True Cost of Coal Act of 2013

To amend the Internal Revenue Code of 1986 to establish the Coal Mitigation Trust Fund funded by the imposition of a tax on the extraction of coal, and for other purposes. 1. Short title This Act may be cited as the True Cost of Coal Act of 2013 2. Coal Mitigation Trust Fund (a) In general Subchapter A of chapter 98 9512. Coal Mitigation Trust Fund (a) Creation of trust fund There is established in the Treasury of the United States a trust fund to be known as the Coal Mitigation Trust Fund (b) Transfers to trust fund There are hereby appropriated to the Coal Mitigation Trust Fund amounts equivalent to the taxes received in the Treasury under section 4122 (relating to excise tax on coal extraction). (c) Expenditures (1) In general Except as otherwise provided in this subsection, amounts in the Coal Mitigation Trust Fund shall be available, as provided by appropriation Acts, to eligible States for mitigation of the following in connection with the transportation of coal by rail: noise, vibration, traffic delays, pollution and other threats to public health, and emergencies. Such amounts shall also be so available for related worker adjustment assistance. Any amounts made available to an eligible State under this paragraph shall remain available until expended for a purpose described in this paragraph. (2) Allocation among States Any amounts made available under paragraph (1) shall be made available to the eligible States in an amount which bears the same ratio to the population of such State as the aggregate amount made available bears to the aggregate populations of all the eligible States. (3) Eligible States For purposes of this subsection, the term eligible State (4) Amounts made available not to offset required expenditures Amounts made available under paragraph (1) shall not be used directly or indirectly for any expense which any producer or transporter of coal is legally required to provide. . (b) Clerical amendment The table of sections for subchapter A of chapter 98 of the Internal Revenue Code of 1986 is amended by adding at the end the following new item: Sec. 9512. Coal Mitigation Trust Fund. . 3. Excise tax on coal extraction (a) In general Subchapter B of chapter 32 4122. Excise tax on coal extraction (a) In general There is hereby imposed on the extraction of coal in the United States a tax equal to $10 per ton. (b) Cross reference For definitions of United States ton . (b) Clerical amendment The table of sections for subchapter B of chapter 32 of such Code is amended by adding at the end the following new item: Sec. 4122. Excise tax on coal extraction. . (c) Effective date The amendments made by this section shall apply to coal extracted after the date of the enactment of this Act. 4. Extension of recovery period for specified coal port property (a) 50-Year recovery period for specified coal ports (1) In general The table contained in section 168(c) of the Internal Revenue Code of 1986 is amended by striking the last row and inserting the following: Any railroad grading, tunnel bore, or specified coal port property 50 years . (2) Alternative depreciation system The table contained in section 168(g)(2)(C) of such Code is amended by striking or water utility property , water utility property, or specified coal port property (b) Specified coal port property Subsection (e) of section 168 of such Code is amended by adding at the end the following new paragraph: (9) Specified coal port property The term specified coal port property (A) it is reasonably anticipated at the time that such property is placed in service that such port will be used for the export of coal, and (B) such port (after such property and any related property is placed in service) would have the capacity to export more than 1,000,000 tons of coal annually. . (c) Effective date The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act. 5. Covering coal cars (a) Amendment Subchapter II of chapter 201 20168. Covering coal cars. The Secretary of Transportation shall issue regulations to require all rail cars transporting coal to be covered or to incorporate a suitable alternative technology that ensures that coal and coal dust do not escape the rail car or are treated to significantly reduce or eliminate the release of coal dust or other particulate matter during transportation. . (b) Table of sections The table of sections for subchapter II of chapter 201 20168. Covering coal cars. .

Summary: True Cost of Coal Act of 2013 - Amends the Internal Revenue Code to: (1) impose a $10 per ton excise tax on the extraction of coal; (2) establish in the Treasury the Coal Mitigation Trust Fund to hold revenues from such tax; and (3) extend to 50 years the recovery period, for depreciation purposes, for specified coal port property used for the export of coal. Allows expenditures from the Coal Mitigation Trust Fund to assist states in mitigating noise, vibration, traffic delays, pollution and other threats to public health, and emergencies in connection with the transportation of coal by rail, and to provide worker adjustment assistance. Directs the Secretary of Transportation (DOT) to issue regulations to require all rail cars transporting coal to be covered or to incorporate a suitable alternative technology to ensure that coal and coal dust do not escape during transportation.