‘‘(3) NATIONAL
VOLUME
CAP.—The national
volume cap is $20,000,000,000. The Administrator
of the Environmental Protection Agency shall allo-
cate such amount among the approved special pur-
pose 
entities, 
except 
that 
not 
less 
than
$2,000,000,000 of such amount shall be allocated to
an entity whose comprehensive plan only covers
abandoned mine land areas containing anthracite
coal.
‘‘(4) APPROVED SPECIAL PURPOSE ENTITY.—
The term ‘approved special purpose entity’ means a
State or local governmental entity, or an entity de-
scribed in section 501(c) and exempt from tax under
section 501(a), if—
‘‘(A) such entity is established and oper-
ated exclusively to carry out qualified purposes,
‘‘(B) such entity has a comprehensive plan
to restore and redevelop abandoned mine land
areas, and
‘‘(C) such entity and plan are approved by
the Administrator of the Environmental Protec-
tion Agency.
‘‘(5) 
APPROVED
SEGREGATED
PROGRAM
FUND.—The term ‘approved segregated program
fund’ means any segregated fund the amounts in
which may be used only for qualified purposes, but
only if such fund has safeguards approved by such
Administrator to assure that such amounts are only
used for such purposes.
‘‘(d) LIMITATION BASED ON AMOUNT OF TAX.—
‘‘(1) IN GENERAL.—The credit allowed under
subsection (a) for any taxable year shall not exceed
the excess of—
‘‘(A) the sum of the regular tax liability
(as defined in section 26(b)) plus the tax im-
posed by section 55, over
‘‘(B) the sum of the credits allowable
under part IV of subchapter A (other than this
section and subpart C thereof, relating to re-
fundable credits).
‘‘(2) CARRYOVER OF UNUSED CREDIT.—If the
credit allowable under subsection (a) for any taxable
year exceeds the limitation imposed by paragraph
(1) for such taxable year, the excess shall be carried
to the succeeding taxable year and added to the
amount allowable as a credit under subsection (a)
for such succeeding taxable year.
‘‘(e) OTHER DEFINITIONS.—For purposes of this
section—
‘‘(1) ABANDONED
MINE
LAND
AREAS.—The
term ‘abandoned mine land areas’ means lands and
water eligible pursuant to section 404 of the Surface
Mining Control and Reclamation Act of 1977 (30
U.S.C. 1234) for expenditures from the Abandoned
Mine Reclamation Fund under title IV of such Act
(30 U.S.C. 1231 et seq.).
‘‘(2) QUALIFIED PURPOSE.—The term ‘quali-
fied purpose’ means, with respect to any qualified
abandoned mine land area redevelopment bond—
‘‘(A) the purchase, restoration, and rede-
velopment of abandoned mine land areas,
‘‘(B) the cleanup of waterways and their
tributaries, both surface and subsurface, on
abandoned mine land areas from acid mine
drainage and other pollution,
‘‘(C) the provision of financial and tech-
nical assistance for infrastructure construction
and upgrading water and sewer systems on
abandoned mine land areas,
‘‘(D) research and development relating to
abandoned mine land areas,
‘‘(E) other environmental and economic de-
velopment purposes relating to abandoned mine
land areas, and
‘‘(F) such other purposes as are set forth
in the comprehensive plan prepared by the
issuer and approved by the Administrator of the
Environmental Protection Agency.
‘‘(3) CREDIT
ALLOWANCE
DATE.—The term
‘credit allowance date’ means—
‘‘(A) March 15,
‘‘(B) June 15,
‘‘(C) September 15, and
‘‘(D) December 15.
Such term includes the last day on which the bond
is outstanding.
‘‘(4) BOND.—The term ‘bond’ includes any ob-
ligation.
‘‘(f) CREDIT INCLUDED IN GROSS INCOME.—Gross
income includes the amount of the credit allowed to the
taxpayer under this section (determined without regard to
subsection (d)) and the amount so included shall be treat-
ed as interest income.
‘‘(g) BONDS HELD
BY REGULATED INVESTMENT
COMPANIES.—If any qualified abandoned mine land area
redevelopment bond is held by a regulated investment
company, the credit determined under subsection (a) shall
be allowed to shareholders of such company under proce-
dures prescribed by the Secretary.
‘‘(h) CREDITS MAY BE STRIPPED.—Under regula-
tions prescribed by the Secretary—
‘‘(1) IN GENERAL.—There may be a separation
(including at issuance) of the ownership of a quali-
fied abandoned mine land area redevelopment bond
and the entitlement to the credit under this section
with respect to such bond. In case of any such sepa-
ration, the credit under this section shall be allowed
to the person who on the credit allowance date holds
the instrument evidencing the entitlement to the
credit and not to the holder of the bond.
‘‘(2) CERTAIN RULES TO APPLY.—In the case
of a separation described in paragraph (1), the rules
of section 1286 shall apply to the qualified aban-
doned mine land area redevelopment bond as if it
were a stripped bond and to the credit under this
section as if it were a stripped coupon.
‘‘(i) TREATMENT FOR ESTIMATED TAX PURPOSES.—
Solely for purposes of sections 6654 and 6655, the credit
allowed by this section to a taxpayer by reason of holding
a qualified abandoned mine land area redevelopment bond
on a credit allowance date shall be treated as if it were
a payment of estimated tax made by the taxpayer on such
date.
‘‘(j) CREDIT MAY BE TRANSFERRED.—Nothing in
any law or rule of law shall be construed to limit the trans-
ferability of the credit allowed by this section through sale
and repurchase agreements.
‘‘(k) REPORTING.—The issuer of qualified abandoned
mine land area redevelopment bonds shall submit reports
similar to the reports required under section 149(e).
‘‘(l) TERMINATION.—This section shall not apply to
any bond issued more than 10 years after the date that
the first qualified abandoned mine land area redevelop-
ment bond is issued.’’
(b) REPORTING.—Subsection (d) of section 6049 of
such Code (relating to returns regarding payments of in-
terest) is amended by adding at the end the following new
paragraph:
‘‘(8) REPORTING
OF
CREDIT
ON
QUALIFIED
ABANDONED
MINE
LAND
AREA
REDEVELOPMENT
BONDS.—
‘‘(A) IN GENERAL.—For purposes of sub-
section (a), the term ‘interest’ includes amounts
includible in gross income under section 30B(f)
and such amounts shall be treated as paid on
the credit allowance date (as defined in section
30B(e)(3)).
‘‘(B) 
REPORTING
TO
CORPORATIONS,
ETC.—Except as otherwise provided in regula-
tions, in the case of any interest described in
subparagraph (A) of this paragraph, subsection
(b)(4) of this section shall be applied without
regard to subparagraphs (A), (H), (I), (J), (K),
and (L)(i).
‘‘(C) REGULATORY AUTHORITY.—The Sec-
retary shall prescribe such regulations as are
necessary or appropriate to carry out the pur-
poses of this paragraph, including regulations
which require more frequent or more detailed
reporting.’’
(c) CONFORMING AMENDMENT.—The table of sec-
tions for subpart B of part IV of subchapter A of chapter
1 of such Code is amended by adding at the end the fol-
lowing new item:
‘‘Sec. 30B. Credit to holders of qualified abandoned mine land
area redevelopment bonds.’’
(d) DEADLINE FOR REGULATIONS.—The Secretary
of the Treasury shall prescribe the regulations required
by section 6049(d)(8) of the Internal Revenue Code of
1986 (as added by this section) not later than 120 days
after the date of the enactment of this Act.
(e) APPROVAL OF BONDS, ETC., BY ADMINISTRATOR
OF THE ENVIRONMENTAL PROTECTION AGENCY.—The
Administrator of the Environmental Protection Agency
shall act on any request for an approval required by sec-
tion 30B of the Internal Revenue Code of 1986 (as added
by this section) not later than 60 days after the date such
request is submitted to such Administrator.
(f) EFFECTIVE DATE.—The amendments made by
this section shall apply to obligations issued after Decem-
ber 31, 2001.
Æ