[Congressional Record Volume 152, Number 125 (Friday, September 29, 2006)]
[Senate]
[Pages S10682-S10748]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS
By Mr. REID:
S. 3994. A bill to extend the Iran and Libya Sanctions Act of 1996;
read the first time.
Mr. REID. Mr. President, I ask unanimous consent that the text of the
bill be printed in the Record.
There being no objection, the bill was ordered to be printed in the
Record, as follows:
S. 3994
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
Section 13(b) of the Iran and Libya Sanctions Act of 1996
(50 U.S.C. 1701 note) is amended by striking ``on September
29, 2006'' and inserting ``on November 17, 2006''
______
By Mr. DeMINT (for himself and Mr. Obama):
S. 3995. A bill to provide education opportunity grants to low-income
secondary school students; to the Committee on Health, Education,
Labor, and Pensions.
Mr. DeMINT. Mr. President, I rise to speak about legislation that I
am introducing today along with the Senator from Illinois, Mr. Obama.
At this time of year, with much bitter partisanship, I really am
pleased to work with Senator Obama for something that we think is
important to the country.
The Education Opportunity Act is a bill that would significantly
expand college-level opportunities for low-income high school students
and teach these students that success in school can mean success in
life.
In the fast-paced, technologically advanced global economy of the
21st century, old distinctions between high school and college are
becoming obsolete. For our students to succeed in tomorrow's workplace,
we must be innovative and allow more choices of study today.
As we look toward reauthorizing No Child Left Behind, I believe it is
important to examine what has worked and where students are still
falling between the cracks. While we have expanded advanced placement
classes, what we call AP classes, through the President's Advanced
Placement Incentives Program, I believe we are missing another vital
avenue to increase college-level opportunities for low-income students.
That is why I am proud to work together with Senator Obama to establish
education opportunity grants for high school students.
Our bill is similar to the Federal Pell grant program, which funds
need-based aid that does not have to be repaid by the students. These
grants could be made available for classes at community colleges or
universities that would admit a high school student to enroll in
classes. These grant scholarships will help keep our high school
students in school by raising their expectations and showing them that
they can do college-level work. They could also accumulate college-
level credits while still in high school.
Our national dropout rate is at record highs, and it is on the rise.
In my own home State of South Carolina, high school students are
dropping out at an alarming rate, with half of all students failing to
complete high school in 4 years. It is no secret that most of these at-
risk students are from low-income families.
Currently, there are only two ways high school students can gain
college credit. They either take the AP classes at high school or
participate in dual enrollment programs. Some high schools,
particularly those with a high percentage of low-income students, are
not able to offer advanced placement classes, and students are required
to forgo college classes that they might want to take because their
families can't afford to foot the bill. The result is that students
with great promise who happen to come from disadvantaged families lose
interest in a school that does not offer classes tailored to their
talents and interests.
Senator Obama and I believe if we expose students to the hundreds of
classes available at their local colleges, some of which are listed on
the chart behind me, many students who are not excited about high
school world history classes will, instead, discover that they are
interested in computer science or marketing and can learn a skill that
they can see will directly apply to a future job.
Make no mistake, traditional classes in biology, English, and history
are important. But if a student drops out because they don't have the
flexibility to also pursue more nontraditional avenues, those classes
do not do them any good.
Education opportunity grants are a cost-effective way to educate
students by utilizing the preexisting infrastructure already available
at local colleges. I believe this will show many students that a
college degree is attainable and that they will be better prepared to
start college or enter the workforce with marketable skills as a high
school graduate.
As I mentioned before, I believe it is critical that we do a better
job accommodating the needs of all our students and continue to create
opportunities for each young person to learn in ways that make sense to
them and have direct application to their goals in life.
This legislation is one more valuable option for our educational
system to empower students and parents with choices and the ability to
follow an educational path that meets their individual needs.
[[Page S10683]]
It is time we stopped forcing our kids to fit our educational system
and, instead, force our educational system to fit our kids. That is the
only way that success in school will mean success in life.
I thank Senator Obama and his great staff for working with my office
on this important legislation, and I look forward to working with the
Senator from Wyoming, Mr. Enzi, and the Senator from Massachusetts,
Ranking Member Kennedy, to make this legislation a reality.
I yield the floor and suggest the absence of a quorum.
The PRESIDING OFFICER. The clerk will call the roll.
The bill clerk proceeded to call the roll.
Mr. ENZI. Mr. President, I ask unanimous consent the order for the
quorum call be rescinded.
The PRESIDING OFFICER. Without objection, it is so ordered.
Mr. OBAMA. Mr. President, I rise today to join my colleague from
South Carolina, Senator Jim DeMint, in introducing the Education
Opportunity Act.
We often hear that many students who graduate from high school are
not ready for the academic rigors of college. This is especially
problematic for students from low-income families. For these students
to succeed in the transition to college, they must have opportunity,
and a continuity of classroom experiences that prepare them for
success. Academic rigor in a high school curriculum is essential in
establishing the momentum necessary for a student to progress toward a
bachelor's degree.
The unfortunate fact is that not all students have access to a
challenging high school curriculum. Low-income students are often
disadvantaged by a lack of rigorous courses in their high school,
especially in subjects such as the advanced mathematics courses that
are so important for college success. Universities and community
colleges have increasingly provided such courses to high school
students. But the cost of such classes can be a barrier to low-income
students, who are the very students most likely to be enrolled in high
schools that provide the most limited access to challenging college
preparatory curricula.
This legislation will provide a program for grant support to allow
thousands of students with limited exposure to college-level programs
in their high schools to earn college credit at their local university
or community college. I urge my colleagues to join us in extending
opportunities for college success to deserving low-income high school
students.
______
By Mr. FEINGOLD:
S. 3998. A bill to amend the Servicemembers Civil Relief Act to
provide relief for servicemembers with respect to contracts for
cellular phone service, and for other purposes; to the Committee on
Veterans' Affairs.
Mr. FEINGOLD. Mr. President, today I introduce a bill that seeks to
make life a little easier for our servicemembers and their families
when they are called up to duty or transferred. We all recognize the
heroic service the men and women in our armed services provide the
Nation each day. So when I heard stories about servicemembers and their
families in Wisconsin having trouble canceling their cell phone
contracts after being called up, I looked for a way to help. With the
prospect of a combat assignment, the last thing our men and women in
uniform should have to worry about are early termination fees or being
forced to pay for a service they cannot use. I tried to have this
provision adopted as an amendment to the Defense authorization bill in
June and, while I was unsuccessful, I will continue to push for the
adoption of this commonsense measure.
These problems with canceling cellular phone service have not been
just isolated incidents. In fact, the issue has been raised by the
Wisconsin National Guard. I ask unanimous consent that the full
testimony of First Lieutenant Melissa Inlow of the Wisconsin Army
National Guard made at a hearing on a Wisconsin State assembly bill in
April be printed in the Record.
I just want to highlight one part of that testimony that makes the
point that this is a real issue facing our servicemembers: ``It's
becoming increasingly difficult to get cell phone service providers to
suspend the contract. Even with suspension the soldiers are still
paying up to $25 a month for a service they cannot reap the benefits
of. These fees can accumulate to more than the termination fee which on
average is $200.'' First Lieutenant Inlow went on to specifically
recommend that the Servicemembers' Civil Relief Act be amended to
include a section on cellular phones.
First Lieutenant Inlow and the Wisconsin National Guard are not alone
in this opinion either. The National Guard Association of the United
States, the Enlisted Association of the National Guard of the United
States, and the Military Officers Association of America have all
expressed support for my amendment--which is virtually identical to the
legislation I introduce today.
It is common now for cellular phone contracts to require a contract
term of up to two years. Along with these long contracts, there are
often early termination fees of several hundred dollars. When a
National Guard member is called up to active duty or a soldier is
transferred overseas or to a base that isn't covered by their current
provider, they often face the prospect of either paying these
significant fees or paying monthly fees for the remainder of the
contract for a service they cannot use. While many servicemembers and
their families have been able to work with telecommunications companies
to eventually get the early termination fee canceled, the account
suspended, or the fees reduced, they have enough to deal with after
being called up that they should not have this added burden as well.
My legislation proposes that we bring these cellular phone contracts
in line with what we have already done for residential and automotive
leases in the Servicemembers' Civil Relief Act--let the servicemembers
cancel the contract. Under my proposal, if servicemembers are called up
for more than 90 days, transferred overseas, or transferred to a U.S.
duty station where they could not continue their service at the same
rate, they could cancel their contract without a termination fee.
While my legislation helps to prevent servicemembers from being
financially punished for volunteering to protect this country, I have
also tried to make sure that the telecommunications providers are
treated fairly as well. That is why I have included a provision that
would allow the providers to request the return of cell phones provided
as part of the contract. If the company requests the return under this
provision, it would also have to give the servicemember the option of
paying a pro-rated amount for the cell phone should he or she wish to
keep it. Moreover, if the provider and servicemember mutually agree to
suspend instead of terminate the contract, the bill makes sure that the
reactivation fee is waived.
While this is a modest addition to the rights of servicemembers, it
is important that we remove as many unfair burdens facing this
country's men and women in uniform as we can. I hope my colleagues will
share this view and quickly adopt this nonpartisan proposal.
Testimony for the Record of First Lieutenant Melissa Inlow at a Hearing
on Wisconsin Assembly Bill 1174 on April 17, 2006
Thank you, chairman and members of the committee, for the
opportunity to speak. The Department of Military Affairs and
the Wisconsin National Guard is in support of senate bill
1174. I am First Lieutenant Melissa Inlow, a Judge Advocate
General Officer with the Wisconsin Army National Guard. By
granting servicemembers the right to terminate their cell
phone contracts upon mobilization, you are ensuring further
protections and peace of mind for our servicemembers. In
August of 2005, I was brought on to provide legal assistance
to our deployed servicemembers and their families. Since that
time, about 3-5 percent of my time has been dedicated to
assisting servicemembers in resolving issues with their cell
phone service contracts. It's becoming increasingly difficult
to get cell phone service providers to suspend the contract.
Even with suspension the soldiers are still paying up to $25
a month for service they cannot reap the benefits of. These
fees can accumulate to more than the termination fee which on
average is $200. I've found it very difficult and sometimes
impossible to reach a live person and very difficult to reach
a person with decision making authority. Each time I have had
to call a cellular phone service provider, I have talked to
[[Page S10684]]
a different customer service representative, and each has
given me a different resolution to the cell phone issue. The
companies are lacking significantly in internal consistency
when it comes to resolving cell phone contract issues. It has
been my experience that the customer service representatives
of cell phone companies experience high turn over rate and
are not aware of the wireless provider's policy on military
suspension. It is extremely frustrating for me; I can only
imagine the undue stress and strain it causes our deploying
servicemembers and their families that are left behind to
deal with these issues. This change will likely help ease the
stress deployment phaces on our servicemembers allowing them
to focus on their mission. I hope that the Federal Government
will follow suit and amend the Servicemember's Civil Relief
Act to incorporate a section on cell phone contracts.
______
By Mr. LUGAR:
S. 4000. A bill to amend the Internal Revenue Code of 1986 to modify
the alcohol credit and the alternative fuel credit, to amend the Clean
Air Act to promote the installation of fuel pumps for E-85 fuel, to
amend title 49 of the United States Code to require the manufacture of
dual fueled automobiles, and for other purposes; to the Committee on
Finance.
Mr. LUGAR. Mr. President, I rise to introduce the National Fuels
Initiative of 2006. This act presents to this Congress a plan to bring
meaningful reductions in the amount of oil we consume in the United
States and reduce our dependency on oil imports. Dependence on imported
oil has put the United States in a position that no great power should
tolerate. Our economic health is subject to forces far beyond our
control, including the decisions of hostile countries. We maintain a
massive military presence overseas, partly to preserve our oil
lifeline. We have lost leverage on the international stage and are
daily exacerbating the problem by participating in an enormous wealth
transfer to authoritarian nations that happen to possess the commodity
that our economy can least do without. The hundreds of billions of
dollars we spend on oil imports each year weakens our economy, enriches
hostile regimes, and is used by some to support terrorism.
In the absence of revolutionary changes in energy policy, we are
risking multiple disasters for our country that will constrain living
standards, undermine our foreign policy goals, and leave us highly
vulnerable to the machinations of rogue states. There are at least six
threats posed by oil dependence. First oil is vulnerable to supply
disruption as a result of natural disasters, wars, and terrorist
attacks. Price shocks resulting from a major supply loss can put the
U.S. economy into recession. Second, global oil reserves are becoming
more limited as easy supply is depleted, global demand rapidly
increases, and governments exert more control over reserves. This makes
oil more expensive in the short term, and creates the prospect that
supplies may not be accessible in the future. Third, some oil-rich
nations are using energy as an overt weapon. Adversarial regimes from
Venezuela, to Iran, to Russia are using energy supplies as leverage
against their neighbors. Fourth, hundreds of billions of dollars in oil
export revenues flowing to authoritarian regimes increase corruption
and hurt democratic reform. Some oil-rich nations are using this money
to invest in terrorism, instability, or demagogic appeals to populism.
Fifth, the threat of global climate change has been made worse by
inefficient and unclean use of non-renewable energy like oil. This
could bring about drought, famine, disease, and mass migration. And
finally, dependence on oil increases instability and undermines
development in much of the developing world. Rising energy costs can
undermine our foreign assistance and hurt stability, development,
disease eradication, and efforts to combat the root causes of
terrorism.
The new geo-political reality emerging from the global energy
situation and United States dependence on oil imports demand that we
dramatically decrease the amount of oil we consume. In March 2006, I
delivered an address at the Brookings Institution in which I described
``a shifting balance of realism'' from those who believe in the
immutability of oil's domination of our economy and a laissez faire
approach to energy policy to those who recognize that our Nation has no
choice but to seek a major reorientation in the way we get our energy.
Marginally reducing our reliance on imported oil over the course of the
next few decades via the slow progress of market forces will be
welcome, but by the time a sustained energy crisis fully motivates
market forces, we are likely to be well past the point where we can
save ourselves from extensive suffering. We must respond to our energy
vulnerability as a crisis. This is the very essence of a problem
requiring Congressional action.
The heart of America's geostrategic problem is reliance on imported
oil in a market that is dominated by volatile and hostile governments.
We can start to break petroleum's grip right now. The key is to replace
oil used in transportation with renewable fuels and to improve the fuel
efficiency of our cars and trucks.
I outlined the 5 central components of this energy plan at the
Richard G. Lugar--Purdue University Summit on Energy Security on August
29th, 2006. First, this bill sets a goal for the United States to
expand production of renewable fuels to at least 100 billion gallons a
year by 2025. Some of this added production will come from current
corn-based ethanol and biodiesel, but a great majority will be from
emerging cellulosic technology allowing ethanol from diverse sources of
renewable biomass. Second, virtually all new cars sold in America
should be flex-fuel capable. These vehicles give Americans the choice
to use E-85, a blend of 85 percent ethanol and 15 percent gasoline, or
regular gasoline. This bill would require that virtually all vehicles
would be manufactured as flexible fuel vehicles within ten years. This
provision was also part of the Biomass Security Act of 2006 which I
joined Senator Harkin in introducing earlier this year. Third, roughly
25 percent of our nation's fueling stations should offer E-85 within
the next ten years. This provision was also part of the Biomass
Security Act of 2006. This will give consumers choice and help spur
investment in renewable fuel production. Fourth, the bill would enact
increased mileage standards that set a target of steadily improving
fuel economy every year, as well as encourage research into new
advanced technology vehicles such as hybrids and coal-based
transportation fuels. I joined Senator Obama in introducing this
provision earlier this year as the Fuel Economy Reform Act of 2006.
Finally, the bill would establish a revolutionary variable alternative
fuel tax credit to support growth of alternative fuel production. While
this novel portion of the bill should be further debated and improved,
its aim is to increase investment in cellulosic ethanol, coals to
liquid, and other non-petroleum based fuels by reducing risks posed by
oil price manipulation of foreign regimes.
We must move now to address our energy vulnerability because
sufficient investment cannot happen overnight, and it will take years
to build supporting infrastructure and to change behavior. Americans
need to know exactly what the plan is and how we will achieve it. We
not only must understand how to bring alternatives to the market, we
must establish what degree of change would improve our national
security situation, then tailor national policy to achieve that goal.
The energy plan presented in this bill is a package of proposals that
would dramatically improve America's security posture. The plan would
achieve the replacement of 6.5 million barrels of oil per day by
volume--the rough equivalent of one third of the oil used in America
and one half of our oil imports. It would provide more jobs for
Americans instead of sending a deluge of money to hostile countries,
support our farmers instead of foreign terrorists, and promote green
fuels over fossil fuels.
I ask unanimous consent that the full text of this bill be printed in
the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4000
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``National
Fuels Initiative''.
(b) Table of Contents.--The table of contents of this Act
is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Declaration of United States policy on the development and use
of renewable alternative fuels.
Sec. 4. Modification to alcohol credit and alternative fuel credit.
[[Page S10685]]
Sec. 5. Installation of E-85 fuel pumps by major oil companies at owned
stations and branded stations.
Sec. 6. Requirement to manufacture dual fueled automobiles.
Sec. 7. Definition of automobile.
Sec. 8. Average fuel economy standards.
Sec. 9. Credit trading and compliance.
Sec. 10. Consumer tax credit.
Sec. 11. Advanced technology motor vehicles manufacturing credit.
SEC. 2. FINDINGS.
Congress makes the following findings:
(1) The national security and economic prosperity of the
United States is threatened by our oil dependence, and the
reliance of the United States on oil imports impinges on our
foreign policy. Adversarial regimes rich in oil and natural
gas are using their energy supplies as leverage against
import-dependent countries and are using increased revenues
from oil and gas exports to gain international influence,
fund anti-American appeals, entrench authoritarianism, and
support terrorism.
(2) Global competition for oil reserves is increasing as
supply is depleted, demand increases, and foreign governments
attempt to exert more control over reserves. Supplies of oil
are vulnerable to disruption resulting from war, political
manipulation, natural disasters, and terrorist attacks. A
major loss in oil supply could result in a price shock
extremely damaging to the economy of the United States and
our way of life, and competition over scarce resources could
create conflict.
(3) Inefficient and unclean use of oil damages the
environment and worsens the threat of global climate change.
SEC. 3. DECLARATION OF UNITED STATES POLICY ON THE
DEVELOPMENT AND USE OF RENEWABLE ALTERNATIVE
FUELS.
Congress declares that:
(1) It is the policy of the United States to reduce
dependence on imported oil through increased efficiency and
diversification of fuel sources through dramatically expanded
use of clean alternative fuels. Such a reduction will
increase the foreign policy flexibility of the United States,
make the United States less vulnerable to oil supply
disruption, and promote economic growth. The United States
will continue to promote research and development of a range
of alternatives fuels, and it will implement policies to
accelerate the deployment and commercialization of existing
efficiency and alternative fuels technologies.
(2) It is the policy goal of the United States to produce
and utilize the equivalent of at least 100,000,000,000
gallons of renewable fuel per year by 2025. This amount of
renewable fuel, along with innovation in fuel efficiency,
will substantially reduce the need for oil imports in the
United States.
(3) It is the policy of the United States to promote the
development of a global biofuels market through partnerships
with other nations and to reduce trade barriers for renewable
fuels.
SEC. 4. MODIFICATION TO ALCOHOL CREDIT AND ALTERNATIVE FUEL
CREDIT.
(a) Income Tax Credit for Alcohol.--
(1) Rate based on price of oil.--Section 40 of the Internal
Revenue Code of 1986 (relating to alcohol used as fuel) is
amended by striking ``60 cents'' each place it appears and
inserting ``the applicable amount''.
(2) Applicable amount.--Subsection (h) of section 40 of
such Code is amended to read as follows:
``(h) Applicable Amount.--
``(1) In general.--For purposes of this section, the term
`applicable amount' means, with respect to any quarter--
``(A) $.05 for each $1 (or any fraction thereof) by which
$45 exceeds--
``(i) in the case of the alcohol mixture credit, the
average price of a barrel of oil for the quarter during which
the qualified mixture in which the alcohol was used is sold
or used, and
``(ii) in the case of the alcohol credit, the average price
of a barrel of oil for the quarter during which the alcohol
was sold or used, and
``(B) $0 for any quarter in which the price of a barrel of
oil is greater than $45.
``(2) Determination of average price.--The average price of
a barrel of oil shall be determined under regulations
prescribed by the Secretary.
``(3) Barrel.--For purposes of this subsection, the term
`barrel' means 42 United States gallons.''.
(3) Elimination of small ethanol producer credit.--
(A) Section 40(a) of such Code is amended--
(i) by striking ``, plus'' at the end of paragraph (2) and
inserting a period, and
(ii) by striking paragraph (3).
(B) Section 40(b) of such Code is amended by striking
paragraph (4) and by redesignating paragraph (5) as paragraph
(4).
(C)(i) Section 40(d)(3) of such Code is amended by striking
subparagraph (C) and redesignating subparagraph (D) as
subparagraph (C).
(ii) Section 40(d)(3)(C) of such Code, as redesignated by
clause (i), is amended by striking ``subparagraph (A), (B),
or (C)'' and inserting ``subparagraph (A) or (C)''.
(D) Section 40 of such Code is amended by striking
subsection (g) and by redesignating subsection (h), as
amended by paragraph (2), as subsection (g).
(4) Extension of credit.--Paragraph (1) of section 40(e) of
such Code is amended--
(A) in subparagraph (A), by striking ``2010'' and inserting
``2020'', and
(B) in subparagraph (B), by striking ``2011'' and inserting
``2021''.
(5) Conforming amendment.--Section 40(b) of such Code, as
amended by subsection (a), is amended by striking paragraph
(3) and by redesignating paragraph (4) as paragraph (3).
(b) Modifications to Excise Tax Credit and Payments for
Alcohol.--
(1) In general.--Paragraph (2) of section 6426(b) of the
Internal Revenue Code of 1986 is amended to read as follows:
``(2) Applicable amount.--For purposes of this subsection,
the applicable amount shall be the amount determined under
section 40(g).''.
(2) Extension.--
(A) Alcohol fuel mixture credit.--Paragraph (5) of section
6426(b) of such Code is amended by striking ``2010'' and
inserting ``2020''.
(B) Payments.--Subparagraph (A) of section 6427(e)(5) of
such Code is amended by striking ``2010'' and inserting
``2020''.
(c) Modifications to Excise Tax and Payments for
Alternative Fuel.--
(1) Alternative fuel credit.--
(A) Rate.--
(i) In general.--Paragraph (1) of section 6426(d) of the
Internal Revenue Code of 1986 is amended by striking ``50
cents'' and inserting ``the applicable amount''.
(ii) Applicable amount.--Subsection (d) of section 6426 of
such Code is amended by redesignating paragraphs (2), (3),
and (4) as paragraphs (3), (4), and (5), respectively, and by
inserting after paragraph (1) the following new paragraph:
``(2) Applicable amount.--For purposes of this subsection,
the applicable amount shall be the amount determined under
section 40(g).''.
(B) Extension.--Paragraph (5) of section 6426(d) of such
Code, as redesignated by paragraph (1), is amended by
striking ``2009 (September 30, 2014, in the case of any sale
or use involving liquified hydrogen)'' and inserting
``2020''.
(2) Alternative fuel mixture credit.--
(A) Rate.--
(i) In general.--Paragraph (1) of section 6426(e) of the
Internal Revenue Code of 1986 is amended by striking ``50
cents'' and inserting ``the applicable amount''.
(ii) Applicable amount.--Subsection (e) of section 6426 of
such Code is amended by redesignating paragraphs (2) and (3)
as paragraphs (3) and (4), respectively, and by inserting
after paragraph (1) the following new paragraph:
``(2) Applicable amount.--For purposes of this subsection,
the applicable amount shall be the amount determined under
section 40(g).''.
(B) Extension.--Paragraph (4) of section 6426(e) of such
Code, as redesignated by paragraph (1), is amended by
striking ``2009 (September 30, 2014, in the case of any sal
or use involving liquified hydrogen)'' and inserting
``2020''.
(3) Payments.--Paragraph (5) of section 6427(e) is amended
by inserting ``and'' at the end of subparagraph (B), by
striking subparagraphs (C) and (D), and by inserting after
subparagraph (B) the following:
``(C) any alternative fuel or alternative fuel mixture (as
defined in subsection (d)(3) or (e)(3) of section 6426) sold
or used after September 30, 2020.''.
(d) Effective Date.--The amendments made by this section
shall apply to fuel used or sold in quarters beginning after
the date of the enactment of this Act.
SEC. 5. INSTALLATION OF E-85 FUEL PUMPS BY MAJOR OIL
COMPANIES AT OWNED STATIONS AND BRANDED
STATIONS.
Section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)) is
amended by adding at the end the following:
``(11) Installation of e-85 fuel pumps by major oil
companies at owned stations and branded stations.--
``(A) Definitions.--In this paragraph:
``(i) E-85 fuel.--The term `E-85 fuel' means a blend of
gasoline approximately 85 percent of the content of which is
derived from ethanol produced in the United States.
``(ii) Major oil company.--The term `major oil company'
means any person that, individually or together with any
other person with respect to which the person has an
affiliate relationship or significant ownership interest, has
not less than 4,500 retail station outlets according to the
latest publication of the Petroleum News Annual Factbook.
``(iii) Secretary.--The term `Secretary' means the
Secretary of Energy, acting in consultation with the
Administrator of the Environmental Protection Agency and the
Secretary of Agriculture.
``(B) Regulations.--The Secretary shall promulgate
regulations to ensure that each major oil company that sells
or introduces gasoline into commerce in the United States
through wholly-owned stations or branded stations installs or
otherwise makes available 1 or more pumps that dispense E-85
fuel (including any other equipment necessary, such as
including tanks, to ensure that the pumps function properly)
at not less than the applicable percentage of the wholly-
owned stations and the branded stations of the major oil
company specified in subparagraph (C).
``(C) Applicable percentage.--For the purpose of
subparagraph (B), the applicable percentage of the wholly-
owned stations and the branded stations shall be determined
in accordance with the following table:
[[Page S10686]]
``Applicable percentage of wholly-owned stations and branded stations
Calendar year: (percent):
2008...........................................................5 ....
2009..........................................................10 ....
2010..........................................................15 ....
2011..........................................................20 ....
2012..........................................................25 ....
2013..........................................................30 ....
2014..........................................................35 ....
2015..........................................................40 ....
2016..........................................................45 ....
2017 and each calendar year thereafter...............................
50.
``(D) Geographic distribution.--
``(i) In general.--Subject to clause (ii), in promulgating
regulations under subparagraph (B), the Secretary shall
ensure that each major oil company described in subparagraph
(B) installs or otherwise makes available 1 or more pumps
that dispense E-85 fuel at not less than a minimum percentage
(specified in the regulations) of the wholly-owned stations
and the branded stations of the major oil company in each
State.
``(ii) Requirement.--In specifying the minimum percentage
under clause (i), the Secretary shall ensure that each major
oil company installs or otherwise makes available 1 or more
pumps described in that clause in each State in which the
major oil company operates.
``(E) Financial responsibility.--In promulgating
regulations under subparagraph (B), the Secretary shall
ensure that each major oil company described in that
subparagraph assumes full financial responsibility for the
costs of installing or otherwise making available the pumps
described in that subparagraph and any other equipment
necessary (including tanks) to ensure that the pumps function
properly.
``(F) Production credits for exceeding e-85 fuel pumps
installation requirement.--
``(i) Earning and period for applying credits.--If the
percentage of the wholly-owned stations and the branded
stations of a major oil company at which the major oil
company installs E-85 fuel pumps in a particular calendar
year exceeds the percentage required under subparagraph (C),
the major oil company earns credits under this paragraph,
which may be applied to any of the 3 consecutive calendar
years immediately after the calendar year for which the
credits are earned.
``(ii) Trading credits.--Subject to clause (iii), a major
oil company that has earned credits under clause (i) may sell
credits to another major oil company to enable the purchaser
to meet the requirement under subparagraph (C).
``(iii) Exception.--A major oil company may not use credits
purchased under clause (ii) to fulfill the geographic
distribution requirement in subparagraph (D).''.
SEC. 6. REQUIREMENT TO MANUFACTURE DUAL FUELED AUTOMOBILES.
(a) Requirement.--
(1) In general.--Chapter 329 of title 49, United States
Code, is amended by inserting after section 32902 the
following:
``Sec. 32902A. Requirement to manufacture dual fueled
automobiles
``(a) Requirement.--Each manufacturer of new automobiles
that are capable of operating on gasoline or diesel fuel
shall ensure that the percentage of such automobiles,
manufactured in any model year after model year 2007 and
distributed in commerce for sale in the United States, which
are dual fueled automobiles is equal to not less than the
applicable percentage set forth in the following table:
The percentage of dual fueled automobiles manufactured shall
``For the model year: be not less than:
2008.......................................................10 percent
2009.......................................................20 percent
2010.......................................................30 percent
2011.......................................................40 percent
2012.......................................................50 percent
2013.......................................................60 percent
2014.......................................................70 percent
2015.......................................................80 percent
2016.......................................................90 percent
2017 and beyond...........................................100 percent
``(b) Production Credits for Exceeding Flexible Fuel
Automobile Production Requirement.--
``(1) Earning and period for applying credits.--If the
number of dual fueled automobiles manufactured by a
manufacturer in a particular model year exceeds the number
required under subsection (a), the manufacturer earns credits
under this section, which may be applied to any of the 3
consecutive model years immediately after the model year for
which such credits are earned.
``(2) Trading credits.--A manufacturer that has earned
credits under paragraph (1) may sell credits to another
manufacturer to enable the purchaser to meet the requirement
under subsection (a).''.
(2) Technical amendment.--The table of sections for chapter
329 of title 49, United States Code, is amended by inserting
after the item relating to section 32902 the following:
``32902A. Requirement to manufacture dual fueled automobiles.''.
(b) Activities to Promote the Use of Certain Alternative
Fuels.--The Secretary of Transportation shall carry out
activities to promote the use of fuel mixtures containing
gasoline or diesel fuel and 1 or more alternative fuels,
including a mixture containing at least 85 percent of
methanol, denatured ethanol, and other alcohols by volume
with gasoline or other fuels, to power automobiles in the
United States.
SEC. 7. DEFINITION OF AUTOMOBILE.
(a) In General.--Section 32901(a)(3) of title 49, United
States Code, is amended by striking ``rated at--'' and all
that follows through the period at the end and inserting
``rated at not more than 10,000 pounds gross vehicle
weight.''.
(b) Fuel Economy Information.--Section 32908(a) of title
49, United States Code, is amended, by striking ``section--''
and all that follows through ``(2)'' and inserting ``section,
the term''.
(c) Effective Date.--The amendments made by this section
shall apply to model year 2009 and each subsequent model
year.
SEC. 8. AVERAGE FUEL ECONOMY STANDARDS.
(a) Standards.--Section 32902 of title 49, United States
Code, is amended--
(1) in subsection (a)--
(A) in the header, by inserting ``Manufactured Before Model
Year 2012'' after ``Non-Passenger Automobiles''; and
(B) by adding at the end the following: ``This subsection
shall not apply to automobiles manufactured after model year
2011.'';
(2) in subsection (b)--
(A) in the header, by inserting ``Manufactured Before Model
Year 2012'' after ``Passenger Automobiles'';
(B) by inserting ``and before model year 2009'' after
``1984''; and
(C) by adding at the end the following: ``Such standard
shall be increased by 4 percent per year for model years 2009
through 2011 (rounded to the nearest 1/10 mile per gallon)'';
(3) by amending subsection (c) to read as follows:
``(c) Automobiles Manufactured After Model Year 2011.--(1)
Not later than 18 months before the beginning of each model
year after model year 2011, the Secretary of Transportation
shall prescribe, by regulation--
``(A) an average fuel economy standard for automobiles
manufactured by a manufacturer in that model year; or
``(B) based on 1 or more vehicle attributes that relate to
fuel economy--
``(i) separate standards for different classes of
automobiles; or
``(ii) standards expressed in the form of a mathematical
function.
``(2)(A) Except as provided under paragraphs (3) and (4)
and subsection (d), standards under paragraph (1) shall
attain a projected aggregate level of average fuel economy of
27.5 miles per gallon for all automobiles manufactured by all
manufacturers for model year 2012.
``(B) The projected aggregate level of average fuel economy
for model year 2013 and each succeeding model year shall be
increased by 4 percent from the level for the prior model
year (rounded to the nearest 1/10 mile per gallon).
``(C) Notwithstanding subparagraphs (A) and (B), the
fleetwide average fuel economy standard for passenger
automobiles manufactured by a manufacturer in a model year
for that manufacturer's domestic fleet and for its foreign
fleet as calculated under section 32904 as in effect before
the date of enactment of the National Fuels Initiative shall
not be less than 92 percent of the average fuel economy
projected by the Secretary for the combined domestic and
foreign fleets manufactured by all manufacturers in that
model year.
``(3) If the actual aggregate level of average fuel economy
achieved by manufacturers for each of 3 consecutive model
years is at least 5 percent less than the projected aggregate
level of average fuel economy for such model year, the
Secretary shall make appropriate adjustments to the standards
prescribed under this subsection.
``(4)(A) Notwithstanding paragraphs (1) through (3) and
subsection (b), the Secretary of Transportation may prescribe
a lower average fuel economy standard for 1 or more model
years if the Secretary of Transportation, in consultation
with the Secretary of Energy, determines that the minimum
standards prescribed under paragraph (2) or (3) or subsection
(b) for each model year--
``(i) are technologically unachievable;
``(ii) cannot be achieved without materially reducing the
overall safety of automobiles manufactured or sold in the
United States; or
``(iii) is shown, by clear and convincing evidence, not to
be cost effective.
``(B) If a lower standard is prescribed for a model year
under subparagraph (A), such standard shall be the maximum
standard that--
``(i) is technologically achievable;
``(ii) can be achieved without materially reducing the
overall safety of automobiles manufactured or sold in the
United States; and
``(iii) is cost effective.
``(5) In determining cost effectiveness under paragraph
(4)(A)(iii), the Secretary of Transportation shall take into
account the total value to the Nation of reduced petroleum
use, including the value of reducing external costs of
petroleum use, using a value for such costs equal to 50
percent of the value of a gallon of gasoline saved or the
[[Page S10687]]
amount determined in an analysis of the external costs of
petroleum use that considers--
``(A) value to consumers;
``(B) economic security;
``(C) national security;
``(D) foreign policy;
``(E) the impact of oil use--
``(i) on sustained cartel rents paid to foreign suppliers;
``(ii) on long-run potential gross domestic product due to
higher normal-market oil price levels, including inflationary
impacts;
``(iii) on import costs, wealth transfers, and potential
gross domestic product due to increased trade imbalances;
``(iv) on import costs and wealth transfers during oil
shocks;
``(v) on macroeconomic dislocation and adjustment costs
during oil shocks;
``(vi) on the cost of existing energy security policies,
including the management of the Strategic Petroleum Reserve;
``(vii) on the timing and severity of the oil peaking
problem;
``(viii) on the risk, probability, size, and duration of
oil supply disruptions;
``(ix) on OPEC strategic behavior and long-run oil pricing;
``(x) on the short term elasticity of energy demand and the
magnitude of price increases resulting from a supply shock;
``(xi) on oil imports, military costs, and related security
costs, including intelligence, homeland security, sea lane
security and infrastructure, and other military activities;
``(xii) on oil imports, diplomatic and foreign policy
flexibility, and connections to geopolitical strife,
terrorism, and international development activities;
``(xiii) all relevant environmental hazards under the
jurisdiction of the Environmental Protection Agency; and
``(xiv) on well-to-wheels urban and local air emissions of
`pollutants' and their uninternalized costs;
``(F) the impact of the oil or energy intensity of the
United States economy on the sensitivity of the economy to
oil price changes, including the magnitude of gross domestic
product losses in response to short term price shocks or long
term price increases;
``(G) the impact of United States payments for oil imports
on political, economic, and military developments in unstable
or unfriendly oil exporting countries;
``(H) the uninternalized costs of pipeline and storage oil
seepage, and for risk of oil spills from production,
handling, and transport, and related landscape damage; and
``(I) additional relevant factors, as determined by the
Secretary.
``(6) When considering the value to consumers of a gallon
of gasoline saved, the Secretary of Transportation may not
use a value less than the greatest of--
``(A) the average national cost of a gallon of gasoline
sold in the United States during the 12-month period ending
on the date on which the new fuel economy standard is
proposed;
``(B) the most recent weekly estimate by the Energy
Information Administration of the Department of Energy of the
average national cost of a gallon of gasoline (all grades)
sold in the United States; or
``(C) the gasoline prices projected by the Energy
Information Administration for the 20-year period beginning
in the year following the year in which the standards are
established.
``(7) In prescribing standards under this subsection, the
Secretary may prescribe standards for 1 or more model years.
``(8)(A) Not later than December 31, 2016, the Secretary of
Transportation, the Secretary of Energy, and the
Administrator of the Environmental Protection Agency shall
submit a joint report to Congress on the state of global
automotive efficiency technology development, and on the
accuracy of tests used to measure fuel economy of automobiles
under section 32904(c), utilizing the study and assessment of
the National Academy of Sciences referred to in subparagraph
(B).
``(B) The Secretary shall enter into appropriate
arrangements with the National Academy of Sciences to conduct
a comprehensive study of the technological opportunities to
enhance fuel economy and an analysis and assessment of the
accuracy of fuel economy tests used by the Administrator of
the Environmental Protection Agency to measure fuel economy
for each model under section 32904(c). Such analysis and
assessment shall identify any additional factors or methods
that should be included in tests to measure fuel economy for
each model to more accurately reflect actual fuel economy of
automobiles. The Secretary and the Administrator of the
Environmental Protection Agency shall furnish, at the request
of the Academy, any information which the Academy determines
to be necessary to conduct the study, analysis, and
assessment under this subparagraph.
``(C) The report submitted under subparagraph (A) shall
include--
``(i) the study of the National Academy of Sciences
referred to in subparagraph (B); and
``(ii) an assessment by the Secretary of technological
opportunities to enhance fuel economy and opportunities to
increase overall fleet safety.
``(D) The report submitted under subparagraph (A) shall
identify and examine additional opportunities to reform the
regulatory structure under this chapter, including approaches
that seek to merge vehicle and fuel requirements into a
single system that achieves equal or greater reduction in
petroleum use and environmental benefits.
``(E) The report submitted under subparagraph (A) shall--
``(i) include conclusions reached by the Administrator of
the Environmental Protection Agency, as a result of detailed
analysis and public comment, on the accuracy of current fuel
economy tests;
``(ii) identify any additional factors that the
Administrator determines should be included in tests to
measure fuel economy for each model to more accurately
reflect actual fuel economy of automobiles; and
``(iii) include a description of options, formulated by the
Secretary and the Administrator, to incorporate such
additional factors in fuel economy tests in a manner that
will not effectively increase or decrease average fuel
economy for any automobile manufacturer.
``(F) There is authorized to be appropriated to the
Secretary such amounts as are required to carry out the
study, analysis, and assessment required by subparagraph
(B).''; and
(4) in subsection (g)(2), by striking ``(and submit the
amendment to Congress when required under subsection (c)(2)
of this section)''.
(b) Conforming Amendments.--
(1) In general.--Chapter 329 of title 49, United States
Code, is amended--
(A) in section 32903--
(i) by striking ``passenger'' each place it appears;
(ii) by striking ``section 32902(b)-(d) of this title''
each place it appears and inserting ``subsection (c) or (d)
of section 32902'';
(iii) by striking subsection (e); and
(iv) by redesignating subsection (f) as subsection (e); and
(B) in section 32904(a)--
(i) by striking ``passenger'' each place it appears; and
(ii) in paragraph (1), by striking ``subject to'' and all
that follows through ``section 32902(b)-(d) of this title''
and inserting ``subsection (c) or (d) of section 32902''.
(2) Effective date.--The amendments made by paragraph (1)
shall apply to automobiles manufactured after model year
2011.
SEC. 9. CREDIT TRADING AND COMPLIANCE.
(a) Credit Trading.--Section 32903(a) of title 49, United
States Code, is amended--
(1) by inserting ``Credits earned by a manufacturer under
this section may be sold to any other manufacturer and used
as if earned by that manufacturer; except that credits earned
by a manufacturer described in section 32904(b)(1)(A)(i) may
not be sold to or purchased by a manufacturer described in
32904(b)(1)(A)(ii),'' after ``earns credits.''; and
(2) by striking ``3 consecutive model years immediately''
each place it appears and inserting ``model years''.
(b) Treatment of Imports.--
(1) Conforming amendment.--Section 32904(b) is amended by
striking ``passenger'' each place it appears.
(2) Applicability.--The amendments made by paragraph (1)
shall apply to automobiles manufactured after model year
2011.
(c) Multi-Year Compliance Period.--Section 32904(c) of such
title is amended--
(1) by inserting ``(1)'' before ``The Administrator''; and
(2) by adding at the end the following:
``(2) The Secretary, by rule, may allow a manufacturer to
elect a multi-year compliance period of not more than 4
consecutive model years in lieu of the single model year
compliance period otherwise applicable under this chapter.''.
SEC. 10. CONSUMER TAX CREDIT.
(a) Elimination on Number of New Qualified Hybrid and
Advanced Lean Burn Technology Vehicles Eligible for
Alternative Motor Vehicle Credit.--
(1) In general.--Section 30B of the Internal Revenue Code
of 1986 is amended--
(A) by striking subsection (f); and
(B) by redesignating subsections (g) through (j) as
subsections (f) through (i), respectively.
(2) Conforming amendments.--
(A) Paragraphs (4) and (6) of section 30B(h) of such Code
are each amended by striking ``(determined without regard to
subsection (g))'' and inserting ``determined without regard
to subsection (f))''.
(B) Section 38(b)(25) of such Code is amended by striking
``section 30B(g)(1)'' and inserting ``section 30B(f)(1)''.
(C) Section 55(c)(2) of such Code is amended by striking
``section 30B(g)(2)'' and inserting ``section 30B(f)(2)''.
(D) Section 1016(a)(36) of such Code is amended by striking
``section 30B(h)(4)'' and inserting ``section 30B(g)(4)''.
(E) Section 6501(m) of such Code is amended by striking
``section 30B(h)(9)'' and inserting ``section 30B(g)(9)''.
(b) Extension of Alternative Vehicle Credit for New
Qualified Hybrid Motor Vehicles.--Paragraph (3) of section
30B(i) of such Code (as redesignated by subsection (a)) is
amended by striking ``December 31, 2009'' and inserting
``December 31, 2010''.
(c) Effective Date.--The amendments made by this section
shall apply to property placed in service after December 31,
2005, in taxable years ending after such date.
SEC. 11. ADVANCED TECHNOLOGY MOTOR VEHICLES MANUFACTURING
CREDIT.
(a) In General.--Subpart B of part IV of subchapter A of
chapter 1 of the Internal Revenue Code of 1986 (relating to
foreign tax credit, etc.) is amended by adding at the end the
following new section:
``SEC. 30D. ADVANCED TECHNOLOGY MOTOR VEHICLES MANUFACTURING
CREDIT.
``(a) Credit Allowed.--There shall be allowed as a credit
against the tax imposed by
[[Page S10688]]
this chapter for the taxable year an amount equal to 35
percent of the qualified investment of an eligible taxpayer
for such taxable year.
``(b) Qualified Investment.--For purposes of this section--
``(1) In general.--The qualified investment for any taxable
year is equal to the incremental costs incurred during such
taxable year--
``(A) to re-equip, expand, or establish any manufacturing
facility in the United States of the eligible taxpayer to
produce advanced technology motor vehicles or to produce
eligible components,
``(B) for engineering integration performed in the United
States of such vehicles and components as described in
subsection (d),
``(C) for research and development performed in the United
States related to advanced technology motor vehicles and
eligible components, and
``(D) for employee retraining with respect to the
manufacturing of such vehicles or components (determined
without regard to wages or salaries of such retrained
employees).
``(2) Attribution rules.--In the event a facility of the
eligible taxpayer produces both advanced technology motor
vehicles and conventional motor vehicles, or eligible and
non-eligible components, only the qualified investment
attributable to production of advanced technology motor
vehicles and eligible components shall be taken into account.
``(c) Definitions.--In this section:
``(1) Advanced technology motor vehicle.--The term
`advanced technology motor vehicle' means--
``(A) any qualified electric vehicle (as defined in section
30(c)(1)),
``(B) any new qualified fuel cell motor vehicle (as defined
in section 30B(b)(3)),
``(C) any new advanced lean burn technology motor vehicle
(as defined in section 30B(c)(3)),
``(D) any new qualified hybrid motor vehicle (as defined in
section 30B(d)(2)(A) and determined without regard to any
gross vehicle weight rating),
``(E) any new qualified alternative fuel motor vehicle (as
defined in section 30B(e)(4), including any mixed-fuel
vehicle (as defined in section 30B(e)(5)(B)), and
``(F) any other motor vehicle using electric drive
transportation technology (as defined in paragraph (3)).
``(2) Electric drive transportation technology.--The term
`electric drive transportation technology' means technology
used by vehicles that use an electric motor for all or part
of their motive power and that may or may not use off-board
electricity, such as battery electric vehicles, fuel cell
vehicles, engine dominant hybrid electric vehicles, plug-in
hybrid electric vehicles, and plug-in hybrid fuel cell
vehicles.
``(3) Eligible components.--The term `eligible component'
means any component inherent to any advanced technology motor
vehicle, including--
``(A) with respect to any gasoline or diesel-electric new
qualified hybrid motor vehicle--
``(i) electric motor or generator;
``(ii) power split device;
``(iii) power control unit;
``(iv) power controls;
``(v) integrated starter generator; or
``(vi) battery;
``(B) with respect to any hydraulic new qualified hybrid
motor vehicle--
``(i) accumulator or other energy storage device;
``(ii) hydraulic pump;
``(iii) hydraulic pump-motor assembly;
``(iv) power control unit; and
``(v) power controls;
``(C) with respect to any new advanced lean burn technology
motor vehicle--
``(i) diesel engine;
``(ii) turbo charger;
``(iii) fuel injection system; or
``(iv) after-treatment system, such as a particle filter or
NOx absorber; and
``(D) with respect to any advanced technology motor
vehicle, any other component submitted for approval by the
Secretary.
``(4) Eligible taxpayer.--The term `eligible taxpayer'
means any taxpayer if more than 20 percent of the taxpayer's
gross receipts for the taxable year is derived from the
manufacture of motor vehicles or any component parts of such
vehicles.
``(d) Engineering Integration Costs.--For purposes of
subsection (b)(1)(B), costs for engineering integration are
costs incurred prior to the market introduction of advanced
technology vehicles for engineering tasks related to--
``(1) establishing functional, structural, and performance
requirements for component and subsystems to meet overall
vehicle objectives for a specific application,
``(2) designing interfaces for components and subsystems
with mating systems within a specific vehicle application,
``(3) designing cost effective, efficient, and reliable
manufacturing processes to produce components and subsystems
for a specific vehicle application, and
``(4) validating functionality and performance of
components and subsystems for a specific vehicle application.
``(e) Limitation Based on Amount of Tax.--The credit
allowed under subsection (a) for the taxable year shall not
exceed the excess of--
``(1) the sum of--
``(A) the regular tax liability (as defined in section
26(b)) for such taxable year, plus
``(B) the tax imposed by section 55 for such taxable year
and any prior taxable year beginning after 1986 and not taken
into account under section 53 for any prior taxable year,
over
``(2) the sum of the credits allowable under subpart A and
sections 27, 30, and 30B for the taxable year.
``(f) Reduction in Basis.--For purposes of this subtitle,
if a credit is allowed under this section for any expenditure
with respect to any property, the increase in the basis of
such property which would (but for this paragraph) result
from such expenditure shall be reduced by the amount of the
credit so allowed.
``(g) No Double Benefit.--
``(1) Coordination with other deductions and credits.--
Except as provided in paragraph (2), the amount of any
deduction or other credit allowable under this chapter for
any cost taken into account in determining the amount of the
credit under subsection (a) shall be reduced by the amount of
such credit attributable to such cost.
``(2) Research and development costs.--
``(A) In general.--Except as provided in subparagraph (B),
any amount described in subsection (b)(1)(C) taken into
account in determining the amount of the credit under
subsection (a) for any taxable year shall not be taken into
account for purposes of determining the credit under section
41 for such taxable year.
``(B) Costs taken into account in determining base period
research expenses.--Any amounts described in subsection
(b)(1)(C) taken into account in determining the amount of the
credit under subsection (a) for any taxable year which are
qualified research expenses (within the meaning of section
41(b)) shall be taken into account in determining base period
research expenses for purposes of applying section 41 to
subsequent taxable years.
``(h) Business Carryovers Allowed.--If the credit allowable
under subsection (a) for a taxable year exceeds the
limitation under subsection (e) for such taxable year, such
excess (to the extent of the credit allowable with respect to
property subject to the allowance for depreciation) shall be
allowed as a credit carryback to each of the 15 taxable years
immediately preceding the unused credit year and as a
carryforward to each of the 20 taxable years immediately
following the unused credit year.
``(i) Special Rules.--For purposes of this section, rules
similar to the rules of section 179A(e)(4) and paragraphs (1)
and (2) of section 41(f) shall apply
``(j) Election Not to Take Credit.--No credit shall be
allowed under subsection (a) for any property if the taxpayer
elects not to have this section apply to such property.
``(k) Regulations.--The Secretary shall prescribe such
regulations as necessary to carry out the provisions of this
section.
``(l) Termination.--This section shall not apply to any
qualified investment after December 31, 2010.''.
(b) Conforming Amendments.--
(1) Section 1016(a) of the Internal Revenue Code of 1986 is
amended by striking ``and'' at the end of paragraph (36), by
striking the period at the end of paragraph (37) and
inserting ``, and'', and by adding at the end the following
new paragraph:
``(38) to the extent provided in section 30D(g).''.
(2) Section 6501(m) of such Code is amended by inserting
``30D(k),'' after ``30C(e)(5),''.
(3) The table of sections for subpart B of part IV of
subchapter A of chapter 1 of such Code is amended by
inserting after the item relating to section 30C the
following new item:
``Sec. 30D. Advanced technology motor vehicles manufacturing credit.''.
(c) Effective Date.--The amendments made by this section
shall apply to amounts incurred in taxable years beginning
after December 31, 1999.
______
By Mr. HARKIN (for himself and Mr. Lugar):
S. 4003. A bill to require the Secretary of Energy to award funds to
study the feasibility of constructing 1 or more dedicated ethanol
pipelines to increase the energy, economic, and environmental security
of the United States, and for other purposes; to the Committee on
Energy and Natural Resources.
Mr. HARKIN. Mr. President, today I am introducing the Ethanol
Infrastructure Expansion Act of 2006. This bill directs the Department
of Energy, DOE, to study and evaluate the feasibility of transporting
ethanol by pipeline. I am pleased that my colleague, Senator Lugar of
Indiana, is joining me as a cosponsor of this bill.
There is broad recognition that we need to reduce our almost-complete
dependence on oil for energy in our transportation sector. We also
understand that there is not a single, simple solution to this
dependence. I believe that we need to use energy more efficiently and
promote alternatives to oil-based fuels in transportation.
The most promising liquid fuel alternative to conventional gasoline
today is ethanol. Use of ethanol as an additive in gasoline and in the
form of E85 is expanding rapidly, and for good reasons. First of all,
as a domestically-
[[Page S10689]]
produced fuel, ethanol contributes to our national energy security. As
a gasoline additive, ethanol provides air quality benefits by reducing
auto tailpipe emissions of air pollutants. Because ethanol is
biodegradable, its use poses no threat to surface water or groundwater.
Finally, the production of ethanol provides national and regional
economic and job-growth benefits by using local resources and labor to
contribute to critical national transportation energy needs,
My Congressional colleagues and I have recognized the benefits and
potential of ethanol and have promoted its expanded production and use
in numerous bills, including most recently in the 2005 energy bill. A
key provision in that legislation is the renewable fuels standard under
which motor vehicle fuel sold in the United States is required to
contain increasing levels of renewable fuels. Several other provisions
promote the production and use of ethanol from cellulose, which is an
especially attractive approach because it enables the use of a broad
variety of plentiful and low-cost feedstocks including corn stover,
wheat straw, forest industry wastes and woody municipal wastes.
The benefits of ethanol are reflected in the rapid expansion of its
production and use, which has increased by more than 20 percent
annually for the past several years. Moreover, ethanol's longer-term
potential to become a very significant energy source for transportation
also is gaining attention. A number of studies have concluded that
ethanol can contribute 20 to 30 percent or more of our transportation
fuel in the future. Several of my Senate colleagues joined me to
introduce S. 2817, the Biofuels Security Act of 2006 which calls for
domestic production and use of renewable fuels to reach 60 billion
gallons a year by 2030. I am especially proud of the leadership role
that my State of Iowa and the neighboring states of the Midwest are
going to play in this expansion.
Given this outlook, it is time for us to consider the full
implications of such a transition. One issue that deserves prompt
attention is that of ethanol transport. The volumes of ethanol to be
shipped in the future strongly suggest that pipeline transport should
be evaluated because of the potential economic and environmental
advantages that alternative might offer as compared to shipment by
highway, rail tanker or barge. As production volumes increase,
especially in the Midwest, it is likely to be more economical to pump
ethanol through pipelines than to ship it in containers across the
country. Pipeline shipping also would reduce the vehicle emissions
associated with rail or tanker shipment, as well as being more energy
efficient.
For all of these reasons, we should begin to consider development of
an ethanol pipeline network. Given the pace of ethanol's growth, it is
likely that our Nation could begin to benefit from pipeline transport
of ethanol as early as the 2015 to 2020 timeframe. The current state of
knowledge regarding transport of ethanol by pipeline is limited.
However, it is being done in Brazil, a world leader in the production
and use of ethanol. Still, it is also known that the water solubility
of ethanol introduces technical and operational issues bearing on
shipment of ethanol in multi-product pipelines. Thus, the planning,
siting, design, financing, permitting and construction of the first
ethanol pipelines may well take as long as a decade, perhaps longer.
For that reason, we need to begin now to develop a better understanding
of this ethanol transport option.
This bill initiates that process by directing the Department of
Energy to conduct ethanol pipeline feasibility studies. It calls for
analyses of the technological, economic, regulatory, financial and
siting issues related to transporting ethanol via pipelines. A
systematic analysis of these ethanol pipeline issues will provide the
substantive information necessary for assessing the costs and benefits
of this transport alternative. DOE would either fund private sector
studies or conduct the studies on its own. The results of these studies
will provide a clearer picture of the benefits and challenges of
pipeline transport of ethanol. They will provide critical information,
both for the ethanol industry as it contemplates ethanol transport
alternatives, and for policy-makers seeking to understand what federal
policies or programs might be appropriate to promote the most cost-
effective and environmentally sound ethanol transportation in the
future.
We have broad agreement on the need to do all that we can to reduce
our dependence on oil. We are promoting expanding production and use of
renewable fuels in many ways, but we need to consider the full range of
infrastructure issues that broader ethanol use entails. Because of the
rapid growth of ethanol production and use, these studies of pipeline
transport of ethanol should be undertaken in the very near future. I
urge my Senate colleagues to join me in passing this important and
timely legislation.
______
By Mr. DeWINE (for himself and Mr. Voinovich):
S. 4004. A bill to suspend temporarily in the duty on certain
structures, parts, and components for use in an isotopic separation
facility in southern Ohio; to the Committee on Finance.
Mr. DeWINE. Mr. President, I ask unanimous consent that the text of
the bill be printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4004
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. CERTAIN STRUCTURES, PARTS, AND COMPONENTS FOR USE
IN AN ISOTOPIC SEPARATION FACILITY IN SOUTHERN
OHIO.
(a) In General.--Subchapter II of chapter 99 of the
Harmonized Tariff Schedule of the United States is amended by
inserting in numerical sequence the following new heading:
`` 9902.13.75 Certain Free No change No change On or before 12/31/2009
structures, ''
parts, and .
components for
use in an
isotopic
separation
facility
(isotopic
separation
equipment)
consisting of
cold boxes,
feed ovens, and
feed
purification
systems,
including their
associated
cooling
systems,
control
systems,
weighing
systems, and
cylinder
handling
systems, for
the
construction of
an isotopic
separation
facility in
southern Ohio
known as the
``American
Centrifuge
Plant''
(provided for
in subheading
8401.20.00).
----------------------------------------------------------------------------------------------------------------
(b) Effective Date.--The amendment made by subsection (a)
applies to goods entered, or withdrawn from warehouse for
consumption, on or after the 15th day after the date of the
enactment of this Act.
______
By Mr. DOMENICI:
S. 4007. A bill to authorize the Secretary of the Interior to conduct
feasibility studies to identify opportunities to increase the surface
flows of the Rio Grande, Canadian, and Pecos Rivers in the State of New
Mexico, and for other purposes; to the Committee on Energy and Natural
Resources.
Mr. DOMENICI. Mr. President, monsoons this summer provided New Mexico
with a brief reprieve from drought conditions that have persisted in
some areas of New Mexico since 2000. We would be remiss to let our
recent good fortune influence our long-term water planning. July and
August this year were the wettest July and August in the past 112
years. Clearly, we cannot assume these events will become commonplace.
For this reason, we must take steps to ensure we are prepared for
future droughts and increasing competition for limited water supplies.
Despite summer rains, many reservoirs are still far below historical
averages. According to recent reservoir data, Heron and El Vado
Reservoirs on the Chama River are 71 percent and 56 percent of average,
respectively; Conchas Reservoir on the Canadian River is 50 percent of
average; and Elephant Butte Reservoir on the Rio Grande is 27 percent
of average. Moreover, because storage in Elephant Butte Reservoir has
not reached 400,000 acre feet, the Rio Grande Compact imposes
restrictions on New Mexico's ability to store water in reservoirs on
the Rio Grande and Chama Rivers. As such, recent rains have not
contributed significantly to storage on those rivers.
[[Page S10690]]
The water crisis we were facing prior to the summer rains led many to
question how we will allocate this finite resource among numerous and
competing needs. As witnessed on the Klamath River and the Rio Grande
in New Mexico, water shortages often result in litigation that pits
municipalities, agricultural producers, industry, Indians, and the
environmental community against one another. In order to avoid such
crises in New Mexico, the United States Congress has appropriated
enormous sums in order to ensure that existing uses are not curtailed.
However, unless new sources of water are found, future conflict over
water is inevitable.
Recent conditions illustrate the need for us to look for ways to
supplement flows of the most severely impacted regions in order to
stave off the hardships and conflict that result from lean water years.
It is my sincere hope that record-breaking rains this summer will not
breed complacency. The bill I introduce today would authorize the
United States Bureau of Reclamation to investigate ways to increase the
flows of the Rio Grande, Pecos and Canadian Rivers, the three rivers
that have been most devastated by long-term drought. While little can
be done to increase rainfall, it is my belief that this bill will help
us begin to better understand ways to increase the flows of these
rivers to help mitigate the damaging effects that drought imposes on
the municipalities, agricultural producers, industries and endangered
species that depend on the water these rivers provide.
I thank Representative Heather Wilson for introducing a companion
measure in the House of Representatives.
I ask unanimous consent that the text of the bill be printed in the
Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4007
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 ``New Mexico Rivers
Feasibility Studies Act of 2006''.
SEC. 2. RIO GRANDE, CANADIAN, AND PECOS RIVERS FEASIBILITY
STUDY.
(a) In General.--The Secretary of the Interior, acting
through the Commissioner of Reclamation (referred to in this
Act as the ``Secretary''), in coordination with the State of
New Mexico, shall, in accordance with this Act and any other
applicable law, conduct feasibility studies to identify
opportunities to increase the surface flows of the Rio
Grande, Canadian, and Pecos Rivers in the State of New
Mexico.
(b) Report.--Not later than 2 years after the date of
enactment of this Act, the Secretary shall submit to the
Committee on Energy and Natural Resources of the Senate and
the Committee on Resources of the House of Representatives a
report that describes the results of the feasibility studies
conducted under subsection (a).
(c) Authorization of Appropriations.--There is authorized
to be appropriated to the Secretary to carry out this Act
$3,000,000.
______
By Mr. DOMENICI (for himself and Mr. Bingaman):
S. 4008. A bill to authorize the Secretary of the Interior to provide
financial assistance to the Eastern New Mexico Rural Water Authority
for the planning, design, and construction of the Eastern New Mexico
Rural Water System, and for other purposes; to the Committee on Energy
and Natural Resources.
Mr. DOMENICI. Mr. President. I would like to bring to the attention
of the Senate a problem faced by communities in eastern New Mexico
illustrative of a greater problem that will ultimately be encountered
by all who depend on the Ogallala Aquifer for their water. This
includes communities in New Mexico, Texas, Oklahoma, Kansas, Colorado,
Nebraska, Wyoming and South Dakota. At one time, the Aquifer contained
roughly the same amount of water as Lake Huron. After 65 years of
mining, we are now faced with the reality that the water contained in
the Ogallala Aquifer has been significantly depleted and continues to
be drawn down at an alarming rate.
Many on the periphery of the Aquifer, including much of eastern New
Mexico, parts of Kansas and Oklahoma have been forced to drill new
wells in order to supplement existing wells that are producing water at
a fraction of the volume of several decades ago. This problem is not
limited to those communities overlying the Ogallala. Many other regions
entirely reliant on groundwater face a similar problem. As is the case
with the communities in eastern New Mexico, when the wells run dry, the
only alternative for many is to ship water from long distances. In many
instances, this is a very expensive proposition that exceeds the
capacity of rural communities' ability to pay.
In order to address the want of a sustainable water supply in eastern
New Mexico, I introduce today the Eastern New Mexico Rural Water System
Act of 2006. The bill would authorize the United States Bureau of
Reclamation to provide financial assistance to the Eastern New Mexico
Rural Water Authority, at a 75 percent Federal cost-share, to construct
a pipeline from Ute Reservoir to communities in eastern New Mexico.
This project would provide them with a renewable source of water for
years to come. Presently, it is unclear how many years the groundwater
resources on which they rely will be available.
The communities which make up the Eastern New Mexico Rural Water
Authority are due a great deal of credit for initiating engineering
studies, project financing studies, and seeking support for the project
from local, Federal and State governments. However, it would be
misleading to suggest that securing appropriations for this or similar
pipelines would be easy or that the funds will be available any time
soon. The current budget of the United States Bureau of Reclamation
simply cannot accommodate the large sums of money that this or other
water supply projects would require. As Chairman of the Energy and
Water Development Appropriations Subcommittee, I am acutely aware of
this fact and I have made this clear to the communities that would
benefit from the pipeline authorized by the bill that I introduce
today. However, I remain committed to advocate for the need to dedicate
substantially more of the national budget to this and other western
water issues with Congress and the Administration. In the interim, it
is my hope that we can begin the long and difficult process of moving
this bill through the Federal legislature. The members of the Eastern
New Mexico Rural Water Authority fully appreciate the difficulties that
lie ahead.
The problem faced by eastern New Mexico communities will become
commonplace as groundwater supplies are exhausted. Approximately half
of the population of the United States depends on aquifers for their
domestic water needs. In the coming years, the United States Congress
will have to provide succor to similar communities who have no
alternative than to seek assistance from the Federal Government.
Commensurate with this need for assistance, Congress will also have to
make budgetary decisions that take into account this widespread
problem. We would be remiss in our duties to let these communities
simply dryup.
I thank Senator Bingaman, my friend and colleague for the past 23
years and ranking member of the Energy and Natural Resources Committee
for co-sponsoring this legislation.
I ask unanimous consent that the text of the bill be printed in the
Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4008
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 ``Eastern New Mexico Rural
Water System Act of 2006''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Authority.--The term ``Authority'' means the Eastern
New Mexico Rural Water Authority, an entity formed under
State law for the purposes of planning, financing,
developing, and operating the System.
(2) Plan.--The term ``plan'' means the operation,
maintenance, and replacement plan required by section 4(b).
(3) Secretary.--The term ``Secretary'' means the Secretary
of the Interior.
(4) State.--The term ``State'' means the State of New
Mexico.
(5) System.--
(A) In general.--The term ``System'' means the Eastern New
Mexico Rural Water System, a water delivery project designed
to deliver approximately 16,500 acre-feet of water per year
from the Ute Reservoir to the cities of Clovis, Elida, Grady,
Melrose, Portales, and Texico and other locations in Curry
and Roosevelt Counties in the State.
(B) Inclusions.--The term ``System'' includes--
[[Page S10691]]
(i) the intake structure at Ute Reservoir;
(ii) a water treatment, administration, and maintenance
facility with--
(I) a 30,000,000 gallon per day average peak capacity; and
(II) a 15,000,000 gallon per day average capacity;
(iii) approximately 155 miles of transmission and lateral
pipelines and tunnels that range in size from 4 to 60 inches
in diameter;
(iv) 3 pumping stations, including--
(I) a raw water pump station at Ute Reservoir;
(II) a booster pump station at the ``Caprock'' escarpment;
and
(III) a booster pump station to Elida; and
(v) any associated appurtenances.
(6) Ute reservoir.--The term ``Ute Reservoir'' means the
impoundment of water created in 1962 by the construction of
the Ute Dam on the Canadian River, located approximately 32
miles upstream of the border between New Mexico and Texas.
SEC. 3. EASTERN NEW MEXICO RURAL WATER SYSTEM.
(a) Financial Assistance.--
(1) In general.--The Secretary may provide financial and
technical assistance to the Authority to assist in planning,
designing, conducting related preconstruction activities for,
and constructing the System.
(2) Use.--
(A) In general.--Any financial assistance provided under
paragraph (1) shall be obligated and expended only in
accordance with a cooperative agreement entered into under
section 5(a)(2).
(B) Limitations.--Financial assistance provided under
paragraph (1) shall not be used--
(i) for any activity that is inconsistent with constructing
the System; or
(ii) to plan or construct facilities used to supply
irrigation water for agricultural purposes.
(b) Cost-Sharing Requirement.--
(1) In general.--The Federal share of the total cost of any
activity or construction carried out using amounts made
available under this Act shall be not more than 75 percent of
the total cost of the System.
(2) System development costs.--For purposes of paragraph
(1), the total cost of the System shall include any costs
incurred by the Authority on or after October 1, 2003, for
the development of the System.
(c) Limitation.--No amounts made available under this Act
may be used for the construction of the System until--
(1) a plan is developed under section 4(b); and
(2) the Secretary and the Authority have complied with any
requirements of the National Environmental Policy Act of 1969
(42 U.S.C. 4321 et seq.) applicable to the System.
(d) Title to Project Works.--Title to the infrastructure of
the System shall be held by the Authority or as may otherwise
be specified under State law.
SEC. 4. OPERATION, MAINTENANCE, AND REPLACEMENT COSTS.
(a) In General.--The Authority shall be responsible for the
annual operation, maintenance, and replacement costs
associated with the System.
(b) Operation, Maintenance, and Replacement Plan.--The
Authority, in consultation with the Secretary, shall develop
an operation, maintenance, and replacement plan that
establishes the rates and fees for beneficiaries of the
System in the amount necessary to ensure that the System is
properly maintained and capable of delivering approximately
16,500 acre-feet of water per year.
SEC. 5. ADMINISTRATIVE PROVISIONS.
(a) Cooperative Agreements.--
(1) In general.--The Secretary may enter into any contract,
grant, cooperative agreement, or other agreement that is
necessary to carry out this Act.
(2) Cooperative agreement for provision of financial
assistance.--
(A) In general.--The Secretary shall enter into a
cooperative agreement with the Authority to provide financial
assistance or any other assistance requested by the Authority
for planning, design, related preconstruction activities, and
construction of the System.
(B) Requirements.--The cooperative agreement entered into
under subparagraph (A) shall, at a minimum, specify the
responsibilities of the Secretary and the Authority with
respect to--
(i) ensuring that the cost-share requirements established
by section 3(b) are met;
(ii) completing the planning and final design of the
System;
(iii) any environmental and cultural resource compliance
activities required for the System; and
(iv) the construction of the System.
(b) Technical Assistance.--At the request of the Authority,
the Secretary may provide to the Authority any technical
assistance that is necessary to assist the Authority in
planning, designing, constructing, and operating the System.
(c) Biological Assessment.--The Secretary shall consult
with the New Mexico Interstate Stream Commission and the
Authority in preparing any biological assessment under the
Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.) that
may be required for planning and constructing the System.
(d) Effect.--Nothing in this Act---
(1) affects or preempts--
(A) State water law; or
(B) an interstate compact relating to the allocation of
water; or
(2) confers on any non-Federal entity the ability to
exercise any Federal rights to--
(A) the water of a stream; or
(B) any groundwater resource.
SEC. 6. AUTHORIZATION OF APPROPRIATIONS.
(a) In General.--There are authorized to be appropriated to
the Secretary such sums as are necessary to carry out this
Act.
(b) Nonreimbursable Amounts.--Amounts made available to the
Authority in accordance with the cost-sharing requirement
under section 3(b) shall be nonreimbursable and nonreturnable
to the United States.
(c) Availability of Funds.--At the end of each fiscal year,
any unexpended funds appropriated pursuant to this Act shall
be retained for use in future fiscal years consistent with
this Act.
Mr. BINGAMAN. Mr. President, I am pleased to be co-sponsoring a bill
which Senator Domenici and I are introducing today, that would
authorize the Bureau of Reclamation to help communities in eastern New
Mexico develop the Eastern New Mexico Rural Water System (ENMRWS). The
water supply and long-term security to be made available by this
project is absolutely critical to the region's future. I look forward
to working with my colleagues here in the Senate to help make this
project a reality.
This bill is very similar to a bill I introduced in June 2004 which
was the subject of a hearing before the Water & Power Subcommittee of
the Energy & Natural Resources Committee. At that hearing, the Bureau
of Reclamation raised a number of issues that needed to be addressed by
the Project sponsors prior to securing Reclamation's support. I'm happy
to say that the sponsors have worked diligently to address those
issues, and it is time, once again, to move this project towards
authorization. I realize that there is little time left in the 109th
Congress. Nonetheless, introduction of this bill now is important to
ensure an ongoing dialogue with the Bureau of Reclamation and maintain
progress as we head towards the 110th Congress.
The source of water for the ENMRWS is Ute Reservoir, a facility
constructed by the State of New Mexico in the early 1960s. In 1966,
Congress authorized Reclamation to study the feasibility of a project
that would utilize Ute Reservoir to supply water to communities in
eastern New Mexico (P.L. 89-561). Numerous studies were subsequently
completed, but it was not until the late 1990s that several
communities, concerned about their reliance on declining and degraded
groundwater supplies in the area, began to plan seriously for the
development of a regional water system that would make use of the
renewable supply available from Ute Reservoir.
As part of that process, the Eastern New Mexico Rural Water Authority
was formed to carry out the development of the ENMRWS. The Authority
consists of 6 communities and 2 counties in eastern New Mexico, and has
been very effective in securing local funds and State funding to
support the studies and planning necessary to move the project forward.
To date, the State of New Mexico has provided over $4 million to help
develop the ENMRWS.
This is a very important bill to the citizens of New Mexico. It has
the broad support of the communities in the region as well as financial
support from the State of New Mexico. There is no question that
completion of the ENMRWS will provide communities in Curry and
Roosevelt counties with a long-term renewable source of water that is
needed to sustain current economic activity and support future growth
and development in the region. I hope my colleagues will support this
legislation, thereby helping to address pressing water needs in the
rural West.
______
By Mr. MENENDEZ:
S. 4009. A bill to restore, reaffirm, and reconcile legal rights and
remedies under civil rights statutes; to the Committee on the
Judiciary.
Mr. MENENDEZ. Mr. President, I rise today to introduce legislation
designed to protect the most vulnerable members of our society, our
children, from environmental pollution. We are well aware that children
are especially susceptible to toxins in the environment--they spend a
good deal of time playing outside, and frequently put foreign objects
into their mouths. In proportion to their body weight, they eat, drink,
and breathe more than adults, meaning concentrations of pollutants that
might not affect adults could have serious consequences for children.
Furthermore, many of their physiological
[[Page S10692]]
systems are still developing, making them particularly sensitive to
pollutants.
I believe that our environmental laws need to first and foremost
protect the most vulnerable members of our society. Unfortunately, many
of our statutes are designed with adults in mind, and may not
adequately protect children. In addition, there have been a number of
recent reports in New Jersey about schools and day care centers being
built on contaminated sites. One site in particular, the Kiddie Kollege
day care center in Franklin Township, NJ, was operating at the site of
a former thermometer factory, exposing the children and employees to
dangerous levels of mercury. Sadly, there was no requirement for the
property to be tested for environmental contamination prior to opening
as a day care center. Subsequently, we have learned about a number of
day care centers either built on or adjacent to sites contaminated with
volatile organic chemicals and other toxins.
That is why I am introducing this legislation today. The
Environmental Protection for Children Act would create a grant program
that encourages States to enact laws ensuring that properties are
tested for pollution before a new day care center or school is allowed
to open. The grants could be used for the testing and cleanup of
existing schools and day care centers as well. Furthermore, this bill
tightens the Federal programs that regulate hazardous chemicals and
environmental pollutants--the Toxic Substances Control Act, Superfund
law, Toxic Release Inventory, and Federal Hazardous Substances Act--so
that the vulnerability of children to toxins and pollutants is taken
into account when public health standards are being developed. It also
provides for more research into the specific vulnerabilities of
children to environmental pollutants, since in many cases we don't know
how much additional risk children are under.
We as a Nation have assiduously acted to protect our children from
many of the dangers that they face every day, but we have dropped the
ball when it comes to making sure that the places where they spend
their days are free from contamination. The Environmental Protection
for Children Act will help fix that, and I urge my colleagues to join
me in support of this important piece of legislation.
______
By Mr. SMITH (for himself and Mr. Wyden):
S. 4013. A bill to amend the Internal Revenue Code of 1986 to expand
the resources eligible for the renewable energy credit to kinetic
hydropower, and for other purposes; to the Committee on Finance.
Mr. SMITH. Mr. President, I rise to introduce a bill that will
further our Nation's energy independence, and provide for sustainable
electricity generation. This bill, which is cosponsored by my colleague
from Oregon Senator Wyden, will make facilities that generate
electricity using kinetic hydropower eligible for a production tax
credit.
Under this bill, kinetic hydropower is defined as: ocean free flowing
water derived from flows from tidal currents, ocean currents, waves, or
estuary currents; ocean thermal energy; or free flowing water in
rivers, lakes, man-made channels, or streams.
These innovative technologies are renewable, non-emitting resources
that can help meet our Nation's growing demand for electricity. In
Oregon, it would be possible to produce and transmit over two hundred
megawatts of wave energy without any upgrades to the existing
transmission system on the coast. Already a number of preliminary
permits have been filed at the Federal Energy Regulatory Commission for
wave energy facilities off the Oregon coast.
These facilities would be virtually invisible from shore, and could
provide predictable generation that could be easily integrated with
other electricity resources. In addition, according to a January 2005
report issued by the Electric Power Research Institute, ``with proper
siting, converting ocean wave energy to electricity is believed to be
one of the most environmentally benign ways to generate electricity.''
As with many emerging renewable technologies, wave and tidal energy
are more costly than traditional generation using fossil fuels. Yet,
for our environment and our energy security, we must provide incentives
that will encourage the development and commercialization of these
resources.
I urge my colleagues to support this important legislation, and to
provide this production tax credit.
______
By Mr. LUGAR (for himself, Mr. Frist, Mr. Biden, Mr. Smith, and
Mr. McCain):
S. 4014. A bill to endorse further enlargement of the North Atlantic
Treaty Organization (NATO) and to facilitate the timely admission of
Albania, Croatia, Georgia, and Macedonia to NATO, and for other
purposes; to the Committee on Foreign Relations.
Mr. LUGAR. Mr. President, I rise today to introduce the ``NATO
Freedom Consolidation Act of 2006. I am pleased that the Majority
Leader, Senator Frist, Senator Biden, and Senator Smith have joined me
in proposing this important legislation.
The goal of this bill is to reaffirm United States support for
continued enlargement of NATO to democracies that are able and willing
to meet the responsibilities of membership. In particular, the
legislation calls for the timely admission of Albania, Croatia,
Georgia, and Macedonia to NATO and authorizes security assistance for
these countries in Fiscal Year 2007. Each of these countries has
clearly stated its desire to join NATO and is working hard to meet the
specified requirements for membership. The bill also affirms that the
United States stands ready to consider, and if all applicable criteria
are satisfied, to support efforts by Ukraine to join NATO, should
Ukraine decide that it wishes to meet the responsibilities of
membership in the Alliance.
I believe that eventual NATO membership for these four countries
would be a success for Europe, NATO, and the United States by
continuing to extend the zone of peace and security. Albania, Croatia,
and Macedonia have been making progress on reforms through their
participation in the NATO Membership Action Plan since 2002.
Unfortunately, Georgia has not yet been granted a Membership Action
Plan but nevertheless has made remarkable progress. This legislation
will provide important incentives and assistance to the countries to
continue the implementation of democratic, defense, and economic
reforms.
Since the end of the Cold War, NATO has been evolving to meet the new
security needs of the 21st century. In this era, the threats to NATO
members are transnational and far from its geographic borders. There is
strong support among members for NATO's operation in Afghanistan, and
for its training mission in Iraq. NATO's viability as an effective
defense and security alliance depends on flexible, creative leadership,
as well as the willingness of members to improve capabilities and
address common threats.
If NATO is to continue to be the preeminent security Alliance and
serve the defense interests of its membership, it must continue to
evolve and that evolution must include enlargement. Potential NATO
membership motivates emerging democracies to make important advances in
areas such as the rule of law and civil society. A closer relationship
with NATO will promote these values and contribute to our mutual
security. Georgia is a young democracy that has made tremendous
progress since the ``Rose Revolution.'' It is situated in a critical
geostrategic location and his host to a large portion of the Baku-
Tbilisi-Ceyhan pipeline that carries important energy resources to the
West from Azerbaijan and, in the future, Kazakhstan. Georgia is
resisting pressure from breakaway republics backed by Moscow. In the
past, border disputes have been identified as reasons a country may not
be invited to join NATO. But in this case, Russia's action, not
Georgia's, is frustrating Tbilisi's NATO aspirations.
Three years ago, the United States Senate unanimously voted to invite
seven countries to join NATO. Today, Bulgaria, Estonia, Latvia,
Lithuania, Romania, Slovakia, and Slovenia are making significant
contributions to NATO and are among our closest allies in the global
war on terrorism. It is time again for the United States to take the
lead in urging its allies to bring in new members, and to offer
[[Page S10693]]
timely admission of Albania, Croatia, Georgia, and Macedonia to NATO.
______
By Mr. SPECTER (for himself and Mr. Santorum):
S. 4017. A bill to provide for an appeals process for hospital wage
index classification under the Medicare program, and for other
purposes; to the Committee on Finance.
Mr. SPECTER. Mr. President, I have sought recognition today to
introduce with Senator Santorum the Hospital Payment Improvement and
Equity Act, which will provide an increased reimbursement for acute
care hospitals and inpatient rehabilitation facilities that are
disadvantaged by Medicare payments under the Medicare area wage index
reclassification system.
For a considerable period of time, there have been a number of
counties in Pennsylvania that have been suffering from low Medicare
reimbursements, which has caused them great disadvantage because their
nurses, and other medical personnel are moving to surrounding areas. I
refer specifically to Luzerne County, Lackawanna County, Wyoming
County, Lycoming County, and Columbia County in northeastern
Pennsylvania. Those counties are surrounded by MSAs, metropolitan
statistical areas, in Newport, NY, to the north; in Allentown to the
southeast; and the Harrisburg MSA to the southwest. As these counties
are surrounded by MSAs with higher Medicare reimbursements, a flight of
very necessary medical personnel has occurred. More recently, western
Pennsylvania has been faced with Medicare reimbursement that has not
kept pace with the rising cost of healthcare placing a tremendous
burden on these facilities to provide good jobs at competitive wages.
It has also come to my attention that inpatient rehabilitation
facilities are not provided an opportunity to obtain equitable Medicare
reimbursement. Inpatient rehabilitation facilities receive adjustments
in their Medicare reimbursement due to geographic disadvantages within
the Medicare inpatient prospective payment system. This is based on
information gathered from other acute care facilities in the MSA, not
from their own wage information. Inpatient Rehabilitation Facilities,
further, cannot apply for reclassification to another MSA that reflects
their labor costs. This has prevented those facilities from being
eligible for increased funding to assist with wages like acute care
facilities, while being forced to compete for employees with those
facilities that have had access to increased funding.
I have worked to find a solution to this problem for a number of
years. During the conference for the fiscal year 2002 Labor, Health and
Human Services, and Education Appropriations bill, the conferees agreed
that there should be relief for these areas in Pennsylvania that were
surrounded by areas that had higher MSA ratings. However, at the last
minute, there was an objection to including language in the conference
report.
To correct this problem I, with Representatives Sherwood and English,
brought the matter forward in the Fiscal Year 2002 Supplemental
Appropriations bill. They worked to include language in the House
version of the bill and I filed an amendment to the Senate bill. During
conference negotiations my amendment was defeated and the provisions
were not included.
As part the Fiscal Year 2004 Labor, Health and Human Services, and
Education Appropriations, I provided $7 million for hospitals in
Northeast Pennsylvania that continued to be disadvantaged by the
Medicare area wage index reclassification. This was provided as
temporary assistance for those facilities.
During the consideration of the Medicare Prescription Drug,
Improvement, and Modernization Act of 2003, I met with Finance Chairman
Grassley and Ranking Member Baucus about the bill provisions, including
the need for a solution to the Medicare area wage index
reclassification problem in Pennsylvania. As a result, Section 508 was
included in the bill, which provides increased funding for hospitals
nationally to be reclassified to locations with higher Medicare
reimbursement rates for three years at $300 million per year. The
temporary program, which began in April 2004 and will expire April
2007, has and will provide Pennsylvania hospitals $69 million over that
time, $23 million per year.
Most recently, as part of the Senate Fiscal Year 2007 Labor, Health
and Human Services, and Education Appropriations bill, I provided $4.3
million for hospitals in the Scranton/Wilkes-Barre and Williamsport
areas that have been harmed by the ongoing wage index problem. Further,
on June 14, 2006, 20 other Senators joined me in sending a letter to
Finance Chairman Grassley and Ranking Member Baucus in support of
Senate action to extend Section 508.
As the Section 508 program is scheduled to expire on March 31, 2007,
and the low Medicare area wage index reimbursement is still being
unfairly placed on many Pennsylvania hospitals, the legislation I am
introducing would extend the current Section 508 benefit to those who
are currently receiving funding and to those who deserved funds under
the previous competition for this funding.
The legislation builds on the Section 508 Medicare Prescription Drug,
Improvement, and Modernization Act of 2003, by providing hospitals who
continue to be disadvantaged by low Medicare reimbursement an increase
in funding. The bill would allow both acute care hospitals and not-for-
profit inpatient rehabilitation facilities apply for funding in a
similar manner as set up under Section 508. Facilities that meet
specific wage and geographic criteria will receive a three year
reclassification.
Under the Section 508, program a number of hospitals meet the
necessary criteria to receive reclassification, however, inadequate
funding of $300 million per year for the program was provided. As a
result, 154 additional hospitals did not receive this vital funding.
Under this legislation, sufficient funds would be provided to allow all
facilities that meet wage and geographic criteria to receive
reclassification funding.
To remedy the under-funding of impatient rehabilitation facilities,
not for profit facilities will be eligible for funding through this
program. If all acute care hospitals in an MSA apply for and receive
funding through this program, or have sole community hospital status,
or have reclassified to another MSA through another mechanism, then
non-profit inpatient rehabilitation facilities in that MSA are
eligible. Those rehabilitation facilities will be reclassified to the
MSA where a majority of other hospitals from the same MSA have been
reclassified.
For those hospitals who received funding under the current Section
508; they will have received the benefit of a higher wage index for
three years, April 1 , 2004-March 1, 2007. These higher wages will be
included in the hospitals' cost reports and be reflected in the data
used to calculate a future wage index. It has always been the hope that
this increased funding would enable these hospitals to pay higher wages
and subsequently see an increase in the area wage index.
The problem with the wage index system is the use of three year-old
audited cost report data for the calculation of the wage index.
Therefore, a full year of Section 508 money from fiscal year 2004 will
first be seen in the fiscal year 2008 wage index calculation. For
hospitals that end their fiscal year on June 30, that wage data will
not be included in their wage index calculation until fiscal year 2009.
To reclassify, three years of data is needed to show the proper
evidence for eligibility. Thus, the full effect of the Section 508
funding will flow through the wage index system by fiscal year 2011.
For this reason, additional funding is needed for the next three years
in order for these disadvantaged hospitals to continue paying
competitive salaries to their employees.
Under Section 508, 121 hospitals have and will receive $900 million
in assistance, while this is a significant amount of funding, it did
not fix the problem of low Medicare wage reimbursement. A long term
solution to this problem is needed, however the current Section 508
funding will expire on March 31, 2007 and additional funding is needed
for these facilities while we work to find that solution. The loss of
hospitals and jobs due to unfair CMS reimbursement is unacceptable.
The hospitals which face this low Medicare reimbursement are in great
financial distress. These are hospitals which are serving an aging
population
[[Page S10694]]
in northeastern Pennsylvania and across the nation. This legislation
provides Medicare reimbursement assistance for those facilities and
ensures Medicare beneficiaries' access to care. I encourage my
colleagues to work with Senator Santorum and me to move this
legislation forward promptly.
______
By Mr. WYDEN (for himself, Mr. Kerry, and Mr. Obama):
S. 4018. A bill to establish a Vote by Mail grant program; to the
Committee on Rules and Administration.
Mr. WYDEN. Mr. President, when many Americans think of voting, they
think of long lines, malfunctioning equipment, closed polls, or even
worse, fraud. That's why so many Americans don't bother to vote. But in
my home State of Oregon, folks vote by mail and these sorts of problems
are a thing of the past.
So today I come to the floor to talk about the sorry state of the
Nation's election system and discuss my bill, the Vote by Mail Act of
2006.
There is nothing more fundamental than the right to vote. It is the
foundation on which our democracy rests. Weaken the right to vote and
you weaken America.
It's been almost 6 years since the 2000 Florida hanging chad debacle.
And yet, problems with America's election system--and waning confidence
in that system--persist.
This year's primary elections were no exception to the rule:
In Montgomery County, MD, polling places opened late because election
officials forgot to distribute the access cards necessary to run the
voting machines. Voters resorted to filling out provisional ballots and
when those ran out, they used photocopied ballots and even scraps of
paper.
Next door, in Prince George's County, MD, a handful of errors--
computers incorrectly identifying voters' party affiliation, electronic
voter registration lists freezing up, and voting machines failing to
transmit data--delayed results of a hotly contested election and may
result in a lawsuit.
Long lines, a lack of machines at certain polling places, and other
irregularities cast a black mark on Ohio's 2004 Presidential election
results. Unfortunately, this year's primary elections were also plagued
by problems. In Cuyahoga County, Ohio's largest county, thousands of
absentee ballots were incorrectly formatted for electronic scanners and
had to be counted by hand. And problems with about 10 percent of the
paper ballots cast meant that they couldn't be counted at all.
In Cook County, IL, new voting technology created headaches at
hundreds of voting sites around the county, which delayed results in a
decisive county board race.
And in Tarrant County, TX, voting machines counted ballots as many as
six times, which meant that 100,000 more votes were recorded than were
actually cast.
These are just a few recent examples of election system snafus that
have raised concerns about voting system accuracy and reliability,
concerns that have led some states to reconsider their election plans.
Last week, Maryland Governor Robert Ehrlich suggested that the state
scrap its new electronic voting system and return to paper ballots.
Earlier this year, Governor Bill Richardson of New Mexico got rid of
his touch-screen voting machines. Connecticut's Secretary of State did
the same. Both states have decided to use paper ballots and optical
scanners instead of electronic machines.
But as Florida reminds us, paper isn't perfect either and right now--
electronic or paper--you can expect there to be lot of problems come
November 7th.
Hopefully, these problems won't affect the outcome of any election. I
sure hope they don't. But whether they do or not, the Election Day
problems that I expect will plague states and counties around the
nation will push voter confidence in our election system further into
the basement.
It's too late for Congress to do much of anything to fix the problem
before the 2006 elections. But we can do something to make sure these
problems don't arise ever again.
So today, along with my esteemed colleagues, Senator John Kerry of
Massachusetts and Senator Barack Obama of Illinois, I am introducing
the Vote by Mail Act of 2006, a bill that will make Election Day
problems a thing of the past and quickly and effectively reinvigorate
Americans' confidence in their election system and in their democracy.
The bill creates a three year, $110 million grant program to help
interested states adopt vote by mail election systems like the one that
Oregon voters have been successfully using for some time now.
It's a pretty simple system. Voters get their ballots in the mail.
Wherever and whenever they would like, right up to Election Day, voters
complete their ballots and return them.
With vote by mail, polls don't open late.
With vote by mail, there aren't any long lines at the polls.
With vote by mail, there's no more confusion about where you are
supposed to vote.
There's no more debate about whether you are on the voting rolls--
either you get the ballot in the mail, or you don't. If you don't, you
have time to contact your election officials to sort it out.
Vote by mail means almost no chance of voter fraud because trained
election officials match the signature on each ballot against the
signature on each voter's registration card.
No ballot is processed or counted until everyone is satisfied that
the two signatures match.
With vote by mail, you've got a paper trail. Each voter marks up his
ballot and sends it in. That ballot is counted and then becomes the
paper record used in the event of a recount.
With vote by mail, there's much less risk of voter intimidation.
That's why a 2003 study of Oregon voters showed that those groups that
would likely be most vulnerable to coercion actually prefer vote by
mail.
Vote by mail results in more informed voters. Because folks get their
ballots weeks before the election, they have the time they need to get
educated about the candidates and the issues, and deliberate in a way
not possible at a polling place.
Vote by mail leads to huge election costs savings because it gets rid
of the need to transport equipment to polling stations and to hire and
train poll workers. Oregon has reduced its election-related costs by 30
percent since implementing vote by mail. I expect that other states
that adopt vote by mail will see the same results.
Vote by mail can help make the problems of recent elections a thing
of the past. In doing so, it will make our elections fairer and help
reinstill faith in our democracy.
Vote by mail works. And that's why Senator Kerry and Senator Obama
and I are introducing the Vote by Mail Act of 2006 today.
It gives States funds that they can use to make the transition away
from the traditional voting methods that have led to so many problems,
so many concerns, and so little confidence in the American election
system.
It gives States funds that they can use to adopt Oregon-style vote by
mail with the technical assistance and the guidance of the Election
Assistance Commission.
I believe that the Vote by Mail Act of 2006 can fix our election
system once and for all.
One final point: the Help Americans Vote Act, also know as HAVA,
takes important steps to ensure equal access to voting for all
Americans. HAVA's protections are particularly important to voters with
disabilities, and it is our responsibility to keep building on that
foundation. Nothing in this bill undermines or changes those aspects of
HAVA that require vote by mail systems to be just as accessible as any
other voting method.
While I think Oregon has proven that people with disabilities can
benefit from vote by mail, it is important to keep working with the
people who know these issues best to make sure the right to vote is
protected. And Senator Kerry, Senator Obama, and I look forward to
working with disabled and other civil rights organizations, election
reform groups, community organizations and the voters themselves to
ensure that the Vote by Mail Act of 2006 further promotes access to the
polls for individuals with disabilities.
So I urge my colleagues to seriously consider this bill and urge them
to support it. Vote by mail has been an enormous success in Oregon. I
am sure that
[[Page S10695]]
other States that adopt it will see the same benefits. This bill helps
ensure that States have that opportunity.
I asked for unanimous consent that my statement be printed into the
Record and I ask for unanimous consent that the text of the Vote by
Mail Act of 2006 be printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4018
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 ``Vote by Mail Act of 2006''.
SEC. 2. FINDINGS.
Congress makes the following findings:
(1) The Supreme Court declared in Reynolds v. Sims that
``[i]t has been repeatedly recognized that all qualified
voters have a constitutionally protected right to vote . . .
and to have their votes counted.''.
(2) In the 2000 and 2004 presidential elections, voting
technology failures and procedural irregularities deprived
some Americans of their fundamental right to vote.
(3) In 2000, faulty punch card ballots and other equipment
failures prevented accurate vote counts nationwide. A report
by the Caltech/MIT Voting Technology Project estimates that
approximately 1,500,000 votes for president were intended to
be cast but not counted in the 2000 election because of
equipment failures.
(4) In 2004, software errors, malfunctioning electronic
voting systems, and long lines at the polls prevented
accurate vote counts and prevented some people from voting.
For instance, voters at Kenyon College in Gambier, Ohio
waited in line for up to 12 hours because there were only 2
machines available for 1,300 voters.
(5) Under the Oregon Vote by Mail system, election
officials mail ballots to all registered voters at least 2
weeks before election day. Voters mark their ballots, seal
the ballots in both unmarked secrecy envelopes and signed
return envelopes, and return the ballots by mail or to secure
drop boxes. Once a ballot is received, election officials
scan the bar code on the ballot envelope, which brings up the
voter's signature on a computer screen. The election official
compares the signature on the screen and the signature on the
ballot envelope. Only if the signature on the ballot envelope
is determined to be authentic is the ballot forwarded on to
be counted.
(6) Oregon's Vote by Mail system has resulted in an
extremely low rate of voter fraud because the system includes
numerous security measures such as the signature
authentication system. Potential misconduct is also deterred
by the power of the State to punish those who engage in voter
fraud with up to five years in prison, $100,000 in fines, and
the loss of their vote.
(7) Vote by Mail is one factor making voter turnout in
Oregon consistently higher than the average national voter
turnout. For example, Oregon experienced a record voting-age-
eligible population turnout of 70.6 percent in the 2004
presidential election, compared to 58.4 percent nationally.
Oregon's turnout of registered voters for that election was
86.48 percent.
(8) Women, younger voters, and homemakers also report that
they vote more often using Vote by Mail.
(9) Vote by Mail reduces election costs by eliminating the
need to transport equipment to polling stations and to hire
and train poll workers. Oregon has reduced its election-
related costs by 30 percent since implementing Vote by Mail.
(10) Vote by Mail allows voters to educate themselves
because they receive ballots well before election day, which
provides them with ample time to research issues, study
ballots, and deliberate in a way that is not possible at a
polling place.
(11) Vote by Mail is accurate--at least 2 studies comparing
voting technologies show that absentee voting methods,
including Vote by Mail systems, result in a more accurate
vote count.
(12) Vote by Mail results in more up-to-date voter rolls,
since election officials use forwarding information from the
post office to update voter registration.
(13) Vote by Mail allows voters to visually verify that
their votes were cast correctly and produces a paper trail
for recounts.
(14) In a survey taken 5 years after Oregon implemented the
Vote by Mail system, more than 8 in 10 Oregon voters said
they preferred voting by mail to traditional voting.
SEC. 3. DEFINITIONS.
In this Act:
(1) Election.--The term ``election'' means any general,
special, primary, or runoff election.
(2) Participating state.--The term ``participating State''
means a State receiving a grant under the Vote by Mail grant
program under section 4.
(3) State.--The term ``State'' means a State of the United
States, the District of Columbia, the Commonwealth of Puerto
Rico, or a territory or possession of the United States.
(4) Voting system.--The term ``voting system'' has the
meaning given such term under section 301(b) of the Help
America Vote Act of 2002 (42 U.S.C. 15481(b)).
SEC. 4. VOTE BY MAIL GRANT PROGRAM.
(a) Establishment.--Not later than 270 days after the date
of enactment of this Act, the Election Assistance Commission
shall establish a Vote by Mail grant program (in this section
referred to as the ``program'').
(b) Purpose.--The purpose of the program is to make
implementation grants to participating States solely for the
implementation of procedures for the conduct of all elections
by mail at the State or local government level.
(c) Limitation on Use of Funds.--In no case may grants made
under this section be used to reimburse a State for costs
incurred in implementing mail-in voting for elections at the
State or local government level if such costs were incurred
prior to the date of enactment of this Act.
(d) Application.--A State seeking to participate in the
program under this section shall submit an application to the
Election Assistance Commission containing such information,
and at such time as, the Election Assistance Commission may
specify.
(e) Amount and Number of Implementation Grants; Duration of
Program.--
(1) Amount of grants.--
(A) In general.--Subject to subparagraph (B), the amount of
an implementation grant made to a participating State shall
be, in the case of a State that certifies that it will
implement all elections by mail in accordance with the
requirements of subsection (f), with respect to--
(i) the entire State, $2,000,000; or
(ii) any single unit or multiple units of local government
within the State, $1,000,000.
(B) Excess funds.--
(i) In general.--The Election Assistance Commission shall
establish a process to distribute excess funds to
participating States. The process shall ensure that such
funds are allocated among participating States in an
equitable manner, based on the number of registered voters in
the area in which the State certifies that it will implement
all of its elections by mail under subparagraph (A).
(ii) Excess funds defined.--For purposes of clause (i), the
term ``excess funds'' means any amounts appropriated pursuant
to the authorization under subsection (h)(1) with respect to
a fiscal year that are not awarded to a participating State
under an implementation grant during such fiscal year.
(C) Continuing availability of funds after appropriation.--
An implementation grant made to a participating State under
this section shall be available to the State without fiscal
year limitation.
(2) Number of implementation grants.--
(A) In general.--The Election Assistance Commission shall
award an implementation grant to up to 18 participating
States under this section during each year in which the
program is conducted.
(B) One grant per state.--The Election Assistance
Commission shall not award more than 1 implementation grant
to any participating State under this section over the
duration of the program.
(3) Duration.--The program shall be conducted for a period
of 3 years.
(f) Requirements.--
(1) Required procedures.--A participating State shall
establish and implement procedures for conducting all
elections by mail in the area with respect to which it
receives an implementation grant to conduct such elections,
including the following:
(A) A process for recording electronically each voter's
registration information and signature.
(B) A process for mailing ballots to all eligible voters.
(C) The designation of places for the deposit of ballots
cast in an election.
(D) A process for ensuring the secrecy and integrity of
ballots cast in the election.
(E) Procedures and penalties for preventing election fraud
and ballot tampering, including procedures for the
verification of the signature of the voter accompanying the
ballot through comparison of such signature with the
signature of the voter maintained by the State in accordance
with subparagraph (A).
(F) Procedures for verifying that a ballot has been
received by the appropriate authority.
(G) Procedures for obtaining a replacement ballot in the
case of a ballot which is destroyed, spoiled, lost, or not
received by the voter.
(H) A plan for training election workers in signature
verification techniques.
(I) Plans and procedures to ensure that voters who are
blind, visually-impaired, or otherwise disabled have the
opportunity to participate in elections conducted by mail and
to ensure compliance with the Help America Vote Act of 2002.
Such plans and procedures shall be developed in consultation
with disabled and other civil rights organizations, voting
rights groups, State election officials, voter protection
groups, and other interested community organizations.
(g) Best Practices, Technical Assistance, and Reports.--The
Election Assistance Commission shall--
(1) develop, periodically issue, and, as appropriate,
update best practices for conducting elections by mail;
(2) provide technical assistance to participating States
for the purpose of implementing procedures for conducting
elections by mail; and
(3) submit to the appropriate committees of Congress--
(A) annual reports on the implementation of such procedures
by participating States during each year in which the program
is conducted; and
[[Page S10696]]
(B) upon completion of the program conducted under this
section, a final report on the program, together with
recommendations for such legislation or administrative action
as the Election Assistance Commission determines to be
appropriate.
(h) Authorization of Appropriations.--
(1) Grants.--There are authorized to be appropriated to
award grants under this section, for each of fiscal years
2007 through 2009, $36,000,000, to remain available without
fiscal year limitation until expended.
(2) Administration.--There are authorized to be
appropriated to administer the program under this section,
$2,000,000 for the period of fiscal years 2007 through 2009,
to remain available without fiscal year limitation until
expended.
(i) Rule of Construction.--In no case shall any provision
of this section be construed as affecting or replacing any
provisions or requirements under the Help America Vote Act of
2002, or any other laws relating to the conduct of Federal
elections.
SEC. 5. STUDY ON IMPLEMENTATION OF MAIL-IN VOTING FOR
ELECTIONS.
(a) Study.--
(1) In general.--The Comptroller General of the United
States (in this section referred to as the ``Comptroller
General'') shall conduct a study evaluating the benefits of
nationwide implementation of mail-in voting in elections,
taking into consideration the annual reports submitted by the
Election Assistance Commission under section 4(f)(3)(A)
before November 1, 2009.
(2) Specific issues studied.--The study conducted under
paragraph (1) shall include a comparison of traditional
voting methods and mail-in voting with respect to--
(A) the likelihood of voter fraud and misconduct;
(B) accuracy of voter rolls;
(C) accuracy of election results;
(D) voter participation in urban and rural communities and
by minorities, language minorities (as defined in section 203
of the Voting Rights Act of 1965 (42 U.S.C. 1973aa-1a)), and
individuals with disabilities; and
(E) public confidence in the election system.
(b) Report.--Not later than November 1, 2009, the
Comptroller General shall prepare and submit to the
appropriate committees of Congress a report on the study
conducted under subsection (a), together with such
recommendations for legislation or administrative action as
the Comptroller General determines to be appropriate.
______
By Mr. INHOFE:
S. 4023. A bill to authorize the Secretary of the Interior to convey
to the McGee Creek Authority certain facilities of the McGee Creek
Project, Oklahoma, and for other purposes; to the Committee on Energy
and Natural Resources.
Mr. INHOFE. Mr. President, today I introduce legislation to authorize
the title transfer of the McGee Creek Reservoir dam and its associated
facilities, which are located approximately 20 miles southeast of
Atoka, OK.
My bill transfers title from the Bureau of Reclamation to the McGee
Creek Authority.
The McGee Creek Authority is a trust of the State of Oklahoma. This
Oklahoma entity was established to develop, finance, operate, and
maintain the water supply in the McGee Creek Reservoir. Thus, the
primary purpose is to provide a dependable ``municipal and industrial''
water supply for Oklahoma City, the City of Atoka, Atoka County, and
the area represented by the Southern Oklahoma Development Trust. The
McGee Creek Authority currently operates the dam and associated
facilities.
This title transfer under this bill will allow Oklahoma City to make
the necessary capital improvements and upgrades needed to assure the
continued efficient operation of the Reservoir.
This bill is responsible legislation that will end requests for
federal funds and will protect the federal government from legal
liabilities that could be incurred in their operation.
This legislation is the result of cooperation and coordination
between Oklahoma City, the McGee Creek Authority, and the Bureau of
Reclamation. I thank the Bureau of Reclamation for their drafting
service in preparing the legislation, as well as of course the Senate
Legislative Counsel. This legislation was requested by Mayor Mick
Cornett of Oklahoma City, and I am happy to assist in this worthy
cause.
I ask unanimous consent to print in the Record the letter of request
from Mayor Cornett.
I encourage my colleagues to join me in support of the bill.
There being no objection, the letter was ordered to be printed in the
Record, as follows:
February 13, 2006.
Hon. James Inhofe,
U.S. Senate,
Washington, DC.
Dear Chairman Inhofe: The purpose of this letter is to
request your assistance in obtaining a federal legislative
authorization for the title transfer of the McGee Creek
Reservoir dam and associated facilities from the Bureau of
Reclamation to the McGee Creek Authority. The McGee Creek
Authority is a trust of the State of Oklahoma and also
currently operates the dam and associated facilities.
This title and transfer is supported by the Bureau of
Reclamation and will allow Oklahoma City to make capital
improvements and upgrades needed to assure the continued
efficient operation of the Reservoir.
Attached is a copy of the background of the Authority's
responsibility and the description of the property to be
transferred.
Sincerely,
Mick Cornett,
Mayor.
______
By Mr. FRIST (for himself, Mr. Kennedy, Mr. Obama, and Mr.
Bingaman):
S. 4024. A bill to amend the Public Health Service Act to improve the
health and healthcare of racial and ethnic minority and other health
disparity populations; to the Committee on Health, Education, Labor,
and Pensions.
Mr. FRIST. Mr. President, I rise today to discuss a bill that has
been very close to my heart for some time. And that is a bill that will
help us better understand, and one day eliminate, the health
disparities that plague this country.
Many Americans don't realize that a problem exists. But traveling
through rural Tennessee and spending 20 years in medicine, I know that
it does.
The fact of the matter is African-Americans have higher overall rates
of death and are more likely to report poor health than white or other
minorities. The death rate for all kinds of cancers is a third higher
for African-Americans than it is for whites. And there are 8 times as
many blacks as whites in the United States with HIV-AIDS.
In Tennessee, African-Americans are 32 percent more likely to die
from heart disease. The stroke rate for black Tennesseans is 43 percent
higher than for whites. The infant mortality rate among African-
Americans in Tennessee is almost 3 times as high as it is for whites.
In a State that ranks 3rd in the Nation for infant mortality--it's a
hard statistic to swallow.
Which is why we must change it.
And that is the goal of the bill before us.
The intent of this bi-partisan bill is two-fold: to understand the
root causes of health disparities, and through better understanding
them, wipe them away.
To help foster that fuller comprehension of the challenge we face,
this legislation will direct the Secretary of Health and Human Services
to collect and report healthcare data by race and ethnicity, as well as
geographic location, socioeconomic status and health literacy to
identify and address health care disparities.
The legislation outlines mechanisms to research the problem, to
conduct educational outreach to minorities, to increase diversity among
healthcare professionals, to enhance communication between patients and
doctors, and to improve the delivery of health care to minorities.
Through educational outreach we can work to change patient behavior.
The top 3 causes of death among African-Americans are heart disease,
cancer, and stroke. Thirteen percent of the adult African-American
population has diabetes. And the risks of each of these can be
minimized through healthier diet and tobacco cessation.
The bill before us establishes grants for programs that will reach
out to health disparity populations, and teach healthier habits.
Emphasizing the importance of preventative care is a fundamental step
in the road to reducing disparities.
Fostering better communication between healthcare providers and
health disparity populations can be achieved in part by encouraging
more minorities to enter the healthcare profession. To that end, the
bill before us reauthorizes several programs to support educational
opportunities for minorities in healthcare.
We have a long history in this country of working to eliminate the
inequities driven by race, ethnicity, and socioeconomic status. I
believe that the bill before us today will go a long way in helping us
realize a day when we are truly a Nation of equals.
[[Page S10697]]
Mr. President, I ask unanimous consent that the text of the bill be
printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4024
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Minority
Health Improvement and Health Disparity Elimination Act''.
(b) Table of Contents.--
Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
TITLE I--EDUCATION AND TRAINING
Sec. 101. Cultural competency and communication for providers.
Sec. 102. Healthcare workforce, education, and training.
Sec. 103. Workforce training to achieve diversity.
Sec. 104. Mid-career health professions scholarship program.
Sec. 105. Cultural competency training.
Sec. 106. Authorization of appropriations; reauthorizations.
TITLE II--CARE AND ACCESS
Sec. 201. Care and access.
Sec. 202. Authorization of appropriations.
TITLE III--RESEARCH
Sec. 301. Agency for healthcare research and quality.
Sec. 302. Genetic variation and health.
Sec. 303. Evaluations by the Institute of Medicine.
Sec. 304. National Center for Minority Health and Health Disparities
reauthorization.
Sec. 305. Authorization of appropriations.
TITLE IV--DATA COLLECTION, ANALYSIS, AND QUALITY
Sec. 401. Data collection, analysis, and quality.
TITLE V--LEADERSHIP, COLLABORATION, AND NATIONAL ACTION PLAN
Sec. 501. Office of Minority Health and Health Disparity Elimination.
SEC. 2. DEFINITIONS.
In this Act and the amendments made by this Act:
(1) Cultural competency.--The term ``culturally
competent''--
(A) when used to describe health-related services, means
providing healthcare tailored to meet the social, cultural,
and linguistic needs of patients from diverse backgrounds;
and
(B) when used to describe education or training, means
education or training designed to prepare those receiving the
education or training to provide health-related services
tailored to meet the social, cultural, and linguistic needs
of patients from diverse backgrounds.
(2) Health disparity population.--The term ``health
disparity population'' has the meaning given such term in
section 903(d)(1) of the Public Health Service Act (42 U.S.C.
299a-1(d)(1)).
(3) Health literacy.--The term ``health literacy'' means
the degree to which an individual has the capacity to obtain,
communicate, process, and understand health information
(including the language in which the information is provided)
and services in order to make appropriate health decisions.
(4) Minority group.--The term ``minority group'' has the
meaning given the term ``racial and ethnic minority group''
in section 1707 of the Public Health Service Act (42 U.S.C.
300u-6) (as amended by section 501).
(5) Practice-based research networks.--The term ``practice-
based research network'' means a group of ambulatory
practices devoted principally to the primary care of
patients, and affiliated in their mission to investigate
questions related to community-based practice and to improve
the quality of primary care
(6) Secretary.--The term ``Secretary'' means the Secretary
of Health and Human Services.
TITLE I--EDUCATION AND TRAINING
SEC. 101. CULTURAL COMPETENCY AND COMMUNICATION FOR
PROVIDERS.
Title II of the Public Health Service Act (42 U.S.C. 202 et
seq.) is amended by adding at the end the following:
``SEC. 270. INTERNET CLEARINGHOUSE TO IMPROVE CULTURAL
COMPETENCY AND COMMUNICATION BY HEALTHCARE
PROVIDERS.
``(a) Establishment.--Not later than 1 year after the date
of enactment of the Minority Health Improvement and Health
Disparity Elimination Act, the Secretary, acting through the
Deputy Assistant Secretary for Minority Health and Health
Disparity Elimination, shall assist providers to improve the
health and healthcare of racial and ethnic minority and other
health disparity populations by developing and maintaining an
Internet Clearinghouse within the Office of Minority Health
and Health Disparity Elimination that--
``(1) increases cultural competency;
``(2) improves communication between healthcare providers,
staff, and their patients, including those patients with low
functional health literacy;
``(3) improves healthcare quality and patient satisfaction;
``(4) reduces medical errors and healthcare costs; and
``(5) reduces duplication of effort regarding translation
of materials.
``(b) Internet Clearinghouse.--Not later than 12 months
after the date of enactment of this section the Secretary,
acting through the Deputy Assistant Secretary for Minority
Health and Health Disparity Elimination, and in consultation
with the Director of the Office for Civil Rights, shall carry
out subsection (a) by--
``(1) developing and maintaining, through the Office of
Minority Health and Health Disparity Elimination, an
accessible library and database on the Internet with easily
searchable, clinically-relevant information regarding
culturally competent healthcare for racial and ethnic
minority and other health disparity populations, including
Internet links to additional resources that fulfill the
purpose of this section;
``(2) developing and making templates for visual aids and
standard documents with clear explanations that can help
patients and consumers access and make informed decisions
about healthcare, including--
``(A) administrative and legal documents, including
informed consent and advanced directives;
``(B) clinical information, including information
pertaining to treatment adherence, self-management training
for chronic conditions, preventing transmission of disease,
and discharge instructions;
``(C) patient education and outreach materials, including
immunization or screening notices and health warnings; and
``(D) Federal health forms and notices;
``(3) ensuring that documents described in paragraph (2)
are posted in English and non-English languages and are
culturally appropriate;
``(4) encouraging healthcare providers to customize such
documents for their use;
``(5) facilitating access to such documents, including
distribution in both paper and electronic formats;
``(6) providing technical assistance to healthcare
providers with respect to the access and use of information
described in paragraph (1) including information to help
healthcare providers--
``(A) understand the concept of cultural competence;
``(B) implement culturally competent practices;
``(C) care for patients with low functional health
literacy, including helping such patients understand and
participate in healthcare decisions;
``(D) understand and apply Federal guidance and directives
regarding healthcare for racial and ethnic minority and other
health disparity populations;
``(E) obtain reimbursement for provision of culturally
competent services;
``(F) understand and implement bioinformatics and health
information technology in order to improve healthcare for
racial and ethnic minority and other health disparity
populations; and
``(G) conduct other activities determined appropriate by
the Secretary;
``(7) providing educational materials to patients,
representatives of community-based organizations, and the
public with respect to the access and use of information
described in paragraph (1), including--
``(A) information to help such individuals--
``(i) understand the concept of cultural competence, and
the role of cultural competence in the delivery of
healthcare;
``(ii) work with healthcare providers to implement
culturally competent practices; and
``(iii) understand the concept of low functional health
literacy, and the barriers it presents to care; and
``(B) other material determined appropriate by the
Secretary; and
``(8) supporting initiatives that the Secretary determines
to be useful to fulfill the purposes of the Internet
Clearinghouse.
``(c) Definitions.--The definitions contained in section 2
of the Minority Health Improvement and Health Disparity
Elimination Act shall apply for purposes of this section.''.
SEC. 102. HEALTHCARE WORKFORCE, EDUCATION, AND TRAINING.
(a) In General.--Part F of title VII of the Public Health
Service Act (42 U.S.C. 295j et seq.) is amended by inserting
after section 792 the following:
``SEC. 793. HEALTHCARE WORKFORCE, EDUCATION, AND TRAINING.
``(a) In General.--The Secretary, acting through the
Administrator of the Health Resources and Services
Administration and the Deputy Assistant Secretary for
Minority Health and Health Disparity Elimination, shall
establish an aggregated and disaggregated database on health
professional students, including applicants, matriculates,
and graduates.
``(b) Requirement to Collect Data.--
``(1) In general.--Each health professions school described
in paragraph (2) that receives Federal funds, shall collect
race and ethnicity data, primary language data, and other
health disparity data, as feasible and pursuant to subsection
(d), concerning the students described in subsection (a), as
well as intended geographical site of practice and intended
discipline of practice for graduates. In collecting such
data, a school shall--
``(A) at a minimum, use the categories for race and
ethnicity established by the Director of the Office of
Management and Budget in effect on the date of enactment of
the Minority Health Improvement and Health Disparity
Elimination Act; and
[[Page S10698]]
``(B) if practicable, collect data on additional population
groups if such data can be aggregated into the minimum race
and ethnicity data categories.
``(2) Health professions school.--A health professions
school described under this paragraph is a school of medicine
or osteopathic medicine, public health, nursing, dentistry,
optometry, pharmacy, allied health, podiatric medicine, or
veterinary medicine, or a graduate program in mental health
practice.
``(c) Reporting.--Each school or program described under
subsection (b), shall, on an annual basis, report to the
Secretary data on race and ethnicity and primary language
collected under this section for inclusion in the database
established under subsection (a). The Secretary shall ensure
that such disparity data is reported to Congress and made
available to the public.
``(d) Health Disparity Measures.--The Secretary shall
develop, report, and disseminate measures of the other health
data referenced in section 793(b)(1), to ensure uniform and
consistent collection and reporting of these measures by
health professions schools. In developing such measures, the
Secretary shall take into consideration health disparity
indicators developed pursuant to section 2901(c).
``(e) Use of Data.--Data reported pursuant to subsection
(c) shall be used by the Secretary to conduct ongoing short-
and long-term analyses of diversity within health professions
schools and the health professions. The Secretary shall
ensure that such analyses are reported to Congress and made
available to the public.
``(f) Cultural Competency Training.--The Secretary shall
collect and report data from health professions schools
regarding the extent to which cultural competency training is
provided to health professions students, and conduct periodic
assessments regarding the preparedness of such students to
care for patients from racial and ethnic minority and other
health disparity populations.
``(g) Privacy.--The Secretary shall ensure that all data
collected under this section is protected from inappropriate
internal and external use by any entity that collects,
stores, or receives the data and that such data is collected
without personally identifiable information.
``(h) Partnership.--The Secretary may contract with
external entities to fulfill the requirements under this
section if such entities have demonstrated expertise and
experience collecting, analyzing, and reporting data required
under this section for health professional students.''.
(b) National Health Service Corps Program.--
(1) Assignment of corps personnel.--Section 333(a)(3) of
the Public Health Service Corps (42 U.S.C. 254f(a)(3)) is
amended to read as follows:
``(3)(A) In approving applications for assignment of
members of the Corps the Secretary shall not discriminate
against application from entities which are not receiving
Federal financial assistance under this Act.
``(B) In approving such applications, the Secretary shall--
``(i) give preference to applications in which a nonprofit
entity or public entity shall provide a site to which Corps
members may be assigned; and
``(ii) give highest preference to applications--
``(I) from entities described in clause (i) that are
federally qualified health centers as defined in section
1905(l)(2)(B) of the Social Security Act; and
``(II) from entities described in clause (i) that primarily
serve racial and ethnic minority and other health disparity
populations with annual incomes at or below twice those set
forth in the most recent poverty guidelines issued by the
Secretary pursuant to section 673(2) of the Community
Services Block Grant Act (42 U.S.C. 9902(2)).''.
(2) Priorities in assignment of corps personnel.--Section
333A of the Public Health Service Act (42 U.S.C. 254f-1) is
amended--
(A) in subsection (a)--
(i) by redesignating paragraphs (1), (2), and (3) as
paragraphs (2), (3), and (4), respectively; and
(ii) by striking ``shall--'' and inserting ``shall--
``(1) give preference to applications as set forth in
subsection (a)(3) of section 333;''; and
(B) by striking ``subsection (a)(1)'' each place it appears
and inserting ``subsection (a)(2)''.
(3) Conforming amendment.--Section 338I(c)(3)(B)(ii) of the
Public Health Service Act (42 U.S.C. 254q-1(c)(3)(B)(ii)) is
amended by striking ``section 333A(a)(1)'' and inserting
``section 333A(a)(2)''.
SEC. 103. WORKFORCE TRAINING TO ACHIEVE DIVERSITY.
(a) Centers of Excellence.--Section 736 of the Public
Health Service Act (42 U.S.C. 293) is amended--
(1) by striking subsection (a) and inserting the following:
``(a) In General.--The Secretary shall make grants to, and
enter into contracts with, public and nonprofit private
health or educational entities, including designated health
professions schools described in subsection (c), for the
purpose of assisting the entities in supporting programs of
excellence in health professions education for
underrepresented minorities in health professions.'';
(2) by striking subsection (b) and inserting the following:
``(b) Required Use of Funds.--The Secretary may not make a
grant under subsection (a) unless the designated health
professions school involved agrees, subject to subsection
(c)(1)(C), to use the funds awarded under the grant to--
``(1) develop a large competitive applicant pool through
linkages with institutions of higher education, local school
districts, and other community-based entities and establish
an education pipeline for health professions careers;
``(2) establish, strengthen, or expand programs to enhance
the academic performance of underrepresented minority in
health professions students attending the school;
``(3) improve the capacity of such school to train,
recruit, and retain underrepresented minority faculty members
including the payment of such stipends and fellowships as the
Secretary may determine appropriate;
``(4) carry out activities to improve the information
resources, clinical education, curricula, and cultural and
linguistic competence of the graduates of the school, as it
relates to minority health and other health disparity issues;
``(5) facilitate faculty and student research on health
issues particularly affecting racial and ethnic minority and
other health disparity populations, including research on
issues relating to the delivery of culturally competent
healthcare (as defined in section 270);
``(6) carry out a program to train students of the school
in providing health services to racial and ethnic minority
and other health disparity populations (as defined in section
903(d)(1)) through training provided to such students at
community-based health facilities that--
``(A) provide such health services; and
``(B) are located at a site remote from the main site of
the teaching facilities of the school;
``(7) provide stipends as the Secretary determines
appropriate, in amounts as the Secretary determines
appropriate; and
``(8) conduct accountability and other reporting
activities, as required by the Secretary in subsection
(i).'';
(3) in subsection (c)--
(A) by amending paragraph (1) to read as follows:
``(1) Designated schools.--
``(A) In general.--The designated health professions
schools referred to in subsection (a) are such schools that
meet each of the conditions specified in subparagraphs (B)
and (C), and that--
``(i) meet each of the conditions specified in paragraph
(2)(A);
``(ii) meet each of the conditions specified in paragraph
(3);
``(iii) meet each of the conditions specified in paragraph
(4); or
``(iv) meet each of the conditions specified in paragraph
(5).
``(B) General conditions.--The conditions specified in this
subparagraph are that a designated health professions
school--
``(i) has a significant number of underrepresented minority
in health professions students enrolled in the school,
including individuals accepted for enrollment in the school;
``(ii) has been effective in assisting such students of the
school to complete the program of education and receive the
degree involved;
``(iii) has been effective in recruiting such students to
enroll in and graduate from the school, including providing
scholarships and other financial assistance to such students
and encouraging such students from all levels of the
educational pipeline to pursue health professions careers;
and
``(iv) has made significant recruitment efforts to increase
the number of underrepresented minority in health professions
individuals serving in faculty or administrative positions at
the school.
``(C) Consortium.--The condition specified in this
subparagraph is that, in accordance with subsection (e)(1),
the designated health profession school involved has with
other health profession schools (designated or otherwise)
formed a consortium to carry out the purposes described in
subsection (b) at the schools of the consortium.
``(D) Application of criteria to other programs.--In the
case of any criteria established by the Secretary for
purposes of determining whether schools meet the conditions
described in subparagraph (B), this section may not, with
respect to racial and ethnic minorities, be construed to
authorize, require, or prohibit the use of such criteria in
any program other than the program established in this
section.'';
(B) by amending paragraph (2) to read as follows:
``(2) Centers of excellence at certain historically black
colleges and universities.--
``(A) Conditions.--The conditions specified in this
subparagraph are that a designated health professions school
is a school described in section 799B(1).
``(B) Use of grant.--In addition to the purposes described
in subsection (b), a grant under subsection (a) to a
designated health professions school meeting the conditions
described in subparagraph (A) may be expended--
``(i) to develop a plan to achieve institutional
improvements, including financial independence, to enable the
school to support programs of excellence in health
professions education for underrepresented minority
individuals; and
[[Page S10699]]
``(ii) to provide improved access to the library and
informational resources of the school.
``(C) Exception.--The requirements of paragraph (1)(C)
shall not apply to a historically black college or university
that receives funding under this paragraph or paragraph
(5).''; and
(C) by amending paragraphs (3) through (5) to read as
follows:
``(3) Hispanic centers of excellence.--The conditions
specified in this paragraph are that--
``(A) with respect to Hispanic individuals, each of clauses
(i) through (iv) of paragraph (1)(B) applies to the
designated health professions school involved;
``(B) the school agrees, as a condition of receiving a
grant under subsection (a) of this section, that the school
will, in carrying out the duties described in subsection (b)
of this section, give priority to carrying out the duties
with respect to Hispanic individuals; and
``(C) the school agrees, as a condition of receiving a
grant under subsection (a) of this section, that--
``(i) the school will establish an arrangement with 1 or
more public or nonprofit community-based Hispanic serving
organizations, or public or nonprofit private institutions of
higher education, including schools of nursing, whose
enrollment of students has traditionally included a
significant number of Hispanic individuals, the purposes of
which will be to cary out a program--
``(I) to identify Hispanic students who are interested in a
career in the health profession involved; and
``(II) to facilitate the educational preparation of such
students to enter the health professions school; and
``(ii) the school will make efforts to recruit Hispanic
students, including students who have participated in the
undergraduate or other matriculation program carried out
under arrangements established by the school pursuant to
clause (i)(II) and will assist Hispanic students regarding
the completion of the educational requirements for a degree
from the school.
``(4) Native american centers of excellence.--Subject to
subsection (e), the conditions specified in this paragraph
are that--
``(A) with respect to Native Americans, each of clauses (i)
through (iv) of paragraph (1)(B) applies to the designated
health professions school involved;
``(B) the school agrees, as a condition of receiving a
grant under subsection (a) of this section, that the school
will, in carrying out the duties described in subsection (b)
of this section, give priority to carrying out the duties
with respect to Native Americans; and
``(C) the school agrees, as a condition of receiving a
grant under subsection (a) of this section, that--
``(i) the school will establish an arrangement with 1 or
more public or nonprofit private institutions of higher
education, including schools of nursing, whose enrollment of
students has traditionally included a significant number of
Native Americans, the purpose of which arrangement will be to
carry out a program--
``(I) to identify Native American students, from the
institutions of higher education referred to in clause (i),
who are interested in health professions careers; and
``(II) to facilitate the educational preparation of such
students to enter the designated health professions school;
and
``(ii) the designated health professions school will make
efforts to recruit Native American students, including
students who have participated in the undergraduate program
carried out under arrangements established by the school
pursuant to clause (i) and will assist Native American
students regarding the completion of the educational
requirements for a degree from the designated health
professions school.
``(5) Other centers of excellence.--The conditions
specified in this paragraph are--
``(A) with respect to other centers of excellence, the
conditions described in clauses (i) through (iv) of paragraph
(1)(B); and
``(B) that the health professions school involved has an
enrollment of underrepresented minorities in health
professions significantly above the national average for such
enrollments of health professions schools.''; and
(4) by striking subsection (h) and inserting the following:
``(h) Formula for Allocations.--
``(1) Allocations.--Based on the amount appropriated under
section 106(a) of the Minority Health Improvement and Health
Disparity Elimination Act for a fiscal year, the following
subparagraphs shall apply as appropriate:
``(A) In general.--If the amounts appropriated under
section 106(a) of the Minority Health Improvement and Health
Disparity Elimination Act for a fiscal year are $24,000,000
or less--
``(i) the Secretary shall make available $12,000,000 for
grants under subsection (a) to health professions schools
that meet the conditions described in subsection (c)(2)(A);
and
``(ii) and available after grants are made with funds under
clause (i), the Secretary shall make available--
``(I) 60 percent of such amount for grants under subsection
(a) to health professions schools that meet the conditions
described in paragraph (3) or (4) of subsection (c)
(including meeting the conditions under subsection (e)); and
``(II) 40 percent of such amount for grants under
subsection (a) to health professions schools that meet the
conditions described in subsection (c)(5).
``(B) Funding in excess of $24,000,000.--If amounts
appropriated under section 106(a) of the Minority Health
Improvement and Health Disparity Elimination Act for a fiscal
year exceed $24,000,000 but are less than $30,000,000--
``(i) 80 percent of such excess amounts shall be made
available for grants under subsection (a) to health
professions schools that meet the requirements described in
paragraph (3) or (4) of subsection (c) (including meeting
conditions pursuant to subsection (e)); and
``(ii) 20 percent of such excess amount shall be made
available for grants under subsection (a) to health
professions schools that meet the conditions described in
subsection (c)(5).
``(C) Funding in excess of $30,000,000.--If amounts
appropriated under section 106(a) of the Minority Health
Improvement and Health Disparity Elimination Act for a fiscal
year exceed $30,000,000 but are less than $40,000,000, the
Secretary shall make available--
``(i) not less than $12,000,000 for grants under subsection
(a) to health professions schools that meet the conditions
described in subsection (c)(2)(A);
``(ii) not less than $12,000,000 for grants under
subsection (a) to health professions schools that meet the
conditions described in paragraph (3) or (4) of subsection
(c) (including meeting conditions pursuant to subsection
(e));
``(iii) not less than $6,000,000 for grants under
subsection (a) to health professions schools that meet the
conditions described in subsection (c)(5); and
``(iv) after grants are made with funds under clauses (i)
through (iii), any remaining excess amount for grants under
subsection (a) to health professions schools that meet the
conditions described in paragraph (2)(A), (3), (4), or (5) of
subsection (c).
``(D) Funding in excess of $40,000,000.--If amounts
appropriated under section 106(a) of the Minority Health
Improvement and Health Disparity Elimination Act for a fiscal
year are $40,000,000 or more, the Secretary shall make
available--
``(i) not less than $16,000,000 for grants under subsection
(a) to health professions schools that meet the conditions
described in subsection (c)(2)(A);
``(ii) not less than $16,000,000 for grants under
subsection (a) to health professions schools that meet the
conditions described in paragraph (3) or (4) of subsection
(c) (including meeting conditions pursuant to subsection
(e));
``(iii) not less than $8,000,000 for grants under
subsection (a) to health professions schools that meet the
conditions described in subsection (c)(5); and
``(iv) after grants are made with funds under clauses (i)
through (iii), any remaining funds for grants under
subsection (a) to health professions schools that meet the
conditions described in paragraph (2)(A), (3), (4), or (5) of
subsection (c).
``(2) No limitation.--Nothing in this subsection shall be
construed as limiting the centers of excellence referred to
in this section to the designated amount, or to preclude such
entities from competing for grants under this section.
``(3) Maintenance of effort.--
``(A) In general.--With respect to activities for which a
grant made under this part are authorized to be expended, the
Secretary may not make such a grant to a center of excellence
for any fiscal year unless the center agrees to maintain
expenditures of non-Federal amounts for such activities at a
level that is not less than the level of such expenditures
maintained by the center for the fiscal year preceding the
fiscal year for which the school receives such a grant.
``(B) Use of federal funds.--With respect to any Federal
amounts received by a center of excellence and available for
carrying out activities for which a grant under this part is
authorized to be expended, the center shall, before expending
the grant, expend the Federal amounts obtained from sources
other than the grant, unless given prior approval from the
Secretary.
``(i) Evaluations.--
``(1) Advisory committee.--
``(A) In general.--Not later than 90 days after the date of
enactment of the Minority Health Improvement and Health
Disparity Elimination Act, the Secretary shall establish and
appoint the members of an advisory committee composed of
representatives of government agencies, including the Health
Resources and Services Administration, the Office of Minority
Health and Health Disparity Elimination, and the Indian
Health Service, community stakeholders and experts in
identifying and addressing the health concerns of racial and
ethnic minority and other health disparity populations, and
designees from health professions schools described in
subsection (b).
``(B) Duties.--The advisory committee shall develop and
recommend performance measures with which to assess, based on
data to be compiled by recipients of grants or contracts
under this section or section 736, 737, 738, or 739, the
extent to which the program described in this section and
sections 736, 737, 738, and 739 has met the purpose of this
part. The advisory committee shall submit such
recommendations to the Administrator of the Health Resources
and Services Administration not later than 6 months after the
appointment of the advisory committee.
[[Page S10700]]
``(C) Notification.--Not later than 30 days after the
submission of the recommendations, the Administrator of the
Health Resources and Services Administration shall review the
recommendations and establish performance measures described
in subparagraph (B), and the Administrator shall notify
recipients of grants or contracts under this section or
section 736, 737, 738, or 739 of the new performance measures
and make requirements related to the performance measures
publicly available both on the website of the Administration
and as part of any notifications of awards released to
entities receiving the grants or contracts.
``(2) Data collection and annual evaluations.--
``(A) In general.--The Administrator of the Health
Resources and Services Administration shall collect annual
data from recipients of grants or contracts under this
section or section 736, 737, 738, or 739 on the performance
measures established under paragraph (1).
``(B) Biannual meeting.--The Administrator of the Health
Resources and Services Administration shall convene a meeting
of the advisory committee established under paragraph (1) not
less than twice per year. At the meeting, the advisory
committee shall recommend any necessary changes to such
performance measures to improve data collection and short-
term evaluation with respect to the programs carried out
under this section or section 736, 737, 738, or 739, and
provide technical assistance as necessary.
``(3) Updates.--The Administrator of the Health Resources
and Services Administration shall determine whether to
incorporate the recommended changes as described in paragraph
(2)(B) and provide technical assistance as necessary. The
Administrator shall not penalize a current recipient of a
grant or contract under this section or section 736, 737,
738, or 739 for failing to comply with the revised data
collection or performance measure requirements if the
recipient demonstrates an inability to provide additional
data mandated under the requirements.
``(4) Accountability.--The Administrator shall review and
take into consideration performance measurement data
previously collected from recipients of grants or contracts
under this section or section 736, 737, 738, or 739 when
deciding to renew the grants or contracts of such
recipients.''.
(b) Cooperative Agreements for Online Degree Programs at
Schools of Public Health and Schools of Allied Health.--Part
B of title VII of the Public Health Service Act (42 U.S.C.
293 et seq.) is amended by adding at the end the following:
``SEC. 742. COOPERATIVE AGREEMENTS FOR ONLINE DEGREE
PROGRAMS.
``(a) Cooperative Agreements.--The Secretary shall award
cooperative agreements to accredited schools of public
health, schools of allied health, and public health programs
to design and implement a degree program over the Internet
(referred to in this section as an `online degree program').
``(b) Application.--To be eligible to receive a cooperative
agreement under subsection (a), an accredited school of
public health, school of allied health, or public health
program shall submit an application at such time, in such
manner, and containing such information as the Secretary may
require.
``(c) Priority.--In awarding cooperative agreements under
this section, the Secretary shall give priority to any
accredited school of public health, school of allied health,
or public health program that serves a disproportionate
number of individuals from racial and ethnic minority and
other health disparity populations.
``(d) Requirements.--Awardees shall use an award under
subsection (a) to design and implement an online degree
program that meets the following conditions:
``(1) Limiting enrollment to individuals who have obtained
a secondary school diploma or a recognized equivalent.
``(2) Maintaining significant enrollment and graduation of
underrepresented minorities in health professions.''.
(c) Definition.--Part B of title VII of the Public Health
Service Act (42 U.S.C. 293 et seq.) is amended by inserting
after the part heading the following:
``SEC. 735A. APPLICATION OF DEFINITION.
``The definition contained in section 738(b)(5) shall apply
for purposes of this part, except that such definition shall
also apply in the case of references to `underrepresented
minority students', `underrepresented minority faculty
members', `underrepresented minority faculty administrators',
and `underrepresented minorities in health professions'.''.
SEC. 104. MID-CAREER HEALTH PROFESSIONS SCHOLARSHIP PROGRAM.
Subpart 2 of part E of title VII of the Public Health
Service Act (42 U.S.C. 295 et seq.) is amended--
(1) in section 770, by inserting ``(other than section
771)'' after ``this subpart'';
(2) by redesignating section 770 as section 771; and
(3) by inserting after section 769 the following:
``SEC. 770. MID-CAREER HEALTH PROFESSIONS SCHOLARSHIP
PROGRAM.
``(a) In General.--The Secretary may make grants to
eligible schools to award scholarships to eligible
individuals to attend the school involved, for the purpose of
enabling the individuals to make a career change from a non-
health profession to a health profession.
``(b) Application.--To receive a grant under this section,
an eligible school shall submit to the Secretary an
application at such time, in such manner, and containing such
information as the Secretary may require.
``(c) Use of Funds.--Amounts awarded as a scholarship under
this section may be expended only for tuition expenses, other
reasonable educational expenses, and reasonable living
expenses incurred in the attendance of the school involved.
``(d) Definitions.--In this section:
``(1) Eligible school.--The term `eligible school' means an
accredited school of medicine, osteopathic medicine,
dentistry, nursing, pharmacy, podiatric medicine, optometry,
veterinary medicine, public health, chiropractic, allied
health, a school offering a graduate program in behavioral
and mental health practice, or an entity providing programs
for the training of physician assistants.
``(2) Eligible individual.--The term `eligible individual'
means an individual who is an underrepresented minority
individual who has obtained a secondary school diploma or its
recognized equivalent.''.
SEC. 105. CULTURAL COMPETENCY TRAINING.
Part B of title VII of the Public Health Service Act (42
U.S.C. 293 et seq.), as amended by section 104, is amended by
adding at the end the following:
``SEC. 743. CULTURAL COMPETENCY TRAINING.
``(a) In General.--The Secretary, acting through the
Administrator of the Health Resources and Services
Administration and in collaboration with the Office of
Minority Health and Health Disparity Elimination and Agency
for Healthcare Research and Quality, shall support the
development, evaluation, and dissemination of model curricula
for cultural competency training for use in health
professions schools and continuing education programs, and
other purposes determined appropriate by the Secretary.
``(b) Curricula.--In carrying out subsection (a), the
Secretary shall collaborate with health professional
societies, licensing and accreditation entities, health
professions schools, and experts in minority health and
cultural competency, and other organizations as determined
appropriate by the Secretary. Such curricula shall include a
focus on cultural competency measures and cultural competency
self-assessment methodology for health providers, systems and
institutions.
``(c) Dissemination.--
``(1) In general.--Such model curricula should be
disseminated through the Internet Clearinghouse under section
270 and other means as determined appropriate by the
Secretary.
``(2) Evaluation.--The Secretary shall evaluate adoption
and the implementation of cultural competency training
curricula, and facilitate inclusion of cultural competency
measures in quality measurement systems as appropriate.''.
SEC. 106. AUTHORIZATION OF APPROPRIATIONS; REAUTHORIZATIONS.
(a) Authorization of Appropriations.--There are authorized
to be appropriated--
(1) such sums as may be necessary for each of fiscal years
2007 through 2011, to carry out the amendments made by
sections 101 and 102 of this title (adding sections 270 and
793 to the Public Health Service Act);
(2) $45,000,000 for fiscal year 2007, and such sums as may
be necessary for each of fiscal years 2008 through 2011, to
carry out the amendments made by section 103(a) (relating to
centers of excellence in section 736 of the Public Health
Service Act);
(3) such sums as may be necessary for each of fiscal years
2007 through 2011, to carry out the amendments made by
section 103(b) (adding section 742 to the Public Health
Service Act);
(4) such sums as may be necessary for each of fiscal years
2007 through 2011, to carry out the amendments made by
section 104(b) (adding section 770 to the Public Health
Service Act); and
(5) such sums as may be necessary for each of fiscal years
2007 through 2011, to carry out the amendment made by section
105 (adding section 743 to the Public Health Service Act).
(b) Reauthorizations.--The following programs are
reauthorized as follows:
(1) Educational assistance in the health professions
regarding individuals from disadvantaged background.--Section
740(c) of the Public Health Service Act (42 U.S.C. 293a(c))
is amended by striking the first sentence and inserting the
following: ``For the purpose of grants and contracts under
section 739(a)(1), there is authorized to be appropriated
$60,000,000 for fiscal year 2007 and such sums as may be
necessary for each of fiscal years 2008 through 2011.''.
(2) Scholarships for disadvantaged students.--Section
740(a) of the Public Health Service Act (42 U.S.C. 293a(a))
is amended by striking ``$37,000,000'' and all that follows
through ``through 2002'' and inserting ``$51,000,000 for
fiscal year 2007, and such sums as may be necessary for each
of fiscal years 2008 through 2011''.
(3) Loan repayments and fellowships.--Section 740(b) of the
Public Health Service Act (42 U.S.C. 293a(b)) is amended by
striking ``$1,100,000'' and all that follows through
``through 2002'' and inserting ``$1,700,000 for fiscal year
2007, and such sums as may be necessary for each of fiscal
years 2008 through 2011''.
(4) Grants for health professions education.--Section 741
of the Public Health Service Act (42 U.S.C. 293e) is amended
in
[[Page S10701]]
subsection (b), by striking ``$3,500,000'' and all that
follows through the period and inserting ``such sums as may
be necessary for each of fiscal years 2007 through 2011.''.
TITLE II--CARE AND ACCESS
SEC. 201. CARE AND ACCESS.
Part P of title III of the Public Health Service Act (42
U.S.C. 280g et seq.) is amended by--
(1) redesignating the second section 339O (as added by
section 504 of the Violence Against Women and Department of
Justice Reauthorization Act of 2005) as section 399P; and
(2) adding at the end the following:
``SEC. 399Q. ACCESS, AWARENESS, AND OUTREACH ACTIVITIES.
``(a) Demonstration Projects.--The Secretary shall award
multiyear contracts or competitive grants to eligible
entities to support demonstration projects designed to
improve the health and healthcare of racial and ethnic
minority and other health disparity populations through
improved access to healthcare, patient navigators, and health
literacy education and services.
``(b) Eligibility.--In this section:
``(1) Eligible entity.--The term `eligible entity' means an
organization or a community-based consortium.
``(2) Organization.--The term `organization' means--
``(A) a hospital, health plan, or clinic;
``(B) an academic institution;
``(C) a State health agency;
``(D) an Indian Health Service hospital or clinic, Indian
tribal health facility, or urban Indian facility;
``(E) a nonprofit organization, including a faith-based
organization or consortium, to the extent that a contract or
grant awarded to such an entity is consistent with the
requirements of section 1955;
``(F) a primary care practice-based research network; and
``(G) any other similar entity determined to be appropriate
by the Secretary.
``(3) Community-based consortium.--The term `community-
based consortium' means a partnership that--
``(A) includes--
``(i) individuals who are representatives of organizations
of racial and ethnic minority and other health disparity
populations;
``(ii) community leaders and leaders of community-based
organizations;
``(iii) healthcare providers, including providers who treat
racial and ethnic minority and other health disparity
populations; and
``(iv) experts in the area of social and behavioral
science, who have knowledge, training, or practical
experience in health policy, advocacy, cultural or linguistic
competency, or other relevant areas as determined by the
Secretary; and
``(B) is located within a federally- or State-designated
medically underserved area, a federally designated health
provider shortage area, or an area with a significant
population of racial and ethnic minorities.
``(c) Application.--An eligible entity seeking a contract
or grant under this section shall submit an application to
the Secretary at such time, in such manner, and containing
such information as the Secretary may require, including
assurances that the eligible entity will--
``(1) target populations that are members of racial and
ethnic minority groups and health disparity populations
through specific outreach activities;
``(2) collaborate with appropriate community organizations
and include meaningful community participation in planning,
implementation, and evaluation of activities;
``(3) demonstrate capacity to promote culturally competent
and appropriate care for target populations with
consideration for health literacy;
``(4) develop a plan for long-term sustainability;
``(5) evaluate the effectiveness of activities under this
section, within an appropriate timeframe, which shall include
a focus on quality and outcomes performance measures to
ensure that the activities are meeting the intended goals,
and that the entity is able to disseminate findings from such
evaluations;
``(6) provide ongoing outreach and education to the health
disparity populations served;
``(7) demonstrate coordination between public and private
entities; and
``(8) assist individuals and groups in accessing public and
private programs that will help eliminate disparities in
health and healthcare.
``(d) Priorities.--In awarding contracts and grants under
this section, the Secretary shall give priority to applicants
that are--
``(1) safety-net hospitals, defined as hospitals with a low
income utilization rate (as defined in Section 1923(b)(3) of
the Social Security Act (42 U.S.C 1396r-4(b)(3))) greater
than 25 percent;
``(2) community health centers, as defined in section
1905(l)(2)(B) of the Social Security Act (42 U.S.C.
1396d(l)(2)(B)); and
``(3) other health systems that--
``(A) by legal mandate or explicitly adopted mission,
provide patients with access to services regardless of their
ability to pay;
``(B) provide care or treatment for a substantial number of
patients who are uninsured, are receiving assistance under a
State program under title XIX of the Social Security Act, or
are members of vulnerable populations, as determined by the
Secretary;
``(C) serve a disproportionate percentage of patients from
racial and ethnic minority and other health disparity
populations;
``(D) provide an assurance that amounts received under the
grant or contract will be used to implement strategies that
address patients' linguistic needs, where necessary, and
recruit and maintain diverse staff and leadership; and
``(E) provide an assurance that amounts received under the
grant or contract will be used to support quality improvement
activities for patients from racial and ethnic minority and
other health disparity populations.
``(e) Use of Funds.--An eligible entity shall use such
amounts received under this section for demonstration
projects to--
``(1) address health disparities in the United States-
Mexico Border Area, as defined in section 8 of the United
States-Mexico Border Health Commission Act (22 U.S.C. 290n-
6), relating to health disparities in the areas of--
``(A) maternal and child health;
``(B) primary care and preventive health, including health
education and promotion;
``(C) public health and public infrastructure;
``(D) oral health;
``(E) behavioral and mental health and substance abuse;
``(F) health conditions that have a disproportionate impact
on racial and ethnic minorities and a high prevalence in the
Border Area;
``(G) health services research;
``(H) the health impacts of exposure to environmental
hazards;
``(I) workforce training and development; or
``(J) other areas determined appropriate by the Secretary;
``(2) implement the best practices in disease management,
including those that address co-occurring chronic conditions,
as defined by the public- private partnership established
under section 918(b), target patients with low functional
health literacy, and, as feasible, incorporate health
information technology;
``(3) evaluate methods for strengthening the health
coverage of, and continuity of coverage of, migratory
agricultural workers and seasonal agricultural workers, as
such terms are defined in section 330(g), and workers in
other industries with traditionally low rates of employer-
sponsored health insurance;
``(4) train community health workers to educate, guide, and
provide outreach in a community setting regarding problems
prevalent among medically underserved populations (as defined
in section 330(b)); or
``(5) identify, educate, and enroll eligible patients from
racial and ethnic minorities and other health disparity
populations into clinical trials.
``(f) Report.--Not later than 3 years after the date an
entity receives a contract or grant under this section and
annually thereafter, the entity shall provide to the
Secretary a report containing the results of any evaluation
conducted pursuant to subsection (c)(5).
``(g) Dissemination of Findings.--The Secretary shall, as
appropriate, disseminate to public and private entities,
including Congress, the findings made in evaluations
described under subsection (f).
``SEC. 399R. GRANTS FOR RACIAL AND ETHNIC APPROACHES TO
COMMUNITY HEALTH.
``(a) Purpose.--It is the purpose of this section to
provide for the awarding of grants to assist communities in
mobilizing and organizing resources in support of effective
and sustainable programs that will reduce or eliminate
disparities in health and healthcare experienced by racial
and ethnic minority individuals.
``(b) Authority to Award Grants.--The Secretary, acting
through the Centers for Disease Control and Prevention and
the Office of Minority Health and Health Disparity
Elimination, shall award planning, implementation, and
evaluation grants to eligible entities to assist in
designing, implementing, and evaluating culturally and
linguistically appropriate, science-based and community-
driven sustainable strategies to eliminate racial and ethnic
health and healthcare disparities.
``(c) Eligible Entities.--To be eligible to receive a grant
under this section, an entity shall--
``(1) represent a coalition--
``(A) whose principal purpose is to develop and implement
interventions to reduce or eliminate a health or healthcare
disparity in a targeted racial or ethnic minority group in
the community served by the coalition; and
``(B) that includes--
``(i) at least 3 members selected from among--
``(I) public health departments;
``(II) community-based organizations;
``(III) university and research organizations;
``(IV) American Indian tribal organizations, national
American Indian organizations, Indian Health Service, or
organizations serving Alaska Natives;
``(V) organizations serving Native Hawaiians;
``(VI) organizations serving Pacific Islanders; and
``(VII) interested public or private healthcare providers
or organizations as deemed appropriate by the Secretary; and
``(ii) at least 1 member from a community-based
organization that represents the targeted racial or ethnic
minority group; and
[[Page S10702]]
``(2) submit to the Secretary an application at such time,
in such manner, and containing such information as the
Secretary may require, which shall include--
``(A) a description of the targeted racial or ethnic
population in the community to be served under the grant;
``(B) a description of at least 1 health disparity that
exists in the racial or ethnic targeted population, including
infant mortality, breast and cervical cancer screening and
management, cardiovascular disease, diabetes, child and adult
immunization levels, or HIV/AIDS; and
``(C) a demonstration of a proven record of accomplishment
of the coalition members in serving and working with the
targeted community.
``(d) Planning Grants.--
``(1) In general.--The Secretary shall award one-time
grants to eligible entities described in subsection (c) to
support the planning and development of culturally and
linguistically appropriate programs that utilize science-
based and community-driven strategies to reduce or eliminate
a health or healthcare disparity in the targeted population.
Such grants may be used to--
``(A) expand the coalition that is represented by the
eligible entity through the identification of additional
partners, particularly among the targeted community, and
establish linkages with national, State, tribal, or local
public and private partners which may include community
health workers, advocacy, and policy organizations;
``(B) establish community working groups;
``(C) conduct a needs assessment of the community and
targeted population to determine a health disparity and the
factors contributing to that disparity, using input from the
targeted community;
``(D) participate in workshops sponsored by the Office of
Minority Health and Health Disparity Elimination or the
Centers for Disease Control and Prevention for technical
assistance, planning, evaluation, and other programmatic
issues;
``(E) identify promising intervention strategies; and
``(F) develop a plan with the input of the targeted
community that includes strategies for--
``(i) implementing intervention strategies that have the
greatest potential for reducing the health disparity in the
target population;
``(ii) identifying other sources of revenue and integrating
current and proposed funding sources to ensure long-term
sustainability of the program; and
``(iii) evaluating the program, including collecting data
and measuring progress toward reducing or eliminating the
health disparity in the targeted population that takes into
account the evaluation model developed by the Centers for
Disease Control and Prevention in collaboration with the
Office of Minority Health and Health Disparity Elimination.
``(2) Duration.--The period during which payments may be
made under a grant under paragraph (1) shall not exceed 1
year, except where the Secretary determines that
extraordinary circumstances exist as described in section
340(c)(3).
``(e) Implementation Grants.--
``(1) In general.--The Secretary shall award grants to
eligible entities that have received a planning grant under
subsection (d) to enable such entity to--
``(A) implement a plan to address the selected health
disparity for the target population, in an effective and
timely manner;
``(B) collect data appropriate for monitoring and
evaluating the program carried out under the grant;
``(C) analyze and interpret data, or collaborate with
academic or other appropriate institutions, for such analysis
and collection;
``(D) participate in conferences and workshops for the
purpose of informing and educating others regarding the
experiences and lessons learned from the project;
``(E) collaborate with appropriate partners to publish the
results of the project for the benefit of the public health
community;
``(F) establish mechanisms with other public or private
groups to maintain financial support for the program after
the grant terminates; and
``(G) maintain relationships with local partners and
continue to develop new relationships with national and State
partners.
``(2) Duration.--The period during which payments may be
made under a grant under paragraph (1) shall not exceed 4
years. Such payments shall be subject to annual approval by
the Secretary and to the availability of appropriations for
the fiscal year involved.
``(f) Evaluation Grants.--
``(1) In general.--The Secretary may award grants to
eligible entities that have received an implementation grant
under subsection (e) that require additional assistance for
the purpose of rigorous data analysis, program evaluation
(including process and outcome measures), or dissemination of
findings.
``(2) Priority.--In awarding grants under this subsection,
the Secretary shall give priority to--
``(A) entities that in previous funding cycles--
``(i) have received a planning grant under subsection (d);
or
``(ii) implemented activities of the type described in
subsection (e)(1); and
``(B) entities that incorporate best practices or build on
successful models in their action plan, including the use of
community health workers.
``(g) Sustainability.--The Secretary shall give priority to
an eligible entity under this section if the entity agrees
that, with respect to the costs to be incurred by the entity
in carrying out the activities for which the grant was
awarded, the entity (and each of the participating partners
in the coalition represented by the entity) will maintain its
expenditures of non-Federal funds for such activities at a
level that is not less than the level of such expenditures
during the fiscal year immediately preceding the first fiscal
year for which the grant is awarded.
``(h) Nonduplication.--Funds provided through this grant
program should supplement, not supplant, existing Federal
funding, and the funds should not be used to duplicate the
activities of the other health disparity grant programs in
this Act.
``(i) Technical Assistance.--The Secretary may, either
directly or by grant or contract, provide any entity that
receives a grant under this section with technical and other
nonfinancial assistance necessary to meet the requirements of
this section.
``(j) Dissemination.--The Secretary shall enable grantees
to share best practices, evaluation results, and reports
using the Internet, conferences, and other pertinent
information regarding the projects funded by this section,
including the outreach efforts of the Office of Minority
Health and Health Disparity Elimination.
``(k) Administrative Burdens.--The Secretary shall make
every effort to minimize duplicative or unnecessary
administrative burdens on grantees.
``SEC. 399S. GRANTS FOR HEALTH DISPARITY COLLABORATIVES.
``(a) Purpose.--The Secretary, acting through the
Administrator of the Health Resources and Services
Administration, shall award grants to eligible entities to
assist in implementing systems of primary care practices
through which to eliminate disparities in the delivery of
healthcare and improve the healthcare provided to all
patients.
``(b) Eligible Entities.--To be eligible to receive a grant
under this section, an entity shall--
``(1) be a federally qualified health center as defined in
section 1905(l)(2)(B) of the Social Security Act with the
ability to establish and lead a collaborative partnership;
and
``(2) submit to the Secretary an application, at such time,
in such manner, and containing such information as the
Secretary may require, which shall include plans to implement
collaboratives in one or more of the following areas:
``(A) Diabetes.
``(B) Asthma.
``(C) Depression.
``(D) Cardiovascular disease.
``(E) Cancer.
``(F) Preventive health, including screenings.
``(G) Perinatal health.
``(H) Patient safety.
``(I) Other areas as designated by the Secretary.
``(c) Nonduplication.--Funds provided through this grant
program should supplement, not supplant, existing Federal
funding, and the funds should not be used to duplicate the
activities of the other health disparity grant programs in
this Act.
``(d) Technical Assistance.--The Secretary may, either
directly or by grant or contract, provide any entity that
receives a grant under this section with technical and other
nonfinancial assistance necessary to meet the requirements of
this section.
``(e) Administrative Burdens.--The Secretary shall make
every effort to minimize duplicative or unnecessary
administrative burdens on grantees.
``SEC. 399T. COMMUNITY HEALTH INITIATIVES.
``(a) Purpose.--The Secretary shall establish the Community
Health Initiative demonstration program to support
comprehensive State, tribal, or local initiatives to improve
the health of racial and ethnic minority and other health
disparity populations.
``(b) Community Health Initiative Program.--
``(1) In general.--The Secretary shall award Community
Health Initiative Program grants to State and local public
health agencies of eligible communities. Each grant shall be
funded for 5 years.
``(2) Eligible communities.--
``(A) Identification.--The Secretary shall develop, after
opportunity for public review and comment, and implement a
metric for identifying and notifying eligible communities
pursuant to subparagraph (B), and report such findings to
Congress and the public.
``(B) Eligibility.--Eligible communities shall be
communities that are most at risk, or at greatest
disproportionate risk, for adverse health outcomes, as
measured by--
``(i) overall burden of disease and health conditions;
``(ii) accessibility to and availability of health and
economic resources;
``(iii) proportion of individuals from racial and ethnic
minority and other health disparity populations; and
``(iv) other factors as determined appropriate by the
Secretary.
``(3) Agency collaboration.--The Secretary, in
collaboration with the Deputy Assistant Secretary for
Minority Health and Health Disparity Elimination, the
Director of the Centers for Disease Control and Prevention,
the Administrator of the Health Resources and Services
Administration, the Director of the Indian Health Service,
and
[[Page S10703]]
heads of other Federal agencies as appropriate, shall
determine, with respect to the Community Health Initiative
Program--
``(A) core goals, objectives and reasonable timelines for
implementing, evaluating and sustaining comprehensive and
effective health and healthcare improvement activities in
eligible communities;
``(B) current programmatic and research initiatives in
which eligible communities may participate;
``(C) existing agency resources that can be targeted to
eligible communities; and
``(D) mechanisms to facilitate joint application, or
establish a common application, to multiple grant programs,
as appropriate.
``(4) Applications.--
``(A) In general.--The State and local public health
agencies of eligible communities shall jointly submit an
application to the Secretary at such time, in such manner,
and accompanied by such information as the Secretary may
require, including a strategic plan that shall--
``(i) describe the proposed activities pursuant to
paragraph (5);
``(ii) report the extent to which local institutions and
organizations and community residents have participated in
the strategic plan development;
``(iii) identify established public-private partnerships,
and State, local, and private resources that will be
available;
``(iv) identify Federal funding needed to support the
proposed activities; and
``(v) report the baselines, methods, and benchmarks for
measuring the success of activities proposed in the strategic
plan.
``(B) Community advisory board.--
``(i) In general.--In order to receive a Community Health
Initiative Program grant under this section, an eligible
community shall have a community advisory board.
``(ii) Members.--
``(I) Community.--The majority of the members of a
community advisory board under clause (i) shall be
individuals that will benefit from the activities or services
provided by the grants under this section.
``(II) Representatives.--A community advisory board shall
include representatives from the State health department and
county or local health department, community-based
organizations, environmental and public health experts,
healthcare professionals and providers, nonprofit leaders,
community organizers, elected officials, private payers,
employers, and consumers.
``(iii) Duties.--A community advisory board shall--
``(I) oversee the functions and operations of Community
Health Initiative Program grant activities;
``(II) assist in the evaluation of such activities; and
``(III) prepare an annual report that describes the
progress made towards achieving stated goals and recommends
future courses of action.
``(5) Use of funds.--An eligible community that receives a
grant under this section shall use the funding to support
activities to achieve stated core goals and objectives,
pursuant to paragraph (3), which may include initiatives
that--
``(A) promote disease prevention and health promotion,
particularly for racial and ethnic minority and other health
disparity populations;
``(B) facilitate partnerships between healthcare providers,
public and health agencies, academic institutions, community
based or advocacy organizations, elected officials,
professional societies, and other stakeholder groups;
``(C) enhance the local capacity for aggregated and
disaggregated health data collection and reporting;
``(D) coordinate and integrate community-based activities
including education, city planning, transportation
initiatives, environmental changes, and other related
activities at the local level that help improve public health
and address health concerns;
``(E) mobilize financial and other resources from the
public and private sector to increase local capacity to
address health issues;
``(F) support the training of staff in communication and
outreach to the general public, particularly those at
disproportionate risk for health and healthcare disparities;
``(G) assist eligible communities in meeting Healthy People
2010 objectives; and
``(H) aid eligible communities in providing employment, and
cultural and recreational resources that enable healthy
lifestyles.
``(6) Evaluation.--The Secretary, directly or through
contract, shall conduct and report an evaluation of the
Community Health Initiative Program that shall be available
to the public.
``(7) Supplement not supplant.--Grant funds received under
this section shall be used to supplement, and not supplant,
funding that would otherwise be used for activities described
under this section.
``SEC. 399U. OUTREACH.
``(a) In General.--The Secretary, in collaboration with the
Office for Minority Health and Health Disparity Elimination,
the Centers for Medicare and Medicaid Services, and the
Health Resources and Services Administration, shall establish
a grant program to improve outreach, participation, and
enrollment by eligible entities with respect to available
healthcare programs.
``(b) Eligibility.--In this section, the term `eligible
entity' means any of the following:
``(1) A State or local government.
``(2) A Federal health safety net organization.
``(3) A national, local, or community-based public or
nonprofit private organization.
``(4) A faith-based organization or consortia, to the
extent that a grant awarded to such an entity is consistent
with the requirements of section 1955 relating to a grant
award to nongovernmental entities.
``(5) An elementary or secondary school.
``(c) Definition.--In this section:
``(1) Federal health safety net organization.--The term
`Federal health safety net organization' means--
``(A) an Indian tribe, tribal organization, or an urban
Indian organization receiving funds under title V of the
Indian Health Care Improvement Act (25 U.S.C. 1651 et seq.),
or an Indian Health Service provider;
``(B) a Federally-qualified health center (as defined in
section 330);
``(C) a hospital defined as a disproportionate share
hospital;
``(D) a covered entity described in section 340B(a)(4); and
``(E) any other entity or a consortium that serves children
under a federally funded program, including the special
supplemental nutrition program for women, infants, and
children (WIC) established under section 17 of the Child
Nutrition Act of 1966 (42 U.S.C. 1786), the head start and
early head start programs under the Head Start Act (42 U.S.C.
9831 et seq.), the school lunch program established under the
Richard B. Russell National School Lunch Act (42 U.S.C. 1751
et seq.), and an elementary or secondary school.
``(2) Indians; indian tribe; tribal organization; urban
indian organization.--The terms `Indian', `Indian tribe',
`tribal organization', and `urban Indian organization' have
the meanings given such terms in section 4 of the Indian
Health Care Improvement Act (25 U.S.C. 1603).
``(d) Priority for Award of Grants.--
``(1) In general.--In making grants under subsection (a),
the Secretary shall give priority to--
``(A) eligible entities that propose to target geographic
areas with high rates of--
``(i) eligible but unenrolled children, including such
children who reside in rural areas; or
``(ii) racial and ethnic minorities and health disparity
populations, including those proposals that address cultural
and linguistic barriers to enrollment; and
``(B) eligible entities that plan to engage in outreach
efforts with respect to individuals described in subparagraph
(A) and that are--
``(i) Federal health safety net organizations; or
``(ii) faith-based organizations or consortia.
``(2) Ten percent set aside for outreach to indian
children.--An amount equal to 10 percent of the funds
appropriated under section 202(3) of the Minority Health
Improvement and Health Disparity Elimination Act to carry out
this section for a fiscal year shall be used by the Secretary
to award grants to Indian Health Service providers and urban
Indian organizations receiving funds under title V of the
Indian Health Care Improvement Act (25 U.S.C. 1651 et seq.)
for outreach to, and enrollment of, children who are
Indians.''.
SEC. 202. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated--
(1) such sums as may be necessary for each of fiscal years
2007 through 2011, to carry out section 399Q of the Public
Health Service Act (as added by section 201);
(2) $52,000,000 for fiscal year 2007, and such sums as may
be necessary for each of fiscal years 2008 through 2011, to
carry out section 399R of the Public Health Service Act (as
added by section 201); and
(3) such sums as necessary for each of fiscal years 2007
through 2011, to carry out sections 399S, 399T, and 399U of
the Public Health Service Act (as added by section 201).
TITLE III--RESEARCH
SEC. 301. AGENCY FOR HEALTHCARE RESEARCH AND QUALITY.
Part B of title IX of the Public Health Service Act (42
U.S.C. 299b et seq.) is amended by adding at the end the
following:
``SEC. 918. ENHANCED RESEARCH WITH RESPECT TO HEALTHCARE
DISPARITIES.
``(a) Accelerating the Elimination of Disparities.--
``(1) Strategic plan.--The Secretary, acting through the
Director, and in collaboration with the Deputy Assistant
Secretary for Minority Health and Health Disparity
Elimination, shall develop a strategic plan regarding
research supported by the agency to improve healthcare and
eliminate healthcare disparities among racial and ethnic
minority and other health disparity populations. In
developing such plan, the Secretary shall--
``(A) determine which areas of research focus would have
the greatest impact on healthcare improvement and elimination
of disparities, taking into consideration the overall health
status of various populations, disproportionate burden of
diseases or health conditions, and types of interventions for
which data on effectiveness is limited;
``(B) establish measurable goals and objectives which will
allow assessment of progress;
``(C) solicit public review and comment from experts in
healthcare, minority health and health disparities, health
services research, and other areas as determined appropriate
by the Secretary;
``(D) incorporate recommendations from the Institute of
Medicine, pursuant to section 303 of the Minority Health
Improvement and Health Disparity Elimination Act, as
appropriate;
[[Page S10704]]
``(E) complete such plan within 12 months of enactment of
the Minority Health Improvement and Health Disparity
Elimination Act, and update such plan and report on progress
meeting established goals and objectives not less than every
2 years;
``(F) include progress meeting plan goals and objectives in
annual performance budget submissions;
``(G) ensure coordination and integration with the National
Plan to Improve Minority Health and Eliminate Health
Disparities, as described in section 1707(c) and other
Department-wide initiatives, as feasible; and
``(H) report the plan to the Congress and make available to
the public in print and electronic format.
``(2) Establishment of grants.--The Secretary, acting
through the Director, and in collaboration with the Deputy
Assistant Secretary for Minority Health and Health Disparity
Elimination, may award grants or contracts to eligible
entities for research to improve the health of racial and
ethnic minority and other health disparity populations (as
defined in section 903(d)).
``(3) Application; eligible entities.--
``(A) Application.--To receive a grant or contract under
this section, an eligible entity shall submit to the
Secretary an application at such time, in such manner, and
containing such information as the Secretary may require.
``(B) Eligible entities.--To be eligible to receive a grant
or contract under this section, an entity shall be a health
center, hospital, health plan, health system, community
clinic, or other health entity determined appropriate by the
Secretary, that--
``(i) by legal mandate or explicitly adopted mission,
provides patients with access to services regardless of their
ability to pay;
``(ii) provides care or treatment for a substantial number
of patients who are uninsured, are receiving assistance under
a State program under title XIX of the Social Security Act,
or are members of vulnerable populations, as determined by
the Secretary;
``(iii) serves a disproportionate percentage of patients
from racial and ethnic minority and other health disparity
populations;
``(iv) provides an assurance that amounts received under
the grant or contract will be used to implement strategies
that address patients' linguistic needs, where necessary, and
recruit and maintain diverse staff and leadership; and
``(v) provides an assurance that amounts received under the
grant or contract will be used to support quality improvement
activities for patients from racial and ethnic minority and
other health disparity populations.
``(C) Preference.--Consortia of 3 or more eligible entities
shall be given a preference for grant or contract funding.
``(4) Research.--The research funded under paragraph (2),
with respect to racial and ethnic minority and other health
disparity populations, shall--
``(A) prioritize the translation of existing research into
practical interventions for improving health and healthcare
and reducing disparities;
``(B) target areas of need as identified in the strategic
plan pursuant to subsection (a)(1), the National Healthcare
Disparities Report published by the Agency for Healthcare
Research and Quality, relevant reports by the Institute of
Medicine, and other reports issued by Federal health
agencies;
``(C) include a focus on community-based solutions and
partnerships as appropriate;
``(D) expand practice-based research networks (primary care
and larger delivery systems) to include networks of delivery
sites serving large numbers of minority and health disparity
populations including--
``(i) public hospitals and private non-profit hospitals;
``(ii) health centers;
``(iii) health plans; and
``(iv) other sites as determined appropriate by the
Director.
``(5) Dissemination of research findings.--To ensure that
findings from the research described in paragraph (4) are
disseminated and applied promptly, the Director shall--
``(A) develop outreach and training programs for healthcare
providers with respect to the practical and effective
interventions that result from research programs carried out
with grants or contracts awarded under this section; and
``(B) provide technical assistance for the implementation
of evidence-based practices that will improve health and
healthcare and reduce disparities.
``(b) Realizing the Potential of Disease Management.--
``(1) Public-private sector partnership to assess
effectiveness of existing disease management strategies.--
``(A) In general.--The Secretary shall establish a public-
private partnership to identify, evaluate, and disseminate
effective disease management strategies, tailored to improve
healthcare and health outcomes for patients from racial and
ethnic minority and other health disparity populations. Such
strategies shall reflect established healthcare quality
standards and benchmarks and other evidence-based
recommendations.
``(B) Partnership composition.--The partnership's members
shall include the following:
``(i) Representatives from the following:
``(I) The Office of Minority Health and Health Disparity
Elimination.
``(II) The Centers for Disease Control and Prevention.
``(III) The Agency for Healthcare Research and Quality.
``(IV) The Centers for Medicare and Medicaid Services.
``(V) The Health Resources and Services Administration.
``(VI) The Indian Health Service.
``(VII) Other agencies as designated by the Secretary.
``(ii) Representatives of health plans, employers, or other
private entities that have implemented disease management
programs.
``(iii) Representatives of hospitals, community health
centers, large, small, or solo provider groups, or other
organizations that provide healthcare and have implemented
disease management programs.
``(iv) Community-based representatives who have been
involved with establishing, implementing, or evaluating
disease management programs.
``(v) Other individuals as designated by the Secretary.
``(C) Partnership duties.--
``(i) In general.--Not later than 18 months after the date
of enactment of the Minority Health Improvement and Health
Disparity Elimination Act, the partnership shall release a
best practices report, with a particular focus on the
following:
``(I) Self-management training.
``(II) Increasing patient participation in and satisfaction
with healthcare encounters.
``(III) Helping patients use quality performance and cost
information to choose appropriate healthcare providers for
their care.
``(IV) Interventions outside of a traditional healthcare
environment, including the workplace, school, community, or
home.
``(V) Interventions utilizing community health workers and
case managers.
``(VI) Interventions that implement integrated disease
management and treatment strategies to address multiple
chronic co-occurring conditions.
``(VII) Other interventions as identified by the Secretary.
``(2) Report.--
``(A) In general.--Not later than September 30, 2010, the
partnership shall submit to the Secretary and the relevant
committees of Congress a report that describes the extent to
which the activities and research funded under this section
have been successful in reducing and eliminating disparities
in health and healthcare in targeted populations.
``(B) Availability.--The Secretary shall ensure that the
report is made available on the Internet websites of the
Office of Minority Health and Health Disparity Elimination,
the Agency for Healthcare Research and Quality, and other
agencies as appropriate.''.
SEC. 302. GENETIC VARIATION AND HEALTH.
(a) In General.--The Secretary shall ensure that any
current, proposed, or future research and programmatic
activities regarding genomics include focus on genetic
variation within and between populations, with a focus on
racial and ethnic minority populations, that may affect risk
of disease or response to drug therapy and other treatments,
in order to ensure that all populations are able to derive
full benefit from genomic tests and treatments that may
improve their health and healthcare. The Secretary shall
encourage, with respect to racial and ethnic minority
populations, efforts to--
(1) increase access, availability, and utilization of
genomic tests and treatments;
(2) determine and monitor appropriateness of use of genomic
tests and treatments;
(3) increase awareness of the importance of knowing one's
family history and the relationships between genes, the
social and physical environment, and health; and
(4) expand genomics research that would help to--
(A) improve tests to facilitate earlier and more accurate
diagnoses;
(B) enhance the safety of drugs, particularly for drugs
that pose an elevated risk for adverse drug events in such
populations;
(C) increase the effectiveness of drugs, particularly for
diseases and conditions that disproportionately affect such
populations; and
(D) augment the current understanding of the interactions
between genomic, social and physical environmental factors
and their influence on the causality, prevention, and
treatment of diseases common in such populations.
(b) Genetic Variation, Environment, and Health Summit.--
(1) Summit.--Not later than 1 year after the date of
enactment of this Act, the Director of the National Human
Genome Research Institute, in collaboration with the Director
of the Office of Genomics and Disease Prevention at the
Centers for Disease Control and Prevention, the Director of
the Office of Behavioral and Social Science Research at the
National Institutes of Health, and the Deputy Assistant
Secretary of the Office of Minority Health and Health
Disparity Elimination, shall convene a Summit for the purpose
of providing leadership and guidance to Secretary, Congress,
and other public and private entities on current and future
areas of focus for genomics research, including
translation of findings from such research, relating to
improving the health of racial and ethnic minority
populations and reducing health disparities.
(2) Participation.--The Summit shall include--
[[Page S10705]]
(A) representatives from the Federal health agencies,
including the National Institutes of Health, the Centers for
Disease Control and Prevention, the Food and Drug
Administration, the Health Resources and Services
Administration, and additional agencies and departments as
determined appropriate by the Secretary;
(B) independent experts and stakeholders from relevant
industry and academic institutions, particularly those that
have demonstrated expertise in both genomics and minority
health and serve a disproportionate number of racial and
ethnic minority patients; and
(C) leaders of community organizations that work to reduce
and eliminate health disparities.
(3) Report.--Not later than 90 days after the conclusion of
the Summit, the Director of the National Human Genome
Research Institute shall submit to Congress and make
available to the public a report detailing recommendations
on--
(A) an appropriate description of human diversity,
incorporating available information on genetics, for use in
genomic research and programs operated or supported by the
Federal Government;
(B) guiding ethics, principles, and protocols for the
inclusion and designation of racial and ethnic minority
populations in genomics research, particularly clinical
trials programs operated or supported by the Federal
Government;
(C) ways to increase access to and utilization of effective
pharmacogenomic and other genetic screening and services for
racial and ethnic minority populations;
(D) research opportunities and funding support in the area
of genomic variation that may improve the health and
healthcare of minority populations;
(E) ways to enhance integration of Federal Government-wide
efforts and activities pertaining to race, genomics, and
health; and
(F) need for additional privacy protections in preventing
stigmatization and inappropriate use of genetic information.
(c) Pharmacogenomics and Emerging Issues Advisory
Committee.--
(1) In general.--The Secretary, under section 222 of the
Public Health Service Act (42 U.S.C. 217a), shall convene and
consult an advisory committee on issues relating to
pharmacogenomics (referred to in this subsection as the
``Advisory Committee'').
(2) Duties.--
(A) In general.--The Advisory Committee shall advise and
make recommendations to the Secretary, through the
Commissioner of Food and Drugs and in consultation with the
Director of the National Institutes of Health, on the
evolving science of pharmacogenomics and interindividual
variability in drug response, as it relates to the health of
racial and ethnic minorities.
(B) Matters considered.--The recommendations under
subparagraph (A) shall include recommendations on--
(i) the ethics, design, and analysis of clinical trials
involving racial and ethnic minorities conducted under
section 351, 409I, or 499 of the Public Health Service Act or
section 505(i), 505A, 505B, or 515(g) of the Federal Food,
Drug, and Cosmetic Act;
(ii) general policy and guidance with respect to the
development, approval or clearance, and labeling of medical
products for racial and ethnic minorities;
(iii) the role of pharmacogenomics during the development
of drugs, biological products, and diagnostics;
(iv) the understanding of interindividual variability in
drug response;
(v) diagnostics or treatments for diseases or conditions
common in racial and ethnic minorities; and
(vi) the identification of other areas of unmet medical
need.
(3) Composition.--The Advisory Committee shall include--
(A) experts in the fields of--
(i) minority health and health disparities;
(ii) genomics;
(iii) pharmaceutical and diagnostic research and
development;
(iv) ethical, legal, and social issues relating to clinical
trials; and
(v) bioinformatics and information technology;
(B) representatives from minority health organizations and
relevant patient organizations; and
(C) other experts as deemed appropriate by the Secretary.
(4) Coordination with other advisory committees.--The
Advisory Committee may consult and coordinate with other
advisory committees of the Department of Health and Human
Services as determined appropriate by the Secretary.
(5) Recommendations.--The Advisory Committee shall submit
recommendations to the Secretary with respect to each of the
matters described under paragraph (2)(B) prior to the
development by the Secretary of the report described under
paragraph (6).
(6) Report.--Not later than 180 days after the date of
enactment of this Act, the Secretary--
(A) shall, acting through the Commissioner of Food and
Drugs and in consultation with the Director of the National
Institutes of Health, and taking into consideration the
recommendations of the Advisory Committee submitted under
paragraph (5), submit to the Committee on Health, Education,
Labor, and Pensions of the Senate and the Committee on Energy
and Commerce of the House of Representatives, a report on the
evolving science of pharmacogenomics as it relates to racial
and ethnic minorities, including a review of the guidance of
the Food and Drug Administration on the participation of
racial and ethnic minorities in clinical trials; and
(B) shall ensure that such report is made publicly
available.
SEC. 303. EVALUATIONS BY THE INSTITUTE OF MEDICINE.
(a) Health Disparities Summit.--
(1) In general.--Not later than 270 days after the date of
enactment of this Act, the Institute of Medicine shall
convene a summit on health disparities (referred to this
section as the ``Summit'').
(2) Purpose.--The purposes of the Summit include--
(A) reviewing current activities of the Federal Government
in addressing health and healthcare disparities as
experienced by racial and ethnic minority populations, and
other health disparity populations as practicable; and
(B) assessing progress made since the 2002 Institute of
Medicine National Healthcare Disparities Report.
(3) Areas of focus.--The Summit shall examine the
activities of the Federal Government to reduce and eliminate
health disparities, with a focus on--
(A) education and training, including health professions
programs that increase minority representation in medicine
and the health professions;
(B) data collection and analysis;
(C) coordination among agencies and departments in
addressing healthcare disparities;
(D) research into the causes of and strategies to eliminate
health disparities; and
(E) programs that increase access to care and improve
health outcomes for health disparity populations.
(4) Participation.--Summit participants shall include--
(A) representatives of the Federal Government;
(B) experts with research experience in identifying and
addressing healthcare disparities among racial and ethnic
minority and other health disparity populations; and
(C) representatives from community-based organizations and
nonprofit groups that address the issues of racial and ethnic
minority and other health disparity populations.
(5) Summit proceedings.--Not later than 180 days after the
conclusion of the Summit, the Secretary shall offer to enter
into a contract with the Institute of Medicine to publish a
report summarizing the discussions of the Summit and review
of current Federal activities to address healthcare
disparities for racial and ethnic minority and other health
disparity populations.
(b) National Plan to Eliminate Disparities.--
(1) Plan.--Not later than 2 years after the date of
enactment of this Act, the Institute of Medicine shall
develop an evidence-based, strategic, national plan to
eliminate disparities which shall--
(A) include goals, interventions, and resources needed to
eliminate disparities;
(B) establish a reasonable timetable to reach selected
priorities;
(C) inform and complement the National Plan to Improve
Minority Health and Eliminate Health Disparities, pursuant to
section 1707(c)(2) of the Public Health Service Act (as added
by section 501 of this Act); and
(D) inform the development of criteria for evaluation of
the effectiveness of programs authorized under this Act (and
the amendments made by this Act), pursuant to subsection (c).
(2) Report.--The Secretary shall offer to enter into a
contract with the Institute of Medicine to publish the
National Plan to Eliminate Disparities.
(c) Institute of Medicine Evaluation.--
(1) In general.--Not later than 3 years after the date of
enactment of this Act, the Secretary shall offer to enter
into a contract with the Institute of Medicine to evaluate
the effectiveness of the programs authorized under this Act
(and the amendments made by this Act) in addressing and
reducing health disparities experienced by racial and ethnic
minority and other health disparity populations. In making
such an evaluation, the Institute of Medicine shall consult--
(A) representatives of the Federal Government;
(B) experts with research and policy experience in
identifying and addressing healthcare disparities among
racial and ethnic minority and other health disparity
populations; and
(C) representatives from community-based organizations and
nonprofit groups that address health disparity issues.
(2) Report.--Not later than 2 years after the Secretary
enters into the contract under paragraph (1), the Institute
of Medicine shall submit to the Secretary and relevant
committees of Congress a report that contains the results of
the evaluation described under such subparagraph, and any
recommendations of such Institute.
(3) Response.--Not later than 180 days after the date the
Institute of Medicine submits the report under this
subsection, the Secretary shall publish a response to such
recommendations, which shall be provided to the relevant
committees of Congress and made publicly available through
the Internet Clearinghouse under section 270 of the Public
Health Service Act (as added by section 101).
(d) Health Information Technology.--
(1) In general.--Not later than 180 days after the date of
enactment of this Act, the
[[Page S10706]]
Secretary, acting through the Director of the National
Library of Medicine, shall offer to enter into a contract
with the Institute of Medicine to study and make
recommendations regarding the use of health information
technology and bioinformatics to improve the health and
healthcare of racial and ethnic minority and other health
disparity populations.
(2) Study.--The study under paragraph (1), with respect to
increasing access and quality of healthcare for racial and
ethnic minority and other health disparity populations, shall
assess and make recommendations regarding--
(A) effective applications of health information
technology, including telemedicine and telepsychiatry;
(B) status of development of health information technology
standards that will permit healthcare information of the type
required to support patient care;
(C) inclusion of organizations with expertise in minority
health and health disparities in the development of health
information technology standards and applications;
(D) priority areas for research to improve the
dissemination, management, and use of biomedical knowledge
that address identified and unmet needs;
(E) educational and training needs and opportunities to
assist health professionals understand and apply health
information technology; and
(F) ways to increase recruitment and retention of racial
and ethnic minorities into the field of medical informatics.
(3) Report.--Not later than 2 years after the Secretary
enters into the contract under paragraph (1), the Institute
of Medicine shall submit to the Secretary and relevant
committees of Congress a report that contains the findings
and recommendations of this study.
SEC. 304. NATIONAL CENTER FOR MINORITY HEALTH AND HEALTH
DISPARITIES REAUTHORIZATION.
Section 485E of the Public Health Service Act (42 U.S.C.
287c-31) is amended--
(1) by striking subsection (e) and inserting the following:
``(e) Duties of the Director.--
``(1) Interagency coordination of minority health and
health disparities activities.--With respect to minority
health and health disparities, the Director of the Center
shall plan, coordinate, and evaluate research and other
activities conducted or supported by the agencies of the
National Institutes of Health. In carrying out the preceding
sentence, the Director of the Center shall evaluate the
minority health and health disparity activities of each of
such agencies and shall provide for the periodic reevaluation
of such activities.
``(2) Consultations.--The Director of the Center shall
carry out this subpart (including developing and revising the
plan and budget required in subsection (f)) in consultation
with the Directors of the agencies (or a designee of the
Directors) of the National Institutes of Health, with the
advisory councils of the agencies, and with the advisory
council established under section (j).
``(3) Coordination of activities.--The Director of the
Center shall act as the primary Federal official with
responsibility for coordinating all minority health
disparities research and other health disparities research
conducted or supported by the National Institutes of Health
and shall--
``(A) represent the health disparities research program of
the National Institutes of Health including the minority
health disparities research program at all relevant executive
branch task forces, committees, and planning activities;
``(B) maintain communications with all relevant Public
Health Service agencies, including the Indian Health Service
and various other departments of the Federal Government, to
ensure the timely transmission of information concerning
advances in minority health disparities research and other
health disparities research between these various agencies
for dissemination to affected communities and healthcare
providers; and
``(C) engage with community-based organizations and health
provider groups to--
``(i) increase education and awareness about the Center's
activities and areas of research focus; and
``(ii) accelerate the translation of research findings into
programs including those carried out by community-based
organizations.'';
(2) in subsection (f)--
(A) by striking the subsection heading and inserting the
following:
``(f) Comprehensive Plan for Research; Budget Estimate;
Allocation of Appropriations.--'';
(B) in paragraph (1)--
(i) by striking the matter preceding subparagraph (A) and
subparagraph (A) and inserting the following:
``(1) In general.--Subject to the provisions of this
section and other applicable law, the Director of the Center,
in consultation with the Director of NIH, the Directors of
the other agencies of the National Institutes of Health, and
the advisory council established under subsection (j) shall--
``(A) annually review and revise a comprehensive plan
(referred to in this section as `the Plan') and budget for
the conduct and support of all minority health and health
disparities research and other health disparities research
activities of the agencies of the National Institutes of
Health;'';
(ii) in subparagraph (D), by striking ``, with respect to
amounts appropriated for activities of the Center,'';
(iii) by striking subparagraph (F) and inserting the
following:
``(F) ensure that the Plan and budget are presented to and
considered by the Director during the formulation of the
overall annual budget for the National Institutes of
Health;'';
(iv) by redesignating subparagraphs (G) and (H) as
subparagraphs (I) and (J), respectively; and
(v) by inserting after subparagraph (F), the following:
``(G) annually submit to Congress a report on the progress
made with respect to the Plan;
``(H) creating and implementing a plan for the systematic
review of research activities supported by the National
Institutes of Health that are within the mission of both the
Center and other agencies of the National Institutes of
Health, by establishing mechanisms for--
``(i) tracking minority health and health disparity
research conducted within the agencies;
``(ii) the early identification of applications and
proposals for grants, contracts, and cooperative agreements
supporting extramural training, research, and development,
that are submitted to the agencies and that are within the
mission of the Center;
``(iii) providing the Center with the written descriptions
and scientific peer review results of such applications and
proposals;
``(iv) enabling the agencies to consult with the Director
of the Center prior to final approval of such applications
and proposals; and
``(v) reporting to the Director of the Center all such
applications and proposals that are approved for funding by
the agencies;''; and
(C) in paragraph (2)--
(i) in subparagraph (D), by striking ``and'' at the end;
(ii) in subparagraph (E), by striking the period and
inserting ``; and''; and
(iii) by adding at the end the following:
``(F) the number and type of personnel needs of the
Center.'';
(3) in subsection (h)--
(A) in paragraph (1), by striking ``endowments at centers
of excellence under section 736.'' and inserting the
following: ``endowments at--
``(A) centers of excellence under section 736; and
``(B) centers of excellence under section 485F.''; and
(B) in paragraph (2)(A), by striking ``average'' and
inserting ``median'';
(4) by redesignating subsections (k) and (l) as subsections
(m) and (n), respectively;
(5) by inserting after subsection (j), the following:
``(k) Representation of Minorities Among Researchers.--The
Secretary, in collaboration with the Director of the Center,
shall determine the extent to which racial and ethnic
minority and other health disparity populations are
represented among senior physicians and scientists of the
national research institutes and among physicians and
scientists conducting research with funds provided by such
institutes, and as appropriate, carry out activities to
increase the extent of such representation.
``(l) Cancer Research.--The Secretary, in collaboration
with the Director of the Center, shall designate and support
a cancer prevention, control, and population science center
to address the significantly elevated rate of morbidity and
mortality from cancer in racial and ethnic minority
populations. Such designated center shall be housed within an
existing, stand-alone cancer center at a historically black
college and university that has a demonstrable commitment to
and expertise in cancer research in the basic, clinical, and
population sciences.'';
(6) in subsection (l)(1) (as so redesignated), by inserting
before the semicolon the following: ``, with a particular
focus on evaluation of progress made toward fulfillment of
the goals of the Plan''; and
(7) by striking subsection (m) (as so redesignated).
SEC. 305. AUTHORIZATION OF APPROPRIATIONS.
(a) Sections 301, 302, and 303.--There are authorized to be
appropriated such sums as may be necessary for each of fiscal
years 2007 through 2011, to carry out sections 301, 302, and
303 (and the amendments made by such sections).
(b) Section 304.--
(1) In general.--There are authorized to be appropriated
$240,000,000 for fiscal year 2007, such sums as may be
necessary for each of fiscal years 2008 through 2011, to
carry out section 304.
(2) Allocation of funds.--Subject to section 485E of the
Public Health Service Act (as amended by section 304) and
other applicable law, the Director of the Center under such
section 485E shall direct all amounts appropriated for
activities under such section and in collaboration with the
Director of National Institutes of Health and the directors
of other institutes and centers of the National Institutes of
Health.
(3) Management of allocations.--All amounts allocated or
expended for minority health and health disparities research
activities under this subsection shall be reported
programmatically to and approved by the Director of the
Center under such section 485E, in accordance with the Plan
described under such section 485E.
[[Page S10707]]
TITLE IV--DATA COLLECTION, ANALYSIS, AND QUALITY
SEC. 401. DATA COLLECTION, ANALYSIS, AND QUALITY.
The Public Health Service Act (42 U.S.C. 201 et seq.) is
amended by adding at the end the following:
``TITLE XXIX--DATA COLLECTION, ANALYSIS, AND QUALITY
``SEC. 2901. DATA COLLECTION, ANALYSIS, AND QUALITY.
``(a) Data Collection and Reporting.--The Secretary shall
ensure that not later than 3 years after the date of
enactment of the Minority Health Improvement and Health
Disparity Elimination Act any ongoing or new federally
conducted or supported health programs (including surveys)
result in the--
``(1) collection and reporting of data by race and
ethnicity using, at a minimum, Office of Budget and
Management standards in effect on the date of enactment of
the Minority Health Improvement and Health Disparity
Elimination Act;
``(2) collection and reporting of data by geographic
location, socioeconomic position (such as employment, income,
and education), primary language, and, when determined
practicable by the Secretary, health literacy; and
``(3) if practicable, collection and reporting of data on
additional population groups if such data can be aggregated
into the minimum race and ethnicity data categories.
``(b) Data Analysis and Dissemination.--
``(1) Data analysis.--
``(A) In general.--The Secretary shall analyze data
collected under subsection (a) to detect and monitor trends
in disparities in health and healthcare for racial and ethnic
minority and other health disparity populations, and examine
the interaction between various disparity indicators.
``(B) Quality analysis.--The Secretary shall ensure that
the analyses under subparagraph (A) incorporate data reported
according to quality measurement systems.
``(2) Quality measures.--When the Secretary, by statutory
or regulatory authority, adopts and implements any quality
measures or any quality measurement system, the Secretary
shall ensure the quality measures or quality measurement
system comply with the following:
``(A) Measures.--Measures selected shall, to the extent
practicable--
``(i) assess the effectiveness, timeliness, patient self-
management, patient centeredness, equity, and efficiency of
care received by patients, including patients from racial and
ethnic minority and other health disparity populations;
``(ii) are evidence based, reliable, and valid; and
``(iii) include measures of clinical processes and
outcomes, patient experience and efficiency.
``(B) Consultation.--In selecting quality measures or a
quality measurement system or systems for adoption and
implementation, the Secretary shall consult with--
``(i) individuals from racial and ethnic minority and other
health disparity populations; and
``(ii) experts in the identification and elimination of
disparities in health and healthcare among racial and ethnic
minority and other health disparity populations.
``(3) Dissemination.--
``(A) In general.--The Secretary shall make the measures,
data, and analyses described in paragraph (1) and (2)
available to--
``(i) the Office of Minority Health and Health Disparity
Elimination;
``(ii) the National Center on Minority Health and Health
Disparities;
``(iii) the Agency for Healthcare Research and Quality for
inclusion in the Agency's reports;
``(iv) the Centers for Disease Control and Prevention;
``(v) the Centers for Medicare and Medicaid Services;
``(vi) the Indian Health Service;
``(vii) other agencies within the Department of Health and
Human Services; and
``(viii) other entities as determined appropriate by the
Secretary.
``(B) Additional research.--The Secretary may, as the
Secretary determines appropriate, make the measures, data,
and analysis described in paragraphs (1) and (2) available
for additional research, analysis, and dissemination to
nongovernmental entities and the public.
``(c) Research.--
``(1) Disparity indicators.--
``(A) In general.--The Secretary shall award grants or
contracts for research to develop appropriate methods,
indicators, and measures that will enable the detection and
assessment of disparities in healthcare. Such research shall
prioritize research with respect to the following:
``(i) Race and ethnicity.
``(ii) Geographic location (such as geocoding).
``(iii) Socioeconomic position (such as income or education
level).
``(iv) Health literacy.
``(v) Cultural competency.
``(vi) Additional measures as determined appropriate by the
Secretary.
``(B) Applied research.--The Secretary shall use the
results of the research from grants awarded under
subparagraph (A) to improve the data collection described
under subsection (a).
``(2) Strategic partnerships to encourage and improve data
collection.--
``(A) In general.--The Secretary may award not more than 20
grants to eligible entities for the purposes of--
``(i) enhancing and improving methods for the collection,
reporting, analysis, and dissemination of data, as required
under the Minority Health Improvement and Health Disparity
Elimination Act; and
``(ii) encouraging the collection, reporting, analysis, and
dissemination of data to identify and address disparities in
health and healthcare.
``(B) Definition of eligible entity.--In this paragraph,
the term `eligible entity' means a health plan, federally
qualified health center, hospital, rural health clinic,
academic institution, policy research organization, or other
entity, including an Indian Health Service hospital or
clinic, Indian tribal health facility, or urban Indian
facility, that the Secretary determines to be appropriate.
``(C) Application.--An eligible entity desiring a grant
under this paragraph shall submit an application to the
Secretary at such time, in such manner, and containing such
information as the Secretary may require.
``(D) Priority in awarding grants.--In awarding grants
under this paragraph, the Secretary shall give priority to
eligible entities that represent collaboratives with--
``(i) hospitals, health plans, or health centers; and
``(ii) at least 1 community-based organization or patient
advocacy group.
``(E) Use of funds.--An eligible entity that receives a
grant under this paragraph shall use grant funds to--
``(i) collect, analyze, or report data by race, ethnicity,
geographic location, socioeconomic position, health literacy,
or other health disparity indicator;
``(ii) conduct and report analyses of quality of healthcare
and disparities in health and healthcare for racial and
ethnic minority and other health disparity populations,
including disparities in diagnosis, management and treatment,
and health outcomes for acute and chronic disease;
``(iii) improve health data collection, analysis, and
reporting for subpopulations and categories;
``(iv) modify, implement, and evaluate use of health
information technology systems that facilitate data
collection, analysis and reporting for racial and ethnic
minority and other health disparity populations, and support
healthcare interventions;
``(v) develop educational programs to inform patients,
providers, purchasers, and other individuals served about the
legality and importance of the collection, analysis, and
reporting of data by race, ethnicity, socioeconomic position,
geographic location, and health literacy, for eliminating
disparities in health; and
``(vi) evaluate the activities conducted under this
paragraph.
``(d) Technical Assistance.--The Secretary may provide
technical assistance to promote compliance with the data
collection and reporting requirements of the Minority Health
Improvement and Health Disparity Elimination Act.
``(e) Privacy and Security.--The Secretary shall ensure all
appropriate privacy and security protections for health data
collected, reported, analyzed, and disseminated pursuant to
the Minority Health Improvement and Health Disparity
Elimination Act.
``(f) Authorization of Appropriations.--For the purpose of
carrying out this section, there are authorized to be
appropriated such sums as may be necessary for each of fiscal
years 2007 through 2011.''.
TITLE V--LEADERSHIP, COLLABORATION, AND NATIONAL ACTION PLAN
SEC. 501. OFFICE OF MINORITY HEALTH AND HEALTH DISPARITY
ELIMINATION.
(a) In General.--Section 1707 of the Public Health Service
Act (42 U.S.C. 300u-6) is amended to read as follows:
``SEC. 1707. OFFICE OF MINORITY HEALTH AND HEALTH DISPARITY
ELIMINATION.
``(a) Establishment.--For the purpose of improving the
health of racial and ethnic minority populations and other
health disparity populations, as described in subsection (b),
there is established an Office of Minority Health and Health
Disparity Elimination within the Office of Public Health and
Science. There shall be in the Department of Health and Human
Services a Deputy Assistant Secretary for Minority Health and
Health Disparity Elimination, who shall be the head of the
Office of Minority Health and Health Disparity Elimination.
The Secretary, acting through such Deputy Assistant
Secretary, shall carry out this section.
``(b) Populations to Be Served.--The Secretary shall ensure
that services provided under this section are prioritized to
improve the health of racial and ethnic minority groups. To
the extent that services are provided to other health
disparity populations, such populations, as compared to the
general population, must experience a--
``(1) disproportionate burden of disease, particularly
chronic conditions such as hepatitis B, diabetes, heart
disease, stroke, high blood pressure, mental illness, asthma,
obesity, HIV/AIDS, and cancer;
``(2) significantly elevated risk for poor health outcomes,
including disability and premature mortality;
``(3) disproportionate lack of access to local health
resources, including hospitals, clinics, and health
professionals; and
``(4) lower socioeconomic position.
[[Page S10708]]
``(c) Duties.--With respect to racial and ethnic minority
groups, and other health disparity groups, the Secretary,
acting through the Deputy Assistant Secretary, shall carry
out the following:
``(1) Coordinate and provide input on activities within the
Public Health Service that relate to disease prevention,
health promotion, health service delivery, health workforce,
and research concerning racial and ethnic minority
populations, and other health disparity populations. The
Secretary shall ensure that the heads of each of the agencies
of the Service collaborate with the Deputy Assistant
Secretary on the development and conduct of such activities.
``(2) Not later than 1 year after the date of enactment of
the Minority Health Improvement and Health Disparity
Elimination Act, develop and implement a comprehensive
Department-wide plan to improve minority health and eliminate
health disparities in the United States, to be known as the
National Plan to Improve Minority Health and Eliminate Health
Disparities, (referred to in this section as the `National
Plan'). With respect to development and implementation of the
National Plan, the Secretary shall carry out the following:
``(A) Consult with the following:
``(i) The Director of the Centers for Disease Control and
Prevention.
``(ii) The Director of the National Institutes of Health.
``(iii) The Director of the National Center on Minority
Health and Health Disparities of the National Institutes of
Health.
``(iv) The Director of the Agency for Healthcare Research
and Quality.
``(v) The National Coordinator for Health Information
Technology.
``(vi) The Administrator of the Health Resources and
Services Administration.
``(vii) The Administrator of the Centers for Medicare &
Medicaid Services.
``(viii) The Director of the Office for Civil Rights.
``(ix) The Secretary of Veterans Affairs.
``(x) The Administrator of the Substance Abuse and Mental
Health Services Administration.
``(xi) The Secretary of Defense.
``(xii) The Commissioner of the Food and Drug
Administration.
``(xiii) The Director of the Indian Health Service.
``(xiv) The Secretary of Education.
``(xv) The Secretary of Labor.
``(xvi) The heads of other public and private entities, as
determined appropriate by the Secretary.
``(B) Review and integrate existing information and
recommendations as appropriate, such as Healthy People 2010,
Institute of Medicine studies, and Surgeon General Reports.
``(C) Ensure inclusion of measurable short-range and long-
range goals and objectives, a description of the means for
achieving such goals and objectives, and a designated date by
which such goals and objectives are expected to be achieved.
``(D) Ensure that all amounts appropriated for such
activities are expended in accordance with the National Plan.
``(E) Review the National Plan on at least an annual basis,
and report to the public and appropriate committees of
Congress on progress.
``(F) Revise such Plan as appropriate.
``(G) Ensure that the National Plan will serve as a binding
statement of policy with respect to the agencies' activities
related to improving health and eliminating disparities in
health and healthcare.
``(3) Work with Federal agencies and departments outside of
the Department of Health and Human Services as appropriate to
maximize resources available to increase understanding about
why disparities exist, and effective ways to improve health
and eliminate health disparities.
``(4) In cooperation with the appropriate agencies, support
research, demonstrations, and evaluations to test new and
innovative models for--
``(A) expanding healthcare access;
``(B) improving healthcare quality; and
``(C) increasing healthcare educational opportunity.
``(5) Develop mechanisms that support better information
dissemination, education, prevention, and service delivery to
individuals from disadvantaged backgrounds, including
individuals who are members of racial or ethnic minority
groups or health disparity populations.
``(6) Increase awareness of disparities in healthcare, and
knowledge and understanding of health risk factors, among
healthcare providers, health plans, and the public.
``(7) Advise in matters related to the development,
implementation, and evaluation of health professions
education on improving healthcare outcomes and decreasing
disparities in healthcare outcomes, with focus on cultural
competence.
``(8) Assist healthcare professionals, community and
advocacy organizations, academic medical centers and other
health entities and public health departments in the design
and implementation of programs that will improve health
outcomes by strengthening the patient-provider relationship.
``(9) Carry out programs to improve access to healthcare
services and to improve the quality of healthcare services
for individuals with low functional health literacy.
``(10) Facilitate the classification and collection of
healthcare data to allow for ongoing analysis to identify and
determine the causes of disparities and monitoring of
progress toward improving health and eliminating health
disparities.
``(11) Ensure that the National Center for Health
Statistics collects data on the health status of each racial
or ethnic minority group or health disparity population
pursuant to section 2901.
``(12) Support a national minority health resource center
to carry out the following:
``(A) Facilitate the exchange of information regarding
matters relating to health information and health promotion,
preventive health services, and education in the appropriate
use of healthcare.
``(B) Facilitate access to such information.
``(C) Assist in the analysis of issues and problems
relating to such matters.
``(D) Provide technical assistance with respect to the
exchange of such information (including facilitating the
development of materials for such technical assistance).
``(13) Support a center for linguistic and cultural
competence to carry out the following:
``(A) With respect to individuals who lack proficiency in
speaking the English language, enter into contracts with
public and nonprofit private providers of primary health
services for the purpose of increasing the access of such
individuals to such services by developing and carrying out
programs to improve health literacy and cultural competency.
``(B) Carry out programs to improve access to healthcare
services for individuals with limited proficiency in speaking
the English language. Activities under this subparagraph
shall include developing and evaluating model projects.
``(14) Enter into interagency agreements with other
agencies of the Public Health Service, as appropriate.
``(15) Collaborate with the Office for Civil Rights to--
``(A) assist healthcare providers with application of
guidance and directives regarding healthcare for racial and
ethnic minority and other health disparity populations,
including--
``(i) reviewing cases with the Office of Inspector General
and the Office for Civil Rights which have been closed
without a finding of discrimination to determine if a pattern
or practice of activities that could lead to discrimination
exists, and if such a pattern or practice is identified,
provide technical assistance or education, as applicable, to
the relevant provider or to a group of providers located
within a particular geographic area;
``(ii) biannually publishing information on cases filed
with the Office for Civil Rights which have resulted in a
finding of discrimination, including the name and location of
the entity found to have discriminated, and any findings and
agreements entered into between the Office for Civil Rights
and the entity; and
``(iii) monitoring and analysis of trends in cases reported
to the Office for Civil Rights to ensure that the Office of
Minority Health and Health Disparity Elimination acts to
educate and assist healthcare providers as necessary; and
``(B) provide technical assistance or education, as
applicable, to the relevant provider or to a group of
providers located within a particular geographic area.
``(16) Promote and expand efforts to increase racial and
ethnic minority enrollment in clinical trials.
``(17) Establish working groups--
``(A) to examine and report recommendations to the
Secretary regarding--
``(i) emergency preparedness and response for underserved
populations;
``(ii) development and implementation of health information
technology that can assist providers to deliver culturally
competent healthcare;
``(iii) outreach and education of health disparity groups
about new Federal health programs, as appropriate, including
the programs under Part D of title XVIII of the Social
Security Act and chronic care management programs under the
Medicare Prescription Drug, Improvement, and Modernization
Act of 2003 (and the amendments made by such Act);
``(iv) leadership development in public health; and
``(v) other emerging health issues at the discretion of the
Secretary; and
``(B) that include representation from the relevant health
agencies, centers and offices, as well as public and private
entities as appropriate.
``(d) Advisory Committee.--
``(1) In general.--The Secretary shall establish an
advisory committee to be known as the Advisory Committee on
Minority Health and Health Disparities (in this subsection
referred to as the `Committee').
``(2) Duties.--The Committee shall provide advice to the
Deputy Assistant Secretary carrying out this section,
including advice on the development of goals and specific
program activities under subsection (c) for racial and ethnic
minority groups and health disparity population.
``(3) Chair.--The chairperson of the Committee shall be
selected by the Secretary from among the members of the
voting members of the Committee. The term of office of the
chairperson shall be 2 years.
``(4) Composition.--
``(A) The Committee shall be composed of 12 voting members
appointed in accordance with subparagraph (B), and nonvoting,
ex-
[[Page S10709]]
officio members designated in subparagraph (C).
``(B) The voting members of the Committee shall be
appointed by the Secretary from among individuals who are not
officers or employees of the Federal Government and who have
expertise regarding issues of minority health and health
disparities. Racial and ethnic minority groups and health
disparity populations shall be appropriately represented
among such members.
``(C) The nonvoting, ex officio members of the Committee
shall be such officials of the Department of Health and Human
Services, including the Director of the Office of Minority
Health and Health Disparity Elimination and the Office for
Civil Rights, and other officials as the Secretary determines
to be appropriate.
``(D) The Secretary shall provide an opportunity for the
Chairman and Ranking Member of the Committee on Health,
Education, Labor, and Pensions of the Senate to submit to the
Secretary names of potential Committee members under this
section for consideration.
``(5) Terms.--Each member of the Committee shall serve for
a term of 4 years, except that the Secretary shall initially
appoint a portion of the members to terms of 1 year, 2 years,
and 3 years.
``(6) Vacancies.--If a vacancy occurs on the Committee, a
new member shall be appointed by the Secretary within 90 days
from the date that the vacancy occurs, and serve for the
remainder of the term for which the predecessor of such
member was appointed. The vacancy shall not affect the power
of the remaining members to execute the duties of the
Committee.
``(7) Compensation.--Members of the Committee who are
officers or employees of the United States shall serve
without additional compensation. Members of the Committee who
are not officers or employees of the United States shall
receive compensation, for each day (including travel time)
they are engaged in the performance of the functions of the
Committee. Such compensation may not be in an amount in
excess of the daily equivalent of the annual maximum rate of
basic pay payable under the General Schedule for positions
above GS-15 under title 5, United States Code.
``(e) Certain Requirements Regarding Duties.--
``(1) Recommendations regarding language.--
``(A) Proficiency in speaking english.--The Deputy
Assistant Secretary shall consult with the Director of the
Office of International and Refugee Health, the Director of
the Office for Civil Rights, and the Directors of other
appropriate departmental entities regarding recommendations
for carrying out activities under subsection (c)(9).
``(B) Health professions education regarding health
disparities.--The Deputy Assistant Secretary shall carry out
the duties under subsection (c)(7) in collaboration with
appropriate personnel of the Department of Health and Human
Services, other Federal agencies, and other offices, centers,
and institutions, as appropriate, that have responsibilities
under the Minority Health and Health Disparities Research and
Education Act of 2000.
``(2) Resource allocation.--
``(A) Funding.--In carrying out subsection (c), the
Secretary shall ensure that such funding and other resources
directed to health disparity populations that are not racial
and ethnic minority populations are used to supplement, not
supplant, funding and other resources currently or
historically allocated for services provided to such
populations.
``(B) Activities.--When carrying out activities for health
disparity populations that are not racial and ethnic minority
populations, the Secretary shall ensure that such activities
carried out by the Office of Minority Health and Health
Disparity Elimination supplement, not supplant, the
activities of other offices or agencies whose primary mission
by established mandate, or current or historical practice is
to serve such populations.
``(3) Cultural competency of services.--The Secretary shall
ensure that information and services provided pursuant to
subsection (c) consider the unique cultural or linguistic
issues facing such populations and are provided in the
language, educational, and cultural context that is most
appropriate for the individuals for whom the information and
services are intended.
``(4) Agency coordination.--In carrying out subsection (c),
the Secretary shall ensure that new or existing agency
offices of minority health, or other health disparity
offices, report current and proposed activities to the Deputy
Assistant Secretary, and provide, to the extent practicable,
an opportunity for input in the development of such
activities by the Deputy Assistant Secretary.
``(f) Grants and Contracts Regarding Duties.--
``(1) In general.--In carrying out subsection (c), the
Secretary acting through the Deputy Assistant Secretary, may
make awards of grants, cooperative agreements, and contracts
to public and nonprofit private entities.
``(2) Process for making awards.--The Deputy Assistant
Secretary shall ensure that awards under paragraph (1) are
made, to the extent practical, only on a competitive basis,
and that a grant is awarded for a proposal only if the
proposal has been recommended for such an award through a
process of peer review.
``(3) Evaluation and dissemination.--The Deputy Assistant
Secretary, directly or through contracts with public and
private entities, shall provide for evaluations of projects
carried out with awards made under paragraph (1) during the
preceding 2 fiscal years. The report shall be included in the
report required under subsection (g) for the fiscal year
involved.
``(g) State Offices of Minority Health.--The Deputy
Assistant Secretary shall assist the voluntary establishment
and functions of State offices of minority health in order to
expand and coordinate State efforts to improve the health of
minority and other health disparity populations.
``(1) Priorities.--The Deputy Assistant Secretary may
facilitate, with respect to minority and health disparity
populations--
``(A) integration and coordination of State and national
efforts, including those pertaining to the National Plan
pursuant to subsection (b);
``(B) strategic plan development within States to assess
and respond to local health concerns;
``(C) education and engagement of key stakeholders within
States, including representatives from public health
agencies, hospitals, clinics, provider groups, elected
officials, community-based organizations, advocacy groups,
media, and the private sector;
``(D) development and implementation of accepted standards,
core competencies, and minimum infrastructure requirements
for State offices;
``(E) access to State level health data for minority and
health disparity populations, which may include State data
collection and analysis;
``(F) development, implementation, and evaluation of State
programs and policies, as appropriate;
``(G) communication and networking among States to share
effective policies, programs and practices with respect to
increasing access and quality of care;
``(H) recognition and reporting of State successes and
challenges; and
``(I) identification of Federal grant programs and other
funding for which States could apply to carry out health
improvement activities.
``(2) Resources.--The Deputy Assistant Secretary may
provide grants and technical assistance for the voluntary
establishment or capacity development of State offices of
minority health.
``(3) Collaboration.--To the extent practicable, the Deputy
Assistant Secretary may encourage and facilitate
collaboration between State offices of minority health and
State offices addressing the needs of other health disparity
or disadvantaged populations, including offices of rural
health.
``(4) Definition.--For the purpose of this subsection,
`State offices of minority health' include offices, councils,
commissions, or advisory panels designated by States or
territories to address the health of minority populations.
``(h) Reports.--
``(1) In general.--Not later than 1 year after the date of
enactment of the Minority Health Improvement and Health
Disparity Elimination Act, the Secretary shall submit to the
appropriate committees of Congress, a report on the National
Plan developed under subsection (c).
``(2) Report on activities.--Not later than February 1 of
fiscal year 2008 and of each second year thereafter, the
Secretary shall submit to the appropriate committees of
Congress, a report describing the activities carried out
under this section during the preceding 2 fiscal years and
evaluating the extent to which such activities have been
effective in improving the health of racial and ethnic
minority groups and health disparity populations. Each such
report shall include the biennial reports submitted under
subsection (f)(3) for such years by the heads of the Public
Health Service agencies.
``(3) Agency reports.--Not later than February 1, 2007, and
on a biannual basis thereafter, the heads of the Public
Health Service shall submit to the Deputy Assistant Secretary
a report that summarizes the minority health and health
disparity activities of each of the respective agencies.
``(i) Definitions.--In this section:
``(1) The term `health disparity population' has the
meaning given the term in section 903(d)(1).
``(2) The term `racial and ethnic minority group' means
American Indians (including Alaska Natives, Eskimos, and
Aleuts), Asian Americans, Native Hawaiians and other Pacific
Islanders, Blacks, and Hispanics.
``(3) The term `Hispanic' means individuals whose origin is
Mexican, Puerto Rican, Cuban, Central or South American, or
of any other Spanish-speaking country.
``(j) Authorization of Appropriations.--For the purpose of
carrying out this section, there are authorized to be
appropriated $110,000,000 for fiscal year 2007, such sums as
may be necessary for each of fiscal years 2008 through
2011.''.
(b) Transfer of Functions; References.--
(1) Transfer of functions.--
(A) Office of minority health and health disparity
elimination.--The functions of the Office of Minority Health
under section 1707 of the Public Health Service Act (42
U.S.C. 300u-6) as in effect the day before the date of
enactment of this Act are transferred to the
[[Page S10710]]
Office of Minority Health and Health Disparity Elimination
under such section 1707 (as amended by subsection (a)).
(B) Deputy assistant secretary for minority health and
health disparity elimination.--The functions of the Deputy
Assistant Secretary for Minority Health of the Office of
Minority Health under section 1707 of the Public Health
Service Act (42 U.S.C. 300u-6) as in effect the day before
the date of enactment of this Act are transferred to the
Deputy Assistant Secretary for Minority Health and Health
Disparity Elimination of the Office of Minority Health and
Health Disparity Elimination under such section 1707 (as
amended by subsection (a)).
(2) References.--
(A) Office of minority health and health disparity
elimination.--Any reference in any Federal law, Executive
order, rule, regulation, or delegation of authority, or any
document of or pertaining to the Office of Minority Health
under section 1707 of the Public Health Service Act (42
U.S.C. 300u-6) as in effect the day before the enactment of
this Act is deemed to be a reference to the Office of
Minority Health and Health Disparity Elimination under such
section 1707 (as amended by subsection (a)).
(B) Deputy assistant secretary for minority health and
health disparity elimination.--Any reference in any Federal
law, Executive order, rule, regulation, or delegation of
authority, or any document of or pertaining to the Deputy
Assistant Secretary for Minority Health of the Office of
Minority Health under section 1707 of the Public Health
Service Act (42 U.S.C. 300u-6) as in effect the day before
the enactment of this Act is deemed to be a reference to the
Deputy Assistant Secretary for Minority Health and Health
Disparity Elimination of the Office of Minority Health and
Health Disparity Elimination under such section 1707 (as
amended by subsection (a)).
Mr. KENNEDY. Mr. President, unfortunately, serious and unjustified
health disparities continue to exist in our Nation today. Over 45
million Americans have no health insurance and often don't get the
health care they need, or else they receive it too late. We know that
persons who are uninsured are more likely to delay doctor visits and
needed screenings like mammograms and other early detection tests,
which can help prevent serious illness and death. The Institute of
Medicine estimates that at least 18,000 Americans die prematurely each
year solely because they lack health coverage.
Some of the most shameful health disparities involve racial and
ethnic minorities, and typically they are more likely to be uninsured.
African Americans have a lower life expectancy than whites, and are
much more likely to die from stroke, and their uninsurance rates are
much higher than for their white counterparts.
Many Americans--even physicians--want to believe such disparities
don't exist, but ignoring them only contributes more to the widening
gap between the haves and have-nots. It's a scandal that people of
color have greater difficulty obtaining good health care than other
Americans. Your health should not depend on the color of your skin, the
size of your bank account, or where you live. In a Nation as advanced
as ours and with its state-of-the-art medical technology for preventing
illness and caring for the sick, it's appalling that so many health
disparities continue to exist.
That's the reason why I am introducing the Minority Health and Health
Disparity Elimination Act as part of our effort to eliminate these
unacceptable disparities.
The bill provides grants to communities to increase public awareness
about access to health care and disease prevention. It writes the
Centers for Disease Control's Racial and Ethnic Approaches to Community
Health program into law, so that this successful program can involve
all communities in closing the health care gap.
Greater diversity in the health care workforce is also a key part of
ending these disparities. African Americans, Hispanic Americans, and
other minorities account for only 6 percent of the nation's doctors and
7 percent of nurses and dentists, even though they are almost one-third
of the U.S. population. The disparity in the health workforce must be
closed, not just to fulfill our commitment to equality of opportunity,
but because of the impact it has on health care. Studies demonstrate
that minority health professionals are more likely to care for minority
patients, including those who are low-income and uninsured.
The Minority Health and Health Disparity Elimination Act reauthorizes
the Title VII healthcare workforce diversity programs, and supports the
Centers of Excellence at Historically Black Colleges and Universities
and institutions that educate Hispanic and Native American students.
A diverse health care workforce is essential for a healthy country.
Emphasizing workforce diversity does not mean that health care workers
of all races should not be prepared to work with diverse patients. We
must also make a more serious effort to train culturally competent
health care professionals and work towards creating a health care
system that is accessible for the more than 46 million Americans who
speak a language other than English at home. The bill creates an
Internet clearinghouse to help increase cultural competency and improve
communication between health care providers and patients. It also
supports the development of curricula on cultural competence in health
professions schools.
Language barriers in health care obviously contribute to reduced
access and poorer care for those who have limited English proficiency
or low health literacy. The legislation recognizes the importance of
this issue for the quality of our health care system and provides funds
for activities to improve and encourage services for such patients.
The Minority Health and Health Disparities Research and Education Act
enacted into law in 2000 created the National Center for Minority
Health and Health Disparities. The legislation I am introducing today
reauthorizes this important Center and strengthens its role in
coordinating and planning research that focuses on minority health and
health disparities. It further strengthens research in health care
quality by establishing a grant program for healthcare delivery sites
and public-private partnerships to evaluate and identify best practices
in disease management strategies and interventions.
In addition, the bill promotes the participation of racial and ethnic
minorities and other health disparity populations in clinical trials
and intensifies efforts throughout the Department of Health and Human
Services to increase and apply knowledge about the interaction of
racial, genetic, and environmental factors that affect people's health.
Finally, the bill reinforces and clarifies the duties of the Office
of Minority Health and Health Disparity Elimination and encourages
greater cooperation among federal agencies and departments in meeting
these serious challenges.
I look forward to working with my colleagues to enact this needed
legislation when we return to session after the election recess.
Mr. OBAMA. Mr. President, for forty years the civil rights activist
Fannie Lou Hamer rallied the Nation with her statement ``I am sick and
tired, of being sick and tired.'' She would be disheartened to know the
extent to which her words are still resonating with millions of
Americans today. Whether we are talking about African Americans,
Latinos, Asians or American Indians, the fact is that minorities
continue to suffer a greater burden of disease and die prematurely.
African Americans are one-third more likely than all other Americans to
die from cancer, and have the highest rate of new HIV infection. One in
3 Latinos has no insurance coverage. Fifty percent of Americans
suffering from chronic hepatitis B are Asian. And among many American
Indian tribes, the rate of diabetes has hit epidemic proportions, with
rates near 50 percent in certain tribes. The state of minority health
in this Nation is deplorable, and by many measures, is getting worse.
Researchers have contributed a substantial body of work that has
increased our understanding of the factors contributing to poor health.
Higher rates of uninsurance are one such factor. Racial and ethnic
minorities, particularly African Americans and Latinos, are
significantly more likely to be uninsured. This lack of access to care
leads to delayed or foregone care, and according to the Institute of
Medicine, is the 6th leading cause of death in this Nation for adults
aged 25-64. But equally disturbing, an overwhelming number of studies
have shown that regardless of insurance status, minorities are more
likely to receive low quality health care, and as a consequence, suffer
worse health outcomes.
[[Page S10711]]
The Institute of Medicine's 2002 historic report, Unequal Treatment:
Confronting Racial and Ethnic Disparities in Healthcare, documented
persistent and pervasive disparities in health care for minority
groups, even after adjusting for differences in insurance status and
socioeconomic factors. The American Journal of Public Health has
reported that more than 886,000 deaths could have been prevented from
1991 to 2000 if African Americans had received the same level of health
care as whites. In contrast, the same study estimates that
technological improvements in medicine--including better drugs, devices
and procedures--prevented only 176,633 deaths during the same period.
African Americans are not the only minorities getting worse care.
Data has shown, for example, that compared to white Americans, Mexican
Americans receive 38 percent fewer heart medications, and American
Indians get recommended care for only 40 percent of quality measures.
The bottom line is that although the level of health care quality is
mediocre at best for all Americans, it is much worse for minority
groups. And this is unacceptable.
For these reasons, I am joining my colleagues Senator Frist and
Senator Kennedy in introducing the Minority Health Improvement and
Health Disparity Elimination Act. This critical legislation has a
number of important provisions to help address the dismal health status
of minority and other underserved populations. First, this bill
strengthens education and training in cultural competence and
communication, which is the cornerstone of quality health care for all
patients. It also reauthorizes the pipeline programs in Title VII of
the Public Health Service Act, which seek to increase diversity in the
health professions. We all know that the door to opportunity is only
half open for minority students in the health professions. The
percentage of minority health professionals is shockingly low--African
Americans, Hispanics and American Indians account for one-third of the
Nation's population but less than 10 percent of the Nation's doctors,
less than 5 percent of dentists and only 12 percent of nurses. We can
do better, and we must.
Lack of workforce diversity has serious implications for both access
and quality of health care. Minority physicians are significantly more
likely to treat low-income patients, and their patients are
disproportionately minority. Studies have also shown that minority
physicians provide higher quality of care to minority patients, who are
more satisfied with their care and more likely to follow their doctor's
recommendations.
Second, this bill expands and supports a number of initiatives to
increase access to quality care. Specifically, the legislation
authorizes demonstration projects to help address health disparities in
the U.S.-Mexico border region, increase health coverage and continuity
of coverage, identify and implement effective disease management
strategies, train community health workers, and increase enrollment of
minorities in clinical trials. The REACH program at the Centers for
Disease Control and Prevention, and the Health Disparity Collaboratives
at the Bureau of Primary Health Care are authorized in statute. And I
am pleased that the Community Health Initiative has also been
authorized. This new environmental public health program is modeled
after the Health Action Zones in the Healthy Communities Act, S. 2047,
that I introduced a year ago, and guides and strengthens community
efforts to improve health in comprehensive and sustained fashion.
A third area of focus is expansion and acceleration of data
collection and research across the agencies, including the Agency for
Healthcare Research and Quality and the National Institutes of Health,
with special emphasis on translational research. The tremendous
advances in medical science and health technology, which have benefited
millions of Americans, have remained out of reach for too many
minorities, and translational research will help to remedy this
problem. The National Center on Minority Health and Health Disparities,
which has a leadership role in establishing the disparities research
strategic plan at the National Institutes of Health, is reauthorized,
and a new advisory committee has been established at the Food and Drug
Administration, to focus on pharmacogenomics and its safe and
appropriate application in minority populations.
Last but not least, I want to highlight that the bill reauthorizes
the Office of Minority Health and Health Disparity Elimination. This
Office has been critical in providing the leadership, expertise and
guidance for health improvement activities within the agencies of the
Department of Health and Human Services, and has helped to ensure
coordination, collaboration and integration of such efforts as well.
In conclusion, I want to note that this is the first bipartisan
effort on minority health and health disparities since 2000, when the
Congress passed the last minority health bill. That bill accelerated
the research that documented the full scope and magnitude of
disparities in health and health care in this Nation, and more
importantly, helped us understand why these disparities occur. But it
is time for the next step. We've got to translate the knowledge we have
gained into practical and effective interventions that will improve
minority health and eliminate disparities, and this bill will help us
do just that.
I urge my colleagues to join me in cosponsoring and passing this
critical legislation. Regardless of how you measure it--whether by
needless suffering, lost productivity, financial costs, or lives lost--
disparities in health and health care are a tremendous problem and
moral imperative for our Nation, and one that is within our power to
address right now. On behalf of the millions of Americans who continue
to be sick and tired of being sick and tired, I ask you to join me in
voting yes to pass this bill.
______
By Mr. SPECTER (for himself, Mr. Lott, Mr. Leahy, and Ms.
Landrieu):
S. 4025. A bill to strengthen antitrust enforcement in the insurance
industry; to the Committee on the Judiciary.
Mr. SPECTER. Mr. President, I seek recognition today to introduce the
Insurance Industry Antitrust Enforcement Act of 2006. This legislation
would subject the insurance industry to the antitrust laws, which apply
to almost every other industry in America.
Congress enacted the McCarran-Ferguson Act in 1945. It did so in
response to a controversial Supreme Court case in which the Court held
that the business of insurance constituted interstate commerce. The
ruling opened the door to federal regulation of insurance, a business
that had historically been regulated by the States. Reacting to concern
from the states that they would no longer have authority to collect
taxes on insurance premiums, Congress passed McCarran-Ferguson, which
reaffirmed the power of the States to regulate insurance and collect
taxes.
In doing so, Congress exempted insurance industry practices from the
antitrust laws to the extent that such practices are ``regulated by
state law.'' Since then, the courts have liberally interpreted the
phrase ``regulated by state law.'' They have held that insurance
industry practices are exempt from the antitrust laws so long as
regulators have been given jurisdiction over the challenged practices--
regardless of whether the regulators ever exercise that jurisdiction.
Over the years, State regulators have either chosen not to regulate,
or failed to regulate, practices that would have violated the antitrust
laws absent McCarran-Ferguson. With McCarran-Ferguson, such practices
escape both regulatory and federal antitrust oversight. The most
notorious practices to come to light involved bid-rigging and customer
allocation by insurance broker, Marsh & McClennan, and several of the
nation's largest insurers, including AIG and Zurich American Insurance
Company. Under the scheme, Marsh steered unsuspecting clients to
insurers with which it had lucrative payoff agreements. To make the
scheme work, Marsh solicited fictitious bids from other complicit
insurers to make the bid submitted by the selected insurer--the one
that offered Marsh the highest payoff--seem competitive.
Even though the scheme eliminated competition among the insurance
companies that were involved, those companies could not be prosecuted
under Federal antitrust law. Several States prosecuted the insurance
companies
[[Page S10712]]
under a variety of State laws, including antitrust laws, but federal
prosecutors could not bring their significant resources to bear. There
simply is no justification for that. Federal law enforcement should
have the power to prosecute such blatant violations of the antitrust
laws.
This is not the first attempt to subject the insurance industry to
Federal antitrust law. In the wake of numerous insolvencies,
mismanagement and other misconduct by insurers in the late 1980s,
legislation was introduced repealing the exemption. That legislation,
introduced by Congressman Brooks, faced opposition from insurers who
claimed that many industry practices engaged in jointly by insurance
companies were pro-competitive and necessary for smaller insurers. The
legislation provided a safe harbor, specifically listing the practices
of insurance companies that would be exempt from the antitrust laws.
However, it proved impossible to craft a list of safe harbors for all
the information that competing insurers claimed they needed to share
with one another. This bill has avoided that problem.
More recently, some have argued that the answer to insurance industry
ills is full federal regulation. I do not necessarily believe that
stripping the States of their authority to regulate the insurance
industry is the answer. This bill does not do that. It allows states to
continue to regulate their insurance industries. However, the existence
of state regulation is no reason to prevent the Federal Government from
prosecuting violators of antitrust laws. And, there is no reason to
prevent Federal prosecutors from going after those violators just
because they happen to work for insurance companies.
As I've said, allowing Federal prosecutors to go after those who
violate the antitrust laws will not prevent states from regulating the
insurance industry. If a state is actively supervising practices by its
insurance industry that might otherwise violate the antitrust laws,
this legislation would exempt that practice from the antitrust laws.
Antitrust law does not generally apply where a state is actively
regulating an industry. This is as it should be and the legislation I
introduce today, the Insurance Industry Antitrust Act of 2006,
incorporates that standard.
The Judiciary Committee held a hearing on this issue in May.
During the hearing, Marc Racicot, the President of the American
Insurance Association, a trade association composed of the nation's
largest insurers, acknowledged that ``every State provides some form of
antitrust regulation of insurers.'' In other words, many States already
enforce their State antitrust laws with respect to insurers. So, I have
to ask, why have we tied the hands of federal antitrust enforcers?
The insurers will argue that repealing the antitrust exemption for
insurers will create uncertainty by throwing into question the legality
of every joint practice engaged in by insurers. They will argue that
the legality of each joint practice will have to be litigated in court.
However, this bill has been drafted to avoid such litigation. Rather
than incorporating a laundry list of safe harbors, an approach that was
taken in the past, the bill would allow the Federal Trade Commission to
issue guidelines identifying joint practices that do not raise
antitrust concerns and would therefore not face scrutiny from antitrust
enforcers.
This is a job for which the Commission is well equipped. In the past,
the Commission along with the Justice Department issued ``Statements of
Antitrust Enforcement Policy in Health Care.'' The Health Care
Statements identified joint conduct by health care providers that did
not raise antitrust concerns and therefore would likely escape scrutiny
by antitrust enforcers. The Health Care Statements were designed to
give health care providers certainty about the legality of their joint
conduct under the antitrust laws. Similar guidelines for the insurance
industry would provide insurers with certainty, but at the same time,
would ensure that joint practices that are anticompetitive receive
scrutiny from the antitrust enforcement agencies.
Although insurers oppose repeal of their antitrust exemption, others
support a repeal. In particular, the Antitrust Section of the American
Bar Association has long supported repeal. During the Judiciary
Committee's hearing, the current head of the Antitrust Section, Donald
Klawiter noted the Section's nearly 20-year history of supporting
repeal. Klawiter testified that ``the benefits of antitrust exemptions
almost never outweigh the potential harm imposed on society by the loss
of competition.'' At the same hearing, Robert Hunter, testifying on
behalf of the Consumer Federation of America, concluded that
``application of the antitrust laws to the insurance industry could
result in double-digit savings for America's insurance consumers.''
It is my hope that this legislation will bring the benefits of
competition to the insurance industry and to consumers. Too many
consumers are paying too much for insurance due to the collusive
atmosphere that exists in the insurance industry. This has become a
particular problem along the Gulf Coast, where insurers have shared
hurricane loss projections, which may result in double-digit premium
increases for Gulf Coast homeowners.
I strongly urge members who are concerned about industry exemption
from the antitrust laws and collusive insurance industry practices to
support this important piece of legislation. I ask unanimous consent
that the text of the bill be printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4025
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 ``Insurance Industry Antitrust
Enforcement Act of 2006''.
SEC. 2. AMENDMENTS.
Section 2(b) of the Act of March 9, 1945 (15 U.S.C.
1012(b)), commonly known as the McCarran-Ferguson Act, is
amended by--
(1) inserting ``section 5 of'' after ``Clayton Act, and'';
(2) inserting ``as section 5 relates to unfair methods of
competition,'' after ``Commission Act, as amended,'';
(3) striking ``to the extent that'' and all that follows
through ``law.'' and inserting the following: ``except to the
extent--
``(1) the conduct of a person engaged in the business of
insurance is undertaken pursuant to a clearly articulated
policy of a State that is actively supervised by that State;
or
``(2) the conduct involves a third party not engaged in the
business of insurance--
``(A) that collects, compiles or disseminates aggregated
historical loss data;
``(B) that develops and disseminates standardized insurance
policy forms, contracts addendums or language; or
``(C) that--
``(i) facilitates other joint conduct pursuant to
guidelines issued by the Federal Trade Commission or existing
law; and
``(ii) does not include--
``(I) exchanging information among competitors relating to
sales, profitability, prices, marketing, or distribution of
any product, process, or service that is not reasonably
required for the purposes enumerated in subparagraph (A) or
(B);
``(II) entering into any agreement or engaging in any other
conduct that would allocate a market with a competitor; or
``(III) entering into any agreement or conspiracy that
would set or restrain prices of any good or service.''; and
(4) adding at the end the following:
``Except as it relates to unfair methods of competition, the
Federal Trade Commission Act shall be applicable to the
business of insurance to the extent that such business is not
regulated by State law.'' .
Mr. LEAHY. Mr. President, I am pleased to join Senator Specter, along
with Senators Landrieu and Lott, in introducing the ``Insurance
Industry Antitrust Enforcement Act of 2006.''
In 1945, Congress passed the McCarran-Ferguson Act, giving the
insurance industry almost complete immunity from Federal antitrust
laws. The Act acknowledges the significant role States have in the
regulation of the business of insurance, and implements this policy by
preempting Federal antitrust laws which would intrude upon State
authority in the area.
Industry specific statutory exemptions from antitrust laws are rare,
and when they are enacted, it is important that we periodically revisit
them to ensure that the benefits of the exemption are not outweighed by
the potential harms that could be imposed on consumers from the loss of
competition. The McCarran-Ferguson Act is no exception and, for good
reason, has recently been revisited by the Senate Judiciary Committee.
At a recent hearing before the Committee, it became abundantly clear
that the McCarran-Ferguson Act is no
[[Page S10713]]
longer a justified or practical law; it is overly complex and stifles
competition. Recognizing that the insurance industry has unique
characteristics, including the dependence on collective claim and loss
data, Senator Specter and I drafted a bill to accommodate those
legitimate needs while still providing Federal regulators with the
tools to investigate and prevent collusion and other anticompetitive
behaviors. More specifically, our bill authorizes Federal enforcement
agencies to police violations of antitrust laws, without weakening the
States' comprehensive regulatory power.
American consumers, from sophisticated multi-national businesses to
Vermonters shopping for personal insurance, have the right to be
confident that the cost of their insurance reflects competitive market
conditions and not collusive behavior. Yet, when consumers are
continually faced with higher prices, fewer options, and declining
quality of service from their insurance providers, there are no such
assurances.
There is little disagreement that consumers are increasingly
frustrated with the cost and quality of their insurance policies. This
bill is an important step towards restoring integrity in our insurance
markets. I hope it will act as a catalyst for action to ensure market
forces are at work in the insurance industry.
______
By Mr. GRASSLEY (for himself and Mr. Baucus):
S. 4026. A bill to amend the Internal Revenue Code of 1986 to make
technical corrections, and for other purposes; to the Committee on
Finance.
Mr. GRASSLEY. Mr. President, today Senator Baucus and I are pleased
to introduce the Tax Technical Corrections Act of 2006.
Technical Corrections measures are routine for major tax acts, and
are necessary to ensure that the provisions of the acts are working
consistently with Congressional intent, or to provide clerical
corrections. Because these measures carry out Congressional intent, no
revenue gain or loss is scored from them.
Technical corrections are derived from a deliberative and
consultative process among the Congressional and Administration tax
staffs. That means the Republican and Democratic staffs of the House
Ways and Means and Senate Finance Committees are involved, as is the
staff of the Treasury Department. All of this work is performed with
the participation and guidance of the non-partisan staff of the Joint
Committee on Taxation. A technical enters the list only if all staffs
agree it is appropriate.
By filing this bill, we hope interested parties and practitioners
will comment and provide direction on further edits, additions, or
deletions. These comments should be submitted in a timely manner, by
the end of October. It is our hope that we may move this package of
technicals in November if possible.
We ask unanimous consent that the text of the bill print in the
Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4026
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF
CONTENTS.
(a) Short Title.--This Act may be cited as the ``Tax
Technical Corrections Act of 2006''.
(b) Amendment of 1986 Code.--Except as otherwise expressly
provided, whenever in this Act an amendment or repeal is
expressed in terms of an amendment to, or repeal of, a
section or other provision, the reference shall be considered
to be made to a section or other provision of the Internal
Revenue Code of 1986.
(c) Table of Contents.--The table of contents of this Act
is as follows:
Sec. 1. Short title; amendment of 1986 Code; table of contents.
Sec. 2. Amendments related to the Tax Increase Prevention and
Reconciliation Act of 2005.
Sec. 3. Amendment related to the Gulf Opportunity Zone Act of 2005.
Sec. 4. Amendments related to the Safe, Accountable, Flexible,
Efficient Transportation Equity Act: A Legacy for Users.
Sec. 5. Amendments related to the Energy Policy Act of 2005.
Sec. 6. Amendments related to the American Jobs Creation Act of 2004.
Sec. 7. Amendment related to the Jobs and Growth Tax Relief
Reconciliation Act of 2003.
Sec. 8. Amendments related to the Economic Growth and Tax Relief
Reconciliation Act of 2001.
Sec. 9. Amendment related to the Tax Relief Extension Act of 1999.
Sec. 10. Amendment related to the Internal Revenue Service
Restructuring and Reform Act of 1998.
Sec. 11. Clerical corrections.
SEC. 2. AMENDMENTS RELATED TO THE TAX INCREASE PREVENTION AND
RECONCILIATION ACT OF 2005.
(a) Amendments Related to Section 103 of the Act.--
(1) Subparagraph (A) of section 954(c)(6) is amended--
(A) in the first sentence, by striking ``which is not
subpart F income'' and inserting ``which is neither subpart F
income nor income treated as effectively connected with the
conduct of a trade or business in the United States'', and
(B) by striking the last sentence and inserting the
following: ``The Secretary shall prescribe such regulations
as may be necessary or appropriate to carry out this
paragraph, including such regulations as may be necessary or
appropriate to prevent the abuse of the purposes of this
paragraph.''.
(2) Paragraph (6) of section 954(c) is amended by
redesignating subparagraph (B) as subparagraph (C) and
inserting after subparagraph (A) the following new
subparagraph:
``(B) Exception.--Subparagraph (A) shall not apply in the
case of any interest, rent, or royalty to the extent such
interest, rent, or royalty creates (or increases) a deficit
which under section 952(c) may reduce the subpart F income of
the payor or another controlled foreign corporation.''.
(b) Amendments Related to Section 202 of the Act.--
(1) Subparagraph (B) of section 355(b)(3) is amended to
read as follows:
``(B) Affiliated group rule.--
``(i) In general.--For purposes of subparagraph (A), all
members of such corporation's separate affiliated group shall
be treated as one corporation.
``(ii) Separate affiliated group.--For purposes of clause
(i), the term `separate affiliated group' means, with respect
to any corporation, the affiliated group which would be
determined under section 1504(a) if such corporation were the
common parent and section 1504(b) did not apply. Such term
shall not include any corporation which became a member of--
``(I) such separate affiliated group (determined without
regard to this sentence), or
``(II) any other separate affiliated group (determined
without regard to this sentence) which includes any other
corporation to which subparagraph (A) applies with respect to
the same distribution,
during the 5-year period described in paragraph (2)(B) by
reason of one or more transactions in which gain or loss was
recognized in whole or in part (and shall not include any
trade or business conducted by such corporation at the time
it became such a member).''.
(2) Paragraph (3) of section 355(b) is amended by adding at
the end the following new subparagraph:
``(E) Regulations.--The Secretary shall prescribe
regulations which provide for the proper application of
subparagraphs (B), (C), and (D) of paragraph (2) with respect
to distributions to which this paragraph applies.''.
(c) Amendments Related to Section 515 of the Act.--
Paragraph (2) of section 911(f) is amended--
(1) by striking ``the tentative minimum tax under section
55'' in the matter preceding subparagraph (A) and inserting
``the amount determined under the first sentence of section
55(b)(1)(A)(i)'', and
(2) by striking ``the amount which would be such tentative
minimum tax'' each place it appears in subparagraphs (A) and
(B) and inserting ``the amount which would be determined
under such sentence''.
(d) Effective Date.--The amendments made by this section
shall take effect as if included in the provisions of the Tax
Increase Prevention and Reconciliation Act of 2005 to which
they relate.
SEC. 3. AMENDMENT RELATED TO THE GULF OPPORTUNITY ZONE ACT OF
2005.
(a) Amendment Related to Section 303 of the Act.--Clause
(iii) of section 903(d)(2)(B) of the American Jobs Creation
Act of 2004, as amended by section 303 of the Gulf
Opportunity Zone Act of 2005, is amended by inserting ``or
the Secretary's delegate'' after ``The Secretary of the
Treasury''.
(b) Effective Date.--The amendment made by this section
shall take effect as if included in section 303 of the Gulf
Opportunity Zone Act of 2005.
SEC. 4. AMENDMENTS RELATED TO THE SAFE, ACCOUNTABLE,
FLEXIBLE, EFFICIENT TRANSPORTATION EQUITY ACT:
A LEGACY FOR USERS.
(a) Amendments Related to Section 11113 of the Act.--
Paragraph (3) of section 6427(i) is amended--
(1) by inserting ``or under subsection (e)(2) by any person
with respect to an alternative fuel (as defined in section
6426(d)(2))'' after ``section 6426'' in subparagraph (A),
(2) by inserting ``or (e)(2)'' after ``subsection (e)(1)''
in subparagraphs (A)(i) and (B), and
(3) by inserting ``and alternative fuel credit'' after
``mixture credit'' in the heading thereof.
(b) Effective Date.--The amendments made by this section
shall take effect as if included in the provisions of the
SAFETEA-LU to which they relate.
[[Page S10714]]
SEC. 5. AMENDMENTS RELATED TO THE ENERGY POLICY ACT OF 2005.
(a) Amendment Related to Section 1306 of the Act.--
Paragraph (2) of section 45J(b) is amended to read as
follows:
``(2) Amount of national limitation.--The aggregate amount
of national megawatt capacity limitation allocated by the
Secretary under paragraph (3) shall not exceed 6,000
megawatts.''.
(b) Amendment Related to Section 1342 of the Act.--So much
of subsection (b) of section 30C as precedes paragraph (1)
thereof is amended to read as follows:
``(b) Limitation.--The credit allowed under subsection (a)
with respect to all alternative fuel vehicle refueling
property placed in service by the taxpayer during the taxable
year at a location shall not exceed--''.
(c) Amendments Related to Section 1351 of the Act.--
(1) Paragraph (3) of section 41(a) is amended by inserting
``for energy research'' before the period at the end.
(2) Paragraph (6) of section 41(f) is amended by adding at
the end the following new subparagraph:
``(E) Energy research.--The term `energy research' does not
include any research which is not qualified research.''.
(d) Amendments Related to Section 1362 of the Act.--
(1)(A) Paragraph (1) of section 4041(d) is amended by
adding at the end the following new sentence: ``No tax shall
be imposed under the preceding sentence on the sale or use of
any liquid if tax was imposed with respect to such liquid
under section 4081 at the Leaking Underground Storage Tank
Trust Fund financing rate.''.
(B) Paragraph (3) of section 4042(b) is amended to read as
follows:
``(3) Exception for fuel on which leaking underground
storage tank trust fund financing rate separately imposed.--
The Leaking Underground Storage Tank Trust Fund financing
rate under paragraph (2)(B) shall not apply to the use of any
fuel if tax was imposed with respect to such fuel under
section 4041(d) or 4081 at the Leaking Underground Storage
Tank Trust Fund financing rate.''.
(C) Notwithstanding section 6430 of the Internal Revenue
Code of 1986, a refund, credit, or payment may be made under
subchapter B of chapter 65 of such Code for taxes imposed
with respect to any liquid after September 30, 2005, and
before the date of the enactment of this Act under section
4041(d)(1) or 4042 of such Code at the Leaking Underground
Storage Tank Trust Fund financing rate to the extent that tax
was imposed with respect to such liquid under section 4081 at
the Leaking Underground Storage Tank Trust Fund financing
rate.
(2)(A) Paragraph (5) of section 4041(d) is amended--
(i) by striking ``(other than with respect to any sale for
export under paragraph (3) thereof)'', and
(ii) by adding at the end the following new sentence: ``The
preceding sentence shall not apply with respect to subsection
(g)(3) and so much of subsection (g)(1) as relates to vessels
(within the meaning of section 4221(d)(3)) employed in
foreign trade or trade between the United States and any of
its possessions.''
(B) Section 4082 is amended--
(i) by striking ``(other than such tax at the Leaking
Underground Storage Tank Trust Fund financing rate imposed in
all cases other than for export)'' in subsection (a), and
(ii) by redesignating subsections (f) and (g) as
subsections (g) and (h) and by inserting after subsection (e)
the following new subsection:
``(f) Exception for Leaking Underground Storage Tank Trust
Fund Financing Rate.--
``(1) In general.--Subsection (a) shall not apply to the
tax imposed under section 4081 at the Leaking Underground
Storage Tank Trust Fund financing rate.
``(2) Exception for export, etc.--Paragraph (1) shall not
apply with respect to any fuel if the Secretary determines
that such fuel is destined for export or for use by the
purchaser as supplies for vessels (within the meaning of
section 4221(d)(3)) employed in foreign trade or trade
between the United States and any of its possessions.''.
(C) Subsection (e) of section 4082 is amended--
(i) by striking ``an aircraft, the rate of tax under
section 4081(a)(2)(A)(iii) shall be zero.'' and inserting
``an aircraft--
``(1) the rate of tax under section 4081(a)(2)(A)(iii)
shall be zero, and
``(2) if such aircraft is employed in foreign trade or
trade between the United States and any of its possessions,
the increase in such rate under section 4081(a)(2)(B) shall
be zero.''; and
(ii) by moving the last sentence flush with the margin of
such subsection (following the paragraph (2) added by clause
(i)).
(D) Section 6430 is amended to read as follows:
``SEC. 6430. TREATMENT OF TAX IMPOSED AT LEAKING UNDERGROUND
STORAGE TANK TRUST FUND FINANCING RATE.
``No refunds, credits, or payments shall be made under this
subchapter for any tax imposed at the Leaking Underground
Storage Tank Trust Fund financing rate, except in the case of
fuels--
``(1) which are exempt from tax under section 4081(a) by
reason of section 4081(f)(2),
``(2) which are exempt from tax under section 4041(d) by
reason of the last sentence of paragraph (5) thereof, or
``(3) with respect to which the rate increase under section
4081(a)(2)(B) is zero by reason of section 4082(e)(2).''.
(3) Paragraph (5) of section 4041(d) is amended by
inserting ``(b)(1)(A)'' after ``subsections''.
(e) Effective Date.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall take
effect as if included in the provisions of the Energy Policy
Act of 2005 to which they relate.
(2) Nonapplication of exemption for off-highway business
use.--The amendment made by subsection (d)(3) shall apply to
fuel sold for use or used after the date of the enactment of
this Act.
(3) Amendment made by the safetea-lu.--The amendment made
by subsection (d)(2)(C)(ii) shall take effect as if included
in section 11161 of the SAFETEA-LU.
SEC. 6. AMENDMENTS RELATED TO THE AMERICAN JOBS CREATION ACT
OF 2004.
(a) Amendments Related to Section 710 of the Act.--
(1) Clause (ii) of section 45(c)(3)(A) is amended by
striking ``which is segregated from other waste materials
and''.
(2) Subparagraph (B) of section 45(d)(2) is amended by
inserting ``and'' at the end of clause (i), by striking
clause (ii), and by redesignating clause (iii) as clause
(ii).
(b) Amendments Related to Section 848 of the Act.--
(1) Section 470 is amended by redesignating subsections
(e), (f), and (g) as subsections (f), (g), and (h) and by
inserting after subsection (d) the following new subsection:
``(e) Exception for Certain Partnerships.--
``(1) In general.--In the case of any property which would
(but for this subsection) be tax-exempt use property solely
by reason of section 168(h)(6), such property shall not be
treated as tax-exempt use property for purposes of this
section for any taxable year of the partnership if--
``(A) such property is not property of a character subject
to the allowance for depreciation,
``(B) any credit is allowable under section 42 or 47 with
respect to such property, or
``(C) except as provided in regulations prescribed by the
Secretary under subsection (h)(4), the requirements of
paragraphs (2) and (3) are met with respect to such property
for such taxable year.
``(2) Availability of funds.--
``(A) In general.--The requirement of this paragraph is met
for any taxable year with respect to any property owned by
the partnership if (at all times during the taxable year) not
more than the allowable partnership amount of funds are--
``(i) subject to any arrangement referred to in
subparagraph (C), or
``(ii) set aside or expected to be set aside,
to or for the benefit of any taxable partner of the
partnership or any lender, or to or for the benefit of any
tax-exempt partner of the partnership to satisfy any
obligation of such tax-exempt partners to the partnership,
any taxable partner of the partnership, or any lender.
``(B) Allowable partnership amount.--For purposes of this
subsection, the term `allowable partnership amount' means, as
of any date, the greater of--
``(i) the sum of--
``(I) 20 percent of the sum of the taxable partners'
capital accounts determined as of such date under the rules
of section 704(b), plus
``(II) 20 percent of the sum of the taxable partners' share
of the recourse liabilities of the partnership as determined
under section 752, or
``(ii) 20 percent of the aggregate debt of the partnership
as of such date.
``(iii) No allowable partnership amount for arrangements
outside the partnership.--The allowable partnership amount
shall be zero with respect to any set aside or arrangement
under which any of the funds referred to in subparagraph (A)
are not partnership property.
``(C) Arrangements.--The arrangements referred to in this
subparagraph include a loan by a tax-exempt partner or the
partnership to any taxable partner, the partnership, or any
lender and any arrangement referred to in subsection
(d)(1)(B).
``(D) Special rules.--
``(i) Exception for short-term funds.--Funds which are set
aside, or subject to any arrangement, for a period of less
than 12 months shall not be taken into account under
subparagraph (A). Except as provided by the Secretary, all
related set asides and arrangements shall be treated as 1
arrangement for purposes of this clause.
``(ii) Economic relationship test.--Funds shall not be
taken into account under subparagraph (A) if such funds--
``(I) bear no connection to the economic relationships
among the partners, and
``(II) bear no connection to the economic relationships
among the partners and the partnership.
``(iii) Reasonable person standard.--For purpose of
subparagraph (A)(ii), funds shall be treated as set aside or
expected to be set aside only if a reasonable person would
conclude, based on the facts and circumstances, that such
funds are set aside or expected to be set aside.
``(3) Option to purchase.--
``(A) In general.--The requirement of this paragraph is met
for any taxable year with respect to any property owned by
the partnership if (at all times during such taxable year)--
[[Page S10715]]
``(i) each tax-exempt partner does not have an option to
purchase (or compel distribution of) such property or any
direct or indirect interest in the partnership at any time
other than at the fair market value of such property or
interest at the time of such purchase or distribution, and
``(ii) the partnership and each taxable partner does not
have an option to sell (or compel distribution of) such
property or any direct or indirect interest in the
partnership to a tax-exempt partner at any time other than at
the fair market value of such property or interest at the
time of such sale or distribution.
``(B) Option for determination of fair market value.--Under
regulations prescribed by the Secretary, a value of property
determined on the basis of a formula shall be treated for
purposes of subparagraph (A) as the fair market value of such
property if such value is determined on the basis of
objective criteria that are reasonably designed to
approximate the fair market value of such property at the
time of the purchase, sale, or distribution, as the case may
be.''.
(2) Subsection (g) of section 470, as redesignated by
paragraph (1), is amended by adding at the end the following
new paragraphs:
``(5) Tax-exempt partner.--The term `tax-exempt partner'
means, with respect to any partnership, any partner of such
partnership which is a tax-exempt entity within the meaning
of section 168(h)(6).
``(6) Taxable partner.--The term `taxable partner' means,
with respect to any partnership, any partner of such
partnership which is not a tax-exempt partner.''.
(3) Subsection (h) of section 470, as redesignated by
paragraph (1), is amended--
(A) by striking ``, and'' at the end of paragraph (1) and
inserting ``or owned by the same partnership,'',
(B) by striking the period at the end of paragraph (2) and
inserting a comma, and
(C) by adding at the end the following new paragraphs:
``(3) provide for the application of this section to tiered
and other related partnerships, and
``(4) provide for the treatment of partnership property
(other than property described in subsection (e)(1)(A)) as
tax-exempt use property if such property is used in an
arrangement which is inconsistent with the purposes of this
section determined by taking into account one or more of the
following factors:
``(A) A tax-exempt partner maintains physical possession or
control or holds the benefits and burdens of ownership with
respect to such property.
``(B) There is insignificant equity investment in such
property by any taxable partner.
``(C) The transfer of such property to the partnership does
not result in a change in use of such property.
``(D) Such property is necessary for the provision of
government services.
``(E) The deductions for depreciation with respect to such
property are allocated disproportionately to one or more
taxable partners relative to such partner's risk of loss with
respect to such property or to such partner's allocation of
other partnership items.
``(F) Such other factors as the Secretary may determine.''.
(4) Paragraph (2) of section 470(c) is amended--
(A) by striking ``and'' at the end of subparagraph (A), by
redesignating subparagraph (B) as subparagraph (C), and by
inserting after subparagraph (A) the following new
subparagraph:
``(B) by treating the entire property as tax-exempt use
property if any portion of such property is treated as tax-
exempt use property by reason of paragraph (6) thereof.'',
and
(B) by striking the flush sentence at the end.
(5) Subparagraph (A) of section 470(d)(1) is amended by
striking ``(at any time during the lease term)'' and
inserting ``(at all times during the lease term)''.
(c) Amendments Related to Section 888 of the Act.--
(1) Subparagraph (A) of section 1092(a)(2) is amended by
striking ``and'' at the end of clause (ii), by redesignating
clause (iii) as clause (iv), and by inserting after clause
(ii) the following new clause:
``(iii) if the application of clause (ii) does not result
in an increase in the basis of any offsetting position in the
identified straddle, the basis of each of the offsetting
positions in the identified straddle shall be increased in a
manner which--
``(I) is reasonable, consistent with the purposes of this
paragraph, and consistently applied by the taxpayer, and
``(II) results in an aggregate increase in the basis of
such offsetting positions which is equal to the loss
described in clause (ii), and''.
(2)(A) Subparagraph (B) of section 1092(a)(2) is amended by
adding at the end the following flush sentence:
``A straddle shall be treated as clearly identified for
purposes of clause (i) only if such identification includes
an identification of the positions in the straddle which are
offsetting with respect other positions in the straddle.''.
(B) Subparagraph (A) of section 1092(a)(2) is amended--
(i) by striking ``identified positions'' in clause (i) and
inserting ``positions'',
(ii) by striking ``identified position'' in clause (ii) and
inserting ``position'', and
(iii) by striking ``identified offsetting positions'' in
clause (ii) and inserting ``offsetting positions''.
(C) Subparagraph (B) of section 1092(a)(3) is amended by
striking ``identified offsetting position'' and inserting
``offsetting position''.
(3) Paragraph (2) of section 1092(a) is amended by
redesignating subparagraph (C) as subparagraph (D) and
inserting after subparagraph (B) the following new
subparagraph:
``(C) Application to liabilities and obligations.--Except
as otherwise provided by the Secretary, rules similar to the
rules of clauses (ii) and (iii) of subparagraph (A) shall
apply for purposes of this paragraph with respect to any
position which is, or has been, a liability or obligation.''.
(4) Subparagraph (D) of section 1092(a)(2), as redesignated
by paragraph (3), is amended by inserting ``the rules for the
application of this section to a position which is or has
been a liability or obligation, methods of loss allocation
which satisfy the requirements of subparagraph (A)(iii),''
before ``and the ordering rules''.
(d) Effective Date.--The amendments made by this section
shall take effect as if included in the provisions of the
American Jobs Creation Act of 2004 to which they relate.
SEC. 7. AMENDMENT RELATED TO THE JOBS AND GROWTH TAX RELIEF
RECONCILIATION ACT OF 2003.
(a) Amendment Related to Section 302 of the Act.--Clause
(ii) of section 1(h)(11)(B) is amended by striking ``and'' at
the end of subclause (II), by striking the period at the end
of subclause (III) and inserting ``, and'', and by adding at
the end the following new subclause:
``(IV) any dividend received from a corporation which is a
DISC or former DISC (as defined in section 992(a)) to the
extent such dividend is paid out of the corporation's
accumulated DISC income or is a deemed distribution pursuant
to section 995(b)(1).''.
(b) Effective Date.--The amendment made by this section
shall apply to dividends received on or after September 29,
2006, in taxable years ending after such date.
SEC. 8. AMENDMENTS RELATED TO THE ECONOMIC GROWTH AND TAX
RELIEF RECONCILIATION ACT OF 2001.
(a) Amendments Related to Section 617 of the Act.--
(1) Subclause (II) of section 402(g)(7)(A)(ii) is amended
by striking ``for prior taxable years'' and inserting
``permitted for prior taxable years by reason of this
paragraph''.
(2) Subparagraph (A) of section 3121(v)(1) is amended by
inserting ``or consisting of designated Roth contributions
(as defined in section 402A(c))'' before the comma at the
end.
(b) Effective Date.--The amendments made by this section
shall take effect as if included in the provisions of the
Economic Growth and Tax Relief Reconciliation Act of 2001 to
which they relate.
SEC. 9. AMENDMENT RELATED TO THE TAX RELIEF EXTENSION ACT OF
1999.
(a) Amendment Related to Section 507 of the Act.--Clause
(i) of section 45(e)(7)(A) is amended by striking ``placed in
service by the taxpayer'' and inserting ``originally placed
in service''.
(b) Effective Date.--The amendment made by this section
shall take effect as if included in section 507 of the Tax
Relief Extension Act of 1999.
SEC. 10. AMENDMENT RELATED TO THE INTERNAL REVENUE SERVICE
RESTRUCTURING AND REFORM ACT OF 1998.
(a) Amendment Related to Section 3509 of the Act.--
Paragraph (3) of section 6110(i) is amended by inserting
``and related background file documents'' after ``Chief
Counsel advice'' in the matter preceding subparagraph (A).
(b) Effective Date.--The amendment made by this section
shall take effect as if included in the provision of the
Internal Revenue Service Restructuring and Reform Act of 1998
to which it relates.
SEC. 11. CLERICAL CORRECTIONS.
(a) In General.--
(1) Paragraph (5) of section 21(e) is amended by striking
``section 152(e)(3)(A)'' in the flush matter after
subparagraph (B) and inserting ``section 152(e)(4)(A)''.
(2) Paragraph (3) of section 25C(c) is amended by striking
``section 3280'' and inserting ``part 3280''.
(3) Subsection (a) of section 34 is amended--
(A) in paragraph (1), by striking ``with respect to
gasoline used during the taxable year on a farm for farming
purposes'',
(B) in paragraph (2), by striking ``with respect to
gasoline used during the taxable year (A) otherwise than as a
fuel in a highway vehicle or (B) in vehicles while engaged in
furnishing certain public passenger land transportation
service'', and
(C) in paragraph (3), by striking ``with respect to fuels
used for nontaxable purposes or resold during the taxable
year''.
(4) Paragraph (2) of section 35(d) is amended--
(A) by striking ``paragraph (2) or (4) of'', and
(B) by striking ``(within the meaning of section
152(e)(1))'' and inserting ``(as defined in section
152(e)(4)(A))''.
(5) Paragraph (24) of section 38(b) is amended by striking
``and'' at the end.
(6) Paragraphs (2) and (3) of section 45L(c) are each
amended by striking ``section 3280'' and inserting ``part
3280''.
(7) Clause (ii) of section 48A(d)(4)(B) is amended by
striking ``subsection'' both places it appears.
[[Page S10716]]
(8) The last sentence of section 125(b)(2) is amended by
striking ``last sentence'' and inserting ``second sentence''.
(9) Subclause (II) of section 167(g)(8)(C)(ii) is amended
by striking ``section 263A(j)(2)'' and inserting ``section
263A(i)(2)''.
(10) Subparagraph (G) of section 1260(c)(2) is amended by
adding ``and'' at the end.
(11) Paragraph (2) of section 1297(a) is amended by
striking ``subsection (e)'' and inserting ``subsection (f)''.
(12) Paragraph (2) of section 1400O is amended by striking
``under of'' and inserting ``under''.
(13) The table of sections for part II of subchapter Y of
chapter 1 is amended by adding at the end the following new
item:
``Sec. 1400T. Special rules for mortgage revenue bonds.''.
(14) Subsection (b) of section 4082 is amended to read as
follows:
``(b) Nontaxable Use.--For purposes of this section, the
term `nontaxable use' means--
``(1) any use which is exempt from the tax imposed by
section 4041(a)(1) other than by reason of a prior imposition
of tax,
``(2) any use in a train, and
``(3) any use described in section 4041(a)(1)(C)(iii)(II).
The term `nontaxable use' does not include the use of
kerosene in an aircraft and such term shall not include any
use described in section 6421(e)(2)(C).''.
(15) Paragraph (4) of section 4101(a) (relating to
registration in event of change of ownership) is redesignated
as paragraph (5).
(16) Paragraph (6) of section 4965(c) is amended by
striking ``section 4457(e)(1)(A)'' and inserting ``section
457(e)(1)(A)''.
(17) Subpart C of part II of subchapter A of chapter 51 is
amended by redesignating section 5432 (relating to
recordkeeping by wholesale dealers) as section 5121.
(18) Paragraph (2) of section 5732(c), as redesignated by
section 11125(b)(20)(A) of the SAFETEA-LU, is amended by
striking ``this subpart'' and inserting ``this subchapter''.
(19) Paragraph (3) of section 6427(e) (relating to
termination), as added by section 11113 of the SAFETEA-LU, is
redesignated as paragraph (5) and moved after paragraph (4).
(20) Clause (ii) of section 6427(l)(4)(A) is amended by
striking ``section 4081(a)(2)(iii)'' and inserting ``section
4081(a)(2)(A)(iii)''.
(21)(A) Section 6427, as amended by section 1343(b)(1) of
the Energy Policy Act of 2005, is amended by striking
subsection (p) and redesignating subsection (q) as subsection
(p).
(B) The Internal Revenue Code of 1986 shall be applied and
administered as if the amendments made by paragraph (2) of
section 11151(a) of the SAFETEA-LU had never been enacted.
(22)(A) Paragraph (3) of section 9002 is amended by
striking ``section 309(a)(1)'' and inserting ``section
306(a)(1)''.
(B) Paragraph (1) of section 9004(a) is amended by striking
``section 320(b)(1)(B)'' and inserting ``section
315(b)(1)(B)''.
(C) Paragraph (3) of section 9032 is amended by striking
``section 309(a)(1)'' and inserting ``section 306(a)(1)''.
(D) Subsection (b) of section 9034 is amended by striking
``section 320(b)(1)(A)'' and inserting ``section
315(b)(1)(A)''.
(23) Section 9006 is amended by striking ``Comptroller
General'' each place it appears and inserting ``Commission''.
(24) Subsection (c) of section 9503 is amended by
redesignating paragraph (7) (relating to transfers from the
trust fund for certain aviation fuels taxes) as paragraph
(6).
(25) Paragraph (1) of section 1301(g) of the Energy Policy
Act of 2005 is amended by striking ``shall take effect of the
date of the enactment'' and inserting ``shall take effect on
the date of the enactment''.
(b) Clerical Amendments Related to the Gulf Opportunity
Zone Act of 2005.--
(1) Amendments related to section 402 of the act.--
Subparagraph (B) of section 24(d)(1) is amended--
(A) by striking ``the excess (if any) of'' in the matter
preceding clause (i) and inserting ``the greater of'', and
(B) by striking ``section'' in clause (ii)(II) and
inserting ``section 32''.
(2) Effective date.--The amendments made by this subsection
shall take effect as if included in the provisions of the
Gulf Opportunity Zone Act of 2005 to which they relate.
(c) Clerical Amendments Related to the Safe, Accountable,
Flexible, Efficient Transportation Equity Act: A Legacy for
Users.--
(1) Amendments related to section 11163 of the act.--
Subparagraph (C) of section 6416(a)(4) is amended--
(A) by striking ``ultimate vendor'' and all that follows
through ``has certified'' and inserting ``ultimate vendor or
credit card issuer has certified'', and
(B) by striking ``all ultimate purchasers of the vendor''
and all that follows through ``are certified'' and inserting
``all ultimate purchasers of the vendor or credit card issuer
are certified''.
(2) Effective date.--The amendments made by this subsection
shall take effect as if included in the provisions of the
Safe, Accountable, Flexible, Efficient Transportation Equity
Act: A Legacy for Users to which they relate.
(d) Clerical Amendments Related to the Energy Policy Act of
2005.--
(1) Amendment related to section 1344 of the act.--
Subparagraph (B) of section 6427(e)(5), as redesignated by
subsection (a)(19), is amended by striking ``2006'' and
inserting ``2008''.
(2) Amendments related to section 1351 of the act.--
Subparagraphs (A)(ii) and (B)(ii) of section 41(f)(1) are
each amended by striking ``qualified research expenses and
basic research payments'' and inserting ``qualified research
expenses, basic research payments, and amounts paid or
incurred to energy research consortiums,''.
(3) Effective date.--The amendments made by this subsection
shall take effect as if included in the provisions of the
Energy Policy Act of 2005 to which they relate.
______
By Mr. HATCH.
S. 4027. A bill to amend the Internal Revenue Code of 1986 to allow
an above-the-line deduction for certain professional development and
other expenses of elementary and secondary school teachers and for
certain certification expenses of individuals becoming science,
technology engineering, or math teachers; to the Committee on Finance.
Mr. HATCH. Mr. President, I rise today to introduce legislation
designed to make the tax laws more fair for America's primary and
secondary school teachers.
Our public school teachers are some of the unheralded heroes of our
society.
These women and men dedicate their careers to educating the young
people of America.
School teachers labor in often difficult and even dangerous
circumstances. In most places, including in my home State of Utah, the
salary of the average public school teacher is significantly below the
national average.
A historic turnover is taking place in the teaching profession. While
student enrollments are rising rapidly, more than a million veteran
teachers are nearing retirement.
Experts predict that overall we will need more than two million new
teachers in the next decade.
This teacher recruitment problem has reached crisis proportions in
some urban and rural areas. The shortage is most acute in high-need
subject areas such as math, science, and technology.
Retaining qualified teachers in the schools is only part of the
puzzle. Attracting new teachers in math, science, and technology is
another. It is clear that our teacher recruitment problem represents
one the biggest challenges America faces as we contemplate how we are
going to prepare the next generation to take their places in our
society and in our economy.
Unfortunately, these problems of retention and recruitment of public
school teachers are exacerbated by the unfair tax treatment these
professionals currently receive under our tax law. Specifically,
teachers find themselves greatly disadvantaged by the lack of
deductibility of professional development expenses and of the out-of-
pocket costs of classroom materials that practically all teachers find
themselves supplying. Let me explain.
As many other professionals, most elementary and secondary school
teachers regularly incur expenses to keep themselves current in their
field of knowledge. These include subscriptions to journals and other
periodicals as well as the cost of courses and seminars designed to
improve their knowledge or teaching skills. These expenditures are
necessary to keep our teachers up to date on the latest ideas,
techniques, and trends so that they can provide our children with the
best education possible.
Furthermore, almost all teachers find themselves providing basic
classroom materials for their students. Because of tight education
budgets, most schools do not provide 100 percent of the material
teachers need to adequately present their lessons. As a result,
dedicated teachers incur personal expenses for copies, art supplies,
books, puzzles and games, paper, pencils, and countless other needs. If
not for the willingness of teachers to purchase these supplies
themselves, many students would simply go without needed materials.
I realize that employees in many fields of endeavor incur expenses
for professional development and out-of-pocket expenses. In many cases,
however, these costs are fully reimbursed by the employer. This is
seldom the case with school teachers. Other professionals who are self-
employed are able to fully deduct these types of expenses.
Under the current tax law, unreimbursed employee expenses are
deductible generally, but only as miscellaneous itemized deductions.
However,
[[Page S10717]]
there are two practical hurdles that effectively make these expenses
non-deductible for most teachers.
The first hurdle is that the total amount of a taxpayer's deductible
miscellaneous deductions must exceed two percent of adjusted gross
income before they begin to be deductible.
The second hurdle is that the amount in excess of the two percent
floor, if any, combined with all other deductions of the taxpayer, must
exceed the standard deduction before the teacher can itemize. Only
about a third of taxpayers have enough deductions to itemize.
The unfortunate effect of these two limitations is that, as a
practical matter, only a small proportion of teachers are able to
deduct their professional development and out-of-pocket supplies
expenses.
Let me illustrate this unfair situation with an example.
Let us consider the case of a fifth-year high school English teacher
in Utah whom I will call Alice White Head. Alice is single and earns
$48,000 per year. Last year she incurred $1,050 for a course she took
over the summer to increase her knowledge of English literature. She
also spent $450 for classroom supplies out of her own pocket. She was
not reimbursed for either of these expenses, which totaled $1,500, by
her school district. Under current law, Alice's expenditures are
deductible, subject to the limitations I mentioned. The first
limitation is that her expenses must exceed two percent of her income
before they begin to be deductible. Two percent of $48,000 is $960.
Thus, only $540 of her $1,500 total expenses is deductible, that
portion that exceeds $960.
As a single taxpayer, Alice's standard deduction for 2006 is $5,150.
Her total itemized deductions, including the $540 in miscellaneous
deductions for her professional expenses and out-of-pocket classroom
supplies, fall short of the standard deduction threshold. Therefore,
not even the $540 of the original $1,500 in professional development
expenses and out-of-pocket costs are deductible for Alice. What the
first limitation did not block, the second one did, and Alice gets no
deduction at all under the current law.
The way I see it, this situation is just not fair. Also, the tax
treatment of teacher's expenses certainly does not help solve our
teacher retention and recruitment problems.
To help alleviate this long-standing problem, five years ago I
introduced the Teacher Equity for School Teachers Act of 2001. This
legislation would have provided an unlimited tax deduction for the out-
of-pocket expenses of school teachers for classroom supplies and other
needed materials to help a teacher do his or her job. The bill would
have also allowed teachers to take a deduction for their professional
development expenses.
Rather than being available only for those who are able to itemize
their deductions, this bill would have made these expenses ``above-the-
line'' deductions, meaning they would be deductible whether or not the
teacher itemized on their tax return.
Unfortunately, only a part of this bill was enacted. The 2001 tax
bill included an above-the-line deduction for $250 for the costs of
classroom expenses. While this was a great step in the right direction,
it did not go nearly far enough. Moreover, the provision has now
expired, and it is not clear when Congress is going to extend it.
The bill I am introducing today would do three things. First, it
would reinstate the above-the-line deduction for teachers' out-of-
pocket expenses for classroom supplies, make it permanent, and remove
the $250 cap. Second, it would provide an unlimited deduction for the
professional development expenses for school teachers. Finally, to
assist in the recruitment of teachers in the most needed fields, it
would provide an unlimited deduction for the cost of professionals in
the fields of math, science, and technology to certify to become public
school teachers.
Under my bill, the Alice of my example would be allowed to deduct all
$1,500 of her professional development and classroom supplies expenses,
whether she itemized or not. This would help provide tax equity, and a
measure of much-needed tax relief for an underpaid professional. It
would also help retain current public school teachers and attract new
ones to this vital field.
Some might argue that such a generous deduction would be giving
teachers preferential treatment. I disagree.
Most organizations provide training for their employees that is fully
deductible to the organization and non-taxable to the employee. Yet
public teachers, who are some of the most important professionals in
our society, are left to foot the bill for these needed costs on their
own. Also, office supplies and instructional materials are fully
deductible to businesses. Should not teachers who provide these similar
materials for their classrooms be afforded the same tax treatment?
Others may question the wisdom of my bill granting an unlimited tax
deduction. ``Why not place a limit or a cap on the amount that may be
deducted?'' some might ask. Again, I respectfully disagree with such
critics. It is important to keep in mind the differences between a tax
deduction and a tax credit. My bill calls for tax deductions, which
reduce the amount of income that is subject to tax, and not for a
credit, which is a dollar-for-dollar reduction in the amount of tax
that is due.
With a tax deduction, a public school teacher is not receiving a cash
subsidy or reimbursement for his or her expenses. Rather, he or she is
merely obtaining a reduction in the amount of income that is taxed.
Thus, the most benefit the teacher would receive under my bill would be
a 35 percent reduction in the cost of the professional development,
supplies, or certification expenses. This means that the teacher is
still responsible for paying for the biggest portion of these costs. I
do not believe that our public school teachers will abuse such an
unlimited deduction. They will use their common sense and they will
spend the appropriate amounts for their expenses.
Support for mathematics and science education at all levels is
necessary to improve the global competitiveness of the United States in
science and energy technology.
I endorse the efforts of my some of my colleagues to encourage more
of our best and brightest students choose these fields of study.
Support for qualified STEM teachers (Science, Technology, Engineering,
and Mathematics) is equally important. If we are successful in
increasing the supply for STEM students, we will need to increase the
supply of STEM teachers.
This bill will provide incentives for these professionals to enter
the teaching profession by allowing expenses in connection with teacher
certification to be fully deductible, above-the-line, the same as the
professional development and supplies expenses of teaching
professionals.
Mr. President, this bill would provide modest tax equity for teachers
who, for too long, have been footing the bill for improving the quality
of teaching by themselves. It is time that Congress recognized this
unfairness and corrected it.
I thank the Senate for the opportunity to address this issue today,
and I urge my colleagues to support this legislation.
I ask unanimous consent that the text of the bill be printed in the
Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4027
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 ``Tax Equity for School
Teachers Act of 2006''.
SEC. 2. DEDUCTION FOR CERTAIN PROFESSIONAL DEVELOPMENT
EXPENSES AND CLASSROOM SUPPLIES OF ELEMENTARY
AND SECONDARY SCHOOL TEACHERS AND FOR CERTAIN
CERTIFICATION EXPENSES OF SCIENCE, TECHNOLOGY,
ENGINEERING, OR MATH TEACHERS.
(a) Deduction Allowed Whether or Not Taxpayer Itemizes
Other Deductions.--Subparagraph (D) of section 62(a)(2) of
the Internal Revenue Code of 1986 (relating to certain
expenses of elementary and secondary school teachers) is
amended to read as follows:
``(D) Certain professional development expenses, classroom
supplies, and other expenses for elementary and secondary
teachers.--The sum of the deductions allowed by section 162
with respect to the following expenses:
``(i) Expenses paid or incurred by an eligible educator in
connection with books, supplies (other than nonathletic
supplies for
[[Page S10718]]
courses of instruction in health or physical education),
computer equipment (including related software and services)
and other equipment, and supplementary materials used by the
eligible educator in the classroom.
``(ii) Expenses paid or incurred by an eligible educator
which constitute qualified professional development expenses.
``(iii) Expenses which are related to the initial
certification of an individual (in the individual's State
licensing system) as a qualified science, technology,
engineering or math teacher.''.
(b) Definitions and Special Rules.--Section 62(d) of the
Internal Revenue Code of 1986 (relating to definitions and
special rules is amended by redesignating paragraph (2) as
paragraph (5) and by adding after paragraph (1) the following
new paragraphs:
``(2) Qualified professional development expenses.--For
purposes of subsection (a)(2)(D)--
``(A) In general.--The term `qualified professional
development expenses' means expenses for tuition, fees,
books, supplies, equipment, and transportation required for
the enrollment or attendance of an individual in a qualified
course of instruction.
``(B) Qualified course of instruction.--The term `qualified
course of instruction' means a course of instruction which--
``(i) is--
``(I) directly related to the curriculum and academic
subjects in which an eligible educator provides instruction,
``(II) designed to enhance the ability of an eligible
educator to understand and use State standards for the
academic subjects in which such teacher provides instruction,
or
``(III) designed to enable an eligible educator to meet the
highly qualified teacher requirements under the No Child Left
Behind Act of 2001,
``(ii) may provide instruction to an eligible educator--
``(I) in how to teach children with different learning
styles, particularly children with disabilities and children
with special learning needs (including children who are
gifted and talented), or
``(II) in how best to discipline children in the classroom
and identify early and appropriate interventions to help
children described in subclause (I) to learn,
``(iii) is tied to the ability of an eligible educator to
enable students to meet challenging State or local content
standards and student performance standards,
``(iv) is tied to strategies and programs that demonstrate
effectiveness in assisting an eligible educator in increasing
student academic achievement and student performance, or
substantially increasing the knowledge and teaching skills of
an eligible educator, and
``(v) is part of a program of professional development for
eligible educators which is approved and certified by the
appropriate local educational agency as furthering the goals
of the preceding clauses.
``(C) Local educational agency.--The term `local
educational agency' has the meaning given such term by
section 14101 of the Elementary and Secondary Education Act
of 1965, as in effect on the date of the enactment of this
subsection.
``(3) Qualified science, technology, engineering, or math
teacher.--For purposes of subsection (a)(2)(D), the term
`qualified science, technology, engineering, or math teacher'
means, with respect to a taxable year, an individual who--
``(A) has a bachelor's degree or other advanced degree in a
field related to science, technology, engineering, or math,
``(B) was employed as a nonteaching professional in a field
related to science, technology, engineering, or math for not
less than 3 taxable years during the 10-taxable-year period
ending with the taxable year,
``(C) is certified as a teacher of science, technology,
engineering, or math in the individual's State licensing
system for the first time during such taxable year, and
``(D) is employed at least part-time as a teacher of
science, technology, engineering, or math in an elementary or
secondary school during such taxable year.
``(4) Exemption from minimum education or new trade or
business exception.--For purposes of applying subsection
(a)(2)(D) and this subsection, the determination as to
whether qualified professional development expenses, or
expenses for the initial certification described in
subsection (a)(2)(D)(iii), are deductible under section 162
shall be made without regard to any disallowance of such a
deduction under such section for such expenses because such
expenses are necessary to meet the minimum educational
requirements for qualification for employment or qualify the
individual for a new trade or business.''.
(c) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2005.
______
By Mr. MENENDEZ:
S. 4028. A bill to fight criminal gangs; to the Committee on the
Judiciary.
Mr. MENENDEZ. Mr. President, today, all across America, organized
criminal gangs plague our communities, destroying the lives of
thousands of young children each and every year. Unfortunately, this
plague is currently not being treated effectively, and as a result has
grown in size and power in almost every State in the Nation. Indeed,
gang violence is no longer a State and local issue that predominantly
occurs in highly urbanized areas, but has escalated into a national
issue that affects our country as a whole.
In light of this, it is clear that we must recalibrate our efforts--
and in addition to our local initiatives--to comprehensively confront
gang violence at the national level. That is why I rise today to
introduce the Fighting Gangs and Empowering Youth Act of 2006.
Addressing the efforts of Federal, State, and local agencies, this
legislation would comprehensively deal with all aspects of gang
violence, from rigorously enforcing and appropriately sentencing
criminal acts, to preventing future gang members from being recruited
and such crimes from occurring.
To reduce the number of young potential recruits gangs prey upon,
this bill would authorize funds for after-school and community-based
programs designed to economically empower young people. Disadvantaged
students will be given the opportunity to realize their potential,
through tutoring, mentoring, and job training programs as well as
college preparation classes and tuition assistance. Additionally,
millions of dollars would be authorized to enhance and expand anti-gang
and anti-violence programs in elementary and secondary schools,
ensuring that students can focus solely on learning, without having to
be concerned for their personal safety. By providing ``at-risk'' youth
with such resources and opportunities necessary to succeed in life,
they will be far less susceptible to join a criminal gang.
The legislation would also expand adult and juvenile offender reentry
demonstration projects to help with post-release and transitional
housing, while promoting programs that hire former prisoners, and
establish reentry planning procedures within communities. Prisoners
with drug addictions would be forced to participate in treatment
programs to be eligible for early release, which would be continued in
their transition period back into society. All offenders would be
encouraged to participate in educational initiatives such as, job
training, GED preparation, along with a myriad of other programs. These
initiatives are designed to provide offenders with the skills necessary
to become legally employed when they are released from prison, which
will reduce, hopefully significantly, their recidivism rates.
In addition to programs focused on gang violence prevention, my
proposal would provide law enforcement officials on every level of
government with the resources and information they need to accurately
track and effectively neutralize criminal gangs. Specifically, this
legislation would establish a program similar to the current Community
Oriented Policing Services (COPS) program, to augment the number of
police officers patrolling the streets of our local communities, and
would authorize $700 million annually for it. Additional funds would be
used not only to increase the number of officers combating gangs, but
also to provide additional forensic examiners to investigate, and more
attorneys to prosecute, gang crimes.
As is true with almost all problems, a better understanding of how
gangs operate translates into a better understanding of how best to
counter them. That is why this legislation would authorize increased
funding for the National Youth Gang Survey to increase the number of
law enforcement agencies whose data is collected and included in the
annual survey and provide up to $8 million per year to upgrade
technology to better identify gang members and include them in the
National Gang Database. Additionally, this legislation would expand the
Uniform Crime Reports (UCRs) to include local gang and other crime
statistics from the municipal level, while also requiring the Attorney
General to distinguish those crimes committed by juveniles. The bill
also requires consolidation and standardization of all criminal
databases, enabling law enforcement all across this country to better
share information.
For those who still choose a life a crime, this proposal would
increase the penalties proscribed for crimes committed in the
furtherance of a gang. Gangs are dependent on committing
[[Page S10719]]
crimes such as witness intimidation, illegal firearm possession, and
drug trafficking, implementing these instruments to augment their
power. Subsequently, when these crimes are committed in the furtherance
of gang activity, they can be more detrimental to society than if they
were committed in isolation. Thus, these tougher sentencing
requirements for crimes committed in the furtherance of a gang are not
only appropriate, but necessary to deter gang violence and shield
society from its most dangerous and unremorseful criminals.
This legislation would also attack one of the roots of gang
violence--gang recruiters, who seek out young, economically
disadvantaged, at-risk youth and pressure them to join. Currently,
there is no law specifically forbidding gang recruitment. This
legislation would change that--making it illegal to do so--and would
incarcerate an offender for up to 5 years if the person being recruited
was over the age of 18, or up to 10 years if the individual was under
the age of 18.
Taken together, the provisions of this bill develop a comprehensive
approach to gang violence by focusing on prevention, deterrence, and
enforcement. To not address all of these gang violence catalysts in
their entirety would leave us with an incomprehensive approach that
would do little to quell the scourge of gang violence. Therefore, I
urge my colleagues to cosponsor the Fighting Gangs and Empowering Youth
Act, and by doing so, give law enforcement and our communities the
means to thoroughly and comprehensively counter the growing specter of
gang violence that afflicts our great Nation.
I ask unanimous consent the text of the bill be printed in the
Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4028
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Fighting
Gangs and Empowering Youth Act of 2006''.
(b) Table of Contents.--The table of contents for this Act
is as follows:
Sec. 1. Short title and table of contents.
TITLE I--PREVENTION AND ECONOMIC EMPOWERMENT
Sec. 101. Reauthorization of certain after-school programs.
Sec. 102. Reauthorization of Safe and Drug-Free Schools and Communities
Act.
Sec. 103. Public and assisted housing gang elimination.
Sec. 104. Demonstration grants to encourage creative approaches to gang
activity and after-school programs.
Sec. 105. Reauthorization of adult and juvenile offender State and
local reentry demonstration projects.
Sec. 106. Children of incarcerated parents and families.
Sec. 107. Encouragement of employment of former prisoners.
Sec. 108. Federal resource center for children of prisoners.
Sec. 109. Use of violent offender truth-in-sentencing grant funding for
demonstration project activities.
Sec. 110. Grants to study parole or post-incarceration supervision
violations and revocations.
Sec. 111. Improvement of the residential substance abuse treatment for
State prisoners program.
Sec. 112. Residential drug abuse program in Federal prisons.
Sec. 113. Removal of limitation on amount of funds available for
corrections education programs under the Adult Education
and Family Literacy Act.
Sec. 114. Technical amendment to drug-free student loans provision to
ensure that it applies only to offenses committed while
receiving Federal aid.
Sec. 115. Mentoring grants to nonprofit organizations.
Sec. 116. Clarification of authority to place prisoner in community
corrections.
Sec. 117. Grants to States for improved workplace and community
transition training for incarcerated youth offenders.
Sec. 118. Improved reentry procedures for Federal prisoners.
Sec. 119. Reauthorization of Learn and Serve America.
Sec. 120. Job Corps.
Sec. 121. Workforce Investment Act youth activities.
Sec. 122. Expansion and reauthorization of the mentoring initiative for
system involved youth.
Sec. 123. Strategic community planning program.
Sec. 124. Reauthorization of the Gang Resistance Education and Training
Projects Program and increase funding for the national
youth gang survey.
TITLE II--SUPPRESSION AND COMMUNITY ANTI-GANG INITIATIVES
Subtitle A--Gang Activity Policing Program
Sec. 201. Authority to make gang activity policing grants.
Sec. 202. Eligible activities.
Sec. 203. Preferential consideration of applications for certain
grants.
Sec. 204. Utilization of components.
Sec. 205. Minimum amount.
Sec. 206. Matching funds.
Sec. 207. Authorization of appropriations.
Subtitle B--High Intensity Interstate Gang Activity Areas
Sec. 211. Designation of and assistance for ``high intensity''
interstate gang activity areas.
Subtitle C--Additional Funding
Sec. 221. Additional resources needed by the Federal Bureau of
Investigation to investigate and prosecute violent
criminal street gangs.
Sec. 222. Grants to prosecutors and law enforcement to combat violent
crime and to protect witnesses and victims of crimes.
Sec. 223. Enhancement of Project Safe Neighborhoods initiative to
improve enforcement of criminal laws against violent
gangs.
TITLE III--PUNISHMENT AND IMPROVED CRIME DATA
Sec. 301. Criminal street gangs.
Sec. 302. Violent crimes in furtherance or in aid of criminal street
gangs.
Sec. 303. Interstate and foreign travel or transportation in aid of
racketeering enterprises and criminal street gangs.
Sec. 304. Amendments relating to violent crime in areas of exclusive
Federal jurisdiction.
Sec. 305. Increased penalties for use of interstate commerce facilities
in the commission of murder-for-hire and other felony
crimes of violence.
Sec. 306. Increased penalties for violent crimes in aid of racketeering
activity.
Sec. 307. Violent crimes committed during and in relation to a drug
trafficking crime.
Sec. 308. Expansion of rebuttable presumption against release of
persons charged with firearms offenses.
Sec. 309. Statute of limitations for violent crime.
Sec. 310. Predicate crimes for authorization of interception of wire,
oral, and electronic communications.
Sec. 311. Clarification to hearsay exception for forfeiture by
wrongdoing.
Sec. 312. Clarification of venue for retaliation against a witness.
Sec. 313. Amendment of sentencing guidelines relating to certain gang
and violent crimes.
Sec. 314. Solicitation or recruitment of persons in criminal street
gang activity.
Sec. 315. Increased penalties for criminal use of firearms in crimes of
violence and drug trafficking.
Sec. 316. Possession of firearms by dangerous felons.
Sec. 317. Standardization of crime reporting.
Sec. 318. Providing additional forensic examiners.
Sec. 319. Study on expanding Federal authority for juvenile offenders.
TITLE I--PREVENTION AND ECONOMIC EMPOWERMENT
SEC. 101. REAUTHORIZATION OF CERTAIN AFTER-SCHOOL PROGRAMS.
(a) 21st Century Community Learning Centers.--Section 4206
of the Elementary and Secondary Education Act of 1965 (20
U.S.C. 7176) is amended--
(1) in paragraph (5), by striking ``$2,250,000,000'' and
inserting ``$2,500,000,000''; and
(2) in paragraph (6), by striking ``$2,500,000,000'' and
inserting ``$2,750,000,000''.
(b) Carol M. White Physical Education Program.--Section
5401 of the Elementary and Secondary Education Act of 1965
(20 U.S.C. 7241) is amended--
(1) by striking ``There are'' and inserting ``(a) In
General.--There are''; and
(2) by adding at the end the following:
``(b) Physical Education.--In addition to the amounts
authorized to be appropriated by subsection (a), there are
authorized to be appropriated $73,000,000 for each of fiscal
years 2007 and 2008 to carry out subpart 10.''.
(c) Federal TRIO Programs.--Section 402A(f) of the Higher
Education Act of 1965 (20 U.S.C. 1070a-11(f)) is amended by
striking ``$700,000,000 for fiscal year 1999, and such sums
as may be necessary for each of the 4 succeeding fiscal
years'' and inserting ``$883,000,000 for fiscal year 2007 and
such sums as may be necessary for each of the 5 succeeding
fiscal years''.
(d) GEARUP.--Section 404H of the Higher Education Act of
1965 (20 U.S.C. 1070a-28) is amended by striking
``$200,000,000 for fiscal year 1999 and such sums as may be
necessary for each of the 4 succeeding fiscal years'' and
[[Page S10720]]
inserting ``$325,000,000 for fiscal year 2007 and such sums
as may be necessary for each of the 5 succeeding fiscal
years''.
SEC. 102. REAUTHORIZATION OF SAFE AND DRUG-FREE SCHOOLS AND
COMMUNITIES ACT.
(a) Safe and Drug-Free Schools and Communities.--Section
4003 of the Elementary and Secondary Education Act of 1965
(20 U.S.C. 7103) is amended--
(1) in paragraph (1), by striking ``$650,000,000 for fiscal
year 2002'' and inserting ``$700,000,000 for fiscal year
2007''; and
(2) in paragraph (2), by striking ``such sums for fiscal
year 2002, and'' and inserting ``$400,000,000 for fiscal year
2007''.
(b) National Coordinator Initiative.--Section 4125 of the
Elementary and Secondary Education Act of 1965 (20 U.S.C.
7135(a)) is amended--
(1) in subsection (a)--
(A) by striking ``From funds made available to carry out
this subpart under section 4003(2), the Secretary may
provide'' and inserting ``From amounts made available to
carry out this subpart under section 4003(2) for each fiscal
year, the Secretary shall reserve not less than $40,000,000
to provide''; and
(B) by inserting ``, gang prevention,'' after ``drug
prevention''; and
(2) in subsection (b)--
(A) in the first sentence--
(i) by inserting ``, gang prevention,'' after ``serve as
drug prevention''; and
(ii) by inserting ``, gang,'' after ``significant drug'';
and
(B) in the second sentence, by inserting ``, gang,'' after
``analyzing assessments of drug''.
(c) Mentoring Program.--Section 4130(b) of the Elementary
and Secondary Education Act of 1965 (20 U.S.C. 7140(b)) is
amended--
(1) in the matter preceding subparagraph (A) of paragraph
(1), by striking ``The Secretary may award grants from funds
made available to carry out this subpart under section
4003(2)'' and inserting ``From amounts made available to
carry out this subpart under section 4003(2) for each fiscal
year, the Secretary shall reserve not less than $50,000,000
to award grants'';
(2) in paragraph (5)(B)(i), by inserting ``elementary
school and middle school'' after ``serves''; and
(3) in paragraph (5)(C)(ii)(IV), by striking ``4th'' and
inserting ``kindergarten''.
(d) Anti-Gang Discretionary Grants.--Subpart 2 of part A of
title IV of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 7131 et seq.) is amended by adding at the end
the following:
``SEC. 4131. ANTI-GANG DISCRETIONARY GRANTS.
``(a) Authority To Make Grants.--From amounts made
available to carry out this subpart under section 4003(2) for
each fiscal year, the Secretary shall reserve not less than
$50,000,000 to award grants, on a competitive basis, to
nonprofit organizations to enable the nonprofit organizations
to establish programs to assist a public elementary school or
middle school in providing an innovative approach--
``(1) to combat gang activity in the school and the
community surrounding the school; and
``(2) to heighten awareness of, and provide tools to
reduce, gang violence in the school and the community
surrounding the school.
``(b) Application.--To be eligible to receive a grant under
this section, a nonprofit organization shall submit an
application to the Secretary.
``(c) Priority Consideration.--In awarding grants under
this section, the Secretary shall give priority consideration
to applications describing programs that target youth living
in a community with a crime level above the average crime
level of the State in which the community is located.''.
SEC. 103. PUBLIC AND ASSISTED HOUSING GANG ELIMINATION.
(a) Short Title.--This section may be cited as the ``Public
and Assisted Housing Gang Elimination Act of 2006''.
(b) Public and Assisted Housing.--Title V of Public Law
100-690 is amended by adding at the end the following:
``Subtitle H--Public and Assisted Housing Drug Elimination
``SEC. 5401. AUTHORITY TO MAKE GRANTS.
``The Secretary of Housing and Urban Development, in
accordance with the provisions of this subtitle, may make
grants to public housing agencies (including Indian Housing
Authorities) and private, for-profit and nonprofit owners of
federally assisted low-income housing for use in eliminating
gang related crime.
``SEC. 5402. ELIGIBLE ACTIVITIES.
``Grants under this subtitle may be used in public housing
or other federally assisted low-income housing projects for--
``(1) the employment of security personnel;
``(2) reimbursement of local law enforcement agencies for
additional security and protective services;
``(3) physical improvements which are specifically designed
to enhance security;
``(4) the employment of 1 or more individuals--
``(A) to investigate gang related crime on or about the
real property comprising any public or other federally
assisted low-income housing project; and
``(B) to provide evidence relating to such crime in any
administrative or judicial proceeding;
``(5) the provision of training, communications equipment,
and other related equipment for use by voluntary tenant
patrols acting in cooperation with local law enforcement
officials;
``(6) programs designed to reduce gang activity in and
around public or other federally assisted low-income housing
projects, including encouraging teen-driven approaches to
gang activity prevention;
``(7) providing funding to nonprofit public housing
resident management corporations and resident councils to
develop security and gang prevention programs involving site
residents.
``SEC. 5403. APPLICATIONS.
``(a) In General.--To receive a grant under this subtitle,
a public housing agency or an owner of federally assisted
low-income housing shall submit an application to the
Secretary, at such time, in such manner, and accompanied by
such additional information as the Secretary may reasonably
require. Such application shall include a plan for addressing
the problem of gang related crime on the premises of the
housing administered or owned by the applicant for which the
application is being submitted.
``(b) Criteria.--Except as provided by subsections (c) and
(d) the Secretary shall approve applications under this
subtitle based exclusively on--
``(1) the extent of the gang related crime problem in the
public or federally assisted low-income housing project or
projects proposed for assistance;
``(2) the quality of the plan to address the crime problem
in the public or federally assisted low-income housing
project or projects proposed for assistance, including the
extent to which the plan includes initiatives that can be
sustained over a period of several years;
``(3) the capability of the applicant to carry out the
plan; and
``(4) the extent to which tenants, the local government,
and the local community support and participate in the design
and implementation of the activities proposed to be funded
under the application.
``(c) Federally Assisted Low-Income Housing.--In addition
to the selection criteria specified in subsection (b), the
Secretary may establish other criteria for the evaluation of
applications submitted by owners of federally assisted low-
income housing, except that such additional criteria shall be
designed only to reflect--
``(1) relevant differences between the financial resources
and other characteristics of public housing authorities and
owners of federally assisted low-income housing; or
``(2) relevant differences between the problem of gang
related crime in public housing and the problem of gang
related crime in federally assisted low-income housing.
``(d) High Intensity Interstate Gang Activity Areas.--In
evaluating the extent of the gang related crime problem
pursuant to subsection (b), the Secretary may consider
whether housing projects proposed for assistance are located
in a high intensity interstate gang activity area designated
pursuant to section 211 of the Fighting Gangs and Empowering
Youth Act of 2006.
``SEC. 5404. DEFINITIONS.
``For the purposes of this subtitle, the following
definitions shall apply:
``(1) Secretary.--The term `` `Secretary' '' means the
Secretary of Housing and Urban Development.
``(2) Federally assisted low-income housing.--The term
`federally assisted low-income housing' means housing
assisted under--
``(A) section 221(d)(3), section 221(d)(4), or 236 of the
National Housing Act;
``(B) section 101 of the Housing and Urban Development Act
of 1965; or
``(C) section 8 of the United States Housing Act of 1937.
``SEC. 5405. IMPLEMENTATION.
``The Secretary shall issue regulations to implement this
subtitle within 180 days after the date of enactment of the
Fighting Gangs and Empowering Youth Act of 2006.
``SEC. 5406. REPORTS.
``The Secretary shall require grantees to provide periodic
reports that include the obligation and expenditure of grant
funds, the progress made by the grantee in implementing the
plan described in section 5403(a), and any change in the
incidence of gang related crime in projects assisted under
this chapter.
``SEC. 5407. MONITORING.
``The Secretary shall audit and monitor the programs funded
under this subtitle to ensure that assistance provided under
this subtitle is administered in accordance with the
provisions of this subtitle.
``SEC. 5408. AUTHORIZATION OF APPROPRIATIONS.
``(a) In General.--There is authorized to be appropriated
to carry out this subtitle $200,000,000 for each of the
fiscal years 2007 through 2011. Any amount appropriated under
this section shall remain available until expended.
``(b) Set-Aside for Assisted Housing.--Of any amount made
available in any fiscal year to carry out this subtitle, not
more than 6.25 percent of such amount shall be available for
grants for federally assisted low-income housing.''.
(c) Conforming Amendments.--The table of contents for title
V of Public Law 100-690 is amended by inserting the following
new items:
``Subtitle H--Public and Assisted Housing Drug Elimination
``Sec. 5401. Authority to make grants.
[[Page S10721]]
``Sec. 5402. Eligible activities.
``Sec. 5403. Applications.
``Sec. 5404. Definitions.
``Sec. 5405. Implementation.
``Sec. 5406. Reports.
``Sec. 5407. Monitoring.
``Sec. 5408. Authorization of appropriations.''.
SEC. 104. DEMONSTRATION GRANTS TO ENCOURAGE CREATIVE
APPROACHES TO GANG ACTIVITY AND AFTER-SCHOOL
PROGRAMS.
(a) In General.--The Attorney General may make grants to
public or nonprofit private entities (including faith-based
organizations) for the purpose of assisting the entities in
demonstrating innovative approaches to combat gang activity.
(b) Certain Approaches.--Approaches under subsection (a)
may include the following:
(1) Encouraging teen-driven approaches to gang activity
prevention.
(2) Educating parents to recognize signs of problems and
potential gang involvement in their children.
(3) Teaching parents the importance of a nurturing family
and home environment to keep children out of gangs.
(4) Facilitating communication between parents and
children, especially programs that have been evaluated and
proven effective.
(c) Matching Funds.--
(1) In general.--With respect to the costs of the project
to be carried out under subsection (a) by an applicant, a
grant may be made under such subsection only if the applicant
agrees to make available (directly or through donations from
public or private entities) non-Federal contributions toward
such costs in an amount that is not less than 25 percent of
such costs ($1 for each $3 of Federal funds provided in the
grant).
(2) Determination of amount contributed.--Non-Federal
contributions required in paragraph (1) may be in cash or in
kind, fairly evaluated, including plant, equipment, or
services. Amounts provided by the Federal Government, or
services assisted or subsidized to any significant extent by
the Federal Government, may not be included in determining
the amount of such non-Federal contributions.
(d) Evaluation of Projects.--The Attorney General shall
establish criteria for the evaluation of projects under
subsection (a). A grant may be made under such subsection
only if the applicant involved--
(1) agrees to conduct evaluations of the project in
accordance with such criteria;
(2) agrees to submit to the Attorney General such reports
describing the results of the evaluations as the Attorney
General determines to be appropriate; and
(3) submits to the Attorney General, in the application
under subsection (e), a plan for conducting the evaluations.
(e) Application for Grant.--A grant may be made under
subsection (a) only if an application for the grant is
submitted to the Attorney General and the application is in
such form, is made in such manner, and contains such
agreements, assurances, and information, including the
agreements under subsections (c) and (d) and the plan under
subsection (d)(3), as the Attorney General determines to be
necessary to carry out this section.
(f) Report to Congress.--Not later than October 1, 2011,
the Attorney General shall submit to Congress a report
describing the extent to which projects under subsection (a)
have been successful in reducing the rate of gang activity in
the communities in which the projects have been carried out.
Such reports shall describe the various approaches used under
subsection (a) and the effectiveness of each of the
approaches.
(g) Authorization of Appropriations.--For the purpose of
carrying out this section, there is authorized to be
appropriated $5,000,000 for each of the fiscal years 2007
through 2011.
SEC. 105. REAUTHORIZATION OF ADULT AND JUVENILE OFFENDER
STATE AND LOCAL REENTRY DEMONSTRATION PROJECTS.
(a) Adult and Juvenile Offender Demonstration Projects
Authorized.--Section 2976(b) of the Omnibus Crime Control and
Safe Streets Act of 1968 (42 U.S.C. 3797w(b)) is amended by
striking paragraphs (1) through (4) and inserting the
following:
``(1) establishing or improving the system or systems under
which--
``(A) the correctional agency of the State or local
government develops and carries out plans to facilitate the
reentry into the community of each offender in State or local
custody;
``(B) the supervision and services provided to offenders in
State or local custody are coordinated with the supervision
and services provided to offenders after reentry into the
community;
``(C) the efforts of various public and private entities to
provide supervision and services to offenders after reentry
into the community, and to family members of such offenders,
are coordinated; and
``(D) offenders awaiting reentry into the community are
provided with documents (such as identification papers,
referrals to services, medical prescriptions, job training
certificates, apprenticeship papers, and information on
obtaining public assistance) useful in achieving a successful
transition from prison, jail, or detention;
``(2) carrying out programs and initiatives by units of
local government to strengthen reentry services for
individuals released from local jails;
``(3) enabling jail or prison mentors of offenders to
remain in contact with those offenders, including through the
use of such technology as videoconferencing, during
incarceration and after reentry into the community and
encouraging the involvement of prison or jail mentors in the
reentry process;
``(4) providing structured post-release housing and
transitional housing, including group homes for recovering
substance abusers, through which offenders are provided
supervision and services immediately following reentry into
the community;
``(5) assisting offenders in securing permanent housing
upon release or following a stay in transitional housing;
``(6) providing continuity of health services (including
screening, assessment, and aftercare for mental health
services, substance abuse treatment and aftercare, and
treatment for contagious diseases) to offenders in custody
and after reentry into the community;
``(7) providing offenders with education, job training,
responsible parenting and healthy relationship skills
training designed specifically for addressing the needs of
incarcerated and transitioning fathers and mothers, English
as a second language programs, work experience programs,
self-respect and life skills training, and other skills
useful in achieving a successful transition from prison;
``(8) facilitating collaboration among corrections and
community corrections, technical schools, community colleges,
and the workforce development and employment service sectors
to--
``(A) promote, where appropriate, the employment of people
released from prison and jail, through efforts such as
educating employers about existing financial incentives, and
facilitate the creation of job opportunities, including
transitional jobs and time limited subsidized work experience
(where appropriate), for this population that will benefit
communities;
``(B) connect inmates to employment, including supportive
employment and employment services, before their release to
the community, to provide work supports, including
transportation and retention services, as appropriate, and
identify labor market needs to ensure that education and
training are appropriate; and
``(C) address barriers to employment, including licensing
that are not directly connected to the crime committed and
the risk that the ex-offender presents to the community, and
provide case management services as necessary to prepare
offenders for jobs that offer the potential for advancement
and growth;
``(9) assessing the literacy and educational needs of
offenders in custody and identifying and providing services
appropriate to meet those needs, including follow-up
assessments and long-term services;
``(10) systems under which family members of offenders are
involved in facilitating the successful reentry of those
offenders into the community, including removing obstacles to
the maintenance of family relationships while the offender is
in custody, strengthening the family's capacity to function
as a stable living situation during reentry where
appropriate, and involving family members in the planning and
implementation of the reentry process;
``(11) programs under which victims are included, on a
voluntary basis, in the reentry process;
``(12) identifying and addressing barriers to collaborating
with child welfare agencies in the provision of services
jointly to offenders in custody and to the children of such
offenders;
``(13) carrying out programs that support children of
incarcerated parents, including those in foster care and
those cared for by grandparents or other relatives, commonly
referred to as kinship care, including mentoring children of
prisoners programs;
``(14) carrying out programs for the entire family unit,
including the coordination of service delivery across
agencies;
``(15) implementing programs in correctional agencies to
include the collection of information regarding any dependent
children of an incarcerated person as part of intake
procedures, including the number of children, age, and
location or jurisdiction, and connect identified children
with services as appropriate and needed;
``(16) addressing barriers to the visitation of children
with an incarcerated parent, and maintenance of the parent-
child relationship as appropriate to the safety and well-
being of the children, such as the location of facilities in
remote areas, telephone costs, mail restrictions, and
visitation policies;
``(17) creating, developing, or enhancing prisoner and
family assessments curricula, policies, procedures, or
programs (including mentoring programs) to help prisoners
with a history or identified risk of domestic violence,
dating violence, sexual assault, or stalking reconnect with
their families and communities, as appropriate (or when it is
safe to do so), and become mutually respectful, nonabusive
parents or partners, under which particular attention is paid
to the safety of children affected and the confidentiality
concerns of victims, and efforts are coordinated with
existing victim service providers;
``(18) developing programs and activities that support
parent-child relationships, such as--
``(A) using telephone conferencing to permit incarcerated
parents to participate in parent-teacher conferences;
[[Page S10722]]
``(B) using videoconferencing to allow virtual visitation
when incarcerated persons are more than 100 miles from their
families;
``(C) the development of books on tape programs, through
which incarcerated parents read a book into a tape to be sent
to their children;
``(D) the establishment of family days, which provide for
longer visitation hours or family activities;
``(E) the creation of children's areas in visitation rooms
with parent-child activities;
``(F) the implementation of programs to help incarcerated
fathers and mothers stay connected to their children and
learn responsible parenting and healthy relationship skills;
or
``(G) mentoring children of prisoners program;
``(19) expanding family-based treatment centers that offer
family-based comprehensive treatment services for parents and
their children as a complete family unit;
``(20) conducting studies to determine who is returning to
prison or jail and which of those returning prisoners
represent the greatest risk to community safety;
``(21) developing or adopting procedures to ensure that
dangerous felons are not released from prison prematurely;
``(22) developing and implementing procedures to assist
relevant authorities in determining when release is
appropriate and in the use of data to inform the release
decision;
``(23) developing and implementing procedures to identify
efficiently and effectively those violators of probation,
parole, or post incarceration supervision who should be
returned to prison or jail;
``(24) utilizing validated assessment tools to assess the
risk factors of returning inmates and prioritizing services
based on risk;
``(25) facilitating and encouraging timely and complete
payment of restitution and fines by ex-offenders to victims
and the community;
``(26) establishing or expanding the use of reentry courts
and other programs to--
``(A) monitor offenders returning to the community;
``(B) provide returning offenders with--
``(i) drug and alcohol testing and treatment; and
``(ii) mental and medical health assessment and services;
``(C) facilitate restorative justice practices and convene
family or community impact panels, family impact educational
classes, victim impact panels, or victim impact educational
classes;
``(D) provide and coordinate the delivery of other
community services to offenders, including--
``(i) housing assistance;
``(ii) education;
``(iii) employment training;
``(iv) children and family support to include responsible
parenting and healthy relationship skill training designed
specifically to address the needs of incarcerated and
transitioning fathers and mothers;
``(v) conflict resolution skills training;
``(vi) family violence intervention programs;
``(vii) culturally and linguistically competent services,
as appropriate; and
``(viii) other appropriate services; and
``(E) establish and implement graduated sanctions and
incentives; and
``(27) providing technology and other tools to advance post
release supervision.''.
(b) Juvenile Offender Demonstration Projects
Reauthorized.--Section 2976(c) of the Omnibus Crime Control
and Safe Streets Act of 1968 (42 U.S.C. 3797w(c)) is amended
by striking ``may be expended for'' and all that follows
through the period at the end and inserting ``may be expended
for any activity referred to in subsection (b).''.
(c) Applications; Requirements; Priorities; Performance
Measurements.--Section 2976 of the Omnibus Crime Control and
Safe Streets Act of 1968 (42 U.S.C. 3797w) is amended--
(1) by redesignating subsection (h) as subsection (o); and
(2) by striking subsections (d) through (g) and inserting
the following:
``(d) Applications.--A State, unit of local government,
territory, or Indian tribe, or combination thereof desiring a
grant under this section shall submit an application to the
Attorney General that--
``(1) contains a reentry strategic plan, as referenced in
subsection (h), which describes the long-term strategy, and a
detailed implementation schedule, including the
jurisdiction's plans to pay for the program after the Federal
funding is discontinued;
``(2) identifies the local government role and the role of
governmental agencies and nonprofit organizations that will
be coordinated by, and that will collaborate on, the
applicant's prisoner reentry strategy and certifies their
involvement; and
``(3) describes the methodology and outcome measures that
will be used in evaluating the program.
``(e) Requirements.--The Attorney General may make a grant
to an applicant under this section only if the application--
``(1) reflects explicit support of the chief executive
officer of the State, unit of local government, territory, or
Indian tribe applying for a grant under this section;
``(2) provides extensive discussion of the role of State
corrections departments, community corrections agencies,
juvenile justice systems, or local jail systems in ensuring
successful reentry of ex-offenders into their communities;
``(3) provides extensive evidence of collaboration with
State and local government agencies overseeing health,
housing, child welfare, education, substance abuse, and
employment services, and local law enforcement;
``(4) provides a plan for analysis of the applicant's
existing statutory, regulatory, rules-based, and practice-
based hurdles to a prisoner's reintegration into the
community that--
``(A) takes particular note and makes recommendations with
respect to laws, regulations, rules, and practices that
disqualify former prisoners from obtaining professional
licenses or other requirements necessary for certain types of
employment, and that hinder full civic participation;
``(B) identifies and makes recommendations with respect to
those laws, regulations, rules, or practices that are not
directly connected to the crime committed and the risk that
the ex-offender presents to the community; and
``(C) affords members of the public an opportunity to
participate in the process described in this subsection; and
``(5) includes the use of a State, local, territorial, or
tribal task force, as referenced in subsection (i), to carry
out the activities funded under the grant.
``(f) Priority Consideration.--The Attorney General shall
give priority to grant applications under this section that
best--
``(1) focus initiative on geographic areas with a high
population of ex-offenders;
``(2) include partnerships with nonprofit organizations;
``(3) provide consultations with crime victims and former
incarcerated prisoners and their families;
``(4) review the process by which the State and local
governments adjudicate violations of parole, probation, or
post incarceration supervision and consider reforms to
maximize the use of graduated, community-based sanctions for
minor and technical violations of parole, probation, or post
incarceration supervision;
``(5) establish prerelease planning procedures for
prisoners to ensure that a prisoner's eligibility for Federal
or State benefits (including Medicaid, Medicare, Social
Security, and Veterans benefits) upon release is established
prior to release, subject to any limitations in law, and to
ensure that prisoners are provided with referrals to
appropriate social and health services or are linked to
appropriate nonprofit organizations;
``(6) include an agreement that the applicant, in
consultation with the National Institute of Justice, will
modify the project design, initially and during the project,
in order to facilitate the evaluation of outcomes by means,
including (to the maximum extent feasible) random assignment
of offenders and ex-offenders (or entities working with such
persons) to program delivery and control groups; and
``(7) target high-risk offenders for reentry programs
through validated assessment tools.
``(g) Uses of Grant Funds.--
``(1) Federal share.--The Federal share of a grant received
under this section may not exceed 75 percent of the project
funded under the grant, unless the Attorney General--
``(A) waives, in whole or in part, the requirement of this
paragraph; and
``(B) publicly delineates the rationale for the waiver.
``(2) Supplement not supplant.--Federal funds received
under this section shall be used to supplement, not supplant,
non-Federal funds that would otherwise be available for the
activities funded under this section.
``(h) Reentry Strategic Plan.--
``(1) In general.--As a condition of receiving financial
assistance under this section, each applicant shall develop a
comprehensive strategic reentry plan that contains measurable
annual and 5 year performance outcomes. The plan shall have
as a goal to reduce the rate of recidivism of incarcerated
persons served with funds from this section by 50 percent
over a period of 5 years.
``(2) Coordination.--In developing reentry plans under this
subsection, applicants shall coordinate with communities and
stakeholders, including persons in the fields of public
safety, corrections, housing, health, education, substance
abuse, children and families, employment, business and
members of nonprofit organizations that provide reentry
services.
``(3) Measurements of progress.--Each reentry plan
developed under this subsection shall measure the applicant's
progress toward increasing public safety by reducing rates of
recidivism and enabling released offenders to transition
successfully back into their communities.
``(i) Reentry Task Force.--
``(1) In general.--As a condition of receiving financial
assistance under this section, each applicant shall establish
or empower a Reentry Task Force, or other relevant convening
authority, to examine ways to pool existing resources and
funding streams to promote lower recidivism rates for
returning ex-offenders and to minimize the harmful effects of
incarceration on families and communities by collecting data
and best practices in offender reentry from demonstration
grantees and other agencies and organizations, and to provide
a plan, as described in subsection (e)(4).
``(2) Membership.--The task force or other authority shall
be comprised of relevant--
``(A) State, tribal, territorial, or local leaders;
[[Page S10723]]
``(B) agencies;
``(C) service providers;
``(D) nonprofit organizations; and
``(E) stakeholders.
``(j) Strategic Performance Outcomes.--
``(1) In general.--Each applicant shall identify in their
reentry strategic plan, as referenced in subsection (h),
specific performance outcomes related to the long-term goals
of increasing public safety and reducing recidivism.
``(2) Performance outcomes.--The performance outcomes
identified under paragraph (1) shall include, with respect to
offenders released back into the community--
``(A) reduction in recommitment rates;
``(B) reduction in crime;
``(C) increased employment and education opportunities;
``(D) reduction in violations of conditions of supervised
release;
``(E) increased child support;
``(F) increased housing opportunities;
``(G) reduction in drug and alcohol abuse; and
``(H) increased participation in substance abuse and mental
health services.
``(3) Other outcomes.--States may include in their reentry
strategic plan other performance outcomes that increase the
success rates of offenders who transition from prison.
``(4) Coordination.--Applicants should coordinate with
communities and stakeholders about the selection of
performance outcomes identified by the applicant, and should
consult with the Department of Justice for assistance with
data collection and measurement activities.
``(5) Report.--Each grantee under this section shall submit
an annual report to the Department of Justice that--
``(A) identifies the grantee's progress toward achieving
its strategic performance outcomes; and
``(B) describes other activities conducted by the grantee
to increase the success rates of the reentry population, such
as programs that foster effective risk management and
treatment programming, offender accountability, and community
and victim participation.
``(k) Performance Measurement.--
``(1) In general.--The Department of Justice, in
consultation with the grantees, shall--
``(A) identify primary and secondary sources of information
to support the measurement of the performance indicators
identified under this section;
``(B) identify sources and methods of data collection in
support of performance measurement required under this
section;
``(C) provide to all grantees technical assistance and
training on performance measures and data collection for
purposes of this section; and
``(D) coordinate with the Substance Abuse and Mental Health
Services Administration on strategic performance outcome
measures and data collection for purposes of this section
relating to substance abuse and mental health.
``(2) Coordination.--The Department of Justice shall
coordinate with other Federal agencies to identify national
and other sources of information to support grantee's
performance measurement.
``(3) Standards for analysis.--Any statistical analysis of
population data conducted pursuant to this section shall be
conducted in accordance with the Federal Register Notice
dated October 30, 1997, relating to classification standards.
``(l) Future Eligibility.--To be eligible to receive a
grant under this section for fiscal years after the first
receipt of such a grant, a grantee shall submit to the
Attorney General such information as is necessary to
demonstrate that--
``(1) the grantee has adopted a reentry plan that reflects
input from nonprofit organizations;
``(2) the grantee's reentry plan includes performance
measures to assess the grantee's progress toward increasing
public safety by reducing by 10 percent over the 2-year
period the rate at which individuals released from prison who
participate in the reentry system supported by Federal funds
are recommitted to prison; and
``(3) the grantee will coordinate with the Department of
Justice, nonprofit organizations, and other experts regarding
the selection and implementation of the performance measures
described in subsection (k).
``(m) National Adult and Juvenile Offender Reentry Resource
Center.--
``(1) Authority.--The Attorney General may, using amounts
made available to carry out this subsection, make a grant to
an eligible organization to provide for the establishment of
a National Adult and Juvenile Offender Reentry Resource
Center.
``(2) Eligible organization.--An organization eligible for
the grant under paragraph (1) is any national nonprofit
organization approved by the Federal task force established
under subsection (o) that provides technical assistance and
training to, and has special expertise and broad, national-
level experience in offender reentry programs, training, and
research.
``(3) Use of funds.--The organization receiving the grant
shall establish a National Adult and Juvenile Offender
Reentry Resource Center to--
``(A) provide education, training, and technical assistance
for States, tribes, territories, local governments, service
providers, nonprofit organizations, and corrections
institutions;
``(B) collect data and best practices in offender reentry
from demonstration grantees and others agencies and
organizations;
``(C) develop and disseminate evaluation tools, mechanisms,
and measures to better assess and document coalition
performance measures and outcomes;
``(D) disseminate knowledge to States and other relevant
entities about best practices, policy standards, and research
findings;
``(E) develop and implement procedures to assist relevant
authorities in determining when release is appropriate and in
the use of data to inform the release decision;
``(F) develop and implement procedures to identify
efficiently and effectively those violators of probation,
parole, or post incarceration supervision who should be
returned to prison and those who should receive other
penalties based on defined, graduated sanctions;
``(G) collaborate with the Federal task force established
under subsection (o) and the Federal Resource Center for
Children of Prisoners;
``(H) develop a national research agenda; and
``(I) bridge the gap between research and practice by
translating knowledge from research into practical
information.
``(4) Limit.--Of amounts made available to carry out this
section, not more than 4 percent shall be available to carry
out this subsection.
``(n) Administration.--Of amounts made available to carry
out this section--
``(1) not more than 2 percent shall be available for
administrative expenses in carrying out this section; and
``(2) not more than 2 percent shall be made available to
the National Institute of Justice to evaluate the
effectiveness of the demonstration projects funded under
section 2976 of the Omnibus Crime and Control and Safe
Streets Act of 1968 (42 U.S.C. 3797w) as amended by this
section, using a methodology that--
``(A) includes, to the maximum extent feasible, random
assignment of offenders or ex-offenders (or entities working
with such persons) to program delivery and control groups;
and
``(B) generates evidence on which reentry approaches and
strategies are most effective.
``(o) Task Force on Federal Programs and Activities
Relating to Reentry of Offenders.--
``(1) Task force required.--The Attorney General, in
consultation with the Secretary of Housing and Urban
Development, the Secretary of Labor, the Secretary of
Education, the Secretary of Health and Human Services, the
Secretary of Veterans Affairs, the Secretary of Agriculture,
and the heads of such other elements of the Federal
Government as the Attorney General considers appropriate, and
in collaboration with stakeholders, service providers,
nonprofit organizations, States, tribes, territories, and
local governments, shall establish an interagency task force
on Federal programs and activities relating to the reentry of
offenders into the community.
``(2) Duties.--The task force required by paragraph (1)
shall--
``(A) identify such programs and activities that may be
resulting in overlapping or duplication of services, the
scope of such overlapping or duplication, and the
relationship of such overlapping and duplication to public
safety, public health, and effectiveness and efficiency;
``(B) identify methods to improve collaboration and
coordination of such programs and activities;
``(C) identify areas of responsibility in which improved
collaboration and coordination of such programs and
activities would result in increased effectiveness or
efficiency;
``(D) develop innovative interagency or intergovernmental
programs, activities, or procedures that would improve
outcomes of reentering offenders and children of offenders;
``(E) develop methods for increasing regular communication
that would increase interagency program effectiveness;
``(F) identify areas of research that can be coordinated
across agencies with an emphasis on applying science-based
practices to support, treatment, and intervention programs
for reentering offenders;
``(G) identify funding areas that should be coordinated
across agencies and any gaps in funding; and
``(H) in collaboration with the National Adult and Juvenile
Offender Reentry Resources Center identify successful
programs currently operating and collect best practices in
offender reentry from demonstration grantees and other
agencies and organizations, determine the extent to which
such programs and practices can be replicated, and make
information on such programs and practices available to
States, localities, nonprofit organizations, and others.
``(3) Report.--
``(A) In general.--Not later than 1 year after the date of
enactment of this Act, the task force established under
paragraph (1) shall submit a report, including
recommendations, to Congress on barriers to reentry. The task
force shall provide for public input in preparing the report.
``(B) Contents.--The report required by subparagraph (A)
shall identify Federal and other barriers to successful
reentry of offenders into the community and analyze the
effects of such barriers on offenders and on children and
other family members of offenders, including barriers
relating to--
[[Page S10724]]
``(i) child support obligations and procedures;
``(ii) Social Security benefits, including barriers in
timely restoration of suspended disability benefits
immediately upon release, Veterans benefits, food stamps, and
other forms of Federal public assistance;
``(iii) Medicaid and Medicare laws, regulations, guidelines
or procedures, including barriers in timely restoration of
benefits caused by delay in reinstatement of suspended Social
Security disability benefits;
``(iv) education programs, financial assistance, and full
civic participation;
``(v) TANF program funding criteria and other welfare
benefits;
``(vi) sustainable employment and career advancement, that
are not directly connected to the crime committed and the
risk that the ex-offender presents to the community;
``(vii) laws, regulations, rules, and practices that
restrict Federal employment licensure and participation in
Federal contracting programs;
``(viii) admissions to and evictions from Federal housing
programs, including--
``(I) examining the number and characteristics of ex-
offenders who are evicted from or denied eligibility for
Federal housing programs;
``(II) the effect of eligibility denials and evictions on
homelessness, family stability and family reunification;
``(III) the extent to which arrest records are the basis
for denying applications;
``(IV) the implications of considering misdemeanors 5 or
more years old and felonies 10 or more years old and the
appropriateness of taking into account rehabilitation and
other mitigating factors; and
``(V) the feasibility of using probationary or conditional
eligibility based on participation in a supervised
rehabilitation program or other appropriate social services;
``(ix) reentry procedures, case planning, and transitions
of persons from the custody of the Federal Bureau of Prisons
to a Federal parole or probation program or community
corrections;
``(x) laws, regulations, rules, and practices that may
require a parolee to return to the same county that the
parolee was living in prior to his or her arrest, and the
potential for changing such laws, regulations, rules, and
practices so that the parolee may change his or her location
upon release, and not settle in the same location with
persons who may be a negative influence; and
``(xi) prerelease planning procedures for prisoners to
ensure that a prisoner's eligibility for Federal or State
benefits (including Medicaid, Medicare, Social Security and
Veterans benefits) upon release is established prior to
release, subject to any limitations in law; and to ensure
that prisoners are provided with referrals to appropriate
social and health services or are linked to appropriate
nonprofit organizations.
``(4) Annual reports.--On an annual basis, the task force
required by paragraph (1) shall submit to Congress a report
on the activities of the task force, including specific
recommendations of the task force on matters referred to in
paragraph (2). Any statistical analysis of population data
pursuant to this section shall be conducted in accordance
with the Federal Register Notice dated October 30, 1997,
relating to classification standards.''.
(d) Authorization of Appropriations.--Section 2976 of the
Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C.
3797w) is amended in subsection (o)(1), as so redesignated by
subsection (c) of this section, by striking ``and $16,000,000
for fiscal year 2005'' and inserting ``$100,000,000 for
fiscal year 2007, and $100,000,000 for fiscal year 2008''.
(e) Grant Authorization.--Section 2976(a) of the Omnibus
Crime Control and Safe Streets Act of 1968 (42 U.S.C.
3797w(a)) is amended by striking ``States, Territories'' and
all that follows through the period at the end and inserting
``States, local governments, territories, or Indian tribes,
or any combination thereof, in partnership with stakeholders,
service providers, and nonprofit organizations, for purpose
of establishing adult and juvenile offender reentry
demonstration projects.''.
SEC. 106. CHILDREN OF INCARCERATED PARENTS AND FAMILIES.
The Secretary of Health and Human Services may--
(1) review, and make available to States, a report on any
recommendations regarding the role of State child protective
services at the time of the arrest of a person; and
(2) by regulation, establish such services as the Secretary
determines necessary for the preservation of families that
have been impacted by the incarceration of a family member
with special attention given to the impact on children.
SEC. 107. ENCOURAGEMENT OF EMPLOYMENT OF FORMER PRISONERS.
The Secretary of Labor shall take such steps as are
necessary to implement a program, including the Employment
and Training Administration, to educate employers and 1-stop
center workforce development providers about existing
incentives, including the Federal bonding program and tax
credits for hiring former Federal, State, or local prisoners.
SEC. 108. FEDERAL RESOURCE CENTER FOR CHILDREN OF PRISONERS.
There are authorized to be appropriated to the Secretary of
Health and Human Services for fiscal years 2007 and 2008,
such sums as may be necessary for the continuing activities
of the Federal Resource Center for Children of Prisoners,
including conducting a review of the policies and practices
of State and Federal corrections agencies to support parent-
child relationships.
SEC. 109. USE OF VIOLENT OFFENDER TRUTH-IN-SENTENCING GRANT
FUNDING FOR DEMONSTRATION PROJECT ACTIVITIES.
Section 20102(a) of the Violent Crime Control and Law
Enforcement Act of 1994 (42 U.S.C. 13702(a)) is amended--
(1) in paragraph (2), by striking ``and'' at the end;
(2) in paragraph (3), by striking the period at the end and
inserting ``; and''; and
(3) by adding at the end the following new paragraph:
``(4) to carry out any activity referred to in subsections
(b) and (c) of section 2976 of the Omnibus Crime Control and
Safe Streets Act of 1968 (42 U.S.C. 3797w (b), (c)).''.
SEC. 110. GRANTS TO STUDY PAROLE OR POST-INCARCERATION
SUPERVISION VIOLATIONS AND REVOCATIONS.
(a) Grants Authorized.--From amounts made available to
carry out this section, the Attorney General may award grants
to States to study and to improve the collection of data with
respect to individuals whose parole or post incarceration
supervision is revoked and which such individuals represent
the greatest risk to community safety.
(b) Application.--As a condition of receiving a grant under
this section, a State shall--
(1) certify that the State has, or intends to establish, a
program that collects comprehensive and reliable data with
respect to individuals described in subsection (a), including
data on--
(A) the number and type of parole or post incarceration
supervision violations that occur with the State;
(B) the reasons for parole or post-incarceration
supervision revocation;
(C) the underlying behavior that led to the revocation; and
(D) the term of imprisonment or other penalty that is
imposed for the violation; and
(2) provide the data described in paragraph (1) to the
Bureau of Justice Statistics, in a form prescribed by the
Bureau. Any statistical analysis of population data pursuant
to this section shall be conducted in accordance with the
Federal Register Notice dated October 30, 1997, relating to
classification standards.
(c) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section $1,000,000 for
each fiscal years 2007 and 2008.
SEC. 111. IMPROVEMENT OF THE RESIDENTIAL SUBSTANCE ABUSE
TREATMENT FOR STATE PRISONERS PROGRAM.
(a) Definition.--Section 1902 of the Omnibus Crime Control
and Safe Streets Act of 1968 (42 U.S.C. 3796ff-1) is amended
by--
(1) redesignating subsections (c) through (f) as
subsections (d) through (g), respectively; and
(2) inserting after subsection (b) the following:
``(c) Residential Substance Abuse Treatment.--In this
section, the term `residential substance abuse treatment'--
``(1) means a course of individual and group activities and
treatment, lasting at least 6 months, in residential
treatment facilities set apart from the general prison
population; and
``(2) can include the use of pharmacotherapies where
appropriate, that may extend beyond the 6-month period.''.
(b) Requirement for After Care Component.--Subsection (d)
of section 1902 of the Omnibus Crime Control and Safe Streets
Act of 1968 (42 U.S.C. 3796ff-1), as so redesignated by
subsection (a) of this section, is amended--
(1) in the subsection heading, by striking ``Eligibility
for Preference With After Care Component'' and inserting
``Requirement for After Care Component'';
(2) by amending paragraph (1) to read as follows:
``(1) To be eligible for funding under this part, a State
shall ensure that individuals who participate in the
substance abuse treatment program established or implemented
with assistance provided under this part will be provided
with after care services.''; and
(3) by adding at the end the following new paragraph:
``(4) After care services required by this subsection shall
be funded by the funding provided in this part.''.
SEC. 112. RESIDENTIAL DRUG ABUSE PROGRAM IN FEDERAL PRISONS.
Section 3621(e)(5)(A) of title 18, United States Code, is
amended by striking ``means a course of'' and all that
follows through the semicolon at the end and inserting the
following: ``means a course of individual and group
activities and treatment, lasting at least 6 months, in
residential treatment facilities set apart from the general
prison population, which may include the use of
pharmacotherapies, where appropriate, that may extend beyond
the 6-month period;''.
SEC. 113. REMOVAL OF LIMITATION ON AMOUNT OF FUNDS AVAILABLE
FOR CORRECTIONS EDUCATION PROGRAMS UNDER THE
ADULT EDUCATION AND FAMILY LITERACY ACT.
(a) In General.--Section 222(a)(1) of the Adult Education
and Family Literacy Act (20 U.S.C. 9222(a)(1)) is amended by
striking ``, of which not more than 10 percent of the 82.5
percent shall be available to carry out section 225''.
(b) Report.--Not later than 180 days after the date of the
enactment of this Act, the
[[Page S10725]]
Secretary of Education shall submit to Congress a report--
(1) on the use of literacy funds to correctional
institutions as defined in section 225(d)(2) of the Adult
Education and Family Literacy Act (20 U.S.C. 9224); and
(2) that specifies the amount of literacy funds that are
provided to each category of correctional institution in each
State, and identify whether funds are being sufficiently
allocated among the various types of institutions.
SEC. 114. TECHNICAL AMENDMENT TO DRUG-FREE STUDENT LOANS
PROVISION TO ENSURE THAT IT APPLIES ONLY TO
OFFENSES COMMITTED WHILE RECEIVING FEDERAL AID.
Section 484(r)(1) of the Higher Education Act of 1965 (20
U.S.C. 1091(r)(1)) is amended by striking ``A student'' and
all that follows through ``table:'' and inserting the
following: ``A student who is convicted of any offense under
any Federal or State law involving the possession or sale of
a controlled substance for conduct that occurred during a
period of enrollment for which the student was receiving any
grant, loan, or work assistance under this title shall not be
eligible to receive any grant, loan, or work assistance under
this title from the date of that conviction for the period of
time specified in the following table:''.
SEC. 115. MENTORING GRANTS TO NONPROFIT ORGANIZATIONS.
(a) Authority to Make Grants.--From amounts made available
to carry out this section, the Attorney General of the United
States, in collaboration with the Secretary of Labor and the
Secretary of Housing and Urban Development, shall make grants
to nonprofit organizations for the purpose of providing
mentoring and other transitional services essential to
reintegrating ex-offenders.
(b) Use of Funds.--Grant funds awarded under subsection (a)
may be used for--
(1) mentoring adult and juvenile offenders during
incarceration, through transition back to the community, and
post release; and
(2) transitional services to assist in the reintegration of
ex-offenders into the community.
(c) Application; Priority Consideration.--To be eligible to
receive a grant under this section, a nonprofit organization
shall submit an application to the Attorney General based on
criteria developed by the Attorney General in consultation
with the Secretary of Labor and the Secretary of Housing and
Urban Development. Applicants will be given priority
consideration if the application--
(1) includes a plan to implement activities that have been
demonstrated effective in facilitating the successful reentry
of offenders; and
(2) provides for an independent evaluation that includes,
to the maximum extent feasible, random assignment of
offenders or ex-offenders to program delivery and control
groups.
(d) Strategic Performance Outcomes.--The Attorney General
shall require each applicant under this section to identify
specific performance outcomes related to the long-term goal
of stabilizing communities by reducing recidivism and re-
integrating ex-offenders into society.
(e) Authorization of Appropriations.--There are authorized
to be appropriated to the Department of Justice to carry out
this section $25,000,000 for each of fiscal years 2007 and
2008.
SEC. 116. CLARIFICATION OF AUTHORITY TO PLACE PRISONER IN
COMMUNITY CORRECTIONS.
Section 3624(c) of title 18, United States Code, is amended
to read as follows:
``(c) Prerelease Custody.--
``(1) In general.--The Bureau of Prisons shall, to the
extent practicable, assure that a prisoner serving a term of
imprisonment spends 20 percent of the final portion of the
term, not to exceed 12 months, to be served under conditions
that will afford the prisoner a reasonable opportunity to
adjust to and prepare for the prisoner's reentry into the
community. Such conditions may include a community
correctional facility.
``(2) Authority.--This subsection authorizes the Bureau of
Prisons to place a prisoner in home confinement for the last
10 percent of the term to be served, not to exceed 6 months.
``(3) Assistance.--The United States Probation System
shall, to the extent practicable, offer assistance to a
prisoner during such prerelease custody.
``(4) No limitations.--Nothing in this subsection shall be
construed to limit or restrict the authority of the Bureau of
Prisons granted under section 3621 of this title.''.
SEC. 117. GRANTS TO STATES FOR IMPROVED WORKPLACE AND
COMMUNITY TRANSITION TRAINING FOR INCARCERATED
YOUTH OFFENDERS.
Section 821 of the Higher Education Amendments of 1998 (20
U.S.C. 1151) is amended to read as follows:
``SEC. 821. GRANTS TO STATES FOR IMPROVED WORKPLACE AND
COMMUNITY TRANSITION TRAINING FOR INCARCERATED
YOUTH OFFENDERS.
``(a) Definition.--For purposes of this section, the term
`youth offender' means a male or female offender under the
age of 35, who is incarcerated in a State prison, including a
prerelease facility.
``(b) Grant Program.--The Secretary of Education (in this
section referred to as the `Secretary')--
``(1) shall establish a program in accordance with this
section to provide grants to the State correctional education
agencies in the States, from allocations for the States under
subsection (h), to assist and encourage youth offenders to
acquire functional literacy, life, and job skills, through--
``(A) the pursuit of a postsecondary education certificate,
or an associate or bachelor's degree while in prison; and
``(B) employment counseling and other related services
which start during incarceration and end not later than 1
year after release from confinement; and
``(2) may establish such performance objectives and
reporting requirements for State correctional education
agencies receiving grants under this section as the Secretary
determines are necessary to assess the effectiveness of the
program under this section.
``(c) Application.--To be eligible for a grant under this
section, a State correctional education agency shall submit
to the Secretary a proposal for a youth offender program
that--
``(1) identifies the scope of the problem, including the
number of youth offenders in need of postsecondary education
and vocational training;
``(2) lists the accredited public or private educational
institution or institutions that will provide postsecondary
educational services;
``(3) lists the cooperating agencies, public and private,
or businesses that will provide related services, such as
counseling in the areas of career development, substance
abuse, health, and parenting skills;
``(4) describes specific performance objectives and
evaluation methods (in addition to, and consistent with, any
objectives established by the Secretary under subsection
(b)(2)) that the State correctional education agency will use
in carrying out its proposal, including--
``(A) specific and quantified student outcome measures that
are referenced to outcomes for non-program participants with
similar demographic characteristics; and
``(B) measures, consistent with the data elements and
definitions described in subsection (d)(1)(A), of--
``(i) program completion, including an explicit definition
of what constitutes a program completion within the proposal;
``(ii) knowledge and skill attainment, including
specification of instruments that will measure knowledge and
skill attainment;
``(iii) attainment of employment both prior to and
subsequent to release;
``(iv) success in employment indicated by job retention and
advancement; and
``(v) recidivism, including such subindicators as time
before subsequent offense and severity of offense;
``(5) describes how the proposed programs are to be
integrated with existing State correctional education
programs (such as adult education, graduate education degree
programs, and vocational training) and State industry
programs;
``(6) describes how the proposed programs will have
considered or will utilize technology to deliver the services
under this section; and
``(7) describes how students will be selected so that only
youth offenders eligible under subsection (e) will be
enrolled in postsecondary programs.
``(d) Program Requirements.--Each State correctional
education agency receiving a grant under this section shall--
``(1) annually report to the Secretary regarding--
``(A) the results of the evaluations conducted using data
elements and definitions provided by the Secretary for the
use of State correctional education programs;
``(B) any objectives or requirements established by the
Secretary pursuant to subsection (b)(2); and
``(C) the additional performance objectives and evaluation
methods contained in the proposal described in subsection
(c)(4), as necessary to document the attainment of project
performance objectives; and
``(2) expend on each participating eligible student for an
academic year, not more than the maximum Federal Pell Grant
funded under section 401 of the Higher Education Act of 1965
for such academic year, which shall be used for--
``(A) tuition, books, and essential materials; and
``(B) related services such as career development,
substance abuse counseling, parenting skills training, and
health education.
``(e) Student Eligibility.--A youth offender shall be
eligible for participation in a program receiving a grant
under this section if the youth offender--
``(1) is eligible to be released within 5 years (including
a youth offender who is eligible for parole within such
time); and
``(2) is 35 years of age or younger.
``(f) Length of Participation.--A State correctional
education agency receiving a grant under this section shall
provide educational and related services to each
participating youth offender for a period not to exceed 5
years, 1 year of which may be devoted to study in a graduate
education degree program or to remedial education services
for students who have obtained a secondary school diploma or
its recognized equivalent. Educational and related services
shall start during the period of incarceration in prison or
prerelease, and the related services may continue for not
more than 1 year after release from confinement.
[[Page S10726]]
``(g) Education Delivery Systems.--State correctional
education agencies and cooperating institutions shall, to the
extent practicable, use high-tech applications in developing
programs to meet the requirements and goals of this section.
``(h) Allocation of Funds.--From the funds appropriated
pursuant to subsection (i) for each fiscal year, the
Secretary shall allot to each State an amount that bears the
same relationship to such funds as the total number of
students eligible under subsection (e) in such State bears to
the total number of such students in all States.
``(i) Authorization of Appropriations.--There are
authorized to be appropriated to carry out this section
$30,000,000 for fiscal years 2007 and 2008.''.
SEC. 118. IMPROVED REENTRY PROCEDURES FOR FEDERAL PRISONERS.
(a) General Reentry Procedures.--The Department of Justice
shall take such steps as are necessary to modify existing
procedures and policies to enhance case planning and to
improve the transition of persons from the custody of the
Bureau of Prisons to the community, including placement of
such individuals in community corrections facilities.
(b) Procedures Regarding Benefits.--
(1) In general.--The Bureau of Prisons shall establish
reentry planning procedures within the Release Preparation
Program that include providing Federal inmates with
information in the following areas:
(A) Health and nutrition.
(B) Employment.
(C) Personal finance and consumer skills.
(D) Information and community resources.
(E) Release requirements and procedures.
(F) Personal growth and development.
(2) Format.--Any written information that the Bureau of
Prisons provides to inmates for reentry planning purposes
shall use common terminology and language. The Bureau of
Prisons shall provide the United States Probation and
Pretrial Services System with relevant information on the
medical care needs and the mental health treatment needs of
releasing inmates. The United States Probation and Pretrial
Services System shall take this information into account when
developing supervision plans in an effort to address the
medical care and mental health care needs of these
individuals. The Bureau of Prisons shall provide inmates with
a sufficient amount of all necessary medications upon release
from custody.
SEC. 119. REAUTHORIZATION OF LEARN AND SERVE AMERICA.
Section 501(a)(1)(A) of the National and Community Service
Act of 1990 (42 U.S.C. 12681(a)(1)(A)) is amended by striking
``fiscal year 1994 and such sums as may be necessary for each
of the fiscal years 1995 through 1996'' and inserting
``fiscal year 2007 and each of the 5 succeeding fiscal
years''.
SEC. 120. JOB CORPS.
Section 161 of the Workforce Investment Act of 1998 (29
U.S.C. 2901) is amended by striking ``such sums as may be
necessary'' and inserting ``$1,800,000,000 (of which
$300,000,000 shall be designated to create additional Job
Corps centers, especially in high gang activity areas)''.
SEC. 121. WORKFORCE INVESTMENT ACT YOUTH ACTIVITIES.
Section 137(a) of the Workforce Investment Act of 1998 (29
U.S.C. 2872(a)) is amended by striking ``such sums as may be
necessary'' and inserting ``$1,000,000''.
SEC. 122. EXPANSION AND REAUTHORIZATION OF THE MENTORING
INITIATIVE FOR SYSTEM INVOLVED YOUTH.
(a) Expansion.--Section 261(a) of the Juvenile Justice and
Delinquency Prevention Act of 2002 (42 U.S.C. 5665) is
amended by inserting at the end the following: ``The
Administrator shall expand the number of sites receiving such
grants from 4 to 12.''.
(b) Reauthorization.--Section 12213(c) of the Juvenile
Justice and Delinquency Prevention Act of 2002 (42 U.S.C.
5671) is amended by striking subsection (c) and inserting the
following:
``(c) Authorization of Appropriations for Part E.--There
are authorized to be appropriated to carry out part E, and
authorized to remain available until expended, $4,800,000 for
fiscal years 2007, 2008, 2009, 2010, and 2011.''.
SEC. 123. STRATEGIC COMMUNITY PLANNING PROGRAM.
Section 30701 of the Violent Crime Control Act of 1994 (42
U.S.C. 13801) is amended by inserting the following:
``SEC. 30701. GRANT AUTHORITY.
``(a) Grants.--
``(1) In general.--In order to prevent gang activity by
juveniles, the Attorney General may award grants on a
competitive basis to eligible local entities to pay for the
Federal share of assisting eligible communities to develop
and carry out programs that target at-risk youth and juvenile
offenders aged 11 to 19, who--
``(A) have dropped out of school;
``(B) have come into contact with the juvenile justice
system; or
``(C) are at risk of dropping out of school or coming into
contact with the juvenile justice system.
``(2) Limitation.--No local entity shall receive a grant of
less than $250,000 in a fiscal year. Amounts made available
through such grants shall remain available until expended.
``(b) Program Requirements.--
``(1) Programs.--A local entity that receives funds under
this section shall develop or expand community programs in
eligible communities that are designed to target at-risk
youths and juvenile offenders through prevention, early
intervention, and graduated sanctions.
``(2) Optional activities.--A local entity that receives
funds under this section may develop a variety of programs to
serve the comprehensive needs of at-risk youth and juvenile
offenders, including--
``(A) homework assistance and after-school programs,
including educational, social, and athletic activities;
``(B) mentoring programs;
``(C) family counseling; and
``(D) parental training programs.
``(c) Eligible Community Identification.--The Attorney
General through regulation shall define the criteria
necessary to qualify as an eligible community as defined in
subsection (g)(3).
``(d) Grant Eligibility.--To be eligible to receive a grant
under this section, a local entity shall--
``(1) identify an eligible community to be assisted;
``(2) develop a community planning process that includes--
``(A) parents and family members;
``(B) local school officials;
``(C) teachers employed at schools within the eligible
community;
``(D) local public officials;
``(E) law enforcement officers and officials;
``(F) ministers and faith-based organizations;
``(G) public housing authorities;
``(H) public housing resident organization members, where
applicable; and
``(I) public and private nonprofit organizations that
provide education, child protective services, or other human
services to low-income, at-risk youth and juvenile offenders,
and their families; and
``(3) develop a concentrated strategy for implementation of
the community planning process developed under paragraph (2)
that targets clusters of at-risk youth and juvenile offenders
in the eligible community.
``(e) Applications.--
``(1) Application required.--To be eligible to receive a
grant under this section, a local entity shall submit an
application to the Attorney General at such time, in such
manner, and accompanied by such information, as the Attorney
General may reasonably require, and obtain approval of such
application.
``(2) Contents of application.--Each application submitted
under paragraph (1) shall--
``(A) contain a comprehensive plan for the program that is
designed to improve the academic and social development of
at-risk youths and juvenile offenders in the eligible
community;
``(B) provide evidence of support for accomplishing the
objectives of such plan from--
``(i) community leaders;
``(ii) a school district;
``(iii) local officials; and
``(iv) other organizations that the local entity determines
to be appropriate;
``(C) provide an assurance that the local entity will use
grant funds received under this subsection to implement the
program requirements listed in subsection (b);
``(D) include an estimate of the number of children in the
eligible community expected to be served under the program;
``(E) provide an assurance that the local entity shall
prepare and submit to the Attorney General an annual report
regarding any program conducted under this section; and
``(F) provide an assurance that the local entity will
maintain separate accounting records for the program.
``(3) Priority.--In awarding grants to carry out programs
under this section, the Attorney General shall give priority
to local entities which submit applications that demonstrate
the greatest effort in generating local support for the
programs.
``(f) Federal Share.--
``(1) Payments.--The Attorney General shall, subject to the
availability of appropriations, pay to each local entity
having an application approved under subsection (e) the
Federal share of the costs of developing and carrying out
programs referred to in subsection (b).
``(2) Federal share.--The Federal share of such costs shall
be 70 percent.
``(3) Non-federal share.--The non-Federal share of such
costs may be in cash or in kind, fairly evaluated, including
personnel, plant, equipment, and services.
``(g) Definitions.--For purposes of this section--
``(1) the term `Attorney General' means the Attorney
General of the United States;
``(2) the term `local entity' means--
``(A) a local educational agency, or
``(B) a community-based organization as defined in section
1471(3) of the Elementary and Secondary Education Act of
1965;
``(3) the term `eligible community' means an area which
meets criteria with respect to significant poverty and
significant violent crime, and such additional criteria, as
the Attorney General may by regulation require.
``(h) Authorization of Appropriations.--There are
authorized to be appropriated for grants under this section--
``(1) $10,000,000 for fiscal year 2007;
``(2) $11,000,000 for fiscal year 2008;
``(3) $12,000,000 for fiscal year 2009;
``(4) $13,000,000 for fiscal year 2010; and
``(5) $14,000,000 for fiscal year 2011.''.
[[Page S10727]]
SEC. 124. REAUTHORIZATION OF THE GANG RESISTANCE EDUCATION
AND TRAINING PROJECTS PROGRAM AND INCREASE
FUNDING FOR THE NATIONAL YOUTH GANG SURVEY.
Section 32401 of the Violent Crime Control and Law
Enforcement Act of 1994 (42 U.S.C. 13921) is amended--
(1) in subsection (b), by striking paragraphs (1) through
(6) and inserting the following:
``(A) $21,000,000 for fiscal year 2007;
``(B) $21,000,000 for fiscal year 2008;
``(C) $21,000,000 for fiscal year 2009;
``(D) $21,000,000 for fiscal year 2010; and
``(E) $21,000,000 for fiscal year 2011;''; and
(2) adding at the end the following:
``(c) Use of Funds.--Up to $1,000,000 annually of such
funds authorized under this Section shall be used to increase
the number of samples collected by the National Youth Gang
Center for its annual National Youth Gang Survey.''.
TITLE II--SUPPRESSION AND COMMUNITY ANTI-GANG INITIATIVES
Subtitle A--Gang Activity Policing Program
SEC. 201. AUTHORITY TO MAKE GANG ACTIVITY POLICING GRANTS.
The Attorney General may make grants to States, units of
local government, Indian tribal governments, other public and
private entities, and multi-jurisdictional or regional
consortia thereof to increase police presence, to expand and
improve cooperative efforts between law enforcement agencies
and members of the community to address gang activity
problems, and otherwise to enhance public safety.
SEC. 202. ELIGIBLE ACTIVITIES.
Grants made under this subtitle may include programs,
projects, and other activities to--
(1) rehire law enforcement officers who have been laid off
as a result of State and local budget reductions for
deployment to reduce gang activity;
(2) hire and train new, additional career law enforcement
officers for deployment to reduce gang activity across the
Nation;
(3) procure equipment, technology, or support systems, or
pay overtime, to increase the number of officers deployed in
gang activity policing;
(4) award grants to pay for officers hired to perform
intelligence in reducing gang activity;
(5) increase the number of law enforcement officers
involved in activities that are focused on interaction with
members of the community on proactive gang control and
prevention by redeploying officers to such activities;
(6) establish and implement innovative programs to increase
and enhance proactive crime control and gang prevention
programs involving law enforcement officers and young persons
in the community;
(7) establish school-based partnerships between local law
enforcement agencies and local school systems by using school
resource officers who operate in and around elementary and
secondary schools to combat gangs;
(8) develop new technologies, including interoperable
communications technologies, modernized criminal record
technology, and forensic technology, to assist State and
local law enforcement agencies in reducing gang activity and
to train law enforcement officers to use such technologies;
and
(9) support the purchase by a law enforcement agency of no
more than 1 service weapon per officer, upon hiring for
deployment in gang activity policing or, if necessary, upon
existing officers' initial redeployment to gang activity
policing.
SEC. 203. PREFERENTIAL CONSIDERATION OF APPLICATIONS FOR
CERTAIN GRANTS.
In awarding grants under this subtitle, the Attorney
General may give preferential consideration, where feasible,
to applications--
(1) for hiring and rehiring additional career law
enforcement officers that involve a non-Federal contribution
exceeding the 25 percent minimum under this subtitle; and
(2) that are located in a high intensity interstate gang
activity area designated pursuant to section 211.
SEC. 204. UTILIZATION OF COMPONENTS.
The Attorney General may utilize any component or
components of the Department of Justice in carrying out this
subtitle.
SEC. 205. MINIMUM AMOUNT.
Unless all applications submitted by any State and grantee
within the State pursuant to this subtitle have been funded,
each qualifying State, together with grantees within the
State, shall receive in each fiscal year pursuant to this
subtitle not less than 0.5 percent of the total amount
appropriated in the fiscal year for grants pursuant to that
section. In this section, ``qualifying State'' means any
State which has submitted an application for a grant, or in
which an eligible entity has submitted an application for a
grant, which meets the requirements prescribed by the
Attorney General and the conditions set out in this subtitle.
SEC. 206. MATCHING FUNDS.
The portion of the costs of a program, project, or activity
provided by this subtitle may not exceed 75 percent, unless
the Attorney General waives, wholly or in part, the
requirement under this section of a non-Federal contribution
to the costs of a program, project, or activity. In relation
to a grant for a period exceeding 1 year for hiring or
rehiring career law enforcement officers, the Federal share
shall decrease from year to year for up to 5 years, looking
toward the continuation of the increased hiring level using
State or local sources of funding following the conclusion of
Federal support.
SEC. 207. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated to carry out this
subtitle $700,000,000 for each of the fiscal years 2007
through 2011. Any amount appropriated under this section
shall remain available until expended.
Subtitle B--High Intensity Interstate Gang Activity Areas
SEC. 211. DESIGNATION OF AND ASSISTANCE FOR ``HIGH
INTENSITY'' INTERSTATE GANG ACTIVITY AREAS.
(a) Definitions.--In this section the following definitions
shall apply:
(1) Governor.--The term ``Governor'' means a Governor of a
State or the Mayor of the District of Columbia.
(2) High intensity interstate gang activity area.--The term
``high intensity interstate gang activity area'' means an
area within a State that is designated as a high intensity
interstate gang activity area under subsection (b)(1).
(3) 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. The term
``State'' shall include an ``Indian tribe'', as defined by
section 102 of the Federally Recognized Indian Tribe List Act
of 1994 (25 U.S.C. 479a).
(b) High Intensity Interstate Gang Activity Areas.--
(1) Designation.--The Attorney General, after consultation
with the Governors of appropriate States, may designate as
high intensity interstate gang activity areas, specific areas
that are located within 1 or more States. To the extent that
the goals of a high intensity interstate gang activity area
(HIIGAA) overlap with the goals of a high intensity drug
trafficking area (HIDTA), the Attorney General may merge the
2 areas to serve as a dual-purpose entity. The Attorney
General may not make the final designation of a high
intensity interstate gang activity area without first
consulting with and receiving comment from local elected
officials representing communities within the State of the
proposed designation.
(2) Assistance.--In order to provide Federal assistance to
high intensity interstate gang activity areas, the Attorney
General shall--
(A) establish criminal street gang enforcement teams,
consisting of Federal, State, and local law enforcement
authorities, for the coordinated investigation, disruption,
apprehension, and prosecution of criminal street gangs and
offenders in each high intensity interstate gang activity
area;
(B) direct the reassignment or detailing from any Federal
department or agency (subject to the approval of the head of
that department or agency, in the case of a department or
agency other than the Department of Justice) of personnel to
each criminal street gang enforcement team; and
(C) provide all necessary funding for the operation of the
criminal street gang enforcement team in each high intensity
interstate gang activity area.
(3) Composition of criminal street gang enforcement team.--
The team established pursuant to paragraph (2)(A) shall
consist of agents and officers, where feasible, from--
(A) the Bureau of Alcohol, Tobacco, Firearms, and
Explosives;
(B) the Department of Homeland Security;
(C) the Department of Housing and Urban Development;
(D) the Drug Enforcement Administration;
(E) the Internal Revenue Service;
(F) the Federal Bureau of Investigation;
(G) the United States Marshal's Service;
(H) the United States Postal Service;
(I) State and local law enforcement; and
(J) Federal, State and local prosecutors.
(4) Criteria for designation.--In considering an area for
designation as a high intensity interstate gang activity area
under this section, the Attorney General shall consider--
(A) the current and predicted levels of gang crime activity
in the area;
(B) the extent to which violent crime in the area appears
to be related to criminal street gang activity, such as drug
trafficking, murder, robbery, assaults, carjacking, arson,
kidnapping, extortion, and other criminal activity;
(C) the extent to which State and local law enforcement
agencies have committed resources to--
(i) respond to the gang crime problem; and
(ii) participate in a gang enforcement team;
(D) the extent to which a significant increase in the
allocation of Federal resources would enhance local response
to the gang crime activities in the area; and
(E) any other criteria that the Attorney General considers
to be appropriate.
(c) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated
$100,000,000 for each of the fiscal years 2007 to 2011 to
carry out this section.
(2) Use of funds.--Of amounts made available under
paragraph (1) in each fiscal year--
(A) 50 percent shall be used to carry out subsection
(b)(2); and
(B) 50 percent shall be used to make grants available for
community-based programs to provide crime prevention,
research, and intervention services that are designed for
gang members and at-risk youth in areas designated pursuant
to this section as high intensity interstate gang activity
areas.
[[Page S10728]]
(3) Reporting requirements.--By February 1st of each year,
the Attorney General shall provide a report to Congress which
describes, for each designated high intensity interstate gang
activity area--
(A) the specific long-term and short-term goals and
objectives;
(B) the measurements used to evaluate the performance of
the high intensity interstate gang activity area in achieving
the long-term and short-term goals;
(C) the age, composition, and membership of ``gangs'';
(D) the number and nature of crimes committed by ``gangs'';
and
(E) the definition of the term ``gang'' used to compile
this report.
Subtitle C--Additional Funding
SEC. 221. ADDITIONAL RESOURCES NEEDED BY THE FEDERAL BUREAU
OF INVESTIGATION TO INVESTIGATE AND PROSECUTE
VIOLENT CRIMINAL STREET GANGS.
(a) Responsibilities of Attorney General.--The Attorney
General is authorized to require the Federal Bureau of
Investigation to--
(1) increase funding for the Safe Streets Program; and
(2) support the criminal street gang enforcement teams,
established under section 211(b), in designated high
intensity interstate gang activity areas.
(b) Authorization of Appropriations.--
(1) In general.--In addition to amounts otherwise
authorized, there are authorized to be appropriated to the
Attorney General $5,000,000 for each of the fiscal years 2007
through 2011 to carry out the Safe Streets Program.
(2) Availability.--Any amounts appropriated pursuant to
paragraph (1) shall remain available until expended.
SEC. 222. GRANTS TO PROSECUTORS AND LAW ENFORCEMENT TO COMBAT
VIOLENT CRIME AND TO PROTECT WITNESSES AND
VICTIMS OF CRIMES.
(a) In General.--Section 31702 of the Violent Crime Control
and Law Enforcement Act of 1994 (42 U.S.C. 13862) is
amended--
(1) in paragraph (3), by striking ``and'' at the end;
(2) in paragraph (4), by striking the period at the end and
inserting a semicolon; and
(3) by adding at the end the following:
``(5) to hire additional prosecutors to--
``(A) allow more cases to be prosecuted; and
``(B) reduce backlogs;
``(6) to fund technology, equipment, and training for
prosecutors and law enforcement in order to increase accurate
identification of gang members and violent offenders, and to
maintain databases with such information to facilitate
coordination among law enforcement and prosecutors; and
``(7) to create and expand witness and victim protection
programs to prevent threats, intimidation, and retaliation
against victims of, and witnesses to, violent crimes.''.
(b) Authorization of Appropriations.--Section 31707 of the
Violent Crime Control and Law Enforcement Act of 1994 (42
U.S.C. 13867) is amended to read as follows:
``SEC. 31707. AUTHORIZATION OF APPROPRIATIONS.
``(a) In General.--There are authorized to be appropriated
$20,000,000 for each of the fiscal years 2007 through 2011 to
carry out this subtitle.
``(b) Use of Funds.--Of the amounts made available under
subsection (a), in each fiscal year 60 percent shall be used
to carry out section 31702(7) to create and expand witness
and victim protection programs to prevent threats,
intimidation, and retaliation against victims of, and
witnesses to, violent crimes.''.
SEC. 223. ENHANCEMENT OF PROJECT SAFE NEIGHBORHOODS
INITIATIVE TO IMPROVE ENFORCEMENT OF CRIMINAL
LAWS AGAINST VIOLENT GANGS.
(a) In General.--While maintaining the focus of Project
Safe Neighborhoods as a comprehensive, strategic approach to
reducing gun violence in America, the Attorney General is
authorized to expand the Project Safe Neighborhoods program
to require each United States attorney to--
(1) identify, investigate, and prosecute significant
criminal street gangs operating within their district;
(2) coordinate the identification, investigation, and
prosecution of criminal street gangs among Federal, State,
and local law enforcement agencies; and
(3) coordinate and establish criminal street gang
enforcement teams, established under section 110(b), in high
intensity interstate gang activity areas within a United
States attorney's district.
(b) Additional Staff for Project Safe Neighborhoods.--
(1) In general.--The Attorney General may hire Assistant
United States attorneys, non-attorney coordinators, or
paralegals to carry out the provisions of this section.
(2) Authorization of appropriations.--There are authorized
to be appropriated $7,500,000 for each of the fiscal years
2007 through 2011 to carry out this section.
TITLE III--PUNISHMENT AND IMPROVED CRIME DATA
SEC. 301. CRIMINAL STREET GANGS.
(a) Criminal Street Gang Prosecutions.--Section 521 of
title 18, United States Code, is amended to read as follows:
``Sec. 521. Criminal street gang prosecutions
``(a) Definitions.--As used in this chapter:
``(1) Criminal street gang.--The term `criminal street
gang' means a formal or informal group, club, organization,
or association of 3 or more individuals, who individually,
jointly, or in combination, have committed or attempted to
commit for the direct or indirect benefit of, at the
direction of, in furtherance of, or in association with the
group, club organization, or association at least 2 separate
acts, each of which is a predicate gang crime, 1 of which
occurs after the date of enactment of the Gang Prevention and
Effective Deterrence Act of 2004 and the last of which occurs
not later than 10 years (excluding any period of
imprisonment) after the commission of a prior predicate gang
crime, and 1 predicate gang crime is a crime of violence or
involves manufacturing, importing, distributing, possessing
with intent to distribute, or otherwise dealing in a
controlled substance or listed chemicals (as those terms are
defined in section 102 of the Controlled Substances Act (21
U.S.C. 802)) provided that the activities of the criminal
street gang affect interstate or foreign commerce, or involve
the use of any facility of, or travel in, interstate or
foreign commerce.
``(2) Predicate gang crime.--The term `predicate gang
crime' means--
``(A) any act, threat, conspiracy, or attempted act, which
is chargeable under Federal or State law and punishable by
imprisonment for more than 1 year involving--
``(i) murder;
``(ii) manslaughter;
``(iii) maiming;
``(iv) assault with a dangerous weapon;
``(v) assault resulting in serious bodily injury;
``(vi) gambling;
``(vii) kidnapping;
``(viii) robbery;
``(ix) extortion;
``(x) arson;
``(xi) obstruction of justice;
``(xii) tampering with or retaliating against a witness,
victim, or informant;
``(xiii) burglary;
``(xiv) sexual assault (which means any offense that
involves conduct that would violate chapter 109A if the
conduct occurred in the special maritime and territorial
jurisdiction);
``(xv) carjacking; or
``(xvi) manufacturing, importing, distributing, possessing
with intent to distribute, or otherwise dealing in a
controlled substance or listed chemicals (as those terms are
defined in section 102 of the Controlled Substances Act (21
U.S.C. 802));
``(B) any act punishable by imprisonment for more than 1
year under--
``(i) section 844 (relating to explosive materials);
``(ii) section 922(g)(1) (where the underlying conviction
is a violent felony (as defined in section 924(e)(2)(B) of
this title) or is a serious drug offense (as defined in
section 924(e)(2)(A) of this title));
``(iii) subsection (a)(2), (b), (c), (g), or (h) of section
924 (relating to receipt, possession, and transfer of
firearms);
``(iv) sections 1028 and 1029 (relating to fraud and
related activity in connection with identification documents
or access devices);
``(v) section 1503 (relating to obstruction of justice);
``(vi) section 1510 (relating to obstruction of criminal
investigations);
``(vii) section 1512 (relating to tampering with a witness,
victim, or informant), or section 1513 (relating to
retaliating against a witness, victim, or informant);
``(viii) section 1708 (relating to theft of stolen mail
matter);
``(ix) section 1951 (relating to interference with
commerce, robbery or extortion);
``(x) section 1952 (relating to racketeering);
``(xi) section 1956 (relating to the laundering of monetary
instruments);
``(xii) section 1957 (relating to engaging in monetary
transactions in property derived from specified unlawful
activity);
``(xiii) section 1958 (relating to use of interstate
commerce facilities in the commission of murder-for-hire); or
``(xiv) sections 2312 through 2315 (relating to interstate
transportation of stolen motor vehicles or stolen property);
or
``(C) any act involving the Immigration and Nationality
Act, section 274 (relating to bringing in and harboring
certain aliens), section 277 (relating to aiding or assisting
certain aliens to enter the United States), or section 278
(relating to importation of alien for immoral purpose).
``(3) State.--The term `State' means each of the several
States of the United States, the District of Columbia, and
any commonwealth, territory, or possession of the United
States.
``(b) Participation in Criminal Street Gangs.--It shall be
unlawful--
``(1) to commit, or conspire or attempt to commit a
predicate crime--
``(A) in furtherance or in aid of the activities of a
criminal street gang;
``(B) for the purpose of gaining entrance to or maintaining
or increasing position in such a gang; or
``(C) for the direct or indirect benefit of the criminal
street gang, or in association with the criminal street gang;
or
``(2) to employ, use, command, counsel, persuade, induce,
entice, or coerce any individual to commit, cause to commit,
or facilitate the commission of, a predicate gang crime--
``(A) in furtherance or in aid of the activities of a
criminal street gang;
[[Page S10729]]
``(B) for the purpose of gaining entrance to or maintaining
or increasing position in such a gang; or
``(C) for the direct or indirect benefit or the criminal
street gang, or in association with the criminal street gang.
``(c) Penalties.--Whoever violates paragraph (1) or (2) of
subsection (b)--
``(1) shall be fined under this title, imprisoned for not
more than 30 years, or both; and
``(2) if the violation is based on a predicate gang crime
for which the maximum penalty includes life imprisonment,
shall be fined under this title, imprisoned for any term of
years or for life, or both.
``(d) Forfeiture.--
``(1) In general.--The court, in imposing sentence on a
person who is convicted of an offense under this section,
shall order that the defendant forfeit to the United States--
``(A) any property, real or personal, constituting or
traceable to gross proceeds obtained from such offense; and
``(B) any property used or intended to be used, in any
manner or part, to commit or to facilitate the commission of
such violation.
``(2) Criminal procedures.--The procedures set forth in
section 413 of the Controlled Substances Act (21 U.S.C. 853),
other than subsection (d) of that section, and in rule 32.2
of the Federal Rules of Criminal Procedure, shall apply to
all stages of a criminal forfeiture proceeding under this
section.
``(3) Civil procedures.--Property subject to forfeiture
under paragraph (1) may be forfeited in a civil case pursuant
to the procedures set forth in chapter 46 of this title.''.
(b) Clerical Amendment.--The table of sections at the
beginning of chapter 26 of title 18, United States Code, is
amended to read as follows:
``521. Criminal street gang prosecutions.''.
SEC. 302. VIOLENT CRIMES IN FURTHERANCE OR IN AID OF CRIMINAL
STREET GANGS.
(a) Violent Crimes and Criminal Street Gang Recruitment.--
Chapter 26 of title 18, United States Code, as amended by
section 301, is amended by adding at the end the following:
``Sec. 523. Violent crimes in furtherance or in aid of a
criminal street gang
``(a) Any person who, for the purpose of gaining entrance
to or maintaining or increasing position in, or in
furtherance or in aid of, or for the direct or indirect
benefit of, or in association with a criminal street gang, or
as consideration for the receipt of, or as consideration for
a promise or agreement to pay, anything of pecuniary value to
or from a criminal street gang, murders, kidnaps, sexually
assaults (which means any offense that involved conduct that
would violate chapter 109A if the conduct occurred in the
special maritime and territorial jurisdiction), maims,
assaults with a dangerous weapon, commits assault resulting
in serious bodily injury upon, commits any other crime of
violence or threatens to commit a crime of violence against
any individual, or attempts or conspires to do so, shall be
punished, in addition and consecutive to the punishment
provided for any other violation of this chapter--
``(1) for murder, by imprisonment for any term of years or
for life, a fine under this title, or both;
``(2) for kidnapping or sexual assault, by imprisonment for
any term of years or for life, a fine under this title, or
both;
``(3) for maiming, by imprisonment for any term of years or
for life, a fine under this title, or both;
``(4) for assault with a dangerous weapon or assault
resulting in serious bodily injury, by imprisonment for not
more than 30 years, a fine under this title, or both;
``(5) for any other crime of violence, by imprisonment for
not more than 20 years, a fine under this title, or both;
``(6) for threatening to commit a crime of violence
specified in paragraphs (1) through (4), by imprisonment for
not more than 10 years, a fine under this title, or both;
``(7) for attempting or conspiring to commit murder,
kidnapping, maiming, or sexual assault, by imprisonment for
not more than 30 years, a fine under this title, or both; and
``(8) for attempting or conspiring to commit a crime
involving assault with a dangerous weapon or assault
resulting in serious bodily injury, by imprisonment for not
more than 20 years, a fine under this title, or both.
``(b) Definition.--In this section, the term `criminal
street gang' has the same meaning as in section 521 of this
title.''.
(b) Clerical Amendment.--The table of sections at the
beginning of chapter 26 of title 18, United States Code, is
amended by adding at the end the following:
``522. Recruitment of persons to participate in a criminal street gang.
``523. Violent crimes in furtherance of a criminal street gang.''.
SEC. 303. INTERSTATE AND FOREIGN TRAVEL OR TRANSPORTATION IN
AID OF RACKETEERING ENTERPRISES AND CRIMINAL
STREET GANGS.
Section 1952 of title 18, United States Code, is amended--
(1) in subsection (a)--
(A) by striking ``and thereafter performs or attempts to
perform'' and inserting ``and thereafter performs, or
attempts or conspires to perform''; and
(B) by striking ``5 years'' and inserting ``10 years'';
(2) by redesignating subsections (b) and (c) as subsections
(c) and (d), respectively;
(3) by inserting after subsection (a) the following:
``(b) Whoever travels in interstate or foreign commerce or
uses the mail or any facility in interstate or foreign
commerce, with the intent to kill, assault, bribe, force,
intimidate, or threaten any person, to delay or influence the
testimony of, or prevent from testifying, a witness in a
State criminal proceeding and thereafter performs, or
attempts or conspires to perform, an act described in this
subsection, shall--
``(1) be fined under this title, imprisoned for any term of
years, or both; and
``(2) if death results, imprisoned for any term of years or
for life.''; and
(4) in subsection (c)(2), as redesignated under
subparagraph (B), by inserting ``intimidation of, or
retaliation against, a witness, victim, juror, or
informant,'' after ``extortion, bribery,''.
SEC. 304. AMENDMENTS RELATING TO VIOLENT CRIME IN AREAS OF
EXCLUSIVE FEDERAL JURISDICTION.
(a) Assault Within Maritime and Territorial Jurisdiction of
United States.--Section 113(a)(3) of title 18, United States
Code, is amended by striking ``with intent to do bodily harm,
and without just cause or excuse,''.
(b) Manslaughter.--Section 1112(b) of title 18, United
States Code, is amended by--
(1) striking ``ten years'' and inserting ``20 years''; and
(2) striking ``six years'' and inserting ``10 years''.
(c) Offenses Committed Within Indian Country.--Section
1153(a) of title 18, United States Code, is amended by
inserting ``an offense for which the maximum statutory term
of imprisonment under section 1363 is greater than 5 years,''
after ``a felony under chapter 109A,''.
(d) Racketeer Influenced and Corrupt Organizations.--
Section 1961(1) of title 18, United States Code, is amended--
(1) in subparagraph (A), by inserting ``, or would have
been so chargeable if the act or threat (other than lawful
forms of gambling) had not been committed in Indian country
(as defined in section 1151) or in any other area of
exclusive Federal jurisdiction,'' after ``chargeable under
State law''; and
(2) in subparagraph (B), by inserting ``section 1123
(relating to multiple interstate murder),'' after ``section
1084 (relating to the transmission of wagering
information),''.
(e) Carjacking.--Section 2119 of title 18, United States
Code, is amended by striking ``, with the intent to cause
death or serious bodily harm''.
(f) Clarification of Illegal Gun Transfers To Commit Drug
Trafficking Crime or Crimes of Violence.--Section 924(h) of
title 18, United States Code, is amended to read as follows:
``(h) Illegal Transfers.--Whoever knowingly transfers a
firearm, knowing that the firearm will be used to commit, or
possessed in furtherance of, a crime of violence (as defined
in subsection (c)(3)) or drug trafficking crime (as defined
in subsection (c)(2)), shall be imprisoned for not more than
10 years, fined under this title, or both.''.
(g) Amendment of Special Sentencing Provision.--Section
3582(d) of title 18, United States Code, is amended--
(1) by striking ``chapter 95 (racketeering) or 96
(racketeer influenced and corrupt organizations) of this
title'' and inserting ``section 521 (criminal street gangs)
or 522 (violent crimes in furtherance or in aid of criminal
street gangs), in chapter 95 (racketeering) or 96 (racketeer
influenced and corrupt organizations),''; and
(2) by inserting ``a criminal street gang or'' before ``an
illegal enterprise''.
(h) Conforming Amendment Relating to Orders for
Restitution.--Section 3663(c)(4) of title 18, United States
Code, is amended by striking ``chapter 46 or chapter 96 of
this title'' and inserting ``section 521, under chapter 46 or
96,''.
(i) Special Provision for Indian Country.--No person
subject to the criminal jurisdiction of an Indian tribal
government shall be subject to section 3559(e) of title 18,
United States Code, for any offense for which Federal
jurisdiction is solely predicated on Indian country (as
defined in section 1151 of such title 18) and which occurs
within the boundaries of such Indian country unless the
governing body of such Indian tribe elects to subject the
persons under the criminal jurisdiction of the tribe to
section 3559(e) of such title 18.
SEC. 305. INCREASED PENALTIES FOR USE OF INTERSTATE COMMERCE
FACILITIES IN THE COMMISSION OF MURDER-FOR-HIRE
AND OTHER FELONY CRIMES OF VIOLENCE.
Section 1958 of title 18, United States Code, is amended--
(1) by striking the header and inserting the following:
``Sec. 1958. Use of interstate commerce facilities in the
commission of murder-for-hire and other felony crimes of
violence'';
(2) in subsection (a), by striking ``Whoever'' through
``conspires to do so'' and inserting the following:
``(a) Any person who travels in or causes another
(including the intended victim) to travel in interstate or
foreign commerce, or uses or causes another (including the
intended victim) to use the mail or any facility in
interstate or foreign commerce, with intent that a murder or
other felony crime of violence be committed in violation of
the laws of any State or the United States as consideration
for the receipt of, or as consideration for a promise or
agreement to pay, anything of pecuniary value, or who
conspires to do so--''.
[[Page S10730]]
(3) striking ``ten'' and inserting ``20''; and
(4) by striking ``twenty'' and inserting ``30''.
SEC. 306. INCREASED PENALTIES FOR VIOLENT CRIMES IN AID OF
RACKETEERING ACTIVITY.
Section 1959(a) of title 18, United States Code, is
amended--
(1) by striking ``Whoever'' through ``punished'' and
inserting the following:
``(a) Any person who, as consideration for the receipt of,
or as consideration for a promise or agreement to pay,
anything of pecuniary value from an enterprise engaged in
racketeering activity, or for the purpose of gaining entrance
to or maintaining or increasing position in an enterprise
engaged in racketeering activity, or in furtherance or in aid
of an enterprise engaged in racketeering activity, murders,
kidnaps, sexually assaults (which means any offense that
involved conduct that would violate chapter 109A if the
conduct occurred in the special maritime and territorial
jurisdiction), maims, assaults with a dangerous weapon,
commits assault resulting in serious bodily injury upon, or
threatens to commit a crime of violence against any
individual in violation of the laws of any State or the
United States, or attempts or conspires to do so, shall be
punished, in addition and consecutive to the punishment
provided for any other violation of this chapter--''; and
(2) by striking paragraphs (2) through (6) and inserting
the following:
``(2) for kidnapping or sexual assault, by imprisonment for
any term of years or for life, a fine under this title, or
both;
``(3) for maiming, by imprisonment for any term of years or
for life, a fine under this title, or both;
``(4) for assault with a dangerous weapon or assault
resulting in serious bodily injury, by imprisonment for not
more than 30 years, a fine under this title, or both;
``(5) for threatening to commit a crime of violence, by
imprisonment for not more than 10 years, a fine under this
title, or both;
``(6) for attempting or conspiring to commit murder,
kidnapping, maiming, or sexual assault, by imprisonment for
not more than 30 years, a fine under this title, or both; and
``(7) for attempting or conspiring to commit assault with a
dangerous weapon or assault which would result in serious
bodily injury, by imprisonment for not more than 20 years, a
fine under this title, or both.''.
SEC. 307. VIOLENT CRIMES COMMITTED DURING AND IN RELATION TO
A DRUG TRAFFICKING CRIME.
(a) In General.--Part D of the Controlled Substances Act
(21 U.S.C. 841 et seq.) is amended by adding at the end the
following:
``VIOLENT CRIMES COMMITTED DURING AND IN RELATION TO A DRUG TRAFFICKING
CRIME
``Sec. 424. (a) In General.--Any person who, during and in
relation to any drug trafficking crime, murders, kidnaps,
sexually assaults (which means any offense that involved
conduct that would violate chapter 109A if the conduct
occurred in the special maritime and territorial
jurisdiction), maims, assaults with a dangerous weapon,
commits assault resulting in serious bodily injury upon,
commits any other crime of violence or threatens to commit a
crime of violence against, any individual, or attempts or
conspires to do so, shall be punished, in addition and
consecutive to the punishment provided for the drug
trafficking crime--
``(1) in the case of murder, by imprisonment for any term
of years or for life, a fine under title 18, United States
Code, or both;
``(2) in the case of kidnapping or sexual assault by
imprisonment for any term of years or for life, a fine under
such title 18, or both;
``(3) in the case of maiming, by imprisonment for any term
of years or for life, a fine under such title 18, or both;
``(4) in the case of assault with a dangerous weapon or
assault resulting in serious bodily injury, by imprisonment
not more than 30 years, a fine under such title 18, or both;
``(5) in the case of committing any other crime of
violence, by imprisonment for not more than 20 years, a fine
under this title, or both;
``(6) in the case of threatening to commit a crime of
violence specified in paragraphs (1) through (4), by
imprisonment for not more than 10 years, a fine under such
title 18, or both;
``(7) in the case of attempting or conspiring to commit
murder, kidnapping, maiming, or sexual assault, by
imprisonment for not more than 30 years, a fine under such
title 18, or both; and
``(8) in the case of attempting or conspiring to commit a
crime involving assault with a dangerous weapon or assault
resulting in serious bodily injury, by imprisonment for not
more than 20 years, a fine under such title 18, or both.
``(b) Venue.--A prosecution for a violation of this section
may be brought in--
``(1) the judicial district in which the murder or other
crime of violence occurred; or
``(2) any judicial district in which the drug trafficking
crime may be prosecuted.
``(c) Definitions.--As used in this section--
``(1) the term `crime of violence' has the meaning given
that term in section 16 of title 18, United States Code; and
``(2) the term `drug trafficking crime' has the meaning
given that term in section 924(c)(2) of title 18, United
States Code.''.
(b) Clerical Amendment.--The table of contents for the
Controlled Substances Act is amended by inserting after the
item relating to section 423, the following:
``Sec. 424. Violent crimes committed during and in relation to a drug
trafficking crime.''.
SEC. 308. EXPANSION OF REBUTTABLE PRESUMPTION AGAINST RELEASE
OF PERSONS CHARGED WITH FIREARMS OFFENSES.
Section 3142 of title 18, United States Code, is amended--
(1) in subsection (e), in the matter following paragraph
(3)--
(A) by inserting ``an offense under section 922(g)(1) where
the underlying conviction is a serious drug offense as
defined in section 924(e)(2)(A) of title 18, United States
Code, for which a period of not more than 10 years has
elapsed since the date of the conviction or the release of
the person from imprisonment, whichever is later, or is a
serious violent felony as defined in section 3559(c)(2)(F) of
title 18, United States Code,'' after ``that the person
committed''; and
(B) by inserting ``or'' before ``the Maritime'';
(2) in subsection (f)(1)--
(A) in subparagraph (C), by striking ``or'' at the end; and
(B) by adding at the end the following:
``(E) an offense under section 922(g); or''; and
(3) in subsection (g), by amending paragraph (1) to read as
follows:
``(1) the nature and circumstances of the offense charged,
including whether the offense is a crime of violence, or
involves a drug, firearm, explosive, or destructive
devise;''.
SEC. 309. STATUTE OF LIMITATIONS FOR VIOLENT CRIME.
(a) In General.--Chapter 214 of title 18, United States
Code, is amended by adding at the end the following:
``Sec. 3297. Violent crime offenses
``Except as otherwise expressly provided by law, no person
shall be prosecuted, tried, or punished for any noncapital
felony, crime of violence (as defined in section 16),
including any racketeering activity or gang crime which
involves any violent crime, unless the indictment is found or
the information is instituted by the later of--
``(1) 10 years after the date on which the alleged
violation occurred;
``(2) 10 years after the date on which the continuing
offense was completed; or
``(3) 8 years after the date on which the alleged violation
was first discovered.''.
(b) Clerical Amendment.--The table of sections at the
beginning of chapter 214 of title 18, United States Code, is
amended by adding at the end the following:
``3296. Violent crime offenses.''.
SEC. 310. PREDICATE CRIMES FOR AUTHORIZATION OF INTERCEPTION
OF WIRE, ORAL, AND ELECTRONIC COMMUNICATIONS.
Section 2516(1) of title 18, United States Code, is
amended--
(1) in paragraph (q), by striking ``or'.'';
(2) by redesignating paragraph (r) as paragraph (u); and
(3) by inserting after paragraph (q) the following:
``(r) any violation of section 424 of the Controlled
Substances Act (relating to murder and other violent crimes
in furtherance of a drug trafficking crime);
``(s) any violation of 1123 of title 18, United States Code
(relating to multiple interstate murder);
``(t) any violation of section 521, 522, or 523 (relating
to criminal street gangs); or''.
SEC. 311. CLARIFICATION TO HEARSAY EXCEPTION FOR FORFEITURE
BY WRONGDOING.
Rule 804(b)(6) of the Federal Rules of Evidence is amended
to read as follows:
``(6) Forfeiture by wrongdoing. A statement offered against
a party that has engaged, acquiesced, or conspired, in
wrongdoing that was intended to, and did, procure the
unavailability of the declarant as a witness.''.
SEC. 312. CLARIFICATION OF VENUE FOR RETALIATION AGAINST A
WITNESS.
Section 1513 of title 18, United States Code, is amended
by--
(1) redesignating subsection (e) beginning with ``Whoever
conspires'' as subsection (f); and
(2) adding at the end the following:
``(g) A prosecution under this section may be brought in
the district in which the official proceeding (whether or not
pending, about to be instituted or was completed) was
intended to be affected or was completed, or in which the
conduct constituting the alleged offense occurred.''.
SEC. 313. AMENDMENT OF SENTENCING GUIDELINES RELATING TO
CERTAIN GANG AND VIOLENT CRIMES.
(a) Directive to the United States Sentencing Commission.--
Pursuant to its authority under section 994(p) of title 28,
United States Code, and in accordance with this section, the
United States Sentencing Commission shall review and, if
appropriate, amend its guidelines and its policy statements
to conform to the provisions of title I and this title.
(b) Requirements.--In carrying out this section, the
Sentencing Commission shall--
(1) establish new guidelines and policy statements, as
warranted, in order to implement new or revised criminal
offenses created under this title;
(2) ensure that the sentencing guidelines and policy
statements reflect the serious nature of the offenses and the
penalties set
[[Page S10731]]
forth in this title, the growing incidence of serious gang
and violent crimes, and the need to modify the sentencing
guidelines and policy statements to deter, prevent, and
punish such offenses;
(3) consider the extent to which the guidelines and policy
statements adequately address--
(A) whether the guideline offense levels and enhancements
for gang and violent crimes--
(i) are sufficient to deter and punish such offenses; and
(ii) are adequate in view of the statutory increases in
penalties contained in the Act; and
(B) whether any existing or new specific offense
characteristics should be added to reflect congressional
intent to increase gang and violent crime penalties, punish
offenders, and deter gang and violent crime;
(4) assure reasonable consistency with other relevant
directives and with other sentencing guidelines;
(5) account for any additional aggravating or mitigating
circumstances that might justify exceptions to the generally
applicable sentencing ranges;
(6) make any necessary conforming changes to the sentencing
guidelines; and
(7) assure that the guidelines adequately meet the purposes
of sentencing under section 3553(a)(2) of title 18, United
States Code.
SEC. 314. SOLICITATION OR RECRUITMENT OF PERSONS IN CRIMINAL
STREET GANG ACTIVITY.
Chapter 26 of title 18, United States Code, is amended by
adding at the end the following:
``Sec. 522. Recruitment of persons to participate in a
criminal street gang
``(a) Prohibited Acts.--It shall be unlawful for any person
to recruit, employ, solicit, induce, command, or cause
another person to be or remain as a member of a criminal
street gang, or conspire to do so, with the intent to cause
that person to participate in an offense described in section
521(a).
``(b) Definition.--In this section:
``(1) Criminal street gang.--The term `criminal street
gang' shall have the same meaning as in section 521(a) of
this title.
``(2) Minor.--The term `minor' means a person who is less
than 18 years of age.
``(c) Penalties.--Any person who violates subsection (a)
shall--
``(1) be imprisoned not more than 5 years, fined under this
title, or both; or
``(2) if the person recruited, solicited, induced,
commanded, or caused to participate or remain in a criminal
street gang is under the age of 18--
``(A) be imprisoned for not more than 10 years, fined under
this title, or both; and
``(B) at the discretion of the sentencing judge, be liable
for any costs incurred by the Federal Government, or by any
State or local government, for housing, maintaining, and
treating the person until the person attains the age of 18
years.''.
SEC. 315. INCREASED PENALTIES FOR CRIMINAL USE OF FIREARMS IN
CRIMES OF VIOLENCE AND DRUG TRAFFICKING.
(a) In General.--Section 924(c)(1)(A) of title 18, United
States Code, is amended--
(1) by striking ``shall'' and inserting ``or conspires to
commit any of the above acts, shall, for each instance in
which the firearm is used, carried, or possessed'';
(2) in clause (i), by striking ``5 years'' and inserting
``7 years''; and
(3) by striking clause (ii).
(b) Conforming Amendments.--Section 924 of title 18, United
States Code, is amended--
(1) in subsection (c), by striking paragraph (4); and
(2) by striking subsection (o).
SEC. 316. POSSESSION OF FIREARMS BY DANGEROUS FELONS.
(a) In General.--Section 924(e) of title 18, United States
Code, is amended--
(1) in paragraph (1), by inserting after ``violates section
922(g) of this title'' and before ``and has three previous
convictions'' the following: ``and has previously been
convicted by any court referred to in section 922(g)(1) for a
violent felony or a serious drug offense shall, in the case
of 1 such prior conviction, where a period of not more than
10 years has elapsed since the date of the conviction or
release of the person from imprisonment for that conviction,
be subject to imprisonment for not more than 15 years a fine
under this title, or both; in the case of 2 such prior
convictions, committed on occasions different from one
another, and where a period of not more than 10 years has
elapsed since the date of the conviction or release of the
person from imprisonment for that conviction, be subject to
imprisonment for not more than 20 years a fine under this
title, or both; and in the case of an individual who''; and
(2) by striking paragraph (2) and inserting the following:
``(2) As used in this subsection--
``(A) the term `serious drug offense' means--
``(i) an offense under the Controlled Substances Act (21
U.S.C. 801 et seq.), the Controlled Substances Import and
Export Act (21 U.S.C. 951 et seq.), or the Maritime Drug Law
Enforcement Act (46 U.S.C. App. 1901 et seq.), punishable by
a maximum term of imprisonment of not less than 10 years; or
``(ii) an offense under State law, involving manufacturing,
distributing, or possessing with intent to manufacture or
distribute, a controlled substance (as defined in section 102
of the Controlled Substances Act (21 U.S.C. 802)), punishable
by a maximum term of imprisonment of not less than 10 years;
``(B) the term `violent felony' means any crime punishable
by a term of imprisonment exceeding 1 year, or any act of
juvenile delinquency involving the use or carrying of a
firearm, knife, or destructive device that would be
punishable by a maximum term of imprisonment for such term if
committed by an adult, that--
``(i) has, as an element of the crime or act, the use,
attempted use, or threatened use of physical force against
the person of another; or
``(ii) is burglary, arson, or extortion, involves the use
of explosives, or otherwise involves conduct that presents a
serious potential risk of physical injury to another; and
``(C) the term `conviction' includes a finding that a
person has committed an act of juvenile delinquency involving
a violent felony.''.
(b) Amendment to Sentencing Guidelines.--Pursuant to its
authority under section 994(p) of title 28, United States
Code, the United States Sentencing Commission shall amend the
Federal Sentencing Guidelines to provide for an appropriate
increase in the offense level for violations of section
922(g) of title 18, United States Code, in accordance with
section 924(e) of such title 18, as amended by subsection
(a).
(c) Conforming Amendment.--The matter before paragraph (1)
in section 922(d) of title 18, United States Code, is amended
by inserting ``, transfer,'' after ``sell''.
SEC. 317. STANDARDIZATION OF CRIME REPORTING.
(a) Expanding Uniform Crime Reporting.--Section 7332(c) of
the Uniform Federal Crime Reporting Act of 1988 (28 U.S.C.
534 note) is amended by--
(1) in paragraph (2), by--
(A) inserting ``along with all municipality police
departments'' after ``which routinely investigate complaints
of criminal activity,''; and
(B) adding at the end the following: ``The Attorney General
shall create a separate category in the Uniform Crime Reports
to distinguish crimes committed by juveniles.''; and
(2) in paragraph (3), by inserting ``, officials of
municipalities,'' after ``State governments''.
(b) Consolidating and Standardizing All Crime Data.--
Section 150008 of the Violent Crime Control and law
Enforcement Act of 1994 (42 U.S.C. 14062) is amended--
(1) in subsection (a), by--
(A) inserting ``, consolidate, and standardize all'' after
``strategy to coordinate'';
(B) inserting ``and crime (that would be included in the
Uniform Crime Reports) related'' after ``gang-related'';
(C) striking ``and'' after ``shall acquire'' and inserting
``, consolidate, and standardize all'' after ``shall acquire,
collect''; and
(D) inserting ``and other crimes that would be included in
the Uniform Crime Reports'' after ``incidents of gang
violence'';
(2) in subsection (c), by--
(A) inserting ``the efforts and strategy of the Department
of Justice in consolidating and standardizing data on all
crime and'' after ``prepare a report on'';
(B) striking ``violence'' after ``national gang'' and
inserting ``offenses''; and
(C) striking ``1996'' after ``January 1,'' and inserting
``2008''; and
(3) in subsection (d), by--
(A) striking ``$1,000,000'' after ``carry out this
section'' and substituting ``$2,000,000''; and
(B) striking ``1996'' after ``fiscal year,'' and inserting
``2007''.
SEC. 318. PROVIDING ADDITIONAL FORENSIC EXAMINERS.
Section 816 of the Uniting and Strengthening America by
Providing Appropriate Tools Required to Intercept and
Obstruct Terrorism Act of 2001 (28 U.S.C. 509) is amended--
(1) in subsection (a)--
(A) by redesignating paragraph (5) as (6) and inserting
after paragraph (4) the following:
``(5) to hire additional forensic examiners to help with
forensic work and to fight gang activity; and''; and
(2) in subsection (b), by striking paragraph (1) and
inserting the following:
``(1) Authorization.--There is hereby authorized to be
appropriated in each fiscal year $55,000,000 for purposes of
carrying out this section.''
SEC. 319. STUDY ON EXPANDING FEDERAL AUTHORITY FOR JUVENILE
OFFENDERS.
(a) In General.--Not later than 9 months after the date of
enactment of this Act, the Comptroller General of the United
States shall submit to the Committees on the Judiciary of the
Senate and the House of Representatives a report on the costs
and benefits associated with expanding Federal authority to
prosecute offenders under the age of 18 who are gang members
who commit criminal offenses.
(b) Contents.--The report submitted under subsection (a)
shall--
(1) examine the ability of the judicial systems of the
States to respond effectively to juveniles who are members of
`criminal street gangs', as defined under section 521 of
title 18, United States Code;
(2) examine the extent to which offenders who are 16 and 17
years old are members of criminal street gangs, and are
accused of committing violent crimes and prosecuted in the
adult criminal justice systems of the individual States;
(3) determine the percentage of crimes committed by members
of `criminal street
[[Page S10732]]
gangs' that are committed by offenders who are 16 and 17
years old;
(4) examine the extent to which United States attorneys
currently bring criminal indictments and prosecute offenders
under the age of 18, and the extent to which United States
attorneys' offices include prosecutors with experience
prosecuting juveniles for adult criminal violations;
(5) examine the extent to which the Bureau of Prisons
houses offenders under the age of 18, and has the ability and
experience to meet the needs of young offenders;
(6) estimate the cost to the Federal Government of
prosecuting and incarcerating 16 and 17 year olds who are
members of criminal street gangs and are accused of violent
crimes; and
(7) detail any benefits for Federal prosecutions that would
be realized by expanding Federal authority to bring charges
against 16 and 17 year olds who are members of criminal
street gangs and are accused of violent crimes.
______
By Mrs. CLINTON:
S. 4029. A bill to increase the number of well-educated nurses, and
for other purposes; to the Committee on Health, Education, Labor, and
Pensions.
Mrs. CLINTON. Mr. President, I rise today to introduce the Nursing
Education and Quality of Health Care Act of 2006. This legislation is
essential for addressing our current and future nursing shortages.
I have been hearing from nurses and health care providers from every
part of New York that we are facing an impending nursing crisis and
their stories echo what is heard from nurses across the Nation.
By 2014, the Bureau of Labor Statistics forecasts that there will be
over 1 million job openings for registered nurses. In New York alone,
we will need to produce over 80,000 new RNs to meet these projections.
One of our greatest needs will be in rural areas where the pool of
nurses is small and the loss of just one nurse from the workforce can
have a profound impact on the health of the community.
I can proudly say we have made good progress in New York on one
front. In 2006, 30 percent more registered nurses graduated than in
2004. I believe that we can credit this increase to the Nurse
Reinvestment Act that was signed into law in 2002. Through this
bipartisan legislation, we were able to make great strides in
strengthening our nation's nursing workforce.
The Nurse Reinvestment Act includes a number of critical initiatives
including one from the bipartisan bill I introduced with Senator Gordon
Smith to retain nurses who are already in the profession. The Clinton-
Smith provision provides grants to health care organizations that
develop and implement models based on magnet hospitals. Hospitals that
have achieved magnet status report lower mortality rates, higher
patient satisfaction, greater cost-efficiency, and patients
experiencing shorter stays in hospitals and intensive care units.
But I am here today because nurses are still facing an urgent
situation that requires action. Even though we are making strides to
graduate more nurses, in 2005 over 37,000 qualified applicants were
turned away from nursing schools in United States. In New York, it is
estimated that nearly 3,000 nursing school applicants were denied
entry. Put simply, we don't have the capacity in our nursing schools to
train qualified potential students.
Not only are we facing a nursing shortage, we are setting ourselves
up for a potential nursing crisis if we don't address the impending
faculty shortage. This situation will become dire if we lose potential
nurses due to the retirement of nurse faculty as that the aging
population increases.
We need to pave the way and recruit more people into the nursing
profession. This shortage crisis impacts not only the nurses, but also
patients since we know that the quality of care increases when nurses
are not working too many hours, are not treating too many patients, and
are satisfied with their jobs.
Today I am here to support recruitment, education, and training to
help alleviate this crisis in New York and in the rest of the nation
through introduction of the Nursing Education and Quality of Health
Care Act of 2006. This act will establish distance learning
opportunities for people in rural communities who wish to pursue the
nursing profession without leaving their home town. This legislation
will also provide tuition assistance and loan forgiveness for those who
choose to practice in rural communities.
To increase the number of nurses in the workforce we need to expand
the nursing faculty so that thousands of qualified people are not
turned away from the profession. This legislation will fund programs
that will enhance recruitment, scholarships, and educational
preparation and encourage more nurses to become faculty members by
establishing online courses and accelerated degree programs.
We need for nurses to participate and collaborate in patient-safety
initiatives for the well-being of patients. The Nursing Education and
Quality of Health Care Act will take the lead on this issue by
supporting projects that integrate patient safety practices into
nursing education programs and enhance the leadership of nurses in
improving patients' outcomes within their health care settings.
We will all rely on nurses sometime in our life, and we need to make
sure that this essential member of the health care team will always be
present at our bedsides.
I am pleased to be here encouraging Nurses, who are so critical to
the successful operation of our hospitals and the quality of care
patients receive. We should be doing everything we can to address the
nursing shortage and to make nursing an attractive and rewarding
profession.
The Nursing Education and Quality of Health Care Act of 2006 is
supported by: American Association of Colleges of Nursing; American
Nursing Association; American Organization of Nurse Executives;
Brooklyn Nursing Partnership; New York State Area Health Education
Center System
______
By Mr. HATCH:
S. 4030. A bill to amend the Internal Revenue Code of 1986 to
simplify certain provisions applicable to real estate investment
trusts, and for other purposes; to the Committee on Finance.
Mr. HATCH. Mr. President, I rise today to introduce the REIT
Investment Diversification and Empowerment Act of 2006 (RIDEA). This
legislation would make a handful of relatively minor, but nonetheless
important, changes to the tax rules governing Real Estate Investment
Trusts to permit REITs to better meet the challenges of evolving market
conditions and opportunities.
As most of my colleagues know, Real Estate Investment Trusts are
companies that own, and in most cases, operate income-producing real
estate. Congress created REITs in 1960 to give everyone the ability to
invest in large-scale commercial properties in a very liquid way. The
REIT industry has grown dramatically in size and importance to the U.S.
economy since then, and in the last ten years in particular.
While the tax laws governing REITs are very good, from time to time
they need to be modified to keep pace with the changes in the
marketplace and in our economy. I am pleased to have supported, along
with many of my colleagues, several tax bills that have been enacted in
the past decade or so to modernize the tax treatment of Real Estate
Investment Trusts.
Federal tax law requires that REITs meet specific tests regarding the
composition of their gross income and assets. For example, 95 percent
of their annual gross income must be from specified sources such as
dividends, interests and rents, and 75 percent of their gross income
must be from real estate-related sources. Similarly, at the end of each
calendar quarter, 75 percent of a REIT's assets must consist of
specified ``real estate'' assets. Consequently, REITs must derive a
majority of their gross income from commercial real estate.
Failure to meet these tests can result in loss of REIT status,
although with the enactment of the REIT Improvement Act in 2004, it may
be possible for a REIT to pay a monetary penalty and bring itself into
compliance in order to avoid such a result if the REIT can demonstrate
reasonable cause for such failure.
Commercial real estate represents more than six percent of this
country's gross domestic product and is a key generator of jobs and
other economic activities. For example, REITs have invested over $1.2
billion in my home State of Utah and have thus been a major contributor
to our robust economy. Over the past 46 years, Real Estate Investment
Trusts have fulfilled
[[Page S10733]]
Congress' vision by making investments in large scale, capital
intensive commercial real estate available to all investors.
Changes to the REIT rules that Congress has made in the past decade
have allowed REITs to serve better their tenants while maximizing
returns to REIT shareholders.
The bill I introduce today would further modify the REIT tax rules to
conform to constantly evolving business realities, such as the growing
importance of cross-border trade and the increased velocity of the
competitive marketplace, while still focusing REITs on commercial real
estate activities.
Specifically, the bill includes five titles.
The first would clarify the tax treatment of foreign currency gains
attributable to overseas real estate investment. This is important as
U.S. REITs continue to expand their investments overseas.
The second title would increase the permissible ownership of a REIT
in a taxable REIT subsidiary to 25 percent from the current-law 20
percent. This change would bring the REIT rules into conformity with
similar rules governing mutual funds.
Title III of the bill would update the safe harbor test for purposes
of the 100 percent excise tax in relation to dealer sales. This would
help REITs more prudently manage the timing and extent of their asset
dispositions.
The bill's fourth title would conform the tax treatment of health
care facilities to that of lodging facilities by treating as qualifying
income rental payments attributable to a health care facility made to a
REIT from a taxable REIT subsidiary. This change would allow health
care REITs more flexibility.
Finally, the bill's fifth title would amend the REIT rules to provide
that income from, and interests in, foreign-qualified REITs would be
treated as qualifying REIT income and assets under the U.S. REIT rules
under certain circumstances. This change is important because about 20
countries have now enacted legislation that closely resembles our REIT
rules, and many U.S. REITs may wish to invest in a non-U.S. REIT. This
would allow them to do so with a minimum of complexity.
I urge my colleagues to review this bill and lend their support to
it. I realize that it is very late in the second session of the 109th
Congress, and there is little time for us to consider newly-introduced
tax bills. However, I hope to reintroduce this legislation in the next
Congress if we do not get a chance to consider it this year.
I ask unanimous consent that a section-by-section analysis of the
REIT Investment Diversification and Empowerment Act 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:
REIT Investment Diversification and Empowerment Act of 2006
Section-by-Section Description
The REIT Investment Diversification and Empowerment Act of
2006 (RIDEA) includes the following provisions to help
modernize the tax rules governing Real Estate Investment
Trusts to permit REITs to better meet the challenges of
evolving market conditions and opportunities:
Title I: Foreign Currency and Other Qualified Activities
The Internal Revenue Service (IRS) has long recognized that
U.S. REITs can, and do, invest outside the U.S., essentially
recognizing that any income generated from REIT-permissible
sources outside of the U.S. should not jeopardize the REIT's
tax status. However, the treatment of foreign currency gains
directly attributable to overseas real estate investment is
not wholly clear, and its correct characterization is
becoming increasingly important as U.S. REITs strengthen
their positions in foreign markets.
To ensure that foreign currency gains do not harm a REIT's
tax status, the IRS has provided a short-term solution by
allowing certain REITs to establish a subsidiary REIT in each
currency zone in which a REIT invests. However, the use of
subsidiary REITs, each of which must satisfy the complex
myriad of REIT rules or risk disqualification of the parent
REIT, is a cumbersome and unmanageable solution in the long
term. Accordingly, RIDEA would clarify existing law by
characterizing foreign currency gains generated by a REIT
outside the U.S. as ``good'' REIT income so long as the REIT
focuses on commercial real estate, as measured by specific
objective rules. Despite the IRS' authority to prescribe
similar rules, the absence of such guidance necessitates
legislative clarification to provide certainty to REIT
management and their shareholders within a more administrable
framework.
RIDEA also would delegate to the IRS the express authority
to issue guidance with respect to whether any other item of
income should satisfy the REIT gross income tests or should
not be taken into account in calculating these tests. While
the IRS often has been willing to grant such rulings to
specific taxpayers, these rulings cannot be relied on by
other taxpayers and in any event do not cover all
circumstances.
Thus, RIDEA would: (1) characterize foreign currency gains
attributable to a REIT's ownership and operation of overseas
real estate assets as qualifying income under REIT gross
income tests; (2) conform the current REIT hedging rule to
also apply to foreign currency gains and to apply those rules
for purposes of the REIT gross income tests under current
law; (3) specifically provide the Department of the
Treasury the authority to issue guidance on other items of
income to either qualify under the REIT gross income tests
or to provide that items of income are not taken into
account in computing those tests; (4) treat foreign
currency as a qualifying real estate asset; and (5) make
conforming changes to other REIT provisions reflecting
foreign currency gains.
Title II: Taxable REIT Subsidiaries
As originally introduced in 1999, the REIT Modernization
Act (RMA) limited a REIT's ownership in taxable REIT
subsidiaries (TRS) to 25 percent of a REIT's gross assets.
However, the limit was reduced to 20 percent when Congress
ultimately enacted the RMA as part of the Ticket to Work
Incentives Improvement Act of 1999.
RIDEA would increase the limit on TRS securities from 20
percent to 25 percent of a REIT's gross assets. The rationale
for a 25 percent limit on TRSs that was contained in the RMA
remains the same today. The dividing line for testing a
concentration on commercial real estate in the REIT rules has
long been set at 25 percent, and even the mutual fund rule
uses a 25 percent test. An IRS study shows increasing amounts
of taxes paid by new TRSs, and common sense tells IUS that
permitting increased activities in a double tax regime should
increase revenues to the fisc compared to a single tax
regime.
Title III: Dealer Sales
The Internal Revenue Code imposes a 100 percent excise tax
on profits generated on sales of property in which a REIT is
acting as a dealer rather than an investor. Because of the
confiscatory nature of this 100 percent excise tax, the Code
provides a ``safe harbor'' under which a REIT can be assured
that the excise tax does not apply if it satisfies a number
of requirements. RIDEA would make two changes to the dealer
safe harbor.
One requirement under current law is that the REIT not
either make seven sales in a taxable year or sell more than
10 percent of its portfolio each year. However, the test as
currently constructed penalizes many REITs that have owned
their properties for a long period of time. This is because
the test is geared to the property's ``tax basis,'' an amount
that diminishes over time due to tax depreciation, rather
than ``fair market value'', an amount that generally
increases over time. Second, the current test requires that a
REIT hold a property for at least four years, three years
longer than the general holding period required to
distinguish between an ``investor'' and a ``dealer'' in
property.
RIDEA would update this safe harbor to test ``fair market''
value instead of ``tax basis'' to allow REITs that have owned
their properties for longer periods not be penalized and
thereby prevented from prudently managing the timing and
extent of asset dispositions. As part of the REIT
Modernization Act of 1999, Congress adopted a provision that
utilizes fair market value rules for purposes of
calculating personal property rents associated with the
rental of real property. Thus, there is an analogous
precedent for a fair value approach.
The safe harbor also would be amended to replace the 4-year
holding period with a 2-year holding period. The 4-year
requirement is not consistent with other Code provisions that
define whether property is held for long term investments,
such as the 1-year holding period to determine long-term
capital gains treatment, and the 2-year holding period to
distinguish whether the sale of a home is taxable because it
is held for investment purposes.
Title IV: Health Care REITs
Generally, rental payments made from a subsidiary owned by
a REIT to that REIT are not considered qualified rental
income for REIT purposes under the ``related party rules''.
However, as part of the REIT Modernization Act of 1999 (RMA),
a lodging REIT is allowed to establish a taxable REIT
subsidiary (TRS) that can lease lodging facilities from a
REIT holding a controlling interest, with the payments to the
REIT considered qualified income under the REIT rules. The
RMA also created a rule under which a TRS is not allowed to
operate or manage lodging or health care facilities.
At the time the RMA was considered, it was not clear that
health care REITs would be interested in such treatment, so
health care facilities do not qualify for the RMA exception
to the related party rules. Today, many operators of health
care assets such as assisted living facilities do not want to
bear the financial risks of being a lessee of such facilities
and would rather act purely as an
[[Page S10734]]
independent operator of the facilities. Health care REITs now
believe that the TRS restriction is interfering with their
ability to manage their operations in the most efficient
manner.
RIDEA would conform the treatment of health care facilities
to that of lodging facilities by treating as qualifying
income rental payments attributable to a health care facility
made to a REIT from a taxable REIT subsidiary. Under this
proposal, a TRS would still be required to use an independent
contractor to manage or operate health care facilities, but
payments collected by a REIT from its TRS renting health care
facilities would be qualified income under the REIT tests.
Title V: Foreign REITs
Since imitation is the sincerest form of flattery, Congress
should be proud that about 20 countries have enacted
legislation paralleling the U.S. REIT rules after observing
the benefits brought to the United States as a result of a
vibrant REIT market. The number of countries that have
adopted REIT-like legislation this past decade has greatly
accelerated, with Israel being the latest country to do so
and legislation in the United Kingdom going into effect on
January 1, 2007. Although the tax code treats stock in a U.S.
REIT as a real estate asset, so that it is a qualified
asset that generates qualifying income, current law does
not afford the same treatment to the stock of non-U.S.
REITs.
A U.S. REIT might want to invest in another country through
a REIT organized in that country. A company could lose its
status as a U.S. REIT if it owns more than 10 percent of the
foreign REIT's securities, even though the foreign company
looks and acts like a U.S. REIT. A REIT should not be
discouraged from investing in an entity that engages in the
same activities that a U.S. REIT is allowed to undertake if
it invests directly in another country.
RIDEA would amend the REIT rules to provide that income
from, and interests in, foreign-qualified REITs would be
treated as qualifying REIT income and assets under the U.S.
REIT rules provided that under the laws of another country:
(1) at least 75 percent of the foreign company's assets must
be invested in real estate assets; (2) the foreign REIT
either receives a dividends paid deduction or is exempt from
corporate level tax; and (3) the foreign REIT is required to
distribute at least 85 percent of its taxable income to
shareholders on an annual basis.
____
S. 4030
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 ``REIT Investment
Diversification and Empowerment Act of 2006''.
SEC. 2. AMENDMENT OF 1986 CODE.
Except as otherwise expressly provided, whenever in the Act
an amendment or repeal is expressed in terms of an amendment
to, or repeal of, a section or other provision, the reference
shall be considered to be made to a section or other
provision of the Internal Revenue Code of 1986.
TITLE I--FOREIGN CURRENCY AND OTHER QUALIFIED ACTIVITIES
SEC. 101. REVISIONS TO REIT INCOME TESTS.
(a) Addition of Permissible Income Categories.--Section
856(c) (relating to limitations) is amended--
(1) by striking ``and'' at the end of paragraph (2)(G) and
by inserting after paragraph (2)(H) the following new
subparagraphs:
``(I) passive foreign exchange gains; and
``(J) any other item of income or gain as determined by the
Secretary;'', and
(2) by striking ``and'' at the end of paragraphs (3)(H) and
(3)(I) and by inserting after paragraph (3)(I) the following
new subparagraphs:
``(J) real estate foreign exchange gains; and
``(K) any other item of income or gain as determined by the
Secretary; and''.
(b) Rules Regarding Foreign Currency Transactions.--Section
856 (defining real estate investment trust) is amended by
adding at the end the following new subsection:
``(n) Rules Regarding Foreign Currency Transactions.--With
respect to any taxable year--
``(1) Real estate foreign exchange gains.--For purposes of
subsection (c)(3)(J), the term `real estate foreign exchange
gains' means--
``(A) foreign currency gains (as defined in section
988(b)(1)) which are attributable to--
``(i) any item described in subsection (c)(3),
``(ii) the acquisition or ownership of obligations secured
by mortgages on real property or on interests in real
property (other than foreign currency gains described in
clause (i)), or
``(iii) becoming or being the obligor under obligations
secured by mortgages on real property or on interests in real
property (other than foreign currency gains described in
clause (i)),
``(B) gains described in section 987 attributable to a
qualified business unit (as defined by section 989) of the
real estate investment trust, but only if such qualified
business unit meets the requirements under--
``(i) subsection (c)(3) for the taxable year; and
``(ii) subsection (c)(4)(A) at the close of each quarter
that the real estate investment trust has directly or
indirectly held the qualified business unit, and
``(C) any other foreign currency gains as determined by the
Secretary.
``(2) Passive foreign exchange gains.--For purposes of
subsection (c)(2)(I), the term `passive foreign exchange
gains' means--
``(A) gains described under paragraph (1),
``(B) foreign currency gains (as defined in section
988(b)(1)) which are attributable to any item described in
subsection (c)(2) (other than those items includible under
subparagraph (A)), and
``(C) any other foreign currency gains as determined by the
Secretary.''.
(c) Addition to REIT Hedging Rule.--Subparagraph (G) of
section 856(c)(5) is amended to read as follows:
``(G) Treatment of certain hedging instruments.--Except to
the extent as determined by the Secretary--
``(i) any income of a real estate investment trust from a
hedging transaction (as defined in clause (ii) or (iii) of
section 1221(b)(2)(A)) which is clearly identified pursuant
to section 1221(a)(7), including gain from the sale or
disposition of such a transaction, shall not constitute gross
income under paragraphs (2) and (3) to the extent that the
transaction hedges any indebtedness incurred or to be
incurred by the trust to acquire or carry real estate assets,
and
``(ii) any income of a real estate investment trust from a
transaction entered into by the trust primarily to manage
risk of currency fluctuations with respect to any item
described in paragraphs (2) and (3), including gain from the
termination of such a transaction, shall not constitute gross
income under paragraphs (2) and (3), but only if such
transaction is clearly identified as such before the close of
the day on which it was acquired, originated, or entered into
(or such other time as the Secretary may prescribe).''.
(d) Authority to Exclude Items of Income From REIT Income
Tests.--Section 856(c)(5) is amended by adding at the end the
following new subparagraph:
``(H) Secretarial authority to exclude other items of
income.--The Secretary is authorized to determine whether any
item of income or gain which does not otherwise qualify under
paragraph (2) or (3) may be considered as not constituting
gross income solely for purposes of this part.''.
SEC. 102. REVISIONS TO REIT ASSET TESTS.
(a) Clarification of Valuation Test.--The first sentence in
the matter following section 856(c)(4)(B)(iii)(III) is
amended by inserting ``(including a discrepancy caused solely
by the change in the foreign currency exchange rate used to
value a foreign asset)'' after ``such requirements''.
(b) Clarification of Permissible Asset Category.--Section
856(c)(5), as amended by section 101(d), is amended by adding
at the end the following new subparagraph:
``(I) Cash.--For purposes of this part, the term `cash'
includes foreign currency if the real estate investment trust
or its qualified business unit (as defined in section 989)
uses such foreign currency as its functional currency (as
defined in section 985(b)).''.
SEC. 103. CONFORMING FOREIGN CURRENCY REVISIONS.
(a) Net Income From Foreclosure Property.--Clause (i) of
section 857(b)(4)(B) is amended to read as follows:
``(i) gain (including any foreign currency gain, as defined
in section 988(b)(1)) from the sale or other disposition of
foreclosure property described in section 1221(a)(1) and the
gross income for the taxable year derived from foreclosure
property (as defined in section 856(e)), but only to the
extent such gross income is not described in (or, in the case
of foreign currency gain, not attributable to gross income
described in) section 856(c)(3) other than subparagraph (F)
thereof, over''.
(b) Net Income From Prohibited Transactions.--Clause (i) of
section 857(b)(6)(B) is amended to read as follows:
``(i) the term `net income derived from prohibited
transactions' means the excess of the gain (including any
foreign currency gain, as defined in section 988(b)(1)) from
prohibited transactions over the deductions (including any
foreign currency loss, as defined in section 988(b)(2))
allowed by this chapter which are directly connected with
prohibited transactions;''.
TITLE II--TAXABLE REIT SUBSIDIARIES
SEC. 201. CONFORMING TAXABLE REIT SUBSIDIARY ASSET TEST.
Section 856(c)(4)(B)(ii) is amended by striking ``20
percent'' and inserting ``25 percent''.
TITLE III--DEALER SALES
SEC. 301. HOLDING PERIOD UNDER SAFE HARBOR.
Section 857(b)(6) (relating to income from prohibited
transactions) is amended--
(1) by striking ``4 years'' in subparagraphs (C)(i),
(C)(iv), and (D)(i) and inserting ``2 years'',
(2) by striking ``4-year period'' in subparagraphs (C)(ii),
(D)(ii), and (D)(iii) and inserting ``2-year period'', and
(3) by striking ``real estate asset'' and all that follows
through ``if'' in the matter preceding clause (i) of
subparagraphs (C) and (D) and inserting ``real estate asset
(as defined in section 856(c)(5)(B) otherwise described in
section 1221(a)(1) if''.
SEC. 302. DETERMINING VALUE OF SALES UNDER SAFE HARBOR.
Subparagraphs (C)(iii)(II) and (D)(iv)(II) of section
857(b)(6) are each amended by striking ``the aggregate
adjusted bases'' and all that follows through ``the beginning
of the taxable year'' and inserting ``the fair market
[[Page S10735]]
value of property (other than sales of foreclosure property
or sales to which section 1033 applies) sold during the
taxable year does not exceed 10 percent of the fair market
value of all of the assets of the trust as of the beginning
of the taxable year''.
TITLE IV--HEALTH CARE REITS
SEC. 401. CONFORMITY FOR HEALTH CARE FACILITIES.
(a) Related Party Rentals.--Subparagraph (B) of section
856(d)(8) (relating to special rule for taxable REIT
subsidiaries) is amended to read as follows:
``(B) Exception for certain lodging facilities and health
care property.--The requirements of this subparagraph are met
with respect to an interest in real property which is a
qualified lodging facility or a qualified health care
property (as defined in subsection (e)(6)(D)(i)) leased by
the trust to a taxable REIT subsidiary of the trust if the
property is operated on behalf of such subsidiary by a person
who is an eligible independent contractor.''.
(b) Eligible Independent Contractor.--Subparagraphs (A) and
(B) of section 856(d)(9) (relating to eligible independent
contractor) are amended to read as follows:
``(A) In general.--The term `eligible independent
contractor' means, with respect to any qualified lodging
facility or qualified health care property (as defined in
subsection (e)(6)(D)(i)), any independent contractor if, at
the time such contractor enters into a management agreement
or other similar service contract with the taxable REIT
subsidiary to operate such qualified lodging facility or
qualified health care property, such contractor (or any
related person) is actively engaged in the trade or business
of operating qualified lodging facilities or qualified health
care properties, respectively, for any person who is not a
related person with respect to the real estate investment
trust or the taxable REIT subsidiary.
``(B) Special rules.--Solely for purposes of this paragraph
and paragraph (8)(B), a person shall not fail to be treated
as an independent contractor with respect to any qualified
lodging facility or qualified health care property (as so
defined) by reason of the following:
``(i) The taxable REIT subsidiary bears the expenses for
the operation of such qualified lodging facility or qualified
health care property pursuant to the management agreement or
other similar service contract.
``(ii) The taxable REIT subsidiary receives the revenues
from the operation of such qualified lodging facility or
qualified health care property, net of expenses for such
operation and fees payable to the operator pursuant to such
agreement or contract.
``(iii) The real estate investment trust receives income
from such person with respect to another property that is
attributable to a lease of such other property to such person
that was in effect as of the later of --
``(I) January 1, 1999, or
``(II) the earliest date that any taxable REIT subsidiary
of such trust entered into a management agreement or other
similar service contract with such person with respect to
such qualified lodging facility or qualified health care
property.''.
TITLE V--FOREIGN REITS
SEC. 501. STOCK OF FOREIGN REITS AS REAL ESTATE ASSETS.
(a) In General.--The first sentence in section 856(c)(5)(B)
is amended by inserting ``or in a qualified foreign REIT''
after ``this part''.
(b) Qualified Foreign REIT.--Section 856(c) is amended by
adding at the end the following new paragraph:
``(8) Qualified foreign reit.--For purposes of this
subsection, the term `qualified foreign REIT' means a
corporation, trust, or association--
``(A) treated as a corporation under section 7701(a)(3),
``(B) the shares or certificates of beneficial interests of
which are regularly traded on an established securities
market, and
``(C) which is organized in a country under rules that the
Secretary determines meet the following criteria:
``(i) At least 75 percent of the entity's assets must
qualify as real estate assets (determined without regard to
shares or transferable certificates of beneficial interest in
such entity), as determined at the close of the entity's
prior taxable year.
``(ii) The entity either receives a dividends paid
deduction comparable to section 561 or is exempt from
corporate level tax.
``(iii) The entity is required to distribute at least 85
percent of its annual taxable income (as computed in the
jurisdiction in which it is organized) to the holders of its
shares or certificates of beneficial interest on an annual
basis.''.
SEC. 502. DIVIDENDS FROM FOREIGN REITS.
Section 856(c)(3)(D) is amended by inserting ``and in
qualified foreign REITs'' after ``this part''.
TITLE VI--EFFECTIVE DATES
SEC. 601. EFFECTIVE DATES.
(a) In General.--Except as otherwise provided in this
section, the amendments made by this Act shall apply to
taxable years beginning after the date of the enactment of
this Act.
(b) REIT Hedging Rules.--The amendment made by section
101(c) shall apply to transactions entered into after the
date of the enactment of this Act.
______
By Mr. DODD (for himself, Mr. Kennedy, Mr. Kerry, Mr. Lieberman,
Mr. Durbin, Mr. Schumer, and Mrs. Clinton):
S. 4033. A bill to provide for Kindergarden Plus programs; to the
Committee on Health, Education, Labor, and Pensions.
Mr. DODD. Mr. President, I rise today to introduce legislation to
jump-start the chance for success in school for this Nation's low-
income children. Today I am introducing the Sandy Feldman Kindergarten
Plus Act of 2006.
The legislation I am introducing today will provide children below
185 percent of the poverty line with additional time in kindergarten
during the summer before and the summer after the traditional
kindergarten school year, and help to ensure that more children enter
school ready to succeed. The kindergarten year is an important time of
transition for young children. It represents the first year of
schooling for 98 percent of the children in the United States, and it
marks the bridge between early childhood education and the primary
grades of school.
Many may ask why an initiative that will give an extra four months of
kindergarten to low-income children? The answer is simple. Because too
many low-income children today enter kindergarten unprepared for the
year ahead and many children from low-income families are constantly
outperformed by their wealthier peers.
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 educational 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? We can offer them
``show and tell'' to develop their oral language skills and ability to
speak out loud in sequential sentences. Simply put, we need to provide
them with a solid foundation that allows them to enter school with the
skills necessary to become strong students.
How does this translate into school readiness? 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. Low-income children often have a more limited vocabulary. By the
time they are in first grade, children in low-income families have
5,000 word vocabularies. In contrast, children from more affluent
families enter school with vocabularies of 20,000 words. These are
significant discrepancies.
In the John Hopkins University report, ``Schools, Achievement, and
Inequality: A Seasonal Perceptive,'' recommendations are made to
improve the socioeconomic differences in the seasonality of children's
learning over the school and summer months. The report that states
during the summer, upper socioeconomic status (SES) children's skills
continue to advance, but lower SES children's gains, on average, are
flat. Pre-school and kindergarten can reduce the achievement gap
associated with SES when children start first grade, but to help them
keep up it requires extra resources and enrichment experiences. Summer
education programs can build potential for economically disadvantaged
children and their parents in support of academic development.
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. This is what this legislation strives
to do.
This legislation was named after Sandy Feldman who was a tireless
advocate for children and public education who died last year after a
long battle with cancer. Her commitment to social justice and her
authority on urban education dates to her involvement with the civil
rights movement.
Sandy rose from her position as second grade elementary school
teacher to
[[Page S10736]]
become president of the 1.3 million-member American Federation of
Teachers. She also knew that all too often, we don't give our schools
the resources they need to make all students' dreams come to fruition.
Her focus on early childhood education led her to develop the concept
for this legislation and it was Sandy who spent countless hours
developing the details to ensure this would be a high quality
initiative.
I am joined in introducing this legislation by my colleagues Senators
Kennedy, Kerry, Lieberman, Durbin, Schumer, and Clinton. This bill is
also supported by the American Federation of Teachers, the Parent
Teacher Association, National Education Association, Council of Great
City Schools, the Society for Research in Child Development, American
Federation of State, County, and Municipal Employees, Service Employees
of International Union, National Head Start Association, the Children's
Defense Fund and Easter Seals. I urge my colleagues to join this effort
and cosponsor the legislation. I encourage them to help give low-income
children a jump-start on school success.
I ask unanimous consent that the text of this bill be printed in the
Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4033
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 ``Kindergarten Plus Act of
2006''.
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) Eighty-five 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--
(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--
[[Page S10737]]
(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--
(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.
[[Page S10738]]
(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
2007 and such sums as may be necessary for each of the fiscal
years 2008 through 2012.
______
By Mr. REID (for himself and Mrs. Clinton):
S. 4034. A bill to amend title 18 of the United States Code to
prohibit certain types of vote tampering; to the Committee on the
Judiciary.
Mr. REID. Mr. President, I ask unanimous consent that the text of the
bill be printed in the Record.
There being no objection, the bill was ordered to be printed in the
Record, as follows:
S. 4034
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 ``Voter Suppression, Ballot
Hacking, and Election Fraud Prevention Act''.
SEC. 2. PROHIBITION ON VOTE TAMPERING.
(a) In General.--Chapter 29 of title 18, United States
Code, is amended by adding at the end the following:
``Sec. 612. Vote tampering
``(a) In General.--Whoever knowingly and willfully
interferes with, affects, attempts to interfere with, or
attempts to affect an election of a candidate or a ballot
initiative by tampering with a voting system, discarding
ballots, or altering a vote shall be fined under this title
or imprisoned for not more than 20 years, or both.
``(b) Application.--This section applies only to elections
described in, and candidates described in, section 11(e)(2)
of the Voting Rights Act of 1965 (42 U.S.C. 1973i(e)(2)).
``(c) Civil Action.--Any individual whose right to vote is
interfered with by reason of a violation of this section may
bring a civil action in Federal court against the violator
and recover damages not to exceed $10,000.
``(d) Definition.--In this section, the terms `vote' and
`voting' have the meanings given the terms in section 14(c)
of the Voting Rights Act of 1965 (42 U.S.C. 1973l(c)).''.
(b) Chapter Analysis.--The chapter analysis for chapter 29
of title 18, United States Code, is amended by inserting
after the item for section 612 the following:
``612. Vote tampering.''.
______
By Mr. SARBANES:
S. 4038. A bill to establish the bipartisan and independent
Commission on Global Resources, Environment, and Security, and for
other purposes; to the Committee on Environment and Public Works.
Mr. SARBANES. Mr. President, today I am introducing legislation to
establish a Commission on Global Resources, Environment and Security.
The goal of the Commission is to address one of the most serious, long-
[[Page S10739]]
term threats facing our Nation--the degradation of the earth's natural
life support systems--and to make recommendations for a coordinated,
comprehensive, long-range national policy and new strategies to promote
global environmental security.
In March 2005, more than 1,300 scientists from 95 countries around
the world completed the largest and most comprehensive study of the
health of the earth's ecosystems ever undertaken. Known as the
Millennium Ecosystem Assessment, the four-year study found that the
natural systems that support life on earth--our waters, wildlife and
fisheries, air and lands--have been degraded more rapidly and
extensively over the past five decades than in any comparable period of
time in history. The result has been a substantial loss of
biodiversity, a significant increase in atmospheric concentration of
carbon dioxide, depletion of world fisheries and water supplies,
excessive nutrient pollution of rivers and coastal waters, and
increased risk of emergence of new diseases. The report also found
that, unless substantial actions are taken in policies, institutions
and practices in the near future to reverse the degradation, the
pressure on the planet's ecosystems will continue to increase. In the
next 50 years, the world population is expected to grow from
approximately 6 billion to more than 9 billion people. Global demand
for food is projected to increase by 70-80 percent. Energy consumption
is projected to double by 2035 at current growth rates. Globally, as
much as 25 percent of freshwater use and 35 percent of irrigation
withdrawal is supplied from unsustainable sources. An estimated 7
billion people could face water shortages.
Experts agree that these environmental threats also have profound
implications for our national security. According to former Secretary
of State Colin Powell . . . ``poverty, destruction of the environment
and despair are destroyers of people, of societies, of nations, a cause
of instability as an unholy trinity that can destabilize countries and
destabilize entire regions.''
As the world's wealthiest nation, the U.S. has the responsibility and
the unique capacity to lead the world toward a more sustainable future.
The legislation which I am introducing today represents the important
step in that direction. It provides for the establishment of an
independent commission to examine the state of scientific understanding
and current efforts to protect the global environment, to assess the
impact of continued global environmental deterioration on U.S.
interests, and to make recommendations to address these threats. The
last time the Federal Government took a broad in-depth review of
international environment and development issues was in the 1970s.
At the launch of Millenium Ecosystem Assessment, Secretary General of
the United Nations, Kofi Annan, stated that, ``only by understanding
the environment and how it works, can we make the necessary decisions
to protect it.'' The concept of such a Commission is strongly supported
by a broad range of leading scientific and foreign policy leaders who
have signed the ``Earth Legacy Declaration.'' They assert that: ``We
need a national discussion on the fundamental questions of what legacy
we will leave our children and grandchildren, and what actions we must
take as a nation to ensure that the world we hand down to them is as
safe, healthy, and bountiful as the one we inherited.''
We need a new consensus and a foundation upon which to build a
renewed U.S. commitment to protect the global environment. I hope my
colleagues will join me in this measure to establish this Commission on
Global Resources, Environment, and Security.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4038
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 ``Global Resources,
Environment, and Security Commission Act of 2006''.
SEC. 2. FINDINGS AND PURPOSE.
(a) Findings.--Congress finds that--
(1) humans are placing increasing and potentially
unsustainable pressures on--
(A) the Earth;
(B) ecosystems; and
(C) natural resources;
(2) economic prosperity, human health, and peaceful
international relations depend on the continued existence
of--
(A) a clean environment; and
(B) the sustainability of natural resources and ecosystem
services;
(3) increasing scarcities of natural resources and
environmental degradation can cause economic losses and
contribute to--
(A) disease;
(B) famine;
(C) increased vulnerability to natural disasters;
(D) mass migration;
(E) disruption of trade; and
(F) violent conflict;
(4) those potential disasters can--
(A) weaken all members of the international community; and
(B) create serious threats to the national security of the
United States;
(5) many scientific studies reveal that the rapid increases
in global population and the new global security problems
have, and will likely continue to have, serious impacts on
the United States, including--
(A) inadequate access to sources of healthy freshwater;
(B) loss of biodiversity;
(C) climate change;
(D) marine overfishing and pollution;
(E) transboundary air pollution;
(F) nuclear and chemical contamination;
(G) deforestation;
(H) invasive species migration; and
(I) soil degradation and desertification;
(6) the complex and interconnected nature of those problems
requires new forms of cooperation between--
(A) the stakeholders of the United States; and
(B) the United States and other countries;
(7) according to the National Environmental Policy Act of
1969 (42 U.S.C. 4321 et seq.), it is the national policy of
the United States--
(A) to recognize the worldwide and long-range character of
environmental problems; and
(B) to lend appropriate support to initiatives,
resolutions, and programs designed to maximize international
cooperation in anticipating and preventing a decline in the
quality of the world environment;
(8) the United States is in a unique position to be able to
share scientific and technical expertise on the world stage
in ways that--
(A) benefit all persons; and
(B) provide opportunities in the United States for--
(i) economic growth;
(ii) investment; and
(iii) innovation; and
(9) the leadership of the United States on the advancement
of global environmental security serves the domestic
interests of the United States while strengthening
relationships between the United States and other countries.
(b) Purpose.--The purpose of this Act is to establish a
bipartisan and independent commission to make recommendations
for a coordinated, comprehensive, and long-range national
policy for new and existing strategies initiated by the
United States to promote global environmental security.
SEC. 3. ESTABLISHMENT OF COMMISSION.
(a) Establishment.--There is established a commission to be
known as the ``Commission on Global Resources, Environment,
and Security'' (referred to in this Act as the
``Commission'').
(b) Membership.--
(1) Composition.--The Commission shall be composed of 18
members who are knowledgeable in matters relating to global
environmental security and population (including individuals
with experience from the Federal Government, State, and local
governments, academic and technical institutions, and public
interest organizations), of whom--
(A) 2 members shall be appointed by the President, of whom
not more than 1 may be from the same political party as the
President;
(B) 4 members shall be appointed by the majority leader of
the Senate, in consultation with the Chairpersons of--
(i) the Committee on Environment and Public Works of the
Senate;
(ii) the Committee on Foreign Relations of the Senate;
(iii) the Committee on Commerce, Science, and
Transportation of the Senate; and
(iv) the Committee on Homeland Security and Governmental
Affairs of the Senate;
(C) 4 members shall be appointed by the minority leader of
the Senate, in consultation with the ranking members of--
(i) the Committee on Environment and Public Works of the
Senate;
(ii) the Committee on Foreign Relations of the Senate;
(iii) the Committee on Commerce, Science, and
Transportation of the Senate; and
(iv) the Committee on Homeland Security and Governmental
Affairs of the Senate;
(D) 4 members shall be appointed by the Speaker of the
House of Representatives, in consultation with the
Chairpersons of--
(i) the Committee on Energy and Commerce of the House of
Representatives;
(ii) the Committee on International Relations of the House
of Representatives;
(iii) the Committee on Resources of the House of
Representatives;
(iv) the Committee on Science of the House of
Representatives;
[[Page S10740]]
(v) the Committee on Homeland Security of the House of
Representatives; and
(vi) the Committee on Government Reform of the House of
Representatives; and
(E) 4 members shall be appointed by the minority leader of
the House of Representatives, in consultation with the
ranking members of--
(i) the Committee on Energy and Commerce of the House of
Representatives;
(ii) the Committee on International Relations of the House
of Representatives;
(iii) the Committee on Resources of the House of
Representatives;
(iv) the Committee on Science of the House of
Representatives;
(v) the Committee on Homeland Security of the House of
Representatives; and
(vi) the Committee on Government Reform of the House of
Representatives.
(2) Representation of commission.--To the extent consistent
with paragraph (1), the membership of the Commission shall be
balanced by area of expertise.
(3) Prohibition on federal government employment.--A member
of the Commission appointed under paragraph (1)(A) shall not
be an employee or former employee of the Federal Government.
(4) Considerations for appointment.--
(A) Background of members.--
(i) In general.--All members of the Commission shall have
experience in--
(I) State and local governments;
(II) academic and technical institutions;
(III) businesses and industries relating to resource and
economic development; or
(IV) public interest organizations.
(ii) Preference to individuals with interdisciplinary
expertise.--In appointing members to the Commission,
preference shall be given to individuals who have
interdisciplinary experience.
(B) Political affiliation of members.--Members of the
Commission shall be appointed so that not more than 9 members
of the Commission are members of any 1 political party.
(5) Date of appointments.--The appointment of a member of
the Commission shall be made not later than March 30, 2007.
(6) Term; vacancies.--
(A) Term.--A member of the Commission shall be appointed
for the life of the Commission.
(B) Vacancies.--
(i) In general.--A vacancy on the Commission shall be
filled in the same manner in which the original appointment
was made.
(ii) Partial term.--A member appointed to fill a vacancy on
the Commission shall serve for the remainder of the term for
which the predecessor of the member was appointed.
(7) 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.
(8) Meetings.--
(A) In general.--The Commission shall meet--
(i) at least twice each year; or
(ii) at the call of the Chairperson or the majority of the
members of the Commission.
(B) Public access to meetings.--
(i) In general.--Except as provided in clause (ii), each
meeting of the Commission shall be open to the general
public.
(ii) Exception.--If a meeting of the Commission addresses a
matter described in section 552b(c) of title 5, United States
Code, the Commission may close the meeting, or a portion of
the meeting, to the general public.
(9) Quorum.--A majority of voting members shall constitute
a quorum, but a lesser number may hold meetings.
(10) Chairperson and vice chairperson.--
(A) Election.--The Commission shall elect the Chairperson
and the Vice Chairperson of the Commission on an annual
basis.
(B) Absence of the chairperson.--The Vice Chairperson shall
serve as the Chairperson in the absence of the Chairperson.
(11) Voting.--The Commission shall act only on an
affirmative vote of a majority of the voting members of the
Commission.
SEC. 4. DUTIES.
(a) Study.--The Commission shall--
(1) review and affirm current scientific understanding on
the health of the global environment and the long-term
availability of natural resources through the use of
independent, consensus-based assessments and peer reviewed
studies undertaken by the United States, the United Nations,
and any other international entity;
(2) study the impacts of--
(A) global and transnational environmental problems,
natural resource scarcity, and global population pressure on
the interests of the United States, including--
(i) national security;
(ii) public health;
(iii) industry and trade; and
(iv) international relations; and
(B) the actions of the United States on global
environmental security;
(3) assess--
(A) the effectiveness of Federal and State efforts to
enhance global environmental security, including--
(i) the integration of related activities;
(ii) the interagency coordination of related activities;
and
(iii) the funding of related activities;
(B) the evolving roles of--
(i) government;
(ii) business; and
(iii) nongovernmental organizations; and
(C) the adequacy of efforts initiated by public and private
partnerships that strive to meet the goals of--
(i) global environmental protection;
(ii) natural resource sustainability; and
(iii) economic prosperity; and
(4) determine the progress of the United States in--
(A) achieving relevant international goals and obligations;
and
(B) meeting the challenges outlined by the scientific
studies described under paragraph (1).
(b) Recommendations.--The Commission shall develop
recommendations for creating a coordinated, comprehensive,
and long-range national policy that promotes global
environmental security.
(c) Report.--
(1) In general.--By March 30, 2009, the Commission shall
submit to the President and Congress a report that contains--
(A) a detailed statement of the findings and conclusions of
the Commission;
(B) a summary of public comments; and
(C) the recommendations of the Commission for such
legislation and administrative actions as the Commission
considers appropriate.
(2) Publication of report.--Not later than 90 days before
submitting the final report of the Commission to the
President and Congress, the Commission shall publish a copy
of the report in the Federal Register.
(3) Public comment.--
(A) In general.--Before submitting the report of the
Commission to the President and Congress, the Commission
shall--
(i) make a draft of the report available for public comment
for a period of not less than 60 days; and
(ii) consider public comments relating to the draft of the
report.
(B) Availability of report.--A copy of the report of the
Commission shall remain available for inspection--
(i) in the offices of the Commission; and
(ii) through electronically accessible formats and means,
such as the World Wide Web.
(4) Congressional review.--
(A) In general.--Not later than 90 days before submitting
the final report of the Commission to the President and
Congress, the Commission shall provide copies of the report
to the Chairpersons and ranking members of--
(i) the Committee on Environment and Public Works of the
Senate;
(ii) the Committee on Foreign Relations of the Senate;
(iii) the Committee on Commerce, Science, and
Transportation of the Senate;
(iv) the Committee on Homeland Security and Governmental
Affairs of the Senate;
(v) the Committee on Energy and Commerce of the House of
Representatives;
(vi) the Committee on International Relations of the House
of Representatives;
(vii) the Committee on Resources of the House of
Representatives;
(viii) the Committee on Science of the House of
Representatives;
(ix) the Committee on Homeland Security of the House of
Representatives; and
(x) the Committee on Government Reform of the House of
Representatives.
(B) Opportunity for comment.--Before submitting the report
to the President and Congress, the Commission shall provide
each chairperson and ranking member of a committee described
in subparagraph (A) with an opportunity to comment on the
report.
SEC. 5. POWERS.
(a) Hearings.--
(1) In general.--The Commission or, at the direction of the
Commission, any subcommittee or member of the Commission,
may, for the purpose of carrying out this Act hold such
hearings, meet and act at such times and places, take such
testimony, receive such evidence, and administer such oaths
as the Commission or such subcommittee or members considers
advisable.
(2) Notice; minutes; public availability of documents.--
(A) Notice.--Each open meeting of the Commission shall be
preceded by timely public notice in the Federal Register of
the time, place, and subject of the meeting.
(B) Minutes.--Minutes of each meeting shall--
(i) be kept by the Commission; and
(ii) contain--
(I) a record of the individuals present;
(II) a description of the discussion that occurred during
the meeting; and
(III) copies of all statements filed during the meeting.
(iii) Availability.--Subject to section 552 of title 5,
United States Code, the minutes and records of all meetings
and other documents made available to or prepared for the
Commission shall be available for public inspection and
copying at a single location in the offices of the
Commission.
(b) Information From Federal Agencies.--
(1) In general.--The Commission may secure directly from a
Federal agency such information as the Commission considers
necessary to carry out this Act.
(2) Provision of information.--On request of the
Chairperson of the Commission, the head of the agency shall
provide the information to the Commission.
(c) Establishment of Subcommittees.--
(1) In general.--The Commission may establish 1 or more
subcommittees to provide staff support and otherwise assist
in carrying out the responsibilities of the Commission.
(2) Political affiliation of subcommittee members.--Members
of a subcommittee shall
[[Page S10741]]
be appointed so that not more than \1/2\ of the members of
the subcommittee are members of any 1 political party.
(d) Establishment of Multidisciplinary Science, Economic,
and Technical Advisory Panel.--
(1) In general.--To assist the Commission in carrying out
the duties of the Commission under this Act, the Commission
may establish a multidisciplinary science, economic, and
technical advisory panel (referred to in this Act as the
``Advisory Panel'').
(2) Composition of advisory panel.--The Advisory Panel
shall be composed of individuals appointed by the Commission,
each of whom shall have expertise in--
(A) biological science;
(B) marine science;
(C) atmospheric science;
(D) environmental toxicology;
(E) epidemiology;
(F) biogeochemistry;
(G) energy and water security;
(H) renewable energy;
(I) social science; or
(J) economics.
(3) Appointment.--The members of the Advisory Panel shall
be appointed by a majority vote of all members of the
Commission.
(4) Use of best available data.--The Advisory Panel shall
ensure that the scientific information considered by the
Commission is based on the best available data.
(e) Contracts.--The Commission may make or enter into
contracts, leases, or other legal agreements to carry out
this Act.
(f) Postal Services.--The Commission may use the United
States mails in the same manner and under the same conditions
as other agencies of the Federal Government.
(g) Gifts.--The Commission may accept, use, and dispose of
gifts or donations of services or property.
SEC. 6. COMMISSION PERSONNEL MATTERS.
(a) Compensation of Members.--
(1) Non-federal employees.--A member of the Commission who
is not an officer or employee of the Federal Government shall
be compensated at a rate equal to the daily equivalent of the
annual rate of basic pay prescribed for level IV of the
Executive Schedule under section 5315 of title 5, United
States Code, for each day (including travel time) during
which the member is engaged in the performance of the duties
of the Commission.
(2) Federal employees.--A member of the Commission who is
an officer or employee of the Federal Government shall serve
without compensation in addition to the compensation received
for the services of the member as an officer or employee of
the Federal Government.
(b) 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.
(c) Staff.--
(1) In general.--The Chairperson of the Commission may,
without regard to the civil service laws (including
regulations), appoint and terminate an Executive Director and
such other additional personnel as are necessary to enable
the Commission to perform the duties of the Commission.
(2) Confirmation of executive director.--The employment of
an Executive Director shall be subject to confirmation by the
Commission.
(d) Experts and Consultants.--
(1) In general.--The Commission may obtain the services of
experts and consultants in the private and nonprofit sectors
in accordance with section 3109 of title 5, United States
Code.
(2) Compensation of experts and consultants.--A consultant
or expert described in paragraph (1) shall be compensated at
a rate equal to the daily equivalent of the annual rate of
basic pay prescribed for level IV of the Executive Schedule
under section 5315 of title 5, United States Code, for each
day (including travel time) during which the member is
engaged in the performance of the duties of the Commission.
(e) Detail of Government Employees.--
(1) Federal employees.--
(A) In general.--At the request of the Commission, the head
of any Federal agency may detail, on a reimbursable or
nonreimbursable basis, any of the personnel of the agency to
the Commission to assist the Commission in carrying out the
duties of the Commission under this Act.
(B) Civil service status.--The detail of an employee under
subparagraph (A) shall be without interruption or loss of
civil service status or privilege.
SEC. 7. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated to carry out this
Act $8,500,000 for the period of fiscal years 2007 through
2010, to remain available until expended.
SEC. 8. TERMINATION OF COMMISSION.
(a) Date of Termination.--The Commission shall terminate 30
days after the date on which the Commission submits the
report of the Commission under section 4(c).
(b) Administrative Activities Before Termination.--The
Commission may use the 30-day period referred to in
subsection (a) to--
(1) conclude the activities of the Commission; and
(2) provide testimony before any committee of Congress
concerning the report of the Commission.
(c) Post-Commission Activities.--The members and staff of
the Commission, the Members of Congress, and employees of
Federal agencies are encouraged to--
(1) continue the multi-stakeholder dialogue started by the
Commission in new forums and capacities; and
(2) examine any institutional needs, including--
(A) the formation of a new office;
(B) improvements in organization;
(C) a network; or
(D) a caucus.
SEC. 9. RESPONSE OF THE PRESIDENT.
(a) In General.--Not later than 90 days after the date of
receipt of the report of the Commission under section 4(c),
the President shall submit to Congress and appropriate
Federal agencies a report containing a statement of proposals
to carry out or respond to the recommendations of the
Commission.
(b) Availability of Report.--The report described in
subsection (a) shall be published or otherwise made
available, including (to the maximum extent practicable) in
electronically accessible formats and means, such as the
World Wide Web.
______
By Mr. LEAHY:
S. 4040. A bill to ensure that innovations developed at federally-
funded institutions are available in certain developing countries at
the lowest possible cost; to the Committee on the Judiciary.
Mr. LEAHY. Mr. President, today I am pleased to introduce the Public
Research in the Public Interest Act of 2006. If enacted, this bill will
save lives and improve the quality of health for millions of families
living in impoverished nations. Recently, I have introduced and
cosponsored six bills to address the increasingly important issues that
relate to global health and the need for earlier access to generic
medicines in the United States.
Each year, millions of people needlessly suffer from disease in
impoverished countries worldwide because they lack access to lifesaving
medicines. And each year, America's world-renowned research
universities develop innovative treatments to combat these diseases.
However, under our current system, these treatments do not get to the
families in impoverished nations who so desperately need them.
Today, 15 percent of the world's people consume about 91 percent of
the world's pharmaceuticals. The high price of lifesaving medicines--
medicines we take for granted--puts them far beyond the reach of
millions of the most vulnerable populations.
While the concept of my bill is simple, the implications are
profound. If passed, my bill would greatly lessen the cost burden of
generic drugs in the developing world. It would achieve this by
requiring federally funded research institutions to permit their
inventions, such as, drugs, vaccines, and innovative medical devices,
to be provided inexpensively by generic companies distributing medical
supplies to the developing world.
Federally funded labs and research institutions have a vital role to
play in meeting this goal. For example, Yale University has an
agreement with Doctors Without Borders to permit their generic version
of its lifesaving AIDS drug to be used for a pilot treatment program in
South Africa. To date, Yale's humanitarian endeavor, which in no way
reduced their licensing revenues, continues to save thousands of lives.
It is time to ensure that public funds truly serve public purposes--
in this instance, delivering essential health care needs at minimal
costs to American taxpayers, universities, and pharmaceutical
companies. Unfortunately, this Congress has been tied up in knots
recently and has been unable to pass even critical appropriations
bills. The measures before us are crucial. This comprehensive approach
toward providing better global health aid and better access to generic
drugs should become law, and I am committed to trying to make it so. I
look forward to working with my colleagues on both sides of the aisle,
in this Congress or the next, to enact this important legislation.
I have recently introduced or sponsored six bills to address the need
for better access to low-cost generic medicines. Two of these bills
relate to global health, and four of them address the need for earlier
access to generic medicines in the United States.
[[Page S10742]]
Federally funded laboratories and other research institutions have a
critical role to play in delivering affordable medicines to those sick
and suffering worldwide. In 2000, a Senate Joint Economic Committee
Report found that public research was instrumental in developing 15 of
the 21 drugs considered by experts to have had the highest therapeutic
impact on society.
Between 1970 and 2001, there was a ten-fold increase in the number of
U.S. patents issued annually to U.S. academic institutions. American
universities, hospitals, and other nonprofit research centers concluded
that more than 4,500 license and option agreements were executed in
2003, more than double the license and option agreements executed in
1993. A major share of these patents is in the biomedical field.
The World Health Organization's 2006 Commission on Intellectual
Property Rights, Innovation, and Public Health has also recently
recognized the crucial role of universities. The WHO recommended that
universities adopt licensing practices designed to increase access to
medicines in developing countries.
The report also tells the story of one way in which the crucial role
of university innovations and other publicly funded research in
promoting global public health first came into the public eye. It is an
interesting story.
In 2001, the international organization Medecins Sans Frontieres, or
MSF, requested Yale University's permission to use its generic life-
saving AIDS drug, stavudine, for a pilot treatment project outside Cape
Town.
This was at a time when HIV drugs were first being introduced in the
developing world. The costs were prohibitive. Scientists at Yale
University had discovered stavudine's value in the fight against AIDS,
and Yale University was the key patent holder.
In response to MSF's request, Yale and Bristol-Myers Squibb jointly
announced that they would permit the sale of generics in South Africa
and that Bristol-Myers Squibb would lower the price of its brand-name
stavudine by 96 percent throughout sub-Saharan Africa.
The Yale/Bristol-Myers Squibb announcement was highly significant in
the campaign for access to affordable first-line AIDS treatments. Yale
and Bristol-Myers Squibb's humanitarian action did not reduce licensing
revenues with respect to Yale. Meanwhile, Yale's invention to this day
continues to save thousands of lives. According to a recent report by
the WHO's AIDS Medicines and Diagnostics Service, stavudine is one of
the three first-line HIV medicines that together constituted almost 90
percent of total procurement in 2005.
Unfortunately, this has been an isolated success story rather than
the road to greater access for the many important inventions that come
out of publicly funded research institutions.
With respect to HIV/AIDS treatment alone, at least two major drugs
based on university inventions have come to market since the 2001
stavudine announcement: emtricitabine, developed in large part at Emory
University and sold by Gilead Sciences as Emtriva; and T-20 developed
in large part at Duke University and marketed as Fuzeon by Hoffmann-La
Roche and Trimeris. Just this summer, Yale University announced the
license of a new candidate for an AIDS drug based on stavudine. Called
``4'-ethynyl-stavudine'', (or abbreviated more simply as Ed4T). Early
testing suggests that it may be both more effective and less toxic than
its famous predecessor.
But the question is: Will these lifesaving drugs ultimately be
available in places like sub-Saharan Africa, where HIV infection rates
range as high as a third of the adult population?
This bill, the Public Research in the Public Interest Act of 2006,
would focus on this problem. By allowing licensing by generic companies
of inventions coming out of publicly funded research institutions--and
other associated inventions required to produce marketable medicines--
it would drive down the price of new, innovative drugs in areas where
they would otherwise be effectively unavailable.
Because the licensing regime this bill proposes is self-enforcing, it
minimizes both administrative overhead and eliminates the need for
case-by-case decisions, while preserving important intellectual
property protections. Because the Act allows the introduction of
generic or reduced-price drugs only into markets too poor to otherwise
afford them, its terms do not threaten corporate investments or profits
in wealthy nations. All generic drugs manufactured under the bill must
be clearly differentiated from the versions sold in developed nations,
where the brand-name companies make their profits.
Moreover, publicly funded research institutions would receive
royalties from the sale of inventions covered by this bill in
developing markets. While the initial payment of the royalties will
typically go to the research institution itself, the bill leaves
complete freedom to these institutions and their licensee to decide how
such royalties will ultimately be shared. This freedom is especially
important because the inventions from universities and other research
institutions often form only one part of the collection of intellectual
property necessary to manufacture a finished, marketable drug. The
appropriate division of the royalties paid by generics for this package
of rights in the developing world will be different for different drugs
and medical devices, depending on whether the university's contribution
is more or less central to the finished product. This Act would allow
all the various parties the flexibility to divide these royalties
appropriately.
I should be clear, however, that the bill I introduce today is an
initial proposal. I look forward to working with research universities
in the United States on this important matter. I also intend to work
with the companies involved in creating, licensing, and bringing to
market the fruits of America's unparalleled research institutions as we
continue to shape this solution.
Indeed, the best answer may not be legislative at all, if the groups
involved can come together around a different approach. But however it
is achieved, I believe that increasing the availability of the many
medical inventions that come from publicly funded research centers is a
good solution to pressing global health concerns.
Universities, in particular, are unique institutions with unique
public commitments. They are, before anything else, institutions
dedicated to the creation and dissemination of knowledge in the public
interest. The Public Research in the Public Interest Act of 2006 is
designed in the spirit of that commitment.
This bill completes a package of six bills that I have recently
introduced to increase access to medicines in the United States and to
address the global public health crisis. While it is the magnitude of
this problem that demands that we, as a Nation, take action, it is the
small things, the individual stories that often speak to us most
clearly at a personal level.
In my office hangs a photograph I took of three young boys on the
side of a mountain in Turkey. I found them flying a kite off the edge
of a cliff that overlooks a vast slum. They had made the toy out of
scraps of paper, patched together with tape and string, and were flying
it on the currents rushing up the face of the rock.
I recalled fearing for their safety as they played so precariously
close to the edge. But these children faced much greater risks. When my
grandchildren get sick, we can always be sure they will get the
medicines they need. For these boys, there is no such guarantee.
These boys, and the millions of children and others like them around
the world are the reason behind each of the six bills I have
introduced.
Earlier this summer, I introduced a bill which can be the catalyst
for empowering U.S. generic companies to save the lives or improve the
health of millions of families in impoverished nations. Under the
``Life-Saving Medicines Export Act,'' U.S. companies can make low-cost
generic versions of any medicine for export to impoverished nations
that face public health crises when those impoverished nations cannot
produce those life-saving medicines for themselves.
This bill is based on World Trade Organization agreements permitting
nations with pharmaceutical industries to help nations in need. The
World Health Assembly and the World Health Organization have adopted
resolutions urging all WTO member nations with a generic capability to
adopt laws that
[[Page S10743]]
implement that agreement. On December 6, 2005, the Office of the U.S.
Trade Representative announced that it ``welcomes'' efforts to ``allow
countries to override patent rights when necessary to export lifesaving
drugs to developing countries that face public health crises but cannot
produce drugs for themselves.''
This bill addresses the urgent needs of millions of low-income
families in impoverished nations while protecting the interests of the
patent owners of these life-saving medicines. As in the Public Research
in the Public Interest Act, introduced today, generic companies are
only permitted to use the compulsory license in the bill in developing
nations, where low-income families are simply too poor to purchase the
``brand-name'' versions, and the generic versions must be clearly
marked as not for resale in developed nations. Thus, both bills pose
the risk of minimal losses for patent holders while generating new
revenue for the brand-name companies from the royalties on generic
sales.
The four additional bills that complete this ``Access to Medicines''
package seek to preserve incentives for U.S. generic companies to enter
and compete in the market. Increased competition leads to lower prices
and saved lives.
First, in the wake of the Supreme Court refusal to hear the drug
patent case called Federal Trade Commission (FTC) v. Schering-Plough, I
joined fellow Judiciary Committee members--Senators Kohl, Grassley and
Schumer--in introducing legislation to explicitly prohibit brand-name
drug manufacturers from using pay-off agreements to keep cheaper
generic equivalents off the market. Such payments are a distortion in
the market that harms patients. I was stunned that the U.S. Supreme
Court refused to hear a case so important to our senior citizens. The
Federal Trade Commission asked the Supreme Court to hear the arguments
but the Court refused at the request of the Justice Department. It
seems there may be no justice--until that bill is passed--for our
seniors needing costly patented medicines but live where the brand-name
company has paid generic companies not to compete.
Then, in July, I joined Senators Rockefeller and Schumer in
introducing legislation to ban ``authorized generics'' that can stifle
true generic competition. I said at the time that ``the giant drug
companies keep coming up with ways to avoid real competition and
consumers need to be able to count on Congress to close each new
anticompetitive loophole they come up with.'' If enacted, that bill
will close this anti-competitive loophole in the Hatch-Waxman Act and
will preserve the incentives Congress created for generic companies to
enter the market to supply American citizens and seniors with lower-
cost drugs.
The fifth bill introduced was with Senator Kohl. That bill is
intended to stop frivolous Citizen Petitions designed to delay
introduction of generic drugs into the market place. Recently, large
pharmaceutical companies have exploited that petition process to keep
their profits high. In addition, I joined with Senators Schumer,
Clinton and Stabenow on the Access to LifeSavings Medicine Act which
related to developing a fast-track process for approving generic
versions of biologic medicines.
I want to thank Stacy Kern-Scheerer with Senate Legislative Counsel
who provided very helpful guidance under extreme pressure in drafting
this short, but complex bill. She and Bill Baird, also with Senate
Legislative Counsel, did a great job with a rapid turnaround.
I believe that these six bills, together, can save millions of lives.
Recognizing the great need, there have been significant voluntary
efforts made by brand-name pharmaceutical companies, foundations, and
nonprofits who have already donated life-saving medicines, time,
personnel and money to help in the fight against deadly diseases both
in America and abroad. I commend and greatly appreciate those efforts.
Nonetheless, much remains to be done. My bills will both add to and
complement existing efforts, by making sure even cutting edge
treatments are available in developing countries, and by ensuring that
America's aid dollars and the contributions of private philanthropists
are used as efficiently as they can possibly be used.
The President's Emergency Plan for AIDS Relief Report to Congress
reported that ``[i]n every case generics prices present an opportunity
for cost savings; in some cases, the branded price per pack of a drug
is up to 11 times the cost of the approved generic version.''
The current global public health crisis is one of the great callings
of our time. As a nation, we cannot afford to ignore this threat. Our
own health and aspects of our national security depend on it.
We have become far more aware today of how much our own health
depends on what takes place half a world away. Whether it is AIDS,
SARS, West Nile Virus, the Avian Flu, or the encroaching menace of
multi-drug resistant bacteria, we are all at risk. We are only an
airplane flight away from wherever an outbreak may occur--a place where
the medical innovations developed in this country to combat these
devastating diseases may not be available to keep the outbreak under
control.
In a post-9/11 world, our well-being is intimately connected with
that of other nations. Health is an essential building block for a
strong economy, and vital to maintain a thriving democracy. Through
increasing access to essential medicines throughout the world, the
United States can help to give developing nations a chance to flourish,
while improving U.S. relations with large segments of the world's
population.
President Franklin Roosevelt once said: ``The test of our progress is
not whether we add more to the abundance of those who have much; it is
whether we provide enough, for those who have little.''
We are fortunate, at some times and on some issues, to be able to do
both. Now is one of those times, and this is one of those issues. I
hope my colleagues will join me in supporting my efforts this year on
the global public health crisis, including today's addition, the Public
Research in the Public Interest Act of 2006.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4040
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 ``Public Research in the
Public Interest Act of 2006''.
SEC. 2. PURPOSE AND FINDINGS.
(a) Purpose.--The purpose of this Act is to promote global
public health and America's national security by ensuring
that innovations developed at federally-funded institutions
are available in eligible developing countries at the lowest
possible cost.
(b) Findings.--Congress finds the following:
(1) It is in the national interest of the United States
that people around the world live healthier lives, and that
they perceive the United States in a more favorable light.
(2) The United States Government funds a major portion of
all academic research.
(3) Congress funds universities and Federal research
laboratories as institutions dedicated to the creation and
dissemination of knowledge in the public interest.
(4) The Federal Government's investment in science and
technology fuels a thriving pharmaceutical industry and
rising longevity and quality of life in the United States. In
2000, a Senate Joint Economic Committee Report found that
public research was instrumental in developing 15 of the 21
drugs considered by experts to have had the highest
therapeutic impact on society.
(5) Millions of people with HIV/AIDS in developing
countries need antiretroviral drugs. More than 40,000,000
people worldwide have HIV and 95 percent of them live in
developing countries. Malaria, tuberculosis, and other
infectious diseases kill millions of people a year in
developing nations.
(6) The World Health Organization (``WHO'') has estimated
that \1/3\ of the world's population lacks regular access to
essential medicines, including antiretroviral drugs. The WHO
reported that just by improving access to existing medicines
roughly 10,000,000 lives could be saved around the world
every year.
(7) To help address the access to medicines crisis, the
World Health Organization's 2006 Commission on Intellectual
Property Rights, Innovation, and Public Health recommended
that universities adopt licensing practices designed to
increase access to medicines in developing countries.
(8) The Department of State has reported to Congress under
the President's Emergency Plan for AIDS Relief that, ``[I]n
every case generics prices present an opportunity for cost
savings; in some cases, the branded price per pack of a drug
is up to 11 times the cost of the approved generic
version.''.
[[Page S10744]]
(9) Since sales of the patented, brand-name versions of
such medicines are minimal or non-existent in many
impoverished regions of the world, allowing generic versions
of those medicines will have minimal impact on the sales of
brand-name, patented versions in such regions, or the
licensing revenues of publicly funded research institutions,
while saving an untold number of lives.
SEC. 3. DEFINITIONS.
In this Act:
(1) Associated medical product.--The term ``associated
medical product'', when used in relation to a subject
invention, means any medical product of which the
manufacture, use, sale, offering for sale, import, or export
relies upon or is covered by the rights guaranteed by title
in that invention.
(2) Associated rights.--The term ``associated rights,''
when used in relation to a subject invention, means--
(A) all patent and marketing rights, possessed by a current
or former holder of title in that invention, or licensee of
rights guaranteed by such title, that are reasonably
necessary to make, use, sell, offer to sell, import, export,
or test any associated medical product ever made, used, sold,
offered for sale, imported, or exported by that party; and
(B) the right to rely on biological, chemical, biochemical,
toxicological, pharmacological, metabolic, formulation,
clinical, analytical, stability, and other information and
data for purposes of regulatory approval of any associated
medical product.
(3) Drug.--The term ``drug'' has the meaning given such
term in section 201 of the Federal Food, Drug and Cosmetic
Act (21 U.S.C. 321).
(4) Eligible country.--The term ``eligible country'' means
any country of which the economy is classified by the World
Bank as ``low-income'', or ``lower-middle-income''.
(5) Fair royalty.--The term ``fair royalty'', when used in
relation to a subject invention, means--
(A) for a country classified by the World Bank as ``low-
income'' at the time of the sales on which royalties are due,
2 percent of a licensee's net sales of associated medical
products in such country; and
(B) for a country classified by the World Bank as ``lower-
middle-income'' at the time of sales on which royalties are
due, 5 percent of a licensee's net sales of associated
medical products in such country.
(6) Invention.--The term ``invention'' means any invention
or discovery which is or may be patentable or otherwise
protectable under title 35, United States Code, or any novel
variety of plant which is or may be protectable under the
Plant Variety Protection Act (7 U.S.C. 2321 et seq.).
(7) Medical device.--The term ``medical device'' means a
device, as defined in section 201(h) of the Federal Food,
Drug, and Cosmetic Act (21 U.S.C. 321(h)), and includes any
device component of any combination product, as that term is
used in section 503(g) of such Act (21 U.S.C. 353(g)).
(8) Medical product.--The term ``medical product'' means
any drug, treatment, prophylaxis, vaccine, or medical device.
(9) Neglected research.--The term ``neglected research''
means any use of a subjected invention or the associated
rights in an effort to develop medical products for a rare
disease or condition, as defined in section 526(a)(2) of the
Federal Food, Drug, and Cosmetic Act (21 U.S.C. 360bb(a)(2)).
(10) Subject institution.--The term ``subject institution''
means any institution of higher education (as such term is
defined in section 101(a) of the Higher Education Act of 1965
(20 U.S.C. 1001(a)) or research that receives federal
financial assistance, including Federal laboratories as
defined in section 12(d) of the Stevenson-Wydler Technology
Innovation Act of 1980 (15 U.S.C. 3710a(d)).
(11) Subject invention.--The term ``subject invention''
means any invention--
(A) conceived or first actually reduced to practice by a
subject institution, or its employees in the course of their
employment, on or after the effective date of this Act; or
(B) in which a subject institution holds title, provided
the invention was first conceived or reduced to practice on
or after the effective date of this Act.
SEC. 4. ACCESS TO LIFESAVING MEDICINES DEVELOPED AT
GOVERNMENT FUNDED INSTITUTIONS.
(a) Grant of License.--
(1) In general.--As a condition of receiving Federal
assistance, any subject institution that conceives, reduced
to practice, or holds title in a subject invention shall be
required to grant irrevocable, perpetual, nonexclusive
licenses to the invention and any associated rights the
institution may own or ever acquire, to any party requesting
such a license pursuant to subsection (g).
(2) Purpose of license.--The licenses described under
paragraph (1) shall be for the sole purpose of--
(A) supplying medical products in accordance with
subsection (e); or
(B) conducting neglected research anywhere in the world,
royalty-free.
(b) Incorporation Into Title.--The open-licensing
requirement created by subsection (a) and all licenses
granted thereunder shall be part of the subject institution's
title in a subject invention. No transfer or license may be
interpreted in any manner inconsistent with making any grant
under subsection (a) effective, or in any manner that
prevents or frees the holder of title in the invention from
granting licenses.
(c) Subsequent Licenses.--
(1) In general.--If a subject institution licenses or
grants rights in a subject invention to any other party, as a
condition of such grant the licensee or grantee, and any
future sublicensees or subsequent grantees, ad infinitum,
shall also be required in perpetuity, to grant irrevocable,
perpetual, nonexclusive licenses on any associated rights
which the licensee or grantee may own or later acquire, to
any party requesting such a license pursuant to subsection
(g).
(2) Purpose of license.--The licenses shall be for the sole
purposes described in subsection (a)(2).
(3) Application of this subsection.--This subsection
applies to licenses for a subject invention acquired under
subsection (a).
(d) Construction.--No grant or licensee of any subject
invention may be interpreted in any manner that prevents or
frees the grantee or licensee from granting licenses for
associated rights under subsection (c).
(e) License for Supply of Medical Products.--
(1) In general.--A license under subsection (a)(2)(A) shall
be a license for the sole purpose of permitting the making,
using, selling, offering to sell, importing, exporting, and
testing of medical products in eligible countries and the
making and exporting of medical products worldwide for the
sole purpose of supplying medical products to eligible
countries.
(2) Labeling.--If the recipient of a license under
subsection (a) exercises its right to make and export a
medical product in any country other than an eligible country
for the sole purpose of export to an eligible country, then
the licensee shall use reasonable efforts to visibly
distinguish the medical product it manufactures from any
similar medical product sold by others in the country of
manufacture, provided that such reasonable efforts do not
require the licensee to expend significant expense.
(3) Royalties.--
(A) License of subject invention.--A license of a subject
invention under subsection (a)(2)(A) shall be irrevocable and
perpetual so long as the licensee submits to the licensor
payment of a fair royalty on sales of any associated medical
product within 90 days of such sales. Failure or refusal of
the licensor to accept the fair royalty shall not terminate
or affect in any way the license.
(B) License of associated rights.--A license of associated
rights to a subject invention under subsection (a)(2)(A)
shall be royalty free.
(f) Transfer.--In accordance with subsections (a) through
(d), any license or other transfer of a subject invention by
a subject institution or the licensee or grantee of such
institution for a subject invention, shall be invalid
unless--
(1) the license or grant includes a clause, ``This grant or
license is subject to the provisions of the Public Research
in the Public Interest Act of 2006.'';
(2) the licensor or grantor complies with the notification
requirements of subsection (h); and
(3) the license or grant does not include any terms that
contradict any requirement of this Act.
(g) Procedures for Acquisition of Licenses.--
(1) In general.--Any party, upon providing to the Food and
Drug Administration--
(A) notification of its intent to supply medical products
or conduct neglected research as provided in subsection (a);
(B) a specific list of the rights it wishes to license for
those purposes; and
(C) the names of the party or parties it believes are
obligated to grant such licenses under subsections (a)
through (d),
shall automatically be deemed to receive the license so
requested without the need for any further action on the part
of the licensing party if the party or parties specified in
the request do not object and notify the requesting party of
such objection, within 30 days of the publication of such
request by the Administration.
(2) Enforcement action.--
(A) In general.--If the party or parties specified under
paragraph (1) object to the grant of a requested license, the
requesting party may bring an action to enforce its right to
a license of a subject invention or associated rights under
subsections (a) through (d).
(B) Process.--In any suit under this subsection, the
requesting party shall be entitled to separate, expedited
review of the legal issues required to adjudicate whether it
is entitled to the requested license, without prejudice to
any other issues in the lawsuit. If the party objecting to
the license is found to have objected without reasonable
cause or without a good faith belief that there was a
justifiable controversy under the facts and the law, the
party requesting the license shall be entitled to attorney's
fees, other reasonably necessary costs of the lawsuit, and
treble damages from the objecting party.
(3) Publication.--The Food and Drug Administration shall
publish any request made under paragraph (1) within 15 days
of receipt of such request. The Food and Drug Administration
shall also make reasonable efforts to directly notify the
parties named in any such request.
(h) Notification of Transfer or License of Subject
Inventions.--The holder of title or any license in a subject
invention shall notify the Food and Drug Administration of
any grant or license of rights in that invention. The Food
and Drug Administration
[[Page S10745]]
shall publish all such notifications within 15 days of
receipt.
______
By Mr. INHOFE (for himself and Mr. Coburn):
S. 4041. A bill to protect children and their parents from being
coerced into administering a controlled substance in order to attend
school, and for other purposes; read the first time.
Mr. INHOFE. President, I rise today, along with my colleague, Tom
Coburn, to proudly introduce the Child Medication Safety Act, a bill to
protect children and their parents from being coerced into
administering a controlled substance or psychotropic drug in order to
attend a school. The text of my bill exactly matches the text of H.R.
1790, which passed the House on November 16, 2006 by a vote of 407 to
12.
Parents today face many challenges when raising their children, one
of which is ensuring that their children receive the best education
possible. My views on education come from a somewhat unique perspective
in that my wife, Kay, was a teacher at Edison High School in Tulsa for
many years and now both of our daughters are teachers. I can assure you
that I am one of the strongest supporters of quality education.
However, it has come to my attention that schools have been acting as
physicians or psychologists by strongly suggesting that children with
behavioral problems be put immediately on some form of psychotropic
drugs. Schools and teachers are not equipped to make this diagnosis and
should not make it mandatory for the student to continue attending the
school. This is clearly beyond their area of expertise. Therefore, I am
introducing this legislation to ensure that parents are not required by
school personnel to medicate their children.
The Child Medication Safety Act requires, as a condition of receiving
funds from the Department of Education, that States develop and
implement polices and procedures prohibiting school personnel from
requiring a child to obtain a prescription as a condition of attending
the school. It should be noted that this bill does not prevent teachers
or other school personnel from sharing with parents or guardians
classroom-based observations regarding a student's academic performance
or regarding the need for evaluation for special education.
Additionally, this bill calls for a study by the Comptroller General of
the United States reviewing: No. 1, the variation among States in the
definition of psychotropic medication as used in public education, No.
2, the prescription rates of medication used in public schools to treat
children with attention deficit disorder and other such disorders, No.
3, which medications listed under the Controlled Substances Act are
being prescribed to such children, and No. 4, which medications not
listed under the Controlled Substances Act are being used to treat
these children. This GAO report is due no later than 1 year after the
enactment of this Act.
I believe this is an extremely important bill that protects the
rights of our children against improper intrusion regarding health
issues by those not qualified. If a parent or guardian believes their
child is in need of medication, then they have the right to make that
decision and consult with a licensed medical practitioner who is
qualified to prescribe an appropriate drug. Please join us in support
of this legislation that protects the freedoms of our children. We also
ask that you work with us to secure passage of the Child Medication
Safety Act before the end of the 109th Congress as it has already
passed the House by a huge margin.
______
By Mr. DURBIN (for himself, Mr. Chambliss, Mr. Conrad, and Mr.
Bayh):
S. 4042. A bill to amend title 18, United States Code, to prohibit
disruptions of the funerals of members or former members of the Armed
Forces; to the Committee on the Judiciary.
Mr. DURBIN. Mr. President, I rise today to join with my colleagues
Senators Chambliss, Conrad, and Bayh in introducing the Respect for the
Funerals of Fallen Heroes Act.
Our bill would make it unlawful to intentionally disrupt the funeral
of a U.S. military servicemember or veteran. Sadly, we have seen at
least 129 such disruptions over the past 16 months by a group nominally
calling itself a Christian church. These disruptions have taken place
in almost every State in the country. In Illinois alone, there have
been at least 16 disruptions of military funerals during that time--
more than any other State.
Most of us know the heartbreak of laying a loved one to rest--a
father, a mother, a husband or wife, a grandparent, a brother or
sister, a child, a good friend. Funerals are a sad moment of parting, a
last opportunity to say farewell.
A loved one is laid to rest only once. And the families and friends
of the departed have a clear interest in conducting the funeral
ceremony in peace, in tranquility, and in a way they feel best honors
the life of the departed and comforts those who are left behind.
It can be devastating to have that funeral disrupted--to have the
peace and good order of the ceremony intentionally disturbed by someone
you don't even know--during the one chance the mourners have to lay
their loved one to rest.
Intentional disruptions of funerals are particularly troubling
because mourners at a funeral are a captive audience. They can't just
leave. If someone tries to disturb a funeral ceremony by making loud
noises or trying to divert the mourners' attention, the mourners can't
just move somewhere else. A funeral ceremony is bound to the location
of the body of the deceased.
While an intentional disruption of the peace and good order of a
funeral ceremony would be inappropriate under any circumstances, it is
particularly vile when the intentional disruption occurs during the
funeral of a fallen member of the Armed Services.
The United States government owes an obligation to the men and women
who have served their country in uniform. These men and women have
risked their lives for their country. When they lose their lives, the
government has a significant interest in allowing their families and
friends to lay them to rest in peace.
In May, Congress enacted legislation called the Respect for America's
Fallen Heroes Act, which would safeguard the funerals of U.S. veterans
and servicemembers that take place at Federal cemeteries. This law
prohibits demonstrations during the military funerals that are held at
our 121 national cemeteries and Arlington National Cemetery. It
provides protection for the funerals of approximately 90,000 veterans
who are buried each year Federal cemeteries.
Our bill would expand the current law to cover the funerals of all
servicemembers and veterans, whether they are buried in a national
cemetery, in their own local cemetery, or somewhere else. It would
provide protection for the funerals of all of the 650,000-700,000
servicemembers and veterans who die each year in the United States.
Admirably, my home State of Illinois and 25 other States have passed
laws to try to protect military funerals with their borders. A wide
range of State laws have been enacted, providing varying degrees of
protection. But many of these laws were not narrowly tailored and are
likely to be struck down as unconstitutional. Legal challenges are
already underway in several States. What's needed now is a Federal
solution.
Under our bill, it would be a criminal misdemeanor--punishable by a
fine or up to one year in jail--for any person to 1. make any noise or
diversion within the boundary of or within 150 feet of a military
funeral location that intentionally disturbs the peace and good order
of the funeral, or 2. intentionally impede access to or from the
funeral within 300 feet of the funeral location. Such activities would
be prohibited during the period from 60 minutes before until 60 minutes
after a military funeral.
I understand the critical importance of the right to free speech. It
is a foundational right under the U.S. Constitution. However, the
Supreme Court has repeatedly found it is consistent with the First
Amendment for the time, place, and manner of speech to be reasonably
limited in a way that is content neutral and narrowly tailored to serve
a significant government interest.
Our bill meets that test. The government has a significant interest
in preserving the tranquility and privacy of the funerals of men and
women who defend our country as members of the
[[Page S10746]]
Armed Forces. Congress has the constitutional power to raise and
support armies, and we can and should support our troops by providing
them with peaceful funerals.
Our bill creates a reasonable time, place, and manner restriction
similar to restrictions that the Supreme Court has previously upheld.
For example, in a case that took place in my home state of Illinois,
Grayned v. City of Rockford, the Supreme Court upheld an ordinance that
stated the following: ``(N)o person, while on public or private grounds
adjacent to any building in which a school or any class thereof is in
session, shall willfully make or assist in the making of any noise or
diversion which disturbs or tends to disturb the peace or good order of
such school session or class thereof.''
Like the ordinance in Rockford, IL, my legislation is a reasonable
restriction on disruptive activities within a limited geographic
location for a limited period of time. Just as the local government has
a significant interest in protecting the peace and good order of school
sessions, the Federal Government has a significant interest in
protecting the peace and good order of the funeral ceremonies of our
military personnel.
The fact that funeral attendees are a captive audience also figures
into the analysis. In many locations, the Supreme Court expects
individuals simply to avoid speech they do not want to hear. But in the
case Frisby v. Schultz, the Supreme Court upheld an ordinance that made
it unlawful to picket outside an individual's residence, stating:
``That we are often `captives' outside the sanctuary of the home and
subject to objectionable speech. . . does not mean we must be captives
everywhere.'' Like individuals in their homes and students in
classrooms, mourners at funeral ceremonies are bound to one location
and cannot avoid those who intend to cause disruptions. And they should
not be forced to suffer those disruptions, especially during the one
chance they have to lay a loved one rest.
The Respect for the Funerals of Fallen Heroes Act is content neutral.
Its prohibitions apply to all offenders regardless of the nature of the
message or the manner in which the message is conveyed. The legislation
simply aims to allow funerals to be conducted in peace.
Our bill is also narrowly tailored. Not every form of speech or
activity would be prohibited during the time period, only activities
that are intended to and have the effect of disturbing the funeral
ceremony. A person could carry on a conversation on a sidewalk nearby
or hand out leaflets, but the peace and solemnity of the funeral must
not be disturbed.
This bill has been carefully drafted to withstand constitutional
scrutiny. We sought the advice of distinguished First Amendment scholar
Geoffrey Stone at the University of Chicago law school, and he believes
the bill is consistent with the First Amendment.
In addition, it is within the power of Congress to provide protection
for the funerals of fallen servicemembers and veterans that are held at
non-Federal cemeteries. The Congressional Research Service has
researched this issue and concluded that a court would likely deem our
legislation to be within Congress's lawmaking power, in light of
Congress's constitutional authority to raise and support armies, and in
light of cases in which the Supreme Court has upheld Congress's power
to regulate private property for the benefit of the military.
Our legislation is supported by veterans groups in Illinois and
across America. I received a letter from Retired U.S. Army Colonel
Aaron J. Wolff, President of the Illinois Council of Chapters of the
Military Officers Association of America, who said: ``The Respect for
America's Fallen Heroes Act passed by Congress in May 2006, and signed
into law, was an initial step in stopping demonstrations at funerals of
our fallen heroes.... On behalf of all veterans and their families, I
strongly support your bill to expand coverage of the demonstration ban
to include all the funerals of our veterans, wherever they are held.''
Tanna K. Schmidli, chairman of the Board of Governors of the National
Military Family Association, wrote to me and said: ``The National
Military Family Association supports this legislation to ban
demonstrations at all military funerals. Grieving military families,
who had made the ultimate sacrifice, should not be subjected to these
intrusions. This should be a time for military families to reflect and
say goodbye to their loved one and a time for the nation to honor its
heroes.''
The men and women who served our country in uniform, and their
families and friends, are entitled to funeral ceremonies that can be
conducted in peace and without disruption. It's time to protect the
funerals of all our fallen heroes. I hope that my colleagues from both
parties will cosponsor this bill and join me in seeking to provide the
protection they deserve.
Mr. President, I ask unanimous consent that the text of the bill be
printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 4042
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. RESPECT FOR THE FUNERALS OF FALLEN HEROES.
(a) In General.--Chapter 67 of title 18, United States
Code, is amended by adding at the end the following new
section:
``Sec. 1388. Prohibition on disruptions of funerals of
members or former members of the Armed Forces
``(a) Prohibition.--For any funeral of a member or former
member of the Armed Forces that is not located at a cemetery
under the control of the National Cemetery Administration or
part of Arlington National Cemetery, it shall be unlawful for
any person to engage in an activity during the period
beginning 60 minutes before and ending 60 minutes after such
funeral, any part of which activity--
``(1)(A) takes place within the boundaries of the location
of such funeral or takes place within 150 feet of the point
of the intersection between--
``(i) the boundary of the location of such funeral; and
``(ii) a road, pathway, or other route of ingress to or
egress from the location of such funeral; and
``(B) includes any individual willfully making or assisting
in the making of any noise or diversion that is not part of
such funeral and that disturbs or tends to disturb the peace
or good order of such funeral with the intent of disturbing
the peace or good order of that funeral; or
``(2)(A) is within 300 feet of the boundary of the location
of such funeral; and
``(B) includes any individual willfully and without proper
authorization impeding the access to or egress from such
location with the intent to impede the access to or egress
from such location.
``(b) Penalty.--Any person who violates subsection (a)
shall be fined under this title, imprisoned for not more than
1 year, or both.
``(c) Definitions.--In this section:
``(1) The term `Armed Forces' has the meaning given the
term in section 101 of title 10.
``(2) The term `funeral of a member or former member of the
Armed Forces' means any ceremony or memorial service held in
connection with the burial or cremation of a member or former
member of the Armed Forces.
``(3) The term `boundary of the location', with respect to
a funeral of a member or former member of the Armed Forces,
means--
``(A) in the case of a funeral of a member or former member
of the Armed Forces that is held at a cemetery, the property
line of the cemetery;
``(B) in the case of a funeral of a member or former member
of the Armed Forces that is held at a mortuary, the property
line of the mortuary;
``(C) in the case of a funeral of a member or former member
of the Armed Forces that is held at a house of worship, the
property line of the house of worship; and
``(D) in the case of a funeral of a member or former member
of the Armed Forces that is held at any other kind of
location, the reasonable property line of that location.''.
(b) Clerical Amendment.--The table of sections at the
beginning of chapter 67 of such title is amended by inserting
after the item related to section 1387 the following new
item:
``1388. Prohibition on disruptions of funerals of members or former
members of the Armed Forces.''.
______
By Mr. ALLEN (for himself and Mr. Warner):
S. 4045. A bill to designate the United States courthouse located at
the intersections of Broad Street, Seventh Street, Grace Street, and
Eighth Street in Richmond, Virginia, as the ``Spottswood W. Robinson
III and Robert Merhige Jr. Courthouse''; to the Committee on
Environment and Public Works.
Mr. WARNER. I rise today to join my colleague from Virginia, Senator
Allen, in offering a bill to name the new Richmond Courthouse for two
distinguished jurists and sons of Virginia.
[[Page S10747]]
We are privileged in the Commonwealth to have a long history, beginning
with Jamestown as the first permanent English settlement on the
American Continent. As a young republic, the College of William and
Mary was selected as a site for the Nation's first law school.
The two men to be honored in the naming of the new U.S. Courthouse in
Richmond were lawyers who throughout their careers adhered to the
principle of ``equal justice under law.''
Spottswood William Robinson, III was born in Richmond, VA on July 26,
1916. He attended Virginia Union University and then attended Howard
University School of Law, graduating first in his class in 1939 and
serving as a member of the faculty unti1 1947.
Judge Robinson was one of the core attorneys of the NAACP Legal
Defense and Educational Fund from 1948 to 1960, achieving national
prominence in the legal community with his representation of the
Virginia plaintiffs in the 1954 U.S. Supreme Court case Brown v. Board
of Education. Brown outlawed public school segregation declaring
``separate but equal'' schools unconstitutional.
In 1964, Judge Robinson became the first African-American to be
appointed to the United States District Court for the District of
Columbia. In 1966, President Johnson appointed Judge Robinson the first
African-American to the United States Court of Appeals for the District
of Columbia Circuit. On May 7, 1981, Judge Robinson became the first
African American to serve as Chief Judge of the District of Columbia
Circuit.
Judge Merhige was born in New York in 1919 and he attended college at
High Point College in North Carolina. He earned his law degree from the
T.C. Williams School of Law at the University of Richmond, from which
he graduated at the top of his class in 1942.
From 1942 to 1945, Judge Merhige served in the United States Air
Force and practiced law in Richmond from 1945 to 1967, establishing
himself as a formidable trial lawyer representing criminal defendants
as well as dozens of insurance companies.
On August 30, 1967, Judge Merhige was appointed U.S. District Court
Judge for the Eastern District of Virginia, Richmond Division by
President Lyndon B. Johnson serving as a Federal judge unti1 1998. In
1972, Judge Merhige ordered the desegregation of dozens of Virginia
school districts. He considered himself to be a ``strict
constructionist'' who went by the law as spelled out in precedents by
the higher courts. In 1970, he ordered the University of Virginia to
admit women. As evidence of Judge Merhige's ground breaking decisions,
he was given 24-hour protection by Federal marshals due to repeated
threats of violence against him and his family. His courage in the face
of significant opposition of the times is a testimony to his dedication
to the rule of law.
Senator Allen and I carefully took this responsibility in naming the
U.S. Federal. Courthouse in Richmond. We worked on it for several years
and consulted the Virginia Bar Association and sought the views of the
bench and bar. The Virginia Congressional delegation, the Virginia Bar
Association, the Mayor of Richmond, and many others decided that the
best way to honor both men was to have them equally share the honor of
having the courthouse so named. I attach a letter from the former
Virginia Governor, the current Mayor of Richmond, L. Douglas Wilder. I
value greatly the views of a friend and fellow public servant and one
who has joined me on many issues to benefit the people of Virginia.
I thank the Senate for the consideration of this bill and look
forward to working with my colleagues seeking its passage.
City of Richmond,
Richmond, VA, September 29, 2006.
Senator John Warner
225 Russell Senate Office Building, Washington, DC.
Senator George Allen,
204 Russell Senate Office Building, Washington, DC.
Dear Senators Warner and Allen: On behalf of the City of
Richmond, please accept this brief note in support of your
collective decision to name the new U.S. District Court in
Richmond for ``Spotswood W. Robinson III and Robert Merhige,
Jr.'' Both men played a significant role in Virginia's
history and are remembered as ``giants'' within Richmond's
legal community.
Sincerely,
L. Douglas Wilder,
Mayor.
Mr. ALLEN. Mr. President, I am pleased to join with my colleague the
Senior Senator from Virginia John Warner in introducing legislation to
name the new Federal courthouse in Richmond, VA for two great men and
leaders of the civil rights movement, Spottswood W. Robinson III and
Robert Merhige, Jr.
Judge Spottswood Robinson was a brilliant champion of civil rights
for all Americans. As a student at Howard Law School, Judge Spottswood
W. Robinson III earned the highest GPA ever achieved at the law school.
Following law school, he returned to Richmond, VA to establish a law
firm with another pioneer of civil rights, Oliver W. Hill. Through the
years he was involved in many important civil rights cases in State and
Federal courts, but it was his vital role in the seminal case of Brown
v. Board of Education that placed Judge Robinson into legal history.
Judge Robinson is widely recognized as the architect of the legal
strategies that led to success in intergrading the nations public
schools.
Judge Robinson left the private practice of law in 1960 to become
Dean of the Howard Law School. In October 1963, President Kennedy
nominated him to become a District Court Judge for the District of
Columbia. Subsequently, Judge Robinson became the first African-
American to serve as a Judge on the Court of Appeals for the District
of Columbia and in 1981 became the Chief Judge for the Court. Upon
retiring from the Court in 1992, Judge Robinson returned to his home in
Richmond and continued to be an active member of the community until
his passing in 1998.
The other fine jurist who the new courthouse in Richmond will be
named is another hero of the civil rights movement, Judge Robert R.
Merhige, Jr. Judge Merhige served this country for 31 years on the
bench and as a member of the United States Army Air Force as a B-17
bombardier. Born in 1919, Judge Merhige attended the T.C. Williams
School of Law at the University of Richmond, from which he graduated at
the top of his class in 1942. Over the next 21 years, Judge Merhige
tried hundreds of both criminal and civil cases in both State and
Federal court. He served as President of the Richmond Bar Association
from 1963 to 1964.
In 1967, President Lyndon Johnson appointed Judge Merhige to be a
United States District Judge. Respected and admired by lawyers from
coast to coast, Judge Merhige became known for his integrity and
intellect. Despite the personal hardship placed on both himself and his
family from those who disagreed with his rulings to enforce civil
rights law, Judge Merhige continued to uphold the law and follow the
constitution in the face of grave threats.
In deciding whom to name this courthouse after, I have taken great
care to listen to all Virginians after securing funds for this
impressive courthouse for downtown Richmond and its revitalization. I
have worked with the Virginia Congressional delegation, the
distinguished Mayor of Richmond, L. Douglas Wilder, State Senator
Benjamin Lambert, the Virginia Bar Association, the Richmond Bar
Association, and many others.
I am honored to join with my colleague Senator Warner in ensuring
that when people walk by the new Federal courthouse, they are reminded
of these two distinguished jurists who helped change the face of
society for the better with equal justice for all.
______
By Mrs. DOLE:
S.J. Res. 41. A joint resolution recognizing the contributions of the
Christmas tree industry to the United States economy and urging the
Secretary of Agriculture to establish programs to raise awareness of
the importance of the Christmas tree industry; to the Committee on
Agriculture, Nutrition, and Forestry.
Mrs. DOLE. Mr. President, I ask unanimous consent that the text of
the joint resolution be printed in the Record.
There being no objection, the joint resolution was ordered to be
printed in the Record, as follows:
S.J. Res. 41
Whereas Christmas trees have been sold commercially in the
United States since the 1850s;
[[Page S10748]]
Whereas, by 1900, one in five American families decorated a
tree during the Christmas season, while, by 1930, a decorated
Christmas tree had become a nearly universal part of the
American Christmas celebration;
Whereas 32.8 million households in the United States
purchased a live-cut Christmas tree in 2005;
Whereas the placement and decoration of live-cut Christmas
trees in town squares across the country have become an
American tradition;
Whereas, for generations, American families have traveled
hundreds and even thousands of miles to celebrate the
Christmas season together around a live-cut Christmas tree;
Whereas 36 million live-cut Christmas trees are produced
each year, and 98 percent of these trees are shipped or sold
directly from Christmas tree farms;
Whereas North Carolina, Oregon, Michigan, Washington,
Wisconsin, Pennsylvania, New York, Minnesota, Virginia,
California, and Ohio are the top producers of live-cut
Christmas tree, but Christmas trees are grown in all 50
States;
Whereas there are more than 21,000 growers of Christmas
trees in the United States, and approximately 100,000 people
are employed in the live-cut Christmas tree industry;
Whereas many Christmas tree growers grow trees on a part-
time basis to supplement their other farm and non-farm
income;
Whereas growing Christmas trees provides wildlife habitat;
Whereas more than a half million acres of land were planted
in Christmas trees in 2005;
Whereas 73 million new Christmas trees will be planted in
2006, and, on average, over 1,500 Christmas trees can be
planted per acre; and
Whereas the retail value of all Christmas trees harvested
in 2005 was $1.4 billion: Now, therefore, be it
Resolved by the Senate and House of Representatives of the
United States of America in Congress assembled, That
Congress--
(1) recognizes the important contributions of the live-cut
Christmas tree industry, Christmas tree growers, and persons
employed in the live-cut Christmas tree industry to the
United States economy; and
(2) urges the Secretary of Agriculture to establish
programs to raise awareness of the importance of the live-cut
Christmas tree industry.
____________________