PlainBillCongress, translated.Legislation. Context. Public interest.Referred to the Committee on Energy and Commerce, and in addition to the Committee on Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Congressional Research Service
No official summary is available in the imported record yet.
People & committees
Rep. Barragán, Nanette Diaz [D-CA-44] · D–CA
Legislative record
A procedural vote is different from passage. Passage in one chamber does not establish enactment. Explore the glossary.
Referred to the Committee on Energy and Commerce, and in addition to the Committee on Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Energy and Commerce, and in addition to the Committee on Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Introduced in House
Introduced in House
Primary sources
Text links open the official source. We also preserved the text version used in the PlainBill explanation below.
No related bills are listed in this snapshot. This does not establish whether the proposal has appeared in earlier Congresses.
Source last updated: Jul 30, 2025. Consult Congress.gov for the current record.
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PlainBill explanation
Based on the full Introduced in House · 2025-02-21 text. This explanation has not received human editorial review. This overview describes the proposal’s major provisions; it does not establish what its real-world effects would be.
The proposed Energy Resilient Communities Act would create federal grants to plan and build clean-energy microgrids—local, controllable electricity systems. Projects would serve essential community facilities or homes of people with medical electricity needs. The bill would prioritize communities facing environmental and health burdens, generally require cost sharing, and set purchasing and worker-pay requirements.
This Act may be cited as the Energy Resilient Communities Act.
(a) In general The Secretary of Energy shall establish and carry out a program to provide grants to eligible entities.
(3) carry out a project to develop and construct— (A) a clean energy microgrid that supports critical community infrastructure; or (B) a clean energy microgrid for residences of medical baseline customers.
(B) is contained within a clearly defined electrical boundary and has the ability to operate as a single and controllable entity;
the Secretary of Energy shall give priority to an eligible entity that proposes to use a grant to obtain technical assistance described in subsection (b)(1), provide outreach described in subsection (b)(2), or carry out a project described in subsection (b)(3), that will benefit an environmental justice community.
Except as provided in paragraph (2), the Federal share of the cost of technical assistance, outreach, or a project for which a grant is provided pursuant to the program established pursuant to subsection (a) shall not exceed 60 percent of such cost.
No funds authorized under this section shall be made available with respect to a project unless all of the iron, steel, and manufactured goods used in the project are produced in the United States.
All laborers and mechanics employed by contractors or subcontractors in the performance of construction, alteration, or repair work assisted, in whole or in part, by a grant under this section shall be paid wages at rates not less than those prevailing on similar construction in the locality
Eligible applicants would include specified public bodies, electric utilities, nonprofits, and partnerships between owners of essential community infrastructure and public bodies. Individual households are not listed as direct applicants.
(6) Eligible entity The term eligible entity means— (A) a State, territory of the United States, or Tribal agency; (B) a local government or political subdivision of a State, including a municipally owned electric utility and an agency, authority, corporation, or instrumentality of a State or Indian Tribe; (C) an electric utility; (D) a nonprofit organization; or (E) a partnership between— (i) a private entity, or a nonprofit organization, that owns critical community infrastructure; and (ii) a State, territory of the United States, Tribal agency, or local government.
A qualifying microgrid would have to be appropriately sized for its customers' critical needs and operate as a single, controllable system within a defined electrical boundary. It would need the ability to connect to, disconnect from, or run in parallel with the applicable grid region, or to be managed and isolated from that region to withstand larger disturbances and maintain electricity supply. These alternatives do not unambiguously require every qualifying system to operate independently. A microgrid could connect to one or multiple interconnected buildings, but no individual grid interconnection could have a throughput capacity above 20 megawatts.
(11) Microgrid The term microgrid means an interconnected system of loads and clean energy resources (including distributed energy resources, energy storage, demand response tools, and other management, forecasting, and analytical tools) which— (A) is appropriately sized to meet the critical needs of its customers; (B) is contained within a clearly defined electrical boundary and has the ability to operate as a single and controllable entity; (C) has the ability to— (i) connect to, disconnect from, or run in parallel with the applicable grid region; or (ii) be managed and isolated from the applicable grid region in order to withstand larger disturbances and maintain the supply of electricity to a connected location; (D) has no point of interconnection to the applicable grid region with a throughput capacity in excess of 20 megawatts; and (E) can connect to one building or multiple interconnected buildings.
For this program, clean energy would mean electricity from solar, wind, geothermal, existing hydropower, micro-hydropower, hydrokinetic sources, or hydrogen fuel cells. Micro-hydropower would be limited to 100 kilowatts using natural water flow.
(1) Clean energy The term clean energy means electric energy generated from solar, wind, geothermal, existing hydropower, micro-hydropower, hydrokinetic, or hydrogen fuel cells.
(12) Micro-hydropower The term micro-hydropower means hydropower that produces no more than 100 kilowatts of electricity using the natural flow of water.
Grants could support microgrid construction for essential community facilities or residences of utility customers with special medical electricity needs. Covered facilities would include schools, hospitals, grocery stores, water systems, shelters, and public or affordable housing. Medical needs could include powered medical equipment, refrigerated medication, and certain air-cleaning systems.
(3) carry out a project to develop and construct— (A) a clean energy microgrid that supports critical community infrastructure; or (B) a clean energy microgrid for residences of medical baseline customers.
(5) Critical community infrastructure The term critical community infrastructure means infrastructure that is necessary to providing vital community and individual functions, including— (A) schools; (B) town halls; (C) public safety facilities; (D) hospitals; (E) health clinics; (F) community centers; (G) community nonprofit facilities providing essential services; (H) libraries; (I) grocery stores; (J) emergency management facilities; (K) water systems; (L) homeless shelters; (M) senior housing; and (N) public or affordable housing.
(10) Medical baseline customer The term medical baseline customer means a customer of an electric utility with special energy needs due to a medical condition, including energy needs for— (A) a motorized wheelchair; (B) a ventilator; (C) a dialysis machine; (D) an apnea monitor; (E) an electrostatic nebulizer; (F) a respirator; (G) medication requiring refrigeration; and (H) for a customer with a vulnerable respiratory system, an air cleaning system.
Grants could pay for expert assistance with climate-resilient building standards, plans to address climate hazards to essential infrastructure, and microgrid assessments and design. Assistance could cover permits, sites, financing options, and technical characteristics.
(1) obtain technical assistance to— (A) upgrade building codes and standards for resiliency to climate change hazards (including wildfires, flooding, sea level rise, landslides, drought, storms, temperature extremes, and other extreme weather events); (B) develop a FEMA Hazard Mitigation Plan to identify and overcome known climate change hazards to critical community infrastructure; or (C) conduct a needs assessment of prospective clean energy microgrid projects and, as applicable, design prospective clean energy microgrids, including assistance to address permitting and siting challenges, understand and facilitate financing options, and understand the technical characteristics of clean energy microgrids;
Grants could also pay for community outreach and collaborative planning for prospective eligible microgrid projects.
(2) provide community outreach and collaborative planning with respect to a prospective project described in paragraph (3);
The first grant priority would be assistance, outreach, or projects benefiting an environmental justice community. The bill defines these as communities with significant representation of communities of color, low-income communities, or Tribal and indigenous communities that experience, or risk experiencing, higher or more adverse health or environmental effects.
(c) Priority (1) In general In providing grants under the program established pursuant to subsection (a), the Secretary of Energy shall give priority to an eligible entity that proposes to use a grant to obtain technical assistance described in subsection (b)(1), provide outreach described in subsection (b)(2), or carry out a project described in subsection (b)(3), that will benefit an environmental justice community.
(7) Environmental justice community The term environmental justice community means a community with significant representation of communities of color, low-income communities, or Tribal and indigenous communities, that experiences, or is at risk of experiencing, higher or more adverse human health or environmental effects.
A low-income community would qualify under the bill's definition when at least 30% of a census block group's population has household income at or below the greater of 80% of area median income or 200% of the federal poverty line. The definition of a community of color compares listed population categories with their statewide averages. Tribal and indigenous communities would include federally and state-recognized Tribes, Alaska Native or Native Hawaiian communities or organizations, and other indigenous communities located in a State.
(8) Low-income community The term low-income community means any census block group in which 30 percent or more of the population are individuals with an annual household income equal to, or less than, the greater of— (A) an amount equal to 80 percent of the median income of the area in which the household is located, as reported by the Department of Housing and Urban Development; and (B) 200 percent of the Federal poverty line.
(2) Community of color The term community of color means a geographically distinct area in which the population of any of the following categories of individuals is higher than the average populations of that category for the State in which the community is located: (A) Black. (B) African American. (C) Asian. (D) Pacific Islander. (E) Other non-White race. (F) Non-White Hispanic. (G) Latino. (H) Linguistically isolated.
(16) Tribal and indigenous community The term Tribal and indigenous community means a population of people who are members of— (A) a federally recognized Indian Tribe; (B) a State-recognized Indian Tribe; (C) an Alaska Native or Native Hawaiian community or organization; or (D) any other community of indigenous people located in a State.
After the environmental justice priority, technical-assistance and outreach grants would favor work that the Energy Secretary determines would advance community-owned microgrids. This ownership category would include local governments, locally based nonprofits, collective community ownership, and worker-owned or community-owned businesses.
(2) Technical assistance and community outreach grants After priority given under paragraph (1), in providing grants to obtain technical assistance described in subsection (b)(1) or provide outreach described in subsection (b)(2), the Secretary of Energy shall give priority to an eligible entity proposing to obtain technical assistance or provide outreach that the Secretary of Energy determines will further the development of clean energy microgrids that are community-owned energy systems.
(3) Community-owned energy system The term community-owned energy system means an energy system owned— (A) by the local government where the system is located; (B) by a nonprofit organization that is based in the local jurisdiction where the energy system is located; (C) collectively, by community members; or (D) by a worker-owned or community-owned for-profit entity.
After the environmental justice priority, construction-grant priorities would include community ownership and proposals expected to achieve the greatest reductions in emissions, specified public-health disparities, or community energy-cost burdens, compared with competing proposals. Another priority would be the greatest resilience benefits to the project's jurisdiction. These are selection criteria, not evidence that the projects would achieve those results.
(3) Clean energy microgrid grants After priority given under paragraph (1), in providing grants under the program established pursuant to subsection (a) for projects described in subsection (b)(3), the Secretary of Energy shall give priority to an eligible entity that— (A) proposes to develop and construct a clean energy microgrid that, in comparison to other clean energy microgrids for which grants are sought under such program, will result in the greatest reduction— (i) of greenhouse gas emissions; (ii) of emissions of criteria air pollutants; (iii) in public health disparities in communities experiencing a disproportionate level of air pollution; or (iv) in the energy cost burden for communities; (B) proposes to develop and construct a clean energy microgrid that is a community-owned energy system; (C) proposes to develop and construct a clean energy microgrid that, in comparison to other clean energy microgrids for which grants are sought under such program, will provide the greatest amount of resiliency benefits to a jurisdiction in which the microgrid is located;
Construction priorities would also favor projects that minimize land impacts through specified siting choices: already-built areas, brownfield or contaminated sites, shared use of agricultural land or reservoirs, or compatible land. Compatible land would have to be at least five miles from existing protected areas and within three miles of existing transmission infrastructure.
(D) proposes to develop and construct a clean energy microgrid that minimizes land use impacts by— (i) siting sources of clean energy within the already-built environment, including over rooftops and parking lots; (ii) siting sources of clean energy on existing brownfield sites or contaminated sites; (iii) co-locating sources of clean energy on agricultural lands or over reservoirs; or (iv) siting sources of clean energy on compatible lands;
(4) Compatible land The term compatible land means land that is at least 5 miles away from existing protected areas and within 3 miles of existing transmission infrastructure.
Additional construction priorities would favor applicants proposing to involve small businesses or nonprofits primarily operating or located in environmental justice communities, particularly women-owned and operated or minority-owned and operated organizations. Applicants that previously received technical-assistance grants under this program would also receive priority.
(3) Clean energy microgrid grants After priority given under paragraph (1), in providing grants under the program established pursuant to subsection (a) for projects described in subsection (b)(3), the Secretary of Energy shall give priority to an eligible entity that—
(E) proposes to, in developing and constructing a clean energy microgrid, utilize or involve small businesses or nonprofits that primarily operate or are located within environmental justice communities, particularly those that are women-owned and operated or minority-owned and operated; (F) has previously received a grant to obtain technical assistance under such program;
Further construction priorities would cover applicants requiring registered apprentices on projects, subject to applicable apprentice-to-journey-worker ratios, and projects in areas designated nonattainment and classified as Extreme or Severe for one or more criteria air pollutants. Registered apprentices would have to be in federally or state-approved programs under the regulations specified in the bill.
(3) Clean energy microgrid grants After priority given under paragraph (1), in providing grants under the program established pursuant to subsection (a) for projects described in subsection (b)(3), the Secretary of Energy shall give priority to an eligible entity that—
(G) imposes registered apprentice utilization requirements on projects, provided that such requirements comply with the apprentice to journey worker ratios established by the Department of Labor or the applicable State Apprenticeship Agency; or (H) proposes to develop and construct a clean energy microgrid in an area designated nonattainment and classified as an Extreme Area or Severe Area for one or more criteria air pollutants.
(14) Registered apprentice The term registered apprentice means a person in an apprenticeship program that is registered with, and approved by, the United States Department of Labor or a State Apprenticeship Agency in accordance with parts 29 and 30 of title 29, Code of Federal Regulations (as in effect on January 1, 2020).
Within 90 days after funding becomes available, the Energy Secretary would have to develop and carry out educational outreach about the grants. Outreach would prioritize environmental justice communities and entities serving them, and public understanding of microgrid benefits for essential facilities. The Secretary could hire outside contractors and would have to prioritize women-owned and operated or minority-owned and operated entities for those contracts.
(d) Educational outreach program (1) In general Not later than 90 days after funds are made available to carry out this section, the Secretary of Energy shall develop and carry out an educational outreach program to inform eligible entities about the program established pursuant to subsection (a). (2) Contracts The Secretary of Energy may enter into third-party contracts to implement the educational outreach program under paragraph (1). In entering into contracts pursuant to this paragraph, the Secretary shall prioritize entering into contracts with women-owned and operated or minority-owned and operated entities. (3) Priority The educational outreach program under paragraph (1) shall prioritize— (A) providing information on the program established pursuant to subsection (a) to eligible entities that serve an environmental justice community and to environmental justice communities; and (B) promoting public understanding of the community benefits of clean energy microgrids for critical community infrastructure.
Federal grants generally could cover no more than 60% of eligible costs. The ceiling would rise to 90% for technical assistance obtained for, outreach provided to, or projects carried out in environmental justice communities. These are maximum federal shares, not guaranteed funding levels. A construction-project grant could not exceed $10 million.
(e) Cost share (1) In general Except as provided in paragraph (2), the Federal share of the cost of technical assistance, outreach, or a project for which a grant is provided pursuant to the program established pursuant to subsection (a) shall not exceed 60 percent of such cost. (2) Environmental justice community The Federal share of the cost of technical assistance that is obtained for, outreach that is provided to, or a project that is carried out in, an environmental justice community, and for which a grant is provided pursuant to the program established pursuant to subsection (a) shall not exceed 90 percent of such cost. (f) Limitation on amount The amount of a grant provided to an eligible entity under this section to carry out a project described in subsection (b)(3) may not exceed $10,000,000.
Funded projects would generally have to use U.S.-produced iron, steel, and manufactured goods. For iron and steel, every manufacturing process, including coatings, would have to occur in the United States. The requirement would have to be applied consistently with U.S. international agreements.
(g) Use of American iron, steel, and manufactured goods (1) No funds authorized under this section shall be made available with respect to a project unless all of the iron, steel, and manufactured goods used in the project are produced in the United States.
(13) Produced in the United States The term produced in the United States means, in the case of iron or steel, that all manufacturing processes, including the application of a coating, occur in the United States.
(4) This subsection shall be applied in a manner consistent with the United States obligations under international agreements.
The Energy Secretary could waive domestic purchasing requirements based on the public interest, insufficient reasonably available U.S. supplies of satisfactory quality, or an increase exceeding 25% in overall project cost. Before deciding a requested waiver, the Secretary would have to publish the request and available information concerning it electronically and allow at least 15 days for informal public input.
(2) Paragraph (1) shall not apply in any case or category of cases in which the Secretary of Energy finds that— (A) applying paragraph (1) would be inconsistent with the public interest; (B) iron, steel, and the relevant manufactured goods are not produced in the United States in sufficient and reasonably available quantities and of a satisfactory quality; or (C) inclusion of iron, steel, and manufactured goods produced in the United States will increase the cost of the overall project by more than 25 percent.
(3) If the Secretary of Energy receives a request for a waiver under this subsection, the Secretary shall make available to the public on an informal basis a copy of the request and information available to the Secretary concerning the request, and shall allow for informal public input on the request for at least 15 days prior to making a finding based on the request. The Secretary shall make the request and accompanying information available by electronic means, including on the official public website of the Department of Energy.
Contractors and subcontractors would have to pay laborers and mechanics working on grant-assisted construction, alteration, or repair at least the locally prevailing wage for similar construction, as determined by the Labor Secretary. The bill would give the Labor Secretary the labor-standard authorities identified in its statutory cross-references; the supplied text does not reproduce those authorities.
(h) Prevailing wages All laborers and mechanics employed by contractors or subcontractors in the performance of construction, alteration, or repair work assisted, in whole or in part, by a grant under this section shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor in accordance with subchapter IV of chapter 31 of title 40, United States Code. With respect to the labor standards in this subsection, the Secretary of Labor shall have the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. App.) and section 3145 of title 40, United States Code.
For microgrid construction, grant recipients would have to ensure, to the greatest extent practicable, that subgrantees and their subgrantees employ at least 40% of laborers or mechanics from specified groups. Qualifying groups would include nearby residents; displaced and unemployed energy workers; active, separated, or retired military personnel; people with specified justice-system involvement; people with disabilities; homeless people; public-assistance recipients; people lacking a general education or high-school diploma; people emancipated from foster care; environmental justice community residents or workers; and registered apprentices with fewer than 15% of required graduation hours.
(i) Project labor An eligible entity that uses a grant provided under this section to construct a clean energy microgrid shall ensure, to the greatest extent practicable, that any subgrantee of such eligible entity, and any subgrantee thereof, that carries out such construction employs at least 40 percent of laborers or mechanics for such construction that are individuals who— (1) are domiciled, if the applicable construction area is— (A) a major urban area, not further than 15 miles from such construction area; or (B) not a major urban area, not further than 50 miles from such construction area; (2) are displaced and unemployed energy workers; (3) are members of the Armed Forces serving on active duty, separated from active duty, or retired from active duty; (4) have been incarcerated or served time in a juvenile or adult detention or correctional facility, or been placed on probation, community supervision, or in a diversion scheme; (5) have a disability; (6) are homeless; (7) are receiving public assistance; (8) lack a general education diploma or high school diploma; (9) are emancipated from the foster care system; (10) reside or work in an environmental justice community; or (11) are registered apprentices with fewer than 15 percent of the required graduating apprentice hours in a program.
For the proposed workforce requirement, a nearby resident would mean someone domiciled within 15 miles of construction in a major urban area or within 50 miles elsewhere. A major urban area would be a U.S. metropolitan statistical area with an estimated population of at least 1.5 million.
(1) are domiciled, if the applicable construction area is— (A) a major urban area, not further than 15 miles from such construction area; or (B) not a major urban area, not further than 50 miles from such construction area;
(9) Major urban area The term major urban area means a metropolitan statistical area within the United States with an estimated population that is greater than or equal to 1,500,000.
The Energy Secretary would have to send Congress and publish an annual report covering the previous year's grants, amounts, disbursements by State, activities, and environmental justice community involvement. Construction-project reporting would also cover jobs, the share of workers meeting the specified workforce criteria, emissions reductions, public-health benefits, and reduced energy-cost burdens.
(j) Reports The Secretary of Energy shall submit to Congress, and make available on the public website of the Department of Energy, an annual report on the program established pursuant to subsection (a) that includes, with respect to the previous year— (1) the number of grants provided; (2) the total dollar amount of all grants provided; (3) a list of grant disbursements by State; (4) for each grant provided— (A) a description of the technical assistance obtained, outreach provided, or project carried out with grants funds; and (B) whether the grant is provided to obtain technical assistance, provide outreach, or carry out a project with respect to an environmental justice community; and (5) for each grant provided to carry out a clean energy microgrid project— (A) employment data for such project, including the number of jobs created and what percent of laborers and mechanics hired for such project meet the criteria under subsection (i); (B) the greenhouse gas and criteria air pollutant reduction impacts for such project; (C) the public health benefits from such project; and (D) the reduced energy cost burden from such project.
The bill would authorize Congress to appropriate $50 million annually for technical-assistance and outreach grants and $1.5 billion annually for construction-project grants for fiscal years 2025 through 2034. This authorization would not itself provide the money.
(k) Funding (1) Authorization of appropriations For each of fiscal years 2025 through 2034, there is authorized to be appropriated— (A) $50,000,000 for grants for technical assistance described in subsection (b)(1) and outreach described in subsection (b)(2); and (B) $1,500,000,000 for grants for projects described in subsection (b)(3).
To the maximum extent practicable, at least 10% of construction-grant appropriations each fiscal year would have to support community-owned microgrid projects.
(2) Community-owned energy systems To the maximum extent practicable, not less than 10 percent of the amount appropriated under paragraph (1)(B) for any fiscal year shall be used to provide grants for projects to develop and construct clean energy microgrids that are community-owned energy systems.
The Energy Secretary could use up to 2% of each annual funding category for administration. For construction-project funding, that allowance would also cover the educational outreach program.
(3) Administrative expenses (A) Technical assistance and outreach The Secretary may use not more than 2 percent of the amount appropriated for any fiscal year under paragraph (1)(A) for administrative expenses. (B) Clean energy microgrid projects The Secretary may use not more than 2 percent of the amount appropriated for any fiscal year under paragraph (1)(B) for administrative expenses, including expenses for carrying out the educational outreach program under subsection (d).
The supplied official-actions snapshot, updated July 30, 2025, records introduction in the House on February 21, 2025, and referral that day to the Energy and Commerce Committee and additionally to the Science, Space, and Technology Committee for provisions within their respective jurisdictions. This snapshot does not establish the bill's later status.
Source snapshot updated 2025-07-30T12:52:13Z.
2025-02-21: Introduced in House
2025-02-21: Referred to the Committee on Energy and Commerce, and in addition to the Committee on Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
A closer look
Reviewed version: Introduced in House · 2025-02-21. These findings describe provisions and who may benefit; they are not judgments of waste, corruption, or motive.
This review covers the supplied bill text. “None identified” does not rule out provisions in later versions or accompanying reports and disclosures.
Provisions outside the bill’s main subject, or policy changes attached to appropriations.
None identified in the reviewed text
No unrelated provision or policy rider was identified after reviewing the complete supplied introduced text. This conclusion is limited to that version and does not establish the absence of riders in other versions or accompanying materials. No amendment attachment history is established.
Spending directed to particular recipients or places outside ordinary competitive or formula-based allocation.
None identified in the reviewed text
No congressionally directed spending for a particular recipient or place was identified after reviewing the complete supplied introduced text. This conclusion is limited to that version; formal earmark status cannot be fully assessed without accompanying disclosures and legislative materials, and absence in other versions or materials is not established.
Narrow exceptions, exemptions, or preferential treatment that warrant a closer look.
Findings to examine
The cited findings identify preferential treatment and differentiated financial terms within the program that go beyond ordinary eligibility. Classification is not a judgment about their justification or likely results.
Women-owned and operated or minority-owned and operated entities would receive priority for federal educational-outreach contracts. This is an ownership-based contracting preference within program administration.
(2) Contracts The Secretary of Energy may enter into third-party contracts to implement the educational outreach program under paragraph (1). In entering into contracts pursuant to this paragraph, the Secretary shall prioritize entering into contracts with women-owned and operated or minority-owned and operated entities.
After the environmental justice priority, construction applicants proposing to involve small businesses or nonprofits primarily operating or located in environmental justice communities would receive priority, with particular emphasis on women-owned and operated or minority-owned and operated organizations. This would favor involvement of a specified subset of businesses and nonprofits in funded projects.
(3) Clean energy microgrid grants After priority given under paragraph (1), in providing grants under the program established pursuant to subsection (a) for projects described in subsection (b)(3), the Secretary of Energy shall give priority to an eligible entity that—
(E) proposes to, in developing and constructing a clean energy microgrid, utilize or involve small businesses or nonprofits that primarily operate or are located within environmental justice communities, particularly those that are women-owned and operated or minority-owned and operated;
Applicants that previously received technical-assistance grants under this program would receive a construction-grant priority after the environmental justice priority. This gives a specified advantage to prior program participants.
(3) Clean energy microgrid grants After priority given under paragraph (1), in providing grants under the program established pursuant to subsection (a) for projects described in subsection (b)(3), the Secretary of Energy shall give priority to an eligible entity that—
(F) has previously received a grant to obtain technical assistance under such program;
The proposed workforce rule would favor specified categories of workers, including nearby residents, displaced and unemployed energy workers, military personnel, people with the listed justice-system involvement or other listed circumstances, environmental justice community residents or workers, and early-stage apprentices. To the greatest extent practicable, at least 40% of construction laborers or mechanics employed by each covered subgrantee and its subgrantees would have to qualify under one of the listed categories. This is a workforce preference attached to microgrid construction.
(i) Project labor An eligible entity that uses a grant provided under this section to construct a clean energy microgrid shall ensure, to the greatest extent practicable, that any subgrantee of such eligible entity, and any subgrantee thereof, that carries out such construction employs at least 40 percent of laborers or mechanics for such construction that are individuals who— (1) are domiciled, if the applicable construction area is— (A) a major urban area, not further than 15 miles from such construction area; or (B) not a major urban area, not further than 50 miles from such construction area; (2) are displaced and unemployed energy workers; (3) are members of the Armed Forces serving on active duty, separated from active duty, or retired from active duty; (4) have been incarcerated or served time in a juvenile or adult detention or correctional facility, or been placed on probation, community supervision, or in a diversion scheme; (5) have a disability; (6) are homeless; (7) are receiving public assistance; (8) lack a general education diploma or high school diploma; (9) are emancipated from the foster care system; (10) reside or work in an environmental justice community; or (11) are registered apprentices with fewer than 15 percent of the required graduating apprentice hours in a program.
Community-owned energy systems would receive ownership-based advantages within the microgrid program. Qualifying owners would be the local government where the system is located, a nonprofit based in that jurisdiction, community members collectively, or a worker-owned or community-owned for-profit entity. After the environmental justice priority, technical-assistance and outreach grants would favor work determined to advance such systems, and construction grants would favor projects with this ownership. To the maximum extent practicable, at least 10% of annual construction-grant appropriations would be allocated to community-owned microgrid projects. This qualified funding reservation and these grant preferences favor a defined ownership subset of otherwise eligible projects.
(3) Community-owned energy system The term community-owned energy system means an energy system owned— (A) by the local government where the system is located; (B) by a nonprofit organization that is based in the local jurisdiction where the energy system is located; (C) collectively, by community members; or (D) by a worker-owned or community-owned for-profit entity.
(c) Priority (1) In general In providing grants under the program established pursuant to subsection (a), the Secretary of Energy shall give priority to an eligible entity that proposes to use a grant to obtain technical assistance described in subsection (b)(1), provide outreach described in subsection (b)(2), or carry out a project described in subsection (b)(3), that will benefit an environmental justice community.
(2) Technical assistance and community outreach grants After priority given under paragraph (1), in providing grants to obtain technical assistance described in subsection (b)(1) or provide outreach described in subsection (b)(2), the Secretary of Energy shall give priority to an eligible entity proposing to obtain technical assistance or provide outreach that the Secretary of Energy determines will further the development of clean energy microgrids that are community-owned energy systems.
(3) Clean energy microgrid grants After priority given under paragraph (1), in providing grants under the program established pursuant to subsection (a) for projects described in subsection (b)(3), the Secretary of Energy shall give priority to an eligible entity that—
(B) proposes to develop and construct a clean energy microgrid that is a community-owned energy system;
(2) Community-owned energy systems To the maximum extent practicable, not less than 10 percent of the amount appropriated under paragraph (1)(B) for any fiscal year shall be used to provide grants for projects to develop and construct clean energy microgrids that are community-owned energy systems.
Grant-funded technical assistance obtained for, outreach provided to, or projects carried out in environmental justice communities would qualify for a federal cost-share ceiling of 90%, compared with the general 60% ceiling. The defined communities have significant representation of communities of color, low-income communities, or Tribal and indigenous communities and experience, or risk experiencing, higher or more adverse health or environmental effects. The exception permits more favorable federal financing for this subset of program activity; it does not guarantee a 90% award. This finding concerns the differentiated cost-share terms, beyond ordinary eligibility or access.
(e) Cost share (1) In general Except as provided in paragraph (2), the Federal share of the cost of technical assistance, outreach, or a project for which a grant is provided pursuant to the program established pursuant to subsection (a) shall not exceed 60 percent of such cost. (2) Environmental justice community The Federal share of the cost of technical assistance that is obtained for, outreach that is provided to, or a project that is carried out in, an environmental justice community, and for which a grant is provided pursuant to the program established pursuant to subsection (a) shall not exceed 90 percent of such cost.
(7) Environmental justice community The term environmental justice community means a community with significant representation of communities of color, low-income communities, or Tribal and indigenous communities, that experiences, or is at risk of experiencing, higher or more adverse human health or environmental effects.
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