[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 3181 Introduced in Senate (IS)]
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116th CONGRESS
2d Session
S. 3181
To amend the Internal Revenue Code of 1986 to expand the new markets
tax credit to assist Native American communities, and for other
purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
January 9, 2020
Ms. Murkowski (for herself, Mr. Schatz, Ms. Hirono, and Mr. Sullivan)
introduced the following bill; which was read twice and referred to the
Committee on Finance
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to expand the new markets
tax credit to assist Native American communities, and for other
purposes.
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 ``Inspiring Nationally Vibrant
Economies Sustaining Tribes Act of 2020'' or the ``INVEST Act''.
SEC. 2. EXPANSION OF NEW MARKETS TAX CREDIT.
(a) Low-Income Community.--Paragraph (1) of section 45D(e) of the
Internal Revenue Code of 1986 is amended to read as follows:
``(1) Definition.--
``(A) In general.--The term `low-income community'
means--
``(i) any population census tract if--
``(I) the poverty rate for such
tract is at least 20 percent, or
``(II)(aa) in the case of a tract
not located within a metropolitan area,
the median family income for such tract
does not exceed 80 percent of statewide
median family income, or
``(bb) in the case of a tract
located within a metropolitan area, the
median family income for such tract
does not exceed 80 percent of the
greater of statewide median family
income or the metropolitan area median
family income,
``(ii) any trust land (as defined at
section 3765 of title 38, United States Code),
``(iii) any land within a township that
encloses all or part of a Native village (as
defined in section 3(c) of the Alaska Native
Claims Settlement Act (43 U.S.C. 1602(c)), or
``(iv) any land that is part or all of a
Tribal designated statistical area associated
with an Indian tribe as defined by the Census
Bureau for the purposes of the most recent
decennial census.
``(B) Median family income.--Subclause (II) of
subparagraph (A)(i) shall be applied using
possessionwide median family income in the case of
census tracts located within a possession of the United
States.''.
(b) Allocation of National Limitation.--
(1) In general.--Section 45D(f)(2) of the Internal Revenue
Code of 1986 is amended by striking ``shall give priority to''
and all that follows and inserting ``shall--
``(A) give priority to any entity--
``(i) with a record of having successfully
provided capital or technical assistance to
disadvantaged businesses or communities or to
Indian tribes or Native American communities,
or
``(ii) which intends to satisfy the
requirement under subsection (b)(1)(B) by
making qualified low-income community
investments in 1 or more businesses in which
persons unrelated to such entity (within the
meaning of section 267(b) or 707(b)(1)) hold
the majority equity interest, and
``(B) ensure that not less than 10 percent of such
limitation is allocated to qualified Indian community
development entities for investments that primarily
serve low-income communities described in clauses (ii),
(iii), and (iv) of subsection (e)(1)(A).''.
(2) Qualified indian community development entity.--Section
45D(f) of such Code is amended by adding at the end the
following new paragraph:
``(4) Qualified indian community development entity.--For
purposes of paragraph (2)(B), the term `qualified Indian
community development entity' means any qualified community
development entity which is--
``(A) at least 51 percent owned and controlled by
an Indian tribe (as defined in section 4(e) of the
Indian Self-Determination and Education Assistance Act
(25 U.S.C. 5304(e)), or
``(B) a Native community development financial
institution (as defined in section 103 of the Community
Development Banking and Financial Institutions Act of
1994 (12 U.S.C. 4702)).''.
(c) Effective Date.--The amendments made by this section shall
apply to calendar years beginning after December 31, 2020.
SEC. 3. NATIVE COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS.
(a) Definition of a Native Community Development Financial
Institution.--Section 103 of the Community Development Banking and
Financial Institutions Act of 1994 (12 U.S.C. 4702) is amended--
(1) by redesignating paragraphs (18) through (21) as
paragraphs (19) through (22), respectively; and
(2) by inserting after paragraph (17) the following:
``(18) Native community development financial
institution.--
``(A) In general.--The term `Native community
development financial institution' means a community
development financial institution--
``(i) the activities of which not less than
51 percent serve Native Americans; or
``(ii) that is not less than 51 percent
owned or controlled Native Americans.
``(B) Native americans.--In this paragraph, the
term `Native Americans' has the meaning given the term
in section 3765 of title 38, United States Code.''.
(b) Assistance for Native Community Development Financial
Institutions.--Section 108(a) of the Community Development Banking and
Financial Institutions Act of 1994 (12 U.S.C. 4707(a)) is amended by
adding at the end the following:
``(5) Assistance for native community development financial
institutions.--The Fund shall provide financial assistance,
technical assistance, and training to build the capacity of
Native community development financial institutions.''.
SEC. 4. TECHNICAL ASSISTANCE PILOT PROGRAM.
(a) In General.--The Secretary of the Interior, acting through the
Assistant Secretary for Indian Affairs, shall--
(1) establish a program to provide technical assistance to
qualified Indian community development entities (as defined in
section 45D of the Internal Revenue Code of 1986) with respect
to the process for applications for allocations of the new
markets tax credit under section 45D of the Internal Revenue
Code of 1986; and
(2) work with the Director of the Community Development
Financial Institutions Fund to provide assistance to qualified
Indian community development entities to improve the
competitiveness of applications for such allocations.
(b) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary of the Interior to carry out this section
$500,000 for each of fiscal years 2021 through 2025.
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