GovTrack’s Bill Summary
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Library of Congress Summary
The summary below was written by the Congressional Research Service, which is a nonpartisan division of the Library of Congress.
Prohibits the Secretary of Energy (DOE) from issuing any new loan guarantee of an innovative energy project under title XVII (Incentives for Innovative Technologies) of the Energy Policy Act of 2005 for any application submitted to DOE after December 31, 2011.
Prohibits a loan guarantee for any application pending before that date until the Secretary of the Treasury furnishes, within 30 days after receiving the guarantee proposal from DOE, a written analysis of the its financial terms and conditions.
Requires DOE, before making such a guarantee, to take the written analysis into consideration.
Requires DOE also, if it makes a guarantee inconsistent with that written analysis, to give certain congressional committees, within 30 days after making the guarantee, a written explanation of any material inconsistencies.
Requires DOE, within 60 days after making a loan guarantee on a pending application, to report to specified congressional committees on:
(1) the review and decisionmaking process used in making the guarantee;
(2) the terms of the guarantee; and
(3) the recipient, the technology, and project for which the loan guarantee will be used.
Directs the Secretary to consult with the Secretary of the Treasury regarding any restructuring of the terms and conditions of an innovative energy project loan guarantee, including any deviations from the financial terms of the guarantee.
Revises the condition on the loan guarantee that the obligation shall not be subordinate to any other financing for the project. Prohibits likewise subordination to other financing of any reorganization, restructuring, or termination of the obligation.
Subjects to certain administrative actions and civil penalties any federal official responsible for the issuance of an innovative energy project loan guarantee in violation of either the requirements of this Act or of title XVII of the Energy Policy Act of 2005.
Specifies such sanctions as:
(1) administrative discipline including, when circumstances warrant, suspension from duty without pay or removal from office; and
(2) personal liability for a civil penalty of between $10,000 and $50,000 for each violation.
Directs the Comptroller General to study federal subsidies in energy markets from FY2003-FY2012, with particular focus upon subsidies supporting:
(1) electricity production, transmission, and consumption;
(2) transportation fuels and infrastructure;
(3) energy-related research and development; and
(4) facilities that manufacture energy-related components.
Requires the report to Congress on such study to identify and quantify:
(1) costs to the U.S. Treasury;
(2) impacts on U.S. energy security, electricity and transportation fuel prices, and private energy-related industries not benefitting from federal subsidies in energy markets;
(3) federal subsidies in energy markets provided to foreign persons or corporations; and
(4) subsidies and direct financial interest any of the 15 foreign countries with the largest gross domestic product (GDP) are providing to support energy markets in their respective countries.
House Republican Conference Summary
The summary below was written by the House Republican Conference, which is the caucus of Republicans in the House of Representatives.
This summary can be found at http://www.gop.gov/bill/112/2/hr6213.
The Committee on Energy and Commerce conducted extensive oversight investigations of the failed Solyndra loan, and uncovered a series of wrongdoings by the Obama administration in its management of the loan guarantee program. H.R. 6213 would effectively terminate the administration’s loan guarantee program by prohibiting the Department of Energy from issuing any loan guarantees for applications submitted after December 31, 2011. The legislation will also provide taxpayers with new protections for already pending participants, including increased due diligence, new transparency requirements, and the prohibition of taxpayer subordination.
House Republicans understand that the Nation would benefit from an all-of-the-above energy policy that includes alternative as well as conventional energy sources. Increasingly it has become clear that the energy mix will change over time to take advantage of new technological breakthroughs. However, according to the Committee on Energy and Commerce, there “is a right way and a wrong way to diversify the Nation's energy supply, and heavy-handed government attempts to pick winners and losers have a long and unsuccessful history.”
House Report 112-652 states, “Nonetheless, this was the approach taken by the Obama Administration in the 2009 stimulus package, which allocated $90 billion dollars for the so-called green energy economy. The results of the stimulus spending are largely in, and they are no better than Washington's past efforts to spur energy innovation and jobs by favoring specific companies and technologies. Particularly disappointing is the Administration's record on the loan guarantee program established under Title 17 of the Energy Policy Act of 2005.”
Additional resources related to Solynda and the “No More Solyndras Act” can be found here.
H.R. 6213 would accomplish the following:
- H.R. 6213 would phase out the Department of Energy’s (DOE) loan guarantee program under Title XVII of the Energy Policy Act of 2005 (Incentives for Innovative Technologies) by prohibiting DOE from issuing any loan guarantees under Title XVII for applications submitted after December 31, 2011;
- Applicants and projects that are already pending in the queue and/or have received conditional commitments but have not yet been issued a loan guarantee would be grandfather into a new approval process;
- Under the new approval process, the bill would prohibit any pending applications from being guaranteed until the Secretary of Treasury has made a written recommendation to DOE on the merits of the guarantee within 30 days of receiving a loan proposal;
- The bill would require DOE to provide a detailed explanation to Congress if a loan is guaranteed and does not conform to a Treasury recommendation;
- The bill would require DOE to provide a report to Congress detailing the following information for any new guarantees issued to an existing applicant: (1) the review and decision-making process utilized by DOE in issuing the guarantee; (2) the terms of the guarantee; (3) the recipient; and (4) the technology and project; and
- The bill would prohibit DOE from restructuring the terms of any guarantee unless they first consult with Treasury.
- The bill would provide civil penalties for any federal official who issues a loan guarantee in contravention of this legislation.
- The bill would require the Comptroller General to conduct a study of the Federal subsidies in energy markets provided from fiscal year 2003 through fiscal year 2012.
According to the Congressional Budget Office (CBO), CBO estimates that implementing H.R. 6213 would cost about $1 million over the 2013-2017 period, assuming appropriation of the necessary amounts. Pay-as-you-go procedures would apply to this legislation because it would affect direct spending and revenues. CBO estimates, however, that those impacts would be insignificant over the 2013-2022 period.
House Democratic Caucus Summary
The House Democratic Caucus does not provide summaries of bills.
So, yes, we display the House Republican Conference’s summaries when available even if we do not have a Democratic summary available. That’s because we feel it is better to give you as much information as possible, even if we cannot provide every viewpoint.
We’ll be looking for a source of summaries from the other side in the meanwhile.