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106TH CONGRESS

2D SESSION S. 2302

To amend the Internal Revenue Code of 1986 to expand the enhanced

deduction for corporate donations of computer technology to public libraries and community centers.

IN THE SENATE OF THE UNITED STATES

MARCH 28, 2000

Mr. CLELAND introduced the following bill; which was read twice and referred

to the Committee on Finance

A BILL

To amend the Internal Revenue Code of 1986 to expand

the enhanced deduction for corporate donations of computer technology to public libraries and community centers.

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 ‘‘Community Tech5 nology Assistance Act’’.

6 SEC. 2. FINDINGS.

7 Congress finds the following:
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1 (1) A third of America’s economic growth in re2 cent years has come from information technologies,

3 including 19,000,000 new jobs.

4 (2) Thirty percent of white Americans are con5 nected to the Internet while only 11 or 12 percent

6 of African Americans or Hispanic Americans are on7 line. Households with incomes of at least $75,000

8 are more than 20 times as likely to have access to

9 the Internet than those at the lowest income levels,

10 and more than 9 times as likely to have a computer

11 at home.

12 (3) Citizens in rural areas are less likely to be

13 connected to the Internet than urban users. Regard14 less of income level, those living in rural areas are

15 lagging behind in computer ownership and Internet

16 access.

17 (4) Unemployed persons who access the Inter18 net outside their homes are nearly 3 times more like19 ly to use the Internet for job searching than the na20 tional average. Those Americans who are ‘‘not in the

21 labor force’’, such as retirees or homemakers, are

22 twice as likely to use the public libraries for access.

23 (5) Those earning less than $20,000 who use

24 the Internet outside the home are twice as likely to
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1 get their access through a public library or commu2 nity center than those earning more than $20,000.

3 (6) Minorities are more likely users of the

4 Internet and pursue online courses and school re5 search at even higher rates outside the home (50.3

6 percent for Hispanics, 47.0 percent for American In7 dians/Eskimos/Aleuts, and 46.3 percent for African

8 Americans).

9 (7) Among all Americans, 17.0 percent use the

10 Internet at some site outside the home. Many Amer11 icans who obtain Internet access outside the home

12 rely on such places as public libraries (8.2 percent)

13 and community centers (0.6 percent).

14 SEC. 3. ENHANCED DEDUCTION FOR CORPORATE DONA15 TIONS OF COMPUTER TECHNOLOGY TO PUB16 LIC LIBRARIES AND COMMUNITY CENTERS.

17 (a) EXPANSION OF COMPUTER TECHNOLOGY DONA18 TIONS TO PUBLIC LIBRARIES AND COMMUNITY CEN19 TERS.—

20 (1) IN GENERAL.—Paragraph (6) of section

21 170(e) of the Internal Revenue Code of 1986 (relat22 ing to special rule for contributions of computer

23 technology and equipment for elementary or sec24 ondary school purposes) is amended by striking

25 ‘‘qualified elementary or secondary educational con-
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1 tribution’’ each place it occurs in the headings and

2 text and inserting ‘‘qualified computer contribution’’.

3 (2) EXPANSION OF ELIGIBLE DONEES.—Sub4 clause (II) of section 170(e)(6)(B)(i) of such Code

5 (relating to qualified elementary or secondary edu6 cational contribution) is amended by striking ‘‘or’’ at

7 the end of subclause (I) and by inserting after sub8 clause (II) the following new subclauses:

9 ‘‘(III) a public library (within the

10 meaning of section 213(2)(A) of the

11 Library Services and Technology Act

12 (20 U.S.C. 9122(2)(A)), as in effect

13 on the date of the enactment of the

14 Community Technology Assistance

15 Act, established and maintained by an

16 entity described in subsection (c)(1),

17 or

18 ‘‘(IV) a nonprofit or govern19 mental community center, including

20 any center within which an after21 school or employment training pro22 gram is operated,’’.

23 (b) CONFORMING AMENDMENTS.—
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1 (1) Section 170(e)(6)((B)(iv) of the Internal

2 Revenue Code of 1986 is amended by striking ‘‘in

3 any grades K–12’’.

4 (2) The heading of paragraph (6) of section

5 170(e) of such Code is amended by striking ‘‘ELE6 MENTARY OR SECONDARY SCHOOL PURPOSES’’ and

7 inserting ‘‘EDUCATIONAL PURPOSES’’.

8 (c) EXTENSION OF DEDUCTION.—Section

9 170(e)(6)(F) of the Internal Revenue Code of 1986 (relat10 ing to termination) is amended by striking ‘‘December 31,

11 2000’’ and inserting ‘‘December 31, 2005’’.

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

13 this section shall apply to contributions made after De14 cember 31, 2000.

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