To amend the Internal Revenue Code of 1986 to eliminate big oil and gas company tax loopholes, and to use the resulting increase in revenues to reduce the deficit and to invest in energy efficiency and conservation.

SA 4318. Mr. SANDERS (for himself, Mr. Whitehouse, and Mr. Wyden)
submitted an amendment intended to be

[[Page S4754]]

proposed to amendment SA 4301 proposed by Mr. Baucus to the bill H.R.
4213, to amend the Internal Revenue Code of 1986 to extend certain
expiring provisions, and for other purposes; which was ordered to lie
on the table; as follows:

At the end of subtitle D of title IV, insert the following:

SEC. --. REPEAL OF EXPENSING AND 60-MONTH AMORTIZATION OF
INTANGIBLE DRILLING COSTS.

Subsection (c) of section 263 is amended by striking the
period at the end of the third sentence and inserting ``, or
to any costs paid or incurred after December 31, 2010.''.

SEC. --. REPEAL OF PERCENTAGE DEPLETION FOR OIL AND GAS
WELLS.

(a) In General.--Section 613 is amended by adding at the
end the following new subsection:
``(f) Termination of Percentage Depletion for Oil and Gas
Properties.--In the case of oil and gas properties, this
section shall not apply to any taxable year beginning after
December 31, 2010.''.
(b) Limitations on Percentage Depletion in Case of Oil and
Gas Wells.--Section 613A is amended by adding at the end the
following new subsection:
``(f) Termination.--This section shall not apply to any
taxable year beginning after December 31, 2010.''.

SEC. --. DENIAL OF DEDUCTION FOR INCOME ATTRIBUTABLE TO
DOMESTIC PRODUCTION OF OIL, NATURAL GAS, OR
PRIMARY PRODUCTS THEREOF.

(a) In General.--Subparagraph (B) of section 199(c)(4) is
amended by striking ``or'' at the end of clause (ii), by
striking the period at the end of clause (iii) and inserting
``, or'', and by inserting after clause (iii) the following
new clause:
``(iv) the production, refining, processing,
transportation, or distribution of oil, natural gas, or any
primary product thereof.''.
(b) Primary Product.--Section 199(c)(4)(B) is amended by
adding at the end the following flush sentence:

``For purposes of clause (iv), the term `primary product' has
the same meaning as when used in section 927(a)(2)(C), as in
effect before its repeal.''.
(c) Conforming Amendments.--
(1) Section 199(c)(4) is amended--
(A) in subparagraph (A)(i)(III) by striking ``electricity,
natural gas,'' and inserting ``electricity'', and
(B) in subparagraph (B)(ii) by striking ``electricity,
natural gas,'' and inserting ``electricity''.
(2) Section 199(d) is amended by striking paragraph (9) and
by redesignating paragraph (10) as paragraph (9).
(d) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2010.

SEC. --. APPROPRIATION OF FUNDS.

Out of any funds in the Treasury not otherwise
appropriated, there is appropriated to the Energy Efficiency
and Conservation Block Grant Program, under subtitle E of the
Energy Independence and Security Act of 2007, $2,000,000,000
for each of fiscal years 2011, 2012, 2013, 2014, and 2015.
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