I 111th CONGRESS 2d Session H. R. 6428 IN THE HOUSE OF REPRESENTATIVES November 18, 2010 Ms. Speier introduced the following bill; which was referred to the Committee on Ways and Means A BILL To exclude from gross income compensation provided by Pacific Gas and Electric Company for victims of the natural gas transmission line explosion occurring in San Bruno, California, and to treat as nontaxable any gain from the involuntary conversion of their property as the result of such explosion, without regard to the rules requiring conversion to property of a similar use.

1.

Short title

This Act may be cited as the San Bruno Victims Compensation Fairness Act of 2010.

2.

Natural gas transmission line explosion compensation excluded from gross income

(a)

In general

For purposes of the Internal Revenue Code of 1986— (1)the natural gas transmission line explosion on September 9, 2010, in San Bruno, California, shall be treated as a qualified disaster under section 139(c) of such Code, and (2)any compensation provided by Pacific Gas and Electric Company to a victim of such disaster shall be treated as a qualified disaster relief payment under section 139 of such Code. (b)

Effective date

Subsection (a) shall apply to amounts received on or after September 9, 2010.

3.

Gain from conversion of property excluded from gross income

(a)

In general

In the case of any gain from the compulsory or involuntary conversion of property as the result of its destruction, in whole or in part, by the natural gas explosion described in section 1(1)— (1)section 1033 of the Internal Revenue Code of 1986 shall not apply with respect to such gain, and (2)such gain shall not be included in gross income for purposes of such Code. (b)

Effective date

Subsection (a) shall apply to compulsory or involuntary conversions on or after September 9, 2010.