[Congressional Record Volume 166, Number 57 (Monday, March 23, 2020)]
[Senate]
[Pages S1971-S1972]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 1570. Mr. SASSE submitted an amendment intended to be proposed by 
him to the bill H.R. 748, to amend the Internal Revenue Code of 1986 to 
repeal the excise tax on high cost employer-sponsored health coverage; 
which was ordered to lie on the table; as follows:

        At the appropriate place, insert the following:

     SEC. 1114. PAYMENTS TO STATES IN LIEU OF LOANS.

       (a) Payments.--
       (1) In general.--Out of the amount appropriated under 
     section 1106(a)(1), the Administrator shall pay each State 
     the amount determined under paragraph (2).
       (2) State payment amount.--
       (A) State share of 51 percent of funding.--With respect to 
     each State, the amount determined for the State under this 
     paragraph is the sum of the State shares determined under 
     subparagraphs (A) and (B), respectively.
       (B) State share of lending amount.--The State share 
     determined under this subparagraph for a State is an amount 
     equal to the product obtained by multiplying--
       (i) the State allocation percentage; by
       (ii) the product obtained by multiplying--

       (I) 0.51; by
       (II) the amount appropriated under section 1106(a)(1).

       (C) State share of salaries and expenses.--The State share 
     determined under this subparagraph for a State is an amount 
     equal to the product obtained by multiplying--
       (i) the State allocation percentage; by
       (ii) the product obtained by multiplying--

       (I) 0.51; by
       (II) the amount appropriated under section 1106(a)(2).

       (3) State allocation percentage.--For purposes of this 
     subsection, the State allocation percentage for any State is 
     an amount (expressed as a percentage) equal to the quotient 
     of--
       (A) the number of citizens of the United States in such 
     State; and
       (B) the total number of citizens of the United States in 
     all States.
       (b) Use of Funds.--
       (1) In general.--The Governor of a State may use amounts 
     paid to the State under this section to--
       (A) minimize small business bankruptcies as a result of the 
     coronavirus crisis; or
       (B) minimize small business job losses as a result of the 
     coronavirus crisis.
       (2) State loans and loan guarantees.--
       (A) In general.--The Governor of a State may make loans or 
     loan guarantees to carry out the purposes of paragraph (1).
       (B) Loan forgiveness.--The Governor of a State that 
     receives amounts under this section may forgive loans made in 
     the same manner as provided for loans forgiven under section 
     1105.
       (c) Period to Claim.--Not less than 24 hours after the date 
     of enactment of this Act, the Governor of a State shall 
     notify the Administration of its intent to claim the State 
     payment amount determined under subsection (a)(2). Any 
     unclaimed amounts shall be otherwise available to the 
     Administration as provided in this title.
       At the appropriate place in title II of division A, add the 
     following:

     SEC. __. PAYMENTS TO STATES IN LIEU OF TAX BENEFITS.

       (a) Payments.--
       (1) In general.--The Secretary of the Treasury shall pay to 
     each State an amount equal to the product of--
       (A) the applicable amount; and
       (B) the State allocation percentage.
       (2) Applicable amount.--For purposes of paragraph (1), the 
     applicable amount is the amount equal to the sum of--
       (A) the aggregate amount of reductions in credits allowed 
     under section 6428 of the Internal Revenue Code of 1986 by 
     reason of subsection (j)(1) thereof (as added by subsection 
     (b)); and
       (B) the reduction in the estimated loss of revenue 
     resulting from the provisions of, or amendments made by, each 
     section of [subtitle C of this title] (determined before the 
     application of subsection (c)) by reason of the application 
     of such subsection.
       (3) State allocation percentage.--For purposes of paragraph 
     (1), the State allocation percentage for any State is an 
     amount (expressed as a percentage) equal to the quotient of--
       (A) the number of citizens of the United States in such 
     State; and
       (B) the total number of citizens of the United States in 
     all States.
       (4) Amounts received from states excluded from income.--For 
     purposes of the Internal Revenue Code of 1986, if a taxpayer 
     receives any amount or benefit from a State under a program 
     established after the date of the enactment of this Act that 
     was funded with amounts paid to the State under this 
     subsection, such amount or benefit shall not be taken into 
     account in determining gross income.
       (5) Use of funds.--The Governor of a State may use amounts 
     paid to the State under this subsection to--
       (A) minimize small business bankruptcies as a result of the 
     coronavirus crisis; or
       (B) minimize small business job losses as a result of the 
     coronavirus crisis.
       (b) 51 Percent Reduction in Tax Rebates.--Section 6428 of 
     the Internal Revenue Code of 1986, as added by this Act, is 
     amended by adding at the end the following new subsection:
       ``([-]) Reduction in Credit.--The amount of the credit 
     allowed under this section (determined without regard to this 
     subsection and after the application of subsection 
     ([limitation])) shall be reduced by 51 percent of such 
     amount.''.
       (c) 51 Percent Reduction in Business Tax Provisions.--
       (1) In general.--The provisions of, and amendments made by, 
     each section of [subtitle C of this title] of this Act shall 
     be applied, under regulations established by the Secretary of 
     the Treasury, in a manner such that the estimated loss of 
     revenue resulting from the provisions of, or amendments made 
     by, each such section (determined after the application of 
     this subsection) is not more than 51 percent of the estimated 
     loss of revenue resulting from the provisions of, or 
     amendments made by, each such section (determined before the 
     application of this section).
       (2) Regulations.--The regulations described in paragraph 
     (1) shall be issued not later than the date that is 10 days 
     after the date of the enactment of this Act.
       At the end of title IV of division A, add the following:

     SEC. 4022. PAYMENTS TO STATES IN LIEU OF FEDERAL LOANS, LOAN 
                   GUARANTEES, OR OTHER INVESTMENTS.

       (a) Nonapplication of Certain Provisions.--Notwithstanding 
     any other provision of this Act, any provisions of this title 
     that are directly contrary to the authority under this 
     section shall have no force or effect.
       (b) Payments to States.--From the amount appropriated under 
     section 4019(a) to the fund established under section 
     5302(a)(1) of title 31, United States Code, to carry out this 
     title, the Secretary shall, not later than 30 days after the 
     date of enactment of this Act, pay each State the amount 
     determined for the State under subsection (c).
       (c) State Payment Amount.--
       (1) State share of 51 percent of federal program funding.--
     With respect to each State, the amount determined for the 
     State under this subsection is the sum of the State shares 
     determined under paragraphs (2) and (3), respectively.
       (2) State share of 51 percent of general federal program 
     funding.--The State share determined under this paragraph for 
     a State is the amount equal to--
       (A) the State allocation percentage; multiplied by--
       (B) the product of--
       (i) 0.51; and
       (ii) the amount appropriated under section 4019(a), reduced 
     by $100,000,000.
       (3) State share of federal funding for administrative 
     expenses.--The State share determined under this paragraph 
     for a State is the amount equal to the product of--
       (A) the State allocation percentage; and

[[Page S1972]]

       (B) $100,000,000.
       (d) State Allocation Percentage.--For purposes of this 
     section, the State allocation percentage for any State is an 
     amount (expressed as a percentage) equal to the quotient of--
       (1) the number of citizens of the United States in such 
     State; and
       (2) the total number of citizens of the United States in 
     all States.
       (e) Use of Funds.--
       (1) In general.--The Governor of a State may use the amount 
     paid to the State under this section to--
       (A) minimize small business bankruptcies as a result of the 
     coronavirus crisis; or
       (B) minimize small business job losses as a result of the 
     coronavirus crisis.
       (2) State loans and loan guarantees.--
       (A) In general.--The Governor of the State may make loans 
     or loan guarantees to carry out the purposes of paragraph 
     (1).
       (B) Limitation.--The total amount of loans and loan 
     guarantees made by the Governor of a State using the amount 
     paid to the State under this section shall not exceed the 
     State share of such amount determined under subsection 
     (c)(2).
       (f) Application of Certain Requirements for Federal Loans, 
     Loan Guarantees, or Other Investments.--The following 
     requirements shall apply to loans and loan guarantees made by 
     the Governor of a State using the amount paid to the State 
     under this section in the same manner as such requirements 
     apply to loans, loan guarantees, or other investments made by 
     the Secretary (and, withe respect to a State, by substituting 
     ``Governor'' for ``Secretary)'':
       (1) Subsection (c)(2) of section 4003 (relating to 
     determinations for making loans and loan guarantees).
       (2) Subsection (d) of section 4003 (relating to financial 
     protection of Government).
       (3) Subsection (f) of section 4003 (relating to 
     administrative provisions, except that the State share 
     determined for the State under subsection (c)(3) shall be 
     substituted for ``$100,000,000'').
       (4) Section 4004 (relating to limitation on certain 
     employee compensation).
       (g) Deposit of Proceeds.--Amounts collected by the Governor 
     of a State with respect to loans and loan guarantees made 
     under this section, including the repayment of principal, 
     proceeds of investments, earnings, and interest collected, 
     shall be paid to the Secretary and deposited in the Treasury 
     as miscellaneous receipts.

       At the appropriate place in division B, insert the 
     following:
       Sec. __. (a) Of amounts appropriated under this division, 
     each State shall receive the payment amount determined under 
     subsection (b).
       (b)(1) The State payment amount determined under this 
     subsection for a State is an amount equal to the product 
     obtained by multiplying--
       (A) the State allocation percentage; by
       (B) the product obtained by multiplying--
       (i) 0.51; by
       (ii) the sum of all amounts appropriated under this 
     division.
       (2) For purposes of paragraph (1), the State allocation 
     percentage for any State is an amount (expressed as a 
     percentage) equal to the quotient of--
       (A) the number of citizens of the United States in such 
     State; and
       (B) the total number of citizens of the United States in 
     all States.
       (3) The Governor of a State may use the amount paid to the 
     State under this section to--
       (A) minimize small business bankruptcies as a result of the 
     coronavirus crisis; or
       (B) minimize small business job losses as a result of the 
     coronavirus crisis.
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