I 
110TH CONGRESS 
1ST SESSION H. R. 1422 
To amend the Internal Revenue Code to provide a tax credit to individuals 
who enter into agreements to protect the habitats of endangered and 
threatened species, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 8, 2007 
Mr. THOMPSON of California (for himself, Mr. YOUNG of Alaska, Mr. KIND, 
and Mr. RAMSTAD) introduced the following bill; which was referred to 
the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code to provide a tax credit 
to individuals who enter into agreements to protect the 
habitats of endangered and threatened species, and for 
other purposes. 
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 ‘‘Endangered Species 
Recovery Act of 2007’’. 
SEC. 2. ENDANGERED SPECIES RECOVERY CREDIT. 
(a) IN GENERAL.—Subpart B of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
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1986 is amended by adding at the end the following new 
section: 
‘‘SEC. 30D. ENDANGERED SPECIES RECOVERY CREDIT. 
‘‘(a) IN GENERAL.—In the case of an eligible tax-
payer, there shall be allowed as a credit against the tax 
imposed by this chapter for the taxable year an amount 
equal to the sum of— 
‘‘(1) the habitat protection easement credit, 
plus 
‘‘(2) the habitat restoration credit. 
‘‘(b) LIMITATION.— 
‘‘(1) IN GENERAL.—The credit allowed under 
subsection (a) for any eligible taxpayer for any tax-
able year shall not exceed the endangered species re-
covery credit limitation allocated to the eligible tax-
payer under subsection (f) for the calendar year in 
which the taxpayer’s taxable year ends. 
‘‘(2) CARRYFORWARDS.— 
‘‘(A) IN GENERAL.—If the amount of the 
credit allowable under subsection (a) for any 
taxpayer for any taxable year exceeds the en-
dangered species recovery credit limitation allo-
cated under subsection (f) to such taxpayer for 
the calendar year in which the taxpayer’s tax-
able year ends, such excess may be carried for-
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ward to the next taxable year for which such 
taxpayer is allocated a portion of the endan-
gered species recovery credit limitation. 
‘‘(B) CARRYFORWARD
OF
ALLOCATION 
AMOUNT.—If the amount of the endangered 
species recovery credit limitation allocated to an 
eligible taxpayer for any calendar year under 
subsection (f) exceeds the amount of the credit 
allowed to the taxpayer under subsection (a) for 
the taxable year ending in such calendar year, 
such excess may be carried forward to the next 
taxable year of the taxpayer. For purposes of 
this paragraph, any amount carried to another 
taxable year under this subparagraph shall be 
treated as allocated to the taxpayer for use in 
such taxable year under subsection (f). 
‘‘(c) ELIGIBLE TAXPAYER.—For purposes of this sec-
tion— 
‘‘(1) IN GENERAL.—The term ‘eligible taxpayer’ 
means— 
‘‘(A) a taxpayer who— 
‘‘(i) owns real property which contains 
the habitat of a qualified species, and 
‘‘(ii) enters into a qualified perpetual 
habitat protection agreement, a qualified 
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30-year habitat protection agreement, or a 
qualified habitat protection agreement with 
the appropriate Secretary with respect to 
such real property, and 
‘‘(B) any other taxpayer who— 
‘‘(i) is a party to a qualified perpetual 
habitat protection agreement, a qualified 
30-year habitat protection agreement, or a 
qualified habitat protection agreement, and 
‘‘(ii) as part of any such agreement, 
agrees to assume responsibility for costs 
paid or incurred as a result of imple-
menting such agreement. 
‘‘(2) QUALIFIED PERPETUAL HABITAT PROTEC-
TION
AGREEMENT.—The term ‘qualified perpetual 
habitat protection agreement’ means an agree-
ment— 
‘‘(A) under which the taxpayer grants to 
the appropriate Secretary, the Secretary of Ag-
riculture, the Secretary of Defense, or a State 
an easement in perpetuity for the protection of 
the habitat of a qualified species, and 
‘‘(B) which meets the requirements of 
paragraph (5). 
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‘‘(3) QUALIFIED 30-YEAR HABITAT PROTECTION 
AGREEMENT.—The term ‘qualified 30-year habitat 
protection agreement’ means an agreement— 
‘‘(A) under which the taxpayer grants to 
the appropriate Secretary, the Secretary of Ag-
riculture, the Secretary of Defense, or a State 
an easement for a period of not less than 30 
years and less than perpetuity for the protec-
tion of the habitat of a qualified species, and 
‘‘(B) which meets the requirements of 
paragraph (5). 
‘‘(4) QUALIFIED HABITAT PROTECTION AGREE-
MENT.—The term ‘qualified habitat protection 
agreement’ means an agreement— 
‘‘(A) under which the taxpayer enters into 
an agreement with the appropriate Secretary, 
the Secretary of Agriculture, the Secretary of 
Defense, or a State to protect the habitat of a 
qualified species for a specified period of time, 
and 
‘‘(B) which meets the requirements of 
paragraph (5). 
‘‘(5) REQUIREMENTS.—An agreement meets 
the requirements of this paragraph if— 
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‘‘(A) the agreement is consistent with any 
recovery plan which is applicable and which has 
been approved for a qualified species under sec-
tion 4 of the Endangered Species Act of 1973, 
‘‘(B) the appropriate Secretary and the eli-
gible taxpayer enter into a habitat management 
plan designed to— 
‘‘(i) restore or enhance the habitat of 
a qualified species, or 
‘‘(ii) reduce threats to a qualified spe-
cies through the management of the habi-
tat, and 
‘‘(C) the appropriate Secretary ensures 
that the eligible taxpayer is provided with tech-
nical assistance in carrying out the duties of the 
taxpayer under the terms of the agreement. 
‘‘(d) HABITAT PROTECTION EASEMENT CREDIT.— 
‘‘(1) IN GENERAL.—For purposes of subsection 
(a)(1), the habitat protection easement credit for 
any taxable year is an amount equal to— 
‘‘(A) in the case of an eligible taxpayer 
who has entered into a qualified perpetual habi-
tat protection agreement during such taxable 
year, 100 percent of the excess (if any) of— 
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