[Congressional Record Volume 140, Number 1 (Tuesday, January 25, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: January 25, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mr. McCONNELL:
  S. 1787. A bill to amend the Internal Revenue Code of 1986 to provide 
for the tax-free treatment of education savings accounts established 
through certain State programs, and for other purposes; to the 
Committee on Finance.


                  the education trust fund savings act

 Mr. McCONNELL. Mr. President, I rise today to introduce the 
Higher Education Trust Fund Savings Act, a bill that will help American 
families defray the rapidly increasing costs of higher education. I 
find it alarming that education costs have become the greatest barrier 
for students who want to attend college.
  Mr. President, there isn't a corporate or civic leader in this 
country who will dispute the fact that this Nation's future success is 
dependent on the education of our children today. Not only do we need 
to train our future scientists and business leaders, but we need to 
provide service personnel and traditional blue collar occupations with 
skill development. Vocational training is critical to our ability to 
rapidly adapt to technological developments which directly affect the 
competitiveness of U.S. businesses.
  I am disappointed to report, however, that for many families an 
affordable education is unrealistic. Students are forced to burden 
themselves with tens of thousands of dollars in loans or aid. In fact, 
in 1990, 56 percent of all students accepted financial assistance and 
the average was higher for minority students.
  As a parent of two college students, I know only too well the costs 
associated with higher education. I was forced to take out a second 
mortgage on my home in order to help meet the costs of their education.
  Mr. President, I know that I am lucky compared to some. It is not 
uncommon for parents to take a second job in order to help meet the 
tuition and financial obligations. Many times, students are restricted 
to attending part time or are forced to put off their education 
altogether due to financial difficulty.
  Since 1992, Kentucky students have faced two tuition hikes. The two 
largest public universities have been forced by budgetary pressures to 
increase tuition by 11 percent; and community college students were 
asked to pay a 14-percent increase. Lance Dowdy, the student government 
president at the University of Kentucky, hit the nail on the head when 
he said, ``Public education is starting to look like a privilege.'' We 
cannot afford to let this happen.
  This bill will amend the Tax Code to maximize investment in State-
sponsored education savings plans. It will permit an individual's 
investment in a State-sponsored savings program to be exempt from 
Federal taxation when the earnings are used to meet educational costs.
  The contributions would be after-tax dollars, and any earnings that 
are not used for educational purposes would be subject to taxation at 
the individual's current tax rate.
  In an effort to encourage States to create their own savings plan, 
this bill also would exempt the State organizations that administer 
such programs from Federal taxation. This would reduce administrative 
expenses, thus increasing investment in education. Thirty-four States 
have already established some form of education savings plan for their 
residents.
  This legislation will not force States to establish their own 
education trust fund or saddle a State with additional costs 
involuntarily. It merely provides States with an opportunity to invest 
in the future. I am confident that upon passage of this bill, more 
States will seek to establish a savings vehicle for their residents.
  Lastly, this legislation would exempt from Federal taxation, 
corporate and individual endowments to the trust fund. This provision 
is unique because it also provides an incentive for corporations to 
help finance the education of the next leaders of this country. The 
added investment will boost the return to the students, thus further 
reducing the cost of education.
  In Kentucky, there is already a State-sponsored savings plan in 
effect and working quite well. However, there are several Federal tax 
concerns that have impeded the growth and full utilization of this 
program. I have worked one-on-one with the Kentucky Higher Education 
Assistance Authority in drafting this legislation, and I believe we 
have a winning package that will benefit education and students alike. 
I hope my colleagues will join me in supporting this 
legislation.
                                 ______

      By Mr. GRAMM:
  S. 1788. A bill to authorize negotiation of free trade agreements 
with the countries of the Americas, and for other purposes; to the 
Committee on Finance.


                      the american free-trade act

  Mr. GRAMM. Mr. President, today I am introducing the American Free-
Trade Act. This legislation builds on our success with the North 
American Free-Trade Agreement. It sets up a procedure whereby the 
President would begin negotiations with any or all of the countries of 
the Western Hemisphere with a goal of achieving a free-trade area from 
the Arctic to the Antarctic.
  The bill has special procedures to deal with Cuba. It says that once 
Cuba is liberated from Castro, once there is a constitutionally 
guaranteed democratic government, once private property rights have 
been restored and protected, once Cuba has a convertible currency, once 
free speech and free press are protected, and all the political 
prisoners are released, then we could begin at that point to negotiate 
with Cuba. Indeed, priority would be given to our negotiations with a 
free Cuba.
  I believe that we are going to create jobs, growth, and opportunity 
in North America with NAFTA. I think these are benefits that can and 
should be extended to all the Americas, so that any person working in 
any hut in any village in the Americas could produce any good or 
service and sell it anywhere else.
  This would be a great act that would promote freedom and democracy in 
the Americas, that would promote prosperity. It is a very important 
goal, and I am happy to introduce this bill today.
  This may sound visionary to some people. Five years ago, when I was 
talking about a free-trade agreement with Mexico and with Canada, many 
thought that I sounded too visionary. Today that vision is the law of 
the land.
   Mr. President, I ask unanimous consent that a summary of the 
American Free-Trade Act be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                      The American Free-Trade Act


                                summary

       I. The President is directed to undertake negotiations to 
     establish free trade agreements between the United States and 
     countries of the Western Hemisphere. Agreements may be 
     bilateral or multilateral.
       II. The President, before seeking a free trade agreement 
     with Cuba under the Act, would have to certify (1) that 
     freedom has been restored in Cuba, and (2) that the claims of 
     U.S. citizens for compensation for expropriated property have 
     been appropriately addressed. The President could make the 
     certification that freedom has been restored in Cuba only if 
     he determines that--
       A. constitutionally guaranteed democratic government has 
     been established in Cuba, with leaders freely and fairly 
     elected;
       B. private property rights have been restored and are 
     effectively protected and broadly exercised;
       C. Cuba has a convertible currency;
       D. all political prisoners have been released; and
       E. free speech and freedom of the press are effectively 
     guaranteed.
       If the President certifies that freedom has been restored 
     to Cuba, priority will be given to the negotiation of a free 
     trade agreement with Cuba.
       III. Congressional fast track procedures for consideration 
     of any such agreement (i.e. expedited consideration, no 
     amendments), are extended permanently.
                                 ______

      By Mr. BUMPERS:
  S. 1790. A bill entitled ``the National Peace Reauthorization Act''; 
to the Committee on Energy and Natural Resources.


                   national peace reauthorization act

 Mr. BUMPERS. Mr. President, in 1987 Congress authorized and 
the President signed into law legislation to authorize the creation of 
a National Peace Garden in Washington, DC. The purpose of the Peace 
Garden is to honor the commitment of the people in the United States to 
world peace. This unique monument will not only honor past achievements 
but help inspire future efforts for peace--both in this country and 
throughout the world.
  Unfortunately, construction of this memorial was held up for several 
years because of disagreements over its proposed design. As many of my 
colleagues know, getting a design concept approved for a memorial is 
often a long and difficult process and requires the approval of both 
the Commission of Fine Arts and the National Capital Planning 
Commission. Fortunately, final approval for the design concept was 
received last July and a national fundraising campaign has been 
launched for the project. Because of the delay in securing design 
approval, the National Peace Garden now needs to extend its 
construction authority for an additional 3 years. Today, I am 
introducing legislation to give them this extension.
  Mr. President, I urge my colleagues to support this legislation and 
allow work on this memorial to move forward. Similar legislation has 
already been passed by the House and I hope will be favorably 
considered by the Senate.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1790

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

     SECTION 1. EXTENSION OF AUTHORIZATION FOR PEACE GARDEN.

       (a) Notwithstanding section 10 (b) of Public Law 99-652, as 
     amended (40 U.S.C. 1010 (b)), the authority of the National 
     Peace Garden to establish the garden known as the ``Peace 
     Garden'' in accordance with Public Law 100-63 (40 U.S.C. 1003 
     note) shall expire on June 30, 1997.
       (b)(1) The Congress finds that the Peace Garden Project, 
     Incorporated, has changed its name to the National Peace 
     Garden.
       (2) Any reference in a law, map, regulation, document, 
     paper, or other record of the United States to the Peace 
     Garden Project, Incorporated shall be deemed to be a 
     reference to the National Peace Garden.''
                                 ______

      By Mr. BAUCUS:
  S. 1794. A bill to designate the Federal building located at the 
corner of North 29th Street and Fourth Avenue North in Billings, 
Montana, as the ``William J. Jameson Federal Building'', and for other 
purposes; to the Committee on Environment and Public Works.


            william j. jameson federal building act of 1994

 Mr. BAUCUS. Mr. President. I introduce legislation to name the 
new Federal building in Billings, MT after the late Judge William J. 
Jameson. Judge Jameson was an renowned Montana jurist, respected for 
his integrity, dedication, wisdom, and contribution to the law.
  Born August 8, 1898, in Butte, MT, Jameson also lived in Roundup as a 
youngster. During his early years, teachers and family knew Bill was 
someone special. He exhibited an uncommon devotion to learning, and 
from an early age knew he wanted to be a lawyer.
  At the age of 17, he entered the University of Montana, matriculating 
to the university's law school once his undergraduate work was 
complete. One year after graduating from law school, he married Mildred 
Lore of Billings. Mildred was a source of inspiration and support to 
Bill throughout his career.
  Jameson was active in the Montana Republican party. In 1926, while an 
attorney with the Billings law firm Johnston, Coleman & Johnston, he 
ran a successful campaign for the Montana legislature. According to 
Journey With the Law, a book about Judge Jameson by Lawrence F. Small, 
his entire election campaign cost $35.00.
  Jameson served two terms in Helena, and became known for his strong 
support for the State's higher education system. This support was 
critical to bringing higher education to Billings, with Eastern Montana 
College opening in 1927.
  After his years in the legislature, Jameson returned to his Billings 
firm and continued his work as a trial attorney. He received high marks 
from judges and fellow attorneys for his exceptional abilities.
  Jameson joined the Montana Bar Association soon after graduating from 
law school, and was elected to serve as the M.B.A. president from 1936 
to 1937. He also contributed to the community. He gave generously of 
his time to numerous educational and community organizations in 
Montana.
  In 1953, a prestigious honor came Jameson's way. He was elected 
president of the American Bar Association during a tumultuous time in 
American history, the era of McCarthyism and of Brown versus Board of 
Education of Topeka. During his year-long term, Jameson helped to 
eliminate racial restrictions for membership in the American Bar 
Association.
  Jameson also served as a member of the Conference of Commissioners on 
Uniform State Laws; president of the American Judicature Society and 
the American Law Institute; chairman of the American Bar Endowment 
board of directors, of the Committee on Standards for the 
Administration of Criminal Justice, and of the American Bar Association 
section of judicial administration.
  Soon after his term as A.B.A. president, President Eisenhower 
nominated Jameson to be a U.S. District Judge for Montana. Like the 
trial attorneys Jameson had faced in court, judges thought highly of 
Judge Jameson. His reasoned decisions were much respected by members of 
the bench.
  Judge Jameson's love for the law triggered his decision to continue 
his judicial career as a senior judge after being eligible for full 
retirement in 1969. In this capacity, he was widely sought after for 
the next 20 years to sit on Courts of appeals for various Federal 
circuits.
  In 1973, Jameson was awarded the A.B.A. medal, the association's 
highest accolade, given for ``conspicuous service in the cause of 
American jurisprudence.'' Jameson joined Oliver Wendell Holmes and 
Felix Frankfurter, among others, in receiving this award.
  Judge Jameson was so economical in his stewardship of Federal funds 
and so diligent in his work habits that it was said at his funeral that 
if all Federal employees worked as hard and were as frugal as he, there 
would be no Federal deficit.
  Judge Jameson, Mr. President, contributed much to our system of 
jurisprudence. His passion for the law, and his balanced approach to 
the law, have served us all.
  Montanans are proud to call Judge Jameson one of their own. For this 
reason, I am particularly honored to introduce legislation to name the 
new Federal building in Billings after the judge. It is a well-deserved 
tribute.
  Mr. President, I ask unanimous consent that the text of the measure 
be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1794

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

     SECTION 1. DESIGNATION OF WILLIAM J. JAMESON FEDERAL 
                   BUILDING.

       The Federal building located at the corner of North 29th 
     Street and Fourth Avenue North in Billings, Montana, shall be 
     known and designated as the ``William J. Jameson Federal 
     Building''.

     SEC. 2. REFERENCES.

       Any reference in a law, map, regulation, document, paper, 
     or other record of the United States to the Federal building 
     referred to in section 1 shall be deemed to be a reference to 
     the ``William J. Jameson Federal Building''.
                                 ______

      By Mr. Brown (for himself, Mr. Dole, Mr. Packwood, Mr. D'Amato, 
        Mr. Simpson, Mr. Warner, Mr. Gramm, Mr. Stevens, Mr. Cochran, 
        Mr. McCain, Mr. Gorton, Mr. Burns, Mr. McConnell, Mr. 
        Murkowski, Mr. Nickles, Mrs. Hutchison and Mr. Pressler):
  S. 1795. A bill to amend title IV of the Social Security Act and 
other provisions to provide reforms to the welfare system in effect in 
the United States; to the Committee on Finance.


                       welfare reform act of 1994

  Mr. BROWN. Mr. President, in November, Senate Republicans promised to 
introduce a welfare reform bill on the first day of this session. 
Today, with Senator Dole and 14 other Senators as cosponsors, I'm here 
to keep that promise and to introduce a Senate Republican welfare 
reform bill.
  Americans believe in work. Work is the key to success, opportunity, 
fulfillment, and growth. Work encourages accomplishment and self-
respect. To reform welfare, we must encourage work.
  The welfare reform we Senate Republicans propose focuses on 
opportunity to move out of poverty. The Brown/Dole bill requires job 
search by adults applying for Aid for Families with Dependent Children. 
It requires able-bodied job-ready adults to work for their welfare 
benefits. For those who don't have the skills or education to hold a 
job, we require them to get the remedial education and job skills 
training necessary for one. The Brown/Dole bill gives States the option 
of ``two years and off'' for adult AFDC recipients.
  For the welfare recipient, the bill allows them to exchange welfare 
benefits for a job. AFDC and food stamp benefits can literally be taken 
in voucher form and exchanged for a job with a private employer. Under 
this program, the welfare recipient receives a job that pays at least 
double the welfare benefits. The employer receives the voucher which 
they can redeem to help pay for the cost of training the employee. The 
Government saves money by receiving taxes on the income of the new 
employee.

  In 1988, when I was in the House, we made a step toward changing our 
welfare system to encourage work in the Family Support Act. When the 
Senate passed a work requirement in its 1988 welfare reform package, 
the groundwork was set to get it through the House and enacted into 
law. It was the Republicans in both the House and Senate who thought of 
it and accomplished it.
  This bill takes the work requirements we started in 1988 in the 
Family Support Act and builds on them. The Brown/Dole bill requires at 
least one parent in two-parent AFDC families to work for the benefits. 
It requires non-custodial parents whose children are on welfare to pay 
court-ordered child support or to participate in welfare work programs.
  With work, the Senate Republican welfare reforms also focus on 
parental responsibility. The Brown/Dole bill requires teenage mothers 
to live at home, or in a supervised group home, to be eligible for AFDC 
benefits. It also gives States the option to deny cash welfare benefits 
to teen mothers or for children conceived while the mother is on AFDC. 
The Senate Republican welfare reform proposal changes the law so a 
mother does not get her portion of cash AFDC benefits until she has 
fully cooperated in getting her children's paternity legally 
established. It encourages States to establish uniform forms and 
systems for wage withholding of child support and to honor other 
States' child support orders.

  In developing this legislation, we've talked to several Governors and 
State legislators about flexibility for States in designing welfare 
programs. The Senate Republican welfare reform bill allows States to 
impose several welfare requirements without getting a waiver from the 
Federal Government. Under this bill, States can impose childhood 
immunization and school attendance requirements, limit benefits to new 
State residents to the same level as they received in the previous 
State for 1 year, encourage educational savings accounts for children 
and eliminate the welfare penalty if a mother marries a man not the 
father of her children. The bill also would standardize and streamline 
the process for States to get exemptions from Federal welfare 
requirements.
  Lastly, the Senate Republican welfare reform bill would put limits on 
who can get welfare, but do so recognizing the various needs of our 
citizens and our communities. In the Brown/Dole bill, we have included 
a provision specifically stating that illegal aliens are not eligible 
for welfare benefits, except emergency medical. For legal aliens, their 
sponsor's income is deemed available to them until they become 
naturalized U.S. citizens and legal aliens who receive 12 months of 
welfare benefits are required to be reported to the Immigration and 
Naturalization Service for possible deportation as a public charge.
  Welfare recipients addicted to drugs or alcohol, under this bill, are 
required to participate in rehabilitation program and undergo random 
drug tests to remain eligible. Persons found innocent by reason of 
insanity would not be eligible for disability benefits based on their 
mental condition.

  This bill is just a beginning of our work on welfare reform. There 
are other welfare programs, outside the scope of this bill, that 
desperately need changing. Food stamps, job training, and day care are 
just a few of the programs we need to work on to give people the help 
they need to get into a real job and off welfare. I pledge to work with 
my colleagues, on both sides of the aisle, to further strengthen the 
Brown/Dole bill and to work on other bills reforming other parts of our 
welfare system.
  Finally, we must address the overall cost of all the welfare 
programs. Our country cannot continue to spend and increase the deficit 
in programs that don't help people become productive members of 
society. The vehicle for addressing these overall cost concerns will 
soon be before us in the budget resolution. With Senators Faircloth, 
Grassley, and Gorton, I will be working toward reasonable caps on 
welfare spending.
  Mr. DOLE. Mr. President, I am pleased to join with my distinguished 
colleague, Senator Brown, in introducing a real welfare reform bill.
  As part of his campaign, President Clinton promised to ``End welfare 
as we know it,'' yet a year has gone by and Americans are still waiting 
for his proposal.
  Right now--too many Americans who receive welfare assistance need to 
be set free from the chains that bind them to a dependency on 
government handouts. Handouts that often destroy their self-
sufficiency.
  Republicans have responded to this welfare crisis with leadership--
action has been taken by our Republican Governors, by Republican 
Members of the House of Representatives and right here in the U.S. 
Senate. Our emphasis has been on ending welfare as a way of life--by 
strengthening real work requirements for able-bodied adults who receive 
government assistance and by encouraging parental responsibility.
  The Republican proposals recognize the human despair of those in 
need, while at the same time, taking a real look at who needs welfare 
and what should be the responsibilities of those who receive cash 
assistance. This country was built on the American dream--not the 
assurance of a free ride.
  Mr. President, the legislation that Senator Brown has introduced 
today asks welfare recipients to commit to what made this country 
great--the American work ethic. And it builds upon the landmark 
progress that was made when President Ronald Reagan signed into law the 
1988 Family Support Act--a hard fought bipartisan agreement. The Senate 
contributed to this effort by passing a visionary work requirement 
which also was approved in the House.
  More specifically, this legislation takes another step toward 
encouraging those on welfare to work. It gives the States the authority 
to end welfare after 2 years for all able-bodied recipients. That's 
right. Two years and off. No more temptation to rely on lifelong 
government benefit programs that have become a permanent crutch for 
many Americans when these people can become self-sufficient. Too many 
times these benefits have become the crutch that contributes to broken 
families, the loss of personal dignity and at the same time costing 
taxpayers billions of dollars a year.
  Moreover, the bill emphasizes parental responsibility and allows 
increased State flexibility to address these local problems and respond 
to the rapid increase in illegitimacy.
  The Federal Government has a role to play in setting tough rules that 
establish priorities. For example, the Federal Government will require 
unmarried minor mothers on aid to families with dependent children 
[AFDC], a major welfare program, to live with their parents, guardians, 
or in a group home. We believe this will help establish a family 
environment--clearly an important benefit over the long term.
  States have a lot to contribute in the design of new ways to address 
existing problems--so new flexibility will be given. For example, 
States will have the option to deny AFDC cash benefits to unmarried 
minor mothers or to deny additional cash benefits for children 
conceived while the mother is on welfare.
  Right now--we must seize the opportunity to fix this broken system. A 
system that exists where 1 out of 7 American children are on welfare.
  Republicans want able-bodied Americans to have a temporary safety net 
and then earn a fair shot at joining the mainstream of society. We want 
to provide the children of America the future they deserve.
                                 ______

      By Mr. KOHL (for himself and Mr. Feingold):
  S. 1797. A bill to require the Secretary of Transportation to amend 
the existing regulations applicable to charter flights to the Super 
Bowl to apply the requirements of such regulations to charter flights 
to inter-collegiate football games designated as bowl games and to the 
basketball games among the last 4 teams in the National Collegiate 
Athletic Association's division I championship basketball tournaments; 
to the Committee on Commerce, Science, and Transportation.


                  amending charter flight regulations

 Mr. KOHL. Mr. President, this year, when thousands of eager 
University of Wisconsin Badgers fans bought plane tickets to go to the 
Rose Bowl to cheer their hometown team to victory, they had no reason 
to believe that they'd have to watch the event on TV. Or did they?
  It has been estimated that as many as 2,000 Wisconsin residents who 
purchased Rose Bowl ``packages'' from charter services arrived in 
California only to learn that the game tickets they had been promised 
did not exist. While some of these people were able to secure last 
minute tickets at exorbitant prices, hundreds of those had to watch the 
event on TV in a room nearby the stadium.
  While U.S. Department of Transportation regulations exist to prevent 
this from happening at the Super Bowl, these regulations do not apply 
to other events. The DOT regulations (14 CFR 380.18a) require that an 
operator marketing a Super Bowl air package that includes game tickets 
must have the tickets in hand or have a written contract for the 
tickets before the operator does any advertising.
  The legislation that I am introducing today would require the 
Secretary of Transportation to apply these Super Bowl regulations to 
Rose Bowl games and to NCAA ``Final Four'' tournaments. It is my hope 
that this legislation will result in the regulatory changes necessary 
to protect the consumer.
  I welcome Senator Feingold as an original cosponsor of this 
legislation, and note that Congressman Klug is introducing the same 
legislation in the House.
  I ask unanimous consent that the full text of the bill be included in 
the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1797

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

     SECTION 1. REGULATION OF CHARTERS.

       The Secretary of Transportation shall amend part 380.18a of 
     title 14 of the Code of Federal Regulations to apply the 
     requirements contained in such regulation to charter flights 
     going to--
       (1) inter-collegiate football games designated as bowl 
     games; and
       (2) basketball games among the last 4 teams in the National 
     Collegiate Athletic Association's division 1 championship 
     basketball tournaments.

 Mr. FEINGOLD. Mr. President, I rise today to join my 
colleague, Senator Kohl in introducing a bill to require the Secretary 
of Transportation to amend the existing regulations applicable to 
charter flights, to extend those rules to collegiate bowl games and 
NCAA final four basketball games.
  As you know, the University of Wisconsin football team appeared in 
the 1994 Rose Bowl for the first time in over 30 years; and I am proud 
to add they were victorious.
  As Rose Bowl fever swept the State following the regular season, tens 
of thousands of Badger fans sought out ways to get to Pasadena. Indeed, 
tens of thousands of Badger fans did actually get to Pasadena and 
attend the game.
  Many of those loyal fans made their travel and game plans through 
agents and companies selling charter flight and Rose Bowl ticket 
packages. Upon their arrival in California they found that the tickets 
that they paid for were unavailable, or were priced significantly 
higher than they believed to be the case when they booked and paid for 
the charter package.
  So while over 60,000 Badger fans were inside the Rose Bowl on New 
Year's Day, thousands were relegated to viewing the game on television 
at hastily erected tents outside the stadium or in hotels and bars--
great economic development for Pasadena, but no consolation for paying 
Wisconsin Badger fans.
  Charter and ticket scams have occurred before, and especially in 
relation to major sporting events. It's happened at the Super Bowl and 
at other bowl games in the past. Some States protect citizens against 
scalping and other forms of ticket fraud, while others don't. Where 
such consumer protection laws do exist, detection and enforcement vary 
widely.
  We already have a no-cost solution to the problem, and that is part 
380.18A of title 14 of the Code of Federal Regulations, which requires 
charter operators to prove that they have possession of the appropriate 
number of game tickets before they advertise. Currently, however, the 
rule only applies to Super Bowl games.
  This bill amends the rule, and extends its requirements to charter 
flights going to intercollegiate bowl games and the games of the last 4 
teams of the NCAA's division 1 basketball tournament.
  It's simple, it's effective, it's fair, it's time.
                                 ______

      By Mr. BRADLEY:
  S. 1798. A bill to amend the Internal Revenue Code of 1986 to 
increase the tax on handguns and assault weapons and to impose a tax on 
the transfer of handguns and assault weapons, to increase the license 
application fee for gun dealers, and to use the proceeds from those 
increases to pay for medical care for gunshot victims; to the Committee 
on Finance.


              gun violence health care cost prevention act

 Mr. BRADLEY. Mr. President, I rise today to introduce the Gun 
Violence Health Care Costs Prevention Act, a bill to reduce the 
public's share of the health care costs associated with gunshot 
injuries by significantly increasing the taxes and licensing fees 
associated with the sale and purchase of handguns, assault weapons, and 
the ammunition for these firearms.
  The high rate of gun-related violence is wreaking havoc with our 
health care system. Every 14 minutes someone in the United States dies 
from a gunshot. The total lifetime costs associated with firearm deaths 
and injuries were over $20 billion in 1990. We spend an estimated $3 
billion a year treating firearm injuries, and 80 percent of the cost of 
hospitalization for these injuries is paid by public funds. Although 
handguns and assault weapons cost the Government millions of dollars in 
health care each year, the dealers and consumers of these firearms do 
not pay their fair share. Instead, the American public must foot the 
bill.
  The bill I introduce today increases the fees for most 3-year Federal 
firearms dealer licenses to $3,000. It also increase the manufacturer's 
excise tax on handguns, assault weapons, and the ammunition for these 
firearms to 30 percent. In addition, it establishes a new 30-percent 
Federal sales and transfer tax to cover sales of these instruments by 
gun dealers to retail customers. Finally, this bill puts the processed 
from these tax and licensing fee increases into a trust fund for the 
support of trauma centers and hospitals that have incurred 
substantial uncompensated costs while treating gunshot victims. If 
enacted, this bill will shift some of the health care cost of firearms-
related injuries away from the American public to the dealers and 
consumers of guns.

  There are currently over 209 million firearms in the United States, 
71 million of which are handguns. Although handguns make up less than 
one-third of all firearms, they are involved in two-thirds of the gun 
murders that occur each year. Assault weapons account for a much 
smaller percentage of total firearms, but they have become weapons of 
choice for some criminals, giving them the ability to pump bullets into 
people at devastatingly fast and intense levels.
  There are currently 280,000 federally licensed dealers in the United 
States, as compared to 155,000 grocery stores and 210,000 gas stations. 
According to the Bureau of Alcohol, Tobacco and Firearms, 90,000 new or 
renewed dealers licenses are issued each year. The current cost of a 
new 3-year Federal firearms dealer license is $30, a cost which has not 
changed since 1968. When the Brady bill goes into effect next month, 
the cost will still only be $200 for a new license and $90 for 
subsequent licenses. Significant increases in the gun dealer licensing 
fee would dramatically reduce the number of Federal firearms dealers, 
raise the amount of public funds available to treat firearms-related 
injuries, and bring the cost of handguns, assault weapons, and the 
ammunition for these firearms more in line with their cost to our 
society.
  It is not my intention to restrict the use of the firearms which are 
appropriate for legitimate recreational purposes. It is my goal, 
however, to acknowledge the important link between certain firearms and 
the high health care costs associated with gun violence. I urge my 
colleagues to cosponsor it. I ask unanimous consent to include the text 
of this legislation and a bill summary in the Record. I yield the 
floor.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:
  Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Gun Violence Health Care 
     Costs Prevention Act''.

     SEC. 2. FINDINGS.

       The Congress finds that--
       (1) there are currently over 209,000,000 firearms in the 
     United States, 71,000,000 of which are handguns and 1,000,000 
     of which are semi-automatic assault weapons;
       (2) there are now over 280,000 federally licensed gun 
     dealers in the United States, as compared to 155,000 grocery 
     stores and 210,000 gas stations;
       (3) a Federal firearms dealer's license allows the licensee 
     to purchase firearms wholesale across State lines;
       (4) according to the Bureau of Alcohol, Tobacco and 
     Firearms, American taxpayers annually pay more than 
     $28,000,000 in subsidies to operate the Federal firearms 
     dealer licensing system;
       (5) each year more than 24,000 Americans (65 Americans a 
     day) are killed with handguns, either in homicides, by 
     committing suicide, or by unintentional injuries;
       (6) handguns account for only one-third of all firearms in 
     the United States, but account for two-thirds of all firearm-
     related deaths;
       (7) in 1991, the United States led the developed world with 
     14,373 gun murders, as compared to 186 gun murders in Canada, 
     76 gun murders in Australia, 60 gun murders in England, and 
     74 gun murders in Japan;
       (8) in 1991, there were 11,497 murders committed with 
     handguns, as compared to 745 murders committed with rifles, 
     1,124 murders committed with shotguns, and 3,430 murders 
     committed with knives;
       (9) every 14 minutes someone in the United States dies from 
     a gunshot;
       (10) in 1989, there were over 240,000 nonfatal firearms 
     injuries;
       (11) 95 percent of the persons injured each year by a 
     handgun require emergency care or hospitalization;
       (12) firearms injuries, fatal and nonfatal, are the third 
     most costly type of injury overall;
       (13) the total lifetime costs associated with firearm 
     deaths and injuries were $14,400,000,000 in 1985, increased 
     to at least $16,200,000,000 by 1988, and increased to 
     $20,400,000,000 by 1990;
       (14) the health care cost of firearm-related injuries is 
     approximately $3,000,000,000 a year;
       (15) public funds pay for over 80 percent of the cost of 
     hospitalization for firearms injuries, excluding professional 
     fees and the cost of ambulance, physical therapy, and other 
     rehabilitative services;
       (16) youngsters carry an estimated 270,000 guns to school 
     every day;
       (17) gun violence is a major public health problem and 
     handguns, assault weapons, and the ammunition for these 
     firearms are major health hazards;
       (18) the cost of firearms and firearms dealers licenses 
     should reflect the health costs of firearms to our society;
       (19) the Federal taxes on handguns, assault weapons, and 
     the ammunition for these firearms should be significantly 
     increased to partially offset the health care costs of gun 
     violence;
       (20) the fees required for Federal firearms dealer's 
     licenses should be significantly increased to partially 
     offset the health care costs of gun violence; and
       (21) the increased Federal taxes should not be imposed on 
     firearms and ammunition which are recognized as particularly 
     suitable for, or readily adaptable to, sporting purposes.

     SEC. 3. LICENSE APPLICATION FEES FOR DEALERS IN FIREARMS.

       (a) In General.--Section 923(a) of title 18, United States 
     Code, is amended--
       (1) by striking subparagraph (B) of paragraph (3) and 
     inserting:
       ``(B) who is not a dealer in destructive devices, a fee of 
     $3,000 for 3 years (including renewals).''; and
       (2) by adding at the end the following new flush sentence:
     ``There are hereby appropriated to the Gun Violence Trauma 
     Care Trust Fund established under section 9512 of the 
     Internal Revenue Code of 1986 (26 U.S.C. 9512) 93 percent of 
     the revenues from fees collected under paragraph (3)(B) for 
     original licenses and 97 percent of the revenues from such 
     fees for renewal licenses.''
       (b) Effective Date.--The amendments made by this section 
     shall apply to license applications (including renewals) 
     filed after the 180th day after the date of the enactment of 
     this Act.

     SEC. 4. INCREASE IN TAX ON HANDGUNS AND ASSAULT WEAPONS.

       (a) Increase in Manufacturer's Tax.--
       (1) In general.--Part III of subchapter D of chapter 32 of 
     the Internal Revenue Code of 1986 (relating to tax on 
     firearms) is amended by adding at the end the following new 
     section:

     ``SEC. 4183. IMPOSITION OF ADDITIONAL TAX ON HANDGUNS AND 
                   ASSAULT WEAPONS.

       ``(a) Imposition of Tax.--In addition to any tax imposed by 
     section 4181, there is hereby imposed upon the sale by the 
     manufacturer, producer, or importer of any of the following 
     articles a tax equivalent to the specified percentage of the 
     price for which so sold:
       ``Articles taxable at 20 percent.--
       ``Handguns.
       ``Articles taxable at 19 percent.--
       ``Semiautomatic assault weapons.
       ``Shells and cartridges used in handguns and semiautomatic 
     assault weapons.
       ``(b) Definitions.--For purposes of subsection (a)--
       ``(1) Handgun.--The term `handgun' means any pistol or 
     revolver.
       ``(2) Semiautomatic assault weapon.--
       ``(A) In general.--The term `semiautomatic assault weapon' 
     means--
       ``(i) any of the semiautomatic firearms known as--

       ``(I) A.A. Arms AP-9;
       ``(II) Auto-Ordnance Thompson;
       ``(III) Barrett Light-Fifty;
       ``(IV) Beretta AR-70;
       ``(V) Bushmaster Auto Rifle;
       ``(VI) Calico M-900 and M-950;
       ``(VII) Cobray, Ingram and RPB MAC-10 and MAC-11;
       ``(VIII) Colt AR-15 and Sporter;
       ``(IX) Encom MP-9 and MP-45;
       ``(X) Fabrique Nationale FN/FAL, FN/LAR, and FNC;
       ``(XI) Feather AT-9;
       ``(XII) Federal XP900 and XP450;
       ``(XIII) Franchi SPAS-12;
       ``(XIV) Intratec TEC-9 and TEC-22;
       ``(XV) Israeli Military Industries UZI and Galil;
       ``(XVI) Iver Johnson Enforcer 3000;
       ``(XVII) Norinco, Mitchell and Poly Technologies Avtomat 
     Kalashnikovs;
       ``(XVIII) Steyr AUG; or
       ``(XIX) USAS-12;

       ``(ii) a revolving-cylinder shotgun such as or similar to 
     the Street Sweeper or Striker 12; and
       ``(iii) a semiautomatic firearm designated by the Secretary 
     as a semiautomatic assault weapon under subsection (c).
       ``(B) Exceptions.--The term `semiautomatic assault weapon' 
     does not include (among other firearms)--
       ``(i) any of the firearms known as--

       ``(I) Remington Model 1100 shotgun;
       ``(II) Remington Model 7400 rifle;
       ``(III) Mossberg Model 5500 shotgun;
       ``(IV) HK Model 300 rifle;
       ``(V) Marlin Model 9 camp carbine;
       ``(VI) Browning High-Power rifle; or
       ``(VII) Remington Nylon 66 auto loading rifle;

       ``(ii) a firearm that is a manually operated bolt action 
     firearm;
       ``(iii) a lever action firearm;
       ``(iv) a slide action firearm; or
       ``(v) a firearm that has been rendered permanently 
     inoperable.
       ``(3) Shells and cartridges.--
       ``(A) Handguns.--The term `cartridges used in handguns' 
     includes--
       ``(i) any centerfire cartridge which has a cartridge case 
     less than 1.3 inches in length,
       ``(ii) any cartridge case which is less than 1.3 inches in 
     length, or
       ``(iii) any other ammunition listed under subsection 
     (c)(1)(B) as likely to be used in a handgun.
       ``(B) Semiautomatic assault weapons.--The term `shells or 
     cartridges used in semiautomatic assault weapons' means any 
     shells, cartridges, magazines, or other ammunition which is 
     listed under subsection (c)(1)(B) as likely to be used in a 
     semiautomatic assault weapon.
       ``(c) Designation of Semiautomatic Assault Weapons and 
     Taxable Ammunition.--
       ``(1) In general.--Not later than 180 days after the date 
     of the enactment of this section, and annually thereafter, 
     the Secretary, in consultation with the Attorney General, 
     shall--
       ``(A) determine whether any other semiautomatic firearm 
     (other than a firearm described in subsection (b)(2)(B)) 
     should be designated as a semiautomatic assault weapon in 
     addition to those previously designated by subsection 
     (b)(2)(A) or by the Secretary under this subsection, and
       ``(B) publish a list of shells and cartridges which are 
     likely to be used in handguns and semiautomatic assault 
     weapons.
       ``(2) Criteria.--For purposes of paragraph (1)(A), the 
     Secretary shall by regulation designate as a semiautomatic 
     assault weapon a rifle, pistol, or shotgun that is a 
     semiautomatic firearm and that is described in paragraph (3), 
     (4), (5), or (6).
       ``(3) Replicas or duplicates.--A replica or duplicate in 
     any caliber of a semiautomatic firearm described in 
     subsection (b)(2)(A)(i) is a semiautomatic assault weapon.
       ``(4) Certain nonsporting firearms.--A rifle that is a 
     semiautomatic firearm is a semiautomatic assault weapon if 
     it--
       ``(A) is not generally recognized as being particularly 
     suitable for or readily adaptable to sporting purposes,
       ``(B) has an ability to accept a detachable magazine, and
       ``(C) has at least 2 of the following characteristics:
       ``(i) A folding or telescoping stock.
       ``(ii) A pistol grip that protrudes conspicuously beneath 
     the action of the weapon.
       ``(iii) A bayonet mount.
       ``(iv) A flash suppressor or threaded barrel designed to 
     accommodate a flash suppressor.
       ``(v) A grenade launcher.
       ``(5) Certain Pistols.--A pistol that is a semiautomatic 
     firearm is a semiautomatic assault weapon if it--
       ``(A) is not generally recognized as being particularly 
     suitable for or adaptable to sporting purposes,
       ``(B) has an ability to accept a detachable magazine, and
       ``(C) has at least 2 of the following characteristics:
       ``(i) An ammunition magazine that attaches to the pistol 
     outside of the pistol grip.
       ``(ii) A threaded barrel capable of accepting a barrel 
     extender, flash suppressor, forward hand grip, or silencer.
       ``(iii) A shroud that is attached to or partially or 
     completely encircles the barrel and that permits the shooter 
     to hold the firearm with the second hand without being 
     burned.
       ``(iv) A manufactured weight of 50 ounces or more when the 
     pistol is unloaded.
       ``(v) A semiautomatic version of an automatic firearm.
       ``(6) Certain shotguns.--A shotgun that is a semiautomatic 
     firearm is a semiautomatic assault weapon if it--
       ``(A) is not generally recognized as being particularly 
     suitable for or adaptable to sporting purposes, and
       ``(B) has at least 2 of the following characteristics:
       ``(i) A folding or telescoping stock.
       ``(ii) A pistol grip that protrudes conspicuously beneath 
     the action of the weapon.
       ``(iii) A fixed magazine capacity in excess of 6 rounds.
       ``(iv) An ability to accept a detachable magazine.''
       (2) Conforming amendments.--
       (A) Section 4182(a) of such Code is amended by inserting 
     ``or 4183'' after ``section 4181''.
       (B) Paragraph (6) of section 6091(b) of such Code is 
     amended by striking ``section 4181'' and inserting ``section 
     4181 or 4183''.
       (C) The table of sections for part III of subchapter D of 
     chapter 32 of such Code is amended by adding at the end the 
     following new item:

``Sec. 4183. Imposition of additional tax on handguns and assault 
              weapons.''
       (b) Tax on Subsequent Sales or Transfers Involving Assault 
     Weapons and Handguns.--
       (1) In general.--Chapter 31 of the Internal Revenue Code of 
     1986 is amended by adding at the end the following new 
     subchapter:

       ``Subchapter D--Handguns and Semiautomatic Assault Weapons

``Sec. 4056. Handguns and semiautomatic assault weapons.

     ``SEC. 4056. HANDGUNS AND SEMIAUTOMATIC ASSAULT WEAPONS.

       ``(a) Imposition of Tax.--There is hereby imposed on any 
     sale, transfer, or other disposition by any person of a 
     handgun, semiautomatic assault weapon, or shells and 
     cartridges used in handguns and semiautomatic assault weapons 
     a tax equal to 30 percent of the price for which sold, 
     transferred, or disposed of.
       ``(b) Credit for Tax Previously Imposed.--
       ``(1) In general.--In the case of the 1st retail sale of 
     any article, and any sale, transfer, or disposition preceding 
     the 1st retail sale, the amount of tax imposed by subsection 
     (a) shall be reduced by the amount of tax imposed by this 
     section, section 4181, or section 4183 on any preceding sale, 
     transfer, or disposition of the article.
       ``(2) Refunds.--If a taxpayer establishes to the 
     satisfaction of the Secretary that tax was imposed in excess 
     of the amount due, the Secretary shall pay (without interest) 
     to the taxpayer the amount of such excess.
       ``(3) Requirements.--No reduction or refund shall be made 
     under this subsection unless the taxpayer meets such 
     requirements as the Secretary may prescribe with respect to 
     proof of payment of tax for any prior sale, transfer, or 
     disposition.
       ``(c) Exceptions.--
       ``(1) Coordination with manufacturer's tax.--No tax shall 
     be imposed under subsection (a) on a sale, transfer, or 
     disposition of an article if tax is imposed under section 
     4181 or 4183 with respect to such sale, transfer, or 
     disposition.
       ``(2) Defense department.--No tax shall be imposed by 
     subsection (a) on any sale described in section 4182(b).
       ``(d) Definitions.--For purposes of this section, the terms 
     `handgun', `semiautomatic assault weapon', and `shells and 
     cartridges used in handguns and semiautomatic assault 
     weapons' have the meanings given such terms by section 
     4183(b).''
       (2) Conforming amendment.--The table of subchapters for 
     chapter 31 of such Code is amended by adding at the end the 
     following new item:

     ``Subchapter D--Handguns and Semiautomatic Assault Weapons.''

       (c) Effective Date.--The amendments made by this section 
     shall apply to sales, transfers, and other dispositions after 
     the 180th day after the date of the enactment of this Act.

     SEC. 5. GUN VIOLENCE TRAUMA CARE TRUST FUND.

       (a) In General.--Subchapter A of chapter 98 of the Internal 
     Revenue Code of 1986 (relating to trust fund code) is amended 
     by adding at the end the following new section:

     ``SEC. 9512. GUN VIOLENCE TRAUMA CARE TRUST FUND.

       ``(a) Establishment of the Trust Fund.--There is 
     established in the Treasury of the United States a trust fund 
     to be known as the `Gun Violence Trauma Care Trust Fund', 
     consisting of such amounts as may be appropriated or credited 
     to such Trust Fund as provided in this section or section 
     9602(b).
       ``(b) Transfers to the Trust Fund.--There are hereby 
     appropriated to the Gun Violence Trauma Care Trust Fund 
     amounts equivalent to--
       ``(1) the taxes received in the Treasury under section 
     4056,
       ``(2) the taxes received in the Treasury under section 
     4183, and
       ``(3) the amounts described in the last sentence of section 
     923(a) of title 18, United States Code.
       ``(c) Expenditures From the Trust Fund.--Funds in the Gun 
     Violence Trauma Care Trust Fund shall be available, as 
     provided in appropriations Acts, only--
       ``(1) for the purpose of making grants to assist hospitals, 
     trauma centers, or other health care providers that have 
     incurred substantial uncompensated costs in providing medical 
     care to gunshot victims, or
       ``(2) in the event a national health program is established 
     which compensates for those costs, for the purpose of 
     reimbursing that program for its costs in providing the 
     compensation.
       ``(d) Eligibility for Trust Fund Moneys.--A hospital, 
     trauma center, or other health care provider is eligible to 
     apply for grants from the Trust Fund for any calendar year if 
     the hospital, trauma center, or health care provider--
       ``(1) is in compliance with Federal and State certification 
     and licensing requirements;
       ``(2) is a not-for-profit entity; and
       ``(3) has incurred substantial uncompensated costs during 
     the previous calendar year in providing medical care to 
     gunshot victims.
       ``(e) Regulations for Trust Fund.--The Secretary shall, not 
     later than 180 days after the date of enactment of this 
     section and in consultation with the Secretary of Health and 
     Human Services, issue such regulations as are necessary to 
     implement the provisions of this section.''
       (b) Conforming Amendment.--The table of sections for 
     subchapter A of chapter 98 of such Code is amended by adding 
     at the end the following new item:
``Sec. 9512. Gun Violence Trauma Care Trust Fund.''
                                  ____


         gun violence health care costs prevention act summary

  First, increases the 3-year Federal firearms dealer licensing fee to 
$3,000. The current fees are $200 for the initial dealer's license and 
$90 for subsequent licenses. Before passage of the Brady bill, which 
goes into effect on February 28, 1994, the cost of a 3-year firearms 
dealer license was $30, a cost which had not increased since 1968. 
Increasing the Federal firearms dealer licensing fee to $3,000 would 
raise and additional $40-60 million and reduce the number of federally 
licensed firearms dealers from the current figure of 280,000 to between 
40,000 and 60,000.
  Second, increases the Federal manufacturer-producer-importer excise 
tax to 30 percent for handguns--pistols and revolvers--assault weapons, 
handgun ammunition, and ammunition used in semiautomatic assault 
weapons. The current excise tax is 10 percent for handguns and 11 
percent for shotguns and rifles.
  Third, imposes a new 30 percent Federal tax upon all transfers or 
sales of handguns--pistols and revolvers--assualt weapons, handgun 
ammunition, and ammunition used in semiautomatic assault weapons. The 
Joint Tax Committee estimates that the tax increases would raise $1.1 
billion in additional revenue over 5 years to offset the health care 
costs of gun-related violence.
  Fourth, establishes a gun violence trauma care trust fund and places 
all revenue generated--over and above that generated by current taxes 
benefiting the Federal Aid to Wildlife Fund--into the fund for the 
benefit of hospital trauma centers that treat gunshot victims.

                          ____________________