Home > 106th Congressional Bills > S. 2580 (rs) To provide for the issuance of bonds to provide funding for the construction of schools of the Bureau of Indian Affairs of the Department of the Interior, and for other purposes. [Reported in Senate] ...

S. 2580 (rs) To provide for the issuance of bonds to provide funding for the construction of schools of the Bureau of Indian Affairs of the Department of the Interior, and for other purposes. [Reported in Senate] ...

Web GovRecords.org

  2d Session
                                S. 2580

  To amend the Internal Revenue Code of 1986 to provide an income tax 
 credit to holders of bonds financing new communications technologies, 
                        and for other purposes.



                             June 24, 2004

 Mrs. Clinton introduced the following bill; which was read twice and 
                  referred to the Committee on Finance


                                 A BILL

  To amend the Internal Revenue Code of 1986 to provide an income tax 
 credit to holders of bonds financing new communications technologies, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,


    This Act may be cited as the ``Technology Bond Initiative of 


    Congress finds the following:
            (1) Access to high-speed Internet is as important to 21st 
        Century businesses as access to the railroads and interstate 
        highways was to businesses of the last century.
            (2) Up to one-third of the United States population lacks 
        access to high-speed Internet.
            (3) Companies without access to high-speed Internet are 
        unable to meet their market potential, just as a community 
        cannot prosper if it doesn't have high quality roads and 
            (4) Technology bonds would provide incentives to State and 
        local governments to partner with the private sector to expand 
        broadband deployment in their communities, especially 
        underserved urban and rural areas.


    (a) In General.--Part IV of subchapter A of chapter 1 of the 
Internal Revenue Code of 1986 (relating to credits against tax) is 
amended by adding at the end the following new subpart:

 ``Subpart H--Nonrefundable Credit for Holders of Qualified Technology 

``Sec. 54. Credit to holders of qualified technology bonds.


    ``(a) Allowance of Credit.--In the case of a taxpayer who holds a 
qualified technology bond on a credit allowance date of such bond which 
occurs during the taxable year, there shall be allowed as a credit 
against the tax imposed by this chapter for such taxable year the 
amount determined under subsection (b).
    ``(b) Amount of Credit.--
            ``(1) In general.--The amount of the credit determined 
        under this subsection with respect to any qualified technology 
        bond is the amount equal to the product of--
                    ``(A) the credit rate determined by the Secretary 
                under paragraph (2) for the month in which such bond 
                was issued, multiplied by
                    ``(B) the face amount of the bond held by the 
                taxpayer on the credit allowance date.
            ``(2) Determination.--During each calendar month, the 
        Secretary shall determine a credit rate which shall apply to 
        bonds issued during the following calendar month. The credit 
        rate for any month is the percentage which the Secretary 
        estimates will permit the issuance of qualified technology 
        bonds without discount and without interest cost to the issuer.
    ``(c) Limitation Based on Amount of Tax.--The credit allowed under 
subsection (a) for any taxable year shall not exceed the excess of--
            ``(1) the sum of the regular tax liability (as defined in 
        section 26(b)) plus the tax imposed by section 55, over
            ``(2) the sum of the credits allowable under this part 
        (other than this subpart and subpart C).
    ``(d) Qualified Technology Bond.--For purposes of this part--
            ``(1) In general.--The term `qualified technology bond' 
        means any bond issued as part of an issue if--
                    ``(A) 95 percent of more of the proceeds of such 
                issue are to be used for any or a series of qualified 
                    ``(B) the bond is issued by a State or local 
                government within the jurisdiction of which such 
                project is located,
                    ``(C) the issuer designates such bond for purposes 
                of this section,
                    ``(D) certifies that it has obtained the written 
                approval of the Secretary of Commerce for such project, 
                    ``(E) the term of each bond which is part of such 
                issue does not exceed 15 years.
            ``(2) Qualified project.--
                    ``(A) In general.--The term `qualified project' 
                means a project--
                            ``(i) to expand broadband 
                        telecommunications services in an area within 
                        the jurisdiction of a State or local 
                            ``(ii) which is nominated by such State or 
                        local government for a designation as a 
                        qualified project, and
                            ``(iii) which the Secretary of Commerce, 
                        after consultation with the Secretary of 
                        Housing and Urban Development designates as a 
                        qualified project or a series of qualified 
                    ``(B) Designation preferences.--With respect to 
                designations under this section, preferences shall be 
                given to--
                            ``(i) nominations of projects involving 
                        underserved urban or rural areas lacking access 
                        to high-speed Internet connections, and
                            ``(ii) nominations reflecting partnerships 
                        and comprehensive planning between State and 
                        local governments and the private sector.
    ``(e) Limitation on Amount of Bonds Designated.--
            ``(1) National limitation.--There is a national technology 
        bond limitation for each calendar year. Such limitation is 
        $100,000,000 for 2005, 2006, 2007, 2008, and 2009, and, except 
        as provided in paragraph (4), zero thereafter.
            ``(2) Allocation of limitation.--The national technology 
        bond limitation for a calendar year shall be allocated by the 
        Secretary among the qualified projects designated for such 
            ``(3) Designation subject to limitation amount.--The 
        maximum aggregate face amount of bonds issued during any 
        calendar year which may be designated under subsection (d)(1) 
        with respect to any qualified project shall not exceed the 
        limitation amount allocated to such project under paragraph (2) 
        for such calendar year.
            ``(4) Carryover of unused limitation.--If for any calendar 
                    ``(A) the national technology limitation amount, 
                    ``(B) the amount of bonds issued during such year 
                which are designated under subsection (d)(1) with 
                respect to qualified projects,
        the national technology limitation amount for the following 
        calendar year shall be increased by the amount of such excess.
    ``(f) Other Definitions.--For purposes of this subpart--
            ``(1) Bond.--The term `bond' includes any obligation.
            ``(2) Credit allowance date.--The term `credit allowance 
        date' means, with respect to any issue, the last day of the 1-
        year period beginning on the date of issuance of such issue and 
        the last day of each successive 1-year period thereafter.
            ``(3) State.--The term `State' means the several States and 
        the District of Columbia.
    ``(g) Credit Included in Gross Income.--Gross income includes the 
amount of the credit allowed to the taxpayer under this section 
(determined without regard to subsection (c)) and the amount so 
included shall be treated as interest income.
    ``(h) Other Special Rules.--
            ``(1) Partnership; s corporation; and other pass-thru 
        entities.--Under regulations prescribed by the Secretary, in 
        the case of a partnership, trust, S corporation, or other pass-
        thru entity, rules similar to the rules of section 41(g) shall 
        apply with respect to the credit allowable under subsection 
            ``(2) Bonds held by regulated investment companies.--If any 
        qualified technology bond is held by a regulated investment 
        company, the credit determined under subsection (a) shall be 
        allowed to shareholders of such company under procedures 
        prescribed by the Secretary.
            ``(3) Treatment for estimated tax purposes.--Solely for 
        purposes of sections 6654 and 6655, the credit allowed by this 
        section to a taxpayer by reason of holding a qualified 
        technology bond on a credit allowance date shall be treated as 
        if it were a payment of estimated tax made by the taxpayer on 
        such date.
            ``(4) Reporting.--Issuers of qualified technology bonds 
        shall submit reports similar to the reports required under 
        section 149(e).''.
    (b) Reporting.--Subsection (d) of section 6049 of the Internal 
Revenue Code of 1986 (relating to returns regarding payments of 
interest) is amended by adding at the end the following new paragraph:
            ``(8) Reporting of credit on qualified technology bonds.--
                    ``(A) In general.--For purposes of subsection (a), 
                the term `interest' includes amounts includible in 
                gross income under section 54(g) and such amounts shall 
                be treated as paid on the credit allowance date (as 
                defined in section 54(f)(2)).
                    ``(B) Reporting to corporations, etc.--Except as 
                otherwise provided in regulations, in the case of any 
                interest described in subparagraph (A) of this 
                paragraph, subsection (b)(4) of this section shall be 
                applied without regard to subparagraphs (A), (H), (I), 
                (J), (K), and (L)(i).
                    ``(C) Regulatory authority.--The Secretary may 
                prescribe such regulations as are necessary or 
                appropriate to carry out the purposes of this 
                paragraph, including regulations which require more 
                frequent or more detailed reporting.''.
    (c) Clerical Amendments.--
            (1) The table of subparts for part IV of subchapter A of 
        chapter 1 of the Internal Revenue Code of 1986 is amended by 
        adding at the end the following new item:

        ``Subpart H. Nonrefundable Credit for Holders of Qualified 
                            Technology Bonds.''.
            (2) Section 6401(b)(1) of such Code is amended by striking 
        ``and G'' and inserting ``G, and H''.
    (d) Effective Date.--The amendments made by this section shall 
apply to obligations issued after December 31, 2004.

Pages: 1

Other Popular 106th Congressional Bills Documents:

1 S. 2784 (is) Entitled ``Santa Rosa and San Jacinto Mountains National Monument Act of 2000''. [Introduced in Senate] ...
2 H.Res. 424 (ih) Providing for the consideration of the bill H.R. 1753 and the Senate amendments thereto. [Introduced in House] ...
3 S. 2406 (is) To amend the Immigration and Nationality Act to provide permanent authority for entry into the United States of certain religious workers. [Introduced in Senate] ...
4 S.Res. 272 (rs) Expressing the sense of the Senate that the United States should remain [Reported in Senate] ...
5 S.Res. 251 (ats) Designating March 25, 2000, as ``Greek Independence Day: A National Day of Celebration of Greek and American Democracy''. [Agreed to Senate] ...
6 S. 1059 (pwh) To authorize appropriations for fiscal year 2000 for military ...
7 S. 89 (is) To state the policy of the United States with respect to certain activities of the People's Republic of China, to impose certain restrictions and limitations on activities of and with respect to the People's Republic of China, and for other pur...
8 H.R. 4578 (pp) Making appropriations for the Department of the Interior and related agencies for the fiscal year ending September 30, 2001, and for other purposes. [Public Print] ...
9 H.R. 1386 (ih) To amend the Internal Revenue Code of 1986 to exclude from gross income gain on the sale of a family farming business to a family member. [Introduced in House] ...
10 H.R. 607 (ih) To amend the Internal Revenue Code of 1986 to treat distributions from publicly traded partnerships as qualifying income of regulated investment companies, and for other purposes. [Introduced in House] ...
11 H.R. 2621 (ih) To amend the Public Health Service Act to provide for the establishment of a pediatric research initiative. [Introduced in House] ...
12 H.R. 3388 (ih) To promote environmental restoration around the Lake Tahoe basin. [Introduced in House] ...
13 S. 1331 (is) To give Lincoln County, Nevada, the right to purchase at fair market value certain public land in the county. [Introduced in Senate] ...
14 S. 1807 (is) To provide for increased access to airports in the United Kingdom by United States air carriers, and for other purposes. [Introduced in Senate] ...
15 H.R. 5651 (ih) To convey certain Federal lands to the Commonwealth of Puerto Rico, and for other purposes. [Introduced in House] ...
16 H.R. 5193 (ih) To amend the National Housing Act to temporarily extend the applicability of the downpayment simplification provisions for the FHA single family housing mortgage insurance program. [Introduced in House] ...
17 H.R. 3967 (ih) To suspend temporarily the duty on end use products containing 3-(6- methoxy-4-methyl-1,3,5-triazin-2-yl)-1-[2-(2-chloro-ethoxy)- phenylsulfonyl]-urea. [Introduced in House] ...
18 H.R. 3147 (ih) To amend title 5, United States Code, to alleviate the pay-compression problem affecting members of the Senior Executive Service and other senior-level Federal employees, and for other purposes. [Introduced in House] ...
19 S. 1275 (is) To authorize the Secretary of the Interior to produce and sell products and to sell publications relating to the Hoover Dam, and to deposit revenues generated from the sales into the Colorado River Dam fund. [Introduced in Senate] %%Filename:...
20 S. 769 (is) To provide a final settlement on certain debt owed by the city of Dickinson, North Dakota, for construction of the bascule gates on the Dickinson Dam. [Introduced in Senate] ...
21 S. 1910 (is) To amend the Act establishing Women's Rights National Historical Park to permit the Secretary of the Interior to acquire title in fee simple to the Hunt House located in Waterloo, New York. [Introduced in Senate] ...
22 H.Res. 73 (eh) [Engrossed in House] ...
23 S. 167 (is) To extend the authorization for the Upper Delaware Citizens Advisory Council and to authorize construction and operation of a visitor center for the Upper Delaware Scenic and Recreational River, New York and Pennsylvania. [Introduced in Senate...
24 H.R. 1299 (ih) To provide a safety net for farmers through reform of the marketing [Introduced in House] ...
25 S. 2311 (is) To revise and extend the Ryan White CARE Act programs under title XXVI [Introduced in Senate] ...
26 H.R. 1487 (rh) To provide for public participation in the declaration of national monuments under the Act popularly known as the Antiquities Act of 1906. [Reported in House] ...
27 H.R. 1564 (ih) To require the Secretary of the Interior to conduct a study regarding Fort King, Florida. [Introduced in House] ...
28 H.R. 4425 (enr) Making appropriations for military construction, family housing, and base realignment and closure for the Department of Defense for the fiscal year ending September 30, 2001, and for other purposes. [Enrolled bill] ...
29 H.R. 4761 (ih) To designate the existing visitor's center building located within the boundaries of the Valley Forge National Historical Park at Route 23 and North Gulph Road in Valley Forge, Pennsylvania, as the ``Richard T. Schulze Visitor's Center''. [...
30 H.Res. 48 (ih) Expressing the sense of the House of Representatives that the Congress [Introduced in House] ...

Other Documents:

106th Congressional Bills Records and Documents

GovRecords.org presents information on various agencies of the United States Government. Even though all information is believed to be credible and accurate, no guarantees are made on the complete accuracy of our government records archive. Care should be taken to verify the information presented by responsible parties. Please see our reference page for congressional, presidential, and judicial branch contact information. GovRecords.org values visitor privacy. Please see the privacy page for more information.
House Rules:

104th House Rules
105th House Rules
106th House Rules

Congressional Bills:

104th Congressional Bills
105th Congressional Bills
106th Congressional Bills
107th Congressional Bills
108th Congressional Bills

Supreme Court Decisions

Supreme Court Decisions


1995 Privacy Act Documents
1997 Privacy Act Documents
1994 Unified Agenda
2004 Unified Agenda

Congressional Documents:

104th Congressional Documents
105th Congressional Documents
106th Congressional Documents
107th Congressional Documents
108th Congressional Documents

Congressional Directory:

105th Congressional Directory
106th Congressional Directory
107th Congressional Directory
108th Congressional Directory

Public Laws:

104th Congressional Public Laws
105th Congressional Public Laws
106th Congressional Public Laws
107th Congressional Public Laws
108th Congressional Public Laws

Presidential Records

1994 Presidential Documents
1995 Presidential Documents
1996 Presidential Documents
1997 Presidential Documents
1998 Presidential Documents
1999 Presidential Documents
2000 Presidential Documents
2001 Presidential Documents
2002 Presidential Documents
2003 Presidential Documents
2004 Presidential Documents

Home Executive Judicial Legislative Additional Reference About Privacy