I 

111TH CONGRESS 

2D SESSION H. R. 5757 

To amend the Internal Revenue Code of 1986 to extend and modify the 

credits for alcohol used as a fuel, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 15, 2010 

Mr. FORTENBERRY introduced the following bill; which was referred to the 

Committee on Ways and Means, and in addition to the Committees on 

Transportation and Infrastructure and 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 extend 

and modify the credits for alcohol used as a fuel, and 

for other purposes. 

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 ‘‘Renewable Fuels for 

5 America’s Future Act of 2010’’. 


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1 SEC. 2. REDUCTION IN CREDIT FOR FUEL REQUIRED TO 

2 MEET RENEWABLE FUEL OBLIGATION. 

3 (a) IN GENERAL.—Subsection (d) of section 40 of the 

4 Internal Revenue Code of 1986 is amended by adding at 

5 the end the following new paragraph: 

6 ‘‘(8) ALCOHOL REQUIRED TO MEET RENEW7 ABLE FUEL OBLIGATION NOT TAKEN INTO AC8 COUNT.— 

9 ‘‘(A) IN GENERAL.—Alcohol used to meet 

10 the renewable fuel obligation applicable to the 

11 taxpayer shall not be taken into account for 

12 purposes of determining a credit under this sec13 tion. 

14 ‘‘(B) RENEWABLE FUEL OBLIGATION.— 

15 For purposes of subparagraph (A), the term 

16 ‘renewable fuel obligation’ means the renewable 

17 fuel obligation determined under section 

18 211(o)(3) of the Clean Air Act (42 U.S.C. 

19 7545(o)(3)). 

20 ‘‘(C) USE OF RINS.—Determinations for 

21 purposes of subparagraph (A) shall be made 

22 through the use of renewable identification 

23 numbers received from the taxpayer by the Ad24 ministrator of the Environmental Protection 

25 Agency pursuant to regulations issued under 

26 section 211(o) of such Act.’’. 


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1 (b) EXCISE TAX CREDIT.—Subsection (b) of section 

2 6426 of such Code, as amended by section 4 of this Act, 

3 is amended by redesignating paragraph (6) as paragraph 

4 (7) and by inserting after paragraph (5) the following new 

5 paragraph: 

6 ‘‘(6) ALCOHOL REQUIRED TO MEET RENEW7 ABLE FUEL OBLIGATION NOT TAKEN INTO AC8 COUNT.— 

9 ‘‘(A) IN GENERAL.—Alcohol used to meet 

10 the renewable fuel obligation applicable to the 

11 taxpayer shall not be taken into account for 

12 purposes of determining a credit under this 

13 subsection. 

14 ‘‘(B) RENEWABLE FUEL OBLIGATION.— 

15 For purposes of subparagraph (A), the term 

16 ‘renewable fuel obligation’ means the renewable 

17 fuel obligation determined under section 

18 211(o)(3) of the Clean Air Act (42 U.S.C. 

19 7545(o)(3)). 

20 ‘‘(C) USE OF RINS.—Determinations for 

21 purposes of subparagraph (A) shall be made 

22 through the use of renewable identification 

23 numbers received from the taxpayer by the Ad24 ministrator of the Environmental Protection 


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1 Agency pursuant to regulations issued under 

2 section 211(o) of such Act.’’. 

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

4 this section shall apply to fuel produced or sold after De5 cember 31, 2010. 

6 SEC. 3. EXTENSION OF INCOME TAX CREDIT FOR ALCOHOL 

7 USED AS FUEL. 

8 (a) IN GENERAL.—Paragraph (1) of section 40(e) of 

9 the Internal Revenue Code of 1986 is amended— 

10 (1) by striking ‘‘December 31, 2010’’ in sub11 paragraph (A) and inserting ‘‘December 31, 2015’’, 

12 and 

13 (2) by striking ‘‘January 1, 2013’’ in subpara14 graph (B) and inserting ‘‘January 1, 2016’’. 

15 (b) CELLULOSIC BIOFUEL.—Subparagraph (H) of 

16 section 40(b)(6) of such Code is amended by striking 

17 ‘‘January 1, 2013’’ and inserting ‘‘January 1, 2016’’. 

18 (c) REDUCED AMOUNT FOR ETHANOL BLENDERS.— 

19 Paragraph (2) of section 40(h) of such Code is amended 

20 by striking ‘‘2010’’ and inserting ‘‘2015’’. 

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

22 this section shall take effect on the date of the enactment 

23 of this Act. 


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1 SEC. 4. EXTENSION OF EXCISE TAX CREDIT FOR ALCOHOL 

2 USED AS FUEL. 

3 (a) IN GENERAL.—Paragraph (6) of section 6426(b) 

4 of the Internal Revenue Code of 1986 is amended by strik5 ing ‘‘December 31, 2010’’ and inserting ‘‘December 31, 

6 2015’’. 

7 (b) EFFECTIVE DATE.—The amendment made by 

8 this section shall take effect on the date of the enactment 

9 of this Act. 

10 SEC. 5. EXTENSION OF ADDITIONAL DUTIES ON ETHANOL. 

11 Headings 9901.00.50 and 9901.00.52 of the Har12 monized Tariff Schedule of the United States are each 

13 amended in the effective period column by striking ‘‘1/1/ 

14 2011’’ and inserting ‘‘1/1/2016’’. 

15 SEC. 6. ENSURING THE AVAILABILITY OF DUAL FUELED 

16 AUTOMOBILES AND LIGHT DUTY TRUCKS. 

17 (a) IN GENERAL.—Chapter 329 of title 49, United 

18 States Code, is amended by inserting after section 32902 

19 the following: 

20 ‘‘§ 32902A. Requirement to manufacture dual fueled 

21 automobiles and light duty trucks 

22 ‘‘(a) IN GENERAL.—For each model year listed in the 

23 following table, each manufacturer shall ensure that the 

24 percentage of automobiles and light duty trucks manufac25 tured by the manufacturer for sale in the United States 

26 that are dual fueled automobiles and light duty trucks is 


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1 not less than the percentage set forth for that model year 

2 in the following table: 

‘‘Model Year Percentage 

Model years 2012 and 2013 ....................... 50 percent 

Model year 2014 and each subsequent 

model year.

90 percent. 

3 ‘‘(b) EXCEPTION.—Subsection (a) shall not apply to 

4 automobiles or light duty trucks that operate only on elec5 tricity.’’. 

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

7 for chapter 329 of title 49, United States Code, is amend8 ed by inserting after the item relating to section 32902 

9 the following: 

‘‘32902A. Requirement to manufacture dual fueled automobiles and light duty 

trucks.’’. 

10 (c) RULEMAKING.—Not later than 1 year after the 

11 date of the enactment of this section, the Secretary of 

12 Transportation shall prescribe regulations to carry out the 

13 amendments made by this section. 

14 SEC. 7. BLENDER PUMP PROMOTION. 

15 (a) BLENDER PUMP GRANT PROGRAM.— 

16 (1) DEFINITIONS.—In this subsection: 

17 (A) BLENDER PUMP.—The term ‘‘blender 

18 pump’’ means an automotive fuel dispensing 

19 pump capable of dispensing at least 3 different 

20 blends of gasoline and ethanol, as selected by 

21 the pump operator, including blends ranging 


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1 from 0 percent ethanol to 85 percent denatured 

2 ethanol, as determined by the Secretary. 

3 (B) E–85 FUEL.—The term ‘‘E–85 fuel’’ 

4 means a blend of gasoline approximately 85 

5 percent of the content of which is ethanol. 

6 (C) ETHANOL FUEL BLEND.—The term 

7 ‘‘ethanol fuel blend’’ means a blend of gasoline 

8 and ethanol, with a minimum of 0 percent and 

9 maximum of 85 percent of the content of which 

10 is denatured ethanol. 

11 (D) SECRETARY.—The term ‘‘Secretary’’ 

12 means the Secretary of Energy. 

13 (2) GRANTS.—The Secretary shall make grants 

14 under this subsection to eligible facilities (as deter15 mined by the Secretary) to pay the Federal share 

16 of— 

17 (A) installing blender pump fuel infra18 structure, including infrastructure necessary— 

19 (i) for the direct retail sale of ethanol 

20 fuel blends (including E–85 fuel), includ21 ing blender pumps and storage tanks; and 

22 (ii) to directly market ethanol fuel 

23 blends (including E–85 fuel) to gas retail24 ers, including inline blending equipment, 


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1 pumps, storage tanks, and loadout equip2 ment; and 

3 (B) providing subgrants to direct retailers 

4 of ethanol fuel blends (including E–85 fuel) for 

5 the purpose of installing fuel infrastructure for 

6 the direct retail sale of ethanol fuel blends (in7 cluding E–85 fuel), including blender pumps 

8 and storage tanks. 

9 (3) FEDERAL SHARE.—The Federal share of 

10 the cost of a project carried out under this sub11 section shall be 50 percent of the total cost of the 

12 project. 

13 (4) AUTHORIZATION OF APPROPRIATIONS.— 

14 There are authorized to be appropriated to the Sec15 retary to carry out this subsection, to remain avail16 able until expended— 

17 (A) $50,000,000 for fiscal year 2011; 

18 (B) $100,000,000 for fiscal year 2012; 

19 (C) $200,000,000 for fiscal year 2013; 

20 (D) $300,000,000 for fiscal year 2014; 

21 and 

22 (E) $350,000,000 for fiscal year 2015. 

23 (b) INSTALLATION OF BLENDER PUMPS BY MAJOR

24 FUEL DISTRIBUTORS AT OWNED STATIONS AND BRAND25 ED STATIONS.—Section 211(o) of the Clean Air Act (42 


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1 U.S.C. 7545(o)) is amended by adding at the end the fol2 lowing: 

3 ‘‘(13) INSTALLATION OF BLENDER PUMPS BY

4 MAJOR FUEL DISTRIBUTORS AT OWNED STATIONS

5 AND BRANDED STATIONS.— 

6 ‘‘(A) DEFINITIONS.—In this paragraph: 

7 ‘‘(i) E–85 FUEL.—The term ‘E–85 

8 fuel’ means a blend of gasoline approxi9 mately 85 percent of the content of which 

10 is ethanol. 

11 ‘‘(ii) ETHANOL FUEL BLEND.—The 

12 term ‘ethanol fuel blend’ means a blend of 

13 gasoline and ethanol, with a minimum of 0 

14 percent and maximum of 85 percent of the 

15 content of which is denatured ethanol. 

16 ‘‘(iii) MAJOR FUEL DISTRIBUTOR.— 

17 ‘‘(I) IN GENERAL.—The term 

18 ‘major fuel distributor’ means any 

19 person that owns a refinery and di20 rectly markets the output of a refin21 ery. 

22 ‘‘(II) EXCLUSION.—The term 

23 ‘major fuel distributor’ does not in24 clude any person that owns less than 

25 50 retail fueling stations. 


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1 ‘‘(iv) SECRETARY.—The term ‘Sec2 retary’ means the Secretary of Energy, 

3 acting in consultation with the Adminis4 trator and the Secretary of Agriculture. 

5 ‘‘(B) REGULATIONS.—The Secretary shall 

6 promulgate regulations to ensure that each 

7 major fuel distributor that sells or introduces 

8 gasoline into commerce in the United States 

9 through majority-owned stations or branded 

10 stations installs or otherwise makes available 1 

11 or more blender pumps that dispense E–85 fuel 

12 and ethanol fuel blends (including any other 

13 equipment necessary, such as tanks, to ensure 

14 that the pumps function properly) for a period 

15 of not less than 5 years at not less than the ap16 plicable percentage of the majority-owned sta17 tions and the branded stations of the major fuel 

18 distributor specified in subparagraph (C). 

19 ‘‘(C) APPLICABLE PERCENTAGE.—For the 

20 purpose of subparagraph (B), the applicable 

21 percentage of the majority-owned stations and 

22 the branded stations shall be determined in ac23 cordance with the following table: 

‘‘Applicable percentage of majority-owned stations and branded 

stations 

Calendar year: Percent: 

2011 ............................................................................................. 10


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‘‘Applicable percentage of majority-owned stations and branded 

stations 

Calendar year: Percent: 

2013 ............................................................................................. 20

2015 ............................................................................................. 35

2017 and each calendar year thereafter ...................................... 50. 

1 ‘‘(D) GEOGRAPHIC DISTRIBUTION.— 

2 ‘‘(i) IN GENERAL.—Subject to clause 

3 (ii), in promulgating regulations under 

4 subparagraph (B), the Secretary shall en5 sure that each major fuel distributor de6 scribed in that subparagraph installs or 

7 otherwise makes available 1 or more blend8 er pumps that dispense E–85 fuel and eth9 anol fuel blends at not less than a min10 imum percentage (specified in the regula11 tions) of the majority-owned stations and 

12 the branded stations of the major fuel dis13 tributors in each State. 

14 ‘‘(ii) REQUIREMENT.—In specifying 

15 the minimum percentage under clause (i), 

16 the Secretary shall ensure that each major 

17 fuel distributor installs or otherwise makes 

18 available 1 or more blender pumps de19 scribed in that clause in each State in 

20 which the major fuel distributor operates. 

21 ‘‘(E) FINANCIAL RESPONSIBILITY.—In 

22 promulgating regulations under subparagraph 


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1 (B), the Secretary shall ensure that each major 

2 fuel distributor described in that subparagraph 

3 assumes full financial responsibility for the 

4 costs of installing or otherwise making available 

5 the blender pumps described in that subpara6 graph and any other equipment necessary (in7 cluding tanks) to ensure that the pumps func8 tion properly. 

9 ‘‘(F) PRODUCTION CREDITS FOR EXCEED10 ING BLENDER PUMPS INSTALLATION REQUIRE11 MENT.— 

12 ‘‘(i) EARNING AND PERIOD FOR AP13 PLYING CREDITS.—If the percentage of the 

14 majority-owned stations and the branded 

15 stations of a major fuel distributor at 

16 which the major fuel distributor installs 

17 blender pumps in a particular calendar 

18 year exceeds the percentage required under 

19 subparagraph (C), the major fuel dis20 tributor shall earn credits under this para21 graph, which may be applied to any of the 

22 3 consecutive calendar years immediately 

23 after the calendar year for which the cred24 its are earned. 


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1 ‘‘(ii) TRADING CREDITS.—Subject to 

2 clause (iii), a major fuel distributor that 

3 has earned credits under clause (i) may 

4 sell the credits to another major fuel dis5 tributor to enable the purchaser to meet 

6 the requirement under subparagraph (C). 

7 ‘‘(iii) EXCEPTION.—A major fuel dis8 tributor may not use credits purchased 

9 under clause (ii) to fulfill the geographic 

10 distribution requirement in subparagraph 

11 (D).’’. 

Æ 


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