Climate Pollution Standard and Community Investment Act of 2025

# Summary of Proposed Clean Air Act Amendments This document proposes significant amendments to the Clean Air Act, creating a comprehensive framework for addressing greenhouse gas emissions while supporting affected workers and communities. ## Key Environmental Framework - Establishes a cap-and-trade system for greenhouse gas emissions through "emission allowances" (Title VII) - Creates "covered entities" required to comply with emissions limits - Implements an "International Reserve Allowance Program" for imported goods to prevent carbon leakage - Sets up a "Negative Emissions Activities Fund" to support carbon sequestration projects ## Major Funding Mechanisms 1. **Worker and Community Assistance Fund** (Section 103) - Supports transition assistance for workers and communities affected by the clean energy transition 2. **Cleaner Air Community Fund** (Section 104) - Funds community-based programs to improve air quality and support environmental justice 3. **Negative Emissions Activities Fund** (Section 105) - Supports programs that remove carbon from the atmosphere 4. **Energy Innovation Fund** (Section 106) - Funds research and development for clean energy technologies 5. **Clean Energy Rebate Program** (Section 102) - Provides direct rebates to eligible households for clean energy investments ## Worker and Community Assistance Programs - **Section 201-208** establishes a comprehensive program to support workers and communities affected by the transition to clean energy - **Adversely affected workers** (those partially or totally separated from employment at impacted employers) receive: - Wage adjustment assistance (up to 36 months) - Health insurance continuation (80% premium coverage for 36 months) - Educational benefits comparable to veterans' education programs - Employment services and training - **Adversely affected communities** (local governments facing significant tax revenue loss) receive: - Annual payments to replace lost local revenues (90% in first two years, decreasing to 25% in years seven and eight) - Grants for economic diversification planning - Community-Based Transition Hubs to coordinate local assistance efforts ## Key Features - **International Reserve Allowance Program** (Section 751-752) to ensure imported goods meet the same emissions standards as domestic products - **Conforming amendments** to the Clean Air Act to integrate these new programs - **Interagency coordination** through the Interagency Energy and Economic Transition Task Force - **Stakeholder Advisory Committee** to provide input from affected communities and workers - **Worker and Community Transition Report** to be submitted to Congress biennially This legislation represents a comprehensive approach to addressing climate change while simultaneously creating a safety net for workers and communities impacted by the transition to a clean energy economy.