Congressional Record, Volume 150 Issue 97 (Wednesday, July 14, 2004)

[Congressional Record Volume 150, Number 97 (Wednesday, July 14, 2004)]
[Senate]
[Pages S8119-S8137]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS
By Mr. DURBIN (for himself, Mr. Dayton, and Mr. Levin):

S. 2652. A bill to amend title XVIII of the Social Security Act to
deliver a meaningful benefit and lower prescription drug prices under
the medicare program; read the first time.
Mr. DURBIN. Mr. President, those who are following the business of
the Senate understand that just a few moments ago, we had a vote on the
floor of the Senate on the proposed constitutional amendment dealing
with same-sex marriage. The final vote, I think, was indicative of the
feeling of this body. There were 48 who supported going forward with
the debate on this amendment and 50 Senators who opposed it. Of course,
48 Senators does not meet the threshold requirement for approving a
constitutional amendment, which is 67 Senators. So that gap of 19
Senators suggests this Senate does not believe it is appropriate for us
to move forward on that type of constitutional amendment.
Many of the colleagues on both sides of the aisle spoke to this issue
over the last several days and expressed their heartfelt feelings of
the underlying issue of same-sex marriage and about the question of
whether we should amend the Constitution. The vote today is, I think, a
good indication that this is an issue whose time has not come. There is
no issue in controversy which requires us to amend the Constitution of
the United States of America.
One might ask, if this issue fell so far short, 19 votes short, of
what it needed, why did we consider it? For obvious reasons. This
debate was not about changing the Constitution. This debate was about
changing the subject in the Presidential campaign.
It is understood that if you ask most American families what is
important to them the politicians are worried about, they will talk
about the obvious things: My job, the fact that my paycheck does not
cover the necessities of my family, the cost of health insurance, the
availability of quality health care, whether my retirement savings are
going to be protected; I am concerned as well about the situation in
Iraq; I would like to know when we will stop losing our soldiers, and
what do we have ahead of us in terms of Iraq and the $1.5 billion which
American

[[Page S8120]]

taxpayers spend each week in Iraq, how long will that go on? What could
we do with $1.5 billion every week in the United States of America for
our schools, for providing health care for our children, immunizations.
These are the obvious questions with which most families identify.
But if the Presidential election campaign is waged on those issues, the
White House and the Republican Party believe they are at a disadvantage
because many people, in fact, an amazingly large percentage of
Americans, say when asked, they feel our country is going in the wrong
direction in terms of its economics to help working families, in terms
of creating jobs, keeping good-paying jobs in America, dealing with the
fact we still continue to be dependent on the Middle East and Saudi
Arabia for our oil which draws us into a terrible situation of
dependency, a terrible situation which taxes our resources.
That is what most Americans will identify as the major issues, and
those are not issues on which this administration wants to campaign. So
they attempted today to change the subject. They wanted to change the
subject by changing the Constitution to deal with same-sex marriages,
an issue which has not reached a level where it should even be
addressed by our Constitution.
I will not go over that whole debate again, but the vote tells the
story. The Republican Party in the majority in the Senate was unable to
get a majority of votes to support the President's constitutional
amendment. The rollcall tells the story. But there are other issues
which, frankly, we should now move to, issues about which families
across America do care.

I know as I travel around my State of Illinois and talk with
families, businesses, labor union leaders, time and again the issue on
their minds is the cost of health care in America.
I met 2 days ago in Chicago with a good friend of mine who heads up
one of the major labor unions. It is a labor union which represents
people who work at grocery stores, United Food and Commercial Workers.
I talked with him about his problems.
He said: Senator, virtually every strike we have, virtually every
contract negotiation is over the cost of health insurance. We get our
workers 50 cents more an hour, and they don't see a penny of it. It all
goes into health insurance, and there is less coverage this year than
last year. They are upset with their labor leaders and upset with their
employers.
Then you talk with businesspeople, businesses small and large, and I
hear the same story, businesses which say: We are mom and pop, and we
can no longer afford health insurance for the people who work for us;
it is just too expensive.
There is another element in this whole equation which we cannot
overlook, and that is the cost of prescription drugs. The cost of
prescription drugs is not only driving the cost of health insurance to
record levels, but it is also pushing a lot of people of limited family
means into terrible choices: whether they can afford to buy the
prescription drugs that will keep them healthy and, if they do, whether
they will have to sacrifice the necessities of life. That is a real
issue. That is an issue this campaign ought to be about. Would it not
be refreshing if the debate of the week was not over same-sex marriage
and its impact on families but the cost of health care and the cost of
prescription drugs and their impact on families? I think that is what
the voters are waiting for.
If they have any frustration with those of us in public office, it is
the fact we talk past them, over them, and around them and never direct
to the issues about which they care.
Today I am joining Senator Levin of Michigan and Senator Dayton of
Minnesota in introducing S. 2652.
We are going to work to put this bill on the Senate calendar under
rule XIV so that Senator Frist can call it up for debate. In other
words, what I am trying to do is to accelerate consideration of this
bill to blow past all the political issues and the political rhetoric
to get into this legislation. The Democratic leader in the other body
is working to discharge a companion bill so they can consider it in an
expedited manner.
This bill is called the Medicare Prescription Drug Savings Act. We
need to expedite this bill. We need to put it on the calendar. We need
to stop wasting time on issues going nowhere because seniors and low-
income individuals are facing escalating prescription drug prices that
are really hurting them personally and diminishing their Medicare drug
benefits. Instead of considering bills that do not have the votes to
pass, like the one we just finished, we should consider something that
is an urgent priority for Americans. Whether one lives in a blue State,
a red State, or a purple State, whether one is in a battleground State
or it is a State that is decided, they are going to find seniors
concerned about the cost of prescription drugs. This is an issue that
is bipartisan. It is an issue that affects virtually every family. Over
the past 5 years, prescription drug prices have risen between 14 and 19
percent every single year, 5 times the rate of inflation.
One particularly egregious example of drug price inflation in the
United States is Novir, an essential ingredient in the HIV cocktail to
deal with the HIV/AIDS crisis. The price of an average dose of Novir
went up 400 percent this year from $1,600 a year to more than $7,800.
That is more than 10 times the cost of the same drug in Canada or in
Europe. Americans are paying 10 times the cost of Novir for HIV
patients in the United States as the price that is being paid in Canada
and Europe.
Last month, the AARP released a study examining prescription drug
prices for the 12-month period ending in March 2004. The study revealed
that the prices charged by pharmaceutical companies to wholesalers for
the top brand-name drugs used by seniors increased at a rate of 7.2
percent. That is faster than the 2 previous years, which is troubling
given that inflation actually fell during that same period of time.
Drug discount cards have been suggested as the answer for this
problem, but they are not. A fact sheet sent out by the Department of
Health and Human Services to 40 million Medicare beneficiaries said
that a discount card with Medicare's seal of approval can help save 10
to 25 percent on prescription drugs.
Now, this is the administration plan, a discount card under Medicare
for prescription drugs that could save 10 to 25 percent. Well, after
the same Department published the drug card prices in May, the Chicago
Tribune newspaper looked at what these cards would mean in a suburb of
Chicago, the city of Evanston. The Tribune compared the prices at
pharmacies in Evanston with what seniors will save with drug discount
cards. Take a look at it.
In some cases, the people in Evanston, IL, will actually save less
without the card. The drug Lipitor, with the discount card, is $67.07.
The lowest retail price, $68.99. Savings, $1.92, or 3-percent savings.
Celebrex, 2 percent. Norvasc, in fact, costs more under the discounted
card. So this so-called discount card seems to be of little value with
drugs that are very popular and well used and prescribed to, such as
Lipitor, Celebrex, and Norvasc.

The lack of significant savings from the discount cards that are
being touted by the administration is not unique to Illinois or the
city of Evanston. Since President Bush announced the idea of a drug
discount card in July of 2001, top selling prescription drugs have
experienced double-digit increases, eroding any savings that might come
from the card.
Remember when the Bush administration said their discount cards would
save seniors 10 to 25 percent? Well, price increases are eroding
savings. Take a look at what happened to these drugs: Celebrex for
arthritis pain went up 23 percent; Coumadin, a blood thinner, 22
percent; Lipitor, 19 percent; Zoloft, 19 percent; Zyprexa, 16 percent;
Prevacid, 15 percent; and Zocor, 15 percent.
The prescription drug discount card is not even really keeping up
with the inflation built into prescription drug prices.
Some of my colleagues may say it is not important that the drug card
is not producing much savings because the real benefit will start in
January of 2006. Unfortunately, rising drug prices will erode that
benefit, too.
I will tell my colleagues about one of my constituents. Alois Kessler
of Skokie, IL, has $3,200 in drug costs, and his income, which is
fixed, is $28,500. Assuming prescription drug prices continue to rise
as we have seen them rise

[[Page S8121]]

and Mr. Kessler stays with the same medication he is currently taking,
his drug costs will be approximately $4,800 by 2006, the first year of
the new Part D benefit. His income will rise about 3 percent a year. So
he will have drug prices at $4,800 and an income of $31,000 a year.
The new program reduces his cost by $1,080 in the first year, so he
will still have to pay out-of-pocket $2,120. By 2015, assuming he is
still taking the same medication, his drug costs will reach $17,000,
and his income will only have risen to around $40,400. One just cannot
keep up with an inflation protection in their Medicare or retirement
income against drug price increases of this kind.
What can we do about it? What we can do about it is something this
bill proposes, and it is something very basic. There is a lot of talk
in Congress today about bringing drugs in from Canada and other places.
I am open to that conversation, anything to provide relief to seniors
and people on limited incomes trying to buy lifesaving drugs.
Look to the north. Canada selling American drugs made in America,
inspected in America, approved in America, with research in America,
for sale in Canada turn out to be a fraction of the cost of what they
are in the United States. With just 2 percent of the worldwide
pharmaceutical market, Canada cannot supply the United States no matter
how many busloads of seniors we send there.
The United States has 53 percent of the worldwide prescription drug
market. Half of it is made up of Medicare beneficiaries. Think about
this for a moment. If Medicare, the program that covers seniors, were
to sit down with major pharmaceutical companies and bargain for the
prices of the drugs, think about their bargaining power. They have the
ability to bring prices down for Americans for drugs sold in America
rather than reimported in the United States.
The prescription drug benefit bill we passed expressly prohibits
Medicare from negotiating for lower prices. That is something the
pharmaceutical companies wanted, and they won. They won it at the
expense of American consumers.
Today, the Veterans' Administration and the Department of Defense
negotiate for VA drug prices and cut down the cost of drugs by almost
50 percent. Take a look at some of these popular drugs and the
difference between what is paid in the drugstores of America and what
the Federal Government pays for the same drug: Xalatan eyedrops, $41
under the negotiated price of the VA, and $101 is what is paid in the
drugstore; Celebrex, the drug we talked about earlier for arthritis,
$108 on the Federal Supply Schedule and $173 at the drugstore; Lipitor
for cholesterol, $215 in the Federal system, $446 over the counter;
Plavix, $257 negotiated, and over-the-counter, $593.
Once you put the bargaining power of the Federal Government behind
price negotiations, the prices come down. People can afford the drugs.
Families can afford them. The cost of health insurance comes down, but
the profits for the drug companies come down, too. That is why this
Congress, under the thrall of that special interest group, has refused
to give Medicare the power to negotiate.
I will give one specific example we have lived through on Capitol
Hill. Many people rail about what happened with the anthrax scare a few
years ago. There was a suggestion that the drug Cipro would be used as
an antidote to any ill-effects caused by anthrax. We found out Cipro
was an expensive drug, and Secretary Tommy Thompson said he would
negotiate with the Bayer Company, the company that makes Cipro, to
lower prices.

Look what happened when Secretary Thompson tried to do that. He said:

Everyone said I wouldn't be able to reduce the price of
Cipro. I am a tough negotiator.

What was the market price when he went into it? It was $4.67 per pill
for Cipro. When it was all said and done, we were paying 75 cents. When
someone sits down with the drug companies and says, You are
overcharging us, we won't pay it, look what happens. Yet when the
seniors of America look for the same kind of hard-nosed negotiating to
bring down costs for them, this Congress says no; we don't want to give
Medicare the ability to negotiate to do the same thing Secretary
Thompson achieved when it came to these Cipro tablets. Through
negotiation, Secretary Thompson brought down the price of Cipro by 490
percent. Good news for the people who needed Cipro; bad news for the
people who need Medicare. But we can't even ask him to stand up for
senior citizens in America. Out of the question. Drug companies don't
want to lose their profitability.
Incidentally, they are very profitable. Let me show you some charts.
This indicates the profitability of Fortune 500 drug companies versus
the profits for all Fortune 500 companies in the year 2002. Look at
what drug companies on the red bars have done on profitability: 17
percent as opposed to 3.1 percent; in this chart, 27.6 percent to 10.2
percent. They are making money hand over fist. They are charging
seniors and families across America record high prices for drugs. They
are increasing the cost of those drugs every single year and passing
them along directly, raising health insurance costs, making it more
difficult for seniors to keep up with the drugs they need to stay
healthy.
I think the bill I have introduced with Senators Levin and Dayton
answers the need. I believe the bill which we will attempt to put on
the Senate calendar today, so we can vote it before we leave for
anybody's convention, is going to go a long way toward helping
America's seniors. The Medicare Prescription Drug Savings Act instructs
the Secretary of Health and Human Services to offer a nationwide
Medicare-delivered prescription drug benefit in addition to the PDP and
PPO plans available in the 10 regions. We keep in place what is in the
Medicare bill passed last year, we just add a new player. The new
player is Medicare providing prescription drugs with negotiated prices.
We set a uniform national premium of $35 for the first year for this
prescription drug benefit, and we negotiate group purchasing agreements
on behalf of beneficiaries who choose to receive their drugs through
the Medicare-administered benefit. It is voluntary. Those who choose to
receive their drugs will have negotiated lower prices. Those who enroll
can stay enrolled as long as they want.
Not only will this bill provide seniors with lower cost drugs, it
will give them a choice to enroll in a Medicare-delivered plan, cutting
down on the confusion the privately delivered system has already
created. Critics and the pharmaceutical industry would say my bill is
about price controls and big government. How do you explain the
Veterans' Administration? Aren't we saying for our veterans we want to
bring down the cost of pharmaceutical drugs? Have you spoken to a
veteran lately who has gone to the VA hospital to sign up for the
monthly drug benefit because it is so attractive for him and his
family? That tells me government can play an important role and have a
voice in buying in bulk and bringing down costs.

Who supports this bill we are trying to bring to the calendar? The
Alliance for Retired Americans, AFL-CIO, American Nurses Association,
Campaign for America's Future, USAction, Consumers Union, the Service
Employees International Union, AFSCME, the American Federation of
Teachers, Families USA, the Center for Medicare Advocacy, and the
National Committee to Preserve Social Security and Medicare.
If you don't think this is a timely issue, pick up this morning's New
York Times and take a look at the front-page story. The bill we passed,
signed by President Bush, has America running in the wrong direction.
Front-page headline:

Drug Law [signed by President Bush] Is Seen Leading To Cuts
in Retiree Plans.

Let me read one or two paragraphs:

New government estimates suggest that employers will reduce
or eliminate prescription drug benefits for 3.8 million
retirees when Medicare offers its coverage in 2006.

That is the plan we referred to earlier passed by Congress.

That represents one-third of all retirees with employer-
sponsored drug coverage, according to documents from the
Department of Health and Human Services.
No aspect of the new law causes more concern among retirees
than the possibility they might lose benefits they already
have.

That is what the administration offers us: discount cards which don't
offer a real discount, the loss of prescription drug coverage already
available for 3.8 million retirees, and, finally, a plan that is
offered to seniors

[[Page S8122]]

that is almost impossible to describe and follow because it is so
complicated in its minutiae and detail, and it does not include a
provision that allows Medicare to bargain for the best prices, the same
bargaining power which we use over and over again to help veterans and
many other Americans.
Before the end of the day, we are going to ask that this bill be
brought to the calendar. I don't know what else we will consider today,
but if my colleagues in the Senate will go home and ask a random sample
of anybody on the street corner, or in the shopping center, about the
cost of prescription drugs and what it means, they will understand that
whatever the next item of business might be in the Senate, it cannot
really match in importance what this issue means to families across the
United States of America.
I yield the floor.
______

Mr. BIDEN (for himself, Mr. Specter, Mrs. Feinstein, Mr. Kyl, Mr.
Hollings, and Mr. Allen):
S. 2653. A bill to make it a criminal act to willfully use a weapon
with the intent to cause death or serious bodily injury to any person
while on board a passenger vessel, and for other purposes; to the
Committee on the Judiciary.
Mr. BIDEN. Mr. President, I rise today to introduce the Reducing
Crime and Terrorism at America's Seaports Act, along with Senators
Specter, Feinstein, Kyl, Hollings, and Allen. Today's bill is a revised
version of legislation Senator Specter and I introduced last year, S.
1587. The bill benefits from the expertise of the Chairman and Ranking
Member of the Judiciary Subcommittee on Terrorism, Senators Kyl and
Feinstein. My colleagues have their own bill on this subject, S. 746,
and I am grateful that they are original cosponsors of today's measure.
The Ranking Member of the Commerce Committee, my good friend Senator
Hollings, has also been a leader in this area and today's bill
incorporates suggestions made by him and his able staff. Senator
Specter and I have worked long and hard on this issue, and it is my
sincere hope and expectation that the bill we introduce today is a
consensus measure that will swiftly pass the Senate this year.
Today, almost three years after the devastating attacks of September
11, our Nation's transportation infrastructure remains vulnerable to
terrorist activity. American ports are critical to the nation's
commercial well-being, and we must do all that we can to ensure that
our laws keep pace with the threats that they face.
Recently, Homeland Security Secretary Ridge traveled to the Port of
Los Angeles/Long Beach to announce that the Untied States was in full
compliance with the International Ship and Port Facility Security Code,
and that his department was working to meet the requirements of the
Maritime Transportation Security Act. I welcome those announcements,
but there is more we should be doing to protect our ports and close
existing gaps in our criminal code. The bill Senator Specter and I
introduce today starts to close those gaps.
Our bill will double the maximum term of imprisonment for anyone who
fraudulently gains access to a seaport or waterfront. The Interagency
Commission on Crime and Security at U.S. Seaports concluded that
``control of access to the seaport or sensitive areas within the
seaports'' poses one of the greatest potential threats to port
security. Such unauthorized access continues and exposes the nation's
seaports, and the communities that surround them, to acts of terrorism,
sabotage or theft. Our bill will help deter those who seek unauthorized
access to our ports by imposing stiffer penalties.
Our bill would also increase penalties for noncompliance with certain
manifest reporting and record-keeping requirements, including
information regarding the content of cargo containers and the country
from which the shipments originated. An estimated 95 percent of the
cargo shipped to the U.S. from foreign countries, other than Canada and
Mexico, arrives throughout seaports. Accordingly, the Interagency
Commission found that this enormous flow of goods through U.S. ports
provides a tempting target for terrorists and others to smuggle illicit
cargo into the country, while also making ``our ports potential targets
for terrorist attacks.'' In addition, the smuggling of non-dangerous,
but illicit, cargo may be used to finance terrorism. Despite the
gravity of the threat, we continue to operate in an environment in
which terrorists and criminals can evade detection by underreporting
and misreporting the content of cargo. Increased penalties can help
here.

The legislation we introduce today would also make it a crime for a
vessel operator to fail to slow or stop a ship once ordered to do so by
a federal law enforcement officer; for any person on board a vessel to
impede boarding or other law enforcement action authorized by federal
law; or for any person on board a vessel to provide false information
to a federal law enforcement officer. The Coast Guard is the main
federal agency responsible for law enforcement at sea. Yet, its ability
to force a vessel to stop or be boarded is limited. While the Coast
Guard has the authority to use whatever force is reasonably necessary,
a vessel operator's refusal to stop is not currently a crime. This bill
would create that offense.
In addition, the Coast Guard maintains over 50,000 navigational aids
on more than 25,000 miles of waterways. These aids, which are relied
upon by all commercial, military and recreational mariners, are
critical for safe navigation by commercial and military vessels. They
could be inviting targets for terrorists. Our legislation would make it
a crime to endanger the safe navigation of a ship by damaging any
maritime navigational aid maintained by the Coast Guard; place in the
waters anything which is likely to damage a vessel or its cargo,
interfere with a vessel's safe navigation, or interfere with maritime
commerce; or dump a hazardous substance into U.S. waters, with the
intent to endanger human life or welfare.
Each year, thousands of ships enter and leave the U.S. through
seaports. Smugglers and terrorists exploit this massive flow of
maritime traffic to transport dangerous materials and dangerous people
into this country. This legislation would make it a crime to use a
vessel to smuggle into the United States either a terrorist or any
explosive or other dangerous material for use in committing a terrorist
act. The bill would also make it a crime to damage or destroy any part
of a ship, a maritime facility, or anything used to load or unload
cargo and passengers; commit a violent assault on anyone at a maritime
facility; or knowingly communicate a hoax in a way which endangers the
safety of a vessel. In addition, the Interagency Commission concluded
that existing laws are not stiff enough to stop certain crimes,
including cargo theft, at seaports. Our legislation would increase the
maximum term of imprisonment for low-level thefts of interstate or
foreign shipments from 1 year to 3 years and expand the statute to
outlaw theft of goods from trailers, cargo containers, warehouses, and
similar venues.
I thank my colleagues for their support of this measure, and I look
forward to its prompt consideration by the full Senate.
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. 2653

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

SECTION 1. SHORT TITLE.

This title may be cited as the ``Reducing Crime and
Terrorism at America's Seaports Act of 2004''.

SEC. 2. ENTRY BY FALSE PRETENSES TO ANY SEAPORT.

(a) In General.--Section 1036 of title 18, United States
Code, is amended--
(1) in subsection (a)--
(A) in paragraph (2), by striking ``or'' at the end;
(B) by redesignating paragraph (3) as paragraph (4); and
(C) by inserting after paragraph (2) the following:
``(3) any secure or restricted area (as that term is
defined under section 2285(c)) of any seaport; or'';
(2) in subsection (b)(1), by striking ``5'' and inserting
``10'';
(3) in subsection (c)(1), by inserting ``, captain of the
seaport,'' after ``airport authority''; and
(4) in the section heading, by inserting ``or seaport''
after ``airport''.
(b) Technical and Conforming Amendment.--The table of
sections for chapter 47 of

[[Page S8123]]

title 18 is amended by striking the matter relating to
section 1036 and inserting the following:

``1036. Entry by false pretenses to any real property, vessel, or
aircraft of the United States or secure area of any
airport or seaport.''.

``Sec. 25. Definition of seaport.

``As used in this title, the term `seaport' means all
piers, wharves, docks, and similar structures to which a
vessel may be secured, areas of land, water, or land and
water under and in immediate proximity to such structures,
and buildings on or contiguous to such structures, and the
equipment and materials on such structures or in such
buildings.''.
(d) Technical and Conforming Amendment.--The table of
sections for chapter 1 of title 18 is amended by inserting
after the matter relating to section 24 the following:

``25. Definition of seaport.''.

SEC. 3. CRIMINAL SANCTIONS FOR FAILURE TO HEAVE TO,
OBSTRUCTION OF BOARDING, OR PROVIDING FALSE
INFORMATION.

(a) Offense.--Chapter 109 of title 18, United States Code,
is amended by adding at the end the following:

``Sec. 2237. Criminal sanctions for failure to heave to,
obstruction of boarding, or providing false information.

``(a)(1) It shall be unlawful for the master, operator, or
person in charge of a vessel of the United States, or a
vessel subject to the jurisdiction of the United States, to
knowingly fail to obey an order by an authorized Federal law
enforcement officer to heave to that vessel.
``(2) It shall be unlawful for any person on board a vessel
of the United States, or a vessel subject to the jurisdiction
of the United States, to--
``(A) forcibly resist, oppose, prevent, impede, intimidate,
or interfere with a boarding or other law enforcement action
authorized by any Federal law, or to resist a lawful arrest;
or
``(B) provide information to a Federal law enforcement
officer during a boarding of a vessel regarding the vessel's
destination, origin, ownership, registration, nationality,
cargo, or crew, which that person knows is false.
``(b) This section does not limit the authority of a
customs officer under section 581 of the Tariff Act of 1930
(19 U.S.C. 1581), or any other provision of law enforced or
administered by the Secretary of the Treasury or the
Undersecretary for Border and Transportation Security of the
Department of Homeland Security, or the authority of any
Federal law enforcement officer under any law of the United
States, to order a vessel to stop or heave to.
``(c) A foreign nation may consent or waive objection to
the enforcement of United States law by the United States
under this section by radio, telephone, or similar oral or
electronic means. Consent or waiver may be proven by
certification of the Secretary of State or the designee of
the Secretary of State.
``(d) In this section--
``(1) the term `Federal law enforcement officer' has the
meaning given the term in section 115(c);
``(2) the term `heave to' means to cause a vessel to slow,
come to a stop, or adjust its course or speed to account for
the weather conditions and sea state to facilitate a law
enforcement boarding;
``(3) the term `vessel subject to the jurisdiction of the
United States' has the meaning given the term in section 2(c)
of the Maritime Drug Law Enforcement Act (46 App. U.S.C.
1903(b)); and
``(4) the term `vessel of the United States' has the
meaning given the term in section 2(c) of the Maritime Drug
Law Enforcement Act (46 App. U.S.C. 1903(b)).
``(e) Any person who intentionally violates the provisions
of this section shall be fined under this title, imprisoned
for not more than 5 years, or both.''.
(b) Technical and Conforming Amendment.--The table of
sections for chapter 109, title 18, United States Code, is
amended by inserting after the item for section 2236 the
following:

``2237. Criminal sanctions for failure to heave to, obstruction of
boarding, or providing false information.''.

SEC. 4. USE OF A DANGEROUS WEAPON OR EXPLOSIVE ON A PASSENGER
VESSEL.

Section 1993 of title 18, United States Code, is amended--
(1) in subsection (a)--
(A) in paragraph (1), by inserting ``, passenger vessel,''
after ``transportation vehicle'';
(B) in paragraphs (2)--
(i) by inserting ``, passenger vessel,'' after
``transportation vehicle''; and
(ii) by inserting ``or owner of the passenger vessel''
after ``transportation provider'' each place that term
appears;
(C) in paragraph (3)--
(i) by inserting ``, passenger vessel,'' after
``transportation vehicle'' each place that term appears; and
(ii) by inserting ``or owner of the passenger vessel''
after ``transportation provider'' each place that term
appears;
(D) in paragraph (5)--
(i) by inserting ``, passenger vessel,'' after
``transportation vehicle''; and
(ii) by inserting ``or owner of the passenger vessel''
after ``transportation provider''; and
(E) in paragraph (6), by inserting ``or owner of a
passenger vessel'' after ``transportation provider'' each
place that term appears;
(2) in subsection (b)(1), by inserting ``, passenger
vessel,'' after ``transportation vehicle''; and
(3) in subsection (c)--
(A) by redesignating paragraph (6) through (8) as
paragraphs (7) through (9); and
(B) by inserting after paragraph (5) the following:
``(6) the term `passenger vessel' has the meaning given
that term in section 2101(22) of title 46, United States
Code, and includes a small passenger vessel, as that term is
defined under section 2101(35) of that title.''.

SEC. 5. CRIMINAL SANCTIONS FOR VIOLENCE AGAINST MARITIME
NAVIGATION, PLACEMENT OF DESTRUCTIVE DEVICES,
AND MALICIOUS DUMPING.

(a) Violence Against Maritime Navigation.--Section 2280(a)
of title 18, United States Code, is amended--
(1) in paragraph (1)--
(A) in subparagraph (H), by striking ``(G)'' and inserting
``(H)'';
(B) by redesignating subparagraphs (F), (G), and (H) as
subparagraphs (G), (H), and (I), respectively; and
(C) by inserting after subparagraph (E) the following:
``(F) destroys, seriously damages, alters, moves, or
tampers with any aid to maritime navigation maintained by the
Saint Lawrence Seaway Development Corporation under the
authority of section 4 of the Act of May 13, 1954 (33 U.S.C.
984), by the Coast Guard pursuant to section 81 of title 14,
United States Code, or lawfully maintained under authority
granted by the Coast Guard pursuant to section 83 of title
14, United States Code, if such act endangers or is likely to
endanger the safe navigation of a ship;''; and
(2) in paragraph (2) by striking ``(C) or (E)'' and
inserting ``(C), (E), or (F)''.
(b) Placement of Destructive Devices.--
(1) In general.--Chapter 111 of title 18, United States
Code, is amended by adding after section 2280 the following:

``Sec. 2280A. Devices or substances in waters of the United
States likely to destroy or damage ships or to interfere
with maritime commerce

``(a) A person who knowingly places, or causes to be
placed, in navigable waters of the United States, by any
means, a device or substance which is likely to destroy or
cause damage to a vessel or its cargo, or cause interference
with the safe navigation of vessels, or interference with
maritime commerce, such as by damaging or destroying marine
terminals, facilities, and any other marine structure or
entity used in maritime commerce, with the intent of causing
such destruction or damage, or interference with the safe
navigation of vessels or with maritime commerce, shall be
fined under this title, imprisoned for any term of years or
for life, or both; and if the death of any person results
from conduct prohibited under this subsection, may be
punished by death.
``(b) Nothing in this section shall be construed to apply
to otherwise lawfully authorized and conducted activities of
the United States Government.''.
(2) Technical and conforming amendment.--The table of
sections for chapter 111 of title 18, United States Code, is
amended by adding after the item related to section 2280 the
following:

``2280A. Devices or substances in waters of the United States likely to
destroy or damage ships or to interfere with maritime
commerce.''.

(c) Malicious Dumping.--
(1) In general.--Chapter 111 of title 18, United States
Code, is amended by adding at the end the following:

``Sec. 2282. Knowing discharge or release

``(a) Endangerment of Human Life.--Any person who knowingly
discharges or releases oil, a hazardous material, a noxious
liquid substance, or any other dangerous substance into the
navigable waters of the United States or the adjoining
shoreline with the intent to endanger human life, health, or
welfare shall be fined under this title and imprisoned for
any term of years or for life.
``(b) Endangerment of Marine Environment.--Any person who
knowingly discharges or releases oil, a hazardous material, a
noxious liquid substance, or any other dangerous substance
into the navigable waters of the United States or the
adjacent shoreline with the intent to endanger the marine
environment shall be fined under this title, imprisoned not
more than 30 years, or both.
``(c) Definitions.--In this section:
``(1) Discharge.--The term `discharge' means any spilling,
leaking, pumping, pouring, emitting, emptying, or dumping.
``(2) Hazardous material.--The term `hazardous material'
has the meaning given the term in section 2101(14) of title
46, United States Code.
``(3) Marine environment.--The term `marine environment'
has the meaning given the term in section 2101(15) of title
46, United States Code.
``(4) Navigable waters.--The term `navigable waters' has
the meaning given the term in section 1362(7) of title 33,
and also includes the territorial sea of the United States as
described in Presidential Proclamation 5928 of December 27,
1988.
``(5) Noxious liquid substance.--The term `noxious liquid
substance' has the meaning

[[Page S8124]]

given the term in the MARPOL Protocol defined in section 2(1)
of the Act to Prevent Pollution from Ships (33 U.S.C.
1901(a)(3)).
(2) Technical and conforming amendment.--The table of
sections for chapter 111 of title 18, United States Code, is
amended by adding at the end the following:

``2282. Knowing discharge or release.''.

SEC. 6. TRANSPORTATION OF DANGEROUS MATERIALS AND TERRORISTS.

(a) Transportation of Dangerous Materials and Terrorists.--
Chapter 111 of title 18, as amended by section 5 of this Act,
is amended by adding at the end the following:

``Sec. 2283. Transportation of explosive, biological,
chemical, or radioactive or nuclear materials.

``(a) In General.--Any person who knowingly and willfully
transports aboard any vessel within the United States, on the
high seas, or having United States nationality, an explosive
or incendiary device, biological agent, chemical weapon, or
radioactive or nuclear material, knowing that any such item
is intended to be used to commit an offense listed under
section 2332b(g)(5)(B), shall be fined under this title,
imprisoned for any term of years or for life, or both; and if
the death of any person results from conduct prohibited by
this subsection, may be punished by death.
``(b) Definitions.--In this section:
``(1) Biological agent.--The term `biological agent' means
any biological agent, toxin, or vector (as those terms are
defined in section 178).
``(2) By-product material.--The term `by-product material'
has the meaning given that term in section 11(e) of the
Atomic Energy Act of 1954 (42 U.S.C. 2014(e)).
``(3) Chemical weapon.--The term `chemical weapon' has the
meaning given that term in section 229F.
``(4) Explosive or incendiary device.--The term `explosive
or incendiary device' has the meaning given the term in
section 232(5).
``(5) Nuclear material.--The term `nuclear material' has
the meaning given that term in section 831(f)(1).
``(6) Radioactive material.--The term `radioactive
material' means--
``(A) source material and special nuclear material, but
does not include natural or depleted uranium;
``(B) nuclear by-product material;
``(C) material made radioactive by bombardment in an
accelerator; or
``(D) all refined isotopes of radium.
``(8) Source material.--The term `source material' has the
meaning given that term in section 11(z) of the Atomic Energy
Act of 1954 (42 U.S.C. 2014(z)).
``(9) Special nuclear material.--The term `special nuclear
material' has the meaning given that term in section 11(aa)
of the Atomic Energy Act of 1954 (42 U.S.C. 2014(aa)).

``Sec. 2284. Transportation of terrorists.

``(a) In General.--Any person who knowingly and willfully
transports any terrorist aboard any vessel within the United
States, on the high seas, or having United States
nationality, knowing that the transported person is a
terrorist, shall be fined under this title, imprisoned for
any term of years or for life, or both.
``(b) Defined Term.--In this section, the term `terrorist'
means any person who intends to commit, or is avoiding
apprehension after having committed, an offense listed under
section 2332b(g)(5)(B).''.
(b) Technical and Conforming Amendment.--The table of
sections for chapter 111 of title 18, United States Code, as
amended by this Act, is amended by adding at the end the
following:

``2283. Transportation of explosive, chemical, biological, or
radioactive or nuclear materials.
``2284. Transportation of terrorists.''.

SEC. 7. DESTRUCTION OR INTERFERENCE WITH VESSELS OR MARITIME
FACILITIES.

(a) In General.--Title 18, United States Code, is amended
by inserting after chapter 111 the following:

``CHAPTER 111A--DESTRUCTION OF, OR INTERFERENCE WITH, VESSELS OR
MARITIME FACILITIES

``Sec.
``2290. Jurisdiction and scope.
``2291. Destruction of vessel or maritime facility.
``2292. Imparting or conveying false information.
``2293. Bar to prosecution.

``Sec. 2290. Jurisdiction and scope

``(a) Jurisdiction.--There is jurisdiction over an offense
under this chapter if the prohibited activity takes place--
``(1) within the United States or within waters subject to
the jurisdiction of the United States; or
``(2) outside United States and--
``(A) an offender or a victim is a national of the United
States (as that term is defined under section 101(a)(22) of
the Immigration and Nationality Act (8 U.S.C. 1101(a)(22));
``(B) the activity involves a vessel in which a national of
the United States was on board; or
``(C) the activity involves a vessel of the United States
(as that term is defined under section 2(c) of the Maritime
Drug Law Enforcement Act (42 App. U.S.C. 1903(c)).
``(b) Scope.--Nothing in this chapter shall apply to
otherwise lawful activities carried out by or at the
direction of the United States Government.

``Sec. 2291. Destruction of vessel or maritime facility

``(a) Offense.--Whoever willfully--
``(1) sets fire to, damages, destroys, disables, or wrecks
any vessel;
``(2) places or causes to be placed a destructive device,
as defined in section 921(a)(4), or destructive substance, as
defined in section 13, in, upon, or in proximity to, or
otherwise makes or causes to be made unworkable or unusable
or hazardous to work or use, any vessel, or any part or other
materials used or intended to be used in connection with the
operation of a vessel;
``(3) sets fire to, damages, destroys, or disables or
places a destructive device or substance in, upon, or in
proximity to, any maritime facility, including but not
limited to, any aid to navigation, lock, canal, or vessel
traffic service facility or equipment, or interferes by force
or violence with the operation of such facility, if such
action is likely to endanger the safety of any vessel in
navigation;
``(4) sets fire to, damages, destroys, or disables or
places a destructive device or substance in, upon, or in
proximity to, any appliance, structure, property, machine, or
apparatus, or any facility or other material used, or
intended to be used, in connection with the operation,
maintenance, loading, unloading, or storage of any vessel or
any passenger or cargo carried or intended to be carried on
any vessel;
``(5) performs an act of violence against or incapacitates
any individual on any vessel, if such act of violence or
incapacitation is likely to endanger the safety of the vessel
or those on board;
``(6) performs an act of violence against a person that
causes or is likely to cause serious bodily injury, as
defined in section 1365, in, upon, or in proximity to, any
appliance, structure, property, machine, or apparatus, or any
facility or other material used, or intended to be used, in
connection with the operation, maintenance, loading,
unloading, or storage of any vessel or any passenger or cargo
carried or intended to be carried on any vessel;
``(7) communicates information, knowing the information to
be false and under circumstances in which such information
may reasonably be believed, thereby endangering the safety of
any vessel in navigation; or
``(8) attempts or conspires to do anything prohibited under
paragraphs (1) through (7):

shall be fined under this title or imprisoned not more than
20 years, or both.
``(b) Limitation.--Subsection (a) shall not apply to any
person that is engaging in otherwise lawful activity, such as
normal repair and salvage activities, and the lawful
transportation of hazardous materials.
``(c) Penalty.--Whoever is fined or imprisoned under
subsection (a) as a result of an act involving a vessel that,
at the time of the violation, carried high-level radioactive
waste (as that term is defined in section 2(12) of the
Nuclear Waste Policy Act of 1982 (42 U.S.C. 10101(12)) or
spent nuclear fuel (as that term is defined in section 2(23)
of the Nuclear Waste Policy Act of 1982 (42 U.S.C.
10101(23)), shall be fined under title 18, imprisoned for a
term up to life, or both.
``(d) Penalty When Death Results.--Whoever is convicted of
any crime prohibited by subsection (a), which has resulted in
the death of any person, shall be subject also to the death
penalty or to imprisonment for life.
``(e) Threats.--Whoever willfully imparts or conveys any
threat to do an act which would violate this chapter, with an
apparent determination and will to carry the threat into
execution, shall be fined under this title, imprisoned not
more than 5 years, or both, and is liable for all costs
incurred as a result of such threat.

``Sec. 2292. Imparting or conveying false information

``(a) In General.--Whoever imparts or conveys or causes to
be imparted or conveyed false information, knowing the
information to be false, concerning an attempt or alleged
attempt being made or to be made, to do any act which would
be a crime prohibited by this chapter or by chapter 111 of
this title, shall be subject to a civil penalty of not more
than $5,000, which shall be recoverable in a civil action
brought in the name of the United States.
``(b) Malicious Conduct.--Whoever willfully and
maliciously, or with reckless disregard for the safety of
human life, imparts or conveys or causes to be imparted or
conveyed false information, knowing the information to be
false, concerning an attempt or alleged attempt to do any act
which would be a crime prohibited by this chapter or by
chapter 111 of this title, shall be fined under this title,
imprisoned not more than 5 years, or both.
``(c) Jurisdiction.--
``(1) In general.--Except as provided under paragraph (2),
section 2290(a) shall not apply to any offense under this
section.
``(2) Jurisdiction.--Jurisdiction over an offense under
this section shall be determined in accordance with the
provisions applicable to the crime prohibited by this
chapter, or by chapter 2, 97, or 111 of this title, to which
the imparted or conveyed false information relates, as
applicable.

``Sec. 2293. Bar to prosecution

``(a) In general.--It is a bar to prosecution under this
chapter if--
``(1) the conduct in question occurred within the United
States in relation to a labor dispute, and such conduct is
prohibited as a

[[Page S8125]]

felony under the law of the State in which it was committed;
or
``(2) such conduct is prohibited as a misdemeanor under the
law of the State in which it was committed.
``(b) Definitions.--In this section:
``(1) Labor dispute.--The term ``labor dispute'' has the
same meaning given that term in section 113(c) of the Norris-
LaGuardia Act (29 U.S.C. 113(c)).
``(2) State.--The term ``State'' means a State of the
United States, the District of Columbia, and any
commonwealth, territory, or possession of the United
States.''.
(c) Technical and Conforming Amendment.--The table of
chapters at the beginning of title 18, United States Code, is
amended by inserting after the item for chapter 111 the
following:

``111A. Destruction of, or interference with, vessels or maritime
facilities..................................................2290''.

SEC. 8. THEFT OF INTERSTATE OR FOREIGN SHIPMENTS OR VESSELS.

(a) Theft of Interstate or Foreign Shipments.--Section 659
of title 18, United States Code, is amended--
(1) in the first undesignated paragraph--
(A) by inserting ``trailer,'' after ``motortruck,'';
(B) by inserting ``air cargo container,'' after
``aircraft,''; and
(C) by inserting ``, or from any intermodal container,
trailer, container freight station, warehouse, or freight
consolidation facility,'' after ``air navigation facility'';
(2) in the fifth undesignated paragraph, by striking ``one
year'' and inserting ``3 years''; and
(3) by inserting after the first sentence in the eighth
undesignated paragraph the following: ``For purposes of this
section, goods and chattel shall be construed to be moving as
an interstate or foreign shipment at all points between the
point of origin and the final destination (as evidenced by
the waybill or other shipping document of the shipment),
regardless of any temporary stop while awaiting transhipment
or otherwise.''.
(b) Stolen Vessels.--
(1) In general.--Section 2311 of title 18, United States
Code, is amended by adding at the end the following:
`` `Vessel' means any watercraft or other contrivance used
or designed for transportation or navigation on, under, or
immediately above, water.''.
(2) Transportation and sale of stolen vessels.--Sections
2312 and 2313 of title 18, United States Code, are each
amended by striking ``motor vehicle or aircraft'' and
inserting ``motor vehicle, vessel, or aircraft''.
(c) Review of Sentencing Guidelines.--Pursuant to section
994 of title 28, United States Code, the United States
Sentencing Commission shall review the Federal Sentencing
Guidelines to determine whether sentencing enhancement is
appropriate for any offense under section 659 or 2311 of
title 18, United States Code, as amended by this Act.
(d) Annual Report of Law Enforcement Activities.--The
Attorney General shall annually submit to Congress a report,
which shall include an evaluation of law enforcement
activities relating to the investigation and prosecution of
offenses under section 659 of title 18, United States Code,
as amended by this Act.
(e) Reporting of Cargo Theft.--The Attorney General shall
take the steps necessary to ensure that reports of cargo
theft collected by Federal, State, and local officials are
reflected as a separate category in the Uniform Crime
Reporting System, or any successor system, by no later than
December 31, 2005.

SEC. 9. INCREASED PENALTIES FOR NONCOMPLIANCE WITH MANIFEST
REQUIREMENTS.

(a) Reporting, Entry, Clearance Requirements.--Section
436(b) of the Tariff Act of 1930 (19 U.S.C. 1436(b)) is
amended by--
(1) striking ``or aircraft pilot'' and inserting ``,
aircraft pilot, operator, owner of such vessel, vehicle or
aircraft or any other responsible party (including non-vessel
operating common carriers)'';
(2) striking ``$5,000'' and inserting ``$10,000''; and
(3) striking ``$10,000'' and inserting ``$25,000''.
(b) Criminal Penalty.--Section 436(c) of the Tariff Act of
1930 (19 U.S.C. 1436(c)) is amended by striking ``$2,000''
and inserting ``$10,000''.
(c) Falsity or Lack of Manifest.--Section 584(a)(1) of the
Tariff Act of 1930 (19 U.S.C. 1584(a)(1)) is amended by
striking ``$1,000'' in each place it occurs and inserting
``$10,000''.

SEC. 10. STOWAWAYS ON VESSELS OR AIRCRAFT.

Section 2199 of title 18, United States Code, is amended by
striking ``Shall be fined under this title or imprisoned not
more than one year, or both.'' and inserting the following:
``(1) shall be fined under this title, imprisoned not more
than 5 years, or both;
``(2) if the person commits an act proscribed by this
section, with the intent to commit serious bodily injury, and
serious bodily injury occurs (as defined under section 1365,
including any conduct that, if the conduct occurred in the
special maritime and territorial jurisdiction of the United
States, would violate section 2241 or 2242) to any person
other than a participant as a result of a violation of this
section, shall be fined under this title, imprisoned not more
than 20 years, or both; and
``(3) if an individual commits an act proscribed by this
section, with the intent to cause death, and if the death of
any person other than a participant occurs as a result of a
violation of this section, shall be fined under this title,
imprisoned for any number of years or for life, or both.''.

SEC. 11. BRIBERY AFFECTING PORT SECURITY.

(a) In General.--Chapter 11 of title 18, United States
Code, is amended by adding at the end the following:

``Sec. 226. Bribery affecting port security

``(a) In General.--Whoever knowingly--
``(1) directly or indirectly, corruptly gives, offers, or
promises anything of value to any public or private person,
with intent--
``(A) to commit international or domestic terrorism (as
that term is defined under section 2331);
``(B) to influence any action or any person to commit or
aid in committing, or collude in, or allow, any fraud, or
make opportunity for the commission of any fraud affecting
any secure or restricted area or seaport; or
``(C) to induce any official or person to do or omit to do
any act in violation of the fiduciary duty of such official
or person which affects any secure or restricted area or
seaport; or
``(2) directly or indirectly, corruptly demands, seeks,
receives, accepts, or agrees to receive or accept anything of
value personally or for any other person or entity in return
for--
``(A) being influenced in the performance of any official
act affecting any secure or restricted area or seaport; and
``(B) knowing that such influence will be used to commit,
or plan to commit, international or domestic terrorism

``shall be fined under this title, imprisoned not more than
15 years, or both.
``(b) Definition.--In this section, the term `secure or
restricted area' has the meaning given that term in section
2285(c).''.
(b) Technical and Conforming Amendment.--The table of
sections for chapter 11 of title 18, United States Code, is
amended by adding at the end the following:

``226. Bribery affecting port security.''.

Mrs. FEINSTEIN. Mr. President, I rise today, along with Senators
Biden, Specter, Kyl, Hollings and Allen, to introduce the Reducing
Crime and Terrorism at America's Seaports Act of 2004--legislation
designed to deter, prevent and punish a terrorist attack at or through
one of our Nation's seaports.
I would like to thank Senator Kyl for joining me in sponsoring this
bill, as well as Senators Biden, Specter, Hollings and Allen for their
leadership and hard work on this critical matter.
Last year, Senator Kyl and I introduced the Anti-Terrorism and Port
Security Act of 2003. That bill contained a set of comprehensive
measures to enhance the security of our ports. At the same time,
Senators Biden and Specter were working on legislation largely focused
on the criminal law aspect of Port Security.
Since that time we have joined together to craft the bill now before
us. The legislation is narrow in focus, limited primarily to criminal
law provisions. It is my hope that it will enjoy strong bipartisan
support.
I also hope we can continue to work towards a more comprehensive
approach to seaport security in the coming months.
Our nation's seaports represent the soft underbelly of our Nation's
homeland security. Our adversaries, including al-Qaida and other
terrorist groups, have the plans and capabilities to launch a maritime
attack. In fact, just last week six al-Qaida associates were charged
with planning the 2000 attack on the U.S.S. Cole. in Yemen that left 19
American sailors dead.
Millions of shipping containers pass through our ports each month. A
single container has room for as much as 60,000 pounds of explosives--
10 to 15 times the amount in the Ryder truck used to blow up the Murrah
Federal Building in Oklahoma City. When you consider that a single ship
can carry as many as 8,000 containers at one time, the vulnerability of
our seaports is alarming.
Worse, a suitcase-sized nuclear device or radiological ``dirty bomb''
could also be placed in a container and shipped into the country. With
the current monitoring system, the odds are that the container would
never be inspected. And, even if the container was inspected, it would
be too late.
In addition to the danger such attacks present to human lives, an
attack on or through a seaport could have devastating economic
consequences. Excluding trade with Mexico and Canada, America's ports
handle 95 percent of goods imported and exported from the U.S. That
means 800 million tons of cargo valued at approximately $600 billion. A
terrorist attack would bring our port operations

[[Page S8126]]

to a complete standstill. To give you even a small glimpse of what such
a disruption could mean, last year's West Coast labor dispute cost the
U.S. economy somewhere between $1 and $2 billion per day--a total of
$10 to $20 billion.
In its December 2002 report, the Hart-Rudman Terrorism Task Force
described what a terrorist attack at or through one of our ports might
mean in economic terms: ``If an explosive device were loaded in a
container and set off in a port, it would almost automatically raise
concern about the integrity of the 21,000 containers that arrive in
U.S. ports each day and the many thousands more that arrive by truck
and rail across U.S. land borders. A three-to-four-week closure of U.S.
ports would bring the global container industry to its knees. Megaports
such as Rotterdam and Singapore would have to close their gates to
prevent boxes from piling up on their limited pier space. Trucks,
trains, and barges would be stranded outside the terminals with no way
to unload their boxes. Boxes bound for the United States would have to
be unloaded from their outbound ships. Service contracts would need to
be renegotiated. As the system became gridlocked, so would much of
global commerce.''
This is a national issue, but one of particular concern to my home
state because more than half of all goods imported into the U.S. pass
through my home State of California.
Last year, 6.5 million imported containers--52 percent of the
containers entering the United States--traveled through California. Six
million of these came through two ports alone: the Port of Los Angeles
and the Port of Long Beach.
That means that, if terrorists succeeded in putting a weapon of mass
destruction into a container undetected, there is a one in two chance
that this weapon would arrive and/or be detonated in Southern
California.
And the problem is not just with containers. Nearly one-quarter of
California's imported crude oil is offloaded in one area. A suicide
attack on a tanker at an offloading facility could leave Southern
California without refined fuels within a few days.
Since September 11, we have made significant steps in enhancing port
security, but clearly, there is more to be done. This bill addresses
some of those needed enhancements, particularly in the area of criminal
law.
The Reducing Crime and Terrorism at America's Seaports Act of 2004
does the following: Clarifies existing law to make clear that those who
would try to access our ports under false pretenses are committing a
crime; makes it a crime to refuse to stop when the Coast Guard orders a
ship to standby for inspection; sets clear criminal penalties for the
use of a dangerous weapon or explosive on a passenger vessel such as a
cruise ship; imposes criminal penalties for those who tamper with
navigational aids, such as buoys and transponders, intentionally place
destructive devices in navigable waters, or intentionally dump
hazardous materials in waterways; establishes a specific crime for
knowingly and willfully transporting aboard any vessel an explosive,
biological agent, chemical weapon, or radioactive or nuclear materials
intended to be used to commit a terrorist act; the bill also makes it a
crime to knowingly and willfully transport a person aboard any vessel
who intends to commit, or has committed, a terrorist act; makes it a
crime to damage or destroy a vessel or a maritime facility, to commit
an act of violence against any individual on a vessel or near a port
facility, or to knowingly communicate false information that endangers
the safety of a vessel; provides sanctions to deter criminal or civil
violations related to a range of offenses, including theft of
interstate or foreign shipments; amends existing law to increase
penalties for noncompliance with certain reporting and recordkeeping
requirements for incoming ships, including information regarding the
content of cargo containers and the country from which the shipments
originated; and finally, the bill toughens anti-stowaway laws and laws
governing bribery of port security officials.
Strengthening criminal penalties is one way we can make our Nation's
ports less vulnerable. The Coast Guard, the FBI, Customs and
Immigration authorities--all need the appropriate crime-fighting tools
to prevent a terrorist attack. Today, we are introducing legislation to
provide the crime-fighting tools that will do just that.
I ask unanimous consent that an analysis of the bill be printed in
the Record.
There being no objection, the analysis was ordered to be printed in
the Record, as follows:

SEC. 2. ENTRY BY FALSE PRETENSES TO ANY PORT.

Section 2 would clarify that section 1036 of title 18
(fraudulent access to transport facilities) includes seaports
and waterfronts within its scope, as well as increase the
maximum term of imprisonment for a violation from 5 years to
10 years. This provision was included in the originally
introduced Biden-Specter Bill, but not in the Feinstein-Kyl
Bill.

SEC. 3. CRIMINAL SANCTIONS FOR FAILURE TO ``HEAVE TO,''
OBSTRUCTION OF BOARDING, OR PROVIDING FALSE
INFORMATION.

Section 3 would amend the U.S. Code to make it a crime (1)
for a vessel operator knowingly to fail to slow or stop a
ship once ordered to do so by a federal law enforcement
officer; (2) for any person on board a vessel to impede
boarding or other law enforcement action authorized by
federal law; or (3) for any person on board a vessel to
provide false information to a federal law enforcement
officer (punishable by a fine and/or imprisonment for a
maximum term of 5 years). This provision was included in both
the Biden-Specter and Feinstein-Kyl Bills, but the Feinstein-
Kyl Bill included a lower penalty of 1-year maximum
imprisonment.

SEC. 4. USE OF A DANGEROUS WEAPON OR EXPLOSIVE ON A PASSENGER
VESSEL.

Section 4 would amend section 1993 of title 18 (terrorist
attacks and other acts of violence against mass
transportation systems) to make it a crime to willfully use a
dangerous weapon (including chemical, biological,
radiological or nuclear materials) or explosive, with the
intent to cause death or serious bodily injury to any person
on board a passenger vessel (punishable by a fine and/or
imprisonment for a maximum term of 20 years; and, if death
results, for a term of imprisonment up to life). Both the
Biden-Specter and Feinstein-Kyl Bills, employing different
language, included a provision that would achieve this aim.
The substitute incorporates the Biden-Specter approach.

SEC. 5. CRIMINAL SANCTIONS FOR VIOLENCE AGAINST MARITIME
NAVIGATION, PLACEMENT OF DESTRUCTIVE DEVICES,
AND MALICIOUS DUMPING.

Section 5 would amend the criminal code to make it a crime
to intentionally damage or tamper with any maritime
navigational aid maintained by the Coast Guard or under its
authority, if such act endangers the safe navigation of a
ship; or knowingly place in waters any device or substance
which is likely to damage a vessel or its cargo, interfere
with a vessel's safe navigation, or interfere with maritime
commerce (punishable by a fine and/or a term of imprisonment
up to life; if death results, by a sentence of death). This
section would also make it a crime to willfully and
maliciously discharge a hazardous substance into U.S. waters,
with the intent to cause death, serious bodily harm, or
catastrophic economic injury (punishable by a fine and/or a
term of imprisonment up to life; and, where an individual
engages in the prohibited conduct with an intent to cause
harm to the marine environment, by a fine and/or imprisonment
for a maximum term of 30 years). Both the Biden-Specter and
Feinstein-Kyl Bills included this provision, but, unlike the
originally-introduced bills, the substitute measure excludes
the death penalty for violations of the malicious dumping
provision.

SEC. 6. TRANSPORTATION OF DANGEROUS MATERIALS AND TERRORISTS.

This section would make it a crime to knowingly and
willfully transport aboard any vessel an explosive,
biological agent, chemical weapon, or radioactive or nuclear
materials, knowing that the item is intended to be used to
commit a terrorist act (punishable by a fine and/or a term of
imprisonment up to life; and, if death results, by a sentence
of death). This section would also make it a crime to
knowingly and willfully transport aboard any vessel any
person who intends to commit, or is avoiding apprehension
after having committed, a terrorist act (punishable by a fine
and/or a term of imprisonment up to life). This provision was
included in the originally introduced Biden-Specter Bill, but
not in the Feinstein-Kyl Bill.

SEC. 7. DESTRUCTION OR INTERFERENCE WITH VESSELS OR MARITIME
FACILITIES.

This section would make it a crime to (1) damage or destroy
a vessel or its parts, a maritime facility, or any apparatus
used to store, load or unload cargo and passengers; (2)
perform an act of violence against or incapacitate any
individual on a vessel or at or near a facility; or (3)
knowingly communicate false information that endangers the
safety of a vessel (punishable by a fine and/or imprisonment
for a maximum term of 20 years; if the act involves a vessel
carrying high-level radioactive waste or spent nuclear fuel,
by a fine and/or a term of imprisonment up to life; and, if
death results, by a sentence of death). This provision was
included in both the Biden-Specter and Feinstein-Kyl Bills.
The Biden-Specter Bill also included an exception

[[Page S8127]]

for otherwise lawful activities (e.g., normal repair, salvage
activities, authorized transportation of hazardous materials)
and a bar to federal prosecution if the conduct is de minimus
(e.g., blown-out tire) or occurred during legitimate labor
activity. The substitute measure incorporates these elements
of the Biden-Specter Bill.

SEC. 8. THEFT OF INTERSTATE OR FOREIGN SHIPMENTS OR VESSELS.

Section 8 would expand the scope of section 659 of title 18
(theft of interstate or foreign shipments) to include theft
of goods from additional transportation facilities or
instruments, including trailers, cargo containers, and
warehouses; and would increase the maximum term of
imprisonment for low-level thefts from 1 year to 3 years.
This provision was included in the originally introduced
Biden-Specter Bill, but not in the Feinstein-Kyl Bill.

SEC. 9. INCREASED PENALTIES FOR NONCOMPLIANCE WITH MANIFEST
REQUIREMENTS.

Section 509 would amend section 1436 of title 19 to
increase the penalties for noncompliance with certain
manifest reporting and record-keeping requirements, including
information regarding the content of cargo containers and the
country from which the shipments originated. This provision
was included in both the Biden-Specter and Feinstein-Kyl
Bills, but the Biden-Specter Bill included lesser penalties.
The substitute measure reflects the penalty structure set out
in the Biden-Specter Bill.

SEC. 10. STOWAWAYS ON VESSELS OR AIRCRAFT.

This section would increase the maximum penalty for a
violation of section 2199 (stowaways on vessels or aircraft)
of title 18 from 1 year to 5 years. If the act is committed
with the intent to commit serious bodily injury and serious
bodily injury does in fact occur, it would be punishable by a
fine and/or a term of imprisonment up to 20 years. If the act
is committed with the intent to cause death, it would be
punishable by a fine and/or a term of imprisonment up to
life. This provision was not included in either the Biden-
Specter or Feinstein-Kyl Bills, but is included in the
substitute measure on Senator Hatch's request.

SEC. 11. BRIBERY AFFECTING PORT SECURITY.

This section would make it a crime to knowingly bribe a
public official, with the intent to commit international or
domestic terrorism; or for anyone to receive a bribe in
return for being influenced in his or her public duties,
knowing that such influence will be used to commit, or plan
to commit, an act of terrorism (punishable by a term of
imprisonment up to 15 years). This provision was not included
in either the Biden-Specter or Feinstein-Kyl Bills, but is
included in the substitute measure on Senator Hatch's
request.
______

By Mr. DODD:
S. 2654. A bill to provide for Kindergarten Plus programs; to the
Committee on Health, Education, Labor, and Pensions.
Mr. DODD. Mr. President, I rise today to introduce legislation with
my colleagues Senator Kennedy and Senator Bingaman to jump-start school
success for low-income children. Today we are introducing the Sandy
Feldman Kindergarten Plus Act of 2004.
Sandy Feldman, the President of the American Federation of Teachers,
stepped down today after decades of public service. If there is one
goal to which Sandy has dedicated herself over the years, it is the
education of our Nation's children.
Sandy is the product of New York City's public schools. She knows
what great promise public education holds for our Nation. But, she also
knows that all too often, we don't give our schools the resources they
need to be able to live up to that promise.
While I've worked with Sandy for many years, I've been particularly
privileged to work with her in the area of early childhood education.
It was Sandy who developed the concept for this Kindergarten Plus
legislation and Sandy who spent countless hours developing the details
to ensure that the initiative would work in a diverse array of
communities.
Although Sandy is leaving the AFT, I know she will continue fighting
for our Nation's children, and for mothers, fathers, and teachers
across this Nation. I look forward to her continued counsel and advice
on education issues and other issues of importance to families.
The Kindergarten Plus legislation we are introducing today will offer
competitive grants to States to provide children below 185 percent of
the poverty line with a transitional kindergarten during the summer
before kindergarten formally begins and a transitional first grade
during the summer between kindergarten and first grade.
Why an extra four months of kindergarten for these children? The
answer is simple. Because too many low income children today enter
kindergarten unprepared for the year ahead, far behind their wealthier
peers in both academic and social skills.
According to a recent survey, 46 percent of kindergarten teachers
report that at least half of their class or more has specific problems
with entry into kindergarten. Yet, kindergarten is critical in
preparing children to succeed in elementary school, especially for
children at-risk of academic failure.
There is no panacea, no magic wand to erase the deficiencies that too
many low income children have in entering kindergarten on par with
their more economically well-off peers. It is simply not possible in a
two month period before kindergarten begins or in a nine-month half day
pre-kindergarten program to wipe away the advantages that wealthier
children have had in their first five years of life that result in the
skill set with which they enter kindergarten.
We can, however, do a better job of preparing less fortunate children
for school. We can expose them to classroom practices and routines and
the expectations for kindergarten behavior and protocol. We can
introduce them to concepts and help them understand that classrooms
have rules. We can expose them to literature, story time or circle
time. We can help them understand that books are made up of printed
words and that words are made up of individual letters. We can ask them
questions to help develop their critical thinking skills, like what do
you think will happen next in the story? Why? We can offer them ``show
and tell'' to develop their oral language skills and ability to speak
out loud in sequential sentences.

Many children enter kindergarten with these skills. But, many do not.
During the school year before a child is eligible to enter
kindergarten, about 75 percent of children in families with more than
$75,000 in income participate in some type of center-based program,
compared to 51 percent of children in families with incomes between
$10,000 and $20,000.
The numbers are much more stark when looking at the children of
mothers who dropped out of high school. Recent data shows that about 74
percent of 3, 4, and 5 year old children whose mothers graduated from
college were enrolled in a center-based program compared to only 42
percent of 3, 4, and 5 year old children whose mothers did not complete
high school.
How does this translate to children? Some children know how to follow
directions and some children do not. Some children transition well
between activities as part of a daily routine, some children do not.
About 85 percent of high income children, compared to 39 percent of low
income children, can recognize letters of the alphabet upon arrival in
kindergarten. About half the children of college graduates can identify
the beginning sounds of words, but only 9 percent of the children whose
parents didn't complete high school can recognize the beginning sounds
of words.
Of equal concern, kindergarten teachers report that about 80 percent
of children whose mothers graduated from college persist at a task and
are eager to learn whereas only about 60 percent of the children whose
mothers have not graduated from high school persist at a task and are
eager to learn.
What we know from the research is that children can enter
kindergarten better prepared to learn. We may not be able to close the
gap between low income children and their wealthier peers, but we can
certainly narrow it considerably.
Our bill would provide states with resources to offer a transitional
kindergarten during the summer before kindergarten begins. This would
enable local school districts to offer a jumpstart on kindergarten with
smaller class sizes during the summer. Before all kindergarten eligible
children arrive, K+ children would have an introduction to
kindergarten. The same opportunity would be part of the program for the
summer between kindergarten and first grade.
The introductory period would enable school districts to target low
income children who may never before have participated in a center-
based program such as Head Start or state pre-k, or nursery school.
They could target low income English language learners or low income
children who participated in Head Start or state pre-k who could
continue their progress during the summer.

[[Page S8128]]

About 65 percent of mothers with children under age 6 are in the
workforce today. Every day, about 13 million preschoolers, including 6
million infants and toddlers, are in some type of child care
arrangement. What we are trying to do with this bill is to pull out low
income children who would be eligible to enter kindergarten in the fall
and offer them a summer enrichment period as an introduction to
kindergarten. It might be that a local Head Start or community-based
organization's preschool would continue to operate their programs
during the summer. However, these are local decisions made by school
districts that apply for and receive K+ funding.

It should be clear that the K+ program would operate as a supplement
to existing programs, most of which follow the school calendar. In
fact, children who participate in a high quality early learning program
during the summer before kindergarten are not eligible to participate
in K+ to avoid duplication of efforts and scarce resources.
In the National Academy of Sciences report, ``From Neurons to
Neighborhoods: the Science of Early Childhood Development'', numerous
recommendations are made to improve the foundation with which children
enter school. The report points out that with so many parents working
today, the burden of poor quality and limited choice in child care
rests most heavily on low income working families whose financial
resources are too high to qualify for subsidies or Head Start yet too
low to afford market prices for quality child care.
It is the children of the working poor who are very much at risk of
beginning kindergarten behind their wealthier and poorer peers. Yet, it
is these children in addition to poor children who are most likely to
enter kindergarten behind their wealthier peers, unprepared for the
year ahead.
Supporting the K+ program is the American Federation of Teachers,
AFT, the Parent-Teacher Association, PTA, the Council of Great City
Schools, the Society for Research in Child Development, SRCD, the
Children's Defense Fund, and Easter Seals.
We urge you to join us as cosponsors of this legislation and help
give low income children a jump-start on school success.
Mr. President, I ask unanimous consent that a brief summary of the
bill and the text of the bill be printed in the Record.
There being no objection, the material was ordered to be printed in
the Record, as follows:

S. 2654

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Kindergarten Plus Act of
2004''.

SEC. 2. FINDINGS.

Congress makes the following findings:
(1) Kindergarten has proven to be a beneficial experience
for children, putting children on a path that positively
influences their learning and development in later school
years.
(2) Kindergarten and the years leading up to kindergarten
are critical in preparing children to succeed in elementary
school, especially if the children are from low-income
families or have other risks of difficulty in school.
(3) Disadvantaged children, on average, lag behind other
children in literacy, numeracy, and social skills, even
before formal schooling begins.
(4) For many children entering kindergarten, the
achievement gap between children from low-income households
compared to children from high-income households is already
evident.
(5) 85 percent of beginning kindergartners in the highest
socioeconomic group, compared to 39 percent in the lowest
socioeconomic group, can recognize letters of the alphabet.
Similarly, 98 percent of beginning kindergartners in the
highest socioeconomic group, compared to 84 percent of their
peers in the lowest socioeconomic group, can recognize
numbers and shapes.
(6) Once disadvantaged children are in school, they learn
at the same rate as other children. Therefore, providing
disadvantaged children with additional time in kindergarten,
in the summer before such children ordinarily enter
kindergarten and in the summer before first grade, will help
schools close achievement gaps and accelerate the academic
progress of their disadvantaged students.
(7) High quality, extended-year kindergarten that provides
children with enriched learning experiences is an important
factor in helping to close achievement gaps, rather than
having the gaps continue to widen.

SEC. 3. DEFINITIONS.

In this Act:
(1) Eligible student.--The term ``eligible student'' means
a child who--
(A) is a 5-year old, or will be eligible to attend
kindergarten at the beginning of the next school year;
(B) comes from a family with an income at or below 185
percent of the poverty line; and
(C) is not already served by a high-quality program in the
summer before or the summer after the child enters
kindergarten.
(2) Kindergarten plus.--The term ``Kindergarten Plus''
means a voluntary full day of kindergarten, during the summer
before and during the summer after, the traditional
kindergarten school year (as determined by the State).
(3) Local educational agency.--The term ``local educational
agency'' has the meaning given the term in section 9101 of
the Elementary and Secondary Education Act of 1965 (20 U.S.C.
7801).
(4) Parent.--The term ``parent'' includes a legal guardian
or other person standing in loco parentis (such as a
grandparent or stepparent with whom the child lives, or a
person who is legally responsible for the child's welfare).
(5) Parental involvement.--The term ``parental
involvement'' means the participation of parents in regular,
2-way, and meaningful communication with school personnel
involving student academic learning and other school
activities, including ensuring that parents--
(A) play an integral role in assisting their child's
learning;
(B) are encouraged to be actively involved in their child's
education at school; and
(C) are full partners in their child's education and are
included, as appropriate, in decisionmaking and on advisory
committees to assist in the education of their child.
(6) Poverty line.--The term ``poverty line'' means the
poverty line (as defined by the Office of Management and
Budget, and revised annually in accordance with section
673(2) of the Community Services Block Grant Act (42 U.S.C.
9902(2))) applicable to a family of the size involved.
(7) Eligible provider.--The term ``eligible provider''
means a local educational agency or a private not-for-profit
agency or organization, with a demonstrated record in the
delivery of early childhood education services to preschool-
age children, that provides high-quality early learning and
development experiences that--
(A) are aligned with the expectations for what children
should know and be able to do when the children enter
kindergarten and grade 1, as established by the State
educational agency; or
(B) in the case of an entity that is not a local
educational agency and that serves children who have not
entered kindergarten, meet the performance standards and
performance measures described in subparagraphs (A) and (B)
of subsection (a)(1), and subsection (b), of section 641A of
the Head Start Act (42 U.S.C. 9836a) or the prekindergarten
standards of the State where the entity is located.
(8) School readiness.--The term ``school readiness'' means
the cognitive, social, emotional, approaches to learning, and
physical development of a child, including early literacy and
early mathematics skills, that prepares the child to learn
and succeed in elementary school.
(9) Secretary.--The term ``Secretary'' means the Secretary
of Education.
(10) State educational agency.--The term ``State
educational agency'' has the meaning given the term in
section 9101 of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 7801).

SEC. 4. GRANTS TO STATE EDUCATIONAL AGENCIES AUTHORIZED.

(a) In General.--The Secretary is authorized to award
grants, on a competitive basis, to State educational agencies
to enable the State educational agencies to provide
Kindergarten Plus within the State.
(b) Sufficient Size.--To the extent possible, the Secretary
shall ensure that each grant awarded under this section is of
sufficient size to enable the State educational agency
receiving the grant to provide Kindergarten Plus to all
eligible students served by the local educational agencies
within the State with the highest concentrations of eligible
students.
(c) Minimum Amount.--The Secretary shall not award a grant
to a State educational agency under this section in an amount
that is less than $500,000.
(d) State Use of Funds.--A State educational agency shall
use--
(1) not more than 3 percent of the grant funds received
under this Act for administration of the Kindergarten Plus
programs supported under this Act;
(2) not more than 5 percent of the grant funds received
under this Act to develop professional development activities
and curricula for teachers and staff of Kindergarten Plus
programs in order to develop a continuum of developmentally
appropriate curricula and practices for preschool,
kindergarten, and grade 1 that ensures--
(A) an effective transition to kindergarten and to grade 1
for students; and
(B) appropriate expectations for the students' learning and
development as the students make the transition to
kindergarten and to grade 1; and
(3) the remainder of the grant funds to award subgrants to
local educational agencies.
(e) Priority.--In awarding grants under this Act the
Secretary shall give priority to State educational agencies
that--

[[Page S8129]]

(1) on their own or in combination with other government
agencies, provide full day kindergarten to all kindergarten-
age children who are from families with incomes below 185
percent of the poverty line within the State; or
(2) demonstrate progress toward providing full day
kindergarten to all kindergarten-age children who are from
families with incomes below 185 percent of the poverty line
within the State by submitting a plan that shows how the
State educational agency will, at a minimum, double the
number of such children that were served by a full day
kindergarten program in the school year preceding the school
year for which assistance is first sought.

SEC. 5. SUBGRANTS TO LOCAL EDUCATIONAL AGENCIES.

(a) In General.--Each State educational agency that
receives a grant under this Act--
(1) shall reserve an amount sufficient to continue to fund
multiyear subgrants awarded under this section; and
(2) shall award subgrants to local educational agencies
within the State to enable the local educational agencies to
pay the Federal share of the costs of carrying out
Kindergarten Plus programs for eligible students.
(b) Priority.--In awarding subgrants under this section the
State educational agency shall give priority to local
educational agencies--
(1) serving the greatest number or percentage of
kindergarten-age children who are from families with incomes
below 185 percent of the poverty line, based on data from the
most recent school year; and
(2) that propose to significantly reduce the class size and
student-to-teacher ratio of the classes in their Kindergarten
Plus programs below the average class size and student-to-
teacher ratios of kindergarten classes served by the local
educational agencies.
(c) Federal Share.--The Federal share of the costs of
carrying out a Kindergarten Plus program shall be--
(1) 100 percent for the first, second, and third years of
the program;
(2) 85 percent for the fourth year of the program; and
(3) 75 percent for the fifth year of the program.
(d) In-Kind Contributions.--The non-Federal share of the
costs of carrying out a Kindergarten Plus program may be in
the form of in-kind contributions.

SEC. 6. STATE APPLICATION.

(a) In General.--In order to receive a grant under this
Act, a State educational agency shall submit an application
to the Secretary at such time and containing such information
as the Secretary determines appropriate.
(b) Consultation.--The application shall be developed by
the State educational agency in consultation with
representatives of early childhood education programs, early
childhood education teachers, principals, pupil services
personnel, administrators, paraprofessionals, other school
staff, early childhood education providers (including Head
Start agencies, State prekindergarten program staff, and
child care providers), teacher organizations, parents, and
parent organizations.
(c) Contents.--At a minimum, the application shall
include--
(1) a description of developmentally appropriate teaching
practices and curricula for children that will be put in
place to be used by local educational agencies and eligible
providers offering Kindergarten Plus programs to carry out
this Act;
(2) a general description of the nature of the Kindergarten
Plus programs to be conducted with funds received under this
Act, including--
(A) the number of hours each day and the number of days
each week that children in each Kindergarten Plus program
will attend the program; and
(B) if a Kindergarten Plus program meets for less than 9
hours a day, how the needs of full-time working families will
be addressed;
(3) goals and objectives to ensure that high-quality
Kindergarten Plus programs are provided;
(4) an assurance that students enrolled in Kindergarten
Plus programs funded under this Act will receive additional
comprehensive services (such as nutritional services, health
care, and mental health care), as needed; and
(5) a description of how--
(A) the State educational agency will coordinate and
integrate services provided under this Act with other
educational programs, such as Even Start, Head Start, Reading
First, Early Reading First, State-funded preschool programs,
preschool programs funded under section 619 or other
provisions of part B of the Individuals with Disabilities
Education Act (20 U.S.C. 1419, 1411 et seq.), and
kindergarten programs;
(B) the State will provide professional development for
teachers and staff of local educational agencies and eligible
providers that receive subgrants under this Act regarding how
to address the school readiness needs of children (including
early literacy, early mathematics, and positive behavior)
before the children enter kindergarten, throughout the school
year, and into the summer after kindergarten;
(C) the State will assist Kindergarten Plus programs to
provide exemplary parent education and parental involvement
activities such as training and materials to assist parents
in being their children's first teachers at home or home
visiting;
(D) the State will conduct outreach to parents with
eligible students, including parents whose native language is
not English, parents of children with disabilities, and
parents of migratory children; and
(E) the State educational agency will ensure that each
Kindergarten Plus program uses developmentally appropriate
practices, including practices and materials that are
culturally and linguistically appropriate for the population
of children being served in the program.

SEC. 7. LOCAL APPLICATION.

(a) In General.--In order to receive a subgrant under this
Act, a local educational agency shall submit an application
to the State educational agency at such time and containing
such information as the State educational agency determines
appropriate.
(b) Consultation.--The application shall be developed by
the local educational agency in consultation with early
childhood education teachers, principals, pupil services
personnel, administrators, paraprofessionals, other school
staff, early childhood education providers (including Head
Start agencies, State prekindergarten program staff, and
child care providers), teacher organizations, parents, and
parent organizations.
(c) Contents.--At a minimum, the application shall include
a description of--
(1) the standards, research-based and developmentally
appropriate curricula, teaching practices, and ongoing
assessments for the purposes of improving instruction and
services, to be used by the local educational agency that--
(A) are aligned with the State expectations for what
children should know and be able to do when the children
enter kindergarten and grade 1, as set by the State
educational agency; and
(B) include--
(i) language skills, including an expanded use of
vocabulary;
(ii) interest in and appreciation of books, reading,
writing alone or with others, and phonological and phonemic
awareness;
(iii) premathematics knowledge and skills, including
aspects of classification, seriation, number sense, spatial
relations, and time;
(iv) other cognitive abilities related to academic
achievement;
(v) social and emotional development, including self-
regulation skills;
(vi) physical development, including gross and fine motor
development skills;
(vii) in the case of limited English proficiency, progress
toward the acquisition of the English language; and
(viii) approaches to learning;
(2) how the local educational agency will ensure that the
Kindergarten Plus program uses curricula and practices that--
(A) are developmentally, culturally, and linguistically
appropriate for the population of children served in the
program; and
(B) are aligned with the State learning standards and
expectations for children in kindergarten and grade 1;
(3) how the Kindergarten Plus program will improve the
school readiness of children served by the local educational
agency under this Act, especially in mathematics and reading;
(4) how the Kindergarten Plus program will provide
continuity of services and learning for children who were
previously served by a different program;
(5) how the local educational agency will ensure that the
Kindergarten Plus program has appropriate services and
accommodations in place to serve children with disabilities
and children who are limited English proficient;
(6) how the local educational agency will perform a needs
assessment to avoid duplication with other programs within
the geographic area served by the local educational agency;
(7) how the local educational agency will--
(A) transition Kindergarten Plus participants into local
elementary school programs and services;
(B) ensure the development and use of systematic,
coordinated records on the educational development of each
child participating in the Kindergarten Plus program through
periodic meetings and communications among--
(i) Kindergarten Plus program teachers;
(ii) elementary school staff; and
(iii) local early childhood education program providers,
including Head Start agencies, State prekindergarten program
staff, and center-based and family child care providers;
(C) provide parent and child orientation sessions conducted
by teachers and staff; and
(D) provide a qualified staff person to be in charge of
coordinating the transition services;
(8) how the local educational agency will provide
instructional and environmental accommodations in the
Kindergarten Plus program for children who are limited
English proficient, children with disabilities, migratory
children, neglected or delinquent youth, Indian children
served under part A of title VII of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 7401 et seq.),
homeless children, and immigrant children;
(9) how the local educational agency will conduct outreach
to parents of eligible students, including parents whose
native language is not English, parents of children with
disabilities, and parents of migratory children, which may
include--

[[Page S8130]]

(A) activities to provide parents early exposure to the
school environment, including meetings with teachers and
staff;
(B) activities to better engage and inform parents on the
benefits of Kindergarten Plus and other programs; and
(C) other efforts to ensure that parents have a level of
comfort with the Kindergarten Plus program and the school
environment;
(10) how the local educational agency will assist the
Kindergarten Plus program to provide exemplary parent
education and parental involvement activities such as
training and materials to assist parents in being their
children's first teachers at home or home visiting; and
(11) how the local educational agency will work with local
center-based and family child care providers and Head Start
agencies to ensure--
(A) the nonduplication of programs and services; and
(B) that the needs of working families are met through
child care provided before and after the Kindergarten Plus
program.

SEC. 8. LOCAL REQUIREMENTS AND PROVISIONS.

(a) Local Uses of Funds.--A local educational agency that
receives a subgrant under this Act shall use the subgrant
funds for the following:
(1) The operational and program costs associated with the
Kindergarten Plus program as described in the application to
the State educational agency.
(2) Personnel services, including teachers,
paraprofessionals, and other staff as needed.
(3) Additional services, as needed, including snacks and
meals, mental health care, health care, linguistic
assistance, special education and related services, and
transportation services associated with the needs of the
children in the program.
(4) Transition services to ensure children make a smooth
transition into first grade and proper communication is made
with the elementary school on the educational development of
each child.
(5) Outreach and recruitment activities, including
community forums and public service announcements in local
media in various languages if necessary to ensure that all
individuals in the community are aware of the availability of
such program.
(6) Parental involvement programs, including materials and
resources to help parents become more involved in their
child's learning at home.
(7) Extended day services for the eligible students of
working families, including working with existing programs in
the community to coordinate services if possible.
(8) Child care services, provided through coordination with
local center-based child care and family child care
providers, and Head Start agencies, before and after the
Kindergarten Plus program for the children participating in
the program, to accommodate the schedules of working
families.
(9) Enrichment activities, such as--
(A) art, music, and other creative arts;
(B) outings and field trips; and
(C) other experiences that support children's curiosity,
motivation to learn, knowledge, and skills.
(b) Eligible Provider Grants and Applications.--The local
educational agency may use subgrant funds received under this
Act to award a grant to an eligible provider to enable the
eligible provider to carry out a Kindergarten Plus program
for the local educational agency. Each eligible provider
desiring a grant under this subsection shall submit an
application to the local educational agency that contains the
descriptions set forth in section 7 as applied to the
eligible provider.
(c) Continuity.--In carrying out a Kindergarten Plus
program under this Act, a local educational agency is
encouraged to explore ways to develop continuity in the
education of children, for instance by keeping, if possible,
the same teachers and personnel from the summer before
kindergarten, through the kindergarten year, and during the
summer after kindergarten.
(d) Coordination.--In carrying out a Kindergarten Plus
program under this Act, a local educational agency shall
coordinate with existing programs in the community to provide
extended care and comprehensive services for children and
their families in need of such care or services.

SEC. 9. TEACHER AND PERSONNEL QUALITY STANDARDS.

To be eligible for a subgrant under this Act, each local
educational agency shall ensure that--
(1) each Kindergarten Plus classroom has--
(A) a highly qualified teacher, as defined in section 9101
of the Elementary and Secondary Education Act of 1965 (20
U.S.C. 7801); or
(B) if an eligible provider who is not a local educational
agency is providing the Kindergarten Plus program in
accordance with section 8(b), a teacher that, at a minimum,
has a bachelor's degree in early childhood education or a
related field and experience in teaching children of this
age;
(2) a qualified paraprofessional that meets the
requirements for paraprofessionals under section 1119 of the
Elementary and Secondary Education Act of 1965 (20 U.S.C.
6319), is in each Kindergarten Plus classroom;
(3) Kindergarten Plus teachers and paraprofessionals are
compensated on a salary scale comparable to kindergarten
through grade 3 teachers and paraprofessionals in public
schools served by the local educational agency; and
(4) Kindergarten Plus class sizes do not exceed the class
size and ratio parameters set at the State or local level for
the traditional kindergarten program.

SEC. 10. DIRECT GRANTS TO LOCAL EDUCATIONAL AGENCIES.

(a) Grants Authorized.--If a State educational agency does
not apply for a grant under this Act or does not have an
application approved under section 6, then the Secretary is
authorized to award a grant to a local educational agency
within the State to enable the local educational agency to
pay the Federal share of the costs of carrying out a
Kindergarten Plus program.
(b) Eligibility.--A local educational agency shall be
eligible to receive a grant under this section if the local
educational agency operates a full day kindergarten program
that, at a minimum, is targeted to kindergarten-age children
who are from families with incomes below 185 percent of the
poverty line within the State.
(c) Application.--In order to receive a grant under
subsection (a), a local educational agency shall submit to
the Secretary an application that--
(1) contains the descriptions set forth in section 7; and
(2) includes an assurance that the Kindergarten Plus
program funded under such grant will serve eligible students.
(d) Applicability.--Sections 8 and 9 shall apply to a local
educational agency receiving a grant under this section in
the same manner as the sections apply to a local educational
agency receiving a subgrant under section 5(a).

SEC. 11. EVALUATION, COLLECTION, AND DISSEMINATION OF
INFORMATION.

(a) In General.--Each State educational agency that
receives a grant under this Act, in cooperation with the
local educational agencies in the State that receive a
subgrant under this Act, shall create an evaluation mechanism
to determine the effectiveness of the Kindergarten Plus
programs in the State, taking into account--
(1) information from the local needs assessment, conducted
in accordance with section 7(c)(6), including--
(A) the number of eligible students in the geographic area;
(B) the number of children served by Kindergarten Plus
programs, disaggregated by family income, race, ethnicity,
native language, and prior enrollment in an early childhood
education program; and
(C) the number of children with disabilities served by
Kindergarten Plus programs;
(2) the recruitment of teachers and staff for Kindergarten
Plus programs, and the retention of such personnel in the
programs for more than 1 year;
(3) the provision of services for children and families
served by Kindergarten Plus programs, including parent
education, home visits, and comprehensive services for
families who need such services;
(4) the opportunities for professional development for
teachers and staff; and
(5) the curricula used in Kindergarten Plus programs.
(b) Comparison.--The evaluation process may include
comparison groups of similar children who do not participate
in a Kindergarten Plus program.
(c) Information Collection and Reporting.--The information
necessary for the evaluation shall be collected yearly by the
State and reported every 2 years by the State to the
Secretary.
(d) Analysis of Effectiveness.--The Secretary shall conduct
an analysis of the overall effectiveness of the programs
assisted under this Act and make the analysis available to
Congress, and the public, biannually.

SEC. 12. SUPPLEMENT NOT SUPPLANT.

Funds made available under this Act shall be used to
supplement, not supplant, other Federal, State, or local
funds available to carry out activities under this Act.

SEC. 13. AUTHORIZATION OF APPROPRIATIONS.

For the purpose of carrying out this Act, there are
authorized to be appropriated $1,500,000,000 for fiscal year
2005 and such sums as may be necessary for each of the fiscal
years 2006 through 2010.

Summary of the Sandy Feldman Kindergarten Plus (K+) Act of 2004

Purpose: To provide disadvantaged children with additional
time in kindergarten during the summer before and summer
after the traditional kindergarten school year, and to help
ensure that more children enter school ready to succeed.
Background: Kindergarten is critical in preparing children
to succeed in elementary school. Many low-income children
begin kindergarten lagging behind other children in literacy,
math, and social skills, even before formal schooling begins.
85 percent of high-income children, compared to 39 percent
of low-income children, can recognize letters of the alphabet
upon arrival in kindergarten. Half the children of parents
who have graduated from college can identify the beginning
sounds of words, but only 9 percent of the children whose
parents have not completed high school recognize the
beginning sounds of words. Kindergarten teachers report that
about 80 percent of the children whose mothers graduated from
college persist at a task and are eager to learn whereas only
about 60 percent of the children whose mothers have not
graduated from high school persist at a task and are eager to
learn.
Brief Bill Summary: K+ creates a competitive grant program
for states to provide

[[Page S8131]]

local education agencies (LEAs) with funds to provide
kindergarten to disadvantaged children the summer before and
the summer after the traditional kindergarten school year. In
awarding grants to LEAs, States shall give priority to
educational agencies serving the greatest number or
percentage of kindergarten-aged children who are from
families with incomes below 185 percent of the poverty line
and to LEAs that will significantly reduce kindergarten class
sizes for their summer programs.
To be eligible for a grant, States must have in place:
developmentally appropriate practices and curriculum; goals
and objectives for a high quality summer program; a
description of how the State will provide professional
development for K+ teachers and staff; a description of how
the State will assist K+ programs to reach out to, and work
with, parents; and, a means to collect evaluative data to
determine the effectiveness of K+ programs across their
state.
To be eligible for a subgrant, LEAs must have in place:
readiness standards and developmentally appropriate
curricula; a plan for using classroom practices and
strategies proven to be effective; a plan for notifying
parents and the community regarding the availability of K+; a
plan for parental involvement in any K+ program; and, a plan
to demonstrate how they will accommodate the needs of working
parents with ``before and after'' child care services.
Funds to LEAs may be used to: pay for operational and
programmatic costs, including personnel and transportation;
transition services to first grade; outreach and recruitment;
parental involvement programs; and child care services. Each
LEA shall ensure a highly qualified teacher and qualified
paraprofessional or for non-school based programs a teacher
that at a minimum has a Bachelor's degree in early childhood
education.
The bill authorizes $1.5 billion for fiscal year 2005, and
such sums as may be necessary for years 2006-2010; the
minimum State grant is $500,000.
______

By Mr. SMITH:
S. 2655. A bill to amend the Internal Revenue Code of 1986 to provide
a credit for the production of water and energy efficient appliances;
to the Committee on Finance.
Mr. SMITH. Mr. President, water is a precious resource that we must
begin to manage as efficiently as possible. In several parts of the
country, development is constrained by the lack of good quality water
and water infrastructure. Having dealt with the water crisis in the
Klamath Basin in 2001, when 1,200 farmers and ranchers had their
irrigation water cut off, I can tell you firsthand that the conflicts
between competing human and environmental needs are real and are
growing.
Benjamin Franklin wrote in Poor Richard's Almanack in 1746, ``When
the well is dry, we know the worth of water.'' Well, in parts of the
West, the well is quickly running dry. As the Los Angeles Times
reported on June 18, 2004, the Western United States may be facing the
biggest drought in 500 years. The current effects in the Colorado River
Basin are considerably worse than those experienced during the Dust
Bowl years of the 1930s. The 10-year drought in the Colorado River
Basin has produced the lowest flows on record, straining an important
water supply resource for millions of people.
One immediate way to stretch available water supplies, as well as
energy resources, is to provide incentives for water and energy
efficient appliances. That is why I am introducing a bill to provide
tax credits for the manufacture of highly efficient residential clothes
washers, dishwashers and refrigerators. The bill builds on the tax
credits for energy-efficient appliances pending before the Senate,
which--if enacted--will expire in 2007. Under this bill, for the first
time, water efficiency is included in the eligibility criteria for the
tax credits, and the energy efficiency criteria are higher. This bill
provides graduated credits to manufacturers. The more efficient the
dishwasher, clothes washer or refrigerator, the higher the credit.
The daily per capita water use around the world varies significantly.
The U.N. Population Fund cites that in the United States, we use an
estimated 152 gallons per day per person, while in the United Kingdom
they use 388 gallons. Africans use 12 gallons a day.
According to the Rocky Mountain Institute, 47 percent of all water
supplied to communities in the United States by public and private
utilities is for residential water use. Of that, clothes washers
account for approximately 22 percent of residential use, while
dishwashers account for about 3 percent.
I firmly believe that we can use technology to improve our
environmental stewardship. Water efficiency can extend our finite water
supplies, and also reduce the amount of wastewater that communities
must treat.
High efficiency clothes washers use 20 to 30 gallons per load,
compared to the 40 to 45 gallons top-loading machines use. The average
annual household water savings is estimated to be 3,500 to 6,000
gallons. Energy savings estimates range from 68 to 70 percent compared
to older, standard clothes washers. High efficiency dishwashers use 39
percent less energy to heat the water and 39 percent less water than
standard models. Refrigerators must use at least 30 percent less energy
than comparably sized models to receive a credit under this bill.
While plumbing fixtures such as toilets, showerheads and faucets must
meet U.S. water efficiency standards, water-using appliances are not
governed by any water-efficiency standards. We can, however, provide an
incentive to lower the cost of these water and energy saving
appliances, which are generally more costly to manufacture than
standard models.
Mr. President, I would urge my colleagues to join me in cosponsoring
this important bill to provide incentives for water and energy
efficient residential appliances. I ask unanimous consent that the text
of the legislation be printed in the Record.
There being no objection, the bill was ordered to be printed in the
Record, as follows:

S. 2655

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 ``Water and Energy Efficient
Appliances Act of 2004''.

SEC. 2. CREDIT FOR WATER AND ENERGY EFFICIENT APPLIANCES.

(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 of the Internal Revenue Code of 1986 (relating to
business-related credits) is amended by adding at the end the
following new section:

``SEC. 45G. WATER AND ENERGY EFFICIENT APPLIANCE CREDIT.

``(a) Allowance of Credit.--
``(1) In general.--For purposes of section 38, the water
and energy efficient appliance credit determined under this
section for the taxable year is an amount equal to the sum of
the amounts determined under paragraph (2) for qualified
water and energy efficient appliances produced by the
taxpayer during the calendar year ending with or within the
taxable year.
``(2) Amount.--The amount determined under this paragraph
for any category described in subsection (b)(2)(B) shall be
the product of the applicable amount for appliances in the
category and the eligible production for the category.
``(b) Applicable Amount; Eligible Production.--For purposes
of subsection (a)--
``(1) Applicable amount.--The applicable amount is--
``(A) $25, in the case of a dishwasher manufactured with an
EF of at least 0.65,
``(B) $50, in the case of a dishwasher manufactured with an
EF of at least 0.69,
``(C) $75, in the case of a clothes washer which is
manufactured with an MEF of at least a 1.80 and a WF of no
more than 7.5,
``(D) $100, in the case of a refrigerator which consumes at
least 30 percent less kilowatt hours per year than the energy
conservation standards for refrigerators promulgated by the
Department of Energy and effective on July 1, 2001, and
``(E) $150, in the case of a clothes washer which is
manufactured with an MEF of at least a 1.80 and a WF of no
more than 5.5.
``(2) Eligible production.--
``(A) In general.--The eligible production of each category
of qualified water and energy efficient appliances is the
excess of--
``(i) the number of appliances in such category which are
produced by the taxpayer during such calendar year, over
``(ii) the average number of appliances in such category
which were produced by the taxpayer during calendar years
2002, 2003, and 2004.
``(B) Categories.--For purposes of subparagraph (A), the
categories are--
``(i) dishwashers described in paragraph (1)(A),
``(ii) dishwashers described in paragraph (1)(B),
``(iii) clothes washers described in paragraph (1)(C),
``(iv) clothes washers described in paragraph (1)(E), and
``(v) refrigerators described in paragraph (1)(D).
``(c) Limitation on Maximum Credit.--
``(1) In general.--The amount of credit allowed under
subsection (a) with respect to a taxpayer for all taxable
years shall not exceed $65,000,000, of which not more than
$15,000,000 may be allowed with respect to the credit
determined by using the applicable amount under subsections
(b)(1)(A) and (b)(1)(B).
``(2) Limitation based on gross receipts.--The credit
allowed under subsection (a) with respect to a taxpayer for
the taxable

[[Page S8132]]

year shall not exceed an amount equal to 2 percent of the
average annual gross receipts of the taxpayer for the 3
taxable years preceding the taxable year in which the credit
is determined.
``(3) Gross receipts.--For purposes of this subsection, the
rules of paragraphs (2) and (3) of section 448(c) shall
apply.
``(d) Definitions.--For purposes of this section--
``(1) Qualified water and energy efficient appliance.--The
term `qualified water and energy efficient appliance' means--
``(A) a dishwasher described in subparagraph (A) or (B) or
subsection (b)(1),
``(B) a clothes washer described in subparagraph (C) or (E)
of subsection (b)(1), or
``(C) a refrigerator described in subparagraph (D) of
subsection (b)(1).
``(2) Dishwasher.--The term `dishwasher' means a standard
residential dishwasher with a capacity of 8 or more place
settings plus 6 serving pieces.
``(3) Clothes washer.--The term `clothes washer' means a
residential clothes washer, including a residential style
coin operated washer.
``(4) Refrigerator.--The term `refrigerator' means an
automatic defrost refrigerator-freezer which has an internal
volume of at least 16.5 cubic feet.
``(5) EF.--The term `EF' means Energy Factor (as determined
by the Secretary of Energy).
``(6) MEF.--The term `MEF' means Modified Energy Factor (as
determined by the Secretary of Energy).
``(7) WF.--The term `WF' means Water Factor (as determined
by the Secretary of Energy).
``(e) Special Rules.--
``(1) In general.--Rules similar to the rules of
subsections (c), (d), and (e) of section 52 shall apply for
purposes of this section.
``(2) Aggregation rules.--All persons treated as a single
employer under subsection (a) or (b) of section 52 or
subsection (m) or (o) of section 414 shall be treated as 1
person for purposes of subsection (a).
``(f) Verification.--The taxpayer shall submit such
information or certification as the Secretary, in
consultation with the Secretary of Energy, determines
necessary to claim the credit amount under subsection (a).
``(g) Termination.--This section shall not apply to water
and energy efficient appliances produced after December 31,
2010.''.
(b) Credit Made Part of General Business Credit.--Section
38(b) of such Code (relating to current year business credit)
is amended by striking ``plus'' at the end of paragraph (14),
by striking the period at the end of paragraph (15) and
inserting ``, plus'', and by adding at the end the following
new paragraph:
``(16) the water and energy efficient appliance credit
determined under section 45G(a).''.
(c) Limitation on Carryback.--Section 39(d) of such Code
(relating to transition rules) is amended by adding at the
end the following new paragraph:
``(11) No carryback of water and energy efficient appliance
credit before effective date.--No portion of the unused
business credit for any taxable year which is attributable to
the water and energy efficient appliance credit determined
under section 45G may be carried to a taxable year ending
before January 1, 2008.''.
(d) Clerical Amendment.--The table of sections for subpart
D of part IV of subchapter A of chapter 1 of such Code is
amended by adding at the end the following new item:

``Sec. 45G. Water and energy efficient appliance credit.''.

(e) Effective Date.--The amendments made by this section
shall apply to appliances produced after December 31, 2007,
in taxable years ending after such date.
______

By Mr. GRAHAM of Florida (for himself and Mr. Nelson of Florida):
S. 2656. A bill to establish a National Commission on the
Quincentennial of the discovery of Florida by Ponce de Leon; to the
Committee on Energy and Natural Resources.
Mr. GRAHAM. Mr. President, in 2013, our nation will celebrate the
500th anniversary of Ponce de Leon's landing on the east coast of
Florida. I am pleased to introduce a bill today that establishes a
commission to determine how we can best commemorate his discovery of
Florida. For a country as young as ours, a Quincentennial is a rare
milestone worthy of tribute.
Juan Ponce de Leon landed on the coast of Florida, south of the
present-day St. Augustine, in April of 1513. During the Easter holiday,
he explored our coasts, visiting the Florida Keys and the west coast of
Florida. The first European explorer to step foot on North American
soil, Ponce de Leon opened Florida and the mainland of the Americas to
the rest of the world. Florida owes its heritage to Ponce de Leon. Even
the name Florida dates back to Ponce de Leon's discovery. When he saw
the lush terrain, Ponce de Leon named the area the ``land of flowers''
or ``Florida'' in Spanish.
While there is no doubt that Ponce de Leon is a key part of Florida's
history, his landing in Florida is ingrained in our entire nation's
early history. Children read in their history books about the myths
surrounding Ponce de Leon's voyages. His quest for the fountain of
youth has become a myth symbolic of the age of exploration.
Other Europeans were encouraged to make the dangerous journey across
the Atlantic toward the Americas, persuaded by the stories of Ponce de
Leon's explorations of the new lands of Florida. Ultimately, his
discovery opened the path for exploration and colonization of the
Americas.
I have drafted this bill with the assistance of a notable scholar
accomplished in the field of early Florida history--Dr. Samuel Proctor,
Distinguished Service Professor Emeritus of History at the University
of Florida. I would like to thank Dr. Proctor for all of his efforts in
drafting this bill.
Funding authorized by this legislation would support the activities
of this commission and would allow for educational activities,
ceremonies, and celebrations. Fittingly, the principal office for this
operation would be located in St. Augustine, FL.
With the establishment of this commission, my hope is to not only
commemorate Ponce de Leon's arrival in Florida but to enhance the
American public's knowledge about the impact of Florida's discovery on
the history of the United States. I hope that my colleagues will
recognize the importance of commemorating this historic event.
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. 2656

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 ``Ponce de Leon Discovery of
Florida Quincentennial Commission Act''.

SEC. 2. FINDINGS.

Congress finds that--
(1) the Quincentennial of the founding of Florida by Ponce
de Leon occurs in 2013, 500 years after Ponce de Leon landed
on its shores and explored the Keys and the west coast of
Florida;
(2) evidence supports the theory that Ponce de Leon was the
first European to land on the shores of Florida;
(3) Florida means ``the land of flowers'' and the State
owes its name to Ponce de Leon;
(4) Ponce de Leon's quest for the ``fountain of youth'' has
become an established legend which has drawn fame and
recognition to Florida and the United States;
(5) the discovery of Florida by Ponce de Leon, the myth of
the ``fountain of youth'', and the subsequent colonization of
Florida encouraged other European countries to explore the
New World and to establish settlements in the territory that
is currently the United States;
(6) Florida was colonized under 5 flags; and
(7) commemoration of the arrival in Florida of Ponce de
Leon and the beginning of the colonization of the Americas
would--
(A) enhance public understanding of the impact of the
discovery of Florida on the history of the United States; and
(B) provide lessons about the importance of exploration and
discovery.

SEC. 3. DEFINITIONS.

In this Act:
(1) Commission.--The term ``Commission'' means the National
Commission on the Quincentennial of the discovery of Florida
by Ponce de Leon established under section 4(a).
(2) Quincentennial.--The term ``Quincentennial'' means the
500th anniversary of the discovery of Florida by Ponce de
Leon.

SEC. 4. ESTABLISHMENT OF COMMISSION.

(a) Establishment.--There is established a commission to be
known as the ``National Commission on the Quincentennial of
the discovery of Florida by Ponce de Leon''.
(b) Duties.--The Commission shall plan, encourage,
coordinate, and conduct the commemoration of the
Quincentennial.
(c) Membership.--
(1) Composition.--The Commission shall be composed of 12
members--
(A) of whom 5 members shall be Republicans and 5 members
shall be Democrats, including--
(i) 6 members, of whom 3 members shall be Republicans and 3
members shall be Democrats, appointed by the President;
(ii) 2 members, of whom 1 member shall be a Republican and
1 member shall be a Democrat, appointed by the President, on
the recommendation of the Majority Leader and the Minority
Leader of the Senate; and
(iii) 2 members, of whom 1 member shall be a Republican and
1 member shall be a Democrat, appointed by the President, on
the recommendation of the Speaker of the House of
Representatives, in consultation with the Minority Leader of
the House of Representatives; and

[[Page S8133]]

(B) including the Director of the National Park Service and
the Secretary of the Smithsonian Institution.
(2) Criteria.--A member of the Commission shall be chosen
from among individuals that have demonstrated a strong sense
of public service, expertise in the appropriate professions,
scholarship, and abilities likely to contribute to the
fulfillment of the duties of the Commission.
(3) International participation.--Not later than 60 days
after the date of enactment of this Act, the President shall
invite the Government of Spain to appoint 1 individual to
serve as a nonvoting member of the Commission.
(4) Date of appointments.--Not later than 60 days after the
date of enactment of this Act, the members of the Commission
described in paragraph (1) shall be appointed.
(d) Term; Vacancies.--
(1) Term.--A member shall be appointed for the life of the
Commission.
(2) Vacancy.--A vacancy on the Commission--
(A) shall not affect the powers of the Commission; and
(B) shall be filled in the same manner as the original
appointment was made.
(e) Initial Meeting.--Not later than 30 days after the date
on which all members of the Commission have been appointed,
the Commission shall hold the initial meeting of the
Commission.
(f) Meetings.--The Commission shall meet at the call of the
co-chairpersons described under subsection (h).
(g) Quorum.--A quorum of the Commission for decision making
purposes shall be 7 members, except that a lesser number of
members, as determined by the Commission, may conduct
meetings.
(h) Co-Chairpersons and Vice Co-Chairpersons.--
(1) Co-chairpersons.--The President shall designate 2 of
the members of the Commission, 1 of whom shall be a
Republican and 1 of whom shall be a Democrat, to be co-
chairpersons of the Commission.
(2) Co-vice-chairpersons.--The Commission shall select 2
co-vice-chairpersons, 1 of whom shall be a Republican and 1
of whom shall be a Democrat, from among the members of the
Commission.

SEC. 5. DUTIES.

(a) In General.--The Commission shall--
(1) conduct a study regarding the feasibility of creating a
National Heritage Area or National Monument to commemorate
the discovery of Florida;
(2) plan and develop activities appropriate to commemorate
the Quincentennial including a limited number of proposed
projects to be undertaken by the appropriate Federal
departments and agencies that commemorate the Quincentennial
by seeking to harmonize and balance the important goals of
ceremony and celebration with the equally important goals of
scholarship and education;
(3) consult with and encourage appropriate Federal
departments and agencies, State and local governments,
elementary and secondary schools, colleges and universities,
foreign governments, and private organizations to organize
and participate in Quincentennial activities commemorating or
examining--
(A) the history of Florida;
(B) the discovery of Florida;
(C) the life of Ponce de Leon;
(D) the myths surrounding Ponce de Leon's search for gold
and for the ``fountain of youth'';
(E) the exploration of Florida; and
(F) the beginnings of the colonization of North America;
and
(4) coordinate activities throughout the United States and
internationally that relate to the history and influence of
the discovery of Florida.
(b) Reports.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Commission shall submit to the
President and the Committee on Energy and Natural Resources
of the Senate and the Committee on Resources of the House of
Representatives a comprehensive report that includes specific
recommendations for--
(A) the allocation of financial and administrative
responsibility among participating entities and persons with
respect to commemoration of the Quincentennial; and
(B) the commemoration of the Quincentennial and related
events through programs and activities, including--
(i) the production, publication, and distribution of books,
pamphlets, films, electronic publications, and other
educational materials focusing on the history and impact of
the discovery of Florida on the United States and the world;
(ii) bibliographical and documentary projects,
publications, and electronic resources;
(iii) conferences, convocations, lectures, seminars, and
other programs;
(iv) the development of programs by and for libraries,
museums, parks and historic sites, including international
and national traveling exhibitions;
(v) ceremonies and celebrations commemorating specific
events;
(vi) the production, distribution, and performance of
artistic works, and of programs and activities, focusing on
the national and international significance of the discovery
of Florida; and
(vii) the issuance of commemorative coins, medals,
certificates of recognition, and stamps.
(2) Annual report.--The Commission shall submit an annual
report that describes the activities, programs, expenditures,
and donations of or received by the Commission to--
(A) the President; and
(B) the Committee on Energy and Natural Resources of the
Senate and the Committee on Resources of the House of
Representatives.
(3) Final report.--Not later than December 31, 2013, the
Commission shall submit a final report that describes the
activities, programs, expenditures, and donations of or
received by the Commission to--
(A) the President; and
(B) the Committee on Energy and Natural Resources of the
Senate and the Committee on Resources of the House of
Representatives.
(c) Assistance.--In carrying out this Act, the Commission
shall consult, cooperate with, and seek advice and assistance
from appropriate Federal departments and agencies, including
the Department of the Interior.

SEC. 6. POWERS OF THE COMMISSION.

(a) In General.--The Commission may provide for--
(1) the preparation, distribution, dissemination,
exhibition, and sale of historical, commemorative, and
informational materials and objects that will contribute to
public awareness of, and interest in, the Quincentennial,
except that any commemorative coin, medal, or postage stamp
recommended to be issued by the United States shall be sold
only by a Federal department or agency;
(2) competitions and awards for historical, scholarly,
artistic, literary, musical, and other works, programs, and
projects relating to the Quincentennial;
(3) a Quincentennial calendar or register of programs and
projects;
(4) a central clearinghouse for information and
coordination regarding dates, events, places, documents,
artifacts, and personalities of Quincentennial historical and
commemorative significance; and
(5) the design and designation of logos, symbols, or marks
for use in connection with the commemoration of the
Quincentennial and shall establish procedures regarding their
use.
(b) Advisory Committee.--The Commission may appoint such
advisory committees as the Commission determines necessary to
carry out the purposes of this Act.

SEC. 7. ADMINISTRATION.

(a) Location of Office.--
(1) Principal office.--The principal office of the
Commission shall be in St. Augustine, Florida.
(2) Satellite office.--The Commission may establish a
satellite office in Washington, D.C.
(b) Staff.--
(1) Appointment of director and deputy director.--
(A) In general.--The co-chairpersons, with the advice of
the Commission, may appoint and terminate a director and
deputy director without regard to the civil service laws
(including regulations).
(B) Delegation to director.--The Commission may delegate
such powers and duties to the director as may be necessary
for the efficient operation and management of the Commission.
(2) Staff paid from federal funds.--The Commission may use
any available Federal funds to appoint and fix the
compensation of not more than 4 additional personnel staff
members, as the Commission determines necessary.
(3) Staff paid from non-federal funds.--The Commission may
use any available non-Federal funds to appoint and fix the
compensation of additional personnel.
(4) Compensation.--
(A) Members.--
(i) In general.--A member of the Commission shall serve
without compensation.
(ii) Travel expenses.--A member of the Commission shall be
allowed travel expenses, including per diem in lieu of
subsistence, at rates authorized for an employee of an agency
under subchapter I of chapter 57 of title 5, United States
Code, while away from the home or regular place of business
of the member in the performance of the duties of the
Commission.
(B) Staff.--
(i) In general.--The co-chairpersons of the Commission may
fix the compensation of the director, deputy director, and
other personnel without regard to the provisions of chapter
51 and subchapter III of chapter 53 of title 5, United States
Code, relating to classification of positions and General
Schedule pay rates.
(ii) Maximum rate of pay.--

(I) Director.--The rate of pay for the director shall not
exceed the rate payable for level IV of the Executive
Schedule under section 5315 of title 5, United States Code.
(II) Deputy director.--The rate of pay for the deputy
director shall not exceed the rate payable for level V of the
Executive Schedule under section 5316 of title 5, United
States Code.
(III) Staff members.--The rate of pay for staff members
appointed under paragraph (2) shall not exceed the rate
payable for grade GS-15 of the General Schedule under section
5332 of title 5, United States Code.

(c) Detail of Federal Government Employees.--
(1) In general.--On request of the Commission, the head of
any Federal agency or department may detail any of the
personnel of the agency or department to the Commission to
assist the Commission in carrying out this Act.

[[Page S8134]]

(2) Reimbursement.--A detail of personnel under this
subsection shall be without reimbursement by the Commission
to the agency from which the employee was detailed.
(3) Civil service status.--The detail of the employee shall
be without interruption or loss of civil service status or
privilege.
(d) Other Revenues and Expenditures.--
(1) In general.--The Commission may procure supplies,
services, and property, enter into contracts, and expend
funds appropriated, donated, or received to carry out
contracts.
(2) Donations.--
(A) In general.--The Commission may solicit, accept, use,
and dispose of donations of money, property, or personal
services.
(B) Limitations.--Subject to subparagraph (C), the
Commission shall not accept donations--
(i) the value of which exceeds $50,000 annually, in the
case of donations from an individual; or
(ii) the value of which exceeds $250,000 annually, in the
case of donations from a person other than an individual.
(C) Nonprofit organization.--The limitations in
subparagraph (B) shall not apply in the case of an
organization that is--
(i) described in section 501(c)(3) of the Internal Revenue
Code of 1986; and
(ii) exempt from taxation under section 501(a) of the
Internal Revenue Code of 1986.
(3) Acquired items.--Any book, manuscript, miscellaneous
printed matter, memorabilia, relic, and other material or
property relating to the time period of the discovery of
Florida acquired by the Commission may be deposited for
preservation in national, State, or local libraries, museums,
archives, or other agencies with the consent of the
depositary institution.
(e) Postal Services.--The Commission may use the United
States mail to carry out this Act in the same manner and
under the same conditions as other agencies of the Federal
Government.

SEC. 8. AUTHORIZATION OF APPROPRIATIONS.

(a) In General.--Subject to subsection (b), there are
authorized to be appropriated to carry out the purposes of
this Act such sums as may be necessary for each of fiscal
years 2005 through 2013.
(b) Availability of Funds.--Amounts appropriated under this
section for any fiscal year shall remain available until
December 31, 2013.

SEC. 9. TERMINATION OF AUTHORITY.

The authority provided by this Act terminates effective
December 31, 2013.
______

By Ms. COLLINS (for herself and Mr. Akaka):
S. 2657. A bill to amend part III of title 5, United States Code, to
provide for the establishment of programs under which supplemental
dental and vision benefits are made available to Federal employees,
retirees, and their dependents, to expand the contracting authority of
the Office of Personnel Management, and for other purposes; to the
Committee on Governmental Affairs.
Ms. COLLINS. Mr. President. I am pleased today to introduce
legislation with my friend and colleague, Senator Akaka, that would
give Federal employees, retirees, and their families greater access to
comprehensive dental and vision insurance coverage. The Federal
Employee Dental and Vision Benefits Enhancement Act of 2004 would
establish a voluntary program under which Federal employees and
annuitants may purchase dental and vision coverage. The legislation
grants the Office of Personnel Management (OPM) the authority to select
the appropriate combination of nationwide and regional companies and a
variety of benefit packages to meet the diverse needs of our Federal
employee and annuitant population.
The National Institute of Dental and Craniofacial Research estimates
that for every dollar spent on dental disease prevention, $4 is saved
in subsequent treatment costs. Improved access to dental and vision
care is an essential component of any comprehensive health care
strategy. Federal employees need and deserve increased access to dental
and vision benefits.
Today, the Federal community has access to excellent medical coverage
through the Federal Employees Health Benefits Program (FEHB).
Unfortunately, the program provides reimbursement for only a small
fraction of dental care. Customer surveys indicate that FEHB enrollees
want more comprehensive dental and vision benefits than those that are
currently being provided in the FEHB program. The increasing demand for
dental and vision benefits has prompted Senator Akaka and me to pursue
legislation that would offer separate and improved coverage for Federal
employees, retirees, and their families.
The stand-alone model contained in my legislation preserves the
integrity of the FEHB while encouraging the purchase of additional
dental and vision coverage. It is important to note that nothing in my
legislation prevents the existing medical carriers from continuing to
offer dental and vision coverage under the FEHBP. Further, nothing in
the legislation precludes current FEHBP carriers from participating in
the competitive process to offer benefits under the new voluntary
dental and vision programs. The legislation simply provides a mechanism
for dental and vision companies to participate in the Federal employee
benefits arena.
In recognition of the enormous fiscal pressures faced by the Federal
Government, the legislation is designed to provide an employee-paid
dental and vision benefit, patterned after the Federal Employees Long-
Term Care Insurance Program. By leveraging the purchasing power of the
Federal Government, combined with market-driven competition, OPM would
have the ability to provide access to more comprehensive dental and
vision coverage to employees and retirees at no cost to the Federal
Government. Federal employees would have the confidence that OPM has
given its seal of approval to the benefit packages provided under the
voluntary programs.

The legislation recognizes the geographic dispersion of the Federal
workforce and the need for greater access to care through local dental
and eye health professionals by requiring companies to provide coverage
in under-served areas. For example, companies selected to provide
coverage to a particular region would be required to develop and
maintain provider networks in all States, including States where access
to care may be less available.
While the legislation lists general categories of benefits that may
be offered under the new programs, the statutory model is flexible to
ensure that the benefit packages can be modified over time to
incorporate future advances in dental and vision products, therapies,
and technologies.
Employees look to their employer to provide education about their
benefits. For this reason, the legislation requires OPM to make
available the educational tools necessary so that Federal employees
have a clear understanding of the choices available to them. Employees
will have access to information on how the voluntary plans can
supplement the existing, though limited, coverage offered by their
medical plan under the FEHBP, to meet their individual needs for care.
OPM would also educate employees about the value of their existing
Flexible Spending Accounts to help cover out-of-pocket dental and
vision expenses. These options can help Federal employees and
annuitants get the best value for their premium dollar.
Administration by OPM would ensure that each contract is awarded on
the basis of quality and price, and that the companies understand and
adapt to the needs of Federal employees, retirees, and their families.
Additionally, OPM would provide participants access to a process to
appeal adverse benefit determinations. Premiums can be made through
payroll or annuity deductions, direct payments to the participating
companies, or both. The plans would be open to all Federal civilian
employees and annuitants, regardless of whether they currently
participate in the FEHBP.
As with the Long-Term Care Insurance Program, our measure for the
success of the dental and vision programs would be the extent to which
Federal employees purchase these benefits.
My colleagues and I have recognized, through our support of
legislation to assist the Federal Government with its recruitment and
retention efforts, that the Federal Government's most important asset
is its human capital. Employees of 48 State governments offer or
provide access to dental benefit plans to employees. Surveys indicate
that 95 percent of employers with 500 or more employees provide dental
insurance. The opportunity to purchase enhanced dental and vision
coverage will help the government with its ongoing efforts to recruit
and retain a highly qualified workforce.
The legislation is supported by the American Federation of Government
Employees, the National Treasury Employees Union, the National
Association of Dental Plans, and the American Optometric Association. I
hope my colleagues will join me in providing our

[[Page S8135]]

Federal employee community with greater access to dental and vision
coverage.
______

By Mr. DOMENICI (for himself, Mrs. Feinstein, Mr. Craig, Mr.
Bingaman, and Mr. Durbin):
S. 2658. A bill to establish a Department of Energy National
Laboratories water technology research and development program, and for
other purposes; to the Committee on Environment and Public Works.
Mr. DOMENICI. Mr. President. There is no more important or essential
substance to us than water. It is the source from which life springs.
It also has the potential to be the source of incredible conflict
ranging from local to international levels. Fresh water supplies are
coming under pressure all over the globe. By mid-century, over half of
the world's population will face severe water shortages. These
shortages go beyond drinking water; particularly important is the nexus
of water and energy production--another flash point in global affairs.
Seriously confronting this problem before it leads to tremendous
burdens on this nation and the world is an endeavor as worthwhile as
any I can contemplate.
Research and development in this area has long been without concerted
national attention. Water and water rights have traditionally been
under the purview of the States, and rightly so. But few States have
the capacity and funding to adequately address this problem. Users of
water resources are highly risk averse and can ill afford to take
chances on unproven technology. At the Federal level, at least
seventeen agencies do water research, however only three currently
engage in water supply augmentation research--the Department of
Agriculture, the Bureau of Reclamation, and the Department of Energy.
According to the National Research Council's June 17, 2004 report
entitled ``Confronting the Nation's Water Problems: The Role of
Research,'' the total Federal investment in water resources research in
2000 dollars has been level at $700m since 1967. The Federal investment
in 2000 was 5 percent less than the investment in 1973 in indexed
dollars. The total Federal water research investment of $700m
represents about 0.5 percent of the Federal research budget--for the
most fundamental resource need. Investment in Water supply augmentation
research funding has declined from $160m in 1970 to $14m in 2000.
These circumstances have led to neglect in long-term, cutting edge,
commercially viable research and development. This is ultimately
untenable. We know what is possible, we have acted successfully before.
Federal investment in the 1960's and 1970's is the basis for existing
desalination technology that substantially expanded U.S. and world wide
water supplies. We know that a similar investment can again achieve
such results. Thus, the lack of Federal investment is unacceptable
given our prior experiences and our complete and utter dependence on
this resource.
Our nation's efforts to address these problems must be fought on
multiple fronts. We must provide for development and maintenance of
water infrastructure, particularly in rural areas. This is the
infrastructure that sustains our lives and livelihoods. We must make
our management of this precious resource more rational. We must make a
concerted effort to more fully understand and extend the limits of our
fresh and lower quality water. We must coordinate and enhance our
technology to address both water quality and quantity. We cannot fight
all these fronts with one effort, but we can begin to address aspects
of the problem.

To that end, I introduce today the Department of Energy National
Laboratories Water Research and Development Act of 2004. This
admittedly ambitious bill authorizes a substantial Federal investment
of up to $200 million per year for basic and applied research and
development in water supply technologies. The emphasis of this program
is developing and deploying new and affordable technology to improve
water quantity and quality. Its primary goal is to facilitate and guide
research, development, and deployment of affordable and cutting edge
technology that increases the quantity and quality of water available
for multiple uses. This will be done across the Nation, in a wide range
of hydrogeographies and water situations.
The effort combines the expertise and resources of our great National
Laboratories and universities across the country. The Program builds on
the immense investment in new technology and basic science within the
labs and universities and directs it toward this critical human need.
It will also compliment and strengthen the many programs and efforts
underway at Federal agencies and non-governmental organizations.
The Act authorizes the Department of Energy, through the National
Laboratories, to partner with universities in specified regions to work
on technology for particularized areas of research. Each region will be
tasked with addressing a given range of issues. These include brine
removal and inland desalination to re-use and conservation technology.
Furthermore, the water and energy nexus will be fully explored.
Pressures created by water needed to supply energy and energy necessary
to produce usable water have not, to date, been sufficiently addressed.
A grant program will be created to augment existing efforts by non-
program members. Many Federal agencies and non-governmental entities
have ongoing projects in this arena including the Bureau of Reclamation
(``BOR''), the Department of Agriculture (``USDA''), the Department of
Defense (``DOD'') (through the Office of Naval Research), the
Environmental Protection Agency (``EPA''), and NASA. Additionally, the
Program fully incorporates public-private partnerships such as those
already working with the American Water Resources Research Foundation,
the WateReuse Foundation and many others.
Finally, this bill creates a National Water Supply Law and Policy
Institute. The Policy Center's responsibilities include identifying
intervention points where technological development may help alleviate
real and potential water supply problems. The Policy Institute will act
as a clearinghouse for relevant information on regulations, laws and
codes--from municipal to national scales focused on helping to overcome
obstacles of new technology that can expand water supplies.
The Program will be administered by a Program Coordinator appointed
by the Secretary of Energy. The Coordinator will administer the program
from facilities located at Sandia National Laboratory, our Nation's
best applied engineering lab. Acting as the coordinating institution,
Sandia is responsible for technology development road-mapping and
assisting the Regional Centers in transferring their creations from
bench-scale to commercialization. Sandia is also charged with guiding
the Policy Center.
The conditions are present to necessitate the Federal government
taking a lead role. We must act now. The costs of inaction will be
borne by all of us. The market is skewed against development. It is a
matter of personal and national security. It is a matter of human
necessity. It is a matter of time.
The need is great. The goal is good. Let us begin.
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. 2658

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 ``Department of Energy
National Laboratories Water Technology Research and
Development Act''.

SEC. 2. PURPOSE.

The purpose of this Act is to establish within the
Department of Energy a program for research on and the
development of economically viable technologies that would--
(1) substantially improve access to existing water
resources;
(2) promote improved access to untapped water resources;
(3) facilitate the widespread commercialization of newly
developed water supply technologies for use in real-world
applications;
(4) provide objective analyses of, and propose changes to,
current water supply laws and policies relating to the
implementation and acceptance of new water supply
technologies developed under the program; and
(5) facilitate collaboration among Federal agencies in the
conduct of research under this Act and otherwise provide for
the integration of research on, and disclosure of information
relating to, water supply technologies.

[[Page S8136]]

SEC. 3. DEFINITIONS.

In this Act:
(1) Advisory panel.--The term ``Advisory Panel'' means the
National Water Supply Technology Advisory Panel established
under section 5(a).
(2) Institute.--The term ``Institute'' means the National
Water Supply Law and Policy Institute designated by section
8(a).
(3) Program.--The term ``program'' means the National
Laboratories water technology research and development
program established under section 4(a).
(4) Program coordinator.--The term ``Program Coordinator''
means the individual appointed to administer the program
under section 4(c).
(5) Regional center.--The term ``Regional Center'' means a
Regional Center designated under subsection (b) or (e) of
section 6.
(6) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(7) Water supply technology.--The term ``water supply
technology'' means a technology that is designed to improve
water quality, make more efficient use of existing water
resources, or develop potential water resources, including
technologies for--
(A) reducing water consumption in the production or
generation of energy;
(B) desalination and related concentrate disposal;
(C) water reuse;
(D) contaminant removal, such as toxics identified by the
Environmental Portection Agency and new and emerging
contaminants (including perchlorate and nitrates);
(E) agriculture, industrial, and municipal efficiency; and
(F) water monitoring and systems analysis.

SEC. 4. NATIONAL LABORATORIES WATER TECHNOLOGY RESEARCH AND
DEVELOPMENT PROGRAM.

(a) Establishment.--The Secretary shall establish a
National Laboratories water technology research and
development program for research on, and the development and
commercialization of, water supply technologies.
(b) Program Lead Laboratory.--The program shall be carried
out by the National Laboratories, with Sandia National
Laboratory designated as the lead laboratory for the program.
(c) Program Coordinator.--
(1) In general.--The Secretary shall appoint an individual
at Sandia National Laboratory as the Program Coordinator to
administer the program.
(2) Duties.--In carrying out the program, the Program
Coordinator shall--
(A) establish budgetary and contracting procedures for the
program;
(B) perform administrative duties relating to the program;
(C) provide grants under section 7;
(D) conduct peer review of water supply technology
proposals and research results;
(E) establish procedures to determine which water supply
technologies would most improve water quality, make the most
efficient use of existing water resources, and provide
optimum development of potential water resources.
(F) coordinate budgets for water supply technology research
at Regional Centers;
(G) coordinate research carried out under the program,
including research carried out by Regional Centers;
(H) perform annual evaluations of research progress made by
grant recipients and Regional Centers;
(I) establish a water supply technology transfer program to
identify, and facilitate commercialization of, promising
water supply technologies, including construction and
implementation of demonstration facilities, partnerships with
industry consortia, and collaboration with other Federal
programs;
(J) establish procedures and criteria for the Advisory
Panel to use in reviewing Regional Center performance;
(K) widely distribute information on the program, including
through research conferences; and
(L) implement cross-cutting research to develop sensor and
monitoring systems for water and energy efficiency and
management.

SEC. 5. NATIONAL WATER SUPPLY TECHNOLOGY ADVISORY PANEL.

(a) Establishment.--The Secretary shall establish an
advisory panel, to be known as the ``National Water Supply
Technology Advisory Panel'', to advise the Program
Coordinator on the direction of the program and facilitating
the commercialization of the water supply technologies
developed under the program.
(b) Membership.--Members of the Advisory Panel shall--
(1) have expertise in water supply technology; and
(2) be representative of educational institutions,
industry, States, local government, international water
technology institutions, other Federal agencies, and
nongovernmental organizations.
(c) Assessment Responsibilities.--In addition to other
responsibilities, the Advisory Panel shall--
(1) periodically assess the performance of the National
Laboratories and universities designated as Regional Centers
under section 6; and
(2) make recommendations to the Secretary for renewing the
designation of Regional Centers.

SEC. 6. REGIONAL CENTERS.

(a) In General.--A Regional Center shall--
(1) consist of 1 National Laboratory designated under
subsection (b) or (e), acting in partnership with 1 or more
universities selected under subsection (c); and
(2) be eligible for a grant under section 7(a) for the
conduct of research on the specific water supply technologies
identified under subsection (b) or (e).
(b) Initial Regional Centers.--There are designated as
Regional Centers--
(1) the Northeast Regional Center, consisting of the
Brookhaven National Laboratory and any university partners
selected under subsection (c), which shall conduct research
on reducing water quality impacts from power plant outfall
and decentralized (soft-path) water treatment;
(2) the Central Atlantic Regional Center, consisting of the
National Energy Technology Laboratory and any university
partners selected under subsection (c), which shall conduct
research on produced water purification and use for power
production and water reuse for large cities;
(3) the Southeast Regional Center, consisting of the Oak
Ridge National Laboratory and any university partners
selected under subsection (c), which shall conduct research
on--
(A) shallow aquifer conjunctive water use;
(B) energy reduction for sea water desalination; and
(C) membrane technology development.
(4) the Midwest Regional Center, consisting of the Argonne
National Laboratory and any university partners selected
under subsection (c), which shall conduct research on--
(A) water efficiency in manufacturing; and
(B) energy reduction in wastewater treatment;
(5) the Central Regional Center, consisting of the Idaho
National Engineering and Environmental Laboratory and any
university partners selected under subsection (c), which
shall conduct research on--
(A) cogeneration of nuclear power and water;
(B) energy systems for pumping irrigation; and
(C) watershed management;
(6) the West Regional Center, consisting of the Pacific
Northwest National Laboratory and any university partners
selected under subsection (c), which shall conduct research
on conjunctive management of hydropower and mining water
reuse, including separations processes;
(7) the Southwest Regional Center, consisting of the Los
Alamos National Laboratory and any university partners
selected under subsection (c), which shall conduct research
on--
(A) water for power production in arid environments;
(B) energy reduction and waste disposal for brackish
desalination;
(C) high water and energy efficiency in arid agriculture;
and
(D) transboundary water management; and
(8) the Pacific Regional Center, consisting of the Lawrence
Livermore National Laboratory and any university partners
selected under subsection (c), which shall conduct research
on--
(A) point of use technology, water treatment, and
conveyance energy reduction;
(B) co-located energy production and water treatment; and
(C) water reuse for agriculture.
(c) Selection of University Partners.--Not later than 180
days after the date on which a National Laboratory is
designated under subsection (b) or (e), each National
Laboratory, in consultation with the Program Coordinator and
the Advisory Panel, shall select a primary university partner
and may nominate additional university partners.
(d) Operational Procedures.--Not later than 1 year after
the date of enactment of this Act, a Regional Center
designated by subsection (b) shall submit to the Program
Coordinator operational procedures for the Regional Center.
(e) Additional Regional Centers.--Subject to approval by
the Advisory Panel, the Program Coordinator may, not sooner
than 5 years after the date of enactment of this Act,
designate not more than 4 additional Regional Centers if the
Program Coordinator determines that there are additional
water supply technologies that need to be researched.
(f) Period of Designation.--
(1) In general.--A designation by subsection (b) or under
subsection (c) shall be for a period of 5 years.
(2) Assessment.--A Regional Center shall be subject to
periodic assessments by the Program Coordinator in accordance
with procedures and criteria established under section
4(b)(2)(K)(i).
(3) Renewal.--After the initial period under paragraph (1),
a designation may be renewed for subsequent 5-year periods by
the Program Coordinator in accordance with procedures and
criteria established under section 4(b)(2)(K)(ii).
(4) Termination or nonrenewal.--
(A) In general.--Based on a periodic assessment conducted
under paragraph (2), in accordance with the procedures and
criteria established under section 4(b)(2)(K)(iii), and after
review by the Advisory Panel, the Program Coordinator may
recommend that the Secretary terminate or determine not to
renew the designation of a Regional Center.
(B) Termination.--Following a recommendation for
termination or nonrenewal by the Program Coordinator, the
Secretary

[[Page S8137]]

may terminate or choose not to renew the designation of a
Regional Center.
(g) Executive Director.--A Regional Center shall be
administered by an executive director, subject to approval by
the Program Coordinator.
(h) Publication of Research Results.--A Regional Center
shall periodically publish the results of any research
carried out under the program in appropriate peer-reviewed
journals.

SEC. 7. PROGRAM GRANTS.

(a) Block Grants to Regional Centers.--
(1) In general.--The Program Coordinator shall, subject to
the availability of appropriations, provide a block grant to
a Regional Center for the conduct of research in the specific
area identified for the Research Center under section 6(b).
(2) Distribution.--Of the amounts made available to a
Regional Center under paragraph (1), 50 percent shall be
distributed to the university partners selected under section
6(c), in accordance with the operational procedures for the
Regional Center developed under section 6(d).
(3) Cost-sharing requirement.--A National Laboratory or
university partner that receives a grant provided under this
subsection shall not be subject to a cost-sharing
requirement.
(b) Grants to Collaborative Institutions.--
(1) In general.--The Program Coordinator shall provide
competitive grants to eligible collaborative institutions for
water supply technology research, development, and
demonstration projects.
(2) Eligible collaborative institutions.--The following are
eligible for grants under paragraph (1):
(A) Nongovernmental organizations.
(B) National Laboratories.
(C) Private corporations.
(D) Industry consortia.
(E) Universities or university consortia.
(F) International research consortia.
(G) Any other entity with expertise in the conduct of
research on water supply technologies.
(3) Distribution.--Of the amounts made available for grants
under paragraph (1)--
(A) not less than 15 percent or more than 25 percent shall
be provided as block grants to nongovernmental organizations,
which may be redistributed by the nongovernmental
organization to individual projects;
(B) not less than 20 percent or more than 30 percent shall
be provided to National Laboratories;
(C) not less than 15 percent or more than 25 percent shall
be provided to support individual projects that are
recommended by at least 1 other Federal Agency; and
(D) any amounts remaining after the distributions under
subparagraphs (A) through (C) may be provided to support
individual projects, as the Program Coordinator determines to
be appropriate.
(4) Cost-sharing requirements.--
(A) Grants to nongovernmental organizations and individual
projects.--The non-Federal share of the total cost of any
project assisted under subparagraphs (A) or (C) of paragraph
(3) shall be 50 percent.
(B) Grants to national laboratories.--A National Laboratory
that receives a grant under paragraph (3)(B) shall not be
subject to a cost-sharing requirement.
(C) Grants to other entities.--The non-Federal share of the
total cost of any project assisted under paragraph (3)(D)
shall be 25 percent.
(5) Term of grant.--
(A) In general.--Except as provided in subparagraph (B), a
grant provided under paragraph (1) shall be for a term of 2
years.
(B) Renewal.--The Program Coordinator may renew a grant for
up to 2 additional years as the Program Coordinator
determines to be appropriate.
(6) Treatment of funds.--Amounts received under a grant
provided to a non-Federal entity under this subsection shall
be considered to be non-Federal funds when used as matching
funds by the non-Federal entity toward a Federal cost-shared
project conducted under another program.
(7) Criteria.--The Program Coordinator shall establish
criteria for the submission and review of grant applications
and the provision of grants under paragraph (1).

SEC. 8. NATIONAL WATER SUPPLY LAW AND POLICY INSTITUTE.

(a) Designation.--The Utton Center at the University of New
Mexico Law School is designated as the National Water Supply
Law and Policy Institute.
(b) Duties.--The Institute shall--
(1) establish a database of existing water laws,
regulations, and policy;
(2) provide legal, regulatory, and policy alternatives to
increase national and international water supplies;
(3) consult with the Regional Centers, other participants
in the program (including States), and other interested
persons, on water law and policy and the effect of that
policy on the development and commercialization of water
supply technologies; and
(4) conduct an annual water law and policy seminar to
provide information on research carried out or funded by the
Institute.
(c) Partnerships.--The Institute may enter into
partnerships with other institutions to assist in carrying
out the duties of the Institute under subsection (b).
(d) Executive Director.--The Institute shall be
administered by an executive director, to be appointed by the
dean of the University of New Mexico Law School, in
consultation with the Program Coordinator.

SEC. 9. REPORTS.

(a) Reports to Program Coordinator.--Any Regional Center,
National Laboratory, or collaborative institution that
receives a grant under section 7 shall submit to the Program
Coordinator an annual report on activities carried out using
amounts made available under this Act during the preceding
fiscal year.
(b) Report to Congress.--Not later than 3 years after the
date of enactment of this Act and each year thereafter, the
Program Coordinator shall submit to the Secretary and
Congress a report that describes the activities carried out
under this Act.

SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

(a) In General.--There are authorized to be appropriated to
the Secretary for fiscal year 2005 and each subsequent fiscal
year--
(1) for the administration of the program by the Program
Coordinator and the construction of any necessary program
facilities, $25,000,000; and
(2) for research and development carried out under the
program, $200,000,000.
(b) Allocation.--Of amounts made available under subsection
(a)(2) for a fiscal year--
(1) at least 15 percent shall be made available for the
water supply technology transfer program established under
section 4(b)(2)(I);
(2) the lesser of $10,000,000 or 5 percent shall be made
available for grants under section 7(a);
(3) at least 30 percent shall be made available for grants
to collaborative institutions under section 7(b); and
(4) the lesser of $10,000,000 or 5 percent shall be made
available for the Institute.

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