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March 4, 2010, 12:00 am ET - Amendment SA 3354 proposed by Senator Whitehouse to Amendment SA 3336.
March 4, 2010, 12:00 am ET - Proposed amendment SA 3354 withdrawn in Senate.

Full Text of this Amendment

SA 3354. Mr. WHITEHOUSE (for himself, Mr. Schumer, and Mr. Bingaman) submitted an amendment intended to be proposed by him to the bill H.R. 4213, to amend the Internal Revenue Code of 1986 to extend certain expiring provisions, and for other purposes; which was ordered to lie on the table; as follows:


On page 269, after line 6, insert the following:
SEC. 801. SHORT TITLE AND TABLE OF CONTENTS.
(a) Short Title.--This title may be cited as the "Energy Efficiency in Housing Act of 2010".
(b) Table of Contents.--The table of contents for this title is as follows:

Sec..801..Short title and table of contents.
Sec..802..Findings and purposes.
Sec..803..Definitions.
Sec..804..Implementation of energy efficiency participation incentives for HUD programs.
Sec..805..Incentives for energy efficient mortgages and location efficient mortgages.
Sec..806..Mortgage incentives for energy efficient multifamily housing.
Sec..807..Energy efficiency and conservation demonstration program for multifamily housing projects assisted with project-based rental assistance.
Sec..808..Additional credit for Fannie Mae and Freddie Mac housing goals for energy efficient mortgages.
Sec..809..Duty to serve underserved markets for energy efficient and location efficient mortgages.
Sec..810..Consideration of energy efficiency under FHA mortgage insurance programs and Native American and Native Hawaiian loan guarantee programs.
Sec..811..Energy efficient mortgages education and outreach campaign.
Sec..812..Collection of information on energy efficient and location efficient mortgages through Home Mortgage Disclosure Act.
Sec..813..Energy efficiency certifications for housing with mortgages insured by FHA.
Sec..814..Assisted housing energy loan pilot program.
Sec..815..HOPE VI green developments requirement.
Sec..816..Consideration of energy efficiency improvements in appraisals.
Sec..817..Additional requirements for the Housing Assistance Council.
Sec..818..Rural housing and economic development assistance.
Sec..819..Revolving fund for loans to States and Indian tribes to carry out renewable energy sources activities.
Sec..820..Competitive grant program to increase sustainable low-income community development capacity.
Sec..821..Insurance coverage for loans for financing of renewable energy systems leased for residential use.
Sec..822..Green banking centers.
Sec..823..GAO reports on availability of affordable mortgages.
Sec..824..Public housing energy cost report.
SEC. 802. FINDINGS AND PURPOSES.
(a) Congressional Findings.--The Congress finds that--
(1) making the United States energy efficient is essential for enhancing national security, fighting climate change, and creating jobs;
(2) unchecked use of energy resources poses a significant threat to the national security, economy, public health, and welfare of the people of the United States, the well-being of other nations, and the global environment;
(3) prompt, decisive action is critical to encourage energy efficiency and conservation and the development of renewable energy sources for housing, commercial structures, and other buildings, and to create sustainable communities; and
(4) it is possible and desirable to reduce energy consumption in the United States while employing--
(A) cost containment measures;
(B) periodic review of requirements;
(C) an aggressive program for deploying advanced energy technology; and
(D) programs to assist low- and middle-income energy consumers.
(b) Purposes.--The purposes of this title are--
(1) to encourage the use of energy efficiency and conservation methods in Federal housing programs;
(2) to expand the use of energy efficient mortgages;
(3) to provide for the development and installation of renewable energy sources for housing, commercial structures, and other buildings;
(4) to create sustainable communities;
(5) to support the creation of a stable "green jobs" sector by increasing demand for energy efficient products and professionals with expertise in green building standards; and
(6) to achieve these goals while preserving the development, benefits, and affordability of Federal housing programs.
SEC. 803. DEFINITIONS.
In this title, the following definitions shall apply:
(1) ENERGY AUDIT.--The term "energy audit" means an investment grade energy audit conducted for purposes of paragraph (2)(B)(iii), in accordance with such standards as the Secretary shall establish, after optional consultation with any advisory committee established pursuant to section 807(c)(2) of this title.
(2) ENHANCED ENERGY EFFICIENCY STANDARDS.--The term "enhanced energy efficiency standards" means any one of the following:
(A) GREEN BUILDING STANDARDS.--Green building standards, as that term is defined in paragraph (3).
(B) RESIDENTIAL STRUCTURES.--In the case of a residential single family or multifamily structure, standards established by the Secretary, by regulation, that--
(i) impose requirements additional to, or more stringent than, minimum energy efficiency standards, as that term is defined in paragraph (6);
(ii) in the case of a newly constructed structure, are identical to the Energy Star standards established by the Environmental Protection Agency, or any successor thereto adopted by the Secretary by regulation;
(iii) in the case of an existing structure, require a reduction in energy consumption from the previous level of consumption for the structure, as determined in accordance with energy audits performed both before and after any rehabilitation or improvements undertaken to reduce such consumption, that exceeds the reduction necessary for compliance with minimum energy efficiency standards.
(C) NONRESIDENTIAL STRUCTURES.--In the case of a nonresidential structure, include such energy efficiency and conservation requirements, standards, checklists, or rating systems for nonresidential structures as the Secretary determines are necessary.
(3) GREEN BUILDING STANDARDS.--The term "green building standards" means systems and standards for residential and nonresidential structures that are established or adopted by the Secretary, by regulation, and that--
(A) require the use of sustainable design principles to--
(i) reduce the use of nonrenewable resources;
(ii) encourage energy efficient construction and rehabilitation and the use of renewable energy resources;
(iii) minimize the impact of development on the environment;
(iv) improve indoor air quality;
(v) maximize water conservation; and
(vi) encourage the selection of building materials that reduce adverse impacts on the environment;
(B) impose requirements additional to, or more stringent than, minimum energy efficiency standards, as that term is defined in paragraph (6);
(C) include--
(i) the national Green Communities criteria checklist for residential construction, which provides criteria for the design, development, and operation of affordable housing, or any successor thereto adopted by the Secretary by regulation;
(ii) the Leadership in Energy and Environmental Design (LEED) certification for new construction, the LEED for Homes rating system, the LEED for Core and Shell rating system, as applicable, or any successors thereto adopted by the Secretary by regulation;
(iii) the Green Globes assessment and rating system of the Green Building Initiative;
(iv) in the case of manufactured housing, the Energy Star standards established by the Environmental Protection Agency with respect to fixtures, appliances, and equipment in such housing, or any successor thereto adopted by the Secretary by regulation;
(v) the National Green Building Standard, only--
(I) if such standard is ratified under the American National Standards Institute process;
(II) upon expiration of the 180-day period beginning upon such ratification; and
(III) if, during such 180-day period, the Secretary does not reject the applicability of such standard for purposes of this paragraph; and
(vi) any other requirement, standard, checklist, or rating system for green building or sustainability that the Secretary--
(I) determines is necessary for a specific type of residential single family or multifamily structure; or
(II) may determine to adopt or apply not later than 180 days after the date of receipt of any written request, made in such form as the Secretary shall provide, for such adoption and application; and
(D) may be waived by the Secretary, if the Secretary determines that waiver of such regulations would promote enhanced energy efficiency or conservation.
(4) HUD.--The term "HUD" means the Department of Housing and Urban Development.
(5) HUD ASSISTANCE.--The term "HUD assistance" means financial assistance that is awarded, competitively or noncompetitively, allocated by formula, or provided by HUD through loan insurance or guarantee.
(6) MINIMUM ENERGY EFFICIENCY STANDARDS.--
(A) IN GENERAL.--The term "minimum energy efficiency standards" has the meaning given that term by regulations of the Secretary.
(B) REGULATIONS FOR RESIDENTIAL STRUCTURES.--Regulations issued by the Secretary under subparagraph (A) shall, in the case of a residential single family or multifamily structure--
(i) require the structure to comply with the applicable provisions of the American Society of Heating, Refrigerating, and Air-Conditioning Engineers Standard 90.1-2007, or any successor thereto adopted by the Secretary, by regulation;
(ii) require the structure to comply with the applicable provisions of the 2009 International Energy Conservation Code, or any successor thereto adopted by the Secretary, by regulation;
(iii) in the case of an existing structure--
(I) where the Secretary determines such action is cost effective, require--
(aa) the structure to have undergone rehabilitation or improvements that are completed after the date of enactment of this title; and
(bb) the energy consumption for the structure to have been reduced by not less than 20 percent from the previous level of consumption, as determined in accordance with energy audits performed both before and after any rehabilitation or improvements undertaken to reduce such consumption;
(II) if the structure has 4 stories or more, require the structure to demonstrate a 20 percent improvement in the proposed building performance rating when compared to a baseline building performance rating resulting from a whole building project simulation conducted in accordance with the Building Performance Rating Method in Appendix G of American Society of Heating, Refrigerating, and Air-Conditioning Engineers Standard 90.1-2004, or any successor thereto adopted by the Secretary, by regulation;
and
(III) if the structure has fewer than 4 stories, require the structure to demonstrate, by modeling based on the Home Energy Rating System Index of the Residential Energy Services Network, a 20 percent improvement in the proposed building performance rating; and
(iv) require the structure to comply with any provisions of such other energy efficiency requirements, standards, checklists, or ratings systems as the Secretary determines are necessary for a specific type of residential single family or multifamily structure; and
(C) REGULATIONS FOR NONRESIDENTIAL STRUCTURES.--Regulations issued by the Secretary under subparagraph (a) shall, in the case of a nonresidential structure that is constructed or rehabilitated with HUD assistance--
(i) require the structure to be not less than 30 percent more energy efficient than required by local residential and commercial building codes regarding energy efficiency; and
(ii) require the structure to comply with such additional energy efficiency requirements, standards, checklists, or rating systems as the Secretary determines are applicable to nonresidential structures.
(7) NONRESIDENTIAL STRUCTURES.--The term "nonresidential structures" means only nonresidential structures that are appurtenant to single family or multifamily housing residential structures, or those that are funded by the Secretary through the HUD Community Development Block Grant program established under title I of the Housing and Community Development Act of 1974 (42 U.S.C. 5301 et seq.).
(8) SECRETARY.--The term "Secretary", unless otherwise specified, means the Secretary of Housing and Urban Development.
SEC. 804. IMPLEMENTATION OF ENERGY EFFICIENCY PARTICIPATION INCENTIVES FOR HUD PROGRAMS.
Not later than 180 days after the date of enactment of this title, the Secretary shall issue such regulations as may be necessary to establish annual energy efficiency participation incentives to encourage participants in programs administered by the Secretary, including recipients under programs for which HUD assistance is provided, to achieve substantial improvements in energy efficiency.
SEC. 805. INCENTIVES FOR ENERGY EFFICIENT MORTGAGES AND LOCATION EFFICIENT MORTGAGES.
(a) In General.--The Secretary shall establish budget-neutral incentives for encouraging lenders to make, and homebuyers and homeowners to participate in, energy efficient mortgages and location efficient mortgages.
(b) Incentives.--The incentives required under subsection (a) may include--
(1) fee reductions;
(2) fee waivers;
(3) interest rate reductions; and
(4) adjustment of mortgage qualifications.
(c) Additional Consideration.--In establishing the incentives required under subsection (a), the Secretary shall consider the lower risk of default on energy efficient mortgages and location efficient mortgages in comparison to mortgages that are not energy efficient or location efficient.
(d) Definitions.--The terms "energy efficient mortgage" and "location efficient mortgage" have the same meaning as in section 1335(e) of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4565(e)) (as added by section 808 of this title).
SEC. 806. MORTGAGE INCENTIVES FOR ENERGY EFFICIENT MULTIFAMILY HOUSING.
(a) In General.--The Secretary shall establish--
(1) incentives for increasing the energy efficiency of multifamily housing that is subject to a mortgage to be insured under title II of the National Housing Act (12 U.S.C. 1707 et seq.) so that such housing meets minimum energy standards; and
(2) incentives to encourage compliance of such housing with enhanced energy efficiency standards, to the extent that such incentives are based on the impact that savings on utility costs have on the operating costs of the housing, as determined by the Secretary.
(b) Incentives.--The incentives required under subsection (a) may include, for any such multifamily housing that meets minimum energy efficiency standards--
(1) providing a discount on the chargeable premiums for the mortgage insurance for such housing from the amount otherwise chargeable for such mortgage insurance;
(2) allowing mortgages to exceed the dollar amount limits otherwise applicable under law to the extent such additional amounts are used to finance improvements or measures designed to meet the standards referred to in subsection (a); and
(3) reducing the amount that the owner of such multifamily housing is required to contribute.
SEC. 807. ENERGY EFFICIENCY AND CONSERVATION DEMONSTRATION PROGRAM FOR MULTIFAMILY HOUSING PROJECTS ASSISTED WITH PROJECT-BASED RENTAL ASSISTANCE.
(a) Authority.--
(1) IN GENERAL.--For multifamily housing projects for which project-based rental assistance is provided under a covered multifamily assistance program, the Secretary shall, subject to the availability of amounts provided in advance in appropriation Acts, carry out a program to demonstrate the effectiveness of funding a portion of the costs of meeting enhanced energy efficiency standards.
(2) INDIAN HOUSING.--At the discretion of the Secretary, the demonstration program required under paragraph (1) may include incentives for housing that is assisted with Indian housing block grants provided pursuant to the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4101 et seq.), but only to the extent that such inclusion does not violate such Act, regulations promulgated pursuant to such Act, and the goal of such Act of tribal self-determination.
(b) Goals.--The demonstration program under this section shall be carried out in a manner that--
(1) protects the financial interests of the Federal Government;
(2) reduces the proportion of funds provided by the Federal Government and by owners and residents of multifamily housing projects that are used for costs of utilities for such projects;
(3) encourages energy efficiency and conservation by owners and residents of multifamily housing projects and installation of renewable energy improvements, such as improvements providing for use of solar, wind, geothermal, or biomass energy sources;
(4) creates incentives for project owners to carry out such energy efficiency renovations and improvements by allowing a portion of the savings in operating costs resulting from such renovations and improvements to be retained by the project owner, notwithstanding otherwise applicable limitations on dividends;
(5) allows project owners and tenants to share the savings in operating costs resulting from such renovations and improvements in accordance with an appropriate ratio;
(6) promotes the installation, in existing residential buildings, of energy efficient and cost-effective improvements and renewable energy improvements, such as improvements providing for use of solar, wind, geothermal, or biomass energy sources;
(7) tests the efficacy of a variety of energy efficiency measures for multifamily housing projects of various sizes and in various geographic locations;
(8) tests methods for addressing the various, and often competing, incentives that impede owners and residents of multifamily housing projects from working together to achieve energy efficiency or conservation; and
(9) creates a database of energy efficiency and conservation, and renewable energy, techniques, energy savings management practices, and energy efficiency and conservation financing vehicles.
(c) Approaches.--In carrying out the demonstration program under this section, the Secretary may take the following actions:
(1) Enter into agreements with the Building America Program of the Department of Energy and other consensus committees under which such programs, partnerships, or committees assume some or all of the functions, obligations, and benefits of the Secretary with respect to energy savings.
(2) Establish advisory committees to advise the Secretary and any such third party partners on technological and other developments in the area of energy efficiency and the creation of an energy efficiency and conservation credit facility and other financing opportunities that--
(A) include representatives of homebuilders, realtors, architects, nonprofit housing organizations, environmental protection organizations, renewable energy organizations, State housing finance agencies, and advocacy organizations for low-income individuals, the elderly, and persons with disabilities; and
(B) are not subject to the Federal Advisory Committee Act (5 U.S.C. App.).
(3) Develop a competitive process for the award of such additional assistance for multifamily housing projects seeking to implement energy efficiency, renewable energy sources, or conservation measures.
(4) Waive or modify any existing Federal regulatory provision that would otherwise impair the implementation or effectiveness of the demonstration program under this section, including provisions relating to methods for rent adjustments, comparability standards, maximum rent schedules, and utility allowances. Notwithstanding the preceding provisions of this paragraph, the Secretary may not waive any statutory requirement relating to fair housing, nondiscrimination, labor standards, or the environment,
except pursuant to existing authority to waive nonstatutory environmental and other applicable requirements.
(d) Requirement.--During the 4-year period beginning 12 months after the date of enactment of this title, the Secretary shall carry out demonstration programs under this section with respect to not fewer than 50,000 dwelling units.
(e) Selection.--
(1) SCOPE.--
(A) IN GENERAL.--In order to provide a broad and representative profile for use in designing a program which can become operational and effective nationwide, the Secretary shall carry out the demonstration program under this section with respect to dwelling units located in a wide variety of geographic areas and project types assisted by the various covered multifamily assistance programs and using a variety of energy efficiency and conservation and funding techniques to reflect differences
in climate, types of dwelling units, technical and scientific methodologies, and financing options.
(B) INDIAN LANDS.--The Secretary shall ensure that the geographic areas included in the demonstration program under this section include dwelling units on Indian lands (as that term is defined in section 2601 of the Energy Policy Act of 1992 (25 U.S.C. 3501)), to the extent that dwelling units on Indian land have the type of residential structures that are the focus of the demonstration program.
(2) PRIORITY.--The Secretary shall provide priority for selection for participation in the program under this section based on the extent to which, as a result of assistance provided, the project will meet minimum energy efficiency standards or enhanced energy efficiency standards.
(f) Use of Existing Partnerships.--To the extent feasible, the Secretary shall--
(1) utilize the Partnership for Advancing Technology in Housing of the Department of Housing and Urban Development to assist in carrying out the requirements of this section and to provide education and outreach regarding the demonstration program authorized under this section; and
(2) consult with the Secretary of Energy, the Administrator of the Environmental Protection Agency, and the Secretary of the Army regarding utilizing the Building America Program of the Department of Energy, the Energy Star Program, and the Army Corps of Engineers, respectively, to determine the manner in which such programs might assist in carrying out the goals of this section and providing education and outreach regarding the demonstration program authorized under this section.
(g) Reports.--
(1) ANNUAL REPORT.--Not later than 2 years after the date of enactment of this title, and for each year thereafter during the term of the demonstration program, the Secretary shall submit to Congress a report that describes and assesses the demonstration program under this section.
(2) FINAL REPORT.--Not later than 6 months after the expiration of the 4-year period described in subsection (d), the Secretary shall submit to Congress a final report assessing the demonstration program that--
(A) assesses the potential for expanding the demonstration program on a nationwide basis; and
(B) includes descriptions of--
(i) the size of each multifamily housing project for which assistance was provided under the program;
(ii) the geographic location of each project assisted, by State and region;
(iii) the criteria used to select the projects for which assistance is provided under the program;
(iv) the energy efficiency and conservation measures and financing sources used for each project that is assisted under the program;
(v) the difference, before and during participation in the demonstration program, in the amount of the monthly assistance payments under the covered multifamily assistance program for each project assisted under the program;
(vi) the average length of the term of the assistance provided under the program for a project;
(vii) the aggregate amount of savings generated by the demonstration program and the amount of savings expected to be generated by the program over time on a per-unit and aggregate program basis;
(viii) the functions performed in connection with the implementation of the demonstration program that were transferred or contracted out to any third parties;
(ix) an evaluation of the overall successes and failures of the demonstration program; and
(x) recommendations for any actions to be taken as a result of such successes and failures.
(3) CONTENTS.--Each annual report pursuant to paragraph (1) and the final report pursuant to paragraph (2) shall include--
(A) a description of the status of each multifamily housing project selected for participation in the demonstration program under this section; and
(B) findings from the program and recommendations for any legislative actions.
(h) Covered Multifamily Assistance Program.--For purposes of this section, the term "covered multifamily assistance program" means--
(1) the program under section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f) for project-based rental assistance;
(2) the program under section 202 of the Housing Act of 1959 (12 U.S.C. 1701q) for assistance for supportive housing for the elderly;
(3) the program under section 811 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8013) for supportive housing for persons with disabilities; and
(4) the program for assistance under the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4111).
(i) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $50,000,000 for each fiscal year in which the demonstration program under this section is carried out.
(j) Regulations.--Not later than 180 days after the date of enactment of this title, the Secretary shall issue any regulations necessary to carry out this section.
SEC. 808. ADDITIONAL CREDIT FOR FANNIE MAE AND FREDDIE MAC HOUSING GOALS FOR ENERGY EFFICIENT MORTGAGES.
Section 1336(a) of the Housing and Community Development Act of 1992 (12 U.S.C. 4566(a)) is amended--
(1) in paragraph (2), by striking "paragraph (5)" and inserting "paragraphs (5) and (6)"; and
(2) by adding at the end the following:
"(6) ADDITIONAL ENERGY EFFICIENCY CREDIT.--
"(A) IN GENERAL.--In assigning credit toward achievement under this section of the housing goals for mortgage purchase activities of the enterprises, the Director shall assign--
"(i) more than 125 percent credit, for purchases that--
"(I) comply with the requirements of such goals; and
"(II) support housing that meets minimum energy efficiency standards, as that term is defined in section 803 of the Energy Efficiency in Housing Act of 2010; and
"(ii) credit in addition to credit under clause (i), for purchases that--
"(I) comply with the requirements of such goals; and
"(II) support housing that complies with enhanced energy efficiency standards, as that term is defined in section 803 of such Act.
"(B) TREATMENT OF ADDITIONAL CREDIT.--The availability of additional credit under this paragraph shall not be used to increase any housing goal, subgoal, or target established under this subpart.".
SEC. 809. DUTY TO SERVE UNDERSERVED MARKETS FOR ENERGY EFFICIENT AND LOCATION EFFICIENT MORTGAGES.
Section 1335 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4565) is amended--
(1) in subsection (a)(1), by adding at the end the following:
"(D) MARKETS FOR ENERGY EFFICIENT AND LOCATION EFFICIENT MORTGAGES.--
"(i) DUTY.--Except as provided in clause (ii), the enterprise shall develop loan products and flexible underwriting guidelines to facilitate a secondary market for energy efficient and location efficient mortgages on housing for very low-, low-, and moderate-income families, and for second and junior mortgages made for purposes of energy efficiency or renewable energy improvements.
"(ii) AUTHORITY TO SUSPEND.--Notwithstanding any other provision of this section, the Director may suspend the applicability of the requirement under clause (i) with respect to an enterprise, for such period as is necessary, if the Director determines that exigent circumstances exist and such suspension is appropriate to ensure the safety and soundness of the portfolio holdings of the enterprise.";
(2) by adding at the end the following:
"(e) Definitions.--For purposes of this section, the following definitions shall apply:
"(1) ENERGY EFFICIENT MORTGAGE.--The term `energy efficient mortgage' means a mortgage loan under which the income of the borrower, for purposes of qualification for such loan, is considered to be increased by--
"(A) not less than $1 for each $1 of savings projected to be realized by the borrower as a result of cost-effective energy saving design, construction, or improvements (including use of renewable energy sources, such as solar, geothermal, biomass, and wind, superinsulation, energy-saving windows, insulating glass and film, and radiant barrier) for the home for which the loan is made; or
"(B) a ratio of income to savings determined by the Director.
"(2) LOCATION EFFICIENT MORTGAGE.--The term `location efficient mortgage' means a mortgage loan under which--
"(A) the income of the borrower, for purposes of qualification for such loan, is considered to be increased by--
"(i) not less than $1 for each $1 of savings projected to be realized by the borrower because the location of the home for which the loan is made will result in decreased transportation costs for the household of the borrower; or
"(ii) a ratio of income to savings determined by the Director; or
"(B) the sum of the principal, interest, taxes, and insurance due under the mortgage loan is decreased by--
"(i) not less than $1 for each $1 of savings projected to be realized by the borrower because the location of the home for which loan is made will result in decreased transportation costs for the household of the borrower; or
"(ii) a ratio of principal, interest, taxes, and insurance due under the mortgage to savings projected to be realized by the borrower determined by the Director.".
SEC. 810. CONSIDERATION OF ENERGY EFFICIENCY UNDER FHA MORTGAGE INSURANCE PROGRAMS AND NATIVE AMERICAN AND NATIVE HAWAIIAN LOAN GUARANTEE PROGRAMS.
(a) FHA Mortgage Insurance.--
(1) REQUIREMENT.--Title V of the National Housing Act is amended by adding after section 542 (12 U.S.C. 1735f-20) the following:
"SEC. 543. CONSIDERATION OF ENERGY EFFICIENCY.
"(a) Underwriting Standards.--In establishing underwriting standards for mortgages on single family housing that meets minimum energy efficiency standards, as that term is defined in section 803 of the Energy Efficiency in Housing Act of 2010, that are insured under this Act, the Secretary shall consider the impact that savings on utility costs has on the income of the mortgagor.
"(b) Goal.--It is the sense of the Congress that, in carrying out this Act, the Secretary should endeavor to insure mortgages on single family housing that meets minimum energy efficiency standards, as that term is defined in section 803 of the Energy Efficiency in Housing Act of 2010, such that at least 50,000 such mortgages are insured during the period beginning on the date of enactment of such Act and ending on December 31, 2012.".
(2) REPORTING ON DEFAULTS.--Section 540(b)(2) of the National Housing Act (12 U.S.C. 1735f-18(b)(2)) is amended by adding at the end the following:
"(C) With respect to each collection period that commences after December 31, 2011--
"(i) the total number of mortgages on single family housing that meets minimum energy efficiency standards, as that term is defined in section 803 of the Energy Efficiency in Housing Act of 2010, that are insured by the Secretary during the applicable collection period;
"(ii) the number of defaults and foreclosures occurring on such mortgages during such period;
"(iii) the percentage of the total of such mortgages insured during such period on which defaults and foreclosure occurred; and
"(iv) the rate for such period of defaults and foreclosures on such mortgages compared to the overall rate for such period of defaults and foreclosures on mortgages for single family housing insured under this Act by the Secretary.".
(b) Indian Housing Loan Guarantees.--
(1) REQUIREMENT.--Section 184 of the Housing and Community Development Act of 1992 (12 U.S.C. 1715z-13a) is amended--
(A) by redesignating subsection (l) as subsection (m); and
(B) by inserting after subsection (k) the following:
"(l) Consideration of Energy Efficiency.--The Secretary shall establish a method to consider, in its underwriting standards for loans for single family housing that meet minimum energy efficiency standards, as that term is defined in section 803 of the Energy Efficiency in Housing Act of 2010, that are guaranteed under this section, the impact that savings on utility costs has on the portion of the income of the borrower that is available to service the mortgage debt.".
(2) REPORTING ON DEFAULTS.--Section 540(b)(2) of the National Housing Act (12 U.S.C. 1735f-18(b)(2)), as amended by subsection (a)(2) of this section, is amended by adding at the end the following:
"(D) With respect to each collection period that commences after December 31, 2011--
"(i) the total number of loans guaranteed under section 184 of the Housing and Community Development Act of 1992 (12 U.S.C. 1715z-13a) for single family housing that meets enhanced energy efficiency standards, as that term is defined in section 803 of the Energy Efficiency in Housing Act of 2010, that are guaranteed by the Secretary during the applicable collection period;
"(ii) the number of defaults and foreclosures that occur on such loans during such period;
"(iii) the percentage of the total number of such loans guaranteed during such period on which defaults and foreclosures occurred; and
"(iv) the rate for such period of defaults and foreclosures on such loans compared to the overall rate for such period of defaults and foreclosures on loans for single family housing guaranteed under section 184 of such Act.".
(c) Native Hawaiian Housing Loan Guarantees.--
(1) REQUIREMENT.--Section 184A of the Housing and Community Development Act of 1992 (12 U.S.C. 1715z-13b) is amended by adding at the end the following:
"(m) Energy Efficient Housing Requirement.--The Secretary shall establish a method to consider, in its underwriting standards for loans for single family housing that meets minimum energy efficiency standards, as that term is defined in section 803 of the Energy Efficiency in Housing Act of 2010, that are guaranteed under this section, the impact that savings on utility costs have on the income of the borrower.".
(2) REPORTING ON DEFAULTS.--Section 540(b)(2) of the National Housing Act (12 U.S.C. 1735f-18(b)(2)), as amended by the preceding provisions of this section, is amended by adding at the end the following:
"(E) With respect to each collection period that commences after December 31, 2011--
"(i) the total number of loans guaranteed under section 184A of the Housing and Community Development Act of 1992 (12 U.S.C. 1715z-13b) on single family housing that meets enhanced energy efficiency standards, as that term is defined in section 803 of the Energy Efficiency in Housing Act of 2010, that are guaranteed by the Secretary during the applicable collection period;
"(ii) the number of defaults and foreclosures occurring on such loans during such period;
"(iii) the percentage of the total of such loans guaranteed during such period on which defaults and foreclosures occurred; and
"(iv) the rate for such period of defaults and foreclosures on such loans compared to the overall rate for such period of defaults and foreclosures on loans for single family housing guaranteed under such section 184A.".
SEC. 811. ENERGY EFFICIENT MORTGAGES EDUCATION AND OUTREACH CAMPAIGN.
Section 513 of the Housing and Community Development Act of 1992 (12 U.S.C. 1701z-16 note) is amended by adding at the end the following:
"(g) Education and Outreach Campaign.--
"(1) DEVELOPMENT OF ENERGY EFFICIENT MORTGAGE OUTREACH PROGRAM.--
"(A) COMMISSION.--The Secretary, in consultation and coordination with the Secretary of Energy, the Secretary of Education, the Secretary of Agriculture, and the Administrator of the Environmental Protection Agency, shall establish a commission to develop and recommend model mortgage products and underwriting guidelines that provide market-based incentives to prospective home buyers, lenders, and sellers to incorporate energy efficiency upgrades in new mortgage loan transactions.
"(B) REPORT.--Not later than 24 months after the date of enactment of this subsection, the Secretary shall submit to Congress a written report on the results of work of the commission established pursuant to subparagraph (A) and that identifies model mortgage products and underwriting guidelines that may encourage energy efficiency.
"(2) IMPLEMENTATION.--
"(A) IN GENERAL.--After submission of the report under paragraph (1)(B), the Secretary, in consultation and coordination with the Secretary of Energy, the Secretary of Education, and the Administrator of the Environmental Protection Agency, shall carry out a public awareness, education, and outreach campaign based on the findings of the commission established pursuant to paragraph (1) to inform and educate residential lenders and prospective borrowers regarding the availability, benefits,
advantages, and terms of--
"(i) energy efficient mortgages made available pursuant to this section;
"(ii) energy efficient mortgages that meet the requirements of section 1334A of this Act; and
"(iii) other mortgages, including mortgages for multifamily housing, that have energy improvement features.
"(B) CONTRACTING.--The Secretary may enter into a contract with an appropriate entity to publicize and market such mortgages through appropriate media.
"(3) RENEWABLE ENERGY HOME PRODUCT EXPOSITIONS.--It is the sense of Congress that the Secretary of Housing and Urban Development should work with appropriate entities to organize and hold renewable energy expositions that provide an opportunity for the public to view and learn about renewable energy products for the home that are currently on the market.
"(4) AUTHORIZATION OF APPROPRIATIONS.--There is authorized to be appropriated to the Secretary to carry out this subsection $5,000,000 for each of fiscal years 2010 through 2013.".
SEC. 812. COLLECTION OF INFORMATION ON ENERGY EFFICIENT AND LOCATION EFFICIENT MORTGAGES THROUGH HOME MORTGAGE DISCLOSURE ACT.
(a) In General.--Section 304(b)(1) of the Home Mortgage Disclosure Act of 1975 (12 U.S.C. 2803(b)(1)) is amended--
(1) in paragraph (3), by striking "and" at the end;
(2) in paragraph (4), by striking the period at the end and inserting a semicolon; and
(3) by adding at the end the following new paragraphs:
"(5) the number and dollar amount of mortgage loans for single family housing and for multifamily housing that are energy efficient mortgages (as such term is defined in section 1334A of the Housing and Community Development Act of 1992); and
"(6) the number and dollar amount of mortgage loans for single family housing and for multifamily housing that are location efficient mortgages (as such term is defined in section 1334A of Housing and Community Development Act of 1992).".
(b) Applicability.--The amendment made by subsection (a) shall apply with respect to the first calendar year that begins after the expiration of the 30-day period beginning on the date of enactment of this title.
SEC. 813. ENERGY EFFICIENCY CERTIFICATIONS FOR HOUSING WITH MORTGAGES INSURED BY FHA.
Section 526 of the National Housing Act (12 U.S.C. 1735f-4(a)) is amended--
(1) in subsection (a)--
(A) by striking ", other than manufactured homes," each place that term appears;
(B) by inserting after the period at the end the following: "The energy performance requirements developed and established by the Secretary under this section for manufactured homes shall require Energy Star ratings for wall fixtures, appliances, and equipment in such homes.";
(C) by striking "(a) To" and inserting the following:
"(a) Energy Efficiency.--
"(1) IN GENERAL.--To"; and
(D) by adding at the end the following:
"(2) CERTIFICATION.--The Secretary shall require, with respect to any single family or multifamily residential housing subject to a mortgage insured under this Act, that any approval or certification of the housing for meeting any energy efficiency or conservation criteria, standards, or requirements pursuant to this title and any approval or certification required pursuant to this title with respect to energy conserving improvements or any renewable energy sources, such as wind, solar
energy, geothermal, or biomass, shall be conducted only by an individual certified by a home energy rating system provider that has been accredited to conduct such ratings by the Home Energy Ratings System Council, the Residential Energy Services Network, or such other appropriate national organization, as the Secretary may provide, or by a licensed professional architect or
engineer that has been accredited as a LEED Accredited Professional by the Green Building Certification Institute. If any organization makes a request to the Secretary for approval to accredit individuals to conduct energy efficiency or conservation ratings, the Secretary shall review and approve or disapprove such request not later than 6 months after receipt of such request.
"(3) LISTING.--Each regional office of the Department of Housing and Urban Development shall maintain a list of individuals certified by a home energy rating system provider that has been accredited to conduct such ratings by the Home Energy Ratings System Council, the Residential Energy Services Network, or such other appropriate national organizations or professionals as the Secretary may designate. Such list shall indicate that home energy rating system providers accredited by the
Residential Energy Services Network are preferred by the Department of Housing and Urban Development.
"(4) PERIODIC EXAMINATION OF METHOD.--The Secretary shall periodically examine the method used to conduct inspections for compliance with the requirements under this section, analyze various other approaches for conducting such inspections, and review the costs and benefits of the current method compared with other methods."; and
(2) in subsection (b)--
(A) by striking ", other than a manufactured home,"; and
(B) by striking "(b) The" and inserting the following:
"(b) Health and Safety.--The".
SEC. 814. ASSISTED HOUSING ENERGY LOAN PILOT PROGRAM.
(a) Authority.--Not later than 12 months after the date of enactment of this title, the Secretary shall develop and implement a pilot program to facilitate the financing of cost-effective capital improvements for covered assisted housing projects to improve the energy efficiency and conservation of such projects.
(b) Number of Lenders.--The pilot program under this section shall involve not less than 3 and not more than 5 lenders.
(c) Loans.--The pilot program under this section shall provide for a privately financed loan to be made for a covered assisted housing project that--
(1) finances capital improvements for the project that meet such requirements as the Secretary shall establish, and may involve contracts with third parties to perform such capital improvements, including the design of such improvements by licensed professional architects or engineers;
(2) has a term to maturity that is--
(A) not more than 20 years; and
(B) necessary to realize cost savings sufficient to repay such loan;
(3) is secured by a mortgage subordinate to the mortgage for the project that is insured under title II of the National Housing Act; and
(4) provides for a reduction in the remaining principal obligation under the loan based on the actual cost savings realized from the capital improvements financed with the loan.
(d) Underwriting Standards.--The Secretary shall establish underwriting requirements for loans made under the pilot program under this section, which shall--
(1) require the cost savings projected to be realized from the capital improvements financed with the loan, during the term of the loan, to exceed the costs of repaying the loan;
(2) allow the designer or contractor involved in designing capital improvements to be financed with a loan under the program to carry out such capital improvements; and
(3) include such energy, audit, property, financial, ownership, and approval requirements as the Secretary considers appropriate.
(e) Treatment of Savings.--The pilot program under this section shall provide that the financial benefit from any reduction in the cost of utilities resulting from capital improvements financed with a loan made under the program shall be shared between the project owner and the tenants in accordance with an appropriate ratio, as determined by the Secretary.
(f) Covered Assisted Housing Projects.--For purposes of this section, the term "covered assisted housing project" means a housing project that--
(1) is financed by a loan or mortgage that is--
(A) insured by the Secretary under paragraph (3) or (4) of section 221(d) of the National Housing Act (12 U.S.C. 1715l(d)), and bears interest at a rate determined under the proviso of section 221(d)(5) of such Act; or
(B) insured or assisted under section 236 of the National Housing Act (12 U.S.C. 1715z-1);
(2) at the time a loan under this section is made, is provided project-based rental assistance under section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f) for 50 percent or more of the dwelling units in the project; and
(3) is not a housing project owned or held by the Secretary, or subject to a mortgage held by the Secretary.
SEC. 815. HOPE VI GREEN DEVELOPMENTS REQUIREMENT.
(a) Mandatory Component.--Section 24(e) of the United States Housing Act of 1937 (42 U.S.C. 1437v(e)) is amended by adding at the end the following:
"(4) GREEN DEVELOPMENTS REQUIREMENT.--
"(A) REQUIREMENT.--The Secretary may not make a grant under this section to an applicant unless the proposed revitalization plan of the applicant to be carried out with such grant amounts meets the following requirements:
"(i) RESIDENTIAL CONSTRUCTION.--All residential construction under the proposed plan complies with--
"(I) all mandatory items of the national Green Communities criteria checklist for residential construction and rehabilitation and such nonmandatory items of such checklist as are necessary for a residential construction to receive--
"(aa) 25 points, in the case of any proposed plan (or portion thereof) consisting of new construction; and
"(bb) 20 points, in the case of any proposed plan (or portion thereof) consisting of rehabilitation; or
"(II) a substantially equivalent standard, as determined by the Secretary.
"(ii) NONRESIDENTIAL CONSTRUCTION.--All nonresidential construction under the proposed plan complies with all minimum required levels of the green building rating systems and levels identified by the Secretary pursuant to subparagraph (C), as such systems and levels are in effect at the time of the application for the grant.
"(B) VERIFICATION.--
"(i) IN GENERAL.--The Secretary shall verify, or provide for verification sufficient to ensure, that each revitalization plan carried out with amounts from a grant under this section complies with the requirements under subparagraph (A).
"(ii) TIMING.--In providing for such verification, the Secretary shall establish procedures to ensure such compliance with respect to each grantee, and shall submit a report to Congress with respect to the compliance of each grantee--
"(I) not later than 6 months after execution of the grant agreement under this section for the grantee; and
"(II) on completion of the revitalization plan of the grantee.
"(C) IDENTIFICATION OF GREEN BUILDINGS RATING SYSTEMS AND LEVELS.--
"(i) IN GENERAL.--For purposes of this paragraph, the Secretary, in consultation with the Secretary of Energy, shall identify rating systems and levels for green buildings that the Secretary determines to be the most likely to encourage a comprehensive and environmentally sound approach to ratings and standards for green buildings.
"(ii) CRITERIA.--In identifying the green rating systems and levels under clause (i), the Secretary shall take into consideration--
"(I) the ability and availability of assessors and auditors to independently verify the criteria and measurement of metrics at the scale necessary to implement this paragraph;
"(II) the ability of the applicable ratings system organizations to collect and reflect public comment;
"(III) the ability of the standards to be developed and revised through a consensus-based process;
"(IV) an evaluation of the robustness of the criteria for a high-performance green building, which shall give credit for promoting--
"(aa) efficient and sustainable use of water, energy, and other natural resources;
"(bb) use of renewable energy sources;
"(cc) improved indoor and outdoor environmental quality through enhanced indoor and outdoor air quality, thermal comfort, acoustics, outdoor noise pollution, day lighting, pollutant source control, sustainable landscaping, and use of building system controls and low- or no-emission materials, including preference for materials with no added carcinogens that are classified as Group 1 Known Carcinogens by the International Agency for Research on Cancer; and
"(dd) such other criteria as the Secretary determines to be appropriate; and
"(V) national recognition within the building industry.
"(iii) FIVE-YEAR EVALUATION.--At least once every 5 years, the Secretary shall conduct a study to evaluate and compare available third party green building rating systems and levels, taking into account the criteria listed in clause (ii).
"(iv) REVIEW AND UPDATE.--Within 90 days of the completion of each study required by clause (iii), the Secretary shall review and update the rating systems and levels, or identify alternative systems and levels for purposes of this paragraph, taking into account the conclusions of such study.
"(D) APPLICABILITY AND UPDATING OF STANDARDS.--
"(i) APPLICABILITY.--Except as provided in clause (ii), the national Green Communities criteria checklist and green building rating systems and levels referred to in subparagraph (A) that are in effect for purposes of this paragraph are such checklist systems and levels as in existence on the date of enactment of the Energy Efficiency in Housing Act of 2010.
"(ii) UPDATING.--The Secretary may, by regulation, adopt and apply for purposes of this paragraph, future amendments and supplements to, and editions of, the national Green Communities criteria checklist, any standard or standards that the Secretary has determined to be substantially equivalent to such checklist, and the green building ratings systems and levels identified by the Secretary pursuant to subparagraph (C).".
(b) Selection Criteria; Graded Component.--Section 24(e)(2) of the United States Housing Act of 1937 (42 U.S.C. 1437v(e)(2)) is amended--
(1) in subparagraph (K), by striking "and" at the end;
(2) by redesignating subparagraph (L) as subparagraph (M); and
(3) by inserting after subparagraph (K) the following:
"(L) the extent to which the proposed revitalization plan--
"(i) in the case of residential construction, complies with the nonmandatory items of the national Green Communities criteria checklist identified in paragraph (4)(A)(i), or any substantially equivalent standard or standards as determined by the Secretary, but only to the extent such compliance exceeds the compliance necessary to accumulate the number of points required under such paragraph; and
"(ii) in the case of nonresidential construction, complies with the components of the green building rating systems and levels identified by the Secretary pursuant to paragraph (4)(C), but only to the extent such compliance exceeds the minimum level required under such systems and levels; and".
SEC. 816. CONSIDERATION OF ENERGY EFFICIENCY IMPROVEMENTS IN APPRAISALS.
(a) Appraisals in Connection With Federally Related Transactions.--
(1) REQUIREMENT.--Section 1110 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3339) is amended--
(A) in paragraph (1), by striking "and" at the end;
(B) by redesignating paragraph (2) as paragraph (3); and
(C) by inserting after paragraph (1) the following:
"(2) that such appraisals be performed in accordance with appraisal standards that require, in determining the value of a property, consideration of the ongoing utility savings and increased value from the savings that result from--
"(A) any renewable energy sources for the property; or
"(B) energy efficiency or energy conserving improvements or features of the property; and".
(2) REVISION OF APPRAISAL STANDARDS.--Each Federal financial institution regulatory agency shall, not later than 6 months after the date of enactment of this title, revise its standards for the performance of real estate appraisals in connection with federally related transactions under the jurisdiction of the agency to comply with the requirement under the amendments made by paragraph (1).
(b) Appraiser Certification and Licensing Requirements.--Section 1116 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3345) is amended--
(1) in subsection (a), by inserting before the period at the end the following: "and meets the requirements established pursuant to subsection (f) for qualifications regarding consideration of any renewable energy sources for, or energy efficiency or energy conserving improvements or features of, the property";
(2) in subsection (c), by inserting before the period at the end the following: ", which shall include compliance with the requirements established pursuant to subsection (f) regarding consideration of any renewable energy sources for, or energy efficiency or energy conserving improvements or features of, the property";
(3) in subsection (e), by striking "The" and inserting "Except as provided in subsection (f), the"; and
(4) by adding at the end the following:
"(f) Requirements for Appraisers Regarding Energy Efficiency Features.--The Appraisal Subcommittee shall establish requirements for State certification of State certified real estate appraisers and for State licensing of State licensed appraisers, to ensure that appraisers consider and are qualified to consider, in determining the value of a property, any renewable energy sources for, or energy efficiency or energy conserving improvements or features of, the property.".
(c) Guidelines for Appraising Photovoltaic and Solar Thermal Measures and Training of Appraisers.--Section 1122 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3351) is amended by adding at the end the following:
"(g) Guidelines for Appraising Photovoltaic and Solar Thermal Measures and Training of Appraisers.--The Appraisal Subcommittee shall, in consultation with the Secretary of Housing and Urban Development, the Federal National Mortgage Association, and the Federal Home Loan Mortgage Corporation, establish specific guidelines for--
"(1) appraising off- and on-grid photovoltaic and solar thermal measures for compliance with the appraisal standards prescribed pursuant to section 1110(2);
"(2) requirements under section 1116(f) for certification of State certified real estate appraisers and for State licensing of State licensed appraisers, to ensure that appraisers consider, and are qualified to consider, such photovoltaic and solar thermal measures in determining the value of a property; and
"(3) training of appraisers to meet the requirements established pursuant to paragraph (2) of this subsection.".
SEC. 817. ADDITIONAL REQUIREMENTS FOR THE HOUSING ASSISTANCE COUNCIL.
The Secretary shall require the Housing Assistance Council--
(1) to encourage each organization that receives assistance from the Council with any amounts made available from the Secretary to provide that any structure or building developed or assisted under projects, programs, and activities funded with such amounts complies with enhanced energy efficiency standards; and
(2) to establish incentives to encourage each such organization to provide that any such structure or building complies with enhanced energy efficiency standards.
SEC. 818. RURAL HOUSING AND ECONOMIC DEVELOPMENT ASSISTANCE.
The Secretary shall--
(1) encourage each tribe, agency, organization, corporation, and other entity that receives any assistance from the Office of Rural Housing and Economic Development of the Department of Housing and Urban Development to provide that any structure or building developed or assisted under activities funded with such amounts complies with minimum energy efficiency standards; and
(2) establish incentives to encourage each such tribe, agency, organization, corporation, and other entity to provide that any such structure or building comply with enhanced energy efficiency standards.
SEC. 819. REVOLVING FUND FOR LOANS TO STATES AND INDIAN TRIBES TO CARRY OUT RENEWABLE ENERGY SOURCES ACTIVITIES.
(a) Establishment of Fund.--There is established in the Treasury of the United States a revolving fund, to be known as the "Alternative Energy Sources State Revolving Fund".
(b) Credits.--The Fund shall be credited with--
(1) any amounts appropriated to the Fund pursuant to subsection (g);
(2) any amounts of principal and interest from loan repayments received by the Secretary pursuant to subsection (d)(7); and
(3) any interest earned on investments of amounts in the Fund pursuant to subsection (e).
(c) Expenditures.--
(1) IN GENERAL.--Subject to paragraph (2), on request by the Secretary, the Secretary of the Treasury shall transfer from the Fund to the Secretary such amounts as the Secretary determines are necessary to provide loans under subsection (d)(1).
(2) ADMINISTRATIVE EXPENSES.--Of the amounts in the Fund, not more than 5 percent shall be available for each fiscal year to pay the administrative expenses of the Department of Housing and Urban Development to carry out this section.
(d) Loans to States and Indian Tribes.--
(1) IN GENERAL.--The Secretary shall use amounts in the Fund to provide loans to States and Indian tribes to provide incentives to owners of single family and multifamily housing, commercial properties, and public buildings to provide--
(A) renewable energy sources for such structures, such as wind, wave, solar, biomass, or geothermal energy sources, including incentives to companies and businesses to change their source of energy to such renewable energy sources and for changing the sources of energy for public buildings to such renewable energy sources;
(B) energy efficiency and energy conserving improvements and features for such structures; or
(C) infrastructure related to the delivery of electricity and hot water for structures lacking such amenities.
(2) ELIGIBILITY.--To be eligible to receive a loan under this subsection, a State or Indian tribe, directly or through an appropriate State or tribal agency, shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.
(3) CRITERIA FOR APPROVAL.--The Secretary may approve an application of a State or Indian tribe under paragraph (2) only if the Secretary determines that the State or tribe will use the funds from the loan under this subsection to carry out a program to provide incentives described in paragraph (1) that--
(A) requires that any such renewable energy sources, and energy efficiency and energy conserving improvements and features, developed pursuant to assistance under the program result in compliance of the structure so improved with minimum energy efficiency standards; and
(B) includes such compliance and audit requirements as the Secretary determines are necessary to ensure that the program is operated in a sound and effective manner.
(4) PREFERENCE.--In making loans during each fiscal year, the Secretary shall give preference to States and Indian tribes that have not previously received a loan under this subsection.
(5) MAXIMUM AMOUNT.--The aggregate outstanding principal amount from loans under this subsection to any single State or Indian tribe may not exceed $500,000,000.
(6) LOAN TERMS.--Each loan under this subsection shall have a term to maturity of not more than 10 years and shall bear interest at an annual rate, determined by the Secretary, that shall not exceed the interest rate charged by the Federal Reserve Bank of New York to commercial banks and other depository institutions for very short-term loans under the primary credit program, as most recently published in the Federal Reserve Statistical Release on selected interest rates (daily or weekly),
and commonly referred to as the H.15 release, preceding the date of a determination for purposes of applying this paragraph.
(7) LOAN REPAYMENT.--The Secretary shall require full repayment of each loan made under this section.
(e) Investment of Amounts.--
(1) IN GENERAL.--The Secretary of the Treasury shall invest such amounts in the Fund that are not, in the judgment of the Secretary of the Treasury, required to meet needs for current withdrawals.
(2) OBLIGATIONS OF UNITED STATES.--Investments may be made only in interest-bearing obligations of the United States.
(f) Reports.--
(1) REPORTS TO SECRETARY.--For each year during the term of a loan made under subsection (d), the State or Indian tribe that received the loan shall submit to the Secretary a report describing the State or tribal alternative energy sources program for which the loan was made and the activities conducted under the program using the loan funds during that year.
(2) REPORT TO CONGRESS.--Not later than September 30 of each year that loans made under subsection (d) are outstanding, the Secretary shall submit a report to Congress describing the total amount of such loans provided under subsection (d) to each eligible State and Indian tribe during the fiscal year ending on such date, and an evaluation on effectiveness of the Fund.
(g) Authorization of Appropriations.--There is authorized to be appropriated to the Fund $5,000,000,000.
(h) Definitions.--In this section, the following definitions shall apply:
(1) INDIAN TRIBE.--The term "Indian tribe" has the meaning given such term in section 4 of the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4103).
(2) STATE.--The term "State" means each of the several States, the Commonwealth of Puerto Rico, the District of Columbia, the Commonwealth of the Northern Mariana Islands, Guam, the Virgin Islands, American Samoa, the Trust Territories of the Pacific, or any other possession of the United States.
SEC. 820. COMPETITIVE GRANT PROGRAM TO INCREASE SUSTAINABLE LOW-INCOME COMMUNITY DEVELOPMENT CAPACITY.
(a) Definitions.--In this section:
(1) ELIGIBLE COMMUNITY DEVELOPMENT ORGANIZATION.--The term "eligible community development organization" means--
(A) a unit of general local government, as that term is defined in section 104 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12704));
(B) a community housing development organization, as that term is defined in section 104 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12704));
(C) an Indian tribe or tribally designated housing entity, as those terms are defined in section 4 of the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4103)); and
(D) a public housing agency, as that term is defined in section 3(b) of the United States Housing Act of 1937 (42 U.S.C. 1437(b)).
(2) LOW-INCOME COMMUNITY.--The term "low-income community" means a census tract in which 50 percent or more of the households have an annual income that is less than 80 percent of the greater of--
(A) the median gross income for that year for the area in which the census tract is located; or
(B) the median gross income for that year for the State in which the census tract is located.
(3) NONPROFIT ORGANIZATION.--The term "nonprofit organization" has the same meaning as in section 104 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12704).
(b) Program Established.--The Secretary shall establish a competitive grant program to make grants to nonprofit organizations to--
(1) carry out a project described in subsection (c);
(2) train, educate, support, or advise an eligible community development organization that carries out a project described in subsection (c);
(3) provide planning and design assistance to eligible community development organizations;
(4) make loans or grants to eligible community development organizations; or
(5) carry out other activities consistent with this section, as the Secretary determines appropriate.
(c) Projects.--The projects described in this subsection are projects--
(1) that take into consideration minimum energy efficiency standards, enhanced energy efficiency standards, and green building standards; and
(2) that--
(A) improve the energy efficiency of residential and nonresidential structures;
(B) promote resource conservation and reuse;
(C) include design strategies to maximize the energy efficiency of residential and nonresidential structures;
(D) install or construct renewable energy improvements for residential and nonresidential structures, including wind, wave, solar, biomass, and geothermal energy sources; or
(E) promote the effective use of existing infrastructure in affordable housing and economic development activities in low-income communities.
(d) Priority.--In making grants under this section, the Secretary shall give priority to activities that will result in compliance with minimum energy efficiency standards, enhanced energy efficiency standards, and green building standards.
(e) Application.--A nonprofit organization that desires a grant under this section shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.
(f) Award of Contracts.--Any contract for architectural or engineering services that is funded with amounts from grants made under this section shall be awarded in accordance with chapter 11 of title 40, United States Code (relating to selection of architects and engineers).
(g) Federal Share.--
(1) AMOUNT OF FEDERAL SHARE.--The Federal share of the cost of a project under this section may not exceed 50 percent.
(2) FORM OF NON-FEDERAL SHARE.--The non-Federal share of the cost of a project under this section may be in cash or in-kind.
(h) Authorization of Appropriations.--There are authorized to be appropriated to the Secretary such sums as may be necessary to carry out this section.
SEC. 821. INSURANCE COVERAGE FOR LOANS FOR FINANCING OF RENEWABLE ENERGY SYSTEMS LEASED FOR RESIDENTIAL USE.
(a) Purposes.--The purposes of this section are--
(1) to encourage residential use of renewable energy systems by minimizing upfront costs and providing immediate utility cost savings to consumers through leasing of such systems to homeowners;
(2) to reduce carbon emissions and the use of nonrenewable resources;
(3) to encourage energy efficient residential construction and rehabilitation;
(4) to encourage the use of renewable resources by homeowners;
(5) to minimize the impact of development on the environment;
(6) to reduce consumer utility costs; and
(7) to encourage private investment in the green economy.
(b) Definitions.--As used in this section, the following definitions shall apply:
(1) AUTHORIZED RENEWABLE ENERGY LENDER.--The term "authorized renewable energy lender" means a lender authorized by the Secretary to make a loan under this section.
(2) RENEWABLE ENERGY SYSTEM LEASE.--The term "renewable system energy lease" means an agreement between an authorized renewable energy system owner and a homeowner for a term of not less than 5 years, pursuant to which the homeowner--
(A) grants an easement to such renewable energy system owner to install, maintain, use, and otherwise access the renewable energy system; and
(B) agrees to--
(i) lease the use of such system from such renewable energy system owner; or
(ii) purchase electric power from such renewable energy system owner.
(3) RENEWABLE ENERGY MANUFACTURER.--The term "renewable energy manufacturer" means a manufacturer of renewable energy systems.
(4) RENEWABLE ENERGY SYSTEM OWNER.--The term "renewable energy system owner" means a homebuilder, a manufacturer or installer of a renewable energy system, or any other person, as determined by the Secretary.
(5) RENEWABLE ENERGY SYSTEM.--The term "renewable energy system" means a system of energy derived from--
(A) a wind, solar (including photovoltaic and solar thermal), biomass (including biodiesel), or geothermal source; or
(B) hydrogen derived from biomass or water using an energy source described in subparagraph (A).
(c) Authority.--
(1) IN GENERAL.--The Secretary may, upon application by an authorized renewable energy system owner, insure or make a commitment to insure a loan made by an authorized renewable energy lender to a renewable energy system owner to finance the acquisition of a renewable energy system for lease to a homeowner for use at the residence of such homeowner.
(2) TERMS AND CONDITIONS.--The Secretary may prescribe such terms and conditions for insurance under paragraph (1) as are consistent with the purposes of this section.
(d) Limitation on Principal Amount.--
(1) LIMITATION.--The principal amount of a loan insured under this section shall not exceed the residual value of the renewable energy system to be acquired with the loan.
(2) RESIDUAL VALUE.--For purposes of this subsection--
(A) the residual value of a renewable energy system is the fair market value of the future revenue stream from the sale of the expected remaining electricity production from the system, pursuant to the easement granted in accordance with subsection (e); and
(B) the fair market value of the future revenue stream for each year of the remaining life of the renewable energy system shall be determined based on the net present value of the power output production warranty for such renewable energy system provided by the renewable energy manufacturer and the forecast of regional residential electricity prices made by the Energy Information Administration of the Department of Energy.
(e) Easement.--The Secretary may not insure a loan under this section unless the renewable energy system owner certifies, in accordance with such requirements as the Secretary shall establish, consistent with the purposes of this section, that the systems financed will be leased only to homeowners that grant easements to install, maintain, use, and otherwise access the system that include the right to sell electricity produced during the life of the renewable energy system to a wholesale
or retail electrical power grid.
(f) Discount or Prepayment.--To encourage the use of renewable energy systems, the Secretary shall ensure that a discount given to a homeowner by a renewable energy system owner or other investor or prepayment of a renewable energy system lease by a renewable energy system owner does not adversely affect the mortgage requirements of such homeowner.
(g) Eligibility of Lenders.--The Secretary may not insure a loan under this section unless the lender making the loan--
(1) is an institution that--
(A) qualifies as a green banking center under section 8(x) of the Federal Deposit Insurance Act (12 U.S.C. 1818(x)) or section 206(x) of the Federal Credit Union Act (12 U.S.C. 1786(x)); or
(B) meets such other requirements as the Secretary shall establish for participation of renewable energy lenders in the program under this section; and
(2) meets such qualifications as the Secretary shall establish for all lenders for participation in the program under this section.
(h) Certificate of Insurance.--
(1) IN GENERAL.--The Secretary shall issue to a lender that is insured under this section a certificate that serves as evidence of insurance coverage under this section.
(2) CONTENTS OF CERTIFICATE.--The certificate required under paragraph (1) shall set forth the fair market value of the future revenue stream for each year of the remaining life of the renewable energy system.
(3) FULL FAITH AND CREDIT.--The certificate required under paragraph (1) shall be backed by the full faith and credit of the United States.
(i) Payment of Insurance Claim.--
(1) FILING OF CLAIM.--The Secretary shall provide for the filing of claims for insurance under this section and the payment of such claims.
(2) PAYMENT OF CLAIM.--A claim under paragraph (1) may be paid only upon a default under the loan insured under this section and the assignment, transfer, and delivery to the Secretary of--
(A) all rights and interests arising under the loan; and
(B) all claims of the lender or the assigns of the lender against the borrower or others arising under the loan transaction.
(3) LIEN.--
(A) IN GENERAL.--Upon payment of a claim for insurance of a loan under this section, the Secretary shall hold a lien on the underlying renewable energy system assets and any associated revenue stream from the use of such system, which shall be superior to all other liens on such assets.
(B) RESIDUAL VALUE.--The residual value of such renewable energy system and the revenue stream from the use of such system shall be not less than the unpaid balance of the loan amount covered by the certificate of insurance.
(C) REVENUE FROM SALE.--The Secretary shall be entitled to any revenue generated by such renewable energy system from selling electricity to the grid when an insurance claim has been paid out.
(j) Assignment and Transferability of Insurance.--A renewable energy system owner or an authorized renewable energy lender that is insured under this section may assign or transfer the insurance in whole or in part, to another owner or lender, subject to such requirements as the Secretary may prescribe.
(k) Premiums and Charges.--
(1) INSURANCE PREMIUMS.--
(A) IN GENERAL.--The Secretary shall fix and collect premiums for insurance of loans under this section, that shall be paid by the applicant renewable energy system owner at the time of issuance of the certificate of insurance to the lender and shall be adequate, in the determination of the Secretary, to cover the expenses and probable losses of administering the program under this section.
(B) DEPOSIT OF PREMIUM.--The Secretary shall deposit any premiums collected under this subsection in the Renewable Energy Lease Insurance Fund established under subsection (l).
(2) PROHIBITION ON OTHER CHARGES.--Except as provided in paragraph (1), the Secretary may not assess any other fee (including a user fee), insurance premium, or charge in connection with loan insurance provided under this section.
(l) Renewable Energy Lease Insurance Fund.--
(1) FUND ESTABLISHED.--There is established in the Treasury of the United States the Renewable Energy Lease Insurance Fund (referred to in this subsection as the "Fund"), which shall be available to the Secretary without fiscal year limitation, for the purpose of providing insurance under this section.
(2) CREDITS.--The Fund shall be credited with any premiums collected under subsection (k)(1), any amounts collected by the Secretary under subsection (i)(3), and any associated interest or earnings.
(3) AVAILABILITY.--Amounts in the Fund shall be available to the Secretary for fulfilling any obligations with respect to insurance for loans provided under this section and paying administrative expenses in connection with this section.
(4) EXCESS AMOUNTS.--The Secretary may invest in obligations of the United States any amounts in the Fund determined by the Secretary to be in excess of amounts required at the time of such determination to carry out this section.
(m) Regulations.--
(1) IN GENERAL.--The Secretary shall issue such regulations as may be necessary to carry out this section.
(2) TIMING.--Not later than 180 days after the date of enactment of this title, the Secretary shall issue interim or final regulations.
(n) Ineligibility for Purchase by Federal Financing Bank.--Notwithstanding any other provision of law, no debt obligation that is insured or committed to be insured by the Secretary under this section shall be subject to the Federal Financing Bank Act of 1973 (12 U.S.C. 2281 et seq.).
(o) Termination of Authority.--The authority of the Secretary to insure and make commitments to insure new loans under this title shall terminate 10 years after the date of enactment of this title.
SEC. 822. GREEN BANKING CENTERS.
(a) Insured Depository Institutions.--Section 8 of the Federal Deposit Insurance Act (12 U.S.C. 1818) is amended by adding at the end the following:
"(x) Green Banking Centers.--
"(1) IN GENERAL.--The Federal banking agencies shall prescribe guidelines encouraging the establishment and maintenance of green banking centers by insured depository institutions to provide any consumer who seeks information on obtaining a mortgage, home improvement loan, or home equity loan with additional information on--
"(A) obtaining a home energy rating or audit for the residence for which such mortgage or loan is sought;
"(B) obtaining financing for cost-effective energy-saving improvements to such property; and
"(C) obtaining beneficial terms for any mortgage or loan, or qualifying for a larger mortgage or loan, secured by a residence which meets or will meet energy efficiency standards.
"(2) INFORMATION AND REFERRALS.--The information made available to consumers under paragraph (1) may include--
"(A) information on obtaining a home energy rating and contact information on qualified energy raters in the area of the residence;
"(B) information on the secondary market guidelines that permit lenders to provide more favorable terms by allowing lenders to increase the ratio on debt-to-income requirements or to use the projected utility savings as a compensating factor;
"(C) information including eligibility information about, and contact information for, any conservation or renewable energy programs, grants, or loans offered by the Secretary of Housing and Urban Development, including the Energy Efficient Mortgage Program;
"(D) information including eligibility information about, and contact information for, any conservation or renewable energy programs, grants, or loans offered for qualified military personal, reservists, and veterans by the Secretary of Veterans Affairs;
"(E) information about, and contact information for, the Office of Efficiency and Renewable Energy at the Department of Energy, including the weatherization assistance program;
"(F) information about, and contact information for, the Energy Star Program of the Environmental Protection Agency;
"(G) information from, and contact information for, the Federal Citizen Information Center of the General Services Administration on energy efficient mortgages and loans, home energy rating systems, and the availability of energy efficient mortgage information from a variety of Federal agencies; and
"(H) such other information as the agencies or the insured depository institution may determine to be appropriate or useful.".
(b) Insured Credit Unions.--Section 206 of the Federal Credit Union Act (12 U.S.C. 1786) is amended by adding at the end the following:
"(x) Green Banking Centers.--
"(1) IN GENERAL.--The Board shall prescribe guidelines encouraging the establishment and maintenance of green banking centers by insured credit unions to provide any member who seeks information on obtaining a mortgage, home improvement loan, or home equity loan with additional information on--
"(A) obtaining a home energy rating or audit for the residence for which such mortgage or loan is sought;
"(B) obtaining financing for cost-effective energy-saving improvements to such property; and
"(C) obtaining beneficial terms for any mortgage or loan, or qualifying for a larger mortgage or loan, secured by a residence which meets or will meet energy efficiency standards.
"(2) INFORMATION AND REFERRALS.--The information made available to members under paragraph (1) may include--
"(A) information on obtaining a home energy rating and contact information on qualified energy raters in the area of the residence;
"(B) information on the secondary market guidelines that permit lenders to provide more favorable terms by allowing lenders to increase the ratio on debt-to-income requirements or to use the projected utility savings as a compensating factor;
"(C) information including eligibility information about, and contact information for, any conservation or renewable energy programs, grants, or loans offered by the Secretary of Housing and Urban Development, including the Energy Efficient Mortgage Program;
"(D) information including eligibility information about, and contact information for, any conservation or renewable energy programs, grants, or loans offered for qualified military personnel, reservists, and veterans by the Secretary of Veterans Affairs;
"(E) information about, and contact information for, the Office of Efficiency and Renewable Energy at the Department of Energy, including the weatherization assistance program;
"(F) information from, and contact information for, the Federal Citizen Information Center of the General Services Administration on energy efficient mortgages and loans, home energy rating systems, and the availability of energy efficient mortgage information from a variety of Federal agencies;
"(G) information about incentives or financial products that are available for projects that are consistent with or certified under minimum energy efficiency standards, enhanced efficiency standards, or green building standards, as those terms are defined in section 803 of the Energy Efficiency in Housing Act of 2010; and
"(H) such other information as the Board or the insured credit union may determine to be appropriate or useful.".
SEC. 823. GAO REPORTS ON AVAILABILITY OF AFFORDABLE MORTGAGES.
(a) Study.--The Comptroller General of the United States shall periodically, as necessary to comply with subsection (b), examine the impact of this title and the amendments made by this title on the availability of affordable mortgages in various areas throughout the United States, including cities having older infrastructure and limited space for the development of new housing.
(b) Triennial Reports.--
(1) REPORT REQUIRED.--The Comptroller General shall submit a report once every 3 years to the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives.
(2) CONTENTS OF REPORT.--The report under paragraph (1) shall include--
(A) a detailed statement of the most recent findings pursuant to subsection (a); and
(B) if the Comptroller General finds that this title or the amendments made by this title have directly or indirectly resulted in consequences that limit the availability or affordability of mortgages in any area or areas within the United States, including any city having older infrastructure and limited space for the development of new housing, any recommendations for any additional actions at the Federal, State, or local levels that the Comptroller General considers necessary or appropriate
to mitigate such effects.
(3) TIMING.--The first report under paragraph (1) shall be submitted not later than 3 years after the date of enactment of this title.
SEC. 824. PUBLIC HOUSING ENERGY COST REPORT.
(a) Collection of Information by HUD.--
(1) IN GENERAL.--The Secretary shall obtain from each public housing agency, at such time as may be necessary to comply with the reporting requirement under subsection (b), information regarding the energy costs for public housing administered or operated by the agency.
(2) TYPE OF INFORMATION.--For each public housing agency, such information shall include the monthly energy costs associated with each separate building and development of the agency, for the most recently completed 12-month period for which such information is available, and such other information as the Secretary determines is appropriate in determining which public housing buildings and developments are most in need of repairs and improvements to reduce energy needs and costs and become
more energy efficient.
(b) Report.--Not later than 12 months after the date of enactment of this title, the Secretary shall submit to Congress a report setting forth the information collected pursuant to subsection (a).


(As printed in the Congressional Record for the Senate on Mar 2, 2010.)