Senator Durbin introduces legislation to invest in a clean climate future

HENDERSON, Ky. (WEHT) – U.S. Senator Dick Durbin reintroduced the “America’s Clean Future Fund Act,” which is intended to be a bill that would spur job creation by investing in a clean energy economy. 

According to Sen. Durbin, the bill seeks to:

• Drive carbon emissions reductions to combat the climate crisis.
• Provide economic transition assistance to environmental justice (EJ) communities, farmers and fossil fuel-reliant communities.
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• Provide financing for climate resilience and clean energy projects.

“The climate crisis is already here.  We are seeing more extreme weather, like deep freezes and searing heat waves, and if we hope to curb the dangerous effects of this human-driven crisis, we must act now,” Sen. Durbin said.  “The ‘America’s Clean Future Fund Act’ would invest in clean energy projects to spur economic growth across the country.”

According to Sen. Durbin, the most recent National Climate Assessment indicates the climate crisis is already impacting every region and worsening, leading to the loss of American lives, infrastructure and property, as well as slowing the rate of economic growth. Officials say in 2024, the United States experienced 27 natural disaster events that caused more $1 billion in damage, and that figure continues to rise. Sen. Durbin says the assessment calls for rapid cuts to emissions from human activity to reduce the harmful impacts of a warming planet. 

Sen. Durbin says although policies like the “Inflation Reduction Act” made significant investments to combat the climate crisis and supercharge the economy, Republicans stopped that investment by repealing the IRA’s clean energy provisions with the “One Big Beautiful Bill.” According to Sen. Durbin, the Republican bill hands clean energy leadership to China, costs the economy more than 700,000 jobs by 2030 and is projected to raise electricity prices for Americans by more than $100 next year. Sen. Durbin says the “America’s Clean Future Fund Act” would change this.

According to Sen. Durbin, specifically, the “America’s Clean Future Fund Act” would:

• Institute an economy-wide carbon price.
  • Two years after enactment, the bill would apply a carbon fee of $75/metric ton of CO₂ equivalent for fossil fuel producers, and two years later for non-fossil high emissions facilities.  The fee would increase by $10/year above the consumer price index.  A border adjustment would also be imposed on imported covered fuels and carbon-intensive goods to ensure an “equal playing field” for American companies.
• Establish the Climate Change Finance Corporation (C2FC).
  • The bill would create a new, independent federal agency tasked with financing climate change mitigation and adaptation projects and encouraging private investment.  Projects supported by the C2FC could include energy storage, clean transportation, energy efficiency, climate resilience, research, development and deployment of clean technologies and natural infrastructure, among others. Funding priority would be given to EJ communities, deindustrialized communities and communities most at risk of climate change impacts.
• Provide transition assistance to impacted communities.
  • This bill would provide grants to states, tribes, local governments, non-profits and community-based organizations. Grants would be used for economic and workforce development in communities transitioning from carbon-intensive industries, climate change resiliency in frontline communities and environmental cleanup from the fossil fuel industry in communities impacted by legacy pollution.
• Agricultural Decarbonization Transition Payments.
  • The bill helps eligible farmers in agriculture to finance the transition to improved carbon-reduction practices.
• Provide rebates to individuals.
  • To protect consumers, 75 percent of carbon fee revenues would be paid directly to low- and middle-income individuals through quarterly rebates.

Sen. Durbin shares the bill has earned the endorsement of the Center for Climate and Energy Solutions, Citizen’s Climate Lobby and the National Wildlife Federation.