To amend the Internal Revenue Code of 1986 to allow an additional advance refunding of tax-exempt bonds issued for the purchase or maintenance of electric generation, transmission, or distribution assets.

        [Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2313 Introduced in House (IH)]

108th CONGRESS
1st Session
H. R. 2313

To amend the Internal Revenue Code of 1986 to allow an additional
advance refunding of tax-exempt bonds issued for the purchase or
maintenance of electric generation, transmission, or distribution
assets.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

June 3, 2003

Mr. Spratt introduced the following bill; which was referred to the
Committee on Ways and Means

_______________________________________________________________________

A BILL

To amend the Internal Revenue Code of 1986 to allow an additional
advance refunding of tax-exempt bonds issued for the purchase or
maintenance of electric generation, transmission, or distribution
assets.

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

SECTION 1. ADDITIONAL ADVANCE REFUNDING OF ELECTRICITY BONDS.

(a) In General.--Subsection (d) of section 149 of the Internal
Revenue Code of 1986 (relating to advance refunding) is amended by
redesignating paragraph (7) as paragraph (8) and by inserting after
paragraph (7) the following new paragraph:
``(7) Special rule for certain electricity bonds.--
``(A) General rule.--In the case of a bond
described in subparagraph (B), one additional advance
refunding after the date of the enactment of this
paragraph shall be allowed under paragraph (3)(A)(i) if
the requirements of subparagraph (C) are met.
``(B) Bond described.--A bond is described in this
subparagraph if such bond is issued as part of an issue
the net proceeds of which are used to finance the costs
of electric generation, transmission, or distribution
assets owned by the issuer or by a consortium of State
or local governments which includes the issuer and
which jointly own such assets.
``(C) Requirements.--The requirements of this
subparagraph are met with respect to any advance
refunding of a bond described in subparagraph (B) if--
``(i) no advance refundings of such bond
would be allowed under any provision of law
after the date of the enactment of this
paragraph,
``(ii) the advance refunding bond is the
only other outstanding bond with respect to the
refunded bond, and
``(iii) the requirements of section 148 are
met with respect to all bonds issued under this
subsection.
``(D) Inapplicability to certain bonds.--
Subparagraph (A) shall not apply with respect to a bond
described in section 1400L(e).''.
(b) Effective Date.--The amendment made by subsection (a) shall
apply to advance refunding bonds issued after the date of the enactment
of this Act.
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