[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 1630 Introduced in Senate (IS)]







110th CONGRESS
  1st Session
                                S. 1630

   To amend the Internal Revenue Code of 1986 to exclude certain tax-
 exempt financing of electric transmission facilities from the private 
                           business use test.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 14, 2007

 Mr. Crapo (for himself and Mr. Craig) introduced the following bill; 
     which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
   To amend the Internal Revenue Code of 1986 to exclude certain tax-
 exempt financing of electric transmission facilities from the private 
                           business use test.

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

SECTION 1. TAX-EXEMPT FINANCING OF CERTAIN ELECTRIC TRANSMISSION 
              FACILITIES NOT SUBJECT TO PRIVATE BUSINESS USE TEST.

    (a) In General.--Section 141(b)(6) of the Internal Revenue Code of 
1986 (defining private business use) is amended by adding at the end 
the following new subparagraph:
                    ``(C) Exception for certain electric transmission 
                facilities.--For purposes of the 1st sentence of 
                subparagraph (A), the operation or use of an electric 
                transmission facility by any person which is not a 
                governmental unit shall not be considered a private 
                business use if--
                            ``(i) the facility is placed in service on 
                        or after the date of the enactment of this 
                        subparagraph and is owned by--
                                    ``(I) a State or political 
                                subdivision of a State, or any agency, 
                                authority, or instrumentality of any of 
                                the foregoing providing electric 
                                service, directly or indirectly to the 
                                public, or
                                    ``(II) a State or political 
                                subdivision of a State expressly 
                                authorized under applicable State law 
                                effective on or after January 1, 2004, 
                                to finance and own electric 
                                transmission facilities, and
                            ``(ii) bonds for such facility are issued 
                        before the date which is 5 years after the date 
                        of the enactment of this subparagraph.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to bonds issued after the date of the enactment of this Act.
                                 <all>