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Referenced Laws
Section 30D(d)(3)
Section 25E
Public Law 117–169
Section 45W
Section 48C(c)(1)
42 U.S.C. 7521 et seq.
42 U.S.C. 17013
42 U.S.C. 16062(a)
42 U.S.C. 18831(f)
42 U.S.C. 6322
42 U.S.C. 16091
42 U.S.C. 7432
Section 1
1. Short title This Act may be cited as the Putting American Autoworkers First Act of 2023.
Section 2
2. Exclusion of offshoring manufacturers under clean vehicle credit Section 30D(d)(3) of the Internal Revenue Code of 1986 is amended— by striking The term and inserting the following: The term by adding at the end the following: The term qualified manufacturer shall not include any manufacturer (as defined in subparagraph (A)) which, during the applicable period— with respect to the manufacturer or any subsidiary of such manufacturer— moves any production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States, or reduces or eliminates production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtains any such vehicle or part from a producer or manufacturer located outside of the United States, or fails to satisfy the requirements described in clause (iii). For purposes of this subparagraph, the term applicable period means the period— beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, and ending on the date which is 10 years after the date on which the written agreement with the Secretary described in subparagraph (A) has been terminated. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter during the applicable period, any manufacturer which has entered into a written agreement with the Secretary described in subparagraph (A) shall provide the Secretary with such information as the Secretary may require to demonstrate that such manufacturer (including any subsidiaries) has not moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in clause (i)(I). In the case of any manufacturer which, during the applicable period, has moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in clause (i)(I), such manufacturer shall pay to the Secretary a penalty in an amount equal to the total amount of credits allowed under this section with respect to any new clean vehicles manufactured by such manufacturer during the applicable period. Any penalty imposed pursuant to subclause (I) shall be paid by the manufacturer to the Secretary over such period as is determined appropriate by the Secretary. In the case of any manufacturer which, as determined by the Secretary, has failed to satisfy the requirements under subclause (I) or (II) of clause (i) during the applicable period, such determination shall have no effect with respect to any vehicle sold before the date of such determination for purposes of determining whether such vehicle satisfies the requirement under paragraph (1)(C). Section 25E of the Internal Revenue Code of 1986 is amended— by redesignating subsection (g) (as redesignated by section 13402(b) of Public Law 117–169) as subsection (h), and by inserting after subsection (f) the following new subsection: In the case of any manufacturer which, during the applicable period, has moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in section 30D(d)(3)(B)(i)(I), such manufacturer shall pay to the Secretary a penalty in an amount equal to the total amount of credits allowed under this section with respect to any previously-owned clean vehicles manufactured by such manufacturer during the applicable period. Any previously-owned clean vehicle for which a credit was allowed under section 30D shall not be included for purposes of determining the amount of any penalty imposed pursuant to paragraph (1). Any penalty imposed pursuant to paragraph (1) shall be paid by the manufacturer to the Secretary over such period as is determined appropriate by the Secretary. For purposes of this subsection, the terms manufacturer and applicable period shall have the same meanings given such terms under section 30D(d)(3)(B). Section 45W of the Internal Revenue Code of 1986 is amended— by redesignating subsection (g) as subsection (h), and by inserting after subsection (f) the following new subsection: In the case of any manufacturer which, during the applicable period, has moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in section 30D(d)(3)(B)(i)(I), such manufacturer shall pay to the Secretary a penalty in an amount equal to the total amount of credits allowed under this section with respect to any qualified commercial clean vehicles manufactured by such manufacturer during the applicable period. Any penalty imposed pursuant to paragraph (1) shall be paid by the manufacturer to the Secretary over such period as is determined appropriate by the Secretary. For purposes of this subsection, the terms manufacturer and applicable period shall have the same meanings given such terms under section 30D(d)(3)(B). The amendments made by this section shall apply to vehicles sold after the date of enactment of this Act. (A)In generalThe term, and (B)Offshoring exclusion(i)In generalThe term qualified manufacturer shall not include any manufacturer (as defined in subparagraph (A)) which, during the applicable period—(I)with respect to the manufacturer or any subsidiary of such manufacturer—(aa)moves any production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States, or(bb)reduces or eliminates production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtains any such vehicle or part from a producer or manufacturer located outside of the United States, or(II)fails to satisfy the requirements described in clause (iii).(ii)Applicable periodFor purposes of this subparagraph, the term applicable period means the period—(I)beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, and(II)ending on the date which is 10 years after the date on which the written agreement with the Secretary described in subparagraph (A) has been terminated.(iii)ReportingNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter during the applicable period, any manufacturer which has entered into a written agreement with the Secretary described in subparagraph (A) shall provide the Secretary with such information as the Secretary may require to demonstrate that such manufacturer (including any subsidiaries) has not moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in clause (i)(I).(iv)Penalty(I)In generalIn the case of any manufacturer which, during the applicable period, has moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in clause (i)(I), such manufacturer shall pay to the Secretary a penalty in an amount equal to the total amount of credits allowed under this section with respect to any new clean vehicles manufactured by such manufacturer during the applicable period.(II)Period of paymentAny penalty imposed pursuant to subclause (I) shall be paid by the manufacturer to the Secretary over such period as is determined appropriate by the Secretary.(v)Rule of constructionIn the case of any manufacturer which, as determined by the Secretary, has failed to satisfy the requirements under subclause (I) or (II) of clause (i) during the applicable period, such determination shall have no effect with respect to any vehicle sold before the date of such determination for purposes of determining whether such vehicle satisfies the requirement under paragraph (1)(C).. (g)Manufacturer penalty for violations of offshoring rules(1)In generalIn the case of any manufacturer which, during the applicable period, has moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in section 30D(d)(3)(B)(i)(I), such manufacturer shall pay to the Secretary a penalty in an amount equal to the total amount of credits allowed under this section with respect to any previously-owned clean vehicles manufactured by such manufacturer during the applicable period.(2)ExclusionAny previously-owned clean vehicle for which a credit was allowed under section 30D shall not be included for purposes of determining the amount of any penalty imposed pursuant to paragraph (1).(3)Period of paymentAny penalty imposed pursuant to paragraph (1) shall be paid by the manufacturer to the Secretary over such period as is determined appropriate by the Secretary.(4)DefinitionsFor purposes of this subsection, the terms manufacturer and applicable period shall have the same meanings given such terms under section 30D(d)(3)(B).. (g)Manufacturer penalty for violation of offshoring rules(1)In generalIn the case of any manufacturer which, during the applicable period, has moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in section 30D(d)(3)(B)(i)(I), such manufacturer shall pay to the Secretary a penalty in an amount equal to the total amount of credits allowed under this section with respect to any qualified commercial clean vehicles manufactured by such manufacturer during the applicable period.(2)Period of paymentAny penalty imposed pursuant to paragraph (1) shall be paid by the manufacturer to the Secretary over such period as is determined appropriate by the Secretary.(3)DefinitionsFor purposes of this subsection, the terms manufacturer and applicable period shall have the same meanings given such terms under section 30D(d)(3)(B)..
Section 3
3. Exclusion of offshoring manufacturers under qualifying advanced energy project credit Section 48C(c)(1) of the Internal Revenue Code of 1986 is amended by adding at the end the following: Such term shall not include any project of an applicable taxpayer if, during the applicable period— such taxpayer (including any subsidiary of such taxpayer)— moves any production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States, or reduces or eliminates production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtains any such vehicle or part from a producer or manufacturer located outside of the United States, or such taxpayer fails to satisfy the requirements described in clause (iii). For purposes of this subparagraph, the term applicable period means, with respect to any project of the taxpayer, the period— beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, and ending on the date which is 10 years after the end of the last taxable year for which, with respect to such project, a credit determined under subsection (a) is allowed under section 38. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter during the applicable period, any taxpayer which has received a certification under subsection (e) with respect to any project shall provide the Secretary with such information as the Secretary may require to demonstrate that such taxpayer (including any subsidiaries) has not moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in subclause (I) or (II) of clause (i). In the case of any applicable taxpayer which, during the applicable period, has moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in subclause (I) or (II) of clause (i), such taxpayer shall pay to the Secretary a penalty in an amount equal to 200 percent of the total amount of credits allowed under this section with respect to any qualified investments made by such taxpayer during the applicable period. Any penalty imposed pursuant to subclause (I) shall be paid by the applicable taxpayer to the Secretary over such period as is determined appropriate by the Secretary. For purposes of this subparagraph, the term applicable taxpayer means any manufacturer (within the meaning of the regulations prescribed by the Administrator of the Environmental Protection Agency for purposes of the administration of title II of the Clean Air Act (42 U.S.C. 7521 et seq.)). The amendment made by this section shall apply to property placed in service after the date of enactment of this Act. (C)Offshoring exclusion(i)In generalSuch term shall not include any project of an applicable taxpayer if, during the applicable period—(I)such taxpayer (including any subsidiary of such taxpayer)—(aa)moves any production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States, or(bb)reduces or eliminates production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtains any such vehicle or part from a producer or manufacturer located outside of the United States, or(II)such taxpayer fails to satisfy the requirements described in clause (iii).(ii)Applicable periodFor purposes of this subparagraph, the term applicable period means, with respect to any project of the taxpayer, the period—(I)beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, and(II)ending on the date which is 10 years after the end of the last taxable year for which, with respect to such project, a credit determined under subsection (a) is allowed under section 38.(iii)ReportingNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter during the applicable period, any taxpayer which has received a certification under subsection (e) with respect to any project shall provide the Secretary with such information as the Secretary may require to demonstrate that such taxpayer (including any subsidiaries) has not moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in subclause (I) or (II) of clause (i).(iv)Penalty(I)In generalIn the case of any applicable taxpayer which, during the applicable period, has moved, reduced, or eliminated any production, manufacturing, or final assembly in a manner described in subclause (I) or (II) of clause (i), such taxpayer shall pay to the Secretary a penalty in an amount equal to 200 percent of the total amount of credits allowed under this section with respect to any qualified investments made by such taxpayer during the applicable period.(II)Period of paymentAny penalty imposed pursuant to subclause (I) shall be paid by the applicable taxpayer to the Secretary over such period as is determined appropriate by the Secretary.(v)Applicable taxpayerFor purposes of this subparagraph, the term applicable taxpayer means any manufacturer (within the meaning of the regulations prescribed by the Administrator of the Environmental Protection Agency for purposes of the administration of title II of the Clean Air Act (42 U.S.C. 7521 et seq.))..
Section 4
4. Exclusion of offshoring manufacturers under advanced technology vehicles manufacturing incentive program Section 136 of the Energy Independence and Security Act of 2007 (42 U.S.C. 17013) is amended— by striking subsection (e) and inserting the following: In this subsection: The term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity, as applicable— receives the full amount of a facility funding award under subsection (b); or fully pays back a direct loan received under subsection (d). The term covered entity means an entity that— produces, manufactures, or carries out the final assembly of motor vehicles; and receives, after the date of enactment of the Putting American Autoworkers First Act of 2023— a facility funding award under subsection (b); or a direct loan under subsection (d). The term prohibited activity, with respect to an entity described in subparagraph (B)(i), means— moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. Beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, no entity described in clause (i) of paragraph (1)(B) shall be eligible for an award or loan described in clause (ii) of that paragraph if that entity (or a subsidiary of that entity) has carried out a prohibited activity as of that date. As a condition of receiving an award or loan described in paragraph (1)(B)(ii), a covered entity may not, during the applicable period— carry out any prohibited activity; or fail to satisfy the requirement under subparagraph (C). The requirement under subparagraph (A)(i) shall apply to each subsidiary of a covered entity, if applicable. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. If a covered entity becomes noncompliant with the requirements under paragraph (3), the covered entity shall pay to the Secretary— in the case of receiving an award, 200 percent of the amount of the award; and in the case of receiving a loan, the amount of the loan, at a schedule determined by the Secretary, at an interest rate that is double the higher of— the interest rate; and the subsidy rate. Any payment imposed pursuant to subparagraph (A) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary. by redesignating subsection (m) as subsection (l). (e)Eligibility; requirement To not offshore manufacturing(1)DefinitionsIn this subsection:(A)Applicable periodThe term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity, as applicable—(i)receives the full amount of a facility funding award under subsection (b); or(ii)fully pays back a direct loan received under subsection (d). (B)Covered entityThe term covered entity means an entity that—(i)produces, manufactures, or carries out the final assembly of motor vehicles; and(ii)receives, after the date of enactment of the Putting American Autoworkers First Act of 2023— (I)a facility funding award under subsection (b); or(II)a direct loan under subsection (d).(C)Prohibited activityThe term prohibited activity, with respect to an entity described in subparagraph (B)(i), means—(i)moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and(ii)reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States.(2)EligibilityBeginning on the date of enactment of the Putting American Autoworkers First Act of 2023, no entity described in clause (i) of paragraph (1)(B) shall be eligible for an award or loan described in clause (ii) of that paragraph if that entity (or a subsidiary of that entity) has carried out a prohibited activity as of that date.(3)Requirements(A)In generalAs a condition of receiving an award or loan described in paragraph (1)(B)(ii), a covered entity may not, during the applicable period—(i)carry out any prohibited activity; or(ii)fail to satisfy the requirement under subparagraph (C).(B)Subsidiary requirementThe requirement under subparagraph (A)(i) shall apply to each subsidiary of a covered entity, if applicable.(C)ReportNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity.(4)Noncompliance(A)In generalIf a covered entity becomes noncompliant with the requirements under paragraph (3), the covered entity shall pay to the Secretary—(i)in the case of receiving an award, 200 percent of the amount of the award; and(ii)in the case of receiving a loan, the amount of the loan, at a schedule determined by the Secretary, at an interest rate that is double the higher of—(I)the interest rate; and(II)the subsidy rate.(B)Period of paymentAny payment imposed pursuant to subparagraph (A) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary.; and
Section 5
5. Exclusion of offshoring manufacturers under domestic manufacturing conversion grant program Section 712(a) of the Energy Policy Act of 2005 (42 U.S.C. 16062(a)) is amended— in paragraph (2)— by striking The program and inserting the following: The program by adding at the end the following: Beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, no entity described in paragraph (4)(A)(ii)(I) shall be eligible for a grant or loan guarantee under this paragraph if that entity (or a subsidiary of that entity) has carried out a prohibited activity (as defined in paragraph (4)(A)) as of that date. by adding at the end the following: In this paragraph: The term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity, as applicable— receives the full amount of grant funds under paragraph (2); or fully pays back the loan for which a guarantee is provided under that paragraph. The term covered entity means an entity described in paragraph (2) that— produces, manufactures, or carries out the final assembly of motor vehicles; and receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, a grant or loan guarantee under that paragraph. The term prohibited activity, with respect to an entity described in clause (ii)(I), means— moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. As a condition of receiving a grant or loan guarantee under paragraph (2), a covered entity may not, during the applicable period— carry out any prohibited activity; or fail to satisfy the requirement under clause (iii). The requirement under clause (i)(I) shall apply to each subsidiary of a covered entity, if applicable. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. If a covered entity becomes noncompliant with the requirements under subparagraph (B), the covered entity shall pay to the Secretary— in the case of receiving a grant, 200 percent of the amount of the grant; and in the case of receiving a loan guarantee, an amount that is double the cost incurred by the Secretary for administering that loan guarantee. Any payment imposed pursuant to clause (i) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary. (A)In generalThe program; and (B)EligibilityBeginning on the date of enactment of the Putting American Autoworkers First Act of 2023, no entity described in paragraph (4)(A)(ii)(I) shall be eligible for a grant or loan guarantee under this paragraph if that entity (or a subsidiary of that entity) has carried out a prohibited activity (as defined in paragraph (4)(A)) as of that date.; and (4)Requirement to not offshore manufacturing(A)DefinitionsIn this paragraph:(i)Applicable periodThe term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity, as applicable—(I)receives the full amount of grant funds under paragraph (2); or(II)fully pays back the loan for which a guarantee is provided under that paragraph. (ii)Covered entityThe term covered entity means an entity described in paragraph (2) that—(I)produces, manufactures, or carries out the final assembly of motor vehicles; and(II)receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, a grant or loan guarantee under that paragraph.(iii)Prohibited activityThe term prohibited activity, with respect to an entity described in clause (ii)(I), means—(I)moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and(II)reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. (B)Requirements(i)In generalAs a condition of receiving a grant or loan guarantee under paragraph (2), a covered entity may not, during the applicable period—(I)carry out any prohibited activity; or(II)fail to satisfy the requirement under clause (iii).(ii)Subsidiary requirementThe requirement under clause (i)(I) shall apply to each subsidiary of a covered entity, if applicable.(iii)ReportNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity.(C)Noncompliance(i)In generalIf a covered entity becomes noncompliant with the requirements under subparagraph (B), the covered entity shall pay to the Secretary—(I)in the case of receiving a grant, 200 percent of the amount of the grant; and(II)in the case of receiving a loan guarantee, an amount that is double the cost incurred by the Secretary for administering that loan guarantee.(ii)Period of paymentAny payment imposed pursuant to clause (i) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary. .
Section 6
6. Exclusion of offshoring manufacturers under public school energy improvement program Section 40541(f) of the Investment Infrastructure and Jobs Act (42 U.S.C. 18831(f)) is amended by adding at the end the following: In this paragraph: The term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity contracts with an eligible entity as described in clause (ii)(II). The term covered entity means an entity that— produces, manufactures, or carries out the final assembly of motor vehicles; and after the date of enactment of the Putting American Autoworkers First Act of 2023, contracts with an eligible entity to make energy improvements pursuant to a grant provided to the eligible entity under this section. The term prohibited activity, with respect to an entity described in clause (ii)(I), means— moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. Beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, an eligible entity receiving a grant under this section may not use grant amounts to contract with, for the purpose of making energy improvements, an entity described in subparagraph (A)(ii)(I), or a subsidiary of such an entity, if that entity or subsidiary has carried out a prohibited activity as of that date. A covered entity may not, as a condition of the contract with the eligible entity, during the applicable period— carry out a prohibited activity; or fail to satisfy the requirement under subparagraph (E). The requirement under subparagraph (C)(i) shall apply to each subsidiary of a covered entity, if applicable. If an eligible entity intends to use proceeds from a grant under this section to purchase, lease, license, or contract for a motor vehicle from a covered entity, the eligible entity shall notify the covered entity that the sale, lease, license, or contract is being carried out using a grant under this section. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. If a covered entity becomes noncompliant with the requirements under subparagraph (C), the covered entity shall pay to the Secretary the Federal funds paid by the eligible entity to the covered entity under the applicable contract. Any payment imposed pursuant to clause (i) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary. (5)Use of grant funds relating to motor vehicle manufacturers(A)DefinitionsIn this paragraph:(i)Applicable periodThe term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity contracts with an eligible entity as described in clause (ii)(II).(ii)Covered entityThe term covered entity means an entity that—(I)produces, manufactures, or carries out the final assembly of motor vehicles; and (II)after the date of enactment of the Putting American Autoworkers First Act of 2023, contracts with an eligible entity to make energy improvements pursuant to a grant provided to the eligible entity under this section.(iii)Prohibited activityThe term prohibited activity, with respect to an entity described in clause (ii)(I), means—(I)moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and(II)reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. (B)ProhibitionBeginning on the date of enactment of the Putting American Autoworkers First Act of 2023, an eligible entity receiving a grant under this section may not use grant amounts to contract with, for the purpose of making energy improvements, an entity described in subparagraph (A)(ii)(I), or a subsidiary of such an entity, if that entity or subsidiary has carried out a prohibited activity as of that date.(C)Requirements on motor vehicle manufacturersA covered entity may not, as a condition of the contract with the eligible entity, during the applicable period—(i)carry out a prohibited activity; or(ii)fail to satisfy the requirement under subparagraph (E).(D)Subsidiary requirementThe requirement under subparagraph (C)(i) shall apply to each subsidiary of a covered entity, if applicable.(E)Notice to covered entityIf an eligible entity intends to use proceeds from a grant under this section to purchase, lease, license, or contract for a motor vehicle from a covered entity, the eligible entity shall notify the covered entity that the sale, lease, license, or contract is being carried out using a grant under this section.(F)ReportNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity.(G)Noncompliance(i)In generalIf a covered entity becomes noncompliant with the requirements under subparagraph (C), the covered entity shall pay to the Secretary the Federal funds paid by the eligible entity to the covered entity under the applicable contract.(ii)Period of paymentAny payment imposed pursuant to clause (i) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary..
Section 7
7. Exclusion of offshoring manufacturers under State energy program Section 362 of the Energy Policy and Conservation Act (42 U.S.C. 6322) is amended by adding at the end the following: In this subsection: The term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity contracts with a State as described in subparagraph (B)(ii). The term covered entity means an entity that— produces, manufactures, or carries out the final assembly of motor vehicles; and after the date of enactment of the Putting American Autoworkers First Act of 2023, contracts with a State to carry out an energy conservation goal pursuant to a State energy conservation plan submitted under this section. The term prohibited activity, with respect to an entity described in subparagraph (B)(i), means— moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. Beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, a State carrying out a State energy conservation plan submitted under this section may not contract with, for the purpose of carrying out an energy conservation goal, an entity described in paragraph (1)(B)(i), or a subsidiary of such an entity, if that entity or subsidiary has carried out a prohibited activity as of that date. A covered entity may not, as a condition of the contract with the State, during the applicable period— carry out a prohibited activity; or fail to satisfy the requirement under paragraph (5). The requirement under paragraph (3)(A) shall apply to each subsidiary of a covered entity, if applicable. If a State carrying out a State energy conservation plan submitted under this section intends to purchase, lease, license, or contract for a motor vehicle from a covered entity, the State shall notify the covered entity that the sale, lease, license, or contract is being carried out as part of the State energy conservation plan submitted under this section. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. If a covered entity becomes noncompliant with the requirements under paragraph (3), the covered entity shall pay to the Secretary the Federal funds paid by the State to the covered entity under the applicable contract. Any payment imposed pursuant to subparagraph (A) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary. (h)Use of funds relating to motor vehicle manufacturers(1)DefinitionsIn this subsection:(A)Applicable periodThe term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity contracts with a State as described in subparagraph (B)(ii).(B)Covered entityThe term covered entity means an entity that—(i)produces, manufactures, or carries out the final assembly of motor vehicles; and (ii)after the date of enactment of the Putting American Autoworkers First Act of 2023, contracts with a State to carry out an energy conservation goal pursuant to a State energy conservation plan submitted under this section.(C)Prohibited activityThe term prohibited activity, with respect to an entity described in subparagraph (B)(i), means—(i)moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and(ii)reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. (2)ProhibitionBeginning on the date of enactment of the Putting American Autoworkers First Act of 2023, a State carrying out a State energy conservation plan submitted under this section may not contract with, for the purpose of carrying out an energy conservation goal, an entity described in paragraph (1)(B)(i), or a subsidiary of such an entity, if that entity or subsidiary has carried out a prohibited activity as of that date.(3)Requirements on motor vehicle manufacturersA covered entity may not, as a condition of the contract with the State, during the applicable period—(A)carry out a prohibited activity; or(B)fail to satisfy the requirement under paragraph (5).(4)Subsidiary requirementThe requirement under paragraph (3)(A) shall apply to each subsidiary of a covered entity, if applicable.(5)Notice to covered entityIf a State carrying out a State energy conservation plan submitted under this section intends to purchase, lease, license, or contract for a motor vehicle from a covered entity, the State shall notify the covered entity that the sale, lease, license, or contract is being carried out as part of the State energy conservation plan submitted under this section.(6)ReportNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity.(7)Noncompliance(A)In generalIf a covered entity becomes noncompliant with the requirements under paragraph (3), the covered entity shall pay to the Secretary the Federal funds paid by the State to the covered entity under the applicable contract.(B)Period of paymentAny payment imposed pursuant to subparagraph (A) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary..
Section 8
8. Exclusion of offshoring manufacturers under bus grant programs Section 5339(b) of title 49, United States Code, is amended by adding at the end the following: In this paragraph: The term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity receives the full amount of funds provided under this subsection. The term covered entity means an entity that— produces, manufactures, or carries out the final assembly of vehicle , or any subsidiary of such entity; and receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, assistance under this subsection from an eligible recipient. The term prohibited activity, with respect to an covered entity, means— moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. Beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, no entity described in subclause (I) of subparagraph (A)(ii) shall be eligible for assistance under this subsection if that entity (or a subsidiary of that entity) has carried out a prohibited activity as of that date. As a condition of receiving funds under this subsection, a covered entity may not, during the applicable period— carry out any prohibited activity; or fail to satisfy the requirement under clause (iii). The requirement under clause (i)(I) shall apply to each subsidiary of a covered entity, if applicable. If an eligible recipient is not a covered entity and the eligible recipient intends to use proceeds from an award under this subsection to purchase, lease, license, or contract for a vehicle from a covered entity, the eligible recipient shall notify the covered entity that the sale, lease, license, or contract is being carried out using proceeds from an award under this subsection. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, a covered entity shall provide the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. If a covered entity that receives assistance under this subsection after the date of enactment of this paragraph becomes noncompliant with the requirements under subparagraph (C), the covered entity shall pay to the Secretary an amount equal to 100 percent of the amount that consumers of the covered entity paid to the covered entity of assistance under this subsection. Any payment imposed pursuant to clause (i) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary. (12)Require to not offshore manufacturing(A)DefinitionsIn this paragraph:(i)Applicable periodThe term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity receives the full amount of funds provided under this subsection.(ii)Covered entityThe term covered entity means an entity that—(I)produces, manufactures, or carries out the final assembly of vehicle , or any subsidiary of such entity; and(II)receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, assistance under this subsection from an eligible recipient. (iii)Prohibited activityThe term prohibited activity, with respect to an covered entity, means—(I)moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and(II)reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. (B)EligibilityBeginning on the date of enactment of the Putting American Autoworkers First Act of 2023, no entity described in subclause (I) of subparagraph (A)(ii) shall be eligible for assistance under this subsection if that entity (or a subsidiary of that entity) has carried out a prohibited activity as of that date. (C)Requirements(i)In generalAs a condition of receiving funds under this subsection, a covered entity may not, during the applicable period—(I)carry out any prohibited activity; or(II)fail to satisfy the requirement under clause (iii).(ii)Subsidiary requirementThe requirement under clause (i)(I) shall apply to each subsidiary of a covered entity, if applicable.(iii)Notice to covered entityIf an eligible recipient is not a covered entity and the eligible recipient intends to use proceeds from an award under this subsection to purchase, lease, license, or contract for a vehicle from a covered entity, the eligible recipient shall notify the covered entity that the sale, lease, license, or contract is being carried out using proceeds from an award under this subsection. (iv)ReportNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, a covered entity shall provide the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity.(D)Noncompliance(i)In generalIf a covered entity that receives assistance under this subsection after the date of enactment of this paragraph becomes noncompliant with the requirements under subparagraph (C), the covered entity shall pay to the Secretary an amount equal to 100 percent of the amount that consumers of the covered entity paid to the covered entity of assistance under this subsection.(ii)Period of paymentAny payment imposed pursuant to clause (i) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary..
Section 9
9. Exclusion of offshoring manufacturers under low or no emission grant program Section 5339(c) of title 49, United States Code, is amended by adding at the end the following: In this paragraph: The term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity receives the full amount of funds provided under this subsection. The term covered entity means an entity that— produces, manufactures, or carries out the final assembly of vehicles, or any subsidiary of such entity; and receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, assistance from a recipient under this subsection. The term prohibited activity, with respect to an covered entity, means— moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. Beginning on the date of enactment of the Putting American Autoworkers First Act of 2023, no entity described in subclause (I) of subparagraph (A)(ii) shall be eligible for assistance under this subsection if that entity (or a subsidiary of that entity) has carried out a prohibited activity as of that date. As a condition of receiving assistance under this subsection, a covered entity may not, during the applicable period— carry out a prohibited activity; or fail to satisfy the requirement under clause (iii). The requirement under clause (i)(I) shall apply to each subsidiary of a covered entity, if applicable. If a recipient is not a covered entity and the recipient intends to use proceeds from an award under this subsection to purchase, lease, license, or contract for a vehicle from a covered entity, the recipient shall notify the covered entity that the sale, lease, license, or contract is being carried out using proceeds from an award under this subsection. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, a covered entity shall provide the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. If a covered entity that receives a grant under this subsection after the date of enactment of this paragraph becomes noncompliant with the requirements under subparagraph (C), the covered entity shall pay to the Secretary an amount equal to 100 percent of the amount that consumers of the covered entity paid to the covered entity of the grant under this subsection. Any payment imposed pursuant to clause (i) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary. (9)Require to not offshore manufacturing(A)DefinitionsIn this paragraph:(i)Applicable periodThe term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity receives the full amount of funds provided under this subsection. (ii)Covered entity The term covered entity means an entity that—(I)produces, manufactures, or carries out the final assembly of vehicles, or any subsidiary of such entity; and(II)receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, assistance from a recipient under this subsection.(iii)Prohibited activityThe term prohibited activity, with respect to an covered entity, means—(I)moving the domestic production, manufacturing, or final assembly of any vehicle or any component part of a vehicle outside of the United States; and(II)reducing or eliminating production, manufacturing, or final assembly of any vehicle or any component part of a vehicle in the United States and subsequently obtaining such vehicle or component part from a producer or manufacturer located outside of the United States. (B)EligibilityBeginning on the date of enactment of the Putting American Autoworkers First Act of 2023, no entity described in subclause (I) of subparagraph (A)(ii) shall be eligible for assistance under this subsection if that entity (or a subsidiary of that entity) has carried out a prohibited activity as of that date. (C)Requirements(i)In generalAs a condition of receiving assistance under this subsection, a covered entity may not, during the applicable period—(I)carry out a prohibited activity; or (II)fail to satisfy the requirement under clause (iii).(ii)Subsidiary requirementThe requirement under clause (i)(I) shall apply to each subsidiary of a covered entity, if applicable.(iii)Notice to covered entityIf a recipient is not a covered entity and the recipient intends to use proceeds from an award under this subsection to purchase, lease, license, or contract for a vehicle from a covered entity, the recipient shall notify the covered entity that the sale, lease, license, or contract is being carried out using proceeds from an award under this subsection. (iv)ReportNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, a covered entity shall provide the Secretary such information as the Secretary may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. (D)Noncompliance(i)In generalIf a covered entity that receives a grant under this subsection after the date of enactment of this paragraph becomes noncompliant with the requirements under subparagraph (C), the covered entity shall pay to the Secretary an amount equal to 100 percent of the amount that consumers of the covered entity paid to the covered entity of the grant under this subsection.(ii)Period of paymentAny payment imposed pursuant to clause (i) shall be paid by the covered entity to the Secretary over such period as is determined appropriate by the Secretary..
Section 10
10. Exclusion of offshoring manufacturers under clean school bus program Section 741 of the Energy Policy Act of 2005 (42 U.S.C. 16091) is amended— in subsection (b)— in paragraph (6), by adding at the end the following: An award under this section may not be used for the sale, lease, licensing, or contracting for— a motor vehicle (as defined in paragraph (8)(A)) produced, manufactured, or assembled by an entity, including a subsidiary of such an entity, that fails to comply with paragraph (8)(B)(i); or charging or fueling infrastructure produced, manufactured, or assembled by an entity, including a subsidiary of such an entity, that fails to comply with paragraph (8)(B)(i). by redesignating paragraph (8) as paragraph (9); and by inserting after paragraph (7) the following: In this paragraph: The term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity receives proceeds from an award under paragraph (1), including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using that award. The term covered entity means an entity that— produces, manufactures, or carries out the final assembly of motor vehicles; and receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, proceeds from an award under paragraph (1), including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under paragraph (1). The term motor vehicle has the meaning given the term in section 30D(d) of the Internal Revenue Code of 1986. The term prohibited activity, with respect to an entity described in clause (ii)(I), means— moving the domestic production, manufacturing, or final assembly of any motor vehicle or any component part of a motor vehicle outside of the United States; and reducing or eliminating production, manufacturing, or final assembly of any motor vehicle or any component part of a motor vehicle in the United States and subsequently obtaining such motor vehicle or component part from a producer or manufacturer located outside of the United States. As a condition of receiving proceeds from an award under paragraph (1), including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under paragraph (1), a covered entity may not, during the applicable period— carry out any prohibited activity; or fail to satisfy the requirement under clause (iv). The requirement described in clause (i)(I) shall apply to each subsidiary of a covered entity, if applicable. If an eligible recipient is not a covered entity and the eligible recipient intends to use proceeds from an award under paragraph (1) to purchase, lease, license, or contract for a motor vehicle from a covered entity, the eligible recipient shall notify the covered entity that the sale, lease, license, or contract is being carried out using proceeds from an award under that paragraph. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Administrator such information as the Administrator may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. If a covered entity becomes noncompliant with the requirements under subparagraph (B), the covered entity shall pay to the Administrator an amount equal to the total of all amounts received by the covered entity that are proceeds from awards under paragraph (1). Any payment imposed pursuant to clause (i) shall be paid by the covered entity to the Administrator over such period as is determined appropriate by the Administrator. in subsection (c)(3)(E), by striking subsection (b)(7) and inserting subsection (b)(9). (C)LimitationAn award under this section may not be used for the sale, lease, licensing, or contracting for—(i)a motor vehicle (as defined in paragraph (8)(A)) produced, manufactured, or assembled by an entity, including a subsidiary of such an entity, that fails to comply with paragraph (8)(B)(i); or(ii)charging or fueling infrastructure produced, manufactured, or assembled by an entity, including a subsidiary of such an entity, that fails to comply with paragraph (8)(B)(i).; (8)Requirement to not offshore manufacturing(A)DefinitionsIn this paragraph:(i)Applicable periodThe term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity receives proceeds from an award under paragraph (1), including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using that award.(ii)Covered entityThe term covered entity means an entity that—(I)produces, manufactures, or carries out the final assembly of motor vehicles; and(II)receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, proceeds from an award under paragraph (1), including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under paragraph (1).(iii)Motor vehicleThe term motor vehicle has the meaning given the term in section 30D(d) of the Internal Revenue Code of 1986.(iv)Prohibited activityThe term prohibited activity, with respect to an entity described in clause (ii)(I), means—(I)moving the domestic production, manufacturing, or final assembly of any motor vehicle or any component part of a motor vehicle outside of the United States; and(II)reducing or eliminating production, manufacturing, or final assembly of any motor vehicle or any component part of a motor vehicle in the United States and subsequently obtaining such motor vehicle or component part from a producer or manufacturer located outside of the United States.(B)Requirements(i)In generalAs a condition of receiving proceeds from an award under paragraph (1), including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under paragraph (1), a covered entity may not, during the applicable period—(I)carry out any prohibited activity; or(II)fail to satisfy the requirement under clause (iv).(ii)Subsidiary requirementThe requirement described in clause (i)(I) shall apply to each subsidiary of a covered entity, if applicable.(iii)Notice to covered entityIf an eligible recipient is not a covered entity and the eligible recipient intends to use proceeds from an award under paragraph (1) to purchase, lease, license, or contract for a motor vehicle from a covered entity, the eligible recipient shall notify the covered entity that the sale, lease, license, or contract is being carried out using proceeds from an award under that paragraph.(iv)ReportNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Administrator such information as the Administrator may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity.(C)Noncompliance(i)In generalIf a covered entity becomes noncompliant with the requirements under subparagraph (B), the covered entity shall pay to the Administrator an amount equal to the total of all amounts received by the covered entity that are proceeds from awards under paragraph (1). (ii)Period of paymentAny payment imposed pursuant to clause (i) shall be paid by the covered entity to the Administrator over such period as is determined appropriate by the Administrator.; and
Section 11
11. Exclusion of offshoring manufacturers under clean heavy-duty vehicles Section 132 of the Clean Air Act (42 U.S.C. 7432) is amended— by redesignating subsection (d) as subsection (f); and by inserting after subsection (c) the following: In this subsection: The term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity receives proceeds from an award under this section, including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under this section. The term covered entity means an entity that— produces, manufactures, or carries out the final assembly of motor vehicles; and receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, proceeds from an award under this section, including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under this section. The term motor vehicle has the meaning given the term in section 30D(d) of the Internal Revenue Code of 1986. The term prohibited activity, with respect to an entity described in subparagraph (B)(i), means— moving the domestic production, manufacturing, or final assembly of any motor vehicle or any component part of a motor vehicle outside of the United States; and reducing or eliminating production, manufacturing, or final assembly of any motor vehicle or any component part of a motor vehicle in the United States and subsequently obtaining such motor vehicle or component part from a producer or manufacturer located outside of the United States. As a condition of receiving proceeds from an award under this section, including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under this section, a covered entity may not, during the applicable period— carry out any prohibited activity; or fail to satisfy the requirement under subparagraph (D). The requirement described in subparagraph (A)(i) shall apply to each subsidiary of a covered entity, if applicable. If an eligible recipient is not a covered entity and the eligible recipient intends to use proceeds from an award under this section to purchase, lease, license, or contract for a motor vehicle from a covered entity, the eligible recipient shall notify the covered entity that the sale, lease, license, or contract is being carried out using proceeds from an award under this section. Not later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Administrator such information as the Administrator may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity. If a covered entity becomes noncompliant with the requirements under paragraph (2), the covered entity shall pay to the Administrator an amount equal to the total of all amounts received by the covered entity that are proceeds from awards under paragraph (1). Any payment imposed pursuant to subparagraph (A) shall be paid by the covered entity to the Administrator over such period as is determined appropriate by the Administrator. An award under this section may not be used for— the sale, lease, licensing, or contracting for a motor vehicle (as defined in subsection (d)(1)) produced, manufactured, or assembled by an entity, including a subsidiary of such an entity, that fails to comply with subsection (d)(2)(A); the sale, lease, licensing, or contracting for charging or fueling infrastructure produced, manufactured, or assembled by an entity, including a subsidiary of such an entity, that fails to comply with subsection (d)(2)(A); or workforce development, training, planning, or technical activities carried out by an entity, including a subsidiary of such an entity, that fails to comply with subsection (d)(2)(A). (d)Requirement To not offshore manufacturing(1)DefinitionsIn this subsection:(A)Applicable periodThe term applicable period, with respect to a covered entity, means the 10-year period following the date on which the covered entity receives proceeds from an award under this section, including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under this section.(B)Covered entityThe term covered entity means an entity that—(i)produces, manufactures, or carries out the final assembly of motor vehicles; and(ii)receives, after the date of enactment of the Putting American Autoworkers First Act of 2023, proceeds from an award under this section, including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under this section.(C)Motor vehicleThe term motor vehicle has the meaning given the term in section 30D(d) of the Internal Revenue Code of 1986.(D)Prohibited activityThe term prohibited activity, with respect to an entity described in subparagraph (B)(i), means—(i)moving the domestic production, manufacturing, or final assembly of any motor vehicle or any component part of a motor vehicle outside of the United States; and(ii)reducing or eliminating production, manufacturing, or final assembly of any motor vehicle or any component part of a motor vehicle in the United States and subsequently obtaining such motor vehicle or component part from a producer or manufacturer located outside of the United States.(2)Requirements(A)In generalAs a condition of receiving proceeds from an award under this section, including by receiving proceeds through a sale, lease, license, or contract for a motor vehicle from an eligible recipient using an award under this section, a covered entity may not, during the applicable period—(i)carry out any prohibited activity; or(ii)fail to satisfy the requirement under subparagraph (D).(B)Subsidiary requirementThe requirement described in subparagraph (A)(i) shall apply to each subsidiary of a covered entity, if applicable.(C)Notice to covered entityIf an eligible recipient is not a covered entity and the eligible recipient intends to use proceeds from an award under this section to purchase, lease, license, or contract for a motor vehicle from a covered entity, the eligible recipient shall notify the covered entity that the sale, lease, license, or contract is being carried out using proceeds from an award under this section.(D)ReportNot later than 1 year after the date of enactment of the Putting American Autoworkers First Act of 2023, and annually thereafter until the end of the applicable period, each covered entity shall provide to the Administrator such information as the Administrator may require to demonstrate that the covered entity (including each subsidiary, if applicable) has not carried out a prohibited activity.(3)Noncompliance(A)In generalIf a covered entity becomes noncompliant with the requirements under paragraph (2), the covered entity shall pay to the Administrator an amount equal to the total of all amounts received by the covered entity that are proceeds from awards under paragraph (1).(B)Period of paymentAny payment imposed pursuant to subparagraph (A) shall be paid by the covered entity to the Administrator over such period as is determined appropriate by the Administrator.(e)LimitationAn award under this section may not be used for—(1)the sale, lease, licensing, or contracting for a motor vehicle (as defined in subsection (d)(1)) produced, manufactured, or assembled by an entity, including a subsidiary of such an entity, that fails to comply with subsection (d)(2)(A);(2)the sale, lease, licensing, or contracting for charging or fueling infrastructure produced, manufactured, or assembled by an entity, including a subsidiary of such an entity, that fails to comply with subsection (d)(2)(A); or(3)workforce development, training, planning, or technical activities carried out by an entity, including a subsidiary of such an entity, that fails to comply with subsection (d)(2)(A)..