[Congressional Record Volume 163, Number 195 (Thursday, November 30, 2017)]
[Senate]
[Pages S7598-S7599]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 1734. Mr. GRAHAM (for himself and Mr. Heller) submitted an 
amendment intended to be proposed to amendment SA 1618 proposed by Mr. 
McConnell (for Mr. Hatch (for himself and Ms. Murkowski)) to the bill 
H.R. 1, to provide for reconciliation pursuant to titles II and V of 
the concurrent resolution on the budget for fiscal year 2018; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. TECHNOLOGIES FOR ENERGY JOBS AND SECURITY.

       (a) Extension and Phaseout of Residential Energy Efficient 
     Property.--
       (1) Extension.--Section 25D(h) is amended by striking 
     ``December 31, 2016 (December 31, 2021, in the case of any 
     qualified solar electric property expenditures and qualified 
     solar water heating property expenditures)'', and inserting 
     ``December 31, 2021''.
       (2) Phaseout.--
       (A) In general.--Paragraphs (3), (4), and (5) of section 
     25D(a) are amended by striking ``30 percent'' each place it 
     appears and inserting ``the applicable percentage''.
       (B) Conforming amendment.--Section 25D(g) is amended by 
     striking ``paragraphs (1) and (2) of''.
       (3) Effective date.--The amendments made by this subsection 
     shall take effect on January 1, 2017.
       (b) Extension and Phaseout of Energy Credit.--
       (1) Credit percentage for geothermal energy property.--
     Section 48(a)(2)(A)(i)(II) is amended by striking ``paragraph 
     (3)(A)(i)'' and inserting ``clause (i) or (iii) of paragraph 
     (3)(A)''.
       (2) Extension of solar and thermal energy property.--
     Section 48(a)(3)(A) is amended--
       (A) in clause (ii) by striking ``periods ending before 
     January 1, 2017'' and inserting ``property the construction 
     of which begins before January 1, 2022''; and
       (B) in clause (vii) by striking ``periods ending before 
     January 1, 2017'' and inserting ``property the construction 
     of which begins before January 1, 2022''.
       (3) Phaseout of 30-percent credit rate for geothermal 
     energy property.--Section 48(a)(6) is amended--
       (A) in the heading, by inserting ``and geothermal'' after 
     ``solar'';
       (B) in subparagraph (A), by striking ``paragraph 
     (3)(A)(i)'' and inserting ``clause (i) or (iii) of paragraph 
     (3)(A)''; and
       (C) in subparagraph (B), by striking ``property energy 
     property described in paragraph (3)(A)(i)'' and inserting 
     ``energy property described in clause (i) or (iii) of 
     paragraph (3)(A)''.
       (4) Phaseout of 30-percent credit rate for fiber-optic 
     solar, qualified fuel cell, and qualified small wind energy 
     property.--
       (A) In general.--Section 48(a) is amended by adding the 
     following:
       ``(7) Phaseout for fiber-optic solar, qualified fuel cell, 
     and qualified small wind energy property.--In the case of any 
     energy property described in paragraph (3)(A)(ii), qualified 
     fuel cell property, or qualified small wind property, the 
     energy percentage determined under paragraph (2) shall be 
     equal to--
       ``(A) in the case of any property the construction of which 
     begins after December 31, 2019, and before January 1, 2021, 
     26 percent, and
       ``(B) in the case of any property the construction of which 
     begins after December 31, 2020, and before January 1, 2022, 
     22 percent.''.
       (B) Conforming amendment.--Section 48(a)(2)(A) is amended 
     by striking ``paragraph (6)'' and inserting ``paragraphs (6) 
     and (7)''.
       (5) Extension of qualified fuel cell property.--Section 
     48(c)(1)(D) is amended by striking ``for any period after 
     December 31, 2016'' and inserting ``the construction of which 
     does not begin before January 1, 2022''.
       (6) Extension of qualified microturbine property.--Section 
     48(c)(2)(D) is amended by striking ``for any period after 
     December 31, 2016'' and inserting ``the construction of which 
     does not begin before January 1, 2022''.
       (7) Extension of combined heat and power system property.--
     Section 48(c)(3)(A)(iv) is amended by striking ``which is 
     placed in service before January 1, 2017'' and inserting 
     ``the construction of which begins before January 1, 2022''.
       (8) Extension of qualified small wind energy property.--
     Section 48(c)(4)(C) is amended by striking ``for any period 
     after December 31, 2016'' and inserting ``the construction of 
     which does not begin before January 1, 2022''.
       (9) Effective date.--The amendments made by this subsection 
     shall take effect on January 1, 2017.
       (c) Waste Heat to Power Property.--
       (1) In general.--
       (A) Introduction of waste to heat power energy property.--
     Section 48(a)(3)(A) is amended--
       (i) at the end of clause (vi) by striking ``or''; and
       (ii) at the end of clause (vii) by inserting ``or'' after 
     the comma; and
       (iii) by adding the following:
       ``(viii) waste heat to power property,''.

[[Page S7599]]

       (B) Definitions and limitations.--Section 48(c) is amended 
     by adding the following:
       ``(5) Waste heat to power property.--
       ``(A) In general.--The term `waste heat to power property' 
     means property--
       ``(i) comprising a system which generates electricity 
     through the recovery of a qualified waste heat resource, and
       ``(ii) the construction of which begins before January 1, 
     2022.
       ``(B) Qualified waste heat resource.--The term `qualified 
     waste heat resource' means--
       ``(i) exhaust heat or flared gas from an industrial process 
     that does not have, as its primary purpose, the production of 
     electricity, and
       ``(ii) a pressure drop in any gas for an industrial or 
     commercial process.
       ``(C) Limitations.--
       ``(i) In general.--For purposes of subsection (a)(1), the 
     basis of any waste heat to power property taken into account 
     under this section shall not exceed the excess of--

       ``(I) the basis of such property, over
       ``(II) the fair market value of comparable property which 
     does not have the capacity to capture and convert a qualified 
     waste heat resource to electricity.

       ``(ii) Capacity limitation.--The term `waste heat to power 
     property' shall not include any property comprising a system 
     if such system has a capacity in excess of 50 megawatts.''.
       (2) Effective date.--The amendments made by this subsection 
     shall apply to periods after December 31, 2016, in taxable 
     years ending after such date, under rules similar to the 
     rules of section 48(m) of the Internal Revenue Code of 1986 
     (as in effect on the day before the date of the enactment of 
     the Revenue Reconciliation Act of 1990).
       (d) Modifications of Credit for Production From Advanced 
     Nuclear Power Facilities.--
       (1) Treatment of unutilized limitation amounts.--Section 
     45J(b) is amended--
       (A) in paragraph (4), by inserting ``or any amendment to'' 
     after ``enactment of'', and
       (B) by adding at the end the following new paragraph:
       ``(5) Allocation of unutilized limitation.--
       ``(A) In general.--Any unutilized national megawatt 
     capacity limitation shall be allocated by the Secretary under 
     paragraph (3) as rapidly as is practicable after December 31, 
     2020--
       ``(i) first to facilities placed in service on or before 
     such date to the extent that such facilities did not receive 
     an allocation equal to their full nameplate capacity, and
       ``(ii) then to facilities placed in service after such date 
     in the order in which such facilities are placed in service.
       ``(B) Unutilized national megawatt capacity limitation.--
     The term `unutilized national megawatt capacity limitation' 
     means the excess (if any) of--
       ``(i) 6,000 megawatts, over
       ``(ii) the aggregate amount of national megawatt capacity 
     limitation allocated by the Secretary before January 1, 2021, 
     reduced by any amount of such limitation which was allocated 
     to a facility which was not placed in service before such 
     date.
       ``(C) Coordination with other provisions.--In the case of 
     any unutilized national megawatt capacity limitation 
     allocated by the Secretary pursuant to this paragraph--
       ``(i) such allocation shall be treated for purposes of this 
     section in the same manner as an allocation of national 
     megawatt capacity limitation, and
       ``(ii) subsection (d)(1)(B) shall not apply to any facility 
     which receives such allocation.''.
       (2) Transfer of credit by certain public entities.--
       (A) In general.--Section 45J is amended--
       (i) by redesignating subsection (e) as subsection (f), and
       (ii) by inserting after subsection (d) the following new 
     subsection:
       ``(e) Transfer of Credit by Certain Public Entities.--
       ``(1) In general.--If, with respect to a credit under 
     subsection (a) for any taxable year--
       ``(A) the taxpayer would be a qualified public entity, and
       ``(B) such entity elects the application of this paragraph 
     for such taxable year with respect to all (or any portion 
     specified in such election) of such credit,
     the eligible project partner specified in such election (and 
     not the qualified public entity) shall be treated as the 
     taxpayer for purposes of this title with respect to such 
     credit (or such portion thereof).
       ``(2) Definitions.--For purposes of this subsection--
       ``(A) Qualified public entity.--The term `qualified public 
     entity' means--
       ``(i) a Federal, State, or local government entity, or any 
     political subdivision, agency, or instrumentality thereof,
       ``(ii) a mutual or cooperative electric company described 
     in section 501(c)(12) or section 1381(a)(2), or
       ``(iii) a not-for-profit electric utility which has or had 
     received a loan or loan guarantee under the Rural 
     Electrification Act of 1936.
       ``(B) Eligible project partner.--The term `eligible project 
     partner' means--
       ``(i) any person responsible for, or participating in, the 
     design or construction of the advanced nuclear power facility 
     to which the credit under subsection (a) relates,
       ``(ii) any person who participates in the provision of the 
     nuclear steam supply system to the advanced nuclear power 
     facility to which the credit under subsection (a) relates,
       ``(iii) any person who participates in the provision of 
     nuclear fuel to the advanced nuclear power facility to which 
     the credit under subsection (a) relates, or
       ``(iv) any person who has an ownership interest in such 
     facility.
       ``(3) Special rules.--
       ``(A) Application to partnerships.--In the case of a credit 
     under subsection (a) which is determined at the partnership 
     level--
       ``(i) for purposes of paragraph (1)(A), a qualified public 
     entity shall be treated as the taxpayer with respect to such 
     entity's distributive share of such credit, and
       ``(ii) the term `eligible project partner' shall include 
     any partner of the partnership.
       ``(B) Taxable year in which credit taken into account.--In 
     the case of any credit (or portion thereof) with respect to 
     which an election is made under paragraph (1), such credit 
     shall be taken into account in the first taxable year of the 
     eligible project partner ending with, or after, the qualified 
     public entity's taxable year with respect to which the credit 
     was determined.
       ``(C) Treatment of transfer under private use rules.--For 
     purposes of section 141(b)(1), any benefit derived by an 
     eligible project partner in connection with an election under 
     this subsection shall not be taken into account as a private 
     business use.''.
       (B) Special rule for proceeds of transfers for mutual or 
     cooperative electric companies.--Section 501(c)(12) is 
     amended by adding at the end the following new subparagraph:
       ``(I) In the case of a mutual or cooperative electric 
     company described in this paragraph or an organization 
     described in section 1381(a)(2), income received or accrued 
     in connection with an election under section 45J(e)(1) shall 
     be treated as an amount collected from members for the sole 
     purpose of meeting losses and expenses.''.
       (3) Effective dates.--
       (A) Treatment of unutilized limitation amounts.--The 
     amendment made by paragraph (1) shall take effect on the date 
     of the enactment of this Act.
       (B) Transfer of credit by certain public entities.--The 
     amendments made by paragraph (2) shall apply to taxable years 
     beginning after December 31, 2017.
                                 ______