[Congressional Record Volume 148, Number 42 (Tuesday, April 16, 2002)]
[Senate]
[Pages S2732-S2754]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 3132. Mr. MURKOWSKI (for himself, Mr. Breaux, and Mr. Stevens) 
proposed an amendment to amendment SA 2917 proposed by Mr. Daschle (for 
himself and Mr. Bingaman) to the bill (S. 517) to authorize funding the 
Department of Energy to enhance its mission areas through technology 
transfer and partnerships for fiscal years 2002 through 2006, and for 
other purposes; as follows:

       On page 590, after line 14, insert the following:

                  DIVISION H--DOMESTIC ENERGY SECURITY

              TITLE XIX--AMERICAN HOMELAND ENERGY SECURITY

     SEC. 1901. SHORT TITLE AND PRESIDENTIAL DETERMINATION.

       (a) This title may be cited as the ``American Homeland 
     Energy Security Act of 2002''.
       (b) Presidential National Economic and Security Interest 
     Certification to Congress.--
       (1) The provisions of this title, other than this 
     subsection, shall take effect upon a determination by the 
     President and certification by the President to the Senate 
     and the House of Representatives that exploration, 
     development, and production of the oil and gas resources of 
     the Coastal Plain (as defined in section 1902(1) of this 
     title) are in the national economic and security interests of 
     the United States.
       (2) The President shall base a determination under 
     paragraph (1) upon the President's judgment of the 
     contribution that production of the oil and gas resources of 
     the Coastal Plain would make in--
       (A) meeting the energy requirements of the United States in 
     a time of national emergency, taking into account foreseeable 
     military contingencies in the war on terrorism and 
     international commitments;
       (B) reducing dependence on imported foreign oil, including 
     from Iraq and other potentially hostile nations; and
       (C) creating new jobs for American men and women.
       (3) The determination and certification by the President 
     shall be made in his sole discretion and shall not be 
     reviewable.

     SEC. 1902. DEFINITIONS.

       In this title:
       (1) Coastal plain.--The term ``Coastal Plain'' means that 
     area identified as such in the map entitled ``Arctic National 
     Wildlife Refuge'', dated August 1980, as referenced in 
     section 1002(b) of the Alaska National Interest Lands 
     Conservation Act of 1980 (16 U.S.C. 3142(b)(1)), comprising 
     approximately 1,549,000 acres, and as legally described in 
     appendix I to part 37 of title 50, Code of Federal 
     Regulations.
       (2) Secretary.--The term ``Secretary'', except as otherwise 
     provided, means the Secretary of the Interior or the 
     Secretary's designee.
       (3) Kaktovik.--The term ``Kaktovik'' means the home of the 
     only human residents of the Arctic National Wildlife Refuge.

     SEC. 1903. LEASING PROGRAM FOR LANDS WITHIN THE COASTAL 
                   PLAIN.

       (a) In General.--The Secretary shall take such actions as 
     are necessary--
       (1) to establish and implement in accordance with this 
     title a competitive oil and gas leasing program under the 
     Mineral Leasing Act (30 U.S.C. 181 et seq.) that will result 
     in an environmentally sound program for the exploration, 
     development, and production of the oil and gas resources of 
     the Coastal Plain;
       (2) to administer the provisions of this title through 
     regulations, lease terms, conditions, restrictions, 
     prohibitions, stipulations, and other provisions that ensure 
     the oil and gas exploration, development, and production 
     activities on the Coastal Plain will result in no significant 
     adverse effect on fish and wildlife, their habitat, 
     subsistence resources, and the environment, and including, in 
     furtherance of this goal, by requiring the application of the 
     best commercially available technology for oil and gas 
     exploration, development, and production to all exploration, 
     development, and production operations under this title in a 
     manner that ensures the receipt of fair market value by the 
     public for the mineral resources to be leased; and
       (3) to consult with the representatives of the City of 
     Kaktovik and the Kaktovik Inupiat Corporation to ensure that 
     the oil and gas exploration, development and production 
     activities authorized by this title are conducted in a manner 
     that recognizes the interests of the city, the corporation, 
     and the residents of Kaktovik, their culture, their 
     traditional subsistence activities, and their use of the 
     resources of the Coastal Plain.
       (b) Repeal.--Section 1003 of the Alaska National Interest 
     Lands Conservation Act of 1980 (16 U.S.C. 3143) is repealed.
       (c) Compliance With Requirements Under Certain Other 
     Laws.--
       (1) Compatibility.--For purposes of the National Wildlife 
     Refuge System Administration Act of 1966, the oil and gas 
     leasing program and activities authorized by this section in 
     the Coastal Plain are deemed to be compatible with the 
     purposes for which the Arctic National Wildlife Refuge was 
     established, and that no further findings or decisions are 
     required to implement this determination.
       (2) Adequacy of the department of the interior's 
     legislative environmental impact statement.--The ``Final 
     Legislative Environmental Impact Statement'' (April 1987) on 
     the Coastal Plain prepared pursuant to section 1002 of the 
     Alaska National Interest Lands Conservation Act of 1980 (16 
     U.S.C. 3142) and section 102(2)(C) of the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)) is 
     deemed to satisfy the requirements under the National 
     Environmental Policy Act of 1969 that apply with respect to 
     actions authorized to be taken by the Secretary to develop 
     and promulgate the regulations for the establishment of a 
     leasing program authorized by this title before the conduct 
     of the first lease sale.
       (3) Compliance with nepa for other actions.--Before 
     conducting the first lease sale under this title, the 
     Secretary shall prepare an environmental impact statement 
     under the National Environmental Policy Act of 1969 with 
     respect to the actions authorized by this title that are not 
     referred to in paragraph (2). Notwithstanding any other law, 
     the Secretary is not required to identify non-leasing 
     alternative courses of action or to analyze the environmental 
     effects of such courses of action. The Secretary shall only 
     identify a preferred action for such leasing and a single 
     leasing alternative, and analyze the environmental effects 
     and potential mitigation measures for those two alternatives. 
     The identification of the preferred action and related 
     analysis for the first lease sale under this title shall be 
     completed within 18 months after the date of the enactment of 
     this Act. The Secretary shall only consider public comments 
     that specifically address the Secretary's preferred action 
     and that are filed within 20 days after publication of an 
     environmental analysis. Notwithstanding any other law, 
     compliance with this paragraph is deemed to satisfy all 
     requirements for the analysis and consideration of the 
     environmental effects of proposed leasing under this title.
       (d) Relationship to State and Local Authority.--Nothing in 
     this title shall be considered to expand or limit State and 
     local regulatory authority.
       (e) Special Areas.--
       (1) In general.--The Secretary, after consultation with the 
     State of Alaska, the city of Kaktovik, and the North Slope 
     Borough, may designate up to a total of 45,000 acres of the 
     Coastal Plain as a Special Area if the Secretary determines 
     that the Special Area is of such unique character and 
     interest so as to require special management and regulatory 
     protection. The Secretary shall designate as such a Special 
     Area the Sadlerochit Spring area, comprising approximately 
     4,000 acres as depicted on the map referred to in section 
     1902(1).
       (2) Management.--Each such Special Area shall be managed so 
     as to protect and preserve the area's unique and diverse 
     character including its fish, wildlife, and subsistence 
     resource values.
       (3) Exclusion from leasing or surface occupancy.--The 
     Secretary may exclude any Special Area from leasing. If the 
     Secretary leases a Special Area, or any part thereof, for 
     purposes of oil and gas exploration, development, production, 
     and related activities, there shall be no surface occupancy 
     of the lands comprising the Special Area.
       (4) Directional drilling.--Notwithstanding the other 
     provisions of this section, the Secretary may lease all or a 
     portion of a Special Area under terms that permit the use of 
     horizontal drilling technology from sites on leases located 
     outside the area.
       (f) Limitation on Closed Areas.--The Secretary's sole 
     authority to close lands within the Coastal Plain to oil and 
     gas leasing and to exploration, development, and production 
     is that set forth in this title.
       (g) Regulations.--

[[Page S2733]]

       (1) In general.--The Secretary shall prescribe such 
     regulations as may be necessary to carry out this title, 
     including rules and regulations relating to protection of the 
     fish and wildlife, their habitat, subsistence resources, and 
     environment of the Coastal Plain, by no later than 15 months 
     after the date of the enactment of this title.
       (2) Revision of regulations.--The Secretary shall 
     periodically review and, if appropriate, revise the rules and 
     regulations issued under subsection (a) to reflect any 
     significant biological, environmental, or engineering data 
     that come to the Secretary's attention.

     SEC. 1904. LEASE SALES.

       (a) In General.--Lands may be leased pursuant to this title 
     to any person qualified to obtain a lease for deposits of oil 
     and gas under the Mineral Leasing Act (30 U.S.C. 181 et 
     seq.).
       (b) Procedures.--The Secretary shall, by regulation, 
     establish procedures for--
       (1) receipt and consideration of sealed nominations for any 
     area in the Coastal Plain for inclusion in, or exclusion (as 
     provided in subsection (c)) from, a lease sale;
       (2) the holding of lease sales after such nomination 
     process; and
       (3) public notice of and comment on designation of areas to 
     be included in, or excluded from, a lease sale.
       (c) Lease Sale Bids.--Bidding for leases under this title 
     shall be by sealed competitive cash bonus bids.
       (d) Acreage Minimum in First Sale.--In the first lease sale 
     under this title, the Secretary shall offer for lease those 
     tracts the Secretary considers to have the greatest potential 
     for the discovery of hydrocarbons, taking into consideration 
     nominations received pursuant to subsection (b)(1), but in no 
     case less than 200,000 acres.
       (e) Timing of Lease Sales.--The Secretary shall--
       (1) conduct the first lease sale under this title within 22 
     months after the date of the enactment of this title; and
       (2) conduct additional sales so long as sufficient interest 
     in development exists to warrant, in the Secretary's 
     judgment, the conduct of such sales.

     SEC. 1905. GRANT OF LEASES BY THE SECRETARY.

       (a) In General.--The Secretary may grant to the highest 
     responsible qualified bidder in a lease sale conducted 
     pursuant to section 1904 any lands to be leased on the 
     Coastal Plain upon payment by the lessee of such bonus as may 
     be accepted by the Secretary.
       (b) Subsequent Transfers.--No lease issued under this title 
     may be sold, exchanged, assigned, sublet, or otherwise 
     transferred except with the approval of the Secretary. Prior 
     to any such approval the Secretary shall consult with, and 
     give due consideration to the views of, the Attorney General.

     SEC. 1906. LEASE TERMS AND CONDITIONS.

       (a) In General.--An oil or gas lease issued pursuant to 
     this title shall--
       (1) provide for the payment of a royalty of not less than 
     12\1/2\ percent in amount or value of the production removed 
     or sold from the lease, as determined by the Secretary under 
     the regulations applicable to other Federal oil and gas 
     leases;
       (2) provide that the Secretary may close, on a seasonal 
     basis, portions of the Coastal Plain to exploratory drilling 
     activities as necessary to protect caribou calving areas and 
     other species of fish and wildlife;
       (3) require that the lessee of lands within the Coastal 
     Plain shall be fully responsible and liable for the 
     reclamation of lands within the Coastal Plain and any other 
     Federal lands that are adversely affected in connection with 
     exploration, development, production, or transportation 
     activities conducted under the lease and within the Coastal 
     Plain by the lessee or by any of the subcontractors or agents 
     of the lessee;
       (4) provide that the lessee may not delegate or convey, by 
     contract or otherwise, the reclamation responsibility and 
     liability to another person without the express written 
     approval of the Secretary;
       (5) provide that the standard of reclamation for lands 
     required to be reclaimed under this title shall be, as nearly 
     as practicable, a condition capable of supporting the uses 
     which the lands were capable of supporting prior to any 
     exploration, development, or production activities, or upon 
     application by the lessee, to a higher or better use as 
     approved by the Secretary;
       (6) contain terms and conditions relating to protection of 
     fish and wildlife, their habitat, and the environment as 
     required pursuant to section 1903(a)(2);
       (7) provide that the lessee, its agents, and its 
     contractors use best efforts to provide a fair share, as 
     determined by the level of obligation previously agreed to in 
     the 1974 agreement implementing section 29 of the Federal 
     Agreement and Grant of Right of Way for the Operation of the 
     Trans-Alaska Pipeline, of employment and contracting for 
     Alaska Natives and Alaska Native Corporations from throughout 
     the State;
       (8) prohibit the export of oil produced under the lease, 
     except exports to Israel; and
       (9) contain such other provisions as the Secretary 
     determines necessary to ensure compliance with the provisions 
     of this title and the regulations issued under this title.
       (b) Energy Security of Israel.--To further the purposes of 
     paragraph (a)(8), the oil supply arrangement between the 
     United States and Israel, as memorialized in a Memorandum of 
     Agreement which entered into force on November 25, 1979, as 
     extended through 2004, and the related Contingency 
     Implementing Arrangements for the Memorandum of Agreement, as 
     extended through 2004, are extended through 2014.
       (c) Project Labor Agreements.--The Secretary, as a term and 
     condition of each lease under this title and in recognizing 
     the Government's proprietary interest in labor stability and 
     in the ability of construction labor and management to meet 
     the particular needs and conditions of projects to be 
     developed under the leases issued pursuant to this title 
     and the special concerns of the parties to such leases, 
     shall require that the lessee and its agents and 
     contractors negotiate to obtain a project labor agreement 
     for the employment of laborers and mechanics on 
     production, maintenance, and construction under the lease.

     SEC. 1907. COASTAL PLAIN ENVIRONMENTAL PROTECTION.

       (a) No Significant Adverse Effect Standard To Govern 
     Authorized Coastal Plain Activities.--The Secretary shall, 
     consistent with the requirements of section 1903, administer 
     the provisions of this title through regulations, lease 
     terms, conditions, restrictions, prohibitions, stipulations, 
     and other provisions that--
       (1) ensure the oil and gas exploration, development, and 
     production activities on the Coastal Plain will result in no 
     significant adverse effect on fish and wildlife, their 
     habitat, and the environment;
       (2) require the application of the best commercially 
     available technology for oil and gas exploration, 
     development, and production on all new exploration, 
     development, and production operations; and
       (3) ensure that the maximum amount of surface acreage 
     covered by production and support facilities, including 
     airstrips and any areas covered by gravel berms or piers for 
     support of pipelines, does not exceed 2,000 acres on the 
     Coastal Plain.
       (b) Site-Specific Assessment and Mitigation.--The Secretary 
     shall also require, with respect to any proposed drilling and 
     related activities, that--
       (1) a site-specific analysis be made of the probable 
     effects, if any, that the drilling or related activities will 
     have on fish and wildlife, their habitat, and the 
     environment;
       (2) a plan be implemented to avoid, minimize, and mitigate 
     (in that order and to the extent practicable) any significant 
     adverse effect identified under paragraph (1); and
       (3) the development of the plan shall occur after 
     consultation with the agency or agencies having jurisdiction 
     over matters mitigated by the plan.
       (c) Regulations To Protect Coastal Plain Fish and Wildlife 
     Resources, Subsistence Users, and the Environment.--Before 
     implementing the leasing program authorized by this title, 
     the Secretary shall prepare and promulgate regulations, lease 
     terms, conditions, restrictions, prohibitions, stipulations, 
     and other measures designed to ensure that the activities 
     undertaken on the Coastal Plain under this title are 
     conducted in a manner consistent with the purposes and 
     environmental requirements of this title.
       (d) Compliance With Federal and State Environmental Laws 
     and Other Requirements.--The proposed regulations, lease 
     terms, conditions, restrictions, prohibitions, and 
     stipulations for the leasing program under this title shall 
     require compliance with all applicable provisions of Federal 
     and State environmental law and shall also require the 
     following:
       (1) Standards at least as effective as the safety and 
     environmental mitigation measures set forth in items 1 
     through 29 at pages 167 through 169 of the `Final Legislative 
     Environmental Impact Statement' (April 1987) on the Coastal 
     Plain.
       (2) Seasonal limitations on exploration, development, and 
     related activities, where necessary, to avoid significant 
     adverse effects during periods of concentrated fish and 
     wildlife breeding, denning, nesting, spawning, and migration.
       (3) That exploration activities, except for surface 
     geological studies, be limited to the period between 
     approximately November 1 and May 1 each year and that 
     exploration activities shall be supported by ice roads, 
     winter trails with adequate snow cover, ice pads, ice 
     airstrips, and air transport methods, except that such 
     exploration activities may occur at other times, if--
       (A) the Secretary determines, after affording an 
     opportunity for public comment and review, that special 
     circumstances exist necessitating that exploration activities 
     be conducted at other times of the year; and
       (B) the Secretary finds that such exploration will have no 
     significant adverse effect on the fish and wildlife, their 
     habitat, and the environment of the Coastal Plain. (4) Design 
     safety and construction standards for all pipelines and any 
     access and service roads, that--
       (A) minimize, to the maximum extent possible, adverse 
     effects upon the passage of migratory species such as 
     caribou; and
       (B) minimize adverse effects upon the flow of surface water 
     by requiring the use of culverts, bridges, and other 
     structural devices.
       (5) Prohibitions on public access and use on all pipeline 
     access and service roads.
       (6) Stringent reclamation and rehabilitation requirements, 
     consistent with the standards set forth in this title, 
     requiring the removal from the Coastal Plain of all oil and 
     gas development and production facilities, structures, and 
     equipment upon completion of oil and gas production 
     operations, except that the Secretary may exempt from

[[Page S2734]]

     the requirements of this paragraph those facilities, 
     structures, or equipment that the Secretary determines would 
     assist in the management of the Arctic National Wildlife 
     Refuge and that are donated to the United States for that 
     purpose.
       (7) Appropriate prohibitions or restrictions on access by 
     all modes of transportation.
       (8) Appropriate prohibitions or restrictions on sand and 
     gravel extraction.
       (9) Consolidation of facility siting.
       (10) Appropriate prohibitions or restrictions on use of 
     explosives.
       (11) Avoidance, to the extent practicable, of springs, 
     streams, and river system; the protection of natural surface 
     drainage patterns, wetlands, and riparian habitats; and the 
     regulation of methods or techniques for developing or 
     transporting adequate supplies of water for exploratory 
     drilling.
       (12) Avoidance or reduction of air traffic-related 
     disturbance to fish and wildlife.
       (13) Treatment and disposal of hazardous and toxic wastes, 
     solid wastes, reserve pit fluids, drilling muds and cuttings, 
     and domestic wastewater, including an annual waste management 
     report, a hazardous materials tracking system, and a 
     prohibition on chlorinated solvents, in accordance with 
     applicable Federal and State environmental law.
       (14) Fuel storage and oil spill contingency planning.
       (15) Research, monitoring, and reporting requirements.
       (16) Field crew environmental briefings.
       (17) Avoidance of significant adverse effects upon 
     subsistence hunting, fishing, and trapping by subsistence 
     users.
       (18) Compliance with applicable air and water quality 
     standards.
       (19) Appropriate seasonal and safety zone designations 
     around well sites, within which subsistence hunting and 
     trapping shall be limited.
       (20) Reasonable stipulations for protection of cultural and 
     archeological resources.
       (21) All other protective environmental stipulations, 
     restrictions, terms, and conditions deemed necessary by the 
     Secretary.
       (e) Considerations.--In preparing and promulgating 
     regulations, lease terms, conditions, restrictions, 
     prohibitions, and stipulations under this section, the 
     Secretary shall consider the following:
       (1) The stipulations and conditions that govern the 
     National Petroleum Reserve-Alaska leasing program, as set 
     forth in the 1999 Northeast National Petroleum Reserve-Alaska 
     Final Integrated Activity Plan/Environmental Impact 
     Statement.
       (2) The environmental protection standards that governed 
     the initial Coastal Plain seismic exploration program under 
     parts 37.31 to 37.33 of title 50, Code of Federal 
     Regulations.
       (3) The land use stipulations for exploratory drilling on 
     the KIM-ASRC private lands that are set forth in Appendix 2 
     of the August 9, 1983, agreement between Arctic Slope 
     Regional Corporation and the United States.
       (f) Facility Consolidation Planning.--
       (1) In general.--The Secretary shall, after providing for 
     public notice and comment, prepare and update periodically a 
     plan to govern, guide, and direct the siting and construction 
     of facilities for the exploration, development, production, 
     and transportation of Coastal Plain oil and gas resources.
       (2) Objectives.--The plan shall have the following 
     objectives:
       (A) Avoiding unnecessary duplication of facilities and 
     activities.
       (B) Encouraging consolidation of common facilities and 
     activities.
       (C) Locating or confining facilities and activities to 
     areas that will minimize impact on fish and wildlife, their 
     habitat, and the environment.
       (D) Using existing facilities wherever practicable.
       (E) Enhancing compatibility between wildlife values and 
     development activities.

     SEC. 1908. EXPEDITED JUDICIAL REVIEW.

       (a) Exclusive Jurisdiction.--The United States Court of 
     Appeals for the District of Columbia Circuit shall have 
     exclusive jurisdiction to determine--
       (1) the validity of any final order or action (including a 
     failure to act) of any federal agency or officer under this 
     title;
       (2) the constitutionality of any provision of this title, 
     or any decision made or action taken thereunder; or
       (3) the adequacy of any environmental impact statement 
     prepared under the National Environmental Policy Act of 1969 
     with respect to any action under this title.
       (b) Deadline for Filing Claim.--Claims arising under this 
     title may be brought not later than 60 days after the date of 
     the decision or action giving rise to the claim.
       (c) Expedited Consideration.--The United States Court of 
     Appeals for the District of Columbia Circuit shall set any 
     action brought under subsection (a) of this section for 
     expedited consideration.
       (d) Limitation on Scope of Certain Review.--Judicial review 
     of a Secretarial decision to conduct a lease sale under this 
     title, including the environmental analysis thereof, shall be 
     limited to whether the Secretary has complied with the 
     terms of this title and shall be based upon the 
     administrative record of that decision. The Secretary's 
     identification of a preferred course of action to enable 
     leasing to proceed and the Secretary's analysis of 
     environmental effects under this title shall be presumed 
     to be correct unless the Court determines that there is no 
     rational basis for the final action of the Secretary.
       (e) Limitation on Other Review.--Actions of the Secretary 
     with respect to which review could have been obtained under 
     this section shall not be subject to judicial review in any 
     civil or criminal proceeding for enforcement.

     SEC. 1909. RIGHTS-OF-WAY ACROSS THE COASTAL PLAIN.

       (a) Exemption.--Title XI of the Alaska National Interest 
     Lands Conservation Act of 1980 (16 U.S.C. 3161 et seq.) shall 
     not apply to the issuance by the Secretary under section 28 
     of the Mineral Leasing Act (30 U.S.C. 185) of rights-of-way 
     and easements across the Coastal Plain for the transportation 
     of oil and gas.
       (b) Terms and Conditions.--The Secretary shall include in 
     any right-of-way or easement referred to in subsection (a) 
     such terms and conditions as may be necessary to ensure that 
     transportation of oil and gas does not result in a 
     significant adverse effect on the fish and wildlife, 
     subsistence resources, their habitat, and the environment of 
     the Coastal Plain, including requirements that facilities be 
     sited or designed so as to avoid unnecessary duplication of 
     roads and pipelines.
       (c) Regulations.--The Secretary shall include in 
     regulations under section 1903(g) provisions granting rights-
     of-way and easements described in subsection (a) of this 
     section.

     SEC. 1910. CONVEYANCE.

       In order to maximize Federal revenues by removing clouds on 
     title to lands and clarifying land ownership patterns within 
     the Coastal Plain, the Secretary, notwithstanding the 
     provisions of section 1302(h)(2) of the Alaska National 
     Interest Lands Conservation Act (16 U.S.C. 3192(h)(2)), shall 
     convey--
       (a) to the Kaktovik Inupiat Corporation the surface estate 
     of the lands described in paragraph 1 of Public Land Order 
     6959, to the extent necessary to fulfill the Corporation's 
     entitlement under section 12 of the Alaska Native Claims 
     Settlement Act (43 U.S.C. 1611) in accordance with the terms 
     and conditions of the Agreement between the Department of the 
     Interior, the Fish and Wildlife Service, the Bureau of Land 
     Management, and the Kaktovik Inupiat Corporation effective 
     January 22, 1993; and
       (b) to the Arctic Slope Regional Corporation the remaining 
     subsurface estate to which it is entitled pursuant to the 
     August 9, 1983, agreement between the Arctic Slope Regional 
     Corporation and the United States of America.

     SEC. 1911. COASTAL PLAIN LOCAL GOVERNMENT IMPACT AID 
                   ASSISTANCE FUND.

       (a) Financial Assistance Authorized.--
       (1) In general.--The Secretary of the Interior may use 
     amounts available from the Coastal Plain Local Government 
     Impact Aid Assistance Fund established by subsection (d) to 
     provide timely financial assistance to entities that are 
     eligible under paragraph (2) and that are directly affected 
     by the exploration for or production of oil and gas on the 
     Coastal Plain under this title.
       (2) Eligible entities.--The North Slope Borough, Kaktovik, 
     and other boroughs, municipal subdivisions, villages, and any 
     other community organized under Alaska State law shall be 
     eligible for financial assistance under this section.
       (b) Use of Assistance.--Financial assistance made available 
     under this section may be used only for--
       (1) planning for mitigation of the potential effects of oil 
     and gas exploration and development on environmental, social, 
     cultural, recreational and subsistence values;
       (2) implementing mitigation plans and maintaining 
     mitigation projects; and
       (3) developing, carrying out, and maintaining projects and 
     programs that provide new or expanded public facilities and 
     services to address needs and problems associated with such 
     effects, including firefighting, police, water, waste 
     treatment, medivac, and medical services.
       (c) Application.--
       (1) In general.--Any community that is eligible for 
     assistance under this section may submit an application for 
     such assistance to the Secretary of the Interior, in such 
     form and under such procedures as the Secretary of the 
     Interior may prescribe by regulation.
       (2) North slope borough communities.--A community located 
     in the North Slope Borough may apply for assistance under 
     this section either directly to the Secretary or through the 
     North Slope Borough.
       (3) Application assistance.--The Secretary of the Interior 
     shall work closely with and assist the North Slope Borough 
     and other communities eligible for assistance under this 
     section in developing and submitting applications for 
     assistance under this section.
       (d) Establishment of Fund.--
       (1) In general.--A separate account is hereby established 
     in the U.S. Treasury which shall be known as the ``Coastal 
     Plain Local Government Impact Aid Assistance Fund''.
       (2) Use.--Amounts in the fund may be used only for 
     providing financial assistance under this section and shall 
     be available to the Secretary of the Interior without further 
     appropriation and without fiscal year limitation.
       (3) Deposits.--Subject to paragraph (4), and in accordance 
     with section 1912(a)(2) of this title, there shall be 
     deposited into the fund amounts received by the United States 
     as revenues derived from bonus bids on leases and lease sales 
     authorized under this title.

[[Page S2735]]

       (4) Investment of balances.--The Secretary of the U.S. 
     Treasury shall invest amounts in the fund in interest bearing 
     government securities.

     SEC. 1912. REVENUE ALLOCATION.

       (a) Bonus Bids.--Notwithstanding section 1904 of this 
     title, the Mineral Leasing Act (30 U.S.C. 181 et. Seq.), or 
     any other law, of the amount of the adjusted bonus bids from 
     oil and gas leasing and operations authorized under this 
     title--
       (1) 50 percent shall be paid to the State of Alaska;
       (2) 1 percent shall be deposited into the Coastal Plain 
     Local Government Impact Aid Assistance Fund as authorized 
     under section 1911 of this title; and
       (3) The balance of such revenues shall be distributed as 
     follows:
       (i) $10 million shall be available to the Secretary of 
     Energy, without further appropriation and without fiscal year 
     limitation, to fill the Strategic Petroleum Reserve, 
     including terminalling, transportation, power and third party 
     inspections, and to the extent the Secretary of Energy 
     determines that geographic dispersal of the Reserve would 
     enhance its use for national security, the Secretary of 
     Energy shall consider adding Strategic Petroleum Reserves to 
     the West Coast and Hawaii, consistent with current law; and
       (ii) the remainder of the balance shall be distributed as 
     follows: 50 percent shall be deposited into the Renewable 
     Energy Technology Investment Fund as provided in this section 
     and 50 percent shall be deposited into the Habitat 
     Conservation and Federal Maintenance and Improvements Backlog 
     Fund.
       (b) Renewable Energy Technology Investment Fund.--
       (1) Establishment and availability.--A separate account is 
     hereby established in the U.S. Treasury of the United States 
     which shall be known as the ``Renewable Energy Technology 
     Investment Fund''.
       (2) Use, generally.--Not to exceed $80,000,000 of the funds 
     deposited into the Renewable Energy Technology Investment 
     Fund shall be available in each fiscal year to the Secretary 
     of Energy, without further appropriation, to finance research 
     grants, contracts, and cooperative agreements and expenses of 
     direct research by Federal agencies, including the costs of 
     administering and reporting on such a program of research, to 
     improve and demonstrate technology and develop basic science 
     information for development and use of renewable and 
     alternative fuels including wind energy, solar energy, 
     geothermal energy, hydroelectric energy and energy from 
     biomass. Such research may include studies on deployment of 
     such technology including research on how to lower the costs 
     of introduction of such technology and of barriers to entry 
     into the market of such technology.
       (3) Consultation and coordination.--Any specific use of the 
     Renewable Energy Technology Investment Fund shall be 
     determined only after the Secretary of Energy consults and 
     coordinates with the heads of other appropriate Federal 
     agencies.
       (4) Reports.--Not later than 1 year after the date of the 
     enactment of this Act and on an annual basis thereafter, the 
     Secretary of Energy shall transmit to the Committee on 
     Science of the House of Representatives and the Committee on 
     Energy and Natural Resources of the Senate a report on the 
     use of funds under this section and the impact of and efforts 
     to integrate such uses with other energy research efforts.
       (c) Habitat Conservation and Federal Maintenance and 
     Improvements Backlog Fund.--
       (1) Establishment and availability.--A separate account is 
     hereby established in the U.S. Treasury of the United States 
     which shall be known as the ``Habitat Conservation and 
     Federal Maintenance and Improvements Backlog Fund''.
       (2) Use, generally.--Funds shall be deposited into the 
     Habitat Conservation and Federal Maintenance and Improvements 
     Backlog Fund shall be available to the Secretary of the 
     Interior, without further appropriation and without fiscal 
     year limitation, and may be used by the Secretary of the 
     Interior to finance grants, contracts, cooperative agreements 
     (including Memoranda of Understanding), and programs for 
     direct activities of the Department of the Interior to:
       (A) eliminate maintenance and improvement backlogs on 
     Federal lands;
       (B) restore and protect uplands, wetlands, and coastal 
     habitat;
       (C) provide public access and necessary facilities for 
     visitor accommodations;
       (D) restore and improve historic landmarks and property; 
     and
       (E) develop urban parks through the Urban Park Recreation 
     and Recovery Program and state and local recreation areas.
       (3) Consultation and coordination.--Any specific use of the 
     Habitat Conservation and Federal Maintenance and Improvements 
     Backlog Fund shall be determined only after the Secretary of 
     the Interior consults and coordinates with the heads of other 
     appropriate Federal agencies.
       (4) Reports.--Not later than 1 year after the date of the 
     enactment of this Act and on an annual basis thereafter, the 
     Secretary of the Interior shall transmit to the Committee on 
     Resources of the House of Representatives, the Committee on 
     Energy and Natural Resources of the Senate, and the 
     Appropriations Committees of both the House of 
     Representatives and the Senate a report on the use of funds 
     under this section.
       (d) Rents and Royalties.--Notwithstanding section 1904 of 
     this title, the Mineral Leasing Act (30 U.S.C. 181, et. 
     seq.), or any other law, of the amount of the rents and 
     royalties from oil and gas leasing and operations authorized 
     under this title--
       (1) 50 percent shall be paid to the State of Alaska; and
       (2) 50 percent shall be deposited into the U.S. Treasury as 
     miscellaneous receipts.
       (e) Adjustments.--Adjustments to rental and royalty amounts 
     from oil and gas leasing and operations authorized under this 
     title shall be made as necessary for overpayments and refunds 
     from lease revenues received in current or subsequent periods 
     before distribution of such revenues pursuant to this 
     section.
       (f) Payments to State.--Payments to the State of Alaska 
     under this section shall be made quarterly.

     SEC. 1913. ADDITIONAL WILDERNESS DESIGNATION

       Notwithstanding Sections 101(d) and 1326 of the Alaska 
     National Interest Lands Conservation Act, Section 702(3) of 
     the Alaska National Interest Lands Conservation Act (P.L. 96-
     487) is amended to read as follows:
       ``(3) Mollie Beattie Wilderness of approximately 9.5 
     million acres generally depicted on a map entitled ``Arctic 
     National Wildlife Refuge'' dated April 2002 on file in the 
     Office of the Director of the U.S. Fish and Wildlife 
     Service;''.
                                  ____

   SA 3133. Mr. STEVENS proposed an amendment to amendment SA 3132 
proposed by Mr. Murkowski (for himself, Mr. Breaux, and Mr. Stevens) to 
the amendment SA 2917 proposed by Mr. Daschle (for himself and Mr. 
Bingaman) to the bill (S. 517) to authorize funding the Department of 
Energy to enhance its mission areas through technology transfer and 
partnerships for fiscal years 2002 through 2006, and for other 
purposes; as follows:

       (a) On page 3, strike all after line 1 and insert the 
     following:

     ``SEC. 1903. LEASING PROGRAM FOR LANDS WITHIN THE COASTAL 
                   PLAIN.

       ``(a) In General.--The Secretary shall take such actions as 
     are necessary--
       ``(1) to establish and implement in accordance with this 
     title a competitive oil and gas leasing program under the 
     Mineral Leasing Act (30 U.S.C. 181 et seq.) that will result 
     in an environmentally sound program for the exploration, 
     development, and production of the oil and gas resources of 
     the Coastal Plain;
       ``(2) to administer the provisions of this title through 
     regulations, lease terms, conditions, restrictions, 
     prohibitions, stipulations, and other provisions that ensure 
     the oil and gas exploration, development, and production 
     activities on the Coastal Plain will result in no significant 
     adverse effect on fish and wildlife, their habitat, 
     subsistence resources, and the environment, and including, in 
     furtherance of this goal, by requiring the application of the 
     best commercially available technology for oil and gas 
     exploration, development, and production to all exploration, 
     development, and production operations under this title in a 
     manner that ensures the receipt of fair market value by the 
     public for the mineral resources to be leased; and
       ``(3) to consult with the representatives of the City of 
     Kaktovik and the Kaktovik Inupiat Corporation to ensure that 
     the oil and gas exploration, development and production 
     activities authorized by this title are conducted in a manner 
     that recognizes the interests of the city, the corporation, 
     and the residents of Kaktovik, their culture, their 
     traditional subsistence activities, and their use of the 
     resources of the Coastal Plain.
       ``(b) Repeal.--Section 1003 of the Alaska National Interest 
     Lands Conservation Act of 1980 (16 U.S.C. 3143) is repealed.
       ``(c) Compliance With Requirements Under Certain Other 
     Laws.--
       ``(1) Compatibility.--For purposes of the National Wildlife 
     Refuge System Administration Act of 1966, the oil and gas 
     leasing program and activities authorized by this section in 
     the Coastal Plain are deemed to be compatible with the 
     purposes for which the Arctic National Wildlife Refuge was 
     established, and that no further findings or decisions are 
     required to implement this determination.
       ``(2) Adequacy of the department of the interior's 
     legislative environmental impact statement.--The `Final 
     Legislative Environmental Impact Statement' (April 1987) on 
     the Coastal Plain prepared pursuant to section 1002 of the 
     Alaska National Interest Lands Conservation Act of 1980 (16 
     U.S.C. 3142) and section 102(2)(C) of the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)) is 
     deemed to satisfy the requirements under the National 
     Environmental Policy Act of 1969 that apply with respect to 
     actions authorized to be taken by the Secretary to develop 
     and promulgate the regulations for the establishment of a 
     leasing program authorized by this title before the conduct 
     of the first lease sale.
       ``(3) Compliance with NEPA for other actions.--Before 
     conducting the first lease sale under this title, the 
     Secretary shall prepare an environmental impact statement 
     under the National Environmental Policy Act of 1969 with 
     respect to the actions authorized by this title that are not 
     referred to in paragraph (2). Notwithstanding any other law, 
     the Secretary is not required to identify non-

[[Page S2736]]

     leasing alternative courses of action or to analyze the 
     environmental effects of such courses of action. The 
     Secretary shall only identify a preferred action for such 
     leasing and a single leasing alternative, and analyze the 
     environmental effects and potential mitigation measures for 
     those two alternatives. The identification of the preferred 
     action and related analysis for the first lease sale under 
     this title shall be completed within 6 months after the date 
     of the enactment of this Act. The Secretary shall only 
     consider public comments that specifically address the 
     Secretary's preferred action and that are filed within 20 
     days after publication of an environmental analysis. 
     Notwithstanding any other law, compliance with this paragraph 
     is deemed to satisfy all requirements for the analysis and 
     consideration of the environmental effects of proposed 
     leasing under this title.
       ``(d) Relationship to State and Local Authority.--Nothing 
     in this title shall be considered to expand or limit State 
     and local regulatory authority.
       ``(e) Special Areas.--
       ``(1) In general.--The Secretary, after consultation with 
     the State of Alaska, the city of Kaktovik, and the North 
     Slope Borough, may designate up to a total of 45,000 acres of 
     the Coastal Plain as a Special Area if the Secretary 
     determines that the Special Area is of such unique character 
     and interest so as to require special management and 
     regulatory protection. The Secretary shall designate as such 
     a Special Area the Sadlerochit Spring area, comprising 
     approximately 4,000 acres as depicted on the map referred to 
     in section 1902(1).
       ``(2) Management.--Each such Special Area shall be managed 
     so as to protect and preserve the area's unique and diverse 
     character including its fish, wildlife, and subsistence 
     resource values.
       ``(3) Exclusion from leasing or surface occupancy.--The 
     Secretary may exclude any Special Area from leasing. If the 
     Secretary leases a Special Area, or any part thereof, for 
     purposes of oil and gas exploration, development, production, 
     and related activities, there shall be no surface occupancy 
     of the lands comprising the Special Area.
       ``(4) Directional drilling.--Notwithstanding the other 
     provisions of this section, the Secretary may lease all or a 
     portion of a Special Area under terms that permit the use of 
     horizontal drilling technology from sites on leases located 
     outside the area.
       ``(f) Limitation on Closed Areas.--The Secretary's sole 
     authority to close lands within the Coastal Plain to oil and 
     gas leasing and to exploration, development, and production 
     is that set forth in this title.
       ``(g) Regulations.--
       ``(1) In general.--The Secretary shall prescribe such 
     regulations as may be necessary to carry out this title, 
     including rules and regulations relating to protection of the 
     fish and wildlife, their habitat, subsistence resources, and 
     environment of the Coastal Plain, by no later than 4 months 
     after the date of the enactment of this title.
       ``(2) Revision of regulations.--The Secretary shall 
     periodically review and, if appropriate, revise the rules and 
     regulations issued under subsection (a) to reflect any 
     significant biological, environmental, or engineering data 
     that come to the Secretary's attention.

     ``SEC. 1904. LEASE SALES.

       ``(a) In General.--Lands may be leased pursuant to this 
     title to any person qualified to obtain a lease for deposits 
     of oil and gas under the Mineral Leasing Act (30 U.S.C. 181 
     et seq.).
       ``(b) Procedures.--The Secretary shall, by regulation, 
     establish procedures for--
       ``(1) receipt and consideration of sealed nominations for 
     any area in the Coastal Plain for inclusion in, or exclusion 
     (as provided in subsection (c)) from, a lease sale;
       ``(2) the holding of lease sales after such nomination 
     process; and
       ``(3) public notice of and comment on designation of areas 
     to be included in, or excluded from, a lease sale.
       ``(c) Lease Sale Bids.--Bidding for leases under this title 
     shall be by sealed competitive cash bonus bids.
       ``(d) Acreage Minimum in First Sale.--In the first lease 
     sale under this title, the Secretary shall offer for lease 
     those tracts the Secretary considers to have the greatest 
     potential for the discovery of hydrocarbons, taking into 
     consideration nominations received pursuant to subsection 
     (b)(1), but in no case less than 200,000 acres.
       ``(e) Timing of Lease Sales.--The Secretary shall--
       ``(1) conduct the first lease sale under this title within 
     8 months after the date of the enactment of this title; and
       ``(2) conduct additional sales so long as sufficient 
     interest in development exists to warrant, in the Secretary's 
     judgment, the conduct of such sales.
       ``(f) Authorization for Appropriations.--The Secretary of 
     the Interior is authorized and directed to make available 
     from funds available to the Secretary under Public Law 107-63 
     under the Bureau of Land Management, ``Management of Lands 
     and Resources'' such sums as are necessary to carry out the 
     provisions of this section.''

     ``SEC. 1905. GRANT OF LEASES BY THE SECRETARY.

       ``(a) In General.--The Secretary may grant to the highest 
     responsible qualified bidder in a lease sale conducted 
     pursuant to section 1904 any lands to be leased on the 
     Coastal Plain upon payment by the lessee of such bonus as may 
     be accepted by the Secretary.
       ``(b) Subsequent Transfers.--No lease issued under this 
     title may be sold, exchanged, assigned, sublet, or otherwise 
     transferred except with the approval of the Secretary. Prior 
     to any such approval the Secretary shall consult with, and 
     give due consideration to the views of, the Attorney General.

     ``SEC. 1906. LEASE TERMS AND CONDITIONS.

       ``(a) In General.--An oil or gas lease issued pursuant to 
     this title shall--
       ``(1) provide for the payment of a royalty of not less than 
     12\1/2\ percent in amount or value of the production removed 
     or sold from the lease, as determined by the Secretary under 
     the regulations applicable to other Federal oil and gas 
     leases;
       ``(2) provide that the Secretary may close, on a seasonal 
     basis, portions of the Coastal Plain to exploratory drilling 
     activities as necessary to protect caribou calving areas and 
     other species of fish and wildlife;
       ``(3) require that the lessee of lands within the Coastal 
     Plain shall be fully responsible and liable for the 
     reclamation of lands within the Coastal Plain and any other 
     Federal lands that are adversely affected in connection with 
     exploration, development, production, or transportation 
     activities conducted under the lease and within the Coastal 
     Plain by the lessee or by any of the subcontractors or agents 
     of the lessee;
       ``(4) provide that the lessee may not delegate or convey, 
     by contract or otherwise, the reclamation responsibility and 
     liability to another person without the express written 
     approval of the Secretary;
       ``(5) provide that the standard of reclamation for lands 
     required to be reclaimed under this title shall be, as nearly 
     as practicable, a condition capable of supporting the uses 
     which the lands were capable of supporting prior to any 
     exploration, development, or production activities, or upon 
     application by the lessee, to a higher or better use as 
     approved by the Secretary;
       ``(6) contain terms and conditions relating to protection 
     of fish and wildlife, their habitat, and the environment as 
     required pursuant to section 1903(a)(2);
       ``(7) provide that the lessee, its agents, and its 
     contractors use best efforts to provide a fair share, as 
     determined by the level of obligation previously agreed to in 
     the 1974 agreement implementing section 29 of the Federal 
     Agreement and Grant of Right of Way for the Operation of the 
     Trans-Alaska Pipeline, of employment and contracting for 
     Alaska Natives and Alaska Native Corporations from throughout 
     the State;
       ``(8) prohibit the export of oil produced under the lease, 
     except exports to Israel; and
       ``(9) contain such other provisions as the Secretary 
     determines necessary to ensure compliance with the provisions 
     of this title and the regulations issued under this title.
       ``(b) Energy Security of Israel.--To further the purposes 
     of paragraph (a)(8), the oil supply arrangement between the 
     United States and Israel, as memorialized in a Memorandum of 
     Agreement which entered into force on November 25, 1979, as 
     extended through 2004, and the related Contingency 
     Implementing Arrangements for the Memorandum of Agreement, as 
     extended through 2004, are extended through 2014.
       ``(c) Project Labor Agreements.--The Secretary, as a term 
     and condition of each lease under this title and in 
     recognizing the Government's proprietary interest in labor 
     stability and in the ability of construction labor and 
     management to meet the particular needs and conditions of 
     projects to be developed under the leases issued pursuant to 
     this title and the special concerns of the parties to such 
     leases, shall require that the lessee and its agents and 
     contractors negotiate to obtain a project labor agreement for 
     the employment of laborers and mechanics on production, 
     maintenance, and construction under the lease.

     ``SEC. 1907. COASTAL PLAIN ENVIRONMENTAL PROTECTION.

       ``(a) No Significant Adverse Effect Standard To Govern 
     Authorized Coastal Plain Activities.--The Secretary shall, 
     consistent with the requirements of section 1903, administer 
     the provisions of this title through regulations, lease 
     terms, conditions, restrictions, prohibitions, stipulations, 
     and other provisions that--
       ``(1) ensure the oil and gas exploration, development, and 
     production activities on the Coastal Plain will result in no 
     significant adverse effect on fish and wildlife, their 
     habitat, and the environment;
       ``(2) require the application of the best commercially 
     available technology for oil and gas exploration, 
     development, and production on all new exploration, 
     development, and production operations; and
       ``(3) ensure that the maximum amount of surface acreage 
     covered by production and support facilities, including 
     airstrips and any areas covered by gravel berms or piers for 
     support of pipelines, does not exceed 2,000 acres on the 
     Coastal Plain.
       ``(b) Site-Specific Assessment and Mitigation.--The 
     Secretary shall also require, with respect to any proposed 
     drilling and related activities, that--
       ``(1) a site-specific analysis be made of the probable 
     effects, if any, that the drilling or related activities will 
     have on fish and wildlife, their habitat, and the 
     environment;
       ``(2) a plan be implemented to avoid, minimize, and 
     mitigate (in that order and to the extent practicable) any 
     significant adverse effect identified under paragraph (1); 
     and

[[Page S2737]]

       ``(3) the development of the plan shall occur after 
     consultation with the agency or agencies having jurisdiction 
     over matters mitigated by the plan.
       ``(c) Regulations To Protect Coastal Plain Fish and 
     Wildlife Resources, Subsistence Users, and the Environment.--
     Before implementing the leasing program authorized by this 
     title, the Secretary shall prepare and promulgate 
     regulations, lease terms, conditions, restrictions, 
     prohibitions, stipulations, and other measures designed to 
     ensure that the activities undertaken on the Coastal Plain 
     under this title are conducted in a manner consistent with 
     the purposes and environmental requirements of this title.
       ``(d) Compliance With Federal and State Environmental Laws 
     and Other Requirements.--The proposed regulations, lease 
     terms, conditions, restrictions, prohibitions, and 
     stipulations for the leasing program under this title shall 
     require compliance with all applicable provisions of Federal 
     and State environmental law and shall also require the 
     following:
       ``(1) Standards at least as effective as the safety and 
     environmental mitigation measures set forth in items 1 
     through 29 at pages 167 through 169 of the `Final Legislative 
     Environmental Impact Statement' (April 1987) on the Coastal 
     Plain.
       ``(2) Seasonal limitations on exploration, development, and 
     related activities, where necessary, to avoid significant 
     adverse effects during periods of concentrated fish and 
     wildlife breeding, denning, nesting, spawning, and migration.
       ``(3) That exploration activities, except for surface 
     geological studies, be limited to the period between 
     approximately November 1 and May 1 each year and that 
     exploration activities shall be supported by ice roads, 
     winter trails with adequate snow cover, ice pads, ice 
     airstrips, and air transport methods, except that such 
     exploration activities may occur at other times, if--
       ``(A) the Secretary determines, after affording an 
     opportunity for public comment and review, that special 
     circumstances exist necessitating that exploration activities 
     be conducted at other times of the year; and
       ``(B) the Secretary finds that such exploration will have 
     no significant adverse effect on the fish and wildlife, their 
     habitat, and the environment of the Coastal Plain.
       ``(4) Design safety and construction standards for all 
     pipelines and any access and service roads, that--
       ``(A) minimize, to the maximum extent possible, adverse 
     effects upon the passage of migratory species such as 
     caribou; and
       ``(B) minimize adverse effects upon the flow of surface 
     water by requiring the use of culverts, bridges, and other 
     structural devices.
       ``(5) Prohibitions on public access and use on all pipeline 
     access and service roads.
       ``(6) Stringent reclamation and rehabilitation 
     requirements, consistent with the standards set forth in this 
     title, requiring the removal from the Coastal Plain of all 
     oil and gas development and production facilities, 
     structures, and equipment upon completion of oil and gas 
     production operations, except that the Secretary may exempt 
     from the requirements of this paragraph those facilities, 
     structures, or equipment that the Secretary determines would 
     assist in the management of the Arctic National Wildlife 
     Refuge and that are donated to the United States for that 
     purpose.
       ``(7) Appropriate prohibitions or restrictions on access by 
     all modes of transportation.
       ``(8) Appropriate prohibitions or restrictions on sand and 
     gravel extraction.
       ``(9) Consolidation of facility siting.
       ``(10) Appropriate prohibitions or restrictions on use of 
     explosives.
       (11) Avoidance, to the extent practicable, of springs, 
     streams, and river system; the protection of natural surface 
     drainage patterns, wetlands, and riparian habitats; and the 
     regulation of methods or techniques for developing or 
     transporting adequate supplies of water for exploratory 
     drilling.
       ``(12) Avoidance or reduction of air traffic-related 
     disturbance to fish and wildlife.
       ``(13) Treatment and disposal of hazardous and toxic 
     wastes, solid wastes, reserve pit fluids, drilling muds and 
     cuttings, and domestic wastewater, including an annual waste 
     management report, a hazardous materials tracking system, and 
     a prohibition on chlorinated solvents, in accordance with 
     applicable Federal and State environmental law.
       ``(14) Fuel storage and oil spill contingency planning.
       ``(15) Research, monitoring, and reporting requirements.
       ``(16) Field crew environmental briefings.
       ``(17) Avoidance of significant adverse effects upon 
     subsistence hunting, fishing, and trapping by subsistence 
     users.
       ``(18) Compliance with applicable air and water quality 
     standards.
       ``(19) Appropriate seasonal and safety zone designations 
     around well sites, within which subsistence hunting and 
     trapping shall be limited.
       ``(20) Reasonable stipulations for protection of cultural 
     and archeological resources.
       ``(21) All other protective environmental stipulations, 
     restrictions, terms, and conditions deemed necessary by the 
     Secretary.
       ``(e) Considerations.--In preparing and promulgating 
     regulations, lease terms, conditions, restrictions, 
     prohibitions, and stipulations under this section, the 
     Secretary shall consider the following:
       ``(1) The stipulations and conditions that govern the 
     National Petroleum Reserve-Alaska leasing program, as set 
     forth in the 1999 Northeast National Petroleum Reserve-Alaska 
     Final Integrated Activity Plan/Environmental Impact 
     Statement.
       ``(2) The environmental protection standards that governed 
     the initial Coastal Plain seismic exploration program under 
     parts 37.31 to 37.33 of title 50, Code of Federal 
     Regulations.
       ``(3) The land use stipulations for exploratory drilling on 
     the KIC-ASRC private lands that are set forth in Appendix 2 
     of the August 9, 1983, agreement between Arctic Slope 
     Regional Corporation and the United States.
       ``(f) Facility Consolidation Planning.--
       ``(1) In general.--The Secretary shall, after providing for 
     public notice and comment, prepare and update periodically a 
     plan to govern, guide, and direct the siting and construction 
     of facilities for the exploration, development, production, 
     and transportation of Coastal Plain oil and gas resources.
       ``(2) Objectives.--The plan shall have the following 
     objectives:
       ``(A) Avoiding unnecessary duplication of facilities and 
     activities.
       ``(B) Encouraging consolidation of common facilities and 
     activities.
       ``(C) Locating or confining facilities and activities to 
     areas that will minimize impact on fish and wildlife, their 
     habitat, and the environment.
       ``(D) Using existing facilities wherever practicable.
       ``(E) Enhancing compatibility between wildlife values and 
     development activities.

     ``SEC. 1908. EXPEDITED REVIEW.

       The provisions and limitations in subsections 203(c), ``(d) 
     and (e) of Public Law 93-153 shall apply to all actions and 
     decisions concerning pre- leasing, leasing and development 
     activities authorized in this title.''

     ``SEC. 1909. RIGHTS-OF-WAY ACROSS THE COASTAL PLAIN.

       ``(a) Exemption.--Title XI of the Alaska National Interest 
     Lands Conservation Act of 1980 (16 U.S.C. 3161 et seq.) shall 
     not apply to the issuance by the Secretary under section 28 
     of the Mineral Leasing Act (30 U.S.C. 185) of rights-of-way 
     and easements across the Coastal Plain for the transportation 
     of oil and gas.
       ``(b) Terms and Conditions.--The Secretary shall include in 
     any right-of-way or easement referred to in subsection (a) 
     such terms and conditions as may be necessary to ensure that 
     transportation of oil and gas does not result in a 
     significant adverse effect on the fish and wildlife, 
     subsistence resources, their habitat, and the environment of 
     the Coastal Plain, including requirements that facilities be 
     sited or designed so as to avoid unnecessary duplication of 
     roads and pipelines.
       ``(c) Regulations.--The Secretary shall include in 
     regulations under section 1903(g) provisions granting rights-
     of-way and easements described in subsection (a) of this 
     section.

     ``SEC. 1910. CONVEYANCE.

       In order to maximize Federal revenues by removing clouds on 
     title to lands and clarifying land ownership patterns within 
     the Coastal Plain, the Secretary, notwithstanding the 
     provisions of section 1302(h)(2) of the Alaska National 
     Interest Lands Conservation Act (16 U.S.C. 3192(h)(2)), shall 
     convey--
       ``(a) to the Kaktovik Inupiat Corporation the surface 
     estate of the lands described in paragraph 1 of Public Land 
     Order 6959, to the extent necessary to fulfill the 
     Corporation's entitlement under section 12 of the Alaska 
     Native Claims Settlement Act (43 U.S.C. 1611) in accordance 
     with the terms and conditions of the Agreement between the 
     Department of the Interior, the Fish and Wildlife Service, 
     the Bureau of Land Management, and the Kaktovik Inupiat 
     Corporation effective January 22, 1993; and
       ``(b) to the Arctic Slope Regional Corporation the 
     remaining subsurface estate to which it is entitled pursuant 
     to the August 9, 1983, agreement between the Arctic Slope 
     Regional Corporation and the United States of America.

     ``SEC. 1911. COASTAL PLAIN LOCAL GOVERNMENT IMPACT AID 
                   ASSISTANCE FUND.

                ``(a) Financial Assistance Authorized.--

       ``(1) In general.--The Secretary of the Interior may use 
     amounts available from the Coastal Plain Local Government 
     Impact Aid Assistance Fund established by subsection (d) to 
     provide timely financial assistance to entities that are 
     eligible under paragraph (2) and that are directly affected 
     by the exploration for or production of oil and gas on the 
     Coastal Plain under this title.
       ``(2) Eligible entities.--The North Slope Borough, 
     Kaktovik, and other boroughs, municipal subdivisions, 
     villages, and any other community organized under Alaska 
     State law shall be eligible for financial assistance under 
     this section.
       ``(b) Use of Assistance.--Financial assistance made 
     available under this section may be used only for--
       ``(1) planning for mitigation of the potential effects of 
     oil and gas exploration and development on environmental, 
     social, cultural, recreational and subsistence values;
       ``(2) implementing mitigation plans and maintaining 
     mitigation projects; and
       ``(3) developing, carrying out, and maintaining projects 
     and programs that provide new or expanded public facilities 
     and services to address needs and problems associated with 
     such effects, including firefighting,

[[Page S2738]]

     police, water, waste treatment, medivac, and medical 
     services.
       ``(c) Application.--
       ``(1) In general.--Any community that is eligible for 
     assistance under this section may submit an application for 
     such assistance to the Secretary of the Interior, in such 
     form and under such procedures as the Secretary of the 
     Interior may prescribe by regulation.
       ``(2) North slope borough communities.--A community located 
     in the North Slope Borough may apply for assistance under 
     this section either directly to the Secretary or through the 
     North Slope Borough.
       ``(3) Application assistance.--The Secretary of the 
     Interior shall work closely with and assist the North Slope 
     Borough and other communities eligible for assistance under 
     this section in developing and submitting applications for 
     assistance under this section.
       ``(d) Establishment of Fund.--
       ``(1) In general.--A separate account is hereby established 
     in the U.S. Treasury which shall be known as the ``Coastal 
     Plain Local Government Impact Aid Assistance Fund''.
       ``(2) Use.--Amounts in the fund may be used only for 
     providing financial assistance under this section and shall 
     be available to the Secretary of the Interior without further 
     appropriation and without fiscal year limitation.
       ``(3) Deposits.--Subject to paragraph (4), and in 
     accordance with section 1912(a)(2) of this title, there shall 
     be deposited into the fund amounts received by the United 
     States as revenues derived from bonus bids on leases and 
     lease sales authorized under this title.
       ``(4) Investment of balances.--The Secretary of the U.S. 
     Treasury shall invest amounts in the fund in interest bearing 
     government securities.

     ``SEC. 1912. REVENUE ALLOCATION.

       ``(a) Bonus Bids.--Notwithstanding section 1904 of this 
     title, the Mineral Leasing Act (30 U.S.C. 181 et. Seq.), or 
     any other law, of the amount of the adjusted bonus bids from 
     oil and gas leasing and operations authorized under this 
     title--
       ``(1) 50 percent shall be paid to the State of Alaska;
       ``(2) 1 percent shall be deposited into the Coastal Plain 
     Local Government Impact Aid Assistance Fund as authorized 
     under section 1911 of this title; and
       ``(3) The balance of such revenues shall be distributed as 
     follows:
       ``(i) $10 million shall be available to the Secretary of 
     Energy, without further appropriation and without fiscal year 
     limitation, to fill the Strategic Petroleum Reserve, 
     including terminalling, transportation, power and third party 
     inspections, and to the extent the Secretary of Energy 
     determines that geographic dispersal of the Reserve would 
     enhance its use for national security, the Secretary of 
     Energy shall consider adding Strategic Petroleum Reserves to 
     the West Coast and Hawaii, consistent with current law; and
       ``(ii) the remainder of the balance shall be deposited into 
     the Conservation, Jobs, and Steel Reinvestment Trust Fund as 
     provided in section 1914.
       ``(b) Rents and Royalties.--Notwithstanding section 1904 of 
     this title, the Mineral Leasing Act (30 U.S.C. 181, et. 
     seq.), or any other law, of the amount of the rents and 
     royalties from oil and gas leasing and operations authorized 
     under this title--
       ``(1) 50 percent shall be paid to the State of Alaska; and
       ``(2) 50 percent shall be deposited into the Conservation, 
     Jobs, and Steel Reinvestment Trust Fund, in accordance with 
     the provisions of section 1914, and thereafter into the U.S. 
     Treasury as miscellaneous receipts.
       ``(c) Payments to State.--Payments to the State of Alaska 
     under this section shall be transferred on the 15th day of 
     each month as a direct lump sum payment from the Treasury 
     without further appropriation.

     ``SEC. 1913. ADDITIONAL WILDERNESS DESIGNATION.--

       Notwithstanding Sections 101(d) and 1326 of the Alaska 
     National Interest Lands Conservation Act, Section 702(3) of 
     the Alaska National Interest Lands Conservation Act (P.L. 96-
     487) is amended to read as follows:
       ``(3) Mollie Beattie Wilderness of approximately 9.5 
     million acres generally depicted on a map entitled ``Arctic 
     National Wildlife Refuge'' dated April 2002 on file in the 
     Office of the Director of the U.S. Fish and Wildlife 
     Service;''.

     ``1914. CONSERVATION, JOBS, AND STEEL REINVESTMENT TRUST 
                   FUND.

       ``(a) Establishment.--There is hereby established in the 
     Treasury of the United States a separate account which shall 
     be known as the `Conservation, Jobs, and Steel Reinvestment 
     Trust Fund'.
       ``(b) Deposits.--Deposits described in subsection (g), the 
     bonus bid revenues described in section 1912(a)(3)(ii) from 
     leases authorized or issued under this title, and for 30 
     years following the production from leases issued under this 
     title fifty percent of the rents, royalties and other 
     payments, as described in section 1912(b)(2), shall be 
     deposited into the Conservation, Jobs, and Steel Reinvestment 
     Trust Fund. Amounts described at subsections (c)(2), (3), (4) 
     and (5) of this section and deposited in such Fund each 
     fiscal year shall be available until expended without further 
     appropriation. Amounts described at subsections (c)(1) and 
     (g) and deposited in such Fund shall be available in 
     accordance with subsection (g).
       ``(c) Use Generally.--Subject to paragraph (d), of the 
     funds deposited into the Conservation, Jobs, and Steel 
     Reinvestment Trust Fund--
       ``(1)(A) 57 percent of bonus bids in Fiscal Year 2003;
       ``(B) 48 percent of bonus bids in Fiscal Year 2005; and
       ``(C) 90 percent of rents, royalties and payments for the 
     first 30 years of production shall be available for 
     activities described in subsection (g).
       ``(2)(A) 10 percent of bonus bids in Fiscal Year 2003; and
       ``(B) 10 percent of bonus bids in Fiscal Year 2005

     may be used by the Secretary of the Interior, the Secretary 
     of Agriculture, and the Secretary of Energy to finance 
     grants, contracts, cooperative agreements (including 
     Memoranda of Understanding), and programs for direct 
     activities of the Departments of the Interior, Energy, and 
     Agriculture to--
       ``(i) eliminate maintenance and improvement backlogs on 
     Federal lands;
       ``(ii) restore and protect upland and coastal habitat;
       ``(iii) provide public access and necessary facilities for 
     visitor accommodations;
       ``(iv) restore and improve historic landmarks and property;
       ``(v) develop urban parks through the Urban Park Recreation 
     and Recovery Program and state and local recreation areas;
       ``(vi) support renewable energy programs, expand energy 
     efficiency programs (including the Steel Industry of the 
     Future program), and develop alternative energy sources; and
       ``(vii) support other related authorized programs within 
     the jurisdiction of the House and Senate Committees on 
     Appropriations.
       ``(3)(A) 15 percent of bonus bids in Fiscal Year 2003; and
       ``(B) 15 percent of bonus bids in Fiscal Year 2005

     may be used by the Secretary of Commerce to provide grants, 
     loans, and other assistance (including federal loans with 
     deferred or forgivable payments) to modernize the United 
     States steel, heavy equipment, and related manufacturing 
     industries, and to produce the necessary materials and 
     equipment and construct the necessary infrastructure to 
     support such industries, with emphasis on the transportation 
     systems and infrastructure necessary to transport domestic 
     petroleum products, under authorized programs including, but 
     not limited to--
       ``(i) the Manufacturing Enterprise Program to stimulate 
     manufacturing capacity;
       ``(ii) the Economic Development Administration;
       ``(iii) the International Trade Administration; and
       ``(iv) federal loan guarantees to finance private sector 
     construction of such transportation systems and 
     infrastructure; and
       ``(v) other related authorized programs within the 
     jurisdiction of the House and Senate Committees on 
     Appropriations to improve or increase manufacturing 
     capacities and capabilities in the United States.
       ``(4)(A) 10 percent of bonus bids in Fiscal Year 2003; and
       ``(B) 10 percent in Fiscal Year 2005

     may be used by the Secretary of Labor, except as provided 
     under subsection (e), to train American workers to fabricate, 
     construct, operate, and transport materials for systems and 
     infrastructure necessary to transport domestic petroleum 
     products using authorized programs, including but not limited 
     to--
       ``(i) veterans employment and training programs;
       ``(ii) dislocated workers program to train unemployed 
     workers;
       ``(iii) the Mine Safety and Health Administration;
       ``(iv) the Occupational Safety and Health Administration;
       ``(v) employment and training administration programs; and
       ``(vi) other related authorized job training and worker 
     programs within the jurisdiction of the House and Senate 
     Committees on Appropriations.
       ``(5)(A) $100 million in Fiscal Year 2003;
       ``(B) $50 million in Fiscal Year 2005; and
       ``(C) 10 percent of the rents, royalties and payments for 
     the first 30 years of production

     shall be deposited into the Fund established by section 401 
     of the Surface Mining Control and Reclamation Act of 1977 (30 
     U.S.C. 1231), and shall be available without further 
     appropriation for transfer, as needed, to the Combined Fund 
     identified in section 402(h)(2) of the Surface Mining Control 
     and Reclamation Act of 1977 (30 U.S.C. 1231) to pay the 
     amount of any shortfall in any premium account for any plan 
     year under the Combined Fund.''
       In the event bonus bids received exceed the amounts 
     specified in subparagraphs (1)(A) and (B), 2(A) and (B), 3(A) 
     and (B), 4(A) and (B) and 5(A) and (B), 90 percent of such 
     excess funds shall be available for uses as described in 
     paragraph (1), and 10 percent of such excess funds shall be 
     available for use as described in paragraph (5) of this 
     subsection.
       ``(d) Assurance.--The President, at his discretion, may 
     request that amounts available in any fiscal year under 
     paragraphs (c)(2), (3), and (4) be reallocated among the 
     qualified uses in paragraphs (c)(2), (c)(3), and (c)(4) 
     through appropriations acts.
       ``(e) Maximizing American Employment.--The Secretary of 
     State is authorized to enter

[[Page S2739]]

     into agreements with foreign countries to allow American 
     workers to enter foreign countries to construct, operate, and 
     maintain projects that will increase production and 
     transportation of domestic energy resources and reduce 
     America's reliance on foreign oil and natural gas.
       ``(f) Severability Clause.--If any provision of this 
     section, including subsections, sentences, clauses, phrases, 
     or individual words, or the application thereof is held 
     invalid, the validity of the remainder of the section and of 
     the application of any such provision, subsection, sentence, 
     clause, phrase, or individual word shall not be affected 
     thereby.''.
       ``(g) Establishment of Steel Industry Retiree Benefits 
     Protection Program.--The Trade Act of 1974 is amended by 
     adding at the end the following new title:

     ``TITLE IX--PROTECTION FOR STEEL INDUSTRY RETIREMENT BENEFITS

``SUBTITLE A. Definitions.
``SUBTITLE B. Steel Industry Retiree Benefits Protection Program.
``SUBTITLE C. Conservation Jobs, and Steel Reinvestment Trust Fund.

                       ``Subtitle A--Definitions

``Sec. 901. Definitions.

     ``SEC. 901. DEFINITIONS.

       ``(a) Terms Relating to Benefits Program.--For purposes of 
     this title--
       ``(1) Retiree benefits program.--The term `retiree benefits 
     program' means the Steel Industry Retiree Benefits Protection 
     Program established under this title to provide medical and 
     death benefits to eligible retirees and beneficiaries.
       ``(2) Steel retiree benefits.--
       ``(A) In general.--The term `steel retiree benefits' means 
     medical, surgical, or hospital benefits, and death benefits, 
     whether furnished through insurance or otherwise, which are 
     provided to retirees and eligible beneficiaries in accordance 
     with an employee benefit plan (within the meaning of section 
     3(3) of the Employee Retirement Income Security Act of 1974) 
     which--
       ``(i) is established or maintained by a qualified steel 
     company or an applicable acquiring company, and
       ``(ii) is in effect on or after January 1, 2000.

     Such term includes benefits provided under a plan without 
     regard to whether the plan is established or maintained 
     pursuant to a collective bargaining agreement.
       ``(B) Retiree.--
       ``(i) In general.--The term `retiree' means an individual 
     who has met any years of service or disability requirements 
     under an employee benefit plan described in subparagraph (A) 
     which are necessary to receive steel retiree benefits under 
     the plan.
       ``(ii) Certain retirees included.--An individual shall not 
     fail to be treated as a retiree because the individual--
       ``(I) retired before January 1, 2000, or
       ``(II) was not employed at the steelmaking assets of a 
     qualified steel company.
       ``(b) Terms Relating to Steel Companies.--For purposes of 
     this title--
       ``(1) Qualified steel company.--
       ``(A) In general.--The term `qualified steel company' means 
     any person which on January 1, 2000, was engaged in--
       ``(i) the production or manufacture of a steel mill 
     product,
       ``(ii) the mining or processing of iron ore or beneficiated 
     iron ore products, or
       ``(iii) the production of coke for use in a steel mill 
     product.
       ``(B) Transportation.--The term `qualified steel company' 
     includes any person which on January 1, 2000, was engaged in 
     the transportation of any steel mill product solely or 
     principally for another person described in subparagraph (A), 
     but only if such person and such other person are related 
     persons.
       ``(C) Successors in interest.--The term `qualified steel 
     company' includes any successor in interest of a person 
     described in subparagraph (A) or (B).
       ``(2) Steelmaking assets and steel mill products.--
       ``(A) Steelmaking assets.--The term `steelmaking assets' 
     means any land, building, machinery, equipment, or other 
     fixed assets located in the United States which, at any time 
     on or after January 1, 2000, have been used in the activities 
     described in subparagraph (A) or (B) of paragraph (1).
       ``(B) Steel mill product.--The term `steel mill product' 
     means any product defined by the American Iron and Steel 
     Institute as a steel mill product.
       ``(3) Acquiring company.--The term `acquiring company' 
     means any person which acquired on or after January 1, 2000, 
     steelmaking assets of a qualified steel company with respect 
     to which a qualifying event has occurred.
       ``(c) Other Definitions.--For purposes of this title--
       ``(1) Related person.--The term `related person' means, 
     with respect to any person, a person who--
       ``(A) is a member of the same controlled group of 
     corporations (within the meaning of section 52(a)) as such 
     person, or
       ``(B) is under common control (within the meaning of 
     section 52(b)) with such person.
       ``(2) Secretary.--The term `Secretary' means the Secretary 
     of Commerce.
       ``(3) Trust fund.--The term `Trust Fund' means the 
     Conservation, Jobs, and Steel Reinvestment Trust Fund 
     established under section 1914 of the Energy Policy Act of 
     2002.

    ``Subtitle B--Steel Industry Retiree Benefits Protection Program

``I. Establishment.
``II. Relief and assumption of liability, eligibility, and 
              certification.
``III. Program benefits.

                        ``PART I--ESTABLISHMENT

``Sec. 902. Establishment.

     ``SEC. 902. ESTABLISHMENT.

       ``There is established a Steel Industry Retiree Benefits 
     Protection program to be administered by the Secretary and 
     the Board of Trustees for the amounts of the Trust Fund 
     described in section 1914(c)(1) of the Energy Policy Act of 
     2002 and this title in accordance with the provisions of this 
     title for the purpose of providing medical and death benefits 
     to eligible retirees and eligible beneficiaries certified as 
     participants in the program under part II.

    ``PART II--RELIEF AND ASSUMPTION OF LIABILITY, ELIGIBILITY, AND 
                             CERTIFICATION

``Sec. 911. Relief and assumption of liability.
``Sec. 912. Qualifying events.
``Sec. 913. Eligibility and certification of eligibility.

     ``SEC. 911. RELIEF AND ASSUMPTION OF LIABILITY.

       ``(a) In General.--If--
       ``(1) the Secretary certifies under section 912 that there 
     was a qualifying event with respect to a qualified steel 
     company,
       ``(2) the asset transfer requirements of subsection (b) and 
     the contribution requirements of subsection (c) are met with 
     respect to the qualifying event, then the United States shall 
     assume liability, subject to amounts available in the Trust 
     Fund and additional funds made available in appropriations 
     acts, for the provision of steel retiree benefits for each 
     eligible retiree and eligible beneficiary certified for 
     participation in the retiree benefits program under section 
     913 (and the qualified steel company, any predecessor or 
     successor, and any related person to such company, 
     predecessor, or successor shall be relieved of any liability 
     for the provision of such benefits). The United States shall 
     be treated as satisfying any liability assumed under this 
     subsection if benefits are provided to eligible retirees and 
     eligible beneficiaries under the retiree benefits program 
     provided in part III, and
       ``(3) the qualified steel company and any acquiring company 
     assumes their respective liability to make any contributions 
     required under subsection(c),
       then the United States shall assume liability, subject to 
     amounts available in the Trust Fund and additional funds made 
     available in appropriations acts, for the provision of steel 
     retiree benefits for each eligible retiree and eligible 
     beneficiary certified for participation in the retiree 
     benefits program under section 913 (and the qualified steel 
     company, any predecessor or successor, and any related person 
     to such company, predecessor, or successor shall be relieved 
     of any liability for the provision of such benefits). The 
     United States shall be treated as satisfying any liability 
     assumed under this subsection if benefits are provided to 
     eligible retirees and eligible beneficiaries under the 
     retiree benefits program provided in part III.
       ``(b) Required Asset Transfers.--
       ``(1) In general.--The requirements of this subsection are 
     met if the qualified steel company and any applicable 
     acquiring company transfer to the Trust Fund all assets, as 
     determined in accordance with rules prescribed by the 
     Secretary, which, under the terms of an applicable collective 
     bargaining agreement, were required to be set aside under an 
     employee benefit plan or otherwise for the provision of the 
     steel retiree benefits the liability for which (determined 
     without regard to this subsection) is relieved by operation 
     of subsection (a). The assets required to be transferred 
     shall not include voluntary contributions, including 
     voluntary contributions made pursuant to a voluntary 
     employees beneficiary association trust, which are in excess 
     of the contributions described in the preceding sentence.
       ``(2) Determination.--The amount of the assets to be 
     transferred under paragraph (1) shall be determined at the 
     time of the certification under section 912 and shall include 
     interest from the time of the determination to the time of 
     transfer. Such amount shall be reduced by any payments from 
     such assets which are made after the determination by 
     the qualified steel company or applicable acquiring 
     company for the provision of steel retiree benefits for 
     which such assets were set aside and the liability for 
     which (determined without regard to this subsection) is 
     relieved by operation of subsection (a).
       ``(c) Contribution Requirements.--
       ``(1) Contributions based on ownership of steelmaking 
     assets.--
       ``(A) In general.--If there is a qualifying event certified 
     under section 912 with respect to a qualified steel company--
       ``(i) the qualified steel company shall assume the 
     obligation to pay, and
       ``(ii) if the qualified steel company transferred on or 
     after January 1, 2000, any of its steelmaking assets, the 
     qualified steel company and any acquiring company acquiring 
     such assets as part of a qualifying event shall assume the 
     obligation to pay,

     to the Trust Fund for each of the years in the period 
     beginning on the date of the qualifying event its ratable 
     share of the amount determined under subparagraph (B) with 
     respect to the steelmaking assets owned by such company or 
     person.
       ``(B) Amount of liability.--
       ``(i) In general.--The amount required to be paid under 
     subparagraph (A) for any year

[[Page S2740]]

     shall be equal to $6 per ton of products described in section 
     901(b)(1)(A) attributable to the steelmaking assets which are 
     subject to the qualifying event. If 2 or more persons own 
     steelmaking capacity or assets, the liability under this 
     clause shall be allocated ratably on the basis of their 
     respective ownership interests. The determination under this 
     clause for any year shall be made on the basis of shipments 
     during the calendar year preceding the calendar year in which 
     such year begins. In the event the cost of the program is 
     reduced the amount paid by qualified steel companies per ton 
     of products described in 901(b)(1)(A) shall be reduced by the 
     same percentage.
       ``(ii) Reductions in liability.--The amount of any 
     liability under clause (i) for any year shall be reduced by 
     the amount of any assets transferred to the Trust Fund under 
     subsection (b), reduced by any portion of such amount applied 
     to a liability for any preceding year. If 2 or more persons 
     are liable under subparagraph (A) with respect to any 
     qualifying event, the reduction under clause (i) shall be 
     allocated ratably among such persons on the basis of their 
     respective liabilities or in such other manner as such 
     persons may agree.
       ``(2) FASB liability in case of certain qualifying 
     events.--
       ``(A) In general.--If there is a qualifying event (other 
     than a qualified acquisition) with respect to a qualified 
     steel company, then, subject to the provisions of 
     subparagraphs (C) and (D), the qualified steel company shall 
     be liable for payment to the Trust Fund of the amount 
     determined under subparagraph (B). If a qualified acquisition 
     occurs after another qualifying event, such other qualifying 
     event shall be disregarded for purposes of this paragraph.
       ``(B) Amount of liability.--The amount determined under 
     this subparagraph shall be equal to the excess (if any) of--
       ``(i) the amount determined under the Financial Accounting 
     Standards Board Rule 106 as being equal to the present value 
     of the steel retiree benefits of eligible retirees and 
     beneficiaries of the qualified steel company the liability 
     for which (determined without regard to any modification 
     pursuant to section 1114 of title 11, United States Code) is 
     relieved under subsection (a), over
       ``(ii) the sum of--
       ``(I) the value of the assets transferred under subsection 
     (b) with respect to the retirees and beneficiaries, and
       ``(II) the present value of any payments (other than 
     payments determined under this subparagraph) to be made under 
     this subsection with respect to steelmaking assets of the 
     qualified steel company.
       ``(C) Discharges in bankruptcy.--The amount of any 
     liability under subparagraph (B) shall be reduced by the 
     portion of such liability which, in accordance with the 
     provisions of title 11, United States Code, is discharged in 
     any bankruptcy proceeding.
       ``(D) No liability if industry-wide election made.--If a 
     qualifying event occurs by reason of a qualified election 
     under section 912(d)(2)(B), then--
       ``(i) any liability that arose under this paragraph for any 
     qualifying event occurring before such election is 
     extinguished (and any payment of such liability shall be 
     refunded from the Trust Fund with interest), and
       ``(ii) this paragraph shall not apply to the qualifying 
     event occurring by reason of such election or any subsequent 
     qualifying event.
       ``(3) Joint and several liability.--Any related person of 
     any person liable for any payment under this subsection shall 
     be jointly and severally liable for the payment.
       ``(4) Time and manner of payment.--The Secretary shall 
     establish the time and manner of any payment required to be 
     made under this subsection, including the payment of 
     interest.

     SEC. 912. QUALIFYING EVENTS.

       ``(a) In General.--For purposes of this title, the term 
     `qualifying event' means any--
       ``(1) qualified acquisition,
       ``(2) qualified closing,
       ``(3) qualified election, and
       ``(4) qualified bankruptcy transfer.
       ``(b) Qualified Acquisition.--For purposes of this title, 
     the term `qualified acquisition' means any arms'-length 
     transaction or series of related transactions--
       ``(1) under which a person (whether or not a qualified 
     steel company) acquires by purchase, merger, stock 
     acquisition, or otherwise all or substantially all of the 
     steelmaking assets held by the qualified steel company as of 
     January 1, 2000, and
       ``(2) which occur on and after January 1, 2000, and before 
     the date which is 2 years after the date of the enactment of 
     this title.
       Such term shall not include any acquisition by a related 
     person.
       ``(c) Qualified Closing.--For purposes of this title--
       ``(1) In general.--The term `qualified closing' means--
       ``(A) the permanent cessation on or after January 1, 2000, 
     and before January 1, 2004, by a qualified steel company 
     operating under the protection of chapter 11 or 7 of title 
     11, United States Code, of all activities described in 
     subparagraph (A) or (B) of paragraph (1) of section 901(b), 
     or
       ``(B) the transfer on or after January 1, 2000, and before 
     January 1, 2004, by a qualified steel company operating under 
     the protection of chapter 11 or 7 of title 11, United States 
     Code, of all or substantially all of its steelmaking assets 
     to 1 or more persons other than related persons in an arms'-
     length transaction or series of related transactions which do 
     not constitute a qualified acquisition.
       ``(2) Companies in imminent danger of closure.--A qualified 
     closing of a qualified steel company operating under the 
     protection of chapter 11 or 7 of title 11, United States 
     Code, shall be treated as having occurred if the company--
       ``(A) meets the acquisition effort requirements of 
     paragraph (3),
       ``(B) establishes to the satisfaction of the Secretary 
     that--
       ``(i) it is in imminent danger of becoming a closed 
     company, or
       ``(ii) in the case of a company operating under protection 
     of chapter 11 of title 11, United States Code, it is unable 
     to reorganize without the relief provided under this title, 
     and
       ``(C) elects, in such manner as the Secretary prescribes, 
     at any time after the date of the enactment of this title and 
     before the date which is 2 years after the date of the 
     enactment of this title, to avail itself of the relief 
     provided under this title.
       ``(3) Acquisition effort requirements.--
       ``(A) In general.--The requirements of this paragraph are 
     met by a qualified steel company if--
       ``(i) the company files with the Secretary within 10 days 
     of the date of the enactment of this title--
       ``(I) a notice of intent to be acquired, and
       ``(II) a description of the actions the company will 
     undertake to have its steelmaking assets acquired in a 
     qualified acquisition, and
       ``(ii) the company at all times after the filing under 
     clause (i) and the date which is 2 years after the date of 
     the enactment of this title (or, if earlier, the date on 
     which the requirement of paragraph (2)(B) is satisfied) makes 
     a continuing, good faith effort to have its steelmaking 
     assets acquired in a qualified acquisition.
       ``(B) Good faith effort.--A continuing, good faith effort 
     under subparagraph (A)(ii) shall include--
       ``(i) the active marketing of a company's steelmaking 
     assets through the retention of an investment banker, the 
     preparation and distribution of offering materials to 
     prospective purchasers, allowing due diligence and 
     investigatory activities by prospective purchasers, the 
     active and good faith consideration of all expressions of 
     interest by prospective purchasers, and any other affirmative 
     action designed to result in a qualified acquisition of a 
     company's steelmaking assets, and
       ``(ii) a demonstration to the Secretary by the company that 
     no bona fide and fair offer which would have resulted in a 
     qualified acquisition of the company's steelmaking assets has 
     been unreasonably refused.
       ``(d) Qualified Election.--For purposes of this title--
       ``(1) In general.--The term `qualified election' means an 
     election by a qualified steel company operating under the 
     protection of chapter 11 or 7 of title 11, United States 
     Code, meeting the acquisition effort requirements of 
     subsection (c)(3) to transfer its obligations for steel 
     retiree benefits to the retiree benefit program. Such an 
     election shall be made not earlier than the date which is 2 
     years after the date of the enactment of this title, and in 
     such manner as the Secretary may prescribe.
       ``(2) Industry-wide election.--Notwithstanding paragraph 
     (1), a qualified election shall be treated as having occurred 
     with respect to a qualified steel company (whether or not 
     operating under the protection of chapter 11 or 7 of title 
     11, United States Code) if--
       ``(A) the Secretary determines that at least 200,000 
     eligible retirees and beneficiaries have been certified under 
     section 913 for participation in the retiree benefits 
     program, and
       ``(B) the qualified steel company elects to avail itself of 
     the relief provided under this title on or after the date of 
     the determination under subparagraph (A).
       ``(e) Qualified Bankruptcy Transfer.--For purposes of this 
     title, the term `qualified bankruptcy transfer' means any 
     transaction or series of transactions--
       ``(1) under which the qualified steel company, operating 
     under the protection of chapter 11 or 7 of title 11, United 
     States Code, transfers by any means (including but not 
     limited to a plan of reorganization) its control over at 
     least 30 percent of the production capacity of its 
     steelmaking assets to 1 or more persons which are not related 
     persons of such company,
       ``(2) which are not part of a qualified acquisition or 
     qualified closing of a qualified steel company, and
       ``(3) which occur on and after January 1, 2000, and before 
     January 1, 2004.
       ``(f) Certification.--
       ``(1) In general.--The Secretary shall certify a qualifying 
     event with respect to a qualified steel company if the 
     Secretary determines that the requirements of this title are 
     met with respect to such event and that the asset transfer 
     and contribution requirements of section 911 will be met.
       ``(2) Time for decision.--The Secretary shall make any 
     determination under this subsection as soon as possible after 
     a request is filed (and in the case of a request for 
     certification as a qualified acquisition filed at least 60 
     days before the proposed date of the acquisition, before such 
     proposed date).
       ``(3) Eligibility to file request.--A request for 
     certification under this subsection may be made by the 
     qualified steel company

[[Page S2741]]

     or any labor organization acting on behalf of retirees of 
     such company.

     ``SEC. 913. ELIGIBILITY AND CERTIFICATION.

       ``(a) Retirees.--
       ``(1) In general.--Any individual who is a retiree of a 
     qualified steel company with respect to which the Secretary 
     has certified under section 912 that a qualifying event has 
     occurred shall be treated as an eligible retiree for purposes 
     of this title if--
       ``(A) the individual was receiving steel retiree benefits 
     under an employee benefit plan described in section 
     901(a)(2)(A) as of the date of the qualifying event, or
       ``(B) the individual was eligible to receive such benefits 
     on such date but was not receiving such benefits because the 
     plan ceased to provide such benefits.
       ``(2) Certain individuals included.--An individual shall be 
     treated as an eligible retiree under paragraph (1) if the 
     individual--
       ``(A) was an employee of the qualified steel company before 
     a qualified acquisition,
       ``(B) became an employee of the acquiring company as a 
     result of the acquisition, and
       ``(C) voluntarily retires within 3 years of the 
     acquisition.
       ``(b) Beneficiaries.--An individual shall be treated as an 
     eligible beneficiary for purposes of this title if the 
     individual is the spouse, surviving spouse, or dependent of 
     an eligible retiree (or an individual who would have been an 
     eligible retiree but for the individual's death before the 
     date of the qualifying event).
       ``(c) Certification of Eligible Retirees and 
     Beneficiaries.--
       ``(1) In general.--The Board of Trustees shall certify an 
     individual as an eligible retiree or eligible beneficiary if 
     the individual meets the requirements of this section.
       ``(2) Eligibility to file request.--A request for 
     certification under this subsection may be filed by any 
     individual seeking to be certified under this subsection, the 
     qualified steel company, an acquiring company, a labor 
     organization acting on behalf of retirees of such company, or 
     a committee appointed under section 1114 of title 11, United 
     States Code.
       ``(d) Records.--A qualified steel company, an acquiring 
     company, and any successor in interest shall on and after the 
     date of the enactment of this title maintain and make 
     available to the Secretary and the Board of Trustees, all 
     records, documents, and materials (including computer 
     programs) necessary to make the certifications under this 
     section.

                       PART III--PROGRAM BENEFITS

       ``Sec. 921. Program benefits.

     ``SEC. 921. PROGRAM BENEFITS.

       ``(a) General Rule.--Each eligible retiree and eligible 
     beneficiary who is certified for participation in the retiree 
     benefits program shall be entitled subject only to amounts 
     available in the Trust Fund and additional funds made 
     available in appropriations acts--
       ``(1) to receive health care benefits coverage described in 
     subsection (b), and
       ``(2) in the case of an eligible retiree, payment of $5,000 
     death benefits coverage to the beneficiary of the retiree 
     upon the retiree's death.
       ``(b) Health Care Benefits Coverage.--
       ``(1) In general.--The Board of Trustees shall establish 
     health care benefits coverage under which eligible retirees 
     and beneficiaries are provided benefits for health care items 
     and services that are substantially the same as the benefits 
     offered as of January 1, 2002, under the Blue Cross/Blue 
     Shield Standard Plan provided under the Federal Employees 
     Health Benefit Program under chapter 89 of title 5, United 
     States Code, to Federal employees and annuitants. In 
     providing the benefits under such program, the secondary 
     payer provisions and the provisions relating to benefits 
     provided when an individual is eligible for benefits under 
     the medicare program under title XVIII of the Social Security 
     Act that are applicable under such Plan shall apply in the 
     same manner as such provisions apply to Federal employees and 
     annuitants under such Plan.
       ``(2) Contracting authority.--The Board of Trustees shall 
     have the authority to enter into such contracts as are 
     necessary to carry out the provisions of this subsection, 
     including contracts necessary to ensure adequate geographic 
     coverage and cost control. The Board of Trustees may use the 
     authority under this subsection to establish preferred 
     provider organizations or other alternative delivery systems.
       ``(3) Premiums, deductibles, and cost sharing.--The Board 
     of Trustees of the Trust 15 Fund shall establish premiums, 
     deductibles, and cost sharing for eligible retirees and 
     beneficiaries provided health care benefits coverage under 
     paragraph (1) which are substantially the same as those 
     required under the Blue Cross/Blue Shield Standard Plan 
     described in paragraph (1).

  ``Subtitle C.--Conservation, Jobs, and Steel Reinvestment Trust Fund

     ``SEC. 931. CONSERVATION, JOBS AND STEEL REINVESTMENT TRUST 
                   FUND.

       ``(a) Transfers to the conservation, jobs and steel 
     reinvestment trust fund.--
       ``(1) In general.--There are appropriated to the Trust Fund 
     established in section 1914 of the Energy Policy Act of 2002 
     amounts equivalent to--
       ``(A) tariffs on steel mill products received in the 
     Treasury under title II of this Act,
       ``(B) amounts received in the Treasury from asset transfers 
     and contributions under section 911,
       ``(C) amounts credited to the Trust Fund under section 
     9602(b) of the Internal Revenue Code of 1986,
       ``(D) the premiums paid by retirees under the program; and
       ``(E) bonus bids and rents, royalties and payments from the 
     production of oil deposited pursuant to section 1914(b) and 
     (c)(1) of the Energy Policy Act of 2002.
       ``(2) Authorization of appropriations.--There is authorized 
     to be appropriated to the Trust Fund each fiscal year an 
     amount equal to the excess (if any) of--C
       ``(A) expenditures from the amounts in the Trust Fund for 
     the fiscal year, over
       ``(B) the assets of the Trust Fund for the fiscal year 
     without regard to this paragraph.
       ``(b) Expenditures.--Amounts in the Trust Fund described in 
     section 1914(c)(1) of the Energy Policy Act of 2002 and this 
     section shall be available only for purposes of making 
     expenditures--
       ``(1) to meet the obligations of the United States with 
     respect to liability for steel retiree benefits transferred 
     to the United States under this title, and
       ``(2) incurred by the Secretary and the Board of Trustees 
     in the administration of this title.
       ``(c) Board of trustees.--
       ``(1) In general.--Amounts in the Trust Fund described in 
     section 1914(c)(1) of the Energy Policy Act of 2002 and this 
     section and the retiree benefits program shall be 
     administered by a Board of Trustees, consisting of--
       ``(A) 2 individuals designated by agreement of the 5 
     qualified steel companies which, as of the date of the 
     enactment of this title--
       ``(i) are conducting activities described in subparagraph 
     (A) or (B) of section 901(b)(1), and
       ``(ii) have the largest number of retirees, and
       ``(B) 2 individuals designated by the United Steelworkers 
     of America in consultation with the Independent Steelworkers 
     Union, and
       ``(C) 3 individuals designated by individuals designated 
     under subparagraphs (A) and (B).
       ``(2) Duties.--Except for those duties and responsibilities 
     designated to the Secretary, the Board of Trustees shall have 
     the responsibility to administer the amounts in the Trust 
     Fund described in section 1914(c)(1) of the Energy Policy 
     Act of 2002 and this section and the retiree benefits 
     program, including--
       ``(A) enrolling eligible retirees and beneficiaries under 
     the program,
       ``(B) procuring the medical services to be provided under 
     the program,
       ``(C) entering into contracts, leases, or other 
     arrangements necessary for the implementation of the program,
       ``(D) implementing cost-containment measures under the 
     program,
       ``(E) collecting revenues and enforcing claims and rights 
     of the program,
       ``(F) making disbursements as necessary under the program, 
     and
       ``(G) acquiring and maintaining such records as may be 
     necessary for the administration and implementation of the 
     program.
       ``(3) Report.--The Board of Trustees report to Congress 
     each year on the financial condition and the results of the 
     operations of the retiree benefits program during the 
     preceding fiscal year and on its expected condition and 
     operations during the next 2 fiscal years. Such report shall 
     be printed as a House document of the session of Congress to 
     which the report is made.
       ``(d) Transfer Investment of Assets.--Sections 9601 and 
     9602(b) of the Internal Revenue Code of 1986 shall apply to 
     the amounts in the Trust Fund described in section 1914(c)(1) 
     of the Energy Policy Act of 2002 and in this section.''.
                                  ____

  SA 3134. Mr. REID (for Mr. Kennedy (for himself, Mr. Jeffords, Mr. 
Frist, Mr. Bingaman, Mr. Roberts, Mr. Harkin, Mr. Bond, Mr. Daschle, 
Ms. Collins, Mr. Wellstone, Mr. Enzi, Mrs. Murray, Mr. Hutchinson, Ms. 
Mikulski, Mr. Dodd, Mr. Reed, Mr. Edwards, and Mrs. Clinton)) proposed 
an amendment to the bill S. 1533, to amend the Public Health Service 
Act to reauthorize and strengthen the health centers program and the 
National Health Service Corps, and to establish the Healthy Communities 
Access Program, which will help coordinate services for the uninsured 
and underinsured, and for other purposes; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Health 
     Care Safety Net Amendments of 2001''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.

         TITLE I--CONSOLIDATED HEALTH CENTER PROGRAM AMENDMENTS

Sec. 101. Health centers.

                         TITLE II--RURAL HEALTH

 Subtitle A--Rural Health Care Services Outreach, Rural Health Network 
 Development, and Small Health Care Provider Quality Improvement Grant 
                                Programs

Sec. 201. Grant programs.

               Subtitle B--Telehealth Grant Consolidation

Sec. 211. Short title.

[[Page S2742]]

Sec. 212. Consolidation and reauthorization of provisions.

    Subtitle C--Mental Health Services Telehealth Program and Rural 
  Emergency Medical Service Training and Equipment Assistance Program

Sec. 221. Programs.

            Subtitle D--School-Based Health Center Networks

Sec. 231. Networks.

            TITLE III--NATIONAL HEALTH SERVICE CORPS PROGRAM

Sec. 301. National Health Service Corps.
Sec. 302. Designation of health professional shortage areas.
Sec. 303. Assignment of corps personnel.
Sec. 304. Priorities in assignment of corps personnel.
Sec. 305. Cost-sharing.
Sec. 306. Eligibility for Federal funds.
Sec. 307. Facilitation of effective provision of corps services.
Sec. 308. Authorization of appropriations.
Sec. 309. National Health Service Corps Scholarship Program.
Sec. 310. National Health Service Corps Loan Repayment Program.
Sec. 311. Obligated service.
Sec. 312. Private practice.
Sec. 313. Breach of scholarship contract or loan repayment contract.
Sec. 314. Authorization of appropriations.
Sec. 315. Grants to States for loan repayment programs.
Sec. 316. Demonstration grants to States for community scholarship 
              programs.
Sec. 317. Demonstration project.

            TITLE IV--HEALTHY COMMUNITIES ACCESS PROGRAM ACT

Sec. 401. Purpose.
Sec. 402. Creation of Healthy Communities Access Program.
Sec. 403. Expanding availability of dental services.

                     TITLE V--RURAL HEALTH CLINICS

Sec. 501. Exemptions for rural health clinics.

                            TITLE VI--STUDY

Sec. 601. Guarantee study.

                    TITLE VII--CONFORMING AMENDMENTS

Sec. 701. Conforming amendments.

         TITLE I--CONSOLIDATED HEALTH CENTER PROGRAM AMENDMENTS

     SEC. 101. HEALTH CENTERS.

       Section 330 of the Public Health Service Act (42 U.S.C. 
     254b) is amended--
       (1) in subsection (b)(1)(A)--
       (A) in clause (i)(III)(bb), by striking ``screening for 
     breast and cervical cancer'' and inserting ``appropriate 
     cancer screening'';
       (B) in clause (ii), by inserting ``(including specialty 
     referral when medically indicated)'' after ``medical 
     services''; and
       (C) in clause (iii), by inserting ``housing,'' after 
     ``social,'';
       (2) in subsection (b)(2)--
       (A) in subparagraph (A)--
       (i) in clause (vi), by striking ``and'';
       (ii) by redesignating clause (vii) as clause (x); and
       (iii) by inserting after clause (vi) the following:
       ``(vii) the detection and alleviation of chemical and 
     pesticide exposures;
       ``(viii) the promotion of indoor and outdoor air quality;
       ``(ix) the detection and remediation of lead exposures; 
     and'';
       (B) by redesignating subparagraphs (A) and (B) as 
     subparagraphs (D) and (E), respectively;
       (C) by inserting before subparagraph (D) (as redesignated 
     by subparagraph (B)) the following:
       ``(A) behavioral and mental health and substance abuse 
     services;
       ``(B) recuperative care services;
       ``(C) public health services;'';
       (D) in subparagraph (B)--
       (i) in the heading, by striking ``Comprehensive service 
     delivery'' and inserting ``Managed care'';
       (ii) in the matter preceding clause (i), by striking 
     ``network or plan'' and all that follows to the period and 
     inserting ``managed care network or plan.''; and
       (iii) in the matter following clause (ii), by striking 
     ``Any such grant may include'' and all that follows through 
     the period; and
       (E) by adding at the end the following:
       ``(C) Practice management networks.--The Secretary may make 
     grants to health centers that receive assistance under this 
     section to enable the centers to plan and develop practice 
     management networks that will enable the centers to--
       ``(i) reduce costs associated with the provision of health 
     care services;
       ``(ii) improve access to, and availability of, health care 
     services provided to individuals served by the centers;
       ``(iii) enhance the quality and coordination of health care 
     services; or
       ``(iv) improve the health status of communities.
       ``(D) Use of funds.--The activities for which a grant may 
     be made under subparagraph (B) or (C) may include the 
     purchase or lease of equipment, which may include data and 
     information systems (including paying for the costs of 
     amortizing the principal of, and paying the interest on, 
     loans for equipment), the provision of training and technical 
     assistance related to the provision of health care services 
     on a prepaid basis or under another managed care arrangement, 
     and other activities that promote the development of practice 
     management or managed care networks and plans.'';
       (3) in subsection (d)--
       (A) by striking the subsection heading and inserting ``Loan 
     Guarantee Program.--'';
       (B) in paragraph (1)--
       (i) in subparagraph (A), by striking ``the principal and 
     interest on loans'' and all that follows through the period 
     and inserting ``up to 90 percent of the principal and 
     interest on loans made by non-Federal lenders to health 
     centers, funded under this section, for the costs of 
     developing and operating managed care networks or plans 
     described in subsection (c)(1)(B), or practice management 
     networks described in subsection (c)(1)(C).'';
       (ii) in subparagraph (B)--

       (I) in clause (i), by striking ``or'';
       (II) in clause (ii), by striking the period and inserting 
     ``; or''; and
       (III) by adding at the end the following:

       ``(iii) to refinance an existing loan (as of the date of 
     refinancing) to the center or centers, if the Secretary 
     determines such refinancing will be beneficial to the health 
     center and the Federal Government and will result in more 
     favorable terms.''; and
       (iii) by adding at the end the following:
       ``(D) Loan guarantees.--Notwithstanding any other provision 
     of law, the following funds shall be made available until 
     expended for loan guarantees under this subsection:
       ``(i) Funds appropriated for fiscal year 1997 under the 
     Departments of Labor, Health and Human Services, and 
     Education, and Related Agencies Appropriations Act, 1997, 
     which were made available for loan guarantees for loans to 
     health centers for the costs of developing and operating 
     managed care networks or plans, and which have not been 
     expended.
       ``(ii) Funds appropriated for fiscal year 1998 under the 
     Departments of Labor, Health and Human Services, and 
     Education, and Related Agencies Appropriations Act, 1998, 
     which were made available for loan guarantees for loans to 
     health centers under this subsection (as in effect on the day 
     before the date of enactment of the Health Care Safety Net 
     Amendments of 2001), and which have not been expended.
       ``(E) Provision directly to networks or plans.--At the 
     request of health centers receiving assistance under this 
     section, loan guarantees provided under this paragraph may be 
     made directly to networks or plans that are at least majority 
     controlled and, as applicable, at least majority owned by 
     those health centers.
       ``(F) Federal credit reform.--The requirements of the 
     Federal Credit Reform Act of 1990 (2 U.S.C. 661 et seq.) 
     shall apply with respect to loans refinanced under 
     subparagraph (B)(iii).''; and
       (C)(i) by striking paragraphs (6) and (7); and
       (ii) by redesignating paragraph (8) as paragraph (6);
       (4) in subsection (e)--
       (A) in paragraph (1)--
       (i) in subparagraph (B), by striking ``subsection (j)(3)'' 
     and inserting ``subsection (l)(3)''; and
       (ii) by adding at the end the following:
       ``(C) Operation of networks and plans.--The Secretary may 
     make grants to health centers that receive assistance under 
     this section, or at the request of the health centers, 
     directly to a network or plan (as described in subparagraphs 
     (B) and (C) of subsection (c)(1)) that is at least majority 
     controlled and, as applicable, at least majority owned by 
     such health centers receiving assistance under this section, 
     for the costs associated with the operation of such network 
     or plan, including the purchase or lease of equipment 
     (including the costs of amortizing the principal of, and 
     paying the interest on, loans for equipment).'';
       (B) in paragraph (2) by adding at the end the following: 
     ``The costs for which a grant may be made under paragraph 
     (1)(C) may include the costs of providing such training.'';
       (C) in paragraph (5)--
       (i) in subparagraph (A), by inserting ``subparagraphs (A) 
     and (B) of'' after ``any fiscal year under'';
       (ii) by redesignating subparagraphs (B) and (C) as 
     subparagraphs (C) and (D), respectively; and
       (iii) by inserting after subparagraph (A) the following:
       ``(B) Networks and plans.--The total amount of grant funds 
     made available for any fiscal year under paragraph (1)(C) and 
     subparagraphs (B) and (C) of subsection (c)(1) to a health 
     center or to a network or plan shall be determined by the 
     Secretary, but may not exceed 2 percent of the total amount 
     appropriated under this section for such fiscal year.''; and
       (D) by redesignating paragraphs (4) and (5) as paragraphs 
     (3) and (4), respectively;
       (5) in subsection (g)--
       (A) in paragraph (2)--
       (i) in subparagraph (A), by inserting ``and seasonal 
     agricultural worker'' after ``agricultural worker''; and
       (ii) in subparagraph (B), by striking ``and members of 
     their families'' and inserting ``and seasonal agricultural 
     workers, and members of their families,''; and
       (B) in paragraph (3)(A), by striking ``on a seasonal 
     basis'';
       (6) in subsection (h)--
       (A) in paragraph (1), by striking ``homeless children and 
     children at risk of homelessness'' and inserting ``homeless 
     children and youth and children and youth at risk of 
     homelessness'';
       (B)(i) by redesignating paragraph (4) as paragraph (5); and
       (ii) by inserting after paragraph (3) the following:

[[Page S2743]]

       ``(4) Temporary continued provision of services to certain 
     former homeless individuals.--If any grantee under this 
     subsection has provided services described in this section 
     under the grant to a homeless individual, such grantee may, 
     notwithstanding that the individual is no longer homeless as 
     a result of becoming a resident in permanent housing, expend 
     the grant to continue to provide such services to the 
     individual for not more than 12 months.''; and
       (C) in paragraph (5)(C) (as redesignated by subparagraph 
     (B)), by striking ``and residential treatment'' and inserting 
     ``, risk reduction, outpatient treatment, residential 
     treatment, and rehabilitation'';
       (7) in subsection (j)(3)--
       (A) in subparagraph (E)--
       (i) in clause (i)--

       (I) by striking ``(i)'' and inserting ``(i)(I)'';
       (II) by striking ``plan; or'' and inserting ``plan; and''; 
     and
       (III) by adding at the end the following:
       ``(II) has or will have a contractual or other arrangement 
     with the State agency administering the program under title 
     XXI of such Act (42 U.S.C. 1397aa et seq.) with respect to 
     individuals who are State children's health insurance program 
     beneficiaries; or''; and

       (ii) by striking clause (ii) and inserting the following:
       ``(ii) has made or will make every reasonable effort to 
     enter into arrangements described in subclauses (I) and (II) 
     of clause (i);'';
       (B) in subparagraph (G)--
       (i) in clause (ii)(II), by striking ``; and'' and inserting 
     ``;'';
       (ii) by redesignating clause (iii) as clause (iv); and
       (iii) by inserting after clause (ii) the following:
       ``(iii)(I) will assure that no patient will be denied 
     health care services due to an individual's inability to pay 
     for such services; and
       ``(II) will assure that any fees or payments required by 
     the center for such services will be reduced or waived to 
     enable the center to fulfill the assurance described in 
     subclause (I); and''; and
       (C) in subparagraph (H)--
       (i) in clause (ii), by inserting ``reviews any internal 
     outreach plans for specific subpopulations served by the 
     center,'' after ``such services will be provided,''; and
       (ii) in the matter following clause (iii), by striking ``or 
     (p)'' and inserting ``or (q)'';
       (8)(A) by redesignating subsection (l) as subsection (s) 
     and moving that subsection (s) to the end of the section;
       (B) by redesignating subsections (j), (k), and (m) through 
     (q) as subsections (l), (m), and (n) through (r), 
     respectively; and
       (C) by inserting after subsection (i) the following:
       ``(j) Environmental Concerns.--The Secretary may make 
     grants to health centers for the purpose of assisting such 
     centers in identifying and detecting environmental factors 
     and conditions, and providing services, including 
     environmental health services described in subsection 
     (b)(2)(D), to reduce the disease burden related to 
     environmental factors and exposure of populations to such 
     factors, and alleviate environmental conditions that affect 
     the health of individuals and communities served by health 
     centers funded under this section.
       ``(k) Linguistic Access Grants.--
       ``(1) In general.--The Secretary may award grants to 
     eligible health centers with a substantial number of clients 
     with limited English speaking proficiency to provide 
     translation, interpretation, and other such services for such 
     clients with limited English speaking proficiency.
       ``(2) Eligible health center.--In this subsection, the term 
     `eligible health center' means an entity that--
       ``(A) is a health center as defined under subsection (a); 
     and
       ``(B) provides health care services for clients for whom 
     English is a second language.
       ``(3) Grant amount.--The amount of a grant awarded to a 
     center under this subsection shall be determined by the 
     Administrator. Such determination of such amount shall be 
     based on the number of clients for whom English is a second 
     language that is served by such center, and larger grant 
     amounts shall be awarded to centers serving larger numbers of 
     such clients.
       ``(4) Use of funds.--An eligible health center that 
     receives a grant under this subsection may use funds received 
     through such grant to--
       ``(A) provide translation, interpretation, and other such 
     services for clients for whom English is a second language, 
     including hiring professional translation and interpretation 
     services; and
       ``(B) compensate bilingual or multilingual staff for 
     language assistance services provided by the staff for such 
     clients.
       ``(5) Application.--An eligible health center desiring a 
     grant under this subsection shall submit an application to 
     the Secretary at such time, in such manner, and containing 
     such information as the Secretary may reasonably require, 
     including--
       ``(A) an estimate of the number of clients that the center 
     serves for whom English is a second language;
       ``(B) the ratio of the number of clients for whom English 
     is a second language to the total number of clients served by 
     the center; and
       ``(C) a description of any language assistance services 
     that the center proposes to provide to aid clients for whom 
     English is a second language.
       ``(6) Authorization of appropriations.--There are 
     authorized to be appropriated to carry out this subsection, 
     in addition to any funds authorized to be appropriated or 
     appropriated for health centers under any other subsection of 
     this section, $10,000,000 for fiscal year 2002, and such sums 
     as may be necessary for each of fiscal years 2003 through 
     2006.'';
       (9) by striking subsection (m) (as redesignated by 
     paragraph (9)(B)) and inserting the following:
       ``(m) Technical Assistance.--The Secretary shall establish 
     a program through which the Secretary shall provide technical 
     and other assistance to eligible entities to assist such 
     entities to meet the requirements of subsection (l)(3) in 
     developing plans for, or operating, health centers. Services 
     provided through the program may include necessary technical 
     and nonfinancial assistance, including fiscal and program 
     management assistance, training in fiscal and program 
     management, operational and administrative support, and the 
     provision of information to the entities of the variety of 
     resources available under this title and how those resources 
     can be best used to meet the health needs of the communities 
     served by the entities.'';
       (10) in subsection (q) (as redesignated by paragraph 
     (9)(B)), by striking ``(j)(3)(G)'' and inserting 
     ``(l)(3)(G)''; and
       (11) in subsection (s) (as redesignated by paragraph 
     (9)(A))--
       (A) in paragraph (1), by striking ``$802,124,000'' and all 
     that follows through the period and inserting 
     ``$1,369,000,000 for fiscal year 2002 and such sums as may be 
     necessary for each of the fiscal years 2003 through 2006.'';
       (B) in paragraph (2)--
       (i) in subparagraph (A)--

       (I) by striking ``(j)(3))'' and inserting ``(l)(3))''; and
       (II) by striking ``(j)(3)(G)(ii)'' and inserting 
     ``(l)(3)(H)''; and

       (ii) by striking subparagraph (B) and inserting the 
     following:
       ``(B) Distribution of grants.--For fiscal year 2002 and 
     each of the following fiscal years, the Secretary, in 
     awarding grants under this section, shall ensure that the 
     proportion of the amount made available under each of 
     subsections (g), (h), and (i), relative to the total amount 
     appropriated to carry out this section for that fiscal year, 
     is equal to the proportion of the amount made available under 
     that subsection for fiscal year 2001, relative to the total 
     amount appropriated to carry out this section for fiscal year 
     2001.''.

                         TITLE II--RURAL HEALTH

 Subtitle A--Rural Health Care Services Outreach, Rural Health Network 
 Development, and Small Health Care Provider Quality Improvement Grant 
                                Programs

     SEC. 201. GRANT PROGRAMS.

       Section 330A of the Public Health Service Act (42 U.S.C. 
     254c) is amended to read as follows:

     ``SEC. 330A. RURAL HEALTH CARE SERVICES OUTREACH, RURAL 
                   HEALTH NETWORK DEVELOPMENT, AND SMALL HEALTH 
                   CARE PROVIDER QUALITY IMPROVEMENT GRANT 
                   PROGRAMS.

       ``(a) Purpose.--The purpose of this section is to provide 
     grants for expanded delivery of health care services in rural 
     areas, for the planning and implementation of integrated 
     health care networks in rural areas, and for the planning and 
     implementation of small health care provider quality 
     improvement activities.
       ``(b) Definitions.--
       ``(1) Director.--The term `Director' means the Director 
     specified in subsection (d).
       ``(2) Federally qualified health center; rural health 
     clinic.--The terms `Federally qualified health center' and 
     `rural health clinic' have the meanings given the terms in 
     section 1861(aa) of the Social Security Act (42 U.S.C. 
     1395x(aa)).
       ``(3) Health professional shortage area.--The term `health 
     professional shortage area' means a health professional 
     shortage area designated under section 332.
       ``(4) Medically underserved community.--The term `medically 
     underserved community' has the meaning given the term in 
     section 799B.
       ``(5) Medically underserved population.--The term 
     `medically underserved population' has the meaning given the 
     term in section 330(b)(3).
       ``(c) Program.--The Secretary shall establish, under 
     section 301, a small health care provider quality improvement 
     grant program.
       ``(d) Administration.--
       ``(1) Programs.--The rural health care services outreach, 
     rural health network development, and small health care 
     provider quality improvement grant programs established under 
     section 301 shall be administered by the Director of the 
     Office of Rural Health Policy of the Health Resources and 
     Services Administration, in consultation with State offices 
     of rural health or other appropriate State government 
     entities.
       ``(2) Grants.--
       ``(A) In general.--In carrying out the programs described 
     in paragraph (1), the Director may award grants under 
     subsections (e), (f), and (g) to expand access to, 
     coordinate, and improve the quality of essential health care 
     services, and enhance the delivery of health care, in rural 
     areas.
       ``(B) Types of grants.--The Director may award the grants--

[[Page S2744]]

       ``(i) to promote expanded delivery of health care services 
     in rural areas under subsection (e);
       ``(ii) to provide for the planning and implementation of 
     integrated health care networks in rural areas under 
     subsection (f); and
       ``(iii) to provide for the planning and implementation of 
     small health care provider quality improvement activities 
     under subsection (g).
       ``(e) Rural Health Care Services Outreach Grants.--
       ``(1) Grants.--The Director may award grants to eligible 
     entities to promote rural health care services outreach by 
     expanding the delivery of health care services to include new 
     and enhanced services in rural areas. The Director may award 
     the grants for periods of not more than 3 years.
       ``(2) Eligibility.--To be eligible to receive a grant under 
     this subsection for a project, an entity--
       ``(A) shall be a rural public or rural nonprofit private 
     entity;
       ``(B) shall represent a consortium composed of members--
       ``(i) that include 3 or more health care providers; and
       ``(ii) that may be nonprofit or for-profit entities; and
       ``(C) shall not previously have received a grant under this 
     subsection for the same or a similar project, unless the 
     entity is proposing to expand the scope of the project or the 
     area that will be served through the project.
       ``(3) Applications.--To be eligible to receive a grant 
     under this subsection, an eligible entity, in consultation 
     with the appropriate State office of rural health or another 
     appropriate State entity, shall prepare and submit to the 
     Secretary an application, at such time, in such manner, and 
     containing such information as the Secretary may require, 
     including--
       ``(A) a description of the project that the eligible entity 
     will carry out using the funds provided under the grant;
       ``(B) a description of the manner in which the project 
     funded under the grant will meet the health care needs of 
     rural underserved populations in the local community or 
     region to be served;
       ``(C) a description of how the local community or region to 
     be served will be involved in the development and ongoing 
     operations of the project;
       ``(D) a plan for sustaining the project after Federal 
     support for the project has ended;
       ``(E) a description of how the project will be evaluated; 
     and
       ``(F) other such information as the Secretary determines to 
     be appropriate.
       ``(f) Rural Health Network Development Grants.--
       ``(1) Grants.--
       ``(A) In general.--The Director may award rural health 
     network development grants to eligible entities to promote, 
     through planning and implementation, the development of 
     integrated health care networks that have combined the 
     functions of the entities participating in the networks in 
     order to--
       ``(i) achieve efficiencies;
       ``(ii) expand access to, coordinate, and improve the 
     quality of essential health care services; and
       ``(iii) strengthen the rural health care system as a whole.
       ``(B) Grant periods.--The Director may award such a rural 
     health network development grant for implementation 
     activities for a period of 3 years. The Director may also 
     award such a rural health network development grant for 
     planning activities for a period of 1 year, to assist in the 
     development of an integrated health care network, if the 
     proposed participants in the network do not have a history of 
     collaborative efforts and a 3-year grant would be 
     inappropriate.
       ``(2) Eligibility.--To be eligible to receive a grant under 
     this subsection, an entity--
       ``(A) shall be a rural public or rural nonprofit private 
     entity;
       ``(B) shall represent a network composed of participants--
       ``(i) that include 3 or more health care providers; and
       ``(ii) that may be nonprofit or for-profit entities; and
       ``(C) shall not previously have received a grant under this 
     subsection (other than a grant for planning activities) for 
     the same or a similar project.
       ``(3) Applications.--To be eligible to receive a grant 
     under this subsection, an eligible entity, in consultation 
     with the appropriate State office of rural health or another 
     appropriate State entity, shall prepare and submit to the 
     Secretary an application, at such time, in such manner, and 
     containing such information as the Secretary may require, 
     including--
       ``(A) a description of the project that the eligible entity 
     will carry out using the funds provided under the grant;
       ``(B) an explanation of the reasons why Federal assistance 
     is required to carry out the project;
       ``(C) a description of--
       ``(i) the history of collaborative activities carried out 
     by the participants in the network;
       ``(ii) the degree to which the participants are ready to 
     integrate their functions; and
       ``(iii) how the local community or region to be served will 
     benefit from and be involved in the activities carried out by 
     the network;
       ``(D) a description of how the local community or region to 
     be served will experience increased access to quality health 
     care services across the continuum of care as a result of the 
     integration activities carried out by the network;
       ``(E) a plan for sustaining the project after Federal 
     support for the project has ended;
       ``(F) a description of how the project will be evaluated; 
     and
       ``(G) other such information as the Secretary determines to 
     be appropriate.
       ``(g) Small Health Care Provider Quality Improvement 
     Grants.--
       ``(1) Grants.--The Director may award grants to provide for 
     the planning and implementation of small health care provider 
     quality improvement activities. The Director may award the 
     grants for periods of 1 to 3 years.
       ``(2) Eligibility.--To be eligible for a grant under this 
     subsection, an entity--
       ``(A)(i) shall be a rural public or rural nonprofit private 
     health care provider or provider of health care services, 
     such as a critical access hospital or a rural health clinic; 
     or
       ``(ii) shall be another rural provider or network of small 
     rural providers identified by the Secretary as a key source 
     of local care; and
       ``(B) shall not previously have received a grant under this 
     subsection for the same or a similar project.
       ``(3) Applications.--To be eligible to receive a grant 
     under this subsection, an eligible entity, in consultation 
     with the appropriate State office of rural health or another 
     appropriate State entity, such as a hospital association, 
     shall prepare and submit to the Secretary an application, at 
     such time, in such manner, and containing such information as 
     the Secretary may require, including--
       ``(A) a description of the project that the eligible entity 
     will carry out using the funds provided under the grant;
       ``(B) an explanation of the reasons why Federal assistance 
     is required to carry out the project;
       ``(C) a description of the manner in which the project 
     funded under the grant will assure continuous quality 
     improvement in the provision of services by the entity;
       ``(D) a description of how the local community or region to 
     be served will experience increased access to quality health 
     care services across the continuum of care as a result of the 
     activities carried out by the entity;
       ``(E) a plan for sustaining the project after Federal 
     support for the project has ended;
       ``(F) a description of how the project will be evaluated; 
     and
       ``(G) other such information as the Secretary determines to 
     be appropriate.
       ``(4) Expenditures for small health care provider quality 
     improvement grants.--In awarding a grant under this 
     subsection, the Director shall ensure that the funds made 
     available through the grant will be used to provide services 
     to residents of rural areas. The Director shall award not 
     less than 50 percent of the funds made available under this 
     subsection to providers located in and serving rural areas.
       ``(h) General Requirements.--
       ``(1) Prohibited uses of funds.--An entity that receives a 
     grant under this section may not use funds provided through 
     the grant--
       ``(A) to build or acquire real property; or
       ``(B) for construction, except that such funds may be 
     expended for minor renovations relating to the installation 
     of equipment.
       ``(2) Coordination with other agencies.--The Secretary 
     shall coordinate activities carried out under grant programs 
     described in this section, to the extent practicable, with 
     Federal and State agencies and nonprofit organizations that 
     are operating similar grant programs, to maximize the effect 
     of public dollars in funding meritorious proposals.
       ``(3) Preference.--In awarding grants under this section, 
     the Secretary shall give preference to entities that--
       ``(A) are located in health professional shortage areas or 
     medically underserved communities, or serve medically 
     underserved populations; or
       ``(B) propose to develop projects with a focus on primary 
     care, and wellness and prevention strategies.
       ``(i) Report.--Not later than September 30, 2005, the 
     Secretary shall prepare and submit to the appropriate 
     committees of Congress a report on the progress and 
     accomplishments of the grant programs described in 
     subsections (e), (f), and (g).
       ``(j) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $40,000,000 for fiscal year 2002, and such sums as may be 
     necessary for each of fiscal years 2003 through 2006.''.

               Subtitle B--Telehealth Grant Consolidation

     SEC. 211. SHORT TITLE.

       This subtitle may be cited as the ``Telehealth Grant 
     Consolidation Act of 2001''.

     SEC. 212. CONSOLIDATION AND REAUTHORIZATION OF PROVISIONS.

       Subpart I of part D of title III of the Public Health 
     Service Act (42 U.S.C. 254b et seq) is amended by adding at 
     the end the following:

     ``SEC. 330I. TELEHEALTH NETWORK AND TELEHEALTH RESOURCE 
                   CENTERS GRANT PROGRAMS.

       ``(a) Definitions.--In this section:
       ``(1) Director; office.--The terms `Director' and `Office' 
     mean the Director and Office specified in subsection (c).

[[Page S2745]]

       ``(2) Federally qualified health center and rural health 
     clinic.--The term `Federally qualified health center' and 
     `rural health clinic' have the meanings given the terms in 
     section 1861(aa) of the Social Security Act (42 U.S.C. 
     1395x(aa)).
       ``(3) Frontier community.--The term `frontier community' 
     shall have the meaning given the term in regulations issued 
     under subsection (r).
       ``(4) Medically underserved area.--The term `medically 
     underserved area' has the meaning given the term `medically 
     underserved community' in section 799B.
       ``(5) Medically underserved population.--The term 
     `medically underserved population' has the meaning given the 
     term in section 330(b)(3).
       ``(6) Telehealth services.--The term `telehealth services' 
     means services provided through telehealth technologies.
       ``(7) Telehealth technologies.--The term `telehealth 
     technologies' means technologies relating to the use of 
     electronic information, and telecommunications technologies, 
     to support and promote, at a distance, health care, patient 
     and professional health-related education, health 
     administration, and public health.
       ``(b) Programs.--The Secretary shall establish, under 
     section 301, telehealth network and telehealth resource 
     centers grant programs.
       ``(c) Administration.--
       ``(1) Establishment.--There is established in the Health 
     and Resources and Services Administration an Office for the 
     Advancement of Telehealth. The Office shall be headed by a 
     Director.
       ``(2) Duties.--The telehealth network and telehealth 
     resource centers grant programs established under section 301 
     shall be administered by the Director, in consultation with 
     the State offices of rural health, State offices concerning 
     primary care, or other appropriate State government entities.
       ``(d) Grants.--
       ``(1) Telehealth network grants.--The Director may, in 
     carrying out the telehealth network grant program referred to 
     in subsection (b), award grants to eligible entities for 
     projects to demonstrate how telehealth technologies can be 
     used through telehealth networks in rural areas, frontier 
     communities, and medically underserved areas, and for 
     medically underserved populations, to--
       ``(A) expand access to, coordinate, and improve the quality 
     of health care services;
       ``(B) improve and expand the training of health care 
     providers; and
       ``(C) expand and improve the quality of health information 
     available to health care providers, and patients and their 
     families, for decisionmaking.
       ``(2) Telehealth resource centers grants.--The Director 
     may, in carrying out the telehealth resource centers grant 
     program referred to in subsection (b), award grants to 
     eligible entities for projects to demonstrate how telehealth 
     technologies can be used in the areas and communities, and 
     for the populations, described in paragraph (1), to establish 
     telehealth resource centers.
       ``(e) Grant Periods.--The Director may award grants under 
     this section for periods of not more than 4 years.
       ``(f) Eligible Entities.--
       ``(1) Telehealth network grants.--
       ``(A) Grant recipient.--To be eligible to receive a grant 
     under subsection (d)(1), an entity shall be a nonprofit 
     entity.
       ``(B) Telehealth networks.--
       ``(i) In general.--To be eligible to receive a grant under 
     subsection (d)(1), an entity shall demonstrate that the 
     entity will provide services through a telehealth network.
       ``(ii) Nature of entities.--Each entity participating in 
     the telehealth network may be a nonprofit or for-profit 
     entity.
       ``(iii) Composition of network.--The telehealth network 
     shall include at least 2 of the following entities (at least 
     1 of which shall be a community-based health care provider):

       ``(I) Community or migrant health centers or other 
     Federally qualified health centers.
       ``(II) Health care providers, including pharmacists, in 
     private practice.
       ``(III) Entities operating clinics, including rural health 
     clinics.
       ``(IV) Local health departments.
       ``(V) Nonprofit hospitals, including community access 
     hospitals.
       ``(VI) Other publicly funded health or social service 
     agencies.
       ``(VII) Long-term care providers.
       ``(VIII) Providers of health care services in the home.
       ``(IX) Providers of outpatient mental health services and 
     entities operating outpatient mental health facilities.
       ``(X) Local or regional emergency health care providers.
       ``(XI) Institutions of higher education.
       ``(XII) Entities operating dental clinics.

       ``(2) Telehealth resource centers grants.--To be eligible 
     to receive a grant under subsection (d)(2), an entity shall 
     be a nonprofit entity.
       ``(g) Applications.--To be eligible to receive a grant 
     under subsection (d), an eligible entity, in consultation 
     with the appropriate State office of rural health or another 
     appropriate State entity, shall prepare and submit to the 
     Secretary an application, at such time, in such manner, and 
     containing such information as the Secretary may require, 
     including--
       ``(1) a description of the project that the eligible entity 
     will carry out using the funds provided under the grant;
       ``(2) a description of the manner in which the project 
     funded under the grant will meet the health care needs of 
     rural or other populations to be served through the project, 
     or improve the access to services of, and the quality of the 
     services received by, those populations;
       ``(3) evidence of local support for the project, and a 
     description of how the areas, communities, or populations to 
     be served will be involved in the development and ongoing 
     operations of the project;
       ``(4) a plan for sustaining the project after Federal 
     support for the project has ended;
       ``(5) information on the source and amount of non-Federal 
     funds that the entity will provide for the project;
       ``(6) information demonstrating the long-term viability of 
     the project, and other evidence of institutional commitment 
     of the entity to the project;
       ``(7) in the case of an application for a project involving 
     a telehealth network, information demonstrating how the 
     project will promote the integration of telehealth 
     technologies into the operations of health care providers, to 
     avoid redundancy, and improve access to and the quality of 
     care; and
       ``(8) other such information as the Secretary determines to 
     be appropriate.
       ``(h) Terms; Conditions; Maximum Amount of Assistance.--The 
     Secretary shall establish the terms and conditions of each 
     grant program described in subsection (b) and the maximum 
     amount of a grant to be awarded to an individual recipient 
     for each fiscal year under this section. The Secretary shall 
     publish, in a publication of the Health Resources and 
     Services Administration, notice of the application 
     requirements for each grant program described in subsection 
     (b) for each fiscal year.
       ``(i) Preferences.--
       ``(1) Telehealth networks.--In awarding grants under 
     subsection (d)(1) for projects involving telehealth networks, 
     the Secretary shall give preference to an eligible entity 
     that meets at least 1 of the following requirements:
       ``(A) Organization.--The eligible entity is a rural 
     community-based organization or another community-based 
     organization.
       ``(B) Services.--The eligible entity proposes to use 
     Federal funds made available through such a grant to develop 
     plans for, or to establish, telehealth networks that provide 
     mental health, public health, long-term care, home care, 
     preventive, or case management services.
       ``(C) Coordination.--The eligible entity demonstrates how 
     the project to be carried out under the grant will be 
     coordinated with other relevant federally funded projects in 
     the areas, communities, and populations to be served through 
     the grant.
       ``(D) Network.--The eligible entity demonstrates that the 
     project involves a telehealth network that includes an entity 
     that--
       ``(i) provides clinical health care services, or 
     educational services for health care providers and for 
     patients or their families; and
       ``(ii) is--

       ``(I) a public school;
       ``(II) a public library;
       ``(III) an institution of higher education; or
       ``(IV) a local government entity.

       ``(E) Connectivity.--The eligible entity proposes a project 
     that promotes local connectivity within areas, communities, 
     or populations to be served through the project.
       ``(F) Integration.--The eligible entity demonstrates that 
     health care information has been integrated into the project.
       ``(2) Telehealth resource centers.--In awarding grants 
     under subsection (d)(2) for projects involving telehealth 
     resource centers, the Secretary shall give preference to an 
     eligible entity that meets at least 1 of the following 
     requirements:
       ``(A) Provision of services.--The eligible entity has a 
     record of success in the provision of telehealth services to 
     medically underserved areas or medically underserved 
     populations.
       ``(B) Collaboration and sharing of expertise.--The eligible 
     entity has a demonstrated record of collaborating and sharing 
     expertise with providers of telehealth services at the 
     national, regional, State, and local levels.
       ``(C) Broad range of telehealth services.--The eligible 
     entity has a record of providing a broad range of telehealth 
     services, which may include--
       ``(i) a variety of clinical specialty services;
       ``(ii) patient or family education;
       ``(iii) health care professional education; and
       ``(iv) rural residency support programs.
       ``(j) Distribution of Funds.--
       ``(1) In general.--In awarding grants under this section, 
     the Director shall ensure, to the greatest extent possible, 
     that such grants are equitably distributed among the 
     geographical regions of the United States.
       ``(2) Telehealth networks.--In awarding grants under 
     subsection (d)(1) for a fiscal year, the Director shall 
     ensure that--
       ``(A) not less than 50 percent of the funds awarded shall 
     be awarded for projects in rural areas; and
       ``(B) the total amount of funds awarded for such projects 
     for that fiscal year shall be not less than the total amount 
     of funds awarded for such projects for fiscal year 2001 under 
     section 330A (as in effect on the day before the date of 
     enactment of the Health Care Safety Net Amendments of 2001).
       ``(k) Use of Funds.--

[[Page S2746]]

       ``(1) Telehealth network program.--The recipient of a grant 
     under subsection (d)(1) may use funds received through such 
     grant for salaries, equipment, and operating or other costs, 
     including the cost of--
       ``(A) developing and delivering clinical telehealth 
     services that enhance access to community-based health care 
     services in rural areas, frontier communities, or medically 
     underserved areas, or for medically underserved populations;
       ``(B) developing and acquiring, through lease or purchase, 
     computer hardware and software, audio and video equipment, 
     computer network equipment, interactive equipment, data 
     terminal equipment, and other equipment that furthers the 
     objectives of the telehealth network grant program;
       ``(C)(i) developing and providing distance education, in a 
     manner that enhances access to care in rural areas, frontier 
     communities, or medically underserved areas, or for medically 
     underserved populations; or
       ``(ii) mentoring, precepting, or supervising health care 
     providers and students seeking to become health care 
     providers, in a manner that enhances access to care in the 
     areas and communities, or for the populations, described 
     in clause (i);
       ``(D) developing and acquiring instructional programming;
       ``(E)(i) providing for transmission of medical data, and 
     maintenance of equipment; and
       ``(ii) providing for compensation (including travel 
     expenses) of specialists, and referring health care 
     providers, who are providing telehealth services through the 
     telehealth network, if no third party payment is available 
     for the telehealth services delivered through the telehealth 
     network;
       ``(F) developing projects to use telehealth technology to 
     facilitate collaboration between health care providers;
       ``(G) collecting and analyzing usage statistics and data to 
     document the cost-effectiveness of the telehealth services; 
     and
       ``(H) carrying out such other activities as are consistent 
     with achieving the objectives of this section, as determined 
     by the Secretary.
       ``(2) Telehealth resource centers.--The recipient of a 
     grant under subsection (d)(2) may use funds received through 
     such grant for salaries, equipment, and operating or other 
     costs for--
       ``(A) providing technical assistance, training, and 
     support, and providing for travel expenses, for health care 
     providers and a range of health care entities that provide or 
     will provide telehealth services;
       ``(B) disseminating information and research findings 
     related to telehealth services;
       ``(C) promoting effective collaboration among telehealth 
     resource centers and the Office;
       ``(D) conducting evaluations to determine the best 
     utilization of telehealth technologies to meet health care 
     needs;
       ``(E) promoting the integration of the technologies used in 
     clinical information systems with other telehealth 
     technologies;
       ``(F) fostering the use of telehealth technologies to 
     provide health care information and education for health care 
     providers and consumers in a more effective manner; and
       ``(G) implementing special projects or studies under the 
     direction of the Office.
       ``(l) Prohibited Uses of Funds.--An entity that receives a 
     grant under this section may not use funds made available 
     through the grant--
       ``(1) to acquire real property;
       ``(2) for expenditures to purchase or lease equipment, to 
     the extent that the expenditures would exceed 40 percent of 
     the total grant funds;
       ``(3) in the case of a project involving a telehealth 
     network, to purchase or install transmission equipment (such 
     as laying cable or telephone lines, or purchasing or 
     installing microwave towers, satellite dishes, amplifiers, or 
     digital switching equipment), except on the premises of an 
     entity participating in the telehealth network;
       ``(4) to pay for any equipment or transmission costs not 
     directly related to the purposes for which the grant is 
     awarded;
       ``(5) to purchase or install general purpose voice 
     telephone systems;
       ``(6) for construction, except that such funds may be 
     expended for minor renovations relating to the installation 
     of equipment; or
       ``(7) for expenditures for indirect costs (as determined by 
     the Secretary), to the extent that the expenditures would 
     exceed 20 percent of the total grant funds.
       ``(m) Collaboration.--In providing services under this 
     section, an eligible entity shall collaborate, if feasible, 
     with entities that--
       ``(1)(A) are private or public organizations, that receive 
     Federal or State assistance; or
       ``(B) are public or private entities that operate centers, 
     or carry out programs, that receive Federal or State 
     assistance; and
       ``(2) provide telehealth services or related activities.
       ``(n) Coordination With Other Agencies.--The Secretary 
     shall coordinate activities carried out under grant programs 
     described in subsection (b), to the extent practicable, with 
     Federal and State agencies and nonprofit organizations that 
     are operating similar programs, to maximize the effect of 
     public dollars in funding meritorious proposals.
       ``(o) Outreach Activities.--The Secretary shall establish 
     and implement procedures to carry out outreach activities to 
     advise potential end users of telehealth services in rural 
     areas, frontier communities, medically underserved areas, and 
     medically underserved populations in each State about the 
     grant programs described in subsection (b).
       ``(p) Telehealth.--It is the sense of Congress that, for 
     purposes of this section, States should develop reciprocity 
     agreements so that a provider of services under this section 
     who is a licensed or otherwise authorized health care 
     provider under the law of 1 or more States, and who, through 
     telehealth technology, consults with a licensed or otherwise 
     authorized health care provider in another State, is exempt, 
     with respect to such consultation, from any State law of the 
     other State that prohibits such consultation on the basis 
     that the first health care provider is not a licensed or 
     authorized health care provider under the law of that State.
       ``(q) Report.--Not later than September 30, 2005, the 
     Secretary shall prepare and submit to the appropriate 
     committees of Congress a report on the progress and 
     accomplishments of the grant programs described in subsection 
     (b).
       ``(r) Regulations.--The Secretary shall issue regulations 
     specifying, for purposes of this section, a definition of the 
     term `frontier area'. The definition shall be based on 
     factors that include population density, travel distance in 
     miles to the nearest medical facility, travel time in minutes 
     to the nearest medical facility, and such other factors as 
     the Secretary determines to be appropriate. The Secretary 
     shall develop the definition in consultation with the 
     Director of the Bureau of the Census and the Administrator 
     of the Economic Research Service of the Department of 
     Agriculture.
       ``(s) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section--
       ``(1) for grants under subsection (d)(1), $40,000,000 for 
     fiscal year 2002, and such sums as may be necessary for each 
     of fiscal years 2003 through 2006; and
       ``(2) for grants under subsection (d)(2), $20,000,000 for 
     fiscal year 2002, and such sums as may be necessary for each 
     of fiscal years 2003 through 2006.

     ``SEC. 330J. TELEHOMECARE DEMONSTRATION PROJECT.

       ``(a) Definitions.--In this section:
       ``(1) Distant site.--The term `distant site' means a site 
     at which a certified home care provider is located at the 
     time at which a health care service (including a health care 
     item) is provided through a telecommunications system.
       ``(2) Telehomecare.--The term `telehomecare' means the 
     provision of health care services through technology relating 
     to the use of electronic information, or through telemedicine 
     or telecommunication technology, to support and promote, at a 
     distant site, the monitoring and management of home health 
     care services for a resident of a rural area.
       ``(b) Establishment.--Not later than 9 months after the 
     date of enactment of the Health Care Safety Net Amendments of 
     2001, the Secretary shall establish and carry out a 
     telehomecare demonstration project.
       ``(c) Grants.--In carrying out the demonstration project 
     referred to in subsection (b), the Secretary shall make not 
     more than 5 grants to eligible certified home care providers, 
     individually or as part of a network of home health agencies, 
     for the provision of telehomecare to improve patient care, 
     prevent health care complications, improve patient outcomes, 
     and achieve efficiencies in the delivery of care to patients 
     who reside in rural areas.
       ``(d) Periods.--The Secretary shall make the grants for 
     periods of not more than 3 years.
       ``(e) Applications.--To be eligible to receive a grant 
     under this section, a certified home care provider shall 
     submit an application to the Secretary at such time, in such 
     manner, and containing such information as the Secretary may 
     require.
       ``(f) Use of Funds.--A provider that receives a grant under 
     this section shall use the funds made available through the 
     grant to carry out objectives that include--
       ``(1) improving access to care for home care patients 
     served by home health care agencies, improving the quality of 
     that care, increasing patient satisfaction with that care, 
     and reducing the cost of that care through direct 
     telecommunications links that connect the provider with 
     information networks;
       ``(2) developing effective care management practices and 
     educational curricula to train home care registered nurses 
     and increase their general level of competency through that 
     training; and
       ``(3) developing curricula to train health care 
     professionals, particularly registered nurses, serving home 
     care agencies in the use of telecommunications.
       ``(g) Coverage.--Nothing in this section shall be construed 
     to supersede or modify the provisions relating to exclusion 
     of coverage under section 1862(a) of the Social Security Act 
     (42 U.S.C 1395y(a)), or the provisions relating to the amount 
     payable to a home health agency under section 1895 of that 
     Act (42 U.S.C. 1395fff).
       ``(h) Report.--
       ``(1) Interim report.--The Secretary shall submit to 
     Congress an interim report describing the results of the 
     demonstration project.
       ``(2) Final report.--Not later than 6 months after the end 
     of the last grant period

[[Page S2747]]

     for a grant made under this section, the Secretary shall 
     submit to Congress a final report--
       ``(A) describing the results of the demonstration project; 
     and
       ``(B) including an evaluation of the impact of the use of 
     telehomecare, including telemedicine and telecommunications, 
     on--
       ``(i) access to care for home care patients; and
       ``(ii) the quality of, patient satisfaction with, and the 
     cost of, that care.
       ``(i) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section such 
     sums as may be necessary for each of fiscal years 2002 
     through 2006.''.

    Subtitle C--Mental Health Services Telehealth Program and Rural 
  Emergency Medical Service Training and Equipment Assistance Program

     SEC. 221. PROGRAMS.

       Subpart I of part D of title III of the Public Health 
     Service Act (42 U.S.C. 254b et seq.) (as amended by section 
     212) is further amended by adding at the end the following:

     ``SEC. 330K. RURAL EMERGENCY MEDICAL SERVICE TRAINING AND 
                   EQUIPMENT ASSISTANCE PROGRAM.

       ``(a) Grants.--The Secretary, acting through the 
     Administrator of the Health Resources and Services 
     Administration (referred to in this section as the 
     `Secretary') shall award grants to eligible entities to 
     enable such entities to provide for improved emergency 
     medical services in rural areas.
       ``(b) Eligibility.--To be eligible to receive a grant under 
     this section, an entity shall--
       ``(1) be--
       ``(A) a State emergency medical services office;
       ``(B) a State emergency medical services association;
       ``(C) a State office of rural health;
       ``(D) a local government entity;
       ``(E) a State or local ambulance provider; or
       ``(F) any other entity determined appropriate by the 
     Secretary; and
       ``(2) prepare and submit to the Secretary an application at 
     such time, in such manner, and containing such information as 
     the Secretary may require, that includes--
       ``(A) a description of the activities to be carried out 
     under the grant; and
       ``(B) an assurance that the eligible entity will comply 
     with the matching requirement of subsection (e).
       ``(c) Use of Funds.--An entity shall use amounts received 
     under a grant made under subsection (a), either directly or 
     through grants to emergency medical service squads that are 
     located in, or that serve residents of, a nonmetropolitan 
     statistical area, an area designated as a rural area by any 
     law or regulation of a State, or a rural census tract of a 
     metropolitan statistical area (as determined under the most 
     recent Goldsmith Modification, originally published in a 
     notice of availability of funds in the Federal Register on 
     February 27, 1992, 57 Fed. Reg. 6725), to--
       ``(1) recruit emergency medical service personnel;
       ``(2) recruit volunteer emergency medical service 
     personnel;
       ``(3) train emergency medical service personnel in 
     emergency response, injury prevention, safety awareness, and 
     other topics relevant to the delivery of emergency medical 
     services;
       ``(4) fund specific training to meet Federal or State 
     certification requirements;
       ``(5) develop new ways to educate emergency health care 
     providers through the use of technology-enhanced educational 
     methods (such as distance learning);
       ``(6) acquire emergency medical services equipment, 
     including cardiac defibrillators;
       ``(7) acquire personal protective equipment for emergency 
     medical services personnel as required by the Occupational 
     Safety and Health Administration; and
       ``(8) educate the public concerning cardiopulmonary 
     resuscitation, first aid, injury prevention, safety 
     awareness, illness prevention, and other related emergency 
     preparedness topics.
       ``(d) Preference.--In awarding grants under this section 
     the Secretary shall give preference to--
       ``(1) applications that reflect a collaborative effort by 2 
     or more of the entities described in subparagraphs (A) 
     through (F) of subsection (b)(1); and
       ``(2) applications submitted by entities that intend to use 
     amounts provided under the grant to fund activities described 
     in any of paragraphs (1) through (5) of subsection (c).
       ``(e) Matching Requirement.--The Secretary may not award a 
     grant under this section to an entity unless the entity 
     agrees that the entity will make available (directly or 
     through contributions from other public or private entities) 
     non-Federal contributions toward the activities to be carried 
     out under the grant in an amount equal to 25 percent of the 
     amount received under the grant.
       ``(f) Emergency Medical Services.--In this section, the 
     term `emergency medical services'--
       ``(1) means resources used by a qualified public or private 
     nonprofit entity, or by any other entity recognized as 
     qualified by the State involved, to deliver medical care 
     outside of a medical facility under emergency conditions that 
     occur--
       ``(A) as a result of the condition of the patient; or
       ``(B) as a result of a natural disaster or similar 
     situation; and
       ``(2) includes services delivered by an emergency medical 
     services provider (either compensated or volunteer) or other 
     provider recognized by the State involved that is licensed or 
     certified by the State as an emergency medical technician or 
     its equivalent (as determined by the State), a registered 
     nurse, a physician assistant, or a physician that provides 
     services similar to services provided by such an emergency 
     medical services provider.
       ``(g) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to carry out this section such sums as may be necessary for 
     each of fiscal years 2002 through 2006.
       ``(2) Administrative costs.--The Secretary may use not more 
     than 10 percent of the amount appropriated under paragraph 
     (1) for a fiscal year for the administrative expenses of 
     carrying out this section.

     ``SEC. 330L. MENTAL HEALTH SERVICES DELIVERED VIA TELEHEALTH.

       ``(a) Definitions.--In this section:
       ``(1) Eligible entity.--The term `eligible entity' means a 
     public or nonprofit private telehealth provider network that 
     offers services that include mental health services provided 
     by qualified mental health providers.
       ``(2) Qualified mental health education professionals.--The 
     term `qualified mental health education professionals' refers 
     to teachers, community mental health professionals, nurses, 
     and other entities as determined by the Secretary who have 
     additional training in the delivery of information on mental 
     illness to children and adolescents or who have additional 
     training in the delivery of information on mental illness to 
     the elderly.
       ``(3) Qualified mental health professionals.--The term 
     `qualified mental health professionals' refers to providers 
     of mental health services reimbursed under the medicare 
     program carried out under title XVIII of the Social Security 
     Act (42 U.S.C. 1395 et seq.) who have additional training in 
     the treatment of mental illness in children and adolescents 
     or who have additional training in the treatment of mental 
     illness in the elderly.
       ``(4) Special populations.--The term `special populations' 
     refers to the following 2 distinct groups:
       ``(A) Children and adolescents located in public elementary 
     and public secondary schools in mental health underserved 
     rural areas or in mental health underserved urban areas.
       ``(B) Elderly individuals located in long-term care 
     facilities in mental health underserved rural areas.
       ``(5) Telehealth.--The term `telehealth' means the use of 
     electronic information and telecommunications technologies to 
     support long distance clinical health care, patient and 
     professional health-related education, public health, and 
     health administration.
       ``(b) Program Authorized.--
       ``(1) In general.--The Secretary, acting through the 
     Director of the Office for the Advancement of Telehealth of 
     the Health Resources and Services Administration, shall award 
     grants to eligible entities to establish demonstration 
     projects for the provision of mental health services to 
     special populations as delivered remotely by qualified mental 
     health professionals using telehealth and for the provision 
     of education regarding mental illness as delivered remotely 
     by qualified mental health professionals and qualified mental 
     health education professionals using telehealth.
       ``(2) Populations served.--The Secretary shall award the 
     grants under paragraph (1) in a manner that distributes the 
     grants so as to serve equitably the populations described in 
     subparagraphs (A) and (B) of subsection (a)(4).
       ``(c) Amount.--Each entity that receives a grant under 
     subsection (b) shall receive not less than $1,200,000 under 
     the grant, and shall use not more than 40 percent of the 
     grant funds for equipment.
       ``(d) Use of Funds.--
       ``(1) In general.--An eligible entity that receives a grant 
     under this section shall use the grant funds--
       ``(A) for the populations described in subsection 
     (a)(4)(A)--
       ``(i) to provide mental health services, including 
     diagnosis and treatment of mental illness, in public 
     elementary and public secondary schools as delivered remotely 
     by qualified mental health professionals using telehealth;
       ``(ii) to provide education regarding mental illness 
     (including suicide and violence) in public elementary and 
     public secondary schools as delivered remotely by qualified 
     mental health professionals and qualified mental health 
     education professionals using telehealth, including education 
     regarding early recognition of the signs and symptoms of 
     mental illness, and instruction on coping and dealing with 
     stressful experiences of childhood and adolescence (such as 
     violence, social isolation, and depression); and
       ``(iii) to collaborate with local public health entities to 
     provide the mental health services; and
       ``(B) for the populations described in subsection 
     (a)(4)(B)--
       ``(i) to provide mental health services, including 
     diagnosis and treatment of mental illness, in long-term care 
     facilities as delivered remotely by qualified mental health 
     professionals using telehealth;

[[Page S2748]]

       ``(ii) to provide education regarding mental illness to 
     primary staff (including physicians, nurses, and nursing 
     aides) as delivered remotely by qualified mental health 
     professionals and qualified mental health education 
     professionals using telehealth, including education regarding 
     early recognition of the signs and symptoms of mental 
     illness, and instruction on coping and dealing with stressful 
     experiences of old age (such as loss of physical and 
     cognitive capabilities, death of loved ones and friends, 
     social isolation, and depression); and
       ``(iii) to collaborate with local public health entities to 
     provide the mental health services.
       ``(2) Other uses.--An eligible entity that receives a grant 
     under this section may also use the grant funds to--
       ``(A) acquire telehealth equipment to use in public 
     elementary and public secondary schools and long-term care 
     facilities for the objectives of this section;
       ``(B) develop curricula to support activities described in 
     subparagraphs (A)(ii) and (B)(ii) of paragraph (1);
       ``(C) pay telecommunications costs; and
       ``(D) pay qualified mental health professionals and 
     qualified mental health education professionals on a 
     reasonable cost basis as determined by the Secretary for 
     services rendered.
       ``(3) Prohibited uses.--An eligible entity that receives a 
     grant under this section shall not use the grant funds to--
       ``(A) purchase or install transmission equipment (other 
     than such equipment used by qualified mental health 
     professionals to deliver mental health services using 
     telehealth under the project involved); or
       ``(B) build upon or acquire real property (except for minor 
     renovations related to the installation of reimbursable 
     equipment).
       ``(e) Equitable Distribution.--In awarding grants under 
     this section, the Secretary shall ensure, to the greatest 
     extent possible, that such grants are equitably distributed 
     among geographical regions of the United States.
       ``(f) Application.--An entity that desires a grant under 
     this section shall submit an application to the Secretary at 
     such time, in such manner, and containing such information as 
     the Secretary determines to be reasonable.
       ``(g) Report.--Not later than 4 years after the date of 
     enactment of the Health Care Safety Net Amendments of 2001, 
     the Secretary shall prepare and submit to the appropriate 
     committees of Congress a report that shall evaluate 
     activities funded with grants under this section.
       ``(h) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section, 
     $20,000,000 for fiscal year 2002 and such sums as may be 
     necessary for fiscal years 2003 through 2006.''.

            Subtitle D--School-Based Health Center Networks

     SEC. 231. NETWORKS.

       Subpart I of part D of title III of the Public Health 
     Service Act (42 U.S.C. 254b et seq.), as amended in section 
     221, is further amended by adding at the end the following:

     ``SEC. 330M. SCHOOL-BASED HEALTH CENTER NETWORKS.

       ``(a) Eligible Entity.--In this section, the term `eligible 
     entity' means a nonprofit organization, such as a State 
     school-based health center association, academic institution, 
     or primary care association, that has experience working with 
     low-income communities, schools, families, and school-based 
     health centers.
       ``(b) Program Authorized.--The Secretary shall award grants 
     to eligible entities to establish statewide technical 
     assistance centers and carry out activities described in 
     subsection (c) through the centers.
       ``(c) Use of Funds.--An eligible entity that receives a 
     grant under this section may use funds received through such 
     grant to--
       ``(1) establish a statewide technical assistance center 
     that shall coordinate local, State, and Federal health care 
     services, including primary, dental, and behavioral and 
     mental health services, that contribute to the delivery of 
     school-based health care for medically underserved 
     individuals;
       ``(2) conduct operational and administrative support 
     activities for statewide school-based health center networks 
     to maximize operational effectiveness and efficiency;
       ``(3) provide technical support training, including 
     training on topics regarding--
       ``(A) identifying parent and community interests and 
     priorities;
       ``(B) assessing community health needs and resources;
       ``(C) implementing accountability and management 
     information systems;
       ``(D) integrating school-based health centers with care 
     provided by any other school-linked provider, and with 
     community-based primary and specialty health care systems;
       ``(E) securing third party payments through effective 
     billing and collection systems;
       ``(F) developing shared services and joint purchasing 
     arrangements across provider networks;
       ``(G) linking services with health care services provided 
     by other programs, especially services provided under the 
     medicaid program under title XIX of the Social Security Act 
     (42 U.S.C. 1396 et seq.) and the State Children's Health 
     Insurance Program under title XXI of the Social Security Act 
     (42 U.S.C. 1397aa et seq.);
       ``(H) contracting with managed care organizations; and
       ``(I) assuring and improving clinical quality and 
     improvement; and
       ``(4) provide to interested communities technical 
     assistance for the planning and implementation of school-
     based health centers.
       ``(d) Application.--An eligible entity desiring a grant 
     under this section shall submit an application to the 
     Secretary at such time, in such manner, and containing such 
     information as the Secretary may reasonably require, 
     including--
       ``(1) a description of the region that will receive service 
     and the potential partners in such region;
       ``(2) a description of the policy and program environment 
     and the needs of the community that will receive service;
       ``(3) a 1- to 3-year work plan that describes the goals and 
     objectives of the entity, and any activities that the entity 
     proposes to carry out; and
       ``(4) a description of the organizational capacity of the 
     entity and its experience in serving the region's school-
     based health center community.
       ``(e) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section, $5,000,000 for 
     fiscal year 2002, and such sums as may be necessary for 
     subsequent fiscal years.''.

            TITLE III--NATIONAL HEALTH SERVICE CORPS PROGRAM

     SEC. 301. NATIONAL HEALTH SERVICE CORPS.

       (a) In General.--Section 331 of the Public Health Service 
     Act (42 U.S.C. 254d) is amended--
       (1) by adding at the end of subsection (a)(3) the 
     following:
       ``(E)(i) The term `behavioral and mental health 
     professionals' means health service psychologists, licensed 
     clinical social workers, licensed professional counselors, 
     marriage and family therapists, psychiatric nurse 
     specialists, and psychiatrists.
       ``(ii) The term `graduate program of behavioral and mental 
     health' means a program that trains behavioral and mental 
     health professionals.'';
       (2) in subsection (b)--
       (A) in paragraph (1), by striking ``health professions'' 
     and inserting ``health professions, including schools at 
     which graduate programs of behavioral and mental health are 
     offered,''; and
       (B) in paragraph (2), by inserting ``behavioral and mental 
     health professionals,'' after ``dentists,''; and
       (3) by striking subsection (c) and inserting the following:
       ``(c)(1) The Secretary may reimburse an applicant for a 
     position in the Corps (including an individual considering 
     entering into a written agreement pursuant to section 338D) 
     for the actual and reasonable expenses incurred in traveling 
     to and from the applicant's place of residence to an eligible 
     site to which the applicant may be assigned under section 333 
     for the purpose of evaluating such site with regard to 
     being assigned at such site. The Secretary may establish a 
     maximum total amount that may be paid to an individual as 
     reimbursement for such expenses.
       ``(2) The Secretary may also reimburse the applicant for 
     the actual and reasonable expenses incurred for the travel of 
     1 family member to accompany the applicant to such site. The 
     Secretary may establish a maximum total amount that may be 
     paid to an individual as reimbursement for such expenses.
       ``(3) In the case of an individual who has entered into a 
     contract for obligated service under the Scholarship Program 
     or under the Loan Repayment Program, the Secretary may 
     reimburse such individual for all or part of the actual and 
     reasonable expenses incurred in transporting the individual, 
     the individual's family, and the family's possessions to the 
     site of the individual's assignment under section 333. The 
     Secretary may establish a maximum total amount that may be 
     paid to an individual as reimbursement for such expenses.''.
       (b) Demonstration Projects.--Section 331 of the Public 
     Health Service Act (42 U.S.C. 254d) is amended--
       (1) by redesignating subsection (i) as subsection (j); and
       (2) by inserting after subsection (h) the following:
       ``(i)(1) In carrying out subpart III, the Secretary may, in 
     accordance with this subsection, carry out demonstration 
     projects in which individuals who have entered into a 
     contract for obligated service under the Loan Repayment 
     Program receive waivers under which the individuals are 
     authorized to satisfy the requirement of obligated service 
     through providing clinical service that is not full-time.
       ``(2) A waiver described in paragraph (1) may be provided 
     by the Secretary only if--
       ``(A) the entity for which the service is to be performed--
       ``(i) has been approved under section 333A for assignment 
     of a Corps member; and
       ``(ii) has requested in writing assignment of a health 
     professional who would serve less than full time;
       ``(B) the Secretary has determined that assignment of a 
     health professional who would serve less than full time would 
     be appropriate for the area where the entity is located;
       ``(C) a Corps member who is required to perform obligated 
     service has agreed in writing to be assigned for less than 
     full-time service to an entity described in subparagraph (A);
       ``(D) the entity and the Corps member agree in writing that 
     the less than full-time

[[Page S2749]]

     service provided by the Corps member will not be less than 16 
     hours of clinical service per week;
       ``(E) the Corps member agrees in writing that the period of 
     obligated service pursuant to section 338B will be extended 
     so that the aggregate amount of less than full-time service 
     performed will equal the amount of service that would be 
     performed through full-time service under section 338C; and
       ``(F) the Corps member agrees in writing that if the Corps 
     member begins providing less than full-time service but fails 
     to begin or complete the period of obligated service, the 
     method stated in 338E(c) for determining the damages for 
     breach of the individual's written contract will be used 
     after converting periods of obligated service or of service 
     performed into their full-time equivalents.
       ``(3) In evaluating a demonstration project described in 
     paragraph (1), the Secretary shall examine the effect of 
     multidisciplinary teams.''.

     SEC. 302. DESIGNATION OF HEALTH PROFESSIONAL SHORTAGE AREAS.

       (a) In General.--Section 332 of the Public Health Service 
     Act (42 U.S.C. 254e) is amended--
       (1) in subsection (a)--
       (A) in paragraph (1), by inserting after the first sentence 
     the following: ``All Federally qualified health centers and 
     rural health clinics, as defined in section 1861(aa) of the 
     Social Security Act (42 U.S.C. 1395x(aa)), that meet the 
     requirements of section 334 shall be automatically 
     designated, on the date of enactment of the Health Care 
     Safety Net Amendments of 2001, as having such a shortage. Not 
     later than 5 years after such date of enactment, and every 5 
     years thereafter, each such center or clinic shall 
     demonstrate that the center or clinic meets the applicable 
     requirements of the Federal regulations, issued after the 
     date of enactment of this Act, that revise the definition of 
     a health professional shortage area for purposes of this 
     section.''; and
       (B) in paragraph (3), by striking ``340(r)) may be a 
     population group'' and inserting ``330(h)(4)), seasonal 
     agricultural workers (as defined in section 330(g)(3)) and 
     migratory agricultural workers (as so defined)), and 
     residents of public housing (as defined in section 3(b)(1) of 
     the United States Housing Act of 1937 (42 U.S.C. 
     1437a(b)(1))) may be population groups'';
       (2) in subsection (b)(2), by striking ``with special 
     consideration to the indicators of'' and all that follows 
     through ``services.'' and inserting a period; and
       (3) in subsection (c)(2)(B), by striking ``XVIII or XIX'' 
     and inserting ``XVIII, XIX, or XXI''.
       (b) Regulations.--
       (1) Report.--
       (A) In general.--The Secretary shall submit the report 
     described in subparagraph (B) if the Secretary, acting 
     through the Administrator of the Health Resources and 
     Services Administration, issues--
       (i) a regulation that revises the definition of a health 
     professional shortage area for purposes of section 332 of the 
     Public Health Service Act (42 U.S.C. 254e); or
       (ii) a regulation that revises the standards concerning 
     priority of such an area under section 333A of that Act (42 
     U.S.C. 254f-1).
       (B) Report.--On issuing a regulation described in 
     subparagraph (A), the Secretary shall prepare and submit to 
     the Committee on Energy and Commerce of the House of 
     Representatives and the Committee on Health, Education, 
     Labor, and Pensions of the Senate a report that describes the 
     regulation.
       (2) Effective date.--Each regulation described in paragraph 
     (1)(A) shall take effect 180 days after the committees 
     described in paragraph (1)(B) receive a report referred to in 
     paragraph (1)(B) describing the regulation.
       (c) Scholarship and Loan Repayment Programs.--The Secretary 
     of Health and Human Services, in consultation with the 
     American Dental Association, the American Dental Education 
     Association, the American Dental Hygienists Association, the 
     American Academy of Pediatric Dentistry, the Association of 
     State and Territorial Dental Directors, and the National 
     Association of Community Health Centers, shall develop and 
     implement a plan for increasing the participation of dentists 
     and dental hygienists in the National Health Service Corps 
     Scholarship Program under section 338A of the Public Health 
     Service Act (42 U.S.C. 254l) and the Loan Repayment Program 
     under section 338B of such Act (42 U.S.C. 254l-1).
       (d) Site Designation Process.--
       (1) Improvement of designation process.--The Administrator 
     of the Health Resources and Services Administration, in 
     consultation with the Association of State and Territorial 
     Dental Directors, dental societies, and other interested 
     parties, shall revise the criteria on which the designations 
     of dental health professional shortage areas are based so 
     that such criteria provide a more accurate reflection of oral 
     health care need, particularly in rural areas.
       (2) Public health service act.--Section 332 of the Public 
     Health Service Act (42 U.S.C. 254e) is amended by adding at 
     the end the following:
       ``(i) Dissemination.--The Administrator of the Health 
     Resources and Services Administration shall disseminate 
     information concerning the designation criteria described in 
     subsection (b) to--
       ``(1) the Governor of each State;
       ``(2) the representative of any area, population group, or 
     facility selected by any such Governor to receive such 
     information;
       ``(3) the representative of any area, population group, or 
     facility that requests such information; and
       ``(4) the representative of any area, population group, or 
     facility determined by the Administrator to be likely to meet 
     the criteria described in subsection (b).''.

     SEC. 303. ASSIGNMENT OF CORPS PERSONNEL.

       Section 333 of the Public Health Service Act (42 U.S.C. 
     254f) is amended--
       (1) in subsection (a)--
       (A) in paragraph (1)--
       (i) in the matter before subparagraph (A), by striking 
     ``(specified in the agreement described in section 334)'';
       (ii) in subparagraph (A), by striking ``nonprofit''; and
       (iii) by striking subparagraph (C) and inserting the 
     following:
       ``(C) the entity agrees to comply with the requirements of 
     section 334; and''; and
       (B) in paragraph (3), by adding at the end ``In approving 
     such applications, the Secretary shall give preference to 
     applications in which a nonprofit entity or public entity 
     shall provide a site to which Corps members may be 
     assigned.''; and
       (2) in subsection (d)--
       (A) in paragraphs (1), (2), and (4), by striking 
     ``nonprofit'' each place it appears; and
       (B) in paragraph (1)--
       (i) in the first sentence, by striking ``may'' and 
     inserting ``shall'';
       (ii) in the second sentence--

       (I) in subparagraph (C), by striking ``and'' at the end; 
     and
       (II) by striking the period and inserting ``, and (E) 
     developing long-term plans for addressing health professional 
     shortages and improving access to health care.''; and

       (iii) by adding at the end the following: ``The Secretary 
     shall encourage entities that receive technical assistance 
     under this paragraph to communicate with other communities, 
     State Offices of Rural Health, State Primary Care 
     Associations and Offices, and other entities concerned 
     with site development and community needs assessment.''.

     SEC. 304. PRIORITIES IN ASSIGNMENT OF CORPS PERSONNEL.

       Section 333A of the Public Health Service Act (42 U.S.C. 
     254f-1) is amended--
       (1) in subsection (a)(1)(A), by striking ``, as determined 
     in accordance with subsection (b)'';
       (2) by striking subsection (b);
       (3) in subsection (c), by striking the second sentence;
       (4) in subsection (d)--
       (A) by redesignating paragraphs (1) through (3) as 
     paragraphs (2) through (4), respectively;
       (B) by inserting before paragraph (2) (as redesignated by 
     subparagraph (A)) the following:
       ``(1) Proposed list.--The Secretary shall prepare and 
     publish a proposed list of health professional shortage areas 
     and entities that would receive priority under subsection 
     (a)(1) in the assignment of Corps members. The list shall 
     contain the information described in paragraph (2), and the 
     relative scores and relative priorities of the entities 
     submitting applications under section 333, in a proposed 
     format. All such entities shall have 30 days after the date 
     of publication of the list to provide additional data and 
     information in support of inclusion on the list or in support 
     of a higher priority determination and the Secretary shall 
     reasonably consider such data and information in preparing 
     the final list under paragraph (2).'';
       (C) in paragraph (2) (as redesignated by subparagraph (A)), 
     in the matter before subparagraph (A)--
       (i) by striking ``paragraph (2)'' and inserting ``paragraph 
     (3)'';
       (ii) by striking ``prepare a list of health professional 
     shortage areas'' and inserting ``prepare and, as appropriate, 
     update a list of health professional shortage areas and 
     entities''; and
       (iii) by striking ``for the period applicable under 
     subsection (f)'';
       (D) by striking paragraph (3) (as redesignated by 
     subparagraph (A)) and inserting the following:
       ``(3) Notification of affected parties.--
       ``(A) Entities.--Not later than 30 days after the Secretary 
     has added to a list under paragraph (2) an entity specified 
     as described in subparagraph (A) of such paragraph, the 
     Secretary shall notify such entity that the entity has been 
     provided an authorization to receive assignments of Corps 
     members in the event that Corps members are available for the 
     assignments.
       ``(B) Individuals.--In the case of an individual obligated 
     to provide service under the Scholarship Program, not later 
     than 3 months before the date described in section 
     338C(b)(5), the Secretary shall provide to such individual 
     the names of each of the entities specified as described in 
     paragraph (2)(B)(i) that is appropriate for the individual's 
     medical specialty and discipline.''; and
       (E) by striking paragraph (4) (as redesignated by 
     subparagraph (A)) and inserting the following:
       ``(4) Revisions.--If the Secretary proposes to make a 
     revision in the list under paragraph (2), and the revision 
     would adversely alter the status of an entity with respect to 
     the list, the Secretary shall notify the entity of the 
     revision. Any entity adversely affected by such a revision 
     shall be notified in writing by the Secretary of the reasons 
     for the revision and shall have 30 days to file a written 
     appeal of the determination involved which shall be 
     reasonably considered by the

[[Page S2750]]

     Secretary before the revision to the list becomes final. The 
     revision to the list shall be effective with respect to 
     assignment of Corps members beginning on the date that the 
     revision becomes final.'';
       (5) by striking subsection (e) and inserting the following:
       ``(e) Limitation on Number of Entities Offered as 
     Assignment Choices in Scholarship Program.--
       ``(1) Determination of available corps members.--By April 1 
     of each calendar year, the Secretary shall determine the 
     number of participants in the Scholarship Program who will be 
     available for assignments under section 333 during the 
     program year beginning on July 1 of that calendar year.
       ``(2) Determination of number of entities.--At all times 
     during a program year, the number of entities specified under 
     subsection (c)(2)(B)(i) shall be--
       ``(A) not less than the number of participants determined 
     with respect to that program year under paragraph (1); and
       ``(B) not greater than twice the number of participants 
     determined with respect to that program year under paragraph 
     (1).'';
       (6) by striking subsection (f); and
       (7) by redesignating subsections (c), (d), and (e) as 
     subsections (b), (c), and (d) respectively.

     SEC. 305. COST-SHARING.

       Subpart II of part D of title III of the Public Health 
     Service Act (42 U.S.C. 254d et seq.) is amended by striking 
     section 334 and inserting the following:

     ``SEC. 334. CHARGES FOR SERVICES BY ENTITIES USING CORPS 
                   MEMBERS.

       ``(a) Availability of Services Regardless of Ability To Pay 
     or Payment Source.--An entity to which a Corps member is 
     assigned shall not deny requested health care services, and 
     shall not discriminate in the provision of services to an 
     individual--
       ``(1) because the individual is unable to pay for the 
     services; or
       ``(2) because payment for the services would be made 
     under--
       ``(A) the medicare program under title XVIII of the Social 
     Security Act (42 U.S.C. 1395 et seq.);
       ``(B) the medicaid program under title XIX of such Act (42 
     U.S.C. 1396 et seq.); or
       ``(C) the State children's health insurance program under 
     title XXI of such Act (42 U.S.C. 1397aa et seq.).
       ``(b) Charges for Services.--The following rules shall 
     apply to charges for health care services provided by an 
     entity to which a Corps member is assigned:
       ``(1) In general.--
       ``(A) Schedule of fees or payments.--Except as provided in 
     paragraph (2), the entity shall prepare a schedule of fees or 
     payments for the entity's services, consistent with locally 
     prevailing rates or charges and designed to cover the 
     entity's reasonable cost of operation.
       ``(B) Schedule of discounts.--Except as provided in 
     paragraph (2), the entity shall prepare a corresponding 
     schedule of discounts (including, in appropriate cases, 
     waivers) to be applied to such fees or payments. In preparing 
     the schedule, the entity shall adjust the discounts on the 
     basis of a patient's ability to pay.
       ``(C) Use of schedules.--The entity shall make every 
     reasonable effort to secure from patients fees and payments 
     for services in accordance with such schedules, and fees or 
     payments shall be sufficiently discounted in accordance with 
     the schedule described in subparagraph (B).
       ``(2) Services to beneficiaries of federal and federally 
     assisted programs.--In the case of health care services 
     furnished to an individual who is a beneficiary of a program 
     listed in subsection (a)(2), the entity--
       ``(A) shall accept an assignment pursuant to section 
     1842(b)(3)(B)(ii) of the Social Security Act (42 U.S.C. 
     1395u(b)(3)(B)(ii)) with respect to an individual who is a 
     beneficiary under the medicare program; and
       ``(B) shall enter into an appropriate agreement with--
       ``(i) the State agency administering the program under 
     title XIX of such Act with respect to an individual who is a 
     beneficiary under the medicaid program; and
       ``(ii) the State agency administering the program under 
     title XXI of such Act with respect to an individual who is a 
     beneficiary under the State children's health insurance 
     program.
       ``(3) Collection of payments.--The entity shall take 
     reasonable and appropriate steps to collect all payments due 
     for health care services provided by the entity, including 
     payments from any third party (including a Federal, State, or 
     local government agency and any other third party) that is 
     responsible for part or all of the charge for such 
     services.''.

     SEC. 306. ELIGIBILITY FOR FEDERAL FUNDS.

       Section 335(e)(1)(B) of the Public Health Service Act (42 
     U.S.C. 254h(e)(1)(B)) is amended by striking ``XVIII or XIX'' 
     and inserting ``XVIII, XIX, or XXI''.

     SEC. 307. FACILITATION OF EFFECTIVE PROVISION OF CORPS 
                   SERVICES.

       (a) Health Professional Shortage Areas.--Section 336 of the 
     Public Health Service Act (42 U.S.C. 254h-1) is amended--
       (1) in subsection (c), by striking ``health manpower'' and 
     inserting ``health professional''; and
       (2) in subsection (f)(1), by striking ``health manpower'' 
     and inserting ``health professional''.
       (b) Technical Amendment.--Section 336A(8) of the Public 
     Health Service Act (42 U.S.C. 254i(8)) is amended by striking 
     ``agreements under''.

     SEC. 308. AUTHORIZATION OF APPROPRIATIONS.

       Section 338(a) of the Public Health Service Act (42 U.S.C. 
     254k(a)) is amended--
       (1) by striking ``(1) For'' and inserting ``For'';
       (2) by striking ``1991 through 2000'' and inserting ``2002 
     through 2006''; and
       (3) by striking paragraph (2).

     SEC. 309. NATIONAL HEALTH SERVICE CORPS SCHOLARSHIP PROGRAM.

       Section 338A of the Public Health Service Act (42 U.S.C. 
     254l) is amended--
       (1) in subsection (a)(1), by inserting ``behavioral and 
     mental health professionals,'' after ``dentists,'';
       (2) in subsection (b)(1)(B), by inserting ``, or an 
     appropriate degree from a graduate program of behavioral and 
     mental health'' after ``other health profession'';
       (3) in subsection (c)(1)--
       (A) in subparagraph (A), by striking ``338D'' and inserting 
     ``338E''; and
       (B) in subparagraph (B), by striking ``338C'' and inserting 
     ``338D'';
       (4) in subsection (d)(1)--
       (A) in subparagraph (A), by striking ``and'' at the end;
       (B) by redesignating subparagraph (B) as subparagraph (C); 
     and
       (C) by inserting after subparagraph (A) the following:
       ``(B) the Secretary, in considering applications from 
     individuals accepted for enrollment or enrolled in dental 
     school, shall consider applications from all individuals 
     accepted for enrollment or enrolled in any accredited dental 
     school in a State; and'';
       (5) in subsection (f)--
       (A) in paragraph (1)(B)--
       (i) in clause (iii), by striking ``and'' after the 
     semicolon;
       (ii) by redesignating clause (iv) as clause (v); and
       (iii) by inserting after clause (iii) the following new 
     clause:
       ``(iv) if pursuing a degree from a school of medicine or 
     osteopathic medicine, to complete a residency in a specialty 
     that the Secretary determines is consistent with the needs of 
     the Corps; and''; and
       (B) in paragraph (3), by striking ``338D'' and inserting 
     ``338E''; and
       (6) by striking subsection (i).

     SEC. 310. NATIONAL HEALTH SERVICE CORPS LOAN REPAYMENT 
                   PROGRAM.

       Section 338B of the Public Health Service Act (42 U.S.C. 
     254l-1) is amended--
       (1) in subsection (a)--
       (A) in paragraph (1), by inserting ``behavioral and mental 
     health professionals,'' after ``dentists,''; and
       (B) in paragraph (2), by striking ``(including mental 
     health professionals)'';
       (2) in subsection (b)(1), by striking subparagraph (A) and 
     inserting the following:
       ``(A) have a degree in medicine, osteopathic medicine, 
     dentistry, or another health profession, or an appropriate 
     degree from a graduate program of behavioral and mental 
     health, or be certified as a nurse midwife, nurse 
     practitioner, or physician assistant;'';
       (3) in subsection (e), by striking ``(1) In general.--''; 
     and
       (4) by striking subsection (i).

     SEC. 311. OBLIGATED SERVICE.

       Section 338C of the Public Health Service Act (42 U.S.C. 
     254m) is amended--
       (1) in subsection (b)--
       (A) in paragraph (1), in the matter preceding subparagraph 
     (A), by striking ``section 338A(f)(1)(B)(iv)'' and inserting 
     ``section 338A(f)(1)(B)(v)''; and
       (B) in paragraph (5)--
       (i) by striking all that precedes subparagraph (C) and 
     inserting the following:
       ``(5)(A) In the case of the Scholarship Program, the date 
     referred to in paragraphs (1) through (4) shall be the date 
     on which the individual completes the training required for 
     the degree for which the individual receives the scholarship, 
     except that--
       ``(i) for an individual receiving such a degree after 
     September 30, 2000, from a school of medicine or osteopathic 
     medicine, such date shall be the date the individual 
     completes a residency in a specialty that the Secretary 
     determines is consistent with the needs of the Corps; and
       ``(ii) at the request of an individual, the Secretary may, 
     consistent with the needs of the Corps, defer such date until 
     the end of a period of time required for the individual to 
     complete advanced training (including an internship or 
     residency).'';
       (ii) by striking subparagraph (D);
       (iii) by redesignating subparagraphs (C) and (E) as 
     subparagraphs (B) and (C), respectively; and
       (iv) in clause (i) of subparagraph (C) (as redesignated by 
     clause (iii)) by striking ``subparagraph (A), (B), or (D)'' 
     and inserting ``subparagraph (A)''; and
       (2) by striking subsection (e).

     SEC. 312. PRIVATE PRACTICE.

       Section 338D of the Public Health Service Act (42 U.S.C. 
     254n) is amended by striking subsection (b) and inserting the 
     following:
       ``(b)(1) The written agreement described in subsection (a) 
     shall--
       ``(A) provide that, during the period of private practice 
     by an individual pursuant to the agreement, the individual 
     shall comply with the requirements of section 334 that apply 
     to entities; and
       ``(B) contain such additional provisions as the Secretary 
     may require to carry out the objectives of this section.
       ``(2) The Secretary shall take such action as may be 
     appropriate to ensure that the

[[Page S2751]]

     conditions of the written agreement prescribed by this 
     subsection are adhered to.''.

     SEC. 313. BREACH OF SCHOLARSHIP CONTRACT OR LOAN REPAYMENT 
                   CONTRACT.

       (a) In General.--Section 338E of the Public Health Service 
     Act (42 U.S.C. 254o) is amended--
       (1) in subsection (a)(1)--
       (A) in subparagraph (A), by striking the comma and 
     inserting a semicolon;
       (B) in subparagraph (B), by striking the comma and 
     inserting ``; or'';
       (C) in subparagraph (C), by striking ``or'' at the end; and
       (D) by striking subparagraph (D);
       (2) in subsection (b)--
       (A) in paragraph (1)(A)--
       (i) by striking ``338F(d)'' and inserting ``338G(d)'';
       (ii) by striking ``either'';
       (iii) by striking ``338D or'' and inserting ``338D,''; and
       (iv) by inserting ``or to complete a required residency as 
     specified in section 338A(f)(1)(B)(iv),'' before ``the United 
     States''; and
       (B) by adding at the end the following new paragraph:
       ``(3) The Secretary may terminate a contract with an 
     individual under section 338A if, not later than 30 days 
     before the end of the school year to which the contract 
     pertains, the individual--
       ``(A) submits a written request for such termination; and
       ``(B) repays all amounts paid to, or on behalf of, the 
     individual under section 338A(g).'';
       (3) in subsection (c)--
       (A) in paragraph (1)--
       (i) in the matter preceding subparagraph (A), by striking 
     ``338F(d)'' and inserting ``338G(d)''; and
       (ii) by striking subparagraphs (A) through (C) and 
     inserting the following:
       ``(A) the total of the amounts paid by the United States 
     under section 338B(g) on behalf of the individual for any 
     period of obligated service not served;
       ``(B) an amount equal to the product of the number of 
     months of obligated service that were not completed by the 
     individual, multiplied by $7,500; and
       ``(C) the interest on the amounts described in 
     subparagraphs (A) and (B), at the maximum legal prevailing 
     rate, as determined by the Treasurer of the United States, 
     from the date of the breach.'';
       (B) by striking paragraphs (2) and (3) and inserting the 
     following:
       ``(2) The Secretary may terminate a contract with an 
     individual under section 338B if, not later than 45 days 
     before the end of the fiscal year in which the contract was 
     entered into, the individual--
       ``(A) submits a written request for such termination; and
       ``(B) repays all amounts paid on behalf of the individual 
     under section 338B(g).''; and
       (C) by redesignating paragraph (4) as paragraph (3);
       (4) in subsection (d)(3)(A), by striking ``only if such 
     discharge is granted after the expiration of the five-year 
     period'' and inserting ``only if such discharge is granted 
     after the expiration of the 7-year period''; and
       (5) by adding at the end the following new subsection:
       ``(e) Notwithstanding any other provision of Federal or 
     State law, there shall be no limitation on the period within 
     which suit may be filed, a judgment may be enforced, or an 
     action relating to an offset or garnishment, or other action, 
     may be initiated or taken by the Secretary, the Attorney 
     General, or the head of another Federal agency, as the case 
     may be, for the repayment of the amount due from an 
     individual under this section.''.
       (b) Effective Date.--The amendment made by subsection 
     (a)(4) shall apply to any obligation for which a discharge in 
     bankruptcy has not been granted before the date that is 31 
     days after the date of enactment of this Act.

     SEC. 314. AUTHORIZATION OF APPROPRIATIONS.

       Section 338H of the Public Health Service Act (42 U.S.C. 
     254q) is amended to read as follows:

     ``SEC. 338H. AUTHORIZATION OF APPROPRIATIONS.

       ``(a) Authorization of Appropriations.--For the purposes of 
     carrying out this subpart, there are authorized to be 
     appropriated $146,250,000 for fiscal year 2002, and such sums 
     as may be necessary for each of fiscal years 2003 through 
     2006.
       ``(b) Scholarships for New Participants.--Of the amounts 
     appropriated under subsection (a) for a fiscal year, the 
     Secretary shall obligate not less than 30 percent for the 
     purpose of providing contracts for scholarships under this 
     subpart to individuals who have not previously received such 
     scholarships.
       ``(c) Scholarships and Loan Repayments.--With respect to 
     certification as a nurse practitioner, nurse midwife, or 
     physician assistant, the Secretary shall, from amounts 
     appropriated under subsection (a) for a fiscal year, obligate 
     not less than a total of 10 percent for contracts for both 
     scholarships under the Scholarship Program under section 338A 
     and loan repayments under the Loan Repayment Program under 
     section 338B to individuals who are entering the first year 
     of a course of study or program described in section 
     338A(b)(1)(B) that leads to such a certification or 
     individuals who are eligible for the loan repayment program 
     as specified in section 338B(b) for a loan related to such 
     certification.''.

     SEC. 315. GRANTS TO STATES FOR LOAN REPAYMENT PROGRAMS.

       Section 338I of the Public Health Service Act (42 U.S.C. 
     254q-1) is amended--
       (1) in subsection (a), by striking paragraph (1) and 
     inserting the following:
       ``(1) Authority for grants.--The Secretary, acting through 
     the Administrator of the Health Resources and Services 
     Administration, may make grants to States for the purpose of 
     assisting the States in operating programs described in 
     paragraph (2) in order to provide for the increased 
     availability of primary health care services in health 
     professional shortage areas. The National Advisory Council 
     established under section 337 shall advise the Administrator 
     regarding the program under this section.'';
       (2) in subsection (e), by striking paragraph (1) and 
     inserting the following:
       ``(1) to submit to the Secretary such reports regarding the 
     States loan repayment program, as are determined to be 
     appropriate by the Secretary; and''; and
       (3) in subsection (i), by striking paragraph (1) and 
     inserting the following:
       ``(1) In general.--For the purpose of making grants under 
     subsection (a), there are authorized to be appropriated 
     $12,000,000 for fiscal year 2002 and such sums as may be 
     necessary for each of fiscal years 2003 through 2006.''.

     SEC. 316. DEMONSTRATION GRANTS TO STATES FOR COMMUNITY 
                   SCHOLARSHIP PROGRAMS.

       Section 338L of the Public Health Service Act (42 U.S.C. 
     254t) is repealed.

     SEC. 317. DEMONSTRATION PROJECT.

       Subpart III of part D of title III of the Public Health 
     Service Act (42 U.S.C. 254l et seq.) is amended by adding at 
     the end the following:

     ``SEC. 338L. DEMONSTRATION PROJECT.

       ``(a) Program Authorized.--The Secretary shall establish a 
     demonstration project to provide for the participation of 
     individuals who are chiropractic doctors or pharmacists in 
     the Loan Repayment Program described in section 338B.
       ``(b) Procedure.--An individual that receives assistance 
     under this section with regard to the program described in 
     section 338B shall comply with all rules and requirements 
     described in such section (other than subparagraphs (A) and 
     (B) of section 338B(b)(1)) in order to receive assistance 
     under this section.
       ``(c) Limitations.--The demonstration project described in 
     this section shall provide for the participation of 
     individuals who shall provide services in rural and urban 
     areas, and shall also provide for the participation of enough 
     individuals to allow the Secretary to properly analyze the 
     effectiveness of such project.
       ``(d) Designations.--The demonstration project described in 
     this section, and any providers who are selected to 
     participate in such project, shall not be considered by the 
     Secretary in the designation of a health professional 
     shortage area under section 332 during fiscal years 2002 
     through 2004.
       ``(e) Rule of Construction.--This section shall not be 
     construed to require any State to participate in the project 
     described in this section.
       ``(f) Report.--
       ``(1) In general.--The Secretary shall prepare and submit a 
     report describing the information described in paragraph (2) 
     to--
       ``(A) the Committee on Health, Education, Labor, and 
     Pensions of the Senate;
       ``(B) the Subcommittee on Labor, Health and Human Services, 
     and Education of the Committee on Appropriations of the 
     Senate;
       ``(C) the Committee on Energy and Commerce of the House of 
     Representatives; and
       ``(D) the Subcommittee on Labor, Health and Human Services, 
     and Education of the Committee on Appropriations of the House 
     of Representatives.
       ``(2) Content.--The report described in paragraph (1) shall 
     detail--
       ``(A) the manner in which the demonstration project 
     described in this section has affected access to primary care 
     services, patient satisfaction, quality of care, and health 
     care services provided for traditionally underserved 
     populations;
       ``(B) how the participation of chiropractic doctors and 
     pharmacists in the Loan Repayment Program might affect the 
     designation of health professional shortage areas; and
       ``(C) the feasibility of adding chiropractic doctors and 
     pharmacists as permanent members of the National Health 
     Service Corps.
       ``(g) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section, such 
     sums as may be necessary for fiscal years 2002 through 
     2004.''.

            TITLE IV--HEALTHY COMMUNITIES ACCESS PROGRAM ACT

     SEC. 401. PURPOSE.

       The purpose of this title is to provide assistance to 
     communities and consortia of health care providers and 
     others, to develop or strengthen integrated community health 
     care delivery systems that coordinate health care services 
     for individuals who are uninsured or underinsured and to 
     develop or strengthen activities related to providing 
     coordinated care for individuals with chronic conditions who 
     are uninsured or underinsured, through the--
       (1) coordination of services to allow individuals to 
     receive efficient and higher quality care and to gain entry 
     into and receive services from a comprehensive system of 
     care;

[[Page S2752]]

       (2) development of the infrastructure for a health care 
     delivery system characterized by effective collaboration, 
     information sharing, and clinical and financial coordination 
     among all providers of care in the community; and
       (3) provision of new Federal resources that do not supplant 
     funding for existing Federal categorical programs that 
     support entities providing services to low-income 
     populations.

     SEC. 402. CREATION OF HEALTHY COMMUNITIES ACCESS PROGRAM.

       Part D of title III of the Public Health Service Act (42 
     U.S.C. 254b et seq.) is amended by inserting after subpart IV 
     the following new subpart:

            ``Subpart V--Healthy Communities Access Program

     ``SEC. 340. GRANTS TO STRENGTHEN THE EFFECTIVENESS, 
                   EFFICIENCY, AND COORDINATION OF SERVICES FOR 
                   THE UNINSURED AND UNDERINSURED.

       ``(a) In General.--The Secretary may award grants to 
     eligible entities to assist in the development of integrated 
     health care delivery systems to serve communities of 
     individuals who are uninsured and individuals who are 
     underinsured--
       ``(1) to improve the efficiency of, and coordination among, 
     the providers providing services through such systems;
       ``(2) to assist communities in developing programs targeted 
     toward preventing and managing chronic diseases; and
       ``(3) to expand and enhance the services provided through 
     such systems.
       ``(b) Eligible Entities.--To be eligible to receive a grant 
     under this section, an entity shall be a public or nonprofit 
     entity that--
       ``(1) represents a consortium--
       ``(A) whose principal purpose is to provide a broad range 
     of coordinated health care services for a community defined 
     in the entity's grant application as described in paragraph 
     (2); and
       ``(B) that includes a provider (unless such provider does 
     not exist within the community, declines or refuses to 
     participate, or places unreasonable conditions on their 
     participation) that--
       ``(i) serves the community; and
       ``(ii)(I) is a Federally qualified health center (as 
     defined in section 1861(aa) of the Social Security Act (42 
     U.S.C. 1395x(aa)));
       ``(II) is a hospital with a low-income utilization rate (as 
     defined in section 1923(b)(3) of the Social Security Act (42 
     U.S.C. 1396r-4(b)(3)), that is greater than 25 percent;
       ``(III) is a public health department; and
       ``(IV) is an interested public or private sector health 
     care provider or an organization that has traditionally 
     served the medically uninsured and underserved;
       ``(2) submits to the Secretary an application, in such form 
     and manner as the Secretary shall prescribe, that--
       ``(A) defines a community of uninsured and underinsured 
     individuals that consists of all such individuals--
       ``(i) in a specified geographical area, such as a rural 
     area; or
       ``(ii) in a specified population within such an area, such 
     as American Indians, Native Alaskans, Native Hawaiians, 
     Hispanics, homeless individuals, migrant and seasonal 
     farmworkers, individuals with disabilities, and public 
     housing residents;
       ``(B) identifies the providers who will participate in the 
     consortium's program under the grant, and specifies each 
     provider's contribution to the care of uninsured and 
     underinsured individuals in the community, including the 
     volume of care the provider provides to beneficiaries under 
     the medicare, medicaid, and State child health insurance 
     programs carried out under titles XVIII, XIX, and XXI of the 
     Social Security Act (42 U.S.C. 1395 et seq., 1396 et seq., 
     and 1397aa et seq.) and to patients who pay privately for 
     services;
       ``(C) describes the activities that the applicant and the 
     consortium propose to perform under the grant to further the 
     objectives of this section;
       ``(D) demonstrates the consortium's ability to build on the 
     current system (as of the date of submission of the 
     application) for serving a community of uninsured and 
     underinsured individuals by involving providers who have 
     traditionally provided a significant volume of care for that 
     community;
       ``(E) demonstrates the consortium's ability to develop 
     coordinated systems of care that either directly provide or 
     ensure the prompt provision of a broad range of high-quality, 
     accessible services, including, as appropriate, primary, 
     secondary, and tertiary services, as well as substance abuse 
     treatment and mental health services in a manner that assures 
     continuity of care in the community;
       ``(F) demonstrates the consortium's ability to create 
     comprehensive programs to address the prevention and 
     management of chronic diseases of high importance within the 
     community, where applicable;
       ``(G) provides evidence of community involvement in the 
     development, implementation, and direction of the program 
     that the entity proposes to operate;
       ``(H) demonstrates the consortium's ability to ensure that 
     individuals participating in the program are enrolled in 
     public insurance programs for which the individuals are 
     eligible;
       ``(I) presents a plan for leveraging other sources of 
     revenue, which may include State and local sources and 
     private grant funds, and integrating current and proposed new 
     funding sources in a way to assure long-term sustainability 
     of the program;
       ``(J) describes a plan for evaluation of the activities 
     carried out under the grant, including measurement of 
     progress toward the goals and objectives of the program and 
     the use of evaluation findings to improve program 
     performance;
       ``(K) demonstrates fiscal responsibility through the use of 
     appropriate accounting procedures and appropriate management 
     systems;
       ``(L) demonstrates the consortium's commitment to serve the 
     community without regard to the ability of an individual or 
     family to pay by arranging for or providing free or reduced 
     charge care for the poor; and
       ``(M) includes such other information as the Secretary may 
     prescribe;
       ``(3) agrees along with each of the participating providers 
     identified under paragraph (2)(B) that each will commit to 
     use grant funds awarded under this section to supplement, not 
     supplant, any other sources of funding (including the value 
     of any in-kind contributions) available to cover the 
     expenditures of the consortium and of the participating 
     providers in carrying out the activities for which the grant 
     would be awarded; and
       ``(4) has established or will establish before the receipt 
     of any grant under this section, a decision-making body that 
     has full and complete authority to determine and oversee all 
     the activities undertaken by the consortium with funds made 
     available through such grant and that includes representation 
     from each of the following providers listed in (b)(1)(B) if 
     they participate in the consortium.
       ``(c) Priorities.--In awarding grants under this section, 
     the Secretary--
       ``(1) shall accord priority to applicants that demonstrate 
     the extent of unmet need in the community involved for a more 
     coordinated system of care; and
       ``(2) may accord priority to applicants that best promote 
     the objectives of this section, taking into consideration the 
     extent to which the application involved--
       ``(A) identifies a community whose geographical area has a 
     high or increasing percentage of individuals who are 
     uninsured;
       ``(B) demonstrates that the applicant has included in its 
     consortium providers, support systems, and programs that have 
     a tradition of serving uninsured individuals and underinsured 
     individuals in the community;
       ``(C) shows evidence that the program would expand 
     utilization of preventive and primary care services for 
     uninsured and underinsured individuals and families in the 
     community, including behavioral and mental health services, 
     oral health services, or substance abuse services;
       ``(D) proposes a program that would improve coordination 
     between health care providers and appropriate social service 
     providers, including local and regional human services 
     agencies, school systems, and agencies on aging;
       ``(E) demonstrates collaboration with State and local 
     governments;
       ``(F) demonstrates that the applicant makes use of non-
     Federal contributions to the greatest extent possible; or
       ``(G) demonstrates a likelihood that the proposed program 
     will continue after support under this section ceases.
       ``(d) Use of Funds.--
       ``(1) Use by grantees.--
       ``(A) In general.--Except as provided in paragraphs (2) and 
     (3), a grantee may use amounts provided under this section 
     only for--
       ``(i) direct expenses associated with planning and 
     developing the greater integration of a health care delivery 
     system, and operating the resulting system, so that the 
     system either directly provides or ensures the provision of a 
     broad range of culturally competent services, as appropriate, 
     including primary, secondary, and tertiary services, as well 
     as substance abuse treatment and mental health services; and
       ``(ii) direct patient care and service expansions to fill 
     identified or documented gaps within an integrated delivery 
     system.
       ``(B) Specific uses.--The following are examples of 
     purposes for which a grantee may use grant funds under this 
     section, when such use meets the conditions stated in 
     subparagraph (A):
       ``(i) Increases in outreach activities.
       ``(ii) Improvements to case management.
       ``(iii) Improvements to coordination of transportation to 
     health care facilities.
       ``(iv) Development of provider networks and other 
     innovative models to engage physicians in voluntary efforts 
     to serve the medically underserved within a community.
       ``(v) Recruitment, training, and compensation of necessary 
     personnel.
       ``(vi) Acquisition of technology, such as telehealth 
     technologies to increase access to tertiary care.
       ``(vii) Identifying and closing gaps in health care 
     services being provided.
       ``(viii) Improvements to provider communication, including 
     implementation of shared information systems or shared 
     clinical systems.
       ``(ix) Development of common processes for determining 
     eligibility for the programs provided through the system, 
     including creating common identification cards and single 
     sliding scale discounts.
       ``(x) Creation of a triage system to coordinate referrals 
     and to screen and route individuals to appropriate locations 
     of primary, specialty, and inpatient care.

[[Page S2753]]

       ``(xi) Development of specific prevention and disease 
     management tools and processes, including--

       ``(I) carrying out a protocol or plan for each individual 
     patient concerning what needs to be done, at what intervals, 
     and by whom, for the patient;

       ``(II) redesigning practices to incorporate regular patient 
     contact, collection of critical data on health and disease 
     status, and use of strategies to meet the educational and 
     psychosocial needs of patients who may need to make lifestyle 
     and other changes to manage their diseases;
       ``(III) the promotion of the availability of specialized 
     expertise through the use of--

       ``(aa) teams of providers with specialized knowledge;
       ``(bb) collaborative care arrangements;
       ``(cc) computer decision support services; or
       ``(dd) telehealth technologies.

       ``(IV) providing patient educational and support tools that 
     are culturally competent and meet appropriate health literacy 
     and literacy requirements; and
       ``(V) the collection of data related to patient care and 
     outcomes.

       ``(xii) Translation services.
       ``(xiii) Carrying out other activities that may be 
     appropriate to a community and that would increase access by 
     the uninsured to health care, such as access initiatives for 
     which private entities provide non-Federal contributions to 
     supplement the Federal funds provided through the grants for 
     the initiatives.
       ``(2) Direct patient care limitation.--Not more than 15 
     percent of the funds provided under a grant awarded under 
     this section may be used for providing direct patient care 
     and services.
       ``(3) Reservation of funds for national program purposes.--
     The Secretary may use not more than 3 percent of funds 
     appropriated to carry out this section for providing 
     technical assistance to grantees, obtaining assistance of 
     experts and consultants, holding meetings, development of 
     tools, dissemination of information, evaluation, and carrying 
     out activities that will extend the benefits of a program 
     funded under this section to communities other than the 
     community served by the program funded.
       ``(e) Grantee Requirements.--
       ``(1) In general.--A grantee under this section shall--
       ``(A) report to the Secretary annually regarding--
       ``(i) progress in meeting the goals and measurable 
     objectives set forth in the grant application submitted by 
     the grantee under subsection (b); and
       ``(ii) such additional information as the Secretary may 
     require; and
       ``(B) provide for an independent annual financial audit of 
     all records that relate to the disposition of funds received 
     through the grant.
       ``(2) Progress.--The Secretary may not renew an annual 
     grant under this section for an entity for a fiscal year 
     unless the Secretary is satisfied that the consortium 
     represented by the entity has made reasonable and 
     demonstrable progress in meeting the goals and measurable 
     objectives set forth in the entity's grant application for 
     the preceding fiscal year.
       ``(f) Technical Assistance.--The Secretary may, either 
     directly or by grant or contract, provide any entity that 
     receives a grant under this section with technical and other 
     nonfinancial assistance necessary to meet the requirements of 
     this section.
       ``(g) Report.--Not later than September 30, 2005, the 
     Secretary shall prepare and submit to the appropriate 
     committees of Congress a report on the progress and 
     accomplishments of the grant programs described in this 
     section.
       ``(h) Demonstration Authority.--The Secretary may make 
     demonstration awards under this section to historically black 
     medical schools for the purposes of--
       ``(1) developing patient-based research infrastructure at 
     historically black medical schools, which have an 
     affiliation, or affiliations, with any of the providers 
     identified in section (b)(1)(B);
       ``(2) establishment of joint and collaborative programs of 
     medical research and data collection between historically 
     black medical schools and such providers, whose goal is to 
     improve the health status of medically underserved 
     populations; or
       ``(3) supporting the research-related costs of patient 
     care, data collection, and academic training resulting from 
     such affiliations.
       ``(i) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $125,000,000 for fiscal year 2002 and such sums as may be 
     necessary for each of fiscal years 2003 through 2006.''.

     SEC. 403. EXPANDING AVAILABILITY OF DENTAL SERVICES.

       Part D of title III of the Public Health Service Act (42 
     U.S.C. 254b et seq.) is amended by adding at the end the 
     following:

                  ``Subpart X--Primary Dental Programs

     ``SEC. 340F. DESIGNATED DENTAL HEALTH PROFESSIONAL SHORTAGE 
                   AREA.

       ``In this subpart, the term `designated dental health 
     professional shortage area' means an area, population group, 
     or facility that is designated by the Secretary as a dental 
     health professional shortage area under section 332 or 
     designated by the applicable State as having a dental health 
     professional shortage.

     ``SEC. 340G. GRANTS FOR INNOVATIVE PROGRAMS.

       ``(a) Grant Program Authorized.--The Secretary, acting 
     through the Administrator of the Health Resources and 
     Services Administration, is authorized to award grants to 
     States for the purpose of helping States develop and 
     implement innovative programs to address the dental workforce 
     needs of designated dental health professional shortage areas 
     in a manner that is appropriate to the States' individual 
     needs.
       ``(b) State Activities.--A State receiving a grant under 
     subsection (a) may use funds received under the grant for--
       ``(1) loan forgiveness and repayment programs for dentists 
     who--
       ``(A) agree to practice in designated dental health 
     professional shortage areas;
       ``(B) are dental school graduates who agree to serve as 
     public health dentists for the Federal, State, or local 
     government; and
       ``(C) agree to--
       ``(i) provide services to patients regardless of such 
     patients' ability to pay; and
       ``(ii) use a sliding payment scale for patients who are 
     unable to pay the total cost of services;
       ``(2) dental recruitment and retention efforts;
       ``(3) grants and low-interest or no-interest loans to help 
     dentists who participate in the medicaid program under title 
     XIX of the Social Security Act (42 U.S.C. 1396 et seq.) to 
     establish or expand practices in designated dental health 
     professional shortage areas by equipping dental offices or 
     sharing in the overhead costs of such practices;
       ``(4) the establishment or expansion of dental residency 
     programs in coordination with accredited dental training 
     institutions in States without dental schools;
       ``(5) programs developed in consultation with State and 
     local dental societies to expand or establish oral health 
     services and facilities in designated dental health 
     professional shortage areas, including services and 
     facilities for children with special needs, such as--
       ``(A) the expansion or establishment of a community-based 
     dental facility, free-standing dental clinic, consolidated 
     health center dental facility, school-linked dental facility, 
     or United States dental school-based facility;
       ``(B) the establishment of a mobile or portable dental 
     clinic; and
       ``(C) the establishment or expansion of private dental 
     services to enhance capacity through additional equipment or 
     additional hours of operation;
       ``(6) placement and support of dental students, dental 
     residents, and advanced dentistry trainees;
       ``(7) continuing dental education, including distance-based 
     education;
       ``(8) practice support through teledentistry conducted in 
     accordance with State laws;
       ``(9) community-based prevention services such as water 
     fluoridation and dental sealant programs;
       ``(10) coordination with local educational agencies within 
     the State to foster programs that promote children going into 
     oral health or science professions;
       ``(11) the establishment of faculty recruitment programs at 
     accredited dental training institutions whose mission 
     includes community outreach and service and that have a 
     demonstrated record of serving underserved States;
       ``(12) the development of a State dental officer position 
     or the augmentation of a State dental office to coordinate 
     oral health and access issues in the State; and
       ``(13) any other activities determined to be appropriate by 
     the Secretary.
       ``(c) Application.--
       ``(1) In general.--Each State desiring a grant under this 
     section shall submit an application to the Secretary at such 
     time, in such manner, and containing such information as the 
     Secretary may reasonably require.
       ``(2) Assurances.--The application shall include assurances 
     that the State will meet the requirements of subsection (d) 
     and that the State possesses sufficient infrastructure to 
     manage the activities to be funded through the grant and to 
     evaluate and report on the outcomes resulting from such 
     activities.
       ``(d) Matching Requirement.--The Secretary may not make a 
     grant to a State under this section unless that State agrees 
     that, with respect to the costs to be incurred by the State 
     in carrying out the activities for which the grant was 
     awarded, the State will provide non-Federal contributions in 
     an amount equal to not less than 40 percent of Federal funds 
     provided under the grant. The State may provide the 
     contributions in cash or in kind, fairly evaluated, including 
     plant, equipment, and services and may provide the 
     contributions from State, local, or private sources.
       ``(e) Report.--Not later than 5 years after the date of 
     enactment of the Health Care Safety Net Amendments of 2001, 
     the Secretary shall prepare and submit to the appropriate 
     committees of Congress a report containing data relating to 
     whether grants provided under this section have increased 
     access to dental services in designated dental health 
     professional shortage areas.
       ``(f) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section, $50,000,000 for 
     the 5-fiscal year period beginning with fiscal year 2002.''.

[[Page S2754]]

                     TITLE V--RURAL HEALTH CLINICS

     SEC. 501. EXEMPTIONS FOR RURAL HEALTH CLINICS.

       (a) Exemptions From Coinsurance Requirements.--Section 
     1128B(b)(3)(D) of the Social Security Act (42 U.S.C. 1320a-
     7b(b)(3)(D)) is amended by striking ``a Federally qualified 
     health care center'' and inserting ``a rural health clinic 
     (as defined in section 1861(aa)) to which members of the 
     National Health Service Corps are assigned under section 333 
     of the Public Health Service Act, or a Federally qualified 
     health center (as defined in section 1861(aa))''.
       (b) Exemptions From Deductible Requirements.--Section 
     1833(b)(4) of the Social Security Act (42 U.S.C. 1395l(b)(4)) 
     is amended by striking ``such deductible shall not apply to 
     Federally qualified health center services.'' and inserting 
     ``such deductible shall not apply to rural health clinic 
     services made available through a rural health clinic to 
     which members of the National Health Service Corps are 
     assigned under section 333 of the Public Health Service Act, 
     provided to an individual who qualifies for subsidized 
     services under the Public Health Service Act or Federally 
     qualified health center services,''.

                            TITLE VI--STUDY

     SEC. 601. GUARANTEE STUDY.

       The Secretary of Health and Human Services shall conduct a 
     study regarding the ability of the Department of Health and 
     Human Services to provide for solvency for managed care 
     networks involving health centers receiving funding under 
     section 330 of the Public Health Service Act. The Secretary 
     shall prepare and submit a report to the appropriate 
     Committees of Congress regarding such ability not later than 
     2 years after the date of enactment of the Health Care Safety 
     Net Amendments of 2001.

                    TITLE VII--CONFORMING AMENDMENTS

     SEC. 701. CONFORMING AMENDMENTS.

       (a) Homeless Programs.--Subsections (g)(1)(G)(ii), (k)(2), 
     and (n)(1)(C) of section 224, and sections 317A(a)(2), 
     317E(c), 318A(e), 332(a)(2)(C), 340D(c)(5), 799B(6)(B), 1313, 
     and 2652(2) of the Public Health Service Act (42 U.S.C. 233, 
     247b-1(a)(2), 247b-6(c), 247c-1(e), 254e(a)(2)(C), 
     256d(c)(5), 295p(6)(B), 300e-12, and 300ff-52(2)) are amended 
     by striking ``340'' and inserting ``330(h)''.
       (b) Homeless Individual.--Section 534(2) of the Public 
     Health Service Act (42 U.S.C. 290cc-34(2)) is amended by 
     striking ``340(r)'' and inserting ``330(h)(5)''.

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