[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 2894 Introduced in Senate (IS)]

111th CONGRESS
  1st Session
                                S. 2894

  To amend the Internal Revenue Code to provide for a refundable tax 
 credit for heating fuels and to create a grant program for States to 
       provide individuals with loans to weatherize their homes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           December 16, 2009

Mrs. Gillibrand introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
  To amend the Internal Revenue Code to provide for a refundable tax 
 credit for heating fuels and to create a grant program for States to 
       provide individuals with loans to weatherize their homes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Home Heating Fuels Cost Relief Act 
of 2009''.

SEC. 2. REFUNDABLE CREDIT FOR CERTAIN INDIVIDUALS USING HOME HEATING 
              FUELS.

    (a) In General.--Subpart C of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to refundable credits) 
is amended by inserting before section 37 the following new section:

``SEC. 36B. USE OF HOME HEATING FUELS IN HOMES.

    ``(a) Allowance of Credit.--In the case of an eligible individual, 
there shall be allowed as a credit against the tax imposed by this 
subtitle for the taxable year an amount equal to the amounts paid or 
incurred by the taxpayer during the taxable year for heating oil, 
natural gas, and propane used to heat the principal place of abode of 
the taxpayer.
    ``(b) Limitations.--
            ``(1) Limitation based on dollar amount.--The amount 
        allowed as a credit under subsection (a) for any taxable year 
        shall not exceed $1,000 ($2,000 in the case of a joint return).
            ``(2) Limitation based on adjusted gross income.--No amount 
        shall be allowed as a credit under subsection (a) for a taxable 
        year in the case of a taxpayer whose adjusted gross income 
        exceeds $100,000 ($200,000 in the case of a joint return).
    ``(c) Eligible Individual.--
            ``(1) In general.--For purposes of this section, the term 
        `eligible individual' means any individual whose principal 
        place of abode is in the United States.
            ``(2) Exception.--Except as provided in paragraph (3), such 
        term shall not include any individual--
                    ``(A) who is not a citizen or lawful permanent 
                resident of the United States, or
                    ``(B) with respect to whom a deduction under 
                section 151 is allowed to another taxpayer for a 
                taxable year beginning in the calendar year in which 
                such individual's taxable year begins.
            ``(3) Special rule for married individuals.--In the case of 
        persons married to each other, if one spouse is an eligible 
        individual, the other spouse shall be treated as an eligible 
        individual for purposes of this subsection.
    ``(d) Denial of Double Benefit.--No other credit or deduction shall 
be allowed under this chapter for any expense for which a credit is 
allowed under subsection (a).
    ``(e) Termination.--This section shall not apply to any taxable 
year beginning after December 31, 2010.''.
    (b) Conforming Amendment.--Paragraph (2) of section 1324(b) of 
title 31, United States Code, is amended by inserting ``36B,'' after 
``36A,''.
    (c) Clerical Amendment.--The table of sections for subpart C of 
part IV of subchapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by inserting before the item relating to section 37 the 
following new item:

``Sec. 36B. Use of home heating fuels in homes.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2008.

SEC. 3. GRANTS TO STATES TO CREATE HOME WEATHERIZATION LOAN PROGRAMS.

    (a) Definitions.--In this section:
            (1) Eligible individual.--The term ``eligible individual'' 
        means an individual--
                    (A) with a principal place of residence in the 
                United States;
                    (B) who is a citizen or lawful permanent resident 
                of the United States; and
                    (C) with respect to whom a deduction under section 
                151 of the Internal Revenue Code of 1986 is not allowed 
                to another taxpayer for a taxable year beginning in the 
                calendar year in which the taxable year of the 
                individual begins.
            (2) Secretary.--The term ``Secretary'' means the Secretary 
        of the Treasury.
            (3) State.--The term ``State'' means--
                    (A) a State;
                    (B) the District of Columbia;
                    (C) the Commonwealth of Puerto Rico; and
                    (D) any other territory or possession of the United 
                States.
            (4) State loan fund.--The term ``State loan fund'' means a 
        weatherization revolving loan fund of a State established under 
        subsection (c).
            (5) Weatherization materials.--The term ``weatherization 
        materials'' means--
                    (A) caulking and weatherstripping of doors and 
                windows;
                    (B) furnace efficiency modifications, including--
                            (i) replacement burners, furnaces, boilers, 
                        or any combination thereof;
                            (ii) devices for minimizing energy loss 
                        through heating system, chimney, or venting 
                        devices; and
                            (iii) electrical or mechanical furnace 
                        ignition systems that replace standing gas 
                        pilot lights;
                    (C) clock thermostats;
                    (D) ceiling, attic, wall, floor, and duct 
                insulation;
                    (E) water heater insulation;
                    (F) storm windows and doors, multiglazed windows 
                and doors, and heat-absorbing or heat-reflective window 
                and door materials;
                    (G) cooling efficiency modifications, including 
                replacement air-conditioners, ventilation equipment, 
                screening, window films, and shading devices;
                    (H) solar thermal water heaters;
                    (I) wood-heating appliances; and
                    (J) such other insulating or energy conserving 
                devices or technologies as are determined by the 
                Secretary, after consultation with the Secretary of 
                Housing and Urban Development, the Secretary of 
                Agriculture, and the Office of Community Services of 
                the Department of Health and Human Services.
    (b) Grants.--The Secretary shall carry out a program to make grants 
to States in accordance with this section to create revolving loan 
funds to provide eligible individuals with loans to purchase 
weatherization materials for the purpose of weatherizing the principal 
place of residence of an individual.
    (c) Establishment of Fund.--To be eligible to receive a grant under 
this section, a State shall agree--
            (1) to establish a weatherization revolving loan fund;
            (2) to deposit the grant in the State loan fund; and
            (3) to comply with the other requirements of this section.
    (d) Applications.--
            (1) In general.--A State that seeks to receive a grant 
        under this section may submit to the Secretary an application 
        for the grant at such time, in such form, and containing such 
        information as the Secretary may prescribe.
            (2) Determination of grant amounts.--In determining the 
        amount of the grant awarded to a State, the Secretary shall 
        consider--
                    (A) the incidence of extreme winter or summer 
                temperatures within the State;
                    (B) the average age of homes within the State; and
                    (C) such other factors as the Secretary determines 
                are appropriate.
    (e) Loans.--
            (1) In general.--Amounts deposited in a State loan fund 
        (including loan repayments and interest earned on the amounts) 
        shall be used only for providing loans to eligible individuals 
        to purchase weatherization materials for the purpose of 
        weatherizing the principal place of residence of an individual.
            (2) Loan amount limitations.--
                    (A) Individuals.--Subject to subparagraph (B), the 
                total amount of all loans made from a State loan fund 
                to an eligible individual during a calendar year may 
                not exceed $5,000.
                    (B) Dwelling.--The combined amount of all loans 
                made from the State loan fund to eligible individuals 
                living within a single dwelling during a calendar year 
                may not exceed $10,000.
            (3) Interest rates.--The annual interest rate for a loan 
        made from a State loan fund shall be--
                    (A) in the case of an eligible individual with an 
                adjusted gross income for the previous taxable year of 
                $100,000 or less, 1 percent; and
                    (B) in the case of an eligible individual with an 
                adjusted gross income for the previous taxable year of 
                more than $100,000 but not more than $200,000, 2 
                percent.
            (4) Income limitation.--An eligible individual with an 
        adjusted gross income of more than $200,000 shall not be 
        eligible for a loan made from a State loan fund.
            (5) Loan repayment.--In order to receive a loan from a 
        State loan fund, an eligible individual shall enter into an 
        agreement with the State to repay the full amount of the loan, 
        plus interest, by a date that is not more than 2 years after 
        the date on which the individual receives the loan funds.
    (f) Annual Report.--Each State receiving a grant under this section 
shall submit an annual report to the Secretary describing the use of 
funds from the State loan fund.
    (g) Report to Congress.--The Secretary shall submit to Congress an 
annual report describing the distribution of grant funds under this 
section, including a copy of each report submitted to the Secretary 
pursuant to subsection (f).
    (h) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary to carry out this section such sums as 
are necessary.
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