[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 3869 Introduced in Senate (IS)]

<DOC>






118th CONGRESS
  2d Session
                                S. 3869

 To require vehicles to comply with the rules of origin of the United 
States-Mexico-Canada Agreement in order to qualify for certain Federal 
                               programs.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 5, 2024

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

_______________________________________________________________________

                                 A BILL


 
 To require vehicles to comply with the rules of origin of the United 
States-Mexico-Canada Agreement in order to qualify for certain Federal 
                               programs.

    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 ``American Subsidies for American 
Autos Act of 2024''.

SEC. 2. REQUIREMENT FOR VEHICLES TO COMPLY WITH UNITED STATES-MEXICO-
              CANADA AGREEMENT TO QUALIFY FOR CERTAIN FEDERAL PROGRAMS.

    (a) Tax Credits for Clean Vehicles.--
            (1) Clean vehicle credit.--Section 30D(d) of the Internal 
        Revenue Code of 1986 is amended--
                    (A) in paragraph (1)(G), by striking ``the final 
                assembly of which occurs within North America'' and 
                inserting ``which qualifies as an originating good 
                under section 202 of the United States-Mexico-Canada 
                Agreement Implementation Act (19 U.S.C. 4531)'', and
                    (B) by striking paragraph (5).
            (2) Credit for qualified commercial clean vehicles.--
        Paragraph (1) of section 45W(c) of such Code is amended by 
        striking ``section 30D(d)(1)(C)'' and inserting ``subparagraphs 
        (C) and (G) of section 30D(d)(1)''.
            (3) Previously-owned clean vehicles.--Clause (i) of section 
        25E(c)(1)(D) of such Code is amended by inserting ``(G),'' 
        after ``(F),''.
            (4) Effective date.--The amendments made by this subsection 
        shall apply to vehicles acquired after the date of the 
        enactment of this Act.
    (b) Public School Energy Improvement Program.--Section 40541(f) of 
the Investment Infrastructure and Jobs Act (42 U.S.C. 18831(f)) is 
amended by adding at the end the following:
            ``(5) USMCA-compliant vehicle requirement.--
                    ``(A) Definition of usmca-compliant vehicle.--In 
                this paragraph, the term `USMCA-compliant vehicle' 
                means a vehicle that qualifies as an originating good 
                under section 202 of the United States-Mexico-Canada 
                Agreement Implementation Act (19 U.S.C. 4531).
                    ``(B) Requirement.--Any alternative fueled vehicle 
                purchased using a grant under this section shall be 
                required to be a USMCA-compliant vehicle.''.
    (c) State Energy Program.--Section 362 of the Energy Policy and 
Conservation Act (42 U.S.C. 6322) is amended by adding at the end the 
following:
    ``(h) USMCA-Compliant Vehicle Requirement.--
            ``(1) Definition of usmca-compliant vehicle.--In this 
        subsection, the term `USMCA-compliant vehicle' means a vehicle 
        that qualifies as an originating good under section 202 of the 
        United States-Mexico-Canada Agreement Implementation Act (19 
        U.S.C. 4531).
            ``(2) Requirement.--Subject to paragraph (3), any vehicle 
        purchased as part of a State energy conservation plan shall be 
        required to be a USMCA-compliant vehicle.
            ``(3) More stringent state law.--The requirement under 
        paragraph (2) shall not apply in the case of a State energy 
        conservation plan that requires vehicles purchased under the 
        plan to be produced in the United States.''.
    (d) Bus and Bus Facilities Grant Program.--Section 5339(b) of title 
49, United States Code, is amended by adding at the end the following:
            ``(12) USMCA requirement.--
                    ``(A) USMCA-compliant vehicle.--In this paragraph, 
                the term `USMCA-compliant vehicle' means a vehicle that 
                qualifies as an originating good under section 202 of 
                the United States-Mexico-Canada Agreement 
                Implementation Act (19 U.S.C. 4531).
                    ``(B) Requirement.--Any bus replaced, purchased, or 
                leased using a grant under this subsection shall be a 
                USMCA-compliant vehicle.''.
    (e) Low or No Emission Public Transportation Funding Program.--
Section 5339(c) of title 49, United States Code, is amended by adding 
at the end the following:
            ``(9) USMCA requirement.--
                    ``(A) USMCA-compliant vehicle.--In this paragraph, 
                the term `USMCA-compliant vehicle' means a vehicle that 
                qualifies as an originating good under section 202 of 
                the United States-Mexico-Canada Agreement 
                Implementation Act (19 U.S.C. 4531).
                    ``(B) Requirement.--Any vehicle acquired or leased 
                using a grant under this subsection shall be a USMCA-
                compliant vehicle.''.
    (f) Clean School Bus Program.--Section 741(a) of the Energy Policy 
Act of 2005 (42 U.S.C. 16091(a)) is amended--
            (1) in paragraph (3)--
                    (A) by redesignating subparagraph (B) as clause 
                (ii);
                    (B) in subparagraph (A), by striking ``(A) the 
                Administrator'' and inserting the following:
                    ``(B)(i) the Administrator''; and
                    (C) by inserting before subparagraph (B) (as so 
                redesignated) the following:
                    ``(A) qualifies as an originating good under 
                section 202 of the United States-Mexico-Canada 
                Agreement Implementation Act (19 U.S.C. 4531); and''; 
                and
            (2) in paragraph (8)--
                    (A) by redesignating subparagraphs (A) and (B) as 
                clauses (i) and (ii), respectively, and indenting 
                appropriately; and
                    (B) in the matter preceding clause (i) (as so 
                redesignated), by striking ``that is certified'' and 
                inserting the following: ``that--
                    ``(A) qualifies as an originating good under 
                section 202 of the United States-Mexico-Canada 
                Agreement Implementation Act (19 U.S.C. 4531); and
                    ``(B) is certified''.
    (g) Clean Heavy-Duty Vehicles Program.--Section 132(d)(5) of the 
Clean Air Act (42 U.S.C. 7432(d)(5)) is amended--
            (1) by redesignating subparagraphs (A) and (B) as clauses 
        (i) and (ii), respectively, and indenting appropriately; and
            (2) in the matter preceding clause (i) (as so 
        redesignated), by striking ``vehicle that has'' and inserting 
        the following: ``vehicle that--
                    ``(A) qualifies as an originating good under 
                section 202 of the United States-Mexico-Canada 
                Agreement Implementation Act (19 U.S.C. 4531); and
                    ``(B) has''.
                                 <all>