I 
108TH CONGRESS 
1ST SESSION H. R. 1331
To amend the Internal Revenue Code of 1986 to extend and modify the 
credit for producing fuel from a nonconventional source. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 18, 2003
Mr. MOORE (for himself, Mr. BURR, Mrs. CAPITO, Mr. TURNER of Texas, Mr. 
STENHOLM, Mr. SANDLIN, and Ms. MCCARTHY of Missouri) 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 extend 
and modify the credit for producing fuel from a non-
conventional source.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. EXTENSION AND MODIFICATION OF CREDIT 
FOR PRODUCING FUEL FROM A NONCONVEN-
TIONAL SOURCE. 
(a) IN GENERAL.—Section 29 of the Internal Rev-
enue Code of 1986 is amended by adding at the end the 
following new subsection: 
‘‘(h) EXTENSION FOR OTHER FACILITIES.—
‘‘(1) EXTENSION FOR OIL AND CERTAIN GAS.—
In the case of a well for producing qualified fuels de-
scribed in subparagraph (A) or (B)(i) of subsection 
(c)(1)—
‘‘(A) APPLICATION OF CREDIT FOR NEW 
WELLS.—Notwithstanding subsection (f), this 
section shall apply with respect to such fuels—
‘‘(i) which are produced from a well 
drilled after the date of the enactment of 
this subsection and before January 1, 
2007, and 
‘‘(ii) which are sold not later than the 
close of the 4-year period beginning on the 
date that such well is drilled, or, if earlier, 
January 1, 2010. 
‘‘(B) EXTENSION
OF
CREDIT
FOR
OLD 
WELLS.—Subsection (f)(2) shall be applied by 
substituting ‘2007’ for ‘2003’ with respect to 
wells described in subsection (f)(1)(A) with re-
spect to such fuels. 
‘‘(2) EXTENSION FOR FACILITIES PRODUCING 
QUALIFIED FUEL FROM LANDFILL GAS.—
‘‘(A) IN GENERAL.—In the case of a facil-
ity for producing qualified fuel from landfill gas 
which was placed in service after June 30,
1998, and before January 1, 2007, this section 
shall apply to fuel produced at such facility dur-
ing the 5-year period beginning on the later 
of—
‘‘(i) the date such facility was placed 
in service, or 
‘‘(ii) the date of the enactment of this 
subsection. 
‘‘(B) REDUCTION OF CREDIT FOR CERTAIN 
LANDFILL FACILITIES.—In the case of a facility 
to which paragraph (1) applies and which is 
subject to the 1996 New Source Performance 
Standards/Emmissions Guidelines of the Envi-
ronmental Protection Agency, subsection (a)(1) 
shall be applied by substituting ‘$2’ for ‘$3’. 
‘‘(3) SPECIAL
RULES.—In determining the 
amount of credit allowable under this section solely 
by reason of this subsection—
‘‘(A) DAILY LIMIT.—The amount of quali-
fied fuels sold during any taxable year which 
may be taken into account by reason of this 
subsection with respect to any project shall not 
exceed an average barrel-of-oil equivalent of 
200,000 cubic feet of natural gas per day. Days 
before the date the project is placed in service
shall not be taken into account in determining 
such average. 
‘‘(B) EXTENSION PERIOD TO COMMENCE 
WITH UNADJUSTED CREDIT AMOUNT.—In the 
case of fuels sold during 2001 and 2002, the 
dollar amount applicable under subsection 
(a)(1) shall be $3 (without regard to subsection 
(b)(2)). In the case of fuels sold after 2002, 
subparagraph (B) of subsection (d)(2) shall be 
applied by substituting ‘2002’ for ‘1979’.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to fuel sold after the date of the 
enactment of this Act.
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