Climate Change Resiliency Fund for America Act of 2025
The Climate Change Resiliency Fund for America Act of 2025 would create a Climate Change Advisory Commission to develop guidelines for a new federal investment program funded by climate-change-related debt. The proceeds from these obligations would finance a Climate Change Resiliency Fund aimed at supporting adaptation projects—such as strengthened infrastructure, disaster response, and ecosystem protection—especially in communities that bear the heaviest climate-related burdens. The bill also sets rules to ensure equity (targeting environmental justice, frontline, and low-income communities), requires a portion of funds to be matched with non-federal dollars (with waivers and a no-match option for certain projects), and imposes Davis-Bacon wage requirements on funded projects. The Commission would operate for up to 20 years, and the Treasury would issue climate-change obligations to fund the program, with specific annual issuance caps and broad administrative provisions. In short, the bill tries to link new government-issued climate debt to a dedicated fund that channels money to adaptation projects, with a strong emphasis on equity, local stakeholder involvement, and clear standards for what counts as a qualifying climate adaptation project.
Key Points
- 1Establishment and duties of the Climate Change Advisory Commission
- 2- An 11-member Commission (public/private sector, plus higher-ed expertise) appointed by the President, House Speaker, House minority leader, Senate majority leader, and Senate minority leader; 5-year terms; duties include developing and updating recommendations and guidelines for a Federal investment program funded by climate-change obligations and prioritizing cost-effective, multi-benefit projects with strong community engagement.
- 3Creation and governance of the Climate Change Resiliency Fund
- 4- A new Treasury fund to finance qualified climate change adaptation projects; at least 40% of Fund amounts must support communities disproportionately affected by climate change and pollution (environmental justice, frontline, and low-income communities). Administrative expenses capped at 3% of project funds for a given year.
- 5Revenue, debt issuance, and financing
- 6- The Secretary (typically the Treasury for this purpose) must issue climate change obligations within six months of enactment, with an annual face amount of $200 million, and may issue up to $800 million more in a year if prior obligations have been purchased. Obligations are backed by the full faith and credit of the United States and are exempt from local taxation. Proceeds go into the Fund.
- 7Project rules, equity, and labor standards
- 8- Eligible entities include federal agencies, states, local governments, utilities, tribal governments, nonprofits, and other determined entities. Projects must meet a “qualified climate change adaptation purpose,” such as infrastructure resilience and improved disaster response, with concrete community benefits (economic, health, environmental preservation).
- 9- Projects funded under the Fund must comply with Davis-Bacon wage requirements (prevailing wages for laborers and mechanics).
- 10- A non-federal matching requirement generally applies (20% minimum to qualify), with waivers possible for low-income or environmental justice contexts; a portion (not less than 10% and not more than 40%) of funds may be awarded to projects without a matching requirement.
- 11Administration, promotion, and termination
- 12- The Commission provides the guidelines and ensures community engagement; the Secretary uses Fund funds to select and fund projects based on Commission criteria; the Commission can hire staff and set compensation (within certain limits). The Commission terminates 20 years after enactment.