I 
111TH CONGRESS 
1ST SESSION H. R. 3947 
To accelerate locomotive fuel savings nationwide and provide incentives for 
owners of high polluting locomotives to replace such locomotives with 
newly built or newly remanufactured fuel efficient and less polluting 
locomotives. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 28, 2009 
Mrs. DAHLKEMPER (for herself, Mr. CUMMINGS, Mr. BRADY of Pennsylvania, 
Mr. RYAN of Ohio, Mr. MURTHA, Mr. SIRES, Mr. REHBERG, Mr. 
CONNOLLY
of Virginia, Mr. ALTMIRE, Mr. MANZULLO, and Mr. 
BLUMENAUER) introduced the following bill; which was referred to the 
Committee on Ways and Means 
A BILL 
To accelerate locomotive fuel savings nationwide and provide 
incentives for owners of high polluting locomotives to 
replace such locomotives with newly built or newly re-
manufactured fuel efficient and less polluting loco-
motives. 
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 ‘‘Locomotive Fleet In-
vestment Act of 2009’’. 
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SEC. 2. CREDIT FOR LOCOMOTIVE PROPERTY. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 (relating to business-related credits) is amended by 
adding at the end the following new section: 
‘‘SEC. 45R. LOCOMOTIVE PROPERTY CREDIT. 
‘‘(a) GENERAL RULE.—For purposes of section 38, 
the locomotive property credit determined under this sec-
tion for the taxable year is an amount equal to 30 percent 
of the cost of the qualified locomotive property placed in 
service by the taxpayer during the taxable year. 
‘‘(b) QUALIFIED LOCOMOTIVE PROPERTY.—For pur-
poses of this section, the term ‘qualified locomotive prop-
erty’ means a newly built or newly remanufactured diesel 
line-haul, passenger, or switch locomotive (whether or not 
owned by a railroad)— 
‘‘(1) which is acquired by the taxpayer after 
December 31, 2009, 
‘‘(2) the original use of which commences with 
the taxpayer, and 
‘‘(3) meets the applicable standards under title 
II of the Clean Air Act (42 U.S.C. 7401 et seq.) for 
emissions from locomotives or locomotive engines, as 
in effect on December 31, 2009. 
‘‘(c) SPECIAL RULES.— 
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‘‘(1) COORDINATION WITH OTHER CREDITS.— 
The cost of any property taken into account in de-
termining the credit under subsection (a) may not be 
taken into account in determining a credit under any 
other provision of this title. 
‘‘(2) BASIS
ADJUSTMENT.—If a credit is al-
lowed under this section with respect to any quali-
fied locomotive property, the basis of such property 
shall be reduced by the amount of the credit so al-
lowed. 
‘‘(3) RECAPTURE.—The benefit of any credit 
allowable under subsection (a) shall, under regula-
tions prescribed by the Secretary, be recaptured with 
respect to any qualified locomotive property that is 
sold or otherwise disposed of by the taxpayer during 
the 5-year period beginning on the date on which 
such property is originally placed in service. The 
preceding sentence shall not apply to locomotive 
property that is sold by and subsequently leased 
back to the taxpayer. 
‘‘(d) TERMINATION.—This section shall not apply to 
any property placed in service after December 31, 2013.’’. 
(b) CREDIT ALLOWED AS BUSINESS CREDIT.—Sec-
tion 38(b) of such Code is amended by striking ‘‘plus’’ 
at the end of paragraph (34), by striking the period at 
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the end of paragraph (35) and inserting ‘‘, plus’’, and by 
adding at the end the following new paragraph: 
‘‘(36) the locomotive property credit determined 
under section 45R(a).’’. 
(c) COORDINATION
WITH
SECTION
55.—Section 
38(c)(4)(B) of such Code is amended by redesignating 
clauses (vi), (vii), and (viii) as clauses (vii), (viii), and (ix), 
respectively, and by inserting after clause (v) the following 
new clause: 
‘‘(vi) for taxable years ending after 
the effective date of this clause, the credit 
determined under section 45R(a).’’. 
(d) CONFORMING AMENDMENT.—Subsection (a) of 
section 1016 of such Code is amended by striking ‘‘and’’ 
at the end of paragraph (36), by striking the period at 
the end of paragraph (37) and inserting ‘‘, and’’, and by 
adding at the end the following new paragraph: 
‘‘(38) to the extent provided in section 
45R(c)(2).’’. 
(e) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
of such Code is amended by inserting after the item relat-
ing to section 45Q the following new item: 
‘‘Sec. 45R. Locomotive property credit.’’. 
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(f) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2009. 
Æ 
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