Gravity and general relativity are considered as an Effective Field Theory (EFT) at low energies and macroscopic distances. The effective action of the conformal anomaly of light or massless quantum fields has significant effects on macroscopic scales, due to associated light cone singularities that are not captured by an expansion in local curvature invariants. A compact local form for the Wess-Zumino effective action of the conformal anomaly and stress tensor is given, requiring the introduction of a new light scalar field, which it is argued should be included in the low energy effective action for gravity. This scalar conformalon couples to the conformal part of the spacetime metric and allows the effective value of the vacuum energy, described as a condensate of an exact 4-form abelian gauge field strength F = dA, to change in space and time. This is achieved by the identification of the torsion dependent part of the Chern-Simons 3-form of the Euler class with the gauge potential A, which enters the effective action of the conformal anomaly as a J · A interaction analogous to electromagnetism. The conserved 3-current J describes the worldtube of 2-surfaces that separate regions of differing vacuum energy. The resulting EFT thus replaces the fixed constant Λ of classical gravity, and its apparently unnaturally large sensitivity to UV physics, with a dynamical condensate whose ground state value in empty flat space is Λeff = 0 identically. By allowing Λeff to vary rapidly near the 2-surface of a black hole horizon, the proposed EFT of dynamical vacuum energy provides an effective Lagrangian framework for gravitational condensate stars, as the final state of complete gravitational collapse consistent with quantum theory. The possible consequences of dynamical vacuum dark energy for cosmology, the cosmic coincidence problem, and the role of conformal invariance for other fine tuning issues in the Standard Model are discussed.
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