Growing Renewable Energy and Efficiency Now Act of 2020 or the GREEN Act of 2020
This bill provides tax incentives for investment in renewable energy resources and energy efficiency programs.
Among other provisions, the bill
[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7330 Introduced in House (IH)]
<DOC>
116th CONGRESS
2d Session
H. R. 7330
To amend the Internal Revenue Code of 1986 to provide incentives for
renewable energy and energy efficiency, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
June 25, 2020
Mr. Thompson of California (for himself, Mr. Neal, Mr. Lewis, Mr.
Doggett, Mr. Larson of Connecticut, Mr. Blumenauer, Mr. Kind, Mr.
Pascrell, Mr. Danny K. Davis of Illinois, Ms. Sanchez, Mr. Higgins of
New York, Ms. Sewell of Alabama, Ms. DelBene, Ms. Judy Chu of
California, Ms. Moore, Mr. Kildee, Mr. Brendan F. Boyle of
Pennsylvania, Mr. Beyer, Mr. Evans, Mr. Schneider, Mr. Suozzi, Mr.
Panetta, Mrs. Murphy of Florida, Mr. Gomez, Mr. Horsford, Mr. Levin of
California, Mr. Lowenthal, Mr. Crist, Mr. Tonko, Mr. Cohen, Ms. Kuster
of New Hampshire, Mr. Rouda, Ms. Bonamici, Ms. Brownley of California,
Ms. Haaland, Mr. Michael F. Doyle of Pennsylvania, Mr. Thompson of
Mississippi, Mr. Connolly, Mr. Hastings, Mr. Welch, Ms. Eshoo, Mr.
Neguse, Mr. Serrano, Mr. Carbajal, Ms. Matsui, Mr. Takano, Mrs. Hayes,
and Mr. Soto) 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 provide incentives for
renewable energy and energy efficiency, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; ETC.
(a) Short Title.--This Act may be cited as the ``Growing Renewable
Energy and Efficiency Now Act of 2020'' or the ``GREEN Act of 2020''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; etc.
TITLE I--RENEWABLE ELECTRICITY AND REDUCING CARBON EMISSIONS
Sec. 101. Extension of credit for electricity produced from certain
renewable resources.
Sec. 102. Extension and modification of energy credit.
Sec. 103. Extension of credit for carbon oxide sequestration.
Sec. 104. Elective payment for energy property and electricity produced
from certain renewable resources, etc.
Sec. 105. Extension of energy credit for offshore wind facilities.
Sec. 106. Green energy publicly traded partnerships.
TITLE II--RENEWABLE FUELS
Sec. 201. Biodiesel and renewable diesel.
Sec. 202. Extension of excise tax credits relating to alternative
fuels.
Sec. 203. Extension of second generation biofuel incentives.
TITLE III--GREEN ENERGY AND EFFICIENCY INCENTIVES FOR INDIVIDUALS
Sec. 301. Extension, increase, and modifications of nonbusiness energy
property credit.
Sec. 302. Residential energy efficient property.
Sec. 303. Energy efficient commercial buildings deduction.
Sec. 304. Extension, increase, and modifications of new energy
efficient home credit.
Sec. 305. Modifications to income exclusion for conservation subsidies.
TITLE IV--GREENING THE FLEET AND ALTERNATIVE VEHICLES
Sec. 401. Modification of limitations on new qualified plug-in electric
drive motor vehicle credit.
Sec. 402. Credit for previously-owned qualified plug-in electric drive
motor vehicles.
Sec. 403. Credit for zero-emission heavy vehicles and zero-emission
buses.
Sec. 404. Qualified fuel cell motor vehicles.
Sec. 405. Alternative fuel refueling property credit.
Sec. 406. Modification of employer-provided fringe benefits for bicycle
commuting.
TITLE V--INVESTMENT IN THE GREEN WORKFORCE
Sec. 501. Extension of the advanced energy project credit.
Sec. 502. Labor costs of installing mechanical insulation property.
Sec. 503. Labor standards for certain energy jobs.
TITLE VI--ENVIRONMENTAL JUSTICE
Sec. 601. Qualified environmental justice program credit.
TITLE VII--TREASURY REPORT ON DATA FROM THE GREENHOUSE GAS REPORTING
PROGRAM
Sec. 701. Report on Greenhouse Gas Reporting Program.
(c) Amendment of 1986 Code.--Except as otherwise expressly
provided, whenever in this Act an amendment or repeal is expressed in
terms of an amendment to, or repeal of, a section or other provision,
the reference shall be considered to be made to a section or other
provision of the Internal Revenue Code of 1986.
TITLE I--RENEWABLE ELECTRICITY AND REDUCING CARBON EMISSIONS
SEC. 101. EXTENSION OF CREDIT FOR ELECTRICITY PRODUCED FROM CERTAIN
RENEWABLE RESOURCES.
(a) In General.--The following provisions of section 45(d) are each
amended by striking ``January 1, 2021'' each place it appears and
inserting ``January 1, 2026'':
(1) Paragraph (2)(A).
(2) Paragraph (3)(A).
(3) Paragraph (6).
(4) Paragraph (7).
(5) Paragraph (9).
(6) Paragraph (11)(B).
(b) Extension of Election To Treat Qualified Facilities as Energy
Property.--Section 48(a)(5)(C)(ii) is amended by striking ``January 1,
2021'' and inserting ``January 1, 2026''.
(c) Application of Extension to Wind Facilities.--
(1) In general.--Section 45(d)(1) is amended by striking
``January 1, 2021'' and inserting ``January 1, 2026''.
(2) Application of phaseout percentage.--
(A) Renewable electricity production credit.--
Sections 45(b)(5)(D) is amended by striking ``and
before January 1, 2021,''.
(B) Energy credit.--Section 48(a)(5)(E)(iv) is
amended by striking ``and before January 1, 2021,''.
(d) Effective Date.--The amendments made by this section shall
apply to facilities the construction of which begins after December 31,
2020.
SEC. 102. EXTENSION AND MODIFICATION OF ENERGY CREDIT.
(a) Extension of Credit.--The following provisions of section 48
are each amended by striking ``January 1, 2022'' each place it appears
and inserting ``January 1, 2027'':
(1) Subsection (a)(3)(A)(ii).
(2) Subsection (a)(3)(A)(vii).
(3) Subsection (c)(1)(D).
(4) Subsection (c)(2)(D).
(5) Subsection (c)(3)(A)(iv).
(6) Subsection (c)(4)(C).
(b) Phaseout of Credit.--Section 48(a) is amended--
(1) by striking ``December 31, 2019'' in paragraphs
(6)(A)(i) and (7)(A)(i) and inserting ``December 31, 2025'',
(2) by striking ``December 31, 2020'' in paragraphs
(6)(A)(ii) and (7)(A)(ii) and inserting ``December 31, 2026'',
(3) by striking ``January 1, 2021'' in paragraphs (6)(A)(i)
and (7)(A)(i) and inserting ``January 1, 2027'',
(4) by striking ``January 1, 2022'' each place it appears
in paragraphs (6)(A), (6)(B), and (7)(A) and inserting
``January 1, 2028'', and
(5) by striking ``January 1, 2024'' in paragraphs (6)(B)
and (7)(B) and inserting ``January 1, 2030''.
(c) 30 Percent Credit for Solar and Geothermal.--
(1) Extension for solar.--Section 48(a)(2)(A)(i)(II) is
amended by striking ``January 1, 2022'' and inserting ``January
1, 2028''.
(2) Application to geothermal.--
(A) In general.--Paragraphs (2)(A)(i)(II), (6)(A),
and (6)(B) of section 48(a) are each amended by
striking ``paragraph (3)(A)(i)'' and inserting ``clause
(i) or (iii) of paragraph (3)(A)''.
(B) Conforming amendment.--The heading of section
48(a)(6) is amended by inserting ``and geothermal''
after ``solar energy''.
(d) Energy Storage Technologies; Waste Energy Recovery Property;
Qualified Biogas Property.--
(1) In general.--Section 48(a)(3)(A) is amended by striking
``or'' at the end of clause (vi), and by adding at the end the
following new clauses:
``(viii) energy storage technology,
``(ix) waste energy recovery property, or
``(x) qualified biogas property,''.
(2) Application of 30 percent credit.--Section
48(a)(2)(A)(i) is amended by striking ``and'' at the end of
subclauses (III) and (IV) and adding at the end the following
new subclauses:
``(V) energy storage technology,
``(VI) waste energy recovery
property, and
``(VII) qualified biogas property,
and''.
(3) Application of phaseout.--Section 48(a)(7) is amended--
(A) by inserting ``energy storage technology, waste
energy recovery property, qualified biogas property,''
after ``qualified small wind property,'', and
(B) by striking ``fiber-optic solar, qualified fuel
cell, and qualified small wind'' in the heading thereof
and inserting ``certain other''.
(4) Definitions.--Section 48(c) is amended by adding at the
end the following new paragraphs:
``(5) Energy storage technology.--
``(A) In general.--The term `energy storage
technology' means equipment (other than equipment
primarily used in the transportation of goods or
individuals and not for the production of electricity)
which--
``(i) uses batteries, compressed air,
pumped hydropower, hydrogen storage (including
hydrolysis and electrolysis), thermal energy
storage, regenerative fuel cells, flywheels,
capacitors, superconducting magnets, or other
technologies identified by the Secretary, after
consultation with the Secretary of Energy, to
store energy for conversion to electricity and
has a capacity of not less than 5 kilowatt
hours, or
``(ii) stores thermal energy to heat or
cool (or provide hot water for use in) a
structure (other than for use in a swimming
pool).
``(B) Termination.--The term `energy storage
technology' shall not include any property the
construction of which does not begin before January 1,
2028.
``(6) Waste energy recovery property.--
``(A) In general.--The term `waste energy recovery
property' means property that generates electricity
solely from heat from buildings or equipment if the
primary purpose of such building or equipment is not
the generation of electricity.
``(B) Capacity limitation.--The term `waste energy
recovery property' shall not include any property which
has a capacity in excess of 50 megawatts.
``(C) No double benefit.--Any waste energy recovery
property (determined without regard to this
subparagraph) which is part of a system which is a
combined heat and power system property shall not be
treated as waste energy recovery property for purposes
of this section unless the taxpayer elects to not treat
such system as a combined heat and power system
property for purposes of this section.
``(D) Termination.--The term `waste energy recovery
property' shall not include any property the
construction of which does not begin before January 1,
2028.
``(7) Qualified biogas property.--
``(A) In general.--The term `qualified biogas
property' means property comprising a system which--
``(i) converts biomass (as defined in
section 45K(c)(3)) into a gas which--
``(I) consists of not less than 52
percent methane, or
``(II) is concentrated by such
system into a gas which consists of not
less than 52 percent methane, and
``(ii) captures such gas for productive
use.
``(B) Inclusion of cleaning and conditioning
property.--The term `qualified biogas property'
includes any property which is part of such system
which cleans or conditions such gas.
``(C) Termination.--The term `qualified biogas
property' shall not include any property the
construction of which does not begin before January 1,
2028.''.
(5) Denial of double benefit for qualified biogas
property.--Section 45(e) is amended by adding at the end the
following new paragraph:
``(12) Coordination with energy credit for qualified biogas
property.--The term `qualified facility' shall not include any
facility which produces electricity from gas produced by
qualified biogas property (as defined in section 48(c)(7)) if a
credit is determined under section 48 with respect to such
property for the taxable year or any prior taxable year.''.
(e) Fuel Cells Using Electromechanical Processes.--
(1) In general.--Section 48(c)(1) is amended--
(A) in subparagraph (A)(i)--
(i) by inserting ``or electromechanical''
after ``electrochemical'', and
(ii) by inserting ``(1 kilowatt in the case
of a fuel cell power plant with a linear
generator assembly)'' after ``0.5 kilowatt'',
and
(B) in subparagraph (C)--
(i) by inserting ``, or linear generator
assembly,'' after ``a fuel cell stack
assembly'', and
(ii) by inserting ``or electromechanical''
after ``electrochemical''.
(2) Linear generator assembly limitation.--Section 48(c)(1)
is amended by redesignating subparagraph (D) as subparagraph
(E) and by inserting after subparagraph (C) the following new
subparagraph:
``(D) Linear generator assembly.--The term `linear
generator assembly' does not include any assembly which
contains rotating parts.''.
(f) Effective Date.--The amendments made by this section shall
apply to periods after December 31, 2020, under rules similar to the
rules of section 48(m) as in effect on the day before the date of the
enactment of the Revenue Reconciliation Act of 1990.
SEC. 103. EXTENSION OF CREDIT FOR CARBON OXIDE SEQUESTRATION.
(a) In General.--Section 45Q(d)(1) is amended by striking ``January
1, 2024'' and inserting ``January 1, 2026''.
(b) Effective Date.--The amendment made by this section applies to
facilities the construction of which begins after December 31, 2023.
SEC. 104. ELECTIVE PAYMENT FOR ENERGY PROPERTY AND ELECTRICITY PRODUCED
FROM CERTAIN RENEWABLE RESOURCES, ETC.
(a) In General.--Subchapter B of chapter 65 is amended by adding at
the end the following new section:
``SEC. 6431. ELECTIVE PAYMENT FOR ENERGY PROPERTY, ELECTRICITY PRODUCED
FROM CERTAIN RENEWABLE RESOURCES, ETC., AND CARBON OXIDE
SEQUESTRATION.
``(a) Energy Property.--In the case of a taxpayer making an
election (at such time and in such manner as the Secretary may provide)
under this section with respect to any portion of an applicable credit,
such taxpayer shall be treated as making a payment against the tax
imposed by subtitle A for the taxable year equal to--
``(1) in the case of an Indian tribal government, the
amount of such portion, and
``(2) in the case of any other taxpayer, 85 percent of such
amount.
``(b) Definitions and Special Rules.--For purposes of this
section--
``(1) Governmental entities treated as taxpayers.--In the
case of an election under this section--
``(A) any State or local government, or a political
subdivision thereof, or
``(B) an Indian tribal government,
shall be treated as a taxpayer for purposes of this section and
determining any applicable credit.
``(2) Applicable credit.--The term `applicable credit'
means each of the following credits that would (without regard
to this section) be determined with respect to the taxpayer:
``(A) A energy credit under section 48.
``(B) A renewable electricity production credit
under section 45.
``(C) A carbon oxide sequestration credit under
section 45Q.
``(3) Indian tribal government.--The term `Indian tribal
government' shall have the meaning given such term by section
139E.
``(4) Timing.--The payment described in subparagraph (A)
shall be treated as made on--
``(A) in the case of any government, or political
subdivision, to which paragraph (1) applies and for
which no return is required under section 6011 or
6033(a), the later of the date that a return would be
due under section 6033(a) if such government or
subdivision were described in that section or the date
on which such government or subdivision submits a claim
for credit or refund (at such time and in such manner
as the Secretary shall provide), and
``(B) in any other case, the later of the due date
of the return of tax for the taxable year or the date
on which such return is filed.
``(5) Waiver of special rules.--In the case of an election
under this section, the determination of any applicable credit
shall be without regard to paragraphs (3) and (4)(A)(i) of
section 50(b).
``(c) Exclusion From Gross Income.--Gross income of the taxpayer
shall be determined without regard to this section.
``(d) Denial of Double Benefit.--Solely for purposes of section 38,
in the case of a taxpayer making an election under this section, the
energy credit determined under section 45 or the renewable electricity
production credit determined under section 48 shall be reduced by the
amount of the portion of such credit with respect to which the taxpayer
makes such election.''.
(b) Clerical Amendment.--The table of sections for subchapter B of
chapter 65 is amended by adding at the end the following new item:
``Sec. 6431. Elective payment for energy property, electricity produced
from certain renewable resources, etc., and
carbon oxide sequestration.''.
(c) Effective Date.--The amendments made by this section shall
apply to property originally placed in service after the date of the
enactment of this Act.
SEC. 105. EXTENSION OF ENERGY CREDIT FOR OFFSHORE WIND FACILITIES.
(a) In General.--Section 48(a)(5) is amended by adding at the end
the following new subparagraph:
``(F) Qualified offshore wind facilities.--
``(i) In general.--In the case of any
qualified offshore wind facility--
``(I) subparagraph (C)(ii) shall be
applied by substituting `January 1 of
the applicable year (as determined
under subparagraph (F)(ii))' for
`January 1, 2026',
``(II) subparagraph (E) shall not
apply, and
``(III) for purposes of this
paragraph, section 45(d)(1) shall be
applied by substituting `January 1 of
the applicable year (as determined
under section 48(a)(5)(F)(ii))'' for
`January 1, 2026'.
``(ii) Applicable year.--For purposes of
this subparagraph, the term `applicable year'
means the later of--
``(I) calendar year 2025, or
``(II) the calendar year subsequent
to the first calendar year in which the
Secretary, after consultation with the
Secretary of Energy, determines that
the United States has increased its
offshore wind capacity by not less than
3,000 megawatts as compared to such
capacity on January 1, 2021.
For purposes of subclause (II), the Secretary
shall not include any increase in offshore wind
capacity which is attributable to any facility
the construction of which began before January
1, 2021.
``(iii) Qualified offshore wind facility.--
For purposes of this subparagraph, the term
`qualified offshore wind facility' means a
qualified facility (within the meaning of
section 45) described in paragraph (1) of
section 45(d) (determined without regard to any
date by which the construction of the facility
is required to begin) which is located in the
inland navigable waters of the United States or
in the coastal waters of the United States.
``(iv) Report on offshore wind capacity.--
On January 15, 2024, and annually thereafter
until the calendar year described in clause
(ii)(II), the Secretary, after consultation
with the Secretary of Energy, shall issue a
report to be made available to the public which
discloses the increase in the offshore wind
capacity of the United States, as measured in
total megawatts, since January 1, 2020.''.
(b) Effective Date.--The amendment made by this section shall apply
to periods after December 31, 2016, 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).
SEC. 106. GREEN ENERGY PUBLICLY TRADED PARTNERSHIPS.
(a) In General.--Section 7704(d)(1)(E) is amended--
(1) by striking ``income and gains derived from the
exploration'' and inserting ``income and gains derived from--
``(i) the exploration'',
(2) by inserting ``or'' before ``industrial source'', and
(3) by striking ``, or the transportation or storage'' and
all that follows and inserting the following:
``(ii) the generation of electric power or
thermal energy exclusively using any qualified
energy resource (as defined in section
45(c)(1)),
``(iii) the operation of energy property
(as defined in section 48(a)(3), determined
without regard to any date by which the
construction of the facility is required to
begin),
``(iv) in the case of a facility described
in paragraph (3) or (7) of section 45(d)
(determined without regard to any placed in
service date or date by which construction of
the facility is required to begin), the
accepting or processing of open-loop biomass or
municipal solid waste,
``(v) the storage of electric power or
thermal energy exclusively using energy
property that is energy storage property (as
defined in section 48(c)(5)),
``(vi) the generation, storage, or
distribution of electric power or thermal
energy exclusively using energy property that
is combined heat and power system property (as
defined in section 48(c)(3), determined without
regard to subparagraph (B)(iii) thereof and
without regard to any date by which the
construction of the facility is required to
begin),
``(vii) the transportation or storage of
any fuel described in subsection (b), (c), (d),
or (e) of section 6426,
``(viii) the conversion of renewable
biomass (as defined in subparagraph (I) of
section 211(o)(1) of the Clean Air Act (as in
effect on the date of the enactment of this
clause)) into renewable fuel (as defined in
subparagraph (J) of such section as so in
effect), or the storage or transportation of
such fuel,
``(ix) the production, storage, or
transportation of any fuel which--
``(I) uses as its primary feedstock
carbon oxides captured from an
anthropogenic source or the atmosphere,
``(II) does not use as its primary
feedstock carbon oxide which is
deliberately released from naturally
occurring subsurface springs, and
``(III) is determined by the
Secretary, after consultation with the
Secretary of Energy and the
Administrator of the Environmental
Protection Agency, to achieve a
reduction of not less than a 60 percent
in lifecycle greenhouse gas emissions
(as defined in section 211(o)(1)(H) of
the Clean Air Act, as in effect on the
date of the enactment of this clause)
compared to baseline lifecycle
greenhouse gas emissions (as defined in
section 211(o)(1)(C) of such Act, as so
in effect),
``(x) the generation of electric power
from, a qualifying gasification project (as
defined in section 48B(c)(1) without regard to
subparagraph (C)) that is described in section
48(d)(1)(B), or
``(xi) in the case of a qualified facility
(as defined in section 45Q(d), without regard
to any date by which construction of the
facility is required to begin) not less than 50
percent (30 percent in the case of a facility
placed in service before January 1, 2021) of
the total carbon oxide production of which is
qualified carbon oxide (as defined in section
45Q(c))--
``(I) the generation, availability
for such generation, or storage of
electric power at such facility, or
``(II) the capture of carbon
dioxide by such facility,''.
(b) Effective Date.--The amendments made by this section apply to
taxable years beginning after December 31, 2020.
TITLE II--RENEWABLE FUELS
SEC. 201. BIODIESEL AND RENEWABLE DIESEL.
(a) Income Tax Credit.--Section 40A(g) is amended to read as
follows:
``(g) Phase Out; Termination.--
``(1) Phase out.--In the case of any sale or use after
December 31, 2022, subsections (b)(1)(A) and (b)(2)(A) shall be
applied by substituting for `$1.00'--
``(A) `$.75', if such sale or use is before January
1, 2024,
``(B) `$.50', if such sale or use is after December
31, 2023, and before January 1, 2025, and
``(C) `$.33', if such sale or use is after December
31, 2024, and before January 1, 2026.
``(2) Termination.--This section shall not apply to any
sale or use after December 31, 2025.''.
(b) Excise Tax Incentives.--
(1) Phase out.--Section 6426(c)(2) is amended to read as
follows:
``(2) Applicable amount.--For purposes of this subsection,
the applicable amount is--
``(A) $1.00 in the case of any sale or use for any
period before January 1, 2023,
``(B) $.75 in the case of any sale or use for any
period after December 31, 2022, and before January 1,
2024,
``(C) $.50 in the case of any sale or use for any
period after December 31, 2023, and before January 1,
2025, and
``(D) $.33 in the case of any sale or use for any
period after December 31, 2024, and before January 1,
2026.''.
(2) Termination.--
(A) In general.--Section 6426(c)(6) is amended by
striking ``December 31, 2022'' and inserting ``December
31, 2025''.
(B) Payments.--Section 6427(e)(6)(B) is amended by
striking ``December 31, 2022'' and inserting ``December
31, 2025''.
(c) Effective Date.--The amendments made by this section shall
apply to fuel sold or used after December 31, 2022.
SEC. 202. EXTENSION OF EXCISE TAX CREDITS RELATING TO ALTERNATIVE
FUELS.
(a) Extension and Phaseout of Alternative Fuel Credit.--
(1) In general.--Section 6426(d)(1) is amended by striking
``50 cents'' and inserting ``the applicable amount''.
(2) Applicable amount and termination.--Section 6426(d)(5)
is amended to read as follows:
``(5) Phaseout and termination.--
``(A) Phaseout.--For purposes of this subsection,
the applicable amount is--
``(i) 50 cents in the case of any sale or
use for any period before January 1, 2023,
``(ii) 38 cents in the case of any sale or
use for any period after December 31, 2022, and
before January 1, 2024,
``(iii) 25 cents in the case of any sale or
use for any period after December 31, 2023, and
before January 1, 2025, and
``(iv) 17 cents in the case of any sale or
use for any period after December 31, 2024, and
before January 1, 2026.
``(B) Termination.--This subsection shall not apply
to any sale or use for any period after December 31,
2025.''.
(b) Alternative Fuel Mixture Credit.--
(1) In general.--Section 6426(e)(3) is amended by striking
``December 31, 2020'' and inserting ``December 31, 2025''.
(2) Phaseout.--Section 6426(e)(1) is amended by striking
``50 cents'' and inserting ``the applicable amount (as defined
in subsection (d)(5)(A))''.
(c) Payments for Alternative Fuels.--Section 6427(e)(6)(C) is
amended by striking ``December 31, 2020'' and inserting ``December 31,
2025''.
(d) Effective Date.--The amendments made by this section shall
apply to fuel sold or used after December 31, 2020.
SEC. 203. EXTENSION OF SECOND GENERATION BIOFUEL INCENTIVES.
(a) In General.--Section 40(b)(6)(J)(i) is amended by striking
``2021'' and inserting ``2026''.
(b) Extension of Special Allowance for Depreciation of Second
Generation Biofuel Plant Property.--Section 168(l)(2)(D) is amended by
striking ``2021'' and inserting ``2026''.
(c) Effective Date.--
(1) In general.--The amendment made by subsection (a) shall
apply to qualified second generation biofuel production after
December 31, 2020.
(2) Second generation biofuel plant property.--The
amendment made by subsection (b) shall apply to property placed
in service after December 31, 2020.
TITLE III--GREEN ENERGY AND EFFICIENCY INCENTIVES FOR INDIVIDUALS
SEC. 301. EXTENSION, INCREASE, AND MODIFICATIONS OF NONBUSINESS ENERGY
PROPERTY CREDIT.
(a) Extension of Credit.--Section 25C(g)(2) is amended by striking
``December 31, 2020'' and inserting ``December 31, 2025''.
(b) Increase in Credit Percentage for Qualified Energy Efficiency
Improvements.--Section 25C(a)(1) is amended by striking ``10 percent''
and inserting ``15 percent''.
(c) Increase in Lifetime Limitation of Credit.--Section 25C(b)(1)
is amended--
(1) by striking ``$500'' and inserting ``$1,200'', and
(2) by striking ``December 31, 2005'' and inserting
``December 31, 2020''.
(d) Limitations.--Section 25C(b) is amended by striking paragraphs
(2) and (3) and inserting the following:
``(2) Limitation on qualified energy efficiency
improvements.--The credit allowed under this section by reason
of subsection (a)(1), with respect to costs paid or incurred by
a taxpayer for a taxable year, shall not exceed--
``(A) for components described in subsection
(c)(3)(A), the excess (if any) of $600 over the
aggregate credits allowed under this section with
respect to such components for all prior taxable years
ending after December 31, 2020,
``(B) for components described in subsection
(c)(3)(B),
``(i) in the case of components which are
not described in clause (ii), the excess (if
any) of $200 over the aggregate credits allowed
under this section with respect to such
components for all prior taxable years ending
after December 31, 2020, and
``(ii) in the case of components which meet
the standards for most efficient certification
under applicable Energy Star program
requirements, the excess (if any) of $600 over
the aggregate credits allowed under this
section with respect to such components for all
prior taxable years ending after December 31,
2020, or with respect to components described
in clause (i) for such taxable year, and
``(C) for components described in subsection
(c)(3)(C) by any taxpayer for any taxable year, the
credit allowed under this section with respect to such
amounts for such year shall not exceed the lesser of--
``(i) the excess (if any) of $500 over the
aggregate credits allowed under this section
with respect to such amounts for all prior
taxable years ending after December 31, 2020,
or
``(ii) $250 for each exterior door.
``(3) Limitation on residential energy property
expenditures.--The credit allowed under this section by reason
of subsection (a)(2) shall not, with respect to an item of
property, exceed--
``(A) in the case of property described in
subparagraph (A), (B), or (C) of subsection (d)(3),
$600,
``(B) for the case of property described in
subparagraph (D) of subsection (d)(3), $400,
``(C) in the case of a hot water boiler, $600, and
``(D) in the case of a furnace, an amount equal to
the sum of--
``(i) $300, plus
``(ii) if the taxpayer is converting from a
non-condensing furnace to a condensing furnace,
$300.''.
(e) Standards for Energy Efficient Building Envelope Components.--
Section 25C(c)(2) is amended by striking ``meets--'' and all that
follows through the period at the end and inserting the following:
``meets--
``(A) in the case of an exterior window, a
skylight, or an exterior door, applicable Energy Star
program requirements, and
``(B) in the case of any other component, the
prescriptive criteria for such component established by
the 2018 IECC (as such term is defined in section
45L(b)(5)).''.
(f) Roofs Not Building Envelope Components.--Section 25C(c)(3) is
amended by adding ``and'' at the end of subparagraph (B), by striking
``, and'' at the end of subparagraph (C) and inserting a period, and by
striking subparagraph (D).
(g) Advanced Main Air Circulating Fans Not Qualified Energy
Property.--
(1) In general.--Section 25C(d)(2)(A) is amended by adding
``or'' at the end of clause (i), by striking ``, or'' at the
end of clause (ii) and inserting a period, and by striking
clause (iii).
(2) Conforming amendment.--Section 25C(d) is amended by
striking paragraph (5) and redesignating paragraph (6) as
paragraph (5).
(h) Increase in Standard for Electric Heat Pump Water Heater.--
Section 25C(d)(3)(A) is amended by striking ``an energy factor of at
least 2.0'' and inserting ``a uniform energy factor of at least 3.0''.
(i) Update of Standards for Certain Energy-Efficient Building
Property.--Section 25C(d)(3) is amended--
(1) by striking ``January 1, 2009'' each place such term
appears and inserting ``November 1, 2019'', and
(2) by striking subparagraph (D) and inserting the
following:
``(D) a natural gas, propane, or oil water heater
which, in the standard Department of Energy test
procedure, yields--
``(i) in the case of a storage tank water
heater--
``(I) in the case of a medium-draw
water heater, a uniform energy factor
of not less than 0.78, and
``(II) in the case of a high-draw
water heater, a uniform energy factor
of not less than 0.80, and
``(ii) in the case of a tankless water
heater--
``(I) in the case of a medium-draw
water heater, a uniform energy factor
of not less than 0.87, and
``(II) in the case of a high-draw
water heater, a uniform energy factor
of not less than 0.90, and''.
(j) Increase in Standard for Furnaces.--Section 25C(d)(4) is
amended by striking by striking ``not less than 95.'' and inserting the
following: ``not less than--
``(A) in the case of a furnace, 97 percent, and
``(B) in the case of a hot water boiler, 95
percent.''.
(k) Home Energy Audits.--
(1) In general.--Section 25C(a) is amended by striking
``and'' at the end of paragraph (1), by striking the period at
the end of paragraph (2) and inserting ``, and'', and by adding
at the end the following new paragraph:
``(3) 30 percent of the amount paid or incurred by the
taxpayer during the taxable year for home energy audits.''.
(2) Limitation.--Section 25C(b) is amended adding at the
end the following new paragraph:
``(4) Home energy audits.--The amount of the credit allowed
under this section by reason of subsection (a)(3) shall not
exceed $150.''.
(3) Home energy audits.--Section 25C, as amended by
subsections (a), is amended by redesignating subsections (e),
(f), and (g), as subsections (f), (g), and (h), respectively,
and by inserting after subsection (d) the following new
subsection:
``(e) Home Energy Audits.--For purposes of this section, the term
`home energy audit' means an inspection and written report with respect
to a dwelling unit located in the United States and owned or used by
the taxpayer as the taxpayer's principal residence (within the meaning
of section 121) which--
``(1) identifies the most significant and cost-effective
energy efficiency improvements with respect to such dwelling
unit, including an estimate of the energy and cost savings with
respect to each such improvement, and
``(2) is conducted and prepared by a home energy auditor
that meets the certification or other requirements specified by
the Secretary (after consultation with the Secretary of Energy,
and not later than 180 days after the date of the enactment of
this subsection) in regulations or other guidance.''.
(4) Conforming amendment.--Section 1016(a)(33) is amended
by striking ``section 25C(f)'' and inserting ``section
25C(g)''.
(l) Effective Dates.--
(1) Increase and modernization.--Except as otherwise
provided by this subsection, the amendments made by this
section shall apply to property placed in service after
December 31, 2020.
(2) Extension.--The amendments made by subsection (a) shall
apply to property placed in service after December 31, 2020.
(3) Home energy audits.--The amendments made by subsection
(k) shall apply to amounts paid or incurred after December 31,
2020.
SEC. 302. RESIDENTIAL ENERGY EFFICIENT PROPERTY.
(a) Extension of Credit.--
(1) In general.--Section 25D(h) is amended by striking
``December 31, 2021'' and inserting ``December 31, 2027''.
(2) Application of phaseout.--Section 25D(g) is amended--
(A) in paragraph (1), by striking ``January 1,
2020'' and inserting ``January 1, 2026'',
(B) in paragraph (2)--
(i) by striking ``December 31, 2019'' and
inserting ``December 31, 2025'', and
(ii) by striking ``January 1, 2021'' and
inserting ``January 1, 2027'', and
(C) in paragraph (3)--
(i) by striking ``December 31, 2020'' and
inserting ``December 31, 2026'', and
(ii) by striking ``January 1, 2022'' and
inserting ``January 1, 2028''.
(b) Qualified Biomass Fuel Property Expenditures; Residential
Energy Efficient Property Credit for Battery Storage Technology.--
(1) In general.--Section 25D(a) is amended by striking
``and'' at the end of paragraph (4) and by inserting after
paragraph (5) the following new paragraphs:
``(6) the qualified biomass fuel property expenditures, and
``(7) the qualified battery storage technology
expenditures,''.
(2) Qualified biomass fuel property expenditures;
residential energy efficient property credit for battery
storage technology.--Section 25D(d) is amended by adding at the
end the following new paragraphs:
``(6) Qualified biomass fuel property expenditure.--
``(A) In general.--The term `qualified biomass fuel
property expenditure' means an expenditure for
property--
``(i) which uses the burning of biomass
fuel to heat a dwelling unit located in the
United States and used as a residence by the
taxpayer, or to heat water for use in such a
dwelling unit, and
``(ii) which has a thermal efficiency
rating of at least 75 percent (measured by the
higher heating value of the fuel).
``(B) Biomass fuel.--For purposes of this section,
the term `biomass fuel' means any plant-derived fuel
available on a renewable or recurring basis.
``(7) Qualified battery storage technology expenditure.--
The term `qualified battery storage technology expenditure'
means an expenditure for battery storage technology which--
``(A) is installed in connection with a dwelling
unit located in the United States and used as a
residence by the taxpayer, and
``(B) has a capacity of not less than 3 kilowatt
hours.''.
(3) Denial of double benefit for biomass stoves.--
(A) In general.--Section 25C(d)(3) is amended by
adding ``and'' at the end of subparagraph (C), by
striking ``, and'' at the end of subparagraph (D) and
inserting a period, and by striking subparagraph (E).
(B) Conforming amendment.--Section 25C(d), as
amended by the preceding provisions of this Act, is
amended by striking paragraph (5).
(c) Effective Date.--The amendments made by this section shall
apply to expenditures made after the date of the enactment of this Act.
SEC. 303. ENERGY EFFICIENT COMMERCIAL BUILDINGS DEDUCTION.
(a) Extension.--Section 179D(h) is amended by striking ``December
31, 2020'' and inserting ``December 31, 2025''.
(b) Increase in the Maximum Amount of Deduction.--
(1) In general.--Section 179D(b) is amended by striking
``$1.80'' and inserting ``$3''.
(2) Inflation adjustment.--Section 179D, as amended by
subsection (a), is amended by redesignating subsection (h) as
subsection (i) and by inserting after subsection (g) the
following new subsection:
``(h) Inflation Adjustment.--In the case of a taxable year
beginning after 2020, each dollar amount in subsection (b) or
subsection (d)(1)(A) shall be increased by an amount equal to--
``(1) such dollar amount, multiplied by
``(2) the cost-of-living adjustment determined under
section 1(f)(3) for the calendar year in which the taxable year
begins, determined by substituting `calendar year 2019' for
`calendar year 2016' in subparagraph (A)(ii) thereof.''.
(3) Conforming amendment.--Section 179D(d)(1)(A) is amended
by striking ``by substituting `$.60' for `$1.80''' and
inserting ``by substituting `$1' for `$3'''.
(c) Limit on Deduction Limited to Three-Year Period.--Section
179D(b)(2) is amended by striking ``for all prior taxable years'' and
inserting ``for the 3 years immediately preceding such taxable year''.
(d) Update of Standards.--
(1) ASHRAE standards.--Section 179D(c) is amended--
(A) in paragraphs (1)(B)(ii) and (1)(D), by
striking ``Standard 90.1-2007'' and inserting
``Reference Standard 90.1'', and
(B) by amending paragraph (2) to read as follows:
``(2) Reference standard 90.1.--The term `Reference
Standard 90.1' means, with respect to property, the Standard
90.1 most recently adopted (as of the date that is 2 years
before the date that construction of such property begins) by
the American Society of Heating, Refrigerating, and Air
Conditioning Engineers and the Illuminating Engineering Society
of North America.''.
(2) California nonresidential alternative calculation
method approval manual.--Section 179D(d)(2) is amended by
striking ``2005'' and inserting ``2019''.
(e) Change in Efficiency Standards.--Section 179D(c)(1)(D) is
amended by striking ``50'' and inserting ``30''.
(f) Deadwood.--Section 179D, as amended by subsections (a) and (b),
is amended by striking subsection (f) and redesignating subsections
(g), (h), and (i) as subsections (f), (g), and (h), respectively.
(g) Effective Date.--The amendments made by this section shall
apply to property placed in service after December 31, 2020.
SEC. 304. EXTENSION, INCREASE, AND MODIFICATIONS OF NEW ENERGY
EFFICIENT HOME CREDIT.
(a) Extension of Credit.--Section 45L(g) is amended by striking
``December 31, 2020'' and inserting ``December 31, 2025''.
(b) Increase in Credit for Certain Dwelling Units.--Section
45L(a)(2)(A) is amended by striking ``$2,000'' and inserting
``$2,500''.
(c) Increase in Standard for Heating and Cooling Reduction for
Certain Units.--Section 45L(c)(1) is amended by striking ``50 percent''
each place such term appears and inserting ``60 percent''.
(d) Energy Saving Requirements Modifications.--
(1) All energy star labeled homes eligible; no reduction in
standard.--Section 45L(c) is amended by amending paragraph (3)
to read as follows:
``(3) a unit which meets the requirements established by
the Administrator of the Environmental Protection Agency under
the Energy Star Labeled Homes program and, in the case of a
manufactured home, which conforms to Federal Manufactured Home
Construction and Safety Standards (part 3280 of title 24, Code
of Federal Regulations).''.
(2) Units constructed in accordance with 2018 iecc
standards.--Section 45L(c), as amended by paragraph (1), is
further amended by striking ``or'' at the end of paragraph (2),
by striking the period at the end of paragraph (3) and
inserting ``, or'', and by adding at the end the following new
paragraph:
``(4) certified--
``(A) to have a level of annual energy consumption
which is at least 15 percent below the annual level of
energy consumption of a comparable dwelling unit--
``(i) which is constructed in accordance
with the standards of chapter 4 of the 2018
IECC (without taking into account on-site
energy generation), and
``(ii) which meets the requirements
described in paragraph (1)(A)(ii), and
``(B) to have building envelope component
improvements account for at least 1/5 of such 15
percent.''.
(3) Conforming amendments.--
(A) Section 45L(c)(2) is amended by inserting ``or
(4)'' after ``paragraph (1)''.
(B) Section 45L(a)(2)(A) is amended by striking
``or (2)'' and inserting ``, (2), or (4)''.
(C) Section 45L(b) is amended by adding at the end
the following:
``(5) 2018 iecc.--The term `2018 IECC' means the 2018
International Energy Conservation Code, as such Code (including
supplements) is in effect on November 1, 2018.''.
(e) Effective Dates.--The amendments made by this section shall
apply to dwelling units acquired after December 31, 2020.
SEC. 305. MODIFICATIONS TO INCOME EXCLUSION FOR CONSERVATION SUBSIDIES.
(a) In General.--Section 136(a) is amended--
(1) by striking ``any subsidy provided'' and inserting
``any subsidy--
``(1) provided'',
(2) by striking the period at the end and inserting a
comma, and
(3) by adding at the end the following new paragraphs:
``(2) provided (directly or indirectly) by a public utility
to a customer, or by a State or local government to a resident
of such State or locality, for the purchase or installation of
any water conservation or efficiency measure,
``(3) provided (directly or indirectly) by a storm water
management provider to a customer, or by a State or local
government to a resident of such State or locality, for the
purchase or installation of any storm water management measure,
or
``(4) provided (directly or indirectly) by a State or local
government to a resident of such State or locality for the
purchase or installation of any wastewater management measure,
but only if such measure is with respect to the taxpayer's
principal residence.''.
(b) Conforming Amendments.--
(1) Definition of water conservation or efficiency measure
and storm water management measure.--Section 136(c) is
amended--
(A) by striking ``Energy Conservation Measure'' in
the heading thereof and inserting ``Definitions'',
(B) by striking ``In general'' in the heading of
paragraph (1) and inserting ``Energy conservation
measure'', and
(C) by redesignating paragraph (2) as paragraph (5)
and by inserting after paragraph (1) the following:
``(2) Water conservation or efficiency measure.--For
purposes of this section, the term `water conservation or
efficiency measure' means any evaluation of water use, or any
installation or modification of property, the primary purpose
of which is to reduce consumption of water or to improve the
management of water demand with respect to one or more dwelling
units.
``(3) Storm water management measure.--For purposes of this
section, the term `storm water management measure' means any
installation or modification of property primarily designed to
reduce or manage amounts of storm water with respect to one or
more dwelling units.
``(4) Wastewater management measure.--For purposes of this
section, the term `wastewater management measure' means any
installation or modification of property primarily designed to
manage wastewater (including septic tanks and cesspools) with
respect to one or more dwelling units.''.
(2) Definition of public utility.--Section 136(c)(5) (as
redesignated by paragraph (1)(C)) is amended by striking
subparagraph (B) and inserting the following:
``(B) Public utility.--The term `public utility'
means a person engaged in the sale of electricity,
natural gas, or water to residential, commercial, or
industrial customers for use by such customers.
``(C) Storm water management provider.--The term
`storm water management provider' means a person
engaged in the provision of storm water management
measures to the public.
``(D) Person.--For purposes of subparagraphs (B)
and (C), the term `person' includes the Federal
Government, a State or local government or any
political subdivision thereof, or any instrumentality
of any of the foregoing.''.
(3) Clerical amendments.--
(A) The heading for section 136 is amended--
(i) by inserting ``and water'' after
``energy'', and
(ii) by striking ``provided by public
utilities''.
(B) The item relating to section 136 in the table
of sections of part III of subchapter B of chapter 1 is
amended--
(i) by inserting ``and water'' after
``energy'', and
(ii) by striking ``provided by public
utilities''.
(c) Effective Date.--The amendments made by this section shall
apply to amounts received after December 31, 2018.
(d) No Inference.--Nothing in this Act or the amendments made by
this Act shall be construed to create any inference with respect to the
proper tax treatment of any subsidy received directly or indirectly
from a public utility, a storm water management provider, or a State or
local government for any water conservation measure or storm water
management measure before January 1, 2021.
TITLE IV--GREENING THE FLEET AND ALTERNATIVE VEHICLES
SEC. 401. MODIFICATION OF LIMITATIONS ON NEW QUALIFIED PLUG-IN ELECTRIC
DRIVE MOTOR VEHICLE CREDIT.
(a) In General.--Section 30D(e) is amended to read as follows:
``(e) Limitation on Number of New Qualified Plug-In Electric Drive
Motor Vehicles Eligible for Credit.--
``(1) In general.--In the case of any new qualified plug-in
electric drive motor vehicle sold after the date of the
enactment of the GREEN Act of 2020--
``(A) if such vehicle is sold during the transition
period, the amount determined under subsection (b)(2)
shall be reduced by $500, and
``(B) if such vehicle is sold during the phaseout
period, only the applicable percentage of the credit
otherwise allowable under subsection (a) shall be
allowed.
``(2) Transition period.--For purposes of this subsection,
the transition period is the period subsequent to the first
date on which the number of new qualified plug-in electric
drive motor vehicles manufactured by the manufacturer of the
vehicle referred to in paragraph (1) sold for use in the United
States after December 31, 2009, is at least 200,000.
``(3) Phaseout period.--
``(A) In general.--For purposes of this subsection,
the phaseout period is the period beginning with the
second calendar quarter following the calendar quarter
which includes the first date on which the number of
new qualified plug-in electric drive motor vehicles
manufactured by the manufacturer of the vehicle
referred to in paragraph (1) sold for use in the United
States after December 31, 2009, is at least 600,000.
``(B) Applicable percentage.--For purposes of
paragraph (1)(B), the applicable percentage is--
``(i) 50 percent for the first calendar
quarter of the phaseout period, and
``(ii) 0 percent for each calendar quarter
thereafter.
``(C) Exclusion of sale of certain vehicles.--
``(i) In general.--For purposes of
subparagraph (A), any new qualified plug-in
electric drive motor vehicle manufactured by
the manufacturer of the vehicle referred to in
paragraph (1) which was sold during the
exclusion period shall not be included for
purposes of determining the number of such
vehicles sold.
``(ii) Exclusion period.--For purposes of
this subparagraph, the exclusion period is the
period--
``(I) beginning on the first date
on which the number of new qualified
plug-in electric drive motor vehicles
manufactured by the manufacturer of the
vehicle referred to in paragraph (1)
sold for use in the United States after
December 31, 2009, is at least 200,000,
and
``(II) ending on the date of the
enactment of the GREEN Act of 2020.
``(4) Controlled groups.--Rules similar to the rules of
section 30B(f)(4) shall apply for purposes of this
subsection.''.
(b) Extension for 2- and 3-Wheeled Plug-In Electric Vehicles.--
Section 30D(g)(3)(E) is amended to read as follows:
``(E) is acquired after December 31, 2020, and
before January 1, 2026.''.
(c) Effective Date.--
(1) Limitation.--The amendment made by subsection (a) shall
apply to vehicles sold after the date of the enactment of this
Act.
(2) Extension.--The amendment made by subsection (b) shall
apply to vehicles sold after December 31, 2020.
SEC. 402. CREDIT FOR PREVIOUSLY-OWNED QUALIFIED PLUG-IN ELECTRIC DRIVE
MOTOR VEHICLES.
(a) In General.--Subpart A of part IV of subchapter A of chapter 1
is amended by inserting after section 25D the following new section:
``SEC. 25E. PREVIOUSLY-OWNED QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR
VEHICLES.
``(a) Allowance of Credit.--In the case of a qualified buyer who
during a taxable year places in service a previously-owned qualified
plug-in electric drive motor vehicle, there shall be allowed as a
credit against the tax imposed by this chapter for the taxable year an
amount equal to the sum of--
``(1) $1,250, plus
``(2) in the case of a vehicle which draws propulsion
energy from a battery which exceeds 4 kilowatt hours of
capacity (determined at the time of sale), the lesser of--
``(A) $1,250, and
``(B) the product of $208.50 and such excess
kilowatt hours.
``(b) Limitations.--
``(1) Sale price.--The credit allowed under subsection (a)
with respect to sale of a vehicle shall not exceed 30 percent
of the sale price.
``(2) Adjusted gross income.--The amount which would (but
for this paragraph) be allowed as a credit under subsection (a)
shall be reduced (but not below zero) by $250 for each $1,000
(or fraction thereof) by which the taxpayer's adjusted gross
income exceeds $30,000 (twice such amount in the case of a
joint return).
``(c) Definitions.--For purposes of this section--
``(1) Previously-owned qualified plug-in electric drive
motor vehicle.--The term `previously-owned qualified plug-in
electric drive motor vehicle' means, with respect to a
taxpayer, a motor vehicle--
``(A) the model year of which is at least 2 earlier
than the calendar year in which the taxpayer acquires
such vehicle,
``(B) the original use of which commences with a
person other than the taxpayer,
``(C) which is acquired by the taxpayer in a
qualified sale,
``(D) registered by the taxpayer for operation in a
State or possession of the United States, and
``(E) which meets the requirements of subparagraphs
(C), (D), (E), and (F) of section 30D(d)(1).
``(2) Qualified sale.--The term `qualified sale' means a
sale of a motor vehicle--
``(A) by a person who holds such vehicle in
inventory (within the meaning of section 471) for sale
or lease,
``(B) for a sale price of less than $25,000, and
``(C) which is the first transfer since the date of
the enactment of this section to a person other than
the person with whom the original use of such vehicle
commenced.
``(3) Qualified buyer.--The term `qualified buyer' means,
with respect to a sale of a motor vehicle, a taxpayer--
``(A) who is an individual,
``(B) who purchases such vehicle for use and not
for resale,
``(C) with respect to whom no deduction is
allowable with respect to another taxpayer under
section 151,
``(D) who has not been allowed a credit under this
section for any sale during the 3-year period ending on
the date of the sale of such vehicle, and
``(E) who possesses a certificate issued by the
seller that certifies--
``(i) that the vehicle is a previously-
owned qualified plug-in electric drive motor
vehicle,
``(ii) the capacity of the battery at time
of sale, and
``(iii) such other information as the
Secretary may require.
``(4) Motor vehicle; capacity.--The terms `motor vehicle'
and `capacity' have the meaning given such terms in paragraphs
(2) and (4) of section 30D(d), respectively.
``(d) Application of Certain Rules.--For purposes of this section,
rules similar to the rules of paragraphs (1), (2), (4), (5), (6), and
(7) of section 30D(f) shall apply for purposes of this section.
``(e) Certificate Submission Requirement.--The Secretary may
require that the issuer of the certificate described in subsection
(c)(3)(E) submit such certificate to the Secretary at the time and in
the manner required by the Secretary.
``(f) Termination.--No credit shall be allowed under this section
with respect to sales after December 31, 2025.''.
(b) Clerical Amendment.--The table of sections for subpart A of
part IV of subchapter A of chapter 1 is amended by inserting after the
item relating to section 25D the following new item:
``Sec. 25E. Previously-owned qualified plug-in electric drive motor
vehicles.''.
(c) Effective Date.--The amendments made by this section shall
apply to sales after the date of the enactment of this Act.
SEC. 403. CREDIT FOR ZERO-EMISSION HEAVY VEHICLES AND ZERO-EMISSION
BUSES.
(a) In General.--Subpart D of part IV of subchapter A of chapter 1
is amended by adding at the end the following new section:
``SEC. 45U. ZERO-EMISSION HEAVY VEHICLE CREDIT.
``(a) Allowance of Credit.--For purposes of section 38, in the case
of a manufacturer of a zero-emission heavy vehicle, the zero-emission
heavy vehicle credit determined under this section for a taxable year
is an amount equal to 10 percent of the sum of the sale price of each
zero-emission heavy vehicle sold by such taxpayer during such taxable
year.
``(b) Limitation.--The sale price of a zero-emission heavy vehicle
may not be taken into account under subsection (a) to the extent such
price exceeds $1,000,000.
``(c) Zero-Emission Heavy Vehicle.--For purposes of this section--
``(1) In general.--The term `zero-emission heavy vehicle'
means a motor vehicle which--
``(A) has a gross vehicle weight rating of not less
than 14,000 pounds,
``(B) is not powered or charged by an internal
combustion engine, and
``(C) is propelled solely by an electric motor
which draws electricity from a battery or fuel cell.
``(2) Motor vehicle; manufacturer.--The term `motor
vehicle' and `manufacturer' have the meaning given such terms
in paragraphs (2) and (3) of section 30D(d), respectively.
``(d) Special Rules.--
``(1) Sale price.--For purposes of this section, the sale
price of a zero-emission heavy vehicle shall be reduced by any
rebate or other incentive given before, on, or after the date
of the sale.
``(2) Domestic use.--No credit shall be allowed under
subsection (a) with respect to a zero-emission heavy vehicle to
a manufacturer who knows or has reason to know that such
vehicle will not be used primarily in the United States or a
possession of the United States.
``(3) Regulations.--The Secretary shall prescribe such
regulations as may be necessary or appropriate to carry out the
purposes of this section.
``(e) Termination.--This section shall not apply to sales after
December 31, 2025.''.
(b) Credit Made Part of General Business Credit.--Subsection (b) of
section 38 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 zero-emission heavy vehicle credit determined
under section 45U.''.
(c) Clerical Amendment.--The table of sections for subpart D of
part IV of subchapter A of chapter 1 is amended by adding at the end
the following new item:
``Sec. 45U. Zero-emission heavy vehicle credit.''.
(d) Effective Date.--The amendments made by this section shall
apply to sales after the date of the enactment of this Act.
SEC. 404. QUALIFIED FUEL CELL MOTOR VEHICLES.
(a) In General.--Section 30B(k)(1) is amended by striking
``December 31, 2020'' and inserting ``December 31, 2025''.
(b) Effective Date.--The amendment made by this section shall apply
to property placed in service after December 31, 2020.
SEC. 405. ALTERNATIVE FUEL REFUELING PROPERTY CREDIT.
(a) In General.--Section 30C(g) is amended by striking ``December
31, 2020'' and inserting ``December 31, 2025''.
(b) Additional Credit for Certain Electric Charging Property.--
(1) In general.--Section 30C(a) is amended--
(A) by striking ``equal to 30 percent'' and
inserting the following: ``equal to the sum of--
``(1) 30 percent'',
(B) by striking the period at the end and inserting
``, plus'', and
(C) by adding at the end the following new
paragraph:
``(2) 20 percent of so much of such cost as exceeds the
limitation under subsection (b)(1) that does not exceed the
amount of cost attributable to qualified alternative vehicle
refueling property (determined without regard to paragraphs
(1), (2)(A), and (2)(B) of subsection (c)) which--
``(A) is intended for general public use and
recharges motor vehicle batteries with no associated
fee or payment arrangement,
``(B) is intended for general public use and
accepts payment via a credit card reader, or
``(C) is intended for use exclusively by fleets of
commercial or governmental vehicles.''.
(2) Conforming amendment.--Section 30C(b) is amended--
(A) by striking ``The credit allowed under
subsection (a)'' and inserting ``The amount of cost
taken into account under subsection (a)(1)'',
(B) by striking ``$30,000'' and inserting
``$100,000'', and
(C) by striking ``$1,000'' and inserting
``$3,333.33''.
(c) Effective Date.--The amendment made by this section shall apply
to property placed in service after December 31, 2020.
SEC. 406. MODIFICATION OF EMPLOYER-PROVIDED FRINGE BENEFITS FOR BICYCLE
COMMUTING.
(a) Repeal of Suspension of Exclusion for Qualified Bicycle
Commuting Reimbursement.--Section 132(f) is amended by striking
paragraph (8).
(b) Commuting Fringe Includes Bikeshare.--
(1) In general.--Clause (i) of section 132(f)(5)(F) is
amended by striking ``a bicycle'' and all that follows and
inserting ``bikeshare, a bicycle, and bicycle improvements,
repair, and storage, if the employee regularly uses such
bikeshare or bicycle for travel between the employee's
residence and place of employment or mass transit facility that
connects an employee to their place of employment.''.
(2) Bikeshare.--Section 132(f)(5)(F) is amended by adding
at the end the following:
``(iv) Bikeshare.--The term `bikeshare'
means a bicycle rental operation at which
bicycles are made available to customers to
pick up and drop off for point-to-point use
within a defined geographic area.''.
(c) Low-Speed Electric Bicycles.--Section 132(f)(5)(F), as amended
by subsection (b)(2), is amended by adding at the end the following:
``(v) Low-speed electric bicycles.--The
term `bicycle' includes a two- or three-wheeled
vehicle with fully operable pedals and an
electric motor of less than 750 watts (1 h.p.),
whose maximum speed on a paved level surface,
when powered solely by such a motor while
ridden by an operator who weighs 170 pounds, is
less than 20 mph.''.
(d) Modification Relating to Bicycle Commuting Month.--Clause (iii)
of section 132(f)(5)(F) is amended to read as follows:
``(iii) Qualified bicycle commuting
month.--The term `qualified bicycle commuting
month' means, with respect to any employee, any
month during which such employee regularly uses
a bicycle for a portion of the travel between
the employee's residence and place of
employment.''.
(e) Limitation on Exclusion.--
(1) In general.--Subparagraph (C) of section 132(f)(2) is
amended by striking ``applicable annual limitation'' and
inserting ``applicable monthly limitation''.
(2) Applicable monthly limitation defined.--Clause (ii) of
section 132(f)(5)(F) is amended to read as follows:
``(ii) Applicable monthly limitation.--The
term `applicable monthly limitation', with
respect to any employee for any month, means an
amount equal to 20 percent of the dollar amount
in effect for the month under paragraph
(2)(B).''.
(3) Aggregate limitation.--Subparagraph (B) of section
132(f)(2) is amended by inserting ``and the applicable monthly
limitation in the case of any qualified bicycle commuting
benefit''.
(f) No Constructive Receipt.--Paragraph (4) of section 132(f) is
amended by striking ``(other than a qualified bicycle commuting
reimbursement)''.
(g) Conforming Amendments.--Paragraphs (1)(D), (2)(C), and (5)(F)
of section 132(f) are each amended by striking ``reimbursement'' each
place it appears and inserting ``benefit''.
(h) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2020.
TITLE V--INVESTMENT IN THE GREEN WORKFORCE
SEC. 501. EXTENSION OF THE ADVANCED ENERGY PROJECT CREDIT.
(a) In General.--Section 48C is amended by redesignating subsection
(e) as subsection (f) and by inserting after subsection (d) the
following new subsection:
``(e) Additional Allocations.--
``(1) In general.--Not later than 180 days after the date
of enactment of this paragraph, the Secretary, after
consultation with the Secretary of Energy, shall establish a
program to designate amounts of qualifying advanced project
credit limitation to qualifying advanced energy projects.
``(2) Annual limitation.--
``(A) In general.--The amount of qualifying
advanced project credit limitation that may be
designated under this subsection during any calendar
year shall not exceed the annual credit limitation with
respect to such year.
``(B) Annual credit limitation.--For purposes of
this subsection, the term `annual credit limitation'
means $2,500,000,000 for each of calendar years 2021,
2022, 2023, 2024, and 2025, and zero thereafter.
``(C) Carryover of unused limitation.--If the
annual credit limitation for any calendar year exceeds
the aggregate amount designated for such year under
this subsection, such limitation for the succeeding
calendar year shall be increased by the amount of such
excess. No amount may be carried under the preceding
sentence to any calendar year after 2025.
``(3) Placed in service deadline.--No credit shall be
determined under subsection (a) with respect to any property
which is placed in service after the date that is 4 years after
the date of the designation under this subsection relating to
such property.
``(4) Selection criteria.--Selection criteria similar to
those in subsection (d)(3) shall apply, except that in
determining designations under this subsection, the Secretary,
after consultation with the Secretary of Energy, shall--
``(A) require that applicants provide written
assurances to the Secretary that all laborers and
mechanics employed by contractors and subcontractors in
the performance of construction, alteration or repair
work on a qualifying advanced energy project shall be
paid wages at rates not less than those prevailing on
projects of a similar character in the locality as
determined by the Secretary of Labor in accordance with
subchapter IV of chapter 31 of title 40, United States
Code, and
``(B) give the highest priority to projects which--
``(i) manufacture (other than primarily
assembly of components) property described in a
subclause of subsection (c)(1)(A)(i) (or
components thereof), and
``(ii) have the greatest potential for
commercial deployment of new applications.
``(5) Disclosure of designations.--Rules similar to the
rules of subsection (d)(5) shall apply for purposes of this
subsection.''.
(b) Clarification With Respect to Electrochromatic Glass.--Section
48C(c)(1)(A)(i)(V) is amended--
(1) by striking ``and smart grid'' and inserting ``, smart
grid'', and
(2) by inserting ``, and electrochromatic glass'' before
the comma at the end.
(c) Effective Date.--The amendment made by this section shall take
effect on the date of the enactment of this Act.
(d) Progress Report.--During the 30-day period ending on December
31, 2025, the Secretary of the Treasury (or the Secretary's delegate),
after consultation with the Secretary of Labor, shall submit a report
to Congress on the domestic job creation, wages associated with such
jobs, and the amount of such wages paid as described in section
48C(e)(4)(B) of the Internal Revenue Code of 1986, attributable to the
amendment made by this section.
SEC. 502. LABOR COSTS OF INSTALLING MECHANICAL INSULATION PROPERTY.
(a) In General.--Subpart D of part IV of subchapter A of chapter 1,
as amended by the preceding provisions of this Act, is further amended
by adding at the end the following new section:
``SEC. 45V. LABOR COSTS OF INSTALLING MECHANICAL INSULATION PROPERTY.
``(a) In General.--For purposes of section 38, the mechanical
insulation labor costs credit determined under this section for any
taxable year is an amount equal to 10 percent of the mechanical
insulation labor costs paid or incurred by the taxpayer during such
taxable year.
``(b) Mechanical Insulation Labor Costs.--For purposes of this
section--
``(1) In general.--The term `mechanical insulation labor
costs' means the labor cost of installing mechanical insulation
property with respect to a mechanical system referred to in
paragraph (2)(A) which was originally placed in service not
less than 1 year before the date on which such mechanical
insulation property is installed.
``(2) Mechanical insulation property.--The term `mechanical
insulation property' means insulation materials, and facings
and accessory products installed in connection to such
insulation materials--
``(A) placed in service in connection with a
mechanical system which--
``(i) is located in the United States, and
``(ii) is of a character subject to an
allowance for depreciation, and
``(B) which result in a reduction in energy loss
from the mechanical system which is greater than the
expected reduction from the installation of insulation
materials which meet the minimum requirements of
Reference Standard 90.1 (as defined in section
179D(c)(2)).
``(c) Termination.--This section shall not apply to mechanical
insulation labor costs paid or incurred after December 31, 2025.''.
(b) Credit Allowed as Part of General Business Credit.--Section
38(b), as amended by the preceding provisions of this Act, is further
amended by striking ``plus'' at the end of paragraph (33), by striking
the period at the end of paragraph (34) and inserting ``, plus'', and
by adding at the end the following new paragraph:
``(35) the mechanical insulation labor costs credit
determined under section 45V(a).''.
(c) Conforming Amendments.--
(1) Section 280C is amended by adding at the end the
following new subsection:
``(i) Mechanical Insulation Labor Costs Credit.--
``(1) In general.--No deduction shall be allowed for that
portion of the mechanical insulation labor costs (as defined in
section 45V(b)) otherwise allowable as deduction for the
taxable year which is equal to the amount of the credit
determined for such taxable year under section 45V(a).
``(2) Similar rule where taxpayer capitalizes rather than
deducts expenses.--If--
``(A) the amount of the credit determined for the
taxable year under section 45V(a), exceeds
``(B) the amount allowable as a deduction for such
taxable year for mechanical insulation labor costs
(determined without regard to paragraph (1)),
the amount chargeable to a capital account for the taxable year
for such costs shall be reduced by the amount of such
excess.''.
(2) The table of sections for subpart D of part IV of
subchapter A of chapter 1, as amended by the preceding
provisions of this Act, is further amended by adding at the end
the following new item:
``Sec. 45V. Labor costs of installing mechanical insulation
property.''.
(d) Effective Date.--The amendments made by this section shall
apply to amounts paid or incurred after December 31, 2020, in taxable
years ending after such date.
SEC. 503. LABOR STANDARDS FOR CERTAIN ENERGY JOBS.
(a) Department of Labor Certification of Qualified Entities.--
(1) Definitions.--In this subsection--
(A) Applicable construction project.--The term
``applicable construction project'' means, with respect
to any entity--
(i) the construction of any dwelling unit
referred to in section 45L(a)(3) of the
Internal Revenue Code of 1986,
(ii) the installation of any qualified
energy property described in section 48D(a)(1)
of such Code,
(iii) the installation of any qualified
property referred to in paragraph (2) of
section 48D(a) of such Code as part of the
construction of any qualified investment credit
facility described in such paragraph, and
(iv) the installation of any energy
efficient commercial building property (as
defined in section 179D(c)(1) of such Code).
(B) Covered project labor agreement.--The term
``covered project labor agreement'' means a project
labor agreement that--
(i) binds all contractors and
subcontractors on the construction project
through the inclusion of appropriate
specifications in all relevant solicitation
provisions and contract documents,
(ii) allows all contractors and
subcontractors to compete for contracts and
subcontracts without regard to whether they are
otherwise a party to a collective bargaining
agreement,
(iii) contains guarantees against strikes,
lockouts, and other similar job disruptions,
(iv) sets forth effective, prompt, and
mutually binding procedures for resolving labor
disputes arising during the covered project
labor agreement, and
(v) provides other mechanisms for labor-
management cooperation on matters of mutual
interest and concern, including productivity,
quality of work, safety, and health.
(C) Project labor agreement.--The term ``project
labor agreement'' means a pre-hire collective
bargaining agreement with one or more labor
organizations that establishes the terms and conditions
of employment for a specific construction project and
is described in section 8(f) of the National Labor
Relations Act (29 U.S.C. 158(f)).
(D) Qualified entity.--The term ``qualified
entity'' means an entity that the Secretary of Labor
certifies as a qualified entity in accordance with
paragraph (2).
(E) Registered apprenticeship program.--The term
``registered apprenticeship program'' means an
apprenticeship program registered and certified with
the Secretary of Labor under section 1 of the National
Apprenticeship Act (29 U.S.C. 50).
(2) Certification of qualified entities.--
(A) In general.--The Secretary of Labor shall
establish a process for certifying entities that submit
an application under subparagraph (B) as qualified
entities with respect to applicable construction
projects for purposes of the amendments made by
subsections (b), (c), and (d).
(B) Application process.--
(i) In general.--An entity seeking
certification as a qualified entity under this
paragraph shall submit an application to the
Secretary of Labor at such time, in such
manner, and containing such information as the
Secretary may reasonably require, including
information to demonstrate compliance with the
requirements under subparagraph (C).
(ii) Requests for additional information.--
Not later than 1 year after receiving an
application from an entity under clause (i)--
(I) the Secretary of Labor may
request additional information from the
entity in order to determine whether
the entity is in compliance with the
requirements under subparagraph (C),
and
(II) the entity shall provide such
additional information.
(iii) Determination deadline.--The
Secretary of Labor shall make a determination
on whether to certify an entity under this
subsection not later than--
(I) in a case in which the
Secretary requests additional
information described in paragraph
(2)(B)(ii), 1 year after the Secretary
receives such additional information
from the entity, or
(II) in a case that is not
described in subclause (I), 1 year
after the date on which the entity
submits the application under clause
(i).
(iv) Precertification remedies.--The
Secretary shall consider any corrective actions
taken by an entity seeking certification under
this paragraph to remedy an administrative
merits determination, arbitral award or
decision, or civil judgment identified under
subparagraph (C)(iii) and shall impose as a
condition of certification any additional
remedies necessary to avoid further or repeated
violations.
(C) Labor standards requirements.--The Secretary of
Labor shall require an entity, as a condition of
certification under this subsection, to satisfy each of
the following requirements--
(i) The entity shall ensure that all
laborers and mechanics employed by contractors
and subcontractors in the performance of any
applicable construction project shall be paid
wages at rates not less than those prevailing
on projects of a similar character in the
locality as determined by the Secretary of
Labor in accordance with subchapter IV of
chapter 31 of title 40, United States Code
(commonly known as the ``Davis-Bacon Act'').
(ii) The entity shall be a party to, or
require contractors and subcontractors in the
performance of any applicable construction
project to consent to, a covered project labor
agreement.
(iii) The entity, and all contractors and
subcontractors in performance of any applicable
construction project, shall represent in the
application submitted under subparagraph (B)
whether there has been any administrative
merits determination, arbitral award or
decision, or civil judgment, as defined in
guidance issued by the Secretary of Labor,
rendered against the entity in the preceding 3
years for violations of--
(I) the Fair Labor Standards Act of
1938 (29 U.S.C. 201 et seq.),
(II) the Occupational Safety and
Health Act of 1970 (29 U.S.C. 651 et
seq.),
(III) the Migrant and Seasonal
Agricultural Worker Protection Act (29
U.S.C. 1801 et seq.),
(IV) the National Labor Relations
Act (29 U.S.C. 151 et seq.),
(V) subchapter IV of chapter 31 of
title 40, United States Code (commonly
known as the ``Davis-Bacon Act''),
(VI) chapter 67 of title 41, United
States Code (commonly known as the
``Service Contract Act''),
(VII) Executive Order 11246 (42
U.S.C. 2000e note; relating to equal
employment opportunity),
(VIII) section 503 of the
Rehabilitation Act of 1973 (29 U.S.C.
793),
(IX) section 4212 of title 38,
United States Code,
(X) the Family and Medical Leave
Act of 1993 (29 U.S.C. 2601 et seq.),
(XI) title VII of the Civil Rights
Act of 1964 (42 U.S.C. 2000e et seq.),
(XII) the Americans with
Disabilities Act of 1990 (42 U.S.C.
12101 et seq.),
(XIII) the Age Discrimination in
Employment Act of 1967 (29 U.S.C. 621
et seq.),
(XIV) Federal Government standards
establishing a minimum wage for
contractors, or
(XV) equivalent State laws, as
defined in guidance issued by the
Secretary of Labor.
(iv) The entity, and all contractors and
subcontractors in the performance of any
applicable construction project, shall not
require mandatory arbitration for any dispute
involving a worker engaged in a service for the
entity.
(v) The entity, and all contractors and
subcontractors in the performance of any
applicable construction project, shall consider
an individual performing any service in such
performance as an employee (and not an
independent contractor) of the entity,
contractor, or subcontractor, respectively,
unless--
(I) the individual is free from
control and direction in connection
with the performance of the service,
both under the contract for the
performance of the service and in fact,
(II) the service is performed
outside the usual course of the
business of the entity, contractor, or
subcontractor, respectively, and
(III) the individual is customarily
engaged in an independently established
trade, occupation, profession, or
business of the same nature as that
involved in such service.
(vi) The entity shall prohibit all
contractors and subcontractors in the
performance of any applicable construction
project from hiring employees through a
temporary staffing agency unless the relevant
State workforce agency certifies that temporary
employees are necessary to address an acute,
short-term labor demand.
(vii) The entity shall require all
contractors, subcontractors, successors in
interest of the entity, and other entities that
may acquire the entity, in the performance or
acquisition of any applicable construction
project, to have an explicit neutrality policy
on any issue involving the organization of
employees of the entity, and all contractors
and subcontractors in the performance of any
applicable construction project, for purposes
of collective bargaining.
(viii) The entity shall, for each skilled
craft employed on any applicable construction
project, demonstrate an ability to use and
commit to use individuals enrolled in a
registered apprenticeship program, which such
individuals shall, to the greatest extent
practicable, constitute not less than 20
percent of the individuals working on such
project.
(ix) The entity, and all contractors and
subcontractors in the performance of any
applicable construction project, shall not
request or otherwise consider the criminal
history of an applicant for employment before
extending a conditional offer to the applicant,
unless--
(I) a background check is otherwise
required by law,
(II) the position is for a Federal
law enforcement officer (as defined in
section 115(c)(1) of title 18, United
States Code) position, or
(III) the Secretary of Labor, after
consultation with the Secretary of
Energy, certifies that precluding
criminal history prior to the
conditional offer would pose a threat
to national security.
(D) Davis-bacon act.--The Secretary of Labor shall
have, with respect to the labor standards described in
subparagraph (C)(i), the authority and functions set
forth in Reorganization Plan Numbered 14 of 1950 (64
Stat. 1267; 5 U.S.C. App.) and section 3145 of title
40, United States Code.
(E) Period of validity for certifications.--A
certification made under this subsection shall be in
effect for a period of 5 years. An entity may reapply
to the Secretary of Labor for an additional
certification under this subsection in accordance with
the application process under paragraph (2)(B).
(F) Revocation of qualified entity status.--The
Secretary of Labor may revoke the certification of an
entity under this subsection as a qualified entity at
any time in which the Secretary reasonably determines
the entity is no longer in compliance with paragraph
(2)(C).
(G) Certification may cover more than 1
substantially similar project.--The Secretary of Labor
may make certifications under this paragraph which
apply with respect to more than 1 project if the
projects to which such certification apply are
substantially similar projects which meet the
requirements of this subsection. Such projects shall be
treated as a specific construction project for purposes
of paragraph (1)(C).
(3) Authorization of appropriations.--There is authorized
to be appropriated to carry out this section $10,000,000 for
fiscal year 2020 and each fiscal year thereafter.
(b) Jobs in Energy Credit.--
(1) In general.--Subpart E of part IV of subchapter A of
chapter 1 of the Internal Revenue Code of 1986 is amended by
inserting after section 48C the following new section:
``SEC. 48D. JOBS IN ENERGY CREDIT.
``(a) Investment Credit for Qualified Property.--For purposes of
section 46, the jobs in energy credit for any taxable year is an amount
equal to 10 percent of the basis of any qualified energy property
placed in service by the taxpayer during such taxable year if the
installation of such property is performed by a qualified entity with
respect to such property.
``(b) Qualified Energy Property.--For purposes of this section, the
term `qualified energy property' means--
``(1) energy property (as defined in section 48(a)(3)), or
``(2) qualified property which is part of a qualified
investment credit facility (as defined in section 48(a)(5)
without regard to clause (a)(5)(C)(iii)) which is originally
placed in service after December 31, 2020.
``(c) Qualified Entity.--For purposes of this section--
``(1) In general.--The term `qualified entity' means, with
respect to the installation of any qualified energy property,
an entity which is certified by the Secretary of Labor as being
in compliance with all of the applicable requirements under
section 503(a) of the GREEN Act of 2020 with respect to such
installation at all times during the period beginning on the
date on which the installation of such property begins and
ending on the date on which such property is placed in service.
``(2) Certification of facility required.--In the case of
any qualified property referred to in subsection (b)(2), an
entity shall be treated as a qualified entity with respect to
the installation of such property only if the Secretary of
Labor has certified that the construction of the qualified
investment credit facility of which such qualified property is
a part as being in compliance with all of the applicable
requirements under section 503(a) of the GREEN Act of 2020 for
the period referred to in paragraph (1).
``(d) Special Rules.--
``(1) Certain progress expenditure rules made applicable.--
Rules similar to the rules of subsections (c)(4) and (d) of
section 46 (as in effect on the day before the date of the
enactment of the Revenue Reconciliation Act of 1990) shall
apply for purposes of subsection (a).
``(2) Special rule for property financed by subsidized
energy financing or industrial development bonds.--For purposes
of subsection (a), rules similar to the rules of section
48(a)(4) shall apply for purposes of determining the basis of
any qualified energy property.
``(3) Recapture.--If the Secretary of Labor revokes the
certification of a qualified entity with respect to the
installation of any property, the tax imposed under this
chapter on the taxpayer to whom the credit determined under
this section is allowed shall be increased for the taxable year
which includes the date of such revocation by an amount equal
to the aggregate decrease in the credits allowed under section
38 for all prior taxable years which would have resulted solely
from reducing to zero any credit determined under this section
with respect to such property.
``(4) Election not to have section apply.--This section
shall not apply with respect to any taxpayer for any taxable
year if such taxpayer elects (at such time and in such manner
as the Secretary may prescribe) not to have this section
apply.''.
(2) Conforming amendments.--
(A) Section 46 of such Code is amended by striking
``and'' at the end of paragraph (5), by striking the
period at the end of paragraph (6) and inserting ``,
and'', and by adding at the end the following new
paragraph:
``(7) the jobs in energy credit.''.
(B) Section 49(a)(1)(C) of such Code is amended by
striking ``and'' at the end of clause (iv), by striking
the period at the end of clause (v) and inserting a
comma, and by adding at the end the following new
clause:
``(vi) the basis of any qualified energy
property under section 48D.''.
(C) Section 50(a)(2)(E) of such Code is amended by
striking ``or 48C(b)(2)'' and inserting ``48C(b)(2), or
48D(d)(1)''.
(D) The table of sections for subpart E of part IV
of subchapter A of chapter 1 of such Code is amended by
inserting after the item relating to section 48C the
following new item:
``Sec. 48D. Jobs in energy credit.''.
(3) Effective date.--The amendments made by this section
shall apply to periods after December 31, 2020, 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).
(c) Increase in New Energy Efficient Home Credit for Contracting
With Qualified Entities.--
(1) In general.--Section 45L(a) of the Internal Revenue
Code of 1986 is amended by adding at the end the following:
``(3) Adjustment for qualified entities.--
``(A) In general.--In the case of any dwelling unit
which was constructed by an eligible contractor which
is certified by the Secretary of Labor as being in
compliance with all of the applicable requirements
under section 503(a) of the GREEN Act of 2020 with
respect to the construction of such dwelling unit,
paragraph (2)(A) shall be applied by substituting
`$2,700' for `$2,500'.
``(B) Recapture of adjustment for qualified
entities.--If the Secretary of Labor revokes the
certification of a qualified entity with respect to the
construction of any qualified new energy efficient
home, the tax imposed under this chapter on the
taxpayer to whom the credit determined under this
section is allowed shall be increased for the taxable
year which includes the date of such revocation by an
amount equal to the aggregate decrease in the credits
allowed under section 38 for all prior taxable years
which would have resulted solely from applying this
section without regard to subparagraph (A).''.
(2) Effective date.--The amendment made by this section
shall apply to dwelling units acquired after December 31, 2020.
(d) Increase in Energy Efficient Commercial Building Deduction for
Installation by Qualified Entities.--
(1) In general.--Section 179D(d) of the Internal Revenue
Code of 1986 is amended by adding at the end the following:
``(7) Adjustment for qualified entities.--In the case of
any energy efficient commercial building property which was
installed by an entity which is certified by the Secretary of
Labor as being in compliance with all of the applicable
requirements under section 503(a) of the GREEN Act of 2020 with
respect to such installation, subsection (b)(1)(A) shall be
applied by substituting `$3.20' for `$3'.''.
(2) Conforming amendment.--Section 179D(d)(1)(A) of such
Code is amended by inserting ``(or, in the case of property to
which paragraph (7) applies, by substituting `$1.07' for
`$3.20' in such paragraph)'' before the period at the end.
(3) Effective date.--The amendment made by this section
shall apply to property placed in service after December 31,
2020.
TITLE VI--ENVIRONMENTAL JUSTICE
SEC. 601. QUALIFIED ENVIRONMENTAL JUSTICE PROGRAM CREDIT.
(a) In General.--Subpart C of part IV of subchapter A of chapter 1
is amended by adding at the end the following new section:
``SEC. 36C. QUALIFIED ENVIRONMENTAL JUSTICE PROGRAMS.
``(a) Allowance of Credit.--In the case of an eligible educational
institution, there shall be allowed as a credit against the tax imposed
by this subtitle for any taxable year an amount equal to the applicable
percentage of the amounts paid or incurred by such taxpayer during such
taxable year which are necessary for a qualified environmental justice
program.
``(b) Qualified Environmental Justice Program.--For purposes of
this section--
``(1) In general.--The term `qualified environmental
justice program' means a program conducted by one or more
eligible educational institutions that is designed to address,
or improve data about, qualified environmental stressors for
the primary purpose of improving, or facilitating the
improvement of, health and economic outcomes of individuals
residing in low-income areas or areas populated
disproportionately by racial or ethnic minorities.
``(2) Qualified environmental stressor.--The term
`qualified environmental stressor' means, with respect to an
area, a contamination of the air, water, soil, or food with
respect to such area or a change relative to historical norms
of the weather conditions of such area.
``(c) Eligible Educational Institution.--For purposes of this
section, the term `eligible educational institution' means an
institution of higher education (as such term is defined in section 101
or 102(c) of the Higher Education Act of 1965) that is eligible to
participate in a program under title IV of such Act.
``(d) Applicable Percentage.--For purposes of this section, the
term `applicable percentage' means--
``(1) in the case of a program involving material
participation of faculty and students of an institution
described in section 371(a) of the Higher Education Act of
1965, 30 percent, and
``(2) in all other cases, 20 percent.
``(e) Credit Allocation.--
``(1) Allocation.--
``(A) In general.--The Secretary shall allocate
credit dollar amounts under this section to eligible
educational institutions, for qualified environmental
justice programs, that--
``(i) submit applications at such time and
in such manner as the Secretary may provide,
and
``(ii) are selected by the Secretary under
subparagraph (B).
``(B) Selection criteria.--The Secretary, after
consultation with the Secretary of Energy, the
Secretary of Education, the Secretary of Health and
Human Services, and the Administrator of the
Environmental Protection Agency, shall select
applications on the basis of the following criteria:
``(i) The extent of participation of
faculty and students of an institution
described in section 371(a) of the Higher
Education Act of 1965.
``(ii) The extent of the expected effect on
the health or economic outcomes of individuals
residing in areas within the United States that
are low-income areas or areas populated
disproportionately by racial or ethnic
minorities.
``(iii) The creation or significant
expansion of qualified environmental justice
programs.
``(2) Limitations.--
``(A) In general.--The amount of the credit
determined under this section for any taxable year to
any eligible educational institution for any qualified
environmental justice program shall not exceed the
excess of--
``(i) the credit dollar amount allocated to
such institution for such program under this
subsection, over
``(ii) the credits previously claimed by
such institution for such program under this
section.
``(B) Five-year limitation.--No amounts paid or
incurred after the 5-year period beginning on the date
a credit dollar amount is allocated to an eligible
educational institution for a qualified environmental
justice program shall be taken into account under
subsection (a) with respect to such institution for
such program.
``(C) Allocation limitation.--The total amount of
credits that may be allocated under the program shall
not exceed--
``(i) $1,000,000,000 for each of 2021,
2022, 2023, 2024, and 2025, and
``(ii) $0 for each subsequent year.
``(f) Requirements.--
``(1) In general.--An eligible educational institution that
has been allocated credit dollar amounts under this section for
a qualified environmental justice project for a taxable year
shall--
``(A) make publicly available the application
submitted to the Secretary under subsection (e) with
respect to such project, and
``(B) submit an annual report to the Secretary that
describes the amounts paid or incurred for, and
expected impact of, such project.
``(2) Failure to comply.--In the case of an eligible
educations institution that has failed to comply with the
requirements of this subsection, the credit dollar amount
allocated to such institution under this section is deemed to
be $0.
``(g) Public Disclosure.--The Secretary, upon making an allocation
of credit dollar amounts under this section, shall publicly disclose--
``(1) the identity of the eligible educational institution
receiving the allocation, and
``(2) the amount of such allocation.''.
(b) Conforming Amendments.--
(1) Section 6211(b)(4)(A) is amended by inserting ``36C,''
after ``36B,''.
(2) Paragraph (2) of section 1324(b) of title 31, United
States Code, is amended by inserting ``36C,'' after ``36B,''.
(c) Clerical Amendment.--The table of sections for subpart C of
part IV of subchapter A of chapter 1 is amended by inserting after the
item relating to section 36B the following new item:
``Sec. 36C. Qualified environmental justice programs.''.
(d) Effective Date.--The amendments made by this section shall take
effect on the date of the enactment of this Act.
TITLE VII--TREASURY REPORT ON DATA FROM THE GREENHOUSE GAS REPORTING
PROGRAM
SEC. 701. REPORT ON GREENHOUSE GAS REPORTING PROGRAM.
(a) In General.--Not later than 180 days after the date of the
enactment of this Act, the Secretary of the Treasury (or the
Secretary's delegate) shall submit a report to Congress on the utility
of the data from the Greenhouse Gas Reporting Program for determining
the amount of greenhouse gases emitted by each taxpayer for the purpose
of imposing a fee on such taxpayers with respect to such emissions.
Such report shall include a detailed description and analysis of any
administrative or other challenges associated with using such data for
such purpose.
(b) Greenhouse Gas Reporting Program.--For purposes of this
section, the term ``Greenhouse Gas Reporting Program'' means the
reporting program established by the Administrator of the Environmental
Protection Agency under title II of division F of the Consolidated
Appropriations Act, 2008.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
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