[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 357 Introduced in Senate (IS)]







108th CONGRESS
  1st Session
                                 S. 357

To amend the Internal Revenue Code of 1986 to modify the credit for the 
 production of fuel from nonconventional sources to include production 
              of fuel from agricultural and animal waste.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           February 11, 2003

    Mrs. Lincoln (for herself, Mr. Hagel, Mr. Kerry, and Mr. Smith) 
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 modify the credit for the 
 production of fuel from nonconventional sources to include production 
              of fuel from agricultural and animal waste.

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

SECTION 1. MODIFICATION OF CREDIT FOR PRODUCTION OF FUEL FROM 
              NONCONVENTIONAL SOURCES TO INCLUDE PRODUCTION OF FUEL 
              FROM AGRICULTURAL AND ANIMAL WASTE.

    (a) In General.--Section 29(c)(1) of the Internal Revenue Code of 
1986 (relating to definition of qualified fuels) is amended--
            (1) by striking ``and'' at the end of subparagraph (B)(ii),
            (2) by striking the period at the end of subparagraph (C) 
        and inserting ``, and'', and
            (3) by adding at the end the following new subparagraph:
                    ``(D) liquid, gaseous, or solid fuels from 
                qualified agricultural and animal waste, including such 
                fuels when used as feedstocks.''.
    (b) Qualified Agricultural and Animal Waste.--
            (1) In general.--Section 29(c) of the Internal Revenue Code 
        of 1986 is amended by adding at the end the following new 
        paragraph:
            ``(4) Qualified agricultural and animal waste.--The term 
        `qualified agricultural and animal waste' means agriculture and 
        animal waste, including by-products, packaging, and any 
        materials associated with the processing, feeding, selling, 
        transporting, or disposal of agricultural or animal products or 
        wastes, including wood shavings, straw, rice hulls, and other 
        bedding for the disposition of manure.''.
            (2) Conforming amendment.--Section 29(c)(3) of such Code is 
        amended--
                    (A) by striking ``and'' at the end of subparagraph 
                (A),
                    (B) by striking the period at the end of 
                subparagraph (B) and inserting ``, and'', and
                    (C) by adding at the end the following new 
                subparagraph:
                    ``(C) qualified agricultural and animal waste.''.
    (c) Extension of Credit.--Section 29(g) of the Internal Revenue 
Code of 1986 (relating to extension for certain facilities) is amended 
by adding at the end the following new paragraph:
            ``(3) Facilities producing fuels from agricultural and 
        animal waste.--In the case of facility for producing qualified 
        fuels described in subsection (c)(1)(D)--
                    ``(A) for purposes of subsection (f)(1)(B), such 
                facility shall be treated as being placed in service 
                before January 1, 1993, if such facility is placed in 
                service after January 1, 2003, and before January 1, 
                2008, and
                    ``(B) if such facility is originally placed in 
                service after December 31, 1992, paragraph (2) of 
                subsection (f) shall be applied with respect to such 
                facility by substituting `January 1, 2018' for `January 
                1, 2003'.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to fuels sold after the date of the enactment of this Act.
                                 <all>