I 

111TH CONGRESS 

1ST SESSION H. R. 3834 

To amend the Internal Revenue Code of 1986 to enhance incentives for 

renewable energy development in high job-loss zones in metropolitan 

and micropolitan statistical areas. 

IN THE HOUSE OF REPRESENTATIVES 

OCTOBER 15, 2009 

Mr. HIGGINS (for himself, Mr. HINCHEY, Mr. MASSA, Ms. MOORE of Wisconsin, Mr. MAFFEI, Mr. LEE of New York, and Mr. HOLT) introduced 

the following bill; which was referred to the Committee on Ways and 

Means, and in addition to the Committee on Energy and Commerce, 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 enhance 

incentives for renewable energy development in high jobloss zones in metropolitan and micropolitan statistical 

areas. 

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 ‘‘Green Energy Invest5 ment Zone Act of 2009’’. 


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1 SEC. 2. INCREASE IN INCENTIVES RELATING TO ALTER2 NATIVE ENERGY PROPERTIES IN HIGH JOB3 LOSS AREAS. 

4 (a) INVESTMENT TAX CREDITS (OTHER THAN

5 QUALIFIED FACILITIES).—Paragraph (2) of section 48(a) 

6 of the Internal Revenue Code of 1986 is amended by add7 ing at the end the following: 

8 ‘‘(C) SPECIAL RULE FOR ENERGY PROP9 ERTY LOCATED IN HIGH JOB-LOSS ZONES.— 

10 ‘‘(i) IN GENERAL.—In the case of any 

11 energy property placed in service in a 

12 green energy investment zone after the 

13 date of the enactment of this subpara14 graph, subparagraph (A) shall be ap15 plied— 

16 ‘‘(I) by substituting ‘40 percent’ 

17 for ‘30 percent’ in clause (i) thereof, 

18 and 

19 ‘‘(II) by substituting ‘20 percent’ 

20 for ‘10 percent’ in clause (ii) thereof. 

21 ‘‘(ii) GREEN ENERGY INVESTMENT

22 ZONE.—For purposes of paragraph (1), 

23 the term ‘green energy investment zone’ 

24 means an eligible city located within a high 

25 job-loss metropolitan statistical area or a 

26 high job-loss micropolitan statistical area. 


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1 ‘‘(iii) ELIGIBLE CITY.—For purposes 

2 of clause (i)— 

3 ‘‘(I) METROPOLITAN STATIS4 TICAL AREA.—The term ‘eligible city’ 

5 means, with respect to a metropolitan 

6 statistical area, any city in such area 

7 which has a population of at least 

8 50,000. 

9 ‘‘(II) MICROPOLITAN STATIS10 TICAL AREA.—The term ‘eligible city’ 

11 means, with respect to a micropolitan 

12 statistical area, any city in such area 

13 which has a population of at least 

14 10,000. 

15 For purposes of this subparagraph, popu16 lation shall be determined using the 2000 

17 census. 

18 ‘‘(D) HIGH-JOB LOSS.—For purposes of 

19 subparagraph (C)— 

20 ‘‘(i) IN GENERAL.—The term ‘high21 job loss’ with respect to a metropolitan or 

22 a micropolitan statistical area, as the case 

23 may be, means an area designated by the 

Secretary as being among the lowest 1 24 ⁄3 of 

25 all metropolitan or micropolitan statistical 


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1 areas, as the case may be, on the basis 

2 of— 

3 ‘‘(I) the economic conditions re4 ferred to in clause (ii), 

5 ‘‘(II) the residential economic 

6 well-being factors referred to in clause 

7 (iii), and 

8 ‘‘(III) a comparison of changes 

9 from 1990 and 2000 (on the basis of 

10 the 1990 and 2000 censuses) regard11 ing— 

12 ‘‘(aa) employment, 

13 ‘‘(bb) wages, 

14 ‘‘(cc) gross metropolitan 

15 product or gross micropolitan 

16 product, as the case may be, and 

17 ‘‘(dd) gross metropolitan 

18 product per job or gross 

19 micropolitan product per job, as 

20 the case may be. 

21 ‘‘(ii) ECONOMIC CONDITIONS.—The 

22 economic conditions referred to in this 

23 clause are growth in— 

24 ‘‘(I) employment, 

25 ‘‘(II) annual payroll, and 


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1 ‘‘(III) business establishments. 

2 ‘‘(iii) RESIDENTIAL ECONOMIC WELL3 BEING FACTORS.—The residential eco4 nomic well-being factors referred to in the 

5 clause are— 

6 ‘‘(I) per capita income, 

7 ‘‘(II) median household income, 

8 ‘‘(III) poverty rate, 

9 ‘‘(IV) unemployment rate, and 

10 ‘‘(V) labor force participation 

11 rate.’’. 

12 (b) ELECTION TO TREAT QUALIFIED FACILITIES AS

13 ENERGY PROPERTY.—Paragraph (5) of section 48(a) of 

14 such Code is amended by adding at the end the following: 

15 ‘‘(E) SPECIAL RULE FOR FACILITIES LO16 CATED IN HIGH JOB-LOSS ZONES.—In the case 

17 of any qualified investment credit facility placed 

18 in service in a green energy investment zone (as 

19 defined in paragraph (2)(C)(ii)) after the date 

20 of the enactment of this subparagraph, sub21 paragraph (A) shall be applied by substituting 

22 ‘40 percent’ for ‘30 percent’ in clause (ii) there23 of.’’. 


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1 (c) ELECTRICITY PRODUCED FROM CERTAIN RE2 NEWABLE RESOURCES, ETC.—Section 45 of such Code is 

3 amended by adding at the end the following: 

4 ‘‘(f) SPECIAL RULE FOR FACILITIES LOCATED IN

5 HIGH JOB-LOSS ZONES.—In the case of electricity pro6 duced by a qualified facility placed in service in a high 

7 job loss metropolitan statistical area or micropolitan sta8 tistical area after the date of the enactment of this sub9 section, the amount in effect under subsection (a)(1) for 

10 a taxable year (without regard to this subsection) shall 

11 be increased by 0.5 cents. For the preceding sentence, the 

12 term ‘high job loss’ with respect to a metropolitan statis13 tical area and a micropolitan statistical area has the 

14 meaning given such term by section 48(a)(2)(D).’’. 

15 (d) GRANTS FOR SPECIFIED ENERGY PROPERTY IN

16 LIEU OF PRODUCTION CREDIT.—Subsection (b) of section 

17 1603 of the American Recovery and Reinvestment Tax Act 

18 of 2009 is amended by adding at the end the following 

19 new paragraph: 

20 ‘‘(4) SPECIAL RULE FOR SPECIFIED ENERGY

21 PROPERTY LOCATED IN HIGH JOB-LOSS ZONES.—In 

22 the case of any specified energy property placed in 

23 service in a green energy investment zone (as de24 fined in section 48(a)(2)(C)(ii)) after the date of the 


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1 enactment of this paragraph, paragraph (2) shall be 

2 applied— 

3 ‘‘(A) by substituting ‘40 percent’ for ‘30 

4 percent’ in subparagraph (A) thereof, and 

5 ‘‘(B) by substituting ‘20 percent’ for ‘10 

6 percent’ in subparagraph (B) thereof.’’. 

7 (e) NONBUSINESS ENERGY PROPERTY.— 

8 (1) IN GENERAL.—Subsection (a) of section 

9 25C of such Code is amended by adding at the end 

10 the following flush sentence: 

11 ‘‘In the case of any such improvement or property which 

12 was manufactured in a green energy investment zone (as 

13 defined in section 48(a)(2)(C)(ii)) after the date of the 

14 enactment of this sentence, the preceding sentence shall 

15 be applied by substituting ‘40 percent’ for ‘30 percent’.’’. 

16 (2) INCREASE IN LIMITATION.—Subsection (b) 

17 of section 25C of such Code is amended by striking 

18 ‘‘$1,500’’ and inserting ‘‘$2,000’’. 

19 (f) RESIDENTIAL ENERGY EFFICIENT PROPERTY.— 

20 (1) IN GENERAL.—Subsection (a) of section 

21 25D of such Code is amended by adding at the end 

22 the following flush sentence: 

23 ‘‘In the case of property manufactured in a green energy 

24 investment zone (as defined in section 48(a)(2)(C)(ii)) 

25 after the date of the enactment of this sentence, the preVerDate Nov 24 2008 02:38 Oct 17, 2009 Jkt 089200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H3834.IH H3834

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1 ceding sentence shall be applied by substituting ‘40 per2 cent’ for ‘30 percent’ each place it appears.’’. 

3 (2) INCREASE IN LIMITATION.—Paragraph (1) 

4 of section 25D(b) of such Code is amended by strik5 ing ‘‘$500’’ and inserting ‘‘$750’’. 

6 (g) QUALIFYING ADVANCED ENERGY PROJECT

7 CREDIT.—Paragraph (3) of section 48C(d) of such Code 

8 is amended by striking ‘‘and’’ at the end of subparagraph 

9 (A), by striking the period at the end of subparagraph 

10 (B) and inserting ‘‘, and’’, and by inserting after subpara11 graph (B) the following: 

12 ‘‘(C) shall take into consideration whether 

13 the project is located in a green energy invest14 ment zone (as defined in section 

15 48(a)(2)(C)(ii)).’’. 

16 (h) EFFECTIVE DATE.— 

17 (1) IN GENERAL.—The amendments made by 

18 this section shall take effect on the date of the en19 actment of this Act. 

20 (2) INCREASE IN LIMITATIONS.—The amend21 ments made by subsections (e)(2) and (f)(2) shall 

22 apply to taxable years beginning after December 31, 

23 2008. 

Æ 


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