110 HR 6817 IH: Renewable Energy and Job Creation Act of U.S. House of Representatives 2008-08-01 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
I 110th CONGRESS 2d Session H. R. 6817 IN THE HOUSE OF REPRESENTATIVES August 1, 2008 Mr. Matheson (for himself, Mr. Doyle, Mr. Altmire, Mr. Melancon, Mr. Donnelly, and Mr. Tanner) introduced the following bill; which was referred to the Committee on Ways and Means, and in addition to the Committees on Natural Resources, Energy and Commerce, Science and Technology, and Agriculture, 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 increase domestic energy production and diversify America’s energy portfolio.
1.
Short title
This Act may be cited as the Fulfilling U.S. Energy Leadership Act of 2008.
2.
Table of contents
The table of contents for this Act is as follows: Sec. 1. Short title. Sec. 2. Table of contents. Title I—Production: OCS Sec. 101. Inventory and leasing of Outer Continental Shelf oil and natural gas resources. Sec. 102. Conforming amendments to moratoria on use of appropriations. Sec. 103. Disposition of royalties. Sec. 104. Reports on due diligence in development of leases. Sec. 105. Limitations. Title II—Unconventional Fuels Sec. 201. Standby loans for qualifying coal-to-liquids projects. Sec. 202. Oil shale leasing. Title III—Study of energy transmission barriers and opportunities Sec. 301. Study required. Title IV—Next Generation Energy and Efficiency Fund Sec. 401. Next Generation Energy and Efficiency Fund. Title V—Addressing Transparency and Data Sharing in Speculation Sec. 501. Commission authority over traders. Sec. 502. Speculative limits and transparency for off-shore oil trading. Sec. 503. Additional commission employees for improved enforcement. Sec. 504. Study of international regulation of energy commodity markets. Sec. 505. Index traders and swap dealers. Sec. 506. Disaggregation of index funds and other data in energy markets. Title VI—Nuclear energy Sec. 601. Study of impact on greenhouse gas reductions. Sec. 602. Study of possible cost reductions. Sec. 603. Authorization for Nuclear Power 2010 Program. Sec. 604. Establishment of Interagency Working Group. Sec. 605. Nuclear energy workforce. Title VII—Energy tax incentives Sec. 700. Reference. Subtitle A—Energy production incentives Part 1—Renewable energy incentives Sec. 701. Renewable energy credit. Sec. 702. Production credit for electricity produced from marine renewables. Sec. 703. Energy credit. Sec. 704. Credit for residential energy efficient property. Sec. 705. Special rule to implement FERC and State electric restructuring policy. Sec. 706. New clean renewable energy bonds. Part 2—Carbon mitigation provisions Sec. 711. Expansion and modification of advanced coal project investment credit. Sec. 712. Expansion and modification of coal gasification investment credit. Sec. 713. Temporary increase in coal excise tax. Sec. 714. Special rules for refund of the coal excise tax to certain coal producers and exporters. Sec. 715. Carbon audit of the tax code. Subtitle B—Transportation and domestic fuel security provisions Sec. 721. Inclusion of cellulosic biofuel in bonus depreciation for biomass ethanol plant property. Sec. 722. Credits for biodiesel and renewable diesel. Sec. 723. Clarification that credits for fuel are designed to provide an incentive for United States production. Sec. 724. Credit for new qualified plug-in electric drive motor vehicles. Sec. 725. Exclusion from heavy truck tax for idling reduction units and advanced insulation. Sec. 726. Restructuring of New York Liberty Zone tax credits. Sec. 727. Transportation fringe benefit to bicycle commuters. Sec. 728. Alternative fuel vehicle refueling property credit. Subtitle C—Energy conservation and efficiency provisions Sec. 731. Qualified energy conservation bonds. Sec. 732. Credit for nonbusiness energy property. Sec. 733. Energy efficient commercial buildings deduction. Sec. 734. Modifications of energy efficient appliance credit for appliances produced after 2007. Sec. 735. Accelerated recovery period for depreciation of smart meters and smart grid systems. Sec. 736. Qualified green building and sustainable design projects. Subtitle D—Revenue Provision Sec. 741. Delay in application of worldwide allocation of interest.
<enum>I</enum><header>Production: OCS</header> <section id="H74589B7EA11440B39FCA636D2CDA00CD"><enum>101.</enum><header>Inventory and leasing of Outer Continental Shelf oil and natural gas resources</header> <subsection id="HAD2F08C2101048FFB362EC87D2E00C7"><enum>(a)</enum><header>Inventory</header> <paragraph id="H494F93D71E534F9AAF004756BDED00F3"><enum>(1)</enum><header>In general</header><text>Except as otherwise provided in subsection (c), the Secretary of the Interior (in this section referred to as the <quote>Secretary</quote>) may conduct an inventory in accordance with this subsection of oil and natural gas resources beneath the waters of the Outer Continental Shelf (as defined in section 2 of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1331">43 U.S.C. 1331</external-xref>)), other than beneath such waters located in the Gulf of Mexico.</text> </paragraph><paragraph id="HEA1B63F2B1A14A22BDB3E52C34A16DC"><enum>(2)</enum><header>Best technology available</header><text>In conducting the inventory, the Secretary shall use the best technology available to obtain accurate resource estimates.</text> </paragraph><paragraph id="HD9B8B97414FA47E5A63E1790572064AD"><enum>(3)</enum><header>Reports</header><text>The Secretary shall submit to Congress and the requesting Governor a report on any inventory conducted under this section.</text> </paragraph></subsection><subsection id="H7B98E0B9850F463490FE22FA5570405"><enum>(b)</enum><header>Leasing</header><text>Except as otherwise provided in subsection (c), the Secretary shall offer for oil and natural gas leasing pursuant to the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) by as soon as practicable after the date of enactment of this Act all areas for which an inventory has been conducted under subsection (a).</text> </subsection><subsection id="H76D5D69D7C404D33904E70B690632489"><enum>(c)</enum><header>Limitations</header><text>The Secretary may not under this section—</text> <paragraph id="HAD074CA010DB4DB896FEEE0057C3F9CE"><enum>(1)</enum><text display-inline="yes-display-inline">conduct an inventory under this section or any offshore oil and natural gas preleasing, leasing, or related activities for any area of the Outer Continental Shelf located within 50 miles of the coastline;</text> </paragraph><paragraph id="HDF33C417E14949408C99D4315456A4C4"><enum>(2)</enum><text display-inline="yes-display-inline">conduct an inventory under this section or any offshore oil and natural gas preleasing, leasing, or related activities for any area of the Outer Continental Shelf located more than 50 miles and less than 100 miles from the coastline of a State, if the State has enacted a statute that objects to conduct of the inventory in that area.</text> </paragraph></subsection></section><section id="HA3E4ABD43649471DA8F36CFA7DEAAC2E"><enum>102.</enum><header>Conforming amendments to moratoria on use of appropriations</header><text display-inline="no-display-inline">The Department of the Interior, Environment, and Related Agencies Appropriations Act, 2008 (division F of Public Law 110–161) is amended—</text> <paragraph id="HD8BD05AE480B4C0393EA242F0032D220"><enum>(1)</enum><text>in section 104 (121 Stat. 2118) by striking <quote>the areas of northern, central, and southern California; the North Atlantic; Washington and Oregon; and</quote>; and</text> </paragraph><paragraph id="H51575FB5E66246989B029300F48EC411"><enum>(2)</enum><text>by striking 105 (121 Stat. 2118).</text> </paragraph></section><section id="H22A543E8871742879C762F8B08A3108F"><enum>103.</enum><header>Disposition of royalties</header><text display-inline="no-display-inline">Notwithstanding any other provision of law, of amounts received by the United States as royalties under any oil and gas lease of an area of the Outer Continental Shelf issued after the date of the enactment of this Act under this title—</text> <paragraph id="H1327439A6F4944279E00C5876F898200"><enum>(1)</enum><text>50 percent shall be deposited—</text> <subparagraph id="HF3BEAECA94AD41F7959D6F5EB34DC6F"><enum>(A)</enum><text>during the 10-year period beginning on the first date amounts are received by the United States as royalties under a lease issued under this title, into the Next Generation Energy and Efficiency Fund established by title IV; and</text> </subparagraph><subparagraph id="H63336A98107F426397B1E3151FECA435"><enum>(B)</enum><text>after such period, into the general fund of the Treasury;</text> </subparagraph></paragraph><paragraph id="HB6C2633FCD26450B915499535224A3AF"><enum>(2)</enum><text>37.5 percent shall be paid, in equal amounts, to the States that are affected States (as that term is defined in section 2 of the Outer Continental Shelf Lands Act (43 U.S.C. 1331) with respect to the lease tract; and</text> </paragraph><paragraph id="HA6FCFD93E21C4F47B91E6078421B005B"><enum>(3)</enum><text>12.5 percent shall be available to provide financial assistance to States in accordance with section 6 of the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l–8), which shall be considered income to the Land and Water Conservation Fund for purposes of section 2 of that Act (<external-xref legal-doc="usc" parsable-cite="usc/16/460l-5">16 U.S.C. 460l–5</external-xref>).</text> </paragraph></section><section id="H445A622367864D7EB6EA65AC55DD9895"><enum>104.</enum><header>Reports on due diligence in development of leases</header><text display-inline="no-display-inline">The Secretary of the Interior shall issue regulations that require that the holder of a Federal oil and gas lease for the Outer Continental Shelf shall periodically submit a report to the Secretary describing the actions that have been taken under the lease that demonstrate due diligence in the development of oil and gas resources under the lease.</text> </section><section id="H800EEE858ED74EA2BBDAE6D4A9B43269"><enum>105.</enum><header>Limitations</header><text display-inline="no-display-inline">Noting in this Act shall be considered to affect—</text> <paragraph id="H6A26F4A7925F47C4BF05AA3C558344CF"><enum>(1)</enum><text>any restriction on drilling for natural gas or oil, or on the expenditure of funds for leasing Federal lands for such drilling, in any of the Great Lakes; or</text> </paragraph><paragraph id="HDA4817259A2F4CAFA36D003D7135621B"><enum>(2)</enum><text>any regulations governing drilling for natural gas or oil on the Outer Continental Shelf.</text> </paragraph></section><enum>II</enum><header>Unconventional Fuels</header> <section id="H6C72185CC3144F61AA4C153F003F28D0" section-type="subsequent-section"><enum>201.</enum><header>Standby loans for qualifying coal-to-liquids projects</header><text display-inline="no-display-inline">Section 1702 of the Energy Policy Act of 2005 (<external-xref legal-doc="usc" parsable-cite="usc/42/16512">42 U.S.C. 16512</external-xref>) is amended by adding at the end the following new subsection:</text> <quoted-block display-inline="no-display-inline" id="H2283767A783043738FB4EFE6D1C35873" style="OLC"> <subsection id="HDA0D92FB0F4F40C8895365B6F411D91F"><enum>(k)</enum><header>Standby Loans for Qualifying CTL Projects</header> <paragraph id="HD048F93D8AB142CEA59776B15DCCCE2C"><enum>(1)</enum><header>Definitions</header><text>For purposes of this subsection:</text> <subparagraph id="H9DE61D87E5D64892B945F3BB17687420"><enum>(A)</enum><header>Cap price</header><text>The term <quote>cap price</quote> means a market price specified in the standby loan agreement above which the project is required to make payments to the United States.</text> </subparagraph><subparagraph id="H8110B2F1C6F34FCCA1CE1708D7B00C2"><enum>(B)</enum><header>Full term</header><text>The term <quote>full term</quote> means the full term of a standby loan agreement, as specified in the agreement, which shall not exceed the lesser of 30 years or 90 percent of the projected useful life of the project (as determined by the Secretary).</text> </subparagraph><subparagraph id="HE13C55FB90A346BDBA15F2629CADC0AE"><enum>(C)</enum><header>Market price</header><text>The term <quote>market price</quote> means the average quarterly price of a petroleum price index specified in the standby loan agreement.</text> </subparagraph><subparagraph id="H92DBD7115C5F42B4004E81F4419FAF14"><enum>(D)</enum><header>Minimum price</header><text>The term <quote>minimum price</quote> means a market price specified in the standby loan agreement below which the United States is obligated to make disbursements to the project.</text> </subparagraph><subparagraph id="H4BCA47BA82694FFA96DF47E7B94977D1"><enum>(E)</enum><header>Output</header><text>The term <quote>output</quote> means some or all of the liquid or gaseous transportation fuels produced from the project, as specified in the loan agreement.</text> </subparagraph><subparagraph id="HE4B705007A9647EBA9B191B020C67D29"><enum>(F)</enum><header>Primary term</header><text>The term <quote>primary term</quote> means the initial term of a standby loan agreement, as specified in the agreement, which shall not exceed the lesser of 20 years or 75 percent of the projected useful life of the project (as determined by the Secretary).</text> </subparagraph><subparagraph id="HDDA5C65A6A1142CEAC8B24244F77BFCD"><enum>(G)</enum><header>Qualifying ctl project</header><text>The term <quote>qualifying CTL project</quote> means—</text> <clause id="H0BF2109AD4B1442EAE6EC369C07193C8"><enum>(i)</enum><text>a commercial-scale project that converts coal to one or more liquid or gaseous transportation fuels; or</text> </clause><clause id="H0ED1916C752E4FBEA8B59D3E4FE53B2E"><enum>(ii)</enum><text>not more than one project at a facility that converts petroleum refinery waste products, including petroleum coke, into one or more liquids or gaseous transportation fuels,</text> </clause><continuation-text continuation-text-level="subparagraph">that demonstrates the capture, and sequestration or disposal or use of, the carbon dioxide produced in the conversion process, and that, on the basis of a carbon dioxide sequestration plan prepared by the applicant, is certified by the Administrator of the Environmental Protection Agency, in consultation with the Secretary, as producing fuel with life cycle carbon dioxide emissions at or below the average life cycle carbon dioxide emissions for the same type of fuel produced at traditional petroleum based facilities with similar annual capacities.</continuation-text></subparagraph><subparagraph id="H60E9ECFD43F6449C826C94F9F96235F7"><enum>(H)</enum><header>Standby loan agreement</header><text>The term <quote>standby loan agreement</quote> means a loan agreement entered into under paragraph (2).</text> </subparagraph></paragraph><paragraph id="HA9DCC30638B544A9AF0302F61599C54B"><enum>(2)</enum><header>Standby Loans</header> <subparagraph id="H54715D7C653D4631B0D74760557209AE"><enum>(A)</enum><header>Loan Authority</header><text>The Secretary may enter into standby loan agreements with not more than six qualifying CTL projects, at least one of which shall be a project jointly or in part owned by two or more small coal producers. Such an agreement—</text> <clause id="H3A0D0B999BF6426EA4BD6F7C5DB7B0B"><enum>(i)</enum><text>shall provide that the Secretary will make a direct loan (within the meaning of section 502(1) of the Federal Credit Reform Act of 1990) to the qualifying CTL project; and</text> </clause><clause id="H8EBC891B2BF54D80AAA1901C6CE277D6"><enum>(ii)</enum><text>shall set a cap price and a minimum price for the primary term of the agreement.</text> </clause></subparagraph><subparagraph id="HAD2A397C4BFD498A83FCC38DA4A9A886"><enum>(B)</enum><header>Loan Disbursements</header><text>Such a loan shall be disbursed during the primary term of such agreement whenever the market price falls below the minimum price. The amount of such disbursements in any calendar quarter shall be equal to the excess of the minimum price over the market price, times the output of the project (but not more than a total level of disbursements specified in the agreement).</text> </subparagraph><subparagraph id="H4C716C7037164564967DE2EA186FADDE"><enum>(C)</enum><header>Loan Repayments</header><text>The Secretary shall establish terms and conditions, including interest rates and amortization schedules, for the repayment of such loan within the full term of the agreement, subject to the following limitations:</text> <clause id="HE9F80AA74DFE4D37A0818532C68C5717"><enum>(i)</enum><text>If in any calendar quarter during the primary term of the agreement the market price is less than the cap price, the project may elect to defer some or all of its repayment obligations due in that quarter. Any unpaid obligations will continue to accrue interest.</text> </clause><clause id="HC221FA4B25BD43DF8197E63174406E9B"><enum>(ii)</enum><text>If in any calendar quarter during the primary term of the agreement the market price is greater than the cap price, the project shall meet its scheduled repayment obligation plus deferred repayment obligations, but shall not be required to pay in that quarter an amount that is more than the excess of the market price over the cap price, times the output of the project.</text> </clause><clause id="H8A664C64DE1746CDBAEA070670F9C120"><enum>(iii)</enum><text>At the end of the primary term of the agreement, the cumulative amount of any deferred repayment obligations, together with accrued interest, shall be amortized (with interest) over the remainder of the full term of the agreement.</text> </clause></subparagraph></paragraph><paragraph id="H940487A359504909A7EEF0E63CBF059D"><enum>(3)</enum><header>Profit-sharing</header><text>The Secretary is authorized to enter into a profit-sharing agreement with the project at the time the standby loan agreement is executed. Under such an agreement, if the market price exceeds the cap price in a calendar quarter, a profit-sharing payment shall be made for that quarter, in an amount equal to—</text> <subparagraph id="HD69B58EA716949FC8B71999CBCC7E29"><enum>(A)</enum><text>the excess of the market price over the cap price, times the output of the project; less</text> </subparagraph><subparagraph id="HBDBF92EC9B094FD783B74F3104CDD515"><enum>(B)</enum><text>any loan repayments made for the calendar quarter.</text> </subparagraph></paragraph><paragraph id="H1EB4538E3E674E5E8716D290B78B5731"><enum>(4)</enum><header>Compliance with Federal Credit Reform Act</header> <subparagraph id="H75F8FB60E08140C691DB34D63B4CC964"><enum>(A)</enum><header>Upfront Payment of Cost of Loan</header><text>No standby loan agreement may be entered into under this subsection unless the project makes a payment to the United States that the Office of Management and Budget determines is equal to the cost of such loan (determined under 502(5)(B) of the Federal Credit Reform Act of 1990). Such payment shall be made at the time the standby loan agreement is executed.</text> </subparagraph><subparagraph id="H10EC5989C7AD45A899B0190002447584"><enum>(B)</enum><header>Minimization of Risk to the Government</header><text>In making the determination of the cost of the loan for purposes of setting the payment for a standby loan under subparagraph (A), the Secretary and the Office of Management and Budget shall take into consideration the extent to which the minimum price and the cap price reflect historical patterns of volatility in actual oil prices relative to projections of future oil prices, based upon publicly available data from the Energy Information Administration, and employing statistical methods and analyses that are appropriate for the analysis of volatility in energy prices.</text> </subparagraph><subparagraph id="HA374AD9FD9AF4656820917AC4694F8D2"><enum>(C)</enum><header>Treatment of Payments</header><text>The value to the United States of a payment under subparagraph (A) and any profit-sharing payments under paragraph (3) shall be taken into account for purposes of section 502(5)(B)(iii) of the Federal Credit Reform Act of 1990 in determining the cost to the Federal Government of a standby loan made under this subsection. If a standby loan has no cost to the Federal Government, the requirements of section 504(b) of such Act shall be deemed to be satisfied.</text> </subparagraph></paragraph><paragraph id="H9C712ABD4C204A8883D054CF0F8E99B"><enum>(5)</enum><header>Other Provisions</header> <subparagraph id="HE76B40D29089470B8E2879992FB925F6"><enum>(A)</enum><header>No Double Benefit</header><text>A project receiving a loan under this subsection may not, during the primary term of the loan agreement, receive a Federal loan guarantee under subsection (a) of this section, or under other laws.</text> </subparagraph><subparagraph id="H651F4D76E2DC4031AA004357A897ABF8"><enum>(B)</enum><header>Subrogation, Etc</header><text>Subsections (g)(2) (relating to subrogation), (h) (relating to fees), and (j) (relating to full faith and credit) shall apply to standby loans under this subsection to the same extent they apply to loan guarantees.</text> </subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="HE8427B53978742F09C8C7972FC606436"><enum>202.</enum><header>Oil shale leasing</header> <subsection id="HC7A17FDCB0C84365A06F343758B7C9B2"><enum>(a)</enum><header>Repeal of restriction</header><text display-inline="yes-display-inline">Section 433 of the Department of the Interior, Environment, and Related Agencies Appropriations Act, 2008 (division F of <external-xref legal-doc="public-law" parsable-cite="pl/110/161">Public Law 110–161</external-xref>; 121 Stat. 2152) is repealed.</text> </subsection><subsection id="HEDD4CAA85F064EA4B1D141DD5C9B7E00"><enum>(b)</enum><header>State authority To prohibit oil shale leasing</header><text display-inline="yes-display-inline">Section 369 of the Energy Policy Act of 2005 (<external-xref legal-doc="usc" parsable-cite="usc/42/15927">42 U.S.C. 15927</external-xref>) is amended by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="HA13480E392174DF39CA970565E17F01D" style="OLC"> <subsection id="H04FC667D5B7D476794D38496CC83CF21"><enum>(t)</enum><header>State authority To prohibit oil shale leasing</header><text display-inline="yes-display-inline">No lease may be issued under this section, section 21 of the Mineral Leasing Act (<external-xref legal-doc="usc" parsable-cite="usc/30/241">30 U.S.C. 241</external-xref>), or any other law, for exploration, research, development, or production of oil shale on lands located in a State, if the State has enacted a law prohibiting Federal oil shale leasing in the State.</text> </subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection></section><enum>III</enum><header>Study of energy transmission barriers and opportunities</header> <section id="H7941D79B739F42F494CD8364A15D21D8"><enum>301.</enum><header>Study required</header><text display-inline="no-display-inline">Not later than 2 years after the date of enactment of this Act, the Secretary of the Interior shall complete a study of—</text> <paragraph id="H398DFAAEA1BB48C19B6F7218D039B4A9"><enum>(1)</enum><text>barriers to additional access to Federal lands for transmission of energy;</text> </paragraph><paragraph id="H64D86C0376804F08006D151318932FB"><enum>(2)</enum><text>the need for energy transmission corridors on public lands to address identified congestion or constraints; and</text> </paragraph><paragraph id="HEB1F112544D74C69A56CD38116005650"><enum>(3)</enum><text display-inline="yes-display-inline">efficiencies and improvements that may be made to existing infrastructure for transmission of energy on Federal lands, in lieu of construction of new infrastructure.</text> </paragraph></section><enum>IV</enum><header>Next Generation Energy and Efficiency Fund</header> <section display-inline="no-display-inline" id="H16E25AF2EFD14CDAA124D76E3476349" section-type="subsequent-section"><enum>401.</enum><header>Next Generation Energy and Efficiency Fund</header> <subsection id="H83D7E8061A02467FA6CE15B2B64B6167"><enum>(a)</enum><header>Establishment</header><text>There is hereby established in the Treasury of the United States the <quote>Next Generation Energy and Efficiency Fund</quote> (in this section referred to as <quote>the Fund</quote>).</text> </subsection><subsection id="H90D175451457439C88E2350062E77F03"><enum>(b)</enum><header>Administration</header><text>The Secretary of Energy shall be responsible for administering the Fund for the purpose of carrying out this section.</text> </subsection><subsection id="HBB02DDAE4D46417B92C7DF784DB7C12F"><enum>(c)</enum><header>Contents</header><text>The Fund shall consist of amounts deposited into the Fund under section 103(1)(A). Such deposits shall cease after $40,000,000,000 has been deposited, or 10 years of deposits have been made, whichever occurs first.</text> </subsection><subsection id="H19BF009FD7554C609F8CB76FB3C872D4"><enum>(d)</enum><header>Purpose</header><text display-inline="yes-display-inline">The Fund shall be used for the purpose of research and development of technologies that will significantly decrease America’s reliance on traditional fossil fuels and increase energy efficiencies, including wind energy, solar energy, marine and hydrokinetic energy, geothermal energy, hydrogen energy, vehicle energy efficiency and environmental performance, industrial processes energy efficiencies, building and lighting energy efficiencies, smart grid technology, and energy storage systems to support electric drive vehicles.</text> </subsection><subsection id="H3CDDF127CDA14511A6196F2C3D60D097"><enum>(e)</enum><header>Identification of programs</header><text display-inline="yes-display-inline">Not later than 18 months after the date of enactment of this Act, the Secretary of Energy shall identify programs of the Department of Energy described in subsection (d) for funding from the Fund, including the Advanced Research Projects Agency-Energy.</text> </subsection><subsection id="H0C975DB43F8E447D946CA032841079E5"><enum>(f)</enum><header>Availability of Fund</header><text>After the Secretary of Energy has completed the identification of programs under subsection (e), amounts in the Fund shall be available, without further appropriation, for carrying out such programs.</text> </subsection></section><enum>V</enum><header>Addressing Transparency and Data Sharing in Speculation</header> <section id="H1B4AD4D31FEE4788A97EC37903EE1309" section-type="subsequent-section"><enum>501.</enum><header>Commission authority over traders</header><text display-inline="no-display-inline">Section 4 of the Commodity Exchange Act (<external-xref legal-doc="usc" parsable-cite="usc/7/6">7 U.S.C. 6</external-xref>) is amended by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="H4AD11B2837634C60BBD5B08BF382CEAB" style="OLC"> <subsection id="H8D4DBC21B72D44039584DAD432376217"><enum>(e)</enum><header>Commission authority over traders</header> <paragraph id="HA581F11DC96E4A4EA17B7DF85C59E0ED"><enum>(1)</enum><header>In general</header><text>Notwithstanding any other provision of this section or any determination made by the Commission to grant relief from the requirements of subsection (a) to become a designated contract market, derivatives transaction execution facility, or other registered entity, in the case of a person located within the United States, or otherwise subject to the jurisdiction of the Commission, trading on a foreign board of trade, exchange, or market located outside the United States (including the territories and/or possessions of the United States), the Commission shall have authority under this Act—</text> <subparagraph id="H0B214B073F7D4FEE846F3E539606F700"><enum>(A)</enum><text>to apply and enforce section 9, including provisions relating to manipulation or attempted manipulation, the making of false statements, and willful violations of this Act;</text> </subparagraph><subparagraph id="HC5815FFC612B49C78C2637797EDA1774"><enum>(B)</enum><text>to require or direct the person to limit, reduce, or liquidate any position to prevent or reduce the threat of price manipulation, excessive speculation, price distortion, or disruption of delivery or the cash settlement process; and</text> </subparagraph><subparagraph id="HB0031C94A1A94978AAFF876B5309A18E"><enum>(C)</enum><text>to apply such recordkeeping requirements as the Commission determines are necessary.</text> </subparagraph></paragraph><paragraph id="H016FCCBCDB4045F9A064BCE334B6ABD9"><enum>(2)</enum><header>Consultation</header><text>Prior to the issuance of any order under paragraph (1) to reduce a position on a foreign board of trade, exchange, or market located outside the United States (including the territories and possessions of the United States), the Commission shall consult with the foreign board of trade, exchange, or market and the appropriate regulatory authority.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H011066B13D7A47A699B2BBA66D247E2"><enum>(3)</enum><header>Administration</header><text>Nothing in this subsection limits any of the otherwise applicable authorities of the Commission.</text> </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="H79B880A24E7A4DA2BAFBD0FBE9962CA8"><enum>502.</enum><header>Speculative limits and transparency for off-shore oil trading</header><text display-inline="no-display-inline">Section 4 of the Commodity Exchange Act (7 U.S.C. 6), as amended by section 501 of this Act, is amended by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="H24EF6717212A49F999D96E7565688990" style="OLC"> <subsection id="H3B98241856514DD3A448FF18D23C66E"><enum>(f)</enum><header>Foreign boards of trade</header> <paragraph id="HE9B850C68DCD4AF0A2009C301C953D2E"><enum>(1)</enum><header>In general</header><text>In the case of any foreign board of trade for which the Commission has granted or is considering an application to grant a board of trade located outside of the United States relief from the requirement of subsection (a) to become a designated contract market, derivatives transaction execution facility, or other registered entity, with respect to an energy commodity that is physically delivered in the United States, prior to continuing to or initially granting the relief, the Commission shall determine that the foreign board of trade—</text> <subparagraph id="HB71253FB3F384CC8B25254AA39AAEBBE"><enum>(A)</enum><text>applies comparable principles or requirements regarding the daily publication of trading information and position limits or accountability levels for speculators as apply to a designated contract market, derivatives transaction execution facility, or other registered entity trading energy commodities physically delivered in the United States; and</text> </subparagraph><subparagraph id="HE29621D6E6804192BC243762CF68518F"><enum>(B)</enum><text>provides such information to the Commission regarding the extent of speculative and nonspeculative trading in the energy commodity that is comparable to the information the Commission determines necessary to publish a Commitment of Traders report for a designated contract market, derivatives transaction execution facility, or other registered entity trading energy commodities physically delivered in the United States.</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H6682EAA5CDB64D258284526FD3696528"><enum>(2)</enum><header>Existing foreign boards of trade</header><text>During the period beginning 1 year after the date of enactment of this subsection and ending 18 months after the date of enactment of this subsection, the Commission shall determine whether to continue to grant relief in accordance with paragraph (1) to any foreign board of trade for which the Commission granted relief prior to the date of enactment of this subsection.</text> </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="HE1A043AFFC2D4E6B944B1695B48560A5"><enum>503.</enum><header>Additional commission employees for improved enforcement</header><text display-inline="no-display-inline">Section 2(a)(7) of the Commodity Exchange Act (<external-xref legal-doc="usc" parsable-cite="usc/7/2">7 U.S.C. 2(a)(7)</external-xref>) is amended by adding at the end the following:</text> <quoted-block id="H4496B5837A274721A0535055EBBAAB4" style="OLC"> <subparagraph id="HDB72BA430DD44E5A96A79CA51D6DCD3B"><enum>(D)</enum><header>Additional employees</header><text>As soon as practicable after the date of enactment of this subparagraph, the Commission shall appoint at least 100 full-time employees (in addition to the employees employed by the Commission as of the date of the enactment of this subparagraph)—</text> <clause id="HDB371623F4AA4069BC744C5D95270414"><enum>(i)</enum><text>to increase the public transparency of operations in energy futures markets;</text> </clause><clause id="H1E70431E7E4C476E9EBED00089F0058"><enum>(ii)</enum><text>to improve the enforcement of this Act in those markets; and</text> </clause><clause id="H48924F2984404FF88C16A8C1F1639877"><enum>(iii)</enum><text>to carry out such other duties as are prescribed by the Commission.</text> </clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="H8993FB20DAB346F3AC714B003F727CFC"><enum>504.</enum><header>Study of international regulation of energy commodity markets</header> <subsection id="H291B764174234A838ED543238E25A6EB"><enum>(a)</enum><header>In General</header><text>The Comptroller General of the United States shall conduct a study of the international regime for regulating the trading of energy commodity futures and derivatives.</text> </subsection><subsection id="H2234A7D66280461A83DF1DA64002CF00"><enum>(b)</enum><header>Analysis</header><text>The study shall include an analysis of, at a minimum—</text> <paragraph id="H89B310F6ECA84CB49721FD252DAC180"><enum>(1)</enum><text>key common features and differences among countries in the regulation of energy commodity trading, including with respect to market oversight and enforcement;</text> </paragraph><paragraph id="H22CD8D0561914480BC00F5CC1F7365C1"><enum>(2)</enum><text>agreements and practices for sharing market and trading data;</text> </paragraph><paragraph id="H9D53B0EA20D047D3B7DCC1EF155E68D6"><enum>(3)</enum><text>the use of position limits or thresholds to detect and prevent price manipulation, excessive speculation, or other unfair trading practices;</text> </paragraph><paragraph id="H14D41BBC48A34029AD31D8F1C3910031"><enum>(4)</enum><text>practices regarding the identification of commercial and noncommercial trading and the extent of market speculation; and</text> </paragraph><paragraph id="H5963791C687E4EB3A2267015B12DFDBD"><enum>(5)</enum><text>agreements and practices for facilitating international cooperation on market oversight, compliance, and enforcement.</text> </paragraph></subsection><subsection id="H5BBDFAE9D65844E4B681C0ECB344F3DF"><enum>(c)</enum><header>Report</header><text>Not later than 120 days after the date of enactment of this Act, the Comptroller General shall submit to the appropriate committees of Congress a report that—</text> <paragraph id="H44B1C5B92A504B97A736C1694D76009D"><enum>(1)</enum><text>describes the results of the study; and</text> </paragraph><paragraph id="HEDCEA271477C4F2DB27F19407DA1FA07"><enum>(2)</enum><text>provides recommendations to improve openness, transparency, and other necessary elements of a properly functioning market in a manner that protects consumers in the United States from the effects of excessive speculation and energy price volatility.</text> </paragraph></subsection></section><section id="HA8CEE4AAE08F421D83DD5D13F3A11D7C"><enum>505.</enum><header>Index traders and swap dealers</header><text display-inline="no-display-inline">Section 4 of the Commodity Exchange Act (<external-xref legal-doc="usc" parsable-cite="usc/7/6">7 U.S.C. 6</external-xref>), as amended by sections 501 and 502 of this Act, is amended by adding at the end the following:</text> <quoted-block id="H790A653494514FD19D56E063C7ABA22E" style="OLC"> <subsection id="H31B77B5E089142A79B68FF2E00303235"><enum>(g)</enum><header>Index traders and swap dealers</header><text>Not later than 60 days after the date of the enactment of this subsection, the Commission shall—</text> <paragraph id="H23A24F4326D2469000C50856F5C91942"><enum>(1)</enum><text>routinely require detailed reporting from index traders and swap dealers in markets under the jurisdiction of the Commission;</text> </paragraph><paragraph id="H91D3C0F206DE415C924555B6A945A516"><enum>(2)</enum><text>reclassify the types of traders for regulatory and reporting purposes to distinguish between index traders and swaps dealers; and</text> </paragraph><paragraph id="H5A05553219784DA88969CA17B51D139"><enum>(3)</enum><text>review the trading practices for index traders in markets under the jurisdiction of the Commission—</text> <subparagraph id="HCAB37C7978FE40F08F804000E200FDD"><enum>(A)</enum><text>to ensure that index trading is not adversely impacting the price discovery process; and</text> </subparagraph><subparagraph id="H1BC8D4B01A0E4BF987F47A2189F5257"><enum>(B)</enum><text>to determine whether different practices or regulations should be implemented.</text> </subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="H24460E52198846A4B6AEF3A4BE03F17"><enum>506.</enum><header>Disaggregation of index funds and other data in energy markets</header><text display-inline="no-display-inline">Section 4 of the Commodity Exchange Act (7 U.S.C. 6), as amended by sections 501, 502, and 505 of this Act, is amended by adding at the end the following:</text> <quoted-block id="H8DA4FAEB1C674F61BACD5BD258338D7C" style="OLC"> <subsection id="HA7065D42642C4E34AC701800A4552C17"><enum>(h)</enum><header>Disaggregation of index funds and data in energy markets</header><text>The Commission shall disaggregate and make public monthly—</text> <paragraph id="HFBCFE50D82494041BA01C54022C2BB"><enum>(1)</enum><text>the number of positions and total value of index funds and other passive, long-only positions in energy markets; and</text> </paragraph><paragraph id="H82295D02670B449EA2DA5CCF11008D24"><enum>(2)</enum><text>data on speculative positions relative to bona fide physical hedgers in those markets.</text> </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section><enum>VI</enum><header>Nuclear energy</header> <section id="HA65275DF0B4E43C9878C3D51AC156CC9"><enum>601.</enum><header>Study of impact on greenhouse gas reductions</header><text display-inline="no-display-inline">Not later than 18 months after the date of the enactment of this Act, the Secretary of Energy shall study and report to the Congress on the effect that expanding nuclear energy production would have on reducing greenhouse gases.</text> </section><section id="HF87D911DE8BE49FEAD1485391F3F8714"><enum>602.</enum><header>Study of possible cost reductions</header><text display-inline="no-display-inline">Not later than 18 months after the date of the enactment of this Act, the Secretary of Energy shall study and report to the Congress on the effect that expanding nuclear energy production would have on reducing the cost of an average kilowatt hour to commercial power customers.</text> </section><section id="H54EECD27ED8A46528256D0582C771900"><enum>603.</enum><header>Authorization for Nuclear Power 2010 Program</header><text display-inline="no-display-inline">Section 952 of the Energy Policy Act of 2005 (<external-xref legal-doc="usc" parsable-cite="usc/42/16272">42 U.S.C. 16272</external-xref>) is amended by striking subsection (c) and inserting the following:</text> <quoted-block display-inline="no-display-inline" id="HF6A3479657BE47BDA201EC483FB48E" style="OLC"> <subsection id="HE3621A7CCEAB4C4283FC76A424A6296D"><enum>(c)</enum><header>Nuclear Power 2010 Program</header> <paragraph id="H36F4EB45CF3A4C7899CEA88DFEEF3620"><enum>(1)</enum><header>In general</header><text>The Secretary shall carry out a Nuclear Power 2010 Program to position the United States to commence construction of new nuclear power plants by not later than—</text> <subparagraph id="H583D110FAEEC4300B886BB3737BF8B68"><enum>(A)</enum><text>calendar year 2010; or</text> </subparagraph><subparagraph id="H9CDA327794A44BA181D7D29E8C69D3E"><enum>(B)</enum><text>such first calendar year after calendar year 2010 as is practicable.</text> </subparagraph></paragraph><paragraph id="HAF9D9B1E1A1841ACAB54283C1F0055D5"><enum>(2)</enum><header>Scope of program</header><text>The Nuclear Power 2010 Program shall support the objectives of—</text> <subparagraph id="H616FB767227347C1A7D4F5A3BB4FB5E6"><enum>(A)</enum><text>demonstrating the licensing process for new nuclear power plants, including the Nuclear Regulatory Commission process for obtaining—</text> <clause id="HDEDF1EAE7B7541EC85589475C86BB3B"><enum>(i)</enum><text>early site permits;</text> </clause><clause id="H87A2B56469D14A6BB9004C3D8C847B10"><enum>(ii)</enum><text>combined construction or operating licenses; and</text> </clause><clause id="HC8F67F9F4DFF48738B6405B25554FAB"><enum>(iii)</enum><text>design certifications; and</text> </clause></subparagraph><subparagraph id="H7D850D881BC44DF7A6AA5CFA7C514BA4"><enum>(B)</enum><text>conducting first-of-a-kind design and engineering work on at least 2 advanced nuclear reactor designs sufficient to bring those designs to a state of design completion sufficient to allow development of firm cost estimates.</text> </subparagraph></paragraph><paragraph id="HDE4DE019752D479588CF2792B8EB72A8"><enum>(3)</enum><header>Cost-sharing</header><text>The Nuclear Power 2010 Program shall be carried out through the use of cost-sharing with the private sector.</text> </paragraph><paragraph id="H1C76A82858CA4B6B8E141481713CB58D"><enum>(4)</enum><header>Authorization of appropriations</header><text>There are authorized to be appropriated to the Secretary to carry out the Nuclear Power 2010 Program—</text> <subparagraph id="H23C640712DA14010AAD285F781665EC1"><enum>(A)</enum><text>$182,800,000 for fiscal year 2009;</text> </subparagraph><subparagraph id="H33A2055659564903849B358297F030DB"><enum>(B)</enum><text>$159,600,000 for fiscal year 2010;</text> </subparagraph><subparagraph id="H37D37B3A2EB7445B99CA70FD53728C09"><enum>(C)</enum><text>$135,600,000 for fiscal year 2011;</text> </subparagraph><subparagraph id="H682B088CCC484618BE986D05AE541F7B"><enum>(D)</enum><text>$46,900,000 for fiscal year 2012; and</text> </subparagraph><subparagraph id="HA2DE52B5DBC44C368814394CF7CF5769"><enum>(E)</enum><text>$2,200,000 for fiscal year 2013.</text> </subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="H964100CAE05B40E090607F2D52A998BA"><enum>604.</enum><header>Establishment of Interagency Working Group</header> <subsection id="H17F2229C17204D2E86E462E631CE715F"><enum>(a)</enum><header>Purposes</header><text>The purposes of this section are—</text> <paragraph id="H6832B581FAB64B04B612E94EB5C18591"><enum>(1)</enum><text>to increase the competitiveness of the United States nuclear energy products and services industries;</text> </paragraph><paragraph id="H15F50A4BFFAB4285898F97C8B86BC2A"><enum>(2)</enum><text>to identify the stimulus or incentives necessary to cause United States manufacturers of nuclear energy products to expand manufacturing capacity;</text> </paragraph><paragraph id="H027B6B648C9049BF98316151EF2DB741"><enum>(3)</enum><text>to facilitate the export of United States nuclear energy products and services;</text> </paragraph><paragraph id="H44A005F0BF6441ECB405E82C1854792D"><enum>(4)</enum><text>to reduce the trade deficit of the United States through the export of United States nuclear energy products and services;</text> </paragraph><paragraph id="H596A6C9EE2F549FC823CD72D1FB9366"><enum>(5)</enum><text>to retain and create nuclear energy manufacturing and related service jobs in the United States;</text> </paragraph><paragraph id="H71DC37A4AFC84485AF9C40FE328CE3B8"><enum>(6)</enum><text>to integrate the objectives described in paragraphs (1) through (5), in a manner consistent with the interests of the United States, into the foreign policy of the United States; and</text> </paragraph><paragraph id="H4F484EA0F7A040CD9B48FCD3DB3273C1"><enum>(7)</enum><text>to authorize funds for increasing United States capacity to manufacture nuclear energy products and supply nuclear energy services.</text> </paragraph></subsection><subsection id="H82CDA308E1DF45DE84003404604CA647"><enum>(b)</enum><header>Establishment</header> <paragraph id="HA0B626CD936A4262982BD7A76786C7DB"><enum>(1)</enum><header>In general</header><text>There is established an interagency working group (referred to in this section as the <term>Working Group</term>) that, in consultation with representative industry organizations and manufacturers of nuclear energy products, shall make recommendations to coordinate the actions and programs of the Federal Government in order to promote increasing domestic manufacturing capacity and export of domestic nuclear energy products and services.</text> </paragraph><paragraph id="H42D704B72F37427DBC006C34C71B2F17"><enum>(2)</enum><header>Composition</header><text>The Working Group shall be composed of—</text> <subparagraph id="HBCE1D59EACCB4C1FABEA103D659B6010"><enum>(A)</enum><text>the Secretary (or a designee), who shall serve as Chairperson of the Working Group; and</text> </subparagraph><subparagraph id="H492A391B5F39461793E6ECC6424FB52C"><enum>(B)</enum><text>representatives, appointed by the head of each applicable agency or department, of—</text> <clause id="H33D2BB05F67F48D0B6105F1C35704371"><enum>(i)</enum><text>the Department of Energy;</text> </clause><clause id="HB330E6E5FD8446129693CEE8ADA97A0"><enum>(ii)</enum><text>the Department of Commerce;</text> </clause><clause id="H97B8378FBDB04FBFA179EEAD404675FC"><enum>(iii)</enum><text>the Department of Defense;</text> </clause><clause id="HB38ABA5938114448919B2D43F6F9B5A3"><enum>(iv)</enum><text>the Department of the Treasury;</text> </clause><clause id="HFDA5C24E9AB749848116FE44FF7F68E0"><enum>(v)</enum><text>the Department of State;</text> </clause><clause id="H61913456160F4BE4A553A4BF6C951300"><enum>(vi)</enum><text>the Environmental Protection Agency;</text> </clause><clause id="H885243D0073E490F9719F5D807EBD127"><enum>(vii)</enum><text>the United States Agency for International Development;</text> </clause><clause id="HC154AE84A91445DF883BC07825ADDD37"><enum>(viii)</enum><text>the Export-Import Bank of the United States;</text> </clause><clause id="H1834C6D55BB04CDDB8125531C8EB9890"><enum>(ix)</enum><text>the Trade and Development Agency;</text> </clause><clause id="H690AF6EC47A84F488CC49947AC00B635"><enum>(x)</enum><text>the Small Business Administration;</text> </clause><clause id="HCCD4416E68E24CD591021FF169048449"><enum>(xi)</enum><text>the Office of the United States Trade Representative; and</text> </clause><clause id="HDC79F2D36AB74D18AC9FA6F2F6F11D9"><enum>(xii)</enum><text>other Federal agencies, as determined by the President.</text> </clause></subparagraph></paragraph></subsection><subsection id="H41B62E91BC9642B6B7B541C544D72530"><enum>(c)</enum><header>Duties of Working Group</header><text>The Working Group shall—</text> <paragraph id="H47BB0356BCD143CC8579B59F848CFB47"><enum>(1)</enum><text>not later than 180 days after the date of enactment of this Act, identify the actions necessary to promote the safe development and application in foreign countries of nuclear energy products and services—</text> <subparagraph id="HBF7D90EC06A84338A51B97BA886B79D3"><enum>(A)</enum><text>to increase electricity generation from nuclear energy sources through development of new generation facilities;</text> </subparagraph><subparagraph id="H45A45F09E2D64836A8A7E8AFCAC54574"><enum>(B)</enum><text>to improve the efficiency, safety, and reliability of existing nuclear generating facilities through modifications; and</text> </subparagraph><subparagraph id="HDA618211BE5845F8A437084D3CEAD01E"><enum>(C)</enum><text>enhance the safe treatment, handling, storage, and disposal of used nuclear fuel;</text> </subparagraph></paragraph><paragraph id="H952BF4D9A8D54322BD9F334647EDE14E"><enum>(2)</enum><text>not later than 180 days after the date of enactment of this Act, identify—</text> <subparagraph id="H362DA50296084EEF959B6BC33C85FC6"><enum>(A)</enum><text>mechanisms (including tax stimuli for investment, loans and loan guarantees, and grants) necessary for United States companies to increase—</text> <clause id="H4719DD7D786A41DB88530008710591CE"><enum>(i)</enum><text>the capacity of the companies to produce or provide nuclear energy products and services; and</text> </clause><clause id="H9B992D8B939742B2BDF1D5E5C8F722D"><enum>(ii)</enum><text>exports of nuclear energy products and services; and</text> </clause></subparagraph><subparagraph id="H90713A5A4AEC4B309EDFF0A6B6281D1C"><enum>(B)</enum><text>administrative or legislative initiatives that are necessary—</text> <clause id="H2C8FDA04E76B457DA6A6048B14C6F281"><enum>(i)</enum><text>to encourage United States companies to increase the manufacturing capacity of the companies for nuclear energy products;</text> </clause><clause id="H1C5AFD492593410AA4FAF1B5F8874151"><enum>(ii)</enum><text>to provide technical and financial assistance and support to small and mid-sized businesses to establish quality assurance programs in accordance with domestic and international nuclear quality assurance code requirements;</text> </clause><clause id="H882D89BE1C80485DBA3C862528A63B54"><enum>(iii)</enum><text>to encourage, through financial incentives, private sector capital investment to expand manufacturing capacity; and</text> </clause><clause id="H7661C08B93C94991005D50BCA3842D31"><enum>(iv)</enum><text>to provide technical assistance and financial incentives to small and mid-sized businesses to develop the workforce necessary to increase manufacturing capacity and meet domestic and international nuclear quality assurance code requirements;</text> </clause></subparagraph></paragraph><paragraph id="H0E1E097442304773A52D87934444B142"><enum>(3)</enum><text>not later than 270 days after the date of enactment of this Act, submit to Congress a report that describes the findings of the Working Group under paragraphs (1) and (2), including recommendations for new legislative authority, as necessary; and</text> </paragraph><paragraph id="HDBF8253DC3484EE0A48F00E2EF5747C3"><enum>(4)</enum><text>encourage the agencies represented by membership in the Working Group—</text> <subparagraph id="HC930D994C3B3453FBB11993DF1D7D300"><enum>(A)</enum><text>to provide technical training and education for international development personnel and local users in other countries;</text> </subparagraph><subparagraph id="HB8E449A99B7849CA98F81208AED2A761"><enum>(B)</enum><text>to provide financial and technical assistance to nonprofit institutions that support the marketing and export efforts of domestic companies that provide nuclear energy products and services;</text> </subparagraph><subparagraph id="H2522906BC5904DBA94A2415F9059F43D"><enum>(C)</enum><text>to develop nuclear energy projects in foreign countries;</text> </subparagraph><subparagraph id="HCAB0F8AC72C64BE7A56900FBB676D58D"><enum>(D)</enum><text>to provide technical assistance and training materials to loan officers of the World Bank, international lending institutions, commercial and energy attaches at embassies of the United States, and other appropriate personnel in order to provide information about nuclear energy products and services to foreign governments or other potential project sponsors;</text> </subparagraph><subparagraph id="HFDC1005019C940458E5700F657ED366"><enum>(E)</enum><text>to support, through financial incentives, private sector efforts to commercialize and export nuclear energy products and services in accordance with the subsidy codes of the World Trade Organization; and</text> </subparagraph><subparagraph id="HB8901F0237754B30B169C8D85CE8FA1D"><enum>(F)</enum><text>to augment budgets for trade and development programs in order to support prefeasibility or feasibility studies for projects that use nuclear energy products and services.</text> </subparagraph></paragraph></subsection><subsection id="HDE1DBDA2A40A4744884EE8DB9CD2DFDC"><enum>(d)</enum><header>Personnel and service matters</header><text>The Secretary and the heads of agencies represented by membership in the Working Group shall detail such personnel and furnish such services to the Working Group, with or without reimbursement, as are necessary to carry out the functions of the Working Group.</text> </subsection><subsection id="H04F81FC3FDF54178AF7B020797B6F444"><enum>(e)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated to the Secretary to carry out this section $20,000,000 for each of fiscal years 2009 and 2010.</text> </subsection></section><section display-inline="no-display-inline" id="HF4BC484C17694C3C98F8003930B2F0A8" section-type="subsequent-section"><enum>605.</enum><header>Nuclear energy workforce</header><text display-inline="no-display-inline">Section 1101 of the Energy Policy Act of 2005 (<external-xref legal-doc="usc" parsable-cite="usc/42/16411">42 U.S.C. 16411</external-xref>) is amended—</text> <paragraph id="H0048F123701F46C792CA95AC701D486F"><enum>(1)</enum><text display-inline="yes-display-inline">by redesignating subsection (d) as subsection (e); and</text> </paragraph><paragraph id="H783D93E110AD4C498D4D9ED2D5D796EB"><enum>(2)</enum><text display-inline="yes-display-inline">by inserting after subsection (c) the following:</text> <quoted-block display-inline="no-display-inline" id="HA74FE4A53EF543E6AA5DEF8B9B949436" style="OLC"> <subsection id="H4EFB460D7F8648C0BBD338AF1903A217"><enum>(d)</enum><header>Workforce training</header> <paragraph id="H39FFF9330F78467CA9F9C33F005FFBE"><enum>(1)</enum><header>In general</header><text>The Secretary of Labor, in cooperation with the Secretary of Energy, shall promulgate regulations to implement a program to provide workforce training to meet the high demand for workers skilled in the nuclear utility and nuclear energy products and services industries.</text> </paragraph><paragraph id="HAFD0744374074029B6A1388F54F4FE93"><enum>(2)</enum><header>Consultation</header><text>In carrying out this subsection, the Secretary of Labor shall consult with representatives of the nuclear utility and nuclear energy products and services industries, and organized labor, concerning skills that are needed in those industries.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H2105394622B54BA896B63BA90017A88B"><enum>(3)</enum><header>Authorization of appropriations</header><text>There are authorized to be appropriated to the Secretary of Labor, in coordination with the Secretary of Education and the Secretary of Energy, to carry out this subsection $20,000,000 for each of fiscal years 2009 through 2012.</text> </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></section><enum>VII</enum><header>Energy tax incentives</header> <section id="HC2539FBF487C44D59BE02621EE529562"><enum>700.</enum><header>Reference</header><text display-inline="no-display-inline">Except as otherwise expressly provided, whenever in this title an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.</text> </section><subtitle id="H09BC2046B0D0487D8B08F00F4CED93C"><enum>A</enum><header>Energy production incentives</header> <part id="H6530E7FCFB68433E96E1E281045B2412"><enum>1</enum><header>Renewable energy incentives</header> <section id="H3ECC2AAB3B514AFA80ABC9B293198D3D"><enum>701.</enum><header>Renewable energy credit</header> <subsection id="H20C353BC10AC43B48D31ED675B38599D"><enum>(a)</enum><header>Extension of credit</header> <paragraph id="H3A00CEAAE2C8449EABDD5B8F3E4328DE"><enum>(1)</enum><header>1-year extension for wind facilities</header><text>Paragraph (1) of section 45(d) is amended by striking <quote>January 1, 2009</quote> and inserting <quote>January 1, 2010</quote>.</text> </paragraph><paragraph id="H5DA0378371D2456C8E205C01CE3CDC33"><enum>(2)</enum><header>3-year extension for certain other facilities</header><text>Each of the following provisions of section 45(d) is amended by striking <quote>January 1, 2009</quote> and inserting <quote>January 1, 2012</quote>:</text> <subparagraph id="HB5D1F421C165476BB9BBF3493F4CA297"><enum>(A)</enum><text>Clauses (i) and (ii) of paragraph (2)(A).</text> </subparagraph><subparagraph id="H1D6FA00AD4F14D9B98ADBA01ABD0757F"><enum>(B)</enum><text>Clauses (i)(I) and (ii) of paragraph (3)(A).</text> </subparagraph><subparagraph id="HEB610FAB915847BEB4A02191DABC5227"><enum>(C)</enum><text>Paragraph (4).</text> </subparagraph><subparagraph id="HDB81D613C851490D95DA3FF37D52AE81"><enum>(D)</enum><text>Paragraph (5).</text> </subparagraph><subparagraph id="HFE116684B84945F88126D355CAFD08A7"><enum>(E)</enum><text>Paragraph (6).</text> </subparagraph><subparagraph id="H1DEED9E97D1745FCAFB154F2DFA702D5"><enum>(F)</enum><text>Paragraph (7).</text> </subparagraph><subparagraph id="H94C29BE03E644943B4E7C1DE7C6D68DF"><enum>(G)</enum><text>Subparagraphs (A) and (B) of paragraph (9).</text> </subparagraph></paragraph></subsection><subsection display-inline="no-display-inline" id="H853537F9C9864077B86D203C6B6FCBAA"><enum>(b)</enum><header>Modification of Credit Phaseout</header> <paragraph id="HA6C0051D468F457FA5BD8316B0A16606"><enum>(1)</enum><header>Repeal of phaseout</header><text>Subsection (b) of section 45 is amended—</text> <subparagraph id="H587BFCA2C13546A4BE0534F843305E7F"><enum>(A)</enum><text>by striking paragraph (1), and</text> </subparagraph><subparagraph id="H31BEA40040F945A7A21FA6DC57638920"><enum>(B)</enum><text>by striking <quote>the 8 cent amount in paragraph (1),</quote> in paragraph (2) thereof.</text> </subparagraph></paragraph><paragraph id="H1E739BB0F1AA45688DBDBEE0844EE454"><enum>(2)</enum><header>Limitation based on investment in facility</header><text>Subsection (b) of section 45 is amended by inserting before paragraph (2) the following new paragraph:</text> <quoted-block id="H8EFD62F4D81846759D6C57756D172B34" style="OLC"> <paragraph id="H689A6B36E5A941AFAA95553CCD7E00DD"><enum>(1)</enum><header>Limitation based on investment in facility</header> <subparagraph id="H6021945589E64ADDBA128C3FD00F861"><enum>(A)</enum><header>In general</header><text>In the case of any qualified facility originally placed in service after December 31, 2009, the amount of the credit determined under subsection (a) for any taxable year with respect to electricity produced at such facility shall not exceed the product of—</text> <clause id="H2137AC9BEE544890857FD709B60426B2"><enum>(i)</enum><text>the applicable percentage with respect to such facility, multiplied by</text> </clause><clause id="H9376C3B22CFE4235B4B62300EF64586"><enum>(ii)</enum><text>the eligible basis of such facility.</text> </clause></subparagraph><subparagraph id="HD0694FC4A9C34C40B97C337E6F004358"><enum>(B)</enum><header>Carryforward of unused limitation and excess credit</header> <clause id="H2C03BACE5EBC488EB9FD352CFDA5DD0"><enum>(i)</enum><header>Unused limitation</header><text>If the limitation imposed under subparagraph (A) with respect to any facility for any taxable year exceeds the prelimitation credit for such facility for such taxable year, the limitation imposed under subparagraph (A) with respect to such facility for the succeeding taxable year shall be increased by the amount of such excess.</text> </clause><clause id="H20FCA51DAF1849F9B8B85E5AA4E023B"><enum>(ii)</enum><header>Excess credit</header><text>If the prelimitation credit with respect to any facility for any taxable year exceeds the limitation imposed under subparagraph (A) with respect to such facility for such taxable year, the credit determined under subsection (a) with respect to such facility for the succeeding taxable year (determined before the application of subparagraph (A) for such succeeding taxable year) shall be increased by the amount of such excess. With respect to any facility, no amount may be carried forward under this clause to any taxable year beginning after the 10-year period described in subsection (a)(2)(A)(ii) with respect to such facility.</text> </clause><clause id="H663582AB0AEB471DB82EA71994E2A0E7"><enum>(iii)</enum><header>Prelimitation credit</header><text>The term <quote>prelimitation credit</quote> with respect to any facility for a taxable year means the credit determined under subsection (a) with respect to such facility for such taxable year, determined without regard to subparagraph (A) and after taking into account any increase for such taxable year under clause (ii).</text> </clause></subparagraph><subparagraph id="HC476799F93664648BB193EE22EE0C8DD"><enum>(C)</enum><header>Applicable percentage</header><text>For purposes of this paragraph—</text> <clause id="HF93F4992D1BB4E51ABBFAF00814F985E"><enum>(i)</enum><header>In general</header><text>The term <quote>applicable percentage</quote> means, with respect to any facility, the appropriate percentage prescribed by the Secretary for the month in which such facility is originally placed in service.</text> </clause><clause id="HD5C93AE7C5584DC0936E2BD917E80632"><enum>(ii)</enum><header>Method of prescribing applicable percentages</header><text>The applicable percentages prescribed by the Secretary for any month under clause (i) shall be percentages which yield over a 10-year period amounts of limitation under subparagraph (A) which have a present value equal to 35 percent of the eligible basis of the facility.</text> </clause><clause id="H633057647D2444B788AA33639BCE87B8"><enum>(iii)</enum><header>Method of discounting</header><text>The present value under clause (ii) shall be determined—</text> <subclause id="H0AA1019F79E349308987CEFCEE4D1B56"><enum>(I)</enum><text>as of the last day of the 1st year of the 10-year period referred to in clause (ii),</text> </subclause><subclause id="HAB3FCE204F424557982C2C7BC84B0287"><enum>(II)</enum><text>by using a discount rate equal to the greater of 110 percent of the Federal long-term rate as in effect under section 1274(d) for the month preceding the month for which the applicable percentage is being prescribed, or 4.5 percent, and</text> </subclause><subclause id="H7E07F30E420A434F884D75DC169D3D00"><enum>(III)</enum><text>by taking into account the limitation under subparagraph (A) for any year on the last day of such year.</text> </subclause></clause></subparagraph><subparagraph id="H871B65BFE4044B70BAE8A161C8E64F2"><enum>(D)</enum><header>Eligible basis</header><text>For purposes of this paragraph—</text> <clause id="HC1ABCC7257934922BB1DDCBB0501487E"><enum>(i)</enum><header>In general</header><text>The term <quote>eligible basis</quote> means, with respect to any facility, the sum of—</text> <subclause id="H2FF9BE260CC54E27B81EEBED27B0E7DD"><enum>(I)</enum><text>the basis of such facility determined as of the time that such facility is originally placed in service, and</text> </subclause><subclause id="HCD09DFEA1D044AFC926C89ED42003E7B"><enum>(II)</enum><text>the portion of the basis of any shared qualified property which is properly allocable to such facility under clause (ii).</text> </subclause></clause><clause id="H55E0E7E62C71438EBCA73D4E6E60007D"><enum>(ii)</enum><header>Rules for allocation</header><text>For purposes of subclause (II) of clause (i), the basis of shared qualified property shall be allocated among all qualified facilities which are projected to be placed in service and which require utilization of such property in proportion to projected generation from such facilities.</text> </clause><clause id="H0AA00C63A7444A8CAB02E6CADB008F9B"><enum>(iii)</enum><header>Shared qualified property</header><text>For purposes of this paragraph, the term <quote>shared qualified property</quote> means, with respect to any facility, any property described in section 168(e)(3)(B)(vi)—</text> <subclause id="H6D7170B865FE439DA5B4775900D4E6AD"><enum>(I)</enum><text>which a qualified facility will require for utilization of such facility, and</text> </subclause><subclause id="HCCD89F593CEE4E31AED07E3338BDD567"><enum>(II)</enum><text>which is not a qualified facility.</text> </subclause></clause><clause id="HAA0469AA52A146918B5376117F5C7900"><enum>(iv)</enum><header>Special rule relating to geothermal facilities</header><text>In the case of any qualified facility using geothermal energy to produce electricity, the basis of such facility for purposes of this paragraph shall be determined as though intangible drilling and development costs described in section 263(c) were capitalized rather than expensed.</text> </clause></subparagraph><subparagraph id="H0679317A1C2343DA99FC7F346FF1DB8C"><enum>(E)</enum><header>Special rule for first and last year of credit period</header><text>In the case of any taxable year any portion of which is not within the 10-year period described in subsection (a)(2)(A)(ii) with respect to any facility, the amount of the limitation under subparagraph (A) with respect to such facility shall be reduced by an amount which bears the same ratio to the amount of such limitation (determined without regard to this subparagraph) as such portion of the taxable year which is not within such period bears to the entire taxable year.</text> </subparagraph><subparagraph id="H59B6BC852EC24906AB5BD7CB00098CF5"><enum>(F)</enum><header>Election to treat all facilities placed in service in a year as 1 facility</header><text>At the election of the taxpayer, all qualified facilities which are part of the same project and which are placed in service during the same calendar year shall be treated for purposes of this section as 1 facility which is placed in service at the mid-point of such year or the first day of the following calendar year.</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="HF4796704086540019FBF169EE46984A9"><enum>(c)</enum><header>Trash facility clarification</header><text>Paragraph (7) of section 45(d) is amended—</text> <paragraph id="H4371EEC130024305A36317FAC6E60596"><enum>(1)</enum><text>by striking <quote>facility which burns</quote> and inserting <quote>facility (other than a facility described in paragraph (6)) which uses</quote>, and</text> </paragraph><paragraph id="HD3DB5579EA944FFDAEF963FE96B897A4"><enum>(2)</enum><text>by striking <quote><header-in-text level="paragraph" style="OLC">combustion</header-in-text></quote>.</text> </paragraph></subsection><subsection id="H5A9C7C905DFD4B5B81FFB162D75BF8E3"><enum>(d)</enum><header>Expansion of biomass facilities</header> <paragraph id="HB0E60580B2594EC38BAC15575EB6325D"><enum>(1)</enum><header>Open-loop biomass facilities</header><text>Paragraph (3) of section 45(d) is amended by redesignating subparagraph (B) as subparagraph (C) and by inserting after subparagraph (A) the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="H199FFEE8D3E84CEDBBC5E05587B0C58C" style="OLC"> <subparagraph id="HDF629DFAB6CB4508B89D3105B95D04C5"><enum>(B)</enum><header>Expansion of facility</header><text display-inline="yes-display-inline">Such term shall include a new unit placed in service after the date of the enactment of this subparagraph in connection with a facility described in subparagraph (A), but only to the extent of the increased amount of electricity produced at the facility by reason of such new unit.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="HEE5BF670719E4E129D4B96A594F9E85"><enum>(2)</enum><header>Closed-loop biomass facilities</header><text>Paragraph (2) of section 45(d) is amended by redesignating subparagraph (B) as subparagraph (C) and inserting after subparagraph (A) the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="H75769167ED8942BA00BB0272B697E4EB" style="OLC"> <subparagraph id="HCB8C051732D54564A0AC3216F371B9D2"><enum>(B)</enum><header>Expansion of facility</header><text display-inline="yes-display-inline">Such term shall include a new unit placed in service after the date of the enactment of this subparagraph in connection with a facility described in subparagraph (A)(i), but only to the extent of the increased amount of electricity produced at the facility by reason of such new unit.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection commented="no" id="HD579B6743AE14D1199205758A651E280"><enum>(e)</enum><header>Sales of net electricity to regulated public utilities treated as sales to unrelated persons</header><text>Paragraph (4) of section 45(e) is amended by adding at the end the following new sentence: <quote>The net amount of electricity sold by any taxpayer to a regulated public utility (as defined in section 7701(a)(33)) shall be treated as sold to an unrelated person.</quote>.</text> </subsection><subsection id="H637CE0C774F949388BEC1C904F186E15"><enum>(f)</enum><header>Modification of rules for hydropower production</header><text>Subparagraph (C) of section 45(c)(8) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H154D1674F2D84E0DB5402D1E00AF348D" style="OLC"> <subparagraph id="HD95D7C2E34444DAF984BC0DFF3A3B4A9"><enum>(C)</enum><header>Nonhydroelectric dam</header><text display-inline="yes-display-inline">For purposes of subparagraph (A), a facility is described in this subparagraph if—</text> <clause id="HAB9DCA928FBB45C4B217FEE8F97D04D1"><enum>(i)</enum><text>the hydroelectric project installed on the nonhydroelectric dam is licensed by the Federal Energy Regulatory Commission and meets all other applicable environmental, licensing, and regulatory requirements,</text> </clause><clause id="H6163DDD7AB3841B9868B593FA9626C02"><enum>(ii)</enum><text>the nonhydroelectric dam was placed in service before the date of the enactment of this paragraph and operated for flood control, navigation, or water supply purposes and did not produce hydroelectric power on the date of the enactment of this paragraph, and</text> </clause><clause id="HC209AC6922B44CAD8005EEB6AA691CAB"><enum>(iii)</enum><text>the hydroelectric project is operated so that the water surface elevation at any given location and time that would have occurred in the absence of the hydroelectric project is maintained, subject to any license requirements imposed under applicable law that change the water surface elevation for the purpose of improving environmental quality of the affected waterway.</text> </clause><continuation-text continuation-text-level="subparagraph">The Secretary, in consultation with the Federal Energy Regulatory Commission, shall certify if a hydroelectric project licensed at a nonhydroelectric dam meets the criteria in clause (iii). Nothing in this section shall affect the standards under which the Federal Energy Regulatory Commission issues licenses for and regulates hydropower projects under part I of the Federal Power Act.</continuation-text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H9FFBF0285945410884894B989864AC56"><enum>(g)</enum><header>Effective date</header> <paragraph id="H16A927A09C044FCBBE68EFEB73A9891B"><enum>(1)</enum><header>In general</header><text>Except as otherwise provided in this subsection, the amendments made by this section shall apply to property originally placed in service after December 31, 2008.</text> </paragraph><paragraph id="HFA034CA9D0594DE4B65B00911F00B3E1"><enum>(2)</enum><header>Repeal of credit phaseout</header><text>The amendments made by subsection (b)(1) shall apply to taxable years ending after December 31, 2008.</text> </paragraph><paragraph id="H81B9040C23904468832569DB869C6F05"><enum>(3)</enum><header>Limitation based on investment in facility</header><text>The amendment made by subsection (b)(2) shall apply to property originally placed in service after December 31, 2009.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H316F21F4B52E4AD695E6DF3EE636C385"><enum>(4)</enum><header>Trash facility clarification; sales to related regulated public utilities</header><text>The amendments made by subsections (c) and (e) shall apply to electricity produced and sold after the date of the enactment of this Act.</text> </paragraph><paragraph id="H3C2BAAF798E04375A9F678D300F1D84D"><enum>(5)</enum><header>Expansion of biomass facilities</header><text>The amendments made by subsection (d) shall apply to property placed in service after the date of the enactment of this Act.</text> </paragraph></subsection></section><section display-inline="no-display-inline" id="H3C195D0C78A04C979555C7D7B23CBC6E" section-type="subsequent-section"><enum>702.</enum><header>Production credit for electricity produced from marine renewables</header> <subsection id="H46E94005A5194CC4B3639118C8027F2"><enum>(a)</enum><header>In general</header><text>Paragraph (1) of section 45(c) is amended by striking <quote>and</quote> at the end of subparagraph (G), by striking the period at the end of subparagraph (H) and inserting <quote>, and</quote>, and by adding at the end the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="H51D64A2D91434E1D8DC7494E1E9236D" style="OLC"> <subparagraph id="H15399D9CA03942E2825983C7268C73D2"><enum>(I)</enum><text display-inline="yes-display-inline">marine and hydrokinetic renewable energy.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" id="H78B2C19D36034DBCB74CAE4B2DB817AF"><enum>(b)</enum><header>Marine renewables</header><text>Subsection (c) of section 45 is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="HEE5FE0EAB8214EA99146EE00B4E7B1AF" style="OLC"> <paragraph commented="no" id="H87C27A07D1CF4EA9B68C9F71CA12FAA"><enum>(10)</enum><header>Marine and hydrokinetic renewable energy</header> <subparagraph id="H1E1B2C6029A34F88BAF4F328D9541C42"><enum>(A)</enum><header>In general</header><text>The term <term>marine and hydrokinetic renewable energy</term> means energy derived from—</text> <clause display-inline="no-display-inline" id="H0BD5A4F8F5754AA1A0A3678E9307B2F6"><enum>(i)</enum><text>waves, tides, and currents in oceans, estuaries, and tidal areas,</text> </clause><clause id="H13CEAF7370CE46EDA4EBCD4927DCE1"><enum>(ii)</enum><text>free flowing water in rivers, lakes, and streams,</text> </clause><clause id="HF513540067594581875859314627C54D"><enum>(iii)</enum><text>free flowing water in an irrigation system, canal, or other man-made channel, including projects that utilize nonmechanical structures to accelerate the flow of water for electric power production purposes, or</text> </clause><clause id="H69F95BEFAEC1478698AC553EF426161E"><enum>(iv)</enum><text>differentials in ocean temperature (ocean thermal energy conversion).</text> </clause></subparagraph><subparagraph id="H004342189F4E4C4F9200EA909EB9FAD7"><enum>(B)</enum><header>Exceptions</header><text display-inline="yes-display-inline">Such term shall not include any energy which is derived from any source which utilizes a dam, diversionary structure (except as provided in subparagraph (A)(iii)), or impoundment for electric power production purposes.</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H3F287986D0C548859547C032822913C8"><enum>(c)</enum><header>Definition of facility</header><text>Subsection (d) of section 45 is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H2E8D482EE63B4E02AEC55EA924AF2112" style="OLC"> <paragraph id="H125E7758825F4312A824E50660A58977"><enum>(11)</enum><header>Marine and hydrokinetic renewable energy facilities</header><text display-inline="yes-display-inline">In the case of a facility producing electricity from marine and hydrokinetic renewable energy, the term <term>qualified facility</term> means any facility owned by the taxpayer—</text> <subparagraph id="H71F67906D7714175B54EFFDFB7C1D7B8"><enum>(A)</enum><text display-inline="yes-display-inline">which has a nameplate capacity rating of at least 150 kilowatts, and</text> </subparagraph><subparagraph id="H3C037AA2B95D4647A7ED80104B9CAB2E"><enum>(B)</enum><text>which is originally placed in service on or after the date of the enactment of this paragraph and before January 1, 2012.</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H0D0A16D7ABDF4A5496E495C6C0AD9DB5"><enum>(d)</enum><header>Credit rate</header><text>Subparagraph (A) of section 45(b)(4) is amended by striking <quote>or (9)</quote> and inserting <quote>(9), or (11)</quote>.</text> </subsection><subsection commented="no" id="H9BB86EF6F1274EAA8C2452F4629BC47"><enum>(e)</enum><header>Coordination with small irrigation power</header><text>Paragraph (5) of section 45(d), as amended by section 701, is amended by striking <quote>January 1, 2012</quote> and inserting <quote>the date of the enactment of paragraph (11)</quote>.</text> </subsection><subsection id="H3CD5EA26161F4A86896F8D8515B2D618"><enum>(f)</enum><header>Effective date</header><text>The amendments made by this section shall apply to electricity produced and sold after the date of the enactment of this Act, in taxable years ending after such date.</text> </subsection></section><section display-inline="no-display-inline" id="H51BFF23FDBCF4725B1015354529C90C8"><enum>703.</enum><header>Energy credit</header> <subsection id="H03D23B9F4BF74FD5A9C39FA8008BF417"><enum>(a)</enum><header>Extension of credit</header> <paragraph id="HC70ACE2E41004A04896FD0C721F138FA"><enum>(1)</enum><header>Solar energy property</header><text>Paragraphs (2)(A)(i)(II) and (3)(A)(ii) of section 48(a) are each amended by striking <quote>January 1, 2009</quote> and inserting <quote>January 1, 2015</quote>.</text> </paragraph><paragraph id="H2BC7492A5AA04523945335FA00F7E581"><enum>(2)</enum><header>Fuel cell property</header><text>Subparagraph (E) of section 48(c)(1) is amended by striking <quote>December 31, 2008</quote> and inserting <quote>December 31, 2014</quote>.</text> </paragraph><paragraph commented="no" id="H4105A48320D04E579792FC3EFEE99C32"><enum>(3)</enum><header>Microturbine property</header><text>Subparagraph (E) of section 48(c)(2) is amended by striking <quote>December 31, 2008</quote> and inserting <quote>December 31, 2014</quote>.</text> </paragraph></subsection><subsection id="HAADC930D0E8E43B1AF338DC9D44C1046"><enum>(b)</enum><header>Allowance of energy credit against alternative minimum tax</header><text>Subparagraph (B) of section 38(c)(4) is amended by striking <quote>and</quote> at the end of clause (iii), by redesignating clause (iv) as clause (v), and by inserting after clause (iii) the following new clause:</text> <quoted-block display-inline="no-display-inline" id="HE905D10D73534F7DB832D1CADB1F42CC" style="OLC"> <clause id="H27924D91301545B1BEB2DDAD502951"><enum>(iv)</enum><text>the credit determined under section 46 to the extent that such credit is attributable to the energy credit determined under section 48, and</text> </clause><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection display-inline="no-display-inline" id="HC15390806E154F8EAEA5DD086FA4FBAC"><enum>(c)</enum><header>Energy credit for combined heat and power system property</header> <paragraph id="HCAFFCAFD24BF4ED6934EA3FA635929E7"><enum>(1)</enum><header>In general</header><text>Section 48(a)(3)(A) (defining energy property) is amended by striking <quote>or</quote> at the end of clause (iii), by inserting <quote>or</quote> at the end of clause (iv), and by adding at the end the following new clause:</text> <quoted-block id="H0334F7177BC04A02A9E9EF34DF1FFD8E" style="OLC"> <clause id="H455202B4241147F69E4C186B0694B487"><enum>(v)</enum><text>combined heat and power system property,</text> </clause><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H3CA1E520B4D54FA3AF511300AAEA35F6"><enum>(2)</enum><header>Combined Heat and Power System Property</header><text>Section 48 is amended by adding at the end the following new subsection:</text> <quoted-block display-inline="no-display-inline" id="HBFC0A5452747470B9184341DF87FA1B9" style="OLC"> <subsection id="H5BF84E1013FB427C816850A6B4396CBF"><enum>(d)</enum><header>Combined Heat and Power System Property</header><text>For purposes of subsection (a)(3)(A)(v)—</text> <paragraph id="H2A153B634FBC4714A748613856F2256"><enum>(1)</enum><header>Combined heat and power system property</header><text>The term <term>combined heat and power system property</term> means property comprising a system—</text> <subparagraph id="H4D07183640034329B9B10850F8135B2B"><enum>(A)</enum><text>which uses the same energy source for the simultaneous or sequential generation of electrical power, mechanical shaft power, or both, in combination with the generation of steam or other forms of useful thermal energy (including heating and cooling applications),</text> </subparagraph><subparagraph id="HD12BAC9B3DF5457D832955F52C8B6F00"><enum>(B)</enum><text>which produces—</text> <clause id="H7A6F51F0499344189BB32B57DE3215B1"><enum>(i)</enum><text>at least 20 percent of its total useful energy in the form of thermal energy which is not used to produce electrical or mechanical power (or combination thereof), and</text> </clause><clause id="H0D4F9099C36548E7A172CBBE58D0DF65"><enum>(ii)</enum><text>at least 20 percent of its total useful energy in the form of electrical or mechanical power (or combination thereof),</text> </clause></subparagraph><subparagraph id="H7EE2CD68CE904FA693317D5948B0D768"><enum>(C)</enum><text>the energy efficiency percentage of which exceeds 60 percent, and</text> </subparagraph><subparagraph id="HA63DAB554BC4484892F53F68BDFA2B76"><enum>(D)</enum><text>which is placed in service before January 1, 2015.</text> </subparagraph></paragraph><paragraph id="H70839B1AE3D94CF49FA300DAFE9E8397"><enum>(2)</enum><header>Limitation</header> <subparagraph id="H437D3FFF62A24E92A1566BF9BB7F30C4"><enum>(A)</enum><header>In general</header><text>In the case of combined heat and power system property with an electrical capacity in excess of the applicable capacity placed in service during the taxable year, the credit under subsection (a)(1) (determined without regard to this paragraph) for such year shall be equal to the amount which bears the same ratio to such credit as the applicable capacity bears to the capacity of such property.</text> </subparagraph><subparagraph id="H3A3071D590384F96A7D5901C28FBA6B5"><enum>(B)</enum><header>Applicable capacity</header><text>For purposes of subparagraph (A), the term <term>applicable capacity</term> means 15 megawatts or a mechanical energy capacity of more than 20,000 horsepower or an equivalent combination of electrical and mechanical energy capacities.</text> </subparagraph><subparagraph id="H27A2D63F21AD47FD897B6DFCCD345394"><enum>(C)</enum><header>Maximum capacity</header><text>The term <term>combined heat and power system property</term> shall not include any property comprising a system if such system has a capacity in excess of 50 megawatts or a mechanical energy capacity in excess of 67,000 horsepower or an equivalent combination of electrical and mechanical energy capacities.</text> </subparagraph></paragraph><paragraph id="HC6DB3E8569704EAC93C2D2AB004B4F00"><enum>(3)</enum><header>Special rules</header> <subparagraph id="H76A0318C412F4573AEEBB490CA444461"><enum>(A)</enum><header>Energy efficiency percentage</header><text>For purposes of this subsection, the energy efficiency percentage of a system is the fraction—</text> <clause id="H0AD521DF50B54A65B69464C5D7F3D3F"><enum>(i)</enum><text>the numerator of which is the total useful electrical, thermal, and mechanical power produced by the system at normal operating rates, and expected to be consumed in its normal application, and</text> </clause><clause id="H43DEAC242F9D45278F99E648EDACB661"><enum>(ii)</enum><text>the denominator of which is the lower heating value of the fuel sources for the system.</text> </clause></subparagraph><subparagraph id="H6E7A811BB5424EE59FB3D4E7239EA3E9"><enum>(B)</enum><header>Determinations made on btu basis</header><text>The energy efficiency percentage and the percentages under paragraph (1)(B) shall be determined on a Btu basis.</text> </subparagraph><subparagraph id="HCC5339D3EB3F48B19D1F0170C6BB02F9"><enum>(C)</enum><header>Input and output property not included</header><text>The term <term>combined heat and power system property</term> does not include property used to transport the energy source to the facility or to distribute energy produced by the facility.</text> </subparagraph></paragraph><paragraph id="H23ADE411A0B14A909062545347B90404"><enum>(4)</enum><header>Systems using biomass</header><text>If a system is designed to use biomass (within the meaning of paragraphs (2) and (3) of section 45(c) without regard to the last sentence of paragraph (3)(A)) for at least 90 percent of the energy source—</text> <subparagraph id="HE4C7DC4613704248897E30C6DBE2AB03"><enum>(A)</enum><text>paragraph (1)(C) shall not apply, but</text> </subparagraph><subparagraph id="HBA1C462039AA450B838F9DB2D5033A"><enum>(B)</enum><text>the amount of credit determined under subsection (a) with respect to such system shall not exceed the amount which bears the same ratio to such amount of credit (determined without regard to this paragraph) as the energy efficiency percentage of such system bears to 60 percent.</text> </subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="HB084C18A410D4E0184F100E83C5267E2"><enum>(d)</enum><header>Increase of credit limitation for fuel cell property</header><text>Subparagraph (B) of section 48(c)(1) is amended by striking <quote>$500</quote> and inserting <quote>$1,500</quote>.</text> </subsection><subsection id="HC1E00639EDDB423C964EC91C11D3E124"><enum>(e)</enum><header>Public utility property taken into account</header> <paragraph id="H1B96861CE30A48A3AED772AB8485BCC4"><enum>(1)</enum><header>In general</header><text>Paragraph (3) of section 48(a) is amended by striking the second sentence thereof.</text> </paragraph><paragraph id="H17C84DFAB08C4116908CA68286A36C00"><enum>(2)</enum><header>Conforming amendments</header> <subparagraph id="HBF63C8102DA641FDAA0471004C806613"><enum>(A)</enum><text>Paragraph (1) of section 48(c) is amended by striking subparagraph (D) and redesignating subparagraph (E) as subparagraph (D).</text> </subparagraph><subparagraph id="HEC5099AF82464C6B8E001CA68869A1F"><enum>(B)</enum><text display-inline="yes-display-inline">Paragraph (2) of section 48(c) is amended by striking subparagraph (D) and redesignating subparagraph (E) as subparagraph (D).</text> </subparagraph></paragraph></subsection><subsection id="H8367F7B4157B4B2CA9B89306D28BFF6D"><enum>(f)</enum><header>Effective date</header> <paragraph id="H78AA2389FA924932B00003C4B21C00BC"><enum>(1)</enum><header>In general</header><text>Except as otherwise provided in this subsection, the amendments made by this section shall take effect on the date of the enactment of this Act.</text> </paragraph><paragraph id="H60BBAEA616174E70885416EF6F5F502D"><enum>(2)</enum><header>Allowance against alternative minimum tax</header><text>The amendments made by subsection (b) shall apply to credits determined under section 46 of the Internal Revenue Code of 1986 in taxable years beginning after the date of the enactment of this Act and to carrybacks of such credits.</text> </paragraph><paragraph id="HB0151796224340D0AFA1A801C5003B1F"><enum>(3)</enum><header>Combined heat and power and fuel cell property</header><text>The amendments made by subsections (c) and (d) shall apply to periods after the date of the enactment of this Act, in taxable years ending after such date, under rules similar to the rules of <external-xref legal-doc="usc" parsable-cite="usc/26/48">section 48(m)</external-xref> of the Internal Revenue Code of 1986 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990).</text> </paragraph><paragraph id="HB21272FD85CB46F68BA26232E6756B7C"><enum>(4)</enum><header> Public utility property</header><text display-inline="yes-display-inline">The amendments made by subsection (e) shall apply to periods after February 13, 2008, in taxable years ending after such date, under rules similar to the rules of section 48(m) of the Internal Revenue Code of 1986 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990).</text> </paragraph></subsection></section><section display-inline="no-display-inline" id="H2ECEC626796640DD81B8D23431D83759" section-type="subsequent-section"><enum>704.</enum><header>Credit for residential energy efficient property</header> <subsection id="H821A9E3071BA49BF96F70718A830B791"><enum>(a)</enum><header>Extension</header><text>Section 25D(g) is amended by striking <quote>December 31, 2008</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection><subsection commented="no" display-inline="no-display-inline" id="H38C0503BC52248A89410E3DA153D6BB6"><enum>(b)</enum><header>Maximum credit for solar electric property</header> <paragraph commented="no" display-inline="no-display-inline" id="HCF4C81AC594F4E43A09851E2B81605CD"><enum>(1)</enum><header>In general</header><text>Section 25D(b)(1)(A) is amended by striking <quote>$2,000</quote> and inserting <quote>$4,000</quote>.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H1F02269808944445A49600459F894716"><enum>(2)</enum><header>Conforming amendment</header><text>Section 25D(e)(4)(A)(i) is amended by striking <quote>$6,667</quote> and inserting <quote>$13,333</quote>.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H7BA1A0423D7D4CD8A1558F4E8D8BAA3B"><enum>(c)</enum><header>Credit for residential wind property</header> <paragraph commented="no" id="H2742A96374264B298F417D5C7300C4A4"><enum>(1)</enum><header>In general</header><text>Section 25D(a) is amended by striking <quote>and</quote> at the end of paragraph (2), by striking the period at the end of paragraph (3) and inserting <quote>, and</quote>, and by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H1E97880C791B47E88540F21DA0D51F00" style="OLC"> <paragraph id="H2331580CEE814043B372A4F1C646AF04"><enum>(4)</enum><text>30 percent of the qualified small wind energy property expenditures made by the taxpayer during such year.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph commented="no" id="H3DFC6AFC9CCD478F86FEE18DFBF5F1DF"><enum>(2)</enum><header>Limitation</header><text>Section 25D(b)(1) is amended by striking <quote>and</quote> at the end of subparagraph (B), by striking the period at the end of subparagraph (C) and inserting <quote>, and</quote>, and by adding at the end the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="HBA415FA8796F429DA140BF8D6E092EE9" style="OLC"> <subparagraph id="H853C9854D30F40C391DDEE1E37684DB"><enum>(D)</enum><text>$500 with respect to each half kilowatt of capacity (not to exceed $4,000) of wind turbines for which qualified small wind energy property expenditures are made.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph commented="no" id="H0688084100384788A2CE46253975EBB"><enum>(3)</enum><header>Qualified small wind energy property expenditures</header> <subparagraph commented="no" id="H9210F0A21E3C4B9B993B1166D6EC637F"><enum>(A)</enum><header>In general</header><text>Section 25D(d) is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H473792BFE8CF4FEEA2C4DA8291D83389" style="OLC"> <paragraph id="HB128E420D3A04A80B43C2DD13751557C"><enum>(4)</enum><header>Qualified small wind energy property expenditure</header><text>The term <term>qualified small wind energy property expenditure</term> means an expenditure for property which uses a wind turbine to generate electricity for use in connection with a dwelling unit located in the United States and used as a residence by the taxpayer.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph><subparagraph commented="no" id="HC3D62FBB1B33448DA04CA36515DF2F8"><enum>(B)</enum><header>No double benefit</header><text>Section 45(d)(1) is amended by adding at the end the following new sentence: <quote>Such term shall not include any facility with respect to which any qualified small wind energy property expenditure (as defined in subsection (d)(4) of section 25D) is taken into account in determining the credit under such section.</quote>.</text> </subparagraph></paragraph><paragraph commented="no" id="H65DBA6C4904F42C4BC828527BCBA553"><enum>(4)</enum><header>Maximum expenditures in case of joint occupancy</header><text>Section 25D(e)(4)(A) is amended by striking <quote>and</quote> at the end of clause (ii), by striking the period at the end of clause (iii) and inserting <quote>, and</quote>, and by adding at the end the following new clause:</text> <quoted-block display-inline="no-display-inline" id="H8CC533DCAE6148A79F72EF6B356F694" style="OLC"> <clause commented="no" id="H7C57CED2AFC34C3E97152B31E1F7ACB1"><enum>(iv)</enum><text>$1,667 in the case of each half kilowatt of capacity (not to exceed $13,333) of wind turbines for which qualified small wind energy property expenditures are made.</text> </clause><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="H4CCCF926F12747FBA0211C38E48C08E"><enum>(d)</enum><header>Credit for geothermal heat pump systems</header> <paragraph commented="no" id="HE53975D690924C1093ACAFA9A96D3069"><enum>(1)</enum><header>In general</header><text>Section 25D(a), as amended by subsection (c), is amended by striking <quote>and</quote> at the end of paragraph (3), by striking the period at the end of paragraph (4) and inserting <quote>, and</quote>, and by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H785BF999DE384EAF8888F0E517002B00" style="OLC"> <paragraph id="H46F4D0425498465F9ECFF3040766AA8D"><enum>(5)</enum><text>30 percent of the qualified geothermal heat pump property expenditures made by the taxpayer during such year.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph commented="no" id="HDCE033385C3A4874A6EBE4E22173D761"><enum>(2)</enum><header>Limitation</header><text>Section 25D(b)(1), as amended by subsection (c), is amended by striking <quote>and</quote> at the end of subparagraph (C), by striking the period at the end of subparagraph (D) and inserting <quote>, and</quote>, and by adding at the end the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="HCD6225F018C042CD896BED6B9910B98B" style="OLC"> <subparagraph id="HE634AF025DA94AD3A8FFEB037EFF8636"><enum>(E)</enum><text>$2,000 with respect to any qualified geothermal heat pump property expenditures.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph commented="no" id="H131694FD628C4CC4B204467EA3ED8B55"><enum>(3)</enum><header>Qualified geothermal heat pump property expenditure</header><text>Section 25D(d), as amended by subsection (c), is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="HEC45BC6D105F4847869D2400F32FD5E0" style="OLC"> <paragraph id="H55AF2C3C77D24BAAA32891398F2FF786"><enum>(5)</enum><header>Qualified geothermal heat pump property expenditure</header> <subparagraph id="HE44BBED046EC4C8787001C75E1A900EC"><enum>(A)</enum><header>In general</header><text>The term <term>qualified geothermal heat pump property expenditure</term> means an expenditure for qualified geothermal heat pump property installed on or in connection with a dwelling unit located in the United States and used as a residence by the taxpayer.</text> </subparagraph><subparagraph id="H8D1B88F910D2452291350804E814E1DD"><enum>(B)</enum><header>Qualified geothermal heat pump property</header><text>The term <quote>qualified geothermal heat pump property</quote> means any equipment which—</text> <clause id="H4CB49C3A57414CF19D01DCCA08FB3782"><enum>(i)</enum><text display-inline="yes-display-inline">uses the ground or ground water as a thermal energy source to heat the dwelling unit referred to in subparagraph (A) or as a thermal energy sink to cool such dwelling unit, and</text> </clause><clause id="H17753AA9F72245E000AFCBCCB6CE1300"><enum>(ii)</enum><text display-inline="yes-display-inline">meets the requirements of the Energy Star program which are in effect at the time that the expenditure for such equipment is made.</text> </clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph commented="no" id="HEF3F1DF0F21D4A94BBAC283B37F7C77"><enum>(4)</enum><header>Maximum expenditures in case of joint occupancy</header><text>Section 25D(e)(4)(A), as amended by subsection (c), is amended by striking <quote>and</quote> at the end of clause (iii), by striking the period at the end of clause (iv) and inserting <quote>, and</quote>, and by adding at the end the following new clause:</text> <quoted-block display-inline="no-display-inline" id="H42E120401DC441738C52B9A1D1EEC3F" style="OLC"> <clause commented="no" id="HC92D820E45D1460C9200DD4F57FE19A5"><enum>(v)</enum><text>$6,667 in the case of any qualified geothermal heat pump property expenditures.</text> </clause><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection commented="no" id="HE67B15348DC7480589476FCF5D706C00"><enum>(e)</enum><header>Credit allowed against alternative minimum tax</header> <paragraph commented="no" id="HB152390AA16A48ACB793EC3F9F7D154B"><enum>(1)</enum><header>In general</header><text>Subsection (c) of section 25D is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H33C9B2BD1CCA42D6BC58ED9D8DADCB2" style="OLC"> <subsection commented="no" id="H122C4B5D8A7C4EF8883B11996EBE0782"><enum>(c)</enum><header>Limitation based on amount of tax; carryforward of unused credit</header> <paragraph commented="no" id="HDBD99B16A97C45D7A2CA9DE23369F07"><enum>(1)</enum><header>Limitation based on amount of tax</header><text>In the case of a taxable year to which section 26(a)(2) does not apply, the credit allowed under subsection (a) for the taxable year shall not exceed the excess of—</text> <subparagraph commented="no" id="HFF8B9F0FAF414736B3BAE559B0E7E1B5"><enum>(A)</enum><text>the sum of the regular tax liability (as defined in section 26(b)) plus the tax imposed by section 55, over</text> </subparagraph><subparagraph commented="no" id="HD2628FE811394534828835AF9CF241CF"><enum>(B)</enum><text>the sum of the credits allowable under this subpart (other than this section) and section 27 for the taxable year.</text> </subparagraph></paragraph><paragraph commented="no" id="HC10F9F31FFA342A8A93E26B176E1ABA"><enum>(2)</enum><header>Carryforward of unused credit</header> <subparagraph commented="no" id="H099733B5DE6B4B7300A74251C7CD7B2E"><enum>(A)</enum><header>Rule for years in which all personal credits allowed against regular and alternative minimum tax</header><text display-inline="yes-display-inline">In the case of a taxable year to which section 26(a)(2) applies, if the credit allowable under subsection (a) exceeds the limitation imposed by section 26(a)(2) for such taxable year reduced by the sum of the credits allowable under this subpart (other than this section), such excess shall be carried to the succeeding taxable year and added to the credit allowable under subsection (a) for such succeeding taxable year.</text> </subparagraph><subparagraph commented="no" id="H9E62668787934E6889B2C74CAED7872D"><enum>(B)</enum><header>Rule for other years</header><text>In the case of a taxable year to which section 26(a)(2) does not apply, if the credit allowable under subsection (a) exceeds the limitation imposed by paragraph (1) for such taxable year, such excess shall be carried to the succeeding taxable year and added to the credit allowable under subsection (a) for such succeeding taxable year.</text> </subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph commented="no" id="H1D8436526DD34038A5FA8297F091C0AB"><enum>(2)</enum><header>Conforming amendments</header> <subparagraph commented="no" id="H4BA0739D22EA4E779EC78942CF8800B3"><enum>(A)</enum><text>Section 23(b)(4)(B) is amended by inserting <quote>and section 25D</quote> after <quote>this section</quote>.</text> </subparagraph><subparagraph commented="no" id="H8A424F8EB0C845F4A1A7D544B06EC69D"><enum>(B)</enum><text>Section 24(b)(3)(B) is amended by striking <quote>and 25B</quote> and inserting <quote>, 25B, and 25D</quote>.</text> </subparagraph><subparagraph commented="no" id="H8DD9FE05038D4DCEB222766B7871648C"><enum>(C)</enum><text>Section 25B(g)(2) is amended by striking <quote>section 23</quote> and inserting <quote>sections 23 and 25D</quote>.</text> </subparagraph><subparagraph commented="no" id="H858B8E3CB1974EB786343778D2D5A4BB"><enum>(D)</enum><text>Section 26(a)(1) is amended by striking <quote>and 25B</quote> and inserting <quote>25B, and 25D</quote>.</text> </subparagraph></paragraph></subsection><subsection id="HC3B0E67CABAA43BE8BBD6E19EC40872F"><enum>(f)</enum><header>Effective date</header> <paragraph id="HDBDE59E97BB647A098AE299800D13858"><enum>(1)</enum><header>In general</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2007.</text> </paragraph><paragraph id="HB7CECA385A6841C8AA39E5B2C9D8F88D"><enum>(2)</enum><header>Application of EGTRRA sunset</header><text>The amendments made by subparagraphs (A) and (B) of subsection (e)(2) shall be subject to title IX of the Economic Growth and Tax Relief Reconciliation Act of 2001 in the same manner as the provisions of such Act to which such amendments relate.</text> </paragraph></subsection></section><section display-inline="no-display-inline" id="H97CCF5D05B364436AA6CF433C2C521FA" section-type="subsequent-section"><enum>705.</enum><header>Special rule to implement FERC and State electric restructuring policy</header> <subsection id="H8FE8474F922D4D8A812E37128163E8EE"><enum>(a)</enum><header>Extension for qualified electric utilities</header> <paragraph id="HA76A374C311040F781CF85BD4651D475"><enum>(1)</enum><header>In general</header><text>Paragraph (3) of section 451(i) is amended by inserting <quote>(before January 1, 2010, in the case of a qualified electric utility)</quote> after <quote>January 1, 2008</quote>.</text> </paragraph><paragraph id="H807494C80EC443F3BEB5B39EBC42FBE"><enum>(2)</enum><header>Qualified electric utility</header><text>Subsection (i) of section 451 is amended by redesignating paragraphs (6) through (10) as paragraphs (7) through (11), respectively, and by inserting after paragraph (5) the following new paragraph:</text> <quoted-block id="H61F1EEAD3F6B49978D4315FDE8811200" style="OLC"> <paragraph id="H94D30579E3E041F897182F188DF2B512"><enum>(6)</enum><header>Qualified electric utility</header><text>For purposes of this subsection, the term <quote>qualified electric utility</quote> means a person that, as of the date of the qualifying electric transmission transaction, is vertically integrated, in that it is both—</text> <subparagraph id="HD93D9522C3DD446FA1E438D569A25609"><enum>(A)</enum><text>a transmitting utility (as defined in section 3(23) of the Federal Power Act (16 U.S.C. 796(23))) with respect to the transmission facilities to which the election under this subsection applies, and</text> </subparagraph><subparagraph id="H3F4EE776E7A14E1FA46865C623BB478"><enum>(B)</enum><text>an electric utility (as defined in section 3(22) of the Federal Power Act (16 U.S.C. 796(22))).</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="HFC62674C6B8A4F8D9C44DC93C6FB2CA0"><enum>(b)</enum><header>Extension of period for transfer of operational control authorized by FERC</header><text>Clause (ii) of section 451(i)(4)(B) is amended by striking <quote>December 31, 2007</quote> and inserting <quote>the date which is 4 years after the close of the taxable year in which the transaction occurs</quote>.</text> </subsection><subsection id="HE825CAC2577E497284B24B5332532FDD"><enum>(c)</enum><header>Property located outside the united states not treated as exempt utility property</header><text>Paragraph (5) of section 451(i) is amended by adding at the end the following new subparagraph:</text> <quoted-block id="H156183B7ECA640F4BE34F81C28EDE91" style="OLC"> <subparagraph id="H0CA4502E941748BDA1008E8698089F7C"><enum>(C)</enum><header>Exception for property located outside the united states</header><text>The term <quote>exempt utility property</quote> shall not include any property which is located outside the United States.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HA8292665BF64436385CBCA0000BD50AD"><enum>(d)</enum><header>Effective Dates</header> <paragraph id="HFC10B434B86144FCBED583F517AF76A"><enum>(1)</enum><header>Extension</header><text>The amendments made by subsection (a) shall apply to transactions after December 31, 2007.</text> </paragraph><paragraph id="H7426FE4F83124D1F8D9D73EFA8F6E5F"><enum>(2)</enum><header>Transfers of operational control</header><text>The amendment made by subsection (b) shall take effect as if included in section 909 of the American Jobs Creation Act of 2004.</text> </paragraph><paragraph id="H88017D9293014268982378B1B3EB1BFE"><enum>(3)</enum><header>Exception for property located outside the united states</header><text>The amendment made by subsection (c) shall apply to transactions after the date of the enactment of this Act.</text> </paragraph></subsection></section><section display-inline="no-display-inline" id="HDB7451D25B5D4CADAF454FD59928ECA6" section-type="subsequent-section"><enum>706.</enum><header>New clean renewable energy bonds</header> <subsection id="HD035DB8F029940538F7D2B3C78798E00"><enum>(a)</enum><header>In general</header><text>Subpart I of part IV of subchapter A of chapter 1 is amended by adding at the end the following new section:</text> <quoted-block display-inline="no-display-inline" id="HEAD456EFDE3149DD8CE16B7F96E31300" style="OLC"> <section display-inline="no-display-inline" id="HB15D635EDDAF48EDB52C17325EEC29C7" section-type="subsequent-section"><enum>54C.</enum><header>New clean renewable energy bonds</header> <subsection id="HAAF2ABE5B87D4EDDA5666BECE52C6200"><enum>(a)</enum><header>New clean renewable energy bond</header><text>For purposes of this subpart, the term <term>new clean renewable energy bond</term> means any bond issued as part of an issue if—</text> <paragraph id="H28489A44792E48F98BBA76033175027"><enum>(1)</enum><text>100 percent of the available project proceeds of such issue are to be used for capital expenditures incurred by public power providers or cooperative electric companies for one or more qualified renewable energy facilities,</text> </paragraph><paragraph id="H02BFB3BE99F74299975D40C8195816A0"><enum>(2)</enum><text>the bond is issued by a qualified issuer, and</text> </paragraph><paragraph id="HB7ED3852AAC247DD8851B94841EE463D"><enum>(3)</enum><text>the issuer designates such bond for purposes of this section.</text> </paragraph></subsection><subsection id="HB6A81B3EA4FB43E38BB7D011CE144279"><enum>(b)</enum><header>Reduced credit amount</header><text>The annual credit determined under section 54A(b) with respect to any new clean renewable energy bond shall be 70 percent of the amount so determined without regard to this subsection.</text> </subsection><subsection display-inline="no-display-inline" id="H985B0CF98E6D4D1085E3BBCB6D18E391"><enum>(c)</enum><header>Limitation on amount of bonds designated</header> <paragraph id="H0EBB842373C1417FB017135DBAB6CCB"><enum>(1)</enum><header>In general</header><text>The maximum aggregate face amount of bonds which may be designated under subsection (a) by any issuer shall not exceed the limitation amount allocated under this subsection to such issuer.</text> </paragraph><paragraph id="H01613B9C82B444E9993EC311DA032DBF"><enum>(2)</enum><header>National limitation on amount of bonds designated</header><text>There is a national new clean renewable energy bond limitation of $2,000,000,000 which shall be allocated by the Secretary as provided in paragraph (3), except that—</text> <subparagraph id="H59F8AB2F44DA457A939EC53662CFDEFE"><enum>(A)</enum><text>not more than 33<fraction>1/3</fraction> percent thereof may be allocated to qualified projects of public power providers,</text> </subparagraph><subparagraph id="HD4D3202CA7AB4FE4826CD4A8AD23D553"><enum>(B)</enum><text>not more than 33<fraction>1/3</fraction> percent thereof may be allocated to qualified projects of governmental bodies, and</text> </subparagraph><subparagraph id="HAD16D6B5DC6C46DE95EA3B9257D8F9F0"><enum>(C)</enum><text>not more than 33<fraction>1/3</fraction> percent thereof may be allocated to qualified projects of cooperative electric companies.</text> </subparagraph></paragraph><paragraph id="HA7DCFC700A1940FCA85DD875FE5DE20"><enum>(3)</enum><header>Method of allocation</header> <subparagraph id="H9B3FA5708C3549DFB4462FF941C245A"><enum>(A)</enum><header>Allocation among public power providers</header><text>After the Secretary determines the qualified projects of public power providers which are appropriate for receiving an allocation of the national new clean renewable energy bond limitation, the Secretary shall, to the maximum extent practicable, make allocations among such projects in such manner that the amount allocated to each such project bears the same ratio to the cost of such project as the limitation under paragraph (2)(A) bears to the cost of all such projects.</text> </subparagraph><subparagraph id="HC4609C714ABC46DD9EFDE878DF65445B"><enum>(B)</enum><header>Allocation among governmental bodies and cooperative electric companies</header><text>The Secretary shall make allocations of the amount of the national new clean renewable energy bond limitation described in paragraphs (2)(B) and (2)(C) among qualified projects of governmental bodies and cooperative electric companies, respectively, in such manner as the Secretary determines appropriate.</text> </subparagraph></paragraph></subsection><subsection id="HA82A111ED1124B87B11C006732759474"><enum>(d)</enum><header>Definitions</header><text>For purposes of this section—</text> <paragraph id="H2F04BFD100A34A43B64FFE7ECF20A35"><enum>(1)</enum><header>Qualified renewable energy facility</header><text>The term <term>qualified renewable energy facility</term> means a qualified facility (as determined under section 45(d) without regard to paragraphs (8) and (10) thereof and to any placed in service date) owned by a public power provider, a governmental body, or a cooperative electric company.</text> </paragraph><paragraph id="H901EFC2888894FB6B323809F4E2058F0"><enum>(2)</enum><header>Public power provider</header><text display-inline="yes-display-inline">The term <term>public power provider</term> means a State utility with a service obligation, as such terms are defined in section 217 of the Federal Power Act (as in effect on the date of the enactment of this paragraph).</text> </paragraph><paragraph display-inline="no-display-inline" id="HB29C701AFB0E4F65AC17FA921E6508C4"><enum>(3)</enum><header>Governmental body</header><text>The term <term>governmental body</term> means any State or Indian tribal government, or any political subdivision thereof.</text> </paragraph><paragraph id="H76F0366B32E44066BFE9E7000088F3C4"><enum>(4)</enum><header>Cooperative electric company</header><text display-inline="yes-display-inline">The term <term>cooperative electric company</term> means a mutual or cooperative electric company described in section 501(c)(12) or section 1381(a)(2)(C).</text> </paragraph><paragraph id="HFC4201F8274B476EB0CE00624E709340"><enum>(5)</enum><header>Clean renewable energy bond lender</header><text display-inline="yes-display-inline">The term <term>clean renewable energy bond lender</term> means a lender which is a cooperative which is owned by, or has outstanding loans to, 100 or more cooperative electric companies and is in existence on February 1, 2002, and shall include any affiliated entity which is controlled by such lender.</text> </paragraph><paragraph id="H3E2A1EF3C2414D85A205BA20248E2717"><enum>(6)</enum><header>Qualified issuer</header><text display-inline="yes-display-inline">The term <term>qualified issuer</term> means a public power provider, a cooperative electric company, a governmental body, a clean renewable energy bond lender, or a not-for-profit electric utility which has received a loan or loan guarantee under the Rural Electrification Act.</text> </paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HC1988F19E5294E1F8659FDE8383F5EAE"><enum>(b)</enum><header>Conforming Amendments</header> <paragraph id="HDFEAD0BFBBC74A30BFB710DB2F6FF957"><enum>(1)</enum><text>Paragraph (1) of section 54A(d) is amended to read as follows:</text> <quoted-block id="HF9B2BF9A2E574FF5ABE7E900A696EDC4" style="OLC"> <paragraph id="HB05957653A0A456DBD3763477B5DEE00"><enum>(1)</enum><header>Qualified tax credit bond</header><text>The term <quote>qualified tax credit bond</quote> means—</text> <subparagraph id="HD829E1BAE30F44819BAEAB421DB6894"><enum>(A)</enum><text>a qualified forestry conservation bond, or</text> </subparagraph><subparagraph id="H7DD52188158C40D1BE24F5BA1E833B65"><enum>(B)</enum><text>a new clean renewable energy bond,</text> </subparagraph><continuation-text continuation-text-level="paragraph">which is part of an issue that meets requirements of paragraphs (2), (3), (4), (5), and (6).</continuation-text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H8009CCC2CC4143BABB6302BED4971100"><enum>(2)</enum><text>Subparagraph (C) of section 54A(d)(2) is amended to read as follows:</text> <quoted-block id="HCFA22727F58B4B9F87569327A0E1C5F2" style="OLC"> <subparagraph id="H7536AEC3902E48EF838B47617BF1D249"><enum>(C)</enum><header>Qualified purpose</header><text>For purposes of this paragraph, the term <quote>qualified purpose</quote> means—</text> <clause id="H70AE5855C5124C86BD56DEC702F09BB2"><enum>(i)</enum><text>in the case of a qualified forestry conservation bond, a purpose specified in section 54B(e), and</text> </clause><clause id="HD331DB7E29FE408A9492A4808706F53B"><enum>(ii)</enum><text>in the case of a new clean renewable energy bond, a purpose specified in section 54C(a)(1).</text> </clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H6DA882F64F8F4DA7B361FB96AFA51771"><enum>(3)</enum><text>The table of sections for subpart I of part IV of subchapter A of chapter 1 is amended by adding at the end the following new item:</text> <quoted-block id="H1E3C282C7C354E0F9874D52BABCC46" style="OLC"> <section id="HA2A07449ED69430EBF0044CCFBF7FC5D"><enum>54C.</enum><text display-inline="yes-display-inline">Qualified clean renewable energy bonds.</text> </section><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="H3425A0D7E44C473AB21614D1C328676D"><enum>(c)</enum><header>Reporting</header><text>Subsection (d) of section 6049 is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H2A0AA68A6C9D48F98D4935D1EFF3C5CC" style="OLC"> <paragraph id="HE4925F585DA745B59B9BE0032E88A669"><enum>(9)</enum><header>Reporting of credit on qualified tax credit bonds</header> <subparagraph id="H226924618B49412FAC7FBBC120D6099"><enum>(A)</enum><header>In general</header><text>For purposes of subsection (a), the term <term>interest</term> includes amounts includible in gross income under section 54A and such amounts shall be treated as paid on the credit allowance date (as defined in section 54A(e)(1)).</text> </subparagraph><subparagraph id="H6EFBD019189C4B3FA5E5221D1BDA5100"><enum>(B)</enum><header>Reporting to corporations, etc</header><text>Except as otherwise provided in regulations, in the case of any interest described in subparagraph (A) of this paragraph, subsection (b)(4) of this section shall be applied without regard to subparagraphs (A), (H), (I), (J), (K), and (L)(i).</text> </subparagraph><subparagraph id="H4CD1953FE7C14606A1A592C2B7C8B35D"><enum>(C)</enum><header>Regulatory authority</header><text>The Secretary may prescribe such regulations as are necessary or appropriate to carry out the purposes of this paragraph, including regulations which require more frequent or more detailed reporting.</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" display-inline="no-display-inline" id="HC99E52283F6740F688F700D87C3498B4"><enum>(d)</enum><header>Application of certain labor standards on projects financed under tax credit bonds</header><text>Subchapter IV of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/40/31">chapter 31</external-xref> of title 40, United States Code, shall apply to projects financed with the proceeds of any tax credit bond (as defined in <external-xref legal-doc="usc" parsable-cite="usc/26/54A">section 54A</external-xref> of the Internal Revenue Code of 1986).</text> </subsection><subsection id="H7A5A094DDF58497CAFB7EF34ED25FAA9"><enum>(e)</enum><header>Effective Date</header><text>The amendments made by this section shall apply to obligations issued after the date of the enactment of this Act.</text> </subsection></section></part><part id="HE72D8CFF0ABB464AB0D433002BCA3700"><enum>2</enum><header>Carbon mitigation provisions</header> <section display-inline="no-display-inline" id="HAC778C66EA764FA8BA0098B3D47FA384" section-type="subsequent-section"><enum>711.</enum><header>Expansion and modification of advanced coal project investment credit</header> <subsection id="H9F0B2F455D2B4B7EB8A683FD67DB4025"><enum>(a)</enum><header>Modification of credit amount</header><text>Section 48A(a) is amended by striking <quote>and</quote> at the end of paragraph (1), by striking the period at the end of paragraph (2) and inserting <quote>, and</quote>, and by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H06AC1BD617D146188BC0F0BFF29262C5" style="OLC"> <paragraph id="HC00D23BA54B34C218708F00285F6CD5"><enum>(3)</enum><text>30 percent of the qualified investment for such taxable year in the case of projects described in clause (iii) of subsection (d)(3)(B).</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H04B249435B844152B069C46B7579D3DD"><enum>(b)</enum><header>Expansion of aggregate credits</header><text>Section 48A(d)(3)(A) is amended by striking <quote>$1,300,000,000</quote> and inserting <quote>$2,550,000,000</quote>.</text> </subsection><subsection id="HC712AA1D86344CC0A029A1CB9905E501"><enum>(c)</enum><header>Authorization of Additional Projects</header> <paragraph id="HA59997FA5588417FABF61B40D4B5A66D"><enum>(1)</enum><header>In general</header><text>Subparagraph (B) of section 48A(d)(3) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HEBFC72FF6CD8473CACD4170210C0F008" style="OLC"> <subparagraph id="HCFB0CD949672478BA6D59088FF8D8B9"><enum>(B)</enum><header>Particular projects</header><text>Of the dollar amount in subparagraph (A), the Secretary is authorized to certify—</text> <clause id="HE3DF284710164F14A5072B3C9E1D35EB"><enum>(i)</enum><text>$800,000,000 for integrated gasification combined cycle projects the application for which is submitted during the period described in paragraph (2)(A)(i),</text> </clause><clause id="HD0EFBEAF649B490EA91D3D97C4562BC"><enum>(ii)</enum><text>$500,000,000 for projects which use other advanced coal-based generation technologies the application for which is submitted during the period described in paragraph (2)(A)(i), and</text> </clause><clause id="H74BED72C8406499EAE0768B07245CE8B"><enum>(iii)</enum><text>$1,250,000,000 for advanced coal-based generation technology projects the application for which is submitted during the period described in paragraph (2)(A)(ii).</text> </clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H0A3DAD1BE8DA4E17BC59BC805B8D78F7"><enum>(2)</enum><header>Application period for additional projects</header><text>Subparagraph (A) of section 48A(d)(2) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HB7D7C8D0314E4B74BCB776EFF7CA6BC6" style="OLC"> <subparagraph id="H80A9021D52564243A31C33BB26E2E23B"><enum>(A)</enum><header>Application period</header><text>Each applicant for certification under this paragraph shall submit an application meeting the requirements of subparagraph (B). An applicant may only submit an application—</text> <clause id="H61CBF79E651C4199846FBC00C5858770"><enum>(i)</enum><text>for an allocation from the dollar amount specified in clause (i) or (ii) of paragraph (3)(B) during the 3-year period beginning on the date the Secretary establishes the program under paragraph (1), and</text> </clause><clause id="H4A035EA9610940FD92DEB308F8D4948E"><enum>(ii)</enum><text>for an allocation from the dollar amount specified in paragraph (3)(B)(iii) during the 3-year period beginning at the earlier of the termination of the period described in clause (i) or the date prescribed by the Secretary.</text> </clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="HF541BBC1ADB14851B200EC6D7C30D2DD"><enum>(3)</enum><header>Capture and sequestration of carbon dioxide emissions requirement</header> <subparagraph id="H1DA5326F5BC644C800AFD85871858301"><enum>(A)</enum><header>In general</header><text>Section 48A(e)(1) is amended by striking <quote>and</quote> at the end of subparagraph (E), by striking the period at the end of subparagraph (F) and inserting <quote>; and</quote>, and by adding at the end the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="H2B7D37E1B96040938D15ACFA1BC67736" style="OLC"> <subparagraph id="H4C935E22E24C44CBA29BED9902301BC4"><enum>(G)</enum><text>in the case of any project the application for which is submitted during the period described in subsection (d)(2)(A)(ii), the project includes equipment which separates and sequesters at least 65 percent (70 percent in the case of an application for reallocated credits under subsection (d)(4)) of such project's total carbon dioxide emissions.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph><subparagraph id="H4F00746CE7FC4B879C7142C8A3C8C3F1"><enum>(B)</enum><header>Highest priority for projects which sequester carbon dioxide emissions</header><text>Section 48A(e)(3) is amended by striking <quote>and</quote> at the end of subparagraph (A)(iii), by striking the period at the end of subparagraph (B)(iii) and inserting <quote>, and</quote>, and by adding at the end the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="HB2B84EC3B98945C8AE7449607D04E37F" style="OLC"> <subparagraph id="H06F523AFF43D432BB043D589C848E245"><enum>(C)</enum><text>give highest priority to projects with the greatest separation and sequestration percentage of total carbon dioxide emissions.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph><subparagraph id="H8BF6D3C0B6E3406D006823ACA7EDC69"><enum>(C)</enum><header>Recapture of credit for failure to sequester</header><text>Section 48A is amended by adding at the end the following new subsection:</text> <quoted-block display-inline="no-display-inline" id="HAA2695F4A931453C8FE28D59A349BDA" style="OLC"> <subsection id="HEB6B47E5F91B40449136EF038FF71D33"><enum>(h)</enum><header>Recapture of credit for failure To sequester</header><text>The Secretary shall provide for recapturing the benefit of any credit allowable under subsection (a) with respect to any project which fails to attain or maintain the separation and sequestration requirements of subsection (e)(1)(G).</text> </subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph></paragraph><paragraph id="HB0BECC5FE5CB45D383C18071DCB249DD"><enum>(4)</enum><header>Additional priority for research partnerships</header><text>Section 48A(e)(3)(B), as amended by paragraph (3)(B), is amended—</text> <subparagraph id="HF06E82FD8C13492DAD84F188C5F6637"><enum>(A)</enum><text>by striking <quote>and</quote> at the end of clause (ii),</text> </subparagraph><subparagraph id="H5FE3449350B14D69808BDDDB700078A1"><enum>(B)</enum><text>by redesignating clause (iii) as clause (iv), and</text> </subparagraph><subparagraph id="H26BB2712DB354EEA877FBFD753062CC2"><enum>(C)</enum><text>by inserting after clause (ii) the following new clause:</text> <quoted-block display-inline="no-display-inline" id="HD7817B3B3468482C8C5DD42B177448B3" style="OLC"> <clause id="H9D87A683C789409A8D86D9770C434DF"><enum>(iii)</enum><text>applicant participants who have a research partnership with an eligible educational institution (as defined in section 529(e)(5)), and</text> </clause><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph></paragraph><paragraph id="H9A6259252D214BF4830534D55360178B"><enum>(5)</enum><header>Clerical amendment</header><text>Section 48A(e)(3) is amended by striking <quote><header-in-text level="paragraph" style="OLC">integrated gasification combined cycle</header-in-text></quote> in the heading and inserting <quote><header-in-text level="paragraph" style="OLC">certain</header-in-text></quote>.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="HB7DBCB2972C442A0871CEBF21E08850"><enum>(d)</enum><header display-inline="yes-display-inline">Competitive certification awards modification authority</header><text>Section 48A, as amended by subsection (c)(3), is amended by adding at the end the following new subsection:</text> <quoted-block display-inline="no-display-inline" id="H765958C5B92E4E7AACB0029F70975639" style="OLC"> <subsection id="H55D7979775384E57B1E1F4FB682D4C"><enum>(i)</enum><header>Competitive certification awards modification authority</header><text>In implementing this section or section 48B, the Secretary is directed to modify the terms of any competitive certification award and any associated closing agreement where such modification—</text> <paragraph id="HE85A59D0F0A4406386DE01009F32F719"><enum>(1)</enum><text>is consistent with the objectives of such section,</text> </paragraph><paragraph id="H8AB50D2215144D8F8E571500717E1D6F"><enum>(2)</enum><text>is requested by the recipient of the competitive certification award, and</text> </paragraph><paragraph id="H8979DD9AA69E473C00DFBDB4C87690F4"><enum>(3)</enum><text>involves moving the project site to improve the potential to capture and sequester carbon dioxide emissions, reduce costs of transporting feedstock, and serve a broader customer base,</text> </paragraph><continuation-text continuation-text-level="subsection">unless the Secretary determines that the dollar amount of tax credits available to the taxpayer under such section would increase as a result of the modification or such modification would result in such project not being originally certified. In considering any such modification, the Secretary shall consult with other relevant Federal agencies, including the Department of Energy.</continuation-text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H1E568C527A124040981C906878058FC4"><enum>(e)</enum><header>Disclosure of allocations</header><text>Section 48A(d) is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H4D5E858B3CD34ADD85B1EA227007B8D5" style="OLC"> <paragraph id="H3AFFBC734E704E8CB07EA8EE1EAA136B"><enum>(5)</enum><header>Disclosure of allocations</header><text display-inline="yes-display-inline">The Secretary shall, upon making a certification under this subsection or section 48B(d), publicly disclose the identity of the applicant and the amount of the credit certified with respect to such applicant.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" display-inline="no-display-inline" id="H8D013B155FCF4A609866C3F698AEBE3"><enum>(f)</enum><header>Effective dates</header> <paragraph commented="no" display-inline="no-display-inline" id="H27B160E6F5604A2B85368C51DA32E63"><enum>(1)</enum><header>In general</header><text>Except as otherwise provided in this subsection, the amendments made by this section shall apply to credits the application for which is submitted during the period described in section 48A(d)(2)(A)(ii) of the Internal Revenue Code of 1986 and which are allocated or reallocated after the date of the enactment of this Act.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H1A16C02446FA4362889FC779D4509334"><enum>(2)</enum><header display-inline="yes-display-inline">Competitive certification awards modification authority</header><text display-inline="yes-display-inline">The amendment made by subsection (d) shall take effect on the date of the enactment of this Act and is applicable to all competitive certification awards entered into under section 48A or 48B of the Internal Revenue Code of 1986, whether such awards were issued before, on, or after such date of enactment.</text> </paragraph><paragraph id="HA57900CA61C842738177F6B301B7DDA0"><enum>(3)</enum><header>Disclosure of allocations</header><text>The amendment made by subsection (e) shall apply to certifications made after the date of the enactment of this Act.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="H1764B618C8A04C1A934DFC534FC34E56"><enum>(4)</enum><header>Clerical amendment</header><text>The amendment made by subsection (c)(5) shall take effect as if included in the amendment made by section 1307(b) of the Energy Tax Incentives Act of 2005.</text> </paragraph></subsection></section><section id="H10208B145E2A414BB5224F3E37EEC8C"><enum>712.</enum><header>Expansion and modification of coal gasification investment credit</header> <subsection id="H0552A10431794457BACD6B2F6528ECCA"><enum>(a)</enum><header>Modification of credit amount</header><text display-inline="yes-display-inline">Section 48B(a) is amended by inserting <quote>(30 percent in the case of credits allocated under subsection (d)(1)(B))</quote> after <quote>20 percent</quote>.</text> </subsection><subsection id="HBF10F93F78FC426AB4D7F90CA2038DC"><enum>(b)</enum><header>Expansion of aggregate credits</header><text>Section 48B(d)(1) is amended by striking <quote>shall not exceed $350,000,000</quote> and all that follows and inserting</text> <quoted-block display-inline="yes-display-inline" id="H77B5F8585C8B420F945F776C87551C00" style="OLC"> <text>shall not exceed—</text><subparagraph id="H2C92E0A345C34282A15B4E23F6DCA7B7"><enum>(A)</enum><text display-inline="yes-display-inline">$350,000,000, plus</text> </subparagraph><subparagraph id="HF7E219DE1DF54A40A9F457EE41F95511"><enum>(B)</enum><text>$250,000,000 for qualifying gasification projects that include equipment which separates and sequesters at least 75 percent of such project’s total carbon dioxide emissions.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H029B9AE816294FB7ABC0182DBF176F4F"><enum>(c)</enum><header>Recapture of credit for failure To sequester</header><text>Section 48B is amended by adding at the end the following new subsection:</text> <quoted-block display-inline="no-display-inline" id="H4D363C579A6C4015BC3F15D2F205C38E" style="OLC"> <subsection id="H8BD648B5E40F4476B01BF6E76DFA8C42"><enum>(f)</enum><header>Recapture of credit for failure To sequester</header><text display-inline="yes-display-inline">The Secretary shall provide for recapturing the benefit of any credit allowable under subsection (a) with respect to any project which fails to attain or maintain the separation and sequestration requirements for such project under subsection (d)(1).</text> </subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H2A23246AD990482DBB73780500B1C2EC"><enum>(d)</enum><header>Selection priorities</header><text>Section 48B(d) is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H55F04B80AADB4A8197B811FD4406E2E0" style="OLC"> <paragraph id="HF7979C7925CE47538D84F3F92D20DDB2"><enum>(4)</enum><header>Selection priorities</header><text display-inline="yes-display-inline">In determining which qualifying gasification projects to certify under this section, the Secretary shall—</text> <subparagraph id="HA3152372AF1B4053BD099B422BDFC931"><enum>(A)</enum><text>give highest priority to projects with the greatest separation and sequestration percentage of total carbon dioxide emissions, and</text> </subparagraph><subparagraph id="HECB57839A53C4344ACBD82FB283099A7"><enum>(B)</enum><text>give high priority to applicant participants who have a research partnership with an eligible educational institution (as defined in section 529(e)(5)).</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H10F2F7B6AA00412A8F7FBBFF6801B017"><enum>(e)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to credits described in section 48B(d)(1)(B) of the Internal Revenue Code of 1986 which are allocated or reallocated after the date of the enactment of this Act.</text> </subsection></section><section display-inline="no-display-inline" id="HE2C4E0FF3B014005970492497D5810CF" section-type="subsequent-section"><enum>713.</enum><header>Temporary increase in coal excise tax</header><text display-inline="no-display-inline">Paragraph (2) of section 4121(e) is amended—</text> <paragraph id="H5858DE63F31E4CFA87A082864EBE8491"><enum>(1)</enum><text>by striking <quote>January 1, 2014</quote> in subparagraph (A) and inserting <quote>December 31, 2018</quote>, and</text> </paragraph><paragraph id="H44A4EBA02F1A4DEA955BA71324F027E"><enum>(2)</enum><text>by striking <quote>January 1 after 1981</quote> in subparagraph (B) and inserting <quote>December 31 after 2007</quote>.</text> </paragraph></section><section id="H2B26B8ED890D44AD906DB183A4EA13D0"><enum>714.</enum><header>Special rules for refund of the coal excise tax to certain coal producers and exporters</header> <subsection id="HEEE9E0C752954FD89FBFFFEAD99E178"><enum>(a)</enum><header>Refund</header> <paragraph id="H6A2C29F7F7184A439D31A03DD0182D8B"><enum>(1)</enum><header>Coal producers</header> <subparagraph id="H6070E96A81334F46956D3119DF6292DB"><enum>(A)</enum><header>In general</header><text>Notwithstanding subsections (a)(1) and (c) of section 6416 and <external-xref legal-doc="usc" parsable-cite="usc/26/6511">section 6511</external-xref> of the Internal Revenue Code of 1986, if—</text> <clause id="H7D14281E31124D1D93F2CEF52FC252E"><enum>(i)</enum><text>a coal producer establishes that such coal producer, or a party related to such coal producer, exported coal produced by such coal producer to a foreign country or shipped coal produced by such coal producer to a possession of the United States, or caused such coal to be exported or shipped, the export or shipment of which was other than through an exporter who meets the requirements of paragraph (2),</text> </clause><clause id="H25416F229B754774A8BD9FB079C65C68"><enum>(ii)</enum><text>such coal producer filed an excise tax return on or after October 1, 1990, and on or before the date of the enactment of this Act, and</text> </clause><clause id="HCE341C61D6A34CCFAA36A7082CF28D2B"><enum>(iii)</enum><text>such coal producer files a claim for refund with the Secretary not later than the close of the 30-day period beginning on the date of the enactment of this Act,</text> </clause><continuation-text continuation-text-level="subparagraph">then the Secretary shall pay to such coal producer an amount equal to the tax paid under section 4121 of such Code on such coal exported or shipped by the coal producer or a party related to such coal producer, or caused by the coal producer or a party related to such coal producer to be exported or shipped.</continuation-text></subparagraph><subparagraph id="H0E6E065A08264A419C96F46C4B55824E"><enum>(B)</enum><header>Special rules for certain taxpayers</header><text>For purposes of this section—</text> <clause id="H92A48F16C9B4433F9FEBE0145162DCF3"><enum>(i)</enum><header>In general</header><text>If a coal producer or a party related to a coal producer has received a judgment described in clause (iii), such coal producer shall be deemed to have established the export of coal to a foreign country or shipment of coal to a possession of the United States under subparagraph (A)(i).</text> </clause><clause id="H74F8ECA7F71643D680D5E76C3373DD98"><enum>(ii)</enum><header>Amount of payment</header><text>If a taxpayer described in clause (i) is entitled to a payment under subparagraph (A), the amount of such payment shall be reduced by any amount paid pursuant to the judgment described in clause (iii).</text> </clause><clause id="H35D0230150A24C12A099639D3B15CCF"><enum>(iii)</enum><header>Judgment described</header><text>A judgment is described in this subparagraph if such judgment—</text> <subclause id="H94F1CC815D464BA590CA67DB78C467E"><enum>(I)</enum><text>is made by a court of competent jurisdiction within the United States,</text> </subclause><subclause id="H03414A5039E34F61B180ECE87E7BE1E9"><enum>(II)</enum><text>relates to the constitutionality of any tax paid on exported coal under section 4121 of the Internal Revenue Code of 1986, and</text> </subclause><subclause id="H975FBCA8110D4E219B54788C7BCA17D7"><enum>(III)</enum><text>is in favor of the coal producer or the party related to the coal producer.</text> </subclause></clause></subparagraph></paragraph><paragraph id="HD4C3E01D63A04F9A8E194E8620BC3A3"><enum>(2)</enum><header>Exporters</header><text>Notwithstanding subsections (a)(1) and (c) of section 6416 and section 6511 of the Internal Revenue Code of 1986, and a judgment described in paragraph (1)(B)(iii) of this subsection, if—</text> <subparagraph id="H82AF5EB82F22423B802FCF19C7EEEAC"><enum>(A)</enum><text>an exporter establishes that such exporter exported coal to a foreign country or shipped coal to a possession of the United States, or caused such coal to be so exported or shipped,</text> </subparagraph><subparagraph id="H62CB871AB0634262978DDFEFDF911AC"><enum>(B)</enum><text>such exporter filed a tax return on or after October 1, 1990, and on or before the date of the enactment of this Act, and</text> </subparagraph><subparagraph id="H4B159E852A66484A94C78B2182DBABA9"><enum>(C)</enum><text>such exporter files a claim for refund with the Secretary not later than the close of the 30-day period beginning on the date of the enactment of this Act,</text> </subparagraph><continuation-text continuation-text-level="paragraph">then the Secretary shall pay to such exporter an amount equal to $0.825 per ton of such coal exported by the exporter or caused to be exported or shipped, or caused to be exported or shipped, by the exporter.</continuation-text></paragraph></subsection><subsection id="HA1E85B4F7488462F89E9F0222216DE63"><enum>(b)</enum><header>Limitations</header><text>Subsection (a) shall not apply with respect to exported coal if a settlement with the Federal Government has been made with and accepted by, the coal producer, a party related to such coal producer, or the exporter, of such coal, as of the date that the claim is filed under this section with respect to such exported coal. For purposes of this subsection, the term <term>settlement with the Federal Government</term> shall not include any settlement or stipulation entered into as of the date of the enactment of this Act, the terms of which contemplate a judgment concerning which any party has reserved the right to file an appeal, or has filed an appeal.</text> </subsection><subsection id="HD6C4823DCB6A4AF2AA2754FCBC527C96"><enum>(c)</enum><header>Subsequent refund prohibited</header><text>No refund shall be made under this section to the extent that a credit or refund of such tax on such exported or shipped coal has been paid to any person.</text> </subsection><subsection id="H7DF0F4365D5241D4B6D2F2AC19BC16F5"><enum>(d)</enum><header>Definitions</header><text>For purposes of this section—</text> <paragraph id="H3F514921317D47D4B981F33D3EEB36A9"><enum>(1)</enum><header>Coal producer</header><text>The term <term>coal producer</term> means the person in whom is vested ownership of the coal immediately after the coal is severed from the ground, without regard to the existence of any contractual arrangement for the sale or other disposition of the coal or the payment of any royalties between the producer and third parties. The term includes any person who extracts coal from coal waste refuse piles or from the silt waste product which results from the wet washing (or similar processing) of coal.</text> </paragraph><paragraph id="HC80A89A8C1C74636A51968D300B51067"><enum>(2)</enum><header>Exporter</header><text>The term <term>exporter</term> means a person, other than a coal producer, who does not have a contract, fee arrangement, or any other agreement with a producer or seller of such coal to export or ship such coal to a third party on behalf of the producer or seller of such coal and—</text> <subparagraph id="H98ED1338BDC74B97A7E83FC8C29D721E"><enum>(A)</enum><text>is indicated in the shipper’s export declaration or other documentation as the exporter of record, or</text> </subparagraph><subparagraph id="H9F63E183B0694E558151241722FE0000"><enum>(B)</enum><text>actually exported such coal to a foreign country or shipped such coal to a possession of the United States, or caused such coal to be so exported or shipped.</text> </subparagraph></paragraph><paragraph id="HAE1F363A19D046830072EC1C2C6BA600"><enum>(3)</enum><header>Related party</header><text>The term <term>a party related to such coal producer</term> means a person who—</text> <subparagraph id="H02D5E372CE4D4E38AF6402881D62A4E7"><enum>(A)</enum><text>is related to such coal producer through any degree of common management, stock ownership, or voting control,</text> </subparagraph><subparagraph id="H6DA7CE1DA6134320BEBCEC919587D019"><enum>(B)</enum><text>is related (within the meaning of <external-xref legal-doc="usc" parsable-cite="usc/26/144">section 144(a)(3)</external-xref> of the Internal Revenue Code of 1986) to such coal producer, or</text> </subparagraph><subparagraph id="HE1A09EB25EF24F46B8F97C9D35C4C4C"><enum>(C)</enum><text>has a contract, fee arrangement, or any other agreement with such coal producer to sell such coal to a third party on behalf of such coal producer.</text> </subparagraph></paragraph><paragraph id="H061B08D951AC4184A5C31C00423E82B2"><enum>(4)</enum><header>Secretary</header><text>The term <term>Secretary</term> means the Secretary of Treasury or the Secretary's designee.</text> </paragraph></subsection><subsection id="H587DBBC07BA84B0F8D36523BE8A2FD09"><enum>(e)</enum><header>Timing of refund</header><text>With respect to any claim for refund filed pursuant to this section, the Secretary shall determine whether the requirements of this section are met not later than 180 days after such claim is filed. If the Secretary determines that the requirements of this section are met, the claim for refund shall be paid not later than 180 days after the Secretary makes such determination.</text> </subsection><subsection id="HEC178B20A0B240FD93479854F4A20389"><enum>(f)</enum><header>Interest</header><text>Any refund paid pursuant to this section shall be paid by the Secretary with interest from the date of overpayment determined by using the overpayment rate and method under <external-xref legal-doc="usc" parsable-cite="usc/26/6621">section 6621</external-xref> of the Internal Revenue Code of 1986.</text> </subsection><subsection id="H6A5450DE112D44F49F47FDF300AA8648"><enum>(g)</enum><header>Denial of double benefit</header><text>The payment under subsection (a) with respect to any coal shall not exceed—</text> <paragraph id="H5FB38647C2F747D3A926DC62C77B2DDE"><enum>(1)</enum><text>in the case of a payment to a coal producer, the amount of tax paid under section 4121 of the Internal Revenue Code of 1986 with respect to such coal by such coal producer or a party related to such coal producer, and</text> </paragraph><paragraph id="H8273BCA1FA0A4D8DBFE232FA2CBF19DB"><enum>(2)</enum><text>in the case of a payment to an exporter, an amount equal to $0.825 per ton with respect to such coal exported by the exporter or caused to be exported by the exporter.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="HEA16E445EA304D16A9329C00DC4569AA"><enum>(h)</enum><header display-inline="yes-display-inline">Application of section</header><text display-inline="yes-display-inline">This section applies only to claims on coal exported or shipped on or after October 1, 1990, through the date of the enactment of this Act.</text> </subsection><subsection id="H8DA6A9CC72AB443092468573F623F262"><enum>(i)</enum><header>Standing not conferred</header> <paragraph id="HE433307A618E442EADBDC25CC8D9BF27"><enum>(1)</enum><header>Exporters</header><text>With respect to exporters, this section shall not confer standing upon an exporter to commence, or intervene in, any judicial or administrative proceeding concerning a claim for refund by a coal producer of any Federal or State tax, fee, or royalty paid by the coal producer.</text> </paragraph><paragraph commented="no" display-inline="no-display-inline" id="HB2449C540D374E26BE25B9F31202AD00"><enum>(2)</enum><header>Coal producers</header><text>With respect to coal producers, this section shall not confer standing upon a coal producer to commence, or intervene in, any judicial or administrative proceeding concerning a claim for refund by an exporter of any Federal or State tax, fee, or royalty paid by the producer and alleged to have been passed on to an exporter.</text> </paragraph></subsection></section><section display-inline="no-display-inline" id="H41C35A4AE9824A46AD282074D6689FC" section-type="subsequent-section"><enum>715.</enum><header>Carbon audit of the tax code</header> <subsection id="H9ADCCE1A59BE4F70A1A13B2000D5DD6D"><enum>(a)</enum><header>Study</header><text display-inline="yes-display-inline">The Secretary of the Treasury shall enter into an agreement with the National Academy of Sciences to undertake a comprehensive review of the Internal Revenue Code of 1986 to identify the types of and specific tax provisions that have the largest effects on carbon and other greenhouse gas emissions and to estimate the magnitude of those effects.</text> </subsection><subsection id="HF6D0C750D60E4B9C8D28AB26E15631DA"><enum>(b)</enum><header>Report</header><text display-inline="yes-display-inline">Not later than 2 years after the date of enactment of this Act, the National Academy of Sciences shall submit to Congress a report containing the results of study authorized under this section.</text> </subsection><subsection id="H029C2BD49DA14E4E85D42FB862DFEC1C"><enum>(c)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated to carry out this section $1,500,000 for the period of fiscal years 2008 and 2009.</text> </subsection></section></part></subtitle><subtitle id="H0450A26AC89047679082B4F5FB66D200"><enum>B</enum><header>Transportation and domestic fuel security provisions</header> <section id="H9523CE1AC3BF4E5B837BF47F529638D3"><enum>721.</enum><header>Inclusion of cellulosic biofuel in bonus depreciation for biomass ethanol plant property</header> <subsection id="HACC0E150A58B4B69ADA43479BE3DE040"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (3) of section 168(l) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HA23BD31FEAD145C0A8D48296C700D1DF" style="OLC"> <paragraph id="HD07D729B5837489BBEB21CEA62E3EEA4"><enum>(3)</enum><header>Cellulosic biofuel</header><text display-inline="yes-display-inline">The term <term>cellulosic biofuel</term> means any liquid fuel which is produced from any lignocellulosic or hemicellulosic matter that is available on a renewable or recurring basis.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HCD3A4B1A56BB4B3E83E635519C928F1"><enum>(b)</enum><header>Conforming amendments</header><text display-inline="yes-display-inline">Subsection (l) of section 168 is amended—</text> <paragraph id="HB6A8B48E119148079890FFFE562100B5"><enum>(1)</enum><text display-inline="yes-display-inline">by striking <quote>cellulosic biomass ethanol</quote> each place it appears and inserting <quote>cellulosic biofuel</quote>,</text> </paragraph><paragraph id="H69DD267D22F2469EA6156B67385D5282"><enum>(2)</enum><text>by striking <quote><header-in-text level="subsection" style="OLC">cellulosic biomass ethanol</header-in-text></quote> in the heading of such subsection and inserting <quote><header-in-text level="subsection" style="OLC">cellulosic biofuel</header-in-text></quote>, and</text> </paragraph><paragraph id="H2D2565AB0AEE4D1D8F86E2CB5B44F4C2"><enum>(3)</enum><text display-inline="yes-display-inline">by striking <quote><header-in-text level="paragraph" style="OLC">cellulosic biomass ethanol</header-in-text></quote> in the heading of paragraph (2) thereof and inserting <quote><header-in-text level="paragraph" style="OLC">cellulosic biofuel</header-in-text></quote>.</text> </paragraph></subsection><subsection id="HC50D5930DBC54DED94991BF418627ED1"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act, in taxable years ending after such date.</text> </subsection></section><section display-inline="no-display-inline" id="H4CD06D34E9774EC28FE7206CEB7DF405" section-type="subsequent-section"><enum>722.</enum><header>Credits for biodiesel and renewable diesel</header> <subsection id="H30ACBD639A28463BAB5DC9004E35F87F"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Sections 40A(g), 6426(c)(6), and 6427(e)(5)(B) are each amended by striking <quote>December 31, 2008</quote> and inserting <quote>December 31, 2009</quote>.</text> </subsection><subsection id="H062FD7372468447D8CD711017787FCDC"><enum>(b)</enum><header>Increase in rate of credit</header> <paragraph id="H32E965A0918B487597F15B094EBF79E2"><enum>(1)</enum><header>Income tax credit</header><text>Paragraphs (1)(A) and (2)(A) of section 40A(b) are each amended by striking <quote>50 cents</quote> and inserting <quote>$1.00</quote>.</text> </paragraph><paragraph id="H76128CF07ED543F7A800EFD09B26D525"><enum>(2)</enum><header>Excise tax credit</header><text>Paragraph (2) of section 6426(c) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H25B83339C1214AB096443C55A070FE68" style="OLC"> <paragraph id="HCE869B123CFF4048A33D5546F8D7EAA"><enum>(2)</enum><header>Applicable amount</header><text display-inline="yes-display-inline">For purposes of this subsection, the applicable amount is $1.00.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H8C0C7F0065BA47C800B332851C8479C9"><enum>(3)</enum><header>Conforming amendments</header> <subparagraph id="HAC7E10ABE72341958D8C29409F1F00B2"><enum>(A)</enum><text display-inline="yes-display-inline">Subsection (b) of section 40A is amended by striking paragraph (3) and by redesignating paragraphs (4) and (5) as paragraphs (3) and (4), respectively.</text> </subparagraph><subparagraph id="H9668382A23BC4D27B707A63610F9A100"><enum>(B)</enum><text>Paragraph (2) of section 40A(f) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H276E92E5F9EA441399A348787961A647" style="OLC"> <paragraph id="HE26002831A614AA99BCB000000D1FC"><enum>(2)</enum><header>Exception</header><text display-inline="yes-display-inline">Subsection (b)(4) shall not apply with respect to renewable diesel.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph><subparagraph id="H7896B706C70F49C28EF2062B328BDF8E"><enum>(C)</enum><text>Paragraphs (2) and (3) of section 40A(e) are each amended by striking <quote>subsection (b)(5)(C)</quote> and inserting <quote>subsection (b)(4)(C)</quote>.</text> </subparagraph><subparagraph id="H2E172D9454B2461B93E73B70EAA1E3BB"><enum>(D)</enum><text>Clause (ii) of section 40A(d)(3)(C) is amended by striking <quote>subsection (b)(5)(B)</quote> and inserting <quote>subsection (b)(4)(B)</quote>.</text> </subparagraph></paragraph></subsection><subsection id="HCAF6AB882ED145D08B28B96B226900D7"><enum>(c)</enum><header>Uniform treatment of diesel produced from biomass</header><text>Paragraph (3) of section 40A(f) is amended—</text> <paragraph id="HE4B5F7ABC36545FD911C6D3E0091006D"><enum>(1)</enum><text>by striking <quote>diesel fuel</quote> and inserting <quote>liquid fuel</quote>,</text> </paragraph><paragraph id="H4D4086DA1BC1418BB4C477E211001500"><enum>(2)</enum><text>by striking <quote>using a thermal depolymerization process</quote>, and</text> </paragraph><paragraph id="H43C5EC80CFC64542ACC67439BA3615D6"><enum>(3)</enum><text>by striking <quote>or D396</quote> in subparagraph (B) and inserting <quote>, D396, or other equivalent standard approved by the Secretary</quote>.</text> </paragraph></subsection><subsection display-inline="no-display-inline" id="HD8A80A8016504D67964896134531B1C3"><enum>(d)</enum><header>Coproduction of renewable diesel with petroleum feedstock</header> <paragraph id="H7F449401831946F79D449899FCC14FE"><enum>(1)</enum><header>In general</header><text>Paragraph (3) of section 40A(f) (defining renewable diesel) is amended by adding at the end the following flush sentence:</text> <quoted-block display-inline="no-display-inline" id="H4DFE3682C15541CBAE2F132D73CE8123" style="OLC"> <quoted-block-continuation-text quoted-block-continuation-text-level="paragraph">Such term does not include any fuel derived from coprocessing biomass with a feedstock which is not biomass. For purposes of this paragraph, the term <term>biomass</term> has the meaning given such term by section 45K(c)(3).</quoted-block-continuation-text><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H410D70F2D77645E1BC16CFA3DEAE2256"><enum>(2)</enum><header>Conforming amendment</header><text>Paragraph (3) of section 40A(f) is amended by striking <quote>(as defined in section 45K(c)(3))</quote>.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H0CFEECBB9FA2455AA73EC9DD9742E18C"><enum>(e)</enum><header>Eligibility of certain aviation fuel</header><text>Paragraph (3) of section 40A(f) (defining renewable diesel) is amended by adding at the end the following: <quote>The term <term>renewable diesel</term> also means fuel derived from biomass which meets the requirements of a Department of Defense specification for military jet fuel or an American Society of Testing and Materials specification for aviation turbine fuel.</quote></text> </subsection><subsection id="HD2FBE7E5DB5B4CE993B7F4592B307BD8"><enum>(f)</enum><header>Effective date</header> <paragraph id="HD9E51C75EF91422ABC9133008481229C"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Except as otherwise provided in this subsection, the amendments made by this section shall apply to fuel produced, and sold or used, after December 31, 2008.</text> </paragraph><paragraph id="H88D0CF8360FA45D8B8F78C190030968F"><enum>(2)</enum><header>Coproduction of renewable diesel with petroleum feedstock</header><text>The amendments made by subsection (c) shall apply to fuel produced, and sold or used, after February 13, 2008.</text> </paragraph></subsection></section><section display-inline="no-display-inline" id="HE83E30D30F9247E6A980CAB9E69426DA" section-type="subsequent-section"><enum>723.</enum><header>Clarification that credits for fuel are designed to provide an incentive for United States production</header> <subsection commented="no" display-inline="no-display-inline" id="H304ED218114F4E329BC7F890A1C16681"><enum>(a)</enum><header>Alcohol fuels credit</header><text>Subsection (d) of section 40 is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H7D13CA4D75B546CAA5DC5DA61FE22D25" style="OLC"> <paragraph commented="no" id="H6A01B15F8C2F4E7895AA7B1E3375E8D2"><enum>(6)</enum><header>Limitation to alcohol with connection to the United States</header><text display-inline="yes-display-inline">No credit shall be determined under this section with respect to any alcohol which is produced outside the United States for use as a fuel outside the United States. For purposes of this paragraph, the term <term>United States</term> includes any possession of the United States.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H36F978FE6BA14A6FA34B36BE432903E4"><enum>(b)</enum><header>Biodiesel fuels credit</header><text>Subsection (d) of section 40A is amended by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="HA713F90F63654E7BB4A804514B215B31" style="OLC"> <paragraph commented="no" id="HF403BD51DCF4485283FEE9355B00E093"><enum>(5)</enum><header>Limitation to biodiesel with connection to the United States</header><text display-inline="yes-display-inline">No credit shall be determined under this section with respect to any biodiesel which is produced outside the United States for use as a fuel outside the United States. For purposes of this paragraph, the term <term>United States</term> includes any possession of the United States.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" display-inline="no-display-inline" id="H50EF0DB973044E429E6EC5C0AA8E3FE0"><enum>(c)</enum><header>Excise tax credit</header> <paragraph id="H2474E3FCD2634B558CCE4C6638AF63E6"><enum>(1)</enum><header>In general</header><text>Section 6426 is amended by adding at the end the following new subsection:</text> <quoted-block display-inline="no-display-inline" id="H520612ADB34743EFB064AF0587B084AE" style="OLC"> <subsection commented="no" id="H88BAF9E4AFB9426EA0A5A771A6D719ED"><enum>(i)</enum><header>Limitation to fuels with connection to the United States</header> <paragraph id="H97C73591E49847FCB0AA335B124DBA27"><enum>(1)</enum><header>Alcohol</header><text display-inline="yes-display-inline">No credit shall be determined under this section with respect to any alcohol which is produced outside the United States for use as a fuel outside the United States.</text> </paragraph><paragraph id="H94FB7C248A7F4CC597B19D52B9938ECA"><enum>(2)</enum><header>Biodiesel and alternative fuels</header><text display-inline="yes-display-inline">No credit shall be determined under this section with respect to any biodiesel or alternative fuel which is produced outside the United States for use as a fuel outside the United States.</text> </paragraph><continuation-text continuation-text-level="subsection">For purposes of this subsection, the term <term>United States</term> includes any possession of the United States.</continuation-text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph commented="no" id="HFB866A1A02B447BE98BCB5B0944E4796"><enum>(2)</enum><header>Conforming amendment</header><text>Subsection (e) of section 6427 is amended by redesignating paragraph (5) as paragraph (6) and by inserting after paragraph (4) the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="HAFB8FCF4F3D44E879117D2F8B9003302" style="OLC"> <paragraph commented="no" id="HFDEBACAD1D694D619D42C5F3A8D7D50"><enum>(5)</enum><header>Limitation to fuels with connection to the United States</header><text>No amount shall be payable under paragraph (1) or (2) with respect to any mixture or alternative fuel if credit is not allowed with respect to such mixture or alternative fuel by reason of section 6426(i).</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection commented="no" id="H7961EDF191BC4CD0A9149F4E4646F17C"><enum>(d)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to claims for credit or payment made on or after May 15, 2008.</text> </subsection></section><section display-inline="no-display-inline" id="H63E9A62AD5684B46AFDD3C92A27132B6" section-type="subsequent-section"><enum>724.</enum><header>Credit for new qualified plug-in electric drive motor vehicles</header> <subsection id="H8FB4BB78582C42BFA03403D006E6730"><enum>(a)</enum><header>In general</header><text>Subpart B of part IV of subchapter A of chapter 1 is amended by adding at the end the following new section:</text> <quoted-block id="H0B835E4580754919A8D9C5D4F01116D"> <section id="H422A03FDAE4344CCA868BAB6FE2C7C6"><enum>30D.</enum><header>New qualified plug-in electric drive motor vehicles</header> <subsection id="HA3EAFEAFD8B648C39309E3FEBC82C15F"><enum>(a)</enum><header>Allowance of credit</header><text>There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the sum of the credit amounts determined under subsection (b) with respect to each new qualified plug-in electric drive motor vehicle placed in service by the taxpayer during the taxable year.</text> </subsection><subsection id="H6FEBB3681F7846F6B2743527E7009C5D"><enum>(b)</enum><header>Per vehicle dollar limitation</header> <paragraph id="HD80F4480EF0D40C0BC1D5984BEA006DD"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The amount determined under this subsection with respect to any new qualified plug-in electric drive motor vehicle is the sum of the amounts determined under paragraphs (2) and (3) with respect to such vehicle.</text> </paragraph><paragraph id="HC58F11A96ED44FBEAFB059DC993B67B8"><enum>(2)</enum><header>Base amount</header><text>The amount determined under this paragraph is $3,000.</text> </paragraph><paragraph id="H91B94369B4E041D895BAB8693E846CD8"><enum>(3)</enum><header>Battery capacity</header><text display-inline="yes-display-inline">In the case of a vehicle which draws propulsion energy from a battery with not less than 5 kilowatt hours of capacity, the amount determined under this paragraph is $200, plus $200 for each kilowatt hour of capacity in excess of 5 kilowatt hours. The amount determined under this paragraph shall not exceed $2,000.</text> </paragraph></subsection><subsection display-inline="no-display-inline" id="HE9449336D07E438DAFC99315CF5E9C60"><enum>(c)</enum><header>Application with other credits</header> <paragraph commented="no" id="H2BEDFD68376F4456BB48C9182784073E"><enum>(1)</enum><header>Business credit treated as part of general business credit</header><text display-inline="yes-display-inline">So much of the credit which would be allowed under subsection (a) for any taxable year (determined without regard to this subsection) that is attributable to property of a character subject to an allowance for depreciation shall be treated as a credit listed in section 38(b) for such taxable year (and not allowed under subsection (a)).</text> </paragraph><paragraph id="H0DF03E5925024E228E4033A1E990A049"><enum>(2)</enum><header>Personal credit</header> <subparagraph id="H12D1EC51726C493DBBFB814985F98925"><enum>(A)</enum><header>In general</header><text>For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable year.</text> </subparagraph><subparagraph id="H4C029A3EAB9640559F2F2C7BF03BAE4D"><enum>(B)</enum><header>Limitation based on amount of tax</header><text>In the case of a taxable year to which section 26(a)(2) does not apply, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall not exceed the excess of—</text> <clause id="H08A19D488BEE4094B6B17E61D45B28FE"><enum>(i)</enum><text>the sum of the regular tax liability (as defined in section 26(b)) plus the tax imposed by section 55, over</text> </clause><clause id="H84F944A8F66B44BCB56C2C52A79B59AD"><enum>(ii)</enum><text>the sum of the credits allowable under subpart A (other than this section and sections 23 and 25D) and section 27 for the taxable year.</text> </clause></subparagraph></paragraph></subsection><subsection display-inline="no-display-inline" id="HD69FD027D4B844CD9320A320C305337"><enum>(d)</enum><header>New qualified plug-In electric drive motor vehicle</header><text>For purposes of this section—</text> <paragraph commented="no" display-inline="no-display-inline" id="HD0F6D1B158134A36BDA7742325D34813"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The term <term>new qualified plug-in electric drive motor vehicle</term> means a motor vehicle (as defined in section 30(c)(2))—</text> <subparagraph id="HC292E16F52F541A79EAA00AF00FB10E4"><enum>(A)</enum><text>the original use of which commences with the taxpayer,</text> </subparagraph><subparagraph id="HE3DE14B1946041C6B6EDECED5CA605AE"><enum>(B)</enum><text>which is acquired for use or lease by the taxpayer and not for resale,</text> </subparagraph><subparagraph id="H8813B04FC698497E868299D6E6049D5F"><enum>(C)</enum><text>which is made by a manufacturer,</text> </subparagraph><subparagraph id="HDC94AAF5155D410EB604F7A4E530E063"><enum>(D)</enum><text display-inline="yes-display-inline">which has a gross vehicle weight rating of less than 14,000 pounds,</text> </subparagraph><subparagraph id="H3F4AE0BCF4454F27A9EC5CCCA1B6165D"><enum>(E)</enum><text display-inline="yes-display-inline">which has received a certificate of conformity under the Clean Air Act and meets or exceeds the Bin 5 Tier II emission standard established in regulations prescribed by the Administrator of the Environmental Protection Agency under section 202(i) of the Clean Air Act for that make and model year vehicle, and</text> </subparagraph><subparagraph id="HBE38E250F5A2404AA916AF895943DAAC"><enum>(F)</enum><text>which is propelled to a significant extent by an electric motor which draws electricity from a battery which—</text> <clause id="H2C7C3083F88049588D003F1D512CF35"><enum>(i)</enum><text>has a capacity of not less than 4 kilowatt hours, and</text> </clause><clause id="H479EF3C3FE06481200B23D87AA005714"><enum>(ii)</enum><text>is capable of being recharged from an external source of electricity.</text> </clause></subparagraph></paragraph><paragraph id="HF33F9DCE56E44B498650333946B4EFE9"><enum>(2)</enum><header>Exception</header><text display-inline="yes-display-inline">The term <term>new qualified plug-in electric drive motor vehicle</term> shall not include any vehicle which is not a passenger automobile or light truck if such vehicle has a gross vehicle weight rating of less than 8,500 pounds.</text> </paragraph><paragraph id="H29B61A662FC741AA87EBB426E457383"><enum>(3)</enum><header>Other terms</header><text display-inline="yes-display-inline">The terms <term>passenger automobile</term>, <term>light truck</term>, and <term>manufacturer</term> have the meanings given such terms in regulations prescribed by the Administrator of the Environmental Protection Agency for purposes of the administration of title II of the Clean Air Act (42 U.S.C. 7521 et seq.).</text> </paragraph><paragraph id="H861514EDB4FB4A7D9B6965A8A329708"><enum>(4)</enum><header>Battery capacity</header><text display-inline="yes-display-inline">The term <term>capacity</term> means, with respect to any battery, the quantity of electricity which the battery is capable of storing, expressed in kilowatt hours, as measured from a 100 percent state of charge to a 0 percent state of charge.</text> </paragraph></subsection><subsection display-inline="no-display-inline" id="HEEA37A6552EF4AC9A12FC364D16BF431"><enum>(e)</enum><header>Limitation on number of new qualified plug-In electric drive motor vehicles eligible for credit</header> <paragraph id="H607DD18EE32948E792605227DBD4BBCA"><enum>(1)</enum><header>In general</header><text>In the case of a new qualified plug-in electric drive motor vehicle sold during the phaseout period, only the applicable percentage of the credit otherwise allowable under subsection (a) shall be allowed.</text> </paragraph><paragraph id="H77D245497F7C4FCB8DF6DBBF3DA51964"><enum>(2)</enum><header>Phaseout period</header><text display-inline="yes-display-inline">For purposes of this subsection, the phaseout period is the period beginning with the second calendar quarter following the calendar quarter which includes the first date on which the number of new qualified plug-in electric drive motor vehicles manufactured by the manufacturer of the vehicle referred to in paragraph (1) sold for use in the United States after the date of the enactment of this section, is at least 60,000.</text> </paragraph><paragraph id="HF28046144DB24F5EB70069A90089A0B2"><enum>(3)</enum><header>Applicable percentage</header><text display-inline="yes-display-inline">For purposes of paragraph (1), the applicable percentage is—</text> <subparagraph id="H033C559FEB974F0DAB5334887BA969BB"><enum>(A)</enum><text>50 percent for the first 2 calendar quarters of the phaseout period,</text> </subparagraph><subparagraph id="HB2C5BC256BF746D5ACB76400173F85BB"><enum>(B)</enum><text>25 percent for the 3d and 4th calendar quarters of the phaseout period, and</text> </subparagraph><subparagraph id="H9562AC10FDED4F4CA4CC531C666611B2"><enum>(C)</enum><text>0 percent for each calendar quarter thereafter.</text> </subparagraph></paragraph><paragraph id="H6C31C5A11A234DAD00FEE794C7E7B04"><enum>(4)</enum><header>Controlled groups</header><text>Rules similar to the rules of section 30B(f)(4) shall apply for purposes of this subsection.</text> </paragraph></subsection><subsection display-inline="no-display-inline" id="H526B139AC2EA4AC8B700ACA96985D93B"><enum>(f)</enum><header>Special rules</header> <paragraph id="HED797A3D1BAB4D0D00D0318BB0525469"><enum>(1)</enum><header>Basis reduction</header><text>The basis of any property for which a credit is allowable under subsection (a) shall be reduced by the amount of such credit (determined without regard to subsection (c)).</text> </paragraph><paragraph id="HD244BE6F7EB14929AF1BF185E06C8D03"><enum>(2)</enum><header>Recapture</header><text>The Secretary shall, by regulations, provide for recapturing the benefit of any credit allowable under subsection (a) with respect to any property which ceases to be property eligible for such credit.</text> </paragraph><paragraph id="H3068BF0E36324249861523016F85F65F"><enum>(3)</enum><header>Property used outside United States, etc., not qualified</header><text>No credit shall be allowed under subsection (a) with respect to any property referred to in section 50(b)(1) or with respect to the portion of the cost of any property taken into account under section 179.</text> </paragraph><paragraph id="HCF7FC332EAFC4E48B5CB0083000068D3"><enum>(4)</enum><header>Election not to take credit</header><text>No credit shall be allowed under subsection (a) for any vehicle if the taxpayer elects to not have this section apply to such vehicle.</text> </paragraph><paragraph id="H99D6D42F477C45A98FED1E744713BFDE"><enum>(5)</enum><header>Property used by tax-exempt entity; interaction with air quality and motor vehicle safety standards</header><text>Rules similar to the rules of paragraphs (6) and (10) of section 30B(h) shall apply for purposes of this section.</text> </paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection display-inline="no-display-inline" id="HA15DE4A0738244FC88B997A5D297BBA7"><enum>(b)</enum><header>Coordination with alternative motor vehicle credit</header><text>Section 30B(d)(3) is amended by adding at the end the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="HD9CDC48BBBF3446EA8DCEDA930FF4515" style="OLC"> <subparagraph id="HDED0D6102DCB435AACC9AF00A3085E3C"><enum>(D)</enum><header>Exclusion of plug-in vehicles</header><text>Any vehicle with respect to which a credit is allowable under section 30D (determined without regard to subsection (c) thereof) shall not be taken into account under this section.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" display-inline="no-display-inline" id="H310EF302577D4C1D90D94FBD3D4829D0"><enum>(c)</enum><header>Credit made part of general business credit</header><text display-inline="yes-display-inline">Section 38(b) is amended—</text> <paragraph id="H405941AC3B3F4214A0AE76AAEC0324D8"><enum>(1)</enum><text>by striking <quote>and</quote> each place it appears at the end of any paragraph,</text> </paragraph><paragraph id="H12DE8436A9E043A4AF671F76C9AFBEB4"><enum>(2)</enum><text>by striking <quote>plus</quote> each place it appears at the end of any paragraph,</text> </paragraph><paragraph id="H9F5BBEDADC064248BC45D9B024018D12"><enum>(3)</enum><text>by striking the period at the end of paragraph (31) and inserting ‘‘, plus’’, and</text> </paragraph><paragraph id="HAE0759F8D1B043CD0035DD2319A7B8E4"><enum>(4)</enum><text>by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H1AE52B8E488441DEA580F2D2B74631EE" style="OLC"> <paragraph commented="no" id="H4993C144FD794BC3B3D3C357B0E69793"><enum>(32)</enum><text display-inline="yes-display-inline">the portion of the new qualified plug-in electric drive motor vehicle credit to which section 30D(c)(1) applies.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection display-inline="no-display-inline" id="H8D535FCC3D71460A9B4600D8F7C88B6"><enum>(d)</enum><header>Conforming amendments</header> <paragraph id="H96D1FE0A8A4E40D09DECB8545DA72675"><enum>(1)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="HF3D15B7249B14F3CBA85EF538433D6D7"><enum>(A)</enum><text>Section 24(b)(3)(B), as amended by section 704, is amended by striking <quote>and 25D</quote> and inserting <quote>25D, and 30D</quote>.</text> </subparagraph><subparagraph id="H3881C87CFEE94B2BB4401046FC6B00F" indent="up1"><enum>(B)</enum><text>Section 25(e)(1)(C)(ii) is amended by inserting <quote>30D,</quote> after <quote>25D,</quote>.</text> </subparagraph><subparagraph id="H6B1840BD82E44847AAA57C4D7B2EFB84" indent="up1"><enum>(C)</enum><text>Section 25B(g)(2), as amended by section 704, is amended by striking <quote>and 25D</quote> and inserting <quote>, 25D, and 30D</quote>.</text> </subparagraph><subparagraph id="HF94234507319406098AAD519B5FCE872" indent="up1"><enum>(D)</enum><text>Section 26(a)(1), as amended by section 704, is amended by striking <quote>and 25D</quote> and inserting <quote>25D, and 30D</quote>.</text> </subparagraph><subparagraph id="HA52814E3A9AA4CB1B38CAF14C130242F" indent="up1"><enum>(E)</enum><text>Section 1400C(d)(2) is amended by striking <quote>and 25D</quote> and inserting <quote>25D, and 30D</quote>.</text> </subparagraph></paragraph><paragraph id="H364D5254C5324002BE37B510C468CB35"><enum>(2)</enum><text>Section 1016(a) is amended by striking <quote>and</quote> at the end of paragraph (35), by striking the period at the end of paragraph (36) and inserting <quote>, and</quote>, and by adding at the end the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="HA12094355D8543BB899034B0F7E0D806" style="OLC"> <paragraph id="H39F42EEDB59D41A08F3D28F1B6CB07CB"><enum>(37)</enum><text>to the extent provided in section 30D(f)(1).</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H95EFC432B02A4D14BC80BD7026403EC"><enum>(3)</enum><text>Section 6501(m) is amended by inserting <quote>30D(f)(4),</quote> after <quote>30C(e)(5),</quote>.</text> </paragraph><paragraph id="H672CDD61234B42D8ADB50FFD42DED36"><enum>(4)</enum><text>The table of sections for subpart B of part IV of subchapter A of chapter 1 is amended by adding at the end the following new item:</text> <quoted-block id="H1F4F4BFB2AE4428100BE494DE7C3D200" style="OLC"> <toc> <toc-entry level="section">Sec. 30D. New qualified plug-in electric drive motor vehicles.</toc-entry> </toc> <after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="HED0AF4EC904D4D418F44C04F5F8EBF5C"><enum>(e)</enum><header>Treatment of alternative motor vehicle credit as a personal credit</header> <paragraph id="HFE54192790D24C30B7C88E1878BBF7AB"><enum>(1)</enum><header>In general</header><text>Paragraph (2) of section 30B(g) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H07B008A97D80415FA5727C5CEFBF947B" style="OLC"> <paragraph id="H395EC1ACCB5C4B07BCAF9985AE54E09F"><enum>(2)</enum><header>Personal credit</header><text display-inline="yes-display-inline">The credit allowed under subsection (a) for any taxable year (after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable year.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H5397960B12804C71871C3101CF65FD58"><enum>(2)</enum><header>Conforming amendments</header> <subparagraph id="H24D6800E0B99476CAF60EE8FECFC231F"><enum>(A)</enum><text display-inline="yes-display-inline">Subparagraph (A) of section 30C(d)(2) is amended by striking <quote>sections 27, 30, and 30B</quote> and inserting <quote>sections 27 and 30</quote>.</text> </subparagraph><subparagraph id="H7895D44BF750477B8F287B27770717B0"><enum>(B)</enum><text>Paragraph (3) of section 55(c) is amended by striking <quote>30B(g)(2),</quote>.</text> </subparagraph></paragraph></subsection><subsection id="HD019C69C429A481691540021DE47D86B"><enum>(f)</enum><header>Effective date</header> <paragraph id="HCC5EB69162E14B8793984D57CB646BED"><enum>(1)</enum><header>In general</header><text>Except as otherwise provided in this subsection, the amendments made by this section shall apply to taxable years beginning after December 31, 2008.</text> </paragraph><paragraph id="H37F8F4225B084ABD9047804D00F93534"><enum>(2)</enum><header>Treatment of alternative motor vehicle credit as personal credit</header><text>The amendments made by subsection (e) shall apply to taxable years beginning after December 31, 2007.</text> </paragraph></subsection><subsection id="HA9EF0E043C9A4AF9BA1011A39E7714FB"><enum>(g)</enum><header>Application of EGTRRA sunset</header><text>The amendment made by subsection (d)(1)(A) shall be subject to title IX of the Economic Growth and Tax Relief Reconciliation Act of 2001 in the same manner as the provision of such Act to which such amendment relates.</text> </subsection></section><section commented="no" display-inline="no-display-inline" id="H2EF27FB7A3E14A50B653B05363265757" section-type="subsequent-section"><enum>725.</enum><header>Exclusion from heavy truck tax for idling reduction units and advanced insulation</header> <subsection commented="no" display-inline="no-display-inline" id="H4A358165718149E6A8F85BC00436D20"><enum>(a)</enum><header>In general</header><text>Section 4053 is amended by adding at the end the following new paragraphs:</text> <quoted-block display-inline="no-display-inline" id="HA361F42B898E46A8A06C84ADE070DBE" style="OLC"> <paragraph commented="no" id="HF79F11DE02E345A28F35643F2B8002F9"><enum>(9)</enum><header>Idling reduction device</header><text>Any device or system of devices which—</text> <subparagraph commented="no" id="H1D1F4781F1C5436797CAA414D696A710"><enum>(A)</enum><text display-inline="yes-display-inline">is designed to provide to a vehicle those services (such as heat, air conditioning, or electricity) that would otherwise require the operation of the main drive engine while the vehicle is temporarily parked or remains stationary using one or more devices affixed to a tractor, and</text> </subparagraph><subparagraph commented="no" id="H4633026721DB48E8ADC87658BA92AF24"><enum>(B)</enum><text>is certified by the Secretary of Energy, in consultation with the Administrator of the Environmental Protection Agency and the Secretary of Transportation, to reduce idling of such vehicle at a motor vehicle rest stop or other location where such vehicles are temporarily parked or remain stationary.</text> </subparagraph></paragraph><paragraph commented="no" id="H0818174B559C459FA9FCD14B007CBBA1"><enum>(10)</enum><header>Advanced insulation</header><text>Any insulation that has an R value of not less than R35 per inch.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" display-inline="no-display-inline" id="HBAC9CED7A8BF4A59ACB846D9CD600046"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to sales or installations after the date of the enactment of this Act.</text> </subsection></section><section display-inline="no-display-inline" id="HAE22475EA46D461AA03B4660EF432E95" section-type="subsequent-section"><enum>726.</enum><header>Restructuring of New York Liberty Zone tax credits</header> <subsection id="H30D3F071604A481F991CB77BF34CEBBC"><enum>(a)</enum><header>In general</header><text>Part I of subchapter Y of chapter 1 is amended by redesignating section 1400L as section 1400K and by adding at the end the following new section:</text> <quoted-block id="H44B250F935EC4B968F00588BE3455C99" style="OLC"> <section id="HB5E2D2AC63A840869F6ED5A44CE0AC26"><enum>1400L.</enum><header>New York Liberty Zone tax credits</header> <subsection id="H572B1651162644D1B84E38BE005FA8AC"><enum>(a)</enum><header>In general</header><text>In the case of a New York Liberty Zone governmental unit, there shall be allowed as a credit against any taxes imposed for any payroll period by section 3402 for which such governmental unit is liable under section 3403 an amount equal to so much of the portion of the qualifying project expenditure amount allocated under subsection (b)(3) to such governmental unit for the calendar year as is allocated by such governmental unit to such period under subsection (b)(4).</text> </subsection><subsection id="HA3E791D4BE4C424CB6F1D5D0642698E6"><enum>(b)</enum><header>Qualifying project expenditure amount</header><text>For purposes of this section—</text> <paragraph id="H6044D4461D104D1294B20000EFA2BAA"><enum>(1)</enum><header>In general</header><text>The term <term>qualifying project expenditure amount</term> means, with respect to any calendar year, the sum of—</text> <subparagraph id="HFD48AE54C17E428BA79240FE00F8EAA3"><enum>(A)</enum><text>the total expenditures paid or incurred during such calendar year by all New York Liberty Zone governmental units and the Port Authority of New York and New Jersey for any portion of qualifying projects located wholly within the City of New York, New York, and</text> </subparagraph><subparagraph id="H9C9F154A3B404BB99876B837ABB2A6D9"><enum>(B)</enum><text>any such expenditures—</text> <clause id="H4B66E20DFC9A45F69F320361ED6C31E5"><enum>(i)</enum><text>paid or incurred in any preceding calendar year which begins after the date of enactment of this section, and</text> </clause><clause id="HE3B5E2C0900441C7871B2BF000D189EC"><enum>(ii)</enum><text>not previously allocated under paragraph (3).</text> </clause></subparagraph></paragraph><paragraph id="H02D592BCB1094D128167F259A8FDB4AC"><enum>(2)</enum><header>Qualifying project</header><text>The term <term>qualifying project</term> means any transportation infrastructure project, including highways, mass transit systems, railroads, airports, ports, and waterways, in or connecting with the New York Liberty Zone (as defined in section 1400K(h)), which is designated as a qualifying project under this section jointly by the Governor of the State of New York and the Mayor of the City of New York, New York.</text> </paragraph><paragraph id="H68E834A927B64A08B1828B51B71FE44E"><enum>(3)</enum><header>General allocation</header> <subparagraph id="HD46B92144306434B82E581B67CAE518"><enum>(A)</enum><header>In general</header><text>The Governor of the State of New York and the Mayor of the City of New York, New York, shall jointly allocate to each New York Liberty Zone governmental unit the portion of the qualifying project expenditure amount which may be taken into account by such governmental unit under subsection (a) for any calendar year in the credit period.</text> </subparagraph><subparagraph id="HE6F78F53722345C3974CE616539354A8"><enum>(B)</enum><header>Aggregate limit</header><text>The aggregate amount which may be allocated under subparagraph (A) for all calendar years in the credit period shall not exceed $2,000,000,000.</text> </subparagraph><subparagraph commented="no" id="H8A02118005DE4F30A0B2A9FF87AEACF"><enum>(C)</enum><header>Annual limit</header><text>The aggregate amount which may be allocated under subparagraph (A) for any calendar year in the credit period shall not exceed the sum of—</text> <clause commented="no" id="H5898716C45444666A0AFE925C344BC6C"><enum>(i)</enum><text>$115,000,000 ($425,000,000 in the case of the last 2 years in the credit period), plus</text> </clause><clause commented="no" id="H22280D684D6C4870B9CC2D0383B1F0E7"><enum>(ii)</enum><text>the aggregate amount authorized to be allocated under this paragraph for all preceding calendar years in the credit period which was not so allocated.</text> </clause></subparagraph><subparagraph id="H953CB9923F3C4EBA918213620287ECA6"><enum>(D)</enum><header>Unallocated amounts at end of credit period</header><text>If, as of the close of the credit period, the amount under subparagraph (B) exceeds the aggregate amount allocated under subparagraph (A) for all calendar years in the credit period, the Governor of the State of New York and the Mayor of the City of New York, New York, may jointly allocate to New York Liberty Zone governmental units for any calendar year in the 5-year period following the credit period an amount equal to—</text> <clause id="H371656CAFC984346A916E15796BFE95E"><enum>(i)</enum><text>the lesser of—</text> <subclause id="H9788AED71FFE45788488D306B16D5D25"><enum>(I)</enum><text>such excess, or</text> </subclause><subclause id="H11BF0870E4144AE992D6FCDAEC30E400"><enum>(II)</enum><text>the qualifying project expenditure amount for such calendar year, reduced by</text> </subclause></clause><clause id="H200C97F5C37C458F9C4CF4A62CC2A7C1"><enum>(ii)</enum><text>the aggregate amount allocated under this subparagraph for all preceding calendar years.</text> </clause></subparagraph></paragraph><paragraph id="H82A2FC07CE7449F5ADC200FE27FF3783"><enum>(4)</enum><header>Allocation to payroll periods</header><text>Each New York Liberty Zone governmental unit which has been allocated a portion of the qualifying project expenditure amount under paragraph (3) for a calendar year may allocate such portion to payroll periods beginning in such calendar year as such governmental unit determines appropriate.</text> </paragraph></subsection><subsection id="HE97E1A65110C43B8B700B459560548E0"><enum>(c)</enum><header>Carryover of unused allocations</header> <paragraph id="H6E87CA817D9640D086DE6707134358EC"><enum>(1)</enum><header>In general</header><text>Except as provided in paragraph (2), if the amount allocated under subsection (b)(3) to a New York Liberty Zone governmental unit for any calendar year exceeds the aggregate taxes imposed by section 3402 for which such governmental unit is liable under section 3403 for periods beginning in such year, such excess shall be carried to the succeeding calendar year and added to the allocation of such governmental unit for such succeeding calendar year.</text> </paragraph><paragraph id="HBDE49D4FE21A4884980050EEC051C577"><enum>(2)</enum><header>Reallocation</header><text>If a New York Liberty Zone governmental unit does not use an amount allocated to it under subsection (b)(3) within the time prescribed by the Governor of the State of New York and the Mayor of the City of New York, New York, then such amount shall after such time be treated for purposes of subsection (b)(3) in the same manner as if it had never been allocated.</text> </paragraph></subsection><subsection id="H884E1E11098342919DA490D3E043E04F"><enum>(d)</enum><header>Definitions and special rules</header><text>For purposes of this section—</text> <paragraph id="H1D00006837AA4D93A58E58F017C757E"><enum>(1)</enum><header>Credit period</header><text>The term <term>credit period</term> means the 12-year period beginning on January 1, 2009.</text> </paragraph><paragraph id="HEFA4CEEF9C3D49AF98AE00278F1B60F5"><enum>(2)</enum><header>New York liberty zone governmental unit</header><text>The term <term>New York Liberty Zone governmental unit</term> means—</text> <subparagraph id="H75FEE3B334C845D7AB81B3BCAF730222"><enum>(A)</enum><text>the State of New York,</text> </subparagraph><subparagraph id="H66543963AB51497D92C684A4385DB0C1"><enum>(B)</enum><text>the City of New York, New York, and</text> </subparagraph><subparagraph id="H7E30355C3B274AE6889DF138737C5890"><enum>(C)</enum><text>any agency or instrumentality of such State or City.</text> </subparagraph></paragraph><paragraph id="HA9B74F8D12444E86BA224523FE452307"><enum>(3)</enum><header>Treatment of funds</header><text>Any expenditure for a qualifying project taken into account for purposes of the credit under this section shall be considered State and local funds for the purpose of any Federal program.</text> </paragraph><paragraph id="H375A581F1E9B4A6700AA187FC0585846"><enum>(4)</enum><header>Treatment of credit amounts for purposes of withholding taxes</header><text>For purposes of this title, a New York Liberty Zone governmental unit shall be treated as having paid to the Secretary, on the day on which wages are paid to employees, an amount equal to the amount of the credit allowed to such entity under subsection (a) with respect to such wages, but only if such governmental unit deducts and withholds wages for such payroll period under section 3401 (relating to wage withholding).</text> </paragraph></subsection><subsection id="HB9229B75C3504DB284D5003097F927F2"><enum>(e)</enum><header>Reporting</header><text>The Governor of the State of New York and the Mayor of the City of New York, New York, shall jointly submit to the Secretary an annual report—</text> <paragraph id="HBC0E99B3A76148C484D71B5169E016C0"><enum>(1)</enum><text>which certifies—</text> <subparagraph id="H82194E89908844798FE4B69C63E66D5"><enum>(A)</enum><text>the qualifying project expenditure amount for the calendar year, and</text> </subparagraph><subparagraph id="H5E9BE2FA269D44D4945DDA06D4D21FA6"><enum>(B)</enum><text>the amount allocated to each New York Liberty Zone governmental unit under subsection (b)(3) for the calendar year, and</text> </subparagraph></paragraph><paragraph id="H1EB7226A4EAC449A86B7D72FEDE4E2D5"><enum>(2)</enum><text>includes such other information as the Secretary may require to carry out this section.</text> </paragraph></subsection><subsection id="H1CB9E377D0404AF09441B7A600CC51B"><enum>(f)</enum><header>Guidance</header><text>The Secretary may prescribe such guidance as may be necessary or appropriate to ensure compliance with the purposes of this section.</text> </subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection commented="no" id="HFC8F47B2D4594B78A76742AFA812B7B4"><enum>(b)</enum><header>Termination of special allowance and expensing</header><text>Subparagraph (A) of section 1400K(b)(2), as redesignated by subsection (a), is amended by striking the parenthetical therein and inserting <quote>(in the case of nonresidential real property and residential rental property, the date of the enactment of the <short-title>Renewable Energy and Job Creation Act of 2008</short-title> or, if acquired pursuant to a binding contract in effect on such enactment date, December 31, 2009)</quote>.</text> </subsection><subsection id="H7103E66794ED435998B07B1253D740EB"><enum>(c)</enum><header>Conforming amendments</header> <paragraph id="H41CF2CBBC0F54CC281B25D355C8CF305"><enum>(1)</enum><text>Section 38(c)(3)(B) is amended by striking <quote>section 1400L(a)</quote> and inserting <quote>section 1400K(a)</quote>.</text> </paragraph><paragraph id="H4DE01409C4DF4BA7BECBCA4DEBE7084"><enum>(2)</enum><text>Section 168(k)(2)(D)(ii) is amended by striking <quote>section 1400L(c)(2)</quote> and inserting <quote>section 1400K(c)(2)</quote>.</text> </paragraph><paragraph id="H17FF205931374428B5444547A182E907"><enum>(3)</enum><text>The table of sections for part I of subchapter Y of chapter 1 is amended by redesignating the item relating to section 1400L as an item relating to section 1400K and by inserting after such item the following new item:</text> <quoted-block display-inline="no-display-inline" id="H425DF79E0E6C4127A6AF15D4F5856773" style="OLC"> <toc regeneration="no-regeneration"> <toc-entry level="section">Sec. 1400L. New York Liberty Zone tax credits.</toc-entry> </toc> <after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection commented="no" id="H274BA438890742E49BEB63C35CD56BB"><enum>(d)</enum><header>Effective date</header><text>The amendments made by this section shall take effect on the date of the enactment of this Act.</text> </subsection></section><section display-inline="no-display-inline" id="H27F500AB3F9E4AE9B189B5831464311F" section-type="subsequent-section"><enum>727.</enum><header>Transportation fringe benefit to bicycle commuters</header> <subsection id="H331AC65EEFE64E6A89C254648FADA3CD"><enum>(a)</enum><header>In general</header><text>Paragraph (1) of section 132(f) is amended by adding at the end the following:</text> <quoted-block id="H982811B1A2784A6F8C3EC6B113260542"> <subparagraph id="H24C9F03B65254D52B738F4EFC9DA195B"><enum>(D)</enum><text>Any qualified bicycle commuting reimbursement.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H38473B854939443DAC41D76F23367082"><enum>(b)</enum><header>Limitation on exclusion</header><text>Paragraph (2) of section 132(f) is amended by striking <quote>and</quote> at the end of subparagraph (A), by striking the period at the end of subparagraph (B) and inserting <quote>, and</quote>, and by adding at the end the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="HD7A4EF66F9F24F87BFC93E96090324A4" style="OLC"> <subparagraph id="H8C248B0822F9427FA81956329FE8EDC9"><enum>(C)</enum><text>the applicable annual limitation in the case of any qualified bicycle commuting reimbursement.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HD2C506AD0845474C8D429F665F25EDEB"><enum>(c)</enum><header>Definitions</header><text>Paragraph (5) of section 132(f) is amended by adding at the end the following:</text> <quoted-block id="H3E4DFBD2E5754402B64FED00D4968FE0"> <subparagraph id="H522DD507E2D44DBD98C4CB63A339BA50"><enum>(F)</enum><header>Definitions related to bicycle commuting reimbursement</header> <clause id="H7726014633DD45FAA1EB007030510040"><enum>(i)</enum><header>Qualified bicycle commuting reimbursement</header><text display-inline="yes-display-inline">The term <term>qualified bicycle commuting reimbursement</term> means, with respect to any calendar year, any employer reimbursement during the 15-month period beginning with the first day of such calendar year for reasonable expenses incurred by the employee during such calendar year for the purchase of a bicycle and bicycle improvements, repair, and storage, if such bicycle is regularly used for travel between the employee’s residence and place of employment.</text> </clause><clause id="HD14824901E3646119375AAFD00E4D5FF"><enum>(ii)</enum><header>Applicable annual limitation</header><text>The term <term>applicable annual limitation</term> means, with respect to any employee for any calendar year, the product of $20 multiplied by the number of qualified bicycle commuting months during such year.</text> </clause><clause id="HCBCAEC144D3A4577886830A38185AC9"><enum>(iii)</enum><header>Qualified bicycle commuting month</header><text>The term <term>qualified bicycle commuting month</term> means, with respect to any employee, any month during which such employee—</text> <subclause id="H18B879B991E544CD9CC15493BABA63D5"><enum>(I)</enum><text display-inline="yes-display-inline">regularly uses the bicycle for a substantial portion of the travel between the employee’s residence and place of employment, and</text> </subclause><subclause id="HF7C8222A1C7A4E5296ABF26179F89F22"><enum>(II)</enum><text display-inline="yes-display-inline">does not receive any benefit described in subparagraph (A), (B), or (C) of paragraph (1).</text> </subclause></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H0CC2AFBEFA8047B191E87C15EDCC7C"><enum>(d)</enum><header>Constructive receipt of benefit</header><text>Paragraph (4) of section 132(f) is amended by inserting <quote>(other than a qualified bicycle commuting reimbursement)</quote> after <quote>qualified transportation fringe</quote>.</text> </subsection><subsection id="H4BB9AAB1581D48E4B3DA7F90B04300C"><enum>(e)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2008.</text> </subsection></section><section display-inline="no-display-inline" id="HE7FA27F6D6CC4B8FB6B8BBED39CE5CB5" section-type="subsequent-section"><enum>728.</enum><header>Alternative fuel vehicle refueling property credit</header> <subsection id="HC43D73B96ABB4736BE4C6E1F6DD43E00"><enum>(a)</enum><header>Increase in credit amount</header><text>Section 30C is amended—</text> <paragraph id="H68DA313D0980475382D608BCB65BB880"><enum>(1)</enum><text>by striking <quote>30 percent</quote> in subsection (a) and inserting <quote>50 percent</quote>, and</text> </paragraph><paragraph id="HBBD7B07BD0244CA8ABEB40161A413C"><enum>(2)</enum><text>by striking <quote>$30,000</quote> in subsection (b)(1) and inserting <quote>$50,000</quote>.</text> </paragraph></subsection><subsection id="H6537A46F0EFC4EA4003F392F8C00EA2C"><enum>(b)</enum><header>Extension of credit</header><text>Paragraph (2) of section 30C(g) is amended by striking <quote>December 31, 2009</quote> and inserting <quote>December 31, 2010</quote>.</text> </subsection><subsection commented="no" display-inline="no-display-inline" id="HD037F9B0BE60453984C05514FF7309C9"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act, in taxable years ending after such date.</text> </subsection></section></subtitle><subtitle id="H4F89840BB82C4512BE41B85DC5C3F64F"><enum>C</enum><header>Energy conservation and efficiency provisions</header> <section id="H648958BD4A3C4E5EA1CCD007F16013B"><enum>731.</enum><header>Qualified energy conservation bonds</header> <subsection id="H59FA1128BDF24140A3491DAC035755F4"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subpart I of part IV of subchapter A of chapter 1, as added by section 706, is amended by adding at the end the following new section:</text> <quoted-block display-inline="no-display-inline" id="HCAFF60A8E1104B84826CD794D1DF85D" style="OLC"> <section display-inline="no-display-inline" id="HA21664E33AC2448283244360F716FC6" section-type="subsequent-section"><enum>54D.</enum><header>Qualified energy conservation bonds</header> <subsection id="HEEEFEB1E8666442489A2800030635E33"><enum>(a)</enum><header>Qualified energy conservation bond</header><text>For purposes of this subchapter, the term <term>qualified energy conservation bond</term> means any bond issued as part of an issue if—</text> <paragraph display-inline="no-display-inline" id="HB06631CE4E2A482A950067B774BB3832"><enum>(1)</enum><text>100 percent of the available project proceeds of such issue are to be used for one or more qualified conservation purposes,</text> </paragraph><paragraph id="H8EC8723FD256439283AEF1071FD5C000"><enum>(2)</enum><text>the bond is issued by a State or local government, and</text> </paragraph><paragraph id="H8F91780B416640B1B969798559BA53A7"><enum>(3)</enum><text>the issuer designates such bond for purposes of this section.</text> </paragraph></subsection><subsection display-inline="no-display-inline" id="H44ED9E9795764809B95BA2DDC95D52"><enum>(b)</enum><header>Reduced credit amount</header><text>The annual credit determined under section 54A(b) with respect to any qualified energy conservation bond shall be 70 percent of the amount so determined without regard to this subsection.</text> </subsection><subsection display-inline="no-display-inline" id="H2F13F6BD531D4E7DA4FA71FDF07600D9"><enum>(c)</enum><header>Limitation on amount of bonds designated</header><text>The maximum aggregate face amount of bonds which may be designated under subsection (a) by any issuer shall not exceed the limitation amount allocated to such issuer under subsection (e).</text> </subsection><subsection id="H651B85BFD20542ED819C785DE7F2BD00"><enum>(d)</enum><header>National limitation on amount of bonds designated</header><text>There is a national qualified energy conservation bond limitation of $3,000,000,000.</text> </subsection><subsection id="HAD173EC75D3E4F6DB13DAF4B74E93191"><enum>(e)</enum><header>Allocations</header> <paragraph id="H74000143D7BE482AB701E341195FA1F2"><enum>(1)</enum><header>In general</header><text>The limitation applicable under subsection (d) shall be allocated by the Secretary among the States in proportion to the population of the States.</text> </paragraph><paragraph id="HF267B4C516E54C55AE88DFAED3E99500"><enum>(2)</enum><header>Allocations to largest local governments</header> <subparagraph id="HD14718AAB1314C6E8B591D233BDBA6B9"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">In the case of any State in which there is a large local government, each such local government shall be allocated a portion of such State’s allocation which bears the same ratio to the State’s allocation (determined without regard to this subparagraph) as the population of such large local government bears to the population of such State.</text> </subparagraph><subparagraph id="H2F253C8632464735972F89D86B64D375"><enum>(B)</enum><header>Allocation of unused limitation to State</header><text>The amount allocated under this subsection to a large local government may be reallocated by such local government to the State in which such local government is located.</text> </subparagraph><subparagraph id="H520910E33F404D20A8EB05BBAD71D3D"><enum>(C)</enum><header>Large local government</header><text>For purposes of this section, the term <term>large local government</term> means any municipality or county if such municipality or county has a population of 100,000 or more.</text> </subparagraph></paragraph><paragraph id="HBBB266C0032E4301A300621F461179C7"><enum>(3)</enum><header>Allocation to issuers; restriction on private activity bonds</header><text>Any allocation under this subsection to a State or large local government shall be allocated by such State or large local government to issuers within the State in a manner that results in not less than 70 percent of the allocation to such State or large local government being used to designate bonds which are not private activity bonds.</text> </paragraph></subsection><subsection id="H75F0D07512EA4FDA84EA9B290000BA41"><enum>(f)</enum><header>Qualified conservation purpose</header><text>For purposes of this section—</text> <paragraph id="H5AC6C87AA0C44120983EEE6DD9815EAC"><enum>(1)</enum><header>In general</header><text>The term <term>qualified conservation purpose</term> means any of the following:</text> <subparagraph id="H1FA77A853C824E058E8B84DEAE5CD200"><enum>(A)</enum><text display-inline="yes-display-inline">Capital expenditures incurred for purposes of—</text> <clause id="H1ABD664981494269B76078DD21CC00BE"><enum>(i)</enum><text>reducing energy consumption in publicly-owned buildings by at least 20 percent,</text> </clause><clause id="H5ADF3C8538764EDB8C3D04C8016CB6B4"><enum>(ii)</enum><text>implementing green community programs,</text> </clause><clause id="H8C92636467FE448493A2FD7356ED67CD"><enum>(iii)</enum><text>rural development involving the production of electricity from renewable energy resources, or</text> </clause><clause id="HD373D69F38BA4C88AD75BDBE300741A"><enum>(iv)</enum><text>any qualified facility (as determined under section 45(d) without regard to paragraphs (8) and (10) thereof and without regard to any placed in service date).</text> </clause></subparagraph><subparagraph id="HBB2029262BA041E88B10E12F15D88312"><enum>(B)</enum><text>Expenditures with respect to research facilities, and research grants, to support research in—</text> <clause id="H4896CE642B5647B6BDD93D939CA93DB8"><enum>(i)</enum><text>development of cellulosic ethanol or other nonfossil fuels,</text> </clause><clause id="HFF5DD5D90E014A8E882FD83DBF08CDC2"><enum>(ii)</enum><text>technologies for the capture and sequestration of carbon dioxide produced through the use of fossil fuels,</text> </clause><clause id="H20496DADA9924F13BC09B82CBDD91B20"><enum>(iii)</enum><text>increasing the efficiency of existing technologies for producing nonfossil fuels,</text> </clause><clause id="H9BFE2C0ACC554399934824210054CB9B"><enum>(iv)</enum><text>automobile battery technologies and other technologies to reduce fossil fuel consumption in transportation, or</text> </clause><clause id="HD7A6FFB89B4B44EA857EEC0007BC4F94"><enum>(v)</enum><text>technologies to reduce energy use in buildings.</text> </clause></subparagraph><subparagraph id="H2EA6871DD8AF4A2C9D351DEE71ABCE9F"><enum>(C)</enum><text>Mass commuting facilities and related facilities that reduce the consumption of energy, including expenditures to reduce pollution from vehicles used for mass commuting.</text> </subparagraph><subparagraph id="H8A90185C3C2E41C0BDE5926E6553E41"><enum>(D)</enum><text>Demonstration projects designed to promote the commercialization of—</text> <clause id="H9DCC57556B484F9DB28BDEF2898310B"><enum>(i)</enum><text>green building technology,</text> </clause><clause id="H0872EEA2860B410C9238BAF3654FCC74"><enum>(ii)</enum><text>conversion of agricultural waste for use in the production of fuel or otherwise,</text> </clause><clause id="H93BF23765D4D4B79A98E565CDDEC81D1"><enum>(iii)</enum><text>advanced battery manufacturing technologies,</text> </clause><clause id="H393536794EE0483D8892356B723959AA"><enum>(iv)</enum><text>technologies to reduce peak use of electricity, or</text> </clause><clause id="H21F8EBD29D4144AC9C9B06F39A47DEC"><enum>(v)</enum><text>technologies for the capture and sequestration of carbon dioxide emitted from combusting fossil fuels in order to produce electricity.</text> </clause></subparagraph><subparagraph id="H9505297C3F774F24BD00FD84C82EE3CC"><enum>(E)</enum><text>Public education campaigns to promote energy efficiency.</text> </subparagraph></paragraph><paragraph id="H21F97575B6E5444E9E30376F784D9E00"><enum>(2)</enum><header>Special rules for private activity bonds</header><text>For purposes of this section, in the case of any private activity bond, the term <term>qualified conservation purposes</term> shall not include any expenditure which is not a capital expenditure.</text> </paragraph></subsection><subsection id="H02B65B9BA90945B0BB2F6D0205F63627"><enum>(g)</enum><header>Population</header> <paragraph id="H2F67B3FCF96F49BB8600017453DB8719"><enum>(1)</enum><header>In general</header><text>The population of any State or local government shall be determined for purposes of this section as provided in section 146(j) for the calendar year which includes the date of the enactment of this section.</text> </paragraph><paragraph id="H259B79D4A1D541A3BD7629CD34C74301"><enum>(2)</enum><header>Special rule for counties</header><text>In determining the population of any county for purposes of this section, any population of such county which is taken into account in determining the population of any municipality which is a large local government shall not be taken into account in determining the population of such county.</text> </paragraph></subsection><subsection display-inline="no-display-inline" id="HB7EF09F175CE472DB363FA8EFB97CD5"><enum>(h)</enum><header>Application to Indian tribal governments</header><text>An Indian tribal government shall be treated for purposes of this section in the same manner as a large local government, except that—</text> <paragraph id="H03AB35FBBCB5432B820207BC78A361C6"><enum>(1)</enum><text>an Indian tribal government shall be treated for purposes of subsection (e) as located within a State to the extent of so much of the population of such government as resides within such State, and</text> </paragraph><paragraph id="H2A56717EFE8C44BBA4A6A558ECFF24D"><enum>(2)</enum><text>any bond issued by an Indian tribal government shall be treated as a qualified energy conservation bond only if issued as part of an issue the available project proceeds of which are used for purposes for which such Indian tribal government could issue bonds to which section 103(a) applies.</text> </paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HCE2A3D8F570A45FFA77685D008D3BF9"><enum>(b)</enum><header>Conforming amendments</header> <paragraph id="H72F85D886D9E47A3B36257F71333C00"><enum>(1)</enum><text>Paragraph (1) of section 54A(d), as added by section 706, is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HA2FF794FD2834451A500A986102882B2" style="OLC"> <paragraph commented="no" id="H00E479DED55147F5BCAC0853DC96E76F"><enum>(1)</enum><header>Qualified tax credit bond</header><text>The term <term>qualified tax credit bond</term> means—</text> <subparagraph id="H25A3FE6A22C94B01A9FC6CDFDBF44F61"><enum>(A)</enum><text display-inline="yes-display-inline">a qualified forestry conservation bond,</text> </subparagraph><subparagraph id="H2151122E0B4445C2815D33B89315F903"><enum>(B)</enum><text>a new clean renewable energy bond, or</text> </subparagraph><subparagraph id="HAA435637D5274AA0B8DF0076A71E2313"><enum>(C)</enum><text>a qualified energy conservation bond,</text> </subparagraph><continuation-text continuation-text-level="paragraph">which is part of an issue that meets requirements of paragraphs (2), (3), (4), (5), and (6).</continuation-text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H3DB382ED051A459FA1BF3C37D4C18008"><enum>(2)</enum><text>Subparagraph (C) of section 54A(d)(2), as added by section 706, is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HCF2F193BFFBE4663995090D116FC6164" style="OLC"> <subparagraph commented="no" id="HECE96D644FD349E8AA370197CDC035AF"><enum>(C)</enum><header>Qualified purpose</header><text>For purposes of this paragraph, the term <term>qualified purpose</term> means—</text> <clause display-inline="no-display-inline" id="H262CD2CA54A24B53B3203F043CF4F70"><enum>(i)</enum><text>in the case of a qualified forestry conservation bond, a purpose specified in section 54B(e),</text> </clause><clause id="HACC9BF3400A7462CAB82594B173BEA31"><enum>(ii)</enum><text>in the case of a new clean renewable energy bond, a purpose specified in section 54C(a)(1), and</text> </clause><clause id="H2DA3CFC32867429E931990975D342DCA"><enum>(iii)</enum><text>in the case of a qualified energy conservation bond, a purpose specified in section 54D(a)(1).</text> </clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="HFF10DCBEC5394B38AD5DD3725CB42FAA"><enum>(3)</enum><text display-inline="yes-display-inline">The table of sections for subpart I of part IV of subchapter A of chapter 1 is amended by adding at the end the following new item:</text> <quoted-block display-inline="no-display-inline" id="H9148DB0F3D8E46559BE717FF8726E34" style="OLC"> <toc container-level="quoted-block-container" idref="HCAFF60A8E1104B84826CD794D1DF85D" lowest-bolded-level="division-lowest-bolded" lowest-level="section" quoted-block="no-quoted-block" regeneration="yes-regeneration"> <toc-entry idref="HA21664E33AC2448283244360F716FC6" level="section">Sec. 54D. Qualified energy conservation bonds.</toc-entry> </toc> <after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="HF8553E2D8EBE487E959F8453D3C1FA65"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to obligations issued after the date of the enactment of this Act.</text> </subsection></section><section display-inline="no-display-inline" id="H50E087EAC37F4B88A808A055808B43D6" section-type="subsequent-section"><enum>732.</enum><header>Credit for nonbusiness energy property</header> <subsection commented="no" id="HE65B4EE63380423F9CB100468B789289"><enum>(a)</enum><header>Extension of credit</header><text display-inline="yes-display-inline">Section 25C(g) is amended by striking <quote>December 31, 2007</quote> and inserting <quote>December 31, 2008</quote>.</text> </subsection><subsection commented="no" id="HECD9F24E194247E3AA330510A8AB9C2E"><enum>(b)</enum><header>Qualified biomass fuel property</header> <paragraph commented="no" id="H85E8188C119147E7829093922E31B521"><enum>(1)</enum><header>In general</header><text>Section 25C(d)(3) is amended—</text> <subparagraph commented="no" id="HB64CBD14598D48DEB42DFA26B3007F89"><enum>(A)</enum><text>by striking <quote>and</quote> at the end of subparagraph (D),</text> </subparagraph><subparagraph commented="no" id="HBADE5D00974C413D007976998378F068"><enum>(B)</enum><text>by striking the period at the end of subparagraph (E) and inserting <quote>, and</quote>, and</text> </subparagraph><subparagraph commented="no" id="H9D4F767C54964C0D9C2C3BC2D22C6838"><enum>(C)</enum><text>by adding at the end the following new subparagraph:</text> <quoted-block act-name="" id="HD2D21AD062E1452A92289660FE1286F3" style="OLC"> <subparagraph commented="no" id="HDD19C8AA45214E0CAE4618B4C3AA800"><enum>(F)</enum><text>a stove which uses the burning of biomass fuel to heat a dwelling unit located in the United States and used as a residence by the taxpayer, or to heat water for use in such a dwelling unit, and which has a thermal efficiency rating of at least 75 percent.</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph></paragraph><paragraph commented="no" id="H0A2B620074A04470BA12E3FF490135F4"><enum>(2)</enum><header>Biomass fuel</header><text>Section 25C(d) is amended by adding at the end the following new paragraph:</text> <quoted-block act-name="" id="HCCD6E004F534451EB3661DBFB9C2D8A3" style="OLC"> <paragraph commented="no" id="H3976E5E1691D438E941F789F4E756269"><enum>(6)</enum><header>Biomass fuel</header><text>The term <term>biomass fuel</term> means any plant-derived fuel available on a renewable or recurring basis, including agricultural crops and trees, wood and wood waste and residues (including wood pellets), plants (including aquatic plants), grasses, residues, and fibers.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="H48380B9B955649D8956F28E29063F2EE"><enum>(c)</enum><header>Coordination with credit for qualified geothermal heat Pump property expenditures</header> <paragraph id="HC15A34BA43D847C6ABFC52A32F77E3DC"><enum>(1)</enum><header>In general</header><text>Paragraph (3) of section 25C(d), as amended by subsection (b), is amended by striking subparagraph (C) and by redesignating subparagraphs (D), (E), and (F) as subparagraphs (C), (D), and (E), respectively.</text> </paragraph><paragraph id="HBE33338AA7774E14817109B2DB4E44C0"><enum>(2)</enum><header>Conforming amendment</header><text>Subparagraph (C) of section 25C(d)(2) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H600D2F4CF5C74F94BFF95D72DE7840AA" style="OLC"> <subparagraph id="H15FA286B933B438B9624CFE9FBDE019F"><enum>(C)</enum><header>Requirements and standards for air conditioners and heat pumps</header><text display-inline="yes-display-inline">The standards and requirements prescribed by the Secretary under subparagraph (B) with respect to the energy efficiency ratio (EER) for central air conditioners and electric heat pumps—</text> <clause id="HF6D0BDDDC7154A6697B2071C40B966EE"><enum>(i)</enum><text>shall require measurements to be based on published data which is tested by manufacturers at 95 degrees Fahrenheit, and</text> </clause><clause id="H1E9E3A212C3842A58B9B2342159C4CF5"><enum>(ii)</enum><text>may be based on the certified data of the Air Conditioning and Refrigeration Institute that are prepared in partnership with the Consortium for Energy Efficiency.</text> </clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="HF1D175F403ED4E2DA78BC727C9E7FF8C"><enum>(d)</enum><header>Effective date</header><text>The amendments made this section shall apply to expenditures made after December 31, 2007.</text> </subsection></section><section display-inline="no-display-inline" id="HCC314BD18BFE432EB9AEE70036A2FC31" section-type="subsequent-section"><enum>733.</enum><header>Energy efficient commercial buildings deduction</header><text display-inline="no-display-inline">Subsection (h) of section 179D is amended by striking <quote>December 31, 2008</quote> and inserting <quote>December 31, 2013</quote>.</text> </section><section display-inline="no-display-inline" id="HABE13C24547346DDBD487911F700D9C" section-type="subsequent-section"><enum>734.</enum><header>Modifications of energy efficient appliance credit for appliances produced after 2007</header> <subsection id="H7214CEF37FD04ABD9DA8C64F43B7AD07"><enum>(a)</enum><header>In general</header><text>Subsection (b) of section 45M is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HF6D0A5A5397E40FCB7E214B564D1D56" style="OLC"> <subsection id="HFA5B67F36D0F4B7E8E2DA75288B97493"><enum>(b)</enum><header>Applicable amount</header><text>For purposes of subsection (a)—</text> <paragraph id="HABF0E9B42CD74C4893071C12FC99B9C9"><enum>(1)</enum><header>Dishwashers</header><text>The applicable amount is—</text> <subparagraph id="HD1FB928F2C584ED6BB481E00C1F1F125"><enum>(A)</enum><text>$45 in the case of a dishwasher which is manufactured in calendar year 2008 or 2009 and which uses no more than 324 kilowatt hours per year and 5.8 gallons per cycle, and</text> </subparagraph><subparagraph id="HF6F83ADBDCE9441081279607D22690B4"><enum>(B)</enum><text>$75 in the case of a dishwasher which is manufactured in calendar year 2008, 2009, or 2010 and which uses no more than 307 kilowatt hours per year and 5.0 gallons per cycle (5.5 gallons per cycle for dishwashers designed for greater than 12 place settings).</text> </subparagraph></paragraph><paragraph id="H2BFCBD89C9154C8FA5938F327DDF3C47"><enum>(2)</enum><header>Clothes washers</header><text>The applicable amount is—</text> <subparagraph id="H2260534C77574923BA96F31C833613EC"><enum>(A)</enum><text>$75 in the case of a residential top-loading clothes washer manufactured in calendar year 2008 which meets or exceeds a 1.72 modified energy factor and does not exceed a 8.0 water consumption factor,</text> </subparagraph><subparagraph id="H5AA02B1855F64089B70000E6EFF611C1"><enum>(B)</enum><text>$125 in the case of a residential top-loading clothes washer manufactured in calendar year 2008 or 2009 which meets or exceeds a 1.8 modified energy factor and does not exceed a 7.5 water consumption factor,</text> </subparagraph><subparagraph id="H4EF7A502C1D84CCAA02D550032AA82E9"><enum>(C)</enum><text>$150 in the case of a residential or commercial clothes washer manufactured in calendar year 2008, 2009, or 2010 which meets or exceeds 2.0 modified energy factor and does not exceed a 6.0 water consumption factor, and</text> </subparagraph><subparagraph id="H8B66C336DE2547508497E17C2D3327B5"><enum>(D)</enum><text>$250 in the case of a residential or commercial clothes washer manufactured in calendar year 2008, 2009, or 2010 which meets or exceeds 2.2 modified energy factor and does not exceed a 4.5 water consumption factor.</text> </subparagraph></paragraph><paragraph id="HBEDCE8CD77A04A0AAF43C934022F306F"><enum>(3)</enum><header>Refrigerators</header><text>The applicable amount is—</text> <subparagraph id="H59A58377F1204424AB958064AA6C75F3"><enum>(A)</enum><text>$50 in the case of a refrigerator which is manufactured in calendar year 2008, and consumes at least 20 percent but not more than 22.9 percent less kilowatt hours per year than the 2001 energy conservation standards,</text> </subparagraph><subparagraph id="H482F685B4BF949C2B8FD4FCCBEA82DA3"><enum>(B)</enum><text>$75 in the case of a refrigerator which is manufactured in calendar year 2008 or 2009, and consumes at least 23 percent but no more than 24.9 percent less kilowatt hours per year than the 2001 energy conservation standards,</text> </subparagraph><subparagraph id="H20171DEA92F640CC837DAE8881285535"><enum>(C)</enum><text>$100 in the case of a refrigerator which is manufactured in calendar year 2008, 2009, or 2010, and consumes at least 25 percent but not more than 29.9 percent less kilowatt hours per year than the 2001 energy conservation standards, and</text> </subparagraph><subparagraph id="HD74E09E93FB8482000CA01B2DA50896B"><enum>(D)</enum><text>$200 in the case of a refrigerator manufactured in calendar year 2008, 2009, or 2010 and which consumes at least 30 percent less energy than the 2001 energy conservation standards.</text> </subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H0BBF177956CC4639978061BA10007FE4"><enum>(b)</enum><header>Eligible production</header> <paragraph id="HDB067070E600470FA6966CB567EAC00"><enum>(1)</enum><header>Similar treatment for all appliances</header><text>Subsection (c) of section 45M is amended—</text> <subparagraph id="HC83173E5CF734A0B91CF06BFF6E17E82"><enum>(A)</enum><text>by striking paragraph (2),</text> </subparagraph><subparagraph id="H8F232703AF7B42B9B5F5E04FB7636CF"><enum>(B)</enum><text>by striking <quote>(1) <header-in-text level="paragraph" style="OLC">In general</header-in-text></quote> and all that follows through <quote>the eligible</quote> and inserting <quote>The eligible</quote>,</text> </subparagraph><subparagraph id="H59265F05CED242E98429169DDB114ECC"><enum>(C)</enum><text>by moving the text of such subsection in line with the subsection heading, and</text> </subparagraph><subparagraph id="H4B22B0D4ED324F99A609513D197290D8"><enum>(D)</enum><text>by redesignating subparagraphs (A) and (B) as paragraphs (1) and (2), respectively, and by moving such paragraphs 2 ems to the left.</text> </subparagraph></paragraph><paragraph id="H907AF6B1C44B459EA53D81DFA3DA1"><enum>(2)</enum><header>Modification of base period</header><text>Paragraph (2) of section 45M(c), as amended by paragraph (1), is amended by striking <quote>3-calendar year</quote> and inserting <quote>2-calendar year</quote>.</text> </paragraph></subsection><subsection id="H688773BC9DA6459D9DFD8F67968E5CE7"><enum>(c)</enum><header>Types of energy efficient appliances</header><text>Subsection (d) of section 45M (defining types of energy efficient appliances) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HF80662D8FB604C2598AB12A15E5EBFF2" style="OLC"> <subsection id="H3DA7A29C40BF45C995AC5DFCF313E04"><enum>(d)</enum><header>Types of energy efficient appliance</header><text display-inline="yes-display-inline">For purposes of this section, the types of energy efficient appliances are—</text> <paragraph id="HCB2A1761EB05481989A687A1C76517BA"><enum>(1)</enum><text>dishwashers described in subsection (b)(1),</text> </paragraph><paragraph id="H53D03D3D988D4E379F09DE3E56132444"><enum>(2)</enum><text>clothes washers described in subsection (b)(2), and</text> </paragraph><paragraph id="H5F09589730B743DAB6634BAF23A7D8DB"><enum>(3)</enum><text>refrigerators described in subsection (b)(3).</text> </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H300933B86BFD4C3F00D4B9E14CDC8B03"><enum>(d)</enum><header>Aggregate credit amount allowed</header> <paragraph id="H1B465C9211DF42D08BA3B17B3E001DE1"><enum>(1)</enum><header>Increase in limit</header><text>Paragraph (1) of section 45M(e) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="H78E3B1C37B5049A2911F0053A7DDB22F" style="OLC"> <paragraph id="H8792E912C6A64C0AB447170464912C9C"><enum>(1)</enum><header>Aggregate credit amount allowed</header><text display-inline="yes-display-inline">The aggregate amount of credit allowed under subsection (a) with respect to a taxpayer for any taxable year shall not exceed $75,000,000 reduced by the amount of the credit allowed under subsection (a) to the taxpayer (or any predecessor) for all prior taxable years beginning after December 31, 2007.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H95B4701BD71C447DB932793853DFF6AD"><enum>(2)</enum><header>Exception for certain refrigerator and clothes washers</header><text>Paragraph (2) of section 45M(e) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HB2A76C5DD09E45AFAFE2C30005D20038" style="OLC"> <paragraph id="HBB89594C3D834B87A08317F01F301C65"><enum>(2)</enum><header>Amount allowed for certain refrigerators and clothes washers</header><text display-inline="yes-display-inline">Refrigerators described in subsection (b)(3)(D) and clothes washers described in subsection (b)(2)(D) shall not be taken into account under paragraph (1).</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="H6F9DF243E4B8464EBABABFE5D86D1B72"><enum>(e)</enum><header>Qualified energy efficient appliances</header> <paragraph id="H2D27830CA43D42568F42AC7278A811BC"><enum>(1)</enum><header>In general</header><text>Paragraph (1) of section 45M(f) (defining qualified energy efficient appliance) is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HE870F6B64C01404BA507E77D6D6D4717" style="OLC"> <paragraph id="HEC08353C43854DBAAFB6984101294DDA"><enum>(1)</enum><header>Qualified energy efficient appliance</header><text display-inline="yes-display-inline">The term <term>qualified energy efficient appliance</term> means—</text> <subparagraph id="H20CA50D483CD4E8D99D125E3621BF9FA"><enum>(A)</enum><text display-inline="yes-display-inline">any dishwasher described in subsection (b)(1),</text> </subparagraph><subparagraph id="H6278F0CF5E4C429193D7BA798EDE813"><enum>(B)</enum><text>any clothes washer described in subsection (b)(2), and</text> </subparagraph><subparagraph id="HE97EABC0E04B42859663004EC1258E1C"><enum>(C)</enum><text>any refrigerator described in subsection (b)(3).</text> </subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="HD6779F5E9130493B82E5163517CAA9BA"><enum>(2)</enum><header>Clothes washer</header><text>Section 45M(f)(3) is amended by inserting <quote>commercial</quote> before <quote>residential</quote> the second place it appears.</text> </paragraph><paragraph id="H1934FCCD221B4C1AB792102EA11B39B3"><enum>(3)</enum><header>Top-loading clothes washer</header><text>Subsection (f) of section 45M is amended by redesignating paragraphs (4), (5), (6), and (7) as paragraphs (5), (6), (7), and (8), respectively, and by inserting after paragraph (3) the following new paragraph:</text> <quoted-block display-inline="no-display-inline" id="H0FED175B50D340B3A37F6968D9D22C6" style="OLC"> <paragraph id="H6DDA71BC1A7141B2B00699B99DCB3102"><enum>(4)</enum><header>Top-loading clothes washer</header><text display-inline="yes-display-inline">The term <quote>top-loading clothes washer</quote> means a clothes washer which has the clothes container compartment access located on the top of the machine and which operates on a vertical axis.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="HD1E826B47DB04B36AD64FF169DE894E6"><enum>(4)</enum><header>Replacement of energy factor</header><text>Section 45M(f)(6), as redesignated by paragraph (3), is amended to read as follows:</text> <quoted-block display-inline="no-display-inline" id="HE8868ACF581A4967AAFD5651AE81D769" style="OLC"> <paragraph id="HC94C11FEB0A04C2DA4764BBD6223E67C"><enum>(6)</enum><header>Modified energy factor</header><text display-inline="yes-display-inline">The term <term>modified energy factor</term> means the modified energy factor established by the Department of Energy for compliance with the Federal energy conservation standard.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph><paragraph id="H4C445366FFFF4BB08665002EF95D3BA7"><enum>(5)</enum><header>Gallons per cycle; water consumption factor</header><text>Section 45M(f), as amended by paragraph (3), is amended by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="H9584D44586AF416588CE45FFAC137FB6" style="OLC"> <paragraph id="HF4C7610C2EE54DE8A0A7EA2193E47A4"><enum>(9)</enum><header>Gallons per cycle</header><text display-inline="yes-display-inline">The term <term>gallons per cycle</term> means, with respect to a dishwasher, the amount of water, expressed in gallons, required to complete a normal cycle of a dishwasher.</text> </paragraph><paragraph id="HFC4E54A6288D46C7AE194C3B6859C9E"><enum>(10)</enum><header>Water consumption factor</header><text display-inline="yes-display-inline">The term <term>water consumption factor</term> means, with respect to a clothes washer, the quotient of the total weighted per-cycle water consumption divided by the cubic foot (or liter) capacity of the clothes washer.</text> </paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection><subsection id="H51A56CCEDF2246F7AF4C40228DFB3A3"><enum>(f)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to appliances produced after December 31, 2007.</text> </subsection></section><section display-inline="no-display-inline" id="HA4B59B78F68846D0821671D291B6D587" section-type="subsequent-section"><enum>735.</enum><header>Accelerated recovery period for depreciation of smart meters and smart grid systems</header> <subsection id="H8D4837BD03B4425985257B933E9C87BA"><enum>(a)</enum><header>In general</header><text>Section 168(e)(3)(D) is amended by striking <quote>and</quote> at the end of clause (i), by striking the period at the end of clause (ii) and inserting a comma, and by inserting after clause (ii) the following new clauses:</text> <quoted-block id="H3AA2F2C0C8694BB8AAB19DD97A00042" style="OLC"> <clause id="H861FB13B85BA4805ADA4A3922100AF47"><enum>(iii)</enum><text>any qualified smart electric meter, and</text> </clause><clause id="H3E4B82412629496199A3FE952524E22"><enum>(iv)</enum><text>any qualified smart electric grid system.</text> </clause><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="HAD2C1AC0EFE645BBA7165D1205136F8B"><enum>(b)</enum><header>Definitions</header><text>Section 168(i) is amended by inserting at the end the following new paragraph:</text> <quoted-block id="HE961A7EC0B2C4C898B2384056D900000" style="OLC"> <paragraph display-inline="no-display-inline" id="HA6DEE3D0F7A84635B53BF4A2DEDB9325"><enum>(18)</enum><header>Qualified smart electric meters</header> <subparagraph id="HF1DB20A80FEF4DE180BF008B65042399"><enum>(A)</enum><header>In general</header><text>The term <term>qualified smart electric meter</term> means any smart electric meter which is placed in service by a taxpayer who is a supplier of electric energy or a provider of electric energy services.</text> </subparagraph><subparagraph id="H5D09921079614D73B011B18B73815EC"><enum>(B)</enum><header>Smart electric meter</header><text>For purposes of subparagraph (A), the term <term>smart electric meter</term> means any time-based meter and related communication equipment which is capable of being used by the taxpayer as part of a system that—</text> <clause id="HF04D239B775A477EB42D4C18BD5B00A"><enum>(i)</enum><text>measures and records electricity usage data on a time-differentiated basis in at least 24 separate time segments per day,</text> </clause><clause id="H31F7D86AF285466BB3BAFACDBFF2A5C5"><enum>(ii)</enum><text>provides for the exchange of information between supplier or provider and the customer’s electric meter in support of time-based rates or other forms of demand response,</text> </clause><clause id="H4B1CAB9ECE0740AEA6B999E784842268"><enum>(iii)</enum><text>provides data to such supplier or provider so that the supplier or provider can provide energy usage information to customers electronically, and</text> </clause><clause id="H1D7CB059E28043C3B62928E159E34857"><enum>(iv)</enum><text>provides net metering.</text> </clause></subparagraph></paragraph><paragraph id="H82A09940588845989B086F00E2AC34F1"><enum>(19)</enum><header>Qualified smart electric grid systems</header> <subparagraph id="H63DF356A00224A939E40F5134FBB49AB"><enum>(A)</enum><header>In general</header><text>The term <quote>qualified smart electric grid system</quote> means any smart grid property used as part of a system for electric distribution grid communications, monitoring, and management placed in service by a taxpayer who is a supplier of electric energy or a provider of electric energy services.</text> </subparagraph><subparagraph id="H58C39B1F316F404CB2A8EE87D026D828"><enum>(B)</enum><header>Smart grid property</header><text>For the purposes of subparagraph (A), the term <quote>smart grid property</quote> means electronics and related equipment that is capable of—</text> <clause id="H3689D359D0DA4D768C68DF77ACD8E43F"><enum>(i)</enum><text>sensing, collecting, and monitoring data of or from all portions of a utility’s electric distribution grid,</text> </clause><clause id="H3244313603EC4AADA818CEAB5C59B88D"><enum>(ii)</enum><text>providing real-time, two-way communications to monitor or manage such grid, and</text> </clause><clause id="H207ADF307D0249D1BC6D48EC07BC9392"><enum>(iii)</enum><text>providing real time analysis of and event prediction based upon collected data that can be used to improve electric distribution system reliability, quality, and performance.</text> </clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H8D885CB0227E4EE7A6EFC4D294EB6C2"><enum>(c)</enum><header>Continued application of 150 percent declining balance method</header><text>Paragraph (2) of section 168(b) is amended by striking <quote>or</quote> at the end of subparagraph (B), by redesignating subparagraph (C) as subparagraph (D), and by inserting after subparagraph (B) the following new subparagraph:</text> <quoted-block display-inline="no-display-inline" id="HE3D7D43000D94EFEB4AC949ECBE2C2EA" style="OLC"> <subparagraph id="HDFE5F7650AD04A39A4C4AC0476A5689E"><enum>(C)</enum><text display-inline="yes-display-inline">any property (other than property described in paragraph (3)) which is a qualified smart electric meter or qualified smart electric grid system, or</text> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection><subsection id="H31C0855214814EA8A393C3E6DE16E6B3"><enum>(d)</enum><header>Effective date</header><text>The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act.</text> </subsection></section><section id="HDC2879B0631B45F1B001E940B737D1C"><enum>736.</enum><header>Qualified green building and sustainable design projects</header> <subsection id="H8191D950F93E471880EEDE8139A4CB00"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (8) of section 142(l) is amended by striking <quote>September 30, 2009</quote> and inserting <quote>September 30, 2012</quote>.</text> </subsection><subsection id="H6826DBFA712A41D088289DA652E3C757"><enum>(b)</enum><header>Treatment of current refunding bonds</header><text>Paragraph (9) of section 142(l) is amended by striking <quote>October 1, 2009</quote> and inserting <quote>October 1, 2012</quote>.</text> </subsection><subsection id="H2B8145FA08B748E8A2E1167962D1D59B"><enum>(c)</enum><header>Accountability</header><text>The second sentence of section 701(d) of the American Jobs Creation Act of 2004 is amended by striking <quote>issuance,</quote> and inserting <quote>issuance of the last issue with respect to such project,</quote>.</text> </subsection></section></subtitle><subtitle id="HDC42412A5F6E4A1C81237500BE7FAD5"><enum>D</enum><header>Revenue Provision</header> <section display-inline="no-display-inline" id="H0F36F850695940C2BCBCCEDDA948C00" section-type="subsequent-section"><enum>741.</enum><header>Delay in application of worldwide allocation of interest</header> <subsection id="HC19FEEBFE47240B393CB4801DA1627DB"><enum>(a)</enum><header>In general</header><text>Paragraph (6) of section 864(f), as amended by the Housing Assistance Tax Act of 2008, is amended by striking <quote>December 31, 2010</quote> and inserting <quote>December 31, 2018</quote>.</text> </subsection><subsection id="H5C3BAA2C1F4943E1B2E4BB00EBB5305E"><enum>(b)</enum><header>Conforming amendment</header><text>Paragraph (5)(D) of section 864(f) is amended by striking <quote>December 31, 2008</quote> and inserting <quote>December 31, 2018</quote>.</text> </subsection><subsection id="H0F86D1957E1144A6BFDE66B3F18913E4"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2008.</text> </subsection></section></subtitle>