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[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7196 Introduced in House (IH)]

<DOC>

115th CONGRESS
  2d Session
                                H. R. 7196

 To amend the Internal Revenue Code of 1986 to provide investment and 
production tax credits for emerging energy technologies, and for other 
                               purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                           November 29, 2018

  Mr. Reed (for himself, Mr. LaHood, and Mr. Paulsen) 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 investment and 
production tax credits for emerging energy technologies, 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 ``Energy Sector Innovation Credit Act 
of 2018''.

SEC. 2. INVESTMENT CREDIT FOR EMERGING ENERGY TECHNOLOGY.

    (a) 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. EMERGING ENERGY TECHNOLOGY CREDIT.

    ``(a) In General.--For purposes of section 46, the emerging energy 
technology credit for any taxable year is an amount equal to 30 percent 
of the basis of any qualified emerging energy property placed in 
service by the taxpayer during such taxable year.
    ``(b) Qualified Emerging Energy Property.--For purposes of this 
section--
            ``(1) In general.--The term `qualified emerging energy 
        property' means property which is constructed, reconstructed, 
        erected, or acquired by the taxpayer, the original use of which 
        commences with the taxpayer, and which is--
                    ``(A) a qualified production facility (as defined 
                in section 45T(d), determined without regard to 
                paragraph (2) thereof) which is a tier 1 facility (as 
                defined in section 45T(b)(2)(A)), or
                    ``(B) property which is placed in service at and 
                used in connection with an existing electric generating 
                facility which is a point source of air pollutants to 
                retrofit such facility and which, with respect to such 
                facility--
                            ``(i) improves conversion efficiency (as 
                        defined in section 45T(e)(2)) or energy 
                        efficiency (as defined in section 45T(e)(3)) by 
                        at least 50 percent,
                            ``(ii) decreases water consumption, in the 
                        case of a type of facility which has 
                        significant water consumption, by at least 75 
                        percent, or
                            ``(iii) as recognized by the Environmental 
                        Protection Agency pursuant to its enforcement 
                        of the Clean Air Act (42 U.S.C. 7401 et seq.) 
                        or by administrative action, reduces, 
                        sequesters, or controls by at least 50 percent 
                        the emission of air pollutants which can be 
                        reasonably anticipated to endanger public 
                        health or welfare.
            ``(2) Denial of double benefit.--Such term shall not 
        include--
                    ``(A) any property which,
                    ``(B) property any portion of which, or
                    ``(C) property placed in service at and used in 
                connection with a facility which,
        has been treated as a qualified facility for purposes of 
        section 45(d), as an advanced nuclear power facility for 
        purposes of section 45J, as a qualified facility for purposes 
        of section 45Q, as a qualified production facility for purposes 
        of section 45T, as energy property for purposes of section 48, 
        or as a qualified investment for purposes of section 48A, 48B, 
        or 48C, for any taxable year.
            ``(3) Point source.--For purposes of paragraph (1)(B), the 
        term `point source' means a large, stationary and non-mobile, 
        identifiable source of emissions that releases pollutants into 
        the atmosphere.
    ``(c) First of Its Kind Technology.--
            ``(1) In general.--In the case of any qualified emerging 
        energy property which is the first of its kind, subsection (a) 
        shall be applied by substituting `40 percent' for `30 percent'.
            ``(2) First of its kind.--Property shall be treated as the 
        first of its kind if such property is 1 of the first 3 original 
        demonstrations in the United States of an engineering design 
        for megawatt-scale electric power generation which generates 
        revenue from sales of electric power.
            ``(3) Determination.--
                    ``(A) In general.--The Secretary, in consultation 
                with the Secretary of Energy, shall develop a process 
                to determine whether qualified emerging energy property 
                is first of its kind. Such process shall include a 
                certification, at the request of the taxpayer before 
                the commencement of construction, that the property 
                will be treated as first of its kind. Such process 
                shall be designed to make a determination not later 
                than 90 days after the submission of an application for 
                determination.
                    ``(B) Termination if construction does not 
                proceed.--Except as otherwise provided by the 
                Secretary, a certification of any qualified emerging 
                energy property under subparagraph (A) shall cease to 
                have any force or effect if construction of such 
                property does not begin before the date which is 5 
                years after the date of such certification or if the 
                Secretary makes a determination that such construction 
                has been suspended indefinitely.
    ``(d) Certain Qualified 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 enactment of the 
Revenue Reconciliation Act of 1990) shall apply for purposes of this 
section.
    ``(e) Transfer of Credit by Certain Public Entities.--
            ``(1) In general.--If, with respect to a credit under 
        subsection (a) for any taxable year--
                    ``(A) a qualified public entity would be the 
                taxpayer (but for this paragraph), and
                    ``(B) such entity elects the application of this 
                paragraph for such taxable year with respect to all (or 
                any portion specified in such election) of such credit, 
                the eligible project partner specified in such 
                election, and not the qualified public entity, shall be 
                treated as the taxpayer for purposes of this title with 
                respect to such credit (or such portion thereof).
            ``(2) Definitions.--For purposes of this subsection--
                    ``(A) Qualified public entity.--The term `qualified 
                public entity' means--
                            ``(i) a Federal, State, or local government 
                        entity, or any political subdivision, agency, 
                        or instrumentality thereof,
                            ``(ii) a mutual or cooperative electric 
                        company described in section 501(c)(12) or 
                        1381(a)(2), or
                            ``(iii) a not-for-profit electric utility 
                        which had or has received a loan or loan 
                        guarantee under the Rural Electrification Act 
                        of 1936.
                    ``(B) Eligible project partner.--The term `eligible 
                project partner' means any person who--
                            ``(i) is responsible for, or participates 
                        in, the design or construction of the qualified 
                        emerging energy property to which the credit 
                        under subsection (a) relates,
                            ``(ii) is a financial institution providing 
                        financing for the construction or operation of 
                        such property, or
                            ``(iii) has an ownership interest in such 
                        property.
            ``(3) Special rules.--
                    ``(A) Application to partnerships.--In the case of 
                a credit under subsection (a) which is determined at 
                the partnership level--
                            ``(i) for purposes of paragraph (1)(A), a 
                        qualified public entity shall be treated as the 
                        taxpayer with respect to such entity's 
                        distributive share of such credit, and
                            ``(ii) the term `eligible project partner' 
                        shall include any partner of the partnership.
                    ``(B) Taxable year in which credit taken into 
                account.--In the case of any credit (or portion 
                thereof) with respect to which an election is made 
                under paragraph (1), such credit shall be taken into 
                account in the first taxable year of the eligible 
                project partner ending with, or after, the qualified 
                public entity's taxable year with respect to which the 
                credit was determined.
                    ``(C) Treatment of transfer under private use 
                rules.--For purposes of section 141(b)(1), any benefit 
                derived by an eligible project partner in connection 
                with an election under this subsection shall not be 
                taken into account as a private business use.''.
    (b) Credit Made Part of Investment Credit.--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 emerging energy technology credit.''.
    (c) Conforming Amendments.--
            (1) 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 ``, and'', and by adding at 
        the end the following new clause:
                            ``(vi) the basis of any qualified emerging 
                        energy property (as defined in section 
                        48D(b)).''.
            (2) 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 48D the following new item:

``Sec. 48D. Emerging energy technology credit.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to property placed in service in taxable years beginning 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).

SEC. 3. PRODUCTION CREDIT FOR EMERGING ENERGY TECHNOLOGY.

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

``SEC. 45T. EMERGING ENERGY TECHNOLOGY PRODUCTION CREDIT.

    ``(a) In General.--For purposes of section 38, the emerging energy 
technology production credit determined under this section for any 
taxable year beginning in the credit period with respect to a qualified 
production facility of the taxpayer is an amount equal to the 
applicable percentage of the lesser of--
            ``(1) the annual gross receipts of the taxpayer from the 
        sale of electricity generated at the qualified production 
        facility to an unrelated person during such taxable year, or
            ``(2) the product of--
                    ``(A) the national average wholesale price of a 
                kilowatt hour of electricity in the taxable year, as 
                determined by the Secretary in consultation with the 
                Administrator of the Energy Information Administration, 
                multiplied by
                    ``(B) the number of kilowatt hours of electricity 
                produced at the qualified production facility and sold 
                to an unrelated person during the taxable year.
    ``(b) Applicable Percentage.--For purposes of this section--
            ``(1) In general.--The applicable percentage is--
                    ``(A) in the case of a tier 1 facility, 60 percent,
                    ``(B) in the case of a tier 2 facility, 45 percent,
                    ``(C) in the case of a tier 3 facility, 30 percent,
                    ``(D) in the case of a tier 4 facility, 15 percent, 
                and
                    ``(E) in the case of any other facility, zero 
                percent.
            ``(2) Facility tiers.--
                    ``(A) Tier 1 facility.--The term `tier 1 facility' 
                means, with respect to any taxable year, an electric 
                generating facility using a type of technology which 
                accounts for less than .5 percent of annual domestic 
                electricity production in the preceding taxable year, 
                as determined by the Secretary on the basis of data 
                reported by the Energy Information Administration.
                    ``(B) Tier 2 facility.--The term `tier 2 facility' 
                means, with respect to any taxable year, an electric 
                generating facility using a type of technology which 
                accounts for at least .5 percent but less than 1 
                percent of annual domestic electricity production in 
                the preceding taxable year, as determined by the 
                Secretary on the basis of data reported by the Energy 
                Information Administration.
                    ``(C) Tier 3 facility.--The term `tier 3 facility' 
                means, with respect to any taxable year, an electric 
                generating facility using a type of technology which 
                accounts for at least 1 percent but less than 1.5 
                percent of annual domestic electricity production in 
                the preceding taxable year, as determined by the 
                Secretary on the basis of data reported by the Energy 
                Information Administration.
                    ``(D) Tier 4 facility.--The term `tier 4 facility' 
                means, with respect to any taxable year, an electric 
                generating facility using a type of technology which 
                accounts for at least 1.5 percent but less than 2 
                percent of annual domestic electricity production in 
                the preceding taxable year, as determined by the 
                Secretary on the basis of data reported by the Energy 
                Information Administration.
    ``(c) Credit Period.--For purposes of this section, the credit 
period with respect to any qualified production facility is the 10-year 
period beginning with the date the facility was originally placed in 
service.
    ``(d) Qualified Production Facility.--For purposes of this 
section--
            ``(1) In general.--The term `qualified production facility' 
        means any facility which--
                    ``(A) was originally placed in service after the 
                date of the enactment of this Act,
                    ``(B) generates electricity,
                    ``(C) is located in the United States or a 
                possession of the United States (as such terms are used 
                in section 638),
                    ``(D) utilizes emerging technology, and
                    ``(E) is certified by the Secretary, after 
                consultation with the Secretary of Energy, as a 
                qualified production facility for purposes of this 
                section.
            ``(2) Denial of double benefit.--Such term shall not 
        include any facility which has been treated as a qualified 
        facility for purposes of section 45(d), as an advanced nuclear 
        power facility for purposes of section 45J, as a qualified 
        facility for purposes of section 45Q, as energy property for 
        purposes of section 48, as a qualified investment for purposes 
        of section 48A, 48B, or 48C, or as qualified emerging energy 
        property for purposes of section 48D, for any taxable year.
    ``(e) Emerging Technology.--For purposes of this section--
            ``(1) In general.--The term `emerging technology' means--
                    ``(A) any new or improved power conversion fuel-
                based technology--
                            ``(i) which--
                                    ``(I) reduces emission of air 
                                pollutants that can be reasonably 
                                anticipated to endanger public health 
                                or welfare to below the volume or rate 
                                required by the Clean Air Act, in the 
                                case of a type of facility which has 
                                significant emission of air pollutants, 
                                or
                                    ``(II) yields at least a 50 percent 
                                improvement in energy efficiency, as 
                                compared to existing fuel-based 
                                electric generating commercial 
                                technology, and
                            ``(ii) which operates with a capacity 
                        factor of at least 50 percent,
                    ``(B) any new or improved reactor design licensed 
                by the Nuclear Regulatory Commission which produces 
                electricity through nuclear fission or a fusion chain 
                reaction and which (when compared to existing nuclear 
                commercial technologies)--
                            ``(i) reduces the high-level radioactive 
                        waste or spent nuclear fuel per unit of energy 
                        yield,
                            ``(ii) improves fuel utilization,
                            ``(iii) decreases core damage frequency or 
                        large early release frequency by at least a 
                        factor of 10, or
                            ``(iv) increases thermal efficiency,
                    ``(C) any new technology or new improvement to 
                technology which generates electricity from renewable 
                energy (as defined in section 203(b)(2) of the Energy 
                Policy Act of 2005) and which generates at least a 25 
                percent increase in the conversion efficiency of the 
                facility as compared with the commercial technology of 
                the same type as such technology which is considered to 
                be the best of its type in commercial use, or
                    ``(D) technology which the Secretary, in 
                consultation with the Secretary of Energy, determines 
                would improve energy efficiency or conversion 
                efficiency of electric generating commercial technology 
                by not less than 15 percent.
            ``(2) Conversion efficiency.--The term `conversion 
        efficiency' means the fraction--
                    ``(A) the numerator of which is the total useful 
                electrical or thermal power produced by an electric 
                generating facility at normal operating rates, and 
                expected to be consumed in its normal application, and
                    ``(B) the denominator of which is the incident 
                energy, whether mechanical, radiation, or thermal 
                energy, which is measurable at the input of the 
                electric generating facility.
            ``(3) Energy efficiency.--The term `energy efficiency' 
        means the fraction--
                    ``(A) the numerator of which is the total useful 
                electrical, thermal, and mechanical power which is 
                produced by the facility at normal operating rates and 
                expected to be consumed in its normal operation, and
                    ``(B) the denominator of which is the lower heating 
                value of the energy sources for the facility.
            ``(4) Efficiency baseline.--Not less frequently than every 
        10 years, the Secretary, in consultation with the Secretary of 
        Energy, shall establish baseline levels with respect to the 
        types of electric generating facilities and the measures of 
        efficiency described in paragraph (1) which a facility must 
        exceed in order to meet the requirements of such paragraph.
            ``(5) Commercial technology.--The term `commercial 
        technology' means a design that has been installed in and is 
        being used in 3 or more projects in the United States 
        marketplace in the same general application as in the electric 
        generating facility, and has been in such use in at least 1 of 
        such projects for a period of at least 5 years.
            ``(6) Core damage frequency.--The term `core damage 
        frequency' means the likelihood that, given the way a reactor 
        is designed and operated, an accident could cause the fuel in 
        the reactor to be damaged.
            ``(7) Large early release frequency.--The term `large early 
        release frequency' means the likelihood of a release into the 
        environment of a sufficiently large quantity of fission 
        products in an early enough time frame to have the potential 
        for a prompt fatality.
    ``(f) Transfer of Credit by Certain Public Entities.--
            ``(1) In general.--If, with respect to a credit under 
        subsection (a) for any taxable year--
                    ``(A) a qualified public entity would be the 
                taxpayer (but for this paragraph), and
                    ``(B) such entity elects the application of this 
                paragraph for such taxable year with respect to all (or 
                any portion specified in such election) of such credit, 
                the eligible project partner specified in such 
                election, and not the qualified public entity, shall be 
                treated as the taxpayer for purposes of this title with 
                respect to such credit (or such portion thereof).
            ``(2) Definitions.--For purposes of this subsection--
                    ``(A) Qualified public entity.--The term `qualified 
                public entity' means--
                            ``(i) a Federal, State, or local government 
                        entity, or any political subdivision, agency, 
                        or instrumentality thereof,
                            ``(ii) a mutual or cooperative electric 
                        company described in section 501(c)(12) or 
                        1381(a)(2), or
                            ``(iii) a not-for-profit electric utility 
                        which had or has received a loan or loan 
                        guarantee under the Rural Electrification Act 
                        of 1936.
                    ``(B) Eligible project partner.--The term `eligible 
                project partner' means any person who--
                            ``(i) is responsible for, or participates 
                        in, the design or construction of the qualified 
                        production facility to which the credit under 
                        subsection (a) relates,
                            ``(ii) is a financial institution providing 
                        financing for the construction or operation of 
                        such facility, or
                            ``(iii) has an ownership interest in such 
                        facility.
            ``(3) Special rules.--
                    ``(A) Application to partnerships.--In the case of 
                a credit under subsection (a) which is determined at 
                the partnership level--
                            ``(i) for purposes of paragraph (1)(A), a 
                        qualified public entity shall be treated as the 
                        taxpayer with respect to such entity's 
                        distributive share of such credit, and
                            ``(ii) the term `eligible project partner' 
                        shall include any partner of the partnership.
                    ``(B) Taxable year in which credit taken into 
                account.--In the case of any credit (or portion 
                thereof) with respect to which an election is made 
                under paragraph (1), such credit shall be taken into 
                account in the first taxable year of the eligible 
                project partner ending with, or after, the qualified 
                public entity's taxable year with respect to which the 
                credit was determined.
                    ``(C) Treatment of transfer under private use 
                rules.--For purposes of section 141(b)(1), any benefit 
                derived by an eligible project partner in connection 
                with an election under this subsection shall not be 
                taken into account as a private business use.
    ``(g) Regulations.--Not later than 1 year after the date of the 
enactment of this section, the Secretary shall prescribe such 
regulations as may be necessary or appropriate to carry out the 
purposes of this section. Such regulations shall include a process for 
making eligibility certifications described in subsection (d)(1)(E).''.
    (b) Credit Allowed as Part of General Business Credit.--Section 
38(b) of such Code is amended by striking ``plus'' at the end of 
paragraph (31), by striking the period at the end of paragraph (32) and 
inserting ``, plus'', and by adding at the end the following new 
paragraph:
            ``(33) the emerging energy technology production credit 
        determined under section 45T(a).''.
    (c) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 of such Code is amended by adding 
at the end the following new item:

``Sec. 45T. Emerging energy technology production credit.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to electricity produced and sold after the date of the enactment 
of this Act.

SEC. 4. MODIFICATION OF ENERGY CREDIT.

    (a) Energy Credit for Energy Storage Technologies.--
            (1) In general.--Section 48(a)(3)(A) of the Internal 
        Revenue Code of 1986 is amended by striking ``or'' at the end 
        of clause (vi), by adding ``or'' at the end of clause (vii), 
        and by adding at the end the following new clause:
                            ``(viii) equipment which--
                                    ``(I) receives, stores, and 
                                delivers energy using batteries, 
                                compressed air, pumped hydropower, 
                                hydrogen storage (including 
                                hydrolysis), thermal energy storage, 
                                regenerative fuel cells, flywheels, 
                                capacitors, superconducting magnets, or 
                                other technologies identified by the 
                                Secretary in consultation with the 
                                Secretary of Energy,
                                    ``(II) has a capacity of not less 
                                than 5 kilowatt hours, and
                                    ``(III) receives an allocation of 
                                national megawatt capacity from the 
                                Secretary under paragraph (8) equal to 
                                the capacity of such equipment.''.
            (2) 30-Percent credit.--Section 48(a)(2)(A)(i)(II) of such 
        Code is amended by striking ``paragraph (3)(A)(i)'' and 
        inserting ``clause (i) or (viii) of paragraph (3)(A)''.
            (3) National limitation relating to energy storage 
        property.--Section 48(a) of such Code is amended by adding at 
        the end the following new paragraph:
            ``(8) National limitation relating to energy storage 
        property.--
                    ``(A) In general.--The aggregate amount of national 
                megawatt capacity limitation allocated by the Secretary 
                to equipment described in paragraph (3)(A)(viii) shall 
                not exceed 10,000 megawatts.
                    ``(B) Allocation of limitation.--The Secretary 
                shall allocate the national megawatt capacity 
                limitation in such manner as the Secretary may 
                prescribe, with a focus on diversity of technological 
                design.
                    ``(C) Regulations.--Not later than 6 months after 
                the date of the enactment of this paragraph, the 
                Secretary shall prescribe such regulations as may be 
                necessary or appropriate to carry out the purposes of 
                this paragraph. Such regulations shall provide a 
                process under which the Secretary, after consultation 
                with the Secretary of Energy, shall allocate the 
                national megawatt capacity limitation.''.
    (b) Transfer of Energy Credit by Certain Public Entities.--Section 
48 of such Code is amended by adding at the end the following new 
subsection:
    ``(f) Transfer of Credit by Certain Public Entities.--
            ``(1) In general.--If, with respect to a credit under 
        subsection (a) for any taxable year--
                    ``(A) a qualified public entity would be the 
                taxpayer (but for this paragraph), and
                    ``(B) such entity elects the application of this 
                paragraph for such taxable year with respect to all (or 
                any portion specified in such election) of such credit, 
                the eligible project partner specified in such 
                election, and not the qualified public entity, shall be 
                treated as the taxpayer for purposes of this title with 
                respect to such credit (or such portion thereof).
            ``(2) Definitions.--For purposes of this subsection--
                    ``(A) Qualified public entity.--The term `qualified 
                public entity' means--
                            ``(i) a Federal, State, or local government 
                        entity, or any political subdivision, agency, 
                        or instrumentality thereof,
                            ``(ii) a mutual or cooperative electric 
                        company described in section 501(c)(12) or 
                        1381(a)(2), or
                            ``(iii) a not-for-profit electric utility 
                        which had or has received a loan or loan 
                        guarantee under the Rural Electrification Act 
                        of 1936.
                    ``(B) Eligible project partner.--The term `eligible 
                project partner' means any person who--
                            ``(i) is responsible for, or participates 
                        in, the design or construction of the energy 
                        property to which the credit under subsection 
                        (a) relates,
                            ``(ii) is a financial institution providing 
                        financing for the construction or operation of 
                        such property, or
                            ``(iii) has an ownership interest in such 
                        property.
            ``(3) Special rules.--
                    ``(A) Application to partnerships.--In the case of 
                a credit under subsection (a) which is determined at 
                the partnership level--
                            ``(i) for purposes of paragraph (1)(A), a 
                        qualified public entity shall be treated as the 
                        taxpayer with respect to such entity's 
                        distributive share of such credit, and
                            ``(ii) the term `eligible project partner' 
                        shall include any partner of the partnership.
                    ``(B) Taxable year in which credit taken into 
                account.--In the case of any credit (or portion 
                thereof) with respect to which an election is made 
                under paragraph (1), such credit shall be taken into 
                account in the first taxable year of the eligible 
                project partner ending with, or after, the qualified 
                public entity's taxable year with respect to which the 
                credit was determined.
                    ``(C) Treatment of transfer under private use 
                rules.--For purposes of section 141(b)(1), any benefit 
                derived by an eligible project partner in connection 
                with an election under this subsection shall not be 
                taken into account as a private business use.''.
    (c) Effective Date.--
            (1) In general.--Except as otherwise provided in this 
        subsection, the amendments made by this section shall apply to 
        periods after the date of the enactment of this Act, in taxable 
        years ending after such date, 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).
            (2) Transfer of energy credit by certain public entities.--
        The amendment made by subsection (b) shall apply to credits 
        arising in taxable years ending after the date of the enactment 
        of this Act.
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