[Congressional Record Volume 145, Number 142 (Tuesday, October 19, 1999)]
[House]
[Pages H10204-H10231]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                              {time}  2130
        DISCRETIONARY SPENDING OFFSETS ACT FOR FISCAL YEAR 2000

  Mr. LEWIS of Kentucky. Mr. Speaker, I move to suspend the rules and 
pass the bill (H.R. 3085) to provide discretionary spending offsets for 
fiscal year 2000, as amended.
  The Clerk read as follows:

                               H.R. 3085

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Discretionary Spending 
     Offsets Act for Fiscal Year 2000''.

     SEC. 2. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.

              TITLE I--OFFSETS FOR DISCRETIONARY SPENDING

                        Subtitle A--Agriculture

          Part I--Food Safety Inspection and Enforcement Fees

Sec. 111. Fees for inspection of poultry and poultry products and 
              related activities.
Sec. 112. Fees for inspection of livestock, meat, and meat products and 
              related activities.
Sec. 113. Fees for inspection of egg products and related activities.
Sec. 114. Conforming amendments.

               Part II--Assessments Under Tobacco Program

Sec. 121. Extension and increase in tobacco assessment.

  Part III--Animal and Plant Health Inspection Service Cost-share Fees

Sec. 131. Biotechnology testing permit user fees regarding plant pests.
Sec. 132. Biotechnology testing permit user fees regarding plants.
Sec. 133. Fees for license and registration services under Animal 
              Welfare Act.

   Part IV--Grain Inspection, Packers, and Stockyard Administration 
                             Licensing Fee

Sec. 141. Grain standardization fees.
Sec. 142. Packers and stockyard licensing fee.

                      Part V--Forest Service Fees

Sec. 151. Timber sales preparation user fee.
Sec. 152. Fees for commercial filming.
Sec. 153. Timber and special forest products.
Sec. 154. Forest service visitor facilities improvement demonstration 
              program.
Sec. 155. Fair market value for recreation concessions.

                          Subtitle B--Commerce

  Part I--National Oceanic and Atmospheric Administration Navigation 
                             Services Fees

Sec. 211. Navigation services fees.

  Part II--National Oceanic and Atmospheric Administration Fisheries 
                            Management Fees

Sec. 221. Fisheries management fees.

          Part III--Analog Television Service Signal Lease Fee

Sec. 231. Analog television service signal lease fee.

                    Subtitle C--Education and Labor

                Part I--National Directory of New Hires

Sec. 311. Matching against NDNH with respect to defaulted loans and 
              overpayments of grants under the Higher Education Act of 
              1965.

     Part II--Recall of Federal Reserves Held by Guaranty Agencies

Sec. 321. Recall of reserves in fiscal years 2000 through 2004.

                Part III--Employer Tax Credit User Fees

Sec. 331. Work opportunity credit and welfare-to-work credit user fees.

         Subtitle D--Natural Resource, Energy, and Environment

   Part I--Nuclear Regulatory Commission User Fees and Annual Charges

Sec. 411. Nuclear Regulatory Commission user fees and annual charges.

   Part II--Federal Insecticide, Fungicide, and Rodenticide Act Fees

Sec. 421. Federal Insecticide, Fungicide, and Rodenticide Act fees.
Sec. 422. Conforming amendment.

              Part III--Toxic Substances Control Act Fees

Sec. 431. Toxic Substances Control Act fees.

                          Subtitle E--Revenue

                   Part I--Reinstate Superfund Taxes

Sec. 511. Extension of Hazardous Substance Superfund taxes.

                     Part II--Tobacco Excise Taxes

Sec. 521. Increase in excise taxes on tobacco products.
Sec. 522. Modification of deposit requirement.

                      Part III--Customs Access Fee

Sec. 531. Customs access fee.

    Part IV--Customs Air and Sea Passenger Processing Fee Amendments

Sec. 541. Customs passenger and cargo fee.

                    Part V--Harbor Services User Fee

Sec. 551. Harbor services fee.
Sec. 552. Harbor services fund.
Sec. 553. Conforming amendments.
Sec. 554. Definitions.
Sec. 555. Effective date.

                       Subtitle F--Human Services

       Part I--Temporary Assistance for Needy Families Amendments

Sec. 611. FY 2000 State TANF supplemental grant limited to amount of 
              grant for FY 1999.

   Part II--Temporary Assistance for Needy Families Contingency Fund

Sec. 621. Deposits into fund.
Sec. 622. State eligibility for grants; elimination of extra month of 
              eligibility.
Sec. 623. Annual reconciliation.
Sec. 624. Effective date.

                        Subtitle G--Health Care

                        Part I--Medicare Savers

Sec. 711. References in part.
Sec. 712. Reduction of clinical diagnostic laboratory test cap from 74 
              percent to 72 percent.
Sec. 713. Establishment of national limit on payments for prosthetics 
              and orthotics.
Sec. 714. Reduction in payment for bad debts.
Sec. 715. PPS hospital payment update for fiscal year 2000.
Sec. 716. No markup for covered drugs; elimination of overpayments for 
              epogen.
Sec. 717. Partial hospitalization services.
Sec. 718. Information requirements.
Sec. 719. Centers of excellence.
Sec. 719A. Effect of enactment.

            Part II--Food and Drug Administration User Fees

Sec. 720. References in part.


                     SUBPART A--MEDICAL DEVICE FEES

Sec. 721. Short title.
Sec. 722. Fees relating to devices.
Sec. 723. Sunset.


 SUBPART B--FEES TO SUPPORT COSTS OF REVIEW OF FOOD AND COLOR ADDITIVE 
                               PETITIONS

Sec. 725. Short title.
Sec. 726. Fees to support costs of food and color additive petitions.
Sec. 727. Registration of food ingredient and color additive producers.
Sec. 728. Amendments relating to food additive petition review process.
Sec. 728A. Amendments relating to color additive petition review 
              process.


          SUBPART C--FOOD CONTACT SUBSTANCE NOTIFICATION FEES

Sec. 729. Short title.
Sec. 729A. Fees relating to food contact substance notifications.
Sec. 729B. Amendment relating to food contact substance notification 
              process.

        Part III--Health Care Financing Administration User Fees

Sec. 731. References in part.
Sec. 732. Increase in Medicare+Choice fee for enrollment-related costs.
Sec. 733. Collection of fees from Medicare+Choice organizations for 
              contract initiation and renewal.
Sec. 734. Fees for survey and certification.
Sec. 735. Fees for registration of individuals and entities providing 
              health care items or services under medicare.
Sec. 736. Fees for processing claims.
Sec. 737. Repeal of provision related to selection of regional 
              laboratory carriers.
Sec. 738. Authority to issue interim final regulations.

                       Subtitle H--Transportation

      Part I--Federal Aviation Administration Cost-based User Fees

Sec. 811. Federal Aviation Administration cost-based user fees.

         Part II--Coast Guard Vessel Navigation Assistance Fee

Sec. 821. Coast Guard vessel navigational assistance fee.

[[Page H10205]]

        Part III--Hazardous Materials Transportation Safety Fees

Sec. 831. Hazardous materials transportation safety fees.

            Part IV--Commercial Accident Investigation Fees

Sec. 841. Commercial accident investigation user fees.

             Part V--Surface Transportation Board User Fees

Sec. 851. Surface Transportation Board user fees.

                     Part VI--Rail Safety User Fees

Sec. 861. Rail safety inspection user fees.

                      TITLE II--BUDGET PROVISIONS

Sec. 2001. Reduction of preexisting balances on paygo scorecard.

              TITLE I--OFFSETS FOR DISCRETIONARY SPENDING

                        Subtitle A--Agriculture

          PART I--FOOD SAFETY INSPECTION AND ENFORCEMENT FEES

     SEC. 111. FEES FOR INSPECTION OF POULTRY AND POULTRY PRODUCTS 
                   AND RELATED ACTIVITIES.

       (a) User Fees Authorized.--Section 25 of the Poultry 
     Products Inspection Act (21 U.S.C. 468) is amended to read as 
     follows:

     ``SEC. 25. FEES FOR INSPECTION OF POULTRY AND POULTRY 
                   PRODUCTS AND RELATED ACTIVITIES.

       ``(a) Imposition and Collection of Fees.--Except as 
     provided in subsection (e), the Secretary shall charge and 
     collect fees in a fair and equitable manner to cover all 
     costs (including the costs of providing inspection services 
     to establishments and of conducting enforcement actions) 
     incurred by the Secretary and the inspection service to 
     administer this Act.
       ``(b) Collection of Fees.--Fees imposed under subsection 
     (a), as well as late payment penalties and interest with 
     respect to the fees, shall be collected by the Secretary and 
     deposited in a special fund in the Treasury of the United 
     States.
       ``(c) Availability and Use of Funds.--Amounts in the 
     special fund established under subsection (b) are available 
     to the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to pay for the costs of activities for which a fee 
     is imposed under subsection (a).
       ``(d) Security.--The Secretary may require a person that is 
     assessed a fee under subsection (a) to provide security to 
     ensure that the Secretary receives the fees imposed under 
     such subsection from the person.
       ``(e) Fee Exception for Certain Activities.--Subsection (a) 
     shall not apply to the costs associated with cooperating with 
     State agencies and other Federal agencies in accordance with 
     section 5 and the costs of the Safe Meat and Poultry 
     Inspection Panel incurred under section 30.''.
       (b) Authorization of Appropriations.--Section 26 of the 
     Poultry Products Inspection Act (21 U.S.C. 469) is amended to 
     read as follows:

     ``SEC. 26. AUTHORIZATION OF APPROPRIATIONS.

       ``There are hereby authorized to be appropriated such sums 
     as may be necessary to carry out sections 5 and 30.''.
       (c) Annual Report.--Section 27 of the Poultry Products 
     Inspection Act (21 U.S.C. 470) is amended to read as follows:

     ``SEC. 27. ANNUAL REPORT.

       ``The Secretary shall annually report to the Committee on 
     Agriculture of the House of Representatives and the Committee 
     on Agriculture, Nutrition, and Forestry of the Senate with 
     respect to the following:
       ``(1) The slaughter of poultry subject to this Act.
       ``(2) The preparation, storage, handling, and distribution 
     of poultry parts and poultry products.
       ``(3) The inspection of establishments operated in 
     connection with the activities specified in paragraphs (1) 
     and (2).
       ``(4) Fee setting activities authorized under section 25.
       ``(5) The operations under and the effectiveness of this 
     Act.''.

     SEC. 112. FEES FOR INSPECTION OF LIVESTOCK, MEAT, AND MEAT 
                   PRODUCTS AND RELATED ACTIVITIES.

       (a) User Fees Authorized.--Section 411 of the Federal Meat 
     Inspection Act (21 U.S.C. 680) is amended to read as follows:

     ``SEC. 411. FEES FOR INSPECTION OF LIVESTOCK, MEAT, AND MEAT 
                   PRODUCTS AND RELATED ACTIVITIES.

       ``(a) Imposition and Collection of Fees.--Except as 
     provided in subsection (e), the Secretary shall charge and 
     collect fees in a fair and equitable manner to cover all 
     costs (including the costs of providing inspection services 
     to establishments and of conducting enforcement actions) 
     incurred by the Secretary to administer this Act and section 
     17 of the Wholesome Meat Act (21 U.S.C. 691).
       ``(b) Collection of Fees.--Fees imposed under subsection 
     (a), as well as late payment penalties and interest with 
     respect to the fees, shall be collected by the Secretary and 
     deposited in a special fund in the Treasury of the United 
     States.
       ``(c) Availability and Use of Funds.--Amounts in the 
     special fund established under subsection (b) are available 
     to the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to pay for the costs of activities for which a fee 
     is imposed under subsection (a).
       ``(d) Security.--The Secretary may require a person that is 
     assessed a fee under subsection (a) to provide security to 
     ensure that the Secretary receives the fees imposed under 
     such subsection from the person.
       ``(e) Fee Exception for Certain Activities.--Subsection (a) 
     shall not apply to the costs associated with cooperating with 
     State agencies and other Federal agencies in accordance with 
     section 301 and the costs of the Safe Meat and Poultry 
     Inspection Panel established under section 410.''.
       (b) Authorization of Appropriations.--The Federal Meat 
     Inspection Act (21 U.S.C. 601 et seq.) is amended--
       (1) in section 410 (21 U.S.C. 679a), by striking subsection 
     (i); and
       (2) by inserting after section 411 (21 U.S.C. 680) the 
     following new section:

     ``SEC. 412. AUTHORIZATION OF APPROPRIATIONS.

       ``There are hereby authorized to be appropriated such sums 
     as may be necessary to carry out sections 301 and 410.''.
       (c) Annual Report.--Section 17 of the Wholesome Meat Act 
     (21 U.S.C. 691) is amended to read as follows:

     ``SEC. 17. ANNUAL REPORT.

       ``The Secretary of Agriculture shall annually report to the 
     Committee on Agriculture of the House of Representatives and 
     the Committee on Agriculture, Nutrition, and Forestry of the 
     Senate with respect to the following:
       ``(1) The slaughter of animals subject to the Federal Meat 
     Inspection Act (21 U.S.C. 601 et seq.).
       ``(2) The preparation, storage, handling, and distribution 
     of carcasses, parts thereof, and meat and meat food products 
     of such animals.
       ``(3) The inspection of establishments operated in 
     connection with the activities specified in paragraphs (1) 
     and (2).
       ``(4) Fee setting activities authorized under section 411 
     of the Federal Meat Inspection Act.
       ``(5) The operations under and the effectiveness of the 
     Federal Meat Inspection Act.''.

     SEC. 113. FEES FOR INSPECTION OF EGG PRODUCTS AND RELATED 
                   ACTIVITIES.

       (a) User Fees Authorized.--Section 24 of the Egg Products 
     Inspection Act (21 U.S.C. 1053) is amended to read as 
     follows:

     ``SEC. 24. FEES FOR INSPECTION OF EGG PRODUCTS AND RELATED 
                   ACTIVITIES.

       ``(a) Imposition and Collection of Fees.--Except as 
     provided in subsection (e), the Secretary shall charge and 
     collect fees in a fair and equitable manner to cover all 
     costs (including the costs of providing inspection services 
     to establishments and of conducting enforcement actions) 
     incurred by the Secretary to administer this Act
       ``(b) Collection of Fees.--Fees imposed under subsection 
     (a), as well as late payment penalties and interest with 
     respect to the fees, shall be collected by the Secretary and 
     deposited in a special fund in the Treasury of the United 
     States.
       ``(c) Availability and Use of Funds.--Amounts in the 
     special fund established under subsection (b) are available 
     to the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to pay for the costs of activities for which a fee 
     is imposed under subsection (a).
       ``(d) Security.--The Secretary may require a person that is 
     assessed a fee under subsection (a) to provide security to 
     ensure that the Secretary receives the fees imposed under 
     such subsection from the person.
       ``(e) Fee Exception for Certain Activities.--Subsection (a) 
     shall not apply to the costs associated with the shell egg 
     surveillance program and the costs of cooperating with 
     appropriate State agencies and other governmental agencies in 
     accordance with section 9.''.
       (b) Authorization of Appropriations.--Section 27 of the Egg 
     Products Inspection Act (21 U.S.C. 1055), to read as follows:

     ``SEC. 27. AUTHORIZATION OF APPROPRIATIONS.

       ``Except for the costs of activities supported by fees 
     collected pursuant to section 24, there are authorized to be 
     appropriated such sums as may be necessary to carry out this 
     Act.''.
       (c) Annual Report.--Section 26 of the Egg Products 
     Inspection Act (21 U.S.C. 1054) is amended--
       (1) in paragraph (1), by striking ``; and'' and inserting a 
     semicolon;
       (2) in paragraph (2), by striking the period and inserting 
     ``; and''; and
       (3) by inserting at the end the following new paragraph:
       ``(3) the fee setting activities authorized under section 
     24.''.

     SEC. 114. CONFORMING AMENDMENTS.

       (a) Payment for Overtime Work.--The Act of July 24, 1919 (7 
     U.S.C. 394), is amended by striking ``, and to accept from 
     such establishments,'' and all that follows through ``for 
     such overtime work''.
       (b) Payments of Cost of Meat Inspection.--The Act of June 
     5, 1948 (21 U.S.C. 695), is repealed.

               PART II--ASSESSMENTS UNDER TOBACCO PROGRAM

     SEC. 121. EXTENSION AND INCREASE IN TOBACCO ASSESSMENT.

       Section 106 of the Agricultural Act of 1949 (7 U.S.C. 1445) 
     is amended by adding at the end the following new subsection:
       ``(h) Tobacco Marketing Assessment for 1999 and Subsequent 
     Crops.--

[[Page H10206]]

       ``(1) Assessment required.--For each crop of tobacco 
     beginning with the 1999 crop for which price support is made 
     available under this Act, each producer and purchaser of the 
     tobacco, and each importer of the same kind of tobacco, shall 
     remit to the Commodity Credit Corporation a nonrefundable 
     marketing assessment.
       ``(2) Determination of assessment rate.--Subject to 
     paragraph (3), the Secretary shall announce the amount per 
     pound due by crop for each kind of tobacco subject to the 
     assessment. The assessment, to the maximum extent 
     practicable, shall be established so that the total 
     assessment per pound on each kind of tobacco shall be a 
     standard percentage of the respective national average 
     support level for such kind of tobacco.
       ``(3) Required collections.--The assessment required by 
     this subsection shall be in such amount to produce, to the 
     maximum extent practicable, a total annual collection 
     estimated to be $60,000,000 in fiscal year 2000.
       ``(4) Allocation of assessment.--
       ``(A) Domestic producers.--In the case of domestically 
     produced tobacco, the producer of the tobacco shall pay for 
     each pound of tobacco the lesser of--
       ``(i) 25 percent of the per pound assessment amount as 
     determined in paragraph (2); or
       ``(ii) 0.5 percent of the national support price for the 
     tobacco.
       ``(B) Purchasers of domestically produced tobacco.--
     Purchasers of domestically produced tobacco shall pay the 
     portion of the total assessment on a pound of tobacco which 
     represents the difference between
       ``(i) the total per pound assessment as provided in 
     paragraph (2); and
       ``(ii) the amount of such assessment to be paid by the 
     domestic producer as provided in subparagraph (A).
       ``(C) Imported tobacco.--In the case of imported tobacco, 
     the importer shall pay the full amount of the assessment on a 
     pound of tobacco as provided in paragraph (2).
       ``(5) Collection of assessments.--Assessments imposed under 
     this subsection, as well as late payment penalties and 
     interest with respect to the assessments, shall be collected 
     by the Secretary and deposited in a special fund in the 
     Treasury of the United States.
       ``(6) Availability and use of funds.--Amounts in the 
     special fund established under paragraph (5) are available to 
     the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to reimburse the Department of Agriculture for costs 
     incurred for administration and other activities in support 
     of tobacco.
       ``(7) Relation to previous assessment authority.--
     Paragraphs (2) and (3) of subsection (g) shall apply to this 
     subsection.''.

  PART III--ANIMAL AND PLANT HEALTH INSPECTION SERVICE COST-SHARE FEES

     SEC. 131. BIOTECHNOLOGY TESTING PERMIT USER FEES REGARDING 
                   PLANT PESTS.

       The Federal Plant Pest Act (7 U.S.C. 150aa et seq.) is 
     amended by adding at the end the following new section:

     ``SEC. 112. FEES FOR BIOTECHNOLOGY-RELATED SERVICES.

       ``(a) Fees Required.--The Secretary shall prescribe and 
     collect to cover the costs of carrying out the provisions of 
     this title that relate to the following:
       ``(1) The issuance of any biotechnology permit.
       ``(2) The acknowledgment of any biotechnology notification.
       ``(3) The review of any biotechnology petition.
       ``(4) The provision of any other biotechnology service, 
     including the review of organisms and products created 
     through biotechnology.
       ``(b) Exemptions.--The Secretary may exempt certain persons 
     from paying fees prescribed under this section, including 
     persons conducting research and development activities that 
     receive State or Federal funds and have no commercial intent.
       ``(c) Liability.--Any person for whom an activity is 
     performed pursuant to this title for which a charge is 
     authorized shall be liable for payment of fees as prescribed 
     by the Secretary.
       ``(d) Security.--The Secretary may require a person that is 
     assessed a fee under subsection (a) to provide security to 
     ensure that the Secretary receives the fees imposed under 
     such subsection from the person.
       ``(e) Suspension of Service.--The Secretary may suspend 
     performance of services to persons who have failed to pay 
     fees, late payment fees, late payment penalties, or accrued 
     interest incurred under this section.
       ``(f) Collection of Fees.--Fees imposed under subsection 
     (a), as well as late payment penalties and interest with 
     respect to the fees, shall be collected by the Secretary and 
     deposited in a special fund in the Treasury of the United 
     States.
       ``(g) Availability and Use of Funds.--Amounts in the 
     special fund established under subsection (f) are available 
     to the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to pay for the costs of activities for which a fee 
     is imposed under subsection (a).
       ``(h) Definition of Person.--In this section, the term 
     `person' means an individual, corporation, partnership, 
     trust, association, or any other public or private entity, 
     except that the term does not include Federal entities, or 
     any officer, employee, or agent of a Federal entity.''.

     SEC. 132. BIOTECHNOLOGY TESTING PERMIT USER FEES REGARDING 
                   PLANTS.

       The Act of August 20, 1912 (commonly known as the Plant 
     Quarantine Act) is amended by inserting after section 11 the 
     following new section:

     ``SEC. 12. FEES FOR BIOTECHNOLOGY-RELATED SERVICES.

       ``(a) Fees Required.--The Secretary shall prescribe and 
     collect to cover the costs of carrying out the provisions of 
     this title that relate to the following:
       ``(1) The issuance of any biotechnology permit.
       ``(2) The acknowledgment of any biotechnology notification.
       ``(3) The review of any biotechnology petition.
       ``(4) The provision of any other biotechnology service, 
     including the review of organisms and products created 
     through biotechnology.
       ``(b) Exemptions.--The Secretary may exempt certain persons 
     from paying fees prescribed under this section, including 
     persons conducting research and development activities that 
     receive State or Federal funds and have no commercial intent.
       ``(c) Liability.--Any person for whom an activity is 
     performed pursuant to this title for which a charge is 
     authorized shall be liable for payment of fees as prescribed 
     by the Secretary.
       ``(d) Security.--The Secretary may require a person that is 
     assessed a fee under subsection (a) to provide security to 
     ensure that the Secretary receives the fees imposed under 
     such subsection from the person.
       ``(e) Suspension of Service.--The Secretary may suspend 
     performance of services to persons who have failed to pay 
     fees, late payment fees, late payment penalties, or accrued 
     interest incurred under this section.
       ``(f) Collection of Fees.--Fees imposed under subsection 
     (a), as well as late payment penalties and interest with 
     respect to the fees, shall be collected by the Secretary and 
     deposited in a special fund in the Treasury of the United 
     States.
       ``(g) Availability and Use of Funds.--Amounts in the 
     special fund established under subsection (f) are available 
     to the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to pay for the costs of activities for which a fee 
     is imposed under subsection (a).
       ``(h) Definition of Person.--In this section, the term 
     `person' means an individual, corporation, partnership, 
     trust, association, or any other public or private entity, 
     except that the term does not include Federal entities, or 
     any officer, employee, or agent of a Federal entity.''.

     SEC. 133. FEES FOR LICENSE AND REGISTRATION SERVICES UNDER 
                   ANIMAL WELFARE ACT.

       Section 23 of the Animal Welfare Act (7 U.S.C. 2153) is 
     amended to read as follows:

     ``SEC. 23. FUNDS FOR ADMINISTRATION OF ACT.

       ``(a) Imposition and Collection of Fees.--Except as 
     provided in subsection (b), the Secretary shall prescribe, 
     adjust, and collect fees to cover the costs incurred by the 
     Secretary for activities related to the following:
       ``(1) The review and maintenance of licenses and 
     registrations issued under this Act.
       ``(2) The review of applications for a license or 
     registration under this Act.
       ``(b) Exceptions.--The Secretary shall exempt Federal 
     entities from any fee prescribed under subsection (a).
       ``(c) Security.--The Secretary may require a person that is 
     assessed a fee under this section to provide security to 
     ensure that the Secretary receives fees authorized under this 
     section from such person.
       ``(d) Collection of Fees.--Fees imposed under subsection 
     (a), as well as late payment penalties and interest with 
     respect to the fees, shall be collected by the Secretary and 
     deposited in a special fund in the Treasury of the United 
     States.
       ``(e) Availability and Use of Funds.--Amounts in the 
     special fund established under subsection (d) are available 
     to the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to pay for the costs of activities for which a fee 
     is imposed under subsection (a).
       ``(f) Authorization of Appropriations.--Except for the 
     costs of activities supported by fees prescribed under 
     subsection (a), there are authorized to be appropriated such 
     sums as may be necessary to carry out this Act.''.

   PART IV--GRAIN INSPECTION, PACKERS, AND STOCKYARD ADMINISTRATION 
                             LICENSING FEE

     SEC. 141. GRAIN STANDARDIZATION FEES.

       (a) Fees for Standardization Activities.--Section 16(i) of 
     the United States Grain Standards Act (7 U.S.C. 87e(i)) is 
     amended--
       (1) in paragraph (2)--
       (A) by striking ``standardization'' and inserting 
     ``compliance activities, methods development,''; and
       (B) by adding at the end the following new sentence: 
     ``Under such regulations as the Secretary may prescribe, fees 
     for standardization activities shall, to the extent 
     practicable, be collected from persons who benefit from such 
     activities, including first purchasers, processors, and grain 
     warehouseman.''; and
       (2) by adding at the end the following new paragraph:

[[Page H10207]]

       ``(4) In paragraph (2):
       ``(A) The term `first purchaser' means any person buying or 
     otherwise acquiring from a producer grain that was produced 
     by that producer.
       ``(B) The term `producer' means any person engaged in the 
     growing of grain in the United States who has an ownership 
     interest and a risk of loss regarding the grain.''.
       (b) Conforming Amendments.--The United States Grain 
     Standards Act (7 U.S.C. 71 et seq.) is amended--
       (1) in section 7D (7 U.S.C. 79d), by striking 
     ``standardization'' and inserting ``methods development''; 
     and
       (2) in section 19 (7 U.S.C. 87h), by striking 
     ``standardization'' and inserting ``methods development''.

     SEC. 142. PACKERS AND STOCKYARD LICENSING FEE.

       (a) In General.--The Packers and Stockyards Act, 1921, is 
     amended--
       (1) by redesignating sections 414 and 415 (7 U.S.C. 228c 
     and 229) as sections 416 and 417, respectively; and
       (2) by inserting after section 413 (7 U.S.C. 228b-4) the 
     following new sections:

     ``SEC. 414. LICENSES AND FEES.

       ``(a) License Requirement.--No person shall at any time be 
     engaged in the business of a packer, live poultry dealer, 
     stockyard owner, market agency, or dealer without a valid and 
     effective license issued in accordance with this section and 
     section 415.
       ``(b) Application for a License.--Any person desiring a 
     license required by subsection (a) shall submit an 
     application to the Secretary, consistent with such rules as 
     the Secretary may prescribe.
       ``(c) License Fees.--
       ``(1) Establishment.--The Secretary shall establish a fee 
     for the issuance of licenses required by subsection (a). Upon 
     the filing of the application for the license, and annually 
     thereafter so long as the license is in effect, the applicant 
     shall pay the license fee.
       ``(2) Rate.--The amount of the fee shall be established at 
     a rate sufficient so that the total amount collected in a 
     fiscal year covers all costs incurred by the Department of 
     Agriculture to administer this Act.
       ``(3) Security.--The Secretary may require a person that is 
     assessed a fee under this subsection to provide security to 
     ensure that the Secretary receives the fees required from the 
     person.
       ``(d) Collection of Fees.--Fees imposed under subsection 
     (c), as well as late payment penalties and interest with 
     respect to the fees, shall be collected by the Secretary and 
     deposited in a special fund in the Treasury of the United 
     States.
       ``(e) Availability and Use of Funds.--Amounts in the 
     special fund established under subsection (d) are available 
     to the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to carry out this Act.
       ``(f) Violations.--
       ``(1) Penalties.--Any person who violates any provision of 
     this section shall be liable for a penalty of not more than 
     $1,000 for each such offense and not more than $250 for each 
     day it continues, which shall accrue to the United States and 
     may be recovered in a civil suit brought by the United 
     States.
       ``(2) Settlement.--The Secretary may permit a person to 
     settle such person's liability in the matter by the payment 
     of fees due for the period covered by such violation and an 
     additional sum as a late payment penalty, not in excess of 
     $250, to be fixed by the Secretary, upon a showing 
     satisfactory to the Secretary, that such violation was not 
     willful but was due to inadvertence.

     ``SEC. 415. TERMS OF LICENSE.

       ``(a) Rights of Licensee.--Whenever an applicant has paid 
     the prescribed fee under section 414, the Secretary, except 
     as provided elsewhere in this Act, shall issue to such 
     applicant a license, which shall entitle the licensee to do 
     business unless and until the license is terminated or 
     suspended by the Secretary in accordance with the provisions 
     of this Act.
       ``(b) Automatic Termination of License.--
       ``(1) Failure to pay renewal fee.--Except as provided in 
     subparagraph (B), a license issued under subsection (a) shall 
     automatically terminate on the anniversary date of the 
     issuance of the license if the annual fee is unpaid by the 
     anniversary date.
       ``(2) Exception.--A licensee may obtain a renewal of the 
     license at any time within 30 days after the anniversary date 
     of the license by paying an additional late payment fee as 
     determined by the Secretary.
       ``(3) Notification.--Notice of the necessity of paying the 
     annual fee shall be mailed to the licensee at least 30 days 
     before the anniversary date of the license.
       ``(c) Denial of Application for a License.--The Secretary 
     shall refuse to issue a license to an applicant if the 
     Secretary finds that the applicant is a person who--
       ``(1) has a license currently under suspension;
       ``(2) fails to meet the requirements for licensing as set 
     forth in the Act and regulations prescribed by the Secretary; 
     or
       ``(3) is found, after opportunity for hearing, to be unfit 
     to engage in the activity for which application has been made 
     because the applicant has engaged in any practice of the 
     character prohibited by this Act.''.
       (b) Conforming Amendments.--
       (1) Packers and stockyards act.--Section 303 of the Packers 
     and Stockyards Act, 1921 (7 U.S.C. 203), is amended by 
     striking ``he has registered with the Secretary,'' and all 
     that follows through the end of the section and inserting 
     ``the person has a valid license as provided in sections 414 
     and 415.''.
       (2) Department of agriculture appropriation act, 1944.--The 
     eleventh paragraph under the heading ``MARKETING SERVICE'' in 
     the Department of Agriculture Appropriation Act, 1944 (7 
     U.S.C. 204), is amended--
       (A) by striking ``registrant'' the first time it appears 
     and inserting ``market agency or dealer''; and
       (B) striking ``such registrant'' and inserting ``the 
     license of such market agency or dealer''.

                      PART V--FOREST SERVICE FEES

     SEC. 151. TIMBER SALES PREPARATION USER FEE.

       Section 14 of the National Forest Management Act of 1976 
     (16 U.S.C. 472a) is amended by adding at the end the 
     following new subsection:
       ``(j) Timber Sale Preparation User Fee.--
       ``(1) Fee required.--The Secretary of Agriculture shall 
     implement a pilot program to charge and collect fees, at the 
     time of the timber contract award, to cover the direct costs 
     to the Department of Agriculture of timber sale preparation 
     and harvest administration, including timber design, layout, 
     and marking.
       ``(2) Certain costs and sales excluded.--Paragraph (1) 
     shall not apply to timber sale preparation and harvest 
     administration costs related to the following:
       ``(A) An environmental analysis under the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
       ``(B) Stewardship activities, including activities under 
     section 347 of the Department of the Interior and Related 
     Agencies Appropriations Act, 1999 (as contained in section 
     101(e) of division A of Public Law 105-277; 16 U.S.C. 2104 
     note).
       ``(C) Timber sales when the Secretary determines that the 
     fee would adversely affect the marketability of the timber 
     sale, or the ability of a small business concern (as defined 
     in the Small Business Act (15 U.S.C. 631 et seq.)) to bid 
     competitively on the timber sale.
       ``(3) Collection of fees.--Fees imposed under this section 
     (c) shall be collected by the Secretary and deposited in a 
     special fund in the Treasury of the United States.
       ``(4) Availability and Use of Funds.--Amounts in the 
     special fund established under paragraph (3) are available to 
     the Secretary for obligation only to the extent and in the 
     amount provided in advance in appropriation Acts. Amounts so 
     appropriated shall remain available to the Secretary until 
     expended to pay for the activities referred to in paragraph 
     (1).
       ``(5) Term.--The authority to collect fees under this 
     subsection shall terminate on September 30, 2007.''.

     SEC. 152. FEES FOR COMMERCIAL FILMING.

       (a) Definition of Commercial Filming.--In this section, the 
     term ``commercial filming'' means the making of any motion 
     picture, television production, soundtrack, still 
     photography, or similar project for commercial purposes.
       (b) Collection and Use of Funds.--
       (1) In general.--Rental fees paid to the Secretary of 
     Agriculture for special use authorizations issued under the 
     eleventh paragraph under the heading ``surveying the public 
     lands'' in the Act of June 4, 1897 (16 U.S.C. 551), and 
     issued under part 251, subpart B of title 36, Code of Federal 
     Regulations, for commercial filming on National Forest System 
     lands shall be deposited into a special account in the 
     Treasury of the United States.
       (2) Authority to use funds.--Funds deposited in the 
     Treasury in accordance with paragraph (1) shall be available 
     for expenditure by the Secretary of Agriculture, without 
     further appropriation and until expended, for the 
     administration and management of special uses on National 
     Forest System lands.

     SEC. 153. TIMBER AND SPECIAL FOREST PRODUCTS.

       Section 14 of the National Forest Management Act of 1976 
     (16 U.S.C. 472a) is amended by inserting after subsection 
     (j), as added by section 151, the following new subsection:
       ``(k) Fair Market Value for Special Forest Products.--
       ``(1) Definition of special forest product.--In this 
     subsection, the term `special forest product' means any 
     vegetation or other life form, such as mushrooms and fungi, 
     that grows on National Forest System lands, as provided in 
     regulations issued under this subsection by the Secretary of 
     Agriculture.
       ``(2) Fees required.--The Secretary of Agriculture shall 
     charge and collect fees in an amount determined to be 
     appropriate by the Secretary in regulations based on not less 
     than the fair market value for special forest products 
     harvested or collected on National Forest System lands and 
     the costs, as appropriate, to the Department of Agriculture 
     associated with granting, modifying, or monitoring the 
     authorization for harvest or collection of these products. 
     The Secretary shall establish appraisal methods and bidding 
     procedures to ensure that the amounts collected for special 
     forest products are not less than fair market value.
       ``(3) Waiver.--The Secretary may waive the application of 
     paragraph (2) pursuant to

[[Page H10208]]

     such regulations as the Secretary may prescribe, such as 
     waivers for harvest and collection for personal use, for 
     religious purposes, pursuant to treaty rights, or for other 
     specified uses.
       ``(4) Collection of fees.--Fees collected under this 
     subsection shall be deposited into a special account in the 
     Treasury of the United States.
       ``(5) Authority to use funds.--Funds deposited in the 
     special account in the Treasury in accordance with paragraph 
     (4) in excess of the amount collected for special forest 
     products during fiscal year 1999 shall be available for 
     expenditure by the Secretary of Agriculture on and after 
     October 1, 1999, without further appropriation and until 
     expended, to pay for the costs of conducting inventories of 
     special forest products, granting, modifying, or monitoring 
     the authorization for harvest or collection of the special 
     forest products, including the costs of any environmental or 
     other analysis, monitoring and assessing the impacts of 
     harvest levels and methods, and for restoration activities, 
     including any necessary revegetation.
       ``(6) Treatment of fees.--Amounts collected under this 
     subsection shall not be taken into account for the purposes 
     of the following laws:
       ``(A) The sixth paragraph under the heading `forest 
     service' in the Act of May 23, 1908 (16 U.S.C. 500) and 
     section 13 of the Act of March 1, 1911 (commonly known as the 
     Weeks Act; 16 U.S.C. 500).
       ``(B) The fourteenth paragraph under the heading `forest 
     service' in the Act of March 4, 1913 (16 U.S.C. 501).
       ``(C) Section 33 of the Bankhead-Jones Farm Tenant Act (7 
     U.S.C. 1012).
       ``(D) The Act of August 8, 1937, and the Act of May 24, 
     1939 (43 U.S.C. 1181a et seq.).
       ``(E) Section 6 of the Act of June 14, 1926 (commonly known 
     as the Recreation and Public Purposes Act; 43 U.S.C. 869-4).
       ``(F) Chapter 69 of title 31, United States Code.
       ``(G) Section 401 of the Act of June 15, 1935 (16 U.S.C. 
     715s).
       ``(H) Section 4 of the Land and Water Conservation Fund Act 
     of 1965 (16 U.S.C. 460l-6a).
       ``(I) Any other provision of law relating to revenue 
     allocation.
       ``(7) Security.--The Secretary may require a person that is 
     assessed a fee under this subsection to provide security to 
     ensure that the Secretary receives fees authorized under this 
     subsection from such person.''.

     SEC. 154. FOREST SERVICE VISITOR FACILITIES IMPROVEMENT 
                   DEMONSTRATION PROGRAM.

       The Act of April 24, 1950 (commonly known as the Granger-
     Thye Act) is amended by inserting after section 7 (16 U.S.C. 
     580d) the following new section:

     ``SEC. 7A. FOREST SERVICE VISITOR FACILITIES IMPROVEMENT 
                   DEMONSTRATION PROGRAM.

       ``(a) Definition of Concessionaire.--In this section, the 
     term `concessionaire' means an individual, corporation, 
     partnership, public agency, or nonprofit group.
       ``(b) Demonstration Program Required.--The Secretary of 
     Agriculture (in this section referred to as the `Secretary') 
     shall implement a public/private venture demonstration 
     program to evaluate the feasibility of utilizing non-Federal 
     funds to construct, rehabilitate, maintain, and operate 
     federally owned visitor facilities (including resorts, 
     campgrounds, and marinas) on National Forest System lands and 
     to conduct the requisite environmental analysis associated 
     with those activities. The demonstration program shall 
     include not more than 15 projects.
       ``(c) Authorized Projects.--In accordance with the 
     applicable land and resource management plans, the Secretary 
     shall authorize concessionaires to construct, maintain, and 
     operate new federally owned visitor facilities and 
     rehabilitate, maintain, and operate existing federally owned 
     visitor facilities on National Forest System lands. Title to 
     the authorized improvements attributable to the 
     concessionaire's capital investment shall be vested in the 
     United States. The Secretary shall provide for competition in 
     the selection of any concessionaire under this section to 
     ensure the highest quality visitor services consistent with 
     the best financial return to the Government. Standard 
     business practices will be used to determine minimum fees 
     that reflect fair market value.
       ``(d) Term of Authorization and Depreciation.--
       ``(1) Term.--The term of each authorized project under the 
     demonstration program shall be based on the Secretary's 
     estimate of the time needed to allow the concessionaire to 
     depreciate its capital investment, except that in no event 
     shall the term of authorization exceed 35 years. Any term 
     exceeding 20 years shall require Regional Forester approval.
       ``(2) Purchase of value.--Any authorization issued under 
     this section shall provide for the purchase by the Secretary 
     or a succeeding concessionaire of any value in the authorized 
     improvements attributable to the original concessionaire's 
     capital investment that is not fully depreciated--
       ``(A) upon termination of the authorization; or
       ``(B) upon revocation of the authorization for reasons in 
     the public interest.
       ``(3) Exception.--The Secretary shall not be obligated to 
     purchase any value in an authorized improvement if the 
     authorization is revoked for any reason other than the public 
     interest.
       ``(4) Determination of value.--The value of an authorized 
     improvement shall be the amount reported to the Internal 
     Revenue Service that reflects the depreciation of the 
     concessionaire's investment in the authorized improvement. 
     This amount shall reflect all cumulative depreciation taken 
     by the concessionaire during the term of the authorization.
       ``(e) Disposal of Existing Facilities.--Notwithstanding any 
     other provision of law, the Secretary is authorized to sell 
     at fair market value existing federally owned visitor 
     facilities on National Forest System lands to a 
     concessionaire authorized under this section, if the 
     Secretary determines sale of the facilities is in the best 
     interest of the Federal Government and if the concessionaire 
     agrees that any construction, renovation, or improvement of 
     such facilities will be consistent with applicable land and 
     resource management plans and Federal and State laws. The 
     fair market value of the Federal improvements shall be 
     determined by an appraisal conducted by an independent third 
     party approved by the agency and paid for by the 
     concessionaire.
       ``(f) Concession Fees and Facility Sales Proceeds.--
       ``(1) Amount.--The Secretary shall charge and collect 
     concession fees established by bid as a percentage of the 
     concessionaire's gross revenue from authorized activities 
     associated with the bid.
       ``(2) Collection and use of funds.--Funds collected in 
     accordance with this subsection shall be deposited as 
     follows--
       ``(A) not less than 60 percent of the amounts collected, as 
     determined by the Secretary, into a special account in the 
     Treasury of the United States which shall be available for 
     expenditure by the Secretary on the unit of the National 
     Forest System in which the fees were collected; and
       ``(B) the balance of the amounts collected, not distributed 
     in accordance with subparagraph (A), into a special account 
     in the Treasury of the United States which shall be available 
     for expenditure by the Secretary on an agencywide basis.
       ``(3) Authority to use funds.--Funds deposited pursuant to 
     paragraph (2) shall be available without further 
     appropriation and until expended for the purpose of increased 
     concession opportunities, enhanced visitor services, 
     including infrastructure at nonfee recreation facilities, 
     facilities maintenance, project and program monitoring, 
     environmental analysis, and environmental restoration.
       ``(g) Bonding.--Five years before the termination of an 
     authorization issued under this section, the Secretary shall 
     require bonding from the concessionaire to ensure that 
     federally owned facilities are in satisfactory condition for 
     future use by the Federal Government or a successor 
     concessionaire.
       ``(h) Report to Congress.--Within four years after the date 
     of the enactment of this section, the Secretary shall submit 
     a report to Congress evaluating the demonstration program and 
     providing recommendations for permanent authority to 
     undertake a public/private venture program.
       ``(i) Expiration of Authority.--All activities under this 
     section shall expire not later than the end of fiscal year 
     2031, except that the authority to issue new authorizations 
     under this section shall expire at the end of fiscal year 
     2001.
       ``(j) Relation to Other Laws.--
       ``(1) Treatment of amounts collected.--Amounts collected 
     under this section shall not be taken into account for the 
     purposes of the following laws:
       ``(A) The sixth paragraph under the heading `forest 
     service' in the Act of May 23, 1908 (16 U.S.C. 500) and 
     section 13 of the Act of March 1, 1911 (commonly known as the 
     Weeks Act; 16 U.S.C. 500).
       ``(B) The fourteenth paragraph under the heading `forest 
     service' in the Act of March 4, 1913 (16 U.S.C. 501).
       ``(C) Section 33 of the Bankhead-Jones Farm Tenant Act (7 
     U.S.C. 1012).
       ``(D) The Act of August 8, 1937, and the Act of May 24, 
     1939 (43 U.S.C. 1181a et seq.).
       ``(E) Section 6 of the Act of June 14, 1926 (commonly known 
     as the Recreation and Public Purposes Act; 43 U.S.C. 869-4).
       ``(F) Chapter 69 of title 31, United States Code.
       ``(G) Section 401 of the Act of June 15, 1935 (16 U.S.C. 
     715s).
       ``(H) Section 4 of the Land and Water Conservation Fund Act 
     of 1965 (16 U.S.C. 460l-6a).
       ``(I) Any other provision of law relating to revenue 
     allocation.
       ``(2) Exemption.--Activities under this section shall 
     qualify for exemption from the Service Contract Act of 1965 
     (41 U.S.C. 351-358) under the authority of section 4.133(b) 
     of title 29, Code of Federal Regulations.''.

     SEC. 155. FAIR MARKET VALUE FOR RECREATION CONCESSIONS.

       (a) Definition of Recreation Concession.--In this section, 
     the term ``recreation concession'' means the privilege of 
     operating a business, other than a ski area, for the 
     provision of recreation services, facilities, or activities 
     on National Forest System lands and waters.
       (b) Fee Required.--The Secretary of Agriculture shall 
     charge and collect fees for recreation concessions based on 
     the fair market value of the privileges authorized.
       (c) Waiver.--The Secretary of Agriculture may waive the 
     application of subsection (b) pursuant to such regulations as 
     the Secretary may prescribe.
       (d) Collection and Use of Funds.--
       (1) In general.--Fees collected under this section shall be 
     deposited into a special account in the Treasury of the 
     United States.

[[Page H10209]]

       (2) Authority to use funds.--Funds deposited in the 
     Treasury in accordance with paragraph (1) in excess of the 
     amount collected for recreation concessions during fiscal 
     year 1999 shall be available for expenditure by the Secretary 
     of Agriculture, without further appropriation and until 
     expended, for the purpose of increased concession 
     opportunities, enhanced visitor services, including 
     infrastructure at nonfee recreation facilities, facilities 
     maintenance, project and program monitoring, interpretive 
     programs, environmental analysis, environmental restoration, 
     and permit administration.

                          Subtitle B--Commerce

  PART I--NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION NAVIGATION 
                             SERVICES FEES

     SEC. 211. NAVIGATION SERVICES FEES.

       (a) In General.--Beginning in fiscal year 2000 and each 
     year thereafter, the Secretary of Commerce shall establish 
     and adjust by regulation user fees for any navigation 
     services provided to commercial marine operators.
       (b) Publication of Schedule.--The fees established under 
     subsection (a) shall be implemented by publication of an 
     initial fee schedule as an interim final rule in the Federal 
     Register not later than 150 days after the date of enactment 
     of this section. No fee shall be collected until 30 days 
     after the date of such publication.
       (c) Subject to Appropriations Acts.--Fees authorized under 
     this section shall be available for obligation only to the 
     extent and the amount provided in advance in appropriations 
     Acts.
       (d) Authorization of Appropriations.--Not to exceed 
     $14,000,000 of offsetting collections from such user fees 
     that are collected in a fiscal year are authorized to be 
     appropriated, to remain available until expended, for 
     necessary expenses associated with navigation services 
     provided to commercial marine operators. Any fees collected 
     in excess of such amount during any fiscal year are 
     authorized to be appropriated for the same purposes in the 
     next succeeding fiscal year.

  PART II--NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION FISHERIES 
                            MANAGEMENT FEES

     SEC. 221. FISHERIES MANAGEMENT FEES.

       (a) In General.--Beginning in fiscal year 2000 and each 
     fiscal year thereafter, the Secretary of Commerce shall 
     establish and adjust by regulation user fees associated with 
     the United States fishing industry.
       (b) Consultation; Publication of Schedule.--The fees 
     established under subsection (a) shall be established after 
     consultation with the Congress and representatives of the 
     fishing industry. The fees shall be implemented by 
     publication of an initial fee schedule as an interim final 
     rule in the Federal Register not later than 150 days after 
     the date of enactment of this section. No fees shall be 
     collected until 30 days after the date of such publication.
       (c) Subject to Appropriations Acts.--Fees authorized under 
     this section shall be available for obligation only to the 
     extent and the amount provided in advance in appropriations 
     Acts.
       (d) Authorization of Appropriations.--Not to exceed 
     $20,000,000 of offsetting collections from such user fees 
     that are collected in a fiscal year are authorized to be 
     appropriated, to remain available until expended, for 
     management and enforcement costs associated with domestic 
     fisheries. Any fees collected in excess of such amount during 
     any fiscal year are authorized to be appropriated for the 
     same purposes in the next succeeding fiscal year.

          PART III--ANALOG TELEVISION SERVICE SIGNAL LEASE FEE

     SEC. 231. ANALOG TELEVISION SERVICE SIGNAL LEASE FEE.

       The Communications Act of 1934 is amended by inserting 
     after section 9 (47 U.S.C. 159) the following new section:

     ``SEC. 9A. FEES FOR ANALOG TELEVISION LICENSES.

       ``(a) In General.--Beginning in fiscal year 2000 and 
     thereafter, the Commission may assess and collect lease fees 
     for each fiscal year for the use of a license for analog 
     television service by commercial television broadcasters 
     based on rates established by the Commission. The fees shall 
     be used for upgrading Federal, State, and local public safety 
     wireless communications equipment and facilities. For fiscal 
     year 2000, the aggregate amount of such fees shall be not 
     less than $200,000,000.
       ``(b) Timing.--Payment of all fees for a fiscal year is due 
     to the Commission no later than September 30 of such fiscal 
     year.
       ``(c) Rates.--The Commission shall develop rates that 
     reasonably can be expected to result in collection of the 
     aggregate fee amount provided for fiscal year 2000 pursuant 
     to subsection (d) and shall establish and apportion the fee 
     for commercial broadcasters based upon the population covered 
     by a broadcaster's signal, as determined by the Grade B 
     contour as defined in section 76.683(a) of the Commission's 
     regulations (47 CFR 73.683(a)). The rates so established and 
     apportioned for fiscal year 2000 shall remain in effect for 
     subsequent fiscal years until all licenses for analog 
     television service have been returned.
       ``(d) Collection and Deposit.--Fees authorized by this 
     section shall be available for obligation only to the extent 
     and in the amount provided in advance in appropriations Acts. 
     Any fees collected shall be deposited as offsetting receipts 
     in a separate account in the Treasury, and are authorized to 
     be appropriated to remain available until expended.
       ``(e) Return of analog television license.--A licensee that 
     returns its license for analog television service to the 
     Commission pursuant to section 309 before the first day of 
     the fiscal year for which the fee is due shall not be 
     required to pay the fee for such fiscal year. Fees on 
     licenses for analog television service returned or 
     surrendered after the first day of the fiscal year for which 
     the fee is due shall be prorated.
       ``(f) Adjustment.--The Commission may waive, reduce, or 
     defer payment of a fee in any specific instance for good 
     cause shown, where such action would promote the public 
     interest.
       ``(7) Penalty for late payment.--The Commission shall 
     prescribe by regulation an additional charge which shall be 
     assessed as a penalty for late payment of fees. Such penalty 
     shall be 25 percent of the amount of the fee which was not 
     paid in a timely manner.''.

                    Subtitle C--Education and Labor

                PART I--NATIONAL DIRECTORY OF NEW HIRES

     SEC. 311. MATCHING AGAINST NDNH WITH RESPECT TO DEFAULTED 
                   LOANS AND OVERPAYMENTS OF GRANTS UNDER THE 
                   HIGHER EDUCATION ACT OF 1965.

       (a) Amendment to Higher Education Act of 1965.--Part G of 
     title IV of the Higher Education Act of 1965 (20 U.S.C. 1001 
     et seq.) is amended by inserting after section 488A (20 
     U.S.C. 1095a) the following new section:

     ``SEC. 488B. DATA MATCHING WITH RESPECT TO DEFAULTED LOANS 
                   AND OVERPAYMENTS OF GRANTS UNDER THIS TITLE.

       ``(a) Authority To Match Debtor Information With National 
     Directory of New Hires.--The Secretary shall furnish to the 
     Secretary of Health and Human Services, on a quarterly basis 
     or at such less frequent intervals as may be determined by 
     the Secretary, information in the custody of the Secretary 
     for comparison with information in the National Directory of 
     New Hires established under section 453(i) of the Social 
     Security Act, in order to obtain the information in such 
     directory with respect to individuals who--
       ``(1) are borrowers of loans made under this title that are 
     in default; or
       ``(2) owe an obligation to refund an overpayment of a grant 
     awarded under this title.
       ``(b) Requirement To Seek Minimum Information Necessary.--
     The Secretary shall seek information from the National 
     Directory of New Hires pursuant to this section only to the 
     extent essential to improving collection of the debt 
     described in subsection (a).
       ``(c) Use of Information Obtained in Data Matches.--The 
     Secretary may use information resulting from a data match 
     pursuant to this section only--
       ``(1) for the purpose of collection of the debt described 
     in subsection (a) owed by an individual whose annualized wage 
     level (determined by taking into consideration information 
     from the National Directory of New Hires) exceeds $16,000; 
     and
       ``(2) after removal of personal identifiers, to conduct 
     analyses of student loan defaults.
       ``(d) Disclosure of Information Obtained in Data Matches.--
       ``(1) Disclosures permitted.--The Secretary may disclose 
     information resulting from a data match pursuant to this 
     section only to--
       ``(A) a guaranty agency holding a loan made under part B on 
     which the individual is obligated;
       ``(B) a contractor or agent of the guaranty agency 
     described in subparagraph (A);
       ``(C) a contractor or agent of the Secretary; and
       ``(D) the Attorney General.
       ``(2) Purpose of disclosure.--The Secretary may make a 
     disclosure under paragraph (1) only for the purpose of 
     collection of the debts owed on defaulted student loans, or 
     overpayments of grants, made under this title.
       ``(3) Restriction of redisclosure.--An entity to which 
     information is disclosed under paragraph (1) may use or 
     disclose such information only as needed for the purpose of 
     collecting on defaulted student loans, or overpayments of 
     grants, made under this title.
       ``(4) Penalties for misuse.--The use or disclosure of such 
     information by an officer or employee of the United States, a 
     guaranty agency, or a contractor or agent in violation of 
     this section shall be subject to the civil remedies and 
     criminal penalties set forth in section 552a(i) of title 5, 
     United States Code.
       ``(e) Payment of Costs of Data Matches.--
       ``(1) Reimbursement of hhs costs.--The Secretary shall 
     reimburse the Secretary of Health and Human Services, in 
     accordance with section 453(k)(3) of the Social Security Act, 
     for the additional costs incurred by the Secretary of Health 
     and Human Services in furnishing the information requested 
     under this section.
       ``(2) Fees charged to guaranty agencies.--The Secretary may 
     impose fees on guaranty agencies for information disclosed in 
     accordance with subsection (d), based on the reasonable costs 
     to the Secretary of obtaining such information through data 
     matches under this section. Amounts derived from such fees 
     shall be available for payment to the Secretary of Health and 
     Human Services pursuant to paragraph (1). Fees authorized 
     under this paragraph shall be available

[[Page H10210]]

     for obligation only to the extent and in the amount provided 
     in advance in appropriations Acts. Such fees are authorized 
     to be appropriated to remain available until expended.''.
       (b) Amendments to Social Security Act.--
       (1) Matching and disclosure authority.--Section 453(j) of 
     the Social Security Act (42 U.S.C. 653(j)) is amended by 
     adding at the end the following new paragraph:
       ``(6) Information comparisons and disclosure for 
     enforcement of obligations on higher education act loans and 
     grants.--
       ``(A) In general.--The Secretary, in cooperation with the 
     Secretary of Education, shall compare information in the 
     National Directory of New Hires with information in the 
     custody of the Secretary of Education, and disclose 
     information in that Directory to the Secretary of Education, 
     in accordance with section 488B of the Higher Education Act 
     of 1965, for the purposes specified in such section.
       ``(B) Condition on disclosure.--The Secretary shall make 
     disclosures in accordance with subparagraph (A) only to the 
     extent that the Secretary determines that such disclosures do 
     not interfere with the effective operation of the program 
     under this part. Support collection under section 466(b) 
     shall be given priority over collection of any defaulted 
     student loan or grant overpayment against the same income.''.
       (2) Penalty for misuse of information.--Section 402(a) of 
     the Child Support Performance and Incentive Act of 1998 (112 
     Stat. 669) is amended in the matter added by paragraph (2) by 
     inserting ``or any other person'' after ``officer or employee 
     of the United States''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 1999.

     PART II--RECALL OF FEDERAL RESERVES HELD BY GUARANTY AGENCIES

     SEC. 321. RECALL OF RESERVES IN FISCAL YEARS 2000 THROUGH 
                   2004.

       (a) Secretary Required To Recall Reserves.--Section 422 of 
     the Higher Education Act of 1965 (20 U.S.C. 1072) is amended 
     by adding at the end thereof the following new subsection:
       ``(j) Recall of Reserves in Fiscal Years 2000 Through 
     2004.--
       ``(1) Recall required.--
       ``(A) Amounts required.--Notwithstanding any other 
     provision of law, the Secretary shall, except as otherwise 
     provided in this subsection and in addition to the recalls 
     required under subsections (h) and (i), recall from the 
     Federal Student Loan Reserve Funds held by guaranty agencies 
     under section 422A not less than--
       ``(i) $788,000,000 in fiscal year 2000;
       ``(ii) $234,000,000 in fiscal year 2001;
       ``(iii) $262,000,000 in fiscal year 2002;
       ``(iv) $159,000,000 in fiscal year 2003; and
       ``(v) $65,000,000 in fiscal year 2004.
       ``(B) Deposit.--Funds returned to the Secretary under this 
     subsection shall be deposited in the Treasury.
       ``(2) Apportionments of recalls.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     for each of the fiscal years 2000 through 2004, the Secretary 
     shall require each guaranty agency to return reserve funds 
     under subparagraph (A) based on its proportionate share, as 
     determined by the Secretary, of all reserve funds held by 
     guaranty agencies in the Federal Student Loan Reserve Funds 
     as of September 30 of the fiscal year preceding each such 
     fiscal year.
       ``(B) Limitations on recalls.--(i) If a guaranty agency has 
     not returned to the Secretary its share of reserve funds for 
     a fiscal year in which reserves are to be recalled under 
     paragraph (1)(A) by September 1 of that fiscal year and the 
     total amount recalled for that fiscal year is less than the 
     amount the Secretary is required to recall under that 
     paragraph in that fiscal year, the Secretary shall require 
     the return of the amount of the shortage from other Federal 
     Student Loan Reserve Funds held by any or all guaranty 
     agencies under section 422A under procedures established by 
     the Secretary.
       ``(ii) The Secretary shall first attempt to obtain the 
     amount of such shortage from each guaranty agency that failed 
     to return the agency's required share to the Secretary in 
     accordance with this subsection.
       ``(3) Administrative authority.--
       ``(A) In general.--The Secretary may take such reasonable 
     measures, and require such information, as may be necessary 
     to ensure that guaranty agencies comply with the requirements 
     of this subsection.
       ``(B) Withholding of other funds.--If the Secretary 
     determines that a guaranty agency has failed to transfer to 
     the Secretary any portion of the agency's required share 
     under this subsection, the agency may not receive any other 
     funds under this part until the Secretary determines that the 
     agency has so transferred the agency's required share.
       ``(C) Waiver.--The Secretary may waive the requirements of 
     subparagraph (B) if the Secretary determines that there are 
     extenuating circumstances beyond the control of the guaranty 
     agency that justify such waiver.
       ``(4) Definition.--For purposes of this subsection, the 
     term `reserve funds' has the meaning given in subsection 
     (h)(8)(B).''.
       (b) Conforming Amendments.--Section 422A(f) of the Higher 
     Education Act of 1965 (20 U.S.C. 1072a(f)) is amended--
       (1) in the fourth sentence of paragraph (1), by striking 
     ``subsections (h) and (i)'' and inserting ``subsections (h), 
     (i), and (j)'';
       (2) in the first sentence of paragraph (3)--
       (A) by striking ``the fourth year'' and inserting ``the 
     sixth year''; and
       (B) by striking ``not later than 5 years'' and inserting 
     ``not later than 7 years'';
       (3) by striking paragraphs (6) and (8); and
       (4) by redesignating paragraph (7) as paragraph (6).
       (c) Additional Savings.--
       (1) Payments for default claims.--Section 428(c) of the 
     Higher Education Act of 1965 (20 U.S.C. 1078(c)) is amended--
       (A) in the heading thereof, by striking ``Reimbursing 
     Losses.--'' and inserting ``Paying Lender Default Claims.--
     '';
       (B) in paragraph (1)(A)--
       (i) in the first sentence thereof, by striking 
     ``reimburse'' and inserting ``pay'';
       (ii) by striking ``reimbursement'' each place it appears 
     and inserting ``payment''; and
       (iii) in the fifth sentence thereof, by striking ``within 
     45 days'' through the end of such sentence and inserting ``at 
     such time as may be specified by the Secretary.'';
       (C) in paragraph (1)(B)--
       (i) in clause (i)--

       (I) by striking ``reimbursement payments'' and inserting 
     ``payments''; and
       (II) by striking ``paid as reimbursement'' and inserting 
     ``paid''; and

       (ii) in clause (ii)--

       (I) by striking ``reimbursement payments'' and inserting 
     ``payments''; and
       (II) by striking ``paid as reimbursement'' and inserting 
     ``paid'';

       (D) in paragraph (1)(D), by striking ``Reimbursements of 
     losses made by the Secretary'' and inserting ``Payments made 
     by the Secretary under this subsection'';
       (E) in paragraph (1)(G), by striking ``reimbursement'';
       (F) in paragraph (2)(G), by striking ``reimbursement'' each 
     place it appears and inserting ``payment'';
       (G) in paragraph (9)--
       (i) in the heading thereof, by striking ``reserve level.--
     '' and inserting ``administrative and financial condition.--
     '';
       (ii) by striking subparagraph (A);
       (iii) in subparagraph (C)--

       (I) by striking clause (i);
       (II) in clause (ii), by striking ``reimbursement payments'' 
     and inserting ``default claim payments under paragraph (1)''; 
     and
       (III) by redesignating clauses (ii) and (iii) as clauses 
     (i) and (ii), respectively; and

       (iv) by redesignating subparagraphs (B) through (K) as 
     subparagraphs (A) through (J), respectively; and
       (H) by adding at the end thereof the following new 
     paragraph:
       ``(10) Notwithstanding any provision of the Fair Debt 
     Collection Practices Act, a nonprofit guaranty agency shall 
     not be subject to the requirements of that Act to the extent 
     that it is carrying out due diligence activities required by 
     the Secretary.''.
       (2) Conforming amendments.--
       (A) Section 428C(a)(2) (20 U.S.C. 1078-3(a)(2)) is amended 
     by striking ``reimbursements'' and inserting ``payments''.
       (B) Section 428F(a) (20 U.S.C. 1078-6(a)) is amended--
       (i) in paragraph (1)(B)(ii)(I), by striking ``reimburse'' 
     and inserting ``pay''; and
       (ii) in paragraph (2), by striking ``reimbursement'' and 
     inserting ``payment''.
       (C) Section 428I(e) (20 U.S.C. 1078-9(e)) is amended by 
     striking ``reimbursements'' and inserting ``payments''.
       (D) Section 432(c)(1)(A)(ii) (20 U.S.C. 1082(c)(1)(A)(ii) 
     is amended by striking ``defaults reimbursed'' and inserting 
     ``default claims paid''.
       (E) Section 438(b)(2)(B) (20 U.S.C. 1087-1(b)(2)(B)) is 
     amended--
       (i) in clause (i), by striking ``reimbursements'' and 
     inserting ``claim payments''; and
       (ii) in clause (iv), by striking ``reimbursements'' and 
     inserting ``claim payments''.
       (F) Section 488A(a) (20 U.S.C. 1095a(a)) is amended, in the 
     matter preceding paragraph (1) by striking ``reimbursement'' 
     and inserting ``payment''.
       (c) Flexible Agreements.--Section 428A(a)(3) of the Higher 
     Education Act of 1965 (20 U.S.C. 1072a(a)(3)) is amended to 
     read as follows:
       ``(3) Eligibility.--Beginning in fiscal year 1999, the 
     Secretary may enter into a voluntary, flexible agreement with 
     any guaranty agency that had one or more agreements with the 
     Secretary under subsections (b) and (c) of section 428 as of 
     the day before the date of enactment of the Higher Education 
     Amendments of 1998.''.

                PART III--EMPLOYER TAX CREDIT USER FEES

     SEC. 331. WORK OPPORTUNITY CREDIT AND WELFARE-TO-WORK CREDIT 
                   USER FEES.

       (a) Establishment.--Subject to subsection (e), the 
     Secretary of Labor is authorized to impose a fee on employers 
     submitting applications for certification of individuals as 
     members of target groups under section 51(d)(12) of the 
     Internal Revenue Code of 1986 (26 U.S.C. 51(d)(12)) and 
     categories of long-term family assistance recipients under 
     section 51A(d)(1) of such Code (26 U.S.C. 51A(d)(1)), 
     relating to the Work Opportunity Credit and the Welfare-to-
     Work Credit, respectively. The fees imposed under this 
     section shall not be paid, directly or indirectly, by the 
     individual who is the subject of the certification.
       (b) Amount of Fee.--The amount of the fee imposed under 
     this section shall be determined by the Secretary of Labor 
     based on

[[Page H10211]]

     the Secretary's estimate of the amounts needed to fully fund 
     the costs of administering the requirements relating to the 
     certification of individuals under sections 51 and 51A of the 
     Internal Revenue Code of 1986 (26 U.S.C. 51 and 51A). The 
     Secretary of Labor shall establish a fee for employers with 
     fewer than 100 employees at an amount that is less than the 
     fee established for employers with 100 or more employees.
       (c) Collection and Deposit.--The fees imposed under this 
     section shall be collected by the Secretary of Labor through 
     the designated local agency specified in section 51(d)(11) of 
     the Internal Revenue Code of 1986 (26 U.S.C. 51(d)(11)) and 
     deposited as offsetting receipts in the State Unemployment 
     Insurance and Employment Service Operations account of the 
     Treasury of the United States.
       (d) Use of Funds.--The funds deposited pursuant to 
     subsection (c) shall be available to the Secretary of Labor 
     to pay the costs of administering the requirements relating 
     to the certification of individuals under sections 51 and 51A 
     of the Internal Revenue Code of 1986 (26 U.S.C. 51 and 51A). 
     The Secretary of Labor shall allocate the funds among the 
     States based on the relative workload of the States in 
     processing the certifications.
       (e) Appropriations Action Required.--The fees authorized 
     under this section shall be available for obligation only to 
     the extent and in the amount provided in advance in 
     appropriations acts. The fees are authorized to be 
     appropriated to remain available until expended.

         Subtitle D--Natural Resource, Energy, and Environment

   PART I--NUCLEAR REGULATORY COMMISSION USER FEES AND ANNUAL CHARGES

     SEC. 411. NUCLEAR REGULATORY COMMISSION USER FEES AND ANNUAL 
                   CHARGES.

       Section 6101(a)(3) of the Omnibus Budget Reconciliation Act 
     of 1990 (42 U.S.C. 2214(a)(3)) is amended by striking 
     ``September 30, 1998'' and inserting ``September 30, 2004''.

   PART II--FEDERAL INSECTICIDE, FUNGICIDE, AND RODENTICIDE ACT FEES

     SEC. 421. FEDERAL INSECTICIDE, FUNGICIDE, AND RODENTICIDE ACT 
                   FEES.

       Section 3 of the Federal Insecticide, Fungicide, and 
     Rodenticide Act (7 U.S.C. 136a) is amended by adding at the 
     end thereof the following new subsection:
       ``(i) Fees.--
       ``(1) Subject to paragraph (4), the Administrator is 
     authorized to assess fees from applicants for registrations 
     and amendments to registrations under this section and 
     experimental use permits under section 5 effective October 1, 
     1999.
       ``(2) Such fees shall be reasonably calculated to cover 
     costs associated with the review of such applications, and 
     shall be paid at the time of application, unless otherwise 
     specified by the Administrator. If any fee is not paid by the 
     time prescribed, the Administrator may, by order and without 
     a hearing, deny the application. The Administrator may reduce 
     or waive any fee that would otherwise be assessed--
       ``(A) in connection with an application for an active 
     ingredient that is contained only in pesticides for which 
     registration is sought solely for agricultural or 
     nonagricultural minor uses; or
       ``(B) in such other instances as the Administrator 
     determines to be in the public interest.
       ``(3) Fees collected under this subsection shall be 
     deposited in a special fund for environmental services in the 
     United States Treasury.
       ``(4) Fees authorized under this subsection shall be 
     available for obligation only to the extent and in the amount 
     provided in advance in appropriations Acts. Such fees are 
     authorized to be appropriated to remain available until 
     expended, to carry out the Agency's activities under sections 
     3 and 5 for which the fees were collected.''.

     SEC. 422. CONFORMING AMENDMENT.

       Section 4(i) of the Federal Insecticide, Fungicide, and 
     Rodenticide Act (7 U.S.C. 136b(i)) is amended--
       (1) by striking paragraph (6); and
       (2) by renumbering paragraph (7) as paragraph (6).

              PART III--TOXIC SUBSTANCES CONTROL ACT FEES

     SEC. 431. TOXIC SUBSTANCES CONTROL ACT FEES.

       Section 26(b) of the Toxic Substances Control Act (15 
     U.S.C. 2625(b)) is amended as follows:
       (1) Paragraph (1) is amended to read as follows:
       ``(b) Fees.--The Administrator is authorized, by rule, to 
     collect a reasonable fee from any person required to submit 
     data under section 4 or 5 to defray the cost of administering 
     this Act. In setting a fee under this paragraph the 
     Administrator shall take into account the ability to pay of 
     the person required to submit the data and the cost to the 
     Administrator of reviewing such data. Such rules may provide 
     for sharing such a fee in any case in which the expenses of 
     testing are shared under section 4 or 5.''.
       (2) By adding at the end thereof the following 2 
     paragraphs:
       ``(3) Fees collected under this subsection shall be 
     deposited in a special fund for environmental services in the 
     United States Treasury.
       ``(4) Fees authorized under this subsection shall be 
     available for obligation only to the extent and in the amount 
     provided in advance in appropriations Acts. Such fees are 
     authorized to be appropriated to remain available until 
     expended, to carry out the Agency's activities under sections 
     4 and 5 for which the fees were collected.''.

                          Subtitle E--Revenue

                   PART I--REINSTATE SUPERFUND TAXES

     SEC. 511. EXTENSION OF HAZARDOUS SUBSTANCE SUPERFUND TAXES.

       (a) Extension of Taxes.--
       (1) Environmental tax.--Section 59A(e) of the Internal 
     Revenue Code of 1986 is amended to read as follows:
       ``(e) Application of Tax.--The tax imposed by this section 
     shall apply to--
       ``(1) taxable years beginning after December 31, 1986, and 
     before January 1, 1996, and
       ``(2) taxable years beginning after December 31, 1998, and 
     before January 1, 2010.''
       (2) Excise taxes.--Section 4611(e) of such Code is amended 
     to read as follows:
       ``(e) Application of Hazardous Substance Superfund 
     Financing Rate.--The Hazardous Substance Superfund financing 
     rate under this section shall apply--
       ``(1) after December 31, 1986, and before January 1, 1996, 
     and
       ``(2) after the date of the enactment of this paragraph and 
     before October 1, 2009.''
       (b) Effective Dates.--
       (1) Income tax.--The amendment made by subsection (a)(1) 
     shall apply to taxable years beginning after December 31, 
     1998.
       (2) Excise tax.--The amendment made by subsection (a)(2) 
     shall take effect on the date of the enactment of this Act.

                     PART II--TOBACCO EXCISE TAXES

     SEC. 521. INCREASE IN EXCISE TAXES ON TOBACCO PRODUCTS.

       (a) In General.--Section 5701 of the Internal Revenue Code 
     of 1986 (relating to rate of tax on tobacco products), as 
     amended by the Balanced Budget Act of 1997, is amended to 
     read as follows:

     ``SEC. 5701. RATE OF TAX.

       ``(a) Cigars.--On cigars, manufactured in or imported into 
     the United States, there shall be imposed the following 
     taxes:
       ``(1) Small cigars.--On cigars, weighing not more than 3 
     pounds per thousand, $4.406 per thousand.
       ``(2) Large cigars.--On cigars weighing more than 3 pounds 
     per thousand, a tax equal to 49.99 percent of the price for 
     which sold but not more than $98.75 per thousand.

     Cigars not exempt from tax under this chapter which are 
     removed but not intended for sale shall be taxed at the same 
     rate as similar cigars removed for sale.
       ``(b) Cigarettes.--On cigarettes, manufactured in or 
     imported into the United States, there shall be imposed the 
     following taxes:
       ``(1) Small cigarettes.--On cigarettes, weighing not more 
     than 3 pounds per thousand, $47.00 per thousand.
       ``(2) Large cigarettes.--On cigarettes, weighing more than 
     3 pounds per thousand, $98.70 per thousand.

     Cigarettes described in paragraph (2), if more than 6\1/2\ 
     inches in length, shall be taxable at the rate under 
     paragraph (1) by treating each 2\3/4\ inches (or fraction 
     thereof) of the length of each as 1 cigarette.
       ``(c) Cigarette Papers.--On cigarette papers, manufactured 
     in or imported into the United States, there shall be imposed 
     a tax of 2.9 cents for each 50 papers or fractional part 
     thereof; except that cigarette papers which measure more than 
     6\1/2\ inches in length shall be taxable at the rate 
     prescribed by treating each 2\3/4\ inches (or fraction 
     thereof) of the length of each as 1 cigarette paper.
       ``(d) Cigarette Tubes.--On cigarette tubes, manufactured in 
     or imported into the United States, there shall be imposed a 
     tax of 5.9 cents for each 50 tubes or fractional part 
     thereof; except that cigarette tubes which measure more than 
     6\1/2\ inches in length shall be taxable at the rate 
     prescribed by treating each 2\3/4\ inches (or fraction 
     thereof) of the length of each as 1 cigarette tube.
       ``(e) Smokeless Tobacco.--
       ``(1) Snuff.--On snuff, manufactured in or imported into 
     the United States, there shall be imposed a tax of $1.41 per 
     pound (and a proportionate tax at the like rate on all 
     fractional parts of a pound).
       ``(2) Chewing tobacco.--On chewing tobacco, manufactured in 
     or imported into the United States, there shall be imposed a 
     tax of 47 cents (and a proportionate tax at the like rate on 
     all fractional parts of a pound).
       ``(f) Pipe Tobacco.--On pipe tobacco, manufactured in or 
     imported into the United States, there shall be imposed a tax 
     of $2.64 per pound (and a proportionate tax at the like rate 
     on all fractional parts of a pound).
       ``(g) Roll-Your-Own Tobacco.--On roll-your-own tobacco, 
     manufactured in or imported into the United States, there 
     shall be imposed a tax $2.64 per pound (and a proportionate 
     tax at the like rate on all fractional parts of a pound).
       ``(h) Imported Tobacco Products and Cigarette Papers and 
     Tubes.--The taxes imposed by this section on tobacco products 
     and cigarette papers and tubes imported into the United 
     States shall be in addition to any import duties imposed on 
     such articles, unless such import duties are imposed in lieu 
     of internal revenue tax.''.
       (b) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 1999.
       (c) Floor Stocks Taxes.--
       (1) Imposition of tax.--On tobacco products and cigarette 
     papers and tubes manufactured in or imported into the United 
     States

[[Page H10212]]

     which are removed before October 1, 1999, and held on such 
     date for sale by any person, there is hereby imposed a tax in 
     an amount equal to the excess of--
       (A) the tax which would be imposed under section 5701 of 
     the Internal Revenue Code of 1986 on the article if the 
     article had been removed on such date, over
       (B) the prior tax (if any) imposed under section 5701 of 
     such Code on such article.
       (2) Authority to exempt cigarettes held in vending 
     machines.--To the extent provided in regulations prescribed 
     by the Secretary, no tax shall be imposed by paragraph (1) on 
     cigarettes held for retail sale on October, 1, 1999, by any 
     person in any vending machine. If the Secretary provides such 
     a benefit with respect to any person, the Secretary may 
     reduce the $500 amount in paragraph (3) with respect to such 
     person.
       (3) Credit against tax.--Each person shall be allowed as a 
     credit against the taxes imposed by paragraph (1) an amount 
     equal to $500. Such credit shall not exceed the amount of 
     taxes imposed by paragraph (1) for which such person is 
     liable.
       (4) Liability for tax and method of payment.--
       (A) Liability for tax.--A person holding cigarettes on 
     October, 1, 1999, to which any tax imposed by paragraph (1) 
     applies shall be liable for such tax.
       (B) Method of payment.--The tax imposed by paragraph (1) 
     shall be paid in such manner as the Secretary shall prescribe 
     by regulations.
       (C) Time for payment.--The tax imposed by paragraph (1) 
     shall be paid on or before April 1, 2000.
       (5) Articles in foreign trade zones.--Notwithstanding the 
     Act of June 18, 1934 (48 Stat. 998, 19 U.S.C. 81a) and any 
     other provision of law, any article which is located in a 
     foreign trade zone on October 1, 1999, shall be subject to 
     the tax imposed by paragraph (1) if--
       (A) internal revenue taxes have been determined, or customs 
     duties liquidated, with respect to such article before such 
     date pursuant to a request made under the 1st proviso of 
     section 3(a) of such Act, or
       (B) such article is held on such date under the supervision 
     of a customs officer pursuant to the 2d proviso of such 
     section 3(a).
       (6) Definitions.--For purposes of this subsection--
       (A) In general.--Terms used in this subsection which are 
     also used in section 5702 of the Internal Revenue Code of 
     1986 shall have the respective meanings such terms have in 
     such section, as amended by this Act.
       (B) Secretary.--The term ``Secretary'' means the Secretary 
     of the Treasury or the Secretary's delegate.
       (7) Controlled groups.--Rules similar to the rules of 
     section 5061(e)(3) of such Code shall apply for purposes of 
     this subsection.
       (8) Other laws applicable.--All provisions of law, 
     including penalties, applicable with respect to the taxes 
     imposed by section 5701 of such Code shall, insofar as 
     applicable and not inconsistent with the provisions of this 
     subsection, apply to the floor stocks taxes imposed by 
     paragraph (1), to the same extent as if such taxes were 
     imposed by such section 5701. The Secretary may treat any 
     person who bore the ultimate burden of the tax imposed by 
     paragraph (1) as the person to whom a credit or refund under 
     such provisions may be allowed or made.

     SEC. 522. MODIFICATION OF DEPOSIT REQUIREMENT.

       (a) In General.--Paragraph (1) of section 6302(f) of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following new sentence: ``This paragraph shall not apply 
     to 1999 with respect to taxes imposed by chapters 51 and 
     52.''
       (b) Effective Date.--The amendment made by this section 
     shall take effect on the date of the enactment of this Act.

                      PART III--CUSTOMS ACCESS FEE

     SEC. 531. CUSTOMS ACCESS FEE.

       (a) Customs Access Fee.--Section 13031 of the Consolidated 
     Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c) is 
     amended as follows:
       (1) Subsection (a) is amended by adding at the end the 
     following new paragraph:
       ``(11)(A) For the use of any automated system of the 
     Customs Service for processing commercial operations, the 
     Secretary of the Treasury shall assess a fee based on the 
     volume of usage of the system.
       ``(B) The Secretary shall publish in the Federal Register a 
     notice establishing the fee under this paragraph to ensure 
     collection in each fiscal year of the amount appropriated for 
     that fiscal year for the cost of modernizing automated 
     commercial operations of the Customs Service and of deploying 
     the International Trade Data System.''.
       (2) Subsection (b) is amended by adding at the end the 
     following new paragraph:
       ``(12) No fee may be charged to a Federal agency under 
     subsection (a)(11).''.
       (3) Subsection (d) is amended by adding at the end the 
     following new paragraph:
       ``(5) The Customs Service shall issue bills on a monthly 
     basis for the fee charged under subsection (a)(11).''.
       (4) Subsection (f)(1) is amended by adding at the end the 
     following:

     ``The fees authorized under subsection (a)(11) shall be 
     available for obligation only to the extent and in the amount 
     provided in advance in appropriations Acts for the costs of 
     modernizing the automated commercial operations of the 
     Customs Service and of deploying the International Trade Data 
     System. The fees authorized under subsection (a)(11) shall be 
     adjusted accordingly and are authorized to remain available 
     until expended.''.
       (b) Effective Date.--The amendments made by this section 
     take effect on October 1, 1999.

    PART IV--CUSTOMS AIR AND SEA PASSENGER PROCESSING FEE AMENDMENTS

     SEC. 541. CUSTOMS PASSENGER AND CARGO FEE.

       Section 13031 of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C.58c) is amended as 
     follows:
       (1) Subsection (a)(5) is amended to read as follows:
       ``(5)(A) For the arrival of each passenger aboard a 
     commercial vessel from a place referred to in subsection 
     (b)(1)(A)(i), $1.75.
       ``(B) Subject to subsection (f)(5), for the arrival of each 
     passenger aboard a commercial vessel or commercial aircraft 
     from a place outside the United States, $6.40, except that--
       ``(i) the exemptions under clauses (i) and (iv) of 
     subsection (b)(1)(A) shall not apply; and
       ``(ii) the exemption under clause (iii) of subsection 
     (b)(1)(A) shall not apply, except to the arrival of a ferry 
     which began operating on or before January 1, 1999.''.
       (2) Subsection (b)(1) is amended--
       (A) in subparagraph (A), in the matter preceding clause 
     (i), by striking ``(a)(5)(B)'' and inserting ``(a)(5)''; and
       (B) by striking subparagraph (C).
       (3) Subsection (f) is amended--
       (A) in paragraph (3)--
       (i) by redesignating subparagraphs (B), (C), and (D) as 
     subparagraphs (C), (D), and (E), respectively;
       (ii) by inserting after subparagraph (A) the following:
       ``(B) Notwithstanding subparagraph (A) and subject to 
     paragraph (5), the Secretary of the Treasury is authorized to 
     reimburse directly from the fees collected under paragraph 
     (5)(B) of subsection (a), the Customs `Salaries and Expenses' 
     appropriation for the costs incurred by the Secretary for 
     inspectional services, to the following extent:
       ``(i) Each fee ($6.40) collected pursuant to paragraph 
     (5)(B) of subsection (a) for services in connection with the 
     arrival of each passenger exempt, before the enactment of the 
     Discretionary Spending Offsets Act for Fiscal Year 2000, from 
     paying a fee under clause (i), (iii), or (iv) of subsection 
     (b)(1)(A), except for the arrival of any passenger on a ferry 
     which began operating on or before January 1, 1999.
       ``(ii) $1.40 of each fee collected pursuant to paragraph 
     (5)(B) of subsection (a) for services in connection with the 
     arrival of all other passengers.''; and
       (iii) by striking the last sentence of subparagraph (A); 
     and
       (B) by amending paragraph (5) to read as follows:
       ``(5) Of the fees charged under paragraph (5)(B) of 
     subsection (a), the amount specified under paragraph (3)(B) 
     of this subsection for reimbursement shall be available for 
     obligation only to the extent and in the amount provided in 
     advance in appropriations Acts. Such fees shall apply to 
     documents or tickets issued on or after the 30th day 
     following the enactment of the applicable appropriations Act. 
     Such fees are authorized to remain available until 
     expended.''.

                    PART V--HARBOR SERVICES USER FEE

     SEC. 551. HARBOR SERVICES FEE.

       (a) In General.--The Secretary of the Army, acting through 
     the Chief of Engineers, shall impose a fee on the owners or 
     operators of commercial vessels for services provided for the 
     use of ports.
       (b) Amount of Fee.--
       (1) Individual fees.--The amount of the fee imposed under 
     subsection (a) shall be based on vessel category and vessel 
     capacity unit in accordance with the following:
       (A) Bulkers, $0.12 per vessel capacity unit.
       (B) Tankers, $0.28 per vessel capacity unit.
       (C) General cargo vessels, $2.74 per vessel capacity unit.
       (D) Cruise vessels, $0.12 per vessel capacity unit.
       (2) Total fees.--The aggregate amount of fees imposed under 
     subsection (a) in any fiscal year shall be sufficient to pay 
     the projected total expenditures of the Department of the 
     Army, subject to appropriations, for harbor development, 
     operation, and maintenance for a fiscal year. If amounts 
     appropriated in any fiscal year are less than the amount 
     collected in fees for the prior fiscal year, then the rate of 
     the fee for each vessel category shall be reduced in the year 
     of the appropriation so as to result in collections not 
     exceeding the total amount appropriated from the Harbor 
     Services Fund for that fiscal year.
       (c) Imposition of Fees.--Fees imposed under subsection (a) 
     shall be imposed on a voyage basis for commercial vessels and 
     shall be payable by the operator of a commercial vessel upon 
     the first port use by a vessel entering a United States port 
     from a foreign port or at the originating port for domestic 
     voyages.
       (d) Availability of Fees.--Fees imposed under subsection 
     (a) in any fiscal year shall be available for obligation in 
     the following fiscal year only to the extent and in the 
     amount provided in advance in the appropriations Act for such 
     fiscal year. Such fees are authorized to be appropriated to 
     remain available until expended.
       (e) Exemptions.--No fee shall be imposed under subsection 
     (a) for port use--

[[Page H10213]]

       (1) by the United States or any agency or instrumentality 
     of the United States;
       (2) in connection with intraport movements;
       (3) in connection with transporting commercial cargo from 
     the United States mainland to Alaska, Hawaii, or any 
     possession of the United States;
       (4) in connection with transporting commercial cargo from 
     Alaska, Hawaii, or any possession of the United States to the 
     United States mainland, Alaska, Hawaii, or such possession 
     for ultimate use or consumption in the United States 
     mainland, Alaska, Hawaii, or such a possession;
       (5) in connection with transporting commercial cargo within 
     Alaska, Hawaii, or a possession of the United States; or
       (6) in connection with transporting passengers on vessels, 
     documented under the laws of the United States, operating 
     solely within the States of Alaska or Hawaii and adjacent 
     international waters.
       (f) Regulations of the Secretary of the Treasury.--The 
     Secretary of the Treasury shall be responsible for 
     prescribing regulations--
       (1) providing for the manner and method of payment and 
     collection of the fees imposed under this section;
       (2) providing for the posting of bonds to secure payment of 
     such fees; and
       (3) exempting any transaction or class of transactions from 
     such fees where the collection of such fees is not 
     administratively practical.
       (g) Regulations of the Secretary of the Army.--The 
     Secretary of the Army shall be responsible for prescribing 
     regulations--
       (1) providing for the remittance or mitigation of penalties 
     and the settlement or compromise of claims with respect to 
     fees imposed under this section;
       (2) providing for a period review of amounts collected 
     under this section to ensure that the fees charged fairly 
     approximate the cost of services provided to commercial 
     vessels for port use;
       (3) providing for the prospective adjustment of the rate of 
     the fees imposed under this section for any one or more of 
     the bulker, tanker, or cruise vessel categories by up to 
     $0.05, or, in the case of the general cargo vessel category, 
     by up to $0.25, as necessary to fairly approximate the cost 
     of services provided to commercial vessels in each vessel 
     category; and
       (4) such other regulations as may be necessary to carry out 
     the purposes of this part.

     SEC. 552. HARBOR SERVICES FUND.

       (a) Establishment.--There is hereby established in the 
     Treasury of the United States a Harbor Services Fund 
     (hereinafter in this section referred to as ``the Fund'') 
     into which shall be deposited as offsetting receipts all fees 
     collected under section 551 and to which shall be transferred 
     balances in the Harbor Maintenance Trust Fund established 
     under section 9505 of the Internal Revenue Code of 1986 (26 
     U.S.C. 9505).
       (b) Purposes.--
       (1) In general.-- Subject to subsection (c), amounts in the 
     Fund may be made available for each fiscal year to pay--
       (A) 100 percent of the eligible harbor development costs;
       (B) 100 percent of the eligible operations and maintenance 
     costs assigned to commercial navigation of all ports within 
     the United States; and
       (C) 100 percent of the eligible costs of maintaining the 
     Federal dredging capability for the Nation.
       (2) Additional purposes.--In addition to the purposes set 
     forth in paragraph (1) of this subsection, an amount of up to 
     $100,000,000 per fiscal year is authorized to be appropriated 
     from the Fund for dredging of berthing areas and construction 
     and maintenance of bulkheads associated with a federally 
     authorized project and for all or a portion of the non-
     Federal share of project costs of an eligible non-Federal 
     interest participating in the construction, operating, or 
     maintenance of a federally authorized project.
       (c) Expenditures From Harbor Services Fund.--
       (1) In general.-- Except as provided in paragraph (2), 
     amounts in the Fund shall be available, as provided in 
     advance in appropriation Acts, to carry out subsection (b) 
     and for the payment of expenses incurred in administering the 
     fee imposed by section 551. Such amounts are authorized to be 
     appropriated to remain available until expended.
       (2) St. lawrence seaway development corporation.--From the 
     balances transferred to the Harbor Services Fund pursuant to 
     subsection (a), such sums as may be necessary are hereby 
     reserved to implement legislation to be enacted to establish 
     the Saint Lawrence Seaway Development Corporation as a 
     Performance Based Organization.

     SEC. 553. CONFORMING AMENDMENTS.

       (a) Water Resources Development Act of 1986.--Upon 
     enactment of an appropriation Act for fiscal year 2000 
     authorizing the collection of fees pursuant to section 
     551(d), section 210 of the Water Resources Development Act of 
     1986 (33 U.S.C. 2238) shall no longer have effect.
       (b) Internal Revenue Code of 1986.--Upon enactment of an 
     appropriation Act for fiscal year 2000 authorizing the 
     collection of fees pursuant to section 551(d), sections 4461 
     and 4462 of the Internal Revenue Code of 1986 (26 U.S.C. 
     4461, 4462) shall no longer have effect.

     SEC. 554. DEFINITIONS.

       In this part:
       (1) The term ``bulker'' means a waterborne vessel designed 
     to transport dry bulk cargo, including self-propelled vessels 
     and nonself-propelled vessels.
       (2) The term ``commercial cargo'' means any cargo 
     transported on a commercial vessel, except that the term does 
     not include bunker fuel, ship's stores, sea stores, or 
     equipment necessary to the operation of a vessel, or fish or 
     other aquatic animal life caught and not previously landed on 
     shore, and for purposes of paragraphs (3), (4), and (5) of 
     section 551(d), such term shall not include crude oil with 
     respect to Alaska.
       (3) The term ``commercial vessel'' means any vessel in 
     excess of 3,000 gross registered tons used in transporting 
     cargo or passengers by water for compensation or hire, or in 
     transporting cargo by water in the business of the owner, 
     lessee, or operator of the vessel, exceppt that such term 
     shall not include any ferry engaged primarily in the ferrying 
     of passengers (including their vehicles) between points 
     within the United States, or between the United States and 
     contiguous countries.
       (4) The term ``eligible harbor development costs'' means 
     the Federal share of the costs associated with construction 
     of the general navigation features at a harbor or inland 
     harbor within the United States.
       (5) The term ``eligible non-Federal interest'' means a non-
     Federal interest for a federally authorized navigation 
     project at a port where the average amount of the harbor 
     service fee collected over 3 consecutive fiscal years exceeds 
     the average Federal expenditures from the Harbor Services 
     Fund at that port during the same consecutive fiscal years by 
     $10,000,000.
       (6) The term ``ferry'' means any vessel which arrives in 
     United States on a regular schedule during its operating 
     season at intervals of at least once each business day.
       (7) The term ``general cargo vessel'' means a waterborne 
     vessel designed to transport general cargo.
       (12) The term ``cruise vessel'' means a waterborne vessel 
     designed to transport fare paying, berthed passengers.
       (8) The term ``port'' means any channel or harbor (or 
     component thereof) in the United States which is not an 
     inland waterway and which is open to public navigation, 
     except that such term shall not include any channel or harbor 
     with respect to which no Federal funds have been used since 
     1989 for construction, operation, or maintenance, or which 
     was deauthorized by Federal law before 1997 or to any channel 
     or harbor where commercial vessels cannot loan or unload 
     cargo or passengers.
       (9) The term ``port use'' means the use of a channel by a 
     commercial vessel for entering and exiting a port for 
     commercial purposes.
       (10) The term ``tanker'' means a waterborne vessel designed 
     to transport liquid bulk cargo, including self-propelled 
     vessels and nonself-propelled vessels.
       (11) The term ``United States mainland'' means the 
     contiguous 48 States.
       (12) The term `vessel capacity unit'' means the unit 
     measure of vessel capacity represented by net tonnage, or, in 
     the case of containerships or cruise vessels, gross tonnage.

     SEC. 555. EFFECTIVE DATE.

       The fees imposed under section 551(a) shall take effect on 
     October 1, 1999.

                       Subtitle F--Human Services

       PART I--TEMPORARY ASSISTANCE FOR NEEDY FAMILIES AMENDMENTS

     SEC. 611. FY 2000 STATE TANF SUPPLEMENTAL GRANT LIMITED TO 
                   AMOUNT OF GRANT FOR FY 1999.

       (a) In General.--Section 403(a)(3) of the Social Security 
     Act (42 U.S.C. 603(a)(3)) is amended--
       (1) in subparagraph (A)--
       (A) in clause (i), by striking ``and'' at the end;
       (B) in clause (ii)--
       (i) by striking ``each of fiscal years 1999, 2000, 2001'' 
     and inserting ``fiscal year 1999''; and
       (ii) by striking the period and inserting a semicolon; and
       (C) by adding at the end the following:
       ``(iii) for fiscal year 2000, a grant in an amount equal to 
     the amount of the grant to the State under clause (ii) for 
     fiscal year 1999; and
       ``(iv) for fiscal year 2001, a grant in the amount that 
     would be determined pursuant to clause (ii) if the grant for 
     fiscal year 2000 had been determined pursuant to former 
     clause (ii) (as in effect during fiscal year 1999).''; and
       (2) in subparagraph (B), by striking ``subparagraph 
     (A)(ii)'' and inserting ``clause (ii), (iii), or (iv) of 
     subparagraph (A)''.

   PART II--TEMPORARY ASSISTANCE FOR NEEDY FAMILIES CONTINGENCY FUND

     SEC. 621. DEPOSITS INTO FUND.

       Section 403(b)(2) of the Social Security Act (42 U.S.C. 
     603(b)(2)) is amended by striking ``in a total amount not to 
     exceed $2,000,000,000''.

     SEC. 622. STATE ELIGIBILITY FOR GRANTS; ELIMINATION OF EXTRA 
                   MONTH OF ELIGIBILITY.

       Section 403(b)94) of the Social Security Act (42 U.S.C. 
     603(b)(4) is amended by striking ``in the 2-month period that 
     begins with any month for which'' and inserting ``in which''.

     SEC. 623. ANNUAL RECONCILIATION.

       (a) Revision of Remittance Adjustment Formula Factor Based 
     on Number of Months State Was a Needy State.--Section 
     403(b)(6)(A)(ii)(III) of the Social Security

[[Page H10214]]

     Act (42 U.S.C. 603(b)(6)(A)(ii)(III)) is amended by striking 
     ``\1/12\ times the number of months'' and inserting ``if the 
     State was a needy State for less than 6 months in the fiscal 
     year, \1/6\ times the number of months''.
       (b) Repeal of Adjustment of State Remittances for Fiscal 
     Years 2000 and 2001 Enacted in Adoption and Safe Families Act 
     of 1997.--Section 403(b)(6)(C)(ii) of such Act (42 U.S.C. 
     603(b)(6)(C)(ii)) is amended--
       (1) in subclause (I), by adding ``and'' at the end;
       (2) in subclause (II), by striking the semicolon and 
     inserting a period; and
       (3) by striking subclauses (III) and (IV).
       (c) State With Substantial Unobligated Grants Required to 
     Return All Contingency Fund Grants.--Section 403(b)(6) of 
     such Act (42 U.S.C. 603(b)(6)) is amended--
       (1) in subparagraph (A), in the matter preceding clause 
     (i), by inserting ``the amount specified in subparagraph (D), 
     if applicable, and otherwise'' after ``is not a needy 
     State''; and
       (2) by adding at the end the following:
       ``(D) Full repayment required if state has substantial 
     funds unobligated.--A State shall remit to the Secretary, as 
     provided in subparagraph (A), the entire payment made under 
     this subsection for a fiscal year if the State fails to 
     obligate, on or before the last day of the fiscal year--
       ``(i) 90 percent of all grants under subsection (a)(1) to 
     which the State is entitled for the fiscal year; and
       ``(ii) all grants received under subsection (a) for prior 
     fiscal years.''.

     SEC. 624. EFFECTIVE DATE.

       The amendments made by this part shall be effective with 
     respect to fiscal year 2000 and succeeding fiscal years.

                        Subtitle G--Health Care

                        PART I--MEDICARE SAVERS

     SEC. 711. REFERENCES IN PART.

       Except as otherwise provided in this part, references to a 
     section or other provision of law are references to the 
     Social Security Act, and amendments made by this part to a 
     section or other provision of law are amendments to such 
     section or other provision of that Act.

     SEC. 712. REDUCTION OF CLINICAL DIAGNOSTIC LABORATORY TEST 
                   CAP FROM 74 PERCENT TO 72 PERCENT.

       Section 1833(h)(4)(B) (42 U.S.C. 13951(h)(4)(B)) is 
     amended--
       (1) by striking ``and'' at the end of clause (vii);
       (2) in clause (viii)--
       (A) by inserting ``and before January 1, 2000,'' after 
     ``December 31, 1997,''; and
       (B) by striking the period and inserting ``, and''; and
       (3) by adding at the end the following new clause:
       ``(ix) after December 31, 1999, is equal to 72 percent of 
     such median.''.

     SEC. 713. ESTABLISHMENT OF NATIONAL LIMIT ON PAYMENTS FOR 
                   PROSTHETICS AND ORTHOTICS.

       Section 1834(h) (42 U.S.C. 1395m(h)) is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (B)(ii), by inserting ``or (3), as 
     applicable,'' after ``paragraph (2)''; and
       (B) in subparagraph (E)--
       (i) in the heading, by inserting before the period ``for 
     items furnished before 2000''; and
       (ii) by striking ``Payment for'' and inserting ``For items 
     furnished before 2000, payment for'';
       (2) in paragraph (2)--
       (A) in the heading, by inserting before the period ``for 
     items furnished before 2000'';
       (B) in the matter preceding subparagraph (A), by striking 
     ``For purposes of'' and inserting ``For items furnished 
     before 2000, for purposes of'';
       (C) in subparagraph (B)(ii), by striking ``for each 
     subsequent year'' and inserting ``for each of 1993 through 
     1999'';
       (D) in subparagraph (C)--
       (i) in the heading, by inserting before the period ``for 
     items furnished before 2000'';
       (ii) in the matter preceding clause (i), by striking ``For 
     purposes of'' and inserting ``For items furnished before 
     2000, for purposes of''; and
       (iii) in clause (iv), by striking ``1994 or a subsequent 
     year'' and inserting ``each of 1994 through 1999''; and
       (E) in subparagraph (D)(ii), by striking ``in a subsequent 
     year'' and inserting ``in each of 1993 through 1999'';
       (3) by redesignating paragraphs (3) and (4) as paragraphs 
     (4) and (5), respectively;
       (4) by inserting after paragraph (2) the following new 
     paragraph:
       ``(3) Purchase price recognized for 2000 and subsequent 
     years.--For 2000 and each subsequent year, for purposes of 
     paragraph (1), the amount recognized under this paragraph as 
     the purchase price for prosthetic devices, orthotics, and 
     prosthetics is the national limited payment amount for 
     purchase of the item for that year determined in accordance 
     with subparagraphs (B) and (C) of section 1834(a)(2).''; and
       (5) in paragraph (5)(A), as so redesignated--
       (A) by adding ``and'' at the end of clause (iv);
       (B) by amending clause (v) to read as follows:
       ``(v) for 1998 and 1999, 1 percent.''; and
       (C) by striking clause (vi).

     SEC. 714. REDUCTION IN PAYMENT FOR BAD DEBTS.

       (a) Reduction in Payment for Hospital Bad Debts.--Section 
     1861(v)(1)(T)(iii) (42 U.S.C. 1395x(v)(1)(T)(iii)) is amended 
     by striking ``45 percent'' and inserting ``55 percent''.
       (b) Extension of Bad Debt Payment Limitation to Other 
     Relevant Facilities and Providers of Services.--Section 
     1861(v)(1)(T) (42 U.S.C. 1395x(v)(1)(T)), as amended by 
     subsection (a), is further amended--
       (1) by redesignating clauses (i) through (iii) as 
     subclauses (I) through (III), respectively;
       (2) by inserting ``(i)'' after ``(T)''; and
       (3) by adding at the end the following new clause:
       ``(ii) In determining such reasonable or allowable costs 
     for all facilities or other providers of services entitled to 
     claim bad debt reimbursement, the amount of bad debts treated 
     as allowable costs which are attributable to the deductibles 
     and coinsurance amounts under this title shall be reduced for 
     cost reporting periods beginning on or after October 1, 1999, 
     by 55 percent of such amount otherwise allowable.''.
       (c) Repeal of Moratorium on Bad Debt Policy.--Section 
     4008(c) of the Omnibus Budget Reconciliation Act of 1987 (42 
     U.S.C. 1395f note) is repealed.

     SEC. 715. PPS HOSPITAL PAYMENT UPDATE FOR FISCAL YEAR 2000.

       Section 1886(b)(3)(B)(i)(XV) (42 U.S.C. 
     1395ww(b)(3)(B)(i)(XV)) is amended by striking ``the market 
     basket percentage increase minus 1.8 percentage points for 
     hospitals in all areas'' and inserting ``0 percent''.

     SEC. 716. NO MARKUP FOR COVERED DRUGS; ELIMINATION OF 
                   OVERPAYMENTS FOR EPOGEN.

       (a) No Markup for Covered Drugs.--Section 1842(o)(1) (42 
     U.S.C. 1395u(o)(1)) is amended by striking ``is equal to 95 
     percent of the average wholesale price.'' and inserting ``is 
     equal to--
       ``(A) for 1998 and 1999, 95 percent of the average 
     wholesale price, and
       ``(B) for 2000 and each subsequent year, 83 percent of the 
     average wholesale price.''.
       (b) Elimination of Overpayments for Epogen.--Section 
     1881(b)(11)(B)(ii) (42 U.S.C. 1395rr(b)(11)(B)(ii)) is 
     amended--
       (1) in subclause (I)--
       (A) by striking ``provided during 1994'' and inserting 
     ``provided before 2000''; and
       (B) by striking ``and'' at the end;
       (2) by redesignating subclause (II) as subclause (III); and
       (3) by inserting after subclause (I) the following new 
     subclause:
       ``(II) for erythropoietin provided during 2000, in an 
     amount equal to $9 per thousand units (rounded to the nearest 
     100 units), and''.

     SEC. 717. PARTIAL HOSPITALIZATION SERVICES.

       (a) Services Not to Be Furnished in Residential Settings.--
     Section 1861(ff)(3)(A) (42 U.S.C. 1395x(ff)(3)(A)) is amended 
     by inserting ``other than in an individual's home or in an 
     inpatient or residential setting'' before the period.
       (b) Additional Requirements for Community Mental Health 
     Centers.--Section 1861(ff)(3)(B) (42 U.S.C. 1395x(ff)(3)(B)) 
     is amended by striking ``entity--'' and all that follows and 
     inserting the following: ``entity that--
       ``(i) provides the services specified in section 1913(c)(1) 
     of the Public Health Service Act;
       ``(ii) meets applicable certification or licensing 
     requirements for community mental health centers in the State 
     in which it is located; and
       ``(iii) meets such additional standards or requirements as 
     the Secretary may specify in the interest of the health and 
     safety of individuals furnished services, or for the 
     effective or efficient furnishing of services.''.
       (c) Effective Date.--The amendments made by subsections (a) 
     and (b) apply to services furnished after the date that is 60 
     days after the date of enactment of this part.

     SEC. 718. INFORMATION REQUIREMENTS.

       (a) Information From Group Health Plans.--Section 1862(b) 
     (42 U.S.C. 1395y(b)) is amended by adding at the end the 
     following new paragraph:
       ``(7) Information from group health plans.--
       ``(A) Provision of information by group health plans.--The 
     administrator of a group health plan subject to the 
     requirements of paragraph (1) shall provide to the Secretary 
     any or all of the information elements listed in subparagraph 
     (C), and in such manner and at such times (but not more 
     frequently than four times per year), as the Secretary may 
     specify, with respect to each individual covered under the 
     plan and entitled to benefits under this title.
       ``(B) Provision of information by deployers wind employee 
     organizations.--An employer (or employee organization) that 
     maintains or participates in a group health plan subject to 
     the requirements of paragraph (1) shall provide to the 
     administrator of the plan any or all of the information 
     elements listed in subparagraph (C), and in such manner and 
     at such times (but not more frequently than four times per 
     year), as the Secretary may specify, with respect to each 
     individual covered under the plan and entitled to benefits 
     under this title.
       ``(C) Information elements to be provided.--The information 
     elements to be provided under subparagraph (A) or (B) are the 
     following:
       ``(i) Elements concerning the individual.--

       ``(I) The individual's name.
       ``(II) The individual's date of birth.
       ``(III) The individual's sex.
       ``(IV) The individual's social security number.

[[Page H10215]]

       ``(V) The number assigned by the Secretary to the 
     individual for claims under this title.
       ``(VI) The family relationship of the individual to the 
     person who has or had current or former employment status 
     with the employer.

       ``(ii) Elements concerning the family member with current 
     or former employment status.--

       ``(I) The name of the person in the individual's family who 
     has current or former employment status with the employer.

       ``(II) That person's social security number.
       ``(III) The number or other identifier assigned by the plan 
     to that person.
       ``(IV) The periods of coverage for that person under the 
     plan.
       ``(V) The employment status of that person (current or 
     former) during those periods of coverage.
       ``(VI) The classes of that person's family members covered 
     under the plan.

       ``(iii) Plan elements.--

       ``(I) The nature of the items and services covered under 
     the plan.
       ``(II) The name and address to which claims under the plan 
     are to be sent.
       ``(III) The name, address, and tax identification number of 
     the plan sponsor.

       ``(iv) Elements concerning the employer.--

       ``(I) The employer's name.
       ``(II) The employer's address.
       ``(III) The employer identification number of the employer.
       ``(IV) The employer tax identification number of the 
     employer (if different from the number under subclause 
     (III)).

       ``(D) Use of identifiers.--The administrator of a group 
     health plan shall utilize an identifier for the plan (that 
     the Secretary may furnish) in providing information under 
     subparagraph (A) and in other transactions, as may be 
     specified by the Secretary, related to the provisions of this 
     subsection.
       ``(E) Penalty for noncompliance.--Any entity that knowingly 
     and willfully fails to comply with a requirement imposed by 
     the previous subparagraphs shall be subject to a civil money 
     penalty not to exceed $1,000 for each incident of such 
     failure. The provisions of section 1128A (other than 
     subsections (a) and (b)) shall apply to a civil money penalty 
     under the previous sentence in the same manner as those 
     provisions apply to a penalty or proceeding under section 
     1128A(a).''.
       (b) Effective Date.--The amendment made by subsection (a) 
     is effective 180 days after the date of enactment of this 
     part.

     SEC. 719. CENTERS OF EXCELLENCE.

       (a) In General.--Title XVIII (42 U.S.C. 1395 et seq.) is 
     amended by inserting after section 1888 the following new 
     section:


                        ``centers of excellence

       ``Sec. 1889. (a) In General.--The Secretary shall use a 
     competitive process to contract with specific hospitals or 
     other entities for furnishing services related to surgical 
     procedures, and for furnished services (unrelated to surgical 
     procedures) to hospital inpatients that the Secretary 
     determines to be appropriate. Such services may include any 
     services covered under this title that the Secretary 
     determines to be appropriate, including post-hospital 
     services.
       ``(b) Quality Standards.--Only entities that meet quality 
     standards established by the Secretary shall be eligible to 
     contract under this section. Entities shall implement a 
     quality improvement plan approved by the Secretary.
       ``(c) Payment.--Payment under this section shall be made on 
     the basis of negotiated all-inclusive rates. The amount of 
     payment made by the Secretary to an entity under this title 
     for services covered under a contract shall be less than the 
     aggregate amount of the payments that the Secretary would 
     have otherwise made for the services.
       ``(d) Contract Period.--A contract period shall be 3 years 
     (subject to renewal), as long as the entity continues to meet 
     quality and other contractual standards.
       ``(e) Incentives for Use of Centers.--The Secretary may 
     permit entities under a contract under this section to 
     furnish additional services or waive beneficiary cost-
     sharing, subject to the approval of the Secretary.
       ``(f) Limit on Number of Centers.--The Secretary shall 
     limit the number of centers in a geographic area to the 
     number needed to meet projected demand for contracted 
     services.''.
       (b) Effective Dates.--
       (1) The amendment made by subsection (a) applies to 
     services furnished on or after October 1, 2000.
       (2) Not later than October 1, 2000, the Secretary shall 
     enter into contracts under the amendment made by subsection 
     (a) for coronary artery bypass surgery and other heart 
     procedures, knee replacement surgery, and hip replacement 
     surgery, in geographic areas nationwide such that at least 20 
     percent of the projected number of those procedures can be 
     provided.

     SEC. 719A. EFFECT OF ENACTMENT.

       Not more than $1,100,000,000 of the savings for fiscal year 
     2000 resulting from the enactment of this part may be treated 
     as negative discretionary budget authority and outlays for 
     such fiscal year.

            PART II--FOOD AND DRUG ADMINISTRATION USER FEES

     SEC. 720. REFERENCES IN PART.

       Except as otherwise provided in this part, references to a 
     section or other provision of law are references to the 
     Federal Food, Drug, and Cosmetic Act, and amendments made by 
     this part to a section or other provision of law are 
     amendments to such section or other provision of that Act.

                     Subpart A--Medical Device Fees

     SEC. 721. SHORT TITLE.

       This subpart may be cited as the ``Medical Device Fee Act 
     of 1999''.

     SEC. 722. FEES RELATING TO DEVICES.

       Chapter VII (21 U.S.C. 371 et seq.) is amended--
       (1) by redesignating sections 741, 742, 746, 751, 752, and 
     756, respectively; and
       (2) by adding at the end of subchapter C the following new 
     part:

                   ``PART 3--FEES RELATING TO DEVICES

     ``SEC. 741. DEFINITIONS.

       ``For the purposes of this part, the terms listed in this 
     section have the following meanings:
       ``(1) Device applications.--The term `device application' 
     means--
       ``(A) an application for approval of a device submitted 
     under section 515(c) or section 351 of the Public Health 
     Service Act;
       ``(B) a supplement to an application described in 
     subparagraph (A); or
       ``(C) a product development protocol described in section 
     515(f).
       ``(2) Supplement.--The term `supplement' means a request to 
     the Secretary to approve a change in a device for which a 
     notice of completion has become effective under section 
     515(f) or for which an application has been approved under 
     section 515(d) or under section 351 of the Public Health 
     Service Act.
       ``(3) Establishment.--The term `establishment' means an 
     establishment engaged in the manufacture, preparation, 
     propagation, compounding, or processing of a device or 
     devices, with respect to which the person owning or operating 
     such establishment is subject to the annual registration 
     requirement under section 510. For purposes of the fees under 
     this part, a place of business that is owned or operated by a 
     single person, and which is at 1 general physical location 
     consisting of 1 or more buildings all of which are within 5 
     miles of each other, shall be considered a single 
     establishment.
       ``(4) Periodic pma report.--The term `periodic PMA report' 
     means any of such periodic reports as the Secretary may be 
     regulation require of the holder of an approved premarket 
     application or product development protocol pursuant to 
     section 515.
       ``(5) Process for the review of device applications.--The 
     term `process for the review of device applications' means 
     the following activities of the Secretary with respect to the 
     review of device applications and related activities:
       ``(A) The activities necessary for the review of device 
     applications and related activities.
       ``(B) The issuance of action letters which allow marketing 
     of devices or which set forth in detail the specific 
     deficiencies in such applications and, where appropriate, the 
     actions necessary to place such applications in approvable 
     form.
       ``(C) The inspection of device establishments and other 
     facilities undertaken as part of the Secretary's review of 
     pending device applications.
       ``(D) Any activity necessary for the review of 
     applications--
       ``(i) for licensure of devices subject to section 351 of 
     the Public Health Service Act; and
       ``(ii) for the release of lots of such devices.
       ``(E) Review of device applications for an investigational 
     new drug exemption under section 505(i) or for an 
     investigational device exemption under section 520(g) and 
     activities conducted in anticipation of the submission of an 
     application under section 505(i) or 520(g).
       ``(F) The development of guidance, policy documents, or 
     regulations to improve the process for the review of device 
     applications.
       ``(G) The development of test methods or standards in 
     connection with the review of device applications and related 
     activities.
       ``(H) The provision of technical assistance to device 
     manufacturers in connection with the submission of a device 
     application.
       ``(I) Any activity undertaken under section 513 or 515(i) 
     in connection with the initial classification or 
     reclassification of a device or under section 515(b) in 
     connection with any requirement for approval of a device.
       ``(J) Monitoring of research on devices.
       ``(K) Any activity undertaken under section 519(a) or 
     519(b).
       ``(L) Evaluation of postmarket studies required as a 
     condition of an approval of a device application under 
     section 515(d) or section 351 of the Public Health Service 
     Act.
       ``(M) Evaluation of postmarket surveillance required under 
     section 522.
       ``(6) Costs of resources allocated for the process for the 
     review of device applications.--The term `costs of resources 
     allocated for the process for the review of device 
     applications' means the expenses incurred in connection with 
     the process for the review of device applications and related 
     activities for--
       ``(A) officers and employees of the Food and Drug 
     Administration, employees under contract with the Food and 
     Drug Administration, advisory committees, and costs related 
     to such officers, employees, and committees;
       ``(B) management of information, and the acquisition, 
     maintenance, and repair of computer resources;

[[Page H10216]]

       ``(C) leasing, maintenance, renovation, and repair of 
     facilities and acquisition, maintenance, and repair of 
     fixtures, furniture, scientific equipment, and other 
     necessary materials, services, and supplies; and
       ``(D) collecting fees under section 742 and accounting for 
     resources allocated for the review of device applications, 
     including activities related to the review of applications 
     for fee exceptions, waivers, and reductions.
       ``(7) Adjustment factor.--The term `adjustment factor' has 
     the meaning given that term in section 735(8), except that 
     references therein--
       ``(A) to `1997' shall be read to mean `1999'; and
       ``(B) to `the 105th Congress' shall be read to mean `the 
     106th Congress'.

     ``SEC. 742. AUTHORITY TO ASSESS AND USE DEVICE FEES.

       ``(a) Types of Fees.--Beginning in fiscal year 2000, the 
     Secretary shall assess and collect fees in accordance with 
     this section as follows:
       ``(1) Device application fee.--
       ``(A) In general.--Subject to the remaining provisions of 
     this section, except as provided in subparagraph (B), each 
     person that submits a device application on or after October 
     1, 1999, shall be subject to the fee prescribed by subsection 
     (b). Before April 30, 2000, the Secretary shall establish 
     guidelines for the combination of multiple device 
     applications in those situations where it is appropriate to 
     combine the applications and assess a single fee. A single 
     fee shall be assessed upon an application which is such a 
     combination.
       ``(B) Exceptions.--
       ``(i) Further manufacturing use.--No fee shall be required 
     for the submission of a device application under section 351 
     of the Public Health Service Act for a product licensed for 
     further manufacturing use only.
       ``(ii) Previously filed application or supplement.--If a 
     device application was--

       ``(I) submitted by a person that paid the fee for such 
     application;
       ``(II) accepted for filing; and
       ``(III) not approved or was withdrawn,

     the submission of a device application for the identical 
     device by the same person (or the person's licensee, 
     assignee, or successor) shall not be subject to a fee under 
     subparagraph (A).
       ``(iii) Special labeling improvements.--No fee shall be 
     required for the submission of a device application for a 
     change in approved labeling that enhances the safety of the 
     device or the safety in the use of the device.
       ``(2) Establishment registration fee.--Each person that is 
     subject to the annual registration requirement under section 
     510 with respect to 1 or more establishments shall be 
     assessed an annual fee established in subsection (b) for each 
     such establishment.
       ``(3) Periodic pma report fee.--Each person that is 
     required to make a periodic PMA report on or after October 1, 
     1999, shall be assessed and annual fee established in 
     subsection (b) for each device with respect to which such 
     report is required.
       ``(b) Fee Amounts.--Except as otherwise provided in this 
     section, the fees required under subsection (a) shall be 
     determined and assessed as follows:
       ``(1) For fiscal year 2000.--
       ``(A) Application and supplement fees.--The application fee 
     under subsection (a)(1) shall be--
       ``(i) $40,000 for a device application described in 
     subparagraph (A) or (C) of section 741(1); and
       ``(ii) $4,590 for a device application described in 
     subparagraph (B) of section 741(1).
       ``(B) Establishment registration fee.--The annual 
     establishment registration fee under subsection (a)(2) shall 
     be $200.
       ``(C) Periodic pma report fee.--The periodic PMA report fee 
     under subsection (a)(3) shall be $1,000.
       ``(2) Inflation adjustment for subsequent years.--The fees 
     established in subsection (b) shall be adjusted by the 
     Secretary by notice, published in the Federal Register, for 
     fiscal year 2001 and each succeeding fiscal year to reflect 
     an inflation adjustment determined as described in section 
     736(c)(1), except that the reference therein to `fiscal year 
     1997' shall be considered to mean `fiscal year 2000'.
       ``(c) Special Circumstances for Fee Waiver or Reduction; 
     Small Business Exception.--
       ``(1) Waivers.--The Secretary shall grant a waiver from or 
     a reduction of a fee for a person under this subsection if 
     the person has submitted an application under section 515(c) 
     or 515(f), or under section 351 of the Public Heath Service 
     Act and if the Secretary finds--
       ``(A) that such application is a device application for a 
     device which has a humanitarian device exemption under 
     section 520(m); or
       ``(B)(i) such waiver or reduction is necessary to protect 
     the public health; or
       ``(ii) the assessment of the fee would present a 
     significant barrier to innovation because of limited 
     resources available to such person or other circumstances.
       ``(2) Small business exception.--
       ``(A) Applications and submissions.--The Secretary may 
     waive the fee for any person employing fewer than 20 
     employees, including employees of affiliates (as defined in 
     section 735(9)), that does not have, and whose affiliates do 
     not have, an approved application submitted under section 
     515(c) or under section 351 of the Public Health Service Act 
     or a cleared premarket notification under section 510(k).
       ``(B) Certification.--The Secretary shall require any 
     person who seeks a waiver in accordance with subparagraph (A) 
     to certify such person's qualification under such 
     subparagraph. The Secretary shall periodically publish in the 
     Federal Register a list of persons making such certification.
       ``(d) Payment Deadline; Effect of Failure To Pay Fees.--
       ``(1) Device application fee.--A device application fee 
     required under this section shall be due at the time the 
     application is submitted to the Secretary. A device 
     application or supplement submitted by a person subject to 
     fees under this section shall be considered incomplete and 
     shall not be accepted for review by the Secretary until all 
     such fees owed by such person have been paid.
       ``(2) Establishment registration fee.--An establishment 
     registration fee required under this section shall be due not 
     later than December 31 of each year. A device establishment 
     for which a fee due under this section has not been paid by 
     such date shall not be considered a registered establishment 
     for purposes of section 510.
       ``(3) Periodic pma report fee.--A periodic PMA report fee 
     shall be due not later than the due date of the periodic PMA 
     report, as set forth in the notice approving the PMA 
     application (or, in the case of a PMA for which reports are 
     required to be submitted more often than annually, on the due 
     date of the first such report in such fiscal year). A 
     periodic PMA report with respect to which such annual fee has 
     not been paid by such due date shall not be considered to 
     have been filed as required in the notice of approval of the 
     PMA.
       ``(4) Additional sanctions.--In addition to the sanctions 
     described above, the Secretary may--
       ``(A) discontinue review of any device application 
     submitted by a person if such person has not paid all fees 
     owed under this section; and
       ``(B) assess a penalty of 25 percent of the fee due, in the 
     case of any fee overdue by more than 3 months.
       ``(e) Refund of Fees.--
       ``(1) If device application refused.--The Secretary shall 
     refund 75 percent of the fee paid under subsection (d)(1) for 
     any device application which the Secretary refuses to accept 
     for review.
       ``(2) If device application withdrawn.--If a device 
     application is withdrawn after the Secretary has accepted it 
     for review, the Secretary may refund all or a portion of the 
     fee if no substantial work was performed on the application 
     after acceptance for review. The determination whether to 
     refund all or any portion of the fee shall be in the 
     Secretary's sole discretion and shall not be reviewable.
       ``(f) General Conditions Applicable to Fee Assessment 
     Authority.--
       ``(1) Limitation.--Fees may not be assessed under this 
     section for a fiscal year beginning after fiscal year 2000 
     unless appropriations for such fiscal year for salaries and 
     expenses of the Food and Drug Administration (excluding 
     amounts appropriated for fees under this subchapter), and for 
     that portion of such appropriation designated for the Center 
     for Devices and Radiological Health, equal or exceed such 
     appropriations for fiscal year 1999 multiplied by the 
     adjustment factor.
       ``(2) Delayed assessment.--If the Secretary does not assess 
     fees under this section during any portion of a fiscal year 
     because of paragraph (1) and if at a later date in such 
     fiscal year the Secretary may assess such fees, the Secretary 
     may assess and collect such fees, without modification in the 
     rate, at any time in such fiscal year notwithstanding the 
     provisions of subsection (d) relating to the date fees are to 
     be paid.
       ``(g) Crediting and Availability of Fees.--
       ``(1) In general.--Fees authorized under this section shall 
     be available for obligation only to the extent and in the 
     amounts provided in advance in appropriations Acts. Such fees 
     are authorized to be appropriated to remain available until 
     expended solely for the review of device applications. Such 
     fees shall be credited to the appropriation account for 
     salaries and expenses of the Food and Drug Administration. 
     Any amount of fees collected for a fiscal year under this 
     subsection that exceeds the amount of fees made available in 
     appropriations Acts for such fiscal year may be credited to 
     the appropriation account for salaries and expenses of the 
     Food and Drug Administration. Excess fees may be retained but 
     are not available for obligation until appropriated. Such 
     sums as may be necessary may be transferred from the Food and 
     Drug Administration salaries and expenses appropriation 
     account without fiscal year limitation to such appropriation 
     account for salaries and expenses with such fiscal year 
     limitation.
       ``(2) Limitation.--The fees authorized by this section 
     shall only be available to defray increases in the costs of 
     the resources allocated for the process for the review of 
     device applications (including increases in such costs for an 
     additional number of full-time equivalent employees in the 
     Department of Health and Human Services to be engaged in such 
     process) over such costs for fiscal year 1999 multiplied by 
     the adjustment factor.
       ``(h) Authorization of Appropriations.--
       ``(1) Device application fees.--There are authorized to be 
     appropriated for device application fees under this section--
       ``(A) $3,645,000 for fiscal year 2000;
       ``(B) $3,745,000 for fiscal year 2001;

[[Page H10217]]

       ``(C) $3,845,000 for fiscal year 2002;
       ``(D) $3,945,000 for fiscal year 2003; and
       ``(E) $4,000,000 for fiscal year 2004.
       ``(2) Establishment registration fees.--There are 
     authorized to be appropriated for establishment registration 
     fees under this section--
       ``(A) $2,880,000 for fiscal year 2000;
       ``(B) $2,955,000 for fiscal year 2001;
       ``(C) $3,030,000 for fiscal year 2002;
       ``(D) $3,100,000 for fiscal year 2003; and
       ``(E) $3,200,000 for fiscal year 2004.
       ``(3) Periodic pma report fees.--There are authorized to be 
     appropriated for periodic PMA report fees under this 
     section--
       ``(A) $475,000 for fiscal year 2000;
       ``(B) $500,000 for fiscal year 2001;
       ``(C) $525,000 for fiscal year 2002;
       ``(D) $550,000 for fiscal year 2003; and
       ``(E) $570,000 for fiscal year 2004.
       ``(i) Collection of Unpaid Fees.--In any case where the 
     Secretary does not receive payment of a fee assessed under 
     this section within 30 days after it is due, such fee shall 
     be treated as a claim of the United States Government subject 
     to subchapter II of chapter 37 of title 31, United States 
     Code.
       ``(j) Annual Report.--Beginning with fiscal year 2000, not 
     later than 120 days after the end of each fiscal year during 
     which fees are collected under this part the Secretary shall 
     prepare and submit to the Committee on Commerce of the House 
     of Representatives and the Committee on Health, Education, 
     Labor, and Pensions of the Senate a report concerning--
       ``(1) the reduction in the backlog for the review of device 
     applications and the reduction in the amount of time to 
     complete review of such applications after submission;
       ``(2) the implementation of the authority for such fees 
     during such fiscal year; and
       ``(3) the use, by the Food and Drug Administration, of the 
     fees collected during such fiscal year.''.

     SEC. 723. SUNSET.

       The amendments made by this subpart shall not be in effect 
     after September 30, 2005.

 Subpart B--Fees To Support Costs of Review of Food and Color Additive 
                               Petitions

     SEC. 725. SHORT TITLE.

       This subpart may be cited as the ``Food and Color Additive 
     Petition Fee Act of 1999''.

     SEC. 726. FEES TO SUPPORT COSTS OF FOOD AND COLOR ADDITIVE 
                   PETITIONS.

       Chapter VII (21 U.S.C. 371 et seq.) is further amended by 
     adding at the end of subchapter C the following new part:

      ``PART 4--FEES RELATING TO FOOD AND COLOR ADDITIVE PETITIONS

     ``SEC. 750. AUTHORITY TO ASSESS AND USE FEES.

       ``(a) Definitions.--For purposes of this part, the terms 
     listed in this subsection have the following meanings:
       ``(1) Food additive petition.--The term `food additive 
     petition' means a petition submitted pursuant to section 
     409(b).
       ``(2) Color additive petition.--The term `color additive 
     petition' means a petition submitted pursuant to section 
     721(d).
       ``(3) Petition review activities.--The term `petition 
     review activities' means the following activities of the 
     Secretary with respect to the review of food additive and 
     color additive petitions:
       ``(A) The activities necessary for the review of food 
     additive and color additive petitions and related activities.
       ``(B) The issuance of regulations which allow marketing of 
     an additive or written correspondence or other documentation 
     which sets forth the deficiencies in such an additive 
     petition and, where appropriate, the actions necessary to 
     resolve such deficiencies.
       ``(C) The evaluation of the regulatory status and issuance 
     of correspondence or other written documentation concerning 
     the substances described in paragraphs (1) through (4) of 
     section 908(a).
       ``(D) The inspection of testing facilities undertaken as 
     part of the Secretary's review of a pending additive 
     petition.
       ``(E) The development of guidance and policy documents 
     regarding the review of additive petitions.
       ``(F) The development of test methods and standards in 
     connection with the review of additive petitions and related 
     activities.
       ``(G) The provision of technical assistance to prospective 
     petitioners in connection with the submission of an additive 
     petition.
       ``(H) Monitoring of studies and data pertaining to the 
     safety of substances described in paragraphs (1) through (4) 
     of section 908(a).
       ``(I) The activities necessary for registration under 
     section 908.
       ``(4) Costs of resources allocated for petition review 
     activities.--The term `costs of resources allocated for 
     petition review activities' means the expenses incurred in 
     connection with the process for the review of food and color 
     additive petitions and related activities for--
       ``(A) officers and employees of the Food and Drug 
     Administration, employees under contract with the Food and 
     Drug Administration, advisory committees, and costs related 
     to such officers, employees, and committees;
       ``(B) management of information, and the acquisition, 
     maintenance, and repair of computer resources;
       ``(C) leasing, maintenance, renovation, and repair of 
     facilities and acquisition, maintenance, and repair of 
     fixtures, furniture, scientific equipment, and other 
     necessary materials, services, and supplies; and
       ``(D) collecting fees under this section and accounting for 
     resources allocated for petition review activities, including 
     activities related to the review of applications for fee 
     exceptions, waivers, and reductions.
       ``(5) Tier i, tier ii, tier iii petitions; regulatory 
     modification.--
       ``(A) The term `tier I petition' means a petition for 
     approval of an additional use or uses of an additive for 
     which a use is already approved, except as otherwise provided 
     in subparagraph (B).
       ``(B) The term `tier II petition' means--
       ``(i) a petition for first-time approval of any use of an 
     additive (other than a petition described in subparagraph 
     (C)); or
       ``(ii) a petition for approval of an additional use or uses 
     of an already approved additive, where the proposed 
     additional use would--

       ``(I) result in a significant increase in dietary exposure 
     to such substance; or
       ``(II) raise novel safety issues.

       ``(C) The term `tier III petition' means a petition for 
     first-time approval of any use of an additive that would--
       ``(i) result in a significant dietary exposure to such 
     substance; or
       ``(ii) raise novel safety issues.
       ``(D) Regulatory modification.--The Secretary may by 
     regulation revise the definitions in subparagraphs (A) 
     through (C).
       ``(6) Adjustment factor.--The term `adjustment factor' has 
     the meaning given that term in section 735(8), except that 
     references therein--
       ``(A) to `1997' shall be read to mean `1999'; and
       ``(B) to `the 105th Congress' shall be read to mean `the 
     106th Congress'.
       ``(b) Assessment of Fees.--Subject to the remaining 
     provisions of this section, except to the extent otherwise 
     provided in subsection (d), each person that, on or after 
     October 1, 1999--
       ``(1) submits a food or color additive petition; or
       ``(2) is required to register under section 908 (other than 
     a person that manufactures, processes, or packages a 
     substance that is subject to certification under section 
     721(c)(1)), shall be subject to fees under this part.
       ``(c) Fee Amounts.--
       ``(1) For initial fiscal years.--
       ``(A) For food or color additive petition.--The fee under 
     this part for a food or color additive petition shall be--
       ``(i) For fiscal year 2000.--

       ``(I) $15,000 for a tier I petition;
       ``(II) $60,000 for a tier II petition; and
       ``(III) $260,000 for a tier III petition.

       ``(ii) For fiscal year 2001.--

       ``(I) $20,000 for a tier I petition;
       ``(II) $88,500 for a tier II petition; and
       ``(III) $275,000 for a tier III petition.

       ``(iii) For fiscal year 2002.--

       ``(I) $27,000 for a tier I petition;
       ``(II) $120,000 for a tier II petition; and
       ``(III) $290,000 for a tier III petition.

       ``(iv) For fiscal year 2003.--

       ``(I) $37,000 for a tier I petition;
       ``(II) $155,000 for a tier II petition; and
       ``(III) $345,000 for a tier III petition.

       ``(v) For fiscal year 2004.--

       ``(I) $43,000 for a tier I petition;
       ``(II) $175,000 for a tier II petition; and
       ``(III) $400,000 for a tier III petition.

       ``(B) For registration of food additive and color additive 
     producers.--The fee under this part for registration under 
     section 908 shall be--
       ``(i) $4,500 for fiscal year 2000;
       ``(ii) $7,380 for fiscal year 2001;
       ``(iii) $9,927 for fiscal year 2002;
       ``(iv) $12,390 for fiscal year 2003; and
       ``(v) $14,853 for fiscal year 2004,

     for each place of business listed in the registration of such 
     person under section 908.
       ``(2) Inflation adjustment.--The fees established in 
     paragraph (1) shall be adjusted by the Secretary by notice, 
     published in the Federal Register, for fiscal year 2001 and 
     each succeeding fiscal year to reflect an inflation 
     adjustment determined as described in section 736(c)(1), 
     except that the reference therein to `fiscal year 1997' shall 
     be considered to mean `fiscal year 2000'.
       ``(d) Waivers and Exceptions for Petition Fees: 
     Extraordinary Circumstances; Small Business.--
       ``(1) Extraordinary circumstances.--The Secretary may waive 
     or reduce food or color additive petition fees based on 
     extraordinary circumstances as determined by the Secretary, 
     including the circumstance of a food additive petition for a 
     proposed use of a substance that is intended to reduce 
     significantly human pathogens or their toxins in or on food, 
     where the petitioner demonstrates that assessment of a fee 
     would present a significant barrier to innovation because the 
     petitioner has limited resources available.
       ``(2) Small businesses.--
       ``(A) In general.--Any business that--
       ``(i) has fewer that 20 employees, including employees of 
     affiliates; and
       ``(ii) has not previously submitted a petition under 
     section 409 or under section 721,
     shall pay \1/2\ the amount of the petition fee under this 
     part for the first submission under such section 409 or 
     section 721.
       ``(B) Affiliate.--For purposes of this paragraph, the term 
     `affiliate' has the meaning given that term in section 
     735(9).
       ``(e) Payment Deadline; Effect of Failure To Pay Fees.--
       ``(1) Food and color additive petition fees.--Fees assessed 
     under this section with respect to a petition shall be due 
     and payable

[[Page H10218]]

     at the time the petition is submitted to the Secretary. A 
     food or color additive petition submitted by a person subject 
     to a fee under this section shall be considered incomplete 
     and shall not be accepted by the Secretary until all fees 
     owed by such person have been paid.
       ``(2) Food ingredient and color additive producer 
     registration fees.--Fees assessed under this section for a 
     fiscal year with respect to a person required to register 
     under section 908 shall be due and payable not later than the 
     registration deadline specified in such section for such 
     fiscal year. A person that has not paid a fee due under this 
     section by such date shall not be considered registered for 
     purposes of section 908.
       ``(f) Refund of Additive Petition Fees.--
       ``(1) If petition refused.--The Secretary shall refund 75 
     percent of the fee paid under subsection (e)(1) for any food 
     or color additive petition which the Secretary declines to 
     file.
       ``(2) If petition withdrawn.--If a food or color additive 
     petition is withdrawn after the Secretary has filed it, the 
     Secretary may refund a portion of the fee up to 75 percent if 
     no substantial work was performed on the petition after 
     filing. The determination whether to refund any portion of 
     the fee shall be in the Secretary's sole discretion, and 
     shall not be reviewable.
       ``(g) General Conditions Applicable to Fee Assessment 
     Authority.--
       ``(1) Limitation.--Fees may not be assessed under this 
     section for a fiscal year beginning after fiscal year 2000 
     unless appropriations for such fiscal year for salaries and 
     expenses of the Food and Drug Administration (excluding 
     amounts appropriated for fees under this subchapter), and for 
     that portion of such appropriation designated for the Center 
     for Food Safety and Applied Nutrition, equal or exceed such 
     appropriations for fiscal year 1999 multiplied by the 
     adjustment factor.
       ``(2) Delayed assessment.--If the Secretary does not assess 
     fees under this part during any portion of a fiscal year due 
     to paragraph (1) and if at a later date in such fiscal year 
     the Secretary may assess such fees, the Secretary may assess 
     and collect such fees, without modification in the rate, any 
     time in such fiscal year notwithstanding the provisions of 
     subsection (e) relating to the date fees are to be paid.
       ``(h) Crediting and Availability of Fees.--
       ``(1) In general.--Fees authorized under this section shall 
     be available for obligation only to the extent and in the 
     amounts provided in advance in appropriations Acts. Such fees 
     are authorized to be appropriated to remain available until 
     expended solely for the petition review activities set forth 
     in subsection (a)(4). Such fees shall be credited to the 
     appropriation account for salaries and expenses of the Food 
     and Drug Administration. Any amount of fees collected for a 
     fiscal year under this subsection that exceeds the amount of 
     fees made available in appropriations Acts for such fiscal 
     year may be credited to the appropriation account for 
     salaries and expenses of the Food and Drug Administration. 
     Excess fees may be retained but are not available for 
     obligation until appropriated. Such sums as may be necessary 
     may be transferred from the Food and Drug Administration 
     salaries and expenses appropriation account without fiscal 
     year limitation to such appropriation account for salaries 
     and expenses with such fiscal year limitation.
       ``(2) Limitation.--The fees authorized by this section 
     shall only be available to defray increases in the costs of 
     the resources allocated for petition review activities 
     (including increases in such costs for an additional number 
     of full-time equivalent employees in the Department of Health 
     and Human Services to be engaged in such process) over such 
     costs for fiscal year 1999, multiplied by the adjustment 
     factor.
       ``(i) Authorization of Appropriations.--There are 
     authorized to be appropriated for fees under this section--
       ``(1) for food and color additive petitions--
       ``(A) $1,300,000 for fiscal year 2000;
       ``(B) $1,675,000 for fiscal year 2001;
       ``(C) $2,250,000 for fiscal year 2002;
       ``(D) $2,875,000 for fiscal year 2003; and
       ``(E) $3,500,000 for fiscal year 2004 and each succeeding 
     fiscal year; and
       ``(2) for food ingredient and color additive producers--
       ``(A) $2,700,000 for fiscal year 2000;
       ``(B) $4,428,000 for fiscal year 2001;
       ``(C) $5,956,000 for fiscal year 2002;
       ``(D) $7,434,000 for fiscal year 2003; and
       ``(E) $8,912,000 for fiscal year 2004 and each succeeding 
     fiscal year,

     adjusted to reflect the percentage adjustment of fees 
     authorized under subsection (c).
       ``(j) Collection of Unpaid Fees.--In any case where the 
     Secretary does not receive payment of a fee assessed under 
     this section within 30 days after it is due, such fee shall 
     be treated as a claim of the United States Government subject 
     to subchapter II of chapter 37 of title 31, United States 
     Code.
       ``(k) Performance Goals.--Upon enactment of this section, 
     the Secretary shall send to the Congress a letter which shall 
     declare goals and timetables for review by the Food and Drug 
     Administration of food additive and color additive petitions.
       ``(l) Annual Report.--Beginning with fiscal year 2000, not 
     later than 120 days after the end of each fiscal year during 
     which fees are collected under this part, the Secretary shall 
     submit to the Committee on Commerce of the House of 
     Representatives and the Committee on Health, Education, 
     Labor, and Pensions of the Senate a report concerning--
       ``(1) the progress of the Food and Drug Administration in 
     achieving the goals declared pursuant to subsection (k);
       ``(2) the implementation of the authority for such fees 
     during such fiscal year; and
       ``(3) the use by the Food and Drug Administration of the 
     fees collected during such fiscal year.''.

     SEC. 727. REGISTRATION OF FOOD INGREDIENT AND COLOR ADDITIVE 
                   PRODUCERS.

       (a) Registration Requirement for Producers.--Chapter IX (21 
     U.S.C. 391 et seq.) is amended by adding at the end the 
     following new section:

     ``SEC. 907. REGISTRATION OF FOOD INGREDIENT AND COLOR 
                   ADDITIVE PRODUCERS.

       ``(a) Registration Requirement.--On or before October 1, 
     1999 (or, if later, the date 3 months after the date of 
     enactment of this section), and on or before October 1 of 
     each succeeding year, a person in any State engaged in the 
     manufacture, processing, or packaging of any of the following 
     substances shall register with the Secretary the person's 
     name and all places of business of such person engaged in 
     such manufacture, processing, or packaging:
       ``(1) A substance that is subject to regulation under 
     section 409 of this Act except a substance that is 
     distributed in interstate commerce on the basis of section 
     409(a)(3)(B).
       ``(2) A substance that is distributed in interstate 
     commerce on the basis that it is generally recognized as safe 
     within the meaning of section 201(s) of this Act, including 
     any substance listed as generally recognized as safe in the 
     Code of Federal Regulations, and any substance asserted to be 
     generally recognized as safe where the Food and Drug 
     Administration has been notified of such assertion as part of 
     a notification program of the Food and Drug Administration.
       ``(3) A substance that is distributed in interstate 
     commerce on the basis of section 201(s)(4).
       ``(4) A substance that is subject to regulation under 
     section 721.
       ``(b) Delineation of Single Place of Business.--For 
     purposes of this section and part 4 of subchapter C of 
     chapter VII, a place of business that is owned or operated by 
     a single person, and which is at 1 general physical location 
     consisting of 1 or more buildings all of which are within 5 
     miles of each other, shall be considered a single place of 
     business.''.
       (b) Articles Produced by an Unregistered Person.--Section 
     403 (21 U.S.C. 343) is amended by adding at the end the 
     following new subsection:
       ``(t) If it was manufactured, processed, or packaged in any 
     State by a person not duly registered under section 908.''.

     SEC. 728. AMENDMENTS RELATING TO FOOD ADDITIVE PETITION 
                   REVIEW PROCESS.

       (a) Action on Petition.--Section 409(c) (21 U.S.C. 348(c)) 
     is amended--
       (1) in paragraph (1)(A)--
       (A) by striking ``(A) by order establish'' and inserting 
     ``(A) establish''; and
       (B) by striking ``petitioner of such order'' and inserting 
     ``petitioner of such regulation'';
       (2) in paragraph (1)(B)--
       (A) by striking ``(B) by order deny'' and inserting ``(B) 
     deny''; and
       (B) by striking ``such order'' and inserting ``such 
     denial'';
       (3) in paragraph (2)--
       (A) by striking ``The order required'' and inserting ``The 
     Secretary shall take the action required''; and
       (B) by striking ``shall be issued''; and
       (4) in paragraph (3) by striking ``No such regulation shall 
     issue if'' and inserting ``No regulation shall issue under 
     paragraph (1) if''.
       (b) Regulation Issued on Secretary's Initiative.--Section 
     409(d) (21 U.S.C. 348(d)) is amended in the second sentence 
     by striking ``by order''.
       (c) Publication and Effective Date of Orders.--Section 409 
     (21 U.S.C. 348) is amended in subsection (e) to read as 
     follows:
       ``(e) Any regulation issued under subsection (c) or (d) 
     shall be published and shall be effective upon 
     publication.''.
       (d) Judicial Review.--Section 409(f) (21 U.S.C. 348(f)) is 
     amended read as follows:
       ``(f)(1) Any person adversely affected by an action by the 
     Secretary under subsection (c) or (d), including any 
     amendment or repeal of a regulation issued under this 
     section, may obtain judicial review of such action by filing 
     in the United States Court of Appeals for the circuit in 
     which such person resides or has his principal place of 
     business, or in the United States Court of Appeals for the 
     District of Columbia, within 60 days of such action, a 
     petition requesting that the regulation be set aside in whole 
     or in part.
       ``(2) The court, on such judicial review, shall not sustain 
     the Secretary's action if such action was not based upon a 
     fair evaluation of the entire record before the Secretary.''.
       (e) Finality of Court Order.--Section 409(g) (21 U.S.C. 
     348(g)) is amended by striking paragraphs (1) through (4) and 
     by striking the paragraph designation ``(5)''.
       (f) Access to Outside Experts During Review Process.--
     Section 409 (21 U.S.C. 348) is amended by adding at the end 
     the following new subsection:
       ``(k) Access to Outside Experts During Review Process.--
     Notwithstanding the Federal Advisory Committee Act (5 U.S.C. 
     App.), the Secretary may consult with, or seek advice from, a 
     person who is not a full-time officer or employee of the 
     Federal Government, either as an individual or as part of a

[[Page H10219]]

     group of such individuals, for the purpose of obtaining 
     expert scientific review of data or other information 
     submitted to the Secretary under this section, if the 
     Secretary determines that the expertise provided by such 
     individual or group of individuals would contribute to the 
     quality of the scientific review of such submission or to the 
     timeliness of such review and such expertise is not otherwise 
     available within the Food and Drug Administration. The 
     reviews, opinions, and conclusions of individuals obtained 
     under the authority of this subsection shall be reduced to 
     written form and place in the relevant administrative 
     file.''.

     SEC. 728A. AMENDMENTS RELATING TO COLOR ADDITIVE PETITION 
                   REVIEW PROCESS.

       (a) Determination of Safety of Color Additives.--Section 
     721(b)(5) (21 U.S.C. 379e(b)(5)) is amended by striking 
     subparagraphs (C) and (D).
       (b) Procedure for Issuance, Amendment, or Repeal of 
     Regulations.--Subsection (d) of section 721 (21 U.S.C. 
     379e(d)) is amended to read as follows:

     ``Procedure for Issuance, Amendment, or Repeal of Regulations

       ``(d)(1) The issuance, amendment, or repeal of regulations 
     under subsection (b) may be commenced by a proposal made (A) 
     by the Secretary on the Secretary's own initiative, or (B) by 
     petition of any interested person, showing reasonable grounds 
     therefor, submitted to the Secretary. Where an action is 
     commenced by the submission of a petition, the Secretary 
     shall, within 30 days of its filing by the Secretary, publish 
     notice of such petition, describing in general terms the 
     action proposed by the petition. The Secretary shall act upon 
     such petition within the time period set out in section 
     409(c)(2) by establishing a regulation under subsection (b) 
     or by denying such petition. The Secretary shall notify the 
     petitioner of the action taken on the petition and the 
     reasons for such action.
       ``(2) Any regulation issued under this subsection shall be 
     published and shall be effective upon publication.
       ``(3)(A) Any person adversely affected by an action by the 
     Secretary under this subsection, including any amendment or 
     repeal of a regulation issued under this section, may obtain 
     judicial review of such action by filing in the United States 
     Court of Appeals for the circuit in which such person resides 
     or has his or her principal place of business, or in the 
     United States Court of Appeals for the District of Columbia, 
     within 60 days of such action, a petition requesting that the 
     regulation be set aside in whole or in part.
       ``(B) The court, on such judicial review, shall not sustain 
     the Secretary's action if such action was not based upon a 
     fair evaluation of the entire record before the Secretary.
       ``(4) The judgment of the court affirming or setting aside, 
     in whole or in part, any order under paragraph (3) shall be 
     final, subject to review by the Supreme Court of the United 
     States upon certiorari or certification as provided in 
     section 1254 of title 28 of the United States Code. The 
     commencement of proceedings under this section shall not, 
     unless specifically ordered by the court to the contrary, 
     operate as a stay of an order.''.
       (c) Fees.--Section 721(e) (21 U.S.C. 379e(e)) is amended by 
     striking ``admitting to listing and''.
       (d) Access to Outside Experts During Review Process.--
     Section 721 (21 U.S.C. 379e) is amended by adding at the end 
     the following new subsection:

           ``Access to Outside Experts During Review Process

       ``(g) Notwithstanding the Federal Advisory Committee Act (5 
     U.S.C. App.), the Secretary may consult with, or seek advice 
     from, a person who is not a full-time officer or employee of 
     the Federal Government, either as an individual or as part of 
     a group of such individuals, for the purpose of obtaining 
     expert scientific review of data or other information 
     submitted to the Secretary under this section, if the 
     Secretary determines that the expertise provided by such 
     individual or group of individuals would contribute to the 
     quality of the scientific review of such submission or to the 
     timeliness of such review and such expertise is not otherwise 
     available within the Food and Drug Administration. The 
     reviews, opinions, and conclusions of individuals obtained 
     under the authority of this subsection shall be reduced to 
     written form and placed in the relevant administrative 
     file.''.

          Subpart C--Food Contact Substance Notification Fees

     SEC. 729. SHORT TITLE.

       This subpart may be cited as the ``Food Contact Substance 
     Notification Fee Act of 1999''.

     SEC. 729A. FEES RELATING TO FOOD CONTACT SUBSTANCE 
                   NOTIFICATIONS.

       Chapter VII (21 U.S.C. 371 et seq.) is further amended by 
     adding at the end of subchapter C the following new part:

  ``PART 5--FEES RELATING TO NOTIFICATIONS FOR FOOD CONTACT SUBSTANCES

     ``SEC. 754. AUTHORITY TO ASSESS AND USE FEES.

       ``(a) Definitions.--For purposes of this part, the terms 
     used in this subsection have the following meanings:
       ``(1) Food contact substance.--The term `food contact 
     substance' has the meaning given that term in section 
     409(h)(6).
       ``(2) Notification.--The term `notification' means a 
     notification submitted pursuant to section 409(h).
       ``(3) Notification review activities.--The term 
     `notification review activities' means the following 
     activities of the Secretary with respect to the review of 
     notifications:
       ``(A) The activities necessary for the review of 
     notifications and related activities.
       ``(B) The issuance of written correspondence or other 
     documents which set forth the deficiencies in such 
     notifications and, where appropriate, the actions necessary 
     to resolve such deficiencies.
       ``(C) The development of guidance and policy documents 
     regarding the process for the review of notifications.
       ``(D) The development of test methods and standards in 
     connection with the review of notifications and related 
     activities.
       ``(E) The provision of technical assistance to prospective 
     notifiers in connection with the submission of a food contact 
     substance notification.
       ``(F) Monitoring of studies and data pertaining to the 
     safety of substances described in paragraphs (1) through (4) 
     of section 908.
       ``(4) Costs of resources allocated for notification review 
     activities.--The term `costs of resources allocated for 
     notification review activities' means the expenses incurred 
     in connection with the process for the review of 
     notifications and related activities for--
       ``(A) officers and employees of the Food and Drug 
     Administration, employees under contract with the Food and 
     Drug Administration, advisory committees, and costs related 
     to such officers, employees, and committees;
       ``(B) management of information, and the acquisition, 
     maintenance, and repair of computer resources;
       ``(C) leasing, maintenance, renovation, and repair of 
     facilities and acquisition, maintenance, and repair of 
     fixtures, furniture, scientific equipment, and other 
     necessary materials, services, and supplies; and
       ``(D) collecting fees under this section and accounting for 
     resources allocated for the review of notifications and 
     related activities.
       ``(5) Tier i, tier ii, tier iii notifications; regulatory 
     modification.--
       ``(A) Tier i notification.--The term `tier I notification' 
     means a notification for--
       ``(i) a use that results in an incremental increase in 
     dietary exposure to the food contract substance equal to or 
     less than 0.5 parts per billion; or
       ``(ii) a new use of a substance that does not require 
     review of additional safety data.
       ``(B) Tier ii notification.--The term `tier II 
     notification' means a notification for a use or uses--
       ``(i) that results in an incremental increase in estimated 
     dietary exposure to the food contact substances of less than 
     or equal to 50 parts per billion, but greater than 0.5 parts 
     per billion in the diet; or
       ``(ii) that does not require review of more than 1 animal 
     toxicity study with a duration of 90 days or more.
       ``(C) Tier iii notification.--The term `tier III 
     notification' means a notification--
       ``(i) not described in subparagraph (A) or (B); or
       ``(ii) for a food contact substance that is a new food 
     contact material.
       ``(D) Regulatory modification.--The Secretary may by 
     regulation revise the definitions in subparagraphs (A) 
     through (C).
       ``(6) Adjustment factor.--The term `adjustment factor' has 
     the meaning given that term in section 735(8), except that 
     references therein--
       ``(A) to `1997' shall be read to mean `1999'; and
       ``(B) to `the 105th Congress' shall be read to mean `the 
     106th Congress'.
       ``(b) Assessment of Fees.--Subject to the remaining 
     provisions of this section, each person that submits a 
     notification under section 409(h) on or after October 1, 
     1999, shall be subject to fees established in accordance with 
     this part.
       ``(c) Fee Amounts.--
       ``(1) For fiscal year 2000.--The fee under this part for a 
     notification submitted in fiscal year 2000 shall be--
       ``(A) $5,000 for each tier I notification;
       ``(B) $20,000 for each tier II notification; and
       ``(C) $40,000 for each tier III notification.
       ``(2) Inflation adjustment for subsequent years.--The fees 
     established in paragraph (1) shall be adjusted by the 
     Secretary by notice, published in the Federal Register, for 
     fiscal year 2001 and each succeeding fiscal year to reflect 
     an inflation adjustment determined as described in section 
     736(c)(1), except that the reference therein to `fiscal year 
     1997' shall be considered to mean `fiscal year 2000'.
       ``(d) Payment Deadline; Effect of Failure To Pay Fees.--
     Fees assessed under this section shall be due and payable at 
     the time the notification is submitted to the Secretary. A 
     notification submitted by a person subject to fees assessed 
     under this section shall be considered incomplete, shall not 
     be accepted by the Secretary, and shall not be considered 
     effective under section 409(a)(3)(B) until 120 days after all 
     fees owed by such persons have been paid.
       ``(e) General Conditions Applicable to Fee Assessment 
     Authority.--
       ``(1) Limitation.--Fees may not be assessed under this 
     section for a fiscal year beginning after fiscal year 2000 
     unless appropriations for such fiscal year for salaries and 
     expenses of the Food and Drug Administration (excluding 
     amounts appropriated for fees under this subchapter), and for 
     that portion of such appropriation designated for the Center 
     for

[[Page H10220]]

     Food Safety and Applied Nutrition, equal or exceed such 
     appropriations for fiscal year 1999 multiplied by the 
     adjustment factor.
       ``(2) Delayed assessment.--If the Secretary does not assess 
     fees under this part during any portion of a fiscal year 
     because of paragraph (1) and if at a later date in such 
     fiscal year the Secretary may assess such fees, the Secretary 
     may assess and collect such fees, without modification in the 
     rate, for activities related to the regulatory purpose for 
     which they were collected any time in such fiscal year 
     notwithstanding the provisions of subsection (d) relating to 
     the date fees are to be paid.
       ``(f) Crediting and Availability of Fees.--Fees authorized 
     under this section shall be available for obligation only to 
     the extent and in the amounts provided in advance in 
     appropriations Acts. Such fees are authorized to be 
     appropriated to remain available until expended solely to 
     support the notification review activities set forth in 
     subsection (a)(3). Such fees shall be credited to the 
     appropriation account for salaries and expenses of the Food 
     and Drug Administration. Any amount of fees collected for a 
     fiscal year under this subsection that exceeds the amount of 
     fees made available in appropriations Acts for such fiscal 
     year may be credited to the appropriation account for 
     salaries and expenses of the Food and Drug Administration. 
     Excess fees may be retained but are not available for 
     obligation until appropriated. Such sums as may be necessary 
     may be transferred from the Food and Drug Administration 
     salaries and expenses appropriation account without fiscal 
     year limitation to such appropriation account for salaries 
     and expenses with such fiscal year limitation.
       ``(g) Authorization of Appropriations.--There are 
     authorized to be appropriated for fees under this section 
     $6,000,000 for fiscal year 2000 and each succeeding fiscal 
     year, as adjusted to reflect the percentage adjustment of 
     fees authorized under subsection (b).
       ``(h) Collection of Unpaid Fees.--In any case where the 
     Secretary does not receive payment of a fee assessed under 
     this section within 30 days after it is due, such fee shall 
     be treated as a claim of the United States Government subject 
     to subchapter II of chapter 37 of title 31, United States 
     Code.''.

     SEC. 729B. AMENDMENT RELATING TO FOOD CONTACT SUBSTANCE 
                   NOTIFICATION PROCESS.

       Section 409(h)(5)(A)(iv) (21 U.S.C. 348(h)(5)(A)(iv)) is 
     amended to read as follows:
       ``(iv) For fiscal year 2000 and subsequent fiscal years, 
     the applicable amount under this clause is the amount 
     specified in section 754(g).''.

        PART III--HEALTH CARE FINANCING ADMINISTRATION USER FEES

      SEC. 731. REFERENCES IN PART.

       Except as otherwise provided in this part, references to a 
     section or other provision of law are references to the 
     Social Security Act, and amendments made by this part to a 
     section or other provision of law are amendments to such 
     section or other provision of that Act.

      SEC. 732. INCREASE IN MEDICARE+CHOICE FEE FOR ENROLLMENT-
                   RELATED COSTS.

       Section 1857(e)(2)(D)(ii) (42 U.S.C. 1395w-27(e)(2)(D)(ii)) 
     is amended--
       (1) by adding ``and'' at the end of subclause (I);
       (2) in subclause (II)--
       (A) by inserting ``and each subsequent fiscal year'' after 
     ``in fiscal year 1999''; and
       (B) by striking ``; and'' and inserting a period; and
       (3) by striking subclause (III).

     SEC. 733. COLLECTION OF FEES FROM MEDICARE+CHOICE 
                   ORGANIZATIONS FOR CONTRACT INITIATION AND 
                   RENEWAL.

       Section 1857 (42 U.S.C. 1395w-27) is amended by adding at 
     the end the following new subsection:
       ``(i) Fees for Contract Issuance and Renewal and Ongoing 
     Monitoring.--
       ``(1) Authority to impose fees.--The Secretary shall 
     impose--
       ``(A) fees for initial Medicare+Choice contracts under this 
     part; and
       ``(B) annual fees for renewal of such contracts and 
     monitoring of the ongoing operations of Medicare+Choice 
     organizations.
       ``(2) Assessment of fees.--
       ``(A) Types of fees.--
       ``(i) Initiation fees.--Fee amounts assessed against a 
     member of a class of organizations pursuant to paragraph 
     (1)(A) shall not exceed the Secretary's reasonable estimate 
     of the average cost of initiating a Medicare+Choice contract 
     for an organization in such class.
       ``(ii) Renewal and monitoring fees.--Fee amounts assessed 
     pursuant to paragraph (1)(B) against members of a class of 
     organizations shall not exceed the amount which the Secretary 
     reasonably estimates will generate total revenues sufficient 
     to cover total annual costs for renewing contracts and 
     performing ongoing monitoring with respect to such class.
       ``(B) Reduction or waiver of fees.--The Secretary may 
     reduce or waive the fees under this subsection in exceptional 
     circumstances which the Secretary determines to be in the 
     public interest.
       ``(3) Collection and crediting of fees.--
       ``(A) Initial fees.--Fees assessed against an organization 
     pursuant to paragraph (1)(A) shall be payable upon submission 
     of the application to participate in the program under this 
     title as a Medicare+Choice organization (and shall apply 
     whether or not the Secretary approves such application) and 
     shall be credited to the Health Care Financing Administration 
     Program Management Account.
       ``(B) Renewal and monitoring fees.--Fees assessed against 
     an organization pursuant to paragraph (1)(B) shall be payable 
     annually and may be deducted from amounts otherwise payable 
     from a Trust Fund under this title to such organization. Such 
     fees shall be credited to the Health Care Financing 
     Administration Program Management Account.
       ``(C) Offset.--Any amount of fees collected in a fiscal 
     year under this subsection that exceeds the amount of such 
     fees available for expenditure in such fiscal year, as 
     specified in appropriation Acts, shall be credited to the 
     Health Care Financing Administration Program Management 
     Account, and shall be available for obligation in subsequent 
     fiscal years to the extent provided in subsequent 
     appropriation Acts.
       ``(4) Availability of fees.--Fees authorized under this 
     subsection shall be available for obligation only to the 
     extent and in the amount provided in advance in appropriation 
     Acts. Such fees are authorized to be appropriated to remain 
     available until expended for the costs of the activities for 
     which they were assessed.''.

      SEC. 734. FEES FOR SURVEY AND CERTIFICATION.

       (a) In General.--Section 1864(e) (42 U.S.C. 1395aa(e)) is 
     amended to read as follows:
       ``(e) Fees for Conducting Certification Surveys.--
       ``(1) Authority to impose fees.--Except as provided in 
     paragraph (6), the Secretary shall impose, or require States 
     as a condition of agreements under this section to impose--
       ``(A) fees for surveys for the purpose of making initial 
     determinations as to whether entities meet requirements under 
     this title; and
       ``(B) annual fees to cover the costs of periodic surveys to 
     determine whether entities participating in the program under 
     this title continue to meet such requirements.
       ``(2) Assessment of fees.--
       ``(A) Types of fees.--
       ``(i) Fees for initial surveys.--Fee amounts assessed 
     pursuant to paragraph (1)(A) against an entity in a class in 
     a State shall not exceed the estimated average cost of an 
     initial survey and determination for an entity in such class 
     and State.
       ``(ii) Fees for recertification surveys.--

       ``(I) In general.--Fee amounts assessed pursuant to 
     paragraph (1)(B) against entities in a class in a State shall 
     not exceed the amount which the Secretary reasonably 
     estimates will generate total revenues sufficient to cover 
     the applicable percentage specified in subclause (II) of 
     total annual costs for such surveys and determinations with 
     respect to such class and State.
       ``(II) Applicable percentages.--For purposes of subclause 
     (I), the applicable percentage is--

       ``(aa) 33 percent for fiscal year 2000;
       ``(bb) 66 percent for fiscal year 2001; and
       ``(cc) 100 percent for fiscal year 2002 and each succeeding 
     fiscal year.
       ``(B) Reduction or waiver of fees.--The Secretary may 
     reduce or waive the fees under this subsection in exceptional 
     circumstances which the Secretary determines to be in the 
     public interest.
       ``(3) Collection and crediting of fees.--
       ``(A) Fees for initial surveys.--
       ``(i) Collection of fees.--Fees assessed against an entity 
     in a State pursuant to paragraph (1)(A) shall be payable at 
     the time of the initial survey to the Secretary (or, in the 
     case of surveys performed by a State agency, to such agency).
       ``(ii) Remittance of fee amount to secretary where state 
     collects fees.--In the event a State agency collects a fee 
     pursuant to clause (i), such agency shall remit to the 
     Secretary an amount equal to the Secretary's share of the 
     cost of the activities described in paragraph (1)(A).
       ``(iii) Crediting of fees.--Fees paid to the Secretary 
     pursuant to clause (i) or remitted to the Secretary pursuant 
     to clause (ii) shall be credited to the Health Care Financing 
     Administration Program Management Account.
       ``(B) Fees for recertification surveys.--
       ``(i) Collection of fees.--Fees assessed against an entity 
     pursuant to paragraph (1)(B) shall be payable annually and 
     may be deducted from amounts otherwise payable from a Trust 
     Fund under this title to such entity.
       ``(ii) Reimbursement of state agency costs.--Of amounts 
     collected pursuant to clause (i), an amount equal to the 
     State's share of the cost of activities described in 
     paragraph (1)(B) shall be transferred to the appropriate 
     State agency.
       ``(iii) Reimbursement of secretary's costs.--The balance of 
     the amount collected pursuant to clause (i) that is not paid 
     to a State agency pursuant to clause (ii) shall be credited 
     to the Health Care Financing Administration Program 
     Management Account.
       ``(C) Offset.--Any amount of fees collected in a fiscal 
     year under this subsection that exceeds the amount of such 
     fees available for expenditure in such fiscal year, as 
     specified in appropriation Acts, shall be credited to the 
     Health Care Financing Administration Program Management 
     Account, and shall be available for obligation in subsequent 
     fiscal years to the extent provided in subsequent 
     appropriation Acts.
       ``(4) Availability of fees.--Fees authorized under this 
     subsection shall be available for obligation only to the 
     extent and in the amount provided in advance in appropriation

[[Page H10221]]

     Acts. Such fees are authorized to be appropriated to remain 
     available until expended for the costs of the activities for 
     which they were assessed.
       ``(5) Treatment of fees for purposes of cost reports.--An 
     entity may not include a fee assessed pursuant to this 
     subsection as an allowable item on a cost report under this 
     title or title XIX.
       ``(6) Certain entities not subject to fee.--The Secretary 
     shall not impose fees under this subsection against entities 
     subject to the requirements of the Clinical Laboratory 
     Improvement Amendments of 1988 (Public Law 100-578, 42 U.S.C. 
     263a).''.
       (b) Simpler and More Flexible Legislative Authority.--
       (1) In general.--The first two sentences of section 1864(a) 
     (42 U.S.C. 1395aa(a)) are amended to read as follows: ``The 
     Secretary may make an agreement with a State under which the 
     services of a State agency (or local agencies) will be 
     utilized by the Secretary in determining whether entities 
     that furnish items or services for which payment may be made 
     under this title meet requirements under this title. To the 
     extent that the Secretary finds it appropriate, an entity 
     that a State (or local) agency finds to have met requirements 
     under this title may be treated by the Secretary as having 
     met those requirements.''.
       (2) Posting of findings.--The fifth sentence of such 
     section is amended to read as follows: ``Within 90 days after 
     the completion of a survey of an entity under the first 
     sentence of this subsection, the Secretary shall make public 
     in readily available form and place, and require (in the case 
     of skilled nursing facilities) the posting in a place readily 
     accessible to patients (and patients' representatives), the 
     pertinent findings of the survey as to the compliance of the 
     entity with statutory requirements under this title and with 
     the major additional conditions that the Secretary finds 
     necessary in the interest of health and safety of individuals 
     who are furnished items or services by the entity.''.
       (3) Clerical amendment.--The heading of section 1864 (42 
     U.S.C. 1395aa) is amended by striking ``with conditions of 
     participation'' and inserting ``and other entities with 
     requirements under this title''.

      SEC. 735. FEES FOR REGISTRATION OF INDIVIDUALS AND ENTITIES 
                   PROVIDING HEALTH CARE ITEMS OR SERVICES UNDER 
                   MEDICARE.

       (a) In General.--Section 1866 (42 U.S.C. 1395cc) is amended 
     by adding at the end the following new subsection:
       ``(j) Registration Procedures and Fees.--
       ``(1) Registration.--The Secretary shall establish a 
     procedure for initial registration and periodic renewal of 
     registration of individuals and entities that furnish items 
     or services for which payment may be made under this title 
     and that are not otherwise subject to provisions of this 
     title providing for such procedures.
       ``(2) Fees.--
       ``(A) Authority to impose fees.--The Secretary shall 
     impose--
       ``(i) fees for initial agreements with providers of 
     services and initial registrations of other entities and 
     individuals that furnish items or services for which payment 
     may be made under this title, and
       ``(ii) annual fees to cover the costs of renewals of 
     agreements and registrations of such individuals and 
     entities.
       ``(B) Assessment of fees.--
       ``(i) Types of fees.--

       ``(I) Initial fees.--Fee amounts assessed pursuant to 
     subparagraph (A)(i) against a member of a class of 
     individuals or entities shall not exceed the Secretary's 
     reasonable estimate of the average cost of initiating an 
     agreement or performing an initial registration for an 
     individual or entity in such class.
       ``(II) Renewal fees.--Fee amounts assessed pursuant to 
     subparagraph (A)(ii) against members of a class of 
     individuals or entities shall not exceed the amount which the 
     Secretary reasonably estimates will generate total revenues 
     sufficient to cover total annual costs of performing such 
     renewals with respect to such class.

       ``(ii) Reduction or waiver of fees.--The Secretary may 
     reduce or waive the fees under this paragraph in exceptional 
     circumstances which the Secretary determines to be in the 
     public interest.
       ``(C) Collection and crediting of fees.--
       ``(i) Initial fees.--Fees assessed pursuant to subparagraph 
     (A)(i) against an individual or entity shall be payable upon 
     application for billing privileges under the program under 
     this title (and shall apply whether or not the Secretary 
     approves such application) and shall be credited to the 
     Health Care Financing Administration Program Management 
     Account.
       ``(ii) Renewal fees.--Fees assessed pursuant to 
     subparagraph (A)(ii) against an individual or entity shall be 
     payable annually and may be deducted from amounts otherwise 
     payable from a Trust Fund under this title to such individual 
     or entity. Such fees shall be credited to the Health Care 
     Financing Administration Program Management Account.
       ``(iii) Offset.--Any amount of fees collected in a fiscal 
     year under this paragraph that exceeds the amount of such 
     fees available for expenditure in such fiscal year, as 
     specified in appropriation Acts, shall be credited to the 
     Health Care Financing Administration Program Management 
     Account, and shall be available for obligation in subsequent 
     fiscal years to the extent provided in subsequent 
     appropriation Acts.
       ``(D) Availability of fees.--Fees authorized under this 
     paragraph shall be available for obligation only to the 
     extent and in the amount provided in advance in appropriation 
     Acts. Such fees are authorized to be appropriated to remain 
     available until expended for necessary expenses related to 
     initiating and renewing such agreements and registrations, 
     including costs of establishing and maintaining procedures 
     and records systems; processing applications; background 
     investigations; renewal of billing privileges; and 
     reverification of eligibility.
       ``(E) Treatment of fees for purposes of cost reports.--An 
     entity may not include a fee assessed pursuant to this 
     paragraph as an allowable item on a cost report under this 
     title or title XIX.''; and
       (b) Clerical Amendment.--The heading of section 1866 (42 
     U.S.C. 1395cc) is amended by inserting ``and registration of 
     other persons furnishing services'' after ``providers of 
     services''.

      SEC. 736. FEES FOR PROCESSING CLAIMS.

       (a) In General.--Title XVIII (42 U.S.C. 1395 et seq.) is 
     amended by adding at the end the following new section:


                      ``fees for processing claims

       ``Sec. 1897. (a) Authority To Impose Fees.--
       ``(1) In general.--Subject to subsection (b), each claim 
     described in paragraph (2) submitted by an individual or 
     entity furnishing items or services for which payment may be 
     made under this title is subject to a processing fee of $1.
       ``(2) Claims subject to fee.--A claim under part A or B of 
     this title is subject to the fee specified in paragraph (1) 
     if it--
       ``(A) duplicates, in whole or in part, another claim 
     submitted by the same individual or entity;
       ``(B) is a claim that cannot be processed and must, in 
     accordance with the Secretary's instructions, be returned by 
     the fiscal intermediary or carrier to the individual or 
     entity for completion; or
       ``(C) is not submitted electronically by an individual or 
     entity or the authorized billing agent of such individual or 
     entity.
       ``(b) Collection, Crediting, and Availability of Fees.--
       ``(1) Deduction from trust fund.--The Secretary shall 
     deduct any fees assessed pursuant to subsection (a) against 
     an individual or entity from amounts otherwise payable from a 
     Trust Fund under this title to such individual or entity, and 
     shall transfer the amount so deducted from such Trust Fund to 
     the Health Care Financing Administration Program Management 
     Account.
       ``(2) Offset.--Any amount of fees collected in a fiscal 
     year under this section that exceeds the amount of such fees 
     available for expenditure in such fiscal year, as specified 
     in appropriation Acts, shall be credited to the Health Care 
     Financing Administration Program Management Account, and 
     shall be available for obligation in subsequent fiscal years 
     to the extent provided in subsequent appropriation Acts.
       ``(3) Availability.--Fees authorized under this subsection 
     shall be available for obligation only to the extent and in 
     the amount provided in advance in appropriation Acts. Such 
     fees are authorized to be appropriated to remain available 
     until expended for the costs of the activities for which they 
     were assessed.
       ``(c) Waiver of Certain Fees.--The Secretary may waive fees 
     for claims described in subsection (a)(2)(C) in cases of such 
     compelling circumstances as the Secretary may determine.
       ``(d) Treatment of Fees for Purposes of Cost Reports.--An 
     entity may not include a fee assessed pursuant to this 
     section as an allowable item on a cost report under this 
     title or title XIX.''.
       (b) Conforming Amendment.--Section 1842(c)(4) (42 U.S.C. 
     1395u(c)(4)) is amended by striking ``Neither a carrier'' and 
     inserting ``Except as provided in section 1897, neither a 
     carrier''.
       (c) Effective Date.--The amendments made by this section 
     are effective 180 days after the date of enactment of this 
     part.

      SEC. 737. REPEAL OF PROVISION RELATED TO SELECTION OF 
                   REGIONAL LABORATORY CARRIERS.

       Section 4554(a) of the Balanced Budget Act of 1997 (42 
     U.S.C. 1395u note) is repealed.

      SEC. 738. AUTHORITY TO ISSUE INTERIM FINAL REGULATIONS.

       The Secretary may issue any regulations needed to implement 
     amendments made by this subtitle as interim final 
     regulations.

                       Subtitle H--Transportation

      PART I--FEDERAL AVIATION ADMINISTRATION COST-BASED USER FEES

     SEC. 811. FEDERAL AVIATION ADMINISTRATION COST-BASED USER 
                   FEES.

       (a) Chapter 453 of title 49, United States Code, is amended 
     by adding at the end the following:

     ``Sec. 45305. Transitional fees for users of air traffic 
       control services

       ``(a) Authority to Establish Fees.--
       ``(1) In general.--The Administrator of the Federal 
     Aviation Administration shall establish a schedule of new 
     fees, and a collection process for such fees, to be paid by 
     operators described in paragraph (4) for air traffic control 
     services provided by the the Administration.
       ``(2) Duration of effect.--Fees established under this 
     section shall be effective until the Administrator adopts a 
     permanent schedule of fees for air traffic control services.
       ``(3) Amount of fees.--Fees authorized under this section 
     shall reflect, based on cost

[[Page H10222]]

     accounting principles, the full cost of providing air traffic 
     control services, including costs associated with research, 
     engineering, development, operation, maintenance, and 
     depreciation of air traffic control facilities and 
     infrastructure.
       ``(4) Persons subject to fees.--The following operators 
     shall be subject to fees established under this section:
       ``(A) Persons holding certificates under part 119 of title 
     14, Code of Federal Regulations.
       ``(B) Persons holding certificates to operate an aircraft 
     for compensation or hire under part 125 of title 14, Code of 
     Federal Regulations.
       ``(C) Foreign air carriers directly providing air 
     transportation.
       ``(b) Issuance of Regulations.--
       ``(1) Interim final rule.--
       ``(A) Publication.--Not later than September 30, 1999, the 
     Administrator shall publish in the Federal Register an 
     interim final rule establishing an initial schedule of fees 
     authorized under this section and describing the collection 
     process for such fees.
       ``(B) Consultation.--Before publishing a rule under 
     subparagraph (A), the Administrator shall consult with 
     interested operators who may be subject to the rule.
       ``(2) Final rule.--After the Administrator receives public 
     comment on the interim final rule, the Administrator shall 
     issue a final rule as early as is practicable.
       ``(c) Deposit of Fees.--Fees collected under this section 
     shall be deposited in the Airport and Airway Trust Fund 
     established under section 9502 of the Internal Revenue Code 
     of 1986 (26 U.S.C. 9502).
       ``(d) Reduction of Taxes for Fiscal Year 2000.--If, prior 
     to October 1, 1999, the sum of estimated receipts from fees 
     established under this section for fiscal year 2000 and 
     estimated receipts from excise taxes to be credited to the 
     Airport and Airway Trust Fund for fiscal year 2000 is 
     projected to exceed the budgetary requirements for the 
     Federal Aviation Administration for fiscal year 2001 as shown 
     in the Budget of the United States Government for Fiscal Year 
     2000, aviation excise taxes that would otherwise be 
     applicable shall be reduced in the same manner as provided in 
     section 45306.
       ``(e) Availability of Fees.--Fees authorized under this 
     section shall be available for obligation only to the extent 
     and in the amount provided in advance in appropriations Acts. 
     Such fees are authorized to be appropriated to remain 
     available until expended.

     ``SEC. 45306. ADJUSTMENT OF CERTAIN AVIATION EXCISE TAXES.

       ``(a) In General.--On the date on which the Budget of the 
     United States Government is transmitted to Congress in 2000, 
     and on that date on each year thereafter, if the sum of 
     revenue from fees projected to be collected under section 
     45305 and subchapter II of this title in the upcoming fiscal 
     year and amounts equivalent to excise taxes projected to be 
     credited to the Airport and Airway Trust Fund in that fiscal 
     year does not equal the budgetary requirements for the 
     Federal Aviation Administration for the succeeding year, as 
     shown in the Budget of the United States Government for the 
     upcoming fiscal year, aviation excise taxes that would 
     otherwise be imposed in the upcoming fiscal year shall be 
     adjusted as follows:
       ``(1) Passenger ticket tax.--The rate of tax imposed under 
     section 4261(a) of the Internal Revenue Code of 1986 (26 
     U.S.C. 4261(a)) is adjusted pursuant to the calculation made 
     for each fiscal year under subsection (b) of this section.
       ``(2) International arrivals and departures.--The rate of 
     tax imposed under section 4261(c) of the Internal Revenue 
     Code of 1986 (26 U.S.C. 4261(c)) is adjusted pursuant to the 
     calculation made for each fiscal year under subsection (b) of 
     this section.
       ``(3) Air cargo.--The rate of tax imposed under section 
     4271 of the Internal Revenue Code of 1986 (26 U.S.C. 4271) is 
     adjusted pursuant to the calculation made for each fiscal 
     year under subsection (b) of this section.
       ``(4) Domestic passenger flight segments.--The rate of tax 
     imposed under section 4261(b) of the Internal Revenue Code of 
     1986 (26 U.S.C. 4261(b)) is adjusted pursuant to the 
     calculation made for each fiscal year under subsection (b) of 
     this section.
       ``(5) Passenger ticket tax for rural airports.--The rate of 
     tax imposed under section 4261(e)(1) of the Internal Revenue 
     Code of 1986 (26 U.S.C. 4261(e)(1)) is adjusted pursuant to 
     the calculation made for each fiscal year under subsection 
     (b) of this section.
       ``(6) Frequent flyer tax.--The rate of tax imposed under 
     section 4261(e)(3) of the Internal Revenue Code of 1986 (26 
     U.S.C. 4261(e)(3)) is adjusted pursuant to the calculation 
     made for each fiscal year under subsection (b) of this 
     section.
       ``(7) Commercial aviation fuel tax.--The rate of tax not 
     exempted under section 4092(b)(2) of the Internal Revenue 
     Code of 1986 (26 U.S.C. 4092(b)(2)) is adjusted pursuant to 
     the calculation made for each fiscal year under subsection 
     (b) of this section.
       ``(b) Adjustments by the Secretary of the Treasury.--On the 
     date on which the Budget of the United States Government is 
     transmitted to Congress in 2000, and on that date in each 
     year thereafter, the Secretary of the Treasury, in 
     consultation with the Secretary of Transportation, shall 
     calculate a percent figure for the upcoming fiscal year as 
     follows:
       ``(1) Estimate of budgetary requirements.--The Secretary of 
     the Treasury shall estimate the budgetary requirements for 
     the Federal Aviation Administration for the upcoming fiscal 
     year based on the budget of the United States Government.
       ``(2) Estimate of fees.--The Secretary of the Treasury 
     shall estimate the amount of user fees imposed under section 
     45305 to be collected for the upcoming fiscal year.
       ``(3) Estimate of tax revenues.--The Secretary of the 
     Treasury shall estimate the receipts in the upcoming fiscal 
     year from taxes that, but for this section, would be imposed 
     under sections 4261(a) (relating to the passenger tickets), 
     4261(c) (relating to international arrivals and departures), 
     4271 (relating to transportation of property), 4261(b) 
     (domestic passenger flight segments), 4261(e)(1) (relating to 
     passenger tickets for rural airports), and 4261(e)(3) 
     (relating to frequent flyer programs) of the Internal Revenue 
     Code of 1986.
       ``(4) Calculation of actual resources.--On the date on 
     which the Budget of the United States Government is 
     transmitted to Congress in 2002, and on that date in each 
     year thereafter, the Secretary of Treasury shall calculate 
     the amount that actual budget resources, in the fiscal year 
     that is one year earlier than the current year, and user fee 
     and tax receipts credited to the Airport and Airway Trust 
     Fund, in the fiscal year that is two years earlier than the 
     current year, varied from the amounts projected in the 
     calculation previously made for the fiscal year that is two 
     years earlier than the current year under this subsection or 
     section 45305(d). The resulting positive or negative amount 
     is added to the estimated amount calculated under paragraph 
     (3).
       ``(5) Calculation of adjustments.--The Secretary of the 
     Treasury shall subtract the amount calculated under paragraph 
     (2) from the amount calculated under paragraph (1) and divide 
     that result by the amount calculated under paragraph (3), 
     after any adjustment under paragraph (4). If the result is 
     less than 1, subtract the resulting percentage from 100 
     percent. The percent that taxes are to be reduced for the 
     upcoming fiscal year under subsection (a) is the result of 
     this calculation. If the result is greater than 1, subtract 1 
     from the result. The percent that taxes are to be increased 
     for the upcoming fiscal year under subsection (a) is the 
     result of this calculation.''.
       (b) Conforming Amendment.--The analysis for chapter 453 is 
     amended by inserting at the end the following:

``45305. Transitional fee for users of air traffic control services.
``45306. Adjustment of certain aviation excise taxes.''.

         PART II--COAST GUARD VESSEL NAVIGATION ASSISTANCE FEE

     SEC. 821. COAST GUARD VESSEL NAVIGATIONAL ASSISTANCE FEE.

       (a) In General.--Section 2110 of title 46, United States 
     Code, is amended--
       (1) by amending subsection (b) to read as follows:
       ``(b)(1) Commencing in fiscal year 2000, the Secretary may 
     establish, adjust, assess, and collect annual fees or charges 
     to recover a portion of the costs of navigation services 
     provided to commercial vessels by the Coast Guard. The fees 
     or charges shall be collected from the owner or operator of 
     each commercial vessel that is operated on the navigable 
     waters of the United States.
       ``(2) Fees authorized under this subsection shall be 
     available for obligation only to the extent and in the amount 
     provided in advance in appropriation Acts.
       ``(3) From amounts collected pursuant to paragraph (1), 
     there are authorized to be appropriated to the Secretary of 
     the department in which the Coast Guard is operating, to 
     remain available until expended and ascribed to the Coast 
     Guard, such sums as may be necessary for fiscal year 2000 and 
     for each fiscal year thereafter.
       ``(4)(A) Fees authorized under this subsection may vary or 
     be allocated to reflect the costs of navigation services 
     provided to different classifications of commercial vessels 
     or vessel owners or operators, taking into account factors 
     such as the type of navigation services made available; type, 
     size, and capacity of the vessel; type and amount of cargo 
     carried; type of port or region; economic efficiency; fair 
     distribution of common costs; and other factors the Secretary 
     considers appropriate. The total of fees or charges imposed 
     shall not exceed the total costs of navigation services used 
     or usable by all vessel classifications combined, including 
     the costs of administering, collecting, and enforcing the 
     fees.
       ``(B) Fees authorized under this subsection--
       ``(i) may be waived or reduced by the Secretary, if in the 
     public interest; and
       ``(ii) shall be subject to the limitations prescribed in 
     paragraphs (3) through (5) of subsection (a) of this section.
       ``(5) Notwithstanding sections 553(b) and 553(c) of title 
     5, the Secretary shall prescribe by interim final rule an 
     initial schedule of fees and the procedures for payment and 
     collection, which shall be effective without the necessity 
     for consideration of comments received. However, public 
     comment on the interim final rule shall be sought and 
     considered before a final rule is promulgated.
       ``(6) In this subsection--
       ``(A) `commercial vessel' means a vessel used in 
     transporting goods or individuals by water for compensation 
     or hire or in the business of the owner, lessee, or operator 
     of the vessel, but does not include a public vessel, a vessel 
     deemed to be a public vessel under section 827 of title 14, a 
     recreational vessel, a ferry, or a fishing vessel; and

[[Page H10223]]

       ``(B) `navigation services' means activities and facilities 
     used to make available or provide placement and maintenance 
     of buoys and other short-range aids to navigation, vessel 
     traffic services, radio and satellite navigation systems, 
     waterways regulation, or other services that facilitate 
     navigation of commercial vessels, as determined by the 
     Secretary.'';
       (2) in subsection (e) by inserting after ``violation'' the 
     following: ``, except that in the case of a fee or charge 
     established under subsection (b) of this section, the civil 
     penalty shall be not less than twice the amount of the fee or 
     charge due under subsection (b)'';
       (3) in subsection (h) by inserting after ``section'' the 
     following: ``(except those collected pursuant to subsection 
     (b)(1) of this section)''; and
       (4) in subsection (k) by inserting after the first sentence 
     the following: ``This subsection does not apply to a 
     regulation that would promulgate a user fee specifically 
     authorized by law after November 13, 1998.''.
       (b) Effective Date of Fees.--No fee shall be collected 
     under the amendments made by subsection (a) until 30 days 
     after the effective date of interim final regulations 
     promulgated pursuant to those amendments.

        PART III--HAZARDOUS MATERIALS TRANSPORTATION SAFETY FEES

     SEC. 831. HAZARDOUS MATERIALS TRANSPORTATION SAFETY FEES.

       Section 5108 of title 49, United States Code, is amended--
       (1) by striking subsection (b)(1)(C) and inserting the 
     following:
       ``(C) each State in which the person carries out any of the 
     activities.'';
       (2) by striking subsection (c) and inserting the following:
       ``(c) Filing Schedule.--Each person required to file a 
     registration statement under subsection (a) of this section 
     shall file that statement in accordance with regulations 
     issued by the Secretary.'';
       (3) in subsection (g)(1), by striking ``may'' and inserting 
     ``shall'';
       (4) in subsection (g)(2)(A), by striking ``$250 but not 
     more than $5,000'' and inserting ``$500'';
       (5) in subsection (g)(2)(A), by striking ``subparagraph 
     (B)'' and inserting ``subparagraph (E)'';
       (6) in subsection (g)(2)(A)(viii), by striking ``sections 
     5108(g)(2), 5115, and 5116'' and inserting ``chapter 51 
     (except sections 5109, 5112, and 5119)'';
       (7) by striking subsections (g)(2)(B) and (g)(2)(C) and 
     inserting the following:
       ``(B) At the beginning of each fiscal year, the Secretary 
     shall publish a fee schedule for the fee established under 
     this paragraph. The fee schedule shall be designed to collect 
     the following amounts:
       ``(i) Amounts authorized for that fiscal year, from amounts 
     in the account established under section 5116(i), to carry 
     out sections 5116(a), 5116(i), and 5116(j).
       ``(ii) Amounts appropriated to the Research and Special 
     Programs Administration (RSPA) for that fiscal year from 
     amounts collected under subsection (g)(2)(B)(ii).
       ``(iii) Amounts appropriated to RSPA for that fiscal year, 
     from amounts in the account established under section 
     5116(i), to carry out sections 5107(e) and 5115.
       ``(iv) Amounts authorized for that fiscal year, from 
     amounts in the account established under section 5116(i), for 
     publication and distribution of the North American Emergency 
     Response Guidebook.
       ``(C) The Secretary shall transfer to the Secretary of the 
     Treasury all funds received by the Secretary under this 
     paragraph, except the amounts appropriated to RSPA from 
     amounts collected under subsection (g)(2)(B)(ii), for deposit 
     in the account the Secretary of the Treasury established 
     under section 5116(i).
       ``(D) Fees authorized under subsection (g)(2)(B)(ii) shall 
     be available for obligation only to the extent and in the 
     amount provided in advance in appropriations Acts. Such fees 
     are authorized to remain available until expended.
       ``(E) The Secretary shall adjust the amount collected under 
     subsection (g)(2)(B) to reflect any unexpended balance in the 
     account established under section 5116(i). However, the 
     Secretary is not required to refund any fee collected under 
     this paragraph.''; and
       (8) in subsection (i)(2)(B), by striking ``State,'' and 
     inserting ``State, an Indian tribe,''.

            PART IV--COMMERCIAL ACCIDENT INVESTIGATION FEES

     SEC. 841. COMMERCIAL ACCIDENT INVESTIGATION USER FEES.

       (a) In General.--Chapter 11 of title 49, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 1120. Commercial accident investigation fees

       ``(a) In General.--
       ``(1) Authority.--A fee for service to offset, on an annual 
     basis and to the extent provided in this subsection, the 
     costs of investigation of commercial transportation accidents 
     and incidents, may be collected by the United States 
     Government as specified in this section.
       ``(2) Use and availablity.--Except as provided under 
     paragraph (4), fees authorized under this section shall be 
     available for obligation, to remain available until expended, 
     only to the extent and in the amount provided in advance in 
     appropriations Acts for the investigation by the National 
     Transportation Safety Board of accidents involving air, ocean 
     and inland waterways, and rail carriers.
       ``(3) Deposit.--Each fee collected under this section shall 
     be deposited as an offsetting collection to the account that 
     is the source of funds used to pay the costs of accident 
     investigations.
       ``(4) Excess amounts.--Notwithstanding paragraphs (2) and 
     (3), amounts collected under this section that exceed 
     $10,000,000 in any fiscal year shall be transferred to the 
     emergency fund established under section 1118(b), and shall 
     be available until expended for unforeseen costs attributable 
     to investigations by the National Transportation Safety Board 
     of extraordinary accidents involving air, ocean and inland 
     waterways, and rail carriers.
       ``(b) Aircraft Accident Investigation Fee.--To the extent 
     that a fee for service is newly imposed on the operation of a 
     commercial aircraft in United States airspace (or on a flight 
     segment to or from the United States) by the Administrator of 
     the Federal Aviation Administration after September 30, 1999, 
     the amount of the fee shall, in fiscal year 2000 and each 
     succeeding fiscal year in which the fee is imposed, be 
     automatically increased under the authority of this section 
     by a pro rata amount that allocates over the total fees 
     imposed on an aircraft for the fiscal year, the amount that 
     is equivalent to the revenue hours of service of the aircraft 
     in United States airspace (or on a flight segment to or from 
     the United States) during the fiscal year, multiplied by 
     $00.60.
       ``(c) Railroad Accident Investigation Fee.--To the extent 
     that a fee for service is newly imposed on the operation of a 
     rail carrier, as defined in section 10102 of this title, by 
     the Secretary of Transportation after September 30, 1999, the 
     amount of the fee shall, in fiscal year 2000 and each 
     succeeding fiscal year in which the fee is imposed, be 
     automatically increased under the authority of this section 
     by a pro rata amount that allocates over the total fees 
     imposed on the rail carrier for the fiscal year, the amount 
     that is equivalent to the number of train miles of the rail 
     carrier for the fiscal year, multiplied by $00.00313.
       ``(d) Commercial Vessel Accident Investigation Fee.--To the 
     extent that a fee for service is newly imposed by statute on 
     the use of port facilities at harbors within the United 
     States by commercial vessels after September 30, 1999, the 
     amount of the fee shall, in fiscal year 2000 and each 
     succeeding fiscal year in which the fee is imposed, be 
     automatically increased under the authority of this section 
     by a pro rata amount that allocates over the total fees 
     imposed on the commercial vessel for the fiscal year, the 
     amount this is equivalent to the number of vessel movements 
     of the vessel during the fiscal year, multiplied by 
     $00.09.''.
       (b) Conforming Amendment.--The analysis for subchapter II 
     of chapter 11 of title 49, United States Code, is amended by 
     inserting at the end the following:

``1120. Commercial accident investigation user fees.''.

             PART V--SURFACE TRANSPORTATION BOARD USER FEES

     SEC. 851. SURFACE TRANSPORTATION BOARD USER FEES.

       Section 705 of title 49, United States Code, is amended--
       (1) by inserting ``(a) Authorizations.--'' before ``There'' 
     at the beginning of the section;
       (2) by striking ``and'' at the end of paragraph (2);
       (3) by striking the period at the end of paragraph (3) and 
     inserting ``; and''; and
       (4) by adding after paragraph (3) the following:
       ``(4) $17,000,000 for fiscal year 2000, which shall be 
     derived from fees collected in the fiscal year by the Board.
       ``(b) User Fees and Charges.--
       ``(1) In general.--Beginning in fiscal year 2000, the Board 
     is authorized to assess and collect fees and annual charges 
     in each fiscal year in amounts equal to all of the costs 
     incurred by the Board in that fiscal year.
       ``(2) Amount.--The amount of fees and charges imposed by 
     the Board under this subsection shall be computed using 
     methods that the Board determines, by rule, to be fair and 
     equitable.
       ``(3) Use and availability.--Fees authorized under this 
     section shall be available for obligation, to remain 
     available until expended, only to the extent and in the 
     amount provided in advance in appropriation Acts.''.

                     PART VI--RAIL SAFETY USER FEES

     SEC. 861. RAIL SAFETY INSPECTION USER FEES.

       Section 20115 of title 49, United States Code, is amended--
       (1) in subsection (a)--
       (A) by striking ``chapter'' in the first sentence and 
     inserting ``part''; and
       (B) by amending paragraph (1) to read as follows:
       ``(1) shall cover the costs incurred by the Federal 
     Railroad Administration in carrying out this part and chapter 
     51 of this title;'';
       (2) by amending subsection (c) to read as follows:
       ``(c) Collection, Deposit, and Use.--(1) The Secretary is 
     authorized to impose and collect fees under this section for 
     each fiscal year (beginning with fiscal year 2000) before the 
     end of the fiscal year to cover the costs of carrying out 
     this part and Federal Railroad Administration activities in 
     connection with chapter 51 of this title.
       ``(2) Fees authorized under this section shall be available 
     for obligation only to the

[[Page H10224]]

     extent and in the amount provided in advance in 
     appropriations Acts. Such fees are authorized to be 
     appropriated to remain available until expended.''; and
       (3) by striking subsections (d) and (e).

                      TITLE II--BUDGET PROVISIONS

     SEC. 2001. REDUCTION OF PREEXISTING BALANCES ON PAYGO 
                   SCORECARD.

       Upon the enactment of this Act, the Director of the Office 
     of Management and Budget shall--
       (1) reduce any balances of direct spending and receipts 
     legislation for fiscal year 2000 under section 252 of the 
     Balanced Budget and Emergency Deficit Control Act of 1985 to 
     zero; and
       (2) treat the amount of any balances so reduced as negative 
     discretionary budget authority and outlays for fiscal year 
     2000 under section 251 of such Act.

  The SPEAKER pro tempore (Mr. Calvert). Pursuant to the rule, the 
gentleman from Kentucky (Mr. Lewis) and the gentleman from New York 
(Mr. Rangel) each will control 20 minutes.


                         Parliamentary Inquiry

  Mr. RANGEL. Mr. Speaker, parliamentary inquiry.
  The SPEAKER pro tempore. The gentleman will state his parliamentary 
inquiry.
  Mr. RANGEL. Mr. Speaker, is this a tax bill?
  The SPEAKER pro tempore. The Chair cannot construe the bill. The bill 
will be reported, and the Clerk will report the title of the bill.
  The Chair recognizes the gentleman from Kentucky (Mr. Lewis).


                             General Leave

  Mr. LEWIS of Kentucky. Mr. Speaker, I ask unanimous consent that all 
Members may have 5 legislative days within which to revise and extend 
their remarks and to include extraneous material on H.R. 3085.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Kentucky?
  There was no objection.
  Mr. LEWIS of Kentucky. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, it was not too many years ago in the State of the Union 
message that the President said that the era of big government is over. 
But since that time, the President has not lived up to those remarks.
  The President currently would like to see a tax increase. The 
President would like to spend more money than what is available. And 
the President has only two or three choices.
  Yesterday, the President vetoed a foreign aid bill because it did not 
spend enough money. He wanted an extra 2 or 3 billion dollars to spend. 
Mr. Speaker, the money that the President wants to spend should not be 
taken and spent on the backs of the people less able to spend that 
money.
  This resolution today I stand in opposition to, because the American 
people are spending too much of their money in tax dollars now. The 
average family spends 40 percent of their income in local, State, and 
Federal taxes. The average family spends more money in taxes than they 
do in food and clothing and other necessary needs.
  Mr. Speaker, I oppose this resolution; and I ask that the Congress 
reject any more taxes and any more spending by the President of the 
United States.
  Mr. Speaker, I yield the balance of my time to the gentleman from 
Nebraska (Mr. Terry) and ask unanimous consent that he be permitted to 
yield further blocks of time.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Kentucky?
  There was no objection.
  Mr. RANGEL. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I had asked earlier whether this was a tax bill. Having 
been privileged to serve on the tax writing committee for over 20 
years, I was under the impression that revenue bills went to the 
Committee on Ways and Means. And if we are changing these rules and the 
revenue bills now come out of the Committee on Rules, there are some 
Democrats who have revenue bills and they just want to know which 
committee to go to in order to see how they can get them reported to 
the floor.
  Now, it is my understanding that this afternoon the Republican 
leadership will be meeting with the President of the United States for 
the purpose of seeing whether or not they can negotiate some solution 
to the budget problems that the leadership, for lack of a better word, 
have found themselves with on the other side of the aisle.
  I cannot possibly see how they think that bringing up a bill for the 
sole purpose of embarrassing the President can help them in this 
effort.
  As I understand this bill, which comes out of the Committee on Rules, 
they would want to raise $100 billion over a 5-year period and say that 
these are the President's revenue raises.
  Well, it seemed to me that if the President did have tobacco taxes 
and the President did have user taxes and that these were pulled out of 
a budget that these revenue raises must have been attached to 
something. In other words, the President must have said that these 
monies should be used to pay for prescription drugs. The President must 
have said that this money should be used to improve the quality of our 
educational system.
  But no one puts together a budget and talks about raising revenue 
unless it is for a purpose that has not been legislated. But this is 
very unusual because a Member of this body has decided that he wants to 
raise $20 billion a year and then come to the floor and ask the House 
to vote against this bill.
  Now, I know and have come to understand why we would want to have 13 
months in a year. I have come to understand why we would want to have 
across-the-board cuts. I have come to understand anything that they 
want us to understand because they are in the leadership.
  But I do hope that before this debate is over that they might be able 
to explain to those American people who are not legislators why, in 
God's name, they would attempt to say that they want to raise taxes by 
$20 billion a year, why would they want to attribute to the President 
of the United States while their leadership is supposed to meet with 
them, and why is it that they do not want to do anything good in this 
bill, such as improving the quality of education or paying for 
prescription drugs.
  So, Mr. Speaker, I can see why this did not come through the tax 
writing committee because they do not intend to raise taxes, they just 
intend to talk about taxes. But no matter what they do, they are going 
to be remembered for a $792 billion tax bill. If they want to be 
remembered about taxes, they do not need these little gimmicks, just 
stick by their guns and say, surplus or not, we still support a tax cut 
for $792 billion.
  If they do this, they do not have to go to the suspension calendar, 
they do not have to go to suspended rules, but they will be remembered 
for what they want and not just $20 billion.
  Mr. Speaker, I reserve the balance of my time.
  Mr. TERRY. Mr. Speaker, I yield myself 3 minutes.
  Mr. Speaker, the recent drumbeat of criticism coming from the White 
House has been hard to miss. Simply put, the President does not like 
the fact that Congress will not go along with his tax increases to pay 
for new government spending.
  It is disappointing that all this noise has drowned out the attention 
to all of these new taxes and fees the President himself has proposed, 
more than $19 billion for this next fiscal year and about $240 billion 
over the next 10 years.
  I introduced this bill so Members would have the formal opportunity 
to express their views on the President's new taxes and fees and so 
instruct our leadership.
  Now, in fact, the taxes and fees included in this bill are only the 
offsets to the President's new discretionary spending. I should also 
note that he has proposed other taxes on nonprofit organizations, life 
insurance, bond insurers, and other businesses.
  Well, it is time to put up or shut up. Let me tell my colleagues some 
of the things that are in this bill. At a time when our hospitals and 
seniors are being squeezed, the President wants to charge a $1 filing 
fee for claims submitted to HCFA and cut services to seniors by another 
$1.3 billion. The President also wants to impose $504 million in new 
livestock, poultry, and egg inspection fees. Airline carriers and 
passengers would pay an additional $1.3 billion in new user fees. I can 
go on and on.
  It is sad enough that the President vetoed the bill that would have 
given back taxpayers a small part of the

[[Page H10225]]

 amount that they are overcharged to run this Federal Government. The 
veto, along with all of these new taxes and fees, shows the mantra of 
the administration is more, more taxes, more user fees, more 
government.
  Over the next 10 years, it is a trillion-dollar swing, $792 billion 
in tax cuts added on with $238 billion in new taxes.
  I, for one, plan to signal the appropriators that they should reject 
the President's new taxes and fees. If they find the President's 
proposals as ludicrous as I do, I urge them to vote ``no'' on this 
bill.
  Mr. Speaker, I reserve the balance of my time.
  Mr. RANGEL. Mr. Speaker, I yield the balance of the time to the 
gentleman from Washington (Mr. McDermott) the senior member of the tax 
writing committee of the Committee on Ways and Means and also a member 
of the Committee on the Budget, and I ask unanimous consent that he be 
allowed to yield blocks of time.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from New York?
  There was no objection.
  Mr. McDERMOTT. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, I do not hold the freshmen Members who are sponsors of 
this legislation responsible for this. This is clearly the brilliant 
thinking of the leadership of the side that thought, if we turn down 
the Comprehensive Test Ban Treaty, everybody will think we are for 
America; and now they think if they can embarrass the President that 
somehow, when they go up to negotiate an hour or two from now, because 
they slapped him in the face, he will be a lot more amenable to a 
discussion.
  Now, there is an old saying where I come from that ``you get a lot 
more with honey than do you with vinegar.'' And from people who have 
turned down Medicare reform, October 14 in The Washington Post it says, 
``House leadership shelves attempt to do Medicare reform,'' for people 
who are doing that and then to come out here and put a bill on the 
floor that says to the Democrats, why do they not vote for a hundred 
billion dollars and give it to us to spend, I do not know who is that 
dumb to come up with that idea, but they ought to get them out of the 
leadership. Because we are not going to vote for any taxes if we do not 
know what it is going to be spent for.
  As the gentleman from New York (Mr. Rangel) says, when the President 
brought the package out here, he said, here is what I think we should 
spend it on and here is where we get it from. But I thank them for the 
opportunity to vote ``no'' on taxes. We do not often get that chance. 
So I thank them for their help today.
  Mr. Speaker, I reserve the balance of my time.
  Mr. TERRY. Mr. Speaker, I yield 3 minutes to my friend, the gentleman 
from South Carolina (Mr. DeMint) the cosponsor of this bill.
  Mr. DeMINT. Mr. Speaker, I will remind the other side that they have 
had a chance to vote for tax cuts and they voted against them already 
this year.
  Mr. Speaker, as a first-year congressman, I have been amazed at how 
many times I had have seen the President and Vice President say one 
thing in front of cameras and then step away from the cameras and do 
the exact opposite.
  When the President talked about his budget this year, he said that 
his first priority was to protect Social Security and Medicare. But 
when he sent his budget to Congress, we saw that he was spending Social 
Security funds on other programs and even cutting Medicare. He even 
proposed new taxes and fees on the American people.
  Democrats and Congress joined him in talking about this great plan. 
So Republicans called their bluff. We put the Clinton-Gore budget on 
the House floor for a vote. This time the cameras saw the truth.
  Only two Members of the House would vote for the President's budget. 
Republicans have balanced the budget and begun to pay down the public 
debt without spending one dime of Social Security and Medicare money 
this year, and we are going to secure the future for every American by 
doing the same thing next year and every year after that that Americans 
allow us to lead this Congress.
  But the President, Vice President, and Democrats are at it again. 
They want more spending, including $4 billion more for foreign aid. 
Instead of reducing Washington waste, the President and Vice President 
have proposed $240 billion in new taxes and fees over the next 10 years 
to pay for more government programs.
  It is time we keep the promises to our own citizens and stop taking 
more of their hard-earned money for more Government waste. The 
President is in front of the cameras again defending his spending 
plans, and his friends in the House are there with him.

                              {time}  1345

  We are calling their bluff again. We are putting the President's 
proposed tax increases on the floor for a vote today so the cameras can 
see the truth. I will vote ``no,'' because these taxes and fees hurt 
farmers, they hurt students, they hurt needy families, and they hurt 
all Americans.
  I urge all of my colleagues to vote ``no'' on this resolution that 
shows what the President is really trying to do.
  Mr. McDERMOTT. Mr. Speaker, I yield 2 minutes to the gentleman from 
South Carolina (Mr. Spratt) who is the ranking member on the Committee 
on the Budget.
  (Mr. SPRATT asked and was given permission to revise and extend his 
remarks.)
  Mr. SPRATT. I thank the gentleman for yielding me this time.
  Mr. Speaker, this bill is nothing but a distraction from Congress's 
real work. We are 19 days from the new fiscal year and only five out of 
13 appropriations bills have been signed into law. Eight remain to be 
enacted. But instead of doing its work, the House is wasting its time 
taking up this pointless bill which has no possibility of passage.
  What we have before us are revenue offsets that the President 
proposed last February in his budget. They come to the floor under 
suspension, we cannot amend them, and the House is being made to vote 
on these offsets in total isolation from the President's proposals, his 
initiatives. The President offered these offsets, among other things, 
to defray the cost of hiring more teachers, 100,000 more teachers to 
reduce class size and putting more cops on the street. We do not get to 
vote for that, we only vote for the revenues and have no idea where 
they might be applied.
  When you ask yourself why this bill under these procedures is being 
brought up, you can only conclude this is a red herring. It is offered 
to draw attention from the fact that CBO has said that when you back 
all the gimmicks out of the bill before us, the majority has already 
spent more than the discretionary spending caps allow and in fact is 
$23.8 billion into the Social Security surplus. To get around this 
problem, they have proposed some offsets of their own. For example, 
they proposed a $3 billion hit on the TANF fund, but the Republican 
governors protested and it was quickly dropped.
  Then they proposed to pass the DeLay amendment, $9 billion. It took a 
hit on working families with children, stretched out their earned 
income tax payments, and it met with instant rebuke from none other 
than the Republicans' own likely presidential nominee, Mr. Bush. 
Governor Bush said, ``You're trying to balance the budget on the backs 
of poor people.''
  Now they are talking about across-the-board cuts. But to raise $23.8 
billion in across-the-board cuts, they would have to cut across the 
board 6.6 percent.
  Unless we want to spend the rest of this month in pointless bills 
like this, we need to put aside our differences and work together to 
bridge this gulf. The President has invited the congressional 
leadership to the White House today to discuss ways to break this 
deadlock. The meeting will take place tonight and it is a welcome first 
step. But this is no way to begin the process of getting together on 
something that has to be done.
  Mr. TERRY. Mr. Speaker, I yield 2 minutes to the gentleman from Texas 
(Mr. DeLay), the majority whip.
  Mr. DeLAY. Mr. Speaker, I appreciate the gentleman bringing this 
resolution to show the truth to the American people, the real truth in 
real terms, not the numbers that we just heard that are not real 
numbers. They

[[Page H10226]]

are concocted numbers by the Democrats because they have nothing to 
offer except higher taxes and more spending and they want to spend the 
Social Security surplus.
  The President himself at the first of this year said that he wanted 
to spend 40 percent of the Social Security surplus. In the last few 
days he has come off of that. That is good. We welcome the President 
coming our way. But he will not come off of his new taxes. He has 
schemes to raise new taxes that we just heard. They either call them 
offsets or tough choices.
  Not surprisingly, the President wants to increase spending. So the 
administration has concocted a laundry list of new taxes and user fees 
of all kinds to cover some of it. Tough choices, they say.
  This taxing and spending has to stop. The American people want it 
stopped. Tough decisions need to be made to restrain spending, not 
increase it. The demagogues on the left, Mr. Speaker, always like to 
claim that Republican legislation hurts the poor, but overtaxation is 
one of the main factors that prevents the working poor from moving up. 
We must not add to the burden already on the backs of working 
Americans.
  We have surpluses. Can we not restrain ourselves to just spend the 
surpluses? But that is not good enough. They want more spending, above 
the surpluses, and they want to raise taxes to pay for it. Surpluses 
mean overtaxation. That means the American people are paying more than 
we need to run the government.
  Mr. Speaker, Americans need tax cuts, not tax hikes. I urge all of my 
colleagues to vote against these outrageous tax increases on the 
American people.
  Mr. McDERMOTT. Mr. Speaker, I yield 3 minutes to the gentleman from 
Missouri (Mr. Gephardt), the leader of the Democratic side.
  (Mr. GEPHARDT asked and was given permission to revise and extend his 
remarks.)
  Mr. GEPHARDT. Mr. Speaker, this is not a serious attempt to resolve 
the budget which we should be doing. It is frankly a stunt. It is 
another gimmick. It is another way to not address the serious issues 
that are before us.
  The Republicans say that the Republican budget does not spend Social 
Security. The Congressional Budget Office already says that at least 
$14 billion we are into Social Security under the Republican-passed 
appropriation bills. If we take out the unfair earned income credit 
proposal, it is over $20 billion that we have already gone into Social 
Security funds under the Republican-passed appropriation bills.
  The President did have tax increases in his budget, offsets, whatever 
we want to call them. They were within an integrated budget. That 
budget did not pass the House. We are operating under a budget passed 
by the Republicans. The Republicans say that they pledged never to 
raise taxes, they pledged never to spend Social Security money. It has 
already been done in the bills that have been passed. I am even told 
there are ads running in districts saying that the Democrats somehow 
did this.
  It is time to stop the stunts. It is time to stop the gimmicks. It is 
time to stop trying to say that we are doing something or not doing 
something that we are doing. We all know the budget issues. There are 
answers to these problems that we can reach on a bipartisan basis. 
There is going to be a meeting this afternoon in the White House. Maybe 
the beginning of that discussion can go on.
  What we owe the American people is honesty, what we owe the American 
people is a budget that saves Social Security, that puts money into 
Medicare which is needed, which takes care of education, which takes 
care of the 100,000 police that we so desperately need in every 
community. These are the issues that we should be addressing.
  If we were serious about addressing the budget, a proposal like this 
one on the floor today would have gone through committee, would have 
been related to an entire budget and would have been a part of a new 
budget that we would be bringing to the floor today because the budget 
we passed cannot be implemented in the way we thought it was going to 
be implemented.
  So let us stop the stunts. Let us stop the gimmicks. Vote against 
this proposal. Let us get down to work. Let us go to the White House 
today and sit down and see if we can work this out and make sense of 
it. Working in a bipartisan way and in an honest way with the American 
people, we ought to be able to get this done.
  Mr. TERRY. Mr. Speaker, I yield 2 minutes to the gentleman from 
California (Mr. McKeon), chairman of the Subcommittee on Postsecondary 
Education, Training and Life-Long Learning.
  Mr. McKEON. Mr. Speaker, last fall the President signed the Higher 
Education Amendments of 1998 into law after overwhelming bipartisan 
votes in both the House and the Senate. Three months later in their 
budget submission, the administration was back proposing deep cuts in 
the student loan program designed to jeopardize the lender-based 
Federal family education loan program.
  Lenders, in cooperation with guaranty agencies, have served students, 
families and institutions for 30 years. They currently provide $25 
billion annually for new student loans. This represents 70 percent of 
all student loans made each year. The administration's proposal to 
recall all the remaining reserve funds held by guaranty agencies does 
nothing more than severely hamper the ability of these agencies to 
provide quality services to students and their families as well as 
institutions of higher education and lenders participating in the 
program. At the same time, it gives the Department of Education more 
money to spend on promoting the direct student loan program and other 
initiatives of the President that are not supported by a majority of 
the Congress.
  The Balanced Budget Act of 1997 and the Higher Education Amendments 
of 1998 included the recall of more than one-half the reserve funds 
held by the guaranty agencies. The remaining reserve funds may only be 
used for the payment of insurance claims filed by lenders in the event 
a student fails to pay his or her student loan.
  I believe that allowing guaranty agencies to retain some reserve 
funds is a prudent course of action. Lenders are not going to invest 
the $25 billion annually if they have concerns about being paid in a 
timely fashion when a student fails to pay on a loan.
  The Higher Education Amendments of 1998 included several provisions 
designed to promote cost effectiveness in the administration of the 
student loan program by lenders and guaranty agencies. In order to see 
results, we must give the newly restructured financing plan included in 
the amendments time to work. Any changes in costs or revenues as 
proposed by the President may cause the failure of many of these 
entities and then we will have a true crisis in the availability of 
student loans for students across the country.
  I urge my colleagues to reject this offset by the administration and 
vote down this legislation.
  Mr. McDERMOTT. Mr. Speaker, I yield 2 minutes to the gentleman from 
Maryland (Mr. Cardin).
  (Mr. CARDIN asked and was given permission to revise and extend his 
remarks.)
  Mr. CARDIN. Mr. Speaker, I rise in opposition to this misguided 
attempt to represent the President's budget. Rather than distorting the 
President's budget proposal, we should be working together to find a 
bipartisan solution to the budget problems.
  The debate over the appropriate level of discretionary spending ties 
into the Republican leadership's repeated promises not to threaten 
Social Security. But these promises fly in the face of the 
Congressional Budget Office analysis which shows that the Republicans 
have already spent tens of billions of dollars of Social Security 
money. They have used every accounting gimmick ever devised, and come 
up with a few new ones, including the infamous 13th month and 
designating the constitutionally-required census as an emergency. At 
the same time, they have criticized the President and those of us on 
this side of the aisle who strongly support adequate funding for 
education, environmental protection, housing, the Middle East peace 
process, and other priorities of the American people.
  Yet the amount of funding under discussion on the appropriation bills 
is dwarfed by the great Social Security raid of 1999. That legislation, 
which the

[[Page H10227]]

 Republican leadership put forward under the title the Taxpayer Refund 
and Relief Act, simply backed the truck up to the Treasury and emptied 
it. That plan to cut taxes by $792 billion over 10 years represented a 
severe threat to the future solvency of Social Security. Fortunately, 
the President vetoed the tax bill. That veto occurred a month ago, on 
September 23. We have had the veto message 26 days. While the majority 
has found time to schedule this meaningless bill this afternoon, 
somehow it has not found time to schedule the vote on the President's 
veto. The tax bill, the crown jewel of the majority's legislative 
agenda for the year, remains bottled up in the Committee on Ways and 
Means collecting dust.
  After we complete this debate, I will offer a privileged motion to 
discharge the Committee on Ways and Means from further consideration of 
the tax bill. I would hope that my Republican colleagues will take this 
opportunity to demonstrate their newfound commitment to preserve Social 
Security by voting to sustain the President's veto.
  Mr. TERRY. Mr. Speaker, I yield 1 minute to the gentleman from 
California (Mr. Pombo), the chairman of the Subcommittee on Livestock 
and Horticulture of the Committee on Agriculture.
  Mr. POMBO. I thank the gentleman for yielding me this time.
  Mr. Speaker, this debate is not about diversion or delay. This debate 
is about tough choices. We saw the President's spin machine out all 
weekend long talking about tough choices, but they did not want to tell 
people what those tough choices were. Those tough choices include a 
massive tax increase. One of those tax increases is a tax increase on 
the meat producers across this country. The bulk of that $500 million 
tax increase is going to come out of the hide of our producers all 
across this country.
  Now, for Members that represent farm States that have substantial 
livestock production in their States, they have got to know that this 
is going to be a tax directly on those producers. At a time when we 
have historic lows in prices, when we have an extremely difficult time 
for our livestock producers to make it, to break even on their product, 
we are talking about increasing their taxes.
  That is one of the tough choices that the President keeps talking 
about. That is one of the things that he wants to lump on all of us. I 
think that everybody ought to have a chance to vote on that tough 
choice.

                              {time}  1400

  Mr. McDERMOTT. Mr. Speaker, I yield 2 minutes to the gentleman from 
North Carolina (Mr. Price).
  (Mr. PRICE of North Carolina asked and was given permission to revise 
and extend his remarks.)
  Mr. PRICE of North Carolina. Mr. Speaker, there are a couple of 
strong hints that should make people suspicious as the majority brings 
this bill to the floor--hints that this bill is nothing more than a 
cynical effort to embarrass the President.
  First, we are being asked to consider the offsets from the 
President's budget but with no mention, no consideration, of the 
funding priorities for which the President proposed the offsets in the 
first place. Priorities like extending the solvency of Social Security 
and Medicare, providing the resources to hire new police officers and 
new teachers, and funding to allow States and localities to preserve 
land for conservation or recreation.
  The second hint that this bill is a farce and an attempt to distract 
us from the real issues is apparent when we consider what our 
Republican friends are not saying, in fact what they are studiously 
avoiding mentioning, namely, the spending offsets that they have 
themselves proposed.
  First, remember, they proposed taking away $3 billion dollars in TANF 
funds, funds dedicated to moving people off of welfare and on to work, 
but the Republican governors objected, so they backed off from that.
  Then they engineered the passage in the Appropriations Committee of 
an amendment to delay the payments of earned income tax credit benefits 
to the working poor. This was nothing less than a tax increase on the 
working poor, people who work hard every day and struggle to make ends 
meet. Governor George W. Bush objected to that, you will recall, so 
they now have pulled that proposal back.
  And now our Republican friends are talking about across-the-board 
spending cuts to appropriations bills. They need to find $23 billion in 
savings. That would require 6.6 percent across the board cuts in all 
programs, for example $18.2 billion in defense and $1.4 billion in 
veterans health care, and even more if we exempt those categories, so 
that cuts in Head Start, health research, education, environmental 
protection, and other critical programs would be even deeper.
  Instead of today's cynical effort to embarrass the President, the 
majority should be working with the minority to produce conference 
reports on the remaining appropriations bills which can gain bipartisan 
support and be signed into law by the President. We did it with the VA-
HUD appropriations bill; there is no reason why we cannot do it with 
these remaining appropriations bills.
  We need to stop the political grandstanding, and we need to deal 
honestly and in good faith with the fiscal situation that our country 
faces.
  Mr. TERRY. Mr. Speaker, I yield 1 minute to the gentleman from 
Pennsylvania (Mr. Toomey).
  Mr. TOOMEY. Mr. Speaker, I thank my colleague from Nebraska for 
yielding this time to me.
  Mr. Speaker, when one considers the overall context of the Federal 
budget in our national economy, it is really just incredible that the 
President wants to raise taxes.
  First of all, Federal spending is higher than it has ever been. Thus, 
government is bigger than it has ever been. Federal taxes are higher 
than they have ever been in peace time, consuming almost 21 percent of 
our Nation's entire economic output, and even after we set aside all of 
the Social Security funds for Social Security and for retiring the 
debt, we still have unprecedented surpluses projected as far as the eye 
can see.
  Now when taxpayers are paying more than it takes to fund the biggest 
Federal Government in history, when paying more than it takes to retire 
$2 trillion in debt; in fact, paying a trillion dollars more over the 
next 10 years than it takes to do all of that, Mr. Speaker, it is 
obvious to me that taxes are too high. For the President to propose 
adding to this record high tax burden is frankly outrageous.
  We need to lower taxes and restore to working Americans the freedom 
to decide how they want to spend their own money, not raise their 
taxes.
  Mr. McDERMOTT. Mr. Speaker, I yield 2 minutes to the gentleman from 
Michigan (Mr. Levin).
  Mr. LEVIN. Mr. Speaker, the American public is crying out to the 
majority: stop the posturing. They want production when it comes to the 
budget, not more politics; and the Republican majority here simply has 
not produced.
  As my colleagues know, there is something unreal about all this. We 
are 3 weeks into a new fiscal year, and they are still stuck in the mud 
on appropriations bills.
  This particular legislation is a smoke screen. It is an effort to 
hide, first of all, their ineptitude; secondly, the fact that they, the 
Republican majority, has already, already incurred into Social Security 
funds is also a smoke screen to attempt to hide their inability to act 
on key issues, education, Social Security reform, Medicare.
  The public can see through this smoke screen, and they can spend ten 
millions of dollars on television, and it will not work. There are 
three words that I think apply to them in this bill: stop the 
posturing.
  Mr. TERRY. Mr. Speaker, I yield 1 minute to the gentleman from 
Delaware (Mr. Castle).
  Mr. CASTLE. Mr. Speaker, I thank the gentleman for yielding this time 
to me; and, Mr. Speaker, I also rise in opposition to H.R. 3085, and I 
disagree somewhat with the tenor of what we have heard here today. The 
way I look at it, there are two ways to really balance the budget. One 
is we can take all our spending and try to get it down inside of the 
revenues which we have for that year.
  The other way, and that is what Republicans are trying to do, the 
other way is that we can spend all the money that we have in revenues 
and then add more money to it. To do that we have

[[Page H10228]]

to have a tax increase, and that is what the President has chosen to do 
by a sum of $19 billion.
  But I have not heard those words escape from his lips since he came 
in here and made that announcement about what he was doing, nor does 
the press ever mention that either, that basically the President cannot 
balance this budget unless he increases the taxes by the $19 billion.
  In my judgment this is not a gimmick. It just puts it in perspective. 
If the minority party does not want to embarrass the President, it is 
simple. They can support what the President's proposal is. If they do 
not, then in that case they have abandoned what the President's basic 
budget proposals are.
  I am glad there is a summit. I think it is incumbent upon the 
President to call that summit. He has finally done that, and I hope 
they can go down there and work out the problems, but hopefully without 
a tax increase.
  We should defeat this legislation.
  Mr. TERRY. Mr. Speaker, I yield 1 minute to the gentleman from 
California (Mr. Herger).
  Mr. HERGER. Mr. Speaker, earlier this week President Clinton vetoed 
the foreign aid appropriations bill because he wanted to spend $4 
billion more overseas. The President did not say, however, where that 
money is to come from.
  Mr. Speaker, make no mistake about it. Any increase in foreign aid 
will come directly from the Social Security Trust Fund.
  146 days ago House Republicans and Democrats joined together to pass 
my legislation, H.R. 1259, the Social Security and Medicare Safe 
Deposit Box of 1999, by an overwhelming 416 to 12 vote. The House of 
Representatives has made a commitment to not spend one penny of the 
Social Security Trust Fund on unrelated programs.
  Mr. Speaker, Republicans and Democrats must again join together and 
prevent President Clinton from spending Social Security funds on 
additional foreign aid.
  Mr. McDERMOTT. Mr. Speaker, I yield 1\1/2\ minutes to the gentleman 
from Texas (Mr. Edwards).
  Mr. EDWARDS. Mr. Speaker, 19 days after the beginning of the new 
fiscal year, I have just one question for my Republican colleagues: 
Where is the Republican secret budget plan? I cannot find it anywhere. 
I cannot find it in the seats on the floor of the House. I visited 
committee rooms; I cannot find the secret budget plan of the 
Republicans there. I have asked some of the pages. They do not seem to 
know where it is. I have asked my Democratic colleagues. They have not 
seen the Republican budget plan, the secret plan they have to balance 
the budget without using Social Security taxes. Maybe I should ask the 
FBI. I wonder if the CIA knows where the secret Republican budget plan 
is 19 days after the beginning of the new fiscal year. As my colleagues 
know, that could be a problem. It might be 25 years if the CIA has it 
as a classified document. Perhaps we should go up into the classified 
room at the top of the capitol and find the Republicans' secret plan 
now in mid-October.
  Mr. Speaker, I would be glad to yield the rest of my time to the 
author if he can show me a copy of the Republicans' secret plan to 
balance the budget. Even if they have a nonsecret plan, I would be glad 
to yield the rest of my time. But if he does not have a copy of the 
plan, I imagine he has not seen it because nobody else has found it 
anywhere.
  At least let me make this point. While I will vote against this 
resolution, I imagine the President does not even support it and the 
author will not support it. At least the President was honest enough to 
present to the American people a plan to pay for his budget. The same 
cannot be said of the Republicans who are running television ads that 
suggest they have a plan that they will not even present on the floor 
of this House.
  Where is the secret plan?
  Mr. TERRY. Mr. Speaker, we did vote on a budget.
  Mr. Speaker, I yield 1 minute to the gentleman from Kansas (Mr. 
Moran).
  (Mr. MORAN of Kansas asked and was given permission to revise and 
extend his remarks.)
  Mr. MORAN of Kansas. Mr. Speaker, it is often hard to find good 
economic news for my constituents in Kansas. Many of them are farm 
families involved in farming and ranching, and with the historic low 
commodity prices that we are suffering through, there is not always 
good news.
  But one of the areas of the Kansas economy that has had good news, 
that does provide Kansas families with jobs, is the aviation, the small 
general aviation industry; and it is an important segment not only of 
the Kansas economy but of the American economy, and part of the 
President's proposal to raise taxes by $240 billion is to significantly 
increase taxes on general aviation.
  Mr. Speaker, I urge our colleagues not to adopt that proposal. It has 
been around a long time. It is risky; unintended consequences can 
occur; and our economy in Kansas and around the country can be 
detrimentally affected. Terrible impact upon safety, eliminating 
incentives for the FAA to be efficient and operate more smoothly, and 
significant administrative costs to administer this new tax scheme of 
$240 billion.
  Mr. Speaker, I urge rejection. Protect the industry that is providing 
jobs in my State.
  Mr. TERRY. Mr. Speaker, I yield 1 minute to the gentleman from Iowa 
(Mr. Latham).
  Mr. LATHAM. Mr. Speaker, I thank the gentleman for yielding this time 
to me.
  Mr. Speaker, there have been some people saying on the floor here 
that this is a cynical effort to embarrass the President. Well, if the 
President's own proposal is an embarrassment to him, so be it.
  I will tell my colleagues one thing that is absolutely cynical as a 
representative from a farm State in Iowa where we have a tremendous 
amount of livestock producers is the fact that the President has three 
additional taxes that he is putting on farmers at a time when they are 
in desperate needs, and he is sitting down here with an appropriations 
bill on his desk and will not sign it to help the farmers.
  First of all, he has got a $9 million new fee for livestock 
producers, then he has got a $19 million new fee to be paid by grain 
farmers who are experiencing the lowest prices in history, and then, to 
top it off, the icing on the cake is a $504 million tax increase on 
pork producers and cattlemen and poultry producers, to come right out 
of their hides at a time of record low prices. It is cynical of the 
President to try and put our farmers out of business with these new 
taxes.
  Mr. TERRY. Mr. Speaker, I yield 1 minute to the gentlewoman from 
Washington (Ms. Dunn).
  Ms. DUNN. Mr. Speaker, I rise to oppose this irresponsible and 
unnecessary package of tax increases on the American public. In an era 
of budget surpluses and fiscal restraint, the President's proposal to 
raise taxes in order to increase spending is just wrong for America. In 
addition to raising taxes on lower income people throughout the 
country, this proposed set of initiatives that we are debating today 
institutes a new tax on ships calling on United States ports. For the 
first time the President would place the entire financial burden for 
harbor maintenance on commercial vessel operators. In Washington State 
this new tax would devastate the ports of Tacoma and Seattle, would 
cause vessels to go to Canada or Mexico to unload their goods. In our 
State nearly one out of three jobs is linked directly to international 
trade. But implementing the President's new harbor maintenance tax 
would cripple our trade economy by making our ports uncompetitive when 
compared to nearby foreign ports.
  Mr. Speaker, the American people are already overtaxed. I urge my 
colleagues to reject these Clinton tax increases.
  Mr. TERRY. Mr. Speaker, I yield 1 minute to the gentleman from 
Florida (Mr. Stearns).
  (Mr. STEARNS asked and was given permission to revise and extend his 
remarks.)
  Mr. STEARNS. Mr. Speaker, here we go again, another tax-and-spend 
proposal from the President, 19.2 billion in additional Federal 
spending of course paid for by working Americans. It is primarily, of 
course, in the tobacco tax, 24 cents and 94 cents, roughly a 300 
percent increase to get another $8 billion, and also, of course, new 
regulation for poultry and egg producers. And

[[Page H10229]]

I would say to the President that increasing taxes either for poultry 
or egg producers or tobacco farmers, the main point is that the 
President, in a $2 trillion budget, surely he could find existing 
agencies to reduce spending.

                              {time}  1415

  You do not have to go after people who are trying to earn their 
living to pay taxes. What about the Federal bureaucracy up here like 
the Department of Energy. You are telling me you cannot find any way to 
reduce the Department of Energy or the Department of Commerce. These 
are large agencies that have existed for many, many moons here, and I 
think if we look at the figures of those agencies, there surely is some 
waste, fraud and abuse, and some overregulation there.
  So, Mr. President, I think we have to say to you, do not increase 
Federal spending by taxes.
  Mr. TERRY. Mr. Speaker, I yield 30 seconds to the gentleman from Ohio 
(Mr. Portman).
  Mr. PORTMAN. Mr. Speaker, I thank my friend from Nebraska for 
yielding me this time.
  I just want to say briefly, a previous speaker on the Democrat side 
that it is time for both to be honest. He said the President at least 
was honest about it, and I do appreciate that honesty. The President 
has said that we ought to raise taxes and fees on the American people 
over a 10-year period. This proposal would be $142 billion, based on 
the Office of Management and Budget, of new taxes and user fees.
  What is more interesting, though, is if at the same time over those 
10 years, if we look at the President's fiscal year 2000 budget, he 
dips into the Social Security Trust Fund to the tune of $334 billion, 
even with those tax increases. That is being honest. We have an honest 
disagreement.
  The SPEAKER pro tempore (Mr. Calvert). The gentleman from Washington 
(Mr. McDermott) has 2 minutes remaining; the gentleman from Nebraska 
(Mr. Terry) has 1 minute remaining. The gentleman from Nebraska has the 
right to close.
  Mr. McDERMOTT. Mr. Speaker, I would inquire of the gentleman as to 
how many speakers remain.
  Mr. TERRY. Mr. Speaker, the gentleman from Illinois (Mr. Weller) will 
use the remaining time.
  Mr. McDERMOTT. Mr. Speaker, I yield myself the remaining time.
  Mr. Speaker, I think there is an old principle in public relations 
that if one is going to tell a lie, keep telling it. Just keep saying 
it, keep saying it, never admit. And certainly this business that we 
have not used any Social Security money is simply that.
  Now, unless we do not believe CBO. I mean the majority hired the 
director of CBO, and in a letter on the 14th said that they have spent 
$14 billion of Social Security money.
  Now, I do not know how one can get up here and talk about this 
wonderful lockbox we put out here. We told our colleagues it had no 
bottom in it, that they were going to let the money fall through and 
into the budget and that is exactly what they did. But they still 
continue to stand up here every, every speaker has said, and we have 
done all of this without touching the Social Security money. That is 
absolutely nonsense.
  The fact is that this is a cynical way of obscuring what the problem 
is. The President was honest when he stood up there. He put a budget up 
here, he paid for it, and the principle around here used to be that the 
President proposes and the Congress disposes.
  Now, the President came up and made a proposal, but my Republican 
colleagues cannot get themselves together to dispose. My colleagues 
cannot get themselves together to put a whole package together that 
makes sense. So, they go around here grabbing light bulbs: They see one 
is out up there, they grab that, they run and put it over there; they 
create a thirteenth month; you do all kinds of gimmicks.
  I was in the State legislature for 15 years, and I have seen all of 
these gimmicks. None of them are new. They have all been used in State 
houses all over this country. My colleagues are using gimmicks to 
balance this budget, they say, and they use the money from Social 
Security besides. And then, when they are 3 weeks late, they run out 
here with this nonsense.
  Mr. TERRY. Mr. Speaker, I yield the balance of our time for closing 
to the gentleman from Illinois (Mr. Weller).
  Mr. WELLER. Mr. Speaker, just in response to my friend from 
Washington State here, October 1, the Congressional Budget Office 
stated that the Republican budget that is now moving through this 
process, the Republican balanced budget does not touch one dime of 
Social Security, the first time in 30 years.
  Mr. Speaker, is it true? Is it true that Bill Clinton once again 
wants to raise taxes? Is it true that Bill Clinton wants to raise taxes 
on Americans by $238 billion? I looked back earlier this year when the 
President proposed this budget, he not only proposed $238 billion in 
tax increases, but he proposed taking 62 percent of the Social Security 
Trust Fund for Social Security and then almost 40 percent, or 38 
percent, of the Social Security Trust Fund to spend on other things. 
Now, the folks back home say they want the raid on Social Security to 
stop.
  The Republicans, as we worked through the balanced budget process, 
have made it very clear. We oppose Bill Clinton's taxes increases; we 
oppose Bill Clinton's proposal to raid the Social Security Trust Fund.
  I plan to vote ``no'' on Bill Clinton's $238 billion tax hike.
  This House has an opportunity today. If you support the President's 
tax hikes, vote ``aye,'' if you oppose them, vote ``no.'' Let us take a 
stand.
  Mr. PACKARD. Mr. Speaker, I would like to encourage my colleagues to 
vote against H.R. 3085, the President's tax increase and user fee 
proposals which includes $19.2 billion in discretionary spending 
offsets. This bill provides for many of the new and increased user fees 
that were outlined in the President's fiscal year 2000 budget.
  H.R. 3085 would not only increase the tax on cigarettes, it would 
also establish additional Medicare premiums for early retirees and 
displaced workers. Any claim that these taxes are necessary to fund the 
government next year without touching Social Security is false. There 
is a non-Social Security surplus of $14 billion. Washington should be 
returning money to taxpayers, not increasing the tax burden on working 
families already struggling to make ends meet.
  At a time when Americans have overpaid their taxes and Congress has 
worked hard to provide tax relief, there is no reason to raise taxes on 
any American. Mr. Speaker, it is unacceptable for the President to ask 
Congress to initiate targeted taxes and user fees on certain American 
taxpayers merely to continue to bloat Federal spending. We have a 
budget surplus; there is simply no reason to raise taxes. We must 
continue to oppose all taxes that hurt our Nation's families and 
continue to work to reduce the tax burden for every American.
  Mr. WELDON of Florida. Mr Speaker, I rise in opposition to this bill 
for many reasons. This bill represents the tax increases proposed by 
the President in his 2000 budget. We are currently engaged in a debate 
with the White House over whether or not the President's billions of 
dollars in new Federal programs will go forward.
  We have several choices in Washington. The first option is to say yes 
to the President's spending plan and renew the raid on the Social 
Security surplus to fund them. This is a nonstarter. The Republican-
controlled Congress has made it clear that we will not allow Social 
Security to be raided.
  The second option is to increase taxes and fees so that more money 
can be taken out of the pockets of working Americans to pay for the 
President's programs. This too is a nonstarter. The Republican Congress 
has made it clear that we believe that the Federal Government already 
takes enough money out of the pockets of the American people and we are 
committed to lowering taxes, not raising them.
  The third option is to exercise fiscal discipline and set spending 
priorities, recognizing the reality that ``we can't have it all.'' The 
President doesn't see this as doable. He just cannot say no to more 
spending.
  Mr. Speaker, today's decision is about whether or not we are going to 
permit the Clinton-Gore administration to raise taxes and user fees to 
pay for larger government. By voting this bill down, we will be sending 
a strong message to the President that we will not raise taxes.
  There are several taxes that would be particularly harmful to my 
constituents that I would like to address.
  With respect to Medicare, the President has proposed a host of new 
fees on those who provide medical services to our senior citizens. This 
is on top of significant curbs on reimbursements to providers that have 
already been implemented over the past few years. I am very concerned 
over new user fees the administration has proposed on Medicare+Choice 
plans.

[[Page H10230]]

  Just last year more than 300,000 seniors nationwide were forced to 
give up their Medicare+Choice plan because the reimbursement rates were 
so low that providers could not afford to serve seniors.
  Just last week a major Medicare+Choice plan in my congressional 
district was forced to raise membership fees because of lower 
reimbursements from Medicare. Last year every Medicare+Choice plan in 
Polk County in my congressional district folded because they could no 
longer afford to offer care to seniors because the reimbursement rates 
were so low. Now the administration has proposed to impose higher user 
fees on these plans.
  This is no way to expand access and choice for seniors and will only 
result in fewer seniors having access to Medicare+Choice plans.
  In addition the President proposes costly user fees that will be 
passed on to average Americans that travel on our Nation's skyways.
  The 15th district of Florida has witnessed dynamic, almost explosive 
amounts of growth in the aviation industry. This success has not been 
easy. It has taken years of hard work and could easily have the rug 
pulled out from underneath it by new user fees (i.e., taxes) that will 
cause the price of flying to increase.
  This issue is of such a major concern that my constituents have taken 
the time and energy to fly up to visit me to share their serious 
concerns about user fees. I have heard from scores of my constituents 
who work for Rockwell Collins expressing their concerns about how these 
user fees could harm the ability of private pilots to own and fly their 
own planes which would have a devastating impact on their employment 
and industry as a whole.
  Mr. STARK. Mr. Speaker, this bill is nothing more than a cheap shot 
attempt to embarrass the President by getting Congress to vote against 
provisions included in his budget.
  If that were all it was, that would be bad enough. But, the effect of 
the legislation is far worse.
  This bill puts Congress on record voting against user fees as a 
source for funding Medicare's administrative costs.
  At the very same time, the Republican's Labor-HHS bill guts 
Medicare's administrative budget by cutting more than 18 percent--or 
$400 million--out of it.
  Medicare needs to have its administrative budget funded in order to 
carry out vital tasks that impact people's lives. The Republican's 
Labor-HHS bill would cut in half the budget needed to inspect nursing 
homes and hospitals. That means that people will die--literally die--in 
poor quality nursing homes and hospitals across the country.
  So, the message delivered by this bill today is that we will not 
support user fees. The next message from Labor-HHS will be that 
Congress will not fund Medicare's administrative budget through any 
other means.
  And the result will be that people will die due to poor quality care, 
that Medicare will not be able to continue to improve its ability to 
root out fraud and abuse (which returns 9 dollars to every dollar 
spent) and that Medicare improvements will not be implemented because 
there will not be the work force to do the job.
  This vote is another political game by people uninterested in good 
government. It does not deserve to be on the floor of the House of 
Representatives today or any other day.
  There is much we need to be doing to improve Medicare--this takes us 
the absolutely wrong direction. I urge my colleagues to join me in 
opposition to this senseless, spiteful legislation.


           reauthorization of the superfund taxes (sec. 511)

  Mr. BOEHLERT. Mr. Speaker, I strongly oppose the reinstatement of the 
Superfund excise taxes and corporate environmental income tax in H.R. 
3085.
  The express purpose of this reinstatement of the Superfund taxes is 
to raise almost $13 billion of new revenues to offset billions of 
dollars in increases in other Federal spending.
  The President's proposal has nothing to do with raising revenue to 
run the Superfund Program. He is proposing a 10-year authorization of 
the taxes, with no adjustment to reflect the fact that the Superfund 
Program is winding down, and has reduced funding needs.
  This is exactly opposite to the position taken by the Transportation 
and Infrastructure Committee in H.R. 1300, the Recycle America's Land 
Act. In H.R. 1300, our committee stated that the Superfund taxes should 
be commensurate with the revenue needs for the program, may be 
reauthorized at a lower rate, and may decline over time.
  At this time, we estimate that tax revenue needs to fund H.R. 1300 
are about $6 billion over 8 years, once you take into account other 
revenues into the Superfund Trust Fund. The President wants to use 
Superfund as an excuse to raise over twice that amount.
  The Transportation and Infrastructure Committee has gone on record in 
opposition to building up huge surpluses in the Superfund Trust Fund to 
be used to offset other Federal spending. The Transportation and 
Infrastructure Committee has gone on record in opposition to what the 
President is trying to accomplish by proposing a 10-year extension of 
the Superfund taxes that fails to take into account the declining needs 
of the Superfund Program.
  In addition, by proposing to use the Superfund taxes as a revenue 
offset, the President is ensuring that Congress cannot use part of 
those taxes directly to support Superfund liability relief.
  H.R. 1300 provides Superfund liability relief for small businesses, 
recyclers, and people who sent ordinary garbage to a site. But the bill 
does so in a responsible fashion. It pays for the liability relief 
through direct spending offset by Superfund taxes.
  By completely divorcing the Superfund taxes from the Superfund 
Program, the President's proposal kills any chance to provide relief to 
the small businesses, recyclers, and municipalities that have been 
caught up in the Superfund liability nightmare.
  For all of these reasons, I strongly urge you to oppose any 
reinstatement of the Superfund taxes outside of the context of 
Superfund legislation. I urge you to oppose H.R. 3085.


            harbor services user fee (part v of subtitle e)

  The administration's proposal to replace part of the existing harbor 
maintenance fee with a new ``harbor services fee'' has been universally 
rejected as unfair and unsound by maritime interests. These concerns 
have merit.
  The proposal simply replaces one questionable fee structure with 
another.
  Its potential impacts on existing and future port development are 
unknown and potentially disastrous to America's trade deficit.
  Furthermore, the administration proposes to expand coverage of the 
existing fee to cover the Federal cost of construction of port 
improvements, in addition to their maintenance as with the current fee. 
This proposal is shortsighted and fails to recognize our ports as a 
comprehensive, national system on which the U.S. national security and 
economic interests depend.
  We recognize that we must address the serious problem of having the 
``export'' component of the existing fee structure struck down as being 
unconstitutional. However, the President's proposal simply substitutes 
one set of problems for another.
  The transportation and Infrastructure Committee intends to address 
this matter as expeditiously as possible; meanwhile, we should not 
embrace this ill-advised, potentially dangerous proposal.
  The maritime transportation industry already pays over 100 different 
fees and assessments. If there is to be a replacement for the harbor 
maintenance fee, it must be thoroughly reviewed for its potential 
impacts, not simply thrown together as some convenient revenue-raiser.


    federal aviation administration cost-based user fees (sec. 811)

  The President's budget proposed to increase aviation user fees by 
$7.1 billion from FY 2000-2004.
  In FY 2000 alone, this would equate to a $1.5 billion tax increase on 
aviation system users.
  This tax increase would be on top of the significant aviation tax 
increase enacted just 2 years ago in the Taxpayer Relief Act of 1997.
  Under the 1997 tax act, aviation users will already pay about $9.2 
billion in aviation excise taxes in FY 2000 through a wide variety of 
taxes, including: A 7.5-percent tax on airline tickets; a $2.25 flight 
segment fee; a $12 international arrival and departure fee; a 6.25-
percent cargo waybill tax; a noncommercial fuel tax of 19.3-21.8 cents 
per gallon; and a commercial fuel tax of 4.3 cents per gallon.
  In addition to these taxes paid into the Airport and Airway Trust 
Fund, the aviation industry and its users also pay corporate and 
individual taxes into the general fund, which traditionally has 
financed the general government services that FAA provides related to 
aviation safety and security.
  The President's proposal to increase aviation fees by $7.1 billion 
was made without regard to the fact that there is already a $12 billion 
balance of funds paid by aviation users sitting in the Airport and 
Airway Trust Fund. Under the President's proposal, the trust fund 
balance would grow to $21 billion by the end of 2004, an increase of 75 
percent in just 5 years.
  The increased aviation fees proposed by the President were obviously 
not intended to fund increased aviation spending. They were proposed 
instead to offset other discretionary spending on nonaviation programs.
  Not only does the President's proposal charge aviation system users 
more and use the increased aviation fees to offset nonaviation 
spending, it also makes aviation users cover the entire cost of the 
system--even the costs that are actually imposed by military and other 
government aircraft that use the system but do not pay taxes.
  By zeroing out the general fund share of the Federal Aviation 
Administration's budget, the President's proposal makes aviation 
travelers foot the bill for aviation activities that benefit society as 
a whole.

[[Page H10231]]

  The President's aviation user fee proposal is highly unfair to 
aviation users, and it should be rejected.


       coast guard vessel navigational assistance fee (sec. 821)

  The President's proposal to charge ``user fees'' to vessel operators 
for navigational assistance is simply another ``revenue raiser'', or 
tax, and not a true user fee.
  Furthermore, section 207 of the Coast Guard Authorization Act of 
1998, signed into law by the President last November, prohibits any new 
maritime user fee through September 30, 2001.
  Despite the statutory prohibition against his proposal, the President 
assumed collection of $41 million in fiscal year 2000 from maritime 
user fees.


              rail safety inspection user fees (sec. 861)

  Administration proposal for full offset of Federal Railroad 
Administration costs ($87 million in FY 2000) is a rewarmed version of 
a law Congress specifically refused to extend in 1995 because of its 
unfairness and serious economic damage to smaller railroads.
  Extensive hearing record before the Transportation and Infrastructure 
Committee showed that some small railroads were paying up to 17 percent 
of net income in user fees to support the Federal Railroad 
Administration; the administration's proposal to reinstate and expand 
these fees in very unfriendly to small business.
  Other forms of transport do not pay the full cost of safety 
enforcement activities through user fees; these fees would not cover 
just enforcement, but even activities such as R&D.


           surface transportation board user fees (sec. 851)

  This proposal would require full offset of STB's $17 million budget 
through ``user fees.'' But who are the ``users''? The administration 
proposal does not even attempt to identify who would pay the fees: the 
railroads, the truckers, any shipper who does file a complaint, any 
shipper who might file a complaint? there is also no standard for 
setting the fees, other than being ``fair and equitable.'' In all 
probability, this proposal would be found unconstitutional for 
excessive delegation and/or vagueness.
  STB already offsets several million dollars of its costs through 
existing title 31 fees, such as for filing proceedings at the Agency. 
These have been increased substantially in recent years, resulting in 
numerous complaints from shippers about the excessive costs and 
deterrent effect on utilizing remedies at the STB. The administration 
proposal would necessarily increase the overall fee burden to over 5 
times its present level.
  The SPEAKER pro tempore. All time has expired.
  The question is on the motion offered by the gentleman from Kentucky 
(Mr. Lewis) that the House suspend the rules and pass the bill, H.R. 
3085, as amended.
  The question was taken.
  Mr. TERRY. Mr. Speaker, on that I demand the yeas and nays.
  The yeas and nays were ordered.
  The vote was taken by electronic device, and there were--yeas 0, nays 
419, answered ``present'' 5, not voting 9, as follows:

                             [Roll No. 511]

                               NAYS--419

     Abercrombie
     Ackerman
     Aderholt
     Allen
     Andrews
     Archer
     Armey
     Bachus
     Baird
     Baker
     Baldacci
     Baldwin
     Ballenger
     Barcia
     Barr
     Barrett (NE)
     Barrett (WI)
     Bartlett
     Barton
     Bass
     Bateman
     Becerra
     Bentsen
     Bereuter
     Berkley
     Berry
     Biggert
     Bilbray
     Bilirakis
     Bishop
     Blagojevich
     Bliley
     Blunt
     Boehlert
     Boehner
     Bonilla
     Bonior
     Bono
     Borski
     Boswell
     Boucher
     Boyd
     Brady (PA)
     Brady (TX)
     Brown (FL)
     Brown (OH)
     Bryant
     Burr
     Burton
     Callahan
     Calvert
     Campbell
     Canady
     Cannon
     Capps
     Cardin
     Carson
     Castle
     Chabot
     Chambliss
     Chenoweth-Hage
     Clay
     Clayton
     Clement
     Clyburn
     Coble
     Coburn
     Collins
     Combest
     Condit
     Conyers
     Cook
     Cooksey
     Costello
     Cox
     Coyne
     Cramer
     Crane
     Crowley
     Cubin
     Cummings
     Cunningham
     Danner
     Davis (FL)
     Davis (IL)
     Davis (VA)
     Deal
     DeFazio
     DeGette
     Delahunt
     DeLauro
     DeLay
     DeMint
     Deutsch
     Diaz-Balart
     Dickey
     Dicks
     Dingell
     Dixon
     Doggett
     Dooley
     Doolittle
     Doyle
     Dreier
     Duncan
     Dunn
     Edwards
     Ehlers
     Ehrlich
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     Jenkins
     John
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     Johnson, Sam
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     Young (AK)
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                        ANSWERED ``PRESENT''--5

     Berman
     Blumenauer
     Capuano
     Frank (MA)
     Meehan

                             NOT VOTING--9

     Buyer
     Camp
     Jefferson
     Johnson (CT)
     Lewis (GA)
     Martinez
     Ros-Lehtinen
     Rush
     Scarborough

                              {time}  1442

  Mrs. CHENOWETH-HAGE, and Messrs. DICKEY, HOBSON, SMITH of Michigan, 
BRYANT, SHERMAN, WATKINS, SPENCE, OLVER, DOGGETT, GILMAN, CONYERS, 
KNOLLENBERG and MEEKS of New York changed their vote from ``yea'' to 
``nay.''
  So (two-thirds not having voted in favor thereof) the motion was 
rejected.
  The result of the vote was announced as above recorded.

                          ____________________