I 

116TH CONGRESS 

1ST SESSION H. R. 5160 

To amend the Internal Revenue Code of 1986 to modify the energy efficient 

commercial buildings deduction. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 19, 2019 

Mr. BLUMENAUER (for himself, Mr. SUOZZI, Ms. SA ́NCHEZ, Mr. DANNY K. 

DAVIS of Illinois, Mr. HORSFORD, Mr. BEYER, Mr. PANETTA, Mr. 

SCHNEIDER, Mr. EVANS, Mr. DOGGETT, and Ms. MOORE) 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 modify 

the energy efficient commercial buildings deduction. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Energy Efficient Com5 mercial Buildings Act of 2019’’. 


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1 SEC. 2. ENERGY EFFICIENT COMMERCIAL BUILDINGS DE2 DUCTION. 

3 (a) EXTENSION.—Section 179D(h) of the Internal 

4 Revenue Code of 1986 is amended by striking ‘‘December 

5 31, 2017’’ and inserting ‘‘December 31, 2024’’. 

6 (b) INCREASE IN THE MAXIMUM AMOUNT OF DE7 DUCTION.— 

8 (1) IN GENERAL.—Section 179D(b) of such 

9 Code is amended by striking ‘‘$1.80’’ and inserting 

10 ‘‘$3’’. 

11 (2) INFLATION ADJUSTMENT.—Section 179D of 

12 such Code is amended by adding at the end the fol13 lowing new subsection: 

14 ‘‘(i) INFLATION ADJUSTMENT.—In the case of a tax15 able year beginning after 2020, each dollar amount in sub16 section (b) or subsection (d)(1)(A) shall be increased by 

17 an amount equal to— 

18 ‘‘(1) such dollar amount, multiplied by 

19 ‘‘(2) the cost-of-living adjustment determined 

20 under section 1(f)(3) for the calendar year in which 

21 the taxable year begins, determined by substituting 

22 ‘calendar year 2019’ for ‘calendar year 2016’ in sub23 paragraph (A)(ii) thereof.’’. 

24 (3) CONFORMING AMENDMENT.—Section 

25 179D(d)(1)(A) of such Code is amended by striking 


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1 ‘‘by substituting ‘$.60’ for ‘$1.80’ ’’ and inserting 

2 ‘‘by substituting ‘$1’ for ‘$3’ ’’. 

3 (c) LIMIT ON DEDUCTION LIMITED TO THREE-YEAR

4 PERIOD.—Section 179D(b)(2) of such Code is amended 

5 by striking ‘‘for all prior taxable years’’ and inserting ‘‘for 

6 the 3 years immediately preceding such taxable year’’. 

7 (d) UPDATE OF STANDARDS.— 

8 (1) ASHRAE STANDARDS.—Section 179D(c) of 

9 such Code is amended— 

10 (A) in paragraphs (1)(B)(ii) and (1)(D), 

11 by striking ‘‘Standard 90.1–2007’’ and insert12 ing ‘‘Reference Standard 90.1’’, and 

13 (B) by amending paragraph (2) to read as 

14 follows: 

15 ‘‘(2) REFERENCE STANDARD 90.1.—The term 

16 ‘Reference Standard 90.1’ means, with respect to 

17 property, the Standard 90.1 most recently adopted 

18 (as of the date that is 2 years before the date that 

19 construction of such property begins) by the Amer20 ican Society of Heating, Refrigerating, and Air Con21 ditioning Engineers and the Illuminating Engineer22 ing Society of North America.’’. 

23 (2) CALIFORNIA NONRESIDENTIAL ALTER24 NATIVE CALCULATION METHOD APPROVAL MANVerDate Sep 11 2014 04:06 Nov 27, 2019 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H5160.IH H5160

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1 UAL.—Section 179D(d)(2) of such Code is amended 

2 by striking ‘‘2005’’ and inserting ‘‘2019’’. 

3 (e) CHANGE IN EFFICIENCY STANDARDS.—Section 

4 179D(c)(1)(D) of such Code is amended by striking ‘‘50’’ 

5 and inserting ‘‘30’’. 

6 (f) PAYMENT FOR PUBLIC PROPERTY.—Section 

7 179D(d)(4) of such Code is amended to read as follow: 

8 ‘‘(4) PAYMENT FOR PUBLIC PROPERTY.— 

9 ‘‘(A) IN GENERAL.—In the case of energy 

10 efficient commercial building property placed in 

11 service by a State or local government or a po12 litical subdivision thereof, such government or 

13 subdivision shall be treated as making a pay14 ment against the tax imposed by subtitle A for 

15 the taxable year equal to 10 percent of the 

16 amount allowable as a deduction under sub17 section (a) with respect to such property. 

18 ‘‘(B) TIMING.—The payment described in 

19 subparagraph (A) shall be treated as made 

20 on— 

21 ‘‘(i) in the case of a State or local 

22 government or a political subdivision there23 of for which no return is required under 

24 section 6011 or 6033(a), the later of the 

25 date that a return would be due under secVerDate Sep 11 2014 04:06 Nov 27, 2019 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H5160.IH H5160

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1 tion 6033(a) if such government or sub2 division were described in that section or 

3 the date on which such government or sub4 division submits a claim for credit or re5 fund (at such time and in such manner as 

6 the Secretary shall provide), and 

7 ‘‘(ii) in any other case, the later of the 

8 due date of the return of tax for the tax9 able year or the date on which such return 

10 is filed.’’. 

11 (g) DEADWOOD.—Section 179D of such Code, as 

12 amended by subsection (a), is amended by striking sub13 section (f) and redesignating subsections (g) and (h) as 

14 subsections (f) and (g), respectively. 

15 (h) EFFECTIVE DATE.— 

16 (1) IN GENERAL.—Except as provided by para17 graph (2), amendments made by this section shall 

18 apply to property placed in service after December 

19 31, 2019. 

20 (2) EXTENSION.—The amendment made by 

21 subsection (a) shall apply to property placed in serv22 ice after December 31, 2017. 

Æ 


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