Support for Fossil Fuel Regions: Funds for Economic Transition
This act establishes a financial support program for states and tribes whose economies rely on fossil fuel extraction. The funds are intended to help create new jobs and develop other industries to mitigate the effects of transitioning to cleaner energy sources. The money cannot be used for further fossil fuel investments or lobbying.
Key points
States and tribes that historically derived revenue from fossil fuel extraction may receive annual payments.
The amount of support depends on historical extraction levels, mineral revenues, regional economic conditions, and the submitted development plan.
Funds must be used for economic development and diversification, such as creating new businesses and jobs in other sectors.
There is a prohibition on using the funds for fossil fuel-related investments and lobbying activities.
Recipients of support must submit a plan for using the funds and regularly report on their expenditures.
The act requires adherence to specific labor standards, including minimum wage and the right to organize, for projects funded by these means.
Violation of the rules for using the funds or failure to report may result in the need to repay the received funds and exclusion from the program.
Expired
Additional Information
Print number: 117_HR_5193
Sponsor: Rep. Leger Fernandez, Teresa [D-NM-3]
Process start date: 2021-09-07