Innovative Energy Manufacturing Act of 2021

I 117TH CONGRESS 1ST SESSION H. R. 507 To amend the Internal Revenue Code of 1986 to extend the advanced energy project credit. IN THE HOUSE OF REPRESENTATIVES JANUARY 28, 2021 Mr. BRENDAN F. BOYLE of Pennsylvania introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to extend the advanced energy project credit. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Innovative Energy 4 Manufacturing Act of 2021’’. 5 SEC. 2. EXTENSION OF THE ADVANCED ENERGY PROJECT 6 CREDIT. 7 (a) IN GENERAL.—Section 48C of the Internal Rev- 8 enue Code of 1986 is amended by redesignating subsection 9 VerDate Sep 11 2014 23:14 Feb 14, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H507.IH H507 pamtmann on DSKBC07HB2PROD with BILLS 2 •HR 507 IH (e) as subsection (f) and by inserting after subsection (d) 1 the following new subsection: 2 ‘‘(e) ADDITIONAL ALLOCATIONS.— 3 ‘‘(1) IN GENERAL.—Not later than 180 days 4 after the date of enactment of this paragraph, the 5 Secretary, after consultation with the Secretary of 6 Energy, shall establish a program to designate 7 amounts of qualifying advanced project credit limita- 8 tion to qualifying advanced energy projects. 9 ‘‘(2) ANNUAL LIMITATION.— 10 ‘‘(A) IN GENERAL.—The amount of quali- 11 fying advanced project credit limitation that 12 may be designated under this subsection during 13 any calendar year shall not exceed the annual 14 credit limitation with respect to such year. 15 ‘‘(B) ANNUAL CREDIT LIMITATION.—For 16 purposes of this subsection, the term ‘annual 17 credit limitation’ means $2,500,000,000 for 18 each of calendar years 2022, 2023, 2024, 2025, 19 and 2026, and zero thereafter. 20 ‘‘(C) CARRYOVER OF UNUSED LIMITA- 21 TION.—If the annual credit limitation for any 22 calendar year exceeds the aggregate amount 23 designated for such year under this subsection, 24 such limitation for the succeeding calendar year 25 VerDate Sep 11 2014 23:14 Feb 14, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H507.IH H507 pamtmann on DSKBC07HB2PROD with BILLS 3 •HR 507 IH shall be increased by the amount of such excess. 1 No amount may be carried under the preceding 2 sentence to any calendar year after 2026. 3 ‘‘(3) PLACED IN SERVICE DEADLINE.—No cred- 4 it shall be determined under subsection (a) with re- 5 spect to any property which is placed in service after 6 the date that is 4 years after the date of the des- 7 ignation under this subsection relating to such prop- 8 erty. 9 ‘‘(4) SELECTION CRITERIA.—Selection criteria 10 similar to those in subsection (d)(3) shall apply, ex- 11 cept that in determining designations under this 12 subsection, the Secretary, after consultation with the 13 Secretary of Energy, shall— 14 ‘‘(A) require that applicants provide writ- 15 ten assurances to the Secretary that all laborers 16 and mechanics employed by contractors and 17 subcontractors in the performance of construc- 18 tion, alteration or repair work on a qualifying 19 advanced energy project shall be paid wages at 20 rates not less than those prevailing on projects 21 of a similar character in the locality as deter- 22 mined by the Secretary of Labor in accordance 23 with subchapter IV of chapter 31 of title 40, 24 United States Code, and 25 VerDate Sep 11 2014 23:14 Feb 14, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H507.IH H507 pamtmann on DSKBC07HB2PROD with BILLS 4 •HR 507 IH ‘‘(B) give the highest priority to projects 1 which— 2 ‘‘(i) manufacture (other than pri- 3 marily assembly of components) property 4 described in a subclause of subsection 5 (c)(1)(A)(i) (or components thereof), and 6 ‘‘(ii) have the greatest potential for 7 commercial deployment of new applica- 8 tions. 9 ‘‘(5) DISCLOSURE OF DESIGNATIONS.—Rules 10 similar to the rules of subsection (d)(5) shall apply 11 for purposes of this subsection.’’. 12 (b) CLARIFICATION WITH RESPECT TO 13 ELECTROCHROMATIC GLASS.—Section 48C(c)(1)(A)(i)(V) 14 of such Code is amended— 15 (1) by striking ‘‘and smart grid’’ and inserting 16 ‘‘, smart grid,’’ and 17 (2) by inserting ‘‘, and electrochromatic glass’’ 18 before the comma at the end. 19 (c) EFFECTIVE DATE.—The amendment made by 20 this section shall take effect on the date of the enactment 21 of this Act. 22 (d) PROGRESS REPORT.—During the 30-day period 23 ending on December 31, 2027, the Secretary of the Treas- 24 ury (or the Secretary’s delegate), after consultation with 25 VerDate Sep 11 2014 23:14 Feb 14, 2021 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H507.IH H507 pamtmann on DSKBC07HB2PROD with BILLS 5 •HR 507 IH the Secretary of Labor, shall submit a report to Congress 1 on any domestic job creation, and wages associated with 2 such jobs, and the amount of such wages paid, attributable 3 to the amendment made by this section. 4 Æ VerDate Sep 11 2014 23:14 Feb 14, 2021 Jkt 019200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6301 E:\BILLS\H507.IH H507 pamtmann on DSKBC07HB2PROD with BILLS