I 
109TH CONGRESS 
2D SESSION 
H. R. 6317 
To amend the Internal Revenue Code of 1986 to impose an excise tax 
on any tax-exempt organization which accepts any contribution which 
may be used to relocate property held by the organization if the reloca-
tion is contrary to the intent of the donor of the property. 
IN THE HOUSE OF REPRESENTATIVES 
NOVEMBER 13, 2006 
Mr. GERLACH introduced the following bill; which was referred to the 
Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to impose 
an excise tax on any tax-exempt organization which ac-
cepts any contribution which may be used to relocate 
property held by the organization if the relocation is 
contrary to the intent of the donor of the property. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
VerDate Aug 31 2005 
03:16 Nov 14, 2006
Jkt 049200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H6317.IH
H6317
jcorcoran on PRODPC62 with BILLS
SECTION 1. EXCISE TAX PENALTY ON TAX-EXEMPT ORGANI-
ZATIONS 
ACCEPTING 
CONTRIBUTIONS 
WHICH MAY BE USED TO RELOCATE PROP-
ERTY HELD BY THE ORGANIZATION IF THE 
RELOCATION IS CONTRARY TO THE INTENT 
OF THE DONOR OF THE PROPERTY. 
(a) IN GENERAL.—Chapter 41 of the Internal Rev-
enue Code of 1986 (relating to public charities) is amend-
ed by adding at the end the following new section: 
‘‘SEC. 4913. TAX ON ORGANIZATIONS ACCEPTING CON-
TRIBUTIONS WHICH MAY BE USED TO RELO-
CATE PROPERTY HELD BY THE ORGANIZA-
TION IF THE RELOCATION IS CONTRARY TO 
THE INTENT OF THE DONOR OF THE PROP-
ERTY. 
‘‘(a) TAX IMPOSED.— 
‘‘(1) IN GENERAL.—There is hereby imposed on 
the disqualified contributions of any organization to 
which this section applies a tax equal to 100 percent 
of the amount of such contributions. The tax im-
posed by this section shall be paid by the organiza-
tion. 
‘‘(2) ORGANIZATIONS TO WHICH SECTION AP-
PLIES.—This section shall apply to any organization 
described in section 501(c)(3) and exempt from tax 
VerDate Aug 31 2005 
03:16 Nov 14, 2006
Jkt 049200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H6317.IH
H6317
jcorcoran on PRODPC62 with BILLS
under section 501(a) if such organization holds 
property— 
‘‘(A) which was donated to such organiza-
tion (or any other organization so described), 
and 
‘‘(B) with respect to which there is written 
evidence of the donor’s intent that the property 
not be relocated from the site identified by the 
donor. 
‘‘(b) DISQUALIFIED CONTRIBUTION.—For purposes 
of this section, the term ‘disqualified contribution’ means 
any contribution received by an organization unless the 
contribution is permanently set aside to carry out— 
‘‘(1) the exempt purposes of the organization 
with respect to property referred to in subsection 
(a)(2) at the location intended by the donor of the 
property, or 
‘‘(2) other exempt purposes of the organization 
which are unrelated to such property. 
‘‘(c) EXCEPTION.—The tax imposed by subsection (a) 
shall not apply to any contribution if, before the contribu-
tion is received, there is a determination by a court of 
competent jurisdiction that the relocation of such property 
is the only reasonable, appropriate, and economically via-
ble alternative to preserve and protect the property.’’. 
VerDate Aug 31 2005 
03:16 Nov 14, 2006
Jkt 049200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H6317.IH
H6317
jcorcoran on PRODPC62 with BILLS