Title: American Cars, American Jobs Act of 2018
Policy area: Transportation and Public Works

Summary:
American Cars, American Jobs Act of 2018
This bill establishes in the National Highway Traffic Safety Administration the American Cars, American Jobs Program. Under the program, the Department of Transportation must issue vouchers of $3,500 to offset the purchase or lease price of a new automobile made in the United States if at least 45% of the automobile's parts come from the United States or Canada and assembly of the automobile occurs in the United States.
The bill amends the Internal Revenue Code to disallow a tax deduction for the global low-tax income of certain foreign subsidiaries of U.S. automakers whose profits exceed a specified percentage of their value.


[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 3324 Introduced in Senate (IS)]

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115th CONGRESS
  2d Session
                                S. 3324

To establish a voluntary program in the National Highway Traffic Safety 
    Administration to encourage consumers to purchase or lease new 
     automobiles made in the United States, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             August 1, 2018

   Mr. Brown introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
To establish a voluntary program in the National Highway Traffic Safety 
    Administration to encourage consumers to purchase or lease new 
     automobiles made in the United States, 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 ``American Cars, American Jobs Act of 
2018''.

SEC. 2. AMERICAN CARS, AMERICAN JOBS PROGRAM.

    (a) Definitions.--In this section:
            (1) Automobile.--The term ``automobile'' has the meaning 
        given the term in section 32901(a) of title 49, United States 
        Code.
            (2) Automobile made in the united states.--The term 
        ``automobile made in the United States'' means an automobile 
        that meets the requirements described in subsection (c).
            (3) Dealer.--The term ``dealer'' means a person licensed by 
        a State who engages in the sale of new automobiles to ultimate 
        purchasers.
            (4) Program.--The term ``Program'' means the American Cars, 
        American Jobs Program established by subsection (b).
            (5) Qualifying lease.--The term ``qualifying lease'' means 
        a lease of an automobile for a period of not less than 5 years.
            (6) Secretary.--The term ``Secretary'' means the Secretary 
        of Transportation, acting through the Administrator of the 
        National Highway Traffic Safety Administration.
            (7) Ultimate purchaser.--The term ``ultimate purchaser'' 
        means, with respect to any new automobile, the first person who 
        in good faith purchases the automobile for purposes other than 
        resale.
            (8) Vehicle identification number.--The term ``vehicle 
        identification number'' means the 17-character number used by 
        the automobile industry to identify individual automobiles.
            (9) Voucher.--The term ``voucher'' means an electronic 
        transfer of funds to a dealer based on an eligible transaction 
        under this section.
    (b) Establishment.--There is established in the National Highway 
Traffic Safety Administration a voluntary program, to be known as the 
``American Cars, American Jobs Program'', through which the Secretary, 
in accordance with this section and the regulations promulgated under 
subsection (e), shall--
            (1) authorize the issuance of an electronic voucher, 
        subject to the limitations described in subsection (d), to 
        offset the purchase price or lease price for a qualifying 
        purchase or qualifying lease, respectively, of a new automobile 
        made in the United States;
            (2) register dealers for participation in the Program and 
        require that all registered dealers accept vouchers as provided 
        in this section as partial payment or down payment for the 
        purchase or qualifying lease of any new automobile made in the 
        United States offered for sale or lease by that dealer;
            (3) in consultation with the Secretary of the Treasury, 
        make electronic payments to dealers for eligible transactions 
        by the dealers described in paragraph (2), in accordance with 
        the regulations promulgated under subsection (e); and
            (4) in consultation with the Secretary of the Treasury and 
        the Inspector General of the Department of Transportation, 
        establish and provide for the enforcement of measures to 
        prevent and penalize fraud under the Program.
    (c) Qualifications for and Value of Vouchers.--A voucher issued 
under the Program shall have a value of $3,500 that may be applied to 
offset the purchase price or lease price for a purchase or qualifying 
lease, respectively, of a new automobile made in the United States, if 
the automobile--
            (1) for the most recent model year, is determined by the 
        Secretary to contain content of which not less than 45 
        percentage (by value) is of United States/Canadian origin (as 
        those terms are defined in section 32304(a) of title 49, United 
        States Code); and
            (2) is assembled in the United States.
    (d) Program Limitations.--
            (1) General period of eligibility.--A voucher issued under 
        the Program shall be used only in connection with the purchase 
        or qualifying lease of a new automobile made in the United 
        States that occurs during the period--
                    (A) beginning on the date that is 75 days after the 
                date of enactment of this Act; and
                    (B) ending on the date that is 2 years after the 
                date described in subparagraph (A).
            (2) Number of vouchers per person and per trade-in 
        vehicle.--Not more than 1 voucher may be issued under the 
        Program for a single person.
            (3) No combination of vouchers.--Only 1 voucher issued 
        under the Program may be applied toward the purchase or 
        qualifying lease of a single new automobile made in the United 
        States.
            (4) Combination with other incentives permitted.--The 
        availability or use of a Federal, State, or local incentive or 
        a State-issued voucher for the purchase or lease of a new 
        automobile made in the United States shall not limit the value 
        or issuance of a voucher under the Program to any person 
        otherwise eligible to receive such a voucher.
            (5) No additional fees.--A dealer participating in the 
        Program may not charge a person purchasing or leasing a new 
        automobile made in the United States any additional fees 
        associated with the use of a voucher under the Program.
            (6) Number and amount.--The total number and value of 
        vouchers issued under the Program may not exceed the amounts 
        appropriated for that purpose.
    (e) Regulations.--
            (1) In general.--Notwithstanding section 553 of title 5, 
        United States Code, not later than 60 days after the date of 
        enactment of this Act, the Secretary shall promulgate final 
        regulations to implement the Program.
            (2) Requirements.--The regulations under paragraph (1) 
        shall--
                    (A) provide for a means of registering dealers for 
                participation in the Program;
                    (B) establish procedures for the reimbursement of 
                dealers participating in the Program to be made through 
                electronic transfer of funds for the amount of the 
                vouchers as soon as practicable, but not longer than 10 
                days, after the date of submission of information 
                supporting the eligible transaction, as the Secretary 
                determines to be appropriate;
                    (C) require each applicable dealer to use a voucher 
                under the Program in addition to any other rebate or 
                discount advertised by the dealer or offered by the 
                manufacturer for an applicable new automobile made in 
                the United States; and
                    (D) prohibit each applicable dealer from using a 
                voucher under the Program to offset any other rebate or 
                discount described in subparagraph (C).
    (f) Anti-Fraud Provisions.--
            (1) Violation.--It shall be unlawful for any person to 
        violate this section or any regulations promulgated pursuant to 
        subsection (e) (other than by making a clerical error).
            (2) Penalties.--
                    (A) In general.--Any person who commits a violation 
                described in paragraph (1) shall be liable to the 
                Federal Government for a civil penalty of not more than 
                $15,000 for each violation.
                    (B) Authority of the secretary.--The Secretary 
                may--
                            (i) assess and compromise penalties under 
                        subparagraph (A); and
                            (ii) require from any person the records 
                        and inspections necessary to enforce the 
                        Program.
                    (C) Determination.--In determining the amount of a 
                civil penalty under this paragraph, the severity of the 
                applicable violation and the intent and history of the 
                person committing the violation shall be taken into 
                account.
    (g) Information to Consumers and Dealers.--
            (1) In general.--Not later than 60 days after the date of 
        enactment of this Act, and promptly after receiving any update 
        of any relevant information, the Secretary shall make available 
        on an internet website and through other means determined by 
        the Secretary information about the Program, including--
                    (A) how to participate in the Program, including 
                how to determine participating dealers; and
                    (B) a comprehensive list, by make and model, of new 
                automobiles made in the United States meeting the 
                requirements of the Program.
            (2) Public awareness campaign.--Once the information 
        described in paragraph (1) is available, the Secretary shall 
        conduct a public awareness campaign to inform consumers about 
        the Program and where to obtain additional information.
    (h) Recordkeeping and Report.--
            (1) Database.--The Secretary shall maintain a database of 
        the vehicle identification numbers of all new automobiles made 
        in the United States purchased or leased under the Program.
            (2) Report on efficacy of the program.--Not later than 60 
        days after the end of the period described in subsection 
        (d)(1), the Secretary shall submit to the Committee on 
        Commerce, Science, and Transportation of the Senate and the 
        Committee on Energy and Commerce of the House of 
        Representatives a report describing the efficacy of the 
        Program, including--
                    (A) a description of Program results, including--
                            (i) the total number and amount of vouchers 
                        issued for purchase or qualifying lease of new 
                        automobiles made in the United States by--
                                    (I) manufacturer (including 
                                aggregate information concerning the 
                                make, model, and model year); and
                                    (II) category of automobile; and
                            (ii) the location of sale or qualifying 
                        lease; and
                    (B) an estimate of the overall economic and 
                employment effects of the Program.
    (i) Exclusion of Vouchers From Income.--
            (1) For purposes of all federal and state programs.--A 
        voucher issued under this section or any payment made for such 
        a voucher under subsection (b)(3) shall not be regarded as 
        income and shall not be regarded as a resource for the month of 
        receipt of the voucher and the following 12 months, for 
        purposes of determining the eligibility of the recipient of the 
        voucher (or a spouse or other family or household members of 
        the recipients) for benefits or assistance, or the amount or 
        extent of benefits or assistance, under any Federal or State 
        program.
            (2) For purposes of taxation.--A voucher issued under this 
        section or any payment made for such a voucher under subsection 
        (b)(3) shall be deemed not to be income of the purchaser of an 
        automobile for purposes of the Internal Revenue Code of 1986.
    (j) Authorization of Appropriations.--
            (1) In general.--There is authorized to be appropriated to 
        the Secretary $3,000,000,000 to carry out the Program, to 
        remain available until expended.
            (2) Administration.--Of the amounts appropriated under 
        paragraph (1), not more than $1,000,000 may be made available 
        for the administration of the Program.

SEC. 3. DISALLOWANCE OF DEDUCTION FOR GLOBAL LOW-TAXED INCOME FOR 
              CERTAIN AUTOMOBILE COMPANIES.

    (a) In General.--Section 250 of the Internal Revenue Code of 1986 
is amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following:
    ``(c) Special Rule for Certain Motor Vehicle Manufacturers.--
            ``(1) In general.--The amount determined under subsection 
        (a)(1)(B) shall be zero for any taxable year of a domestic 
        corporation described in paragraph (2) if the number of full-
        time employees of such corporation performing substantially all 
        of their services inside the United States during such taxable 
        year is less than the number of such employees on December 20, 
        2017.
            ``(2) Domestic corporation described.--A domestic 
        corporation is described in this paragraph with respect to any 
        taxable year if such domestic corporation--
                    ``(A) is a manufacturer (within the meaning of 
                section 30B) of motor vehicles (as defined in section 
                30B(h)(1)), and
                    ``(B) is a United States shareholder of a 
                controlled foreign corporation which increases the 
                number of full-time employees of such controlled 
                foreign corporation during period comprising of the 
                taxable year of such domestic corporation.''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of enactment of this 
Act.
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