interest in a partnership under section 705 of such Code with respect to any amount described in subparagraph (A) shall equal the partner’s distributive share of deductions resulting from interest that is part of such payment and the partner’s share, as determined under section 752 of such Code, of principal that is part of such payment.
(b)Authority to waive certain information reporting requirementsThe Secretary of the Treasury (or the Secretary’s delegate) may provide an exception from any requirement to file an information return otherwise required by chapter 61 of the Internal Revenue Code of 1986 with respect to any amount excluded from gross income by reason of subsection (a).
CAffordable Health Care Coverage
30601.Ensuring affordability of coverage for certain low-income populations
(a)Reducing cost sharing under qualified health plansSection 1402 of the Patient Protection and Affordable Care Act (42 U.S.C. 18071) is amended—
(1)in subsection (b)—
(A)in paragraph (2), by inserting (or, with respect to plan years 2023, 2024, and 2025, whose household income does not exceed 400 percent of the poverty line for a family of the size involved)
before the period; and
(B)in the matter following paragraph (2), by adding at the end the following new sentence: In the case of an individual with a household income that does not exceed 138 percent of the poverty line for a family of the size involved for any month occurring during 2022, such individual shall, for each month during 2022, be treated as having household income equal to 100 percent for purposes of applying this section.
; and
(2)in subsection (c)—
(A)in paragraph (1)(A), in the matter preceding clause (i), by inserting , with respect to eligible insureds (other than, with respect to plan years 2023, 2024, and 2025, specified enrollees (as defined in paragraph (6)(C))),
after first be achieved
;
(B)in paragraph (2), in the matter preceding subparagraph (A), by inserting with respect to eligible insureds (other than, with respect to plan years 2023, 2024, and 2025, specified enrollees)
after under the plan
;
(C)in paragraph (3)—
(i)in subparagraph (A), by striking this subsection
and inserting paragraph (1) or (2)
; and
(ii)in subparagraph (B), by striking this section
and inserting paragraphs (1) and (2)
; and
(D)by adding at the end the following new paragraph:
(6)Special rule for specified enrollees
(A)The Secretary shall establish procedures under which the issuer of a qualified health plan to which this section applies shall reduce cost-sharing under the plan with respect to months occurring during plan years 2023, 2024, and 2025 for enrollees who are specified enrollees (as defined in subparagraph (C)) in a manner sufficient to increase the plan’s share of the total allowed costs of benefits provided under the plan to 99 percent of such costs.
(B)Methods for reducing cost sharing
(i)An issuer of a qualified health plan making reductions under this paragraph shall notify the Secretary of such reductions and the Secretary shall, out of funds made available under clause (ii), make periodic and timely payments to the issuer equal to 12 percent of the total allowed costs of benefits provided under each such plan to specified enrollees during plan years 2023, 2024, and 2025.
(ii)In addition to amounts otherwise available, there are appropriated, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary to the Secretary to make payments under clause (i).
(C)Specified enrollee definedFor purposes of this section, the term specified enrollee
means, with respect to month occurring during a plan year, an eligible insured with a household income that does not exceed 138 percent of the poverty line for a family of the size involved during such month. Such insured shall be deemed to be a specified enrollee for each month in such plan year..
(b)Open enrollments applicable to certain lower-income populationsSection 1311(c) of the Patient Protection and Affordable Care Act (42 U.S.C. 18031(c)) is amended—
(1)in paragraph (6)—
(A)in subparagraph (C), by striking at the end and
;
(B)in subparagraph (D), by striking the period at the end and inserting ; and
; and
(C)by adding at the end the following new subparagraph:
(E)with respect to a qualified health plan with respect to which section 1402 applies, for months occurring during the period beginning on January 1, 2022, and ending on December 31, 2025, enrollment periods described in subparagraph (A) of paragraph (8) for individuals described in subparagraph (B) of such paragraph.; and
(2)by adding at the end the following new paragraph:
(8)Special enrollment period for certain low-income populations
(A)The enrollment period described in this paragraph is, in the case of an individual described in subparagraph (B), the continuous period beginning on the first day that such individual is so described.
(B)For purposes of subparagraph (A), an individual described in this subparagraph is an individual—
(i)with a household income that does not exceed 138 percent of the poverty line for a family of the size involved; and
(ii)who is not eligible for minimum essential coverage (as defined in section 5000A(f) of the Internal Revenue Code of 1986), other than for coverage described in any of subparagraphs (B) through (E) of paragraph (1) of such section..
(c)Additional benefits for certain low-income individuals for plan years 2024 and 2025Section 1301(a) of the Patient Protection and Affordable Care Act (42 U.S.C. 18021(a)) is amended—
(1)in paragraph (1)—
(A)in subparagraph (B), by striking and
at the end;
(B)in subparagraph (C)(iv), by striking the period and inserting ; and
; and
(C)by adding at the end the following new subparagraph:
(D)provides, with respect to a plan offered in the silver level of coverage to which section 1402 applies during plan year 2024 and 2025, for benefits described in paragraph (5) in the case of an individual who has a household income that does not exceed 138 percent of the poverty line for a family of the size involved, and who is eligible to receive cost-sharing reductions under section 1402.; and
(2)by adding at the end the following new paragraph:
(5)Additional benefits for certain low-income individuals for plan year 2024 and 2025
(A)
(i)For purposes of paragraph (1)(D), the benefits described in this paragraph to be provided by a qualified health plan are benefits consisting of—
(I)non-emergency medical transportation services (as described in section 1902(a)(4) of the Social Security Act); and
(II)services described in subsection (a)(4)(C) of section 1905 of such Act for which Federal payments would have been available under title XIX of the Social Security Act had such services been furnished to an individual enrolled under a State plan (or wavier of such plan) under such title;which are not otherwise provided under such plan as part of the essential health benefits package described in section 1302(a).
(ii)Condition on provision of benefitsBenefits described in this paragraph shall be provided—
(I)without any restriction on the choice of a qualified provider from whom an individual may receive such benefits; and
(II)without any imposition of cost sharing.
(B)Payments for additional benefits
(i)An issuer of a qualified health plan making payments for services described in subparagraph (A) furnished to individuals described in paragraph (1)(D) during plan year 2024 or 2025 shall notify the Secretary of such payments and the Secretary shall, out of funds made available under clause (ii), make periodic and timely payments to the issuer equal to payments for such services so furnished.
(ii)In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary to the Secretary to make payments under clause (i)..
(d)Education and outreach activities—
(1)Section 1321(c) of the Patient Protection and Affordable Care Act (42 U.S.C. 18041(c)) is amended by adding at the end the following new paragraph:
(3)Outreach and educational activities
(A)In the case of an Exchange established or operated by the Secretary within a State pursuant to this subsection, the Secretary shall carry out outreach and educational activities for purposes of informing individuals described in section 1902(a)(10)(A)(i)(VIII) of the Social Security Act who reside in States that have not expended amounts under a State plan (or waiver of such plan) under title XIX of such Act for all such individuals about qualified health plans offered through the Exchange, including by informing such individuals of the availability of coverage under such plans and financial assistance for coverage under such plans. Such outreach and educational activities shall be provided in a manner that is culturally and linguistically appropriate to the needs of the populations being served by the Exchange (including hard-to-reach populations, such as racial and sexual minorities, limited English proficient populations, individuals residing in areas where the unemployment rates exceeds the national average unemployment rate, individuals in rural areas, veterans, and young adults).
(B)Limitation on use of fundsNo funds appropriated under this paragraph shall be used for expenditures for promoting non-ACA compliant health insurance coverage.
(C)Non-aca compliant health insurance coverageFor purposes of subparagraph (B):
(i)The term non-ACA compliant health insurance coverage means health insurance coverage, or a group health plan, that is not a qualified health plan.
(ii)Such term includes the following:
(I)An association health plan.
(II)Short-term limited duration insurance.
(D)In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, to remain available until expended, $105,000,000 for fiscal year 2022 to carry out this paragraph, of which—
(i)$15,000,000 shall be used to carry out this paragraph in fiscal year 2022; and
(ii)$30,000,000 shall be used to carry out this paragraph for each of fiscal years 2023 through 2025..
(2)Section 1311(i)(6) of the Patient Protection and Affordable Care Act (42 U.S.C. 18031(i)(6)) is amended—
(A)by striking Funding.—Grants under
and inserting
Funding.—
(A)Grants under; and
(B)by adding at the end the following new subparagraph:
(B)For purposes of carrying out this subsection, with respect to an Exchange established and operated by the Secretary within a State pursuant to section 1321(c), the Secretary shall obligate $10,000,000 out of amounts collected through the user fees on participating health insurance issuers pursuant to section 156.50 of title 45, Code of Federal Regulations (or any successor regulations) for fiscal year 2022, and $20,000,000 for each of fiscal years 2023, 2024, and 2025. Such amount so obligated for a fiscal year shall remain available until expended..
(e)In addition to amounts otherwise available, there is appropriated to the Secretary of Health and Human Services for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $65,000,000, to remain available until expended, for purposes of carrying out the provisions of, and the amendments made by, this section, section 30602, and section 30603.
30602.Establishing a health insurance affordability fund
(a)Subtitle D of title I of the Patient Protection and Affordable Care Act is amended by inserting after section 1343 (42 U.S.C. 18063) the following new part:
6Improve Health Insurance Affordability Fund
1351.There is hereby established the Improve Health Insurance Affordability Fund
to be administered by the Secretary of Health and Human Services, acting through the Administrator of the Centers for Medicare & Medicaid Services (in this section referred to as the Administrator
), to provide funding, in accordance with this part, to the 50 States and the District of Columbia (each referred to in this section as a State
) beginning on January 1, 2023, for the purposes described in section 1352.
1352.
(a)A State shall use the funds allocated to the State under this part for one of the following purposes:
(1)To provide reinsurance payments to health insurance issuers with respect to individuals enrolled under individual health insurance coverage (other than through a plan described in subsection (b)) offered by such issuers.
(2)To provide assistance (other than through payments described in paragraph (1)) to reduce out-of-pocket costs, such as copayments, coinsurance, premiums, and deductibles, of individuals enrolled under qualified health plans offered on the individual market through an Exchange and of individuals enrolled under standard health plans offered through a basic health program established under section 1331.
(b)Exclusion of certain grandfathered plans, transitional plans, student health plans, and excepted benefitsFor purposes of subsection (a), a plan described in this subsection is the following:
(1)A grandfathered health plan (as defined in section 1251).
(2)A plan (commonly referred to as a transitional plan
) continued under the letter issued by the Centers for Medicare & Medicaid Services on November 14, 2013, to the State Insurance Commissioners outlining a transitional policy for coverage in the individual and small group markets to which section 1251 does not apply, and under the extension of the transitional policy for such coverage set forth in the Insurance Standards Bulletin Series guidance issued by the Centers for Medicare & Medicaid Services on March 5, 2014, February 29, 2016, February 13, 2017, April 9, 2018, March 25, 2019, January 31, 2020, and January 19, 2021, or under any subsequent extensions thereof.
(3)Student health insurance coverage (as defined in section 147.145 of title 45, Code of Federal Regulations, or any successor regulation).
(4)Excepted benefits (as defined in section 2791(c) of the Public Health Service Act).
1353.State eligibility and approval; Default safeguard
(a)Encouraging State options for allocations
(1)Subject to subsection (b), to be eligible for an allocation of funds under this part for a year (beginning with 2023), a State shall submit to the Administrator an application at such time (but, in the case of allocations for 2023, not later than 120 days after the date of the enactment of this part and, in the case of allocations for a subsequent year, not later than January 1 of the previous year) and in such form and manner as specified by the Administrator containing—
(A)a description of how the funds will be used; and
(B)such other information as the Administrator may require.
(2)An application so submitted is approved (as outlined in the terms of the plan) unless the Administrator notifies the State submitting the application, not later than 90 days after the date of the submission of such application, that the application has been denied for not being in compliance with any requirement of this part and of the reason for such denial.
(3)Subsequent year application approvalIf an application of a State is approved for a purpose described in section 1352 for a year, such application shall be treated as approved for such purpose for each of subsequent year through 2025.
(4)Oversight authority and authority to revoke approval
(A)The Secretary may conduct periodic reviews of the use of funds provided to a State under this section, with respect to a purpose described in section 1352, to ensure the State uses such funds for such purpose and otherwise complies with the requirements of this section.
(B)The approval of an application of a State, with respect to a purpose described in section 1352, may be revoked if the State fails to use funds provided to the State under this section for such purpose or otherwise fails to comply with the requirements of this section.
(b)Default Federal safeguard for 2023, 2024, and 2025 for certain States
(1)For 2023, 2024, and 2025, in the case of a State described in paragraph (5), with respect to such year, the State shall not be eligible to submit an application under subsection (a), and the Administrator, in consultation with the applicable State authority, shall from the amount calculated under paragraph (3) for such year, carry out the purpose described in paragraph (2) in such State for such year.
(2)The amount described in paragraph (3), with respect to a State described in paragraph (5) for 2023, 2024, or 2025, shall be used to carry out the purpose described in section 1352(a)(1) in such State for such year, as applicable, by providing reinsurance payments to health insurance issuers with respect to attachment range claims (as defined in section 1354(b)(2), using the dollar amounts specified in subparagraph (B) of such section for such year) in an amount equal to, subject to paragraph (4), the percentage (specified for such year by the Secretary under such subparagraph) of the amount of such claims.
(3)The amount described in this paragraph, with respect to 2023, 2024, or 2025, is the amount equal to the total sum of amounts that the Secretary would otherwise estimate under section 1354(b)(2)(A)(i) for such year for each State described in paragraph (5) for such year, as applicable, if each such State were not so described for such year.
(4)For purposes of this subsection, the Secretary may apply a percentage under paragraph (3) with respect to a year that is less than the percentage otherwise specified in section 1354(b)(2)(B) for such year, if the cost of paying the total eligible attachment range claims for States described in paragraph (5) for such year at such percentage otherwise specified would exceed the amount calculated under paragraph (3) for such year.
(5)A State described in this paragraph, with respect to years 2023, 2024, and 2025, is a State that, as of January 1 of 2022, 2023, or 2024, respectively, was not expending amounts under the State plan (or waiver of such plan) for all individuals described in section 1902(a)(10)(A)(i)(VIII) during such year.
1354.
(a)In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, $10,000,000,000 for 2023 and each subsequent year through 2025 to provide allocations for States under subsection (b) and payments under section 1353(b).
(b)
(1)
(A)From amounts appropriated under subsection (a) for a year, the Secretary shall, with respect to a State not described in section 1353(b) for such year and not later than the date specified under subparagraph (B) for such year, allocate for such State the amount determined for such State and year under paragraph (2).
(B)For purposes of subparagraph (A), the date specified in this subparagraph is—
(i)for 2023, the date that is 90 days after the date of the enactment of this part; and
(ii)for 2024 or 2025, January 1 of the previous year.
(C)Notifications of allocation amountsFor 2024 and 2025, the Secretary shall notify each State of the amount determined for such State under paragraph (2) for such year by not later than January 1 of the previous year.
(2)Allocation amount determinations
(A)For purposes of paragraph (1), the amount determined under this paragraph for a year for a State described in paragraph (1)(A) for such year is the amount equal to—
(i)the amount that the Secretary estimates would be expended under this part for such year on attachment range claims of individuals residing in such State if such State used such funds only for the purpose described in paragraph (1) of section 1352(a) at the dollar amounts and percentage specified under subparagraph (B) for such year; minus
(ii)the amount, if any, by which the Secretary determines—
(I)the estimated amount of premium tax credits under section 36B of the Internal Revenue Code of 1986 that would be attributable to individuals residing in such State for such year without application of this part; exceeds
(II)the estimated amount of premium tax credits under section 36B of the Internal Revenue Code of 1986 that would be attributable to individuals residing in such State for such year if section 1353(b) applied for such year and applied with respect to such State for such year.For purposes of the previous sentence and section 1353(b)(3), the term attachment range claims means, with respect to an individual, the claims for such individual that exceed a dollar amount specified by the Secretary for a year, but do not exceed a ceiling dollar amount specified by the Secretary for such year, under subparagraph (B).
(B)For purposes of subparagraph (A) and section 1353(b)(3), the Secretary shall determine the dollar amounts and the percentage to be specified under this subparagraph for a year in a manner to ensure that the total amount of expenditures under this part for such year is estimated to equal the total amount appropriated for such year under subsection (a) if such expenditures were used solely for the purpose described in paragraph (1) of section 1352(a) for attachment range claims at the dollar amounts and percentage so specified for such year.
(3)Funds allocated to a State under this subsection for a year shall remain available through the end of the subsequent year..
(b)Basic Health Program funding adjustmentsSection 1331 of the Patient Protection and Affordable Care Act (42 U.S.C. 18051) is amended—
(1)in subsection (a), by adding at the end the following new paragraph:
(3)Provision of information on qualified health plan premiums
(A)For plan years beginning on or after January 1, 2023, the program described in paragraph (1) shall provide that a State may not establish a basic health program unless such State furnishes to the Secretary, with respect to each qualified health plan offered in such State during a year that receives any reinsurance payment from funds made available under part 6 for such year, the adjusted premium amount (as defined in subparagraph (B)) for each such plan and year.
(B)Adjusted premium amount definedFor purposes of subparagraph (A), the term adjusted premium amount
means, with respect to a qualified health plan and a year, the monthly premium for such plan and year that would have applied had such plan not received any payments described in subparagraph (A) for such year.; and
(2)in subsection (d)(3)(A)(ii), by adding at the end the following new sentence: In making such determination, the Secretary shall calculate the value of such premium tax credits that would have been provided to such individuals enrolled through a basic health program established by a State during a year using the adjusted premium amounts (as defined in subsection (a)(3)(B)) for qualified health plans offered in such State during such year.
.
(c)The Secretary of Health and Human Services may implement the provisions of, and the amendments made by, this section by subregulatory guidance or otherwise.
30603.Funding for the provision of health insurance consumer informationSection 2793(e) of the Public Health Service Act (42 U.S.C. 300gg–93(e)) is amended by adding at the end the following new paragraph:
(3)Funding for fiscal years 2022 through 2026In addition to amounts otherwise available, there is appropriated, out of any money in the Treasury not otherwise appropriated, $15,000,000 for each of fiscal years 2022 through 2026 to carry out this section..
D
136001.Except as otherwise expressly provided, whenever in this subtitle an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.
1Renewable Electricity and Reducing Carbon Emissions
136101.Extension and modification of credit for electricity produced from certain renewable resources
(a)The following provisions of section 45(d) are each amended by striking January 1, 2022
each place it appears and inserting January 1, 2027
:
(1)Paragraph (2)(A).
(2)Paragraph (3)(A).
(3)Paragraph (4)(B).
(4)Paragraph (6).
(5)Paragraph (7).
(6)Paragraph (9).
(7)Paragraph (11)(B).
(b)Section 45 is amended by striking 1.5 cents
each place it appears and inserting 0.3 cents
.
(c)Application of extension to solarSection 45(d)(4)(A) is amended by striking is placed in service before January 1, 2006
and inserting the construction of which begins before January 1, 2027.
.
(d)Extension of election to treat qualified facilities as energy propertySection 48(a)(5)(C)(ii) is amended by striking January 1, 2022
and inserting January 1, 2027
.
(e)Application of extension to wind facilities
(1)Section 45(d)(1) is amended by striking January 1, 2022
and inserting January 1, 2027
.
(2)Application of phaseout percentage
(A)Renewable electricity production creditSection 45(b)(5) is amended by inserting placed in service before January 1, 2022
after In the case of any facility
.
(B)Section 48(a)(5)(E) is amended by inserting placed in service before January 1, 2022
after In the case of any facility
.
(3)Qualified offshore wind facilities under energy creditSection 48(a)(5)(F)(i) is amended by striking offshore wind facility—
and all that follows and inserting the following: offshore wind facility, subparagraph (E) shall not apply.
.
(f)Wage and apprenticeship requirementsSection 45(b) is amended by adding at the end the following new paragraphs:
(7)Increased credit amount for qualified facilities
(A)In the case of any qualified facility which satisfies the requirements of subparagraph (B), the amount of the credit determined under subsection (a) (determined after the application of paragraphs (1) through (6)) shall be equal to such amount multiplied by 5 (determined without regard to this sentence).
(B)Qualified facility requirementsA qualified facility meets the requirements of this subparagraph if it is one of the following:
(i)A facility with a maximum net output of less than 1 megawatt.
(ii)A facility the construction of which begins prior to the date that is 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (8) and (9).
(iii)A facility which satisfies the requirements of paragraphs (8) and (9).
(8)Prevailing wage requirements
(A)The requirements described in this subparagraph with respect to any qualified facility are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in—
(i)the construction of such facility, and
(ii)for the period of the taxable year which is within the 10-year period beginning on the date the facility was originally placed in service, the alteration or repair of such facility, shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code. For purposes of determining an increased credit amount under paragraph (7)(A) for a taxable year, the requirement under clause (ii) is applied to such taxable year in which the alteration or repair of the qualified facility occurs.”
(B)Correction and penalty related to failure to satisfy wage requirements
(i)In the case of any taxpayer which fails to satisfy the requirement under subparagraph (A) with respect to the construction of any qualified facility or with respect to the alteration or repair of a facility in any year during the period described in subparagraph (A)(ii), such taxpayer shall be deemed to have satisfied such requirement under such subparagraph with respect to such facility for any year if, with respect to any laborer or mechanic who was paid wages at a rate below the rate described in such subparagraph for any period during such year, such taxpayer—
(I)makes payment to such laborer or mechanic in an amount equal to the sum of—
- (aa)an amount equal to the difference between—
(AA)the amount of wages paid to such laborer or mechanic during such period, and
(BB)the amount of wages required to be paid to such laborer or mechanic pursuant to such subparagraph during such period, plus
- (bb)interest on the amount determined under item (aa) at the underpayment rate established under section 6621 (determined by substituting
6 percentage points
for 3 percentage points
in subsection (a)(2) of such section) for the period described in such item, and
(II)makes payment to the Secretary of a penalty in an amount equal to the product of—
- (aa)$5,000, multiplied by
- (bb)the total number of laborers and mechanics who were paid wages at a rate below the rate described in subparagraph (A) for any period during such year.
(ii)Deficiency procedures not to applySubchapter B of chapter 63 (relating to deficiency procedures for income, estate, gift, and certain excise taxes) shall not apply with respect to the assessment or collection of any penalty imposed by this section.
(iii)If the Secretary determines that any failure described in subclause (i) is due to intentional disregard of the requirements under subparagraph (A), subclause (I) shall be applied by substituting three times the sum
for the sum
in item (aa) thereof and subclause (II) shall be applied by substituting $10,000
for 5,000
in item (aa) thereof.
(iv)Limitation on period for paymentPursuant to rules issued by the Secretary which are similar to the rules under chapter 63, in the case of a final determination by the Secretary with respect to any failure by the taxpayer to satisfy the requirement under subparagraph (A), subparagraph (B)(i) shall not apply unless the payments described in subclauses (I) and (II) of such clause are made by the taxpayer on or before the date which is 180 days after the date of such determination.
(9)Apprenticeship requirementsThe requirements described in this subparagraph with respect to the construction of any qualified facility are as follows:
(A)
(i)Percentage of total labor hoursTaxpayers shall ensure that not less than the applicable percentage of the total labor hours of the construction, alteration, or repair work (including such work performed by any contractor or subcontractor) on any qualified facility shall, subject to subparagraph (B), be performed by qualified apprentices.
(ii)For purposes of clause (i), the applicable percentage shall be—
(I)in the case of a qualified facility the construction of which begins before January 1, 2023, 10 percent,
(II)in the case of a qualified facility the construction of which begins after December 31, 2022, and before January 1, 2024, 12.5 percent, and
(III)in the case of a qualified facility the construction of which begins after December 31, 2023, 15 percent.
(B)Apprentice to journeyworker ratioThe requirement under subparagraph (A)(i) shall be subject to any applicable requirements for apprentice-to-journeyworker ratios of the Department of Labor or the applicable State apprenticeship agency.
(C)Each contractor and subcontractor who employs 4 or more individuals to perform construction, alteration, or repair work on a qualified facility shall employ 1 or more qualified apprentices to perform such work.
(D)
(i)A taxpayer shall not be treated as failing to satisfy the requirements of this paragraph if such taxpayer—
(I)makes a good faith effort to comply with the requirements of this paragraph, or
(II)subject to clause (iii), in the case of any failure by the taxpayer to satisfy the requirement under subparagraphs (A) and (C) with respect to the construction, alteration, or repair work on any qualified facility to which subclause (I) does not apply, makes payment to the Secretary of a penalty in an amount equal to the product of—
- (aa)$50, multiplied by
- (bb)the total labor hours for which the requirement described in such subparagraph was not satisfied with respect to the construction, alteration, or repair work on such qualified facility.
(ii)For purposes of clause (i), a taxpayer shall be deemed to have satisfied the requirements under such paragraph with respect to a qualified facility if such taxpayer has requested qualified apprentices from a registered apprenticeship program, as defined in section 3131(e)(3)(B), and—
(I)such request has been denied, provided that such denial is not the result of a refusal by the contractors or subcontractors engaged in the performance of construction, alteration, or repair work on such qualified facility to comply with the established standards and requirements of the registered apprenticeship program, or
(II)the registered apprenticeship program fails to respond to such request within 5 business days after the date on which such registered apprenticeship program received such request.
(iii)If the Secretary determines that any failure described in subclause (i)(II) is due to intentional disregard of the requirements under subparagraphs (A) and (C), subclause (i)(II) shall be applied by substituting $500
for $50
in item (aa) thereof.
(E)For purposes of this paragraph—
(i)The term labor hours
—
(I)means the total number of hours devoted to the performance of construction, alteration, or repair work by employees of the taxpayer (including construction, alteration, or repair work by any contractor or subcontractor), and
(II)excludes any hours worked by—
- (aa)foremen,
- (bb)superintendents,
- (cc)owners, or
- (dd)persons employed in a bona fide executive, administrative, or professional capacity (within the meaning of those terms in part 541 of title 29, Code of Federal Regulations).
(ii)The term qualified apprentice
means an individual who is an employee of the contractor or subcontractor and who is participating in a registered apprenticeship program, as defined in section 3131(e)(3)(B).
(10)Domestic content bonus credit amount
(A)In the case of any qualified facility which satisfies the requirement under subparagraph (B), the amount of the credit determined under subsection (a) (determined after the application of paragraphs (1) through (9)) shall be increased by an amount equal to 10 percent of the amount otherwise in effect under such subsection.
(B)
(i)The requirement described in this subclause with respect to any qualified facility is satisfied if the taxpayer certifies to the Secretary (at such time, and in such form and manner, as the Secretary may prescribe) that any steel, iron, or manufactured product which is part of such facility (upon completion of construction) was produced in the United States.
(ii)
(I)In the case of steel or iron, clause (i) shall be applied in a manner consistent with section 661.5(b) of title 49, Code of Federal Regulations.
(II)Subclause (I) shall not apply with respect to any steel or iron which is used as a component or subcomponent of a manufactured product which is not primarily made of steel or iron.
(iii)For purposes of clause (i), the manufactured products which are part of a qualified facility upon completion of construction shall be deemed to have been produced in the United States if not less than the adjusted percentage of the total cost of the constituent components across all such manufactured products of such facility are attributable to manufactured products (including components) which are mined, produced, or manufactured in the United States.
(C)
(i)Subject to subclause (ii), for purposes of subparagraph (B)(iii), the adjusted percentage shall be—
(I)in the case of a facility the construction of which begins before January 1, 2025, 40 percent,
(II)in the case of a facility the construction of which begins after December 31, 2024, and before January 1, 2026, 45 percent,
(III)in the case of a facility the construction of which begins after December 31, 2025, and before January 1, 2027, 50 percent, and
(IV)in the case of a facility the construction of which begins after December 31, 2026, 55 percent.
(ii)For purposes of subparagraph (B)(iii), in the case of a qualified facility which is an offshore wind facility, the adjusted percentage shall be—
(I)in the case of a facility the construction of which begins before January 1, 2025, 20 percent,
(II)in the case of a facility the construction of which begins after December 31, 2024, and before January 1, 2026, 27.5 percent,
(III)in the case of a facility the construction of which begins after December 31, 2025, and before January 1, 2027, 35 percent,
(IV)in the case of a facility the construction of which begins after December 31, 2026, and before January 1, 2028, 45 percent, and
(V)in the case of a facility the construction of which begins after December 31, 2027, 55 percent.
(11)Phaseout for elective payment
(A)In the case of a taxpayer making an election under section 6417 with respect to a credit under this section, the amount of such credit shall be replaced with—
(i)the value of such credit (determined without regard to this paragraph), multiplied by
(ii)the applicable percentage.
(B)100 percent applicable percentage for certain qualified facilitiesIn the case of any qualified facility—
(i)which satisfies the requirements under paragraph (10) with respect to the construction of such facility, or
(ii)with a maximum net output of less than 1 megawatt,the applicable percentage shall be 100 percent.
(C)Phased domestic content requirementSubject to subparagraph (D), in the case of any qualified facility which is not described in subparagraph (B), the applicable percentage shall be—
(i)if construction of such facility began before January 1, 2024, 100 percent,
(ii)if construction of such facility began in calendar year 2024, 90 percent,
(iii)if construction of such facility began in calendar year 2025, 85 percent, and
(iv)if construction of such facility began after December 31, 2025, 0 percent.
(D)
(i)For purposes of this paragraph, the Secretary shall provide appropriate exceptions to the requirements under subparagraph (B) for the construction of qualified facilities if—
(I)the inclusion of domestic products increases the overall costs of construction of qualified facilities by more than 25 percent, or
(II)relevant domestic products are not produced in the United States in sufficient and reasonably available quantities or of a satisfactory quality.
(ii)In any case in which the Secretary provides an exception pursuant to clause (i), the applicable percentage shall be 100 percent.
(12)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this subsection..
(g)Credit reduced for tax-exempt bondsSection 45(b)(3) is amended to read as follows:
(3)Credit reduced for tax-exempt bondsThe amount of the credit determined under subsection (a) with respect to any facility for any taxable year (determined after the application of paragraphs (1) and (2)) shall be reduced by the amount which is the product of the amount so determined for such year and the lesser of 15 percent or a fraction—
(A)the numerator of which is the sum, for the taxable year and all prior taxable years, of proceeds of an issue of any obligations used to provide financing for the qualified facility the interest on which is exempt from tax under section 103, and
(B)the denominator of which is the aggregate amount of additions to the capital account for the qualified facility for the taxable year and all prior taxable years.The amounts under the preceding sentence for any taxable year shall be determined as of the close of the taxable year..
(h)
(1)The amendments made by subsections (a), (b), (c), (d), (e), and (f) of this section shall apply to facilities placed in service after December 31, 2021.
(2)The amendment made by subsection (g) shall apply to facilities the construction of which begins after December 31, 2021.
136102.Extension and modification of energy credit
(a)The following provisions of section 48 are each amended by striking January 1, 2024
each place it appears and inserting January 1, 2027
:
(1)Subsection (a)(2)(A)(i)(II).
(2)Subsection (a)(3)(A)(ii).
(3)Subsection (a)(3)(A)(vii).
(4)Subsection (c)(1)(D).
(5)Subsection (c)(2)(D).
(6)Subsection (c)(3)(A)(iv).
(7)Subsection (c)(4)(C).
(b)Section 48(a) is amended by striking paragraphs (6) and (7) and inserting the following new paragraph:
(6)Phaseout for certain energy property
(A)Subject to subparagraph (B), in the case of any qualified fuel cell property, qualified small wind property, waste energy recovery property, or energy property described in clause (i) or clause (ii) of paragraph (3)(A) the construction of which begins after December 31, 2019, and which is placed in service before January 1, 2022, the energy percentage determined under paragraph (2) shall be equal to 26 percent.
(B)Placed in service deadlineIn the case of any qualified fuel cell property, qualified small wind property, waste energy recovery property, or energy property described in clause (i) or (ii) of paragraph (3)(A) the construction of which begins before January 1, 2027, and which is not placed in service before January 1, 2029, the energy percentage determined under paragraph (2) shall be equal to 0 percent..
(c)Base energy percentage amountSection 48(a) is amended—
(1)in paragraph (2)(A)—
(A)in clause (i), by striking 30 percent
and inserting 6 percent
, and
(B)in clause (ii), by striking 10 percent
and inserting 2 percent
, and
(2)in paragraph (5)(A)(ii), by striking 30 percent
and inserting 6 percent
.
(d)6 percent credit for geothermalSection 48(a)(2)(A)(i)(II) is amended by striking paragraph (3)(A)(i)
and inserting clause (i), (iii), or (vii) of paragraph (3)(A)
.
(e)Energy storage technologies; qualified biogas property; microgrid controllers; extension of waste energy recovery property
(1)Section 48(a)(3)(A) is amended by striking or
at the end of clause (viii), and by adding at the end the following new clauses:
(ix)energy storage technology,
(x)qualified biogas property, or
(xi)microgrid controllers,.
(2)Application of 6 percent creditSection 48(a)(2)(A)(i) is amended by striking and
at the end of subclauses (IV) and (V) and adding at the end the following new subclauses:
(VI)energy storage technology,
(VII)qualified biogas property, and
(VIII)microgrid controllers, and.
(3)Section 48(c) is amended by adding at the end the following new paragraphs:
(6)Energy storage technology
(A)The term energy storage technology means property (other than property primarily used in the transportation of goods or individuals and not for the production of electricity) which receives, stores, and delivers energy for conversion to electricity (or, in the case of hydrogen, which stores energy), and has a nameplate capacity of not less than 5 kilowatt hours.
(B)Modifications of certain propertyIn the case of any equipment which either—
(i)would be described in subparagraph (A) except that such equipment has a capacity of less than 5 kilowatt hours and is modified such that such equipment (after such modification) has a nameplate capacity of not less than 5 kilowatt hours, or
(ii)is described in subparagraph (A) and which has a capacity of not less than 5 kilowatt hours and is modified such that such equipment (after such modification) has an increased nameplate capacity, such equipment shall be treated as described in subparagraph (A) except that the basis of any property which was part of such equipment before such modification shall not be taken into account for purposes of this section. In the case of any property to which this subparagraph applies, subparagraph (C) shall be applied by substituting modification
for construction
.
(C)The term energy storage technology shall not include any property the construction of which does not begin before January 1, 2027.
(7)Qualified biogas property
(A)The term qualified biogas property means property comprising a system which—
(i)converts biomass (as defined in section 45K(c)(3), as in effect on the date of enactment of this paragraph) into a gas which—
(I)consists of not less than 52 percent methane by volume, or
(II)is concentrated by such system into a gas which consists of not less than 52 percent methane, and
(ii)captures such gas for sale or productive use, and not for disposal via combustion.
(B)Inclusion of cleaning and conditioning propertyThe term qualified biogas property includes any property which is part of such system which cleans or conditions such gas.
(C)The term qualified biogas property shall not include any property the construction of which does not begin before January 1, 2027.
(8)
(A)The term microgrid controller
means equipment which is—
(i)part of a qualified microgrid, and
(ii)designed and used to monitor and control the energy resources and loads on such microgrid.
(B)The term qualified microgrid
means an electrical system which—
(i)includes equipment which is capable of generating not less than 4 kilowatts and not greater than 20 megawatts of electricity,
(ii)is capable of operating—
(I)in connection with the electrical grid and as a single controllable entity with respect to such grid, and
(II)independently (and disconnected) from such grid, and
(iii)is not part of a bulk-power system (as defined in section 215 of the Federal Power Act (16 U.S.C. 24o)).
(C)The term microgrid controller
shall not include any property the construction of which does not begin before January 1, 2027..
(4)Denial Of Double Benefit For Qualified Biogas PropertySection 45(e) is amended by adding at the end the following new paragraph:
(12)Coordination with energy credit for qualified biogas propertyThe term qualified facility shall not include any facility which produces electricity from gas produced by qualified biogas property (as defined in section 48(c)(7)) if a credit is determined under section 48 with respect to such property for the taxable year or any prior taxable year..
(5)Extension of waste energy recovery propertySection 48(c)(5)(D) is amended by striking January 1, 2024
and inserting January 1, 2027
.
(f)Fuel cells using electromechanical processes
(1)Section 48(c)(1) is amended—
(A)in subparagraph (A)(i)—
(i)by inserting or electromechanical
after electrochemical
, and
(ii)by inserting (1 kilowatt in the case of a fuel cell power plant with a linear generator assembly)
after 0.5 kilowatt
, and
(B)in subparagraph (C)—
(i)by inserting , or linear generator assembly,
after a fuel cell stack assembly
, and
(ii)by inserting or electromechanical
after electrochemical
.
(2)Linear generator assembly limitationSection 48(c)(1) is amended by redesignating subparagraph (D) as subparagraph (E) and by inserting after subparagraph (C) the following new subparagraph:
(D)Linear generator assemblyThe term linear generator assembly does not include any assembly which contains rotating parts. .
(g)Section 48(a)(3)(A)(ii) is amended by inserting , or electrochromic glass which uses electricity to change its light transmittance properties in order to heat or cool a structure,
after sunlight
.
(h)Coordination with low income housing tax creditParagraph (3) of section 50(c) of the Internal Revenue Code of 1986 is amended—
(1)by striking and
at the end of subparagraph (A),
(2)by striking the period at the end of subparagraph (B) and inserting , and
, and
(3)by adding at the end the following new subparagraph:
(C)paragraph (1) shall not apply for purposes of determining eligible basis under section 42..
(i)Section 48(a) is amended by adding at the end the following new paragraph:
(7)
(A)For purposes of determining the credit under subsection (a), energy property shall include amounts paid or incurred by the taxpayer for qualified interconnection property in connection with the installation of energy property (described in paragraph (3)(A)) which has a maximum net output of not greater than 5 megawatts, to provide for the transmission or distribution of the electricity produced or stored by such property, and which are properly chargeable to the capital account of the taxpayer.
(B)Qualified interconnection propertyThe term qualified interconnection property
means, with respect to an energy project which is not a microgrid controller, any tangible property—
(i)which is part of an addition, modification, or upgrade to a transmission or distribution system which is required at or beyond the point at which the energy project interconnects to such transmission or distribution system in order to accommodate such interconnection,
(ii)either—
(I)which is constructed, reconstructed, or erected by the taxpayer, or
(II)for which the cost with respect to the construction, reconstruction, or erection of such property is paid or incurred by such taxpayer, and
(iii)the original use of which, pursuant to an interconnection agreement, commences with a utility.
(C)Interconnection agreementThe term interconnection agreement
means an agreement with a utility for the purposes of interconnecting the energy property owned by such taxpayer to the transmission or distribution system of such utility.
(D)The term utility
means the owner or operator of an electrical transmission or distribution system which is subject to the regulatory authority of a State or political subdivision thereof, any agency or instrumentality of the United States, a public service or public utility commission or other similar body of any State or political subdivision thereof, or the governing or ratemaking body of an electric cooperative.
(E)Special rule for interconnection propertyIn the case of expenses paid or incurred for interconnection property, amounts otherwise chargeable to capital account with respect to such expenses shall be reduced under rules similar to the rules of section 50(c). .
(j)Wage and apprenticeship requirementsSection 48(a) is amended by adding at the end the following new paragraphs:
(8)Increased credit amount for energy projects
(A)
(i)In the case of any energy project which satisfies the requirements of subparagraph (B), the amount of the credit determined under this subsection (determined after the application of paragraphs (1) through (7)) shall be equal to such amount multiplied by 5 (determined without regard to this sentence).
(ii)For purposes of this subsection the term energy project
means a project consisting of multiple energy properties that are part of a single project. The requirements of this paragraph shall be applied to such project.
(B)A project meets the requirements of this subparagraph if it is one of the following:
(i)A project with a maximum net output of less than 1 megawatt of electrical or thermal energy.
(ii)A project the construction of which begins before the date that is 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (9) and (10).
(iii)A project which satisfies the requirements of paragraphs (9) and (10).
(9)Prevailing wage requirements
(A)The requirements described in this subparagraph with respect to any energy project are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in—
(i)the construction of such energy project, and
(ii)for the five-year period beginning on the date such project is originally placed in service, the alteration or repair of such project,shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code.
(B)Correction and penalty related to failure to satisfy wage requirementsRules similar to the rules of section 45(b)(8)(B) shall apply.
(C)The Secretary shall, by regulations or other guidance, provide for recapturing the benefit of any increase in the credit allowed under subsection (a) by reason of paragraph (9), with respect to any project which does not satisfy the requirements under subparagraph (A) (after application of subparagraph (B)) for the period described in clause (ii) of subparagraph (A) (but which does not cease to be investment credit property within the meaning of section 50(a)). The period and percentage of such recapture shall be determined under rules similar to the rules of section 50(a).
(10)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(11)Domestic content bonus credit amount
(A)In the case of any energy project which satisfies the requirement under subparagraph (B), for purposes of applying paragraph (2) with respect to such property, the energy percentage shall be increased by the applicable credit rate increase.
(B)Rules similar to the rules of section 45(b)(10)(B) shall apply.
(C)Applicable credit rate increaseFor purposes of subparagraph (A), the applicable credit rate increase shall be—
(i)in the case of an energy project that does not satisfy the requirements of paragraph (8)(B), 2 percentage points, and
(ii)in the case of an energy project that satisfies the requirements of paragraph (8)(B), 10 percentage points.
(12)Phaseout for elective paymentRules similar to the rules of section 45(b)(11) shall apply.
(13)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this subsection..
(k)Special rule for property financed by tax-exempt bondsSection 48(a)(4) is amended to read as follows:
(4)Special rule for property financed by tax-exempt bondsRules similar to the rule under section 45(b)(3) shall apply for purposes of this section..
(l)Treatment of certain contracts involving energy storageSection 7701(e)(3) is amended—
(1)in subparagraph (A)(i), by striking or
at the end of subclause (II), by striking and
at the end of subclause (III) and inserting or
, and by adding at the end the following new subclause:
(IV)the operation of a storage facility, or, and
(2)by adding at the end the following new subparagraph:
(F)For purposes of subparagraph (A), the term storage facility
means a facility which uses energy storage technology within the meaning of section 48(c)(6)..
(m)Increase in credit rate for energy communitiesSection 48(a) is amended by adding at the end the following new paragraph:
(14)Increase in credit rate for energy communitites
(A)In the case of any energy project that is placed in service within an energy community, for purposes of applying paragraph (2) with respect to such property, the energy percentage shall be increased by the applicable credit rate increase.
(B)Applicable credit rate increaseFor purposes of subparagraph (A), the applicable credit rate increase shall be equal to—
(i)in the case of any energy project that does not satisfy the requirements of paragraph (8)(B), 2 percentage points, and
(ii)in the case of any energy project that satisfies the requirements of paragraph (8)(B), 10 percentage points.
(C)For purposes of this paragraph, the term energy community
means a census tract—
(i)in which—
(I)for the calendar year in which construction of the energy property begins, not less than 5 percent of the employment in such tract is within the oil and gas sector,
(II)after December 31, 1999, a coal mine has closed, or
(III)after December 31, 2009, a coal-fired electric generating unit has been retired, or
(ii)which is immediately adjacent to any census tract described in clause (i). .
(n)Section 48(a)(2)(A) is amended by striking paragraphs (6) and (7)
and inserting paragraph (6)
.
(o)
(1)The amendments made by subsections (a), (b), (c), (d), (h), (i), (j), (l), (m), and (n) of this section shall apply to property placed in service after December 31, 2021.
(2)The amendments made by subsections (e), (f), and (g) shall apply to property placed in service after December 31, 2021, and, for any property the construction of which begins prior to January 1, 2022, only to the extent of the basis thereof attributable to the construction, reconstruction, or erection after December 31, 2021.
(3)The amendments made by subsection (k) shall apply to property the construction of which begins after December 31, 2021.
136103.Increase in energy credit for solar facilities placed in service in connection with low-income communities
(a)Section 48 is amended by adding at the end the following new subsection:
(e)Special rules for certain solar and wind facilities placed in service in connection with low-income communities
(1)In the case of any qualified solar and wind facility with respect to which the Secretary makes an allocation of environmental justice solar and wind capacity limitation under paragraph (4)—
(A)the energy percentage otherwise determined under subsection (a)(2) with respect to any eligible property which is part of such facility shall be increased by—
(i)in the case of a facility described in subclause (I) of paragraph (2)(A)(iii) and not described in subclause (II) of such paragraph, 10 percentage points, and
(ii)in the case of a facility described in subclause (II) of paragraph (2)(A)(iii), 20 percentage points, and
(B)the increase in the credit determined under subsection (a) by reason of this subsection for any taxable year with respect to all property which is part of such facility shall not exceed the amount which bears the same ratio to the amount of such increase (determined without regard to this subparagraph) as—
(i)the environmental justice solar and wind capacity limitation allocated to such facility, bears to
(ii)the total megawatt nameplate capacity of such facility, as measured in direct current.
(2)Qualified solar and wind facilityFor purposes of this subsection—
(A)The term qualified solar and wind facility
means any facility—
(i)which generates electricity solely from property described in section 45(d)(1) or in clause (i) or (vi) of subsection (a)(3)(A),
(ii)which has a maximum net output of less than 5 megawatts, and
(iii)which—
(I)is located in a low-income community (as defined in section 45D(e)) or on Indian land (as defined in section 2601(2) of the Energy Policy Act of 1992 (25 U.S.C. 3501(2))), or
(II)is part of a qualified low-income residential building project or a qualified low-income economic benefit project.
(B)Qualified low-income residential building projectA facility shall be treated as part of a qualified low-income residential building project if—
(i)such facility is installed on a residential rental building which participates in a covered housing program (as defined in section 41411(a) of the Violence Against Women Act of 1994 (34 U.S.C. 12491(a)(3)), a Housing Development Fund Corporation cooperative under Article XI of the New York State Private Housing Finance Law, a housing assistance program administered by the Department of Agriculture under title V of the Housing Act of 1949, a housing program administered by a tribally designated housing entity (as defined in section 4(22) of the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4103(22))) or such other affordable housing programs as the Secretary may provide, and
(ii)the financial benefits of the electricity produced by such facility are allocated equitably among the occupants of the dwelling units of such building.
(C)Qualified low-income economic benefit projectA facility shall be treated as part of a qualified low-income economic benefit project if at least 50 percent of the financial benefits of the electricity produced by such facility are provided to households with income of—
(i)less than 200 percent of the poverty line applicable to a family of the size involved, or
(ii)less than 80 percent of area median gross income (as determined under section 142(d)(2)(B)).
(D)For purposes of subparagraphs (B) and (C), electricity acquired at a below-market rate shall not fail to be taken into account as a financial benefit.
(3)For purposes of this section, the term eligible property
means energy property which is part of a facility described in section 45(d)(1) or in clause (i) or (vi) of subsection (a)(3)(A), including energy storage property (described in subsection (a)(3)(A)(viii)) installed in connection with such energy property.
(4)
(A)Not later than 270 days after the date of enactment of this subsection, the Secretary shall establish a program to allocate amounts of environmental justice solar and wind capacity limitation to qualified solar and wind facilities.
(B)The amount of environmental justice solar and wind capacity limitation allocated by the Secretary under subparagraph (A) during any calendar year shall not exceed the annual capacity limitation with respect to such year.
(C)Annual capacity limitationFor purposes of this paragraph, the term annual capacity limitation means 1.8 gigawatts of direct current capacity for each of calendar years 2022 through 2026, and zero thereafter.
(D)Carryover of unused limitationIf the annual capacity limitation for any calendar year exceeds the aggregate amount allocated for such year under this paragraph, such limitation for the succeeding calendar year shall be increased by the amount of such excess. No amount may be carried under the preceding sentence to any calendar year after 2026 except as provided in section 48F(i)(4)(D)(ii).
(E)Placed in service deadline
(i)Paragraph (1) shall not apply with respect to any property which is placed in service after the date that is 4 years after the date of the allocation with respect to the facility of which such property is a part.
(ii)Any amount of environmental justice solar and wind capacity limitation which expires under clause (i) during any calendar year shall be taken into account as an excess described in subparagraph (D) (or as an increase in such excess) for such calendar year, subject to the limitation imposed by the last sentence of such subparagraph.
(F)In determining to which qualified solar and wind facilities to allocate environmental justice solar and wind capacity limitation under this paragraph, the Secretary shall take into consideration which facilities will result in—
(i)the greatest health and economic benefits, including the ability to withstand extreme weather events, for individuals described in section 45D(e)(2),
(ii)the greatest employment and wages for such individuals, and
(iii)the greatest engagement with, outreach to, or ownership by, such individuals, including through partnerships with local governments, Indian tribal governments (as defined in section 139E), and community-based organizations.
(G)Disclosure of allocationsThe Secretary shall, upon making an allocation of environmental justice solar and wind capacity limitation under this paragraph, publicly disclose the identity of the applicant, the amount of the environmental justice solar and wind capacity limitation allocated to such applicant, and the location of the facility for which such allocation is made.
(5)The Secretary shall, by regulations or other guidance, provide for recapturing the benefit of any increase in the credit allowed under subsection (a) by reason of this subsection with respect to any property which ceases to be property eligible for such increase (but which does not cease to be investment credit property within the meaning of section 50(a)). The period and percentage of such recapture shall be determined under rules similar to the rules of section 50(a). To the extent provided by the Secretary, such recapture may not apply with respect to any property if, within 12 months after the date the taxpayer becomes aware (or reasonably should have become aware) of such property ceasing to be property eligible for such increase, the eligibility of such property for such increase is restored. The preceding sentence shall not apply more than once with respect to any facility..
(b)The amendments made by this section shall take effect on January 1, 2022.
136104.Elective payment for energy property and electricity produced from certain renewable resources, etc
(a)Subchapter B of chapter 65 is amended by inserting after section 6416 the following new section:
6417.Elective payment of applicable credits
(a)In the case of a taxpayer making an election (at such time and in such manner as the Secretary may provide) under this section with respect to any applicable credit determined with respect to such taxpayer, such taxpayer shall be treated as making a payment against the tax imposed by subtitle A (for the taxable year with respect to which such credit was determined) equal to the amount of such credit.
(b)The term applicable credit means each of the following:
(1)So much of the renewable electricity production credit determined under section 45 as is attributable to qualified facilities which are originally placed in service after December 31, 2021, and with respect to which an election is made under subsection (c)(3).
(2)The energy credit determined under section 48.
(3)So much of the credit for carbon oxide sequestration determined under section 45Q as is attributable to carbon capture equipment which is originally placed in service after December 31, 2021, and with respect to which an election is made under subsection (c)(3).
(4)The credit for alternative fuel vehicle refueling property allowed under section 30C.
(5)The qualifying advanced energy project credit determined under section 48C.
(c)For purposes of this section—
(1)Application to tax-exempt and governmental entitiesIn the case of any organization exempt from the tax imposed by subtitle A, any State or local government (or political subdivision thereof), the Tennessee Valley Authority, or any Indian tribal government (within the meaning of section 139E), which makes the election described in subsection (a), any applicable credit shall be determined—
(A)without regard to paragraphs (3) and (4)(A)(i) of section 50(b), and
(B)by treating any property with respect to which such credit is determined as used in a trade or business of the taxpayer.
(2)Application to partnerships and S corporations
(A)In the case of any applicable credit determined with respect to any facility or property held directly by a partnership or S corporation, if such partnership or S corporation makes an election under this subsection (in such manner as the Secretary may provide) with respect to such credit—
(i)the Secretary shall make a payment to such partnership or S corporation equal to the amount of such credit,
(ii)subsection (d) shall be applied with respect to such credit before determining any partner’s distributive share, or shareholder’s pro rata share, of such credit,
(iii)any amount with respect to which the election in subsection (a) is made shall be treated as tax exempt income for purposes of sections 705 and 1366, and
(iv)a partner’s distributive share of such tax exempt income shall be based on such partner’s distributive share of the otherwise applicable credit for each taxable year.
(B)Coordination with application at partner or shareholder levelIn the case of any partnership or S corporation, subsection (a) shall be applied at the partner or shareholder level after application of subparagraph (A)(ii).
(3)
(A)Any election under this subsection shall be made not later than the due date (including extensions of time) for the return of tax for the taxable year for which the election is made, but in no event earlier than 270 days after the date of the enactment of this section. Any such election, once made, shall be irrevocable. Except as otherwise provided in this paragraph, any election under this subsection shall apply with respect to any credit for the taxable year for which the election is made.
(B)Renewable electricity production creditIn the case of the credit described in subsection (b)(1), any election under this subsection shall—
(i)apply separately with respect to each qualified facility,
(ii)be made for the taxable year in which such qualified facility is originally placed in service, and
(iii)shall apply to such taxable year and all subsequent taxable years with respect to such qualified facility.
(C)Credit for carbon oxide sequestrationIn the case of the credit described in subsection (b)(3), any election under this subsection shall—
(i)apply separately with respect to the carbon capture equipment originally placed in service by the taxpayer during a taxable year, and
(ii)shall apply to such taxable year and all subsequent taxable years with respect to such equipment.
(4)The payment described in subsection (a) shall be treated as made on—
(A)in the case of any government, or political subdivision, described in paragraph (1) and for which no return is required under section 6011 or 6033(a), the later of the date that a return would be due under section 6033(a) if such government or subdivision were described in that section or the date on which such government or subdivision submits a claim for credit or refund (at such time and in such manner as the Secretary shall provide), and
(B)in any other case, the later of the due date (determined without regard to extensions) of the return of tax for the taxable year or the date on which such return is filed.
(5)Treatment of payments to partnerships and S corporationsFor purposes of section 1324 of title 31, United States Code, the payments under paragraph (2)(A)(ii) shall be treated in the same manner as a refund due from a credit provision referred to in subsection (b)(2) of such section.
(6)As a condition of, and prior to, a payment under this section, the Secretary may require such information or registration as the Secretary deems necessary or appropriate for purposes of preventing duplication, fraud, improper payments, or excessive payments under this section.
(7)
(A)In the case of a payment made to a taxpayer under this subsection or any amount treated as a payment which is made by the taxpayer under subsection (a) which the Secretary determines constitutes an excessive payment, the tax imposed on such taxpayer by chapter 1 for the taxable year in which such determination is made shall be increased by an amount equal to the sum of—
(i)the amount of such excessive payment, plus
(ii)an amount equal to 20 percent of such excessive payment.
(B)Subparagraph (A)(ii) shall not apply if the taxpayer demonstrates to the satisfaction of the Secretary that the excessive payment resulted from reasonable cause.
(C)Excessive payment definedFor purposes of this paragraph, the term excessive payment
means, with respect to a facility for which an election is made under this section for any taxable year, an amount equal to the excess of—
(i)the amount of the payment made to the taxpayer under this subsection or any amount treated as a payment which is made by the taxpayer under subsection (a) with respect to such facility for such taxable year, over
(ii)the amount of the credit which, without application of this subsection, would be otherwise allowable (determined without regard to section 38(c)) under this section with respect to such facility for such taxable year.
(d)In the case of a taxpayer making an election under this section with respect to an applicable credit, such credit shall be reduced to zero and shall, for any other purposes under this title, be deemed to have been allowed to the taxpayer for such taxable year.
(e)In the case of any possession of the United States with a mirror code tax system (as defined in section 24(k)), this section shall not be treated as part of the income tax laws of the United States for purposes of determining the income tax law of such possession unless such possession elects to have this section be so treated.
(f)Basis reduction and recaptureExcept as otherwise provided in subsection (c)(1)(A), rules similar to the rules of section 50 shall apply for purposes of this section.
(g)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this section, including—
(1)regulations or other guidance providing rules for determining a partner’s distributive share of the tax exempt income described in subsection (c)(2)(A)(iii), and
(2)guidance to ensure that the amount of the payment or deemed payment made under this section is commensurate with the amount of the credit that would be otherwise allowable (determined without regard to section 38(c))..
(b)Application with respect to real estate investment trustsSection 50(d) is amended by adding at the end the following: In the case of a real estate investment trust making an election under section 6417, paragraphs (1)(B) and (2)(B) of the section 46(e) referred to in paragraph (1) of this subsection shall not apply to any qualified investment credit property of a real estate investment trust.
.
(c)Gross-up of payments in case of sequestrationIn the case of any payment made as a refund due to an overpayment as a result of section 6417 of the Internal Revenue Code of 1986 after the date of the enactment of this Act to which sequestration applies, the amount of such payment shall be increased to an amount equal to—
(1)such payment (determined before such sequestration), multiplied by
(2)the quotient obtained by dividing 1 by the amount by which 1 exceeds the percentage reduction in such payment pursuant to such sequestration.For purposes of this subsection, the term sequestration
means any reduction in direct spending ordered in accordance with a sequestration report prepared by the Director of the Office and Management and Budget pursuant to the Balanced Budget and Emergency Deficit Control Act of 1985 or the Statutory Pay-As-You-Go Act of 2010.
(d)The table of sections for subchapter B of chapter 65 is amended by inserting after the item relating to section 6416 the following new item:
Sec. 6417. Elective payment of applicable credits..
(e)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
136105.Investment credit for electric transmission property
(a)Subpart E of part IV of subchapter A of chapter 1 is amended by inserting after section 48C the following new section:
48D.Qualifying electric transmission property
(a)For purposes of section 46, the qualifying electric transmission property credit for any taxable year is an amount equal to 6 percent of the basis of qualifying electric transmission property placed in service by the taxpayer during such taxable year.
(b)Qualifying electric transmission propertyFor purposes of this section—
(1)The term qualifying electric transmission property
means tangible property—
(A)which is a qualifying electric transmission line or related transmission property,
(B)
(i)the construction, reconstruction, or erection of which is completed by the taxpayer, or
(ii)which is acquired by the taxpayer if the original use of such property commences with the taxpayer, and
(C)with respect to which depreciation (or amortization in lieu of depreciation) is allowable.
(2)Qualifying electric transmission lineThe term qualifying electric transmission line
means an electric transmission line which—
(A)is capable of transmitting electricity at a voltage of not less than 275 kilovolts, and
(B)has a transmission capacity of not less than 500 megawatts.
(3)Related transmission property
(A)The term related transmission property
means, with respect to any electric transmission line, any property which—
(i)is listed as a transmission plant
in the Uniform System of Accounts for the Federal Energy Regulatory Commission under part 101 of subchapter C of chapter I of title 18, Code of Federal Regulations, and
(ii)is—
(I)necessary for the operation of such electric transmission line, or
(II)conversion equipment along such electric transmission line.
(B)Credit not allowed separately with respect to related propertyNo credit shall be allowed to any taxpayer under this section with respect to any related transmission property unless such taxpayer is allowed a credit under this section with respect to the qualifying electric transmission line to which such related transmission property relates.
(c)Application to replacement and upgraded systems
(1)In the case of any qualifying electric transmission line (determined without regard to this subsection) which replaces any existing electric transmission line—
(A)the 500 megawatts referred to in subsection (b)(2)(B) shall be increased by the transmission capacity of such existing electric transmission line, and
(B)in no event shall the basis of such existing electric transmission line (or related transmission property with respect to such existing electric transmission line) be taken into account in determining the credit allowed under this section.
(2)Upgrades treated as replacementsFor purposes of this subsection, any upgrade of an existing electric transmission line shall be treated as a replacement of such line.
(d)Exception for certain property and projects already in process
(1)No credit shall be allowed under this section with respect to—
(A)any property that is selected in a regional transmission plan by a regional transmission organization or an independent system operator (as such terms are defined in paragraphs (27) and (28) of section 3 of the Federal Power Act (16 U.S.C. 796)) prior to January 1, 2022, or
(B)any property if—
(i)construction of such property begins before January 1, 2022, or
(ii)construction of any portion of the qualifying electric transmission line to which such property relates begins before such date.
(2)For purposes of subparagraph (B) of paragraph (1), construction of property begins when the taxpayer has begun on-site physical work of a significant nature with respect to such property.
(e)Certain qualified progress expenditures rules made applicableRules similar to the rules of subsections (c)(4) and (d) of section 46 (as in effect on the day before the enactment of the Revenue Reconciliation Act of 1990) shall apply for purposes of this section.
(f)Credit adjustments; Wage and apprenticeship requirements
(1)Increased credit amount for applicable facilities
(A)
(i)In the case of any applicable facility which satisfies the requirements of subparagraph (B), the amount of the credit determined under subsection (a) shall be such amount multiplied by 5 (determined without regard to this sentence).
(ii)Applicable facility definedFor purposes of this subsection, the term applicable facility
means a qualifying electric transmission line and related transmission property to which such qualifying electric transmission line relates.
(B)Applicable facility requirementsAn applicable facility meets the requirements of this subparagraph if it is one of the following:
(i)An applicable facility the construction of which begins prior to the date that is 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (2) and (3).
(ii)An applicable facility which satisfies the requirements of paragraphs (2) and (3).
(2)Prevailing wage requirementsRules similar to the rules of section 48(a)(9) shall apply.
(3)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(4)Domestic content bonus credit amountRules similar to the rules of section 48(a)(11) shall apply.
(5)Phaseout for elective paymentRules similar to the rules of section 48(a)(12) shall apply.
(g)This section shall not apply to any qualifying electric transmission property unless such property is placed in service before January 1, 2032.
(h)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this subsection..
(b)Elective payment of creditSection 6417(b), as amended by the preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(6)The qualifying electric transmission property credit determined under section 48D..
(c)Special rule for property financed by tax-exempt bondsSection 48D, as added by subsection (a), is amended by redesignating subsection (h) as subsection (i) and by inserting after subsection (g) the following new subsection:
(h)Special rule for property financed by tax-exempt bondsRules similar to the rules of section 45(b)(3) shall apply..
(d)
(1)Section 46 is amended—
(A)by striking and
at the end of paragraph (5),
(B)by striking the period at the end of paragraph (6) and inserting , and
, and
(C)by adding at the end the following new paragraph:
(7)the qualifying electric transmission property credit..
(2)Section 49(a)(1)(C) is amended—
(A)by striking and
at the end of clause (iv),
(B)by striking the period at the end of clause (v) and inserting , and
, and
(C)by adding at the end the following new clause:
(vi)the basis of any qualifying electric transmission property under section 48D..
(3)Section 50(a)(2)(E) is amended by striking or 48C(b)(2)
and inserting 48C(b)(2), or 48D(e)
.
(4)The table of sections for subpart E of part IV of subchapter A of chapter 1 of such Code is amended by inserting after the item relating to section 48C the following new item:
Sec. 48D. Qualifying electric transmission property..
(e)
(1)The amendments made by subsections (a), (b), and (d) of this section shall apply to property placed in service after December 31, 2021.
(2)The amendment made by subsection (c) shall apply to property the construction of which begins after December 31, 2021.
(3)Exception for certain property and projects already in processFor exclusion of certain property and projects already in process, see section 48D(d) of the Internal Revenue Code of 1986 (as added by this section).
136106.Extension and modification of credit for carbon oxide sequestration
(a)Modification of carbon oxide capture requirementsSection 45Q(d) is amended to read as follows:
(d)
(1)For purposes of this section, the term qualified facility
means a facility which captures—
(A)in the case of a direct air capture facility, not less than 1,000 metric tons of qualified carbon oxide during the taxable year,
(B)in the case of an electricity generating facility, not less than 18,750 metric tons of qualified carbon oxide during the taxable year and not less than 75 percent by mass of the carbon oxide that would otherwise be released into the atmosphere by such facility during such taxable year, and
(C)in the case of any other facility, not less than 12,500 metric tons of qualified carbon oxide during the taxable year.
(2)The term qualified facility
means any industrial facility or direct air capture facility—
(A)the construction of which begins before January 1, 2032, and
(B)either—
(i)the construction of carbon capture equipment of which begins before such date, or
(ii)the original planning and design of which includes installation of carbon capture equipment..
(b)Determination of applicable dollar amount
(1)Section 45Q(b)(1) is amended by redesignating subparagraph (B) as subparagraph (D) and by inserting after subparagraph (A) the following new subparagraphs:
(B)Special rule for direct air capture facilitiesFor any qualified facility described in subsection (d)(1)(A), the construction of which begins after December 31, 2021, the applicable dollar amount shall be an amount equal to the applicable dollar amount otherwise determined with respect to such facility under subparagraph (A), except that such subparagraph shall be applied—
(i)in clause (i)(I) of such subparagraph, by substituting $36
for $17
, and
(ii)in clause (i)(II) of such subparagraph, by substituting $26
for $12
.
(C)Applicable dollar amount for additional carbon capture equipmentIn the case of any qualified facility the construction of which begins before January 1, 2022, if any additional carbon capture equipment is installed at such facility and construction of such equipment began after December 31, 2021, the applicable dollar amount shall be an amount equal to the applicable dollar amount otherwise determined under subparagraph (A), except that such subparagraph shall be applied by substituting carbon capture equipment
for qualified facility
each place it appears..
(2)
(A)Section 45Q(b)(1)(A) is amended by striking The applicable dollar amount
and inserting Except as provided in subparagraph (B), the applicable dollar amount
.
(B)Section 45Q(b)(1)(D), as redesignated by subparagraph (A), is amended by striking subparagraph (A)
and inserting subparagraph (A), (B), or (C)
.
(C)Section 45Q(b)(2) is amended by inserting Subject to paragraph (3)
before in the case
.
(c)Wage and apprenticeship requirementsSection 45Q is amended by redesignating subsection (h) as subsection (i) and inserting after subsection (g) following new subsection:
(h)Increased credit amount for qualified facilities and carbon capture equipment
(1)In the case of any qualified facility and any carbon capture equipment which satisfy the requirements of paragraph (2), the amount of the credit determined under subsection (a) shall be equal to such amount multiplied by 5 (determined without regard to this sentence).
(2)The requirements described in this subparagraph are that—
(A)with respect to any qualified facility the construction of which begins on or after the date that is 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (3) and (4), as well as any carbon capture equipment placed in service at such facility—
(i)subject to subparagraph (B) of paragraph (3), such facility and equipment shall satisfy the requirements under subparagraph (A) of such paragraph, and
(ii)subject to subparagraph (D) of paragraph (4), the construction of such facility and equipment shall satisfy the requirements under subparagraph (A) of such paragraph, and
(B)with respect to any carbon capture equipment the construction of which begins after the date that is 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (3) and (4), and which is installed at a qualified facility the construction of which began prior to such date—
(i)subject to subparagraph (B) of paragraph (3), such equipment satisfies the requirements of subparagraphs (A) of such paragraph, and
(ii)subject to subparagraph (D) of paragraph (4), the construction of such equipment shall satisfy the requirements under subparagraph (A) of such paragraph.
(3)Prevailing wage requirements
(A)The requirements described in this subparagraph with respect to any qualified facility and any carbon capture equipment placed in service at such facility are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in—
(i)in the case of—
(I)any qualified facility described in subparagraph (A)(i) of paragraph (2), the construction of such facility and carbon capture equipment placed in service at such facility, or
(II)any carbon capture equipment described in subparagraph (A)(ii) of paragraph (2), the construction of such equipment, and
(ii)for the period of the taxable year which is within the 12-year period beginning on the date on which any carbon capture equipment is originally placed in service at any qualified facility (as described in paragraphs (3)(A) and (4)(A) of subsection (a)), the alteration or repair of such facility or such equipment,shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code. For purposes of determining an increased credit amount under paragraph (1) for a taxable year, the requirement under clause (ii) of this paragraph is applied to such taxable year in which the alteration or repair of qualified facility occurs.
(B)Correction and penalty related to failure to satisfy wage requirementsRules similar to the rules of section 45(b)(8)(B) shall apply.
(4)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(5)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this subsection..
(d)Increased applicable dollar amount
(1)Section 45Q(b)(1) is amended—
(A)by amending clause (i) of subparagraph (A) to read as follows:
(i)for any taxable year beginning in a calendar year after 2016 and before 2027—
(I)for purposes of paragraph (3) of subsection (a), $17 for each calendar year during such period, and
(II)for purposes of paragraph (4) of such subsection, $12 for each calendar year during such period, and, and
(B)in clause (ii)—
(i)in subclause (I), by striking $50
and inserting the amount determined under clause (i)(I) with respect to the qualified facility
, and
(ii)in subclause (II), by striking $35
and inserting the amount determined under clause (i)(II) with respect to the qualified facility
.
(e)Installation of additional carbon capture equipment on certain facilitiesSection 45Q(b) is amended by redesignating paragraph (3) as paragraph (4) and by inserting after paragraph (2) the following new paragraph:
(3)Installation of additional carbon capture equipment on certain facilitiesIn the case of a qualified facility described in paragraph (1)(C), for purposes of determining the amount of qualified carbon oxide which is captured by the taxpayer, rules similar to rules of paragraph (2) shall apply for purposes of subsection (a). .
(f)Credit reduced for tax-exempt bondsSection 45Q(f) is amended by adding at the end the following new paragraph:
(8)Credit reduced for tax-exempt bondsRules similar to the rule under section 45(b)(3) shall apply for purposes of this section..
(g)Application of section for certain carbon capture equipmentSection 45Q(g) is amended by inserting the earlier of January 1, 2023 and
before the end of the calendar year
.
(h)Section 45Q(f) is amended by adding at the end the following new paragraph:
(9)For purposes of paragraphs (3) and (4) of subsection (a), a person described in paragraph (3)(A)(ii) may elect, at such time and in such manner as the Secretary may prescribe, to have the 12–year period begin on the first day of the first taxable year in which a credit under this section is claimed with respect to carbon capture equipment which is originally placed in service at a qualified facility on or after the date of the enactment of the Bipartisan Budget Act of 2018 (after application of subsection (f)(6) where applicable) if—
(A)no taxpayer claimed a credit under this section with respect to such carbon capture equipment for any prior taxable year,
(B)the qualified facility at which such carbon capture equipment is placed in service is located in an area affected by a federally–declared disaster (as defined by section 165(i) (5)(A)) after the carbon capture equipment is originally placed in service, and
(C)such federally–declared disaster results in a cessation of the operation of the qualified facility after the carbon capture equipment is originally placed in service..
(i)The amendments made by this section shall apply to facilities or equipment the construction of which begins after December 31, 2021.
136107.Green energy publicly traded partnerships
(a)Section 7704(d)(1)(E) is amended—
(1)by striking income and gains derived from the exploration
and inserting
income and gains derived from—
(i)the exploration,
(2)by inserting or
before industrial source
, and
(3)by striking , or the transportation or storage
and all that follows and inserting the following:
(ii)the generation of electric power or thermal energy exclusively using any qualified energy resource (as defined in section 45(c)(1)),
(iii)the operation of energy property (as defined in section 48(a)(3), determined without regard to any date by which the construction of the facility is required to begin),
(iv)in the case of a facility described in paragraph (3) or (7) of section 45(d) (determined without regard to any placed in service date or date by which construction of the facility is required to begin), the accepting or processing of open-loop biomass or municipal solid waste,
(v)the transportation or storage of any fuel described in subsection (b), (c), (d), or (e) of section 6426,
(vi)the conversion of renewable biomass (as defined in subparagraph (I) of section 211(o)(1) of the Clean Air Act (as in effect on the date of the enactment of this clause)) into renewable fuel (as defined in subparagraph (J) of such section as so in effect), or the storage or transportation of such fuel,
(vii)the production, storage, or transportation of any fuel which—
(I)uses as its primary feedstock carbon oxides captured from an anthropogenic source or the atmosphere,
(II)does not use as its primary feedstock carbon oxide which is deliberately released from naturally occurring subsurface springs, and
(III)is determined by the Secretary to achieve a reduction of not less than a 60 percent in lifecycle greenhouse gas emissions (as defined in section 211(o)(1)(H) of the Clean Air Act, as in effect on the date of the enactment of this clause) compared to baseline lifecycle greenhouse gas emissions (as defined in section 211(o)(1)(C) of such Act, as so in effect), or
(viii)a qualified facility (as defined in section 45Q(d), without regard to any date by which construction of the facility is required to begin)..
(b)The amendments made by this section apply to taxable years beginning after December 31, 2021.
136108.Zero-emission nuclear power production credit
(a)Subpart D of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by adding at the end the following new section:
45W.Zero-emission nuclear power production credit
(a)For purposes of section 38, the zero-emission nuclear power production credit for any taxable year is an amount equal to the amount by which—
(1)the product of—
(A)0.3 cents, multiplied by
(B)the kilowatt hours of electricity—
(i)produced by the taxpayer at a qualified nuclear power facility, and
(ii)sold by the taxpayer to an unrelated person during the taxable year, exceeds
(2)the reduction amount for such taxable year.
(b)
(1)Qualified nuclear power facilityFor purposes of this section, the term qualified nuclear power facility means any nuclear facility—
(A)which is owned by the taxpayer and which uses nuclear energy to produce electricity,
(B) which is not an advanced nuclear power facility as defined in subsection (d)(1) of section 45J, and
(C)which is placed in service before the date of the enactment of this section.
(2)
(A)For purposes of this section, the term reduction amount means, with respect to any qualified nuclear power facility for any taxable year, the amount equal to the lesser of—
(i)the amount determined under subsection (a)(1), or
(ii)the amount equal to 80 percent of the excess of—
(I)subject to subparagraph (B), the gross receipts from any electricity produced by such facility (including any electricity services or products provided in conjunction with the electricity produced by such facility) and sold to an unrelated person during such taxable year, over
(II)the amount equal to the product of—
- (aa)0.5 cents (or 2.5 cents for purposes of determining the amount of the credit for any facility described in subsection (d)(1)(A)), multiplied by
- (bb)the amount determined under subsection (a)(1)(B).
(B)Treatment of certain receipts
(i)The amount determined under subparagraph (A)(ii)(I) shall include any amount received by the taxpayer during the taxable year with respect to the qualified nuclear power facility from a zero-emission credit program unless the amount received by the taxpayer is subject to reduction—
(I)by the full amount of the credit determined under this section, or
(II)by any lesser amount if such amount entirely offsets the amount received from a zero-emission credit program.
(ii)Zero-emission credit programFor purposes of this subparagraph, the term zero-emission credit program means any payments to a qualified nuclear power facility as a result of any Federal, State or local government program for, in whole or in part, the zero-emission, zero-carbon, or air quality attributes of any portion of the electricity produced by such facility.
(3)For purposes of this section, the term electricity means the energy produced by a qualified nuclear power facility from the conversion of nuclear fuel into electric power.
(c)
(1)The 0.3 cent amount in subsection (a)(1)(A) and the 0.5 cent (or 2.5 cents where applicable) amount in subsection (b)(2)(A)(ii)(II)(aa) shall each be adjusted by multiplying such amount by the inflation adjustment factor (as determined under section 45(e)(2), as applied by substituting calendar year 2022
for calendar year 1992
in subparagraph (B) thereof) for the calendar year in which the sale occurs. If any amount as increased under the preceding sentence is not a multiple of 0.1 cent, such amount shall be rounded to the nearest multiple of 0.1 cent.
(2)Rules similar to the rules of paragraphs (1), (3), (4), and (5) of section 45(e) shall apply for purposes of this section.
(3)For purposes of this section, electricity produced by the taxpayer shall be treated as sold to an unrelated person if the ultimate purchaser of such electricity is unrelated to such taxpayer.
(d)
(1)Increased credit amount for qualified nuclear power facilitiesIn the case of any qualified nuclear power facility which satisfies the requirements of paragraph (2), the amount of the credit determined under subsection (a) shall be equal to such amount multiplied by 5 (determined without regard to this sentence).
(2)Prevailing wage requirements
(A)The taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in the alteration or repair of a facility shall be paid wages at rates not less than the prevailing rates for alteration or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code.
(B)Correction and penalty related to failure to satisfy wage requirementsRules similar to the rules of section 45(b)(8)(B) shall apply.
(3)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this subsection.
(e)This section shall not apply to taxable years beginning after December 31, 2029..
(b)
(1)Section 38(b) of the Internal Revenue Code of 1986 is amended—
(A)in paragraph (32), by striking plus
at the end,
(B)in paragraph (33), by striking the period at the end and inserting , plus
, and
(C)by adding at the end the following new paragraph:
(34)the zero-emission nuclear power production credit determined under section 45W(a)..
(2)The table of sections for subpart D of part IV of subchapter A of chapter 1 of such Code is amended by adding at the end the following new item:
Sec. 45W. Zero-emission nuclear power production credit..
(c)Elective payment of creditSection 6417(b), as amended by the preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(7)The zero-emission nuclear power production credit determined under section 45W..
(d)This section shall apply to electricity produced and sold after December 31, 2021, in taxable years beginning after such date.
2
136201.Extension of incentives for biodiesel, renewable diesel and alternative fuels
(a)Biodiesel and renewable diesel creditSection 40A(g) is amended by striking December 31, 2022
and inserting December 31, 2026
.
(b)
(1)Section 6426(c)(6) is amended by striking December 31, 2022
and inserting December 31, 2026
.
(2)Fuels not used for taxable purposesSection 6427(e)(6)(B) is amended by striking December 31, 2022
and inserting December 31, 2026
.
(c)Section 6426(d)(5) is amended by striking December 31, 2021
and inserting December 31, 2026
.
(d)Alternative fuel mixture creditSection 6426(e)(3) is amended by striking December 31, 2021
and inserting December 31, 2026
.
(e)Payments for alternative fuelsSection 6427(e)(6)(C) is amended by striking December 31, 2021
and inserting December 31, 2026
.
(f)The amendments made by this section shall apply to fuel sold or used after December 31, 2021.
136202.Extension of second generation biofuel incentives
(a)Section 40(b)(6)(J)(i) is amended by striking 2022
and inserting 2027
.
(b)The amendment made by subsection (a) shall apply to qualified second generation biofuel production after December 31, 2021.
136203.Sustainable aviation fuel credit
(a)Subpart D of part IV of subchapter A of chapter 1 is amended by inserting after section 40A the following new section:
40B.Sustainable aviation fuel credit
(a)For purposes of section 38, the sustainable aviation fuel credit for the taxable year is, with respect to any sale or use of a qualified mixture which occurs during such taxable year, an amount equal to the product of—
(1)the number of gallons of sustainable aviation fuel in such mixture, multiplied by
(2)the sum of—
(A)$1.25, plus
(B)the applicable supplementary amount with respect to such sustainable aviation fuel.
(b)Applicable supplementary amountFor purposes of this section, the term applicable supplementary amount
means, with respect to any sustainable aviation fuel, an amount equal to $0.01 for each percentage point by which the lifecycle greehouse gas emissions reduction percentage with respect to such fuel exceeds 50 percent. In no event shall the applicable supplementary amount determined under this subsection exceed $0.50.
(c)For purposes of this section, the term qualified mixture
means a mixture of sustainable aviation fuel and kerosene if—
(1)such mixture is produced by the taxpayer in the United States,
(2)such mixture is used by the taxpayer (or sold by the taxpayer for use) in an aircraft,
(3)such sale or use is in the ordinary course of a trade or business of the taxpayer, and
(4)the transfer of such mixture to the fuel tank of such aircraft occurs in the United States.
(d)Sustainable aviation fuelFor purposes of this section, the term sustainable aviation fuel
means liquid fuel which—
(1)meets the requirements of—
(A)ASTM International Standard D7566, or
(B)the Fischer Tropsch provisions of ASTM International Standard D1655, Annex A1,
(2)is not derived from palm fatty acid distillates or petroleum, and
(3)has been certified in accordance with subsection (e) as having a lifecycle greenhouse gas emissions reduction percentage of at least 50 percent.
(e)Lifecycle greenhouse gas emissions reduction percentageFor purposes of this section, the term lifecycle greenhouse gas emissions reduction percentage
means, with respect to any sustainable aviation fuel, the percentage reduction in lifecycle greenhouse gas emissions—
(1)as defined in accordance with—
(A)the most recent Carbon Offsetting and Reduction Scheme for International Aviation which has been adopted by the International Civil Aviation Organization with the agreement of the United States, or
(B)any similar methodology which satisfies the criteria under section 211(o)(1)(H) of the Clean Air Act (42 U.S.C. 7545(o)(1)(H)), and
(2)achieved by such fuel as compared with petroleum-based jet fuel.
(f)Registration of sustainable aviation fuel producersNo credit shall be allowed under this section with respect to any sustainable aviation fuel unless the producer of such fuel is registered with the Secretary under section 4101 and has provided such other information with respect to such fuel as the Secretary may require for purposes of carrying out this section.
(g)Coordination with credit against excise taxThe amount of the credit determined under this section with respect to any sustainable aviation fuel shall, under rules prescribed by the Secretary, be properly reduced to take into account any benefit provided with respect to such sustainable aviation fuel solely by reason of the application of section 6426 or 6427(e).
(h)This section shall not apply to any sale or use after December 31, 2026. .
(b)Credit made part of general business credit Section 38(b) is amended by striking plus
at the end of paragraph (33), by striking the period at the end of paragraph (34) and inserting , plus
, and by inserting after paragraph (34) the following new paragraph:
(35)the sustainable aviation fuel credit determined under section 40B..
(c)Coordination with biodiesel incentives
(1)Section 40A(d)(1) is amended by inserting or 40B
after determined under section 40
.
(2)Section 40A(f) is amended by striking paragraph (4).
(d)Sustainable aviation fuel added to credit for alcohol fuel, biodiesel, and alternative fuel mixtures
(1)Section 6426 is amended by adding at the end the following new subsection:
(k)Sustainable aviation fuel credit
(1)For purposes of this section, the sustainable aviation fuel credit for the taxable year is, with respect to any sale or use of a qualified mixture, an amount equal to the product of—
(A)the number of gallons of sustainable aviation fuel in such mixture, multiplied by
(B)the sum of—
(i)$1.25, plus
(ii)the applicable supplementary amount with respect to such sustainable aviation fuel.
(2)Applicable supplementary amountFor purposes of this subsection, the term applicable supplementary amount
has the meaning given such term in section 40B(b).
(3)Any term used in this subsection which is also used in section 40B shall have the meaning given such term by section 40B.
(4)For purposes of this subsection, rules similar to the rules of section 40B(f) shall apply. .
(2)
(A)Section 6426 is amended—
(i)in subsection (a)(1), by striking and (e)
and inserting (e), and (k)
, and
(ii)in subsection (h), by striking under section 40 or 40A
and inserting under section 40, 40A, or 40B
.
(B)Section 6427(e)(6) is amended by striking the and
at the end of subparagraph (C), by striking the period at the end of subparagraph (D) and inserting , and
, and by adding at the end the following new subparagraph:
(E)any qualified mixture of sustainable aviation fuel (as defined in section 6426(k)(3)) sold or used after December 31, 2026. .
(C)Section 6427(e) is amended in the heading by striking or alternative fuel
and inserting, alternative fuel, or sustainable aviation fuel
.
(D)Section 6427(e)(1) is amended by inserting or the sustainable aviation fuel mixture credit
after alternative fuel mixture credit
.
(E)Section 4101(a)(1) is amended by inserting every person producing sustainable aviation fuel (as defined in section 40B or section 6426(k)(3)),
before and every person producing second generation biofuel
.
(e)Under rules prescribed by the Secretary of the Treasury (or the Secretary’s delegate), the amount of the credit allowed under section 40B of the Internal Revenue Code of 1986 (as added by this subsection) shall be properly reduced to take into account any benefit provided with respect to sustainable aviation fuel (as defined in such section 40B) by reason of the application of section 6426 or section 6427(e).
(f)Amount of credit included in gross incomeSection 87 is amended by striking and
in paragraph (1), by striking the period at the end of paragraph (2) and inserting , and
, and by adding at the end the following new paragraph:
(3)the sustainable aviation fuel credit determined with respect to the taxpayer for the taxable year under section 40B(a). .
(g)The amendments made by this section shall apply to fuel sold or used after December 31, 2022.
136204.
(a)Credit for production of clean hydrogen
(1)Subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new section:
45X.Credit for production of clean hydrogen
(a)For purposes of section 38, the clean hydrogen production credit for any taxable year is an amount equal to the product of—
(1)the applicable amount, multiplied by
(2)the kilograms of qualified clean hydrogen produced by the taxpayer during such taxable year at a qualified clean hydrogen production facility during the 10-year period beginning on the date such facility was originally placed in service.
(b)
(1)For purposes of subsection (a)(1), the applicable amount shall be an amount equal to the applicable percentage of $0.60. If any amount as determined under the preceding sentence is not a multiple of 0.1 cent, such amount shall be rounded to the nearest multiple of 0.1 cent.
(2)For purposes of paragraph (1), the term applicable percentage shall be determined as follows:
(A)In the case of any qualified clean hydrogen which is produced by a facility that is placed in service before January 1, 2027 through a process that results in a lifecycle greenhouse gas emissions rate of—
(i)not greater than 6 kilograms of CO2e per kilogram of hydrogen, and
(ii)not less than 4 kilograms of CO2e per kilogram of hydrogen, the applicable percentage shall be 8.4 percent.
(B)In the case of any qualified clean hydrogen which is produced through a process that results in a lifecycle greenhouse gas emissions rate of—
(i)less than 4 kilograms of CO2e per kilogram of hydrogen, and
(ii)not less than 2.5 kilograms of CO2e per kilogram of hydrogen,the applicable percentage shall be 20 percent.
(C)In the case of any qualified clean hydrogen which is produced through a process that results in a lifecycle greenhouse gas emissions rate of—
(i)less than 2.5 kilograms of CO2e per kilogram of hydrogen, and
(ii)not less than 1.5 kilograms of CO2e per kilogram of hydrogen,the applicable percentage shall be 33.4 percent.
(D)In the case of any qualified clean hydrogen which is produced through a process that results in a lifecycle greenhouse gas emissions rate of—
(i)less than 1.5 kilograms of CO2e per kilogram of hydrogen, and
(ii)not less than 0.45 kilograms of CO2e per kilogram of hydrogen,the applicable percentage shall be 50 percent.
(E)In the case of any qualified clean hydrogen which is produced through a process that results in a lifecycle greenhouse gas emissions rate of less than 0.45 kilograms of CO2e per kilogram of hydrogen, the applicable percentage shall be 100 percent.
(3)The $0.60 amount in paragraph (1) shall be adjusted by multiplying such amount by the inflation adjustment factor (as determined under section 45(e)(2), determined by substituting 2020
for 1992
in subparagraph (B) thereof) for the calendar year in which the qualified clean hydrogen is produced. If any amount as increased under the preceding sentence is not a multiple of 0.1 cent, such amount shall be rounded to the nearest multiple of 0.1 cent.
(c)For purposes of this section—
(1)Lifecycle greenhouse gas emissions
(A)Subject to subparagraph (B), the term ‘lifecycle greenhouse gas emissions’ has the same meaning given such term under subparagraph (H) of section 211(o)(1) of the Clean Air Act (42 U.S.C. 7545(o)(1)), as in effect on the date of enactment of this section.
(B)The term lifecycle greenhouse gas emissions
shall only include emissions through the point of production, as determined under the most recent Greenhouse gases, Regulated Emissions, and Energy use in Transportation model (commonly referred to as the GREET model
) developed by Argonne National Laboratory, or a successor model (as determined by the Secretary).
(2)
(A)The term qualified clean hydrogen means hydrogen which is produced through a process that results in a lifecycle greenhouse gas emissions rate of not greater than 6 kilograms of CO2e per kilogram of hydrogen.
(B)Such term shall not include any hydrogen unless such hydrogen is produced—
(i)in the United States (as defined in section 638(1) or a possession of the United States (as defined in section 638(2)),
(ii)in the ordinary course of a trade or business of the taxpayer, and
(iii)for sale or use, as verified by an unrelated third party of such production and sale or use in such form or manner as the Secretary may prescribe under subsection (f)(2).
(3)Qualified clean hydrogen production facility
(A)The term qualified clean hydrogen production facility means a facility owned by the taxpayer which produces qualified clean hydrogen and which meets the requirements of subparagraph (B).
(B)The term qualified clean hydrogen production facility
shall not include any facility the construction of which begins after December 31, 2028.
(d)
(1)Treatment of facilities owned by more than 1 taxpayerRules similar to the rules section 45(e)(3) shall apply for purposes of this section.
(2)Coordination with credit for carbon oxide sequestrationNo credit shall be allowed under this section with respect to any qualified clean hydrogen produced at a facility which includes carbon capture equipment for which a credit is allowed to any taxpayer under section 45Q for the taxable year or any prior taxable year.
(e)Increased credit amount for qualified clean hydrogen production facilities
(1)In the case of any qualified clean hydrogen production facility which satisfies the requirements of paragraph (2), the amount of the credit determined under subsection (a) with respect to qualified clean hydrogen described in subsection (b)(2) shall be equal to such amount multiplied by 5 (determined without regard to this sentence).
(2)A facility meets the requirements of this subparagraph if it is one of the following:
(A)A facility—
(i)the construction of which begins prior to the date that is 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (3) and (4), and
(ii)which meets the requirements of paragraph (3) with respect to construction, alteration, or repair of facilities which occurs after such date, and
(B)A facility which satisfies the requirements of paragraphs (3) and (4).
(3)Prevailing wage requirements
(A)The requirements described in this subparagraph with respect to any qualified clean hydrogen production facility are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in—
(i)the construction of such facility, and
(ii)for the period of the taxable year which is within the 10-year period beginning on the date the facility was originally placed in service, the alteration or repair of such facility, shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code. For purposes of determining an increased credit amount under paragraph (1) for a taxable year, the requirement under clause (ii) of this paragraph is applied to such taxable year in which the alteration or repair of qualified facility occurs.
(B)Correction and penalty related to failure to satisfy wage requirementsRules similar to the rules of section 45(b)(8)(B) shall apply.
(4)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(5)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this subsection.
(f)Not later than 1 year after the date of enactment of this section, the Secretary shall issue regulations or other guidance to carry out the purposes of this section, including regulations or other guidance—
(1)for determining lifecycle greenhouse gas emissions, and
(2)which require verification by unrelated third parties of the production and sale or use of qualified clean hydrogen with respect to which credit is otherwise allowed under this section..
(2)Elective payment of credit
(A)Section 6417(b), as amended by the preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(8)So much of the the credit for production of clean hydrogen determined under section 45X as is attributable to qualified clean hydrogen production facilities which are originally placed in service after December 31, 2011, and with respect to which an election is made under subsection (c)(3)..
(B)Section 6417(c)(3), as amended by the preceding provisions of this Act, is amended by adding at the end the following new subparagraph:
(D)Credit for production of clean hydrogenIn the case of the credit described in subsection (b)(8), any election under this subsection shall—
(i)apply separately with respect to each qualified clean hydrogen production facility,
(ii)be made for the taxable year in which the facility is placed in service (or within 90 days of date of enactment in the case of facilities placed in service before December 31, 2021),
(iii)shall apply to such taxable year and all subsequent taxable years with respect to such facility..
(3)Credit reduced for tax-exempt bondsSection 45X(d), as added by this section, is amended by adding at the end the following new paragraph:
(3)Credit reduced for tax-exempt bondsRules similar to the rule under section 45(b)(3) shall apply for purposes of this section..
(4)
(A)Section 38(b) is amended—
(i)in paragraph (34), by striking plus
at the end,
(ii)in paragraph (35), by striking the period at the end and inserting , plus
, and
(iii)by adding at the end the following new paragraph:
(36)the clean hydrogen production credit determined under section 45X(a)..
(B)The table of sections for subpart D of part IV of subchapter A of chapter 1 amended by adding at the end the following new item:
Sec. 45X. Credit for production of clean hydrogen..
(5)
(A)The amendments made by paragraphs (1), (2), and (4) of this subsection shall apply to hydrogen produced after December 31, 2021.
(B)The amendment made by paragraph (3) shall apply to facilities the construction of which begins after December 31, 2021.
(b)Credit for electricity produced from renewable resources allowed if electricity is used to produce clean hydrogen
(1)Section 45(e) is amended by adding at the end the following new paragraph:
(13)Special rule for electricity used at a qualified clean hydrogen production facilityElectricity produced by the taxpayer shall be treated as sold by such taxpayer to an unrelated person during the taxable year if such electricity is used during such taxable year by the taxpayer or a person related to the taxpayer at a qualified clean hydrogen production facility (as defined in section 45X(c)(3)) to produce qualified clean hydrogen (as defined in section 45X(c)(2)) during the 10 year period after such facility is placed in service. The Secretary shall issue such regulations or other guidance as the Secretary determines appropriate to carry out the purposes of this paragraph, including regulations or other guidance to require verification by unrelated third parties of the production and use of electricity to which this paragraph applies..
(2)The amendment made by this subsection shall apply to electricity produced after December 31, 2021.
(c)Election to treat clean hydrogen production facilities as energy property
(1)Section 48(a) is amended by adding at the end the following new paragraph:
(15)Election to treat clean hydrogen production facilities as energy property
(A)In the case of any qualified property (as defined in paragraph (5)(D)) which is part of a specified clean hydrogen production facility—
(i)such property shall be treated as energy property for purposes of this section, and
(ii)the energy percentage with respect to such property is—
(I)in the case of a facility which is designed and reasonably expected to produce qualified clean hydrogen which is described in a subparagraph (A) of section 45X(b)(2), 0.5 percent,
(II)in the case of a facility which is designed and reasonably expected to produce qualified clean hydrogen which is described in a subparagraph (B) of such section, 1.2 percent,
(III)in the case of a facility which is designed and reasonably expected to produce qualified clean hydrogen which is described in a subparagraph (C) of such section, 2 percent,
(IV)in the case of a facility which is designed and reasonably expected to produce qualified clean hydrogen which is described in a subparagraph (D) of such section, 3 percent, and
(V)in the case of a facility which is designed and reasonably expected to produce qualified clean hydrogen which is described in subparagraph (E) of such section, 6 percent.
(B)Denial of production creditNo credit shall be allowed under section 45X or section 45Q for any taxable year with respect to any specified clean hydrogen production facility or any carbon capture equipment included at such facility.
(C)Specified clean hydrogen production facilityFor purposes of this paragraph, the term specified clean hydrogen production facility
means any qualified clean hydrogen production facility (as defined in section 45X(c)(3)) or any portion of such facility—
(i)which is placed in service after December 31, 2021, and
(ii)with respect to which—
(I)no credit has been allowed under section 45X or 45Q, and
(II)the taxpayer makes an irrevocable election to have this paragraph apply.
(D)For purposes of this paragraph, the term qualified clean hydrogen
has the meaning given such term by section 45X(c)(2).
(E)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this section, including regulations or other guidance which—
(i)requires verification by one or more unrelated third parties that the facility produces hydrogen which is consistent with the hydrogen that such facility was designed and expected to produce under subparagraph (A)(ii), and
(ii)recaptures so much of any credit allowed under this section as exceeds the amount of the credit which would have been allowed if the expected production were consistent with the actual verified production (or all of the credit so allowed in the absence of such verification)..
(2)The amendments made by this subsection shall apply to property placed in service after December 31, 2021 and, for any property the construction of which begins prior to January 1, 2022, only to the extent of the basis thereof attributable to the construction, reconstruction, or erection after December 31, 2021.
(d)Termination of excise tax credit for hydrogen
(1)Section 6426(d)(2) is amended by striking subparagraph (D) and by redesignating subparagraphs (E), (F), and (G) as subparagraphs (D), (E), and (F), respectively.
(2)Section 6426(e)(2) is amended by striking (F)
and inserting (E)
.
(3)The amendments made by this subsection shall apply to fuel sold or used after December 31, 2021.
3Green energy and efficiency incentives for individuals
136301.Extension, increase, and modifications of nonbusiness energy property credit
(a)Section 25C(g)(2) is amended by striking December 31, 2021
and inserting December 31, 2031
.
(b)Increase in credit percentage for qualified energy efficiency improvementsSection 25C(a)(1) is amended by striking 10 percent
and inserting 30 percent
.
(c)Application of annual limitation in lieu of lifetime limitationSection 25C(b) is amended to read as follows:
(b)
(1)The credit allowed under this section with respect to any taxpayer for any taxable year shall not exceed $1,200.
(2)The credit allowed under this section by reason of subsection (a)(1) with respect to any taxpayer for any taxable year shall not exceed, in the aggregate with respect to all exterior windows and skylights, $600.
(3)The credit allowed under this section by reason of subsection (a)(1) with respect to any taxpayer for any taxable year shall not exceed—
(A)$250 in the case of any exterior door, and
(B)$500 in the aggregate with respect to all exterior doors.
(4)Certain property excluded from limitationAmounts paid or incurred for property described in subsection (d)(2)(A)(ii), subsection (d)(2)(B), or subsection (d)(2)(C) shall not be subject to the limitation in paragraph (1) or factored in for purposes of calculating the limitation under such paragraph. .
(d)Modifications related to qualified energy efficiency improvements
(1)Standards for energy efficient building envelope componentsSection 25C(c)(2) is amended by striking meets—
and all that follows through the period at the end and inserting the following:
meets—
(A)in the case of an exterior window or skylight, Energy Star most efficient certification requirements
(B)in the case of any other component, the prescriptive criteria for such component established by the most recent International Energy Conservation Code standard in effect as of the beginning of the calendar year which is 2 years prior to the calendar year in which such component is placed in service. .
(2)Roofs not treated as building envelope componentsSection 25C(c)(3) is amended by adding and
at the end of subparagraph (B), by striking , and
at the end of subparagraph (C) and inserting a period, and by striking subparagraph (D).
(3)Air sealing insulation added to definition of building envelope componentSection 25C(c)(3)(A) is amended by striking material or system
and inserting material or system, including air sealing material or system,
.
(e)Modification of residential energy property expendituresSection 25C(d) is amended to read as follows:
(d)Residential energy property expendituresFor purposes of this section—
(1)The term residential energy property expenditures
means expenditures made by the taxpayer for qualified energy property which is—
(A)installed on or in connection with a dwelling unit located in the United States and used as a residence by the taxpayer, and
(B)originally placed in service by the taxpayer.Such term includes expenditures for labor costs properly allocable to the onsite preparation, assembly, or original installation of the property.
(2)Qualified energy propertyThe term qualified energy property
means:
(A)Any of the following which meet or exceed the highest efficiency tier (not including any advanced tier) established by the Consortium for Energy Efficiency which is in effect as of the beginning of the calendar year in which the property is placed in service:
(i)An electric heat pump water heater.
(ii)An electric heat pump.
(iii)A central air conditioner.
(iv)A natural gas, propane, or oil water heater.
(v)A natural gas, propane, or oil furnace or hot water boiler.
(B)A geothermal heat pump which meets such requirements of the Energy Star program as are in effect at the time that the expenditure for such equipment is made.
(C)A biomass stove—
(i)which uses the burning of biomass fuel to heat a dwelling unit located in the United States and used as a residence by the taxpayer, or to heat water for use in such a dwelling unit, and
(ii)which has a thermal efficiency rating of at least 75 percent (measured by the higher heating value of the fuel).
(D)Any oil furnace or hot water boiler which—
(i)is placed in service after December 31, 2021 and before January 1, 2027 and meets or exceeds 2021 Energy Star efficiency criteria and is rated by the manufacturer for use with eligible fuel blends of 20 percent or more, or
(ii)is placed in service after December 31, 2026 and achieves an annual fuel utilization efficiency rate of not less than 90 and is rated by the manufacturer for use with eligible fuel blends of 50 percent or more.
(3)For purposes of paragraph (2), the term eligible fuel
means biodiesel and renewable diesel (within the meaning of section 40A) and second generation biofuel (within the meaning of section 40)..
(f)
(1)Section 25C(a) is amended by striking and
at the end of paragraph (1), by striking the period at the end of paragraph (2) and inserting , and
, and by adding at the end the following new paragraph:
(3)30 percent of the amount paid or incurred by the taxpayer during the taxable year for home energy audits..
(2)Section 25C(b), as amended by subsection (c), is amended adding at the end the following new paragraph:
(4)
(A)The amount of the credit allowed under this section by reason of subsection (a)(3) shall not exceed $150.
(B)Substantiation requirementNo credit shall be allowed under this section by reason of subsection (a)(3) unless the taxpayer includes with the taxpayer’s return of tax such information or documentation as the Secretary may require..
(3)
(A)Section 25C, as amended by subsection (a), is amended by redesignating subsections (e), (f), and (g), as subsections (f), (g), and (h), respectively, and by inserting after subsection (d) the following new subsection:
(e)For purposes of this section, the term home energy audit means an inspection and written report with respect to a dwelling unit located in the United States and owned or used by the taxpayer as the taxpayer’s principal residence (within the meaning of section 121) which—
(1)identifies the most significant and cost-effective energy efficiency improvements with respect to such dwelling unit, including an estimate of the energy and cost savings with respect to each such improvement, and
(2)is conducted and prepared by a home energy auditor that meets the certification or other requirements specified by the Secretary (not later than 365 days after the date of the enactment of this subsection) in regulations or other guidance. .
(B)Section 1016(a)(33) is amended by striking section 25C(f)
and inserting section 25C(g)
.
(4)Lack of substantiation treated as mathematical or clerical errorSection 6213(g)(2) is amended—
(A)in subparagraph (P), by striking and
at the end,
(B)in subparagraph (Q), by striking the period at the end and inserting , and
, and
(C)by adding at the end the following:
(R)an omission of correct information or documentation required under section 25C(b)(4)(B) (relating to home energy audits) to be included on a return..
(g)Identification number requirement
(1)Section 25C, as amended by subsections (a) and (f), is amended by redesignating subsection (h) as subsection (i) and by inserting after subsection (g) the following new subsection:
(h)Product identification number requirement
(1)No credit shall be allowed under subsection (a) with respect to any item of specified property placed in service after December 31, 2023, unless—
(A)such item is produced by a qualified manufacturer, and
(B)the taxpayer includes the qualified product identification number of such item on the return of tax for the taxable year.
(2)Qualified product identification numberFor purposes of this section, the term qualified product identification number
means, with respect to any item of specified property, the product identification number assigned to such item by the qualified manufacturer pursuant to the methodology referred to in paragraph (3).
(3)For purposes of this section, the term qualified manufacturer
means any manufacturer of specified property which enters into an agreement with the Secretary which provides that such manufacturer will—
(A)assign a product identification number to each item of specified property produced by such manufacturer utilizing a methodology that will ensure that such number (including any alphanumeric) is unique to each such item (by utilizing numbers or letters which are unique to such manufacturer or by such other method as the Secretary may provide),
(B)label such item with such number in such manner as the Secretary may provide, and
(C)make periodic written reports to the Secretary (at such times and in such manner as the Secretary may provide) of the product identification numbers so assigned and including such information as the Secretary may require with respect to the item of specified property to which such number was so assigned.
(4)For purposes of this subsection, the term specified property
means any qualified energy property and any property described in subparagraph (B) or (C) of subsection (c)(3). .
(2)Omission of correct product identification number treated as mathematical or clerical errorSection 6213(g)(2), as amended by the preceding provisions of this Act, is amended—
(A)in subparagraph (Q), by striking and
at the end,
(B)in subparagraph (R), by striking the period at the end and inserting , and
, and
(C)by adding at the end the following:
(S)an omission of a correct product identification number required under section 25C(h) (relating to credit for nonbusiness energy property) to be included on a return..
(h)
(1)Except as otherwise provided by this subsection, the amendments made by this section shall apply to property placed in service after December 31, 2021.
(2)The amendments made by subsection (f) shall apply to amounts paid or incurred after December 31, 2021.
(3)Identification number requirementThe amendments made subsection (g) shall apply to property placed in service after December 31, 2023.
136302.Residential energy efficient property
(a)
(1)Section 25D(h) is amended by striking December 31, 2023
and inserting December 31, 2033
.
(2)Section 25D(g) is amended—
(A)by striking before January 1, 2023
in paragraph (2) and inserting before January 1, 2022
,
(B)by striking and
at the end of paragraph (2),
(C)by redesignating paragraph (3) as paragraph (5) and by inserting after paragraph (2) the following new paragraphs:
(3)in the case of property placed in service after December 31, 2021, and before January 1, 2032, 30 percent,
(4)in the case of property placed in service after December 31, 2031, and before January 1, 2033, 26 percent, and, and
(D)by striking December 31, 2022, and before January 1, 2024
in paragraph (5) (as so redesignated) and inserting December 31, 2032, and before January 1, 2034
.
(b)Residential energy efficient property credit for battery storage technology
(1)Section 25D(a) is amended by striking and
at the end of paragraph (5) and by inserting after paragraph (6) the following new paragraph:
(7)the qualified battery storage technology expenditures,.
(2)Qualified battery storage technology expenditureSection 25D(d) is amended by adding at the end the following new paragraph:
(7)Qualified battery storage technology expenditureThe term qualified battery storage technology expenditure means an expenditure for battery storage technology which—
(A)is installed in connection with a dwelling unit located in the United States and used as a residence by the taxpayer, and
(B)has a capacity of not less than 3 kilowatt hours..
(c)Credit made refundable; installer requirements; treatment of certain possessionsSection 25D is amended by redesignating subsection (h) as subsection (k) and by inserting after subsection (g) the following new subsections:
(h)Credit made refundable for taxable years after 2021In the case of any taxable year beginning after December 31, 2022, the credit allowed under subsection (a) shall be treated as a credit allowed under subpart C (and not allowed under this subpart).
(i)Requirement for qualified installer
(1)No credit shall be allowed under this section with respect to any property described in subsection (a) placed in service after December 31, 2022 unless—
(A)such property is installed by a qualified installer, and
(B)the taxpayer includes the qualified installation identification number described in paragraph (3) on the return of tax for the taxable year.
(2)
(A)For purposes of this section, the term qualified installer
means an installer who enters into an agreement with the Secretary which provides that such installer will, with respect to expenditures described in subsection (a) in connection with the residence of a taxpayer—
(i)provide the taxpayer with a qualified installation identification number and a written receipt of the purchase and installation of such property in a manner prescribed by the Secretary, and
(ii)make periodic written reports to the Secretary (in such manner as the Secretary may provide) of installation identification numbers assigned by the installer corresponding to such expenditures, including such information as the Secretary may require with respect to such expenditures.
(B)Installer deemed to meet requirementFor purposes of subparagraph (A), to the extent provided by the Secretary, an installer may be deemed to meet the requirement under clause (ii) of such subparagraph on the basis of information available to the Secretary which the Secretary determines is reasonably reliable for purposes of determining the amount of qualified expenditures under subsection (a) made by a taxpayer in connection with a residence of such taxpayer.
(3)Qualified installation identification numberFor purposes of this section, the term qualified installation identification number
means a unique identification number with respect to expenditures described in subsection (a) in connection with a residence of a taxpayer that is installed by a qualified installer.
(4)The Secretary may require such information or registration of a qualified installer as the Secretary deems necessary or appropriate for purposes of preventing duplication, fraud, or improper claims with respect to property described in subsection (a). Under regulations or other guidance prescribed by the Secretary, the registration of any person under this section may be denied, revoked, or suspended if the Secretary determines that such denial, revocation, or suspension is necessary to prevent duplication, fraud, or improper claims with respect to property described in subsection (a).
(j)Treatment of certain possessions
(1)Payments to possessions with mirror code tax systemsThe Secretary shall pay to each possession of the United States which has a mirror code tax system amounts equal to the loss (if any) to that possession by reason of the application of the provisions of this section. Such amounts shall be determined by the Secretary based on information provided by the government of the respective possession.
(2)Payments to other possessionsThe Secretary shall pay to each possession of the United States which does not have a mirror code tax system amounts estimated by the Secretary as being equal to the aggregate benefits (if any) that would have been provided to residents of such possession by reason of the provisions of this section if a mirror code tax system had been in effect in such possession. The preceding sentence shall not apply unless the respective possession has a plan which has been approved by the Secretary under which such possession will promptly distribute such payments to its residents.
(3)Mirror code tax system; treatment of paymentsRules similar to the rules of paragraphs (3), (4), and (5) of section 21(h) shall apply for purposes of this section. .
(d)Certain expenditures disallowedSection 25D is amended—
(1)in subsection (a), by adding and
at the end of paragraph (3), by striking the comma at the end of paragraph (4) and inserting a period, and by striking paragraphs (5) and (6), and
(2)in subsection (d), by striking paragraphs (5) and (6).
(e)Section 6213(g)(2), as amended by the preceding provisions of this Act, is amended—
(1)in subparagraph (T), by striking and
at the end,
(2)in subparagraph (U), by striking the period at the end and inserting , and
, and
(3)by adding at the end the following:
(V)an omission of a correct qualified installation identification number required under section 25D (relating to credit for residential energy efficient property) to be included on a return..
(f)
(1)The amendments made by subsections (a), (b), (d), and (e) shall apply to expenditures made after December 31, 2021.
(2)The amendments made by subsection (c) shall apply to expenditures made after December 31, 2022.
136303.Energy efficient commercial buildings deduction
(a)Placed in service requirementSection 179D(c)(2) is amended to read as follows:
(2)The term Reference Standard 90.1
means, with respect to any property, the more recent of—
(A)Standard 90.1-2007 published by the American Society of Heating, Refrigerating, and Air Conditioning Engineers and the Illuminating Engineering Society of North America, or
(B)the most recent Standard 90.1 published by the American Society of Heating, Refrigerating, and Air Conditioning Engineers and the Illuminating Engineering Society of North America for which the Department of Energy has issued a final determination and which has been affirmed by the Secretary for purposes of this section not later than the date that is 4 years before the date such property is placed in service..
(b)Temporary increase in deduction, etc.Section 179D is amended by adding at the end the following:
(i)
(1)The provisions of this subsection shall apply only to taxable years beginning after December 31, 2021, and before January 1, 2032.
(2)Modification of efficiency standardSubsection (c)(1)(D) shall be applied by substituting 25
for 50
.
(3)Maximum amount of deduction
(A)The deduction under subsection (a) with respect to any building for any taxable year shall not exceed the excess (if any) of—
(i)the product of—
(I)the applicable dollar value, and
(II)the square footage of the building, over
(ii)the aggregate amount of the deductions under subsection (a) and paragraph (6) with respect to the building for the 3 taxable years immediately preceding such taxable year (or, in the case of any such deduction allowable to a person other than the taxpayer, for any taxable year ending during the 4-taxable-year period ending with such taxable year).
(B)For purposes of paragraph (3)(A)(i), the applicable dollar value shall be an amount equal to $0.50 increased (but not above $1.00) by $0.02 for each percentage point by which the total annual energy and power costs for the building are certified to be reduced by a percentage greater than 25 percent.
(C)Application of inflation adjustmentSubsection (g) shall be applied—
(i)by substituting 2022
for 2020
,
(ii)by substituting subsection (i)(3)(B)
for subsection (b) or subsection (d)(1)(A)
, and
(iii)by substituting 2021
for 2019
.
(D)Limitation to apply in lieu of current limitation and partial allowanceSubsections (b) and (d)(1) shall not apply.
(4)Increased credit amount for certain property
(A)In the case of any property which satisfies the requirements of subparagraph (B), paragraph (3)(B) shall be applied by substituting $2.50
for $0.50
, $.10
for $.02
, and $5.00
for $1.00
.
(B)A project meets the requirements of this subparagraph if it is one of the following:
(i)A building or qualified retrofit plan the construction of which begins prior to 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (5) and (6).
(ii)A building or qualified retrofit plan the construction of which satisfies the requirements of paragraphs (5) and (6).
(5)Prevailing wage requirements
(A)The requirements described in this subparagraph with respect to any project are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in the construction of any property or with respect to building modifications made as part of a qualified retrofit plan shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code.
(B)Correction and penalty related to failure to satisfy wage requirementsRules similar to the rules of section 45(b)(8)(B) shall apply.
(6)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(7)Allocation of deduction by certain tax-exempt entities
(A)A specified tax-exempt entity shall be treated in the same manner as a Federal, State, or local government for purposes of applying subsection (d)(4).
(B)Specified tax-exempt entityFor purposes of this paragraph, the term specified tax-exempt entity
means—
(i)the United States, any State or political subdivision thereof, any possession of the United States, or any agency or instrumentality of any of the foregoing,
(ii)any Indian tribal government (within the meaning of section 139E), and
(iii)any organization exempt from tax imposed by this chapter.
(8)Alternative deduction for energy efficient retrofit building property
(A)In the case of a taxpayer which elects (at such time and in such manner as the Secretary may provide) the application of this paragraph with respect to any qualified building, there shall be allowed as a deduction for the taxable year which includes the date of the qualifying final certification with respect to the qualified retrofit plan of such building, an amount equal to the lesser of—
(i)the excess described in paragraph (3) (determined by substituting energy usage intensity
for total annual energy and power costs
in subparagraph (B) thereof), or
(ii)the aggregate adjusted basis (determined after taking into account all adjustments with respect to such taxable year other than the reduction under subsection (e)) of energy efficient retrofit building property placed in service by the taxpayer pursuant to such qualified retrofit plan.
(B)For purposes of this paragraph, the term qualified retrofit plan
means a written plan prepared by a qualified professional which specifies modifications to a building which, in the aggregate, are expected to reduce such building’s energy usage intensity by 25 percent or more in comparison to the baseline energy usage intensity of such building. Such plan shall provide for a qualified professional to—
(i)as of any date during the 1-year period ending on the date of the first certification described in clause (ii), certify the energy usage intensity of such building as of such date,
(ii)certify the status of property installed pursuant to such plan as meeting the requirements of clauses (ii) and (iii) subparagraph (C), and
(iii)as of any date that is more than 1 year after completion of the plan, certify the energy usage intensity of such building as of such date.
(C)Energy efficient retrofit building propertyFor purposes of this paragraph, the term energy efficient retrofit building property
means property—
(i)with respect to which depreciation (or amortization in lieu of depreciation) is allowable,
(ii)which is installed on or in any qualified building,
(iii)which is installed as part of—
(I)the interior lighting systems,
(II)the heating, cooling, ventilation, and hot water systems, or
(III)the building envelope, and
(iv)which is certified in accordance with subparagraph (B)(ii) as meeting the requirements of clauses (ii) and (iii).
(D)For purposes of this paragraph, the term qualified building
means any building which—
(i)is located in the United States, and
(ii)was originally placed in service not less than 5 years before the establishment of the qualified retrofit plan with respect to such building.
(E)Qualifying final certificationFor purposes of this paragraph, the term qualifying final certification
means, with respect to any qualified retrofit plan, the certification described in subparagraph (B)(iii) if the energy usage intensity certified in such certification is not more than 75 percent of the baseline energy usage intensity of the building.
(F)Baseline energy usage intensity
(i)The term baseline energy usage intensity
means the energy usage intensity certified under subparagraph (B)(i), as adjusted to take into account weather as compared to the energy usage intensity determined under subparagraph (B)(iii).
(ii)Determination of adjustmentFor purposes of clause (i), the adjustments described in such clause shall be determined in such manner as the Secretary may provide.
(G)For purposes of this paragraph—
(i)The term energy usage intensity
means the annualized, measured site energy usage intensity determined in accordance with such regulations or other guidance as the Secretary may provide and measured in British thermal units.
(ii)The term qualified professional
means an individual who is a licensed architect or a licenced engineer and meets such other requirements as the Secretary may provide.
(H)Coordination with deduction otherwise allowed under subsection (a)
(i)In the case of any building with respect to which an election is made under subparagraph (A), the term energy efficient commercial building property
shall not include any energy efficient retrofit building property with respect to which a deduction is allowable under this paragraph.
(ii)Certain rules not applicable
(I)Except as provided in subclause (II), subsection (d) shall not apply for purposes of this paragraph.
(II)Allocation of deduction by certain tax-exempt entitiesRules similar to subsection (d)(4) (determined after application of paragraph (5)) shall apply for purposes of this paragraph..
(c)Application to real estate investment trust earnings and profitsSection 312(k)(3)(B) is amended—
(1)by striking for purposes of computing the earnings and profits of a corporation
and inserting the following:
(i)For purposes of computing the earnings and profits of a corporation, except as provided in clause (ii), and
(2)by adding at the end the following new clause:
(ii)In the case of a corporation that is a real estate investment trust, any amount deductible under section 179D shall be allowed in the year in which the property giving rise to such deduction is placed in service..
(d)Section 179D(d)(2) is amended by striking not later than the date that is 2 years before the date that construction of such property begins
and inserting not later than the date that is 4 years before the date such property is placed in service
.
(e)
(1)Except as otherwise provided in this subsection, the amendment made by this section shall apply to taxable years beginning after December 31, 2021.
(2)Alternative deduction for energy efficient retrofit building propertyParagraph (8) of section 179D(i) of the Internal Revenue Code of 1986 (as added by this section), and any other provision of such section solely for purposes of applying such paragraph, shall apply to property placed in service after December 31, 2021 (in taxable years ending after such date) if such property is placed in service pursuant to qualified retrofit plan (within the meaning of such section) established after such date.
136304.Extension, increase, and modifications of new energy efficient home credit
(a)Section 45L(g) is amended by striking December 31, 2021
and inserting December 31, 2031
.
(b)Increase in credit amountsSection 45L(a)(2) is amended to read as follows:
(2)For purposes of paragraph (1), the applicable amount is an amount equal to—
(A)in the case of a dwelling unit which is eligible to participate in the Energy Star Residential New Construction Program or the Energy Star Manufactured New Homes program—
(i)that is described in subsection (c)(1)(A) (and not described in subsection (c)(1)(B)), $2,500, and
(ii)that is described in subsection (c)(1)(B), $5000, and
(B)in the case of a dwelling unit which is part of a building eligible to participate in the Energy Star Multifamily New Construction Program—
(i)that is described in subsection (c)(1)(A) (and not described in subsection (c)(1)(B)), $500, and
(ii)that is described in subsection (c)(1)(B), $1000..
(c)Modification of energy saving requirementsSection 45L(c) is amended to read as follows:
(c)Energy saving requirements
(1)A dwelling unit meets the energy saving requirements of this subsection if—
(A)such dwelling unit meets the requirements of paragraph (2) or (3) (whichever is applicable), or
(B)such dwelling unit is certified as a zero energy ready home under the zero energy ready home program of the Department of Energy (or any successor program determined by the Secretary) as in effect on January 1, 2022.
(2)Single-family home requirementsA dwelling unit meets the requirements of this paragraph if—
(A)such dwelling unit meets—
(i)in the case of a dwelling unit acquired before January 1, 2025, the Energy Star Single-Family New Homes National Program Requirements 3.1, and
(ii)in the case of a dwelling unit acquired after December 31, 2024, the Energy Star Single-Family New Homes National Program Requirements 3.2,
(B)such dwelling unit meets the most recent Energy Star Single-Family New Homes Program Requirements applicable to the location of such dwelling unit (as in effect on the latter of January 1, 2022 or January 1 of two calendar years prior to the date the dwelling unit was acquired), or
(C)such dwelling unit meets the most recent Energy Star Manufactured Home National program requirements as in effect on the latter of January 1, 2022 or January 1 of two calendar years prior to the date such dwelling unit is acquired.
(3)Multi-family home requirementsA dwelling unit meets the requirements of this paragraph if—
(A)such dwelling unit meets the most recent Energy Star Multifamily New Construction National Program Requirements (as in effect on either January 1, 2022 or January 1 of three calendar years prior to the date the dwelling was acquired, whichever is later), and
(B)such dwelling unit meets the most recent Energy Star Multifamily New Construction Regional Program Requirements applicable to the location of such dwelling unit (as in effect on either January 1, 2022 or January 1 of three calendar years prior to the date the dwelling was acquired, whichever is later)..
(d)Prevailing wage requirementSection 45L is amended by redesignating subsection (g) as subsection (h) and by inserting after subsection (f) the following new subsection:
(g)Prevailing wage requirement
(1)In the case of a qualifying residence described in subsection (b)(2)(B) meeting the prevailing wage requirements of paragraph (2), the credit amount allowed with respect to such residence shall be—
(A)$2,500 in the case of a residence described in subparagraph (A) of subsection (c)(1) (and not described in subparagraph (B) of such subsection), and
(B)$5,000 in the case of a residence described in (c)(1)(B).
(2)Prevailing wage requirements
(A)The requirements described in this paragraph with respect to any qualified residence are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in the construction of such residence shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code.
(B)Correction and penalty related to failure to satisfy wage requirementsRules similar to the rules of section 45(b)(8)(B) shall apply.
(3)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this subsection..
(e)The amendments made by this section shall apply to dwelling units acquired after December 31, 2021.
136305.Modifications to income exclusion for conservation subsidies
(a)Section 136(a) is amended—
(1)by striking any subsidy provided
and inserting
any subsidy—
(1)provided,
(2)by striking the period at the end and inserting a comma, and
(3)by adding at the end the following new paragraphs:
(2)provided (directly or indirectly) by a public utility to a customer, or by a State or local government to a resident of such State or locality, for the purchase or installation of any water conservation or efficiency measure,
(3)provided (directly or indirectly) by a storm water management provider to a customer, or by a State or local government to a resident of such State or locality, for the purchase or installation of any storm water management measure, or
(4)provided (directly or indirectly) by a State or local government to a resident of such State or locality for the purchase or installation of any wastewater management measure, but only if such measure is with respect to the taxpayer’s principal residence..
(b)
(1)Definition of water conservation or efficiency measure and storm water management measureSection 136(c) is amended—
(A)by striking Energy conservation measure
in the heading thereof and inserting Definitions
,
(B)by striking In general
in the heading of paragraph (1) and inserting Energy conservation measure
, and
(C)by redesignating paragraph (2) as paragraph (5) and by inserting after paragraph (1) the following:
(2)Water conservation or efficiency measureFor purposes of this section, the term water conservation or efficiency measure means any evaluation of water use, or any installation or modification of property, the primary purpose of which is to reduce consumption of water or to improve the management of water demand with respect to one or more dwelling units.
(3)Storm water management measureFor purposes of this section, the term storm water management measure means any installation or modification of property primarily designed to reduce or manage amounts of storm water with respect to one or more dwelling units.
(4)Wastewater management measureFor purposes of this section, the term wastewater management measure means any installation or modification of property primarily designed to manage wastewater (including septic tanks and cesspools) with respect to one or more dwelling units..
(2)Definition of public utilitySection 136(c)(5) (as redesignated by paragraph (1)(C)) is amended by striking subparagraph (B) and inserting the following:
(B)The term public utility means a person engaged in the sale of electricity, natural gas, or water to residential, commercial, or industrial customers for use by such customers.
(C)Storm water management providerThe term storm water management provider means a person engaged in the provision of storm water management measures to the public.
(D)For purposes of subparagraphs (B) and (C), the term person includes the Federal Government, a State or local government or any political subdivision thereof, or any instrumentality of any of the foregoing..
(3)
(A)The heading for section 136 is amended—
(i)by inserting and water
after energy
, and
(ii)by striking provided by public utilities
.
(B)The item relating to section 136 in the table of sections of part III of subchapter B of chapter 1 is amended—
(i)by inserting and water
after energy
, and
(ii)by striking provided by public utilities
.
(c)The amendments made by this section shall apply to amounts received after December 31, 2018.
(d)Nothing in this Act or the amendments made by this Act shall be construed to create any inference with respect to the proper tax treatment of any subsidy received directly or indirectly from a public utility, a storm water management provider, or a State or local government for any water conservation measure or storm water management measure before January 1, 2019.
136306.Credit for qualified wildfire mitigation expenditures
(a)Subpart B of part IV of subchapter A of chapter 1 is amended by inserting after section 27 the following new section:
28.Qualified wildfire mitigation expenditures
(a)There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 30 percent of the qualified wildfire mitigation expenditures paid or incurred by the taxpayer during such taxable year with respect to real property owned or leased by the taxpayer.
(b)Qualified wildfire mitigation expendituresFor purposes of this section—
(1)The term qualified wildfire mitigation expenditures
means any specified wildfire mitigation expenditure made pursuant to a qualified State wildfire mitigation program of a State which requires expenditures for wildfire mitigation to be paid both by the taxpayer and such State. Such term shall not include any item of expenditure unless the ratio of the State’s expenditure for such item to the sum of the State’s and taxpayer’s expenditures for such item is not less than 25 percent.
(2)Specified wildfire mitigation expenditureThe term specified wildfire mitigation expenditure
means, with respect to any real property owned or leased by the taxpayer, any amount paid or incurred to reduce the risk of wildfire by removing accumulations of vegetation (including establishing, expanding, or maintaining fuel breaks to serve as fire breaks) on such real property.
(3)Qualified State wildfire mitigation programThe term qualified State wildfire mitigation program
means any program of a State the primary purpose of which is to mitigate the risk of wildfires in such State.
(4)Treatment of reimbursementsAny amount originally paid or incurred by the taxpayer which is reimbursed by a State under a qualified wildfire mitigation program of such State shall be treated as paid by such State (and not by such taxpayer).
(c)Application with other credits
(1)Business credit treated as part of general business creditSo much of the credit which would be allowed under subsection (a) for any taxable year (determined without regard to this subsection) that is attributable to expenditures made in the ordinary course of the taxpayer’s trade or business (or, in the case of expenditures made by a State, would have been expenditures made in the ordinary course of the taxpayer’s trade or business if made by the taxpayer) shall be treated as a credit listed in section 38(b) for taxable year (and not allowed under subsection (a)).
(2)For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable year.
(d)Reduction of credit percentage where taxpayer expenditures less than 30 percent
(1)If the expenditure percentage with respect to any item of qualified wildfire mitigation expenditure is less than 30 percent, subsection (a) shall be applied by substituting the expenditure percentage
for 30 percent
with respect to such item of expenditure.
(2)For purposes of this section, the term expenditure percentage
means, with respect to any item of qualified wildfire mitigation expenditure any portion of which is paid or incurred by a State, the ratio (expressed as a percentage) of—
(A)the taxpayer’s expenditure for such item, divided by
(B)the sum of the taxpayer’s and such State’s expenditures for such item.
(e)
(1)Treatment of expenditures related to marketable timberAn expenditure shall not be taken into account for purposes of this section (whether made by the taxpayer or a State pursuant to a qualified State wildfire mitigation program of such State) if such expenditure is properly allocable to timber which is sold or exchanged by the taxpayer. The preceding sentence shall not apply to the extent that such amount exceeds the gain on such sale or exchange.
(2)For purposes of this subtitle, if the basis of any property would (but for this paragraph) be determined by taking into account any qualified wildfire mitigation expenditure, the basis of such property shall be reduced by the amount of the credit allowed under subsection (a) with respect to such expenditure (determined without regard to subsection (c)).
(3)The amount of any deduction or other credit allowable under this chapter for any expenditure for which a credit is allowable under subsection (a) shall be reduced by the amount of credit allowed under such subsection for such expenditure (determined without regard to subsection (c))..
(b)
(1)Section 38(b), as amended by the preceding provisions of this Act, is amended by striking plus
at the end of paragraph (35), by striking the period at the end of paragraph (36) and inserting , plus
, and by adding at the end the following new paragraph:
(37)the portion of the qualified wildfire mitigation expenditures credit to which section 28(c)(1) applies..
(2)Section 1016(a) is amended by redesignating paragraphs (35) through (38) as paragraphs (36) through (39), respectively, and by inserting after paragraph (34) the following new paragraph:
(35)to the extent provided in section 28(e)(2),.
(3)The table of sections for subpart B of part IV of subchapter A of chapter 1 is amended by inserting after the item relating to section 27 the following new item:
Sec. 28. Qualified wildfire mitigation expenditures..
(c)The amendments made by this section shall apply to expenditures paid or incurred after the date of the enactment of this Act, in taxable years ending after such date.
4Greening the fleet and alternative vehicles
136401.Refundable new qualified plug-in electric drive motor vehicle credit for individuals
(a)Subpart C of part IV of subchapter A of chapter 1 is amended by inserting after section 36B the following new section:
36C.New qualified plug-in electric drive motor vehicles
(a)In the case of an individual, there shall be allowed as a credit against the tax imposed by this subtitle for the taxable year an amount equal to the sum of the credit amounts determined under subsection (b) with respect to each new qualified plug-in electric drive motor vehicle placed in service by the taxpayer during the taxable year.
(b)
(1)The amount determined under this subsection with respect to any new qualified plug-in electric drive motor vehicle is the sum of the amounts determined under paragraphs (2) through (5) with respect to such vehicle (not to exceed 50 percent of the purchase price of such vehicle).
(2)The amount determined under this paragraph is $4,000.
(3)In the case of a new qualified plug-in electric drive motor vehicle, the amount determined under this paragraph is $3,500 if—
(A)in the case of a vehicle placed in service before January 1, 2027, such vehicle draws propulsion energy from a battery with not less than 40 kilowatt hours of capacity and has a gasoline tank capacity not greater than 2.5 gallons, and
(B)in the case of a vehicle placed in service after December 31, 2026, such vehicle draws propulsion energy from a battery with not less than 50 kilowatt hours of capacity and has a gasoline tank capacity not greater than 2.5 gallons.
(4)In the case of a new qualified electric drive plug-in vehicle which satisfies the domestic assembly qualifications, the amount determined under this paragraph is $4,500.
(5)In the case of a new qualified electric drive plug-in vehicle which satisfies domestic content qualifications, the amount determined under this paragraph is $500.
(c)Limitation based on modified adjusted gross income
(1)The amount of the credit allowable under subsection (a) for any taxable year shall be reduced (but not below zero) by $200 for each $1,000 (or fraction thereof) by which—
(A)the lesser of—
(i)the taxpayer’s modified adjusted gross income for such taxable year, or
(ii)the taxpayer’s modified adjusted gross income for the preceding taxable year, exceeds
(B)the threshold amount. For purposes of the preceding sentence, the term modified adjusted gross income
means adjusted gross income increased by any amount excluded from gross income under section 911, 931, or 933.
(2)For purposes of paragraph (1), the term threshold amount
means—
(A)$800,000 in the case of a joint return or surviving spouse (half such amount in the case of a married individual filing a separate return),
(B)$600,000 in the case of a head of household, and
(C)$400,000 in any other case.
(d)Manufacturer’s suggested retail price limitation
(1)No credit shall be allowed under subsection (a) for a vehicle with a manufacturer’s suggested retail price in excess of the applicable limitation.
(2)For purposes of paragraph (1), the applicable limitation for each vehicle classification is as follows:
(A)In the case of a van, $64,000.
(B)In the case of a sport utility vehicle, $69,000.
(C)In the case of a pickup truck, $74,000.
(D)In the case of any other vehicle, $55,000.
(3)For purposes of this subsection, the Secretary shall prescribe such regulations or other guidance as the Secretary determines necessary or appropriate for determining vehicle classifications using criteria similar to that employed by the Environmental Protection Agency and the Department of the Energy to determine size and class of vehicles.”
(e)New qualified plug-in electric drive motor vehicleFor purposes of this section—
(1)The term new qualified plug-in electric drive motor vehicle
means a motor vehicle—
(A)the original use of which commences with the taxpayer,
(B)which is acquired for use by the taxpayer and not for resale,
(C)which is made by a qualified manufacturer,
(D)which is treated as a motor vehicle for purposes of title II of the Clean Air Act,
(E)which has a gross vehicle weight rating of less than 14,000 pounds,
(F)which is propelled to a significant extent by an electric motor which draws electricity from a battery which—
(i)has a capacity of not less than 10 kilowatt hours, and
(ii)is capable of being recharged from an external source of electricity,
(G)with respect to which, in the case of a vehicle placed in service after December 31, 2026, final assembly is within the United States,
(H)is not of a character subject to an allowance for depreciation, and
(I)for which the person who sells or leases any new qualified plug-in electric vehicle to the taxpayer furnishes a report to the taxpayer and to the Secretary, at such time and in such manner as the Secretary shall provide, containing—
(i)the name and taxpayer identification number of the taxpayer,
(ii)the vehicle identification number of the vehicle, unless, in accordance with any applicable rules promulgated by the Secretary of Transportation, the vehicle is not assigned such a number,
(iii)the battery capacity of the vehicle,
(iv)in the case of any new qualified plug-in electric vehicle, verification that original use of the vehicle commences with the taxpayer,
(v)the maximum credit under this section allowable to the taxpayer with respect to the vehicle, and
(vi)any amount described in subsection (k)(2)(C) which has been provided to the taxpayer.
(2)The term motor vehicle
means any vehicle which is manufactured primarily for use on public streets, roads, and highways (not including a vehicle operated exclusively on a rail or rails) and which has at least 4 wheels.
(3)The term qualified manufacturer
means any manufacturer (within the meaning of the regulations prescribed by the Administrator of the Environmental Protection Agency for purposes of the administration of title II of the Clean Air Act (42 U.S.C. 7521 et seq.)) which enters into a written agreement with the Secretary under which such manufacturer agrees—
(A)to ensure that each vehicle manufactured by such manufacturer after the later of the date on which such agreement takes effect or December 31, 2021, and that meets the requirements of subsection (d), subparagraphs (D), (E), and (F) of paragraph (1), and paragraph (6) of subsection (f) is labeled with a unique vehicle identification number, and
(B)to make periodic written reports to the Secretary (at such times and in such manner as the Secretary may provide) providing such vehicle identification numbers and such other information related to such vehicle as the Secretary may require.
(4)The term capacity
means, with respect to any battery, the quantity of electricity which the battery is capable of storing, expressed in kilowatt hours, as measured from a 100 percent state of charge to a 0 percent state of charge.
(f)
(1)For purposes of this subtitle, the basis of any property for which a credit is allowable under subsection (a) shall be reduced by the amount of such credit so allowed.
(2)The amount of any deduction or other credit allowable under this chapter for a vehicle for which a credit is allowable under subsection (a) shall be reduced by the amount of credit allowed under such subsection for such vehicle.
(3)Property used outside united states not qualifiedNo credit shall be allowable under subsection (a) with respect to any property referred to in section 50(b)(1).
(4)The Secretary shall, by regulations or other guidance, provide for recapturing the benefit of any credit allowable under subsection (a) with respect to any property which ceases to be property eligible for such credit.
(5)Election not to take creditNo credit shall be allowed under subsection (a) for any vehicle if the taxpayer elects to not have this section apply to such vehicle.
(6)Interaction with air quality and motor vehicle safety standardsA vehicle shall not be considered eligible for a credit under this section unless such vehicle is in compliance with—
(A)the applicable provisions of the Clean Air Act for the applicable make and model year of the vehicle (or applicable air quality provisions of State law in the case of a State which has adopted such provision under a waiver under section 209(b) of the Clean Air Act), and
(B)the motor vehicle safety provisions of sections 30101 through 30169 of title 49, United States Code.
(g)Credit allowed for 2 and 3-wheeled plug-in electric vehicles
(1)In the case of a qualified 2- or 3-wheeled plug-in electric vehicle—
(A)there shall be allowed as a credit against the tax imposed by this subtitle for the taxable year an amount equal to the sum of the applicable amount with respect to each such qualified 2- or 3-wheeled plug-in electric vehicle placed in service by the taxpayer during the taxable year, and
(B)the amount of the credit allowed under subparagraph (A) shall be treated as a credit allowed under subsection (a).
(2)For purposes of paragraph (1), the applicable amount is an amount equal to the lesser of—
(A)30 percent of the cost of the qualified 2- or 3-wheeled plug-in electric vehicle, or
(B)$7,500.
(3)Qualified 2- or 3-wheeled plug-in electric vehicleThe term qualified 2- or 3-wheeled plug-in electric vehicle
means any vehicle which—
(A)has 2 or 3 wheels,
(B)meets the requirements of—
(i)subparagraphs (A), (B), (C), (E), (F), (G), and (I) of subsection (e)(1) (determined by substituting 2.5 kilowatt hours
for 10 kilowatt hours
in subparagraph (F)(i)),
(ii)paragraphs (3) and (4) of subsection (e), and
(iii)subsections (f), (h), (i), and (k),
(C)is manufactured primarily for use on public streets, roads, and highways, and
(D)is capable of achieving a speed of 45 miles per hour or greater.
(h)No credit shall be allowed under this section with respect to any vehicle unless the taxpayer includes the vehicle identification number of such vehicle on the return of tax for the taxable year.
(i)Treatment of certain possessions
(1)Payments to possessions with mirror code tax systemsThe Secretary shall pay to each possession of the United States which has a mirror code tax system amounts equal to the loss (if any) to that possession by reason of the application of the provisions of this section (determined without regard to this subsection). Such amounts shall be determined by the Secretary based on information provided by the government of the respective possession.
(2)Payments to other possessionsThe Secretary shall pay to each possession of the United States which does not have a mirror code tax system amounts estimated by the Secretary as being equal to the aggregate benefits (if any) that would have been provided to residents of such possession by reason of the provisions of this section if a mirror code tax system had been in effect in such possession. The preceding sentence shall not apply unless the respective possession has a plan which has been approved by the Secretary under which such possession will promptly distribute such payments to its residents.
(3)Mirror code tax system; treatment of paymentsRules similar to the rules of paragraphs (3), (4), and (5) of section 21(h) shall apply for purposes of this section.
(j)Assembly and content qualificationsFor purposes of this section—
(1)Domestic assembly qualificationsThe term domestic assembly qualifications
means, with respect to any new qualified plug-in electric vehicle, that the final assembly of such vehicle occurs at a plant, factory, or other place which is located in the United States and operating under a collective bargaining agreement negotiated by an employee organization (as defined in section 412(c)(4)), determined in a manner consistent with section 7701(a)(46).
(2)Domestic content qualificationsThe term domestic content qualifications
means, with respect to any model of a new qualified plug-in electric vehicle, that vehicles of that model are powered by battery cells which are manufactured in the United States as certified by the manufacturer at such time and in such form and manner as the Secretary may prescribe.
(3)The term final assembly
means the process by which a manufacturer produces a new qualified plug-in electric drive motor vehicle at, or through the use of, a plant, factory, or other place from which the vehicle is delivered to a dealer or importer with all component parts necessary for the mechanical operation of the vehicle included with the vehicle, whether or not the component parts are permanently installed in or on the vehicle.
(k)No credit shall be allowed under this section with respect to any vehicle acquired after December 31, 2031. .
(b)
(1)Section 36C, as added by subsection (a), is amended by redesignating subsection (k) as subsection (l) and by inserting after subsection (j) following new subsection:
(k)
(1)Subject to such regulations or other guidance as the Secretary determines necessary or appropriate, if the taxpayer who acquires a new plug-in electric drive motor vehicle elects the application of this subsection with respect to such vehicle, the credit which would (but for this subsection) be allowed to such taxpayer with respect to such vehicle shall be allowed to the eligible entity specified in such election (and not to such taxpayer).
(2)For purposes of this paragraph, the term eligible entity
means, with respect to the vehicle for which the credit is allowed under subsection (a), the dealer which sold such vehicle to the taxpayer and has—
(A)subject to paragraph (4), registered with the Secretary for purposes of this paragraph, at such time, and in such form and manner, as the Secretary may prescribe,
(B)prior to the election described in paragraph (1) and not later than at the time of such sale, disclosed to the taxpayer purchasing such vehicle—
(i)the manufacturer’s suggested retail price,
(ii)the value of the credit allowed or other incentive available for the purchase of such vehicle,
(iii)all fees associated with the purchase of such vehicle, and
(iv)the amount provided by the dealer to such taxpayer as a condition of the election described in paragraph (1),
(C)made payment to such taxpayer (whether in cash or in the form of a partial payment or down payment for the purchase of such vehicle) in an amount equal to the credit otherwise allowable to such taxpayer, and
(D)with respect to any incentive otherwise available for the purchase of a vehicle for which a credit is allowed under this section, including any incentive in the form of a rebate or discount provided by the dealer or manufacturer, ensured that—
(i)the availability or use of such incentive shall not limit the ability of a taxpayer to make an election described in paragraph (1), and
(ii)such election shall not limit the value or use of such incentive.
(3)An election described in paragraph (1) shall be made by the taxpayer not later than the date on which the vehicle for which the credit is allowed under subsection (a) is purchased.
(4)Revocation of registrationUpon determination by the Secretary that a dealer has failed to comply with the requirements described in paragraph (2), the Secretary may revoke the registration (as described in subparagraph (A) of such paragraph) of such dealer.
(5)Tax treatment of paymentsWith respect to any payment described in paragraph (2)(C), such payment—
(A)shall not be includible in the gross income of the taxpayer, and
(B)with respect to the dealer, shall not be deductible under this title.
(6)Application of certain other requirementsIn the case of any election under paragraph (1) with respect to any vehicle—
(A)the amount of the reduction under subsection (c) shall be determined with respect to the modified adjusted gross income of the taxpayer for the taxable year preceding the taxable year in which such vehicle was acquired (and not with respect to such income for the taxable year in which such vehicle was acquired),
(B)the requirements of paragraphs (1) and (2) of subsection (f) shall apply to the taxpayer who acquired the vehicle in the same manner as if the credit determined under this section with respect to such vehicle were allowed to such taxpayer,
(C)subsection (f)(5) shall not apply, and
(D)the requirement of subsection (h) shall be treated as satisfied if the eligible entity provides the vehicle identification number of such vehicle to the Secretary in such manner as the Secretary may provide.
(7)Advance payment to registered dealers
(A)The Secretary shall establish a program to make advance payments to any eligible entity in an amount equal to the cumulative amount of the credits allowed under subsection (a) with respect to any vehicles sold by such entity for which an election described in paragraph (1) has been made.
(B)Rules similar to the rules of section 6417(c)(8) shall apply for purposes of this paragraph.
(8)For purposes of this subsection, the term dealer
means a person licensed by a State, the District of Columbia, the Commonwealth of Puerto Rico, any other territory or possession of the United States, or an Indian Tribe (as defined in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304)) to engage in the sale of vehicles..
(2)Section 36C(g)(3)(iii), as added by subsection (a), is amended by striking , and (k)
and inserting (k), and (l)
.
(c)Repeal of nonrefundable new qualified plug-in electric drive motor vehicle creditSubpart B of part IV of subchapter A of chapter 1 is amended by striking section 30D (and by striking the item relating to such section in the table of sections of such subpart).
(d)
(1)Section 1016(a)(37) is amended by striking section 30D(f)(1)
and inserting section 36C(f)(1)
.
(2)Section 6211(b)(4)(A) is amended by inserting 36C,
after 36B,
.
(3)Section 6213(g)(2), as amended by the preceding provisions of this Act, is amended—
(A)in subparagraph (R), by striking and
at the end,
(B)in subparagraph (S), by striking the period at the end and inserting , and
, and
(C)by adding at the end the following:
(T)an omission of a correct vehicle identification number required under section 36C(f) (relating to credit for new qualified plug-in electric drive motor vehicles) to be included on a return..
(4)Section 6501(m) is amended by striking 30D(e)(4)
and inserting 36C(f)(5)
.
(5)Section 166(b)(5)(A)(ii) of title 23, United States Code, is amended by striking section 30D(d)(1)
and inserting section 36C(e)(1)
.
(6)Section 1324(b)(2) of title 31, United States Code, is amended by inserting 36C,
after 36B,
.
(7)The table of sections for subpart C of part IV of subchapter A of chapter 1 is amended by inserting after the item relating to section 36B the following new item:
Sec. 36C. New qualified plug-in electric drive motor vehicles..
(e)
(1)The amendments made by subsections (a), (c), and (d) of this section shall apply to vehicles acquired after December 31, 2021.
(2)The amendments made by subsection (b) shall apply to vehicles acquired after December 31, 2022.
136402.Credit for previously-owned qualified plug-in electric drive motor vehicles
(a)Subpart C of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is amended by inserting after section 36C the following new section:
36D.Previously-owned qualified plug-in electric drive motor vehicles
(a)In the case of a qualified buyer who during a taxable year places in service a previously-owned qualified plug-in electric drive motor vehicle, there shall be allowed as a credit against the tax imposed by this subtitle for the taxable year an amount equal to the sum of—
(1)$2,000, plus
(2)the supplemental credit amount.
(b)Supplemental credit amountFor purposes of subsection (a), the term supplemental credit amount
means—
(1)$2,000, if—
(A)in the case of a vehicle placed in service before January 1, 2027, such vehicle draws propulsion energy from a battery with not less than 40 kilowatt hours of capacity and has a gasoline tank capacity not greater than 2.5 gallons, and
(B)in the case of a vehicle placed in service after December 31, 2026, such vehicle draws propulsion energy from a battery with not less than 50 kilowatt hours of capacity and has a gasoline tank capacity not greater than 2.5 gallons, and
(2)$0 in any other case.
(c)
(1)The credit allowed under subsection (a) with respect to sale of a vehicle shall not exceed 50 percent of the sale price.
(2)Limitation based on modified adjusted gross incomeThe amount which would (but for this paragraph) be allowed as a credit under subsection (a) shall be reduced (but not below zero) by $200 for each $1,000 (or fraction thereof) by which the lesser of—
(A)the taxpayer’s modified adjusted gross income for such taxable year, or
(B)the taxpayer’s modified adjusted gross income for the preceding taxable year, exceeds—
(i)$150,000 in the case of a joint return or a surviving spouse (as defined in section 2(a)),
(ii)$112,500 in the case of a head of household (as defined in section 2(b)), and
(iii)$75,000 in the case of a taxpayer not described in paragraph (1) or (2).
(d)For purposes of this section—
(1)Previously-owned qualified plug-in electric drive motor vehicleThe term previously-owned qualified plug-in electric drive motor vehicle means, with respect to a taxpayer, a motor vehicle—
(A)the model year of which is at least 2 years earlier than the calendar year in which the taxpayer acquires such vehicle,
(B)the original use of which commences with a person other than the taxpayer,
(C)which is acquired by the taxpayer in a qualified sale, and
(D)which meets the requirements of subparagraphs (C), (D), (E), (F), (G), (H), and (I) of section 36C(e)(1) (determined by applying previously-owned qualified plug-in electric drive motor vehicle for new qualified plug-in electric drive motor vehicle
), or which is a new qualified fuel cell motor vehicle (as defined in subparagraphs (A) and (B) of section 30B(b)(3)) which has a gross vehicle weight rating of less than 14,000 pounds.
(2)The term qualified sale means a sale of a motor vehicle—
(A)by a seller who holds such vehicle in inventory (within the meaning of section 471) for sale or lease,
(B)for a sale price not to exceed $25,000, and
(C)which is the first transfer since the date of the enactment of this section to a person other than the person with whom the original use of such vehicle commenced.
(3)The term qualified buyer means, with respect to a sale of a motor vehicle, a taxpayer—
(A)who is an individual,
(B)who purchases such vehicle for use and not for resale,
(C)with respect to whom no deduction is allowable with respect to another taxpayer under section 151,
(D)who has not been allowed a credit under this section for any sale during the 3-year period ending on the date of the sale of such vehicle, and
(E)who possesses a certificate issued by the seller that certifies—
(i)that the vehicle is a previously-owned qualified plug-in electric drive motor vehicle,
(ii)the vehicle identification number of such vehicle,
(iii)the capacity of the battery at time of sale, and
(iv)such other information as the Secretary may require.
(4)The terms motor vehicle and capacity have the meaning given such terms in paragraphs (2) and (4) of section 36C(e), respectively.
(e)No credit shall be allowed under subsection (a) with respect to any vehicle unless the taxpayer includes the vehicle identification number of such vehicle on the return of tax for the taxable year.
(f)Application of certain rulesFor purposes of this section, rules similar to the rules of paragraphs (1), (2), (4), (5), and (6) of section 36C(f) shall apply for purposes of this section.
(g)Certificate submission requirementThe Secretary may require that the issuer of the certificate described in subsection (c)(3)(E) submit such certificate to the Secretary at the time and in the manner required by the Secretary.
(h)Treatment of certain possessions
(1)Payments to possessions with mirror code tax systemsThe Secretary shall pay to each possession of the United States which has a mirror code tax system amounts equal to the loss (if any) to that possession by reason of the application of the provisions of this section. Such amounts shall be determined by the Secretary based on information provided by the government of the respective possession.
(2)Payments to other possessionsThe Secretary shall pay to each possession of the United States which does not have a mirror code tax system amounts estimated by the Secretary as being equal to the aggregate benefits (if any) that would have been provided to residents of such possession by reason of the provisions of this section if a mirror code tax system had been in effect in such possession. The preceding sentence shall not apply unless the respective possession has a plan which has been approved by the Secretary under which such possession will promptly distribute such payments to its residents.
(3)Mirror code tax system; treatment of paymentsRules similar to the rules of paragraphs (3), (4), and (5) of section 21(h) shall apply for purposes of this section.
(i)Rules similar to the rules of section 36C(k) shall apply.
(j)No credit shall be allowed under this section with respect to any vehicle acquired after December 31, 2031..
(b)
(1)Section 6211(b)(4)(A), as amended by the preceding provisions of this Act, is amended by inserting 36D,
after 36C,
.
(2)Section 6213(g)(2), as amended by the preceding provisions of this Act, is amended—
(A)in subparagraph (S), by striking and
at the end,
(B)in subparagraph (T), by striking the period at the end and inserting , and
, and
(C)by adding at the end the following:
(U)an omission of a correct vehicle identification number required under section 36D(d) (relating to credit for previously-owned qualified plug-in electric drive motor vehicles) to be included on a return..
(3)Paragraph (2) of section 1324(b) of title 31, United States Code, as amended by the preceding provisions of this Act, is amended by inserting 36D,
after 36C,
.
(c)The table of sections for subpart C of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is amended by inserting after the item relating to section 36C the following new item:
Sec. 36D. Previously-owned qualified plug-in electric drive motor vehicles..
(d)The amendments made by this section shall apply to vehicles acquired after December 31, 2021.
136403.Qualified commercial electric vehicles
(a)Subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new section:
45Y.Credit for qualified commercial electric vehicles
(a)For purposes of section 38, the qualified commercial electric vehicle credit for any taxable year is an amount equal to the sum of the credit amounts determined under subsection (b) with respect to each qualified commercial electric vehicle placed in service by the taxpayer during the taxable year.
(b)
(1)The amount determined under this subsection with respect to any qualified commercial electric vehicle shall be equal to the lesser of—
(A)15 percent of the basis of such vehicle (30 percent in the case of a vehicle not powered by a gasoline or diesel internal combustion engine), or
(B)the incremental cost of such vehicle.
(2)For purposes of paragraph (1)(B), the incremental cost of any qualified commercial electric vehicle is an amount equal to the excess of the purchase price for such vehicle over such price of a comparable vehicle.
(3)For purposes of this paragraph, the term comparable vehicle
means, with respect to any qualified commercial electric vehicle, any vehicle which is powered solely by a gasoline or diesel internal combustion engine and which is comparable in size and use to such vehicle.
(4)Vehicles for lease to individuals
(A)In the case of a commercial electric vehicle which is acquired by the taxpayer for the purpose of leasing such vehicle to any individual, the amount determined under this subsection with respect to such vehicle shall, at the election of such taxpayer, be equal to the amount of the credit that would otherwise be allowed under section 36C(a) with respect to such vehicle, as determined as if such vehicle—
(i)is a new qualified plug-in electric drive motor vehicle, and
(ii)has been acquired and placed in service by an individual.
(B)
(i)An election under subparagraph (A) shall be made at such time and in such manner as the Secretary prescribes by regulations or other guidance.
(ii)For purposes of any regulations or other guidance prescribed under clause (i), the Secretary shall require that, as a condition of an election under subparagraph (A), the taxpayer making such election shall be required to disclose to the lessee of the commercial electric vehicle the value of the credit allowed under this section.
(c)Qualified commercial electric vehicleFor purposes of this section, the term qualified commercial electric vehicle means any vehicle which—
(1)meets the requirements of subparagraphs (A) and (C) of section 36C(e)(1) without regard to any gross vehicle weight rating, and is acquired for use or lease by the taxpayer and not for resale,
(2)either—
(A)meets the requirements of subparagraph (D) of section 36C(e)(1) and is manufactured primarily for use on public streets, roads, and highways (not including a vehicle operated exclusively on a rail or rails), or
(B)is mobile machinery, as defined in section 4053(8) (including vehicles that are not designed to perform a function of transporting a load over the public highways),
(3)either—
(A)is propelled to a significant extent by an electric motor which draws electricity from a battery which has a capacity of not less than 15 kilowatt hours and is capable of being recharged from an external source of electricity, or
(B)is a new qualified fuel cell motor vehicle described in subparagraphs (A) and (B) of section 30B(b)(3), and
(4)is of a character subject to the allowance for depreciation.
(d)
(1)Subject to paragraph (2), rules similar to the rules under subsection (f) of section 36C shall apply for purposes of this section.
(2)The Secretary shall, by regulations or other guidance, provide for recapturing the benefit of any credit allowed under subsection (a) with respect to any property which ceases to be property eligible for such credit, including regulations or other guidance which, in the case of any commercial electric vehicle for which an election was made under subsection (b)(4)—
(A)recaptures the credit allowed under subsection (a) if—
(i)such vehicle was not leased to an individual, or
(ii)the taxpayer failed to comply with the requirements described in subsection (b)(4)(B)(ii), and
(B)in the case of a commercial electric vehicle which is leased by an individual whose modified adjusted gross income exceeds the threshold amount under section 36C(c)(2), recaptures so much of the credit allowed under subsection (a) as exceeds the amount of the credit which would have otherwise been allowable under such subsection if, for purposes of subsection (b)(4)(A), the amount of the credit that would otherwise be allowed under section 36C(a) with respect to such vehicle had been determined as if such vehicle was acquired and placed in service by such individual and subject to reduction under section 36C(c).
(3)Vehicles placed in service by tax-exempt entitiesSubsection (c)(4) shall not apply to any vehicle which is not subject to a lease and which is placed in service by a tax-exempt entity described in clause (i), (ii), or (iv) of section 168(h)(2)(A).
(e)No credit shall be determined under subsection (a) with respect to any vehicle unless the taxpayer includes the vehicle identification number of such vehicle on the return of tax for the taxable year.
(f)No credit shall be determined under this section with respect to any vehicle acquired after December 31, 2031..
(b)Elective payment of credit in case of certain tax-exempt entitiesSection 6417(b), as amended by the preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(9)In the case of a tax-exempt entity described in clause (i), (ii), or (iv) of section 168(h)(2)(A), the credit for qualified commercial vehicles determined under section 45Y by reason of subsection (d)(2) thereof..
(c)
(1)Section 38(b) is amended by striking paragraph (30) and inserting the following:
(30)the qualified commercial electric vehicle credit determined under section 45Y,.
(2)Section 6213(g)(2), as amended by the preceding provisions of this Act, is amended—
(A)in subparagraph (T), by striking and
at the end,
(B)in subparagraph (U), by striking the period at the end and inserting , and
, and
(C)by adding at the end the following:
(V)an omission of a correct vehicle identification number required under section 45Y(e) (relating to commercial electric vehicle credit) to be included on a return..
(3)The table of sections for subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new item:
Sec. 45Y. Qualified commercial electric vehicle credit..
(d)The amendments made by this section shall apply to vehicles acquired after December 31, 2021.
136404.Qualified fuel cell motor vehicles
(a)Section 30B(k)(1) is amended by striking December 31, 2021
and inserting December 31, 2031
.
(b)New qualified fuel cell motor vehicleSection 30B(b) is amended by striking and
at the end of subparagraph (D), by striking the period at the end of subparagraph (E) and inserting , and
, and by adding at the end the following new subparagraph:
(F)which is not property of a character subject to an allowance for depreciation. .
(c)Section 30B(g) is amended to read as follows:
(g)For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable year..
(d)The amendments made by this section shall apply to property placed in service after December 31, 2021.
136405.Alternative fuel refueling property credit
(a)Section 30C(g) is amended by striking December 31, 2021
and inserting December 31, 2031
.
(b)Additional credit for certain electric charging property
(1)Section 30C(a) is amended—
(A)by striking equal to 30 percent
and inserting the following:
equal to the sum of—
(1)30 percent (6 percent in the case of property described in subsection (b)(2)),
(B)by striking the period at the end and inserting , plus
, and
(C)by adding at the end the following new paragraph:
(2)4 percent of so much of such cost as exceeds the limitation under subsection (b)(1) that does not exceed the amount of cost attributable to qualified alternative vehicle refueling property (determined without regard to subsection (c)(1) and as if only electricity, and fuel at least 85 percent of the volume of which consists of hydrogen, were treated as clean-burning fuels for purposes of section 179A(d)) which—
(A)is intended for general public use with no associated fee or payment arrangement,
(B)is intended for general public use and accepts payment via a credit card reader, including a credit card reader that uses contactless technology, or
(C)is intended for use exclusively by commercial or governmental vehicles. .
(2)Section 30C(b) is amended—
(A)by striking The credit allowed under subsection (a)
and inserting The amount of cost taken into account under subsection (a)(1)
,
(B)by striking $30,000
and inserting $100,000
, and
(C)by striking $1,000
and inserting $3,333.33
.
(3)Bidirectional charging equipment included as qualified alternative fuel vehicle refueling propertySection 30C(c) is amended—
(A)by striking For purposes of this section, the term
and inserting
For purposes of this section—
(1)The term, and
(B)by adding at the end the following new paragraph:
(2)Bidirectional charging equipmentProperty shall not fail to be treated as qualified alternative vehicle refueling property solely because such property—
(A)is capable of charging the battery of a motor vehicle propelled by electricity, and
(B)allows discharging electricity from such battery to an electric load external to such motor vehicle..
(c)Certain electric charging stations included as qualified alternative fuel vehicle refueling propertySection 30C is amended by redesignating subsections (f) and (g) as subsections (g) and (h), respectively, and by inserting after subsection (e) the following:
(f)Special rule for electric charging stations for certain vehicles with 2 or 3 wheelsFor purposes of this section—
(1)The term qualified alternative fuel vehicle refueling property includes any property described in subsection (c) for the recharging of a motor vehicle described in paragraph (2) that is propelled by electricity, but only if the property—
(A)meets the requirements of subsection (a)(2), and
(B)is of a character subject to depreciation.
(2)A motor vehicle is described in this paragraph if the motor vehicle—
(A)is manufactured primarily for use on public streets, roads, or highways (not including a vehicle operated exclusively on a rail or rails), and
(B)has at least 2, but not more than 3, wheels..
(d)Wage and apprenticeship requirementsSection 30C, as amended by this section, is further amended by redesignating subsections (g) and (h) as subsections (h) and (i) and by inserting after subsection (f) the following new subsection:
(g)Wage and apprenticeship requirements
(1)
(A)In the case of any qualified alternative fuel vehicle refueling project which satisfies the requirements of subparagraph (C), the amount of the credit determined under subsection (a) shall be equal to such amount multiplied by 5 (determined without regard to this sentence).
(B)Qualified alternative fuel vehicle refueling projectFor purposes of this subsection, the term qualified alternative fuel vehicle refueling project
means a project consisting of multiple properties that are part of a single project. The requirements of this paragraph shall be applied to such project.
(C)A project meets the requirements of this subparagraph if it is one of the following:
(i)A project the construction of which begins prior to the date that is 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (2) and (3).
(ii)A project which satisfies the requirements of paragraphs (2) and (3).
(2)Prevailing wage requirements
(A)The requirements described in this subparagraph with respect to any qualified alternative fuel vehicle refueling project are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in the construction of such property shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code.
(B)Correction and penalty related to failure to satisfy wage requirementsRules similar to the rules of section 45(b)(8)(B) shall apply.
(3)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(4)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this subsection..
(e)The amendment made by this section shall apply to property placed in service after December 31, 2021.
136406.Reinstatement and expansion of employer-provided fringe benefits for bicycle commuting
(a)Repeal of suspension of exclusion for qualified bicycle commuting benefitsSection 132(f) is amended by striking paragraph (8).
(b)Expansion of bicycle commuting benefitsSection 132(f)(5)(F) is amended to read as follows:
(F)Definitions related to bicycle commuting benefits
(i)Qualified bicycle commuting benefitThe term qualified bicycle commuting benefit
means, with respect to any calendar year—
(I)any employer reimbursement during the 15-month period beginning with the first day of such calendar year for reasonable expenses incurred by the employee during such calendar year for the purchase (including associated finance charges), lease, rental (including a bikeshare), improvement, repair, or storage of qualified commuting property, or
(II)the direct or indirect provision by the employer to the employee during such calendar year of the use (including a bikeshare), improvement, repair, or storage of qualified commuting property,if the employee regularly uses such qualified commuting property for travel between the employee’s residence, place of employment, a qualified parking facility, or a mass transit facility that connects the employee to their residence or place of employment.
(ii)Qualified commuting propertyThe term qualified commuting property
means—
(I)any bicycle (other than a bicycle equipped with any motor),
(II)any electric bicycle which meets the requirements of section 36E(c)(5),
(III)any 2- or 3-wheel scooter (other than a scooter equipped with any motor), and
(IV)any 2- or 3-wheel scooter propelled by an electric motor if such motor does not provide assistance if the speed of such scooter exceeds 20 miler per hour (or if the speed of such scooter is not capable of exceeding 20 miles per hour) and the weight of such scooter does not exceed 100 pounds.
(iii)The term bikeshare means a rental operation at which qualified commuting property is made available to customers to pick up and drop off for point-to-point use within a defined geographic area..
(c)Section 132(f)(2)(C) is amended to read as follows:
(C)30 percent of the dollar amount in effect under subparagraph (B) per month in the case of any qualified bicycle commuting benefit..
(d)Section 132(f)(4) is amended by striking (other than a qualified bicycle commuting reimbursement)
.
(e)
(1)Section 132(f)(1)(D) is amended by striking reimbursement
and inserting benefit
.
(2)Section 274(l) is amended by striking paragraph (2).
(f)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
136407.Credit for certain new electric bicycles
(a)Subpart C of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is amended by inserting after section 36D the following new section:
36E.
(a)There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 30 percent of the cost of each qualified electric bicycle placed in service by the taxpayer during such taxable year.
(b)
(1)Limitation on cost per electric bicycle taken into accountThe amount taken into account under subsection (a) as the cost of any qualified electric bicycle shall not exceed $5,000.
(2)Bicycle limitation with respect to credit
(A)Limitation on number of personal-use bicyclesIn the case of any taxpayer for any taxable year, the number of personal-use bicycles taken into account under subsection (a) shall not exceed the excess (if any) of—
(i)1 (2 in the case of a joint return), reduced by
(ii)the aggregate number of bicycles taken into account by the taxpayer under subsection (a) for the 2 preceding taxable years.
(B)Phaseout based on modified adjusted gross incomeThe credit allowed under subsection (a) shall be reduced by $200 for each $1,000 (or fraction thereof) by which the taxpayer’s modified adjusted gross income exceeds—
(i)$150,000 in the case of a joint return or a surviving spouse (as defined in section 2(a)),
(ii)$112,500 in the case of a head of household (as defined in section 2(b)), and
(iii)$75,000 in the case of a taxpayer not described in clause (i) or (ii).
(C)Modified adjusted gross incomeFor purposes of subparagraph (B), the term modified adjusted gross income
means adjusted gross income increased by any amount excluded from gross income under section 911, 931, or 933.
(D)Special rule for modified adjusted gross income taken into accountThe modified adjusted gross income of the taxpayer that is taken into account for purposes of this paragraph shall be the lesser of—
(i)the modified adjusted gross income for the taxable year in which the credit is claimed, or
(ii)the modified adjusted gross income for the immediately preceding taxable year.
(c)Qualified electric bicycleFor purposes of this section, the term qualified electric bicycle means a bicycle—
(1)the original use of which commences with the taxpayer,
(2)which is acquired for use by the taxpayer and not for resale,
(3)which is made by a qualified manufacturer and is labeled with the qualified vehicle identification number assigned to such bicycle by such manufacturer,
(4)with respect to which the aggregate amount paid for such acquisition does not exceed $8,000, and
(5)which is equipped with—
(A)fully operable pedals,
(B)a saddle or seat for the rider, and
(C)an electric motor of less than 750 watts which is designed to provided assistance in propelling the bicycle and—
(i)does not provide such assistance if the bicycle is moving in excess of 20 miler per hour, or
(ii)if such motor only provides such assistance when the rider is pedaling, does not provide such assistance if the bicycle is moving in excess of 28 miles per hour.
(d)
(1)No credit shall be allowed under subsection (a) with respect to any qualified electric bicycle unless the taxpayer includes the qualified vehicle identification number of such bicycle on the return of tax for the taxable year.
(2)Qualified vehicle identification numberFor purposes of this section, the term qualified vehicle identification number
means, with respect to any bicycle, the vehicle identification number assigned to such bicycle by a qualified manufacturer pursuant to the methodology referred to in paragraph (3).
(3)For purposes of this section, the term qualified manufacturer
means any manufacturer of qualified electric bicycles which enters into an agreement with the Secretary which provides that such manufacturer will—
(A)assign a vehicle identification number to each qualified electric bicycle produced by such manufacturer utilizing a methodology that will ensure that such number (including any alphanumeric) is unique to such bicycle (by utilizing numbers or letters which are unique to such manufacturer or by such other method as the Secretary may provide),
(B)label such bicycle with such number in such manner as the Secretary may provide, and
(C)make periodic written reports to the Secretary (at such times and in such manner as the Secretary may provide) of the vehicle identification numbers so assigned and including such information as the Secretary may require with respect to the qualified electric bicycle to which such number was so assigned.
(e)
(1)For purposes of this subtitle, the basis of any property for which a credit is allowable under subsection (a) shall be reduced by the amount of such credit so allowed.
(2)The amount of any deduction or other credit allowable under this chapter for a qualified electric bicycle for which a credit is allowable under subsection (a) shall be reduced by the amount of credit allowed under such subsection for such bicycle.
(3)Property used outside united states not qualifiedNo credit shall be allowable under subsection (a) with respect to any property referred to in section 50(b)(1).
(4)The Secretary shall, by regulations or other guidance, provide for recapturing the benefit of any credit allowable under subsection (a) with respect to any property which ceases to be property eligible for such credit.
(5)Election not to take creditNo credit shall be allowed under subsection (a) for any bicycle if the taxpayer elects to not have this section apply to such bicycle.
(f)Treatment of certain possessions
(1)Payments to possessions with mirror code tax systemsThe Secretary shall pay to each possession of the United States which has a mirror code tax system amounts equal to the loss (if any) to that possession by reason of the application of the provisions of this section (determined without regard to this subsection). Such amounts shall be determined by the Secretary based on information provided by the government of the respective possession.
(2)Payments to other possessionsThe Secretary shall pay to each possession of the United States which does not have a mirror code tax system amounts estimated by the Secretary as being equal to the aggregate benefits (if any) that would have been provided to residents of such possession by reason of the provisions of this section if a mirror code tax system had been in effect in such possession. The preceding sentence shall not apply unless the respective possession has a plan which has been approved by the Secretary under which such possession will promptly distribute such payments to its residents.
(3)Mirror code tax system; treatment of paymentsRules similar to the rules of paragraphs (3), (4), and (5) of section 21(h) shall apply for purposes of this section.
(g)
(1)Subject to such regulations or other guidance as the Secretary determines necessary or appropriate, if the taxpayer who acquires a qualified electric bicycle after December 31, 2022 elects the application of this subsection with respect to such qualified electric bicycle, the credit which would (but for this subsection) be allowed to such taxpayer with respect to such qualified electric bicycle shall be allowed to the eligible entity specified in such election (and not to such taxpayer).
(2)For purposes of this paragraph, the term eligible entity
means, with respect to the qualified electric bicycle for which the credit is allowed under subsection (a), the retailer which sold such qualified electric bicycle to the taxpayer and has—
(A)subject to paragraph (4), registered with the Secretary for purposes of this paragraph, at such time, and in such form and manner, as the Secretary may prescribe,
(B)prior to the election described in paragraph (1) and no later than at the time of such sale, disclosed to the taxpayer purchasing such qualified electric bicycle—
(i)the retail price,
(ii)the value of the credit allowed or other incentive available for the purchase of such qualified electric bicycle,
(iii)all fees associated with the purchase of such qualified electric bicycle, and
(iv)the amount provided by the retailer to such taxpayer as a condition of the election described in paragraph (1),
(C)made payment to such taxpayer (whether in cash or in the form of a partial payment or down payment for the purchase of such qualified electric bicycle) in an amount equal to the credit otherwise allowable to such taxpayer, and
(D)with respect to any incentive otherwise available for the purchase of a qualified electric bicycle for which a credit is allowed under this section, including any incentive in the form of a rebate or discount provided by the retailer or manufacturer, ensured that—
(i)the availability or use of such incentive shall not limit the ability of a taxpayer to make an election described in paragraph (1), and
(ii)such election shall not limit the value or use of such incentive.
(3)An election described in paragraph (1) shall be made by the taxpayer not later than the date on which the qualified electric bicycle for which the credit is allowed under subsection (a) is purchased.
(4)Revocation of registrationUpon determination by the Secretary that a retailer has failed to comply with the requirements described in paragraph (2), the Secretary may revoke the registration (as described in subparagraph (A) of such paragraph) of such retailer.
(5)Tax treatment of paymentsWith respect to any payment described in paragraph (2)(C), such payment—
(A)shall not be includible in the gross income of the taxpayer, and
(B)with respect to the retailer, shall not be deductible under this title.
(6)Application of certain other requirementsIn the case of any election under paragraph (1) with respect to any qualified electric bicycle—
(A)the amount of the reduction under subsection (b) shall be determined with respect to the modified adjusted gross income of the taxpayer for the taxable year preceding the taxable year in which such qualified electric bicycle was acquired (and not with respect to such income for the taxable year in which such qualified electric bicycle was acquired),
(B)the requirements of paragraphs (1) and (2) of subsection (e) shall apply to the taxpayer who acquired the qualified electric bicycle in the same manner as if the credit determined under this section with respect to such qualified electric bicycle were allowed to such taxpayer, and
(C)subsection (e)(5) shall not apply.
(7)Advance payment to registered retailers
(A)The Secretary shall establish a program to make advance payments to any eligible entity in an amount equal to the cumulative amount of the credits allowed under subsection (a) with respect to any qualified electric bicycles sold by such entity for which an election described in paragraph (1) has been made.
(B)Rules similar to the rules of section 6417(c)(8) shall apply for purposes of this paragraph.
(8)For purposes of this subsection, the term retailer
means a person engaged in the trade or business of selling qualified electric bicycles in a State, the District of Columbia, the Commonwealth of Puerto Rico, any other territory or possession of the United States, or an Indian Tribe (as defined in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304)).
(h)This section shall not apply to bicycles placed in service after December 31, 2026..
(b)
(1)Section 1016(a) is amended by striking and
at the end of paragraph (38), by striking the period at the end of paragraph (39) and inserting , and
, and by adding at the end the following new paragraph:
(40)to the extent provided in section 36E(f)(1)..
(2)Section 6211(b)(4)(A) of such Code is amended by inserting 36E by reason of subsection (c)(2) thereof,
before 32,
.
(3)Section 6213(g)(2), as amended by the preceding provisions of this Act, is amended—
(A)in subparagraph (U), by striking and
at the end,
(B)in subparagraph (V), by striking the period at the end and inserting , and
, and
(C)by adding at the end the following:
(W)an omission of a correct vehicle identification number required under section 36E(d) (relating to electric bicycles credit) to be included on a return..
(4)Section 6501(m) is amended by inserting 36E(f)(4),
after 35(g)(11),
.
(5)Section 1324(b)(2) of title 31, United States Code, is amended by inserting 36E,
after 36D,
.
(c)The table of sections for subpart B of part IV of subchapter A of chapter 1 is amended by adding at the end the following new item:
Sec. 36E. Electric bicycles..
(d)The amendments made by this section shall apply to property placed in service after December 31, 2021, in taxable years ending after such date.
5Investment in the Green Workforce and Manufacturing
136501.Extension of the advanced energy project credit
(a)Section 48C is amended by redesignating subsection (e) as subsection (f) and by inserting after subsection (d) the following new subsection:
(e)
(1)Not later than 270 days after the date of enactment of this subsection, the Secretary shall establish a program to consider and award certifications for qualified investments eligible for credits under this section to qualifying advanced energy project sponsors.
(2)
(A)The amount of credits that may be allocated under this subsection during any calendar year shall not exceed the annual credit limitation with respect to such year.
(B)
(i)For purposes of this subsection, the term annual credit limitation
means $5,000,000,000 for each of calendar years 2022 through 2023, $1,875,000,000 for each of calendar years 2024 through 2031, and zero thereafter.
(ii)Amount set aside for automotive communities
(I)For purposes of clause (i), $800,000,000 of the annual credit limitation for each of calendar years 2022 through 2023 and $300,000,000 for each of calendar years 2024 through 2031 shall be allocated to qualified investments located within automotive communities.
(II)For purposes of this clause, the term automotive communities
means a census tract and any directly adjoining census tract, including a no-population census tract, that has experienced major job losses in the automotive manufacturing sector since January 1, 1994, as determined by the Secretary.
(iii)Amount set aside for energy communities
(I)For purposes of clause (i), $800,000,000 of the annual credit limitation for each of calendar years 2022 through 2023 and $300,000,000 for each of calendar years 2024 through 2031 shall be allocated to qualified investments located within energy communities.
(II)For purposes of this clause, the term energy communities
means a census tract or any directly adjoining census tract in which—
- (aa)after December 31, 1999, a coal mine has closed, or
- (bb)after December 31, 2009, a coal-fired electric generating unit has been retired.
(C)Carryover of unused limitationIf the annual credit limitation for any calendar year exceeds the aggregate amount designated for such year under this subsection, such limitation for the succeeding calendar year shall be increased by the amount of such excess. No amount may be carried under the preceding sentence to any calendar year after 2036.
(3)
(A)Each applicant for certification under this subsection shall submit an application at such time and containing such information as the Secretary may require.
(B)Time to meet criteria for certificationEach applicant for certification shall have 2 years from the date of acceptance by the Secretary of the application during which to provide to the Secretary evidence that the requirements of the certification have been met.
(C)An applicant which receives a certification shall have 2 years from the date of issuance of the certification in order to place the project in service and to notify the Secretary that such project has been so placed in service, and if such project is not placed in service (and the Secretary so notified) by that time period, then the certification shall no longer be valid. If any certification is revoked under this subparagraph, the amount of the annual credit limitation under paragraph (2) for the calendar year in which such certification is revoked shall be increased by the amount of the credit with respect to such revoked certification.
(4)Selection criteria similar to those in subsection (d)(3) shall apply, except that in determining designations under this subsection, the Secretary shall—
(A)in addition to the factors described in subsection (d)(3)(B), take into consideration which projects—
(i)will provide the greatest net impact in avoiding or reducing anthropogenic emissions of greenhouse gases, as determined by the Secretary,
(ii)will provide the greatest domestic job creation (both direct and indirect) during the credit period,
(iii)will provide the greatest job creation within the vicinity of the project, particularly with respect to—
(I)low-income communities (as described in section 45D(e)), and
(II)dislocated workers who were previously employed in manufacturing, coal power plants, or coal mining, and
(iv)will provide the greatest job creation in areas with a population that is at risk of experiencing higher or more adverse human health or environmental effects and a significant portion of such population is comprised of communities of color, low-income communities, Tribal and Indigenous communities, or individuals formerly employed in the fossil fuel industry, and
(B)give the highest priority to projects which—
(i)manufacture (other than primarily assembly of components) property described in a subclause of subsection (c)(1)(A)(i) (or components thereof), and
(ii)have the greatest potential for commercial deployment of new applications.
(5)Disclosure of allocationsThe Secretary shall, upon allocating a credit under this subsection, publicly disclose the identity of the applicant, the amount of the credit with respect to such applicant, and the project location for which such credit was allocated.
(6)Credit conditioned upon wage and apprenticeship requirements
(A)For purposes of allocations under this subsection, the amount of the credit determined under subsection (a) shall be determined by substituting 6 percent
for 30 percent
.
(B)In the case of any project which satisfies the requirements of paragraphs (7) and (8), the amount of the credit determined under subsection (a) shall be equal to such amount multiplied by 5.
(7)Prevailing wage requirements
(A)The requirements described in this paragraph with respect to a project are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in the re-equipping, expansion, or establishment of a manufacturing facility shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code.
(B)Correction and penalty related to failure to satisfy wage requirementsIn the case of any taxpayer which fails to satisfy the requirement under subparagraph (A) with respect to any project—
(i)rules similar to the rules of section 45(b)(8)(B) shall apply, and
(ii)if the failure to satisfy the requirement under subparagraph (A) is not corrected pursuant to the rules described in clause (i), the certification with respect to the re-equipping, expansion, or establishment of a manufacturing facility shall no longer be valid.
(8)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply. .
(b)Modification of qualifying advanced energy projects
(1)Inclusion of water as a renewable resourceSection 48C(c)(1)(A)(i)(I) is amended by inserting water,
after sun,
.
(2)Section 48C(c)(1)(A)(i)(II) is amended by striking an energy storage system for use with electric or hybrid-electric motor vehicles
and inserting energy storage systems and components
.
(3)Modification of qualifying electric grid propertySection 48C(c)(1)(A)(i)(III) is amended to read as follows:
(III)electric grid modernization equipment or components,.
(4)Section 48C(c)(1)(A)(i)(IV) is amended by striking sequester
and insert use or sequester
.
(5)Electric vehicles and bicyclesSection 48C(c)(1)(A)(i)(VI) is amended—
(A)by striking new qualified plug-in electric drive motor vehicles (as defined by section 30D)
and inserting vehicles described in sections 36C and 45Y, and bicycles described in section 36E
, and
(B)and striking and power control units
and inserting power control units, and equipment used for charging or refueling
.
(6)Property for production of hydrogenSection 48C(c)(1)(A)(i) is amended by striking or
at the end of subclause (VI), by redesignating subclause (VII) as subclause (VIII), an by inserting after subclause (VI) the following new subclause:
(VII)property designed to be used to produce qualified clean hydrogen (as defined in section 45X), or.
(7)Recycling of advanced energy propertySection 48C(c)(1) is amended by adding at the end the following new subparagraph:
(C)Special rule for certain recycling facilitiesA facility which recycles batteries or similar energy storage property described in subparagraph (A)(i) shall be treated as part of a manufacturing facility described in such subparagraph. .
(c)48C(f), as redesignated by this section, is amended by striking or 48B
and inserting 48B, 48F, 45Q, or 45X
.
(d)Qualifying advanced energy projectSection 48C(c)(1)(A) is amended by striking and
at the end of clause (i), by redesignating clause (ii) as clause (iii), and by inserting after clause (i) the following new clause:
(ii)which re-equips a manufacturing facility with equipment designed to reduce greenhouse gas emissions by at least 20 percent, as determined by the Secretary, and.
(e)The amendments made by this section shall take effect on January 1, 2022.
136502.Labor costs of installing mechanical insulation property
(a)Subpart D of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is further amended by adding at the end the following new section:
45Z.Labor costs of installing mechanical insulation property
(a)For purposes of section 38, the mechanical insulation labor costs credit determined under this section for any taxable year is an amount equal to 2 percent of the mechanical insulation labor costs paid or incurred by the taxpayer during such taxable year.
(b)Mechanical insulation labor costsFor purposes of this section—
(1)The term mechanical insulation labor costs means the labor cost of installing mechanical insulation property with respect to a mechanical system referred to in paragraph (2)(A) which was originally placed in service not less than 1 year before the date on which such mechanical insulation property is installed.
(2)Mechanical insulation propertyThe term mechanical insulation property means insulation materials, and facings and accessory products installed in connection to such insulation materials—
(A)placed in service in connection with a mechanical system which—
(i)is located in the United States,
(ii)is of a character subject to an allowance for depreciation, and
(iii)meets the requirements of section 434.403 of title 10, Code of Federal Regulations (as in effect on the date of enactment of this section), and
(B)which result in a reduction in energy loss from the mechanical system which is greater than the expected reduction from the installation of insulation materials which meet the minimum requirements of Reference Standard 90.1 (as defined in section 179D(c)(2)).
(c)Wage and apprenticeship requirements
(1)In the case of any project which meets the prevailing wage and apprenticeship requirements of this subsection, the amount of credit determined under subsection (a) shall be multiplied by 5.
(2)Rules similar to the rules of section 45(b)(8) shall apply.
(3)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(d)This section shall not apply to mechanical insulation labor costs paid or incurred after December 31, 2027..
(b)Credit allowed as part of general business creditSection 38(b), as amended by the preceding provisions of this Act, is further amended by striking plus
at the end of paragraph (36), by striking the period at the end of paragraph (37) and inserting , plus
, and by adding at the end the following new paragraph:
(38)the mechanical insulation labor costs credit determined under section 45Z(a)..
(c)
(1)Section 280C is amended by adding at the end the following new subsection:
(i)Mechanical insulation labor costs credit
(1)No deduction shall be allowed for that portion of the mechanical insulation labor costs (as defined in section 45Z(b)) otherwise allowable as deduction for the taxable year which is equal to the amount of the credit determined for such taxable year under section 45Z(a).
(2)Similar rule where taxpayer capitalizes rather than deducts expensesIf—
(A)the amount of the credit determined for the taxable year under section 45Z(a), exceeds
(B)the amount of allowable as a deduction for such taxable year for mechanical insulation labor costs (determined without regard to paragraph (1)),the amount chargeable to capital account for the taxable year for such costs shall be reduced by the amount of such excess..
(2)The table of sections for subpart D of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is further amended by adding at the end the following new item:
Sec. 45Z. Labor costs of installing mechanical insulation property..
(d)The amendments made by this section shall apply to amounts paid or incurred after December 31, 2021, in taxable years ending after such date.
136503.Advanced Manufacturing Investment Credit
(a)Subpart E of part IV of subchapter A of chapter 1 is amended by inserting after section 48D the following new section:
48E.Advanced manufacturing investment credit
(a)
(1)For purposes of section 46, the advanced manufacturing investment credit for any taxable year is an amount equal to the applicable percentage of the qualified investment for such taxable year with respect to any advanced manufacturing facility.
(2)
(A)In the case of any advanced manufacturing facility which does not satisfy the requirements described in clauses (i) and (ii) of subparagraph (B), the applicable percentage shall be 5 percent.
(B)In the case of any advanced manufacturing facility which—
(i)subject to subparagraph (B) of subsection (c)(2), satisfies the requirements under subparagraph (A) of such subsection, and
(ii)with respect to the construction of such facility, satisfies the apprenticeship requirements under subsection (c)(3), the applicable percentage shall be 25 percent.
(b)
(1)For purposes of subsection (a)(1), the qualified investment with respect to any advanced manufacturing facility for any taxable year is the basis of any qualified property placed in service by the taxpayer during such taxable year which is part of an advanced manufacturing facility.
(2)
(A)For purposes of this subsection, the term qualified property means property—
(i)which is tangible property,
(ii)with respect to which depreciation (or amortization in lieu of depreciation) is allowable,
(iii)which is—
(I)constructed, reconstructed, or erected by the taxpayer, or
(II)acquired by the taxpayer if the original use of such property commences with the taxpayer, and
(iv)which is integral to the operation of the advanced manufacturing facility.
(B)Buildings and structural components
(i)The term qualified property shall include any building or its structural components which otherwise satisfy the requirements under subparagraph (A).
(ii)Clause (i) shall not apply with respect to any offices or other administrative buildings.
(3)Advanced manufacturing facilityFor purposes of this subpart, the term advanced manufacturing facility means a facility—
(A)for which the primary purpose is the manufacturing of semiconductors and semiconductor tooling equipment, and
(B)the construction of which begins before January 1, 2027.
(4)Coordination with rehabilitation creditThe qualified investment with respect to any advanced manufacturing facility for any taxable year shall not include that portion of the basis of any property which is attributable to qualified rehabilitation expenditures (as defined in section 47(c)(2)).
(c)
(1)Certain progress expenditure rules made applicableRules similar to the rules of subsections (c)(4) and (d) of section 46 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990) shall apply for purposes of subsection (a).
(2)
(A)The requirements described in this subparagraph with respect to any facility are that the taxpayer shall ensure that any laborers and mechanics employed by contractors and subcontractors in—
(i)the construction of such facility, and
(ii)for any year during the 5-year period beginning on the date the facility is originally placed in service, the alteration or repair of such facility,shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code.
(B)Correction and penalty related to failure to satisfy wage requirementsRules similar to the rules of section 45(b)(8)(B) shall apply.
(C)The Secretary shall, by regulations or other guidance, provide for recapturing the benefit of any increase in the credit allowed under paragraph (2)(B) of subsection (a), with respect to any project which does not satisfy the requirements under subparagraph (A) (after application of subparagraph (B)) for the period described in clause (ii) of subparagraph (A) (but which does not cease to be investment credit property within the meaning of section 50(a)). The period and percentage of such recapture shall be determined under rules similar to the rules of section 50(a).
(3)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(4)The Secretary shall issue such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this section, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of establishing the requirements of this section..
(b)Elective payment of creditSection 6417(b), as amended by the preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(10)The advanced manufacturing investment credit determined under section 48E..
(c)
(1)Section 46 is amended—
(A)by striking and
at the end of paragraph (6),
(B)by striking the period at the end of paragraph (7) and inserting , and
, and
(C)by adding at the end the following new paragraph:
(8)the advanced manufacturing investment credit..
(2)Section 49(a)(1)(C) is amended—
(A)by striking and
at the end of clause (vi),
(B)by striking the period at the end of clause (vii) and inserting , and
, and
(C)by adding at the end the following new clause:
(viii)the basis of any qualified property (as defined in section 48E(b)(2)) which is part of an advanced manufacturing facility..
(3)Section 50(a)(2)(E) is amended by striking or 48D(e)
and inserting 48D(e), or 48E(c)(1)
.
(4)The table of sections for subpart E of part IV of subchapter A of chapter 1 is amended by inserting after the item relating to section 48D the following new item:
48E. Advanced manufacturing investment credit..
(d)The amendments made by this section shall apply to property placed in service after December 31, 2021 and, for any property the construction of which begins prior to January 1, 2022, only to the extent of the basis thereof attributable to the construction, reconstruction, or erection after December 31, 2021.
136504.Advanced manufacturing production credit
(a)Subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new section:
45AA.Advanced manufacturing production credit
(a)
(1)For purposes of section 38, the advanced manufacturing production credit for any taxable year is an amount equal to the sum of the credit amounts determined under subsection (b) with respect to each eligible component which is—
(A)produced by such taxpayer, and
(B)during the taxable year, sold by the taxpayer to an unrelated person for the use of such person in their trade or business.
(2)Production and sale must be in trade or businessAny eligible component produced and sold by the taxpayer shall be taken into account only if the production and sale described in paragraph (1) is in a trade or business of the taxpayer.
(b)
(1)Subject to paragraph (3), the amount determined under this subsection with respect to any eligible component, including any eligible component it incorporates, shall be equal to—
(A)in the case of a thin film photovoltaic cell, an amount equal to the product of—
(i)5 cents, multiplied by
(ii)the capacity of such cell (expressed on a per direct current watt basis)
(B)in the case of a crystalline photovoltaic cell, an amount equal to the product of—
(i)4 cents, multiplied by
(ii)the capacity of such cell (expressed on a per direct current watt basis),
(C)in the case of a photovoltaic wafer, $12 per square meter,
(D)in the case of solar grade polysilicon, $3 per kilogram,
(E)in the case of a solar module, an amount equal to the product of—
(i)7 cents, multiplied by
(ii)the capacity of such module (expressed on a per direct current watt basis), and
(F)in the case of a wind energy component, an amount equal to the product of—
(i)the applicable amount with respect to such component, multiplied by
(ii)the total rated capacity (expressed on a per watt basis) of the completed wind turbine for which such component is designed.
(2)For purposes of paragraph (1)(F), the applicable amount with respect to any wind energy component shall be—
(A)in the case of a blade, 2 cents,
(B)in the case of a nacelle, 5 cents,
(C)in the case of a tower, 3 cents, and
(D)in the case of an offshore wind foundation—
(i)which uses a fixed platform, 2 cents, or
(ii)which uses a floating platform, 4 cents.
(3)
(A)In the case of any eligible component sold after December 31, 2026, the amount determined under this subsection with respect to such component shall be equal to the product of—
(i)the amount determined under paragraph (1) with respect to such component, as determined without regard to this paragraph, multiplied by
(ii)the phase out percentage under subparagraph (B).
(B)The phase out percentage under this subparagraph is equal to—
(i)in the case of an eligible component sold during calendar year 2027, 75 percent,
(ii)in the case of an eligible component sold during calendar year 2028, 50 percent,
(iii)in the case of an eligible component sold during calendar year 2029, 25 percent,
(iv)in the case of an eligible component sold after December 31, 2029, 0 percent.
(c)For purposes of this section—
(1)
(A)The term eligible component means—
(i)any solar energy component, and
(ii)any wind energy component.
(B)Application with other creditsWith respect to any taxable year, the term eligible component shall not include any property which is produced at a facility which, for such taxable year or any previous taxable year, the basis of any property which is part of such facility is taken into account for purposes of the credit allowed under section 48C or 48E.
(2)
(A)The term solar energy component means any of the following:
(i)Solar modules.
(ii)Photovoltaic cells.
(iii)Photovoltaic wafers.
(iv)Solar grade polysilicon.
(B)
(i)The term photovoltaic cell means the smallest semiconductor element of a solar module which performs the immediate conversion of light into electricity.
(ii)The term photovoltaic wafer means a thin slice, sheet, or layer of semiconductor material of at least 240 square centimeters produced by a single manufacturer—
(I)either—
- (aa)directly from molten or evaporated solar grade polysilicon or deposition of solar grade thin film semiconductor photon absorber layer, or
- (bb)through formation of an ingot from molten polysilicon and subsequent slicing, and
(II)which comprises the substrate or absorber layer of one or more photovoltaic cells.
(iii)The term solar grade polysilicon means silicon which is—
(I)suitable for use in photovoltaic manufacturing, and
(II)purified to a minimum purity of 99.999999 percent silicon by mass.
(iv)The term solar module means the connection and lamination of photovoltaic cells into an environmentally protected final assembly which is—
(I)suitable to generate electricity when exposed to sunlight, and
(II)ready for installation without an additional manufacturing process.
(3)
(A)The term wind energy component means any of the following:
(i)Blades.
(ii)Nacelles.
(iii)Towers.
(iv)Offshore wind foundations.
(B)
(i)The term blade means an airfoil-shaped blade which is responsible for converting wind energy to low-speed rotational energy.
(ii)The term offshore wind foundation means the component which secures an offshore wind tower and any above-water turbine components to the seafloor using—
(I)fixed platforms, such as offshore wind monopiles, jackets, or gravity-based foundations, or
(II)floating platforms and associated mooring systems.
(iii)The term nacelle means the assembly of the drivetrain and other tower-top components of a wind turbine (with the exception of the blades and the hub) within their cover housing.
(iv)The term tower means a tubular or lattice structure which supports the nacelle and rotor of a wind turbine.
(d)In this section—
(1)Persons shall be treated as related to each other if such persons would be treated as a single employer under the regulations prescribed under section 52(b). In the case of a corporation which is a member of an affiliated group of corporations filing a consolidated return, such corporation shall be treated as selling components to an unrelated person if such component is sold to such a person by another member of such group.
(2)Only production in the United States taken into accountSales shall be taken into account under this section only with respect to eligible components the production of which is within—
(A)the United States (within the meaning of section 638(1)), or
(B)a possession of the United States (within the meaning of section 638(2)).
(3)Pass-thru in the case of estates and trustsUnder regulations prescribed by the Secretary, rules similar to the rules of subsection (d) of section 52 shall apply.
(4)Credit equal to 10 percent of the credit amount for union facilitiesIn the case of a facility operating under a collective bargaining agreement negotiated by an employee organization (as defined in section 412(c)(4)), determined in a manner consistent with section 7701(a)(46), for purposes of determining the amount of the credit under subsection (a) with respect to eligible components produced by such facility, the applicable amount under subsection (b) of such subsection shall be increased by an amount equal to 10 percent of the amount otherwise in effect under such subsection. .
(b)Elective payment of creditSection 6417(b), as amended by the preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(11)The credit for advanced manufacturing production under section 45AA. .
(c)
(1)Section 38(b) of the Internal Revenue Code of 1986 is amended—
(A)in paragraph (37), by striking plus
at the end,
(B)in paragraph (38), by striking the period at the end and inserting , plus
, and
(C)by adding at the end the following new paragraph:
(39)the advanced manufacturing production credit determined under section 45AA(a)..
(2)The table of sections for subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new item:
Sec. 45AA. Advanced manufacturing production credit..
(d)The amendments made by this section shall apply to components produced and sold after December 31, 2021.
6
136601.Qualified environmental justice program credit
(a)Subpart C of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is amended by inserting after section 36F the following new section:
36G.Qualified environmental justice programs
(a)In the case of an eligible educational institution, there shall be allowed as a credit against the tax imposed by this subtitle for any taxable year an amount equal to the applicable percentage of the amounts paid or incurred by such taxpayer during such taxable year which are necessary for a qualified environmental justice program.
(b)Qualified environmental justice programFor purposes of this section—
(1)The term qualified environmental justice program means a program conducted by one or more eligible educational institutions that is designed to address, or improve data about, qualified environmental stressors for the primary purpose of improving, or facilitating the improvement of, health and economic outcomes of individuals residing in low-income areas or areas that experience, or are at risk of experiencing, multiple exposures to qualified environmental stressors.
(2)Qualified environmental stressorThe term qualified environmental stressor means, with respect to an area, a contamination of the air, water, soil, or food with respect to such area or a change relative to historical norms of the weather conditions of such area, including—
(A)toxic pollutants (such as lead, pesticides, or fine particulate matter) in air, soil, food, or water,
(B)high rates of asthma prevalence and incidence, and
(C)such other adverse human health or environmental effects as are identified by the Secretary.
(c)Eligible educational institutionFor purposes of this section, the term eligible educational institution means an institution of higher education (as such term is defined in section 101 or 102(c) of the Higher Education Act of 1965) that is eligible to participate in a program under title IV of such Act.
(d)For purposes of this section, the term applicable percentage means—
(1)in the case of a program involving material participation of faculty and students of an institution described in section 371(a) of the Higher Education Act of 1965, 30 percent, and
(2)in all other cases, 20 percent.
(e)
(1)
(A)The Secretary shall allocate credit dollar amounts under this section to eligible educational institutions, for qualified environmental justice programs, that—
(i)submit applications at such time and in such manner as the Secretary may provide, and
(ii)are selected by the Secretary under subparagraph (B).
(B)The Secretary shall select applications on the basis of the following criteria:
(i)The extent of participation of faculty and students of an institution described in section 371(a) of the Higher Education Act of 1965.
(ii)The extent of the expected effect on the health or economic outcomes of individuals residing in areas within the United States that are low-income areas or areas that experience, or are at risk of experiencing, multiple exposures to qualified environmental stressors.
(iii)The creation or significant expansion of qualified environmental justice programs.
(2)
(A)The amount of the credit determined under this section for any taxable year to any eligible educational institution for any qualified environmental justice program shall not exceed the excess of—
(i)the credit dollar amount allocated to such institution for such program under this subsection, over
(ii)the credits previously claimed by such institution for such program under this section.
(B)No amounts paid or incurred after the 5-year period beginning on the date a credit dollar amount is allocated to an eligible educational institution for a qualified environmental justice program shall be taken into account under subsection (a) with respect to such institution for such program.
(C)The total amount of credits that may be allocated under the program shall not exceed—
(i)$1,000,000,000 for each of taxable years 2022 through 2031, and
(ii)$0 for each subsequent year.
(D)Carryover of unused limitationIf the annual credit limitation for any calendar year exceeds the aggregate amount designated for such year under this subsection, such limitation for the succeeding calendar year shall be increased by the amount of such excess. No amount may be carried under the preceding sentence to any calendar year after 2036.
(f)
(1)An eligible educational institution that has been allocated credit dollar amounts under this section for a qualified environmental justice project for a taxable year shall—
(A)make publicly available the application submitted to the Secretary under subsection (e) with respect to such project, and
(B)submit an annual report to the Secretary that describes the amounts paid or incurred for, and expected impact of, such project.
(2)In the case of an eligible educations institution that has failed to comply with the requirements of this subsection, the credit dollar amount allocated to such institution under this section is deemed to be $0.
(g)The Secretary, upon making an allocation of credit dollar amounts under this section, shall publicly disclose—
(1)the identity of the eligible educational institution receiving the allocation, and
(2)the amount of such allocation..
(b)Gross-up of payments in case of sequestrationIn the case of any payment made as a refund due to an overpayment as a result of section 36G of the Internal Revenue Code of 1986 made after the date of the enactment of this Act to which sequestration applies, the amount of such payment shall be increased to an amount equal to—
(1)such payment (determined before such sequestration), multiplied by
(2)the quotient obtained by dividing 1 by the amount by which 1 exceeds the percentage reduction in such payment pursuant to such sequestration.For purposes of this subsection, the term sequestration
means any reduction in direct spending ordered in accordance with a sequestration report prepared by the Director of the Office and Management and Budget pursuant to the Balanced Budget and Emergency Deficit Control Act of 1985 or the Statutory Pay-As-You-Go Act of 2010.
(c)
(1)Section 6211(b)(4)(A), as amended by the preceding provisions of this Act, is amended by inserting 36G,
after 36F,
.
(2)Paragraph (2) of section 1324(b) of title 31, United States Code, as amended by the preceding provisions of this Act, is amended by inserting 36G,
after 36F,
.
(d)The table of sections for subpart C of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is amended by inserting after the item relating to section 36F the following new item:
Sec. 36G. Qualified environmental justice programs..
(e)The amendments made by this section shall take effect on January 1, 2022.
7
136701.Reinstatement of Superfund
(a) Hazardous Substance Superfund financing rate
(1)Section 4611(e) is amended to read as follows:
(e)Application of Hazardous Substance Superfund financing rateThe Hazardous Substance Superfund financing rate under this section shall apply after June 30, 2022..
(2)
(A)Section 4611(c)(2)(A) is amended by striking 9.7 cents
and inserting 16.4 cents
.
(B)Section 4611(c) is amended by adding at the end the following:
(3)
(A)In the case of a year beginning after 2022, the amount in paragraph (2)(A) shall be increased by an amount equal to—
(i)such amount, multiplied by
(ii)the cost-of-living adjustment determined under section 1(f)(3) for the calendar year, determined by substituting calendar year 2021
for calendar year 2016
in subparagraph (A)(ii) thereof.
(B)If any amount as adjusted under subparagraph (A) is not a multiple of $0.01, such amount shall be rounded to the next lowest multiple of $0.01..
(b)Section 9507(d)(3)(B) is amended by striking December 31, 1995
and inserting December 31, 2031
.
(c)The amendments made by this section shall take effect on July 1, 2022.
8Incentives for Clean Electricity and Clean Transportation
136801.Clean electricity production credit
(a)Subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new section:
45BB.Clean electricity production credit
(a)
(1)For purposes of section 38, the clean electricity production credit for any taxable year is an amount equal to the product of—
(A)the kilowatt hours of electricity—
(i)produced by the taxpayer at a qualified facility, and
(ii)
(I)sold by the taxpayer to an unrelated person during the taxable year, or
(II)in the case of a qualified facility which is equipped with a metering device which is owned and operated by an unrelated person, sold, consumed, or stored by the taxpayer during the taxable year, multiplied by
(B)the applicable amount with respect to such qualified facility.
(2)
(A)Subject to subsection (g)(7), in the case of any qualified facility which is not described in clause (i) of subparagraph (B) and does not satisfy the requirements described in clause (ii) of such subparagraph, the applicable amount shall be 0.3 cents.
(B)Subject to subsection (g)(7), in the case of any qualified facility—
(i)with a maximum net output of less than 1 megawatt, or
(ii)which—
(I)satisfies the requirements under paragraph (9) of subsection (g), and
(II)with respect to the construction of such facility, satisfies the requirements under paragraph (10) of subsection (g), the applicable amount shall be 1.5 cents.
(b)
(1)
(A)Subject to subparagraphs (B), (C), and (D), the term qualified facility means a facility owned by the taxpayer—
(i)which is used for the generation of electricity,
(ii)the construction of which begins after December 31, 2026, and
(iii)for which the greenhouse gas emissions rate (as determined under paragraph (2)) is not greater than zero.
(B)10-year production creditFor purposes of this section, a facility shall only be treated as a qualified facility during the 10-year period beginning on the date the facility was originally placed in service.
(C)Expansion of facility; incremental productionThe term qualified facility shall include either of the following in connection with a facility described in subparagraph (A) (without regard to clause (ii) of such subparagraph) the construction of which begins before January 1, 2027, but only to the extent of the increased amount of electricity produced at the facility by reason of the following:
(i)A new unit the construction of which begins after December 31, 2026.
(ii)Any additions of capacity the construction of which begins after December 31, 2026.
(D)Coordination with other creditsThe term qualified facility shall not include any facility for which a credit determined under section 45, 45J, 45Q, 48, 48A, or 48F is allowed under section 38 for the taxable year or any prior taxable year.
(2)Greenhouse gas emissions rate
(A)For purposes of this section, the term greenhouse gas emissions rate means the amount of greenhouse gases emitted into the atmosphere by a facility in the production of electricity, expressed as grams of CO2e per KWh.
(B)Fuel combustion and gasificationIn the case of a facility which produces electricity through combustion or gasification, the greenhouse gas emissions rate for such facility shall be equal to the net rate of greenhouse gases emitted into the atmosphere by such facility (taking into account lifecycle greenhouse gas emissions, as described in section 211(o)(1)(H) of the Clean Air Act (42 U.S.C. 7545(o)(1)(H))) in the production of electricity, expressed as grams of CO2e per KWh.
(C)Establishment of emissions rates for facilities
(i)Publishing emissions ratesThe Secretary shall annually publish a table that sets forth the greenhouse gas emissions rates for types or categories of facilities, which a taxpayer shall use for purposes of this section.
(ii)Provisional emissions rateIn the case of any facility for which an emissions rate has not been established by the Secretary, a taxpayer which owns such facility may file a petition with the Secretary for determination of the emissions rate with respect to such facility.
(D)Carbon capture and sequestration equipmentFor purposes of this subsection, the amount of greenhouse gases emitted into the atmosphere by a facility in the production of electricity shall not include any qualified carbon dioxide that is captured by the taxpayer and—
(i)pursuant to any regulations established under paragraph (2) of section 45Q(f), disposed of by the taxpayer in secure geological storage, or
(ii)utilized by the taxpayer in a manner described in paragraph (5) of such section.
(c)
(1)In the case of a calendar year beginning after 2021, the 0.3 cent amount in paragraph (2)(A) of subsection (a) and the 1.5 cent amount in paragraph (2)(B) of such subsection shall each be adjusted by multiplying such amount by the inflation adjustment factor for the calendar year in which the sale or use of the electricity occurs. If any amount as increased under the preceding sentence is not a multiple of 0.1 cent, such amount shall be rounded to the nearest multiple of 0.1 cent.
(2)The Secretary shall, not later than April 1 of each calendar year, determine and publish in the Federal Register the inflation adjustment factor for such calendar year in accordance with this subsection.
(3)Inflation adjustment factorThe term inflation adjustment factor
means, with respect to a calendar year, a fraction the numerator of which is the GDP implicit price deflator for the preceding calendar year and the denominator of which is the GDP implicit price deflator for the calendar year 1992. The term GDP implicit price deflator means the most recent revision of the implicit price deflator for the gross domestic product as computed and published by the Department of Commerce before March 15 of the calendar year.
(d)
(1)The amount of the clean electricity production credit under subsection (a) for any qualified facility the construction of which begins during a calendar year described in paragraph (2) shall be equal to the product of—
(A)the amount of the credit determined under subsection (a) without regard to this subsection, multiplied by
(B)the phase-out percentage under paragraph (2).
(2)The phase-out percentage under this paragraph is equal to—
(A)for a facility the construction of which begins during the first calendar year following the applicable year, 100 percent,
(B)for a facility the construction of which begins during the second calendar year following the applicable year, 75 percent,
(C)for a facility the construction of which begins during the third calendar year following the applicable year, 50 percent, and
(D)for a facility the construction of which begins during any calendar year subsequent to the calendar year described in subparagraph (C), 0 percent.
(3)For purposes of this subsection, the term applicable year means the later of—
(A)the calendar year in which the Secretary determines that the annual greenhouse gas emissions from the production of electricity in the United States are equal to or less than 25 percent of the annual greenhouse gas emissions from the production of electricity in the United States for calendar year 2021, or
(B)2031.
(e)For purposes of this section:
(1)The term CO2e per KWh means, with respect to any greenhouse gas, the equivalent carbon dioxide (as determined based on global warming potential) per kilowatt hour of electricity produced.
(2)The term greenhouse gas has the same meaning given such term under section 211(o)(1)(G) of the Clean Air Act (42 U.S.C. 7545(o)(1)(G)), as in effect on the date of the enactment of this section.
(3)The term qualified carbon dioxide means carbon dioxide captured from an industrial source which—
(A)would otherwise be released into the atmosphere as industrial emission of greenhouse gas,
(B)is measured at the source of capture and verified at the point of disposal or utilization, and
(C)is captured and disposed or utilized within the United States (within the meaning of section 638(1)) or a possession of the United States (within the meaning of section 638(2)).
(f)Not later than January 1, 2027, the Secretary shall issue guidance regarding implementation of this section, including calculation of greenhouse gas emission rates for qualified facilities and determination of clean electricity production credits under this section.
(g)
(1)Only production in the United States taken into accountConsumption or sales shall be taken into account under this section only with respect to electricity the production of which is within—
(A)the United States (within the meaning of section 638(1)), or
(B)a possession of the United States (within the meaning of section 638(2)).
(2)Combined heat and power system property
(A)For purposes of subsection (a)—
(i)the kilowatt hours of electricity produced by a taxpayer at a qualified facility shall include any production in the form of useful thermal energy by any combined heat and power system property within such facility, and
(ii)the amount of greenhouse gases emitted into the atmosphere by such facility in the production of such useful thermal energy shall be included for purposes of determining the greenhouse gas emissions rate for such facility.
(B)Combined heat and power system propertyFor purposes of this paragraph, the term combined heat and power system property has the same meaning given such term by section 48(c)(3) (without regard to subparagraphs (A)(iv), (B), and (D) thereof).
(C)Conversion from BTU to KWh
(i)For purposes of subparagraph (A)(i), the amount of kilowatt hours of electricity produced in the form of useful thermal energy shall be equal to the quotient of—
(I)the total useful thermal energy produced by the combined heat and power system property within the qualified facility, divided by
(II)the heat rate for such facility.
(ii)For purposes of this subparagraph, the term heat rate means the amount of energy used by the qualified facility to generate 1 kilowatt hour of electricity, expressed as British thermal units per net kilowatt hour generated.
(3)Production attributable to the taxpayerIn the case of a qualified facility in which more than 1 person has an ownership interest, except to the extent provided in regulations prescribed by the Secretary, production from the facility shall be allocated among such persons in proportion to their respective ownership interests in the gross sales from such facility.
(4)Persons shall be treated as related to each other if such persons would be treated as a single employer under the regulations prescribed under section 52(b). In the case of a corporation which is a member of an affiliated group of corporations filing a consolidated return, such corporation shall be treated as selling electricity to an unrelated person if such electricity is sold to such a person by another member of such group.
(5)Pass-thru in the case of estates and trustsUnder regulations prescribed by the Secretary, rules similar to the rules of subsection (d) of section 52 shall apply.
(6)Allocation of credit to patrons of agricultural cooperative
(A)
(i)In the case of an eligible cooperative organization, any portion of the credit determined under subsection (a) for the taxable year may, at the election of the organization, be apportioned among patrons of the organization on the basis of the amount of business done by the patrons during the taxable year.
(ii)Form and effect of electionAn election under clause (i) for any taxable year shall be made on a timely filed return for such year. Such election, once made, shall be irrevocable for such taxable year. Such election shall not take effect unless the organization designates the apportionment as such in a written notice mailed to its patrons during the payment period described in section 1382(d).
(B)Treatment of organizations and patronsThe amount of the credit apportioned to any patrons under subparagraph (A)—
(i)shall not be included in the amount determined under subsection (a) with respect to the organization for the taxable year, and
(ii)shall be included in the amount determined under subsection (a) for the first taxable year of each patron ending on or after the last day of the payment period (as defined in section 1382(d)) for the taxable year of the organization or, if earlier, for the taxable year of each patron ending on or after the date on which the patron receives notice from the cooperative of the apportionment.
(C)Special rules for decrease in credits for taxable yearIf the amount of the credit of a cooperative organization determined under subsection (a) for a taxable year is less than the amount of such credit shown on the return of the cooperative organization for such year, an amount equal to the excess of—
(i)such reduction, over
(ii)the amount not apportioned to such patrons under subparagraph (A) for the taxable year,shall be treated as an increase in tax imposed by this chapter on the organization. Such increase shall not be treated as tax imposed by this chapter for purposes of determining the amount of any credit under this chapter.
(D)Eligible cooperative definedFor purposes of this section, the term eligible cooperative means a cooperative organization described in section 1381(a) which is owned more than 50 percent by agricultural producers or by entities owned by agricultural producers. For this purpose an entity owned by an agricultural producer is one that is more than 50 percent owned by agricultural producers.
(7)Increase in credit in certain cases
(A)
(i)In the case of any qualified facility which is located in an energy community, for purposes of determining the amount of the credit under subsection (a) with respect to any electricity produced by the taxpayer at such facility during the taxable year, the applicable amount under paragraph (2) of such subsection shall be increased by an amount equal to 10 percent of the amount otherwise in effect under such paragraph (without application of subparagraph (B)).
(ii)For purposes of this subparagraph, the term energy community means a census tract—
(I)in which—
- (aa)for the calendar year in which construction of the qualified facility began, not less than 5 percent of the employment in such tract is within the oil and gas sector,
- (bb)after December 31, 1999, a coal mine has closed, or
- (cc)after December 31, 2009, a coal-fired electric generating unit has been retired, or
(II)which is immediately adjacent to any census tract described in subclause (I).
(B)Rules similar to the rules of section 45(b)(10) shall apply.
(8)Credit reduced for tax-exempt bondsRules similar to the rules of section 45(b)(3) shall apply.
(9)Rules similar to the rules of section 45(b)(8) shall apply.
(10)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(11)Domestic content requirement for elective paymentRules similar to the rules of section 45(b)(11) shall apply. .
(b)Elective payment of creditSection 6417(b), as amended by preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(12)The clean electricity production credit determined under section 45BB(a). .
(c)Section 6417(c)(3), as amended by the preceding provisions of this Act, is amended by adding at the end the following new subparagraph:
(D)Clean electricity production creditIn the case of the credit described in subsection (b)(10), any election under this subsection shall—
(i)apply separately with respect to each qualified facility,
(ii)be made for the taxable year in which the facility is placed in service, and
(iii)shall apply to such taxable year and all subsequent taxable years with respect to such facility..
(d)
(1)Section 38(b) is amended—
(A)in paragraph (38), by striking plus
at the end,
(B)in paragraph (39), by striking the period at the end and inserting , plus
, and
(C)by adding at the end the following new paragraph:
(40)the clean electricity production credit determined under section 45BB(a)..
(2)The table of sections for subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new item:
Sec. 45BB. Clean electricity production credit..
(e)The amendments made by this section shall apply to facilities placed in service after December 31, 2022.
136802.Clean electricity investment credit
(a)Subpart E of part IV of subchapter A of chapter 1 is amended by inserting after section 48E the following new section:
48F.Clean electricity investment credit
(a)Investment credit for qualified property
(1)For purposes of section 46, the clean electricity investment credit for any taxable year is an amount equal to the applicable percentage of the qualified investment for such taxable year with respect to—
(A)any qualified facility, and
(B)any grid improvement property.
(2)
(A)Subject to paragraph (3)—
(i)In the case of any qualified facility which is not described in subclause (I) of clause (ii) and does not satisfy the requirements described in subclause (II) of such clause, the applicable percentage shall be 6 percent.
(ii)In the case of any qualified facility—
(I)with a maximum net output of less than 1 megawatt, or
(II)which—
- (aa)satisfies the requirements of subsection (d)(3), and
- (bb)with respect to the construction of such facility, satisfies the requirements of subsection (d)(4),
the applicable percentage shall be 30 percent.
(B)Grid improvement propertySubject to paragraph (3)—
(i)In the case of any grid improvement property which is not described in subclause (I) of clause (ii) and does not satisfy the requirements described in subclause (II) of such clause, the applicable percentage shall be 6 percent.
(ii)In the case of any grid improvement property—
(I)which is energy storage property with a capacity of less than 1 megawatt, or
(II)which—
- (aa)satisfies the requirements of subsection (d)(3), and
- (bb)with respect to the construction of such property, satisfies rules similar to the rules of section 45(b)(9),
the applicable percentage shall be 30 percent.
(3)Increase in credit rate in certain cases
(A)
(i)In the case of any qualified investment with respect to a qualified facility or with respect to grid improvement property which is placed in service within an energy community, for purposes applying paragraph (2) with respect to such property or investment, the applicable percentage shall be increased by the applicable credit rate increase.
(ii)Applicable credit rate increaseFor purposes of clause (i), the applicable credit rate increase shall be an amount equal to—
(I)in the case of any qualified investment with respect to a qualified facility described in paragraph (2)(A)(i) or with respect to grid improvement property described in paragraph (2)(B)(i), 2 percentage points, and
(II)in the case of any qualified investment with respect to a qualified facility described in paragraph (2)(A)(ii) or with respect to grid improvement property described in paragraph (2)(B)(ii), 10 percentage points.
(B)Rules similar to the rules of section 45(a)(11) shall apply.
(b)Qualified investment with respect to a qualified facility
(1)For purposes of subsection (a), the qualified investment with respect to any qualified facility for any taxable year is the sum of—
(A)the basis of any qualified property placed in service by the taxpayer during such taxable year which is part of a qualified facility, plus
(B)the amount of any expenditures which are—
(i)paid or incurred by the taxpayer for qualified interconnection property—
(I)in connection with a qualified facility which has a maximum net output of not greater than 5 megawatts, and
(II)placed in service during the taxable year of the taxpayer, and
(ii)properly chargeable to capital account of the taxpayer.
(2)The term qualified property means property—
(A)which is—
(i)tangible personal property, or
(ii)other tangible property (not including a building or its structural components), but only if such property is used as an integral part of the qualified facility,
(B)with respect to which depreciation (or amortization in lieu of depreciation) is allowable, and
(C)
(i)the construction, reconstruction, or erection of which is completed by the taxpayer, or
(ii)which is acquired by the taxpayer if the original use of such property commences with the taxpayer.
(3)
(A)For purposes of this section, the term qualified facility means a facility—
(i)which is used for the generation of electricity,
(ii)the construction of which begins after December 31, 2026, and
(iii)for which the anticipated greenhouse gas emissions rate (as determined under subparagraph (B)(ii)) is not greater than zero.
(B)
(i)Expansion of facility; incremental productionRules similar to the rules of section 45BB(b)(1)(C) shall apply for purposes of this paragraph.
(ii)Greenhouse gas emissions rateRules similar to the rules of section 45BB(b)(2) shall apply for purposes of this paragraph.
(C)The term qualified facility shall not include any facility for which—
(i)a renewable electricity production credit determined under section 45,
(ii)an advanced nuclear power facility production credit determined under section 45J,
(iii)a carbon oxide sequestration credit determined under section 45Q,
(iv)a clean electricity production credit determined under section 45BB,
(v)an energy credit determined under section 48,
(vi)a qualifying advanced coal project credit under section 48A, or
(vii)a qualifying electric transmission property credit under section 48D, is allowed under section 38 for the taxable year or any prior taxable year.
(4)Qualified interconnection propertyFor purposes of this paragraph, the term qualified interconnection property
has the meaning given such term in section 48(a)(7)(B).
(5)Coordination with rehabilitation creditThe qualified investment with respect to any qualified facility for any taxable year shall not include that portion of the basis of any property which is attributable to qualified rehabilitation expenditures (as defined in section 47(c)(2)).
(6)For purposes of this subsection, the terms CO2e per KWh and greenhouse gas emissions rate have the same meaning given such terms under section 45BB(b).
(c)Qualified investment with respect to grid improvement property
(1)
(A)For purposes of subsection (a), the qualified investment with respect to grid improvement property for any taxable year is the basis of any grid improvement property placed in service by the taxpayer during such taxable year.
(B)Grid improvement propertyFor purposes of this section, the term grid improvement property means any energy storage property.
(2)For purposes of this section, the term energy storage property has the meaning given such term in section 48(c)(6).
(d)
(1)Certain progress expenditure rules made applicableRules similar to the rules of subsections (c)(4) and (d) of section 46 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990) shall apply for purposes of subsection (a).
(2)Special rule for property financed by subsidized energy financing or private activity bondsRules similar to the rules of section 45(b)(3) shall apply.
(3)Prevailing wage requirementsRules similar to the rules of section 48(a)(9) shall apply.
(4)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply.
(5)Domestic content requirement for elective paymentRules similar to the rules of section 45(b)(11) shall apply.
(e)
(1)The amount of the clean electricity investment credit under subsection (a) for any qualified investment with respect to any qualified facility or grid improvement property the construction of which begins during a calendar year described in paragraph (2) shall be equal to the product of—
(A)the amount of the credit determined under subsection (a) without regard to this subsection, multiplied by
(B)the phase-out percentage under paragraph (2).
(2)The phase-out percentage under this paragraph is equal to—
(A)for any qualified investment with respect to any qualified facility or grid improvement property the construction of which begins during the first calendar year following the applicable year, 100 percent,
(B)for any qualified investment with respect to any qualified facility or grid improvement property the construction of which begins during the second calendar year following the applicable year, 75 percent,
(C)for any qualified investment with respect to any qualified facility or grid improvement property the construction of which begins during the third calendar year following the applicable year, 50 percent, and
(D)for any qualified investment with respect to any qualified facility or grid improvement property the construction of which begins during any calendar year subsequent to the calendar year described in subparagraph (C), 0 percent.
(3)For purposes of this subsection, the term applicable year has the same meaning given such term in section 45BB(d)(3).
(f)In this section, the term greenhouse gas has the same meaning given such term under section 45BB(e)(2).
(g)For purposes of section 50, if the Secretary determines that the greenhouse gas emissions rate for a qualified facility is greater than 10 grams of CO2e per KWh, any property for which a credit was allowed under this section with respect to such facility shall cease to be investment credit property in the taxable year in which the determination is made.
(h)Not later than January 1, 2027, the Secretary shall issue guidance regarding implementation of this section..
(b)Elective payment of creditSection 6417(b), as amended by preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(13)The clean electricity investment credit determined under section 48F..
(c)Section 50(d) is amended by adding at the end the following: Paragraphs (1)(B) and (2)(B) of the section 46(e) referred to in paragraph (1) of this subsection shall not apply to any qualified investment described in section 48F of a real estate investment trust.
(d)
(1)Section 46 is amended—
(A)by striking and
at the end of paragraph (5),
(B)by striking the period at the end of paragraph (6) and inserting , and
, and
(C)by adding at the end the following new paragraph:
(7)the clean electricity investment credit..
(2)Section 49(a)(1)(C) is amended—
(A)by striking and
at the end of clause (iv),
(B)by striking the period at the end of clause (v) and inserting a comma, and
(C)by adding at the end the following new clauses:
(vi)the basis of any qualified property which is part of a qualified facility under section 48F, and
(vii)the basis of any energy storage property under section 48F..
(3)Section 50(a)(2)(E) is amended by striking or 48E(c)(1)
and inserting 48E(c)(1), or 48F(e)
.
(4)Section 50(c)(3) is amended by inserting or clean electricity investment credit
after In the case of any energy credit
.
(5)The table of sections for subpart E of part IV of subchapter A of chapter 1 is amended by inserting after the item relating to section 48E the following new item:
48F. Clean electricity investment credit..
(e)The amendments made by this section shall apply to property placed in service after December 31, 2026, and, for any property the construction of which begins prior to January 1, 2027, only to the extent of the basis thereof attributable to the construction, reconstruction, or erection after December 31, 2026.
136803.Increase in clean electricity investment credit for facilities placed in service in connection with low-income communities
(a)Section 48F, as added by this Act, is amended by adding at the end the following new subsection:
(i)Special rules for certain facilities placed in service in connection with low-income communities
(1)In the case of any qualified facility with respect to which the Secretary makes an allocation of environmental justice capacity limitation under paragraph (4)—
(A)the applicable percentage otherwise determined under subsection (a)(2) with respect to any eligible property which is part of such facility shall be increased by—
(i)in the case of a facility described in subclause (I) of paragraph (2)(A)(iii) and not described in subclause (II) of such paragraph, 10 percentage points, and
(ii)in the case of a facility described in subclause (II) of paragraph (2)(A)(iii), 20 percentage points, and
(B)the increase in the credit determined under subsection (a) by reason of this subsection for any taxable year with respect to all property which is part of such facility shall not exceed the amount which bears the same ratio to the amount of such increase (determined without regard to this subparagraph) as—
(i)the environmental justice capacity limitation allocated to such facility, bears to
(ii)the total megawatt nameplate capacity of such facility, as measured in direct current.
(2)For purposes of this subsection—
(A)The term qualified facility
means any facility—
(i)which is described in subsection (b)(3)(A) and not described in section 45BB(b)(2)(B),
(ii)which has a maximum net output of less than 5 megawatts, and
(iii)which—
(I)is located in a low-income community (as defined in section 45D(e)) or on Indian land (as defined in section 2601(2) of the Energy Policy Act of 1992 (25 U.S.C. 3501(2))), or
(II)is part of a qualified low-income residential building project or a qualified low-income economic benefit project.
(B)Qualified low-income residential building projectA facility shall be treated as part of a qualified low-income residential building project if—
(i)such facility is installed on a residential rental building which participates in a covered housing program (as defined in section 41411(a) of the Violence Against Women Act of 1994 (34 U.S.C. 12491(a)(3)), a Housing Development Fund Corporation cooperative under Article XI of the New York State Private Housing Finance Law, a housing assistance program administered by the Department of Agriculture under title V of the Housing Act of 1949, a housing program administered by a tribally designated housing entity (as defined in section 4(22) of the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4103(22))) or such other affordable housing programs as the Secretary may provide, and
(ii)the financial benefits of the electricity produced by such facility are allocated equitably among the occupants of the dwelling units of such building.
(C)Qualified low-income economic benefit projectA facility shall be treated as part of a qualified low-income economic benefit project if at least 50 percent of the financial benefits of the electricity produced by such facility are provided to households with income of—
(i)less than 200 percent of the poverty line applicable to a family of the size involved, or
(ii)less than 80 percent of area median gross income (as determined under section 142(d)(2)(B)).
(D)For purposes of subparagraphs (B) and (C), electricity acquired at a below-market rate shall not fail to be taken into account as a financial benefit.
(3)For purposes of this section, the term eligible property
means a qualified investment with respect to any qualified facility which is described in subsection (b).
(4)
(A)Not later than January 1, 2027, the Secretary shall establish a program to allocate amounts of environmental justice capacity limitation to qualified facilities.
(B)The amount of environmental justice capacity limitation allocated by the Secretary under subparagraph (A) during any calendar year shall not exceed the annual capacity limitation with respect to such year.
(C)Annual capacity limitationFor purposes of this paragraph, the term annual capacity limitation means 1.8 gigawatts of direct current capacity for each of calendar years 2027 through 2031, and zero thereafter.
(D)Carryover of unused limitation
(i)If the annual capacity limitation for any calendar year exceeds the aggregate amount allocated for such year under this paragraph, such limitation for the succeeding calendar year shall be increased by the amount of such excess. No amount may be carried under the preceding sentence to any calendar year after 2033.
(ii)Carryover from section 48 for calendar year 2027If the annual capacity limitation for calendar year 2026 under section 48(e)(4)(D) exceeds the aggregate amount allocated for such year under section 48(e)(4)(D), such excess amount may be carried over and applied to the annual capacity limitation under this subsection for calendar year 2027. Such limitation shall be increased by the amount of such excess.
(E)Placed in service deadline
(i)Paragraph (1) shall not apply with respect to any property which is placed in service after the date that is 4 years after the date of the allocation with respect to the facility of which such property is a part.
(ii)Any amount of environmental justice capacity limitation which expires under clause (i) during any calendar year shall be taken into account as an excess described in subparagraph (D) (or as an increase in such excess) for such calendar year, subject to the limitation imposed by the last sentence of such subparagraph.
(F)In determining to which qualified facilities to allocate environmental justice capacity limitation under this paragraph, the Secretary shall take into consideration which facilities will result in—
(i)the greatest health and economic benefits, including the ability to withstand extreme weather events, for individuals described in section 45D(e)(2),
(ii)the greatest employment and wages for such individuals, and
(iii)the greatest engagement with, outreach to, or ownership by, such individuals, including through partnerships with local governments, Indian tribal governments (as defined in section 139E), and community-based organizations.
(G)Disclosure of allocationsThe Secretary shall, upon making an allocation of environmental justice capacity limitation under this paragraph, publicly disclose the identity of the applicant, the amount of the environmental justice capacity limitation allocated to such applicant, and the location of the facility for which such allocation is made.
(5)The Secretary shall, by regulations or other guidance, provide for recapturing the benefit of any increase in the credit allowed under subsection (a) by reason of this subsection with respect to any property which ceases to be property eligible for such increase (but which does not cease to be investment credit property within the meaning of section 50(a)). The period and percentage of such recapture shall be determined under rules similar to the rules of section 50(a). To the extent provided by the Secretary, such recapture may not apply with respect to any property if, within 12 months after the date the taxpayer becomes aware (or reasonably should have become aware) of such property ceasing to be property eligible for such increase, the eligibility of such property for such increase is restored. The preceding sentence shall not apply more than once with respect to any facility..
(b)The amendments made by this section shall take effect on January 1, 2027.
136804.Cost recovery for qualified facilities, qualified property, and grid improvement property
(a)Section 168(e)(3)(B) is amended—
(1)in clause (vi)(III), by striking and
at the end,
(2)in clause (vii), by striking the period at the end and inserting , and
, and
(3)by inserting after clause (vii) the following:
(viii)any qualified facility (as defined in section 45BB(b)(1)(A)), any qualified property (as defined in subsection (b)(2) of section 48F) which is a qualified investment (as defined in subsection (b)(1) of such section), or any grid improvement property (as defined in subsection (c)(1)(B) of such section)..
(b)The amendments made by this section shall apply to facilities and property placed in service after December 31, 2026.
136805.Clean fuel production credit
(a)Subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new section:
45CC.Clean fuel production credit
(a)
(1)For purposes of section 38, the clean fuel production credit for any taxable year is an amount equal to the product of—
(A)the applicable amount per gallon (or gallon equivalent) with respect to any transportation fuel which is—
(i)produced by the taxpayer at a qualified facility, and
(ii)sold by the taxpayer in a manner described in paragraph (4) during the taxable year, and
(B)the emissions factor for such fuel (as determined under subsection (b)).
(2)
(A)In the case of any transportation fuel produced at a qualified facility which does not satisfy the requirements described in subparagraph (B), the applicable amount shall be 20 cents.
(B)In the case of any transportation fuel produced at a qualified facility which satisfies the requirements under paragraphs (6) and (7) of subsection (g), the applicable amount shall be $1.00.
(3)Special rate for sustainable aviation fuel
(A)In the case of a transportation fuel which is sustainable aviation fuel, paragraph (2) shall be applied—
(i)in the case of a transportation fuel produced at a qualified facility described in paragraph (2)(A), by substituting 35 cents
for 20 cents
, and
(ii)in the case of a transportation fuel produced at a qualified facility described in paragraph (2)(B), by substituting $1.75
for $1.00
.
(B)Sustainable aviation fuelFor purposes of this subparagraph (A), the term sustainable aviation fuel means liquid fuel which is sold for use in an aircraft and which—
(i)meets the requirements of—
(I)ASTM International Standard D7566, or
(II)the Fischer Tropsch provisions of ASTM International Standard D1655, Annex A1, and
(ii)is not derived from palm fatty acid distillates or petroleum.
(4)For purposes of paragraph (1), the transportation fuel is sold in a manner described in this paragraph if such fuel is sold by the taxpayer to an unrelated person—
(A)for use by such person in the production of a fuel mixture,
(B)for use by such person in a trade or business, or
(C)who sells such fuel at retail to another person and places such fuel in the fuel tank of such other person.
(5)If any amount determined under paragraph (1) is not a multiple of 0.1 cent, such amount shall be rounded to the nearest multiple of 0.1 cent.
(b)
(1)
(A)
(i)The emissions factor of a transportation fuel shall be an amount equal to the quotient of—
(I)an amount equal to—
- (aa)75 kilograms of CO2e per mmBTU, minus
- (bb)the emissions rate for such fuel, divided by
(II)75 kilograms of CO2e per mmBTU.
(B)Establishment of emissions rate
(i)Subject to clauses (ii) and (iii), the Secretary shall annually publish a table which sets forth the emissions rate for similar types and categories of transportation fuels based on the amount of lifecycle greenhouse gas emissions (as described in section 211(o)(1)(H) of the Clean Air Act (42 U.S.C. 7545(o)(1)(H)), as in effect on the date of the enactment of this section) for such fuels, expressed as kilograms of CO2e per mmBTU, which a taxpayer shall use for purposes of this section.
(ii)In the case of any transportation fuel which is not a sustainable aviation fuel, the lifecycle greenhouse gas emissions of such fuel shall be based on the most recent determinations under the Greenhouse gases, Regulated Emissions, and Energy use in Transportation model developed by Argonne National Laboratory, or a successor model (as determined by the Secretary).
(iii)In the case of any transportation fuel which is a sustainable aviation fuel, the lifecycle greenhouse gas emissions of such fuel shall be determined in accordance with—
(I)the most recent Carbon Offsetting and Reduction Scheme for International Aviation which has been adopted by the International Civil Aviation Organization with the agreement of the United States, or
(II)any similar methodology which satisfies the criteria under section 211(o)(1)(H) of the Clean Air Act (42 U.S.C. 7545(o)(1)(H)).
(C)Rounding of emissions rateThe Secretary may round the emissions rates under subparagraph (B) to the nearest multiple of 5 kilograms of CO2e per mmBTU, except that, in the case of an emissions rate that is less than 2.5 kilograms of CO2e per mmBTU, the Secretary may round such rate to zero.
(D)Provisional emissions rateIn the case of any transportation fuel for which an emissions rate has not been established under subparagraph (B), a taxpayer producing such fuel may file a petition with the Secretary for determination of the emissions rate with respect to such fuel.
(2)If any amount determined under paragraph (1)(A) is not a multiple of 0.1, such amount shall be rounded to the nearest multiple of 0.1.
(c)
(1)In the case of calendar years beginning after 2026, the 20 cent amount in subsection (a)(2)(A), the $1.00 amount in subsection (a)(2)(B), the 35 cent amount in subsection (a)(3)(A)(i), and the $1.75 amount in subsection (a)(3)(A)(ii) shall each be adjusted by multiplying such amount by the inflation adjustment factor for the calendar year in which the sale of the transportation fuel occurs. If any amount as increased under the preceding sentence is not a multiple of 1 cent, such amount shall be rounded to the nearest multiple of 1 cent.
(2)Inflation adjustment factorFor purposes of paragraph (1), the inflation adjustment factor shall be the inflation adjustment factor determined and published by the Secretary pursuant to section 45BB(c), determined by substituting calendar year 2021
for calendar year 1992
in paragraph (3) thereof.
(d)
(1)The amount of the clean fuel production credit under subsection (a) for any transportation fuel sold during a taxable year described in paragraph (2) shall be equal to the product of—
(A)the amount of the credit determined under subsection (a) without regard to this subsection, multiplied by
(B)the phase-out percentage under paragraph (2).
(2)The phase-out percentage under this paragraph is equal to—
(A)for any taxable year beginning in the first calendar year following the applicable year, 100 percent,
(B)for any taxable year beginning in the second calendar year following the applicable year, 75 percent,
(C)for any taxable year beginning in the third calendar year following the applicable year, 50 percent, and
(D)for any taxable year beginning in any calendar year subsequent to the calendar year described in subparagraph (C), 0 percent.
(3)For purposes of this subsection, the term applicable year means the later of—
(A)the calendar year in which the Secretary determines that the greenhouse gas emissions from the transportation of persons and goods annually in the United States are equal to or less than 25 percent of the greenhouse gas emissions from the transportation of persons and goods in the United States during calendar year 2021, or
(B)2031.
(e)In this section:
(1)The term mmBTU means 1,000,000 British thermal units.
(2)The term CO2e means, with respect to any greenhouse gas, the equivalent carbon dioxide (as determined based on relative global warming potential).
(3)The term greenhouse gas has the same meaning given that term under section 211(o)(1)(G) of the Clean Air Act (42 U.S.C. 7545(o)(1)(G)), as in effect on the date of the enactment of this section.
(4)The term qualified facility—
(A)means a facility used for the production of transportation fuels, and
(B)does not include any facility for which one of the following credits is allowed under section 38 for the taxable year:
(i)The credit for production of clean hydrogen under section 45X.
(ii)The credit for clean hydrogen production facilities under section 48(a)(15).
(iii)The credit for carbon oxide sequestration under section 45Q.
(5)The term transportation fuel means a fuel (with the exception of hydrogen) which—
(A)is suitable for use as a fuel in a highway vehicle or aircraft, and
(B)has an emissions rate which is not greater than—
(i)in the case of a fuel which is not a sustainable aviation fuel—
(I)for any such fuel sold during calendar years 2027 through 2030, 50 kilograms of CO2e per mmBTU, and
(II)for any such fuel sold during any calendar year beginning after December 31, 2030, 25 kilograms of CO2e per mmBTU, or
(ii)in the case of a fuel which is a sustainable aviation fuel—
(I)for any such fuel sold during any period before January 1, 2031, 35 kilograms of CO2e per mmBTU, and
(II)for any such fuel sold during any period after December 31, 2030, 25 kilograms of CO2e per mmBTU.
(f)Not later than January 1, 2027, the Secretary shall issue guidance regarding implementation of this section, including calculation of emissions factors for transportation fuel, the table described in subsection (b)(1)(B)(i), and the determination of clean fuel production credits under this section.
(g)
(1)Only registered production in the United States taken into account
(A)No clean fuel production credit shall be determined under subsection (a) with respect to any transportation fuel unless—
(i)the taxpayer is registered as a producer of clean fuel under section 4101 at the time of production, and
(ii)such fuel is produced in the United States.
(B)For purposes of this paragraph, the term United States
includes any possession of the United States.
(2)Production attributable to the taxpayerIn the case of a facility in which more than 1 person has an ownership interest, except to the extent provided in regulations prescribed by the Secretary, production from the facility shall be allocated among such persons in proportion to their respective ownership interests in the gross sales from such facility.
(3)Persons shall be treated as related to each other if such persons would be treated as a single employer under the regulations prescribed under section 52(b). In the case of a corporation which is a member of an affiliated group of corporations filing a consolidated return, such corporation shall be treated as selling fuel to an unrelated person if such fuel is sold to such a person by another member of such group.
(4)Pass-thru in the case of estates and trustsUnder regulations prescribed by the Secretary, rules similar to the rules of subsection (d) of section 52 shall apply.
(5)Allocation of credit to patrons of agricultural cooperative
(A)
(i)In the case of an eligible cooperative organization, any portion of the credit determined under subsection (a) for the taxable year may, at the election of the organization, be apportioned among patrons of the organization on the basis of the amount of business done by the patrons during the taxable year.
(ii)Form and effect of electionAn election under clause (i) for any taxable year shall be made on a timely filed return for such year. Such election, once made, shall be irrevocable for such taxable year. Such election shall not take effect unless the organization designates the apportionment as such in a written notice mailed to its patrons during the payment period described in section 1382(d).
(B)Treatment of organizations and patronsThe amount of the credit apportioned to any patrons under subparagraph (A)—
(i)shall not be included in the amount determined under subsection (a) with respect to the organization for the taxable year, and
(ii)shall be included in the amount determined under subsection (a) for the first taxable year of each patron ending on or after the last day of the payment period (as defined in section 1382(d)) for the taxable year of the organization or, if earlier, for the taxable year of each patron ending on or after the date on which the patron receives notice from the cooperative of the apportionment.
(C)Special rules for decrease in credits for taxable yearIf the amount of the credit of a cooperative organization determined under subsection (a) for a taxable year is less than the amount of such credit shown on the return of the cooperative organization for such year, an amount equal to the excess of—
(i)such reduction, over
(ii)the amount not apportioned to such patrons under subparagraph (A) for the taxable year,shall be treated as an increase in tax imposed by this chapter on the organization. Such increase shall not be treated as tax imposed by this chapter for purposes of determining the amount of any credit under this chapter.
(D)Eligible cooperative definedFor purposes of this section the term eligible cooperative means a cooperative organization described in section 1381(a) which is owned more than 50 percent by agricultural producers or by entities owned by agricultural producers. For this purpose an entity owned by an agricultural producer is one that is more than 50 percent owned by agricultural producers.
(6)Prevailing wage requirements
(A)Subject to subparagraph (B), rules similar to the rules of section 45(b)(8) shall apply.
(B)Special rule for facilities placed in service before January 1, 2027In the case of any qualified facility placed in service before January 1, 2027—
(i)the rules of clause (i) of section 45(b)(8) shall not apply, and
(ii)clause (ii) of such section shall be applied by substituting for any period of the taxable year beginning after December 31, 2026 for which the credit is claimed under this section with respect to production of transportation fuel, the alteration or repair of such facility
for for the period of the taxable year which is within the 10-year period beginning on the date the facility was originally placed in service, the alteration or repair of such facility
.
(7)Apprenticeship requirementsRules similar to the rules of section 45(b)(9) shall apply. .
(b)Elective payment of creditSection 6417(b), as amended by preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(14)The clean fuel production credit determined under section 45CC(a)..
(c)
(1)Section 38(b), as amended by section 101, is amended—
(A)in paragraph (39), by striking plus
at the end,
(B)in paragraph (40), by striking the period at the end and inserting , plus
, and
(C)by adding at the end the following new paragraph:
(41)the clean fuel production credit determined under section 45CC(a)..
(2)The table of sections for subpart D of part IV of subchapter A of chapter 1, as amended by section 101, is amended by adding at the end the following new item:
Sec. 45CC. Clean fuel production credit..
(3)Section 4101(a)(1) is amended by inserting every person producing a fuel eligible for the clean fuel production credit (pursuant to section 45CC),
after section 6426(b)(4)(A)),
.
(d)The amendments made by this section shall apply to transportation fuel produced after December 31, 2026.
9
136901.Immediately upon the enactment of this Act, in addition to amounts otherwise available, there are appropriated for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $3,831,000,000 to remain available until September 30, 2031, for necessary expenses for the Internal Revenue Service to carry out this subtitle (and the amendments made by this subtitle), which shall supplement and not supplant any other appropriations that may be available for this purpose.
E
1Expanding Access to Medicaid Home and Community-Based Services
30711.HCBS improvement planning grants
(a)
(1)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $130,000,000, to remain available until expended, for carrying out this section.
(2)Technical assistance and guidanceThe Secretary shall reserve $5,000,000 of the amount appropriated under paragraph (1) for purposes of issuing guidance and providing technical assistance to States intending to apply for, or which are awarded, a planning grant under this section, and for other administrative expenses related to awarding planning grants under this section.
(b)
(1)Deadline for award of grantsFrom the amount appropriated under subsection (a)(1), the Secretary, not later than 12 months after the date of enactment of this Act, shall solicit State requests for HCBS improvement planning grants and award such grants to all States that meet such requirements as determined by the Secretary.
(2)Subject to paragraph (3), a State awarded a planning grant under this section shall use the grant to carry out planning activities for purposes of developing and submitting to the Secretary an HCBS improvement plan for the State that meets the requirements of subsections (c) and (d) in order to expand access to home and community-based services and strengthen the direct care workforce that provides such services. A State may use planning grant funds to support activities related to the implementation of the HCBS improvement plan for the State, collect and report information described in subsection (c), identify areas for improvement to the service delivery systems for home and community-based services, carry out activities related to evaluating payment rates for home and community-based services and identifying improvements to update the rate setting process, enhance caregiver supports, promote community integration and compliance with the home and community-based settings rule published on January 16, 2014, or any successor regulation, make infrastructure investments (such as case management or other information technology systems), and for related purposes as the Secretary shall specify.
(3)Limitation on use of fundsNone of the funds awarded to a State under this section may be used by a State as the source of the non-Federal share of expenditures under the State plan (or waiver of such plan).
(c)HCBS improvement plan requirementsIn order to meet the requirements of this subsection, an HCBS improvement plan developed using funds awarded to a State under this section shall include, with respect to the State and subject to subsection (d), the following:
(1)Existing Medicaid HCBS landscape
(A)A description of the existing standards, pathways, and methodologies for eligibility for home and community-based services pursuant to the State plan (or waiver of such plan), including limits on assets and income, the home and community-based services available under the State Medicaid program and the types of settings in which they may be provided, and utilization management standards for such services.
(B)
(i)A description of the barriers to accessing home and community-based services in the State identified by Medicaid eligible individuals, the families of such individuals, and direct care workers and home care agencies, or other similar organizations.
(ii)A summary, in accordance with guidance issued by the Secretary and as able to be practicably determined by the State, of the extent to which home and community-based services are available to all individuals in the State who would be eligible for such services under the State Medicaid program (including individuals who are on a waiting list for such services).
(C)An assessment of the utilization of home and community-based services in the State (including the number of individuals receiving such services) during such period specified by the Secretary.
(D)Service delivery structures and supportsA description of the service delivery structures for providing home and community-based services in the State.
(E)A description of the direct care workforce, including estimates of the number of full- and part-time direct care workers, the average and range of direct care worker wages, the benefits provided to direct care workers, the turnover and vacancy rates of direct care worker positions, the membership of direct care workers in labor organizations and, to the extent the State has access to such data, demographic information about such workforce, including information on race, ethnicity, and gender.
(F)
(i)A description of the payment rates for home and community-based services, including, to the extent applicable, how payments for such services are factored into the development of managed care capitation rates, when the State last updated payment rates for home and community-based services, and an estimate of the portion of the payment rate that goes toward direct care worker compensation.
(ii)An assessment of the relationship between payment rates for such services and workforce shortages, average beneficiary wait times for such services, provider-to-beneficiary ratios in the geographic region, and any other factors identified by the Secretary.
(G)A description of how the quality of home and community-based services is measured and monitored.
(H)Long-term services and supports provided in institutional settingsA description of the number of individuals enrolled in the State Medicaid program in a year who receive items and services furnished by an institution for greater than 30 days in an institutional setting.
(I)HCBS share of overall Medicaid LTSS spendingFor the most recent State fiscal year for which complete data is available, the percentage of expenditures made by the State under the State Medicaid program for long-term services and supports that are for home and community-based services.
(J)To the extent available and as applicable with respect to the information required under subparagraphs (B), (C), and (H), demographic data for such information, disaggregated by age groups, primary disability, income brackets, gender, race, ethnicity, geography, primary language, and type of service setting.
(2)Goals for HCBS improvementsA description of how the State will do the following:
(A)Conduct the activities required under subsection (jj) of section 1905 of the Social Security Act (as added under section 30712).
(B)Reduce barriers to and disparities in access or utilization of home and community-based services in the State.
(C)Monitor and report (with supporting data, to the extent available and applicable, disaggregated by age groups, primary disability, income brackets, gender, race, ethnicity, geography, primary language, and type of service setting) on access to home and community-based services under the State Medicaid program, disparities in access to such services, and the utilization of such services.
(D)Monitor and report the amount of State Medicaid expenditures for home and community-based services under the State Medicaid program as a proportion of the total amount of State expenditures under the State Medicaid program for long-term services and supports.
(E)Monitor and report on wages, benefits, and vacancy and turnover rates for direct care workers.
(F)Assess and monitor the sufficiency of payment rates under the State Medicaid program, in a manner specified by the Secretary, for the specific types of home and community-based services available under such program for purposes of supporting direct care worker recruitment and retention and ensuring the availability of home and community-based services.
(G)Coordinate implementation of the HCBS improvement plan among the State Medicaid agency, agencies serving individuals with disabilities, agencies serving the elderly, and other relevant State and local agencies and organizations that provide related supports, such as those for housing, transportation, employment, and other services and supports.
(d)Development and approval requirements
(1)In order to meet the requirements of this subsection, a State awarded a planning grant under this section shall develop an HCBS improvement plan for the State with input from stakeholders through a public notice and comment process that includes consultation with Medicaid eligible individuals who are recipients of home and community-based services, family caregivers of such recipients, providers, health plans, direct care workers, chosen representatives of direct care workers, and aging, disability, and workforce advocates.
(2)Authority to adjust certain plan content requirementsThe Secretary may modify the requirements for any of the information specified in subsection (c)(1) if a State requests a modification and demonstrates to the satisfaction of the Secretary that it is impracticable for the State to collect and submit the information.
(3)Not later than 24 months after the date on which a State is awarded a planning grant under this section, the State shall submit an HCBS improvement plan for approval by the Secretary, along with assurances by the State that the State will implement the plan in accordance with the requirements of the HCBS Improvement Program established under subsection (jj) of section 1905 of the Social Security Act (42 U.S.C. 1396d) (as added by section 30712). The Secretary shall approve and make publicly available the HCBS improvement plan for a State after the plan and such assurances are submitted to the Secretary for approval and the Secretary determines the plan meets the requirements of subsection (c). A State may amend its HCBS improvement plan, subject to the approval of the Secretary that the plan as so amended meets the requirements of subsection (c). The Secretary may withhold or recoup funds provided under this section to a State, if the State fails to comply with the requirements of this section.
(e)In the part:
(1)The term direct care worker means, with respect to a State, any of the following individuals who are paid to provide directly to Medicaid eligible individuals home and community-based services available under the State Medicaid program:
(A)A registered nurse, licensed practical nurse, nurse practitioner, or clinical nurse specialist, or a licensed nursing assistant who provides such services under the supervision of a registered nurse, licensed practical nurse, nurse practitioner, or clinical nurse specialist.
(B)A direct support professional.
(C)A personal care attendant.
(D)A home health aide.
(E)Any other paid health care professional or worker determined to be appropriate by the State and approved by the Secretary.
(2)HCBS program improvement StateThe term HCBS program improvement State means a State that is awarded a planning grant under subsection (b) and has an HCBS improvement plan approved by the Secretary under subsection (d)(3).
(3)The term health plan means any of the following entities that provide or arrange for home and community-based services for Medicaid eligible individuals who are enrolled with the entities under a contract with a State:
(A)A medicaid managed care organization, as defined in section 1903(m)(1)(A) of the Social Security Act (42 U.S.C. 1396b(m)(1)(A)).
(B)A prepaid inpatient health plan or prepaid ambulatory health plan, as defined in section 438.2 of title 42, Code of Federal Regulations (or any successor regulation).
(C)Any other entity determined to be appropriate by the State and approved by the Secretary.
(4)Home and community-based servicesThe term home and community-based services means any of the following (whether provided on a fee-for-service, risk, or other basis):
(A)Home health care services authorized under paragraph (7) of section 1905(a) of the Social Security Act (42 U.S.C. 1396d(a)).
(B)Private duty nursing services authorized under paragraph (8) of such section, when such services are provided in a Medicaid eligible individual’s home.
(C)Personal care services authorized under paragraph (24) of such section.
(D)PACE services authorized under paragraph (26) of such section.
(E)Home and community-based services authorized under subsections (b), (c), (i), (j), and (k) of section 1915 of such Act (42 U.S.C. 1396n), authorized under a waiver under section 1115 of such Act (42 U.S.C. 1315), or provided through coverage authorized under section 1937 of such Act (42 U.S.C. 1396u–7).
(F)Case management services authorized under section 1905(a)(19) of the Social Security Act (42 U.S.C. 1396d(a)(19)) and section 1915(g) of such Act (42 U.S.C. 1396n(g)).
(G)Rehabilitative services, including those related to behavioral health, described in section 1905(a)(13) of such Act (42 U.S.C. 1396d(a)(13)).
(H)Such other services specified by the Secretary.
(5)The term institutional setting means—
(A)a skilled nursing facility (as defined in section 1819(a) of the Social Security Act (42 U.S.C. 1395i–3(a)));
(B)a nursing facility (as defined in section 1919(a) of such Act (42 U.S.C. 1396r(a)));
(C)a long-term care hospital (as described in section 1886(d)(1)(B)(iv) of such Act (42 U.S.C. 1395ww(d)(1)(B)(iv)));
(D)a facility described in section 1905(d) of such Act (42 U.S.C. 1396d(d)));
(E)an institution which is a psychiatric hospital (as defined in section 1861(f) of such Act (42 U.S.C. 1395x(f))) or that provides inpatient psychiatric services in a residential setting specified by the Secretary;
(F)an institution described in section 1905(i) of such Act (42 U.S.C. 1396d(i)); and
(G)any other relevant facility, as determined by the Secretary.
(6)Medicaid eligible individualThe term Medicaid eligible individual means an individual who is eligible for and receiving medical assistance under a State Medicaid plan or a waiver of such plan. Such term includes an individual who is on a waiting list and who would become eligible for medical assistance and enrolled under a State Medicaid plan, or waiver of such plan, upon receipt of home and community-based services.
(7)The term State Medicaid program means, with respect to a State, the State program under title XIX of the Social Security Act (42 U.S.C. 1396 through 1396w-6) (including any waiver or demonstration under such title or under section 1115 of such Act (42 U.S.C. 1315) relating to such title).
(8)The term Secretary means the Secretary of Health and Human Services.
(9)The term State means each of the 50 States, the District of Columbia, Puerto Rico, the Virgin Islands, Guam, the Northern Mariana Islands, and American Samoa.
30712.
(a)Increased FMAP for HCBS program improvement StatesSection 1905 of the Social Security Act (42 U.S.C. 1396d) is amended—
(1)in subsection (b), by striking and (ii)
and inserting (ii), and (jj)
; and
(2)by adding at the end the following new subsection:
(jj)Additional support for HCBS program improvement States
(1)
(A)Subject to paragraph (5), in the case of a State that is an HCBS program improvement State, for each fiscal quarter that begins on or after the first date on which the State is an HCBS program improvement State—
(i)and for which the State meets the requirements described in paragraphs (2) and (4), notwithstanding subsection (b) or (ff), subject to subparagraph (B), with respect to amounts expended during the quarter by such State for medical assistance for home and community-based services, the Federal medical assistance percentage for such State and quarter (as determined for the State under subsection (b) and, if applicable, increased under subsection (y), (z), (aa), or (ii), or section 6008(a) of the Families First Coronavirus Response Act) shall be increased by 6 percentage points in addition any percentage point increases pursuant to either such subsection (y), (z), (aa), or (ii), or such section 6008(a); and
(ii)with respect to the State meeting the requirements described in paragraphs (2) and (4), notwithstanding sections 1903(a)(7) and 1903(a)(3), with respect to amounts expended during the quarter and before October 1, 2031, for administrative costs for expanding and enhancing home and community-based services, including for enhancing Medicaid data and technology infrastructure, modifying rate setting processes, adopting or improving training programs for direct care workers and family caregivers, home and community-based services ombudsman office activities, developing processes to identify direct care workers and assign such workers unique identifiers, and adopting, carrying out, or enhancing programs that register direct care workers or connect beneficiaries to direct care workers, the per centum specified in such sections 1903(a)(7) and 1903(a)(3) shall be increased to 80 percent.In no case may the application of clause (i) result in the Federal medical assistance percentage determined for a State being more than 95 percent with respect to such expenditures. In no case shall the application of clause (ii) result in a reduction to the per centum otherwise specified without application of such clause. Any increase pursuant to clause (ii) shall be available to a State before the State meets the requirements of paragraphs (2) and (4).
(B)Additional HCBS improvement effortsSubject to paragraph (5), in addition to the increase to the Federal medical assistance percentage under subparagraph (A)(i) for amounts expended during a quarter for medical assistance for home and community-based services by an HCBS program improvement State that meets the requirements of paragraphs (2) and (4) for the quarter, the Federal medical assistance percentage for amounts expended by the State during the quarter for medical assistance for home and community-based services shall be further increased by 2 percentage points (but not to exceed 95 percent) during the first 6 fiscal quarters throughout which the State has implemented and has in effect a program to support self-directed care that meets the requirements of paragraph (3).
(C)Nonapplication of territorial funding capsAny payment made to Puerto Rico, the Virgin Islands, Guam, the Northern Mariana Islands, or American Samoa for expenditures that are subject to an increase in the Federal medical assistance percentage under subparagraph (A)(i) or (B), or an increase in an applicable Federal matching percentage under subparagraph (A)(ii), shall not be taken into account for purposes of applying payment limits under subsections (f) and (g) of section 1108.
(D)Nonapplication to CHIP EFMAPAny increase described in subparagraph (A) (or payment made for expenditures on medical assistance that are subject to such increase) shall not be taken into account in calculating the enhanced FMAP of a State under section 2105.
(2)Subject to the last sentence of paragraph (1)(A), as conditions for receipt of the increase under paragraph (1) to the Federal medical assistance percentage determined for a State, with respect to a fiscal year quarter, the State shall meet each of the following requirements:
(A)The State uses the Federal funds attributable to the increase in the Federal medical assistance percentage for amounts expended during a quarter for medical assistance for home and community-based services under subparagraphs (A) and, if applicable, (B) of paragraph (1) to supplement, and not supplant, the level of State funds expended for home and community-based services for eligible individuals through programs in effect as of the date the State is awarded a planning grant under section 30711 of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
. In applying this subparagraph, the Secretary shall provide that a State shall have a 3-year period, as specified by the Secretary, to spend any accumulated unspent State funds attributable to the increase described in clause (i) in the Federal medical assistance percentage.
(B)
(i)The State does not—
(I)reduce the amount, duration, or scope of home and community-based services available under the State plan (or waiver of such plan) relative to the home and community-based services available under the plan or a waiver of such plan as of the date on which the State was awarded a planning grant under section 30711 of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
;
(II)reduce payment rates for home and community-based services lower than such rates that were in place as of the date described in subclause (I), including, to the extent applicable, assumed payment rates for such services that are included in managed care capitation rates as such rates are being prospectively built; or
(III)except to the extent permitted under clause (ii), adopt more restrictive standards, methodologies, or procedures for determining eligibility for or the scope of medical assistance of home and community-based services, including with respect to cost-sharing, than the standards, methodologies, or procedures applicable as of the date described in subclause (I).
(ii)Flexibility to support innovative modelsA State may make modifications that would otherwise violate the maintenance of effort described in clause (i) if the State demonstrates to the satisfaction of the Secretary that such modifications shall not result in—
(I)home and community-based services that are less comprehensive or lower in amount, duration, or scope;
(II)fewer individuals (overall and within particular eligibility groups) receiving home and community-based services, the calculation of which may be adjusted for demographic changes since the date described in clause (i)(I); or
(III)increased cost-sharing (other than resulting from the rate of inflation) for home and community-based services.
(C)Not later than an implementation date as specified by the Secretary (which may vary for each of the following clauses) after the first day of the first fiscal quarter for which a State receives an increase to the Federal medical assistance percentage or other applicable Federal matching percentage under paragraph (1), the State does all of the following to improve access to services:
(i)Reduce access barriers and disparities in access or utilization of home and community-based services, as described in the State HCBS improvement plan.
(ii)Provides coverage of personal care services authorized under subsection (a)(24) for all individuals eligible for and enrolled in medical assistance in the State.
(iii)Provides for navigation of home and community-based services through no wrong door
programs, provides expedited eligibility for home and community-based services, and improves home and community-based services counseling and education programs.
(iv)Expands access to behavioral health services furnished in home and community-based settings.
(v)Improves coordination of home and community-based services with employment, housing, and transportation supports.
(vi)Provides supports to family caregivers, such as respite care, caregiver assessments, peer supports, or paid family caregiving.
(vii)Newly provides coverage under, or expands existing eligibility criteria for, 1 or more of the eligibility categories authorized under subclause (XIII), (XV), or (XVI) of section 1902(a)(10)(A)(ii).
(D)Strengthened and expanded workforce
(i)The State strengthens and expands the direct care workforce that provides home and community-based services by—
(I)adopting processes to ensure that payment rates for home and community-based services are sufficient (as defined by the Secretary) to ensure that care and services are available to the extent described in the State HCBS improvement plan; and
(II)updating qualification standards (at such time and at such frequency as the Secretary determines appropriate), and developing and adopting training opportunities, for the continuum of providers of home and community-based services, including programs for independent providers of such services and agency direct care workers, as well as unique programs and resources for family caregivers.
(ii)In carrying out clause (i)(I), the State shall—
(I)update and, as appropriate, increase payment rates to support recruitment and retention of the direct care workforce by 2 years after approval of the improvement plan and, at least every 3 years thereafter, using, through existing or other processes to determine provider payment, a transparent process involving meaningful input from stakeholders; and
(II)ensure that increases in the payment rates for home and community-based services—
- (aa)at a minimum, result in a proportionate increase to payments for direct care workers and in a manner that is determined with input from the stakeholders described in subclause (II); and
- (bb)are incorporated into provider payment rates for home and community-based services provided under this title by a health plan, under a contract and paid through capitation rates with the State.
(3)Self-directed models for the delivery of servicesAs conditions for receipt of the increase under paragraph (1)(B) to the Federal medical assistance percentage determined for a State, with respect to a fiscal year quarter, the State shall establish directly, or by contract with 1 or more entities, including an agency with choice or a similar service delivery model, a program for the performance of all of the following functions to facilitate beneficiary use of self-directed care in the case the State covers home and community-based services under authorities that permit self-direction:
(A)Registering qualified direct care workers and assisting beneficiaries in finding direct care workers.
(B)Undertaking activities to recruit and train independent providers to enable beneficiaries to direct their own care, including by providing or coordinating training for beneficiaries on self-directed care.
(C)Ensuring the safety of, and supporting the quality of, care provided to beneficiaries, such as by conducting background checks and addressing complaints reported by recipients of home and community-based services.
(D)Facilitating coordination between State and local agencies and direct care workers for matters of public health, training opportunities, changes in program requirements, workplace health and safety, or related matters.
(E)Supporting beneficiary hiring, if selected by the beneficiary, of independent providers of home and community-based services, including by processing applicable tax information, collecting and processing timesheets, submitting claims and processing payments to such providers.
(F)To the extent a State permits beneficiaries to hire a family member or individual with whom they have an existing relationship to provide home and community-based services, providing support to beneficiaries who wish to hire a caregiver who is a family member or individual with whom they have an existing relationship, such as by facilitating enrollment of such family member or individual as a provider of home and community-based services under the State plan or a waiver of such plan.
(G)Ensuring that the program under this paragraph does not promote or prevent the ability of workers to form a labor organization or discriminate against workers who may join or decline to join such an organization.
(4)As conditions for receipt of the increase under paragraph (1) to the Federal medical assistance percentage determined for a State, with respect to a fiscal year quarter, the State shall meet each of the following requirements:
(A)The State designates (by a date specified by the Secretary) an HCBS ombudsman (or a long-term care ombudsman program office) that—
(i)operates independently from the State Medicaid agency and managed care entities;
(ii)provides direct assistance to recipients of home and community-based services available under the State Medicaid program and their families; and
(iii)identifies and reports systemic problems to State officials, the public, and the Secretary.
(B)Beginning with the last day of the 5th fiscal quarter for which the State is an HCBS program improvement State, and annually thereafter, the State reports to the Secretary on the state (as of the most recent quarter before the report for which complete data is available and which may be incorporated into the report) of—
(i)the availability and utilization of home and community-based services, disaggregated (to the extent available and as applicable) by age groups, primary disability, income brackets, gender, race, ethnicity, geography, primary language, and type of service setting;
(ii)benefits, turnover and vacancy rates, and average and range of wages for the direct care workforce;
(iii)changes in payment rates for home and community-based services;
(iv)implementation of the activities to strengthen and expand access to home and community-based services and the direct care workforce that provides such services in accordance with the requirements of subparagraphs (C) and (D) of paragraph (2);
(v) if applicable, implementation of the activities described in paragraph (3);
(vi)State expenditures for home and community-based services under the State plan or a waiver of such plan as a proportion of the total amount of State expenditures under the plan or waiver of such plan for long-term services and supports;
(vii)the challenges in, and best practices identified for expanding access to home and community-based services, reducing disparities, and supporting and expanding the direct care workforce; and
(viii)the use of enhanced Federal funding provided under this section.
(5)Benchmarks for demonstrating improvementsAn HCBS program improvement State shall cease to be eligible for an increase in the Federal medical assistance percentage under paragraph (1)(A)(i) or (1)(B) or an increase in an applicable Federal matching percentage under paragraph (1)(A)(ii) on or after the first date on which a State is an HCBS program improvement State if the State is found to be out of compliance with paragraph (2)(B) or any other requirement of this subsection and, beginning with such 29th fiscal quarter, unless, not later than 90 days before the first day of such fiscal quarter, the State submits to the Secretary a report demonstrating the following improvements:
(A)Increased availability (above a marginal increase) of home and community-based services in the State relative to such availability as reported in the State HCBS improvement plan and adjusted for demographic changes in the State since the submission of such plan.
(B)Reduced disparities in the utilization and availability of home and community-based services relative to the availability and utilization of such services by such populations as reported in such plan according to age groups, primary disability, income brackets, gender, race, ethnicity, geography, primary language, and type of service setting (to the extent available and applicable), and adjusted for demographic changes in the State since the submission of such plan.
(C)Evidence that rates are sufficient (as defined by the Secretary) to ensure access to items and services for individuals eligible for HCBS in such State.
(D)With respect to the percentage of expenditures made by the State for long-term services and supports that are for home and community-based services, in the case of an HCBS program improvement State for which such percentage (as reported in the State HCBS improvement plan) was—
(i)less than 50 percent, the State demonstrates that the percentage of such expenditures has increased to at least 50 percent since the plan was approved; and
(ii)at least 50 percent, the State demonstrates that such percentage has not decreased since the plan was approved.
(6)In this subsection, the terms State Medicaid plan
, direct care worker, HCBS program improvement State, health plan
; and home and community-based services have the meaning given those terms in section 30711(e) of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
..
30713.Funding for Federal activitiesIn addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $40,000,000, to remain available until expended, to carry out section 30712 (including the amendments made by such section), including by issuing necessary guidance and technical assistance to States, conducting program integrity and oversight efforts, and preparing and submitting to the Committee on Energy and Commerce of the House of Representatives and the Committee on Finance of the Senate, beginning 5 years after the date of the enactment of this Act and every three years thereafter, a report describing the progress of the HCBS planning and improvement activities undertaken by States as applicable and as described in sections 30711 and 30712 (including the amendments made by such sections), and describing the impact of such activities on access to care, including with respect to disparities in access and utilization, and the direct care workforce.
30714.Funding for HCBS quality measurement and improvement
(a)Increased Federal matching rate for adoption and reporting of HCBS quality measures
(1)Section 1903(a)(3) of the Social Security Act (42 U.S.C. 1396b(a)(3)) is amended—
(A)in subparagraph (F)(ii), by striking plus
after the semicolon and inserting and
; and
(B)by inserting after subparagraph (F), the following:
(G)80 percent of so much of the sums expended during such quarter as are attributable to the reporting of information regarding the quality of home and community-based services in accordance with sections 1139A(a)(4)(B)(ii) and 1139B(b)(3)(C); and.
(2)Exemption from territories’ payment limitsSection 1108(g)(4) of the Social Security Act is amended by adding at the end the following new subparagraph:
(C)Additional exemption relating to HCBS quality reportingPayments under section 1903(a)(3)(G) shall not be taken into account in applying payment limits under subsections (f) and (g) of this subsection. .
(b)HCBS quality measures for increaseTitle XI of the Social Security Act (42 U.S.C. 1301 through 1320e–3) is amended—
(1)in section 1139A—
(A)in subsection (a)(4)(B)—
(i)by striking Beginning with the annual State report on fiscal year 2024
and inserting the following:
(i)Subject to clause (ii), beginning with the annual State report on fiscal year 2024; and
(ii)by adding at the end the following new clause:
(ii)Reporting HCBS quality measuresWith respect to reporting on information regarding the quality of home and community-based services provided to children under title XIX or title XXI, beginning with the annual State report required under subsection (c)(1) for the first fiscal year that begins on or after the date that is 2 years after the date that the Secretary publishes the home and community-based services quality measures developed under subsection (b)(5)(B) the Secretary shall require States to report such information using the standardized format for reporting information and procedures developed under subparagraph (A) and using all such home and community-based quality measures developed under subsection (b)(5) (including any updates or changes to such measures).; and
(B)in subsection (b)(5)—
(i)by striking Beginning no later than January 1, 2013
and inserting the following:
(A)Beginning no later than January 1, 2013; and
(ii)by adding at the end the following new subparagraph:
(B)Beginning with the first year that begins on the date that is 2 years after the date of enactment of this subparagraph, the requirements of subparagraph (A) shall apply, and the core measures described in subsection (a) (and any updates or changes to such measures) shall include home and community-based services quality measures developed by the Secretary in the manner described in section 1139B(b)(5)(D). The Secretary shall ensure that the application of such measures reflects the full array of home and community-based services, consult with stakeholders with expertise in home and community-based services (including recipients and providers of such services) and allowing for the collection (to the extent available) of data disaggregated by age groups, primary disability, income brackets, gender, race, ethnicity, geography, primary language, and type of service setting.;
(C)in subsection (b)(6)
(i)by inserting or support services
before that is capable of
;
(ii)by striking and ambulatory health care and home and community-based settings
and inserting , ambulatory health care, and home and community-based settings
; and
(iii)by inserting and home and community-based
before care system
; and
(D)in subsection (c)(1), in the matter preceding subparagraph (A), by inserting , subject to subsection (a)(4)(B)(ii),
before annually report
; and
(2)in section 1139B—
(A)in subsection (b)—
(i)in paragraph (3), by adding at the end the following new subparagraph:
(C)Mandatory reporting with respect to HCBS quality measuresBeginning with the State report required under subsection (d)(1) for the first year that begins on or after the date that is 2 years after the date that the Secretary publishes the home and community-based quality measures developed under paragraph (5)(D), the Secretary shall require States to report information, using the standardized format for reporting information and procedures developed under subparagraph (A), regarding the quality of home and community-based services for Medicaid eligible adults using all of the home and community-based services quality measures included in the core set of adult health quality measures under paragraph (5)(D), and any updates or changes to such measures.; and
(ii)in paragraph (5), by adding at the end the following new subparagraph:
(D)
(i)In addition to amounts otherwise available, there is appropriated to the Secretary, for each fiscal year, beginning with fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $5,000,000, for carrying out this subparagraph.
(ii)Inclusion of HCBS quality measuresBeginning with respect to State reports required under subsection (d)(1) for the first year that begins on or after the date that is 2 years after the date of enactment of this subparagraph (or, in the case of measures that require development and testing prior to availability, not later than 4 years after the date of enactment of this subparagraph) the core set of child and adult health quality measures maintained under this paragraph (and any updates or changes to such measures) shall include home and community-based services quality measures developed in accordance with this subparagraph.
(iii)
(I)In developing (and subsequently reviewing and updating) the home and community-based services quality measures included in the core set of adult health quality measures maintained under this paragraph, the Secretary shall collaborate with relevant agencies across the Department of Health and Human Services and ensure that such measures are informed consultation with stakeholders with expertise in home and community-based services (including recipients and providers of such services).
(II)Such home and community-based services quality measures shall reflect the full array of home and community-based services and adult recipients of such services.
(III)Such home and community-based services quality measures shall allow for the collection, to the extent available, of data that is disaggregated by age groups, primary disability, income brackets, gender, race, ethnicity, geography, primary language, and type of service setting.
(IV)For purposes of this section and section 1139A, the terms home and community-based services, and direct care worker have the meanings given those terms in section 30711(e) of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
.; and
(B)in subsection (d)(1)(A), by striking ; and
and inserting and, beginning with the report for the first year that begins after the date that is 2 years after the Secretary publishes the home and community-based quality measures developed under subsection (b)(5)(D), all home and community-based services quality measures included in the core set of adult health quality measures maintained under subsection (b)(5) and any updates or changes to such measures; and
.
2
30721.Permanent extension of Medicaid protections against spousal impoverishment for recipients of home and community-based services
(a)Section 1924(h)(1)(A) of the Social Security Act (42 U.S.C. 1396r–5(h)(1)(A)) is amended by striking (at the option of the State) is described in section 1902(a)(10)(A)(ii)(VI)
and inserting the following: is eligible for medical assistance for home and community-based services provided under subsection (c), (d), or (i) of section 1915 or under a waiver approved under section 1115, or who is eligible for such medical assistance by reason of being determined eligible under section 1902(a)(10)(C) or by reason of section 1902(f) or otherwise on the basis of a reduction of income based on costs incurred for medical or other remedial care, or who is eligible for medical assistance for home and community-based attendant services and supports under section 1915(k)
.
(b)Section 2404 of the Patient Protection and Affordable Care Act (42 U.S.C. 1396r–5 note) is amended by striking September 30, 2023
and inserting the date of the enactment of the Act titled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14
.
30722.Permanent extension of Money Follows the Person Rebalancing demonstration
(a)Subsection (h) of section 6071 of the Deficit Reduction Act of 2005 (42 U.S.C. 1396a note) is amended—
(1)in paragraph (1)—
(A)in subparagraph (I), by inserting and
after the semicolon;
(B)by amending subparagraph (J) to read as follows:
(J)$450,000,000 for each fiscal year after fiscal year 2021.; and
(C)by striking subparagraph (K);
(2)in paragraph (2), by striking September 30, 2023
and inserting September 30 of the subsequent fiscal year
; and
(3)by adding at the end the following new paragraph:
(3)Out of the amounts made available under paragraph (1), for the 3-year period beginning with fiscal year 2022 and for each subsequent 3-year period, $5,000,000 shall be made available for carrying out subsections (f), (g), and (i). .
(b)Redistribution of unexpended grant awardsSubsection (e)(2) of section 6071 of the Deficit Reduction Act of 2005 (42 U.S.C. 1396a note) is amended by adding at the end the following new sentence: Any portion of a State grant award for a fiscal year under this section that is unexpended by the State at the end of the fourth succeeding fiscal year shall be rescinded by the Secretary and added to the appropriation for the fifth succeeding fiscal year.
.
F
137001.Except as otherwise expressly provided, whenever in this subtitle an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.
1
137101.Modifications applicable beginning in 2021
(a)Safe harbor exception for fraud and intentional disregard of rules and regulationsSection 24(j)(2)(B) is amended—
(1)by striking qualified
each place it appears in clause (iv)(II) and inserting qualifying
, and
(2)by adding at the end the following new clause:
(v)Exception for fraud and intentional disregard of rules and regulations
(I)For purposes of determining the safe harbor amount under clause (iv) with respect to any taxpayer, an individual shall not be treated as taken into account in determining the annual advance amount of such taxpayer if the Secretary determines that such individual was so taken into account due to fraud by the taxpayer or intentional disregard of rules and regulations by the taxpayer.
(II)Arrangements to take individual into account more than onceFor purposes of subclause (I), a taxpayer shall not fail to be treated as intentionally disregarding rules and regulations with respect to any individual taken into account in determining the annual advance amount of such taxpayer if such taxpayer entered into a plan or other arrangement with, or expected, another taxpayer to take such individual into account in determining the credit allowed under this section for the taxable year..
(b)Rules relating to reconciliation of credit and advance creditSection 24(j) is amended by adding at the end the following new paragraphs:
(3)Except as otherwise provided by the Secretary, in the case of an advance payment made under section 7527A with respect to a joint return, half of such payment shall be treated as having been made to each individual filing such return.
(4)Coordination with possessions of the United StatesFor purposes of this subsection, payments made under section 7527A include payments made by any jurisdiction other than the United States under section 7527A of the income tax law of such jurisdiction, and advance payments made by American Samoa pursuant to a plan described in subsection (k)(3)(B). In carrying out this section, the Secretary shall coordinate with each possession of the United States to prevent any application of this paragraph that is inconsistent with the purposes of this subsection..
(c)Section 7527A(b) is amended—
(1)in paragraph (1)—
(A)in subparagraph (A), by inserting or based on any other information known to the Secretary
after reference taxable year
,
(B)in subparagraph (C), by inserting unless determined by the Secretary based on any information known to the Secretary,
before the only children
, and
(C)in subparagraph (D), by inserting unless determined by the Secretary based on any information known to the Secretary,
before the ages of
, and
(2)in paragraph (3)(A)(ii), by striking provided by the taxpayer
and inserting provided, or known,
.
(d)Disclosure of information relating to joint filers and advance payment of child tax creditSection 6103(e) is amended by adding at the end the following new paragraph:
(12)Disclosure of information relating to joint filers and advance payment of child tax creditIn the case of an individual to whom the Secretary makes payments under section 7527A, if the reference taxable year (as defined in section 7527A(b)(2)) that the Secretary uses to calculate such payments is a year for which the individual filed an income tax return jointly with another individual, the Secretary may disclose to such individual any information which is relevant in determining the payment under section 7527A and the individual’s eligibility for such payment, including information regarding any of the following:
(A)The number of specified children, including by reason of the birth of a child.
(B)The name and TIN of specified children.
(C)Marital status.
(D)Modified adjusted gross income.
(E)Principal place of abode.
(F)Any other factor which the Secretary may provide pursuant to section 7527A(c)..
(e)
(1)Except as otherwise provided in this subsection, the amendments made by this section shall apply to taxable years beginning, and payments made, after December 31, 2020.
(2)Disclosure of information relating to joint filers and advance payment of child tax creditThe amendment made by subsection (d) shall take effect on the date of the enactment of this Act.
137102.Extensions and modifications applicable beginning in 2022
(a)
(1)Extension of child tax creditSection 24(i) is amended—
(A)by striking January 1, 2022
in the matter preceding paragraph (1) and inserting January 1, 2023
, and
(B)by inserting and 2022
after 2021
in the heading thereof.
(2)Extension of provisions related to possessions of the United States
(A)Section 24(k)(2)(B) is amended—
(i)by striking December 31, 2021
in the matter preceding clause (i) and inserting December 31, 2022
, and
(ii)by striking after 2021
in the heading thereof and inserting after 2022
.
(B)Section 24(k)(3)(C)(ii) is amended—
(i)in subclause (I), by inserting or 2022
after 2021
, and
(ii)in subclause (II), by striking December 31, 2021
and inserting December 31, 2022
.
(C)The heading of section 24(k)(2)(A) is amended by inserting and 2022
after 2021
.
(b)Extension and modification of advance payment
(1)Section 7527A is amended—
(A)in subsection (b)(1), by striking 50 percent of
,
(B)in clauses (i) and (ii) of subsection (e)(4)(C), by inserting or 2022
after in 2021
, and
(C)in subsection (f), by striking December 31, 2021
and inserting December 31, 2022
.
(2)
(A)Section 7527A(a) is amended to read as follows:
(a)The Secretary shall establish a program for making monthly payments to taxpayers in amounts equal to 1/12 of the annual advance amount with respect to such taxpayer..
(B)Modifications during calendar yearSection 7527A(b)(3), as amended by the preceding provisions of this Act, is amended—
(i)by amending subparagraph (A)(ii) to read as follows:
(ii)any other information provided, or known, to the Secretary which allows the Secretary to more accurately estimate the amount treated as allowed under subpart C of part IV of subchapter A of chapter 1 by reason of section 24(i)(1) with respect to the taxpayer for the reference taxable year.,
(ii)by redesignating subparagraph (B) as subparagraph (C) and by inserting after subparagraph (A) the following new subparagraph:
(B)Application of modifications to subsequent monthsExcept as may be provided under subparagraph (C), any modification of the annual advance amount with respect to any taxpayer under subparagraph (A) shall be taken into account for purposes of determining the amount of monthly payments with respect to such taxpayer under subsection (a) which are determined by the Secretary after such modification., and
(iii)in subparagraph (C) (as redesignated by clause (ii), by striking periodic payment
both places it appears and inserting monthly payment
.
(C)Section 7527A(c)(2) is amended by striking subsection (b)(3)(B)
and inserting subsection (b)(3)
.
(3)Eligibility for advance payments limited based on modified adjusted gross incomeSection 7527A(b) is amended by adding at the end the following new paragraph:
(6)Limitation based on modified adjusted gross income
(A)If the modified adjusted gross income of the taxpayer for the reference taxable year exceeds the applicable threshold amount with respect to such taxpayer (as defined in section 24(i)(4)(B)), the annual advance amount with respect to such taxpayer shall be zero.
(B)Exception for modifications made during the calendar yearSubparagraph (A) shall not apply to a reference taxable year taken into account by reason of paragraph (3)(A)(i) or subsection (c) if the taxpayer received one or more payments under subsection (a) for months in the calendar year which precede the month for which such reference taxable year will be taken into account..
(4)Advance payments to Puerto Rico residents for 2022Section 7527A(e)(4) is amended—
(A)in subparagraph (A), by striking The advance
and inserting Except as provided in subparagraph (D), the advance
, and
(B)by adding at the end the following new subparagraph:
(D)Advance payments to Puerto Rico residents for 2022For the period beginning on July 1, 2022, and ending on December 31, 2022, the Secretary may apply this section without regard to subparagraph (A)(i)..
(c)Election to apply income phaseout on basis of income from the preceding taxable yearSection 24(i) is amended by adding at the end the following new paragraph:
(5)Election to apply income phaseout on basis of income from the preceding taxable yearIn the case of a taxpayer who elects (at such time and in such manner as the Secretary may provide) the application of this paragraph for any taxable year, paragraph (4) and subsection (b)(1) shall both be applied with respect to the modified adjusted gross income (as defined in subsection (b)) for the taxpayer’s preceding taxable year..
(d)Modification of recapture safe harbor for 2022Section 24(j)(2)(B)(iv), as amended by the preceding provisions of this Act, is amended to read as follows:
(iv)For purposes of this subparagraph, the term safe harbor amount
means, with respect to any taxpayer for any taxable year, the sum of—
(I)an amount equal to the product of $3,600 multiplied by the excess (if any) of the number of qualifying children who have not attained age 6 as of the close of the calendar year in which the taxable year of the taxpayer begins, and who are taken into account in determining the annual advance amount with respect to the taxpayer under section 7527A with respect to months beginning in such taxable year, over the number of such qualifying children taken into account in determining the credit allowed under this section for such taxable year, plus
(II)an amount equal to the product of $3,000 multiplied by the excess (if any) of the number of qualifying children not described in clause (I), and who are taken into account in determining the annual advance amount with respect to the taxpayer under section 7527A with respect to months beginning in such taxable year, over the number of such qualifying children taken into account in determining the credit allowed under this section for such taxable year..
(e)Repeal of social security number requirement
(1)Section 24(h) is amended by striking paragraph (7).
(2)
(A)Section 24(h)(1) is amended by striking paragraphs (2) through (7)
and inserting paragraphs (2) through (6)
.
(B)Section 24(h)(4) is amended by striking subparagraph (C).
(f)The amendments made by this section shall apply to taxable years beginning, and payments made, after December 31, 2021.
137103.Refundable child tax credit after 2022
(a)Section 24 is amended by adding at the end the following new subsection:
(l)Refundable credit after 2022In the case of any taxable year beginning after December 31, 2022, if the taxpayer (in the case of a joint return, either spouse) has a principal place of abode in the United States (determined as provided in section 32) for more than one-half of the taxable year or is a bona fide resident of Puerto Rico (within the meaning of section 937(a)) for such taxable year—
(1)subsection (d) shall not apply, and
(2)so much of the credit determined under subsection (a) (after application of paragraph (1)) as does not exceed the amount of such credit which would be so determined without regard to subsection (h)(4) shall be allowed under subpart C (and not allowed under this subpart).
(b)Conforming amendments related to possessions of the United States
(1)Section 24(k)(2)(B), as amended by the preceding provisions of this Act, is amended to read as follows:
(B)Application to taxable years after 2022For application of refundable credit to residents of Puerto Rico for taxable years after 2022, see subsection (l)..
(2)Section 24(k)(3)(C)(ii)(II), as amended by the preceding provisions of this Act, is amended to read as follows:
(II)if such taxable year begins after December 31, 2022, subsection (l) shall be applied by substituting Puerto Rico or American Samoa
for Puerto Rico
..
(c)The amendments made by this section shall apply to taxable years beginning after December 31, 2022.
2
137201.Certain improvements to the earned income tax credit extended through 2022
(a)Section 32(n) is amended by striking January 1, 2022
and inserting January 1, 2023
.
(b)Section 32(n)(4)(B) is amended to read as follows:
(B)In the case of any taxable year beginning after 2021, the $9,820 and $11,610 dollar amounts in subparagraph (A) shall be increased by an amount equal to—
(i)such dollar amount, multiplied by
(ii)the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting calendar year 2020
for calendar year 2016
in subparagraph (A)(ii) thereof. .
(c)Election to determine earned income based on prior taxable yearSection 32, as amended by subsection (f), is amended by adding at the end the following new subsection:
(o)Election to determine earned income based on prior taxable year
(1)In the case of a taxpayer whose earned income for any taxable year beginning after December 31, 2021, and before January 1, 2023, is less than the earned income of such taxpayer for the preceding taxable year, if such taxpayer elects (at such time and in such manner as the Secretary may provide) the application of this subsection for such taxable year, the earned income of such taxpayer for such taxable year shall be treated for purposes of this section as being equal to the earned income of such taxpayer for such preceding taxable year.
(2)For purposes of this subsection, in the case of a joint return, the earned income of the taxpayer for the preceding taxable year shall be the sum of the earned income of each spouse for the preceding taxable year.
(3)Treatment as mathematical or clerical errorIn the case of a taxpayer described in paragraph (1) who makes the election described in such paragraph, the use on the return for purposes of this section of an amount of earned income for the preceding taxable year which differs from the amount of such earned income as shown in the electronic files of the Internal Revenue Service shall be treated as a mathematical or clerical error for purposes of section 6213.
(4)Any provision of this title which defines or determines earned income by reference to this section shall be applied without regard to this subsection unless such provision specifically provides otherwise..
(d)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
137202.Funds for administration of earned income tax credits in the territories
(a)Section 7530(a)(1) is amended by striking plus
at the end of subparagraph (A), by striking the period at the end of subparagraph (B) and inserting , plus
, and by adding at the end the following new subparagraph:
(C)reasonable administrative costs associated with the provision of the earned income tax credit not in excess of $4,000,000..
(b)Possessions with mirror code tax systemsSection 7530(b)(1) is amended by striking plus
at the end of subparagraph (A), by striking the period at the end of subparagraph (B) and inserting , plus
, and by adding at the end the following new subparagraph:
(C)reasonable administrative costs associated with the provision of the earned income tax credit not in excess of $200,000..
(c)Section 7530(c)(1) is amended by striking plus
at the end of subparagraph (A), by striking the period at the end of subparagraph (B) and inserting , plus
, and by adding at the end the following new subparagraph:
(C)reasonable administrative costs associated with the provision of the earned income tax credit not in excess of $200,000..
(d)The amendments made by this section shall apply to payments made for calendar years beginning after December 31, 2021.
3Expanding Access to Health Coverage and Lowering Costs
137301.Improve affordability and reduce premium costs of health insurance for consumers
(a)Section 36B(b)(3)(A) is amended—
(1)by striking clause (ii) and redesignating clause (iii) as clause (ii), and
(2)in clause (ii) (as redesignated by paragraph (1)) by striking all that precedes the table contained therein and inserting the following:
(ii)Temporary percentages for 2021 through 2025In the case of a taxable year beginning after December 31, 2020, and before January 1, 2026, the following table shall be applied in lieu of the table contained in clause (i):.
(b)Extension through 2025 of rule to allow credit to taxpayers whose household income exceeds 400 percent of the poverty lineSection 36B(c)(1)(E) is amended—
(1)by striking in 2021 or 2022
and inserting after December 31, 2020, and before January 1, 2026
, and
(2)by striking and 2022
in the heading thereof and inserting through 2025
.
(c)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
137302.Modification of employer-sponsored coverage affordability test in health insurance premium tax credit
(a)Section 36B(c)(2)(C)(i)(II) is amended by inserting (8.5 percent in the case of any taxable year beginning after December 31, 2021, and before January 1, 2026)
after 9.5 percent
.
(b)Qualified small employer health reimbursement arrangementsSection 36B(c)(4)(C)(ii) is amended by inserting (8.5 percent in the case of any taxable year beginning after December 31, 2021, and before January 1, 2026)
after 9.5 percent
.
(c)Percentages determined without regard to adjustments after 2025
(1)Section 36B(c)(2)(C) is amended by striking clause (iv).
(2)Section 36B(c)(4) is amended by striking subparagraph (F).
(d)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
137303.Treatment of lump-sum social security benefits in determining household income
(a)Section 36B(d)(2) is amended by adding at the end the following new subparagraph:
(C)Exclusion of portion of lump-sum social security benefits
(i)The term modified adjusted gross income
shall not include so much of any lump-sum social security benefit payment as is attributable to months ending before the beginning of the taxable year.
(ii)Lump-sum social security benefit paymentFor purposes of this subparagraph, the term lump-sum social security benefit payment
means any payment of social security benefits (as defined in section 86(d)(1)) which constitutes more than 1 month of such benefits.
(iii)Election to include excludable amountWith respect to any taxable year beginning after December 31, 2025, a taxpayer may elect (at such time and in such manner as the Secretary may provide) to have this subparagraph not apply for such taxable year..
(b)The amendment made by this section shall apply to taxable years beginning after December 31, 2021.
137304.Temporary expansion of health insurance premium tax credits for certain low-income populations
(a)Section 36B is amended by redesignating subsection (h) as subsection (i) and by inserting after subsection (g) the following new subsection:
(h)Certain temporary rules beginning in 2022With respect to any taxable year beginning after December 31, 2021, and before January 1, 2026—
(1)Eligibility for credit not limited based on incomeSection 36B(c)(1)(A) shall be disregarded in determining whether a taxpayer is an applicable taxpayer.
(2)Credit allowed to certain low-income employees offered employer-provided coverageSubclause (II) of subsection (c)(2)(C)(i) shall not apply if the taxpayer’s household income does not exceed 138 percent of the poverty line for a family of the size involved. Subclause (II) of subsection (c)(2)(C)(i) shall also not apply to an individual described in the last sentence of such subsection if the taxpayer’s household income does not exceed 138 percent of the poverty line for a family of the size involved.
(3)Credit allowed to certain low-income employees offered qualified small employer health reimbursement arrangementsA qualified small employer health reimbursement arrangement shall not be treated as constituting affordable coverage for an employee (or any spouse or dependent of such employee) for any months of a taxable year if the employee’s household income for such taxable year does not exceed 138 percent of the poverty line for a family of the size involved.
(4)
(A)In the case of a taxpayer whose household income is less than 200 percent of the poverty line for the size of the family involved for the taxable year, the amount of the increase under subsection (f)(2)(A) shall in no event exceed $300 (one-half of such amount in the case of a taxpayer whose tax is determined under section 1(c) for the taxable year).
(B)Limitation on increase for certain non-filersIn the case of any taxpayer who would not be required to file a return of tax for the taxable year but for any requirement to reconcile advance credit payments under subsection (f), if an Exchange established under title I of the Patient Protection and Affordable Care Act has determined that—
(i)such taxpayer is eligible for advance payments under section 1412 of such Act for any portion of such taxable year, and
(ii)such taxpayer’s household income for such taxable year is projected to not exceed 138 percent of the poverty line for a family of the size involved,subsection (f)(2)(A) shall not apply to such taxpayer for such taxable year and such taxpayer shall not be required to file such return of tax.
(C)Information provided by ExchangeThe information required to be provided by an Exchange to the Secretary and to the taxpayer under subsection (f)(3) shall include such information as is necessary to determine whether such Exchange has made the determinations described in clauses (i) and (ii) of subparagraph (B) with respect to such taxpayer..
(b)Employer shared responsibility provision not applicable with respect to certain low-income taxpayers receiving premium assistanceSection 4980H(c)(3) is amended to read as follows:
(3)Applicable premium tax credit and cost-sharing reduction
(A)The term applicable premium tax credit and cost-sharing reduction
means—
(i)any premium tax credit allowed under section 36B,
(ii)any cost-sharing reduction under section 1402 of the Patient Protection and Affordable Care Act, and
(iii)any advance payment of such credit or reduction under section 1412 of such Act.
(B)Exception with respect to certain low-income taxpayersSuch term shall not include any premium tax credit, cost-sharing reduction, or advance payment otherwise described in subparagraph (A) if such credit, reduction, or payment is allowed or paid for a taxable year of an employee (beginning after December 31, 2021, and before January 1, 2026) with respect to which—
(i)an Exchange established under title I of the Patient Protection and Affordable Care Act has determined that such employee’s household income for such taxable year is projected to not exceed 138 percent of the poverty line for a family of the size involved, or
(ii)such employee’s household income for such taxable year does not exceed 138 percent of the poverty line for a family of the size involved..
(c)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
137305.Special rule for individuals receiving unemployment compensation
(a)Section 36B(g)(1) is amended by striking during 2021,
and inserting after December 31, 2020, and before January 1, 2026,
.
(b)Modification of income not taken into accountSection 36B(g)(1)(B) is amended by striking 133 percent
and inserting 150 percent
.
(c)Section 36B(g) by inserting through 2025
after 2021
in the heading thereof.
(d)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
137306.Permanent credit for health insurance costs
(a)Subparagraph (B) of section 35(b)(1) of the Internal Revenue Code of 1986 is amended by striking , and before January 1, 2022
and inserting a period.
(b)Increase in credit percentageSubsection (a) of section 35 of the Internal Revenue Code of 1986 is amended by striking 72.5 percent
and inserting 80 percent
.
(c)Subsections (b) and (e)(1) of section 7527 of the Internal Revenue Code of 1986 are each amended by striking 72.5 percent
and inserting 80 percent
.
(d)The amendments made by this section shall apply to coverage months beginning after December 31, 2021.
137307.Exclusion of certain dependent income for purposes of premium tax credit
(a)Section 36B(d)(2), as amended by the preceding provisions of this Act, is further amended by adding at the end the following new subparagraph:
(D)Exception for certain dependent income
(i)There shall not be taken into account under subparagraph (A)(ii) the modified adjusted gross income of any dependent of the taxpayer who has not attained age 24 as of the last day of the calendar year in which the taxable year of the taxpayer begins.
(ii)Clause (i) shall not apply to so much of the aggregate of the modified adjusted gross income of all dependents of the taxpayer who have not attained the age described in such clause as exceeds $3,500.
(iii)Election to have subparagraph not applyIn the case of any taxable year beginning after December 31, 2025, a taxpayer may elect (at such time and in such manner as the Secretary may provide) to have this subparagraph not apply with respect to the income of any dependent of the taxpayer for such taxable year.
(iv)In the case of any taxable year beginning after December 31, 2023, the $3,500 amount in clause (ii) shall be increased by an amount equal to—
(I)such amount, multiplied by
(II)the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting calendar year 2022
for calendar year 2016
in subparagraph (A)(ii) thereof.If any increase determined under the preceding sentence is not a multiple of $100, such increase shall be rounded to the next lowest multiple of $100..
(b)
(1)Section 36B(d)(2)(A)(ii) is amended by inserting , except as provided in subparagraph (D),
after individuals
.
(2)Section 1411(b)(3) of the Patient Protection and Affordable Care Act (42 U.S.C. 18081) is amended by adding at the end the following new subparagraph:
(D)Information regarding certain dependentsInformation regarding whether section 36B(d)(2)(D) will apply to any individuals taken into account as members of the household of the enrollee, and the amount of income of each such individual for the taxable year described in subparagraph (A)..
(c)The amendments made by this section shall apply to credits allowed under section 36B of the Internal Revenue Code of 1986 for, and advance payments of credits under section 1412 of the Patient Protection and Affordable Care Act with respect to, taxable years beginning after December 31, 2022.
4Pathway to Practice Training Programs
137401.Administrative funding of the Rural and Underserved Pathway to Practice Training Programs for Post-Baccalaureate Students, Medical Students, and Medical ResidentsThe Secretary shall provide for the transfer of $6,000,000 from the Hospital Insurance Trust Fund established under section 1817 of the Social Security Act (42 U.S.C. 1395i) and the Federal Supplementary Medical Insurance Trust Fund under section 1841 of such Act (42 U.S.C. 1395t), in addition to amounts otherwise available, to carry out the administration of the Rural and Underserved Pathway to Practice Training Program for Post-Baccalaureate and Medical Students under section 1899C of such Act (42 U.S.C. 1395mmm) and the Rural and Underserved Pathway to Practice Training Programs for Medical Residents under section 1886(h)(4)(H)(vii) of such Act (42 U.S.C. 1395ww(h)(4)(H)(vii)). Amounts transferred under the preceding sentence shall remain available until expended.
137402.Establishing Rural and Underserved Pathway to Practice Training Programs for Post-Baccalaureate Students and Medical Students
(a)
(1)Title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.) is amended by adding at the end the following new section:
1899C.Rural and Underserved Pathway to Practice Training Program for Post-Baccalaureate and Medical Students
(a)Not later than October 1, 2023, the Secretary shall, subject to the succeeding provisions of this section, carry out the Rural and Underserved Pathway to Practice Training Program for Post-Baccalaureate and Medical Students
(in this section, referred to as the Program
) under which the Secretary awards Pathway to Practice medical scholarship vouchers to qualifying students described in subsection (b) for the purpose of increasing the number of physicians practicing in rural and underserved communities.
(b)Qualifying student describedFor purposes of this section, a qualifying student described in this subsection is an individual who—
(1)attests he or she—
(A)is or will be a first-generation student of a 4-year college, graduate school, or professional school;
(B)was a Pell Grant recipient; or
(C)lived in a medically underserved area, rural area, or health professional shortage area for a period of 4 or more years prior to attending an undergraduate program;
(2)has accepted enrollment in—
(A)a post-baccalaureate program that is not more than 2 years and intends to enroll in a qualifying medical school within 2 years after completion of such program; or
(B)a qualifying medical school;
(3)will practice medicine in a health professional shortage area, medically underserved area, public hospital, rural area, or as required under subsection (d)(5); and
(4)submits an application and a signed copy of the agreement described under subsection (c).
(c)
(1)To be eligible to receive a Pathway to Practice medical scholarship voucher under this section, a qualifying student described in subsection (b) shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.
(2)Information to be includedAs a part of the application described in paragraph (1), the Secretary shall include a notice of the items which are required to be agreed to under subsection (d)(4) for the purpose of notifying the qualifying student of the terms of the Rural and Underserved Pathway to Practice Training Program for Post-Baccalaureate and Medical Students.
(d)Pathway to Practice medical scholarship voucher details
(1)On an annual basis, the Secretary shall award a Pathway to Practice medical scholarship voucher under the Program to 1,000 qualifying students described in subsection (b).
(2)In determining whether to award a Pathway to Practice medical scholarship voucher under the Program to qualifying students described in subsection (b), the Secretary shall prioritize applications from any such student who attests that he or she—
(A)was a participant in the Health Resources and Services Administration Health Careers Opportunity Program, Centers of Excellence Program, or an Area Health Education Center program;
(B)is a disadvantaged student (as defined by the National Health Service Corps of the Health Resources & Services Administration of the Department of Health and Human Services); or
(C)attended a historically black college or other minority serving institution (as defined in section 1067q of title 20, United States Code).
(3)Each Pathway to Practice medical scholarship voucher awarded to a qualifying student pursuant to paragraph (1) shall be so awarded to such a student on an annual basis for each year of enrollment in a post-baccalaureate program and a qualifying medical school (as appropriate).
(4)Subject to paragraph (5), each Pathway to Practice medical scholarship voucher awarded under the Program shall include amounts for—
(A)tuition;
(B)academic fees (as determined by the qualifying medical school);
(C)required textbooks and equipment;
(D)a monthly stipend equal to the amount provided for individuals under the health professions scholarship and financial assistance program for active service stipend monthly rate; and
(E)any other educational expenses normally incurred by students at the post-baccalaureate program or qualifying medical school (as appropriate).
(5)No amounts under paragraph (4) may be provided a qualifying student awarded a Pathway to Practice medical scholarship voucher under the Program unless the qualifying student submits to the Secretary an agreement to—
(A)complete a post-baccalaureate program that is not more than 2 years (if applicable pursuant to the option under subsection (b)(2)(A));
(B)graduate from a qualifying medical school;
(C)complete a residency program in an approved residency training program (as defined in section 1886(h)(5)(A));
(D)complete an initial residency period or the period of board eligibility;
(E)practice medicine for at least the number of years of the Pathway to Practice medical scholarship voucher awarded under paragraph (2) after a residency program in a health professional shortage area, a medically underserved area, a public hospital, or a rural area, and during such period annually submit documentation with respect to whether the qualifying student practices medicine in such an area and where;
(F)for the purpose of determining compliance with subparagraph (E), not later than 180 days after the date on which qualifying student completes a residency program, provide to the Secretary information with respect to where the qualifying student is practicing medicine following the period described in such subparagraph;
(G)except in the case of a waiver for hardship pursuant to section 1892(f)(3), be liable to the United States pursuant to section 1892 for any amounts received under this Program that is determined a past-due obligation under subsection (b)(3) of such section in the case qualifying student fails to complete all of the requirements of this agreement under this subsection; and
(H)for the purpose of determining the amount of Pathway to Practice medical scholarship vouchers paid or incurred by a qualifying medical school or any provider of a post-baccalaureate program referred to in subsection (b)(2)(A) for the costs of tuition under paragraph (4)(A), consent to any personally identifying information being shared with the Secretary of the Treasury.
(6)Responsibilities of participating educational institutionsEach annual award of an amount of Pathway to Practice medical scholarship voucher under paragraph (2) shall be made with respect to a specific qualifying medical school or to a post-baccalaureate program that is not more than 2 years and such school or program shall (as a condition of, and prior to, such award being made with respect to such school or program)—
(A)submit to the Secretary such information as the Secretary may require to determine the amount of such award on the basis of the costs of the costs of the items specified under paragraph (4) (except for subparagraph (D)) with respect to such school or program, and
(B)enter into an agreement with the Secretary under which such school or provider will verify (in such manner as the Secretary may provide) that amounts paid by such school or provider to the qualifying student are used for such costs.
(e)In this section:
(1)Health professional shortage areaThe team health professional shortage area
has the meaning given such term in subparagraphs (A) or (B) of section 332(a)(1) of the Public Health Service Act.
(2)The term initial residency period
has the meaning given such term in section 1886(h)(5)(F).
(3)Medically underserved areaThe term medically underserved area
means an area designated pursuant to section 330(b)(3)(A) of the Public Health Service Act.
(4)The term Pell Grant recipient
has the meaning given such term in section 322(3) of the Higher Education Act of 1965.
(5)Period of board eligibilityThe term period of board eligibility
has the meaning given such term in section 1886(h)(5)(G).
(6)Qualifying medical schoolThe term qualifying medical school
means a school of medicine accredited by the Liaison Committee on Medical Education of the American Medical Association and the Association of American Medical Colleges (or approved by such Committee as meeting the standards necessary for such accreditation) or a school of osteopathy accredited by the American Osteopathic Association, or approved by such Association as meeting the standards necessary for such accreditation which—
(A)for each academic year, enrolls at least 10 qualifying students who are in enrolled in such a school;
(B)requires qualifying students to enroll in didactic coursework and clinical experience applicable to practicing medicine in health professional shortage areas, medically underserved areas, or rural areas, including—
(i)clinical rotations in such areas in applicable specialties (as applicable and as available);
(ii)coursework or training experiences focused on medical issues prevalent in such areas and cultural or structural competency; and
(C)is located in a State (as defined in section 210(h)).
(7)The term rural area
has the meaning given such term in section 1886(d)(2)(D).
(f)Penalty for false informationAny person who knowingly and willfully obtains by fraud, false statement, or forgery, or fails to refund any funds, assets, or property provided under this section or attempts to so obtain by fraud, false statement or forgery, or fail to refund any funds, assets, or property, received pursuant to this section shall be fined not more than $20,000 or imprisoned for not more than 5 years, or both..
(2)Section 1892 of the Social Security Act (42 U.S.C. 1395ccc) is amended—
(A)in subsection (a)(1)(A)—
(i)by striking , or the
and inserting , the
; and
(ii)by inserting or the Rural and Underserved Pathway to Practice Training Program for Post- Baccalaureate and Medical Students under section 1899C
before , owes a past-due obligation
;
(B)in subsection (b)—
(i)in paragraph (1), by striking at the end or
;
(ii)in paragraph (2), by striking the period at the end and inserting ; or
; and
(iii)by adding the end the following new paragraph:
(3)subject to subsection (f), owed by an individual to the United States by breach of an agreement under section 1899C(c) and which payment has not been paid by the individual for any amounts received under the Rural and Underserved Pathway to Practice Training Program for Post-Baccalaureate and Medical Students (and accrued interest determined in accordance with subsection (f)(4)) in the case such individual fails to complete the requirements of such agreement.; and
(C)by adding at the end the following new subsection:
(f)Authorities with respect to the collection under the Pathway to Practice Training ProgramThe Secretary—
(1)shall require payment to the United States for any amount of damages that the United States is entitled to recover under subsection (b)(3), within the 5-year period beginning on the date an eligible individual fails to complete the requirements of such agreement under section 1899C(d)(5) (or such longer period beginning on such date as specified by the Secretary), and any such amounts not paid within such period shall be subject to collection through deductions in Medicare payments pursuant to subsection (e);
(2)shall allow payments described in paragraph (1) to be paid in installments over such 5-year period, which shall accrue interest in an amount determined pursuant to paragraph (5);
(3)shall waive the requirement for an individual to pay a past-due obligation under subsection (b)(3) in the case of hardship (as determined by the Secretary);
(4)shall not disclose any past-due obligation under subsection (b)(3) that is owed to the United States to any credit reporting agency that the United States entitled to be recovered the United States under this section; and
(5)shall make a final determination of whether the amount of payment under section 1899C made to a qualifying student (as described in subsection (b) of such section) was in excess of or less than the amount of payment that is due, and payment of such excess or deficit is not made (or effected by offset) within 90 days of the date of the determination, and interest shall accrue on the balance of such excess or deficit not paid or offset (to the extent that the balance is owed by or owing to the provider) at a rate determined in accordance with the regulations of the Secretary of the Treasury applicable to charges for late payments..
137403.Funding for the rural and underserved pathway to practice training programs for post-baccalaureate students and medical students
(a)Subpart C of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986, as amended by the preceding provisions of this Act, is amended by inserting after section 36F the following new section:
36G.Pathway to Practice medical scholarship voucher credit
(a)In the case of a qualified educational institution, there shall be allowed as a credit against the tax imposed by this subtitle for any taxable year an amount equal to the aggregate amount paid or incurred by such institution during such taxable year pursuant to any Pathway to Practice medical scholarship voucher awarded to a qualifying student with respect to such institution.
(b)Determination of amounts paid pursuant to qualified scholarship vouchers, etcFor purposes of this section—
(1)an amount shall be treated as paid or incurred pursuant to an annual award of a Pathway to Practice medical scholarship voucher only if such amount is paid or incurred in reimbursement, or anticipation of, an expense described in subparagraphs (A) through (E) of paragraph (4) of section 1899C(d) of the Social Security Act and is subject to verification in such manner as the Secretary of Health and Human Services may provide under paragraph (6) of such section, and
(2)in the case of any amount credited by a qualified educational institution against a liability owed by the qualifying student to such institution, such amount shall be treated as paid by such institution to such student as of the date that such liability would otherwise be due.
(c)For purposes of this section—
(1)Qualified educational institutionThe term qualified educational institution
means, with respect to any annual award of a Pathway to Practice medical scholarship voucher—
(A)any qualifying medical school (as defined in subsection (e)(6) of section 1899C of the Social Security Act), and
(B)any provider of a post-baccalaureate program referred to in subsection (b)(2)(A) of such section, which meets the requirements of subsection (d)(6) of such section.
(2)The term qualifying student
means any student to whom the Secretary of Health and Human Services has made an annual award of a Pathway to Practice medical scholarship voucher under section 1899C of the Social Security Act.
(3)Annual award of a Pathway to Practice medical scholarship voucherThe term annual award of a Pathway to Practice medical scholarship voucher
means the annual award of a Pathway to Practice medical scholarship voucher referred to in section 1899C(d)(3) of the Social Security Act.
(d)Coordination of academic and taxable yearsThe credit allowed under subsection (a) with respect to any Pathway to Practice medical scholarship voucher shall not exceed the amount of such voucher which is for expenses described in subparagraphs (A) through (E) of section 1899C(d)(4) of the Social Security Act, reduced by any amount of such voucher with respect to which credit was allowed under this section for any prior taxable year.
(e)The Secretary shall issue such regulations or other guidance as are necessary or appropriate to carry out the purposes of this section..
(b)
(1)Section 6211(b)(4)(A), as amended by the preceding provisions of this Act, is amended by inserting 36G,
after 36F,
.
(2)Paragraph (2) of section 1324(b) of title 31, United States Code, as amended by the preceding provisions of this Act, is amended by inserting 36G,
after 36F,
.
(3)The table of sections for subpart C of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986, and amended by the preceding provisions of this Act, is amended by inserting after the item relating to section 36F the following new item:
Sec. 36G. Pathway to Practice medical scholarship voucher credit..
(c)The Secretary of Health and Human Services shall annually provide the Secretary of the Treasury such information regarding the program under section 1899C of the Social Security Act as the Secretary of the Treasury may require to administer the tax credits determined under section 36G of the Internal Revenue Code of 1986, including information to identify qualifying students and the qualified educational institutions at which such students are enrolled and the amount of the annual award of the Pathway to Practice medical scholarship voucher awarded to each such student with respect to such institution. Terms used in this subparagraph shall have the same meaning as when used is such section 36G.
(d)The amendments made by this section shall apply to taxable years ending after the date of the enactment of this Act.
137404.Establishing Rural and Underserved Pathway to Practice Training Programs for Medical ResidentsSection 1886 of the Social Security Act (42 U.S.C. 1395ww) is amended—
(1)in subsection (d)(5)(B)(v), by inserting (h)(4)(H)(vii),
after The provisions of subsections (h)(4)(H)(vi),
; and
(2)in subsection (h)(4)(H), by adding at the end the following new clause:
(vii)Exclusion from Full-Time Equivalent limitation for hospitals implementing Rural and Underserved Pathway to Practice Program Medical Residency Training Program
(I)For cost reporting periods beginning on or after October 1, 2026, during which a qualifying resident (as defined in subclause (II)) trains in an applicable hospital or hospitals (as defined in subclause (III)) in an approved Rural and Underserved Pathway to Practice Medical Residency Training Program (as defined in subclause (V)), the Secretary shall, for such cost reporting period by the number of full-time equivalent residents so trained under such program during such period, exclude from the limitation under subparagraph (F).
(II)For purposes of this clause, the term qualifying resident
means a full-time equivalent resident who—
- (aa)was a qualifying student awarded a Pathway to Practice medical scholarship voucher under section 1899C; and
- (bb)graduated from a qualifying medical school.
(III)Applicable hospital or hospitals definedFor purposes of this clause, the term ‘applicable hospital or hospitals’ means any hospital that—
- (aa)has established an approved Rural and Underserved Pathway to Practice Medical Residency Training Program;
- (bb)agrees to provide data to the Secretary with respect to where such residents practice medicine or participate in fellowships following their residencies; and
- (cc)agrees to promote community-based training of residents under such program, as appropriate.
(IV)Rural and Underserved Pathway to Practice Medical Residency Training Program definedFor purposes of this clause, the term Rural and Underserved Pathway to Practice Medical Residency Training Program
means an approved medical residency training program that has been recognized by the Accreditation Council for Graduate Medical Education as meeting the following requirements:
- (aa)Such program provides mentorships for residents.
- (bb)Such program includes cultural or structural competency as part of the training of residents under such program.
- (cc)The program has a demonstrated record of training medical students in health professional shortage areas (as defined in section 332(a)(1)(A) of the Public Health Service Act).
(V)
- (aa)Health professional shortage areaThe team
health professional shortage area
has the meaning given such term in subparagraphs (A) or (B) of section 332(a)(1) of the Public Health Service Act.
- (bb)The term
medically underserved area
means an area designated pursuant to section 330(b)(3)(A) of the Public Health Service Act.
- (cc)Qualifying medical schoolThe term
qualifying medical school
has the meaning given such term in section 1899C(e)(6).
- (dd)Qualifying medical studentThe term
qualifying medical student
has the meaning given such term in section 1899C(b).
- (ee)The term
rural area
has the meaning given such term in section 1886(d)(2)(D). .
5
137501.Credit for public university research infrastructure
(a)Subpart D of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is amended by adding at the end the following new section:
45AA.Public university research infrastructure credit
(a)For purposes of section 38, the public university research infrastructure credit determined under this section for a taxable year is an amount equal to 40 percent of the qualified cash contributions made by a taxpayer during such taxable year.
(b)Qualified cash contribution
(1)
(A)For purposes of subsection (a), the qualified cash contribution for any taxable year is the aggregate amount contributed in cash by a taxpayer during such taxable year to a certified educational institution in connection with a qualifying project that, but for this section, would be treated as a charitable contribution for purposes of section 170(c).
(B)Qualified cash contributions taken into account for purposes of charitable contribution limitationsAny qualified cash contributions made by a taxpayer under this section shall be taken into account for purposes of determining the percentage limitations under section 170(b).
(2)A contribution shall only be treated as a qualified cash contribution to the extent that it is designated as such by a certified educational institution under subsection (d).
(c)For purposes of this section—
(1)The term qualifying project
means a project to purchase, construct, or improve research infrastructure property.
(2)Research infrastructure propertyThe term research infrastructure property
means any portion of a property, building, or structure of an eligible educational institution, or any land associated with such property, building, or structure, that is used for research.
(3)Eligible educational institutionThe term eligible educational institution means—
(A)an institution of higher education (as such term is defined in section 101 or 102(c) of the Higher Education Act of 1965) that is a college or university described in section 511(a)(2)(B), or
(B)an organization described in section 170(b)(1)(A)(iv), section 170(b)(1)(A)(vi), or section 509(a)(3) to which authority has been delegated by an institution described in subparagraph (A) for purposes of applying for or administering credit amounts on behalf of such institution.
(4)Certified educational institutionThe term certified educational institution
means an eligible educational institution which has been allocated a credit amount for a qualifying project and—
(A)has received a certification for such project under subsection (d)(2), and
(B)designates credit amounts to taxpayers for qualifying cash contributions toward such project under subsection (d)(4).
(d)Qualifying university research infrastructure program
(1)
(A)Not later than 180 days after the date of the enactment of this section, the Secretary, after consultation with the Secretary of Education, shall establish a program to—
(i)certify and allocate credit amounts for qualifying projects to eligible educational institutions, and
(ii)allow certified educational institutions to designate cash contributions for qualifying projects of such certified educational institutions as qualified cash contributions.
(B)
(i)Allocation limitation per institutionThe credit amounts allocated to a certified educational institution under subparagraph (A)(i) for all projects shall not exceed $50,000,000 per calendar year.
(ii)Overall allocation limitation
(I)The total amount of qualifying project credit amounts that may be allocated under subparagraph (A)(i) shall not exceed—
- (aa)$500,000,000 for each of calendar years 2022, 2023, 2024, 2025, and 2026, and
- (bb)$0 for each subsequent year.
(II)Rollover of unallocated credit amountsAny credit amounts described in subclause (I) that are unallocated during a calendar year shall be carried to the succeeding calendar year and added to the limitation allowable under such subclause for such succeeding calendar year.
(iii)The aggregate amount of cash contributions which are designated by a certified educational institution as qualifying cash contributions with respect to any qualifying project shall not exceed 250 percent of the credit amount allocated to such certified educational institution for a qualifying project under subparagraph (A)(i).
(2)Certification applicationEach eligible educational institution which applies for certification of a project under this paragraph shall submit an application in such time, form, and manner as the Secretary may require.
(3)Selection criteria for allocations to eligible educational institutionsThe Secretary, after consultation with the Secretary of Education, shall select applications from eligible educational institutions—
(A)based on the extent of the expected expansion of an eligible educational institution’s targeted research within disciplines in science, mathematics, engineering, and technology, and
(B)in a manner that ensures consideration is given to eligible educational institutions with full-time student populations of less than 12,000.
(4)Designation of qualified cash contributions to taxpayersThe Secretary, after consultation with the Secretary of Education, shall establish a process by which certified educational institutions shall designate cash contributions to such institutions as qualified cash contributions.
(5)Disclosure of allocations and designations
(A)The Secretary shall, upon allocating credit amounts to an applicant under this subsection, publicly disclose the identity of the applicant and the credit amount allocated to such applicant.
(B)Each certified educational institution shall, upon designating contributions of a taxpayer as qualified cash contributions under this subsection, publicly disclose the identity of the taxpayer and the amount of contributions designated in such time, form, and manner as the Secretary may require.
(e)The Secretary, after consultation with the Secretary of Education when applicable, shall prescribe such regulations and guidance as may be necessary or appropriate to carry out the purposes of this section, including regulations or other guidance for—
(1)prevention of abuse,
(2)establishment of reporting requirements,
(3)establishment of selection criteria for applications, and
(4)disclosure of allocations.
(f)Penalty for noncompliance
(1)If at any time during the 5-year period beginning on the date of the allocation of credit amounts to a certified educational institution under subsection (d)(1)(A)(i) there is a noncompliance event with respect to such credit amounts, then the following rules shall apply:
(A)Any cash contribution designated as a qualifying cash contribution with respect to a qualifying project for which such credit amounts were allocated under subsection (d)(1)(A)(ii) shall be treated as unrelated business taxable income (as defined in section 512) of such certified educational institution.
(B)Rule for unused credit amountsIn the case of unused credit amounts described under paragraph (2)(A) and identified pursuant to subsection (g), the Secretary shall reallocate any portion of such unused credit amounts to certified educational institutions in lieu of imposing the general rule under subparagraph (A).
(2)For purposes of this subsection, the term noncompliance event
means, with respect to a credit amount allocated to a certified educational institution—
(A)cash contributions equaling the amount of such credit amount are not designated as qualifying cash contributions within 2 years after December 31 of the year such credit amount is allocated,
(B)a qualifying project with respect to which such credit amount was allocated is not placed in service within either—
(i)4 years after December 31 of the year such credit amount is allocated, or
(ii)a period of time that the Secretary determines is appropriate, or
(C)the research infrastructure property placed in service as part of a qualifying project with respect to which such credit amount was allocated ceases to be used for research within five years after such property is placed in service.
(g)Review and reallocation of credit amounts
(1)Not later than 5 years after the date of enactment of this section, the Secretary shall review the credit amounts allocated under this section as of such date.
(2)
(A)The Secretary may reallocate credit amounts allocated under this section if the Secretary determines, as of the date of the review in paragraph (1), that such credit amounts are subject to a noncompliance event.
(B)If the Secretary determines that credits under this section are available for reallocation pursuant to the requirements set forth in subparagraph (A), the Secretary is authorized to conduct an additional program for applications for certification.
(C)Deadline for reallocationThe Secretary shall not certify any project, or reallocate any credit amount, pursuant to this paragraph after December 31, 2031.
(h)No credit or deduction shall be allowed under any other provision of this chapter for any qualified cash contribution for which a credit is allowed under this section.
(i)Rule for trusts and estatesFor purposes of this section, rules similar to the rules of subsection (d) of section 52 shall apply.
(j)This section shall not apply to qualified cash contributions made after December 31, 2033. .
(b)Credit made part of general business creditSubsection (b) of section 38, as amended by the preceding provisions of this Act, is amended by striking plus
at the end of paragraph (41), by striking the period at the end of paragraph (42) and inserting , plus
, and by adding at the end the following new paragraph:
(43)the public university research infrastructure credit determined under section 45AA..
(c)The table of sections for subpart D of part IV of subchapter A of chapter 1, as amended by the preceding provisions of this Act, is amended by adding at the end the following new item:
Sec. 45AA. Public university research infrastructure credit.
.
(d)The amendments made by this section shall apply to qualified cash contributions made after December 31, 2021.
137502.Modification of excise tax on investment income of private colleges and universities
(a)Phaseout of investment income excise tax for private colleges and universities providing sufficient grants and scholarshipsSection 4968 is amended by adding at the end the following new subsection:
(e)Phaseout for institutions providing qualified aid
(1)The amount of tax imposed by subsection (a) (determined without regard to this subsection) shall be reduced (but not below zero) by the amount which bears the same ratio to such amount of tax (as so determined) as—
(A)the excess (if any) of—
(i)the aggregate amount of qualified aid awards provided by the institution to its first-time, full-time undergraduate students for academic periods beginning during the taxable year, over
(ii)an amount equal to 20 percent of the aggregate undergraduate tuition and fees received by the institution from first-time, full-time undergraduate students for such academic periods, bears to
(B)an amount equal to 13 percent of such aggregate undergraduate tuition and fees so received.
(2)Institution must meet reporting requirement
(A)Paragraph (1) shall not apply to an applicable educational institution for a taxable year unless such institution furnishes to the Secretary, and makes widely available, a statement detailing the average aggregate amount of Federal student loans received by a student for attendance at the institution, averaged among each of the following groups of first-time, full-time undergraduate students who during the taxable year completed a course of study for which the institution awarded a baccalaureate degree:
(i)All such students.
(ii)The students who have been awarded a Federal Pell Grant under subpart 1 of part A of title IV of the Higher Education Act of 1965 for attendance at the institution.
(iii)The students who received work-study assistance under part C of title IV of such Act for attendance at such institution.
(iv)The students who were provided such Federal student loans.
(B)Form and manner for reportSuch statement shall be furnished at such time and in such form and manner, and made widely available, under such regulations or guidance as the Secretary may prescribe.
(C)For purposes of this paragraph, the term Federal student loans
means a loan made under part D of title IV of the Higher Education Act of 1965, except such term does not include a Federal Direct PLUS Loan made on behalf of a dependent student.
(3)For purposes of this subsection—
(A)First-time, full-time undergraduate studentThe term first-time, full-time undergraduate student
shall have the same meaning as when used in section 132 of the Higher Education Act of 1965.
(B)The term qualified aid awards
means, with respect to any applicable educational institution, grants and scholarships to the extent used for undergraduate tuition and fees.
(C)Undergraduate tuition and feesThe term undergraduate tuition and fees
means, with respect to any institution, the tuition and fees required for the enrollment or attendance of a student as an undergraduate student at the institution..
(b)Inflation adjustment to per student asset thresholdSection 4968(b) is amended by adding at the end the following new paragraph:
(3)In the case of any taxable year beginning after 2022, the dollar amount in paragraph (1)(D) shall be increased by an amount equal to—
(A)such dollar amount, multiplied by
(B)the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting calendar year 2021
for calendar year 2016
in subparagraph (A)(ii) thereof.If any increase determined under this paragraph is not a multiple of $1,000, such increase shall be rounded to the nearest multiple of $1,000..
(c)Clarification of 500 student thresholdSection 4968(b)(1)(A) is amended by inserting below the graduate level
after 500 tuition-paying students
.
(d)The amendment made by this section shall apply to taxable years beginning after December 31, 2021.
137503.Treatment of Federal Pell Grants for income tax purposes
(a)Exclusion from gross incomeSection 117(b)(1) is amended by striking received by an individual
and all that follows and inserting
received by an individual—
(A)as a scholarship or fellowship grant to the extent the individual establishes that, in accordance with the conditions of the grant, such amount was used for qualified tuition and related expenses, or
(B)as a Federal Pell Grant under section 401 of the Higher Education Act of 1965..
(b)Treatment for purposes of American Opportunity Tax Credit and Lifetime Learning CreditSection 25A(g)(2) is amended—
(1)in subparagraph (A), by inserting described in section 117(b)(1)(A)
after a qualified scholarship
, and
(2)in subparagraph (C), by inserting or Federal Pell Grant under section 401 of the Higher Education Act of 1965
after within the meaning of section 102(a)
.
(c)The amendment made by this section shall apply to taxable years beginning after December 31, 2021.
137504.Repeal of denial of American Opportunity Tax Credit on basis of felony drug conviction
(a)Section 25A(b)(2) is amended by striking subparagraph (D).
(b)The amendment made by this section shall apply to taxable years beginning after December 31, 2021.
GResponsibly Funding Our Priorities
138001.Except as otherwise expressly provided, whenever in this subtitle an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.
1Corporate and International Tax Reforms
A
138101.Corporate alternative minimum tax
(a)
(1)Paragraph (2) of section 55(b) is amended to read as follows:
(2)
(A)In the case of an applicable corporation, the tentative minimum tax for the taxable year shall be the excess of—
(i)15 percent of the adjusted financial statement income for the taxable year (as determined under section 56A), over
(ii)the corporate AMT foreign tax credit for the taxable year.
(B)In the case of any corporation which is not an applicable corporation, the tentative minimum tax for the taxable year shall be zero..
(2)Section 59 is amended by adding at the end the following new subsection:
(k)For purposes of this part—
(1)Applicable corporation defined
(A)The term applicable corporation means any corporation (other than an S corporation, a regulated investment company, or a real estate investment trust) which, for any applicable 3-taxable year period—
(i)has the average annual adjusted financial statement income which is greater than $1,000,000,000, and
(ii)in the case of a corporation described in paragraph (2), has an average annual adjusted financial statement income (determined without regard to the application of paragraph (2)) which is $100,000,000 or more.
(B)Applicable 3-taxable year periodFor purposes of this paragraph, the term applicable 3-taxable-year period means, with respect to any corporation for any taxable year, any 3 consecutive taxable years of such corporation occurring during the period ending with the taxable year which precedes such taxable year. For purposes of the preceding sentence, only taxable years ending after December 31, 2019, shall be taken into account.
(C)Notwithstanding subparagraph (A), the term applicable corporation shall not include any corporation which otherwise meets the requirements of subparagraph (A) if—
(i)such corporation—
(I)has a change in ownership, or
(II)has a consistent reduction in adjusted financial statement income below the dollar amounts applicable to such corporation under subparagraph (A), and
(ii)the Secretary determines that it would not be appropriate to continue to treat such corporation as an applicable corporation.The preceding sentence shall not apply to any corporation if, after the Secretary makes the determination described in clause (ii), such corporation meets the requirements of subparagraph (A) for any applicable 3-taxable year period beginning after the first taxable year for which the determination applies.
(D)Special rules for determining average annual adjusted financial statement incomeSolely for purposes of determining the average annual adjusted financial statement income of a corporation for any period—
(i)all persons treated as a single employer under subsection (a) or (b) of section 52 shall be treated as 1 person, except that in applying section 1563 for purposes of section 52, the exceptions under subparagraphs (C) and (D) of section 1563(b)(2) shall be disregarded,
(ii)in the case of a foreign corporation, only income described in section 56A(c)(3) and income that is, or is treated as, effectively connected with the conduct of a trade or business in the United States) shall be taken into account.
(E)
(i)Corporations in existence for less than 3 yearsIf the corporation was in existence for less than 3-taxable years, subparagraph (B) shall be applied by substituting the number of taxable years for which the corporation was in existence for 3
.
(ii)Adjusted financial statement income for any taxable year of less than 12 months shall be annualized by multiplying the adjusted financial statement income for the short period by 12 and dividing the result by the number of months in the short period.
(iii)Treatment of predecessorsAny reference in this subparagraph to a corporation shall include a reference to any predecessor of such corporation.
(2)Special rule for foreign-parented corporations
(A)Solely for purposes of determining whether a corporation is an applicable corporation under paragraph (1), any corporation which for any taxable year is a member of an international financial reporting group the common parent of which is a foreign corporation shall include in the adjusted financial statement income of such corporation for such taxable year the adjusted financial statement income of all foreign members of such group.
(B)International financial reporting groupFor purposes of this subparagraph (A), the term international financial reporting group means, with respect to any reporting year, two or more entities if—
(i)either—
(I)at least one entity is a foreign corporation engaged in a trade or business within the United States, or
(II)at least one entity is a domestic corporation and another entity is a foreign corporation, and
(ii)such entities are included in the same applicable financial statement with respect to such year.
(3)Regulations and other guidanceThe Secretary shall provide regulations and other guidance for the purposes of carrying out this subsection, including regulations or other guidance—
(A)providing a simplified method for determining whether a corporation meets the requirements of paragraph (1), and
'(B)addressing the application of this subsection to a corporation that experiences a change in ownership..
(3)Reduction for base erosion and anti-abuse taxSection 55(a)(2) is amended by inserting plus, in the case of an applicable corporation (as defined in subsection (b)(2)), the tax imposed by section 59A
before the period at the end.
(4)
(A)Section 55(a) is amended by striking In the case of a taxpayer other than a corporation, there
and inserting There
.
(B)
(i)Section 55(b)(1) is amended—
(I)by striking so much as precedes subparagraph (A) and inserting the following:
(1)In the case of a taxpayer other than a corporation—, and
(II)by adding at the end the following new subparagraph:
(D)Alternative minimum taxable incomeThe term alternative minimum taxable income means the taxable income of the taxpayer for the taxable year—
(i)determined with the adjustments provided in section 56 and section 58, and
(ii)increased by the amount of the items of tax preference described in section 57.If a taxpayer is subject to the regular tax, such taxpayer shall be subject to the tax imposed by this section (and, if the regular tax is determined by reference to an amount other than taxable income, such amount shall be treated as the taxable income of such taxpayer for purposes of the preceding sentence)..
(ii)Section 860E(a)(4) is amended by striking 55(b)(2)
and inserting 55(b)(1)(D)
.
(iii)Section 897(a)(2)(A)(i) is amended by striking 55(b)(2)
and inserting 55(b)(1)(D)
.
(C)Section 11(d) is amended by striking the tax imposed by subsection (a)
and inserting the taxes imposed by subsection (a) and section 55
.
(D)Section 12 is amended by adding at the end the following new paragraph:
(5)For alternative minimum tax, see section 55..
(E)Section 882(a)(1) is amended by inserting , 55,
after section 11
.
(F)Section 6425(c)(1)(A) is amended to read as follows:
(A)the sum of—
(i)the tax imposed by section 11 or subchapter L of chapter 1, whichever is applicable, plus
(ii)the tax imposed by section 55, plus
(iii)the tax imposed by section 59A, over.
(G)Section 6655(e)(2) is amended by inserting , adjusted financial statement income (as defined in section 56A),
before and modified taxable income
each place it appears in subparagraphs (A)(i) and (B)(i).
(H)Section 6655(g)(1)(A) is amended by redesignating clauses (ii) and (iii) as clauses (iii) and (iv), respectively, and by inserting after clause (i) the following new clause:
(ii)the tax imposed by section 55,.
(b)Adjusted financial statement income
(1)Part VI of subchapter A of chapter 1 is amended by inserting after section 56 the following new section:
56A.Adjusted financial statement income
(a)For purposes of this part, the term adjusted financial statement income means, with respect to any corporation for any taxable year, the net income or loss of the taxpayer set forth on the taxpayer’s applicable financial statement for such taxable year, adjusted as provided in this section.
(b)Applicable financial statementFor purposes of this section, the term applicable financial statement means, with respect to any taxable year, an applicable financial statement (as defined in section 451(b)(3)) which covers such taxable year.
(c)
(1)Statements covering different taxable yearsAppropriate adjustments shall be made in adjusted financial statement income in any case in which an applicable financial statement covers a period other than the taxable year.
(2)Special rules for related corporations
(A)Consolidated financial statementsIf the financial results of a taxpayer are reported on the applicable financial statement for a group of entities, such statement shall be treated as the applicable financial statement of the taxpayer.
(B)If the taxpayer files a consolidated return for any taxable year, adjusted financial statement income for such taxable year shall take into account items on the taxpayer's applicable financial statement which are properly allocable to members of such group included on such return.
(C)Treatment of dividends and other amountsIn the case of any corporation which is not included on a consolidated return with the taxpayer, adjusted financial statement income shall take into account the earnings of such other corporation only to the extent of the sum of the dividends received from such other corporation and other amounts required to be included in gross income under this chapter (other than amounts required to be included under sections 951 and 951A) in respect of the earnings of such other corporation.
(3)Adjustments to take into account certain items of foreign income
(A)Controlled foreign corporations
(i)If, for any taxable year, a taxpayer is a United States shareholder of one or more controlled foreign corporations, the adjusted financial statement income of such taxpayer shall be adjusted to take into account such taxpayer's pro rata share (determined under rules similar to the rules under section 951(a)(2)) of items taken into account in computing the net income or loss set forth on the applicable financial statement of each such controlled foreign corporation with respect to which such taxpayer is a United States shareholder.
(ii)In any case in which the adjustment determined under clause (i) would result in a negative adjustment for such taxable year—
(I)no adjustment shall be made under this subparagraph for such taxable year, and
(II)the amount of the adjustment determined under this subparagraph for the succeeding taxable year (determined without regard to this subparagraph) shall be reduced by an amount equal to the negative adjustment for such taxable year.
(B)Adjusted financial statement income shall be adjusted to take into account any adjusted financial statement income of a disregarded entity owned by the taxpayer that is not otherwise included on the applicable financial statement.
(4)Adjustments for certain taxesAdjusted financial statement income shall be appropriately adjusted to disregard any Federal income taxes, or income, war profits, or excess profits taxes (within the meaning of section 901) imposed by any foreign country or possession of the United States, which are directly or indirectly taken into account on the taxpayer's applicable financial statement. The preceding sentence shall not apply to any such taxes imposed by a foreign country or possession of the United States if the taxpayer does not choose to take, to any extent, the benefits of section 901.
(5)Special rule for cooperativesIn the case of a cooperative to which section 1381 applies, the adjusted financial statement income (determined without regard to this paragraph) shall be reduced by the amounts referred to in section 1382(b) (relating to patronage dividends and per-unit retain allocations) to the extent such amounts were not otherwise taken into account in determining adjusted financial statement income.
(6)Rules for Alaska Native CorporationsAdjusted financial statement income shall be appropriately adjusted to allow—
(A)cost recovery and depletion attributable to property the basis of which is determined under section 21(c) of the Alaska Native Claims Settlement Act (43 U.S.C. 1620(c)), and
(B)deductions for amounts payable made pursuant to section 7(i) or section 7(j) of such Act (43 U.S.C. 1606(i) and 1606(j)) only at such time as the deductions are allowed for tax purposes.
(7)Amounts attributable to elections for direct payment of certain creditsAdjusted financial statement income shall be appropriately adjusted to disregard any amount received as a refund of taxes which is attributable to an election under section 6417.
(8)Consistent treatment of reasonable mortgage servicing income of a taxpayer other than a regulated investment companyAdjusted financial statement income shall be appropriately adjusted to provide that reasonable compensation (as determined by the Secretary) recognized in connection with a mortgage servicing contract shall not be taken into account earlier than when such income is taken into account under section 451.
(9)Secretarial authority to adjust itemsThe Secretary shall issue regulations and other guidance to provide for such adjustments to adjusted financial statement income as the Secretary determines necessary to carry out the purposes of this section, including adjustments—
(A)to prevent the omission or duplication of any item, and
(B)to carry out the principles of part II of subchapter C of this chapter (relating to corporate liquidations) and part III of subchapter C of this chapter (relating to corporate organizations and reorganizations).
(d)Deduction for financial statement net operating loss
(1)Adjusted financial statement income (determined after application of subsection (c) and without regard to this subsection) shall be reduced by an amount equal to the lesser of—
(A)the aggregate amount of financial statement net operating loss carryovers to the taxable year, or
(B)80 percent of adjusted financial statement income computed without regard to the deduction allowable under this subsection.
(2)Financial statement net operating loss carryoverA financial statement net operating loss for any taxable year shall be a financial statement net operating loss carryover to each taxable year following the taxable year of the loss. The portion of such loss which shall be carried to subsequent taxable years shall be the excess, if any, of the amount of such loss over the amount of such loss remaining after the application of paragraph (1).
(3)Financial statement net operating loss definedFor purposes of this subsection, the term financial statement net operating loss means the amount of the net loss (if any) set forth on the corporation’s applicable financial statement (determined after application of subsection (c) and without regard to this subsection) for taxable years ending after December 31, 2019.
(e)Regulations and other guidanceThe Secretary shall provide for such regulations an other guidance as necessary to carry out the purposes of this section, including regulations and other guidance relating to the effect of the rules of this section on partnerships with income taken into account by an applicable corporation..
(2)The table of sections for part VI of subchapter A of chapter 1 is amended by inserting after the item relating to section 56 the following new item:
Sec. 56A. Adjusted financial statement income..
(c)Corporate AMT foreign tax creditSection 59, as amended by this section, is amended by adding at the end the following new subsection:
(l)Corporate AMT foreign tax credit
(1)For purposes of this part, if an applicable corporation chooses to have the benefits of subpart A of part III of subchapter N for any taxable year, the AMT foreign tax credit for the taxable year of the applicable corporation is an amount equal to sum of—
(A)the lesser of—
(i)the aggregate of the applicable corporation’s pro rata share (as determined under section 56A(c)(3)(A)) of the amount of income, war profits, and excess profits taxes (within the meaning of section 901) imposed by any foreign country or possession of the United States which are—
(I)directly or indirectly taken into account on the taxpayer’s applicable financial statement, and
(II)paid or accrued (for Federal income tax purposes) by each controlled foreign corporation with respect to which the applicable corporation is a United States shareholder, or
(ii)the product of the amount of the adjustment under section 56A(c)(3) and the percentage specified in section 55(b)(2)(A)(i), and
(B)the amount of income, war profits, and excess profits taxes (within the meaning of section 901) imposed by any foreign country or possession of the United States to the extent such taxes are—
(i)directly or indirectly taken into account on the applicable corporation’s applicable financial statement, and
(ii)paid or accrued (for Federal income tax purposes) by the applicable corporation.
(2)Carryover of excess tax paidFor any taxable year for which an applicable corporation chooses to have the benefits of subpart A of part III of subchapter N, the excess of the amount described in paragraph (1)(A)(i) over the amount described in paragraph (1)(A)(ii) shall increase the amount described in paragraph (1)(A)(i) in any of the first 5 succeeding taxable years to the extent not taken into account in a prior taxable year.
(3)Regulations and other guidanceThe Secretary shall provide for such regulations and other guidance as necessary to carry out the purposes of this subsection..
(d)Treatment of general business creditSection 38(c)(6)(E) is amended to read as follows:
(E)In the case of a corporation—
(i)the first sentence of paragraph (1) shall be applied by substituting 25 percent of the taxpayer's net income tax as exceeds $25,000
for the greater of
and all that follows,
(ii)paragraph (2)(A) shall be applied without regard to clause (ii)(I) thereof, and
(iii)paragraph (4)(A) shall be applied without regard to clause (ii)(I) thereof..
(e)Credit for prior year minimum tax liability
(1)Section 53(e) is amended to read as follows:
(e)Application to applicable corporationsIn the case of an applicable corporation—
(1)subsection (b)(1) shall be applied by substituting the net minimum tax for all prior taxable years beginning after 2022
for the adjusted net minimum tax imposed for all prior taxable years beginning after 1986
, and
(2)the amount determined under subsection (c)(1) shall be increased by the amount of tax imposed under section 59A for the taxable year..
(2)Section 53(d) is amended—
(A)in paragraph (2), by inserting (other than an applicable corporation
after corporation
, and
(B)by striking paragraph (3).
(f)The amendments made by this section shall apply to taxable years beginning after December 31, 2022.
138102.Excise tax on repurchase of corporate stock
(a)Subtitle D is amended by inserting after chapter 36 the following new chapter:
37Repurchase of corporate stock
Sec. 4501. Repurchase of corporate stock.
4501.Repurchase of corporate stock
(a)There is hereby imposed on each covered corporation a tax equal to 1 percent of the fair market value of any stock of the corporation which is repurchased by such corporation during the taxable year.
(b)For purposes of this section, the term covered corporation means any domestic corporation the stock of which is traded on an established securities market (within the meaning of section 7704(b)(1)).
(c)For purposes of this section—
(1)The term repurchase means—
(A)a redemption within the meaning of section 317(b) with regard to the stock of a covered corporation, and
(B)any transaction determined by the Secretary to be economically similar to a transaction described in subparagraph (A).
(2)Treatment of purchases by specified affiliates
(A)The acquisition of stock of a covered corporation by a specified affiliate of such covered corporation, from a person who is not the covered corporation or a specified affiliate of such covered corporation, shall be treated as a repurchase of the stock of the covered corporation by such covered corporation.
(B)For purposes of this section, the term specified affiliate means, with respect to any corporation—
(i)any corporation more than 50 percent of the stock of which is owned (by vote or by value), directly or indirectly, by such corporation, and
(ii)any partnership more than 50 percent of the capital interests or profits interests of which is held, directly or indirectly, by such corporation.
(3)The amount taken into account under subsection (a) with respect to any stock repurchased by a covered corporation shall be reduced by the fair market value of any stock issued by the covered corporation during the taxable year, including the fair market value of any stock issued to employees of such covered corporation or a specified affiliate of such covered corporation during the taxable year, whether or not such stock is issued in response to the exercise of an option to purchase such stock.
(d)Special rules for foreign-parented domestic corporations
(1)In the case of an acquisition of stock of an applicable foreign corporation by a specified affiliate of such corporation (other than a foreign corporation or a foreign partnership (unless such partnership has a domestic entity as a direct or indirect partner)) from a person who is not the applicable foreign corporation or a specified affiliate of such applicable foreign corporation, for purposes of this section—
(A)such specified affiliate shall be treated as a covered corporation with respect to such acquisition,
(B)such acquisition shall be treated as a repurchase of stock of a covered corporation by such covered corporation, and
(C)the adjustment under subsection (c)(3) shall be determined only with respect to stock issued by such specified affiliate to employees of the specified affiliate.
(2)Surrogate foreign corporationsIn the case of a repurchase of stock of a covered surrogate foreign corporation by such covered surrogate foreign corporation, or an acquisition of stock of a covered surrogate foreign corporation by a specified affiliate of such corporation, for purposes of this section—
(A)the expatriated entity with respect to such covered surrogate foreign corporation shall be treated as a covered corporation with respect to such repurchase or acquisition,
(B)such repurchase or acquisition shall be treated as a repurchase of stock of a covered corporation by such covered corporation, and
(C)the adjustment under subsection (c)(3) shall be determined only with respect to stock issued by such expatriated entity to employees of the expatriated entity.
(3)For purposes of this subsection—
(A)Applicable foreign corporationThe term applicable foreign corporation means any foreign corporation the stock of which is traded on an established securities market (within the meaning of section 7704(b)(1)).
(B)Covered surrogate foreign corporationThe term covered surrogate foreign corporation means any surrogate foreign corporation (as determined under section 7874(a)(2)(B) by substituting September 20, 2021
for March 4, 2003
each place it appears) the stock of which is traded on an established securities market (within the meaning of section 7704(b)(1)), but only with respect to taxable years which include any portion of the applicable period with respect to such corporation under section 7874(d)(1).
(C)The term expatriated entity has the meaning given such term by section 7874(a)(2)(A).
(e)Subsection (a) shall not apply—
(1)to the extent that the repurchase is part of a reorganization (within the meaning of section 368(a)) and no gain or loss is recognized on such repurchase by the shareholder under chapter 1 by reason of such reorganization,
(2)in any case in which the stock repurchased is, or an amount of stock equal to the value of the stock repurchased is, contributed to an employer-sponsored retirement plan, employee stock ownership plan, or similar plan,
(3)in any case in which the total value of the stock repurchased during the taxable year does not exceed $1,000,000,
(4)under regulations prescribed by the Secretary, in cases in which the repurchase is by a dealer in securities in the ordinary course of business,
(5)to repurchases by a regulated investment company (as defined in section 851) or a real estate investment trust, or
(6)to the extent that the repurchase is treated as a dividend for purposes of this title.
(f)The Secretary shall prescribe such regulations and other guidance as are necessary or appropriate to administer and to prevent the avoidance of the purposes of this section, including regulations and other guidance—
(1)to prevent the abuse of the exceptions provided by subsection (e),
(2)to address special classes of stock and preferred stock, and
(3)for the application of the rules under subsection (d)..
(b)Paragraph (6) of section 275(a) is amended by inserting 37,
before 41
.
(c)The table of chapters for subtitle D is amended by inserting after the item relating to chapter 36 the following new item:
Chapter 37—Repurchase of corporate stock.
(d)The amendments made by this section shall apply to repurchases (within the meaning of section 4501(c) of the Internal Revenue Code of 1986, as added by this section) of stock after December 31, 2021.
BLimitations on deduction for interest expense
138111.Limitations on deduction for interest expense
(a)Interest expense of certain members of international financial reporting groupsSection 163 is amended by redesignating subsection (n) as subsection (p) and by inserting after subsection (m) the following new subsection:
(n)Limitation on deduction of interest by certain members of international financial reporting groups
(1)In the case of any specified domestic corporation which is a member of any international financial reporting group, the deduction under this chapter for interest paid or accrued during the taxable year in excess of the amount of interest includible in the gross income of such corporation shall not exceed the allowable percentage of 110 percent of such excess.
(2)Specified domestic corporationFor purposes of this subsection—
(A)The term specified domestic corporation
means any domestic corporation other than—
(i)any corporation if the excess of—
(I)the average amount of interest paid or accrued by such corporation during the 3-taxable-year period ending with the taxable year to which paragraph (1) applies, over
(II)the average amount of interest includible in the gross income of such corporation for such 3-taxable-year period,does not exceed $12,000,000,
(ii)any corporation to which paragraph (1) of section 163(j) does not apply by reason of paragraph (3) thereof (relating to exemption for certain small businesses), and
(iii)any S corporation, real estate investment trust, or regulated investment company.
(B)For purposes of clauses (i) and (ii) of subparagraph (A), all domestic corporations which are members of the same international financial reporting group shall be treated as a single corporation.
(C)Foreign corporations engaged in trade or business within the United StatesFor purposes of this subsection, if a foreign corporation is engaged in a trade or business within the United States, such foreign corporation shall be treated as a domestic corporation with respect to the items that are effectively connected with such trade or business.
(3)International financial reporting groupFor purposes of this subsection—
(A)The term international financial reporting group means, with respect to any reporting year, two or more entities if—
(i)either—
(I)at least one entity is a foreign corporation engaged in a trade or business within the United States, or
(II)at least one entity is a domestic corporation and another entity is a foreign corporation, and
(ii)such entities are included in the same applicable financial statement with respect to such year.
(B)Election to include eligible corporations in group
(i)To the extent provided by the Secretary in regulations or other guidance, an international financial reporting group may elect (at such time and in such manner as the Secretary may provide) to treat all eligible corporations with respect to such group as members of such group for purposes of this subsection. As a condition of such election, all such eligible corporations must maintain (and provide such group access to) such books and records as the Secretary determines are satisfactory to allow for the application of this subsection with respect to such eligible corporations. Such election may be revoked only with the consent of the Secretary.
(ii)The term eligible corporation
means, with respect to any international financial reporting group, any corporation if at least 20 percent of the stock of such corporation (determined by vote and value) is held (directly or indirectly) by members of such international financial reporting group (determined without regard to this subparagraph).
(4)For purposes of this subsection—
(A)The term allowable percentage means, with respect to any specified domestic corporation for any taxable year, the ratio (expressed as a percentage and not greater than 100 percent) of—
(i)such corporation’s allocable share of the international financial reporting group’s reported net interest expense for the reporting year of such group which ends in or with such taxable year of such corporation, over
(ii)such corporation’s reported net interest expense for such reporting year of such group.
(B)Reported net interest expenseThe term reported net interest expense means—
(i)with respect to any international financial reporting group for any reporting year, the excess of—
(I)the aggregate amount of interest expense reported in such group’s applicable financial statements for such taxable year, over
(II)the aggregate amount of interest income reported in such group’s applicable financial statements for such taxable year, and
(ii)with respect to any specified domestic corporation for any reporting year, the excess of—
(I)the amount of interest expense of such corporation reported in the books and records of the international financial reporting group which are used in preparing such group’s applicable financial statements for such taxable year, over
(II)the amount of interest income of such corporation reported in such books and records.
(C)Allocable share of reported net interest expenseWith respect to any specified domestic corporation which is a member of any international financial reporting group, such corporation’s allocable share of such group’s reported net interest expense for any reporting year is the portion of such expense which bears the same ratio to such expense as—
(i)the EBITDA of such corporation for such reporting year, bears to
(ii)the EBITDA of such group for such reporting year.
(D)
(i)The term EBITDA means, with respect to any reporting year, earnings before interest income and interest expense, taxes, depreciation, depletion, and amortization—
(I)as determined in the international financial reporting group’s applicable financial statements for such year, or
(II)as determined in the books and records of the international financial reporting group which are used in preparing such statements if not determined in such statements.
(ii)Treatment of intra-group distributionsThe EBITDA of any specified domestic corporation shall be determined without regard to any distribution received by such corporation from any other member of the international financial reporting group.
(E)Special rules for non-positive EBITDA
(i)Non-positive group EBITDAIn the case of any international financial reporting group the EBITDA of which is zero or less, paragraph (1) shall not apply to any specified domestic corporation which is a member of such group.
(ii)Non-positive entity EBITDAIn the case of any specified domestic corporation the EBITDA of which is zero or less, the allowable percentage shall be 0 percent.
(5)Applicable financial statementFor purposes of this subsection, the term applicable financial statement
has the meaning given such term in section 451(b)(3).
(6)For purposes of this subsection, the term reporting year means any year for which an applicable financial statement is prepared or required to be prepared.
(7)The Secretary may issue such regulations or other guidance as are necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance which—
(A)allows or requires the adjustment of amounts reported on applicable financial statements,
(B)allows or requires any corporation to be included or excluded as a member of any international financial reporting group for purposes of any determination or calculation under this subsection,
(C)treats subpart F income of a controlled foreign corporation, and any interest expense of such corporation which is related to such income, as income and interest expense, respectively, of a specified domestic corporation for purposes of this section,
(D)prevents the omission, inclusion, or duplication of any item or amount of interest income or interest expense, and
(E)provides rules for the application of this subsection with respect to—
(i)a domestic corporation that is a partner (directly or indirectly) in a partnership,
(ii)a domestic corporation that owns (directly or indirectly) an interest in an entity that is fiscally transparent in one or more jurisdictions, and
(iii)a foreign corporation to which this subsection applies by reason of paragraph (2)(C)..
(b)Modification of application of limitation on business interest to partnerships and S corporationsSection 163(j)(4) is amended to read as follows:
(4)Application to partnerships and S corporations
(A)Except as otherwise provided in subparagraph (B), in the case of any partnership or S corporation, this subsection shall be applied at the partner or shareholder level, respectively.
(B)Application of exemption for certain small businesses
(i)In the case of any partner to which paragraph (3) applies (determined without regard to this subparagraph), paragraph (1) shall apply by only taking into account such partner’s distributive share of items from any partnership not described in paragraph (3).
(ii) In the case of any S corporation shareholder to which paragraph (3) applies (determined without regard this subparagraph), paragraph (1) shall apply with respect to such shareholder under rules similar to the rules of clause (i).
(C) The Secretary shall prescribe such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this section, including regulations or other guidance—
(i)for requiring or restricting the allocation of items and business interest under this subsection,
(ii)to provide for such reporting requirements as the Secretary determines appropriate, and
(iii)for the application of this subsection in the case of tiered structures or trades or businesses described in paragraph (2)(C)..
(c)Carryforward of disallowed interest
(1)Section 163 is amended by inserting after subsection (n), as added by subsection (a), the following new subsection:
(o)Carryforward of certain disallowed interestThe amount of any interest not allowed as a deduction for any taxable year by reason of subsection (j) or (n)(1) (whichever imposes the lower limitation with respect to such taxable year) shall be treated as interest (and as business interest for purposes of subsection (j) to the extent such amount is properly attributable to a trade or business as defined in subsection (j)(7)) paid or accrued in the succeeding taxable year..
(2)
(A)Section 163(j)(2) is amended to read as follows:
(2)Carryforward cross-referenceFor carryforward treatment, see subsection (o)..
(B)Section 381(c)(20) is amended to read as follows:
(20)Carryforward of disallowed interestThe carryover of disallowed interest described in section 163(o) to taxable years ending after the date of distribution or transfer..
(C)Section 382(d)(3) is amended to read as follows:
(3)Application to carryforward of disallowed interestThe term pre-change loss shall include any carryover of disallowed interest described in section 163(o) under rules similar to the rules of paragraph (1)..
(d)The amendments made by this section shall apply to taxable years beginning after December 31, 2022.
(e)In the case of a partner’s first succeeding taxable year described in subclause (II) of section 163(j)(4)(B)(ii) of the Internal Revenue Code of 1986 (as in effect before the amendment made by subsection (b)) which begins after December 31, 2022, the amount of excess business interest which would (but for such amendment) be carried to such taxable year under such subclause shall be treated as interest (and as business interest for purposes of section 163(j) of such Code, as amended by this section) paid or accrued in such taxable year. A rule similar to the rule in the preceding sentence shall apply in the case of an S corporation and its shareholders. For carryover of any such interest disallowed for such taxable year, see section 163(o) of such Code, as amended by this section.
COutbound international provisions
138121.Modifications to deduction for foreign-derived intangible income and global intangible low-taxed income
(a)Section 250(a) is amended to read as follows:
(a)In the case of a domestic corporation for any taxable year, there shall be allowed as a deduction an amount equal to the sum of—
(1)24.8 percent of the foreign-derived intangible income of such domestic corporation for such taxable year, plus
(2)28.5 percent of—
(A)the global intangible low-taxed income (if any) which is included in the gross income of such domestic corporation under section 951A for such taxable year, and
(B)the amount treated as a dividend received by such corporation under section 78 which is attributable to the amount described in subparagraph (A)..
(b)Deduction taken into account in determining net operating loss deductionSection 172(d) is amended by striking paragraph (9).
(c)Certain other modifications
(1)Section 250(b)(3) is amended—
(A)in subparagraph (A)(i)—
(i)by striking and
at the end of subclause (V),
(ii)by striking over
at the end of subclause (VI), and
(iii)by adding at the end the following new subclauses:
(VII)any income described in clause (i) or (ii) of section 904(d)(2)(B), determined without regard to clause (iii)(II) thereof,
(VIII)except as otherwise provided by the Secretary, gains from the sale or other disposition of property giving rise to rents or royalties derived in the active conduct of a trade or business, and
(IX)any disqualified extraterritorial income, over, and
(B)by adding at the end the following new subparagraph:
(C)Disqualified extraterritorial income
(i)For purposes of subparagraph (A)(i)(IX), the term disqualified extraterritorial income
means any amount included in the gross income of the corporation with respect to any transaction for any taxable year if any amount could (determined after application of clause (ii) but without regard to any election under section 942(a)(3) as in effect before its repeal) be excluded from the gross income of the corporation with respect to such transaction for such taxable year by reason of section 114 pursuant to the application of subsection (d) or (f) of section 101 of the American Jobs Creation Act of 2004.
(ii)Election out of extraterritorial income benefits
(I)Except as provided in subclause (II), the corporation referred to in clause (i) may make an irrevocable election (at such time and in such form and manner as the Secretary may provide) to have subsections (d) and (f) of section 101 of the American Jobs Creation Act of 2004 not apply with respect to such corporation for the taxable year for which such election is made and all succeeding taxable years (applicable with respect to all transactions, including transactions occurring before such taxable year).
(II)Expanded affiliated groupsIn the case of any corporation which is a member of an expanded affiliated group, the election described in subclause (I) may be made only by the common parent of such group (or, in the case of a common parent which is not required to file a return of tax under this chapter, the delegate of such common parent) and shall apply with respect to all members of such group. For purposes of the preceding sentence, the term expanded affiliated group
means an affiliated group as defined in section 1504(a), determined without regard to section 1504(b)(3) and by substituting more than 50 percent
for at least 80 percent
each place it appears..
(C)Section 250(b)(5)(E) is amended by inserting (other than paragraph (3)(A)(i)(VIII))
after For purposes of this subsection
.
(2)Section 613A(d)(1) is amended by striking and
at the end of subparagraph (D), by striking the period at the end of subparagraph (E) and inserting , and
, and by inserting after subparagraph (E) the following new subparagraph:
(F)any deduction allowable under section 250..
(d)
(1)Except as provided in paragraph (2), the amendments made by this section shall apply to taxable years beginning after December 31, 2022.
(2)The amendments made by subsection (c) shall apply to taxable years beginning after the date of the enactment of this Act.
(e)No inference regarding certain modificationsThe amendments made by subsection (c) shall not be construed to create any inference with respect to the proper application of any provision of the Internal Revenue Code of 1986 with respect to any taxable year beginning before the taxable years to which such amendments apply.
(f)Transition rule for accelerated percentage reduction
(1)In the case of any taxable year which includes December 31, 2022 (other than a taxable year with respect to which such date is the last day of such taxable year)—
(A)the percentage in effect under section 250(a)(1)(A) of the Internal Revenue Code of 1986 shall be treated as being equal to the sum of—
(i)the pre-effective date percentage of 37.5 percent, plus
(ii)the post-effective date percentage of 24.8 percent, and
(B)the percentage in effect under section 250(a)(1)(B) of such Code shall be treated as being equal to the sum of—
(i)the pre-effective date percentage of 50 percent, plus
(ii)the post-effective date percentage of 28.5 percent.
(2)Pre- and post-effective date percentagesFor purposes of this subsection, with respect to any taxable year—
(A)the term pre-effective date percentage
means the ratio that the number of days in such taxable year which are before January 1, 2023, bears to the number of days in such taxable year, and
(B)the term post-effective date percentage
means the ratio that the number of days in such taxable year which are after December 31, 2022, bears to the number of days in such taxable year.
138122.Repeal of election for 1-month deferral in determination of taxable year of specified foreign corporations
(a)Section 898(c) is amended by striking paragraph (2) and redesignating paragraph (3) as paragraph (2).
(b)The amendments made by this section shall apply to taxable years of specified foreign corporations beginning after November 30, 2022.
(c)In the case of a corporation that is a specified foreign corporation as of November 30, 2022, such corporation’s first taxable year beginning after such date shall end at the same time as the first required year (within the meaning of section 898(c)(1) of the Internal Revenue Code of 1986) ending after such date. If any specified foreign corporation is required by this section (or the amendments made by this section) to change its taxable year for its first taxable year beginning after November 30, 2022—
(1)such change shall be treated as initiated by such corporation,
(2)such change shall be treated as having been made with the consent of the Secretary, and
(3)the Secretary (including the Secretary’s delegate in the case of any reference to the Secretary in this paragraph) shall issue regulations or other guidance for allocating foreign taxes that accrue in such first taxable year between such taxable year and the prior taxable year, including such adjustments as the Secretary determines are necessary or appropriate in applying sections 959, 960, and 961 of such Code in connection with the allocation of such taxes, and providing for such other adjustments as the Secretary determines necessary or appropriate to carry out the purposes of this section.
138123.Modifications of foreign tax credit rules applicable to certain taxpayers receiving specific economic benefits
(a)Section 901 is amended by redesignating subsection (n) as subsection (o) and by inserting after subsection (m) the following new subsection:
(n)Special rules relating to dual capacity taxpayers
(1)Notwithstanding any other provision of this chapter, any amount paid or accrued by a dual capacity taxpayer to a foreign country or possession of the United States for any period shall not be considered a tax—
(A)if, for such period, the foreign country or possession does not impose a generally applicable income tax, or
(B)to the extent such amount exceeds the amount which would be paid or accrued by such dual capacity taxpayer under the generally applicable income tax imposed by such country or possession if such taxpayer were not a dual capacity taxpayer.Nothing in this paragraph shall be construed to imply the proper treatment of any such amount not in excess of the amount determined under subparagraph (B).
(2)For purposes of this subsection, the term dual capacity taxpayer means, with respect to any foreign country or possession of the United States, a person who—
(A)is subject to a levy of such country or possession, and
(B)receives (or will receive) directly or indirectly a specific economic benefit from such country or possession (or any political subdivision, agency, or instrumentality thereof).
(3)Generally applicable income taxFor purposes of this subsection, the term generally applicable income tax means an income tax (or a series of income taxes) which is generally imposed under the laws of a foreign country or possession of the United States on residents of such foreign country or possession that are not dual capacity taxpayers..
(b)The amendments made by this section shall apply to amounts paid or accrued after December 31, 2021.
138124.Modifications to foreign tax credit limitations
(a)Country-by-country application of limitation on foreign tax credit based on taxable units
(1)Section 904 is amended by inserting after subsection (d) the following new subsection:
(e)Country-by-country application based on taxable units
(1)Subsection (d) (and the provisions of this title referred to in paragraph (1) of such subsection) shall be applied separately with respect to each country by taking into account the aggregate income properly attributable or otherwise allocable to a taxable unit of the taxpayer which is a tax resident of (or, in the case of a branch, is located in) such country.
(2)
(A)Except as otherwise provided by the Secretary, each item shall be attributable or otherwise allocable to exactly one taxable unit of the taxpayer.
(B)Determination of taxable unitsExcept as otherwise provided by the Secretary, the taxable units of a taxpayer are as follows:
(i)The person that is the taxpayer and that is not otherwise described in a separate clause of this subparagraph.
(ii)Certain foreign corporationsEach foreign corporation with respect to which the taxpayer is a United States shareholder.
(iii)Interests in pass-through entitiesEach interest held (directly or indirectly) by the taxpayer or any controlled foreign corporation referred to in clause (ii) in a pass-through entity if such pass-through entity is a tax resident of a country other than the country with respect to which such taxpayer or controlled foreign corporation (as the case may be) is a tax resident.
(iv)Each branch (or portion thereof) the activities of which are directly or indirectly carried on by the taxpayer or any controlled foreign corporation referred to in clause (ii) and which give rise to a taxable presence in a country other than the country with respect to which such taxpayer or controlled foreign corporation (as the case may be) is a tax resident.
(3)Definitions and special rulesFor purposes of this subsection—
(A)Except as otherwise provided by the Secretary, the term tax resident
means a person or entity subject to tax under the tax law of a country as a resident. If an entity is organized under the law of a country, or resident in a country, that does not impose an income tax with respect to such entities, such entity shall, except as provided by the Secretary, be treated as subject to tax under the tax law of such country for the purposes of the preceding sentence.
(B)Except as otherwise provided by the Secretary, the term pass-through entity includes any partnership or other entity to the extent that income, gain, deduction, or loss of the entity is taken into account in determining the income or loss of a person that owns (directly or indirectly) an interest in such entity.
(C)Except as otherwise provided by the Secretary, the term branch
means a taxable presence of a tax resident in a country other than its country of residence as determined under such other country’s tax law. The Secretary shall provide regulations or other guidance applying such term to activities in a country that do not give rise to a taxable presence.
(D)Treatment of fiscally autonomous jurisdictionsAny fiscally autonomous jurisdiction shall be treated as a separate country. Any possession of the United States shall also be treated as a separate country.
(E)Possession of the United StatesThe term possession of the United States
means each of American Samoa, the Commonwealth of the Northern Mariana Islands, the Commonwealth of Puerto Rico, Guam, and the Virgin Islands.
(4)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out, or prevent avoidance of, the purposes of this subsection, including regulations or other guidance—
(A)providing for the application of this subsection to an entity or arrangement that is considered a tax resident of more than one country or of no country,
(B)providing for the application of this subsection to hybrid entities or hybrid transactions (as such terms are used for purposes of section 267A), pass-through entities, passive foreign investment companies, trusts, and other entities or arrangements not otherwise described in this subsection, and
(C)providing for the assignment of any item (including foreign taxes and deductions) to taxable units, including in the case of amounts not otherwise taken into account in determining taxable income under this chapter..
(2)Application of recapture of overall foreign lossSection 904(f)(5)(E)(i) is amended by inserting applied separately with respect to each country (within the meaning of subsection (e)) as provided in subsection (e)
before the period at the end.
(3)Application of separate limitation losses with respect to global intangible low-taxed income
(A)Section 904(f)(5)(B) is amended to read as follows:
(B)Except as otherwise provided in this subparagraph, the separate limitation losses for any taxable year (to the extent such losses do not exceed the separate limitation incomes for such year) shall be allocated among (and operate to reduce) such incomes on a proportionate basis. In the case of a separate limitation loss for any taxable year in any category other than subparagraph (d)(1)(A), the amount of such separate limitation loss shall be allocated among (and operate to reduce) separate limitation income in any category other than income described in subparagraph (d)(1)(A) on a proportionate basis (without regard to income described in subparagraph (d)(1)(A)), and only to the extent the aggregate amount of such losses exceeds the aggregate amount of separate limitation incomes (other than income described in subparagraph (d)(1)(A)) for such taxable year, shall any amount of separate limitation losses reduce separate limitation income described in subparagraph (d)(1)(A)..
(B)Section 904(f)(5)(E)(iii) is amended to read as follows:
(iii)The term separate limitation loss
means, with respect to any income category, the amount by which the gross income from sources outside the United States is exceeded by the sum of the deductions properly allocated and apportioned thereto..
(b)Repeal of separate application to foreign branch income
(1)Section 904(d)(1) is amended by striking subparagraph (B) and redesignating subparagraphs (C) and (D) as subparagraph (B) and (C).
(2)Coordination with deduction for foreign-derived intangible incomeSection 250(b)(3)(A) is amended—
(A)by striking subclause (VI) of clause (i) and inserting the following new subclause:
(VI)the income which is attributable to 1 or more branches (within the meaning of section 904(e)(3)(C)) or pass-through entities (within the meaning of section 904(e)(3)(B)) in 1 or more foreign countries, over, and
(B)by adding at the end the following flush sentence:
For purposes of clause (i)(VI), the amount of income attributable to a branch or pass-through entity shall be determined under rules established by the Secretary..
(3)
(A)Section 904(d)(2)(A)(ii) is amended by striking , foreign branch income,
.
(B)Section 904(d)(2)(H) is amended to read as follows:
(H)Treatment of income tax base differencesThe Secretary shall issue regulations or other guidance assigning to the proper category of income any tax imposed under the law of a foreign country or possession of the United States on an amount which does not constitute income under United States tax principles..
(C)Section 904(d)(2) is amended by striking subparagraph (J).
(c)Modification of foreign tax credit carryback and carryforward
(1)Section 904(c) is amended—
(A)by striking in the first preceding taxable year, and
,
(B)by striking preceding or
each place it appears, and
(C)by striking Carryback and
in the heading thereof.
(2)Application to limitation on foreign oil and gas taxesSection 907(f)(1) is amended by striking in the first preceding taxable year and
.
(3)Application of carryforward to taxes on global intangible low-taxed income
(A)Section 904(c) is amended by striking the last sentence.
(B)Temporary limitation of carryforward to 5 taxable yearsSection 904(c), as amended by the preceding provisions of this Act, is amended—
(i)by striking Any amount by which all taxes
and all that precedes it and inserting the following:
(c)Carryback and carryover of excess tax paid
(1)Any amount by which all taxes, and
(ii)by adding at the end the following new paragraph:
(2)Temporary limitation on carryforward of taxes on global intangible low-taxed incomeIn the case of taxes paid or accrued during any taxable year beginning after December 31, 2022, and before January 1, 2031, and with respect to amounts described in subsection (d)(1)(A), paragraph (1) shall be applied by substituting 5 succeeding taxable years
for 10 succeeding taxable years
. .
(d)Treatment of certain tax-exempt dividends
(1)Certain tax-exempt dividends taken into account in applying limitations on foreign tax creditsSection 904(b) is amended by striking paragraph (4).
(2)Certain tax-exempt dividends not taken into account in allocating interest expenseSection 864(e)(3) is amended by striking or 245(a)
and inserting , 245(a), or 245A
.
(e)Rules for allocation of certain deductions to foreign source global intangible low-taxed income for purposes of foreign tax credit limitationSection 904(b), as amended by the preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(4)Deductions treated as allocable to foreign source global intangible low-taxed incomeIn the case of a domestic corporation and solely for purposes of the application of subsection (a) with respect to amounts described in subsection (d)(1)(A), the taxpayer’s taxable income from sources without the United States shall be determined—
(A)by allocating and apportioning any deduction allowed under section 250(a)(1)(B) (and any deduction allowed under section 164(a)(3) for taxes imposed on amounts described in section 250(a)(1)(B)) to such income, and
(B)by allocating and apportioning any other deduction to such income only if the Secretary determines that such deduction is directly allocable to such income.Any deduction which would (but for subparagraph (B)) have been allocated or apportioned to such income shall only be allocated or apportioned to income which is from sources within the United States..
(f)Treatment of certain asset dispositionsSection 904(b), as amended by the preceding provisions of this Act, is amended by adding at the end the following new paragraph:
(5)Treatment of certain asset dispositions
(A)Except as otherwise provided by the Secretary, in the case of any covered asset disposition, the principles of section 338(h)(16) shall apply in determining the source and character of any item for purposes of this part.
(B)Covered asset dispositionFor purposes of this paragraph, the term covered asset disposition
means any transaction which—
(i)is treated as a disposition of assets for purposes of subchapter N of this chapter, and
(ii)is treated as a disposition of stock of a corporation (or is disregarded) for purposes of the tax laws of a relevant foreign country or possession of the United States.
(C)The Secretary shall issue such regulations or other guidance as is necessary or appropriate to carry out, or to prevent the avoidance of, the purposes of this paragraph..
(g)Redetermination of foreign taxes and related claims
(1)Section 905(c) is amended—
(A)in paragraph (1), by striking or
at the end of subparagraph (B) and by inserting after subparagraph (C) the following new subparagraphs:
(D)the taxpayer makes a timely change in its choice to claim a credit or deduction for taxes paid or accrued, or
(E)there is any other change in the amount, or treatment, of taxes, which affects the taxpayer’s tax liability under this chapter,,
(B)in paragraph (2)(B), by striking Any such taxes
and inserting Except as otherwise provided by the Secretary, any such taxes
,
(C)in paragraph (2)(B)(i), by striking for the taxable year to which such taxes relate
and inserting for the taxable year in which paid
, and
(D)by striking accrued
in the heading thereof.
(2)Modification to time for claiming credit or deductionSection 901(a) is amended by striking the second sentence and inserting the following: Such choice for any taxable year may be made or changed at any time before the expiration of the applicable period prescribed by section 6511 for making a claim for credit or refund of an overpayment of the tax imposed by this chapter for such taxable year that is attributable to such amounts.
.
(3)Modification to special period of limitationSection 6511(d)(3) is amended—
(A)in subparagraph (A)—
(i)by inserting change in the liability for
before any taxes paid or accrued
,
(ii)by striking actually paid
and inserting paid (or deemed paid under section 960)
, and
(iii)by inserting change in the liability for
before foreign taxes
in the heading thereof, and
(B)in subparagraph (B), by inserting an additional credit by reason of the change in liability for taxes
after the allowance of
.
(h)
(1)Except as otherwise provided in this subsection, the amendments made by this section shall apply to taxable years beginning after December 31, 2022.
(2)Modification of foreign tax credit carryback and carryforwardThe amendments made by subsection (c) shall apply to taxes paid or accrued in taxable years beginning after December 31, 2022.
(3)Treatment of certain asset dispositionsThe amendment made by subsection (f) shall apply to transactions after the date of the enactment of this Act.
(4)Redetermination of foreign taxes and related claims
(A)Except as provided in subparagraph (B), the amendments made by subsection (g) shall take effect on the date which is 60 days after the date of the enactment of this Act.
(B)The amendments made by subsection (g)(1)(A) shall apply to changes that occur on or after the date which is 60 days after the date of the enactment of this Act.
(i)The Secretary shall prescribe rules providing for the application of subsection (e) of section 904 of the Internal Revenue Code of 1986 (as added by this section), and subsections (f) and (g) of such section, to any amounts carried over under subsection (c) of such section from a taxable year with respect to which such subsection (e) did not apply to a taxable year with respect to which such subsection (e) does apply.
138125.Foreign oil and gas extraction income and foreign oil related income to include oil shale and tar sands
(a)Paragraphs (1)(A) and (2)(A) of section 907(c) are each amended by inserting (or oil shale or tar sands)
after oil or gas wells
.
(b)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
138126.Modifications to inclusion of global intangible low-taxed income
(a)Country-by-country application of section based on CFC taxable unitsSection 951A is amended by adding at the end the following new subsection:
(g)Country-by-country application of section based on CFC taxable units
(1)If any CFC taxable unit of a United States shareholder is a tax resident of (or, in the case of a branch, is located in) a country which is different from the country with respect to which any other CFC taxable unit of such United States shareholder is a tax resident (or, in the case of a branch, is located in)—
(A)such shareholder’s global intangible low-taxed income for purposes of subsection (a) shall be the sum of the amounts of global intangible low-taxed income determined separately with respect to each such country, and
(B)for purposes of determining such separate amounts of global intangible low-taxed income—
(i)any reference in subsection (b), (c), or (d) to a controlled foreign corporation of such shareholder shall be treated as reference to a CFC taxable unit of such shareholder, and
(ii)net CFC tested income, net deemed tangible income return, qualified business asset investment, interest expense described in subsection (b)(2)(B), and such other items and amounts as the Secretary may provide, shall be determined separately with respect to each such country by determining such amounts with respect to each CFC taxable unit of such shareholder which is a tax resident of such country.
(2)For purposes of this subsection—
(A)The term CFC taxable unit
means any taxable unit described in clause (ii), (iii), or (iv) of section 904(e)(2)(B), determined—
(i)by substituting Each controlled foreign corporation
for Each foreign corporation
in clause (ii) of such section, and
(ii)without regard to the references to the taxpayer in clauses (iii) and (iv) of such section.
(B)Application of other definitionsTerms used in this subsection which are also used in section 904(e) shall have the same meaning as when used in section 904(e).
(3)For purposes of this subsection—
(A)Application of certain rulesExcept as otherwise provided by the Secretary, rules similar to the rules of section 904(e) shall apply.
(B)Allocation of global intangible low-taxed income to controlled foreign corporationsExcept as otherwise provided by the Secretary, subsection (f)(2) shall be applied separately with respect to each CFC taxable unit..
(b)
(1)Section 951A, as amended by subsection (a), is amended by adding at the end the following new subsection:
(h)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out, or prevent the avoidance of, the purposes of this section, including regulations or guidance which provide for—
(1)the treatment of property if such property is transferred, or held, temporarily,
(2)appropriate adjustments to the basis of stock and other ownership interests, and to earnings and profits, to reflect tested losses (whether or not taken into account in determining global intangible low-taxed income),
(3)rules similar to the rules provided under the regulations or guidance issued under section 904(e)(4),
(4)other appropriate basis adjustments, and
(5)appropriate adjustments to be made, and appropriate tax attributes and records to be maintained, separately with respect to CFC taxable units..
(2)Section 951A(d) is amended—
(A)by striking paragraph (4), and
(B)by redesignating the second paragraph (3) (relating to partnership property) as paragraph (4).
(c)Carryover of net CFC tested loss
(1)Section 951A(c) is amended by adding at the end the following new paragraph:
(3)Carryover of net CFC tested loss
(A)If the amount described in paragraph (1)(B) with respect to any United States shareholder for any taxable year of such United States shareholder (determined after the application of this paragraph with respect to amounts arising in preceding taxable years) exceeds the amount described in paragraph (1)(A) with respect to such shareholder of such taxable year, the amount otherwise described in paragraph (1)(B) with respect to such shareholder for the succeeding taxable year shall be increased by the amount of such excess.
(B)Proper adjustment in allocations of global intangible low-taxed income to controlled foreign corporationsProper adjustments shall be made in the application of subsection (f)(2)(B) to take into account any decrease in global intangible low-taxed income by reason of the application of subparagraph (A)..
(2)Coordination with country-by-country applicationSection 951A(g)(1)(B)(ii), as added by subsection (a), is amended by inserting any increase determined under subsection (c)(3)(A),
after interest expense described in subsection (b)(2)(B),
.
(3)Application of rules with respect to ownership changesSection 382(d) is amended by adding at the end the following new paragraph:
(4)Application to carryover of net CFC tested lossThe term pre-change loss
shall include any excess carried over under section 951A(c)(3) under rules similar to the rules of paragraph (1)..
(d)Reduction in net deemed tangible income return for purposes of determining global intangible low-taxed income
(1)Section 951A(b)(2)(A) is amended by striking 10 percent
and inserting 5 percent
.
(2)Application to assets located in possessions of the United StatesSection 951A(b) is amended by adding at the end the following new paragraph:
(3)Application to assets located in possessions of the United StatesIn the case of any specified tangible property located in a possession of the United States, paragraph (2)(A) and subsection (d) shall be applied by substituting 10 percent
for 5 percent
in paragraph (2)(A)..
(e)Inclusion of foreign oil and gas extraction income in determining tested income and lossSection 951A(c)(2)(A) is amended by inserting and
at the end of subclause (III), by striking and
at the end of subclause (IV) and inserting over
, and by striking subclause (V).
(f)Coordination with other provisionsSection 951A(f)(1) is amended by adding at the end the following new subparagraph:
(C)Treatment of certain referencesExcept as otherwise provided by the Secretary, references to section 951 or section 951(a) in sections 959, 961, 962, and such other provisions as the Secretary may identify shall include references to section 951A or section 951A(a), respectively. .
(g)
(1)Except as otherwise provided in this subsection, the amendments made by this section shall apply to taxable years of foreign corporations beginning after December 31, 2022, and to taxable years of United States shareholders in which or with which such taxable years of foreign corporations end.
(2)Regulatory authority and coordination with other provisionsThe amendments made by subsections (b) and (f) shall apply to taxable years of foreign corporations beginning after the date of the enactment of this Act, and to taxable years of United States shareholders in which or with which such taxable years of foreign corporations end.
(h)No inference regarding certain modificationsThe amendments made by subsections (b) and (f) shall not be construed to create any inference with respect to the proper application of any provision of the Internal Revenue Code of 1986 with respect to any taxable year beginning before the taxable years to which such amendments apply.
138127.Modifications to determination of deemed paid credit for taxes properly attributable to tested income
(a)Increase in deemed paid creditSection 960(d)(1) is amended by striking 80 percent
and inserting 95 percent (100 percent in the case of tested foreign income taxes paid or accrued to a possession of the United States)
.
(b)Inclusion of taxes properly attributable to tested loss
(1)Section 960(d)(3) is amended to read as follows:
(3)Tested foreign income taxesFor purposes of paragraph (1), the term tested foreign income taxes
means, with respect to any domestic corporation which is a United States shareholder of a controlled foreign corporation—
(A)the foreign income taxes paid or accrued by such foreign corporation which are properly attributable to the tested income or tested loss of such foreign corporation taken into account by such domestic corporation under section 951A, and
(B)solely to the extent provided in regulations prescribed by the Secretary, the foreign income taxes (as so defined) paid or accrued by a foreign corporation (other than a controlled foreign corporation) which owns, directly or indirectly, 80 percent or more (by vote or value) of the stock in such domestic corporation but only if—
(i)such foreign income taxes are properly attributable to amounts of such controlled foreign corporation taken into account in determining tested income or tested loss under section 951A(c)(2), and
(ii)no credit is allowed, in whole or in part, for such foreign taxes in any foreign jurisdiction..
(2)Section 960(d)(2)(B) is amended by striking the aggregate amount described in section 951A(c)(1)(A)
and inserting the net CFC tested income (as defined in section 951A(c)(1))
.
(c)Application of foreign tax credit limitation to amounts included under section 78
(1)Section 904(d)(2) is amended by redesignating subparagraph (K) as subparagraph (L) and by inserting after subparagraph (J) the following new subparagraph:
(K)Amounts includible under section 78Any amount includible in gross income under section 78 shall be treated as income in the same separate category as the related foreign taxes deemed paid..
(2)Section 904(d)(3)(G) is amended by striking the second sentence and inserting the following: Any amount included in gross income under section 78 shall not be treated as a dividend.
.
(d)Disallowance of foreign tax credit and deduction with respect to distributions of previously taxed global intangible low-taxed incomeSection 960(d) is amended by adding at the end the following new paragraph:
(4)Disallowance of foreign tax credit and deduction with respect to distributions of previously taxed global intangible low-taxed incomeNo credit shall be allowed under section 901 for 5 percent of any foreign income taxes paid or accrued (or treated as paid or accrued) with respect to any amount excluded from gross income under section 959(a) by reason of an inclusion in gross income under section 951A(a)..
(e)
(1)Except as otherwise provided in this subsection, the amendments made by this section shall apply to taxable years of foreign corporations beginning after December 31, 2022, and to taxable years of United States shareholders in which or with which such taxable years of foreign corporations end.
(2)The amendments made by subsections (c) and (d) shall apply to taxable years of foreign corporations beginning after the date of the enactment of this Act, and to taxable years of United States shareholders in which or with which such taxable years of foreign corporations end.
(f)No inference regarding certain modificationsThe amendments made by subsections (c) and (d) shall not be construed to create any inference with respect to the proper application of any provision of the Internal Revenue Code of 1986 with respect to any taxable year beginning before the taxable years to which such amendments apply.
138128.Deduction for foreign source portion of dividends limited to controlled foreign corporations, etc
(a)Section 245A is amended—
(1)in subsections (a), (c)(1), and (c)(2), by striking specified 10-percent owned foreign corporation
each place it appears and inserting controlled foreign corporation
, and
(2)by striking subsection (b).
(b)Modifications related to determination of status as a controlled foreign corporation
(1)Subpart F of part III of subchapter N of chapter 1 is amended by inserting after section 951A the following new section:
951B.Amounts included in gross income of foreign controlled United States shareholders
(a)In the case of any foreign controlled United States shareholder of a foreign controlled foreign corporation—
(1)this subpart (other than sections 951A, 951(b), 957, and 965) shall be applied with respect to such shareholder (separately from, and in addition to, the application of this subpart without regard to this section)—
(A)by substituting foreign controlled United States shareholder
for United States shareholder
each place it appears therein, and
(B)by substituting foreign controlled foreign corporation
for controlled foreign corporation
each place it appears therein, and
(2)sections 951A and 965 shall be applied with respect to such shareholder —
(A)by treating each reference to United States shareholder
in such sections as including a reference to such shareholder, and
(B)by treating each reference to controlled foreign corporation
in such sections as including a reference to such foreign controlled foreign corporation.
(b)Foreign controlled United States shareholderFor purposes of this section, the term foreign controlled United States shareholder
means, with respect to any foreign corporation, any United States person which would be a United States shareholder with respect to such foreign corporation if—
(1)section 951(b) were applied by substituting more than 50 percent
for 10 percent or more
, and
(2)section 958(b) were applied without regard to paragraph (4) thereof.
(c)Foreign controlled foreign corporationFor purposes of this section, the term foreign controlled foreign corporation
means a foreign corporation, other than a controlled foreign corporation, which would be a controlled foreign corporation if section 957(a)(1) were applied—
(1)by substituting foreign controlled United States shareholders
for United States shareholders
, and
(2)by substituting section 958(b) (other than paragraph (4) thereof)
for section 958(b)
.
(d)The Secretary shall prescribe such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this section, including regulations or other guidance—
(1)to treat a foreign controlled United States shareholder or a foreign controlled foreign corporation as a United States shareholder or as a controlled foreign corporation, respectively, for purposes of provisions of this title other than this subpart, and
(2)to prevent the avoidance of the purposes of this section..
(2)Section 957(a) is amended to read as follows:
(a)Controlled foreign corporationFor purposes of this title—
(1)The term controlled foreign corporation
means any foreign corporation if more than 50 percent of—
(A)the total combined voting power of all classes of stock of such corporation entitled to vote, or
(B)the total value of the stock of such corporation, is owned (within the meaning of section 958(a)), or is considered as owned by applying the rules of ownership of section 958(b), by United States shareholders on any day during the taxable year of such foreign corporation.
(2)Election to treat a foreign corporation as a controlled foreign corporation for certain purposes
(A)In the case of a foreign corporation with respect to which an election is in effect under this paragraph, such foreign corporation shall be treated as a controlled foreign corporation for purposes of this title.
(B)Notwithstanding any other provision of this paragraph—
(i)Coordination with rules for foreign controlled United States shareholders of foreign controlled foreign corporations
(I)Except as provided in subclause (II), a foreign corporation shall not be treated as a controlled foreign corporation by reason of this paragraph for purposes of section 951B(c).
(II)Exception for United States shareholdersSubclause (I) shall not apply with respect to any United States shareholder of such foreign corporation.
(ii)A foreign corporation shall not be treated as a controlled foreign corporation by reason of this paragraph for purposes of any provision of this title if the Secretary determines that treatment of such foreign corporation as a controlled foreign corporation for purposes of such provision would be inconsistent with the purposes of this subchapter.
(C)
(i)An election under subparagraph (A) shall be effective only if made by the foreign corporation and by all United States shareholders of such foreign corporation (determined as of the time of such election by such foreign corporation).
(ii)Any election under this paragraph, once effective, shall apply to such foreign corporation and to all United States shareholders of such foreign corporation (including any person who becomes a United States shareholder of such foreign corporation after such election takes effect).
(iii)The election under this paragraph shall be made at such time and in such manner as the Secretary may provide and, once effective, may be revoked only with the consent of the Secretary.
(D)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this paragraph, including regulations or other guidance for the application of this paragraph to an acquisition described in section 381(a) with respect to any corporation to which an election under this paragraph applies..
(3)Section 958(b) is amended—
(A)by inserting after paragraph (3) the following:
(4)Subparagraphs (A), (B), and (C) of section 318(a)(3) shall not be applied so as to consider a United States person as owning stock which is owned by a person who is not a United States person., and
(B)by striking Paragraph (1)
in the last sentence and inserting Paragraphs (1) and (4)
.
(4)Section 959(b) is amended—
(A)by striking the earnings and profits of a controlled foreign corporation
and inserting the earnings and profits of a foreign corporation
,
(B)by striking another controlled foreign corporation
and inserting a controlled foreign corporation
,
(C)by striking such other controlled foreign corporation
and inserting such controlled foreign corporation
, and
(D)by striking of such United States shareholder in the controlled foreign corporation
and inserting of such United States shareholder in the foreign corporation
.
(5)The table of sections for subpart F of part III of subchapter N of chapter 1 is amended by inserting after the item relating to section 951A the following new item:
Sec. 951B. Amounts included in gross income of foreign controlled United States shareholders..
(c)Certain other modifications
(1)Section 245A(e)(4) is amended by striking an amount received
and all that follows through for which the controlled foreign corporation received a deduction
and inserting any dividend received from a controlled foreign corporation for which such controlled foreign corporation received a deduction
.
(2)Section 245A(g) is amended to read as follows:
(g)The Secretary shall prescribe such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this section, including regulations or other guidance for—
(1)the treatment of United States shareholders owning stock of a controlled foreign corporation through a partnership, and
(2)the denial of all or a portion of the deduction under this section with respect to dividends received from foreign corporations in situations in which—
(A)any portion of the dividend is out of earnings and profits arising from transactions with related parties which—
(i)do not occur in the ordinary course of a trade or business, and
(ii)occur on or after January 1, 2018, and during a taxable year to which section 951A did not apply, or
(B)a transfer or issuance of stock on or after January 1, 2018, results in a reduction in a United States shareholder’s pro rata share of a controlled foreign corporation’s subpart F income or tested income (as defined in section 951A)..
(d)
(1)Section 91 is amended—
(A)in subsection (a), by striking specified 10-percent owned foreign corporation (as defined in section 245A)
and inserting controlled foreign corporation
, and
(B)in subsection (e), by striking specified 10-percent owned foreign corporation
and inserting controlled foreign corporation
.
(2)
(A)The heading of section 245A is amended by striking specified 10-percent owned foreign corporations
and inserting controlled foreign corporations
.
(B)The item relating to section 245A in the table of sections for part VIII of subchapter B of chapter 1 is amended by striking specified 10-percent owned foreign corporations
and inserting controlled foreign corporations
.
(3)Section 246(c)(5) is amended—
(A)in subparagraph (B), by striking specified 10-percent owned foreign corporation
each place it appears and inserting controlled foreign corporation
, and
(B)by striking specified 10-percent owned foreign corporation
in the heading and inserting controlled foreign corporation
.
(4)Section 904 is amended—
(A)in subsection (b)(4), by striking specified 10-percent owned foreign corporation
both places it appears and inserting controlled foreign corporation
, and
(B)in subsection (d)(2)(E)—
(i)in clause (i)(I), by striking (as defined in section 245A(b))
, and
(ii)by redesignating clause (ii) as clause (iii) and by inserting after clause (i) the following new clause:
(ii)Specified 10-percent owned foreign corporationFor purposes of this subparagraph—
(I)The term specified 10-percent owned foreign corporation
means any foreign corporation with respect to which any domestic corporation is a United States shareholder with respect to such corporation.
(II)Exclusion of passive foreign investment companiesSuch term shall not include any corporation which is a passive foreign investment company (as defined in section 1297) with respect to the shareholder and which is not a controlled foreign corporation..
(5)Section 909(b) is amended by striking (as defined in section 245A(b) without regard to paragraph (2) thereof)
and inserting (as defined in section 904(d)(2)(E)(ii) without regard to subclause (II) thereof)
.
(6)Section 961(d) is amended—
(A)by striking specified 10-percent owned foreign corporation (as defined in section 245A)
and inserting controlled foreign corporation
, and
(B)by striking specified 10-percent owned foreign corporation
in the heading and inserting controlled foreign corporation
.
(e)
(1)Except as otherwise provided in this subsection, the amendments made by this section shall apply to distributions made after the date of the enactment of this Act.
(2)Modifications related to determination of status as a controlled foreign corporationThe amendments made by subsection (b) shall apply to taxable years of foreign corporations beginning after the date of the enactment of this Act, and taxable years of United States persons in which or with which such taxable years of foreign corporations end.
(f)No inference regarding certain modificationsThe amendments made by subsections (b)(1), (b)(3), (b)(5), and (c) shall not be construed to create any inference with respect to the proper application of any provision of the Internal Revenue Code of 1986 with respect to distributions made, or taxable years beginning, respectively, before the distributions or taxable years, respectively, to which such amendments apply.
138129.Limitation on foreign base company sales and services income
(a)Foreign base company sales incomeSection 954(d)(2) is amended to read as follows:
(2)Limitation and regulatory authority
(A)For purposes of this subsection, the term related person
shall not include any person unless such person is—
(i)a taxable unit which is a tax resident of (or, in the case of a branch, is located in) the United States, or
(ii)is subject to tax under this chapter by reason of such person’s activities in the United States.
(B)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this subsection (and subsection (e)), including—
(i)regulations or other guidance providing for the proper application of subparagraph (A) in the case of a transaction (or series of transactions) in which a person described in subparagraph (A) is a party, and
(ii)regulations or other guidance providing that, for purposes of determining foreign base company sales income in situations in which any activity (including a transaction) or the legal status of a pass-through entity or branch held directly or indirectly by a controlled foreign corporation and that is located outside the country in which the controlled foreign corporation is a tax resident, the pass-through entity or branch shall be treated as a wholly owned subsidiary of the controlled foreign corporation.
(C)Any term used in this paragraph which is also used in section 904(e) shall have the same meaning as when used in such section..
(b)Foreign base company services incomeSection 954(e)(1)(A) is amended by striking subsection (d)(3)
and inserting subsection (d)
.
(c)Certain other modifications
(1)Section 78 is amended by striking , (b),
.
(2)
(A)Section 951(a) is amended to read as follows:
(a)
(1)If a foreign corporation is a controlled foreign corporation for any taxable year, every person who is a United States shareholder of such corporation, and who owns (within the meaning of section 958(a)) stock in such corporation at any time during such taxable year of such corporation, shall include in such shareholder’s gross income for such shareholder’s taxable year in which or with which such taxable year of such corporation ends—
(A)his pro rata share (determined under paragraph (2)) of the corporation’s subpart F income for such year, and
(B)if such shareholder owns (within the meaning of section 958(a)) stock of such foreign corporation as of the close of the last relevant day of such foreign corporation’s taxable year, the amount determined under section 956 with respect to such shareholder for such year (but only to the extent not excluded from gross income under section 959(a)(2)).
(2)Pro rata share of subpart F incomeIn the case of any United States shareholder with respect to a foreign corporation, the pro rata share referred to in paragraph (1)(A) is the sum of—
(A)if such shareholder owns (within the meaning of section 958(a)) stock of such foreign corporation as of the close of the last relevant day of such foreign corporation’s taxable year, such shareholder’s general pro rata share determined under paragraph (3), plus
(B)if such shareholder owns (within the meaning of section 958(a)) stock of such foreign corporation during such taxable year but does not own (within the meaning of section 958(a)) such stock as of the close of such last relevant day, such shareholder’s nontaxed current dividend share determined under paragraph (4).
(3)
(A)In the case of any United States shareholder with respect to a foreign corporation, the general pro rata share determined under this paragraph is the excess (if any) of—
(i)the pro rata current earnings percentage of the amount which bears the same ratio to such corporation’s subpart F income for the taxable year (reduced by the aggregate nontaxed current dividend shares determined under paragraph (4) with respect to such shareholder or any other United States shareholder) as the part of such year during which such corporation is a controlled foreign corporation bears to the entire year, over
(ii)the lesser of—
(I)the amount of any pre-holding period dividends with respect to stock of such foreign corporation which such shareholder owns (within the meaning of section 958(a)) as of the close of the last relevant day of such foreign corporation’s taxable year, or
(II)the amount which bears the same ratio to the subpart F income of such corporation for the taxable year (reduced by the aggregate nontaxed current dividend shares determined under paragraph (4) with respect to such shareholder or any other United States shareholder) as the part of such year during which such shareholder did not own (within the meaning of section 958(a)) such stock bears to the entire year.
(B)Pro rata current earnings percentageFor purposes of subparagraph (A)(i), the term pro rata current earnings percentage
means, in the case of any United States shareholder with respect to a foreign corporation for any taxable year of such foreign corporation, the ratio (expressed as a percentage) of—
(i) the amount which would have been distributed with respect to the stock which such shareholder owns (within the meaning of section 958(a)) in such corporation if on the last relevant day of such taxable year it had distributed its earnings and profits for such taxable year (computed as of the close of such taxable year without diminution by reason of any distributions made during such taxable year), divided by
(ii)such corporation’s earnings and profits for such taxable year (as so computed).
(C)Pre-holding period dividendsFor purposes of subparagraph (A)(ii)(I), the term pre-holding period dividends
means, in the case of any United States shareholder with respect to a foreign corporation for any taxable year of such foreign corporation, dividends which are—
(i)made out of such corporation’s earnings and profits for the taxable year (other than nontaxed current dividends as defined in paragraph (4)(C)), and
(ii)received—
(I)by any other United States person with respect to stock of such foreign corporation which such shareholder owns (within the meaning of section 958(a)) as of the close of the last relevant day of such foreign corporation’s taxable year, and
(II)while such foreign corporation was a controlled foreign corporation and before such shareholder owned (within the meaning of section 958(a)) such stock.
(4)Nontaxed current dividend share
(A)In the case of any United States shareholder with respect to a foreign corporation, the nontaxed current dividend share determined under this paragraph is the nontaxed current dividend percentage of the subpart F income of such foreign corporation for the taxable year.
(B)Nontaxed current dividend percentageFor purposes of this paragraph, the term nontaxed current dividend percentage
means, in the case of any United States shareholder with respect to a foreign corporation for any taxable year of such foreign corporation, the ratio (expressed as a percentage) of—
(i)the amount of nontaxed current dividends with respect to such taxable year received with respect to the stock of such foreign corporation which such shareholder owns (within the meaning of section 958(a)) at the time of the dividend on a day in which such corporation is a controlled foreign corporation, divided by
(ii)such foreign corporation’s earnings and profits for such taxable year (computed as of the close of such taxable year without diminution by reason of any distributions made during such taxable year).
(C)Nontaxed current dividendsFor purposes of this paragraph, the term nontaxed current dividends
means the portion of any amount received with respect to stock to the extent such amount (without regard to amounts included in the gross income of a United States shareholder for the taxable year by reason of this subpart)—
(i)would result in a dividend out of the corporation’s earnings and profits for the taxable year (including a dividend under section 1248 attributable to earnings and profits for the taxable year), and
(ii)either—
(I)would give rise to a deduction under section 245A(a), or
(II)in the case of a dividend paid directly or indirectly to a controlled foreign corporation with respect to stock owned by the shareholder within the meaning of section 958(a)(2), would not result in subpart F income with respect to such controlled foreign corporation by reason of subsection (b)(4), (c)(3), or (c)(6) of section 954.
(5)Last relevant day of taxable year of a controlled foreign corporationFor purposes of this subsection, the term last relevant day
means, with respect to any taxable year of a foreign corporation, the last day of such taxable year on which such corporation is a controlled foreign corporation.
(6)The Secretary may prescribe such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this subsection, including regulations or other guidance—
(A)to treat a partnership as an aggregate of its partners,
(B)to provide rules allowing a foreign corporation to close its taxable year upon a change in ownership, and
(C)to treat a distribution followed by an issuance of stock to a shareholder not subject to tax under this chapter in the same manner as an acquisition of stock..
(B)Section 951A(a) is amended to read as follows:
(a)If a foreign corporation is a controlled foreign corporation for any taxable year, every person who is a United States shareholder of such corporation, and who owns (within the meaning of section 958(a)) stock in such corporation at any time during such taxable year of such corporation, shall include in such shareholder’s gross income for such shareholder’s taxable year in which or with which such taxable year of such corporation ends, such shareholder’s global intangible low-taxed income for such taxable year..
(C)Section 951A(e) is amended to read as follows:
(e)Determination of pro rata sharesFor purposes of this section, the pro rata shares referred to in subsections (b), (c)(1)(A), and (c)(1)(B), respectively, shall be determined under rules similar to the rules of section 951(a)(2) and shall be taken into account in the taxable year of the United States shareholder in which or with which the taxable year of the controlled foreign corporation ends..
(D)Section 953(c)(5)(A)(i) is amended—
(i)in subclause (I), by adding and
at the end,
(ii)in subclause (II)—
(I)by striking on the last day of the taxable year
and inserting during the taxable year
, and
(II)by striking and
at the end and inserting or
, and
(iii)by striking subclause (III).
(3)Section 959 is amended by adding at the end the following:
(g)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this section..
(4)Section 961(b) is amended by inserting after the first sentence the following: The Secretary shall prescribe such other reductions to basis as are necessary or appropriate to carry out the purposes of this section.
.
(5)Section 961(c) is amended—
(A)by striking Basis adjustments in
in the heading of such subsection and inserting Application of rules to
, and
(B)by striking then adjustments similar to
and all that follows in such subsection and inserting
then rules similar to the rules of subsections (a) and (b) shall apply to—
(1)such stock,
(2)stock in any other controlled foreign corporation by reason of which the United States shareholder is considered under section 958(a)(2) as owning the stock described in paragraph (1), and
(3)property by reason of which the United States shareholder is considered as owning stock described in paragraph (1) or (2),
but only for purposes of determining the amount included under section 951 in the gross income of such United States shareholder (or any other United States shareholder who acquires from any person any portion of the interest of such United States shareholder by reason of which such shareholder was treated as owning such stock, but only to the extent of such portion, and subject to such proof of identity of such interest as the Secretary may prescribe by regulations). The preceding sentence shall not apply with respect to any stock or property to which subsection (a) or (b) applies..
(d)The amendments made by this section shall apply to taxable years of foreign corporations beginning after December 31, 2021, and to taxable years of United States shareholders in which or with which such taxable years of foreign corporations end.
(e)No inference regarding certain modificationsThe amendments made by paragraphs (1) and (2) of subsection (c) shall not be construed to create any inference with respect to the proper application of any provision of the Internal Revenue Code of 1986 with respect to any taxable year beginning before the taxable years to which such amendments apply.
DInbound international provisions
138131.Modifications to base erosion and anti-abuse tax
(a)Modifications to base erosion minimum tax amount
(1)Section 59A(b)(1)(A) is amended by striking 10 percent (5 percent in the case of taxable years beginning in calendar year 2018)
and inserting the applicable percentage
.
(2)Base erosion minimum tax amount determined without regard to creditsSection 59A(b)(1)(B) is amended to read as follows:
(B)an amount equal to the regular tax liability (as defined in section 26(b)) of the taxpayer for the taxable year..
(3)Section 59A(b)(2) is amended to read as follows:
(2)For purposes of this section, the term applicable percentage
means—
(A)in the case of any taxable year beginning after December 31, 2021, and before January 1, 2023, 10 percent,
(B)in the case of any taxable year beginning after December 31, 2022, and before January 1, 2024, 12.5 percent,
(C)in the case of any taxable year beginning after December 31, 2023, 15 percent, and
(D)in the case of any taxable year beginning after December 31, 2024, 18 percent..
(4)Taxpayers subject to rules for banks and securities dealersSection 59A(b)(3)(B) is amended to read as follows:
(B)A taxpayer is described in this subparagraph if such taxpayer is—
(i)a bank (as defined in section 585(a)(2)),
(ii)a securities dealer registered under section 15(a) of the Securities Exchange Act of 1934, or
(iii)a member of an affiliated group (as defined in section 1504(a)(1), determined without regard to section 1504(b)(3)) which includes any person described in clause (i) or (ii)..
(5)Termination of increased rate for banks and securities dealersSection 59A(b)(3) is amended by adding at the end the following new subparagraph:
(C)Subparagraph (A) shall not apply to any taxable year beginning after December 31, 2024..
(6)General business credit allowed against base erosion and anti-abuse taxSection 38(c)(1) is amended by striking the tax imposed by section 55
and inserting the taxes imposed by sections 55 and 59A
.
(7)
(A)Section 59A(b)(3)(A) is amended by striking paragraphs (1)(A) and (2)(A) shall each
and inserting paragraph (2) shall
.
(B)Section 59A(b) is amended by striking paragraph (4).
(b)Modification of rules for determining modified taxable income
(1)Section 59A(c) is amended to read as follows:
(c)For purposes of this section—
(1)The term modified taxable income
means the taxable income of the taxpayer computed under this chapter for the taxable year with the following adjustments:
(A)Taxable income shall be determined without regard to any base erosion tax benefit, including for purposes of determining the adjusted basis of property described in subsection (d)(2).
(B)Adjustments with respect to cost of goods soldCost of goods sold shall be determined without regard to any base erosion payment described in subparagraph (A) or (B) of subsection (d)(5).
(C)The net operating loss deduction for the taxable year under section 172 shall be determined—
(i)by substituting modified taxable income (as determined under section 59A(c)(1) without regard to subparagraph (C) thereof)
for taxable income
in section 172(a)(2)(B)(ii)(I),
(ii)by determining any net operating loss arising in any taxable year beginning after December 31, 2021, without regard to any base erosion tax benefit (determined with respect to each such taxable year), and
(iii)by making appropriate adjustments in the application of section 172(b)(2) to take into account clauses (i) and (ii) of this subparagraph.
(D)Application of certain other adjustmentsExcept as otherwise provided by the Secretary, rules similar to the rules of subsections (g) and (h) of section 59 shall apply.
(2)The term base erosion tax benefit
means—
(A)any deduction allowed under this chapter for the taxable year with respect to any base erosion payment described in subsection (d)(1),
(B)in the case of a base erosion payment described in subsection (d)(2), any deduction allowed under this chapter for the taxable year for depreciation (or amortization in lieu of depreciation) with respect to the property acquired with such payment,
(C)in the case of a base erosion payment described in subsection (d)(3)—
(i)any reduction under section 803(a)(1)(B) in the gross amount of premiums and other consideration on insurance and annuity contracts for premiums and other consideration arising out of indemnity insurance, and
(ii)any deduction under section 832(b)(4)(A) from the amount of gross premiums written on insurance contracts during the taxable year for premiums paid for reinsurance, and
(D)in the case of a base erosion payment described in subsection (d)(4), any reduction in gross receipts with respect to such payment in computing gross income of the taxpayer for the taxable year for purposes of this chapter..
(2)Certain payments with respect to inventory treated as base erosion paymentsSection 59A(d) is amended by redesignating paragraph (5) as paragraph (6) and by inserting after paragraph (4) the following new paragraph:
(5)Certain payments with respect to inventory
(A)Indirect costs included in inventory under section 263ASuch term shall also include any amount paid or incurred by the taxpayer to a foreign person which is a related party of the taxpayer if such amount is described in paragraph (2)(B) of section 263A(a) and required to be included in inventory costs of the taxpayer under paragraph (1)(A) of such section.
(B)Certain costs of foreign related partiesSuch term shall also include so much of any amount paid or incurred by the taxpayer to a foreign person which is a related party of the taxpayer in connection with the acquisition by the taxpayer from such foreign person of property which is inventory in the hands of the taxpayer as exceeds the sum of—
(i)the direct costs of such property in the hands of such foreign person, plus
(ii)so much of the costs described in section 263A(a)(2)(B) with respect to such property in the hands of such foreign person as the taxpayer demonstrates to the satisfaction of the Secretary are attributable to amounts—
(I)paid or incurred by such foreign person to a United States person or a person which is not a related party of the taxpayer, or
(II)otherwise subject to the tax imposed by this chapter.
(C)Application to related-party transactionsIn the case of direct costs otherwise described in clause (i) of subparagraph (B) which are paid or incurred by the foreign person referred to in such clause to another foreign person which is a related party of the taxpayer, such costs shall be taken into account under such clause only to the extent that the taxpayer demonstrates to the satisfaction of the Secretary that such costs are attributable to amounts—
(i)paid or incurred (directly or indirectly) to a United States person or a person which is not a related party of the taxpayer, or
(ii)otherwise subject to the tax imposed by this chapter.
(D)Safe harbor with respect indirect costs of foreign related partiesIn the case of a taxpayer which elects the application of this subparagraph (at such time, in such manner, and with respect to such inventory property, as the Secretary may provide), the amount described in subparagraph (B)(ii) with respect to such property shall be treated for purposes of this section as being equal to 20 percent of the amount paid or incurred by the taxpayer to the related party of the taxpayer in connection with the acquisition of such property.
(E)Application of certain rulesRules similar to the rules of subparagraphs (B) and (C) of subsection (i)(1) shall apply for purposes of determining whether any amount is treated as subject to the tax imposed by this chapter for purposes of subparagraph (B) or (C) of this paragraph. .
(3)Expansion and consolidation of rules to exempt certain payments from treatment as base erosion payments
(A)Section 59A is amended by redesignating subsection (i) as subsection (j) and by inserting after subsection (h) the following new subsection:
(i)Certain payment not treated as base erosion payments
(1)Exception for payments on which tax is imposed
(A)An amount shall not be treated as a base erosion payment if tax is imposed by this chapter with respect to such amount (other than by this section).
(B)Treatment of certain deductionsFor purposes of subparagraph (A), tax shall be treated as imposed by this chapter without regard to any deduction allowed under part VIII of subchapter B.
(C)Application of certain rulesThe amount not treated as a base erosion payment by reason of this paragraph shall be determined under rules similar to the rules of section 163(j)(5) (as in effect before the date of the enactment of Public Law 115-97).
(2)Exception for certain payments subject to sufficient foreign tax
(A)An amount shall not be treated as a base erosion payment if the taxpayer establishes to the satisfaction of the Secretary that such amount was not made to a foreign person which is a related party of the taxpayer that is subject to an effective rate of foreign income tax (as defined in section 904(d)(2)(F)) which is not less than the lesser of—
(i)15 percent, or
(ii)the applicable percentage in effect under subsection (b)(2) (determined without regard to subsection (b)(3)) for the taxable year in which such amount is paid or accrued.
(B)Certain payments to related partiesTo the extent provided by the Secretary in regulations, an amount paid to a foreign person which is a related party of the taxpayer shall be treated as paid to another foreign person which is a related party of the taxpayer if such second foreign person is subject to an effective rate of foreign income tax (as defined in section 904(d)(2)(F)) which is less than the lesser of 15 percent or the percentage described in subparagraph (A)(ii), to the extent the amount so paid directly or indirectly funds a payment to such second foreign person.
(C)Determination on basis of applicable financial statementsExcept as otherwise provided by the Secretary under subparagraph (D), the effective rate of foreign income tax with respect to any amount may be established on the basis of applicable financial statements (as defined in section 451(b)(3)).
(D)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this paragraph, including regulations or other guidance providing procedures for determining the effective rate of foreign income tax to which any amount is subject. Such procedures may require that any transaction or series of transactions among multiple parties be recharacterized as one or more transactions directly among any 2 or more of such parties where the Secretary determines that such recharacterization is appropriate to carry out, or prevent avoidance of, the purposes of this section.
(3)Exception for certain amounts with respect to servicesSubsections (d)(1) and (d)(5)(A) shall not apply to so much of any amount paid or accrued by a taxpayer for services as does not exceed the total services cost of such services. The preceding sentence shall not apply unless such services meet the requirements for eligibility for use of the services cost method under section 482 (determined without regard to the requirement that the services not contribute significantly to fundamental risks of business success or failure)..
(B)Section 59A(d), as amended by paragraph (2), is amended by striking paragraph (6).
(c)Termination of exemption from base erosion and anti-abuse tax for taxpayers with low base erosion percentageSection 59A(e)(1)(C) is amended by striking the base erosion percentage (as determined under subsection (c)(4))
and inserting in the case of any taxable year beginning before January 1, 2024, the base erosion percentage (as determined under subsection (c)(4) as in effect before the date of the enactment of the Act enacted during the 117th Congress which is entitled An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14.
)
.
(d)Treatment of applicable taxpayersSection 59A(e) is amended by adding at the end the following new paragraph:
(4)Continuation of treatment as applicable taxpayerIf a taxpayer is an applicable taxpayer with respect to any taxable year beginning after December 31, 2021 (other than by reason of this paragraph), such taxpayer (and any successor of such taxpayer) shall be an applicable taxpayer with respect to each of the 10 succeeding taxable years..
(e)
(1)Section 59A(b)(1) is amended by striking Except as provided in paragraphs (2) and (3), the
and inserting The
.
(2)Section 59A(h)(2)(B) is amended by striking section 6038B(b)(2)
and inserting section 6038A(b)(2)
.
(3)Section 59A(j)(2), as redesignated by subsection (b), is amended by striking subsection (g)(3)
and inserting subsection (h)(3)
.
(f)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
EOther Business Tax Provisions
138141.Credit for clinical testing of orphan drugs limited to first use or indication
(a)Section 45C(b)(2)(B) is amended to read as follows:
(B)Testing must be related to first use or indication for rare disease or conditionHuman clinical testing may be taken into account under subparagraph (A) only to the extent such testing is related to the first use or indication with respect to which a drug for a rare disease or condition is designated under section 526 of the Federal Food, Drug, and Cosmetic Act..
(b)Eligible testing must be conducted before approval for any use or indicationSection 45C(b)(2)(A)(ii)(II) is amended to read as follows:
(II)before the first date on which an application (with respect to any use or indication with respect to any disease or condition) with respect to such drug is approved under section 505(c) of such Act or, if the drug is a biological product, before the first date on which a license (with respect to any use or indication with respect to any disease or condition) for such drug is issued under section 351(a) of the Public Health Service Act, and.
(c)Eligibility of biological products
(1)Section 45C(b)(2)(A)(i) is amended by inserting or, if the drug is a biological product, section 351(a)(3) of the Public Health Service Act
before the comma at the end.
(2)Section 45C(b)(2)(A)(ii)(I) is amended by striking such Act
and inserting the Federal Food, Drug, and Cosmetic Act
.
(d)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
138142.Modifications to treatment of certain losses
(a)Losses from certain capital assets which become worthless
(1)Section 165(g)(1) is amended by striking on the last day of the taxable year
and inserting at the time of the identifiable event establishing worthlessness
.
(2)Treatment of partnership indebtednessSection 165(g)(2)(C) is amended by inserting , by a partnership,
after by a corporation
.
(3)Section 165(g) is amended by adding at the end the following new paragraph:
(4)For purposes of this subsection and subsection (m), abandonment shall be treated as an identifiable event establishing worthlessness..
(4)Treatment of partnership interestSection 165 is amended by redesignating subsection (m) as subsection (n) and by inserting after subsection (l) the following new subsection:
(m)Worthless partnership interestIf any interest in a partnership becomes worthless during the taxable year, the loss resulting therefrom shall, for purposes of this subtitle, be treated as a loss from the sale or exchange of the interest in the partnership at the time of the identifiable event establishing worthlessness..
(b)Deferral of losses in certain controlled group corporate liquidationsSection 267 is amended by adding at the end the following new subsection:
(h)Deferral of losses in certain controlled group liquidations
(1)In the case of any specified controlled group liquidation, no loss shall be recognized by any member of the controlled group on any stock or security of the liquidating corporation until all members of the controlled group which received property in connection with such liquidation have transferred such property to one or more persons who are not related (within the meaning of subsection (b)(3) or section 707(b)(1)) to the member which received such property.
(2)Specified controlled group liquidationFor purposes this subsection, the term specified controlled group liquidation
means, with respect to any corporation which is member of a controlled group, one or more distributions in complete liquidation (within the meaning of section 346) of such corporation or any other transfer (including any series of transfers) of property of such corporation if any stock or security of such corporation becomes worthless in connection with such transfer.
(3)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this subsection, including to apply the principles of this subsection to liquidating corporation stock or securities owned by a corporation indirectly through 1 or more partnerships..
(c)Section 331(c) is amended—
(1)by striking Cross reference
and all that follows through For general rule
and inserting the following:
Cross reference.—
(1)For general rule, and
(2)by adding at the end the following new paragraph:
(2)For losses in controlled group liquidations, see section 267(h)..
(d)
(1)The amendments made by this section shall apply to losses arising in taxable years beginning after December 31, 2021.
(2)The amendment made by subsection (b) shall apply to liquidations on or after the date of the enactment of this Act.
138143.Adjusted basis limitation for divisive reorganization
(a)Section 361 is amended by adding at the end the following new subsections:
(d)Adjusted basis limitation for divisive reorganizations
(1)Except as provided in paragraph (2), in the case of a reorganization described in section 368(a)(1)(D) with respect to which stock or securities of the controlled corporation (within the meaning of section 355) are distributed by the distributing corporation (within the meaning of such section) in a transaction which qualifies under such section—
(A)subsection (b)(3) shall not apply to so much of the amount described in clause (i)(II) as does not exceed the excess (if any) of—
(i)the sum of—
(I)the total amount of the liabilities assumed (within the meaning of section 357(c)) by the controlled corporation, and
(II)the total amount of money and the fair market value of other property transferred to the creditors, over
(ii)the total adjusted bases of the assets transferred by the distributing corporation to the controlled corporation, and
(B)subsection (c)(3) shall not apply to so much of the amount described in clause (i)(II) as does not exceed the excess (if any) of—
(i)the sum of—
(I)the total amount of the liabilities assumed (within the meaning of section 357(c)) by the controlled corporation, and
(II)the fair market value of the stock described in section 354(a)(2)(C) and the total principal amount of obligations of the controlled corporation described in subsection (c)(2)(B) which are qualified property (as defined in subsection (c)(2)(B)) transferred to the creditors, over
(ii)the total adjusted bases of the assets transferred by the distributing corporation to the controlled corporation.
(2)Exception regarding certain stock or rights to acquire stockParagraph (1) shall not apply to any stock (or right to acquire stock) described in subsection (c)(2)(B).
(3)The Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out the purposes of this subsection and to prevent avoidance of tax through abuse or circumvention of subsection (b)(3), subsection (c)(3), or this subsection, including to determine whether a disposition of property or any other transaction is in connection with the reorganization or pursuant to the plan of reorganization.
(e)For provisions providing for the inclusion of income or recognition of gain in certain distributions, see subsections (d), (e), (f), (g), and (h) of section 355..
(b)
(1)Section 361(b)(3) is amended—
(A)in the first sentence, by inserting , and except as provided in subsection (d)
after paragraph (1)
, and
(B)by striking the second and third sentences.
(2)Section 361(c) is amended—
(A)in paragraph (3), by inserting , and except as provided in subsection (d)
after this subsection
, and
(B)by striking paragraph (5).
(c)The amendments made by this section shall apply to reorganizations occurring on or after the date of the enactment of this Act.
(d)The amendments made by this section shall not apply to any exchange pursuant to a transaction which is—
(1)made pursuant to a written agreement which was binding on the date of the enactment of this Act, and at all times thereafter,
(2)described in a ruling request submitted to the Internal Revenue Service on or before such date, or
(3)described on or before such date in a public announcement or in a filing with the Securities and Exchange Commission.
138144.Rents from prison facilities not treated as qualified income for purposes of REIT income tests
(a)Section 856(d)(2) is amended by striking and
at the end of subparagraph (B), by striking the period at the end of subparagraph (C) and inserting , and
, and by adding at the end the following new subparagraph:
(D)any amount received or accrued, directly or indirectly, with respect to any real or personal property which is primarily used in connection with any correctional, detention, or penal facility..
(b)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
138145.Modifications to exemption for portfolio interest
(a)Section 871(h)(3)(B)(i) is amended to read as follows:
(i)in the case of an obligation issued by a corporation—
(I)any person who owns 10 percent or more of the total combined voting power of all classes of stock of such corporation entitled to vote, or
(II)any person who owns 10 percent or more of the total value of the stock of such corporation, and.
(b)The amendment made by this section shall apply to obligations issued after the date of the enactment of this Act.
138146.Certain partnership interest derivatives
(a)Section 871(m) is amended by adding at the end the following new paragraph:
(8)Specified partnership interest income equivalent payments
(A)For purposes of this subsection, any payment made pursuant to a specified notional principal contract that is determined by reference to any income or gain in respect of an interest in a specified partnership (or any other payment the Secretary determines to be substantially similar) shall be treated as a dividend equivalent. For purposes of the preceding sentence, income or gain includes any income or gain from the deemed disposition of such interest as a result of the termination of such contract (determined in the same manner as under section 864(c)(8)).
(B)For purposes of this paragraph, the term specified partnership
means—
(i)any publicly traded partnership (as defined in section 7704(b)) which is not treated as a corporation under such section, or
(ii)any other partnership as the Secretary may by regulation prescribe.
(C)
(i)Subparagraph (A) shall not apply to any payment the Secretary determines does not have the potential for tax avoidance.
(ii)Under such regulations as the Secretary shall prescribe, there shall not be taken into account under subparagraph (A) any payment to the extent determined by reference to income or gain in respect of an interest in a specified partnership which would be, if earned by a nonresident alien individual—
(I)exempt from tax under this chapter, or
(II)from sources without the United States and not effectively connected with the conduct of a trade or business within the United States.
(D)Treatment of definitions and special rules with respect to partnershipsFor purposes of this paragraph, rules similar to the rules and definitions in paragraphs (3), (4), (5), (6), and (7) shall apply to an interest in a specified partnership in a manner similar to an underlying security, and to income or gain in respect of an interest in a specified partnership in a manner similar to a dividend.
(E)The Secretary shall issue such regulations or other guidance as the Secretary determines is necessary or appropriate to carry out the purposes of this paragraph, including to apply this paragraph to payments determined under sale-repurchase agreements or securities lending transactions with respect to interests in specified partnerships, to determine the amount of a distribution by a specified partnership that is income or gain of the partnership (including the portion thereof that is excepted under subparagraph (C)) in a manner consistent with section 1441(g), and to require the provision of information by specified partnerships necessary to determine such amount..
(b)Withholding of tax on nonresident aliensSection 1441 is amended by redesignating subsection (g) as subsection (h) and by inserting after subsection (f) the following new subsection:
(g)Dividend equivalents in case of certain specified partnershipsThe Secretary may prescribe regulations, under rules similar to the rules of section 1446, to determine the amount of a payment in respect of income and gain of a specified partnership (as defined in 871(m)(8)) which is a dividend equivalent..
(c)The amendments made by this section shall apply to payments made after December 31, 2022.
138147.Adjustments to earnings and profits of controlled foreign corporations
(a)Section 312(n) is amended by adding at the end the following new paragraph:
(9)Special rules for controlled foreign corporationsEarnings and profits of any controlled foreign corporation shall be determined without regard to paragraphs (4), (5), and (6)..
(b)Section 952(c) is amended by striking paragraph (3).
(c)The amendments made by this section shall apply to taxable years of foreign corporations ending after the date of the enactment of this Act, and to taxable years of United States shareholders in which or with which such taxable years of foreign corporations end.
138148.Certain dividends of controlled foreign corporations treated as extraordinary dividends
(a)Section 1059 is amended by redesignating subsection (g) as subsection (h) and by inserting after subsection (f) the following new subsection:
(g)Treatment of certain dividends of controlled foreign corporations
(1)Except as otherwise provided by the Secretary, any disqualified CFC dividend shall be treated as an extraordinary dividend to which paragraph (1) and (2) of subsection (a) applies without regard to the period the taxpayer held the stock with respect to which such dividend is paid.
(2)Disqualified CFC dividend For purposes of this subsection—
(A)The term disqualified CFC dividend
means any dividend paid by a controlled foreign corporation to the extent such dividend is attributable to earnings and profits which—
(i)were earned during any period that such corporation was not a controlled foreign corporation, or
(ii)are attributable to disqualified CFC dividends received by such controlled foreign corporation from another controlled foreign corporation.
(B)Application to corporations not wholly owned by United States shareholdersIf not all of the stock of any controlled foreign corporation is owned (within the meaning of section 958(a)) by one or more United States shareholders at the time that any earning and profits referred to in subparagraph (A) are earned, the portion of such earnings and profits which is properly attributable to stock not so owned by United States shareholder shall be treated for purposes of subparagraph (A) as earned during a period that such corporation was not a controlled foreign corporation.
(C)Special rule related to constructive ownershipIn the case of the last taxable year of a foreign corporation beginning before January 1, 2018, and each subsequent taxable year of such foreign corporation which begins before the date of the enactment of this subsection, if such foreign corporation would not have been a controlled foreign corporation for any such taxable year if section 958(b)(4) (as applicable to taxable years beginning after the date of the enactment of this subsection) had applied to such taxable year, such corporation shall not be treated as a controlled foreign corporation for such taxable year for purposes of this subsection..
(b)Section 1059(h), as redesignated by subsection (a), is amended—
(1)by striking regulations
both places it appears and inserting regulations or other guidance
, and
(2)by striking and
at the end of paragraph (1), by striking the period at the end of paragraph (2) and inserting , and
, and by adding at the end the following new paragraph:
(3)providing for the coordination of subsection (g) with the other provisions of this chapter, including section 1248..
(c)The amendments made by this section shall apply to dividends paid (or amounts treated as dividends) after the date of the enactment of this Act.
138149.Limitation on certain special rules for section 1202 gains
(a)Section 1202(a) is amended by adding at the end the following new paragraph:
(5)Limitation on certain special rulesIn the case of the sale or exchange of qualified small business stock after September 13, 2021, paragraphs (3) and (4) shall not apply to any taxpayer if—
(A)the adjusted gross income of such taxpayer (determined without regard to this section and sections 911, 931, and 933) equals or exceeds $400,000, or
(B)such taxpayer is a trust or estate..
(b)Except as provided in subsection (c), the amendment made by this section shall apply to sales and exchanges after September 13, 2021.
(c)Binding contract exceptionThe amendment made by this section shall not apply to any sale or exchange which is made pursuant to written binding contract which was in effect on September 13, 2021, and is not modified in any material respect thereafter.
138150.
(a)Application to appreciated digital assets
(1)Section 1259(b)(1) is amended by inserting digital asset,
after debt instrument,
.
(2)Exception for sales of nonpublicly traded propertySection 1259(c)(2) is amended by adding at the end the following: A similar rule shall apply in the case of a contract for sale of any digital asset.
.
(3)Section 1259(d) is amended by adding at the end the following new paragraph:
(3)Except as otherwise provided by the Secretary, the term digital asset
means any digital representation of value which is recorded on a cryptographically secured distributed ledger or any similar technology as specified by the Secretary. .
(b)Treatment of certain contractsSection 1259(c)(1)(D) is amended by inserting or enters into a contract to acquire
after acquires
.
(c)
(1)The amendments made by subsection (a) shall apply to constructive sales (determined after the application of the amendment made by subsection (b)) after the date of the enactment of this Act.
(2)Treatment of certain contractsThe amendment made by subsection (b) shall apply to contracts entered into after the date of the enactment of this Act.
138151.Rules relating to common control
(a)Clarification of trade or businessSection 52(b) is amended by adding at the end the following new sentence: For purposes of this subsection, the term trade or business
includes any activity treated as a trade or business under paragraph (5) or (6) of section 469(c) (determined without regard to the phrase To the extent provided in regulations
in such paragraph (6)).
(b)The amendment made by this section shall apply to taxable years beginning after December 31, 2021.
138152.Modification of wash sale rules
(a)Section 1091 is amended to read as follows:
1091.Loss from wash sales of specified assets
(a)Disallowance of loss deductionIn the case of any loss claimed to have been sustained from any sale, disposition, or termination of specified assets where it appears that, within a period beginning 30 days before the date of such sale or disposition and ending 30 days after such date, the taxpayer (or related party) has acquired (by purchase or by an exchange on which the entire amount of gain or loss was recognized by law), or has entered into, or has entered into a contract or option so to acquire or a long principal contract in respect of, substantially identical specified assets, then no deduction shall be allowed under section 165 unless the taxpayer is a dealer in specified assets and the loss is sustained in a transaction made in the ordinary course of such business.
(b)Amount of specified assets different from amount of specified assets soldIf the amount of specified assets acquired (or covered by the contract or option to acquire or long notional principal contract in respect of) is different from the amount of specified assets sold or otherwise disposed of, then the particular specified assets the acquisition of which (or the contract or option to acquire or long notional principal contract which) resulted in the nondeductibility of the loss shall be determined under regulations prescribed by the Secretary.
(c)Adjustment to basis in case of wash saleIf the taxpayer (or the taxpayer’s spouse) acquires or enters into substantially identical specified assets during the period which—
(1)begins 30 days before the disposition with respect to which a deduction was disallowed under subsection (a), and
(2)ends with the close of the taxpayer’s first taxable year which begins after such disposition,the basis of such specified assets shall be increased by the amount of the deduction so disallowed (reduced by any amount of such deduction taken into account under this subsection to increase the basis of specified assets previously acquired).
(d)Certain short sales of specified assets and contracts to sellRules similar to the rules of subsection (a) shall apply to any loss realized on the closing of a short sale of (or the sale, exchange, or termination of a contract to sell or a short notional principal contract in respect of) specified assets if, within a period beginning 30 days before the date of such closing and ending 30 days after such date—
(1)substantially identical specified assets were sold or terminated by the taxpayer (or a related party), or
(2)another short sale of (or contract to sell or short notional principal contract in respect of) substantially identical specified assets was entered into by the taxpayer (or related party).
(e)This section shall not fail to apply to a contract or option to acquire or sell specified assets solely by reason of the fact that the contract or option settles in (or could be settled in) cash or property other than such specified assets.
(f)For purposes of this section—
(1)The term related party
means—
(A)the taxpayer’s spouse,
(B)any dependent of the taxpayer and any other taxpayer with respect to whom the taxpayer is a dependent,
(C)any individual, corporation, partnership, trust, or estate which controls, or is controlled by, (within the meaning of section 954(d)(3)) the taxpayer or any individual described in subparagraph (A) or (B) with respect to the taxpayer (or any combination thereof),
(D)any individual retirement plan, Archer MSA (as defined in section 220(d)), or health savings account (as defined in section 223(d)), of the taxpayer or of any individual described in subparagraph (A) or (B) with respect to the taxpayer,
(E)any account under a qualified tuition program described in section 529 or a Coverdell education savings account (as defined in section 530(b)) if the taxpayer, or any individual described in subparagraph (A) or (B) with respect to the taxpayer, is the designated beneficiary of such account or has the right to make any decision with respect to the investment of any amount in such account, and
(F)any account under—
(i)a plan described in section 401(a),
(ii)an annuity plan described in section 403(a),
(iii)an annuity contract described in section 403(b), or
(iv)an eligible deferred compensation plan described in section 457(b) and maintained by an employer described in section 457(e)(1)(A),if the taxpayer or any individual described in subparagraph (A) or (B) with respect to the taxpayer has the right to make any decision with respect to the investment of any amount in such account.
(2)Rules for determining status
(A)Relationships determined at time of acquisitionDeterminations under paragraph (1) shall be made as of the time of the purchase or exchange (or entering into a contract, option, or notional principal contract) referred to in subsection (a) except that determinations under subparagraphs (A) and (B) of paragraph (1) shall be made for the taxable year which includes such purchase or exchange (or entering into).
(B)Determination of marital status
(i)Except as provided in clause (ii), marital status shall be determined under section 7703.
(ii)Special rule for married individuals filing separately and living apartA husband and wife who—
(I)file separate returns for any taxable year, and
(II)live apart at all times during such taxable year,shall not be treated as married individuals.
(3)The Secretary shall issue such regulations or other guidance as may be necessary to prevent the avoidance of the purposes of this subsection, including regulations which treat persons as related parties if such persons are formed or availed of to avoid the purposes of this subsection.
(g)For purposes of this section, the term specified asset
means any of the following:
(1)Any security described in subparagraph (A), (B), (C), (D), or (E) of section 475(c)(2).
(2)Any foreign currency.
(3)Any commodity described in subparagraph (A), (B), or (C) of section 475(e)(2).
(4)Except as otherwise provided by the Secretary, any digital representation of value which is recorded on a cryptographically secured distributed ledger or any similar technology as specified by the Secretary.Such term shall, except as provided in regulations, include contracts or options to acquire or sell any specified assets.
(h)Exception for business needs and hedging transactionsExcept as provided in regulations prescribed by the Secretary, subsection (a) shall not apply in the case of any sale or other disposition—
(1)of a foreign currency or commodity described in subsection (h), and
(2)which—
(A)is directly related to the business needs of a trade or business of the taxpayer (other than the trade or business of trading foreign currencies or commodities described in subsection (h)), or
(B)is part of a hedging transaction (as defined in section 1221(b)(2))..
(b)The table of sections for part VII of subchapter O of chapter 1 is amended by striking the item relation to section 1091 and inserting the following new item:
Sec. 1091. Loss from wash sales of specified assets..
(c)The amendments made by this section shall apply to sales, dispositions, and terminations after December 31, 2021.
(d)Nothing in this section or the amendments made by this section shall be construed to create any inference with respect to the proper treatment of related parties under section 1091 of the Internal Revenue Code of 1986 with respect to sales, dispositions, and terminations before January 1, 2022.
138153.Research and experimental expenditures
(a)Section 13206 of Public Law 115–97 is amended—
(1)in subsection (b)(3), by striking 2021
and inserting 2025
, and
(2)in subsection (e), by striking 2021
and inserting 2025
.
(b)The amendment made by this section shall take effect on the date of the enactment of this Act.
2Tax increases for high-income individuals
138201.Application of net investment income tax to trade or business income of certain high income individuals
(a)Section 1411 is amended by adding at the end the following new subsection:
(f)Application to certain high income individuals
(1)In the case of any individual whose modified adjusted gross income for the taxable year exceeds the high income threshold amount, subsection (a)(1) shall be applied by substituting the greater of specified net income or net investment income
for net investment income
in subparagraph (A) thereof.
(2)The increase in the tax imposed under subsection (a)(1) by reason of the application of paragraph (1) of this subsection shall not exceed the amount which bears the same ratio to the amount of such increase (determined without regard to this paragraph) as—
(A)the excess described in paragraph (1), bears to
(B)$100,000 (1/2 such amount in the case of a married taxpayer (as defined in section 7703) filing a separate return).
(3)High income threshold amountFor purposes of this subsection, the term high income threshold amount
means—
(A)except as provided in subparagraph (B) or (C), $400,000,
(B)in the case of a taxpayer making a joint return under section 6013 or a surviving spouse (as defined in section 2(a)), $500,000, and
(C)in the case of a married taxpayer (as defined in section 7703) filing a separate return, 1/2 of the dollar amount determined under subparagraph (B).
(4)For purposes of this section, the term specified net income
means net investment income determined—
(A)without regard to the phrase other than such income which is derived in the ordinary course of a trade or business not described in paragraph (2),
in subsection (c)(1)(A)(i),
(B)without regard to the phrase described in paragraph (2)
in subsection (c)(1)(A)(ii),
(C)without regard to the phrase other than property held in a trade or business not described in paragraph (2)
in subsection (c)(1)(A)(iii),
(D)without regard to paragraphs (2), (3), and (4) of subsection (c), and
(E)by treating paragraphs (5) and (6) of section 469(c) as applying for purposes of subsection (c) of this section..
(b)Application to trusts and estatesSection 1411(a)(2)(A) is amended by striking undistributed net investment income
and inserting the greater of undistributed specified net income or undistributed net investment income
.
(c)Clarifications with respect to determination of net investment income
(1)Wages subject to FICA or RRTA not taken into accountSection 1411(c)(6) is amended by inserting or wages received with respect to employment on which a tax is imposed under section 3101(b) or 3201(a)
before the period at the end.
(2)Net operating losses not taken into accountSection 1411(c)(1)(B) is amended by inserting (other than section 172)
after this subtitle
.
(3)Inclusion of certain foreign income
(A)Section 1411(c)(1)(A) is amended by striking and
at the end of clause (ii), by striking over
at the end of clause (iii) and inserting and
, and by adding at the end the following new clause:
(iv)any amount includible in gross income under section 951, 951A, 1293, or 1296, over.
(B)Proper treatment of certain previously taxed incomeSection 1411(c) is amended by adding at the end the following new paragraph:
(7)Certain previously taxed incomeThe Secretary shall issue regulations or other guidance providing for the treatment of distributions of amounts previously included in gross income for purposes of chapter 1 but not previously subject to tax under this section..
(d)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
(e)The regulations or other guidance issued by the Secretary under section 1411(c)(7) of the Internal Revenue Code of 1986 (as added by this section) shall include provisions which provide for the proper coordination and application of clauses (i) and (iv) of section 1411(c)(1)(A) with respect to—
(1)taxable years beginning on or before December 31, 2021, and
(2)taxable years beginning after such date.
138202.Limitations on excess business losses of noncorporate taxpayers
(a)Limitation made permanent
(1)Section 461(l)(1) is amended to read as follows:
(1)In the case of any taxpayer other than a corporation, any excess business loss of the taxpayer for the taxable year shall not be allowed..
(2)Section 461 is amended by striking subsection (j).
(b)Modification of carryover of disallowed lossesSection 461(l)(2) is amended to read as follows:
(2)Disallowed loss carryoverAny loss which is disallowed under paragraph (1) for any taxable year shall be treated (solely for purposes of this chapter) as a deduction described in paragraph (3)(A)(i) for the next taxable year..
(c)The amendments made by this section shall apply to taxable years beginning after December 31, 2020.
138203.Surcharge on high income individuals, estates, and trusts
(a)Part I of subchapter A of chapter 1 is amended by inserting after section 1 the following new section:
1A.Surcharge on high income individuals, estates, and trusts
(a)In the case of a taxpayer other than a corporation, there is hereby imposed (in addition to any other tax imposed by this subtitle) a tax equal to the sum of—
(1)5 percent of so much of the modified adjusted gross income of the taxpayer as exceeds—
(A)$10,000,000, in the case of any taxpayer not described in subparagraph (B) or (C),
(B)$5,000,000, in the case of a married individual filing a separate return, and
(C)$200,000, in the case of an estate or trust, plus
(2)3 percent of so much of the modified adjusted gross income of the taxpayer as exceeds—
(A)$25,000,000, in the case of any taxpayer not described in subparagraph (B) or (C),
(B)$12,500,000, in the case of a married individual filing a separate return, and
(C)$500,000, in the case of an estate or trust.
(b)Modified adjusted gross incomeFor purposes of this section, the term modified adjusted gross income means adjusted gross income reduced by any deduction (not taken into account in determining adjusted gross income) allowed for investment interest (as defined in section 163(d)). In the case of an estate or trust, adjusted gross income shall be determined as provided in section 67(e).
(c)
(1)In the case of a nonresident alien individual, only amounts taken into account in connection with the tax imposed under section 871(b) shall be taken into account under this section.
(2)Citizens and residents living abroadThe dollar amount applicable to any taxpayer under paragraph (1), (2), or (3) of subsection (a) (as the case may be) shall be decreased (but not below zero) by the excess (if any) of—
(A)the amounts excluded from the taxpayer’s gross income under section 911, over
(B)the amounts of any deductions or exclusions disallowed under section 911(d)(6) with respect to the amounts described in subparagraph (A).
(3)Subsection (a) shall not apply to a trust all the unexpired interests in which are devoted to one or more of the purposes described in section 170(c)(2)(B).
(4)Not treated as tax imposed by this chapter for certain purposesThe tax imposed under this section shall not be treated as tax imposed by this chapter for purposes of determining the amount of any credit under this chapter or for purposes of section 55..
(b)The table of sections for part I of subchapter A of chapter 1 is amended by inserting after the item relating to section 1 the following new item:
Sec. 1A. Surcharge on high income individuals..
(c)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
3Funding the Internal Revenue Service and Improving Taxpayer Compliance
138301.Enhancement of Internal Revenue Service resources
(a)
(1)The following sums are appropriated, out of any money in the Treasury not otherwise appropriated, for the fiscal year ending September 30, 2022:
(A)
(i)
(I)For necessary expenses of the Internal Revenue Service to provide taxpayer services, including pre-filing assistance and education, filing and account services, taxpayer advocacy services, and other services as authorized by 5 U.S.C. 3109, at such rates as may be determined by the Commissioner, $1,931,500,000, to remain available until September 30, 2031: Provided, That these amounts shall be in addition to any other funds made available for this purpose.
(II)For necessary expenses for tax enforcement activities of the Internal Revenue Service to determine and collect owed taxes, to provide legal and litigation support, to conduct criminal investigations (including investigative technology), to provide cryptocurrency monitoring and compliance activities, to enforce criminal statutes related to violations of internal revenue laws and other financial crimes, to purchase and hire passenger motor vehicles (31 U.S.C. 1343(b)), and to provide other services as authorized by 5 U.S.C. 3109, at such rates as may be determined by the Commissioner, $44,887,500,000, to remain available until September 30, 2031: Provided, That these amounts shall be in addition to any other funds made available for this purpose.
(III)For necessary expenses of the Internal Revenue Service to support taxpayer services and enforcement programs, including rent payments; facilities services; printing; postage; physical security; headquarters and other IRS-wide administration activities; research and statistics of income; telecommunications; information technology development, enhancement, operations, maintenance, and security; the hire of passenger motor vehicles (31 U.S.C. 1343(b)); the operations of the Internal Revenue Service Oversight Board; and other services as authorized by 5 U.S.C. 3109, at such rates as may be determined by the Commissioner, $27,376,300,000, to remain available until September 30, 2031: Provided, That these amounts shall be in addition to any other funds made available for this purpose.
(IV)Business systems modernizationFor necessary expenses of the Internal Revenue Service's business systems modernization program, including development of callback technology and other technology to provide a more personalized customer service but not including the operation and maintenance of legacy systems, $4,750,700,000, to remain available until September 30, 2031: Provided, That these amounts shall be in addition to any other funds made available for this purpose.
(ii)Task Force to design an IRS-run free Direct eFile
tax return systemFor necessary expenses of the Internal Revenue Service to deliver to Congress a report on (I) the cost (including options for differential coverage based on taxpayer adjusted gross income and return complexity) of developing and running a free direct efile tax return system, including costs to build and administer each release, with a focus on multi-lingual and mobile-friendly features and safeguards for taxpayer data; (II) taxpayer opinions, expectations, and level of trust, based on surveys, for such a free direct efile system; and (III) the opinions of an independent third-party on the overall feasibility, approach, schedule, cost, organizational design, and Internal Revenue Service capacity to deliver such a direct efile tax return system, $15,000,000, to remain available until September 30, 2023: Provided, That these amounts shall be in addition to any other funds made available for this purpose.
(B)Treasury Inspector General for Tax AdministrationFor necessary expenses of the Treasury Inspector General for Tax Administration in carrying out the Inspector General Act of 1978, as amended, including purchase and hire of passenger motor vehicles (31 U.S.C. 1343(b)); and services authorized by 5 U.S.C. 3109, at such rates as may be determined by the Inspector General for Tax Administration, $403,000,000, to remain available until September 30, 2031: Provided, That these amounts shall be in addition to any other funds made available for this purpose.
(C)For necessary expenses of the Office of Tax policy of the Department of the Treasury to carry out functions related to promulgating regulations under the Internal Revenue Code of 1986, $104,533,803, to remain available until September 30, 2031: Provided, That these amounts shall be in addition to any other funds made available for this purpose.
(D)For necessary expenses, including contract reporting and other services as authorized by 5 U.S.C. 3109, and not to exceed $3,000 for official reception and representation expenses; $153,000,000, to remain available until September 30, 2031: Provided, That these amounts shall be in addition to any other funds made available for this purpose.
(2)Multi-year operational plan
(A)Not later than 6 months after the date of the enactment of this Act, the Commissioner of Internal Revenue shall submit to Congress a plan detailing how the funds appropriated under paragraph (1)(A)(i) will be spent over the ten-year period ending with fiscal year 2031.
(B)
(i)Not later than the last day of each calendar quarter beginning during the applicable period, the Commissioner of Internal Revenue shall submit to Congress a report on the plan established under subparagraph (A), including—
(I)any updates to the plan;
(II)progress made in implementing the plan; and
(III)any changes in circumstances or challenges in implementing the plan.
(ii)For purposes of clause (i), the applicable period is the period beginning 1 year after the date the report under subparagraph (A) is due and ending on September 30, 2031.
(C)Reduction in appropriation
(i)In the case of any failure to submit a plan required under subparagraph (A) or a report required under subparagraph (B) by the required date, the amounts made available under paragraph (1)(A)(i) shall be reduced by $100,000 for each day after such required date that report has not been submitted to Congress.
(ii)For purposes of clause (i), the required date is the date that is 60 days after the date the plan or report is required to be submitted under subparagraph (A) or (B), as the case may be.
(3)No tax increases on certain taxpayersNothing in this subsection is intended to increase taxes on any taxpayer with a taxable income below $400,000.
(b)The Secretary of the Treasury (or the Secretary's delegate) may use the funds made available under subsection (a)(1)(A), subject to such policies as the Secretary (or the Secretary's delegate) may establish, to take such personnel actions as the Secretary (or the Secretary's delegate) determines necessary to administer the Internal Revenue Code of 1986, including—
(1)utilizing direct hire authority to recruit and appoint qualified applicants, without regard to any notice or preference requirements, directly to positions in the competitive service;
(2)in addition to the authority under section 7812(1) of the Internal Revenue Code of 1986, appointing not more than 200 individuals to positions in the Internal Revenue Service under streamlined critical pay authority, except that—
(A)the authority to offer streamlined critical pay under this paragraph shall expire on September 30, 2031; and
(B)the positions for which streamlined critical pay is authorized under this paragraph may include positions critical to the purposes described in subclauses (I), (II), and (III) of subsection (a)(1)(A)(i); and
(3)appointing, without approval of the Office of Personnel Management, not more than 300 individuals to critical pay positions in the Internal Revenue Service for which—
(A)the rate of basic pay may not exceed the salary set in accordance with section 104 of title 3, United States Code; and
(B)the total annual compensation paid to an employee in such a position, including allowances, differentials, bonuses, awards, and similar cash payments, may not exceed the maximum amount of total annual compensation payable at the salary set in accordance with section 104 of title 3, United States Code.
138302.Application of backup withholding with respect to third party network transactions
(a)Section 3406(b) is amended by adding at the end the following new paragraph:
(8)Other reportable payments include payments in settlement of third party network transactions only where aggregate for calendar year is $600 or moreAny payment in settlement of a third party network transaction required to be shown on a return required under section 6050W which is made during any calendar year shall be treated as a reportable payment only if—
(A)the aggregate amount of such payment and all previous such payments made by the third party settlement organization to the participating payee during such calendar year equals or exceeds $600, or
(B)the third party settlement organization was required under section 6050W to file a return for the preceding calendar year with respect to payments to the participating payee..
(b)Section 6050W(e) is amended by inserting equal or
before exceed $600
.
(c)The amendments made by this section shall apply to calendar years beginning after December 31, 2021.
(d)Transitional rule for 2022In the case of payments made during calendar year 2022, section 3406(b)(8)(A) of the Internal Revenue Code of 1986 (as added by this section) shall be applied by inserting and the aggregate number of third party network transactions settled by the third party settlement organization with respect to the participating payee during such calendar year exceeds 200
before the comma at the end.
138303.Modification of procedural requirements relating to assessment of penalties
(a)Repeal of approval requirementSection 6751, as amended by the preceding provision of this Act, is amended by striking subsection (b).
(b)Quarterly certifications of compliance with procedural requirementsSection 6751, as amended by subsection (a) of this section, is amended by inserting after subsection (a) the following new subsection:
(b)Quarterly certifications of complianceEach appropriate supervisor of employees of the Internal Revenue Service shall certify quarterly by letter to the Commissioner of Internal Revenue whether or not the requirements of subsection (a) have been met with respect to notices of penalty issued by such employees..
(c)
(1)Repeal of approval requirementThe amendment made by subsection (a) shall take effect as if included in section 3306 of the Internal Revenue Service Restructuring and Reform Act of 1998.
(2)Quarterly certifications of compliance with procedural requirementsThe amendment made by subsection (b) shall apply to notices of penalty issued after the date of the enactment of this Act.
4
138401.Modifications to limitation on deduction of excessive employee remuneration
(a)Section 162(m) is amended by adding at the end the following new paragraph:
(7)Special rules related to limitation on deduction of excessive employee remuneration
(A)A rule similar to the rule of paragraph (6)(C)(ii) shall apply for purposes of paragraph (1).
(B)The Secretary shall prescribe such regulations or other guidance as may be necessary or appropriate to carry out the purposes of paragraph (1), including regulations or other guidance to prevent the avoidance of such purposes, including through the performance of services other than as an employee or by providing compensation through a pass-through or other entity..
(b)Applicable employee remunerationSection 162(m)(4)(A) is amended—
(1)by inserting (including performance-based compensation, commissions, post-termination compensation, and beneficiary payments)
after remuneration for services
, and
(2)by inserting and whether or not such remuneration is paid directly by the publicly held corporation
after whether or not during the taxable year
.
(c)The amendments made by this section shall apply to taxable years beginning after December 31, 2021.
138402.Extension of tax to fund Black Lung Disability Trust Fund
(a)Section 4121(e)(2)(A) is amended by striking December 31, 2021
and inserting December 31, 2025
.
(b)The amendment made by this section shall apply to sales after December 31, 2021.
138403.Prohibited transactions relating to holding DISC or FSC in individual retirement account
(a)Section 4975(c)(1) is amended by striking or
at the end of subparagraph (E), by striking the period at the end of subparagraph (F) and inserting ; or
, and by adding at the end the following new subparagraph:
(G)investment, at the direction of a disqualified person, by an individual retirement account in an interest in a DISC or FSC that receives any commission, or other payment, from an entity any stock or interest in which is owned by the individual for whose benefit the account is maintained..
(b)Special rules of applicationSection 4975(c) is amended by adding at the end the following new paragraph:
(8)Special rules of application for DISC and FSC investments
(A)Indirect holding of DISC or FSCFor purposes of paragraph (1)(G), investment by an individual retirement account in an interest in an entity that owns (directly or indirectly) an interest in a DISC or FSC shall be treated as investment by such account in an interest in such DISC or FSC.
(B)For purposes of determining ownership of stock (or any other interest) in an entity under paragraph (1)(G) and ownership of an interest in a DISC or FSC under subparagraph (A), the rules prescribed by section 318 for determining ownership shall apply, except that such section shall be applied by substituting 10 percent
for 50 percent
each place it appears.
(C)For purposes of this subsection, the terms DISC
and FSC
shall have the respective meanings given such terms by section 992(a)(1)) and section 922(a) (as in effect before its repeal by the FSC Repeal and Extraterritorial Income Exclusion Act of 2000)..
(c)Application of tax to terminated individual retirement accountsSection 4975(c)(3) is amended by adding at the end the following: The preceding sentence shall not apply in the case of a prohibited transaction described in paragraph (1)(G).
.
(d)Related rules for individual retirement accounts
(1)Section 408(a) is amended by inserting after paragraph (6) the following new paragraph:
(7)No part of the trust funds will be invested in any interest in a DISC or a FSC that receives any commission, or other payment, from an entity any stock or interest in which is owned by the individual for whose benefit the trust is maintained. For purposes of the preceding sentence, the definitions and rules of section 4975(c)(8) shall apply..
(e)Loss of exemption of accountSection 408(e)(2) is amended—
(1)by striking established
each place it appears in subparagraph (A) and inserting maintained
,
(2)by redesignating subparagraph (B) as subparagraph (C),
(3)by inserting after subparagraph (A) the following new subparagraph:
(B)If, during any taxable year of the individual for whose benefit any individual retirement account is maintained, the investment of any part of the funds of such individual retirement account does not comply with subsection (a)(7), such account ceases to be an individual retirement account as of the first day of such taxable year. Rules similar to the rules of clauses (i) and (ii) of subparagraph (A) shall apply for purposes of this subparagraph.,
(4)by striking where employee engages in prohibited transaction
in the heading and inserting in case of certain prohibited transactions and investments
,
(5)by striking In general
in the heading of subparagraph (A) and inserting Employee engaging in prohibited transaction
, and
(6)by striking (A)
in subparagraph (C), as so redesignated, and inserting (A) or (B)
.
(f)
(1)Section 408(c)(1) is amended by striking (1) through (6)
and inserting (1) through (7)
.
(2)Section 4975(c)(3) is amended—
(A)striking established
and inserting maintained
,
(B)by striking transaction
both places it appears and inserting transaction or investment
, and
(C)by striking section 408(e)(2)(A)
and inserting subparagraph (A) or (B) of section 408(e)(2)
.
(g)The amendments made by this section shall apply to stock and other interests acquired or held on or after December 31, 2021.
138404.Clarification of treatment of DISC gains and distributions of certain foreign shareholders
(a)Section 996(g) of the Internal Revenue Code of 1986 is amended by striking of such shareholder
and inserting deemed to be had by such shareholder
.
(b)The amendments made by subsection (a) shall apply to gains and distributions after December 31, 2021.
(c)Application to foreign sales corporationsIn the case of any distribution after December 31, 2021, section 926(b)(1) of the Internal Revenue Code of 1986 (prior to its repeal by the FSC Repeal and Extraterritorial Income Exclusion Act of 2000) shall be applied by substituting deemed to be had by such shareholder
for of such shareholder
.
HSupplemental Security Income for the Territories
131001.Extension of the supplemental security income program to Puerto Rico, the United States Virgin Islands, Guam, and American Samoa
(a)Section 303 of the Social Security Amendments of 1972 (86 Stat. 1484) is amended by striking subsection (b).
(b)
(1)Section 1101(a)(1) of the Social Security Act (42 U.S.C. 1301(a)(1)) is amended by striking the 5th sentence and inserting the following: Such term when used in title XVI includes Puerto Rico, the United States Virgin Islands, Guam, and American Samoa.
.
(2)Elimination of limit on total payments to the territoriesSection 1108 of such Act (42 U.S.C. 1308) is amended—
(A)in the section heading, by striking ; limitation on total payments
;
(B)by striking subsection (a); and
(C)in subsection (c), by striking paragraphs (2) and (4) and redesignating paragraphs (3) and (5) as paragraphs (2) and (3), respectively.
(3)United States nationals treated the same as citizensSection 1614(a)(1)(B) of such Act (42 U.S.C. 1382c(a)(1)(B)) is amended—
(A)in clause (i)(I), by inserting or national of the United States,
after citizen
;
(B)in clause (i)(II), by adding ; or
at the end; and
(C)in clause (ii), by inserting or national
after citizen
.
(4)Territories included in geographic meaning of United StatesSection 1614(e) of such Act (42 U.S.C. 1382c(e)) is amended by striking and the District of Columbia
and inserting , the District of Columbia, Puerto Rico, the United States Virgin Islands, Guam, and American Samoa
.
(c)The Commissioner of Social Security may waive or modify any statutory requirement relating to the provision of benefits under the Supplemental Security Income Program under title XVI of the Social Security Act in Puerto Rico, the United States Virgin Islands, Guam, or American Samoa, to the extent that the Commissioner deems it necessary in order to adapt the program to the needs of the territory involved.
(d)This section and the amendments made by this section shall take effect on January 1, 2024.