[Congressional Record Volume 149, Number 46 (Friday, March 21, 2003)]
[Senate]
[Pages S4277-S4295]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Ms. CANTWELL (for herself and Mrs. Murray):
  S. 681. A bill to provide for the enhanced protection of electricity 
consumers under the Federal Power Act; to the Committee on Energy and 
Natural Resources.
  Ms. CANTWELL. Mr. President, I rise today to introduce the 
Electricity Market Manipulation Prevention Act--legislation I believe 
is critical in ensuring our Nation's consumers will never again have to 
suffer from the type of energy price manipulation that has so 
devastated the economy of my home State of Washington. This bill is 
simple yet powerful in concept. In essence, it requires the Federal 
Energy Regulatory Commission to do its job--protect consumers from 
energy price manipulation.
  This bill says that where FERC gives companies the authority to 
charge market-based wholesale electricity rates, the Commission must 
also actively ensure that effective competition--the only kind of 
competition that benefits consumers and businesses--actually exists. It 
says that if FERC finds that an entity has attempted to manipulate 
power markets, the Commission will revoke or modify the company's 
ability to sell power at market-based rates, and the company will be on 
the hook to pay back revenues in excess of the average regional cost of 
generating the power. And lastly, it says that FERC will not be allowed 
to change the legal standard for

[[Page S4278]]

reviewing whether consumers deserve relief from market manipulation.
  I first want to make a very important point about this legislation. 
In large part, it does not expand FERC's existing authority under the 
Federal Power Act. It simply articulates more explicitly how Congress 
intends for FERC to exercise its existing authority.
  Now why is this an important point? As many of my colleagues may 
know, FERC--under sections 205 and 206 of the Federal Power Act--is 
already given the responsibility of ensuring just and reasonable 
wholesale electricity rates, and fixing those rates when market 
activity has gone awry. So why do we need clarification? Because 
despite overwhelming and undisputed evidence that any number of energy 
companies--Enron and its ilk--engaged in activities designed to 
manipulate power markets in the west, FERC has to date failed to take 
action on behalf of consumers.
  While prices started skyrocketing out of control during the summer of 
2000, it took the Commission nearly a year to step in and reign in 
those prices throughout the west. The provisions of this legislation 
that require FERC to perform annual reviews of how well markets are 
functioning would help ensure the Commission's active oversight, and 
prevent the type of price gouging from which consumers and businesses 
in my sate continue to suffer.
  While the Commission did finally step in to cap prices--under intense 
congressional pressure, I might add--it has, almost 2 years later, 
failed to decisively act on the billions of dollars' worth of refund 
and long-term contract complaints resulting from the crisis. What's 
more, the Commission's Administrative Law Judges have taken every 
opportunity to throw additional hurdles in the path of the Northwest 
consumers, who have suffered more than any as a result of California's 
ill-fated restructuring scheme. That's why this legislation 
specifically articulates what legal standard should apply to the 
Commission's review of complaints for relief.
  Even in the face of admitted market manipulation--in the most brazen 
of cases, where Enron has described its own schemes to drive up prices 
and Reliant's transcripts quote company traders explicitly voicing 
their plans to drive up prices throughout the west by withholding 
power--FERC has, more than two years later, failed to use all the tools 
at its disposal to send a message that such activities will not be 
tolerated, levying fines that are clearly inadequate compared to the 
economic devastation these activities have caused.
  This bill makes the remedies for market manipulation far more 
transparent, doing away with the multiple years of arcane proceedings 
in which we are currently embroiled. The protracted cases resulting 
from the western energy crisis have yet to benefit anyone--certainly 
neither the industry nor consumers--except, perhaps, for energy 
attorneys.
  This legislation tells energy companies that if they are going to 
attempt to manipulate markets, there will be harsh and immediate 
consequences. It says that if the commission finds that an entity has 
attempted to gouge consumers, it will revoke or revise its market-based 
rate authority, set a just and reasonable rate going forward, and order 
the refund of revenues collected above the average wholesale generation 
cost within the relevant regional power market. Concrete, explicit 
consequences--commensurate with the level of damage caused by 
marketplace shenanigans--should provide a powerful disincentive for 
companies tempted to engage in the types of behavior that have crippled 
the economy of Washington and other western states.
  Now, I can already hear the outcry from some--but not all sectors--of 
the energy industry. They will claim that putting concrete remedies on 
the books--transparent mechanisms for consumer relief, and tangible 
penalties for companies that endeavor to gouge consumers--will breed 
too much uncertainty for participants in energy markets.
  To those who would make that argument, I would simply say, it is 
absolutely absurd to suggest that energy companies can't make money 
unless they retain their legal rights to rip off the ratepayers of this 
country. Ensuring that FERC--which is supposed to be, in Chairman Pat 
Wood's own words, ``the tough cop on the beat''--takes swift and 
decisive action when energy companies attempt to manipulate markets is 
an issue of simple fairness and common sense. Afterall, it is our 
Nation's ratepayers--residential and industrial customers alike--who 
pay the price for FERC's inaction, and FERC is the only cop on the 
beat.
  I have stood on this floor many times to speak of the economic train 
wreck created in my state by FERC's inaction in the face of the western 
energy crisis, which we now know resulted in large part from bad actors 
who decided to take advantage of a near-historic drought and tragically 
flawed market rules in California. Today, retail rates in many parts of 
my State of Washington have risen almost 50 percent, our unemployment 
is consistently among the top five in the nation, the demand for low-
income energy assistance is at record levels, we are struggling to 
stave off yet another regional rate increase, and there is no end in 
sight--unless FERC takes long-overdue action.
  This bill sends a clear signal to FERC: we expect you to right the 
wrongs from which consumers throughout the west continue to suffer, and 
we expect you to use your authority to ensure a repeat of the western 
energy crisis never occurs. There is no other competitively traded 
commodity aside from electricity--soy beans, wheat, pork bellies, 
metals--for which a prolonged price run-up can single-handedly cripple 
industries as diverse as aluminum smelting, microchip manufacturing, 
irrigated agriculture, paper production or aerospace. Clearly, the 
economic stakes are exceptionally high when it comes to electricity, 
and as such, Congress must demand a greater degree of accountability 
from both the industry itself and those who regulate it.
  With this bill, we make Congress' intent perfectly clear: FERC must 
protect consumers; there will be swift and decisive action against 
those who endeavor to manipulate markets; and the deck will not be 
stacked against the consumers and businesses who are the victim of 
Enron-like schemes.
                                 ______
                                 
      By Mr. DOMENICI (for himself, Ms. Cantwell, Mrs. Murray, and Mr. 
        Bingaman):
  S. 682. A bill to authorize funding for Genomes to Life Research and 
Development at the Department of Energy for fiscal years 2004 through 
2008; to the Committee on Energy and Natural Resources.
  Mr. DOMENICI. Mr. President, I rise to introduce the Genomes to Life 
Research and Development Act. I appreciate the bipartisan sponsors, 
Senator Cantwell, Senator Murray and Senator Bingaman who join me in 
its introduction.
  In the last 2 years, there have been many events celebrating the 
completion of maps of the human genome. The genome map has been lauded 
from many quarters, with some referring to it as the ``recipe for 
life,'' our ``genetic fingerprint,'' or the ``holy grail of biology.'' 
There can be no question that the work of the DOE, the NIH, and private 
industry to complete this map has ushered in a new frontier in 
biological research.
  I had the tremendous pleasure and honor of being the first legislator 
to recognize the importance of human genomics. It was at a March 1986 
conference in Sante Fe, NM, led by Charles DeLisi and David Smith, that 
the first proposal for the DOE Human Genome Initiative was developed. 
And it was in 1987 that I introduced the legislation that laid the 
foundation for the Human Genome project. Senator Chiles worked with me 
in this effort, and both the Labor and Energy Committees had important 
roles in advancing the project.
  The first year of appropriated funding was fiscal year 1988, with $11 
million for the DOE and $17 million for the NIH. Since then, in 
completing the map, over $3 billion has been invested. I firmly believe 
that history will view that investment as one that truly changed 
medical and health sciences for all mankind.
  I have found it amusing to review some of the arguments against the 
genome project in those early days. It was labeled as a ``mindless 
factory project,'' or ``a scheme for unemployed

[[Page S4279]]

bombmakers.'' One well known researcher said, ``The Idea is gathering 
momentum. I shiver at the thought.''
  Now there's only praise for the future of this endeavor. I 
particularly value an autographed copy of the original genome map that 
was presented to me in February of 2001 by Craig Venter, president of 
Celera Genomics, with the inscription ``Your vision went beyond the 
parochial objections of the few and the doubts of the many, we all owe 
you our thanks.''
  But even as we can see today that the benefits to mankind from the 
genome project will be immense, we also are nowhere near the point of 
fully utilizing the treasure trove of information in these maps. Today, 
we do not understand how details of genome sequence influence medical 
conditions. In short, we have a map, but aren't quite sure exactly how 
that map corresponds to reality.
  With this bill, we authorize a new DOE program, Genomes to Life. 
Along with companion measures in the NIH, this DOE program will seek to 
interpret this wonderful new map and really begin to use it. Through 
these programs, we will begin to understand how our own DNA sequence, 
as expressed in our own genome map, translates into a collection of 
interacting proteins that function as our own personal molecular 
machine.

  The intellectual challenges in this new initiative are immense. They 
require public support for the basic and applied research and 
development. There must be significant advances in areas like 
characterization of multi-protein complexes and gene regulatory 
networks that will be required before biologically based solutions and 
technologies will be available for applications to DOE missions.
  New instruments will be essential in the Genomes to Life research. 
These may be instruments that haven't been invented yet. Specialized 
facilities will be required to advance the field and realize its 
promise. This bill envisions these facilities being built as user 
facilities, using the model that the Department already successfully 
uses for many facilities in diverse areas of science.
  With the Genomes to Life program, and its companion programs at the 
NIH, we'll finally be in a position to understand how genomic 
information can be used to benefit mankind. From the NIH side, we will 
be far better equipped to understand many diseases. We may have drugs 
designed for specific genetic profiles, drugs may be screened for 
adverse interactions, and side effects of drugs may be predicted and 
avoided.
  From the DOE side of the program, we may have biological approaches 
to hydrogen production or carbon sequestration. We may have new 
alternatives for detection and mitigation of biological threats. We may 
have new biological tools to handle complex cleanup issued at DOE 
sites.
  This Bill lays the foundation for this new Genomes to Life program, 
and I encourage its support.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 682

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as ``The Genomes to Life Research and 
     Development Act''.

     SEC. 2. FINDINGS.

       The Congress finds the following:
       (1) The Department of Energy's Genomes to Life initiative 
     involves the emerging fields of systems biology and 
     proteomics, which address the ability to understand the 
     composition and function of the biochemical networks and 
     pathways that carry out the essential processes of living 
     organisms.
       (2) The Genomes to Life initiative builds on the Department 
     of Energy's integral role in the Human Genome Project, which 
     has led to the mapping, sequencing and identification of 
     genetic material. Genomes to Life will go beyond mapping to 
     develop an understanding of how genetic components interact 
     to perform cellular activities vital to life.
       (3) The ability of the United States to respond to the 
     national security, energy and environmental challenges of the 
     21st century will be driven by science and technology. An 
     integrated and predictive understanding of biological systems 
     will enable the United States to develop new technologies 
     related to the detection of biological and chemical agents, 
     energy production, carbon sequestration, bioremediation and 
     other Department of Energy statutory missions. These advances 
     will also enhance the strength of U.S. science, technology, 
     and medicine generally.
       (4) The fundamental intellectual challenges inherent in the 
     Genomes to Life initiative are considerable, and require 
     public support for basic and applied research and 
     development. Significant advances in areas such as the 
     characterization of multiprotein complexes and gene 
     regulatory networks will be required before biologically-
     based solutions and technologies will be useful in national 
     security applications, as well as to the energy, medical and 
     agricultural industries.
       (5) The development of new scientific instruments will also 
     be required to advance Genomes to Life research. Such 
     instruments are likely to be large and costly. Specialized 
     facilities are also likely to be required in order to advance 
     the field and to realize its promise. Such facilities will be 
     sufficiently expensive that they will have to be located and 
     constructed on a centralized basis, similar to a number of 
     unique facilities already managed by the Department of 
     Energy.
       (6) Contributions from individual researchers as well as 
     multidisciplinary research teams will be required to advance 
     systems biology and proteomics.
       (7) The Department of Energy's Office of Science is well 
     suited to manage systems biology and proteomics research for 
     the Department. Through its support of research and 
     development pursuant to the Department's statutory 
     authorities, the Office of Science is the principal federal 
     supporter of the research and development in the physical and 
     computational sciences. The Office is also a significant 
     source of federal support for research in genomics and the 
     life sciences. The Office supports research and development 
     by individual investigators and multidisciplinary teams, and 
     manages special user facilities that serve investigators in 
     both university and industry.

     SEC. 3. DEPARTMENT OF ENERGY PROGRAM.

       (a) Establishment.--The Secretary shall carry out a program 
     of research, development, demonstration, and commercial 
     application, to be known as the Genomes to Life Program, in 
     systems biology and proteomics consistent with the 
     Department's statutory authorities.
       (b) Planning.--
       (1) In general.--The Secretary shall prepare a program plan 
     describing how knowledge and capabilities would be developed 
     by the program and applied to Department missions relating to 
     energy, environmental cleanup, and mitigation of global 
     climate change.
       (2) Consultation.--The program plan will be developed in 
     consultation with other relevant Department technology 
     programs.
       (3) Long-term goals.--The program plan shall focus science 
     and technology on long-term goals including:
       (A) contributing to U.S. independence from foreign energy 
     sources,
       (B) stabilizing atmospheric levels of carbon dioxide to 
     counter global warming,
       (C) advancing environmental cleanup, and
       (D) providing the science and technology basis for new 
     industries in biotechnology.
       (4) Specific goals.--The program plan shall identify 
     appropriate research, development, demonstration, and 
     commercial application activities to address the following 
     issues within the next decade:
       (A) identifying new biological sources of fuels and 
     electricity, with particular emphasis on creating biological 
     technologies for the production and utilization of hydrogen;
       (B) understanding the Earth's natural carbon cycle and 
     create stategies to stablize atmospheric carbon dioxide;
       (C) developing a knowledge and capability base for 
     exploring more cost effective cleanup strategies for 
     Department sites;
       (D) capturing key biological processes in engineered 
     systems not requiring living cells.
       (c) Program Execution.--In carrying out the program under 
     this Act, the Secretary shall--
       (1) support individual investigators and multidisciplinary 
     teams of investigators;
       (2) subject to subsection (d), develop, plan, construct, 
     acquire, or operate special equipment or facilities for the 
     use of investigators conducting research, development, 
     demonstration, or commercial application in systems biology 
     and proteomics;
       (3) support technology transfer activities to benefit 
     industry and other uses of systems biology and proteomics; 
     and
       (4) coordinate activities by the Department with industry 
     and other federal agencies; and
       (5) award funds authorized under this Act only after an 
     impartial review of the scientific and technical merit of the 
     proposals for such awards has been carried out by or for the 
     Department.
       (d) Genomes to Life User Facilities and Ancillary 
     Equipment.--
       (1) Authorization.--Within the funds authorized to be 
     appropriated pursuant to this Act, the amounts specified 
     under section 4(b) shall, subject to appropriations, be 
     available for projects to develop, plan, construct, acquire, 
     or operate special equipment, instrumentation, or facilities 
     for invesigators conducting research, development, 
     demonstration, and commercial application in systems biology 
     and proteomics and associated biological disciplines.
       (2) Projects.--Projects under paragraph (1) may include--
       (A) the indentification and characterization of 
     multiprotein complexes;

[[Page S4280]]

       (B) characterization of gene regulatory networks; 
     characterization of the functional repertoire of complex 
     microbial communities in their natural environments at the 
     molecular level; and
       (C) development of computational methods and capabilities 
     to advance understanding of complex biological systems and 
     predict their behavior.
       (3) Facilities.--Facilities under paragraph (1) may include 
     facilities for--
       (A) the production and characterization of proteins;
       (B) whole proteome analysis;
       (C) characterization and imaging of molecular machines; and
       (D) analysis and modeling of cellular systems.
       (4) Collaboration.--The Secretary shall encourage 
     collaborations among universities, laboratories and industry 
     at facilities under this subsection. All facilities under 
     this subsection shall have a specific mission of 
     technology transfer to other institutions.

     SEC. 4. AUTHORIZATION OF APPROPRIATIONS.

       (a) Total Authorization.--The following sums are authorized 
     to be appropriated to the Secretary, to remain available 
     until expended, for the purposes of carrying out this Act:
       (1) $100,000,000 for fiscal year 2004;
       (2) $170,000,000 for fiscal year 2005;
       (3) $325,000,000 for fiscal year 2006;
       (4) $415,000,000 for fiscal year 2007; and
       (5) $455,000,000 for fiscal year 2008.
       (b) User Facilities and Ancillary Equipment.--Of the funds 
     under subsection (a), the following sums are authorized to be 
     appropriated to carry out section 3(d):
       (1) $16,000,000 for fiscal year 2004;
       (2) $70,000,000 for fiscal year 2005;
       (3) $175,000,000 for fiscal year 2006;
       (4) $215,000,000 for fiscal year 2007; and
       (5) $420,000,000 for fiscal year 2008.

     SEC. 5. DEFINITIONS

       For purposes of this Act:
       (1) Department.--The term ``Department'' means the 
     Department of Energy.
       (2) Proteomics.--The term ``proteomics'' means the 
     determination of the structure, function, and expression of 
     the proteins encoded in any genome, including new protein 
     sequences encoded in a genome for which the structural or 
     functional correlates are not currently known.
       (3) Secretary.--The term ``Secretary'' means the Secretary 
     of Energy, acting through the Biological and Environmental 
     Research Program of the Office of Science of the Department.

  Ms. CANTWELL. Mr. President, I rise today to introduce--along with my 
colleagues Chairman Domenici, and Senators Bingaman and Murray--the 
Genomes to Life Research and Development Act.
  This bill capitalizes on the enormous success of the Human Genome 
Project, and promises to take this important research to the next 
level. While the mapping of the human genome is an unparalleled 
accomplishment on its own, this new initiative will allow researchers 
to go beyond the science of description, and begin to explore the 
complex interactions of the elements within cells.
  It is those intracellular dynamics that truly hold the key to finding 
solutions to some of our most difficult scientific problems--from 
detection of biological and chemical agents and nuclear waste clean-up 
to figuring out new and more efficient ways to produce hydrogen, so 
crucial in attaining energy independence for this Nation. Where the 
Human Genome Project has provided researchers with the range and 
description of musical notes, Genomes to Life will enable scientists to 
begin to understand the way these notes are arranged to produce music--
the essential process of life.
  The Genomes to Life Act sets out an aggressive path for DOE, to make 
this area a high priority for the Office of Science. Of course, none of 
this would be possible without the successes of the Human Genome 
Project, and I want to acknowledge the vision of this legislation's 
other sponsor, Chairman Domenici, in making that a reality. As some of 
my colleagues may be aware, the senior Senator from New Mexico laid the 
foundation for the Human Genome Project with legislation he first 
introduced in 1987.
  I am thus extremely pleased to be working with him on this bill, 
which I believe is the Human Genome Project's logical successor. Our 
legislation would authorize the Department of Energy to design and 
establish national research centers to investigate proteomics and 
genomics. Proteomics refers to the study of proteins, how they are 
modified, when and where they are expressed, how they are involved in 
metabolic pathways, and how they interact with each other. Genomics 
refers to the study of three-dimensional structures of thousands of 
proteins--all of the proteins produced by a species.
  These are exciting research fields that combine the discipline of 
physics, chemistry, biology, engineering, and advanced computational 
and mathematical modeling. The Department of Energy's Office of Science 
has a long history of success in large scale, cross-discipline 
scientific research and is thus well suited to manage this program. In 
addition, a significant component of the Human Genome Project has been 
the transfer of technology to the private sector, which has in turn 
catalyzed the multi-billion dollar U.S. biotechnology industry and 
fostered the development of new medical applications.
  The Genomes to Life Act that Chairman Domenici, Senators Bingaman, 
Murray and I are introducing today provides a coordinated and 
comprehensive plan for the next generation of biotechnology research 
facilities. The functions and dynamics of all living cells are 
determined by the complex interactions of the constituent proteins. We 
do not yet understand these interactions, but the Genomes to Life Act 
will give us the best tools to investigate these microscopic mysteries. 
Put in simple terms, teams of American scientists will try to answer 
the fundamental question, ``How do cells work?'' This bill will ensure 
that state of the art facilities, leading edge equipment, and the next 
generation of commuters are available to map and model these complex 
interactions, as we strive to answer this critical question.
  The promise of biotechnology research is especially important to my 
state of Washington--home to many world-class research facilities. 
Washington has over 190 biotechnology companies employing more than 
11,000 people. In 2001, the annual revenue of these companies exceeded 
$1.2 billion. Nearly one half of these companies were based on 
technologies developed at research and development institutions and 
over 40 percent of the companies have been established in the past six 
years.
  This legislation's provisions--ensuring that research with its 
origins at the Department of Energy provides the science and technology 
basis for new industries in biotechnology, and that DOE continues to 
identify appropriate commercial applications--will help this important 
economic sector continue to grow in Washington state and across the 
country.
  The Genomes to Life Research and Development Act that Sens. Domenici, 
Bingaman, Murray and I have introduced today will strengthen our 
national security and our national economy. Additionally, the 
integrative and predicative understanding of biological systems will 
improve our ability to respond to the energy and environmental 
challenges of the 21st century. The Genomes to Life laboratories will 
attract top researchers and push the envelope of present technologies. 
The Genomes to Life Act will help the U.S. to maintain our premiere 
position in the world in the fields of science and technology.
  I look forward to working with my colleagues during this session to 
ensure passage of this legislation. I believe that the United States 
must continue to invest in scientific research to maintain our standing 
in the world and I am confident that this short-term investment will 
pay long-term dividends to our health, our security, and to our 
economy.
                                 ______
                                 
      By Mr. FEINGOLD:
  S. 683. A bill to amend the Family and Medical Leave Act of 1993 to 
provide entitlement to leave to eligible employees whose spouse, son, 
daughter, or parent is a member of the Armed Forces serving on active 
duty in support of a contingency operation or notified of an impending 
call or order to active duty in support of a contingency operation; to 
the Committee on Health, Education, Labor, and Pensions.
  Mr. FEINGOLD. Mr. President, today I am introducing legislation to 
bring a small measure of relief to the families of our brave military 
personnel who are being deployed for the ongoing fight against 
terrorism, the war in Iraq, and other missions around the country and 
around the world.
  The men and women of our Armed Forces undertake enormous sacrifices 
in their service to our country. They spend time away from home and 
from their families in different parts of the country and different 
parts of the world, and, too often, are placed into

[[Page S4281]]

harm's way in order to protect the American people and our way of life. 
We owe them a huge debt of gratitude for their dedicated service.
  The ongoing deployments for the fight against terrorism and for the 
campaign in Iraq are turning upside down the lives of thousands of 
active duty, National Guard, and Reserve personnel and their families 
as they seek to do their duty to their country and honor their 
commitments to their families, and, in the case of the reserve 
components, to their employers as well. As of March 29, more than 
212,000 National Guard and Reserve personnel were on active duty, and 
thousands more can expect to be activated in the coming days and weeks.
  Some of my constituents are facing the latest in a series of multiple 
activations and deployments for family members who serve our country in 
the military. Others are seeing their loved ones off on their first 
deployment. All of these families share in the worry and concern about 
what awaits their relatives and hope, as we do, for their swift and 
safe return.
  Our men and women in uniform face these challenges without complaint. 
But we should do more to help them and their families with the many 
things that preparing to be deployed.
  Often, military personnel and their families are given only a couple 
of days' notice that their units will be deployed. These dedicated men 
and women then have only a very limited amount of time to get their 
lives in order. For members of the National Guard and Reserve, this 
includes telling their employers that they will be deployed for, in 
many cases, up to a year, and will be away from their jobs. I want to 
commend the many employers around the country for their understanding 
and support when an employee or a family member of an employee is 
called to active duty.
  In preparation for a deployment, military families often have to 
scramble to arrange for child care, to pay bills, to contact their 
landlords or mortgage companies, and take care of other things that we 
deal with on a daily basis, from stopping the newspaper to making sure 
that their plants are watered and that their pets are cared for while 
they are gone.
  The legislation that I introduce today would allow eligible employees 
whose spouses, parents, sons, or daughters are military personnel who 
are serving on or called to active duty in support of a contingency 
operation to use their Family and Medical Leave Act, FMLA, benefits for 
issues relating to our resulting from their deployment. These instances 
could include preparation for deployment or additional responsibilities 
that family members take on as a result of a loved one's deployment, 
such as child care.
  I was proud to cosponsor and vote for the lgislaiton that created the 
Family and Medical Leave Act FMLA, in the early days of my service to 
the people of Wisconsin as a member of this body. This important law 
allows eligible workers to take up to 12 weeks of unpaid leave per year 
for the birth or adoption of child, the placement of a foster child, to 
care for a newborn or newly adopted child or newly placed foster child, 
or to care for their own serious health condition or that of a spouse, 
a parent, or a child. Some employers offer a portion of this time as 
paid leave in addition to other accured leave, while others require 
workers to use accrued leave or sick time for this purpose.
  Since its enactment in 1993, the FMLA has helped more than 35 million 
American workers to balance responsibilities to their families and 
their careers. According to the Congressional Research Service, between 
2.2 million and 6.1 million people took advantage of these benefits in 
1999-2000.
  Our military families sacrifice a great deal. Active duty families 
often move every couple of years due to transfer and new assignments. 
And as we rely more heavily on National Guard and Reserve personnel for 
more and more deployments that are longer in duration, the burden on 
their families also increases.
  This legislation has the support of a number of military 
organizations, including the Wisconsin National Guard, the National 
Guard Association of the United States, the Reserve Officers 
Association, the Military Officers Association of America, and the 
Enlisted Association of the National Guard of the United States.
  We owe it to our military personnel and their families to do all we 
can to support them in this difficult time. I hope what this bill will 
bring a small measure of relief to our military families.
  I ask unanimous consent that the text of this bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 683

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

     SECTION 1. SHORT TITLE.

         This Act may be cited as the ``Military Families Leave 
     Act of 2003''.

     SEC. 2. GENERAL REQUIREMENTS FOR LEAVE.

         (a) Entitlement to Leave.--Section 102(a) of the Family 
     and Medical Leave Act of 1993 (29 U.S.C. 2612(a)) is amended 
     by adding at the end the following:
         ``(3) Entitlement to leave due to family member's active 
     duty.--
         ``(A) In general.--Subject to section 103(f), an eligible 
     employee shall be entitled to a total of 12 workweeks of 
     leave during any 12-month period because a spouse, son, 
     daughter, or parent of the employee is a member of the Armed 
     Forces--
         ``(i) on active duty in support of a contingency 
     operation; or
         ``(ii) notified of an impending call or order to active 
     duty in support of a contingency operation.
         ``(B) Conditions and time for taking leave.--An eligible 
     employee shall be entitled to take leave under subparagraph 
     (A)--
         ``(i) while the employee's spouse, son, daughter, or 
     parent is on active duty in support of a contingency 
     operation, and, if the family member is a member of a reserve 
     component of the Armed Forces, beginning when such family 
     member receives notification of an impending call or order to 
     active duty in support of a contingency operation; and
         ``(ii) only for issues relating to or resulting from such 
     family member's--

         ``(I) service on active duty in support of a contingency 
     operation; and
         ``(II) if a member of a reserve component of the Armed 
     Forces--

         ``(aa) receipt of notification of an impending call or 
     order to active duty in support of a contingency operation; 
     and
         ``(bb) service on active duty in support of such 
     operation.
         ``(4) Limitation.--No employee may take more than a total 
     of 12 workweeks of leave under paragraphs (1) and (3) during 
     any 12-month period.''.
         (b) Schedule.--Section 102(b)(1) of such Act (29 U.S.C. 
     2612(b)(1)) is amended by inserting after the second sentence 
     the following: ``Leave under subsection (a)(3) may be taken 
     intermittently or on a reduced leave schedule.''.
         (c) Substitution of Paid Leave.--Section 102(d)(2)(A) of 
     such Act (29 U.S.C. 2612(d)(2)(A)) is amended by inserting 
     ``or subsection (a)(3)'' after ``subsection (a)(1)''.
         (d) Notice.--Section 102(e) of such Act (29 U.S.C. 
     2612(e)) is amended by adding at the end the following:
         ``(3) Notice for leave due to family member's active 
     duty.--An employee who intends to take leave under subsection 
     (a)(3) shall provide such notice to the employer as is 
     practicable.''.
         (e) Certification.--Section 103 of such Act (29 U.S.C. 
     2613) is amended by adding at the end the following:
         ``(f) Certification for Leave Due to Family Member's 
     Active Duty.--An employer may require that a request for 
     leave under section 102(a)(3) be supported by a certification 
     issued at such time and in such manner as the Secretary may 
     by regulation prescribe.''.

     SEC. 3. LEAVE FOR CIVIL SERVICE EMPLOYEES.

         (a) Entitlement to Leave.--Section 6382(a) of title 5, 
     United States Code, is amended by adding at the end the 
     following:
         ``(3)(A) Subject to section 6383(f), an eligible employee 
     shall be entitled to a total of 12 workweeks of leave during 
     any 12-month period because a spouse, son, daughter, or 
     parent of the employee is a member of the Armed Forces--
         ``(i) on active duty in support of a contingency 
     operation; or
         ``(ii) notified of an impending call or order to active 
     duty in support of a contingency operation.
         ``(B) An eligible employee shall be entitled to take 
     leave under subparagraph (A)--
         ``(i) while the employee's spouse, son, daughter, or 
     parent is on active duty in support of a contingency 
     operation, and, if the family member is a member of a reserve 
     component of the Armed Forces, beginning when such family 
     member receives notification of an impending call or order to 
     active duty in support of a contingency operation; and
         ``(ii) only for issues relating to or resulting from such 
     family member's--
         ``(I) service on active duty in support of a contingency 
     operation; and
         ``(II) if a member of a reserve component of the Armed 
     Forces--
         ``(aa) receipt of notification of an impending call or 
     order to active duty in support of a contingency operation; 
     and

[[Page S4282]]

         ``(bb) service on active duty in support of such 
     operation.
         ``(4) No employee may take more than a total of 12 
     workweeks of leave under paragraphs (1) and (3) during any 
     12-month period.''.
         (b) Schedule.--Section 6382(b)(1) of such title is 
     amended by inserting after the second sentence the following: 
     ``Leave under subsection (a)(3) may be taken intermittently 
     or on a reduced leave schedule.''.
         (c) Substitution of Paid Leave.--Section 6382(d) of such 
     title is amended by inserting ``or subsection (a)(3)'' after 
     ``subsection (a)(1)''.
         (d) Notice.--Section 6382(e) of such title is amended by 
     adding at the end the following:
         ``(3) An employee who intends to take leave under 
     subsection (a)(3) shall provide such notice to the employing 
     agency as is practicable.''.
         (e) Certification.--Section 6383 of such title is amended 
     by adding at the end the following:
         ``(f) An employing agency may require that a request for 
     leave under section 6382(a)(3) be supported by a 
     certification issued at such time and in such manner as the 
     Office of Personnel Management may by regulation 
     prescribe.''.
                                 ______
                                 
      By Mr. SMITH (for himself, Mr. Wyden, Mr. Allard, Mr. Bayh, Mr. 
        Bond, Mr. Brownback, Mr. Miller Mr. Nickles, Mr. Santorum, Mr. 
        Cornyn, and Mr. Specter):
  S. 684. A bill to create an office within the Department of Justice 
to undertake certain specific steps to ensure that all American 
citizens harmed by terrorists overseas receive equal treatment by the 
United States Government regardless of the terrorists' country of 
origin or residence, and to ensure that all terrorists involved in such 
attacks are pursued, prosecuted, and punished with equal vigor, 
regardless of the terrorists' country of origin or residence; to the 
Committee on the Judiciary.
  Mr. SMITH. Mr. President, I rise today to right a wrong. I am doing 
so on behalf of myself and Mr. Wyden, Mr. Allard, Mr. Bayh, Mr. Bond, 
Mr. Brownback, Mr. Miller, Mr. Nickles, Mr. Santorum, and Mr. Specter. 
For far too many years, Americans who have been murdered overseas by 
terrorists have not been receiving the full weight of equal justice 
under the law, a fundamental principle of our governance. This is 
happening while we are in the midst of trying to introduce the 
institutions of democracy, including the notion of a fair judicial 
system, to a skeptical part of the world. This is happening while we 
are in the midst of a War on Terrorism.
  This double standard of justice sends out a pernicious, mixed message 
to would-be terrorists around the world. It suggests that we are weak 
in our resolve to prosecute certain terrorists who have murdered 
certain American citizens. It wrongly sends the message that certain 
American lives are more valuable and more worthy of justice than 
others. Or as the mother of Mathew Eisenfeld, a young Yale University 
graduate who was killed in 1996, together with his young fiance, Sara 
Ducker, a Barnard College graduate, put it, ``it makes me feel that my 
son's blood is less American than others.''
  When our embassies were attacked in Kenya and Tanzania on August 7, 
1998, then Secretary of State Albright and President Clinton said, 
``You can run but you can't hide from the long arm of American justice. 
Anywhere an American is murdered around the globe, we will seek out 
that suspect and retrieve him to these shores to stand justice.''
  However, since the signing of the Oslo Accords on September 13, 1993, 
thirty-nine American citizens have lost their lives at the hands of 
Palestinian terrorists alone. And how many indictments have there been 
in response to these thirty-nine murders? Zero. Notably, one can't find 
the term Palestinian on the State Department's web site for the 
``Rewards of Justice'' program--the place where suspects are listed and 
rewards are described for their capture. That website rather contains 
only vague references to ``persons in opposition to the Middle East 
Peace Process.''
  This is simply wrong. On the humanitarian level, it is wrong. When 
our own government fails to mete out justice with equal and due 
diligence for a particular victim, or a group of victims, this 
compounds the grief experienced by American families who have lost 
loved ones to terrorists: families such as that of 14 year old Abigail 
Litle, an American girl from New Hampshire, a young Christian who was 
among the fifteen people murdered in the recent terrorist attack on a 
bus in Haifa, Israel; families like those of Ted Burgon of Oregon and 
Rick Spier of Colorado, the two American teachers killed in August of 
2002 in Indonesia. Murders for which there have been no indictments and 
no suspects named. FBI agents have underscored that until such time as 
they have full and unfettered access to witnesses and evidence in 
Indonesia, they cannot rule out terrorism, nor can they exonerate 
members of the Indonesian military who have been implicated in this 
heinous crime.

  This is wrong as a matter of foreign policy. Anything less than 100 
percent commitment to pursue all terrorists who harm or murder American 
citizens undermines our moral clarity and our War on Terrorism. it also 
serves to embolden would-be terrorists all over the world, ultimately 
putting us all at greater risk.
  We have arrived at this unfortunate juncture because the State 
Department, whose major objective is diplomacy, has had primary purview 
over this issue. The State Department, it would seem, has simply not 
brought its full resources to bear when it comes to facilitating the 
investigation, capture and prosecution of those who have murdered 
Americans overseas. This is particularly true if those Americans have 
been murdered in Israel or in areas under control of the Palestinian 
Authority, or in countries whose support we are seeking or counting on 
in the War on Terrorism.
  The major objective of the Justice Department, in contrast, is 
justice. The Justice Department recently scored a victory, when on 
February 20th, they issued indictments on several members of the 
Palestinian Islamic Jihad. That terrorist organization is believed to 
be responsible for the deaths of two American citizens, and dozens of 
other people in recent years. As we celebrate this substantial step 
toward justice, however, we cannot lose sight of the fact that there is 
much more work to be done.
  We should not, and cannot, in good conscience allow the pursuit of 
justice to be suborned to diplomatic considerations and expediencies. 
This is why I am introducing the Koby Mandell Act of 2003. Koby was a 
13 year old boy from Silver Spring, MD, who one day decided to do the 
Huck Finn thing, and skip school. However, the punishment did not fit 
the crime. His body was found brutally stoned and dismembered in a cave 
outside of Tekoah, Israel. His assailants remain at large in the 
Palestinian controlled areas.
  This Act will create a watch-dog office within the Department of 
Justice to ensure that all terrorists who murder or harm American 
citizens overseas are pursued with equal vigor, irrespective of the 
nationality or current residence of the terrorist. This Act will work 
to ensure that no other American family who has suffered at the hands 
of overseas terrorism will have their grief compounded a lack of 
justice.
  I urge you all to join me and my fellow senator from the State of 
Oregon, ron Wyden, by becoming a sponsor of the Koby Mandell Act, to 
put the issue of justice for American victims of overseas terrorism 
into the hands of the Justice department, where it truly belongs.
  I ask unanimous consent that the text of the Koby Mandell Act of 2003 
be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 684

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Koby Mandell Act of 2003''.

     SEC. 2. FINDINGS.

       Congress finds the following:
       (1) Numerous American citizens have been murdered or maimed 
     by terrorists around the world, including more than 100 
     murdered since 1968 in terrorist attacks occurring in Israel 
     or in territories administered by Israel or in territories 
     administered by the Palestinian Authority.
       (2) Some American citizens who have been victims of 
     terrorism overseas, especially those harmed by terrorists 
     operating from areas administered by the Palestinian 
     Authority, have not received from the United States 
     Government services equal to those received by other such 
     victims of overseas terrorism.
       (3) The United States Government has not devoted adequate 
     efforts or resources to the

[[Page S4283]]

     apprehension of terrorists who have harmed American citizens 
     overseas, particularly in cases involving terrorists 
     operating from areas administered by the Palestinian 
     Authority. Monetary rewards for information leading to the 
     capture of terrorists overseas, which the Government 
     advertises in regions where the terrorists are believed to be 
     hiding, have not been advertised in areas administered by the 
     Palestinian Authority.
       (4) This situation is especially grave in the areas 
     administered by the Palestinian Authority, because many 
     terrorists involved in the murders of Americans are walking 
     free there; some of these terrorists have been given 
     positions in the Palestinian Authority security forces or 
     other official Palestinian Authority agencies; and a number 
     of schools, streets, and other public sites have been named 
     in honor of terrorists who were involved in the murders of 
     Americans.
       (5) To remedy these and related problems, an office should 
     be established within the Department of Justice for the 
     purpose of ensuring equally vigorous efforts to capture all 
     terrorists who have harmed American citizens overseas and 
     equal treatment for all American victims of overseas 
     terrorism.

     SEC. 3. ESTABLISHMENT OF AN OFFICE OF JUSTICE FOR VICTIMS OF 
                   OVERSEAS TERRORISM IN THE DEPARTMENT OF 
                   JUSTICE.

       (a) In General.--There is established within the Department 
     of Justice an Office of Justice for Victims of Overseas 
     Terrorism (in this Act referred to as the ``Office'') to 
     carry out the following activities:
       (1) Rewards for justice.--
       (A) In general.--The Office shall assume responsibility for 
     administration of the Rewards for Justice program and its 
     website.
       (B) Administration.--In administering the Rewards for 
     Justice program the Office shall ensure that--
       (i) rewards are offered to capture all terrorists involved 
     in harming American citizens overseas, regardless of the 
     terrorists' country of origin or residence;
       (ii) such rewards are prominently advertised in the mass 
     media and public sites in all countries or regions where such 
     terrorists reside;
       (iii) the names and photographs and suspects in all such 
     cases are included on the website; and
       (iv) the names of the specific organizations claiming 
     responsibility for terrorist attacks mentioned on the site 
     are included in the descriptions of those attacks.
       (2) Notification program.--The Office shall establish and 
     administer a program--
       (A) comparable to the VINE system for notification of crime 
     victims; and
       (B) that will provide notification for American victims of 
     overseas terrorism or their immediate family to update them 
     on the status of efforts to capture the terrorists who harmed 
     them.
       (3) Government representation.--The Office shall send an 
     official United States Government representative to attend 
     the funeral of every American victim of terrorism overseas.
       (4) Report.--The Office shall assume responsibility for 
     providing twice-annual reports to Congress as required by 
     section 805 of the Admiral James W. Nance and Meg Donovan 
     Foreign Relations Authorization Act, Fiscal Years 2000 and 
     2001.
       (5) Profiting from crimes.--The Office shall work with 
     other United States Government agencies to expand legal 
     restrictions on the ability of murders to reap profits from 
     books or movies concerning their crimes so as to ensure that 
     terrorists who harm American citizens overseas are unable to 
     profit from book or movie sales in the United States.
       (6) Terrorists as police.--The Office shall--
       (A) determine if terrorists who have harmed American 
     citizens overseas are serving in their local police or 
     security forces; and
       (B) if it is found that terrorists who have harmed American 
     citizens overseas are serving in their local police or 
     security forces--
       (i) alert those United States Government agencies involved 
     in providing assistance, directly or indirectly, to those 
     forces; and
       (ii) request of those agencies that all such assistance be 
     halted until the aforementioned terrorists are removed from 
     their positions.
       (7) Patterns of prosecution.--The Office shall--
       (A) undertake a comprehensive assessment of the pattern of 
     United States indictments and prosecution of terrorists who 
     have harmed American citizens overseas, in order to determine 
     the reasons for the absence of indictments of terrorists 
     residing in some regions, such as the territories controlled 
     by the Palestinian Authority; and
       (B) provide the assessment to the Attorney General and to 
     Congress, together with its recommendations.
       (8) Monitoring.--The Office shall--
       (A) monitor public actions by governments and regimes 
     overseas pertaining to terrorists who have harmed American 
     citizens, such as the naming of schools, streets, or other 
     public institutions or sites after such terrorists; and
       (B) in such instances, encourage other United States 
     Government agencies to halt their provision of assistance, 
     directly or indirectly, to those institutions.
       (9) Compensation.--The Office shall initiate negotiations 
     to secure appropriate financial compensation for American 
     citizens, or the families of such citizens, who were harmed 
     by organizations that claim responsibility for acts of 
     terrorism against Americans overseas and that subsequently 
     become part of a governing regime with which the United 
     States Government maintains diplomatic or other official 
     contacts, such as the Palestinian Authority.
       (10) Incarcerated terrorists.--The Office shall--
       (A) monitor the incarceration abroad of terrorists who 
     harmed Americans overseas, to ensure that their conditions of 
     incarceration are reasonably similar to conditions of 
     incarceration in the United States; and
       (B) in cases where terrorists who have harmed Americans 
     overseas, and are subsequently released from incarceration 
     abroad, are eligible for further prosecution in the United 
     States, coordinate with other Government agencies to seek the 
     transfer of those terrorists to the United States for further 
     prosecution.
       (11) Persona non grata.--The Office shall strive to ensure 
     that all terrorists who have harmed Americans overseas are 
     treated by the United States Government as persona non grata, 
     including steps such as--
       (A) denying those individuals visas for entry to the United 
     States;
       (B) urging United States Government agencies to refrain 
     from political and diplomatic contacts with those 
     individuals; and
       (C) instructing United States embassies and consulates to 
     urge American visitors to those countries to refrain from 
     patronizing businesses that are owned or operated by such 
     individuals.

     SEC. 4. AUTHORIZATION OF APPROPRIATIONS.

       (a) In General.--There are authorized to be appropriated 
     for fiscal year 2003 and each subsequent fiscal year such 
     sums as may be necessary to carry out this Act.
       (b) Availability.--Amounts appropriated pursuant to the 
     authorization of appropriations under subsection (a) are 
     authorized to remain available until expended.
                                 ______
                                 
      By Mr. BINGAMAN (for himself and Mr. Akaka):
  S. 685. a bill to assist low income taxpayers in preparing and filing 
their tax returns and to protect taxpayers from unscrupulous refund 
anticipation loan providers, and for other purposes; to the Committee 
on Finance.
  Mr. BINGAMAN. Mr. President, I rise today with my colleague from 
Hawaii, Senator Akaka, to re-introduce the Low Income Taxpayer 
Protection Act of 2003. This legislation, if enacted, will give 
taxpayers much needed assistance with the arduous annual task of 
preparing their Federal tax returns by providing them with real 
alternatives to paying for expensive tax preparation services. In doing 
so, many of these taxpayers will not need to take out expensive and 
oftentimes usurious refund anticipation loans that greatly reduce the 
tax refund that these taxpayers are entitled to receive. As we all 
know, the result of a complicated tax code is complex and confusing tax 
forms. Until Congress is able to provide simple and understandable 
forms for taxpayers, we have an obligation to make sure that taxpayers 
have the ability to prepare and file their tax returns without paying 
for expensive and sometimes abusive services.
  Refund anticipation loans, RALs, are high interest loans offered to 
taxpayers that are secured by their anticipated tax refund. While some 
taxpayers may choose these loans willingly, many are often forced to 
take out a RAL to cover the upfront cost of the preparation services. 
Sadly, many taxpayers get caught with outstanding loans that they can't 
pay off because a mistake was made on their tax return resulting in a 
smaller than anticipated refund. Many of these loans, when annualized, 
have interest rates over 200 percent. As long as we require our 
Nation's taxpayers to determine their own tax liability, we will have a 
responsibility to make sure that these same taxpayers have an 
alternative to these expensive options. We must come up with better 
options for these taxpayers than paying usurious fees and expenses or 
not filing a return.
  Recently the Brookings Institute and the Economic Policy Institute 
released a report that illustrated the abuses occurring with RALs. 
According to this report, roughly $1.75 billion of the earned income 
credit, EIC, funds are annually going to tax return preparers and RAL 
fees and costs. It was not the intent of Congress that this program 
would create such a middleman for these funds. Every dollar that goes 
to these businesses is a dollar that is not going to the intended 
beneficiaries. The EIC has become one of the most effective tools for 
fighting poverty and benefiting low and moderate income working 
families, and so it is essential that every dollar of this credit goes 
to the taxpayer.

[[Page S4284]]

  To help low and moderate income taxpayers, my bill requires all those 
involved with RALs to register with the IRS. Treasury will then be 
required to determine what is a fair amount of interest and fees to be 
charged based on the benefit to the taxpayer and the risk to the 
lender. It will also expand the Volunteer Income Tax Assistance program 
by directly giving them matching funds to operate. VITA clinics are one 
of the few places lower income taxpayers can go to get free assistance 
with their tax returns.
  In New Mexico, the VITA program has had an enormous impact. For 
example, in conjunction with Albuquerque Technical Vocational 
Institute, TVI, over 8,500 taxpayers were assisted with their returns 
last year resulting in over $9 million in refunds being brought back 
into the New Mexico economy. This year, this program is on pace to 
assist even more taxpayers. By utilizing a computer program system 
developed and advocated by Fred Gordon, an accounting instructor at 
TVI, even supervised high school students at Del Norte High School in 
Albuquerque have been preparing and filing tax returns. I commend the 
efforts of those directly involved with this program, as well as, the 
scores of volunteers who give their time to help prepare tax returns 
for their fellow New Mexicans. Through the efforts of groups such as 
the Albuquerque Hispano Chamber of Commerce, Public Service Company of 
New Mexico (PNM), TVI and Wells Fargo Bank, the VITA program has made a 
big difference in New Mexico, but more needs to be done. Our 
legislation will provide programs like these with the ability to get 
some matching Federal grants to make it possible to pay for training 
materials, computers or other necessary equipment. A little money can 
go a long way and I intend to keep working with my colleagues here in 
the Senate until this becomes a reality. This is a truly worthwhile 
goal and one that will greatly help communities in New Mexico as well 
as the rest of the country.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 685

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Low Income Taxpayer 
     Protection Act of 2003''.

     SEC. 2. REGULATION OF INCOME TAX RETURN PREPARERS AND REFUND 
                   ANTICIPATION LOAN PROVIDERS.

       (a) Definitions.--In this Act:
       (1) Income tax return preparer.--
       (A) In general.--The term ``income tax return preparer'' 
     means any individual who is an income tax return preparer 
     (within the meaning of section 7701(a)(36) of the Internal 
     Revenue Code of 1986) who prepares not less than 5 returns of 
     tax imposed by subtitle A of such Code or claims for refunds 
     of tax imposed by such subtitle A per taxable year.
       (B) Exception.--Such term shall not include a federally 
     authorized tax practitioner within the meaning of section of 
     7526(a)(3) of such Code.
       (2) Refund anticipation loan provider.--The term ``refund 
     anticipation loan provider'' means a person who makes a loan 
     of money or of any other thing of value to a taxpayer because 
     of the taxpayer's anticipated receipt of a Federal tax 
     refund.
       (3) Secretary.--The term ``Secretary'' means the Secretary 
     of the Treasury.
       (b) Regulations.--
       (1) Registration required.--
       (A) In general.--Not later than 120 days after the date of 
     the enactment of this Act, the Secretary shall promulgate 
     regulations that--
       (i) require the registration of income tax return preparers 
     and of refund anticipation loan providers with the Secretary 
     or the designee of the Secretary, and
       (ii) prohibit the payment of a refund of tax to a refund 
     anticipation loan provider or an income tax return preparer 
     that is the result of a tax return which is prepared by the 
     refund anticipation loan provider or the income tax return 
     preparer which does not include the refund anticipation loan 
     provider's or the income tax return preparer's registration 
     number.
       (B) No disciplinary action.--The regulations shall require 
     that an applicant for registration must not have demonstrated 
     any conduct that would warrant disciplinary action under part 
     10 of title 31, Code of Federal Regulations.
       (C) Burden of registration.--In promulgating the 
     regulations, the Secretary shall minimize the burden and cost 
     on the registrant.
       (2) Rules of conduct.--All registrants shall be subject to 
     rules of conduct that are consistent with the rules that 
     govern federally authorized tax practitioners.
       (3) Reasonable fees and interest rates.--The Secretary, 
     after consultation with any expert as the Secretary deems 
     appropriate, shall include in the regulations guidance on 
     reasonable fees and interest rates charged to taxpayers in 
     connection with loans to taxpayers made by refund 
     anticipation loan providers.
       (4) Renewal of registration.--The regulations shall 
     determine the time frame required for renewal of registration 
     and the manner in which a registered income tax return 
     preparer or a registered refund anticipation loan provider 
     must renew such registration.
       (5) Fees.--
       (A) In general.--The Secretary may require the payment of 
     reasonable fees for registration and for renewal of 
     registration under the regulations.
       (B) Purpose of fees.--Any fees required under this 
     paragraph shall inure to the Secretary for the purpose of 
     reimbursement of the costs of administering the requirements 
     of the regulations.
       (c) Prohibition.--Section 6695 of the Internal Revenue Code 
     of 1986 (relating to other assessable penalties with respect 
     to the preparation of income tax returns for other persons) 
     is amended by adding at the end the following new subsection:
       ``(h) Actions on a Taxpayer's Behalf by a Non-Registered 
     Person.--Any person not registered pursuant to the 
     regulations promulgated by the Secretary under the Low Income 
     Taxpayer Protection Act of 2003 who--
       ``(1) prepares a tax return for another taxpayer for 
     compensation, or
       ``(2) provides a loan to a taxpayer that is linked to or in 
     anticipation of a tax refund for the taxpayer,

     shall be subject to a $500 penalty for each incident of 
     noncompliance.''.
       (d) Coordination with Section 6060(a).--The Secretary shall 
     determine whether the registration required under the 
     regulations issued pursuant to this section should be in lieu 
     of the return requirements of section 6060.
       (e) Paperwork Reduction.--The Secretary shall minimize the 
     amount of paperwork required of a income tax return preparer 
     or a refund anticipation loan provider to meet the 
     requirements of these regulations.

     SEC. 3. IMPROVED SERVICES FOR TAXPAYERS.

       (a) Electronic Filing Efforts.--
       (1) In General.--The Secretary shall focus electronic 
     filing efforts on benefiting the taxpayer by--
       (A) reducing the time between receipt of an electronically 
     filed return and remitting a refund, if any,
       (B) reducing the cost of filing a return electronically,
       (C) improving services provided by the Internal Revenue 
     Service to low and moderate income taxpayers,
       (D) providing tax-related computer software at no or 
     nominal cost to low and moderate income taxpayers, and
       (E) providing electronic filing for all taxpayers without 
     the use of an intermediary.
       (2) Report.--Not later than 120 days after the date of the 
     enactment of this Act, the Secretary shall prepare and submit 
     to Congress a report on the efforts made pursuant to 
     paragraph (1).
       (b) Volunteer Income Tax Assistance Program.--
       (1) Study.--The Secretary shall undertake a study on the 
     expansion of the volunteer income tax assistance program to 
     service more low income taxpayers.
       (2) Report.--Not later than 120 days after the date of the 
     enactment of this Act, the Secretary shall prepare and submit 
     to Congress a report on the study conducted pursuant to 
     paragraph (1).
       (c) Tele-Filing.--The Secretary shall ensure that tele-
     filing is available for all taxpayers for the filing of tax 
     returns with respect to taxable years beginning in 2003.
       (d) Termination of the Debt Indicator Program.--The 
     Secretary shall terminate the Debt Indicator program 
     announced in Internal Revenue Service Notice 99-58.
       (e) Direct Deposit Accounts.--The Secretary shall allocate 
     resources to programs to assist low income taxpayers in 
     establishing accounts at financial institutions that receive 
     direct deposits from the United States Treasury.
       (f) Pilot Program for Mobile Tax Return Filing Offices.--
       (1) In general.--The Secretary shall establish a pilot 
     program for the creation of four mobile tax return filing 
     offices with electronic filing capabilities.
       (2) Location of service.--
       (A) In general.--The mobile tax return filing offices shall 
     be located in communities that the Secretary determines have 
     a high incidence of taxpayers claiming the earned income tax 
     credit.
       (B) Indian reservation.--At least one mobile tax return 
     filing office shall be on or near an Indian reservation (as 
     defined in section 168(j)(6) of the Internal Revenue Code of 
     1986).

     SEC. 4. ASSISTANCE PROGRAM TO IMPROVE ACCESS TO FEDERALLY 
                   INSURED FINANCIAL INSTITUTIONS FOR TAXPAYERS.

       (a) Findings and Purpose.--
       (1) Findings.--Congress finds the following:
       (A) Approximately 40,000,000 Americans are unbanked and not 
     utilizing mainstream, insured financial institutions.
       (B) In 1999, nearly half of the $30,000,000,000 in earned 
     income tax credits (EITC) claimed

[[Page S4285]]

     nationwide was refunded through refund anticipation loans, 
     and an estimated $1,750,000,000 intended to assist low-income 
     families through the EITC was received by commercial tax 
     preparers and affiliated national banks to pay for tax 
     assistance, electronic filing of returns, and high-cost 
     refund loans.
       (C) Refund anticipation loans carry interest rates in a 
     range between 97.4 percent to more than 2000 percent.
       (D) An estimated 45 percent of earned income tax credit 
     recipients pay for check cashing services, which reduces EITC 
     benefits by $130,000,000.
       (E) Individuals with bank accounts can receive their tax 
     refunds faster than waiting for a paper check and without the 
     need to utilize refund anticipation loans or check cashiers.
       (F) Individuals with federally insured depository accounts 
     have an increased opportunity to access financial services at 
     mainstream financial institutions, which typically have 
     reduced costs for consumers.
       (2) Purpose.--It is the purpose of this section to 
     establish a grant program to provide unbanked low-and 
     moderate-income taxpayers with tax preparation services and 
     increase their access to financial services by the 
     establishment of an account at a federally insured depository 
     institution or credit union and the provision of financial 
     education.
       (b) Establishment of Program.--The Secretary is authorized 
     to award demonstration project grants (including multi-year 
     grants) to eligible entities to provide tax preparation 
     services and assistance along with establishing an account in 
     a federally insured depositary institution for individuals 
     that currently do not have such an account.
       (c) Eligible Entities.--
       (1) In general.--An entity is eligible to receive a grant 
     under this section if such an entity is--
       (A) an organization described in section 501(c)(3) of the 
     Internal Revenue Code of 1986 and exempt from tax under 
     section 501(a) of such Code,
       (B) a federally insured depository institution,
       (C) an agency of a State or local government,
       (D) a community development financial institution,
       (E) an Indian tribal organization,
       (F) an Alaska Native Corporation,
       (G) a Native Hawaiian organization,
       (H) a labor organization, or
       (I) a partnership comprised of 1 or more of the entities 
     described in the preceding subparagraphs.
       (2) Definitions.--For purposes of this section--
       (A) Federally insured depository institution.--The term 
     ``federally insured depository institution'' means any 
     insured depository institution (as defined in section 3 of 
     the Federal Deposit Insurance Act (12 U.S.C. 1813)) and any 
     insured credit union (as defined in section 101 of the 
     Federal Credit Union Act (12 U.S.C. 1752)).
       (B) Community development financial institution.--The term 
     ``community development financial institution'' means any 
     organization that has been certified as such pursuant to 
     section 1805.201 of title 12, Code of Federal Regulations.
       (C) Alaska native corporation.--The term ``Alaska Native 
     Corporation'' has the same meaning as the term ``Native 
     Corporation'' under section 3(m) of the Alaska Native Claims 
     Settlement Act (43 U.S.C. 1602(m)).
       (D) Native Hawaiian organization.--The term ``Native 
     Hawaiian organization'' means any organization that--
       (i) serves and represents the interests of Native 
     Hawaiians, and
       (ii) has as a primary and stated purpose the provision of 
     services to Native Hawaiians.
       (E) Labor organization.--The term ``labor organization'' 
     means an organization in which employees participate and 
     which exists for the purpose, in whole or in part, of dealing 
     with employers concerning grievances, labor disputes, wages, 
     rates of pay, hours of employment, or conditions of work.
       (d) Application.--An eligible entity desiring a grant under 
     this section shall submit an application to the Secretary in 
     such form and containing such information as the Secretary 
     may require.
       (e) Limitation on Administrative Costs.--A recipient of a 
     grant under this section may not use more than 6 percent of 
     the total amount of such grant in any fiscal year for the 
     administrative costs of carrying out the programs funded by 
     such grant in such fiscal year.
       (f) Evaluation and Report.--For each fiscal year in which a 
     grant is awarded under this section, the Secretary shall 
     submit a report to Congress containing a description of the 
     activities funded, amounts distributed, and measurable 
     results, as appropriate and available.
       (g) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary, for the grant program 
     described in this section, $10,000,000, or such additional 
     amounts as deemed necessary, to remain available until 
     expended.
       (h) Regulations.--The Secretary is authorized to promulgate 
     regulations to implement and administer the grant program 
     under this section.

     SEC. 5. MATCHING GRANTS TO LOW-INCOME TAXPAYER CLINICS FOR 
                   RETURN PREPARATION.

       (a) In General.--Chapter 77 of the Internal Revenue Code of 
     1986 (relating to miscellaneous provisions) is amended by 
     inserting after section 7526 the following new section:

     ``SEC. 7526A. RETURN PREPARATION CLINICS FOR LOW-INCOME 
                   TAXPAYERS.

       ``(a) In General.--The Secretary may, subject to the 
     availability of appropriated funds, make grants to provide 
     matching funds for the development, expansion, or 
     continuation of qualified return preparation clinics.
       ``(b) Definitions.--For purposes of this section--
       ``(1) Qualified return preparation clinic.--
       ``(A) In general.--The term `qualified return preparation 
     clinic' means a clinic which--
       ``(i) does not charge more than a nominal fee for its 
     services (except for reimbursement of actual costs incurred), 
     and
       ``(ii) operates programs which assist low-income taxpayers 
     in preparing and filing their Federal income tax returns, 
     including schedules reporting sole proprietorship or farm 
     income.
       ``(B) Assistance to low-income taxpayers.--A clinic is 
     treated as assisting low-income taxpayers under subparagraph 
     (A)(ii) if at least 90 percent of the taxpayers assisted by 
     the clinic have incomes which do not exceed 250 percent of 
     the poverty level, as determined in accordance with criteria 
     established by the Director of the Office of Management and 
     Budget.
       ``(2) Clinic.--The term `clinic' includes--
       ``(A) a clinical program at an eligible educational 
     institution (as defined in section 529(e)(5)) which satisfies 
     the requirements of paragraph (1) through student assistance 
     of taxpayers in return preparation and filing, and
       ``(B) an organization described in section 501(c) and 
     exempt from tax under section 501(a) which satisfies the 
     requirements of paragraph (1).
       ``(c) Special Rules and Limitations.--
       ``(1) Aggregate limitation.--Unless otherwise provided by 
     specific appropriation, the Secretary shall not allocate more 
     than $10,000,000 per year (exclusive of costs of 
     administering the program) to grants under this section.
       ``(2) Other applicable rules.--Rules similar to the rules 
     under paragraphs (2) through (5) of section 7526(c) shall 
     apply with respect to the awarding of grants to qualified 
     return preparation clinics.''.
       (b) Clerical Amendment.--The table of sections for chapter 
     77 of the Internal Revenue Code of 1986 is amended by 
     inserting after the item relating to section 7526 the 
     following new item:

``Sec. 7526A. Return preparation clinics for low-income taxpayers.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to grants made after the date of the enactment of 
     this Act.

  Mr. AKAKA. Thank you, Mr. President. I rise today to speak on the Low 
Income Taxpayer Protection Act of 2003, which Senator Bingaman and I 
are introducing today. I thank Senator Bingaman for his leadership on 
this important issue.
  The legislation that my colleague from New Mexico and I are 
introducing would provide the Department of the Treasury with the 
authority to regulate income tax refund anticipation loans, RALs, and 
prohibit excessive fees. The bill would also provide additional 
opportunities for low-income taxpayers to receive assistance with tax 
preparation and filing their taxes and thus, we are seeking to meet 
taxpayers' needs for assistance while attempting to discourage a 
predatory practice.
  According to the U.S. Census Bureau, in 2001, the Earned Income Tax 
Credit, EITC, was responsible for elevating nearly four million people 
above the poverty line. This credit has helped and continues to help 
low-income individuals and families to meet their food, clothing, 
housing, transportation, and education needs.
  However, while this tax relief is benefitting families who need it 
most, the EITC's impact is being unnecessarily limited. Earned Income 
Tax Credit benefits intended for working families are increasingly 
being diminished by often exorbitant tax preparation fees and the 
growing use of high-interest refund anticipation loans, which typically 
carry triple-digit interest rates.
  In 1999, according to a report published by the Brookings 
Institution, an estimated $1.75 billion intended to assist low-income 
families went to commercial tax preparers and affiliated national banks 
for tax assistance, electronic filing of returns, and high-cost refund 
loans. Although tax preparation services are useful, when combined with 
refund anticipation loans and other fees, these services are 
overpriced. The report further stated that 39 percent of taxpayers who 
earned the EITC received their refund through a refund anticipation 
loan, while only

[[Page S4286]]

four percent of those who did not receive the EITC purchased a refund 
anticipation loan. Clearly, RALs were heavily marketed to a specific 
population of taxpayer. Forty-seven percent of all EITC dollars were 
distributed to recipients through these loans. In my state of Hawaii, 
in the Honolulu metropolitan statistical area, 27.7 percent of all EITC 
dollars were associated with refund anticipation loans. These loans 
take money away from the day-to-day, kitchen-table needs of the low-
income families.
  Furthermore, refund anticipation loans carry interest rates that 
range from 97.4 percent to more than 2,000 percent. The interest rates 
and fees charged on these products are not justified for the short 
length of time that these loans cover. The typical rapid refund loan 
length is two weeks. These loans carry even less risk because of the 
Debt Indicator program. The Debt Indicator program allows the Internal 
Revenue Service to inform the lender if the applicant for a refund loan 
has any outstanding Federal debts. The risk is further reduced because 
loan issuers share information about outstanding delinquencies that 
refund anticipation loan applicants owe and are able to collect debts 
for each other.
  This bill would terminate the Debt Indicator program. In 1995, the 
use of the Debt Indicator was suspended because of massive fraud in e-
filed returns with RALs. After the program was discontinued, RAL 
participation declined. The use of the Debt Indicator was reinstated in 
1999. Remarks from H & R Block Chief Executive Officer Frank L. 
Salizzoni upon the reinstatement of the program state that the Debt 
Indicator ``is good news for many of our clients who opt to receive the 
amount of their refund through Refund Anticipation Loans. The IRS 
program will likely result in substantially lower fees for this 
service.'' However, according to a study conducted by the Consumer 
Federation of America and the National Consumer Law Center, that has 
not been the case for at least one of the major tax preparers. H & R 
Block and Household Bank's fees dropped for a year after the Debt 
Indicator was reinstated. The fees rose significantly from 2000 to 
2001, which increased H & R Block's revenue from RALs by 49 percent. 
Per RAL revenue rose by 43.9 percent while RAL sales volume increased 
by only 2.7 percent. The expected outcome that RAL prices would go down 
as a result of the reinstatement of the indicator has not occurred. The 
use of the Debt Indicator should again be stopped.
  Another important provision in the bill is authorization language for 
a grant program to link tax preparation services with the establishment 
of a bank account. There are still approximately four million EITC 
recipients that are classified as unbanked, and lack a formal 
relationship with a financial institution. It has been estimated that 
45 percent of EITC recipients pay for check cashing services. These 
check cashing services reduce EITC benefits by $130 million. Having a 
bank account allows individuals not only to receive their tax refund 
check faster than waiting for a paper check, but also does not impose 
the excessive fees that check cashing services and refund anticipation 
loan providers assess. An account at a bank or credit union provides 
consumers alternatives to rapid refund loans, check cashing services, 
and lower cost remittances. In addition, bank and credit union accounts 
provide access to saving and borrowing services found at mainstream 
financial institutions. This grant program builds upon the First 
Accounts initiative which has funded pilot projects that have coupled 
tax preparation services with the establishment of bank accounts. An 
example of such a project is the partnership that has been established 
among The Center for Law & Human Services, Accounting Aid Society, 
ShoreBank, National Consumer Law Center, and Consumer Federation of 
America that is taking place in Chicago and Detroit. More of these 
programs are necessary to provide much needed tax preparation 
assistance and to encourage the use of mainstream financial services.
  I encourage all of my colleagues to support this legislation.
                                 ______
                                 
      By Mr. DeWINE (for himself, Mrs. Murray, Ms. Landrieu, Mr. 
        Breaux, Mr. Bingaman, and Mr. Inouye):
  S. 686. A bill to provide assistance for poison prevention and to 
stabilize the funding of regional poison control centers; to the 
Committee on Health, Education, Labor, and Pensions.
  Mr. DeWINE. Mr. President, I am pleased to join with my colleagues--
Senators Murray, Landrieu, Breaux, Bingaman, and Inouye--to introduce 
the Poison Control Center Awareness and Enhancement Act of 2003. Our 
bill is designed to help make certain that the vital work of our 
nation's poison control centers continues.
  Many of us--as parents and grandparents--have experienced the 
terrifying situation when a child accidentally swallows something 
potentially toxic. Fortunately, local poison control centers--many of 
them located at children's hospitals--work around the clock to answer 
questions from parents and to field phone calls from others about 
possible poisonings. Today, we also have in place a national, toll-free 
poison control telephone number--and that number is 1-800-222-1222--
that automatically connects callers to specially trained nurses, 
pharmacists, and doctors at the closest local poison center.
  This phone number went into effect as a result of legislation I 
helped get signed into law a few years ago. And now, as parents of 
eight children and now grandparents of eight, my wife, Fran, and I can 
tell you that we rest a bit easier knowing that in the case of a 
possible poisoning, all we need to do is call a toll free, 1-800 
telephone number to get in contact with the nearest poison control 
center. Any parents, anywhere--whether they are in their own hometown 
or in another state on vacation--can call the 1-800 number, 24 hours a 
day, 7 days a week in the event of a poisoning.
  There are over 70 poison control centers nationwide--three in my home 
State of Ohio. These centers have fielded over one million phone calls 
just since January 2002, answering questions about poisonous, drug 
abuse, product contents, substance identification interactions, and 
adverse reactions. They can answer questions and concerns about what 
would typically be called poisonous products--things like cleaners and 
bleach. This is the most common poison exposure for children, who 
typically ingest household products, such as cosmetics and personal 
care products, cleaning substances, pain relievers, foreign bodies, and 
plants.
  But poison control centers can also answer questions about products 
that people may not think are poisonous, like prescribed medicines or 
over-the-counter medications. Maybe someone mixed medications or 
misread a label and took too much of the medicine by accident. Poison 
control centers can answer caller questions and direct the caller to 
seek medical attention if necessary.
  I remember very clearly a time when Fran and I needed to call the 
local poison control center. As we were wrapping up our annual Ice 
Cream Social at our home in Cedarville, our then two year-old 
granddaughter, Isabelle, fell into a bucket of cleaning solution. We 
feared that she may have swallowed some of the solution and immediately 
called the poison control center. We were very lucky. The trained 
health care professional at the local poison center explained that all 
we needed to do was rinse Isabelle off and have her drink some water. 
The quick response of the poison control center provided rapid, easy 
answers to our questions--a process that has become even easier since 
the toll-free hotline began operating.
  A young child, like Isabelle, is representative of most poisoning 
cases; however, adults often face situations necessitating information 
and help from poison control centers. Take the example of what occurred 
in Marysville, OH. Thirty workers in a manufacturing plant in 
Marysville were victims of gas exposure. Twenty of these workers went 
to Union Memorial Hospital. The hospital contacted the poison center, 
after which these patients were given oxygen and later discharged that 
same day. Ten others went to a different hospital that did not call a 
poison center. These patients were not released until the next day, 
even though their symptoms did not differ from the other 20 workers. 
The national hotline will help cut-down on situations like that in 
Marysville.

[[Page S4287]]

  Our Nation's poison control centers handle an average of one poison 
exposure every 15 seconds. These centers are critical to our 
communities--especially now during this time of war and uncertainty. 
Parents are already anxious about the safety of their children, and 
with the potential anthrax scares or chemical or biologic scares, 
poison control centers can provide information to parents and help 
relieve some of their concerns.
  The bill we are introducing today would provide the continued funding 
needed to ensure that the national toll-free number continues to 
operate, taking phone calls and helping families across the country. We 
must continue to increase the accessibility and effectiveness of our 
nation's poison control centers, as well as cement their existence for 
future generations. With this bill, we are not just making an 
investment in poison control; rather, we are making it easier to keep 
our children, friends, and ourselves safer and healthier.
  I encourage my colleagues to remember the hotline number--it could 
save a life: 1-800-222-1222.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 686

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Poison Control Center 
     Enhancement and Awareness Act Amendments of 2003''.

     SEC. 2. FINDINGS.

       Section 2 of the Poison Control Enhancement and Awareness 
     Act (42 U.S.C. 14801) is amended to read as follows:

     ``SEC. 2. FINDINGS.

       ``Congress finds the following:
       ``(1) Poison control centers are our Nation's primary 
     defense against injury and deaths from poisoning. Twenty-four 
     hours a day, the general public as well as health care 
     practitioners contact their local poison centers for help in 
     diagnosing and treating victims of poisoning and other toxic 
     exposures.
       ``(2) Poisoning is the third most common form of 
     unintentional death in the United States. In any given year, 
     there will be between 2,000,000 and 4,000,000 poison 
     exposures. More than 50 percent of these exposures will 
     involve children under the age of 6 who are exposed to toxic 
     substances in their home. Poisoning accounts for 285,000 
     hospitalizations, 1,200,000 days of acute hospital care, and 
     13,000 fatalities annually.
       ``(3) Stabilizing the funding structure and increasing 
     accessibility to poison control centers will promote the 
     utilization of poison control centers, and reduce the 
     inappropriate use of emergency medical services and other 
     more costly health care services.
       ``(4) The tragic events of September 11, 2001, and the 
     anthrax cases of October 2001, have dramatically changed our 
     Nation. During this time period, poison centers in many areas 
     of the country were answering thousands of additional calls 
     from concerned residents. Many poison centers were relied 
     upon as a source for accurate medical information about the 
     disease and the complications resulting from prophylactic 
     antibiotic therapy.
       ``(5) The 2001 Presidential Task Force on Citizen 
     Preparedness in the War on Terrorism recommended that the 
     Poison Control Centers be used as a source of public 
     information and public education regarding potential 
     biological, chemical, and nuclear domestic terrorism.
       ``(6) The increased demand placed upon poison centers to 
     provide emergency information in the event of a terrorist 
     event involving a biological, chemical, or nuclear toxin will 
     dramatically increase call volume.''.

     SEC. 3. MAINTENANCE OF A NATIONAL TOLL FREE NUMBER.

       Section 4 of the Poison Control Enhancement and Awareness 
     Act (42 U.S.C. 14803) is amended--
       (1) by striking the section heading and inserting the 
     following:

     ``SEC. 4. MAINTENANCE OF A NATIONAL TOLL-FREE NUMBER.'';

     and
       (2) in subsection (c), by inserting ``and $2,000,000 for 
     each of fiscal years 2005 through 2009'' after ``2004''.

     SEC. 4. NATIONWIDE MEDIA CAMPAIGN.

       Section 5 of the Poison Control Enhancement and Awareness 
     Act (42 U.S.C. 14804) is amended--
       (1) by striking the section heading and inserting the 
     following:

     ``SEC. 5. NATIONWIDE MEDIA CAMPAIGN TO PROMOTE POISON CONTROL 
                   CENTER UTILIZATION.'';

     and
       (2) in subsection (c), by inserting ``and $1,500,000 for 
     each of fiscal years 2005 through 2009'' after ``2004''.

     SEC. 5. POISON CONTROL CENTER GRANT PROGRAM.

       Section 6 of the Poison Control Enhancement and Awareness 
     Act (42 U.S.C. 14805) is amended--
       (1) by striking the section heading and inserting the 
     following:

     ``SEC. 6. MAINTENANCE OF THE POISON CONTROL CENTER GRANT 
                   PROGRAM.'';

       (2) by striking subsection (b) and inserting the following:
       ``(b) Other Improvements.--The Secretary shall also use 
     amounts received under this section to--
       ``(1) develop standardized poison prevention and poison 
     control promotion programs;
       ``(2) develop standard patient management guidelines for 
     commonly encountered toxic exposures;
       ``(3) improve and expand the poison control data collection 
     systems;
       ``(4) improve national toxic exposure surveillance;
       ``(5) expand the toxicologic expertise within poison 
     control centers; and
       ``(6) improve the capacity of poison control centers to 
     answer high volumes of calls during times of national crisis;
       (3) by striking subsection (d)(2) and inserting the 
     following:
       ``(2) Renewal.--The Secretary may renew a waiver under 
     paragraph (1).
       ``(3) Limitation.--In no instance may the sum of the number 
     of years for a waiver under paragraph (1) and a renewal under 
     paragraph (2) exceed 5 years. The preceding sentence shall 
     take effect as if enacted on February 25, 2000.''; and
       (4) in subsection (h), by inserting ``and $30,000,000 for 
     each of fiscal years 2005 through 2009'' after ``2004''.

     SEC. 7. NATIONWIDE TOXICOSURVEILLANCE OF POISON CENTER DATA 
                   TO PROMOTE HAZARD DETECTION.

       The Poison Control Enhancement and Awareness Act (42 U.S.C. 
     14801 et seq) is amended by adding at the end the following:

     ``SEC. 7. NATIONWIDE TOXICOSURVEILLANCE OF POISON CENTER DATA 
                   TO PROMOTE HAZARD DETECTION.

       ``(a) In General.--The Secretary shall assist in the 
     implementation and maintenance of continuous national 
     toxicosurveillance of poison control center data to detect 
     new hazards from household products, pharmaceuticals, 
     traditionally abused drugs, and other toxic substances.
       ``(b) Contract for Services.--The Secretary may enter into 
     a contract with appropriate professional organizations for 
     the collection and analysis of poison center data described 
     in subsection (a) in real time.
       ``(c) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section, $2,500,000 for 
     each of fiscal years 2005 through 2009.''.
      By Mrs. BOXER:
  S. 687. A bill to amend title 10, United States Code, to prohibit the 
concurrent deployment to combat zones of both military spouses of 
military families with minor children, and for other purposes; to the 
Committee on Armed Services.
  Mrs. BOXER. Mr. President, today I am introducing legislation to 
require that the Secretary of Defense issue regulations that would 
prevent a mother and father of minor children from being deployed to a 
combat zone at the same time.
  Under my legislation, the Secretary of Defense would have 15 days to 
implement this policy by issuing regulations that would include the 
definition of what comprises a combat zone.
  As we wage war against Iraq, it is important that we work to ensure 
that a child will never have to endure the pain of losing both parents 
during wartime. Military families sacrifice so much to serve our 
Nation. We should do everything we can to ensure their children are not 
orphaned.
  I hope my colleagues will support this legislation.
                                 ______
                                 
      By Mr. GRAHAM of Florida:
  S. 688. A bill to provide that no electric utility shall be required 
to enter into a new contract or obligation to purchase or to sell 
electricity or capacity under section 210 of the Public Utility 
Regulatory Policies Act of 1978; to the Committee on Energy and Natural 
Resources.
  Mr. GRAHAM. Mr. President, I rise today to introduce this bill that 
will end the practice of forcing electric utilities to purchase 
unneeded electricity at above market rates--a practice that ultimately 
costs consumers more.
  This outdated practice began after the 1973-74 oil embargo. In the 
embargo's aftermath, we understood a far reaching assessment of our 
energy policies and enacted numerous laws to address the issues facing 
this country at that time. The Public Utility Regulatory Policies Act 
of 1978, PURPA, was one of several energy bills that resulted from 
those efforts.
  In 1978, the electric utility industry in this country was based on 
monopolies and almost totally reliant on antiquated technologies. It 
was also highly territorial, having only limited ability

[[Page S4288]]

to move electricity from one part of the country to another.
  PURPA was intended to address these issues. It was designed to 
alleviate real and potential shortages in electricity and encourage the 
use of alternative fuels to generate electricity. To do this, it 
established a new class of electricity generators. The goal was for 
these new generators to rapidly implement new generating technologies 
that the utilities had been slow to adopt and to expand the amount of 
electricity generated with alternative fuels.
  To ensure that investors would build these new facilities, PURPA 
essentially guaranteed them a profit. It required the conventional 
electric utilities to purchase all of the electricity the new 
generators wanted to sell. Prices were essentially fixed--requiring 
traditional utilities to pay for the electricity based on the costs 
they ``avoided'' by not having to build additional capacity themselves.
  And PURPA worked. It led to the development of plants converting 
waste to energy and to construction of smaller, more efficient 
generating facilities.
  But much has changed since 1978.
  Today there are competitive wholesale markets throughout the country, 
giving generation project developers many opportunities to see their 
output. The Energy Policy Act of 1992 and a variety of Federal Energy 
Regulatory Commission directives now ensure that generators have access 
to transmission lines, so that power can reach those markets. And we 
now have additional capacity coming from a variety of non-utilities 
using small-scale facilities and newer, more efficient technologies 
which allow them to be price competitive.
  There have also been changes in the PURPA generators. One of PURPA's 
goals was to spur the use of alternative or renewable fuels, but 80 
percent of the electricity currently generated by PURPA facilities is 
produced by burning natural gas, oil and coal. And the ``equitable'' 
prices imposed on electric utilities purchasing PURPA power are 
substantially higher than market rates, increasing the cost to 
consumers by roughly $8 billion annually. Exactly the opposite of what 
was intended.
  The bill I offer today would rescind any requirement for electricity 
utilities to enter into new agreements to purchase electricity from 
PURPA facilities. It would not prevent utilities from buying PURPA 
power that is offered at competitive rates. And it would not affect 
existing PURPA agreements. Those agreements would remain in effect 
until they expire, allowing those PURPA facilities to continue selling 
their electricity to the utilities at the prices specified in the 
agreements. This approach would ensure that the investment in PURPA 
facilities can be recouped in accordance with the parties' 
expectations, but will protect consumers from new PURPA contracts--
contracts which force them to pay above market prices for electricity.
  This bill would also ensure that the electric utilities that are 
required to purchase PURPA electricity, possibly for decades to come 
under existing contracts, have the flexibility to recover those costs.
  I urge my colleagues to support this legislation, which is fiscally 
sound, and is an example of good government because it eliminates 
outdated and counterproductive legislation.
                                 ______
                                 
      By Mr. VOINOVICH (for himself and Mr. Feingold):
  S. 689. A bill to balance the budget and protect the Social Security 
Trust Fund surpluses; to the Committee on Governmental Affairs and the 
Committee on the Budget, jointly, pursuant to the order of August 4, 
1977, with instructions that if one Committee reports, the other 
Committee have thirty days to report or be discharged.
  Mr. VOINOVICH. Mr. President, I ask unanimous consent that the text 
of this bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 689

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

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Truth in 
     Budgeting and Social Security Protection Act of 2003''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.

                        TITLE I--GENERAL REFORMS

Sec. 101. Extension of the discretionary spending caps.
Sec. 102. Extension of pay-as-you-go requirement.
Sec. 103. Point of order to require compliance with the caps and pay-
              as-you-go.
Sec. 104. Disclosure of interest costs.
Sec. 105. Executive branch report on fiscal exposures.
Sec. 106. Senate sets 302(b) allocations.
Sec. 107. Long-Term Cost Recognition Point of Order.

 TITLE II--REFORM OF BUDGETARY TREATMENT OF FEDERAL INSURANCE PROGRAMS

Sec. 201. Federal insurance programs.

            TITLE III--BIENNIAL BUDGETING AND APPROPRIATIONS

Sec. 301. Revision of timetable.
Sec. 302. Amendments to the Congressional Budget and Impoundment 
              Control Act of 1974.
Sec. 303. Amendments to title 31, United States Code.
Sec. 304. Two-year appropriations; title and style of appropriations 
              Acts.
Sec. 305. Multiyear authorizations.
Sec. 306. Government plans on a biennial basis.
Sec. 307. Biennial appropriations bills.
Sec. 308. Report on two-year fiscal period.
Sec. 309. Effective date.

            TITLE IV--COMMISSION ON FEDERAL BUDGET CONCEPTS

Sec. 401. Establishment of Commission on Federal Budget Concepts.
Sec. 402. Powers and duties of Commission.
Sec. 403. Membership.
Sec. 404. Staff and support services.
Sec. 405. Report.
Sec. 406. Termination.
Sec. 407. Funding.

                        TITLE I--GENERAL REFORMS

     SEC. 101. EXTENSION OF THE DISCRETIONARY SPENDING CAPS.

       (a) In General.--Section 251(c) of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 is amended by striking 
     paragraphs (7) through (16) and inserting the following:
       ``(7) with respect to fiscal years 2004 through 2009 an 
     amount equal to the appropriated amount of discretionary 
     spending in budget authority and outlays for fiscal year 2003 
     adjusted to reflect inflation;''.
       (b) Expiration.--Section 275(b) of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 (2 U.S.C. 900 note) is 
     amended by striking subsection (b).
       (c) Additional Enforcement.--Section 205(g) of H. Con. Res. 
     290 (106th Congress) is repealed.

     SEC. 102. EXTENSION OF PAY-AS-YOU-GO REQUIREMENT.

       Section 252(a) of the Balanced Budget and Emergency Deficit 
     Control Act of 1985 is amended by striking ``enacted before 
     October 1, 2002,'' both places it appears.

     SEC. 103. POINT OF ORDER TO REQUIRE COMPLIANCE WITH THE CAPS 
                   AND PAY-AS-YOU-GO.

       Section 312(b) of the Congressional Budget Act of 1974 (2 
     U.S.C. 643(b)) is amended to read as follows:
       ``(b) Discretionary Spending and Pay-as-You-Go Point of 
     Order in the Senate.--
       ``(1) In general.--Except as otherwise provided in this 
     subsection, it shall not be in order in the Senate to 
     consider any bill or resolution or any separate provision of 
     a bill or resolution (or amendment, motion, or conference 
     report on that bill or resolution) that would--
       ``(A) exceed any of the discretionary spending limits in 
     section 251(c) of the Balanced Budget and Emergency Deficit 
     Control Act of 1985; or
       ``(B) for direct spending or revenue legislation, would 
     cause or increase an on-budget deficit for any one of the 
     following three applicable time periods--
       ``(i) the first year covered by the most recently adopted 
     concurrent resolution on the budget;
       ``(ii) the period of the first 5 fiscal years covered by 
     the most recently adopted concurrent resolution on the 
     budget; or
       ``(iii) the period of the 5 fiscal years following the 
     first five fiscal years covered in the most recently adopted 
     concurrent resolution on the budget.
       ``(2) Point of order against a specific provision.--If the 
     Presiding Officer sustains a point of order under paragraph 
     (1) with respect to any separate provision of a bill or 
     resolution, that provision shall be stricken from the measure 
     and may not be offered as an amendment from the floor.
       ``(3) Form of the point of order.--A point of order under 
     this section may be raised by a Senator as provided in 
     section 313(e) of the Congressional Budget Act of 1974.
       ``(4) Conference reports.--If a point of order is sustained 
     under this section against a conference report the report 
     shall be disposed of as provided in section 313(d) of the 
     Congressional Budget Act of 1974.
       ``(5) Enforcement by the presiding officer.--In the Senate, 
     if a point of order lies against a bill or resolution (or 
     amendment, motion, or conference report on that bill or 
     resolution) under this section, and no Senator has raised the 
     point of order, and the Senate has not waived the point of 
     order, then before the Senate may vote on the bill or 
     resolution (or amendment, motion, or

[[Page S4289]]

     conference report on that bill or resolution), the Presiding 
     Officer shall on his or her own motion raise a point of order 
     under this section.
       ``(6) Exceptions.--This subsection shall not apply if a 
     declaration of war by the Congress is in effect or if a joint 
     resolution pursuant to section 258 of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 has been enacted.''.

     SEC. 104. DISCLOSURE OF INTEREST COSTS.

       Section 308(a)(1) of the Congressional Budget Act of 1974 
     (2 U.S.C. 639(a)(1)) is amended--
       (1) in subparagraph (B), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (C), by striking the period and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(D) containing a projection by the Congressional Budget 
     Office of the cost of the debt servicing that would be caused 
     by such measure for such fiscal year (or fiscal years) and 
     each of the 4 ensuing fiscal years.''.

     SEC. 105. EXECUTIVE BRANCH REPORT ON FISCAL EXPOSURES.

       (a) In General.--The President shall submit to the 
     Committees on Appropriations, Budget, Finance, and 
     Governmental Affairs of the Senate, and the Committees on 
     Appropriations, Budget, Government Reform, and Ways and Means 
     of the House of Representatives, not later than 2 weeks 
     before the first Monday in February of each year, a report 
     (in this section referred to as the ``report'') on the fiscal 
     exposures of the United States Federal Government and their 
     implications for long-term financial health. The report shall 
     also be included as part of the Consolidated Financial 
     Statement of the United States Government.
       (b) Contents.--
       (1) In general.--The report shall include fiscal exposures 
     for the following categories of fiscal exposures:
       (A) Debt.--Debt, including--
       (i) total gross debt;
       (ii) publicly held debt; and
       (iii) debt held by Government accounts.
       (B) Other financial liabilities.--Other financial 
     liabilities, including--
       (i) civilian and military pensions;
       (ii) post-retirement health benefits;
       (iii) environmental liabilities;
       (iv) accounts payable;
       (v) loan guarantees; and
       (vi) Social Security benefits due and payable.
       (C) Financial commitments.--Financial commitments, 
     including--
       (i) undelivered orders; and
       (ii) long-term operating leases.
       (D) Financial contingencies and other exposure.--Financial 
     contingencies and other exposures, including--
       (i) unadjudicated claims;
       (ii) Federal insurance programs (including both the 
     financial contingency for and risk assumed by such programs);
       (iii) net future benefits under Social Security, Medicare 
     Part A, Medicare Part B, and other social insurance programs;
       (iv) life cycle costs, including deferred and future 
     maintenance and operating costs associated with operating 
     leases and the maintenance of capital assets;
       (v) unfunded portions of incrementally funded capital 
     projects;
       (vi) disaster relief; and
       (vii) others as deemed appropriate.
       (2) Estimates.--Where available, estimates for each 
     exposure should be included. Where reasonable estimates are 
     not available, a range of estimates may be appropriate.
       (3) Other exposures.--Exposures that are analogous to those 
     specified in paragraph (1) shall also be included in the 
     exposure categories identified in such paragraph.
       (c) Format.--The report shall include a 1-page list of all 
     exposures. Additional disclosures shall include descriptions 
     of exposures, the estimation methodologies and significant 
     assumptions used, and an analysis of the implications of the 
     exposures for the long-term financial outlook. Additional 
     analysis deemed informative may be provided on subsequent 
     pages.
       (d) Review With Congress.--Following the submission of the 
     report on fiscal exposures to the Senate and the House of 
     Representatives, the Comptroller General shall review and 
     report to the committee reviewing the report on the report, 
     discussing--
       (1) the extent to which all required disclosures under this 
     section have been made;
       (2) the quality of the cost estimates;
       (3) the scope of the information;
       (4) the long-range financial outlook; and
       (5) any other matters deemed appropriate.
       (e) Definitions.--In this section:
       (1) Liabilities.--The terms ``liabilities'', 
     ``commitments'', and ``contingencies'' shall be defined in 
     accordance with generally accepted accounting principles and 
     standards of the United States Federal Government.
       (2) Risk assumed.--The term ``risk assumed'' means the full 
     portion of the risk premium based on the expected cost of 
     losses inherent in the Government's commitment that is not 
     charged to the insured. For example, the present value of 
     unpaid expected losses net of associated premiums, based on 
     the risk assumed as a result of insurance coverage.
       (3) Net future benefit payments.--The term ``net future 
     benefit payments'' means the net present value of negative 
     cashflow. Negative cashflow is to be calculated as the 
     current amount of funds needed to cover projected shortfalls, 
     excluding trust fund balances, over a 75-year period. This 
     estimate should include births during the period and 
     individuals below age 15 as of January 1 of the valuation 
     year.

     SEC. 106. SENATE SETS 302(B) ALLOCATIONS.

       The Congressional Budget Act of 1974 (2 U.S.C. 621 et seq.) 
     is amended--
       (1) in section 301(e)(2)(F) (2 U.S.C. 632(e)(2)(F)), by 
     striking ``section 302(a)'' and inserting ``subsections (a) 
     and (b) of section 302''; and
       (2) in section 302 (2 U.S.C. 633), by striking subsection 
     (b) and inserting the following:
       ``(b) Suballocations for Appropriations Committee.--The 
     joint explanatory statement accompanying a conference report 
     on a concurrent resolution on the budget shall include 
     suballocations of amounts allocated to the Committees on 
     Appropriations of each amount allocated to those committees 
     under subsection (a) among each of the subcommittees of those 
     committees.''.

     SEC. 107. LONG-TERM COST RECOGNITION POINT OF ORDER.

       (a) In General.--Title III of the Congressional Budget Act 
     of 1974 is amended by adding at the end the following:


              ``long-term cost recognition point of order

       ``Sec. 318. (a) Congressional Budget Office Analysis.--
       ``(1) In general.--CBO shall, in conjunction with the 
     analysis required by section 402, prepare and submit to the 
     Committees on the Budget of the House of Representatives and 
     Senate a report on each bill, joint resolution, amendment, 
     motion, or conference report reported by any committee of the 
     House of Representatives or the Senate that contains any cost 
     drivers that CBO concludes are likely to have the effect of 
     increasing the cost path of that measure such that the 
     estimated discounted cash flows of the measure in the 10 
     years following the 10th year after the measure takes effect 
     would be 150 percent or greater of the level of the estimated 
     discounted cash flows of the measure at the end of the 10 
     years following the enactment of the measure.
       ``(2) Projections.--Where possible, CBO should use existing 
     long-term projections of cost drivers prepared by the 
     appropriate Federal agency.
       ``(3) Limit.--Nothing in this section requires CBO to 
     develop cost estimates for a measure beyond the 10th year 
     after the measure takes effect.
       ``(b) Cost Drivers.--Cost drivers CBO shall consider under 
     subsection (a) include--
       ``(1) demographic changes;
       ``(2) new technologies; and
       ``(3) environmental factors.
       ``(c) Point of Order.--It shall not be in order in the 
     House of Representatives or the Senate to consider any bill, 
     joint resolution, amendment, motion, or conference report 
     that CBO determines will increase the level of the estimated 
     discounted cash flows of that measure as reported in 
     subsection (a) by 150 percent or more.''.

 TITLE II--REFORM OF BUDGETARY TREATMENT OF FEDERAL INSURANCE PROGRAMS

     SEC. 201. FEDERAL INSURANCE PROGRAMS.

       (a) In General.--The Congressional Budget Act of 1974 is 
     amended by adding after title V the following new title:

     ``TITLE VI--BUDGETARY TREATMENT OF FEDERAL INSURANCE PROGRAMS

     ``SEC. 601. SHORT TITLE.

       ``This title may be cited as the `Federal Insurance 
     Budgeting Act of 2003'.

     ``SEC. 602. BUDGETARY TREATMENT.

       ``(a) President's Budget.--Beginning with fiscal year 2008, 
     the budget of the Government submitted pursuant to section 
     1105(a) of title 31, United States Code, shall be based on 
     the risk-assumed cost of Federal insurance programs.
       ``(b) Budget Accounting.--For any Federal insurance 
     program--
       ``(1) the program account shall--
       ``(A) pay the risk-assumed cost borne by taxpayers to the 
     financing account; and
       ``(B) pay actual insurance program administrative costs; 
     and
       ``(2) the financing account shall--
       ``(A) receive premiums and other income;
       ``(B) pay all claims for insurance and receive all 
     recoveries; and
       ``(C) transfer to the program account on not less than an 
     annual basis amounts necessary to pay insurance program 
     administrative costs; and
       ``(3) a negative risk-assumed cost shall be transferred 
     from the financing account to the program account, and shall 
     be transferred from the program account to the general fund;
       ``(4) all payments by or receipts of the financing accounts 
     shall be treated in the budget as a means of financing.
       ``(c) Appropriations Required.--(1) Notwithstanding any 
     other provision of law, insurance commitments may be made for 
     fiscal year 2006 and thereafter only to the extent that new 
     budget authority to cover their risk-assumed cost is provided 
     in advance in an appropriation Act.
       ``(2) An outstanding insurance commitment shall not be 
     modified in a manner that increases its risk-assumed cost 
     unless budget authority for the additional cost has been 
     provided in advance.
       ``(3) Paragraph (1) shall not apply to Federal insurance 
     programs that constitute entitlements.
       ``(d) Reestimates.--
       ``(1) In general.--The risk-assumed cost for a fiscal year 
     shall be reestimated in each subsequent year. Such reestimate 
     can equal

[[Page S4290]]

     zero. In the case of a positive reestimate, the amount of the 
     reestimate shall be paid from the program account to the 
     financing account. In the case of a negative reestimate, the 
     amount of the reestimate shall be paid from the financing 
     account to the program account, and shall be transferred from 
     the program account to the general fund. Reestimates shall be 
     displayed as a distinct and separately identified subaccount 
     in the program account.
       ``(2) Appropriations.--There are appropriated such sums as 
     are necessary to fund a positive reestimate under paragraph 
     (1).
       ``(e) Administrative Expenses.--All funding for an agency's 
     administration of a Federal insurance program shall be 
     displayed as a distinct and separately identified subaccount 
     in the program account.

     ``SEC. 603. TIMETABLE FOR IMPLEMENTATION OF ACCRUAL BUDGETING 
                   FOR FEDERAL INSURANCE PROGRAMS.

       ``(a) Agency Requirements.--Agencies with responsibility 
     for Federal insurance programs shall develop models to 
     estimate their risk-assumed cost by year through the budget 
     horizon and shall submit those models, all relevant data, a 
     justification for critical assumptions, and the annual 
     projected risk-assumed costs to OMB with their budget 
     requests each year starting with the request for fiscal year 
     2005. Agencies will likewise provide OMB with annual 
     estimates of modifications, if any, and reestimates of 
     program costs.
       ``(b) Disclosure.--When the President submits a budget of 
     the Government pursuant to section 1105(a) of title 31, 
     United States Code, for fiscal year 2005, OMB shall publish a 
     notice in the Federal Register advising interested persons of 
     the availability of information describing the models, data 
     (including sources), and critical assumptions (including 
     explicit or implicit discount rate assumptions) that it or 
     other executive branch entities would use to estimate the 
     risk-assumed cost of Federal insurance programs and giving 
     such persons an opportunity to submit comments. At the same 
     time, the chairman of the Committee on the Budget shall 
     publish a notice for CBO in the Federal Register advising 
     interested persons of the availability of information 
     describing the models, data (including sources), and 
     critical assumptions (including explicit or implicit 
     discount rate assumptions) that it would use to estimate 
     the risk-assumed cost of Federal insurance programs and 
     giving such interested persons an opportunity to submit 
     comments.
       ``(c) Revision.--After consideration of comments pursuant 
     to subsection (b), and in consultation with the Committees on 
     the Budget of the House of Representatives and the Senate, 
     OMB and CBO shall revise the models, data, and major 
     assumptions they would use to estimate the risk-assumed cost 
     of Federal insurance programs.
       ``(d) Display.--
       ``(1) In general.--For fiscal years 2005, 2006, and 2007 
     the budget submissions of the President pursuant to section 
     1105(a) of title 31, United States Code, and CBO's reports on 
     the economic and budget outlook pursuant to section 202(e)(1) 
     and the President's budgets, shall for display purposes only, 
     estimate the risk-assumed cost of existing or proposed 
     Federal insurance programs.
       ``(2) OMB.--The display in the budget submissions of the 
     President for fiscal years 2005, 2006, and 2007 shall 
     include--
       ``(A) a presentation for each Federal insurance program in 
     budget-account level detail of estimates of risk-assumed 
     cost;
       ``(B) a summary table of the risk-assumed costs of Federal 
     insurance programs; and
       ``(C) an alternate summary table of budget functions and 
     aggregates using risk-assumed rather than cash-based cost 
     estimates for Federal insurance programs.
       ``(3) CBO.--In the second session of the 108th Congress and 
     the 109th Congress, CBO shall include in its estimates under 
     section 308, for display purposes only, the risk-assumed cost 
     of existing Federal insurance programs, or legislation that 
     CBO, in consultation with the Committees on the Budget of the 
     House of Representatives and the Senate, determines would 
     create a new Federal insurance program.
       ``(e) OMB, CBO, and GAO Evaluations.--(1) Not later than 6 
     months after the budget submission of the President pursuant 
     to section 1105(a) of title 31, United States Code, for 
     fiscal year 2007, OMB, CBO, and GAO shall each submit to the 
     Committees on the Budget of the House of Representatives and 
     the Senate a report that evaluates the advisability and 
     appropriate implementation of this title.
       ``(2) Each report made pursuant to paragraph (1) shall 
     address the following:
       ``(A) The adequacy of risk-assumed estimation models used 
     and alternative modeling methods.
       ``(B) The availability and reliability of data or 
     information necessary to carry out this title.
       ``(C) The appropriateness of the explicit or implicit 
     discount rate used in the various risk-assumed estimation 
     models.
       ``(D) The advisability of specifying a statutory discount 
     rate (such as the Treasury rate) for use in risk-assumed 
     estimation models.
       ``(E) The ability of OMB, CBO, or GAO, as applicable, to 
     secure any data or information directly from any Federal 
     agency necessary to enable it to carry out this title.
       ``(F) The relationship between risk-assumed accrual 
     budgeting for Federal insurance programs and the specific 
     requirements of the Balanced Budget and Emergency Deficit 
     Control Act of 1985.
       ``(G) Whether Federal budgeting is improved by the 
     inclusion of risk-assumed cost estimates for Federal 
     insurance programs.
       ``(H) The advisability of including each of the programs 
     currently estimated on a risk-assumed cost basis in the 
     Federal budget on that basis.

     ``SEC. 604. DEFINITIONS.

       ``For purposes of this title:
       ``(1) The term `Federal insurance program' means a program 
     that makes insurance commitments and includes the list of 
     such programs as to be defined by the budget concepts 
     commission, as required by title IV of the Truth in Budgeting 
     and Social Security Protection Act of 2003.
       ``(2) The term `insurance commitment' means an agreement in 
     advance by a Federal agency to indemnify a non-Federal entity 
     against specified losses. This term does not include loan 
     guarantees as defined in title V or benefit programs such as 
     social security, medicare, and similar existing social 
     insurance programs.
       ``(3)(A) The term `risk-assumed cost' means the net present 
     value of the estimated cash flows to and from the Government 
     resulting from an insurance commitment or modification 
     thereof.
       ``(B) The cash flows associated with an insurance 
     commitment include--
       ``(i) expected claims payments inherent in the Government's 
     commitment;
       ``(ii) net premiums (expected premium collections received 
     from or on behalf of the insured less expected administrative 
     expenses);
       ``(iii) expected recoveries; and
       ``(iv) expected changes in claims, premiums, or recoveries 
     resulting from the exercise by the insured of any option 
     included in the insurance commitment.
       ``(C) The cost of a modification is the difference between 
     the current estimate of the net present value of the 
     remaining cash flows under the terms of the insurance 
     commitment, and the current estimate of the net present value 
     of the remaining cash flows under the terms of the insurance 
     commitment as modified.
       ``(D) The cost of a reestimate is the difference between 
     the net present value of the amount currently required by the 
     financing account to pay estimated claims and other 
     expenditures and the amount currently available in the 
     financing account. The cost of a reestimate shall be 
     accounted for in the current year in the budget of the 
     Government submitted pursuant to section 1105(a) of title 
     31, United States Code.
       ``(E) For purposes of this definition, expected 
     administrative expenses shall be construed as the amount 
     estimated to be necessary for the proper administration of 
     the insurance program. This amount may differ from amounts 
     actually appropriated or otherwise made available for the 
     administration of the program.
       ``(4) The term `program account' means the budget account 
     for the risk-assumed cost, and for paying all costs of 
     administering the insurance program, and is the account from 
     which the risk-assumed cost is disbursed to the financing 
     account.
       ``(5) The term `financing account' means the nonbudget 
     account that is associated with each program account which 
     receives payments from or makes payments to the program 
     account, receives premiums and other payments from the 
     public, pays insurance claims, and holds balances.
       ``(6) The term `modification' means any Government action 
     that alters the risk-assumed cost of an existing insurance 
     commitment from the current estimate of cash flows. This 
     includes any action resulting from new legislation, or from 
     the exercise of administrative discretion under existing law, 
     that directly or indirectly alters the estimated cost of 
     existing insurance commitments.
       ``(7) The term `model' means any actuarial, financial, 
     econometric, probabilistic, or other methodology used to 
     estimate the expected frequency and magnitude of loss-
     producing events, expected premiums or collections from or on 
     behalf of the insured, expected recoveries, and 
     administrative expenses.
       ``(8) The term `current' has the same meaning as in section 
     250(c)(9) of the Balanced Budget and Emergency Deficit 
     Control Act of 1985.
       ``(9) The term `OMB' means the Director of the Office of 
     Management and Budget.
       ``(10) The term `CBO' means the Director of the 
     Congressional Budget Office.
       ``(11) The term `GAO' means the Comptroller General of the 
     United States.

     ``SEC. 605. AUTHORIZATIONS TO ENTER INTO CONTRACTS; ACTUARIAL 
                   COST ACCOUNT.

       ``(a) Authorization of Appropriations.--There is authorized 
     to be appropriated $600,000 for each of fiscal years 2004 
     through 2009 to the Director of the Office of Management and 
     Budget and each agency responsible for administering a 
     Federal program to carry out this title.
       ``(b) Treasury Transactions With the Financing Accounts.--
     The Secretary of the Treasury shall borrow from, receive 
     from, lend to, or pay the insurance financing accounts such 
     amounts as may be appropriate. The Secretary of the Treasury 
     may prescribe forms and denominations, maturities, and terms 
     and conditions for the transactions described above. The 
     authorities described above shall not be construed to 
     supersede or

[[Page S4291]]

     override the authority of the head of a Federal agency to 
     administer and operate an insurance program. All the 
     transactions provided in this subsection shall be subject to 
     the provisions of subchapter II of chapter 15 of title 31, 
     United States Code. Cash balances of the financing accounts 
     in excess of current requirements shall be maintained in a 
     form of uninvested funds, and the Secretary of the Treasury 
     shall pay interest on these funds.
       ``(c) Appropriation of Amount Necessary to Cover Risk-
     Assumed Cost of Insurance Commitments at Transition Date.--
     (1) A financing account is established on September 30, 2007, 
     for each Federal insurance program.
       ``(2) There is appropriated to each financing account the 
     amount of the risk-assumed cost of Federal insurance 
     commitments outstanding for that program as of the close of 
     September 30, 2007.
       ``(3) These financing accounts shall be used in 
     implementing the budget accounting required by this title.

     ``SEC. 606. EFFECTIVE DATE.

       ``(a) In General.--This title shall take effect immediately 
     and shall expire on September 30, 2009.
       ``(b) Special Rule.--If this title is not reauthorized by 
     September 30, 2009, then the accounting structure and 
     budgetary treatment of Federal insurance programs shall 
     revert to the accounting structure and budgetary treatment in 
     effect immediately before the date of enactment of this 
     title.''.
       (b) Conforming Amendment.--The table of contents set forth 
     in section 1(b) of the Congressional Budget and Impoundment 
     Control Act of 1974 is amended by inserting after the item 
     relating to section 507 the following new items:

     ``TITLE VI--BUDGETARY TREATMENT OF FEDERAL INSURANCE PROGRAMS

``Sec. 601. Short title.
``Sec. 602. Budgetary treatment.
``Sec. 603. Timetable for implementation of accrual budgeting for 
              Federal insurance programs.
``Sec. 604. Definitions.
``Sec. 605. Authorizations to enter into contracts; actuarial cost 
              account.
``Sec. 606. Effective date.''.

            TITLE III--BIENNIAL BUDGETING AND APPROPRIATIONS

     SEC. 301. REVISION OF TIMETABLE.

       Section 300 of the Congressional Budget Act of 1974 (2 
     U.S.C. 631) is amended to read as follows:


                              ``timetable

       ``Sec. 300. (a) In General.--Except as provided by 
     subsection (b), the timetable with respect to the 
     congressional budget process for any Congress (beginning with 
     the One Hundred Eighth Congress) is as follows:


                             ``First Session
                                  ``On or before:     Action to be
                                                       completed:
 
  ..............................  First Monday in     President submits
                                   February.           budget
                                                       recommendations.
  ..............................  February 15.......  Congressional
                                                       Budget Office
                                                       submits report to
                                                       Budget
                                                       Committees.
  ..............................  Not later than 6    Committees submit
                                   weeks after         views and
                                   budget submission.  estimates to
                                                       Budget
                                                       Committees.
  ..............................  April 1...........  Budget Committees
                                                       report concurrent
                                                       resolution on the
                                                       biennial budget.
  ..............................  May 15............  Congress completes
                                                       action on
                                                       concurrent
                                                       resolution on the
                                                       biennial budget.
  ..............................  May 15............  Biennial
                                                       appropriation
                                                       bills may be
                                                       considered in the
                                                       House.
  ..............................  June 10...........  House
                                                       Appropriations
                                                       Committee reports
                                                       last biennial
                                                       appropriation
                                                       bill.
  ..............................  June 30...........  House completes
                                                       action on
                                                       biennial
                                                       appropriation
                                                       bills.
  ..............................  August 1..........  Congress completes
                                                       action on
                                                       reconciliation
                                                       legislation.
  ..............................  October 1.........  Biennium begins.
 
                            ``Second Session
 
                                  ``On or before:     Action to be
                                                       completed:
 
  ..............................  February 15.......  President submits
                                                       budget review.
  ..............................  Not later than 6    Congressional
                                   weeks after         Budget Office
                                   President submits   submits report to
                                   budget review.      Budget
                                                       Committees.
  ..............................  The last day of     Congress completes
                                   the session.        action on bills
                                                       and resolutions
                                                       authorizing new
                                                       budget authority
                                                       for the
                                                       succeeding
                                                       biennium.
 

       ``(b) Special Rule.--In the case of any first session of 
     Congress that begins in any year immediately following a leap 
     year and during which the term of a President (except a 
     President who succeeds himself) begins, the following dates 
     shall supersede those set forth in subsection (a):


                             ``First Session
                                  ``On or before:     Action to be
                                                       completed:
  ..............................  First Monday in     President submits
                                   April.              budget
                                                       recommendations.
  ..............................   April 20.........  Committees submit
                                                       views and
                                                       estimates to
                                                       Budget
                                                       Committees.
  ..............................  May 15............  Budget Committees
                                                       report concurrent
                                                       resolution on the
                                                       biennial budget.
  ..............................  June 1............  Congress completes
                                                       action on
                                                       concurrent
                                                       resolution on the
                                                       biennial budget.
  ..............................  July 1............  Biennial
                                                       appropriation
                                                       bills may be
                                                       considered in the
                                                       House.
  ..............................  July 20...........  House completes
                                                       action on
                                                       biennial
                                                       appropriation
                                                       bills.
  ..............................  August 1..........  Congress completes
                                                       action on
                                                       reconciliation
                                                       legislation.
  ..............................  October 1.........  Biennium
                                                       begins.''.
 

     SEC. 302. AMENDMENTS TO THE CONGRESSIONAL BUDGET AND 
                   IMPOUNDMENT CONTROL ACT OF 1974.

       (a) Declaration of Purpose.--Section 2(2) of the 
     Congressional Budget and Impoundment Control Act of 1974 (2 
     U.S.C. 621(2)) is amended by striking ``each year'' and 
     inserting ``biennially''.
       (b) Definitions.--
       (1) Budget resolution.--Section 3(4) of such Act (2 U.S.C. 
     622(4)) is amended by striking ``fiscal year'' each place it 
     appears and inserting ``biennium''.
       (2) Biennium.--Section 3 of such Act (2 U.S.C. 622) is 
     further amended by adding at the end the following new 
     paragraph:
       ``(11) The term `biennium' means the period of 2 
     consecutive fiscal years beginning on October 1 of any odd-
     numbered year.''.
       (c) Biennial Concurrent Resolution on the Budget.--
       (1) Contents of resolution.--Section 301(a) of such Act (2 
     U.S.C. 632(a)) is amended--
       (A) in the matter preceding paragraph (1) by--
       (i) striking ``April 15 of each year'' and inserting ``May 
     15 of each odd-numbered year'';
       (ii) striking ``the fiscal year beginning on October 1 of 
     such year'' the first place it appears and inserting ``the 
     biennium beginning on October 1 of such year''; and
       (iii) striking ``the fiscal year beginning on October 1 of 
     such year'' the second place it appears and inserting ``each 
     fiscal year in such period'';
       (B) in paragraph (6), by striking ``for the fiscal year'' 
     and inserting ``for each fiscal year in the biennium''; and
       (C) in paragraph (7), by striking ``for the first fiscal 
     year'' and inserting ``for each fiscal year in the 
     biennium''.
       (2) Additional matters.--Section 301(b)(3) of such Act (2 
     U.S.C. 632(b)) is amended by striking ``for such fiscal 
     year'' and inserting ``for either fiscal year in such 
     biennium''.
       (3) Views of other committees.--Section 301(d) of such Act 
     (2 U.S.C. 632(d)) is amended by inserting ``(or, if 
     applicable, as provided by section 300(b))'' after ``United 
     States Code''.
       (4) Hearings.--Section 301(e)(1) of such Act (2 U.S.C. 
     632(e)) is amended by--
       (A) striking ``fiscal year'' and inserting ``biennium''; 
     and
       (B) inserting after the second sentence the following: ``On 
     or before April 1 of each odd-numbered year (or, if 
     applicable, as provided by section 300(b)), the Committee on 
     the Budget of each House shall report to its House the 
     concurrent resolution on the budget referred to in subsection 
     (a) for the biennium beginning on October 1 of that year.''.

[[Page S4292]]

       (5) Goals for reducing unemployment.--Section 301(f) of 
     such Act (2 U.S.C. 632(f)) is amended by striking ``fiscal 
     year'' each place it appears and inserting ``biennium''.
       (6) Economic assumptions.--Section 301(g)(1) of such Act (2 
     U.S.C. 632(g)(1)) is amended by striking ``for a fiscal 
     year'' and inserting ``for a biennium''.
       (7) Section heading.--The section heading of section 301 of 
     such Act is amended by striking ``ANNUAL'' and inserting 
     ``BIENNIAL''.
       (8) Table of contents.--The item relating to section 301 in 
     the table of contents set forth in section 1(b) of such Act 
     is amended by striking ``Annual'' and inserting ``Biennial''.
       (d) Committee Allocations.--Section 302 of such Act (2 
     U.S.C. 633) is amended--
       (1) in subsection (a)(1) by--
       (A) striking ``for the first fiscal year of the 
     resolution,'' and inserting ``for each fiscal year in the 
     biennium,'';
       (B) striking ``for that period of fiscal years'' and 
     inserting ``for all fiscal years covered by the resolution''; 
     and
       (C) striking ``for the fiscal year of that resolution'' and 
     inserting ``for each fiscal year in the biennium'';
       (2) in subsection (f)(1), by striking ``for a fiscal year'' 
     and inserting ``for a biennium'';
       (3) in subsection (f)(1), by striking ``first fiscal year'' 
     and inserting ``each fiscal year of the biennium'';
       (4) in subsection (f)(2)(A), by--
       (A) striking ``first fiscal year'' and inserting ``each 
     fiscal year of the biennium''; and
       (B) striking ``the total of fiscal years'' and inserting 
     ``the total of all fiscal years covered by the resolution''; 
     and
       (5) in subsection (g)(1)(A), by striking ``April'' and 
     inserting ``May''.
       (e) Section 303 Point of Order.--
       (1) In general.--Section 303(a) of such Act (2 U.S.C. 
     634(a)) is amended by striking ``first fiscal year'' and 
     inserting ``each fiscal year of the biennium''.
       (2) Exceptions in the house.--Section 303(b)(1) of such Act 
     (2 U.S.C. 634(b)) is amended--
       (A) in subparagraph (A), by striking ``the budget year'' 
     and inserting ``the biennium''; and
       (B) in subparagraph (B), by striking ``the fiscal year'' 
     and inserting ``the biennium''.
       (3) Application to the senate.--Section 303(c)(1) of such 
     Act (2 U.S.C. 634(c)) is amended by--
       (A) striking ``fiscal year'' and inserting ``biennium''; 
     and
       (B) striking ``that year'' and inserting ``each fiscal year 
     of that biennium''.
       (f) Permissible Revisions of Concurrent Resolutions on the 
     Budget.--Section 304(a) of such Act (2 U.S.C. 635) is 
     amended--
       (1) by striking ``fiscal year'' the first two places it 
     appears and inserting ``biennium'';
       (2) by striking ``for such fiscal year''; and
       (3) by inserting before the period ``for such biennium''.
       (g) Procedures for Consideration of Budget Resolutions.--
     Section 305(a)(3) of such Act (2 U.S.C. 636(b)(3)) is amended 
     by striking ``fiscal year'' and inserting ``biennium''.
       (h) Completion of House Action on Appropriation Bills.--
     Section 307 of such Act (2 U.S.C. 638) is amended--
       (1) by striking ``each year'' and inserting ``each odd-
     numbered year'';
       (2) by striking ``annual'' and inserting ``biennial'';
       (3) by striking ``fiscal year'' and inserting ``biennium''; 
     and
       (4) by striking ``that year'' and inserting ``each odd-
     numbered year''.
       (i) Completion of Action on Regular Appropriation Bills.--
     Section 309 of such Act (2 U.S.C. 640) is amended--
       (1) by inserting ``of any odd-numbered calendar year'' 
     after ``July'';
       (2) by striking ``annual'' and inserting ``biennial''; and
       (3) by striking ``fiscal year'' and inserting ``biennium''.
       (j) Reconciliation Process.--Section 310(a) of such Act (2 
     U.S.C. 641(a)) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``any fiscal year'' and inserting ``any biennium''; and
       (2) in paragraph (1) by striking ``such fiscal year'' each 
     place it appears and inserting ``any fiscal year covered by 
     such resolution''.
       (k) Section 311 Point of Order.--
       (1) In the house.--Section 311(a)(1) of such Act (2 U.S.C. 
     642(a)) is amended--
       (A) by striking ``for a fiscal year'' and inserting ``for a 
     biennium'';
       (B) by striking ``the first fiscal year'' each place it 
     appears and inserting ``either fiscal year of the biennium''; 
     and
       (C) by striking ``that first fiscal year'' and inserting 
     ``each fiscal year in the biennium''.
       (2) In the senate.--Section 311(a)(2) of such Act is 
     amended--
       (A) in subparagraph (A), by striking ``for the first fiscal 
     year'' and inserting ``for either fiscal year of the 
     biennium''; and
       (B) in subparagraph (B)--
       (i) by striking ``that first fiscal year'' the first place 
     it appears and inserting ``each fiscal year in the 
     biennium''; and
       (ii) by striking ``that first fiscal year and the ensuing 
     fiscal years'' and inserting ``all fiscal years''.
       (3) Social security levels.--Section 311(a)(3) of such Act 
     is amended by--
       (A) striking ``for the first fiscal year'' and inserting 
     ``each fiscal year in the biennium''; and
       (B) striking ``that fiscal year and the ensuing fiscal 
     years'' and inserting ``all fiscal years''.
       (l) MDA Point of Order.--Section 312(c) of the 
     Congressional Budget Act of 1974 (2 U.S.C. 643) is amended--
       (1) by striking ``for a fiscal year'' and inserting ``for a 
     biennium'';
       (2) in paragraph (1), by striking ``first fiscal year'' and 
     inserting ``either fiscal year in the biennium'';
       (3) in paragraph (2), by striking ``that fiscal year'' and 
     inserting ``either fiscal year in the biennium''; and
       (4) in the matter following paragraph (2), by striking 
     ``that fiscal year'' and inserting ``the applicable fiscal 
     year''.

     SEC. 303. AMENDMENTS TO TITLE 31, UNITED STATES CODE.

       (a) Definition.--Section 1101 of title 31, United States 
     Code, is amended by adding at the end thereof the following 
     new paragraph:
       ``(3) `biennium' has the meaning given to such term in 
     paragraph (11) of section 3 of the Congressional Budget and 
     Impoundment Control Act of 1974 (2 U.S.C. 622(11)).''.
       (b) Budget Contents and Submission to the Congress.--
       (1) Schedule.--The matter preceding paragraph (1) in 
     section 1105(a) of title 31, United States Code, is amended 
     to read as follows:
       ``(a) On or before the first Monday in February of each 
     odd-numbered year (or, if applicable, as provided by section 
     300(b) of the Congressional Budget Act of 1974), beginning 
     with the One Hundred Seventh Congress, the President shall 
     transmit to the Congress, the budget for the biennium 
     beginning on October 1 of such calendar year. The budget 
     transmitted under this subsection shall include a budget 
     message and summary and supporting information. The President 
     shall include in each budget the following:''.
       (2) Expenditures.--Section 1105(a)(5) of title 31, United 
     States Code, is amended by striking ``the fiscal year for 
     which the budget is submitted and the 4 fiscal years after 
     that year'' and inserting ``each fiscal year in the biennium 
     for which the budget is submitted and in the succeeding 4 
     years''.
       (3) Receipts.--Section 1105(a)(6) of title 31, United 
     States Code, is amended by striking ``the fiscal year for 
     which the budget is submitted and the 4 fiscal years after 
     that year'' and inserting ``each fiscal year in the biennium 
     for which the budget is submitted and in the succeeding 4 
     years''.
       (4) Balance statements.--Section 1105(a)(9)(C) of title 31, 
     United States Code, is amended by striking ``the fiscal 
     year'' and inserting ``each fiscal year in the biennium''.
       (5) Functions and activities.--Section 1105(a)(12) of title 
     31, United States Code, is amended in subparagraph (A), by 
     striking ``the fiscal year'' and inserting ``each fiscal year 
     in the biennium''.
       (6) Allowances.--Section 1105(a)(13) of title 31, United 
     States Code, is amended by striking ``the fiscal year'' and 
     inserting ``each fiscal year in the biennium''.
       (7) Allowances for uncontrolled expenditures.--Section 
     1105(a)(14) of title 31, United States Code, is amended by 
     striking ``that year'' and inserting ``each fiscal year in 
     the biennium for which the budget is submitted''.
       (8) Tax expenditures.--Section 1105(a)(16) of title 31, 
     United States Code, is amended by striking ``the fiscal 
     year'' and inserting ``each fiscal year in the biennium''.
       (9) Future years.--Section 1105(a)(17) of title 31, United 
     States Code, is amended--
       (A) by striking ``the fiscal year following the fiscal 
     year'' and inserting ``each fiscal year in the biennium 
     following the biennium'';
       (B) by striking ``that following fiscal year'' and 
     inserting ``each such fiscal year''; and
       (C) by striking ``fiscal year before the fiscal year'' and 
     inserting ``biennium before the biennium''.
       (10) Prior year outlays.--Section 1105(a)(18) of title 31, 
     United States Code, is amended--
       (A) by striking ``the prior fiscal year'' and inserting 
     ``each of the 2 most recently completed fiscal years,'';
       (B) by striking ``for that year'' and inserting ``with 
     respect to those fiscal years''; and
       (C) by striking ``in that year'' and inserting ``in those 
     fiscal years''.
       (11) Prior year receipts.--Section 1105(a)(19) of title 31, 
     United States Code, is amended--
       (A) by striking ``the prior fiscal year'' and inserting 
     ``each of the 2 most recently completed fiscal years'';
       (B) by striking ``for that year'' and inserting ``with 
     respect to those fiscal years''; and
       (C) by striking ``in that year'' each place it appears and 
     inserting ``in those fiscal years''.
       (c) Estimated Expenditures of Legislative and Judicial 
     Branches.--Section 1105(b) of title 31, United States Code, 
     is amended by striking ``each year'' and inserting ``each 
     even-numbered year''.
       (d) Recommendations To Meet Estimated Deficiencies.--
     Section 1105(c) of title 31, United States Code, is amended--
       (1) by striking ``the fiscal year for'' the first place it 
     appears and inserting ``each fiscal year in the biennium 
     for'';
       (2) by striking ``the fiscal year for'' the second place it 
     appears and inserting ``each fiscal year of the biennium, as 
     the case may be,''; and
       (3) by striking ``that year'' and inserting ``for each year 
     of the biennium''.
       (e) Capital Investment Analysis.--Section 1105(e)(1) of 
     title 31, United States Code, is amended by striking 
     ``ensuing fiscal year'' and inserting ``biennium to which 
     such budget relates''.

[[Page S4293]]

       (f) Supplemental Budget Estimates and Changes.--
       (1) In general.--Section 1106(a) of title 31, United States 
     Code, is amended--
       (A) in the matter preceding paragraph (1), by--
       (i) striking ``Before July 16 of each year,'' and inserting 
     ``Before February 15 of each even numbered year,''; and
       (ii) striking ``fiscal year'' and inserting ``biennium'';
       (B) in paragraph (1), by striking ``that fiscal year'' and 
     inserting ``each fiscal year in such biennium'';
       (C) in paragraph (2), by striking ``4 fiscal years 
     following the fiscal year'' and inserting ``4 fiscal years 
     following the biennium''; and
       (D) in paragraph (3), by striking ``fiscal year'' and 
     inserting ``biennium''.
       (2) Changes.--Section 1106(b) of title 31, United States 
     Code, is amended by--
       (A) striking ``the fiscal year'' and inserting ``each 
     fiscal year in the biennium'';
       (B) striking ``April 11 and July 16 of each year'' and 
     inserting ``February 15 of each even-numbered year''; and
       (C) striking ``July 16'' and inserting ``February 15 of 
     each even-numbered year.''.
       (g) Current Programs and Activities Estimates.--
       (1) In general.--Section 1109(a) of title 31, United States 
     Code, is amended--
       (A) by striking ``On or before the first Monday after 
     January 3 of each year (on or before February 5 in 1986)'' 
     and inserting ``At the same time the budget required by 
     section 1105 is submitted for a biennium''; and
       (B) by striking ``the following fiscal year'' and inserting 
     ``each fiscal year of such period''.
       (2) Joint economic committee.--Section 1109(b) of title 31, 
     United States Code, is amended by striking ``March 1 of each 
     year'' and inserting ``within 6 weeks of the President's 
     budget submission for each odd-numbered year (or, if 
     applicable, as provided by section 300(b) of the 
     Congressional Budget Act of 1974)''.
       (h) Year-Ahead Requests for Authorizing Legislation.--
     Section 1110 of title 31, United States Code, is amended by--
       (1) striking ``May 16'' and inserting ``March 31''; and
       (2) striking ``year before the year in which the fiscal 
     year begins'' and inserting ``calendar year preceding the 
     calendar year in which the biennium begins''.

     SEC. 304. TWO-YEAR APPROPRIATIONS; TITLE AND STYLE OF 
                   APPROPRIATIONS ACTS.

       Section 105 of title 1, United States Code, is amended to 
     read as follows:

     ``Sec. 105. Title and style of appropriations Acts

       ``(a) The style and title of all Acts making appropriations 
     for the support of the Government shall be as follows: `An 
     Act making appropriations (here insert the object) for each 
     fiscal year in the biennium of fiscal years (here insert the 
     fiscal years of the biennium).'.
       ``(b) All Acts making regular appropriations for the 
     support of the Government shall be enacted for a biennium and 
     shall specify the amount of appropriations provided for each 
     fiscal year in such period.
       ``(c) For purposes of this section, the term `biennium' has 
     the same meaning as in section 3(11) of the Congressional 
     Budget and Impoundment Control Act of 1974 (2 U.S.C. 
     622(11)).''.

     SEC. 305. MULTIYEAR AUTHORIZATIONS.

       (a) In General.--Title III of the Congressional Budget Act 
     of 1974 is amended by adding at the end the following new 
     section:


                   ``authorizations of appropriations

       ``Sec. 319. (a) Point of Order.--It shall not be in order 
     in the House of Representatives or the Senate to consider--
       ``(1) any bill, joint resolution, amendment, motion, or 
     conference report that authorizes appropriations for a period 
     of less than 2 fiscal years, unless the program, project, or 
     activity for which the appropriations are authorized will 
     require no further appropriations and will be completed or 
     terminated after the appropriations have been expended; and
       ``(2) in any odd-numbered year, any authorization or 
     revenue bill or joint resolution until Congress completes 
     action on the biennial budget resolution, all regular 
     biennial appropriations bills, and all reconciliation bills.
       ``(b) Applicability.--In the Senate, subsection (a) shall 
     not apply to--
       ``(1) any measure that is privileged for consideration 
     pursuant to a rule or statute;
       ``(2) any matter considered in Executive Session; or
       ``(3) an appropriations measure or reconciliation bill.''.
       (b) Amendment to Table of Contents.--The table of contents 
     set forth in section 1(b) of the Congressional Budget and 
     Impoundment Control Act of 1974 is amended by adding after 
     the item relating to section 313 the following new item:

``Sec. 319. Authorizations of appropriations.''.

     SEC. 306. GOVERNMENT PLANS ON A BIENNIAL BASIS.

       (a) Strategic Plans.--Section 306 of title 5, United States 
     Code, is amended--
       (1) in subsection (a), by striking ``September 30, 1997'' 
     and inserting ``September 30, 2003'';
       (2) in subsection (b)--
       (A) by striking ``at least every three years'' and 
     inserting ``at least every 4 years''; and
       (B) by striking ``five years forward'' and inserting ``six 
     years forward''; and
       (3) in subsection (c), by inserting a comma after 
     ``section'' the second place it appears and adding 
     ``including a strategic plan submitted by September 30, 2003 
     meeting the requirements of subsection (a)''.
       (b) Budget Contents and Submission to Congress.--Paragraph 
     (28) of section 1105(a) of title 31, United States Code, is 
     amended by striking ``beginning with fiscal year 1999, a'' 
     and inserting ``beginning with fiscal year 2004, a 
     biennial''.
       (c) Performance Plans.--Section 1115 of title 31, United 
     States Code, is amended--
       (1) in subsection (a)--
       (A) in the matter before paragraph (1)--
       (i) by striking ``section 1105(a)(29)'' and inserting 
     ``section 1105(a)(28)''; and
       (ii) by striking ``an annual'' and inserting ``a 
     biennial'';
       (B) in paragraph (1) by inserting after ``program 
     activity'' the following: ``for both years 1 and 2 of the 
     biennial plan'';
       (C) in paragraph (5) by striking ``and'' after the 
     semicolon,
       (D) in paragraph (6) by striking the period and inserting a 
     semicolon; and inserting ``and'' after the inserted 
     semicolon; and
       (E) by adding after paragraph (6) the following:
       ``(7) cover a 2-year period beginning with the first fiscal 
     year of the next biennial budget cycle.'';
       (2) in subsection (d) by striking ``annual'' and inserting 
     ``biennial''; and
       (3) in paragraph (6) of subsection (f) by striking 
     ``annual'' and inserting ``biennial''.
       (d) Managerial Accountability and Flexibility.--Section 
     9703 of title 31, United States Code, relating to managerial 
     accountability, is amended--
       (1) in subsection (a)--
       (A) in the first sentence by striking ``annual''; and
       (B) by striking ``section 1105(a)(29)'' and inserting 
     ``section 1105(a)(28)'';
       (2) in subsection (e)--
       (A) in the first sentence by striking ``one or'' before 
     ``years'';
       (B) in the second sentence by striking ``a subsequent 
     year'' and inserting ``for a subsequent 2-year period''; and
       (C) in the third sentence by striking ``three'' and 
     inserting ``four''.
       (e) Pilot Projects for Performance Budgeting.--Section 1119 
     of title 31, United States Code, is amended--
       (1) in paragraph (1) of subsection (d), by striking 
     ``annual'' and inserting ``biennial''; and
       (2) in subsection (e), by striking ``annual'' and inserting 
     ``biennial''.
       (f) Strategic Plans.--Section 2802 of title 39, United 
     States Code, is amended--
       (1) is subsection (a), by striking ``September 30, 1997'' 
     and inserting ``September 30, 2003'';
       (2) in subsection (b), by striking ``at least every three 
     years'' and inserting ``at least every 4 years'';
       (3) by striking ``five years forward'' and inserting ``six 
     years forward''; and
       (4) in subsection (c), by inserting a comma after 
     ``section'' the second place it appears and inserting 
     ``including a strategic plan submitted by September 30, 2003 
     meeting the requirements of subsection (a)''.
       (g) Performance Plans.--Section 2803(a) of title 39, United 
     States Code, is amended--
       (1) in the matter before paragraph (1), by striking ``an 
     annual'' and inserting ``a biennial'';
       (2) in paragraph (1), by inserting after ``program 
     activity'' the following: ``for both years 1 and 2 of the 
     biennial plan'';
       (3) in paragraph (5), by striking ``and'' after the 
     semicolon;
       (4) in paragraph (6), by striking the period and inserting 
     ``; and''; and
       (5) by adding after paragraph (6) the following:
       ``(7) cover a 2-year period beginning with the first fiscal 
     year of the next biennial budget cycle.''.
       (h) Committee Views of Plans and Reports.--Section 301(d) 
     of the Congressional Budget Act (2 U.S.C. 632(d)) is amended 
     by adding at the end ``Each committee of the Senate or the 
     House of Representatives shall review the strategic plans, 
     performance plans, and performance reports, required under 
     section 306 of title 5, United States Code, and sections 1115 
     and 1116 of title 31, United States Code, of all agencies 
     under the jurisdiction of the committee. Each committee may 
     provide its views on such plans or reports to the Committee 
     on the Budget of the applicable House.''.
       (i) Effective Date.--
       (1) In general.--The amendments made by this section shall 
     take effect on March 1, 2003.
       (2) Agency actions.--Effective on and after the date of 
     enactment of this Act, each agency shall take such actions as 
     necessary to prepare and submit any plan or report in 
     accordance with the amendments made by this Act.

     SEC. 307. BIENNIAL APPROPRIATIONS BILLS.

       (a) In General.--Title III of the Congressional Budget Act 
     of 1974 (2 U.S.C. 631 et seq.) is amended by adding at the 
     end the following:


            ``consideration of biennial appropriations bills

       ``Sec. 320. It shall not be in order in the House of 
     Representatives or the Senate in any odd-numbered year to 
     consider any regular bill providing new budget authority or a

[[Page S4294]]

     limitation on obligations under the jurisdiction of any of 
     the subcommittees of the Committees on Appropriations for 
     only the first fiscal year of a biennium, unless the program, 
     project, or activity for which the new budget authority or 
     obligation limitation is provided will require no additional 
     authority beyond 1 year and will be completed or terminated 
     after the amount provided has been expended.''.
       (b) Amendment to Table of Contents.--The table of contents 
     set forth in section 1(b) of the Congressional Budget and 
     Impoundment Control Act of 1974 is amended by adding after 
     the item relating to section 313 the following new item:

``Sec. 320. Consideration of biennial appropriations bills.''.

     SEC. 308. REPORT ON TWO-YEAR FISCAL PERIOD.

       Not later than 180 days after the date of enactment of this 
     subpart, the Director of OMB shall--
       (1) determine the impact and feasibility of changing the 
     definition of a fiscal year and the budget process based on 
     that definition to a 2-year fiscal period with a biennial 
     budget process based on the 2-year period; and
       (2) report the findings of the study to the Committees on 
     the Budget of the House of Representatives and the Senate.

     SEC. 309. EFFECTIVE DATE.

       (a) In General.--Except as provided in sections 306 and 308 
     and subsection (b), this title and the amendments made by 
     this title shall take effect on January 1, 2003, and shall 
     apply to budget resolutions and appropriations for the 
     biennium beginning with fiscal year 2004.
       (b) Authorizations for the Biennium.--For purposes of 
     authorizations for the biennium beginning with fiscal year 
     2004, the provisions of this title and the amendments made by 
     this title relating to 2-year authorizations shall take 
     effect January 1, 2003.

            TITLE IV--COMMISSION ON FEDERAL BUDGET CONCEPTS

     SEC. 401. ESTABLISHMENT OF COMMISSION ON FEDERAL BUDGET 
                   CONCEPTS.

       There is established a commission to be known as the 
     Commission on Federal Budget Concepts (referred to in this 
     title as the ``Commission'').

     SEC. 402. POWERS AND DUTIES OF COMMISSION.

       (a) Duties of the Commission.--
       (1) In general.--The duties of the Commission shall 
     include--
       (A) a review of the 1967 report of the President's 
     Commission on Budget Concepts and assessment of the 
     implementation of the recommendations of that report;
       (B) identification and evaluation of the structure, 
     concepts, classifications, and bases of accounting of the 
     Federal budget;
       (C) identification of any applicable general accounting 
     principles and practices in the private sector and evaluation 
     of their value to budget practices in the Federal sector;
       (D) a report that shall include recommendations for 
     modifications to the structure, concepts, classifications, 
     and bases of accounting of the Federal budget that would 
     enhance the usefulness of the budget for public policy and 
     financial planning.
       (2) Specific areas of consideration.--Specific areas for 
     consideration by the Commission shall include the following:
       (A) Should part ownership by the Government be sufficient 
     to make an entity Federal and to include it in the budget?
       (B) When is Federal control of an entity, including control 
     exercised through Federal regulations, sufficient to cause it 
     to be included in the budget?
       (C) Are privately owned assets under long-term leases to 
     the Federal Government effectively purchased by the 
     Government during the lease period?
       (D) Should there be an ``off-budget'' section of the 
     budget? How should the Federal Government differentiate 
     between spending and receipts?
       (E) Should the total costs of refundable tax credits belong 
     on the spending side of the budget?
       (F) When should Federal Reserve earnings be reported as 
     receipts or offsetting receipts (negative spending) in the 
     net interest portion of the budget?
       (G) What is a ``user fee'' and under what circumstances is 
     it properly an offset to spending or a governmental receipt? 
     What uses do trust funds have?
       (H) Do trust fund balances provide misleading information? 
     Do the roughly 200 trust funds add clarity or confusion to 
     the budget process?
       (I) Are there better ways than trust fund accounting to 
     identify long-term liabilities?
       (J) Should accrual budgetary accounting be adopted for 
     Federal retirement, military retirement, or Social Security 
     and other entitlements?
       (K) Are off-budget accounts suitable for capturing accruals 
     in the budget?
       (L) What is the appropriate budgetary treatment of--
       (i) purchases and sales of financial assets, including 
     equities, bonds, and foreign currencies;
       (ii) emergency spending;
       (iii) the cost of holding fixed assets (cost of capital);
       (iv) sales of physical assets; and
       (v) seigniorage on coins and currency?
       (M) When policy changes have strong but indirect feedback 
     effects on revenues and other aggregates, should they be 
     reported in budget estimates?
       (N) How should the policies that are one-sided bets on 
     economic events (probabilistic scoring) be represented in the 
     budget?
       (b) Powers of the Commission.--
       (1) Conduct of business.--The Commission may hold hearings, 
     take testimony, receive evidence, and undertake such other 
     activities necessary to carry out its duties.
       (2) Access to information.--The Commission may secure 
     directly from any department or agency of the United States 
     information necessary to carry out its duties. Upon request 
     of the Chair of the Commission, the head of that department 
     or agency shall furnish that information to the Commission.
       (3) Postal service.--The Commission may use the United 
     States mails in the same manner and under the same conditions 
     as other departments and agencies of the United States.

     SEC. 403. MEMBERSHIP.

       (a) Membership.--The Commission shall be composed of 12 
     members as follows:
       (1) Three members appointed by the chairman of the 
     Committee on the Budget of the Senate.
       (2) Three members appointed by the chairman of the 
     Committee on the Budget of the House of Representatives.
       (3) Three members appointed by the ranking member of the 
     Committee on the Budget of the Senate.
       (4) Three members appointed by the ranking member of the 
     Committee on the Budget of the House of Representatives.
       (b) Qualifications and Term.--
       (1) Qualifications.--Members appointed to the Commission 
     pursuant to subsection (a) shall--
       (A) have expertise and experience in the fields or 
     disciplines related to the subject areas to be considered by 
     the Commission; and
       (B) not be Members of Congress.
       (2) Term of appointment.--The term of an appointment to the 
     Commission shall be for the life of the Commission.
       (3) Chair and vice chair.--The Chair and Vice Chair may be 
     elected from among the members of the Commission. The Vice 
     Chair shall assume the duties of the Chair in the Chair's 
     absence.
       (c) Meetings; Quorum; and Vacancies.--
       (1) Meetings.--The Commission shall meet at least once a 
     month on a day to be decided by the Commission. The 
     Commission may meet at such other times at the call of the 
     Chair or of a majority of its voting members. The meetings of 
     the Commission shall be open to the public, unless by public 
     vote, the Commission shall determine to close a meeting or 
     any portion of a meeting to the public.
       (2) Quorum.--A majority of the voting membership shall 
     constitute a quorum of the Commission, except that 3 or more 
     voting members may conduct hearings.
       (3) Vacancies.--A vacancy on the Commission shall be filled 
     in the same manner in which the original appointment was 
     filled under subsection (a).
       (d) Compensation and Expenses.--Members of the Commission 
     shall serve without pay for their service on the Commission, 
     but may receive travel expenses, including per diem in lieu 
     of subsistence, at rates authorized for employees of agencies 
     under subchapter I of chapter 57 of title 5, United States 
     Code.

     SEC. 404. STAFF AND SUPPORT SERVICES.

       (a) Staff.--With the advance approval of the Commission, 
     the executive director may appoint such personnel as is 
     appropriate. The staff of the Commission shall be appointed 
     without regard to political affiliation and without regard to 
     the provisions of title 5, United States Code, governing 
     appointments in the competitive service, and may be paid 
     without regard to the provisions of chapter 51 and subchapter 
     III of chapter 53 of such title relating to classifications 
     and General Schedule pay rates.
       (b) Executive Director.--The Chairman shall appoint an 
     executive director, who shall be paid the rate of basic pay 
     for level II of the Executive Schedule.
       (c) Experts and Consultants.--With the advance approval of 
     the Commission, the executive director may procure temporary 
     and intermittent services under section 3109(b) of title 5, 
     United States Code.
       (d) Technical and Administrative Assistance.--Upon the 
     request of the Commission--
       (1) the head of any agency, office, or establishment within 
     the executive or legislative branches of the United States 
     shall provide, without reimbursement, such technical 
     assistance as the Commission determines is necessary to carry 
     out its duties; and
       (2) the Administrator of the General Services 
     Administration shall provide, on a reimbursable basis, such 
     administrative support services as the Commission may 
     require.
       (e) Detail of Federal Personnel.--Upon the request of the 
     Commission, the head of an agency, office, or establishment 
     in the executive or legislative branch of the United States 
     is authorized to detail, without reimbursement, any of the 
     personnel of that agency, office, or establishment to the 
     Commission to assist the Commission in carrying out its 
     duties. Any such detail shall not interrupt or otherwise 
     affect the employment status or privileges of that employee.
       (f) CBO.--The Director of the Congressional Budget Office 
     shall provide the Commission with its latest research on the 
     accuracy of its past budget and economic projections as 
     compared to those of the Office of Management and Budget and, 
     if possible,

[[Page S4295]]

     those of private sector forecasters. The Commission shall 
     work with the Directors of the Congressional Budget Office 
     and the Office of Management and Budget in their efforts to 
     explain the factors affecting the accuracy of budget 
     projections.

     SEC. 405. REPORT.

       Not later than __________, the Commission shall transmit a 
     report to the President and to each House of Congress. The 
     report shall contain a detailed statement of the findings and 
     conclusions of the Commission, together with its 
     recommendations for such legislative or administrative 
     actions as it considers appropriate. No finding, conclusion, 
     or recommendation may be made by the Commission unless 
     approved by a majority of those voting, a quorum being 
     present. At the request of any Commission member, the report 
     shall include that member's dissenting findings, conclusions, 
     or recommendations.

     SEC. 406. TERMINATION.

       The Commission shall terminate 30 days after the date of 
     transmission of the report required in section 405.

     SEC. 407. FUNDING.

       There are authorized to be appropriated not more than 
     $1,000,000 to carry out this title. Sums so appropriated 
     shall remain available until expended.
                                 ______
                                 
      By Mr. HAGEL:
  S. 691. A bill to authorize the Secretary of Agriculture to enter 
into cooperative agreements and contracts with the Nebraska State 
Forester to carry out watershed restoration and protection activities 
on National Forest System land in the State of Nebraska; to the 
Committee on Energy and Natural Resources.
  Mr. HAGEL. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 691

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

     SECTION 1. WATERSHED RESTORATION AND PROTECTION ACTIVITIES IN 
                   THE STATE OF NEBRASKA.

       (a) Definitions.--In this section:
       (1) Secretary.--The term ``Secretary'' means the Secretary 
     of Agriculture.
       (2) State.--The term ``State'' means the State of Nebraska.
       (3) State forester.--The term ``State Forester'' means the 
     Nebraska State Forester.
       (b) Cooperative Agreements and Contracts.--
       (1) In general.--The Secretary may enter into a cooperative 
     agreement or contract, including a sole source contract, with 
     the State Forester, under which the State Forester may carry 
     out eligible watershed restoration and protection activities 
     on National Forest System land in the State if similar or 
     complementary activities are being carried out by the State 
     Forester on State or private land that is located within the 
     same watershed as the National Forest System land.
       (2) Eligible activities.--Watershed restoration and 
     protection activities that are eligible to be carried out by 
     the State Forester under paragraph (1) shall include--
       (A) treatment of insect-infected trees;
       (B) reduction of hazardous fuels; and
       (C) other activities to restore or improve watersheds 
     across ownership boundaries.
       (c) Agency Agreement.--Except as provided in subsection 
     (f), a cooperative agreement or contract under subsection 
     (b)(1) may authorize the State Forester to be an agent of the 
     Secretary for the purpose of carrying out the watershed 
     restoration or protection activities under the cooperative 
     agreement or contract.
       (d) Subcontracts Authorized.--In carrying out the watershed 
     restoration or protection activities under subsection (b), 
     the State Forester may enter into subcontracts in accordance 
     with applicable contract procedures of the State.
       (e) Timber Sales.--Subsections (d) and (g) of section 14 of 
     the National Forest Management Act of 1976 (16 U.S.C. 472a) 
     shall not apply to watershed restoration and protection 
     activities carried out by the State Forester under subsection 
     (b).
       (f) No Delegation of Duties Under NEPA.--With respect to 
     any watershed restoration or protection activity of the State 
     Forester carried out or proposed to be carried out under 
     subsection (b), the Secretary shall not delegate to the State 
     Forester or to any other employee of the State Forest Service 
     any of the duties of the Secretary under the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
       (g) Termination of Authority.--The authority of the 
     Secretary to enter into cooperative agreements or contracts 
     under this section terminates on September 30, 2006.

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