WASHINGTON — House Ways and Means Committee members earlier on Monday unveiled the provisions of an energy tax bill that would create a new category of “energy security” tax-credit bonds and authorize $1.75 billion of them for state governments.
The bill contains several provisions that were in the Renewable Energy and Job Creation Act of 2008, which was approved by a vote of 263 to 160 in the House in May, and could be voted on by the full House as soon as tomorrow, a committee spokesman said.
The energy-security tax-credit bonds would help states finance the installation of natural gas fuel pumps at retail gas stations, and is estimated to cost $591 million over 10 years.
Tax-credit bonds provide holders with an income tax credit in lieu of tax-exempt interest payments.
The legislation also would restructure tax law provisions that provide New York City and New York State with tax credits for expenditures connected with the New York Liberty Zone, which was established after the Sept. 11, 2001, terrorist attacks.
The bill contains several similar provisions to an energy tax package introduced last week in the Senate, including the creation of qualified energy conservation bonds, another new category of tax-credit bonds that state and local governments could use for projects meant to reduce greenhouse gas emissions. The House bill would authorize $2.625 billion of these bonds, while the Senate version would authorize $3 billion.
The Senate and House measures also contain provisions to authorize additional clean renewable energy bonds. The House CREB bill would provide $1.75 billion in authority for the bonds, while the Senate would authorize $2 billion.
In addition, the bills would each extend, but not provide additional authorization for, qualified green building and sustainable design project bonds through the end of 2012. The authorization for those bonds is currently set to expire on Sept. 30, 2009.