[Congressional Record Volume 153, Number 184 (Tuesday, December 4, 2007)]
[Senate]
[Pages S14747-S14748]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




EMERGENCY AND DISASTER ASSISTANCE FRAUD PENALTY ENHANCEMENT ACT OF 2007

  Mr. DORGAN. Mr. President, I ask unanimous consent that the Senate 
proceed to the immediate consideration of Calendar No. 167, which is S. 
863.
  The PRESIDING OFFICER. The clerk will report the bill by title.
  The legislative clerk read as follows:

       A bill (S. 863) to amend title 18, United States Code, with 
     respect to fraud in connection with major disaster or 
     emergency funds.

  There being no objection, the Senate proceeded to consider the bill.
  Mr. DORGAN. I ask unanimous consent that the bill be read a third 
time and passed, the motion to reconsider be laid upon the table, and 
any statements be printed in the Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (S. 863) was ordered to be engrossed for a third reading, 
was read the third time and passed, as follows:

                                 S. 863

       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 ``Emergency and Disaster 
     Assistance Fraud Penalty Enhancement Act of 2007''.

     SEC. 2. FRAUD IN CONNECTION WITH MAJOR DISASTER OR EMERGENCY 
                   BENEFITS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 1040. Fraud in connection with major disaster or 
       emergency benefits

       ``(a) Whoever, in a circumstance described in subsection 
     (b) of this section, knowingly--
       ``(1) falsifies, conceals, or covers up by any trick, 
     scheme, or device any material fact; or
       ``(2) makes any materially false, fictitious, or fraudulent 
     statement or representation, or makes or uses any false 
     writing or document knowing the same to contain any 
     materially false, fictitious, or fraudulent statement or 
     representation,


[[Page S14748]]


     in any matter involving any benefit authorized, transported, 
     transmitted, transferred, disbursed, or paid in connection 
     with a major disaster declaration under section 401 of the 
     Robert T. Stafford Disaster Relief and Emergency Assistance 
     Act (42 U.S.C. 5170) or an emergency declaration under 
     section 501 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5191), or in connection 
     with any procurement of property or services related to any 
     emergency or major disaster declaration as a prime contractor 
     with the United States or as a subcontractor or supplier on a 
     contract in which there is a prime contract with the United 
     States, shall be fined under this title, imprisoned not more 
     than 30 years, or both.
       ``(b) A circumstance described in this subsection is any 
     instance where--
       ``(1) the authorization, transportation, transmission, 
     transfer, disbursement, or payment of the benefit is in or 
     affects interstate or foreign commerce;
       ``(2) the benefit is transported in the mail at any point 
     in the authorization, transportation, transmission, transfer, 
     disbursement, or payment of that benefit; or
       ``(3) the benefit is a record, voucher, payment, money, or 
     thing of value of the United States, or of any department or 
     agency thereof.
       ``(c) In this section, the term `benefit' means any record, 
     voucher, payment, money or thing of value, good, service, 
     right, or privilege provided by the United States, a State or 
     local government, or other entity.''.
       (b) Clerical Amendment.--The table of sections for chapter 
     47 of title 18, United States Code, is amended by adding at 
     the end the following new item:

``1040. Fraud in connection with major disaster or emergency 
              benefits.''.

     SEC. 3. INCREASED CRIMINAL PENALTIES FOR ENGAGING IN WIRE, 
                   RADIO, AND TELEVISION FRAUD DURING AND RELATION 
                   TO A PRESIDENTIALLY DECLARED MAJOR DISASTER OR 
                   EMERGENCY.

       Section 1343 of title 18, United States Code, is amended by 
     inserting: ``occurs in relation to, or involving any benefit 
     authorized, transported, transmitted, transferred, disbursed, 
     or paid in connection with, a presidentially declared major 
     disaster or emergency (as those terms are defined in section 
     102 of the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5122)), or'' after ``If the 
     violation''.

     SEC. 4. INCREASED CRIMINAL PENALTIES FOR ENGAGING IN MAIL 
                   FRAUD DURING AND RELATION TO A PRESIDENTIALLY 
                   DECLARED MAJOR DISASTER OR EMERGENCY.

       Section 1341 of title 18, United States Code, is amended by 
     inserting: ``occurs in relation to, or involving any benefit 
     authorized, transported, transmitted, transferred, disbursed, 
     or paid in connection with, a presidentially declared major 
     disaster or emergency (as those terms are defined in section 
     102 of the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5122)), or'' after ``If the 
     violation''.

     SEC. 5. DIRECTIVE TO SENTENCING COMMISSION.

       (a) In General.--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 
     forthwith shall--
       (1) promulgate sentencing guidelines or amend existing 
     sentencing guidelines to provide for increased penalties for 
     persons convicted of fraud or theft offenses in connection 
     with a major disaster declaration under section 401 of the 
     Robert T. Stafford Disaster Relief and Emergency Assistance 
     Act (42 U.S.C. 5170) or an emergency declaration under 
     section 501 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5191); and
       (2) submit to the Committee on the Judiciary of the Senate 
     and the Committee on the Judiciary of the House of 
     Representatives an explanation of actions taken by the 
     Commission pursuant to paragraph (1) and any additional 
     policy recommendations the Commission may have for combating 
     offenses described in that paragraph.
       (b) Requirements.--In carrying out this section, the 
     Sentencing Commission shall--
       (1) ensure that the sentencing guidelines and policy 
     statements reflect the serious nature of the offenses 
     described in subsection (a) and the need for aggressive and 
     appropriate law enforcement action to prevent such offenses;
       (2) assure reasonable consistency with other relevant 
     directives and with other guidelines;
       (3) account for any aggravating or mitigating circumstances 
     that might justify exceptions, including circumstances for 
     which the sentencing guidelines currently provide sentencing 
     enhancements;
       (4) make any necessary conforming changes to the sentencing 
     guidelines; and
       (5) assure that the guidelines adequately meet the purposes 
     of sentencing as set forth in section 3553(a)(2) of title 18, 
     United States Code.
       (c) Emergency Authority and Deadline for Commission 
     Action.--The Commission shall promulgate the guidelines or 
     amendments provided for under this section as soon as 
     practicable, and in any event not later than the 30 days 
     after the date of enactment of this Act, in accordance with 
     the procedures set forth in section 21(a) of the Sentencing 
     Reform Act of 1987, as though the authority under that Act 
     had not expired.

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