[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 182 Introduced in House (IH)]







110th CONGRESS
  1st Session
                                H. R. 182

 To amend the Internal Revenue Code of 1986 to impose an excise tax on 
 automobiles sold in the United States that are not alternative fueled 
                  automobiles, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 4, 2007

Ms. Zoe Lofgren of California introduced the following bill; which was 
  referred to the Committee on Ways and Means, and in addition to the 
   Committee on Energy and Commerce, for a period to be subsequently 
   determined by the Speaker, in each case for consideration of such 
 provisions as fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to impose an excise tax on 
 automobiles sold in the United States that are not alternative fueled 
                  automobiles, 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 ``To Encourage Alternatively fueled 
vehicle Manufacturing up for Energy Independence Act of 2007'' or the 
``TEAM up for Energy Independence Act''.

SEC. 2. FINDINGS.

    The Congress finds that--
            (1) Climate change threatens the security and stability of 
        our planet. The temperature of the Earth is increasing at a 
        rate unseen in modern times. The rate of warming has been 
        nearly 3 times the century-long average since 1970.
            (2) Climate forecasters predict that if greenhouse gases 
        continue to accumulate in the atmosphere at the current rate, 
        temperatures will rise dramatically, weather patterns sharply 
        shift, ice sheets shrink, and sea levels will rise.
            (3) Climate scientists agree that human activities are the 
        driving force behind the rise in global temperatures. 
        Smokestacks and automobile emissions have been primary 
        contributors of carbon dioxide and other heat-trapping gases 
        that significantly contribute to the warming trend.
            (4) In addition to the alarming data about climate change, 
        rising gas prices and instability in oil producing regions have 
        reinforced the need for the United States to secure our energy 
        independence, and make progress by developing and distributing 
        alternatively fueled vehicles.
            (5) Alternative fueled cars can lessen the impact of 
        climate change, and help provide for the stability and safety 
        of the world.
            (6) Biodiesel helps to provide hope that our country can 
        achieve sustainable energy independence and combat the effects 
        of global warming.
            (7) Vehicles which utilize E-85 ethanol fuel could reduce 
        our usage of petroleum fuels by up to 40 percent.
            (8) Currently, there are just 6,000,000 E-85 capable 
        vehicles on United States roads, compared to approximately 
        230,000,000 gasoline and diesel fueled vehicles.
            (9) Just 993 fueling stations in the United States 
        currently provide E-85 fuel, accounting for less than one 
        percent of fueling stations. Only 635 retail pumps currently 
        provide consumers with biodiesel fuel.
            (10) Congress must do more to make alternative fueled 
        vehicles practical and accessible to everyone.

SEC. 3. EXCISE TAX ON AUTOMOBILES SOLD IN UNITED STATES THAT ARE NOT 
              ALTERNATIVE FUELED AUTOMOBILES.

    (a) In General.--Part I of subchapter A of chapter 32 of the 
Internal Revenue Code of 1986 is amended by inserting before section 
4064 the following new section:

``SEC. 4061. AUTOMOBILES THAT ARE NOT ALTERNATIVE FUELED AUTOMOBILES.

    ``(a) Tax Imposed.--
            ``(1) In general.--There is hereby imposed on the 1st 
        retail sale of each passenger automobile sold by the 
        manufacturer, producer, or importer thereof a tax in the amount 
        of the applicable percentage of the price for which so sold.
            ``(2) Exception for alternative fueled automobiles.--
        Paragraph (1) shall not apply to any alternative fueled 
        automobile.
    ``(b) Applicable Percentage.--For purposes of subsection (a), the 
applicable percentage shall be determined in accordance with the 
following table:


------------------------------------------------------------------------
                                                                 The
                                                             applicable
      ``Passenger automobiles sold in calendar year:         percentage
                                                                 is:
------------------------------------------------------------------------
2007......................................................     5 percent
2008......................................................    10 percent
2009......................................................    20 percent
2010......................................................    40 percent
2011 or thereafter........................................   80 percent.
------------------------------------------------------------------------

    ``(c) Definitions.--For purposes of subsection (a)--
            ``(1) Passenger automobile.--The term `passenger 
        automobile' has the meaning given such term by section 
        32901(a)(16) of title 49, United States Code, except that such 
        term includes in the case of each automobile parts or 
        accessories therefor sold on or in connection therewith or with 
        the sale thereof.
            ``(2) Alternative fueled automobile.--The term `alternative 
        fueled automobile' means an alternative fueled automobile, as 
        defined by section 32901(a)(2) of title 49, United States Code, 
        that uses a fuel that has greenhouse gas emissions less than 80 
        percent of those from petroleum-derived transportation fuel, 
        calculated over the full fuel cycle (as weighted by global 
        warming potential and using the emissions per kilowatt-hour 
        from a natural gas combined cycle power plant as the basis for 
        crediting any electricity co-produced with the transportation 
        fuel).
            ``(3) Application of section 32901 of title 49.--Section 
        32901(a) of title 49, United States Code, shall be applied--
                    ``(A) in paragraph (3)--
                            ``(i) by substituting `10,000 pounds' for 
                        `6,000 pounds' in subparagraph (A) thereof, and
                            ``(ii) without regard to subparagraph (B) 
                        thereof, and
                    ``(B) in paragraph (16)(B) by substituting `10,000 
                pounds' for `6,000 pounds'.''.
    (b) Conforming Amendments.--
            (1) The heading for part I of subchapter A of chapter 32 of 
        such Code is amended to read as follows:

      ``PART I--NON-ALTERNATIVE FUEL VEHICLES AND GAS GUZZLERS''.

            (2) The item in the table of parts for subchapter A of 
        chapter 32 of such Code relating to part I is amended to read 
        as follows:

      ``Part I. Non-Alternative Fuel Vehicles and Gas Guzzlers.''.

            (3) The table of sections for part I of subchapter A of 
        chapter 32 of such Code is amended to read as follows:

``Sec. 4061. Automobiles that are not alternative fueled 
                            automobiles.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to automobiles sold after December 31, 2006.

SEC. 4. USE OF FUNDS FROM TAX.

    (a) Refueling Infrastructure Grants.--The Secretary of Energy shall 
obligate such sums as are available in the trust fund to make grants to 
fueling stations owned by entities which own or control 10 or fewer 
such businesses for alternative fuel refueling infrastructure projects, 
including new dispensing facilities and additional equipment or 
upgrades and improvements to existing refueling sites for alternative 
fuel vehicles.
    (b) Trust Fund.--
            (1) Establishment.--There is established in the Treasury of 
        the United States a trust fund. The trust fund shall consist of 
        such amounts as are deposited into the trust fund under 
        paragraph (2) and any interest earned on investment of amounts 
        in the trust fund, and may be used only for the purposes 
        described in subsection (a).
            (2) Source of funds.--The Secretary of the Treasury shall 
        deposit into the trust fund all amounts collected pursuant to 
        the tax imposed under section 4061 of the Internal Revenue Code 
        of 1986, as added by section 3of this Act.
    (c) Definitions.--For purposes of this section--
            (1) the term ``alternative fuel'' means an alternative 
        fuel, as defined in section 301(2) of the Energy Policy Act of 
        1992 (42 U.S.C. 13211(2)) that has greenhouse gas emissions 
        less than 80 percent of those from petroleum-derived 
        transportation fuel, calculated over the full fuel cycle (as 
        weighted by global warming potential and using the emissions 
        per kilowatt-hour from a natural gas combined cycle power plant 
        as the basis for crediting any electricity co-produced with the 
        transportation fuel);
            (2) the term ``E-85 fuel'' means a transportation fuel 
        consisting of 85 percent ethanol and gasoline; and
            (3) the term ``trust fund'' means the trust fund 
        established under subsection (b).

SEC. 5. INFORMATION DISCLOSURE RELATED TO ALTERNATIVE FUELED 
              AUTOMOBILES.

    Section 3 of the Automobile Information Disclosure Act (15 U.S.C. 
1232) is amended by redesignating subsections (b) through (h) as 
subsections (c) through (i), respectively, and inserting after 
subsection (a) the following:
            ``(b) whether such automobile is an alternative fueled 
        automobile (as defined in section 32901(a)(2) of title 49, 
        United States Code) and the type or types of fuel on which the 
        automobile is capable of operating;''.
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