Title: Superfund Reinvestment Act
Policy area: Taxation

Summary:
Superfund Reinvestment Act
This bill authorizes the use of amounts in the Hazardous Substance Superfund for environmental cleanup costs under the Superfund program (which provides funding to clean up sites contaminated with hazardous substances).
Receipts and disbursements of the Hazardous Substance Superfund must (1) not be counted for purposes of the President's budget, the congressional budget, the Balanced Budget and Emergency Deficit Control Act of 1985, or the Statutory Pay-As-You-Go Act of 2010; (2) be exempt from general budget limitations imposed by statute on expenditures and net lending; and (3) be available only for the purposes specified under Superfund.
This bill amends the Internal Revenue Code to (1) reinstate through 2028, and adjust for inflation annually after 2020, the Hazardous Substance Superfund financing rate and the corporate environmental income tax threshold amount; (2) extend the borrowing authority of the Superfund through 2028; and (3) modify the definition of crude oil for purposes of the excise tax on petroleum and petroleum products to include a bitumen or bituminous mixture (e.g., tar sands), oil derived from a bitumen or bituminous mixture, and oil derived from kerogen-bearing sources (e.g., shale oil).

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4088 Introduced in House (IH)]

<DOC>






116th CONGRESS
  1st Session
                                H. R. 4088

 To amend the Internal Revenue Code of 1986 to provide for the use of 
 funds in the Hazardous Substance Superfund for the purposes for which 
 they were collected, to ensure adequate resources for the cleanup of 
 hazardous substances under the Comprehensive Environmental Response, 
    Compensation, and Liability Act of 1980, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 26, 2019

Mr. Blumenauer (for himself, Mr. Connolly, Mr. McNerney, Ms. Sewell of 
 Alabama, Ms. Norton, Mr. Grijalva, and Mr. Cartwright) introduced the 
following bill; which was referred to the Committee on Ways and Means, 
and in addition to the Committees on Transportation and Infrastructure, 
 Energy and Commerce, and the Budget, for a period to be subsequently 
   determined by the Speaker, in each case for consideration of such 
 provisions as fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to provide for the use of 
 funds in the Hazardous Substance Superfund for the purposes for which 
 they were collected, to ensure adequate resources for the cleanup of 
 hazardous substances under the Comprehensive Environmental Response, 
    Compensation, and Liability Act of 1980, 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 ``Superfund Reinvestment Act''.

SEC. 2. USE OF HAZARDOUS SUBSTANCE SUPERFUND FOR CLEANUP.

    (a) Availability of Amounts.--Section 111 of the Comprehensive 
Environmental Response, Compensation, and Liability Act of 1980 (42 
U.S.C. 9611) is amended--
            (1) in subsection (a) by striking ``For the purposes 
        specified'' and all that follows through ``for the following 
        purposes:'' and inserting the following: ``The amount in the 
        Hazardous Substance Superfund established under section 9507 of 
        the Internal Revenue Code of 1986 shall be available, without 
        further appropriation, to be used for the purposes specified in 
        this section. The President shall use such amount for the 
        following purposes:''; and
            (2) in subsection (c)--
                    (A) by striking ``Subject to such amounts as are 
                provided in appropriations Acts, the'' each place it 
                appears and inserting ``The''; and
                    (B) in paragraph (12) by striking ``to the extent 
                that such costs'' and all that follows through ``and 
                1994''.
    (b) Amendment to the Internal Revenue Code.--Section 9507 of the 
Internal Revenue Code of 1986 is amended--
            (1) by striking ``appropriated to'' in subsection (a)(1) 
        and inserting ``made available for'';
            (2) by striking ``appropriated'' in subsection (b) and 
        inserting ``transferred'';
            (3) by striking ``, as provided in appropriations Acts,'' 
        in subsection (c)(1); and
            (4) by striking ``December 31, 1995'' in subsection 
        (d)(3)(B) and inserting ``December 31, 2028''.

SEC. 3. BUDGETARY TREATMENT OF HAZARDOUS SUBSTANCE SUPERFUND.

    Notwithstanding any other provision of law, the receipts and 
disbursements of the Hazardous Substance Superfund established in 
section 9507 of the Internal Revenue Code of 1986--
            (1) shall not be counted as new budget authority, outlays, 
        receipts, or deficit or surplus for purposes of--
                    (A) the budget of the United States Government as 
                submitted by the President;
                    (B) the congressional budget (including allocations 
                of budget authority and outlays provided therein);
                    (C) the Balanced Budget and Emergency Deficit 
                Control Act of 1985; or
                    (D) the Statutory Pay-As-You-Go Act of 2010;
            (2) shall be exempt from any general budget limitation 
        imposed by statute on expenditures and net lending (budget 
        outlays) of the United States Government; and
            (3) shall be available only for the purposes specified in 
        section 111 of the Comprehensive Environmental Response, 
        Compensation, and Liability Act of 1980 (42 U.S.C. 9611).

SEC. 4. MODIFICATION OF SUPERFUND TAXES.

    (a)  Hazardous Substance Superfund Financing Rate.--
            (1) Extension.--Subsection (e) of section 4611 of the 
        Internal Revenue Code of 1986 is amended to read as follows:
    ``(e) Application of Hazardous Substance Superfund Financing 
Rate.--The Hazardous Substance Superfund financing rate under this 
section shall apply after December 31, 1986, and before January 1, 
1996, and after the date of the enactment of the Superfund Reinvestment 
Act and before January 1, 2029.''.
            (2) Adjustment for inflation.--
                    (A) Section 4611(c)(2)(A) of such Code is amended 
                by striking ``9.7 cents'' and inserting ``16.3 cents''.
                    (B) Section 4611(c) of such Code is amended by 
                adding at the end the following:
            ``(3) Adjustment for inflation.--
                    ``(A) In general.--In the case of a year beginning 
                after 2020, the amount in paragraph (2)(A) shall be 
                increased by an amount equal to--
                            ``(i) such amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year, determined by substituting 
                        `calendar year 2019' for `calendar year 2016' 
                        in subparagraph (A)(ii) thereof.
                    ``(B) Rounding.--If any amount as adjusted under 
                subparagraph (A) is not a multiple of $0.01, such 
                amount shall be rounded to the next lowest multiple of 
                $0.01.''.
    (b) Adjustment of Excise Tax on Certain Chemicals for Inflation.--
Section 4661(b) of such Code is amended to read as follows:
    ``(b) Amount of Tax.--
            ``(1) In general.--The amount of the tax imposed by 
        subsection (a) shall be determined in accordance with the 
        following table:

------------------------------------------------------------------------
                                                      The tax is the
               ``In the case of:                   following amount per
                                                           ton:
------------------------------------------------------------------------
Acetylene                                                         $11.35
Benzene                                                            11.35
Butane                                                             11.35
Butylene                                                           11.35
Butadiene                                                          11.35
Ethylene                                                           11.35
Methane                                                             8.02
Naphthalene                                                        11.35
Propylene                                                          11.35
Toluene                                                            11.35
Xylene                                                             11.35
Ammonia                                                             6.15
Antimony                                                           10.37
Antimony trioxide                                                   8.74
Arsenic                                                            10.37
Arsenic trioxide                                                    7.95
Barium sulfide                                                      5.36
Bromine                                                            10.37
Cadmium                                                            10.37
Chlorine                                                            6.29
Chromium                                                           10.37
Chromite                                                            3.54
Potassium dichromate                                                3.94
Sodium dichromate                                                   4.36
Cobalt                                                             10.37
Cupric sulfate                                                      4.36
Cupric oxide                                                        8.37
Cuprous oxide                                                       9.25
Hydrochloric acid                                                   0.68
Hydrogen fluoride                                                   9.86
Lead oxide                                                          9.65
Mercury                                                            10.37
Nickel                                                             10.37
Phosphorus                                                         10.37
Stannous chloride                                                   6.64
Stannic chloride                                                    4.94
Zinc chloride                                                       5.17
Zinc sulfate                                                        4.43
Potassium hydroxide                                                 0.51
Sodium hydroxide                                                    0.65
Sulfuric acid                                                       0.61
Nitric acid                                                        0.56.
------------------------------------------------------------------------

            ``(2) Adjustment for inflation.--
                    ``(A) In general.--In the case of a calendar year 
                beginning after 2020, each of the amounts in the table 
                in paragraph (1) shall be increased by an amount equal 
                to--
                            ``(i) such amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year, determined by substituting 
                        `calendar year 2019' for `calendar year 2016' 
                        in subparagraph (A)(ii) thereof.
                    ``(B) Rounding.--If any amount as adjusted under 
                subparagraph (A) is not a multiple of $0.01, such 
                amount shall be rounded to the next lowest multiple of 
                $0.01.''.
    (c) Corporate Environmental Income Tax Reinstated.--
            (1) In general.--Subchapter A of chapter 1 of such Code is 
        amended by inserting after part VII the following:

                     ``PART VIII--ENVIRONMENTAL TAX

``Sec. 59B. Environmental tax.

``SEC. 59B. ENVIRONMENTAL TAX.

    ``(a) Imposition of Tax.--In the case of a corporation, there is 
hereby imposed (in addition to any other tax imposed by this subtitle) 
a tax equal to 0.12 percent of the excess of--
            ``(1) the modified environmental tax taxable income of such 
        corporation for the taxable year, over
            ``(2) $3,735,000.
    ``(b) Modified Environmental Tax Taxable Income.--For purposes of 
this section, the term `modified environmental tax taxable income' 
means taxable income determined without regard to--
            ``(1) the net operating loss deduction allowable under 
        section 172, and
            ``(2) the deduction allowed under section 164(a)(5).
    ``(c) Exception for RICs and REITs.--The tax imposed by subsection 
(a) shall not apply to--
            ``(1) a regulated investment company to which part I of 
        subchapter M applies, and
            ``(2) a real estate investment trust to which part II of 
        subchapter M applies.
    ``(d) Special Rules.--
            ``(1) Short taxable years.--The application of this section 
        to taxable years of less than 12 months shall be in accordance 
        with regulations prescribed by the Secretary.
            ``(2) Section 15 not to apply.--Section 15 shall not apply 
        to the tax imposed by this section.
    ``(e) Adjustment for Inflation.--
            ``(1) In general.--In the case of a taxable year beginning 
        after 2020, the dollar amount in subsection (a)(2) shall be 
        increased by an amount equal to--
                    ``(A) such amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `calendar year 2019' for `calendar year 2016' in 
                subparagraph (A)(ii) thereof.
            ``(2) Rounding.--If any amount as adjusted under 
        subparagraph (A) is not a multiple of $1,000, such amount shall 
        be rounded to the next lowest multiple of $1,000.
    ``(f) Application of Tax.--The tax imposed by this section shall 
apply to taxable years ending after the date of the enactment of the 
Superfund Reinvestment Act and beginning before January 1, 2029.''.
            (2) Conforming amendments.--
                    (A) Paragraph (2) of section 26(b) of such Code is 
                amended by striking ``and'' at the end of subparagraph 
                (X), by striking the period at the end of subparagraph 
                (Y) and inserting ``, and'', and by adding at the end 
                the following new subparagraph:
                    ``(Z) section 59B (relating to environmental 
                tax).''.
                    (B) Subsection (a) of section 164 of such Code is 
                amended by inserting after paragraph (4) the following:
            ``(5) The environmental tax imposed by section 59B.''.
                    (C) Section 275(a) of such Code is amended by 
                inserting at the end the following flush sentence: 
                ``Paragraph (1) shall not apply to the tax imposed by 
                section 59B.''.
                    (D) Section 882(a)(1) of such Code is amended by 
                striking ``or 59A'' and inserting ``, 59A, or 59B''.
                    (E) Section 1561(a) of such Code is amended by 
                inserting ``and one dollar amount in effect under 
                section 59B(a)(2) for the taxable year for purposes of 
                computing the tax imposed by section 59B'' after 
                ``under section 535(c)(2) and (3)''.
                    (F) Section 6425(c)(1)(A) of such Code is amended 
                by striking ``plus'' at end of clause (i), by striking 
                ``over'' at the end of clause (ii) and inserting 
                ``plus'', and by inserting after clause (ii) the 
                following:
                            ``(iii) the tax imposed by section 59B, 
                        over''.
                    (G) Section 6655 of such Code is amended--
                            (i) in subsections (e)(2)(A)(i) and 
                        (e)(2)(B)(i), by striking ``taxable income and 
                        modified taxable income'' and inserting 
                        ``taxable income, modified taxable income, and 
                        modified environmental tax taxable income'';
                            (ii) in subsection (e)(2)(B), by inserting 
                        after clause (ii) the following:
                            ``(iii) Modified environmental tax taxable 
                        income.--The term `modified environmental tax 
                        taxable income' has the meaning given to such 
                        term by section 59B(b).''; and
                            (iii) in subsection (g)(1)(A), by striking 
                        ``plus'' at the end of clause (ii), by 
                        redesignating clause (iii) as clause (iv) and 
                        by inserting after clause (ii) the following:
                            ``(iii) the tax imposed by section 59B, 
                        plus''.
                    (H) Section 9507(b)(1) of such Code is amended by 
                inserting ``59B,'' before ``4611''.
            (3) Clerical amendment.--The table of parts for subchapter 
        A of chapter 1 of such Code is amended by inserting after the 
        item relating to part VII the following new item:

                   ``Part VIII. Environmental Tax''.

    (d) Clarification of Tar Sands as Crude Oil for Excise Tax 
Purposes.--
            (1) In general.--Section 4612(a)(1) of such Code is amended 
        to read as follows:
            ``(1) Crude oil.--The term `crude oil' includes crude oil 
        condensates, natural gasoline, any bitumen or bituminous 
        mixture, any oil derived from a bitumen or bituminous mixture 
        (including oil derived from tar sands), and any oil derived 
        from kerogen-bearing sources (including oil derived from oil 
        shale).''.
            (2) Technical amendment.--Section 4612(a)(2) of such Code 
        is amended by striking ``from a well located''.
    (e) Technical Amendments.--
            (1) Subsection (b) of section 4611 of such Code is 
        amended--
                    (A) by striking ``or exported from'' in paragraph 
                (1)(A);
                    (B) by striking ``or exportation'' in paragraph 
                (1)(B); and
                    (C) by striking ``and Exportation'' in the heading 
                thereof.
            (2) Paragraph (3) of section 4611(d) of such Code is 
        amended--
                    (A) by striking ``or exporting the crude oil, as 
                the case may be'' and inserting ``the crude oil''; and
                    (B) by striking ``or exports'' in the heading 
                thereof.
    (f) Effective Date.--
            (1) In general.--Except as provided in paragraph (2), the 
        amendments made by this section shall apply to oil and 
        petroleum products received or entered during calendar quarters 
        beginning after December 31, 2019.
            (2) Corporate environmental income tax.--The amendment made 
        by section 4(c) shall apply to taxable years beginning after 
        December 31, 2019.

SEC. 5. APPLICABILITY.

    Except as provided in section 4(f), this Act (including the 
amendments made by this Act) shall apply to fiscal years beginning 
after September 30, 2019.
                                 <all>