I 

111TH CONGRESS 

2D SESSION H. R. 5952 

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

of composite, recyclable power line poles. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 29, 2010 

Mr. DAVIS of Illinois 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 

credit for installation of composite, recyclable power line 

poles. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. ADVANCED MANUFACTURING CREDIT FOR 

4 PROPERTY WHICH PRODUCES COMPOSITE, 

5 RECYCLABLE POWER LINE POLES. 

6 (a) IN GENERAL.—Clause (i) of section 48C(c)(1)(A) 

7 of the Internal Revenue Code of 1986 is amended by strik8 ing ‘‘or’’ at the end of subclause (VI), by redesignating 

9 subclause (VII) as subclause (VIII), and by inserting after 

10 subclause (VI) the following new subclause: 


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1 ‘‘(VII) utility poles or supports 

2 made from composite materials which 

3 are comprised of at least 15 percent 

4 recycled materials and are fully recy5 clable,’’. 

6 (b) EFFECTIVE DATE.—The amendments made by 

7 this section shall apply to periods after the date of the 

8 enactment of this Act, under rules similar to the rules of 

9 section 48(m) of the Internal Revenue Code of 1986 (as 

10 in effect on the day before the date of the enactment of 

11 the Revenue Reconciliation Act of 1990). 

12 SEC. 2. BUSINESS CREDIT FOR COMPOSITE, RECYCLABLE 

13 POWER LINE POLES. 

14 (a) IN GENERAL.—Subpart D of part IV of sub15 chapter A of chapter 1 of the Internal Revenue Code of 

16 1986 (relating to business related credits) is amended by 

17 adding at the end the following new section: 

18 ‘‘SEC. 45R. ELECTRICITY TRANSMISSION COMPOSITE POLE 

19 PROPERTY. 

20 ‘‘(a) IN GENERAL.—For purposes of section 38, the 

21 amount of the electricity transmission composite pole 

22 property credit determined under this section for any tax23 able year is an amount equal to 30 percent of the basis 

24 of the qualified composite poles placed in service during 

25 the taxable year. 


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1 ‘‘(b) QUALIFIED COMPOSITE POLE.—For purposes of 

2 this section— 

3 ‘‘(1) IN GENERAL.—The term ‘qualified com4 posite pole’ means any pole— 

5 ‘‘(A) which is placed in service after De6 cember 31, 2010, and before January 1, 2016, 

7 ‘‘(B) which is used to support one or more 

8 wires for use in connection with the trans9 mission or distribution of electricity, 

10 ‘‘(C) which is comprised of not more than 

11 85 percent virgin materials, and 

12 ‘‘(D) not less than 90 percent of which can 

13 be recycled (within the meaning of section 

14 168(m)(3)(C)) at the end of its useful life. 

15 ‘‘(2) EXCEPTIONS.—Such term shall not in16 clude any property that is conductive or that con17 tains arsenic, arsenicals, creosote, pentachlorophenol, 

18 copper napthenate. 

19 ‘‘(c) DENIAL OF DOUBLE BENEFIT.—For purposes 

20 of this subtitle, if a credit is determined under subsection 

21 (a) with respect to any property, the basis of such property 

22 shall be reduced by the amount of the credit so deter23 mined.’’. 

24 (b) CLERICAL AMENDMENT.—The table of sections 

25 for subpart D of part IV of subchapter A of chapter 1 


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1 of such Code is amended by adding at the end the fol2 lowing new item: 

‘‘Sec. 45R. Electricity transmission composite pole property.’’. 

3 (c) CREDIT MADE PART OF GENERAL BUSINESS

4 CREDIT.—Subsection (b) of section 38 of such Code is 

5 amended by striking ‘‘plus’’ at the end of paragraph (34), 

6 by striking the period at the end of paragraph (35) and 

7 inserting ‘‘, plus’’, and by adding at th end the following 

8 new paragraph: 

9 ‘‘(36) the electricity transmission composite 

10 pole property credit determined under section 

11 45R(a).’’. 

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

13 this section shall apply to property placed in service after 

14 the date of the enactment of this Act. 

Æ 


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