I 
114TH CONGRESS 
1ST SESSION H. R. 4088 
To amend the Internal Revenue Code of 1986 to provide for an investment 
tax credit related to the production of electricity from offshore wind. 
IN THE HOUSE OF REPRESENTATIVES 
NOVEMBER 19, 2015 
Mr. PASCRELL (for himself, Mr. LOBIONDO, and Mr. CARNEY) 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 provide 
for an investment tax credit related to the production 
of electricity from offshore wind. 
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 ‘‘Promoting Offshore 
Wind Power Act’’. 
SEC. 2. QUALIFYING OFFSHORE WIND FACILITY CREDIT. 
(a) IN GENERAL.—Section 46 of the Internal Rev-
enue Code of 1986 is amended— 
(1) by striking ‘‘and’’ at the end of paragraph 
(5), 
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(2) by striking the period at the end of para-
graph (6) and inserting ‘‘, and’’, and 
(3) by adding at the end the following new 
paragraph: 
‘‘(7) the qualifying offshore wind facility cred-
it.’’. 
(b) AMOUNT OF CREDIT.—Subpart E of part IV of 
subchapter A of chapter 1 of such Code is amended by 
inserting after section 48D the following new section: 
‘‘SEC. 48E. CREDIT FOR OFFSHORE WIND FACILITIES. 
‘‘(a) IN GENERAL.—For purposes of section 46, the 
qualifying offshore wind facility credit for any taxable year 
is an amount equal to 30 percent of the qualified invest-
ment for such taxable year with respect to any qualifying 
offshore wind facility of the taxpayer. 
‘‘(b) QUALIFIED INVESTMENT.— 
‘‘(1) IN GENERAL.—For purposes of subsection 
(a), the qualified investment for any taxable year is 
the basis of eligible property placed in service by the 
taxpayer during such taxable year which is part of 
a qualifying offshore wind facility. 
‘‘(2) CERTAIN QUALIFIED PROGRESS EXPENDI-
TURES RULES MADE APPLICABLE.—Rules similar to 
the rules of subsections (c)(4) and (d) of section 46 
(as in effect on the day before the enactment of the 
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Revenue Reconciliation Act of 1990) shall apply for 
purposes of this section. 
‘‘(c) DEFINITIONS.—For purposes of this section— 
‘‘(1) QUALIFYING OFFSHORE WIND FACILITY.— 
‘‘(A) IN GENERAL.—The term ‘qualifying 
offshore wind facility’ means an offshore facility 
using wind to produce electricity. 
‘‘(B) OFFSHORE
FACILITY.—The term 
‘offshore facility’ means any facility located in 
the inland navigable waters of the United 
States, including the Great Lakes, or in the 
coastal waters of the United States, including 
the territorial seas of the United States, the ex-
clusive economic zone of United States, and the 
outer Continental Shelf of the United States. 
‘‘(2) ELIGIBLE PROPERTY.—The term ‘eligible 
property’ means any property— 
‘‘(A) which is— 
‘‘(i) tangible personal property, or 
‘‘(ii) other tangible property (not in-
cluding a building or its structural compo-
nents), but only if such property is used as 
an integral part of the qualifying offshore 
wind facility, and 
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‘‘(B) with respect to which depreciation (or 
amortization in lieu of depreciation) is allow-
able. 
‘‘(d) QUALIFYING CREDIT FOR OFFSHORE WIND FA-
CILITIES PROGRAM.— 
‘‘(1) ESTABLISHMENT.— 
‘‘(A) IN
GENERAL.—Not later than 180 
days after the date of the enactment of this sec-
tion, the Secretary, in consultation with the 
Secretary of Energy and the Secretary of the 
Interior, shall establish a qualifying credit for 
offshore wind facilities program to consider and 
award certifications for qualified investments el-
igible for credits under this section to qualifying 
offshore wind facility sponsors. 
‘‘(B) LIMITATION.—The total amount of 
megawatt capacity for offshore facilities with 
respect to which credits may be allocated under 
the program shall not exceed 3,000 megawatts. 
‘‘(2) CERTIFICATION.— 
‘‘(A) APPLICATION PERIOD.—Each appli-
cant for certification under this paragraph shall 
submit an application containing such informa-
tion as the Secretary may require beginning on 
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the date the Secretary establishes the program 
under paragraph (1). 
‘‘(B) PERIOD OF ISSUANCE.—An applicant 
which receives a certification shall have 5 years 
from the date of issuance of the certification in 
order to place the facility in service and if such 
facility is not placed in service by that time pe-
riod, then the certification shall no longer be 
valid. 
‘‘(3) SELECTION
CRITERIA.—In determining 
which qualifying offshore wind facilities to certify 
under this section, the Secretary shall— 
‘‘(A) take into consideration which facili-
ties will be placed in service at the earliest date, 
and 
‘‘(B) take into account the technology of 
the facility that may lead to reduced industry 
and consumer costs or expand access to off-
shore wind. 
‘‘(4) REVIEW, ADDITIONAL ALLOCATIONS, AND 
REALLOCATIONS.— 
‘‘(A) REVIEW.—Periodically, but not later 
than 4 years after the date of the enactment of 
this section, the Secretary shall review the cred-
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its allocated under this section as of the date of 
such review. 
‘‘(B) ADDITIONAL ALLOCATIONS AND RE-
ALLOCATIONS.—The Secretary may make addi-
tional allocations and reallocations of credits 
under this section if the Secretary determines 
that— 
‘‘(i) the limitation under paragraph 
(1)(B) has not been attained at the time of 
the review, or 
‘‘(ii) scheduled placed-in-service dates 
of previously certified facilities have been 
significantly delayed and the Secretary de-
termines the applicant will not meet the 
timeline pursuant to paragraph (2)(B). 
‘‘(C) ADDITIONAL PROGRAM FOR ALLOCA-
TIONS AND REALLOCATIONS.—If the Secretary 
determines that credits under this section are 
available for further allocation or reallocation, 
but there is an insufficient quantity of quali-
fying applications for certification pending at 
the time of the review, the Secretary is author-
ized to conduct an additional program for appli-
cations for certification. 
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‘‘(5) DISCLOSURE OF ALLOCATIONS.—The Sec-
retary shall, upon making a certification under this 
subsection, publicly disclose the identity of the appli-
cant and the amount of the credit with respect to 
such applicant. 
‘‘(e) DENIAL OF DOUBLE BENEFIT.—A credit shall 
not be allowed under this section with respect to any facil-
ity if— 
‘‘(1) a credit has been allowed to such facility 
under section 45 for such taxable year or any prior 
taxable year, 
‘‘(2) a credit has been allowed with respect to 
such facility under section 46 by reason of section 
48(a) or 48C(a) for such taxable or any preceding 
taxable year, or 
‘‘(3) a grant has been made with respect to 
such facility under section 1603 of the American Re-
covery and Reinvestment Act of 2009.’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Section 49(a)(1)(C) of such Code is amend-
ed— 
(A) by striking ‘‘and’’ at the end of clause 
(v), 
(B) by striking the period at the end of 
clause (vi) and inserting ‘‘, and’’, and 
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(C) by adding after clause (vi) the fol-
lowing new clause: 
‘‘(vii) the basis of any property which 
is part of a qualifying offshore wind facil-
ity under section 48E.’’. 
(2) The table of sections for subpart E of part 
IV of subchapter A of chapter 1 of such Code is 
amended by inserting after the item relating to sec-
tion 48D the following new item: 
‘‘Sec. 48E. Credit for offshore wind facilities.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to periods after the date of the 
enactment of this Act, under rules similar to the rules of 
section 48(m) of the Internal Revenue Code of 1986 (as 
in effect on the day before the date of the enactment of 
the Revenue Reconciliation Act of 1990). 
Æ 
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