,,ii  #aac? ,,congress  #b;d ,session   
,s4 #ahii  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,janu>y #i1 #bjad,ms4  
,klobu*> 7= h]self1 ,mr4 ,hoev51 & ,mr4 
,johnson ( ,s\? ,dakota7 introduc$ !    
foll[+ bill2 :i* 0 read twice & ref]r$  
to ! ,committee on ,f9ance  ,a ,,bill   
,to am5d ! ,int]nal ,rev5ue ,code (     
#aihf to provide a consum] r5ewable     
cr$it = a utility t sells r5ewable p[]1 
& = o!r purposes4  #a4 ,consum]         
,r5ewable ,cr$it  7a7 ,bus9ess cr$it    
7#a7 ,9 g5]al ,subp>t ,d ( "p ,,iv (    
sub*apt] ,a ( *apt] #a ( ! ,int]nal     
,rev5ue ,code ( #aihf is am5d$ by add+  
at ! end ! foll[+ new section3  #de,s4  
,consum] r5ewable cr$it  7a7 ,g5]al rule
 ,= purposes ( section #ch1 9 ! case (  
an eligible taxpay]1 ! consum] r5ewable 
cr$it = any taxable ye> is an am\nt     
equal to ! product (-- 7#a7 ! r5ewable  
portfolio factor ( su* eligible taxpay]1
 &  7#b7 subject to subsection 7e71 !   
numb] ( kil[att h\rs ( r5ewable         
electricity-- 7,a7 pur*as$ or produc$ by

 su* taxpay]1 &  7,b7 sold by su*       
taxpay] to a retail cu/om] dur+ !       
taxable ye>4  7b7 ,r5ewable portfolio   
factor ,9 ! case ( taxable ye>s beg9n+  
be=e ,janu>y #a1 #bjai1 ! r5ewable      
portfolio factor = an eligible taxpay]  
%all be det]m9$ z foll[s3 ,r5ewable     
electricity p]c5tage3,r5ewable portfolio
 factor3,less ?an #f p]c5tz]o cents,at  
lea/ #f p]c5t b less ?an #h p]c5t#j4a   
cents,at lea/ #h p]c5t b less ?an #ab   
p]c5t#j4b cents,at lea/ #ab p]c5t b less
 ?an #af p]c5t#j4c cents,at lea/ #af    
p]c5t b less ?an #bj p]c5t#j4d cents,at 
lea/ #bj p]c5t b less ?an #bd p]c5t#j4e 
cents,equal to or great] ?an #bd        
p]c5t#j4f c5ts4  7c7 ,def9itions &      
special rules ,= purposes ( ?is         
section-- 7#a7 ,eligible taxpay] ,! t]m 
eligible taxpay] means an electric      
utility1 z def9$ 9 section #c7bb7 ( !   
,f$]al ,p[] ,act 7#af ,u4,s4,c4         
#gif7bb774  7#b7 ,r5ewable electricity  
,! t]m r5ewable electricity means       
electricity g5]at$ by any facility us+  

w9d or sol> en]gy to g5]ate su*         
electricity4  7#c7 ,r5ewable electricity
 p]c5tage ,! t]m r5ewable electricity   
p]c5tage means ! p]c5tage ( an eligible 
taxpay]'s total sales ( electricity to  
retail cu/om]s :i* is d]iv$ f r5ewable  
electricity 7det]m9$ )\t reg>d to :e!r  
su* electricity 0 produc$ by ! taxpay]74
  7#d7 ,application ( o!r rules ,=      
purposes ( ?is section1 rules simil> to 
! rules ( p>agraphs 7#a71 7#c71 & 7#e7 (
 section #de7;e7 %all apply4  7#e7      
,cr$it all[$ only ) respect to "o       
eligible entity ,no cr$it %all be all[$ 
"u subsection 7a7 ) respect to r5ewable 
electricity pur*as$ f ano!r eligible    
entity if a cr$it has be5 all[$ "u ?is  
section to su* o!r eligible entity4  7d7
 ,coord9ation ) paym5ts ,! am\nt ( !    
cr$it det]m9$ "u ?is section ) respect  
to any electricity %all be r$uc$ to take
 into acc\nt any paym5t provid$ )       
respect to su* electricity solely by    
reason ( ! application ( section #fdcc4 
7e7 ,r5ewable electricity enhancem5t    

7#a7 ,native ,am]ican w9d & sol> ,9 !   
case ( r5ewable electricity g5]at$ by a 
w9d or sol> en]gy facility :i* is locat$
 on an ,indian res]vation 7z def9$ 9    
section #afh7;j77#f771 ! numb] ( kil[att
 h\rs ( su* r5ewable electricity %all1 =
 purposes ( subsection 7a77#b71 be equal
 to #bjj p]c5t ( ! kil[att h\rs ( su*   
r5ewable electricity actually pur*as$ or
 produc$ & sold dur+ ! taxable ye>4     
7#b7 ,electric coop]ative w9d & sol> ,9 
! case ( r5ewable electricity g5]at$ by 
a w9d or sol> en]gy facility :i* is     
:olly own$ by a mutual or coop]ative    
electric company 7z describ$ 9 section  
#eja7;c77#ab7 or #acha7;a77#b77;,c771 ! 
numb] ( kil[att h\rs ( su* r5ewable     
electricity %all1 = purposes (          
subsection 7a77#b71 be equal to #aej    
p]c5t ( ! kil[att h\rs ( su* r5ewable   
electricity actually pur*as$ or produc$ 
& sold dur+ ! taxable ye>4  4  7#b7     
,cr$it made "p ( g5]al bus9ess cr$it    
,subsection 7b7 ( section #ch ( !       
,int]nal ,rev5ue ,code ( #aihf is am5d$ 

by /rik+ plus at ! end ( p>agraph 7#ce71
 by /rik+ ! p]iod at ! end ( p>agraph   
7#cf7 & ins]t+ 1 plus1 & by add+ at !   
end ! foll[+ new p>agraph3  7#cg7 !     
consum] r5ewable cr$it det]m9$ "u       
section #de,s7a74  4  7#c7 ,specifi$    
cr$it ,subp>agraph 7,b7 ( section       
#ch7;c77#d7 ( ! ,int]nal ,rev5ue ,code (
 #aihf is am5d$ by r$esignat+ clauses   
7vii7 ?r\gh 7ix7 z clauses 7viii7 ?r\gh 
7x71 respectively1 & by ins]t+ aft]     
clause 7v7 ! foll[+ new clause3  7vi7 ! 
cr$it det]m9$ "u section #de,s4  4  7#d7
 ,cl]ical am5dm5t ,! table ( sections = 
subp>t ,d ( "p ,,iv ( sub*apt] ,a (     
*apt] #a ( ! ,int]nal ,rev5ue ,code (   
#aihf is am5d$ by add+ at ! end ! foll[+
 new item3  ,sec4 #de,s4 ,consum]       
r5ewable cr$it4  4  7b7 ,paym5ts 9 lieu 
( cr$it  7#a7 ,9 g5]al ,sub*apt] ,b (   
*apt] #fe ( ! ,int]nal ,rev5ue ,code (  
#aihf is am5d$ by add+ at ! end ! foll[+
 new section3  #fdcc4 ,consum] r5ewable 
cr$it paym5ts  7a7 ,9 g5]al ,if any     
eligible p]son sells r5ewable           

electricity to a retail cu/om]1 !       
,secret>y %all pay 7)\t int]e/7 to any  
su* p]son :o elects to receive a paym5t 
an am\nt equal to ! product (-- 7#a7 !  
int]mitt5t r5ewable portfolio factor (  
su* eligible p]son1 &  7#b7 ! numb] (   
kil[att h\rs ( r5ewable electricity--   
7,a7 pur*as$ or produc$ by su* p]son1 & 
7,b7 sold by su* p]son 9 ! trade or     
bus9ess ( su* p]son to a retail cu/om]4 
7b7 ,tim+ ( paym5ts  7#a7 ,9 g5]al      
,except z provid$ 9 p>agraph 7#b71 rules
 simil> to ! rules ( section            
#fdbg7;i77#a7 %all apply = purposes (   
?is section4  7#b7 ,qu>t]ly paym5ts     
7,a7 ,9 g5]al ,if1 at ! close ( any     
qu>t] ( ! taxable ye> ( any p]son 7or1 9
 ! case ( an eligible p]son t does n h a
 taxable ye>1 ! close ( any qu>t] ( !   
fiscal ye>71 at lea/ #gej is payable 9 !
 aggregate "u subsection 7a71 to su*    
p]son ) respect to electricity pur*as$  
or produc$ dur+-- 7i7 su* qu>t]1 or     
7ii7 any prior qu>t] 7= :i* no o!r claim
 has be5 fil$7 dur+ su* ye>1  a claim   

may be fil$ "u ?is section ) respect to 
su* electricity4  7,b7 ,"t = fil+ claim 
,no claim fil$ "u ?is p>agraph %all be  
all[$ unless fil$ on or be=e ! la/ day (
 ! fir/ qu>t] foll[+ ! e>lie/ qu>t]     
includ$ 9 ! claim4  7c7 ,def9itions &   
special rules ,= purposes ( ?is         
section-- 7#a7 ,eligible p]son ,! t]m   
eligible p]son means-- 7,a7 an electric 
utility1 z def9$ 9 section #c7bb7 ( !   
,f$]al ,p[] ,act 7#af ,u4,s4,c4         
#gif7bb771 or  7,b7 a ,f$]al p[] m>ket+ 
ag5cy1 z def9$ 9 section #c7ai7 ( su*   
,act 7#af ,u4,s4,c4 #gif7ai774  7#b7    
,o!r def9itions ,any t]m us$ 9 ?is      
section :i* is also us$ 9 section #de,s 
%all h ! mean+ giv5 su* t]m "u section  
#de,s4  7#c7 ,application ( o!r rules ,=
 purposes ( ?is section1 rules simil> to
 ! rules ( p>agraphs 7#a7 & 7#c7 (      
section #de7;e7 %all apply4  7d7 ,paym5t
 disall[$ unless am\nt pass$ to         
?ird-,p>ty g5]ators *>g$ = integration  
co/s  7#a7 ,9 g5]al ,9 ! case ( r5ewable
 electricity eligible = ! paym5t "u     

subsection 7a7 t is pur*as$ & n produc$ 
by an eligible p]son1 no paym5t %all be 
made "u ?is section unless any *>ge !   
eligible p]son has assess$ ! sell] to   
recov] ! integration co/s associat$ )   
su* electricity has be5 r$uc$ 7b n bel[ 
z]o7 to ! ext5t ( ! paym5t receiv$ "u   
subsection 7a7 associat$ ) su*          
electricity4  7#b7 ,def9itions ,=       
purposes ( p>agraph 7#a71 *>ges int5d$  
to recov] integration co/s d n include  
am\nts paid by ! produc] ( ! electricity
 = int]connection facilities1           
di/ribution upgrades1 network upgrades1 
or /& alone network upgrades z ^? t]ms h
 be5 def9$ by ! ,f$]al ,en]gy           
,regulatory ,commission 9 its ,/&>d     
,int]connection ,proc$ures4  7e7 ,paym5t
 all[$ = special g5]at+ & transmitt+    
entities  7#a7 ,9 g5]al ,not)/&+        
subsection 7a77#b71 a special g5]at+ &  
transmitt+ entity %all be eligible =    
paym5t "u subsection 7a7 bas$ on ! numb]
 ( kil[att h\rs ( r5ewable electricity  
transmitt$1 reg>dless ( :e!r su* entity 

pur*as$ or sold su* electricity to      
retail cu/om]s4  7#b7 ,def9ition ,=     
purposes ( ?is subsection1 ! t]m special
 g5]at+ & transmitt+ entity means-- 7,a7
 an entity :i* is-- 7i7 prim>ily engag$ 
9 m>ket+ electricity1  7ii7 provides    
transmissions s]vices = great] ?an      
#d1jjj megawatts ( r5ewable electricity 
g5]at+ facilities1 z det]m9$ by ref]5ce 
to ! ma*9e or nameplate capacity !re(1 &
  7iii7 transmits ! majority ( su*      
r5ewable electricity to cu/om]s locat$  
outside ( ! region t x s]ves1 or  7,b7 a
 g5]ation & transmission coop]ative :i* 
engages prim>ily 9 provid+ :olesale     
electric s]vices to its memb]s 7g5]ally 
consi/+ ( di/ribution coop]atives74  4  
7#b7 ,cl]ical am5dm5t ,! table (        
sections = subp>t ,b ( *apt] #fe ( !    
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by add+ at ! end ! foll[+ new item3     
,sec4 #fdcc4 ,consum] r5ewable cr$it    
paym5ts4  4  7c7 ,effective date ,!     
am5dm5ts made by ?is section %all apply 
to electricity produc$ or pur*as$ & sold

 aft] ,decemb] #ca1 #bjac1 & be=e       
,janu>y #a1 #bjai4  #b4 ,delay 9        
application ( worldwide int]e/  7a7 ,9  
g5]al ,p>agraphs 7#e77;,d7 & 7#f7 (     
section #hfd7;f7 ( ! ,int]nal ,rev5ue   
,code ( #aihf are ea* am5d$ by /rik+    
8,decemb] #ca1 #bjbj0 & ins]t+ 8,decemb]
 #ca1 #bjbb04  7b7 ,effective date ,!   
am5dm5ts made by ?is section %all take  
effect on ! date ( ! enactm5t ( ?is     
,act4