Superfund Reinvestment Act

To amend the Internal Revenue Code of 1986 to provide for the use of funds in the Hazardous Substance Superfund for the purposes for which they were collected, to ensure adequate resources for the cleanup of hazardous substances under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, and for other purposes. 1. Short title This Act may be cited as the Superfund Reinvestment Act 2. Use of Hazardous Substance Superfund for cleanup (a) Availability of amounts Section 111 of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 ( 42 U.S.C. 9611 (1) in subsection (a) by striking For the purposes specified for the following purposes: The amount in the Hazardous Substance Superfund established under section 9507 (2) in subsection (c)— (A) by striking Subject to such amounts as are provided in appropriations Acts, the The (B) in paragraph (12) by striking to the extent that such costs and 1994 (b) Amendment to the Internal Revenue Code Section 9507 (1) by striking appropriated to made available for (2) by striking appropriated transferred (3) by striking , as provided in appropriations Acts, (4) by striking December 31, 1995 December 31, 2028 3. Budgetary treatment of Hazardous Substance Superfund Notwithstanding any other provision of law, the receipts and disbursements of the Hazardous Substance Superfund established in section 9507 (1) shall not be counted as new budget authority, outlays, receipts, or deficit or surplus for purposes of— (A) the budget of the United States Government as submitted by the President; (B) the congressional budget (including allocations of budget authority and outlays provided therein); (C) the Balanced Budget and Emergency Deficit Control Act of 1985; or (D) the Statutory Pay-As-You-Go Act of 2010; (2) shall be exempt from any general budget limitation imposed by statute on expenditures and net lending (budget outlays) of the United States Government; and (3) shall be available only for the purposes specified in section 111 of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 ( 42 U.S.C. 9611 4. Modification of Superfund taxes (a) Hazardous Substance Superfund financing rate (1) Extension Subsection (e) of section 4611 (e) Application of Hazardous Substance Superfund financing rate The Hazardous Substance Superfund financing rate under this section shall apply after December 31, 1986, and before January 1, 1996, and after the date of the enactment of the Superfund Reinvestment Act . (2) Adjustment for inflation (A) Section 4611(c)(2)(A) of such Code is amended by striking 9.7 cents 16.3 cents (B) Section 4611(c) of such Code is amended by adding at the end the following: (3) Adjustment for inflation (A) In general In the case of a year beginning after 2020, the amount in paragraph (2)(A) shall be increased by an amount equal to— (i) such amount, multiplied by (ii) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year, determined by substituting calendar year 2019 calendar year 2016 (B) Rounding If any amount as adjusted under subparagraph (A) is not a multiple of $0.01, such amount shall be rounded to the next lowest multiple of $0.01. . (b) Adjustment of excise tax on certain chemicals for inflation Section 4661(b) of such Code is amended to read as follows: (b) Amount of tax (1) In general The amount of the tax imposed by subsection (a) shall be determined in accordance with the following table: In the case of: The tax is the following amount per ton: Acetylene $11.35 Benzene 11.35 Butane 11.35 Butylene 11.35 Butadiene 11.35 Ethylene 11.35 Methane 8.02 Naphthalene 11.35 Propylene 11.35 Toluene 11.35 Xylene 11.35 Ammonia 6.15 Antimony 10.37 Antimony trioxide 8.74 Arsenic 10.37 Arsenic trioxide 7.95 Barium sulfide 5.36 Bromine 10.37 Cadmium 10.37 Chlorine 6.29 Chromium 10.37 Chromite 3.54 Potassium dichromate 3.94 Sodium dichromate 4.36 Cobalt 10.37 Cupric sulfate 4.36 Cupric oxide 8.37 Cuprous oxide 9.25 Hydrochloric acid 0.68 Hydrogen fluoride 9.86 Lead oxide 9.65 Mercury 10.37 Nickel 10.37 Phosphorus 10.37 Stannous chloride 6.64 Stannic chloride 4.94 Zinc chloride 5.17 Zinc sulfate 4.43 Potassium hydroxide 0.51 Sodium hydroxide 0.65 Sulfuric acid 0.61 Nitric acid 0.56. (2) Adjustment for inflation (A) In general In the case of a calendar year beginning after 2020, each of the amounts in the table in paragraph (1) shall be increased by an amount equal to— (i) such amount, multiplied by (ii) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year, determined by substituting calendar year 2019 calendar year 2016 (B) Rounding If any amount as adjusted under subparagraph (A) is not a multiple of $0.01, such amount shall be rounded to the next lowest multiple of $0.01. . (c) Corporate environmental income tax reinstated (1) In general Subchapter A of chapter 1 of such Code is amended by inserting after part VII the following: VIII Environmental Tax Sec. 59B. Environmental tax. 59B. Environmental tax (a) Imposition of tax In the case of a corporation, there is hereby imposed (in addition to any other tax imposed by this subtitle) a tax equal to 0.12 percent of the excess of— (1) the modified environmental tax taxable income of such corporation for the taxable year, over (2) $3,735,000. (b) Modified environmental tax taxable income For purposes of this section, the term modified environmental tax taxable income (1) the net operating loss deduction allowable under section 172, and (2) the deduction allowed under section 164(a)(5). (c) Exception for RICs and REITs The tax imposed by subsection (a) shall not apply to— (1) a regulated investment company to which part I of subchapter M applies, and (2) a real estate investment trust to which part II of subchapter M applies. (d) Special rules (1) Short taxable years The application of this section to taxable years of less than 12 months shall be in accordance with regulations prescribed by the Secretary. (2) Section 15 not to apply Section 15 shall not apply to the tax imposed by this section. (e) Adjustment for inflation (1) In general In the case of a taxable year beginning after 2020, the dollar amount in subsection (a)(2) shall be increased by an amount equal to— (A) such amount, multiplied by (B) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting calendar year 2019 calendar year 2016 (2) Rounding If any amount as adjusted under subparagraph (A) is not a multiple of $1,000, such amount shall be rounded to the next lowest multiple of $1,000. (f) Application of tax The tax imposed by this section shall apply to taxable years ending after the date of the enactment of the Superfund Reinvestment Act . (2) Conforming amendments (A) Paragraph (2) of section 26(b) of such Code is amended by striking and , and (Z) section 59B (relating to environmental tax). . (B) Subsection (a) of section 164 of such Code is amended by inserting after paragraph (4) the following: (5) The environmental tax imposed by section 59B. . (C) Section 275(a) of such Code is amended by inserting at the end the following flush sentence: Paragraph (1) shall not apply to the tax imposed by section 59B. (D) Section 882(a)(1) of such Code is amended by striking or 59A , 59A, or 59B (E) Section 1561(a) of such Code is amended by inserting and one dollar amount in effect under section 59B(a)(2) for the taxable year for purposes of computing the tax imposed by section 59B under section 535(c)(2) and (3) (F) Section 6425(c)(1)(A) of such Code is amended by striking plus over plus (iii) the tax imposed by section 59B, over . (G) Section 6655 of such Code is amended— (i) in subsections (e)(2)(A)(i) and (e)(2)(B)(i), by striking taxable income and modified taxable income taxable income, modified taxable income, and modified environmental tax taxable income (ii) in subsection (e)(2)(B), by inserting after clause (ii) the following: (iii) Modified environmental tax taxable income The term modified environmental tax taxable income ; and (iii) in subsection (g)(1)(A), by striking plus (iii) the tax imposed by section 59B, plus . (H) Section 9507(b)(1) of such Code is amended by inserting 59B, 4611 (3) Clerical amendment The table of parts for subchapter A of chapter 1 of such Code is amended by inserting after the item relating to part VII the following new item: Part VIII. Environmental tax . (d) Clarification of tar sands as crude oil for excise tax purposes (1) In general Section 4612(a)(1) of such Code is amended to read as follows: (1) Crude oil The term crude oil . (2) Technical amendment Section 4612(a)(2) of such Code is amended by striking from a well located (e) Technical amendments (1) Subsection (b) of section 4611 of such Code is amended— (A) by striking or exported from (B) by striking or exportation (C) by striking and exportation (2) Paragraph (3) of section 4611(d) of such Code is amended— (A) by striking or exporting the crude oil, as the case may be the crude oil (B) by striking or exports (f) Effective date (1) In general Except as provided in paragraph (2), the amendments made by this section shall apply to oil and petroleum products received or entered during calendar quarters beginning after December 31, 2019. (2) Corporate environmental income tax The amendment made by section 4(c) shall apply to taxable years beginning after December 31, 2019. 5. Applicability Except as provided in section 4(f), this Act (including the amendments made by this Act) shall apply to fiscal years beginning after September 30, 2019.

Summary: Superfund Reinvestment Act This bill authorizes the use of amounts in the Hazardous Substance Superfund for environmental cleanup costs under the Superfund program (which provides funding to clean up sites contaminated with hazardous substances). Receipts and disbursements of the Hazardous Substance Superfund must (1) not be counted for purposes of the President's budget, the congressional budget, the Balanced Budget and Emergency Deficit Control Act of 1985, or the Statutory Pay-As-You-Go Act of 2010; (2) be exempt from general budget limitations imposed by statute on expenditures and net lending; and (3) be available only for the purposes specified under Superfund. This bill amends the Internal Revenue Code to (1) reinstate through 2028, and adjust for inflation annually after 2020, the Hazardous Substance Superfund financing rate and the corporate environmental income tax threshold amount; (2) extend the borrowing authority of the Superfund through 2028; and (3) modify the definition of crude oil for purposes of the excise tax on petroleum and petroleum products to include a bitumen or bituminous mixture (e.g., tar sands), oil derived from a bitumen or bituminous mixture, and oil derived from kerogen-bearing sources (e.g., shale oil).