S.Amdt. 1743

SA 1743. Mr. STEVENS submitted an amendment intended to be proposed by him to the bill H.R. 6, to reduce our Nation's dependency on foreign oil by investing in clean, renewable, and alternative energy resources, promoting new emerging energy technologies, developing greater efficiency, and creating a Strategic Energy Efficiency and Renewables Reserve to invest in alternative energy, and for other purposes; which was ordered to lie on the table; as follows:

At the appropriate place, insert the following:

SEC. __. TAX-EXEMPT TREATMENT OF CERTAIN BONDS ISSUED BY CERTAIN JOINT ACTION AGENCIES.

(a) In General.--For purposes of the Internal Revenue Code of 1986, with respect to the issuance of any bond after the date of the enactment of this Act by any joint action agency described in subsection (b), if such bond satisfies the requirements of subsection (c) then--

(1) such bond shall be treated as issued by a political subdivision for purposes of section 103 of such Code, and

(2) the sale or transmission of power by such agency to its members shall not result in such bond being treated as a private activity bond under section 141 of such Code.

(b) Agency Described.--An agency is described in this subsection if such agency is established under State law on December 1, 2000, or July 26, 2005, for the purpose of participating in the ownership, design, construction, operation, and maintenance of 1 or more generating or transmission facilities and has the powers and immunities of a public utility, and such agency's membership includes at least 1 municipal utility.

(c) Bond Requirements.--A bond issued as part of an issue satisfies the requirements of this subsection if the aggregate face amount of the bonds issued pursuant to such issue, when added to the aggregate face amount of bonds previously issued pursuant to this section by all agencies described in subsection (b), does not exceed $1,000,000,000. An agency established under State law in 2005 shall not expend any portion of the final 25 percent of that portion available to such agency of the initial authorization of $1,000,000,000 without the approval of at least 80 percent of the agency's board of directors.