Incentivizing Offshore Wind Power Act - Amends the Internal Revenue Code to: (1) allow a 30% tax credit for investment in a qualifying offshore wind facility (an offshore facility using wind to produce electricity), and (2) direct the Secretary of the Treasury to establish a qualifying credit for offshore wind facilities program to consider and award certifications for investments eligible for such a credit to qualifying offshore wind facility sponsors.
Requires the Secretary to review credits allocated under this Act and authorizes the Secretary to reallocate such credits upon determining that: (1) there is an insufficient quantity of qualifying applications for certification pending at the time of the review, or (2) scheduled placed-in-service dates of previously certified facilities have been significantly delayed and the applicant will not meet the required timeline.
[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3238 Introduced in House (IH)]
112th CONGRESS
1st Session
H. R. 3238
To amend the Internal Revenue Code of 1986 to provide for an investment
tax credit related to the production of electricity from offshore wind.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
October 18, 2011
Mr. Pascrell (for himself and Mr. LoBiondo) 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 for an investment
tax credit related to the production of electricity from offshore wind.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Incentivizing Offshore Wind Power
Act''.
SEC. 2. QUALIFYING OFFSHORE WIND FACILITY CREDIT.
(a) In General.--Section 46 of the Internal Revenue Code of 1986 is
amended by striking ``and'' at the end of paragraph (5), by striking
the period at the end of paragraph (6), and by adding at the end the
following new paragraph:
``(7) the qualifying offshore wind facility credit.''.
(b) Amount of Credit.--Subpart E of part IV of subchapter A of
chapter 1 of the Internal Revenue Code of 1986 is amended by inserting
after section 48D the following new section:
``SEC. 48E. CREDIT FOR OFFSHORE WIND FACILITIES.
``(a) In General.--For purposes of section 46, the qualifying
offshore wind facility credit for any taxable year is an amount equal
to 30 percent of the qualified investment for such taxable year with
respect to any qualifying offshore wind facility of the taxpayer.
``(b) Qualified Investment.--
``(1) In general.--For purposes of subsection (a), the
qualified investment for any taxable year is the basis of
eligible property placed in service by the taxpayer during such
taxable year which is part of a qualifying offshore wind
facility.
``(2) Certain qualified progress expenditures 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
enactment of the Revenue Reconciliation Act of 1990) shall
apply for purposes of this section.
``(c) Definitions.--For purposes of this section--
``(1) Qualifying offshore wind facility.--
``(A) In general.--The term `qualifying offshore
wind facility' means an offshore facility using wind to
produce electricity.
``(B) Offshore facility.--The term `offshore
facility' means any facility located in the inland
navigable waters of the United States, including the
Great Lakes, or in the coastal waters of the United
States, including the territorial seas of the United
States, the exclusive economic zone of United States,
and the outer Continental Shelf of the United States.
``(2) Eligible property.--The term `eligible property'
means any property--
``(A) which is--
``(i) tangible personal property, or
``(ii) other tangible property (not
including a building or its structural
components), but only if such property is used
as an integral part of the qualifying offshore
wind facility, and
``(B) with respect to which depreciation (or
amortization in lieu of depreciation) is allowable.
``(d) Qualifying Credit for Offshore Wind Facilities Program.--
``(1) Establishment.--
``(A) In general.--Not later than 180 days after
the date of the enactment of this section, the
Secretary, in consultation with the Secretary of Energy
and the Secretary of the Interior, shall establish a
qualifying credit for offshore wind facilities program
to consider and award certifications for qualified
investments eligible for credits under this section to
qualifying offshore wind facility sponsors.
``(B) Limitation.--The total amount of megawatt
capacity for offshore facilities with respect to which
credits may be allocated under the program shall not
exceed 3,000 megawatts.
``(2) Certification.--
``(A) Application period.--Each applicant for
certification under this paragraph shall submit an
application containing such information as the
Secretary may require beginning on the date the
Secretary establishes the program under paragraph (1).
``(B) Period of issuance.--An applicant which
receives a certification shall have 5 years from the
date of issuance of the certification in order to place
the facility in service and if such facility is not
placed in service by that time period, then the
certification shall no longer be valid.
``(3) Selection criteria.--In determining which qualifying
offshore wind facilities to certify under this section, the
Secretary shall--
``(A) take into consideration which facilities will
be placed in service at the earliest date, and
``(B) take into account the technology of the
facility that may lead to reduced industry and consumer
costs or expand access to offshore wind.
``(4) Review and redistribution.--
``(A) Review.--Not later than 4 years after the
date of the enactment of this section, the Secretary
shall review the credits allocated under this section
as of such date.
``(B) Redistribution.--The Secretary may reallocate
credits awarded under this section if the Secretary
determines that--
``(i) there is an insufficient quantity of
qualifying applications for certification
pending at the time of the review, or
``(ii) scheduled placed-in-service dates of
previously certified facilities have been
significantly delayed and the Secretary
determines the applicant will not meet the
timeline pursuant to paragraph (2)(B).
``(C) Reallocation.--If the Secretary determines
that credits under this section are available for
reallocation pursuant to the requirements set forth in
paragraph (2), the Secretary is authorized to conduct
an additional program for applications for
certification.
``(5) Disclosure of allocations.--The Secretary shall, upon
making a certification under this subsection, publicly disclose
the identity of the applicant and the amount of the credit with
respect to such applicant.
``(e) Denial of Double Benefit.--A credit shall not be allowed
under this section with respect to any facility if--
``(1) a credit has been allowed to such facility under
section 45 for such taxable year or any prior taxable year,
``(2) a credit has been allowed with respect to such
facility under section 46 by reason of section 48(a) or 48C(a)
for such taxable or any preceding taxable year, or
``(3) a grant has been made with respect to such facility
under section 1603 of the American Recovery and Reinvestment
Act of 2009.''.
(c) Conforming Amendments.--
(1) Section 49(a)(1)(C) of the Internal Revenue Code of
1986 is amended--
(A) by striking ``and'' at the end of clause (v),
(B) by striking the period at the end of clause
(vi) and inserting ``, and''; and
(C) by adding after clause (vi) the following new
clause:
``(vi) the basis of any property which is
part of a qualifying offshore wind facility
under section 48E.''.
(2) The table of sections for subpart E of part IV of
subchapter A of chapter 1 of the Internal Revenue Code of 1986
is amended by inserting after the item relating to section 48D
the following new item:
``48E. Credit for offshore wind facilities.''.
(d) Effective Date.--The amendments made by this section shall
apply to periods after the date of the enactment of this Act, 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).
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
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