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US HR3861

US HR3861
Carbon Capture Improvement Act of 2019


summary

Introduced
07/19/2019
In Committee
07/19/2019
Crossed Over
Passed
Dead
12/31/2020

Introduced Session

116th Congress

Bill Summary

To amend the Internal Revenue Code of 1986 to provide for the issuance of exempt facility bonds for qualified carbon dioxide capture facilities. This bill authorizes the issuance of tax-exempt facility bonds for the financing of qualified carbon dioxide capture facilities. A "qualified carbon dioxide capture facility" is any equipment installed in an industrial carbon dioxide facility that satisfies specified capture and storage requirements and (1) is used for the capture, treatment and purification, compression, transportation, or on-site storage of carbon dioxide produced by the industrial carbon dioxide facility; or (2) is integral or functionally related and subordinate to a gasification process that converts a product from coal, petroleum residue, biomass, or other materials which are recovered for their energy or feedstock value into a synthesis gas composed primarily of carbon dioxide and hydrogen for direct use or subsequent chemical or physical conversion.

AI Summary

This bill authorizes the issuance of tax-exempt facility bonds to finance "qualified carbon dioxide capture facilities." These facilities are defined as equipment installed in industrial carbon dioxide facilities that is used for the capture, treatment, compression, transportation, or on-site storage of carbon dioxide produced by the industrial facility. The bill sets a requirement that the eligible components of these facilities must have a capture and storage percentage of at least 65%, with an exception allowing a lower percentage if the bond financing is proportionately reduced. The bill also clarifies that the sale of carbon dioxide produced by these facilities owned by a governmental unit will not constitute private business use for tax-exempt bond purposes.

Committee Categories

Budget and Finance

Sponsors (5)

Last Action

Referred to the House Committee on Ways and Means. (on 07/19/2019)

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