[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 1350 Introduced in Senate (IS)]
111th CONGRESS
1st Session
S. 1350
To encourage increased production of natural gas and liquefied
petroleum gas vehicles and to provide tax incentives for natural gas
and liquefied petroleum gas vehicle infrastructure, and for other
purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 25, 2009
Mr. Pryor (for himself and Mr. Inhofe) introduced the following bill;
which was read twice and referred to the Committee on Finance
_______________________________________________________________________
A BILL
To encourage increased production of natural gas and liquefied
petroleum gas vehicles and to provide tax incentives for natural gas
and liquefied petroleum gas vehicle infrastructure, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Fueling America
Act of 2009''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; table of contents.
TITLE I--INCREASED PRODUCTION OF NATURAL GAS AND LIQUEFIED PETROLEUM
GAS VEHICLES
Sec. 101. Definitions.
Sec. 102. Natural gas and liquefied petroleum gas vehicle research,
development, and demonstration projects.
Sec. 103. Study of increasing natural gas and liquefied petroleum gas
vehicles in Federal fleet.
Sec. 104. Clean school bus program.
TITLE II--TAX INCENTIVES
Sec. 201. Credit for natural gas and liquefied petroleum gas refueling
property.
Sec. 202. Credit for purchase of vehicles fueled by natural gas or
liquefied petroleum gas.
TITLE I--INCREASED PRODUCTION OF NATURAL GAS AND LIQUEFIED PETROLEUM
GAS VEHICLES
SEC. 101. DEFINITIONS.
In this title:
(1) Administrator.--The term ``Administrator'' means the
Administrator of the Environmental Protection Agency.
(2) Natural gas.--The term ``natural gas'' means--
(A) compressed natural gas;
(B) liquefied natural gas;
(C) biomethane; and
(D) mixtures of--
(i) hydrogen; and
(ii) methane, biomethane, compressed
natural gas, or liquefied natural gas.
(3) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
SEC. 102. NATURAL GAS AND LIQUEFIED PETROLEUM GAS VEHICLE RESEARCH,
DEVELOPMENT, AND DEMONSTRATION PROJECTS.
(a) In General.--The Secretary, in coordination with the
Administrator, shall conduct a program of natural gas and liquefied
petroleum gas vehicle research, development, and demonstration.
(b) Purposes.--The purposes of the program conducted under this
section are to focus on--
(1) the continued improvement and development of new,
cleaner, more efficient light-duty, medium-duty, and heavy-duty
natural gas and liquefied petroleum gas vehicle engines;
(2) the integration of those engines into light-duty,
medium-duty, and heavy-duty natural gas and liquefied petroleum
gas vehicles for onroad and offroad applications;
(3) expanding product availability by assisting
manufacturers with the certification of the engines or vehicles
described in paragraph (1) or (2) to comply with Federal or
California certification requirements and in-use emission
standards;
(4) the demonstration and proper operation and use of the
vehicles described in paragraph (2) under all operating
conditions;
(5) the development and improvement of nationally
recognized codes and standards for the continued safe operation
of vehicles described in paragraph (2) and the components of
the vehicles;
(6) improvement in the reliability and efficiency of
natural gas and liquefied petroleum gas fueling station
infrastructure;
(7) the certification of natural gas and liquefied
petroleum gas fueling station infrastructure to nationally
recognized and industry safety standards;
(8) the improvement in the reliability and efficiency of
onboard natural gas and liquefied petroleum gas fuel storage
systems;
(9) the development of new natural gas and liquefied
petroleum gas fuel storage materials;
(10) the certification of onboard natural gas and liquefied
petroleum gas fuel storage systems to nationally recognized and
industry safety standards; and
(11) the use of natural gas and liquefied petroleum gas
engines in hybrid vehicles.
(c) Certification of Aftermarket Conversion Systems.--
(1) In general.--The Secretary shall coordinate with the
Administrator on issues related to streamlining the
certification of natural gas and liquefied petroleum gas
aftermarket conversion systems to comply with appropriate
Federal certification requirements and in-use emission
standards.
(2) Streamlined certification.--For purposes of paragraph
(1), streamlined certification shall include providing
aftermarket conversion system manufacturers the option to
continue to sell and install systems on engines and test groups
for which the manufacturers have previously received a
certificate of conformity without having to request a new
certificate in future years.
(d) Cooperation and Coordination With Industry.--In developing and
carrying out the program under this section, the Secretary shall
coordinate with the natural gas and liquefied petroleum gas vehicle
industry to ensure, to the maximum extent practicable, cooperation
between the public and the private sector.
(e) Administration.--The program under this section shall be
conducted in accordance with sections 3001 and 3002 of the Energy
Policy Act of 1992 (42 U.S.C. 13541, 13542).
(f) Report.--Not later than 2 years after the date of enactment of
this Act, the Secretary shall submit to the appropriate committees of
Congress a report on the implementation of this section.
(g) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out this section $30,000,000 for
each of fiscal years 2010 through 2014.
SEC. 103. STUDY OF INCREASING NATURAL GAS AND LIQUEFIED PETROLEUM GAS
VEHICLES IN FEDERAL FLEET.
Not later than 180 days after the date of enactment of this Act,
the Administrator of General Services, in consultation with the
Administrator, shall--
(1) conduct a study on whether or not the Federal fleet
should increase the number of light-duty, medium-duty, and
heavy-duty natural gas and liquefied petroleum gas vehicles in
the fleet;
(2) assess the barriers to increasing the number of natural
gas and liquefied petroleum gas vehicles in the fleet;
(3) assess the potential for maximizing the use of natural
gas and liquefied petroleum gas vehicles in the fleet; and
(4) submit to the appropriate committees of Congress a
report on the results of the study.
SEC. 104. CLEAN SCHOOL BUS PROGRAM.
(a) In General.--Section 6015 of the Safe, Accountable, Flexible,
Efficient Transportation Equity Act: A Legacy for Users (42 U.S.C.
16091a) is amended--
(1) in subsection (b)(5)--
(A) in subparagraph (A)--
(i) in the subparagraph heading, by
striking ``50'' and inserting ``65'';
(ii) in the matter preceding clause (i), by
striking ``one-half'' and inserting ``65
percent'';
(iii) in clause (i)(II), by striking ``or''
after the semicolon at the end;
(iv) in clause (ii), by striking the period
at the end and inserting as semicolon; and
(v) by adding at the end the following:
``(iii) clean school buses with engines
manufactured in model year 2010, 2011, 2012,
2013, or 2014 that satisfy regulatory
requirements established by the Administrator
for emissions of oxides of nitrogen and
particulate matter to be applicable for school
buses manufactured in that model year; or
``(iv) clean school buses with engines only
fueled by compressed natural gas, liquefied
natural gas, or liquefied petroleum gas, except
that school buses described in this clause may
be eligible for a grant that is equal to an
additional 25 percent of the acquisition costs
of the school buses (including fueling
infrastructure).''; and
(B) in subparagraph (B)--
(i) in the subparagraph heading, by
striking ``25'' and inserting ``50''; and
(ii) in the matter preceding clause (i), by
striking ``one-fourth'' and inserting ``50
percent''; and
(2) in subsection (d)--
(A) in paragraph (1), by striking ``and'' at the
end;
(B) in paragraph (2), by striking ``2008, 2009, and
2010.'' and inserting ``2008 and 2009; and''; and
(C) by adding at the end the following:
``(3) $75,000,000 for each of fiscal years 2010 through
2014.''.
(b) Technical Correction.--Section 741 of the Energy Policy Act of
2005 (42 U.S.C. 16091) is repealed.
TITLE II--TAX INCENTIVES
SEC. 201. CREDIT FOR NATURAL GAS AND LIQUEFIED PETROLEUM GAS REFUELING
PROPERTY.
(a) Increase in Credit Percentage for Natural Gas and Liquefied
Petroleum Gas Refueling Property.--Subsection (e) of section 30C of the
Internal Revenue Code of 1986 is amended by adding at the end the
following new paragraph:
``(7) Special rule for qualified natural gas vehicle
refueling property and qualified liquefied petroleum gas
vehicle refueling property.--
``(A) In general.--In the case of any qualified
natural gas vehicle refueling property and any
qualified liquefied petroleum gas vehicle refueling
property to which paragraph (6) does not apply--
``(i) subsection (a) shall be applied by
substituting `50 percent' for `30 percent',
``(ii) subsection (b)(1) shall be applied
by substituting `$50,000' for `$30,000', and
``(iii) subsection (b)(2) shall be applied
by substituting `$2,000' for `$1,000'.
``(B) Qualified natural gas vehicle refueling
property.--For purposes of this paragraph, the term
`qualified natural gas vehicle refueling property' has
the same meaning as the term `qualified alternative
fuel vehicle refueling property' would have under
subsection (c) if only natural gas, compressed natural
gas, and liquefied natural gas were treated as clean-
burning fuels for purposes of section 179A(d).
``(C) Qualified liquefied petroleum gas vehicle
refueling property.--For purposes of this paragraph,
the term `qualified liquefied petroleum gas vehicle
refueling property' has the same meaning as the term
`qualified alternative fuel vehicle refueling property'
would have under subsection (c) if only liquefied
petroleum gas were treated as a clean-burning fuel for
purposes of section 179A(d).''.
(b) Extension of Credit.--Subsection (g) of section 30C of the
Internal Revenue Code of 1986 is amended to read as follows:
``(g) Termination.--This section shall not apply to any property
placed in service after December 31, 2014.''.
(c) Effective Date.--The amendments made by this section shall
apply to property placed in service after December 31, 2008, in taxable
years ending after such date.
SEC. 202. CREDIT FOR PURCHASE OF VEHICLES FUELED BY NATURAL GAS OR
LIQUEFIED PETROLEUM GAS.
(a) In General.--Subsection (e) of section 30B of the Internal
Revenue Code of 1986 is amended by adding at the end the following new
paragraph:
``(6) Higher incremental cost limits for natural gas
vehicles and liquefied petroleum gas vehicles.--
``(A) In general.--In the case of any eligible
natural gas motor vehicle and any eligible liquefied
petroleum gas motor vehicle, paragraph (3) shall be
applied by multiplying each of the dollar amounts
contained in such paragraph by 2.
``(B) Eligible natural gas motor vehicle.--For
purposes of this paragraph, the term `eligible natural
gas motor vehicle' means (except as provided in clause
(ii)) a new qualified alternative fuel motor vehicle or
aftermarket conversion system the final assembly of
which is in the United States and that--
``(i) is only capable of operating on
compressed natural gas or liquefied natural
gas, or
``(ii) is capable of operating for more
than 175 miles on compressed natural gas or
liquefied natural gas and is capable of
operating on gasoline or diesel fuel.
``(C) Eligible liquefied petroleum gas motor
vehicle.--For purposes of this paragraph, the term
`eligible liquefied petroleum gas motor vehicle' means
(except as provided in clause (ii)) a new qualified
alternative fuel motor vehicle or aftermarket
conversion system the final assembly of which is in the
United States and that--
``(i) is only capable of operating on
liquefied petroleum gas, or
``(ii) is capable of operating for more
than 175 miles on liquefied petroleum gas and
is capable of operating on gasoline or diesel
fuel.
``(D) Aftermarket conversion system.--For purposes
of this paragraph, the term `aftermarket conversion
system' means property that converts a vehicle that is
not described in this paragraph into an eligible
natural gas motor vehicle (for purposes of subparagraph
(B)) or an eligible liquefied petroleum gas motor
vehicle (for purposes of subparagraph (C)).''.
(b) Extension of Credit for Natural Gas and Liquefied Petroleum Gas
Vehicles.--Paragraph (4) of section 30B(k) of the Internal Revenue Code
of 1986 is amended--
(1) by striking ``and'' at the end of paragraph (3),
(2) by striking the period at the end of paragraph (4) and
inserting ``, and'',
(3) by striking ``(as described in subsection (e))'' in
paragraph (4) and inserting ``(as described in paragraph (4) or
(5) of subsection (e))'', and
(4) by adding at the end the following new paragraph:
``(5) in the case of a new qualified alternative fuel
vehicle described in subsection (e)(6), December 31, 2014.''.
(c) Effective Date.--The amendments made by this section shall
apply to vehicles placed in service after December 31, 2008, in taxable
years ending after such date.
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