I 
115TH CONGRESS 
2D SESSION 
H. R. 5959 
To promote national security and jobs through the use of natural gas to 
fuel heavy-duty trucks and fleet vehicles. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 24, 2018 
Mr. MULLIN (for himself and Mr. LARSON of Connecticut) introduced the fol-
lowing bill; which was referred to the Committee on Ways and Means, 
and in addition to the Committees on Oversight and Government Reform, 
Energy and Commerce, and Science, Space, and Technology, for a period 
to be subsequently determined by the Speaker, in each case for consider-
ation of such provisions as fall within the jurisdiction of the committee 
concerned 
A BILL 
To promote national security and jobs through the use of 
natural gas to fuel heavy-duty trucks and fleet vehicles. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Natural Gas Parity Act’’. 
(b) TABLE OF CONTENTS.—The table of contents of 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Extension of alternative fuels credit. 
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Sec. 3. Partial exclusion from excise tax imposed on heavy trucks sold at retail 
for alternative fuel trucks. 
Sec. 4. Credit for new qualified natural gas motor vehicles. 
Sec. 5. Extension and increase of alternative fuel vehicle refueling property 
credit. 
Sec. 6. Liquefied natural gas equivalent for purposes of Inland Waterways 
Trust Fund financing rate. 
Sec. 7. Federal acquisition of alternative fueled vehicles. 
Sec. 8. Research, development, and demonstration of natural gas vehicles. 
Sec. 9. Clean Cities program deployment grants. 
Sec. 10. Diesel emissions reduction settlement amounts. 
Sec. 11. Sense of Congress on the Smartway Program. 
Sec. 12. Sense of Congress on infrastructure and public works projects. 
SEC. 2. EXTENSION OF ALTERNATIVE FUELS CREDIT. 
(a) IN GENERAL.—Section 6426(d)(5) of the Inter-
nal Revenue Code of 1986 is amended by striking ‘‘De-
cember 31, 2017’’ and inserting ‘‘December 31, 2022’’. 
(b) OUTLAY PAYMENT
OF ALTERNATIVE FUELS 
CREDIT.—Section 6427(e)(6)(C) of such Code is amended 
by striking ‘‘December 31, 2017’’ and inserting ‘‘Decem-
ber 31, 2022’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to fuels sold or used after Decem-
ber 31, 2017. 
SEC. 3. PARTIAL EXCLUSION FROM EXCISE TAX IMPOSED 
ON HEAVY TRUCKS SOLD AT RETAIL FOR AL-
TERNATIVE FUEL TRUCKS. 
(a) IN GENERAL.—Section 4051(a) of the Internal 
Revenue Code of 1986 is amended by redesignating para-
graph (5) as paragraph (6) and by inserting after para-
graph (4) the following new paragraph: 
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‘‘(5) PARTIAL
EXCLUSION
FOR
ALTERNATIVE 
FUEL TRUCKS.— 
‘‘(A) IN
GENERAL.—In the case of any 
automobile truck chassis, automobile truck 
body, or tractor subject to tax under paragraph 
(1) which is fueled wholly or partially by an al-
ternative fuel, the rate of tax shall be reduced 
by 35 percent. 
‘‘(B) ALTERNATIVE FUEL.—For purposes 
of subparagraph (A), the term ‘alternative fuel’ 
means compressed natural gas, liquefied natural 
gas, liquefied petroleum gas, renewable natural 
gas, hydrogen, and any liquid at least 85 per-
cent of the volume of which consists of meth-
anol.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall apply to sales after the date of the 
enactment of this Act. 
SEC. 4. CREDIT FOR NEW QUALIFIED NATURAL GAS MOTOR 
VEHICLES. 
(a) NATURAL GAS MOTOR VEHICLE CREDIT.—Sub-
part B of part IV of subchapter A of chapter 1 of the 
Internal Revenue Code of 1986 is amended by adding at 
the end the following new section: 
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‘‘SEC. 30E. NEW QUALIFIED NATURAL GAS MOTOR VEHI-
CLES. 
‘‘(a) ALLOWANCE OF CREDIT.—There shall be al-
lowed as a credit against the tax imposed by this chapter 
for the taxable year an amount equal to the credit amount 
determined under subsection (b) with respect to each new 
qualified natural gas motor vehicle placed in service by 
the taxpayer during the taxable year. 
‘‘(b) PER VEHICLE DOLLAR LIMITATION.— 
‘‘(1) IN
GENERAL.—The amount determined 
under this subsection with respect to any new quali-
fied natural gas motor vehicle is— 
‘‘(A) $7,500, in the case of a new qualified 
natural gas motor vehicle which has a gross ve-
hicle weight rating of less than 14,000 pounds, 
‘‘(B) $15,000, in the case of a new quali-
fied natural gas motor vehicle which has a gross 
vehicle weight rating of at least 14,000 pounds 
and not greater than 26,000 pounds, and 
‘‘(C) $25,000, in the case of a new quali-
fied natural gas motor vehicle which has a gross 
vehicle weight rating of more than 26,000 
pounds. 
‘‘(2) REDUCED
CREDIT
FOR
CERTAIN
PAR-
TIALLY FUELED NATURAL GAS VEHICLES.—In the 
case of any vehicle which— 
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‘‘(A) is not fueled wholly by specified nat-
ural gas, and 
‘‘(B) is not equipped with a dual-fuel com-
pression engine that is engineered and designed 
to only operate on 90 percent or more specified 
natural gas, 
paragraph (1) shall be applied by substituting for 
the dollar amount which is otherwise applicable for 
such vehicle an amount equal to 50 percent of such 
otherwise applicable amount. 
‘‘(c) APPLICATION WITH OTHER CREDITS.— 
‘‘(1) BUSINESS CREDIT TREATED AS PART OF 
GENERAL BUSINESS CREDIT.—So much of the credit 
which would be allowed under subsection (a) for any 
taxable year (determined without regard to this sub-
section) that is attributable to property of a char-
acter subject to an allowance for depreciation shall 
be treated as a credit listed in section 38(b) for such 
taxable year (and not allowed under subsection (a)). 
‘‘(2) PERSONAL CREDIT.—For purposes of this 
title, the credit allowed under subsection (a) for any 
taxable year (determined after application of para-
graph (1)) shall be treated as a credit allowable 
under subpart A for such taxable year. 
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‘‘(d) NEW QUALIFIED NATURAL GAS MOTOR VEHI-
CLE.—For purposes of this section— 
‘‘(1) IN
GENERAL.—The term ‘new qualified 
natural gas motor vehicle’ means a motor vehicle— 
‘‘(A) the original use of which commences 
with the taxpayer, 
‘‘(B) which is acquired for use or lease by 
the taxpayer and not for resale, 
‘‘(C) which is made by a manufacturer, 
‘‘(D) which is treated as a motor vehicle 
for purposes of title II of the Clean Air Act, 
‘‘(E) which is fueled wholly or partially by 
specified natural gas, and 
‘‘(F) in the case of a motor vehicle which 
is not fueled wholly by specified natural gas, 
has a driving range on specified natural gas 
of— 
‘‘(i) in the case of a motor vehicle 
which has a gross vehicle weight rating of 
less than 8,500 pounds, at least 150 miles, 
and 
‘‘(ii) in any other case, at least 200 
miles. 
‘‘(2) APPLICATION
TO
AFTER-MARKET
CON-
VERTED VEHICLES.—The requirement of paragraph 
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(1)(A) shall be treated as satisfied with respect to 
a motor vehicle if— 
‘‘(A) such vehicle was originally manufac-
tured and certified to operate on gasoline or 
diesel fuel, 
‘‘(B) such vehicle has been modified to 
have the capability to operate on specified nat-
ural gas, and 
‘‘(C) the original use of such vehicle after 
such modification commences with the taxpayer. 
‘‘(3) MOTOR VEHICLE; MANUFACTURER.—The 
terms ‘motor vehicle’ and ‘manufacturer’ have the 
meaning given such terms under paragraphs (2) and 
(3) of section 30D(d), respectively. 
‘‘(4) SPECIFIED
NATURAL
GAS.—The term 
‘specified natural gas’ means compressed natural 
gas, liquefied natural gas, and renewable natural 
gas. 
‘‘(e) LIMITATION ON NUMBER OF NEW QUALIFIED 
NATURAL GAS MOTOR VEHICLES ELIGIBLE FOR CRED-
IT.— 
‘‘(1) IN GENERAL.—In the case of a new quali-
fied natural gas motor vehicle sold during the phase-
out period with respect to such vehicle, only the ap-
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plicable percentage of the credit otherwise allowable 
under subsection (a) shall be allowed. 
‘‘(2) PHASEOUT PERIOD.—For purposes of this 
subsection, the phaseout period is— 
‘‘(A) in the case of a new qualified natural 
gas motor vehicle described in subsection 
(b)(1)(A), the period beginning with the second 
calendar quarter following the calendar quarter 
which includes the first date on which the num-
ber of new qualified natural gas motor vehicles 
described in subsection (b)(1)(A), manufactured 
by the manufacturer of such vehicle, and sold 
for use in the United States after December 31, 
2018, is at least 200,000, and 
‘‘(B) in the case of a new qualified natural 
gas motor vehicle described in subparagraph 
(B) or (C) of subsection (b)(1), the period be-
ginning with the second calendar quarter fol-
lowing the calendar quarter which includes the 
first date on which the combined number of 
new qualified natural gas motor vehicles de-
scribed in subparagraph (B) or (C) of sub-
section (b)(1), manufactured by the manufac-
turer of such vehicle, and sold for use in the 
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United States after December 31, 2018, is at 
least 100,000. 
‘‘(3) APPLICABLE PERCENTAGE.—For purposes 
of paragraph (1), the applicable percentage is— 
‘‘(A) 50 percent for the first 2 calendar 
quarters of the phaseout period, 
‘‘(B) 25 percent for the 3d and 4th cal-
endar quarters of the phaseout period, and 
‘‘(C) 0 percent for each calendar quarter 
thereafter. 
‘‘(4) CONTROLLED GROUPS.—Rules similar to 
the rules of section 30B(f)(4) shall apply for pur-
poses of this subsection. 
‘‘(f) APPLICATION OF CERTAIN RULES.—Rules simi-
lar to the rules of section 30D(f) shall apply for purposes 
of this section.’’. 
(b) CREDIT MADE PART OF GENERAL BUSINESS 
CREDIT.—Section 38(b) of such Code is amended by strik-
ing ‘‘plus’’ at the end of paragraph (31), by striking the 
period at the end of paragraph (32) and inserting ‘‘plus’’, 
and by adding at the end the following new paragraph: 
‘‘(33) the portion of the new qualified natural 
gas motor vehicle credit to which section 30E(c)(1) 
applies.’’. 
(c) CONFORMING AMENDMENTS.— 
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(1) Section 1016(a) of such Code is amended 
by striking ‘‘and’’ at the end of paragraph (37), by 
striking the period at the end of paragraph (38) and 
inserting ‘‘, and’’, and by adding at the end the fol-
lowing new paragraph: 
‘‘(39) to the extent provided in section 
30E(f).’’. 
(2) Section 6501(m) of such Code is amended 
by inserting ‘‘30E(f),’’ after ‘‘30D(e)(4),’’. 
(3) The table of sections for subpart B of part 
IV of subchapter A of chapter 1 of such Code is 
amended by adding at the end the following new 
item: 
‘‘Sec. 30E. New qualified natural gas motor vehicles.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2017. 
SEC. 5. EXTENSION AND INCREASE OF ALTERNATIVE FUEL 
VEHICLE REFUELING PROPERTY CREDIT. 
(a) EXTENSION OF CREDIT.—Section 30C(g) of the 
Internal Revenue Code of 1986 is amended by striking 
‘‘December 31, 2017’’ and inserting ‘‘December 31, 
2022’’. 
(b) MODIFICATION OF DOLLAR LIMITATION.—Sec-
tion 30C(b)(1) of such Code is amended by striking 
‘‘$30,000’’ and inserting ‘‘$100,000’’. 
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