[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1268 Introduced in House (IH)]
113th CONGRESS
1st Session
H. R. 1268
To amend the Internal Revenue Code of 1986 to provide a credit for
qualified flood mitigation expenses incurred with respect to certain
residences for which the chargeable premium rate under the national
flood insurance program is increasing and to provide increased funding
for mitigation programs.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 19, 2013
Mr. Palazzo introduced the following bill; which was referred to the
Committee on Ways and Means, and in addition to the Committees on
Transportation and Infrastructure, Financial Services, and Energy and
Commerce, for a period to be subsequently determined by the Speaker, in
each case for consideration of such provisions as fall within the
jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to provide a credit for
qualified flood mitigation expenses incurred with respect to certain
residences for which the chargeable premium rate under the national
flood insurance program is increasing and to provide increased funding
for mitigation programs.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Flood Mitigation Expense Relief Act
of 2013''.
SEC. 2. CREDIT FOR CERTAIN QUALIFIED FLOOD MITIGATION EXPENSES.
(a) In General.--Subpart B of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986 is amended by adding at the end
the following new section:
``SEC. 30E. QUALIFIED FLOOD MITIGATION EXPENSES.
``(a) In General.--In the case of a qualified taxpayer, there shall
be allowed as a credit against the tax imposed by this chapter for the
taxable year an amount equal to the qualified flood mitigation expenses
paid or incurred by the taxpayer for the taxable year.
``(b) Limitations.--The amount allowed as a credit under subsection
(a) for a taxable year shall not exceed $5,000.
``(c) Qualified Taxpayer.--
``(1) In general.--For purposes of this section, the term
`qualified taxpayer' means taxpayer who--
``(A) is the holder of a policy for flood insurance
coverage under the national flood insurance program
under the National Flood Insurance Act of 1968 (42
U.S.C. 4011 et seq.), and
``(B) owns property--
``(i) which is covered by such policy for
flood insurance coverage under which the
chargeable premium rate as of the date of the
enactment of the Biggert-Waters Flood Insurance
Reform Act of 2012 (title II of division F of
Public Law 112-141) is less than the applicable
estimated risk premium rate under section
1307(a)(1) of the National Flood Insurance Act
of 1968 (42 U.S.C. 4014(a)(1)) for the area (or
subdivision thereof) in which the property is
located,
``(ii) for which such chargeable premium
rate was increased or will increase, as a
result of any provision of the Biggert-Waters
Flood Insurance Reform Act of 2012, to the
applicable estimated risk premium rate under
such section 1307(a)(1) for such area (or
subdivision), and
``(iii) which--
``(I) has an elevation lower than
the base flood elevation, as determined
by the applicable flood insurance rate
map, or
``(II) is located in an area that,
after the date of the enactment of the
Biggert-Waters Flood Insurance Reform
Act of 2012, has been designated as
having a higher flood risk than the
flood risk designated for the area as
of such date of enactment.
``(2) Business employers must be small.--
``(A) In general.--In the case of a taxpayer which
is a trade or business, for purposes of this section
the term `qualified taxpayer' shall not include any
taxpayer which employed an average of more than 50
employees on business days during such taxable year.
``(B) Controlled groups.--For purposes of
subparagraph (A), all persons treated as a single
employer under subsection (a) or (b) of section 52 or
subsection (m) or (o) of section 414 shall be treated
as a single employer.
``(d) Qualified Flood Mitigation Expenses.--The term `qualified
flood mitigation expenses' shall have the meaning given such term by
the Administrator of the Federal Emergency Management Agency.
``(e) Partnership, S Corporations, and Other Pass-Thru Entities.--
In the case of a partnership, trust, S corporation, or other pass-thru
entity, the credit and limitations contained in this section shall be
determined at the entity level.
``(f) Application With Other Credits.--
``(1) Business credit treated as part of general business
credit.--So much of the credit which would be allowed under
subsection (a) for any taxable year (determined without regard
to this subsection) that is determined with respect to property
of a character subject to an allowance for depreciation shall
be treated as a credit listed in section 38(b) for such taxable
year (and not allowed under subsection (a)).
``(2) Personal credit.--For purposes of this title, the
credit allowed under subsection (a) for any taxable year
(determined after application of paragraph (1)) shall be
treated as a credit allowable under subpart C for such taxable
year.
``(g) Termination.--Subsection (a) shall not apply to any amount
paid or incurred after December 31, 2022.''.
(b) Conforming Amendments.--
(1) Section 38(b) of the Internal Revenue Code of 1986 is
amended by striking ``plus'' at the end of paragraph (35), by
striking the period at the end of section (36) and inserting
``, plus'', and by inserting after paragraph (36) the following
new paragraph:
``(37) the portion of the credit for qualified flood
mitigation expenses to which section 30E(f)(1) applies.''.
(2) Section 1324(b)(2) of title 31, United States Code, is
amended by inserting ``30E(f)(2),'' after ``25A,''.
(3) The table of sections for subpart B of part IV of
subchapter A of chapter 1 of the Internal Revenue Code of 1986
is amended by adding at the end the following new item:
``Sec. 30E. Qualified flood mitigation expenses.''.
(c) Effective Date.--The amendments made by this section shall
apply to amounts paid or incurred after December 31, 2012.
SEC. 3. INCREASED FUNDING FOR MITIGATION PROGRAMS.
(a) Authorization of Appropriations.--There are authorized to be
appropriated to the Administrator of the Federal Emergency Management
Agency--
(1) $100,000,000 for carrying out the predisaster hazard
mitigation program authorized by section 203 of the Robert T.
Stafford Disaster Relief and Emergency Assistance Act (42
U.S.C. 5133); and
(2) $100,000,000 for carrying out the flood mitigation
assistance program authorized by section 1366 of the National
Flood Insurance Act of 1969 (42 U.S.C. 4104c), which shall
remain available until expended.
(b) Use of Funds.--In carrying out the programs specified in
subsection (a) using the amounts made available to the Administrator
under this section, the Administrator shall ensure that such amounts
are used as follows:
(1) Activities.--Such amounts may be used only for--
(A) mitigation activities under such programs for
properties eligible pursuant to paragraph (2); and
(B) acquisition by States and communities of
properties eligible pursuant to paragraph (2).
(2) Properties.--Such amounts may be used only with respect
to properties that--
(A) are located in an area for which revised flood
insurance rate maps under the national flood insurance
program take effect after the date of the enactment of
the Biggert-Waters Flood Insurance Reform Act of 2012
(subtitle A of title II of division F of Public Law
112-141; 126 Stat. 916); and
(B)(i) have an elevation that is lower than the
base flood elevation for the area in which the property
is located, as determined by the applicable such flood
insurance rate map; or
(ii) are located in an area that, after the date of
the enactment of the Biggert-Waters Flood Insurance
Reform Act of 2012, has been designated as having a
higher flood risk than the flood risk designated for
the area as of such date of enactment.
SEC. 4. REPEAL OF ENERGY STAR PROGRAM.
The Energy Star program of the United States Department of Energy
and the United States Environmental Protection Agency is hereby
terminated and any appropriation or amount otherwise made available for
such program which is not obligated or expended as of the date of the
enactment of this Act is hereby rescinded.
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