S T A T E O F N E W Y O R K
________________________________________________________________________
2520--B
2013-2014 Regular Sessions
I N S E N A T E
January 18, 2013
___________
Introduced by Sens. MAZIARZ, CARLUCCI, DILAN, LARKIN, MARCELLINO,
RANZENHOFER, RITCHIE, YOUNG -- read twice and ordered printed, and
when printed to be committed to the Committee on Energy and Telecommu-
nications -- reported favorably from said committee and committed to
the Committee on Finance -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee --
recommitted to the Committee on Energy and Telecommunications in
accordance with Senate Rule 6, sec. 8 -- committee discharged, bill
amended, ordered reprinted as amended and recommitted to said commit-
tee
AN ACT to amend the public service law and the tax law, in relation to
creating the clean fuel and job creation tax credit to incentivize
power plants to repower existing facilities or construct new facili-
ties which use cleaner burning fuels or add significant pollution
control technologies
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The public service law is amended by adding a new section
73 to read as follows:
S 73. COORDINATION WITH CERTAIN PROVISIONS OF THE TAX LAW. THE DEPART-
MENT MAY REQUEST FROM THE DEPARTMENT OF TAXATION AND FINANCE A LIST OF
ELECTRIC GENERATING FACILITIES THAT HAVE BEEN GRANTED A CLEAN FUEL AND
JOB CREATION TAX CREDIT AS SUCH CREDIT IS DESCRIBED IN SECTION FORTY-ONE
OF THE TAX LAW. THE LIST SHALL INCLUDE THE STREET ADDRESS AND COUNTY OF
THE FACILITY RECEIVING THE CREDIT, A DESCRIPTION OF THE PROJECT TO WHICH
THE CREDIT RELATES, THE AMOUNT OF THE CREDIT, AND THE TAX YEAR FOR WHICH
THE CREDIT WAS GRANTED.
S 2. The tax law is amended by adding a new section 41 to read as
follows:
S 41. CLEAN FUEL AND JOB CREATION TAX CREDIT. (A) ALLOWANCE OF CREDIT.
A TAXPAYER SUBJECT TO TAX UNDER ARTICLE NINE, NINE-A OR TWENTY-TWO OF
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05917-04-3
S. 2520--B 2
THIS CHAPTER, WHICH IS AN ELECTRIC GENERATING FACILITY, SHALL BE ALLOWED
A CREDIT AGAINST SUCH TAX, PURSUANT TO THE PROVISIONS REFERENCED IN
SUBDIVISION (C) OF THIS SECTION. THE CREDIT SHALL BE ALLOWED FOR
CERTAIN INVESTMENTS MADE BY ANY MAJOR ELECTRIC GENERATING FACILITY IN
THE STATE SUCH AS REPOWERING PROJECTS, QUALIFIED ENERGY INFRASTRUCTURE
INVESTMENTS, AND QUALIFIED NEW CONSTRUCTION PROJECTS AS DESCRIBED IN
THIS SECTION. THE CREDIT SHALL BE AS FOLLOWS:
(1) TWELVE AND ONE-HALF PERCENT OF THE FIRST ONE HUNDRED MILLION
DOLLARS IN INVESTMENT;
(2) FIFTEEN PERCENT OF THE NEXT ONE HUNDRED MILLION DOLLARS IN INVEST-
MENT OR PORTION THEREOF; AND
(3) TWENTY PERCENT OF THE TOTAL INVESTMENT OVER AND ABOVE TWO HUNDRED
MILLION DOLLARS.
(B) DEFINITIONS. AS USED IN THIS SECTION, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
(1) "REPOWERING PROJECT" SHALL MEAN IMPROVEMENTS TO AN EXISTING MAJOR
ELECTRIC GENERATING FACILITY THAT WILL ALLOW THE FACILITY, OR A NEW UNIT
OR UNITS AT THE FACILITY, OR THE COMBINATION OF THE NEW UNIT OR UNITS
AND THE FACILITY TO MEET THE RELEVANT ENVIRONMENTAL REQUIREMENTS
CONTAINED IN SUBPARAGRAPHS (I), (II), (III) AND (IV) OF PARAGRAPH (B) OF
SUBDIVISION FOUR OF SECTION ONE HUNDRED SIXTY-FIVE OF THE PUBLIC SERVICE
LAW.
(2) "QUALIFIED ENERGY INFRASTRUCTURE INVESTMENT" SHALL MEAN ANY
INVESTMENT NEEDED TO DELIVER A NEW FUEL SOURCE TO AN EXISTING ELECTRIC
GENERATING FACILITY, REPLACE OR RETROFIT A BURNER OR TURBINE, UTILIZE
ON-SITE RENEWABLE ENERGY GENERATION, OR ANY OTHER SUBSTANTIAL INVESTMENT
THAT WILL HAVE A DIRECT IMPACT ON THE FACILITY'S ABILITY TO MEET THE
ENVIRONMENTAL REQUIREMENTS CONTAINED IN SUBPARAGRAPHS (I), (II), (III)
AND (IV) OF PARAGRAPH (B) OF SUBDIVISION FOUR OF SECTION ONE HUNDRED
SIXTY-FIVE OF THE PUBLIC SERVICE LAW.
(3) "QUALIFIED NEW CONSTRUCTION PROJECT" SHALL MEAN CONSTRUCTING A NEW
MAJOR ELECTRIC GENERATING FACILITY IN THE SAME LOCATION AS AN EXISTING
FACILITY OR ON PROPERTY DIRECTLY ADJACENT OR CONTIGUOUS TO SAID PROPER-
TY, WHERE THE NEW FACILITY BY ITSELF OR IN COMBINATION WITH THE EXISTING
FACILITY WILL ALLOW THE SITE AS A WHOLE TO MEET THE ENVIRONMENTAL
REQUIREMENTS CONTAINED IN SUBPARAGRAPHS (I), (II), (III) AND (IV) OF
PARAGRAPH (B) OF SUBDIVISION FOUR OF SECTION ONE HUNDRED SIXTY-FIVE OF
THE PUBLIC SERVICE LAW.
(4) "MAJOR ELECTRIC GENERATING FACILITY" SHALL MEAN A MAJOR ELECTRIC
GENERATING FACILITY AS DEFINED IN SECTION ONE HUNDRED SIXTY OF THE
PUBLIC SERVICE LAW.
(C) A MAJOR ELECTRIC GENERATING FACILITY WHICH UNDERTAKES A REPOWERING
PROJECT, A QUALIFIED ENERGY INFRASTRUCTURE INVESTMENT, A QUALIFIED NEW
CONSTRUCTION PROJECT, OR OTHER INVESTMENT IN POLLUTION CONTROL EQUIPMENT
OR ADDITIONAL ENERGY INFRASTRUCTURE WITH THE GOAL OF MEETING RELEVANT
ENVIRONMENTAL REQUIREMENTS SHALL BE ALLOWED TO CLAIM A CREDIT UNDER THIS
SECTION.
S 3. The tax law is amended by adding a new section 187-t to read as
follows:
S 187-T. CLEAN FUEL AND JOB CREATION TAX CREDIT. (A) ALLOWANCE OF
CREDIT. A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED
IN SECTION FORTY-ONE OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY
SECTIONS ONE HUNDRED EIGHTY-THREE AND ONE HUNDRED EIGHTY-FOUR OF THIS
ARTICLE.
(B) APPLICATION OF CREDIT. IN NO EVENT SHALL THE CREDIT UNDER THIS
SECTION BE ALLOWED IN AN AMOUNT WHICH WILL REDUCE THE TAX PAYABLE TO
S. 2520--B 3
LESS THAN THE APPLICABLE MINIMUM TAX FIXED BY SECTION ONE HUNDRED EIGHT-
Y-THREE OR ONE HUNDRED EIGHTY-FOUR OF THIS ARTICLE. IF, HOWEVER, THE
AMOUNT OF CREDIT ALLOWABLE UNDER THIS SECTION FOR ANY TAXABLE YEAR
REDUCES THE TAX TO SUCH AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN
SUCH TAXABLE YEAR MAY BE CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND
MAY BE DEDUCTED FROM THE TAXPAYER'S TAX FOR SUCH YEAR OR YEARS.
S 4. Section 210 of the tax law is amended by adding a new subdivision
48 to read as follows:
48. CLEAN FUEL AND JOB CREATION TAX CREDIT. (A) ALLOWANCE OF CREDIT. A
TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN
SECTION FORTY-ONE OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS ARTI-
CLE.
(B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION
FOR ANY TAXABLE YEAR MAY NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
THAN THE AMOUNT PRESCRIBED IN PARAGRAPH (D) OF SUBDIVISION ONE OF THIS
SECTION. HOWEVER, IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS SUBDIVISION
FOR ANY TAXABLE YEAR REDUCES THE TAX TO SUCH AMOUNT, ANY AMOUNT OF CRED-
IT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR WILL BE TREATED AS AN OVER-
PAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE
PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER. PROVIDED,
HOWEVER, THE PROVISIONS OF SUBSECTION (C) OF SECTION ONE THOUSAND EIGHT-
Y-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO INTEREST WILL BE PAID THERE-
ON.
S 5. Subsections (yy) and (zz) of section 606 of the tax law, as
relettered by section 5 of part H of chapter 1 of the laws of 2003, are
relettered subsections (yyy) and (zzz) and a new subsection (xx) is
added to read as follows:
(XX) CLEAN FUEL AND JOB CREATION TAX CREDIT. (1) ALLOWANCE OF CREDIT.
A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN
SECTION FORTY-ONE OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS ARTI-
CLE.
(2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
THIS SUBSECTION FOR ANY TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
YEAR, THE EXCESS WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED
OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX HUNDRED
EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST WILL BE
PAID THEREON.
S 6. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new clause (xxxvii) to read as
follows:
(XXXVII) CLEAN FUEL AND JOB CREATION AMOUNT OF CLEAN FUEL AND
CREDIT UNDER SUBSECTION (XX) JOB CREATION CREDIT UNDER
SUBDIVISION FORTY-EIGHT
OF SECTION TWO HUNDRED TEN
S 7. This act shall take effect on the ninetieth day after it shall
have become a law.