text: SECTION 1. TAX CREDIT FOR ENERGY CONSERVATION EXPENDITURES.
  
      (a) In General.--Subpart C of part IV of subchapter A of chapter 1 
  of the Internal Revenue Code of 1986 (relating to refundable credits) 
  is amended by redesignating section 35 as section 36 and by inserting 
  after section 34 the following new section:
  
  ``SEC. 35. ENERGY CONSERVATION EXPENDITURES.
  
      ``(a) Allowance of Credit.--In the case of an individual, there 
  shall be allowed as a credit against the tax imposed by this subtitle 
  for the taxable year an amount equal to the energy conservation 
  expenditures made by the taxpayer during such year.
      ``(b) Maximum Credit.--The amount of the credit allowed under 
  subsection (a) with respect to each dwelling unit for the taxable year 
  shall not exceed $2,000.
      ``(c) Energy Conservation Expenditures.--For purposes of this 
  section--
              ``(1) In general.--The term `energy conservation 
          expenditures' means expenditures made by the taxpayer for 
          qualified energy property--
                      ``(A) which is certified to equal or exceed energy 
                  conservation standards for such property or for the 
                  installation of such property as prescribed by the 
                  Secretary, in consultation with the Secretary of 
                  Energy, and
                      ``(B) which is installed on or in connection with a 
                  dwelling unit--
                              ``(i) which is located in the United 
                          States, and
                              ``(ii) which is used by the taxpayer as a 
                          residence.
          Such term includes expenditures for labor costs properly 
          allocable to the onsite preparation, assembly, or installation 
          of the property.
              ``(2) Qualified energy property.--
                      ``(A) In general.--The term `qualified energy 
                  property' means--
                              ``(i) swimming pool and hot tub covers,
                              ``(ii) ceiling insulation,
                              ``(iii) weatherstripping,
                              ``(iv) water heater insulation blankets,
                              ``(v) low-flow showerheads,
                              ``(vi) caulking in ceilings,
                              ``(vii) insulation of plenums and ducts,
                              ``(viii) installation of storm windows with 
                          a U-value of 0.45 or less,
                              ``(ix) thermal doors and windows,
                              ``(x) duty cyclers,
                              ``(xi) clock thermostats,
                              ``(xii) evaporative coolers,
                              ``(xiii) whole house fans,
                              ``(xiv) external shading devices,
                              ``(xv) thermal energy storage devices with 
                          central control systems,
                              ``(xvi) controls and automatic switching 
                          devices between natural and electric lighting, 
                          or
                              ``(xvii) any other property that the 
                          Secretary of Energy determines to be an 
                          effective device for the conservation of 
                          energy.
      ``(d) Certification.--
              ``(1) Products.--A certification with respect to a 
          qualified energy property shall be made by the manufacturer of 
          such property.
              ``(2) Installation.--A certification with respect to the 
          installation of a qualified energy property shall be made by 
          the person who sold or installed the property.
              ``(3) Form of certifications.--Certifications referred to 
          in this subsection shall be in such form as the Secretary shall 
          prescribe, and, except in the case of a certification by a 
          representative of a local building regulatory authority, shall 
          include the taxpayer identification number of the person making 
          the certification.
      ``(e) Special Rules.--For purposes of this section--
              ``(1) Dollar amounts in case of joint occupancy.--In the 
          case of any dwelling unit which if jointly occupied and used 
          during any calendar year as a residence by 2 or more 
          individuals the following shall apply:
                      ``(A) The amount of the credit allowable under 
                  subsection (a) by reason of expenditures (as the case 
                  may be) made during such calendar year by any of such 
                  individuals with respect to such dwelling unit shall be 
                  determined by treating all of such individuals as 1 
                  taxpayer whose taxable year is such calendar year.
                      ``(B) There shall be allowable with respect to such 
                  expenditures to each of such individuals, a credit 
                  under subsection (a) for the taxable year in which such 
                  calendar year ends in an amount which bears the same 
                  ratio to the amount determined under subparagraph (A) 
                  as the amount of such expenditures made by such 
                  individual during such calendar year bears to the 
                  aggregate of such expenditures made by all of such 
                  individuals during such calendar year.
              ``(2) Tenant-stockholder in cooperative housing 
          corporation.--In the case of an individual who is a tenant-
          stockholder (as defined in section 216) in a cooperative 
          housing corporation (as defined in such section), such 
          individual shall be treated as having made his tenant-
          stockholder's proportionate share (as defined in section 
          216(b)(3)) of any expenditures of such corporation.
              ``(3) Condominiums.--
                      ``(A) In general.--In the case of an individual who 
                  is a member of a condominium management association 
                  with respect to a condominium which he owns, such 
                  individual shall be treated as having made his 
                  proportionate share of any expenditures of such 
                  association.
                      ``(B) Condominium management association.--For 
                  purposes of this paragraph, the term `condominium 
                  management association' means an organization which 
                  meets the requirements of paragraph (1) of section 
                  528(c) (other than subparagraph (E) thereof) with 
                  respect to a condominium project substantially all of 
                  the units of which are used as residences.
              ``(4) Joint ownership of energy items.--
                      ``(A) In general.--Any expenditure otherwise 
                  qualifying as a energy conservation expenditure shall 
                  not be treated as failing to so qualify merely because 
                  such expenditure was made with respect to 2 or more 
                  dwelling units.
                      ``(B) Limits applied separately.--In the case of 
                  any expenditure described in subparagraph (A), the 
                  amount of the credit allowable under subsection (a) 
                  shall (subject to paragraph (1)) be computed separately 
                  with respect to the amount of the expenditure made for 
                  each dwelling unit.
              ``(5) Allocation in certain cases.--If less than 80 percent 
          of the use of an item is for nonbusiness residential purposes, 
          only that portion of the expenditures for such item which is 
          properly allocable to use for nonbusiness residential purposes 
          shall be taken into account.
              ``(6) When expenditure made; amount of expenditure.--
                      ``(A) In general.--Except as provided in 
                  subparagraph (B), an expenditure with respect to an 
                  item shall be treated as made when the original 
                  installation of the item is completed.
                      ``(B) Expenditures part of building construction.--
                  In the case of an expenditure in connection with the 
                  construction or reconstruction of a structure, such 
                  expenditure shall be treated as made when the original 
                  use of the constructed or reconstructed structure by 
                  the taxpayer begins.
                      ``(C) Amount.--The amount of any expenditure shall 
                  be the cost thereof.
              ``(7) Other applicable rules.--Rules similar to the rules 
          of paragraphs (4) and (5) of section 48(a) shall apply for 
          purposes of this section.
      ``(f) Basis Adjustments.--For purposes of this subtitle, if a 
  credit is allowed under this section for any expenditure with respect 
  to any property, the increase in the basis of such property which would 
  (but for this subsection) result from such expenditure shall be reduced 
  by the amount of the credit so allowed.
      ``(g) Denial of Double Benefit.--No deduction or other credit shall 
  be allowed under this chapter for any expenditure for which credit is 
  allowed under this section.
      ``(h) Election To Have Credit Not Apply.--A taxpayer may elect to 
  have this section not apply for any taxable year.
      ``(i) Application of Section.--This section shall apply to 
  expenditures with respect to property placed in service after December 
  31, 2000.''.
      (b) Conforming Amendments.--
              (1) Section 1324(b)(2) of title 31, United States Code, is 
          amended by striking ``or'' before ``enacted'' and by inserting 
          before the period at the end ``, or from section 35 of such 
          Code''.
              (2) The table of sections for subpart C of part IV of 
          subchapter A of chapter 1 of the Internal Revenue Code of 1986 
          is amended by striking the item relating to section 35 and 
          inserting the following new items:
  
                                ``Sec. 35. Energy conservation 
                                          expenditures.
                                ``Sec. 36. Overpayments of tax.''.
      (c) Effective Date.--The amendments made by this section shall 
  apply to taxable years ending after December 31, 2000.
  
  SEC. 2. FINANCIAL ASSISTANCE TO RETROFIT SCHOOLS TO INCREASE ENERGY 
                EFFICIENCY AND CONSERVATION.
  
      (a) In General.--The Secretary of Energy shall establish a program 
  to be known as the ``Elementary and Secondary School Energy Efficiency 
  and Conservation Program''.
      (b) Grants.-- In carrying out this section, the Secretary shall 
  provide grants to local educational agencies to retrofit elementary and 
  secondary schools to increase energy efficiency and conservation.
      (c) Eligibility.--To be eligible to receive a grant under this 
  section, a local educational agency shall submit to the Secretary an 
  application at such time, in such manner, and containing such 
  information as the Secretary may require.
      (d) Use of Funds.--Amounts provided to a local educational agency 
  under a grant under this section shall be used to pay the costs of--
              (1)(A) energy-efficient heating, ventilation, and air 
          conditioning; and
              (B) other equipment that would increase the energy 
          efficiency of a school; and
              (2) insulation and other materials and equipment that would 
          decrease the amount of energy required to operate a school.
      (e) Priority.--In awarding grants under this section, the Secretary 
  shall give priority to projects to retrofit elementary and secondary 
  schools in low-income school districts.
      (f) Cost Sharing.--
              (1) In general.--Except as provided in paragraph (2), the 
          Federal share of the cost of a project funded with a grant 
          under this section shall be not more than 50 percent.
              (2) Financial hardship.--In a case of financial hardship, 
          the Secretary may provide a grant in an amount exceeding 50 
          percent of the cost of the project.
      (g) Authorization of Appropriations.--There is authorized to be 
  appropriated to carry out this section $20,000,000 for each of fiscal 
  years 2002 through 2006.
  
  SEC. 3. ELECTRIC UTILITY DISCLOSURE OF PEAK HOUR AND NONPEAK HOUR 
                ELECTRIC ENERGY USE BY CONSUMERS.
  
      Each electric utility that sells electric energy at retail shall--
              (1) disclose in each billing statement--
                      (A) the amount of electric energy used by the 
                  consumer during peak hours (as defined by the electric 
                  utility) and nonpeak hours during the billing period; 
                  and
                      (B) the rate charged during peak hours and nonpeak 
                  hours during the billing period; and
              (2) from time to time provide consumers information 
          concerning ways of reducing electric energy consumption during 
          peak hours.
target: Amends the Internal Revenue Code to allow an annual residential energy credit of up to $2,000 for qualifying conservation expenditures.Directs the Secretary of Energy to establish the Elementary and Secondary School Energy Efficiency and Conservation Program to provide grants to local educational agencies to retrofit schools for increased energy conservation.Requires electric utility company billing statements to provide peak and nonpeak hour energy use and rate information.
feat_title: A bill to amend the Internal Revenue Code of 1986 to provide a refundable personal credit for energy conservation expenditures, and for other purposes.