Sponsor
Sean Casten
Representative · D-IL
Representative · D-IL
The bill provides targeted payments and community benefits to jurisdictions that host major transmission projects—supporting infrastructure, workforce training, broadband, and conservation—but creates timing, adequacy, and administrative risks for recipients and diverts some federal loan interest away from other DOE program uses.
Local governments and Indian Tribes hosting covered transmission projects will receive dedicated payments they can use to address community needs.
Communities may use up to 80% of payments for public services and infrastructure (schools, hospitals, roads), supporting local services and quality of life.
Payments can support workforce training for renewable energy careers, creating local job and training opportunities, especially for underrepresented groups.
Payments depend on amounts deposited into the Fund and later appropriations, so host communities may face uncertainty and delays in receiving funds despite project impacts.
Limiting compensation to one payment per host community per project may undercompensate communities for prolonged or multiple impacts from large transmission projects.
Requiring communities to request payment within one year and certify eligible uses creates administrative burden and raises the risk of losing funds if deadlines or certification standards are missed.
Based on analysis of 2 sections of legislative text.
Establishes a fund paid from portions of interest on specified federal transmission loans to make payments to local governments and Indian Tribes hosting eligible transmission projects.
Official title: To support communities that host transmission lines and to promote conservation and recreation, and for other purposes.
Introduced September 17, 2025 by Sean Casten · Last progress September 17, 2025
Creates a new Community Economic Development Transmission Fund at the Treasury, managed by the Secretary of Energy, to collect and hold portions of interest on specified federal transmission loans and make payments to local governments and Indian Tribes that host large electric transmission projects. Payments must be requested and certified by host communities and are limited to one payment per project; the Fund is available as provided in appropriation Acts and the Secretary must issue payment no later than 18 months after project construction begins. The Fund applies to loans from the Transmission Facilitation Program, certain Western Area Power Administration transmission loans, and DOE loans that finance very large (>=999 MW) transmission lines; the Secretary, with the Treasury Secretary, sets what portion of loan interest is deposited each year to the Fund.