Us Congress Senate Bill SB5054

Us Congress 2023-2024 Regular Session

• Introduced: 9/12/24
• Refer: 9/12/24

Caption

Polluters Pay Climate Fund Act of 2024

Impact

The legislative framework outlined in SB5054 will significantly alter the financial responsibilities of fossil fuel companies. By mandating a tax based on carbon dioxide emissions, the bill seeks to collect substantial funds — projected as high as $100 billion per year — to address climate-related disasters and support initiatives that enhance community resilience. Specifically, it earmarks a portion of the fund for disaster recovery efforts, ensuring communities are better prepared for extreme weather events and other climate-related challenges.

Summary

SB5054, titled the 'Polluters Pay Climate Fund Act of 2024,' aims to impose a tax on fossil fuel emissions to fund climate resilience and adaptation initiatives. This legislation recognizes the immediate threat climate change poses to the environment, economy, and communities, particularly highlighting the disproportionate impact on vulnerable populations, including communities of color and low-income communities. The bill establishes the Polluters Pay Climate Fund, derived from taxes imposed on fossil fuel emissions, to help finance programs aimed at mitigating the effects of climate change.

Contention

While SB5054 presents a comprehensive approach to addressing climate change, it has generated debate regarding implementation and fairness. Supporters argue that the approach holds polluters accountable for their contributions to climate change and provides a funding mechanism for necessary public initiatives. However, critics raise concerns that the financial burden may lead to increased costs in energy prices, which could disproportionately affect low-income households. Additionally, there is skepticism about the effectiveness of the fund in truly addressing the root causes of fossil fuel pollution and ensuring equitable distribution of resources for environmental justice initiatives.