I 
110TH CONGRESS 
1ST SESSION H. R. 1888 
To amend the Internal Revenue Code of 1986 to provide a shorter recovery 
period for the depreciation of certain systems installed in nonresidential 
buildings. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 17, 2007 
Mr. HOEKSTRA (for himself, Mr. BAIRD, Mr. WALSH of New York, Mr. 
FRANKS of Arizona, Mr. AKIN, Ms. JACKSON-LEE of Texas, Mr. 
GRIJALVA, Mr. KNOLLENBERG, Mr. CLAY, Mr. MOORE of Kansas, Mr. 
CHABOT, Mr. ROGERS of Michigan, Mr. EHLERS, Mr. GARY G. MILLER 
of California, Mr. MCHUGH, Mr. UPTON, Mr. SOUDER, Mr. GILLMOR, 
Mr. MCCOTTER, Mr. DAVIS of Kentucky, Mr. GERLACH, Mr. DOYLE, Mr. 
KELLER of Florida, Mr. CALVERT, Mrs. MUSGRAVE, Mr. PLATTS, Mr. 
ENGLISH of Pennsylvania, Mr. GONZALEZ, and Mr. LARSON of Con-
necticut) introduced the following bill; which was referred to the Com-
mittee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to provide 
a shorter recovery period for the depreciation of certain 
systems installed in nonresidential buildings. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Cool and Efficient 
Buildings Act’’. 
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SEC. 2. RECOVERY PERIOD FOR DEPRECIATION OF CER-
TAIN SYSTEMS INSTALLED IN NONRESIDEN-
TIAL BUILDINGS. 
(a) 20-YEAR
RECOVERY
PERIOD.—Subparagraph 
(F) of section 168(e)(3) of the Internal Revenue Code of 
1986 (relating to 20-year property) is amended to read 
as follows: 
‘‘(F) 20-YEAR PROPERTY.—The term ‘20- 
year property’ means— 
‘‘(i) initial clearing and grading land 
improvements with respect to any electric 
utility transmission and distribution plant, 
and 
‘‘(ii) any property— 
‘‘(I) which is part of a heating, 
ventilation, air conditioning, or com-
mercial refrigeration system, 
‘‘(II) which is installed on or in 
a building which is nonresidential real 
property, and 
‘‘(III) the original use of which 
commences with the taxpayer.’’. 
(b) REQUIREMENT TO USE STRAIGHT LINE METH-
OD.—Paragraph (3) of section 168(b) of such Code (relat-
ing to property to which straight line method applies) is 
amended by redesignating subparagraphs (F), (G), and 
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(H) as subparagraphs (G), (H), and (I), respectively, and 
by inserting after subparagraph (E) the following new 
subparagraph: 
‘‘(F) Property described in subsection 
(e)(3)(F)(ii).’’. 
(c) ALTERNATIVE SYSTEM.—The table contained in 
section 168(g)(3)(B) of such Code is amended by striking 
the item relating to subparagraph (F) and inserting the 
following new items: 
‘‘(F)(i) .............................................................................................
(F)(ii) ..............................................................................................
25’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2006. 
Æ 
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