,i  #aae? ,,congress  #a/ ,session  ,h4 
,r4 #cgjb  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,septemb] #g1         
#bjag,mr4 ,mc,kinley 7= himself & ,mr4  
,ru%7 introduc$ ! foll[+ bill2 :i* 0    
ref]r$ to ! ,committee on ,ways & ,means
  ,a ,,bill  ,to am5d ! ,int]nal ,rev5ue
 ,code ( #aihf to provide inc5tives = ! 
expansion ( manufactur+ 9 ! ,unit$      
,/ates4  #a4 ,%ort title ,?is ,act may  
be cit$ z ! ,manufactur+ ,economic      
,recov]y ,act ( #bjag4  #b4 ,cr$it =    
acquisition ( manufactur+ prop]ty  7a7  
,9 g5]al ,subp>t ,e ( "p ,,iv ( sub*apt]
 ,a ( *apt] #a ( ! ,int]nal ,rev5ue     
,code ( #aihf 7relat+ to rules = comput+
 cr$it = inve/m5t 9 c]ta9 depreciable   
prop]ty7 is am5d$ by ins]t+ aft] section
 #dh;,d ! foll[+ new section3  #dh;,e4  
,acquisition ( manufactur+ prop]ty  7a7 
,9 g5]al ,= purposes ( section #df1 !   
manufactur+ recov]y cr$it = any taxable 
ye> is an am\nt equal to--  7#a7 !      
applicable p]c5tage ( ! taxpay]'s basis 
9 manufactur+ real prop]ty plac$ 9      

s]vice by ! taxpay] dur+ ! taxable ye>1 
&  7#b7 ! applicable p]c5tage ( !       
taxpay]'s basis 9 manufactur+ tangible  
p]sonal prop]ty plac$ 9 s]vice by !     
taxpay] dur+ ! taxable ye>4  7b7        
,applicable p]c5tages ,= purposes ( ?is 
section-- 7#a7 ,real prop]ty ,9 ! case (
 manufactur+ real prop]ty1 ! applicable 
p]c5tage is--  7,a7 #aj p]c5t 9 ! case (
 prop]ty locat$ on exi/+ manufactur+    
prop]ty1  7,b7 #ae p]c5t 9 ! case       
prop]ty ( locat$ on =m] manufactur+     
prop]ty1 &  7,c7 #bj p]c5t 9 ! case (   
prop]ty locat$ on future manufactur+    
prop]ty4  7#b7 ,tangible p]sonal prop]ty
 ,9 ! case ( manufactur+ tangible       
p]sonal prop]ty1 ! applicable p]c5tage  
%all be det]m9$ 9 accordance ) ! foll[+ 
table3  ,if ! aggregate manufactur+     
tangible p]sonal prop]ty plac$ 9 s]vice 
dur+ ! taxable ye> is3,to ! ext5t locat$
 on exi/+ manufactur+ prop]ty1 !        
applicable p]c5tage is3,to ! ext5t      
locat$ on =m] manufactur+ prop]ty1 !    
applicable p]c5tage is3,to ! ext5t      

locat$ on future manufactur+ prop]ty1 ! 
applicable p]c5tage is3  ,n ov]         
#bej1jjje p]c5t#aj p]c5t#ae p]c5t ,ov]  
#bej1jjj b n ov] #a1jjj1jjjg4e          
p]c5t#ab4e p]c5t#ag4e p]c5t ,ov]        
#a1jjj1jjjaj p]c5t#ae p]c5t#bj p]c5t4   
7#c7 ,increas$ cr$it = prop]ty locat$ 9 
economically disadvantag$ areas  7,a7 ,9
 g5]al ,if ! manufactur+ prop]ty is     
locat$ 9 an economically disadvantag$   
area1 ea* ( ! p]c5tages "u p>agraphs    
7#a7 & 7#b7 %all be increas$ by #e      
p]c5tage po9ts4  7,b7 ,extremely        
economically disadvantag$ areas ,if !   
manufactur+ prop]ty is locat$ 9 an      
extremely economically disadvantag$     
area1 ea* ( ! p]c5tages "u p>agraphs    
7#a7 & 7#b7 %all1 9 lieu ( an increase  
"u subp>agraph 7,a71 be increas$ by #aj 
p]c5tage po9ts4  7,c7 ,economically     
disadvantag$ areas ,= purposes ( ?is    
p>agraph-- 7i7 ,9 g5]al ,! t]m          
economically disadvantag$ area means any
 area--  7,i7 = :i* !re is a s+le       
#e-;digit po/al zip code1 &  7,,ii7 :i* 

includes any portion ( a c5sus tract 9  
:i* ! m$ian annual h\sehold income is   
less ?an #dj1jjj p] ye>4  7ii7          
,extremely economically disadvantag$    
areas ,! t]m extremely economically     
disadvantag$ area means any area :i*    
w\ld be describ$ 9 clause 7i7 if #cb1jjj
 7 sub/itut$ = #dj1jjj 9 subclause      
7,,ii7 !re(4  7iii7 ,h\sehold income    
,m$ian annual h\sehold income %all be   
det]m9$ us+ ! #bjaj c5sus1 z updat$ by !
 ,am]ican ,community ,survey ( ! ,bureau
 ( ! ,c5sus4  7iv7 ,areas n )9 c5sus    
tracts ,9 ! case ( an area :i* is n     
tract$ = population c5sus tracts1 !     
equival5t c\nty divisions 7z def9$ by ! 
,bureau ( ! ,c5sus = purposes ( def9+   
pov]ty areas7 %all be us$ = purposes (  
det]m9+ m$ian annual h\sehold income4   
7c7 ,manufactur+ prop]ty ,= purposes (  
?is section-- 7#a7 ,manufactur+ prop]ty 
7,a7 ,9 g5]al ,! t]m manufactur+ prop]ty
 means tangible prop]ty us$ 9 ! ,unit$  
,/ates 9 ! trade or bus9ess (           
manufactur+ tangible p]sonal prop]ty4   

7,b7 ,manufactur+ ( resid5tial real     
prop]ty n includ$ ,su* t]m does n       
include prop]ty us$ to manufacture      
resid5tial real prop]ty1 includ+ su*    
prop]ty us$ on a transi5t basis4  7#b7  
,exi/+ manufactur+ prop]ty ,! t]m exi/+ 
manufactur+ prop]ty means any prop]ty   
:i* 0 a manufactur+ facility1 or a "p ( 
a manufactur+ facility1 at any "t dur+ !
 p]iod beg9n+ #e ye>s be=e ! date ( !   
enactm5t ( ?is section & end+ on ! day  
be=e its pur*ase by ! taxpay]4  7#c7    
,=m] manufactur+ prop]ty ,! t]m =m]     
manufactur+ prop]ty means any prop]ty   
7o!r ?an an exi/+ manufactur+ prop]ty7  
:i* 0 a manufactur+ facility1 or a "p ( 
a manufactur+ facility1 at any "t be=e !
 p]iod describ$ 9 p>agraph 7#b74  7#d7  
,future manufactur+ prop]ty ,! t]m      
future manufactur+ prop]ty means any    
exi/+ or =m] manufactur+ prop]ty on :i* 
!re are no p]man5t v]tical /ructures4   
7#e7 ,manufactur+ real prop]ty ,! t]m   
manufactur+ real prop]ty means          
manufactur+ prop]ty :i* is l& or section

 #abej prop]ty 7z def9$ 9 section       
#abej7;c774  7#f7 ,manufactur+ tangible 
p]sonal prop]ty ,! t]m manufactur+      
tangible p]sonal prop]ty means          
manufactur+ prop]ty :i* is tangible     
prop]ty o!r ?an manufactur+ real        
prop]ty4  7d7 ,cr$it n all[able = c]ta9 
relocations ( manufactur+ facilities    
,?is section %all n apply to prop]ty    
acquir$ z "p ( a relocation ( a         
manufactur+ facility unless ! new       
location--  7#a7 is 9 a diff]5t ,/ate   
?an ! prior location1 or  7#b7 is m ?an 
#ajj miles f ! prior location4  7e7     
,special rules  7#a7 ,cr$it n all[able  
if rem$iation d$uction claim$ ,?is      
section %all n apply to any prop]ty     
locat$ on a site ) respect to :i* !     
taxpay] 7or a relat$ p>ty7 is all[$ a   
d$uction "u section #aih 7relat+ to     
exp5s+ ( environm5tal rem$iation co/s74 
7#b7 ,basis adju/m5t ,= purposes ( ?is  
subtitle1 if a cr$it is all[$ "u ?is    
section = an exp5diture relat$ to       
prop]ty1 ! basis ( su* prop]ty %all be  

r$uc$ by ! am\nt ( su* cr$it4  7#c7     
,controll$ gr\ps ,= purposes ( ?is      
section1 all p]sons treat$ z a s+le     
employ] "u subsection 7a7 or 7b7 (      
section #eb or subsection 7m7 or 7o7 (  
section #dad %all be treat$ z a s+le    
taxpay]4  4  7b7 ,inclusion z "p (      
inve/m5t cr$it ,section #df ( su* ,code 
is am5d$ by /rik+ & at ! end ( p>agraph 
7#e71 by /rik+ ! p]iod at ! end (       
p>agraph 7#f7 & ins]t+ 1 &1 & by add+ at
 ! end ! foll[+ new p>agraph3  7#g7 !   
manufactur+ recov]y cr$it4  4  7c7      
,con=m+ am5dm5ts  7#a7 ,section         
#di7;a77#a77;,c7 ( su* ,code is am5d$-- 
7,a7 by /rik+ #8#8&'' at ! end ( clause 
7v71  7,b7 by /rik+ ! p]iod at ! end (  
clause 7vi7 & ins]t+ #8#81 &''1 &  7,c7 
by add+ at ! end ! foll[+ new clause3   
7vii7 ! basis ( any prop]ty :i* is      
manufactur+ prop]ty "u section #dh;,e4  
4  7#b7 ,! table ( sections = subp>t ,e 
( "p ,,iv ( sub*apt] ,a ( *apt] #a ( su*
 ,code is am5d$ by ins]t+ aft] ! item   
relat+ to section #dh;,d ! foll[+ new   

item3  ,sec4 #dh;,e4 ,acquisition (     
manufactur+ prop]ty44  7d7 ,effective   
date ,! am5dm5ts made by ?is section    
%all apply to prop]ty plac$ 9 s]vice    
aft] ! date ( ! enactm5t ( ?is ,act 9   
taxable ye>s end+ aft] su* date4  #c4   
,inc5tives = hir+ manufactur+ recov]y   
employees  7a7 ,9 g5]al ,p>agraph 7#a7 (
 section #ea7;d7 ( ! ,int]nal ,rev5ue   
,code ( #aihf is am5d$ by /rik+ or at ! 
end ( subp>agraph 7,i71 by /rik+ ! p]iod
 at ! end ( subp>agraph 7,j7 & ins]t+ 1 
or1 & by add+ at ! end ! foll[+ new     
subp>agraph3  7,k7 a manufactur+ recov]y
 employee4  4  7b7 ,manufactur+ recov]y 
employee ,subsection 7d7 ( section #ea (
 su* ,code is am5d$ by add+ at ! end !  
foll[+ new p>agraph3  7#af7 ,manufactur+
 recov]y employee  7,a7 ,9 g5]al ,! t]m 
manufactur+ recov]y employee means any  
individual :o is c]tifi$ by ! designat$ 
local ag5cy z hav+ a hir+ date :i* is   
aft] ! date ( ! enactm5t ( !            
,manufactur+ ,economic ,recov]y ,act (  
#bjag & be=e ! close ( ! #c-ye> p]iod   

beg9n+ on ! date t ! employ] fir/ op]at$
 ! manufactur+ facility at :i* !        
individual is employ$4  7,b7 ,increas$  
cr$it = hir+ unemploy$ ,9 ! case ( a    
manufactur+ recov]y employee :o is      
c]tifi$ by ! designat$ local ag5cy z    
hav+ receiv$ unemploym5t comp5sation "u 
,/ate or ,f$]al law = n less ?an #d     
weeks dur+ ! #c-ye> p]iod end+ on ! hir+
 date1 subsection 7a7 %all be appli$ by 
sub/itut+ #ej p]c5t = #dj p]c5t4  7,c7  
,no cr$it = less ?an full-"t employm5t  
,an individual %all n be treat$ z a     
manufactur+ recov]y employee = any week 
dur+ :i*-- 7i7 ! individual is employ$  
by ! employ] = less ?an #ce h\rs at a   
manufactur+ facility ( ! employ]1 or    
7ii7 ! individual p]=ms less ?an #ij    
p]c5t ( individual's s]vices = ! employ]
 at ! manufactur+ facility4  7,d7       
,manufactur+ facility mu/ be 9 unit$    
/ates ,no cr$it %all be all[able by     
reason ( ?is p>agraph unless !          
manufactur+ facility is locat$ 9 !      
,unit$ ,/ates4  4  7c7 ,p]man5t cr$it = 

manufactur+ recov]y employees ,p>agraph 
7#d7 ( section #ea7;c7 ( su* ,code      
7relat+ to t]m9ation7 is am5d$ by add+  
at ! end ! foll[+3  ,! prec$+ s5t5ce    
%all n apply to any manufactur+ recov]y 
employee4 4  7d7 ,effective date ,!     
am5dm5ts made by ?is section %all apply 
to individuals :o fir/ beg9 "w = !      
employ] aft] ! date ( ! enactm5t ( ?is  
,act4