[Congressional Record Volume 167, Number 139 (Wednesday, August 4, 2021)]
[Senate]
[Pages S5851-S5852]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 2495. Ms. KLOBUCHAR (for herself and Mr. Thune) submitted an 
amendment intended to be proposed to amendment SA 2137 proposed by Mr. 
Schumer (for Ms. Sinema (for herself, Mr. Portman, Mr. Manchin, Mr. 
Cassidy, Mrs. Shaheen, Ms. Collins, Mr. Tester, Ms. Murkowski, Mr. 
Warner, and Mr. Romney)) to the bill H.R. 3684, to authorize funds for 
Federal-aid highways, highway safety programs, and transit programs, 
and for other purposes; which was ordered to lie on the table; as 
follows:

        At the appropriate place in division H, insert the 
     following:

     SEC. ___. CREDIT FOR SALE OR BLENDING OF ETHANOL FUELS.

       (a) In General.--Subpart D of part IV of subchapter A of 
     chapter 1 of the Internal Revenue Code of 1986 is amended by 
     adding at the end the following new section:

     ``SEC. 45U. CREDIT FOR SALE OR BLENDING OF ETHANOL FUELS.

       ``(a) In General.--For purposes of section 38, the ethanol 
     fuel credit determined under this section for any taxable 
     year is an amount equal to--
       ``(1) in the case of an applicable taxpayer which is 
     described in subsection (b)(1)(A)--
       ``(A) for each gallon of E15 blended by such taxpayer, 5 
     cents, and
       ``(B) for each gallon of fuel blended by such taxpayer 
     which contains more than 15 volume percent ethanol, 10 cents, 
     and
       ``(2) subject to subsection (c), in the case of an 
     applicable taxpayer which is described in subsection 
     (b)(1)(B)--
       ``(A) for each gallon of E15 sold by such taxpayer, 5 
     cents, and
       ``(B) for each gallon of fuel sold by such taxpayer which 
     contains more than 15 volume percent ethanol, 10 cents.
       ``(b) Definitions.--For purposes of this section--
       ``(1) Applicable taxpayer.--The term `applicable taxpayer' 
     means--
       ``(A) an oxygenate blender (as defined in section 1090.80 
     of title 40, Code of Federal Regulations), and
       ``(B) a retailer (as defined in paragraph (7) of section 
     101 of the Petroleum Marketing Practices Act (15 U.S.C. 
     2801)).
       ``(2) E15.--The term `E15' means gasoline that is marketed 
     and sold as E15 contains

[[Page S5852]]

     more than 13 percent ethanol and no more than 15 percent 
     ethanol by volume.
       ``(c) Election.--
       ``(1) In general.--
       ``(A) Election by oxygenate blender.--Subsection (a)(1) 
     shall apply with respect to any gallon of fuel described in 
     such subsection only if the applicable taxpayer described in 
     subsection (b)(1)(A) elects to have such subsection apply 
     with respect to such gallon of fuel.
       ``(B) Notification.--The applicable taxpayer described in 
     subparagraph (A) shall provide notice of their election with 
     respect to any gallon of fuel described in such subparagraph 
     to any applicable taxpayer described in subsection (b)(1)(B) 
     to which such fuel is sold, with such notice to be provided 
     on or before the date of such sale.
       ``(2) Credit for retailer available only if not claimed by 
     oxygenate blender.--Subsection (a)(2) shall apply with 
     respect to any gallon of fuel described in such subsection 
     only if the applicable taxpayer described in subsection 
     (b)(1)(A) has not elected (pursuant to paragraph (1)) to 
     apply subsection (a)(1) with respect to such gallon of fuel.
       ``(d) Refundable Credit for Small Retailers.--For purposes 
     of this title, in the case of a retailer with not greater 
     than 5 retail locations at the close of the taxable year, the 
     credit allowed under subsection (a)(2) for such taxable year 
     shall be treated as a credit allowable under subpart C (and 
     not allowable under this subpart) for such taxable year.
       ``(e) Transfer of Credit.--
       ``(1) In general.--Subject to such regulations or other 
     guidance as the Secretary determines necessary or 
     appropriate, if, with respect to the credit allowed under 
     subsection (a) for any taxable year, the applicable taxpayer 
     elects the application of this subsection for such taxable 
     year with respect to all (or any portion specified in such 
     election) of such credit, the eligible entity specified in 
     such election, and not the applicable taxpayer, shall be 
     treated as the taxpayer for purposes of this title with 
     respect to such credit (or such portion thereof).
       ``(2) Eligible entity.--For purposes of this subsection, 
     the term `eligible entity' means any person within the supply 
     chain for fuel described in such section (a).''.
       (b) Credit to Be Part of General Business Credit.--
     Subsection (b) of section 38 of the Internal Revenue Code of 
     1986 is amended by striking ``plus'' at the end of paragraph 
     (32), by striking the period at the end of paragraph (33) and 
     inserting ``, plus'', and by adding at the end the following 
     new paragraph:
       ``(34) the credit for sale or blending of ethanol fuels 
     under section 45U to which subsection (d) of such section 
     does not apply.''.
       (c) Conforming Amendment.--The table of sections for 
     subpart D of part IV of subchapter A of chapter 1 of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following new item:

``Sec. 45U. Credit for sale or blending of ethanol fuels.''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to fuel blended or sold after December 31, 2021.
                                 ______