[House Report 111-455]
[From the U.S. Government Publishing Office]


111th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     111-455

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   PROVIDING FOR CONSIDERATION OF THE BILL (H.R. 4849) TO AMEND THE 
   INTERNAL REVENUE CODE OF 1986 TO PROVIDE TAX INCENTIVES FOR SMALL 
BUSINESS JOB CREATION, EXTEND THE BUILD AMERICA BONDS PROGRAM, PROVIDE 
    OTHER INFRASTRUCTURE JOB CREATION TAX INCENTIVES, AND FOR OTHER 
                                PURPOSES

                                _______
                                

   March 22, 2010.--Referred to the House Calendar and ordered to be 
                                printed

                                _______
                                

   Mr. Cardoza, from the Committee on Rules, submitted the following

                              R E P O R T

                      [To accompany H. Res. 1205]

    The Committee on Rules, having had under consideration 
House Resolution 1205, by a nonrecord vote, report the same to 
the House with the recommendation that the resolution be 
adopted.

                SUMMARY OF PROVISIONS OF THE RESOLUTION

    The resolution provides for consideration of H.R. 4849, the 
``Small Business and Infrastructure Jobs Tax Act of 2010,'' 
under a closed rule providing one hour of general debate in the 
House equally divided and controlled by the chairman and 
ranking minority member of the Committee on Ways and Means. The 
resolution waives all points of order against consideration of 
the bill except for clauses 9 and 10 of rule XXI. The amendment 
in the nature of a substitute recommended by the Committee on 
Ways and Means now printed in the bill, modified by the 
amendment printed in this report, shall be considered as 
adopted. The resolution waives all points of order against 
provisions of the bill, as amended. This waiver does not affect 
the point of order available under clause 9 of rule XXI 
(regarding earmark disclosure). The resolution provides that 
the bill, as amended, shall be considered as read. The 
resolution provides one motion to recommit with or without 
instructions.

                         EXPLANATION OF WAIVERS

    The waiver of all points of order against consideration of 
the bill (except those arising under clause 9 or 10 of rule 
XXI) includes a waiver of clause 4(a) of rule XIII (regarding 
availability of committee report). Although the resolution 
waives all points of order against the bill, as amended, the 
Committee is not aware of any points of order. The waiver of 
all points of order is prophylactic.

                            COMMITTEE VOTES

    The results of each record vote on an amendment or motion 
to report, together with the names of those voting for and 
against, are printed below:

Rules Committee record vote No. 397

    Date: March 22, 2010.
    Measure: H.R. 4849.
    Motion by: Mr. Dreier.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Camp (MI), #2, which would 
replace the provisions in the bill with a deduction for small 
business income. Offset by eliminating the tax benefit going to 
companies burning ``Black Liquor.''
    Results: Defeated 3-6.
    Vote by Members: McGovern--Nay; Cardoza--Nay; Arcuri--Nay; 
Perlmutter--Nay; Pingree--Nay; Polis--Nay; Dreier--Yea; 
Sessions--Yea; Foxx--Yea.

Rules Committee record vote No. 398

    Date: March 22, 2010.
    Measure: H.R. 4849.
    Motion by: Mr. Sessions.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Brady (TX), #3, which would 
strike section 301 of the bill (relating to limitation on 
treaty benefits for certain deductible payments).
    Results: Defeated 3-7.
    Vote by Members: McGovern--Nay; Matsui--Nay; Cardoza--Nay; 
Arcuri--Nay; Perlmutter--Nay; Pingree--Nay; Polis--Nay; 
Dreier--Yea; Sessions--Yea; Foxx--Yea.

Rules Committee record vote No. 399

    Date: March 22, 2010.
    Measure: H.R. 4849.
    Motion by: Mr. Sessions.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Reichert (WA), #4, which would 
extend the current 15 percent capital gains and dividends tax 
rate through December 31, 2012.
    Results: Defeated 3-7.
    Vote by Members: McGovern--Nay; Matsui--Nay; Cardoza--Nay; 
Arcuri--Nay; Perlmutter--Nay; Pingree--Nay; Polis--Nay; 
Dreier--Yea; Sessions--Yea; Foxx--Yea.

Rules Committee record vote No. 400

    Date: March 22, 2010.
    Measure: H.R. 4849.
    Motion by: Dr. Foxx.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Reichert (WA), #5, which would 
extend the current marginal income tax rates through December 
31, 2012.
    Results: Defeated 3-7.
    Vote by Members: McGovern--Nay; Matsui--Nay; Cardoza--Nay; 
Arcuri--Nay; Perlmutter--Nay; Pingree--Nay; Polis--Nay; 
Dreier--Yea; Sessions--Yea; Foxx--Yea.

           SUMMARY OF THE AMENDMENT CONSIDERED TO BE ADOPTED

    The amendment would extend the TANF Emergency Contingency 
Fund for one year. This Fund was established by the Recovery 
Act and is expiring on September 30th and currently assists 
States in providing assistance to needy families and in 
establishing or expanding subsidized jobs programs. The 
amendment also would exclude a highly corrosive waste by 
product of the paper manufacturing process, known as crude tall 
oil, from qualifying for the $1.01 per gallon cellulosic 
biofuel tax credit. The amendment would also allow the federal 
government to impose a levy on payments to Federal contractors 
that are delinquent on paying their federal taxes prior to a 
collection due process hearing. The proposal would allow the 
IRS to proceed with its levy for federal taxes earlier in the 
debt collection process, and would apply to contractors' entire 
tax liability.

           TEXT OF THE AMENDMENT TO BE CONSIDERED AS ADOPTED

  Strike section 306 and insert the following (and amend the 
table of contents accordingly):

SEC. 306. APPLICATION OF CONTINUOUS LEVY TO TAX LIABILITIES OF CERTAIN 
                    FEDERAL CONTRACTORS.

  (a) In General.--Subsection (f) of section 6330 is amended by 
striking ``or'' at the end of paragraph (2), by inserting 
``or'' at the end of paragraph (3), and by inserting after 
paragraph (3) the following new paragraph:
          ``(4) the Secretary has served a Federal contractor 
        levy,''.
  (b) Federal Contractor Levy.--Subsection (h) of section 6330 
is amended--
          (1) by striking all that precedes ``any levy in 
        connection with the collection'' and inserting the 
        following:
  ``(h) Definitions Related to Exceptions.--For purposes of 
subsection (f)--
          ``(1) Disqualified employment tax levy.--A 
        disqualified employment tax levy is'', and
          (2) by adding at the end the following new paragraph:
          ``(2) Federal contractor levy.--A Federal contractor 
        levy is any levy if the person whose property is 
        subject to the levy (or any predecessor thereof) is a 
        Federal contractor.''.
  (c) Conforming Amendment.--The heading of subsection (f) of 
section 6330 is amended by striking ``Jeopardy and State Refund 
Collection'' and inserting ``Exceptions''.
  (d) Effective Date.--The amendments made by this section 
shall apply to levies issued after December 31, 2010.

  At the end of title III, add the following (and amend the 
table of contents accordingly):

SEC. 309. CRUDE TALL OIL INELIGIBLE FOR CELLULOSIC BIOFUEL PRODUCER 
                    CREDIT.

  (a) In General.--Section 40(B)(6)(E) of the Internal Revenue 
Code of 1986 is amended by adding at the end the following new 
clause:
                          ``(iv) Exclusion of certain processed 
                        fuels with a high acid content.--The 
                        term `cellulosic biofuel' shall not 
                        include any processed fuel with an acid 
                        number greater than 25. For purposes of 
                        the preceding sentence, the term 
                        `processed fuel' means any fuel other 
                        than a fuel--
                                  ``(I) more than 4 percent of 
                                which (determined by weight) is 
                                any combination of water and 
                                sediment, or
                                  ``(II) the ash content of 
                                which is more than 1 percent 
                                (determined by weight).''.
  (b) Effective Date.--The amendment made by this section shall 
apply to fuels sold or used on or after January 1, 2010.

SEC. 310. TIME FOR PAYMENT OF CORPORATE ESTIMATED TAXES.

  (a) Shift From 2015 to 2014.--The percentage under paragraph 
(1) of section 202(b) of the Corporate Estimated Tax Shift Act 
of 2009 in effect on the date of the enactment of this Act is 
increased by 4.5 percentage points.
  (b) Shift From 2016 to 2015.--The percentage under paragraph 
(2) of section 561 of the Hiring Incentives to Restore 
Employment Act in effect on the date of the enactment of this 
Act is increased by 3.5 percentage points.
  (c) Shift From 2020 to 2019.--The percentage under paragraph 
(3) of section 561 of the Hiring Incentives to Restore 
Employment Act in effect on the date of the enactment of this 
Act is increased by 1.25 percentage points.

  At the end of the bill, add the following (and amend the 
table of contents accordingly):

 TITLE IV--EXTENSION OF EMERGENCY CONTINGENCY FUND FOR STATE TEMPORARY 
                 ASSISTANCE FOR NEEDY FAMILIES PROGRAMS

SEC. 401. 1-YEAR EXTENSION OF THE EMERGENCY CONTINGENCY FUND FOR STATE 
                    TEMPORARY ASSISTANCE FOR NEEDY FAMILIES PROGRAMS.

  (a) In General.--Section 403(c) of the Social Security Act 
(42 U.S.C. 603(c)) is amended--
          (1) in paragraph (2)(A), by inserting ``, and for 
        fiscal year 2011, $2,500,000,000'' before ``for 
        payment'';
          (2) by striking paragraph (2)(B) and inserting the 
        following:
                  ``(B) Availability and use of funds.--
                          ``(i) Fiscal years 2009 and 2010.--
                        The amounts appropriated to the 
                        Emergency Fund under subparagraph (A) 
                        for fiscal year 2009 shall remain 
                        available through fiscal year 2010 and 
                        shall be used to make grants to States 
                        in each of fiscal years 2009 and 2010 
                        in accordance with the requirements of 
                        paragraph (3).
                          ``(ii) Fiscal year 2011.--Subject to 
                        clause (iii), the amounts appropriated 
                        to the Emergency Fund under 
                        subparagraph (A) for fiscal year 2011 
                        shall remain available through fiscal 
                        year 2012 and shall be used to make 
                        grants to States based on expenditures 
                        in fiscal year 2011 for benefits and 
                        services provided in fiscal year 2011 
                        in accordance with the requirements of 
                        paragraph (3).
                          ``(iii) Reservation of funds.--Of the 
                        amounts appropriated to the Emergency 
                        Fund under subparagraph (A) for fiscal 
                        year 2011, $500,000 shall be placed in 
                        reserve for use in fiscal year 2012, 
                        and shall be used to award grants for 
                        any expenditures described in this 
                        subsection incurred by States after 
                        September 30, 2011.'';
          (3) in paragraph (2)(C), by striking ``2010'' and 
        inserting ``2012'';
          (4) in paragraph (3)--
                  (A) in clause (i) of each of subparagraphs 
                (A), (B), and (C)--
                          (i) by striking ``year 2009 or 2010'' 
                        and inserting ``years 2009 through 
                        2011'';
                          (ii) by striking ``and'' at the end 
                        of subclause (I);
                          (iii) by striking the period at the 
                        end of subclause (II) and inserting ``; 
                        and''; and
                          (iv) by adding at the end the 
                        following:
                                  ``(III) if the quarter is in 
                                fiscal year 2011, has provided 
                                the Secretary with such 
                                information as the Secretary 
                                may find necessary in order to 
                                make the determinations, or 
                                take any other action, 
                                described in paragraph 
                                (5)(C).''; and
                  (B) in subparagraph (C), by adding at the end 
                the following:
                          ``(iv) Limitation on expenditures for 
                        subsidized employment.--An expenditure 
                        for subsidized employment shall be 
                        taken into account under clause (ii) 
                        only if the expenditure is used to 
                        subsidize employment for--
                                  ``(I) a member of a needy 
                                family (without regard to 
                                whether the family is receiving 
                                assistance under the State 
                                program funded under this 
                                part); or
                                  ``(II) an individual who has 
                                exhausted (or, within 60 days, 
                                will exhaust) all rights to 
                                receive unemployment 
                                compensation under Federal and 
                                State law, and who is a member 
                                of a needy household 
                                (regardless of whether the 
                                household includes a child).'';
          (5) by striking paragraph (5) and inserting the 
        following:
          ``(5) Limitations on payments; adjustment 
        authority.--
                  ``(A) Fiscal years 2009 and 2010.--The total 
                amount payable to a single State under 
                subsection (b) and this subsection for fiscal 
                years 2009 and 2010 combined shall not exceed 
                50 percent of the annual State family 
                assistance grant.
                  ``(B) Fiscal year 2011.--Subject to 
                subparagraph (C), the total amount payable to a 
                single State under subsection (b) and this 
                subsection for fiscal year 2011 shall not 
                exceed 30 percent of the annual State family 
                assistance grant.
                  ``(C) Adjustment authority.--If the Secretary 
                determines that the Emergency Fund is at risk 
                of being depleted before September 30, 2011, or 
                that funds are available to accommodate 
                additional State requests under this 
                subsection, the Secretary may, through program 
                instructions issued without regard to the 
                requirements of section 553 of title 5, United 
                States Code--
                          ``(i) specify priority criteria for 
                        awarding grants to States during fiscal 
                        year 2011; and
                          ``(ii) adjust the percentage 
                        limitation applicable under 
                        subparagraph (B) with respect to the 
                        total amount payable to a single State 
                        for fiscal year 2011.''; and
          (6) in paragraph (6), by inserting ``or for 
        expenditures described in paragraph (3)(C)(iv)'' before 
        the period.
  (b) Conforming Amendments.--Section 2101 of division B of the 
American Recovery and Reinvestment Act of 2009 (Public Law 111-
5) is amended--
          (1) in subsection (a)(2)--
                  (A) by striking ``2010'' and inserting 
                ``2011''; and
                  (B) by striking all that follows ``repealed'' 
                and inserting a period; and
          (2) in subsection (d)(1), by striking ``2010'' and 
        inserting ``2011''.
  (c) Program Guidance.--The Secretary of Health and Human 
Services shall issue program guidance, without regard to the 
requirements of section 553 of title 5, United States Code, 
which ensures that the funds provided under the amendments made 
by this section for subsidized employment do not support any 
subsidized employment position the annual salary of which is 
greater than, at State option--
          (1) 200 percent of the poverty line (within the 
        meaning of section 673(2) of the Omnibus Budget 
        Reconciliation Act of 1981, including any revision 
        required by such section 673(2)) for a family of 4; or
          (2) the median wage in any jurisdiction operating a 
        program with funds provided pursuant to the amendments.