[Congressional Record Volume 159, Number 36 (Wednesday, March 13, 2013)]
[Senate]
[Pages S1787-S1793]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Ms. MURKOWSKI (for herself, Mr. Wyden, Mr. Risch, Ms. 
        Cantwell, Mr. Crapo, Mrs. Murray, and Mr. Begich):
  S. 545. A bill to improve hydropower, and for other purposes; to the 
Committee on Energy and Natural Resources.
  Ms. MURKOWSKI. Mr. President, I rise today to introduce legislation 
aimed at increasing the production of our hardest working renewable 
resource, one that often gets overlooked in the clean energy debate--
hydropower. The Hydropower Improvement Act of 2013 is a bipartisan bill 
co-sponsored by my colleagues Senators Wyden, Risch, Cantwell, Crapo, 
Murray, and Begich, true hydropower advocates. The Hydropower 
Improvement Act of 2013 seeks to increase substantially the capacity 
and generation of our clean, renewable hydropower resources that will 
improve environmental quality and support local job creation and 
economic investment across the nation.
  There is no question that hydropower is, and must continue to be, 
part of our energy solution. It is the largest source of renewable 
electricity in the United States. The approximately 100,000 megawatts 
of hydroelectric capacity we now have today provide about seven percent 
of the Nation's electricity needs. Hydro-electric generation is carbon-
free baseload power that allows us to avoid over 200 million metric 
tons of carbon emissions each year. Hydropower is clean, efficient, and 
inexpensive. Yet, despite its tremendous benefits I am constantly 
amazed at how some undervalue this important resource.
  Perhaps it's because conventional wisdom dismisses our Nation's 
hydropower capacity as tapped out. That is simply not the case. If 
anything, hydropower is really an underdeveloped resource--something we 
certainly understand in my home State of Alaska where hydro already 
supplies 24 percent of the State's electricity needs and over 200 
promising sites for further hydropower development have been 
identified. There is great potential for additional hydropower 
development in every state, not just Alaska.
  According to the Department of Energy, conventional hydropower 
facilities have the capacity to generate an additional 75,000 megawatts 
of power--a staggering amount of clean, inexpensive power. Now, that 
doesn't seem possible until you realize that only three percent of the 
country's 80,000 existing dams are even electrified. Significant 
amounts of new capacity--anywhere between 20,000 and 60,000 megawatts--
can be derived from simple efficiency improvements or capacity 
additions at existing facilities. Additional hydropower can be captured 
in existing man-made conduits and hydroelectric pumped storage projects 
can help reliably integrate other renewable resources that are 
intermittent, such as wind, onto our grid.
  The Hydropower Improvement Act of 2013 seeks to multiply our nation's 
hydropower capacity in an effort to expand clean power generation and 
create domestic jobs. The bill provides the Federal Energy Regulatory 
Commission with the authority to extend preliminary permit terms and to 
explore a possible 2-year licensing process for hydropower development 
at non-powered dams and closed loop pumped storage projects. The bill 
establishes an expedited process for FERC to consider ``qualifying 
conduit'' hydropower facilities and increases the rated capacity for 
small hydro projects to 10 megawatts. The act also calls for the 
Department of Energy to conduct studies of the technical flexibility 
and grid reliability benefits that pumped storage facilities can 
provide to support intermittent renewable energy, as well as on the 
range of opportunities for conduit hydropower potential. Importantly, 
the Hydropower Improvement Act of 2013 does not contain any spending 
authorizations and therefore does not represent any new funding.
  It is my hope that as the Senate considers our Nation's long-term 
energy policy, we can finally recognize the important contribution the 
renewable resource of hydropower makes, and will continue to make, 
toward our clean energy goals. Our colleagues in the House have already 
done so. The Hydropower Improve Act of 2013 is a companion piece to 
H.R. 267, the Hydropower Regulatory Efficiency Act of 2013 sponsored by 
Representatives McMorris-Rogers and DeGette. H.R. 267 recently passed 
the House by a stunning 422-0 vote and is supported by both the 
National Hydropower Association and American Rivers. I ask my 
colleagues to join me in supporting this hydropower legislation to 
promote the further development of our most cost-effective, clean 
energy option.
                                 ______
                                 
      By Mr. WYDEN (for himself, Ms. Murkowski, Mr. Begich, Ms.

[[Page S1788]]

        Cantwell, Mrs. Murray, and Mr. Merkley):
  S. 551. A bill to provide an election to terminate certain capital 
construction funds without penalties; to the Committee on Finance.
  Mr. WYDEN. Mr. President, today I am reintroducing a bill to reform 
the Capital Construction Fund. This legislation would allow fishers to 
withdraw monies from their CCF accounts without penalty or interest, 
preventing overfishing and overcapitalization.
  The Capital Construction Fund, CCF, program was developed at a time 
when American fishers were having a hard time competing with highly 
efficient foreign fishing vessels. The program was designed to enable 
fishers to deposit a portion of their fishing-related earnings into a 
CCF account on a tax-deferred basis. Fishers then make withdrawals from 
their CCF account to construct, reconstruct, or under limited 
circumstances, acquire fishing vessels. However, any unauthorized 
withdrawal from CCF account is subject to severe interest and other 
penalties.
  The program was a success. The CCF program helped U.S. fishers build 
a modern state-of-the-art fleet. Unfortunately, that U.S. fleet is now 
overcapitalized. This problem is exacerbated by concerns surrounding 
overfishing. Fisheries managers have begun to implement catch-share 
limits to reduce the number of fish that they allow fishers to catch 
each year. Now, the U.S. commercial fishing fleet has more harvesting 
capacity than our fisheries can sustainably support. However, the 
monies fishers put into CCF accounts remain and represent a potential 
for further overcapitalization. Yet, current CCF regulations penalize 
withdrawals made for anything other than authorized expenditures.
  The resulting situation is problematic for the fishers, the industry 
and the resource. That is why I am reintroducing legislation today, 
along with my colleague Senator Murkowski, to address this problem and 
relieve the pressure to increase further capitalization of the fishing 
fleet. My legislation will enable CCF accountholders to make a one-time 
withdrawal from their CCF accounts. Accountholders would be required to 
pay the taxes due on the monies withdrawn, but without having to pay 
tax penalties. An income-averaging formula would be applied to the 
withdrawals in an effort to avoid assessing an excessive tax rate on 
the one-time withdrawal. Any fisher taking advantage of one-time 
withdrawal would then be required to close their CCF accounts and would 
be prohibited from further participation in the program.
  This is a win-win-win situation. The fisher gets to take the money 
out of his CCF without having to pay penalties and interest, but still 
pays the taxes when due; the government gets taxes on the withdrawals; 
and the resource and the fishers who remain in the fishery avoid 
further capitalization of an already over-capitalized industry.
  I look forward to working with Senators Murkowski, Murray, Cantwell, 
Begich and Merkley, the fishing community, and the bill's other 
supporters to advance this legislation to the President's desk.
  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. 551

       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 ``Capital Construction Fund 
     Penalty Relief Act''.

     SEC. 2. ELECTION TO TERMINATE CERTAIN CAPITAL CONSTRUCTION 
                   FUNDS.

       (a) Amendments to Chapter 535 of Title 46, United States 
     Code.--
       (1) In general.--Chapter 535 of title 46, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 53518. Election to terminate

       ``(a) In General.--
       ``(1) Election.--Any person who has entered into an 
     agreement under this chapter with respect to a vessel 
     operated in the fisheries of the United States may make an 
     election under this paragraph to terminate the capital 
     construction fund established under such agreement.
       ``(2) Effect of election on individuals.--In the case of an 
     individual who makes an election under paragraph (1) with 
     respect to a capital construction fund--
       ``(A) any amount remaining in such capital construction 
     fund on the date of such election shall be distributed to 
     such individual as a nonqualified withdrawal, except that--
       ``(i) in computing the tax on such withdrawal, except as 
     provided in paragraph (4), subsections (c)(3)(B) and (f) of 
     section 53511 shall not apply; and
       ``(ii) the taxpayer may elect to average the income from 
     such withdrawal as provided in subsection (b); and
       ``(B) such individual shall not be eligible to enter into, 
     directly or indirectly, any future agreement to establish a 
     capital construction fund under this chapter with respect to 
     a vessel operated in the fisheries of the United States.
       ``(3) Effect of election for entities.--
       ``(A) In general.--In the case of a person (other than an 
     individual) who makes an election under paragraph (1)--
       ``(i) the total amount in the capital construction fund on 
     the date of such election shall be distributed to the 
     shareholders, partners, or members of such person in 
     accordance with the terms of the instruments setting forth 
     the ownership interests of such shareholders, partners, or 
     members;
       ``(ii) each shareholder, partner, or member shall be 
     treated as having established a special temporary capital 
     construction fund and having deposited amounts received in 
     the distribution into such special temporary capital 
     construction fund;
       ``(iii) no gain or loss shall be recognized with respect to 
     such distribution;
       ``(iv) the basis of any shareholder, partner, or member in 
     the person shall not be reduced as a result of such 
     distribution;
       ``(v) any amounts not distributed pursuant to clause (i) 
     shall be distributed in a nonqualified withdrawal; and
       ``(vi) such person shall not be eligible to enter into, 
     directly or indirectly, any future agreement to establish a 
     capital construction fund under this chapter with respect to 
     a vessel operated in the fisheries of the United States.
       ``(B) Special temporary capital construction funds.--For 
     purposes of this chapter, a special temporary capital 
     construction fund shall be treated in the same manner as a 
     capital construction fund established under section 53503, 
     except that the following rules shall apply:
       ``(i) A special temporary capital construction fund shall 
     be established without regard to any agreement under section 
     53503 and without regard to any eligible or qualified vessel.
       ``(ii) Section 53505 shall not apply and no amounts may be 
     deposited into a special temporary capital construction fund 
     other than amounts received pursuant to a distribution 
     described in subparagraph (A)(i).
       ``(iii) In the case of any amounts distributed from a 
     special temporary capital construction fund directly to a 
     capital construction fund of the taxpayer established under 
     section 53505--

       ``(I) no gain or loss shall be recognized;
       ``(II) the limitation under section 53505 shall not apply 
     with respect to any amount so transferred;
       ``(III) such amounts shall not reduce taxable income under 
     section 53507(a)(1); and
       ``(IV) for purposes of section 53511(e), such amounts shall 
     be treated as deposited in the capital construction fund on 
     the date that such funds were deposited in the capital 
     construction fund with respect to which the election under 
     paragraph (1) was made.

       ``(iv) In the case of any amounts distributed from a 
     special temporary capital construction fund pursuant to an 
     election under paragraph (1), clauses (i) and (ii) of 
     paragraph (2)(A) shall not apply to so much of such amounts 
     as are attributable to earnings accrued after the date of the 
     establishment of such special temporary capital construction 
     fund.
       ``(v) Any amount not distributed from a special temporary 
     capital construction fund before the due date of the tax 
     return (including extension) for the last taxable year of the 
     individual ending before January 1, 2019, shall be treated as 
     distributed to the taxpayer on the day before such due date 
     as if an election under paragraph (1) were made by the 
     taxpayer on such day.
       ``(C) Regulations.--The joint regulations shall provide 
     rules for--
       ``(i) assigning the amounts received by the shareholders, 
     partners, or members in a distribution described in 
     subparagraph (A)(i) to the accounts described in section 
     53508(a) in special temporary capital construction funds; and
       ``(ii) preventing the abuse of the purposes of this 
     section.
       ``(4) Tax benefit rule.--Rules similar to the rules under 
     section 53511(f)(3) shall apply for purposes of determining 
     tax liability on any nonqualified withdrawal under paragraph 
     (2)(A), (3)(A)(v), or (3)(B)(v).
       ``(5) Election.--Any election under paragraph (1)--
       ``(A) may only be made--
       ``(i) by a person who maintains a capital construction fund 
     with respect to a vessel operated in the fisheries of the 
     United States on the date of the enactment of this section; 
     or
       ``(ii) by a person who maintains a capital construction 
     fund which was established pursuant to paragraph (3)(A)(ii) 
     as a result of an election made by an entity in which such 
     person was a shareholder, partner, or member;
       ``(B) shall be made not later than the due date of the tax 
     return (including extensions) for the person's last taxable 
     year ending on or before December 31, 2018; and

[[Page S1789]]

       ``(C) shall apply to all amounts in the capital 
     construction fund with respect to which the election is made.
       ``(b) Election to Average Income.--At the election of an 
     individual who has received a distribution described in 
     subsection (a), for purposes of section 1301 of the Internal 
     Revenue Code of 1986--
       ``(1) such individual shall be treated as engaged in a 
     fishing business, and
       ``(2) such distribution shall be treated as income 
     attributable to a fishing business for such taxable year.''.
       (2) Conforming amendments.--
       (A) Section 53511 of title 46, United States Code, is 
     amended by striking ``section 53513'' and inserting 
     ``sections 53513 and 53518''.
       (B) The table of sections for chapter 535 of title 46, 
     United States Code, is amended by inserting after the item 
     relating to section 53517 the following new item:

``53518. Election to terminate.''.

       (b) Amendments to the Internal Revenue Code of 1986.--
       (1) In general.--Section 7518 of the Internal Revenue Code 
     of 1986 is amended by adding at the end the following new 
     subsection:
       ``(j) Election To Terminate Capital Construction Funds.--
       ``(1) In general.--Any person who has entered into an 
     agreement under chapter 535 of title 46 of the United States 
     Code, with respect to a vessel operated in the fisheries of 
     the United States may make an election under this paragraph 
     to terminate the capital construction fund established under 
     such agreement.
       ``(2) Effect of election on individuals.--In the case of an 
     individual who makes an election under paragraph (1) with 
     respect to a capital construction fund, any amount remaining 
     in such capital construction fund on the date of such 
     election shall be distributed to such individual as a 
     nonqualified withdrawal, except that--
       ``(A) in computing the tax on such withdrawal, except as 
     provided in paragraph (4), paragraphs (3)(C)(ii) and (6) of 
     subsection (g) shall not apply, and
       ``(B) the taxpayer may elect to average the income from 
     such withdrawal as provided in paragraph (6).
       ``(3) Effect of election for entities.--
       ``(A) In general.--In the case of a person (other than an 
     individual) who makes an election under paragraph (1)--
       ``(i) the total amount in the capital construction fund on 
     the date of such election shall be distributed to the 
     shareholders, partners, or members of such person in 
     accordance with the terms of the instruments setting forth 
     the ownership interests of such shareholders, partners, or 
     members,
       ``(ii) each shareholder, partner, or member shall be 
     treated as having established a special temporary capital 
     construction fund and having deposited amounts received in 
     the distribution into such special temporary capital 
     construction fund,
       ``(iii) no gain or loss shall be recognized with respect to 
     such distribution,
       ``(iv) the basis of any shareholder, partner, or member in 
     the person shall not be reduced as a result of such 
     distribution, and
       ``(v) any amounts not distributed pursuant to clause (i) 
     shall be distributed as a nonqualified withdrawal.
       ``(B) Special temporary capital construction funds.--For 
     purposes of this section, a special temporary capital 
     construction fund shall be treated in the same manner as a 
     capital construction fund established under section 53503 of 
     title 46, United States Code, except that the following rules 
     shall apply:
       ``(i) Subsection (a) shall not apply and no amounts may be 
     deposited into a special temporary capital construction fund 
     other than amounts received pursuant to a distribution 
     described in subparagraph (A)(i).
       ``(ii) In the case of any amounts distributed from a 
     special temporary capital construction fund directly to a 
     capital construction fund of the taxpayer established under 
     section 53505 of title 46, United States Code--

       ``(I) no gain or loss shall be recognized;
       ``(II) the limitation under subsection (a) shall not apply 
     with respect to any amount so transferred;
       ``(III) such amounts shall not reduce taxable income under 
     subsection (c)(1)(A); and
       ``(IV) for purposes of subsection (g)(5), such amounts 
     shall be treated as deposited in the capital construction 
     fund on the date that such funds were deposited in the 
     capital construction fund with respect to which the election 
     under paragraph (1) was made.

       ``(iii) In the case of any amounts distributed from a 
     special temporary capital construction fund pursuant to an 
     election under paragraph (1), subparagraphs (A) and (B) of 
     paragraph (2) shall not apply to so much of such amounts as 
     are attributable to earnings accrued after the date of the 
     establishment of such special temporary capital construction 
     fund.
       ``(iv) Any amount not distributed from a special temporary 
     capital construction fund before the due date of the tax 
     return (including extension) for the last taxable year of the 
     individual ending before January 1, 2019, shall be treated as 
     distributed to the taxpayer on the day before such due date 
     as if an election under paragraph (1) were made by the 
     taxpayer on such day.
       ``(C) Regulations.--The joint regulations shall provide 
     rules for--
       ``(i) assigning the amounts received by the shareholders, 
     partners, or members in a distribution described in 
     subparagraph (A)(i) to the accounts described in subsection 
     (d)(1) in special temporary capital construction funds; and
       ``(ii) preventing the abuse of the purposes of this 
     section.
       ``(4) Tax benefit rule.--Rules similar to the rules under 
     subsection (g)(6)(B) shall apply for purposes of determining 
     tax liability on any nonqualified withdrawal under paragraph 
     (2), (3)(A)(v), or (3)(B)(iv).
       ``(5) Election.--Any election under paragraph (1)--
       ``(A) may only be made--
       ``(i) by a person who maintains a capital construction fund 
     with respect to a vessel operated in the fisheries of the 
     United States on the date of the enactment of this 
     subsection, or
       ``(ii) by a person who maintains a capital construction 
     fund which was established pursuant to subparagraph 
     (3)(A)(ii) as a result of an election made by an entity in 
     which such person was a shareholder, partner, or member,
       ``(B) shall be made not later than the due date of the tax 
     return (including extensions) for the person's last taxable 
     year ending on or before December 31, 2018, and
       ``(C) shall apply to all amounts in the capital 
     construction fund with respect to which the election is made.
       ``(6) Election to average income.--At the election of an 
     individual who has received a distribution described in 
     paragraph (2), for purposes of section 1301--
       ``(A) such individual shall be treated as engaged in a 
     fishing business, and
       ``(B) such distribution shall be treated as income 
     attributable to a fishing business for such taxable year.''.
       (2) Conforming amendment.--Section 7518(g)(1) of such Code 
     is amended by striking ``subsection (h)'' and inserting 
     ``subsections (h) and (j)''.
                                 ______
                                 
      By Mr. JOHNSON of South Dakota (for himself, Mr. Crapo, Ms. 
        Collins, Mrs. Gillibrand, Ms. Hirono, Mr. Isakson, Ms. 
        Klobuchar, Ms. Landrieu, Mr. Merkley, Mr. Moran, Mr. Roberts, 
        Ms. Stabenow, Mr. Tester, Mr. Bennet, Mr. Cochran, and Mr. 
        Risch):
  S. 553. A bill to amend the Internal Revenue Code of 1986 to provide 
for an exclusion for assistance provided to participants in certain 
veterinary student loan repayment or forgiveness programs; to the 
Committee on Finance.
  Mr. JOHNSON of South Dakota. Mr. President, I rise today to 
reintroduce the Veterinary Medicine Loan Repayment Program Enhancement 
Act with my friend, Senator Mike Crapo of Idaho. This bipartisan bill 
would exempt Veterinary Medicine Loan Repayment Program, VMLRP, awards 
from federal income taxation in order to increase veterinary services 
in areas around the country that lack adequate veterinary expertise.
  Authorized in 2003 by the National Veterinary Medical Services Act, 
NVMSA, the United States Department of Agriculture's, USDA, Veterinary 
Medicine Loan Repayment Program serves a dual purpose in assisting 
qualified veterinarians in reducing their student debt while also 
alleviating veterinarian shortages in rural areas. Specifically, the 
program authorizes the National Institute of Food and Agriculture, 
NIFA, to repay up to $25,000 of a veterinarian's debt per year if they 
agree to serve in high-priority veterinary shortage areas for at least 
3 years. However, awards under the program continue to be taxed at a 
rate of 39 percent, effectively limiting the number of awards that can 
be provided and delaying veterinary services to areas in desperate 
need. The awards are taxed with the tax payments paid under the program 
by the federal government, and the tax payments themselves are also 
taxed.
  The Department of Agriculture determines whether an area is eligible 
for assistance under the VMLRP through a ``shortage situation'' 
declaration process. Currently, two circumstances lead to such a 
designation. A geographic designation is made when a given geographic 
area suffers from a shortage of veterinarians overall and an area can 
also be designated as a shortage area when it suffers from a shortage 
of veterinarians who practice in a particular field of veterinary 
specialty. Currently, my home state of South Dakota has 6 designated 
shortage situations; three of them are statewide designations noting a 
shortage of practitioners in veterinary specialties. Moreover, the 
Bureau of Labor Statistics estimates that employment of veterinarians 
will grow by 36 percent by 2020, creating a need for 22,000 additional 
veterinarians. The future growth and increased demand for veterinarians 
becomes even more pressing when considered in combination with national 
statistics that show

[[Page S1790]]

dozens of counties across the country that have more than 25,000 food 
animals but zero veterinarians.
  Attaining a professional degree in a specialized and advanced field 
like veterinary medicine takes more than academic fortitude and 
personal dedication. According to the American Veterinary Medicine 
Association, the average VMLRP award recipient in Fiscal Year 2011 had 
an average eligible debt of over $100,000. Given the financial 
resources necessary to pursue a degree in higher education, I have long 
fought for this legislation to make it easier for students to pay off 
their loans. While South Dakota is truly a wonderful place to call 
home, it is a difficult place for a young veterinarian to earn a living 
when saddled with 6 figures of school debt. My legislation will help by 
enhancing the assistance veterinary graduates receive in exchange for 
meaningful public service while also providing important services to 
underserved rural areas.
  With an economic impact of $21.4 billion each year, according to the 
South Dakota Department of Agriculture, the importance of agriculture 
to the South Dakota economy cannot be understated. Our ranchers, many 
of whom operate in very rural areas, rely on the access they have to 
qualified veterinarians to care for their livestock and many of them 
must drive long distances to access the nearest veterinarian that works 
with their specific type of livestock. This lack of adequate access to 
veterinary services could have ramifications for both human and animal 
health, as well as animal welfare, disease surveillance, public safety 
and economic development. Farmers and ranchers make their living in 
agriculture but food security is fundamentally in all of our interests. 
Everyone in America benefits from the veterinary services provided in 
even the most remote areas of the country. As such, I am committed to 
doing all I can to help bring veterinarians to underserved parts of our 
state.
  I am proud to have fought for the establishment of the VMLRP program 
and for securing funding for the program through my seat on the Senate 
Appropriations Committee. Unfortunately, the 39 percent tax that is 
assessed on these benefits continues diminish the full benefits of the 
program. With enactment of this legislation, for every three 
veterinarians selected for the loan repayment awards, an additional 
veterinarian could also be selected to serve in an underserved shortage 
area. Moreover, such an exemption is not without precedent. In 2004, 
Congress exempted from taxation the assistance received by participants 
in the National Health Services Corps, NHSC.
  It should be noted that nearly 140 organizations from across the 
nation have announced their support for a tax exemption for VMLRP, 
including the South Dakota Veterinary Medical Association, South Dakota 
Farmers Union, South Dakota Farm Bureau, South Dakota Cattlemen's 
Association, South Dakota Stockgrowers Association, South Dakota 
Cattlemen's Association, South Dakota Pork Producers Council, the 
American Veterinary Medical Association, the American Farm Bureau 
Federation, the American Sheep Industry Association, the National 
Farmers Union, and many, many others.
  The VMLRP has had proven success in providing our agricultural 
producers with access to the veterinary services that they need to be 
effective. In fiscal year 2011, the program filled at least one 
shortage area in 35 States. Through the Veterinary Medicine Loan 
Repayment Program Enhancement Act, we can ensure that the program, and 
the awards offered through it, is continued and strengthened for the 
benefit of our students, rural communities, and family farms and 
ranches.
  Mr. President, I ask unanimous consent that a letter of support be 
printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

Statement of Support for the Veterinary Medicine Loan Repayment Program 
                        Enhancement Act of 2013

       The undersigned organizations offer our strongest support 
     for the Veterinary Medicine Loan Repayment Program 
     Enhancement Act of 2013 championed by Senator Tim Johnson (D-
     SD), Senator Michael Crapo (R-ID), and Representative Kurt 
     Schrader (D-OR-5).
       Our organizations represent a broad spectrum of animal 
     agriculture from all across our great country. We are 
     concerned about the continued economic viability of America's 
     farmers, ranchers, and the businesses they own. We support 
     public policy that promotes vibrant rural communities. We are 
     livestock producers; processors; animal health and research 
     organizations; veterinary medical associations; and livestock 
     feed, pet food and animal drug companies. We represent 
     businesses that care deeply about animal health and animal 
     agriculture. Together we urge Congress to pass the Veterinary 
     Medicine Loan Repayment Program Enhancement Act without 
     delay.
       The legislation provides a federal income tax exemption for 
     awards received under the Veterinary Medicine Loan Repayment 
     Program (VMLRP) and similar state programs. The awards are 
     presently taxed at 39 percent.
       Veterinary medicine loan repayment awards help qualified 
     veterinarians offset a portion of the educational debt in 
     return for practicing food animal medicine or veterinary 
     public health in federally designated high-priority 
     veterinary shortage situations. Congress set a precedent for 
     tax exemption in 2004 when it passed ``The American Jobs 
     Creation Act of 2004'' (H.R. 4520, P.L. 108-357) making the 
     National Health Service Corps (NHSC) loan repayment program 
     awards tax exempt. Prior to P.L. 108-357 the NHSC awards were 
     taxed at 39 percent.
       VMLRP participants provide a wide array of veterinary 
     services for rancher's livestock (beef, dairy cows, turkeys, 
     chicken, swine, goats, sheep, farmed deer and elk, camelids, 
     and working farm horses) including accredited medical 
     procedures including vaccinations (i.e., Brucellosis official 
     calf-hood vaccination/RB51), castration and dehorning, 
     pregnancy detections, breeding soundness exams, and services 
     for acute illness, trauma, dystocia or obstetrical 
     difficulties. They provide required services for interstate 
     movement of livestock, including commuter agreements, animal 
     health testing requirements needed to ship livestock, 
     tuberculosis checks and blood sample services for 
     Brucellosis, Bluetongue, and Bovine Viral Diarrhea. They 
     perform duties for state and federal disease control and 
     eradication programs and play a role in a state's veterinary 
     emergency response teams. Veterinarians practicing in public 
     health provide regulatory oversight for critical programs and 
     activities protecting livestock and poultry populations from 
     catastrophic diseases of animal and public health importance. 
     They perform domestic and foreign animal disease surveillance 
     activities, epidemiological investigations, institute 
     mitigation measures for disease control and are active first 
     responders in the event of an animal disease outbreak or 
     incident that threatens animal or human health. Also, they 
     perform outreach and education contributing to animal disease 
     awareness for producers, veterinary practitioners and the 
     public.
       By passing the Veterinary Medicine Loan Repayment Program 
     Enhancement Act, Congress will bolster animal health and 
     welfare, protect the nation's food supply and ensure that 
     ranchers and farmers will have access to veterinary services 
     they need for their livestock.
           Sincerely,


   Livestock Producers, Processors, Packers and Related Organizations

         American Horse Council; American Meat Institute; American 
           Rabbit Breeders Association, Inc.; American Sheep 
           Industry Association; American Veal Association; Fur 
           Commission USA; International Llama Registry; Michigan 
           Pork Producers Association; National Aquaculture 
           Association; National Cattlemen's Beef Association; 
           National Chicken Council; National Livestock Producers 
           Association; National Milk Producers Federation; 
           National Pork Producers Council; National Renderers 
           Association; National Turkey Federation; Nebraska 
           Poultry Industries; North American Deer Farmers 
           Association; North American Meat Association; North 
           Dakota Stockmen's Association; Ohio Poultry 
           Association; South Dakota Cattlemen's Association; 
           South Dakota Pork Producers Council; South Dakota 
           Stockgrowers Association; Texas Association of 
           Dairymen; United Egg Producers; U.S. Cattlemen's 
           Association.


           Animal Agriculture and Rural-focused Organizations

         American Farm Bureau Federation'; Center for 
           Rural Affairs; Kansas City Animal Health Corridor; 
           Kansas City Area Development Council; Kansas City Area 
           Life Sciences Institute; Livestock Marketing 
           Association; National Farmers Union; National Grange; 
           National Association of State Departments of 
           Agriculture; National Council of Farmer Cooperatives; 
           National Dairy Herd Information Association; National 
           Institute for Animal Agriculture; Northeast States 
           Association for Agriculture Stewardship; Rocky Mountain 
           Farmers Union; South Dakota Farmers Union; State 
           Agriculture and Rural Leaders.


           Animal Health and Research-focused Organizations;

         American Dairy Science Association; American Society of 
           Animal Science;

[[Page S1791]]

           American Society of Laboratory Animal Practitioners; 
           Federation of Animal Science Societies; Kansas 
           Bioscience Authority; Poultry Science Association; 
           Silliker, Inc.; Society for Theriogenology; United 
           States Animal Health Association.


            Livestock Feed, Pet Food, Animal Drug Companies

         American Feed Industry Association; Animal Health 
           Institute; Bayer Animal Health; Boehringer Ingelhelm 
           Vetmedica, Inc.; Ceva Animal Health; Elanco Animal 
           Health (A Division of Eli Lilly & Company); Pet Food 
           Institute; Zoetis.


               Veterinary Trade and Allied Organizations

         American Veterinary Medical Association; American 
           Association of Veterinary Laboratory Diagnosticians; 
           Association of American Veterinary Medical Colleges; 
           Academy of Rural Veterinarians; Alabama Veterinary 
           Medical Association; Alaska Veterinary Medical 
           Association; American Animal Hospital Association; 
           American Academy of Veterinary Nutrition; American 
           Association for Laboratory Animal Science; American 
           Association of Avian Pathologists; American Association 
           of Bovine Practitioners; American Association of 
           Corporate and Public Practice Veterinarians; American 
           Association of Equine Practitioners; American 
           Association of Feline Practitioners; American 
           Association of Food Hygiene Veterinarians; American 
           Association of Public Health Veterinarians; American 
           Association of Small Ruminant Practitioners; American 
           Association of Swine Veterinarians; American 
           Association of Veterinary Clinicians; American 
           Association of Zoo Veterinarians; American Board of 
           Veterinary Practitioners; American Board of Veterinary 
           Toxicology; American College of Laboratory Animal 
           Medicine; American College of Poultry Veterinarians; 
           American College of Theriogenologists; American College 
           of Veterinary Dermatology; American College of 
           Veterinary Pathologists; American College of Veterinary 
           Radiology; American Veterinary Medical Foundation; 
           Arizona Veterinary Medical Association; Arkansas 
           Veterinary Medical Association; Association for Women 
           Veterinarians Foundation; Association of Avian 
           Veterinarians; Association of Veterinary Biologics 
           Companies; Association of Zoos & Aquariums; California 
           Veterinary Medical Association; Colorado Veterinary 
           Medical Association; Connecticut Veterinary Medical 
           Association; Delaware Veterinary Medical Association; 
           District of Columbia Veterinary Medical Association; 
           Florida Veterinary Medical Association; Georgia 
           Veterinary Medical Association; Hawaii Veterinary 
           Medical Association; Idaho Veterinary Medical 
           Association; Illinois State Veterinary Medical 
           Association; Indiana Veterinary Medical Association; 
           Iowa Veterinary Medical Association; Kansas Veterinary 
           Medical Association; Kentucky Veterinary Medical 
           Association; Lesbian and Gay Veterinary Medical 
           Association; Louisiana Veterinary Medical Association; 
           Maine Veterinary Medical Association; Maryland 
           Veterinary Medical Association; Massachusetts 
           Veterinary Medical Association; Michigan Veterinary 
           Medical Association; Minnesota Veterinary Medical 
           Association; Mississippi Veterinary Medical 
           Association; Missouri Veterinary Medical Association; 
           Montana Veterinary Medical Association; National 
           Association of Federal Veterinarians; National 
           Association of State Public Health Veterinarians; 
           National Association of Veterinary Technicians in 
           America; National Food Animal Veterinary Institute; 
           Nebraska Veterinary Medical Association; Nevada 
           Veterinary Medical Association; New Hampshire 
           Veterinary Medical Association; New Jersey Veterinary 
           Medical Association; New Mexico Veterinary Medical 
           Association; New York State Veterinary Medical Society; 
           North Carolina Veterinary Medical Association; North 
           Dakota Veterinary Medical Association; Ohio Veterinary 
           Medical Association; Oklahoma Veterinary Medical 
           Association; Oregon Veterinary Medical Association; 
           Puerto Rico Veterinary Medical Association (Colegio de 
           Medicos Veterinarios de Puerto Rico); Pennsylvania 
           Veterinary Medical Association; Rhode Island Veterinary 
           Medical Association; South Carolina Association of 
           Veterinarians; South Dakota Veterinary Medical 
           Association; Student American Veterinary Medical 
           Association; Tennessee Veterinary Medical Association; 
           Texas Veterinary Medical Association; Utah Veterinary 
           Medical Association; Vermont Veterinary Medical 
           Association; Virginia Veterinary Medical Association; 
           Washington State Veterinary Medical Association; 
           Wisconsin Veterinary Medical Association; Wyoming 
           Veterinary Medical Association.
                                 ______
                                 
      By Mr. HARKIN:
  S. 555. A bill to amend the Americans with Disabilities Act of 1990 
to require captioning and video description at certain movie theaters; 
to the Committee on Health, Education, Labor, and Pensions.
  Mr. HARKIN. Mr. President, today marks the 25th anniversary of the 
appointment of Gallaudet University's first Deaf president, Dr. I. King 
Jordan. This historic appointment, the product of the ``Deaf President 
Now'' student protests, was truly a catalyzing moment--a moment to 
establish dignity--for the Deaf community. As President Jordan stated 
in his acceptance speech, the Deaf community would ``no longer accept 
limits on what we can achieve.''
  Deaf President Now was significant not only for the Deaf community, 
but it also showed other Americans what Deaf individuals are capable 
of. We saw the rights of the Deaf community brought to the forefront. 
And the Deaf President Now movement, with the active involvement of the 
Deaf community, helped lead to passage of the Americans with 
Disabilities Act 2 years later, in 1990.
  The Americans with Disabilities Act is one of the landmark civil 
rights laws of the 20th century--a long-overdue emancipation 
proclamation for Americans with disabilities. The ADA has played a huge 
role in making our country more accessible, in raising the expectations 
of people with disabilities about what they can hope to achieve at work 
and in life, and in inspiring all of us to view disability issues 
through the lens of equality and opportunity.
  Before the ADA, life was very different for folks with disabilities. 
Being an American with a disability meant not being able to ride on a 
bus because there was no lift, not being able to attend a concert or 
ballgame because there was no accessible seating, and not being able to 
cross the street in a wheelchair because there were no curb cuts. In 
short, it meant not being able to work or participate in community 
life. Discrimination was both commonplace and accepted.
  Since then, we have seen amazing progress. The ADA literally 
transformed the American landscape by requiring that architectural 
barriers be removed and replaced with accessible features such as 
ramps, lifts, curb cuts, widening doorways, and closed captioning. More 
importantly, the ADA gave millions of Americans the opportunity to 
participate in their communities. We have made substantial progress in 
advancing the four goals of the ADA--equality of opportunity, full 
participation, independent living, and economic self-sufficiency.
  But despite this progress, we still have more work to do. Although 
most television and home videos contain captioning for individuals who 
are deaf or hard of hearing--or the rest of us--most movie theaters do 
not. Thus millions of Americans who are deaf or hard of hearing are not 
able to attend a movie with their families or friends, at a time and 
location that they want, simply because captioning is not available. 
The same is true for individuals who are blind or visually impaired; 
most movie theaters do not provide access to video description 
technology, which would allow these individuals to have access to the 
key elements of a motion picture by contemporaneous audio narrated 
descriptions during the natural pauses in the audio portion of the 
programming, usually through headphones.
  A similar problem occurs in airplanes, with respect to in-flight 
entertainment. Many airlines are now providing in-flight entertainment 
for their passengers--but individuals who are deaf or hard of hearing 
cannot access it, because the overwhelming majority of this programming 
does not have captioning. Individuals who are blind or visually 
impaired are similarly excluded, since video description is not 
provided for such programming either.
  So we have a situation where an individual, in his own home, can 
usually access captioning or similar technology on his television when 
watching live television, or a television show, or a movie. Such 
captioning is often available in other venues, such as restaurants and 
sports bars. I do not believe that it would be difficult to provide the 
same technology access for individuals with disabilities in movie 
theaters or on airplanes. This would allow these Americans with 
disabilities

[[Page S1792]]

to have the same access as everyone else.
  Today I am introducing two bills. These bills will allow Americans 
with visual or hearing impairments to enjoy going to the movies and 
watching in-flight entertainment, through captioning and video 
description, just as they can at home.
  The first S. 555, entitled the Captioning and Image Narration to 
Enhance Movie Accessibility, CINEMA, Act, would amend Title III of the 
ADA to require movie theater complexes of two or more theaters to make 
captioning and video description available for all films at all 
showings.
  The second, S. 556, entitled the Air Carrier Access Amendments Act, 
would require air carriers to make captioning and video description 
available for visually-displayed entertainment programming--live 
televised events, recorded programming, and motion pictures--that is 
available in-flight for passengers. In instances where the programming 
is only available through the use of an individual touchscreen or other 
contact-sensitive controls, the bill would authorize the U.S. Access 
Board to develop accessibility standards so that individuals with 
disabilities can operate the displays independently.
  I look forward to working with my fellow members to pass these two 
bills and ensure that individuals who are deaf or hard of hearing, or 
who are blind or visually impaired, can have the same access to movies 
and in-flight entertainment as other Americans.
  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. 555

       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 ``Captioning and Image 
     Narration to Enhance Movie Accessibility Act'' or the 
     ``CINEMA Act''.

     SEC. 2. MOVIE THEATER ACCESSIBILITY.

       Section 302(b) of the Americans with Disabilities Act of 
     1990 (42 U.S.C. 12182(b)) is amended--
       (1) by redesignating paragraph (3) as paragraph (4); and
       (2) by inserting after paragraph (2) the following:
       ``(3) Movie theater accessibility.--
       ``(A) Definitions.--In this paragraph:
       ``(i) Closed captioning.--The term `closed captioning' 
     means a method, process, or mechanism, which may include a 
     device, that--

       ``(I) allows an individual who is deaf or hard of hearing 
     to have access to the content of a motion picture; and
       ``(II) allows that access by displaying, through an 
     individual device or individually used technology, all of the 
     audio portion of the motion picture (including displaying the 
     dialogue and any narration, as well as descriptions of on- 
     and off-screen sounds such as sound effects, music, or lyrics 
     for music, and information identifying the character who is 
     speaking) as text that can be effectively viewed and 
     controlled by that individual while the individual 
     simultaneously watches the motion picture.

       ``(ii) Covered entity.--The term `covered entity' means an 
     entity--

       ``(I) that operates a complex of 2 or more movie theaters, 
     screening rooms, or similar venues, at a single location, 
     that are used for the exhibition of copyrighted motion 
     pictures, if such exhibition is open to the public; and
       ``(II) whose operations affect commerce.

       ``(iii) Open captioning.--The term `open captioning' means 
     a method, process, or mechanism that--

       ``(I) allows an individual who is deaf or hard of hearing 
     to have access to the content of a motion picture; and
       ``(II) allows that access by openly displaying on the movie 
     screen involved all of the audio portion of the motion 
     picture (including displaying the dialogue and any narration, 
     as well as descriptions of on- and off-screen sounds such as 
     sound effects, music, or lyrics for music, and information 
     identifying the character who is speaking) as text that can 
     be effectively viewed by that individual and other members of 
     the audience while the individual and members simultaneously 
     watch the motion picture.

       ``(iv) Video description.--The term `video description' 
     means a method, process, or mechanism, including a device, 
     that--

       ``(I) allows an individual who is blind or visually 
     impaired to have access to the key visual elements of a 
     motion picture (such as actions, settings, facial 
     expressions, costumes, and scene changes); and
       ``(II) allows that access through the provision of 
     contemporaneous audio narrated descriptions of those elements 
     during the natural pauses in the audio portion of the motion 
     picture, or during the audio portion if necessary.

       ``(B) Accessibility.--It shall be discriminatory for any 
     person who owns, leases (or leases to), or operates a covered 
     entity to fail to ensure that all motion pictures shown at 
     the complex involved are accessible to individuals with 
     disabilities, including--
       ``(i) providing, or making available, open captioning for 
     individuals with disabilities, including individuals who are 
     deaf or hard of hearing;
       ``(ii) providing, or making available, closed captioning 
     for individuals with disabilities, including individuals who 
     are deaf or hard of hearing; and
       ``(iii) providing, or making available, video description 
     for individuals with disabilities, including individuals who 
     are blind or visually impaired.
       ``(C) Rule of construction.--Nothing in this Act shall be 
     construed to limit or prohibit an individual with a 
     disability from utilizing technology in connection with a 
     personal device in a manner that may provide the individual 
     with access to closed captioning, open captioning, or video 
     description that is equivalent to or greater than the 
     corresponding access required under subparagraph (B).''.

     SEC. 3. CONFORMING AMENDMENT.

       Section 308(a)(2) of the Americans with Disabilities Act of 
     1990 (42 U.S.C. 12188(a)(2)) is amended by striking ``and 
     section 303(a)'' and inserting ``, 302(b)(3), and 303(a)''.

     SEC. 4. EFFECTIVE DATE.

       This Act takes effect 1 year after the date of enactment of 
     this Act.
                                 ______
                                 
      By Mr. HARKIN:
  S. 556. A bill to amend title 49, United States Code, to improve the 
accessibility of entertainment programming provided by air carriers on 
passenger flights, and for other purposes; to the Committee on 
Commerce, Science, and Transportation.
  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. 556

       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 ``Air Carrier Access 
     Amendments Act''.

     SEC. 2. ACCESSIBILITY OF IN-FLIGHT ENTERTAINMENT PROGRAMMING.

       (a) In General.--Subchapter I of chapter 417 of title 49, 
     United States Code, is amended by inserting after section 
     41705 the following:

     ``Sec. 41705a. Accessibility of in-flight entertainment 
       programming

       ``(a) In General.--In providing air transportation, an air 
     carrier, including (subject to section 40105(b)) any foreign 
     air carrier, shall ensure that--
       ``(1) on and after the date that is 180 days after the date 
     of the enactment of the Air Carrier Access Amendments Act, 
     all visually displayed entertainment programming available to 
     passengers on a flight is accessible to individuals with 
     disabilities, including by--
       ``(A) providing, or making available, open captioning for 
     individuals with disabilities, including individuals who are 
     deaf or hard of hearing, when such programming is available 
     to passengers through shared video displays, such as a 
     monitor located in a passenger access aisle;
       ``(B) providing, or making available, closed captioning for 
     individuals with disabilities, including individuals who are 
     deaf or hard of hearing, when such programming is available 
     to passengers through individual video displays; and
       ``(C) providing, or making available, video description for 
     individuals with disabilities, including individuals who are 
     blind or visually impaired, when such programming is 
     available to passengers through individual video displays or 
     shared video displays; and
       ``(2) not later than the effective date of the regulations 
     prescribed under subsection (c)(2), all individual video 
     displays that display entertainment programming or 
     information to passengers on a flight that are operated 
     primarily by using touchscreens or other contact-sensitive 
     controls include a mechanism that allows individuals with 
     disabilities, including individuals who are blind or visually 
     impaired, to independently operate the displays in accordance 
     with the standards prescribed under subsection (c).
       ``(b) Enforcement.--
       ``(1) In general.--The remedies and procedures set forth in 
     section 308(a) of the Americans with Disabilities Act of 1990 
     (42 U.S.C. 12188(a)), including the injunctive relief 
     described in paragraph (2) of that section, shall be 
     available to any person aggrieved by the failure of an air 
     carrier to comply with subsection (a).
       ``(2) Enforcement by attorney general.--The provisions of 
     section 308(b) of the Americans with Disabilities Act of 1990 
     (42 U.S.C. 12188(b)) shall apply with respect to the 
     compliance of air carriers with subsection (a) to the same 
     extent that those provisions apply with respect to the 
     compliance of covered entities with title III of that Act (42 
     U.S.C. 12181 et seq.).
       ``(c) Establishment of Standards for Operation of 
     Individual Video Displays.--
       ``(1) In general.--Not later than 18 months after the date 
     of the enactment of the Air

[[Page S1793]]

     Carrier Access Amendments Act, the Architectural and 
     Transportation Barriers Compliance Board shall, in 
     consultation with the Secretary of Transportation, prescribe 
     standards in accordance with chapter 5 of title 5 (commonly 
     known as the `Administrative Procedure Act') setting forth 
     the minimum technical criteria for individual video displays 
     described in subsection (a)(2) to ensure that such video 
     displays include a mechanism that allows individuals with 
     disabilities to operate the displays independently.
       ``(2) Regulations.--Not later than 180 days after the 
     Architectural and Transportation Barriers Compliance Board 
     issues standards under paragraph (1), the Secretary shall 
     prescribe such regulations as are necessary to implement 
     those standards and shall publish those regulations in an 
     accessible format.
       ``(3) Review and amendment.--The Architectural and 
     Transportation Barriers Compliance Board, in consultation 
     with the Secretary, shall periodically review and, as 
     appropriate, amend the standards prescribed under paragraph 
     (1) in accordance with chapter 5 of title 5. Not later than 
     180 days after the Architectural and Transportation Barriers 
     Compliance Board issues amended standards under this 
     paragraph, the Secretary shall make such revisions to the 
     regulations prescribed under paragraph (2) as are necessary 
     to implement the amended standards.
       ``(d) Definitions.--In this section:
       ``(1) Closed captioning.--The term `closed captioning' 
     means a method, process, or mechanism, which may include a 
     device, that--
       ``(A) allows an individual who is deaf or hard of hearing 
     to have access to the content of visually displayed 
     entertainment programming; and
       ``(B) allows that access by displaying, through an 
     individual device or individually used technology, all of the 
     audio portion of the programming (including displaying the 
     dialogue and any narration, as well as descriptions of on- 
     and off-screen sounds such as sound effects, music, or lyrics 
     for music, and information identifying the character who is 
     speaking) as text that can be effectively viewed and 
     controlled by that individual while the individual 
     simultaneously watches the programming.
       ``(2) Individual with a disability.--The term `individual 
     with a disability' means any person who has a disability as 
     defined in section 3 of the Americans with Disabilities Act 
     of 1990 (42 U.S.C. 12102).
       ``(3) Open captioning.--The term `open captioning' means a 
     method, process, or mechanism that--
       ``(A) allows an individual who is deaf or hard of hearing 
     to have access to the content of visually displayed 
     entertainment programming; and
       ``(B) allows that access by openly displaying on the video 
     display on which the programming is displayed all of the 
     audio portion of the programming (including displaying the 
     dialogue and any narration, as well as descriptions of on- 
     and off-screen sounds such as sound effects, music, or lyrics 
     for music, and information identifying the character who is 
     speaking) as text that can be effectively viewed by that 
     individual and other passengers while the individual and 
     passengers simultaneously watch the programming.
       ``(4) Video description.--The term `video description' 
     means a method, process, or mechanism, including a device, 
     that--
       ``(A) allows an individual who is blind or visually 
     impaired to have access to the key visual elements of 
     visually displayed entertainment programming (such as 
     actions, settings, facial expressions, costumes, and scene 
     changes); and
       ``(B) allows that access through the provision of 
     contemporaneous audio narrated descriptions of those elements 
     during the natural pauses in the audio portion of the 
     programming, or during the audio portion if necessary.
       ``(5) Visually displayed entertainment programming.--The 
     term `visually displayed entertainment programming' means 
     live televised events, recorded programming (including 
     television programs), or motion pictures that are available 
     to passengers, for a fee or without cost, on a flight in air 
     transportation.''.
       (b) Clerical Amendment.--The analysis for chapter 417 of 
     title 49, United States Code, is amended by inserting after 
     the item relating to section 41705 the following:

       ``41705a. Accessibility of in-flight entertainment 
           programming.''.

           

                          ____________________