SA 3583. Mr. SUNUNU (for himself and Mr. GREGG) submitted an amendment intended to be proposed by him to the bill H.R. 2419, to provide for the continuation of agricultural programs through fiscal year 2012, and for other purposes; which was ordered to lie on the table; as follows:

At the appropriate place, insert the following:
SEC. X. CREDIT FOR BIOMASS FUEL PROPERTY EXPENDITURES.
(a) Allowance of Credit.--Subsection (a) of section 25D, as amended by this Act, is amended--
(1) by striking ``and'' at the end of paragraph (3),
(2) by striking the period at the end of paragraph (4) and inserting ``, and'', and
(3) by adding at the end the following new paragraph:
``(5) 30 percent of the qualified biomass fuel property expenditures made by the taxpayer during such year.''.
(b) Maximum Credit.--Paragraph (1) of section 25D(b), as amended by this Act, is amended--
(1) by striking ``and'' at the end of subparagraph (C),
(2) by striking the period at the end of subparagraph (D) and inserting ``, and'', and
(3) by adding at the end the following new subparagraph:
``(E) $4,000 with respect to any qualified biomass fuel property expenditures.''.
(c) Maximum Expenditures.--Subparagraph (A) of section 25D(e)(4), as amended by this Act, is amended--
(1) by striking ``and'' at the end of clause (iii),
(2) by striking the period at the end of clause (iv) and inserting ``, and'', and
(3) by adding at the end the following new clause:
``(v) $6,667 in the case of any qualified biomass fuel property expenditures.''.
(d) Qualified Biomass Fuel Property Expenditures.--Subsection (d) of section 25D, as amended by this Act, is amended by adding at the end the following new paragraph:
``(5) QUALIFIED BIOMASS FUEL PROPERTY EXPENDITURE.--
``(A) IN GENERAL.--The term `qualified biomass fuel property expenditure' means an expenditure for property--
``(i) which uses the burning of biomass fuel to heat a dwelling unit located in the United States and used as a residence by the taxpayer, or to heat water for use in such a dwelling unit, and
``(ii) which has a thermal efficiency rating of at least 75 percent.
``(B) BIOMASS FUEL.--For purposes of this section, the term `biomass fuel' means any plant-derived fuel available on a renewable or recurring basis, including agricultural crops and trees, wood and wood waste and residues (including wood pellets), plants (including aquatic plants), grasses, residues, and fibers.''.
(e) Termination.--Section 25D(g), relating to termination, is amended to read as follows:
``(g) Termination.--
``(1) IN GENERAL.--Except as provided in paragraph (2), the credit allowed under this section shall not apply to property placed in service after December 31, 2008.
``(2) EXCEPTION.--The credit allowed under this section by reason of subsection (a)(5) shall not apply to property placed in service after December 31, 2012.''.
(f) Effective Date.--The amendments made by this section shall apply to expenditures paid or incurred in taxable years beginning after December 31, 2007.


(As printed in the Congressional Record for the Senate on Nov 8, 2007.)