I 
111TH CONGRESS 
1ST SESSION H. R. 4226 
To amend the Internal Revenue Code of 1986 to improve and extend certain 
energy-related tax provisions, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 8, 2009 
Mr. REICHERT (for himself, Mr. KIND, Mr. DAVIS of Kentucky, Mr. 
BLUMENAUER, Mr. LEE of New York, and Mr. PERRIELLO) 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 improve 
and extend certain energy-related tax provisions, 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; AMENDMENT OF 1986 CODE; 
TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Expanding Building Efficiency Incentives Act of 2009’’. 
(b) AMENDMENT OF 1986 CODE.—Except as other-
wise expressly provided, whenever in this Act an amend-
ment or repeal is expressed in terms of an amendment 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
to, or repeal of, a section or other provision, the reference 
shall be considered to be made to a section or other provi-
sion of the Internal Revenue Code of 1986. 
(c) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; amendment of 1986 Code; table of contents. 
Sec. 2. Increase in, and extension of, new energy efficient home credit. 
Sec. 3. Modification of deduction for energy efficient commercial buildings. 
Sec. 4. Nonbusiness energy property. 
Sec. 5. Energy ratings of non-business property. 
Sec. 6. Credit for home performance auditor certifications. 
SEC. 2. INCREASE IN, AND EXTENSION OF, NEW ENERGY 
EFFICIENT HOME CREDIT. 
(a) NEW TIER; CREDIT AMOUNT FOR NEW TIER.— 
(1) NEW TIER.—Subsection (c) of section 45L 
is amended to read as follows: 
‘‘(c) ENERGY SAVINGS REQUIREMENTS.— 
‘‘(1) IN GENERAL.—A dwelling unit meets the 
energy saving requirements of this subsection if such 
unit is— 
‘‘(A) described in paragraph (2), 
‘‘(B) described in paragraph (3), 
‘‘(C) a manufactured home described in 
paragraph (4), or 
‘‘(D) a manufactured home described in 
paragraph (5). 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
‘‘(2) DWELLING
UNIT
DESCRIBED
IN
PARA-
GRAPH
(2).—A dwelling unit is described in this 
paragraph if such unit is certified— 
‘‘(A) to have a level of annual heating and 
cooling energy consumption which is at least 50 
percent below the annual level of heating and 
cooling energy consumption of a comparable 
dwelling unit— 
‘‘(i) which is constructed in accord-
ance with the standards of chapter 4 of the 
2003 International Energy Conservation 
Code, as such Code (including supple-
ments) is in effect on the date of the en-
actment of the Energy Tax Incentives Act 
of 2005, and 
‘‘(ii) for which the heating and cooling 
equipment efficiencies correspond to the 
minimum allowed under the regulations es-
tablished by the Department of Energy 
pursuant to the National Appliance Energy 
Conservation Act of 1987 and in effect at 
the time of completion of construction, and 
‘‘(B) to have building envelope component 
improvements account for at least 1⁄5 of such 
50 percent. 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
The Secretary, in consultation with the Secretary of 
Energy shall provide by regulation for the applica-
tion of this paragraph in the case of a dwelling unit 
in a multifamily building that is more than 3 stories 
above grade, or in any other building that is not 
within the scope of such chapter 4. If, upon the ac-
quisition of such unit by any person described in 
subsection (a)(1)(A)(ii)(I), the amount of the credit 
allowed under this section with respect to such unit 
shall be disclosed to such person. 
‘‘(3) DWELLING
UNIT
DESCRIBED
IN
PARA-
GRAPH
(3).—A dwelling unit is described in this 
paragraph if such unit is certified— 
‘‘(A) to have a level of annual total energy 
consumption (including heating, cooling, water 
heating, lighting, and appliance energy use) 
which is at least 50 percent below the annual 
level of total energy consumption of a com-
parable dwelling unit which is constructed in 
accordance with the 2004 Supplement of the 
2003 International Energy Conservation Code, 
and 
‘‘(B) to have building envelope component 
improvements account for at least 1⁄5 of such 
50 percent. 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
‘‘(4) MANUFACTURED
HOME
DESCRIBED
IN 
PARAGRAPH (4).—A manufactured home is described 
in this paragraph if such manufactured home con-
forms to Federal Manufactured Home Construction 
and Safety Standards (part 3280 of title 24, Code 
of Federal Regulations) and meets the requirements 
of a dwelling unit described in paragraph (2). 
‘‘(5) MANUFACTURED
HOME
DESCRIBED
IN 
PARAGRAPH (5).—A manufactured home is described 
in this paragraph if such manufactured home con-
forms to Federal Manufactured Home Construction 
and Safety Standards (part 3280 of title 24, Code 
of Federal Regulations) and— 
‘‘(A) meets the requirements of— 
‘‘(i) a dwelling unit described in para-
graph (2), applied by substituting ‘30 per-
cent’ for ‘50 percent’ both places it ap-
pears therein and by substituting ‘1⁄3’ for 
‘1⁄5’ in subparagraph (B) thereof, or 
‘‘(ii) a dwelling unit described in para-
graph (3), 
‘‘(B) meets the requirements established 
by the Administrator of the Environmental Pro-
tection Agency under the Energy Star Labeled 
Homes program as in effect on the date of the 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
enactment of the Expanding Building Effi-
ciency Incentives Act of 2009, or 
‘‘(C) meets the requirements under the 
Energy Star Labeled Homes program estab-
lished after the date of the enactment of the 
Expanding Building Efficiency Incentives Act 
of 2009.’’. 
(2) CREDIT AMOUNT FOR NEW TIER.—Para-
graph (2) of section 45L(a) is amended to read as 
follows: 
‘‘(2) APPLICABLE AMOUNT.—For purposes of 
paragraph (1), the applicable amount is an amount 
equal to— 
‘‘(A) in the case of a dwelling unit de-
scribed in paragraph (2) or (4) of subsection 
(c), $2,000, 
‘‘(B) in the case of a dwelling unit de-
scribed in paragraph (3) of subsection (c), 
$5,000, 
‘‘(C) in the case of a manufactured home 
described in paragraph (5)(A)(i) or (5)(B) of 
subsection (c), $1,500, and 
‘‘(D) in the case of a manufactured home 
described in paragraph (5)(A)(ii) or (5)(C) of 
subsection (c), $2,500. 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
(c) CERTIFICATION METHOD FOR HIGH RISE MUL-
TIFAMILY
AND
MIXED
USE
BUILDINGS.—Section 
45L(d)(1) is amended by inserting ‘‘, and in the case of 
high rise multifamily and mixed use buildings, after exam-
ining the methods required for such buildings under sec-
tion 179D’’ after ‘‘the Secretary of Energy’’. 
(d) CREDIT ALLOWED AGAINST ALTERNATIVE MIN-
IMUM TAX.—Subparagraph (B) of section 38(c)(4) is 
amended— 
(1) by redesignating clauses (vi), (vii), and (viii) 
as clauses (vii), (viii), and (ix), respectively, and 
(2) by inserting after clause (v) the following 
new clause: 
‘‘(vi) the credit determined under sec-
tion 45L,’’. 
(e) EXTENSION.—Subsection (g) of section 45L is 
amended by striking ‘‘December 31, 2009’’ and inserting 
‘‘December 31, 2015’’. 
(f) EFFECTIVE DATES.— 
(1) IN GENERAL.—The amendments made by 
this section shall apply to homes constructed and ac-
quired or placed in service after December 31, 2008. 
(2) AMT.—The amendments made by sub-
section (d) shall apply to credits determined under 
section 45L of the Internal Revenue Code of 1986 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
in taxable years beginning after December 31, 2008, 
and to carrybacks of such credits. 
SEC. 3. MODIFICATION OF DEDUCTION FOR ENERGY EFFI-
CIENT COMMERCIAL BUILDINGS. 
(a) INCREASE IN MAXIMUM AMOUNT OF DEDUC-
TION.— 
(1) IN GENERAL.—Subparagraph (A) of section 
179D(b)(1) is amended by striking ‘‘$1.80’’ and in-
serting ‘‘$3.00’’. 
(2) PARTIAL ALLOWANCE.—Paragraph (1) of 
section 179D(d) is amended to read as follows: 
‘‘(1) PARTIAL ALLOWANCE.— 
‘‘(A) IN GENERAL.—Except as provided in 
subsection (f), if— 
‘‘(i) the requirement of subsection 
(c)(1)(D) is not met, but 
‘‘(ii) there is a certification in accord-
ance with paragraph (6) that— 
‘‘(I) any system referred to in 
subsection (c)(1)(C) satisfies the en-
ergy-savings targets established by the 
Secretary under subparagraph (B) 
with respect to such system, or 
‘‘(II) the systems referred to in 
subsection (c)(1)(C)(ii) and subsection 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
(c)(1)(C)(iii) together satisfy the en-
ergy-savings targets established by the 
Secretary under subparagraph (B) 
with respect to such systems, 
then the requirement of subsection (c)(1)(D) 
shall be treated as met with respect to such sys-
tem or systems, and the deduction under sub-
section (a) shall be allowed with respect to en-
ergy efficient commercial building property in-
stalled as part of such system and as part of 
a plan to meet such targets, except that sub-
section (b) shall be applied to such property de-
scribed in clause (ii)(I) by substituting ‘$1.00’ 
for ‘$3.00’ and to such property described in 
clause (ii)(II) by substituting ‘$2.20’ for 
‘$3.00’. 
‘‘(B) REGULATIONS.— 
‘‘(i) IN
GENERAL.—The Secretary, 
after consultation with the Secretary of 
Energy, shall establish a target for each 
system described in subsection (c)(1)(C) 
which, if such targets were met for all such 
systems, the building would meet the re-
quirements of subsection (c)(1)(D). 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
‘‘(ii) COMBINED SYSTEMS.—The Sec-
retary, after consultation with the Sec-
retary of Energy, shall establish not later 
than 6 months after the date of the enact-
ment of the Expanding Building Efficiency 
Incentives Act of 2009 a prescriptive par-
tial compliance pathway for combined en-
velope and mechanical system performance 
that details the appropriate components, 
efficiency levels, or other relevant informa-
tion for which the required level of com-
bined savings in both categories can be 
deemed to have been achieved.’’. 
(b) DENIAL OF DOUBLE BENEFIT.—Section 179D is 
amended by redesignating subsections (g) and (h) as sub-
sections (h) and (i), respectively, and by inserting after 
subsection (f) the following new subsection: 
‘‘(g) COORDINATION WITH NEW ENERGY EFFICIENT 
HOME CREDIT.—No deduction shall be allowed under this 
section with respect to any building or dwelling unit with 
respect to which a credit under section 45L was allowed.’’. 
(c) EXTENSION.—Subsection (h) of section 179D is 
amended by striking ‘‘December 31, 2013’’ and inserting 
‘‘December 31, 2015’’. 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service in 
taxable years beginning after the date of the enactment 
of this Act. 
SEC. 4. NONBUSINESS ENERGY PROPERTY. 
(a) INCREASE IN LIMITATION AMOUNT.—Subsection 
(b) of section 25C is amended by striking ‘‘$1,500’’ and 
inserting ‘‘$5,000’’. 
(b) EXTENSION.—Paragraph (2) of section 25C(g) is 
amended by striking ‘‘December 31, 2010’’ and inserting 
‘‘December 31, 2015’’. 
(c) ONSITE LABOR COSTS ALLOWED.—Paragraph 
(1) of section 25C(c) is amended by adding at the end 
the following flush sentence: ‘‘Such term includes amounts 
paid or incurred for labor costs properly allocable to the 
onsite preparation, assembly, or original installation of 
such improvements.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service in 
taxable years beginning after the date of the enactment 
of this Act. 
SEC. 5. ENERGY RATINGS OF NON-BUSINESS PROPERTY. 
(a) IN GENERAL.—Subpart A of part IV of sub-
chapter A of chapter 1 is amended by inserting after sec-
tion 25D the following new section: 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00013
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
‘‘SEC. 25E. ENERGY RATINGS OF NON-BUSINESS PROPERTY. 
‘‘(a) IN GENERAL.—In the case of an individual, 
there shall be allowed as a credit against the tax imposed 
by this chapter for the taxable year an amount equal to 
the amount paid or incurred by the taxpayer for a quali-
fied home energy rating conducted during such taxable 
year. 
‘‘(b) LIMITATION.—The amount allowed as a credit 
under subsection (a) with respect to any taxpayer for any 
taxable year shall not exceed $200. 
‘‘(c) QUALIFIED HOME ENERGY RATING.—For pur-
poses of this section, the term ‘qualified home energy rat-
ing’ means a home energy rating conducted with respect 
to any residence of the taxpayer by a home performance 
auditor certified by a provider accredited by the Building 
Performance Institute (BPI), the Residential Energy 
Services Network (RESNET), or equivalent rating system 
as determined by the Secretary of Energy. 
‘‘(d) TERMINATION.—This section shall not apply 
with respect to any rating conducted after December 31, 
2011.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
for subpart A of part IV of subchapter A chapter 1 is 
amended by inserting after the item relating to section 
25D the following new item: 
‘‘Sec. 25E. Energy ratings of non-business property.’’. 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00014
Fmt 6652
Sfmt 6211
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to amounts paid or incurred in tax-
able years beginning after the date of the enactment of 
this Act. 
SEC. 6. CREDIT FOR HOME PERFORMANCE AUDITOR CER-
TIFICATIONS. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 is amended by adding at the end 
the following new section: 
‘‘SEC. 45R. HOME PERFORMANCE AUDITOR CERTIFICATION 
CREDIT. 
‘‘(a) IN GENERAL.—For purposes of section 38, the 
home performance auditor certification credit determined 
under this section for any taxable year is an amount equal 
to the qualified training and certification costs paid or in-
curred by the taxpayer which may be taken into account 
for such taxable year. 
‘‘(b) QUALIFIED
TRAINING
AND
CERTIFICATION 
COSTS.— 
‘‘(1) IN GENERAL.—The term ‘qualified train-
ing and certification costs’ means costs paid or in-
curred for training which is required for the tax-
payer or employees of the taxpayer to be certified as 
home performance auditors for purposes of providing 
qualified home energy ratings under section 25E(c). 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00015
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
‘‘(2) LIMITATION.—The qualified training and 
certification costs taken into account under sub-
section (a)(1) for the taxable year with respect to 
any individual shall not exceed $500 reduced by the 
amount of the credit allowed under subsection (a)(1) 
to the taxpayer (or any predecessor) with respect to 
such individual for all prior taxable years. 
‘‘(3) YEAR
COSTS
TAKEN
INTO
ACCOUNT.— 
Qualified training and certifications costs with re-
spect to any individual shall not be taken into ac-
count under subsection (a)(1) before the taxable 
year in which the individual with respect to whom 
such costs are paid or incurred has performed 25 
qualified home energy ratings under section 25E(c). 
‘‘(c) SPECIAL RULES.— 
‘‘(1) AGGREGATION RULES.—For purposes of 
this section, all persons treated as a single employer 
under subsections (a) and (b) of section 52 shall be 
treated as 1 person. 
‘‘(2) DENIAL OF DOUBLE BENEFIT.— 
‘‘(A) IN GENERAL.—No deduction shall be 
allowed for that portion of the expenses other-
wise allowable as a deduction for the taxable 
year which is equal to the amount taken into 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00016
Fmt 6652
Sfmt 6201
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS
account under subsection (a) for such taxable 
year. 
‘‘(B) AMOUNT PREVIOUSLY DEDUCTED.— 
No credit shall be allowed under subsection (a) 
with respect to any amount for which a deduc-
tion has been allowed in any preceding taxable 
year.’’. 
(b) CREDIT TREATED AS PART OF GENERAL BUSI-
NESS CREDIT.—Section 38(b) is amended by striking 
‘‘plus’’ at the end of paragraph (34), by striking the period 
at the end of paragraph (35) and inserting ‘‘plus’’, and 
by adding at the end the following new paragraph: 
‘‘(36) the home performance auditor certifi-
cation credit determined under section 45R(a).’’. 
(c) CONFORMING AMENDMENT.—The table of sec-
tions for subpart D of part IV of subchapter A of chapter 
1 is amended by inserting after the item relating to section 
45Q the following new item: 
‘‘Sec. 45R. Home performance auditor certification credit.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to amounts paid or incurred after 
the date of the enactment of this Act. 
Æ 
VerDate Nov 24 2008 
02:53 Dec 09, 2009
Jkt 089200
PO 00000
Frm 00017
Fmt 6652
Sfmt 6301
E:\BILLS\H4226.IH
H4226
smartinez on DSKB9S0YB1PROD with BILLS