[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 1411 Introduced in Senate (IS)]







106th CONGRESS
  1st Session
                                S. 1411

  To amend the Internal Revenue Code of 1986 to extend the credit for 
        producing electricity from certain renewable resources.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             July 21, 1999

  Mr. Stevens 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 extend the credit for 
        producing electricity from certain renewable resources.

    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 ``Fish Oil Heat Act of 1999''.

SEC. 2. EXTENSION OF CREDIT FOR PRODUCING HEAT FROM CERTAIN RESOURCES.

    (a) Credit for Producing Heat From Fish Oil.--Section 45(c)(1) of 
the Internal Revenue Code of 1986 (defining qualified energy resources) 
is amended by striking ``and'' at the end of subparagraph (A), by 
striking the period at the end of subparagraph (B) and inserting ``, 
and'', and by adding at the end the following:
                    ``(C) fish oil.''.
    (b) Determination of Credit for Fish Oil.--Section 45(a) of the 
Internal Revenue Code of 1986 is amended to read as follows:
    ``(a) General Rule.--For purposes of section 38, the renewable 
energy production credit for any taxable year is an amount equal to the 
sum of--
            ``(1) the product of--
                    ``(A) 1.5 cents, multiplied by--
                    ``(B) the kilowatt hours of electricity--
                            ``(i) produced by the taxpayer--
                                    ``(I) from qualified energy 
                                resources; and
                                    ``(II) at a qualified facility 
                                during the 10 year period beginning on 
                                the date the facility was originally 
                                placed in service; and
                            ``(ii) sold by the taxpayer to an unrelated 
                        person during the taxable year; and
            ``(2) the product of--
                    ``(A) .0004967 cents, multiplied by--
                    ``(B) the Btus of heat generated and used by the 
                taxpayer--
                            ``(i) from qualified energy resources 
                        described in subsection (c)(1)(C); and
                            ``(ii) at a qualified facility (including a 
                        fishing boat used in the fishing operation of 
                        the taxpayer).''.
    (c) Inflation Adjustment.--Section 45(b)(2) of the Internal Revenue 
Code of 1986 (relating to credit and phaseout adjustment based on 
inflation) is amended to read as follows:
            ``(2) Credit and phaseout adjustment based on inflation.--
                    ``(A) In general.--The amounts in subsection (a) 
                and the 8 cent amount in paragraph (1) shall each be 
                adjusted by multiplying such amount by the inflation 
                factor for the calendar year in which the sale occurs 
                or in which the heat is generated.
                    ``(B) Rounding.--If any amount as increased under 
                subparagraph (A)--
                            ``(i) in the case of an amount in 
                        subsection (a)(1) or paragraph (1), is not a 
                        multiple of 0.1 cent, such amount shall be 
                        rounded to the nearest multiple of 0.1 cent; 
                        and
                            ``(ii) in the case of an amount in 
                        subsection (a)(2), is not a multiple of .0005 
                        cent, such amount shall be rounded to the 
                        nearest multiple of 0.0005 cent.''.
    (d) Definition of Fish Oil.--Section 45(c) of the Internal Revenue 
Code of 1986 (relating to definitions) is amended by adding at the end 
the following:
            ``(4) Fish oil.--The term `fish oil' means fish oil as used 
        as an energy source by a taxpayer in connection with the 
        fishing operation of the taxpayer.''.
    (e) Conforming Amendments.--
            (1) Section 38(b)(8) and section 39(d)(3) of the Internal 
        Revenue Code of 1986 are each amended by striking 
        ``electricity'' each place it appears and inserting ``energy''.
            (2) The table of contents for subpart D of part IV of 
        subchapter A of chapter 1 of such Code is amended by striking 
        the item relating to section 45 and inserting the following:

                              ``Sec. 45. Energy produced from certain 
                                        renewable resources.''
            (3) The heading of section 45 of such Code is amended by 
        striking ``electricity'' and inserting ``energy''.
            (4) Paragraphs (1) and (2) of section 45(b) of such Code 
        are amended by striking ``subsection (a)'' and inserting 
        ``subsection (a)(1)'' each place it appears.
    (f) Extension of Placed in Service Date.--Section 45(c)(3) of the 
Internal Revenue Code of 1986 (defining qualified facility) is amended 
by striking ``1999'' and inserting ``2005''.
    (g) Effective Date.--The amendments made by this section shall 
apply to facilities placed in service after the date of the enactment 
of this Act.
                                 <all>