[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 877 Engrossed in Senate (ES)]

  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
108th CONGRESS
  1st Session
                                 S. 877

_______________________________________________________________________

                                 AN ACT


 
 To regulate interstate commerce by imposing limitations and penalties 
 on the transmission of unsolicited commercial electronic mail via the 
                               Internet.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

   TITLE I--CONTROLLING THE ASSAULT OF NON-SOLICITED PORNOGRAPHY AND 
                         MARKETING ACT OF 2003

SEC. 101. SHORT TITLE.

    This title may be cited as the ``Controlling the Assault of Non-
Solicited Pornography and Marketing Act of 2003'', or the ``CAN-SPAM 
Act of 2003''.

SEC. 102. CONGRESSIONAL FINDINGS AND POLICY.

    (a) Findings.--The Congress finds the following:
            (1) Electronic mail has become an extremely important and 
        popular means of communication, relied on by millions of 
        Americans on a daily basis for personal and commercial 
        purposes. Its low cost and global reach make it extremely 
        convenient and efficient, and offer unique opportunities for 
        the development and growth of frictionless commerce.
            (2) The convenience and efficiency of electronic mail are 
        threatened by the extremely rapid growth in the volume of 
        unsolicited commercial electronic mail. Unsolicited commercial 
        electronic mail is currently estimated to account for over 45 
        percent of all electronic mail traffic, up from an estimated 7 
        percent in 2001, and the volume continues to rise. Most of 
        these unsolicited commercial electronic mail messages are 
        fraudulent or deceptive in one or more respects.
            (3) The receipt of unsolicited commercial electronic mail 
        may result in costs to recipients who cannot refuse to accept 
        such mail and who incur costs for the storage of such mail, or 
        for the time spent accessing, reviewing, and discarding such 
        mail, or for both.
            (4) The receipt of a large number of unsolicited messages 
        also decreases the convenience of electronic mail and creates a 
        risk that wanted electronic mail messages, both commercial and 
        noncommercial, will be lost, overlooked, or discarded amidst 
        the larger volume of unwanted messages, thus reducing the 
        reliability and usefulness of electronic mail to the recipient.
            (5) Some unsolicited commercial electronic mail contains 
        material that many recipients may consider vulgar or 
        pornographic in nature.
            (6) The growth in unsolicited commercial electronic mail 
        imposes significant monetary costs on providers of Internet 
        access services, businesses, and educational and nonprofit 
        institutions that carry and receive such mail, as there is a 
        finite volume of mail that such providers, businesses, and 
        institutions can handle without further investment in 
        infrastructure.
            (7) Many senders of unsolicited commercial electronic mail 
        purposefully disguise the source of such mail.
            (8) Many senders of unsolicited commercial electronic mail 
        purposefully include misleading information in the message's 
        subject lines in order to induce the recipients to view the 
        messages.
            (9) While some senders of unsolicited commercial electronic 
        mail messages provide simple and reliable ways for recipients 
        to reject (or ``opt-out'' of) receipt of unsolicited commercial 
        electronic mail from such senders in the future, other senders 
        provide no such ``opt-out'' mechanism, or refuse to honor the 
        requests of recipients not to receive electronic mail from such 
        senders in the future, or both.
            (10) Many senders of bulk unsolicited commercial electronic 
        mail use computer programs to gather large numbers of 
        electronic mail addresses on an automated basis from Internet 
        websites or online services where users must post their 
        addresses in order to make full use of the website or service.
            (11) Many States have enacted legislation intended to 
        regulate or reduce unsolicited commercial electronic mail, but 
        these statutes impose different standards and requirements. As 
        a result, they do not appear to have been successful in 
        addressing the problems associated with unsolicited commercial 
        electronic mail, in part because, since an electronic mail 
        address does not specify a geographic location, it can be 
        extremely difficult for law-abiding businesses to know with 
        which of these disparate statutes they are required to comply.
            (12) The problems associated with the rapid growth and 
        abuse of unsolicited commercial electronic mail cannot be 
        solved by Federal legislation alone. The development and 
        adoption of technological approaches and the pursuit of 
        cooperative efforts with other countries will be necessary as 
        well.
    (b) Congressional Determination of Public Policy.--On the basis of 
the findings in subsection (a), the Congress determines that--
            (1) there is a substantial government interest in 
        regulation of unsolicited commercial electronic mail on a 
        nationwide basis;
            (2) senders of unsolicited commercial electronic mail 
        should not mislead recipients as to the source or content of 
        such mail; and
            (3) recipients of unsolicited commercial electronic mail 
        have a right to decline to receive additional unsolicited 
        commercial electronic mail from the same source.

SEC. 103. DEFINITIONS.

    In this title:
            (1) Affirmative consent.--The term ``affirmative consent'', 
        when used with respect to a commercial electronic mail message, 
        means that--
                    (A) the recipient expressly consented to receive 
                the message, either in response to a clear and 
                conspicuous request for such consent or at the 
                recipient's own initiative; and
                    (B) if the message is from a party other than the 
                party to which the recipient communicated such consent, 
                the recipient was given clear and conspicuous notice at 
                the time the consent was communicated that the 
                recipient's electronic mail address could be 
                transferred to such other party for the purpose of 
                initiating commercial electronic mail messages.
            (2) Commercial electronic mail message.--
                    (A) In general.--The term ``commercial electronic 
                mail message'' means any electronic mail message the 
                primary purpose of which is the commercial 
                advertisement or promotion of a commercial product or 
                service (including content on an Internet website 
                operated for a commercial purpose).
                    (B) Reference to company or website.--The inclusion 
                of a reference to a commercial entity or a link to the 
                website of a commercial entity in an electronic mail 
                message does not, by itself, cause such message to be 
                treated as a commercial electronic mail message for 
                purposes of this title if the contents or circumstances 
                of the message indicate a primary purpose other than 
                commercial advertisement or promotion of a commercial 
                product or service.
            (3) Commission.--The term ``Commission'' means the Federal 
        Trade Commission.
            (4) Domain name.--The term ``domain name'' means any 
        alphanumeric designation which is registered with or assigned 
        by any domain name registrar, domain name registry, or other 
        domain name registration authority as part of an electronic 
        address on the Internet.
            (5) Electronic mail address.--The term ``electronic mail 
        address'' means a destination, commonly expressed as a string 
        of characters, consisting of a unique user name or mailbox 
        (commonly referred to as the ``local part'') and a reference to 
        an Internet domain (commonly referred to as the ``domain 
        part''), whether or not displayed, to which an electronic mail 
        message can be sent or delivered.
            (6) Electronic mail message.--The term ``electronic mail 
        message'' means a message sent to a unique electronic mail 
        address.
            (7) FTC act.--The term ``FTC Act'' means the Federal Trade 
        Commission Act (15 U.S.C. 41 et seq.).
            (8) Header information.--The term ``header information'' 
        means the source, destination, and routing information attached 
        to an electronic mail message, including the originating domain 
        name and originating electronic mail address, and any other 
        information that appears in the line identifying, or purporting 
        to identify, a person initiating the message.
            (9) Implied consent.--
                    (A) In general.--The term ``implied consent'', when 
                used with respect to a commercial electronic mail 
                message, means that--
                            (i) within the 3-year period ending upon 
                        receipt of such message, there has been a 
                        business transaction between the sender and the 
                        recipient (including a transaction involving 
                        the provision, free of charge, of information, 
                        goods, or services requested by the recipient); 
                        and
                            (ii) the recipient was, at the time of such 
                        transaction or thereafter in the first 
                        electronic mail message received from the 
                        sender after the effective date of this title, 
                        provided a clear and conspicuous notice of an 
                        opportunity not to receive unsolicited 
                        commercial electronic mail messages from the 
                        sender and has not exercised such opportunity.
                    (B) Mere visitation.--A visit by a recipient to a 
                publicly available website shall not be treated as a 
                transaction for purposes of subparagraph (A)(i) if the 
                recipient did not knowingly submit the recipient's 
                electronic mail address to the operator of the website.
                    (C) Separate lines of business or divisions.--If a 
                sender operates through separate lines of business or 
                divisions and holds itself out to the recipient, both 
                at the time of the transaction described in 
                subparagraph (A)(i) and at the time the notice under 
                subparagraph (A)(ii) was provided to the recipient, as 
                that particular line of business or division rather 
                than as the entity of which such line of business or 
                division is a part, then the line of business or the 
                division shall be treated as the sender for purposes of 
                this paragraph.
            (10) Initiate.--The term ``initiate'', when used with 
        respect to a commercial electronic mail message, means to 
        originate or transmit such message or to procure the 
        origination or transmission of such message, but shall not 
        include actions that constitute routine conveyance of such 
        message. For purposes of this paragraph, more than 1 person may 
        be considered to have initiated a message.
            (11) Internet.--The term ``Internet'' has the meaning given 
        that term in the Internet Tax Freedom Act (47 U.S.C. 151 nt).
            (12) Internet access service.--The term ``Internet access 
        service'' has the meaning given that term in section 231(e)(4) 
        of the Communications Act of 1934 (47 U.S.C. 231(e)(4)).
            (13) Procure.--The term ``procure'', when used with respect 
        to the initiation of a commercial electronic mail message, 
        means intentionally to pay or provide other consideration to, 
        or induce, another person to initiate such a message on one's 
        behalf, knowing, or consciously avoiding knowing, the extent to 
        which that person intends to comply with the requirements of 
        this title.
            (14) Protected computer.--The term ``protected computer'' 
        has the meaning given that term in section 1030(e)(2)(B) of 
        title 18, United States Code.
            (15) Recipient.--The term ``recipient'', when used with 
        respect to a commercial electronic mail message, means an 
        authorized user of the electronic mail address to which the 
        message was sent or delivered. If a recipient of a commercial 
        electronic mail message has 1 or more electronic mail addresses 
        in addition to the address to which the message was sent or 
        delivered, the recipient shall be treated as a separate 
        recipient with respect to each such address. If an electronic 
        mail address is reassigned to a new user, the new user shall 
        not be treated as a recipient of any commercial electronic mail 
        message sent or delivered to that address before it was 
        reassigned.
            (16) Routine conveyance.--The term ``routine conveyance'' 
        means the transmission, routing, relaying, handling, or 
        storing, through an automatic technical process, of an 
        electronic mail message for which another person has identified 
        the recipients or provided the recipient addresses.
            (17) Sender.--The term ``sender'', when used with respect 
        to a commercial electronic mail message, means a person who 
        initiates such a message and whose product, service, or 
        Internet web site is advertised or promoted by the message.
            (18) Transactional or relationship message.--The term 
        ``transactional or relationship message'' means an electronic 
        mail message the primary purpose of which is--
                    (A) to facilitate, complete, or confirm a 
                commercial transaction that the recipient has 
                previously agreed to enter into with the sender;
                    (B) to provide warranty information, product recall 
                information, or safety or security information with 
                respect to a commercial product or service used or 
                purchased by the recipient;
                    (C) to provide--
                            (i) notification concerning a change in the 
                        terms or features of;
                            (ii) notification of a change in the 
                        recipient's standing or status with respect to; 
                        or
                            (iii) at regular periodic intervals, 
                        account balance information or other type of 
                        account statement with respect to,
                a subscription, membership, account, loan, or 
                comparable ongoing commercial relationship involving 
                the ongoing purchase or use by the recipient of 
                products or services offered by the sender;
                    (D) to provide information directly related to an 
                employment relationship or related benefit plan in 
                which the recipient is currently involved, 
                participating, or enrolled; or
                    (E) to deliver goods or services, including product 
                updates or upgrades, that the recipient is entitled to 
                receive under the terms of a transaction that the 
                recipient has previously agreed to enter into with the 
                sender.
            (19) Unsolicited commercial electronic mail message.--The 
        term ``unsolicited commercial electronic mail message'' means 
        any commercial electronic mail message that--
                    (A) is not a transactional or relationship message; 
                and
                    (B) is sent to a recipient without the recipient's 
                prior affirmative or implied consent.

SEC. 104. PROHIBITION AGAINST PREDATORY AND ABUSIVE COMMERCIAL E-MAIL.

    (a) Offense.--
            (1) In general.--Chapter 47 of title 18, United States 
        Code, is amended by adding at the end the following new 
        section:
``Sec. 1037. Fraud and related activity in connection with electronic 
              mail
    ``(a) In General.--Whoever, in or affecting interstate or foreign 
commerce, knowingly--
            ``(1) accesses a protected computer without authorization, 
        and intentionally initiates the transmission of multiple 
        commercial electronic mail messages from or through such 
        computer,
            ``(2) uses a protected computer to relay or retransmit 
        multiple commercial electronic mail messages, with the intent 
        to deceive or mislead recipients, or any Internet access 
        service, as to the origin of such messages,
            ``(3) falsifies header information in multiple commercial 
        electronic mail messages and intentionally initiates the 
        transmission of such messages,
            ``(4) registers, using information that falsifies the 
        identity of the actual registrant, for 5 or more electronic 
        mail accounts or online user accounts or 2 or more domain 
        names, and intentionally initiates the transmission of multiple 
        commercial electronic mail messages from any combination of 
        such accounts or domain names, or
            ``(5) falsely represents the right to use 5 or more 
        Internet protocol addresses, and intentionally initiates the 
        transmission of multiple commercial electronic mail messages 
        from such addresses,
or conspires to do so, shall be punished as provided in subsection (b).
    ``(b) Penalties.--The punishment for an offense under subsection 
(a) is--
            ``(1) a fine under this title, imprisonment for not more 
        than 5 years, or both, if--
                    ``(A) the offense is committed in furtherance of 
                any felony under the laws of the United States or of 
                any State; or
                    ``(B) the defendant has previously been convicted 
                under this section or section 1030, or under the law of 
                any State for conduct involving the transmission of 
                multiple commercial electronic mail messages or 
                unauthorized access to a computer system;
            ``(2) a fine under this title, imprisonment for not more 
        than 3 years, or both, if--
                    ``(A) the offense is an offense under subsection 
                (a)(1);
                    ``(B) the offense is an offense under subsection 
                (a)(4) and involved 20 or more falsified electronic 
                mail or online user account registrations, or 10 or 
                more falsified domain name registrations;
                    ``(C) the volume of electronic mail messages 
                transmitted in furtherance of the offense exceeded 
                2,500 during any 24-hour period, 25,000 during any 30-
                day period, or 250,000 during any 1-year period;
                    ``(D) the offense caused loss to 1 or more persons 
                aggregating $5,000 or more in value during any 1-year 
                period;
                    ``(E) as a result of the offense any individual 
                committing the offense obtained anything of value 
                aggregating $5,000 or more during any 1-year period; or
                    ``(F) the offense was undertaken by the defendant 
                in concert with 3 or more other persons with respect to 
                whom the defendant occupied a position of organizer or 
                leader; and
            ``(3) a fine under this title or imprisonment for not more 
        than 1 year, or both, in any other case.
    ``(c) Forfeiture.--
            ``(1) In general.--The court, in imposing sentence on a 
        person who is convicted of an offense under this section, shall 
        order that the defendant forfeit to the United States--
                    ``(A) any property, real or personal, constituting 
                or traceable to gross proceeds obtained from such 
                offense; and
                    ``(B) any equipment, software, or other technology 
                used or intended to be used to commit or to facilitate 
                the commission of such offense.
            ``(2) Procedures.--The procedures set forth in section 413 
        of the Controlled Substances Act (21 U.S.C. 853), other than 
        subsection (d) of that section, and in Rule 32.2 of the Federal 
        Rules of Criminal Procedure, shall apply to all stages of a 
        criminal forfeiture proceeding under this section.
    ``(d) Definitions.--In this section:
            ``(1) Loss.--The term `loss' has the meaning given that 
        term in section 1030(e) of this title.
            ``(2) Multiple.--The term `multiple' means more than 100 
        electronic mail messages during a 24-hour period, more than 
        1,000 electronic mail messages during a 30-day period, or more 
        than 10,000 electronic mail messages during a 1-year period.
            ``(3) Other terms.--Any other term has the meaning given 
        that term by section 3 of the CAN-SPAM Act of 2003.''.
            (2) Conforming amendment.--The chapter analysis for chapter 
        47 of title 18, United States Code, is amended by adding at the 
        end the following:

``Sec.
``1037. Fraud and related activity in connection with electronic 
                            mail.''.
    (b) United States Sentencing Commission.--
            (1) Directive.--Pursuant to its authority under section 
        994(p) of title 28, United States Code, and in accordance with 
        this section, the United States Sentencing Commission shall 
        review and, as appropriate, amend the sentencing guidelines and 
        policy statements to provide appropriate penalties for 
        violations of section 1037 of title 18, United States Code, as 
        added by this section, and other offenses that may be 
        facilitated by the sending of large quantities of unsolicited 
        electronic mail.
            (2) Requirements.--In carrying out this subsection, the 
        Sentencing Commission shall consider providing sentencing 
        enhancements for--
                    (A) those convicted under section 1037 of title 18, 
                United States Code, who--
                            (i) obtained electronic mail addresses 
                        through improper means, including--
                                    (I) harvesting electronic mail 
                                addresses of the users of a website, 
                                proprietary service, or other online 
                                public forum operated by another 
                                person, without the authorization of 
                                such person; and
                                    (II) randomly generating electronic 
                                mail addresses by computer; or
                            (ii) knew that the commercial electronic 
                        mail messages involved in the offense contained 
                        or advertised an Internet domain for which the 
                        registrant of the domain had provided false 
                        registration information; and
                    (B) those convicted of other offenses, including 
                offenses involving fraud, identity theft, obscenity, 
                child pornography, and the sexual exploitation of 
                children, if such offenses involved the sending of 
                large quantities of unsolicited electronic mail.
    (c) Sense of Congress.--It is the sense of Congress that--
            (1) Spam has become the method of choice for those who 
        distribute pornography, perpetrate fraudulent schemes, and 
        introduce viruses, worms, and Trojan horses into personal and 
        business computer systems; and
            (2) the Department of Justice should use all existing law 
        enforcement tools to investigate and prosecute those who send 
        bulk commercial e-mail to facilitate the commission of Federal 
        crimes, including the tools contained in chapters 47 and 63 of 
        title 18, United States Code (relating to fraud and false 
        statements); chapter 71 of title 18, United States Code 
        (relating to obscenity); chapter 110 of title 18, United States 
        Code (relating to the sexual exploitation of children); and 
        chapter 95 of title 18, United States Code (relating to 
        racketeering), as appropriate.

SEC. 105. OTHER PROTECTIONS FOR USERS OF COMMERCIAL ELECTRONIC MAIL.

    (a) Requirements for Transmission of Messages.--
            (1) Prohibition of false or misleading transmission 
        information.--It is unlawful for any person to initiate the 
        transmission, to a protected computer, of a commercial 
        electronic mail message that contains, or is accompanied by, 
        header information that is materially false or materially 
        misleading. For purposes of this paragraph--
                    (A) header information that is technically accurate 
                but includes an originating electronic mail address the 
                access to which for purposes of initiating the message 
                was obtained by means of false or fraudulent pretenses 
                or representations shall be considered materially 
                misleading;
                    (B) a ``from'' line that accurately identifies any 
                person who initiated the message shall not be 
                considered materially false or materially misleading; 
                and
                    ``(C) if header information attached to a message 
                fails to identify a protected computer used to initiate 
                the message because the person initiating the message 
                knowingly uses another protected computer to relay or 
                retransmit the message for purposes of disguising its 
                origin, then such header information shall be 
                considered materially misleading.''.
            (2) Prohibition of deceptive subject headings.--It is 
        unlawful for any person to initiate the transmission to a 
        protected computer of a commercial electronic mail message with 
        a subject heading that such person knows would be likely to 
        mislead a recipient, acting reasonably under the circumstances, 
        about a material fact regarding the contents or subject matter 
        of the message.
            (3) Inclusion of return address or comparable mechanism in 
        commercial electronic mail.--
                    (A) In general.--It is unlawful for any person to 
                initiate the transmission to a protected computer of a 
                commercial electronic mail message that does not 
                contain a functioning return electronic mail address or 
                other Internet-based mechanism, clearly and 
                conspicuously displayed, that--
                            (i) a recipient may use to submit, in a 
                        manner specified in the message, a reply 
                        electronic mail message or other form of 
                        Internet-based communication requesting not to 
                        receive future commercial electronic mail 
                        messages from that sender at the electronic 
                        mail address where the message was received; 
                        and
                            (ii) remains capable of receiving such 
                        messages or communications for no less than 30 
                        days after the transmission of the original 
                        message.
                    (B) More detailed options possible.--The person 
                initiating a commercial electronic mail message may 
                comply with subparagraph (A)(i) by providing the 
                recipient a list or menu from which the recipient may 
                choose the specific types of commercial electronic mail 
                messages the recipient wants to receive or does not 
                want to receive from the sender, if the list or menu 
                includes an option under which the recipient may choose 
                not to receive any unsolicited commercial electronic 
                mail messages from the sender.
                    (C) Temporary inability to receive messages or 
                process requests.--A return electronic mail address or 
                other mechanism does not fail to satisfy the 
                requirements of subparagraph (A) if it is unexpectedly 
                and temporarily unable to receive messages or process 
                requests due to technical or capacity problems, if the 
                technical or capacity problems were not reasonably 
                foreseeable in light of the potential volume of 
                response messages or requests, and if the problem with 
                receiving messages or processing requests is corrected 
                within a reasonable time period.
                    (D) Exception.--The requirements of this paragraph 
                shall not apply to a message that is a transactional or 
                relationship message.
            (4) Prohibition of transmission of unsolicited commercial 
        electronic mail after objection.--If a recipient makes a 
        request using a mechanism provided pursuant to paragraph (3) 
        not to receive some or any unsolicited commercial electronic 
        mail messages from such sender, then it is unlawful--
                    (A) for the sender to initiate the transmission to 
                the recipient, more than 10 business days after the 
                receipt of such request, of an unsolicited commercial 
                electronic mail message that falls within the scope of 
                the request;
                    (B) for any person acting on behalf of the sender 
                to initiate the transmission to the recipient, more 
                than 10 business days after the receipt of such 
                request, of an unsolicited commercial electronic mail 
                message that such person knows or consciously avoids 
                knowing falls within the scope of the request;
                    (C) for any person acting on behalf of the sender 
                to assist in initiating the transmission to the 
                recipient, through the provision or selection of 
                addresses to which the message will be sent, of an 
                unsolicited commercial electronic mail message that the 
                person knows, or consciously avoids knowing, would 
                violate subparagraph (A) or (B); or
                    (D) for the sender, or any other person who knows 
                that the recipient has made such a request, to sell, 
                lease, exchange, or otherwise transfer or release the 
                electronic mail address of the recipient (including 
                through any transaction or other transfer involving 
                mailing lists bearing the electronic mail address of 
                the recipient) for any purpose other than compliance 
                with this title or other provision of law.
            (5) Inclusion of identifier, opt-out, and physical address 
        in unsolicited commercial electronic mail.--It is unlawful for 
        any person to initiate the transmission of any unsolicited 
        commercial electronic mail message to a protected computer 
        unless the message provides--
                    (A) clear and conspicuous identification that the 
                message is an advertisement or solicitation;
                    (B) clear and conspicuous notice of the opportunity 
                under paragraph (3) to decline to receive further 
                unsolicited commercial electronic mail messages from 
                the sender; and
                    (C) a valid physical postal address of the sender.
            (6) Materiality defined.--For purposes of paragraph (1), an 
        inaccuracy or omission in header information is material if it 
        would materially impede the ability of a party seeking to 
        allege a violation of this title to locate the person who 
        initiated the message or to investigate the alleged violation.
    (b) Aggravated Violations Relating to Unsolicited Commercial 
Electronic Mail.--
            (1) Address harvesting and dictionary attacks.--
                    (A) In general.--It is unlawful for any person to 
                initiate the transmission, to a protected computer, of 
                an unsolicited commercial electronic mail message that 
                is unlawful under subsection (a), or to assist in the 
                origination of such message through the provision or 
                selection of addresses to which the message will be 
                transmitted, if such person knows, should have known, 
                or consciously avoids knowing that--
                            (i) the electronic mail address of the 
                        recipient was obtained using an automated means 
                        from an Internet website or proprietary online 
                        service operated by another person, and such 
                        website or online service included, at the time 
                        the address was obtained, a notice stating that 
                        the operator of such website or online service 
                        will not give, sell, or otherwise transfer 
                        addresses maintained by such website or online 
                        service to any other party for the purposes of 
                        initiating, or enabling others to initiate, 
                        unsolicited electronic mail messages; or
                            (ii) the electronic mail address of the 
                        recipient was obtained using an automated means 
                        that generates possible electronic mail 
                        addresses by combining names, letters, or 
                        numbers into numerous permutations.
                    (B) Disclaimer.--Nothing in this paragraph creates 
                an ownership or proprietary interest in such electronic 
                mail addresses.
            (2) Automated creation of multiple electronic mail 
        accounts.--It is unlawful for any person to use scripts or 
        other automated means to register for multiple electronic mail 
        accounts or online user accounts from which to transmit to a 
        protected computer, or enable another person to transmit to a 
        protected computer, an unsolicited commercial electronic mail 
        message that is unlawful under subsection (a).
            (3) Relay or retransmission through unauthorized access.--
        It is unlawful for any person knowingly to relay or retransmit 
        an unsolicited commercial electronic mail message that is 
        unlawful under subsection (a) from a protected computer or 
        computer network that such person has accessed without 
        authorization.
    (c) Compliance Procedures.--An action for violation of paragraph 
(2), (3), (4), or (5) of subsection (a) may not proceed if the person 
against whom the action is brought demonstrates that --
                    (1) the person has established and implemented, 
                with due care, reasonable practices and procedures to 
                effectively prevent violations of such paragraph; and
                    (2) the violation occurred despite good faith 
                efforts to maintain compliance with such practices and 
                procedures.
    (d) Supplementary Rulemaking Authority.--The Commission may by 
rule--
            (1) modify the 10-business-day period under subsection 
        (a)(4)(A) or subsection (a)(4)(B), or both, if the Commission 
        determines that a different period would be more reasonable 
        after taking into account--
                    (A) the purposes of subsection (a);
                    (B) the interests of recipients of commercial 
                electronic mail; and
                    (C) the burdens imposed on senders of lawful 
                commercial electronic mail; and
            (2) specify additional activities or practices to which 
        subsection (b) applies if the Commission determines that those 
        activities or practices are contributing substantially to the 
        proliferation of commercial electronic mail messages that are 
        unlawful under subsection (a).
    (e) Requirement To Place Warning Labels on Commercial Electronic 
Mail Containing Sexually Oriented Material.--
            (1) In general.--No person may initiate in or affecting 
        interstate commerce the transmission, to a protected computer, 
        of any unsolicited commercial electronic mail message that 
        includes sexually oriented material and--
                    (A) fail to include in subject heading for the 
                electronic mail message the marks or notices prescribed 
                by the Commission under this subsection; or
                    (B) fail to provide that the matter in the message 
                that is initially viewable to the recipient, when the 
                message is opened by any recipient and absent any 
                further actions by the recipient, includes only--
                            (i) to the extent required or authorized 
                        pursuant to paragraph (2), any such marks or 
                        notices;
                            (ii) the information required to be 
                        included in the message pursuant to subsection 
                        (a)(5); and
                            (iii) instructions on how to access, or a 
                        mechanism to access, the sexually oriented 
                        material.
            (2) Prescription of marks and notices.--Not later than 120 
        days after the date of the enactment of this title, the 
        Commission in consultation with the Attorney General shall 
        prescribe clearly identifiable marks or notices to be included 
        in or associated with unsolicited commercial electronic mail 
        that contains sexually oriented material, in order to inform 
        the recipient of that fact and to facilitate filtering of such 
        electronic mail. The Commission shall publish in the Federal 
        Register and provide notice to the public of the marks or 
        notices prescribed under this paragraph.
            (3) Definition.--In this subsection, the term ``sexually 
        oriented material'' means any material that depicts sexually 
        explicit conduct (as that term is defined in section 2256 of 
        title 18, United States Code), unless the depiction constitutes 
        a small and insignificant part of the whole, the remainder of 
        which is not primarily devoted to sexual matters.
            (4) Penalty.--A violation of paragraph (1) is punishable as 
        if it were a violation of section 1037(a) of title 18, United 
        States Code.

SEC. 106. BUSINESSES KNOWINGLY PROMOTED BY ELECTRONIC MAIL WITH FALSE 
              OR MISLEADING TRANSMISSION INFORMATION.

    (a) In General.--It is unlawful for a person to promote, or allow 
the promotion of, that person's trade or business, or goods, products, 
property, or services sold, offered for sale, leased or offered for 
lease, or otherwise made available through that trade or business, in a 
commercial electronic mail message the transmission of which is in 
violation of section 105(a)(1) if that person--
            (1) knows, or should have known in ordinary course of that 
        person's trade or business, that the goods, products, property, 
        or services sold, offered for sale, leased or offered for 
        lease, or otherwise made available through that trade or 
        business were being promoted in such a message;
            (2) received or expected to receive an economic benefit 
        from such promotion; and
            (3) took no reasonable action--
                    (A) to prevent the transmission; or
                    (B) to detect the transmission and report it to the 
                Commission.
    (b) Limited Enforcement Against Third Parties.--
            (1) In general.--Except as provided in paragraph (2), a 
        person (hereinafter referred to as the ``third party'') that 
        provides goods, products, property, or services to another 
        person that violates subsection (a) shall not be held liable 
        for such violation.
            (2) Exception.--Liability for a violation of subsection (a) 
        shall be imputed to a third party that provides goods, 
        products, property, or services to another person that violates 
        subsection (a) if that third party--
                    (A) owns, or has a greater than 50 percent 
                ownership or economic interest in, the trade or 
                business of the person that violated subsection (a); or
                    (B)(i) has actual knowledge that goods, products, 
                property, or services are promoted in a commercial 
                electronic mail message the transmission of which is in 
                violation of section 105(a)(1); and
                    (ii) receives, or expects to receive, an economic 
                benefit from such promotion.
    (c) Exclusive Enforcement by FTC.--Subsections (e) and (f) of 
section 107 do not apply to violations of this section.

SEC. 107. ENFORCEMENT BY FEDERAL TRADE COMMISSION.

    (a) Violation Is Unfair or Deceptive Act or Practice.--Except as 
provided in subsection (b), this title shall be enforced by the 
Commission as if the violation of this title were an unfair or 
deceptive act or practice proscribed under section 18(a)(1)(B) of the 
Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)).
    (b) Enforcement by Certain Other Agencies.--Compliance with this 
title shall be enforced--
            (1) under section 8 of the Federal Deposit Insurance Act 
        (12 U.S.C. 1818), in the case of--
                    (A) national banks, and Federal branches and 
                Federal agencies of foreign banks, and any subsidiaries 
                of such entities (except brokers, dealers, persons 
                providing insurance, investment companies, and 
                investment advisers), by the Office of the Comptroller 
                of the Currency;
                    (B) member banks of the Federal Reserve System 
                (other than national banks), branches and agencies of 
                foreign banks (other than Federal branches, Federal 
                agencies, and insured State branches of foreign banks), 
                commercial lending companies owned or controlled by 
                foreign banks, organizations operating under section 25 
                or 25A of the Federal Reserve Act (12 U.S.C. 601 and 
                611), and bank holding companies and their nonbank 
                subsidiaries or affiliates (except brokers, dealers, 
                persons providing insurance, investment companies, and 
                investment advisers), by the Board;
                    (C) banks insured by the Federal Deposit Insurance 
                Corporation (other than members of the Federal Reserve 
                System) insured State branches of foreign banks, and 
                any subsidiaries of such entities (except brokers, 
                dealers, persons providing insurance, investment 
                companies, and investment advisers), by the Board of 
                Directors of the Federal Deposit Insurance Corporation; 
                and
                    (D) savings associations the deposits of which are 
                insured by the Federal Deposit Insurance Corporation, 
                and any subsidiaries of such savings associations 
                (except brokers, dealers, persons providing insurance, 
                investment companies, and investment advisers), by the 
                Director of the Office of Thrift Supervision;
            (2) under the Federal Credit Union Act (12 U.S.C. 1751 et 
        seq.) by the Board of the National Credit Union Administration 
        with respect to any Federally insured credit union, and any 
        subsidiaries of such a credit union;
            (3) under the Securities Exchange Act of 1934 (15 U.S.C. 
        78a et seq.) by the Securities and Exchange Commission with 
        respect to any broker or dealer;
            (4) under the Investment Company Act of 1940 (15 U.S.C. 
        80a-1 et seq.) by the Securities and Exchange Commission with 
        respect to investment companies;
            (5) under the Investment Advisers Act of 1940 (15 U.S.C. 
        80b-1 et seq.) by the Securities and Exchange Commission with 
        respect to investment advisers registered under that Act;
            (6) under State insurance law in the case of any person 
        engaged in providing insurance, by the applicable State 
        insurance authority of the State in which the person is 
        domiciled, subject to section 104 of the Gramm-Bliley-Leach Act 
        (15 U.S.C. 6701);
            (7) under part A of subtitle VII of title 49, United States 
        Code, by the Secretary of Transportation with respect to any 
        air carrier or foreign air carrier subject to that part;
            (8) under the Packers and Stockyards Act, 1921 (7 U.S.C. 
        181 et seq.) (except as provided in section 406 of that Act (7 
        U.S.C. 226, 227)), by the Secretary of Agriculture with respect 
        to any activities subject to that Act;
            (9) under the Farm Credit Act of 1971 (12 U.S.C. 2001 et 
        seq.) by the Farm Credit Administration with respect to any 
        Federal land bank, Federal land bank association, Federal 
        intermediate credit bank, or production credit association; and
            (10) under the Communications Act of 1934 (47 U.S.C. 151 et 
        seq.) by the Federal Communications Commission with respect to 
        any person subject to the provisions of that Act.
    (c) Exercise of Certain Powers.--For the purpose of the exercise by 
any agency referred to in subsection (b) of its powers under any Act 
referred to in that subsection, a violation of this title is deemed to 
be a violation of a Federal Trade Commission trade regulation rule. In 
addition to its powers under any provision of law specifically referred 
to in subsection (b), each of the agencies referred to in that 
subsection may exercise, for the purpose of enforcing compliance with 
any requirement imposed under this title, any other authority conferred 
on it by law.
    (d) Actions by the Commission.--The Commission shall prevent any 
person from violating this title in the same manner, by the same means, 
and with the same jurisdiction, powers, and duties as though all 
applicable terms and provisions of the Federal Trade Commission Act (15 
U.S.C. 41 et seq.) were incorporated into and made a part of this 
title. Any entity that violates any provision of that subtitle is 
subject to the penalties and entitled to the privileges and immunities 
provided in the Federal Trade Commission Act in the same manner, by the 
same means, and with the same jurisdiction, power, and duties as though 
all applicable terms and provisions of the Federal Trade Commission Act 
were incorporated into and made a part of that subtitle.
    (e) Enforcement by States.--
            (1) Civil action.--In any case in which the attorney 
        general of a State has reason to believe that an interest of 
        the residents of that State has been or is threatened or 
        adversely affected by any person engaging in a practice that 
        violates section 105 of this title, the State, as parens 
        patriae, may bring a civil action on behalf of the residents of 
        the State in a district court of the United States of 
        appropriate jurisdiction--
                    (A) to enjoin further violation of section 105 of 
                this title by the defendant; or
                    (B) to obtain damages on behalf of residents of the 
                State, in an amount equal to the greater of--
                            (i) the actual monetary loss suffered by 
                        such residents; or
                            (ii) the amount determined under paragraph 
                        (2).
            (2) Statutory damages.--
                    (A) In general.--For purposes of paragraph 
                (1)(B)(ii), the amount determined under this paragraph 
                is the amount calculated by multiplying the number of 
                violations (with each separately addressed unlawful 
                message received by or addressed to such residents 
                treated as a separate violation) by--
                            (i) up to $100, in the case of a violation 
                        of section 105(a)(1); or
                            (ii) $25, in the case of any other 
                        violation of section 105.
                    (B) Limitation.--For any violation of section 105 
                (other than section 105(a)(1)), the amount determined 
                under subparagraph (A) may not exceed $1,000,000.
                    (C) Aggravated damages.--The court may increase a 
                damage award to an amount equal to not more than three 
                times the amount otherwise available under this 
                paragraph if--
                            (i) the court determines that the defendant 
                        committed the violation willfully and 
                        knowingly; or
                            (ii) the defendant's unlawful activity 
                        included one or more of the aggravating 
                        violations set forth in section 105(b).
            (3) Attorney fees.--In the case of any successful action 
        under paragraph (1), the State shall be awarded the costs of 
        the action and reasonable attorney fees as determined by the 
        court.
            (4) Rights of federal regulators.--The State shall serve 
        prior written notice of any action under paragraph (1) upon the 
        Federal Trade Commission or the appropriate Federal regulator 
        determined under subsection (b) and provide the Commission or 
        appropriate Federal regulator with a copy of its complaint, 
        except in any case in which such prior notice is not feasible, 
        in which case the State shall serve such notice immediately 
        upon instituting such action. The Federal Trade Commission or 
        appropriate Federal regulator shall have the right--
                    (A) to intervene in the action;
                    (B) upon so intervening, to be heard on all matters 
                arising therein;
                    (C) to remove the action to the appropriate United 
                States district court; and
                    (D) to file petitions for appeal.
            (5) Construction.--For purposes of bringing any civil 
        action under paragraph (1), nothing in this title shall be 
        construed to prevent an attorney general of a State from 
        exercising the powers conferred on the attorney general by the 
        laws of that State to--
                    (A) conduct investigations;
                    (B) administer oaths or affirmations; or
                    (C) compel the attendance of witnesses or the 
                production of documentary and other evidence.
            (6) Venue; service of process.--
                    (A) Venue.--Any action brought under paragraph (1) 
                may be brought in the district court of the United 
                States that meets applicable requirements relating to 
                venue under section 1391 of title 28, United States 
                Code.
                    (B) Service of process.--In an action brought under 
                paragraph (1), process may be served in any district in 
                which the defendant--
                            (i) is an inhabitant; or
                            (ii) maintains a physical place of 
                        business.
            (7) Limitation on state action while federal action is 
        pending.--If the Commission or other appropriate Federal agency 
        under subsection (b) has instituted a civil action or an 
        administrative action for violation of this title, no State 
        attorney general may bring an action under this subsection 
        during the pendency of that action against any defendant named 
        in the complaint of the Commission or the other agency for any 
        violation of this title alleged in the complaint.
    (f) Action by Provider of Internet Access Service.--
            (1) Action authorized.--A provider of Internet access 
        service adversely affected by a violation of section 105 may 
        bring a civil action in any district court of the United States 
        with jurisdiction over the defendant--
                    (A) enjoin further violation by the defendant; or
                    (B) recover damages in an amount equal to the 
                greater of--
                            (i) actual monetary loss incurred by the 
                        provider of Internet access service as a result 
                        of such violation; or
                            (ii) the amount determined under paragraph 
                        (2).
            (2) Statutory damages.--
                    (A) In general.--For purposes of paragraph 
                (1)(B)(ii), the amount determined under this paragraph 
                is the amount calculated by multiplying the number of 
                violations (with each separately addressed unlawful 
                message that is transmitted or attempted to be 
                transmitted over the facilities of the provider of 
                Internet access service, or that is transmitted or 
                attempted to be transmitted to an electronic mail 
                address obtained from the provider of Internet access 
                service in violation of section 105(b)(1)(A)(i), 
                treated as a separate violation) by--
                            (i) up to $100, in the case of a violation 
                        of section 105(a)(1); or
                            (ii) $25, in the case of any other 
                        violation of section 105.
                    (B) Limitation.--For any violation of section 105 
                (other than section 105(a)(1)), the amount determined 
                under subparagraph (A) may not exceed $1,000,000.
                    (C) Aggravated damages.--The court may increase a 
                damage award to an amount equal to not more than three 
                times the amount otherwise available under this 
                paragraph if--
                            (i) the court determines that the defendant 
                        committed the violation willfully and 
                        knowingly; or
                            (ii) the defendant's unlawful activity 
                        included one or more of the aggravated 
                        violations set forth in section 105(b).
            (3) Attorney fees.--In any action brought pursuant to 
        paragraph (1), the court may, in its discretion, require an 
        undertaking for the payment of the costs of such action, and 
        assess reasonable costs, including reasonable attorneys' fees, 
        against any party.

SEC. 108. EFFECT ON OTHER LAWS.

    (a) Federal Law.--
            (1) Nothing in this title shall be construed to impair the 
        enforcement of section 223 or 231 of the Communications Act of 
        1934 (47 U.S.C. 223 or 231, respectively), chapter 71 (relating 
        to obscenity) or 110 (relating to sexual exploitation of 
        children) of title 18, United States Code, or any other Federal 
        criminal statute.
            (2) Nothing in this title shall be construed to affect in 
        any way the Commission's authority to bring enforcement actions 
        under FTC Act for materially false or deceptive representations 
        or unfair practices in commercial electronic mail messages.
    (b) State Law.--
            (1) In general.--This title supersedes any statute, 
        regulation, or rule of a State or political subdivision of a 
        State that expressly regulates the use of electronic mail to 
        send commercial messages, except to the extent that any such 
        statute, regulation, or rule prohibits falsity or deception in 
        any portion of a commercial electronic mail message or 
        information attached thereto.
            (2) State law not specific to electronic mail.--This title 
        shall not be construed to preempt the applicability of State 
        laws that are not specific to electronic mail, including State 
        trespass, contract, or tort law, and other State laws to the 
        extent that those laws relate to acts of fraud or computer 
        crime.
    (c) No Effect on Policies of Providers of Internet Access 
Service.--Nothing in this title shall be construed to have any effect 
on the lawfulness or unlawfulness, under any other provision of law, of 
the adoption, implementation, or enforcement by a provider of Internet 
access service of a policy of declining to transmit, route, relay, 
handle, or store certain types of electronic mail messages.

SEC. 109. DO-NOT-E-MAIL REGISTRY.

    (a) In General.--Not later than 6 months after the date of 
enactment of this title, the Commission shall transmit to the Senate 
Committee on Commerce, Science, and Transportation and the House of 
Representatives Committee on Energy and Commerce a report that--
            (1) sets forth a plan and timetable for establishing a 
        nationwide marketing Do-Not-E-mail registry;
            (2) includes an explanation of any practical, technical, 
        security, privacy, enforceability, or other concerns that the 
        Commission has regarding such a registry; and
            (3) includes an explanation of how the registry would be 
        applied with respect to children with e-mail accounts.
    (b) Authorization To Implement.--The Commission may establish and 
implement the plan, but not earlier than 9 months after the date of 
enactment of this title.

SEC. 110. STUDY OF EFFECTS OF UNSOLICITED COMMERCIAL ELECTRONIC MAIL.

    (a) In General.--Not later than 24 months after the date of the 
enactment of this title, the Commission, in consultation with the 
Department of Justice and other appropriate agencies, shall submit a 
report to the Congress that provides a detailed analysis of the 
effectiveness and enforcement of the provisions of this title and the 
need (if any) for the Congress to modify such provisions.
    (b) Required Analysis.--The Commission shall include in the report 
required by subsection (a)--
            (1) an analysis of the extent to which technological and 
        marketplace developments, including changes in the nature of 
        the devices through which consumers access their electronic 
        mail messages, may affect the practicality and effectiveness of 
        the provisions of this title;
            (2) analysis and recommendations concerning how to address 
        unsolicited commercial electronic mail that originates in or is 
        transmitted through or to facilities or computers in other 
        nations, including initiatives or policy positions that the 
        Federal government could pursue through international 
        negotiations, fora, organizations, or institutions; and
            (3) analysis and recommendations concerning options for 
        protecting consumers, including children, from the receipt and 
        viewing of unsolicited commercial electronic mail that is 
        obscene or pornographic.

SEC. 111. IMPROVING ENFORCEMENT BY PROVIDING REWARDS FOR INFORMATION 
              ABOUT VIOLATIONS; LABELING.

    (a) In General.--The Commission shall transmit to the Senate 
Committee on Commerce, Science, and Transportation and the House of 
Representatives Committee on Energy and Commerce--
            (1) a report, within 9 months after the date of enactment 
        of this title, that sets forth a system for rewarding those who 
        supply information about violations of this title, including--
                    (A) procedures for the Commission to grant a reward 
                of not less than 20 percent of the total civil penalty 
                collected for a violation of this title to the first 
                person that--
                            (i) identifies the person in violation of 
                        this title; and
                            (ii) supplies information that leads to the 
                        successful collection of a civil penalty by the 
                        Commission; and
                    (B) procedures to minimize the burden of submitting 
                a complaint to the Commission concerning violations of 
                this title, including procedures to allow the 
                electronic submission of complaints to the Commission; 
                and
            (2) a report, within 18 months after the date of enactment 
        of this title, that sets forth a plan for requiring unsolicited 
        commercial electronic mail to be identifiable from its subject 
        line, by means of compliance with Internet Engineering Task 
        Force Standards, the use of the characters ``ADV'' in the 
        subject line, or other comparable identifier, or an explanation 
        of any concerns the Commission has that cause the Commission to 
        recommend against the plan.
    (b) Implementation of Reward System.--The Commission may establish 
and implement the plan under subsection (a)(1), but not earlier than 12 
months after the date of enactment of this title.

SEC. 112. SEPARABILITY.

    If any provision of this title or the application thereof to any 
person or circumstance is held invalid, the remainder of this title and 
the application of such provision to other persons or circumstances 
shall not be affected.

SEC. 113. EFFECTIVE DATE.

    The provisions of this title other than section 109, shall take 
effect 120 days after the date of the enactment of this title.

                     TITLE II--REALTIME WRITERS ACT

SEC. 201. SHORT TITLE.

    This title may be cited as the ``Training for Realtime Writers Act 
of 2003''.

SEC. 202. FINDINGS.

    Congress makes the following findings:
            (1) As directed by Congress in section 723 of the 
        Communications Act of 1934 (47 U.S.C. 613), as added by section 
        305 of the Telecommunications Act of 1996 (Public Law 104-104; 
        110 Stat. 126), the Federal Communications Commission adopted 
        rules requiring closed captioning of most television 
        programming, which gradually require new video programming to 
        be fully captioned beginning in 2006.
            (2) More than 28,000,000 Americans, or 8 percent of the 
        population, are considered deaf or hard of hearing, and many 
        require captioning services to participate in mainstream 
        activities.
            (3) More than 24,000 children are born in the United States 
        each year with some form of hearing loss.
            (4) According to the Department of Health and Human 
        Services and a study done by the National Council on Aging--
                    (A) 25 percent of Americans over 65 years old are 
                hearing impaired;
                    (B) 33 percent of Americans over 70 years old are 
                hearing impaired; and
                    (C) 41 percent of Americans over 75 years old are 
                hearing impaired.
            (5) The National Council on Aging study also found that 
        depression in older adults may be directly related to hearing 
        loss and disconnection with the spoken word.
            (6) Empirical research demonstrates that captions improve 
        the performance of individuals learning to read English and, 
        according to numerous Federal agency statistics, could 
        benefit--
                    (A) 3,700,000 remedial readers;
                    (B) 12,000,000 young children learning to read;
                    (C) 27,000,000 illiterate adults; and
                    (D) 30,000,000 people for whom English is a second 
                language.
            (7) Over the past 5 years, student enrollment in programs 
        that train court reporters to become realtime writers has 
        decreased significantly, causing such programs to close on many 
        campuses.

SEC. 203. AUTHORIZATION OF GRANT PROGRAM TO PROMOTE TRAINING AND JOB 
              PLACEMENT OF REALTIME WRITERS.

    (a) In General.--The National Telecommunications and Information 
Administration shall make competitive grants to eligible entities under 
subsection (b) to promote training and placement of individuals, 
including individuals who have completed a court reporting training 
program, as realtime writers in order to meet the requirements for 
closed captioning of video programming set forth in section 723 of the 
Communications Act of 1934 (47 U.S.C. 613) and the rules prescribed 
thereunder.
    (b) Eligible Entities.--For purposes of this title, an eligible 
entity is a court reporting program that--
            (1) can document and demonstrate to the Secretary of 
        Commerce that it meets minimum standards of educational and 
        financial accountability, with a curriculum capable of training 
        realtime writers qualified to provide captioning services;
            (2) is accredited by an accrediting agency recognized by 
        the Department of Education; and
            (3) is participating in student aid programs under title IV 
        of the Higher Education Act of 1965.
    (c) Priority in Grants.--In determining whether to make grants 
under this section, the Secretary of Commerce shall give a priority to 
eligible entities that, as determined by the Secretary of Commerce--
            (1) possess the most substantial capability to increase 
        their capacity to train realtime writers;
            (2) demonstrate the most promising collaboration with local 
        educational institutions, businesses, labor organizations, or 
        other community groups having the potential to train or provide 
        job placement assistance to realtime writers; or
            (3) propose the most promising and innovative approaches 
        for initiating or expanding training and job placement 
        assistance efforts with respect to realtime writers.
    (d) Duration of Grant.--A grant under this section shall be for a 
period of two years.
    (e) Maximum Amount of Grant.--The amount of a grant provided under 
subsection (a) to an entity eligible may not exceed $1,500,000 for the 
two-year period of the grant under subsection (d).

SEC. 204. APPLICATION.

    (a) In General.--To receive a grant under section 203, an eligible 
entity shall submit an application to the National Telecommunications 
and Information Administration at such time and in such manner as the 
Administration may require. The application shall contain the 
information set forth under subsection (b).
    (b) Information.--Information in the application of an eligible 
entity under subsection (a) for a grant under section 203 shall include 
the following:
            (1) A description of the training and assistance to be 
        funded using the grant amount, including how such training and 
        assistance will increase the number of realtime writers.
            (2) A description of performance measures to be utilized to 
        evaluate the progress of individuals receiving such training 
        and assistance in matters relating to enrollment, completion of 
        training, and job placement and retention.
            (3) A description of the manner in which the eligible 
        entity will ensure that recipients of scholarships, if any, 
        funded by the grant will be employed and retained as realtime 
        writers.
            (4) A description of the manner in which the eligible 
        entity intends to continue providing the training and 
        assistance to be funded by the grant after the end of the grant 
        period, including any partnerships or arrangements established 
        for that purpose.
            (5) A description of how the eligible entity will work with 
        local workforce investment boards to ensure that training and 
        assistance to be funded with the grant will further local 
        workforce goals, including the creation of educational 
        opportunities for individuals who are from economically 
        disadvantaged backgrounds or are displaced workers.
            (6) Additional information, if any, of the eligibility of 
        the eligible entity for priority in the making of grants under 
        section 203(c).
            (7) Such other information as the Administration may 
        require.

SEC. 205. USE OF FUNDS.

    (a) In General.--An eligible entity receiving a grant under section 
203 shall use the grant amount for purposes relating to the 
recruitment, training and assistance, and job placement of individuals, 
including individuals who have completed a court reporting training 
program, as realtime writers, including--
            (1) recruitment;
            (2) subject to subsection (b), the provision of 
        scholarships;
            (3) distance learning;
            (4) development of curriculum to more effectively train 
        realtime writing skills, and education in the knowledge 
        necessary for the delivery of high-quality closed captioning 
        services;
            (5) assistance in job placement for upcoming and recent 
        graduates with all types of captioning employers;
            (6) encouragement of individuals with disabilities to 
        pursue a career in realtime writing; and
            (7) the employment and payment of personnel for such 
        purposes.
    (b) Scholarships.--
            (1) Amount.--The amount of a scholarship under subsection 
        (a)(2) shall be based on the amount of need of the recipient of 
        the scholarship for financial assistance, as determined in 
        accordance with part F of title IV of the Higher Education Act 
        of 1965 (20 U.S.C. 1087kk).
            (2) Agreement.--Each recipient of a scholarship under 
        subsection (a)(2) shall enter into an agreement with the 
        National Telecommunications and Information Administration to 
        provide realtime writing services for a period of time (as 
        determined by the Administration) that is appropriate (as so 
        determined) for the amount of the scholarship received.
            (3) Coursework and employment.--The Administration shall 
        establish requirements for coursework and employment for 
        recipients of scholarships under subsection (a)(2), including 
        requirements for repayment of scholarship amounts in the event 
        of failure to meet such requirements for coursework and 
        employment. Requirements for repayment of scholarship amounts 
        shall take into account the effect of economic conditions on 
        the capacity of scholarship recipients to find work as realtime 
        writers.
    (c) Administrative Costs.--The recipient of a grant under section 
203 may not use more than 5 percent of the grant amount to pay 
administrative costs associated with activities funded by the grant.
    (d) Supplement Not Supplant.--Grants amounts under this title shall 
supplement and not supplant other Federal or non-Federal funds of the 
grant recipient for purposes of promoting the training and placement of 
individuals as realtime writers

SEC. 206. REPORTS.

    (a) Annual Reports.--Each eligible entity receiving a grant under 
section 203 shall submit to the National Telecommunications and 
Information Administration, at the end of each year of the grant 
period, a report on the activities of such entity with respect to the 
use of grant amounts during such year.
    (b) Report Information.--
            (1) In general.--Each report of an entity for a year under 
        subsection (a) shall include a description of the use of grant 
        amounts by the entity during such year, including an assessment 
        by the entity of the effectiveness of activities carried out 
        using such funds in increasing the number of realtime writers. 
        The assessment shall utilize the performance measures submitted 
        by the entity in the application for the grant under section 
        204(b).
            (2) Final report.--The final report of an entity on a grant 
        under subsection (a) shall include a description of the best 
        practices identified by the entity as a result of the grant for 
        increasing the number of individuals who are trained, employed, 
        and retained in employment as realtime writers.

SEC. 207. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to carry out this title, 
amounts as follows:
            (1) $20,000,000 for each of fiscal years 2004, 2005, and 
        2006.
            (2) Such sums as may be necessary for fiscal year 2007.

            Passed the Senate October 22, 2003.

            Attest:

                                                             Secretary.
108th CONGRESS

  1st Session

                                 S. 877

_______________________________________________________________________

                                 AN ACT

 To regulate interstate commerce by imposing limitations and penalties 
 on the transmission of unsolicited commercial electronic mail via the 
                               Internet.