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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 10314 Introduced in House (IH)]

<DOC>

118th CONGRESS
  2d Session
                               H. R. 10314

  To amend the Internal Revenue Code of 1986 to establish a National 
         Resilience and Recovery Fund, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            December 5, 2024

 Ms. Stansbury (for herself, Mr. Blumenauer, Mr. Khanna, Ms. Omar, Ms. 
 Balint, Mr. Grijalva, Ms. Ocasio-Cortez, and Mr. Huffman) introduced 
  the following bill; which was referred to the Committee on Ways and 
    Means, and in addition to the Committees on Transportation and 
Infrastructure, and Financial Services, for a period to be subsequently 
   determined by the Speaker, in each case for consideration of such 
 provisions as fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL

 
  To amend the Internal Revenue Code of 1986 to establish a National 
         Resilience and Recovery Fund, 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.

    This Act may be cited as the ``National Resilience and Recovery 
Fund Act''.

SEC. 2. ESTABLISHMENT OF NATIONAL RESILIENCE AND RECOVERY FUND.

    (a) National Resilience and Recovery Fund.--Subchapter A of chapter 
98 of the Internal Revenue Code of 1986 (relating to establishment of 
trust funds) is amended by adding at the end the following new section:

``SEC. 9512. NATIONAL RESILIENCE AND RECOVERY FUND.

    ``(a) Creation of Trust Fund.--There is established in the Treasury 
of the United States a trust fund to be known as the `National 
Resilience and Recovery Fund', consisting of such amounts as may be 
appropriated or credited to such Fund as provided in this section or 
section 9602(b).
    ``(b) Transfers to Fund.--There are hereby appropriated to the 
National Resilience and Recovery Fund amounts equivalent to--
            ``(1) taxes received in the Treasury under section 5901(a) 
        (relating to the excise tax on crude oil and natural gas 
        produced from the outer Continental Shelf in the Gulf of 
        Mexico),
            ``(2) taxes received in the Treasury under section 4611 
        (relating to environmental tax on crude oil and petroleum) to 
        the extent attributable to the National Resilience and Recovery 
        Fund financing rate under section 4611(c), and
            ``(3) taxes received in the Treasury under section 5896(a) 
        (relating to the excise tax on crude oil windfall profits).
    ``(c) Expenditures.--Amounts in the Fund shall be available, as 
provided in appropriation Acts, to the Administrator of the Federal 
Emergency Management Agency to carry out the purposes of the following 
programs of such Agency:
            ``(1) The Hazard Mitigation Grant Program established 
        pursuant to section 404 of the Robert T. Stafford Disaster 
        Relief and Emergency Assistance Act (42 U.S.C. 5170c).
            ``(2) The Building Resilient Infrastructure and Communities 
        grant program established pursuant to section 203 of the Robert 
        T. Stafford Disaster Relief and Emergency Assistance Act (42 
        U.S.C. 5133).
            ``(3) The Safeguarding Tomorrow Revolving Loan Fund Program 
        established pursuant to section 205 of the Robert T. Stafford 
        Disaster Relief and Emergency Assistance Act (42 U.S.C. 5135).
            ``(4) The Flood Mitigation Assistance program established 
        pursuant to section 1366 of the Excerpts from the Housing and 
        Urban Development Act of 1968 (42 U.S.C. 4104c).''.
    (b) Clerical Amendment.--The table of sections for subchapter A of 
chapter 98 of such Code is amended by adding after the item relating to 
section 9511 the following new item:

``Sec. 9512. National Resilience and Recovery Fund.''
    (c) Effective Date.--The amendments made by this section shall take 
effect on January 1, 2025.

SEC. 3. CLARIFICATION OF TAR SANDS AND OIL SHALE AS CRUDE OIL FOR 
              EXCISE TAX PURPOSES.

    (a) In General.--Paragraph (1) of section 4612(a) of the Internal 
Revenue Code of 1986 is amended to read as follows:
            ``(1) Crude oil.--The term `crude oil' includes crude oil 
        condensates, natural gasoline, any bitumen or bituminous 
        mixture, any oil derived from a bitumen or bituminous mixture 
        (including oil derived from tar sands), and any oil derived 
        from kerogen-bearing sources (including oil derived from oil 
        shale).''.
    (b) Regulatory Authority To Address Other Types of Crude Oil and 
Petroleum Products.--Subsection (a) of section 4612 of such Code is 
amended by adding at the end the following new paragraph:
            ``(10) Regulatory authority to address other types of crude 
        oil and petroleum products.--Under such regulations as the 
        Secretary may prescribe, the Secretary may include as crude oil 
        or as a petroleum product subject to tax under section 4611, 
        any fuel feedstock or finished fuel product customarily 
        transported by pipeline, vessel, railcar, or tanker truck if 
        the Secretary determines that--
                    ``(A) the classification of such fuel feedstock or 
                finished fuel product is consistent with the definition 
                of oil under the Oil Pollution Act of 1990, and
                    ``(B) such fuel feedstock or finished fuel product 
                is produced in sufficient commercial quantities as to 
                pose a significant risk of hazard in the event of a 
                discharge.''.
    (c) Technical Amendment.--Paragraph (2) of section 4612(a) of such 
Code is amended by striking ``from a well located''.
    (d) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.

SEC. 4. ADDITIONAL EXCISE TAX ON CRUDE OIL AND IMPORTED PETROLEUM 
              PRODUCTS.

    (a) In General.--Section 4611(c) of the Internal Revenue Code of 
1986 is amended--
            (1) in paragraph (1), by striking ``and'' at the end of 
        subparagraph (A), by striking the period at the end of 
        subparagraph (B) and inserting ``, and'', and by adding at the 
        end the following new subparagraph:
                    ``(C) the National Resilience and Recovery Fund 
                financing rate.'',
            (2) in paragraph (2), by striking ``and'' at the end of 
        subparagraph (A), by striking the period at the end of 
        subparagraph (B) and inserting ``, and'', and by adding at the 
        end the following new subparagraph:
                    ``(C) the National Resilience and Recovery Fund 
                financing rate is 10 cents a barrel.'', and
            (3) in paragraph (3), by striking ``the amount in paragraph 
        (2)(A)'' and inserting ``the amounts in subparagraphs (A) and 
        (C) of paragraph (2)''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

SEC. 5. WINDFALL PROFITS TAX.

    (a) In General.--Subtitle E of the Internal Revenue Code of 1986 is 
amended by adding at the end thereof the following new chapter:

              ``CHAPTER 56--WINDFALL PROFITS ON CRUDE OIL

``Sec. 5896. Imposition of tax.
``Sec. 5897. Definitions and special rules.

``SEC. 5896. IMPOSITION OF TAX.

    ``(a) In General.--In addition to any other tax imposed under this 
title, in each calendar quarter there is hereby imposed on any covered 
taxpayer an excise tax at the rate determined under subsection (b) on--
            ``(1) each barrel of taxable crude oil extracted by the 
        taxpayer within the United States and removed from the property 
        of such taxpayer during the calendar quarter, and
            ``(2) each barrel of taxable crude oil entered into the 
        United States during the calendar quarter by the taxpayer for 
        consumption, use, or warehousing.
    ``(b) Rate of Tax.--
            ``(1) In general.--The rate of tax imposed by this section 
        on any barrel of taxable crude oil for any calendar quarter is 
        the product of--
                    ``(A) 50 percent, and
                    ``(B) the excess (if any) of--
                            ``(i) the average price of a barrel of 
                        Brent crude oil over the covered calendar 
                        quarter, over
                            ``(ii) the average price of a barrel of 
                        Brent crude oil over the period beginning on 
                        January 1, 2015, and ending on December 31, 
                        2019.
            ``(2) Inflation adjustment.--
                    ``(A) In general.--In the case of a calendar 
                quarter beginning in any taxable year beginning after 
                2025, the amount determined under paragraph (1)(B)(ii) 
                shall be increased by an amount equal to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        determined by substituting `2024' for `2016' in 
                        subparagraph (A)(ii) thereof.
                    ``(B) Rounding.--If any dollar amount, after being 
                increased under subparagraph (A), is not a multiple of 
                $0.50, such dollar amount shall be rounded to the next 
                lowest multiple of $0.01.
    ``(c) Fractional Part of Barrel.--In the case of a fraction of a 
barrel, the tax imposed by subsection (a) shall be the same fraction of 
the amount of such tax imposed on the whole barrel.

``SEC. 5897. DEFINITIONS AND SPECIAL RULES.

    ``(a) Definitions.--For purposes of this chapter--
            ``(1) Covered taxpayer.--
                    ``(A) In general.--The term `covered taxpayer' 
                means, with respect to any calendar quarter, any 
                taxpayer if--
                            ``(i) the average daily number of barrels 
                        of taxable crude oil extracted and imported by 
                        the taxpayer for calendar year 2023 exceeded 
                        300,000 barrels, or
                            ``(ii) the average daily number of barrels 
                        of taxable crude oil extracted and imported by 
                        the taxpayer for the calendar quarter exceeds 
                        300,000.
                    ``(B) Aggregation rules.--All persons treated as a 
                single employer under subsection (a) or (b) of section 
                52 or subsection (m) or (o) of section 414 shall be 
                treated as one person for purposes of paragraph (1).
            ``(2) Taxable crude oil.--The term `taxable crude oil' 
        includes crude oil, crude oil condensates, and natural 
        gasoline.
            ``(3) Barrel.--The term `barrel' means 42 United States 
        gallons.
            ``(4) United states.--The term `United States' has the same 
        meaning given such term under section 4612.
    ``(b) Withholding and Deposit of Tax.--The Secretary shall provide 
such rules as are necessary for the withholding and deposit of the tax 
imposed under section 5896 on any taxable crude oil.
    ``(c) Records and Information.--Each taxpayer liable for tax under 
section 5896 shall keep such records, make such returns, and furnish 
such information (to the Secretary and to other persons having an 
interest in the taxable crude oil) with respect to such oil as the 
Secretary may by regulations prescribe.
    ``(d) Return of Windfall Profit Tax.--The Secretary shall provide 
for the filing and the time of such filing of the return of the tax 
imposed under section 5896.
    ``(e) Regulations.--The Secretary shall prescribe such regulations 
as may be necessary or appropriate to carry out the purposes of this 
chapter.''.
    (b) Clerical Amendment.--The table of chapters for subtitle E of 
the Internal Revenue Code of 1986 is amended by adding at the end the 
following new item:

             ``Chapter 56. Windfall Profit on Crude Oil.''.

    (c) Effective Date.--
            (1) In general.--The amendments made by this section shall 
        apply to crude oil removed or entered after December 31, 2024, 
        in calendar quarters ending after such date.
            (2) Special rule for quarters during 2025.--In the case of 
        any calendar quarter ending in calendar year 2025, the tax 
        imposed under section 5896 shall not be due before March 31, 
        2026.

SEC. 6. TAX ON CRUDE OIL AND NATURAL GAS PRODUCED FROM THE OUTER 
              CONTINENTAL SHELF IN THE GULF OF MEXICO.

    (a) In General.--Subtitle E of the Internal Revenue Code of 1986 is 
amended by adding at the end the following new chapter:

 ``CHAPTER 57--TAX ON SEVERANCE OF CRUDE OIL AND NATURAL GAS FROM THE 
             OUTER CONTINENTAL SHELF IN THE GULF OF MEXICO

``Sec. 5901. Imposition of tax.
``Sec. 5902. Taxable crude oil or natural gas and removal price.
``Sec. 5903. Special rules and definitions.

``SEC. 5901. IMPOSITION OF TAX.

    ``(a) In General.--In addition to any other tax imposed under this 
title, there is hereby imposed a tax equal to 13 percent of the removal 
price of any taxable crude oil or natural gas removed from the premises 
during any taxable period.
    ``(b) Credit for Federal Royalties Paid.--
            ``(1) In general.--There shall be allowed as a credit 
        against the tax imposed by subsection (a) with respect to the 
        production of any taxable crude oil or natural gas an amount 
        equal to the aggregate amount of royalties paid under Federal 
        law with respect to such production.
            ``(2) Limitation.--The aggregate amount of credits allowed 
        under paragraph (1) to any taxpayer for any taxable period 
        shall not exceed the amount of tax imposed by subsection (a) 
        for such taxable period.
    ``(c) Tax Paid by Producer.--The tax imposed by this section shall 
be paid by the producer of the taxable crude oil or natural gas.

``SEC. 5902. TAXABLE CRUDE OIL OR NATURAL GAS AND REMOVAL PRICE.

    ``(a) Taxable Crude Oil or Natural Gas.--For purposes of this 
chapter, the term `taxable crude oil or natural gas' means crude oil or 
natural gas which is produced from Federal submerged lands on the outer 
Continental Shelf in the Gulf of Mexico pursuant to a lease entered 
into with the United States which authorizes the production.
    ``(b) Removal Price.--For purposes of this chapter--
            ``(1) In general.--Except as otherwise provided in this 
        subsection, the term `removal price' means--
                    ``(A) in the case of taxable crude oil, the amount 
                for which a barrel of such crude oil is sold, and
                    ``(B) in the case of taxable natural gas, the 
                amount per 1,000 cubic feet for which such natural gas 
                is sold.
            ``(2) Sales between related persons.--In the case of a sale 
        between related persons, the removal price shall not be less 
        than the constructive sales price for purposes of determining 
        gross income from the property under section 613.
            ``(3) Oil or natural gas removed from property before 
        sale.--If crude oil or natural gas is removed from the property 
        before it is sold, the removal price shall be the constructive 
        sales price for purposes of determining gross income from the 
        property under section 613.
            ``(4) Refining begun on property.--If the manufacture or 
        conversion of crude oil into refined products begins before 
        such oil is removed from the property--
                    ``(A) such oil shall be treated as removed on the 
                day such manufacture or conversion begins, and
                    ``(B) the removal price shall be the constructive 
                sales price for purposes of determining gross income 
                from the property under section 613.
            ``(5) Property.--The term `property' has the meaning given 
        such term by section 614.

``SEC. 5903. SPECIAL RULES AND DEFINITIONS.

    ``(a) Administrative Requirements.--
            ``(1) Withholding and deposit of tax.--The Secretary shall 
        provide for the withholding and deposit of the tax imposed 
        under section 5901 on a quarterly basis.
            ``(2) Records and information.--Each taxpayer liable for 
        tax under section 5901 shall keep such records, make such 
        returns, and furnish such information (to the Secretary and to 
        other persons having an interest in the taxable crude oil or 
        natural gas) with respect to such oil as the Secretary may by 
        regulations prescribe.
            ``(3) Taxable periods; return of tax.--
                    ``(A) Taxable period.--Except as provided by the 
                Secretary, each calendar year shall constitute a 
                taxable period.
                    ``(B) Returns.--The Secretary shall provide for the 
                filing, and the time for filing, of the return of the 
                tax imposed under section 5901.
    ``(b) Definitions.--For purposes of this chapter--
            ``(1) Producer.--The term `producer' means the holder of 
        the economic interest with respect to the crude oil or natural 
        gas.
            ``(2) Crude oil.--The term `crude oil' includes crude oil 
        condensates and natural gasoline.
            ``(3) Premises and crude oil product.--The terms `premises' 
        and `crude oil product' have the same meanings as when used for 
        purposes of determining gross income from the property under 
        section 613.
    ``(c) Adjustment of Removal Price.--In determining the removal 
price of oil or natural gas from a property in the case of any 
transaction, the Secretary may adjust the removal price to reflect 
clearly the fair market value of oil or natural gas removed.
    ``(d) Regulations.--The Secretary shall prescribe such regulations 
as may be necessary or appropriate to carry out the purposes of this 
chapter.''.
    (b) Deductibility of Tax.--The first sentence of section 164(a) of 
the Internal Revenue Code of 1986 is amended by inserting after 
paragraph (4) the following new paragraph:
            ``(5) The tax imposed by section 5901(a) (after application 
        of section 5901(b)) on the severance of crude oil or natural 
        gas from the outer Continental Shelf in the Gulf of Mexico.''.
    (c) Clerical Amendment.--The table of chapters for subtitle E is 
amended by adding at the end the following new item:

                              ``Chapter 57. Tax on severance of crude 
                                        oil and natural gas from the 
                                        outer Continental Shelf in the 
                                        Gulf of Mexico.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to crude oil or natural gas removed after December 31, 2024.
                                 <all>
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