Strategic Energy Fund Act of 2006

Bill: 109-s-2993
Sponsor: Sen. Clinton, Hillary Rodham [D-NY]
Introduced: 2006-05-23 in the Senate
Policy area: Taxation
Subjects: Accounting
Alcohol as fuel
Alternative energy sources
Automobile industry
Automobiles
Awards, medals, prizes
Biomass energy
Carbon cycle
Carbon dioxide
Cellulose
Commercialization
Congress
Congressional reporting requirements
Corporation taxes
Department of Energy
Depreciation and amortization
Diesel motor
Economics and Public Finance
Electric power production
Electric vehicles
Energy
Energy conservation
Energy efficiency
Energy prices
Energy research
Environmental Protection
Excess profits tax
Excise tax
Executive reorganization
Federal aid to research
Federal officials
Finance and Financial Sector
Foreign tax credit
Fuel cells
Fuel consumption
Geology
Geophysical prediction
Government Operations and Politics
Government trust funds
Housing and Community Development
Income tax
Inventories
Investment tax credit
Minimum tax
Motor vehicles
Natural gas
Oil and gas leases
Oil and gas royalties
Oil well drilling
Petroleum industry
Petroleum refineries
Profit
Public Lands and Natural Resources
Research and development
Science, Technology, Communications
Service stations
Small business
Solar energy
Sugar
Tax administration
Tax credits
Tax deductions
Tax deferral
Tax refunds
Technological innovations
Transportation and Public Works
Trucks
Valuation
Wind power

Summary:
action_date: 2006-05-23
text: 
Strategic Energy Fund Act of 2006 - Amends the Internal Revenue Code to establish in the Treasury the Strategic Energy Fund. Transfers revenues from the excess profits tax imposed by this Act to such Fund to finance clean energy research and alternative fuel projects.
 
Modifies the tax credit for investment in alternative fuel vehicle refueling property to: (1) increase the rate of such credit from 30 to 50%; (2) increase to $50,000 the allowable amount of such credit for commercial refueling properties; and (3) extend such credit to the earlier of December 31, 2014, or until 20,000 refueling properties have been installed through the use of such credit.
 
Expands eligibility for the small ethanol producer tax credit for producers of sucrose or cellulosic ethanol. 
 
Extends through 2014: (1) income and excise tax credits for biodiesel used as fuel; (2) tax credits for investment in solar energy and fuel cell property; (3) the tax deduction for energy efficient commercial property; and (4) the tax credit for new energy efficient homes.
 
Allows new tax credits for: (1) the manufacture of flexible fuel and advanced technology motor vehicles; (2) investment in fuel-efficient motor vehicle fleets; (3) investment in wind energy property; and (4) captured carbon dioxide processes to enhance oil and natural gas recovery.
 
Extends through 2017 the tax credit for producing electricity from renewable resources. 
 
Directs the Secretary of Energy to establish the position of Assistant Secretary for Advanced Energy Research, Technology Development, and Deployment.
 
Imposes for taxable years beginning in 2006 or 2007 a 50% excise fee on the excess profits of integrated oil companies and producers or refiners of crude oil with gross receipts exceeding $100 million. Eliminates certain tax benefits for such oil companies, producers, and refiners, including: (1) the tax deductions for intangible drilling and development costs and for income attributable to domestic production of oil, natural gas, or related products; (2) amortization of geological and geophysical expenditures; and (3) foreign tax credits and deferrals. Requires such companies, producers, and refiners to revalue their LIFO inventories of crude oil, natural gas, and other petroleum products according to a specified formula.
 
Directs the Secretary of the Interior to suspend royalty relief programs for producers of oil and natural gas on federal lands during periods when the price of oil and natural gas exceeds certain levels and to renegotiate existing leases for production of oil and natural gas on federal lands.
 
Places limits on the depreciation of certain non-farm heavy passenger motor vehicles.


Legislative actions:
action_date: 2006-06-28
text: Sponsor introductory remarks on measure. (CR S6593)
action_date: 2006-05-23
text: Read twice and referred to the Committee on Finance.
action_date: 2006-05-23
text: Introduced in Senate