[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 11 Introduced in House (IH)]

112th CONGRESS
  1st Session
                                 H. R. 11

To amend the Internal Revenue Code of 1986 to extend the Build America 
                             Bonds program.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 10, 2011

     Mr. Connolly of Virginia (for himself, Ms. Loretta Sanchez of 
 California, and Mr. Carney) introduced the following bill; which was 
              referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
To amend the Internal Revenue Code of 1986 to extend the Build America 
                             Bonds program.

    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 ``Build America Bonds to Create Jobs 
Now Act of 2011''.

SEC. 2. EXTENSION OF BUILD AMERICA BONDS.

    (a) In General.--Subparagraph (B) of section 54AA(d)(1) of the 
Internal Revenue Code of 1986 is amended by inserting ``or during the 
period beginning on the date of the enactment of the Build America 
Bonds to Create Jobs Now Act of 2011 and ending on December 31, 2012,'' 
after ``January 1, 2011,''.
    (b) Extension of Payments to Issuers.--
            (1) In general.--Section 6431 of such Code is amended--
                    (A) by inserting ``or during the period beginning 
                on the date of the enactment of the Build America Bonds 
                to Create Jobs Now Act of 2011 and ending on December 
                31, 2012,'' after ``January 1, 2011,'' in subsection 
                (a), and
                    (B) by striking ``before January 1, 2011'' in 
                subsection (f)(1)(B) and inserting ``during a 
                particular period''.
            (2) Conforming amendments.--Subsection (g) of section 54AA 
        of such Code is amended--
                    (A) by inserting ``or during the period beginning 
                on the date of the enactment of the Build America Bonds 
                to Create Jobs Now Act of 2011 and ending on December 
                31, 2012,'' after ``January 1, 2011,'', and
                    (B) by striking ``Qualified Bonds Issued Before 
                2011'' in the heading and inserting ``Certain Qualified 
                Bonds''.
    (c) Reduction in Percentage of Payments to Issuers.--Subsection (b) 
of section 6431 of such Code is amended--
            (1) by striking ``The Secretary'' and inserting the 
        following:
            ``(1) In general.--The Secretary'',
            (2) by striking ``35 percent'' and inserting ``the 
        applicable percentage'', and
            (3) by adding at the end the following new paragraph:
            ``(2) Applicable percentage.--For purposes of this 
        subsection, the term `applicable percentage' means the 
        percentage determined in accordance with the following table:


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  ``In the case of a qualified bond issued during calendar
                           year:                                        The applicable percentage is:
----------------------------------------------------------------------------------------------------------------
2009 or 2010...............................................  35 percent
2011.......................................................  32 percent
2012.......................................................  31 percent.''.
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    (d) Current Refundings Permitted.--Subsection (g) of section 54AA 
of such Code is amended by adding at the end the following new 
paragraph:
            ``(3) Treatment of current refunding bonds.--
                    ``(A) In general.--For purposes of this subsection, 
                the term `qualified bond' includes any bond (or series 
                of bonds) issued to refund a qualified bond if--
                            ``(i) the average maturity date of the 
                        issue of which the refunding bond is a part is 
                        not later than the average maturity date of the 
                        bonds to be refunded by such issue,
                            ``(ii) the amount of the refunding bond 
                        does not exceed the outstanding amount of the 
                        refunded bond, and
                            ``(iii) the refunded bond is redeemed not 
                        later than 90 days after the date of the 
                        issuance of the refunding bond.
                    ``(B) Applicable percentage.--In the case of a 
                refunding bond referred to in subparagraph (A), the 
                applicable percentage with respect to such bond under 
                section 6431(b) shall be the lowest percentage 
                specified in paragraph (2) of such section.
                    ``(C) Determination of average maturity.--For 
                purposes of subparagraph (A)(i), average maturity shall 
                be determined in accordance with section 
                147(b)(2)(A).''.
    (e) Clarification Related to Levees and Flood Control Projects.--
Subparagraph (A) of section 54AA(g)(2) of such Code is amended by 
inserting ``(including capital expenditures for levees and other flood 
control projects)'' after ``capital expenditures''.
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