I 

111TH CONGRESS 

1ST SESSION H. R. 4292 

To amend the Internal Revenue Code of 1986 to allow a refundable credit 

to the issuers of qualified zone academy bonds and qualified school 

construction bonds. 

IN THE HOUSE OF REPRESENTATIVES 

DECEMBER 11, 2009 

Mr. CHILDERS 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 allow a 

refundable credit to the issuers of qualified zone academy 

bonds and qualified school construction bonds. 

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 ‘‘America’s Better 

5 Classrooms Act of 2009’’. 


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1 SEC. 2. ISSUER ALLOWED REFUNDABLE CREDIT FOR 

2 QUALIFIED ZONE ACADEMY BONDS AND 

3 QUALIFIED SCHOOL CONSTRUCTION BONDS. 

4 (a) IN GENERAL.—Section 6431 of the Internal Rev5 enue Code of 1986 is amended by adding at the end the 

6 following new subsection: 

7 ‘‘(f) APPLICATION OF SECTION TO QUALIFIED ZONE

8 ACADEMY BONDS AND QUALIFIED SCHOOL CONSTRUC9 TION BONDS.— 

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

11 tax credit bond— 

12 ‘‘(A) such bond shall be treated as a quali13 fied bond for purposes of this section, 

14 ‘‘(B) subsection (a) shall be applied with15 out regard to the requirement that the qualified 

16 bond be issued before January 1, 2011, 

17 ‘‘(C) the amount of the payment deter18 mined under subsection (b) with respect to any 

19 interest payment date under such bond shall be 

20 equal to the lesser of— 

21 ‘‘(i) the amount of interest payable 

22 under such bond on such date, or 

23 ‘‘(ii) the amount of interest which 

24 would have been payable under such bond 

25 on such date if such interest were deter26 mined at the applicable credit rate deterVerDate Nov 24 2008 05:45 Dec 12, 2009 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H4292.IH H4292

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1 mined under section 54A(b)(3) with re2 spect to such bond, 

3 ‘‘(D) interest on any such bond shall be in4 cludible in gross income for purposes of this 

5 title, and 

6 ‘‘(E) no credit shall be allowed under sec7 tion 54A with respect to such bond. 

8 ‘‘(2) SPECIFIED TAX CREDIT BOND.—For pur9 poses of this subsection, the term ‘specified tax cred10 it bond’ means any qualified tax credit bond (as de11 fined in section 54A(d)) if— 

12 ‘‘(A) such bond is a qualified zone acad13 emy bond (as defined in section 54E) or a 

14 qualified school construction bond (as defined in 

15 section 54F), and 

16 ‘‘(B) the issuer of such bond makes an ir17 revocable election to have this subsection 

18 apply.’’. 

19 (b) TECHNICAL CORRECTIONS RELATING TO QUALI20 FIED SCHOOL CONSTRUCTION BONDS.— 

21 (1) The second sentence of section 54F(d)(1) of 

22 such Code is amended by striking ‘‘by the State’’ 

23 and inserting ‘‘by the State education agency (or 

24 such other agency as is authorized under State law 

25 to make such allocation)’’. 


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1 (2) The second sentence of section 54F(e) of 

2 such Code is amended by striking ‘‘subsection 

3 (d)(4)’’ and inserting ‘‘paragraphs (2) and (4) of 

4 subsection (d)’’. 

5 (c) EFFECTIVE DATE.— 

6 (1) IN GENERAL.—Except as otherwise pro7 vided in this subsection, the amendment made by 

8 this section shall apply to bonds issued after Decem9 ber 31, 2009. 

10 (2) TECHNICAL CORRECTIONS.—The amend11 ments made by subsection (b) shall take effect as if 

12 included in section 1521 of the American Recovery 

13 and Reinvestment Tax Act of 2009. 

Æ 


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