To amend the Internal Revenue Code of 1986 to phase out the tax subsidies for alcohol fuels involving alcohol produced from feedstocks eligible to receive Federal agricultural subsidies.

Amends the Internal Revenue Code to phase out the tax subsidies for alcohol fuels produced from feedstocks which are eligible to receive Federal agricultural subsidies. Amends the Internal Revenue Code to establish the Dredging Material Account in the Harbor Maintenance Trust Fund. Transfers 50 percent of the amounts received from increased tax liabilities under this Act to such Account.