S 1408 ISCommentsClose CommentsPermalink

To amend the Internal Revenue Code of 1986 to encourage alternative energy investments and job creation.CommentsClose CommentsPermalink

July 8, 2009CommentsClose CommentsPermalink

Mr. MENENDEZ (for himself, Mr. REID, and Mr. HATCH) introduced the following bill; which was read twice and referred to the Committee on FinanceCommentsClose CommentsPermalink

To amend the Internal Revenue Code of 1986 to encourage alternative energy investments and job creation.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE, ETC.

(a) Short Title- This Act may be cited as the ‘New Alternative Transportation to Give Americans Solutions’.CommentsClose CommentsPermalink





(b) Amendment of 1986 Code- Except as otherwise expressly provided, whenever in this Act an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.CommentsClose CommentsPermalink





(c) Table of Contents- The table of contents for this Act is as follows:CommentsClose CommentsPermalink





Sec. 1. Short title, etc.CommentsClose CommentsPermalink

TITLE I--PROMOTE THE PURCHASE AND USE OF NGVS WITH AN EMPHASIS ON HEAVY DUTY VEHICLES AND FLEET VEHICLES

Sec. 101. Modification of alternative fuel credit.CommentsClose CommentsPermalink





Sec. 102. Extension and modification of new qualified alternative fuel motor vehicle credit.CommentsClose CommentsPermalink





Sec. 103. Allowance of vehicle and infrastructure credits against regular and minimum tax and transferability of credits.CommentsClose CommentsPermalink





Sec. 104. Natural gas vehicle bonds.CommentsClose CommentsPermalink





Sec. 105. Modification of credit for purchase of vehicles fueled by compressed natural gas or liquified natural gas.CommentsClose CommentsPermalink





Sec. 106. Modification of definition of new qualified alternative fuel motor vehicle.CommentsClose CommentsPermalink

TITLE II--PROMOTE PRODUCTION OF NGVS BY ORIGINAL EQUIPMENT MANUFACTURERS

Sec. 201. Incentives for manufacturing facilities producing vehicles fueled by compressed or liquified natural gas.CommentsClose CommentsPermalink

TITLE III--INCENTIVIZE THE INSTALLATION OF NATURAL GAS FUEL PUMPS AT SERVICE STATIONS AND DEPOTS AND DOMESTIC LNG PRODUCTION FACILITIES FOR SMALL ENERGY PRODUCERS

Sec. 301. Extension and modification of alternative fuel vehicle refueling property credit.CommentsClose CommentsPermalink





Sec. 302. Increase in credit for certain alternative fuel vehicle refueling properties.CommentsClose CommentsPermalink

TITLE IV--NATURAL GAS VEHICLES

Sec. 401. Natural gas vehicles in Federal fleet.CommentsClose CommentsPermalink





Sec. 402. Grants for natural gas vehicles research and development.CommentsClose CommentsPermalink





Sec. 403. Sense of the Senate on EPA certification of NGV retrofit kits.CommentsClose CommentsPermalink

TITLE I--PROMOTE THE PURCHASE AND USE OF NGVS WITH AN EMPHASIS ON HEAVY DUTY VEHICLES AND FLEET VEHICLESCommentsClose CommentsPermalink

SEC. 101. MODIFICATION OF ALTERNATIVE FUEL CREDIT.

(a) Alternative Fuel Credit- Paragraph (5) of section 6426(d) (relating to alternative fuel credit) is amended by inserting ‘, and December 31, 2019, in the case of any sale or use involving compressed or liquefied natural gas)’ after ‘hydrogen’.CommentsClose CommentsPermalink





(b) Alternative Fuel Mixture Credit- Paragraph (3) of section 6426(d) is amended by inserting ‘, and December 31, 2019, in the case of any sale or use involving compressed or liquefied natural gas)’ after ‘hydrogen’.CommentsClose CommentsPermalink





(c) Payments Relating to Alternative Fuel or Alternative Fuel Mixtures- Paragraph (6) of section 6427(e) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (C)--CommentsClose CommentsPermalink





(A) by striking ‘subparagraph (D)’ in subparagraph (C) and inserting ‘subparagraphs (D) and (E)’, andCommentsClose CommentsPermalink





(B) by striking ‘and’ at the end thereof,CommentsClose CommentsPermalink





(2) by striking the period at the end of subparagraph (D) and inserting ‘, and’, andCommentsClose CommentsPermalink





(3) by inserting at the end the following:CommentsClose CommentsPermalink





‘(E) any alternative fuel or alternative fuel mixture (as so defined) involving compressed or liquefied natural gas sold or used after December 31, 2019.’.CommentsClose CommentsPermalink





(d) Effective Date- The amendments made by this section shall apply to fuel sold or used after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 102. EXTENSION AND MODIFICATION OF NEW QUALIFIED ALTERNATIVE FUEL MOTOR VEHICLE CREDIT.

(a) In General- Paragraph (4) of section 30B(k) (relating to termination) is amended by inserting ‘(December 31, 2019, in the case of a vehicle powered by compressed or liquefied natural gas)’ before the period at the end.CommentsClose CommentsPermalink





(b) Effective Date- The amendment made by subsection (a) shall apply to property placed in service after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 103. ALLOWANCE OF VEHICLE AND INFRASTRUCTURE CREDITS AGAINST REGULAR AND MINIMUM TAX AND TRANSFERABILITY OF CREDITS.

(a) Business Credits- Subparagraph (B) of section 38(c)(4) is amended by striking ‘and’ at the end of clause (vii), by striking the period at the end of clause (viii) and inserting ‘, and’, and by inserting after clause (viii) the following new clauses:CommentsClose CommentsPermalink





‘(ix) the portion of the credit determined under section 30B which is attributable to the application of subsection (e)(3) thereof with respect to new qualified alternative fuel motor vehicles which are capable of being powered by compressed or liquefied natural gas, andCommentsClose CommentsPermalink





‘(x) the portion of the credit determined under section 30C which is attributable to the application of subsection (b) thereof with respect to refueling property which is used to store and or dispense compressed or liquefied natural gas.’.CommentsClose CommentsPermalink





(b) Personal Credits-CommentsClose CommentsPermalink





(1) NEW QUALIFIED ALTERNATIVE FUEL MOTOR VEHICLES- Subsection (g) of section 30B is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(3) SPECIAL RULE RELATING TO CERTAIN NEW QUALIFIED ALTERNATIVE FUEL MOTOR VEHICLES- In the case of the portion of the credit determined under subsection (a) which is attributable to the application of subsection (e)(3) with respect to new qualified alternative fuel motor vehicles which are capable of being powered by compressed or liquefied natural gas--CommentsClose CommentsPermalink





‘(A) paragraph (2) shall (after the application of paragraph (1)) be applied separately with respect to such portion, andCommentsClose CommentsPermalink





‘(B) in lieu of the limitation determined under paragraph (2), such limitation shall not exceed the excess (if any) of--CommentsClose CommentsPermalink





‘(i) the sum of the regular tax liability (as defined in section 26(b)) plus the tentative minimum tax for the taxable year, reduced byCommentsClose CommentsPermalink





‘(ii) the sum of the credits allowable under subpart A and sections 27 and 30.’.CommentsClose CommentsPermalink





(2) ALTERNATIVE FUEL VEHICLE REFUELING PROPERTIES- Subsection (d) of section 30C is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(3) SPECIAL RULE RELATING TO CERTAIN ALTERNATIVE FUEL VEHICLE REFUELING PROPERTIES- In the case of the portion of the credit determined under subsection (a) with respect to refueling property which is used to store and or dispense compressed or liquefied natural gas and which is attributable to the application of subsection (b)--CommentsClose CommentsPermalink





‘(A) paragraph (2) shall (after the application of paragraph (1)) be applied separately with respect to such portion, andCommentsClose CommentsPermalink





‘(B) in lieu of the limitation determined under paragraph (2), such limitation shall not exceed the excess (if any) of--CommentsClose CommentsPermalink





‘(i) the sum of the regular tax liability (as defined in section 26(b)) plus the tentative minimum tax for the taxable year, reduced byCommentsClose CommentsPermalink





‘(ii) the sum of the credits allowable under subpart A and sections 27, 30, and the portion of the credit determined under section 30B which is attributable to the application of subsection (e)(3) thereof.’.CommentsClose CommentsPermalink





(c) Credits May Be Transferred-CommentsClose CommentsPermalink





(1) VEHICLE CREDITS- Subsection (h) of section 30B is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(11) TRANSFERABILITY OF CREDIT-CommentsClose CommentsPermalink





‘(A) IN GENERAL- Except as provided in subparagraph (B), a taxpayer who places in service any new qualified alternative fuel motor vehicle which is capable of being powered by compressed or liquefied natural gas may transfer the credit allowed under this section by reason of subsection (e) with respect to such vehicle through an assignment to the seller or lessor of such vehicle. Such transfer may be revoked only with the consent of the Secretary.CommentsClose CommentsPermalink





‘(B) DENIAL OF DOUBLE BENEFIT- No assignment of a credit allowed under this section by reason of subsection (e) with respect to any new qualified alternative fuel motor vehicle which is capable of being powered by compressed or liquefied natural gas may be made under subparagraph (A) to a taxpayer who has claimed a credit under section 54G with respect to the financing of such vehicle.CommentsClose CommentsPermalink





‘(C) REGULATIONS- The Secretary shall prescribe such regulations as necessary to ensure that any credit transferred under subparagraph (A) is claimed once and not reassigned by such other person.’.CommentsClose CommentsPermalink





(2) INFRASTRUCTURE CREDIT- Subsection (e) of section 30C is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(7) TRANSFERABILITY OF CREDIT-CommentsClose CommentsPermalink





‘(A) IN GENERAL- Except as provided in subparagraph (B), a taxpayer who places in service any qualified alternative fuel vehicle refueling property relating to compressed or liquefied natural gas may transfer the credit allowed under this section with respect to such property through an assignment to the seller or lessor of such property. Such transfer may be revoked only with the consent of the Secretary.CommentsClose CommentsPermalink





‘(B) DENIAL OF DOUBLE BENEFIT- No assignment of a credit allowed under this section by reason of subsection (e) with respect to any qualified alternative fuel vehicle refueling property relating to compressed or liquefied natural gas may be made under subparagraph (A) to a taxpayer who has claimed a credit under section 54G with respect to the financing of such property.CommentsClose CommentsPermalink





‘(C) REGULATIONS- The Secretary shall prescribe such regulations as necessary to ensure that any credit transferred under subparagraph (A) is claimed once and not reassigned by such other person.’.CommentsClose CommentsPermalink





(d) Effective Date- The amendments made by this section shall apply with respect to property placed in service after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 104. NATURAL GAS VEHICLE BONDS.

(a) In General- Subpart I of part IV of subchapter A of chapter 1 (relating to qualified tax credit bonds) is amended by adding at the end the following new section:CommentsClose CommentsPermalink

‘SEC. 54G. NATURAL GAS VEHICLE BONDS.

‘(a) Natural Gas Vehicle Bond- For purposes of this subpart, the term ‘natural gas vehicle bond’ means any bond issued as part of an issue if--CommentsClose CommentsPermalink





‘(1) 100 percent of the available project proceeds of such issue are to be used for capital expenditures incurred by a governmental body for 1 or more qualified natural gas vehicle projects placed in service by such governmental body primarily for governmental or public use,CommentsClose CommentsPermalink





‘(2) the bond is issued by a governmental body,CommentsClose CommentsPermalink





‘(3) the issuer designates such bond for purposes of this section, andCommentsClose CommentsPermalink





‘(4) in lieu of the requirements of section 54A(d)(2), the issue meets the requirements of subsection (c).CommentsClose CommentsPermalink





‘(b) Limitation on Amount of Bonds Designated-CommentsClose CommentsPermalink





‘(1) IN GENERAL- The maximum aggregate face amount of bonds which may be designated under subsection (a) by any issuer shall not exceed the limitation amount allocated under this subsection to such issuer.CommentsClose CommentsPermalink





‘(2) NATIONAL LIMITATION ON AMOUNT OF BONDS DESIGNATED- There is a national natural gas vehicle bond limitation of $3,000,000,000.CommentsClose CommentsPermalink





‘(3) ALLOCATION BY SECRETARY- The Secretary shall allocate the amount described in paragraph (2) among qualified natural gas vehicle projects in such manner as the Secretary determines appropriate.CommentsClose CommentsPermalink





‘(c) Special Rules Relating to Expenditures-CommentsClose CommentsPermalink





‘(1) IN GENERAL- An issue shall be treated as meeting the requirements of this subsection if, as of the date of issuance, the issuer reasonably expects--CommentsClose CommentsPermalink





‘(A) 100 percent or more of the available project proceeds of such issue are to be spent for 1 or more qualified natural gas vehicle projects within the 5-year period beginning on the date of issuance of the natural gas vehicle bond,CommentsClose CommentsPermalink





‘(B) a binding commitment with a third party to spend at least 10 percent of such available project proceeds will be incurred within the 6-month period beginning on the date of issuance of the natural gas vehicle bond, andCommentsClose CommentsPermalink





‘(C) such projects will be completed with due diligence and such available project proceeds will be spent with due diligence.CommentsClose CommentsPermalink





‘(2) EXTENSION OF PERIOD- Upon submission of a request prior to the expiration of the period described in paragraph (1)(A), the Secretary may extend such period if the issuer establishes that the failure to satisfy the 5-year requirement is due to reasonable cause and the related projects will continue to proceed with due diligence.CommentsClose CommentsPermalink





‘(3) FAILURE TO SPEND REQUIRED AMOUNT OF BOND PROCEEDS WITHIN 5 YEARS- To the extent that less than 100 percent of the available project proceeds of such issue are expended by the close of the 5-year period beginning on the date of issuance (or if an extension has been obtained under paragraph (2), by the close of the extended period), the issuer shall redeem all of the nonqualified bonds within 90 days after the end of such period. For purposes of this paragraph, the amount of the nonqualified bonds required to be redeemed shall be determined in the same manner as under section 142.CommentsClose CommentsPermalink





‘(d) Governmental Body- For purposes of this section, the term ‘governmental body’ means any State or Indian tribal government, or any political subdivision thereof.CommentsClose CommentsPermalink





‘(e) Qualified Natural Gas Vehicle Project- For purposes of this subpart, the term ‘qualified natural gas vehicle project’ means--CommentsClose CommentsPermalink





‘(1) 1 or more new qualified alternative fuel motor vehicles which are capable of being powered by compressed or liquefied natural gas (within the meaning of section 30B(e)(4)), orCommentsClose CommentsPermalink





‘(2) 1 or more qualified alternative fuel vehicle refueling properties which are used to store and or dispense compressed or liquefied natural gas (within the meaning of section 30C(c)).CommentsClose CommentsPermalink





‘(f) Termination- This section shall not apply with respect to any bond issued after December 31, 2019.’.CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) Paragraph (1) of section 54A(d) is amended by striking ‘or’ at the end of subparagraph (D), by inserting ‘or’ at the end of subparagraph (E), and by inserting after subparagraph (E) the following new subparagraph:CommentsClose CommentsPermalink





‘(F) a natural gas vehicle bond,’.CommentsClose CommentsPermalink





(2) Subparagraph (C) of section 54A(d)(2) is amended by striking ‘and’ at the end of clause (iv), by striking the period at the end of clause (v) and inserting ‘, and’, and by adding at the end the following new clause:CommentsClose CommentsPermalink





‘(vi) in the case of a natural gas vehicle bond, a purpose specified in section 54G(a)(1).’.CommentsClose CommentsPermalink





(c) Clerical Amendment- The table of sections for subpart I of part IV of subchapter A of chapter 1 is amended by adding at the end the following new item:CommentsClose CommentsPermalink





‘Sec. 54G. Natural gas vehicle bonds.’.CommentsClose CommentsPermalink





(d) Effective Date- The amendments made by this section shall apply to bonds issued after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 105. MODIFICATION OF CREDIT FOR PURCHASE OF VEHICLES FUELED BY COMPRESSED NATURAL GAS OR LIQUIFIED NATURAL GAS.

(a) Increase in Credit- Paragraph (2) of section 30B(e) (relating to applicable percentage) is amended to read as follows:CommentsClose CommentsPermalink





‘(2) APPLICABLE PERCENTAGE- For purposes of paragraph (1), the applicable percentage with respect to any new qualified alternative fuel motor vehicle is--CommentsClose CommentsPermalink





‘(A) except as provided in subparagraphs (B) and (C)--CommentsClose CommentsPermalink





‘(i) 50 percent, plusCommentsClose CommentsPermalink





‘(ii) 30 percent, if such vehicle--CommentsClose CommentsPermalink





‘(I) has received a certificate of conformity under the Clean Air Act and meets or exceeds the most stringent standard available for certification under the Clean Air Act for that make and model year vehicle (other than a zero emission standard), orCommentsClose CommentsPermalink





‘(II) has received an order certifying the vehicle as meeting the same requirements as vehicles which may be sold or leased in California and meets or exceeds the most stringent standard available for certification under the State laws of California (enacted in accordance with a waiver granted under section 209(b) of the Clean Air Act) for that make and model year vehicle (other than a zero emission standard),CommentsClose CommentsPermalink





‘(B) 80 percent, in the case of vehicles that are only capable of operating on compressed natural gas or liquefied natural gas, or mix-fuel vehicles which are capable of operating on compressed or liquefied natural gas, andCommentsClose CommentsPermalink





‘(C) 50 percent, in the case of vehicles described subsection (e)(4)(A)(i)(II).CommentsClose CommentsPermalink





For purposes of the preceding sentence, in the case of any new qualified alternative fuel motor vehicle which weighs more than 14,000 pounds gross vehicle weight rating, the most stringent standard available shall be such standard available for certification on the date of the enactment of the Energy Tax Incentives Act of 2005.’.CommentsClose CommentsPermalink





(b) Higher Incremental Cost Limits for Natural Gas Vehicles- Subsection (e) of section 30B (relating to new qualified alternative fuel motor vehicle credit) is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(6) HIGHER INCREMENTAL COST LIMITS FOR NATURAL GAS VEHICLES- In the case of new qualified alternative fuel motor vehicles with respect to vehicles powered by compressed or liquefied natural gas, paragraph (3) shall be applied--CommentsClose CommentsPermalink





‘(A) in subparagraph (A) by substituting ‘$12,500’ for ‘$5,000’,CommentsClose CommentsPermalink





‘(B) in subparagraph (B) by substituting ‘$20,000’ for ‘$10,000’,CommentsClose CommentsPermalink





‘(C) in subparagraph (C) by substituting ‘$50,000’ for ‘$25,000’, andCommentsClose CommentsPermalink





‘(D) in subparagraph (D) by substituting ‘$80,000’ for ‘$40,000’.’.CommentsClose CommentsPermalink





(c) Effective Date- The amendment made by this section shall apply to property placed in service after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 106. MODIFICATION OF DEFINITION OF NEW QUALIFIED ALTERNATIVE FUEL MOTOR VEHICLE.

(a) In General- Clause (i) of section 30B(e)(4)(A) (relating to definition of new qualified alternative fuel motor vehicle) is amended to read as follows:CommentsClose CommentsPermalink





‘(i) which--CommentsClose CommentsPermalink





‘(I) is only capable of operating on an alternative fuel, orCommentsClose CommentsPermalink





‘(II) is capable of operating on compressed or liquefied natural gas and gasoline or diesel fuel, but in no case shall such vehicle have an operating range of less than 200 miles on compressed or liquefied natural gas.’.CommentsClose CommentsPermalink





(b) Conversions and Repowers- Paragraph (4) of section 30B(e) is amended by adding at the end the following new subparagraph:CommentsClose CommentsPermalink





‘(C) CONVERSIONS AND REPOWERS-CommentsClose CommentsPermalink





‘(i) IN GENERAL- The term ‘new qualified alternative fuel motor vehicle’ includes the conversion or repower of a new or used vehicle so that it is capable of operating on an alternative fuel as it was not previously capable of operating on an alternative fuel.CommentsClose CommentsPermalink





‘(ii) TREATMENT AS NEW- A vehicle which has been converted to operate on an alternative fuel shall be treated as new on the date of such conversion for purposes of this section.CommentsClose CommentsPermalink





‘(iii) RULE OF CONSTRUCTION- In the case of a used vehicle which is converted or repowered, nothing in this section shall be construed to require that the motor vehicle be acquired in the year the credit is claimed under this section with respect to such vehicle.’.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act.CommentsClose CommentsPermalink

TITLE II--PROMOTE PRODUCTION OF NGVS BY ORIGINAL EQUIPMENT MANUFACTURERSCommentsClose CommentsPermalink

SEC. 201. INCENTIVES FOR MANUFACTURING FACILITIES PRODUCING VEHICLES FUELED BY COMPRESSED OR LIQUIFIED NATURAL GAS.

(a) Deduction for Manufacturing Facilities- Part VI of subchapter B of chapter 1 of the Internal Revenue Code of 1986 (relating to itemized deductions for individuals and corporations) is amended by inserting after section 179E the following new section:CommentsClose CommentsPermalink

‘SEC. 179F. EXPENSING FOR MANUFACTURING FACILITIES PRODUCING VEHICLES FUELED BY COMPRESSED NATURAL GAS OR LIQUIFIED NATURAL GAS.

‘(a) Treatment as Expenses- A taxpayer may elect to treat the applicable percentage of the cost of any qualified natural gas vehicle manufacturing facility property as an expense which is not chargeable to a capital account. Any cost so treated shall be allowed as a deduction for the taxable year in which the qualified manufacturing facility property is placed in service.CommentsClose CommentsPermalink





‘(b) Applicable Percentage- For purposes of subsection (a), the applicable percentage is--CommentsClose CommentsPermalink





‘(1) 100 percent, in the case of qualified natural gas vehicle manufacturing facility property which is placed in service before January 1, 2015, andCommentsClose CommentsPermalink





‘(2) 50 percent, in the case of qualified natural gas vehicle manufacturing facility property which is placed in service after December 31, 2014, and before January 1, 2020.CommentsClose CommentsPermalink





‘(c) Election-CommentsClose CommentsPermalink





‘(1) IN GENERAL- An election under this section for any taxable year shall be made on the taxpayer’s return of the tax imposed by this chapter for the taxable year. Such election shall be made in such manner as the Secretary may by regulations prescribe.CommentsClose CommentsPermalink





‘(2) ELECTION IRREVOCABLE- Any election made under this section may not be revoked except with the consent of the Secretary.CommentsClose CommentsPermalink





‘(d) Qualified Natural Gas Vehicle Manufacturing Facility Property- For purposes of this section--CommentsClose CommentsPermalink





‘(1) IN GENERAL- The term ‘qualified natural gas vehicle manufacturing facility property’ means any qualified property--CommentsClose CommentsPermalink





‘(A) the original use of which commences with the taxpayer,CommentsClose CommentsPermalink





‘(B) which is placed in service by the taxpayer after the date of the enactment of this section and before January 1, 2020, andCommentsClose CommentsPermalink





‘(C) no written binding contract for the construction of which was in effect on or before the date of the enactment of this section.CommentsClose CommentsPermalink





‘(2) QUALIFIED PROPERTY-CommentsClose CommentsPermalink





‘(A) IN GENERAL- The term ‘qualified property’ means any property which is a facility or a portion of a facility used for the production of--CommentsClose CommentsPermalink





‘(i) any new qualified alternative fuel motor vehicle which is capable of being powered by compressed or liquefied natural gas (within the meaning of section 30B(e)(4)), orCommentsClose CommentsPermalink





‘(ii) any eligible component.CommentsClose CommentsPermalink





‘(B) ELIGIBLE COMPONENT- The term ‘eligible component’ means any component which is designed specifically for use in such a new qualified alternative fuel motor vehicle.CommentsClose CommentsPermalink





‘(e) Special Rule for Dual Use Property-CommentsClose CommentsPermalink





‘(1) IN GENERAL- In the case of any qualified natural gas vehicle manufacturing facility property which is used to produce both property described in clauses (i) and (ii) of subsection (d)(2)(A) and property which is not so described, the amount of costs taken into account under subsection (a) shall be reduced by an amount equal to--CommentsClose CommentsPermalink





‘(A) the total amount of such costs (determined before the application of this subsection), multiplied byCommentsClose CommentsPermalink





‘(B) the percentage of property expected to be produced which is not so described.CommentsClose CommentsPermalink





‘(2) REGULATIONS- The Secretary shall prescribe such regulations as are necessary to carry out the purpose of this subsection.’.CommentsClose CommentsPermalink





(b) Refund of Credit for Prior Year Minimum Tax Liability- Section 53 (relating to credit for prior year minimum tax liability) is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





‘(g) Election To Treat Amounts Attributable to Qualified Manufacturing Facility-CommentsClose CommentsPermalink





‘(1) IN GENERAL- In the case of an eligible taxpayer, the amount determined under subsection (c) for the taxable year (after the application of subsection (e)) shall be increased by an amount equal to the applicable percentage of any qualified natural gas vehicle manufacturing facility property which is placed in service during the taxable year.CommentsClose CommentsPermalink





‘(2) APPLICABLE PERCENTAGE- For purposes of paragraph (1), the applicable percentage is--CommentsClose CommentsPermalink





‘(A) 35 percent, in the case of qualified natural gas vehicle manufacturing facility property which is placed in service before January 1, 2015, andCommentsClose CommentsPermalink





‘(B) 17.5 percent, in the case of qualified natural gas vehicle manufacturing facility property which is placed in service after December 31, 2014, and before January 1, 2020.CommentsClose CommentsPermalink





‘(3) ELIGIBLE TAXPAYER- For purposes of this subsection, the term ‘eligible taxpayer’ means any taxpayer--CommentsClose CommentsPermalink





‘(A) who places in service qualified natural gas vehicle manufacturing facility property during the taxable year,CommentsClose CommentsPermalink





‘(B) who does not make an election under section 179F(c), andCommentsClose CommentsPermalink





‘(C) who makes an election under this subsection.CommentsClose CommentsPermalink





‘(4) OTHER DEFINITIONS AND SPECIAL RULES-CommentsClose CommentsPermalink





‘(A) QUALIFIED NATURAL GAS VEHICLE MANUFACTURING FACILITY PROPERTY- The term ‘qualified natural gas vehicle manufacturing facility property’ has the meaning given such term under section 179F(d).CommentsClose CommentsPermalink





‘(B) SPECIAL RULE FOR DUAL USE PROPERTY- In the case of any qualified natural gas vehicle manufacturing facility property which is used to produce both qualified property (as defined in section 179F(d)) and other property which is not qualified property, the amount of costs taken into account under paragraph (1) shall be reduced by an amount equal to--CommentsClose CommentsPermalink





‘(i) the total amount of such costs (determined before the application of this subparagraph), multiplied byCommentsClose CommentsPermalink





‘(ii) the percentage of property expected to be produced which is not qualified property.CommentsClose CommentsPermalink





‘(C) ELECTION-CommentsClose CommentsPermalink





‘(i) IN GENERAL- An election under this subsection for any taxable year shall be made on the taxpayer’s return of the tax imposed by this chapter for the taxable year. Such election shall be made in such manner as the Secretary may by regulations prescribe.CommentsClose CommentsPermalink





‘(ii) ELECTION IRREVOCABLE- Any election made under this subsection may not be revoked except with the consent of the Secretary.CommentsClose CommentsPermalink





‘(5) CREDIT REFUNDABLE- For purposes of this title (other than this section), the credit allowed by reason of this subsection shall be treated as if it were allowed under subpart C.’.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act.CommentsClose CommentsPermalink

TITLE III--INCENTIVIZE THE INSTALLATION OF NATURAL GAS FUEL PUMPS AT SERVICE STATIONS AND DEPOTS AND DOMESTIC LNG PRODUCTION FACILITIES FOR SMALL ENERGY PRODUCERSCommentsClose CommentsPermalink

SEC. 301. EXTENSION AND MODIFICATION OF ALTERNATIVE FUEL VEHICLE REFUELING PROPERTY CREDIT.

(a) In General- Subsection (g) of section 30C is amended by striking ‘and’ at the end of paragraph (1), by redesignating paragraph (2) as paragraph (3), and by inserting after paragraph (1) the following new paragraph:CommentsClose CommentsPermalink





‘(2) in the case of property relating to compressed or liquefied natural gas, after December 31, 2019, and’.CommentsClose CommentsPermalink





(b) Effective Date- The amendments made by subsection (a) shall apply to property placed in service after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 302. INCREASE IN CREDIT FOR CERTAIN ALTERNATIVE FUEL VEHICLE REFUELING PROPERTIES.

(a) In General- Subsection (b) of section 30C is amended to read as follows:CommentsClose CommentsPermalink





‘(b) Limitation- The credit allowed under subsection (a) with respect to all qualified alternative fuel vehicle refueling property placed in service by the taxpayer during the taxable year at a location shall not exceed--CommentsClose CommentsPermalink





‘(1) except as provided in paragraph (2), $30,000 in the case of a property of a character subject to an allowance for depreciation,CommentsClose CommentsPermalink





‘(2) in the case of a compressed natural gas, or liquefied natural gas, the lesser of--CommentsClose CommentsPermalink





‘(A) 50 percent of such cost, orCommentsClose CommentsPermalink





‘(B) $100,000, andCommentsClose CommentsPermalink





‘(3) $2,000 in any other case.’.CommentsClose CommentsPermalink





(b) Effective Date- The amendment made by this section shall apply to property placed in service in taxable years beginning after December 31, 2010.CommentsClose CommentsPermalink

TITLE IV--NATURAL GAS VEHICLESCommentsClose CommentsPermalink

SEC. 401. NATURAL GAS VEHICLES IN FEDERAL FLEET.

When complying with mandatory Federal fleet alternative fuel vehicle purchase requirements, Federal agencies shall purchase dedicated alternative fuel vehicles unless the agency can show that alternative fuel is unavailable or purchasing such vehicles would be impractical.CommentsClose CommentsPermalink

SEC. 402. GRANTS FOR NATURAL GAS VEHICLES RESEARCH AND DEVELOPMENT.

(a) In General- The Secretary of Energy may make grants to original equipment manufacturers of light duty and heavy duty natural gas vehicles for the development of engines that reduce emissions, improve performance and efficiency, and lower cost.CommentsClose CommentsPermalink





(b) Limitation- The aggregate amount of grants under subsection (a) for any fiscal year shall not exceed $30,000,000.CommentsClose CommentsPermalink

SEC. 403. SENSE OF THE SENATE ON EPA CERTIFICATION OF NGV RETROFIT KITS.

It is the sense of the Senate that the Environmental Protection Agency should streamline the process for certification of natural gas vehicle retrofit kits to promote energy security while still fulfilling the mission of the Clean Air Act.CommentsClose CommentsPermalink