S 320 ISCommentsClose CommentsPermalink

To ensure that short- and long-term investment decisions critical to economic stimulus and job creation in clean energy are supported by Federal programs and reliable tax incentives.CommentsClose CommentsPermalink

January 26, 2009CommentsClose CommentsPermalink

Ms. CANTWELL introduced the following bill; which was read twice and referred to the Committee on FinanceCommentsClose CommentsPermalink

To ensure that short- and long-term investment decisions critical to economic stimulus and job creation in clean energy are supported by Federal programs and reliable tax incentives.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 ‘Clean Energy Stimulus and Investment Assurance Act of 2009’.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 fo 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--CREATING HIGH-WAGE GREEN COLLAR JOBS

Sec. 101. Alternative energy equipment manufacturing project credit.CommentsClose CommentsPermalink





Sec. 102. Fund Green Jobs Act.CommentsClose CommentsPermalink

TITLE II--REVITALIZING OUR NATION’S ELECTRICITY GRID

Sec. 201. Smart grid research and development program.CommentsClose CommentsPermalink





Sec. 202. Smart grid regional demonstration initiative.CommentsClose CommentsPermalink





Sec. 203. Smart grid Federal matching fund.CommentsClose CommentsPermalink





Sec. 204. Recovery period for depreciation of smart meters and smart grid systems.CommentsClose CommentsPermalink





Sec. 205. Bonneville Power Administration.CommentsClose CommentsPermalink

TITLE III--ENSURING CLEAN ENERGY DEPLOYMENT

Sec. 301. Shift in carryback and carryforward of unused general business credits.CommentsClose CommentsPermalink





Sec. 302. Extension and modification of renewable electricity production credit.CommentsClose CommentsPermalink





Sec. 303. Expansion and extension of new clean renewable energy bonds.CommentsClose CommentsPermalink





Sec. 304. 30-year contracts for Federal purchases of electricity generated by renewable energy.CommentsClose CommentsPermalink

TITLE IV--REDUCING FOREIGN OIL DEPENDENCE

Sec. 401. Incentives for manufacturing facilities producing plug-in electric drive motor vehicle and components.CommentsClose CommentsPermalink





Sec. 402. Consumer incentives for plug-in electric drive motor vehicles.CommentsClose CommentsPermalink





Sec. 403. Transportation sector electrification programs.CommentsClose CommentsPermalink





Sec. 404. Energy storage competitiveness.CommentsClose CommentsPermalink





Sec. 405. Advanced battery manufacturing.CommentsClose CommentsPermalink





Sec. 406. Extension of credits for biodiesel and renewable diesel.CommentsClose CommentsPermalink





Sec. 407. Expansion and extension of electric and alternative fuel vehicle refueling property credit.CommentsClose CommentsPermalink

TITLE V--ENERGY EFFICIENCY INVESTMENTS

Sec. 501. Modification of credit for residential energy efficient property.CommentsClose CommentsPermalink





Sec. 502. Business credit for qualified energy storage air conditioner property.CommentsClose CommentsPermalink





Sec. 503. Extension and modification of new energy efficient home credit.CommentsClose CommentsPermalink





Sec. 504. Extension and modification of deduction for energy efficient commercial buildings.CommentsClose CommentsPermalink





Sec. 505. Extension and modification of nonbusiness energy property.CommentsClose CommentsPermalink





Sec. 506. Tax credits for green roofs.CommentsClose CommentsPermalink





Sec. 507. Repeal of certain limitations on credit for renewable energy property.CommentsClose CommentsPermalink





Sec. 508. Energy efficient appliance rebate program and Energy Star.CommentsClose CommentsPermalink

TITLE I--CREATING HIGH-WAGE GREEN COLLAR JOBSCommentsClose CommentsPermalink

SEC. 101. ALTERNATIVE ENERGY EQUIPMENT MANUFACTURING PROJECT CREDIT.

(a) In General- Section 46 (relating to amount of credit) is amended by striking ‘and’ at the end of paragraph (3), by striking the period at the end of paragraph (4), and by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(5) the alternative energy equipment manufacturing project credit.’.CommentsClose CommentsPermalink





(b) Amount of Credit- Subpart E of part IV of subchapter A of chapter 1 (relating to rules for computing investment credit) is amended by inserting after section 48B the following new section:CommentsClose CommentsPermalink

‘SEC. 48C. ALTERNATIVE ENERGY EQUIPMENT MANUFACTURING PROJECT CREDIT.

‘(a) In General- For purposes of section 46, the alternative energy equipment manufacturing project credit for any taxable year is an amount equal to 30 percent of the qualified investment for such taxable year with respect to any alternative energy equipment manufacturing project of the taxpayer.CommentsClose CommentsPermalink





‘(b) Qualified Investment-CommentsClose CommentsPermalink





‘(1) IN GENERAL- For purposes of subsection (a), the qualified investment for any taxable year is the basis of eligible property placed in service by the taxpayer during such taxable year which is part of an alternative energy equipment manufacturing project--CommentsClose CommentsPermalink





‘(A)(i) the construction, reconstruction, or erection of which is completed by the taxpayer after October 31, 2008, orCommentsClose CommentsPermalink





‘(ii) which is acquired by the taxpayer if the original use of such property commences with the taxpayer after October 31, 2008,CommentsClose CommentsPermalink





‘(B) with respect to which depreciation (or amortization in lieu of depreciation) is allowable.CommentsClose CommentsPermalink





‘(2) SPECIAL RULE FOR DUAL USE PROPERTY- In the case of any eligible property which is used to produce both property described in subsection (c)(1)(A) and other property which is property so described, the amount of qualified investment taken into account under subsection (a) shall be reduced by an amount equal to--CommentsClose CommentsPermalink





‘(A) the total amount of such qualified investment (determined before the application of this paragraph), multiplied byCommentsClose CommentsPermalink





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





‘(3) CERTAIN QUALIFIED PROGRESS EXPENDITURES RULES MADE APPLICABLE- Rules similar to the rules of subsections (c)(4) and (d) of section 46 (as in effect on the day before the enactment of the Revenue Reconciliation Act of 1990) shall apply for purposes of this section.CommentsClose CommentsPermalink





‘(c) Definitions-CommentsClose CommentsPermalink





‘(1) ALTERNATIVE ENERGY EQUIPMENT MANUFACTURING PROJECT- The term ‘alternative energy equipment manufacturing project’ means a project--CommentsClose CommentsPermalink





‘(A) which re-equips, expands, or establishes an eligible manufacturing facility for the production of property which is--CommentsClose CommentsPermalink





‘(i) designed to be used to produce energy from the sun, wind, geothermal deposits (within the meaning of section 613(e)(2)), fuel cells, or microturbines,CommentsClose CommentsPermalink





‘(ii) any battery, electric motor or generator, or power control unit which is designed specifically for use in a new qualified plug-in electric drive motor vehicle (as defined by section 30D(c)),CommentsClose CommentsPermalink





‘(iii) electricity generation, transmission, or distribution infrastructure or equipment directly related to enabling smart grid functions (as defined in section 1306(d) of Energy Independence and Security Act of 2007), or,CommentsClose CommentsPermalink





‘(iv) otherwise approved by the Secretary, in consultation with the Secretary of Energy, as property designed to be used in the production of energy from alternative sources,CommentsClose CommentsPermalink





‘(B) any portion of the qualified investment of which is certified under the qualifying advanced energy project program as eligible for a credit under this section.CommentsClose CommentsPermalink





‘(2) ELIGIBLE PROPERTY- The term ‘eligible property’ means any property which is part of a qualifying advanced energy project and is necessary for the production of property described in paragraph (1)(A).CommentsClose CommentsPermalink





‘(3) ELIGIBLE MANUFACTURING FACILITY- The term ‘eligible manufacturing facility’ means any manufacturing facility for which more than 50 percent of the gross receipts for the taxable year are derived from sales of eligible property.CommentsClose CommentsPermalink





‘(d) Alternative Energy Equipment Project Program-CommentsClose CommentsPermalink





‘(1) ESTABLISHMENT- Not later than 180 days after the date of enactment of this section, the Secretary, in consultation with the Secretary of Energy, shall establish a alternative energy equipment project program to consider and award certifications for qualified investments eligible for credits under this section to qualifying energy project sponsors under this section.CommentsClose CommentsPermalink





‘(2) CERTIFICATION-CommentsClose CommentsPermalink





‘(A) APPLICATION PERIOD- Each applicant for certification under this paragraph shall submit an application meeting the requirements of subparagraph (B). An applicant may only submit an application during the 3-year period beginning on the date the Secretary establishes the program under paragraph (1).CommentsClose CommentsPermalink





‘(B) REQUIREMENTS FOR APPLICATIONS FOR CERTIFICATION- An application under subparagraph (A) shall contain such information as the Secretary may require in order to make a determination to accept or reject an application for certification as meeting the requirements under subsection (c)(1). Any information contained in the application shall be protected as provided in section 552(b)(4) of title 5, United States Code.CommentsClose CommentsPermalink





‘(C) TIME TO ACT UPON APPLICATIONS FOR CERTIFICATION- The Secretary shall issue a determination as to whether an applicant has met the requirements under subsection (c)(1) within 60 days following the date of submittal of the application for certification.CommentsClose CommentsPermalink





‘(D) TIME TO MEET CRITERIA FOR CERTIFICATION- Each applicant for certification shall have 2 years from the date of acceptance by the Secretary of the application during which to provide to the Secretary evidence that the requirements under subsection (c)(1) have been met.CommentsClose CommentsPermalink





‘(E) PERIOD OF ISSUANCE- An applicant which receives a certification shall have 5 years from the date of issuance of the certification in order to place the project in service and if such project is not placed in service by that time period then the certification shall no longer be valid.CommentsClose CommentsPermalink





‘(3) AGGREGATE CREDITS- The aggregate credits allowed under subsection (a) for projects certified by the Secretary under paragraph (2) may not exceed $6,000,000,000 per calendar year.’.CommentsClose CommentsPermalink





(c) Coordination With Energy Credit-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 48(a)(2)(B) is amended by inserting ‘or to a qualified investment (as defined under section 48C(b))’ before the period at the end.CommentsClose CommentsPermalink





(2) CONFORMING AMENDMENT- The heading of section 48(a)(2)(B) is amended by striking ‘REHABILITATION CREDIT’ and inserting ‘OTHER CREDITS’.CommentsClose CommentsPermalink





(d) Conforming Amendments-CommentsClose CommentsPermalink





(1) Section 49(a)(1)(C) is amended by striking ‘and’ at the end of clause (iii), by striking clause (iv), and by adding after clause (iv) the following new clause:CommentsClose CommentsPermalink





‘(v) the basis of any property which is part of an alternative energy equipment manufacturing project credit under section 48C.’.CommentsClose CommentsPermalink





(2) The table of sections for subpart E of part IV of subchapter A of chapter 1 is amended by inserting after the item relating to section 48B the following new item:CommentsClose CommentsPermalink





‘48C. Alternative energy equipment manufacturing project credit.’.CommentsClose CommentsPermalink





(e) Effective Date- The amendments made by this section shall apply to periods after the date of the enactment of this Act, under rules similar to the rules of section 48(m) of the Internal Revenue Code of 1986 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990).CommentsClose CommentsPermalink

SEC. 102. FUND GREEN JOBS ACT.

Out of any sums in the Treasury of the United States not otherwise appropriated, $125,000,000,000 is appropriated for expenses necessary for the manufacturing of advanced batteries authorized under section 136(b)(1)(B) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17013(b)(1)(B)). Such sums shall remain available until expended.CommentsClose CommentsPermalink

TITLE II--REVITALIZING OUR NATION’S ELECTRICITY GRIDCommentsClose CommentsPermalink

SEC. 201. SMART GRID RESEARCH AND DEVELOPMENT PROGRAM.

Out of any sums in the Treasury of the United States not otherwise appropriated, $400,000,000 shall be appropriated for expenses necessary for the program authorized under section 1304(a) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17384(a)). Such sums shall remain available until expended.CommentsClose CommentsPermalink

SEC. 202. SMART GRID REGIONAL DEMONSTRATION INITIATIVE.

Out of any sums in the Treasury of the United States not otherwise appropriated, $200,000,000 is appropriated for expenses necessary for the initiative authorized under section 1304(b) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17384(b)). Such sums shall remain available until expended.CommentsClose CommentsPermalink

SEC. 203. SMART GRID FEDERAL MATCHING FUND.

Out of any sums in the Treasury of the United States not otherwise appropriated, $200,000,000 is appropriated for expenses necessary for grant program authorized under section 1306 of the Energy Independence and Security Act of 2007 (42 U.S.C. 17386). Such sums shall remain available until expended.CommentsClose CommentsPermalink

SEC. 204. RECOVERY PERIOD FOR DEPRECIATION OF SMART METERS AND SMART GRID SYSTEMS.

(a) 5-Year Recovery Period-CommentsClose CommentsPermalink





(1) IN GENERAL- Subparagraph (B) of section 168(e)(3) is amended by striking ‘and’ at the end of clause (vi), by striking the period at the end of clause (vii) and inserting ‘, and’, and by adding at the end the following new clauses:CommentsClose CommentsPermalink





‘(viii) any qualified smart electric meter, andCommentsClose CommentsPermalink





‘(ix) any qualified smart electric grid system.’.CommentsClose CommentsPermalink





(2) CONFORMING AMENDMENTS- Subparagraph (D) of section 168(e)(3) is amended by inserting ‘and’ at the end of clause (i), by striking the comma at the end of clause (ii) and inserting a period, and by striking clauses (iii) and (iv).CommentsClose CommentsPermalink





(b) Technical Amendments- Paragraphs (18)(A)(ii) and (19)(A)(ii) of section 168(i) are each amended by striking ‘16 years’ and inserting ‘10 years’.CommentsClose CommentsPermalink





(c) Effective Dates-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in paragraph (2), the amendments made by this section shall apply to property placed in service after the date of the enactment of this Act.CommentsClose CommentsPermalink





(2) TECHNICAL AMENDMENT- The amendments made by subsection (b) shall take effect as if included in section 306 of the Energy Improvement and Extension Act of 2008.CommentsClose CommentsPermalink

SEC. 205. BONNEVILLE POWER ADMINISTRATION.

For the purposes of providing funds to assist in financing the construction, acquisition, and replacement of the transmission system of the Bonneville Power Administration and to implement the authority of the Administrator under the Pacific Northwest Electric Power Planning and Conservation Act (16 U.S.C. 839 et seq.), an additional $5,000,000,000 in borrowing authority is made available under the Federal Columbia River Transmission System Act (16 U.S.C. 838 et seq.), to remain outstanding at any time.CommentsClose CommentsPermalink

TITLE III--ENSURING CLEAN ENERGY DEPLOYMENTCommentsClose CommentsPermalink

SEC. 301. SHIFT IN CARRYBACK AND CARRYFORWARD OF UNUSED GENERAL BUSINESS CREDITS.

(a) In General- Section 39(a)(1) is amended--CommentsClose CommentsPermalink





(1) by striking ‘the taxable year’ in subparagraph (A) and inserting ‘each of the 5 taxable years’, andCommentsClose CommentsPermalink





(2) by striking ‘20 taxable years’ in subparagraph (B) and inserting ‘15 taxable years’.CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) The heading for paragraph (1) of section 39(a) is amended--CommentsClose CommentsPermalink





(A) by striking ‘1-YEAR’ and inserting ‘5-YEAR’, andCommentsClose CommentsPermalink





(B) by striking ‘20-YEAR’ and inserting ‘15-YEAR’.CommentsClose CommentsPermalink





(2) Section 39(a)(2)(A) is amended by striking ‘21 taxable years’ and inserting ‘20 taxable years’.CommentsClose CommentsPermalink





(3) Section 39(a)(2)(B) is amended--CommentsClose CommentsPermalink





(A) by striking ‘20 taxable years’ and inserting ‘19 taxable years’, andCommentsClose CommentsPermalink





(B) by striking ‘20 YEARS’ in the heading thereof and inserting ‘19 YEARS’.CommentsClose CommentsPermalink





(4) Section 39(a) is amended by striking paragraph (3).CommentsClose CommentsPermalink





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

SEC. 302. EXTENSION AND MODIFICATION OF RENEWABLE ELECTRICITY PRODUCTION CREDIT.

(a) Extension- Section 45(d) is amended--CommentsClose CommentsPermalink





(1) by striking ‘January 1, 2010’ in paragraph (1) and inserting ‘January 1, 2014’,CommentsClose CommentsPermalink





(2) by striking ‘January 1, 2011’ each place it appears in paragraphs (2), (3), (4), (5), (6), (7), and (9) and inserting ‘January 1, 2014’, andCommentsClose CommentsPermalink





(3) by striking ‘January 1, 2012’ in paragraph (11)(B) and inserting ‘January 1, 2014’.CommentsClose CommentsPermalink





(b) Credit To Include Production of Thermal Energy-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 45 is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





‘(f) Credit for Production of Thermal Energy-CommentsClose CommentsPermalink





‘(1) IN GENERAL- In the case of a taxpayer who--CommentsClose CommentsPermalink





‘(A) produces thermal energy from closed-loop biomass, open-loop biomass, or geothermal energy at a qualified facility, andCommentsClose CommentsPermalink





‘(B) makes an election under this subsection with respect to such facility,CommentsClose CommentsPermalink





subsection (a) shall be applied by substituting ‘each 3,413 Btus of thermal energy (or fraction thereof)’ for ‘the kilowatt hours of electricity’ in paragraph (2) thereof.CommentsClose CommentsPermalink





‘(2) DENIAL OF DOUBLE BENEFIT- If an election under this subsection is in effect with respect to any facility, no credit shall be allowed under subsection (a) with respect to the production of electricity at such facility.CommentsClose CommentsPermalink





‘(3) ELECTION-CommentsClose CommentsPermalink





‘(A) IN GENERAL- An election under this subsection shall specify the facility to which the election applies and shall be in such manner as the Secretary may by regulations prescribe.CommentsClose CommentsPermalink





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





(2) CONFORMING AMENDMENTS-CommentsClose CommentsPermalink





(A) Section 45(c)(2) is amended by inserting ‘or thermal energy’ after ‘electricity’.CommentsClose CommentsPermalink





(B) Section 45(d) is amended by inserting ‘or thermal energy’ after ‘electricity’ each place it appears in paragraphs (2), (3), and (4).CommentsClose CommentsPermalink





(C) Section 45(e) is amended by inserting ‘or thermal energy’ after ‘electricity’ each place it appears in paragraphs (1) and (4).CommentsClose CommentsPermalink





(D) The heading of section 45 is amended by inserting ‘and thermal energy’ after ‘electricity’.CommentsClose CommentsPermalink





(E) The item relating to section 45 in the table of sections for subpart D of part IV of subchapter A of chapter 1 is amended by inserting ‘and thermal energy’ after ‘Electricity’.CommentsClose CommentsPermalink





(c) Elimination of Reduced Credit Rate for Electricity Produced and Sold From Certain Facilities- Paragraph (4) of section 45(b) is amended to read as follows:CommentsClose CommentsPermalink





‘(4) CREDIT PERIOD FOR ELECTRICITY PRODUCED AND SOLD FROM CERTAIN FACILITIES-CommentsClose CommentsPermalink





‘(A) IN GENERAL- Except as provided in subparagraph (B) or subparagraph (C), in the case of any facility described in paragraph (3), (4), (5), (6), or (7) of subsection (d), the 5-year period beginning on the date the facility was originally placed in service shall be substituted for the 10-year period in subsection (a)(2)(A)(ii).CommentsClose CommentsPermalink





‘(B) CERTAIN OPEN-LOOP BIOMASS FACILITIES- In the case of any facility described in subsection (d)(3)(A)(ii) placed in service before October 22, 2004, the 5-year period beginning on January 1, 2005, shall be substituted for the 10-year period in subsection (a)(2)(A)(ii).CommentsClose CommentsPermalink





‘(C) TERMINATION- Subparagraph (A) shall not apply to any facility placed in service after August 8, 2005.’.CommentsClose CommentsPermalink





(d) Credit Allowed for Zero-Carbon Emissions Resource Facilities-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 45(c)(1) is amended by striking ‘and’ at the end of subparagraph (H), by striking the period at the end of subparagraph (I) and inserting ‘, and’, and by adding at the end the following new subparagraph:CommentsClose CommentsPermalink





‘(J) zero-carbon emissions resources.’.CommentsClose CommentsPermalink





(2) DEFINITION OF RESOURCES- Section 45(c) is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(11) ZERO-CARBON EMISSIONS RESOURCE- The term ‘zero-carbon emission resource’ means any resource--CommentsClose CommentsPermalink





‘(A) not described in paragraphs (2) through (10),CommentsClose CommentsPermalink





‘(B) from which electricity or thermal energy can be produced without producing carbon emissions, andCommentsClose CommentsPermalink





‘(C) which is approved by the Secretary, after consultation with the Secretary of Energy.’.CommentsClose CommentsPermalink





(3) FACILITIES- Section 45(d) is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(11) ZERO-CARBON EMISSIONS RESOURCE FACILITY- In the case of a facility using a zero-carbon emissions resource to produce electricity or thermal energy, the term ‘qualified facility’ means any facility owned by the taxpayer which is originally placed in service after the date of the enactment of this paragraph and before January 1, 2014.’.CommentsClose CommentsPermalink





(e) Modification of Renewable Electricity Production Credit for Biomass Facilities-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 45(e) is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(12) CREDIT ALLOWED FOR ELECTRICITY PRODUCED FROM BIOMASS FOR ON-SITE USE- In the case of electricity produced after December 31, 2008, at any facility described in paragraph (2) or (3) of subsection (d) which is equipped with a metering device to determine electricity consumption or sale, subsection (a)(2) shall be applied without regard to subparagraph (B) thereof with respect to such electricity produced and consumed at such facility.’.CommentsClose CommentsPermalink





(2) CREDIT PERIOD FOR ELECTRICITY PRODUCED FROM OPEN-LOOP BIOMASS FOR ON-SITE USE- Section 45(b)(4), as amended by subsection (c), is amended--CommentsClose CommentsPermalink





(A) by striking ‘subparagraph (B) or subparagraph (C)’ in subparagraph (A) and inserting ‘subparagraph (B), (C), or (D)’,CommentsClose CommentsPermalink





(B) by redesignating subparagraph (C) as subparagraph (D), andCommentsClose CommentsPermalink





(C) by inserting after subparagraph (B) the following new subparagraph:CommentsClose CommentsPermalink





‘(C) ELECTRICITY PRODUCED FOR ON-SITE USE AT CERTAIN OPEN-LOOP BIOMASS FACILITIES- In the case of electricity produced and consumed as described in subsection (e)(12) at any facility described in subsection (d)(3)(A)(ii) which is placed in service before the date of the enactment of this clause, the 5-year period beginning on January 1, 2009, shall be substituted for the 10-year period in subsection (a)(2)(A)(ii).’.CommentsClose CommentsPermalink





(f) Effective Dates-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in paragraph (2), the amendments made by this section shall apply to electricity and thermal energy produced and sold after the date of the enactment of this Act, in taxable years ending after such date.CommentsClose CommentsPermalink





(2) BIOMASS FACILITIES- The amendments made by subsection (e) shall take effect on the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 303. EXPANSION AND EXTENSION OF NEW CLEAN RENEWABLE ENERGY BONDS.

(a) In General- Section 54C(c)(2) is amended by inserting ‘, for calendar years 2009, 2010, 2011, 2012, and 2013, an additional $5,000,000,000 for each year, and, except as provided in paragraph (4) for years after 2013, zero,’ after ‘$800,000,000’.CommentsClose CommentsPermalink





(b) Carryover of Unused Limitation- Section 54C(c) is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(4) CARRYOVER OF UNUSED LIMITATION- If for any calendar year--CommentsClose CommentsPermalink





‘(A) the amount allocated under paragraph (2) for such calendar year, exceedsCommentsClose CommentsPermalink





‘(B) the amount of bonds issued during such year which are designated under subsection (a) pursuant to such allocation, the limitation amount under such paragraph for the following calendar year shall be increased by the amount of such excess.’.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to obligations issued after December 31, 2008.CommentsClose CommentsPermalink

SEC. 304. 30-YEAR CONTRACTS FOR FEDERAL PURCHASES OF ELECTRICITY GENERATED BY RENEWABLE ENERGY.

Section 203 of the Energy Policy Act of 2005 (42 U.S.C. 15852) is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





‘(e) Contract Length-CommentsClose CommentsPermalink





‘(1) IN GENERAL- Notwithstanding section 501(b)(1)(B) of title 40, United States Code, a contract for renewable energy may be made for a period of not more than 30 years.CommentsClose CommentsPermalink





‘(2) EXCLUSION- For purposes of this subsection, the term ‘renewable energy’ shall be deemed to exclude energy generated from municipal solid waste.CommentsClose CommentsPermalink





‘(3) TECHNICAL ASSISTANCE- The Secretary shall provide technical assistance to Federal agencies regarding the implementation of this subsection.CommentsClose CommentsPermalink





‘(4) STANDARDIZED RENEWABLE ENERGY PURCHASE AGREEMENT- Not later than 90 days after the date of enactment of this subsection, the Secretary, through the Federal Energy Management Program, shall publish a standardized renewable energy purchase agreement setting forth commercial terms and conditions that can be utilized by Federal agencies to acquire renewable energy.CommentsClose CommentsPermalink





‘(5) LIMITATION- The maximum amount obligated or expended under this subsection shall not exceed $480,000,000.’.CommentsClose CommentsPermalink

TITLE IV--REDUCING FOREIGN OIL DEPENDENCECommentsClose CommentsPermalink

SEC. 401. INCENTIVES FOR MANUFACTURING FACILITIES PRODUCING PLUG-IN ELECTRIC DRIVE MOTOR VEHICLE AND COMPONENTS.

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

‘SEC. 179F. ELECTION TO EXPENSE MANUFACTURING FACILITIES PRODUCING PLUG-IN ELECTRIC DRIVE MOTOR VEHICLE AND COMPONENTS.

‘(a) Treatment as Expenses- A taxpayer may elect to treat the applicable percentage of the cost of any qualified plug-in electric drive motor 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 plug-in electric drive motor vehicle manufacturing facility property which is placed in service before January 1, 2012, andCommentsClose CommentsPermalink





‘(2) 50 percent, in the case of qualified plug-in electric drive motor vehicle manufacturing facility property which is placed in service after December 31, 2011, and before January 1, 2015.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 Plug-In Electric Drive Motor Vehicle Manufacturing Facility Property- For purposes of this section--CommentsClose CommentsPermalink





‘(1) IN GENERAL- The term ‘qualified plug-in electric drive motor 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, 2015, 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 plug-in electric drive motor vehicle (as defined by section 30D(c)), orCommentsClose CommentsPermalink





‘(ii) any eligible component.CommentsClose CommentsPermalink





‘(B) ELIGIBLE COMPONENT- The term ‘eligible component’ means any battery, any electric motor or generator, or any power control unit which is designed specifically for use with a new qualified plug-in electric drive motor vehicle (as so defined).CommentsClose CommentsPermalink





‘(e) Special Rule for Dual Use Property- In the case of any qualified plug-in electric drive motor vehicle manufacturing facility property which is used to produce both qualified property and other property which is not qualified property, the amount of costs taken into account under subsection (a) shall be reduced by an amount equal to--CommentsClose CommentsPermalink





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





‘(2) the percentage of property expected to be produced which is not qualified property.’.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 plug-in electric drive motor 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 plug-in electric drive motor vehicle manufacturing facility property which is placed in service before January 1, 2012, andCommentsClose CommentsPermalink





‘(B) 17.5 percent, in the case of qualified plug-in electric drive motor vehicle manufacturing facility property which is placed in service after December 31, 2011, and before January 1, 2015.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 plug-in electric drive motor 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 PLUG-IN ELECTRIC DRIVE MOTOR VEHICLE MANUFACTURING FACILITY PROPERTY- The term ‘qualified plug-in electric drive motor 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 plug-in electric drive motor 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) Clerical Amendment- The table of sections for part VI of subchapter B of chapter 1 is amended by adding at the end the following new item:CommentsClose CommentsPermalink





‘Sec. 179F. Election to expense manufacturing facilities producing plug-in electric drive motor vehicle and components.’.CommentsClose CommentsPermalink





(d) 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

SEC. 402. CONSUMER INCENTIVES FOR PLUG-IN ELECTRIC DRIVE MOTOR VEHICLES.

(a) Increase in Number of Plug-In Electric Drive Motor Vehicles Eligible for Tax Credit-CommentsClose CommentsPermalink





(1) IN GENERAL- Subparagraph (B) of section 30D(b)(2) is amended by striking ‘250,000’ and inserting ‘500,000’.CommentsClose CommentsPermalink





(2) EFFECTIVE DATE- The amendment made by this subsection shall apply to taxable years beginning after December 31, 2008.CommentsClose CommentsPermalink





(b) Conversion Kits-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 30B (relating to alternative motor vehicle credit) is amended by redesignating subsections (i) and (j) as subsections (j) and (k), respectively, and by inserting after subsection (h) the following new subsection:CommentsClose CommentsPermalink





‘(i) Plug-In Conversion Credit-CommentsClose CommentsPermalink





‘(1) IN GENERAL- For purposes of subsection (a), the plug-in conversion credit determined under this subsection with respect to any motor vehicle which is converted to a qualified plug-in electric drive motor vehicle is the lesser of--CommentsClose CommentsPermalink





‘(A) an amount equal to--CommentsClose CommentsPermalink





‘(i) $1,250, plusCommentsClose CommentsPermalink





‘(ii) $100 for each half kilowatt hour of capacity of the plug-in traction battery module installed in such vehicle in excess of 2.5 kilowatt hours, orCommentsClose CommentsPermalink





‘(B) 50 percent of the cost of the plug-in traction battery module installed in such vehicle as part of such conversion.CommentsClose CommentsPermalink





‘(2) LIMITATIONS- The amount of the credit allowed under this subsection shall not exceed $4,000 with respect to the conversion of any motor vehicle.CommentsClose CommentsPermalink





‘(3) DEFINITIONS AND SPECIAL RULES- For purposes of this subsection--CommentsClose CommentsPermalink





‘(A) QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR VEHICLE- The term ‘qualified plug-in electric drive motor vehicle’ means any new qualified plug-in electric drive motor vehicle (as defined in section 30D(c), determined without regard to paragraphs (4) and (6) thereof).CommentsClose CommentsPermalink





‘(B) PLUG-IN TRACTION BATTERY MODULE- The term ‘plug-in traction battery module’ means an electro-chemical energy storage device which--CommentsClose CommentsPermalink





‘(i) has a traction battery capacity of not less than 2.5 kilowatt hours,CommentsClose CommentsPermalink





‘(ii) is equipped with an electrical plug by means of which it can be energized and recharged when plugged into an external source of electric power,CommentsClose CommentsPermalink





‘(iii) consists of a standardized configuration and is mass produced,CommentsClose CommentsPermalink





‘(iv) has been tested and approved by the National Highway Transportation Safety Administration as compliant with applicable motor vehicle and motor vehicle equipment safety standards when installed by a mechanic with standardized training in protocols established by the battery manufacturer as part of a nationwide distribution program, andCommentsClose CommentsPermalink





‘(v) is certified by a battery manufacturer as meeting the requirements of clauses (i) through (iv).CommentsClose CommentsPermalink





‘(C) CREDIT ALLOWED TO LESSOR OF BATTERY MODULE- In the case of a plug-in traction battery module which is leased to the taxpayer, the credit allowed under this subsection shall be allowed to the lessor of the plug-in traction battery module.CommentsClose CommentsPermalink





‘(D) CREDIT ALLOWED IN ADDITION TO OTHER CREDITS- The credit allowed under this subsection shall be allowed with respect to a motor vehicle notwithstanding whether a credit has been allowed with respect to such motor vehicle under this section (other than this subsection) in any preceding taxable year.CommentsClose CommentsPermalink





‘(4) TERMINATION- This subsection shall not apply to conversions made after December 31, 2012.’.CommentsClose CommentsPermalink





(2) CREDIT TREATED AS PART OF ALTERNATIVE MOTOR VEHICLE CREDIT- Section 30B(a) is amended by striking ‘and’ at the end of paragraph (3), by striking the period at the end of paragraph (4) and inserting ‘, and’, and by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(5) the plug-in conversion credit determined under subsection (i).’.CommentsClose CommentsPermalink





(3) NO RECAPTURE FOR VEHICLES CONVERTED TO QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR VEHICLES- Paragraph (8) of section 30B(h) is amended by adding at the end the following: ‘, except that no benefit shall be recaptured if such property ceases to be eligible for such credit by reason of conversion to a qualified plug-in electric drive motor vehicle.’.CommentsClose CommentsPermalink





(4) EFFECTIVE DATE- The amendments made by this subsection shall apply to property placed in service after December 31, 2008, in taxable years beginning after such date.CommentsClose CommentsPermalink





(c) Certain 2- or 3-Wheeled Motor Vehicles Eligible for Credit-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 30D is amended--CommentsClose CommentsPermalink





(A) by redesignating subsections (f) and (g) as subsections (g) and (h), respectively, andCommentsClose CommentsPermalink





(B) by inserting after subsection (e) the following new subsection:CommentsClose CommentsPermalink





‘(f) 2- or 3-Wheeled Motor Vehicles- For purposes of this section--CommentsClose CommentsPermalink





‘(1) IN GENERAL- Except as provided in paragraph (2), 2- or 3-wheeled motor vehicles shall be treated in the same manner as motor vehicles.CommentsClose CommentsPermalink





‘(2) EXCEPTIONS-CommentsClose CommentsPermalink





‘(A) APPLICABLE AMOUNT- For purposes of this subsection, the applicable amount shall be $1,250.CommentsClose CommentsPermalink





‘(B) OTHER EXCEPTIONS-CommentsClose CommentsPermalink





‘(i) Subparagraph (B) of subsection (a)(2) shall be applied with respect to 2- or 3-wheeled motor vehicles by substituting ‘$100 for each half kilowatt hour’ for ‘$417 for each kilowatt hour’.CommentsClose CommentsPermalink





‘(ii) Subparagraph (A) of subsection (b)(1) shall be applied with respect to 2- or 3-wheeled motor vehicles by substituting ‘$3,750’ for ‘$7,500’.CommentsClose CommentsPermalink





‘(iii) Subsection (c)(1) shall be applied with respect to 2- or 3-wheeled motor vehicles by substituting ‘2.5 kilowatt hours’ for ‘4 kilowatt hours’.CommentsClose CommentsPermalink





‘(iv) Subsection (c)(3) shall not apply with respect to 2- or 3-wheeled motor vehicles.CommentsClose CommentsPermalink





‘(3) APPLICATION OF LIMITATION- The limitation provided in subsection (b)(2) shall be applied separately with respect to 2- or 3-wheeled vehicles and with respect to other motor vehicles, and in applying such limitation to 2- or 3-wheeled vehicles, ‘50,000’ shall be substituted for ‘500,000’.CommentsClose CommentsPermalink





‘(4) 2- OR 3-WHEELED MOTOR VEHICLE- The term ‘2- or 3-wheeled vehicle’ means any vehicle--CommentsClose CommentsPermalink





‘(A) which would be described in section 30(c)(2) except that it has 2 or 3 wheels,CommentsClose CommentsPermalink





‘(B) with motive power having a seat or saddle for the use of the rider and designed to travel on not more than 3 wheels in contact with the ground,CommentsClose CommentsPermalink





‘(C) which has an electric motor that produces in excess of 5-brake horsepower,CommentsClose CommentsPermalink





‘(D) which draws propulsion from 1 or more traction batteries, andCommentsClose CommentsPermalink





‘(E) which has been certified to the Department of Transportation pursuant to section 567 of title 49, Code of Federal Regulations, as conforming to all applicable Federal motor vehicle safety standards in effect on the date of the manufacture of the vehicle.’.CommentsClose CommentsPermalink





(2) EFFECTIVE DATE- The amendments made by this subsection shall apply to property placed in service after December 31, 2008, in taxable years beginning after such date.CommentsClose CommentsPermalink





(d) Credit With Respect to Low-Speed Vehicles-CommentsClose CommentsPermalink





(1) IN GENERAL- Subsection (e) of section 30D is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(11) SPECIAL RULES FOR LOW-SPEED VEHICLES- In the case of a low-speed vehicle which meets the requirements of section 571.500 of title 49, Code of Federal Regulations--CommentsClose CommentsPermalink





‘(A) subparagraph (A) of subsection (a)(2) shall be applied with respect low-speed vehicles by substituting ‘$1,250’ for ‘$2,500’,CommentsClose CommentsPermalink





‘(B) subparagraph (B) of subsection (a)(2) shall be applied with respect to low-speed vehicles by substituting ‘$100 for each half kilowatt hour’ for ‘$417 for each kilowatt hour’,CommentsClose CommentsPermalink





‘(C) subparagraph (A) of subsection (b)(1) shall be applied with respect to low-speed vehicles by substituting ‘$3,750’ for ‘$7,500’,CommentsClose CommentsPermalink





‘(D) the limitation provided in subsection (b)(2) shall be applied separately with respect to low-speed vehicles and with respect to other motor vehicles, and in applying such limitation to low-speed vehicles, ‘50,000’ shall be substituted for ‘500,000’, andCommentsClose CommentsPermalink





‘(E) subsection (c)(3) shall not apply with respect to low-speed vehicles.’.CommentsClose CommentsPermalink





(2) EFFECTIVE DATE- The amendment made by this subsection shall apply to property placed in service after December 31, 2008, in taxable years beginning after such date.CommentsClose CommentsPermalink

SEC. 403. TRANSPORTATION SECTOR ELECTRIFICATION PROGRAMS.

(a) Out of any sums in the Treasury of the United States not otherwise appropriated, $600,000,000 is appropriated for expenses necessary to implement the programs authorized under section 131(b) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17011(b)). Such sums shall remain available until expended.CommentsClose CommentsPermalink





(b) Out of any sums in the Treasury of the United States not otherwise appropriated, $600,000,000 is appropriated for expenses necessary to implement the programs authorized under section 131(c) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17011(c)). Such sums shall remain available until expended.CommentsClose CommentsPermalink

SEC. 404. ENERGY STORAGE COMPETITIVENESS.

Out of any sums in the Treasury of the United States not otherwise appropriated, $1,800,000,000 is appropriated for expenses necessary to implement the programs authorized under section 641 of the Energy Independence and Security Act of 2007 (42 U.S.C. 17231). Such sums shall remain available until expended.CommentsClose CommentsPermalink

SEC. 405. ADVANCED BATTERY MANUFACTURING.

Out of any sums in the Treasury of the United States not otherwise appropriated, $1,000,000,000 is appropriated for expenses necessary for the manufacturing of advanced batteries authorized under section 136(b)(1)(B) of the Energy Independence and Security Act of 2007 (42 U.S.C. 17013(b)(1)(B)). Such sums shall remain available until expended.CommentsClose CommentsPermalink

SEC. 406. EXTENSION OF CREDITS FOR BIODIESEL AND RENEWABLE DIESEL.

Sections 40A(g), 6426(c)(6), and 6427(e)(6)(B) are each amended by striking ‘December 31, 2009’ and inserting ‘December 31, 2010’.CommentsClose CommentsPermalink

SEC. 407. EXPANSION AND EXTENSION OF ELECTRIC AND ALTERNATIVE FUEL VEHICLE REFUELING PROPERTY CREDIT.

(a) Expansion-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 30C is amended--CommentsClose CommentsPermalink





(A) by striking ‘30 percent’ in subsection (a) and inserting ‘50 percent’, andCommentsClose CommentsPermalink





(B) by striking ‘$30,000’ in subsection (b)(1) and inserting ‘$50,000’.CommentsClose CommentsPermalink





(2) EFFECTIVE DATE- The amendments made by this subsection shall apply to property placed in service after the date of the enactment of this Act, in taxable years ending after such date.CommentsClose CommentsPermalink





(b) Extension- Subsection (g) of section 30C is amended to read as follows:CommentsClose CommentsPermalink





‘(g) Termination- This section shall not apply to any property placed in service after December 31, 2014.’.CommentsClose CommentsPermalink

TITLE V--ENERGY EFFICIENCY INVESTMENTSCommentsClose CommentsPermalink

SEC. 501. MODIFICATION OF CREDIT FOR RESIDENTIAL ENERGY EFFICIENT PROPERTY.

(a) Increase in Credit Percentage- Section 25D(a) is amended by striking ‘30 percent’ each place it appears and inserting ‘50 percent’.CommentsClose CommentsPermalink





(b) Credit for Qualified Energy Storage Air Conditioner Property Installed in a Principal Residence-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 25D(a), as amended by subsection (a), is amended by striking ‘and’ at the end of paragraph (4), by striking the period at the end of paragraph (5) and inserting ‘, and’, and by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(6) 50 percent of the qualified energy storage air conditioner property expenditures made by the taxpayer during such year.’.CommentsClose CommentsPermalink





(2) QUALIFIED ENERGY STORAGE AIR CONDITIONER PROPERTY EXPENDITURE- Section 25D(d) is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(6) QUALIFIED ENERGY STORAGE AIR CONDITIONER PROPERTY EXPENDITURE- The term ‘qualified energy storage air conditioner property expenditure’ means an expenditure for qualified energy storage air conditioner property (as defined in section 48(c)(5)) installed on or in connection with a dwelling unit located in the United States and used as a principal residence (within the meaning of section 121) by the taxpayer.’.CommentsClose CommentsPermalink





(3) MODIFICATION OF MAXIMUM CREDIT-CommentsClose CommentsPermalink





(A) IN GENERAL- Paragraph (1) of section 25D(b) is amended by striking ‘and’ at the end of subparagraph (C), by striking the period at the end of subparagraph (D) and inserting ‘, and’, and by adding at the end the following new subparagraph:CommentsClose CommentsPermalink





‘(E) $500 with respect to each half kilowatt of peak demand reduction (as defined in section 48(c)(5)) of qualified energy storage air conditioner property (as defined in section 48(c)(5)) for which qualified energy storage air conditioner expenditures are made.’.CommentsClose CommentsPermalink





(B) CONFORMING AMENDMENTS-CommentsClose CommentsPermalink





(i) Subparagraph (A) of section 25D(e)(4) is amended by striking ‘and’ at the end of clause (iii), by striking the period at the end of clause (iv) and inserting ‘, and’, and by adding at the end the following new clause:CommentsClose CommentsPermalink





‘(v) $1,667 in the case of each half kilowatt of peak demand reduction (as defined in section 48(c)(5)) of qualified energy storage air conditioner property (as defined in section 48(c)(5)) for which qualified energy storage air conditioner expenditures are made.’.CommentsClose CommentsPermalink





(ii) Subparagraph (C) of section 25D(e)(4) is amended by striking ‘paragraphs (1), (2), and (3)’ and inserting ‘paragraphs (1), (3), (4), (5), and (6)’.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to property placed in service after December 31, 2008, in taxable years ending after such date.CommentsClose CommentsPermalink

SEC. 502. BUSINESS CREDIT FOR QUALIFIED ENERGY STORAGE AIR CONDITIONER PROPERTY.

(a) In General- Subparagraph (A) of section 48(a)(3) is amended by deleting ‘or’ at the end of clause (vi), by inserting ‘or’ at the end of clause (vii), and by inserting after clause (vii) the following new clause:CommentsClose CommentsPermalink





‘(viii) qualified energy storage air conditioner property but only with respect to periods ending before January 1, 2017,’.CommentsClose CommentsPermalink





(b) 30 Percent Credit- Clause (i) of section 48(a)(2)(A) is amended by striking ‘and’ at the end of subclause (III) and by inserting after subclause (IV) the following new subclause:CommentsClose CommentsPermalink





‘(V) qualified energy storage air conditioner property, and’.CommentsClose CommentsPermalink





(c) Qualified Energy Storage Air Conditioner Property- Section 48(c) is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(5) QUALIFIED ENERGY STORAGE AIR CONDITIONER PROPERTY- For the purposes of this section--CommentsClose CommentsPermalink





‘(A) IN GENERAL- The term ‘qualified energy storage air conditioner property’ means a cooling system which--CommentsClose CommentsPermalink





‘(i) consists of thermal storage or ice storage components which create, store, and supply cooling energy to reduce peak electricity demand by displacing the daytime peak electrical demand of conventional mechanical cooling equipment,CommentsClose CommentsPermalink





‘(ii) has a nameplate operational capability to deliver a minimum of 29,000 Btu and a maximum of 240,000 Btu of cooling capacity,CommentsClose CommentsPermalink





‘(iii) is designed to deliver such cooling capacity for a minimum continuous period of 3 hours, available daily from May 1 through September 30, coincident with daytime peak load periods,CommentsClose CommentsPermalink





‘(iv) is designed so as to reduce peak kilowatt demand by 90 percent for the cooling load served, andCommentsClose CommentsPermalink





‘(v) is designed so as not to exceed the 24 hour energy consumption of conventional cooling equipment by more than 10 percent.CommentsClose CommentsPermalink





‘(B) INCLUSION OF RELATED EQUIPMENT- Such term shall include any secondary components which integrate the cooling system described in paragraph (1) with the conventional cooling system, including equipment and controls for measuring and reporting operation and performance, but shall not include any portion of the conventional cooling system.CommentsClose CommentsPermalink





‘(C) LIMITATION-CommentsClose CommentsPermalink





‘(i) IN GENERAL- In the case of qualified energy storage air conditioner property placed in service during the taxable year, the credit otherwise determined under this section for such year with respect to such property shall not exceed an amount equal to $500 for each 0.5 kilowatt of peak demand reduction of such property.CommentsClose CommentsPermalink





‘(ii) PEAK DEMAND REDUCTION- For purposes of this subsection, the term ‘peak demand reduction’ means the removal of electrical demand (kW) on the utility grid system during the daily time period of high electrical demand. The peak demand reduction shall be determined based on Energy Efficiency Ratio (EER) standards for residential and commercial air conditioning equipment, established under the Energy Policy and Conservation Act of 1975.’.CommentsClose CommentsPermalink





(d) Conforming Amendment- Section 48(a)(1) is amended by striking ‘and (3)(B)’ and inserting ‘(3)(B), (4)(B), and (5)(C)’.CommentsClose CommentsPermalink





(e) Effective Date- The amendments made by this section shall apply to periods after December 31, 2008, under rules similar to the rules of section 48(m) of the Internal Revenue Code of 1986 (as in effect before the date of the enactment of the Revenue Reconciliation Act of 1990).CommentsClose CommentsPermalink

SEC. 503. EXTENSION AND MODIFICATION OF NEW ENERGY EFFICIENT HOME CREDIT.

(a) Extension- Subsection (g) of section 45L (relating to termination) is amended by striking ‘December 31, 2009’ and inserting ‘December 31, 2012’.CommentsClose CommentsPermalink





(b) Increase- Paragraph (2)(A) of section 45L(a) (relating to allowance of credit) is amended by striking ‘$2,000’ and inserting ‘$4,000’.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to homes constructed and acquired after December 31, 2008.CommentsClose CommentsPermalink

SEC. 504. EXTENSION AND MODIFICATION OF DEDUCTION FOR ENERGY EFFICIENT COMMERCIAL BUILDINGS.

(a) Increase in Maximum Amount of Deduction-CommentsClose CommentsPermalink





(1) IN GENERAL- Subparagraph (A) of section 179D(b)(1) is amended by striking ‘$1.80’ and inserting ‘$2.25’.CommentsClose CommentsPermalink





(2) PARTIAL ALLOWANCE- Paragraph (1) of section 179D(d) is amended--CommentsClose CommentsPermalink





(A) by striking ‘$.60’ and inserting ‘$.75’, andCommentsClose CommentsPermalink





(B) by striking ‘$1.80’ and inserting ‘$2.25’.CommentsClose CommentsPermalink





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

SEC. 505. EXTENSION AND MODIFICATION OF NONBUSINESS ENERGY PROPERTY.

(a) Extension- Subsection (g)(2) of section 25C (relating to termination) is amended by striking ‘December 31, 2009’ and inserting ‘December 31, 2010’.CommentsClose CommentsPermalink





(b) Increase in Taxpayer Limitation- Paragraph (1) of section 25C(b) is amended by striking ‘$500’ and inserting ‘$2,000’.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to property placed in service after December 31, 2008.CommentsClose CommentsPermalink

SEC. 506. TAX CREDITS FOR GREEN ROOFS.

(a) Green Roofs Eligible for Energy Credit-CommentsClose CommentsPermalink





(1) IN GENERAL- Subparagraph (A) of section 48(a)(3), as amended by section 502, is amended by striking ‘or’ at the end of clause (vii), by striking the period at the end of clause (viii) and inserting ‘, or’, and by adding at the end the following new clause:CommentsClose CommentsPermalink





‘(ix) a qualified green roof (as defined in section 25D(d)(7)(B)).’.CommentsClose CommentsPermalink





(2) 30 PERCENT CREDIT- Clause (i) of section 48(a)(2)(A), as amended by section 502, is amended by striking ‘and’ at the end of subclause (IV) and by inserting after subclause (V) the following new subclause:CommentsClose CommentsPermalink





‘(VI) qualified green roof (as defined in section 25D(d)(7)(B)), and’.CommentsClose CommentsPermalink





(3) EFFECTIVE DATE- The amendments made by this subsection shall apply to periods after December 31, 2009, under rules similar to the rules of section 48(m) of the Internal Revenue Code of 1986 (as in effect before the date of the enactment of the Revenue Reconciliation Act of 1990).CommentsClose CommentsPermalink





(b) Credit for Residential Green Roofs-CommentsClose CommentsPermalink





(1) IN GENERAL-CommentsClose CommentsPermalink





(A) ALLOWANCE OF CREDIT- Section 25D(a) (relating to allowance of credit), as amended by section 501, is amended by striking ‘and’ at the end of paragraph (5), by striking the period at the end of paragraph (6) and inserting ‘, and’, and by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(7) 30 percent of the qualified green roof property expenditures made by the taxpayer during such year.’.CommentsClose CommentsPermalink





(B) LIMITATION- Section 25D(b) (relating to limitations), as amended by section 501, is amended--CommentsClose CommentsPermalink





(i) by striking ‘and’ at the end of paragraph (1)(D), by striking the period at the end of paragraph (1)(E) and inserting ‘, and’, and by adding at the end of paragraph (1) the following new subparagraph:CommentsClose CommentsPermalink





‘(F) $5,000 with respect to any qualified green roof property expenditures.’, andCommentsClose CommentsPermalink





(ii) by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(3) CERTIFICATION FOR GREEN ROOF PROPERTY- No credit shall be allowed under this section for an item of property described in subsection (d)(7), unless the taxpayer certifies that--CommentsClose CommentsPermalink





‘(A) such taxpayer has received all required permits and approvals to construct the green roof,CommentsClose CommentsPermalink





‘(B) such roof is designed and constructed by licensed design professionals, consultants and contractors under applicable building codes and appropriate licensing laws, andCommentsClose CommentsPermalink





‘(C) such taxpayer has received a written analysis confirming that--CommentsClose CommentsPermalink





‘(i) the structural capacity of the roof would support the proposed green roof, andCommentsClose CommentsPermalink





‘(ii) the condition of the roof is satisfactory for green roof construction and there is appropriate safe access to the roof for maintenance purposes.’.CommentsClose CommentsPermalink





(C) QUALIFIED GREEN ROOF PROPERTY EXPENDITURES- Section 25D(d) (relating to definitions), as amended by section 501, is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(7) QUALIFIED GREEN ROOF PROPERTY EXPENDITURE-CommentsClose CommentsPermalink





‘(A) IN GENERAL- The term ‘qualified green roof property expenditure’ means an expenditure described in subparagraph (B) for a qualified green roof which is installed on a building located in the United States and used as a residence by the taxpayer.CommentsClose CommentsPermalink





‘(B) EXPENDITURES DESCRIBED- An expenditure described in this subparagraph is an expenditure for--CommentsClose CommentsPermalink





‘(i) design and construction services,CommentsClose CommentsPermalink





‘(ii) permit process expenses,CommentsClose CommentsPermalink





‘(iii) structural analysis,CommentsClose CommentsPermalink





‘(iv) design, construction, materials, and installation of irrigation systems plans,CommentsClose CommentsPermalink





‘(v) design, construction, materials, and installation of waterproofing,CommentsClose CommentsPermalink





‘(vi) purchase and installation of growing media, vegetation, and other green roof matter,CommentsClose CommentsPermalink





‘(vii) leak detection systems and membrane protection and quality control,CommentsClose CommentsPermalink





‘(viii) design, assembly, and original installation,CommentsClose CommentsPermalink





‘(ix) labor costs properly allocable to on-site preparation, andCommentsClose CommentsPermalink





‘(x) monitoring and maintenance activities until vegetation is established, including monitoring and maintenance plan for the system once established for the life of the green roof system.CommentsClose CommentsPermalink





‘(C) QUALIFIED GREEN ROOF- The term ‘qualified green roof’ means any green roof at least 50 percent of which is a vegetated green roof system constructed under building code ASTM standards, where applicable. Such term includes any retrofit or new construction green roof.CommentsClose CommentsPermalink





‘(D) GREEN ROOF- The term ‘green roof’ means any roof which consists of vegetation and soil, or a growing medium with a minimum 3 inch depth, planted over a waterproofing membrane and its associated components, such as a protection course, a root barrier, a drainage layer, or thermal insulation and an aeration layer.’.CommentsClose CommentsPermalink





(D) MAXIMUM EXPENDITURES IN CASE OF JOINT OCCUPANCY-CommentsClose CommentsPermalink





(i) IN GENERAL- Section 25D(e)(4)(A) (relating to maximum expenditures), as amended by section 501, 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) $1,667 in the case of any qualified green roof property expenditures.’.CommentsClose CommentsPermalink





(ii) CONFORMING AMENDMENT- Subparagraph (C) of section 25D(e)(4), as amended by section 501, is amended by striking ‘and (6)’ and inserting ‘(6), and (7)’.CommentsClose CommentsPermalink





(2) EFFECTIVE DATE- The amendments made by this subsection shall apply to property placed in service after December 31, 2008, in taxable years ending after such date.CommentsClose CommentsPermalink

SEC. 507. REPEAL OF CERTAIN LIMITATIONS ON CREDIT FOR RENEWABLE ENERGY PROPERTY.

(a) Repeal of Limitation on Credit for Qualified Small Wind Energy Property- Paragraph (4) of section 48(c) is amended by striking subparagraph (B) and by redesignating subparagraphs (C) and (D) as subparagraphs (B) and (C), respectively.CommentsClose CommentsPermalink





(b) Repeal of Limitation on Property Financed by Subsidized Energy Financing-CommentsClose CommentsPermalink





(1) IN GENERAL- Subsection (a) of section 48 is amended by striking paragraph (4).CommentsClose CommentsPermalink





(2) CONFORMING AMENDMENTS-CommentsClose CommentsPermalink





(A) Section 25C(e)(1) is amended by striking ‘(8), and (9)’ and inserting ‘and (8)’.CommentsClose CommentsPermalink





(B) Section 25D(e) is amended by striking paragraph (9).CommentsClose CommentsPermalink





(c) Effective Dates-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in paragraph (2), the amendment made by this section shall apply to periods after December 31, 2008, under rules similar to the rules of section 48(m) of the Internal Revenue Code of 1986 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990).CommentsClose CommentsPermalink





(2) CONFORMING AMENDMENTS- The amendments made by subsection (b)(2) shall apply to taxable years beginning after December 31, 2008.CommentsClose CommentsPermalink

SEC. 508. ENERGY EFFICIENT APPLIANCE REBATE PROGRAM AND ENERGY STAR.

Out of any sums in the Treasury of the United States not otherwise appropriated, $300,000,000 is appropriated for expenses necessary to implement the program authorized under section 124 of the Energy Policy Act of 2005 (42 U.S.C. 15821) and the Energy Star program. Such sums shall remain available until expended.CommentsClose CommentsPermalink