Large fossil fuel companies would pay a new tax based on past carbon pollution. The money would go into a federal fund for climate disasters, stronger infrastructure, and affected communities.
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Polluters Pay Climate Fund Act of 2025 is a House bill in committee. The latest recorded action: Referred to the Committee on Ways and Means, and in addition to the Committees on Transportation and Infrastructure, and Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Latest action on H.R. 1135: Referred to the Committee on Ways and Means, and in addition to the Committees on Transportation and Infrastructure, and Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Who this affects: This bill mainly affects very large fossil fuel producers and oil refiners linked to more than 1 billion metric tons of carbon dioxide from 2000 through 2023. It also affects communities seeking federal money for climate disasters, stronger infrastructure, safer water, public health, and local resilience projects. States, tribes, local governments, and people with climate-related legal claims would keep their ability to sue under other laws.
Why this matters: Climate damage often leaves taxpayers, cities, states, and families paying the bill. This bill would move some of those costs to the biggest fossil fuel companies tied to past carbon pollution. If Congress spends the money, the fund could support disaster recovery, stronger infrastructure, safer water, heat protection, and other climate projects. The bill could also shape climate lawsuits because it says the tax does not replace other legal claims or state and local climate rules.
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