Integrated resource planning modernization grants program

(a) Establishment The Secretary shall establish a program, to be known as the Integrated Resource Planning Modernization Grants Program, under which the Secretary shall, subject to the availability of appropriations, provide grants to States in accordance with this section. (b) State implementation plans (1) In general A State may apply for a grant under the Integrated Resource Planning Modernization Grants Program by submitting to the Secretary a plan describing how the State intends to use the grant in accordance with subsection (c). (2) Progress report Not later than 2 years after a State receives a grant under the Integrated Resource Planning Modernization Grants Program, the State shall submit to the Secretary a report describing how the grant has been used and the progress the State has made— (A) in the case of a vertically integrated State, developing or updating the integrated resource planning requirements, statutes, or regulations of the State; and (B) in the case of a restructured State, coordinating with electric utilities, balancing area authorities, and Transmission Organizations to develop and implement a strategy to employ integrated resource planning in the State. (c) Use of grants (1) Vertically integrated States A vertically integrated State that receives a grant under the Integrated Resource Planning Modernization Grants Program— (A) shall use the grant to— (i) develop or update integrated resource planning requirements, statutes, or regulations of the State to be partly or fully consistent with guidelines and best practices published under section 2; (ii) support regulated electric utilities with complying with such requirements, statutes, or regulations; and (iii) support non-regulated electric utilities (including municipal utilities and electric cooperatives) that choose to participate in integrated resource planning that complies with such requirements, statutes, or regulations; and (B) may use the grant to— (i) pay expenses associated with consultants (including private consultants and federally funded research and development centers), staffing, software and modeling, and stakeholder engagement activities necessary for the State public utility commission and State energy offices to develop or update integrated resource planning requirements, statutes, or regulations of the State as described in subparagraph (A)(i); and (ii) provide amounts to electric utilities, balancing area authorities, and Transmission Organizations, which may be used to recover the costs of complying with such requirements, statutes, or regulations. (2) Restructured States A restructured State that receives a grant under the Integrated Resource Planning Modernization Grants Program— (A) shall use the grant to coordinate with electric utilities, balancing area authorities, and Transmission Organizations to develop and implement a strategy to employ integrated resource planning in the State that is partly or fully consistent with the guidelines and best practices published under section 2; and (B) may use such grant to— (i) pay expenses associated with consultants (including private consultants and federally funded research and development centers), staffing, software and modeling, and stakeholder engagement activities necessary for the State to develop and implement a strategy to employ integrated resource planning in the State as described in subparagraph (A); and (ii) provide amounts to electric utilities, balancing area authorities, and Transmission Organizations, which may be used to recover the costs of implementing the strategy described in subparagraph (A). (d) First applications A State may apply for a grant provided under the Integrated Resource Planning Modernization Grants Program beginning not later than 6 months after the initial publication of the guidelines and best practices under section 2. (e) Deadline To use grant A State that receives a grant provided under the Integrated Resource Planning Modernization Grants Program shall use such grant by not later than the date that is 5 years after the date on which the State received the grant. (f) Grant formula The Secretary shall determine the amount of a grant provided under the Integrated Resource Planning Modernization Grants Program based on— (1) whether the State already requires electric utilities to employ integrated resource planning; (2) the comprehensiveness of the State’s implementation plan submitted under subsection (b), including the extent to which the implementation plan incorporates components of the guidelines and best practices published under section 2; (3) the number of electricity consumers in the State; (4) the capacity and mix of electric generating and transmitting infrastructure in the State; (5) the number and diversity of electric utilities, balancing area authorities, and Transmission Organizations engaged in the electricity system planning and operation activities of the State; and (6) any other factor the Secretary determines appropriate to support integrated resource planning.