[Congressional Record (Bound Edition), Volume 145 (1999), Part 18]
[Senate]
[Pages 26640-26653]
[From the U.S. Government Publishing Office, www.gpo.gov]



          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mrs. FEINSTEIN (for herself and Mr. Lautenberg):
  S. 1774. A bill to amend the Internal Revenue Code of 1986 to 
regulate certain 50 caliber sniper weapons in the same manner as 
machine guns and other firearms; to the Committee on Finance.


             Military Sniper Weapon Regulation Act of 1999

  Mrs. FEINSTEIN. Mr. President, I rise today on behalf of myself and 
Senator Lautenberg to introduce the Military Sniper Weapon Regulation 
Act of 1999. This bill will reclassify powerful .50 caliber military 
sniper rifles under the National Firearms act, thus making it much more 
difficult for terrorists, doomsday cults, and criminals to obtain these 
guns for illegitimate use.
  Let me just talk a little bit about what a .50 caliber gun is, and 
then I will describe why I believe it is vital to tighten the rules 
surrounding their use and purchase.
  These .50 caliber firearms are weapons of such range and destructive 
capability that it seems unthinkable for them to fall into civilian 
hands. These .50 caliber guns, manufactured by a small handful of 
companies and individuals, are deadly, military style assault rifles. 
The M82A1, one common example of these guns, was manufactured with one 
purpose in mind--the efficient destruction of enemy armaments and 
personnel. These guns, weighing 28 pounds and capable of piercing light 
armor at more than 4 miles, enable a single shooter to destroy enemy 
jeeps, tanks, personnel carriers, bunkers, fuel stations, and even 
communication centers. As a result, their use by military organizations 
worldwide has been rapidly spreading during the course of this decade.
  But with the increasing military use of the gun, we have also seen 
increased use of the weapon by violent criminals and terrorists around 
the world.
  The weapons are deadly accurate up to 2,000 yards. This means that a 
shooter using a .50 caliber weapon can reliably hit a target more than 
a mile away. In fact, according to a training manual for military and 
police snipers published in 1993, a bullet from this gun ``even at one 
and a half miles crashes into a target with more energy than Dirty 
Harry's famous .44 magnum at point-blank'' range.
  And the gun is ``effective'' up to 7,500 yards. In other words, 
although it may be hard to aim at that distance, the gun will have its 
desired destructive effect at that distance--more than 4 miles from the 
target.
  The weapon can penetrate several inches of steel, concrete, or even 
light armor.
  Many ranges used for target practice do not even have enough safety 
features to accommodate these guns--it is just too powerful.
  This gun was used extensively in the gulf war by American troops. 
Ideal for long range destruction of personnel, light armor or 
communications, there is no question that this gun is an effective 
wartime tool.
  Recent advances in weapons technology, however, allow this gun to be 
used by civilians against armored limousines, bunkers, individuals, and 
even aircraft--in fact, one advertisement for the gun apparently 
promoted the weapon as able to ``wreck several million dollars' worth 
of jet aircraft with one or two dollars' worth of cartridge.''
  One new version of the .50 caliber weapon is a modified machine gun 
capable of accepting ammunition belts, and yet is still allowed for 
civilian use by BATF.
  This gun is so powerful that one dealer told undercover GAO 
investigators ``You'd better buy one soon. It's only a matter of time 
before someone lets go a round on a range that travels so far, it hits 
a school bus full of kids. The government will definitely ban .50 
calibers. This gun is just too powerful.''

[[Page 26641]]

  Mr. President, a recent study by the General Accounting Office 
revealed some eye-opening facts about how and where this gun is used, 
and how easily it is obtained.
  The GAO reports that many of these guns wind up in the hands of 
domestic and international terrorists, religious cults, outlaw 
motorcycle gangs, drug traffickers, and violent criminals.
  One doomsday cult headquartered in Montana purchased 10 of these guns 
and stockpiled them in an underground bunker, along with thousands of 
rounds of ammunition and other guns.
  At least one .50 caliber gun was recovered by Mexican authorities 
after a shoot-out with an international drug cartel in that country. 
The gun was originally purchased in Wyoming, so it is clear that the 
guns are making their way into the hands of criminals worldwide.
  According to a recent news story, another .50 caliber sniper rifle, 
smuggled out of the United States, was used by the Irish Republican 
Army to kill a large number of British soldiers.
  And ammunition for these guns is also readily available, even over 
the Internet. Bullets for these guns include ``armor piercing 
incendiary'' ammunition that explodes on impact, and even ``armor 
piercing tracing'' ammunition reminiscent of the ammunition that lit up 
the skies over Baghdad during the Persian Gulf war.
  Several ammunition dealers were willing to sell armor piercing 
ammunition to an undercover GAO investigator even after the 
investigator said he wanted the ammunition to pierce an armored 
limousine or maybe to ``take down'' a helicopter.
  In fact, our own military helps to provide thousands of rounds of .50 
caliber ammunition, by essentially giving away tons of spent 
cartridges, many of which are then refurbished and sold on the civilian 
market.
  The bill I offer today will begin the process of making these guns 
harder to get and easier to track.
  Current law classifies .50 caliber guns as ``long guns,'' subject to 
the least government regulation for any firearm. Sawed-off shotguns, 
machine guns, and even handguns are more highly regulated than this 
military sniper rifle.
  In fact, many states allow possession of .50 caliber guns by those as 
young as 14 years old, and there is no regulation on second-hand sales.
  Essentially, this bill would re-classify .50 caliber guns under the 
National Firearms Act, which imposes far stricter standards on powerful 
and destruction weapons.
  For instance:
  NFA guns may only be purchased from a licensed dealer, and not 
second-hand. This will prevent the sale of these guns at gun shows and 
in other venues that make it hard for law enforcement to track the 
weapons.
  Second, purchasers of NFA guns must fill out license transfer 
applications and provide fingerprints to be processed by the FBI in 
detailed criminal background checks. By reclassifying the .50 caliber, 
Congress will be making a determination that sellers should be more 
careful about to whom they give these powerful, military guns.
  ATF reports that this background check process takes about 60 days, 
so prospective gun buyers will face some delay. However, legitimate 
purchasers of this $7,000 gun can certainly wait that long.
  Clearly, Mr. President, placing a few more restrictions on who can 
get these guns and how is simply common sense. This bill will not ban 
the sale, use or possession of .50 caliber weapons. The .50 caliber 
shooting club will not face extinction, and ``legitimate'' purchasers 
of these guns will not lose their access--even though that, too, might 
be a reasonable step, since I cannot imagine a legitimate use of this 
gun.
  The bill will simply place stricter requirements on the way in which 
these guns can be sold, and to whom. The measure is meant to offer a 
reasoned solution to making it harder for terrorists, assassins, and 
other criminals to obtain these powerful weapons. If we are to continue 
to allow private citizens to own and use guns of this caliber, range, 
and destructive power, we should at the very least take greater care in 
making sure that these guns do not fall into the wrong hands.
  I urge my colleagues to support this bill.
                                 ______
                                 
      By Mr. GRASSLEY (for himself and Mr. Helms):
  S. 1775. A bill to amend section 490 of the Foreign Assistance Act to 
1961 to modify the matters taken into account in assessing the 
cooperation of foreign countries with the counter drug efforts of the 
United States, and for other purposes; to the Committee on Foreign 
Relations.
 Mr. GRASSLEY. Mr. President, I am introducing today for 
Senator Helms and myself legislation to help the Administration better 
understand the importance of representing the US national interest. I 
am sending to the desk a bill on additional considerations for 
assessment of cooperation of foreign countries with United States 
counter-drug efforts. The purpose of this bill is to help the 
Administration get its act together when it comes to the certification 
process on illegal drugs. Recent statements by the Drug Czar and other 
Administration officials on certification, along with their actions in 
regard to such countries as Syria and Iran, show that they may have 
misplaced US national interests when it comes to drug policy. I want to 
help them find it again.
  Over a decade ago, Congress passed measures in the Foreign Assistance 
Act that require US Administrations to certify whether other countries 
are taking serious steps to deal with major illegal drug production or 
trafficking in their territories. The view behind this legislation was 
to force an accounting, at least once a year, of what the US and other 
countries were doing to address a major foreign policy concern that, in 
the view of Congress, governments here and abroad would just as soon 
have ignored. Administrations do not like accounting for themselves. 
Not many foreign countries welcome it either. They would prefer that 
legislatures and the public give them the money and approval they want 
with no questions asked. It's less troubling than having to explain 
actions, account for shortfalls, or demonstrate that the money being 
provided is achieving anything. Congress, however, thinks differently. 
It should and it must, in my view.
  Today, the Clinton Administration, like its predecessors, is trying 
both to ignore certification as a genuine responsibility and to undo it 
where it can. It has made efforts to get Congress to scuttle the 
requirement. It has poor-mouthed the idea internationally while denying 
it has done so. It has resorted to lawerly gimmicks and low tricks to 
drop from certification some of the worst countries imaginable. And 
lately it has been trying to broaden, as it says, the evaluation and 
accountability process in the Western Hemisphere to make it fairer by 
participating with the Organization of American States in the creation 
of what is called the Multinational Evaluation Mechanism (MEM). This is 
a subterfuge for trying to get rid of the process by calling it 
something else. Given this Administration's poor performance on 
international drug control, I am not surprised at an effort to disguise 
shortcomings in some artful bureaucratic way. I am not surprised, but I 
am disappointed.
  As part of the effort to discredit certification, the Administration 
has resorted to distortions and misrepresentations about what it 
involves and has enlisted a set of arguments that, while sounding 
plausible, are really little more than the old magician's trick of 
``watch the birdie'' while hoping that you will not notice what he is 
really doing with his other hand. Well, we deserve better than sleight-
of-hand on an issue as important as this one. I thought it might be 
useful to provide an antidote to these shenanigans with a few home 
truths.
  There are many arguments advanced against certification, and I have 
addressed many of these in earlier statements on this floor, but the 
best one argues that while certification may once have been useful--
time unspecified--it has served its purpose and is counter-productive 
because it hampers

[[Page 26642]]

further cooperation with other countries that resent being subject to a 
unilateral, U.S. judgment of their performance. Mexico is often 
advanced as an example. This view is fine if you are working from the 
idea--which seems to be so much of the philosophy behind our present 
foreign policy--that we should be guided by everyone in the world's 
interests before our own or in spite of our own.
  Now, I have no doubt that other countries resent being evaluated. In 
my experience, they resent being evaluated by any individual country or 
collectively. This is not new, whether we are talking drugs or policies 
on intellectual properties or nuclear proliferation. And I am sure that 
this resentment over being judged can complicate negotiations. Both 
these points, however, are irrelevant to the circumstances under 
consideration. As a matter of our national interest, we are obliged to 
make judgments about the actions of other countries whether they like 
it or not. Let me try to make this point clearer in a different 
context.
  The United States is currently embroiled in a controversy with the 
European Union over rules governing the importation of bananas. I am 
not going to comment on the merits of the particulars of the case, 
apart from noting that the United States, the present Administration, 
has determined--has judged--that EU restrictions, quotas, and 
preferences on the importation of bananas are unfair and prejudicial. 
This, folks, is an evaluation. And it is one deeply resented in Europe, 
as an infringement of the rights of not just one country but of an 
association of many countries, which happen to be our major allies. 
Nevertheless, the Administration is prepared to pursue the case in the 
teeth of this resentment to force a change it wants. And in doing this 
it is prepared to invoke sanctions to achieve its goals.
  Similarly, the Administration is prepared to condemn a gaggle of 
other countries for permitting the pirating of various intellectual 
properties, such as books, videos, and copyrighted products. It is 
prepared to pursue sanctions to achieve a remedy. I can extend this 
list to judgments about states that support terrorism or are engaged in 
systematic human rights abuses. This Administration involved this 
country in a major military engagement--the ultimate sanction--to stop 
what it regarded as gross violations of human rights. I have no doubt 
that Slobodan Milosevic and his cronies deeply resented U.S. judgments 
about the fitness of his actions and even more objected to the steps we 
took to change his behavior. I do not detect that this resentment at 
being judged or the knowledge that there were objections to the actions 
then taken based on that judgment carried any weight in the decisions 
made by this Administration to bomb and strafe military and civilian 
targets in the former Yugoslavia.
  What these examples show is that even this Administration 
understands, when it wants to, that there are matters of such import 
requiring judgments about the actions of other countries and involving 
responses based on those judgments that resentment or objections by 
others do not signify when it comes to deciding what we should do to 
protect interests we regard as important. Now, certification only 
requires that we make the involvement of other countries in the 
production and transit of illegal drugs--which kill more Americans 
every year that all the terrorists have in the last ten years or more 
than Mr. Milosevic did at any time--a matter of judgment and possible 
action of a degree at least as important as bananas. I happen to 
believe that judgments about drugs coming to the U.S. are at least as 
much in our interest as judgments about bananas going to Europe.
  I am puzzled by the Administration's reluctance to apply meaningful 
standards of judgment to the actions of other countries when it comes 
to drug policy. I am further puzzled by its willingness to be so moved 
by the resentment of other countries when it comes to judgments about 
drug policies and programs. The requirements in the law are not written 
in some mysterious dialect nor apply unfamiliar concepts. The idea is 
not so alien to our experience or even to this Administration's own 
actions as to be beyond comprehension. Yet, the Administration seems to 
have its own sources of bemusement when it comes to taking this issue 
seriously.
  In essence, what the law requires is that the Administration 
determine first whether countries are major producing or transit areas 
for illegal drugs. You would not think this terribly difficult or 
controversial, or too intrusive on the feelings of others. It then asks 
for the Administration to determine whether these countries are acting 
in good faith to enforce their own domestic laws against these 
practices; are acting in conformity with any bilateral agreements with 
the United States to address these activities; or are doing what is 
reasonable and responsible to do in light of international law that 
governs the conduct of all countries on this issue. I am hard pressed 
to see how this infringes on the sovereignty of other countries or what 
in it is so outrageous as to occasion abandonment of the effort.
  The law then requires that if, in the judgment of the Administration, 
any given country is not acting in good faith, it may then be subject 
to sanctions. The law does not require that the efforts of another 
country be successful in order to be certified. It does not require 
that judgments be without consideration of other national interests. It 
does ask, on this very important question, that the Administration 
supply to Congress and the American people at least once a year its 
considered opinion of whether other countries where a truly pernicious 
practice is being engaged in that affects directly the lives of U.S. 
citizens each and every day are, as a matter of fact, doing all that is 
reasonable to stop this practice. It then requires that if these 
countries are receiving U.S. assistance--that is, money from U.S. 
taxpayers--that this money be cut off--unless it is humanitarian aid or 
this self-same counter-drug assistance.
  While I understand perfectly why an aid recipient might squawk, I do 
not know what act of imagination it requires to manufacture outrage on 
behalf of other countries threatened with losing this assistance 
because in our judgment they are doing less than their best to 
cooperate with us. But that outrage is trotted out as an argument 
against certification. That aside, the most onerous part of the 
certification decision, and what other countries truly object to, is 
what world opinion makes of a U.S. judgment that a particular country 
is not cooperating with U.S. and international efforts to stop drug 
production or trafficking. What the Administration would have us do is 
forgo this judgment lest it hurt the feels of other countries. And yet, 
it is this judgment or the threat of it that has, in fact, been the 
primary impetus to encourage the very cooperation that the 
Administration says we do not need the certification process to 
achieve.
  What the Administration would really like to do is to stop accounting 
to Congress and the public for its international drug policy. It knows 
that this is a non-starter. So it has proposed instead to bury this 
accountability in an elaborate ruse in cooperation with the OAS to 
neuter the process. In doing this, it has helped to devise through the 
OAS a list of over 80 evaluation items to help in developing a so-
called multinational evaluative mechanism. There are, of course, no 
teeth in the evaluation process, and each of the member states involved 
has an effective veto over any adverse judgments of their respective 
efforts. In this regard, I am reminded of the inhabitants of Garrison 
Keiller's Lake Wobegon, where all the children are above average. The 
details behind the evaluation are to be kept confidential, which is 
okay since no one has much faith in the ability of most of the 
countries party to the evaluation to actually collect and evaluate the 
information in the first place. The countries involved lack the 
necessary reporting mechanisms, the budgets to sustain them, or the 
staffs to ensure ongoing, consistent

[[Page 26643]]

information. This farrago is then supposed, gradually, to substitute 
for certification, somehow being fairer and more likely to ensure 
cooperation.
  Ironically, the premise underlying this process is the same as that 
informing certification, that is, that a judgment about performance 
does need to be made. The difference here is that somehow a 
multilateral judgment would be better, and it wouldn't be offensive 
since it would be collaborative. In my view, it won't be offensive 
because it won't be effective. You can make what you want to of a 
process that is supposed to involve judgments about the effectiveness 
of actions that are designed not to offend anyone being judged. But I 
am not reassured. And if this is the face of cooperation, then we are 
in for some rude shocks in our international relations.
  Having said this, I am prepared to help the Administration in its 
efforts. In order to give the Multinational Evaluation Mechanism some 
chance of effective implementation, I am, along with Senator Helms, 
today introducing legislation that would require that in future 
certification decisions the Administration incorporate the MEM as part 
of its deliberations in determining whether to certify other countries 
or not. Taking the Administration at its word that the mechanism is not 
an attempt to replace certification, but rather an effort to complement 
it, I offer this bill to enhance the process.
                                 ______
                                 
      By Mr. CRAIG (for himself, Mr. Hagel, Mr. Roberts, Mr. Enzi, and 
        Mr. Grams):
  S. 1776. A bill to amend the Energy Policy Act of 1992 to revise the 
energy policies of the United States in order to reduce greenhouse gas 
emissions, advance global climate science, promote technology 
development, and increase citizen awareness, and for other purposes; to 
the Committee on Energy and Natural Resources.


             the climate change energy policy response act

  S. 1777. A bill to amend the Internal Revenue Code of 1986 to provide 
incentives for the voluntary reduction of greenhouse gas emissions and 
to advance global climate science and technology development; to the 
Committee on Finance.


               the climate change tax amendments of 1999

  Mr. CRAIG. Mr. President, few issues present stakes as high for our 
country as global climate change. Worst case scenarios involving 
elevated temperatures and sea levels are disturbing to many people. On 
the other hand, capping energy use at levels lower than those in the 
growth-oriented nineties could chill our economy faster than it would 
cool down the climate.
  Responsible governance includes environmental stewardship. However, 
the ultimate obligation of any government official anywhere is to win 
freedom for the governed who do not now have it, and to protect freedom 
for those who are already free.
  By freedom, I mean the opportunity to achieve one's true potential, 
whether as an individual, a community, or a nation. And isn't it 
marvelous how freedom spawns discovery and innovation? And, in turn, 
how discovery and innovation solve problems and create opportunities?
  Mr. President, we need consensus on climate change. But there is no 
magic dust that we can sprinkle on ourselves to make us all embrace the 
same scientific and economic conclusions on this issue. Our only chance 
lies in good, hard work toward that end.
  Where should we begin? Knowledge leads to understanding, and 
understanding to consensus. Mr. President, at the moment we have some 
critical gaps in our knowledge of climate phenomena.
  We know not nearly enough about the Earth's capacity to assimilate 
carbon dioxide. We know not nearly enough about natural variability of 
the climate over years, much less over centuries and millennia. Our 
ability to measure and predict changes is not developed. Adequate 
measurement and modeling machinery is not even invented yet. Scientists 
at the National Research Council published a report in September, 1999, 
that confirm these observations. In the preface of that Report, they 
state:

       It would be a misinterpretation of U.S. administration 
     policy and agreements at the Kyoto conference to conclude 
     that the causes and characteristics of global change are 
     sufficiently clear that scientific inquiry in this area 
     should be limited to mitigation measures.

                           *   *   *   *   *

       A great deal more needs to be understood . . . about global 
     environmental change before we concentrate on ``mitigation'' 
     science. We do not understand the climate system well enough 
     to clarify the causes and likelihoods of rapid or abrupt 
     climate changes.

  Likewise, Mr. President, we need to understand the economic 
implications of the leading policy alternatives. One year ago the U.S. 
Department of Energy published a sobering analysis of potential 
economic impacts of implementing the Kyoto agreement. But shouldn't we 
hear from other agencies as well? What would the Department of Labor 
have to say? How about Agriculture and Transportation? Let's look 
before we leap.
  A third area we must explore is technology. What do we really know 
today about how energy will be produced in this country in 20 years? 
What do we know about how--and how much--it will be consumed? Can we 
develop policies to encourage real improvement in energy efficiency 
without trying to pick the market winners and losers?
  Mr. President, we are now living in the Information Renaissance. But 
many in government behave as though we are still in the Dark Ages. If 
some of us in Congress have difficulty gaining access to government-
controlled information in this area--and all too often we have--can you 
imagine the obstacles to private citizens?
  Let's get all the information--science, technology, economics--
together. Let's make it freely and widely available. All Americans have 
a right to know what their Government knows--and what their Government 
is doing--about climate change.
  Knowledge in the science, economics, and technology of climate change 
will yield to understanding. We should all be open to unexpected 
discovery, whether in pleasant surprises or confirmation of today's 
predictions.
  While we are waiting to close our knowledge gaps, why not go ahead 
with some steps that reduce greenhouse gas emissions while 
accomplishing other benefits along the way? Every minute wasted in 
traffic tie-ups is that much more carbon dioxide man releases into the 
atmosphere. If we apply technology to solving traffic problems and the 
greenhouse gas theory fizzles out, at least our efforts will have saved 
time for busy travelers and commuters.
  Let's find ways to encourage individual citizens, farms and small 
businesses, communities and States, to take some no-regrets action to 
lower greenhouse gas emissions. But let's not offer the false hope that 
their efforts will be rewarded in some kind of negotiable credits 
issued in an international currency of carbon caps or fuel rations.
  Mr. President, the two companion bills that several colleagues and I 
are introducing today set out to do all these things with regard to the 
global climate change issue. My legislation does not pretend to answer 
all the questions. Rather, it lays out a framework for reaching 
consensus that begins by developing knowledge; and from knowledge 
understanding; and from understanding consensus.
  Mr. President, let's get stared. I welcome my colleagues to join me 
as cosponsors.
  I ask unanimous consent that the text and a section-by-section 
analysis of each measure be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                S. 1776

       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 ``Climate 
     Change Energy Policy Response Act''.
       (b) Table of Contents.--The table of contents of this Act 
     follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.

[[Page 26644]]

                  TITLE I--ENERGY POLICY COORDINATION

Sec. 101. Responsibility of Department of Energy.

            TITLE II--ADVANCEMENT OF CLIMATE CHANGE SCIENCE

Sec. 201. Coordination, prioritization, and evaluation of climate 
              change science research.

          TITLE III--COMPREHENSIVE POLICY REVIEW AND ANALYSIS

Sec. 301. Domestic and international assessment of policies for 
              addressing the effects of greenhouse gas emissions.

                     TITLE IV--PUBLIC RIGHT TO KNOW

Sec. 401. Annual report to public.

 TITLE V--ACCELERATED DEVELOPMENT AND DEPLOYMENT OF RESPONSE TECHNOLOGY

Sec. 501. Review of federally funded energy technology research and 
              development.
Sec. 502. Study of regulatory barriers to rapid deployment of emission 
              reduction technology.

  TITLE VI--INTERNATIONAL DEPLOYMENT OF ENERGY TECHNOLOGY TO MITIGATE 
                             CLIMATE CHANGE

Sec. 601. International deployment of energy technology to mitigate 
              climate change.

   TITLE VII--OPTIMAL OPERATING EFFICIENCY OF TRANSPORTATION SYSTEMS

Sec. 701. Traffic congestion relief research.

                   TITLE VIII--VOLUNTARY INITIATIVES

Sec. 801. Improved and streamlined reporting and certification of 
              voluntary measures. 
Sec. 802. Public awareness campaign regarding benefits of certification 
              of voluntary emission reductions.
Sec. 803. State authority to encourage voluntary energy initiatives.

     SEC. 2. FINDINGS.

       Congress finds that--
       (1) to responsibly address climate change issues requires 
     examination of energy policies and practices;
       (2) global climate change issues have profound scientific, 
     technological, economic, and public policy facets that must 
     be addressed in a comprehensive, integrated fashion;
       (3) current scientific research, experimentation, and data 
     collection are not adequately focused on answering key 
     questions within the United States or internationally;
       (4)(A) the lack of a coordinated climate modeling strategy 
     in the United States is hampering progress in high-end 
     climate modeling activities;
       (B) the United States lacks the capabilities to perform the 
     requisite climate change modeling simulations and experiments 
     in order to be able to apply existing United States 
     intellectual expertise to important science and policy 
     questions related to climate change; and
       (C) those deficiencies, among others, limit the ability of 
     the United States to--
       (i) predict future climate characteristics and assess the 
     results of climate change;
       (ii) formulate policies that are consistent with national 
     objectives; and
       (iii) advance most effectively an understanding of the 
     underlying scientific issues pertaining to climate change and 
     variability;
       (5) there has been a lack of progress made by Federal 
     agencies responsible for climate observation systems, 
     individually and collectively, in developing and maintaining 
     a credible, integrated climate observing system, consequently 
     limiting the ability of the United States to document and 
     understand climate change adequately;
       (6)(A) developing and deploying technologies can speed the 
     transition to a lower level of greenhouse gas emissions in 
     the United States and throughout the world;
       (B) the pace of technological change in the marketplace is 
     difficult to predict accurately; while breakthroughs in such 
     developments are often incremental, capital turnover, 
     consumer acceptance, technological compatibility, economics, 
     and other factors can alter the pace of such change; and
       (C) such technologies need to be environmentally sound, 
     safe, cost-effective, and consumer-friendly;
       (7)(A) public access to scientific, economic, and public 
     policy information regarding climate change is severely 
     limited;
       (B) the public's right to know and to be fully informed of 
     all aspects of climate change is not being satisfied; and
       (C) open and balanced discussion leading to public support 
     for the best environmentally and economically sound 
     approaches to climate change policy resolution is urgently 
     needed;
       (8) sufficient scientific questions and public interest 
     exist to warrant tangible encouragement and acknowledgment of 
     responsible actions by private entities to reduce, avoid, or 
     offset greenhouse gas emissions, even though many scientific, 
     technological, economic, and public policy questions have not 
     yet been resolved;
       (9) voluntary measures should be encouraged through 
     incentives rather than in anticipation of future domestic or 
     international regulatory mandates; and
       (10) greenhouse gas emission improvements can be achieved 
     through voluntary measures even as we answer yet unresolved 
     key questions about global and regional climates.

     SEC. 3. DEFINITIONS.

       (a) In General.--Title XVI of the Energy Policy Act of 1992 
     is amended by inserting before section 1601 (42 U.S.C. 13381) 
     the following:

     ``SEC. 1600. DEFINITIONS.

       ``In this title:
       ``(1) Administrator.--The term `Administrator' means the 
     Administrator of the Energy Information Administration.
       ``(2) Emission reduction.--The term `emission reduction' 
     includes--
       ``(A) avoidance of the emission of a greenhouse gas;
       ``(B) a limitation on the emission of a greenhouse gas;
       ``(C) sequestration of carbon; and
       ``(D) mitigation for the emission of a greenhouse gas.
       ``(3) Energy technology.--The term `energy technology' 
     means--
       ``(A) a technology to relating to--
       ``(i) the generation or production (including exploration 
     and discovery) of an energy source; or
       ``(ii) the transmission, distribution, conservation, or use 
     of energy that could reduce greenhouse gas emissions; and
       ``(B) a technology relating to carbon sequestration, 
     including carbon sequestration through crops, soils, forests, 
     oceans, and wetlands.
       ``(4) Greenhouse gas.--The term `greenhouse gas' means a 
     gaseous constituent of the atmosphere, natural or 
     anthropogenic, that absorbs and re-emits infrared 
     radiation.''.
       (b) Technical Amendment.--The table of contents of the 
     Energy Policy Act of 1992 (106 Stat. 2776) is amended by 
     inserting before the item relating to section 1601 the 
     following:

``Sec. 1600. Definitions.''.

                  TITLE I--ENERGY POLICY COORDINATION

     SEC. 101. RESPONSIBILITY OF DEPARTMENT OF ENERGY.

       (a) In General.--Section 1603 of the Energy Policy Act of 
     1992 (42 U.S.C. 13383) is amended--
       (1) by inserting striking ``Within 6 months'' and inserting 
     the following:
       ``(a) In General.--Within 6 months''; and
       (2) by adding at the end the following:
       ``(b) Role of Secretary.--The Secretary, consistent with 
     other Federal law, shall--
       ``(1) coordinate all energy-related activities involving 
     climate change issues, including scientific research, energy 
     technology and development, and evaluation of effects and 
     implications on energy use, sources, and related activities 
     of various global climate change policies described in this 
     title;
       ``(2) select policies to be assessed under this section and 
     conduct the assessments; and
       ``(3) ensure that--
       ``(A) the collection and dissemination of all information 
     developed and disseminated (including data and modeling 
     results) relating to climate change issues described in this 
     title is timely, balanced, accurate, and sound; and
       ``(B) the information described in subparagraph (A) is made 
     available to the public.
       ``(c) Staff.--
       ``(1) Staff director.--The Secretary of Energy shall 
     designate an appropriate officer of the Department of Energy 
     to function as staff director for the Secretary for functions 
     assigned to the Secretary under this title.
       ``(2) Staff support.--
       ``(A) In general.--The Secretary of Energy may request from 
     the Secretary of Agriculture, Secretary of Commerce, 
     Secretary of State, and Secretary of Transportation such 
     additional staff support as the Secretary may require to 
     carry out functions under this title.
       ``(B) Personnel on detail.--Staff provided under 
     subparagraph (A) shall serve on detail to the Secretary with 
     the approval of the respective agency heads.
       ``(C) No staffing increase.--This subsection and the other 
     amendments made to this title by the Climate Change Energy 
     Policy Response Act shall not serve to authorize an increase 
     in staffing authority for the Secretary or any such agency 
     head.
       ``(e) Consultation With NAS, NAE, NRC, and EPA.--The 
     Secretary shall consult, as appropriate, with--
       ``(1) the National Academy of Sciences and National Academy 
     of Engineering;
       ``(2) the National Research Council; and
       ``(3) the Environmental Protection Agency.''.
       (b) Technical Amendments.--
       (1) The section heading for section 1603 of the Energy 
     Policy Act of 1992 is amended by striking ``DIRECTOR OF'' and 
     inserting ``COORDINATION OF''.
       (2) The item in the table of contents for the Energy Policy 
     Act of 1992 (42 U.S.C. 13381 et seq.) is amended by striking 
     ``Director of'' and inserting ``Coordination of''.

            TITLE II--ADVANCEMENT OF CLIMATE CHANGE SCIENCE

     SEC. 201. COORDINATION, PRIORITIZATION, AND EVALUATION OF 
                   CLIMATE CHANGE SCIENCE RESEARCH.

       (a) In General.--Title XVI of the Energy Policy Act of 1992 
     (42 U.S.C. 13381 et seq.) is

[[Page 26645]]

     amended by striking section 1604 and inserting the following:

     ``SEC. 1604. COORDINATION, PRIORITIZATION, AND EVALUATION OF 
                   CLIMATE CHANGE SCIENCE RESEARCH.

       ``(a) In General.--The Secretary, with the advice and 
     assistance of the National Academy of Sciences and the 
     National Academy of Engineering, shall coordinate, 
     prioritize, and evaluate the Federally funded research 
     conducted by or through Federal agencies that, in whole or in 
     part, involves climate change science.
       ``(b) Recommendations To Carry Out Research.--The Secretary 
     shall annually request from the National Research Council 
     recommendations of measures to effectively carry out all 
     scientific research performed under this title, including 
     strengthening of peer review processes and grantmaking 
     procedures.
       ``(c) Plan for Coordination.--
       ``(1) In general.--Not later than 180 days after the date 
     of enactment of the Climate Change Energy Policy Response 
     Act, the Secretary shall submit to Congress recommendations 
     for legislative and administrative measures to effectively 
     carry out research and public information programs under this 
     title.
       ``(2) Subjects.--Recommendations under paragraph (1) shall 
     include recommendations to improve peer review processes and 
     grantmaking procedures.
       ``(d) Objectives of Federal Climate Change Science 
     Research.--
       ``(1) In general.--All climate change science research 
     performed under this title--
       ``(A) in the aggregate, shall adequately address the 
     objectives stated in paragraph (2); and
       ``(B) individually, shall, to the extent practicable, 
     incorporate a focus on those objectives, as appropriate.
       ``(2) Objectives.--The objectives referred to in paragraph 
     (1) are the objectives of--
       ``(A) understanding the Earth's capacity to assimilate 
     natural and manmade greenhouse gas emissions;
       ``(B) evaluating the natural variability of the climate, 
     including such phenomena as El Nino;
       ``(C)(i) developing, and assessing the capabilities of, 
     climate models; and
       ``(ii) facilitating future climate assessments and our 
     understanding and predictions of climate through formulation 
     of a national statement of goals and objectives, followed by 
     appropriate development of a national climate modeling 
     strategy that--
       ``(I) includes the provision of adequate computational 
     resources to enhance supercomputing capabilities and the 
     provision of adequate human resources; and
       ``(II) is integrated and coordinated across the relevant 
     agencies;
       ``(D) ensuring the integrity of all observational data used 
     to validate models;
       ``(E) stabilizing the existing climate observational 
     capability;
       ``(F) identifying critical climate variables that are 
     inadequately measured or not measured at all;
       ``(G) building climate observing requirements into 
     existing, ongoing operational programs;
       ``(H) revamping climate research programs and appropriate 
     climate-critical parts of operational observing programs so 
     as to produce truly useful long-term climate data;
       ``(I) establishing a funded activity for the development, 
     implementation, and operation of climate-specific 
     observational programs;
       ``(J) assessing the capability and potential of the United 
     States and North American carbon sequestration, including 
     carbon sequestration through crops, forests, soils, oceans, 
     and wetlands; and
       ``(K) developing and deploying the technology to monitor 
     all relevant national and global data.
       ``(e) Reports.--
       ``(1) In general.--Not later than October 1 of each year, 
     the Secretary shall submit to Congress and the President a 
     report on the activities carried out under this section.
       ``(2) Contents.--The report under paragraph (1) shall 
     contain any scientific conclusions, interim status reports, 
     and recommendations for subsequent research and testing that 
     the Secretary considers appropriate.
       ``(3) Draft report.--A report under paragraph (1) shall be 
     made available in draft form not later than August 1 of each 
     year to appropriate nongovernmental organizations with 
     applicable scientific expertise for review before final 
     publication.
       ``(4) Public availability.--Each report under paragraph (1) 
     shall be made public, including through the National Resource 
     Center on Climate Change established under section 1612.
       ``(f) Authorization of Appropriations for Certain Climate 
     Change Research.--For each of fiscal years 2001 through 2004, 
     there are authorized to be appropriated to the Secretary such 
     sums as are necessary for--
       ``(1) research to assess the ability of natural carbon 
     sinks to adjust to natural variations in climate and 
     greenhouse gas emissions including crops, grassland, forests, 
     soils, and oceans;
       ``(2) research on natural climate variability;
       ``(3) research to develop and assess the capabilities of 
     climate models;
       ``(4) research to ensure the integrity of data used to 
     validate climate models;
       ``(5) research to develop carbon sinks in the United 
     States, primarily crop and forestry research; and
       ``(6) research to develop and deploy monitoring 
     technology.''.
       (b) Technical Amendment.--The table of contents of the 
     Energy Policy Act of 1992 (106 Stat. 2776) is amended by 
     striking the item relating to section 1604 and inserting the 
     following:

``Sec. 1604. Coordination, prioritization, and evaluation of climate 
              change science research.''.

          TITLE III--COMPREHENSIVE POLICY REVIEW AND ANALYSIS

     SEC. 301. DOMESTIC AND INTERNATIONAL ASSESSMENT OF POLICIES 
                   FOR ADDRESSING THE EFFECTS OF GREENHOUSE GAS 
                   EMISSIONS.

       (a) In General.--Title XVI of the Energy Policy Act of 1992 
     (42 U.S.C. 13381 et seq.) is amended by inserting after 
     section 1604 the following:

     ``SEC. 1604A. ASSESSMENT OF ALTERNATIVE ENERGY-RELATED 
                   POLICIES FOR ADDRESSING GREENHOUSE GAS 
                   EMISSIONS.

       ``(a) Evaluation and Comprehensive Report.--
       ``(1) Definition of economic indicator.--In this 
     subsection, the term `economic indicator' means--
       ``(A) the rate of inflation;
       ``(B) the rate of change in the gross domestic product;
       ``(C) the unemployment rate;
       ``(D) interest rates; and
       ``(E) the price and supply availability of fossil fuels (by 
     category and source).
       ``(2) Reports by secretary.--
       ``(A) In general.--Not later than 2 years after the date of 
     enactment of the Climate Change Energy Policy Response Act 
     and biannually thereafter, the Secretary, after consultation 
     with each department referred to in paragraphs (3) through 
     (10) and the United States Trade Representative, shall submit 
     to Congress and to the President a report containing a 
     critical analysis and assessment of energy-related policies 
     for responding to potential global climate change (including 
     a comparative assessment of the policies).
       ``(B) Designated policies.--The Secretary shall select at 
     least 3 energy-related policies for assessment under 
     subparagraph (A).
       ``(C) Short-term and long-term assessments.--The 
     assessments shall be for the short term (within 5 years 
     following the date of the report) and the long term (within 
     50 years following the date of the report).
       ``(3) Energy supply and demand.--
       ``(A) In general.--The Secretary shall analyze and assess 
     the energy supply, demand, and price implications for each 
     energy-related policy referred to in paragraph (2)(A).
       ``(B) Accounting for various scenarios.--Each assessment 
     described in subparagraph (A) shall address any energy 
     implications under various scenarios, including changes in 
     economic indicators.
       ``(C) Initial draft.--The Energy Information Administration 
     shall--
       ``(i) prepare the initial draft of each report required 
     under this paragraph; and
       ``(ii) make a copy of the initial draft available to the 
     public.
       ``(4) Agriculture.--
       ``(A) In general.--After opportunity for consultation with 
     the Department of Agriculture, each report by the Secretary 
     shall analyze and assess the agricultural production cost and 
     market implications of each energy-related policy referred to 
     in paragraph (2)(A), including the overall impact of the 
     policy on rural economies.
       ``(B) Accounting for various scenarios.--Each assessment 
     described in subparagraph (A) shall address any agricultural 
     implications under various scenarios, changes in economic 
     indicators, and in livestock and commodity prices.
       ``(5) Health.--
       ``(A) In general.--After opportunity for consultation with 
     the Department of Health and Human Services, each report by 
     the Secretary shall analyze and assess the health 
     implications of each energy-related policy referred to in 
     paragraph (2)(A).
       ``(B) Accounting for various scenarios.--Each assessment 
     described in subparagraph (A) shall address any health 
     implications under various scenarios, including changes in 
     economic indicators.
       ``(6) Labor.--
       ``(A) In general.--After opportunity for consultation with 
     the Department of Labor, each report by the Secretary shall 
     analyze and assess the implications of each policy referred 
     to in paragraph (2)(A) on--
       ``(i) workers, including wages, job opportunities, and the 
     comparative attractiveness, if any, of locating operations of 
     United States companies abroad; and
       ``(ii) consumers, in terms of projected impacts, if any, on 
     the Consumer Price Index.
       ``(B) Accounting for various scenarios.--Each assessment 
     described in subparagraph (A) shall account for implications 
     under various scenarios, including changes in economic 
     indicators.
       ``(7) Transportation.--
       ``(A) In general.--After opportunity for consultation with 
     the Department of Transportation, each report by the 
     Secretary shall

[[Page 26646]]

     analyze and assess the impacts, if any, of each policy 
     described in paragraph (2)(A) on all modes of transportation, 
     and the resulting economic effects of such cost changes on 
     consumers, labor, agricultural enterprises, and businesses 
     (including specifically domestic consumers and businesses 
     that are dependent on transportation).
       ``(B) Accounting for various scenarios.--Each assessment 
     described in subparagraph (A) shall address any 
     transportation implications under various scenarios, 
     including, in the case of motor vehicles, technological 
     changes in vehicle design and traffic constraint mitigation.
       ``(C) Considerations.--Each assessment described in 
     subparagraph (A) shall consider such factors as--
       ``(i) vehicle miles traveled;
       ``(ii) the availability of adequate and reliable public 
     transportation within and between cities, States, and 
     regions;
       ``(iii) the commercial use of trucks and other highway 
     motor vehicles for transporting goods and passengers and 
     delivering services;
       ``(iv) the geographic size and population of the United 
     States relative to those of other developed countries;
       ``(v) safety;
       ``(vi) environmental laws;
       ``(vii) fuel prices;
       ``(viii) energy conservation; and
       ``(ix) changes in economic indicators.
       ``(8) Housing and urban planning.--
       ``(A) In general.--After opportunity for consultation with 
     the Department of Housing and Urban Development, each report 
     by the Secretary shall analyze and assess the implications of 
     each policy described in paragraph (2)(A) on housing costs 
     and urban planning.
       ``(B) Accounting for various scenarios.--Each assessment 
     described in subparagraph (A) shall address any housing and 
     urban planning implications under various scenarios, 
     including variations in mortgage and construction interest 
     rates and changes in economic indicators.
       ``(9) International commerce.--
       ``(A) In general.--After opportunity for consultation with 
     the Secretary of Commerce and the United States Trade 
     Representative, each report by the Secretary shall analyze 
     and assess the implications of each policy described in 
     paragraph (2)(A) on United States exports and imports and 
     trade competitiveness.
       ``(B) Accounting for various scenarios.--Each assessment 
     described in subparagraph (A) shall address any international 
     commerce implications under different scenarios, including 
     changes in economic indicators.
       ``(10) Actions by other nations.--
       ``(A) In general.--Each report by the Secretary shall 
     analyze and assess the actions taken, or likely to be taken, 
     and the net aggregate effect of such actions, by each United 
     Nations member country to avoid, reduce, or adapt to 
     potential global climate change.
       ``(B) Consultation.--Each report shall be prepared in 
     accordance with otherwise applicable laws (including 
     regulations) after opportunity for consultation with the 
     Central Intelligence Agency, the National Security Agency, 
     and the Department of State.
       ``(C) Analysis of political and economic factors.--
       ``(i) In general.--Each assessment described in 
     subparagraph (A) shall analyze the political and economic 
     factors present in each country that form the basis for the 
     assessment.
       ``(ii) Matters to be addressed.--Each assessment shall 
     specifically address--

       ``(I) the status of the commitment of each country to any 
     international agreements, treaties, or protocols related to 
     potential global climate change; and
       ``(II) the projected ability of each country to commit to, 
     and the likelihood of each country's committing to, specific 
     quantifiable targets to reduce, within specified timeframes, 
     greenhouse gas emissions under a legally binding 
     international agreement.

       ``(11) Reporting flexibility.--For biannual reports under 
     this subsection, the Secretary may--
       ``(A) submit individual reports with respect to each 
     paragraph under this subsection; or
       ``(B) submit a combination of 1 or more biannual reports, 
     but only if submitting a combination of reports would 
     facilitate public understanding in a timely manner.
       ``(b) Comprehensive Policy Reports.--
       ``(1) In general.--Not later than 30 months after the date 
     of enactment of the Climate Change Energy Policy Response 
     Act, and biannually thereafter, the President, with the 
     advice and assistance of the Secretary, shall submit to 
     Congress a report analyzing and integrating the combined 
     findings of the reports required under subsection (a).
       ``(2) Contents.--Each report under paragraph (1) shall 
     include recommendations of any changes in law, international 
     agreements, or public policy that the President considers to 
     be in the best interests of the United States.
       ``(c) National Academy of Sciences; National Academy of 
     Engineering.--
       ``(1) In general.--Not later than 30 days after the date of 
     enactment of the Climate Change Energy Policy Response Act, 
     the Secretary shall request that, not later than 2 years 
     after the date of enactment of that Act and biannually 
     thereafter, the National Academy of Sciences and the National 
     Academy of Engineering (acting through the National Research 
     Council) submit to Congress and to the Secretary (for 
     inclusion in the review and report under subsection (c)) a 
     report containing a comparative assessment of each policy 
     assessed under subsection (b), including the known scientific 
     effect of each mechanism on global climate change and the 
     effect of each mechanism on the technology development and 
     selection.
       ``(2) Short-term and long-term assessments.--An assessment 
     under paragraph (1) shall be for the short term (the 
     following 5-year period) and for the long term (the following 
     50-year period).
       ``(d) Report on Actions Under EPA Jurisdiction.--
       ``(1) In general.--Not later than 2 years after the date of 
     enactment of the Climate Change Energy Policy Response Act, 
     and biannually thereafter, based on consultations with the 
     Administrator of the Environmental Protection Agency, the 
     Secretary shall submit to Congress and the President a report 
     describing the energy supply and demand implications of all 
     activities carried out by the Agency that have a coincidental 
     effect on actions by the private sector that affect 
     greenhouse gas emissions.
       ``(2) Public Consultation.--In preparing a report under 
     paragraph (1), the Secretary shall consult with--
       ``(A) persons in the private sector that are regulated by 
     the Administrator; and
       ``(B) persons in the public sector.
       ``(e) Suspension of Reports.--After a second report is made 
     under this section, the Secretary may suspend any reporting 
     requirement under subsection (a) for a period of not more 
     than 4 years if the Secretary determines that additional 
     responses to that requirement would not be likely to provide 
     information that substantially supplements the earlier 
     reports.''.
       (b) Technical Amendment.--The table of contents of the 
     Energy Policy Act of 1992 (106 Stat. 2776) is amended by 
     inserting after the item relating to section 1604 the 
     following:

``Sec. 1604A. Assessment of alternative policies for addressing 
              greenhouse gas emissions.''.

                     TITLE IV--PUBLIC RIGHT TO KNOW

     SEC. 401. ANNUAL REPORT TO PUBLIC.

       (a) In General.--Title XVI of the Energy Policy Act of 1992 
     (42 U.S.C. 13381 et seq.) is amended by adding at the end the 
     following:

     ``SEC. 1610. ANNUAL REPORT TO PUBLIC.

       ``(a) Report.--The Secretary, at the time the President 
     submits to Congress the budget of the United States 
     Government under section 1105 of title 31, United States 
     Code, shall publish a detailed report that includes, to the 
     maximum extent practicable--
       ``(1) a description of all current fiscal year and prior 
     fiscal year Federal spending on climate change, categorized 
     by research, regulation, education, and other activities;
       ``(2) an estimate of the prior year and current amount of 
     any Federal tax credits or other Federal tax deductions 
     claimed by taxpayers directly attributable to emission 
     reduction activities;
       ``(3) a compendium of all proposed Federal spending related 
     to climate change categorized by research, regulation, 
     education, and other activities;
       ``(4) tables detailing all spending recommendations on 
     climate change submitted by Federal agencies to the Office of 
     Management and Budget, compared with the final 
     recommendations of the President;
       ``(5) an alphabetical index of all climate change grantees, 
     cross-referenced by name of institution and persons carrying 
     out the grant project;
       ``(6) an index of all climate change grant proposals not 
     funded by Federal agencies; and
       ``(7) a list of all persons, and their institutional 
     affiliations, participating in peer review of climate change 
     grant proposals submitted to Federal agencies.
       ``(b) Availability of Reports.--A report under subsection 
     (a) shall be--
       ``(1) printed on recycled paper;
       ``(2) made available to the public; and
       ``(3) posted on the Internet.

     ``SEC. 1611. PUBLIC COMMENT.

       ``In the case of any report under this title that is to be 
     published, the Secretary shall--
       ``(1) provide to the public notice and opportunity to 
     comment on the contents or quality of the report before it is 
     published; and
       ``(2) receive, catalogue, and make readily available to the 
     public all written public comments on reports covered by this 
     section, except that lengthy compilations of public comments 
     may be published in electronic format only.

     ``SEC. 1612. NATIONAL RESOURCE CENTER ON CLIMATE CHANGE.

       ``(a) In General.--The Secretary, in consultation with the 
     National Academy of Sciences, shall maintain a National 
     Resource Center on Climate Change (referred to in this 
     section as the `Center').
       ``(b) Functions.--
       ``(1) In general.--The Center shall preserve and make 
     available to the public all reports, studies, or other 
     information relating to climate change provided for in this 
     title, provided for in the Climate Change Energy

[[Page 26647]]

     Policy Response Act, or otherwise available to the Federal 
     Government.
       ``(2) Reference items.--Except as otherwise provided in 
     this title, reference items may be made available in 
     electronic format only.
       ``(c) Relationship to Other Law.--Nothing in this section 
     alters or amends otherwise applicable law restricting public 
     access to information, including laws protecting national 
     defense secrets, intellectual property rights, and privacy 
     rights.''.
       (b) Technical Amendment.--The table of contents of the 
     Energy Policy Act of 1992 (106 Stat. 2776) is amended by 
     inserting after the item relating to section 1609 the 
     following:

``Sec. 1610. Annual report to public.
``Sec. 1611. Public comment.
``Sec. 1612. National Resource Center on Climate Change.''.

 TITLE V--ACCELERATED DEVELOPMENT AND DEPLOYMENT OF RESPONSE TECHNOLOGY

     SEC. 501. REVIEW OF FEDERALLY FUNDED ENERGY TECHNOLOGY 
                   RESEARCH AND DEVELOPMENT.

       (a) In General.--Title XVI of the Energy Policy Act of 1992 
     (42 U.S.C. 13381 et seq.) (as amended by section 401(a)) is 
     amended by adding at the end the following:

     ``SEC. 1613. REVIEW OF FEDERALLY FUNDED ENERGY TECHNOLOGY 
                   RESEARCH AND DEVELOPMENT.

       ``(a) Department of Energy Review of Federally Funded 
     Energy Technology Research and Development.--
       ``(1) In general.--The Secretary shall--
       ``(A) review annually any federally funded research and 
     development activities carried out on energy technology; and
       ``(B) issue a public report by October 15 of each year on 
     the results of the review for consideration and use in the 
     preparation of the budget of the United States Government 
     submitted under section 1105 of title 31, United States Code, 
     for the following fiscal year.
       ``(2) Assessment of technology readiness.--As part of the 
     review of an energy technology, the Secretary shall--
       ``(A) assess the status (including the potential 
     commercialization) of the technology and any barriers to the 
     deployment of the energy technology; and
       ``(B) consider--
       ``(i) the length of time it will take for deployment and 
     use of the energy technology so as to have a meaningful 
     impact on emission reductions;
       ``(ii) the cost of deploying the energy technology;
       ``(iii) the safety of the energy technology; and
       ``(iv) other relevant factors.
       ``(b) Energy Technology Research and Development 
     Clearinghouse.--
       ``(1) In general.--The Secretary shall establish, in the 
     National Resource Center on Climate Change established under 
     section 1614 or by such other means as the Secretary 
     considers appropriate, an information clearinghouse to 
     facilitate the transfer and dissemination of the results of 
     federally funded research and development activities being 
     carried out on energy technology.
       ``(2) No effect on restrictions or safeguards.--Paragraph 
     (1) has no effect on any restrictions or safeguards 
     established for national security or the protection of 
     personal property rights (including trade secrets and 
     confidential business information).
       ``(c) Authorization of Appropriations for Joint Federal/
     Private Demonstration Programs.--There are authorized to be 
     appropriated to the Secretary for each of fiscal years 2001 
     through 2004 such sums as are necessary for programs for the 
     demonstration of innovative energy sequestration technologies 
     described in section 1600(3)(B) to be conducted jointly by 
     the Federal Government and private nonprofit or for-profit 
     entities.''.
       (b) Technical Amendment.--The table of contents of the 
     Energy Policy Act of 1992 (106 Stat. 2776) (as amended by 
     section 401(b)) is amended by inserting after the item 
     relating to section 1612 the following:

``Sec. 1613. Review of federally funded energy technology research and 
              development.''.

     SEC. 502. STUDY OF REGULATORY BARRIERS TO RAPID DEPLOYMENT OF 
                   EMISSION REDUCTION TECHNOLOGY.

       Not later than 270 days after the date of enactment of this 
     Act, the Comptroller General of the United States (in 
     consultation with the Secretary of Commerce and the United 
     States Trade Representative) shall--
       (1) identify and evaluate regulatory barriers to the more 
     rapid deployment of technology domestically and 
     internationally for greenhouse gas emission reductions 
     (within the meaning of section 1600 of the Energy Policy Act 
     of 1992, as added by section 3);
       (2) recommend to Congress changes in law that would permit 
     more rapid deployment of such technologies; and
       (3) make such other recommendations as the Comptroller 
     General of the United States considers to be appropriate.

  TITLE VI--INTERNATIONAL DEPLOYMENT OF ENERGY TECHNOLOGY TO MITIGATE 
                             CLIMATE CHANGE

     SEC. 601. INTERNATIONAL DEPLOYMENT OF ENERGY TECHNOLOGY TO 
                   MITIGATE CLIMATE CHANGE.

       Section 1608 of the Energy Policy Act of 1992 (42 U.S.C. 
     13386) is amended by striking subsection (l) and inserting 
     the following:
       ``(l) International Deployment of Energy Technology To 
     Mitigate Climate Change.--
       ``(1) Definitions.--In this subsection:
       ``(A) Energy efficiency.--The term `energy efficiency' 
     means the ratio of the design average annual energy output of 
     a unit of an energy production facility (determined without 
     regard to any cogeneration of steam) to the design average 
     annual heat input of the unit (based on the highest heating 
     value of the fuel used by the unit).
       ``(B) International energy deployment project.--The term 
     `international energy deployment project' means a project to 
     construct a unit of an energy production facility outside the 
     United States--
       ``(i) the output of which will be consumed outside the 
     United States; and
       ``(ii) the deployment of which will result in greenhouse 
     gas reduction when compared to the technology that would 
     otherwise be implemented through an increase in energy 
     efficiency of--

       ``(I) 5 percentage points or more, in the case of a unit 
     placed in service before January 1, 2010;
       ``(II) 7 percentage points or more, in the case of a unit 
     placed in service after December 31, 2009, and before January 
     1, 2020; or
       ``(III) 10 percentage points or more, in the case of a unit 
     placed in service after December 31, 2019, and before January 
     1, 2030.

       ``(C) Qualifying international energy deployment project.--
     The term `qualifying international energy deployment project' 
     means an international energy deployment that--
       ``(i) is submitted by a United States firm to the Secretary 
     in accordance with procedures established by the Secretary by 
     regulation;
       ``(ii) uses technology that has been successfully developed 
     or deployed in the United States;
       ``(iii) meets the criteria of subsection (k);
       ``(iv) is approved by the Secretary, with notice of the 
     approval being published in the Federal Register; and
       ``(v) complies with such terms and conditions as the 
     Secretary establishes by regulation.
       ``(D) United states.--The term `United States', when used 
     in a geographical sense, means the 50 States, the District of 
     Columbia, and territories and possessions of the United 
     States.
       ``(2) Pilot program for financial assistance.--
       ``(A) In general.--Not later than 180 days after the date 
     of enactment of the Climate Change Energy Policy Response 
     Act, the Secretary shall by regulation provide for a pilot 
     program for financial assistance for qualifying international 
     energy deployment projects.
       ``(B) Limitation.--The pilot program shall provide 
     financial assistance, subject to the availability of 
     appropriations, for not more than 6 qualifying international 
     energy deployment projects.
       ``(C) Selection criteria.--After consultation with the 
     Secretary of State, the Secretary of Commerce, and the United 
     States Trade Representative, the Secretary shall select 
     projects for participation in the program based solely on the 
     criteria under this title and without regard to the country 
     in which the project is located.
       ``(D) Financial assistance.--
       ``(i) In general.--A United States firm that undertakes a 
     qualifying international energy deployment project selected 
     to participate in the pilot program shall be eligible to 
     receive a loan or a loan guarantee from the Secretary.
       ``(ii) Timing.--The Secretary may enter into a commitment 
     to make a loan or loan guarantee before the United States 
     firm decides on a binding contract for the construction of a 
     qualifying international energy deployment project.
       ``(iii) Rate of interest.--The rate of interest of any loan 
     made under clause (i) shall be equal to the rate for Treasury 
     obligations then issued for periods of comparable maturities.
       ``(iv) Amount.--The amount of a loan or loan guarantee 
     under clause (i) shall not exceed 75 percent of the total 
     cost of the qualified international energy deployment 
     project.
       ``(E) Coordination with other programs.--A qualifying 
     international energy deployment project funded under this 
     section shall not be eligible as a qualifying clean coal 
     technology under section 415 of the Clean Air Act (42 U.S.C. 
     7651n).
       ``(F) Report.--Not later than 4 years after the date of 
     enactment of the Climate Change Energy Policy Response Act, 
     the Secretary shall submit to the President a report on the 
     results of the pilot projects.
       ``(G) Recommendation.--Not later than 60 days after 
     receiving the report under subparagraph (F), the President 
     shall submit to Congress a recommendation, based on the 
     results of the pilot projects as reported by the Secretary of 
     Energy, concerning whether the financial assistance program 
     under this section should be continued, expanded, reduced, or 
     eliminated.
       ``(H) Authorization of appropriations.--There are 
     authorized to be appropriated to

[[Page 26648]]

     carry out this subsection such sums as are necessary for 
     fiscal years 2001 through 2004.''.

   TITLE VII--OPTIMAL OPERATING EFFICIENCY OF TRANSPORTATION SYSTEMS

     SEC. 701. TRAFFIC CONGESTION RELIEF RESEARCH.

       Section 502 of title 23, United States Code, is amended by 
     adding at the end the following:
       ``(h) Traffic Congestion Relief Research.--
       ``(1) Studies.--
       ``(A) Regional approaches for reducing traffic 
     congestion.--
       ``(i) In general.--The Secretary shall enter into an 
     arrangement with the National Academy of Sciences to conduct 
     a study, and prepare a report comparing, the effectiveness of 
     various regional approaches for reducing traffic congestion.
       ``(ii) Required assessments.--At a minimum, the study shall 
     assess the impact on traffic congestion of--

       ``(I) expansion of highway capacity;
       ``(II) improvement of traffic operations (including 
     improved incident management associated with traffic 
     accidents and vehicle breakdowns); and
       ``(III) programs for demand management.

       ``(B) Highway design concepts.--
       ``(i) In general.--The Secretary shall fund a study 
     analyzing, and preparation of a report concerning, highway 
     design concepts for projects to relieve congestion in urban 
     areas without acquisition of additional rights-of-way.
       ``(ii) Entity to carry out study.--The study may be carried 
     out and the report prepared--

       ``(I) by the Department of Transportation;
       ``(II) by another entity, through an arrangement with the 
     Secretary; or
       ``(III) by a combination of the entities described in 
     subclauses (I) and (II).

       ``(2) Federal share.--The Federal share of the cost of the 
     studies required under paragraph (1) shall be 100 percent.
       ``(3) Funding.--
       ``(A) In general.--Notwithstanding any other provision of 
     law, for each of fiscal years 2000 through 2002, $1,000,000 
     of the sum deducted by the Secretary under section 104(a) 
     shall be made available to carry out the studies required 
     under paragraph (1).
       ``(B) Allocation of funds.--Funds made available under 
     subparagraph (A) shall be allocated among the 2 studies at 
     the discretion of the Secretary, except that each study shall 
     be allocated funds sufficient to allow for completion of the 
     study.''.

                   TITLE VIII--VOLUNTARY INITIATIVES

     SEC. 801. IMPROVED AND STREAMLINED REPORTING AND 
                   CERTIFICATION OF VOLUNTARY MEASURES.

       (a) Revised Guidelines Under Energy Policy Act of 1992.--
     Section 1605(b) of the Energy Policy Act of 1992 (42 U.S.C. 
     13385(b)) is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following:
       ``(2) Revised guidelines.--
       ``(A) In general.--Not later than 1 year after the date of 
     enactment of the Climate Change Energy Policy Response Act, 
     the Secretary shall revise the guidelines, after notice and 
     opportunity for public comment, to reflect the amendments to 
     this title made by that Act. Thereafter, the Secretary shall 
     review and revise the guidelines every 5 years, after notice 
     and opportunity for public comment.
       ``(B) Contents.--The revised guidelines shall--
       ``(i) provide for a random or other verification process 
     using the authorities available to the Secretary under other 
     provisions of law;
       ``(ii) include a range of reference cases for reporting 
     project-based activities in all appropriate sectors of the 
     economy (including forestry and electric power generation); 
     and
       ``(iii) address the issues, such as comparability, that are 
     associated with permitting the option of reporting on an 
     entity basis or on an activity or project basis.
       ``(C) Retention of voluntary reporting.--Any review under 
     this paragraph shall give appropriate weight to--
       ``(i) the purpose of encouraging voluntary emission 
     reductions by the private sector; and
       ``(ii) the voluntary nature of reporting under this 
     section.
       ``(D) Validity of certification.--Except to the extent that 
     an emission reduction certified in a report under this 
     subsection, not later than 1 year after the date of the 
     report, is adjusted under the verification process under 
     subparagraph (B) or review process under subsection (d)(2), 
     the emission reduction shall be valid for purposes of this 
     and any other provision of law if the report meets the 
     guidelines as in effect on the date on which the report is 
     made.''.
       (b) Assurance of Accurate Reporting.--Section 1605(b) of 
     the Energy Policy Act of 1992 (42 U.S.C. 13385(b)) (as 
     amended by subsection (a)) is amended by striking paragraph 
     (3) and inserting the following:
       ``(3) Reporting procedures.--
       ``(A) In general.--In accordance with paragraph (5), the 
     Administrator shall--
       ``(i) develop forms for voluntary reporting under the 
     guidelines established under paragraph (1); and
       ``(ii) make the forms available to entities wishing to 
     report such information.
       ``(B) Certification of reports.--
       ``(i) In general.--A person reporting under this subsection 
     shall certify the accuracy of the information reported.
       ``(ii) Reports by a corporation.--In the case of 
     information reported by a corporation, the report--

       ``(I) shall be signed by an officer of the corporation; and
       ``(II) shall be subject to section 1001 of title 18, United 
     States Code.''.

       (c) Avoidance of Duplicate Reporting.--Section 1605(b) of 
     the Energy Policy Act of 1992 (42 U.S.C. 13385(b)) (as 
     amended by subsection (a)) is amended--
       (1) by redesignating paragraphs (4) and (5) as paragraphs 
     (5) and (6), respectively; and
       (2) by inserting after paragraph (2) the following:
       ``(4) Avoidance of duplicate reporting.--
       ``(A) In general.--The guidelines under this subsection 
     shall ensure against multiple certification of the same 
     emission reductions.
       ``(B) First to seek certification.--In a case in which--
       ``(i) more than 1 person is directly involved in the 
     creation or implementation of an emission reduction measure;
       ``(ii) there is no--

       ``(I) written contractual arrangement between the persons 
     that specifies which person is entitled to report the 
     emission reduction; or
       ``(II) reference case or other provision of the guidelines 
     that addresses the question which person is entitled to 
     report the emission reduction in the circumstance of the 
     case; and

       ``(iii) the Administrator determines that 2 or more of the 
     persons have equally valid claims to the same emission 
     reduction;

     the first of the persons to certify the emission reduction in 
     a report under this subsection shall be the only person 
     entitled to report the emission reduction.''.
       (d) Simplification of Reporting.--Section 1605(b) of the 
     Energy Policy Act of 1992 (42 U.S.C. 13385(b)) (as amended by 
     subsection (c)) is amended by inserting after paragraph (4) 
     the following:
       ``(5) Simplification of reporting.--Not later than 60 days 
     after the date of enactment of the Climate Change Energy 
     Policy Response Act, the Administrator shall by regulation, 
     in consultation with the Secretary of Agriculture and the 
     Administrator of the Small Business Administration, as 
     appropriate, review and revise the reporting forms and 
     procedures to facilitate greater participation by small 
     businesses, farms, and other organizations that did not 
     extensively participate in voluntary emission reductions and 
     reporting under this subsection during the first 6 years 
     after the date of enactment of this Act.''.
       (e) Best Practices for Estimating Emission Reductions.--
     Section 1605 of the Energy Policy Act of 1992 (42 U.S.C. 
     13385) is amended by adding at the end the following:
       ``(d) Best Practices for Estimating Emission Reductions.--
       ``(1) Establishment by the Secretary.--Not later than 180 
     days after the date of enactment of this subsection, after 
     notice and opportunity for public comment, the Secretary, 
     with the assistance of the Administrator, shall establish the 
     most reasonably effective practices for estimating emission 
     reductions under subsection (b).
       ``(2) Review of prior certifications.--Emission reductions 
     certified before the date of enactment of this subsection 
     shall be subject to review by the Secretary and adjustment, 
     in appropriate cases, to account for any change in a practice 
     under this subsection.
       ``(3) Conformity of prior reported emission reductions with 
     best practices.--In any review under this subsection, the 
     Secretary shall obtain the assistance of the Administrator in 
     assessing whether and to what extent any prior reported 
     emission reduction is in conformity with best practices 
     established under paragraph (1).''.

     SEC. 802. PUBLIC AWARENESS CAMPAIGN REGARDING BENEFITS OF 
                   CERTIFICATION OF VOLUNTARY EMISSION REDUCTIONS.

       Section 1605 of the Energy Policy Act of 1992 (42 U.S.C. 
     13385) (as amended by section 801(f)) is amended by adding at 
     the end the following:
       ``(e) Public Awareness Program.--
       ``(1) In general.--The Secretary shall create and implement 
     a public awareness program to educate all appropriate persons 
     (especially farmers and small businesses) in all regions of 
     the United States of--
       ``(A) the direct benefits of engaging in voluntary emission 
     reduction measures and having the emission reductions 
     certified under this section and available for use under 
     other incentive programs; and
       ``(B) the forms and procedures for having emission 
     reductions certified under this section.
       ``(2) Special agricultural and small business outreach.--
     The Secretary of Agriculture, with respect to farmers, and 
     the Administrator of the Small Business Administration, with 
     respect to small businesses,

[[Page 26649]]

      shall assist the Secretary in creating and implementing the 
     public awareness program under paragraph (1).''.

     SEC. 803. STATE AUTHORITY TO ENCOURAGE VOLUNTARY ENERGY 
                   INITIATIVES.

       (a) In General.--Title XVI of the Energy Policy Act of 1992 
     is amended by striking section 1606 (106 Stat. 3003) and 
     inserting the following:

     ``SEC. 1606. STATE AUTHORITY TO ENCOURAGE VOLUNTARY ENERGY 
                   INITIATIVES.

       ``(a) In General.--Notwithstanding any other provision of 
     Federal law regarding the production, transmission, 
     distribution, sale, or use of energy or of energy services, a 
     State is not prohibited or restricted from continuing to 
     engage in any action, or from implementing any State law 
     (including a regulation) in effect on the date of enactment 
     of the Climate Change Energy Policy Response Act, if the 
     appropriate State authority finds that the action or law is 
     appropriate for mitigating the financial risks to producers, 
     transmitters, distributors, sellers, buyers, or users of 
     energy or energy services that engage in voluntary steps to 
     reduce greenhouse gas emissions.
       ``(b) Coordination With Later Enacted Law.--This section 
     shall remain in effect notwithstanding any Federal law, 
     including any Federal law enacted after the date of enactment 
     of this section, unless the later law specifically refers to 
     this section and expressly states that this section is 
     superseded.''.
       (b) Technical Amendment.--The table of contents of the 
     Energy Policy Act of 1992 (106 Stat. 2776) is amended by 
     striking the item relating to section 1606 and inserting the 
     following:

``Sec. 1606. State authority to encourage voluntary energy 
              initiatives.''.
                                  ____


   The Climate Change Energy Policy Response Act of 1999--Section-By-
                            Section Analysis

       A bill to amend the Energy Policy Act of 1992 to revise the 
     energy policies of the U.S. in order to reduce greenhouse gas 
     emissions, advance global climate science, promote technology 
     development, and increase citizen awareness, and for other 
     purposes.


             Section 1.--Short Title and Table of Contents.

                         Section 2.--Findings.

                        Section 3.--Definitions.

                  TITLE I--ENERGY POLICY COORDINATION


                                Sec. 101

       Directs the Secretary of Energy to:
       coordinate federal activities involving climate change 
     issues including scientific research; energy technology and 
     development, and economic analysis of various climate change 
     policy alternatives;
       select climate change policy alternatives for critical 
     analysis;
       ensure that collection and dissemination of all government 
     developed or funded information relating to climate change is 
     timely, balanced, understandable, accurate, sound, and made 
     available to the public; and
       consult with the National Academy of Sciences, the National 
     Academy of Engineering, the National Research Council, and 
     the Environmental Protection Agency.
       The Secretary of Energy is to name staff to carry out this 
     legislation. Consulting agencies may detail additional staff 
     to DOE. The Act authorizes no additional staffing positions 
     in any government agency.

            TITLE II--ADVANCEMENT OF CLIMATE CHANGE SCIENCE


   SEC. 201--COORDINATION, PRIORITIZATION, AND EVALUATION OF CLIMATE 
                        CHANGE SCIENCE RESEARCH

       This section directs the Secretary of Energy to:
       (with the National Academies of Science and Engineering) 
     coordinate, prioritize, and evaluate federally funded 
     scientific research on climate change conducted by or through 
     federal agencies;
       request the National Research Council to annually recommend 
     measures to effectively carry out all scientific research 
     covered by this legislation; and
       submit to Congress legislative recommendations to more 
     effectively carry out research and public information 
     programs under this legislation, including recommendations to 
     improve peer review processes and grant-making procedures
       This section also provides that the objectives for federal 
     climate change science research are to:
       understand the Earth's capacity to assimilate natural and 
     manmade greenhouse gas emissions;
       evaluate the natural variability of the climate, including 
     such phenomena as El Nino;
       develop, and assess the capabilities of, climate models; 
     and develop a national climate modeling strategy with 
     adequate computational and human resources that are 
     integrated and coordinated across the relevant agencies;
       ensure the integrity of all observational data used to 
     validate models and stabilize the existing climate 
     observational capability;
       identify critical climate variables that are inadequately 
     measured or not measured at all;
       build climate observing requirements into existing ongoing 
     operational programs;
       revamp climate research programs and appropriate climate-
     critical parts of operational observing programs so as to 
     produce useful long-term data;
       establish a funded activity for the development, 
     implementation, and operation of climate-specific 
     observational programs;
       assess the capability and potential of the United States 
     and North American carbon sequestration, including through 
     crops, forests, soils, oceans, and wetlands; and
       development deploy the technology to monitor all relevant 
     national and global data.
       Requires DOE to submit to Congress and the President a 
     report on all science activities carried out under this 
     title. The reports are to contain any scientific conclusions, 
     interim status reports, and recommendations for subsequent 
     research and testing that DOE considers appropriate. A draft 
     report must be made available by DOE to appropriate 
     nongovernmental organizations for their review no later than 
     August 1 of each year. All reports under this section must be 
     made available to the public through the National Resource 
     Center on Climate Change.
       For each of fiscal years 2000 through 2004, such sums as 
     are necessary are authorized to be appropriated for research:
       to assess the ability of natural carbon sinks to adjust to 
     natural variations in climate and greenhouse gas emissions 
     including, crops, grassland, forests, soils, and oceans;
       on natural climate variability;
       to develop and assess the capabilities of climate models;
       to ensure the integrity of data used to validate climate 
     models;
       to develop carbon sinks in the United States (primarily 
     crop and forestry research); and
       to develop and deploy monitoring technology

               TITLE III--POLICY REVIEW AND COORDINATION


    sec. 301--domestic and international assessment of policies for 
           addressing the effects of greenhouse gas emissions

       This section provides that within two years after the bill 
     becomes law (and biannually thereafter) DOE, after 
     consultation with each of seven federal agencies, is to 
     prepare an economic analysis of climate change policy 
     alternatives. The Secretary of Energy is to select three or 
     more such policy alternatives for critical analysis only. 
     Each analysis is to look at short term (five years) and long-
     term (fifty years) implications, and account for changes in 
     various factors, including economic indicators.
       Each agency to be consulted is to contribute expertise as 
     appropriate on each policy alternative analysis in the 
     following areas:
       energy supply and demand, and energy price implications;
       agricultural production cost and market implications, 
     including overall impact on rural economies (discrete 
     scenarios including variations in commodity and livestock 
     prices);
       health implications, if any;
       implications for (1) workers, including wages and job 
     opportunities and potential for U.S. firms locating 
     operations abroad; and (2) for consumers in terms of 
     predicted changes to the Consumer Price Index;
       implications on all modes of transportation and the effects 
     of the resulting cost changes on consumers, labor, 
     agriculture and businesses;
       housing costs and urban planning (under different mortgage 
     and construction interest rate scenarios).
       implications for U.S. exports and imports and trade 
     competitiveness.
     Status of activities and commitments in other countries
       In addition to the foregoing seven economic analyses, DOE 
     is to consult with the Department of State, the Central 
     Intelligence Agency, and the National Security Administration 
     to assess actions taken, or likely to be taken, by each 
     United Nations member country to avoid, reduce, or adapt to 
     climate change. Each such assessment is to analyze political 
     and economic factors present in each country that may impact 
     the assessment. The status of the country's commitment to 
     international agreements relating to climate change, and the 
     projected ability and likelihood of each country committing 
     to binding international agreements with targets or 
     timetables, are to be assessed.
     Integration of policy alternative analyses
       Within 30 months after enactment, and biannually 
     thereafter, the President, with the advice and assistance of 
     the Secretary of Energy, is to submit to Congress a report 
     analyzing and integrating the combined findings of the 
     report. The conclusion is to contain recommendations of any 
     changes in law, international agreements, or public policy 
     that the President considers to be in the best interest of 
     the United States.
     Scientific effect of policy alternatives
       The Secretary of Energy is to request the National 
     Academies of Science and Engineering to assess the known 
     scientific effect

[[Page 26650]]

     of each policy alternative chosen for analysis under this 
     Title and its effect on technology development and selection.
     Environmental Protection Agency activities with climate 
         change implications
       DOE is to report on the activities of EPA that 
     coincidentally affect actions by the private sector that, in 
     turn, affect greenhouse gas emissions. DOE is to consult with 
     the public and private sectors in preparing this report.
     Reporting flexibility
       The Secretary of Energy may suspend one or more of the 
     agency reporting requirements after two reports if it finds 
     that such reports will not likely provide information that 
     substantially supplements earlier reports.

                    Title IV--Public Rights-to-Know


                 Sec. 401--Annual Report to the Public

       DOE is to publish an annual report on U.S. investment in 
     climate change activities that includes:
       a description of current, prior year, and proposed spending 
     on climate change categorized by research, regulation, 
     education, and other activities;
       estimate of current and prior year tax credits and 
     deductions claimed by U.S. taxpayers attributable to 
     greenhouse gas emissions reductions;
       tables of spending proposals on climate change submitted by 
     federal agencies to OMB, compared with President's final 
     recommendations to Congress;
       an index of all climate change grantees, cross-referenced 
     by name of institutions and persons carrying out the 
     projects;
       an index of all grant proposals not funded by federal 
     agencies; and
       a list of all persons and their affiliations participating 
     in peer review of climate change grant proposals.
       Each such report is to be printed on recycled paper, made 
     public, and posted on the Internet.
     Public comment
       DOE is to provide for notice and opportunity for public 
     comment on the report. Such comments are to be catalogued and 
     made readily available to the public in electronic format.
     National Resource Center on Climate Change
       DOE, in consultation with the National Academy of Science, 
     is to establish a National Resource Center on Climate Change. 
     The Center is to preserve and make publicly available all 
     reports, information, studies or other information available 
     to the federal government on climate change. Reference items 
     may be made available in electronic format only. Public 
     availability of information is subject to laws protecting 
     national defense secrets, intellectual property rights, and 
     privacy rights.

 TITLE V--ACCELERATED DEVELOPMENT AND DEPLOYMENT OF RESPONSE TECHNOLOGY


  sec. 501--review of federally funded energy technology research and 
                              development

       Requires DOE by October 15 of each year to review any 
     federally funded energy technology research and development 
     activities. The review will assess the status of the energy 
     technology, including lead-time required until deployment, 
     cost, safety, potential barriers to deployment, and other 
     relevant factors.
       Requires DOE to establish a technology information 
     clearinghouse to disseminate the results of federally funded 
     energy technology research and development activities. The 
     clearinghouse is to be set up within the National Research 
     Center on Climate Change, but is not to affect national 
     security secrets or personal property rights.


     sec. 502--study of regulatory barriers to rapid deployment of 
              greenhouse gas Emission reduction technology

       This section requires GAO, in consultation with the 
     Secretary of Commerce and the U.S. Trade Representative, to 
     identify and evaluate regulatory or other barriers to more 
     rapid deployment of technology to reduce greenhouse gas 
     emissions. The scope is both domestic and international. 
     Requires GAO to recommend to Congress any necessary changes 
     in law.

  TITLE VI--INTERNATIONAL DEPLOYMENT OF ENERGY TECHNOLOGY TO MITIGATE 
                             CLIMATE CHANGE


  sec. 601--international deployment of energy technology to mitigate 
                             climate change

     Pilot program for financial assistance
       Requires the Secretary of Energy to create a pilot program 
     to provide financial assistance, subject to available 
     appropriations, for not more than six (6) qualifying, 
     international, energy deployment projects. To qualify, the 
     projects must be built, operated, and used outside the United 
     States and must increase energy efficiency compared to the 
     technology that would otherwise be implemented. The Secretary 
     of Energy, after consultation with the Secretary of State, 
     the Secretary of Commerce and the U.S. Trade Representative, 
     may make the selection based solely on the criteria set forth 
     in Sec. 601.
     Financial assistance (for qualifying international energy 
         deployment projects)
       A U.S. firm undertaking an international energy deployment 
     project which qualifies under the preceding section is 
     eligible for financial assistance in the form of a loan or a 
     loan guarantee. The loan amount would not exceed 75% of total 
     project cost, and the interest rate would equal that for 
     Treasury obligation then issued for periods of comparable 
     maturities.
     Equity investment insurance (for firms selected to 
         participate in pilot project)
       Under this section a U.S. firm that enters a binding 
     contract for a qualifying international energy deployment 
     project would, if approved by DOE to be part of the pilot 
     project, be eligible for insurance on investment the firm has 
     in the project.
     Coordination with other programs
       Provides that a qualifying international energy deployment 
     project, funded under this title, would not be eligible as a 
     qualifying clean coal technology under Section 415 of the 
     Clean Air Act.
     Report and recommendations
       No later than four (4) years after the date of enactment, 
     DOE must submit a report to the President on the results of 
     the pilot projects. After reviewing the report the President 
     is to recommend to Congress that the financial assistance 
     program be continued, expanded, reduced or eliminated.
     Authorization of appropriations
       Authorizes appropriations (such sums as are necessary) to 
     fund the programs under this title for fiscal years 2001-
     2004.

   TITLE VII--OPTIMAL OPERATING EFFICIENCY OF TRANSPORTATION SYSTEMS


              sec. 701--Traffic Congestion relief research

       Amends Section 502 of title 23, United States Code. 
     Requires DOE to enter into an arrangement with the National 
     Academy of Sciences to conduct a study comparing the 
     effectiveness of various regional approaches for reducing 
     traffic congestion. At a minimum the study is to assess the 
     impact on traffic of: (1) expansion of highway capacity; (2) 
     improvement of traffic operations; and (3) programs for 
     demand management.
     Relieving urban congestion without additional right-of-way
       Requires DOE to fund a study and prepare a report analyzing 
     highway design concepts for projects to relieve congestion in 
     urban areas without acquisition of additional rights-of-way. 
     For fiscal years 2000 through 2002, $1,000,000 of the [sum 
     deducted by the Secretary under Section 104(a)] would be 
     available for these studies.

                   TITLE VIII--VOLUNTARY INITIATIVES:


   sec. 801--improved and streamlined reporting and certification of 
                           voluntary measures

       Amends the Energy Policy Act of 1992 to improve and 
     streamline reporting and certification of voluntary measures 
     to reduce greenhouse gas emissions.
     Revised reporting guidelines
       Requires DOE (with one year of enactment and every five 
     years thereafter), to revise reporting guidelines to reflect 
     changes made by this legislation. Establishes criteria for 
     review of the reporting guidelines. Requires that any review 
     pursuant to this section give appropriate weight to (1) the 
     purpose of encouraging voluntary greenhouse gas emission 
     reductions; and (2) the voluntary nature of reporting under 
     this section. Validates reported emissions reductions so long 
     as (1) the report meets then applicable guidelines and (2) 
     reported reductions are not adjusted by Energy Information 
     Administration (EIA).
     Forms for accurate reporting
       Requires DOE to develop forms for voluntary reporting and 
     to make the forms available to entities wishing to report. 
     Provides that entities reporting emissions reductions certify 
     the accuracy of the report. Information reported by a 
     corporation must be signed by one of its officers. Ensures 
     against multiple certification of the same greenhouse gas 
     emissions reductions: If more than one party has a valid 
     claim to the same reduction, the first person to seek 
     certification of a greenhouse gas emission reduction shall be 
     granted the certification.
     Greater participation by small businesses and farms
       Requires the Administrator of EIA, in conjunction with the 
     Secretary of Agriculture and Administrator of the SBA, to 
     review and revise the guidelines to facilitate greater 
     participation by small businesses, farms, and other 
     organizations that did not previously participate in 
     voluntary reductions and reporting.
     Best practices for estimating reductions
       Requires the Administrator of EIA to establish the most 
     reasonably effective practices for estimating greenhouse gas 
     emission reductions under Sec. 1605(b). Provides that 
     emission reductions certified prior to the effective date of 
     this section be reviewed, and modified if necessary, to 
     account for any changes implemented by this section.

[[Page 26651]]




 Sec. 802--Public Awareness Campaign of voluntary emission reductions 
                             certification

       Requires EIA to create a public awareness campaign: (1) on 
     the benefits of engaging in voluntary greenhouse gas 
     reduction measures and having the reductions certified and 
     available for use under other incentive programs; and (2) 
     explaining forms and procedures for having reductions 
     certified. USDA and SBA are to implement comparable programs 
     for the agricultural and small business communities.


  sec. 803--state authority to encourage voluntary energy initiatives

       This section provides that a state is not restricted from 
     continuing to engage in any action, or from implementing any 
     State law, that is in effect at the time this legislation is 
     enacted, if the State determines that the action or law is 
     appropriate for mitigating the financial risks to producers, 
     transmitters, distributors, sellers, buyers, or users of 
     energy or energy services who engage in voluntary steps to 
     reduce greenhouse gas emissions. This provision remains in 
     effect unless specifically and expressly superseded in 
     subsequent legislation.
                                  ____


                                S. 1777

       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 ``Climate Change Tax 
     Amendments of 1999''.

     SEC. 2. PERMANENT TAX CREDIT FOR RESEARCH AND DEVELOPMENT 
                   REGARDING GREENHOUSE GAS REDUCTION.

       (a) In General.--Section 41(h) of the Internal Revenue Code 
     of 1986 (relating to termination) is amended by adding at the 
     end the following:
       ``(3) Exception for certain research.--Paragraph (1)(B) 
     shall not apply in the case of any qualified research 
     expenses if the research--
       ``(A) has as 1 of its purposes the reducing or sequestering 
     of greenhouse gases, and
       ``(B) has been reported to the Department of Energy under 
     section 1605(b) of the Energy Policy Act of 1992.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     applies with respect to amounts paid or incurred after the 
     date of enactment of this Act, except that such amendment 
     shall not take effect unless the Climate Change Energy Policy 
     Response Act is enacted into law.

     SEC. 3. TAX CREDIT FOR REDUCED GREENHOUSE GAS EMISSIONS 
                   FACILITIES.

       (a) Allowance of Reduced Greenhouse Gas Emissions 
     Facilities Credit.--Section 46 of the Internal Revenue Code 
     of 1986 (relating to amount of credit) is amended by striking 
     ``and'' at the end of paragraph (2), by striking the period 
     at the end of paragraph (3) and inserting ``, and'', and by 
     adding at the end the following:
       ``(4) the reduced greenhouse gas emissions facilities 
     credit.''
       (b) Amount of Credit.--Subpart E of part IV of subchapter A 
     of chapter 1 of the Internal Revenue Code of 1986 (relating 
     to rules for computing investment credit) is amended by 
     inserting after section 48 the following:

     ``SEC. 48A. CREDIT FOR REDUCED GREENHOUSE GAS EMISSIONS 
                   FACILITIES.

       ``(a) In General.--For purposes of section 46, the reduced 
     greenhouse gas emissions facilities credit for any taxable 
     year is the applicable percentage of the qualified investment 
     in a reduced greenhouse gas emissions facility for such 
     taxable year.
       ``(b) Reduced Greenhouse Gas Emissions Facility.--For 
     purposes of subsection (a), the term `reduced greenhouse gas 
     emissions facility' means a facility of the taxpayer--
       ``(1)(A) the construction, reconstruction, or erection of 
     which is completed by the taxpayer, or
       ``(B) which is acquired by the taxpayer if the original use 
     of such facility commences with the taxpayer,
       ``(2) the operation of which--
       ``(A) replaces the operation of a facility of the taxpayer,
       ``(B) reduces greenhouse gas emissions on a per unit of 
     output basis as compared to such emissions of the replaced 
     facility, and
       ``(C) uses the same type of fuel (or combination of the 
     same type of fuel and biomass fuel) as was used in the 
     replaced facility,
       ``(3) with respect to which depreciation (or amortization 
     in lieu of depreciation) is allowable, and
       ``(4) which meets the performance and quality standards (if 
     any) which--
       ``(A) have been jointly prescribed by the Secretary and the 
     Secretary of Energy by regulations,
       ``(B) are consistent with regulations prescribed under 
     section 1605(b) of the Energy Policy Act of 1992, and
       ``(C) are in effect at the time of the acquisition of the 
     facility.
       ``(c) Applicable Percentage.--For purposes of subsection 
     (a), the applicable percentage is one-half of the percentage 
     reduction in greenhouse gas emissions described in subsection 
     (b)(2) and reported and certified under section 1605(b) of 
     the Energy Policy Act of 1992.
       ``(d) Qualified Investment.--For purposes of subsection 
     (a), the term `qualified investment' means, with respect to 
     any taxable year, the basis of a reduced greenhouse gas 
     emissions facility placed in service by the taxpayer during 
     such taxable year, but only with respect to that portion of 
     the investment attributable to providing production capacity 
     not greater than the production capacity of the facility 
     being replaced.
       ``(e) Qualified Progress Expenditures.--
       ``(1) Increase in qualified investment.--In the case of a 
     taxpayer who has made an election under paragraph (5), the 
     amount of the qualified investment of such taxpayer for the 
     taxable year (determined under subsection (d) without regard 
     to this subsection) shall be increased by an amount equal to 
     the aggregate of each qualified progress expenditure for the 
     taxable year with respect to progress expenditure property.
       ``(2) Progress expenditure property defined.--For purposes 
     of this subsection, the term `progress expenditure property' 
     means any property being constructed by or for the taxpayer 
     and which it is reasonable to believe will qualify as a 
     reduced greenhouse gas emissions facility which is being 
     constructed by or for the taxpayer when it is placed in 
     service.
       ``(3) Qualified progress expenditures defined.--For 
     purposes of this subsection--
       ``(A) Self-constructed property.--In the case of any self-
     constructed property, the term `qualified progress 
     expenditures' means the amount which, for purposes of this 
     subpart, is properly chargeable (during such taxable year) to 
     capital account with respect to such property.
       ``(B) Non-self-constructed property.--In the case of non-
     self-constructed property, the term `qualified progress 
     expenditures' means the amount paid during the taxable year 
     to another person for the construction of such property.
       ``(4) Other definitions.--For purposes of this subsection--
       ``(A) Self-constructed property.--The term `self-
     constructed property' means property for which it is 
     reasonable to believe that more than half of the construction 
     expenditures will be made directly by the taxpayer.
       ``(B) Non-self-constructed property.--The term `non-self-
     constructed property' means property which is not self-
     constructed property.
       ``(C) Construction, etc.--The term `construction' includes 
     reconstruction and erection, and the term `constructed' 
     includes reconstructed and erected.
       ``(D) Only construction of reduced greenhouse gas emissions 
     facility to be taken into account.--Construction shall be 
     taken into account only if, for purposes of this subpart, 
     expenditures therefor are properly chargeable to capital 
     account with respect to the property.
       ``(5) Election.--An election under this subsection may be 
     made at such time and in such manner as the Secretary may by 
     regulations prescribe. Such an election shall apply to the 
     taxable year for which made and to all subsequent taxable 
     years. Such an election, once made, may not be revoked except 
     with the consent of the Secretary.''
       (c) Recapture.--Section 50(a) of the Internal Revenue Code 
     of 1986 (relating to other special rules) is amended by 
     adding at the end the following:
       ``(6) Special rules relating to reduced greenhouse gas 
     emissions facility.--For purposes of applying this subsection 
     in the case of any credit allowable by reason of section 48A, 
     the following shall apply:
       ``(A) General rule.--In lieu of the amount of the increase 
     in tax under paragraph (1), the increase in tax shall be an 
     amount equal to the investment tax credit allowed under 
     section 38 for all prior taxable years with respect to a 
     reduced greenhouse gas emissions facility (as defined by 
     section 48A(b)) multiplied by a fraction whose numerator is 
     the number of years remaining to fully depreciate under this 
     title the reduced greenhouse gas emissions facility disposed 
     of, and whose denominator is the total number of years over 
     which such facility would otherwise have been subject to 
     depreciation. For purposes of the preceding sentence, the 
     year of disposition of the reduced greenhouse gas emissions 
     facility property shall be treated as a year of remaining 
     depreciation.
       ``(B) Property ceases to qualify for progress 
     expenditures.--Rules similar to the rules of paragraph (2) 
     shall apply in the case of qualified progress expenditures 
     for a reduced greenhouse gas emissions facility under section 
     48A, except that the amount of the increase in tax under 
     subparagraph (A) of this paragraph shall be substituted in 
     lieu of the amount described in such paragraph (2).
       ``(C) Application of paragraph.--This paragraph shall be 
     applied separately with respect to the credit allowed under 
     section 38 regarding a reduced greenhouse gas emissions 
     facility.''
       (d) Technical Amendments.--
       (1) Section 49(a)(1)(C) of the Internal Revenue Code of 
     1986 is amended by striking ``and'' at the end of clause 
     (ii), by striking the period at the end of clause (iii) and 
     inserting ``, and'', and by adding at the end the following:
       ``(iv) the portion of the basis of any reduced greenhouse 
     gas emissions facility attributable to any qualified 
     investment (as defined by section 48A(d)).''

[[Page 26652]]

       (2) Section 50(a)(4) of such Code is amended by striking 
     ``and (5)'' and inserting ``, (5), and (6)''.
       (3) The table of sections for subpart E of part IV of 
     subchapter A of chapter 1 of such Code is amended by 
     inserting after the item relating to section 48 the 
     following:

``Sec. 48A. Credit for reduced greenhouse gas emissions facilities.''

       (e) Effective Date.--The amendments made by this section 
     shall apply to property placed in service after the date of 
     the enactment of this Act, under rules similar to the rules 
     of section 48(m) of the Internal Revenue Code of 1986 (as in 
     effect on the day before the date of the enactment of the 
     Revenue Reconciliation Act of 1990).
       (f) Study of Additional Incentives for Voluntary Reduction 
     of Greenhouse Gas Emissions.--
       (1) In general.--The Secretary of the Treasury and the 
     Secretary of Energy shall jointly study possible additional 
     incentives for, and removal of barriers to, voluntary, non 
     recoupable expenditures for the reduction of greenhouse gas 
     emissions. For purposes of this subsection, an expenditure 
     shall be considered voluntary and non recoupable if the 
     expenditure is not recoupable--
       (A) from revenues generated from the investment, determined 
     under generally accepted accounting standards (or under the 
     applicable rate-of-return regulation, in the case of a 
     taxpayer subject to such regulation),
       (B) from any tax or other financial incentive program 
     established under Federal, State, or local law, or
       (C) pursuant to any credit-trading or other mechanism 
     established under any international agreement or protocol 
     that is in force.
       (2) Report.--Within 6 months of the date of enactment of 
     this Act, the Secretary of the Treasury and the Secretary of 
     Energy shall jointly report to Congress on the results of the 
     study described in paragraph (1), along with any 
     recommendations for legislative action.
       (g) Scope and Impact.--
       (1) Policy.--In order to achieve the broadest response for 
     reduction of greenhouse gas emissions and to ensure that the 
     incentives established by or pursuant to this Act do not 
     advantage one segment of an industry to the disadvantage of 
     another, it is the sense of Congress that incentives for 
     greenhouse gas reductions should be available for 
     individuals, organizations, and entities, including both for-
     profit and non-profit institutions.
       (2) Level playing field study and report.--
       (A) In general.--The Secretary of the Treasury and the 
     Secretary of Energy shall jointly study possible additional 
     measures that would provide non-profit entities (such as 
     municipal utilities and energy cooperatives) with economic 
     incentives for greenhouse gas emission reductions comparable 
     to those incentives provided to taxpayers under the 
     amendments made to the Internal Revenue Code of 1986 by this 
     Act.
       (B) Report.--Within 6 months after the date of enactment of 
     this Act, the Secretary of the Treasury and the Secretary of 
     Energy shall jointly report to Congress on the results of the 
     study described in subparagraph (A), along with any 
     recommendations for legislative action.
                                  ____


 The Climate Change Tax Amendments of 1999--Section-by-Section Analysis

       A bill to amend the Internal Revenue Code of 1986 to 
     provide incentives for the voluntary reduction of greenhouse 
     gas emissions and to advance global climate science and 
     technology development.
       Section 1 designates the short title as the ``Climate 
     Change Tax Amendments of 1999.''
       Section 2 extends on a permanent basis the tax credit for 
     research and development in the case of R & D involving 
     climate change.
       In order for a research expense to qualify for the credit, 
     it must: have as one of its purposes the reducing or 
     sequestering of greenhouse gases; and have been reported to 
     DOE under Sec. 1605(b) of the Energy Policy Act of 1992.
       This tax credit applies with respect to amounts incurred 
     after this Act becomes law, and only if the Climate Change 
     Energy Policy Response Act also becomes law.
       Section 3 provides for investment tax credits for 
     greenhouse-gas-emission reduction facilities.


                greenhouse gas emissions facility credit

       The amount of the credit would be calculated based upon the 
     amount of greenhouse gas emission reductions reported and 
     certified under section 1605(b) of the Energy Policy Act. The 
     credit would be equal to one-half of the applicable 
     percentage of the qualified investment in a ``reduced 
     greenhouse gas emissions facility.''
       For example, if a taxpayer replaces a coal-fired generator 
     with a more efficient one that reduced greenhouse gas 
     emissions by 18 percent, compared to the retired unit, the 
     taxpayer would be entitled to a tax credit of 9 percent of 
     qualified investment in that ``reduced greenhouse gas 
     emissions facility''. Such facility is defined as a facility 
     of the taxpayer: the construction, reconstruction, or 
     erection of which is completed by the taxpayer; or the 
     facility my be acquired by the taxpayer if the original use 
     of the facility commences with the taxpayer; which replaces 
     an existing facility of the taxpayer; which reduces 
     greenhouse gas emissions (on a per unit of output basis) as 
     compared to the facility it replaces; which uses the same 
     type of fuel as the facility it replaces; the depreciation 
     (or amortization in lieu of depreciation) of which is 
     allowable; which meets performance and quality standards (if 
     any) jointly prescribed by the Secretaries of Treasury and 
     Energy; and are consistent with regulations prescribed under 
     Sec. 1605(b) of the Energy Policy Act (relating to voluntary 
     reporting of greenhouse gas emission reductions).
       Only that portion of the investment attributable to 
     providing production capacity not greater than the production 
     capacity of the facility being replaced qualifies for the 
     credit.
       While unit efficiencies could be achieved if the credit 
     were allowed for replacing a unit with another that burned a 
     different fuel, such incentive for fuel shifting does not 
     directly stimulate efficiency technology development for each 
     fuel type. The objective is to improve efficiencies ``within 
     a fuel''; not to encourage fuel shifting ``between fuels.''


                 qualified progress expenditure credit

       With respect to qualified progress expenditures, the amount 
     of the qualified investment for the taxable year shall be 
     increased by the aggregate of each qualified progress 
     expenditure for the taxable year with respect to progress 
     expenditure property. Progress expenditure property is 
     defined as any property being constructed by or for the 
     taxpayer and which it is reasonable to believe will qualify 
     as a reduced greenhouse gas emission facility.


                                election

       A taxpayer may elect to take the tax credit in such a 
     manner (i.e. as an investment credit, or as qualified 
     progress expenditure) as the Secretary may by regulations 
     prescribe. The election will apply to the taxable year for 
     which it was made and to all subsequent taxable years. Such 
     an election, once made, may not be revoked except with the 
     consent of the Secretary.


          recapture where facility is prematurely disposed of

       If the facility is disposed of before the end of the 
     facility's depreciation period (or ``useful life'' for tax 
     purposes) the taxpayer will be assessed an increase in tax 
     equal to the greenhouse gas emissions facility investment tax 
     credit allowed for all prior taxable years multiplied by a 
     fraction whose numerator is the number of years remaining to 
     fully depreciate the facility to be disposed of, and whose 
     denominator is the total number of years over which the 
     facility would otherwise have been subject to depreciation.
       Similar rules apply in the case in which the taxpayer 
     elected credit for progress expenditures and the property 
     thereafter ceases to qualify for such credit.


                             effective date

       Amendments made to the Internal Revenue Code apply to 
     property placed in service after the date of enactment of 
     this Act.


 study of additional incentives for voluntary reduction of greenhouse 
                             gas emissions

       The Secretary of Energy and the Secretary of Transportation 
     are directed to study, and report upon to Congress along with 
     any recommendations for legislative action, possible 
     additional incentives for and removal of barriers to 
     voluntary non-recoupable expenditures on the reduction of 
     greenhouse gas emissions. An expenditure qualifies if it is 
     voluntary and not recoupable--from revenues generated from 
     the investment; determined under generally accepted 
     accounting standards; under the applicable rate-of-return 
     regulation (in the case of a taxpayer subject to such 
     regulation); from any tax or other financial incentive 
     program established under federal, State, or local law; and 
     pursuant to any credit-trading or other mechanism established 
     under any international agreement or protocol that is in 
     force.
                                 ______
                                 
      By Mr. CLELAND:
  S. 1779. A bill to authorize the Secretary of Transportation to issue 
a certificate of documentation with appropriate endorsement for 
employment in the coastwise trade for the vessel M/V Sandpiper; to the 
Committee on Commerce, Science, and Transportation.


       CERTIFICATE OF DOCUMENTATION FOR THE VESSEL ``SANDPIPER''

 Mr. CLELAND. Mr. President, I am introducing a bill today to 
direct that the sailing vessel Sandpiper, Official Number 1079439, be 
accorded coastwise trading privileges and be issued a certificate of 
documentation under section 12103 of title 46, U.S. Code.
  The hull and interior of the Sandpiper were constructed in Taiwan in 
1998 by Ta-Yang Yacht Building Company, Ltd. She is a 48 foot Cutter 
Rig presently used as a recreational vessel. Since construction, the 
vessel has been rigged and outfitted in the United States. It is 
estimated that 60% of the cost of the vessel has been spent on the

[[Page 26653]]

mast, rigging, sails, electronics, navigational instruments, safety 
equipment, interior furnishings, and various other deck fittings. These 
items were acquired in Annapolis, Maryland and refitting was completed 
in April, 1999.
  The vessel is owned by Mr. and Mrs. David Maner of Augusta, Georgia. 
The Maners would like to utilize their vessel in the coastwise trade of 
the United States. However, because the vessel's hull was constructed 
in Taiwan, it did not meet the requirements for coastwise license 
endorsement in the United States. Such documentation is mandatory to 
enable the owner to use the vessel for its intended purpose.
  The owners of the Sandpiper are seeking a waiver of the existing law 
because they wish to use the vessel for charters. The desired 
intentions for the vessel's use will not adversely affect the coastwise 
trade in U.S. waters. If the Maners are granted this waiver, it is 
their intention to comply fully with U.S. documentation and safety 
requirements. The purpose of the legislation I am introducing is to 
allow the Sandpiper to engage in the coastwise trade of the United 
States.
  Mr. President, I ask that the text of the bill be printed in the 
Record.
  The bill follows:

                                S. 1779

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

     SECTION 1. CERTIFICATE OF DOCUMENTATION.

       Notwithstanding section 27 of the Merchant Marine Act, 1920 
     (46 U.S.C. App. 883), section 8 of the Act of June 19, 1886 
     (24 Stat. 81, chapter 421; 46 U.S.C. App. 289), and section 
     12106 of title 46, United States Code, the Secretary of 
     Transportation may issue a certificate of documentation with 
     appropriate endorsement for employment in the coastwise trade 
     for the vessel SANDPIPER, United States official number 
     1079439.

                          ____________________