[Congressional Record Volume 141, Number 13 (Monday, January 23, 1995)]
[Senate]
[Pages S1374-S1384]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                          AMENDMENTS SUBMITTED

                                 ______


                THE UNFUNDED MANDATE REFORM ACT OF 1995

                                 ______


                       HATFIELD AMENDMENT NO. 181

  Mr. HATFIELD proposed an amendment to the bill (S. 1) to curb the 
practice of imposing unfunded Federal mandates on States and local 
governments; to strengthen the partnership between the Federal 
Government and State, local, and tribal governments; to end the 
imposition, in the absence of full consideration by Congress, of 
Federal mandates on State, local, and tribal governments without 
adequate funding, in a manner that may displace other essential 
governmental priorities; and to ensure that the Federal Government pays 
the costs incurred by those governments in complying with certain 
requirements under Federal statutes and regulations, and for other 
purposes; as follows:

       At the end of the bill add the following new title:
                               TITLE V--
                   LOCAL EMPOWERMENT AND FLEXIBILITY

     SECTION 501. SHORT TITLE.

       This title may be cited as the ``Local Empowerment and 
     Flexibility Act of 1995''.

     SEC. 502. FINDINGS.

       The Congress finds that--
       (1) historically, Federal programs have addressed the 
     Nation's problems by providing categorical financial 
     assistance with detailed requirements relating to the use of 
     funds;
       (2) while the assistance described in paragraph (1) has 
     been directed at critical problems, some program requirements 
     may inadvertently impede the effective delivery of services;
       (3) the Nation's local governments and private, nonprofit 
     organizations are dealing with increasingly complex problems 
     which require the delivery of many kinds of services;
       (4) the Nation's communities are diverse, and different 
     needs are present in different communities;
       (5) it is more important than ever to provide programs 
     that--
       (A) promote more effective and efficient local delivery of 
     services to meet the full range of needs of individuals, 
     families, and society;
       (B) respond flexibly to the diverse needs of the Nation's 
     communities;
       (C) reduce the barriers between programs that impede local 
     governments' ability to effectively deliver services; and
       (D) empower local governments and private, nonprofit 
     organizations to be innovative in creating programs that meet 
     the unique needs of their communities while continuing to 
     address national policy goals; and
       (6) many communities have innovative planning and community 
     involvement strategies for providing services, but Federal, 
     State, and local regulations often hamper full implementation 
     of local plans.

     SEC. 503. PURPOSES.

       The purposes of this title are to--
       (1) enable more efficient use of Federal, State, and local 
     resources;
       (2) place less emphasis in Federal service programs on 
     measuring resources and procedures and more emphasis on 
     achieving Federal, State, and local policy goals;
       (3) enable local governments and private, nonprofit 
     organizations to adapt programs of Federal financial 
     assistance to the particular needs of their communities, by--
       (A) drawing upon appropriations available from more than 
     one Federal program; and
       (B) integrating programs and program funds across existing 
     Federal financial assistance categories; and
       (4) enable local governments and private, nonprofit 
     organizations to work together and build stronger cooperative 
     partnerships to address critical service problems.

     SEC. 504. DEFINITIONS.

       For purposes of this title--
       (1) the term ``approved local flexibility plan'' means a 
     local flexibility plan that combines funds from Federal, 
     State, local government or private sources to address the 
     service needs of a community (or any part of such a plan) 
     that is approved by the Flexibility Council under section 
     505;
       (2) the term ``community advisory committee'' means such a 
     committee established by a local government under section 
     509;
       (3) the term ``Flexibility Council'' means the council 
     composed of the--
       (A) Assistant to the President for Domestic Policy;
       (B) Assistant to the President for Economic Policy;
       (C) Secretary of the Treasury;
       (D) Attorney General;
       (E) Secretary of the Interior;
       (F) Secretary of Agriculture;
       (G) Secretary of Commerce;
       (H) Secretary of Labor;
       (I) Secretary of Health and Human Services;
       (J) Secretary of Housing and Urban Development;
       (K) Secretary of Transportation;
       (L) Secretary of Education;
       (M) Secretary of Energy;
       (N) Secretary of Veterans Affairs;
       (O) Secretary of Defense;
       (P) Director of Federal Emergency Management Agency;
       (Q) Administrator of the Environmental Protection Agency;
       (R) Director of National Drug Control Policy;
       (S) Administrator of the Small Business Administration;
       (T) Director of the Office of Management and Budget; and
       (U) Chair of the Council of Economic Advisers.
       (4) the term ``covered Federal financial assistance 
     program'' means an eligible Federal financial assistance 
     program that is included in a local flexibility plan of a 
     local government;
       (5) the term ``eligible Federal financial assistance 
     program''--
       (A) means a Federal program under which financial 
     assistance is available, directly or indirectly, to a local 
     government or a qualified organization to carry out the 
     specified program; and
       (B) does not include a Federal program under which 
     financial assistance is provided by the Federal Government 
     directly to a beneficiary of that financial assistance or to 
     a State as a direct payment to an individual;
       (6) the term ``eligible local government'' means a local 
     government that is eligible to receive financial assistance 
     under 1 or more covered Federal programs;
       (7) the term ``local flexibility plan'' means a 
     comprehensive plan for the integration and administration by 
     a local government of financial assistance provided by the 
     Federal Government under 2 or more eligible Federal financial 
     assistance programs;
     [[Page S1375]]   (8) the term ``local government'' means a 
     subdivision of a State that is a unit of general local 
     government (as defined under section 6501 of title 31, United 
     States Code);
       (9) the term ``priority funding'' means giving higher 
     priority (including by the assignment of extra points, if 
     applicable) to applications for Federal financial assistance 
     submitted by a local government having an approved local 
     flexibility program, by--
       (A) a person located in the jurisdiction of such a 
     government; or
       (B) a qualified organization eligible for assistance under 
     a covered Federal financial assistance program included in 
     such a plan;
       (10) the term ``qualified organization'' means a private, 
     nonprofit organization described in section 501(c)(3) of the 
     Internal Revenue Code of 1986 that is exempt from taxation 
     under section 501(a) of the Internal Revenue Code of 1986; 
     and
       (11) the term ``State'' means the 50 States, the District 
     of Columbia, Puerto Rico, American Samoa, Guam, and the 
     Virgin Islands.

     SEC. 505. PROVISION OF FEDERAL FINANCIAL ASSISTANCE IN 
                   ACCORDANCE WITH APPROVED LOCAL FLEXIBILITY 
                   PLAN.

       (a) Payments to Local Governments.--Notwithstanding any 
     other provision of law, amounts available to a local 
     government or a qualified organization under a covered 
     Federal financial assistance program included in an approved 
     local flexibility plan shall be provided to and used by the 
     local government or organization in accordance with the 
     approved local flexibility plan.
       (b) Eligibility for Benefits.--An individual or family that 
     is eligible for benefits or services under a covered Federal 
     financial assistance program included in an approved local 
     flexibility plan may receive those benefits only in 
     accordance with the approved local flexibility plan.

     SEC. 506. APPLICATION FOR APPROVAL OF LOCAL FLEXIBILITY PLAN.

       (a) In General.--A local government may submit to the 
     Flexibility Council in accordance with this section an 
     application for approval of a local flexibility plan.
       (b) Contents of Application.--An application submitted 
     under this section shall include--
       (1)(A) a proposed local flexibility plan that complies with 
     subsection (c); or
       (B) a strategic plan submitted in application for 
     designation as an enterprise community or an empowerment zone 
     under section 1391 of the Internal Revenue Code of 1986;
       (2) certification by the chief executive of the local 
     government, and such additional assurances as may be required 
     by the Flexibility Council, that--
       (A) the local government has the ability and authority to 
     implement the proposed plan, directly or through contractual 
     or other arrangements, throughout the geographic area in 
     which the proposed plan is intended to apply; and
       (B) amounts are available from non-Federal sources to pay 
     the non-Federal share of all covered Federal financial 
     assistance programs included in the proposed plan; and
       (3) any comments on the proposed plan submitted under 
     subsection (d) by the Governor of the State in which the 
     local government is located;
       (4) public comments on the plan including the transcript of 
     at least 1 public hearing and comments of the appropriate 
     community advisory committee established under section 509; 
     and
       (5) other relevant information the Flexibility Council may 
     require to approve the proposed plan.
       (c) Contents of Plan.--A local flexibility plan submitted 
     by a local government under this section shall include--
       (1) the geographic area to which the plan applies and the 
     rationale for defining the area;
       (2) the particular groups of individuals, by service needs, 
     economic circumstances, or other defining factors, who shall 
     receive services and benefits under the plan;
       (3)(A) specific goals and measurable performance criteria, 
     a description of how the plan is expected to attain those 
     goals and criteria;
       (B) a description of how performance shall be measured; and
       (C) a system for the comprehensive evaluation of the impact 
     of the plan on participants, the community, and program 
     costs;
       (4) the eligible Federal financial assistance programs to 
     be included in the plan as covered Federal financial 
     assistance programs and the specific benefits that shall be 
     provided under the plan under such programs, including--
       (A) criteria for determining eligibility for benefits under 
     the plan;
       (B) the services available;
       (C) the amounts and form (such as cash, in-kind 
     contributions, or financial instruments) of nonservice 
     benefits; and
       (D) any other descriptive information the Flexibility 
     Council considers necessary to approve the plan;
       (5) except for the requirements under section 508(b)(3), 
     any Federal statutory or regulatory requirement applicable 
     under a covered Federal financial assistance program included 
     in the plan, the waiver of which is necessary to implement 
     the plan;
       (6) fiscal control and related accountability procedures 
     applicable under the plan;
       (7) a description of the sources of all non-Federal funds 
     that are required to carry out covered Federal financial 
     assistance programs included in the plan;
       (8) written consent from each qualified organization for 
     which consent is required under section 506(b)(2); and
       (9) other relevant information the Flexibility Council may 
     require to approve the plan.
       (d) Procedure for Applying.--(1) To apply for approval of a 
     local flexibility plan, a local government shall submit an 
     application in accordance with this section to the Governor 
     of the State in which the local government is located.
       (2) A Governor who receives an application from a local 
     government under paragraph (1) may, by no later than 30 days 
     after the date of that receipt--
       (A) prepare comments on the proposed local flexibility plan 
     included in the application;
       (B) describe any State laws which are necessary to waive 
     for successful implementation of a local plan; and
       (C) submit the application and comments to the Flexibility 
     Council.
       (3) If a Governor fails to act within 30 days after 
     receiving an application under paragraph (2), the applicable 
     local government may submit the application to the 
     Flexibility Council.

     SEC. 507. REVIEW AND APPROVAL OF LOCAL FLEXIBILITY PLANS.

       (a) Review of Applications.--Upon receipt of an application 
     for approval of a local flexibility plan under this title, 
     the Flexibility Council shall--
       (1) approve or disapprove all or part of the plan within 45 
     days after receipt of the application;
       (2) notify the applicant in writing of that approval or 
     disapproval by not later than 15 days after the date of that 
     approval or disapproval; and
       (3) in the case of any disapproval of a plan, include a 
     written justification of the reasons for disapproval in the 
     notice of disapproval sent to the applicant.
       (b) Approval.--(1) The Flexibility Council may approve a 
     local flexibility plan for which an application is submitted 
     under this title, or any part of such a plan, if a majority 
     of members of the Council determines that--
       (A) the plan or part shall improve the effectiveness and 
     efficiency of providing benefits under covered Federal 
     programs included in the plan by reducing administrative 
     inflexibility, duplication, and unnecessary expenditures;
       (B) the applicant local government has adequately 
     considered, and the plan or part of the plan appropriately 
     addresses, any effect that administration of each covered 
     Federal program under the plan or part of the plan shall have 
     on administration of the other covered Federal programs under 
     that plan or part of the plan;
       (C) the applicant local government has or is developing 
     data bases, planning, and evaluation processes that are 
     adequate for implementing the plan or part of the plan;
       (D) the plan shall more effectively achieve Federal 
     financial assistance goals at the local level and shall 
     better meet the needs of local citizens;
       (E) implementation of the plan or part of the plan shall 
     adequately achieve the purposes of this title and of each 
     covered Federal financial assistance program under the plan 
     or part of the plan;
       (F) the plan and the application for approval of the plan 
     comply with the requirements of this title;
       (G) the plan or part of the plan is adequate to ensure that 
     individuals and families that receive benefits under covered 
     Federal financial assistance programs included in the plan or 
     part shall continue to receive benefits that meet the needs 
     intended to be met under the program; and
       (H) the local government has--
       (i) waived the corresponding local laws necessary for 
     implementation of the plan; and
       (ii) sought any necessary waivers from the State.
       (2) The Flexibility Council may not approve any part of a 
     local flexibility plan if--
       (A) implementation of that part would result in any 
     increase in the total amount of obligations or outlays of 
     discretionary appropriations or direct spending under covered 
     Federal financial assistance programs included in that part, 
     over the amounts of such obligations and outlays that would 
     occur under those programs without implementation of the 
     part; or
       (B) in the case of a plan or part that applies to 
     assistance to a qualified organization under an eligible 
     Federal financial assistance program, the qualified 
     organization does not consent in writing to the receipt of 
     that assistance in accordance with the plan.
       (3) The Flexibility Council shall disapprove a part of a 
     local flexibility plan if a majority of the Council 
     disapproves that part of the plan based on a failure of the 
     part to comply with paragraph (1).
       (4) In approving any part of a local flexibility plan, the 
     Flexibility Council shall specify the period during which the 
     part is effective. An approved local flexibility plan shall 
     not be effective after the date of the termination of 
     effectiveness of this title under section 513.
       (5) Disapproval by the Flexibility Council of any part of a 
     local flexibility plan submitted by a local government under 
     this title shall not affect the eligibility of a local 
     government, a qualified organization, or any individual for 
     benefits under any Federal program.
       (c) Memoranda of Understanding.--(1) The Flexibility 
     Council may not approve a part of a local flexibility plan 
     unless each 
     [[Page S1376]] local government and each qualified 
     organization that would receive financial assistance under 
     the plan enters into a memorandum of understanding under this 
     subsection with the Flexibility Council.
       (2) A memorandum of understanding under this subsection 
     shall specify all understandings that have been reached by 
     the Flexibility Council, the local government, and each 
     qualified organization that is subject to a local flexibility 
     plan, regarding the approval and implementation of all parts 
     of a local flexibility plan that are the subject of the 
     memorandum, including understandings with respect to--
       (A) all requirements under covered Federal financial 
     assistance programs that are to be waived by the Flexibility 
     Council under section 508(b);
       (B)(i) the total amount of Federal funds that shall be 
     provided as benefits under or used to administer covered 
     Federal financial assistance programs included in those 
     parts; or
       (ii) a mechanism for determining that amount, including 
     specification of the total amount of Federal funds that shall 
     be provided or used under each covered Federal financial 
     assistance program included in those parts;
       (C) the sources of all non-Federal funds that shall be 
     provided as benefits under or used to administer those parts;
       (D) measurable performance criteria that shall be used 
     during the term of those parts to determine the extent to 
     which the goals and performance levels of the parts are 
     achieved; and
       (E) the data to be collected to make that determination.
       (d) Limitation on Confidentiality Requirements.--The 
     Flexibility Council may not, as a condition of approval of 
     any part of a local flexibility plan or with respect to the 
     implementation of any part of an approved local flexibility 
     plan, establish any confidentiality requirement that would--
       (1) impede the exchange of information needed for the 
     design or provision of benefits under the parts; or
       (2) conflict with law.

     SEC. 508. IMPLEMENTATION OF APPROVED LOCAL FLEXIBILITY PLANS; 
                   WAIVER OF REQUIREMENTS.

       (a) Payments and Administration in Accordance With Plan.--
     Notwithstanding any other law, any benefit that is provided 
     under a covered Federal financial assistance program included 
     in an approved local flexibility plan shall be paid and 
     administered in the manner specified in the approved local 
     flexibility plan.
       (b) Waiver of Requirements.--(1) Notwithstanding any other 
     law and subject to paragraphs (2) and (3), the Flexibility 
     Council may waive any requirement applicable under Federal 
     law to the administration of, or provision of benefits under, 
     any covered Federal assistance program included in an 
     approved local flexibility plan, if that waiver is--
       (A) reasonably necessary for the implementation of the 
     plan; and
       (B) approved by a majority of members of the Flexibility 
     Council.
       (2) The Flexibility Council may not waive a requirement 
     under this subsection unless the Council finds that waiver of 
     the requirement shall not result in a qualitative reduction 
     in services or benefits for any individual or family that is 
     eligible for benefits under a covered Federal financial 
     assistance program.
       (3) The Flexibility Council may not waive any requirement 
     under this subsection--
       (A) that enforces any constitutional or statutory right of 
     an individual, including any right under--
       (i) title VI of the Civil Rights Act of 1964 (42 U.S.C. 
     2000d et seq.);
       (ii) section 504 of the Rehabilitation Act of 1973 (29 
     U.S.C. 701 et seq.);
       (iii) title IX of the Education Amendments of 1972 (86 
     Stat. 373 et seq.);
       (iv) the Age Discrimination Act of 1975 (42 U.S.C. 6101 et 
     seq.); or
       (v) the Americans with Disabilities Act of 1990 (42 U.S.C. 
     12101 et seq.);
       (B) for payment of a non-Federal share of funding of an 
     activity under a covered Federal financial assistance 
     program; or
       (C) for grants received on a maintenance of effort basis.
       (c) Special Assistance.--To the extent permitted by law, 
     the head of each Federal agency shall seek to provide special 
     assistance to a local government or qualified organization to 
     support implementation of an approved local flexibility plan, 
     including expedited processing, priority funding, and 
     technical assistance.
       (d) Evaluation and Termination.--(1) A local government, in 
     accordance with regulations issued by the Flexibility 
     Council, shall--
       (A) submit such reports on and cooperate in such audits of 
     the implementation of its approved local flexibility plan; 
     and
       (B) periodically evaluate the effect implementation of the 
     plan has had on--
       (i) individuals who receive benefits under the plan;
       (ii) communities in which those individuals live; and
       (iii) costs of administering covered Federal financial 
     assistance programs included in the plan.
       (2) No later than 90 days after the end of the 1-year 
     period beginning on the date of the approval by the 
     Flexibility Council of an approved local flexibility plan of 
     a local government, and annually thereafter, the local 
     government shall submit to the Flexibility Council a report 
     on the principal activities and achievements under the plan 
     during the period covered by the report, comparing those 
     achievements to the goals and performance criteria included 
     in the plan under section 506(c)(3).
       (3)(A) The Flexibility Council may terminate the 
     effectiveness of an approved local flexibility plan, if the 
     Flexibility Council, after consultation with the head of each 
     Federal agency responsible for administering a covered 
     Federal financial assistance program included in such, 
     determines--
       (i) that the goals and performance criteria included in the 
     plan under section 506(c)(3) have not been met; and
       (ii) after considering any experiences gained in 
     implementation of the plan, that those goals and criteria are 
     sound.
       (B) In terminating the effectiveness of an approved local 
     flexibility plan under this paragraph, the Flexibility 
     Council shall allow a reasonable period of time for 
     appropriate Federal, State, and local agencies and qualified 
     organizations to resume administration of Federal programs 
     that are covered Federal financial assistance programs 
     included in the plan.
       (e) Final Report; Extension of Plans.--(1) No later than 45 
     days after the end of the effective period of an approved 
     local flexibility plan of a local government, or at any time 
     that the local government determines that the plan has 
     demonstrated its worth, the local government shall submit to 
     the Flexibility Council a final report on its implementation 
     of the plan, including a full evaluation of the successes and 
     shortcomings of the plan and the effects of that 
     implementation on individuals who receive benefits under 
     those programs.
       (2) The Flexibility Council may extend the effective period 
     of an approved local flexibility plan for such period as may 
     be appropriate, based on the report of a local government 
     under paragraph (1).

     SEC. 509. COMMUNITY ADVISORY COMMITTEES.

       (a) Establishment.--A local government that applies for 
     approval of a local flexibility plan under this title shall 
     establish a community advisory committee in accordance with 
     this section.
       (b) Functions.--A community advisory committee shall advise 
     a local government in the development and implementation of 
     its local flexibility plan, including advice with respect 
     to--
       (1) conducting public hearings; and
       (2) reviewing and commenting on all community policies, 
     programs, and actions under the plan which affect low income 
     individuals and families, with the purpose of ensuring 
     maximum coordination and responsiveness of the plan in 
     providing benefits under the plan to those individuals and 
     families.
       (c) Membership.--The membership of a community advisory 
     committee shall--
       (1) consist of--
       (A) persons with leadership experience in the private and 
     voluntary sectors;
       (B) local elected officials;
       (C) representatives of participating qualified 
     organizations; and
       (D) the general public; and
       (2) include individuals and representatives of community 
     organizations who shall help to enhance the leadership role 
     of the local government in developing a local flexibility 
     plan.
       (d) Opportunity for Review and Comment by Committee.--
     Before submitting an application for approval of a final 
     proposed local flexibility plan, a local government shall 
     submit the final proposed plan for review and comment by a 
     community advisory committee established by the local 
     government.
       (e) Committee Review of Reports.--Before submitting annual 
     or final reports on an approved Federal assistance plan, a 
     local government or private nonprofit organization shall 
     submit the report for review and comment to the community 
     advisory committee.

     SEC. 510. TECHNICAL AND OTHER ASSISTANCE.

       (a) Technical Assistance.--(1) The Flexibility Council may 
     provide, or direct that the head of a Federal agency provide, 
     technical assistance to a local government or qualified 
     organization in developing information necessary for the 
     design or implementation of a local flexibility plan.
       (2) Assistance may be provided under this subsection if a 
     local government makes a request that includes, in accordance 
     with requirements established by the Flexibility Council--
       (A) a description of the local flexibility plan the local 
     government proposes to develop;
       (B) a description of the groups of individuals to whom 
     benefits shall be provided under covered Federal assistance 
     programs included in the plan; and
       (C) such assurances as the Flexibility Council may require 
     that--
       (i) in the development of the application to be submitted 
     under this title for approval of the plan, the local 
     government shall provide adequate opportunities to 
     participate to--
       (I) individuals and families that shall receive benefits 
     under covered Federal financial assistance programs included 
     in the plan; and
       (II) governmental agencies that administer those programs; 
     and
       (ii) the plan shall be developed after considering fully--
       (I) needs expressed by those individuals and families;
       (II) community priorities; and
     [[Page S1377]]   (III) available governmental resources in 
     the geographic area to which the plan shall apply.
       (b) Details to Council.--At the request of the Flexibility 
     Council and with the approval of an agency head who is a 
     member of the Council, agency staff may be detailed to the 
     Flexibility Council on a nonreimbursable basis.

     SEC. 511. FLEXIBILITY COUNCIL.

       (a) Functions.--The Flexibility Council shall--
       (1) receive, review, and approve or disapprove local 
     flexibility plans for which approval is sought under this 
     title;
       (2) upon request from an applicant for such approval, 
     direct the head of an agency that administers a covered 
     Federal financial assistance program under which substantial 
     Federal financial assistance would be provided under the plan 
     to provide technical assistance to the applicant;
       (3) monitor the progress of development and implementation 
     of local flexibility plans;
       (4) perform such other functions as are assigned to the 
     Flexibility Council by this title; and
       (5) issue regulations to implement this title within 180 
     days after the date of its enactment.
       (b) Reports.--No less than 18 months after the date of the 
     enactment of this Act, and annually thereafter, the 
     Flexibility Council shall submit a report on the 5 Federal 
     regulations that are most frequently waived by the 
     Flexibility Council for local governments with approved local 
     flexibility plans to the President and the Congress. The 
     President shall review the report and determine whether to 
     amend or terminate such Federal regulations.

     SEC. 512. REPORT.

       No later than 54 months after the date of the enactment of 
     this Act, the Comptroller General of the United States shall 
     submit to the Congress, a report that--
       (1) describes the extent to which local governments have 
     established and implemented approved local flexibility plans;
       (2) evaluates the effectiveness of covered Federal 
     assistance programs included in approved local flexibility 
     plans; and
       (3) includes recommendations with respect to local 
     flexibility.

     SEC. 513. CONDITIONAL TERMINATION.

       This title is repealed on the date that is 5 years after 
     the date of the enactment of this Act unless extended by the 
     Congress through the enactment of the resolution described 
     under section 514.

     SEC. 515. JOINT RESOLUTION FOR THE CONTINUATION AND EXPANSION 
                   OF LOCAL FLEXIBILITY PROGRAMS.

       (a) Description of Resolution.--A resolution referred to 
     under section 513 is a joint resolution the matter after the 
     resolving clause is as follows: ``That Congress approves the 
     application of local flexibility plans to all local 
     governments in the United States in accordance with the Local 
     Empowerment and Flexibility Act of 1995, and that--
       ``(1) if the provisions of such Act have not been repealed 
     under section 513 of such Act, such provisions shall remain 
     in effect; and
       ``(2) if the repeal under section 513 of such Act has taken 
     effect, the provisions of such Act shall be effective as 
     though such provisions had not been repealed.''.
       (b) Introduction.--No later than 30 days after the 
     transmittal by the Comptroller General of the United States 
     to the Congress of the report required in section 512, a 
     resolution as described under subsection (a) shall be 
     introduced in the Senate by the chairman of the Committee on 
     Governmental Affairs, or by a Member or Members of the Senate 
     designated by such chairman, and shall be introduced in the 
     House of Representatives by the Chairman of the Committee on 
     Government Operations, or by a Member or Members of the House 
     of Representatives designated by such chairman.
       (c) Referral.--A resolution as described under subsection 
     (a) shall be referred to the Committee on Governmental 
     Affairs of the Senate and the Committee on Government 
     Operations of the House of Representatives. The committee 
     shall make its recommendations to the Senate or House of 
     Representatives within 30 calendar days of the date of such 
     resolution's introduction.
       (d) Discharge From Committee.--If the committee to which a 
     resolution is referred has not reported such resolution at 
     the end of 30 calendar days after its introduction, that 
     committee shall be deemed to be discharged from further 
     consideration of such resolution and such resolution shall be 
     placed on the appropriate calendar of the House involved.
       (e) Vote on Final Passage.--When the committee has reported 
     or has been deemed to be discharged from further 
     consideration of a resolution described under subsection (a), 
     it is at any time thereafter in order for any Member of the 
     respective House to move to proceed to the consideration of 
     the resolution.
       (f) Rules of the Senate and House.--This section is enacted 
     by Congress--
       (1) as an exercise of the rulemaking power of the Senate 
     and House of Representatives, respectively, and as such it is 
     deemed a part of the rules of each House, respectively, but 
     applicable only with respect to the procedure to be followed 
     in that House in the case of a resolution described in 
     subsection (a), and it supersedes other rules only to the 
     extent that it is inconsistent with such rules; and
       (2) with full recognition of the constitutional right of 
     either House to change the rules (so far as relating to the 
     procedure of that House) at any time, in the same manner, and 
     to the same extent as in the case of any other rule of that 
     House.
                                 ______


                       HOLLINGS AMENDMENT NO. 182

  Mr. HOLLINGS proposed an amendment to the bill, S. 1, supra; as 
follows:

       At the appropriate place, insert the following:

     SEC.  . SENSE OF THE SENATE CONCERNING CONGRESSIONAL 
                   ENFORCEMENT OF A BALANCED BUDGET

       It is the sense of the Senate--
       (A) that the Congress should move to eliminate the biggest 
     unfunded mandate--interest on the national debt, which drives 
     the increasing federal burden on state and local governments, 
     and
       (B) that prior to adopting in the first session of the 
     104th Congress a joint resolution proposing an amendment to 
     the Constitution requiring a balanced budget--
       (1) the Congress set forth specific outlay and revenue 
     changes to achieve a balanced federal budget by the year 
     2002; and
       (2) enforce through the Congressional budget process the 
     requirement to achieve a balanced federal budget by the year 
     2002.
                                 ______


                        GRAHAM AMENDMENT NO. 183

  Mr. GRAHAM proposed an amendment to the bill S. 1, supra; as follows:

       On page 16, between lines 12 and 13, insert the following:
       ``(iii) if funded in whole or in part, a statement of 
     whether and how the committee has created a mechanism to 
     allocate the funding in a manner that is reasonably 
     consistent with the expected direct costs to each State, 
     local, and tribal government.

  Mr. GRAHAM. Mr. President, I rise today to offer a technical, yet 
extremely important, amendment to S. 1. My amendment would require 
committees that choose to pay for their public sector legislative 
mandates to report as to ``how the committee has created a mechanism to 
allocate the funding in a manner that is reasonably consistent with the 
expected direct costs to each State, local, and tribal government.''
  If the Congress chooses to pay for its mandates, and I believe the 
strong presumption should be that it do so, certainly the intent of 
this bill would be to have the funding reach those State, local, and 
tribal governments that will be impacted by the mandate rather than 
allocate funding State, local, and tribal governments through a random 
or arbitrary process.
  For example, if a mandate is imposed on local school districts, it 
would make more sense to ensure the money reaches local school 
districts rather than to State education agencies. If a mandate were to 
have an impact on State and local government in rural areas, it would 
make little sense to allocate the funding to our Nation's cities.
  On the other hand, if a mandate were to specifically impact the 
cities of our country such as Philadelphia, Seattle, Louisville, 
Baltimore, Houston, and New York City, why would funding be allocated 
to the State capitals of Harrisburg, Olympia, Frankfort, Annapolis, 
Austin, or Albany? To do the latter would undermine the entire purpose 
of this bill. While Governors Ridge, Lowry, Jones, Glendening, Bush, 
and Pataki might love to receive such a windfall to their State 
budgets, the cities could very well receive the mandate but none or 
very little of the funding. In fact, to pay for the mandate, the 
committee may very well have eliminated a Federal aid program in which 
cities are largely the recipient. As a result, the cities could have 
Federal funding cut and also receive an unfunded mandate.
  In such a case, Congress may have had great intentions in funding the 
mandate but fail miserably in actually achieving such a worthy goal. 
Mayors, Governors, or whomever receives the hard mandate but phantom 
funds will be far angrier at the Congress than they ever were before we 
passed this legislation. Certainly such circumstances would undermine 
both this bill and our Nation's system of intergovernmental relations.
  Mr. President, I am a cosponsor of this legislation and fully intend 
to vote in favor of its passage. Some may argue that asking the 
committee to review and report how and whether its allocations are made 
in a reasonably consistent manner with the expected costs is 
unnecessary. They might argue that the various committees will do the 
right thing and accurately distribute funding.
  [[Page S1378]] Based on the Congress' track record of both unfunded
   mandates and outdated formula allocations, more attention needs to 
be placed on both areas by Congress. While we have heard over the last 
week about problems with unfunded mandates, no attention has occurred 
or been placed on how the Federal Government will go about compensating 
State, local, and tribal governments. However, as noted before, such 
attention is critical and fundamental to the success of this 
legislation.

  To give you just one example, what if last year's crime bill had a 
requirement that all States must implement mandatory drug testing and 
treatment of all its imprisoned felons?
  If the committee or the Congressional Budget Office were to 
anticipate increased numbers of imprisoned felons over a period of time 
and therefore increased costs over a period of years, would the funding 
allocation reflect the anticipated growth in the individual States? It 
not, what would be the impact on the budgets and policy implications 
for States that actively attempt to put and keep violent criminals 
behind bars and off the streets of this Nation? The law of unintended 
consequences would arise. In an attempt to get people off of drugs and 
squelch their propensity to commit crimes by mandating drug testing and 
treatment, the funding formula could effectively have the contrary 
effect for unfairly impacted States.
  And finally and most importantly, what if the funding formulas are 
arbitrary or fail to allocate funding in a manner reasonably consistent 
with expected costs? I offer this specific example because, in last 
year's crime bill, the allocation formula for ``Residential Substance 
Abuse Treatment for Prisoners'' effectively allocated to some States 
substantially more dollars per inmate than to other States. Without 
compelling evidence that the former States prison inmates are more drug 
addicted or expensive to treat, such a formula makes no sense.
  If this were to happen in a circumstance of funding a mandate rather 
than a block grant, the impact could be devastating. To have a 
partially funded mandate imposed on some States while others receive 
several times the funding in comparison to the cost of its mandate 
would undermine the intent of this legislation. While funding formulas 
for block grants are important and should always strive to be as fair 
as possible, it is imperative they be consistent with the 
intergovernmental location and scale when funding mandates, if we are 
at all concerned with achieving the stated intent of this legislation.
  As a result, while my amendment would not require ``fair'' formulas 
to be established, it would require the committee to consider and 
explain the allocation formulas established to pay for the public 
sector unfunded mandates in their committee reports. Due to the 
importance of such allocations and need for thorough consideration by 
both the committees and Congress, I urge this amendment's adoption.
                                 ______


                        GRAHAM AMENDMENT NO. 184

  Mr. GRAHAM proposed an amendment to the bill S. 1, supra; as follows:

       On page 6, strike line 3 and all that follows through line 
     10, and insert the following:
       ``(ii) would reduce or eliminate the amount of 
     authorization of appropriations for--
       ``(I) Federal financial assistance that would be provided 
     to States, local governments, or tribal governments for the 
     purpose of complying with any such previously imposed duty 
     unless such duty is reduced or eliminated by a corresponding 
     amount; or
       ``(II) the exercise of powers relating to immigration that 
     are the responsibility or under the authority of the Federal 
     Government and whose reduction or elimination would result in 
     a shifting of the costs of addressing immigration expenses to 
     the States, local governments, and tribal governments; or

  Mr. GRAHAM. Mr. President, I want to first reaffirm my support for 
the objectives to S. 1 and look forward to voting for it on final 
passage. Many of my colleagues have discussed at length the financial 
impact that mandates have on their individual States or localities. I 
would add that mandates tie the hands of or effectively displace the 
priorities of political leaders in State and local government. As 
Office of Management and Budget Director Alice Rivlin wrote in her book 
entitled ``Reviving the American Dream,''

       The Federal Government's own weakness has not made it any 
     less eager to tell States and localities what to do. Indeed, 
     when its ability to make grants declined, the Federal 
     Government turned increasingly to mandates as a way of 
     controlling state and local activity without having to pay 
     the bill.

  Furthermore, unfunded mandates create a situation whereby voters 
cannot accurately ascertain where responsibility lies for certain 
Government actions. As Rivlin adds,

       Mandates add to citizen confusion about who is in charge. 
     When the Federal Government makes rules for State and local 
     officials to carry out, whether or not they have the 
     resources to do so, it is not clear to voters who should be 
     blamed, either when the regulations are laxly enforced or 
     when the cost of compliance is high.

  As a result, I strongly support this legislation and offer the 
following amendment with Senators Mack, Bryan, and Boxer to close an 
important loophole in the bill with respect to immigration and its 
impact on State and local government.
  My amendment would require Congress to recognize and address the cost 
shift to State and local governments for any action on the floor that 
would delete or preempt the authorization of any Federal reimbursement 
program for immigration costs, such as in the Criminal Aliens Federal 
Responsibility Act. The amendment does not address funding levels for 
such programs in appropriations bills or address past immigration-
related costs absorbed by State and local governments.
  However, the amendment would place immigration reimbursement programs 
in the same circumstance as Medicaid, the social services block grant, 
the Vocational Rehabilitation State Grants Program, child nutrition, 
and three other Federal programs. In this bill, if any of these 
programs are financially capped or the Federal Government's 
responsibility to provide funding to State and local government is 
reduced and State and local government lack the authority to amend 
their financial or programmatic responsibilities, then such an action 
would trigger the definition of an unfunded mandate in the bill.
  These are precisely the circumstances relating to immigration 
reimbursement programs such as the Criminal Aliens Federal 
Responsibility Act. As you will recall, the Criminal Aliens
 Federal Responsibility Act was successfully included in the crime bill 
last session by a bipartisan group of Senators in an effort to have the 
Federal Government address its responsibility for immigration and the 
costs imposed on States and localities of incarcerating criminal 
aliens.

  According to a recent report by the Urban Institute, more than 21,000 
criminal illegal immigrants are incarcerated in U.S. prisons at an 
annual cost of $471 million. Educating undocumented immigrants is even 
more costly. More than 640,000 undocumented children are enrolled in 
primary and secondary schools in the United States at a cost of $3.1 
billion a year.
  In a policy brief from the Governor's office this week on the impact 
of unfunded mandates to the State of Florida, it is estimated that 
State costs relating to illegal aliens including education, emergency 
health care, prosecution and incarceration of criminal aliens and 
public infrastructure. In fiscal year 1993 this unfunded mandate cost 
the State of Florida $884 million.
  An elimination of the authorization of such program would clearly 
reduce the Federal Government's responsibility to provide funding to 
State and local governments, while those entities have virtually no 
authority or ability to amend their financial or programmatic 
responsibilities.
  In a letter to the Congress last year, the National Governors' 
Association wrote,

       The Nation's governors have been in strong agreement that 
     immigration policy must be based on Federal responsibility 
     and fairness to State and local governments. As you well 
     know, immigration policy is solely a Federal concern. Yet 
     Federal law mandates the States to provide emergency health 
     care and education to undocumented immigrants who reside in 
     our States. State governments also are forced to pay for the 
     costs of incarcerating undocumented alien criminals.

  Immigration is clearly much more like mandatory or entitlement 
programs such as Medicaid than other discretionary programs such as 
transportation and housing. State and local governments do not have the 
discretion 
[[Page S1379]] to amend or restrict their financial obligations for 
mandatory or entitlement programs.
  In fact, I would argue that the status of unreimbursed Federal 
immigration-related costs as an unfunded mandate is actually stronger 
than that of programs such as Medicaid because the Federal Government's 
plenary role and responsibility for immigration and border control is 
unchallenged. In Traus versus Raich, the Supreme Court ruled in 1915 
that ``[t]he authority to control immigration--to admit or exclude 
aliens--is vested solely in the Federal Government.'' States cannot 
make treaties, hire border patrol, establish naturalization policy or 
even set much in the way of policy with respect to providing services 
to illegal immigrants. Border protection and immigration are clearly 
Federal obligations.
  The implications of my amendment would be to allow Members of 
Congress to raise a point or order against legislation that would 
reduce or eliminate the authorization of Federal immigration 
reimbursement programs.
  For example, if legislation were introduced that imposes a Federal 
mandate that the Congressional Budget Office estimates to cost State 
and local governments $350 million, the author of the bill could 
attempt to offset such costs by eliminating the authorization for the 
Criminal Aliens Federal Responsibility Act. Such an action would 
effectively pay for a federally imposed Federal mandate by shifting the 
full costs and responsibility for incarcerating criminal aliens to 
State and local governments. Such a circumstance would certainly run 
counter to the intent of S. 1. My amendment would clarify this loophole 
and allow a point of order to be raised for creating yet another 
unfunded mandate.
  As a result, I urge the amendment's adoption.
  Mr. MACK. Mr. President, it has consistently been my position that 
the Federal Government must assume greater responsibility for the costs 
associated with immigration, both legal and illegal. My colleague from 
Florida has offered an amendment which recognizes the problem of 
immigration costs as an unfunded mandate, and I believe this amendment 
is a positive addition to the bill. Absent this amendment, S. 1 
categorizes only a select few immigration costs as unfunded mandates 
and ignores the myriad other expenses which accrue to the States, such 
as education and incarceration costs. These expenses and many others 
would not be borne by the States. Only because the Federal Government 
has failed to fulfill their duty to enforce our immigration laws is 
this amendment necessary. I urge the adoption of the Graham amendment 
as an essential step in recognizing the burdens which the Federal 
Government's policy of abdication and default has placed upon the backs 
of the States.
                                 ______


                      WELLSTONE AMENDMENT NO. 185

  Mr. WELLSTONE proposed an amendment to the bill, S. 1, supra; as 
follows:

       At the appropriate place, insert the following: (  ) it is 
     the sense of the Congress that the Congress shall continue 
     its progress at reducing the annual federal deficit and, when 
     the Congress proposes to the States a balance-budget 
     amendment, must accompany it with financial information on 
     its impact on the budget of each of the States.
                                 ______


                      WELLSTONE AMENDMENT NO. 186

  Mr. WELLSTONE proposed an amendment to amendment No. 186 proposed by 
him to the bill S. 1, supra; as follows:

       Strike all after ``(  ) It'' and insert the following: 
     ``the sense of the Congress that the Congress should continue 
     its progress at reducing the annual federal deficit and, when 
     the Congress proposes to the States a balance-budget 
     amendment, should accompany it with financial information on 
     its impact on the budget of each of the States.''
                                 ______


                     MURRAY AMENDMENTS NOS. 187-188

  Mrs. MURRAY proposed two amendments to the bill, S. 1, supra; as 
follows:

                           Amendment No. 187

       At the appropriate place in the bill, insert the following: 
     The provisions of this Act and the amendments made by this 
     Act also shall not apply to any agreement between the Federal 
     Government and a State, local, or tribal government, or the 
     private sector for the purpose of carrying out environmental 
     restoration or waste management activities of the Department 
     of Defense or the Department of Energy.
                                                                    ____

                           Amendment No. 188

       On page 21, insert between lines 13 and 14 the following 
     new paragraph:
       ``(2) Time limitations for statements.--(A) The Director of 
     the Congressional Budget Office shall provide the statement 
     as required by this section--
       ``(i) relating to a bill or resolution ordered reported by 
     a committee, no later than one week after the date on which 
     the bill or resolution is ordered reported by the committee; 
     and
       ``(ii) relating to an amendment or conference report, no 
     later than one day after the date on which the amendment is 
     offered or the conference report is submitted.
       ``(B) Failure by the Director to meet the time limitations 
     in subparagraph (A) of this paragraph shall vitiate the 
     provisions of subsection (c)(1)(A) of this section.
                                 ______


                        GRAHAM AMENDMENT NO. 189

  Mr. GRAHAM proposed an amendment to the bill, S. 1, supra; as 
follows:

       On page 33, strike lines 10 through 12 and insert the 
     following:
       This title shall take effect on the date of enactment of 
     this Act, and shall apply to legislation considered on and 
     after such date.
                                 ______


                        HARKIN AMENDMENT NO. 190

  Mr. HARKIN proposed an amendment to the bill, S. 1, supra; as 
follows:

       On page 50, add after line 6 the following new title:

                   TITLE V--MISCELLANEOUS PROVISIONS

     SEC. 501. SENSE OF THE SENATE REGARDING BALANCED BUDGET 
                   AMENDMENT.

       (a) Findings.--The Senate finds that--
       (1) social security is a contributory insurance program 
     supported by deductions from workers' earnings and matching 
     contributions from their employers that are deposited into an 
     independent trust fund;
       (2) over 42,000,000 Americans, including over 3,000,000 
     children and 5,000,000 disabled workers and their families, 
     receive social security benefits;
       (3) social security is the only pension program for 60 
     percent of older Americans;
       (4) almost 60 percent of older beneficiaries depend on 
     social security for at least half of their income and 25 
     percent depend on social security for at least 90 percent of 
     their income;
       (5) without social security an additional 15,000,000 
     Americans, mostly senior citizens, would be thrown into 
     poverty;
       (6) 138,000,000 American workers participate in the social 
     security system and are insured in case of retirement, 
     disability, or death;
       (7) social security is a contract between workers and the 
     Government;
       (8) social security is a self-financed program that is not 
     contributing to the current Federal budget deficit; in fact, 
     the social security trust funds currently have over 
     $400,000,000,000 in reserves and that surplus will increase 
     during fiscal year 1995 alone by an additional 
     $70,000,000,000;
       (9) this surplus is necessary to pay monthly benefits for 
     current and future beneficiaries;
       (10) recognizing that social security is a self-financed 
     program, Congress took social security completely ``off-
     budget'' in 1990; however, unless social security is 
     explicitly excluded from a balanced budget amendment to the 
     United States Constitution, such an amendment would, in 
     effect, put the program back into the Federal budget by 
     referring to all spending and receipts in calculating whether 
     the budget is in balance;
       (11) raiding the social security trust funds to reduce the 
     Federal budget deficit would be devastating to both current 
     and future beneficiaries and would further undermine 
     confidence in the system among younger workers;
       (12) the American people in poll after poll have 
     overwhelmingly rejected cutting social security benefits to 
     reduce the Federal deficit and balance the budget; and
       (13) social security beneficiaries throughout the nation 
     are gravely concerned that their financial security is in 
     jeopardy because of possible social security cuts and deserve 
     to be reassured that their benefits will not be subject to 
     cuts that would likely be required should social security not 
     be excluded from a balanced budget amendment to the United 
     States Constitution.
       (b) Sense of the Senate.--It is a sense of the Senate that 
     any joint resolution providing for a balanced budget 
     amendment to the United States Constitution passed by the 
     Senate shall specifically exclude social security from the 
     calculations used to determine if the Federal budget is in 
     balance.
                                 ______


                       BINGAMAN AMENDMENT NO. 191

  Mr. BINGAMAN proposed an amendment to the bill S. 1, supra; as 
follows:

       On page 25, add after line 25 the following new section:
       ``(4) Determination by reporting committee of applicability 
     to pending legislation.--Notwithstanding any provision of 
     paragraph (1)(B), it shall always be in order to consider a 
     bill, resolution, or conference 
     [[Page S1380]] report if such report includes a determination 
     by the reporting committee that the pending measure is needed 
     to serve a compelling national interest that furthers the 
     public health, safety, or welfare.
                                 ______


                       BINGAMAN AMENDMENT NO. 192

  Mr. BINGAMAN proposed an amendment to the bill S. 1, supra; as 
follows:

       On page 25, add after line 25, the following new section:
       (4) Application to requirements relating to the treatment 
     and disposal of radioactive waste.--Notwithstanding any 
     provision of paragraph (c)(1)(B), it shall always be in order 
     to consider a bill, joint resolution, amendment, or 
     conference report if such provision relates to a requirement 
     for the treatment or disposal of--
       (A) high-level radioactive waste, low-level radioactive 
     waste, or spent nuclear fuel (as such terms are defined in 
     section 2 of the Nuclear Waste Policy Act of 1982 (42 U.S.C. 
     10101)); or
       (B) byproduct material or transuranic waste (as such terms 
     are defined in section 11 of the Atomic Energy Act of 1954, 
     (42 U.S.C. 2014)).
                                 ______


                         KOHL AMENDMENT NO. 193

  Mr. KOHL proposed an amendment to the bill, S. 1, supra; as follows:

       At the end of title I, insert the following:
       Nothing in this Act, shall preclude a State, local, or 
     tribal government that already complies with all or part of 
     the Federal intergovernmental mandates included in the bill, 
     joint resolution amendment, motion, or conference report from 
     consideration for Federal funding for the cost of the 
     mandate, including the costs the State local or tribal 
     government is currently paying and any additional costs 
     necessary to meet the mandate.
                                 ______


                       BINGAMAN AMENDMENT NO. 194

  Mr. BINGAMAN proposed an amendment to the bill S. 1, supra; as 
follows:

       On page 25, add after line 25, the following new section:
       (4) Application to provisions relating to or administrated 
     by independent regulatory agencies.--
       Notwithstanding any provision of paragraph (c)(1)(B), it 
     shall always be in order to consider a bill, joint 
     resolution, amendment, or conference report if such provision 
     relates to or will be administered by any independent 
     regulatory agency.
                                 ______


                        GLENN AMENDMENT NO. 195

  Mr. GLENN proposed an amendment to the bill S. 1, supra; as follows:

       Strike out all after the enacting clause and insert in lieu 
     thereof the following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Federal Mandate 
     Accountability and Reform Act of 1995''.

     SEC. 2. PURPOSES.

       The purposes of this Act are--
       (1) to strengthen the partnership between the Federal 
     Government and States, local governments, and tribal 
     governments;
       (2) to end the imposition, in the absence of full 
     consideration by Congress, of Federal mandates on States, 
     local governments, and tribal governments without adequate 
     Federal funding, in a manner that may displace other 
     essential State, local, and tribal governmental priorities;
       (3) to assist Congress in its consideration of proposed 
     legislation establishing or revising Federal programs 
     containing Federal mandates affecting States, local 
     governments, tribal governments, and the private sector by--
       (A) providing for the development of information about the 
     nature and size of mandates in proposed legislation; and
       (B) establishing a mechanism to bring such information to 
     the attention of the Senate before the Senate votes on 
     proposed legislation;
       (4) to promote informed and deliberate decisions by 
     Congress on the appropriateness of Federal mandates in any 
     particular instances;
       (5) to establish a point-of-order vote on the consideration 
     in the Senate of legislation containing significant Federal 
     mandates; and
       (6) to assist Federal agencies in their consideration of 
     proposed regulations affecting States, local governments, and 
     tribal governments, by--
       (A) requiring that Federal agencies develop a process to 
     enable the elected and other officials of States, local 
     governments, and tribal governments to provide input when 
     Federal agencies are developing regulations; and
       (B) requiring that Federal agencies prepare and consider 
     better estimates of the budgetary impact of regulations 
     containing Federal mandates upon States, local governments, 
     and tribal governments before adopting such regulations, and 
     ensuring that small governments are given special 
     consideration in that process.

     SEC. 3. DEFINITIONS.

       For purposes of this Act--
       (1) Federal intergovernmental mandate.--The term ``Federal 
     intergovernmental mandate'' means--
       (A) any provision in a bill or joint resolution before 
     Congress or in a proposed or final Federal regulation that--
       (i) would impose a duty upon States, local governments, or 
     tribal governments that is enforceable by administrative, 
     civil, or criminal penalty or by injunction (other than a 
     condition of Federal assistance or a duty arising from 
     participation in a voluntary Federal program, except as 
     provided in subparagraph (B)); or
       (ii) would reduce or eliminate the amount of authorization 
     of appropriations for Federal financial assistance that would 
     be provided to States, local governments, or tribal 
     governments for the purpose of complying with any such 
     previously imposed duty; or
       (B) any provision in a bill or joint resolution before 
     Congress or in a proposed or final Federal regulation that 
     relates to a then-existing Federal program under which 
     $500,000,000 or more is provided annually to States, local 
     governments, and tribal governments under entitlement 
     authority (as defined in section 3(9) of the Congressional 
     Budget Act of 1974 (2 U.S.C. 622(9))), if--
       (i)(I) the bill or joint resolution or regulation would 
     increase the stringency of conditions of assistance to 
     States, local governments, or tribal governments under the 
     program; or
       (II) would place caps upon, or otherwise decrease, the 
     Federal Government's responsibility to provide funding to 
     States, local governments, or tribal governments under the 
     program; and
       (ii) the States, local governments, or tribal governments 
     that participate in the Federal program lack authority under 
     that program to amend their financial or programmatic 
     responsibilities to continue providing required services that 
     are affected by the bill or joint resolution or regulation.
       (2) Federal private sector mandate.--The term ``Federal 
     private sector mandate'' means any provision in a bill or 
     joint resolution before Congress that--
       (A) would impose a duty upon the private sector that is 
     enforceable by administrative, civil, or criminal penalty or 
     by injunction (other than a condition of Federal assistance 
     or a duty arising from participation in a voluntary Federal 
     program); or
       (B) would reduce or eliminate the amount of authorization 
     of appropriations for Federal financial assistance that will 
     be provided to the private sector for the purpose of 
     complying with any such duty.
       (3) Federal mandate.--The term ``Federal mandate'' means a 
     Federal intergovernmental mandate or a Federal private sector 
     mandate, as defined in paragraphs (1) and (2).
       (4) Direct costs.--
       (A) For a federal intergovernmental mandate.--In the case 
     of a Federal intergovernmental mandate, the term ``direct 
     costs'' means the aggregate estimated amounts that all 
     States, local governments, and tribal governments would be 
     required to spend in order to comply with the Federal 
     intergovernmental mandate, or, in the case of a bill or joint 
     resolution referred to in paragraph (1)(A)(ii), the amount of 
     Federal financial assistance eliminated or reduced.
       (B) For a federal private sector mandate.--In the case of a 
     Federal private sector mandate, the term ``direct costs'' 
     means the aggregate amounts that the private sector will be 
     required to spend in order to comply with the Federal private 
     sector mandate.
       (C) Not included.--The term ``direct costs'' does not 
     include--
       (i) estimated amounts that the States, local governments, 
     and tribal governments (in the case of a Federal 
     intergovernmental mandate), or the private sector (in the 
     case of a Federal private sector mandate), would spend--

       (I) to comply with or carry out all applicable Federal, 
     State, local, and tribal laws and regulations adopted before 
     the adoption of the Federal mandate; or
       (II) to continue to carry out State, local governmental, 
     and tribal governmental programs, or private-sector business 
     or other activities established at the time of adoption of 
     the Federal mandate; or

       (ii) expenditures to the extent that they will be offset by 
     any direct savings to be enjoyed by the States, local 
     governments, and tribal governments, or by the private 
     sector, as a result of--

       (I) their compliance with the Federal mandate; or
       (II) other changes in Federal law or regulation that are 
     enacted or adopted in the same bill or joint resolution or 
     proposed or final Federal regulation and that govern the same 
     activity as is affected by the Federal mandate.

       (D) Assumption.--Direct costs shall be determined on the 
     assumption that States, local governments, tribal 
     governments, and the private sector will take all reasonable 
     steps necessary to mitigate the costs resulting from the 
     Federal mandate, and will comply with applicable standards of 
     practice and conduct established by recognized professional 
     or trade associations.
       (5) Amount of authorization of appropriations for federal 
     financial assistance.--The term ``amount'' with respect to an 
     authorization of appropriations for Federal financial 
     assistance means--
       (A) the amount of budget authority (as defined in section 
     3(2)(A) of the Congressional Budget Act of 1974 (2 U.S.C. 
     622(2)(A))) of any Federal grant assistance; and
       (B) the subsidy amount (as defined as ``cost'' in section 
     502(5) of the Federal Credit Reform Act of 1990 (2 U.S.C. 
     661a(5)(a))) of 
     [[Page S1381]] any Federal program providing loan guarantees 
     or direct loans.
       (6) Private sector.--The term ``private sector'' means 
     individuals, partnerships, associations, corporations, 
     business trusts, or legal representatives, organized groups 
     of individuals, and educational and other nonprofit 
     institutions.
       (7) Other definitions.--
       (A) Agency.--The term ``agency'' has the meaning stated in 
     section 551(1) of title 5, United States Code, but does not 
     include independent regulatory agencies, as defined by 
     section 3502(10) of title 44, United States Code.
       (B) Director.--The term ``Director'' means the Director of 
     the Congressional Budget Office.
       (C) Local government.--The term ``local government'' has 
     the same meaning as in section 6501(6) of title 31, United 
     States Code.
       (D) Regulation or rule.--The term ``regulation'' or 
     ``rule'' has the meaning of ``rule'' as defined in section 
     601(2) of title 5, United States Code.
       (E) Small government.--The term ``small government'' means 
     any small governmental jurisdiction as defined in section 
     601(5) of title 5, United States Code, and any tribal 
     government.
       (F) State.--The term ``State'' has the same meaning as in 
     section 6501(9) of title 31, United States Code.

     SEC. 4. EXCLUSIONS.

       This Act shall not apply to any provision in a bill or 
     joint resolution before Congress and any provision in a 
     proposed or final Federal regulation that--
       (1) enforces constitutional rights of individuals;
       (2) establishes or enforces any statutory rights that 
     prohibit discrimination on the basis of race, religion, 
     gender, national origin, or handicapped or disability status;
       (3) requires compliance with accounting and auditing 
     procedures with respect to grants or other money or property 
     provided by the United States Government;
       (4) provides for emergency assistance or relief at the 
     request of any State, local government, or tribal government 
     or any official of any of them;
       (5) is necessary for the national security or the 
     ratification or implementation of international treaty 
     obligations; or
       (6) the President designates as emergency legislation and 
     that the Congress so designates in statute.

     SEC. 5. AGENCY ASSISTANCE.

       Each agency shall provide to the Director of the 
     Congressional Budget Office such information and assistance 
     as he may reasonably request to assist him in performing his 
     responsibilities under this Act.
             TITLE I--LEGISLATIVE ACCOUNTABILITY AND REFORM

     SEC. 101. DUTIES OF CONGRESSIONAL COMMITTEES.

       (a) Committee Report.--
       (1) Regarding federal mandates.--
       (A) In general.--When a committee of authorization of the 
     House of Representatives or the Senate reports a bill or 
     joint resolution of public character that includes any 
     Federal mandate, the committee shall issue a report to 
     accompany the bill or joint resolution containing the 
     information required by subparagraphs (B) and (C).
       (B) Reports on federal mandates.--Each report required by 
     subparagraph (A) shall contain--
       (i) an identification and description, prepared in 
     consultation with the Director, of any Federal mandates in 
     the bill or joint resolution, including the expected direct 
     costs to States, local governments, and tribal governments, 
     and to the private sector, required to comply with the 
     Federal mandates; and
       (ii) a qualitative, and if possible, a quantitative 
     assessment of costs and benefits anticipated from the Federal 
     mandates (including the enhancement of health and safety and 
     the protection of the natural environment).
       (C) Intergovernmental mandates.--If any of the Federal 
     mandates in the bill or joint resolution are Federal 
     intergovernmental mandates, the report required by 
     subparagraph (A) shall also contain--
       (i)(I) a statement of the amount, if any, of increase in 
     authorization of appropriations under existing Federal 
     financial assistance programs, or of authorization of 
     appropriations for new Federal financial assistance, provided 
     by the bill or joint resolution and usable for activities of 
     States, local governments, or tribal governments subject to 
     the Federal intergovernmental mandates; and
       (II) a statement of whether the committee intends that the 
     Federal intergovernmental mandates be partly or entirely 
     unfunded, and if so, the reasons for that intention;
       (ii) any existing sources of Federal assistance in addition 
     to those identified in clause (i) that may assist States, 
     local governments, and tribal governments in meeting the 
     direct costs of the Federal intergovernmental mandates; and
       (iii) an identification of one or more of the following: 
     reductions in authorization of existing appropriations, a 
     reduction in direct spending, or an increase in receipts 
     (consistent with the amount identified clause (i)(I)).
       (2) Preemption clarification and information.--When a 
     committee of authorization of the House of Representatives or 
     the Senate reports a bill or joint resolution of public 
     character, the committee report accompanying the bill or 
     joint resolution shall contain, if relevant to the bill or 
     joint resolution, an explicit statement on the extent to 
     which the bill or joint resolution preempts any State, local, 
     or tribal law, and, if so, an explanation of the reasons for 
     such preemption.
       (b) Submission of Bills to the Director.--When a committee 
     of authorization of the House of Representatives or the 
     Senate reports a bill or joint resolution of a public 
     character, the committee shall promptly provide the bill or 
     joint resolution to the Director and shall identify to the 
     Director any Federal mandates contained in the bill or 
     resolution.
       (c) Publication of Statement From the Director.--
       (1) In general.--Upon receiving a statement (including any 
     supplemental statement) from the Director pursuant to section 
     102(c), a committee of the House of Representatives or the 
     Senate shall publish the statement in the committee report 
     accompanying the bill or joint resolution to which the 
     statement relates if the statement is available soon enough 
     to be included in the printed report.
       (2) If not included.--If the statement is not published in 
     the report, or if the bill or joint resolution to which the 
     statement relates is expected to be considered by the House 
     of Representatives or the Senate before the report is 
     published, the committee shall cause the statement, or a 
     summary thereof, to be published in the Congressional Record 
     in advance of floor consideration of the bill or joint 
     resolution.

     SEC. 102. DUTIES OF THE DIRECTOR.

       (a) Studies.--
       (1) Proposed legislation.--As early as practicable in each 
     new Congress, any committee of the House of Representatives 
     or the Senate which anticipates that the committee will 
     consider any proposed legislation establishing, amending, or 
     reauthorizing any Federal program likely to have a 
     significant budgetary impact on States, local governments, or 
     tribal governments, or likely to have a significant financial 
     impact on the private sector, including any legislative 
     proposal submitted by the executive branch likely to have 
     such a budgetary or financial impact, shall request that the 
     Director initiate a study of the proposed legislation in 
     order to develop information that may be useful in analyzing 
     the costs of any Federal mandates that may be included in the 
     proposed legislation.
       (2) Considerations.--In conducting the study under 
     paragraph (1), the Director shall--
       (A) solicit and consider information or comments from 
     elected officials (including their designated 
     representatives) of States, local governments, tribal 
     governments, designated representatives of the private 
     sector, and such other persons as may provide helpful 
     information or comments;
       (B) consider establishing advisory panels of elected 
     officials (including their designated representatives) of 
     States, local governments, tribal governments, designated 
     representatives of the private sector, and other persons if 
     the Director determines, in the Director's discretion, that 
     such advisory panels would be helpful in performing the 
     Director's responsibilities under this section; and
       (C) consult with the relevant committees of the House of 
     Representatives and of the Senate.
       (b) Consultation.--The Director shall, at the request of 
     any committee of the House of Representatives or of the 
     Senate, consult with and assist such committee in analyzing 
     the budgetary or financial impact of any proposed legislation 
     that may have--
       (1) a significant budgetary impact on State, local, or 
     tribal governments; or
       (2) a significant financial impact on the private sector.
       (c) Statements on Nonappropriations Bills and Joint 
     Resolutions.--
       (1) Federal intergovernmental mandates in reported bills 
     and joint resolutions.--For each bill or joint resolution of 
     a public character reported by any committee of authorization 
     of the House of Representatives or of the Senate, the 
     Director shall prepare and submit to the committee a 
     statement as follows:
       (A) Direct costs at or below threshold.--If the Director 
     estimates that the direct costs of all Federal 
     intergovernmental mandates in the bill or joint resolution 
     will not equal or exceed $50,000,000 (adjusted annually for 
     inflation by the Consumer Price Index) in the fiscal year in 
     which any Federal intergovernmental mandate in the bill or 
     joint resolution (or in any necessary implementing 
     regulation) would first be effective or in any of the 4 
     fiscal years following such fiscal year, the Director shall 
     so state and shall briefly explain the basis of the estimate.
       (B) Direct costs above threshold.--
       (i) In general.--If the Director estimates that the direct 
     costs of all Federal intergovernmental mandates in the bill 
     or joint resolution will equal or exceed $50,000,000 
     (adjusted annually for inflation by the Consumer Price Index) 
     in the fiscal year in which any Federal intergovernmental 
     mandate in the bill or joint resolution (or in any necessary 
     implementing regulation) would first be effective or in any 
     of the 4 fiscal years following such fiscal year, the 
     Director shall so state, specify the estimate, and briefly 
     explain the basis of the estimate.
       (ii) Estimates.--The estimate required by clause (i) shall 
     include--

       (I) estimates (and brief explanations of the basis of the 
     estimates) of--
     [[Page S1382]]   (aa) the total amount of direct costs of 
     complying with the Federal intergovernmental mandates in the 
     bill or joint resolution; and
       (bb) the amount, if any, of increase in authorization of 
     appropriations under existing Federal financial assistance 
     programs, or of authorization of appropriations for new 
     Federal financial assistance, provided by the bill or joint 
     resolution and usable by States, local governments, or tribal 
     governments for activities subject to the Federal 
     intergovernmental mandates;

       (II) estimates, if and to the extent that the Director 
     determines that accurate estimates are reasonably feasible, 
     of--

       (aa) future direct costs of Federal intergovernmental 
     mandates to the extent that they significantly differ from or 
     extend beyond the 5-year time period referred to in clause 
     (i); and
       (bb) any disproportionate budgetary effects of Federal 
     intergovernmental mandates and of any Federal financial 
     assistance in the bill or joint resolution upon any 
     particular regions of the country or particular States, local 
     governments, tribal governments, or urban or rural or other 
     types of communities; and

       (III) any amounts appropriated in the prior fiscal year to 
     fund the activities subject to the Federal intergovernmental 
     mandate.
       (2) Federal private sector mandates in reported bills and 
     joint resolutions.--For each bill or joint resolution of a 
     public character reported by any committee of authorization 
     of the House of Representatives or of the Senate, the 
     Director shall prepare and submit to the committee a 
     statement as follows:
       (A) Direct costs at or below threshold.--If the Director 
     estimates that the direct costs of all Federal private sector 
     mandates in the bill or joint resolution will not equal or 
     exceed $200,000,000 (adjusted annually for inflation by the 
     Consumer Price Index) in the fiscal year in which any Federal 
     private sector mandate in the bill or joint resolution (or in 
     any necessary implementing regulation) would first be 
     effective or in any of the 4 fiscal years following such 
     fiscal year, the Director shall so state and shall briefly 
     explain the basis of the estimate.
       (B) Direct costs above threshold.--
       (i) In general.--If the Director estimates that the direct 
     costs of all Federal private sector mandates in the bill or 
     joint resolution will equal or exceed $200,000,000 (adjusted 
     annually for inflation by the Consumer Price Index) any 
     Federal private sector mandate in the bill or joint 
     resolution (or in any necessary implementing regulation) 
     would first be effective or in any of the 4 fiscal years 
     following such fiscal year, the Director shall so state and 
     shall briefly explain the basis of the estimate.
       (ii) Estimates.--Estimates required by this subparagraph 
     shall include--

       (I) estimates (and a brief explanation of the basis of the 
     estimates) of--

       (aa) the total amount of direct costs of complying with the 
     Federal private sector mandates in the bill or joint 
     resolution; and
       (bb) the amount, if any, of increase in authorization of 
     appropriations under existing Federal financial assistance 
     programs, or of authorization of appropriations for new 
     Federal financial assistance, provided by the bill or joint 
     resolution and usable by the private sector for activities 
     subject to the Federal private sector mandates;

       (II) estimates, if and to the extent that the Director 
     determines that such estimates are reasonably feasible, of--

       (aa) future costs of Federal private sector mandates to the 
     extent that they differ significantly from or extend beyond 
     the 5-year time period referred to in clause (i);
       (bb) any disproportionate financial effects of Federal 
     private sector mandates and of any Federal financial 
     assistance in the bill or joint resolution upon particular 
     industries or sectors of the economy, States, regions, and 
     urban or rural or other types of communities; and
       (cc) the effect of Federal private sector mandates in the 
     bill or joint resolution on the national economy, including 
     on productivity, economic growth, full employment, creation 
     of productive jobs, and international competitiveness of 
     American goods and services; and

       (III) any amounts appropriated in the prior fiscal year to 
     fund activities subject to the Federal private sector 
     mandate.

       (C) Failure to make estimate.--If the Director determines 
     that it is not reasonably feasible for him to make a 
     reasonable estimate that would be required by subparagraphs 
     (A) and (B) with respect to Federal private sector mandates, 
     the Director shall not make the estimate, but shall report in 
     his statement that the reasonable estimate cannot be 
     reasonably made and shall include the reasons for that 
     determination in the statement.
       (3) Amended bills and joint resolutions; conference 
     reports.--If the Director has prepared a statement that 
     includes the determination described in paragraph (1)(B)(i) 
     for a bill or joint resolution, and if that bill or joint 
     resolution is passed in an amended form (including if passed 
     by one House as an amendment in the nature of a substitute 
     for the language of a bill or joint resolution from the other 
     House) or is reported by a committee of conference in an 
     amended form, the committee of conference shall ensure, to 
     the greatest extent practicable, that the Director prepare a 
     supplemental statement for the bill or joint resolution. The 
     requirements of section 103 shall not apply to the 
     publication of any supplemental statement prepared under this 
     subsection.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Congressional Budget Office to 
     carry out the provisions of this Act $6,000,000, for each of 
     the fiscal years 1995, 1996, 1997, and 1998.
       (e) Technical Amendment.--Section 403 of the Congressional 
     Budget Act of 1974 is amended--
       (1) in subsection (a)--
       (A) by striking paragraph (2);
       (B) in paragraph (3) by striking ``paragraphs (1) and (2)'' 
     and inserting ``paragraph (1)'';
       (C) by redesignating paragraphs (3) and (4) as paragraphs 
     (2) and (3), respectively;
       (2) by striking ``(a)''; and
       (3) by striking subsections (b) and (c).
     SEC. 103. POINT OF ORDER IN THE SENATE.

       (a) In General.--It shall not be in order in the Senate to 
     consider any bill or joint resolution that is reported by any 
     committee of authorization of the Senate unless, based upon a 
     ruling of the presiding Officer--
       (1) the committee has published a statement of the Director 
     in accordance with section 101(c) prior to such 
     consideration; and
       (2) in the case of a bill or joint resolution containing 
     Federal intergovernmental mandates, either--
       (A) the direct costs of all Federal intergovernmental 
     mandates in the bill or joint resolution are estimated not to 
     equal or exceed $50,000,000 (adjusted annually for inflation 
     by the Consumer Price Index) in the fiscal year in which any 
     Federal intergovernmental mandate in the bill or joint 
     resolution (or in any necessary implementing regulation) 
     would first be effective or in any of the 4 fiscal years 
     following such fiscal year, or
       (B)(i) the amount of the increase in authorization of 
     appropriations under existing Federal financial assistance 
     programs, or of authorization of appropriations for new 
     Federal financial assistance, provided by the bill or joint 
     resolution and usable by States, local governments, or tribal 
     governments for activities subject to the Federal 
     intergovernmental mandates is at least equal to the estimated 
     amount of direct costs of the Federal intergovernmental 
     mandates; and
       (ii) the committee of jurisdiction has identified in the 
     bill or joint resolution one or more of the following: a 
     reduction in authorization of existing appropriations, a 
     reduction in direct spending, or an increase in receipts 
     (consistent with the amount identified in clause (i)).
       (b) Waiver.--The point of order under subsection (a) may be 
     waived in the Senate by a majority vote of the Members voting 
     (provided that a quorum is present) or by the unanimous 
     consent of the Senate.
       (c) Amendment To Raise Authorization Level.--
     Notwithstanding the terms of subsection (a), it shall not be 
     out of order pursuant to this section to consider a bill or 
     joint resolution to which an amendment is proposed and agreed 
     to that would raise the amount of authorization of 
     appropriations to a level sufficient to satisfy the 
     requirements of subsection (a)(2)(B)(i) and that would amend 
     an identification referred to in subsection (a)(2)(B)(ii) to 
     satisfy the requirements of that subsection, nor shall it be 
     out of order to consider such an amendment.

     SEC. 104. EXERCISE OF RULEMAKING POWERS.

       The provisions of sections 101, 102, 103, and 105 are 
     enacted by Congress--
       (1) as an exercise of the rulemaking power of the House of 
     Representatives and the Senate, respectively, and as such 
     they shall be considered as part of the rules of such House, 
     respectively, and such rules shall supersede other rules only 
     to the extent that they are inconsistent therewith; and
       (2) with full recognition of the constitutional right of 
     either House to change such rules (so far as relating to such 
     House) at any time, in the same manner, and to the same 
     extent as in the case of any other rule of each House.

     SEC. 105. EFFECTIVE DATE.

       This title shall apply to bills and joint resolutions 
     reported by committee on or after October 1, 1996.
             TITLE II--REGULATORY ACCOUNTABILITY AND REFORM

     SEC. 201. REGULATORY PROCESS.

       (a) In General.--Each agency shall, to the extent permitted 
     in law, assess the effects of Federal regulations on States, 
     local governments, and tribal governments (other than to the 
     extent that such regulations incorporate requirements 
     specifically set forth in legislation), including 
     specifically the availability of resources to carry out any 
     Federal intergovernmental mandates in those regulations, and 
     seek to minimize those burdens that uniquely or significantly 
     affect such governmental entities, consistent with achieving 
     statutory and regulatory objectives.
       (b) State, Local Government, and Tribal Government Input.--
     Each agency shall, to the extent permitted in law, develop an 
     effective process to permit elected officials (including 
     their designated representatives) and other representatives 
     of States, local governments, and tribal governments to 
     provide meaningful and timely input in the development of 
     regulatory proposals containing significant Federal 
     intergovernmental mandates. Such a process shall be 
     consistent with all applicable laws.
       (c) Agency Plan.--
      [[Page S1383]]   (1) In general.--Before establishing any 
     regulatory requirements that might significantly or uniquely 
     affect small governments, agencies shall have developed a 
     plan under which the agency shall--
       (A) provide notice of the contemplated requirements to 
     potentially affected small governments, if any;
       (B) enable officials of affected small governments to 
     provide input pursuant to subsection (b); and
       (C) inform, educate, and advise small governments on 
     compliance with the requirements.
       (2) Authorization.--There are hereby authorized to be 
     appropriated to each agency to carry out the provisions of 
     this section, and for no other purpose, such sums as are 
     necessary.

     SEC. 202. STATEMENTS TO ACCOMPANY SIGNIFICANT REGULATORY 
                   ACTIONS.

       (a) In General.--Before promulgating any final rule that 
     includes any Federal intergovernmental mandates that may 
     result in the expenditure by States, local governments, or 
     tribal governments, in the aggregate, of $100,000,000 or more 
     (adjusted annually for inflation by the Consumer Price Index) 
     in any 1 year, and before promulgating any general notice of 
     proposed rulemaking that is likely to result in promulgation 
     of any such rule, the agency shall prepare a written 
     statement containing--
       (1) estimates by the agency, including the underlying 
     analysis, of the anticipated costs to States, local 
     governments, and tribal governments of complying with the 
     Federal intergovernmental mandates, and of the extent to 
     which such costs may be paid with funds provided by the 
     Federal Government or otherwise paid through Federal 
     financial assistance;
       (2) estimates by the agency, if and to the extent that the 
     agency determines that accurate estimates are reasonably 
     feasible, of--
       (A) the future costs of Federal intergovernmental mandates; 
     and
       (B) any disproportionate budgetary effects of the Federal 
     intergovernmental mandates upon any particular regions of the 
     country or particular States, local governments, tribal 
     governments, urban or rural or other types of communities;
       (3) a qualitative, and if possible, a quantitative 
     assessment of costs and benefits anticipated from the Federal 
     intergovernmental mandates (such as the enhancement of health 
     and safety and the protection of the natural environment); 
     and
       (4)(A) a description of the extent of any input to the 
     agency from elected representatives (including their 
     designated representatives) of the affected States, local 
     governments, and tribal governments and of other affected 
     parties;
       (B) a summary of the comments and concerns that were 
     presented by States, local governments, or tribal governments 
     either orally or in writing to the agency;
       (C) a summary of the agency's evaluation of those comments 
     and concerns; and
       (D) the agency's position supporting the need to issue the 
     regulation containing the Federal intergovernmental mandates 
     (considering, among other things, the extent to which costs 
     may or may not be paid with funds provided by the Federal 
     Government).
       (b) Promulgation.--In promulgating a general notice of 
     proposed rulemaking or a final rule for which a statement 
     under subsection (a) is required, the agency shall include in 
     the promulgation a summary of the information contained in 
     the statement.
       (c) Preparation in Conjunction With Other Statement.--Any 
     agency may prepare any statement required by subsection (a) 
     in conjunction with or as a part of any other statement or 
     analysis, provided that the statement or analysis satisfies 
     the provisions of subsection (a).

     SEC. 203. ASSISTANCE TO THE CONGRESSIONAL BUDGET OFFICE.

       The Director of the Office of Management and Budget shall 
     collect from agencies the statements prepared under section 
     202 and periodically forward copies of them to the Director 
     of the Congressional Budget Office on a reasonably timely 
     basis after promulgation of the general notice of proposed 
     rulemaking or of the final rule for which the statement was 
     prepared.

     SEC. 204. PILOT PROGRAM ON SMALL GOVERNMENT FLEXIBILITY.

       (a) In General.--The Director of the Office of Management 
     and Budget, in consultation with Federal agencies, shall 
     establish pilot programs in at least 2 agencies to test 
     innovative, and more flexible regulatory approaches that--
       (1) reduce reporting and compliance burdens on small 
     governments; and
       (2) meet overall statutory goals and objectives.
       (b) Program Focus.--The pilot programs shall focus on rules 
     in effect or proposed rules, or a combination thereof.
                       TITLE III--BASELINE STUDY

     SEC. 301. BASELINE STUDY OF COSTS AND BENEFITS.

       (a) In General.--Not later than 180 days after the date of 
     enactment of this Act, the Director of the Bureau of the 
     Census, in consultation with the Director, shall begin a 
     study to examine the measurement and definition issues 
     involved in calculating the total costs and benefits to 
     States, local governments, and tribal governments of 
     compliance with Federal law.
       (b) Considerations.--The study required by this section 
     shall consider--
       (1) the feasibility of measuring indirect costs and 
     benefits as well as direct costs and benefits of the Federal, 
     State, local, and tribal relationship; and
       (2) how to measure both the direct and indirect benefits of 
     Federal financial assistance and tax benefits to States, 
     local governments and tribal governments.
       (c) Authorization.--There are authorized to be appropriated 
     to the Bureau of the Census to carry out the purposes of this 
     title, and for no other purpose, $1,000,000 for each of the 
     fiscal years 1995 and 1996.
                   TITLE IV--JUDICIAL REVIEW; SUNSET

     SEC. 401. JUDICIAL REVIEW.

       Any statement or report prepared under this Act, and any 
     compliance or noncompliance with the provisions of this Act, 
     and any determination concerning the applicability of the 
     provisions of this Act shall not be subject to judicial 
     review. The provisions of this Act shall not create any right 
     or benefit, substantive or procedural, enforceable by any 
     person in any administrative or judicial action. No ruling or 
     determination under this Act shall be considered by any court 
     in determining the intent of Congress or for any other 
     purpose.

     SEC. 402. SUNSET.

       This Act shall expire December 31, 1998.
                                 ______


                      KEMPTHORNE AMENDMENT NO. 196

  Mr. KEMPTHORNE proposed an amendment to the bill S. 1, supra; as 
follows:

       Strike all after the word ``That'' and insert the 
     following:
       (1) social security is supported by taxes deducted from 
     workers' earnings and matching deductions from their 
     employers that are deposited into independent trust funds;
       (2) over 42,000,000 Americans, including over 3,000,000 
     children and 5,000,000 disabled workers and their families, 
     receive social security benefits;
       (3) social security is the only pension program for 60 
     percent of older Americans;
       (4) almost 60 percent of older beneficiaries depend on 
     social security for at least half of their income and 25 
     percent depend on social security for at least 90 percent of 
     their income;
       (5) 138,000,000 American workers pay taxes into the social 
     security system;
       (6) social security is currently a self-financed program 
     that is not contributing to the Federal budget deficit; in 
     fact, the social security trust funds now have over 
     $400,000,000,000 in reserves and that surplus will increase 
     during fiscal year 1995 alone by an additional 
     $70,000,000,000;
       (7) these current reserves will be necessary to pay monthly 
     benefits for current and future beneficiaries when the annual 
     surpluses turn to deficits after 2018;
       (8) recognizing that social security is currently a self-
     financed program, Congress in 1990 established a ``firewall'' 
     to prevent a raid on the social security trust funds;
       (9) raiding the social security trust funds would further 
     undermine confidence in the system among younger workers;
       (10) the American people overwhelmingly reject arbitrary 
     cuts in social security benefits; and
       (11) social security beneficiaries throughout the nation 
     deserve to be reassured that their benefits will not be 
     subject to cuts and their social security payroll taxes will 
     not be increased as a result of legislation to implement a 
     balanced budget amendment to the United States Constitution.
       (b) Sense of the Senate.--It is the sense of the Senate 
     that any legislation required to implement a balanced budget 
     amendment to the United States Constitution shall 
     specifically prevent social security benefits from being 
     reduced or social security taxes from being increased to meet 
     the balanced budget requirement.
                                 ______


                        GLENN AMENDMENT NO. 197

  Mr. GLENN proposed an amendment to the bill, S. 1, supra; as follows:

       On page 21, strike beginning with line 16 through line 4 on 
     page 22 and insert the following:
       ``(1) In general.--
       ``(A) Statement required for reported bill.--It shall not 
     be in order in the Senate, after third reading or at any 
     other time when no further amendments are in order, to 
     consider any bill or joint resolution that is reported by a 
     committee unless the committee has published a statement of 
     the Director on the direct costs of Federal mandates in 
     accordance with subsection (a)(6) before such consideration.
       ``(B) Legislation or threshold.--(i) It shall not be in 
     order in the Senate to consider any bill, joint resolution, 
     amendment, motion, or conference report--
       ``(I) after third reading or at any other time when no 
     further amendments are in order, if the enactment of such 
     bill or resolution as amended; or
       ``(II) if such bill or resolution in the form recommended 
     by such conference report differs from the bill or resolution 
     as passed by the Senate, and if the enactment of such bill or 
     resolution in the form recommended in such conference report,
     would increase the direct costs of Federal intergovernmental 
     mandates by an amount that causes the thresholds specified in 
     subsection (b)(1)(A)(i) to be exceeded, unless the conditions 
     specified in clause (ii) are satisfied.
        [[Page S1384]] ``(ii) The conditions referred to in clause 
     (i) shall be satisfied if--
       Redesignate the clause following accordingly.
                                 ______


                        McCAIN AMENDMENT NO. 198

  Mr. McCAIN proposed an amendment to the bill S. 1, supra; as follows:

       On page 25, strike lines 7 through 10, and insert the 
     following:
       ``(3) Committee on Appropriations.--Paragraph (1)--
       ``(A) shall not apply to any bill or resolution reported by 
     the Committee on Appropriations of the Senate or the House of 
     Representatives; but
       (B) shall apply to--
       (i) Any legislative provision increasing direct costs of a 
     federal inter-governmental mandate contained in any bill or 
     resolution reported by such Committee;
       (ii) any legislative provision increasing direct costs of a 
     federal inter-governmental mandate contained in any amendment 
     offered to a bill or resolution reported by such Committee;
       (iii) any legislative provision increasing direct costs of 
     a federal inter-governmental mandate in a conference report 
     accompanying a bill or resolution reported by such Committee; 
     and
       (iv) any legislative provision increasing direct costs of a 
     federal inter-governmental mandate contained in any 
     amendments in disagreement between the two Houses to any bill 
     or resolution reported by such Committee.
       (C) Upon a point of order being made by any Senator against 
     any provision listed in Paragraph (3)(B), and the point of 
     order being sustained by the Chair, such specific provision 
     shall be deemed stricken from the bill, resolution, 
     amendment, amendment in disagreement, or conference report 
     and may not be offered as an amendment from the floor.
                                 ______


                      LAUTENBERG AMENDMENT NO. 199

  Mr. LAUTENBERG proposed an amendment to the bill, S. 1, supra; as 
follows:

       On page 13, line 5, strike out ``or''.
       On page 13, line 8, strike out the period and insert in 
     lieu thereof a semicolon and ``or''.
       On page 13, insert between lines 8 and 9 the following new 
     paragraph:
       (7) limits exposure to known human (Group A) carcinogens, 
     as defined in the Environmental Protection Agency's Risk 
     Assessment Guidelines of 1986.
     

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