Polluters Pay Climate Fund Act of 2025

Climate Resilience and Disaster Response: The bill uses the Fund to support investments in climate resilience, adaptation, disaster response, and various infrastructure needs such as food systems, transportation, and drinking water (Section 4(b)(2)(A)).

Support for FEMA: The bill provides not less than $15,000,000,000 to the Federal Emergency Management Agency for response and resilience programs regarding disasters like hurricanes, flooding, extreme heat, and wildfires (Section 4(b)(2)(B)(i)).

Environmental Justice Protections: A minimum of 40 percent of the appropriated amounts from the Fund must be used for investments that benefit environmental justice communities, which include communities of color, low-income communities, and Tribal and Indigenous communities (Section 4(b)(2)(C)).

Clean Air Act Support: The bill provides not less than $6,000,000,000 for grants and technical assistance under the Clean Air Act (Section 4(b)(2)(B)(i)).

Tax Burden on Fossil Fuel Entities: The bill imposes a tax on "assessable persons" engaged in the trade or business of extracting fossil fuels or refining crude oil who are responsible for more than 1,000,000,000 metric tons of covered carbon dioxide emissions (Section 3(c)(2)).

Financial Liability for Successors: A successor in interest to an assessable person is also considered an assessable person and may be held liable for the tax (Section 3(c)(2)(A)).

Accelerated Payment Requirements: If an assessable person undergoes a liquidation, sale of substantially all assets, or a cessation of business, any remaining unpaid installments of the tax become due immediately (Section 3(e)(3)).