I 

110TH CONGRESS 

1ST SESSION H. R. 1888 

To amend the Internal Revenue Code of 1986 to provide a shorter recovery 

period for the depreciation of certain systems installed in nonresidential 

buildings. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 17, 2007 

Mr. HOEKSTRA (for himself, Mr. BAIRD, Mr. WALSH of New York, Mr. 

FRANKS of Arizona, Mr. AKIN, Ms. JACKSON-LEE of Texas, Mr. 

GRIJALVA, Mr. KNOLLENBERG, Mr. CLAY, Mr. MOORE of Kansas, Mr. 

CHABOT, Mr. ROGERS of Michigan, Mr. EHLERS, Mr. GARY G. MILLER

of California, Mr. MCHUGH, Mr. UPTON, Mr. SOUDER, Mr. GILLMOR, 

Mr. MCCOTTER, Mr. DAVIS of Kentucky, Mr. GERLACH, Mr. DOYLE, Mr. 

KELLER of Florida, Mr. CALVERT, Mrs. MUSGRAVE, Mr. PLATTS, Mr. 

ENGLISH of Pennsylvania, Mr. GONZALEZ, and Mr. LARSON of Connecticut) 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 

a shorter recovery period for the depreciation of certain 

systems installed in nonresidential buildings. 

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 ‘‘Cool and Efficient 

5 Buildings Act’’. 


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1 SEC. 2. RECOVERY PERIOD FOR DEPRECIATION OF CER2 TAIN SYSTEMS INSTALLED IN NONRESIDEN3 TIAL BUILDINGS. 

4 (a) 20-YEAR RECOVERY PERIOD.—Subparagraph 

5 (F) of section 168(e)(3) of the Internal Revenue Code of 

6 1986 (relating to 20-year property) is amended to read 

7 as follows: 

8 ‘‘(F) 20-YEAR PROPERTY.—The term ‘20- 

9 year property’ means— 

10 ‘‘(i) initial clearing and grading land 

11 improvements with respect to any electric 

12 utility transmission and distribution plant, 

13 and 

14 ‘‘(ii) any property— 

15 ‘‘(I) which is part of a heating, 

16 ventilation, air conditioning, or com17 mercial refrigeration system, 

18 ‘‘(II) which is installed on or in 

19 a building which is nonresidential real 

20 property, and 

21 ‘‘(III) the original use of which 

22 commences with the taxpayer.’’. 

23 (b) REQUIREMENT TO USE STRAIGHT LINE METH24 OD.—Paragraph (3) of section 168(b) of such Code (relat25 ing to property to which straight line method applies) is 

26 amended by redesignating subparagraphs (F), (G), and 


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•HR 1888 IH

1 (H) as subparagraphs (G), (H), and (I), respectively, and 

2 by inserting after subparagraph (E) the following new 

3 subparagraph: 

4 ‘‘(F) Property described in subsection 

5 (e)(3)(F)(ii).’’. 

6 (c) ALTERNATIVE SYSTEM.—The table contained in 

7 section 168(g)(3)(B) of such Code is amended by striking 

8 the item relating to subparagraph (F) and inserting the 

9 following new items: 

‘‘(F)(i) ............................................................................................. 25 

(F)(ii) .............................................................................................. 25’’. 

10 (d) EFFECTIVE DATE.—The amendments made by 

11 this section shall apply to property placed in service after 

12 December 31, 2006. 

Æ 


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