Energy

This bill requires the EPA to adjust emissions calculations so that flexible fuel vehicles (FFVs) using E85 ethanol count as having 31% lower carbon emissions per mile compared to standard gasoline vehicles. It directly affects automakers who must meet fleet-wide CO2 emissions standards under current regulations. The change would allow manufacturers to use a reduced CO2 value for FFVs in their emissions calculations, based on EPA's assessment that E85 reduces emissions by 37% compared to gasoline. This adjustment applies to how the EPA determines compliance for FFVs under existing Clean Air Act standards.

This bill allows hydropower project license holders to request up to 6 additional years to begin construction on projects that received licenses before March 13, 2020. The Federal Energy Regulatory Commission (FERC) may grant extensions in two-year increments, but the total extension cannot exceed six years. For licenses expiring after December 31, 2023, FERC can reinstate them to immediately apply the extension.

HR 7282, the FRAMER Act, requires states to reimburse builders for the cost difference between their own energy efficiency standards and the Department of Housing and Urban Development’s (HUD) minimum standard for new homes built in Opportunity Zones. It directly affects residential builders in Opportunity Zones (designated tax-advantaged areas) by providing payments for exceeding HUD’s baseline energy requirements. The bill mandates that builders disclose to homebuyers the cost difference covered by the reimbursement and any price reduction tied to the payment. The program expires after 7 years, and the government must report annually on reimbursement amounts and cost differences across states and localities.

# Summary of Proposed Tax Code Amendment This document is a comprehensive proposal for tax code amendments, primarily focused on extending, modifying, and creating new tax credits related to clean energy, energy efficiency, and environmental initiatives. The key components include: ## Housing and Residential Credits - **First-Time Homebuyer Tax Credit**: A refundable credit for first-time homebuyers (Section 13001) - **Renter Tax Credit**: A refundable credit for renters paying more than 30% of their adjusted gross income in rent (Section 13002) ## Clean Energy Credits (Sections 21001-21007) - Extended clean energy production credit with a new phase-out date (2032 or when greenhouse gas emissions reach 25% of 2022 levels) - Extended clean electricity investment credit for wind and solar facilities - Restored credit for wind and solar leasing arrangements - Extended clean hydrogen production credit (construction date reverted to 2033) - Extended residential clean energy credit (termination date moved to 2034) - Reinstated special rate for sustainable aviation fuel (35 cents/ gallon for certain facilities) ## Energy Efficiency Credits (Sections 22001-22004) - Restored product identification number requirement for energy-efficient home improvements - Extended new energy efficient home credit (acquisition date moved to 2032) - Repealed termination of new energy efficient commercial buildings deduction - Restored cost recovery for energy property ## Electric Vehicle and Charging Infrastructure Credits (Sections 23001-23005) - Extended previously-owned vehicle credit (acquisition date moved to 2032) - Extended clean vehicle credit (placement in service date moved to 2032) - Extended commercial clean vehicles credit (termination date moved to 2032) - Extended alternative fuel vehicle refueling property credit (termination date moved to 2032) - Created a new credit for electric bicycles (30% of cost, up to $5,000 per bicycle) ## Clean Infrastructure and Resiliency Credits (Sections 24001-24007) - Created qualifying water reuse project credit (30% of qualified investment) - Created recycling property investment credit (30% of qualified investment with phase-out) - Excluded amounts received from State-based catastrophe loss mitigation programs from gross income - Expanded exclusion for certain emergency agricultural assistance - Created credit for disaster mitigation expenditures (30% of qualifying mitigation activities) - Created qualifying electric power transmission line credit (30% of qualified investment) - Created qualifying advanced battery project credit (30% of qualified investment with $3 billion cap) The proposed amendments generally extend existing credits through 2032-2037, with some credits having phase-out schedules and others having specific termination dates. The document also includes numerous conforming amendments to other sections of the tax code to accommodate these changes.

The GREEN Streets Act (HR 5465) requires states and metropolitan planning organizations to establish and meet new performance targets for reducing greenhouse gas emissions and decreasing vehicle miles traveled on public roads. It mandates that states analyze projects increasing traffic capacity for environmental justice impacts and requires states that miss emissions targets to dedicate specific portions of federal transportation funds to projects like transit expansion, active transportation infrastructure, and transit-oriented development. The bill establishes new definitions for transit accessibility, mode share, and stop distance, and requires covered entities (metropolitan areas with populations over 250,000) to report on progress toward these targets. The legislation aims to shift transportation planning toward more sustainable, equitable, and low-emission infrastructure.

The Biomanufacturing and Jobs Act of 2025 aims to strengthen the U.S. biobased products industry by increasing federal procurement of products made from renewable agricultural resources like corn and soybeans. It establishes new definitions for biobased terms, creates a Biobased Task Force within the Department of Agriculture to coordinate research and promotion, and requires federal agencies to update procurement systems to identify biobased products and train staff on their purchase. The bill mandates annual reporting on procurement progress, creates a labeling system for biobased products, and requires the Department of Agriculture to conduct public education on biobased products. This legislation directly affects farmers, biobased manufacturers, and federal procurement agencies, with the goal of supporting rural economic development.

HR 4489, the Sunshine on Solar Lending Act, requires creditors offering loans for solar energy systems (like panels, batteries, or EV chargers) to clearly disclose all fees to consumers in writing. It mandates that lenders show every fee charged to third parties (such as installers), compare the financed loan amount to the total cash price of the system, and ban forced arbitration for disputes. This directly affects homeowners seeking solar financing, solar installers, and the lenders providing these loans. The bill aims to prevent hidden costs and ensure transparency in solar financing transactions under existing Truth in Lending Act rules.

HR 2517, the Community Wood Facilities Assistance Act of 2025, amends two existing federal grant programs to expand support for forest product manufacturing facilities. It increases annual funding from $25 million to $50 million (for fiscal years 2026-2030), raises the maximum grant per project from $1.5 million to $5 million, and requires projects to generate at least 50% of their energy from forest biomass (up from 25%). The bill directly affects rural communities and forest product manufacturers by providing grants for constructing, using, or retrofitting facilities that process forest biomass into products. Key changes include expanding eligibility beyond "wood innovation" to focus on "forest products manufacturing" and increasing thermal energy requirements for eligible projects.

HR 6917 transfers approximately 3,156 acres of Bureau of Land Management land into federal trust for the Las Vegas Tribe of Paiute Indians, adding it to their reservation. The bill requires a boundary survey within 180 days and mandates a 300-foot renewable energy transmission corridor for a utility company, while prohibiting Class II and III gaming on the land. It also clarifies that the Tribe retains state water rights and does not affect existing water rights or a 2021 intergovernmental agreement with Las Vegas City. This law directly affects the Tribe by expanding their land base under federal trust management.

The Climate Justice Grants Act establishes a federal program to provide grants of up to $2 million to Tribal governments, local governments, and community nonprofits. These grants fund locally driven projects addressing climate justice in environmental justice communities - defined as communities of color, indigenous groups, or low-income areas disproportionately impacted by pollution. Projects must focus on culturally appropriate solutions like community solar, energy efficiency, weatherization, natural infrastructure, and climate resilience planning, with applicants required to demonstrate community involvement and long-term sustainability. The program requires annual reports to Congress and the public, with $1 billion authorized annually from 2026-2035, excluding administrative costs.