US SB1183

Creates a new 30% investment tax credit (Section 48F) for hydropower improvement property placed in service at existing hydroelectric dams

Eligible improvements include fish passage additions, water quality enhancements, sediment transport systems, dam safety upgrades, public access improvements, obsolete river obstruction removal, and remote dam installations

Requires written approval from the Federal Energy Regulatory Commission or state/local officials prior to January 1, 2035 to qualify for the credit

Allows taxpayers to elect direct payment of the credit or transfer the credit to unrelated parties for hydropower improvement property placed in service after December 31, 2025

Defines "approved remote dams" as hydroelectric facilities serving off-grid communities with maximum output of 20 megawatts, licensed by FERC before December 31, 2020