S 361

112th CONGRESS
1st Session

S. 361

To amend the Internal Revenue Code of 1986 to provide tax relief for small businesses, and for other purposes.

IN THE SENATE OF THE UNITED STATES

February 16, 2011

Ms. COLLINS 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 provide tax relief for small businesses, 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; TABLE OF CONTENTS.

    (a) Short Title- This Act may be cited as the `Seven Point Plan for Growing Jobs Act'.

    (b) Table of Contents- The table of contents for this Act is as follows:

      Sec. 1. Short title; table of contents.

TITLE I--JOB TRAINING AND WORKFORCE DEVELOPMENT

      Sec. 101. Manufacturing Job Training National Program.

      Sec. 102. Workforce development and economic assistance to BRAC communities.

      Sec. 103. Department of Labor Efficiency Report.

TITLE II--DEEP OFFSHORE WIND ENERGY RESEARCH, DEVELOPMENT, DEMONSTRATION, AND COMMERCIAL APPLICATION

      Sec. 201. Definitions.

      Sec. 202. Offshore wind energy research and deployment program.

      Sec. 203. National offshore wind energy research, development, and demonstration centers.

      Sec. 204. Authorization of appropriations.

TITLE III--SMALL BUSINESS TAX RELIEF

      Sec. 301. Temporary employer payroll tax cut.

      Sec. 302. 15-year straight-line cost recovery for qualified leasehold improvements, qualified restaurant buildings and improvements, qualified retail improvements, and other nonresidential real property and residential rental property.

      Sec. 303. Repeal of sunset on increased limitations on, and on expansion of, small business expensing.

      Sec. 304. Repeal of expansion of information reporting requirements.

      Sec. 305. Extension and modification of research credit.

TITLE IV--REGULATORY REFORM

      Sec. 401. Regulatory reform.

      Sec. 402. Reduction or waiver of civil penalties imposed on small entities.

TITLE V--INTERSTATE HIGHWAY VEHICLE WEIGHT LIMITS

      Sec. 501. Interstate highway vehicle weight limits in Maine and Vermont.

TITLE VI--ETHANOL SUBSIDIES REPEAL

      Sec. 601. Elimination of tax subsidies for ethanol fuel.

      Sec. 602. Removal of tariffs on ethanol.

TITLE VII--SPENDING LIMITATIONS

      Sec. 701. Discretionary spending limits.

      Sec. 702. Adjusted gross income limitation for recipients of farm subsidies.

TITLE I--JOB TRAINING AND WORKFORCE DEVELOPMENT

SEC. 101. MANUFACTURING JOB TRAINING NATIONAL PROGRAM.

    (a) Program- Subtitle D of title I of the Workforce Investment Act of 1998 is amended by inserting after section 173A (29 U.S.C. 2918a) the following:

`SEC. 173B. MANUFACTURING JOB TRAINING NATIONAL PROGRAM.

    `(a) Purpose- The purpose of this section is to support programs of employment and training activities for manufacturing-related jobs, in order--

      `(1) to enable participants to develop skills that are readily applicable to manufacturing;

      `(2) to develop a workforce with the skills necessary to obtain employment;

      `(3) to make such participants more competitive in the workforce;

      `(4) to encourage individuals to develop skills and continue to advance professionally within manufacturing fields; and

      `(5) to ensure that programs of employment and training activities are meeting the needs of the manufacturers.

    `(b) National Program Authorized-

      `(1) PROGRAM- The Secretary shall establish a Manufacturing Job Training National Program.

      `(2) GRANTS-

        `(A) IN GENERAL- The Secretary shall make grants through the Program, on a competitive basis, to eligible entities.

        `(B) PLANNING AND DEVELOPMENT GRANTS- The Secretary shall make such grants, for periods of 1 year, to enable the entities to plan and develop programs described in subsection (f)(1).

        `(C) IMPLEMENTATION GRANTS- The Secretary shall make such grants, for periods of not less than 1 and not more than 3 years, to implement programs described in subsection (f)(2).

    `(c) Eligible Entities- To be eligible to receive a grant under this section, an entity shall be a Governor, a State agency with responsibility for labor programs, or a State designated agency described in section 122(i).

    `(d) Program Plan-

      `(1) IN GENERAL- To be eligible to receive a grant under this section, an entity shall submit a program plan to the Secretary at such time, in such manner, and containing such information as the Secretary may require, including a strategy for meeting the needs of workers to develop skills for manufacturing-related jobs.

      `(2) CONTENTS- Such plan shall--

        `(A) be consistent with the purpose described in subsection (a);

        `(B) be written in conjunction with local manufacturers, economic development agencies, community-based organizations, institutions of higher education (as defined in section 102 of the Higher Education Act of 1965 (20 U.S.C. 1002)), labor organizations, or other relevant parties or individuals;

        `(C) identify the population to be served;

        `(D) identify the education and employment needs of the population to be served and the manner in which the activities to be provided will strengthen the ability of the individuals served to obtain or retain employment;

        `(E) describe the activities to be provided; and

        `(F) describe performance measures for the program.

    `(e) Priority- In making the grants, the Secretary shall give priority consideration to entities proposing programs to develop skills for manufacturing jobs as shipbuilders, ship fitters, welders, electricians, fabricators, pipe fitters, machinists, mechanics, metals inspectors, electrical engineers, or chemical engineers, in pulp and paper science disciplines, or in related fields.

    `(f) Authorized Activities-

      `(1) PLANNING AND DEVELOPMENT- An entity that receives a grant under subsection (b)(2)(B) may use the funds made available through the grant to plan and develop a new program of employment and training activities that targets the specific needs of a manufacturer.

      `(2) PROGRAM IMPLEMENTATION- An entity that receives a grant under subsection (b)(2)(C) may use the funds made available through the grant to implement a program of employment and training activities that targets the specific needs of a manufacturer.'.

    (b) Authorization of Appropriations- Section 174 of the Workforce Investment Act of 1998 (29 U.S.C. 2919) is amended by adding at the end the following:

    `(d) Manufacturing Job Training- There is authorized to be appropriated to carry out section 173B $80,000,000 for each of fiscal years 2012 through 2016.'.

SEC. 102. WORKFORCE DEVELOPMENT AND ECONOMIC ASSISTANCE TO BRAC COMMUNITIES.

    (a) Workforce Development Amendments-

      (1) IN GENERAL- Section 202 of the Public Works and Economic Development Act of 1965 (42 U.S.C. 3142) is amended--

        (A) by striking `Notwithstanding any other provision' and inserting the following:

    `(c) No Requirement of Title- Notwithstanding any other provision'; and

        (B) by inserting before subsection (c) (as redesignated by subparagraph (A)) the following:

    `(a) Definitions- In this section:

      `(1) BRAC 2005- The term `BRAC 2005' means the base realignment and closure activities established by the Secretary of Defense in 2005.

      `(2) BRAC ELIGIBLE RECIPIENT- The term `BRAC eligible recipient' means an eligible recipient that is affected by BRAC 2005.

      `(3) REPORT- The term `report' means the report of the 2005 Defense Base Closure and Realignment entitled `2005 Defense Base Closure and Realignment Commission Report' and dated September 8, 2005.

    `(b) Assistance to Eligible Recipients Affected by BRAC-

      `(1) IN GENERAL- The Secretary shall provide to BRAC eligible recipients not less than 25 percent of any amounts made available for grants under this title that are projected to experience a net loss of jobs as a result of BRAC 2005, as determined in the report.

      `(2) CRITERIA FOR GRANT- To receive a grant under this title, a BRAC eligible recipient described in paragraph (1) shall comply with all requirements described in this title.

      `(3) PRIORITY-

        `(A) IN GENERAL- In making grants available to a BRAC eligible recipient under this section, the Secretary shall give priority to a BRAC eligible recipient that, as determined in the report, is projected to experience--

          `(i) at least 2,000 direct job losses; or

          `(ii) at least 3,000 indirect job losses.

        `(B) ADDITIONAL PRIORITY- The Secretary shall give additional priority to any BRAC eligible recipient that, as determined in the report, is projected to experience--

          `(i) at least 2,000 direct job losses; and

          `(ii) at least 3,000 indirect job losses.

      `(4) REVIEW- In making grants available to BRAC eligible recipients under this section, the Secretary, in conjunction with the Secretary of Labor, shall review each grant provided to BRAC eligible recipients under this title to ensure that the BRAC eligible recipients are receiving the most appropriate grants and services under this Act.'.

SEC. 103. DEPARTMENT OF LABOR EFFICIENCY REPORT.

    (a) Reviews-

      (1) DEPARTMENT OF LABOR JOB TRAINING PROGRAMS- The Secretary shall review job training programs carried out or supported by the Department of Labor, and identify ways to increase efficiency and reduce duplicative and unnecessary processes and activities in those programs. In particular, the Secretary shall examine ways to reduce paperwork and bureaucratic restrictions with respect to those programs.

      (2) JOB TRAINING PROGRAMS GENERALLY- In addition, the Secretary shall review and identify ways in which the Secretary can provide financial assistance, in a cost-effective manner, to workers to enable the workers to participate in short-term job training programs.

    (b) Report- Not later than 60 days after the date of enactment of this Act, the Secretary shall prepare and submit to the appropriate committees of Congress a report that contains the results of the reviews described in subsection (a).

TITLE II--DEEP OFFSHORE WIND ENERGY RESEARCH, DEVELOPMENT, DEMONSTRATION, AND COMMERCIAL APPLICATION

SEC. 201. DEFINITIONS.

    In this title:

      (1) INSTITUTION OF HIGHER EDUCATION- The term `institution of higher education' has the meaning given the term in section 101(a) of the Higher Education Act of 1965 (20 U.S.C. 1001(a)).

      (2) NATIONAL OFFSHORE WIND CENTER- The term `national offshore wind center' means a national offshore wind energy research, development, and demonstration center established under section 203(a).

      (3) PROGRAM- The term `program' means a program--

        (A) that includes activities (including the awarding of grants) to support the research, demonstration, and development of commercial applications for deep offshore water wind energy; and

        (B) to be carried out by the Secretary under section 202(a).

      (4) SECRETARY- The term `Secretary' means the Secretary of Energy.

SEC. 202. OFFSHORE WIND ENERGY RESEARCH AND DEPLOYMENT PROGRAM.

    (a) In General- As soon as practicable after the date of enactment of this Act, in accordance with subsection (b), the Secretary shall carry out the program--

      (1) to carry out a research, development, and demonstration program to facilitate the deployment of a wind energy program in deep offshore waters of the United States;

      (2) to improve the energy efficiency, reliability, and capacity of offshore wind turbines; and

      (3) to reduce the cost of manufacturing, construction, deployment, generation, and maintenance of offshore wind energy systems.

    (b) Program Requirements- The Secretary shall carry out the program to support--

      (1) the design, demonstration, and deployment of advanced wind turbine foundations and support structures, blades, turbine systems, components, and supporting land- and water-based infrastructure for application in deep offshore water;

      (2) the full-scale testing and establishment of regional demonstrations of deep offshore water wind components and systems to validate technology and performance issues relating to the components;

      (3) for inclusion in a publically accessible database, assessments of the deep offshore water wind resources of the United States, including--

        (A) environmental impacts and benefits;

        (B) siting and permitting issues;

        (C) exclusion zones; and

        (D) transmission needs;

      (4) the design, demonstration, and deployment of integrated sensors, actuators, and advanced materials (including composite materials);

      (5) advanced blade manufacturing activity (including automation, materials, and the assembly of large-scale components) to stimulate the development of the blade manufacturing capacity of the United States;

      (6) methods to assess and mitigate the effects of wind energy systems on marine ecosystems and marine industries; and

      (7) other research areas, as determined to be appropriate by the Secretary.

SEC. 203. NATIONAL OFFSHORE WIND ENERGY RESEARCH, DEVELOPMENT, AND DEMONSTRATION CENTERS.

    (a) Duty of Secretary- As soon as practicable after the date of enactment of this Act, the Secretary shall award, on a competitive basis and with an emphasis on technical merit, grants to institutions of higher education to establish 1 or more national offshore wind centers.

    (b) Selection Criteria- In selecting institutions of higher education under subsection (a), the Secretary shall give preference to institutions of higher education that--

      (1) agree to cover transitional depth and deep offshore water technologies to complement the activities of a national offshore wind center;

      (2) agree to host an offshore wind energy research and development program funded by the Department of Energy in coordination with an engineering program of the institution of higher education;

      (3) employ individuals who have proven expertise relating to the development of novel materials for commercial applications; and

      (4) have access to, and use the resources of--

        (A) the Atlantic Ocean;

        (B) the Gulf of Mexico; or

        (C) the Pacific Ocean.

    (c) Requirements- A national offshore wind center established with funds provided by the Secretary through a grant under subsection (a) shall be designed--

      (1) to focus on deepwater floating offshore wind energy technologies; and

      (2) to facilitate the conduct of initiatives to advance 1 or more activities described in section 202(b).

SEC. 204. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to the Secretary to carry out this title--

      (1) $50,000,000 for each of fiscal years 2012 through 2016; and

      (2) such sums as are necessary for each of fiscal years 2017 through 2021.

TITLE III--SMALL BUSINESS TAX RELIEF

SEC. 301. TEMPORARY EMPLOYER PAYROLL TAX CUT.

    (a) In General-

      (1) EMPLOYERS- Section 601(a) of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 is amended by striking `and' at the end of paragraph (1), by striking the period at the end of paragraph (2), and by adding at the end the following new paragraph:

      `(3) with respect to wages paid during the payroll tax holiday period not to exceed $50,000 for each employee, the rate of tax under 3111(a) of such Code shall be 4.2 percent (including for purposes of determining the applicable percentage under sections 3221(a) of such Code).'.

      (2) SELF-EMPLOYED INDIVIDUALS- Section 601(a)(1) of such Act is amended by inserting `(8.40 percent in the case of self-employment income not to exceed $50,000)' after `10.40 percent'.

    (b) Conforming Amendments-

      (1) Section 601 of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 is amended by striking subsection (b).

      (2) Section 601(e)(2) of such Act is amended by striking `subsection (a)(2)' and inserting `paragraphs (2) and (3) of subsection (a)'.

      (3) The headings for title VI and section 601 of such Act are each amended by striking `employee'.

    (c) Effective Date-

      (1) IN GENERAL- The amendments made by this section shall apply to wages paid and self-employment income earned after December 31, 2010.

      (2) SPECIAL TRANSITION RULE-

        (A) NONAPPLICATION OF REDUCTION DURING FIRST QUARTER- The amendments made by subsection (a)(1) shall not apply with respect to wages paid during the first calendar quarter of 2011.

        (B) CREDITING OF FIRST QUARTER EXEMPTION DURING SECOND QUARTER- The amount by which the tax imposed under sections 3111(a) and 3221(a) of the Internal Revenue Code of 1986 would (but for the application of subparagraph (A)) have been reduced with respect to wages paid by an employer during the first calendar quarter of 2011 shall be treated as a payment against the tax imposed under section 3111(a) of such Code or section 3121(a) of such Code, as the case may be, with respect to the employer for the second calendar quarter of 2011 which is made on the date that such tax is due.

SEC. 302. 15-YEAR STRAIGHT-LINE COST RECOVERY FOR QUALIFIED LEASEHOLD IMPROVEMENTS, QUALIFIED RESTAURANT BUILDINGS AND IMPROVEMENTS, QUALIFIED RETAIL IMPROVEMENTS, AND OTHER NONRESIDENTIAL REAL PROPERTY AND RESIDENTIAL RENTAL PROPERTY.

    (a) Qualified Leasehold Improvements, Qualified Restaurant Buildings and Improvements, and Qualified Retail Improvements- Subparagraph (E) of section 168(e)(3) of the Internal Revenue Code of 1986, as amended by the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010, is amended--

      (1) by striking `placed in service before January 1, 2012' in clauses (iv) and (v), and

      (2) by striking `placed in service after December 31, 2008, and before January 1, 2012' in clause (ix).

    (b) Other Nonresidential Real Property and Residential Rental Property-

      (1) IN GENERAL- Subparagraph (E) of section 168(e)(3) of the Internal Revenue Code of 1986 is amended by striking `and' at the end of clause (viii), by striking the period at the end of clause (ix) and inserting `, and,', and by adding at the end the following new clause:

          `(x) any nonresidential real property or residential rental property not otherwise described in any preceding clause of this subparagraph placed in service after December 31, 2011.'.

      (2) CONFORMING AMENDMENTS-

        (A) The table contained in section 168(c) of the Internal Revenue Code of 1986 is amended by striking the items relating to residential rental property and nonresidential real property.

        (B) Subparagraph (B) of section 168(e)(2) of such Code is amended by striking `which is not' and all that follows and inserting `which is not residential rental property'.

        (C) The table contained in section 168(j)(2) of such Code is amended by striking the last item.

        (D) The table contained in section 467(e)(3)(A) of such Code is amended by striking the next to last item.

    (c) Effective Date- The amendments made by this section shall apply to property placed in service after December 31, 2011.

SEC. 303. REPEAL OF SUNSET ON INCREASED LIMITATIONS ON, AND ON EXPANSION OF, SMALL BUSINESS EXPENSING.

    (a) Repeal of Sunset on Increased Limitations-

      (1) IN GENERAL- Paragraph (1) of section 179(b) of the Internal Revenue Code of 1986, as amended by the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010, is amended by striking `shall not exceed--' and all that follows and inserting `shall not exceed $125,000.'.

      (2) REDUCTION IN LIMITATION- Paragraph (2) of section 179(b) of such Code, as so amended, is amended by striking `exceeds--' and all that follows and inserting `exceeds $500,000.'.

      (3) CONFORMING AMENDMENT- Subsection (b) of section 179 of such Code, as so amended, is amended by striking paragraph (6).

      (4) COMPUTER SOFTWARE- Clause (ii) of section 179(d)(1)(A) of such Code, as so amended, is amended by striking `and before 2013'.

      (5) REVOCATION OF ELECTION- Paragraph (2) of section 179(c) of such Code, as so amended, is amended to read as follows:

      `(2) REVOCATION OF ELECTION- Any election made under this section, and any specification contained in any such election, may be revoked by the taxpayer with respect to any property, and such revocation, once made, shall be irrevocable.'.

    (b) Repeal of Sunset on Expansion- Subsection (f) of section 179 of such Code, as so amended, is amended--

      (1) by striking `beginning in 2010 or 2011' in paragraph (1), and

      (2) by striking paragraph (4) and inserting the following new paragraph:

      `(4) CARRYOVER LIMITATION- For purposes of applying subsection (b)(3)(B) to any taxable year, the amount which is disallowed under subsection (b)(3)(A) for such taxable year which is attributed to qualified real property shall be the amount which bears the same ratio to the total amount so disallowed as--

        `(A) the aggregate amount attributable to qualified real property placed in service during such taxable year, increased by the portion of any amount carried over to such taxable year from a prior taxable year which is attributable to such property, bears to

        `(B) the total amount of section 179 property placed in service during such taxable year, increased by the aggregate amount carried over to such taxable year from any prior taxable year.

      For purposes of the preceding sentence, only section 179 property with respect to which an election was made under subsection (c)(1) shall be taken into account.'.

    (c) Effective Date- The amendments made by this section shall apply to taxable years beginning after December 31, 2011.

SEC. 304. REPEAL OF EXPANSION OF INFORMATION REPORTING REQUIREMENTS.

    (a) Repeal of Payments for Property and Other Gross Proceeds- Subsection (b) of section 9006 of the Patient Protection and Affordable Care Act, and the amendments made thereby, are hereby repealed; and the Internal Revenue Code of 1986 shall be applied as if such subsection, and amendments, had never been enacted.

    (b) Repeal of Application to Corporations and Regulatory Authority-

      (1) IN GENERAL- Section 6041 of the Internal Revenue Code of 1986, as amended by section 9006(a) of the Patient Protection and Affordable Care Act and section 2101 of the Small Business Jobs Act of 2010, is amended by striking subsections (i) and (j).

      (2) EFFECTIVE DATE- The amendment made by this subsection shall apply to payments made after December 31, 2010.

SEC. 305. EXTENSION AND MODIFICATION OF RESEARCH CREDIT.

    (a) Extension-

      (1) IN GENERAL- Subparagraph (B) of section 41(h)(1) of the Internal Revenue Code of 1986, as amended by the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010, is amended by striking `December 31, 2011' and inserting `December 31, 2016'.

      (2) CONFORMING AMENDMENT- Subparagraph (D) of section 45C(b)(1) of such Code, as so amended, is amended by striking `December 31, 2011' and inserting `December 31, 2016'.

    (b) Increase in Alternative Simplified Research Credit- Paragraph (5) of section 41(c) of the Internal Revenue Code of 1986 is amended--

      (1) by striking `14 percent (12 percent in the case of taxable years ending before January 1, 2009)' in subparagraph (A) and inserting `20 percent (14 percent in the case of taxable years ending before January 1, 2013)', and

      (2) by striking `6 percent' in subparagraph (B)(ii) and inserting `10 percent (7 percent in the case of taxable years ending before January 1, 2013)'.

    (c) Effective Date- The amendments made by this section shall apply to amounts paid or incurred after December 31, 2010.

TITLE IV--REGULATORY REFORM

SEC. 401. REGULATORY REFORM.

    (a) Definitions- In this section--

      (1) the term `Administrator' means the Administrator of the Office of Information and Regulatory Affairs in the Office of Management and Budget;

      (2) the term `agency' has the same meaning as in section 3502(1) of title 44, United States Code;

      (3) the term `economically significant guidance document' means a significant guidance document that may reasonably be anticipated to lead to an annual effect on the economy of $100,000,000 or more or adversely affect in a material way the economy or a sector of the economy, except that economically significant guidance documents do not include guidance documents on Federal expenditures and receipts;

      (4) the term `disseminated'--

        (A) means prepared by an agency and distributed to the public or regulated entities; and

        (B) does not include--

          (i) distribution limited to Federal Government employees;

          (ii) intra- or interagency use or sharing of Federal Government information; and

          (iii) responses to requests for agency records under section 552 of title 5, United States Code (commonly referred to as the `Freedom of Information Act'), section 552a of title 5, United States Code, (commonly referred to as the `Privacy Act'), the Federal Advisory Committee Act (5 U.S.C. App.), or other similar laws;

      (5) the term `guidance document' means an agency statement of general applicability and future effect, other than a regulatory action, that sets forth a policy on a statutory, regulatory or technical issue or an interpretation of a statutory or regulatory issue;

      (6) the term `regulation' means an agency statement of general applicability and future effect, which the agency intends to have the force and effect of law, that is designed to implement, interpret, or prescribe law or policy or to describe the procedure or practice requirements of an agency;

      (7) the term `regulatory action' means any substantive action by an agency (normally published in the Federal Register) that promulgates or is expected to lead to the promulgation of a final regulation, including notices of inquiry, advance notices of proposed rulemaking, and notices of proposed rulemaking;

      (8) the term `significant guidance document'--

        (A) means a guidance document disseminated to regulated entities or the general public that may reasonably be anticipated to--

          (i) lead to an annual effect on the economy of $100,000,000 or more or affect in a material way the economy, a sector of the economy, productivity, competition, jobs, the environment, public health or safety, or State, local, or tribal governments or communities;

          (ii) create a serious inconsistency or otherwise interfere with an action taken or planned by another agency;

          (iii) materially alter the budgetary impact of entitlements, grants, user fees, or loan programs or the rights and obligations of recipients thereof; or

          (iv) raise novel legal or policy issues arising out of legal mandates and the priorities, principles, and provisions of this section; and

        (B) does not include--

          (i) legal advisory opinions for internal Executive Branch use and not for release (such as Department of Justice Office of Legal Counsel opinions);

          (ii) briefs and other positions taken by agencies in investigations, pre-litigation, litigation, or other enforcement proceedings;

          (iii) speeches;

          (iv) editorials;

          (v) media interviews;

          (vi) press materials;

          (vii) congressional correspondence;

          (viii) guidance documents that pertain to a military or foreign affairs function of the United States (other than guidance on procurement or the import or export of non-defense articles and services);

          (ix) grant solicitations;

          (x) warning letters;

          (xi) case or investigatory letters responding to complaints involving fact-specific determinations;

          (xii) purely internal agency policies;

          (xiii) guidance documents that pertain to the use, operation or control of a government facility;

          (xiv) internal guidance documents directed solely to other agencies; and

          (xv) any other category of significant guidance documents exempted by an agency head in consultation with the Administrator; and

      (9) the term `significant regulatory action' means any regulatory action that is likely to result in a regulation that may--

        (A) have an annual effect on the economy of $100,000,000 or more or adversely affect in a material way the economy, a sector of the economy, productivity, competition, jobs, the environment, public health or safety, or State, local, or tribal governments or communities;

        (B) create a serious inconsistency or otherwise interfere with an action taken or planned by another agency;

        (C) materially alter the budgetary impact of entitlements, grants, user fees, or loan programs or the rights and obligations of recipients thereof; or

        (D) raise novel legal or policy issues arising out of legal mandates and the priorities, principles, and provisions of this section.

    (b) Agency Assessment of Significant Regulatory Actions- For each significant regulatory action, each agency shall submit, at such times specified by the Administrator, a report to the Office of Information and Regulatory Affairs that includes--

      (1) an assessment, including the underlying analysis, of benefits anticipated from the significant regulatory action, such as--

        (A) the promotion of the efficient functioning of the economy and private markets;

        (B) the enhancement of health and safety;

        (C) the protection of the natural environment; and

        (D) the elimination or reduction of discrimination or bias;

      (2) to the extent feasible, a quantification of the benefits assessed under paragraph (1);

      (3) an assessment, including the underlying analysis, of costs anticipated from the regulatory action, such as--

        (A) the direct cost both to the Federal Government in administering the significant regulatory action and to businesses, consumers, and others (including State, local, and tribal officials) in complying with the regulation; and

        (B) any adverse effects on the efficient functioning of the economy, private markets (including productivity, employment, and competitiveness), health, safety, the natural environment, job creation, the prices of consumer goods, and energy costs;

      (4) to the extent feasible, a quantification of the costs assessed under paragraph (3); and

      (5) an assessment, including the underlying analysis, of costs and benefits of potentially effective and reasonably feasible alternatives to the planned significant regulatory action, identified by the agency or the public (including improving the current regulation and reasonably viable nonregulatory actions), and an explanation why the planned regulatory action is preferable to the identified potential alternatives.

    (c) Agency Good Guidance Practices-

      (1) AGENCY STANDARDS FOR SIGNIFICANT GUIDANCE DOCUMENTS-

        (A) APPROVAL PROCEDURES-

          (i) IN GENERAL- Each agency shall develop or have written procedures for the approval of significant guidance documents, which shall ensure that the issuance of significant guidance documents is approved by appropriate senior agency officials.

          (ii) REQUIREMENT- Employees of an agency may not depart from significant guidance documents without appropriate justification and supervisory concurrence.

        (B) STANDARD ELEMENTS- Each significant guidance document--

          (i) shall--

            (I) include the term `guidance' or its functional equivalent;

            (II) identify the agency or office issuing the document;

            (III) identify the activity to which and the persons to whom the significant guidance document applies;

            (IV) include the date of issuance;

            (V) note if the significant guidance document is a revision to a previously issued guidance document and, if so, identify the document that the significant guidance document replaces;

            (VI) provide the title of the document and a document identification number; and

            (VII) include the citation to the statutory provision or regulation (in Code of Federal Regulations format) which the significant guidance document applies to or interprets; and

          (ii) shall not include mandatory terms such as `shall', `must', `required', or `requirement' unless--

            (I) the agency is using those terms to describe a statutory or regulatory requirement; or

            (II) the terminology is addressed to agency staff and will not foreclose agency consideration of positions advanced by affected private parties.

      (2) PUBLIC ACCESS AND FEEDBACK FOR SIGNIFICANT GUIDANCE DOCUMENTS-

        (A) INTERNET ACCESS-

          (i) IN GENERAL- Each agency shall--

            (I) maintain on the website for the agency, or as a link on the website of the agency to the electronic list posted on a website of a component of the agency a list of the significant guidance documents in effect of the agency, including a link to the text of each significant guidance document that is in effect; and

            (II) not later than 30 days after the date on which a significant guidance document is issued, update the list described in clause (i).

          (ii) LIST REQUIREMENTS- The list described in subparagraph (A)(i) shall--

            (I) include the name of each--

(aa) significant guidance document;

(bb) document identification number; and

(cc) issuance and revision dates; and

            (II) identify significant guidance documents that have been added, revised, or withdrawn in the preceding year.

        (B) PUBLIC FEEDBACK-

          (i) IN GENERAL- Each agency shall establish and clearly advertise on the website for the agency a means for the public to electronically submit--

            (I) comments on significant guidance documents; and

            (II) a request for issuance, reconsideration, modification, or rescission of significant guidance documents.

          (ii) AGENCY RESPONSE- Any comments or requests submitted under subparagraph (A)--

            (I) are for the benefit of the agency; and

            (II) shall not require a formal response from the agency.

          (iii) OFFICE FOR PUBLIC COMMENTS-

            (I) IN GENERAL- Each agency shall designate an office to receive and address complaints from the public relating to--

(aa) the failure of the agency to follow the procedures described in this section; or

(bb) the failure to treat a significant guidance document as a binding requirement.

            (II) WEBSITE- The agency shall provide, on the website of the agency, the name and contact information for the office designated under clause (i).

      (3) NOTICE AND PUBLIC COMMENT FOR ECONOMICALLY SIGNIFICANT GUIDANCE DOCUMENTS-

        (A) IN GENERAL- Except as provided in paragraph (2), in preparing a draft of an economically significant guidance document, and before issuance of the final significant guidance document, each agency shall--

          (i) publish a notice in the Federal Register announcing that the draft document is available;

          (ii) post the draft document on the Internet and make a tangible copy of that document publicly available (or notify the public how the public can review the guidance document if the document is not in a format that permits such electronic posting with reasonable efforts);

          (iii) invite public comment on the draft document; and

          (iv) prepare and post on the website of the agency a document with responses of the agency to public comments.

        (B) EXCEPTIONS- In consultation with the Administrator, an agency head may identify a particular economically significant guidance document or category of such documents for which the procedures of this subsection are not feasible or appropriate.

      (4) EMERGENCIES-

        (A) IN GENERAL- In emergency situations or when an agency is obligated by law to act more quickly than normal review procedures allow, the agency shall notify the Administrator as soon as possible and, to the extent practicable, comply with this subsection.

        (B) SIGNIFICANT GUIDANCE DOCUMENTS SUBJECT TO STATUTORY OR COURT-IMPOSED DEADLINE- For a significant guidance document that is governed by a statutory or court-imposed deadline, the agency shall, to the extent practicable, schedule the proceedings of the agency to permit sufficient time to comply with this subsection.

      (5) EFFECTIVE DATE- This section shall take effect 60 days after the date of enactment of this Act.

SEC. 402. REDUCTION OR WAIVER OF CIVIL PENALTIES IMPOSED ON SMALL ENTITIES.

    (a) In General- Chapter 6 of title 5, United States Code, is amended by adding at the end the following:

`Sec. 613. Reduction or waiver of civil penalties imposed on small entities

    `(a) Upon the request of a small entity, a Regional Advocate of the Office of Advocacy of the Small Business Administration (referred to in this section as a `Regional Advocate') shall submit to an agency a request that the agency reduce or waive a civil penalty imposed on the small entity, if the Regional Advocate determines that--

      `(1) the civil penalty was the result of a first-time violation by the small entity of a requirement to report information to the agency; and

      `(2) the reduction or waiver is consistent with the conditions and exclusions described in paragraphs (1), (3), (4), (5), and (6) of section 223(b) of the Small Business Regulatory Enforcement Fairness Act of 1996 (Public Law 104-121; 110 Stat. 862).

    `(b) Not later than 60 days after the receipt of a request from a Regional Advocate under subsection (a), an agency shall send written notice of the decision of the agency with respect to the request, together with the reasons for the decision, to the Regional Advocate that made the request and the relevant small entity.

    `(c) The Chief Counsel for Advocacy shall submit to Congress an annual report summarizing--

      `(1) the requests received by the Regional Advocates from small entities under subsection (a); and

      `(2) the requests submitted by the Regional Advocates to agencies under subsection (a) and the results of the requests.'.

    (b) Technical and Conforming Amendment- The table of sections for chapter 6 of title 5, United States Code, is amended by adding at the end the following:

      `613. Reduction or waiver of civil penalties imposed on small entities.'.

TITLE V--INTERSTATE HIGHWAY VEHICLE WEIGHT LIMITS

SEC. 501. INTERSTATE HIGHWAY VEHICLE WEIGHT LIMITS IN MAINE AND VERMONT.

    Section 127(a)(11) of title 23, United States Code, is amended to read as follows:

      `(11)(A) With respect to all portions of the Interstate Highway System in the State of Maine, laws (including regulations) of that State concerning vehicle weight limitations applicable to other State highways shall be applicable in lieu of the requirements under this subsection.

      `(B) With respect to all portions of the Interstate Highway System in the State of Vermont, laws (including regulations) of that State concerning vehicle weight limitations applicable to other State highways shall be applicable in lieu of the requirements under this subsection.'.

TITLE VI--ETHANOL SUBSIDIES REPEAL

SEC. 601. ELIMINATION OF TAX SUBSIDIES FOR ETHANOL FUEL.

    (a) Elimination of Income Tax Credit-

      (1) IN GENERAL- The table contained in section 40(h)(2) of the Internal Revenue Code of 1986 is amended--

        (A) by striking `2010' and inserting `the enactment date of the Seven Point Plan for Growing Jobs Act',

        (B) by adding at the end the following:
---------------------------------------
---------------------------------------
`After such enactment date zero zero'. 
---------------------------------------

      (2) ELIMINATION OF SMALL ETHANOL PRODUCER CREDIT- Section 40(b)(4)(A) of such Code is amended by inserting `(zero after the date of the enactment of the Seven Point Plan for Growing Jobs Act)' after `10 cents'.

    (b) Elimination of Excise Tax Credit or Payment-

      (1) Section 6426(b)(2)(A)(ii) of the Internal Revenue Code of 1986 is amended by inserting `(zero after the date of the enactment of the Seven Point Plan for Growing Jobs Act)' after `45 cents'.

      (2) Section 6427(e)(6)(A) of such Code is amended by inserting `the date of the enactment the Seven Point Plan for Growing Jobs Act, in the case of any alcohol fuel mixture involving ethanol)' after `2011'.

    (c) Effective Date- The amendments made by this section shall apply to any sale, use, or removal for any period after the date of the enactment of the Act.

SEC. 602. REMOVAL OF TARIFFS ON ETHANOL.

    (a) Duty-Free Treatment- Chapter 98 of the Harmonized Tariff Schedule of the United States is amended by adding at the end the following new subchapter:
`Subchapter XXIII
Alternative Fuels
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Heading/Subheading Article Description                                                                                                                                                                                                                                                                                                                                                                                                                                                          Rates of Duty               
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                1                     2     
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                General       Special       
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
9823.01.01         Ethyl alcohol (provided for in subheadings 2207.10.60 and 2207.20) or any mixture containing such ethyl alcohol (provided for in heading 2710 or 3824) if such ethyl alcohol or mixture is to be used as a fuel or in producing a mixture of gasoline and alcohol, a mixture of a special fuel and alcohol, or any other mixture to be used as fuel (including motor fuel provided for in subheading 2710.11.15, 2710.19.15 or 2710.19.21), or is suitable for any such uses Free          Free    20%'. 
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

    (b) Conforming Amendments- Subchapter I of chapter 99 of the Harmonized Tariff Schedule of the United States is amended--

      (1) by striking heading 9901.00.50; and

      (2) by striking U.S. notes 2 and 3.

    (c) Effective Date- The amendments made by this section apply to goods entered, or withdrawn from warehouse for consumption, on or after the 15th day after the date of the enactment of this Act.

TITLE VII--SPENDING LIMITATIONS

SEC. 701. DISCRETIONARY SPENDING LIMITS.

    Title III of the Congressional Budget Act of 1974 is amended by inserting at the end the following:

`DISCRETIONARY SPENDING LIMITS

    `Sec. 316. (a) Discretionary Spending Limits- It shall not be in order in the House of Representatives or the Senate to consider any bill, joint resolution, amendment, or conference report that includes any provision that would cause the discretionary spending limits as set forth in subsection (b) to be exceeded.

    `(b) Limits- The discretionary spending limits are as follows:

      `(1) For fiscal year 2012--

        `(A) for the defense category (budget function 050), $573,612,000,000 in budget authority; and

        `(B) for the nondefense category, $543,790,000,000 in budget authority.

      `(2) For fiscal year 2013--

        `(A) for the defense category (budget function 050), $584,421,000,000 in budget authority; and

        `(B) for the nondefense category, $551,498,000,000 in budget authority.

      `(3) For fiscal year 2014--

        `(A) for the defense category (budget function 050), $595,433,680,000 in budget authority; and

        `(B) for the nondefense category, $559,315,260,000 in budget authority.

    `(c) Point of Order in the Senate-

      `(1) WAIVER- The provisions of this section shall be waived or suspended in the Senate only--

        `(A) by the affirmative vote of two-thirds of the Members, duly chosen and sworn; or

        `(B) in the case of the defense budget authority, if Congress declares war.

      `(2) APPEAL- Appeals in the Senate from the decisions of the Chair relating to any provision of this section shall be limited to 1 hour, to be equally divided between, and controlled by, the appellant and the manager of the measure. An affirmative vote of two-thirds of the Members of the Senate, duly chosen and sworn, shall be required to sustain an appeal of the ruling of the Chair on a point of order raised under this section.'.

SEC. 702. ADJUSTED GROSS INCOME LIMITATION FOR RECIPIENTS OF FARM SUBSIDIES.

    Section 1001D of the Food Security Act of 1985 (7 U.S.C. 1308-3a) is amended by striking subsection (b) and inserting the following:

    `(b) Limitation-

      `(1) COMMODITY AND CONSERVATION PROGRAMS-

        `(A) COMMODITY PROGRAMS- Notwithstanding any other provision of law, an individual or entity shall not be eligible to receive any benefit described in paragraph (2)(A) during a crop year if the average adjusted gross income of the individual or entity, or the average adjusted gross income of the individual and spouse of the individual, exceeds--

          `(i) $250,000, if less than 66.66 percent of the average adjusted gross income of the individual or entity, or the average adjusted gross income of the individual and spouse of the individual, is derived from farming, ranching, or forestry operations, as determined by the Secretary; or

          `(ii) $750,000.

        `(B) CONSERVATION PROGRAMS- Notwithstanding any other provision of law, an individual or entity shall not be eligible to receive any benefit described in paragraph (2)(B) during a crop year if the average adjusted gross income of the individual or entity, or the average adjusted gross income of the individual and spouse of the individual, exceeds $2,500,000, unless not less than 75 percent of the average adjusted gross income of the individual or entity, or the average adjusted gross income of the individual and spouse of the individual, is derived from farming, ranching, or forestry operations, as determined by the Secretary.

      `(2) COVERED BENEFITS-

        `(A) IN GENERAL- Paragraph (1)(A) applies with respect to the following:

          `(i) A direct payment or counter-cyclical payment under subtitle A or C of title I of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8711 et seq.).

          `(ii) A marketing loan gain or loan deficiency payment under subtitle B or C of title I of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8731 et seq.).

          `(iii) An average crop revenue payment under section 1105 of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8715).

        `(B) CONSERVATION PROGRAMS- Paragraph (1)(B) applies with respect to a payment under any program under--

          `(i) title XII of this Act;

          `(ii) title II of the Farm Security and Rural Investment Act of 2002 (Public Law 107-171; 116 Stat. 223); or

          `(iii) title II of the Food, Conservation, and Energy Act of 2008 (Public Law 110-246; 122 Stat. 1753).

      `(3) INCOME DERIVED FROM FARMING, RANCHING OR FORESTRY OPERATIONS- In determining what portion of the average adjusted gross income of an individual or entity is derived from farming, ranching, or forestry operations, the Secretary shall include income derived from--

        `(A) the production of crops, livestock, or unfinished raw forestry products;

        `(B) the sale, including the sale of easements and development rights, of farm, ranch, or forestry land or water or hunting rights;

        `(C) the sale of equipment to conduct farm, ranch, or forestry operations;

        `(D) the rental or lease of land used for farming, ranching, or forestry operations, including water or hunting rights;

        `(E) the provision of production inputs and services to farmers, ranchers, and foresters;

        `(F) the processing (including packing), storing (including shedding), and transporting of farm, ranch, and forestry commodities;

        `(G) the sale of land that has been used for agriculture; and

        `(H) payments or other income attributable to benefits received under any program authorized under title I or II of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8702 et seq.).'.

END