[Congressional Record Volume 149, Number 71 (Tuesday, May 13, 2003)]
[House]
[Pages H4013-H4015]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


[[Page H4013]]
                               AMENDMENTS

  Under clause 8 of rule XVIII, proposed amendments were submitted as 
follows:

                               H.R. 1000

                        Offered By: Mr. Sanders

       Amendment No. 1: Insert after section 216 the following new 
     sections (and conform the table of contents):

     SEC. 217. PROPER ADMINISTRATION OF INTERNAL REVENUE LAWS AND 
                   NONDISCRIMINATION REQUIREMENTS.

       (a) In General.--The Employee Retirement Income Security 
     Act of 1974, the Internal Revenue Code of 1986, and the Age 
     Discrimination in Employment Act of 1967 shall be applied and 
     administered without regard to proposed regulations of the 
     Secretary of the Treasury, included in proposed regulations 
     published in the Federal Register on December 11, 2002 
     (relating to reductions of accruals and allocations because 
     of the attainment of any age; application of 
     nondiscrimination cross-testing rules to cash balance plans) 
     (67 FR 76123), which pertain to plan amendments adopting a 
     cash balance formula, and without regard to any other 
     regulation which reaches the same or a similar result. The 
     Secretary of the Treasury shall take no action in 
     contravention of section 204(b)(1)(G), 204(b)(1)(H)(i), or 
     204(g) of the Employee Retirement Income Security Act of 
     1974, section 411(b)(1)(G), 411(b)(1)(H)(i), or 411(d)(6) of 
     the Internal Revenue Code of 1986, or section 4(i)(1)(A) of 
     the Age Discrimination in Employment Act of 1967.
       (b) Directive.--The Secretary of the Treasury shall apply 
     section 411(b)(1)(H) of the Internal Revenue Code of 1986 
     without regard to the portion of the preamble to Treasury 
     Decision 8360 (56 Fed. Reg. 47524-47603, September 19, 1991) 
     which relates to the allocation of interest adjustments 
     through normal retirement age under a cash balance plan, as 
     such preamble is and has been since its adoption without the 
     force of law.

     SEC. 218. PROTECTION OF PARTICIPANTS FROM CONVERSIONS TO 
                   HYBRID DEFINED BENEFIT PLANS.

       (a) Election To Maintain Rate of Accrual in Effect Before 
     Plan Amendment.--
       (1) Amendment to ERISA.--Section 204(b)(1) of the Employee 
     Retirement Income Security Act of 1974 (29 U.S.C. 1054(b)(1)) 
     is amended by adding at the end the following new 
     subparagraph:
       ``(I)(i) Notwithstanding the preceding subparagraphs, in 
     the case of a plan amendment to a defined benefit plan--
       ``(I) which has the effect of converting the plan to a plan 
     under which the accrued benefit is expressed to participants 
     and beneficiaries as an amount other than an annual benefit 
     commencing at normal retirement age (or which has a similar 
     effect as determined under regulations issued under clause 
     (iv)), and
       ``(II) which has the effect of reducing the rate of future 
     benefit accrual of 1 or more participants,

     such plan shall be treated as not satisfying the requirements 
     of this paragraph unless such plan meets the requirements of 
     clause (ii).
       ``(ii) A plan meets the requirements of this clause if the 
     plan provides each participant who has attained 40 years of 
     age or 10 years of service (as determined under section 203) 
     under the plan at the time such amendment takes effect with--
       ``(I) notice of the plan amendment indicating that it has 
     such effect, including a comparison of the present and 
     projected values of the accrued benefit determined both with 
     and without regard to the plan amendment, and
       ``(II) an election upon retirement to either receive 
     benefits under the terms of the plan as in effect at the time 
     of retirement or to receive benefits under the terms of the 
     plan as in effect immediately before the effective date of 
     such plan amendment (taking into account all benefit accruals 
     under such terms since such date).
       ``(iii) For purposes of clause (i), an accrued benefit 
     shall include any early retirement benefit or retirement-type 
     subsidy (within the meaning of subsection (g)(2)(A)), but 
     only with respect to a participant who satisfies (either 
     before or after the effective date of the amendment) the 
     conditions for the benefit or subsidy under the terms of the 
     plan as in effect immediately before such date.
       ``(iv) The Secretary shall issue regulations under which 
     any plan amendment which has an effect similar to the effect 
     described in clause (i)(I) shall be treated as a plan 
     amendment described in clause (i)(I). Such regulations may 
     provide that if a plan sponsor represents in communications 
     to participants and beneficiaries that a plan amendment has 
     an effect described in the preceding sentence, such plan 
     amendment shall be treated as a plan amendment described in 
     clause (i)(I).''.
       (2) Amendment to internal revenue code.--Section 411(b)(1) 
     of the Internal Revenue Code of 1986 (relating to accrued 
     benefit requirements for defined benefit plans) is amended by 
     adding at the end the following new subparagraph:
       ``(I) Election to maintain rate of accrual in effect before 
     certain plan amendments.--
       ``(i) In general.--Notwithstanding the preceding 
     subparagraphs, in the case of a plan amendment to a defined 
     benefit plan--

       ``(I) which has the effect of converting the plan to a plan 
     under which the accrued benefit is expressed to participants 
     and beneficiaries as an amount other than an annual benefit 
     commencing at normal retirement age (or which has a similar 
     effect as determined under regulations issued under clause 
     (iv)), and
       ``(II) which has the effect of reducing the rate of future 
     benefit accrual of 1 or more participants,

     such plan shall be treated as not satisfying the requirements 
     of this paragraph unless such plan meets the requirements of 
     clause (ii).
       ``(ii) Requirements.--A plan meets the requirements of this 
     clause if the plan provides each participant who has attained 
     40 years of age or 10 years of service (as determined under 
     subsection (a)) under the plan at the time such amendment 
     takes effect with--

       ``(I) notice of the plan amendment indicating that it has 
     such effect, including a comparison of the present and 
     projected values of the accrued benefit determined both with 
     and without regard to the plan amendment, and
       ``(II) an election upon retirement to either receive 
     benefits under the terms of the plan as in effect at the time 
     of retirement or to receive benefits under the terms of the 
     plan as in effect immediately before the effective date of 
     such plan amendment (taking into account all benefit accruals 
     under such terms since such date).

       ``(iii) Treatment of early retirement benefits and 
     retirement-type subsidies.--For purposes of clause (i), an 
     accrued benefit shall include any early retirement benefit or 
     retirement-type subsidy (within the meaning of subsection 
     (d)(6)(B)(i)), but only with respect to a participant who 
     satisfies (either before or after the effective date of the 
     amendment) the conditions for the benefit or subsidy under 
     the terms of the plan as in effect immediately before such 
     date.
       ``(iv) Regulations.--The Secretary shall issue regulations 
     under which any plan amendment which has an effect similar to 
     the effect described in clause (i)(I) shall be treated as a 
     plan amendment described in clause (i)(I). Such regulations 
     may provide that if a plan sponsor represents in 
     communications to participants and beneficiaries that a plan 
     amendment has an effect described in the preceding sentence, 
     such plan amendment shall be treated as a plan amendment 
     described in clause (i)(I).''.
       (b) Effective Date and Related Rules.--
       (1) In general.--The amendments made by this section apply 
     to plan amendments taking effect before, on, or after the 
     date of the enactment of this Act.
       (2) Special rule.--In the case of a plan amendment taking 
     effect before 90 days after the date of the enactment of this 
     Act, the requirements of section 204(b)(1)(I) of the Employee 
     Retirement Income Security Act of 1974 (as added by this 
     section) and section 411(b)(1)(I) of the Internal Revenue 
     Code of 1986 (as added by this section) shall be treated as 
     satisfied in connection with such plan amendment, in the case 
     of any participant described in such sections 204(b)(1)(I) 
     and 411(b)(1)(I) in connection with such plan amendment, if, 
     as of the end of such 90-day period--
       (A) the notice described in clause (i)(I) of such section 
     204(b)(1)(I) and clause (i)(I) of such section 411(b)(1)(I) 
     in connection with such plan amendment has been provided to 
     such participant, and
       (B) the plan provides for the election described in clause 
     (i)(II) of such section 204(b)(1)(I) and clause (i)(II) of 
     such section 411(b)(1)(I) in connection with such 
     participant's retirement under the plan.

     SEC. 219. PREVENTION OF WEARING AWAY OF EMPLOYEE'S ACCRUED 
                   BENEFIT.

       (a) Amendment to ERISA.--Section 204(g) of the Employee 
     Retirement Income Security Act of 1974 (29 U.S.C. 1054(g)) is 
     amended by adding at the end the following new paragraph:
       ``(6)(A) For purposes of paragraph (1), an applicable plan 
     amendment adopted by a large defined benefit plan shall be 
     treated as reducing accrued benefits of a participant if, 
     under the terms of the plan after the adoption of the 
     amendment, the accrued benefit of the participant may at any 
     time be less than the sum of--
       ``(i) the participant's accrued benefit for years of 
     service before the effective date of the amendment, 
     determined under the terms of the plan as in effect 
     immediately before the effective date, plus
       ``(ii) the participant's accrued benefit determined under 
     the formula applicable to benefit accruals under the current 
     plan as applied to years of service after such effective 
     date.
       ``(B) For purposes of this paragraph--
       ``(i) The term `applicable plan amendment' means a plan 
     amendment which has the effect of converting the plan to a 
     plan under which the accrued benefit is expressed to 
     participants and beneficiaries as an amount other than an 
     annual benefit commencing at normal retirement age (or which 
     has a similar effect as determined under regulations of the 
     Secretary).
       ``(ii) The term `large defined benefit plan' means any 
     defined benefit plan which had 100 or more participants who 
     had accrued a benefit under the plan (whether or not vested) 
     as of the last day of the plan year preceding the plan year 
     in which the plan amendment becomes effective.
       ``(iii) An accrued benefit shall include any early 
     retirement benefit or retirement-type subsidy (within the 
     meaning of paragraph

[[Page H4014]]

     (2)(A)), but only with respect to a participant who satisfies 
     (either before or after the effective date of the amendment) 
     the conditions for the benefit or subsidy under the terms of 
     the plan as in effect immediately before such date.''.
       (b) Amendment to Internal Revenue Code.--Section 411(d)(6) 
     of the Internal Revenue Code of 1986 (relating to accrued 
     benefit may not be decreased by amendment) is amended by 
     adding at the end the following new subparagraph:
       ``(F) Treatment of plan amendments wearing away accrued 
     benefit.--
       ``(i) In general.--For purposes of subparagraph (A), an 
     applicable plan amendment adopted by a large defined benefit 
     plan shall be treated as reducing accrued benefits of a 
     participant if, under the terms of the plan after the 
     adoption of the amendment, the accrued benefit of the 
     participant may at any time be less than the sum of--

       ``(I) the participant's accrued benefit for years of 
     service before the effective date of the amendment, 
     determined under the terms of the plan as in effect 
     immediately before the effective date, plus
       ``(II) the participant's accrued benefit determined under 
     the formula applicable to benefit accruals under the current 
     plan as applied to years of service after such effective 
     date.

       ``(ii) Definitions.--For purposes of this subparagraph--

       ``(I) Applicable plan amendment.--The term `applicable plan 
     amendment' means a plan amendment which has the effect of 
     converting the plan to a plan under which the accrued benefit 
     is expressed to participants and beneficiaries as an amount 
     other than an annual benefit commencing at normal retirement 
     age (or which has a similar effect as determined under 
     regulations of the Secretary).
       ``(II) Large defined benefit plan.--The term `large defined 
     benefit plan' means any defined benefit plan which had 100 or 
     more participants who had accrued a benefit under the plan 
     (whether or not vested) as of the last day of the plan year 
     preceding the plan year in which the plan amendment becomes 
     effective.
       ``(III) Protected accrued benefit.--An accrued benefit 
     shall include any early retirement benefit or retirement-type 
     subsidy (within the meaning of subparagraph (B)(i)), but only 
     with respect to a participant who satisfies (either before or 
     after the effective date of the amendment) the conditions for 
     the benefit or subsidy under the terms of the plan as in 
     effect immediately before such date.''.

       (c) Effective Date and Related Rules.--
       (1) In general.--Except as provided in paragraph (2), the 
     amendments made by this section apply to plan amendments 
     taking effect before, on, or after the date of the enactment 
     of this Act.
       (2) Special rule.--Notwithstanding paragraph (1), the 
     amendments made by this section shall not apply in connection 
     with any participant with respect to any plan amendment which 
     has taken effect before 90 days after the date of the 
     enactment of this Act if, as of the end of such 90-day 
     period, the plan provides that the participant's accrued 
     benefit shall at no time be less than the sum described in 
     section 204(g)(6)(A) of the Employee Retirement Income 
     Security Act of 1974 (as added by this section) or section 
     411(d)(6)(F)(i) of the Internal Revenue Code of 1986 (as 
     added by this section) in connection with such plan 
     amendment.

                               H.R. 1000

                        Offered By: Mr. Sanders

       Amendment No. 2: Insert after section 216 the following new 
     section (and conform the table of contents):

     SEC. 217. CONVERSON OF RETIREMENT PLANS APPLICABLE TO MEMBERS 
                   OF CONGRESS TO CASH BALANCE PLANS UPON FINAL 
                   ISSUANCE OF CERTAIN REGULATIONS RELATING TO 
                   CASH BALANCE PLANS.

       (a) Recommendations by Office of Personnel Management 
     Providing for Conversion of Retirement Plans for Members of 
     Congress to Cash Balance Plans.--Not later than 30 days after 
     the date of the enactment of this Act, the Director of the 
     Office of Personnel Management shall transmit to each House 
     of the Congress draft legislative language and related 
     regulations necessary to provide for conversion of the 
     defined benefit portions of the retirement plans applicable 
     to Members of Congress under chapters 83 and 84 of title 5, 
     United States Code, to cash balance plans.
       (b) Enactment of Recommendations upon Issuance of Final 
     Regulations on Cash Balance Plans.--Effective on the later 
     of--
       (1) the date of the issuance by the Secretary of the 
     Treasury in final form of proposed regulations published in 
     the Federal Register on December 11, 2002 (relating to 
     reductions of accruals and allocations because of the 
     attainment of any age; application of nondiscrimination 
     cross-testing rules to cash balance plans) (67 FR 76123), 
     which pertain to plan amendments adopting a cash balance 
     formula, or any other regulation which reaches the same or a 
     similar result, or
       (2) 30 days after the date of the enactment of this Act,

     the draft legislative language transmitted pursuant to 
     subsection (a) shall take effect as positive law, and the 
     related regulations transmitted pursuant to subsection (a) 
     shall take effect as final regulations thereunder.
       (c) Cash Balance Plan.--For purposes of this section, the 
     term ``cash balance plan'' means a plan under which--
       (1) the normal form of benefit is an immediate payment of 
     the balance in a hypothetical account (without regard to 
     whether such an immediate payment is actually made 
     available), and
       (2) the employer regularly credits the employer 
     contributions as a percentage of pay, plus interest at a 
     specified rate, into such hypothetical account which is 
     nevertheless commingled with the hypothetical accounts for 
     all participants and remains subject to investment decisions 
     made solely by the employer.

                               H.R. 1527

                    Offered By Mr. Udall of Colorado

       Amendment No. 1: Page 2, after line 3, insert the 
     following:

             TITLE I--NATIONAL TRANSPORTATION SAFETY BOARD

       Page 2, line 4, strike ``2'' and insert ``101''.
       Page 3, line 3, strike ``3'' and insert ``102''.
       Page 3, line 20, strike ``4'' and insert ``103''.
       Page 5, line 6, strike ``5'' and insert ``104''.
       Page 6, line 13, strike ``6'' and insert ``105''.
       Page 6, after line 16, add the following:

         TITLE II--APPLICABILITY OF SCHOOL BUS SAFETY STANDARDS

     SEC. 201. PROHIBITION ON PURCHASE, RENTAL, OR LEASE OF 
                   NONCOMPLYING 15-PASSENGER VANS FOR USE AS 
                   SCHOOLBUSES.

       (a) Prohibition.--Section 30112(a) of title 49, United 
     States Code, is amended--
       (1) by inserting ``(1)'' before ``Except as provided in 
     this section''; and
       (2) by adding at the end the following:
       ``(2) Except as provided in this section, sections 30113 
     and 30114 of this title, and subchapter III of this chapter, 
     a person may not purchase, rent, or lease any motor vehicle 
     designed or used to transport 9 to 15 passengers that the 
     person knows or reasonably should know will be used 
     significantly to transport children from child care and 
     preprimary, primary, and secondary school students to or from 
     child care facilities, school, or an event related to school, 
     unless the motor vehicle complies with the motor vehicle 
     standards prescribed for schoolbuses under section 30125 of 
     this title.''.
       (b) Limitation on Application.--Subsection (a) shall not 
     apply to any purchase, rental, or lease of a motor vehicle 
     required under a contract entered into before the date of 
     enactment of this Act.

     SEC. 202. PENALTY.

       Section 30165(a)(1) of title 49, United States Code, is 
     amended--
       (1) by striking ``A'' before ``person'' and inserting ``(A) 
     Except as provided in subparagraph (B) of this paragraph, 
     a''; and
       (2) by adding at the end the following:
       ``(B) The maximum amount of a civil penalty under this 
     paragraph shall be $25,000, in the case of--
       ``(i) the manufacture, sale, offer for sale, introduction 
     or delivery for introduction into interstate commerce, or 
     importation of a schoolbus or schoolbus equipment (as those 
     terms are defined in section 30125(a) of this title) in 
     violation of section 30112(a)(1) of this title; or
       ``(ii) a violation of section 30112(a)(2) of this title.
       ``(C) Subparagraph (B) does not affect the maximum penalty 
     that may be imposed under subparagraph (A) for a related 
     series of violations.
       ``(D) Notwithstanding section 3302(b) of title 31, 
     penalties collected under subparagraph (B)--
       ``(i) shall be credited as offsetting collections to the 
     account that funds the enforcement of subparagraph (B);
       ``(ii) shall be available for expenditure only to pay the 
     costs of such enforcement; and
       ``(iii) shall remain available until expended.''.

                               H.R. 1527

                    Offered By Mr. Udall of Colorado

       Amendment No. 2: Page 2, after line 3, insert the 
     following:

             TITLE I--NATIONAL TRANSPORTATION SAFETY BOARD

       Page 2, line 4, strike ``2'' and insert ``101''.
       Page 3, line 3, strike ``3'' and insert ``102''.
       Page 3, line 20, strike ``4'' and insert ``103''.
       Page 5, line 6, strike ``5'' and insert ``104''.
       Page 6, line 13, strike ``6'' and insert ``105''.

       Page 6, after line 16, add the following:

                     TITLE II--ENHANCED VAN SAFETY

     SEC. 201. DYNAMIC ROLLOVER TESTING PROGRAM.

       (a) Requirement for Rollover Testing.--Not later than 2 
     years after the date of enactment of this Act, the Secretary 
     of Transportation, under section 30117(c) of title 49, United 
     States Code, shall--
       (1) develop a dynamic test on rollovers by 15-passenger 
     vans for the purposes of a consumer information program; and
       (2) carry out a program of conducting such tests.
       (b) Amendment.--Section 30117(c) of title 49, United States 
     Code, is amended--
       (1) in paragraph (1) by striking ``Not later than 2 years 
     from the date of the enactment of this subsection,''; and
       (2) in paragraph (3) by inserting after ``or less'' the 
     following: ``, and to vans designed or used to carry 9 to 15 
     passengers, including the driver, irrespective of gross 
     vehicle weight rating''.

     SEC. 202. NEW CAR ASSESSMENT PROGRAM.

       The Secretary of Transportation shall require the testing 
     of 15-passenger vans at various load condition levels as part 
     of the rollover resistance program of the National

[[Page H4015]]

     Highway Traffic Safety Administration's new car assessment 
     program.

     SEC. 203. TESTING AND EVALUATION OF VAN STABILITY 
                   TECHNOLOGICAL SYSTEMS.

       (a) Requirement for Testing and Evaluation.--The Secretary 
     of Transportation shall test and evaluate various 
     technological systems to determine the effectiveness of such 
     systems in assisting drivers of 15-passenger vans to control 
     the vans under conditions that cause vehicle rollover.
       (b) Systems Tested.--The technological systems tested and 
     evaluated under this section shall include electronic 
     stability control systems, rear-view mirror-based rollover 
     warning systems, traction systems, lane departure systems, 
     and antilock brakes.
       (c) Consultation.--The Secretary of Transportation shall 
     consult with manufacturers of 15-passenger vans in the 
     testing and evaluation of technological systems under this 
     section.

     SEC. 204. APPLICATION OF FEDERAL MOTOR CARRIER SAFETY 
                   ADMINISTRATION REGULATIONS.

       Not later than 180 days after the date of enactment of this 
     Act, the Secretary of Transportation shall issue a final rule 
     initiated pursuant to the proposed rulemaking published in 
     the Federal Register on January 11, 2001, Docket No. FMCSA-
     2000-7017, relating to the application of Federal motor 
     carrier safety regulations to the commercial operation of 15-
     passenger vans.

     SEC. 205. DEFINITION.

       In this title, the term ``15-passenger van'' means a van 
     designed or used to carry 9 to 15 passengers, including the 
     driver.

     SEC. 206. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated such sums as may be 
     necessary to carry out the provisions of this title.

                               H.R. 1527

                   Offered by: Mr. Udall of Colorado

       Amendment No. 3: Page 2, after line 3, insert the 
     following:

             TITLE I--NATIONAL TRANSPORTATION SAFETY BOARD

       Page 2, line 4, strike ``2'' and insert ``101''.
       Page 3, line 3, strike ``3'' and insert ``102''.
       Page 3, line 20, strike ``4'' and insert ``103''.
       Page 5, line 6, strike ``5'' and insert ``104''.
       Page 6, line 13, strike ``6'' and insert ``105''.

       Page 6, after line 16, add the following:

                     TITLE II--ENHANCED VAN SAFETY

     SEC. 201. DYNAMIC ROLLOVER TESTING PROGRAM.

       (a) Requirement for Rollover Testing.--Not later than 2 
     years after the date of enactment of this Act, the Secretary 
     of Transportation, under section 30117(c) of title 49, United 
     States Code, shall--
       (1) develop a dynamic test on rollovers by 15-passenger 
     vans for the purposes of a consumer information program; and
       (2) carry out a program of conducting such tests.
       (b) Amendment.--Section 30117(c) of title 49, United States 
     Code, is amended--
       (1) in paragraph (1) by striking ``Not later than 2 years 
     from the date of the enactment of this subsection,''; and
       (2) in paragraph (3) by inserting after ``or less'' the 
     following: ``, and to vans designed or used to carry 9 to 15 
     passengers, including the driver, irrespective of gross 
     vehicle weight rating''.

     SEC. 202. NEW CAR ASSESSMENT PROGRAM.

       The Secretary of Transportation shall require the testing 
     of 15-passenger vans at various load condition levels as part 
     of the rollover resistance program of the National Highway 
     Traffic Safety Administration's new car assessment program.

     SEC. 203. TESTING AND EVALUATION OF VAN STABILITY 
                   TECHNOLOGICAL SYSTEMS.

       (a) Requirement for Testing and Evaluation.--The Secretary 
     of Transportation shall test and evaluate various 
     technological systems to determine the effectiveness of such 
     systems in assisting drivers of 15-passenger vans to control 
     the vans under conditions that cause vehicle rollover.
       (b) Systems Tested.--The technological systems tested and 
     evaluated under this section shall include electronic 
     stability control systems, rear-view mirror-based rollover 
     warning systems, traction systems, lane departure systems, 
     and antilock brakes.
       (c) Consultation.--The Secretary of Transportation shall 
     consult with manufacturers of 15-passenger vans in the 
     testing and evaluation of technological systems under this 
     section.

     SEC. 204. APPLICATION OF FEDERAL MOTOR CARRIER SAFETY 
                   ADMINISTRATION REGULATIONS.

       Not later than 180 days after the date of enactment of this 
     Act, the Secretary of Transportation shall issue a final rule 
     initiated pursuant to the proposed rulemaking published in 
     the Federal Register on January 11, 2001, Docket No. FMCSA-
     2000-7017, relating to the application of Federal motor 
     carrier safety regulations to the commercial operation of 15-
     passenger vans.

     SEC. 205. DEFINITION.

       In this title, the term ``15-passenger van'' means a van 
     designed or used to carry 9 to 15 passengers, including the 
     driver.

     SEC. 206. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated such sums as may be 
     necessary to carry out the provisions of this title.

        TITLE III--APPLICABILITY OF SCHOOL BUS SAFETY STANDARDS

     SEC. 301. PROHIBITION ON PURCHASE, RENTAL, OR LEASE OF 
                   NONCOMPLYING 15-PASSENGER VANS FOR USE AS 
                   SCHOOLBUSES.

       (a) Prohibition.--Section 30112(a) of title 49, United 
     States Code, is amended--
       (1) by inserting ``(1)'' before ``Except as provided in 
     this section''; and
       (2) by adding at the end the following:
       ``(2) Except as provided in this section, sections 30113 
     and 30114 of this title, and subchapter III of this chapter, 
     a person may not purchase, rent, or lease any motor vehicle 
     designed or used to transport 9 to 15 passengers that the 
     person knows or reasonably should know will be used 
     significantly to transport children from child care and 
     preprimary, primary, and secondary school students to or from 
     a child care facility, school, or an event related to school, 
     unless the motor vehicle complies with the motor vehicle 
     standards prescribed for schoolbuses under section 30125 of 
     this title.''.
       (b) Limitation on Application.--Subsection (a) shall not 
     apply to any purchase, rental, or lease of a motor vehicle 
     required under a contract entered into before the date of 
     enactment of this Act.

     SEC. 302. PENALTY.

       Section 30165(a)(1) of title 49, United States Code, is 
     amended--
       (1) by striking ``A'' before ``person'' and inserting ``(A) 
     Except as provided in subparagraph (B) of this paragraph, 
     a''; and
       (2) by adding at the end the following:
       ``(B) The maximum amount of a civil penalty under this 
     paragraph shall be $25,000, in the case of--
       ``(i) the manufacture, sale, offer for sale, introduction 
     or delivery for introduction into interstate commerce, or 
     importation of a schoolbus or schoolbus equipment (as those 
     terms are defined in section 30125(a) of this title) in 
     violation of section 30112(a)(1) of this title; or
       ``(ii) a violation of section 30112(a)(2) of this title.
       ``(C) Subparagraph (B) does not affect the maximum penalty 
     that may be imposed under subparagraph (A) for a related 
     series of violations.
       ``(D) Notwithstanding section 3302(b) of title 31, 
     penalties collected under subparagraph (B)--
       ``(i) shall be credited as offsetting collections to the 
     account that funds the enforcement of subparagraph (B);
       ``(ii) shall be available for expenditure only to pay the 
     costs of such enforcement; and
       ``(iii) shall remain available until expended.''.