[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. 1527 Introduced in Senate (IS)]







104th CONGRESS
  2d Session
                                S. 1527

     To amend the Internal Revenue Code of 1986 to treat recycling 
facilities as solid waste disposal facilities under the tax-exempt bond 
                     rules, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 25, 1996

   Mr. Gregg introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
     To amend the Internal Revenue Code of 1986 to treat recycling 
facilities as solid waste disposal facilities under the tax-exempt bond 
                     rules, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Environmental Infrastructure 
Financing Act of 1995''.

SEC. 2. RECYCLING FACILITIES TREATED AS SOLID WASTE DISPOSAL 
              FACILITIES.

    (a) In General.--Section 142 of the Internal Revenue Code of 1986 
(defining exempt facility bond) is amended by adding at the end the 
following new subsection:
    ``(k) Solid Waste Disposal Facilities.--
            ``(1) In general.--For purposes of subsection (a)(6), the 
        term `solid waste disposal facilities' includes qualified 
        recycling facilities.
            ``(2) Qualified recycling facilities defined.--
                    ``(A) In general.--For purposes of paragraph (1), 
                the term `qualified recycling facilities' means any 
                facility used--
                            ``(i) to sort and prepare municipal, 
                        industrial, and commercial refuse for 
                        recycling, or
                            ``(ii) in the recycling of qualified 
                        refuse.
                    ``(B) Qualified refuse.--For purposes of this 
                paragraph, the term `qualified refuse' means--
                            ``(i) yard waste,
                            ``(ii) food waste,
                            ``(iii) waste paper and paperboard,
                            ``(iv) plastic scrap,
                            ``(v) rubber scrap,
                            ``(vi) ferrous and nonferrous scrap metal,
                            ``(vii) waste glass,
                            ``(viii) construction and demolition waste, 
                        and
                            ``(ix) biosolids (sewage sludge).
                    ``(C) Recycling.--For purposes of this paragraph, 
                the term `recycling' includes either--
                            ``(i) processing (including composting) 
                        qualified refuse to a point at which such 
                        refuse has commercial value; or
                            ``(ii) manufacturing products from 
                        qualified refuse when such refuse constitutes 
                        at least 40 percent, by weight or volume, of 
                        the total materials introduced into the 
                        manufacturing process.
                    ``(D) Special rule.--Refuse shall not fail to be 
                treated as waste merely because such refuse has a 
                market value at the place such refuse is located only 
                by reason of the value of such refuse for recycling.''
    (b) Effective Date.--The amendment made by this section shall apply 
to bonds issued after the date of the enactment of this Act.
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