,i #aacth ,,congress #ast ,session ,h4 ,r4 #ghi ,,in ,,the ,,house ,,of ,,representatives ,february #ae1 #bjac ,mr4 ,neal 7for himself1 ,mr4 ,levin1 ,mr4 ,rangel1 ,mr4 ,mc,dermott1 ,mr4 ,lewis1 ,mr4 ,becerra1 ,mr4 ,thompson of ,california1 ,mr4 ,larson of ,connecticut1 ,mr4 ,blumenauer1 ,mr4 ,kind1 ,mr4 ,pascrell1 ,mr4 ,crowley1 ,ms4 ,schwartz1 ,mr4 ,danny ,k4 ,davis of ,illinois1 and ,ms4 ,linda ,t4 ,snchez of ,california7 introduced the following bill2 which was referred to the ,committee on ,ways and ,means ,a ,,bill ,to amend the ,internal ,revenue ,code of #aihf to permanently extend the tax treatment for certain build ,america bonds1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,build ,america ,bonds ,act of #bjac4 #b4 ,build ,america ,bonds made permanent 7a7 ,in general ,subparagraph 7,b7 of section #ed;,,aa7d77#a7 of the ,internal ,revenue ,code of #aihf is amended by inserting or during a period beginning on or after the date of the enactment of the ,build ,america ,bonds ,act of #bjac1 after ,january #a1 #bjaa14 7b7 ,reduction in credit percentage to bondholders ,subsection 7b7 of section #ed;,,aa of such ,code is amended to read as follows3 7b7 ,amount of credit 7#a7 ,in general ,the amount of the credit determined under this subsection with respect to any interest payment date for a build ,america bond is the applicable percentage of the amount of interest payable by the issuer with respect to such date4 7#b7 ,applicable percentage ,for purposes of paragraph 7#a71 the applicable percentage shall be determined under the following table3 ,in the case of a bond issued,the applicable during calendar year3percentage is3 #bjji or #bjajce #bjaccb #bjadca #bjaecj #bjafbi #bjag and thereafter#bh4 4 7c7 ,extension of payments to issuers 7#a7 ,in general ,section #fdca of such ,code is amended-- 7,a7 by inserting or during a period beginning on or after the date of the enactment of the ,build ,america ,bonds ,act of #bjac1 after ,january #a1 #bjaa1 in subsection 7a71 and 7,b7 by striking before ,january #a1 #bjaa in subsection 7f77#a77;,b7 and inserting during a particular period4 7#b7 ,conforming amendments ,subsection 7g7 of section #ed;,,aa of such ,code is amended-- 7,a7 by inserting or during a period beginning on or after the date of the enactment of the ,build ,america ,bonds ,act of #bjac1 after ,january #a1 #bjaa11 and 7,b7 by striking qualified bonds issued before #bjaa in the heading and inserting certain qualified bonds4 7d7 ,reduction in percentage of payments to issuers ,subsection 7b7 of section #fdca of such ,code is amended-- 7#a7 by striking ,the ,secretary and inserting the following3 7#a7 ,in general ,the ,secretary 1 7#b7 by striking #ce percent and inserting the applicable percentage1 and 7#c7 by adding at the end the following new paragraph3 7#b7 ,applicable percentage ,for purposes of this subsection1 the term applicable percentage means the percentage determined in accordance with the following table3 ,in the case of a qualified bond ,the applicable issued during calendar year3percentage is3 #bjji or #bjajce #bjaccb #bjadca #bjaecj #bjafbi #bjag and thereafter#bh4 4 7e7 ,current refundings permitted ,subsection 7g7 of section #ed;,,aa of such ,code is amended by adding at the end the following new paragraph3 7#c7 ,treatment of current refunding bonds 7,a7 ,in general ,for purposes of this subsection1 the term qualified bond includes any bond 7or series of bonds7 issued to refund a qualified bond if-- 7i7 the average maturity date of the issue of which the refunding bond is a part is not later than the average maturity date of the bonds to be refunded by such issue1 7ii7 the amount of the refunding bond does not exceed the outstanding amount of the refunded bond1 and 7iii7 the refunded bond is redeemed not later than #ij days after the date of the issuance of the refunding bond4 7,b7 ,applicable percentage ,in the case of a refunding bond referred to in subparagraph 7,a71 the applicable percentage with respect to such bond under section #fdca7;b7 shall be the lowest percentage specified in paragraph 7#b7 of such section4 7,c7 ,determination of average maturity ,for purposes of subparagraph 7,a77i71 average maturity shall be determined in accordance with section #adg7;b77#b77;,a74 7,d7 ,issuance restriction not applicable ,subsection 7d77#a77;,b7 shall not apply to a refunding bond referred to in subparagraph 7,a74 4 7f7 ,clarification related to levees and flood control projects ,subparagraph 7,a7 of section #ed;,,aa7g77#b7 of such ,code is amended by inserting 7including capital expenditures for levees and other flood control projects7 after capital expenditures4 7g7 ,gross-,up of payment to issuers in case of sequestration ,in the case of any payment under section #fdca7;b7 of the ,internal ,revenue ,code of #aihf made after the date of the enactment of this ,act to which sequestration applies1 the amount of such payment shall be increased to an amount equal to-- 7#a7 such payment 7determined before such sequestration71 multiplied by 7#b7 the quotient obtained by dividing #a by the amount by which #a exceeds the percentage reduction in such payment pursuant to such sequestration4 ,for purposes of this subsection1 the term sequestration means any reduction in direct spending ordered in accordance with a sequestration report prepared by the ,director of the ,office and ,management and ,budget pursuant to the ,balanced ,budget and ,emergency ,deficit ,control ,act of #aihe or the ,statutory ,pay-,as-,you-,go ,act of #bjaj4 7h7 ,effective date ,the amendments made by this section shall apply to obligations issued on or after the date of the enactment of this ,act4