A bill to amend the Internal Revenue Code of 1986 to expand eligibility for the health care tax credit to workers in certain critical industries.

II 116TH CONGRESS 2D SESSION S. 3582 To amend the Internal Revenue Code of 1986 to expand eligibility for the health care tax credit to workers in certain critical industries. IN THE SENATE OF THE UNITED STATES MARCH 25, 2020 Ms. CANTWELL (for herself, Mr. JONES, Mr. BENNET, and Ms. SINEMA) in- troduced the following bill; which was read twice and referred to the Com- mittee on Finance A BILL To amend the Internal Revenue Code of 1986 to expand eligibility for the health care tax credit to workers in certain critical industries. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. FINDINGS. 3 Congress finds the following: 4 (1) In 2018, the United States aerospace and 5 defense manufacturing industry contributed 6 2,550,000 jobs, accounted for $151,000,000,000 in 7 exports, and supported 1,670,000 supply chain jobs. 8 VerDate Sep 11 2014 18:36 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S3582.IS S3582 PAMTMANN on DSKBC07HB2PROD with BILLS 2 •S 3582 IS (2) In 2019, aerospace and defense parts man- 1 ufacturing and distribution across the United States 2 accounted for $25,400,000,000 in economic activity. 3 (3) The United States aerospace and defense 4 manufacturing industry is critical to the national 5 economy and national defense. 6 SEC. 2. EXPANSION OF ELIGIBILITY FOR HEALTH CARE TAX 7 CREDIT. 8 (a) IN GENERAL.—Paragraph (1) of section 35(c) of 9 the Internal Revenue Code of 1986 is amended by striking 10 ‘‘and’’ at the end of subparagraph (B), by striking the 11 period at the end of subparagraph (C) and inserting ‘‘, 12 and’’, and by adding at the end the following new subpara- 13 graph: 14 ‘‘(D) an eligible national defense or infra- 15 structure worker.’’. 16 (b) ELIGIBLE NATIONAL DEFENSE OR INFRASTRUC- 17 TURE WORKER.—Subsection (c) of section 35 of the Inter- 18 nal Revenue Code of 1986 is amended by adding at the 19 end the following new paragraph: 20 ‘‘(5) ELIGIBLE NATIONAL DEFENSE OR INFRA- 21 STRUCTURE WORKER.— 22 ‘‘(A) IN GENERAL.—The term ‘eligible na- 23 tional defense or infrastructure worker’ means 24 an individual who— 25 VerDate Sep 11 2014 18:36 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S3582.IS S3582 PAMTMANN on DSKBC07HB2PROD with BILLS 3 •S 3582 IS ‘‘(i) as of January 31, 2020, was em- 1 ployed in a critical industry, 2 ‘‘(ii) filed for unemployment com- 3 pensation (as defined in section 85(b)) 4 after January 31, 2020, and before the ap- 5 plicable date, and 6 ‘‘(iii) is covered under qualified health 7 insurance described in subsection 8 (e)(1)(A). 9 ‘‘(B) CRITICAL INDUSTRY.—For purposes 10 of this paragraph, the term ‘critical industry’ 11 means— 12 ‘‘(i) an industry related to critical na- 13 tional infrastructure or national defense, or 14 ‘‘(ii) a critical industry which is se- 15 verely distressed in connection with the 16 coronavirus national emergency, 17 as determined by the Secretary, including the 18 airport, air carrier (as defined in section 40102 19 of title 49, United States Code), and aerospace 20 industries. 21 ‘‘(C) APPLICABLE DATE.—For purposes of 22 this paragraph, the term ‘applicable date’ 23 means the earlier of— 24 VerDate Sep 11 2014 18:36 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S3582.IS S3582 PAMTMANN on DSKBC07HB2PROD with BILLS 4 •S 3582 IS ‘‘(i) the date which is 6 months after 1 the last day on which the coronavirus na- 2 tional emergency declaration is in effect, or 3 ‘‘(ii) January 1, 2023. 4 ‘‘(D) CORONAVIRUS NATIONAL EMER- 5 GENCY.—For purposes of this paragraph— 6 ‘‘(i) IN GENERAL.—The coronavirus 7 national emergency is the emergency with 8 respect to which the President made the 9 declarations described in clause (ii). 10 ‘‘(ii) DECLARATIONS.—The last day 11 on which the coronavirus national emer- 12 gency declaration is in effect is the later 13 of— 14 ‘‘(I) the last day on which the 15 declaration of the emergency involving 16 Federal primary responsibility deter- 17 mined to exist by the President under 18 section 501(b) of the Robert T. Staf- 19 ford Disaster Relief and Emergency 20 Assistance Act (42 U.S.C. 5191(b)) 21 with respect to coronavirus disease 22 2019 (COVID–19) is in effect; or 23 ‘‘(II) the last day on which the 24 declaration of the national emergency 25 VerDate Sep 11 2014 18:36 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S3582.IS S3582 PAMTMANN on DSKBC07HB2PROD with BILLS 5 •S 3582 IS declared by the President under the 1 National Emergencies Act (50 U.S.C. 2 1601 et seq.) with respect to 3 coronavirus disease 2019 (COVID– 4 19) is in effect.’’. 5 (c) ADVANCE PAYMENT OF CREDIT.—Paragraph (1) 6 of section 7527(d) of the Internal Revenue Code of 1986 7 is amended by striking ‘‘or’’ at the end of subparagraph 8 (A), by striking the period at the end of subparagraph 9 (B) and inserting ‘‘, or’’, and by adding at the end the 10 following new subparagraph: 11 ‘‘(C) in the case of an eligible national de- 12 fense or infrastructure worker (as defined in 13 section 35(c)(5)), is certified by the Secretary 14 (or by any other person or entity designated by 15 the Secretary) (in consultation with the Sec- 16 retary of Transportation (or any other person 17 or entity designated by such Secretary), in the 18 case of a worker in aviation- or aerospace-re- 19 lated industries).’’. 20 (d) EFFECTIVE DATE.—The amendments made by 21 this section shall apply to months beginning after January 22 31, 2020. 23 VerDate Sep 11 2014 18:36 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S3582.IS S3582 PAMTMANN on DSKBC07HB2PROD with BILLS 6 •S 3582 IS SEC. 3. EXTENSION OF CREDIT. 1 (a) IN GENERAL.—Subparagraph (B) of section 2 35(b)(1) of the Internal Revenue Code of 1986 is amended 3 by striking ‘‘January 1, 2021’’ and inserting ‘‘January 1, 4 2023’’. 5 (b) EFFECTIVE DATE.—The amendment made by 6 this section shall apply to months beginning after Decem- 7 ber 31, 2020. 8 Æ VerDate Sep 11 2014 18:36 Apr 08, 2020 Jkt 099200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6301 E:\BILLS\S3582.IS S3582 PAMTMANN on DSKBC07HB2PROD with BILLS