Rust to Revitalization Act of 2022
Bill: H.R.7183 | Sponsor: Rep. Kildee, Daniel T. (D-MI)
Policy area: Taxation

Summary:
Rust to Revitalization Act of 2022
This bill sets forth a special rule for the certification and designation of a population census tract as a qualified opportunity zone. The population census tract must have a population of zero, was previously used for industrial purposes and is a brownfield industrial site, and is contiguous, including by water, to a population census tract that has been designated as a qualified opportunity zone.
A qualified opportunity zone is an economically distressed community where new investments, under certain conditions, may be eligible for preferential tax treatment.

To amend the Internal Revenue Code of 1986 to provide a special rule 
   for designating former industrial tracts contiguous to designated 
               opportunity zones, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Rust to Revitalization Act of 
2022''.

SEC. 2. CERTAIN FORMER INDUSTRIAL TRACTS DESIGNATED AS OPPORTUNITY 
              ZONES.

    (a) In General.--Section 1400Z-1(b) of the Internal Revenue Code of 
1986 is amended by adding at the end the following new paragraph:
            ``(4) Special rule for former industrial tracts contiguous 
        to designated opportunity zones.--
                    ``(A) In general.--Each population census tract 
                described in subparagraph (B) shall be deemed to be 
                certified and designated as a qualified opportunity 
                zone, effective on the date of the enactment of this 
                paragraph.
                    ``(B) Population census tract described.--A 
                population census tract is described in this 
                subparagraph if--
                            ``(i) the tract--
                                    ``(I) has a population of zero,
                                    ``(II) was previously used for 
                                industrial purposes and is a brownfield 
                                industrial site, and
                                    ``(III) is contiguous, including by 
                                water, to a population census tract 
                                that has been designated as a qualified 
                                opportunity zone under this section, or
                            ``(ii) the tract was merged, as a result of 
                        the 2020 decennial census, into a census tract 
                        described in clause (i)(III) and met all 
                        requirements described in subclause (i) prior 
                        to such merger.
                    ``(C) Determination of census tract information.--
                For purposes of this paragraph, the boundaries and 
                population of a census tract shall be determined based 
                on United States Census Bureau data for the 2010 
                decennial census.
                    ``(D) Notification.--The Secretary shall notify in 
                writing the chief executive officer of the State in 
                which a population census tract is certified and 
                designated as a qualified opportunity zone under this 
                paragraph of such designation.
                    ``(E) Number of designations.--Population census 
                tracts certified and designated as a qualified 
                opportunity zone under this paragraph shall not be 
                taken into account for purposes of subsection (d).
                    ``(F) Definitions.--For purposes of this 
                paragraph--
                            ``(i) Brownfield industrial site.--The term 
                        `brownfield industrial site' means a census 
                        tract that includes real property the 
                        expansion, redevelopment, or reuse of which may 
                        be complicated by the presence or potential 
                        presence of a hazardous substance or pollutant 
                        or contaminant, including real property covered 
                        by a prospective purchaser agreement or similar 
                        agreement entered into by the Environmental 
                        Protection Agency or the appropriate State 
                        authority.
                            ``(ii) Hazardous substance.--The term 
                        `hazardous substance' means--
                                    ``(I) a hazardous substance as 
                                defined in section 101(14) of the 
                                Comprehensive Environmental Response, 
                                Compensation, and Liability Act of 1980 
                                (42 U.S.C 9601(14)), or
                                    ``(II) petroleum or a petroleum 
                                product.
                            ``(iii) Pollutant or contaminant.--The term 
                        `pollutant or contaminant' has the meaning 
                        given such term in section 101(33) of such 
                        Act.''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
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