Us Congress 2025-2026 Regular Session

Us Congress Senate Bill SB711 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	II
2	2	119THCONGRESS
3	3	1
4	4	STSESSION S. 711
5	5	To amend the Internal Revenue Code of 1986 to establish an enhanced
6	6	deduction for wages paid to automobile manufacturing workers, and
7	7	for other purposes.
8	8	IN THE SENATE OF THE UNITED STATES
9	9	FEBRUARY25, 2025
10	10	Mr. M
11	11	ORENO(for himself, Mr. SHEEHY, Mr. BANKS, and Mr. JUSTICE) intro-
12	12	duced the following bill; which was read twice and referred to the Com-
13	13	mittee on Finance
14	14	A BILL
15	15	To amend the Internal Revenue Code of 1986 to establish
16	16	an enhanced deduction for wages paid to automobile
17	17	manufacturing workers, and for other purposes.
18	18	Be it enacted by the Senate and House of Representa-1
19	19	tives of the United States of America in Congress assembled, 2
20	20	SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 3
21	21	(a) S
22	22	HORTTITLE.—This Act may be cited as the 4
23	23	‘‘Transportation Freedom Act’’. 5
24	24	(b) T
25	25	ABLE OFCONTENTS.—The table of contents of 6
26	26	this Act is as follows: 7
27	27	Sec. 1. Short title; table of contents.
28	28	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6211 E:\BILLS\S711.IS S711
29	29	ssavage on LAPJG3WLY3PROD with BILLS 2
30	30	•S 711 IS
31	31	TITLE I—SUPPORT FOR AMERICAN AUTOMOBILE
32	32	MANUFACTURING
33	33	Sec. 101. Enhanced deduction for wages paid to automobile manufacturing
34	34	workers.
35	35	TITLE II—MULTIPOLLUTANT EMISSIONS STANDARDS
36	36	Sec. 201. Repeal of multipollutant emissions standards for light-duty and me-
37	37	dium-duty vehicles.
38	38	Sec. 202. Repeal of phase 3 heavy-duty vehicle greenhouse gas emissions stand-
39	39	ards.
40	40	Sec. 203. Repeal of CAFE standards rules.
41	41	TITLE III—EMISSIONS WAIVERS
42	42	Sec. 301. Elimination of vehicle emissions waivers.
43	43	TITLE IV—FEDERAL GREENHOUSE GAS EMISSIONS STANDARDS
44	44	AND CAFE STANDARDS
45	45	Subtitle A—Establishment of New Passenger Automobile Standards
46	46	Sec. 401. Definitions.
47	47	Sec. 402. Establishment of CAFE standards and greenhouse gas emissions
48	48	standards.
49	49	Sec. 403. Compliance with fleet average carbon dioxide emissions standards.
50	50	Sec. 404. Authorization of appropriations.
51	51	Subtitle B—Establishment of New Heavy-Duty Vehicle Standards
52	52	Sec. 411. Establishment of heavy-duty vehicle greenhouse gas emissions stand-
53	53	ards.
54	54	TITLE I—SUPPORT FOR AMER-1
55	55	ICAN AUTOMOBILE MANU-2
56	56	FACTURING 3
57	57	SEC. 101. ENHANCED DEDUCTION FOR WAGES PAID TO 4
58	58	AUTOMOBILE MANUFACTURING WORKERS. 5
59	59	(a) I
60	60	NGENERAL.—Part VI of subchapter B of chap-6
61	61	ter 1 of the Internal Revenue Code of 1986 is amended 7
62	62	by adding at the end the following new section: 8
63	63	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
64	64	ssavage on LAPJG3WLY3PROD with BILLS 3
65	65	•S 711 IS
66	66	‘‘SEC. 199B. WAGES PAID TO AUTOMOBILE MANUFAC-1
67	67	TURING WORKERS. 2
68	68	‘‘(a) I
69	69	NGENERAL.—In the case of any taxable year 3
70	70	for which an election is made under subsection (g) by a 4
71	71	qualifying taxpayer, there shall be allowed a deduction 5
72	72	equal to 200 percent of an amount equal to the total 6
73	73	amount of eligible wages paid or incurred by such taxpayer 7
74	74	during such taxable year. 8
75	75	‘‘(b) Q
76	76	UALIFYINGTAXPAYER.—For purposes of this 9
77	77	section, the term ‘qualifying taxpayer’ means an entity 10
78	78	which, with respect to any taxable year— 11
79	79	‘‘(1) is engaged in the production of auto-12
80	80	mobiles or automotive components in the United 13
81	81	States, 14
82	82	‘‘(2) with respect to any automobiles, light-duty 15
83	83	trucks, and heavy-duty trucks sold by the entity for 16
84	84	use in the United States during the preceding tax-17
85	85	able year, the final assembly (as defined in section 18
86	86	30D(d)(5)) of not less than 75 percent of such vehi-19
87	87	cles occurred in the United States, 20
88	88	‘‘(3) with respect to the manufacturing of fin-21
89	89	ished engines, transmissions, or advanced battery 22
90	90	cells (including manufacturing pursuant to joint ven-23
91	91	tures or other collaborative manufacturing agree-24
92	92	ments) during the preceding taxable year, not less 25
93	93	than 75 percent of such finished engines, trans-26
94	94	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
95	95	ssavage on LAPJG3WLY3PROD with BILLS 4
96	96	•S 711 IS
97	97	missions, or advanced battery cells which were incor-1
98	98	porated into new automobiles, light-duty trucks, or 2
99	99	heavy-duty trucks for sale by the entity were pro-3
100	100	duced in the United States, 4
101	101	‘‘(4) during the preceding taxable year, did not 5
102	102	transfer production outside of the United States of 6
103	103	any automobile or automobile component manufac-7
104	104	tured in the United States, 8
105	105	‘‘(5) during the preceding taxable year, with re-9
106	106	spect to all applicable individuals, offered— 10
107	107	‘‘(A) coverage for the applicable individual 11
108	108	under a group health plan in the platinum level 12
109	109	of coverage (as described in section 13
110	110	1302(d)(1)(D) of the Patient Protection and 14
111	111	Affordable Care Act (42 U.S.C. 15
112	112	18022(d)(1)(D))) or a higher level of coverage, 16
113	113	and 17
114	114	‘‘(B) participation in a defined benefit plan 18
115	115	or defined contribution plan that meets the ap-19
116	116	plicable requirement of subsection (e), 20
117	117	‘‘(6) during the preceding taxable year, with re-21
118	118	spect to all retired individuals who, prior to retire-22
119	119	ment, were applicable individuals, offered coverage 23
120	120	for the retired individual under a group health plan 24
121	121	in the platinum level of coverage (as described in 25
122	122	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
123	123	ssavage on LAPJG3WLY3PROD with BILLS 5
124	124	•S 711 IS
125	125	section 1302(d)(1)(D) of the Patient Protection and 1
126	126	Affordable Care Act (42 U.S.C. 18022(d)(1)(D))) or 2
127	127	a higher level of coverage, 3
128	128	‘‘(7) with respect to every $1,000,000,000 dis-4
129	129	tributed as non-recurring dividends, or in stock 5
130	130	which was redeemed (within the meaning of section 6
131	131	317(b)), by such entity during such taxable year, 7
132	132	provided not less than $2,000 to each applicable in-8
133	133	dividual through a profit-sharing plan, with such 9
134	134	amount to be in addition to any prior commitment 10
135	135	made by the entity pursuant to an existing profit- 11
136	136	sharing plan, as determined as of the date of such 12
137	137	distribution or redemption, and 13
138	138	‘‘(8) maintained a neutral position during the 14
139	139	preceding taxable year— 15
140	140	‘‘(A) in any labor organization organizing 16
141	141	effort, and 17
142	142	‘‘(B) with respect to the exercise of em-18
143	143	ployees and labor organizations of their rights 19
144	144	under the National Labor Relations Act (29 20
145	145	U.S.C. 151 et seq.). 21
146	146	‘‘(c) E
147	147	LIGIBLEWAGES.— 22
148	148	‘‘(1) I
149	149	N GENERAL.—For purposes of this sec-23
150	150	tion, the term ‘eligible wages’ means any wages paid 24
151	151	or incurred by a qualifying taxpayer during the tax-25
152	152	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
153	153	ssavage on LAPJG3WLY3PROD with BILLS 6
154	154	•S 711 IS
155	155	able year to any applicable individual, provided that 1
156	156	the wages paid to such individual during such tax-2
157	157	able year are not less than the 75th percentile of 3
158	158	wages paid for the occupation of the individual (as 4
159	159	designated in accordance with the Standard Occupa-5
160	160	tional Classification System) with respect to the ap-6
161	161	plicable 4-digit industry group code of the North 7
162	162	American Industry Classification System. 8
163	163	‘‘(2) L
164	164	IMITATION.—The amount of wages which 9
165	165	may be taken into account under subsection (a)(1) 10
166	166	with respect to any applicable individual shall not 11
167	167	exceed $150,000 per taxable year. 12
168	168	‘‘(d) A
169	169	PPLICABLEINDIVIDUAL.—For purposes of this 13
170	170	section, the term ‘applicable individual’ means an indi-14
171	171	vidual directly engaged in the manufacturing of auto-15
172	172	mobiles or automotive components in the United States. 16
173	173	‘‘(e) P
174	174	ENSIONREQUIREMENTS.— 17
175	175	‘‘(1) D
176	176	EFINED BENEFIT PENSION PLANS .—The 18
177	177	requirement described in this subsection with respect 19
178	178	to a defined benefit plan is that such plan is pro-20
179	179	jected to provide an applicable individual with not 21
180	180	less than 50 percent wage replacement upon retire-22
181	181	ment, for the entire length of the individual’s retire-23
182	182	ment, provided the applicable individual is employed 24
183	183	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
184	184	ssavage on LAPJG3WLY3PROD with BILLS 7
185	185	•S 711 IS
186	186	by the qualifying taxpayer and a participant in the 1
187	187	plan for a minimum of 30 years. 2
188	188	‘‘(2) D
189	189	EFINED CONTRIBUTION PENSION 3
190	190	PLANS.—The requirement described in this sub-4
191	191	section with respect to a defined contribution plan is 5
192	192	that such plan is a qualified cash or deferred ar-6
193	193	rangement as defined in section 401(k) under the 7
194	194	terms of which the employer contribution is not less 8
195	195	than 10 percent of the participating employee’s 9
196	196	wages during the preceding tax year. 10
197	197	‘‘(f) D
198	198	ENIAL OFDEDUCTION FORTRADE ORBUSI-11
199	199	NESSEXPENSES.—No deduction shall be allowed under 12
200	200	section 162(a) with respect to any wages or contributions 13
201	201	taken into account in determining the deduction under 14
202	202	subsection (a). 15
203	203	‘‘(g) E
204	204	LECTION.—Subsection (a) shall apply only 16
205	205	with respect to such portion of the eligible wages paid or 17
206	206	incurred by the qualifying taxpayer, or contributions made 18
207	207	by such taxpayer, during the taxable year as are elected 19
208	208	by such taxpayer. 20
209	209	‘‘(h) C
210	210	ERTIFICATION.—No deduction shall be allowed 21
211	211	under subsection (a) unless the taxpayer submits to the 22
212	212	Secretary (at such times and in such manner as the Sec-23
213	213	retary provides) a certification that the applicable require-24
214	214	ments under this section have been satisfied.’’. 25
215	215	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
216	216	ssavage on LAPJG3WLY3PROD with BILLS 8
217	217	•S 711 IS
218	218	(b) ADJUSTEDFINANCIALSTATEMENTINCOME.— 1
219	219	Section 56A(c) of the Internal Revenue Code of 1986 is 2
220	220	amended— 3
221	221	(1) by redesignating paragraph (15) as para-4
222	222	graph (16), and 5
223	223	(2) by inserting after paragraph (14) the fol-6
224	224	lowing new paragraph: 7
225	225	‘‘(15) W
226	226	AGES PAID TO AUTOMOBILE MANUFAC -8
227	227	TURING WORKERS.—Adjusted financial statement in-9
228	228	come shall be— 10
229	229	‘‘(A) reduced by the deduction for eligible 11
230	230	wages allowed under section 199B to the extent 12
231	231	of the amount allowed as deductions in com-13
232	232	puting taxable income for the taxable year, and 14
233	233	‘‘(B) appropriately adjusted— 15
234	234	‘‘(i) to disregard any wages taken into 16
235	235	account on the taxpayer’s applicable finan-17
236	236	cial statement that were also taken into ac-18
237	237	count in determining the amount of the de-19
238	238	duction allowed under section 199B, and 20
239	239	‘‘(ii) to take into account any other 21
240	240	item specified by the Secretary in order to 22
241	241	provide that such wages are accounted for 23
242	242	in the same manner as accounted for 24
243	243	under this chapter.’’. 25
244	244	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
245	245	ssavage on LAPJG3WLY3PROD with BILLS 9
246	246	•S 711 IS
247	247	(c) CLERICALAMENDMENT.—The table of sections 1
248	248	for part VI of subchapter B of chapter 1 of such Code 2
249	249	is amended by adding at the end the following new item: 3
250	250	‘‘Sec. 199B. Wages paid to automobile manufacturing workers.’’.
251	251	(d) EFFECTIVEDATE.—The amendments made by 4
252	252	this section shall apply to taxable years beginning after 5
253	253	the date of enactment of this Act. 6
254	254	TITLE II—MULTIPOLLUTANT 7
255	255	EMISSIONS STANDARDS 8
256	256	SEC. 201. REPEAL OF MULTIPOLLUTANT EMISSIONS 9
257	257	STANDARDS FOR LIGHT-DUTY AND MEDIUM- 10
258	258	DUTY VEHICLES. 11
259	259	The final rule of the Administrator of the Environ-12
260	260	mental Protection Agency entitled ‘‘Multi-Pollutant Emis-13
261	261	sions Standards for Model Years 2027 and Later Light- 14
262	262	Duty and Medium-Duty Vehicles’’ (89 Fed. Reg. 27842 15
263	263	(April 18, 2024)) shall have no force or effect. 16
264	264	SEC. 202. REPEAL OF PHASE 3 HEAVY-DUTY VEHICLE 17
265	265	GREENHOUSE GAS EMISSIONS STANDARDS. 18
266	266	The final rule of the Administrator of the Environ-19
267	267	mental Protection Agency entitled ‘‘Greenhouse Gas 20
268	268	Emissions Standards for Heavy-Duty Vehicles—Phase 3’’ 21
269	269	(89 Fed. Reg. 29440 (April 22, 2024)) shall have no force 22
270	270	or effect. 23
271	271	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
272	272	ssavage on LAPJG3WLY3PROD with BILLS 10
273	273	•S 711 IS
274	274	SEC. 203. REPEAL OF CAFE STANDARDS RULES. 1
275	275	The final rules of the National Highway Traffic Safe-2
276	276	ty Administration entitled ‘‘Corporate Average Fuel Econ-3
277	277	omy Standards for Passenger Cars and Light Trucks for 4
278	278	Model Years 2027 and Beyond and Fuel Efficiency Stand-5
279	279	ards for Heavy-Duty Pickup Trucks and Vans for Model 6
280	280	Years 2030 and Beyond’’ (89 Fed. Reg. 52540 (June 24, 7
281	281	2024)) and ‘‘Corporate Average Fuel Economy Standards 8
282	282	for Passenger Cars and Light Trucks for Model Years 9
283	283	2027-2032 and Fuel Efficiency Standards for Heavy-Duty 10
284	284	Pickup Trucks and Vans for Model Years 2030-2035; Cor-11
285	285	rection’’ (89 Fed. Reg. 60832 (July 29, 2024)) shall have 12
286	286	no force or effect. 13
287	287	TITLE III—EMISSIONS WAIVERS 14
288	288	SEC. 301. ELIMINATION OF VEHICLE EMISSIONS WAIVERS. 15
289	289	(a) A
290	290	MENDMENT.—Section 209(b) of the Clean Air 16
291	291	Act (42 U.S.C. 7543(b)) is amended by adding at the end 17
292	292	the following: 18
293	293	‘‘(4) N
294	294	O FURTHER WAIVERS .—Notwithstanding 19
295	295	any other provision of this section, beginning on the 20
296	296	date of enactment of this paragraph, the Adminis-21
297	297	trator shall not grant a waiver under paragraph (1) 22
298	298	to enforce a standard for the control of emissions 23
299	299	from new motor vehicles or new motor vehicle en-24
300	300	gines that differs from a standard established under 25
301	301	this Act by the Administrator.’’. 26
302	302	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
303	303	ssavage on LAPJG3WLY3PROD with BILLS 11
304	304	•S 711 IS
305	305	(b) REVOCATION OFEXISTINGSTANDARDS.—Each 1
306	306	waiver issued under section 209(b) of the Clean Air Act 2
307	307	(42 U.S.C. 7543(b)) before the date of enactment of this 3
308	308	Act, including any waiver issued under that section to the 4
309	309	State of California for zero-emission vehicle mandates, is 5
310	310	revoked. 6
311	311	(c) R
312	312	EPEAL.— 7
313	313	(1) I
314	314	N GENERAL.—Section 177 of the Clean Air 8
315	315	Act (42 U.S.C. 7507) is repealed. 9
316	316	(2) C
317	317	ONFORMING AMENDMENT .—Section 10
318	318	249(e)(3) of the Clean Air Act (42 U.S.C. 11
319	319	7589(e)(3)) is amended by striking the second sen-12
320	320	tence. 13
321	321	TITLE IV—FEDERAL GREEN-14
322	322	HOUSE GAS EMISSIONS 15
323	323	STANDARDS AND CAFE 16
324	324	STANDARDS 17
325	325	Subtitle A—Establishment of New 18
326	326	Passenger Automobile Standards 19
327	327	SEC. 401. DEFINITIONS. 20
328	328	In this subtitle: 21
329	329	(1) A
330	330	DMINISTRATOR.—The term ‘‘Adminis-22
331	331	trator’’ means the Administrator of the Environ-23
332	332	mental Protection Agency. 24
333	333	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
334	334	ssavage on LAPJG3WLY3PROD with BILLS 12
335	335	•S 711 IS
336	336	(2) CAFE STANDARDS.—The term ‘‘CAFE 1
337	337	standards’’ means the Corporate Average Fuel 2
338	338	Economy standards required under section 32902(a) 3
339	339	of title 49, United States Code. 4
340	340	(3) G
341	341	REENHOUSE GAS EMISSIONS .—The term 5
342	342	‘‘greenhouse gas emissions’’ means emissions of car-6
343	343	bon dioxide, methane, nitrous oxide, and other gases 7
344	344	that contribute to climate change. 8
345	345	(4) S
346	346	ECRETARY.—The term ‘‘Secretary’’ means 9
347	347	the Secretary of Transportation. 10
348	348	SEC. 402. ESTABLISHMENT OF CAFE STANDARDS AND 11
349	349	GREENHOUSE GAS EMISSIONS STANDARDS. 12
350	350	(a) N
351	351	EWSTANDARDS.— 13
352	352	(1) CAFE
353	353	STANDARDS.—Not later than 180 14
354	354	days after the date of enactment of this Act, the 15
355	355	Secretary, in consultation with the Secretary of En-16
356	356	ergy and the Administrator, shall establish CAFE 17
357	357	standards for passenger automobiles (as defined in 18
358	358	section 32901(a) of title 49, United States Code) 19
359	359	and light-duty trucks (as defined in section 20
360	360	86.1803–01 of title 40, Code of Federal Regulations 21
361	361	(or a successor regulation)) for model years 2027 22
362	362	through 2035 in accordance with this section. 23
363	363	(2) EPA
364	364	EMISSIONS STANDARDS .—Not later 24
365	365	than 180 days after the date of enactment of this 25
366	366	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
367	367	ssavage on LAPJG3WLY3PROD with BILLS 13
368	368	•S 711 IS
369	369	Act, and notwithstanding any other provision of law, 1
370	370	the Administrator, in coordination with the Sec-2
371	371	retary, shall establish standards for greenhouse gas 3
372	372	emissions from new motor vehicles and new motor 4
373	373	vehicle engines (as those terms are defined in section 5
374	374	216 of the Clean Air Act (42 U.S.C. 7550)) under 6
375	375	section 202 of the Clean Air Act (42 U.S.C. 7521) 7
376	376	for model years 2027 through 2035 in accordance 8
377	377	with this section. 9
378	378	(b) R
379	379	EQUIREMENTS.— 10
380	380	(1) B
381	381	ASES.—The CAFE standards and green-11
382	382	house gas emissions standards established under 12
383	383	paragraphs (1) and (2), respectively, of subsection 13
384	384	(a) shall— 14
385	385	(A) be based on economic practicability 15
386	386	and reflect achievable technological advance-16
387	387	ments based on market readiness and afford-17
388	388	ability; and 18
389	389	(B) be based on evidence from industry ca-19
390	390	pacity, historical data, and independent expert 20
391	391	assessments to determine feasibility and eco-21
392	392	nomic impact, including on motor vehicle manu-22
393	393	facturing job quality and stability. 23
394	394	(2) CAFE
395	395	STANDARDS.—Notwithstanding any 24
396	396	other provision of law, in establishing the CAFE 25
397	397	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
398	398	ssavage on LAPJG3WLY3PROD with BILLS 14
399	399	•S 711 IS
400	400	standards under subsection (a)(1), the Secretary 1
401	401	may not consider the fuel economy of dedicated 2
402	402	automobiles in any baseline fleet or scenario. 3
403	403	(3) G
404	404	REENHOUSE GAS STANDARDS .—Notwith-4
405	405	standing any other provision of law, the greenhouse 5
406	406	gas emissions standards established under sub-6
407	407	section (a)(2)— 7
408	408	(A) shall be technologically feasible and 8
409	409	economically practicable for vehicles of any 9
410	410	weight class or category when operated on re-10
411	411	formulated gasoline that complies with section 11
412	412	211(o) of the Clean Air Act (42 U.S.C. 12
413	413	7545(o)); and 13
414	414	(B) shall not require, directly or indirectly, 14
415	415	the production or sale of vehicles operated on 15
416	416	electricity. 16
417	417	(c) C
418	418	ONSULTATION.— 17
419	419	(1) I
420	420	N GENERAL.—In establishing the CAFE 18
421	421	standards and greenhouse gas emissions standards 19
422	422	required under paragraphs (1) and (2), respectively, 20
423	423	of subsection (a), the Secretary and the Adminis-21
424	424	trator shall, after providing adequate notice, consult 22
425	425	with manufacturers (as defined in section 32901(a) 23
426	426	of title 49, United States Code), energy producers, 24
427	427	consumer groups, and other relevant stakeholders. 25
428	428	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00014 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
429	429	ssavage on LAPJG3WLY3PROD with BILLS 15
430	430	•S 711 IS
431	431	(2) USE OF FEEDBACK.—Any feedback received 1
432	432	from an entity described in paragraph (1) during a 2
433	433	consultation described in that paragraph shall be 3
434	434	considered by the Secretary and the Administrator 4
435	435	to ensure the CAFE standards and greenhouse gas 5
436	436	emissions standards required under paragraphs (1) 6
437	437	and (2), respectively, of subsection (a) are techno-7
438	438	logically and economically achievable. 8
439	439	(d) R
440	440	EPORTS; ADJUSTMENT OFSTANDARDS.— 9
441	441	(1) R
442	442	EPORTS.—The Secretary and the Adminis-10
443	443	trator shall each submit to Congress a biennial re-11
444	444	port detailing progress toward achieving the applica-12
445	445	ble standards established under subsection (a) for 13
446	446	2035. 14
447	447	(2) A
448	448	DJUSTMENT OF STANDARDS .—Based on 15
449	449	findings in a report submitted under paragraph (1), 16
450	450	including market conditions, technological advance-17
451	451	ments, and economic impact assessments, the Sec-18
452	452	retary and the Administrator, as applicable, may ad-19
453	453	just the CAFE standards and greenhouse gas emis-20
454	454	sions standards required under paragraphs (1) and 21
455	455	(2), respectively, of subsection (a). 22
456	456	(e) C
457	457	ONTINUATION OF CURRENTSTANDARDS.—If 23
458	458	the Secretary and the Administrator do not establish the 24
459	459	CAFE standards and greenhouse gas emissions standards 25
460	460	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00015 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
461	461	ssavage on LAPJG3WLY3PROD with BILLS 16
462	462	•S 711 IS
463	463	required under paragraphs (1) and (2), respectively, of 1
464	464	subsection (a) by the deadlines described in those para-2
465	465	graphs, the CAFE standards and greenhouse gas emis-3
466	466	sions standards for model year 2025 shall continue in ef-4
467	467	fect through model year 2035. 5
468	468	SEC. 403. COMPLIANCE WITH FLEET AVERAGE CARBON DI-6
469	469	OXIDE EMISSIONS STANDARDS. 7
470	470	(a) G
471	471	REENHOUSE GASEMISSIONSSTANDARDS.— 8
472	472	Section 206 of the Clean Air Act (42 U.S.C. 7525) is 9
473	473	amended by adding at the end the following: 10
474	474	‘‘(i) D
475	475	EEMEDCOMPLIANCE.—If a manufacturer com-11
476	476	plies with the applicable Corporate Average Fuel Economy 12
477	477	standards required under section 32902(a) of title 49, 13
478	478	United States Code, in a model year with respect to the 14
479	479	passenger automobiles, non-passenger automobiles, and 15
480	480	work trucks (as those terms are defined in section 16
481	481	32901(a) of that title) manufactured by the manufacturer, 17
482	482	including through payment of civil penalties pursuant to 18
483	483	section 32919 of that title or through the purchase of 19
484	484	credits available to the manufacturer under section 32903 20
485	485	of that title, the manufacturer shall be considered to be 21
486	486	in compliance with fleet-average greenhouse gas emissions 22
487	487	standards under section 202, including fleet-average car-23
488	488	bon dioxide emissions standards, that are applicable to 24
489	489	those vehicles in that model year.’’. 25
490	490	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00016 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
491	491	ssavage on LAPJG3WLY3PROD with BILLS 17
492	492	•S 711 IS
493	493	(b) CAFE STANDARDS.—Section 32902 of title 49, 1
494	494	United States Code, is amended by adding at the end the 2
495	495	following: 3
496	496	‘‘(l) D
497	497	EEMEDCOMPLIANCE.—If a manufacturer com-4
498	498	plies with the fleet-average greenhouse gas emissions 5
499	499	standards under section 202 of the Clean Air Act (42 6
500	500	U.S.C. 7521), including fleet-average carbon dioxide emis-7
501	501	sions standards, for light-duty vehicles and medium-duty 8
502	502	vehicles (as those terms are defined in section 86.1803– 9
503	503	01 of title 40, Code of Federal Regulations (or a successor 10
504	504	regulation) for a model year, including through purchased 11
505	505	credits, the manufacturer shall be considered to be in com-12
506	506	pliance with the average fuel economy standard prescribed 13
507	507	under this section applicable to those vehicles in that 14
508	508	model year.’’. 15
509	509	SEC. 404. AUTHORIZATION OF APPROPRIATIONS. 16
510	510	There are authorized to be appropriated such sums 17
511	511	as are necessary to carry out this subtitle and the amend-18
512	512	ments made by this subtitle. 19
513	513	Subtitle B—Establishment of New 20
514	514	Heavy-Duty Vehicle Standards 21
515	515	SEC. 411. ESTABLISHMENT OF HEAVY-DUTY VEHICLE 22
516	516	GREENHOUSE GAS EMISSIONS STANDARDS. 23
517	517	(a) D
518	518	EFINITIONS.—In this section: 24
519	519	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00017 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
520	520	ssavage on LAPJG3WLY3PROD with BILLS 18
521	521	•S 711 IS
522	522	(1) ADMINISTRATOR.—The term ‘‘Adminis-1
523	523	trator’’ means the Administrator of the Environ-2
524	524	mental Protection Agency. 3
525	525	(2) G
526	526	REENHOUSE GAS EMISSIONS .—The term 4
527	527	‘‘greenhouse gas emissions’’ means emissions of car-5
528	528	bon dioxide, methane, nitrous oxide, and other gases 6
529	529	that contribute to climate change. 7
530	530	(b) N
531	531	EWSTANDARDS.— 8
532	532	(1) I
533	533	N GENERAL.—Not later than 180 days 9
534	534	after the date of enactment of this Act, the Adminis-10
535	535	trator, in consultation with the Secretary of Trans-11
536	536	portation, shall publish in the Federal Register new 12
537	537	greenhouse gas emissions standards for heavy-duty 13
538	538	trucks beginning no earlier than model year 2027. 14
539	539	(2) I
540	540	NTERIM STANDARDS .—During the period 15
541	541	beginning on the date of enactment of this Act and 16
542	542	ending on the date on which the new greenhouse gas 17
543	543	emissions standards established under paragraph (1) 18
544	544	is finalized, the greenhouse gas emissions standards 19
545	545	for heavy-duty trucks shall be the standards for 20
546	546	model year 2024 as described in the final rule of the 21
547	547	Administrator and the Administrator of the National 22
548	548	Highway Traffic Safety Administration entitled 23
549	549	‘‘Greenhouse Gas Emissions and Fuel Efficiency 24
550	550	Standards for Medium- and Heavy-Duty Engines 25
551	551	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00018 Fmt 6652 Sfmt 6201 E:\BILLS\S711.IS S711
552	552	ssavage on LAPJG3WLY3PROD with BILLS 19
553	553	•S 711 IS
554	554	and Vehicles—Phase 2’’ (81 Fed. Reg. 73478 (Octo-1
555	555	ber 25, 2016)). 2
556	556	(c) R
557	557	EQUIREMENTS.—The greenhouse gas emissions 3
558	558	standards established under subsection (b)(1) shall— 4
559	559	(1) reflect achievable technological advance-5
560	560	ments based on market readiness and affordability; 6
561	561	and 7
562	562	(2) be based on evidence from industry capac-8
563	563	ity, historical market adoption data, technological 9
564	564	advancements, and independent expert assessments 10
565	565	to determine feasibility and economic impact, includ-11
566	566	ing on motor vehicle manufacturing job quality and 12
567	567	stability. 13
568	568	(d) C
569	569	ONSULTATION.—In establishing the greenhouse 14
570	570	gas emissions standards under subsection (b)(1), the Ad-15
571	571	ministrator shall, after providing adequate notice, consult 16
572	572	with manufacturers, automotive dealers, end users, energy 17
573	573	producers, consumer groups, and other relevant stake-18
574	574	holders. 19
575	575	Æ
576	576	VerDate Sep 11 2014 16:20 Mar 15, 2025 Jkt 059200 PO 00000 Frm 00019 Fmt 6652 Sfmt 6301 E:\BILLS\S711.IS S711
577	577	ssavage on LAPJG3WLY3PROD with BILLS