[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 1078 Introduced in Senate (IS)]







109th CONGRESS
  1st Session
                                S. 1078

  To amend the Internal Revenue Code of 1986 to expand and extend the 
    renewable resource credit and nonconventional source credit for 
                        landfill gas facilities.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 19, 2005

 Mrs. Lincoln 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 expand and extend the 
    renewable resource credit and nonconventional source credit for 
                        landfill gas facilities.

    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 ``Landfill Gas-to-Energy Tax Credit 
Act''.

SEC. 2. EXPANSION AND EXTENSION OF RENEWABLE RESOURCE CREDIT FOR 
              LANDFILL GAS FACILITIES.

    (a) In General.--Paragraph (6) of section 45(d) of the Internal 
Revenue Code of 1986 (relating to landfill gas facilities) is amended 
by striking ``2006'' and inserting ``2009''.
    (b) Credit Rate and Period for Electricity Produced and Sold After 
Enactment Date.--Section 45(b)(4) of the Internal Revenue Code of 1986 
(relating to credit rate and period for electricity produced and sold 
from certain facilities) is amended--
            (1) by striking ``(6), or (7)'' in subparagraphs (A) and 
        (B)(i) and inserting ``or (7)'', and
            (2) by inserting ``and in the case of any facility 
        described in subsection (d)(6), the 7-year period beginning on 
        the date the facility was originally placed in service shall be 
        substituted for such 10-year period'' before the period at the 
        end of subparagraph (B)(i).
    (c) Extension for Certain Facilities.--Section 45(e) of the 
Internal Revenue Code of 1986 (relating to definitions and special 
rules) is amended by adding at the end the following new paragraph:
            ``(10) Extension for certain facilities.--In the case of 
        any facility described in subsection (d)(6), for purposes of 
        subsection (b)(4), such facility shall be treated as being 
        placed in service before January 1, 2009, if such facility is 
        placed in service before July 1, 2009, pursuant to a binding 
        written contract in effect before January 1, 2009.''.
    (d) Effective Date.--The amendments made by this section shall take 
effect as if included in the amendments made by section 710 of the 
American Jobs Creation Act of 2004.

SEC. 3. EXPANSION AND EXTENSION OF NONCONVENTIONAL SOURCE CREDIT FOR 
              LANDFILL GAS FACILITIES.

    (a) In General.--Section 29 of the Internal Revenue Code of 1986 
(relating to credit for producing fuel from a nonconventional source) 
is amended by adding at the end the following new subsection:
    ``(h) Landfill Gas Facilities.--Notwithstanding subsection (f)--
            ``(1) In general.--In the case of any facility for 
        producing qualified fuel from landfill gas which was placed in 
        service after the date of the enactment of this subsection and 
        before January 1, 2009, this section shall apply to fuel 
        produced at such facility and sold during the 7-year period 
        beginning on the date such facility was placed in service.
            ``(2) Clarification of placed in service date.--In the case 
        of any facility described in paragraph (1), such facility shall 
        be treated as being placed in service before January 1, 2009, 
        if such facility is placed in service before July 1, 2009, 
        pursuant to a binding written contract in effect before January 
        1, 2009.
            ``(3) Reduction of credit for certain facilities.--In the 
        case of any facility to which paragraph (1) applies and which 
        is located at a landfill which is required pursuant to section 
        60.751(b)(2) or 60.33c of title 40, Code of Federal Regulations 
        (as in effect on the date of the enactment of this subsection) 
        to install and operate a collection and control system which 
        captures gas generated within such landfill, subsection (a)(1) 
        shall be applied to gas so captured by substituting `$2' for 
        `$3' for the taxable year during which such system is required 
        to be installed and operated.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to property placed in service after the date of the enactment of this 
Act.
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