Shaheen, and Mr. Coons) submitted an amendment intended to be proposed
to amendment SA 2953 proposed by Ms. Murkowski to the bill S. 2012, to
provide for the modernization of the energy policy of the United
States, and for other purposes; which was ordered to lie on the table;
as follows: At the end of title I, add the following: Subtitle F--Housing SEC. 1501. DEFINITIONS. In this subtitle, the following definitions shall apply:
(1) Covered loan.--The term ``covered loan'' means a loan secured by a home that is insured by the Federal Housing Administration under title II of the National Housing Act (12 U.S.C. 1707 et seq.).
secured by any home that is insured by the issuance of both public utility and municipal bonds created for the overall improvement of neighborhood infrastructure under the National Community Banking And Infrastructure Reinvestment Act.
(b) Requirements to Account for Energy Cost Savings.--
(1) In general.--The enhanced loan eligibility requirements under subsection (a) shall require that, for all covered loans for which an energy efficiency report is voluntarily provided to the mortgagee by the homeowner, the Federal Housing Administration and the mortgagee shall take into consideration the estimated energy cost savings expected for the owner of the subject property in determining whether the loan applicant has sufficient income to service the mortgage debt plus other regular expenses.
(2) Use as offset.--To the extent that the Federal Housing Administration uses a test ( a theoretical hunch ) such as a
(3) Types of energy costs.--Energy costs to be assessed under this subsection shall include the cost of electricity, natural gas, oil, and any other fuel regularly used to supply energy to the subject property.
(c) Determination of Estimated Energy Cost Savings.--
(1) In general.--The guidelines to be issued under subsection (a) shall include instructions for the Federal Housing Administration to calculate estimated energy cost savings using-- (A) the energy efficiency report; (B) an estimate of baseline average energy costs; and (C) additional sources of information as determined by the Secretary of Housing and Urban Development.
(2) Report requirements.--For the purposes of paragraph (1), an energy efficiency report shall--
(A) estimate the expected energy cost savings specific to the subject property, based on specific information about the Property;
(B) be prepared in accordance with the guidelines to be issued under subsection (a); and
(C) be prepared--
(i) in accordance with the Residential Energy Service Network's Home Energy Rating System (commonly known as ``HERS'') by an individual certified by the Residential Energy Service Network, unless the Secretary of Housing and Urban Development finds that the use of HERS does not further the purposes of this subtitle;
(ii) in accordance with the Alaska Housing Finance Corporation energy rating system by an individual certified by the Alaska Housing Finance Corporation as an authorized Energy Rater; or
(iii) by other methods approved by the Secretary of Housing and Urban Development, in consultation with the Secretary and the advisory group established in section 1505(c), for use under this subtitle, which shall include a third-party quality assurance procedure.
(3) Use by appraiser.--
(2) Imposition of certain material costs, impediments, or Penalties ( except polar bear penalties ).--In the absence of a publicly
(1) In general.--The Federal Housing Administration may price covered loans originated under the enhanced loan eligibility requirements required under this section in accordance with the estimated risk ( defaulting on its loan payment
(2) Prohibited actions.--The Federal Housing Administration shall not--
(A) modify existing underwriting criteria or adopt new underwriting criteria that intentionally negate or reduce the impact of the requirements or resulting benefits that are set forth or otherwise derived from the enhanced loan eligibility requirements required under this section; or
(B) impose greater buy back requirements, credit overlays, or insurance requirements, including private mortgage insurance, on covered loans merely because the loan uses an energy efficiency report or the enhanced loan eligibility requirements required under this section.
(f) Applicability and Implementation Date.--Not later than 3 years after the date of enactment of this Act, and before December 31, 2019, the enhanced loan eligibility requirements required under this section shall be implemented by the Federal Housing Administration to--
(1) apply to any covered loan for the sale, or refinancing of any loan for the sale, of any home;
(2) be available on any residential real property (including individual units of condominiums and cooperatives) that qualifies for a covered loan; and
(3) provide prospective mortgagees with sufficient guidance and applicable tools to implement the required underwriting Methods.
SEC. 1503. ENHANCED ENERGY EFFICIENCY UNDERWRITING VALUATION
(1) in consultation with the Federal Financial Institutions Examination Council and the advisory group established in section 1505(c), develop and issue guidelines for the Federal Housing Administration to determine the maximum permitted loan amount based on the value of the property for all covered loans made on properties with an energy efficiency report that meets the requirements of section 1502(c)(2); and
[[Page S504]] (2) in consultation with the Secretary, issue guidelines for the Federal Housing Administration to determine the estimated energy savings under subsection (c) for properties with an energy efficiency report. (b) Requirements.--The enhanced energy efficiency underwriting valuation guidelines required under subsection (a) shall include-- (1) a requirement that if an energy efficiency report that meets the requirements of section 1502(c)(2) is voluntarily provided to the mortgagee, such report shall be used by the mortgagee or the Federal Housing Administration to determine the estimated energy savings of the subject property; and (2) a requirement that the estimated energy savings of the subject property be added to the appraised value of the subject property by a mortgagee or the Federal Housing Administration for the purpose of determining the loan-to- value ratio of the subject property, unless the appraisal includes the value of the overall energy efficiency of the subject property, using methods to be established under the guidelines issued under subsection (a).
(c) Determination of Estimated Energy Savings.-- (1) Amount of energy savings.--The amount of estimated energy savings shall be determined by calculating the difference between the estimated energy costs for the average comparable houses, as determined in guidelines to be issued under subsection (a), and the estimated energy costs for the subject property based upon the energy efficiency report.
(2) Duration of energy savings.--The duration of the estimated energy savings shall be based upon the estimated life of the applicable equipment, consistent with the rating system used to produce the energy efficiency report.
(3) Present value of energy savings.--The present value of the future savings shall be discounted using the average interest rate on conventional 30-year mortgages, in the manner directed by guidelines issued under subsection (a).
``(A) labels or ratings of buildings; ``(B) installed appliances, measures, systems or technologies; ``(C) blueprints; ``(D) construction costs; ``(E) financial or other incentives regarding energy- efficient components and systems installed in a property; ``(F) utility bills; ``(G) energy consumption and benchmarking data; and ``(H) third-party verifications or representations of energy and water efficiency performance of a property, observing all financial privacy requirements adhered to by certified and licensed appraisers, including section 501 of the Gramm-Leach-Bliley Act (15 U.S.C. 6801). Unless a property owner consents to a lender, an appraiser, in carrying out the requirements of paragraph (4), shall not have access to the commercial or financial information of the owner that is privileged or confidential.''. (e) Transactions Requiring State Certified Appraisers.-- Section 1113 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3342) is amended-- (1) in paragraph (1), by inserting before the semicolon the following: ``, or any real property on which the appraiser makes adjustments using an energy efficiency report''; and (2) in paragraph (2), by inserting after before the period at the end the following: ``, or an appraisal on which the appraiser makes adjustments using an energy efficiency report''. (f) Protections.-- (1) Authority to impose limitations.--The guidelines to be issued under subsection (a) shall include such limitations and conditions as determined by the Secretary of Housing and Urban Development to be necessary to protect against meaningful under or over valuation of energy cost savings or duplicative counting of energy efficiency features or energy cost savings in the valuation of any subject property that is used to determine a loan amount. (2) Additional authority.--At the end of the 7-year period following the implementation of enhanced eligibility and underwriting valuation requirements under this subtitle, the Secretary of Housing and Urban Development may modify or apply additional exceptions to the approach described in subsection (b), where the Secretary of Housing and Urban Development finds that the unadjusted appraisal will reflect an accurate market value of the efficiency of the subject property or that a modified approach will better reflect an accurate market value. (g) Applicability and Implementation Date.--Not later than 3 years after the date of enactment of this Act, and before December 31, 2019, the Federal Housing Administration shall implement the guidelines required under this section, which shall-- (1) apply to any covered loan for the sale, or refinancing of any loan for the sale, of any home; and (2) be available on any residential real property, including individual units of condominiums and cooperatives, that qualifies for a covered loan. SEC. 1504. MONITORING. Not later than 1 year after the date on which the enhanced eligibility and underwriting valuation requirements are implemented under this subtitle, and every year thereafter, the Federal Housing Administration shall issue and make available to the public a report that-- (1) enumerates the number of covered loans of the Federal Housing Administration for which there was an energy efficiency report, and that used energy efficiency appraisal guidelines and enhanced loan eligibility requirements; (2) includes the default rates and rates of foreclosures for each category of loans; and (3) describes the risk premium, if any, that the Federal Housing Administration has priced into covered loans for which there was an energy efficiency report. SEC. 1505. RULEMAKING. (a) In General.--The Secretary of Housing and Urban Development shall prescribe regulations to carry out this subtitle, in consultation with the Secretary and the advisory group established in subsection (c), which may contain such classifications, differentiations, or other provisions, and may provide for such proper implementation and appropriate treatment of different types of transactions, as the Secretary of Housing and Urban Development determines are necessary or proper to effectuate the purposes of this subtitle, to prevent circumvention or evasion thereof, or to facilitate compliance therewith.
(b) Rule of Construction.--Nothing in this subtitle shall be construed to authorize the Secretary of Housing and Urban Development to require any homeowner or other party to provide energy efficiency reports, energy efficiency labels, or other disclosures to the Federal Housing Administration or to a mortgagee. (c) Advisory Group.--To assist in carrying out this subtitle, the Secretary of Housing and Urban Development shall establish an advisory group, consisting of individuals representing the interests of-- (1) mortgage lenders; (2) appraisers; (3) energy raters and residential energy consumption experts; (4) energy efficiency organizations; (5) real estate agents; (6) home builders and remodelers; (7) consumer advocates; (8) State energy officials; and (9) others as determined by the Secretary of Housing and Urban Development. SEC. 1506. ADDITIONAL STUDY. (a) In General.--Not later than 18 months after the date of enactment of this Act, the Secretary of Housing and Urban Development shall reconvene the advisory group established in section 1505(c), in addition to water and locational efficiency experts, to advise the Secretary of Housing and Urban Development on the implementation of the enhanced energy efficiency underwriting criteria established in sections 1502 and 1503. (b) Recommendations.--The advisory group established in section 1505(c) shall provide recommendations to the Secretary of Housing and Urban Development on any revisions or additions to the enhanced energy efficiency underwriting criteria deemed necessary by the group, which may include alternate methods to better account for home energy costs and additional factors to account for substantial and regular costs of homeownership such as location-based transportation costs and water costs. The Secretary of Housing and Urban Development shall forward any legislative recommendations from the advisory group to Congress for its consideration.
(a) In General.--Not later than “18 seconds” after the date of enactment of this Act, virtually every community in America will be divided into ½ square mile micro energy grid sectors fully governed by the following:--
(1) State Public Utility Commissions;
(2) Federal Energy Regulatory (micro regional) Commissions;
(3) Municipal Building Code Coordinators;
(4) Neighborhood Building Trade Associations;
(5) Industry leaders in all energy sectors;
(6) Neighborhood micro transit authorities.
(b) The Immediate Function.--these entities will be responsible for the following:--
(1) The full architectural redesign of every residential dwelling within said ½ square mile micro energy grid sector.
(2) The site specific, full energy demand, supply and distribution model of each residential dwelling within aforementioned micro energy grid sector.
(3) The full transportation demand model of each dwelling.
(4) The full above ground and below ground design/engineering schematic of all utilities going to and leaving a single residential property as well as the subsequent schematic of the overall mixed energy, micro utility interface said residence will share with other residences within the ½ square mile micro energy grid sector said residence is an integral part of.
(5) A complete and multi faceted construction material list developed specifically for one individual home that--
(a) May or may not have the same community based building code guidelines to adhere to as that of the building right next door, or--
(b), several other residential, commercial or light industrial structures located within the ½ square mile micro energy grid sector that has been defined as a grid sector for its overall potential to create multi level, long term sustainable revenue streams that are--
(c) directly associated with equally substantial neighborhood based job creation within the broad family of mixed energy private as well as public utility industries involved with either the demand, supply or distribution of overall utility function within that ½ square mile micro energy grid sector.
(d) Private sector industries will include all construction/building trade sub groups associated with--(1) Full building energy retrofits.
(2) Full building construction waste stream management.
(3) Full building landscape design, engineering, construction and long term environmental/economic management and maintenance.
(4) Full building transportational needs analysis.
(5) Full building transportational fueling analysis.
(6) Full building vehicle maintenance analysis.
(7) Fresh water treatment and management.
(8) Rainwater management.
(9) Sewage and graywater treatment.
(10) All aspects of micro electrical generation, storage and distribution analysis.
The National Movement toward Green Urban Renewal Takes a Turn to the Country to Pick Up a Few Tomatoes.
Eating Lunch At McDonald's With Browning-Ferris and the NLRB....US of America, Once Again Going Into Labor Over Labor Damns.
The National Movement toward Green Urban Renewal Takes a Turn to the Country to Pick Up a Few Things.
Public and Private Sector Education and Training Models For Our 21st Century, Mixed Energy Use Industrial Economy