I 

111TH CONGRESS 

2D SESSION H. R. 6031 

To amend the Internal Revenue Code of 1986 to deny certain tax benefits 

to persons responsible for an oil spill if such person commits certain 

additional violations. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 30, 2010 

Mr. ENGEL 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 deny certain 

tax benefits to persons responsible for an oil spill if 

such person commits certain additional violations. 

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 ‘‘Denial of Certain Tax 

5 Benefits to Offending Oil Polluters Act of 2010’’. 


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1 SEC. 2. DENIAL OF CERTAIN TAX BENEFITS TO OFFENDING 

2 OIL POLLUTERS. 

3 (a) IN GENERAL.—Subchapter B of chapter 1 of the 

4 Internal Revenue Code of 1986 is amended by adding at 

5 the end the following new part: 

6 ‘‘PART XII—DENIAL OF CERTAIN TAX BENEFITS 

7 TO OFFENDING OIL POLLUTERS 

‘‘Sec. 293. Denial of certain tax benefits to offending oil polluters. 

8 ‘‘SEC. 293. DENIAL OF CERTAIN TAX BENEFITS TO OFFEND9 ING OIL POLLUTERS. 

10 ‘‘(a) IN GENERAL.—In the case of an offending oil 

11 polluter, no deduction or credit shall be allowed under this 

12 chapter with respect to any amount paid or incurred in 

13 connection with a discharge of oil referred to in subsection 

14 (b)(1). 

15 ‘‘(b) OFFENDING OIL POLLUTER.—For purposes of 

16 this section, the term ‘offending oil polluter’ means— 

17 ‘‘(1) any person that is a responsible party for 

18 a vessel or a facility from which oil is discharged 

19 (within the meaning of section 1002 of the Oil Pol20 lution Act of 1990 (33 U.S.C. 2702)) unless— 

21 ‘‘(A) the person has met all of its obliga22 tions under such Act to provide compensation 

23 for covered removal costs and damages, and 

24 ‘‘(B) during the 7-year period ending on 

25 the first date of such discharge, the person, in 


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1 connection with activities in the oil industry (in2 cluding exploration, development, production, 

3 transportation by pipeline, and refining)— 

4 ‘‘(i) was not found to have committed 

5 willful or repeated violations under the Oc6 cupational Safety and Health Act of 1970 

7 (29 U.S.C. 651 et seq.) (including State 

8 plans approved under section 18(c) of such 

9 Act (29 U.S.C. 667(c))) at a rate that is 

10 higher than five times the rate determined 

11 by the Secretary, in consultation with the 

12 Secretary of the Interior, to be the oil in13 dustry average for such violations for such 

14 period, 

15 ‘‘(ii) was not convicted of a criminal 

16 violation for death or serious bodily injury, 

17 ‘‘(iii) did not have more than 10 fa18 talities at its exploration, development, and 

19 production facilities and refineries as a re20 sult of violations of Federal or State 

21 health, safety, or environmental laws, 

22 ‘‘(iv) was not assessed, did not enter 

23 into an agreement to pay, and was not oth24 erwise required to pay, civil penalties and 

25 criminal fines for violations the person was 


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1 found to have committed under the Fed2 eral Water Pollution Control Act (33 

3 U.S.C. 1251 et seq.) (including State pro4 grams approved under sections 402 and 

5 404 of such Act (33 U.S.C. 1342 and 

6 1344)) in a total amount that is equal to 

7 more than $10,000,000, and 

8 ‘‘(v) was not assessed, did not enter 

9 into an agreement to pay, and was not oth10 erwise required to pay, civil penalties and 

11 criminal fines for violations the person was 

12 found to have committed under the Clean 

13 Air Act (42 U.S.C. 7401 et seq.) (includ14 ing State plans approved under section 

15 110 of such Act (42 U.S.C. 7410)) in a 

16 total amount that is equal to more than 

17 $10,000,000, and 

18 ‘‘(2) any person who is a member of the same 

19 expanded affiliated group (as defined in section 

20 1471(e)(2)) as a person described in paragraph 

21 (1).’’. 

22 (b) CLERICAL AMENDMENT.—The table of parts for 

23 subchapter B of chapter 1 of such Code is amended by 

24 adding at the end the following new item: 

‘‘PART XII. DENIAL OF CERTAIN TAX BENEFITS TO OFFENDING OIL

POLLUTERS’’. 


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1 (c) EFFECTIVE DATE.—The amendments made by 

2 this section shall apply to amounts paid or incurred after 

3 December 31, 2009. 

Æ 


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